en 16001 bsi city of london corp. case study

8/6/2019 En 16001 BSI City of London Corp. Case Study

http://slidepdf.com/reader/full/en-16001-bsi-city-of-london-corp-case-study 1/4

BS EN 16001 Energy Management System Implementation Case Study

City of London Corporation

raising standards worldwide™

The City of London Corporation is a unique organization. Aside from

providing local government services to residents and businesses in ‘the

Square Mile’ (and the third of a million people who work there), the City

Corporation has a number of special responsibilities. It runs and maintains

five Thames bridges; looks after 10,000 acres of open space includingHampstead Heath and Epping Forest; manages a private property portfolio;

and runs the City of London Police Authority and the Port Authority for

the tidal Thames. It is also responsible for historic buildings including

the Guildhall, Mansion House, the Old Bailey, the Barbican Centre and

the wholesale food markets of Billingsgate, Smithfield and Spitalfields.

The City Corporation also has a core function to support and promote

the City as the world leader in international finance and business

services. Within this remit it is committed to being on the leading edge

of sustainable development. Its sustainability policy commits it to reduce

carbon emissions from the City of London and its partners by increasing

energy efficiency and the use of ‘green’ energy technologies. To this end,

Paul Kennedy, Corporate Energy Manager, and his energy management

team are continually pushing the organization for greater carbon targets.

He states, “Our energy management objectives are to reduce cost,

reduce energy and reduce carbon dioxide.”

The City of London currently faces an annual energy bill of around

£15 million (including water) – equivalent to around three per cent

of its half a billion pounds turnover. Traditionally it has worked on

what Kennedy has defined as the E 3 Energy Management Principle:

1. energy procurement (buy energy as ‘cheap’ as possible),

2. energy efficiency (don’t waste the ‘cheap’ energy that’s been

bought for you) and

3. energy design (design so that you don’t need the energy in the

first place even if it is ‘cheap’).



BS EN 16001 Energy Management System Implementation Case Study

The City of London chose to be involved in the pilot implementation of

BS EN 16001 because, says Kennedy, it was “a natural progression”.

“We’ve got policies and procedures in place and what we believe are

good energy management practices”, notes Kennedy. “We thought it

would be useful to see how we can tie those together and align themwith the management structure that BS EN 16001 provides.”

Indeed, the City Corporation has been managing energy proactively since

1975; has had an energy team since 1985; and has been monitoring and

reporting on carbon dioxide emissions since 1995. It piloted the Institute

of Energy’s original Energy Efficiency Accreditation Scheme (the

forerunner to the Carbon Trust Standard) as long ago as 1993.

For 35 years or so all the major buildings’ energy usage has been

monitored on a monthly basis. This is now reported on every quarter.

Reports are produced for each department on their energy use and these

are also used to build profiles which help with the purchasing of energy.

In addition, each major building has regular energy surveys carried out

either in-house, or by third parties. This has generated a list of

recommendations on how energy can be saved. Some recommendationsare implemented immediately, while others are incorporated into five-

or 20-year repair and maintenance plans ‘piggy-backing’ on other

engineering or structural improvements, reducing impact costs and

disruption, and matching priorities to service delivery demands.

The City Corporation is also currently preparing for the Carbon

Reduction Commitment (CRC) and to this end has recently achieved

the Carbon Trust Standard, certifying that the organization has

genuinely reduced its carbon footprint and is committed to making

further reductions year on year. The City Corporation also holds

Beacon Council status for climate change adaptation and mitigation

– The Beacon Scheme is a prestigious award scheme, sponsored by

the Government’s Improvement and Development Agency (IDeA),

which recognizes and promotes excellence in local government.Implementing standards is nothing new to the City Corporation,

the Energy Team having previously held ISO 9001. But the focus

on BS EN 16001 is far more detailed.

Implementation approachKennedy’s first action was to see how City Corporation’s existing

policies and practices aligned with the requirements of the standard.

He found that with a few exceptions there was a close correlation.

Energy consumption data is available and minimum reduction targets

for each significant energy aspect have been identified.

The standard also calls for senior manager commitment and involvement.

This is manifested in the long-established Energy Committee of elected

members, chaired by an Alderman. This Committee gives Kennedy’s team

its terms of reference and in turn the team reports to the Committee on

energy and CO2 quarterly. So a comprehensive structure exists.

The City Corporation also has a sustainability policy which incorporates

energy, and it is currently updating its commitments to carbon

reduction. Alongside the sustainability policy, Kennedy is now working

to an energy strategy framework – the delivery mechanism for

monitoring and reporting progress.

Kennedy found that the standard is actually more rigorous than

the framework. “We’ve probably got about 80–85 per cent of the

requirements for the standard.” Beyond that some areas – like

communications – need tightening and in others Kennedy questions

whether the standard is a good fit for the multi-site, multi-disciplinary

activity in which the City Corporation engages. He notes “We’ve got

a staff of some 3,000 delivering a whole range of services, and service

delivery is the highest priority. An energy management plan has to

align with that.”

Learning and implications

The City of London Corporation has always kept energy costs as lowas possible, not least because they affect all calculations afterwards in

terms of payback on investments. Kennedy notes that on-going energy

management has enabled the City Corporation to implement significant

improvements which called for more energy – such as temperature

control measures at Smithfield Meat Market – yet still keep a cap on

net energy use and cost.

However, the new challenge is to reduce carbon significantly under

the CRC, which is problematic for a local authority when expenditure

– the measure by which reduction is judged – is also going down.

Given the maturity of energy management provisions already in place,

Kennedy now needs to evaluate the added value to service delivery

and carbon reduction that the standard might bring. He admits,

“My personal opinion is it would come down to being able to findthe resources to implement the standard and balance those resources

against added value.”

Benefits of the standardFor now, the standard as ‘best practice’ provides reassurance that up to

80–85 per cent of the time the City Corporation is on the right track

with its energy management.

Conversely, it also highlights the missing 15–20 per cent and enables

these areas to be addressed. “Using the standard,” Kennedy says, “I

can see that the way we manage energy at the moment is not always

complete. The standard would ensure that the gaps are filled and

would bring a greater degree of rigour and more robust systemsmaking sure that we actually do plan, do, check, and act.”



“I can see that the way we manage energy at the moment is notalways complete. The standard would ensure that the gaps are

filled and would bring a greater degree of rigour and more robustsystems, making sure that we actually do plan, do, check, and act.”

Paul KennedyCorporate Energy Manager, City of London Corporation

Kennedy also sees the value of the standard in potential cost savings

and in giving more weight to energy management: raising the profile

internally, and gaining external recognition for the rigour in its energy

management activity.

Specifically, under the Comprehensive Area Assessment (CAA) by which

all local authorities are judged by central government, the efficient use

of natural resources such as energy is a key line of enquiry. Kennedy

explains, “I envision you would tie the standard in with other policy

documents such as the CAA and the Local Area Agreement, and

national indicators such as NI 185 for instance on the percentage

CO2 reduction from local authority operations.” Certification to the

European energy management standard would demonstrate that

energy is being managed in a r igorous way and, Kennedy believes,

would stand the authority in good stead with the auditors and likely

make the audit process more efficient too.

ConclusionsIn the short term, the City of London Corporation plans to use

the standard as a benchmark to align some of its current energy

management practices with best practice. “Then,” Kennedy says,

“I’ll decide whether to actually go for certification to the standard.”

He also feels that for organizations with little or no energy

management experience, the standard may provide a perhaps too

steep learning curve. He says, “If you’ve not done energy management

before the first thing you need to do is turn the lights off and turn the

heating down, look at your energy bills and set up a simple energy

monitoring system. That is in the standard, but is just the beginning,

there is a lot more detail, process and rigour, so perhaps start with

something a bit simpler.”

For those who have a level of experience and are looking to improveand embed, however, he feels the standard could be invaluable,

especially for local authorities which he says “can have very bold

targets on carbon emissions, for instance, but have a huge gulf

between the aspiration and the practicalities of implementation.”

He adds: “The City of London Corporation is never content with

maintaining the status quo, we are always looking to and being

encouraged to improve. Re-aligning the City’s energy management

practices with the standard could be next on the ‘to-do’ list. Watch

this space as they say!”

Further informationwww.cityoflondon.gov.uk/Corporation

www.defra.gov.uk/environment/climatechange/uk/business/crc/index.htm

www.bsigroup.com/bsen16001

To order your copy of BS EN 16001 Energy management systems. Requirements with guidance for use please visit:www.bsigroup.com/bsen16001



Printed responsibly on FSC material under

chain of custody conditions by an FSC

certified printer. Please recycle after use.

BSI Headquarters

389 Chiswick High Road London W4 4AL UK

Tel +44 (0)20 8996 9001

Fax +44 (0)20 8996 7001

www.bsigroup.com

FSC LOGO

About BSI

BSI is a global independent business services organization that inspiresconfidence and delivers assurance to over 80,000 customers with

standards-based solutions. Originating as the world’s first national

standards body, BSI has over 2,400 staff operating in over 120

countries through more than 50 global offices. BSI’s key offerings are:

• The development and sale of private, national and international

standards and supporting information that promote and share

best practice

• Second and third-party management systems assessment and

certification in all critical areas of management disciplines

• Testing and certification of services and products for Kitemark andCE marking to UK, European and International standards. BSI is a

Notified Body for 17 New Approach EU Directives

• Certification of high-risk, complex medical devices

• Performance management software solutions

• Training services in support of standards implementation and

business best practice.

For further information please visit www.bsigroup.com

With rising energy costs, energy efficiency has become an important

component of business efficiency and cost management.

BS EN 16001 Energy management systems. Requirements

with guidance for use provides a road map to help organizations

improve energy efficiency, reduce greenhouse gas (GHG) emissions anddrive down energy costs.

It is a best practice document that will allow businesses to implement

their own energy management systems and to get an appreciation of

their own energy usage. It explains what steps they need to take and

who they need to get involved in their businesses to help.

The standard applies to all energy-related activities under the control

of an organization. For example, it takes account of the power used

by machinery and the energy needed to heat office buildings. These

‘energy aspects’ represent elements of an organization’s activities,

goods or services that can affect energy use.

The standard can also be used to turn energy into a key performance

indicator alongside such elements as unit cost and customer satisfaction.

www.bsigroup.com/bsen16001

raising standards worldwide™

BSI: Standards • Information • Training • Inspection • Testing • Assessment • Certification

About BS EN 16001 Energy management systems.Requirements with guidance for use

en 16001 bsi city of london corp. case study

Documents