Highlights from the FEMP

Advanced Metering Workshop

September 25, 2003Golden, Colorado

Overview

• Discuss guidance development process and structure

• Describe Advanced Metering technology• Build a business case• Discuss costs, strategies, and savings• Consider government case studies

Guidance Development Process• Form an Ad Hoc Meeting Committee (AHMC)

• Composed of attendees at the workshop• Gather input from agencies and private sector regarding

• Potential benefits• Better energy management • Improved O&M, cost savings• Improved security

• Resources • Constraints on appropriated funds• Limitations on personnel• Use of Alternative Financing

• AHMC will present Draft Guidance to the Interagency Energy Task Force (IAETF)

• IAETF develops Consensus Guidance• Consensus Guidance reviewed by 656 Committee• DOE Secretary issues Guidance

Carr, 2003

Guidance Development: Structure

• Produce a flexible framework that helps guide agencies when they develop specific implementation plans.

• Agency implementation plans should consider

• Specific constraints• Opportunities• Energy program

management benefits

• Produce a screening process that identifies the cost- effective application of metered data, such as:

• Energy unit costs• Ability to respond to

demand and charges• Bill aggregation • Total annual costs• Energy intensity per

square foot• Potential energy savings

projects

Ream, 2003

Guidance Development: Structure

• Exemptions granted on the basis of security or economic justification based on the lack of savings to cover the costs.

• Metering program reporting should be made through a simple change to the existing annual agency energy report.

• Metering should eventually include all energy sources (and water as economically appropriate) for which data use could result in better resource management.

Ream, 2003

Guidance Development: Structure

• Sub-metering can include any meters on a multi-building facility beyond the utility revenue meter, or metering of large energy users in an individual building

• Initial phases• Access to existing

utility revenue meter pulse data

• Metering of obviously significant buildings using rules of thumb, e.g. annual energy use over $X0,000

Ream, 2003

Guidance Development: Structure

• Guidance should outline a phased effort to start with easily implemented, cost-effective projects, and the use of early experience to refine follow-up efforts.

• Follow-up phases • Identify and

prioritize additional meter installation through a cost -benefit analysis based on assessment of the specific metering costs and related potential savings.

Ream, 2003

Purposes of Advanced Metering

• Utility• Time-of-use billing• Demand response• Automated meter reading• Distribution load

management

• Energy management• Benchmark, target• Analyze loads• Manage peak demand• Measurement &

Verification

• Facility management• Power quality• Emergency / condition

alerts• Maintenance diagnostics• Combine multiple BMS

• Financial management• Load aggregation• Cost allocation• Budgeting, forecasting and

reporting

Burns, 2003

Advanced Metering Technology

• Hardware• Advanced “smart”

meter• Interval

measurements• Communication

ability

• Sub-meter• Separate loads by

buildings, floors, etc.

• What to meter• Electricity, natural

gas, water, steam

• Software• Data presentation• Data analysis

• Gateways• Data collection

• Communication• Data format• Transmission

• System• Security, data storage

and management

Burns, 2003

Building a Business Case• Costs, benefits, issues, what-if’s• Comes before RFP

• Yet needs feedback from RFP for cost calculation

• Determine needs• Satisfy whom?

• Facility manager• Energy manager• Financial manager

• Determine goals• Identify data sources

Burns, 2003

Building a Business Case

• Costs easy to underestimate• Hardware

• Who owns, inventory

• Software (presentation)• Data collection (communication)• Data storage, system management

• Internal IT, outsourced ASP, SLA

Burns, 2003

Building a Business Case

• Costs, continued• Installation, integration, project management

• Turnkey solution, internal team costs, onsite labor

• Training, evaluation• Ongoing

• Data collection (communication)• Maintenance, updates, upgrades, additions• Re-training, re-integrating• Labor

Burns, 2003

Building a Business Case• Energy bill reduction, event avoidance, O&M

improvement• Facility management

• Load management, distribution• Power quality• Combined BMS• Maintenance diagnostics• Process scheduling

• Financial management• Benchmark, target• Budget forecast• Cost allocation, aggregation

Burns, 2003

Building a Business Case

• Benefits, continued• Energy management

• Fuel cost analysis, tariff / contract alternatives, on-site generation

• Demand response• Measurement & Verification

• Administrative efficiency• Automatic collection and reporting of energy

usage, emissions, whatever monitored

Burns, 2003

Building a Business Case• Issues

• Don’t underestimate deployment costs

• Project management• Installation• Integration• Training

• Quantifying benefits tends to be conservative

• Begin with energy audit• Prioritize projects

according to payback

• What-ifs• Pilots• Scaled or segmented

deployments• Hardware alternatives• Multiple goals• Alternative energy

contracts, providers

Burns, 2003

Deployment Issues

• Critical: identify members of team• Critical: identify goals

• Type of report• Source of data

• Installation site walk-through checklist• One-line drawings• CTs, PTs, enclosures• Contact information for all entities• On-site labor• Responsibility for updates

Burns, 2003

Deployment Issues• Getting the data is hard

• Integration• MV-90, EDI, gateways

• Interruptions• VEE

• Systematizing use is hard• Advanced meter / energy information system is

only a tool, not a result

• Expectations

Burns, 2003

Sub-Metering Costs

Item Low High

Electrical sub-meter $400 $600Data acquisition and $600 $1000

communicationsWiring $100 $200Miscellaneous $100 $200

Totals $1200 $2000

Lewis, 2003

Sub-Metering Sample Strategies

• Install meters only with software for collecting data

• Metering with cost allocation software• Metering with cost allocation and operational

analysis and fine-tuning (Building Tune Up)• Metering with cost allocation, intensive

monitoring of major energy consuming equipment using specialized software and outside review of operations and verification of savings (continuous commissioning)

Lewis, 2003

Sample Strategy Savings

0 10 20 30 40 50 60 70 80 90 100

% Savings

Meter only (1)

Allocate costs (2)

Bldg Tune-Up (3)

ContinuousCommissioning (4)

Lewis, 2003

Sample Strategy Savings

Savings from Monitoring, Diagnostics and Verification

0

20

40

60

80

100

120

140

160

0 5 10

Years Post-Commissioning

% o

f E

sti

ma

ted

Sa

vin

gs

Poor M&V Good M&V Continuous commissioning

Lewis, 2003

Government Case Studies

• LA Air Force Base• Over 50 E-MON D-

MON sub-meters• 21 I-MON data

accumulators• CE-MON software• Est. Cost $50k• Used to verify over

$1 million in savings

• Washington National Airport

• installed 200 meters @~ $300,000

• Estimated savings from tenant billing 10%

• Estimated savings from cost allocation 5%

• Estimated savings from conservation, potential of 10%

• Minimize tenant/landlord disputes

Foley, 2003

All presentations are available at:

www.eere.energy.gov/femp/techassist/operation

s_maintenance/