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TRANSCRIPT
The Energy Management
Journey
Mike Brogan, COO & Co-‐Founder
Why you should use ISO 50001!
QSET software
Energy consultants large MNC’s (IS 393 software)
Members EN/ISO 50001 committees
First installs: buildings & industry
EN 16001 software deployed
Enerit ISO 50001 software launched
19 years in Management System Software
1995 2004 2006 2008 2010 2011
Enerit Founded
Systematic vs. Business as Usual
Why an EnMS?
Ad-Hoc Approach
© Enerit Ltd 2014
Systematic Approach to Energy Management
Source: US Department of Energy
Continual Improvement
approach are 13.7% versus Business-‐as-‐Usual approach of 3.6%.
References: http://eetd.lbl.gov/sites/all/files/aceee_sep_paper.pdf http://www.superiorenergyperformance.net/results.html
Systematic Approach – 10.1% Additional Savings
Why ISO 50001 EnMS? – Evidence speaks for itself!
BSI Group ...Sheffield Hallam University in the UK reduced its carbon emissions by 11% once it was certified. Annual savings of over £100,000 ($160.7k). Deloitte research has shown that organizations pursuing a systematic energy management approach are achieving three times more savings that those who do not (7.2% versus 2.4 %.) The range of savings found by Certification Europe are from 6-‐37%.
Source: Deloitte: The Power Shift. Businesses Takes a New Look at Energy Strategy
Area Activity Level 1 Level 2 Level 3 Level 4 Level 5Commitment Man. Responsibility Inputs to define the organizations strategy are ad hoc and
mostly …
There is no specific department dedicated to energy management.
The task is performed by a more generic support group ….
The process to strategy and targets formulation is based on the…
Clear and specific roles and responsibilities related to the …
The development of new technologies for improving the …
A short term energy planning is usually performed…..
The policy reflects the relationship between the organisations activities and its relevant aspects, and it is communicated internally.
A competent team on energy management issues is created.
The communication of roles and responsibilities is performed using.....
Strategy, policy and goals are established in a well-‐structured manner by top management that provides for external communication.
Threats, opportunities and availability of resources are evaluated and....
People have clear responsibilities and targets and know how they link within...
Top management sets short, medium and long term goals in the energy policy.
Energy management is continuously considered in business goals setting….
The central authority is also responsible for managing all energy related external ....
Energy Policy The related needs are defined on as needed basis in response…
The organisation doesn’t have its own energy policy
There is a structured process to strategy formulation but a policy…
The process for defining energy management strategies and ……
The policy reflects the relationship between the organisations activities and its...
The process to strategy and targets formulation is based on the analysis of ...
The executive level has appointed a managing role the responsibility for .....
Top Management implements an energy policy that goes beyond legal....
The policy is communicated to all its employees and all personnel working on....
Top Management establishes implements and maintains an energy policy with....
Energy Planning Legal Requirements There is a no structured regulatory alignment process
There is a no structured regulatory alignment process
Energy planning and targets are based on analysis of process ...
The organisation identifies a person responsible for finding the laws and...
The development of new technologies for improving the energy management...
Structured and periodic reviews of planning processes are in place...
The organisation not only meets legal obligations but also ethical obligations…
Energy planning is performed based on the short-‐term, medium term and .... The organization operates respecting the principles of sustainable development…
Significant Energy Uses The organisation is not conscious of its major Energy aspects, but it is able…
Estimation of expected energy consumption is done occasionally …
Energy planning and targets are based on analysis of process requirements and compliance with legal obligations, taking into account short-‐term goals.
The organisation identifies a person responsible for finding the laws and...
The organisation is aware of its significant energy uses.
The organisation is registered to receive regular updates on legislation...
A specific role charged with disseminating new regulations has ....
The organisation is aware of the energy consumption of significant energy uses..
People have clear responsibilities and targets and know how they link within ...
There is structured process to opportunities definition toward energy...
Benchmarking against well understood industry best practices takes place…
The organisation is aware of its significant energy uses from a sustainability point ....
Energy Baseline & EnPI’s Estimation of expected energy consumption is done occasionally …
The organisation is not conscious of its major Energy aspects, but it is able…
Energy consumption is estimated based on historical consumption analysis …
The energy transformation and distribution processes are well managed.
Critical areas for energy efficiency are identified and plans are developed...
Critical areas for energy efficiency are identified and plans are developed…
Energy consumption forecasting is detailed at single area level and ...
Benchmarking against well understood industry best practices takes place…
The organisation is aware of its significant energy uses from a sustainability point ....
Energy Action Plans The planning process is managed in ad hoc manner
The organisation is not conscious of its major Energy aspects, but it is able…
The organisation identifies all people whose actions may lead to significant...
Energy consumption is estimated based on historical consumption analysis …
Critical areas for energy efficiency are identified and plans are developed...
Critical areas for energy efficiency are identified and plans are developed…
Estimation of expected energy consumption is done occasionally …
The organisation is not conscious of its major Energy aspects, but it is able…
Energy consumption is estimated based on historical consumption analysis …
The energy transformation and distribution processes are well managed.
Implementation Training and awareness The related needs are defined on as needed basis in response…
The organisation doesn’t have its own energy policy
There is a structured process to strategy formulation but a policy…
The process for defining energy management strategies and ……
The policy reflects the relationship between the organisations activities and its...
The process to strategy and targets formulation is based on the analysis of ...
The executive level has appointed a managing role the responsibility for .....
Top Management implements an energy policy that goes beyond legal....
The policy is communicated to all its employees and all personnel working on....
Communication There is a no structured regulatory alignment process
There is a no structured regulatory alignment process
Energy planning and targets are based on analysis of process requirements...
The organisation identifies a person responsible for finding the laws and... .
The development of new technologies for improving the energy management...
The planning process and continuous energy efficiency improvement relies on interested parties.
Structured and periodic reviews of planning processes are in place...
The organisation strives for best technologies available.....
Energy planning is performed based on the short-‐term, medium term and .... The organization operates respecting the principles of sustainable development...
Doc. Control The related needs are defined on as needed basis in response…
The organisation doesn’t have its own energy policy
There is a structured process to strategy formulation but a policy…
The process for defining energy management strategies and ……
The policy reflects the relationship between the organisations activities..
The process to strategy and targets formulation is based on the analysis of ...
The executive level has appointed a managing role the responsibility for .....
Top Management implements an energy policy that goes beyond legal....
The policy is communicated to all its employees and all personnel working on....
Design & Procurement There is a no structured regulatory alignment process
There is a no structured regulatory alignment process
Energy planning and targets are based on analysis of process …..
The organisation identifies a person responsible for finding the laws and...
The development of new technologies for improving….
The planning process and continuous energy efficiency ...
Structured and periodic reviews of planning processes are in place...
The organisation strives for best technologies available....
Energy planning is performed based on the short-‐term, medium term... The organization operates respecting the principles of….
Checking Monitoring The related needs are defined on as needed basis in response…
The organisation doesn’t have its own energy policy
There is a structured process to strategy formulation but a policy…
The process for defining energy management strategies and ……
The policy reflects the relationship between the organisations activities and its...
The process to strategy and targets formulation is based on the analysis...
The executive level has appointed a managing role the responsibility for .....
Top Management implements an energy policy that goes beyond legal....
The policy is communicated to all its employees and all personnel working on....
Internal Audits & CAPA There is a no structured regulatory alignment process
There is a no structured regulatory alignment process
Energy planning and targets are based on analysis of process requirements …..
The organisation identifies a person responsible for finding the laws and...
The development of new technologies for improving the energy management ….
The planning process and continuous energy efficiency improvement….
Structured and periodic reviews of planning processes are in place...
The organisation strives for best technologies available....
Energy planning is performed based on the short-‐term, medium term and .... The organization operates respecting the principles of sustainable development…
Man. Review Management Review The related needs are defined on as needed basis in response…
The organisation doesn’t have its own energy policy
There is a structured process to strategy formulation but a policy…
The process for defining energy management strategies and ……
The policy reflects the relationship between the organisations activities and its...
The process to strategy and targets formulation is based on the analysis of ...
The executive level has appointed a managing role the responsibility for .....
Top Management implements an energy policy that goes beyond legal....
The policy is communicated to all its employees and all personnel working on....
The Journey -‐ Energy Management Maturity
No clear responsibility No energy policy No information system No Energy Team As-‐needed basis Basic monitoring using energy bills No understanding of SEUs Targets based on bill reduction No O&M training ad-‐hoc awareness of EE program Zero-‐cost actions
Relies on limited Energy Team Energy Policy by some staff Basic EnMS spreadsheets Activities plan by function Basic metering Cost reports based on bills SEUs known EnPIs analysed Global targets General training Low cost actions
Policy by senior management Activities planned around SEU’s Energy Manager & Energy team Activities based on SEUs M&T system Obj. & Targets set based on EnPIs O&M staff trained on EE. Awareness training for all EE Investment in short term actions priorities based on payback etc.
Regular review of Energy policy Strategy and goals from management Clear roles in line with business Detailed reports on SEU’s Sub-‐meters Obj. & Targets in line with business Training programs in place. Criteria in Investment same as others
Policy integrated into company goals and expectations EM included business goals Innovation and best practices Well defined medium and long term targets Forecasting and linked to ERP Skills aligned with best practices Aware of energy performance RET investment
External Validation & Recognition
Level 1 Level 2 Level 3 Level 4 Level 5
Systematic Approach to Energy Management
EnMS Maturity Results in Higher Energy Savings
Question
What is your biggest barrier to implementing and EnMS?
Barriers to Energy Management
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No management focus
Lack of understanding of financial, economic, and environmental benefits
Lack of skills for Energy Efficiency measurement and projects
Poor monitoring systems and data
Focus on initial costs rather than recurring reductions
Energy Efficiency knowledge resides within individuals rather than the organization
Certification
Required
Stakeholders Regulations Clients
Beneficial
ROI Improvement
Why Companies get certified
Source – DOE http://www.superiorenergyperformance.net/results.html
67%
6%
18% 9%
Internal Staff Time
ISO 50001 / SEP Audit
External Technical Assistance M&T Equipment
The Costs Associated With ISO 50001 certification
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Why is Internal Staff Cost So Significant?
TIME WASTED?
Manually Updating Multiple
Spreadsheets
Replicating Existing
Information
Lack of Implementation
Experience
Ineffective Communication
Lack of Planning and
Follow up
Travel Between Multiple Sites
Looking for Current
Documents
© Enerit Ltd 2014
Get Management Commitment – the key o Build the Business Case -‐ Market to the CEO/CFO o Most failures – switching priorities
– Can’t stay on the job
Get Integrated -‐ o Link up with the teams and systems that look after environment, quality & health and safety
o They bring standards & compliance knowledge o They will help look after the management systems side o Best implementations have combined teams
Getting Started – Two Big Points
Step by Step Approach
Track Progress
Overview: Current Position vs. Standard
Savings accrue as each area is improved
Integration with other Systems
BMS Carbon
Reporting M&T
Single point of access for all Energy information!
Integration with Other Standards
Ref: SGS
See also: http://www.energymanagertoday.com/iso-‐50001-‐integration-‐with-‐iso-‐14001-‐089466/
Organisational Benefits of Integration
Reduce administration time to pursue improvement opportunities.
Better teamwork for more effective energy saving action completion
Use of existing materials/resources and eliminate duplication across the management systems.
Ease of finding information so available to right person easily.
Better planning of management activities (e.g. audits, meetings, actions).
Easier implementation and maintenance of the certifications.
Common methods for processing environmental and energy saving suggestions and actions
New York State
• 1996 – ISO 9001 “it taught us to do what we say and say what we do”
• 2000 – ISO 14001 “Knowing that 9001 made us accountable in quality systems, we anticipated that 14001 would give us similar improvement in areas of environmental impact..” o 1st wind turbine
• 2013 – ISO 50001 / SEP -‐ carbon neutral o “..marketing carbon
neutrality in every part they manufacture and to prove it…”
o Target 15% savings over 3 years – SEP Platinum – 16.4% achieved
• currently seeking – ISO 13485 – quality for medical devices
o Decision to use single software for all ISO systems.
Benefits Employee Engagement: People are now taking the time to think “How can we decrease energy usage!”
Systemic Approach to Achieving Energy Cost Savings: tools to measure and monitor going forward in the future.
Continual Energy Efficiency Improvement: “..leads to more new product development … more energy efficiency in equipment performance…”
Low Implementation Costs with High ROI: No costly new equipment or major changes. Less than the full-‐time effort of one employee, but had the support and encouragement of management.
Full case study from US DoE: http://www.cleanenergyministerial.org/Portals/2/pdfs/GSEP_EMWG_harbec_case_study.pdf
Kick Start your Energy Management Program Visualize YOUR Energy Saving Opportunities Identify waste and opportunities early http://www.energymanagertoday.com/kick-‐off-‐your-‐energy-‐management-‐program-‐with-‐guesstimation-‐sankey-‐visualization-‐096549/
Energy Review
Analyze energy use and consumption
Determine Significant Energy Use (SEU)
Many excellent M&T systems available but poorly designed o 100:1 sensors for 50/50 Elect./Thermal -‐ Why? o Overwhelmed with 15 min. data
Get it right first time o Don’t fear “guesstimating” initially o Spend wisely – even on expensive single items
• e.g. Big steam meter if relevant
Well implemented EnMS will help to align energy uses and metering and provide real value.
Monitoring first? …
Energy Review
Identify energy improvement opportunities o record (energy audits, suggestions, best practices) o Prioritize (cost savings, payback, complexity)
Conclusions
EnMS: different from BAU Energy savings: 6-‐37%; SEP – 10%, 1.7 yr payback Start well:
Persuade management – the material is there – use it! Team up with EHS&Q for MS – skills & people-‐time
Design better M&T after end-‐use estimates Pinpoint energy end-‐use – changes everything Build or buy an EnMS ICT support – add to M&T
Conclusions
For implementation & continuing success: Integrate with EHS & Q systems Maximize communication & accountability Minimize administration cost Visualize to motivate & track Communicate all key managers & gen. staff Track “way of working”, as well as EnPIs & actions
Bottom line: this is not compliance – it’s a common sense way of working
