Presentation and discussion with the Select Committee …€¦ ·  · 2016-08-22Presentation and...

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Energy Performance Services (EPS/Canada) Inc.

Presentation and discussion

with the Select Committee of

the NB Legislature

EPS introduction • 24 years of specialization in energy efficiency/energy

management

– Industrial EE projects

– Industrial Energy Management Information Systems (EMIS)

– Industrial management systems for energy management (ISO 50001)

Canada, US, Brazil, Russia, Japan, India, Thailand, Vietnam, Africa

Established 1992

www.epsenergie.com

Energy Management System

(Defined management process)

Energy Management

Information System

(EMIS)

Organizational action

to manage energy

-Management

-Operations

-Floor level

Sav ings

Project approach

ISO 50001

Technology

Savings

+O&M

Savings EMIS

+Top

Management

+ Energy planning

+Procurement

+Design

+Communications

+Training

+Checking

Management System Organisation

Established 1992

www.epsenergie.com

Established 1992

www.epsenergie.com

Current*/Recent Projects/Customers

• US

FOE OEE 3M

HQ

ENS

ENB NBP

2011-

present

2007-2012

2012-

present

2015-

present 2015-

present

www.epsenergie.com

Current*/Recent Projects/Customers

3M * (7 facilities) Hydro-Quebec IBM* Kruger* Domtar Labatt Toyoda Gosei Efficiency NS JD Irving* CKF* Oxford Frozen Foods Stellia Aerospace* Michelin* CEC 21 plants Arauco* Dunsky*-NB Power

Focus on Energy Georgia Pacific* Kohler* Saputo* GKN* Aptar* Charter Steel* Menasha Packaging* Foremost Foods* Quad Graphics* Phillips Medisize* JBS* Green Bay Packaging*

US Canada

Metering & Drivers

Energy Management Information

Procurement

Supervisory & operators

Engineering

Management

Hardware

Performance

Information

Management

Systems

& Procedures

People in organizations taking Action

Energy Account Centers (EAC’s)

IT Data capture & Integration

Energy p

erform

ance in

form

ation

Im

pro

vemen

t Actio

ns Maintenance

What is EMIS?

Energy savings

9

Energy Account Centers

Established 1992

www.epsenergie.com

Utility Generation

Outsourced Buildings

Energy Account

Centres #5

Energy AccountCentres #4

Energy AccountCentres #1 - 3

Building #1

Manager Energy $ / Year

Manager 1 $6 million

Manager 2 $2 million

Manager 3 $1.5 million

Manager Energy $ / Year

Manager 4 $1 million

Manager Energy $ / Year

Manager 5 $4 million –

including on site

generation

Building #2

Building #3 Significant energy uses

“controllable elements” that can be affected by

the organization

Prod. Line 1

Buildings and Warehouses

Utility Generation

Prod. Line 2

Prod. Line 3

Energy Account Centers #1 - 3

Energy Account Center #4

Energy Account Center #5

EMIS Elements

Established 1992

www.epsenergie.com

Operators &

Maintenance

Management

Supervisors

Summary Information

Exception Report

Control

Information

Energy consuming systems

Act

ion

Me

asu

re

Management Report

Supervisor Report:

Operator info:

EAC Owner

Budget Information

EAC Owner Report:

Reporting Structure

Data

Collection &

Analysis

Established 1992

www.epsenergie.com

EAC’s Preliminary EAC

design

Purpose definition

Gaps

Metering &

Data Capture

Data Analysis

&

Reporting

Systems

People Taking Action

Energy

Management

Systems

& Procedures

Gap

Closure

Savings

Estimation

EMIS Audit

Report

(Business

Case)

Cost

Estimation

Understand the

current organization

management systems

EMIS Audit

Established 1992

www.epsenergie.com

Who has a role to play in improving our energy

performance?

Established 1992

www.epsenergie.com

Project

Pipeline

Program Structure

EMIS

Opportunity

Identification

EMIS

Audit

Business

Case

Implementation

Savings

Measurement

EMIS

Imp Plan

Project

Development

101

Introduction

to EMIS

Advanced

EMIS

Modeling

Capacity

Building

EMIS

Implementation

M&V 101

M&V 201

50%

Max $50 k

50%

Max $250 k

50%

Max $50 k

100%

Max $15 k

50%

Max $35 k

50%

Max $100 k

Program Participation Agreement Investment Criteria

Project Pipeline EMIS

Sector & Technology

Days

Large Industrial Program Structure

Project

Development

201

Conducting

the EMIS

Audit

EMIS Impl.

Planning

Efficiency NB Large Industry Program

Program Approach

Address all energy sources

Position energy efficiency as a business issue

Involve strategic, financial and operational levels of organization

Define investment criteria and co-share costs and risks based on actions

Provide a comprehensive approach and structured path for targeting and implementing capital and operating energy efficiency improvements

Build organizational and individual energy management competencies in industry & the service sector

Provide high quality account support to industry;

26 Participants

Pulp & Paper (7) Wood Processing (9) Food Processing (5)

Other (4)

AV Nackawic Flakeboard McCain’s (F) Irving Oil

AV Cell Marwood McCain’s (GF) CertainTeed

Irving Paper Groupe Savoie Moosehead Irving Wallboard

Irving P&P Twin River (PR) Conner IPL

Irving Tissue Grand Lake Timber Maple Leaf Xstrata

Lake Utopia Paper Deersdale Sawmill

Twin River-Ed Doaktown Sawmill

Scierie Grand Riviere

Veneer Hardwood

Tip of the Iceberg?

Category Financial value

Capital Investment $103,000,000

Annual recurring $ savings $ 26,000,000

Avoided energy use 2800 TJ (4.1%)

Avoided GHG 200,000 TPY

Total Energy = 68 PJ

Achievable potential could

range from 5%-13%

Large Industry Program # Annual TJ Reduction

Capital Invested

Annual $ Savings

Incentives Paid

Large Industry Participants 26

Capital Projects in construction or operation

29 2,621

$108 million

$26 million

$774,000

EMIS in construction or operation

6 188

$1.5 million

$3.5 million

$660,000

Impact of all measures to date in construction or operation

35 2809 109.5 million

29.5 million

$1,434,000

Program Results Program results

A recognized model

2010 International Star of Energy Efficiency Award from the Alliance to Save Energy for the Large Industrial Program

Modest incentives focusing on

energy management measures (EMIS) and capacity building, not equipment change-outs

Program Structure

EMIS

EMIS

Audit

EMIS

Imp Plan

EMIS

Implementation

Business Case

Structured path

% of total market % conversion

EMIS Audits 22 85% 68%

EMIS Implementation Plans 15 58% 100%

EMIS Implementation 14 54%

Efficiency

New Brunswick

Program Structure

EMIS

EMIS

Audit

EMIS

Imp Plan

EMIS

Implementation

Business Case

Structured path

Efficiency

Nova Scotia

Program Structure

ISO/EMIS

ISO/EMIS

Audit

ISO/EMIS

Implementation

Business Case

Structured path

Focus on Energy

Wisconsin

# Conversion %

ISO/EMIS Audits

Completed 6 6 100%

In-progress 6

Total 12

ISO/EMIS Implementation

In-progress 6

-

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,0002

5-F

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kWh

/ D

ay

Electricity: Energy Drivers vs Actual

Baseload - 78% Tonnage - 22% Total kWh

kWh / Day = 305,710.59 + 122.17 * Tons of Production +/- 22,309.62

Fixed Baseload = $ 6.2M / year

Established 1992

www.epsenergie.com

Total = $ 7.9 M / year

$0

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Ener

gy c

ost

s (1

5m

in)

Production Off Target Cost

Established 1992

www.epsenergie.com

0

30000

60000

90000

120000

-

2,000

4,000

6,000

8,000

Cu

mu

lati

ve S

avin

gs (

kWh

)

kWh

on

Su

nd

ays

Baseline $10,884

Established 1992

www.epsenergie.com

https://www.youtube.com/watch?v=jGE5Q1qCwzI

3.9

energy

management

system

(EnMS)

set of interrelated

or interacting

elements to

establish an

energy policy

and energy

objectives, and

processes and

procedures to

achieve those

objectives

This International Standard is based on the Plan - Do - Check - Act (PDCA) continual improvement

framework and incorporates energy management into everyday organizational practices,

• EM Action plans

• Training & awareness

• Communication

• Documentation

• Operational control

• Design & procurement

• Energy review

• Energy baseline

• EnPIs

• Objectives & targets

• Action plans

The energy management system is similar to other

ISO systems. It involves the following components:

1. Top management communicates the importance

of continuous improvement in energy performance

through an Energy Policy, setting objectives and

targets and the allocation of responsibilities and

resources

2. There is an annual planning process to determine

how the organization is going to achieve

improvement in alignment with the policy,

objectives and targets

3. The organization implements the energy action

plans and build energy management into our day

to day activities

4. We check our improvement in energy

performance, correct non-conformities and

periodically conduct internal audits of the system

5. Management conducts reviews to assess the

progress of the organization in achieving energy

performance improvement

I - Site Investigation II – Perform Energy

Analysis III – Develop Energy

Saving Strategy

IV – Calculate Potential Energy

Savings

V – ISO 50001 Gap analysis & work to

close gaps

VI – Identify EMIS Infrastructure (meters, data

capture & reporting)

VII – Estimate Project Cost

VIII – Implementation

plan

IX – Present business case

ISO 50001/EMIS Business Process Flow Diagram

Established 1992

www.epsenergie.com

Management responsibility Energy Planning CheckingManagement

Review

Top Management Energy review Training Internal audit

Policy Communications

Appoint Mgmt Rep Signif Energy Uses Design EMIS

Approve EM team Purchasing

Communication of importance Obj's & targets Employees' ideas

Objectives & targets

Indicators Targets

Results reporting SOP training

Management reviews Actual performance

Control actions

Management Rep Results

Implementation of EnMS Non-conformities

Identify EM team

Report to management Project A3's Projects Implementation Project savings

Energy planning

Communicate responsibilities

Promote awareness of policy EnPIs

EM Team Energy baseline

Energy Coordinator

Operational control

Action Plans

Operational

Control

Energy savings

from operational

control

Periodic

evaluation of

EnMS

Total energy

savings

Implementation & operation

Support

Influencing activity

Energy Management System (EnMS) Structure

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Overall

Management Review

Checking

Procurement

Design

Operational control

Documentation

Communications

Competence, Training & Awareness

Energy Planning

Energy Policy

Management Responsibility-Mgmt REP

Management Responsibility-Top Mgmt

37%

0%

0%

33%

0%

0%

88%

66%

13%

45%

50%

100%

50%

70%

25%

91%

33%

70%

55%

100%

83%

35%

97%

100%

54%

95%

Current Score

Initial Score

Energy Supply

=

Energy Efficiency

+ Energy Waste

- Recovered

Energy

I. Optimize supply

• Understand costs

• Optimize Tariffs

• Control peak

II. Increase energy efficiency

• Projects

• Operations

• Utilities

• Buildings

III. Eliminate energy waste

• Excess loads

IV. Maximize recovery

• Waste heat

• Boiler plant

• Buildings

Energy Management Strategy

Established 1992

www.epsenergie.com

Conversion to useful work +

efficiency losses

Conclusions • Large industries recognize the value of moving to “systematic energy management”

• “One size does not fit all”

– EMIS, ISO 50001, SEP, SEM

• Industry needs help building the business case step for positioning energy management on a customized basis with senior management and for continuing to evolve it;

• Competitiveness is the main driver for industry. (Financial/ Environmental sustainability)

• Efficiency programs are essential.

• Energy management has to be of “all energy” not just electricity

• Substantial potential exists for savings but support is required to “make a culture of efficiency happen”

Conversion to useful work +

efficiency losses

Thank-you

Peter.bassett@epsenergie.com