Energy AuditingAn introduction

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“The Australian Government’s Energy Efficiency Opportunities (EEO) program encourages large energy-using businesses to increase their energy efficiency by improving the identification, evaluation and implementation of worthwhile energy savings opportunities. Energy efficiency can deliver significant financial and social benefits and is the most cost effective way to reduce greenhouse gas emissions.

Participation in the program is mandatory for corporations that, individually or as part of a corporate group, use more than 0.5 PJ of energy per year. There is a temporary exemption for companies in the energy distribution and transmission sector.

The threshold of 0.5 PJ of energy per year is approximately equivalent to:• 139,000 megawatt hours of electricity;• 9000 tonnes of LNG or 10,000 tonnes of LPG;• 13 megalitres of diesel; or• spending of approximately $11-17 million on electricity, $1.5-2.5 million on gas or $16-18 million on diesel (depending on prices).” EEO Guidlines

“The program applies to over 310 corporations from the manufacturing, mining, resource processing, electricity generation, transport and commercial sectors. These corporations use approximately 57% of Australia’s total energy use.

Participants in the program are required to assess their energy use and report publicly on the results of the assessment and the business response. Decisions on energy efficiency opportunities remain at the discretion of the business.

The program’s Assessment Framework takes a whole of business approach to assessing energy use and energy savings opportunities. The framework requires corporations to consider the many factors influencing energy use, including leadership, management and policy; the accuracy and quality of data and analysis; the skills and perspectives of a wide range of people; decision making; and communicating outcomes. Participants are expected to meet minimum requirements in each of these areas.

Corporations must report publicly on the results of their energy efficiency assessments and the opportunities that exist for projects with a financial payback of up to four years. The focus is on the energy savings opportunities identified in the assessment and the business response to those opportunities.” EEO Guidlines

The manual

Part A - An Overview of Energy Auditing

Part B - Energy Analysis Methods

Part C - Technical Supplement

What is an energy audit?

data collection and review

plant surveys and system measurements

observation and review of operating practices

data analysis

A process required to develop an energy management plan. Needs to find when, where, why and how energy is used in the company/residence.

What are the challenges?

define the system being considered

measure energy flows into and out of the system

select convenient units so all parts of the system can be converted to common units.

be able to calculate energy in material flows

be able to calculate heat from pecursory energy forms

Key energy audit steps1 Conduct a condition survey

2 Establish the audit mandate

3 Establish the audit scope

4 Analyse energy consumption and costs

5 Compare energy performance

6 Profile energy use patterns

7 Inventory energy use

8 Identify EMOs (Energy Management Opportunities)

9 Access the benefits

10 Report for action

Preparation for audit

Develop an audit plan

Coordinate plant departments

Define audit resources

Develop an audit planThe audit plan should provide the following

the audit mandate and scope

when and where the audit will be conducted

details of the organizational and functional units to be audited (including contact information)

elements of the audit that have a high priority

the timetable for major audit activities

names of audit team members

Coordination with plant departmentsConsider the following

review the audit purposes (objectives), scope and planadjust the audit plan as requireddescribe and ensure understanding of the audit methodologiesdefine communications links during the auditconfirm the availability of resources and facilitiesconfirm the schedule of meetings (including the closing meeting) with the audit’s management groupinform the audit team of pertinent health, safety and emergency proceduresanswer questionsensure that everyone is thoroughly familiar and comfortable with the audit’s purposes and outcomes

Defining audit resourcesThe auditor(s) chosen should

be independent of audited activities, both by organizational position and by personal goals

be free of personal bias

be known for high personal integrity and objectivity

be known to apply due professional care in his or her work

Energy Savings Toolbox - Canadian Industry Program for Energy Conservation

1 Conduct a Condition survey

2 Establish the audit Mandate

3 Establish the audit scope 4 Analyse Energy Consumption and Costs

5 Comparative analysis

Description

Data required

Templates and Checklists

Spreadsheet templates

Analysis and Methods

External Resources

Results

•Identifies the most likely locations for the audit. •Identifies EMOs that could be implemented without further analysis.•Helps to set priorities for the audit’s mandate and scope

•Establishes and articulates the purpose of the audit• Secures stakeholder input and commitment to the audit mandate

•Specifies the physical extent of the audit by setting the terms of the boundary around the audited energy- consuming system•Identifies energy inputs that cross the boundary to be audited

• Tabulates all energy inputs – purchased and otherwise•Establishes the annual pattern of energy consumption and total annual consumption

•Compares current energy performance with internal historical performance and external benchmarks•Provides insight into what drives the energy consumption of a facility and what relative savings potential•may exist

Visual inspection of representative areas and equipment

•Input from senior management and production and maintenance staff•Constraints in timing, resources and access to facilities•Resources

• Results from condition survey• Location of all energy inputs to the system• Lists of all major energy-consuming systems

•Utility bills for each purchased energy source•Metered data for other energy inputs•Applicable utility rate structures

•Periodic energy consumption data•Periodic data for relevant consumption drivers (or impact variables) such as production, weather and occupancy

•Condition Survey Checklists (Section C-3)

•Audit Mandate Checklist (Section B-2)

•Audit Scope Checklist (Section B-3)

•N/A •N/A

•Condition Survey.xls •N/A •Condition Survey.xls •Electricity Cost.xls •Gas Cost.xls •Fuel Cost.xls

•Comparative Analysis.xls

•Condition Survey (Section B-1) Audit Mandate (Section B-2) •Audit Scope (Section B-3) •Analyse Energy Consumption and Costs (Section B-4)

•Comparative Analysis (Section B-5)

•N/A •Natural Resources Canada (NRCan) technical publications•Consultants

•N/A • Utilities often provide historical energy consumption data tabulation and analysis

•Consultants that specialize in energy accounting or energy monitor- ing and targeting (M&T)

•A relative assessment of the condition of each energy-consuming system present in the facility

• Statement of the audit outcome:•– Audit location•– Extent and types of analysis•– Type of EMOs and extent of savings analysis required•– Other related outcomes of the audit, e.g. productivity, operations and maintenance (O&M), environmental co-benefits

• Specification of the audit boundary in terms of input energy flows, energy consuming systems and, indirectly, energy outflows

•Relative annual cost of each purchased form of energy•Incremental (marginal) cost of•– electrical demand and electrical energy•– natural gas – other fuels

•Relationships between energy use and significant drivers•Trends in consumption•Preliminary reduction targets•Savings potential in reducing the variability of energy consumption

6 Profile Energy use Patterns 7 Inventory of Energy use 8 Identify Energy Management opportunities (EMOs)

9 Assess the Costs and Benefits 10 Report the audit’s Findings for action

Energy Savings Toolbox - Canadian Industry Program for Energy Conservation

•Develops an understanding of the time patterns in which the system consumes energy

•Provides a clear picture of where energy is being used•Helps to prioritize possible EMOs and reveal opportunities for reduction by eliminating unnecessary uses

•Involves critical assessment of systems and levels of energy consumption•Methods range from open-ended analyses to close- ended checklists•Helps to determine whether a more detailed micro- audit is needed

•Preliminary assessment of energy savings opportunities•Accounts for inter- action between EMOs when several are possible, i.e. determines net savings

•Reports the audit’s findings in a way that facilitates taking action (applies to all levels of EMOs, from no-cost house- keeping items to capital-intensive retrofit EMOs)

Description

•Logged data over intervals from one minute to one hour to one day for•– electrical power•– gas flow •– temperature •– humidity•– light level•– airflow or pressure•– other pertinent and measurable factors

•Facility and equipment drawings and specs•Equipment inventory and nameplate data•Power and fuel consumption•Measured flow rates, temperatures, etc.•Equipment condition and performance

•Energy inventories and balances•Notes from walk-through tour•Selected measurements

•Existing vs. proposed energy consumption•Incremental cost of energy•Optional measurements of existing consumption and conditions

•Results from each preceding step, from the initial cost analysis to the EMO financial benefit

Data required

•N/A •Load Inventory Forms (Section C-5)

•EMO Checklists (Section C-2) •N/A •ReportTemplate (Section B-10) Templates and Checklists

•Profile.xls •Load Inventory.xls•Thermal Inventory.xls•Fuel Systems.xls •Envelope.xls

•N/A •Assess the Benefit.xls •Assess the Benefit.xls Spreadsheet templates

•Profile Energy Use Patterns (Section B-6)•Instrumentation for Energy Auditing (Section C-4)

•Electrical Load Inventory Method (Sections B-7 and C-5)•Thermal Energy Use Inventory Method (Sections B-7 and C-1)•Simple Energy Balances (Section B-7)•Instrumentation for Energy Auditing (Section C-4)

•Finding EMOs in the Energy Inventory (Section B-7.5)•AThree-Step Approach (Section B-8)•EMO Checklists (Section C-2)

•Assess the Costs and Benefits (Section B-9)

•Written Report (Section B-10)•Assess the Costs and Benefits (Section B-9)

Analysis and Methods

•Energy consultants providing metering services•Electrical utilities • Gas utilities

•N/A •Sector-specific energy efficiency guides•CIPEC Energy Efficiency Planning and Management Guide

•External consultant •External consultants•NRCan“Dollars to $ense” workshops

External Resources

•Abnormal energy use conditions not otherwise evident•Dis-aggregation of energy use when combined with energy inventory•Characterization of facility, system and equipment operation

•A breakdown of energy consumption by major area of use (e.g. gas consumption for production vs. space heat; electricity consumption for process, ventilation, compressed air, lighting and conveyance)

•A list of EMOs prioritized for•– immediate action•– further analysis by micro-audit and ranked to harmonize interactions between EMOs

• EMO savings•EMO implementation costs•EMO financial benefit

•A succinct and compelling presentation of the audit findings, including•– Executive summary•– Analysis of existing energy consumption•– Description of EMOs identified•– Savings assessment for selected EMOs•– Action plan for implementation

Results

1 Condition survey

2 Audit mandate

3 Audit Scope

4 Energy Consumption and Cost (Electricity, gas, fuel)

5 Comparative Analysis

6 Profile Energy Use Patterns

7 Inventory Energy Use

Don’t forget thermal energy

8 Identify Energy Management Opportunities

9 Assess Costs and Benefits

10 Report for Action