ISO 50001:
Energy Management StandardTennessee 3-Star Industrial Assessment Center
Tennessee Tech University
Ethan Languri, Ph.D., P.E.
Assistant Professor, Department of Mechanical Engineering
Associate Director, Industrial Assessment Center (IAC)
Tennessee Tech University
Topics Covered
Industrial Assessment Centers
What is Energy Management
ISO 50001 Standard
“Plan – Do – Check – Act” Process
Superior Energy Performance
50001 Ready
Industrial Assessment Centers
US DOE Program in 28 universities
Mission:
1. Assist small & medium sized
manufacturers become more energy
efficient.
2. Train next generation of engineers in
energy management
• 1-2 day on-site assessment
• Major energy-using equipment
assessed
• Report issued within 60 days of visit
• Confidential
• No Cost
IAC Services
No cost energy assessments
Water and wastewater assessments
ISO 50001 consulting
Smart Manufacturing consulting
No cost cybersecurity assessments
End user and stakeholder webinars and workshops on energy topics
Tennessee Tech University IAC
2018 Center of Excellence
Center of the Year
Industrial Assessment Center – TN Tech
Why Manage Energy?
Global level
Conserve resources
Mitigate climate change
Reduce dependence on fossil fuels
Organization level
Utility cost savings = increased profitability
Reduce carbon emissions
Reduce risk from energy market volatility
“Green image”
What is Energy Management?
Process of monitoring, controlling, and
conserving energy in a building or organization
ISO
ISO – International Organization for Standardization
Other ISO standards you may have heard of:
9001 – Quality Management
14001 – Environmental Management
50001 – Energy Management
ISO 50001
Energy Management Standard
A management model for continual improvement of energy performance
Manages energy efficiency, energy security, energy use, and energy
consumption
Applies to all factors that can be monitored and influenced by the
organization that affect energy use
Does not prescribe specific performance criteria with respect to energy
Designed to be used independently, yet can be aligned or integrated with
other management systems (ISO 9001, ISO 14001)
Applicable to all organizations that use energy (industrial, commercial,
institutional)
Components of an Energy Management
Standard (EnMS)
1. Energy Policy that is management’s official statement of the organization’s commitment to managing energy
2. Energy management plan that requires measurement, management, and documentation for continuous improvement of energy efficiency
3. Cross-divisional management team
4. Operating controls and procedures to address all aspects of energy purchase, use and disposal
Components of an Energy Management
Standard (EnMS)
5. Establishment of a baseline of the organization’s energy use. Progress will be measured against this baseline.
6. Identification of energy performance indicators that are tracked to measure progress
7. Energy objectives and targets for energy performance improvement at relevant functions, levels, processes, and facilities
8. Action plans to meet those targets and objectives
Components of an Energy Management
Standard (EnMS)
9. Creation of an energy manual or a living document that evolves over
time as additional energy saving projects and policies are undertaken
and documented
10. Periodic reporting of progress to management
“Plan – Do – Act – Check” Process
PLAN: Establish the data, objectives, and
processes necessary to deliver results
DO: Implement the process
CHECK: Monitor and measure processes against
the policy, objectives, legal and other
requirements, and report results
ACT: Take actions to continually improve
performance of the energy management
system
PLAN
What to do? How to do it?
Plan-Do-Check-Act
Management Commitment
The most critical key to the success of an EnMS is involvement and commitment
by top management.
When management is active and visible in the EnMS, employees and others
perceive the value and importance of energy management to the organization.
Plan-Do-Check-Act
An interdisciplinary energy team can underscore the importance of the program
to all plant staff.
Employee buy-in and involvement hinge upon management’s commitment.
Energy Planning Process
Planning Inputs
Past and present
energy uses
Relevant variables
affecting significant
energy use
Energy performance
Energy Review
A. Analyze energy
use and
consumption
B. Identify areas of
significant energy
use and
consumption
C. Identify
opportunities for
improving energy
performance
Planning Outputs
•Energy baseline
•EnPI(s)
•Objectives
•Targets
•Action Plans
Plan-Do-Check-Act
Acquire Energy Data
Collect past and current monthly consumption data at the
facility level (energy bills)
Determine what other data may be available for analysis
Submeter data
Interval data
Equipment information
Other data
Determine PAST and CURRENT energy consumption by use
The time period for data collected will depend on the
organization and what data is available (typically 3-5
years)
Plan-Do-Check-Act
Assess Energy ConsumptionPlan-Do-Check-Act
Collect past & current monthly consumption data at facility level• Energy bills
• Power monitoring software
“PLAN” – Detroit DieselPlan-Do-Check-Act
• Located in Detroit, Michigan.
• Earned Platinum certification DOE SEP
• Achieved ISO 50001 in December 2014.
Detroit diesel’s Detroit facility is 3.2 million square
feet and employs 3,000 staff to manufacture and
assemble diesel engines, axles, transmissions, and
components for its affiliate, Daimler Trucks North
America LLC.
As part of the Energy Planning Process they expanded their
• Metering Infrastructure: The plant more than doubled the number of submeters
in use to over 120 WiFi meters.
• Energy Profile: Developed DOE’s EnPI tool to measure and track improvements.
Saved $37 million over 10 years in avoided energy costs.
Identify Energy UsesPlan-Do-Check-Act
Energy Use – manner or kind of application of energy.
Converted from primary energy sources.
• Lighting
• Heating
• Air conditioning
• Ventilation
• Compressed air
• Transportation
• Process heating
• Process cooling
• Steam systems
• Motor drives
• Process equipment operation
Significant Energy Uses
Significant energy uses (SEUs) are equipment, systems, processes, or
personnel that account for substantial energy consumption or offer
considerable potential for energy performance improvement.
Plan-Do-Check-Act
SEUsPlan-Do-Check-Act
Significant Energy Uses give you the most “bang” for your buck.
SEUs are the main focus of much of the EnMS.
Keep it simple! Choose 1 or 2 to begin with.
Examples:
Car manufacturer’s painting and curing process
Food processor’s steam system
Facility’s outdated, inefficient lighting
“PLAN” - MedImmune Plan-Do-Check-Act
• Located in Gaithersburg, Maryland.
• Earned Silver certification DOE SEP
• Achieved ISO 50001 in September 2014.
SEUs were the steam and boiler systems (7 boilers)
which provide space heating and manufacturing
support functions.
MedImmune, a biologics research and development
facility
The energy team discovered that the entire boiler system was operating above
capacity and using more natural gas than necessary.
The plant was able to shut down 2 boilers, saving significant energy.
Energy performance increased by 8.5% and annual energy costs
reduced by over $400,000.
Identify Energy OpportunitiesPlan-Do-Check-Act
Use energy assessments
- TVA / local utilities
- IACs
- Consultants
- DOE online tools
Employee suggestions Six Sigma
Utility representatives Energy Kaizen events
Service technicians Benchmarking
Equipment vendors Equipment standards
Industrial sector standards
Examine ESA results for like industries
Simple EnPIPlan-Do-Check-Act
EnPI = Annual Energy Use / Annual Production
(MMBtu / yr) (e.g. lbs/yr, tons/yr, units/yr)
• Easiest to use and calculate
• Sufficient if other variables don’t
impact energy consumption
Energy Performance Indicator (EnPI): A quantitative
energy performance measure defined by the organization.
Energy BaselinePlan-Do-Check-Act
Basis of comparison for evaluating energy performance.
Use information in initial energy review
Measure future energy consumption against baseline to determine energy
performance improvement
Answers the question:
“How much would I have used in the absence of
energy-saving measures?”
Energy ObjectivesPlan-Do-Check-Act
Establish overall energy objective
Determine quantifiable energy targets
Develop specific action plans
“PLAN” - Freescale
Two energy assessments were performed:
1) Pumps
2) Compressed Air System
The plant reduced its annual energy consumption by 28 million kWh of electricity
and 26,000 million Btus of natural gas in three years.
Saving more than $2 million annually.
Located in Austin, Texas
Freescale makes microcontrollers, processors, and
electronic parts.
Opportunities & action plans:
• Improve control of chilled glycol pumps and chilled water secondary pumps
• Adjust number of chillers operating during different times of the day
• Lower differential pressure in air handlers
• Run fewer condenser water pumps
Plan-Do-Check-Act
DOPlan-Do-Check-Act
Do what was planned.
What is DO?Plan-Do-Check-Act
DO = Implementation and Operation
Implementation of the processes needed to deliver energy
management and performance improvement results.
Integration of energy management into daily operations.
Competence, Training, & Awareness Plan-Do-Check-Act
Ensure competency of individuals who work with significant energy uses Education
Skills
Training
Experience
Identify training needs and meet those needs
Example for a steam system operator:
Become a DOE Steam System Qualified Specialist.
Operate and maintain a 150 psi steam boiler
Assess steam system and identify improvement opportunities
Typical Avenues:
• Face to face energy training
• Electronic communication
• Regular shift or toolbox meetings
• Distribution of written materials
• Signs / Banners
Awareness of energy management by everyone in organization
“DO” - Harbec Plan-Do-Check-Act
Saved $50,000 / year
• Management elevated awareness of energy efficiency efforts internally by
hanging posters and offering awards for suggestions.
• Monthly energy data for each department is posted on an internal metrics
display in the plant.
• For the public, real-time, system-specific energy consumption data are posted
to its website.
Procurement & DesignPlan-Do-Check-Act
Organizations must make the connection between
purchasing and the impact on its energy performance.
Will a purchase significantly affect energy
performance?
Energy performance should be considered in the design of
facilities, equipment, systems, & processes.
“DO” – General DynamicsPlan-Do-Check-Act
• Achieved ISO 50001 and SEP certification in January
2013.
• An operational change of reducing fan cooling
water flows for the facility’s forging furnaces saved
3.3 billion BTU or $31,000/yr.
• This was a no-cost or low-cost improvement project.
CHECK Plan-Do-Check-Act
Did things happen according to plan?
What is CHECK?
CHECK is concerned with ensuring that appropriate
monitoring and measurement activities are in place
to evaluate whether the EnMS is operating in line
with the energy policy and meeting planned
objectives.
Plan-Do-Check-Act
Monitoring, Measurement & Analysis Plan-Do-Check-Act
At planned intervals key characteristics are:
Monitored
Measured
Analyzed
Results are recorded
Measurement needs are defined, reviewed, and
implemented
Measurement equipment provides accurate and
repeatable data
Calibration records are kept
Data Collection Plan-Do-Check-Act
Energy consumption and uses
Utility billing metered data
Sub-metered data
Operating hours, load factors, duty factors
Energy assessments
Equipment meter data
Significant energy uses
Submetered data
Spot measurements
Relevant variables impacting energy consumption (pressure, temperature, etc)
Equipment meter data
Portable measuring equipment data
“CHECK” – Cummins RMEP Plan-Do-Check-Act
Cummins Rocky Mount Engine Plant (RMEP) became
certified to ISO 50001 and SEP in October 2013.
During data collection, the plant determined that significant variables affecting
energy consumption were: 1) “Shaft hours” during production validation tests
and 2) “Testing time” during emissions and endurance tests, and 3) Size of
engine tested.
These variables were normalized for in the statistical model to determine Energy
Performance Improvement.
Improvement achieved was 12.6% over 2 years with an annual energy cost
savings of $716,000.
ACTPlan-Do-Check-Act
How to improve next time?
What is ACT?
Process of reviewing, evaluating, and then taking
appropriate actions to improve the EnMS and
ensure energy performance.
Plan-Do-Check-Act
Management Review Plan-Do-Check-Act
Top management reviews EnMS at planned intervals to ensure:
Suitability
Adequacy
Effectiveness
Typical Decisions:
What is the status of the EnMS?
What changes are needed?
Are there any external or internal requirements that will affect the EnMS?
Change current improvement objectives?
What resources are needed?
Is the EnMS suitable and effective and achieving continual improvement in energy
performance?
Next Step: Certification
Third party conducts initial certification audit.
Surveillance audits every three years.
Company XYZ is “ISO 50001 Certified”
Some companies that are ISO 50001 Certified:
3M IBM
BAE Systems Land O’Lakes
BMW Marriott International
Bridgestone Nissan North America
Coca-Cola Samsung
Google Volkswagen
Smaller organizations too:
HARBEC – Ontairo, NY
Four Seasons Produce – Ephrata, PA
Cost-Benefit Analysis
Cummins
Levels of Progression
Energy Performance Indicators
Energy Performance Improvement %:
(1 - ) x 100
DOE has tools to help:
• Energy Performance Indicator Tool
(EnPI V4.0)
• EnPI Lite
Case Study: Nissan Smyrna
Timeline
2006 ENERGY STAR program partner
2008 Energy baseline
2012 ISO 50001 & SEP certification – Smyrna, TN
Silver (7.2% energy improv. over 3 yrs)
2015 SEP recertification – Smyrna, TN
Platinum (17.7% energy improv. over 3 yrs)
2016 SEP certification – Decherd, TN (Silver) &
Canton, MS (Platinum)
Future Expand SEP certification to Mexico sites
• Improved energy performance by 24% over 6 years
• Saving $2.4 million in annual energy costs (Smyrna plant)
• Saved $9.4 million in annual energy costs (Smyrna, Decherd, Canton)
Case Study: Nissan
Results
Levels of Progression
50001 Ready
25 Tasks
Planning
Management Commitment
Energy Policy
Energy Team
Energy Review
Data Collection & Analysis
Baselines, Objectives & Targets
Improvement Projects
Continual Improvement
•Monitoring & Measurement
•Corrective Action
•Energy Consideration in Design
System Management
•Internal Audit
•Communications & Training
•Management Review
1 2
3 4
Navigator
Navigator
Navigator
Navigator
Navigator
EnPI Lite Tool
EnPI Lite Tool
Case Study: Oregon Dept of Corrections
Overall energy objective:
Reduce Energy Consumption by 20% by 2023
Facilities included 24 buildings with various functions:
Administration Food preparation
Inmate housing Refrigeration
Manufacturing Laundry
Warehouses Education
Utilized 50001 Ready Navigator to achieve
50001 Ready status for four facilities in one year.
Case Study: Oregon Dept of Corrections
Levels of Progression
Value of EnMSBased on DOE findings, a structured EnMS yields greater, more cost-effective, and
more sustainable energy savings than a more traditional, project based energy
efficiency program.
- US Manufacturing Business-As-Usual ~1% per year
- US Manufacturing Industry Leaders ~2.5% per year
- ISO 50001 certified plants ~4% per year
- Enterprise-wide SEP approach ~5% per year
A 2017 review of 43 US-based facilities found:
• ISO 50001 resulted in 12.9% average reduction in energy consumption over 3 year
period, equivalent to 3.71 trillion BTU source energy
• SEP facilities saved over $430,000/year on average from low- and no-cost
operational improvements
• An enterprise-wide approach saved over $600,00/year
• Paybacks of less than 2 years for most facilities
Value of EnMS
ResourcesTennessee 3-Star Industrial Assessment Center at Tennessee Tech University
Michelle Davis [email protected] 931-372-6386
Ethan Languri [email protected] 931-372-6790
DOE Industrial Assessment Center Program
https://iac.university
ISO 50001 Energy Management Standard
https://energy.gov/ISO50001
Superior Energy Performance
https://energy.gov/eere/amo/superior-energy-performance
50001 Ready Program
https://energy.gov/eere/amo/50001-ready-program
https://betterbuildingsolutioncenter.energy.gov/50001Ready
50001 Ready Navigator
https://navigator.lbl.gov/
EnergyRight.com
Strategic Energy Management and 50001 Ready
at TVAClay Hoover | Building Science Conference & Expo
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What is Strategic
Energy
Management
(SEM)?
A system of organizational practices,
policies and processes that creates
reliable, persistent energy savings by
integrating energy management into the
way an organization does business.
Energy is managed as a controllable
expense that is part of other continuous
improvement efforts.
TVA SEM Pilot Initiatives
• SEM for Commercial and Industrial
• SEM for Multifamily
• SEM for TVA Plants
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SEM for Commercial and
Industrial Cohort Pilot
• Leading 2 “Cohort” groups of
8-10 customers each
• Walking through
implementation of ISO 50001
compliant EnMS
• Cohort 1 saved 8,039,337
kWh and 76,050 MMBtu
natural gas in the first year
• Average 1.9% kWh reduction
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Workshops
•Four interactive on-site sessions each targeting skill development
• Promote Strategic Energy Management Plan development
• Encourage collaboration
• Train the trainer
Site Specific Sessions
• Energy Management Assessment (EMA)
• Energy Scan (Electric and Gas)
• Team meeting participation
• Electrification Assessment
Webinars
•Six interactive teleconferences targeting skill development
• Support group learning
• Encourage collaboration
• Provide SEM direction
Consulting Support
• Bi-Monthly Energy Champ mentoring call
• General program support
• Energy Team and Steering Committee development
• Monitoring, targeting and reporting
• On call and available
• Energy awareness
Typical Cohort Structure
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Program Objectives
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Process to Identify
O&M Savings
Process to Provide
Verifiable O&M and
Capital Savings
Process in
Alignment with ISO
50001
Capital Plan
Electrification
Sustainable SEM
Process
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Management
Review
Monitoring,
measurement and
analysis
Internal audits of the
EnMS
Nonconformities,
correction, corrective
and preventive action
Continuous improvement
CHECKING
Process
TVA Magnolia 50001 Implementation
• Idea Generation
• Blowdown Heat Recovery
• Pre-Cool Evap Media Upgrade
• Optimization of Well Pumping
Sequence Cooling Tower VFD
• Inlet Air Filtration System
• CCW Pump Throttling
• Online Washing
• Circ Water Flow Rate Changes
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TVA Magnolia
50001 Highlights
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• ADKAR Method
• New team members
• Seeing culture
change
• Much more difficult
than audits and
projects
Multifamily SEM -
Community Power
Challenge
• Staff engagement, including
site visits and benchmarking
• Resident engagement
around topics, including
events
• Educational Workshops
• Monthly Team/Champion
Meetings
• Energy Savings Challenges
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Multifamily SEM
Continuous
Improvement
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Questions?
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