Post on 22-Dec-2015
IMPLEMENTATION OF ENERGY EFFICIENCY MEASURES
THROUGH ESCO ROUTE ON SHARED SAVING MODEL
PRESENTED BYAKASH JAIN
DIRECTORALIEN ENERGY PVT. LTD.
PRANAT ENGINEERS PVT LTD
Research Development & Designing Centre
Having Built-up area of 6000 sq. ft. Building having North East Facing (Vastu compliance). Building is designed as per SAVGRIHA / BEE 5 star
rating. Having provision of using maximum natural light and
minimum artificial light. Doubled Glaze glass helps to reduce the heat Loss
inside the office. Eco friendly products are used inside the building Energy efficient lighting system and BEE 5 star Air-
conditioning units are used in the centre. Insulation has been used in wall and ceiling to transfer
the heat
Profile of ALIEN GROUP OF COMPANIES (AGC)……
BEE GRADE 1 ESCO Company
Alien Energy is on the panel of
BEE/EESL/PCRA/PFC/HAREDA/GEDA /NDPL/MPUVNL/IREDA/MEDA
AGC has conducted a large no. of energy audits in Industries,
Municipal corporations & Building in India.
More than a decade successfully develops, executes and finances
ESCO projects
AGC have executed more than 100 ESCO projects in the
facilities across India.
Alien Energy LED products are approved by UPPWD-U.P.,
NEDCAP-A.P., HAREDA-HUDA, NDMC, EESL, etc.
All Products Compliance with Indian & International standards
and as per GRIHA, LEED & ISI Standards
AGC has a large number of BEE certified auditors and technical
experts for Energy Audits.
What is ESCO?
“An Energy Service Company (ESCO), or Energy
Services Provider (ESP) is a business that develops,
installs, and finances projects designed to improve
the energy efficiency and maintenance costs for
facilities. The ESCO acts as project developer for a
wide range of tasks and assumes the technical and
performance risk associated with the project.”
ESCO Activities
Energy services include a wide range if activities,
such as:
Energy analysis and audits
Energy Management
Project design and implementation
Maintenance and operation
Monitoring and evaluation of savings
Energy and/or equipment supply
There is an aggregate investment potential of $ 9.8 billion for energy savings in buildings
(WRI estimates)
There is a potential for 30% demand reduction through energy efficiency in buildings, appliances and lighting.
(Mckinsey’s Analysis)
The real question is how we can achieve energy saving of these
estimates….??
BEE STAR rated qualified products and practices help you to save money and reduce greenhouse gas emissions by meeting strict energy efficiency guidelines set by the U.S. EPA and U.S. DOE. The ENERGY STAR label also designates superior energy performance in buildings.
While any of Pranat’s energy audit and implementation can help you to achieve greater degrees of comfort and energy savings, the ENERGY STAR label is a permanent, recognized certification of energy efficiency in Office, Hotels, Hospital buildings. Pranat can help you to make you facility energy star and in upgrade of star rating.
EPI = kwh/sqm/yearClimate Zone 1 Star 2 Star 3 Star 4 Star 5 StarMore than 50% air conditioned built up areaComposite 190 -165 165 - 140 140 - 115 115 -90 Below 90Warm and Humid 200 - 175 175 - 150 150 - 125 125 - 100 Below 100Hot and Dry 180 - 155 155 -130 130 - 105 105 - 80 Below 80Less than 50% air conditioned built up areaComposite 80 - 70 70 -60 60 -50 50 - 40 Below 40Warm and Humid 85 - 75 75 - 65 65 - 55 55 - 45 Below 45Hot and Dry 75 - 65 65 - 55 55 - 45 45 - 35 Below 35
BEE’s Star Rating for Commercial Buildings
Situation of ESCO businessSituation 5 years ago:
Clients without budget/funds
Clients without the know-how
Power tariff was low
What changed today:
Clients still without budget/funds
Clients better informed about energy efficiency
Power tariff has increased by 50%
Clients are interested to execute project through
ESCO route on shared savings/or direct
Barriers in ESCO business
Three main barriers recognized by WB during the
preparation phase of the EE Project :
Lack of capacity and know-how
Lack of development and project financing
Lack of consumer demand
Financing problems
Banks do not recognize ESCO projects
Project financing is not popular for ESCO business
Collateral is still a big problem
Services:1. Design2. Detailed engineering3. Specifications4. Procurement assistance5. Construction supervision or
construction6. Maintenance7. Performance guarantee
Guaranteed Saving Contract…..
ClientESCO
Energy saving guarantee agreement
Loan Repayment of loan
Fees for services
CREDIT RISK
Design and Performance
risk
Financial Institution
Shared Saving Contract…..
ESCO
Energy Performance ContractLoan
Repayment of Loan
CREDIT RISK
Financial Institution CLIENT
Installments
EPC Services1. Financing2. Design3. Construction4. Operation5. Maintenance6. Saving Guarantee
Payments to ESCO < Total cost savings in energy & maintenance.
Total Cash flow during ESPC is (supposed to be) less than before ESPC.
Owner would enjoy 100% energy saving after the contract period .
Energy + O&M
Energy + O&M
Energy + O&M
ESCO
Owner Saving
Owner Saving
0
20
40
60
80
100
120
Before EPC During EPC After EPC
Energy Saving Performance Contract……
Case Study: NDMC Palika Kendra
It was the first ESCO project of India
It was executed in association with DSCL
Lighting was taken to achieve energy efficiency
Contract period was 4 years (2000 – 2004)
All the conventional lights were replaced by ALIEN
efficient lights
Energy saving achieved – more than 44 %
Star Up gradation Of NITI AAYOG Through Alien LED…….Before Implementation:
Energy audit conducted Identified saving potential up to 30% EPI was 130 kWh/sq. m/year It was a 3 star building Decision was taken to upgrade from 3 star to 5 star EESL was given to upgrade the building as a pilot project to do.
19
After Implementation & Result:
All the lights were changed by Alien led lights All the fan were changed by five star rated fans Energy saver for A.C. were installed Saving was observed more than 50% EPI has gone down from 130 to 80 kWh/sq. m/year Building becomes five star NOW
CLIENT : BUSINESS STANDARD
Quantity : 476 Nos.Load Reduction : 15.68 kWPotential Electrical Saving : 73599 kWhAnnual Monetary Saving : Rs. 463968/yearAnnually Payment to ESCO: Rs. 455998Annually Saving to CLIENT: Rs. 7970Contract Period : 4 years
EXISTING LIGHTING Qty.Hrs/ Day
Days/ Year
Watt Proposed EE Lighting Watt
2*18W CFL Fixture 58 15 313 4523W LED RETRO - FIXTURE
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2*11W CFL fixture 88 15 313 35 12W LED RETRO-FIXTURE 15
1*18W CFL spot light 52 15 313 30 9W LED RETRO- FIXTURE 9
2*36W T-8 168 15 313 86 2*16W LED TL 36
1*36W T8 45 15 313 43 1*16W LED TL 18
3*11W CFL FIXTURE 65 15 313 55 20W LED RETRO-FIXTURE 20
ESCO in Building At ITO Delhi..…
TECHNOLOGY…..
Replacement of Conventional Street Lights of Sodium, Mercury & Fluorescent with New generation Energy Efficient T – 5 Fittings. Installation of GSM based dimming panels to timely Switch ON & OFF Street light and to monitor energy consumption & faulty street lights by centralized server.
BENEFITS TO OWNER
• Modernization.• Zero cost of
maintenance• Reduction in Electricity
Bill• Earning out of energy
saving & carbon credits.
ESCO Project In Industries…..
Scope : Replacement of all Conventional Tube Lights Copper Chokes and Starter in Existing fittings with Energy Efficient High Lumen Tube Light and Electronic Ballast.
CLIENT : OCM, AMRITSAR
Quantity : 6000 Nos.
Load Reduction : 120 kW
Energy Saving per year : 10.5 Lac kWh
Monetary Saving per month : Rs. 3.94 Lac
Payment to ESCO : Rs. 1.3 Lac per month
Project Period : Two years
Remarks : Completed Successfully
ESCO Project In Industries…..
CLIENT : PANASONIC , NOIDA
Quantity : 1800 Nos. Load Reduction : 36 kW Energy Saving per year : 1.29 Lac kWh Monetary Saving per month : Rs. 0.54 Lac Payment to ESCO : Rs. 0.36 Lac per month Project Period : Two years Remarks : Completed successfully in the
year April, 2005
CLIENT : BPL , NOIDA
Quantity : 930 Nos. Load Reduction : 18.6 kW Energy Saving per year : 1.04 Lac kWh Monetary Saving per month : Rs.0.43 Lac Payment to ESCO : Rs. 0.18 Lac per month Project Period : Four years Remarks : Completed successfully in the year April, 2005
More than 60 % Energy Savings Over Existing System
Pay from reduction in energy and maintenance
Best products…..pay for performance
Modernization at zero cost
No Cap-ex/Investment/Budget !!
No Op-ex/Zero Maintenance cost
Reduction in electricity bill
No Purchase No Corruption
Better services
Warranty On Product Extended Over The ESCO Period
No Hardware Cost Over The Period Of Proposal
BENEFITS OF ESCO…..WIN..WIN..FOR ALL
Connected Load Vs Units (KWH)Type of Load in a Building
Connected Load
Working Days
Average working hours /Day
Units (KWH) consumed/Annum
Lighting 15 % 365 12 Hrs 20 %
Fan 9 % 270 9 Hrs 12 %
A.C 45 % 200 9 Hrs 40 %
Pump 1 % 350 3 Hrs 1 %
UPS/Computer/Others 30 % 300 9 Hrs 27 %
Energy Saving Potential/ Cost
Type of Load in a Building
Saving Potential
Cost of Energy savings/Watt
Cost of KWH(in Rupees)
Simple Payback Period
Lighting 60 % Rs. 50/W 50000 3 years
Fan 60 % Rs. 30/W 30000 2 years
A.C 20 % Rs.150/W 150000 10 years
Solar 100 % Rs.800/W 800000 25 years
Important: Savings at Watt Cost ?
Energy Saving Proposal
S.No. Existing LightPower
Consumption (in W)
Proposed LightPower
Consumption (in W)
Energy Saving (in W)
Units (KWH)
savings/Year
Annual Savings (in Rs.)
Monthly Savings (in Rs.)
1400 W Metal Halide Street light Luminiare
450200W LED Street Light fitting
200 250 1095 6570 548
2250 W Sodium Vapour Street light Luminiare
280120W LED street light fitting
120 160 700.8 4204.8 350
3150 W Outdoor light Luminiare
17075W LED light fitting
75 95 416.1 2496.6 208
4 70 W Lighting fixture 9035 LED Luminiare
35 55 240.9 1445.4 120
5 40 W Lamp 50 18W LED Light 18 32 140.16 840.96 70
64 x 24W T5 Tube Light fitting
10060W LED light fitting
60 40 175.2 1051.2 88
74 x 14W T5 Tube Light fitting
6030W LED light fitting
30 30 131.4 788.4 66
81 x 28W T5 Tube Light fitting
3018W LED light fitting
18 12 52.56 315.36 26
TOTAL 1230 556 674 2952.1 17713 1476
Fixture in service (Hrs/Day)
Fixture in Service
(Days/year)
Power Tariff (in Rs.)
12 365 6
Existing ESCO proposed lighting
S.No. Existing LightPower
Consumption (in W)
Proposed LightPower
Consumption (in W)
Energy Saving (in W)
Monthly Savings (in Rs.)
Payment to ESCO in T5
(in Rs.)
1250 W Sodium Vapour Street light Luminiare
2804 x 24W T5 Tube Light fitting
120 160 361 278
2150 W Outdoor light Luminiare
1704 x 14W T5 Tube Light fitting
100 70 234 180
3 40 W Lamp 501 x 28W T5 Tube Light fitting
30 20 54 41
ESCO potential and way forward
There is a lot of potential for ESCO activity to meet
the energy demand in the new economic emerging country
like India
It can’t success without Strong will, hard work and
Enthusiasm of the Top management of HUDA
HUDA may appoint BEE/EESL as their technical consultant for
bringing energy efficiency through ESCO route
Important is to survive first year to over come initial
teething problems
Need more Governance and Quick Decisions to run ESCO for
the benefit of India to meet growing energy demands
ESCO Eligibility To work in HUDA
ESCO should be on the panel of BEE/EESL as an ESCO
in Grade I or II only
ESCO should have an experience of doing at least
one shared saving project in a Government sector
ESCO should have at least a turnover of Rs. 1 Cr in
last three years
Should have an office in Delhi to supply and service
Technology To work in HUDA The shared saving project must be in operation at
least for three years
JV (Joint Venture) should not be allowed
ESCO should be bind to use only MAKE IN INDIA
products
EEM’s should have simple pay back 3 to 4 years
max. ESCO contract should not be more than ten
years
Technology advancement is happening at very fast
speed
Measurement and Verification for Energy saving
‘OPTION A’ of IPMVP should be considered to
calculate energy savings
Key parameter will be ‘W’ (Watt)/Connected Load
which should be measured once yearly to
calculate KW saved/reduced
Monetary saving in Rupees will be on DEEMED
basis which will be calculated considering working
hours, no. of days and existing power tariff for the
existing and energy efficient equipments
Eligibility of Direct Purchase to work in HUDA
DIRECT PURCHASE
Empanel specialized LED/Fans manufacturers having
knowledge of LED lights/Fans
Empanelled firm should have executed at least three
projects having value more than Rs. 30 Lac
Empanelled firm turnover should be around Rs. 10 Crore
in LED lighting/Fans in the last cumulative three years
EESL has already done a lot of work in empanelment of
energy efficient firms and same can be utilized/or can be
modified as per HUDA norms
Ways for implementing Energy Efficiency Measures
ESCO MODEL
Energy Audit – Preliminary and detailed
Identification of areas of Energy Efficiency
Energy Savings proposal
Award of work to ESCO
Implementation in:
Lighting,
Fans,
A.C / Pumps / others …
Execution time: 6 months/building
Ways for implementing Energy Efficiency Measures
POINT MODEL
Provide inventory of In-efficient equipments
Minimum Energy savings commitment
Fixed time period of 5 years
Award of work to ESCOs/specialized firms
Implementation in:
Lighting,
Fans,
A.C / Pumps / others …
Execution time: more than 100 buildings can be executed
in 6 months