ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money...

14
ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management Chih-Ting Lo Principal | EELO Solutions Inc. www.eelo.ca June 2015

Transcript of ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money...

Page 1: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE

Save Money through Practical Energy, Resources, and Carbon Management

Chih-Ting LoPrincipal | EELO Solutions Inc.

www.eelo.ca

June 2015

Page 3: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

Energy Ecology

Source Materials Transport Processe

s

Product Storage/ Delivery

SupplyElectricity, Natural Gas, Diesel, Fuel, Propane, …etc

•Moving – solid, liquid, gas• Heating, Cooling, Compressing, Blowing, Lighting, extruding, digging, ….etc

Waste

Inefficiency

Demand

Page 4: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

Energy is like another foreign language

Energy

kWh/GJ/kW/BTU

Reduce 1MWh per year

Important to look at energy

Operating at the pump curve

VFD/VSD/technology jargon

Improve grind size

Business

X% of operating cost

Increase profit by $$$

Improve environmental footprint

Enhance reliability

Reduce risk

Increase productivity

$#^!

Page 5: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

Approach

A continuous improvement approach

A comprehensive program

Focus on people & how to help people do their job better

It takes time and dedicated resources to see sustaining results

Page 6: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

Continuous Improvement Process

ISO50001Energy Management Standard

Page 7: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

A comprehensive program

Realistic and

practical target

High value and well received projects

Do not over-

promise and under-

deliver

Share success

It takes time

Page 8: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

ProgramPeopleImplementationValidationReport

PolicyTarget

FrameworkPeople

Support

Focus on People

Top-down and bottom-up required

Page 9: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

Example Projects

Page 10: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

#1- Four year on-going energy program

Started in 2011 from government incentive program

Strategy includes: People

Team with business unit leaders Dedicated energy manager

Practical and Effective Plan Align business objectives with energy Prioritization/Engagement/Buy-in Technical (capital and operations) projects Training/Education projects

Action Validation and Evaluation

Build on small wins

People

Plan

Action

Validation

Page 11: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

#1- Four year on-going energy program

$5M+ &10GWh+ in savings and from increased production/profit annually

Investment of ~$11M (plus incentives) ~15 projects completed/in the pipeline in

4 years 2014 Awards:

Internal Global Business Improvement Excellence Award among 20+ sites

Canadian National Leadership Award on Integrated Energy Management Strategy

A Finalist for the Platts Global Energy Award

Page 12: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

#2 - Electricity Demand Management

Problem Demand charge in 2013 was 43% of bill ($7.4M) No one understands the utility bill

Solution Developed a plan to reduce load without impact on

operation Dedicated resource Training and engagement

What happens now ~$2.5M savings in 18 months Program won global award Able to hire additional resource Management/operators changed attitude

De

ma

nd

Time

Page 13: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

#3 – Fish farm with 28 farms & 3 hatcheries

Problem A disconnect between operation

and management on energy/GHG A study required for a industry

specific certification that includes energy/GHG

Solution A study revealed interesting

findings and motivated management team

What happens now? Now launching ISO50001

program

Energy Consump-tion (kWh-

eq)

GHG Emissions (kg CO2e)

0%

20%

40%

60%

80%

100%

65%

95%

35%

5%

Sea Site Hatchery

Page 14: ALIGN ENERGY MANAGEMENT GOALS WITH BUSINESS OBJECTIVES TO INFLUENCE CULTURE CHANGE Save Money through Practical Energy, Resources, and Carbon Management.

Save Money through Practical Energy, Resources, and Carbon Management

Chih-Ting LoPrincipal | EELO Solutions

www.eelo.caPhone: 604.657.9602

Email: [email protected]

“Energy efficiency slows energy demand growth, diminishes supply-side investment and reducesinternational energy prices.” - World Energy Outlook 2014 by International Energy Agency Outlook