Energy Management control systems

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1 Energy Management System Energy Management System Standard ISO 50001 Md. Mizanur Rahman MEng(Sweden), PhD (Finland), CEng (UK), Chartered Energy Engineer (EI, UK) Certified Energy Manager Cell: 0176480491 Email: [email protected]

Transcript of Energy Management control systems

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1

Energy Management System Energy Management System Standard

ISO 50001

Md. Mizanur Rahman MEng(Sweden), PhD (Finland), CEng (UK), Chartered Energy Engineer (EI, UK) Certified Energy Manager Cell: 0176480491 Email: [email protected]

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Energy management

• Energy management activities consists of monitoring energy

consumption, analysing trends in energy use, identifying and

implementing energy saving measures, and verifying savings with

proper measurements.

• Energy management helps managers and staff to identify options for

increasing energy efficiency, carry out energy efficiency projects,

monitor energy use and results, and learn from technical actions.

• It is widely accepted that only systematic energy review and

management process can tap the full potential of energy efficiency

in industry

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Barriers to implement Energy Management (EM) in industry

• Policies: There are no mandatory rules or regulations to adopt EM or reduce GHG emissions

• Market conditions: The prices of fuels and electricity are low; no CO2 market; or no market recognition

• Lack of information: Enterprises do not recognize the need where and how spend energy

• Technical: Enterprise are unable to monitor their energy use or/to modify their processes

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Benefits of EM

• Organization’s financial savings

• Increasing of reliability of operations

• Positive effect on productivity and competitiveness

• Attractive financial and economic returns

• Reducing the exposure to rising energy prices

• Increasing of security of supply

• Reducing the impact on the environment

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Why it is not happening?

• Management focus on production, not on EM

• Lack of information and understanding of financial and

qualitative benefits

• Lack of adequate technical skills for identifying, developing and

implementing EE measures and projects

• Poor monitoring systems and data

• First costs more important than recurring costs > disconnection

between capital and operating budgets

• When EM knowledge exists it very often resides with individuals

rather than with the company/ organization > sustainability risk

• Financing

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Energy Management System (EnMS) • An energy management system (EnMS) is a collection of procedures and practices to

ensure the systematic tracking, analysis and planning of energy use

• Structured approach to the management of energy use

Energy Management System Standard

• Standardised approach to implementing an EnMS

• Best practice EM standard refers to a management system that meets

the requirements of ISO 50001:2018

• An organization may decide to base its EnMS on a standard e.g. ISO 50001:2011

Certification of EnMS

• An organization may decide to have its EnMS certified (to demonstrate its

best practice to customers, clients and suppliers OR fulfil a legal or other

requirement)

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• Energy management programmes (EnMP) are the policies and

initiatives that encourage companies to adopt energy management

systems. Energy management programmes play an important role

in showing that improving energy efficiency is not only compatible

with – but can also drive – profitable business development.

• Energy Management System (EMS) refers to a software that

enables energy optimization by use of temperature setbacks,

occupancy controls, or other control functions

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What EnMS can achieve

• Systematic activity

• Actively managing energy use and costs, reducing

exposure to rising energy costs

• Obligation to train and raise awareness

• Obligation to provide resources

• Document savings for internal and external use (e.g.

emission credits, legal reporting requirements)

• Reduce GHG emissions without negative effect on

operations

• Continuity through changes of personnel

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Energy and Cost Savings

Environmental Benefits

Continual Improvement

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EnMS Standards and ISO 50001 – Background

• National EnMS standards (as of 2009) Denmark, Sweden,

Ireland, USA, South Korea, Thailand, South Africa, China

• National EnMS specifications or laws (as of 2009) Australia,

Canada, Germany, The Netherlands, United Kingdom, Japan

• Regional EnMS standards EN 16001 – European Energy

Management Standard – 1 July 2009

• International EnMS standards-International Standard ISO

50001 – Energy Management Systems – Requirements with

guidance for use – 15 June 2011

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• March 2007 - UNIDO Meeting on EnMS in Industry Recommendation to ISO Secretariat to consider developing an International EnMS Standard

• ISO 50001 developed by ISO Project Committee 242 – Energy Management, established in Feb 2008

• Membership as of March 2014 -49 countries full members, 12 countries as observers, 11 organizations-in-liaison, incl. UNIDO

• ISO 50001 developed in 2011

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Quiz About Energy Management Systems

Question 1 Why should enterprises adopt EnMS ?

a)To improve their energy efficiency

b)To reduce costs

c)To increase productivity

d)Systematically manage their energy use

Question 2 What should be improved by adopting an EnMS ?

a)Fuel usage

b)Electricity usage

c)Energy performance

d)Energy intensity

Question 3 The ISO 50001 is a?

a)Structured approach to the management of energy use

b)Voluntary global energy management system standard

c)Guide to improve energy performance

d)Technical regulation

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ISO 50001: 2018 - Scopes

Standardization in the field of energy management, including: energy supply,

procurement practices for energy using equipment and systems, energy use, and any use-related disposal issues.

Will also address measurement of current energy

• usage, and implementation of a measurement system • to document, report, and validate continual

improvement in the area of energy management.

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How ISO 50001 will help?

• Will provide organizations with technical and management strategies to increase energy efficiency, reduce costs, and improve environmental performance.

• To provide organizations and companies with a

recognized framework for integrating energy efficiency into their management practices.

• Multinational organizations will have access to a single,

harmonized standard for implementation across the organization with a logical and consistent methodology for identifying and implementing improvements.

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The Basic Approach of ISO 50001

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Core terminology used in energy management system (EnMS)

• Energy policy, top management’s official statement of the organisation’s

commitment to managing energy.

• Cross-divisional management team led by a representative who reports

directly to management and is responsible for overseeing the

implementation of the energy management system.

• Energy review to analyse and assess current and planned energy use and

energy sources, relative to production and service delivery. The review

then identifies opportunities for improvement.

• Baseline of the organisation’s energy use.

• Energy performance indicators (EnPIs) that are unique to the company

and are tracked to measure progress.

• Energy objectives and targets for energy performance improvement at

relevant functions, levels, processes or facilities within an organisation.

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• Action plans to meet those targets and objectives.

• Operating controls and procedures for significant energy uses.

• Measurement, management, and documentation for continuous improvement for energy efficiency.

• Internal audit of progress of the EnMS based on these measurements.

• Revision by third-party auditor to receive certification/verification and recognition by external stakeholders.

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Key Requirements in ISO 50001

1. Appointment of

management

representative by top

management

2. Preparation of energy policy

3. Identification and ensuring

compliance against legal & other

requirements

4. Conducting energy review

of existing energy sources.

5. Creating energy base line as

benchmark for improvement

6. Energy performance indicators

7. To provide necessary trainings

8. Establishing necessary operational controls for control of energy consumption

9. Design of energy efficient facilities,

equipment, infrastructure, systems and processes right from project stage

10. Procurement of energy efficient equipment, instruments and services such as transportation etc.

11. Monitoring &measurement of energy

consumption , performance indicators, significant energy uses & related variables

12. Internal audit, management review,

control of documents, control of records.

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Key Requirements in ISO 50001

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PDCA Cycle

Management/Technical Interaction

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To certify or not ?

• Certification by an independent auditor is

not a requirement of the standard itself

• To certify or not is a decision to be taken by the

standard user, unless imposed by regulatory

requirements.

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EnMS

Based on the concept of:

• Plan

• Do

• Check

• Act

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Management Responsibility

• ISO 50001 Standard says……

– It requires the top management to demonstrate

its commitment to support and continually

improve the effectiveness of the EnMS

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Management Responsibility

• Is the top management really

comitted?

• Will they support the

system?

• This is a decision point!

• If not, we can all go for

coffee now!

• Will they make the necessary

resources available (technical,

financial and human)

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• Management Give commitment

• Sign policy

• Allocate resources

• Assign responsibility

• Top management representative

• Give support

• Make decisions

Management Role

The foundation of the system

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Management Support & Commitment

• Top management commitment is crucial to the successful

implementation of the EnMS.

– provide the necessary resources such as time, personnel,

financial, materials, etc. for the effective implementation

of the EnMS.

• It must be communicated and made visible to the entire

organization to encourage active participation of all staff

members in adhering to the EnMS.

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Management Representative

• ISO 50001 Standard says……

– It requires the top management to appoint a

management representative(s) to promote

awareness and oversee the implementation of the

EnMS. (Item 4.2.2)

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MR

• ISO 50001 standard requires an organization to appoint a

management representative to oversee the development and

operation of the EnMS.

– To help the organization achieve its energy objectives and

targets and for improving energy performance.

• Should be competent to perform the required duties and be

capable of exerting influence throughout the organization to

implement and improve the EnMS.

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MR Roles

• Responsible for managing all aspects of the

EnMS as it evolves.

• MR should have sufficient authority,

competency and resources to ensure the

overall effectiveness of the EnMS.

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Energy Manager • In some organisations, this may be the same person as the

management representative

• Often not a full time job;

– For example, maintenance or engineering manager or engineer

– Probably a technical person with energy engineering knowledge

• Role

• Implement the EnMS

• Owns the EnMS

• Manages energy use

• Acts as auditee for the EnMS

• Responsibility

• Varies with organisation

• Implementation

• Energy budget

• Reporting

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Energy Management Team

• The energy management team is responsible for

ensuring the implementation of actions/measures of the

energy management decisions.

• The composition and size of the energy management

team should be determined with due consideration of

the size and complexity of the organization.

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Energy Management Team

• Decide structure and membership based on size and

complexity of your organisation

• Representatives from relevant departments

– Production, finance, engineering, operations, senior

management representative, energy manager or

engineer, etc.

• Cross functional cooperation

• Common and shared goal

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SUSTAINABLE

TEAM

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Roles, Responsibility & Authority

• Required for each individual involved in the EnMS

• Each person needs to understand their own role and

responsibilities

• Every needs to know each others authority levels

• This may seem like common sense but is

often a source of ineffectiveness

• MUST be completed, accepted and communicated in

advance of next steps

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Energy Policy

• ISO 50001 Standard says……

– It requires the organization to define an energy

policy to state its commitment for achieving energy

performance improvement. (Item 4.3)

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Energy Policy

• Management commitment

• Not just a signature!

• Define scope of EnMS

• Appropriate to scale

• Commitment to continual improvement

• Make resources available

• Framework for target setting and management

review

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Energy Policy • ISO 50001 requires an organization to at least state the

following

commitments in the energy policy:

– Continual improvement in energy performance;

– Availability of information and of necessary resources to

achieve

objectives and targets;

– Compliance with relevant legislation and other

requirements related to

energy use, consumption and efficiency;

– Support for purchasing energy efficient products and

services; and

– Designing for enhanced energy performance.

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Energy Policy

• The policy should be defined and approved by the top

management to show its commitment to meet the

organization’s goals.

• Must be communicated to all staff and be reviewed and

updated in a systematic manner.

• The organization can decide whether or not to make the

policy available externally.

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Energy Policy

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Barriers to success

• Common weaknesses in energy policies that lead to

poor energy management:

– not actively supported by senior management

– not succinct

– lack of specific targets and commitments

– out of date – not a living document

– not supported by a strategy with the ability to deliver.

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Energy Planning

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Planning • How much energy am I using?

• Where am I using it?

• Which are significant users?

• What is driving it?

• Who is influencing its use?

• Do I need to have an energy

assessment (=audit)?

– If yes, focus it

• System Optimization

• Renewable energy options

• Are there legal or other requirements?

• Develop baselines & EnPIs

• Set objectives and targets

• Action Plan

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Overview of Energy Planning Process

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Electricity Laws & Regulations:

• ‘Energy Commission Act’ (2001) empowers the EC to advise the Minister

on energy supply activities (which is defined as electricity and piped

gas). The remit of the Act includes regulation on transmission,

generation, safety and promotion of renewable energy.

• ‘Electricity Supply Act’ (1990) to provide for the regulation of the electricity

supply industry from generation, transmission in respect to safety of persons and efficiency use of electricity.

• ‘Electricity Supply Regulations’ (1994) under the provisions of the Electricity Supply Act (ESA), registers electrical installation, competent persons in the electrical industry, contractors, and provide a list of electrical equipment which are safe and can be used in Malaysia. Under this regulation, energy labeling of electrical equipment are also included.

• ‘Efficient Management of Electrical Energy Regulations’ (2008)

becomes operation on 15th December 2008 and make it mandatory

of installation to appoint energy managers and submit energy audits.

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Energy Review, Baseline & Performance Indicators

• ISO 50001 Standard says……

– It requires the organization to develop, record and

maintain an energy review as well as document the

methodology and criteria used to develop the review.

(Item 4.4.3)

– It requires the organization to establish an energy

baseline(s) for the

measurement of the energy performance. (Item

4.4.4)

– It requires the organization to identify appropriate

energy performance

indicators to monitor and measure its energy

performance. (Item 4.4.5)

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Energy Review

• The organization must record and maintain an energy review with certain

documented methodology and criteria.

• An energy review is a process to determine an organization’s energy

performance based on

• data and/or actual measurement, leading to identification of

opportunities for improvement.

• The review provides useful information for the development of the

energy baseline and the selection of energy performance indicators

(EnPIs).

• It also establishes the monitoring capability to support effective

continuous improvement of the EnMS in the future.

• Energy Review is Energy Audit

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Energy Audit

• Energy audits are a tool to reduce energy consumption and

find a long-term solutions.

• Identify and prioritize opportunities to improve energy

performance, reduce energy waste and obtain related

environmental benefits.

• Audit outputs include

– information on current energy use and performance

– recommendations for improvements in a wide range of

areas, covering

• operational controls,

• maintenance controls,

• modifications and

• capital projects.

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Significant Energy Users (SEUs)

Which systems?

• Sub meters

• Motor list

• Estimation

• Calculation • Pie Charts • Sankey

Diagrams

Which

people?

• Who influences SEUs?

• Training needs

• Organisation charts

Drivers?

• What is driving use?

• Variables

• Activity

• Weather • Regression

analysis

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How to quantify each energy user?

• Do you have sub-metering?

• This is the best situation

• Ideally automatically logged to a database

• Manually read also gives good information

• Are meters accurate and working

• Is data collection working and accurate

• Do you have local meters?

• kW, A, flow rate, etc.

• These can be read manually and

calculated/estimated

• Care with time of readings

• Quantification or estimation of use

• Equipment List and energy information

(specifications/actual data)

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Which systems?

• What is the single largest energy user in

your organisation?

• How much energy does it use?

• What drives that use?

– What causes it to increase or decrease?

• Which people affect the energy use of that

item/system?

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Determination of Energy Consumption

• Analysis of Energy Bills

• Energy Measurements

• Energy Estimation

– When actual measurement of data is not available,

estimation of monthly energy consumption by power

rating and operating hours may be adopted

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Heat Balance • Use what you know:

• Steam flow

• Feedwater flow (= steam flow approximately)

• Fuel flow (heat flow = fuel flow * efficiency)

• Gas bills

• Hot water flow and temperature difference (dT)

(Q=m*Cp*dT)

• Build up a balance

• Heat in = heat out

• If you have a significant gap, you may need to measure it

• Ultrasonic flowmeters, portable heat meters

• More challenging than electrical power

– Typically fewer measuring points

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Establish energy performance indicators (EnPIs)

• Varying levels of complexity

• Absolute energy consumption – Simple but ignores activity levels

• Simple Ratios – Easy to use but can be

• misleading – Take account of activity levels

– Can only deal with single variables

• Regression analysis

– More complex

– Quantifies driver effects

– Allows comparison of

actual

against expected use

• Try to have an EnPI for

each

SEU

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Energy Performance Indicators (EnPI)

• Energy Performance Indicators (EnPls) to

monitor and measure energy performance.

• EnPIs are useful tools to enable

management to assess actual energy

performance against expected outcomes.

• An EnPI can be a simple parameter, a

simple ratio or a complex model.

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EnPI • The organization can select and determine suitable

EnPIs according to the operation to better reflect and

measure its energy performance.

• The EnPIs should be updated when business activities

or baselines change that affect their relevance.

• The methodology to determine and update the

EnPIs should be recorded and reviewed regularly.

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EnPI

• energy consumption per unit of floor area

• energy consumption per unit of production

• Y = mX + C

• Y = m1X1 + m2X2 ….. + C

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• Where are we starting from?

• Permits quantification of success (or failure!)

• Different types:

• Absolute consumption

• Specific energy consumption, e.g. kWh/unit

output

• Regression formula

Energy Baseline(s)

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Baselines • Baseline is initial model

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Baselines

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Energy Metrics

• Consider the drivers for each SEU

• This relationship may be your baseline

• Energy Performance Indicators (EnPI)

• Baseline

• Baseload

• Regression Analysis

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Measurement Plan

• Once SEUs are known

• Including variables

• Reporting requirements can be specified

• What meters and measurements are required to deliver these reports?

• How much can be achieved with existing instruments?

• Manual vs. automated

• List what new instruments are required

• Each new instrument should be able to justify its cost

• Don’t forget installation cost

• Electricity and liquid flow meters can be good value

• Gas flow meters tend to be expensive (steam, compressed air, etc)

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System Optimisation

• Examine the whole system and not individual

components

• Establish user requirements and specification

• Examine opportunities with use

• Examine opportunities with distribution.

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Opportunity List

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Types of people who impact energy consumption

• Immediate and direct impact

• SEU Operators

• Maintenance and external service personnel

• Influencers

• Managers, supervisors, leaders

• Production people

• People who see things differently

• Cleaners

• Security

• Safety Officers

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Energy Management System Planning Outputs

• Energy

Baseline(s)

• EnPIs

• Objectives

• Targets

• Action Plan

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Objectives, targets & action Plans

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• ISO 50001 Standard says……

– It requires the organization to establish, implement and

maintain documented energy objectives, targets and

action plans specified outcome or achievement defined

to meet its energy policy related to improved energy

performance. (Item 4.4.6)

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Objectives & Targets

• Documented energy objectives and targets should be

established to ensure compliance with the organization’s

energy policy, and to facilitate continual improvement in

energy performance.

• Objectives should state what the organization wants to

achieve; while targets should specify how the organization

would achieve those objectives.

• The objectives and targets should be practical, achievable

and measurable, and must conform to the organization’s

business objectives and preferably provide some challenge

to the organization.

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Objectives & Targets

Example

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Targets • Alter the formula to reduce by targeted amount

• E.G. multiply coefficients by 0.95

y = 1.9931x + 2E+06 R² = 0.7298

3,750,000

3,700,000

3,650,000

3,600,000

3,550,000

3,500,000

3,450,000

3,400,000

3,350,000

3,300,000

3,250,000

3,200,000 580,000

600,000

620,000

680,000

700,000

720,000

An

nu

alize

d E

lect

640,000 660,000

Product

Annualized F1+F2 (July 2010-

June 2012)

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Relationship

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Sample objectives

ID Description Resp Target Date Status

1 Reduce electricity consumption by 15%

JB 31 Dec2014

2 Increase awareness of energy matters to 90% of employees

MM 31 Dec 2013

3

4

5

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Sample targets

ID Description Resp Target Date Status

1 Train all boilers operators on energy efficient operations

JB 31 Dec2011

2 Carry out 4 energy awareness training sessions

MM 31 Dec 2011 1 comp

3 Increase condensate recovery rate to 90%

JB 31 Dec 2011 83%

4

5

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Action Plans • Action plans should be developed to address all of the

organization’s energy objectives and targets detailing how

and when they are to be achieved, which will subsequently

facilitate monitoring the progress in achieving the energy

objectives and targets.

• The action plans should include schedules, resources and

responsibilities for achieving the objectives and targets.

• They should be flexible and be able to be revised to reflect

any changes in the objectives and targets.

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Example of an Action Plan

• Replace lighting with more energy efficient options

• Provide energy training for staff

• Ensure air handling units are turned off when not

required

• Review and upgrade if required insulation

• Substitute high efficiency motors when replacement is

required.

• Use ambient air for compressed air system intake.

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Implementation & operation

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Implementation & Operation

• Competence, training and awareness

• Documentation

• Operational control

• Key Area

• Operation and Maintenance

• Service Contractors

• Training

• Communication

• Design

– Energy Efficient Design (EED)

• Purchasing energy, services, goods

Action Plan

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Competence, Training & Awareness

• ISO 50001 Standard says……

– It requires the organization to ensure all staff and

persons related to significant energy uses are

competent. (Item 4.5.2)

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Competence

• Competence refers to persons who possess the required skills,

knowledge, qualifications, and capacity to perform their duties that

can significantly affect energy use or the implementation of the

EnMS.

• A competent workforce is essential in successfully implementing the

organization’s EnMS and achieving improved energy performance.

• The knowledge and skills that are necessary to implement the EnMS,

ensure control of the significant energy uses and achieve the energy

objectives and targets must be addressed.

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Training • Appropriate training should be provided to all relevant personnel.

• This training should include general concept of energy management as well as

skills training (usually on-the-job) to allow personnel to carry out their tasks with

an awareness of the impact their activities can have on the energy

performance.

• Contractors working within the boundary of the organization, should be required

to provide

details of their competence

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Communications

• ISO 50001 Standard says……

– It requires the organization to address internal

communication in relation to its energy performance

and EnMS. The organization should also decide

whether to communicate externally about its energy

policy, EnMS and energy performance. (Item 4.5.3)

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Internal Communication

• An internal communication procedure could include how

staff members are made aware of energy issues, how

decisions are made or information is disseminated to staff

etc.

• make provision for the communication of suggestions /

complains etc.

relevant to energy management and how these are dealt

with.

• Communication procedure to cover the process in

responding to comments and suggestions by contractors

working for or on behalf of the organization.

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External Communication

• Should maintain a documented decision on whether it will

communicate its

energy policy, EnMS and energy performance externally

• If they do, they should consider the following aspects:

– type and level of information to be communicated;

– targets of communication;

– mechanisms and responsible parties to handle and

respond to enquiries;

– official response time; and

– recording system and format of communication and the

associated correspondence.

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Documentation

• ISO 50001 Standard says……

– It requires the organization to establish, implement

and maintain information to describe the core

elements of the EnMS and their interaction. (Item

4.5.4.1)

– It requires to control all the EnMS documents. (Item

4.5.4.2)

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Documentation • ISO 50001 Standard require documented information that describes

the core

elements of their EnMS:

– scope and boundaries of the system;

– energy policy;

– energy planning process including methodology and

criteria used to develop the energy review, energy

baselines and methodology for determining and

updating the EnPIs;

– energy objectives, targets and action plans; and

– decision whether to communicate externally about information of

energy

performance.

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Operational Controls

• ISO 50001 Standard says……

– It requires the organization to identify and plan operations and

maintenance activities which are related to its significant energy

uses in order to ensure that they are carried out under specified

conditions. (Item 4.5.5)

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Operational Controls

• Implementation of the EnMS is dependent on the

establishment and maintenance of operational

procedures and controls to ensure that the

significant energy uses are being controlled

• Review all significant energy uses to identify those which

are not already controlled or where existing controls may

be insufficient, and to subsequently ensure that control

procedures are in place for all such areas

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Review Operation Control

• This is aligned with the review of training needs

– It additionally checks operating and maintenance procedures

• Check operating procedures

• Are operators familiar with the energy impact of operations?

• Check maintenance procedures

• Check maintenance frequencies

• Are maintenance staff familiar with the energy impact of their work?

• This review will help to assess training needs

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Operational Control: A critical element of the EnMS for energy savings

Steps in achieving effective operational control:

1. Determine and establish maintenance and operational criteria

2. Communicate operational controls

3. Operate according to the criteria

Leads to, SIGNIFICANT ENERGY

SAVINGS &

BENEFITS WITHOUT

CAPITAL

EXPENDITURE!

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Sources of Criteria

• Manufacturer’s recommendations

• System operational manuals, including

automated controls

• Service personnel suggested operating settings

• Service personnel suggested maintenance

practices

• Internal expert’s suggestions

• Guidance from energy system experts

• Benchmarking

performance of similar

equipment

• Past issues or problems

Developing Criteria

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• Operating criteria

Temperature

Pressure

Residence time

Humidity

Control schemes

Others

Operational Criteria

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Maintenance options

Preventive maintenance

Predictive maintenance

Reliability centred maintenance (RCM)

Overall equipment effectiveness (OEE)

Total productive maintenance (TPM)

• Note: reactive maintenance may be appropriate for items that are relatively unimportant in terms of reliability and energy use

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• Maintenance criteria

• Filters

• Lubrication

• Tune-ups, adjustments

• Maintenance factors

• Operating schedules

• Inspection

methods and

intervals

• Start up & shut down

• frequency

• Severity of service

Maintenance criteria and Factors

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Procurements of Energy Services, Products, Equipment and Energy

• ISO 50001 Standard says……

– It requires the organization to inform suppliers that

procurement is partly evaluated on the basis of

energy performance when procuring services,

products and equipment that have an impact on

significant energy use. (Item 4.5.7)

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Upfront expense

Incremental cost

Energy cost

Maintenance cost

Expected lifetime

Disposal cost/Salvage

value

Life Cycle Analysis: Purchasing & Lifetime Costs

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Checking

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Checking Check Operations

• Check operator records

• Check maintenance records

• Equipment checking

Check the system

• Is everyone doing what is required?

Check Performance

• Check EnPIs

• Check trends and costs

Check progress

• Against plans

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Monitoring, Measurement & Analysis

• ISO 50001 Standard says……

– It requires the organization to monitor, measure and

analyze the key characteristics of its operations that

determine energy performance at planned intervals.

Equipment used in monitoring and measurement of

key characteristics should be calibrated to ensure

data are accurate and repeatable. (Item 4.6.1)

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Monitoring, Measurement & Analysis

• According to the standard, key characteristics required

monitoring shall include at a minimum:

– Significant energy uses and other outputs of the

energy review;

– The relevant variables related to significant energy

uses;

– EnPIs;

– The effectiveness of the action plans in achieving

objectives and targets; and

– Evaluation of actual versus expected energy

consumption.

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Checking Performance

EnPIs

Baseline

Savings targeted to date

Savings achieved to date

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Internal Audit

• ISO 50001 Standard says……

– It requires the organization to conduct internal audits

regularly to ensure effective implementation of the

EnMS. (Item 4.6.3)

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Internal Audit

• Should establish a programme to evaluate

periodically on its EnMS implementation and

check the effectiveness of the system in fulfilling

their energy policy.

• The programme should include the scope and

frequency of the audits.

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Nonconformities, Corrective & Preventive Actions

• ISO 50001 Standard says……

– It requires the organization to address

nonconformities by making corrections, and by

taking corrective action and preventive action.

(Item 4.6.4)

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Management Review

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Management Review

Regular presentation

How are we getting on?

Is performance improving

as targeted?

Problems and barriers to

overcome?

Achievements

What is the plan for next year?

What do we need to

achieve this plan?

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Management Review

• ISO 50001 Standard says……

– It requires the top management to review the EnMS

regularly to ensure its suitability, adequacy and

effectiveness. (Item 4.7)

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PDCA complete Ongoing Activities

Training

Communication

Operational Control

Procurement

Energy Efficient Design

Action Plans

Checking

• EnPIs

• Progress

• EnMS

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EnMS Project Plan • Note: The implementation of an EnMS is a

project

• The use or operation of the EnMS is NOT a

project

• Every organisation will be different

• Different complexity and scale

• Different approach to change management

• Different cultures

• Different speeds of action

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Energy management Programme (EnMP)

• Despite energy efficiency measures have been demonstrated to

contribute to business competitiveness and raise productivity,

energy efficiency actions and improvements are still not typically

or widely viewed as a strategic investment in future profitability.

• Because energy efficiency potentials are highly fragmented and

spread across a multitude of locations and devices, this dispersion

ensures that energy efficiency is the highest priority for virtually

no one.

• EnMPs are a means of encouraging the use of EnMS to overcome

a range of barriers

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Energy management Programme (EnMP)

EnMPs help companies to the implementation of EnMSs, and

provide guidance and support for the implementation process.

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Drivers and Supportive policy mechanisms for EnMS

implementation

• Target-setting agreements (incl. reporting requirements)

• Tax policies

• Subsidies for energy audits

• Training and technical assistance

• Recognition programs Reward programme and other forms of

recognition

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• Capacity-building for EnMS implementation

• Conformity assessment professionals

• Mandatory implementation of EnMS

• Energy review, benchmarking and technical tools.

• Case studies showing peer experience.

• Guidance materials.

• Workshops, networks and other fora for best practice exchange.

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Target-setting

• Mandatory: Where adoption is made mandatory within the

goal of achieving a certain energy intensity target

• Voluntary or negotiated agreements: used by governments as a

mechanism for promoting IEE

Challenges

• Sectorial targets are divided across facilities

• Need for robust mechanisms for target setting

• Government enforcement and control agencies have capacities

• Need for institutional capacities from industries (associations,

chambers, federations) to negotiate and operate

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Tax policies and incentives

• Exemptions to enterprise taxes:

– On fuel or electricity use

– On carbon taxes

• Rebates on VAT of efficient industrial equipment or

monitoring systems for environmental and/or energy control

• Reduced income tax

Challenges

• Can be perceived as a subsidy

• Enterprises ability to use the instruments

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Training and technical assistance

• Government led or government funded programs to strengthen technical

skills in the industrial sector

• Subsidizing technical consultants who may assist the implementation of

EnMS

Challenges

• Encouraging industry to participate

• Can be perceived as a subsidy

• Enterprises ability to use the instruments

• Availability of qualified staff

• Creation of qualification mechanisms for technical experts

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Enterprise Recognition Programs

• Market based policy > to achieve recognition there has to be a

tangible benefit obtained by the recognized enterprises

• Third party verification > to provide industrial facilities and

companies with a transparent system for verifying improvements

in energy performance and management practices, which may

involve or not ISO certification

• Can be supported by cost-shared training and technical assistance

for facilities seeking

Challenges

• Enterprises ability to use the instruments

• Market value

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Capacity-building for EnMS

implementation

• There is a need to have responsible agencies and competent

staff across all aspects of an EnMS promotion policy, whether

there is mandatory enforcement or control or just promotion of

EnMS

• Need for inter-institutional coordination

• How to equip government agencies with mandatory roles?

• How to strengthen agencies with support roles?

Challenges

• Need for dedicated teams or agencies?

• Enterprises ability to use the instruments

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Capacity-Building for conformity assessment professionals

• If enterprises will certify the ISO 50001 standard, then the

Quality Infrastructure needs to strengthened, particularly the

ability of Certification Bodies to assess conformity, starting by

Auditors

• There are three main features of certification bodies that are

addressed relative to conformity assessment, competency,

consistency, and impartiality

• Need for an internationally recognized

• accreditation process at country level

Challenges

• Ensuring that energy performance improvements are achieved

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[email protected] 119

• Discuss with your friends about environmental effects

from application of coal, oil and gas (3-5 minutes).

• Give your opinions on:

– Power generation sources in Malaysia or in your country

– What are the environmental impacts from these fossil fuel

uses?

– Per capita emission in Malaysia and world?

– How could the impacts be minimized?

– Do you think Malaysian power sector is sustainable?

Small group discussion