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ENERGY MANAGER MAGAZINE

Energy Saving

Parkserve

Place in the Sun

Trust Verifies

Targets Energy

- Lowering the

QRL Product

Use to Reduce

Carbon

Performance in Radiator First

Costs and Increase Sustainability

Footprint of the Public Sector

Highlights 7

High Intensity LEDs Transform the Test Lamp

BREXIT: The end of an era - Will the UK be left in the dark?

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Going modular

What’s the “Value” in “Value Engineering”?

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Energy Manager Magazine • July/august 2016

News

Renewable energy outperforms coal in new official UK electricity statistics

he Government’s new annual energy statistics show that renewable energy sources are replacing coal as mainstream technologies generating power for British homes, offices and factories. Today’s figures confirm that 25% of the UK’s electricity was generated from renewables last year – an increase of 29% on 2014. Nearly half of this (48%) came from wind power alone. 1 in 8 units of electricity generated in the UK came from wind. In comparison, coal generated 22% of the country’s electricity – down from 30% in 2014. RenewableUK’s Deputy Chief Executive Maf Smith said: “The Government took the

right decision when it announced the phasing out of coal. Now we can see renewable energy filling the gap, replacing old technology with new. 2015 was the first year that renewables outperformed coal. “A quarter of Britain’s power is now coming from wind, wave and tidal power and other renewable energy sources. Renewables are now part of our energy mainstream, helping us modernise the way we keep the lights on by building new infrastructure for the generations to come”. The contribution of offshore wind grew by 30% in 2015, while onshore wind grew by 23%. The Department for Business, Energy and Industrial Strategy, which

published the figures, said this was due to increases in capacity, load factors and higher wind speeds. The Government’s latest poll on the public’s views on energy, the Public Attitudes Tracking Survey, was also published today. It showed that 76% of people support renewable energy. 70% of people also said renewable projects provide economic benefits to the UK. For further information, please contact: Robert Norris, Head of Communications, 0207 901 3013 or 07969 229913

COMPANIES WITH ONSITE GENERATION ASSETS ADVISED TO ‘OFFSET’ THEIR ELECTRICITY CONSUMPTION TO MAXIMISE OVERALL RETURNS

ompanies with onsite generation should look to ‘offset’ any exportable energy they produce against the energy they purchase elsewhere in order to improve their overall energy portfolio returns. This is the advice being provided by EnDCo, an independent licensed electricity supplier that provides business customers with direct access to the wholesale electricity markets. The company says that six-figure annual savings can be achieved for businesses with the right ratio of electricity consumption to generation that adopt the Offset Supply strategy, even at exported power levels as low as 1.5 megawatts (MW). Andy Rice, managing director of EnDCo explains: “For companies that can generate electricity, either at a single site or at multiple locations, a strategy for ‘offsetting’ any surplus generated power against the electricity consumption needed at other geographically dispersed premises can be a very attractive option. Furthermore, using this approach companies with an energy-generating plant in Scotland and an energy-consuming operation in Cornwall don’t need an extension lead connecting the two locations to make this happen.’ An offsetting approach is one which works best when a business operating at

EnDCo opens its Offset Supply service to new customers with onsite energy generation capacity multiple premises is in a position to meet most of their electrical load from their own generation sources, or even better when that generation capacity exceeds the consumption requirement. The generation asset/s may be located at a single site or dispersed over multiple locations, but in either event the generated power can be used to offset the consumption at any number of other power-consuming properties. In these circumstances, EnDCo enters into an agreement with the customer to allow all of its consumption to be offset by its own-generation. If there is any residual generation after consumption needs are met, this would be sold into the wholesale market or conversely, if there is insufficient generation to meet consumption for any particular period, then additional power would be purchased to make up the shortfall. The terms on which power is sold into, or bought from, the market in the event of a surplus/shortfall are open to negotiation, but a typical approach would be to sell or buy any known (forecast) surplus/shortfall

Energy Manager Magazine • July/August 2016

at prevailing market prices with any residual requirement taken at the published System Prices. Provision by the customer of accurate forecasts (for example, on a week-ahead basis) is a critical and integral part of the agreed service package. EnDCo is able to provide an offsetting service to its customers because it is not seeking to make a margin on either the purchase or sale of electricity. EnDCo fees are simply applied as a fixed monthly charge, which is independent of the power volumes imported or exported, although this does of course need to be taken into account in assessing the total net benefit. Market sectors which EnDCo believes can most benefit from its Offset Supply service include manufacturing, Energy from Waste recycling plants, onshore oil and gas extraction and even public sector organisations such as hospital trusts which can have large capacity onsite generating CHP and biomass plants. Information about the Offset Supply service can be found on the EnDCo website at: http://www.endco.co.uk

News

BRE takes a cool look at air conditioning in non-domestic buildings

newly published BRE report sheds important light on electricity usage by air conditioning in UK offices and retail environments. Comprising the findings of a two-year study commissioned by the Department of Energy and Climate Change (DECC) - now part of the Department of Business, Energy and Industrial Strategy - the report provides key insights into how the energy is being used and the factors influencing consumption. The aim of the study was to improve the DECC’s understanding of UK electricity usage by air-conditioning (AC) in UK non-domestic buildings. Led by Dr Andy Lewry, BRE’s principal consultant, in the sustainable energy team, the study included analysing existing cooling demand and consumption data; assessing air conditioning inspection reports and energy performance certificates; reviewing literature on trends in air conditioning usage and the possible future impacts of new technology; and developing procedures to extend the scope of DECC’s product policy model. With the research informing objectives ranging from estimating the potential for

energy efficiency to how uptake of energy-efficient appliances can be accelerated, the main findings and outcomes include: • Cooling in air conditioning systems may account for around a tenth of total UK electricity consumption. • Heat-waves are becoming more frequent across the UK and in the South-East of England, the number of heat-wave days per year increased from 5 in 1961 to 17 in 2003. • The proportion of buildings with air-conditioning is increasing. The study estimates that that, in 2012, some 65% of UK office space and 30% of UK retail space was air-conditioned. • The study estimates that cooling in offices typically uses around 40 kWh/ m2 per year. • Air conditioning is frequently used even when buildings are unoccupied, for example in the evenings and over the weekends. • The analysis of Energy Performance Certificates (EPCs) indicates that over half of air conditioning systems in the

•

UK are split systems. Although only 10% of EPCs have AC recommendations; these mostly relate to more efficient equipment, including variable speed drives, and reducing air leakage from ductwork An analysis of the recommendations in air conditioning inspection reports, which tend to be generic with the focus on improving controls and maintenance. Recommendations for updating the key inputs into DECC’s existing product policy model of air conditioning electricity demand and development of an algorithm to estimate peak and monthly demand to supplement it.

BRE has also put together a dissemination plan aimed specifically at air-conditioning designers and technicians, building managers and smart system designers The full report with appendices is freely available on BRE’s website at bre.co.uk/ac_energyuse

Thames Water Retail Exit Could be Followed by Other Utilities

Fredrick Royan, Vice President, Global Environment, Water and Waste Management Practice, Frost & Sullivan

he UK competitive market for non-household customers opens in April 2017, and in an interesting development Thames Water has decided to transfer its retail business to Castle Water over the coming months. In the current scenario of the UK retail water market, all non-household customers in Scotland can choose their retail water service provider whereas in England and Wales non-household customers using 5 million litres a year or more can choose their service provider. In

April 2017, the threshold of ‘more than 5 million litres per year’ is to be removed, which will open up the entire non household customer base. Estimates from Thames Water indicate that this will open up the current market estimated to be around £540 million to about £2.5 billion in 2017. Even with the opening of the market there is little margin that the retail water service companies can secure with the non-household customers. The business opportunity for retail water companies is associated to the on-site activities such as billing, customer management, leakage management, water conservation as well as on-site water and wastewater treatment needs. The non-household customer segment is also characterised by a large range of customers from hotels, retail out-lets, cafes, super markets, industries, sites under the National Health Service and the Defence, etc. The multi-site aspect of many of these customers groups does make it an attractive segment to develop a range of innovative solutions and services to enhance and improve on-site water services.

Customers have become central to the strategy of water utilities in the UK as they embark in addressing efficiency improvement as well as customer management. Thames Water is the largest water utility in the UK and the decision of off-loading its retail water services certainly will allow it to focus on its main customer base of households and channel its efforts in the extensive infrastructure that is much need of rehabilitation and renovation to secure the much needed efficiency improvements. It is worth adding that competition of water service in the UK household sector could open in 2020 and utilities will need to focus on their household customers in the coming years to be better equipped in capitalising on the retail opening of the household market. For more information or to schedule an interview, please contact Anna Zanchi, Corporate Communications: anna.zanchi@frost.com

Energy Manager Magazine • July/august 2016

News

ABB identifies 30 technical challenges facing users of VSDs in HVAC applications T wo decades of research reveals the most common misconceptions and challenges facing consultants, OEMs, systems houses and facility managers when using variable-speed drives within the HVAC sector. ABB is addressing some 30 technical challenges facing users of variable-speed drives (VSD) within the building services sector. The challenges affect, to varying degrees, consultants, OEMs, systems houses, facility managers and end-users. As such, ABB plans to target the relevant challenges to each customer type, over the coming months, before collating all 30 by way of a top tips eBook. The identified challenges are the results of over two decades of VSD installations throughout the building services sector. They are based on feedback from customers, observations of third-party installations and changes to legislations, regulations and standards. “What has become clear is that not all drives are the same,” explains ABB’s UK

manager for HVAC drives, Carl Turbitt. “This is partly due to advances in hardware and software which means that today’s drives are very different to those that were written into specifications several years ago.” For instance, today’s heating, ventilation and air conditioning (HVAC) applications can be driven with a variety of motor types from electronically commutated motors (ECMs), permanent magnet motors (PM), synchronous reluctance motors (SynRM) and induction motors. Yet users need to be extremely careful when selecting which type of motor can be used for their application. ECMs, for example, are brushless DC motors that function using a built-in inverter and a magnetic rotor, and as a result are claimed to achieve greater efficiency in air-flow systems than other kinds of AC motors. The motors have a long life and are extremely quiet. However, they can be costly to buy and while the high efficiency offered by ECMs may be suitable for some applications, it is essential that the right motor technology is selected if unforeseen

problems with harmonics, catching spinning loads and power loss ride through are to be avoided. The cost-effective SynRM, for example, offers the same efficiencies as ECMs but without the aforementioned issues. A SynRM controlled properly in a well designed system can achieve the specific fan powers, whilst being controlled by a traditional VSD that then brings all of the advantages associated with that drive such as: improved harmonic mitigation, adequate power drip ride through, fieldbus connectivity and built-in control features to enhance the application. “ECMs, at smaller ratings, are more compact and their efficiencies make them attractive to OEMs,” notes Turbitt. “But above 11 kW, they are too big to fit fans. Also at higher powers, heat losses cannot be easily dissipated within a fan’s hub design. By contrast, using a VSD and motor package in these higher powers avoids these issues and brings a host of other important benefits such as harmonic mitigation, the ability to catch a spinning load etc.” Among some of the other considerations when selecting a drive is that not all harmonic mitigation is the same, not all drives are right for outdoor use and not all drives achieve the EMC regulations when connected to a motor. ABB has addressed many of these challenges by incorporating hardware and software changes in its new ABB HVAC drive, ACH580 - a variable-speed drive dedicated to the HVAC sector. ABB (www.abb.com) is a leading global technology company in power and automation that enables utility, industry, and transport & infrastructure customers to improve their performance while lowering environmental impact. The ABB Group of companies operates in roughly 100 countries and employs about 135,000 people. For help with any technical terms in this release, please go to: www.abb.com/glossary

Energy Manager Magazine • July/August 2016

News

HIGH INTENSITY LEDs TRANSFORM THE TEST LAMP N ow available from Martindale Electric – leaders in electrical safety – is the latest generation of Drummond test lamps using high intensity LEDs for live voltage indication. The use of high intensity LEDs has transformed the test lamp, enabling the display of discrete voltages levels over a 360 degree viewing angle, even in bright sunlight and for the most difficult of applications. The visibility from all angles is unique when compared to conventional two pole testers and with no batteries or ranges to worry about, it’s the simplest and safest way to prove dead when carrying out safe isolation procedures. Featuring four distinctive bands of LED illumination, the MTL10 and MTL20 test lamps provide safe and clear indication for voltages above 50, 100, 200 and 400 volts. Gone are the days of using lamp brightness to determine the voltage. The discrete voltage levels allow accurate identification

of potentially lethal voltages and enable electrical professionals to distinguish between 110V, 230V and phase to phase voltages in a 3 phase system. Designed to optimise user safety, the innovative new range of test lamps from Martindale Electric feature a finger shield to minimise the risk of accidental contact with a live conductor and insulated probe tips, with only 4mm of exposed metal. For difficult applications where access is limited, the detachable probes can be replaced with right angled or straight probes from 3cm to 13cm long, which can be rotated and locked in place, enabling easy access to measurement points in crowded cabinets. For troubleshooting demanding applications, for example, when live voltage indications appear to be present after isolating a circuit, the MTL20 also features a dual impedance functionality, which can enable electrical professionals to get to the

bottom of the problem quickly and safely. Featuring all of the same benefits as the MTL10, the MTL20 incorporates two test buttons, one on the body of the unit and one on the probe. Simultaneous depression of both switches presents a low impedance to the circuit under test, enabling the test lamp to draw a high current and dissipate phantom voltages, making it easy to differentiate between phantom voltages, due to capacitive coupling and true hazardous voltages. The latest range of Drummond test lamps from Martindale Electric feature exceptional build quality and conform to the latest safety standards referenced in HSE GS38 (2015) including BS EN61243-3, which came into force in 2013. Both models feature a 600V CAT IV safety rating in accordance with BS-EN 61010-1, making them suitable for higher category supply side applications. Suitable for use in bright sunlight and ideal for measurements where access is restricted, Drummond test lamps are the perfect solution for proving dead and ensuring compliance with the Electricity at Work Regulations for implementing safe working practices. Available to purchase separately, or as part of a kit, the MTL10PD and MTL20PD include a proving unit and a combination carry case to ensure that electrical professionals always have their proving unit to hand before and after testing for live voltages. Widely specified by electricity utilities and other safety conscious organisations, the MTL10 and MTL20 come with a 2 year warranty. www.martindale-electric.co.uk

Making the case for sustainable heating

nergy firm SSE publishes report making the case for increased use of district heating to help combat heating efficiency and affordability. The Sustainable Heating: Reducing Costs, Improving Comfort and Lowering Carbon Emissions report found one retrofit project at the Wyndford Estate in Glasgow has delivered a 62% reduction in CO2 emissions since it was installed in 2012. The results also show that lives have significantly

improved, comfort has increased, and jobs and economic value have been created. Working with the University of Edinburgh the report concluded: • 81% of tenants and 90% of owners said they felt warmer with the new heating system; • 60% fewer tenants and 80% fewer owners reported going to bed early to keep warm; • Tenants cutting back on food

expenditure fell 50%; Tenants borrowing money for heating fell 60%; and • Tenants putting off paying other bills fell 40%. Construction of the scheme also delivered a £10m boost to UK GDP, supporting 176 job-years of employment. •

For further details and forthe full report please contact Ciara.Wilson@sse.com

Energy Manager Magazine • July/august 2016

News

rend Control Systems, the leading international manufacturer and supplier of state-of-the-art Building Energy Management Systems (BEMS), is celebrating its success at the recent Business Matters Business Awards 2016. The company fought off stiff competition to walk away with the prestigious Manufacturing and Construction Award, which recognises the investment it has made in this element of its business, as well as the high standards it operates to. The Business Matters Business Awards highlight excellence within the circulation of the West Sussex County Times, Mid Sussex Times and the Crawley Observer, covering Horsham, Crawley, Haywards Heath and Burgess Hill. They are dedicated to recognising, rewarding and celebrating local businesses. Now in their fifth year, the 2016 awards event took place at the Gatwick Hilton Hotel and was hosted by Nick Wallis, BBC One Show presenter and Channel 5 reporter. Sponsored by Sussex Chamber of Commerce, the Manufacturing and

Trend triumphs at the Business Matters Business Awards 2016 Construction Award was judged by an independent panel of individuals representing the local business community. The panel examined those enterprises that have demonstrated exceptional financial returns, innovation, strong growth and market leadership in the field of manufacturing and/or construction. Accepting the award, Alan Carter, Trend’s Research and Development Manager, said, ‘We are immensely proud of our long association with Sussex and believe that the region offers all the ingredients for business success. I am thrilled that Trend’s manufacturing and business excellence has been recognised in this way.’ As one of the area’s largest employers, Trend has a well established and highly successful apprenticeship programme, and firmly believes that the increasing popularity of building control technology offers a bright future for those wishing to work at the cutting edge of the green agenda. As such, two of its apprentices, Ryan Owner and Zak Tucker were nominated for the Young Achiever award

and the company also sponsored the Training & Development Award, which is designed to acknowledge exemplary training programmes that make a real difference and saw Josh Hough, MAS Technicae ( International) Group Ltd emerge victorious. Sue Sluce, Trend’s Learning and Development Manager, commented, ‘Trends’ Attitude Apprenticeship Scheme combines classroom based learning with on the job experience and since its launch in 2007 we have successfully helped 53 people become fully qualified, with a further 64 currently in training. We were delighted to sponsor the Training & Development Award for which the calibre of entrants was extremely high, and highlights how the Sussex region is leading the way in skills development.’ For further information please call 01403 211888 or email marketing@trendcontrols.com

Energy Institute offers new online qualification in energy management

he Energy Institute (EI), the chartered professional membership body for the global energy sector, now offers a new online qualification in energy management. Level 2: Energy Management Professional provides students with the opportunity to complete 15 modules on a variety of energy management topics, and to carry out a feasibility study of a real-world problem in their organisation, in order to gain a comprehensive understanding of energy management. Will Sadler, Training Team Manager, Energy Institute, says, ‘This course was developed to provide all the knowledge that professional energy managers need to go about their role successfully. The programme offers five core modules which cover the underpinning theory of energy management along with finance and project management skills. This reflects the transition for the energy manager’s role

from the boiler room to the boardroom and that, moving forwards, all energy managers should have financial and project management know-how in their armoury.’ The EI’s Level 2: Energy Management Professional course is intended to help students achieve energy and cost savings, reduce carbon emissions and meet their organisation’s environmental targets. Students must complete five core modules and a further 10 elective modules from 19 different topics. These cover a wide range of areas from heating, ventilation and lighting to measurement and verification, on-site electricity generation and regulations and incentives. Participants will also undertake a project to help apply the technical and managerial skills they have developed throughout the course. One of the benefits of this course is that participants can work through the materials at their own pace and around their work

Energy Manager Magazine • July/August 2016

commitments. Throughout the course, tutor support is provided with continuous assessment. Overall, the course provides 200 hours of learning. Each of the modules can also be undertaken on a stand-alone basis for experienced energy managers seeking expertise on specific topics. The Level 2 course fits within the EI’s successful energy management training portfolio and is ideal for those with two or more years’ relevant experience in energy management or who have completed the EI’s introductory course Level 1: Certificate in Energy Management Essentials. The Level 2 course will also support those working towards achieving Chartered Energy Manager status, demonstrating their commitment to energy management. Visit www.energyinst.org/Level-2 to find out more

News

Liverpool NHS, Carbon and Energy Fund Pioneer Efficiency Innovation Three Liverpool hospitals receive new Investor Ready Energy Efficiency™ certification, £100 million to be deployed across EU, UK

consortium of three National Health Service (NHS) Trusts in Liverpool is the first in Europe to receive the newly launched Investor Ready Energy Efficiency™ (IREE) certification. Launched today by Environmental Defense Fund’s Investor Confidence Project (ICP) Europe, the IREE certification for commercial and multifamily residential buildings is granted to projects that follow ICP’s framework, and provides investors with more confidence in financial and environmental results. “Liverpool has always been a place of trade and innovation, and we at Liverpool Women’s Hospital are proud to honour that heritage. By pioneering ICP’s new investor-ready certification in Europe, we are showing that that we can take climate action that is good for our people and good for business,” said John Foley, Environmental Manager at Liverpool Women’s Hospital. The £13-million project developed by the Carbon and Energy Fund, with financing from Macquarie Group, will improve the energy and carbon performance of three hospitals: Aintree University Hospital NHS Foundation Trust, Liverpool Women’s NHS Foundation Trust, and The Walton Centre NHS Foundation Trust, resulting in annual savings of £1.85 million, with an average energy saving of 50% and an average carbon saving of 33% annually. “This is a landmark deal in energy efficiency financing. This new certification

promises to help unlock the European retrofit market”, says David Mackey at the Carbon and Energy Fund (CEF), who developed the project. “We have £100 million worth of projects in the pipeline that will be certified – a clear signal to the market we are open for business.” Project investors Macquarie Group stated, “Macquarie is pleased to support the NHS energy efficiency upgrade project in Liverpool. We look forward to financing future energy efficiency projects as the UK transitions to a clean, low-carbon economy.” The energy efficiency market already employs more than around 136,000 people in the UK, is worth more than £18 billion annually, and delivers exports valued at nearly £1.9 billion per year. “The Liverpool Energy Collaboration scheme demonstrates a strong partnership approach for delivering low carbon investment plans by the NHS. Working with the Investor Confidence Project, the Carbon and Energy Fund and Macquarie Bank, these three trusts have come together to deliver innovative energy efficiency solutions that will reduce the operational revenue costs of each trust, alongside delivering environmental benefits in a cost effective way,” said Peter Sellars, NHS Estates Head of Profession. As it expands, ICP’s Investor Ready Energy Efficiency™ certification could point the way toward mass-scale financing of energy

efficiency in the building sector – where €100 billion per year is needed to reach the EU’s 2020 energy efficiency target. By providing at-a- glance branding for building retrofit projects, this new certification has the potential to help unlock tens of billions of dollars in energy efficiency investments. By working collaboratively with other innovative government, utility and private sector programs, like property-assessed clean energy financing and “pay-for- performance,” ICP will help ensure that energy efficiency delivers on its promise. ICP Europe’s Ally Network of about 150 market leaders includes the Building Owners’ and Managers Association, Siemens, ARUP, E.On, World Green Building Council, and the Building Performance Institute Europe. The recently launched Investor Network has brought together investors with €1 billion in assets under management looking for energy efficiency opportunities. ICP recently received the prestigious Finance for Resilience (FiRe) award presented by Bloomberg New Energy Finance. Interested parties are invited to contribute to ICP Europe’s efforts through the Technical Forum and help make energy efficiency a global asset class by joining the ICP Europe Ally Network. panama.bartholomy@eeperformance.org

How to understand business energy wastage for lower bills

nprova Energy has published a new eGuide to show facilities managers how to reduce energy costs via better monitoring and targeting of consumption management. The free e-guide details four steps facilities managers can take to understand and profile energy use. This will help inform their energy strategy and lead to lower bills. “If you think your energy bill is a fixed cost that’s out of your control, think again”, said Kerry Hamilton, Head of Energy & Environment for Inprova Energy. “By monitoring, analysing and understanding how you use energy, you can then understand where wastage may be

occurring. It’s then possible to take action to reduce both the waste and the cost.” She added: “Understanding energy consumption patterns is invaluable in developing strategic energy plans and forecasting demand, as well as informing contract renewal choices and improving bill validation. It can also help organisations move their energy load away from peak charging hours, as well as potentially generate revenue for entering the capacity market. All options will reduce energy costs.” www.inprovaenergy.com

Energy Manager Magazine • July/august 2016

News

Business will be key driver of global climate action, new research report reveals

new research report, ‘The Business End of Climate Change’ launched today at the Business & Climate Summit in London’s Guildhall puts a figure for the first time on what greenhouse gas emissions cuts could be achieved by business worldwide. The report examines what will be achieved by the plans of five key global business initiatives (RE100; EP100; Science Based Targets; Zero De-forestation & LCTPi) on climate action currently underway and compares this to what could happen if all relevant companies were to sign up to these initiatives and implement their plans. The report shows that: • the current Business Determined Contribution (BDC) to climate action – the amount that, by 2030, business will cut its greenhouse gas emissions – is 3.7bn metric tons of CO2 equivalent a year under current plans; • the potential BDC to climate action could be as high as 10bn metric tons of CO2 equivalent a year by 2030 with the right policy environment that supports all relevant companies signing up; • the number of companies signing up to these initiatives could rise from 300 today to over 3500 by 2030. Commenting on the Report which he launched at the Business & Climate Summit in London, IKEA chief sustainability office, Steve Howard said: “Building a better future is our shared responsibility. Companies, investors, individuals, cities and regions all have a role to play. Action on climate change is not only the right thing to do, it brings business benefits. For IKEA Group it’s a driver of innovation, renewal and an opportunity to make our business better.” The current BDC to climate action of 3.7bn metric tons of CO2 equivalent a year represents over 60% of the total emissions cuts (6bn metric tonnes by 2030) pledged by all countries in the Paris Climate Agreement through their own Nationally Determined Contributions (NDCs). It is the equivalent of taking over 1000 coal-fired power stations permanently out of use, almost 75% of the world’s total. Business is not waiting until 2030 to play its part. In total, around 300 leading companies have already signed up to the five climate action initiatives that the report analyzes. Companies signing up to the initiatives come from all over the world in all different sectors, and are joining in growing

numbers – over the last twelve months (June 2015-May 2016), 174 companies signed up to these initiatives, compared to 49 companies in the previous twelve months (June 2014-May2015). Examples of companies already taking action include: • Kellogg Company has cut its carbon emissions by 14% per metric tonne of food produced since 2005. In 2015, the company committed to ambitious Science Based Targets, including a 65 % reduction in emissions from its operations by 2050, and engaging suppliers to help them reduce emissions by 50% by 2050. • Autodesk, one of the world’s leading software companies, announced this month that it has achieved its target to power all of its facilities entirely with renewable electricity. Going forward the business has set an internal carbon price that will help align decisions and investments with a low-carbon economy. • IKEA Group has committed to going 100% renewable, generating as much renewable energy as the total energy it consumes in its buildings by 2020. The company is a founding partner of the RE100 campaign and has committed to cutting its emissions in line with Science-Based targets. IKEA Group has invested €1.5 billion in renewables since 2009 and pledged a further €600 million last year. By 2030, the initiatives plan to have more than 3500 companies signed up, driving forward the low-carbon economy. Christiana Figueres, Executive Secretary of the United Nations Framework Convention on Climate Change (UNFCCC) said: “In the run up to COP21 in Paris an extraordinary alliance of business and investors committed to ambitious actions via the dedicated NAZCA portal. I believe that you can truly say—“We’re Accelerating Climate Action”. But a universal climate agreement of nations also needs universal support from the private sector beyond Europe and North America. I would urge committed business to reach out to peers in Africa, Asia and Latin America in order to further seed, catalyse and build action everywhere and in support of COP22 in Marrakech.” The report acknowledges that whilst leading companies are already engaged in taking climate action, and many more

Energy Manager Magazine • July/August 2016

• By 2030, business could cut its greenhouse gas emissions globally by 3.7bn metric tons of CO2 equivalent a year or 60% of total emission cuts pledged in Paris by NDCs • Emission cuts could reach around 10bn metric tons of CO2 equivalent a year, well over halfway to sub 2°C, with right policy environment for enhanced climate action • Research conducted by New Climate Institute and CDP, formerly the Carbon Disclosure Project, on five key global climate action initiatives reveals the ‘Business Determined Contribution’ (BDC) to climate action

News are ready to sign up to make new commitments, there remains a long way still to go to achieve the sub 2°C goal agreed by countries in Paris at COP21. The report looks at what might be achieved if all relevant companies were encouraged to sign up to the five initiatives. Under such a scenario, it found that business would cut emissions by around 10bn metric tons per year. This potential BDC is equivalent to what China, the world’s largest emitter, pumps out in total CO2 emissions annually and alone it would take us well over half way to a sub 2°C world. Paul Simpson, Chief Executive Officer, CDP said: “This report makes it clear that business will have an enormous role to play in enabling the global economy to achieve – and exceed – its climate goals. With this potential comes great opportunity to build resilience, innovate and safeguard future profitability. The only way is up for business action on climate change. But we must not head into this future blind: Disclosure of climate information will be essential to keep track of corporate progress, spur greater action and help business achieve its ambition.”

To achieve this ambitious potential BDC target, government and business must continue to work together to create the right policy and regulatory framework to allow for enhanced climate action. The report calls on governments across the world to: • encourage utilities to offer renewable energy contracts and make it easier for businesses to commit to them; • help companies build their own renewable electricity installations; • support R&D for low carbon technologies; • offer grants and capital depreciation to make energy efficiency investments more attractive; • create incentives for buyers and sellers of sustainable products; • reduce the administrative and cost burden of certification for producers, so it’s easier for them to produce commodities without deforestation. Nigel Topping, Chief Executive Officer of We Mean Business, who commissioned the report said: “Businesses taking bold action on climate change are contributing significantly to placing the world on a below

2°C trajectory. To fully realise this potential, we need to see three things happening: One, governments removing barriers and creating incentives that enable companies to be even more ambitious in their efforts to cut emissions. Two, leading companies already committed to significant climate action raising the ambition of their peers by demonstrating the scale of the economic opportunity. And three, businesses that have not yet to commit, should follow the strong lead of the companies who have already signed up to one or more of the We Mean Business commitments.” The report recognises this is a starting point and not a complete picture of business action. There are many other business initiatives out there aimed at reducing emissions, and a process has been outlined to capture them in future editions of what will become an annual report. Find out more at www.businessendofclimate.org

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News

Energy Saving Trust verifies QRL product performance in radiator first

he QRL Radiator Group has become the first radiator manufacturer to be granted ‘verified’ status for its T22 Compact radiator by the Energy Saving Trust – marking the creation of a brand new, dedicated radiator category for the efficiency organisation. The Energy Saving Trust’s verification scheme provides independent evaluation of product performance for energy-efficient products. After reviewing the results of extensive testing, the organisation awarded the prestigious recognition to QRL’s flagship T22 Compact panel radiator (part of its hi-lo, Barlo and Warmastyle ranges). The verification compared the QRL T22 Compact with like-for-like products from its eight main market competitors – with QRL’s model consistently coming out top in terms of heat output performance. The QRL T22 Compact will now be listed as a verified product in its own category on EST Register, the Energy Saving Trust’s

online database of energy-efficient products. It will appear as the first and only radiator entry, alongside other heating system components, including boilers, heating controls and chemical inhibitors. Elaine Berry, client relationship manager at the Energy Saving Trust, says: “As an organisation that seeks to help consumers and businesses save energy and money, we recognise the importance of taking a holistic approach to heating system efficiency. Emitters are a crucial part of this, because just like other system components, they can have a significant impact on overall performance. That’s why it’s so important to opt for an efficient model wherever possible. “As such, we felt strongly that radiators deserved their own category, and are pleased to welcome QRL’s T22 Compact as the first member. Our verification showed that the product is very clearly leading the market in terms of heat transfer, offering unparalleled performance and the fastest

heat-up times available.” The Trust’s verification revealed that the QRL T22 Compact radiator had the highest heat output on the market – and the best compatibility with lower-temperature heat sources such as renewables. The results also showed that QRL’s Compact model boasts the highest number of water channels per metre, as well as the lowest water and steel content – all of which make for the fastest heat-up times*. Mike Wright, product development manager at QRL Radiator Group, says: “To be the Energy Saving Trust’s first verified radiator is a huge accolade, and we’re extremely proud to be part of what we see as a landmark development. This is not just a verification of QRL’s unique performance capabilities – we’re also confident that it will help bring an important issue to the industry’s attention: radiator efficiency. Emitters are consistently overlooked when it comes to efficient heating specification, which can seriously compromise wider system performance, and that’s something that we at QRL are working hard to change. “The fact that the Energy Saving Trust has created a new radiator category is evidence of a shift in industry attitudes. This is an important step forward, as it’s high time we started moving emitters right up the efficiency agenda.” Energy Saving Trust verification is also underway for several other products in QRL’s panel radiator range, with the results expected later this summer. For more information about QRL’s Compact panel radiator, or any of the products in the company’s extensive portfolio of market-leading panel, feature and LST radiators, please visit www.qrl-radiators.com or email enquiries@qrl-radiators.com

Energy Manager Magazine • July/August 2016

News

CHP can save NHS £26.4 million per year

he Securing Healthy Returns report, which analyses the financial value of key sustainability measures in the NHS, states that combined heat and power (CHP) provides the biggest energy saving opportunity – amounting to £26.4 million per year. That’s enough to fund the salaries of more than 1,200 newly qualified registered nurses. The report, published by the Sustainable Development Unit (SDU) for NHS England and Public Health England, analyses 35 proven measures that it says could achieve a total £400m of cost savings and reduce carbon emissions by 1 million tonnes every year by 2020. These interventions were selected because they are supported by robust data and evidence to enable analysis and scaling. Of the 18 energy saving measures covered in the report, CHP provides the highest annual potential cost savings

(£26.4m), followed by staff energy awareness and behaviour change (£21.5m); high efficiency lighting (£7.2m); and reducing temperature set points by 1 degree celsius (£6.2m). The SDU states that CHP also has the potential to cut carbon dioxide emissions by 3,750 tonnes per year, which equates to the environmental benefit of removing 1,250 cars from the road or the carbon dioxide that would be offset by a 3,550 acres of forest (more than three times the size of Sherwood Forest). Many NHS Trusts are already achieving significant cost and carbon savings by utilising CHP, which is highly efficient because it captures the heat wasted in conventional power generation and uses it on-site for heating and cooling. One of the early adopters was the Heart of England NHS Foundation Trust, which partnered with CHP specialist ENER-G to introduce the technology to its Birmingham Heartlands Hospital and Solihull Hospital. The trust’s transition to low carbon heat and power, together with the wider refurbishment of its electricity, heating and cooling infrastructure, is achieving significant energy and operational cost savings - guaranteed by ENER-G, which funded the capital programme over a 15-year contract period East Cheshire NHS Trust is also

demonstrating the cost and carbon saving potential of CHP, which is at the heart of a recent upgrade of its energy infrastructure across two hospitals. Utilising the the Carbon and Energy Fund framework, the Trust has partnered with ENER-G to deliver CHP and associated energy efficiency improvements, which will generate guaranteed cost savings of £2.5 million over 15 years. Chris Marsland, Technical Director for ENER-G Cogen International, said: “Due to the 24/7 heat demand of acute hospitals, CHP can operate at efficiencies in excess of 85% - more than double that of other coal and gas fired generation sources the Department of Energy and Climate Change’s half-hourly modelling shows that it displaces. As such, the cost and carbon savings really stack up and more hospitals should specify CHP to provide assured cost and carbon savings long into the next decade and beyond.” The SDU has released an online tool in tandem with the report to assist trust’s in implementing sustainability improvements. Since 2007, SDU has supported NHS organisations to save in excess of £190m each year on energy, waste, water and fuel fuel. Further information: www.energ-group.com

Opinion

The Two Sides of Solar

he solar industry is undergoing a significant period of change. Last week’s Brexit vote is suspected to have serious consequences to the UK’s renewable energy sector – changing everything from national renewables targets to the import of solar modules. Similarly, earlier this year, the government’s subsidy cuts directly impacted the industry’s record breaking growth. The Solar Trade Association (STA) is still collecting statistics on job loses, and the majority of solar companies are evaluating their business models to understand what’s next. However, it’s not all doom and gloom. Recently Solar Power Europe has published its Global Market Outlook, which showed the EU solar market grew by 15 per cent from 2015 to 2016. As an industry we’ve also achieved some record breaking firsts in the last few months. For example, for the first time, the sun provided more UK electricity (via photovoltaic panels) than coal-fired plants over a full 24-hour period on the 9th of April. This was equal to just under 30 gigawatt hours – or 4 per cent of

national demand – being met by solar. Continuing to drive solar and renewables initiatives across the commercial and private sectors is a no brainer. It’s taking place at an amazing rate around the world, particularly in developingcountries like India and Argentina. But manufacturers still have a huge responsibility to increase the uptake of solar through cost effective, efficient design, and most importantly, continued innovation, even under the current intense financial strains. So where is the next innovation? It’s behind you. No really. Able to deliver robustness and efficiency, whilst keeping cost consistent and increasing performance, it’s BiFacial technology. BiFacial technology uniquely utilises both sides of the panel to absorb more light and ultimately generate more electricity. Yes, it’s a double-sided solar panel that maximises the sun’s energy. When looking at panel design, the majority solar panels are flat, with photovoltaic cells on one side. Which makes sense for rooftops installations and the like. But does it? Research has found that by raising the panel we can make use of our

By Bob Mills, Senior Manager at LG Solar

reflective surfaces for better energy yields. And you’d be surprised at what counts as a reflective surface; grass, tiles, paint, snow even sand can bounce sunlight back to the module for increased efficiency. The design utilizes the whole panel, back and front to get the most out of conditions. Over the last few years, demands on the solar market have never been higher. Installers are expecting the same level of output, whilst grants are taken away and budgets are subsequently slashed. The only way a true solar and renewable revolution can be delivered, is through constant progression and innovation. However, as manufacturers continue to innovate with new ideas, they cannot forget about the value of durability and consistent performance. The industry, and in particular the manufacturers, have a responsibility to tap into every single opportunity, for the huge potential of solar to be fulfilled.

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Sponsored ByManager Magazine • July/August 2016 Energy 14

Opinion

What’s the “Value” in “Value Engineering”?

hose of you who work in the public sector will have come across the term “Value Engineering” and those in the private sector will have experienced the same phenomenon. It actually might have three meanings 1.

2. 3.

I know this is what the specification costs but we haven’t got enough money, can you do it cheaper?” “We’ve got the contract, now how do we make a profit?” We’re losing money on this project, what can we get away with cutting out?

In all cases the concept is similar; take off the frills and reduce the contract to its essential components, thereby reducing the total cost of the project. Now I’ve little problem in taking off the “nice to haves” (it could easily be a better project that way) but too often the “frills” removed are the energy management elements and needed. I keep quoting that “any energy using equipment will normally use 25-30 times its capital cost in energy over its lifetime” (anyone know where that comes from? It feels true but I’ve forgotten the source and quick calculations seem to concur) and pointing out that therefore even a small saving in energy use (or increase in energy efficiency if you want to look at it that way) can justify a significant increase in capital cost over the lifetime of the equipment. So why do I keep seeing examples where cost cutting has made the operating cost of the plant much higher or even made the plant impractical to use? A classic example is a swimming pool/leisure centre I dealt with in the Midlands. Going well over budget it was

value engineered to reduce capital cost and the energy management changes resulted in a design EPC of B becoming an operational DEC of E - definitely a warning sign. So what had they done? The first “saving” was the removal of the pool cover from the specification. Now anyone with experience of swimming pools knows that a pool cover reduces the overnight evaporative losses massively and generally has a payback measured in months (additionally they reduce the humidity in the pool hall overnight and thereby decrease building fabric deterioration) -so its omission was probably not a good idea. The second saving came in the pool lighting. The original specification called for High Pressure SONs (highly efficient lights - see “Is there an LED fallacy” - Energy Manager magazine - April 2016 Issue) but these were replaced with less energy efficient but brighter (meaning less light fittings were needed) metal halides. The trouble is, apart from the increase in energy consumption, metal halides exhibit one more failing. If you splash cold water onto them when they are operating they tend to shatter spraying broken glass around. This was in a swimming pool - lots of splashing and bare feet all around. The practical impact of that was significant - whenever a bulb blew part (at least) of the “wet area” would need to be cordoned off until everyone was sure all the glass had been collected. The third problem (and the last I became aware of; I seriously suspect there may have been more “savings” that I didn’t notice) took a while to notice. I asked for the Half-Hourly electricity meter data so I could do some profiling and by mistake I was sent both the consumption and the power factor data. For those who don’t know Power Factor relates to an element of the supplied

electricity which isn’t measured directly by the meter but which actually increases the cost to the generator who when a site has a power factor below about 0.95 (it varies a bit between distribution companies) impose penalty charges on to the consumer. Devices like computers, Fluorescent lights and electric motors often have bad power factors. Now at the leisure centre during the day the Power Factor was 1.0 (ideal) but overnight it suddenly dropped to 0.88 (which would, had the electricity supplier noticed, have caused severe penalties to be imposed). Strange I thought, why when the load drops (and it dropped a lot) would the Power Factor suddenly become so bad? Another tour of the plantrooms revealed the answer. There in full view were the main daytime pumps, each fitted with an inverter which corrected their power factor and made them more efficient (that they also had variable speed ability which wasn’t being utilised was another unfortunate “saving”). Hidden behind them were another set of much smaller pumps intended for use overnight (when presumably the pool cover would have reduced losses) and guess what? No inverter drives! A saving had been made by omitting them on the basis that the overnight pumps would use much less energy than their larger daytime brethren. Of course that would have meant that over their lifetime (which would be longer than the main pumps as they ran less hours) they would use much more energy. However much more telling was the fact that had the supply company noticed, the penalty charge would have wiped out the savings IN ONE INVOICE! The conclusion from this is that before any capital saving is considered the long term implications and cost should be fully examined – and perhaps the end user’s energy manager should be consulted...

Energy Manager Magazine • July/august 2016

Opinion

Energy prices will rise – but not necessarily because of Brexit 8 factors driving energy prices in the UK

nergy prices will rise by as much as 30% by 2020 driven by a multitude of factors, most of which, but not all, are unconnected to the UK’s decision to leave the EU. Nick Proctor, managing director of amber energy, explains what these influences are and warns business owners not to be fooled by those that may blame Brexit for political gain. Note: In true Euro 2016 style, we have attempted to determine each dynamic by using a football-esq scoring system: a draw means the impact is neutral while lower prices will sometimes win out over price hikes or vice versa.

Even if this were the case, however, the impact of any economic downturn in the UK would make little difference to the world oil markets. As Goldman Sachs explains: “If we assume a 2% drop in UK GDP in response to the exit vote, which is on the high end of our economists’ estimates, then UK oil demand would likely be reduced by 1% or 16,000 barrels per day, which is a 0.016 % hit to global demand.” Verdict: In other words, the impact would be minimal but would marginally favour a potential decrease in energy prices.

Pan-European energy infrastructure Lower prices 1-1 Price hikes

True to its EU commitments, the UK produces around 50% of its electricity from gas now. Despite our historic relationship with coal, just 6% of our energy production comes from coal now. The majority this supply (54%) comes from Europe and another 15% from outside Europe. As the value of sterling has plummeted post the Brexit vote, the cost of importing this gas has increased. Verdict: Unless the value of the pound recovers, the cost of gas will increase.

For several years now, the European Commission has been investing heavily in creating a pan-European energy infrastructure, which would allow energy to flow freely across the EU with no technical or regulatory barriers. The idea is that this will facilitate a truly free market keeping prices competitive and allowing the area to fulfil its renewable energy potential. As things stand, it is unclear whether the UK will opt to stay within Europe’s internal energy market. This will likely form part of negotiations around the terms of an exit. However, given that the project is more about having the right infrastructure in place it is unclear that this would lower energy bills anyway. As a result, it is impossible to say what bearing this would have on energy prices going forward. Verdict: Given the uncertainty and the fact this is more an infrastructure project for now, its effect on energy prices has to be regarded as neutral at this stage.

The influence of the global economic outlook Lower prices 1-0 Price hikes It is tough to forecast how the UK leaving the EU might influence the global economic outlook but the consensus seems to be that there could be a negative reaction and a drop in UK GDP.

The cost of gas Lower prices 1-2 Price hikes

The future of Hinkley Point Lower prices 2-1 Price hikes The future of the much delayed Hinkley Point C nuclear power station which would construct a 3,200 MWe nuclear power station in Somerset, potentially lowering energy prices long term, has naturally been questions since the Brexit vote. On balance this is a close call that would probably have to go to penalties. Essentially the chairman at EDF has said Hinkley Point will go ahead despite the EU leave vote. We should indeed expect investors to consider investment in the UK on its own merits; if there is a good deal to be done global firms will likely take them history tells us. However, the project could do without further delays and the uncertainty created by the Brexit vote means it is a tough one to call. Verdict: The UK needs Hinkley Point to go ahead and it seems likely but it could be further delayed.

Energy Manager Magazine • July/August 2016

(Small) Great Britain’s bargaining potential Lower prices 2-2 Price hikes As the fifth largest economy in the world, it is hard to conceive that just because we are no longer in the EU we won’t be capable of arranging competitive deals with non EU countries. However, the argument stands that European countries, whether happy to invest in the UK infrastructure or not, may impose higher energy prices to the UK. It all depends on the outcome of some very complex wider negotiations to come. Verdict: It depends on the outcome of a negotiation with too many moving parts to call it.

Continued funding for energy infrastructure Lower prices 3-2 Price hikes It goes without saying that the UK has always gone further when it comes to tackling climate change than has often been required. It has often been the first to commit to climate change action and has led the way to make commitments legally binding. Much of the EU funding for energy infrastructure we may lose as a result of Brexit may be offset by direct membership savings. But the reality is that we’ve already made 20-year commitments to our energy infrastructure and this will be unlikely to be reversed. Any UK government taking over in the turmoil could, of course, unhinge some of the investment but with a growing emphasis being placed on self-sufficiency (as we will look to move off the “euro-grid”) it would seem that further investment may be required and not less. Verdict: As we cut ties with our neighbours, governments would have to invest in anything that makes the UK more self-sufficient, potentially lowering prices.

Scottish Independence Lower prices Down 3-3 Price hikes With import costs up and the possibility

Opinion of trade sanctions, the attraction to utilize UK energy resources goes up. With our major stock in North Sea oil, Scottish Independence would throw a spanner in the works. A revised UK, without our Scottish neighbours, could mean higher prices in the UK. That said, the decision on Scotland requires more political support before it will play into trading speculation. Verdict: While the Brexit verdict certainly opens the door to another referendum on Scottish independence, there is too much yet to play out to factor this into pricing just yet.

The underlying economics are for bearish movements in energy prices whilst supply is comfortable, and worldwide economic data has suggested slower growth in the largest of our world economies. The current expectation is for an unsettled few months whilst traders show uncertainty to the multiple factors in play, and knee-jerk trading takes place. Verdict: We would edge on the side of the market stabilizing but prices reducing slightly as global demand slows down.

And finally… How are energy prices trading?

This is where energy costs can be both in and out of a business’s direct control. To pay for the infrastructure changes the UK has committed to carbon taxation, which is set to increase by 250% from current levels by 2020. Such an increase will push up the bill by 30% by 2019/2020 from current levels. This is out of any business’s control and, all other factors aside, represents the single largest guarantee of a larger energy bill in 2020. Even with the lowest historic wholesale prices we’ve seen this year some businesses have struggled to get into savings territory due to the rise in non-wholesale energy costs.

For the average energy bill, around 50% of it can be accounted for by wholesale energy costs and the other 50% from the costs of delivery and carbon taxation. Let’s examine each of these cost factors separately.

Wholesale/commodity energy costs Wholesale energy costs have only really reacted to a weakening pound thus far. Other deeper impacts from Brexit are yet to be seen, and as the dust settles we’d expect to see the market stabilise.

Non wholesale energy costs

The situation is only within your control if you can take measures to reduce your energy consumption. And returns on investment are certainly inflated further out. So when it comes to Brexit and the impact on the energy bill, perhaps we can take a leaf out of the Leave voting book and look to start our journey off the grid. Battery storage is rapidly developing as a technology for storage, renewables are becoming progressively cheaper, and community energy suppliers are gaining support. From a trading point of view, there’s no clear direction of travel from Brexit and liquidity will be an issue. If you have to arrange a supply contract in the interim, short term contracts make sense. In the longer term don’t forget to consider the impact of rising carbon costs already embedded into UK charging methodology. Brexit is not to blame. For more information on amber energy email info@amberenergy.net

Opinion

BREXIT: The end of an era - Will the UK be left in the dark?

he referendum has been decided and the result is in. The UK is to leave the European Union after 43 years as members. This is the end of an era. The United Kingdom joined the European Economic Community (as it then was) on 1 January 1973 with Denmark and Ireland having been vetoed on two previous occasions by the French Government. Its membership was controversial and the Labour party initially sought renegotiation of membership after which the British public participated in a referendum on whether the United Kingdom should remain part of the Community. This was duly held in 1975 with a 67% vote in favour of continued membership. Whilst the British public has spoken and the decision to leave the EU has been made, the path is far from straight forward. The referendum is merely the start of a two year process of negotiations and decisions. The UK has now to decide if it will join the European Economic Area (EEA), thereby remaining as associate members of the European Union or cut all ties with Europe – as far as it is possible to do so in a globalised world economy. If the UK decides to remain part of the European Economic Area (EEA), the huge progress that has been made to date in improving the UK environment could be lost in the absence of external pressure and auditing that membership of the union has brought. A total withdrawal is likely to bring a much wider erosion of environmental policy, which could be the intention the current Government and one which risks significant economic damage to the UK. It is possible however, for members of the EEA to follow EU environmental policies. Both Norway and Iceland, as non-EU members of the EEA, follow EU climate policy closely and participate in large parts without exerting significant influence on its development and direction. Norway participates in the EU ETS via its parallel trading system. Initially, it was only able to do so through a one-way voluntary acceptance of EU ETS allowances to meet its own trading system’s obligations, but joined fully in 2008, once the European Commission had accepted its proposals for a cap and allocation of allowances. Its participation in the ETS continues to allow it the flexibility of a wider carbon market;

By Melanie Kendall-Reid, Compliance Director, CARBON2018

but it has no influence on the carbon price applied or the level of ambition set for the ETS. Iceland has less need of an emissions trading mechanism, since its domestic energy supply is 100% renewable; but has been part of the EU’s wider emissions target since the EU and Iceland jointly ratified the Kyoto Protocol. Its contribution to the Paris Agreement is aligned with the EU’s, although it had no voice in European Council discussions on the targets, and (like Norway with the ETS), its only choice in implementation is either to accept EU rules, or to comply separately without the flexibility allowed to member states. This would be the position of the UK if it now decides to become an EEA member outside the EU. Also, with regard to trading with its European counterparts, the UK will be subject to a wide range of EU laws it will now have little influence over their content. European environmental policies provide business opportunities to UK firms to become market leaders in the development of new technologies. The Confederation of British Industry (CBI) suggested that green business accounted for 8% of GDP, a third of UK growth in 2011-2012 and could add a further £20 billion to the UK economy. The EU is our largest trading partner offering access to a larger marketplace and the opportunity to trade with other member states under favourable terms and conditions. Non-EU Members of the EEA enjoy preferential access to the Single European Market but do not participate in Justice and Home Affairs, Common Foreign and Security Policy, the Common Agricultural Policy, and the Common Fisheries Policy. In order to gain preferential access to the EU market they do have to abide by the acquis communautaire – the rules and regulations governing the operation of the single market, including many environmental rules. A total withdrawal with no EEA membership would lead to significant risk both rising energy costs and security of supply as the UK has a heavy dependence on European interconnectors. Predictions are that by 2030 the UK will be importing circa 75% of its gas. Events in the past two years have shown how important it is to keep suppliers onside with what has happened in Eastern Europe with Russia

Energy Manager Magazine • July/August 2016

using its gas supplies through Gazprom as a tool of foreign policy. Before we joined the EU, Britain was seen as the dirty man of Europe In the period that the UK has been in the EU, the economy and environment has improved, albeit not entirely due to EU membership. For many years, Europe led the world in renewable energy investment but China has overtaken this. EU nations promoted clean energy at vastly inflated costs through imposed renewable energy targets, tariffs and subsidies. When budgets reached breaking point in 2011, European renewable energy investment slumped by more than half and has yet to recover. Some environmental policies are as a result of UK initiatives, Driven by concerns on carbon price, the UK unilaterally enacted the carbon floor price which is contributing to the closure of coal-fired power stations. The UK has also singly decided to phase out coal-fired power entirely by 2025. In coming decades, the planet faces an unprecedented challenge in the form of climate change and the only way to address it is through technological innovation and reduction of energy use. What is most worrying now the decision to Exit the EU has been made is that, in recent years, the UK government has shown a clear lack of commitment to driving down energy use, preferring to focus its attention on security of supply at any cost as demonstrated by the capacity market auctions. The government is now effectively free to amend or repeal the acts adopted to give effect to the EU laws that has driven the implementation of energy efficiency measures. Without the levels of environmental protection afforded by EU membership, the weakening of UK environmental policy appears inevitable under the current Government. The longer term commitment is more positive, in that, on 22nd April 2016 the UK signed the COP21 agreement, committing to 1.55% reduction in carbon emissions. The UK is expected to deliver on this whether it is an EU member state or not. Another particular concern that will be in the forefront on campaigners’ minds today is that fracking will become widespread despite the number of environmental and safety concerns. The majority of the rules that regulate the use

Opinion of fracking are derived from European directives and are intended to make sure that fracking and other activities do not contaminate water, pollute the air or use unsafe chemicals. The government has suggested in the past that fracking legislation is an unnecessary burden. The Government’s clear and unmoving support for fracking is a firm indicator that this will be the case. Whilst EU membership has its drawbacks, from an environmental perspective, it offered the UK protection from the Government’s varying its commitment to the environment and

climate change based on other needs including that of the Treasury. That said, the exit is a long process – the UK is required to give two years notice and during that time there will be much negotiation. Despite the environmental concerns arising from the referendum result, there is widespread acknowledgement from a large number of global organisations that the implementation of energy saving measures and a reduction in energy use is essential to future success. From a corporate responsibility perspective, many companies insist that measures that improve the efficiency of buildings from which they

operate go beyond the legislative requirements. Whilst the UK population who supported the decision to leave the EU today may have given the current Government the tools to overturn some of the progress made through EU environmental policies, the benefits of energy efficiency are recognised beyond the legislative requirement and this will continue to drive change regardless of any backward step that the impending exit from the EU will bring. www.carbon2018.com

Changing the conversation: bringing energy savings into the Boardroom

f you strip away the complexities of the energy market then, just like many other business transactions, prices can be summed up quite succinctly: consumption x unit price = cost. If you want to become more efficient you either negotiate a cheaper price or you consume fewer units. Sure, if you’re a glass maker or a food manufacturer where heat or power is either number one or two on your list of costs, then of course you’ll have looked at your processes, your usage, and taken actions on how to become more efficient – some effectively and perhaps some not so. For many businesses energy may not be a large cost or high on your list of priorities right now but it will climb that list year on year. Improving your purchasing strategy and hitting the market right might save some percentage points off your unit costs (but don’t forget the commodity costs are only around half the total bill) – so the alternative is to use less by investing in energy efficiency solutions. One of the frustrations I have is what happens after I speak to the person responsible for energy or energy efficiency –when sometimes it can seem like they’ve hit a brick wall in getting the green light for investing in such solutions. This is not all the time I must stress! Sometimes I engage straight away with the FD of a FTSE 250 company and they buy into the concept and the process can move smoothly. Sometimes I engage with a Facilities Manager in a medium sized business who takes it to the board; sometimes they say yes and sometimes they ignore the request. The other potential issue is that sometimes the message gets lost in translation between the energy manager and the financial decision-maker. Part of the problem is they speak different languages

– CO2 vs ROI for example – so we must learn to speak the language of the other in order to make a compelling business case. What we are talking about ultimately is competitiveness, future growth. Most companies think of energy efficiency only in terms of cost savings. But it can offer more: in the form of new business opportunities and increased competitiveness, business resilience and investor attractiveness. So what does this new conversation look like? • Address concern around upfront cost/appetite for long-term payback periods: Many boardrooms have heard all this before; they’ve thrown some money at the problem but it’s not gone away. There has been no proof of success, no verification or measurement. • Challenge uncertainty around eventual return on investment: Involve the finance team early and outline the funding options – it’s always satisfying meeting a sceptic and then offering to not only fund the project but to share the savings until the investment has paid off. Or tell them we can take it off-balance or we’ll underwrite the projected savings. This approach not only gets FD buy-in but the board sees a no brainer. • Overcome lack of resources, from relative prioritisation (to explore & implement): Make recognition of the strategic nature of energy efficiency part of the culture – this is about board level leadership not short-term tactical wins. • Detail how the investment contributes to the strategic aims of your organisation- how does it add value? How does it reduce risks? How does it reduce costs? From my perspective it is assisting with people’s

knowledge. I want to be the person who my customers go to for answers to their energy questions. And if I don’t know I have a massive business behind me where someone will definitely know the answer. • Identify and track the benefits as you go – financial savings or reduced regulatory risks can be more straightforward but are no more important than value benefits which are harder to measure – customer opinion, new business wins, staff pride. And it can be done. Look at M&S and its ‘Plan A’ commitments. Plan A has not only reduced costs, it has improved brand perception, customer loyalty and staff pride – it doesn’t get much more strategic than that. Coincidentally, E.ON’s Matrix business has so far helped deliver 36% energy savings across 600 stores as the energy efficiency partner of M&S going back eight years. So does the Boardroom take energy savings seriously? I think they would if they were given the opportunity to look at it correctly: to understand the risk it has on their business, the real potential for improving the bottom line, that performance can be measured and that a lack of funding might not stop a project from happening. And finally that their wider team, the guys who have to deliver the projects, are supported by a strong, reputable business and that the energy savings are a real and tangible benefit to the business for the long term. Martyn Sheridan is a Key Account Manager for Energy Solutions at E.ON. His role is to work with large and mid-sized businesses and identify key areas to reduce energy consumption, become more efficient and smart with their energy through to self-generation and tapping into capacity markets. By Martyn Sheridan, E.ON for Business

Energy Manager Magazine • July/august 2016

Cover Story

A Refreshing Approach to Water Management With the deregulation of water scheduled for April 2017, non-domestic users in England will for the first time be able to choose their own water supplier. This change will give businesses the opportunity to have their water usage and sewerage billed by a supplier of their choice. This deregulation of the water market will give businesses the ability to: •

• • • • • •

Consolidate billing from one supplier across multiple sites in different regions Achieve lower prices due to more competition Benefit from a wider choice of tariff Receive greater customer service Have a dedicated account manager AMR Metering, installation and profile data as part of the contract Online access to water billing data

STC are at the forefront of water invoice validation. For over 15 years we have been collecting and validating water invoices for our customers. This data will be invaluable when preparing for tenders with other water suppliers in the future and has given us an insight into the industry and billing options.

Consolidated Electronic Billing Water deregulation will enable businesses to consolidate their bills by opting for just one supplier. For customers with a multi-site portfolio, all accounts should be consolidated onto one electronic billing invoice with copies of paper invoices. This will reduce the administration of processing multiple invoices. The electronic billing file can then be imported and validated by STC to ensure you are only paying for what is used.

The validation process will be even more important when the switch from water tariffs to contracts begins in April 2017. Once in place, a fully cost coded accounts payable feeder file can then be supplied to your finance team to streamline this process. STC Energy provides access to all water cost and consumption data via our online web portal together with scanned copies of suppliers’ paper invoices. This enables our customers to view all their utilities data in one place without having to log into multiple suppliers’ websites.

Water Audits Carrying out a water audit on large water consumption and surface area sites will help to ensure that any issues are detected early on. By identifying any issues a report can then be created showing any incorrect and excessive charges. This report can result in savings and refunds once any issues have been addressed.

• • • •

Typical issues found include: Wastewater abatements: Non-return of water to the sewer Oversized water meters – higher standing charges Leak detection Incorrect Meter Size Charging

Water audits will also ensure that future charging structures are both accurate and concise for the consumer, and not the water company. In addition, accurate current water costs and consumption will provide long term savings. This will later ensure that all accounts are in order prior to the opening up of the market in April 2017.

Energy Manager Magazine • July/August 2016

The water audit process begins with an analysis of all the water invoices and charges that you currently receive from the water authority (water, waste water, surface water, fixed charges and Trade Effluent). At STC Energy, our water audit service goes above and beyond just invoice analysis, it will also follow up with a comprehensive site survey and report. From this you will be able to identify where there is potential for savings and refunds, as well as any priority areas for investigation.

Water AMR Meters & Profile Alerts By installing either an AMR meter or data logger onto your water supplies you would be able to monitor consumption in the same way as electricity or gas. Water meters are sometimes installed in inaccessible areas, making it difficult to arrange meter readings without proper health and safety training. Installing a data logger or AMR meter allows easy access to usage data that can be used by the supplier to avoid estimated billing. It can also be used by clients to analyse consumption via STC’s web portal. This will allow the setting of consumption targets that can be used to produce exception alerts to inform you of usage outside the usual consumption. Our profile alerts service will help to ensure that water is not wasted, especially during periods of closure. Any deviations found will trigger an email alert to a nominated site contact and/or it can be viewed on an online

Cover Story

Find us at EMEX 2016, stand B36 map-based site exception dashboard. These alerts can also be directed to and monitored by our dedicated team who will then inform the client of this change. The report will automatically highlight which sites are over target, allowing for fast corrective action. Profile alerts are very successful in identifying energy wastage directly and in suggesting behavioural changes that can be implemented to reduce consumption. Profile alerts work for both small and large multi-sites.

Your water and our profile alerts in a nutshell Are you wasting water? Water usage targets set within our profile alert system

will help to ensure that water is not wasted, especially during times where minimal water needs to be used or during periods of closure. The alerts are triggered when the water usage goes over your set target. Recommendations are also made if the consumption of water used goes above the set targets consistently. The profile alerts service is an excellent way to gain value from water profile data to achieve savings at a low cost.

Since 2005, STC Energy have saved its clients over ÂŁ6m in water billing queries. Want to know more about our profile alerts system or our water audits/validation services? Simply call Alan Little on 0208 466 2915 or visit us at www.stcenergy.com

Energy Manager Magazine â&#x20AC;˘ July/august 2016

Case Sudy

PARKSERVE TARGETS ENERGY USE TO REDUCE COSTS AND INCREASE SUSTAINABILITY

iscovery Park in Kent and Colworth Park in Bedfordshire are two of the UK’s most successful business parks, but their size and complexity as multi-business campuses with a focus on science, comes at a price. And it is the job of Parkserve’s Energy Manager Paul Fullbrook to deliver a strategy that will not only identify where savings can be made, but also to identify the part staff and individual businesses can play. It is already having an impact with an estimated 1,500 tonnes reduction in CO2 emissions since October 2015 with all steps being taken to ensure the carbon footprint across both sites is kept in check. And there’s more to come including a new £140m biomass facility at the Discovery Park site, which will generate the entire power and heat requirement for the site once built. Work on the plant gets underway this summer and is expected to take two years to complete. “There are challenges in keeping energy bills in check,” said Paul, “Some of that is legacy issues related to the task of updating systems that were originally planned for a single company use, not the multi-business hub that both sites have become. “Both sites also remain significant hubs for science and that means ensuring bespoke systems for controlling air, ventilation and other requirements to meet

the needs of 21st century lab research. “The total amount of electricity consumed each year at both Colworth Park and Discovery Park is equivalent to what would be needed to power more than 24,000 homes with a total energy spend for the year to April - when gas and water are added – coming to around £7.75 million. “My role, since I joined last autumn, has been about identifying where savings could be made. Part of that has been looking afresh at existing policies and procedures and asking – why do we do it this way? It’s an approach which has already led to tens of thousands of pounds in savings. “In some cases that has been as simple as switching off pumps, whose activity no longer serves a purpose. Obviously, an investigation has been needed first, but the question ‘Why is something switched on?’ has become like a mantra to me. “From improving automation to fixing fire main leaks to improving sub-metering so that individual buildings or parts of buildings have bespoke energy settings to meet their needs, action is being taken now that will ultimately reap benefits both to site landlords and to tenants.” “That work will escalate further in the coming months as new monitoring software comes on stream that will allow precise analysis of usage across both Discovery Park and Colworth Park. “By October 2016 we believe total

Energy Manager Magazine • July/August 2016

savings will be closer to £250,000 thanks to the steps taken over the past year in addition to boiler efficiencies, switching off redundant motors, and implementation of better BMS control strategies. Paul Bax, Operations Director, Parkserve, added: “In addition to all the demand side energy strategies and savings that have been made, Parkserve is working alongside Discovery Park in optimising the energy generation side at that site. “The new £140m biomass facility will use completely renewable fuels in the form of coppice in order to generate the entire power and heat requirement for Discovery Park. The project is likely to take two years to complete but will see the whole of Discovery Park served from a renewable energy source Jeff Hind, Managing Director, Parkserve, added: “Parkserve not only aspires to minimal environmental impact as an organisation, but are committed to facilitating the efficient use of energy and water; to directly assist our clients and their tenants reducing costs and their environmental impact. “Our ambition is to get both sites more energy efficient, energy conscious and energy wise. The steps we’re taking now will go a long way to getting us there.”

Case Study

Important Technology Breakthrough Announced by Partnership Between The National Archives and The IMC Group

Knowledge Transfer Partnership Project for ‘Ensight’ software receives rarely awarded ‘Outstanding’ grade by Innovate UK

project between the IMC Group and The National Archives has developed IMC’s existing range of Hanwell environmental monitoring, collection and reporting tools already commonly used in heritage environments worldwide, to incorporate data assessment methodologies based on significant conservation science developments over the last few years. The new “Ensight” software marks a distinct departure from the current position of evaluating compliance with a limited range of environmental conditions, to one that evaluates the collection care standard through a series of user-defined criteria and scientific research. “The ongoing development of national and international standards for managing environmental conditions for cultural heritage collections and in particular the publication of the Publically Available Specification PAS198 by the British Standards, and the revision of guidelines, by the National Museums Directors Conference (NMDC) and the International Institute for Conservation (IIC), provided us

with an opportunity to develop a tool that can now guide users with varied levels of expertise to achieve government sustainability targets and high preservation standards,” said The IMC Group Engineering Director Dr Martin Hancock PhD. As collection and interpretation of data in heritage environments becomes more complex, heritage professionals are in need

of software platforms that incorporate current conservation knowledge and current best practice. The new specialised software now enables users to analyse, assess and report environmental monitoring data with simple click functions. Users can also design custom-made assessment reports from the new platform. The National Archive’s project team is behind the methodology that has informed the development and operation of The National Archive’s current environmental control system with significant dividends both in sustainability targets and preservation. As a result The National Archives has exceeded government sustainability targets for reduction in CO2 emissions, improved the overall Display Energy Certificate from G to C and made energy savings of £175,000 within the first year of implementation. Project supervisor Kostas Ntanos, The National Archives’ Head of Conservation Research and Development said: “The 21st-century role of the National Archives is to collect and secure the future of the record, both digital and physical, to preserve it for generations to come, and to make it as accessible as possible; we do this by devising technological solutions to ensure the long-term survival of public records and working to widen access to our collection”. “Our Knowledge Transfer Partnership project with the IMC Group has been graded as ‘outstanding’ - the highest possible grade which reflects extremely well on the work led by Anjali Shashidharan as the project’s Associate and software developer,” added Mr Ntanos.

Energy Manager Magazine • July/august 2016

Boilers & Burners

Improving energy efficiency in commercial buildings Steve O’Neill, Technical Specifications Engineer at EOGB Energy Products Ltd, explains how new heating technology can have a significant impact on energy efficiency…

eating and hot water possibly accounts for the largest annual consumption of energy in domestic and non-domestic buildings in the UK. Providing space heating and hot water also constitutes to almost half of the CO2 emissions from non-domestic buildings, resulting in the production of approximately 37 Mt of CO2 per annum (CIBSE knowledge series KS14). It is estimated that the heating and hot water requirements for a typical 4000m² naturally ventilated building can result in the production of approximately 115 tonnes of CO2 being emitted into the atmosphere per annum.

Steps for improvement The first step in achieving an energy efficient heating system is to minimise demand for heat. This can be achieved by improving the insulation value of the structure, which will inevitably reduce the required heating load, thus allowing a reduction in the size of the plant required to heat the space. Further improvements can be made by introducing a well designed and correctly installed heating and ventilation system into the building, which will ensure the correct temperature rises to match the design criteria. Guidance can be sought on this subject from numerous sources such as building regulations approved documents L1 and L2, which provide guidance upon the minimum requirements of the regulations. However, consideration should always be paid to the burners and boilers used within a heating system, as these have the potential to significantly drive down energy usage.

Burners and boilers Significant focus has been placed upon the emission of CO2 and other harmful gases such as nitric oxide (NO) and nitrogen dioxide (NO2) into the atmosphere. The aforementioned gases are the result of the combustion process utilised to heat

Baltur TBG 45PV burner

buildings and the hot water which is needed on a daily basis. The quantity of these, and other gases, is dictated by how complete the combustion process is and the method in which the fuel has been burned off in the first instance. It can therefore be assumed that the more efficient the combustion process the fewer emissions should be introduced into the atmosphere.

Burner matching The first step in ensuring optimum efficiency is the confirmation that the burner is correctly matched up to the boiler/heat exchanger. This will ensure that the burner can provide an optimum turn down ratio, which will keep burner cycling to a minimum and will also ensure that there are no excessive heat losses in the stack or undesired condensing if the burner is too small.

Inverter drive The airflow of a typical blown burner is usually regulated by the graduation of an air shutter or damper via servomotors and cams. The fact that the fan is running at a constant speed inevitably incurs higher load

Energy Manager Magazine • July/August 2016

losses, which in turn dissipates some of the electrical power generated by the fan motor. The incorporation of an inverter drive can vary the RPM of the fan in correlation with the specific burner load, thus delivering energy savings and reduced noise levels. The below table indicates the energy savings on a Baltur 450kW TBG 45PV by fitting an inverter drive to the fan motor.

O2 Trim The level of combustion efficiency can be predicted by comparing the quantity of O2 in the stack gases to that of theoretical or stoichiometric combustion conditions (assuming complete combustion). The lower the amount of O2 (or excess air), the higher the combustion efficiency. Under normal operating conditions it is typical that the combustion engineer will set up the burner with a degree of excess air to ensure that it will not become starved of combustion air and begin to cause incomplete combustion. Several factors can affect the combustion process over time such as: • Barometric conditions - atmospheric temperature can affect the density of air and have a bearing upon the fuel/air mixture. Altitude can also alter

Boilers & Burners the quantity of oxygen within the combustion air • Calorific value - the calorific value of a fuel can change from time to time and as with the barometric conditions have a bearing on the fuel /air ratio • Mechanical hysteresis - depending upon the type of burner in question it can be possible for the original burner settings to drift away from their original settings due to continuous operation It can be observed why it is necessary to introduce more air than that which is required for complete combustion but this inevitably incurs a detrimental effect on combustion efficiency. As it is not cost effective to have constant monitoring from an engineer, it is now possible to incorporate a constant monitoring system into the burner control. O2 trim systems gather the amount of oxygen present in the stack via a digital or analogue feedback system and then position the burner air damper to the appropriate position to maintain a

consistent quantity of O2 throughout the full operating range of the burner. A good oxygen trim system will ‘learn’ during commissioning what the effect is to the burner for every single trim that it performs. This allows for full time oxygen trim operation without the necessity of a full time plant operator, irrespective of how the plant conditions change.

CO trim Although O2 trim technology can make significant savings if applied correctly, it can be further improved with the introduction of CO trim. It should be noted that the sensors employed in this application do not in fact detect CO. It is more reactive in detecting the other elements produced when incomplete combustion is present and is therefore necessary to refer to the sensor as the COe (carbon monoxide equivalent) sensor. The COe sensor is identical to the O2 sensor apart from the fact that the electro-chemical and catalytic properties

in the signal materials are different, thus enabling combustible components such as CO and Hydrogen (H2) to be detected. In the event of incomplete combustion, and in the presence of unburned hydrocarbons, a non-Nernst voltage UCOe also forms on the COe sensor and the characteristics for both sensors alter and relay a signal to the control module the adjust the burner as necessary. This process is identical if an excess of O2 in the atmosphere exists. Close to the emission edge, the sensor signal for the COe electrode UCO/H2 increases at a disproportionate rate due to the additional non-Nernst COe signal and searches for the optimum working point of the combustion, adjusting this and optimising combustion further. This procedure is repeated cyclically so that the optimum working points are always maintained even for unstable barometric conditions, mechanical hysteresis or fluctuating calorific values.

Going modular

dentifying simple, effective efficiency improvements is top of every energy manager’s list. Fortunately, when it comes to heating, fully-modulating condensing boilers are an acknowledged ‘quick win’ to increased thermal efficiency. James Porter, Sales Director at Remeha, looks at how to achieve maximum benefits from the humble boiler Most organisations have been working hard to reduce energy usage in recent years, lowering energy costs and carbon emissions. Yet according to the Carbon Trust, many still stand to make year-on-year savings of 20-30% simply by implementing energy efficiency measures. With heating responsible for around half the energy use in a building, it offers huge scope for savings. And topping the list of ‘quick wins’ is the humble condensing boiler. Condensing boilers offer the greatest efficiencies of all boiler technologies – capable of achieving an outstanding 99% Gross Calorific Value. But as with all technologies, good design is key to achieving the maximum savings. The first consideration is the sizing. It’s important to carry out an accurate assessment of the building’s current load requirement as this may have changed over time. And as the load will vary throughout the year, this means calculating both the minimum and peak requirements of the

building. The alternative is a system that provides too much heat and unnecessarily high bills. In order to provide optimum comfort for building’s occupants at all times, the system needs to be able to adapt efficiently to the fluctuating load. To maximise results, look for fully-modulating condensing boilers with internal controls that enable them to match the system demand. Next consider the design. Sharing the load between multiple fully-modulating boilers in modular configuration will allow the boilers to operate more efficiently and match the heat demand more closely, reducing waste. A simple, effective solution is to install fully-modulating wall-hung boilers on preconfigured cascade or rig units. Connection to the existing system is quick and easy, reducing on-site labour and downtime to a minimum. Their small footprint also offers greater design flexibility to overcome any space constraints in the plant room. And now, with the arrival of compact wall-hung boilers offering outputs as high as 160 kW, there is added opportunity to move large outputs away from the floor. The third and crucial stage is to add the appropriate control to ensure that the modulating nature of condensing boilers is used to full effect. Smart controls such

as weather compensation and sequential controllers enable the boilers to operate more effectively, reliably and efficiently. The result? Lower operating bills and a reduced carbon footprint. The ‘hassle’ factor can deter many organisations from making efficiency improvements. Yet where heating is concerned, well sized, designed and controlled multiple condensing boilers can transform the energy performance of a building with zero disruption. It’s time to go modular. www.remeha.co.uk boilers@remeha.co.uk 0118 978 3434

Energy Manager Magazine • July/august 2016

Boilers & Burners

Energys boiler management controls boost Devon schools’ economy drive

rom low-consumption lighting infrastructures to more acutely optimised heating systems, schools and colleges of higher education throughout the UK are beginning to reap the benefits of technologies designed to boost operational efficiencies and reduce energy bills. A recent installation at two related schools in Plymouth, Devon – namely Hyde Park Juniors and Hyde Park Infants – is a case-in-point. Occupying a site dating back to the Victoria era, the schools have lately been engaged in an economy drive that has also included the specification of solar panels and a change in energy service provider. During 2015 the schools’ attention was drawn to the possible contribution to be made by Energys’ boiler optimising technology, which is able to improve the efficiency of a boiler without affecting the temperature of the building. As bursar Stella Copping recalls: “Carl Challinor from the Primary Association of Plymouth Headteachers recommended Energys’ Dynamic Burner Management Units (DBMUs) to our team, and it soon became evident that this technology could play a fundamental role in helping us to reduce our energy consumption. The general ease of installation was another factor that made us keen to investigate an installation of this kind.” Implementation became even more attractive when the schools were made aware of a leasing arrangement to fund the project, available through Utility Rentals Ltd. This scheme enables educational establishments, council premises and Government departments to enjoy the benefits of this technology without incurring significant upfront costs. “This scheme made it possible for us to

press ahead with a programme of work to bring Energys DBMUs to a total of four boilers on our site,” notes Ms Copping.

Minimum disruption Regarding the operating principles behind the DBMUs, Energys project and operations director Gavin Skipsey explains that they are “based on a technology that optimises the firing pattern of a boiler – thereby delivering gas/oil consumption savings by extending the cooling curve. It has also been shown to greatly reduce dry cycling as a consequence.”

Payback in 2.5 years In the case of the Hyde Park schools, it is estimates that the project’s supply and installation costs of £4400 will be recovered in approximately 2.5 years. An annual energy saving of 15% – equating to £1734 per year – is predicted, equating to a robust yearly CO2 reduction of 9.45 tonnes. “These forecasts are of course greatly encouraging as we continue to develop a programme that will reduce energy bills and carbon consumption across the board. This is very much an ongoing initiative for us, and one that is highly important to the future projection of the schools,” remarks Copping. But equally compelling in the pre-installation period was the assurance that Energys and Utility Rentals were able to provide about the non-invasive nature of the fit-out. The DBMUs can be installed in as little as half-an-hour, and indeed the work at the Hyde Park schoools was carried out during the course of a single half-day. “There was also the fact that the work could be undertaken while the boilers were live, so there was no need to take them

offline for a period,” notes Ms Copping. “The result was an installation that entailed no disruption in the short-term, but which promises to deliver substantial benefits for our schools over the long-run.”

‘Well worth investigating’ The fact that the energy saving forecasts resulting from the DBMUs are so significant is further magnified by the knowledge that the schools’ boilers are actually relatively contemporary in design. It therefore follows that on premises with older, legacy systems, the reductions in energy expenditure can be even more dramatic – frequently as high as 30%. “Our experiences with the introduction of this technology over the past six months have been hugely positive, and I would consider any school looking to minimise their heating expenditure to investigate the possibility of installing boiler optimisers,” concludes Stella Copping. “And whereas modifying or replacing some other systems can be time-consuming and disruptive to daily school life, this was about as easy an upgrade project as you could imagine! I would also highlight the high standard of support offered throughout the project.” Final word goes to Gavin Skipsey, who remarks that the experience of the two Plymouth schools is “by no means uncommon as education providers become more highly informed about the role of boiler optimisation as part of a broader commitment to reducing their energy bills and carbon footprints.” http://www.energysgroup.com/ technologies/boiler-controls http://www.hydeparkjuniorschool.co.uk

ABB introduces new drive for HVAC applications

he ABB HVAC drive, ACH580, is designed specifically for a wide range of HVAC applications. With harmonic mitigation, an intuitive operating panel and native BACnet (and Modbus) communications, the drive is suited for the uninterrupted performance required of mission-critical applications such as hospitals and data centres, while achieving the ambient comfort necessary for

maximum productivity in commercial buildings, such as offices and schools. The drive operates accurately with any type of HVAC motor, including induction, permanent magnet and synchronous reluctance (SynRM) motors. It can also be integrated with any major automation system, communicates in familiar HVAC languages, controls motors up to 250 kW and is plug-in-ready to install.

Energy Manager Magazine • July/August 2016

A streamlined HVAC-specific menu and control panel assistants allow quick and easy commissioning. Industry needs such as PID loop controllers and motor heating capabilities are built-in, standard features. The prominent capabilities of the ABB HVAC drive, ACH580, include: • Energy efficiency: The ACH580 has the highest efficiency class for a drive - IE2. It also provides superior

HVAC

Wireless Energy Management for 30% Energy Savings

uilding operators are under enormous financial pressure when it comes to running their properties. With fluctuations in occupancy and increasing energy costs, landlords are recognising the environmental and financial benefits of retrofitting their existing buildings to improve energy efficiency and make substantial savings. Today, self-powered wireless systems are found in all kinds of buildings in nearly all vertical markets and as they are easy to retrofit and require minimal maintenance, many building owners are looking at this as a way to significantly reduce energy consumption. One example of a retrofit property is the Aloha Surf Hotel in Hawaii. In January 2012, a self-powered key card-based energy management system was installed, which has achieved an impressive 45 percent saving in energy for lighting and 50 percent for the HVAC system. The combined KWh savings conservatively amount to an estimated $44,043 annually. The low installation cost meant that the system showed an ROI without rebate incentives of 15.2 months.

Burden of batteries Using wireless solutions that can be flexibly placed eliminates the need to install wiring and conduits and can be installed in about the same time it takes to clean a room. However, the system could comprise hundreds to thousands of these sensor devices all requiring power and communication capability. Battery-powered wireless devices can be costly and time consuming as batteries last for only a limited time and must be replaced regularly and disposed of properly.

Self-powered systems To solve these challenges, there are also self-powered wireless systems on the

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efficiency with all motor types. The ACH580 drive and IE4 SynRM motor package delivers the best performance in the most energy efficient manner available on the market today. Energy savings are calculated internally and can be sent back to the BMS via fieldbus. The drive also includes variable-speed internal fans, further saving energy. Simplicity: Simple out-of-the-box commissioning via the new superior keypad ensures simple set-up. All essential hardware needs are included such as IP55 and IP21 enclosures with the same footprint, reducing installation space. The drive

market, which are found in many different buildings today. An energy harvesting wireless module gathers the power it needs to operate from the surrounding environment, including motion, light or changes in temperature. This allows control systems based on sensors and switches to operate independent of an external power supply such as wires or batteries. The ambient energy obtained in this way is sufficient to measure data and to send a wireless signal as a command and control message.

The key to energy management Based on self-powered energy harvesting technology, an intelligent HVAC system can be realised by wirelessly interconnecting automated thermostats, window contacts, key cards, humidity sensors, occupancy sensors and CO2 sensors. These are just a few examples of the self-powered products in place, which regulate climate control automatically. At the heart of such a battery-less wireless in-room energy management solution could be the wireless key card. Upon entering the room, the guest initiates control of the lighting, HVAC system, and television by simply inserting the key card into the key card reader. The wireless signal is powered by the movement of placing the card into the reader. When guests leave and remove the card, all room lighting is turned off, the television is powered down and the HVAC system is set back into “eco saving” mode.

Aloha Surf Hotel rides on the energy efficiency wave

of their green initiative, the hotel installed self-powered key card switches in all 204 guestrooms. The team was able to complete about 15 rooms per day, which meant little to no disruption to daily hotel operations. The installed energy management solution utilises a key card switch to automatically control both the HVAC and the lighting in the guest’s room. When guests enter their rooms, they place their key card into the key card switch located inside the room, thereby activating the thermostat control unit, bringing it into “occupied” mode. When the guest leaves the room, the key card is removed from the key card switch and both the thermostat and the lights return to energy saving mode. Most rooms also have a battery-less, wireless balcony door sensor. When the balcony door is opened, a signal is sent to the in-room HVAC unit, which switches off, until the balcony door is closed.

Benefits for both Incorporating battery-less wireless energy management solutions into buildings can be accomplished without the costs and burden of expensive, disruptive installations. Wireless systems can be deployed in rooms without needing to take them out of commission during installation. All rooms can be pre-configured and fully programmed so that they are ready for easy installation. The main driver for the implementation of such an energy management solution is economic. Buildings that incorporate HVAC control can expect energy savings of between 20 and 40 percent, which typically represents simple paybacks of less than three years.

The Aloha Surf Hotel in Waikiki, part of Hawaii’s first boutique hotel chain, Aqua Hotels & Resorts, uses a battery-less wireless automation system to substantially reduce its energy consumption. As part

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can also be supplied with an IP55W (weatherproof) enclosure, suitable for outdoor mounting. The drive comes complete with a rear back plate ensuring it can be mounted in “free space” as well as onto a flat surface. Reliability: The ACH580 provides up-to-date and accurate system efficiency information, monitoring how much energy has been saved, and providing advanced notice of possible maintenance needs for the drive or the driven load. State-ofthe-art accelerated life testing during development and 100 percent testing on real motors in production ensure reliable product at point of delivery.

By Graham Martin, Chairman of the EnOcean Alliance

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Easy integration: Embedded HVAC communications allow users to control applications, report findings and perform diagnostics natively through embedded BACnet MS/TP and HVAC protocols. BACnet IP over EtherNet can also be incorporated as an option.

Energy Manager Magazine • July/august 2016

HVAC

HARNESS CENTRALISED AND LOCALISED HEATING CONTROL FOR MAXIMUM ENERGY EFFICIENCY

uilding management systems (BMS) drive down energy consumption by improving centralised control of heating, cooling and ventilation. If you combine this centralised management of heating with enhanced localised control of radiators, however, it is possible to make significant additional energy savings, typically in the region of 30%. This is made possible by tailoring supply of heating more closely to actual demand. HVAC systems are designed around theoretical loads but, once the building is in use, actual demand is unlikely to conform exactly to anticipated operating conditions. It is common, for example, for the entire building to be heated even though some zones are currently unoccupied. The way in which we use buildings is not uniform. Student accommodation blocks and university libraries with 24 hour access, for example, are supplied with heating and hot water, irrespective of how many students are in situ at any one time. These unpredictable variations in occupancy levels have a significant impact on the HVAC system’s energy efficiency performance. If the building has a BMS it may be possible to adapt to certain circumstances using timed switching on and off of radiators on a zone-by-zone basis. In order to match demand closely to supply however, it is necessary to have localised control on a room-by-room, radiator-by-radiator level. Drilling down to this level of fine detail via centralised control has traditionally involved unacceptably expensive or complex bespoke programming. With the latest generation of smart radiator valves, however, there is

an extremely effective alternative, which provides self-contained localised control of radiators. Smart radiator valves enable individual radiators to be set to operate timed programmes at specific temperatures or (in the case of those with occupancy sensing capability) can adjust temperatures automatically in line with changing requirements. For example, in an office block that is expected to be unoccupied in the evening, smart valves enable the majority of radiators to be set to switch off at 5pm, whilst radiators serving an out of hours call centre in one part of the premises remain on. Some of the latest smart radiator valve models also incorporate Passive Active Infra Red occupancy sensing technology, alongside the timer, making it possible to reduce heating automatically when areas become unoccupied. Capable of sensing when rooms are empty, these valves reduce temperature automatically (in line with the pre-programmed parameters) to improve energy savings significantly in areas with intermittent or variable use. A manual boost button enables the occupant to increase temperature, if required. Reduction of temperature at radiator level signals to the central plant that supply to the space needs to be reduced. Where the central plant room has variable speed capability and BMS, this reduces loading on energy consuming equipment such as pumps, boilers, chillers and air handling units. The heating of empty rooms can be avoided, making significant energy cost savings and improving environmental performance. More accurate temperature control provides more consistent heating and prevents overheating. In buildings

without BMS, the ‘vicious circle’ of heating and cooling components of the system working in opposition can be broken. Approaching the problem on a radiator by radiator, room-by-room basis in this way also has the advantage of offering a retrofit solution, which can be phased-in for incremental improvement over time if required, safeguarding return on investment of the installed boilers and other heating and hot water plant.

Smart radiator valves deliver 30% savings at London University A leading London university installed smart radiator valves to replace traditional TRVs in the corridors and kitchens of its halls of residence. Smart radiator valves were also installed in the bedrooms, but these models also incorporate occupancy sensing technology. If a bedroom is unoccupied for longer that one hour, the smart radiator valve decreases radiator temperatures to a lower setting (16°C). A Sleep facility provides the option to reduce heating further during longer periods of vacancy. For example, the heating can be set to switch off 24 hours after a student leaves their room, making savings when they are away over weekends or holidays. By matching demand more closely to actual occupancy levels the university has achieved energy savings of 30%. Temperature reduction in unoccupied rooms is identified by the university’s BMS which, in turn, reduces loading on variable speed pumps and boilers, saving energy across the system. Complex scheduling is avoided and, as this particular model has a weekly valve exercise feature which prevents valves from ‘sticking’ over the summer period, maintenance requirements are also reduced. Combining centralised BMS with localised radiator control provides a highly effective solution, preventing the needless heating of empty rooms. It is also useful to remember that, in addition to being installed alongside new HVAC systems, smart radiator valves are also completely retrofittable. This means that energy savings can be achieved as part of a routine maintenance programme, without having to wait until the entire HVAC system is replaced. By Steven Henry, managing director of Chalmor

Energy Manager Magazine • July/August 2016

info@chalmor.co.uk www.chalmor.co.uk

Monitoring/Metering

Monitor energy usage to optimise plant efficiency

here’s an adage that you can’t manage what you don’t measure, and to fully understand and optimise the overall energy consumption within a manufacturing plant you first have to be able to monitor your energy usage. Dan Rossek argues that end users need to take a holistic approach to energy management. When EU-wide climate and energy targets where set in 2007 and enacted in legislation in 2009, they set the goal of reducing green house gas emissions by 20%, improving energy efficiency by 20% and sourcing 20% of energy from renewables, all by 2020. This legislation became the basis for various schemes implemented at national levels, with different governments using their own incentives and penalties. Cutting greenhouse gases has been a major focus for businesses large and small, with the heavy industrials in particular challenged by demanding emissions caps, and required to buy and sell allowances through emissions trading schemes. Over the years the caps have been steadily reduced, bringing greater numbers of manufacturing and processing companies within the scope of the scheme, and driving the need for continuous improvement to reduce carbon emissions. Hand in hand with this has come a steady increase in energy costs, delivering further incentives for businesses to get their energy usage under tighter control. But minimising carbon footprint isn’t just about costs, taxes and penalties. More and more business is being done today on the basis of having a sound environmental policy and a commitment to minimising nvironmental impact. Being able to demonstrate environmental responsibility internally within the business and externally throughout the logistics chain forms the basis of internationally recognised standards such as ISO 50001, and many companies are finding such policies can give them a genuine competitive advantage. All of this has seen energy management become a prime concern within businesses large and small, with many implementing a dedicated energy manager role within the company to develop policy and deliver ongoing improvements. But what exactly are the practical steps that manufacturing and processing companies can take to raise their energy efficiency?

In many cases this will start with an energy audit of the plant and processes. But this entails more than looking around the shop floor for obvious energy saving opportunities, such as turning off the heating and lighting when the plant is running un-manned processes, or ensuring equipment isn’t running if it doesn’t need to be. At the same time, while installing variable speed drives, for example, can help to reduce energy consumption from motors and compressors, this can’t be the end of the story. Deriving the maximum value from these energy saving measures, and uncovering others to implement, depends on effective monitoring of a whole range of electrical loads, energy supplies (regenerative braking, for example) and other energy consumers, such as compressed air and pneumatic systems. It pays to take a holistic approach to energy management, employing a range of technologies and techniques not only to identify areas for improvements in energy efficiency, but subsequently to carry on monitoring to see what real, measurable savings have been made. Taking this approach to energy management is the real key not only to identifying the real costs of energy associated with production operations but also then to optimising those processes – making each of them more energy efficient but also identifying and ironing out peaks in energy demand. What are the impacts of production bottlenecks? Are peaks in customer demand being managed smoothly or are there corresponding peaks in production that are using excess energy? Could energy intensive processes be staggered rather than running in parallel? Only with complete transparency of energy data, tied in with actual productivity, can costs per part be optimised in relation to energy usage. To be of use by the energy management personnel, both real time and historical energy consumption data has to be available to higher level business systems. Today’s Ethernet-based network technologies make it easy to transfer data from the plant floor into these higher level visualisation systems. But how and where is the data collected? One solution for energy monitoring on the plant floor might comprise a full suite of components that can be retrofitted to existing production lines and processes as readily as they can be designed into new

Energy Manager Magazine • July/August 2016

ones. Such products could be Dan Rossek is with used to monitor Omron in the UK electrical and all other forms of energy, focusing on areas such as temperature, motion, heat and compressed air as well as electricity. Multi-circuit smart power monitors can help pin-point all unnecessary energy usage. With or without inbuilt displays, these devices measure produced and consumed power, current, voltage, leading reactive power, lagging reactive power, power factor and frequency, as well as non-electric parameters. Combined with appropriate software, users have the ability to freely collect data, display it directly on a PC and perform trend analysis of instantaneous values, complete with graphs of energy and other data. Multi-circuit smart power monitors are able to monitor more lines with fewer devices with increased measuring accuracy. Invisible air flow from compressed air systems within plants can also represent significant energy wastage, and so the complete energy monitoring range should also include air flow sensors, helping to identify air leakage, excessive air usage or too much pressure. So long as these offer a wide measurement range, these products are able to measure compressed air at the line level or at the machine level, detecting leakage while measuring pressure and flow. And then there is the portable energy flow monitor that can monitor energy flow data for a variety of machines and panels, giving a local display as well as integrating with a wider LAN where required, or logging energy, power, power factor and pulse sum data to an SD card. There are many examples around the world where these technologies are helping companies to save energy, reduce emissions and minimise their carbon footprint, so helping to drive cost savings as well as demonstrating environmental responsibility. There are huge gains to be made by taking a holistic approach to energy management, focusing on real time measurement and ongoing improvement. Energy monitoring not only helps end users to identify immediate areas for improvement, but then to carry on monitoring to show the real benefits of any changes made and to uncover further areas that will continue to deliver incremental gains in efficiency.

Monitoring/Metering

Real-time Energy Monitoring Online real-time energy monitoring solution is the driver behind engaging buildings contractors and staff in identifying opportunities to make energy, carbon and costs savings

vergrowing legislations such as the Carbon Reduction Commitment (CRC) tax and EU Emissions Trading Scheme along with financial impact on utilities it is inevitable and presents an opportunity for organisations like the NHS to reduce their buildings energy consumption.

Addressing the basics As part of the Trust’s Carbon Management Plan which is an integral part of Sustainability Management Plan, it is understood that it is fundamental to know the buildings energy consumption by type, by seasonal patterns, the high/low demand periods to engage buildings maintenance contractors by bringing the energy consumption of the buildings into a clear and instant visibility. The Sustainability team invested and installed ecoDriver online Real-time energy monitoring solution to monitor energy consumption LIVE by meter type “at any time and from anywhere” of their Queen’s Hospital and King George’s Hospital buildings.

Quick-wins and motivation This resulted in bringing the anomalies in energy consumption especially, during out-of-hours and holiday periods into visibility. Following queries and investigations immediate and appropriate actions were taken to avoid wastage. The live data and its reporting tool helped the team to identify more opportunities, plan in advance for weekends, Bank Holidays, X-Mas and New Year switch-offs. Such actions resulted in immediate savings. So far the Trust, with low/no cost initiatives saved approx. £240k in the past three years.

Getting out more Realising the immediate positive engagement with the buildings maintenance contractors and staff, the Trust expanded this real-time monitoring system with alert notifications to other meters for example CHP, LV switchboards, boilers and individual departments. The team has taken a progressive approach in its expansion by engaging

occupants and taking financial, energy, carbon savings factors into account. The charts below show the difference in consumption patterns before and after taking actions at their largest site, Queen’s Hospital in Romford.

Finding more solutions for less The Trust’s Sustainability team view is in the present financial climate it is difficult to fund a complete monitoring & targeting solution using multiple sub meters, especially for PFI managed sites. Our approach therefore is to start with monitoring & targeting using mainly, existing fiscal meters then building upon it by taking a progressive approach. During this process it is also helping to build relationships with the contractors and occupants to bring both carbon and costs savings. If not noticed, savings missed are missed forever, so an instant monitoring system is a key to engage contractors by bringing it into a clear visibility to take appropriate actions. The team has now plans to expand this tool to water management, waste and recycling, monitoring, verification and evaluation of a specific energy savings project to engage stakeholders. It is also useful in validating invoices, budgeting and EU ETS Audit compliance. The Trust also uses to engage their staff and produce recharges for their tenants. “the tool is simple to understand, and it has helped to bring the energy consumption patterns into a clear visibility – which prompted many questions and helped us identify opportunities”. Sustainability.BHRUT@bhrhospitals.nhs.uk http://www.bhrhospitals.nhs.uk/ sustainability

Energy Manager Magazine • July/august 2016

Exhibition News

Carlo Gavazzi presents a full Energy Management and Building Automation solution at 2016 Energy Event

nergy management specialist, Carlo Gavazzi will be returning to this year’s Energy Event at the NEC, Birmingham on 13th – 14th September - the UK’s leading event for energy and utilities procurement professionals. Discover the reasons why Carlo Gavazzi boasts one of the largest energy management and building automation ranges in the UK on Stand No. A20.

Energy Metering Range Highlights include the EM100 and EM300 Series with touchscreen technology, making standard user operations such as page scrolling, programming and parameter checks not only simpler but faster; as well as easy to read; it avoids any mechanical issues normally associated with using traditional keypads. Whether you need the EM100 single phase energy meter direct connect up to 45A with pulse output, EM111 45A or EM112 100A direct connect with Pulse, Modbus or M-Bus options or the new EM340 65A direct connect 3 phase energy meter also with various outputs, imported exported energy and tariff management (also on the EM111 & EM112), we will have a meter that has outstanding ease of use and performance that provides a perfect solution. Also on show will be established meters such as the popular EM200 series with its unique detachable display and the popular EM24 three phase energy analyser capable of measuring traditional active reactive energy metering with cost allocation, the product is also able to accept pulse inputs for gas, water, and other pulse variables presenting the information on to the attached network will also be on display.

VMU-C EM for monitoring small or single site installations of up to 32 meters, VMU-Y EM provides all of the benefits of a multi-site solution without ongoing costs and effectively allows you to monitor up to 320 meters whilst accessing the information from any PC using a standard web browser. We can also accommodate the larger multisite installation monitoring up to 3200 energy meters located anywhere in the world. This software makes single or multi-site energy metering easier and more cost effective as it doesn’t require a license fee and brings closer integration with Building Management Systems.

Building Automation The Dupline® two-wire bus technology significantly simplifies the field level wiring, eliminates expensive wiring home runs and saves money on installation costs when compared with traditional device-to-DDC solutions. Furthermore, the significant installation cost reduction is achieved without increasing material cost due to the reduced need for DDC inputs and outputs (I/Os) and standard sensors. Two-wire bus systems reduce

Energy Metering Software Supporting the extensive meter range is the latest cloud based energy platform which offers multiple software solutions from a simple web based system

Energy Manager Magazine • July/August 2016

commissioning time and offer the possibility to integrate HVAC and lighting controls, for example, at the field level – one network, two solutions. Systems are based on bus-powered sensors and small I/O modules. The cost savings of such a decentralised I/O solution can be considerable. So whatever your need, experts will be available to give free advice on any aspect of energy metering, MID and cost allocation applications as well as, the once separated market of building automation. The team will demonstrate the benefits of the company’s extensive portfolio of energy meters, energy management software and building automation. So, if you have a specific project in mind that needs a rapid and cost effective install that encourages optimisation of energy consumption or may be looking for answers on how to manage their buildings efficiently, cut consumption and lower fuel bills we can show you a solution. For more information regarding Carlo Gavazzi and its range of products, please visit the website: www.carlogavazzi.co.uk

Exhibition News

Industry leaders delivering the answers to effective energy management at this year’s showcase event

n a sector marked by volatile pricing, changing regulatory frameworks and increasing financial and security risk, it is necessary for the industry to come together to safeguard and ensure the future of energy resource efficiency, says Nicola Meadows, event director – Environment, i2i Events Group. Organised in partnership with key associations such as, the Major Energy Users Council, Energy Institute and Energy Services & Technology Association, the Energy Event 2016 at the NEC, Birmingham, on 13th -14th September is a ‘must attend’ exhibition and conference. Not only is this an event for major energy users, it is also a key date in the calendar for decision makers as they grapple with energy supply, energy security and energy management concerns. The event is a key place for visitors to understand the latest policies, compliance requirements and find the latest technologies to drive a reduction in energy costs and improve their sustainability performance. Building on last year’s success, the Energy Event provides key opportunities

for networking and professional development. Apart from policy changes, there are also a number of issues which seem to be challenging the sector, including energy security which remains a thorny issue for UK businesses. With an early capacity auction anticipated in the winter of 2017/18, and energy suppliers not being allowed to delay payments, businesses could face higher than anticipated energy bills next year. But what will the implications be for your business? The Energy Event will be tackling these key topics, as well as the changes to energy policy, the advancement of half-hourly usage (P272) and demand-side response (DSR). The exhibition aims to provide visitors with solutions to the challenges that are facing their business, making it a one-stop shop for all of the industry’s needs. The show has two content hubs, Energy Leaders Theatre and the Energy Information Theatre. Key discussions from Keith Brierley, Environment and Business - Senior Advisor, Environment Agency, Maria Spyrou, Energy Efficiency Programme Manager, Marks and

Spencer and Charlotte Calloway, Energy & Environment Analyst, Whitbread are just a small sample of the speakers at this year’s show. In addition, a keynote speaker from National Grid, Paul Lowbridge, will participate in a panel discussing – demand-side response, could capitalising on energy opportunities be the answer to the energy trilemma. A full speakers program is due to be released shortly.

Looking to the future The Energy Event organisers are also on the lookout for tomorrow’s energy managers and have launched a national search to find the industry’s ‘Rising Stars’. The competition celebrates trailblazing initiatives that challenge the way resource management works and inspire a new generation of efficiency managers. For more information, visit www.rwmexhibition.com/content/ Are-you-the-next-rising-star-in-resourcemanagement

Energy Manager Magazine • July/august 2016

Procurement

PLACE IN THE SUN

– LOWERING THE CARBON FOOTPRINT OF THE PUBLIC SECTOR

ublic authorities have a great responsibility in adopting environmentally friendly measures and contributing towards a green economy. A Government pledge to spend millions on a national energy efficiency programme¹, including solar installations, targeting public sector buildings over the next five years also underlines the importance of this commitment. Reducing energy bills is also paramount and so against a backdrop of energy efficiency and cost efficiency requirements an increasing number of public authorities are choosing microgeneration technology to generate an energy supply. Not only does it reduce energy costs but it also helps authorities meet stringent carbon emissions legislation. Gillian Askew, Head of Procurement, commented: “YPO’s specialist procurement framework recognises the financial and environmental importance of renewable technology for public authorities and provides a compliant route to market for the design, supply, installation, commissioning and maintenance of micro-generation scale photovoltaic systems. With energy taxes constantly increasing and uncertainty in the commodity market, more and more public authorities are looking at micro-generation as a way to cut bills and be environmentally friendly. The technology is also getting cheaper and more efficient, so it makes sense to give it serious consideration.” It is estimated that 445g of carbon dioxide is saved from each kwh of solar energy used and those authorities that fall under the Carbon Reduction Commitment, a mandatory carbon emissions reporting and pricing scheme, will realise savings from a lower carbon allowance. Authorities can also benefit from various funding mechanisms including capital expenditure, grant or loan funding, and Energy Efficient Finance. The Feed-In Tariff (FIT) scheme, introduced in April 2010, also means that authorities are paid for the electricity they generate, regardless of whether they use it or send it to the grid. Photovoltaic solar panels are eligible for feed-in tariffs, which are guaranteed for 25 years.

Gillian Askew commented: “All suppliers on our framework are accredited with the Micro-generation Certification Scheme which is an independent scheme supported by the Department of Energy and Climate Change (DECC). Using accredited suppliers is necessary to receive payment for the electricity the authority generates. “For those authorities considering whether to opt for micro-generation it’s worth considering that the Carbon Reduction Commitment scheme ends in 2019 at which point Climate Change Levies, a tax on energy usage, will ramp up.” YPO details some of the benefits and potential impacts of choosing photovoltaic systems: • Versatile technology. It can be used in urban or rural areas on roofs, facades or the ground. • Low maintenance • Electricity generated by solar installations receives subsidies from the feed-in tariffs. • When generation exceeds demand, the excess may be exported to the electricity network, earning revenue. • Reduces energy bills. • Environmental benefits to help meet emissions targets. • Zero emissions in operation, no noise, produces no waste. • Building mounted systems take no additional land and may not compete with other uses.

Energy Manager Magazine • July/August 2016

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Ground mounted systems can make use of unused space, such as embankments, vacant plots or agricultural land. One of the public sector bodies that YPO has recently supported through the Dynamic Purchasing System (DPS) system includes Kent Police. Kent Police was keen on procuring solar photovoltaic panels in a quick, efficient and compliant manner. The authority approached YPO for a sustainable solution and have since then managed to save both administrative time and funds as a result of the procurement process. Pauline Dines, Head of Estates Programme Delivery, Estate Services Department for Essex and Kent Police, said: “YPO was highly responsive and addressed our challenges very efficiently, allowing us to work swiftly to obtain tenders and achieve project completion to meet with the Feed-in Tariff (FIT). YPO’s energy team were extremely supportive, and enabled us to prepare and complete documents quickly. Their approach was tailored to our specific needs and therefore, their solution has really helped us achieve some of our key objectives. YPO offered us real procurement expertise at a time when we needed it the most.” For more information about the framework please go to http://www.ypo.co.uk/contracts-home

Water Management

Competition countdown – be prepared

he countdown is on to the opening of the non-household water market in England. Business Stream, one of the UK’s leading suppliers of water and waste water services has a wealth of experience helping businesses get the best from their provider. In fact no one is better placed to ensure you can enjoy all the benefits of competition next year. From April all businesses and organisations in England will be able to choose their water and waste water supplier. Competition has the potential to offer customers a wide range of opportunities including improved customer service, efficiency savings and environmental benefits. In Scotland, where the market has been open to competition since 2008, Business Stream’s record speaks for itself. Over the last eight years, our customers have benefited from more than £133 million in savings. At the same time they’ve saved more than 24 billion litres of water and 42,000 tonnes of carbon – the equivalent to taking 11,700 cars off the roads.

Our step-by-step guide will help you prepare for the opening of the English retail water market. Are you ready to enjoy all the benefits?

UNDERSTAND YOUR CURRENT WATER USE

Find out your water usage / wastewater production and how much it is costing

Consider what you’d want from a supplier once the market opens

BE FULLY COMPLIANT

Make sure you’re aware of your trade effluent arrangements and consents, if applicable.

CONSIDER YOUR OPTIONS

Speak to suppliers early in the process and consider your purchasing process.

Making changes to an organisation’s water and wastewater management takes time and effort. Many companies understand the value in this investment but others may welcome help to decide the best approach. To take full advantage of the new water market in England, Business Stream has compiled a Switch Fit Guide. Our easy to follow, five point guide explains how you can make the right choice for your business when competition begins next year. Don’t delay – it’s time to think about this now to make sure you make an informed decision on your future water provision.

Assess your current water use

Plan ahead

PLAN AHEAD

Are you ready to make the most from the potential benefits?

The first step is to understand your current water usage. Whether you have multiple sites or a single site, study previous bills and note your spend and usage per site. Once all of this data is collated, Business Stream can undertake a review to identify a range of opportunities to minimise water usage such as installing water saving devices, rainwater harvesting or water recycling. We recognise that one size doesn’t necessarily fit all so we can prepare a bespoke solution precisely tailored to your needs.

GET SWITCH FIT

Now as competition approaches in the English market, customers south of the border can look forward to a similar array of opportunities and are rightly beginning to view water as a business-critical issue.

Get in touch with Business Stream on 0131 338 3266 or email BusinessDevelopment @business-stream.co.uk

Don’t forget to plan ahead when considering what is right for your business. Are there any changes planned that could affect how much water your business uses in future? Perhaps you have plans to open some new sites, upgrade equipment or make changes to your production process. Anything which could impact on your usage needs careful consideration, so you can incorporate water into your overall utilities strategy. If you’re unsure how changes like this could impact your water bills, speak to someone at Business Stream. We’re here to help.

Review your trade effluent arrangements Does your business produce trade effluent including food waste or detergents?

If so, then making sure that you’re complying with waste legislation and have the required trade effluent consents is vital. It’s important to understand exactly what you’re producing in terms of effluent to avoid any fines or reputational damage. Consider what options prospective suppliers offer in this area when making your decision - can they meet your practical needs effectively? Check to make sure they have the skills and expertise to handle your needs. Business Stream has a specialist team who can assist with any issues you may have.

Consider exactly what you want and need Once you’ve followed the above steps then it’s time to start considering what you want from a supplier and plan your purchasing process. To help ensure that you make an informed choice, start talking to potential suppliers. Are they easy to do business with? Make sure you feel confident in understanding what they can offer based on your requirements. Do they offer a wide range of value-added services? It’s also worth remembering to check when comparing services between providers – are you reviewing like for like? It’s really important that you find the right partner.

Ask the experts at Business Stream Finally, speak to the experts. No matter how simple or complex your water needs are, we have the right solution for you. It may be a new market for England, but it’s not new for us. With our considerable experience across the UK, we have the knowledge and experience of working with companies and organisations of all types and sizes. If you need advice on understanding your water usage, trade effluent consents or are simply looking for innovative ways to save water and money – speak to the established water experts. Even if you decide to stay with your current supplier, Business Stream can provide independent analysis and advice to help guide you towards the best solution possible. To find out how your organisation can take full advantage of the forthcoming market competition, contact Business Stream at BusinessDevelopment@ business-stream.co.uk or on 0131 338 3266

Energy Manager Magazine • July/august 2016

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