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Efficient control of utilities and facilities

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“

Higher energy bills are anticipated, this is to be largely driven by a continued increase in non-commodity costs

The EMR and its impact on energy prices and how businesses can respond See page 16

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Onsite low carbon generation gives many opportunies for reducing carbon and retaining secure supplies. Dalkia’s technical manager, Derry Carr, asks what are the practical choices available See page 36

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INSIGHT The IEA’s energy outlook shows that every fuel source will be required in the future. Worryingly, two-thirds of the economic potential for energy efficiency is set to remain untapped in 2035 unless market barriers can be overcome See page 10

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Efficient control of utilities and facilities

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3

Comment

Barriers to an efficient and cost-effective solution

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It may be more to do with the recession and deindustrialisation across Europe than any massive green wins

It was interesting to note at the e-world show recently in Essen that all of Europe is struggling just as much as the UK to find an answer to the energy problems that currently persist. We are seeing a vast expansion of renewable energy within Europe, but it is still woefully short of the low-carbon green future of predicted by some. The IEA in its world Energy Outlook suggests that by 2035 also your share of primary energy generation will have fallen from 68% to 57% and renewable energy will have gone up from 11% in 2012 to 20%. All this is huge expansion still leaves us in a world that is dominated by the need for fossil fuels. Yet there is the potential for market chaos within Europe when renewable energy is the primary source making all others follow in wake.

Sunny, windy days in Germany have led to negative prices for power, not much incentive to remain in business for a fossil fuel generator yet essential for secure supplies. I was informed at the event that particularly in Germany gas and coal-fired generation do not have a fair chance to operate within the market and make a profit, perhaps a EU wide capacity mechanism will be the only solution but then this has the political problem of being a fossil fuel subsidy. Security has to win over the environment as a short-term concern, so what does that mean for pan-European low-carbon electricity market?

The European Commission has proposed its 2030 targets that suggest a 40% reduction in emissions and a EU-wide 27% share of energy mix by renewables. Considering that the EU is on course for its 2020 target of a 20% reduction in emissions and a 20% share of renewables, it is eminently achievable to hit the 2030 target; so much so that green groups say that it lacks ambition. The question is how are the reductions being achieved?

If it is through energy efficiency and decarbonisation of electricity then fine, but it may be more to do with the recession and deindustrialisation across Europe than any massive green wins. The IEA report suggests that, worldwide, two-thirds of the economic potential for energy efficiency is set to remain untapped in 2035 unless market barriers can be overcome. Not consuming so much is obviously the best way to reduce costs, remain globally competitive and be greener, yet without addressing these barriers there is the worry that high-cost generation solutions such as a vast expansion of renewable energy, carbon capture and storage and nuclear energy will be the only major players along with paying for generators to sit idle in the form of a capacity mechanism.

4 February/March 2014 | water energy & environment

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News & CommeNt

2030 framework – 40% GHG reduction and 27% renewable energy The 2030 policy framework for climate and energy was proposed by the European Commission in January and aims to make the European Union’s economy and energy system more competitive, secure and sustainable.

Opinion is divided over whether this has occurred.

Many green commentators suggest it lacks ambition and is the feeble efforts of a burnt out administration. Others feel that it puts too much pressure on the EU where energy prices are three to four times higher than the US, for example. The fear is that emissions will be cut but due to deindustrialisation.

While the EU is currently making good progress towards meeting its climate and energy targets for 2020, an integrated policy framework for the period up to 2030 is needed to ensure regulatory certainty for investors and a coordinated approach among member states.

A centrepiece of the framework is the target to reduce EU domestic greenhouse gas emissions by 40% below the 1990 level by 2030. This target is intended to keep the EU on track towards meeting its objective of cutting emissions by at least 80% by 2050. By setting its level of climate ambition for 2030, the EU will also be able to engage actively in the negotiations on a new international climate agreement that should take effect in 2020.

To achieve the overall 40% target, the sectors covered by the EU emissions trading system (EU ETS) would have to reduce their emissions by 43% compared with 2005.

Emissions from sectors outside the EU ETS would need to be cut by 30% below the 2005 level. This effort

By Ben Dhesi, founder info@pulsebusinessenergy. and head of energy co.uk management, Pulse T: 0333Business 7000 250 energy Ltd www. pulsebusinessenergy.co.uk

would be shared equitably between the member states.

Increasing the share of renewable energy The Commission proposes an objective of increasing the share of renewable energy to at least 27% of the EU’s energy consumption by 2030. While binding on the EU, the target would not be translated into national targets through EU legislation. This would give member states flexibility to transform the energy system in a way that is adapted to their national preferences and circumstances.

The role of energy efficiency in the 2030 framework will be further considered in a review of the Energy Efficiency Directive due to be concluded later in 2014.

To make the EU ETS more robust and effective in promoting low-carbon investment at least cost to society, the Commission proposes to establish a market stability reserve at the beginning of the next ETS trading period in 2021.

The reserve would both address the surplus of emission allowances that has built up in recent years and improve the system’s resilience to major shocks by automatically adjusting the supply of allowances to be auctioned.

Energy secretary Ed Davey was broadly pleased and said: “It’s good news that the Commission has listened to the UK argument that countries must be allowed to decarbonise in the cheapest way possible. The British green movement has moved on to technology neutral options as the most cost effective and practical way of fighting climate change.”

February/March 2014 | water energy & environment

Legal tips to control your energy broker

5

As the talk about regulation of energy brokers/consultants rages on it remains unclear when regulation will eventually arrive, the form it will take and who it will cover. Rather than wait for regulators businesses can take the initiative themselves by implementing some simple steps during the negotiating stage to avoid common pitfalls of energy tenders. Here is how to tackle one of them.

Analysis of supply quotes that look cheaper than they actually are: A major difficulty facing the industry at the moment is that quotations (particularly for electricity) are quite complex and flexible quotes more complex still. Costs such as government levies, commodity charges (in flexible quotes) and network costs (if passed through) are all open to speculation by the supplier/broker in a tender. So when comparing quotes all you’re really doing is comparing the “forecast” of these costs by the broker or supplier. Often the winning tender will be the one who let’s just say took the “most positive” forecast option. Six or seven months into the contract when you realise that you’re well above your expected budget you will find out the hard way the cheapest quote was not actually the cheapest quote, but simply the most positive forecast.

This is also an issue if you’re seeking to appoint a broker through an interview process as this often requires you to evaluate claims of “savings” that can be made.

How do you remedy this?

It’s quite simple and this is where businesses/end users can take control. You almost always give a supplier/broker a letter of authority when acting for you. Although a supplier probably won’t accept anything you give them or that’s not on their standard terms, the broker will usually always be willing to sign a letter of authority that you provide them. In the letter of authority you

need to make the following clear: ■ That you will be relying on the quotations and forecasts when making a decision and that these forecasts will be used to create internal budgets so the forecast must be done with reasonable skill and care based on information in the market at the time.

■ The broker must acknowledge that he understands this and warrants to compensate you for any loss or damage caused by information that is not accurate.

If correctly drafted this then creates quite solid foundation for legal remedies against the broker in contract law using well established principles of misrepresentation, breach of contract or warranty.

Other tips when doing this, (which is good practice anyway), will be to: 1. Ensure the letter of authority is signed by a Director of the broker company (call the Director personally as well). If they refuse to sign then that should help in your decision to appoint or not appoint them; 2. Credit check the broker. Many smaller start up brokers and small consultancies may not even be in business to enforce any claim at a later date, the letter then becomes a paper tiger.

These steps could be just as effective as regulation as this process effectively allows you to directly regulate your broker’s activities to suit your individual needs. That is something blanket regulation could struggle to achieve.

It’s not just limited to forecasting but fees, service and losses from not serving termination can all be covered by this process at the letter of authority stage without incurring significant legal fees.

Ben is a qualified solicitor and began Pulse in 2008. Pulse is seeking regulation from the solicitors Regulation Authority (sRA) to provide general legal advice on energy contracts. It would become the first sRA regulated energy consultancy in the UK. info@pulsebusinessenergy.co.uk t: 0333 7000 250 www.pulsebusinessenergy.co.uk

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New code for TPIs and brokers to be transparent Ofgem is proposing a new code of practice requiring brokers and other third party intermediaries to be completely clear with businesses about their fees, the contracts they offer and which suppliers they represent.

The proposals also require suppliers to only work with brokers that have signed up to the code.

Suppliers are to be set new rules to protect businesses from misselling by some energy brokers. The new rules Ofgem is proposing mean that if suppliers want to market deals through a broker, or a TPI they would have to use one which is accredited under a new code of practice.

Ofgem has already put in place rules to give businesses better protection and more clarity on their options when their contracts come to an end. And since November 2013, it has had powers to act against TPIs that are marketing energy products

or services to businesses in a misleading way.

To further increase protection, Ofgem and stakeholders have developed an industry-wide code of practice for TPIs to follow so that they treat businesses fairly when advising them on the best deals.

Once finalised it will require TPIs to be completely transparent about the fees for their services, the suppliers they are affiliated with, and the contracts they offer. And if suppliers want to market

deals through a broker they will have to choose one which complies with the code.

The code and regulation for suppliers should be in place by the end of the year.

Maxine Frerk, partner for retail markets at Ofgem, said: “We are determined to clamp down on poor practices by some TPIs and provide more transparency in this market.

They also have to improve their overall training and the way they deal with customers.

“We have already obtained from government, powers

“We are determined to clamp down on poor practices by some TPIs and provide more transparency in this market” to take enforcement action against misleading TPI behaviour. The next step is finalising the industry-wide code practice for TPIs. “By requiring suppliers to only work with accredited TPIs, we will ensure that suppliers and TPIs are jointly accountable for giving a high quality service to business consumers.”

Large businesses voice concerns surrounding emR Following the closure of the government consultation on electricity market reform (emR), Rwe npower has issued a report into business sentiment on the policy proposal. It highlights policy concerns of a number of major energy consumers within the UK, most notably around higher energy costs and their ability to forecast them.

Contracts for Difference (CfD) key concerns: ■ the danger of volatility being introduced into electricity cost ■ the potential lack of sufficient notice of charges, hindering budgeting requirement

■ A reduced incentive for generators to enter long-term Power Purchase Agreement (PPA) arrangements Capacity mechanism (Cm) key concerns: ■ the impact that the Cm will have on the wholesale markets, shifting volatility from commodity to non-commodity costs ■ the structure of Cm charges could negate any incentive for businesses to participate in Demand side initiatives, which could be an important way to manage system demand at peak times Further to this, and based on its own research, Rwe

6 February/March 2014 | water energy & environment

npower has calculated that the proposed approach to CfD and Cm could end up costing businesses between £10 and £25 per mwh by 2020. Rwe npower’s current analysis for the CfD is a net cost of between £7 and £10 per mwh and between £3 and £15 per mwh for the Cm. the latter figure will depend on final policy design of the Cm, which has not yet been decided. wayne mitchell, director of industrial and commercial sales and marketing at Rwe npower, commented: “Getting the electricity market right is absolutely essential for the competitiveness of UK businesses. It is therefore crucial

to understand from a business context the impact of DeCC’s policy proposals around emR. while there is a strong need for UK investment in energy infrastructure, it has become clear from businesses that emR may come at the cost of UK plc competitiveness. what’s required is greater certainty for businesses to be able to forecast costs and budget accurately.” the report came from a roundtable event that was attended by a wide range of UK-based business, with a combined total volume usage of 10.5twh; equating to just under 3.3million households and accounting for 5% of B2B energy usage in the UK.

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Boost for UK CCS The Department of Energy & Climate Change has announced the award of a Front End Engineering Design (FEED) study for the Peterhead Carbon Capture and Storage (CCS) project on a natural gas power plant in Aberdeenshire, Scotland.

This news comes two months after the FEED study contract for the White Rose commercial-scale CCS electricity project at Drax power station in North Yorkshire was announced.

Professor Jon Gibbins, director of the UK Carbon Capture and Storage Research

Centre (UKCCSRC), said: “CCS is imperative for the UK to reach our emission reduction targets and these FEED study projects will capitalise on the growing research knowledge base in the UK.” The Peterhead CCS project will use a post-combustion capture system to extract CO2 from an existing gas turbine unit, and facilities to compress it for pipeline transport, 100km offshore, to secure geological storage in the depleted Goldeneye field beneath the North Sea. The project involves Shell and SSE.

Facilities managers are hindered by lack of tools A survey by the British Institute of Facilities Management (BIFM) and the National Energy Foundation (NEF) into experiences and expectations of improving the use of energy in buildings has found that FM professionals are highly committed to maximising energy improvements but still lack metering and monitoring tools to establish accurate baselines and track progress.

While 90% of respondents know their annual energy costs, only half of respondents knew how the buildings were performing compared to design, and nearly a third were not comparing the buildings’ performance over time.

Three quarters of respondents are working towards a relative percentage energy reduction target, although the survey found respondents had mixed levels of confidence in achieving these. While 40% of respondents use building management systems, monthly

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consumption data is still the primary data tool available for most FM professionals to navigate the complexities of energy management.

Technology (such as new plant) was cited as the most important factor in improving the use of energy by nearly half of respondents, closely followed by, and interlinked with, behaviour.

Offsetting and certification was seen as having the most limited impact.

Worryingly, FM professionals estimated that, even if the desired technology and behaviour changes were made, only a further 10% reduction in energy usage was possible. This is considerably less than the savings found by the best energy improvement projects.

NEF chief executive officer Kerry Mashford said: “FM professionals are uniquely placed to tackle the gap between predicted and actual energy performance in buildings, but are constrained

“While 90% Europe is out of know their step on energy annual energy UK gas and electricity is cheaper than most of Europe costs, only half but more expensive than our main trading partners, says knew how the the Eurpean Commission a paper published on EU buildings were inenergy prices and costs.

Responding to the paper, performing Energy UK said: “The EU paper confirms the concerns of compared to the industry and its customers that although the UK is design” doing better than other EU by a lack of access to the scope and quality of data they need. This barrier persists, hampering both comparison over time and external benchmarking initiatives.”

Lucy Black, chair of BIFM’s sustainability special interest group, added: “The survey highlighted a sophisticated understanding of the interplay of technology, behaviour and processes in achieving energy savings. However, there could, and should, be more aggressive targeting to achieve energy improvements”.

Download the full report at www.nef.org.uk

countries on energy costs, we are slipping behind the rest of the world. This paper deepens the concern that Europe is becoming progressively out of step with the countries with which it trades.

“This makes our industries less competitive and the costs for households greater. As a priority, the EU and member states must consider the energy policies they make from the perspective of cost effectiveness, affordability, security of supply and the competitiveness of industry in the EU. “From now this must be at the heart of European policy making.”

February/March 2014 | water energy & environment

7

News & CommeNt

Power generation needs to consider water shortages Experts at Newcastle University are warning the government that its current thinking on future energy generation risks locking the UK into a situation where water availability could put energy security in danger.

Now the researchers are calling on policymakers to give greater consideration to the electricity sector’s “water footprint”, to minimise the risk of power stations having to reduce production or, in extreme scenarios, shut down altogether if water shortages mean they cannot remain operational.

In a paper to be published in Global Environmental Change, Ed Byers from Newcastle University’s School of Civil Engineering and Geosciences, with co-authors Dr Jaime Amezaga, also from Newcastle University, and Professor Jim Hall from the University of Oxford, has evaluated the demands for cooling water from the UK electricity sector.

The researchers analysed the current and likely future levels of water abstraction and consumption for six potential future energy pathways, including four pathways identified by the Department of Energy & Climate Change in its 2011 Carbon Plan.

The research shows that up to 2030, all six of the pathways studied reduce water intensity as well as resulting in lower levels of carbon dioxide. This is mainly due to closure of coal capacity from the EU Large Combustion Plant Directive, as well as a transition to cooling systems which use less water. But from 2030-2050 results diverged.

Pathways with high levels of carbon capture and storage (CCS), a techno government, will increase

Greater consideration needs to be given to the electricity sector’s ‘water footprint’

freshwater consumption and intensity by between 3069%, while pathways with high nuclear capacity result in significantly higher levels of tidal and coastal water abstraction, with potential increases ranging from 148% to 399% on 2010 levels.

However, pathways with high levels of renewables have the lowest water abstraction and consumption rates.

In particular, the pathway with high renewables and increased energy efficiency saw overall water consumption decrease by more than 20% and freshwater consumption reduce by around 60%.

Ed Byers said: “The UK government is currently looking at policies to decarbonise the electricity sector, including considering a new generation of nuclear power stations, renewables such as hydro, wind and solar, and fossil-fuelled generation with carbon capture and storage.

However, policymakers are primarily focusing on issues around security of supply, affordability and emissions reductions. Wider impacts, such as the dependency on

8 February/March 2014 | water energy & environment

water for cooling, are not strongly considered as a barrier to development, let alone a potential vulnerability of our future electricity system. High water consumption could also put other sectors at risk during water shortages.

“The high dependency on water in electricity generation means there is a real possibility that in just a few decades some power stations may be forced to decrease production or shut down if there are water shortages, which may be expected with changes in climate and a growing population.

“Given the long-term nature of energy infrastructure projects, the decisions the government is making now will set the UK on a track that will seal our future, for better or worse. It is vital that policymakers seriously consider the levels of water use across different potential energy pathways, giving credit to those options that reduce carbon emissions while maintaining the UK’s water security and protecting our marine and estuarine environments.”

Energy demand growth slowing Global energy demand continues to grow but that growth is slowing and mainly driven by emerging economies – led by China and India – according to the BP Energy Outlook 2035 (see inforgraphic on the right for a summary).

It reveals that global energy consumption is expected to rise by 41% from 2012 to 2035, compared with 55% over the past 23 years (52% over the past 20 years) and 30% over the past 10.

Ninety five per cent of that growth in demand is expected to come from the emerging economies, while energy use in the advanced economies of North America, Europe and Asia as a group is expected to grow only very slowly – and begin to decline in the later years of the forecast period.

Shares of the major fossil fuels are converging with oil, natural gas and coal each expected to make up about 27% of the total mix by 2035 and the remaining share coming from nuclear, hydroelectricity and renewables.

Among fossil fuels, gas is growing fastest, increasingly being used as a cleaner alternative to coal for power generation as well as in other sectors.

On the question of sustainability, global carbon dioxide emissions are projected to rise by 29%, with all of the growth coming from the emerging economies.

BP chief economist Christof Rühl said: “People are finding ways to use energy more efficiently because it saves them money. This is also good for the environment – the less energy we use the less carbon we emit. For example CO2 emissions in the US are back at 1990s’ levels.” www.bp.com/energyoutlook

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Addressing the myths of boiler control there are a number of misconceptions regarding retrofit boiler controls that can lead to savings opportunities being missed, or energy-saving projects that fail to deliver on expectations.

BP Energy Outlook 2035 Our 2014 look-ahead to the future of energy 1 In 2035 how much energy will the world need?

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as rising economic growth is now accompanied by

BP Energy Outlook 2035 Join the conversation: #BPstats

flattening energy demand.

summary of the findings of the BP energy outlook 2035

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1. the Bms takes care of everything Typically a building management system (BMS) is programmed to manage the heating system as a whole by monitoring the blended water temperatures from all of the boilers rather than measuring the individual boiler(s). Consequently any energy wastage through boiler dry cycling at an individual boiler level is not always detected or prevented by the BMS. It is possible to configure a BMS to monitor dry cycling but this requires expensive bespoke programming, generally at a cost that greatly exceeds that of introducing retrofit boiler load controls.

2. Dry cycling does not occur with new boilers Boiler dry cycling can occur with virtually all types of boilers. When the boiler is no longer firing, the temperature of the water in the boiler eventually falls below the boiler’s internal set point due to natural “standing losses”. This triggers the boiler to fire, even when there is no requirement for heat from the building, thus wasting energy. Well-insulated and low water content modern boilers will cool more slowly compared to older less insulated boilers, so the dry cycling may be less frequent – but it will still occur.

3. Retrofit controls interfere with the existing control strategy It is certainly true that some attempts to prevent boiler dry cycling conflict with existing control strategies. However, this can be avoided with the latest “Stop-Go”boiler load control technology.

Sabien’s patented M2G boiler load controller constantly analyses the temperature profile of each boiler in real time, dynamically identifying and preventing boiler dry cycling. More importantly, it also allows the boiler to fire immediately

if there is a genuine demand for heat. If a BMS is in place, the M2G integrates with it, taking its ‘StopGo’ signal directly from the BMS. Just as importantly, it recalculates the values every time the boiler reaches its required set point temperature so there is no conflict and the boilers’ designed set points are never altered.

4. Reduced firing time = reduced gas consumption Some retrofit boiler controls delay the firing of the boiler, working on the assumption that less firing equals lower fuel consumption.

However, most modern boilers use a modulating burner or multi stage firing, and a boiler firing for five minutes at low fire will use much less fuel than if it was operating for five minutes at high fire. Therefore the firing time of the boiler does not equate to the energy used.

5. energy bills are an accurate guide to energy savings Energy bills typically detail gross consumption of energy (for example, gas) without differentiating between various uses (heating, catering) so they are not an accurate guide to any savings that may have been made by a particular energysaving initiative. Also, the energy consumption of heating plant needs to be related to weather conditions using degree day data provided by the Meteorological Office. A direct comparison of gas consumption between a cold and mild winter is meaningless.

Any other factors affecting heating patterns (changes in building fabric, occupation densities etc) should also be accounted for. We recommend using the International Performance Measurement and Verification Protocol (IPMVP).

For further information www.sabien-tech.co.uk

February/March 2014 | water energy & environment

9

InsIghT

A global picture The IEA’s latest World Energy Outlook sees large disparities in regional energy prices affecting industrial competitiveness

T

he International Energy Agency’s annual World Energy Outlook report presents a central scenario in which global energy demand rises by one-third in the period to 2035.

The shift in global energy demand to Asia gathers speed but China moves towards a back seat in the 2020s as India and countries in Southeast Asia take the lead in driving consumption higher. The Middle East also moves to centre stage as an energy consumer, becoming the world’s second-largest gas consumer by 2020 and third-largest oil consumer by 2030, redefining its role in global energy markets.

Brazil maintains one of the least carbon-intensive energy sectors in the world, despite experiencing an 80% increase in energy use to 2035 and moving into the top ranks of global oil producers. Energy demand in OECD countries barely rises and by 2035 is less than half that of non-OECD countries. Low-carbon energy sources meet about 40% of the growth in global energy demand. In some regions,

“

Two-thirds of the economic potential for energy efficiency is set to remain untapped in 2035 unless market barriers can be overcome

China is the main driver of increasing energy demand in the current decade but India takes over in the 2020s as the principal source of growth rapid expansion of wind and solar PV raises fundamental questions about the design of power markets and their ability to ensure adequate investment and long-term reliability.

“Major changes are emerging in the energy world in response to shifts in economic growth, efforts at decarbonisation and technological breakthroughs,” said IEA executive director Maria van der Hoeven.

“We have the tools to deal with such profound market change. Those that anticipate global energy developments successfully can derive an advantage, while those that do not, risk taking poor policy and investment decisions.”

The availability and affordability of energy is a critical element of economic wellbeing and, in many countries, also of industrial competitiveness. Natural gas in the US currently trades at

10 February/March 2014 | water energy & environment

one-third of import prices to Europe and one-fifth of those to Japan. Average Japanese or European industrial consumers pay more than twice as much for electricity as their counterparts in the US, and even China’s industry pays almost double the US level.

In WEO 2013, large variations in energy prices persist through to 2035, affecting company strategies and investment decisions in energy-intensive industries. The US sees its share of global exports of energyintensive goods slightly increase to 2035, providing the clearest indication of the link between relatively low energy prices and the industrial outlook. By contrast, the European Union and Japan see their share of global exports decline – a combined loss of about onethird of their current share.

“Lower energy prices in the US mean that it is well-

placed to reap an economic advantage, while higher costs for energy-intensive industries in Europe and Japan are set to be a heavy burden,” said Fatih Birol, IEA chief economist.

Among the options open to policy makers to mitigate the impact of high energy prices, WEO 2013 highlights the importance of energy efficiency: two-thirds of the economic potential for energy efficiency is set to remain untapped in 2035 unless market barriers can be overcome. One such barrier is the pervasive nature of fossilfuel subsidies, which incentivise wasteful consumption at a cost of $544bn in 2012.

Accelerated movement towards a global gas market could also reduce price differentials between regions.

Gas market and pricing reforms in the Asia-Pacific region and LNG exports from North America can

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The winter that never came to be

Key facts n Global energy demand will grow to 2035, but government policies can influence the pace. In the New Policies Scenario, our central scenario, global energy demand increases by one-third from 2011 to 2035. Demand grows for all forms of energy but the share of fossil fuels in the world’s energy mix falls from 82% to 76% in 2035.

Low-carbon energy sources (renewables and nuclear) meet about 40% of the growth in primary energy demand.

Nearly half of the net increase in electricity generation comes from renewables. n As the source of two-thirds of global greenhouse-gas emissions, the energy sector will be pivotal in determining whether or not climate change goals are achieved.

Energy-related carbon-dioxide emissions rise by 20% to 37.2Gt in the New Policies Scenario, leaving the world on track for a long-term average temperature increase of 3.6°C.

spur a loosening of the current contractual rigidity of internationally traded gas and its indexation to high oil prices.

Action to reduce the impact of high energy prices does not mean diminishing efforts to address climate change.

Energy-related carbon-dioxide emissions are projected to rise by 20% to 2035, leaving the world on track for a longterm average temperature increase of 3.6°C, far above the internationally-agreed 2°C climate target. The report emphasises the importance of carefully designed subsidies to renewables, which totalled $101bn in 2012 and expand to $220bn in 2035 to support the anticipated level of deployment.

Technology is opening up new types of oil resources, such as light tight oil and ultra-deepwater fields, that were until recently considered too difficult or expensive to

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n High energy prices do not have to result in onerous energy costs for end-users or the national economy. Energy efficiency improvements could mitigate high energy costs while concurrently addressing energy security and environmental concerns.

Policymakers can also boost energy competitiveness by supporting indigenous sources of energy supply, including renewables, nuclear power and unconventional gas. Regardless of the composition of energy supply, efficient and competitive markets can minimise the cost of energy to an economy.

Additionally, a carefully conceived international climate change agreement can help to ensure that energy-intensive industries in countries that act decisively to limit greenhouse-gas emissions do not face unequal competition from countries that fail to do so.

access. Despite new resources being unlocked, national oil companies and their host governments still control 80% of the world’s proven-plusprobable oil reserves. The pace of oil demand growth slows steadily, from an average of 1 mb/d per year to 2020 to just 400 kb/d thereafter, as high prices encourage efficiency and fuel switching, and the decline in OECD oil use accelerates.

The shift in the balance of oil consumption towards Asia and the Middle East is accompanied by a continued build-up of refining capacity in these regions.

However, in many OECD countries the opposite will happen: in the period to 2035, nearly 10mb/d of global refinery capacity is at risk of low utilisation rates or closure, with Europe particularly vulnerable. we&e www.worldenergyoutlook.org

Just like the market, if you took a random walk into any energy consultancy or brokerage last year, your efforts in gauging the market for future energy prices would have yielded pretty much the same result, regardless of who you asked. Assuming this question was “What’s the outlook for the UK energy prices on the year ahead?” the answer would have indiscriminately been the same… “Higher”.

The consultancy industry has changed in recent years, while some facets of the market remain the same; some newcomers have differentiated themselves from the traditional procurement agents with sophisticated and well calculated risk management strategies.

When looking at the wholesale energy market, whether your interest lies with gas, electricity or any other commodity, the emphasis of buying-right still remains on getting the right price. This is a very familiar approach which many energy managers can relate to; yet may not fully appreciate. In our effort to effectively manage client risk and operate trading strategies, LG Energy Group (LGE) recognises the complexity of the market and its dynamic nature.

Forecasting market trends and price direction isn’t the only concern that needs to be identified when it comes to trading. Beyond the initial step of being in the right trend, traders must also be right in their timing, duration of trade and most importantly traders must operate within the end users risk management strategy.

Approaching every market

environment with the necessary balance of expertise and experience – with appropriate contingencies– has consistently enabled LGE to effectively manage risk and realise cost reduction for end users. “…his biggest winnings were made on the bull side, so that it is plain he did not play prejudices but conditions” E. Lefevre, Reminiscence of a stock operator, John Wiley & Sons, 1923, p. 97.

Many proceeded to enter the winter 2013/14 energy market, with a pre-conceived view that prices would push higher due to the expectation of a cold winter. However, equipping yourself with a well-structured trading strategy and appropriate contingencies would have yielded a more fruitful position in the market. Experienced risk managers should always look at the market conditions and prepare for those “What if?” scenarios.

So far the market plunge to the downside has caught many off guard, with last minute participants trying to get into the action, following the colossal 15% and 13% plunge on the year (front season gas and power contracts, respectively).

By now, many energy buyers have been begun to examine their buying strategies and the expertise at their disposal in what is still a very complex market environment.

To learn more about how LgE positioned it clients over the winter period contact it on 01253 767 222 or find it at www.lge-group.com

February/March 2014 | water energy & environment

11

Gas & ELEctricity

The year ahead Christopher Lydiard-Wilson, CEO of EnergyQuote JHA, looks at the market and how non-erngy costs are now the bigger concern

L

ooking forward to the new financial year, energy buyers will again be subject to another challenging year with regulatory and economic challenges that are entrenched in the energy markets. In fact, it seems that each successive year is even more challenging, unpredictable and volatile than the last.

Gas The outlook for UK gas prices makes for bleak reading. North Sea gas production decline continues: a 14% decline in output in 2012 continued in 2013 (albeit to a lesser extent) and is all but certain to be continued in 2014 and beyond.

Inevitably, the resulting need for higher gas imports creates greater price pressures in the form of different pricing mechanisms and higher transportation costs. There are also resultant problems of exposing the UK gas market to a wider, more global (and ultimately more unpredictable) set of price risks.

Electricity Similarly, benchmark power prices in 2013 averaged £50.27/MWh, some 11.7% higher than 2012. During the year closing prices reached a peak of £57.60/MWh, more than 10% higher than the maximum seen the previous year. While these upward movements in wholesale prices are nothing new, and remain a core concern for energy buyers of all sizes and type, they now account for a decreasingly prominent part of the overall story.

As time goes on, the role of non-energy costs (and more specifically sustained and significant upward movements in these costs) assumes a much more prominent position on the radar of energy buyers.

Non-energy costs Non-energy costs of all types will be subject to significant increases in 2014. The exact increases for specific customers are dependent on location, volume, contract type and a range of other The peak electricity factors. However, the reality is that baseload prce for 1MW of transmission cost power. power increases of up It remains to 17%, Renewables to be seen Obligation increases of whether or not the more than 19% and Feed-in UK goes down a similar path Tariff increases of 8% will to Germany and elsewhere. be very much the norm for The reality is that rising, many buyers in 2014. These non-energy costs are here increased non-energy costs to stay, and will further add significantly to the compound the pressures burden and impact of rising associated with rising and wholesale energy prices. volatile wholesale prices.

While rising energy prices Energy buyers must therefore remain a major and ongoing work harder than ever to concern for UK industry, mitigate both energy and there is at least a crumb of non-energy cost pressures. comfort and a small degree of Demand side management, succour available by looking energy efficiency, onsite at other European markets generation, hedging and risk where energy buyers have management, all provide been equally, or in many cases excellent and valuable more significantly, impacted opportunities to soothe the by rising non-energy costs. bottom line impact of rising In Germany the EEG levy energy prices. Now, more than on power consumption has ever, it is critically important recently been increased from for UK energy buyers to €52.77/MWh to €62.40/MWh, use all the tools available to meaning that the size of the manage the ever more painful levy alone is approaching energy price pressures. we&e almost twice the price of www.energyquote.com

£57.60

12 February/March 2014 | water energy & environment

“

Energy buyers must work harder than ever to mitigate both energy and nonenergy cost pressures

theenergyst.com

Ethical purchasing CIPS asks for the procurement profession to hit back by making a greater commitment to good practice and behaviour in the supply chain

U

nethical procurement and supply management has never before hit the headlines so hard.

CIPS (The Chartered Institute of Purchasing & Supply) is fighting back and asking procurement professionals and organisations to do the same and make a real difference with the launch of a new online pathway to ethical procurement and supply.

As a recognition that better awareness and education is needed in the profession to help eradicate supply chain malpractice – a two-hour eLearning course will take participants through content on corruption, fraud, bribery, exploitation, human rights and forced labour as well understanding morale and social conscience. After the learning is complete, an online test will give participants who pass a certificate of achievement to demonstrate their understanding as well as recognition on the CIPS website as trained in ethics.

It will be made available to individuals as well as to organisations wishing to demonstrate their own commitment to ethical procurement and supply.

Within organisations, CIPS recommends that organisations review and adopt the CIPS Corporate Code of Ethics as well as ensuring that all staff responsible for sourcing and managing suppliers take the test. Once the e-learning is completed by staff, the organisation will also be asked to sign the CIPS Statement of Commitment, to publicly

“

Better awareness and education is needed in the profession to help eradicate supply chain malpractice

reinforce their commitment to ethical behaviour and practices.

They will also be listed on CIPS Corporate Ethical Register and will receive the Corporate Ethical Mark to reflect their commitment to ethical procurement and supply.

CIPS group CEO David Noble said: “This is a key step forward in arming our professionals with a toolkit to enable them to understand and take action on unethical practices in their supply chains. Awareness and education is key in managing issues such as fraud, corruption or even evidence of modern day slavery. We have recently called for a licence for our profession and are asking both our members and organisations to commit to a self regulated approach to procurement and supply by ensuring the right people with the right skills are in the right job. This ethics test underpins that activity and is just the start of the journey.”

As an introductory offer, the test will be available free of charge to CIPS members until October 2014. It will carry a charge for non-members. we&e www.cips.org/ ethics-elearning

February/March 2014 | water energy & environment

13

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gas & ElEctricity

EMR opportunities With Electricity Market Reform becoming enshrined in law with the passage of the Energy Bill to the Energy Act, we can try to understand the impact it will have on the energy market, and how businesses can respond, says Jon Ferris

W

hile there remain significant areas of detail to be consulted on and enacted, it is clear that government intervention in the energy market will increase to levels not seen for two decades.

Wholesale markets In order to appreciate the impact of EMR, an understanding of the wholesale markets and how the UK interacts with the rest of the world is essential.

While gas can be transported by ship as liquefied natural gas (LNG) and by pipeline, there is no global market.

Instead, various regional markets have developed with different price determinants.

The US, with abundant shale gas and restrictions on exports, currently has low prices. In the Far East, the supply-demand balance is the inverse, especially since the reduction in nuclear generation has increased the use of fossil fuels for electricity generation.

Europe lies in-between, with some indigenous production but also an increasing reliance on imports.

global gas prices Having recently been a net exporter of gas, the UK has become dependent on imports from Europe via pipeline, and LNG predominantly from Qatar. The UK price of gas is set by the cost in the markets we are competing with to attract the imports required to meet demand.

In 2009, markets assumed that we were competing with the US for new LNG from Qatar. As the US reduced imports and European import facilities came online, UK prices returned to European levels. In recent winters, high demand meant that the UK was competing to attract cargoes of LNG that would otherwise have sailed to the higher-priced Asian markets.

While companies are requesting licences to export from the US, this is expected to offset the growth in demand in Asia. Exploration for shale gas may increase indigenous production, but again this may be required simply to offset the decline in North Sea production. In order to reduce the wholesale market price, shale production would have to be significant enough

global gas prices 2007 to present

16 February/March 2014 | water energy & environment

short-term prices more to change the market with volatile. This can be seen which we are competing. in German prices, where The UK generation mix 39GW of wind and 35GW has continually evolved since of photovoltaic generation the growth of nuclear in are providing an average of the 1960s, gas in the 1990s 24% of their generation mix. and renewables since 2000.

However, this is dependent Wholesale electricity prices on the level of wind and have been driven by the cost sunshine, resulting in much of the marginal fuel used for greater variability in daygeneration, which has usually to-day prices than currently been gas. Electricity prices have experienced in the UK. therefore moved with a high Increased support correlation to gas prices. for renewable An increase in coal generation, and generation since investment 2010, and the in networks growth of have also renewable contributed generation, of one customer’s to rising has meant that DUoS costs occured costs, with less efficient significant gas plant has in a 9% red band increases not needed to since 2008 even generate. This though wholesale has increased the prices have fallen back. efficiency of the marginal gas plant required to meet demand.

Electricity Market reform As a result, electricity prices EMR is expected to have not risen as quickly as gas. continue current trends.

Continued growth in The key aspects are: renewable generation will be n Contracts for Difference required to meet the EU target Feed-in Tariff (CfD FiT) of 20% of energy consumption – to guarantee revenue to be produced by renewable for low carbon electricity resources by 2020. In order generated by new plant. to hit the target of a 20% n Capacity Market – to reduction in greenhouse gas support investment in emissions from 1990 levels, peak generation and emissions from coal plant demand response. will be further restricted by n Emission Performance the Industrial Emissions Standard – to limit the Directive. As coal plant carbon emissions of closes, the less efficient gas new power stations. plant that has recently been The costs of both CfD mothballed may be brought and the Capacity Market back into service, which are expected to be recovered would reverse the relative from consumers as another decline in electricity prices. non-commodity cost, One impact from the resulting in wholesale prices growth in renewable making up less than half generation has been to make

80%

theenergyst.com

UK and german day ahead electricity prices 2009 topresent

of the total cost by 2020.

While higher energy bills are anticipated, this is to be largely driven by a continued increase in non-commodity costs. As a result, while shopping around remains an essential tool for optimising procurement, switching supplier will not be the solution to higher energy costs.

Energy efficiency and demand response Higher energy prices and falling implementation costs are resulting in a resurgence for energy efficiency. While energy consumed, and the cost of this consumption, are clear from every invoice, better monitoring is required in order to fully understand the energy that is wasted.

Automated meter reading for gas and non-half hourly electricity meters are a big step to improving awareness, but real understanding comes from monitoring each sub-meter and circuit.

Improved monitoring also brings the opportunity for focused demand response, reducing consumption at times of high system stress.

Businesses will be able to bid into the Capacity Market with demand response from 2018.

In the meantime, National Grid has interim measures for incentivising businesses to reduce demand before then, in order to supplement shrinking capacity margins.

The ability to manage

theenergyst.com

consumption through shifting production patterns may also create opportunities for balancing risk by managing consumption based on price signals.

While day-to-day price volatility is expected to increase, within day electricity price volatility already exists, reflecting both peak demand and the strain on the transmission and distribution systems. As a result, the benefit of reducing consumption comes not only when wholesale prices spike, but also from avoiding high system costs.

The Common Distribution Charging Methodology (CDCM) aligned Distribution Network Operator (DNO) charging in April 2010. There are different rates for different time bands (although these times differ depending on DNO). For one EIC client, only 9% of consumption occurred during the most expensive red band, but 80% of Distribution Use of System (DUoS) costs were incurred by this consumption.

Businesses have long been familiar with reducing consumption at times of peak system demand to avoid Triad periods, yet a policy of minimising consumption during the red bands will benefit from reduced DUoS and Transmission Network Use of System (TNUoS) costs.

Decentralised generation Large suppliers have been

affected both by the growth in decentralised generation and the continued impact of the recession on their revenues, profits and balance sheets. They are less willing to make risky investments in large scale generation.

As a result, concerns that electricity capacity margins will tighten gives businesses greater incentives and opportunities to generate electricity both for their own use and for export to the grid.

Onsite generation can provide another opportunity to manage energy costs. While the costs of combined heat and power (CHP) are inextricable from the fuel price, the output is more controllable than other forms of generation. This can help with managing system costs, and create opportunities for demand response without disrupting production.

Photovoltaic generation delivers electricity during the daytime, overlapping with much of the daily peak demand. Costs at the point of consumption can be competitive with electricity taken from the grid, as consumption generated on-site avoids non-commodity costs.

Evolving procurement Finally, purchasing strategies need reassessing to intertwine with opportunities to manage consumption and generation, resulting in greater participation in the energy markets. Media headlines have focused on domestic prices, where the Big Six suppliers have 95% of the market, and prices follow the same

pattern. As a result, domestic consumers are price takers paying a premium for the risk taken on their behalf by their supplier. Flexible contracts give business customers access to the wholesale market. This allows the risk to be managed by taking multiple decisions to purchase over a period of time, and even to sell back in order to optimise the hedged position. Group purchasing can aggregate small volumes in order to gain access to this market. While few businesses have the resource to constantly monitor markets, trading is a specialist function that can be outsourced. EIC has been consistently achieving prices close to market lows on behalf of clients, while maintaining regular communication to assess changes in risk appetite.

Without consumers, there would be no energy market.

High prices and uncertainty about future policy and generation are increasing the incentives for businesses to become much more integrated in the markets.

While procurement remains an essential part of an energy cost management strategy, improved monitoring, more active management and trading both demand and generation in response to market price signals are likely to bring greater rewards as the Energy Act changes the shape of the UK energy market. we&e Jon Ferris is head of risk management at EIC (Energy Information Centre) www.eic.co.uk

Eic Electricity Price Performance

February/March 2014 | water energy & environment

17

gas & ElEctricity

The benefits of energy efficiency A survey by EEF and npower finds that manufacturers increase productivity and competitiveness by managing their energy more proactively. Even so, it is not always easy to implement projects

B

ritain’s manufacturers are increasing their investment in strategic energy management and efficiency, in order to improve their competitive position against a backdrop of rising energy costs, according to a joint survey[1] released by manufacturers’ organisation EEF and energy supplier npower.

The survey voices the concerns of manufacturers and recognises that investment in energy management is not without significant barriers, including the perception of extensive payback periods and businesses prioritising other investments.

Gareth Stace, head of climate and environment policy at EEF, said: “Managing higher energy costs while maintaining international competitiveness is one of the biggest challenges facing manufacturers today. The most advanced companies are systematically addressing inefficiencies in their buildings and processes to try and mitigate rising costs that come straight off the bottom line. This must remain a focus for all manufacturers.

“The prize of getting it right for companies is significant.

This is not simply because of the direct benefit of reducing costs and improving our competitiveness, but because manufacturers will develop the technologies and services which will help other parts of the economy improve their efficiency.”

Wayne Mitchell, director of industrial and commercial sales and marketing at

npower, commented: “Good energy management happens in the boardroom, and with the cost of energy continuing to rise, making strategic decisions with a trusted energy expert can help a business stay competitive.

At npower, we’re committed to developing that kind of relationship with our manufacturing customers.”

The rise of energy on the boardroom agenda is emphasised by the fact that more than a third of CEOs and managing directors retain control over energy efficiency decisions, with a similar number taking the lead on procurement. While the survey shows that specialists tend to be introduced in companies once turnover exceeds £20m, of all manufacturers surveyed decisions were still taken at board level by half of companies.

The survey also shows that since 2002, the industrial price of gas has increased by 122%[2], while industrial electricity prices have increased by 94%[3]. As such, 96% of businesses cited reducing energy use and addressing cost as the main reason for investing in energy efficiency.

The survey also highlights that manufacturers are taking their responsibility to reduce their carbon footprint seriously. Reducing electricity bills is cited by more than two thirds of manufacturers as the main benefit of investing in energy efficiency, while a similar number see a reduced footprint as the main benefit arising from their energy efficiency investments.

18 February/March 2014 | water energy & environment

BUSINESS PRODUCTIVITY AND ENERGY EFFICIENCY

In partnership with

the report can be downloaded from npower.com or eef.org.uk

“

Since 2002, the industrial price of gas has increased by 122%, while industrial electricity prices have increased by 94%

The positive approach manufacturers are taking to managing their energy use is highlighted by the fact that almost two thirds have already undertaken energy audits, and more than half have adopted lighting efficiency strategies.

In addition, companies are making full use of the suite of advisory services available to them by using energy specialists and contacting organisations such as the Carbon Trust. Additionally, 20% of companies turn to their energy supplier for energy management advice.

Two thirds of manufacturers cited that payback periods are a key barrier to engaging in energy efficiency. To help bring payback periods down, EEF has highlighted the need for the government to review the current Enhanced Capital Allowance scheme as it is currently not meeting the needs of modern investments, especially in niche technologies.

EEF also believes that the government should reintroduce the full Industrial Energy Efficiency Accelerator programme, which focused on the next generation of energy efficiency improvements at a sector level. It would also look at the unique challenges faced by that sector and the opportunities for step changes in how sectors use energy. we&e [1] EEF Executive Survey 2014 based on responses from 192 manufacturers across the UK [2] DECC (2013) UK Energy in Brief 2013 [3] Comparison of 10 year period

theenergyst.com

advertorial

Gas & ElECTriCiTy

Powering tomorrow ‘Source, generate, supply’ is the model the pioneering Drax Group now operates. The group has three principal businesses – Drax Biomass, Drax Power, and Haven Power – working together as one group with the same shared commitment, to provide low carbon, cost-effective and reliable renewable power well into the future. But what does this mean for Haven Power’s customers?

P

art of Drax since 2009, Haven Power has seen impressive growth during this time thanks to its alternative offering and strong parent company. Drax itself has evolved almost beyond recognition, now well on its way to becoming a predominantly biomass-fuelled generator. This transformation will see the UK’s previous single largest source of carbon dioxide emissions become one of the largest renewable generators in Europe.

With these developments, addressing the way the three businesses work together to reflect the changes was crucial.

“Drax Biomass is developing and operating wood pellet plants, Drax is generating renewable power from biomass and we are supplying the power to customers,” explains Haven Power’s sales

“

We want customers to feel in control of how they purchase their electricity Richard Robey

theenergyst.com

and marketing director, Richard Robey. “We want to have consistent values across the group, ensuring we work closely together as one business to deliver financial and sustainability benefits to a growing number of our customers and stakeholders.”

Customer benefits Haven’s customers benefit from having the option of securing power generated from Drax’s biomass facility which is exempt from the Climate Change Levy (CCL).

This is proving extremely popular with those businesses wanting to become more sustainable, particularly as Levy Exempt Power is available at no extra cost compared to power generated from conventional fuel sources.

Approximately 50 percent of the electricity Haven Power supplied in 2013 was on Levy Exempt Power.

“We know that companies value having the option of taking renewable power and a big reason for this is that their customers value it too. It really is a win-win situation,” continues Richard. “In addition,

last year we relocated Drax’s power traders to the Haven office to create a single power trading desk, which sells power into the wholesale market and buys power for our customers.

Drax has no separate trading function which means our customers have quicker access to the live wholesale market prices and ensures we provide them with the best possible rates for their electricity.”

The future One thing Haven is committed to not changing is its customer-focused proposition. Originally set up to properly serve the needs of the SME market – who were traditionally either treated as domestic customers or as I&C – the company has not lost sight of its very personal approach.

“What sets us apart from the large multinational suppliers is that we ensure each and every customer has a named contact, we don’t have a call centre,” says Richard. “Our friendly approach has proved to be a success; we get very positive feedback from customers and consultants so it’s a strategy that we’ll maintain.”

And, as well as making sure customers are treated like individuals, the supplier is also investing in innovative new systems and processes to make the entire power purchasing process simpler and, overall, better for the customer while adjusting proactively as the regulatory regime continues to evolve.

“We’ve just launched an online portal which allows our I&C customers to view their account information at any time of the day or night.

We want customers to feel in control of how they purchase their electricity and also ensure what we offer is completely transparent,” adds Richard.

Haven is dedicated to listening to feedback in order to offer customers what they want and need for their electricity contracts. In 2012, it was the first supplier in the industry to respond to the sudden and dramatic increase in non-energy costs. Larger suppliers find it more different to innovate, but Haven was able to react quickly and updated its product range to ensure customers have a variety of options to choose from depending on their risk appetite or need for budget certainty.

So what’s next from Haven? Richard says: “Apart from seeing our new brand identity appearing across our communications, this year is about continued growth, retaining our existing customer base, and ensuring we keep our customer-focused proposition as we grow.” www.havenpower.com

February/March 2014 | water energy & environment

19

Gas & ElEctricity

Trigger happy The new Market Trigger Strategy combines with brokerâ&#x20AC;&#x2122;s 365-day market monitoring to deliver optimum packages, writes energyTEAMâ&#x20AC;&#x2122;s head of procurement Paul Garratt

E

ergy management consultancy energyTEAM is challenging the traditional thinking that presents businesses with only a stark choice between take-it-or-leave-it fixed rates and higher-risk purchasing on wholesale markets.

Each of these approaches has its benefits: the budget certainty of fixing prices at inception versus the possibility of big savings by following the market.

However, each also has a downside: if your broker leaves it until the last minute to approach the market, you might fix at an unfavourable rate; and predicting open market movements is never going to be an exact science. energyTEAM has recently introduced an innovative strategy for larger users, typically those using in excess of 0.5GWh per annum, whereby energy procurement

managers can now have their cake and eat it. Under the new Market Trigger Strategy, firms are able to benefit from budget certainty for each 12-month period of their contract while gaining access to the flexibility of the wholesale markets.

Clients will make an initial purchase of an agreed proportion of their annual energy. The balance is then acquired on the wholesale markets, using defined market trigger points, over the period of time prior to contract commencement. energyTEAM procurement specialists work closely with clients to define the trigger points at which quotes will automatically be obtained, ultimately limiting the risk of losing out on the best deals or unplanned overspending.

These price boundaries are monitored and kept under review in line with overall market trends to ensure that they remain appropriate to

20 February/March 2014 | water energy & environment

â&#x20AC;&#x153;

The last thing you can afford in this market is to be forced into a last-minute decision

market movements as well as changing client requirements.

The split between energy bought at a fixed price and that acquired on the wholesale markets during the course of the contract is bespoke to each customer, depending on their commercial and operational needs. It also takes into account the nonenergy elements of their costs (network charges etc).

Whichever of our strategic approaches a business chooses, the bottom line is that it is never too early to plan ahead. You should be thinking about your next contract before the ink is dry on your current one, so that your advisers have time to build up an accurate picture of your business and requirements, and can help you to choose the best strategic approach.

The last thing you can afford in this market is to be forced into a lastminute decision. we&e www.energyteam.co.uk

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Empowering positive change We can now get smart apps for almost anything, says Digital Energy’s commercial director Richard Hipkiss. Can we get one for energy and carbon management?

T

he real benefit of any app or application is that it provides a prepackaged approach to achieving a desired outcome.

If you consider the outcomes any organisation needs to achieve positive energy and carbon management, they could all fall into three key categories: energy accounting; stakeholder engagement; and carbon disclosure.

Of course, there could be overlaps in any of those areas. Despite the availability of ISO50001 now as the international standard of an energy management system (EnMS), there are still many definitions offered to us by solution providers and experts as to what constitutes an EnMS. Regardless of whether it is called a BMS, aM&T system or an EnMS, a solution is still fundamentally a group of applications merged together to enable good energy and carbon management, and, probably more importantly, cost reductions.

However, consider applications in a holistic manner, with a helicopter view of all organisational requirements, and the benefits are clear to be seen.

The central, most important application is that of energy asset management. This is very simply best referred to as “one version of the truth”.

It is essential all assets that consume energy, assets that measure energy and related assets need to be in a central register that is maintained by robust process to ensure that every other application can function effectively – too many organisations spend far too much time refactoring an “asset

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Stakeholder engagement can be as wider ranging as required, simple or complex

list” for every new compliance requirement or energy project to the point that it distracts from longer term success.

With your asset register in place, data collection can be organised, again into a single application – it does not matter where relevant information is collected

22 February/March 2014 | water energy & environment

(ERP, BMS, etc). Systems integration can be used to enable the collection of data once in order to use multiple times. Integration does not have to be complex, it does not have to be via expensive hardware as sometimes simple processes can be ample.

With good asset management and all data available within one location different functions are able to use applications relevant to their role requirements to achieve success without conflict.

Financial teams are able to carry out accounting of energy costs and are able to validate

the real (financial) success of investment in energy projects. Engineers are able to use detailed information to track projects and undertake measurement and verification.

Automatic monitoring and targeting (aM&T) features will help energy managers set priorities with alarms, alerts and insightful reporting but maybe more importantly, not spend all their valuable time on administration task.

Sustainability managers are able to manage carbon disclosure, for the Carbon Disclosure Project, Carbon Reduction Commitment or Mandatory Carbon Reporting – or in house corporate social responsibility – without spending weeks preparing the boundary of reporting. Beyond this stakeholder engagement can be as wider ranging as required, simple or complex, owned by technical or nontechnical staff. The approach is not only limited to energy, all utilities can be managed in the same approach, water being the latest consideration for many companies.

What is digitalenergy Professional? digitalenergy Professional is focused on real time data to provide integrated and insightful reporting which generates relevant information sent to relevant individuals.

The digitalenergy Professional merges ERP level information management with the principles of energy management. Unlike in traditional monitoring systems where the user has to find the savings – the savings find the user with this approach. we&e www.digitalenergy.org.uk

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MONITORING & TARGETING New name signals new growth NetThings is the new name of Ewgeco, renowned for its success in the energy monitoring sector. The Scottish energy management firm claims to be poised for significant growth in 2014, bringing to market a suite of new products using an “Internet-ofThings” platform.

The company, based in Edinburgh, is rapidly expanding. It recently moved offices to Scotland’s capital from South Queensferry and has strengthened its team with a raft of new hires in 2013 – with plans to add six additional software engineers to the team early in 2014.

NetThings has developed a flexible internet-based platform that provides the capability to monitor and control a wide range of energy-using devices and equipment, from any web-enabled device such as a smart phone or tablet.

The technology allows users to reduce the wasteful use of increasingly expensive utilities, receiving alerts to mobile phones with options to remotely control devices.

The new products not only provide energy control and management, they can also help look after people. NetThings can monitor whether people are moving around their

home in a normal fashion, or have elevated blood pressure or blood glucose levels, or have not taken their prescribed medication.

NetThings chief executive George McGhee said: “Our new products collect relevant data from everyday devices and send it to the appropriate users allowing them to make decisions and take action. By using the power of the internet, NetThings helps people to better control the infrastructure that they live and work with whether they are on-site or remote to it.

“Our company has the right technology, at the right time, to be a key player in making the ‘Internet-of-Things’ an everyday reality for everyone.”

The NetThings platform was initially developed to help users reduce energy consumption and provide low-cost, simple remote controllers for heating and lighting systems. The company soon realised this technology could also be beneficial in

Sub-metering success Stark has added more than 2,000 wireless connected sub meters to SavenergyOnline, its energy reporting service, during the past 12 months. The meter data is being collected and processed every 30 minutes, providing near real time energy performance reporting to customers.

Stark is working closely with wireless technology partner HWM Radio Tech to deliver a robust solution for multi-occupied buildings, campus and multi-site organisations.

Stark has also announced the release of the latest version of SavenergyOnline. Over the coming year, this major upgrade will facilitate the introduction of a new raft of features and services. In particular, there is a focus on delivering accurate financial reports for budget forecasting and monthly expenditure analysis from half hourly meter data. www.stark.co.uk

other areas such as providing security or monitoring people in assisted living.

The company’s recent developments have sparked the interest of leading worldwide energy services company iSTA. The German firm is collaborating with NetThings to complement its metering, reading and billing innovations in community and district heating systems which are fast becoming a popular environmentally sound means to supply hot water and space heating to urban developments. The UK market in particular is expected to grow dramatically over the next 10 years as a result of the government’s Smart Heat Strategy.

Alex Philbrook, UK managing director at iSTA, said: “As a market leader in heat metering and billing it is important for us to be at the forefront of advancements in technology and we saw an innovative way to do that with the help of NetThings.” www.NetThings.co.uk

Access and enter data on the go Panoramic Power’s Energy Management Solution System monitors electrical energy consumption at the individual circuit level. The solution detects excess usage and provides actionable insights that allow organisations to identify and reduce energy and operational expenses. The new Panoramic Power Mobile App is designed to provide site managers with information on energy consumption at individual sites and across all sites, allowing users to get real-time information about their energy usage, receive actionable alerts, drill down to historical data down to the load type level, view temperature data and more. www.panpwr.com

ATEX gas logger launched HWM has launched its new ATEX Zone 0-rated MultiLog LX IS logger for gas and wastewater applications at the ESTA automatic Monitoring & Targeting event 2014. Certified intrinsically safe for use in potentially hazardous environments, it enables safe use for gas metering, wastewater monitoring and combined sewer overflow (CSO) applications. The batterypowered MultiLog LX IS brings reliable wireless datalogging and telemetry to even the harshest environments. www.hwm-water.com

24 February/March 2014 | water energy & environment

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Tinytag Data Loggers Help Improve Energy Efficiency Environmental monitoring and analysis of results will help identify areas for improving energy consumption and reducing costs. The robust battery operated units may be used locally or throughout a building to costeffectively monitor single and three phase power usage, temperature, humidity and CO2.

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viewpoint

Building the evidence base Increasingly, making the best decision relies on convincing decision makers that there is some evidence supporting a proposal, as ESTA’s Richard Hipkiss explains

A

fter the wettest winter on record, and as the flood waters recede agonisingly slowly, thoughts turn from managing the disruption to mitigation (and to a certain extent, to adaptation).

Forecasting also comes into the equation. This winter was one of the warmest on record and the potential impact of climate change on temperatures and the frequency of severe weather events needs to be taken into consideration in future planning.

What has that to do with energy management then?

Well, the connection with climate change and its mitigation is an obvious link but I want to draw attention to another aspect of this issue.

The search for the most effective strategy for minimising the likelihood of flooding has sparked a wide range of views and suggestions. Commentators, from water experts to land management specialists to politicians are all putting forward their preferred solutions to the problem – and they go much wider than just calling for more dredging of rivers.

If the chosen options are not to be a waste of money, then they have to be properly evaluated for impact and efficacy. And the evidence to support the case for one option rather than another has to be presented at the time the proposal is made. Without any evidence, solutions are more akin to wishful thinking rather than sensible planning.

Over the past decade or so, there has been a significant

shift in the direction of “evidence-based decisionmaking”, notably within government. It could be argued that the private sector has always used this yardstick but it too has had its share of spectacular exceptions!

A motto for many in the energy management industry over the years has been Lord Kelvin’s famous principle: “You cannot manage what you cannot measure”. While that still holds true for energy management – and the industry’s reliance on classical techniques such as monitoring and targeting suggests the approach is as relevant today as it always was – there is now an added reason for such a focus.

The data amassed in this way can provide the evidence needed to convince senior managers of the robustness of a business case. In an evidence-based environment, a lack of evidence can fundamentally prejudice a proposal. As energy professionals we know that prudent investment in energy efficiency can save money for organisations and help protect the environment.

26 February/March 2014 | water energy & environment

“

In an evidencebased environment, a lack of evidence can fundamentally prejudice a proposal

So it is vital that we use the available evidence as a means of making the case for improved energy performance as strong as possible.

That is why ESTA has been championing the case for newer technologies such as automatic monitoring and targeting (aM&T) and for the incorporation of formal measurement and terification techniques within organisations. In this regard it was pleasing to see markedly increased interest (and registrations) for ESTA’s annual aM&T conference at the end of February. This is a very powerful tool in not just aggregating data but also analysing and interpreting it. And the message seems to be getting through.

In today’s world, evidence – and the data underlying it – is the preferred way of filtering options when considering what to do and where to invest.

Sometimes all the data is not there, or is not conclusive – the continuing arguments about climate change are witness to that – but in general, a proposal backed by evidence has a much better chance of success than one without that underpinning.

Energy management has always analysed data in order to improve performance.

Now it needs to apply the same data to win greater investment. we&e Richard Hipkiss is chairman of the Energy Services and Technology Association. ESTA represents more than 100 major providers of energy management equipment and services across the UK www.esta.org.uk

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show news

Even more ‘motive’ to visit DFA Media’s five exhibitions will provide access to seminars and exhibitors in manufacturing from upstream oil and gas to maintenance. From an energy point of view, Drives and Controls and Air-Tech provide an insight into some industrial energy-saving technologies

A

ir power is the second most widely used source of motive energy in the world, preceded only by electricity. And for several years now, designers of pneumatic equipment have benefitted from renewed demand as a result of the introduction of electronic controls and intelligent automation products within some pneumatic plant and equipment. There is also increased awareness in new application areas such as equipment that can be operated through Bus systems and over the web.

Additionally, end users are increasingly demanding complete pneumatic solutions and, with this in mind, are outsourcing the design of their control systems to pneumatic suppliers. Consequently, more and more suppliers and manufacturers will develop partnerships both to design customised end-to-end

Drives & Controls Electric motor-driven systems comprise 40% of the world’s total electricity consumption. Despite this, many businesses are unaware of the technologies available that have the potential to significantly reduce their energy costs, and in turn the global demand for electricity by 20-30%.

Drives & Controls will cover the very latest in mechanical power transmission, motion control and automation.

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pneumatic solutions and to reduce delivery lead times.

Air-Tech 2014 (NEC Hall 3/3A, Birmingham, 8-10 April 2014), which is free-to-attend, will cover current key themes related to the very latest in air compressor and related technology from leading companies from around the globe. Some of the products and services you can see at Air-Tech 2014 will include: n accumulators, actuators, air delivery systems and air motors;

n compressors, cooler tools and cylinders; n vacuum and generators; n displays and meters; n filters, fittings, heat exchangers and hoses. n instruments, lubricators, manifolds and mobile compressors; and n pumps, regulators, sensors, software and valves.

Just some of the equipment, systems and services offered by these companies will include: n motors; n drives; n machine safety; n sensors; n programmable controllers; n inverters; n motion controls; n repairs and maintenance; n gear, brakes, clutches and couplings; n displays and meters; and n test and measurement.

programme of free technical seminars, with speakers offering insight and practical advice. New to Drives & Controls 2014 will be the Motor Driven Systems (MDS) programme, which brings together the varied strands of legislation, standardisation, system strategies and technological developments that affect motor driven systems. Featuring representatives from the UK government, the EU, research bodies, trade associations, manufacturers and end users, MDS focuses on practical solutions to real-life industry requirements.

seminar programme Complementing the exhibitions will be a full

seminar programme Complementing Air-Tech and its co-located exhibitions will be a full programme

of free technical seminars, with speakers offering expert insight and practical advice on important and topical issues within industry. More information on the 2014 seminar lineup will soon be available. The Air-Tech and Fluid Power & Systems seminars are sponsored

by Gardner Denver.

Ian Atkinson, managing director of event organiser DFA Media, said: “For 2014 we will build on the success of our 2012 shows by further improving the look and layout of each exhibition within our co-location of events, as well as making it as easy as possible for visitors to navigate their way around. We will also further enhance the format of our valued seminar programme for next year.” we&e n For more information and regular updates on the show, please visit www.airtech-expo.com MDS presents a series of live events that focus on ways to make the huge energy savings that are available a reality by applying a systems engineering approach to reduce energy, improve performance and ultimately save money. www.drives-expo.com n These two shows will once again be co-located with Plant & Asset Management, together with Fluid Power & Systems Exhibition and the newly launched European Offshore & Energy Exhibition, as well as MACH and National Electronics Week.

February/March 2014 | water energy & environment

27

Viewpoint

Energy efficiency: money for nothing without subsidy The idea that companies need to be bribed to even consider the idea of saving money has become imbedded in the corporate culture, argues Energy Managers Association CEO Lord Redesdale

w

hen financing energy efficiency, one is investing in something ethereal. Something that does not exist yet has a high value. This has always been the thorny knot investment committees have hitherto been unable to grasp. The fact that in most companies the simplest way of increasing its profit margin is to reduce energy costs has not been recognised. There is a lack of knowledge at all levels of UK commerce.

Energy efficiency is not seen as cost effective without subsidy. At several financial institutions the availability of subsidy is required before a project is even considered. The idea that companies would need to be bribed to save money has become almost imbedded in the corporate culture. Ridiculously short periods for payback are a product of this thinking.

This mentality is outmoded.

Rapidly increasing energy costs and the lack of government support to fund subsidies models are the two key factors which will ensure the energy efficiency marketplace will largely be subsidy free over the next decade. These developments should be seen an opportunity rather than a burden.

Subsidy distorts the marketplace. The solar thermal panel market provides a pertinent case study. The government gave the industry

approximately £400m to install panels. In practice, when a year’s fund had been allocated, those considering installing would wait for the next round of subsidy – delaying efficiency.

The recent problems with FIT on photo voltaic panels provide a variation of this theme. DECC placed far too high a value on solar PV FIT subsidy. This caused a massive surge in the number of installations fuelled by financiers investing in product just to claim the subsidy.

The volume of applications saw funds earmarked for subsidy spent five times over. Consequentially the government was forced to drastically reduce the subsidy leading to a market crash.

Although large numbers of panels were installed initially, the boom-bust nature of the market has damaged the short to medium prospects of that industry.

The availability of finance for energy efficiency will be crucial

28 February/March 2014 | water energy & environment

to companies trying to lower their energy bills. Companies that have a balance sheet that can sustain investment will look to the demand side as a means of cutting bottom line costs; but this does not aid companies with restrained capital investment budgets. However,

“

Furthermore battle-scared ESCOs have largely learnt the lessons of the past and are delivering more solid products.

Compulsory energy efficiency audits enshrined until the Energy Savings Opportunity Scheme (ESOS) due in 2015 will certainly focus the minds

If a board of a company does not spend time understanding its energy costs and saving opportunities, are its directors meeting their fiduciary duties under the Companies Act? other organisations may well be interested in doing the work for them. Energy servicing and contracting models are coming back into fashion with many ESCOs looking to invest in the area. Performance contracting has a chequered history but there is a new impetus and legislative push, both nationally and at the European level, to develop this marketplace.

of company directors on what measures are available. There is also the moral imperative.

If a board of a company does not spend time understanding its energy costs and saving opportunities, are its directors meeting their fiduciary duties under the Companies Act? When directors feel they could and will be questioned by shareholders over lack of energy reduction measures or plans, the issue will become a much higher priority.

However it is funded, with or without subsidy – and I suspect the latter – energy efficiency is going to become not just a greenwash item but a real business priority. we&e Lord Redesdale established the Energy Managers Association in February 2012 and it now represents energy managers from companies with a collective energy spend of about £3bn

www.theema.org.uk

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HVAC

Going through a cool phase Monodraught’s ceiling-mounted low-energy cooling and ventilation system, featuring phase change material technology, has been installed in a laboratory at Bournemouth University to provide a more comfortable, environmentally friendly and energy-efficient atmosphere for students

T

he second-floor laboratory at Bournemouth University’s Christchurch House regularly accommodates up to 70 students at the same time.

With Bunsen burners and fume cupboards being used throughout the day, and students each generating 100W of heat gain, combined with substantial levels of CO2, there were ongoing problems with the 100 sq m space due to poor indoor air quality.

While the laboratory was fitted with windows, its second-floor location meant that restrictors were fitted; so the limited amount of fresh air entering the space was not enough to reach all areas of the “deep-plan” space.

The university’s Estates Department decided it was time to address the problem and the Henderson Green mechanical/electrical engineering consultancy based in Southampton, which supplies design services to Bournemouth University on a range of projects, was

briefed to improve environmental conditions within the space.

Henderson Green managing director Russell Pitman says first thoughts involved traditional approaches such as AC units or a roof-mounted air handling unit pumping fresh air into the laboratory.

But having discussed options with the university’s Environment & Energy Team it was decided to investigate alternatives that would also provide a low carbon solution.

Commenting for the university, Estates Department energy officer (technical) Dave Archer says that during the initial search he came across a Cool-phase article in a HVAC journal and decided to add the new system to the list.

The Cool-phase system, which reduces the running costs of buildings and creates a fresh and healthy indoor environment without compressors or hazardous coolants, can maintain temperatures within the comfort zone, while reducing energy consumption by

Cool-phase ‘ticks every box’ for Bournemouth University

30 February/March 2014 | water energy & environment

up to 90% compared with conventional cooling systems.

Henderson Green was then asked to undertake a feasibility study to establish whether Cool-phase could handle the two key objectives – the fresh air requirements and the cooling load – and Monodraught was asked to design the system and provide calculations to confirm it could achieve the required flow rates, etc.

“

smoothly, the project was delivered on time, with a minimum of fuss and no real issues, and commenting on the Cool-phase itself he says it is almost too good to be true because it ticks every box.

Regarding the consultation period, he says Monodraught was very flexible in incorporating changes the university team wanted to make to the initial calculations.

The Cool-phase system can reduce energy consumption by up to 90% compared with conventional cooling

Says Mr Russell: “We reviewed, and eventually tested, Monodraught’s Coolphase system against the air handling option and found that from the energy-saving viewpoint Cool-phase won hands-down, with relatively little increase in cost.

Encouraged, we then went into a more detailed phase with Monodraught to ensure that the initial calculations matched the requirements of the space in everyday operational conditions.”

Once the air quality calculations and financial appraisals were completed and the university was satisfied that the system would do the job, Cool-phase was given the green light and two systems were installed in the laboratory by Monodraught, as part of a turnkey contract with one of the university’s approved building contractors.

Commenting on the installation, Mr Pitman says everything went very

He says: “Work to install the two Cool-phase systems was carried out over four days, and even though some minor structural issues were encountered, the work didn’t stop – Monodraught’s team worked around the problems so that everything went smoothly and the job was delivered on time.”

He adds that, besides improvements to the laboratory environment, the Cool-phase system is also very quiet in operation, which is ideal in a space that is used for lectures.

Mr Archer says Monodraught Windcatchers and Sunpipes are located in other areas of the campus and they have also proved to be effective. He also anticipates that at the end of the first year the data will enable the Cool-phase software to optimise the system’s performance to best suit the laboratory space. we&e www.monodraught.com

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Sponsored column

Space Airconditioning plc, the UK Daikin Distributor, comments on matters currently impacting on the air conditioning industry

Switching batteries’ negatives to positives

M

any of the world’s leading vehicle manufacturers are moving away from petrol and dieselpowered cars and towards the production of a new wave of electric cars to improve green credentials and carbon efficiencies. This will ultimately reduce the effects of global warming and improve the image of the automotive industry. However, pioneering developments in this industry inevitably come with a price.

Russ Baker, sales director at ICS Cool Energy, explains the technology behind the batteries in electric cars, and how ICS Cool Energy is using temperature control solutions to improve battery life.

“Batteries used in electric-based cars rely on IBC (intelligent battery conditioner) electrolytes which, as well as being expensive (in the region of £40,000 per IBC), have an incredibly short shelf life of approximately one or two days when stored at 20°C. This is obviously not ideal, so by storing the batteries at 0°C, we can extend battery shelf life by up to 20 days.

“In order to maintain large volumes of electrolytes

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in full-scale production, a system of controlled cooling is required. Providing such a change in temperature requires cold storage that needs to comply with strict zoning, and externally sited facilities need to be designated in relation to ATEX-rated zones to prevent any potential disruptions to production.”

ICS Cool Energy recently supplied a cold store to a global car manufacturer looking to upgrade its UK production site to accommodate the latest range of electric cars.

Mr Baker continues: “Our engineers provided a temporary 10 x 6m externally sited cold store which had enough space for 10 IBCs (a standard IBC measures 1.0 x 1.2 x 1.8m), allowing for convenient stock management and access to units, facilitating the regular movement of the next available IBC and minimising potential losses, as well as providing direct access to forklift and pallet equipment. The cold store was situated next to an ATEX rated zone and modular in design which provided a safe and secure storage solution for the valuable stock.” we&e www.icstemp.com

Doing inspections makes economic sense As chairman of the HEVAC Air Conditioning Plenary Committee and vice-president of the Heat Pump Association, Mike Nankivell* is closely involved with industry regulation and legislation and here he outlines the law regarding regular air conditioning inspections.

The Energy Performance of Building Directive (EPBD) – Air Conditioning Inspections legislation implicates any building with an air conditioning system that has a rated cooling output greater than 12kW. For the UK this means that pre-2008 buildings with air conditioning systems having a rated cooling output greater than 250kW should, by law, have had its first air conditioning inspection by 4 January 2009.

If the system has a rated cooling output greater than 12kW but less than 250kW the first inspection should have taken place before 4 January 2011. The only exceptions to these legal requirements are for systems installed on or after 1 January 2008, which had/ have five years to arrange an inspection. A/C inspections are then required to take place at five-yearly intervals.

The economic downturn and absence of government-funded publicity or active policing have been blamed for building owners and operators failing to satisfy these legal obligations. At the moment the “spot” fine for non-compliance is £300.

Latest estimates suggest that fewer than 5%, of buildings in scope have had their A/C inspections carried out.

However, if non-compliance

is being driven by economics, building operators need to understand that this legislation could actually help them make significant savings in running costs and enhance the value of their properties.

Replacement of systems using HCFC refrigerant gas With so many installed air conditioning systems being quite old and relatively inefficient compared with technology available today, substantial and cost effective improvements can be achieved.

Moreover, many older systems operate with an HCFC (R22) refrigerant gas, the use of which, for maintenance and servicing purposes, will be banned at the end of this year and so replacements for these systems really need to be on the agenda sooner rather than later.

Encouraged by industry institutions and associations, the government is actively looking at how to improve compliance with the air conditioning inspections law, as UK plc is a risk of attracting substantial fines in the event that European Directives are not effectively implemented.

So the watchword is “beware”, 2014 could see much more pressure on compliance with the air conditioning legislation.

Excellent guidance is available from the Space Air website: www.spaceair.co.uk. Click on news/general news/ Regulations & Directives * Mike Nankivell is marketing director of Space Airconditioning.

February/March 2014 | water energy & environment

31

HVAC

Community heating interest Stokvis heat interface units are meeting high demand for district heating in the UK

S

tokvis Energy Systems is continuing to receive keen interest from across the residential sector for its H-series heat interface units, after launching them last April.

Available in single plate and dual plate versions to suit different options within a dwelling, the heat interface units have been developed by Stokvis specifically to meet the rising demand for communal or “district” heating systems.

This centralised approach to the provision of heating and hot water is ideal for social and private apartment buildings, student accommodation or sheltered housing schemes.

Not only are capital costs reduced, but they avoid the need for an annual gas safety inspection to be carried out within individual properties.

Paul Sands, sales and marketing director of Stokvis Energy Systems, comments: “District heating failed to make the impact here in the 20th century the way it caught on in Europe – generally due to poor design and installation work – but

it really does make good economic and environmental sense. Councils and housing associations no longer have to get tenants to agree to admit gas engineers for safety checks, while our H-series interface units provide

the dwelling; possibly in a communal corridor. The mains, carrying low or medium temperature hot water, will be provided from a central plant room featuring either high efficiency gas boilers, a combined heat and power unit, biomass boilers or even heat pumps.

The Econoplate H2 (twin plate) units divide the mains or communal hot water circuit from that on the dwelling with two separate plate heat exchangers for the heating and domestic hot water. Then with the H1 version the space heating is provided direct by the district mains while a single plate heat exchanger supplies hot water. It is also possible to incorporate an indirect hot water cylinder.

Stokvis Energy Systems expects to see many more new dwellings provided with their heating and hot water in this way as social housing providers and developers look to control installation costs, and specifiers seek further energy savings as legislation drives the low carbon agenda. we&e www.stokvisboilers.com.

controllable heating and hot water along with monitoring for billing purposes.”

In practice, the heat interface unit can be located within a kitchen cabinet or in a service cupboard that is accessible from outside

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hvaC

The whole story Heat recovery systems that deliver high levels of comfort with lower energy costs and CO2 emissions are at the heart of efficient whole building climate control, says Martin Passingham

C

hanges to Part L of the Building Regulations, due in April, will have a wide impact, demanding a 9% increase in efficiency for nondomestic buildings compared with the 2010 Regulations.

This, combined with the CRC scheme (which will see the cost of carbon “allowances” rising by 33% for 2014-15), is providing extra imperative for building managers to improve energy efficiency.

As a result, organisations are looking at fully integrated climate control systems incorporating heat recovery to improve energy efficiencies.

Heat recovery systems integrate heating, cooling, ventilation, air curtains and hot water, recovering “free” heat from areas requiring cooling and using it to heat other areas and provide hot water. These solutions can deliver high levels of comfort, while dramatically lower running costs and carbon emissions in both new and refurbished buildings.

Daikin’s VRV heat recovery systems are suitable for any size of building, particularly medium to large commercial spaces. They are regularly installed in offices, hotels, restaurants and bars, leisure centres, healthcare environments,

vRv configurator software simplifies installation and commissioning

shops and public buildings.

The latest version of the system, VRV IV, is on average 28% more energy-efficient than its previous incarnation. VRV IV features three revolutionary innovations – variable refrigerant temperature technology, continuous heating during defrost and the VRV configurator.

Variable refrigerant temperature technology allows the system to respond to heating or cooling requirements by monitoring the required capacity and weather conditions. By continually adjusting refrigerant temperature to match heating or cooling demand and the outside temperature, less power is needed, efficiency is increased and comfort is improved. An added benefit is that higher refrigerant temperatures prevent cold draughts.

Continuous heating during defrost also improves comfort, avoiding a drop in indoor temperatures during the defrost cycle that can happen with other systems.

The result is a system that runs more efficiently, keeping occupants comfortable.

34 February/March 2014 | water energy & environment

As well as efficiency, it is important to consider how flexible a climate control system is to cope with changes in building use, internal layout or occupant needs.

Modular systems such as VRV IV are ideal, as not only can they be scaled to fit the size of building, they can also be adapted to meet future demands. For retrofit projects, they can be installed floor-byfloor to minimise disruption.

VRV configurator software, introduced with VRV IV, simplifies installation and commissioning, allowing remote configuration of settings across multiple sites, making it much less timeconsuming to set up outdoor units. Ongoing maintenance is easier, thanks to a intuitive graphical interface, allowing engineers to evaluate operational data and errors quickly and accurately.

Integrating heat recovery with other building systems using intelligent controls can improve overall efficiency and reduce energy use further. In fact, intelligent control of a heat recovery system is crucial, as this allows monitoring zone-

“

VRV IV is on average 28% more energyefficient than its previous incarnation

by-zone within a building, ensuring that heating, cooling and ventilation levels are optimised to maximise comfort.

Interlocking climate control with other equipment saves energy and increases comfort. For example, interlocking climate control with keycard control systems and presence sensors to detect room occupancy allows the automatic change of the setpoint or climate control to be switched off in unoccupied rooms.

Integrating heating, cooling, refrigeration, hot water provision and ventilation is a way to improve energy efficiency, lower CO2 emissions and save on energy bills and surrendered carbon allowances. we&e Martin Passingham is product manager, DX at Daikin UK www.daikin.co.uk

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Stokvis Modupak Jan 2014_Layout 1 23/01/2014 14:50 Page 1

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Wall mounted

Combining the highest degree of material quality with intelligent technology.

• Allowing for substantially optimised transfer of heat • Setting new standards of efficiency • Corrosion-resistant stainless steel guarantees much less wear and tear • Can be quickly installed • Almost unlimited configurations of boiler size and number • Units can be located against a wall, free-standing or back-to-back • Modupak can be made up from a selection of any of the R40 boiler models • Up to eight boilers can be combined with one another in a cascade operation Free standing

THE CONSULTANTS AND CONTRACTORS CHOICE. For further information or to receive a technical guide tel: 0208 783 3050 or email: info@stokvisboilers.com

www.stokvisboilers.com

Looking for answers to your energy questions?

Find out how to reduce energy costs by: • Using existing, economic technology • Improving site management, operations, maintenance • Using legislation like Carbon Reduction Commitment to your advantage • Gaining funding for good projects

Ask ESTA how to identify approaches that will work on your sites and reduce costs now.

For all the advice and guidance you’ll need visit us at www.esta.org.uk

outsourced energy management

On-site low carbon energy generation – Dalkia’s technical manager Derry Carr asks what practical choices are available for on-site energy generation

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usiness managers are constantly looking for ways to provide more efficiency and, of course, profitability. Energy and utilities vital to support the manufacturing processes and maintain output and product quality represent a significant part of the production cost.

There are now many more choices for manufacturers to consider when looking at optimising their on-site energy and utilities systems but faced with the need to reduce and manage costs, and to lower carbon footprint.

When looking at the options the best starting point is to review what a site actually

requires in terms of heat, steam, hot water and electricity and model this to determine the load profiles on an hourly, daily and seasonal basis. Combining this analysis with projected future needs and any specific carbon reduction targets will provide an indication of which technologies will suit an application. Payback on investment and potential cost savings are also of prime importance and these factors will also favour some solutions over others.

There are a number of proven technologies that can deliver robust solutions for delivering energy streams to a site. Biomass and biogas-fired

energy plant can deliver carbonneutral generation of steam, hot water and, in the case of CHP, electricity. Modern mains gas-fired boilers and CHP also deliver high efficiencies and can yield significant carbon and cost reductions.

Combustion of biomass has been used by industry for hundreds of years and has now been developed into an efficient method of generating carbonneutral energy needed by a production plant. In common with all solid fuels there are certain operational factors to consider before implementing this type of scheme.

When generating industrial steam loads, biomass boilers

are best suited to applications where the load profile is consistent and stable. Biomass boiler technology, which is derived from coal-burning plant, has a relatively long runup time which means that it is not a direct replacement for mains gas fed systems. The site location and space constraints are also a very important factor – biomass in the form of pellets, wood chips or straw has a high volume so it will demand a larger footprint for storage and allowance needs to be made for regular delivery.

Systems conveying biomass can give rise to dust and the system design and location needs to take account of

“

The wood pellet-fired boilers reduce Dairy Crest’s carbon emissions by 60%

36 February/March 2014 | water energy & environment

theenergyst.com

– making the right choice this and the need to keep it dry as damp biomass will impact the combustion efficiency. Quality, consistency and fuel supply must be accounted for to ensure the system delivers the required energy flows. Like all solid fuels burning biomass does increase particulate emissions which need capturing through the commercially available filtering systems.

An industry recognised biomass steam plant is successfully delivering the benefits of carbon-neutral energy to the Dairy Crest creamery in Davidstow. The site makes 55,000 tonnes of cheese per year and uses more than 100,000 tonnes of steam in the process.

To meet its pledge to achieve a 28% group carbon reduction by 2020 Dairy Crest wanted to use renewable energy for the provision of steam required in the cheese making operation. In 2010, Dairy Crest commissioned Dalkia to design and construct a 12MWth biomass steam plant that could supply the steam requirements for the pasteurisation and drying processes vital to cheese and whey manufacture.

Implementation of the scheme was quick – construction started in May 2010 and the plant was burning biomass 10 months later with full steam delivery achieved within one year.

Dalkia’s solution is based on

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management to ensure wood pellet-fired boilers that consistent generation of the reduce the factory’s carbon necessary biogas. Anaerobic emissions by 20,000 tonnes digestors need to be fed with a a year. This lowers Dairy consistent supply of material Crest’s site emissions by 60%, to derive the required biogas and delivers a 12% reduction output. To protect the energy in Dairy Crest’s overall plant from contaminants in carbon emissions – a major the biogas good gas cleaning step towards meeting the equipment is important. commitment to achieve 28% Cannington Cold Stores carbon reduction by 2020. operates a 9,000 pallet facility Dalkia’s ability to produce in Bridgwater that provides and deliver the supply of frozen, chilled and wood pellets made from ambient storage waste wood was a and wanted a strong point of renewable its proposal. solution To ensure to provide continuity of energy to fuel supply The size of Dairy support its and control operations. fuel price Crest’s biomass With this aim fluctuations steam plant Cannington Dalkia supplies looked for a biogas fuel from dedicated CHP plant solution wood processing mills fuelled from by-products which ensures that the biomass such as yogurt and fruit energy centre will meet its juice residues, and maize supply obligations now and and grass silage, by feeding into the future. The energy this through an anaerobic centre is fuelled using wood digester to provide biogas. pellets manufactured from Electricity and heat was UK-sourced life-expired wood, required for site usage with which reduces the landfill the capability to export burden and recycles wood electricity to the grid when which has no further use. appropriate. Dalkia’s specialist Biogas, derived from the CHP team at Cogenco assisted anaerobic breakdown of Cannington Cold Stores with organic matter such as food the design and installation waste, can deliver some of of a modular biogas-fired the advantages of mains CHP system designed gas but in a carbon-neutral to provide the required way. Like mains gas it can electricity and heat flows. be used in energy plant To provide the necessary that requires a more rapid biogas fuel Cannington reaction time and can meet invested in developing a load profiles that have distinct biogas digester/process peaks. It can also be used to system based on engineering fire engine based combined advice from Cogenco. Using heat and power systems. the experience gained from Like biomass, some factors more than 80 operational have to be reviewed before biogas CHP systems Cogenco adoption of the available has carried out significant technology. Anaerobic development of this digestion plant generally technology to build biogas occupies a sizeable footprint CHP systems that are robust and requires careful

12mWth

canninton cold stores uses the waste on-site, avoiding the need for road haulage

and reliable. Generation of electricity and heat is derived from four 342kWe CHP units and one 2MWe CHP unit that provide the site electricity with the electricity surplus exported to the grid under a ROC. Heat from the CHPs feed the digesters to run the biogas generation process and optimise the biogas generation. Using the food waste to generate biogas means that landfill is avoided, which reduces potential methane damage to the atmosphere. By using the waste, on-site road haulage to remove the waste is avoided, which cuts emissions from multiple vehicle movements, reduces congestion and also limits heavy haulage.

As these examples demonstrate, there are a number of ways of generating renewable on-site energy that are practical alternatives to mains gas-fired plant.

Gaining the full advantages of these emerging technologies needs careful technical and commercial analysis to ensure the energy plant successfully delivers the site’s needs.

More importantly, the right expertise and experience is needed to design, operate and maintain the plants and meet investment, running cost and carbon reduction objectives. we&e www.dalkia.co.uk

February/March 2014 | water energy & environment

37

BoguS PRoductS/BuIldIng contRolS

Too good to be true?

The concluding part of an article in which Vilnis Vesma describes the hallmarks of bogus energy-saving products and how to resist sales pressure

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n the previous issue I discussed five of the 10 hallmarks of a suspect product offering: failure to adhere to the known laws of science; implausible percentage savings claims; extreme ease of installation; being dismissive of established test methods or expertise; and analysis based on indirect measurements like reduced running hours.

I will now go on to discuss the other five hallmarks in greater depth but I need to reiterate that no single hallmark is sufficient proof; and some of them apply to perfectly genuine offerings. My suggestion is that you should look for, say, four or more of the 10.

The other hallmarks are: 6. Secret ingredients or principles of operation Claims based on secrets are, by their nature, hard to assess in principle, so secrecy is the perfect cloak for trickery.

However, if you are looking for a way to deter a persistent salesman, you can use secrecy against them. Just fall back on a health and safety argument.

Ask for toxicity and materials compatibility tests on any chemical constituents. And if somebody tries to sell you a magnetic device so powerful that it can affect oil or gas, ask for information about its effects on human tissue and body fluids.

7. Reliance on being patented as proof of effectiveness Have a look and see where the product is patented (if indeed it really is – sometimes vendors lie). If it is patented in the UK, at least it is probably based on accepted scientific principles. If the product

“

Just remember, though, that IPMVP cannot be used to validate a technology in general. It strictly covers the evaluation of a specific installation

38 February/March 2014 | water energy & environment

is only patented in other countries, it could be spurious because not all national patent offices are equally rigorous.

And if the patent refers to secret or even unspecified materials or arrangements, you can be sure you are looking at a dud because the essence of a proper patent is that it discloses enough about the invention to enable somebody with relevant skills to reproduce it. It shows that it can be made, and how. It does not, however, imply (let alone prove) that it would work.

8. Heavy reliance on testimonials I have to be careful here because good products

are promoted on the basis of testimonials, too. On the whole, testimonials that are purely qualitative (“the installer came at the promised time and cleaned up thoroughly afterwards”) can be believed. Quantitative ones (“we saved 30% off our gas bills”) are weak.

Very few end users have the measurement and verification skills necessary to make such a claim credible. Could I just thank the hostages who smuggled out the truth in their testimonials: “The savings were unbelievable.”

Fraudsters are canny. They can harvest true testimonials from cases where there are claims based on secrets are, by their nature, hard to assess in principle.

Ask for toxicity and materialscompatibility tests on any chemical constituents

theenergyst.com

professors, if they exist, do apparent savings while not always check carefully ignoring the cases where what is published over their there was no effect or where signatures, and the reports consumption increased. And do not always stand they can blackmail their up to independent customer: who scrutiny. wants their boss to learn that Antidotes they would not endorse Number of hallmarks If four or more of the a product or more applying 10 hallmarks on which that would justify apply, you they had you saying ‘no’ would be forked out a justified in large amount of saying “no” to their employer’s a sales proposition money? In the 1990s on the grounds that you one case was reported to me do not find it believable. where employees of blueBut what are you to do if chip companies were even you have a pushy salesman on offered “access payments” one hand and a board member (bribes in other words) to who has been nobbled by show prospective customers the vendor on the other? their installations.

The Advertising Standards 9. literature plastered Authority made a ruling with ISo9001 and other against a company called Blue certification logos Carbon in relation to a soSometimes it seems only called “current optimisation” the 25-yard swimming device. The ASA took expert certificate has been left advice on its behalf, exposed out. I have seen a product’s flaws and contradictions ranking in an obscure onin the company’s adverts, line popularity poll used to and instructed it to stop establish its credibility under making energy-saving the headline “It’s official!” claims without holding One of the things sometimes substantiation for them. used to lend credibility is a If you feel suspicious reference to the International about a product and the Performance Measurement salesman won’t let go, you and Verification Protocol can contact the ASA and (IPMVP). Just remember, challenge whether the though, that IPMVP cannot be claims made for it in adverts used to validate a technology (including web pages) can in general. It strictly covers be substantiated. But maybe the evaluation of a specific you don’t need to go that far. installation. Therefore any Just show the salesman generic claim of savings the ASA’s adjudication based on IPMVP should on Blue Carbon and ask be treated as misleading. them if they really want to 10. dense academic take things further. I have research reports provided a link to the case Aware of the skepticism which on my website: look for greets their pseudo-scientific “bogus products” under “B” explanations of secret (and in the A to Z index. we&e yet patented) technologies, Vilnis Vesma (vilnis@ vendors sometimes add vesma.com) is a chartered scientific research reports engineer and certified energy to the mix. To add further manager who provides weight, the reports’ authors information, guidance and are often professors and held training for people whose out to be “world-leading” job is to save energy authorities. Sadly, these

Free energy health check

4

theenergyst.com

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uilding and energy management specilist ABEC is addressing the energy efficiency of buildings head-on by offering organisations a free energy health check.

The health check is suitable for all buildings – from offices, to retail spaces, data centres, leisure facilities, hotels, schools and hospitals.

Upon completion of the health check, an organisation can expect to receive a report benchmarking the energy use of the building and any savings that stand to be made against a typical building of the same size and type in the same area, under CIBSE codes.

The benefit of a health check on a building’s energy use is that organisations can gauge the potential for savings, without committing funds to a full audit. In turn, the information available from ABEC’s energy health check can be used to drive energy efficiency through building controls and upgrades onto the business agenda.

Andy Dyke, technical director of ABEC, says: “No building works as efficiently as it could, no matter what the design or age of the structure.

This is because inefficiencies creep in gradually over time, both as a result of the natural degradation of building fabric, plant and equipment, as well

as a result of operational errors and a lack of awareness by occupants. This could be called ‘energy decay’.

“By undertaking a free energy health check with us, organisations can start to push energy efficiency measures onto the agenda, without making initial outlays. Too often simple energy reviews are ignored due to fears of complication and an initial cost commitment, neither of which are the case with this offer.

This approach complements initiatives such as the government’s Soft Landings, which aims to ensure new building occupants have a full understanding of plant and equipment from the outset.”

If an organisation wants to progress with ABEC, the company has a range of maintenance and engineering packages available, while it can also respond flexibly to individual clients’ needs, tailoring services to suit these.

ABEC, which stands for Automated Building & Energy Controls, was formerly The Automated Building Controls Group. The change reflects the increasing importance of energy at the heart of building performance and the key role building controls have to play in driving efficiency for clients’ cost and carbon savings. we&e www.abec.co.uk

February/March 2014 | water energy & environment

39

building controls

How much do sensors really cost?

Alan Braybrook, the sales and marketing director at Sontay, explains what specifiers should be looking for when assessing value for money in HVAC sensors

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ou’re planning a holiday and have found some cheap flights through a budget airline. Fantastic, so let’s start the booking process.

First, we need to add extra costs for luggage, then there is a bit more for seat selection and, finally, the dreaded booking fees. After the whole process those cheap flights are looking more like the cost of the expensive operators.

Factor in that the airport could be 100 miles away from the city you want to be in and the costs keep rocketing.

This value assessment translates well into the world of HVAC controls, and specifically sensors.

These devices are vital as the eyes and ears of any control system. Yet comparing products like for like is a challenge. At a basic level, the cheapest sensors require extra components, priced and supplied additionally, to deliver the same functionality as a more expensive product. Factor in the time and installation cost required to achieve

these equivalent results, and what appears initially to be the cheapest sensor clearly does not equal best value.

Selecting the lowest cost sensor can also bring with it the increased risk of compromising on long-term measurement reliability and performance stability.

Accounting for just 2% of the budget for a whole project, room sensors themselves are not always the main focus of attention when it comes to selecting and specifying the building control system.

However, device failure can lead to the time and cost of unnecessary call out and product replacement issues, alongside the unwanted cost of reputational damage to the specifying contractor and consultant.

The industry needs to navigate its way away from single-use sensors – one for temperature and one for humidity – to single, multifunctional environmental sensors. These modern devices may on the surface be more pricey but can measure different important variables sonnet wireless sensors

40 February/March 2014 | water energy & environment

installations. At a time, when within the overall space reducing costs is a priority conditions, which may include on many projects, proven air quality, CO2 for occupancy wireless technology can alongside traditional bring significant benefit. temperature and humidity Design layouts in measurements. This combined commercial buildings approach brings much are also changing greater value to and there is contractors and more emphasis their clients. placed on the The building aesthetics owner enjoys Installation cost when installing the ability to savings compared sensor monitor and equipment. report on total with wired The cheapest environmental solutions packages often conditions and do not have the look yet service only a and design quality end-users single device into the future. want to see, leading to the They can also minimise the dreaded wall acne. The best wall acne that will often devices available offer an occur if multiple devices opportunity for specifiers are required. The systems not simply to satisfy the integrator, meanwhile, has functional demands of their the ability now to provide client but also the impact the much more sophisticated sensor has on the interior control strategies at a lower space. Take our new range of total installed cost with TT-1000 space temperature fewer devices to install and sensors. These room sensors service in the building. feature a specially designed The growing popularity of low profile and curved fascia wireless sensor technology to ensure they blend stylishly is also having an impact. and seamlessly into a room’s By eliminating the need for design scheme while still structural cabling during helping to deliver greater sensor installation, wireless energy efficiency, cost savings devices can greatly reduce and carbon reductions. engineering time and installed Well-made devices are project cost. This enables capable of providing a better faster and easier installation picture of the true building on new buildings and also conditions over a long term opens up the opportunity for in smaller, more pleasing to control specialists to retrofit the eye packages. The result energy efficient HVAC controls is the creation of a broader into existing commercial market opportunity for and public buildings. control systems specifiers In projects that feature our and installers and, ultimately, SonNet family of wireless the potential for more energy sensors, we are typically efficient buildings and reduced finding total installed cost carbon emissions for all. we&e savings of 30% and more www.sontay.com over comparable wired sensor

30%

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building controls

A ‘very good’ result in Norway Distech Controls brings efficiencies to BREEAM NOR pilot project

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sophisticated building management system provided by leading manufacturer Distech Controls and designed, programmed and commissioned by Authorised Partner ISI-Tech is helping to limit energy usage and cut carbon emissions at an impressive new office building in Trondheim, Norway.

Brattørkaia 15 AB is located in Brattøra, part of the central harbour area of Trondheim city, which has seen vast improvements in recent years to become a connection point for both people and businesses. The new building offers 20,000m² of prime, high quality, commercial office space for multiple tenants, including the Norwegian Environment Agency.

Designed by PKA Architects and inspired by its beautiful surroundings, the building has achieved an “A”passive energy label and a BREEAM NOR rating of “very good”.

ISI-Tech designed and installed the new BMS for the building to help deliver this impressive performance, building its system around control products from Distech Controls.

“ISI-Tech has been using the free programmable VAVcontrollers from Distech Controls for many years,” comments Åsmund Holand, manager at ISI-Tech. “They can be easily configured to

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take care of any individual room controls demand, and they required fewer cables and much less hardware than other solutions when all room functions are counted up.

“They are especially good value when the project specification is demand controlled ventilation, heating and cooling as well as dynamic optimising of the Air Handling Units (AHU).

“The Distech Controls solution is based on the real demand at the time, since the controllers can connect to local multi-sensors of different technologies, even wireless, as well as optimising AHUs performance, without any extra hardware or cabling.”

For this project, ISI-Tech delivered more than 600 Distech Controls ECL-VAV programmable controllers, which are perfect for applications from single duct to fan powered VAV with re-heat and radiation heating. The company also specified Distech Controls’ EC-NetAX Supervisor as the front end GUI for the project.

This web-based, integrated building management platform allows seamless integration between heating and cooling within the HVAC plant, enabling scheduling, trending, alarming, historical data collection and advanced energy management functionality.

The AHUs, heat pumps and other HVAC plant equipment for the development were delivered with internal controls from their respective manufacturers, and integrated into the EC-NetAX Supervisor to allow web-based monitoring and control.

“

The controllers can connect to local multisensors of different technologies, even wireless, as well as optimising AHUs performance, without any extra hardware or cabling

The Brattørkaia 15 AB office building also features more than 60 LonWorks energy meters for electrical, heating and cooling energy monitoring. The EC-NetAX Supervisor displays meter status and can export data from the meters, sending it to the customer’s third-party energy management system.

In future, the EnerVue will be an easy option to implement in the system, since all meters already are in the EC-NetAX solution.

Nine Distech Controls’ EC-BOS network controllers are connecting with the field devices and provide real-time control functions. Compact and easy to fit, the EC-BOS devices combine integrated control, supervision, data logging, alarming, scheduling and network management functions with internet connectivity and web-serving capabilities.

The result is a BMS system capable of effectively controlling all HVAC operations for individual offices and open plan zones within the building, while optimising energy usage according to real time demand. we&e www.distech-controls.eu

February/March 2014 | water energy & environment

41

LIGHTING Efficient controls at the LSE A Delmatic Dali system has been installed to provide energy-efficient switching and dimming throughout the new Saw Swee Hock Student Centre at the London School of Economics and Political Science. The building is striking not only for its folded, crumpled form, but also for its unusual perforated brick facing and has been designed to achieve a BREEAM “Outstanding” rating. The perforated brick facade optimises daylight and natural cross-ventilation while maintaining the building’s sculpted form. A Delmatic system controls lighting within the building, optimising energy efficiency through a combination of presence detection, absence detection, and daylight-linked dimming.

London is a city of brick, yet the building design uses brick in a new way, wrapping the walls in a permeable blanket to create dappled daylight during the day and, at night, causing the building to appear as a glowing lattice lantern. The six-storey, 6,100 sq m centre will provide space for the Student Union. Delmatic controls have been used throughout, including the administrative areas, cafés, bars, juice bars, gym, TV and radio stations as well as within back of house and core areas: the system also controls lighting within the two basementlevel event spaces providing scene-setting and integrating with the event and function DMX controls.

The system makes extensive use of Dali broadcast technology, which provides the dimming and monitoring benefits of Dali without the need to address the ballasts after installation on site.

The lighting in all internal areas is addressable and the system optimises energy efficiency by controlling lighting in relation to daylight, presence and absence. www.delmatic.com

Megaman at Selfridges Megaman’s AR111 LED lamps have been supplied as part of a new lighting solution for Selfridges’ flagship store on London’s Oxford Street. Selfridges opened in 1909, is the second largest department store in the UK and has recently been voted the best department store in the world. Selfridges approached Hampshire-based lighting management company PLM (Planned Lighting Maintenance) for advice on installing a new and effective and energy efficient lighting scheme that would replace existing fittings in the Moncler, Valentino and Roberto Cavalli concession areas. The original lighting was provided by 300 12V low-voltage AR111 halogen lamps, which tended to fail regularly, provide poor light levels and give off excessive heat.

PLM partnered with Megaman for the project, supplying 15W AR111 LED lamps that look the same as the existing AR111 but offer a much brighter light. The lamps were initially trialled in 2,800K and 4,000K colours with the warmer colour eventually being chosen.

This was the first installation of replacement LED lamps in the store and results have shown that each LED lamp will save £15.75 per year, which equates to £4,725 for all of the 300 lamps installed. Light levels have improved by more than 50% with significant heat reduction.

Selfridges says that the light levels have improved significantly, heat has reduced and the project has achieved a 70% reduction in lighting load. The cost of PLM retrofitting Megaman lamps is a quarter of the cost of the replacement fixtures. www.megamanuk.com

Linear suspended LEDs Dimming and flexibility The new ECO series of TALEXXconverters from Tridonic provides dimming from 100% to 1%, as well as luminous flux compensation for the connected LED module. For maximum flexibility the LED control gear can be adapted to different module parameters.

A special feature of the TALEXXconverter ECO series is a combination of amplitude and pulse width modulation, enabling dimming to be infinitely varied between 100% and 1%. Various interfaces and functions are provided for control purposes: DALI DT6, DSI, switchDIM and corridorFUNCTION. The LED control gear is available as in-built and surface mount versions, each with different outputs. This makes the converters suitable for a wide variety of LED modules.

The numerous versions cover a wide range of applications and offer users flexibility in designing their lighting solutions. The main applications include spotlighting and downlighting in retail outlets, offices and hotels. The low standby losses of less than 0.2W and the possibility of emergency lighting mode via a central battery are especially noteworthy. Long life of a maximum of 50,000 hours ensures maintenance-free operation for many years. The devices are futureproof thanks to CE/ENEC and RCM certification. CQC certification is already at the preparatory stage. www.tridonic.com

42 February/March 2014 | water energy & environment

GE Lighting has launched the Lumination LED Linear. Its ultra-thin profile provides double asymmetric light distribution, delivering the ideal solution for a wide range of projects. Lumination Linear Suspended is a thin and uniform illuminated lighting panel suspending from the ceiling, powered with Intrinsix technology to maximise the performance, control and efficiency of the LEDs within the fixture.

When turned on, it produces a perfectly even glow, and while off, it is nearly transparent, with the LEDs hidden inside the frame. The double asymmetric distribution provides glare free, vertical and horizontal illuminance.

Lumination Linear Suspended is available with different mounting options. Wire suspended with remote gear housing, suspended with a surface mounted gear housing for solid ceilings and also for installation onto a track system. Linear is available in a 1,800mm and 1,200mm length, in both “with aisle” or “cross aisle” installation. Available in 4000K/3500K/3000K, with 80 CRI, the LED solution offers good colour quality and colour consistency. It has a long lifetime (up to 92 LPW, rated life 50,000 hours at L85).

Lumination Linear Suspended is fully dimmable and can be linked to sensors and controlled according to the level of natural light present for the best possible energy saving. www.gelighting.com

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Wire in and clip on to the revolution in lighting control!

Improving your building’s lighting energy use is difficult enough when you’re up against time, cost and sensitive building fabrics. At CP Electronics we’ve developed EBMINT – Miniature INTegrated presence detectors which can be retrofitted to louvre blades, clipped to T5 or T8 fluorescent tubes or fixed directly.

Whatever your application we have a solution.

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Megaman (UK) Limited Megaman House 2 Quadrant Park Mundells Welwyn Garden City Herts AL7 1FS T: +44 (0)845 408 4625 F: +44 (0)845 408 4626 E: sales@megamanuk.com W: www.megamanuk.com Follow us @megamanukltd

Show newS

Building an energy efficient business Energy efficiency is an overriding concern for many organisations. Ahead of Nemex 2014, Sustainability Live’s David Copeland examines the factors driving demand for energy management

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he constant rise in energy prices has placed energy efficiency high on the agenda for businesses. Key drivers also include the EU’s Energy Efficiency Directive (EED), under which all member states must establish long-term strategies (or roadmaps) for mobilising investment in the refurbishment of their national building stock Net benefit energy (public and to the savings in nonprivate, residential extent they domestic buildings and commercial) should be. could deliver

by June 2014, As a result, as well as other businesses directives, regulation and are collectively government incentives designed missing out on a to accelerate the transition to cost-saving opportunity a low carbon economy and of up to £1.6bn. ensure security of supply.

The report identified Mandates aside, better a lack of understanding energy management can help across the UK commercial firms reduce their energy bills sector concerning the and enable them to futurebenefits of improved energy proof their business against efficiency, and the ways long-term price rises and in which companies can volatility. The Confederation finance and engage in of British Industry (CBI) improvements. Further issues believes that business activity highlighted were a lack of on the ground can translate available upfront capital to a material impact on UK to invest, energy efficiency growth and jobs, supporting a improvements not being domestic market worth £17.6bn aligned with strategic goals, and employing 136,000 a lack of the right skills to people across the country. implement energy efficiency However, the CBI believes investment, and lack of there remains a lot of untapped communication and buy-in. potential in the UK, with both technological and behavioural Sustainable energy and changes being overlooked. carbon neutrality This was confirmed recently Nevertheless, there is a in a report published by the new package of climate and Westminster Sustainable energy policies unveiled by Business Forum and Carbon the European Commission in Connect, which warns that January this year. Designed to energy efficiency measures are cut greenhouse gas emission still not being implemented by 40% against 1990 levels by

£4bn

44 February/March 2014 | water energy & environment

2030, the proposed framework includes a target for the EU to source at least 27% of its energy from renewable sources by the same date.

Accounting for an estimated 18% of the UK’s total carbon emissions, independent consultant the Carbon Trust believes the carbon footprint of non-domestic buildings can be reduced by more than one third by 2020 to deliver a net benefit of £4bn to the UK economy through energy savings. Central to this strategy is the roll out of Energy Performance Certificates, Display Energy Certificates and Advisory Reports to all non-domestic buildings by 2015. These are mandated as part of the EU’s European Energy Performance of Buildings Directive, and are intended to provide transparency of energy performance across the sector.

Action imperative A further scheme in the UK impacting on larger organisations is the CRC Energy Efficiency Scheme.

Organisations that meet the qualification threshold (of using more than 6,000MWh

per year of electricity) for the CRC Energy Efficiency Scheme have to comply legally or face financial and other penalties. They are required to monitor their energy use, and report their energy supplies annually to the Environment Agency.

They must also purchase and surrender allowances to offset their emissions.

Certainly, the combination of commercial, environmental, regulatory and political drivers in the UK has meant that for medium and large organisations, energy efficiency and lowcarbon policies are no longer a question of corporate social sustainability but a commercial imperative. As such, a wide range of utility infrastructure, smart metering and energy management and renewable generation solutions are now available that provide innovative and cost-effective ways to meet the dual challenge of increasing energy efficiency and realising carbon reduction.

The rapidly evolving market for energy management and efficiency comprises a vast array of technologies and solutions. Ultimately however, there are three core pillars to building an energy efficient business: staff behaviour; technology; and services. Only by addressing all three can a business build an effective and sustainable model for improving its energy efficiency and business performance while lowering its carbon footprint. we&e n Pre-register for free visitor entry at www.sustainabilitylive. com/pr-energy

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New for 2014! Top level speakers on the Keynote Stage – hear from leading experts on how the latest sustainability policy and practice will affect your business.

Practical case-study and discussion led seminars –the latest advice, updates and best practice that you can use in your working environment New for 2014! “Dragon’s Den” style product showcases – your chance to see the most innovative new products More than 250 exhibiting companies offering the latest range of sustainable and resource efficient solutions – find the products and services to help drive your organisation forward Networking opportunities – with thousands of industry professionals all in one place, take the opportunity to meet your peers and make new business contacts

Pre-register for FREE entry now at www.sustainabilitylive.com Supporting ASSociAtionS include:

For more information on exhibiting or sponsorship contact Emma Doran +44 (0)1342 332094, emma.doran@fav-house.com SusLive-VisitorAd3-126x178.indd 1

11/12/2013 12:48

100% British Engineered. 100% Guaranteed Results.

100% British Engineered. 100% Guaranteed Results.

TAP INTO RAIN WATER AND SAVE ON BILLS

DO YOU OWN YOUR HV TRANSFORMER? If the answer is ‘yes’ and you want to save money, then read on...

Unless your transformer is brand new, the incoming voltage needs correcting at source with Powerstar HV MAX, a super lowloss amorphous core transformer that is combined with the award winning Powerstar voltage optimisation technology.

Powerstar HV MAX is a totally unique product, there are no other systems on the market which allow 11,000V/22,000V/33,000V input and provide a fully electronically regulated 380 (or user defined) voltage.

FOR MORE INFORMATION CALL THE EXPERTS

01142 576 200

BENEFITS • Savings of up to 75% more than conventional steel core transformers • Increased energy efficiency with lowest losses at 50/60Hz • Guaranteed results, safety, security and reliability • Intelligent interface with real time savings • Simple, quick (3-4 hours) and cost effective installation

Our Rain Water Management System collects rain falling on your roof which is directed through guttering into a tank outside and pumped into the property to a specially-adapted header tank in the loft, to flush your sanitary wear. With average UK water bills £334 a year and rising, there couldn’t be a better time to install the system.

• Manufactured in the UK

WWW.POWERSTAR.COM INFO@POWERSTAR.CO.UK

To find out more call Dan Goldsmith on 01206 215121 email: dlg@aqpm.co.uk www.aquatechpressmain.co.uk

Compressed air

Growing greener An energy-saving GA VSD+ compressor from Atlas Copco is helping horticultural grower Glinwell’s packaging line go green

W

hen Glinwell, a leading horticultural grower and packer, came to install its latest product packaging facility it was found that the plant’s existing compressed air supply needed to be upgraded to meet the increased process air demand.

By choosing a new Atlas Copco GA VSD+ compressor the company was able to not only ensure reliable system pressure but also achieve substantial energy savings into the bargain.

Glinwell, based in Smallford, St Albans, grows and package salads such as tomatoes and peppers for a leading supermarket. As part of its ongoing business with the supermarket giant, a new upgraded packaging line was installed, initially served by a compressed air system comprising two 11kW

salad days: Glinwell is experiencing a 50% increase in energy efficiency while meeting the facility’s demand for higher pressure

compressors, a separate dryer and a 200 litre receiver. The packaging line incorporates a high pressure ram that requires a 13bar air supply for its operation, which was found to exceed the capacity of the existing compressor installation. As a result, Glinwell decided to replace

efficient range extended Atlas Copco Compressors has extended its range of GA VSD+ oil-injected screw compressors, launched in 2013, with the introduction of new models from 18-37kW. With the expansion of the range up to 37kW, Atlas Copco is now able to offer its breakthrough VSD+ technology, which is claimed to provide energy savings of 50% on average, a 13% leap in free air delivery and a canopy less than half the size of traditional fixed speed compressors, to 75% of oil-injected screw compressors users worldwide.

In addition to expanding the GA VSD+ range, Atlas Copco has also introduced its new “condensation prevention cycle” for variable speed drive compressors. Thanks to an algorithm in the Elektronikon controller of the GA VSD+, condensation in the compression oil is prevented in all circumstances, even in those where the compressor is oversized for the application and has to deal with extremely low load conditions (where the compressor is operated for less than a minute every hour).

To make this innovation accessible to all compressor users, it is positioned in the market at the same price level as a standard variable speed drive model.

46 February/March 2014 | water energy & environment

the compressor system with a unit that not only met the higher pressure demand but at the same time provided optimum energy efficiency and helped to minimise the company’s carbon footprint.

The compressor chosen was one of Atlas Copco’s most recent introductions, an innovative GA 15 FF VSD+.

This new rotary screw compressor is powered by the company’s own inhouse-designed interior permanent magnet (iPM) motor and instead of the normal horizontal design, the compressor has an upright, vertical, low footprint layout, designed to save floor and work space while improving maintenance access, even when the unit is placed against a wall.

Atlas Copco’s GA Variable Speed Drive plus (VSD+) technology automatically adjusts the compressor’s motor speed to match the air supply to the air demand.

VSD operation combined with the innovative design of

the iPM permanent magnet motor, and the new, more efficient fan motor, results in an average energy saving of 50% and an average reduction of 37% in the lifecycle cost of a conventional fixedspeed compressor. There is an additional workplace benefit for Glinwell also.

Thanks to the silent motor and fully enclosed drive train, the compressor runs as quietly as 62dB(A).

As Matthew Simon, Glinwell’s technical manager, explains: “We have been an Atlas Copco customer for over 10 years so we took its advice on replacing our existing compressors with the best solution to meet the air demand of the new packaging line. As a result we opted for itd new GA 15 FF VSD+, a full-feature machine with an integral dryer, to provide the volume and pressure we needed, keeping one of the old units on standby duty.

“With this combined operation, we are experiencing a 50% increase in energy efficiency, which is making a major contribution to our carbon.” we&e www.atlascopco.co.uk

atlas Copco’s Ga 15 FF Vsd+ compressor

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compressed air

Which technology is most efficient?

There are two main types of industrial rotary compressor available – vane and screw. But how do the two compare in terms of energy efficiency? Here Martin Chitty, business development manager at Mattei, weighs the technologies up

d

espite the fact that vane and screw compressors were developed at similar times (circa 1950) and are designed to produce the same end result, the two technologies differ quite considerably.

A rotary vane compressor comprises a rotor with longitudinal slots, which house individual sliding vanes.

The rotor is offset within a stator (a cylinder), in which it rotates on maintenance-free white metal bushes. While

the rotor turns on its axis, the vanes are pushed against the stator wall by centrifugal force, and the air is compressed.

A screw compressor, meanwhile, has two parallel rotors – a male and a female – which engage into each other. These two rotors intersect longitudinally with a critical minimal clearance, maintained by replaceable roller bearings fitted into a stator. During rotation, the profiles mesh into each other, compressing the air.

For a compressor to operate

48 February/March 2014 | water energy & environment

efficiently, the internal air leakage paths must be kept to an absolute minimum – because air lost during compression equals lost energy. If internal leakages are low, the volumetric efficiency is increased and the power required for a measured unit of delivered air is reduced.

Vane compressors are volumetrically more efficient because their design means they have minimal internal air leakage. The vanes move freely in their slots, but are always in contact with the

internal surface of the stator (albeit not directly, due to lubrication), so the air seal is near-perfect. The clearances between the rotor, stator and end covers are also efficiently sealed by oil that is injected into the stator to lubricate

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The new GA VSD+ is smart, efficient, quiet. the moving parts and to cool the air during compression.

In comparison, screw compressors have an inherent “blow hole”, created at the point where the external profiles of the rotors meet, from where air under high pressure returns to the area of lower pressure. Screw compressor manufacturers have tried to reduce the ‘blow hole’, but it is impossible to eliminate it completely.

To compensate for the air leakage, screw compressors run at higher speeds. In contrast, vane machines have always operated at low speeds, from a direct drive coupling, which in turn leads to lower power consumption.

As an example, some of Mattei’s fixed-speed rotary vane compressors operate at 1,000rpm, whereas the average screw compressor needs to work at 3,000rpm and higher.

Vane and screw compressors produce the same end result but, in our opinion, any comparison of the two technologies will affirm that in almost all instances vane compressors will operate more efficiently than their screw counterparts. Furthermore, they have a greater longevity due to there being no need to replace the vane’s white metal bushes as part of a scheduled maintenance programme. we&e www.mattei.co.uk

Lower energy refrigerant air dryers The Tundra range of refrigerant air dryers from Hi-line Industries is now supplied with an ultra high-efficiency, single-cell heat exchanger, providing improved condensate removal combined with a reduction in energy usage.

While proven components used for the Tundra refrigerant system ensure high operating reliability, liquid receivers, line dryers, thermostatic expansion valves and other safety features also help to protect the Freon compressor and its components.

Unlike some other heat exchangers, the flow mixing chamber is located at the outlet of the air/air exchanger. This ensures that the air temperatures are stabilised with a uniform air flow entering the evaporator allowing for

optimum exchange within the refrigerant fluid.

The Tundra products operate with minimal air pressure drop due to the heat exchanger configuration, while also maintaining a constant +3°C dewpoint.

Additional energy savings have also been achieved with the provision of optional Hi-line zero loss (ZLD) condensate removal autodrains.

A total of 16 models are available ex-stock in the range covering air throughput flow capacities from 21 to 1,605 scfm (35-2,720m3/hr). Eleven of the smaller models in the range run off a 230V single phase 50Hz supply with the balance run from 400V three phase 50Hz. All units are designed for operation at varying air pressures of 2-16 barg with a maximum inlet air temperature of 60°C, and ambient air temperatures of between 0 and 50°C can be accommodated.

A high pressure range for operation at 50barg can also be manufactured to order, together with larger dryers up to 9,988 cfm flow rates. we&e www.hilineindustries.com

February/March 2014 | water energy & environment

49

Small compressor, big ideas Atlas Copco has taken a huge leap in compressor technology.

The GA VSD+ is an oil-injected, rotary screw compressor with Variable Speed Drive technology that brings unprecedented benefits to the general industry. √ The biggest innovation in small compressors in 20 years √ New Atlas Copco IE4 motor technology √ Increased energy savings - 50% on average √ Canopy size 55% smaller through innovative vertical design √ Running quieter than ever at 62 dB(A) √ A 12% leap in Free Air Delivery (FAD) For more information please visit: www.atlascopco.com/gavsdplus

Atlas Copco Compressors

Atlas Copco Ltd Swallowdale Lane Hemel Hempstead Herts HP2 7EA Phone: 0800 181085 Fax: 01442 234791 E-mail: gba.info@uk.atlascopco.com www.atlascopco.co.uk

VolTage opTimisaTion

Save and prosper The Co-operative Group has seen the benefits, both financial and environmental, of voltage optimisation installation at a number of its retail premises

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he Co-operative is the UK’s fifth biggest food retailer, operating across the country with almost 2,800 local, convenience and mediumsized stores. This large and varied property portfolio has offered EMSc (UK) an opportunity to demonstrate the flexibility of the Powerstar voltage optimisation solution.

Each unit is custom-built for each individual site, ensuring the best energy efficient system is installed, irrespective of property size and the varying demands of electrical equipment.

In just 14 months since the installation of Powerstar, the Co-operative’s South Shropshire store has seen energy savings of 13.7%, which equates to 151,252kWh and an impressive £12,100 financial saving. These savings are in spite of higher energy consumption due to very cold weather during the winter of 2012/13.

Over a similar period, a store in Salford made savings of 14.3% and 82,725kWh respectively, totalling £9,100.

These savings are in addition to the extended life-span

of electrical equipment, which through Powerstar is protected against harmonics and potentially damaging transients, or power spikes.

A Liverpool store has seen the biggest savings; in just 15 months, the installation of a bespoke Powerstar unit has reduced electricity consumption by 17.4%, equating to 184,600kWh, resulting in a financial saving of £14,768.

At all these sites each project has been managed by a dedicated team of professional voltage optimisation engineers, from the initial site survey to ongoing performance analysis, offering transparency of operations, ensuring compatibility and delivering guaranteed energy savings.

Reports published by the NHS Sustainable Development Unit and St George’s University have identified voltage optimisation as being one of the top three technologies for reducing energy consumption.

Key analysis from both reports is outlined in a document prepared by McKinsey & Company – version 2.1 of the “global greenhouse gas abatement cost curve”. The document pinpoints the top three technologies best capable of reducing carbon emissions across a range of differentsized sites as being voltage optimisation, LED lighting and variable speed drives.

Given the high priority placed on sustainability the Co-operative Group, which is the UK’s largest mutual business, is in an excellent

50 February/March 2014 | water energy & environment

17.5%

The energy savings achieved by Co-op store in Liverpool

“

position to take advantage of the benefits identified in the reports by installing voltage optimisation systems.

Alongside its supermarket outlets, the group also has a number of other businesses, including funeral services and the UK’s third largest pharmacy chain. In all, it operates 4,800 retail trading outlets, employs more than 95,000 people and has an annual turnover of more than £13bn. It is engaged in a number of ongoing environmental projects.

Given this diverse property portfolio, a flexible energy saving solution is essential for the company to achieve the challenging environmental targets it has set itself. A leader in social and ethical trading, the Co-operative has

McKinsey & Company pinpoints the top three technologies capable of reducing carbon emissions across a range of different-sized sites as being VO, LED lighting and variable speed drives already reduced its carbon emissions by 35% since 2006.

However, it is keen to reach a 50% reduction by 2020.

Powerstar is an effective tool to help achieve this laudable aim and to ensure the company maintains its status as a great ambassador of sustainability.

Powerstar is a risk free investment for companies seeking to reduce electricity consumption and lower carbon emissions, as savings are 100% guaranteed. we&e www.powerstar.com

theenergyst.com

CertifiCation

Proving green credentials A science park in Manchester has demonstrated its responsibility to environmental management by successfully meeting ISO standards

H

exagon Tower has successfully completed an ISO certification in environmental management as part of a scheme by the Business Environments for Science and Technology (BEST) Network to ensure that all science parks in the network demonstrate their environmental responsibility.

Assembled and managed

by LaSalle Investment Management, the BEST Network is the largest portfolio of science parks in the UK, consisting of six parks ranging from Edinburgh to Kent and containing both geographical and networkwide clusters in some of the UK’s highest-growth sectors.

Assisted by facilities management company Fasset, Hexagon Tower – located in Blackely, north Manchester – underwent two stages of classification: one to evaluate legislative requirements and identify environmental aspects unique to the location; while

the second documented and implemented the requirements of the certification.

The successful completion of the ISO accreditation means that Hexagon Tower is recognised as taking responsibility in environmental management, and that the facility’s environmental impact is constantly being measured and improved.

Stewart Needham, facilities manager at Hexagon Tower, says: “We are delighted that Hexagon Tower has been awarded an ISO certification in environmental management. It shows to everyone that we are taking our environmental responsibilities seriously, and seek to keep improving them.

“I would like to thank Fasset for its expertise in helping us to achieve this, and to the BEST Network for working to ensure all six science parks in the portfolio are up to ISO standards.

“I look forward to hearing

the iSo-accredited Hexagon tower Science Park at Blackley, Manchester

Hexagon tower and BeSt Hexagon Tower facility in Blackely, north Manchester offers serviced offices and laboratory accommodation for scientific and technology-focused businesses. It is a former ICI research, development and production centre. Facilities at Blackley have fostered innovation since at least the Victorian era, before becoming an integral part of the British Dyestuffs Corporation (BDC) after 1919. The BDC subsequently merged with three other companies to form Imperial Chemicals Industries, now known as ICI. www.hexagon-tower.co.uk Business Environments for Science and Technology (BEST) Network has grown since the first acquisition in 2002 to become the largest privately owned portfolio of science and technology parks in the UK. The portfolio has been assembled and is managed by LaSalle Investment Management for a pension fund client. It spans the length of the UK and contains both geographical and network-wide clusters in some of the UK’s highest-growth sectors.

BEST Network includes a combination of both well-established science and technology parks and those undergoing investment to attract high-technology activities: Edinburgh Technopole; Hexagon Tower in Manchester; Kent Science Park; Langstone Technology Park in Havant; Stoneleigh Park in Warwickshire; and Wilton Centre in Teesside. www.bestnetwork.com

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more successes from other parks in the BEST portfolio.”

Three of the six BEST Network Science Parks have now achieved the ISO accreditation, with Kent Science Park set to be the next location working towards the certification.

Chris Mitchell, associate director at LaSalle Investment Management, says: “Hexagon Tower’s ISO accreditation is great news for the science park itself, and for the BEST Network as a whole – and to have now achieved three successful accreditations in a short period of time is astonishing.

“Every certification we achieve is another important gain, and reinforces our commitment to being a reputable portfolio for science and technology businesses seeking a place to innovate.” we&e

February/March 2014 | water energy & environment

51

WaTer managemenT

Tackle wastage to enhance efficiency Saving water can help save energy and vice versa, says Rob De Nijs, Itron solutions delivery manager

T

he use of water in energy production – for example, for cooling power stations and mining fossil fuels – is rising up the agenda, especially given the rise of fracking. But there’s another side to the “water energy nexus”, which arguably has a greater impact, namely the energy needed to pump, clean and transport water to homes and businesses or “energy for water”.

Saving energy saves water, and vice versa. Just as energy efficiency and smart grid initiatives are being commonly adopted to address energy efficiency, similar solutions to the problem of water efficiency are rising in importance.

The underlying process of obtaining clean water reveals the complexity of a much larger problem.

In particular, the costs associated with treating, pumping and distributing water to consumers make water utilities some of the highest energy users in the commercial sector. As such, any leakage equates to money and time that is lost and can never be recouped by utilities. For the UK, water leakage can amount to millions of pounds wasted and considerable, unnecessary CO2 emissions.

For example, in England and Wales in 2010-11, 2,559 mega litres of

fairer billing and save money at the same time.

water (the equivalent of 1m litres) were lost per day through leaky pipes.

Pressure from government and Ofwat to reduce leaks is making non-revenue water (NRW) a major target for utilities. On average, these rates are about 21% of their overall water usage, with leakage making up a significant proportion of this total. To rectify this problem, smart metering technology is absolutely vital as it can accurately identify leakage and therefore save money.

To this end, there are three main approaches that can be taken in resolving issues with NRW, to the benefit of the water energy nexus. metered leak detection At the very end of the network, often around consumers’ homes, small leaks can appear that permanently waste water; which neither the consumer or utility is aware of.

Installing a meter that can flag abnormal

52 February/March 2014 | water energy & environment

acoustic leakage detection Finally, acoustic leak detection is another way utilities can account for and identify NRW as a part of their water conservation programmes.

Using a communication module with an integrated acoustic leak sensor, water utilities can collect and analyse vibration patterns from anywhere in the distribution consumption is the first step system, significantly improving to measuring and managing their ability to detect leakages water use. More advanced early thereby conserving meters and networks can precious water resources. provide more accurate data, Leakage reduction in such as the date and the UK is imposed time when the on utilities using leak started and the sustainable the volume of economic level water that of leakage has escaped. of overall water (SELL) All this usage is lost framework information and is of can be through leaks paramount collected and importance in fed back to the water stressed utility company areas such as the so that billing issues south east since alternative can be resolved quickly. supplies are difficult to come by. Although infrastructure District meter networks upgrades can be a costly This next method can also procedure, smart metering present significant savings projects have many added to utilities. By installing a benefits besides improving master meter in a location leakage reduction, such as that feeds a particular area accurate billing, customer or district and identifying service improvements and all the premises that it feeds, improved demand forecasting. utilities companies can look Once implemented, they at the total consumption of provide data to utilities so they the district and identify any can focus on conservation discrepancies which may and creating a sustainable indicate NRW leakage. By future for their customers finding anomalies in data, and their business. we&e utilities companies can www.itron.com much more easily deliver

21%

theenergyst.com

water management

Roll out the barrel Micromac Filtration has worked with Sustainable Direction to create a safe and effective wastewater treatment solution at a Devon Brewery

m

icromac Filtration has successfully completed a wastewater treatment system expansion and upgrade project at Devon-based Otter Brewery.

At the brewery’s production headquarters, situated in East Devon’s Blackdown Hills, Micromac has designed, manufactured and installed a sequencing batch reactor (SBR), which provides biological wastewater treatment for the brewery so that it can be safely discharged direct into a ecosystem around the brewery, which constitutes both an area of outstanding natural beauty and also an area of special scientific interest with diverse fauna and flora.

After evaluation of various suppliers, Otter Brewery opted for Micromac

Filtration, which proposed its sequencing batch reactor.

Throughout the planning and implementation of this project Micromac has worked closely with consultant Sustainable Direction, which was recruited by Otter Brewery to oversee the selection of the most appropriate enabling technology and supplier.

At Otter Brewery, wastewater is collected in a sump and screened. Then a batch of prepared wastewater is pumped to the reactor tank where it is aerated.

This has the effect of mixing activated sludge already within the tank with the new wastewater and commencing the treatment of the whole.

The aeration causes the biological oxygen demand components to be converted to sludge and the ammonia to nitrates. The mixed liquor suspended solids are measured, and the system is configured to automatically maintain the optimum level for the processing of the wastewater.

After a pre-set time, aeration ceases and the sludge is allowed to settle. During this phase, the nitrates are converted to nitrogen. After settlement is completed, surplus sludge is pumped from the reactor for disposal.

The treated wastewater is measured for suspended solids, ammonia, pH, etc. If

these are within pre-set levels the wastewater is discharged.

If outside the preset limits the wastewater remains in the reactor for reprocessing.

Wastewater treated to the acceptable levels is passed to an outfall station for discharge. The outfall station is fitted with a flow meter to measure the volume and flow rate of the discharge.

Currently, the brewery produces 20,000 brewer’s barrels of beer per annum and every pint of beer made requires 2.5 pints of water to be used in the production process. The brewery is fed by its own stream and thanks to Micromac’s advanced wastewater treatment system it can return more than 80% of the wastewater direct into the watercourse at the brewery. we&e www.micromacfiltration.com

Biocide for commercial heating systems Sentinel Commercial has introduced Senticide 7500.

A biocide, algaecide and fungicide, it eliminates microbes, thereby removing and protecting against problems such as blockages, bad odours, slimes and bacteria-induced corrosion.

Designed specifically for commercial heating systems and closed circuit cooling/ chiller systems, Senticide 7500 is suitable for any low temperature system that does not reach natural pasteurisation temperatures (>60°C), such as under floor heating/cooling circuits found in many office facilities, conference venues, sports

theenergyst.com

centres, hotels, schools, zoos and retail centres, to name but a few.

Senticide 7500 is fast acting, which is great news for any organisations suffering with poor circulation or even complete system blockages, undue pump replacements, inefficiency, or excessive boiler noise. Such problems can be the result of microbiological fouling, as well as the more common sludge and/or corrosion deposits, in pipe, manifold, heat exchanger and valve areas of commercial systems – and will almost inevitably occur in untreated systems. On the other hand, correct treatment with

Senticide 7500 and Sentinel X100 inhibitor can fully treat a commercial system and kill harmful bacteria in as little as two days, providing long-term protection.

A heating system demonstrating a high aerobic bacteria count of circa 800,000CFU/ml would be reduced to a count of less than 10,000CFU/ml after just 48 hours of introducing Senticide 7500. According to the BSRIA, 10,000CFU/ml is the threshold for acceptable water quality in closed heating systems.

Able to offer protection against both aerobic and anaerobic bacteria, it is effective for use over a wide

pH range. The product has low toxicity and is noncorrosive to all common system metals. Available in 20 litre drums, the typical dose rate is 10 litres of Senticide 7500 per 1,000 litres of water. www.sentinelcommercial.co.uk

February/March 2014 | water energy & environment

53

PRODUCTS Vital evidence provided from clamp-on flow meter Budgets for schools have been protected by the government in the latest spending review but cost savings still need to be made wherever possible. Priorities remain teaching and learning, meaning that spending on premises is restricted. So when All Saints Secondary School in Dagenham was planning an extension in January this year, existing energy usage needed to be precisely monitored to determine whether there was a requirement for additional boiler capacity.

Furthermore, the school’s small boiler room could not have accommodated a larger boiler, so construction work, time delays and expense would have been incurred if the usual practice of selecting a boiler based on paper calculations had been used.

The school called in The Energy Practice, an energy and low carbon consultancy cusiness for advice. Established since 2000, its engineers are registered consultants under

the government’s Carbon Trust scheme.

Director Robert Reeves, a mechanical designer, shopped around for a solution and chose a portable flow meter, the Micronics Portaflow 220. Of the meters he considered, it represented the best value for money, not least because the non-invasive technology means that there is no need to cut into pipework. Savings in time and resources are vital when dealing with a busy school so ease of installation and significant maintenance and

Fernco changes to Source One Environmental Fernco Environmental, supplier of water management and infrastructure repair products, has been renamed Source One Environmental. The new name reflects that of its US-based sister company also owned by the Fernco Group, which trades within similar industries. The change creates a powerful global brand with presence in North and South America, Europe and Australasia.

Jon Crean, managing director of Source One Environmental, explains: “This change positions the company for the future, not only in the development of new products, but also in our planned expansion into new territories.

“We’re building on the success that Fernco Environmental has developed to date and are looking forward to further growth as Source One Environmental.”

Product ranges supplied by Source One Environmental encompass: ■ no dig pipe repair, including the WRc Approved Pipe Doctor ■ water management, for example the Kessel backwater protection range ■ coatings, such as the Ultracoat epoxy coating system ■ infrastructure, including Sealguard, for the prevention of infiltration “The company remains committed to its goal of bringing innovation and new technologies to market. Our current product ranges will remain the same through this change and we will continue to research and develop new opportunities,” Mr Crean continued.

“2014 will be an exciting year for us, as we have some impressive new ideas in development across our whole range.”

Fernco Environmental was launched in 2007 as a sister company to Flexseal, the UK’s market-leading coupling manufacturer. The change does not affect Flexseal, which has been part of the Fernco Group since 2002. www.s1e.co.uk

54 February/March 2014 | water energy & environment

service benefits were all factors in the decision.

Mr Reeves is pleased with his recommendation of the Portaflow 220. It is ultrasonic, simply clamps onto a closed pipe or open channel and the non-invasive nature of the product means no interruption to everyday activity and no downtime meaning the school could carry on its activities unhindered while the unit was installed. He said: “Thanks to the Portaflow 220, we could accurately monitor the heat used by the building and determined that there was no need for additional boiler capacity. Using the information provided, we felt confident in extending off an existing boiler. This saved the school significant capital expenditure. Service support from Micronics has been excellent and our consultancy will definitely be recommending Micronics again as a cost-effective, reliable diagnostic solution.”

Indeed, The Energy Practice has used the Portaflow 220 in a similar project in Havering College, east London thanks to the success at All Saints. www.micronicsflowmeters.com

True hybrid energy harvester

This Victorian renovation used the Minus 7 system The Minus 7 Hybrid Energy Harvesting System is a renewable energy system that provides hot water and heating for homes using endothermic roof tile planks, a solar energy processor, a water to water heat pump, heat transfer units and a thermal store. The system is classified as a solar-assisted heat pump technology and the NCM (SAP) identifier for the product is Minus 7 SEP3G10 1/2/3. It is designed to keep a five-bed house at a comfortable temperature of at least 21°C even in the worst case scenario of mid-winter. However, the system is capable of servicing up to three dwellings at once, making it highly suitable for housing associations.

Managing director Mark Wozencroft said: “This will be the third year for Minus 7 exhibiting at the EcoBuild show. In recent years many visitors commented that it was the best roofing product that they had seen at the show and noted the very high standard of engineering, choice of components and finish.” Several elements of the system will be available for visitors to inspect including the solar energy processor, the heat transfer unit and the endothermic tile planks.

Minus 7 is exhibiting at EcoBuild, stand N2100, 3-5 March 2014, at ExCeL, London. www.minus7.co.uk

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Adjustable current range for LEDs TALEXXconverter TOP is the latest addition to Tridonic’s converter portfolio, providing versatility within the range to meet a variety of applications. These converters also incorporate advanced protection functions to ensure long life of the LED light sources.

In all models in the series the current range can be adjusted in small steps between 350mA and 1,750 mA, depending on the wattage, to provide the perfect conditions for the particular application. Comfort and protection functions such as precise setting of the output current, temperature management and integrated temperature monitoring ensure reliable luminaire operation throughout its life.

The main features of the TALEXXconverter TOP are high efficiency of up to 92% and an adjustable current range. The current range can be set via a resistor or optional ready-made resistors known as I-Select-Plugs. This is done in either 25 mA or 50 mA steps depending on the converter model. The TOP converters can therefore be used for different LED modules. Their output current tolerance is ±5%. The TOP series starts with devices that deliver outputs of 20 W to 55 W and will be gradually extended. Ultimately, there will be different versions with outputs ranging from 10W to 100W. Different housing types and sizes (compact, surface-mount, low-profile) allow for a wide variety of designs and applications.

Integrated protection functions such as temperature monitoring and temperature management ensure that the lighting modules operate reliably. Long life of up to 50,000 hours at temperatures up to 60°C translates into maintenance-free operation for many years.

The converters are also suitable for emergency lighting systems and automatically detect the presence of DC current. www.tridonic.com

Cascade functionality with easy installation TopGas Cascade modular gas-fired condensing boiler systems from Hoval combine design flexibility with ease of installation.

They are supplied as a kit complete with boilers, LTHW and gas pipework header(s), interconnecting flexible LTHW and gas pipework, pumps and valves.They are available in three outputs – 45kW, 60kW and 80kW* – each of which can be combined in a range of combinations to give potential outputs ranging from 90kW through to 480kW. Available combinations are wall-hung in-line (2-6 boilers), freestanding in-line (2-6 boilers and back-to-back (3-6 boilers). All are available with Hoval’s optional TopTronic cascade control package.

TopGas boilers deliver net efficiencies of up to 109.4%, with boiler turndown of up to 4.7:1 and NOx levels as low as 18mg/kWh. TopGas boilers also operate with extremely low electrical consumption and low noise levels. *Outputs are based on flow/return temperatures of 40°C/30°C www.hoval.co.uk

theenergyst.com

Dependable F-gas detection Fluorinated (Freon) gases, which include HFCs, PFCs, HCFCs and SF6, are a family of man-made chemicals containing fluorine. These F-gases are extremely powerful greenhouse gases – most are between 1,000 and 20,000 times more powerful than CO2 in terms of their impact on the atmosphere. F-gases are also extremely toxic and represent a significant health risk if inhaled. SF6 also poses an asphyxiation risk as, once inhaled, it may be too heavy to expel from the lungs.

In EU, the use and emission of F-gases comes under Regulation 842/2006, which mandates leakage control and regular checks. Leakage checks must be carried out for all plant with equipment containing 3kg or more of F-gases. The frequency depends on the amount of refrigerant charged. Also, detailed records must be kept in a log book – failure to comply may lead to severe penalties. Common uses of F-gases include refrigeration and air conditioning systems, heat pumps, aerosols, firefighting equipment and high voltage, gas-insulated switchgear.

Crowcon’s F-gas infrared detector is a fixed-point detector calibrated to detect a wide range of F-gases. Rugged and easy to install, it can be connected to any control system which accepts analogue signals.

Together with Crowcon’s Gasmaster control panel and Xgard toxic gas detector, the F-gas detector provides an effective gas leak detection package. In addition to protecting personnel the F-gas detector also offers an early warning that the gas is leaking and therefore maintains system efficiency and reduces potentially huge gas replacement costs.

Very little maintenance is required – just a bi-annual gas check (with recalibration if necessary). www.crowcon.com

Small wind turbines reduce energy costs Visitors to the SustainabilityLive event – being held on 1-3 April at the NEC Birmingham – will be able to learn how companies can lock down energy costs for 20 years and operate more sustainably with Evance small wind turbines.

With electricity costs having doubled over the past 10 years and more increases predicted, generating renewable energy at the point of use is one effective way businesses can, and are, reducing operational costs.

“Across the country we are helping many small businesses and corporate organisations reduce operating costs. For example, we have turbines at 10 separate Scottish Water facilities which are making significant savings to the cost of running these water treatment works.

Our turbines are also generating energy for rail and manufacturing facilities, schools, garden centres, farms, hostelries, the list goes on.” commented Kevin Parslow, ceo of Evance Wind Turbines.

The British-made Evance R9000 is a versatile modular solution so suits most sites for location and connection. Many businesses have invested in multiple turbines to meet energy demands as the machine is efficient, and being small and discreet means easier planning, easier connection and fast deployment. www.evancewind.com

February/March 2014 | water energy & environment

55

Product & Services Directory Contact Steve Swaine Tel 020 3714 4451 AIR CONDITIONING

Europe's largest independent Daikin distributor.

Unparalleled range of air conditioning equipment and parts.

BOILERS

ENERGY MANAGEMENT

INDUSTRIAL BOILER SALES & HIRE

Comprehensive customer support service.

3 Year Warranty

Call 01483 504 883 Visit www.spaceair.co.uk Working with Daikin since 1980

NOBODY KNOWS DAIKIN BETTER

ENERGY METERING & MONITORING SYSTEMS • Steam Boilers 150-15,880Kg/hr • Hot Water Boilers 30-8000kW/hr • Pressures 7bar-17bar • Oil, Gas or dual fuel

DRIVES & MOTORS Geared motors and Drives

HIRE•SALES•EXPORT VISIT OUR NEW WEBSITE www.kingsboilerhire.com

Tel: 01992 451629

Motor powers - 0.12 to 2,000kW Motor efficiency IE2 & IE3

BOILER CONTROLS

• Steam/Hot Water • High Efficiency • Biomass • Heat Recovery • Buy, Lease or Hire

WIMES Compliant NORD Gear Limited | T: +44 1235 534404 E:GB-sales@nord.com | www.nord.com

ENERGY SAVING CONTROLS

Tel: 01535 665225

www.byworth.co.uk METERS - WATER, OIL, GAS & HEAT

Independent Metering Specialists

0121 327 7771

info@mwatechnology.com www.mwatechnology.com

SavaWatt Controls have been used worldwide since 1985 SavaControls 20% Refrigeration & A/C savings SavaLight 35%+ Lighting cost reduction Join the 1,000’s already benefiting from SavaWatt Controls

mwa TECHNOLOGY GAS ENERGY WATER ELECTRICITY OIL STEAM HEAT

56 February/March 2014 | water energy & environment

Tel: 01455 818 208 Web: www.savawatt.com E-Mail: info@savawatt.com

theenergyst.com

ENERGY MANAGEMENT

MEASUREMENT, MONITORING & CONTROL

RENEWABLE POWER SOLUTIONS

FLOWMETERS

✔ Cloud based energy management software ✔ M&V project tracking in line with IPMVP ✔ Intelligent energy analysis and reporting ✔ Fully branded dashboards ✔ Energy App Market ✔ Works with all major hardware

Tel: 0207 8496947 uk@dexmatech.com www.dexmatech.com

Energy management Data collection Sub metering Power quality Tel: 01455 840 100 www.enercom.co.uk enercom@enercom.co.uk MANAGE YOUR ENERGY

ENERGY PROCUREMENT

➡ Multi-Site Energy Software ➡ Energy Procurement ➡ Network/Levies/Commodity

ENERGY MANAGEMENT SOFTWARE

COMPRESSED AIR VALVES

Energy Efficient Air Compressors ● Energy Recovery Systems ● Compressed Air Leak Detection ● Air Compressor Servicing ● Energy Efficiency Audits ●

Tel: 01789 450577 www.mattei.co.uk VEHICLES

TEMPERATURE SENSOR

Budget Modelling ➡ Risk Management ➡ Energy Contracts Legal Analysis

MAGNETIC CONDITIONING

info@pulsebusinessenergy.co.uk T: 0333 7000 250

        

www.pulsebusinessenergy.co.uk Magnatech Fuel Conditioning Ltd

Guaranteed Fuel Reduction!

To feature your company’s products or services call Steve Swaine on 020 3714 4451 theenergyst.com

Or your money back!

Pay back normally within 10 months No lines cut, no break in production A fit and forget technology.

Works on any hydrocarbon gas or liquid.

Contact us for a free site survey info@magnatech.org.uk www.magnatechfuel.co.uk 01327 831515 or 07870 185730

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February/March 2014 | water energy & environment

57

Q&A

Asif Rizvi The managing director of LG Energy on the Moon landings, being a cyborg and having the ability to generate and absorb power

W

ho would you least like to share a lift with?

Myself, I would hate to be alone; I need someone to talk to constantly.

You’re God for the day. What’s the first thing you do?

I would much rather be the supreme leader of the world and as supreme leader of the world I would colour the skies red, paint the grasses blue and plant a Mars bar tree in my back garden.

If you could travel back in time to a period in history, what would it be and why?

I wouldn’t travel back in time but I would love to travel into the future to see how far LGE has gone.

Who or what are you enjoying listening to? (music, radio etc) Everything and all sorts.

I’ve recently signed up to a music streaming service, which means I’m discovering old and new.

What unsolved mystery would you like the answers to?

The Moon landings… fact or fiction?

What would you take to a desert island and why? (excluding loved ones and practical things) My phone, my wife tells me I spend too much time on it answering emails. That will show her... Wait, do they have Wi-Fi on this island?

What’s your favourite film (or book) and why?

My all-time favourite movie is Terminator 2. I remember watching it when I was 10 and thinking that I want to grow up to be a cyborg.

If you could perpetuate a myth about yourself, what would it be?

That I am a cyborg, with mechanical strength hidden under a soft organic exterior.

What would your super power be and why?

I would be “Bolt” from X-Men. As “Bolt” I would be the one and only sustainable source of electricity. For those readers who don’t know who “Bolt” is, he has the ability as a mutant to generate and absorb power.

What would you do with a million pounds?

Bank and invest.

What’s your greatest extravagance?

I have a big thing for pens, watches and cufflinks.

If you were blessed with any talent, what would your dream job be and why?

My talent is finding talent and I’m already in my dream job. What more could I ask for?

58 February/March 2014 | water energy & environment

“

I would encourage all energy users to question everything they are told by government, suppliers, and indeed by consultants

What is the best piece of advice you’ve ever been given?

My Dad always says to me: “Expect nothing and appreciate everything.” That’s become my motto and so far it has served me well.

What irritates you the most?

Politicians. The lack of accountability in our political system irritates me a lot.

Huge egos making huge promises.

What should the energy users be doing to help itself in the current climate?

Talking to LGE! All joking aside, I would encourage all energy users to question everything they are told by government, suppliers, and indeed by consultants.

There is a massive lack of transparency and accountability in the sector and by increasing awareness and understanding of the industry; we are collectively more likely to influence positive change.

What’s the best thing – work wise – that you did recently?

The exceptional growth of LGE. We are widely quoted as being the fastest growing energy consultancy in the UK, something we are very proud of. we&e

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Brought to you by

ENERGY MARKET ANALYSIS

Market report water energy & environment’s new regular section brings you an eight-week overview of the latest analysis of the power and gas markets from Energy Trader Daily

T

he front season gas contract (NBP summer’14) has extended its southbound trades on the year to over 8p/th in 2014, having traded relatively sideways in the first half of the winter 2013/14 trading season (Q4’14).

The Bearish impact of the changed weather models, half-way throughout January, triggered a selling trend in the whole-sale market after traders changed their Bullish outlooks (based on a cold winter/high demand) to Bearish ones (pessimistic).

The front season power contract (UK baseload summer’14) made similar losses on the back of the gas market weakness and even more depressed coal prices.

The £5/MWh plunge in 2014 reflected the declining cost of generating electricity, weakening the outlook for the power market which has also suffered from the impact of low demand levels due to the abnormally mildwinter trading season.

On the back of the summer

Front season gas and electricity wholesale market prices

stock build, higher UK gas storage levels, going into what was expected to be a repeat of the last winter 2012/13 led the market to foresee higher energy prices.

The market has so far suffered from its preparation for a winter that has remained elusive, with only one trading month left for the winter 2013/14 trading season.

Energy Trader Daily A leading UK energy trading desk which examines market areas and utilises established methodologies, in order to deliver market intelligence, focusing on both fundamental and technical analysis. ETD has a wealth of knowledge, real time streaming direct to your desk, and an expert trading analyst team to help you manage future market uncertainties. www.energytraderdaily.com

UK gas storage

theenergyst.com

February/March 2014 | water energy & environment

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Long range Automation for alternative

the future

The name ifm electronic stands for a wide range of different sensors and systems for automation technology. For forty years the company has been researching, developing and producing with the aim of optimising technical processes and conserving resources. ifm electronic successfully provides system solutions that are both innovative and economical. From an individual sensor and matching accessories to a complete system solution.