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Certification in Energy Excellence World Class Energy Management

Presented by: David Arkell and John Pooley Copyright 360 Energy Inc.

Energy Use and Greenhouse Gases • 64% of all GHG emissions (exl transport) in Canada are related to energy use – 82% inc transport – energy management is arguably the most cost effective approach to reducing greenhouse gas emissions

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Carbon Management Local Authority

Carbon Management is a widely used term in the UK – it is intended to cover all aspects of CO2e emissions Most local authorities (municipalities) have Carbon Management Plans Experience indicates that typically in excess of 80% of ‘carbon savings’ made are achieved through energy management

Sustainable Energy Management

Spectator

Player

Leader

Star

Level 2

Level 3

Level 4

Beyond the basics

Comprehensive energy/carbon management

Competitive advantage from energy/carbon management

Middle 5-20%

Top 1-5%

Top 1%

Level 1 Awareness & compliance

Bottom 20-100%

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Certification Options There are three basic approaches • Type 1: Voluntary guidelines or formal standards with no independent validation • Type 2: A formal standard covering procedures and systems in place – certified by an independent body • Type 3: Both procedures and results (savings) are reviewed and certified by an independent body.

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Standards and Certification Time line • Energy Efficiency Accreditation - UK (1993) • Netherlands (2000) • US (2000); • Denmark (2001) • Sweden (2003) • Ireland (2005) • Global ISO 50001 (2011) Copyright 360 Energy Inc.

World Class Energy Management

Participation in Energy Efficiency Accreditation (UK)

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Certification in Energy Excellence • Certification assesses energy practices and performance against rigorous criteria, based on international standards and best practices • It looks back three years and forward three years • It sustains and enhances bottom line savings and public recognition • It is not just about the Certificate – it is about the journey, the mentoring and the on going savings Copyright 360 Energy Inc.

The 4 Quadrants of CEE

Assessment and Moderation

• Independent Assessor scores each of the criteria – Then recommends applicant for Certification

• Assessment is moderated – by National Energy Foundation (UK) – A UK not for profit organization – NEF has also provided independent review of program development and delivery Copyright 360 Energy Inc.

How is CEE Different?

• Energy Efficiency Accreditation (UK) : energy efficiency only • ISO 14001: Management system focused - energy is not a mandatory requirement • ISO 50001: Energy Management Standard –

Compliance versus performance

–

No mentoring or partnership

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How is CEE Different?

• LEED: Green building rating system – Single buildings, not processes or systems – Environment and Energy – EB:O&M 2009 – energy and atmosphere is only part of score (max 35 of 110)

• CEE: Develops and certifies achievements in energy management based on actual energy use Copyright 360 Energy Inc.

Certification Overview • Mentoring to assist applicant in meeting or exceeding criteria • Covering 80% of the applicant’s energy spend (electricity, natural gas, diesel, gasoline etc.)

• Municipality or buildings based applicants all within a given geographic area • Industrial applicants certified on a site basis

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Focus Areas •

Management commitment to energy

•

Energy procurement practices

•

Investment in energy efficiency (technology and people)

•

Demonstrated energy performance improvements

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Focus Areas •

Management Commitment to Energy • • • • • •

•

Mandate and Plan Organizational Structure Energy Monitoring Systems Operational Procedures Employee Training Reporting Energy Performance Improvement

Energy Procurement Practices • • •

Sustainable Procurement processes to ensure commodity, transportation and distribution costs are optimized.

Market Awareness Suppliers/Distributors Copyright 360 Energy Inc.

Focus Areas • Investment in Energy Efficiency – – – – –

Capital Investment Plans and Budgets Equipment Human Resources Other Areas for Consideration

• Demonstrated Energy Performance Improvements – – – –

Energy Intensity/Carbon Improvements Energy Reduction Trends Meeting renewable targets Performance against recognized benchmarks where appropriate

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Certification Process 8 to 12 months of assessment & mentoring covering: 1) Management commitment to energy 2) Energy procurement practices 3) Investment in energy efficiency 4) Energy performance improvements

Application Moderation (NEF) Stage 1 Stage 2 Stage 3

Evidence collection and Investigator interviews

Program Kick-off & Assessor introduced Scope & performance metrics defined

Portfolio of Evidence compiled for assessment

Mentoring

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The Pilot Program • Pilot program comprised of one municipality and one industrial site

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Performance Metrics

Energy/unit (St. Marys & Peel Region)

Total Energy

GHG/unit

Intensity

Total GHG

Absolute

(St. Marys)

(Peel Region)

Energy

GHG Copyright 360 Energy Inc.

Lessons from the pilot phase • Need to provide more information on the scoring criteria to help those providing evidence for assessment • The value of a clear, agreed timetable for assessment • The value in having key contacts

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Lessons from the pilot phase • The need to review the mechanism for delivering best practice techniques and providing ongoing information • More formalized progress reporting mechanism during assessment • The need to provide a greater scope for scoring renewable and alternative technologies

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Benefits of Certification • Proven model based on international best practice and standards • Cost effective process supporting and enhancing continuous improvement in energy management • Certification criteria are regularly reviewed to ensure process matches changing local and global needs • Stakeholders involved in program development Copyright 360 Energy Inc.

Benefits of Certification • Demonstrate Energy/Environmental Achievement – Able to demonstrate this to public, customers, staff

• Visible leadership • Membership – Network of organizations committed to improving their energy management practices which will benefit the environment

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The Next Steps

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