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ISO/TC 242 N 120

ISO/TC 242
ISO/TC 242 - Energy Management
Email of secretary: jknopes@ansi.org
Secretariat: ANSI (USA)

ISOCD 50006 Measuring Energy Performance using Energy Baselines & Energy Performance Indicators
Document type: CD ballot

Date of document: 2012-12-06

Expected action: VOTE

Action due date: 2013-03-05

Background:

Committee URL: http://isotc.iso.org/livelink/livelink/open/tc242


© ISO 2012 – All rights reserved

ISO TC 242 N 120


Date: 2012-10-015

ISO/WD 3
ISO TC 242

Secretariat: ANSI/ABNT

Measuring Energy Performance using Energy Baselines and Energy


Performance Indicators — General Principles and Guidance

Warning

This document is not an ISO International Standard. It is distributed for review and comment. It is subject to
change without notice and may not be referred to as an International Standard.

Recipients of this draft are invited to submit, with their comments, notification of any relevant patent rights of
which they are aware and to provide supporting documentation.

Document type: International Standard


Document subtype:
Document stage: (20) Preparatory
Document language: E
ISO/WD 3

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Contents Page

Foreword ............................................................................................................................................................. v
Introduction ........................................................................................................................................................ vi
1 Scope ...................................................................................................................................................... 1
2 Normative references ............................................................................................................................ 1
3 Terms and definitions ........................................................................................................................... 1
4 Measurement of Energy Performance ................................................................................................. 3
4.1 General Overview .................................................................................................................................. 3
4.1.1 Energy performance indicators (EnPIs) .............................................................................................. 4
4.1.2 Energy baselines (EnBs) ...................................................................................................................... 5
4.1.3 Quantifying changes in energy performance ..................................................................................... 6
4.1.4 Energy performance time periods ....................................................................................................... 6
4.2 Energy performance .............................................................................................................................. 6
4.2.1 Energy consumption ............................................................................................................................. 6
4.2.2 Energy Use ............................................................................................................................................. 7
4.2.3 Energy Efficiency .................................................................................................................................. 7
4.3 Identifying the relevant energy performance information ................................................................ 7
4.3.1 Obtaining relevant information from the energy review ................................................................... 7
4.3.2 Considering organizational targets for energy performance ......................................................... 11
4.4 Identifying energy performance indicators ...................................................................................... 11
4.4.1 Identifying energy performance indicator users .............................................................................. 12
4.4.2 Determining the specific energy performance characteristics to be quantified .......................... 12
4.4.3 Measuring energy performance using energy performance indicators ........................................ 14
4.5 Establishing energy baselines ........................................................................................................... 14
4.5.1 Selecting an appropriate energy baseline type ................................................................................ 15
4.5.2 Determining a suitable data period ................................................................................................... 16
4.5.3 Gathering data ..................................................................................................................................... 16
4.5.4 Testing energy baselines.................................................................................................................... 17
4.6 Using energy performance indicators and energy baselines ......................................................... 17
4.6.1 Calculating changes in energy performance.................................................................................... 18
4.6.2 Determining when energy baselines should be normalized ........................................................... 18
4.7 Maintaining energy performance indicators and energy baselines ............................................... 19
Annex A (informative) ISO 50001 requirements for energy baselines and energy performance
indicators.............................................................................................................................................. 21
Annex B (informative) Information generated through the energy review ................................................ 22
Annex C (informative) Further guidance on energy baselines ..................................................................... 24
C.1 How to define an energy baseline model .......................................................................................... 24
C.2 Using regression models to define an energy baseline model ...................................................... 25
C.3 Examples of different energy baselines specifications .................................................................. 26
C.4 Key Questions to be answered in establishing an energy baseline .............................................. 27
Annex D (informative) Significant energy use references in ISO 50001 .................................................... 28
Annex E (informative) Supplemental information about selecting energy performance indicators ........ 30
E.1 Types of energy performance indicators .......................................................................................... 30
E.1.1 Measured value .................................................................................................................................... 30
E.1.2 Ratio ...................................................................................................................................................... 30
E.1.3 Model based indicators ....................................................................................................................... 31
E.1.4 Energy waste ....................................................................................................................................... 31
Annex F (informative) Example to illustrate selection of energy performance indicators ........................ 37
Annex G (informative) Reporting on energy performance ........................................................................... 41

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G.1 Types of reports .................................................................................................................................. 41


G.2 Reporting units ................................................................................................................................... 43
Annex H (informative) EnPI boundaries in the production process ........................................................... 44
Annex I (informative) Normalizing energy baselines using variables ........................................................ 45

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Foreword
ISO (the International Organization for Standardization) is a worldwide federation of national standards bodies
(ISO member bodies). The work of preparing International Standards is normally carried out through ISO
technical committees. Each member body interested in a subject for which a technical committee has been
established has the right to be represented on that committee. International organizations, governmental and
non-governmental, in liaison with ISO, also take part in the work. ISO collaborates closely with the
International Electrotechnical Commission (IEC) on all matters of electrotechnical standardization.

International Standards are drafted in accordance with the rules given in the ISO/IEC Directives, Part 2.

The main task of technical committees is to prepare International Standards. Draft International Standards
adopted by the technical committees are circulated to the member bodies for voting. Publication as an
International Standard requires approval by at least 75 % of the member bodies casting a vote.

Attention is drawn to the possibility that some of the elements of this document may be the subject of patent
rights. ISO shall not be held responsible for identifying any or all such patent rights.

ISOCD 50006 was prepared by Technical Committee ISO/TC 242, Energy Management.

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Introduction
The purpose of the ISO 50001 is to establish the systems and process necessary to improve energy
performance. Quantification of energy performance and energy performance change is a main activity for
organizations adopting ISO 50001.

In order to effectively manage the energy performance of their facilities, equipments, systems, and processes,
organizations should know how much and in what ways energy is used, and they should be able to observe
these trends over time. Two key interrelated concepts can facilitate the measurement, and therefore
management, of energy performance in an organization are:

 energy performance indicator (EnPI)

 energy baseline (EnB)

The typical EnPI is a value or measure that quantifies results related to energy efficiency, use and
consumption in facilities, equipments, systems and processes as a whole or in part, which the organization
wishes to measure its energy performance.

An EnB is a reference basis for comparison of energy performance. The EnB provides a yardstick against
which organizations can assess changes in energy performance. The EnB describes what an organization‟s
energy performance would be if no change were introduced. A common EnB may be used for one or many
EnPIs.

The intent of this International Standard is to provide organizations, including their management and technical
staff, with practical guidance on how to meet the requirements of ISO 50001 related to the establishment, use
and maintenance of EnPIs and EnBs in the quantification of energy performance and energy performance
changes.

EnPIs and EnBs are used by the organization to measure or quantify:

 energy consumption;

 energy efficiency;

 energy use;

 energy performance;

 energy savings.

And to determine if:

 objectives and targets are being met;

 energy performance action plans are effective.

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Measuring Energy Performance using Energy Baselines and


Energy Performance Indicators — General Principles and
Guidance

1 Scope

This International Standard provides guidance to organizations on how to meet the requirements of ISO
50001 related to the establishment, use and maintenance of energy performance indicators (EnPIs) and
energy baselines (EnBs) as part of the process of measuring energy performance and energy performance
changes.

Annex A provides an overview of the relevant ISO 50001 requirements related to EnPIs and EnBs. This
International Standard does not add any requirements to ISO 50001. This International Standard addresses
only energy performance issues associated with the Energy Management Systems (EnMS).

In section 4, this International Standard provides guidance on how to use EnPIs to measure energy
performance relative to EnBs, taking into consideration:

 How to identify relevant energy performance information (see 4.3);

 How to identify energy performance indicators (EnPIs) (see 4.4);

 How to establish energy baselines (EnBs) (see 4.5);

 How to use energy performance indicators and energy baselines (see 4.6); and

 How to maintain energy performance indicators and energy baselines (see 4.7).

2 Normative references
The following referenced documents are indispensable for the application of this document. For dated
references, only the edition cited applies. For undated references, the latest edition of the referenced
document (including any amendments) applies.

ISO 50001, Energy management systems – Requirements with guidance for use

3 Terms and definitions


For the purposes of this International Standard, the following terms and definitions apply.

3.1
normalization
process of modifying energy data in order to deal with influencing factors

[SOURCE: ISO/CD 50004]

3.2
performance period
period being evaluated by the EnPI

3.3
baseline period
period from which the EnB has been established

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3.4
reporting period
period for which an organization wants to assess changes in EnPIs relative to the EnB period

3.5
relevant variables
to be completed

3.7
adjustment to the EnB
to be completed

3.8
linear regression model
to be completed

3.9
Non-linear regression model
to be completed

3.10
specific energy ratio
to be completed

3.11
static factors
conditions that are usually not variable with respect to energy consumption but where a change in their
conditions might significantly impact energy use and consumption

3.12
energy
electricity, fuel, steam, heat, compressed air, and other like media

NOTE 1 For the purposes of this International Standard, energy refers to the various forms of energy, including
renewable, which can be purchased, stored, treated, used in equipment or in a process, or recovered.

NOTE 2 Energy can be defined as the capacity of a system to produce external activity or perform work.

[SOURCE: ISO 50001:2011, 3.5]

3.13
energy performance
measurable results related to energy efficiency (x.x.x), energy use (x.x.x) and energy consumption (x.x.x)

[SOURCE: ISO 50001:2011, 3.12]

3.14
energy performance indicators
EnPI
quantitative value or measure of energy performance, as defined by the organization

[SOURCE: ISO 50001:2011, 3.13]

3.15
energy baseline
EnB
quantitative reference(s) providing a basis for comparison of energy performance

[SOURCE: ISO 50001:2011, 3.6]

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3.16
energy use
manner or kind of application of energy

[SOURCE: ISO 50001:2011, 3.18]

3.17
energy consumption
quantity of energy applied

[SOURCE: ISO 50001:2011, 3.7]

3.18
energy efficiency
ratio or other quantitative relationship between an output of performance, service, goods or energy , and an
input of energy

[SOURCE: ISO 50001:2011, 3.8]

3.19
significant energy use
SEU
energy use accounting for substantial energy consumption and/or offering considerable potential for energy
performance improvement

[SOURCE: ISO 50001:2011,3.27]

3.20
energy performance measurement
verifiable and repeatable process to obtain a quantifiable value(s) in relation with energy performance

3.21
energy performance indicator boundary
EnPI boundary
boundary of the facility(ies), equipment(s), system(s) and process(es) under analysis that identifies what
elements are included for performance analysis purposes

3.22
cumulative sum
CUSUM
technique for analyzing energy data that uses the difference between the base line (expected or standard
consumption) and the actual consumption over the base line period

4 Measurement of Energy Performance

4.1 General Overview

EnPIs and their corresponding EnBs are used as means to quantify energy performance and energy
performance changes. Because energy performance is related to the manner in which energy is applied, the
quantity of energy that is consumed, and the efficiency with which energy is used to achieve the desired
outcome, it is important to recognize that rarely can it be represented by a single value or measure. Rather an
organization‟s energy performance is generally represented by a set of measures that provide the relevant
performance-related information to the organization.

Measuring energy performance enables an organization to effectively manage its energy. EnPIs are those
expressions and values that are used to quantify the different facets of an organization‟s energy performance.
Energy baselines are used with EnPIs to compare energy performance between periods and quantify energy
performance change.

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Changes in energy performance can be caused by a number of factors. In the case of a manufacturing facility,
these variables could include production rate in the factory, product mix, raw material type or quality, number
of shutdowns and start-ups, the reliability of system, or environmental conditions such as humidity or
temperature. In the case of an office building, variables might include thermostat settings, outside weather
conditions, number of occupants, or the proportion of rooms or floors that are climate conditioned. Therefore,
identifying and understanding such variables and their effect on the energy performance of the various parts
of an organization is essential to effectively manage and improve energy performance.

Organizations should quantify and compare energy performance strictly on the basis of measured energy
values and should normalize energy consumption with respect to variables. Details about the process for
identifying EnPIs, establishing EnBs, using and maintaining EnPIs and EnBs to measure energy performance
are addressed in sections 4.2 through 4.7. An overview of the overall process related to EnPIs and EnBs is
illustrated in Figure 1.

Figure 1 — Overview of energy performance measurement

4.1.1 Energy performance indicators (EnPIs)

There are many types of EnPIs that the organization can use. They can include simple measured values,
ratios, or model based indicators that range from values as simple as the total energy consumption (in a given
period), to energy consumed per unit output, to values that are calculated by developing more complex
mathematical models of the facility, system or equipment in order to give the user an expanded view and
understanding of energy performance or to isolate certain features that are of particular interest and all of
them can range as either absolute or normalized. The type of EnPIs the organization chooses to use will
depend on what the organization wishes or needs to measure and monitor.

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EnPIs can be established at various levels including organizational, physical and system-related. For example
they can be set at a high organizational level, or at a facility level, or could correspond to system, sub-system
or equipment level.

As examples:

1) a business manager: tfor a business manager of an industrial company or facility manager or a


building, the efficiency of a sub-system might not be as important as the overall objective of
improving the energy consumption per unit of product output or the energy consumption of the facility.
However, energy performance may be substantially affected by two or three areas of significant
energy uses (SEUs). In such cases, an overall EnPI may need to be complemented with EnPIs
related to SEU„s that need to be controlled to meet the overall objectives.

2) an engineer: an engineer responsible for the efficiency of a system or sub-system would be very
interested in measuring whether that system is operating at design efficiency. Operating technicians
might only be interested in the performance of a piece of equipment or system within their sphere of
control.

3) a project engineer: a project engineer would be interested in quantifying the effect of a particular
equipment upgrade on the whole system and therefore would want to isolate that performance from
all other contributing variables. It should be recognized that change in an organization‟s energy
performance can be affected as much by business level decisions as they are by technical changes
to facilities and systems and therefore both types of changes should be visible to the organization,
particularly to those people who are effecting the change.

The key point is that organizations will often need a range of EnPIs to serve in measuring and managing
energy performance related to different purposes, levels of the facilities and levels of the organization. Though
there are many types of EnPIs, it is important that overall energy performance results as part of the EnMS are
evaluated. An organization can use many EnPIs, applied at different levels to manage its energy, but it needs
to demonstrate that overall energy performance as a result of the EnMS has improved. Selecting the
appropriate EnPI(s) to quantify this high level performance once again depends on the information available
and the purpose it will serve.

The types of EnPIs selected will depend on what information that should be derived from the particular EnPI,
the purpose each is intended to serve, who in the organization it will inform, and the amount and quality of
data and information required. The concept of "fit for purpose" should guide the EnPI selection and
development process.

4.1.2 Energy baselines (EnBs)

Once the EnPIs are selected, EnBs are established to serve as a reference against which subsequent energy
performance can be compared. An EnB must contain the appropriate data from a suitable period to enable
comparison of energy performance between the period from which the EnB has been constructed (baseline
period) and the period being evaluated by the EnPI (performance period). The type of information needed to
establish an energy baseline is determined by the specific purpose required for the EnPI.

Some EnBs will be relatively easy to establish consisting of only energy consumption measurement data to be
used in quantifying energy performance without normalizing for the effects from variables. In other cases
energy consumption measurement data and data on relevant variables that affect energy consumption and/or
output goods, services will be required.

EnB can be normalized using variables for comparison of energy performance between two periods where the
effects of the variables need to be accounted for. In some cases, such as where a new facility is being
constructed and there is no operating history, it may be necessary to simulate, estimate or calculate the
expected energy consumption for the new facility to serve as the EnB against which energy performance will
be compared using the EnPI once the facility is operating.

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4.1.3 Quantifying changes in energy performance

To determine the effectiveness of the organizations efforts to manage energy, EnPIs and EnBs are used to
quantify changes in energy performance. Energy performance changes can be calculated for energy
consumed in the entire boundary of the organization‟s EnMS or for significant energy uses, processes or
systems where an EnPIs has been chosen. Comparing energy performance between the baseline period and
the performance periods can simply involve calculating the difference in the measured value of energy
consumption between the two periods or it can require comparison of energy consumption relative to an
output quantity (such as production or building area) in order to calculate an energy efficiency ratio.

In cases where the organization has determined that variables such as weather, production, building operating
hours etc. significantly affect energy consumption, then comparison of energy consumption between the
baseline period and the performance period may require normalization of the EnB to account for differences in
the values of the variables between the two periods. In this case, the EnB should be normalized to estimate
the energy that would have been consumed in the baseline period had the value of the baseline period
variables been the same as the performance period variables.

This results in an estimate of the energy that would have been consumed in the baseline period. The energy
consumption that is estimated using normalization of the energy baseline can be compared with the energy
consumption measured by the EnPI (in the performance period) in order to quantify energy performance
change.

Organizations should determine for themselves how they wish to quantify energy performance. This
International Standard describes a number of approaches to energy performance quantification, however
ultimately, it is the responsibility of the organization to define for itself how best to measure energy
performance to serve its own specific purposes.

4.1.4 Energy performance time periods

It is important to recognize that EnPIs and EnBs are used to quantify energy performance in relation to a
number of time periods. An EnB can be used to define energy performance during a period prior to when an
organization starts its efforts to improve energy performance.

An organization may decide to re-set its baseline period from time to time either due to changes in conditions
or because it believes that its baseline period should be updated. The organization should quantify its current
energy performance either instantaneously or for a current period and/or it should quantify the change in
energy performance in a performance period versus its baseline period or to compare its current energy
performance against the organizations targets for future performance that it is striving to achieve.

4.2 Energy performance

Energy performance is a broad concept that includes energy consumption, energy use and energy efficiency.

4.2.1 Energy consumption

Energy consumption is the quantity of energy that is typically measured as a flow or weight of fuel, often
converted into units of gigajoule (GJ) or kilowatt-hour (kWh) of electricity. Energy consumption is an absolute
measured value in the sense that the value can typically be measured directly from a meter. Most
organizations have measured energy consumption information about their facilities based on meters provided
by their energy suppliers.

Energy consumption can be measured over a specific period of time (e.g. a week, month, or year). Energy
consumption can be measured with permanent meters or sub-meters or through temporary metering. In many
cases, the quantity of energy contained in the flow of gas or liquid fuel supplied may vary based on outdoor
temperature and/or other factors. A multiplier or factor is commonly used to derive the quantity of energy
contained in the fuel supplied vs. the actual measured flow of gas or liquid fuel.

The quantification of energy consumption relates energy use and is the foundation for determining energy
efficiency and consequently a core activity related to the improvement in energy performance.

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4.2.2 Energy Use

Energy use is a manner or kind of application of energy. Examples of energy uses include lighting, process
heat, space heating and cooling, compressed air, and steam generation.

Within an EnMS, an SEU is an energy use that accounts for a substantial proportion of the energy
consumption and/or offers potential for energy performance improvement. As a key characteristic of an
organization‟s operations, its energy performance should be monitored and measured. Using EnPIs for SEUs
will provide measurable energy performance results.

4.2.3 Energy Efficiency

Energy efficiency includes the following examples:

1) conversion efficiency - ratio of energy output to energy input;

2) energy required / energy used - where energy required may be derived from a theoretical model or
some other relationship;

3) output/input – for example the energy used per tonnes of production or degree days achieved per
unit of energy used.

Whenever an energy efficiency ratio is calculated both input and output should be clearly specified in quantity
and, where relevant, the quality should be measurable. In other words, it should consider the quantity of
output produced relative to the amount of energy consumed.

4.3 Identifying the relevant energy performance information

In order to make impactful decisions about strategies for more effectively managing energy performance, an
organization should identify what information would be meaningful to collect, measure, and analyze.
Organizations should draw on findings from the energy review.

Annex B illustrates the relationship between the energy review and information needed in identifying EnPIs
and establishing EnBs.

4.3.1 Obtaining relevant information from the energy review

Information contained in the energy review is essential to the identification of EnPIs and establishment of
EnBs. The energy review process is designed to produce a foundation for understanding the nature of energy
consumption, SEUs and the relevant variables affecting energy performance.

In order to determine what energy performance information should be monitored, organizations should:

1) Define the energy performance indicator boundary(ies) (EnPI boundary);

2) Define and quantify the energy sources and SEUs; and

3) Define and quantify relevant variables and static factors within the EnPI boundary.

4.3.1.1 Define the energy performance indicator boundaries

The boundary of the EnMS defines the area or activities within which the organization will manage energy .

To measure energy performance, suitable measurement boundary for each EnPI should be defined in the
EnMS boundary.

EnPI boundaries should be defined: :

 around each SEU that it wishes to control and improve;

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 according to process and operational areas of the operation that fall under specific organizational
responsibilities;

 according to specific equipment, processes and sub-processes that it wishes to isolate and manage due
to their significance; or

 in any other way management deems useful.

Considerations in EnPI boundary selection can include:

 the presence of SEUs within the EnPI boundary;

 the possibility of isolating the EnPI boundary from a measurement standpoint (energy and relevant
variables);

 the extent to which the EnPI boundary definition is aligned with current organizational responsibilities; and

 the extent to which responsibility for the management of energy within the EnPI boundary is clearly
allocated to specific individuals, teams, or groups.

The three primary EnPI boundary characteristic types are physical, system-related, and organizational. It is
also important to consider evolving business requirements when defining EnPI boundaries:

 Physical: this common EnPI boundary type typically pertains to a facility building or fence line in which
energy use is measured. It can also be broader than a single location to include a group of facilities. For
example, a product may be manufactured in one facility and shipped to a site for assembly, packaging or
distribution. In this case, the energy team may want to track all energy uses from component manufacture
to assembly and distribution of the final product, rather than just energy used at a single location.

 System-related: an organization may focus on a single system when the system is a significant portion of
the facility‟s energy use and the system‟s performance can be seen as a proxy for the facility‟s
performance. In addition, when metering or other data are insufficient for a facility-wide approach, a
system-related EnPI boundary may be the only viable choice.

 Organizational: an organizational EnPI boundary may be appropriate when energy performance is


measured for a business unit. This boundary can be established around systems within a facility or
between facilities. For example, large companies may define an EnPI boundary around a business unit
that manufactures a common product. A bottling company with worldwide plants may include all locations
for a product line, and would exclude information from other product lines in those locations. This
boundary is useful when business units have different objectives than those of other units within a facility.
It is also important to consider evolving business requirements when defining EnPI boundaries. Physical
changes or business events can occur that change the initial defined EnPI boundaries. For example, a
facility expansion or partial shut-down could warrant a change in the EnPI boundaries in which energy is
managed and data are collected. It is helpful to anticipate these types of situations when selecting EnPI
boundaries.

The organization may find it valuable to monitor energy at several different levels, each of which defines one
(or more) EnPIs. Broader-level boundary choices can define EnPIs that are effective for more senior business
managers, while an array of narrower choices can create EnPIs that meet the needs of operations managers
or process engineers. If an organization chooses to measure energy performance for part of a site, it should
consider whether energy consumption and data for relevant variables data are available within the EnPI
boundary. Organizations may determine that the significance of energy use in the EnPI boundary and/or the
opportunity for improvement is so high that it can justify the expense of new meters, sub-meters and/or
sensors to measure other relevant variables. In such cases, it will specify such metering in its monitoring,
measurement and analysis plan.

In some cases, it is appropriate to combine two or more EnPI boundary characteristics. In addition, once an
organization begins developing EnPIs and the related EnBs, it may be necessary to revisit EnPI boundaries
and revise them based on downstream requirements, such as the availability of appropriate data for certain

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production lines. The organization should identify all boundary exclusions. For example, an administrative
office building adjacent to a manufacturing facility can be excluded. Operational activities not under company
control at a location can be excluded.

4.3.1.2 Define and quantify the energy sources and significant energy uses

Once an EnPI boundary is defined, the energy flowing across the boundary can be identified, as can the
SEU(s) within it. A diagram like the one in Figure 2 can be useful.

Figure 2 — Fence Diagram

Energy inflows and outflows across the EnPI boundary – i.e. import (and export) of electricity, import of
primary fuels, changes in stock levels of fuels, import (and export) of other energy sources such as steam or
chilled water can then be measured taking into account the accuracy and repeatability of the meters and
measurement devices (M) used to quantify the flows of energy.

The identification of SEUs is an activity within the energy review. The establishment of required EnPIs and
EnBs should be informed by those SEUs identified in energy review.

Annex D summarizes references in ISO 50001 related to SEUs.

4.3.1.3 Define and quantify relevant variables

Depending on the needs of the organization and its EnMS, once the energy sources and SEUs are defined
and quantified, additional relevant variables that likely impact energy performance should be defined and
quantified. Once these have been identified, it is important to isolate variables which are significant in terms of
energy performance from the remainder which have little or no influence at the EnPI boundary level.
Organizations may already have some ideas concerning the more obvious relevant variables that may be
affecting energy performance. Some amount of data analysis is generally required to determine the
significance of these variables.

An initial step in this analysis is to plot the variable against energy consumption using a simple X-Y diagram.
If the variable is relevant, one expects to see evidence of a relationship in the scatter of points (see Figure 3 -
left). If the points appear as a random cloud with no evident relationship, the variable is likely not relevant (see
Figure 3 – center). If the points are scattered around a straight line then this is indicative of the presence of
relevant variables (see Figure 3 – right).

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Figure 3 — Variables with differing levels of significance

To determine whether climate is a relevant variable, for example, a trend chart can be used to look for
evidence of seasonality in energy consumption throughout the year. If the load is due to heating, the
consumption will increase during the cooler winter months. If the load is related to cooling, consumption would
increase during the summer months as showed in Figure 4.

Figure 4 — Trend chart showing seasonality (kWh/month)

NOTE Where operating patterns and the values of relevant variables fluctuate significantly it is important to ensure
that the data being analyzed for correlations is at the correct frequency to enable the effects of each variable to be
accurately observed.

Once the relevant variables have been isolated, further modeling techniques can be used to determine the
precise nature of the relationship. .

4.3.1.4 Define and quantify static factors

Examples of potential static factors and potential changes that could turn them into relevant conditions are
shown in Table 1.

Table 1 — Examples of potential static factors


Static factor Description Change to relevant variable
Product type Specific produces produced by the plant Plant introduces a new product and/or product
mix changes. If this had been recorded as a
Static Factor, the change in condition of the
Static Factor would trigger a review of the
variable.

Shifts per day Plant currently runs a set number of shifts A change to more or less shifts would

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per day significantly impact energy consumption.

Building occupancy The occupancy pattern of a building is A change in tenants might result in a significant
determined by the current tenants. change in occupancy pattern resulting in
changes in energy use and consumption

Floor area The size of the building that is the focus of The building is expanded which impacts energy
the EnMS use

Static factors can be variable, for instance in cases where their value or their characteristic changes several
times in a day or in a week or in other periods of interest. For example in manufacturing industry, the
production can change in quantity and in quality day by day. The status of a characteristic of an energy
system should be defined, explained and analyzed to see if it is best considered as a static factor or variable.

It is important to record the condition of static factors when EnPIs and EnBs are being established. The
organization should compare the condition of these static factors over time to ensure that the EnPIs and EnBs
remain relevant and to note any major changes that could introduce shifts in energy performance over time.

4.3.2 Considering organizational targets for energy performance

Organizations define targets for energy performance as part of the energy planning process in their EnMS.
The targets may be a single improvement value at the site level and/or may be composed of a number of sub-
targets that roll up into a single value. The organization should condider the specific energy performance
targets while identifying and designing EnPIs.

4.4 Identifying energy performance indicators

Once an organization has determined the types of energy performance information it will monitor, it should
proceed by choosing EnPIs.

EnPIs should, when compared over time, allow analysts to determine if the energy consumption rate, use, or
efficiency has changed. An organization should develop a list of all of the EnPIs it would like to track,
recognizing that, due to data availability and other barriers, it may not be possible to track all EnPIs. Table 2
defines examples of different forms of EnPIs.

Table 2 — EnPI Types


EnPI type Examples Useful for

Measured Absolute energy consumption Quantification of absolute energy consumption without


Value consideration of variables
Absolute energy consumption by energy Quantification of absolute energy consumption by specified
use use without consideration of variables
Ratio Energy efficiency Quantification of the ratio of a specified output value relative
to energy consumed value
Model- Linear regression Quantification of energy consumption relative to specified
based relevant variables
Non-linear regression
Engineering based

To select appropriate EnPIs, two key factors should be considered:

 Who are the users of the information?

 What measurable results of energy performance can be quantified?

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4.4.1 Identifying energy performance indicator users

There are two audiences for EnPIs:

a) Internal Audience: EnPIs that are driven by the need to manage improvement in energy performance.

b) External Audience: EnPIs that are driven to meet information requirements derived from legal and other
requirements.

Typical external audiences for energy performance information will include regulatory bodies, professional and
sector associations, and ISO 50001 auditors.

Unless the information represented in an EnPI is effectively absorbed and translated into action by people
within the context of a management process, it will not have served its purpose. Consideration for the
organizational use of EnPIs is therefore a critical design activity.

Organizational users can be defined by their levels and by their functional roles. These can include but are not
limited to:

 Top Management: top management's responsibilities include ensuring that EnPIs are appropriate to the
organization, to consider energy performance in long term planning, to ensure that all legal and other
external requirements are met and to ensure that results are measured and reported at determined
intervals.

 Management Representative: the management representative is required to report to Top Management


on energy performance and hence will require a range of indicators to do so.

 Energy management Team: the energy management team has a significant responsibility for delivering
measurable results within the EnMS. Those developing EnPIs should consult with the team in order to
gain specific insights into the needs of this user group.

 Supervisor level: the supervisor level will typically hold operational responsibility for a significant energy
use and should understand both energy performance and any deviation from desired performance both in
terms of energy consumption and/or energy efficiency terms but also possibly in financial terms.

 Operator level: the operators will be responsible for the efficient and effective operation of equipment
which may be in whole or in part a SEU. Operators should use energy performance indicators to ensure
efficient operation and to eliminate waste. Additionally, in order to ensure operational control and
corrective action for deviations in energy performance, specific EnPIs may be needed at this level to
provide feedback to ensure the continued operation of systems.

 Maintenance function: the maintenance function is responsible for ensuring that equipment can be
operated in an efficient and effective manner by performing regular preventative maintenance, controlling
performance degradation and by promptly rectifying malfunctions.

4.4.2 Determining the specific energy performance characteristics to be quantified

EnPIs are used in three general types:

 Measured values of energy consumption;

 Ratios; and

 Model based indicators (i.e. regression or engineering models/simulations).

Indicators of energy use should be expressed in terms of energy consumption or energy efficiency and may
be measures of energy consumption or energy efficiency, or may be measures of changes in energy
consumption and/or energy efficiency.

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Selecting EnPIs and defining the measurement parameters for these EnPIs is a crucial step in the process of
establishing an energy performance strategy . Table 3 presents types of EnPIs and related uses.

Table 3 — Types of EnPIs and Uses


EnPI Type Useful for Examples

Measured  Measuring reductions in absolute  Eliminate unnecessary lighting during unoccupied


Value use or consumption of energy periods
 Where regulatory environment  Eliminate oil use on multi-fuel boilers
based on absolute savings
 Reduce peak demand for electricity
 Absolute energy savings for Energy Efficiency
Programs
 Absolute energy savings for GHG reductions

 Monitoring systems that have only  kWh/ton of production


one relevant variable 2
Ratio  kWh/m of floor space
 Monitoring systems where there is
little or no baseload (i.e. where
there is little or no fixed
consumption)
 Standardized comparison across
multiple facilities

Model-  Comparing energy performance  Energy used in production process, energy system or
based: between two periods where the building facility where there is considerable variation
Regression relevant variables affecting energy in a single variable (production rate, refrigeration or
performance are dissimilar and a steam demand, occupancy of the building varies)
true comparison requires
normalization to enable an “apples  Energy used in production process, energy system or
for apples” comparison of energy building facility with multiple relevant variables
performance between periods; affecting energy (i.e. different product types, moisture
content, outdoor weather)
 Modeling more complex systems
typically found within industry or
non- domestic buildings where the
relationship between energy
performance and the relevant
variables is linear;

Model-  Normalizing for complex operations  Large buildings where the interaction of the hours of
based: where variables are numerous and operation of one suite relative to another and the
Engineering the interaction between them is non- existence of central built-up HVAC systems rather
Simulation linear than suite-by-suite systems changes the effect of the
variable dramatically, or where the tenants or the
tenants„ needs may vary from year to year.
 Large industrial or power generation systems where
engineering calculations or simulations enable
adjustment for changes in relevant variables and
their interactions.

Annex E provides supplemental information about selecting EnPIs. Annex F provides a more detailed
example of the process an organization might undertake to select appropriate EnPIs.

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4.4.3 Measuring energy performance using energy performance indicators

Once EnPIs have been identified, an organization should determine how to measure them on an ongoing
basis in order to track energy performance over time.

Table 4 defines the specific elements of energy performance that can be quantified, the types of energy data
and measurements required for quantification, other types of data required in certain cases, and the types of
challenges that organizations might face in quantifying energy performance. The type of energy consumed
must also be specified, e.g. electricity, high pressure steam, etc, together with relevant parameters, such as
pressure and temperature.

Table 4 — Energy performance measurement


Energy Energy data Measurement Other potential data Challenges
performance required for method needed
element quantification

Energy Quantity of Meter, sub-meter, Relevant variables,  Lack of existing meters


consumption energy spot or temporary e.g. weather,
consumption measurement production cycles  Detailed meter data not
accessible from energy
supplier

 Lack of data on relevant


variables and/or lack of data
in a form that can be
compared with energy data

Energy efficiency Quantity of Meter, sub-meter, Production output  Same as energy


energy spot or temporary quantities, building consumption
consumption measurement size, Heating Degree
Days/ Cooling Degree  Lack of output value data
Days, operational
hours, etc.

Energy use Quantity of Meter, sub-meter, Relevant variables,  Same as energy


energy spot or temporary e.q. weather, consumption
consumption measurement production cycles
for specific  Lack of output value data
energy uses

It is important to note that the methodology for determining and updating the EnPIs needs to be recorded and
regularly reviewed.

4.5 Establishing energy baselines

The EnBs are quantitative references providing a basis for comparison of energy performance for a period of
time. It is the energy reference against which future energy information will be assessed in order to identify
any changes in energy performance. The EnB should provide a picture of what the ongoing energy
performance would be if no changes were introduced.

The establishment of the EnBs is intrinsically linked to the identification of EnPIs. EnPIs are used to represent
the energy information that will be compared across periods: the baseline period and the performance period.
A comparison between the EnB and performance period EnPIs can be used to illustrate progress towards
objectives and targets set by the organization.

The following steps should be taken to establish an EnB:

 Selecting the EnBs that corresponds to the EnPIs;

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 Determining a suitable data period;

 Gathering data;

 Testing the EnB (if using a model-based EnB).

The chosen EnB should be a value, ratio or model that describes the state of EnPIs for an initial period of time.
An „absolute‟ EnB expresses the energy consumption of a system. A „specific energy ratio‟ EnB expresses the
energy efficiency of a system. EnBs derived through „regression analyses„ or other engineering modeling
approaches describe the relationship between EnPIs and other relevant factors that influence energy
performance.

4.5.1 Selecting an appropriate energy baseline type

The type of EnB specified will depend on the nature and availability of EnPIs. Table 5 shows types of EnBs
that organizations may choose to use.

Table 5 — EnB Types


EnB Type Description Useful for Disadvantages

Measured  Simple method in which to  Measuring reductions in Does not take into account
Value express a EnB in terms of absolute use or consumption the effects of relevant
absolute energy consumption of energy variables

 Consists of energy use history  Where regulatory environment


only with no relevant variables based on absolute savings

 Energy in the EnB is not


normalized using variables

Ratio: specific  Simple method corresponding  Tracking relative May not account for base
energy to a measure of energy improvements of the system load energy use effects
intensity where an energy input or subsystem.
is divided by the production
output  Tracking improvements to
systems that do not involve a
 Energy consumed per unit of lot of variability or significant
economic activity, typical base load.
energy intensity metrics
measured as energy/unit of
2
 Practical for evaluating the
production, energy per m of energy efficiency of an entire
floor space plant, to detect wasted energy
consumption, or to evaluate
effectiveness of the
improvement measures

Model– Mathematical relationship linking  Modeling more complex  Relationships can be


based: energy consumption to one or more relationships typically found difficult to determine
Regression- relevant variables within industry or non-
linear domestic buildings  May not be clear if any
residual error is due to
 Linear regression models modeling error or lack
multiple factors to be taken of control over
into account in estimating consumption
consumption

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Model– Mathematical relationship linking Energy consumption of the pump Requires a detailed system
based: energy consumption to higher is proportional to the cube of the understanding to define the
Regression- powers of one or more relevant delivery flow correct functional form of
non-linear variables relationship expected

Model– Set of mathematical equations  Normalizing complex systems Requires calibration or


based: describing the physical/chemical for well-understood effects comparison to metered or
Engineering processes occurring sub-metered data for
simulation  In cases when regression reliability
analysis fails to take
advantage of well-known
patterns of behaviour

Annex C provides additional information about using different approaches to constructing EnBs.

4.5.2 Determining a suitable data period

The organization should determine a suitable data period considering the nature of its operations. The regular
period to be considered should be:

 One Year: the most common EnB duration is one year, likely due to alignment with energy management
business objectives, such as reducing energy consumption from a previous year. A year also includes the
full range of seasonality and hence can capture the impact of relevant variables such as weather on
energy use and consumption. It can also capture a full range of business operating cycles where
production may vary during the year due to annual market demand patterns.

 Less than One Year: EnB duration of less than one year can be suitable in cases where energy use and
consumption are steady throughout the year and shorter operating periods capture a reasonable range of
operating patterns. In these instances, monthly production rates should be stable enough throughout the
year to enable monthly or quarterly tracking. Short EnB durations may also be necessary for situations in
which there is an insufficient quantity of reliable or available historical data, or when changes to the
organization, policies or processes make only current data appropriate. Where an EnB is based on a
short period of data due to lack of data availability, adjustments may be needed.

 More than One Year: seasonality and business trends can combine to make a multi-year EnB optimal.
Specifically, custom multi-year EnB periods are useful for extremely short annual production cycles where
a business manufactures for a few months each year and is relatively dormant for the remainder of the
year. For example, a winery might want to track energy performance only during the crush and
fermentation period of each year, over multiple years.

4.5.3 Gathering data

Once the potential relevant variables have been identified, the first step is to gather data that will be used to develop the
EnB. The guidelines on data gathering described in the next three subsections are aimed at ensuring a representative
EnB is obtained and the possible challenges.

An organization may discover that some of the EnPIs that were earlier identified as significant may be
untrackable due to data limitations or other barriers. Therefore, in constructing its EnB, an organization will
need to assess and may choose to refine the EnPIs.

The organization should also include additional metering or monitoring if any untrackable EnPIs identified are
important for understanding energy use within the organisation.

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4.5.3.1 Meters and measurement

For each variable identified, some measurement is necessary. It is important to understand what should be
measured for each variable. For example, in cases where energy use per unit of production is being
measured, it is important to understand the relationship between each step in the production process. In other
words, counting the number of final products may or may not adequately capture the various intermediate
outputs produced, and whether or not some of these intermediate outputs are waste, value added, or recycled.
In addition, the accuracy of the meters used can undermine the validity of the data collected; it is important to
ensure that the equipment is being used correctly.

4.5.3.2 Data frequency

Depending on the source of the data, frequencies ranging between one point per minute (e.g. process control
data) to one point per month (e.g. invoice data) may be available.

The frequencies depend on the purpose of the EnB and the expected frequency of use. Where performance
will be compared against the EnB on a regular basis, daily or weekly data may be needed. If the EnB is being
used for management oversight, then monthly review cycles may be more appropriate. If regression analysis
is being used, the data frequency should be sufficient to capture operating conditions.

4.5.3.3 Data Quality

Prior to developing an EnB, it is recommended that the data set is reviewed to determine whether it contains
significant outliers – typically a result of faulty metering or data capture or unrepresentative operating
conditions.

One way of identifying outliers is to calculate the mean and standard deviation of each variable and to identify
the occurrence of those points which are in excess of 2.5 standard deviations from the mean – if the value of
the variable is normally distributed then these points have a 1.2% probability of occurrence. The fact that an
individual point has a high standard deviation is not a guarantee that the measurement is faulty but is an
indicator of an extreme value.

If data points are excluded from the EnB then care should be taken that this does not introduce bias into the
model.

4.5.4 Testing energy baselines

In cases where an EnB was developed through regression analysis or engineering modelling, the EnB should
be tested for statistical accuracy.

4.6 Using energy performance indicators and energy baselines

To assess changes in energy performance, organizations will quantify EnPIs measured during the
performance period and compare these values to the equivalent figures captured in the EnB. The comparison
of energy performance between two different periods can be done using energy consumption measured
values, ratios or modelled values, as in Table 6.

Table 6 — Methods to calculate energy performance change

Energy performance change calculation Explanation


method

Measured value Fixed value – no normalization is applied since the comparison is


between absolute consumptions.

Ratio Calculates by Ratio-Energy consumption per unit of output


(production, energy use etc.)

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Model based: Linear (linear relationship The regression equation is determined from the value of the energy
Regression between energy and the consumption and the relevant variables during the EnB period. The
variables) value of the variables during the reporting period are applied to the
regression equation to calculate the energy that would have been
Non-linear: relationship consumed had the relationship between energy and the relevant
between energy and variables variables remained consistent between the EnB period and the
is non-linear reporting period.
(ex. Cubic relationship
between energy and flow in a
fan or pump)

Model based: Engineering simulation Calculated by inputting the values for the relevant variables in the
reporting period into the baseline equation or simulation. The
calculated EnB value is compared to the measured consumption in
the reporting period.

4.6.1 Calculating changes in energy performance

There are many approaches to comparing EnPI data over time and it is important for an organization to
determine trends that will be meaningful for monitoring and improving its operations. Three common
approaches for measuring change over time are to calculate:

a) Energy Difference: This is the difference between the baseline period EnPI value and the reporting period
EnPI values.

Example: Baseline EnPI = B, Reporting EnPI = R


Baseline Difference = B – R
b) Percent Change: This is the change in values from the EnB period to the reporting period, expressed as
a percentage of the EnB value.

Example: Baseline EnPI = B, Reporting EnPI = R


Percent Change = [(R – B) / B] x 100
c) Current ratio: This is a ratio of the reporting period value divided by the EnB period value.

Example: Baseline EnPI = B, Reporting EnPI = R


Current Ratio = (R/B)

Additionally, the organization may choose to calculate change in energy performance directly or on a
normalized basis. Whether to calculate change by direct comparison or on a normalized basis depends in
part on established objectives and targets, which facets of energy performance are being measured, and how
the results will help the organization better manage energy performance.
For communicating energy performance see Annex G.

4.6.2 Determining when energy baselines should be normalized

Direct comparison of an EnPIs„ value to its corresponding EnB allows for the straight forward measurement of
energy performance improvement progress or change. This direct or un-normalized method reflects the
results from all activities that occurred during the performance period and includes the contributions from all
relevant variables present. This method most closely compares measured values in the EnBs to measured
values in the EnPIs, including all variables.

At times however, the organization may have a need to determine the performance change resulting from
specific selected activities and conditions as distinct from the effect of certain variables. A typical example is

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looking at building energy usage between two periods where the outdoor temperature in the two periods was
different. In cases where an organization wishes to compare its energy consumption between two periods on
a basis that neutralizes the effect of the variables, it may choose to normalize the EnB using the variables to
enable comparison of energy consumption on the basis of consistent values for the variables in the two
periods.

Cases where organizations may wish to normalize their EnBs using variables in order to obtain useful
information related to energy performance may include situations where variables impact energy consumption
such as:

 Outdoor temperature;

 Building occupancy percent or usage type;

 Hours of operation;

 Production variations;

 Product type variations;

 Volumes and quantity changes.

Direct measures of EnPIs give their value at, or over, a specific period of time. For example:

 Energy consumption for a site in 2010 was 1,200,000 kWh;

 Energy consumed for lighting during a month was 24 MWh.

A potential issue with EnPIs is that unless the audience has some prior knowledge of the EnPI, and the goals
of the organization, a direct value can have limited utility. Direct measures can be trended over time, and it is
the trend value of the performance indicator that is informative rather than the number at a specific point in
time.

Comparative measures go some way to address the limitations of direct measures. Comparative measures
look at performance over a period of time. For example:

 Energy Consumption: between 2008 and 2012 site level electricity consumption fell by 200,000 kWh /
year.

However, without additional information about changes that occurred between 2008 and 2012 (as in the
above example), it would be difficult to determine whether progress has been made towards meeting the
organization‟s goals and targets. For example, market demand required a change in the mix of products
produced during 2011 and 2012, the drop in consumption cited in the example might or might not, in fact, be
related to improvements in energy performance. If the organization established improvement targets based on
efficiency or intensity or total consumption excluding effects attributed to changes in product mix and not on
gross reductions from all causes or actions, then the direct comparison results showing improvement might be
misleading.

In order to accommodate additional factors not captured in „absolute‟ comparative measures like the example
provided above, analysts can „normalize‟ the output values. The process of normalization aims at determining
what the energy performance would have been over the period in question if all non-energy factors (e.g.
production, product mix, weather, maintenance, technology, etc.) had been constant.

Annex E provides supplemental information about measuring, monitoring, and normalizing EnPIs and EnBs.

4.7 Maintaining energy performance indicators and energy baselines

Organizations may sometimes make changes to their facilities that result in a change in energy use and/or
consumption. When this happens, the organization should examine whether the current EnPIs and

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corresponding EnBs are still appropriate and effective in measuring energy performance in a manner
consitent with its goals and targets and that is useful in effectively managing energy. If the measure provided
is no longer reflecting the targetted energy performance of the organization, facility, system, equipment or
processes, then a change of EnPI or adjustment to the EnB may be appropriate.

Example of such changes include:

 Energy use change: when an organization makes a fundamental change to the forms of energy it is
using, it may need to modify what is tracked (EnPIs) and how those factors are weighted in its EnB.

 Operational changes: when an organization makes significant operational changes it is possible that
EnPIs and EnBs may be impacted. For example, if an organization introduces a new process the
organization may consider initiating the EnB timeframe at the point immediately following that change.
This would require a new EnB representing the new conditions.

 Data availability: improvements to the facility‟s metering and data collection system may result in better
quality data becoming available or new relevant variables coming to light.

 Changes in operating hours: When the hours of operation of a facility change, this may require an
adjustment to the EnB. An example would be moving from a 3 shift per day to a 1 shift per day operation
or changing from 7 day week to a 5-day week.

 Target changes: Organizations may wish to update the EnB period in order to lock in accomplishments
to date and focus on improving against the current energy performance instead of a past period. A
strategic decision of such a nature would necessitate the updating of the EnB to a recent period (such as
the last year) to serve as the new reference point.

 Static factor changes: If static factors that were identified during the EnB establishment activity as static
factors change condition and become relevant variables impacting energy consumption, then to the
extent data are available concerning the static factors, the EnB can be adjusted. If such data do not exist,
then the EnB may need to be updated to reflect a period which includes the relevant variables.

 According to a predetermined method: The organization may find it useful to identify conditions in
advance that would require a change to the EnPIs or an adjustment to EnBs. The organization can also
predetermine the rules and methods that will be used in making adjustments. An example might be for
EnPIs and EnBs that are established to comply with legal or other requirements (e.g. to external
organizations), rules and methods should be established on when and how EnPIs and EnBs will be set
and adjusted to meet those requirements.

 Management Review: One of the inputs to Management Review is the review of EnPIs. Therefore, a
corollary output is potential changes to EnPIs.

EnPIs should be updated if there is a change in EnBs and vice versa. A significant change in EnPI values may
signal an underlying change in energy consumption, efficiency and use, or relevant variables that merits an
adjustment to the EnB. Also, a change in EnBs again can signal a fundamental change in conditions that
merits a change in EnPIs.

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Annex A
(informative)

ISO 50001 requirements for energy baselines and energy performance


indicators

ISO 50001 Requirement


Reference

4.2.1.g TOP MANAGEMENT

Top management shall demonstrate its commitment to support the EnMS and to continually
improve its effectiveness by […] ensuring that EnPIs are appropriate to the organization.

4.4.4 ENB
The organizations shall establish an energy baseline (EnB(s)) using the information in the initial
energy review, considering a data period suitable to the organization‟s energy use and
consumption. Changes in energy performance shall be measured against the EnBs.
Adjustments to the EnB(s) shall be made in the cases of one or more of the following:
1. EnPIs no longer reflect the organizational energy use and consumption
2. there have been major changes to the process, operational patterns, or energy system
3. according to a predetermined method
The EnB(s) shall be maintained and recorded

4.4.5 ENERGY PERFORMANCE INDICATORS

The organization shall identify EnPIs appropriate for monitoring and measuring its energy
performance. The methodology for determining and updating the EnPIs should be recorded and
regularly reviewed.
EnPIs shall be reviewed and compared to the EnB as appropriate

4.6.1 MONITORING, MEASUREMENT AND ANALYSIS

The organizations shall ensure that the key characteristics of its operations that determine energy
performance are monitored, measured and analysed at planned intervals. Key characteristics shall
include [...] EnPIs.

4.7.2.c INPUT TO MANAGEMENT REVIEW

Inputs to the management review shall include […] review of energy performance and related
EnPIs

4.7.3.c OUTPUT FROM MANAGEMENT REVIEW

Outputs from the management review shall include any decisions related to […] changes to the
EnPIs

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Annex B
(informative)

Information generated through the energy review

Energy Review Energy Review Energy Review Activity Information generated which
Activity (as per 4.4.3 Secondary Activity is relevant to measuring
of ISO 50001) energy performance

a) analyze energy use  a1) identify current  determine sources and quality 
and consumption based energy sources of energy data;
on measurement and (metered/unmetered)  list of the kind of energy and
other data its amount
 a2) evaluate past and  quantify energy consumption 
present energy use and and use by type of energy
 trend graph of energy use
consumption
and its amount
b) based on the  b1) identify the  identify main energy using  boundary(s) of total system
analysis of energy use facilities, equipment, facilities, processes, to be managed;
and consumption, systems, processes and equipment and people;
identify the areas of  identification of potential
personnel working for,
SEU  break up into “sub-systems” of boundaries of sub-systems
or on behalf of, the
interest (i.e. facilities, representing SEU
organization that
equipment or processes)
significantly affect  identification of relevant
energy use and  rank sub-systems by energy personnel potentially
consumption use significance requiring access to energy
performance information
 identify personnel controlling or
influencing SEUs  defined data limitations;
 select sub-systems for
potential sources of relevant
energy information
 b2) identify other  With knowledge of sub-  expected range of relevant
relevant variables systems (via reference to variables and whether
affecting SEUs users/operators of relevant variables are
subsystems) develop a list of climate related etc. or not.
potentially relevant variables
 Identification of data
which may influence energy
period(s) which is needed to
consumption within each of the
capture expected full range
subsystems.
of relevant variables.
 availability of data on
variables that can be
practically used to develop
EnPIs
 b3) determine the  develop list of key energy  requirements for EnBs
current energy variables linking energy required in support of not
performance of consumption and the relevant only the whole facility level,
facilities, equipment, variables which are needed to but also at the level of SEUs
systems and processes manage improvement in where the organization
related to identified performance for SEUs. intends to manage energy
SEUs performance.

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 b4) estimate future  based on current performance,  identification of relevant


energy use and known future changes to variables impacting energy
consumption facilities, systems, processes performance
and equipment and the
identified opportunities,  preliminary models to be
estimate the consumption at used in establishing the
points in the future right variables in the EnB

c) identify, prioritize and  identify opportunities  preliminary definition of


record opportunities for magnitude and type of
improvement in energy  calculate impact on energy energy performance
performance performance of facility, improvement being planned
process, system or equipment for
as required
 identification of specific
 define objectives and targets areas of the facility for which
for prioritization energy performance
 apply to opportunities to information may be needed;
prioritize opportunities  comparison of expected
 record opportunities and performance improvement
objectives and targets used for against objectives and
prioritization targets

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Annex C
(informative)

Further guidance on energy baselines

C.1 How to define an energy baseline model


An EnB model presents values for EnPIs at a given point or period of time against which future energy
performance will be assessed. The specification of an EnB model will be determined by the nature and
availability of relevant data.

An EnB can be expressed as:

 an approximation (e.g. a standalone value for total energy consumed during the EnB period);

 a relational expression (e.g. a formula relating the energy efficiency of a system to daily temperature and
daily production); or

 a set of raw energy data in a spreadsheet.

An EnB model should be devised using measured values for EnPIs and other relevant variables. In many
cases, output values from facilities will not change over a short time period. To obtain the most accurate
model possible, the EnB period should be long enough (normally one year) to capture normal variations in
production volume and seasonal factors across all seasons.

In many cases, the most complete EnB models will be determined using regression analysis. Nevertheless,
regression analysis is only appropriate in cases where adequate data are available. In cases where data are
insufficient or unavailable, alternative EnB metrics, such absolute energy consumption or energy efficiency,
should suffice.

Table C.1
EnPI Type Useful for Examples Type of EnB Energy # of Normalizati
required to Data Relevant on required
support EnPI required variables during use
Used of the EnB
Measured Measuring Eliminate unnecessary Consists of YES NONE NO
Value reductions in lighting during energy use
absolute use or unoccupied periods history only with
consumption of no relevant
energy Eliminate oil use on variables required
multi-fuel boilers

Where regulatory Reduce peak demand


environment based for electricity
on absolute
savings Absolute energy
savings for Energy
Efficiency Programs;

Absolute energy
savings for GHG
reductions
Ratio: Tracking kWh/ton of production Energy intensity YES Single NO
specific improvements to metric typically
2
energy systems that do kWh/m of floor space measured as
not involve a lot of GJ/ton.km for freight energy/unit of
variability effective work

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output
Standardized
comparison across
multiple facilities
Model- Comparing energy Energy used in Mathematical YES Single or YES
based: performance production process, relationship multiple
Regression: between two energy system or linking energy
-Linear periods where the building facility where consumption to
relevant variables there is considerable one or more
affecting energy variation in a single relevant variables
are independent variable (production using a linear
and a true rate; refrigeration or regression model
comparison of steam demand;
energy occupancy of the
performance building varies;
requires
normalization to Energy used in
enable an “apples production process,
for apples” energy system or
comparison of building facility with
energy multiple relevant
performance variables affecting
between periods; energy (i.e. different
Modeling more product types; moisture
complex systems content; outdoor
typically found weather)
within industry or
non domestic
buildings where
the relationship
between energy
and the relevant
variables is linear;
Model- Modeling non Pumping and fan Mathematical YES Single or YES
based: linear relationships systems where relationship multiple
Regression: between energy relationship between linking energy
-Non-linear and relevant energy and the work consumption to
variables output is cubic higher powers of
one or more
relevant variables
Model- Normalizing for Large buildings where Building YES Often Yes – this
based: complex the interaction of the simulation dozens, method is
Engineering operations where hours of operation of models, based on intended for
Simulation variables are one suite relative to preferably those specificati the purpose
numerous and the another and the that meet national ons and of
interaction existence of central or international based on normalizatio
between them is built-up HVAC systems standards site- n
non-linear rather than suite-by- specific
suite systems changes measure
the effect of the variable ments
dramatically, or where
the tenants„ needs may
vary from year to year

C.2 Using regression models to define an energy baseline model


If adequate data describing energy use and all of the variables thought to influence energy use are available,
regression analysis may be an appropriate approach for determining an EnB. The nature of the data available
as well as the relationships between the data determine the type of regression analysis that should be
performed. Statistical software packages are available that allow researchers to construct regression models
using large quantities of data.

To determine if regression analysis is appropriate for determining an EnB, the person responsible for
developing the EnB should have knowledge of statistical methods or should consult colleagues or external
resources with this knowledge. Without knowledge of statistics, regression models may be incorrectly defined

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and/or misinterpreted, which could lead to inappropriate decisions and actions being taken in response to
erroneous findings.

C.3 Examples of different energy baselines specifications


The following sub-sections present examples of different situations where different indicators are used for
EnBs.

EXAMPLE 1 Measured value

A pulp and paper company consumes significant quantities of steam in its process and operates two large
boilers. One of the boilers consumes biomass fuel and the other boiler burns oil. Company management has
determined that the cost of oil has become a significant risk to the business and that to remain competitive
and even viable, the company has to eliminate the burning of oil. Through some evaluation of its current
energy consumption, the company technical staff determines that it may be possible to accomplish this goal
by increasing the energy efficiency of the existing biomass boiler . The company therefore chooses to use an
EnPI representing current oil consumption per month and to compare it with the EnB energy (oil) use of the
facility.

The company does not care about the ups and downs of steam demand driven by outdoor temperature nor by
fluctuations in paper production. It simply wants to reduce absolute oil consumption for business reasons. In
this case, the EnB energy would simply be a record of the oil consumption during the EnB period. The
company could calculate its energy performance relative to this energy consumption reduction target by either
comparing performance period oil consumption with EnB oil consumption or it could simply compare its
performance period energy consumption against its target of 0 oil consumption.

EXAMPLE 2 Specific Energy Ratio

Company ABC uses an electric arc furnace in its process and understands that to remain competitive, it needs
to achieve a world class level of a certain kWh/ton of liquid metal produced (Specific Energy Ratio). The
company management understands that there may be many reasons why Company ABC is not currently
operating at the world class level, however none of these reasons change the fact that unless it can get its
Specific Energy Ratio to the world class level, it will likely not remain in business.

Management therefore decides to track the Specific Energy Ratio of the furnace as kWh/ton and to compare
its current energy performance to the EnB energy performance and to track improvement. Management
understands that it will take some time to close the gap, so they set a 3-year period goal of improving by 2%
per year against the EnB. They calculate that with that rate of improvement, the gap will be closed in 4 years.

EXAMPLE 3 Regression Analysis

A hotel operator wants to improve energy performance for the hotel‟s heating operations. An EnB is
developed for gas used by the boiler for the building for the prior year. At the beginning of the next year, the
building operator invests in new boiler controls to optimize the air/fuel ratio of the boiler and sends the boiler
operator on a training course to develop skills in operating boilers in the most efficient manner possible.
Despite these actions, at the end of the next year, the hotel operator looks at her gas bills and finds her
annual cost has gone up rather than down. However, upon further analysis she discovers that the unit price
for gas has gone up from the initial year and so she compares the actual gas consumption from year to year.
nd
She however is again disappointed as the annual consumption in the 2 year is higher than it was in the EnB
year. Despite investing in improved energy efficient controls and training for her boiler operator, the boiler is
now consuming more gas than the prior year. At this point, she calls in her boiler operator to discuss the
situation.

The boiler operator explains that he has been tracking boiler energy efficiency on a daily basis following the
course he took and his boiler energy efficiency has improved by 5% as a result of the improved controls and
better operating practices. He further raises the point that the true measure of the energy performance of the
boiler system is to look at how much gas they are burning to do the work required, namely produce hot water
for heating the hotel. He also has information that shows the hotel operator that the winter during the EnB year
was unusually warm and this past year was the coldest on record. He further shares the analysis that he was

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taught to do during his training course with the hotel operator. He has used a linear regression model to
develop an equation that reasonably explains the mathematical relationship between energy (gas
consumption) and degree days. He shows her that the correct way to look at the situation is to calculate the
energy that would have been used had the boiler‟s energy performance been as it was during the EnB period
and then to compare that with the actual gas used in the performance period.

The boiler operator then shares this calculation with the hotel operator and shows that the gas that would
have been used had the energy improvement actions not been taken was 7% higher than what was actually
used. When the hotel operator calculates her saving in consumption and cost, she is now pleased that she
made the investments into energy efficient controls and training for the boiler operator. She instructs the boiler
operator to start sending her a report every month that calculates boiler energy performance in a more
accurate way.

C.4 Key Questions to be answered in establishing an energy baseline


Organizations seeking to establish EnBs as part of ISO 50001 should answer some key questions:

 What purpose is to be served by the EnB?

 Are we going to be using the EnB for measuring energy performance changes amongst multiple facilities,
at the whole facility or site and/or areas within the facility and/or site?

 Are we quantifying energy performance changes?

 What specific Energy Performance Indicators will the EnB serve?

 Are there any requirements for EnBs that have emerged from our Energy Review process?

 Will I need a single EnB or multiple EnBs?

 What metered data and relevant variables data limitations do we have that may limit what can be initially
done?

 Has our facility or operation (or major parts within it) changed significantly in the recent past and could
past periods not be good reference periods to measure energy performance changes against?

 Do we have any obligations to report energy performance either within or external to the organization that
we need to take into account that could affect our EnB requirements?

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Annex D
(informative)

Significant energy use references in ISO 50001

Table D.1
ISO 50001 Section Activities required

Introduction This International Standard specifies energy management system (EnMS)


requirements, upon which an organization can develop and implement an
energy policy, and establish objectives, targets, and action plans which take
into account legal requirements and information related to significant energy
use.

Energy Review based on the analysis of energy use and consumption, identify the areas of
significant energy use

identify other relevant variables affecting significant energy uses

determine the current energy performance of facilities, equipment, systems and


processes related to identified significant energy uses

Energy objectives, energy targets and When establishing and reviewing objectives and targets, the organization shall
energy management action plans take into account legal requirements and other requirements, significant energy
uses and opportunities to improve energy performance, as identified in the
energy review.

Competence, training and awareness The organization shall ensure that any person(s) working for or on its behalf,
related to significant energy uses, are competent on the basis of appropriate
education, training, skills or experience.

The organization shall identify training needs associated with the control of its
significant energy uses and the operation of its EnMS.

Operational control The organization shall identify and plan those operations and maintenance
activities which are related to its significant energy uses and that are consistent
with its energy policy, objectives, targets and action plans, in order to ensure
that they are carried out under specified conditions

establishing and setting criteria for the effective operation and maintenance of
significant energy uses, where their absence could lead to a significant
deviation from effective energy performance;

Procurement When procuring energy services, products and equipment that have, or can
have, an impact on significant energy use, the organization shall inform
suppliers that procurement is partly evaluated on the basis of energy
performance.

Monitoring, measurement and analysis The organization shall ensure that the key characteristics of its operations that
determine energy performance are monitored, measured and analysed at
planned intervals. Key characteristics shall include at a minimum:

a) significant energy uses and other outputs of the energy review;

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b) the relevant variables related to significant energy uses;

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Annex E
(informative)

Supplemental information about selecting energy performance


indicators

E.1 Types of energy performance indicators

E.1.1 Measured value

Absolute energy consumption savings and improvement could be applied to energy consumption and/or peak
demand savings. If an organization establishes objectives, targets and action plans for achieving absolute
energy savings, then it would choose EnPIs that monitored absolute energy consumption. The EnB would
simply need to contain the energy consumption or peak power data for a chosen data period that was
representative of the organization‟s energy consumption patterns.

Many organizations may choose to target improvement in absolute energy consumption and therefore select
appropriate EnPIs and establish a corresponding EnB suitable for comparing energy consumption changes.

Examples:

 Quantity of energy used per year;

 Quantity by type of energy used.

Some examples of cases where absolute measured value EnPIs may be relevant and adequate are:

 A national passenger railroad, where the number of trains operated annually will not vary by much; or, if a
new high speed service is initiated, this effect can be treated by updating the original EnB;

 An owner-occupied office or retail building;

 A portfolio of buildings around the world, where changes in tenants and/or weather conditions will
average out;

 A refrigerated warehouse;

 A municipal waste water treatment plant, where the municipal authority can improve energy performance
by improving intensity but also by encouraging reductions in water use by its customers.

E.1.2 Ratio

Many organizations choose, to look at energy relative to its relationship to a specific variable such as
production or square meter of building space etc. Organizations operating many facilities of a similar nature
utilize such indices in order to compare facility energy performance across multiple facilities and/or benchmark
against competitors or industry standards. Such indices are referred to as intensity indices or Specific Energy
Ratio. In such cases, energy is divided by a production unit or other relevant measure (e.g. in commercial
building square meters of floor area may be appropriate).

The calculation of savings would involve the EnB SER minus the reporting period SER multiplied by the
current production or equivalent index etc.

Example:

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 Quantity of energy used per unit product.

E.1.3 Model based indicators

The final class of indicators refers to circumstances where energy performance depends on multiple variables.
These models can be derived through linear regression, non-linear regression (e.g. the non-linear
relationships that link energy to throughput in fans), or can be constructed using engineering based theory.
Engineering based theory is likely to be used where the relationship between energy other variables involves
complex relationships that cannot be accurately captured with regression.

How an organization chooses to quantify its energy performance and energy performance changes will
therefore affect the types of EnPIs and EnBs required.

Examples:

 Influence of external temperature on energy consumption;

 Impact of regular maintenance on efficiency of production processes;

 Impact of changes in consumption of one energy source on the consumption of other energy types.

E.1.4 Energy waste

Indicators based on energy consumption, energy efficiency or models will typically address all of the energy
consumed. In addition, considerable value can be created by focusing on specific elements of the energy
consumption or efficiency – for example the energy being wasted. Energy waste takes many forms.

Examples:

 Production lines kept in operation when one item of equipment is incurring downtime;

 Variability in energy consumption at a given level of throughput, all other variables being stable;

 Equipment that has a high level of fixed consumption irrespective of the amount of production.

The following table provides further descriptions about common EnPI categories, as well as examples of their
applications, advantages, and disadvantages:

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Table E.1
EnPI Unit Application How to use EnBs Fixed Unit Advantages Disadvantages Remarks
value

Energy GJ Compare Compare the Past energy Yes GJ easy to not comparable
consumption kWh absolute energy energy consumption kWh compare under different
over specific mmBTU consumption for consumption for and conditions
period of time utilities for cost the present understand (misleading)
control period versus a
past period

Direct US$ Compare the Compare the past energy Yes US$ easy to not comparable
comparison of Euro energy cost of energy cost for cost Euro compare, under different
energy cost etc. utilities for cost the present etc. understand conditions
over specific control period versus a and motivate (misleading)
period of time past period

Direct kW Compare the Compare the past electric Yes kW easy to demand
comparison of electric power electric power power compare prediction
electric power demand for cost demand for the demand and sensors are
demand control present period understand necessary
versus a past
period

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EnPI Unit Application How to use EnBs Fixed Unit Advantages Disadvantages Remarks
value

Specific energy GJ/t Compare Evaluate the specific Yes GJ/t easy to Misleading when Disadvantages can be
ratio (SER) GJ/unit energy energy energy ratio GJ/unit compare, the ratio of base managed when the
3 3
GJ/m efficiency of the efficiency by for a past GJ/m understand energy is large effect of base-load is
organization or dividing the period and identify known
specific section energy the change For a factory
or processes consumption by in energy manufacturing Base load effect is
relevant efficiency multiple products small when the
variables of different valuations of relevant
sectors, it is variables are relatively
difficult to use for small
the entire factory
because For indicator to
common relevant display the entire
variables cannot improvement of
be specified multiple products,
energy intensity is
more appropriate

Energy GJ/US$ Compare Evaluate the energy Yes GJ/US$ easy to Misleading for Disadvantages can be
intensity GJ/Euro energy intensity efficiency of intensity for a GJ/Euro compare comparisons managed when the
etc. of the energy use over past period etc. and where the ratio of effect of the base-load
organization or time per unit of understand base energy is is known
specific section production large
or processes value, per unit
of sales, or per
GDP

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EnPI Unit Application How to use EnBs Fixed Unit Advantages Disadvantages Remarks
value

Energy savings GJ Manage Establish a EnB established No GJ easily It's often difficult In a case of
(evaluate) the model that EnB model confirm the to establish the manufacturing plants
energy savings describes the that describes effect by EnB model for with significant
of improvement relationship the calculating manufacturing variations of
actions applied between relationship the amounts plants, because production volume
at a specific amount of between the of reduction. variations in etc., boundary should
area energy amount of Easily production be limited such as a
consumption energy calculate the volume, specific process
over the EnB consumption monetary production
period and the over the EnB value. conditions, and
relevant period and Real-time change of
variables the relevant energy product mix often
variables reduction occur
Calculate can be
energy use calculated
reduction in the with an EnB
reporting period model.
by subtracting
the measured
energy
consumption
from the
expected
energy
consumption of
the previous
measures
obtained by
inputting the
values of the
relevant
variables to the
EnB model

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Annex F
(informative)

Example to illustrate selection of energy performance indicators

An organization produces two lines of products: A and B.

After completing a thorough energy review of its manufacturing facility, the organization‟s Energy
Management Team draws the following conclusions:

 the facility uses electricity, purchased from an external supplier, as the only source of energy;

 the production rate (run-rate) of each production line can be varied from zero to 100%;

 the output of each production lines is measured independently in kilograms;

 raw material quality varies; and

 there is a project scheduled to upgrade all of the motors on production line A.

The different functions within the organization include a business/marketing manager, the facilities operations
manager, the accounting department, the production line A engineer and the production line B engineer, as
well as the operating technicians for each line. The Energy Management Team holds discussions with each
of these functions, and based on these discussions, the team determines that, because of the multi-level
nature of the organization, with each level having specific responsibility for energy performance at its own
level and sphere of control, a tiered set of EnPIs should be established in order to provide the organization
with the information it needs to effectively manage and improve energy performance. Each functional group
will require different levels of information to meet management requires and to respond to specific energy
management questions.

The team then collects time-series data at the facility level and production line level for: energy consumption,
energy costs, raw material quality and quantity, production for each line, and weather conditions. The team
uses the collected data to model the facility and two production lines. Through analysis of the data and model,
the team determines that there is a correlation between changes in some of the variables and energy
consumption. They identify the following as the relevant variables: production quantity, production rate,
product mix, air humidity, raw material quality does not cause a change in energy consumption. They
establish the following EnPIs in a hierarchy, with higher level EnPIs (e.g. 1.1) geared toward higher level
information requirements, with more specific EnPIs (e.g. 2.1.1.1) aimed at line engineers and technicians:

1. Facility-Business Level EnPIs


1.1. Facility Level Energy Consumption (KWh/day)
1.1.1. Facility Level Energy Consumption per kg of product output (kWh/kg)
1.1.1.1. Facility Level Energy Consumption per kg of product output (kWh/kg) – Normalized
for product mix
2. Product Line A EnPIs
2.1. Line A Energy Consumption (kWh/day)
2.1.1. Line A Energy Consumption per kg of product output (kWh/kg)
2.1.1.1. Line A Energy Consumption per kg of product output (kWh/kg) – Normalized for air
humidity
2.1.1.2. Line A Energy Consumption per kg of product output (kWh/kg) – Normalized for
run-rate
2.1.1.2.1. Line A Energy Consumption per kg of product output (kWh/kg) – Normalized
for air humidity and run-rate

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3. Product Line B EnPIs


3.1. Line B Energy Consumption (kWh/day)
3.1.1. Line B Energy Consumption per kg of product output (kWh/kg)
3.1.1.1. Line B Energy Consumption per kg of product output (kWh/kg) – Normalized for air
Humidity
3.1.1.2. Line B Energy Consumption per kg of product output (kWh/kg) – Normalized for
run-rate
3.1.1.2.1. Line B Energy Consumption per kg of product output (kWh/kg) – Normalized
for air humidity and run-rate

The Energy Management Team then put together the following table to guide the use and purpose of the
EnPIs:

Table F.1
EnPIs Purpose/Need EnPI Type or Who might it inform
Description

1.1 To measure the gross Pros: Simple, un- Top Management, the
energy consumption normalized metric accounting dept.
Facility Level Energy Consumption of an organization and can extend to Business Leaders,
(facility) captures all kWh/month, etc. (Big Budget Managers
(kWh/day)
actual energy Picture Metric)
consumed, matches Captures total actual
billed quantities, for energy consumption
the purpose of
understanding cost of Cons: Not an analysis
ownership or total tool; not generally
cost of operations ; suited for analyzing
Budgeting and energy cause of changes in
contracting; Energy Performance

1.1.1 To measure the actual Pros: Simple, ratio Facility decision


energy input to facility normalized energy makers: Marketing
Facility Level Energy Consumption per unit of output from per unit output; per manager, sales dept.,
a factory. Overall kg. and by extension manufacturing
per kg of product output (kWh/kg)
actual energy cost per kg. Captures manager, business
efficiency of the actual energy to manager, facilities
facility. Assumes all produce product owner
relevant variables can straight from the
be managed and factory. Includes
therefore included. performance
Gives top leaders contributions of all
information on how relevant variables.
facility is performing
under current Cons: not generally
operating conditions. suited for analyzing
Trigger for cause of changes in
intervention at top Energy Performance
level.

1.1.1.1 Same as 1.1.1. Same as 1.1.1. Same as 1.1.1.

Facility Level Energy Consumption Additional Pros:


per kg of product output (kWhr/kg) Provides additional
information on the
– Normalized for product mix effects of product mix
when results are

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compared with 1.1.1.

2.1 To measure the gross Pros: Simple, un- Plant A Engineer,


energy consumption normalized metric budgeting manager,
Line A Energy Consumption of product line A; and can extend to accounting dept.
captures all actual kWh/month, etc.
(kWh/day)
energy consumed, Captures total actual
matches sub-meter energy consumption
quantities, for the Product Line A, good
purpose of first indicator of
understanding cost of improvement of
ownership or total problems.
cost of Line A
operations ; Cons: Not an analysis
Budgeting & planning tool; not generally
suited for analyzing
cause of changes in
Energy Performance

2.1.1 To measure the actual Pros: Simple, ration Marketing Manager,


energy input per unit normalized energy Sales Dept., Business
Line A Energy Consumption per kg of output from a Line per unit output; per Manager, Plant A
A. Overall actual kg. and by extension Engineer, budgeting
of product output (kWh/kg)
energy efficiency of cost per kg. Captures manager, accounting
the Plant A, costing of actual energy to dept.
product. Assumes all produce product A.
relevant variables can Includes performance
be managed and contributions of all
therefore included. relevant variables.
Gives Engineers
information on how Cons: not generally
Plant A is performing suited for analyzing
under current cause of changes in
operating conditions. Energy Performance
Trigger for
intervention.

2.1.1.1 To measure the Pros: Same as 2.1.1 Plant A Engineer,


energy input per unit but normalized for air Plant A Operating
Line A Energy Consumption per kg of output from a Line humidity to show Technicians
A; but without efficiency of Line A
of product output (kWh/kg) –
contribution of air without effects of air
Normalized for air humidity humidity on Plant A‟s humidity, still
energy efficiency includes effects of
(inverse of intensity - run-rate changes, so
kg/kWh); generally provides more
assumes air humidity information of effects
is not a controlled of run-rate without air
variable. Provides humidity interference.
Engineers information
on how Plant A is Cons: No longer a
performing under true measure of total
current operating energy consumed per
conditions W/O kg output.
effects of air humidity.
Trigger for
intervention.

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2.1.1.2 To measure the Pros: Same as Same as 2.1.1.1


performance of a Line 2.1.1.1 but as applied
Line A Energy Consumption per kg A; but without effects to run-rate. Provides
of run-rate changes more information on
of product output (kWh/kg) –
on Plant A‟s efficiency effects of air humidity
Normalized for run-rate (inverse of intensity - since effects of run-
kg/kWh); generally rate changes are
assumes run-rate is removed. Can be
not a controlled used to measure
variable from before and after
engineers viewpoint. effects of motor
Assumes air humidity upgrade as long as
is not a controlled air humidity is low
variable. Can be used impact.
to observe the effect
of other variable on Cons: No longer a
the system. true measure of total
energy consumed per
kg output.

2.1.1.2.1 To measure the Pros: Ideal for Same as 2.1.1.1


performance of plant measuring effects of
Line A Energy Consumption per kg A without the effect of improvement
air humidity and run- projects, such as
of product output (kWh/kg) –
rate changes. Ideal motor upgrade, on
Normalized for air humidity and for measuring the Line without the
run-rate effect of motor influence of other
upgrade project on relevant variables.
the energy efficiency
of Plant A. Cons: No longer true
measure of total
energy per kg. Could
miss opportunities to
improve negative
effects of air humidity
and run-rates
because no longer
visible in measure.

Repeated for Line B

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Annex G
(informative)

Reporting on energy performance

G.1 Types of reports


Organizations can use a variety of reports for energy performance, including:

 Comparing actual performance against target performance (Actual vs. Target)

 Assessing variance (Variance)

 Cumulative Summation Chart (Cusum)

In each case, the information can be represented graphically or in tables.

The actual and target graph is given in the output of the regression tool and is shown below:

Target Actual

2500

2000

1500

1000

500

Figure G.1

The key decision is determining how much history to display on the graph. In the above example there is one
month of hourly data – it may be more easily understood if only the past 7 days of data are displayed (see
below). While we can see that actual performance tracks target performance quite well (because the two
values are quite close), it is difficult to see trends in performance.

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2500
Target Actual
2000

1500

1000

500

0
24/03/2010 25/03/2010 26/03/2010 27/03/2010 28/03/2010 29/03/2010 30/03/2010 31/03/2010

Figure G.2

The current ratio graph converts the two lines actual and target graph into a single value where the current
ratio is the actual consumption represented as a percentage of the calculated consumption based on a model
– i.e. if actual consumption is greater than target then the current ratio will be greater than 100%.

120%

100%

80%

60%

40%

20%

0%
24/03/2010 25/03/2010 26/03/2010 27/03/2010 28/03/2010 29/03/2010 30/03/2010 31/03/2010

Figure G.3

The variance graph – which focuses on the difference between actual and target makes trends in performance
more visible. Again one key question is how much history you would want to include on the graph. Again if
only the last seven days were plotted the legibility would be improved.

There are two ways of calculating the variance: 1) as Actual minus Target i.e. savings are negative values,
overspends are positive or 2) Target minus Actual i.e. savings are positive values and overspends are
negative.

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800

600

400

200

-200

-400

-600

-800

Figure G.4

The Cusum graph is a development of the variance graph – in the Cusum (cumulative sum of variances)
graph the variances are added together over time i.e. the Cusum for period (n) will be the sum of all of the
previous variances up to period (n). Cusum makes trends in performance very visible and in addition provides
a direct measure of any savings made.

Cusum
8000
7000
6000
5000
4000
3000
2000
1000
0
-1000
-2000

Figure G.5

In the Cusum graph any changes in slope are significant – the change that occurred on or around the
22/03/2010 would be identified very quickly where overspends stopped and we started to make savings.

G.2 Reporting units


The above graphs have kept to the energy units as reporting units. The potential problem with this approach
is that, in general, people have little appreciation of the scale or value of a typical energy unit – i.e. just how
much is 10 GJ worth? To overcome this barrier and to provide a sense of scale to the graphs it is possible to
convert the energy units into monetary values.

Again there are two possible approaches: to use a budgetary value for energy which does not change or to
use actual utility purchase costs. The first approach is clearly far simpler to implement if less accurate. In the
second approach, tariff information for the utility and information on the generation and distribution efficiency
where secondary utilities such as steam are being used is required.

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Annex H
(informative)

EnPI boundaries in the production process

In the process of energy performance improvement, it is important to find the most inefficient portion in the
production system. EnPI boundary can be used effectively to focus on the portion by narrowing the boundary.
Energy intensity of a product is a practical EnPI for the total production. In this case EnPI boundary is the
entire factory. For the next step, EnPI boundary should be narrowed on the SEU of the production system to
find a more detailed point for the energy efficiency improvement. EnPI boundary enables such “drill down”
approach by defining the boundary flexibly.

EnMS boundary

First EnPI boundary (Entire)


Step

EnPI boundary (#1 Entire)


2nd SEU facility EnPI boundary (#1-1 SEU facility)
Step
EnPI boundary (#1-2 Other)

EnPI boundary (#1 Entire)


SEU EnPI boundary (#1-1 SEU facility)
3rd equipment EnPI boundary (#1-1-1 SEU equipment)
Step EnPI boundary (#1-1 -2 SEU other equipment
EnPI boundary (#1-2 Other)

Figure H.1
For the entire factory, the points appear as a random cloud, as in X-Y diagram shown in 4.3.1.3. In such cases,
the target boundary should be divided into several EnPI boundaries. Dividing should be performed as follows.

1. The number of the division should be minimized.

To begin with, it is recommended that the boundary be divided into two parts such as SEU and other.

2. Facilities that work in the same way should be categorized together.

The factory should be divided into some parts (e.g. facilities for product X, facilities for product Y, an their
utility facilities)

3. The EnBs should be established for each operational status of the EnPI boundary.

The operational status refers to starting, production (normal operation), a pause, stop, etc. At a minimum, it is
recommended that organizations establish at least two EnB operational status: under production conditions,
and under stop conditions.

With above procedures, the energy characteristics of the organization can be modeled comparatively easily.
This method divides a boundary into sub-boundaries and models them according to their status. This method
is easier than analyzing miscellaneous data and making a non-linear regression model.

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Annex I
(informative)

Normalizing energy baselines using variables

In some cases, organizations may choose to normalize their energy baseline using variables. Such cases
typically involve situations where the values of the relevant variables in the Baseline Period and the
Performance or Reporting Periods are substantially different. Typical examples of relevant variables that might
affect energy consumption include outdoor weather, building occupancy, facility operating hours, product mix
variations, production volumes etc. The point of normalization is to make the values of the relevant variables
comparable to each other in the Baseline Period and the Performance Period in order to neutralize the effect
of the differences in the values of the relevant variables in the two periods. Normalization is a term that is used
broadly for many activities and which can have substantially different meanings in different fields and
applications. In the context of this guideline, normalization of an energy baseline is being used to describe the
process of estimating the energy consumption in the EnB using the values of the variables in the EnPIs during
the Performance or Reporting Periods in order to calculate an adjusted EnB energy consumption value
(expected energy consumption) against which the EnPI energy consumption value can be compared on a
basis that renders the values for the variables in the two periods equal. The concept is illustrated below:

The green line in the figure below shows absolute energy consumption and data on relevant variables during
the performance period. The organization may also choose to evaluate the performance only during a
specified reporting period within the performance period in accordance with its requirements. The red line is
the normalized energy consumption. The normalized energy consumption is a calculated energy consumption
value (or series of values) that inputs the values for relevant variables from the performance period into the
EnB equation.

Figure I.1

Entering the performance period variables into the EnB equation produces a calculated energy consumption
value (or estimate of the energy) that would have been consumed in the performance period had the
mathematical relationship between energy and relevant variables been equal to that of the EnB period.

The normalized baseline energy consumption is a calculated energy consumption value (or series of values)
resulting from the inputting of the values for relevant variables from the performance period into a
mathematical equation (derived from linear or non-linear regression models or engineering based simulation
models) referred to as EnB performance equation that characterizes the relationship between energy and the
relevant variables in the EnB. This results in a calculated energy consumption value (or estimate of the
energy) “that would have been consumed in the performance period, had the mathematical relationship
between energy and the relevant variables been equal to that of the baseline period.

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The EnB performance equation quantifies the mathematical relationship between energy and the relevant
variables for the EnB dataset. An example EnB equation may take the form:

Energy (kWh/week) = A (kWh/week) + B * Product A (units per week) + C * AvT (average temperature per
week)

Where:

A = A fixed component of energy consumption (sometimes called the base-load)

B = the specific energy consumption per unit of product A (kWh/unit)

Product A= a relevant variable (RV1)

C = the specific energy consumption per degree of average temperature per week (kWh week/degC )

AvT = a relevant variable (RV2)

The factors A, B and C will be derived from linear or non-linear regression or from some engineering theory-
based system understanding.

The normalized EnB energy consumption (NEnBEC) would be calculated as follows:

NEnBEC = A + B* Product A (PP) + C* AvT (PP)

Where:

A, B and C values are as per the EnB performance equation derived from the EnB dataset;

Product A (PP) = the measured value for RV1 from the Performance Period;

AvT (PP) = the measured value for RV2 from the Performance Period.

The concept of the above calculation process is illustrated in the following diagram:

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ISO/WD 3

Figure I.2

© ISO 2012 – All rights reserved 47