Special Topics: Energy

Efficiency
Term 442 (2023)

Dr. Abdullah Alamri

Dept. of Electrical and Engineering
Islamic University of Madinah
Importance of Energy

• Daily life

• Oil Production

• Amount Consumed locally

• How Can We Manage → “Energy Management”

• Energy Management is the strategy of adjusting and optimizing energy, using systems and
procedures so as to reduce energy requirements per unit of output while holding constant
or reducing total costs of producing the output from these systems.
Objective of Energy Management

• To achieve and maintain optimum energy procurement and utilization, throughout the organization

• To minimize energy costs / waste without affecting production & quality

• To minimize environmental effects.

In this course, we will cover

• Need for Energy Management • Electric Rates and Tariff Structures

• Energy Management and Surveys • Economic Analysis and Life Cycle Costing

• Energy Survey Instrumentation • Electrical Systems and Electric Energy

• Energy Codes and Standards, Indoor Air Quality Management

• Energy Purchasing • Lighting System Basics and System

Improvements
• Energy Accounting and Benchmarking
• Electric Motors and Drives
In this course, we will cover

• High Performance Buildings • CHP Systems and Renewable Energy

• Basics of HVAC Systems • Maintenance Programs and Building

Commissioning
• Boilers and Steam Systems (optional)
• Basic Controls; and Building Automation
• Compressed Air and Pump Systems (optional)
and Control Systems
• Building Envelope
• Performance Contracting, Financing,
• Thermal Energy Storage M&V

• Energy Management Software

Three Major Problems

• Three global priorities dictate saving energy:

✓Environmental Quality - Reduce global climate change

✓Economic Competitiveness – Reduce costs and create jobs

✓Energy Security - Reduce oil imports and balance of payments

We all need an Energy Efficient Economy!

Professional Interest: Energy Management Jobs

• Building/facility/plant energy manager

• Building/facility/plant maintenance manager

• Utility energy auditor/energy analyst

• Government agency energy analyst

• Consulting energy auditor and analyst

• ESCO energy auditor and analyst

Driving Factors in Business/Industry

• Environmental regulations

• Product quality improvement

• Productivity improvement

• Energy - relates to the other three

Interface Areas with Energy Management

• Sustainability

• Green buildings

• Renewable energy

• Energy productivity improvement

• Greenhouse gas management

• Carbon footprint reduction

• Water conservation
European Union

According to the 2005 Green Paper on Energy Efficiency from the EU

• The EU could save 20% of its energy consumption in a cost-effective manner (from 2005 to 2020)

• Saving EUR 60 billion a year

• Reduces use around 1.5 % per year

• Helps meet Kyoto commitments (1997) and the Paris Agreement (2015)
United States
• Federal legislation has been requiring reduction in energy intensity since 1975

• Residential and commercial building energy standards

• Federal building energy standards

• Appliance energy standards

• Equipment energy efficiency standards

• Energy Independence and Security Act (EISA) 2007

• 30% reduction in energy intensity in federal buildings over a 10-year period

• Executive Order 13693 (March 2015)

• 30% renewable energy in federal buildings by 2025

• 30% reduction in GHG from fleets by 2025

• 20% reduction in water use by 2025

Energy Intensity Comparison

• China presently uses more than five times as much energy to produce a unit of GDP than
does the EU

• The USA uses approximately 50% more than the EU

• Six of the EU 28 members use over three times the EU average

• Two of the EU 28 members use over six times the EU average

Saudi Arabia
• The Saudi Energy Efficiency Center concerns with rationalizing the production and
consumption of energy in order to increase efficiency in the Kingdom and unifying efforts
in this field, whether governmental or non-governmental.

With the aim of

Since its establishment, improving and raising
the center's activities energy efficiency in
began with the three main sectors, it
development of a Establishment of the accounts for more than
national program to National Energy 90% of domestic
rationalize and raise the Efficiency Services energy consumption: It is hoped that energy
efficiency of energy Company (Tarsheed), buildings, industry and efficiency levels in the
consumption called the which will rehabilitate road transport. buildings, industry and
"Saudi Energy government buildings road transport sectors
Efficiency Program" and stimulate the will increase by 2030,
and the necessary plans private sector to invest reducing consumption
for that. in the energy efficiency by 20%.
services sector.
Historical, Current, and Expected Future Oil Consumption
in Million Barrel of Oil Equivalent (BOE) of Saudi Arabia
12.0
Buildings Transportation Industry Others
10.0

Millions 8.0

BOE
6.0

4.0

2.0

0.0

Year
* The Saudi Energy Efficiency Center, 2021
Future Goal: to bring down consumption

8.2 Millions BOE is

expected in 2030
Energy Management Definition

Energy Management: the use of engineering and economic principles to control the cost of
energy to provide needed services in buildings and industries.

Energy cost reduction results from:

• Improvements in energy efficiency

• Changing patterns of energy use

• Shifting to other sources of energy

The Bottom Line: Why Do Energy Management?

• Direct $$ Savings, very often with Low Risk, and…

• Many Non-Utility Benefits:

• Maintenance, Material & Labor Savings

• Improved Building Value

• Better Cost-Competitiveness
• Often, very attractive ROI

• Improved Sustainable Image

• Reduced Pollution in OUR Environment

Typical Energy Savings

• No-cost actions and maintenance

• 5 to 15 percent savings

• Low-cost or short payback actions

• 15 to 30 percent savings

• Higher-cost or longer payback action

• 30 to 50 percent savings
Why… Climate Change
Temperatures have Shifted…
0.5
Cooler than average Baseline (1951 - 1980) mean
0.4
Average
Frequency of Occurrence

Warmer than average

The “extreme”
Extremely hot temperature events used
0.3
to cover 0.1% of the Earth.
Now they cover 10%.
0.2

0.1

0
-5 -4 -3 -2 -1 0 1 2 3 4 5

Deviation from Mean

Source: NASA/GISS; Hansen, et al., “Perceptions of Climate Change,” Proc. Natl. Acad. Sci. USA 10.1073, August 2012
A - Slide 20
Carbon Emissions Reporting…

It is an Extension of Energy Management

May help get projects approved and higher profits

In some cases… it may be Required:

• Government regulations on carbon per kWh generated
• Government regulations on equipment
• Boiler emission regulations
• Security & Exchange Commission requirements
• Marketing / consumer pressure
It is easy to convert kWh into Environmental Benefits
Fundamentals Handout
Efficiency () of device or process is defined as its Output/Input

Output Input - Losses

= Input = Input
»Always use units
in your calculations.
(kJ, kW, MJ, GJ, etc)
Illustration:
Losses
Power or Power or
Energy In Motor, Furnace, Hot Water Heater. Energy Out
(Pi or Ei)  = efficiency (Po or Eo)

Pi = Po /  Po = Pi  
Ei = Eo /  Eo = Ei  

(Pi or Ei) Chiller (Po or Eo)

COP
Pi = Po / COP Po = Pi  COP
Ei = Eo / COP Eo = Ei  COP
Fundamentals Handout.2013.1.pptx
Starting an Energy Management Program

• Develop energy strategy and set goals

• Get support from top management

• Establish administrative and management structure

• Benchmark and track energy cost and use

• Conduct energy audits

• Identify, analyze, and prioritize opportunities

• Implement energy projects, processes, and training

• Monitor, target, and reporting, and REPORTING (yes we said it twice – It is That Important !!!!!)
Initiating An Energy Management Program

• Designate an energy manager/energy management team.

• Energy managers must have support from top management to get cooperation from the
maintenance and operating personnel.

• Management must provide support for:

1. Funding to implement the most cost-effective improvements

2. Collecting energy use and cost data

Operating a Program

• Most effort goes to identifying and implementing projects

• Hierarchy of projects
• Low-risk projects

• Major conservation projects before major capital improvement projects

• (And, there is “no end” to a good program)

Why Energy Conservation First?

• One company installed base line (24 hour) electrical generation for 180 kW which was
night base load. After conservation, that load dropped to 60 kW.

• Another institution cancelled purchase of a large chiller after conservation reduced the
demand, even with an increase in buildings serviced.

• “Behavior Modification” requires little/zero capital investment.

Do Energy Conservation First

Courtesy Dr. Dennis Buffington, P.E., CEM, CBE, Department of Agricultural and Biological Engineering,
Pennsylvania State University
Allocation of Energy Costs for Multi-Tenant Buildings

• Large buildings are often "master metered" to reduce utility fixed charges and reduce
rates.

• Each tenant should receive a bill and pay for its own energy consumption.

• "Master metering" plus submetering can be an attractive approach.

• Utility grade submeters are readily available and cost effective.

What is ISO 50001?
(ISO – International Standards Organization)

• Globally applicable energy management standard that integrates with ISO 9001 and ISO
14001

• ISO 50001 designed to

• help companies better use their

energy-consuming assets,

• evaluate and prioritize the implementation of energy-efficient technology

• promote efficiency throughout the supply chain.

ISO 50001

• An international approach to energy management

• Some countries have adapted (or added) to the requirements

• International consistency is ensured via the ISO certification and accreditation process

• Certification is awarded by an accredited certification body (only)

• Foundational tool applicable to all types and sizes of organizations

• Stresses involvement of executive leadership, saying that top management must establish,
implement and maintain an energy policy

• Based on technical/managerial interaction via a Plan-Do-Check-Act loop

Technical Manager Interaction
ISO 50001
Focus on Significance
• Initial assessment of energy use within the organization to define areas significant energy use

• Similar to traditional energy audit, but

• More emphasis to define what is significant

• Account for substantial majority of energy use

• More emphasis on “why” decision was made on defining areas of significant energy use
Areas of Significant Energy Use

• Identify the variables (things) that impact the energy use for each area of significant energy use

• Identify the people that impact these variables within each area of significant energy use

• Outline how the area of significant energy use is operated, managed, controlled, and maintained to
ensure efficient energy use within each area

• For each area of significant use, determine how to know when the area is performing well

• Ensure that people affecting energy use understand their impact and are competent

• Use key performance indicators for each area

ISO 50001 Plan-Do-Check-Act

• Identify and record opportunities for improvement

• Prioritize opportunities for improvement

• Define an action plan with responsibilities

• Define approaches to verify success

• Implement action plan

• Monitor, measure, and report to document status and progress

Check

• Use internal audits to ensure

• Individual are doing what they should be doing

• Systems are being operated, controlled, and maintained as expected

• Previously overlooked and new opportunities are identified and investigated with follow
through

• The organization continues to meet wits obligations (internal and external) related to energy

• Energy management system audits should focus on the management of energy and
not the management of paperwork
Periodic Review

• Management review to check status and determine how systems are operating compared
to expectations
• Select new targets with action plans to achieve them

• Review resources to support action plan progress

• Review key energy performance indicators

• Correct what is not working, continue what is working

• Annual review by external and independent certification body to ensure compliance

For More Information

• ISO 50001
• www.eere.energy.gov/energymanagement

• Superior Energy Performance

• www.superiorenergyperformance.net/

• Energy Management Demonstrations

• www.eere.energy.gov/industry/energymanagementdemonstrations/
Energy Survey/Audits/Assessment

• Also called Energy Assessments and often used to “feed the engine” of an energy
management program

• Vary from relatively simple, preliminary reviews and analyses of utility data to detailed
calculations of energy and cost savings, and detailed cost analyses of projects to
implement

• ASHRAE published some of the early definitions of audits, beginning with

Benchmarking Audits, Level I, II, and III
Benchmarking Audit (AEE)

• This audit includes performing an analysis of energy use and accounting

• Very cost effective when dealing with many facilities (i.e. - where are the major opportunities for
savings, depending on EUI or ECI compared to other facilities)

• The US EPA/DOE Energy Star Portfolio Manager is easy to use – and it is free. (See Section N on
High Performance Buildings for more information)

• Similar to ASHRAE Walk-Through/Preliminary Audit

ASHRAE Level I Energy Audit “Walk-Through”/Preliminary
Analysis
• Analysis of energy bills and brief survey of building

• Building operator should accompany auditor

• Identifies low cost/no cost measures

• Identifies capital improvements that merit further consideration

• Results in initial estimate of costs and savings

• Establishes savings potential

• Often precedes Level II or III audit

ASHRAE Level II Energy Audit Energy Survey and Analysis

• More detailed building survey and energy analysis, including

• Breakdown of energy use in the building

• Detailed savings and cost analysis of projects

• Effect on O&M procedures

• Lists potential capital-intensive improvements requiring further analysis and

estimates potential costs and savings

• Adequate for most buildings

ASHRAE Level III Energy Audit
Detailed Analysis of Capital Intensive Modifications

• Focuses on potential capital intensive projects

• Requires detailed field data gathering and engineering analysis

• Provides detailed project cost and savings information with a level of confidence high
enough for major capital investment decisions

• Computer simulation is commonly used

• A thorough systems approach produces the best results

Other Definitions

• Some AEE members use in sequence:

• Type I—Walk-through inspection to identify maintenance, operational, or deficient equipment
issues and to also identify areas which need further evaluation

• Type II—Includes economic calculations and may include monitoring/metering/testing to

identify actual energy consumption and losses

• Type III—A Type II audit, plus computer modeling of year-round energy consumption
Investment Grade Audit (AEE)

• This audit includes weighing financial risk into the economic calculations of a type II or
III energy audit

• Often include computer simulation and enhanced financial analysis tools such as life
cycle costing (additional requirements may be specified by individual clients)

• This audit can be utilized to obtain funding for the projects identified
Goals of the Energy Audit

• Clearly identify types and costs of energy use

• Understand how energy is being used--and possibly wasted

• Identify and analyze more cost-effective ways of using energy

• improved operational techniques

• new equipment, new processes or new technology

• Perform an economic analysis on those alternatives and determine which are cost-
effective for your business or industry
Determining which Audit to choose

• Depends on the funding available for the audit, the cost and potential of the Energy
Conservation Opportunity, and the required accuracy for the audit information

• Depends on the type of facility, function of the facility, and processes within a facility
Determining which Audit to choose

https://kw-engineering.com/guide-energy-audit-level-1-2-3-commercial-building-differences-cost-content/
Analysis of Bills

• The audit must begin with a detailed analysis of the energy bills for the previous 12 to 36 months.
This is important because:

• The bills show the proportionate use of each different energy source when compared to the total
energy bill.

• An examination of where energy is used can point out previously unknown energy wastes

• The total amount spent on energy puts an upper limit on the amount of money that can be saved
Bill Analysis Example: Electric Consumption - kWh
Monthly kWh

250,000

200,000

150,000

100,000

50,000

0
 0
50
100
150
200
250
300
350
Jan-02 400
Feb-02
Mar-02
Peak Demand - kW

Apr-02
May-02
Jun-02
Jul-02
Aug-02
Sep-02
Bill Analysis Example

Oct-02
Nov-02
Dec-02
Jan-03
Feb-03
Mar-03
Apr-03
May-03
Jun-03
Jul-03
Aug-03
Sep-03
Oct-03
Monthly kW - Demand

Nov-03
Dec-03
Jan-04
Feb-04
Mar-04
Apr-04
May-04
Jun-04
Jul-04
Aug-04
Sep-04
Oct-04
Nov-04
Dec-04
 65.0%
70.0%
75.0%
80.0%
85.0%
90.0%
95.0%

60.0%
100.0%
Jan-02
Feb-02
Mar-02
Apr-02
May-02
Jun-02
Jul-02
Aug-02
Sep-02
Oct-02
Nov-02
Dec-02
Jan-03
Feb-03
Mar-03
Apr-03
May-03
Jun-03
Jul-03
Aug-03
Sep-03
Oct-03
Nov-03
Dec-03
Jan-04
Feb-04
Indicated Facility Load Factor

Mar-04
Apr-04
May-04
Jun-04
Jul-04
Monthly Facility Electric Load Factor (FELF)

Aug-04
Sep-04
Oct-04
Nov-04
Dec-04
Indicated LF
12 Month Rolling kWh Summary

12 Month Rolling Summary

kWh annual average
210,000

200,000
kWh Annual Average

190,000

180,000

170,000

160,000

150,000
Additional Energy Bill Analysis

• A complete analysis of a facility’s energy bills requires a detailed knowledge of the rate
structures for the facility.

• To determine accurate costs of operating individual pieces of equipment, separate energy

bills into their components.
• e.g. demand charge and energy charges for the electric bill.

• This breakdown also allows more accurate savings calculations for Energy Management
Opportunities (EMOs) such as high-efficiency equipment, rescheduling of some on-peak
electrical uses, etc.
Steps in the On-site Energy Audit

• Identify layout and operating schedule for facility

• Compile an equipment inventory
• Determine the pattern of building use to show annual needs for heating, cooling
and lighting
• Conduct a room-by-room lighting inventory
• light fixtures
• lamp types, sizes and numbers
• levels of illumination
• uses of task lighting
Equipment Inventory List

• Get equipment list for facility and review it before conducting audit

• Identify all large pieces of energy-consuming equipment such as: heaters, A/C units,
water heaters, and specific process-related equipment

• List all major energy consuming equipment, with annual hours of use and energy ratings
or efficiencies

• The equipment list and data on operational uses of equipment provide an understanding of
major energy-consuming tasks or equipment at facility
Major Systems To Consider
• Building Envelope
• HVAC System – people comfort
• Electrical Supply System
• Lighting Systems
• Boiler and Steam System
• Hot Water System - domestic
• Compressed Air System
• Motors – that I can see
• Special Purpose Process Equipment
• Water and sewer system
• Transportation (not covered in this course)
Preliminary Identification
Energy Management Opportunities
• Identifying EMOs requires a good knowledge of energy efficiency technologies available
to do the same job with less energy and cost

• During the on-site audit, take notes on potential EMOs that are evident

• General rule: Devote the greatest effort to analyzing and implementing the EMOs that
show the greatest savings, and the least effort to those with the smallest savings potential
The Energy Audit Report

• The energy audit report details the final results of the energy analyses and provides energy
cost saving recommendations

• The length and detail of this report will vary depending on the type of facility audited

• A residential audit may result in a computer printout from the utility

• An industrial audit should have a detailed explanation of the EMOs and benefit-cost
analyses