Intelligent Buildings - Meter Reading and Energy Management

Intelligent Buildings Meter Reading and Energy
Management
Ron Zimmer
President & CEO
Continental Automated Buildings Association
September 8, 2003
St. Louis, MO
Mapping Your Future: From Data to Value
AMRA 2003 International Symposium
Presentation Objectives
1. Energy Management
2. Meter Reading
3. Intelligent/High Performance
Buildings
4. Benefits and Opportunities
Continental Automated
Buildings Association
Mission Statement:
To encourage the development,
promotion, pursuit and understanding of
integrated systems and automation in
homes and buildings.
www.caba.org
Definition of Intelligent
Building Technologies
The use of integrated technological
building systems, communications and
controls to create a building and its
infrastructure which provides the
owner, operator and occupant with an
environment which is flexible, effective,
comfortable and secure.
Source: Technology Roadmap for
Intelligent Buildings
(http://www.caba.org/trm)
Once Upon a Time...
SOURCE: Equity Office
Energy Through the Century and

Beyond
Energy Generated on Site
Steam - Electric Mechanical.
Large Centralized production,
transportation and distribution of power by
government regulated monopolies.
1900 - 1930s
1940 - 1970
Deregulation of natural gas market;

Incentives for efficient on site generation of
electric power.
Deregulation of electric power (almost)!
1980
1990
2000 & Beyond
Market-driven system, promoting efficient generation, supply,

production, distribution and utilization of all power commodities.
Overall Energy Market

Supply
Production
$250B - Electric
$ 90B - Natural
Gas
$ 60B - Other
Fuels
$ 45B Facilities
$ 30B - O & M
Distribution
$ 25B - Electric
- Steam
- Air
- Chilling
- etc.
$75B Total
$400B Total
$25B Total
$500,000,000,000 Annual Market
U.S. Energy Consumption By

Category
Transportation
Industrial
Commercial
Residential
140
120
100
80
60
40
20
0
1960
1970
1980
1990
2000
2010
2020
The Commercial Building Sector Will

Continue to Grow Its Share of US Energy
Consumption
Commercial building
energy cost ($/SF)
150
Buildings' share
of US electricity
consumption
2.0
80.0%
1.5
60.0
1.0
40.0
0.5
20.0
0.0
0.0
R e s id e n tia lC o m m e rc ia l
Commercial building
electricity
expenditures ($ Billion)
100
50
Paradigm Shift
Evolution
1970s-2000
After 2000
Pricing
TOU Rates
Real Time Pricing
Metering
Time Period Loads
Hourly (Sub-hourly) Loads
Load Shape
Objectives
Peak , Shaving Shifting,

Conservation
Preserve Reliability
Cost Management
Customer
Involvement
Utility Command/Control
Interactive Market
Demand
Respond
Curtailable, Interruptible
Direct Control
Demand Bidding, Risk

Management, Intelligent
Controls
Trends:
Reduced choice
Increasing costs
Lack of control
Declining value to customers
From Figure 1-1

New Principles for Demand Response Planning
EPRI Final Report, May 2002
Increasing choice
Cost volatility
Value of information
EOP Is Exposed to Varied & Changing

Energy Regulatory Environments and
Status of electricity
Market
Pricesmarket restructuring & 2002 prices (c/kWh):
IN
(6.
0)
WA
(6.3)
MN
(6.0)
OR (6.9)
NY (12.2)
OH (7.7)
MA (10.1)
CT (9.3)
CA
(13.2)
UT
(5.5)
PA (8.3)
IL
(8.3)
CO
(5.6)
DC (7.5)
VA (5.9)
NC (6.5)
Legend:
Deregulation
legislation not
passed
AZ
(6.1)
GA
(6.5)
TX (6.8)
Legislation passed; no
action taken
Partial competition: IOUs
restructuring / deregulation
suspended
Full competition
Note: Prices in c/kWh for Jan to Sept. 2002 for Commercial sector
Source: Energy Information Administration; Energyguide.com
FL
(6.7)
LA
(6.7)
NEW PARADIGM - Supply

Management
In the New Paradigm youll have to be just as
knowledgeable on energy supply products as

energy conservation methods due to value-cost
tradeoffs.
New products connect the value of the hedged
volumes with the cost of demand response
alternatives.
Corporate guidelines for commodity risk
management /accounting to support real time,
value-cost decision making.
SOURCE: Sempra Energy Solutions
Demand Response
The FERC On Demand Response
Market rulesmust not unduly bias the choice
between demand or supply resources, nor provide
competitive advantages or disadvantages to large or
small demand or supply resources. Demand
resourcesshould be able to participate fully in
energy, ancillary services and capacity markets.
Demand can best respond by participating in the
day-ahead market. Demand response options should
be available so that end users can respond to price
signals and reduce loads as they feel the price exceeds
their individual willingness toSOURCE:
pay for
delivered
Sempra Energy
electricity.
Solutions
FERC, Electricity Market Design and Structure Working Paper,

3/02
Demand Response
Real time telemetry/metering system to include submetering of system segments.
Segmenting critical, non-critical loads, high priority & low
priority loads.
Deploy/effectively control all on-site distributed
resources.
Incorporate software that can respond to real time price
signals by automatically controlling load segments.
Incorporate all the EnergyStar Buildings design and
construction materials to ensure lowest absolute energy
needs.
SOURCE: Sempra Energy

Solutions
NEW PARADIGM - Examples

Retail customers will be linked to wholesale
(ISO/RTO) markets in real time.
Demand reduction as an option:
Pay for the right to ask you to shut down some of

the load.
On-site generation as an option:
Via load reduction.

Dispatch to the grid.
Pay you for the right to turn on your generator.
Need to view long-term retail supply and ability to

dynamically manage it as an asset.
SOURCE: Sempra Energy Solutions
Energy Monitoring and IT

Perform Rate
Analysis
Dispatch
Distributed
Generators
Energy & Expense

Profiles
ENTERPRISE EMS
Weather/Occupancy
Compensation
Performance Metrics
Energy Alarms
Utility Bill Analysis

& Validation
Figure 1 Integrated Enterprise Energy Management
SOURCE: Gridlogix,
Inc.
Energy Monitoring & IT

Distributed processing provides low-cost access
to real time revenue-grade data.
Digital revenue-grade meters can store months
of information.
Web-based systems provide communications to
thousands of meters.
Systems are capable of integrated energy and
financial algorithms.
BUILDING & ENERGY MGT. SYSTEMS

1. Energy Information Systems (EIS)
2. Building Management Systems (BMS)
3. Energy Management and Control Systems
(EMCS)
4. Enterprise Energy Management (EEM)
5. Demand Response Systems (DRS)
6. Advanced Demand Response Systems (ADRS)
7. Intelligent Energy Management Systems

(IEMS)
Source: WebGen Systems
SOURCE: WebGen Systems
SOURCE: WebGen Systems
RECOMMENDATIONS:
1. Use an open standard, such as BACnet or
LonWorks;
2. Manage systems integration between these
buildings inhouse; and
3. Use an Intelligent Energy Management
System.
Note: Further information can be found on
CABAs Information Series Why Intelligent
Agents can reduce Energy Costs better than
Source:Experts.
WebGen Systems
Building Mgt. Systems or Human
Electricity Usage
Interior Light
Cooling
Heating
Ventilation
Office Equipment
Exterior Light
Water
Refrigration & Cooking
Misc.
0%
5%
10%
15%
20%
SOURCE: Alan Whitson
25%
30%
Who Gets the Energy

Savings...
$0.15
TotalSavings
$0.50/Sq.Ft.
TenantSaves $0.15/Sq.Ft.
LandlordSaves$0.35/Sq.Ft.
BuildingValueIncreases
$0.35NetEnergySavings
$1.95
$1.60
Before Upgrade
After Upgrade
355,000SF19StoryBuilding
7.5%
CapRate
$4.67 IncreasedValue
BottomLine$1,657,850
Saving Energy Pays

Invest $1.25/sq. ft. in
an Efficient Lighting
Upgrade
Saves $0.50/sq. ft. in
Energy Costs per Year
Payback - 2.5 Years
ROI - 40%
Creates $6.67/sq. ft.

in Building Value
$6.67
$1.25
Investment
ROI - 533.6%
Building Value
Created
TIFFANY BUILDING - SAN

FRANCISCO
Modeled Savings
AnnualUtility
Savings
Measure
Payback(Yrs.)*
Cost
Building Controls
$250,000
$58,956
4.2
Convert SF 1&2 to
VAV
$260,000
$45,093
5.5
$11,000
$2,603
$521,000
$106,652
VFD Cooling
Tower
SOURCE: Kenmark Controls, Inc.
3.5
*CalculationsincludeCaliforniaenergyincentives
Echelon
Building 1
San Jose:
75,000 sq ft
2000 points monitored
2001 Energy Costs:
Electricity: $ 296,533
Gas: $35,946
KWh: 1,740,000
(Model): 4,134,000 KWh
Savings: -58%
SOURCE: Kenmark Controls, Inc.
IS METER READING/ENERGY
MANAGEMENT IMPORTANT?
NEWS BULLETIN
June 23, 2003 - Public Service Electric and Gas
(PSE&G), New Jerseys largest regulated utility,
serving nearly 3/4 of the states population,
announced spending of $1.4 billion over the
next five years to improve its electric systems...
National Energy Marketers

Association (NEMA)
Recommendations:
1. Upgrade Nations Aging Energy Infrastructure.

2. Implement Advanced Metering.
3. Grant Consumers Access to Usage Data.
4. Take Measures to Make Metering
Open/Competitive.
5. Encourage Competitive Metering Through
Investments Vehicles to Upgrade Metering
Systems.
NEMA
6. Combined Advanced MeteringSOURCE:
Technology
with
the Internet.Mapping Your Future: From Data to Value
FUTURE RESEARCH
U.K. CARBON TRUST - LOW CARBON
INNOVATION PROGRAMME
AIM - To obtain independent data on
use of advanced metering techniques
applied to utility metering for
Metering, Monitoring and Targeting at
SME level.
www.thecarbontrust.co.uk
FUTURE EVENT
Produced and Managed by:

CABA and EH EVENTS & EDUCATION
www.accessthehome.com
Your Information
Source for Home and
Building Automation
www.caba.org
E: caba@caba.org
T: 613.990.7407
F: 613.991.9990
US/ Canada: 888.798.2222
Mexico: 001.888.514.2222

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Intelligent Buildings Meter Reading and Energy

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

Once Upon a Time...

SOURCE: Equity Office

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

Energy Through the Century and

Deregulation of natural gas market;

Market-driven system, promoting efficient generation, supply,

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

Overall Energy Market

$500,000,000,000 Annual Market

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

U.S. Energy Consumption By

SOURCE: Equity Office

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

The Commercial Building Sector Will

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

Real Time Pricing

Time Period Loads

Hourly (Sub-hourly) Loads

Peak , Shaving Shifting,

Demand Bidding, Risk

From Figure 1-1

EPRI Final Report, May 2002

EOP Is Exposed to Varied & Changing

SOURCE: Equity Office

NEW PARADIGM - Supply

In the New Paradigm youll have to be just as

knowledgeable on energy supply products as

FERC, Electricity Market Design and Structure Working Paper,

SOURCE: Sempra Energy

NEW PARADIGM - Examples

Demand reduction as an option:

Pay for the right to ask you to shut down some of

On-site generation as an option:

Via load reduction.

Need to view long-term retail supply and ability to

SOURCE: Sempra Energy Solutions

Energy Monitoring and IT

Energy & Expense

Utility Bill Analysis

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

Figure 1 Integrated Enterprise Energy Management

AMRA 2003 International Symposium

Energy Monitoring & IT

Mapping Your Future: From Data to Value

AMRA 2003 International Symposium

BUILDING & ENERGY MGT. SYSTEMS

7. Intelligent Energy Management Systems

Mapping Your Future: From Data to Value