16ee714 Energy Management and Audit

16EE714
ENERGY MANAGEMENT AND

AUDIT
Unit - I
UNIT - I
• Electricity Act – Energy Conservation Act 2003
- ISO 150001 – Need for Energy Management
– Energy Basics – Design and starting of
energy management program – Energy
Accounting – Energy Monitoring, Targeting
and Reporting – Energy Audit process
Electricity Act
• Indian Electricity Act 2003
• The Need for enactment of Electricity Act 2003,
was felt by the Central Government in the
backdrop of the on going Economic Reforms in
the country coupled with power sector reforms in
various States.
• Electricity Act 2003 is a single legislation which
addresses all the key areas of Electricity in the
country and provides a road map for over all and
uniform development of electricity sector in the
country
• Poor performance of SEBs which were formed
and operating under IE Act 1910 and
Electricity Supply Act 1948 forced the
Government to bring out an uniform and
unified law to take care of the current needs
of power sector in the areas of Generation,
Transmission, Trading and Distribution of
Electricity
Purpose of the Act
• To consolidate the laws relating to generation,
transmission, distribution, trading and use of
electricity.
• To take measures conducive for development of
electricity sector.
• To promote Competition in the sector.
• To protect the interests of Consumers
• To rationalize the electricity tariffs
• To Establish Regulatory commissions and
Appellate Tribunal for Electricity.
• To ensure supply of electricity to all areas
• To rationalize tariff and lowering the cross-
subsidization levels
An overview of Electricity Act 2003
• Enacted in 2003 and given to effect from 10th
June 2003
• Consists of 18 ( XVIII) parts, 185 Sections and
one schedule.
• It extends to the whole of India except the
State of Jammu and Kashmir.
New concepts introduced in Electricity
Act 2003
• National Electricity Policy and Tariff Policy
(section 3)
• Separation of Electricity Trading( Section 12 ,
39 and 52)
• Introduction of Open Access {section 39(d)}
• Introduction of MYT ( Multi Year Tariffs)
(section 61(f))
• Constitution of Appellate Tribunal and its
functions ( sections 110 – 125)
Salient features of the Electricity Act,
2003
• Role of Government
• Rural Electrification
• Generation
• Transmission
• Distribution
• Consumer Protection
• Trading / Market Development
• Regulatory Commission / Appellate Tribunal
• Tariff Principles
• CEA
• Measures against Theft of electricity
• Restructuring of SEBs
Role of Government
• Central Government to prepare National
Electricity Policy and Tariff Policy.(Section 3)
• Central Govt. to notify a National Policy for rural
areas permitting stand alone systems based on
renewal and Non-Conventional energy sources in
consultation with States. (Section 4)
• Central Government to formulate a National Policy
in consultation with the concerned State. for bulk
purchase of power and management of local
distribution through Users’ Association,
Cooperatives, Franchisees and Panchayat
Institutions etc. (Section 5)
Rural Electrification
• Appropriate Government to endeavor to
extend supply of electricity to all
villages/hamlets. (Section 6)
• No requirement of licence if a person intends
to generate and distribute power in rural area.
(Section 14)
Energy Conservation Act
• Considering the vast potential of energy
saving and benefits of energy efficiency, the
Government of India enacted the Energy
Conservation Act 2001
• An Act which is provided for efficient use of
energy and its conservation
• Under Indian Industry Program for Energy
conservation (IIPEC) the task groups for
textile, cement, pulp and paper, fertilizer,
chlor-alkali and aluminium has been formed
• Each task force is being headed by
stakeholders and Bureau of Energy Efficiency
(BEE) is actively involved in organizing the
programs.
Important features of Energy
Conservation Act 2001
• Promotional Provisions to support Energy
Conservation Act
• Indian Industry Program for Energy
Conservation (IIPEC)
• Voluntary Energy Conservation Policy
Declaration by Indian Industry
• Small Group Activity on Energy Conservation
• National Energy Conservation Awards
• (2002) Development of policies and strategies,
with an emphasis on self-regulation and
market principles under the Energy
Conservation Act, 2001.
• Leading State Level Organization Promoting
Energy Conservation
• Punjab Energy Development Agency (PEDA)
• Maharashtra Energy Development Agency
(MEDA)
• Gujarat Energy Development Agency (GEDA)
• Energy Management Centre (EMC), Kerala
• Madhya Pradesh Urja Vikas Nigam (MPUVN)
• Energy Conservation Mission (ECM)
• HIMURJA, Himachal Pradesh
Energy Conservation Act 2003
• The broad objectives of BEE are as under:
• To exert leadership and provide policy
recommendation and direction to national
energy conservation and efficiency efforts and
programs.
• To coordinate energy efficiency and conservation
policies and programs and take it to the
stakeholders
• To establish systems and procedures to measure,
monitor and verify energy efficiency results in
individual sectors as well as at a macro level.
• To leverage multi-lateral and bi-lateral and
private sector support in implementation of
Energy Conservation Act and efficient use of
energy and its conservation programs.
• To demonstrate delivery of energy efficiency
services as mandated in the EC bill through
private-public partnerships.
• To interpret, plan and manage energy
conservation programs as envisaged in the
Energy Conservation Act.
Objectives
• Provide a policy recommendation and direction
to national energy conservation activities
• Coordinate policies and programmes on efficient
use of energy with shareholders
• Establish systems and procedures to verify,
measure and monitor Energy Efficiency (EE)
improvements
• Leverage multilateral, bilateral and private sector
support to implement the EC Act '01
• Demonstrate EE delivery systems through public-
private partnerships.
Salient features of the Energy Conservation Act
2001
• The Act empowers the Central Government
and, in some instances, State Governments to:
• specify energy consumption standards for
notified equipment and appliances;
• direct mandatory display of label on notified
equipment and appliances;
• prohibit manufacture, sale, purchase and
import of notified equipment and appliances
not conforming to energy consumption
standards;
• notify energy intensive industries, other
establishments, and commercial buildings as
designated consumers;
• establish and prescribe energy consumption
norms and standards for designated
consumers;
• prescribe energy conservation building codes
for efficient use of energy and its conservation
in new commercial buildings having a
connected load of 500 kW or a contract
demand of 600 kVA and above
Direct designated consumers to:-
• Designate or appoint certified energy manager
in charge of activities for efficient use of energy
and its conservation;
• get an energy audit conducted by an accredited
energy auditor in the specified manner and
interval of time;
• furnish information with regard to energy
consumed and action taken on the
recommendation of the accredited energy
auditor to the designed agency;
• Comply with energy consumption norms and
standards;
• prepare and implement schemes for efficient
use of energy and its conservation if the
prescribed energy consumption norms and
standards are not fulfilled;
• get energy audit of the building conducted by
an accredited energy auditor in this specified
manner and intervals of time;
State Governments May –
• Amend the energy conservation building codes
prepared by the Central Government to suit
regional and local climatic conditions;
• Direct every owners or occupier of a new
commercial building or building complex being a
designated consumer to comply with the
provisions of energy conservation building codes;
• Direct, if considered necessary for efficient use of
energy and its conservation, any designated
consumer to get energy audit conducted by an
accredited energy auditor in such manner and at
such intervals of time as may be specified
Functions of BEE
• The functions of BEE can be classified as regulatory
functions being recommendatory body to the Central
Government in implementing the provisions of the Energy
Conservation Act and facilitation, market development and
market transformation functions such as:
• arrange and organize training of personnel and specialists
in the techniques for efficient use of energy and its
conservation;
• develop testing and certification procedures and promote
testing facilities;
• strengthen consultancy services;
• create awareness and disseminate information;
• promote research and development;
• formulate and facilitate implementation of pilot projects
and demonstration projects;
• promote use of energy efficient processes, equipment,
devices and systems;
• take steps to encourage preferential treatment for use
of energy efficient equipment or appliances;
• promote innovative financing of energy efficiency
projects;
• give financial assistance to institutions for promoting
efficient use of energy and its conservation;
• prepare educational curriculum on efficient use of
energy and its conservation and
• implement international co-operation programmes
relating to efficient use of energy and its conservation.
Action plan of BEE
• During the three year period 4/2004 – 3/2007 BEE
shall primarily focus on 9 thrust areas. In addition, it
shall also attend to ongoing programmes and such
other programmes as are considered essential for
promoting the objectives of the Act.
• In the following sections, the background, legislative
mandate, approach, role of BEE for 8 thrust areas
are described.
• Furthermore three-year target indicators as well as
monitoring indicators have been set. Monitoring
indicators were used in cases where BEE has little
control over compliance or in cases of difficulties to
quantify a target.
ISO 150001 - Energy management
• Using energy efficiently helps organizations
save money as well as helping to conserve
resources and tackle climate change.
• ISO 150001 supports organizations in all
sectors to use energy more efficiently, through
the development of an energy management
system (EnMS).
ISO 50001:2018 – Energy
Management System
• ISO 50001 is based on the management
system model of continual improvement also
used for other well-known standards such as
ISO 9001 or ISO 14001.
• This makes it easier for organizations to
integrate energy management into their
overall efforts to improve quality and
environmental management.
ISO 50001:2018 provides a framework of
requirements for organizations to:
• Develop a policy for more efficient use of
energy
• Fix targets and objectives to meet the policy
• Use data to better understand and make
decisions about energy use
• Measure the results
• Review how well the policy works, and
• Continually improve energy management.
Certification to ISO 50001
• Like other ISO management system standards,
certification to ISO 50001 is possible but not
obligatory. Some organizations decide to
implement the standard solely for the benefits
it provides.
• Others decide to get certified to it, to show
external parties they have implemented an
energy management system. ISO does not
perform certification.
Energy Management
Need for Energy Management
• Energy conservation avoids wasteful use of
energy without much investment
• It can be termed as a new source of energy,
which when available, can be readily used
without any further loss or gestation period
• It is the cheapest source of energy. In fact, it is
the easiest solution to bridge the gap between
demand and supply
• Principles governing energy management are as
follows.
1. Control the costs of the energy function, and not
the Btu(British thermal unit) of energy. Since energy
always provides a service, it is converted to a useful
function, it is advisable to control the total cost than
just the Btu of energy since the total cost is more
closely related to the interests of the organisation.
2. The second principle is to control energy functions
as a product cost, not as a part of manufacturing or
general overhead. The energy functions should be a
part of the costing system so that the specific
impact of each function can be better judged.
3. The third principle is to control and meter
only the main functions – which accounts for
only 20% functions which make up 80 percent
of the costs.
4. The last principle states that the major effort
of an energy management program should be
put in to installing controls and achieving
results. Each step of the process should be
monitored to achieve appropriate results
LAPTOPS VS. DESKTOPS
• For energy efficiency, laptops are almost always
a better choice than desktops. Laptops are
designed for maximum power efficiency; they
run on battery power, but they also tend to have
fewer high-end components like video cards that
suck power. One electricity expert estimates
that you could spend as much as $631 per year
to run a desktop computer, or as little as $5.50
per year on a laptop.
• If you're replacing desktop computers, consider
whether your employees could do just as well
with less energy-intensive laptops. Look for
laptops that have an Energy Star rating, which
is the government designation that tells you a
product is a leader in energy efficiency.
• Design and starting of energy management
program
• https://www.greenbiz.com/blog/2012/12/11/
7-steps-effective-energy-management
• https://www.energystar.gov/buildings/facility-
owners-and-managers/industrial-plants/build-
energy-management-program
• http://info.smartwatt.com/blog/7-step-
action-plan-for-establishing-an-energy-
management-program
Energy Basics
Energy
• The ability to do work or cause change

• Either potential or kinetic
Potential Energy
• Energy that is stored. The snow on the
mountain top represents potential energy.
Potential Energy
• Potential energy is highest when the object is
at a higher point, like this roller coaster on the
top of a hill. The higher the hill the greater the
potential energy.
Potential Energy
• The more mass something has the greater its
potential energy. In the picture below the man
holding the weight above his head is holding a
lot of potential energy.
Kinetic Energy
• The energy of motion
Kinetic Energy
• The faster the motion the greater the kinetic
energy. When the roller coaster starts down
the hill it has kinetic energy. The point where
the car is going the fastest is where the kinetic
energy is the greatest.
Forms of Energy
• Energy can be found in many forms
• Can be converted from one form or another
• Conversion can be both man made and a
natural process
• Forms include chemical, thermal, elastic,
radiant,electrical,mechanical and nuclear.
Chemical Energy
• Stored in chemical bonds holding the atoms of
compounds together
• Food, wood, batteries, fossil fuels
Chemical Energy
• When a chemical reaction takes place energy
is used.
• If energy is pulled in from the surrounding
area during a chemical reaction, the area gets
cold and the reaction is endothermic.
• Commercial ice packs for injuries work this
way.
Chemical Energy
• When a chemical reaction takes place and
releases energy it can increase the
temperature. We call this an exothermic
reaction.
Chemical Energy
Plants can make their own energy through a
process called photosynthesis. They are the
bases for a food chain. All other living things
that cannot carry on photosynthesis depend
on plants for their energy.
Energy Transformation
• In photosynthesis radiant or light energy from
the sun is changed to chemical energy in the
leaf.
Chemical Energy
• Other living things can get energy from eating
plants or eating things that eat plants.
Chemical Energy
• The energy we eat is stored as potential
chemical energy until we need it. When we
use the energy through an activity then it
becomes kinetic mechanical energy.
Chemical Energy
• Plants make food through the process of photosynthesis.
When we use the energy from the chemical energy we store
we break it down through a process called respiration. These
are opposite energy reactions.
Electrical Energy
• Energy of moving electrons
• Invisible but most useful
form
• When the electrons are
separated from positive
charges and then forced
along a closed path in
a conduction material
ex: copper
Energy Transformation
• Electrical energy can come from many different

sources. The sources can be solar, nuclear,
mechanical or generally chemical. In Texas most of
our electricity comes from the burning of the coal,
lignite. The energy transformation that takes place
would be:
• Lignite (chemical)->moving turbines (mechanical)-
>moving electrons (electrical)-> our homes
Mechanical Energy
• Most familiar-involved with moving objects; atoms
are moving and pushing each other
• Sound is an example-occurs when atoms in a media
vibrate in a direction outward from the sound
source. Sometimes, sound is classified as its own
energy source.
Mechanical Energy
• When we move or work we are using
mechanical energy.
Energy Transformations
• Automobiles use chemical energy (fossil fuels)
which is converted to mechanical energy
when they move.
Radiant or Light Energy
• Produced when atoms absorb energy from an
outside source and release energy as
electromagnetic radiation
• Most are invisible except for visible light
• UV rays, X-rays, radio waves
• Our ultimate energy source is radiant energy
from the sun.
• In a light stick you have chemical energy
stored in the vial. When you bend the stick
and break it then light energy is released.
• We use light energy in our homes.
• Many people have switched to compact
fluorescent light bulbs over other light bulbs
(incandescent) because they do not put out as
much heat (thermal energy). The compact
florescent bulbs are more energy efficient so
they help in energy conservation.
Thermal Energy
• A special form of kinetic energy

• Energy of moving or vibrating molecules
• The faster the molecules vibrate the hotter
they become
• When heat is produced we have thermal
energy.
Thermal Energy
• Volcanoes can be a natural source of thermal
energy. When we use the heat of the earth it
is called geothermal energy.
Elastic Energy
• Energy stored in a solid object when it is

either stretched or compressed.
• A stretched rubber band, compressed spring
or jack-in-the-box
Nuclear Energy
• Energy stored in the nuclei of atoms
• Released by fission, the splitting of nuclei of
heavy atoms
• Released by fusion-the combining of nuclei of
light atoms
Nuclear Energy
• Einstein predicted the energy in a nuclear reaction

before we had even split the atom in his famous
equation:
• E = m c2
E=energy, m = mass and c2 is the speed of light. He is
basically saying if we take the mass of an object and
multiply it by the speed of light that will tell us how
much energy it contains. This did not make a lot of
sense at the time.
Nuclear Energy
• When the energy released from the splitting

of an atom was discovered this made the
equation make sense. There is an infinite
amount of power in nuclear energy. This is
what powers stars like our sun. Hydrogen is
turned into helium. This process will continue
until our sun runs out of hydrogen. This will be
in about 4 billion years.
Nuclear Energy
• We are trying to harvest the power of the

atom when we use nuclear energy.
Energy Basics
• There are many issues involved with energy.
• Renewable vs. Nonrenewable
• Energy Conservation
• Environmental Concerns
• Pollution
These are just a few of the things you can study
when studying energy.
Designing and starting an Energy
Management Program
• All the components of a comprehensive energy
management program are depicted in Figure below
• These components are the organizational structure, a
policy, and plans for audits, education, reporting, and
strategy.
• It is hoped that by understanding the fundamentals of
managing energy, the energy manager can then adapt a
good working program to the existing organizational
structure.
• The organizational chart for energy management shown in
Figure above is generic. It must be adapted to fit into an
existing structure for each organization.
• For example, the presidential block may be the general
manager, and VP blocks may be division managers, but the
fundamental principles are the same. The main feature of the
chart is the location of the energy manager.
• This position should be high enough in the organizational
structure to have access to key players in management, and to
have a knowledge of current events within the company.
• For example, the timing for presenting energy projects can be
critical. Funding availability and other management priorities
should be known and understood.
• The organizational level of the energy manager is also
indicative of the support management is willing to give to the
position.
Requirements For An Energy
Management
• Set up an Energy Management Plan
• Establish energy records
• Identify outside assistance
• Assess future energy needs
• Identify financing sources
• Make energy recommendations
• Implement recommendations
• Provide liaison for the energy committee
• Plan communication strategies
• Evaluate program effectiveness
Energy Managers Responsibilities
• Prepare an annual activity plan and present to
management concerning financially attractive
investments to reduce energy costs.
• Establish an energy conservation cell within
the firm with management’s consent about
the mandate and task of the cell.
• Initiate activities to improve monitoring and
process control to reduce energy costs.
• Analyze equipment performance with respect
to energy efficiency.
• Ensure proper functioning and calibration of
instrumentation required to assess level of
energy consumption directly or indirectly.
• Prepare information material and conduct
internal workshops about the topic for other
staff.
• Improve disaggregating of energy
consumption data down to shop level or profit
center of a firm.
• Establish a methodology how to accurately
calculate the specific energy consumption of
various products/services or activity of the
firm.
• Develop and manage training program for
energy efficiency at operating levels.
• Co-ordinate nomination of management
personnel to external programs.
• Create knowledge bank on sectoral, national
and international development on energy
efficiency technology and management
system and information denomination
• Develop integrated system of energy efficiency
and environmental up-gradation.
• Wide internal & external networking.
• Co-ordinate implementation of energy
audit/efficiency improvement projects
through external agencies.
• Establish and/or participate in information
exchange with other energy managers of the
same sector through association.
Energy Managers Duties
• Report to BEE and State level Designated
Agency once a year. The information with
regard to the energy consumed and action
taken in the recommendation of the
accredited energy auditor, as per BEE Format.
• Establish an improved data recording,
collection and analysis system to keep track of
energy consumption.
• Provide support to Accredited Energy Audit
Firm retained by the company for the conduct
of energy audit.
• Provide information to BEE as demanded in
the Act, and with respect to the tasks given by
a mandate, and the job description.
• Prepare a scheme for efficient use of energy
and its conservation and implement such
scheme keeping in view of the economic
stability of the investment in such firm and
manner as may be provided in the regulations
of the Energy Conservation Act.
• http://www.sdatripura.in/Duties/duties.htm
Coordinators
• The coordinators shown in Figure above
represent the energy management team
within one given organizational structure,
such as one company within a corporation.
This group is the core of the program.
• The main criteria for membership should be
an indication of interest. There should be a
representative from the administrative group
such as accounting or purchasing, someone
from facilities and/or maintenance, and a
representative from each major department.
• This energy team of coordinators should be
appointed for a specific time period, such as
one year.
• Rotation can then bring new people with new
ideas, can provide a mechanism for tactfully
removing non-performers, and involve greater
numbers of people in the program in a
meaningful way.
• Have enough technical knowledge within the
group to either understand the technology
used by the organization, or be trainable in
that technology
• Have a knowledge of potential new
technology that may be applicable to the
program
• Have planning skills that will help establish the
organizational structure, plan energy surveys,
determine educational needs, and develop a
strategic energy management plan.
• Understand the economic evaluation system
used by the organization, particularly payback
and life cycle cost analysis
• Have good communication and motivational
skills since energy management involves
everyone within the organization
Employees
• Employees are shown as a part of the

organizational structure, and are perhaps the
greatest untapped resource in an energy
management program.
• An understanding of the psychology of
motivation is necessary before an employee
involvement program can be successfully
conducted.
• Motivation may be defined as the amount of
physical and mental energy that a worker is
willing to invest in his or her job.
• Three key factors of motivation are listed
below:
• Motivation is already within people. The task
of the supervisor is not to provide motivation,
but to know how to release it.
• The amount of energy and enthusiasm people
are willing to invest in their work varies with
the individual. Not all are over-achievers, but
not all are lazy either.
• The amount of personal satisfaction to be
derived determines the amount of energy an
employee will invest in the job.
Energy Accounting
What is Energy Accounting?
• Energy accounting is a system to record,
analyze and report energy consumption and
cost on a regular basis.
• In the power sector, energy accounting
involves preparation of a “balance sheet” of
energy, i.e., the preparation of accounts of
• The energy flow to various segments,
• Energy consumption by various categories of

consumers,
• Energy losses including both technical and

commercial losses at various stages, and
• Energy required for meeting the technical

requirements of the system out of the total
quantum of energy available over a specified
time period.
Objectives of Energy Accounting
• Verify savings from energy retrofits
• Motivate staff to manage energy costs
• Set energy cost savings goals and monetary
incentives
• Prioritize sites for energy retrofits
• Troubleshoot unusual consumption increases
• Find billing errors
• Prepare to negotiate for price and service as
electricity undergoes deregulation
Energy Monitoring, Targeting &
Reporting
(MT&R)
Definitions
• Monitoring is the regular collection of
information on energy use. Its purpose is to
establish a basis of management control, to
determine when and why energy
consumption is deviating from an established
pattern, and as a basis for taking management
action where necessary.
• Monitoring is essentially aimed at preserving
an established pattern
Definitions
• Target setting is the identification of levels of
energy consumption, which is desirable as a
management objective to work toward.
• Reporting involves “closing the loop” by
putting the management information
generated from the monitoring process in a
form that enables ongoing control of energy
use, the achievement of reduction targets,
and the verification of savings.
Monitoring Target Setting
Regular Collection of Identification of

Information on Levels of Energy
Energy Use Consumption
Monitoring comes before target setting

because without monitoring you cannot know
precisely where you are starting from, or
decide if a target has been achieved
Rationale for Monitoring, Targeting
and Reporting
• Whether your current energy is better or
worse than before
• Trends in energy consumption that reflects
seasonal, weekly, and other operational
parameters
• How much your future energy use is likely to
vary if you change aspects of your business
• Specific areas of wasted energy
• Comparison with other business with similar
characteristics - This "benchmarking"
• process will provide valuable indications of
effectiveness of your operations as well as
energy use
• How much your business has reacted to
changes in the past
• How to develop performance targets for an
energy management program
Data and Information
Needs for MT&R
• Energy monitoring is used to find out how much
energy is costing your organisation, and for
developing information to use as a basis for
controlling consumption.
• It is a technique that relies on quantitative—not
just qualitative—information about energy use.
• There are qualitative indicators, to be sure: in
many manufacturing processes, the characteristics
of the product are determined by the changes,
which the input of energy brings about
Energy monitoring requires quantitative
information, usually measured, such as:
• Energy billings data, including electrical demand
and consumption, fuel consumption, costs.
• Consumption measurements at some level (for
example, the entire building, a production
department, an individual energy-consuming
system).
• Key independent variables that influence energy
consumption, such as production of a
manufacturing system.
• Energy used in production processes typically
heats, cools, changes the state of, or moves
material. Obviously it is impossible to
generalise, as industrial processes are both
complex and widely varied.
• However, a theoretical assessment of specific
processes leads to the conclusion that energy
plotted against production will produce a
straight line of the general form:
Energy consumed for the period = C + M x Production
for same period
• Where M is the energy consumption directly

related to production (variable) and C is the
"fixed" energy consumption (i.e. energy
consumed for lighting, heating/cooling and
general ancillary services that are not affected
by production levels).
CUSUM
• CUSUM is a powerful technique for
developing management information
regarding the energy performance of a plant,
or an energy-consuming system such as an
oven or furnace, for example.
• It distinguishes between significant events
affecting performance—faults or
improvements—and noise.
• CUSUM stands for 'CUmulative SUM of
differences', where 'difference' refers to
differences between the actual consumption
and the consumption you expect on the basis
of some established pattern—what we have
called the energy performance model
Targeting
• Targeting is a vital part of energy management
as it encourages us to determine how low a
level of energy consumption is achievable.
• In this section we are concerned with how to
decide on an appropriate target
• Targeting is quite distinct from monitoring,
although from the foregoing we see that they
are clearly related.
• In monitoring you are trying to maintain an
existing level of efficiency.
• In targeting you decide to what level energy
consumption can be reduced.
• However, in some cases the target
performance may be a period of superior
performance demonstrated previously, as was
the case in the example. But targeting need
not stop there.
All targets have two elements:
• Measure of the level to which consumption
can be reduced
• The time by which the reduction will be
achieved.
Targets related to those achievable by better, or
more skilled operators and management need
to be distinguished from those that involve
capital investment.
Reporting
• Reporting within a monitoring and targeting
system has a number of functions:
♦ To create motivation for energy saving
actions;
♦ To report regularly on performance;
♦ To monitor overall utility costs;
♦ To monitor cost savings.
Energy Auditing Process
Energy Audit
Definition
• Energy audit is a systematic study or survey to
identify how energy is being used in a building
or plant, and identifies energy savings
opportunities.
• Using proper audit methods and equipment, an
energy audit provides the energy manager with
essential information on how much, where and
how energy is used within a organization(factory
or building).
• Main part of the energy audit report is
energy savings proposals comprising of
technical and economic analysis of projects
• Looking at the final output, an energy audit
can also be defined as a systematic search for
energy conservation opportunities
Energy Audit Stages
• Energy audit can be categorized into two
types, namely walk-through or preliminary
and detail audit.
• Walk-through or preliminary audit comprises
one day or half-day visit to a plant and the
output is a simple report based on
observation and historical data provided
during the visit.
• The findings will be a general comment based
on rule-of-thumbs, energy best practices or
the manufacturer's data.
Unit - II
Energy Cost and Load
Management
Important Concepts of an Economic Analysis –
Economic Models – Time Value of Money-
Utility Rate Structures – Cost of Electricity –
Loss Evaluation – Load Management :
Demand Control Techniques – Utility
Monitoring and Control System – HVAC and
Energy Management - Economic Justification
Important Concepts of
Economic Analysis
• Economic analysis that are essential to
determine the cost-effectiveness of various
energy conservation measures suitable for
residential/commercial and/or industrial
facilities
Implement energy conservation measures.
• These initial costs must be generally justified
in terms of a reduction in the operating costs.
• For an energy retrofit project to be
economically worthwhile, the initial expenses
have to be lower than the sum of savings
obtained by the reduction in the operating
costs over the lifetime of the project.
Economic Factors
• Capital cost of the technology
• Long term debt availability
• Capacity
• Risks and uncertainties
• Time
• Rate of Inflation
• Competitors
• Tax and Promotions
Important concepts of economic
analysis
• Economics frequently play a dominant role in
the decision whether management/owner will
invest in an energy savings/investment project
or not
• The communication of energy managers with
the decision makers is very important in
investment decisions.
• The energy manager must present projects in
economic terms in order to help the decision
makers to make their decisions.
• There are various methods for economic
evaluation of energy savings/investment
projects.
• There are many measures of project economic
analysis, and many businesses and industries
use their own methods or procedures to make
their decisions.
• The most commonly used economic
evaluation methods in energy projects are
Economic Evaluation Methods
• Investment profitability analysis
• Annual Cost Method
• Present worth method
• Capitalized Cost Method
Investment profitability analysis
• Many entrepreneurs start their business at
least in part because of pride of ownership
and the satisfaction that comes from being
their own boss.
• In addition, of course, you almost certainly
also started your business to generate profits.
• This training guide will introduce you to
several methods that will help you analyze
your company's operations and compute the
profitability of your business.
• There are several ways to measure your
company's profits, from that
• Margin (or profitability) ratios
• Break-even analysis (based on revenues and
on units sold)
• Return on assets and on investment
Annual Cost Method
• Equivalent annual cost (EAC) is the annual
cost of owning and maintaining an asset
determined by dividing the net present
value of the asset purchase, operations and
maintenance cost by the present value of
annuity factor.
• It is a capital budgeting tool used by
companies to compare assets with unequal
useful lives. The same concept can be applied
to analyse projects which have unequal useful
lives.
• Let’s say your company must decide between
installing tube-lights or LED lights at its office.
• A tube light has a useful life of 2 years and an
LED lights has useful life of 4 years.
• 200 tube-lights costs $1,000 and consume
electricity of $18,000 per annum. 200 LED
lights will cost $3,000 and consume electricity
of $12,000 per annum.
• You must be wondering how to approach it
because each light has different useful life.
• The concept of equivalent annual cost is
relevant in such situations.
• https://xplaind.com/143298/equivalent-annual-cost
Present worth method
• Alpha Industry is planning to expand its
production operation. It has identified three
different technologies for meeting the goal.
• The initial outlay and annual revenues with
respect to each of the technologies are
summarized in Table 1.
• Suggest the best technology which is to be
implemented based on the present worth
method of comparison assuming 20% interest
rate, compounded annually.
• https://www.brainkart.com/article/Present-worth-method_5325/
• In all the technologies, the initial outlay is
assigned a negative sign and the annual
revenues are assigned a positive sign.
TECHNOLOGY 1
• Initial outlay, P = Rs. 12,00,000
• Annual revenue, A = Rs. 4,00,000
• Interest rate, i = 20%, compounded annually
• Life of this technology, n = 10 years
• The cash flow diagram of this technology is as
shown in Fig
• Cash flow diagram for technology 1.

• The present worth expression for this
technology is
• PW(20%)1 = –12,00,000 + 4,00,000 (P/A, 20%,
10)
• = –12,00,000 + 4,00,000 (4.1925)
• = –12,00,000 + 16,77,000
• = Rs. 4,77,000
TECHNOLOGY 2
• Cash flow diagram for technology 2.
technology is
• PW(20%)2 = – 20,00,000 + 6,00,000 (P/A,
20%, 10)
= – 20,00,000 + 6,00,000 (4.1925)
= – 20,00,000 + 25,15,500
= Rs. 5,15,500
TECHNOLOGY 3
• Cash flow diagram for technology 3
technology is
• PW(20%)3 = –18,00,000+ 5,00,000 (P/A, 20%,
10)
= –18,00,000 + 5,00,000 (4.1925)
= –18,00,000 + 20,96,250
= Rs. 2,96,250
Capitalized Cost Method
Economic Models
• An economic model is a theoretical construct
that represents a process by a number of
variables and a set of quantitative or logical
relationships between them – to determine
what might happen in different scenarios or at
a future date.
• An economic model is what an economist uses
to make a number of simplified assumptions
and then sees how different scenarios might
play out.
Energy models can be structured along three
dimensions:
• Technological,
• Microeconomic And
• Macroeconomic Detail
• https://www.frontiersin.org/articles/10.3389/fenrg.2015.00024/full
Time Value of Money
Time value of Money
• What Is the Time Value of Money (TVM)?
• The time value of money (TVM) is the concept
that money available at the present time is
worth more than the identical sum in the
future due to its potential earning capacity.
• This core principle of finance holds that,
provided money can earn interest, any
amount of money is worth more the sooner it
is received. TVM is also sometimes referred to
as present discounted value.
Understanding Time Value of Money
(TVM)
• The time value of money draws from the idea
that rational investors prefer to receive money
today rather than the same amount of money
in the future because of money's potential to
grow in value over a given period of time.
• For example, money deposited into a savings
account earns a certain interest rate and is
therefore said to be compounding in value.
• Further illustrating the rational investor's
preference, assume you have the option to
choose between receiving $10,000 now versus
$10,000 in two years. It's reasonable to
assume most people would choose the
first option.
• Despite the equal value at time of
disbursement, receiving the $10,000 today
has more value and utility to the beneficiary
than receiving it in the future due to
the opportunity costs associated with the
wait.
• Such opportunity costs could include the
potential gain on interest were that money
received today and held in a savings account
for two years.
Basic TVM Formula
• Depending on the exact situation in question, the

TVM formula may change slightly.
• For example, In the case of annuity (year)
or perpetuity (Fixed) payments, the generalized
formula has additional or less factors.
• But in general, the most fundamental TVM
formula takes into account the following
variables:
• FV = Future value of money
• PV = Present value of money
• i = interest rate
• n = number of compounding periods per year
• t = number of years
• Based on these variables, the formula for TVM is:
• FV = PV x [ 1 + (i / n) ] (n x t)
• https://www.investopedia.com/terms/t/timevalueofmoney.asp
Utility Rate Structures
• Set of factors that a utility firm chooses in
computing consumers' charges. Whereas most
telephone and water bills are quite straight
forward, electricity bills can be very complex
due to inclusion of factors such as demand
charge, fuel charge, power factor penalty, time
of day billing, etc.
Read more: http://www.businessdictionary.com/definition/rate-structure.html
Utility Rate Structures
• Typical utility rate structures are divided into
three categories reflected on your electricity
bill:
• Customer Charges,
• Demand Charges, and
• Supply Charges
• Each charge is designed to cover specific costs
incurred by a regulated utility.
• The bill also includes provision taxes that vary
depending on your utility and local
government.
Customer Charges
• The first category is customer charges. These charges
vary with the number of customers, but not the
amount used by any particular customer.
• Customer charges recover costs associated with
making service available to the customer, such as
installing and maintaining meters, utility poles,
power lines and equipment as well as meter reading
and customer service costs.
• Most utilities charge a flat fee customer charge and it
does not vary according to usage.
Demand Charge
• The second utility rate category is called demand costs.
Electric and natural gas utilities must be able to meet
peak demand.
• Peak demand is the period of time when the greatest
number of users is simultaneously using service. Overall
system requirements for energy transmission and
delivery drive demand related costs.
• Costs associated with the demand charge
include: capital and operating costs for production,
transmission, equipment (transformers) and storage
costs that vary with demand requirements.
Supplier Charge
• The third component of an electricity or natural
gas bill is the energy/commodity costs or supply
charges.
• The supply charge consists of the costs associated
with capital and operating costs to produce the
energy, such as fuel costs and production
supplies.
• These costs change only with the consumption of
energy and they are not affected by the number
of customers or overall system demand.
The formulas for rate calculations
are as follows:
• Customer charge = fixed monthly charge
• Demand charge = dollars x demand
• Supply charge = dollars x energy use
Energy/fuel cost adjustment = dollars x energy
use
• Tax/surcharge = one or more of items 1-3
above
By tax %, dollars x energy use, or dollars x
demand
• https://www.stanleyenergy.com/understanding-utility-rate-structures-2/
Cost of Electricity
• The cost of electricity can be divided into
plant-level costs, grid-level costs, and other
costs.
• Plant-level costs consist of capital, operation
and maintenance, and fuelling cost.
• Capital cost is reflected in the cost of
generation by way of interest on debt and
return on equity.
• For nuclear power plants, capital cost is high,
but fuelling cost is low.
• For coal-fired power plants, capital cost is low,
but fuelling cost is high.
• The capital cost of solar and wind is
continuously decreasing; fuelling cost is nil.
• Electricity reaches a consumer through the
grid.
• Laying a grid needs significant investment.
• A distributor buys electricity from a generator,
adds transmission and distribution charges, a
charge to recover technical losses, operating
expenses, and his profit to determine the
tariff to be charged from a consumer.
• Since several generators are connected to the
grid, interaction with the grid and grid-
management policies influence the working of
a generator.
• At present, electricity markets do not assign
any price to system effects, that is, to the
complex interactions among various
generators connected to the grid.
• In recent years, a large capacity based on
variable renewable energy (VRE) sources has
been connected to the grid. These sources are
intermittent, but get priority feed-in due to nil
fuelling cost.
• A grid manager must ensure that enough
dispatchable generation capacity is connected
to the grid to meet the peak load in the
evening when solar power is not available.
• Dispatchable generation is provided by
baseload technologies like coal and nuclear,
and by large hydropower
• Other costs include those arising from the
influence of electricity generation on health,
influence on existing generation capacity due
to adding new capacity, cost of accidents,
security of supplies and net energy gain for
society.
Economic Survey of Electricity Cost
• In the Economic Survey 2016-17 (Volume 2),
an attempt has been made to estimate grid-
level costs and some other costs.
• It estimates that the total social cost of
renewable was ₹11 per kWh, around three
times that of coal.
Loss Evaluation
Load Management
• Load management, also known as demand
side management (DSM), is the process
of balancing the supply of electricity on the
network with the electrical load by adjusting
or controlling the load rather than the power
station output.
• DSM refers to initiatives and technologies that
encourage consumers to optimize their energy
use.
• The benefits from DSM are potentially two-
fold; first, consumers can reduce their
electricity bills by adjusting the timing and
amount of electricity use. Second, the energy
system can benefit from the shifting of energy
consumption from peak to non-peak hours
Total Installed Capacity in India
(As on 31.05.2019)
- Source : Central Electricity Authority (CEA)
Sector MW % of Total
State Sector 86,597 24.3%
Central Sector 105,077 29.4%
Private Sector 165,144 46.3%
Total 3,56,818
Fuel MW % of Total
Total Thermal 2,26,279 63.4%
Coal 1,94,445 54.5%
Lignite 6,260 1.8%
Gas 24,937 7.0%
Oil 638 0.2%
Hydro (Renewable) 45,399 12.7%
Nuclear 6,780 1.9%
RES* (MNRE) 78,359 22.0%
Total 356,818
PLANT LOAD FACTOR (PLF)
• A plant load factor is a measure of average
capacity utilization. If the PLF is affected by non-
availability of fuel, maintenance shut-down,
unplanned break down and no offtake (as
consumption pattern fluctuates lower in nights),
the generation has to be adjusted.
• A power (electricity) storage is not feasible. A
generation of power is controlled to match the
offtake. For any duration, a power plant
generates below its full capacity.
• In Electricity industry, load factor is a measure
of the output of a power plant compared to
the maximum output it could produce.
Energy Generation from
Year Conventional Sources % of growth
(Billion Units)
2009-10 771.551 6.6

2010-11 811.143 5.56
2011-12 876.887 8.11
2012-13 912.056 4.01
2013-14 967.150 6.04
2014-15 1048.673 8.43
2015-16 1107.822 5.64
2016-17 1160.141 4.72
2017-18 1206.306 3.98
2018-19 1249.337 3.57
2019-20* 226.010 5.14
Energy Peak
Requirement Availability Surplus(+)/Deficts(-) Peak Demand Peak Met Surplus(+) / Deficts(-)

Year
(MU) (MU) (MU) (%) (MW) (MW) (MW) (%)
2009-10 8,30,594 7,46,644 -83,950 -10.1 1,19,166 1,04,009 -15,157 -12.7
2010-11 8,61,591 7,88,355 -73,236 -8.5 1,22,287 1,10,256 -12,031 -9.8
2011-12 9,37,199 8,57,886 -79,313 -8.5 1,30,006 1,16,191 -13,815 -10.6
2012-13 9,95,557 9,08,652 -86,905 -8.7 1,35,453 1,23,294 -12,159 -9.0
2013-14 10,02,257 9,59,829 -42,428 -4.2 1,35,918 1,29,815 -6,103 -4.5
2014-15 10,68,923 10,30,785 -38,138 -3.6 1,48,166 1,41,160 -7,006 -4.7
2015-16 11,14,408 10,90,850 -23,558 -2.1 1,53,366 1,48,463 -4,903 -3.2
2016-17 11,42,929 11,35,334 -7,595 -0.7 1,59,542 1,56,934 -2,608 -1.6
2017-18 12,13,326 12,04,697 -8,629 -0.7 1,64,066 1,60,752 -3,314 -2.0
2018-19 12,74,595 12,67,526 -7,070 -0.6 1,77,022 1,75,528 -1,494 -0.8

2019-
229,413 228,441 -972 -0.4 183,513 182,533 -981 -0.5
20*
Generation (Billion Units)
• The electricity generation target of
conventional sources for the year 2019-20 has
been fixed as 1330 Billion Unit (BU). i.e.
growth of around 6.46% over actual
conventional generation of 1249.337 BU for
the previous year (2018-19).
• The conventional generation during 2018-19
was 1249.337 BU as compared to 1206.306
BU generated during 2017-18, representing a
growth of about 3.57%.
DEMAND SIDE MANAGEMENT
Unit – II
Part - II
CONSERVATION
• In this method of DSM the consumer is provided
with information on ways that will lead to either
less energy utilization or usage of energy in a less
expensive manner.
• Conservation programs that include media
advertising or inserts.
• The programs are essential in building a positive
image with consumers.
• More importantly, they serve as effective
relationship builders and marketing tools,
providing a way for utility representatives to
meet with and see the facilities of consumers
who might be candidates for other services or
products
EFFICIENT BUILDINGS
• DSM calls for design measures that keep
buildings naturally warm during winter season
and cool during summer season.
• The design and implementation cost of this
category may seem to be high in short term.
• However, the long term benefits will be
derived by both the utility provider (less
energy use) and the consumer (less electricity
bill to pay).
EFFICIENT APPLIANCES
• This program requires that appliances such as
motors, air conditioners, lights etc, be
designed with characteristics of reducing the
energy consumption and minimizing energy
wastage.
• Energy management programmes are usually
initiated by the utility provider for the purpose
of minimizing the demand during peak hours.
• Most of them are implemented by the
consumers on a voluntary basis.
• In case these strategies fail in reducing the
demand at peak times, the utility provider is
forced to completely disconnect some of the
clients from the network.
• A proposed strategy is to initiate a mechanism
that gracefully (selectively) disconnects
appliances so as to control the power
consumption when the demand surpasses the
capacity of the utility.
• They identified three factors that would make
future DSM programmes succeed as technical
cost-effective energy efficiency improvements,
changes in the regulatory practices under
which utilities operate and incentives offered
by the utility providers.
AUTOMATED DEMAND RESPONSE
• DSM program is motivated by a need to
reduce peak demand cost saving.
• The utility company sends out economic or
emergency request
• The success of Demand Response lies in the
ability to encourage some consumers to
forego their electricity usage in capacity-
constrained systems in order that others may
continue to be served by the utility provider
Demand Side Bidding
• Demand Side Bidding (DSB) is a mechanism
that enables consumers to actively participate
in electricity trading, by offering to undertake
changes to their normal pattern of
consumption.
LOAD CONTROL
• There are two ways in which the control of load
at the consumer’s side can be achieved.
• One method involves the control of many
appliances from a central location (the electric
utility in consultation with the consumer) to
manage their usage, dropping the demand at
peak and allowing the electric system to serve
more homes with less peak energy output.
• The other method is to send information to the
consumer regarding the prevailing situation; the
consumer is then expected to take action within a
stipulated time
REAL-TIME PRICING
• The utility installs a ‘smart’ meter on the home or
business that communicates with the utility’s
control centre to obtain the current ‘price’ for
power.
• The consumer’s computer checks when the price
is higher, it shuts down the appliances until the
price level drops to the set value.
• Real-time pricing programs have the potential to
overcome some of the limitations of behavior
modification incentives present in other DSM
techniques
• The utility provider will benefit by having
control and efficient management of the
energy produced through active shifting of the
load.
Utility Monitoring and Control System
• Real-time control of the heating and cooling
environment within an individual building
related down to each individual workspace
• Data collection of all HVAC, electrical, water,
renewable energy and weather sensor
outputs
Hybrid Smart House
• Short-term and long-term analysis of the
energy and water consumption of the facility
relatable to outdoor weather conditions
• Improving/reducing energy consumption at
individual facility level to create more efficient
cost reductions for the installation
• The Utility Monitoring and Control System
(UMCS) can go by many different names.
• They are also described as a Building Automation
System (BAS),
• Building Automation and Control Systems (BACS),
• Building Control System (BCS),
• Building Management Systems (BMS),
• Building Energy Management Systems (BEMS),
• Computerized Maintenance Management System
(CMMS),
• Energy Management and Control Systems (EMCS)
and
• Smart Building Management Systems (SBMS).
• No matter what name you give to these systems,
their purpose is to provide real-time control and
monitoring of the HVAC, lighting, plumbing,
natural gas and waste systems within one or
more buildings.
• The ideal UMCS should be used as a system that
is diverse enough to minimize the number of
individual actions taken to maximize the comfort
level of the individual worker with regard to
minimizing energy costs and consumption.
Heating, Ventilation, and Air-
Conditioning (HVAC) and Energy
Management
• The main purpose of design and
implementation of a Heating, Ventilation, and
Air-Conditioning (HVAC) system is to help
maintain good indoor air quality
through adequate ventilation with filtration
and provide thermal comfort.
• The choice and design of the HVAC system
makes the difference in any living and working
environment.
• This is why we strive to design quality systems
that re cost-competitive while successfully
providing an appropriate quality air, lower
energy cost, and easier maintenance.
• Chilled Water Systems (Air Cooled / Water
Cooled)
• Smoke Ventilation and Management
• Boilers (Steam and Water)
• Floor Heating
• Variable Air Volume
• Variable Air-Flow Controllers
• Ducting and Insulation
• Grilles and Dampers
• Energy Recovery
• Building Management System (BMS) and Controls
• https://www.facilitiesnet.com/energyefficiency/article/Energy-Management-A-Strategy-for-HVAC-Savings--8594
• 1. Keep up with routine maintenance
• If you don’t already have a proactive
maintenance program for your HVAC
system, it’s a good idea to schedule semi-
annual service with a qualified HVAC service
company. They can make sure your system is
operating at its most efficient settings and
that parts or components are in good working
order.
• 2. Operate your HVAC system at optimum and
stable temperatures
• The temperature you set your thermostat is
largely a matter of personal comfort, but many
systems have optimum temperature ranges that
ensure they’re using energy efficiently.
• Consult your owner’s manual or with your service
technician to find out the most energy-efficient
temperature range.
• It’s also a good idea to avoid fluctuating
temperatures too frequently – such as turning
the AC way down on a hot day – as this can make
your HVAC system work harder and less
efficiently.
• 3. Seal your home from drafts
• Most people think about stopping air
infiltration in colder winter months, but it’s
also crucial during AC season – any air leak in
your home robs your HVAC system of
efficiency since that heated or cooled air is
lost. Ensure that all windows are shut and that
doors have good weather seals before turning
on the HVAC system.
• 4. Beef up your insulation
• Particularly in older homes, inadequate
insulation is another factor that can lead to
losing heated or cooled air from the HVAC
system. If you’re unsure about your home’s
insulation levels, consult with an energy
auditor or insulation professional for
guidance.
• 5. Turn down the thermostat
• Setting the thermostat to the coolest
temperature in the winter or highest temperature
you find comfortable can seem like a small step,
but the energy savings can be substantial.
According to the U.S. Department of Energy,
setting your thermostat back 10 to 15 degrees for
8 hours at a time during the heating season can
save you 5 to 15 percent in heating bills each
year.
• 6. Use a programmable thermostat
• If you don’t have, installing a programmable
thermostat one can go a long way in to help
reduce energy use when you’re not home. The
less your HVAC system has to work to
maintain comfortable temperature levels that
aren’t necessary because no one is home, the
more savings you’ll see on your heating or
cooling bill.
• 7. Change your air filters regularly
• Changing your HVAC system’s air filters once a
month, or as directed by the furnace or filter
manufacturer, helps ensure your system has
smooth, uninterrupted air flow.
• 8. Use curtains, blinds and drapes to help
control temperatures
• Window coverings can have a big effect on
your home’s heating or cooling load. In cooler
months, harness the sun’s free warmth by
keeping curtains, blinds or drapes open on
south-facing windows during the day to allow
sunlight in. Close them at night to add an
extra layer of insulation between the glass and
your home interior. In the summer, keep
window coverings closed during the day to
reduce temperatures.
• https://www.angieslist.com/articles/8-ways-reduce-hvac-energy-costs.htm
Economic Justification
• A comparison of alternative material handling
equipment and the assessment of its impact
on a company as far as taxes, depreciation,
inflation and initial cost.
• Generally does involve activity based costing.
Unit - III
Energy Management
Equipments
Introduction
• The economic, social and environmental

aspects of sustainable development rely on
the complex optimization of many factors,
including resource conservation, waste
minimization, energy efficiency, climate
change mitigation, longer product life cycles,
and effective recycling.
• Copper, the “green” material, plays an
important role in all of these solutions.
Energy efficiency is of dominant importance
nowadays due to increasing electrical energy
demand, increasing awareness of Global
warming & increase in prices of fossil fuels.
Bridging this gap from the supply side is a very
difficult and expensive proposition.
• The only viable way to handle this crisis, apart from
capacity addition, is the efficient use of available
energy, which is possible by using energy efficient
devices. Electric motors are a basic need of industry.
• Motors and motor driven systems are huge
consumers of electricity, they are estimated to
account for 43%-46% of all global electricity
consumption & Moreover electrical motor driven
systems consume approximately 70% of energy
consumed by the industry.
• If the entire world were to adopt a least life cycle
approach to motor systems, the energy efficiency
savings potential is 3,890 billion kWh p.a. by 2030,
nearly 30 percent of the total.
• Electrical energy consumption can be greatly
reduced by replacing older, worn out motors with
energy-efficient equivalents and specifying energy
efficient motors in new equipment. Such practices
not only lower energy costs but also improve
equipment reliability.
ELECTRIC MOTOR IN ENERGY
MANAGEMENT
ELECTRIC MOTOR IN ENERGY
MANAGEMENT
• When considering energy-efficiency
improvements to a facility’s motor systems, a
systems approach incorporating pumps,
compressors, and fans must be used in order
to attain optimal savings and performance.
• https://electrical-engineering-portal.com/8-energy-efficiency-improvement-opportunities-in-electric-motors#3
Motor Management Plan
• Creation of a motor survey and tracking program.
• Development of guidelines for proactive
repair/replace decisions.
• Preparation for motor failure by creating a spares
inventory.
• Development of a purchasing specification.
• Development of a repair specification.
• Development and implementation of a predictive
and preventive maintenance program.
Maintenance
• The purposes of motor maintenance are to
prolong motor life and to foresee a motor
failure. Motor maintenance measures can
therefore be categorized as either
preventative or predictive.
• The purpose of predictive motor
maintenance is to observe ongoing motor
temperature, vibration, and other operating
data to identify when it becomes necessary to
overhaul or replace a motor before failure
occurs.
ENERGY-EFFICIENT MOTORS
• Energy-efficient motors reduce energy
losses through improved design, better materials,
tighter tolerances, and improved manufacturing
techniques.
• With proper installation, energy- efficient motors
can also stay cooler, may help reduce facility
heating loads, and have higher service factors,
longer bearing life, longer insulation life, and less
vibration.
• According to data from the Copper
Development Association, the upgrade to
high-efficiency motors, as compared to motors
that achieve the minimum efficiency as
specified by the Energy Policy Act of 1992 can
have paybacks of less than 15 months for 50
hp motors.
Rewinding Of Motors
• In some cases, it may be cost-effective to
rewind an existing energy-efficient motor,
instead of purchasing a new motor.
• As a rule of thumb, when rewinding costs
exceed 60% of the costs of a new motor,
purchasing the new motor may be a better
choice (CEE, 2007).
• When repairing or rewinding a motor, it is
important to choose a motor service center that
follows best practice motor rewinding standards
in order to minimize potential efficiency losses.
Such standards have been offered by the Electric
Apparatus Service Association (EASA).
• When best rewinding practices are
implemented, efficiency losses are typically less
than 1% (EASA, 2003). Software tools such as
MotorMaster+ can help identify attractive
applications of premium efficiency motors based
on the specific conditions at a given plant.
Proper Motor Sizing
• It is a persistent myth that oversized motors,
especially motors operating below 50% of
rated load, are not efficient and should be
immediately replaced with appropriately sized
energy-efficient units.
• In actuality, several pieces of information are
required to complete an accurate assessment
of energy savings.
• The efficiency of both standard and energy-
efficient motors typically peaks near 75% of
full load and is relatively flat down to the 50%
load point.
• Motors in the larger size ranges can operate
with reasonably high efficiency at loads down
to 25% of rated load.
• There are two additional trends: larger
motors exhibit both higher full- and partial-
load efficiency values, and the efficiency
decline below the 50% load point occurs more
rapidly for the smaller size motors.
USING ADJUSTABLE SPEED DRIVES
(ASDs)
• Adjustable-speed drives better match speed
to load requirements for motor operations,
and therefore ensure that motor energy use is
optimized to a given application.
• As the energy use of motors is approximately
proportional to the cube of the flow rate,
relatively small reductions in flow, which are
proportional to pump speed, already yield
significant energy savings.
• Adjustable-speed drive systems are offered by
many suppliers and are available worldwide.
• An overview of savings achieved with ASDs in
a wide array of applications; typical energy
savings were shown to vary between 7% and
60% with estimated simple payback periods
for ranging from 0.8 to 2.8 years
POWER FACTOR CORRECTION
• Power factor is the ratio of working power to
apparent power.
• It measures how effectively electrical power is
being used.
• A high power factor signals efficient
utilization of electrical power, while a low
power factor indicates poor utilization of
electrical power.
Inductive loads like transformers,
electric motors, and HID (High-
intensity Discharge) lighting may cause
a low power factor.
• The power factor can be corrected
by minimizing idling of electric motors (a
motor that is turned off consumes no energy),
replacing motors with premium-efficient
motors, and installing capacitors in the AC
circuit to reduce the magnitude of reactive
power in the system.
MINIMIZING VOLTAGE UNBALANCES
• A voltage unbalance degrades the
performance and shortens the life of three-
phase motors.
• A voltage unbalance causes a current
unbalance, which will result in torque
pulsations, increased vibration and mechanical
stress, increased losses, and motor overheating,
which can reduce the life of a motor’s winding
insulation.
An example of Effects of voltage
unbalance on 5 hp motor:
Characteristic Performance
Average voltage 230 230 230
Percent unbalanced voltage 0.3 2.3 5.4
Percent unbalanced current 2.4 17.7 40
Increased temperature (ºC) <1 11 60
• Voltage unbalances may be caused by faulty
operation of power factor correction
equipment, an unbalanced transformer bank,
or an open circuit.
• A rule of thumb is that the voltage unbalance
at the motor terminals should not exceed 1%
although even a 1% unbalance will reduce
motor efficiency at part load operation. A
2.5% unbalance will reduce motor efficiency
at full load operation.
• By regularly monitoring the voltages at the
motor terminal and through regular thermo
graphic inspections of motors, voltage
unbalances may be identified.
• It is also recommended to verify that single-
phase loads are uniformly distributed and to
install ground fault indicators as required.
Energy efficient technology
• 1.Maximum demand controller
• 2.Automatic power factor controller
• 3.Soft starter with energy saver
• 4.Variable speed drive
• 5.Energy efficient transformer
• 6.Electronic ballast
• 7.Occupancy sensors
• 8.Energy saving potential of each technology
• 9.Energy efficient motors
1.Maximum demand controller-
• Preset Value of maximum demand is programmed in
the device
• If the maximum demand approaches the preset value
alarm is sounded/ Indicator.
• It can be implemented by using a suitable contactors.
2.Automatic power factor controller-
• Using relay/microprocessor logic Mainly two types
(a) Voltage control (b) KVAR control
2.Automatic power factor controller-
(a) Voltage control
• Check the voltage drop when load is applied
• Less voltage drop supporting for leading power factor
• Suitable at substation
(b) KVAR control
• Current & voltage sense from the feeder & processed
by using microprocessor.
• Sensitive control, where voltage variation aren’t
available
(c) Automatic power factor control relay
(d) Intelligent power factor controller
3.Soft starter with energy saver
• Starting current & starting torque is very high
during the starting of induction motor. It will
effect windings, belt, chain etc.. Star delta starter
provide a partial solution for this problem but not
complete solution.
• Soft start & soft stop is built into 3 phase units
provide controlled starting & stopping with a
• selection of ramp time & current limit settings to
suit all applications.
• 3.Soft starter with energy saver
• Advantages are
• Less mechanical stress
• Improved power factor
• Lower maximum demand
• Less mechanical maintenance
• 4.Variable speed drives
• - Speed control of induction motors- Speed
can vary by using voltage, varying rotor
resistance, Scherbius or Kramer drives etc
• - Variable frequency drives- Control the
speedby changing the frequency
• - V/f control
5.Energy efficient transformer
• Amorphous core material- metalic glass alloy
• Less heat/vibration losses
• Reduced hysteresis losses
6.Electronic Ballast
• Ballast act as the choke
• Auxiliary circuit for starting of fluorescent lamp
7.Energy efficient lighting control
(a)Occupancy sensors
• It is achieved by using infrared or uv or
microwave sensors
• Depending upon the occupancy lighting is
controlled automatically
(b) Time based control
• By using photo cells or LDR
• Efficient use of electric energy enables
commercial, industrial and institutional
facilities to minimize operating costs, and
increase profits to stay competitive.
• The majority of electrical energy in the
United States and India is used to run electric
motor driven systems. Generally, systems
consist of several components, the electrical
power supply, the electric motor, the motor
control, and a mechanical transmission
system.
• There are several ways to improve the systems
efficiency.
• The cost effective way is to check each
component of the system for an opportunity
to reduce electrical losses.
• A qualified individual should oversee the
electrical system since poor power
distribution within a facility is a common
cause of energy losses.
Technology lists 20 items to help facility
management staff identify opportunities to
improve drive system efficiency.
• Maintain Voltage Levels.
• Minimize Phase Imbalance.
• Maintain Power Factor.
• Maintain Good Power Quality.
• Select Efficient Transformers.
• Identify and Fix Distribution System Losses
• Minimize Distribution System Resistance.
• Use Adjustable Speed Drives (ASDs) or 2-
Speed Motors Where Appropriate.
• Consider Load Shedding.
• Choose Replacement Before a Motor Fails.
• Choose Energy-Efficient Motors.
• Match Motor Operating Speeds.
• Size Motors for Efficiency.
• Choose 200 Volt Motors for 208 Volt Electrical
Systems.
• Minimize Rewind Losses.
• Optimize Transmission Efficiency.
• Perform Periodic Checks.
• Control Temperatures.
• Lubricate Correctly.
• Maintain Motor Records.
Role of Transformers
in Energy
Management
• Transformer is the one of the most energy
efficient equipment used in industry
• A transformer has no rotating parts and
therefore its efficiency is much higher as
compared with other devices
Energy Efficient Transformers
• Most energy loss in dry-type transformers
occurs through heat or vibration from the core.
• The new high-efficiency transformers minimize
these losses.
• The conventional transformer is made up of a
silicon alloyed iron (grain oriented) core.
• The iron loss of any transformer depends on
the type of core used in the transformer.
• However the latest technology is to use
amorphous material - a metallic glass alloy for
the core
• The expected reduction in energy loss over
conventional (Si Fe core) transformers is
roughly around 70%, which is quite significant
Traditional Transformer
Amorphous Metal Core Transformers
• By using an amorphous core- with unique
physical and magnetic properties- these new
type of transformers have increased
efficiencies even at low loads – 98.5%
efficiency at 35% load.
• Electrical distribution transformers made with
amorphous metal cores provide excellent
opportunity to conserve energy right from the
installation.
• Though these transformers are a little costlier
than conventional iron core transformers, the
overall benefit towards energy savings will
compensate for the higher initial investment.
• At present amorphous metal core transformers
are available up to 1600 kVA.
• The normal efficiency of the power
transformer is in the order of 99 to 99.5% and
distribution transformer is in the order of 98
to 99% through the efficiency of transformer
is very high, it offers a good potential to save
energy.
• An attempt was made to increase the
operating efficiency of the transformer by
maintain the voltage profile, proper loading
and power factor correction.
• In Tamilnadu Electricity Board (TNEB) voltage of
power supply varies from Peak to off-peak
periods. In order to maintain the voltage close to
the rated voltage, transformers tap changers are
used.
• The voltage variation is due to Demand variation
& Reactive power variation.
• In this work the voltage variation of 11KV power
supply was recorded for 24Hours in four different
places and the effect of voltage variation on the
distribution transformer losses & efficiency was
studied and concluded.
Role of Reactors in
Energy Management
• Line and load reactors
• Reactors are used to provide current limiting.
Reactors oppose rapid changes in current
• and hence limit spikes as a result of current
pulses.
• Passive harmonic filtering
• Uses a combination of reactors and capacitors
to filter out harmonic frequencies.
• Active Harmonic Filtering provides harmonic
compensation by being installed on the line
• side of the offending load (for example, VSD).
They introduce current waveforms which
• cancel out undesired harmonic components.
Role of Capacitors in
Energy Management
https://www.electricalengineering123.com/power-factor-improvement-correction-power-triangle-capacitor-banks/
• https://slideplayer.com/slide/10670638/
• Ultra capacitor is a high power density
electrical energy storage device which could
not be achieved in traditional capacitors.
• Ultra capacitor consists of two electrodes
immersed in an electrolyte and separator
prevents the charge from moving between
two electrodes having different polarity.
• Ultra capacitor stores energy relied on
electrostatic charges on opposite electrode
surface of the electric double layer, which is
formed between each of the electrodes and
the electrolyte.
• Randomly distributed ions in electrolyte move
toward the electrode surface of opposite
polarity under electric field when charged.
• It is purely physical phenomena rather than
through a chemical reaction and highly
reversible process, which result in high power,
high cycle life, long shelf life, and
maintenance-free product.
• Ultra capacitor is unique energy storage
device to offer high power and high energy
compared with conventional electrolytic
capacitor and battery.
• The high content of energy stored by Ultra
capacitor in comparison to conventional
electrolytic capacitor is by activated carbon
electrode material having the extremely high
surface area and the short distance of charge
separation created by the opposite charges in
the interface between electrode and
electrolyte.
Role of Synchronous
Machines in Energy
Management
https://www.electrical4u.com/synchronous-condenser/
UNIT - IV
Metering for Energy
Management
RELATIONSHIPS BETWEEN
PARAMETERS
• Energy Efficiency is concerned, measurement
of electrical energy is of course number one.
Active energy (in kWh or MWh) is generally the
main component of the electricity bill.
• For an accurate assessment, measurement of
active energy is recommended at different
places in the installation, preferably at every
workshop level.
• The measurement period should be limited,
one week being a reasonable compromise in
order to compare periods with similar activity
levels.
• Measurement of the supply voltage is also
very valuable in terms of Energy Efficiency.
Three different aspects should be analysed:
• Amplitude: for an optimum operation, the
supply voltage should be maintained in a
range of ±5% around the value declared by
the Utility.
• Lower value means that some equipment like
motors operate in deteriorated conditions.
Higher value means increased power losses in
transformers, motors, lighting equipment.
• Voltage fluctuations are responsible for light
flicker and motor vibrations, even if the
voltage amplitude remains within the
contractual limits.
• Voltage sags and interruptions are the most
important phenomena in terms of Power
Quality. Accurate measurement and dating
can help find the origin of the disturbance,
and possibly facilitate negotiations with the
Utility.
• Current and Power absorbed at different
points in the installation give the image of the
instantaneous activity level.
• Observation of large fluctuations of current or
power can direct actions in order to optimize
equipment and smooth energy usage.
• Electrical measurements are the methods,
devices and calculations used to measure
electrical quantities.
• Measurement of electrical quantities may be
done to measure electrical parameters of a
system
• Using transducers, physical properties such as
temperature, pressure, flow, force, and many
others can be converted into electrical signals,
which can then be conveniently measured and
recorded.
• High-precision laboratory measurements of
electrical quantities are used in experiments
to determine fundamental physical properties
such as the charge of the electron or
the speed of light, and in the definition of the
units for electrical measurements, with
precision in some cases on the order of a few
parts per million.
• Less precise measurements are required every
day in industrial practice. Electrical
measurements are a branch of the science
of metrology.
Measurable independent and semi-independent
electrical quantities comprise:
• Voltage
• Electric current
• Electrical resistance and electrical
conductance
• Electrical reactance and susceptance
• Magnetic flux
• Electrical charge by the means of electrometer
• Partial discharge measurement
• Magnetic field by the means of Hall sensor
• Electric field
• Electrical power by the means of electricity
meter
• S-matrix by the means of network analyzer
(electrical)
• Electrical power spectrum by the means
of spectrum analyzer
• Measurable dependent electrical quantities
comprise:
• Inductance
• Capacitance
• Electrical impedance defined as vector
sum of electrical resistance and electrical
reactance
• Electrical admittance, the reciprocal of
electrical impedance
• Phase between current and voltage and
related power factor
• Electrical spectral density
• Electrical phase noise
• Electrical amplitude noise
• Transconductance
• Transimpedance
• Electrical power gain
• Voltage gain
• Current gain
• Frequency
• Propagation delay
Units of Measure
You make a measurement every time you
• Measure Your Height.

• Read Your Watch.
• Take Your Temperature.
• Weigh A Cantaloupe.
In a Measurement
• A measuring tool is used to compare some
dimension of an object to a standard.
In every measurement, a number is followed by a unit.
Observe the following examples of measurements:
Number and Unit

35 m
0.25 L
225 lb
3.4 hr
Unit of Measure
• Units of the SI System
• There are seven base units in the SI system:
• the kilogram (kg), for mass
• the second (s), for time
• the kelvin (K), for temperature
• the ampere (A), for electric current
• the mole (mol), for the amount of a substance
• the candela (cd), for luminous intensity
• the meter (m), for distance
Typical Cost Factors
• Power tariffs are a politically sensitive issue in
India, where more than three quarters of the
electricity is generated by coal-fired power
plants.
• The average power tariff in India is around 5
rupees per kWh.The average power tariff
in India is around 5 rupees per kWh.
• The cost of electricity can be divided into plant-
level costs, grid-level costs, and other costs.
Plant-level costs consist of capital, operation and
maintenance, and fuelling cost.
• Capital cost is reflected in the cost of generation
by way of interest on debt and return on equity.
For nuclear power plants, capital cost is high, but
fuelling cost is low.
• For coal-fired power plants, capital cost is low,
but fuelling cost is high. The capital cost of solar
and wind is continuously decreasing; fuelling
cost is nil.
Typical Cost Factors
• Supply. Energy from nuclear, coal, gas, oil, and
renewable sources reacts quickly in response
to the available supply (or lack thereof). This is
a key contributing factor to price fluctuations,
which can occur on an hourly basis.
• Demand. Demand for heating, cooling, light,
and processes varies in response to demand in
terms of economic, technological, and
efficiency measures.
• Gas Storage. This is a term for energy
“inventory” (since you can’t store electricity),
i.e. the difference between supply and
demand. Gas injections and withdrawals are
announced weekly, and prices adjust
accordingly.
• Weather Forecasts. The predicted weather
forecast, as well as actual weather events, are
important considerations, affecting spot
market prices and short-term contracts.
Whether the forecast becomes reality is less
critical to longer-term prices.
• Generation Changes. While seemingly more
localized, these changes can have a broad
effect on the markets.
– Nuclear. Retirement of older plants as they
require re-licensing can cause fluctuations.
– Coal. Coal plant conversions to natural gas to
avoid scrubbing-technology costs can also cause
fluctuations
– Transport. Across the U.S. there are severe
constraints in gas pipeline and electrical
transmission capacity, which take time and
investment to reverse. With the difficulty of
transportation, prices rise.
• Global Markets. Despite the massive growth
in shale gas production, major changes in
global oil supplies can affect india’s domestic
energy costs.
• Imports and Exports. Global oil and gas prices
determine relative profits suppliers can make
selling fuels domestically or overseas. All
energy prices are connected to some degree.
• Government Regulation. Central Electricity
Authority (CEA-India) regulations can change
both supply and demand costs quickly and
significantly, which, as noted above, affects
the cost of energy.
• Financial Speculation. Like most other traded
commodities, energy prices can be affected
significantly by financial speculation, which is
the least transparent factor of all.
• If a market doesn’t seem to be following the
direction indicated by supply or demand-
related factors, the cause is almost always
financial speculation, which is largely invisible
and causes unexpected movements.
Utility Meters
• A utility meter is any of the following
metering devices used on utility mains:
• Electricity meter, a device for measuring
electricity usage
– Smart meter, an electrical meter that records
consumption of electric energy and communicates
information to the utility for monitoring and
billing
• Gas meter, a specialized flow meter used to
measure the volume of fuel gases such as
natural gas and propane
• Water meter, a device for measuring water
usage
• Heat meter, instruments intended for
measuring the heat which, in a heat-exchange
circuit, is given up by a liquid called the heat-
conveying liquid.
Timing of meter Disc for
kilowatt Measurement
• Watt-hour meter is in fact a measuring device
which can evaluate and records the electrical
power passing through a circuit in a certain
time.
• By implementing the Watt-hour meter, we can
know how much amount of electrical energy is
used by a consumer or a residence or an
electrically powered device or a business.
• Electrical utilities install these meters at their
consumer’s place to evaluate the electrical
usage for the purpose of billing.
• The reading is taken in each one billing period.
Usually, the billing unit is Kilowatt-hour (kWh).
• This is equal to the total usage of electrical
energy by a consumer of one kilowatt during
a period of one hour and it is also equal to
3600000 joules.
• The Watt-Hour Meter is often referred as
energy meter or electric meter or electricity
meter or electrical meter.
Types of Watt Hour Meter
Basically, the watt-hour meter is classified into
Three different types as follows:
• Electromechanical type induction meter
• Electronic energy meter
• Smart energy meters
• https://circuitglobe.com/energy-meter.html
Electromechanical type induction
meter
• In this type of meter, a non-magnetic and
electrically conductive aluminium metal disc is
made to revolve in a magnetic field.
• The rotation speed is proportional to the
power flow through the meter.
• Gear trains and counter mechanisms are
incorporated to integrate this power.
• This meter works by counting the total
number of revolutions and it is relative to the
usage of energy
• A series magnet is connected in series with the
line and that comprises of a coil of few turns with
thick wire.
• A shunt magnet is connected in shunt with the
supply and comprises of a coil of large number of
turns with thin wire.
• A braking magnet which is a permanent magnet
is included for stopping the disc at the time of
power failure and to place the disc in position.
• This is done by applying a force opposite to the
rotation of the disc.
• A flux is produced by the series magnet that is
directly proportional to the current flow and
another flux is produced by the shunt magnet
corresponding to the voltage.
• Because of the inductive nature, these two fluxes
lag each other by 90o.
• An eddy current is developed in the disc which is
the interface of the two fields.
• This current is produced by a force that is
corresponding to the product of instantaneous
current, voltage and the phase angle among
them.
• A break torque is developed on the disc by the
braking magnet positioned over one side of
the disc.
• The speed of the disc becomes constant when
the following condition is achieved, Braking
torque = Driving torque.
• The gear arrangement linked with the shaft of
the disc is implemented for recording the
number of revolution.
• This is for single phase AC measurement.
Additional number of coils can be
implemented for different phase
configuration.
Electronic Energy Meter
• The major feature of the electronic meter other
than power usage measurement is that it can
display the energy usage on a LED or LCD display.
• In some advanced meter, the readings can be
transmitted to remote areas. It can also record
the amount of usage energy in on-peak hours and
off-peak hours.
• In addition, this meter can record the parameters
of supply and load like voltages, reactive power
used, instantaneous rate of usage demand,
power factor, maximum demand etc.
Smart Energy Meter
• In this type of meter communication in both
directions (Utility to the customer and customer
to the utility) is possible.
• Customer to the utility communication include
parameter values, consumption of energy, alarms
etc and utility to consumer communication
include disconnect/reconnect instructions,
automatic meter reading system, upgrading of
the software of the meter etc.
• Modems are implemented in this meter to make
communications easy. Communication system
includes fiber cable, power line communication,
wireless, telephone etc.
Electromechanical
Electronic Energy Meter Smart Energy Meter
Energy Meter
Reduction in the need of

Simple construction. Non-linear loads. visit for reading/taking
monthly bills.
Accurate and precise Tampering of meter can

More robust.
measurement. be avoided.
Improvement in quality
Reliable. Better accuracy.
of electrical distribution.
Cost is low. Highly accurate Efficiency is high.

Maximum Demand Indicator
• The maximum demand indicator measures the
maximum amount of power requires by the
consumer at the particular interval of time.
• The indicator is designed in such a way so that
they measure the base and peak load but
unable to measures the sudden short-circuit
or starting high current of the motor.
• It is designed for recording the power over
particular periods.
The maximum demand indicators are classified
into four types.
• Recording demand indicator
• Average demand indicator
• Thermal type maximum demand indicator
• Digital Maximum Demand Indicator
Construction of Maximum Demand
Indicator
• The maximum demand indicator has five main
parts.
• Dial Connected to the moving system
• Pointer
• Reset Device
• Fraction device
• Indicating Pin
• Average Demand Indicator
• The average demand indicator is inbuilt into
the energy meter.
• The energy meter and average demand
indicator together measures the total power
consumes and the maximum value of specific
power at particular interval of time.
• The average demand indicator consists the
complex speed dial mechanism.
• The pin drive moves the dial forward for small
duration (say for half an hour). The total
power consumes at that interval is shown on
the dial. The instrument consists the cam
which is controlled by the timing gears. The
cam brings back the pointer at zero positions.
• The pointer records the total power consumes
by the load at that particular interval of time.
For the next half an hour, the pin again moved
forward. But the pointer will move forward
only when the total power consumed by the
load is more than the previous periods
• Maximum Demand meter is used for
monitoring thermal loading in Power
Distribution systems, Networks, Machines etc.
• It indicates maximum loading current over a
period. Short-period current peaks are not
registered but long overloads are registered.
https://energycodeace.com/site/custom/public/
reference-ace-
2016/index.html#!Documents/83separationofel
ectricalcircuitsforelectricalenergymonitoring.ht
m
https://www.smart-energy.com/industry-
sectors/components/solid-state-electricity-
meters-trends-and-technologies/
Paralleling Current Transformers
Instrument Transformer
Burdens
Multitasking Solid States Meters
Metering Vs Requirements
• All installations shall comply with the
requirements of the current Electricity
Regulations.
• All meter boards shall be positioned so as to
provide unrestricted access for the reading
and maintenance of the meters and
installation.
• Where possible the location of the meter
board should be selected taking into account
the owners future plans for the development
of the property, particularly in regard to
fencing and security.
• All hot water loads shall be controlled, unless
agreed otherwise with Counties Power
Limited.
• All meter boards shall be wired ready for
metering and load control equipment
installation, as shown in the relevant
drawings.
• All meter board wiring shall be minimum
2.5mm² stranded copper, including neutrals.
• For three phase meter installations, wiring
may be colour coded as follows: ü Red for red
phase ü White for white phase ü Blue for blue
phase Installers are reminded that, where
pilot wire control is used, the pilot wire carries
pilot control current only to the control
contactor. Any wiring from the contacts of the
contactor to the load is a load carrying circuit
and must be sized and fused accordingly
METERING TECHNIQUES AND
PRACTICAL EXAMPLES
Preface
• For many organizations, energy use is the second highest
cost after staff salaries. For some energy-intensive industries
it is the highest cost. Energy wastage does not just cost
money, it also results in increased carbon emissions.
• While dependence on energy is unavoidable, effective energy
management can result in savings on both counts.
• Once an organisation has been sufficiently mobilized to
address energy management and individuals have been
identified for the tasks involved, the next stage is to accurately
gather and collate consumption data.
Metering energy use is a fundamental action for all
organisations, regardless of size or expertise.
CONTENTS
• Introduction
• Industry breakdown and roles
• Understanding energy bills
. Meters and data
collection techniques
. Metering Options
INTRODUCTION
• Good metering practice is a powerful tool which forms
the basis of an effective energy management campaign.
Traditionally, metering has been used by utility companies to
measure and bill for the quantity or volume of that utility
being delivered to a site.
Who is this publication for?
• This publication gives information to enable organisations to
develop an appropriate metering system.
• It is suitable for both beginners who wish to understand
metering better as well as energy managers wishing to
develop a sound approach to metering on a complex site.
• It does not detail M&T processes, dealing primarily with
metering the main utilities on site: electricity, gas and water.
• It provides information on the industry, types of meters
and sub-meters, as well as data collection techniques.
BENEFITS OF GOOD
METERING
1. Accurate reading mean accurate billing;
As its most basic, good metering will provide the information
needed to check the accuracy of invoices. Many organizations
are paying too much for their utilities through estimated bills
and basic errors.
2. Timely and detailed information leads to better decisions;
Recording and analyzing the data will have the added advantages
of following organizations to monitor energy use patterns.
STRATEGY FOR MEASURING
CONSUMPTION
• The steps to a good metering strategy for an
organization are
• as follows;
- understand the priorities of the organization
- determine energy management roles and responsibilities
- understand and check invoices
- find out what information is currently
available and what system are in place
- decide what further information is needed.
INDUSTRY
BREAKDOWN AND
•
ROLES
In order to make sense of metering for an individual site, it is
important to understand the industry and how it is regulated.
These markets are still in a state of flux, and the responsibility
for roles within the market may shift. However the main roles
are likely to persist.
UNDERSTANDING
ENERGY BILLS
• Energy bills are the primary sources of information about
energy consumption and will be the first point of reference
when trying to understand what is being used, as well as how
the organization is being measured and charged.
ELECTR
• ICITY
On the electricity bill, check:
1. What tariff the site is on – understand exactly what is being
charge per unit of energy.
2. Available capacity – this is the amount of electricity that the
distribution company make available for a business.
3. maximum demand (kw and kvA) or ‘peak load – a sites usage
of its authorised supply capacity is determined every month
by means of a highest maximum demand ( HMD).
4. If you are paying additional charges – some business are liable
to pay climate change levy (CCL) and this will appear on the
bill.
5. whether your bill is estimated or actual – sometimes bills are
estimated by the supplier, rather than actual read.
Schematic of key players and
relationships in the
electricity market
GAS
•On the gas bill, check:

1. is the reading accurate? – like electricity bill, gas bill may
be estimated, particularly for smaller customers. Check to see
if the meter reading is correct and how many units have been
used.
2. The charge per unit – know what the supplier is charging
per each unit, measure in kwh.
3. If you are paying additional charges – gas usage, like
electricity consumption , is subject to the climate change levy
(CCL) for some businesses. This will appear on the bill.
4. Emergency contact details – keep the bill handy in case
the site experiences a loss of supply or has any other
emergency.
Schematic of key players and
relationships in
the gas market
WATER
On the water bill check:
1. the metering and charging arrangements – is the sites
being charged for water supply and wastewater charges, or is it
un- metered meaning that charges are based on the reliable
value of the property? Is the meter size correct for the site
needed?
2. The surface water drainage fee – This covers the disposal
of rainwater run-off from the roof of property and other paved
area.
Additional charges
•
on energy
Climate Change Levy.
bills
• Besides the cost of energy consumed, the final amount
on the electricity and gas bill may include additional charges.
such as standing charges, meter reading and data collection
charges as well as a Climate Change Levy (CCL) on the units
the site consumes.
• Meter reading charges.
• Additional charges on bills can include: standing charges,
meter reading and data charges. However, in cases where
charges are not made, it is likely that the supplier will be
charging a slightly higher unit price for the gas or electricity
used.
IMPORTANT LETTERS ON
METER READING
There are number of letters that appear before or after the
meter reading on gas and electricity bills. these letters gives
specifics about the meter reading:
E – supplier has estimated the reading.
A –suppliers has used an actual meter reading obtained by a
meter reader.
C – supplier has used the reading provided by the customer.
R – the reading is the final one from a meter that has now
been removed.
N – the first reading from a new meter.
F – final meter reading when leaving a property, discontinuing
a supply or switching supplier.
METERS AND DATA
COLLECTION TECHNIQUES
Meters vary greatly, but in essence they are all designed to
measure volume flow or power.
•ELECTRICITY: The electricity metering market is the most
sophisticated of the utilities. The range of meters and
collection techniques available to consumers are wider. The
following has to be note:
•- check the current systems – access electricity data and
display options
CONT.
• Customers’ entitlements electricity

data – non half-hourly
• customers and electricity half-hourly data
customers.
• GAS: in this, the data can be access through
• - daily metered (DM)
• - non daily metered e.g half hourly basis
• - customers’ entitlements- gas data.
WATER
• As discussed in billing section, unlike gas and electricity, not
every customer is expected to have a fiscal water meter
installed.
METERING OPTIONS
Consider devices that supplement the data from the site’s
fiscal meter. Extra data could highlight areas where savings
can be made.
metering options includes;
1. Smart meters
2. Sub-metering
3. Metering schedules and strategy
4. Portable solutions
5. Metering communication options.
1. There is no universal definition for smart metering, although a
smart metering system generally includes some of the following
features:
-Smart meters can provide reliable and timely consumption data
readily usable in an energy management programme.
- Recording of half-hourly consumption.
- Real-time information on energy Consumption that is available
immediately or via some form
of download to either or both energy suppliers and consumers.
2. Sub-metering
-Sub-metering is a viable option for primary
metering where it is not possible or advisable to
interfere with the existing fiscal meter
-For this
purpose, a sub-meter can be fitted on the
customer side of the fiscal meter so as to record
the total energy entering the site.
-When considering a sub-metering strategy,
break down the site into end uses of energy. This
might be by area (for example, floor, zone,
building, tenancy or department), by system
(heating, cooling, lighting or industrial process)
or both.
Sub metering method;
There five sub metering method these are
a. Direct metering
b. Hours-run
c. Indirect metering
d. By difference
e. Estimates of small power
Sub-metering options and hierarchy
in terms of accuracy, reliability and cost.
3 . Metering schedules and strategy;
• preparing a metering schedule and strategy can help
manage data collection and analysis, as well as helping to
identify the most suitable type of metering level required
for each process.
• It is worth setting out the location and function of each
meter on the site, in tabular and diagrammatic form
respectively.
• - An example of how this system can be presented for the
purpose of energy management and accountability is
shown in Table below;
Schedule from metering plan for Manager A
Cont.
4. Portable solutions
Temporary and portable metering solutions are available in

the form of clip on devices and other non-invasive options.
These measure the flow of the gas, electricity or water
without interrupting it.
Portable devices are beneficial for sites that require quick
access to data, perhaps for initial analysis, or perhaps to inform
the design of a more permanent metering and sub-metering
solution.
• - Portable meters are also available to measure other energy
components, such as oil, steam and compressed air.
Cont.
5. Metering communication options
•- The technology available for the transfer of
consumption data from metering ranges from GPRS
or GSM modems sending data bundles to a receiver,
through low power radio technology to
ethernet/internet interfaces.
•- The appropriateness of the system will depend on
• practical
• factors such as:
The number of meters (including sub-meters). Size of
•
site(s).
•
• Location of meters.
coverage. Power supply.
Proximity to phone line or mobile/radio network
Unit - V
Lighting System and Co-

Generation
http://www.elcomaindia.com/lighting/light-concepts
C oncepts of Lighting S ystems
• Light is so common that it is taken for granted. It is a basic
requirement for the visual perception.
• For the human eye light is a very narrow band of
electromagnetic radiation, from 0.38 microns to 0.78 microns.
• In this narrow range of 0.4 microns the human eye perceives
all the colours, ranging from violet around 0.4 microns (or 400
nanometers) to deep red above 0.7 microns (or 700
nanometers) with the colours such as blue, green, yellow,
orange and red in between.
• Sensitivity of the human eye peaks at 0.555 microns and
drops to zero below 0.38 microns (termed as the ultraviolet
range) and above 0.78 microns (known as the infrared rang).
• The amount of light produced by a light
source is measured in lumens and when one
lumen of light uniformly lights up a square
meter area, the illumination level is one lux.
• The quality of light is determined by the
distribution of energy over the visible range,
i.e. 0.38 to 0.78 microns
• The ability of any light source to bring out the
natural colour of objects is rated on scale of 0
to 100, and is referred to as Colour Rendering
Index (CRI).
• Light from incandescent lamps and sun light
are able to bring out true colours of objects
and their CRI is rated as 100.
• Many other light sources, particularly
discharge lamps, mayor may not bring out
true colours of objects.
• All electric lamps could be broadly classified
into two categories : Incandescent and
Discharge.
• In an incandescent lamp a tungsten filament is
sealed in vacuum or inert atmosphere and
heated to high temperature by passage of
electric current and the hot filament emits
light.
• In a discharge lamp, current is passed through
a gas sealed in a tube and the gas atoms emit
their characteristic radiation in the visible
range and also outside the visible range.
• In a fluorescent lamp, the emitted radiation is
predominantly ultra violet which is converted
into visible light by a phosphor coating inside
the tube.
• Incandescent lamps can be grouped into
vacuum lamps and gas filled lamps, and the
latter is further classified into halogen and
non-halogen lamps.
• Discharge lamps can be grouped into low
pressure discharge lamps (such as fluorescent
lamps – FTL) and high pressure discharge
(HID) lamps (such as high pressure mercury,
high pressure sodium, metal hillide etc).
• HID Lamps are commonly used for out door
applications, such as street lighting, while FTL
and incandescent (GLS – General Lighting
Service) lamps are more commonly used for
indoor lighting.
• Efficacy of an electric lamp is expressed in
terms of the amount of light (lumens) it
produces for each unit of power (watt) and is
expressed as lumen/watt.
• In general, discharge lamps are significantly
more energy efficient as compared to
incandescent lamps.
Luminous Efficacy
Type of Lamp Colour Rendition Properties Remarks
(lm/W)
Due to poor luminous efficiency, it has
Incandescent 10-15 Im/W Excellent
restricted use
Used in flood lighting installations and in

Halogen 17-33 Im/W Excellent
projectors & motorcar headlamps.
Good-depending on the
Fluorescent 65 Im/W Popular for indoor lighting.
fluorescent coating
Tremendous potential for energy

Compact Fluorescent 55-65 Im/W Very good
savings.
High Pressure Mercury

58 lm/W Fair Streetlighting, highway lighting
Vapour
Metal Halide 90 Im/W Excellent High luminous efficiency.
High Pressure Sodium Suitable when colour rendering is not

145 lm/W Fair
Vapour important.
Low Sodium Vapour

200 Im/W Poor Energy saving but poor colour rendition
Pressure
Due to extremely long life, ideal for use

Induction Lamp 65-70 lm/W Excellent in installation where relamping and
maintenance are difficult or expensive.
Different Types of Lights
or Lamps in a Lighting system
• Incandescent lamps
• Compact fluorescent lamps
• Halogen lamps
• Metal halide Lamps
• Light Emitting Diode
• Fluorescent tube
• Neon lamps
• High intensity discharge lamps
• Low pressure sodium lamps
https://www.watelectrical.com/different-types-of-lamps-in-lighting-system/
https://www.watelectrical.com/different-types-of-lamps-in-lighting-system/
• https://www.lightsearch.com/resources/lightguides/
BALLASTS
ELECTRICAL BALLASTS
• In a fluorescent lighting system,
the ballast regulates the current to the lamps
and provides sufficient voltage to start the
lamps.
• Without a ballast to limit its current, a
fluorescent lamp connected directly to a high
voltage power source would rapidly and
uncontrollably increase its current draw.
• Within a second the lamp would overheat and
burn out.
• During lamp starting, the ballast must briefly
supply high voltage to establish an arc
between the two lamp electrodes.
• Once the arc is established, the ballast quickly
reduces the voltage and regulates the electric
current to produce a steady light output.
• https://www.infineon.com/dgdl/tp-120621-2.pdf?fileId=5546d462533600a40153573fc6573ea6
• https://www.lrc.rpi.edu/programs/NLPIP/PDF/VIEW/SREB2.pdf
• Maintaining an optimum electrode
temperature is the key to long lamp life.
• Thus, some ballasts have a separate circuit
that provides a low voltage to heat the lamp
electrodes during lamp starting and typically
during lamp operation
• Traditionally, ballasts are designed to operate
a specific number (usually one to four) and
type of lamp (such as a four-foot T8 lamp)
The proper name of Tube
Light is Fluorescent Tube
•
Light
As you see in the above connection diagram of Tube Light, the total
circuit has three parts,
1. Fluorescent Tube
2. Electrical Choke
3. Tube Light Starter
• You can see the one terminal of each filament is connected through
a starter. The starter Consists of Bi-metallic contacts which placed
within Neon Gas. Inside the starter, a capacitor is connected across
the bi-metallic contacts to eliminate the radio interference.
• Another terminal of each filament is connected to the power
supply. An electrical Choke is connected in series with the tube
light. The Choke has an Inductor Coil inside it which creates a high
voltage during the starting time of the Tube Light.
• Electrical Choke has the following disadvantages,
• 1. Low efficiency
• 2. Not instant starting
• 3. More power loss
• 4. Can not work at low voltage
• 5. Need Tube Light Starter.
Tube Light Connection With
Electronic Choke
• The connection diagram of Tube Light with Electronic
Choke is very simple. Here is no need of Tube Light
Starter.
• Electronic Choke has one input and two output. As you
see in the above diagram the Input of the electronic
Choke is connected to the Switch Board for Power
Supply. Output 1 is connected to the right side filament
and Output 2 is connected to the left side filament.
• You can also connect the Output 1 to the left side
filament and Output 2 to the right filament.
Electronic Choke gives the
following advantages
1. Instant Starting.
2. Low Power Loss
3. No need of Tube light starter
4. No radio interference
5. Can operate at low voltage.
6. Energy Conservation.
7. High Efficiency.
Electronic Ballast
• https://www.etechnog.com/2019/04/electronic-ballast-circuit-diagram.html
Electronic Ballast Block
Diagram
• As you see in the above figure there are a total of five blocks in the block
diagram of the electronic ballast. Generally, all the electronic ballasts
follows that block diagram.
• Block 1: Block 1 represents the EMI(Electromagnetic Interference) filter.
EMI filter consists of some inductor and capacitor which block or reduces
the electromagnetic interference.
• Block 2: Block 2 represents the rectifier circuit. The rectifier circuit is used
to convert AC to DC.
• Block 3: Block 3 represents the DC filter circuit. The DC filter circuit
consists of Capacitor which filters the impure DC coming from the rectifier
circuit.
• Block 4: Block 4 represents the inverter circuit. In this block, the DC is
converted into high-frequency AC, and there is a step up transformer
which increases the voltage level.
• Block 5: Block 5 represents the control circuit, which takes feedback from
the output and controls the rectifier, filter, and inverter circuits. Most of
the electronic ballasts have not this block.
Working Principle of Electronic Ballast
• As you see in the above circuit diagram of electronic ballast, first a
series resistor is connected. It is connected to limit the overload and short
circuit current. In some electronic ballast, a fuse is used instead of a series
resistor. This resistor has a very low value up to 22 Ohm.
• Next, an electromagnetic interference filter circuit is connected. The EMI filter
consists of one inductor in series and one capacitor in parallel.
• Then a bridge rectifier circuit is used to convert AC to DC. The Bridge Rectifier
Circuit consists of four PN Junction Diode
• A Capacitor is connected in parallel for filtering purpose of impure DC coming
from the rectifier circuit.
• An inverter circuit using two transistors are used. The transistors create high-
frequency AC and give to the step-up transformer. The frequency created in
electronic ballast 20 KHz to 80 KHz. Generally, the transistor creates a square
wave AC signal. The step-up transformer increases the voltage level up to
1000V. At the starting time, the voltage across the tube light is 1000V. Once
the tube light glows the voltage across it decrease to 230V and the electronic
ballast allow to flow a low current to the tube light.
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16EE714

ENERGY MANAGEMENT AND

• The ability to do work or cause change

• Electrical energy can come from many different

• A special form of kinetic energy

• Energy stored in a solid object when it is

• Einstein predicted the energy in a nuclear reaction

• When the energy released from the splitting

• We are trying to harvest the power of the

• Employees are shown as a part of the

• Energy consumption by various categories of

• Energy losses including both technical and

• Energy required for meeting the technical

Regular Collection of Identification of

Monitoring comes before target setting

• Where M is the energy consumption directly

• Cash flow diagram for technology 1.

• Depending on the exact situation in question, the

2009-10 771.551 6.6

Requirement Availability Surplus(+)/Deficts(-) Peak Demand Peak Met Surplus(+) / Deficts(-)

(MU) (MU) (MU) (%) (MW) (MW) (MW) (%)

2009-10 8,30,594 7,46,644 -83,950 -10.1 1,19,166 1,04,009 -15,157 -12.7

2010-11 8,61,591 7,88,355 -73,236 -8.5 1,22,287 1,10,256 -12,031 -9.8

2011-12 9,37,199 8,57,886 -79,313 -8.5 1,30,006 1,16,191 -13,815 -10.6

2012-13 9,95,557 9,08,652 -86,905 -8.7 1,35,453 1,23,294 -12,159 -9.0

2013-14 10,02,257 9,59,829 -42,428 -4.2 1,35,918 1,29,815 -6,103 -4.5

2014-15 10,68,923 10,30,785 -38,138 -3.6 1,48,166 1,41,160 -7,006 -4.7

2015-16 11,14,408 10,90,850 -23,558 -2.1 1,53,366 1,48,463 -4,903 -3.2

2016-17 11,42,929 11,35,334 -7,595 -0.7 1,59,542 1,56,934 -2,608 -1.6

2017-18 12,13,326 12,04,697 -8,629 -0.7 1,64,066 1,60,752 -3,314 -2.0

2018-19 12,74,595 12,67,526 -7,070 -0.6 1,77,022 1,75,528 -1,494 -0.8

• The economic, social and environmental

• Measure Your Height.

In every measurement, a number is followed by a unit.

Observe the following examples of measurements:

Number and Unit

Reduction in the need of

Accurate and precise Tampering of meter can

Cost is low. Highly accurate Efficiency is high.

•On the gas bill, check:

• Customers’ entitlements electricity

Temporary and portable metering solutions are available in

Lighting System and Co-

Used in flood lighting installations and in

Tremendous potential for energy

High Pressure Mercury

Metal Halide 90 Im/W Excellent High luminous efficiency.

High Pressure Sodium Suitable when colour rendering is not

Low Sodium Vapour

Due to extremely long life, ideal for use

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