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B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Industrial Energy Management
Assistance
Jennifer Eskil, Industrial Sector LeadEnergy Efficiency / Bonneville Power Administration
December 9, 2011
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Federal Power Marketing Agency – Department of Energy (e.g., WAPA); been around since 1937, 74 years young!
Service area: Idaho, Oregon, Washington, and portions of Western Montana, California, Nevada, Utah and Wyoming.
Markets and transmits power generated from the Federal Columbia River Power System1 (FCRPS) and sold to over 140 utilities in Pacific Northwest (PNW).
Approximately 2,400 aMW of industrial load is served by PNW utilities.
BPA’s current conservation program is Energy Smart Industrial (ESI). 103 utilities participating
1The FCRPS includes 31 Federal hydro project dams, 1 non-federal nuclear plant and several small non-federal power plants (and wind generation); approximately 8,000 aMW of carbon-free power!
Who is Bonneville?
2
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
3
Industrial conservation targets were not met. Barriers
BPA Utility Industry (end user)
Detailed program preview was performed; highlighting these changes: Improve management of project pipeline Improve processes/accountability and dedicate roles Improve marketing and standardization
Historical Background
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
4
Original Roles and Communications
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
BPA management decided to hire “program partner;” June 2009 BPA selected Cascade Energy Engineering and their subcontractors.
In just four short months, BPA and program partner redesigned the industrial program offer: More ‘boots on the ground’ - dedicated technical staff Created innovative Energy Management pilot Created a detailed Program Delivery Manual
5
Solution: The ESI Program
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Energy Management - Pilot
Energy Project Manager (EPM)
AddressesEnd UserStaffing
Track and Tune(T&T)
AddressesO&M
Savings
High PerformanceEnergy Mngt.
(HPEM)
Addresses Corporate
Management And Culture
Trade Ally Driven
Small Industrial
(SI)
AddressesSmall
Projects
NW Trade Ally Network
(NW TAN)
AddressesLightingProjects
Technical Service Proposal (TSP) ConsultantsProvides Technical Consulting
Energy Smart Industrial Partner (ESIP)Face of the program
CustomProjects
TraditionalCapital
Projects
Green Motors
Initiative
Motor Rewinds
6
ESI Program Components
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
7
6th Power Plan Summary:Sector Resources
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Utilities and ESI Energy Management
8
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
T&T/HPEM
General Energy Management
Integrated Energy Management
EPM
2Source: System Optimization Measures Guide for 6 th Power Plan, SEG, March 23, 2009
Whole Plant Energy Management Tiers2
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B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Energy Management - Pilot
Energy Project Manager (EPM)
AddressesEnd UserStaffing
Track and Tune(T&T)
AddressesO&M
Savings
High PerformanceEnergy Mngt.
(HPEM)
Addresses Corporate
Management And Culture
Trade Ally Driven
Small Industrial
(SI)
AddressesSmall
Projects
NW Trade Ally Network
(NW TAN)
AddressesLightingProjects
Technical Service Proposal (TSP) ConsultantsProvides Technical Consulting
Energy Smart Industrial Partner (ESIP)Face of the program
CustomProjects
TraditionalCapital
Projects
Green Motors
Initiative
Motor Rewinds
ESI Energy Project Manager
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B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Energy Project Manager Overview
ESI program co-funds EPM salary. EPM serves as ESI program’s point-of-contact at
industry. Industry determines: person to fill position, level of
compensation, energy savings goal. One EPM can be shared at multiple industrial sites. EPM follows spirit of traditional Resource Conservation
Manager (RCM).
11
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
12
EPM Goals and Funding
ESI Partner (ESIP) works with industry to set annual savings goal for EPM.
EPM funding directly tied to magnitude of goal. Minimum goal: 1,000,000 kWh verified energy savings
target each year. Annual EPM funding 2.5¢ per kWh of target. Annual funding minimum: $25,000; maximum: $250,000. Year 2 and beyond – funding dependent on facility
achievement of previous year’s goal.
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
13
EPM and Corporate Goals
EPM SIC Code
Energy Project Manager Goal (kWh/yr)
Corporate GoalFY2010 (actual) FY2011 Total:1 36-High Tech
Mfg.1,159,919 2,027,952 3,187,871 Reduce energy consumption rate to
66% of 1990 level.
2 26-Pulp and Paper
1,600,426 6,620,785 8,221,211 Member of The Climate Registry, with a commitment to GHG emission reduction.
3 26-Pulp and Paper
5,466,544 16,075,957 21,522,501 40% reduction in GHG emissions by 2020.
4 14-Mining - 2,772,437 2,772,437 20% Energy Intensity reduction by 2020.
5 39-Micellaneous Mfg.
- 5,358,007 5,358,007 20% reduction in energy consumption (on a revenue adjusted basis) from 2007 to 2012. ISO 14001 Certified.
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
EPM Payment Milestones EPM Payment Methodology
1aa. BPA and Utility approve EPM Fundingb. EPM Agreement Executedc. EPM Designated
$25,000
1b EPM Comprehensive Plan Approved1/3 of energy savings goal at $0.025 per kWh, less Payment 1a
26 month Status Report accepted by utility and BPA
2/3 of energy savings goal at $0.025 per kWh, less Payment 1a and 1b
3EPM Completion Report accepted by utility and BPA
100% of verified energy savings at $0.025 per kWh, less Payments 1a, 1b, and 2. Subject to $250,000 and EPM salary caps.
EPM Progressive Payment Schedule
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B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Energy Project Managers, To Date…
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There are 23 EPMs in place, with 10.9 aMW in completed projects (FY2010/FY2011).
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Regional Placement of EPMs
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The 23 active EPMs are placed within 32 separate industrial facilities. Note their geographic dispersion within BPA’s service area.
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
EPM assignments align with 6th Power Plan Industrial Savings Potential. ESI could explore EPM placement in chemical/refinery sub-sector.
17
EPM Assignment by Industry
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Measure Category Total Planned Savings (kWh/yr) Individual MeasuresLighting Upgrades 14,998,861 13Refrigeration Measures 14,872,929 14Process Specific Measures 13,436,798 7Energy Management (O&M) 11,604,108 7Pump Measures 10,155,152 11Fan Measures 9,580,012 17TMP Refiner Upgrades 9,360,000 4Compressed Air Measures 5,960,011 13Motor Measure 2,747,013 3Chilled Water Measures 2,702,773 2Energy Management (Behavior Practices) 2,350,811 5Grand Total 97,768,468 96
Lighting remains #1 category, then refrigeration and process-specific measures.
The Energy Management pilot’s Track and Tune and High Performance Energy Management account for ~15% of the planned savings.
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EPM Project Portfolios: Measures
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
EPM Impact on Project Uptake
Through Feb 28, 2011
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In aggregate, placement of EPMs result in >2x increase in project uptake.
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Challenges/Opportunities for Near Future
Demonstrate true value of EPM by quantifying the impact, magnitude and speed of project completion.
Of the 23 active EPMs, analyze which represents long-term resource for industry.
Seek new engagements in industries not currently participating in EPM component.
20
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Energy Management - Pilot
Energy Project Manager (EPM)
AddressesEnd UserStaffing
Track and Tune(T&T)
AddressesO&M
Savings
High PerformanceEnergy Mngt.
(HPEM)
Addresses Corporate
Management And Culture
Trade Ally Driven
Small Industrial
(SI)
AddressesSmall
Projects
NW Trade Ally Network
(NW TAN)
AddressesLightingProjects
Technical Service Proposal (TSP) ConsultantsProvides Technical Consulting
Energy Smart Industrial Partner (ESIP)Face of the program
CustomProjects
TraditionalCapital
Projects
Green Motors
Initiative
Motor Rewinds
ESI Track and Tune
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B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Targets energy savings through ‘low and no cost’ operations and maintenance (O&M) improvements
Can be applied to entire facility or targeted sub-systems Technical expert(s) identify O&M opportunities
Action items are co-funded Baseline and savings documented and tracked via
comprehensive tracking system Incremental savings documented annually (3 or 5 year
period) Includes sustained savings incentive payments
22
Track and Tune
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Track and Tune Savings SummaryExecuted Agreements (9) ConAgra Foods:Patterson, Connell, & Boardman plants Columbia Colstor: Woodland & Quincy Anheuser Busch Georgia Pacific: Toledo Hermiston Foods Linear Technologies
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B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Energy Management - Pilot
Energy Project Manager (EPM)
AddressesEnd UserStaffing
Track and Tune(T&T)
AddressesO&M
Savings
High PerformanceEnergy Mngt.
(HPEM)
Addresses Corporate
Management And Culture
Trade Ally Driven
Small Industrial
(SI)
AddressesSmall
Projects
NW Trade Ally Network
(NW TAN)
AddressesLightingProjects
Technical Service Proposal (TSP) ConsultantsProvides Technical Consulting
Energy Smart Industrial Partner (ESIP)Face of the program
CustomProjects
TraditionalCapital
Projects
Green Motors
Initiative
Motor Rewinds
ESI High Performance Energy Mgmt.
24
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Primary mode of HPEM delivery – structured network group/cohort bring industries together (i.e., exchange info).
Regional Cohorts: SW Washington participants:
14 end users (31 aMW load) Five utilities (Clark, Clatskanie, Cowlitz, Lewis Co PUDs and City of
Richland) Puget Sound cohort participants:
13 end users (74.6 aMW load) Two utilities (Seattle City Light and Tacoma Power)
May execute HPEM Agreement with Georgia-Pacific Toledo.
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High Performance Energy Mgmt.
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Leverage Northwest Energy Efficiency Alliance and Energy Trust of Oregon’s past efforts. Energy Project Manager shows a broad uptake. Track and Tune is gaining momentum, across a range of
industries. High Performance Energy Management industries share
knowledge and experience.
Energy Management Successes
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B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
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The Vision Going Forward
ESI program must be viewed as complete package. The components interact and drive each other:
EPM work on HPEM TAN work shows how to do it on smaller projects Technical services (TSPs) drive CPI
Relationships are critical. (i.e., communication, trust, accountability)
Post-2011 preparedness is critical: ESI program interaction with Post-2011 outcomes Exceed the energy savings goals cost-effectively
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
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Going Forward, continued
ESI program must be viewed as complete package. The components interact and drive each other:
EPM work on HPEM TAN work shows how to do it on smaller projects Technical services (TSPs) drive CPI
Relationships are critical. (i.e., communication, trust, accountability)
Post-2011 preparedness is critical: ESI program interaction with Post-2011 outcomes Exceed the energy savings goals cost-effectively
B O N N E V I L L E P O W E R A D M I N I S T R A T I O N
Fiscal Year Target (aMW) Total Achieved (aMW)3
2007 10.0 7.0
2008 10.0 7.0
2009 10.0 9.6
2010 13.0 13.44 [EM 2.5 aMW]
2011 15.0 28.15 [EM 9.6 aMW]
2012 16.0 X [EM 5.0 aMW]6
2013 12.0 X [EM 6.1 aMW]7
2014 15.5
3Includes savings from regional market transformation.4,5Final summarization of energy savings under BPA review.6,7These are projected savings, based on executed EM plans.
ESI Program Results
Regional ESI program rolled out October 1, 2009.
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