Energy Audit and DSM: Ceetem-Cos

SAVE ENERGY, SAVE WORLD
Energy Audit and DSM
By:
Samir Sharma,
Sr. Manager
(CEETEM-COS)
CEETEM-COS
CEETEM-COS
EC Act 2001 and its amendment 2010 Submission of Energy returns and Energy Auditing by designated consumers Standard and labeling program to promote energy efficiency in equipments Energy Conservation Building Code Penalty for non compliance of regulations
CEETEM-COS
National Action Plan on Climate Change (NAPCC ) 2008 It outlines eight national missions
National Solar Mission National Mission for Enhanced Energy Efficiency National Mission on sustainable Habitat National Water Mission National Mission for Sustaining the Himalayan Eco system National Mission for Green India National Mission for sustainable Agriculture National Mission for Strategic Knowledge for Climate Change
CEETEM-COS
National Mission for Enhanced Energy Efficiency (NMEEE) - 2010 Four initiatives to promote energy efficiency
Perform Achieve and Trade Scheme (PAT), a market based mechanism to enhance cost effectiveness of improvements in energy efficiency Market Transformation for Energy Efficiency (MTEE), Energy Efficiency Financing Platform (EEFP), Framework for Energy Efficient Economic Development (FEEED),
CEETEM-COS
Performa , Achieve and Trade PAT

( To be implemented from 01.04.2011)
PAT framework includes:

Methodology for setting SEC for each DC in the base line year Methodology for setting the target to reduce SEC by the target year The process to verify the SEC of each DC in the base line as well as target year by an accredited verification agency The process to issue energy certificates to those DCs who achieve SEC lower than the specified value Trading of ESCerts Compliance and reconcilation of ESCerts Cross sectoral use of ESCerts and their synergy with renewable energy certificates
CEETEM-COS
Energy Audits
As per the Energy Conservation Act, 2001, Energy Audit is defined as

The verification, monitoring and analysis of use of energy including submission of technical report containing recommendations for improving energy efficiency with cost benefit analysis and an action plan to reduce energy consumption.
CEETEM-COS
Energy Audits
An Energy audit will help to keep focus on

1. 2. 3. Details of energy consumption Energy costs, Specific energy consumption
4.
5. 6.
Energy saving potential areas,

Saving measures suggested Cost economics of new technologies, retrofit for existing equipments
CEETEM-COS
Energy Audits
Energy Audit also provides

1. Bench-mark (Reference point) for managing energy in the organization
2.
Basis for planning a more effective use of energy throughout the organization.
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Objective
1. Reduce energy consumption per unit of product output or 2. Maintain energy consumption at best achievable level
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Types of Energy Audit

1. 2.
Preliminary Audit Detailed Audit
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Preliminary Energy Audit

1. Preliminary energy audit uses existing, or easily obtained data 2. Establish energy consumption in the organization
3.
4.
Estimate the scope for saving

Identify the most likely (and the easiest areas for attention
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Preliminary Energy Audit

5.
Identify immediate (especially no/low-cost) improvements/ savings Identify areas for more detailed study/measurement
6.
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Detailed Energy Audit

A comprehensive audit that evaluates all major energy consuming systems. It provides the most accurate estimate of energy savings and cost.
CEETEM-COS

1. Pre Audit Phase 2. Audit Phase 3. Post Audit Phase
CEETEM-COS

Pre Audit Phase Plan and organise

Organize an energy audit team
Organize Instruments & time frame Collection of Technical and other details
CEETEM-COS

Pre Audit Phase
Walk through Audit

1. Familiarization of process and plant activities 2. Collection of visible defects
CEETEM-COS

Pre Audit Phase Informal discussion with Energy Manager, Production / Plant Manager
First hand observation & present operation and practices Assessment of
CEETEM-COS

Pre Audit Phase
Conduct of brief meeting / awareness program with all divisional heads and persons concerned
1.
2.
Building up cooperation
Orientation, awareness creation
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Audit Phase
Primary data gathering
1. Baseline data collection 2. Prepare system diagram (Example: Single line power distribution diagram, water, compressed air & steam distribution. 3. Annual energy consumption pattern (log sheet, name plate, interview)
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Audit Phase
Conduct of detailed trials for selected auxiliaries
Recording of electrical parameters like voltage, current PF, kWh etc and related process parameters.
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Audit Phase Analysis of energy use

1. Compare operating data with design, PG test or last energy audit data. 2. Energy and Material balance & energy loss/waste analysis
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Audit Phase Identification of Energy saving opportunities

Conceive, develop, and refine ideas Review the previous ideas suggested by unit personal and energy audit List new/efficient technology
CEETEM-COS

Audit Phase Cost benefit analysis

1. Assess technical feasibility, economic viability and prioritization of ENCON options for implementation 2. Select the most promising projects 3. Priorities by low, medium, long term measures
CEETEM-COS

Audit Phase
Reporting & Presentation
Report Preparation and Presentation to the top Management.
CEETEM-COS

Post Audit phase

Monitoring and Follow up of Action Plan
CEETEM-COS
Sample Energy Audit Report
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Demand Side Management
Actions of an utility, beyond the customer's meter, with the objective of altering the end-use of electricity be it to increase demand, decrease it, shift it between high and low peak periods, or manage it when there are intermittent load demands - in the overall interests of reducing utility costs.
CEETEM-COS
DSM is the implementation of those measures that help the customers to use electricity more efficiently and in doing so reduce the cost to customers.
CEETEM-COS
Often the terms energy efficiency and DSM are used interchangeably. However, it is important to point out that DSM explicitly refers to all those activities that involve deliberate intervention by the utility in the marketplace so as to alter the consumer's load profile.
CEETEM-COS
To make this distinction precise,
1. A program that encourages customers to install energy efficient lighting systems through a rebate program would fall under DSM. 2. On the other hand, customer purchases of energy efficient lighting as a reaction to the perceived need for conservation is not DSM but energy efficiency gains.
CEETEM-COS
1. Study of load profile and improvement of efficiencies

Developing and promoting energy efficient technologies, Adopting soft options like higher prices during peak hours, concessional rates during off-peak hours seasonal tariffs, etc.
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Benefits of DSM
Customer Benefits 1. Satisfy electricity demands 2. Reduce / stabilise costs (bills) 3. Maintain/improve lifestyle and productivity
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Benefits of DSM
Utility Benefits 1. Lower cost of service 2. Improve operating efficiency 3. Reduce capital needs 4. Improve customer service
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Benefits of DSM
Social Benefits 1. Reduce environmental degradation 2. Conserve resources 3. Protect global environment
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Demand Side Initiatives -Deliberations at the Forum of Regulators (FOR)
DSM involves actions at the level of consumers. Constitution of DSM Cells by all DISOMs
Submitting of DSM Plans by Discoms including measures

for increasing the consumer awareness Organizing of training courses on DSM by FOR
Allowing cost of approved DSM programmes

through in ARR.
CEETEM-COS
as pass
Recommendations of Forum of Regulators (FOR) on Demand Side Initiatives
SERC to specify a percentage of the ARR to be utilized for DSM programmes

SERCs could consider appropriate tariff interventions to support DSM eg. TOD tariffs, power factor incentives and penalty, reactive power charges, load management charges, rebate incentives for energy efficient buildings/appliances, and differential pricing for agriculture consumers.
CEETEM-COS
Recommendations of Forum of Regulators (FOR) on Demand Side Initiatives
Special tariffs to induce the concerned authorities towards DSM & Energy Efficiency
SERCs could consider giving a slightly higher return on equity for the investments made towards DSM measures.
CEETEM-COS
CEETEM-COS

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SAVE ENERGY, SAVE WORLD