Energy Management Systems Certification

© - Copyright Bureau Veritas

Energy Management Systems Certification

2010

Mahmut GencBV Turkey SCS Manager

2Bureau Veritas – Energy Management Systems Certification December 8th 2010 – Dubai Meeting© - Copyright Bureau Veritas

► Today’s technologically advanced societies have become increasingly dependent on external energy sources for transportation, production of many manufactured goods, and delivery of energy services.

► Fossil fuels such as petroleum, coal, and natural gas make up the bulk of the world’s current primary energy sources and, they are not renewable and are a major source of greenhouse gas emissions, leading to concerns about global warming if consumption is not reduced.

►With global demand for energy growing, the need to adopt alternative approaches (like energy saving, increased energy efficiency, renewable energy, etc.) to energy use is also growing. Just in this respect, a new concept, ‘Energy Management’ comes on the scene.

Global Status of Energy


Why Energy Efficiency

► Improving energy efficiency is often the cheapest, fastest and most environmental friendly way to meet the word’s energy needs. It also has further benefits

It saves industrial firms money

It increases the reliability of the operations

It has positive effect on productivity and competitiveness

It can offer attractive financial and economic returns

►Many energy efficiency measures are already economic and they will pay for themselves over their life time through reduced energy costs.


Energy Efficiency is getting more common

►China plans to reduce energy use 20% per unit of GDP over 2005 levels by 2010- focus on Top 1000 industrial enterprises.

►Energy efficiency is now a major focus of G-8 meetings.

► International Organization for Standardization (ISO) has identified energy management as one of the top five areas requiring the development and promotion of International standard.

►UN Industrial Development Organization (UNIDO) is promoting systems energy efficiency and energy management standards for both developed and developing nations.

►Energy efficiency is recognized by the International Energy Agency and the Council of Parties (COP) as a primary source of short-term GHG emission reductions.


But still it is not in the priority list of the most of the Stakeholders

What are Industry’s Priorities?

Current

►1. Stay profitable

►2. Operate a safe workplace

►3. Be compliant with environmental regulations

►4. Meet legal and social responsibilities

►5. Monitor supply chain for potential liability

Emerging

►6. Manage GHG emissions, carbon footprint


Consequently Industry is not so energy efficient

Why Not?

►The main business focus of industry is not energy efficiency

►Facility engineers typically do not become CEO or CFOs

►Budgets are separate for equipment purchases and operating Costs

►Data on energy use of systems is very limited

►Difficult to assess performance or evaluate performance improvements

►Opportunities to become more energy efficient are overlooked


Barriers in front of being energy efficient

Barriers to Industrial Energy efficiency

►Technology is not a barrier

We have plenty and it is easy now to transfer

►People and organizations are often barriers

Lack of prioritizing in the organization

The primary objective of industrial manager is reaching both production and quality targets. The main goal of the plant manager is to keep the production process smoothly whereas sharing of energy costs are a low priority.

Lack of understanding of information and understanding of financial and qualitative benefits

Lack of adequate technical skills to assess performance, developing and implementing EE measures and projects.

Lack of measuring equipment and lack of knowledge of the electricity costs of different process.


Barriers in front of being energy efficient

Barriers to Industrial Energy efficiency, cont.

Lack of top management focus, most companies are unaware of the large saving potential both technologic and economic to reduce energy consumption.

Lack of financial resources available time and split budgets, the maintenance department is responsible for bearing the cost for new parts of compressed air or pump systems or leakage control, while the saving accrue to the budget of general costs.

First costs more important than recurring costs, disconnection between capital and operating budgets. Therefore the time and budget allocation devoted to optimizing energy efficiency of other systems beyond the key production process is often zero.

►Energy management is more and more recognized as the possible instrument to overcome these barriers.


What are Energy Management Systems ?


►"Energy management" is a term that has a number of meanings, but today’s people are mainly concerned with the one that relates to saving energy in businesses, public-sector/government organizations, and homes.

►Energy management includes all the measures that are planned and implemented to ensure minimum energy consumption for the current activity.

►Energy management influences organizational and technical procedures, as well as behavior patterns, in order to reduce the total operational energy consumption (thus also the energy required for the production), to use basic and additional materials economically and to continuously improve the energy efficiency in the company.


Energy management is the key for establishing a systematic approach to save energy in an organization..

If it becomes a culture among the organizations and the other energy users then this would lead to global positive effects such as energy prices, emission targets and legislations

•All are interrelated


Not only saving energy also saving our planet

Industrial energy use globally accounts for

•40% of electricity use

•77% of coal and derivatives use

•37% of natural gas use

And 1/3 of global Carbon Emissions

Industry has the potential toreduce its energy intensity andemissions by up to 26–32%,providing a 8-12% reduction intotal energy use and CO2emissions

Global CO2 emissions forecast, GtCO2 / year

Effective energy management is a priority focus not only because of the significant potential to save energy, but also because of its role in the reducing GHG gas emission worldwide.


EN 16001:2009 Energy Management Systems

It was decided that a consensus needs to be found across sectors for the development of a standard which acts as a guide for effective energy management.

The success of national standards led to the formation of a working group of the European Committee for Standardization (CEN) in 2006 to address Energy Management.

Supported by the European Commission, which sees the standardization of EnMS as an important step towards increasing energy efficiency in European industry, EN 16001 was compiled within a short time period under the leadership of Sweden.

On 10 September 2009, EN 16001 was introduced to the public at an event in Brussels. Even before the official release of the new European Energy Management


The Energy Management standards and specifications

National EnMS and ISO 50001

Existing national standards

►US, Denmark, Sweden, Ireland, Thailand, South Korea, South Africa, Spain

Existing national specifications

►The Netherlands, United Kingdom, Germany

Regional standard

►EN16001 – European Energy Management Standard

►ISO 50001 – Energy Management Standard


Energy Management System Standard (EnMS)

► Traditional Management Systems approach

Commitment on means, not results

► Goal : monitor and reduce energy consumption (+ CO2)

► Deployment of a corporate policy to Manage Energy

PDCA and continuous improvementSame structure as ISO 14001

► Integration with QSEWorks as the “Energy module” of current Management Systems

Energy is considered as one of the corporate metricsEnergy is considered as one of the corporate metrics

Same structure as ISO 14001


Link between ISO 14001 and EN 16001


Main chapters of EN 16001


The PDCA cycle of an EnMS


Energy Management Standards

► Plan

► Do

► Check

► Act


Policy

► Management commitment

► Not just a signature!

► Define scope of EnMS

► Appropriate to scale

► Commitment to continual improvement

► Make Resources available

► Framework for target setting and review


Planning - PLAN

► How much energy am I using?

► Where am I using it?

► Who is influencing use

► Which are significant?

► What is driving it?

► Legal requirements?

► Develop baseline(s)

► Develop indicators

► Objectives

► Targets

► Action Plan


Implementation & Operation -DO

► Competence, training and awareness

► Documentation

► Operational control (operation and maint)

► Communication

► Design

► Purchasing energy, services and goods


Checking CHECK

► Monitoring – technical and system

► Check:Indicators

Action plans

Legal and other compliance

Non-conformities

► Control of records

► Continuous internal audits


Management Review - ACT

► InputsPerformance

Objectives and targets

Audit results

Plans for improvement

► OutputsDecisions

Changes to policy,objectives, targets, etc.

Resource allocation


Then

start

all

over

again!


Energy Management System Standards

►Classical approach (No EnMS)

Company take action if the cost becomes high

Only energy saving projects

Stops after take the process under control

►New Approach(EnMS is in place)

High level of management

Systematic approach

Continous improvement

Correct targets and investment desicions


► A framework for understanding significant energy uses

► Action plans for continually improve energy performance

► Documentation to sustain energy performance improvements over time and change of personnel.

► Assists organizations in making better use of their existing energy consuming assets

► Offer guidance on benchmarking, measuring, documentation and reporting energy intensity improvements and their projected impact on reductions in GHG emissions

► Create trancparency and facilitate communication on the management of energy resources

Energy Management standards accomplish the following


► Promote energy management best practices and reinforce good energy management behaviors

► Assists facilities in evaluating and prioritizing the implementation of new energy efficient etchnologies

► Provide framework for promoting energy efficiency throughout the supply chain

► Facilitate energy management improvements in the context of GHG emission reduction projects

► Allow integration with organization management system (enviroment, health and safety)

Energy Management standards accomplish the following


►Management Focus

►Systematic activity

►Obligation to train and raise awareness

►Obligation to provide resources

►Continuity through changes of the personnel

►The history of the Energy management standards

What EnMS do Achieve


Coming soon,

An international standard is currently being developed under the leadership of the USA and Brazil.

This global standard ISO 50001 for EnMS is expected to be released in the year 2011. It will form the core of one of the emerging families of standards in the field of energy management in the coming years.

EN 16001 marks an important starting point for the formulation of ISO 50001.

Every company that is certified to EN 16001 thushas a good basis for future international requirements.


Why catching new opportunities?


Why would companies Certify their EnMS?

► Improve Organization’s ManagementBenefit from the experience of our auditors to improve the deployment of their Energy Management System and get the most benefits from it to:

• Save Energy• Reduce CO2 emissions (EU ETS covered companies)

Raise awareness of staff and involve them in the Energy Management process

► Sustainable development policies / brandingDemonstrate commitment to fight global warmingGet a credible argument of their sustainable development commitment

► Direct Financial / market benefitsGovernment subsidies for Energy Efficiency (2020 EU-27 objectives)

Criteria in public tender offers (ex: public service delegation)

► … Because Energy Management Systems will be integrated to their currently certified Management Systems


Auditing an EnMS

► Regular Management System Certification audit3yr cycle (same MD table as for ISO 14001)

• Initial audit : Stage 1 – Stage 2

• Surveillance 1

• Surveillance 2

Recertification

Possible integration with QSE audits

► Audit rules depend on the EnMSIn EN 16001 no rules are defined

ISO 50001 should feature specific requirements (According to ISO)

► AccreditationOnly available under INAB (Ireland) for the momentDeliverance of non accredited certificates for the time being (no market expectations + gaining experience)


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Energy Management Systems Certification