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Energy Management Potential in the Alberta Industrial and Manufacturing Sectors Proposed Energy Benchmarking and Potentials Study.

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Presentation on theme: "Energy Management Potential in the Alberta Industrial and Manufacturing Sectors Proposed Energy Benchmarking and Potentials Study."— Presentation transcript:

1 Energy Management Potential in the Alberta Industrial and Manufacturing Sectors Proposed Energy Benchmarking and Potentials Study

2 About this Presentation Experience in Other Provinces: –Drivers in other provinces Overview of three key project streams: –Benchmarking of energy use and implementation of best practices –Energy savings potential –Implementation of opportunities Value proposition for Alberta

3 Main Study Drivers in NB, NS and ON Increase competitiveness of industrial sector Identify opportunities for cost reduction and increased energy efficiency Define scale of potential savings in industrial energy efficiency savings and GHG in province Provide necessary information for utilities and government to develop energy efficiency programs and platforms

4 Overview of Project Streams STREAM 1: Benchmarking: Energy Use, and Technical and Management Best Practices Energy Management Identify Opportunities STREAM 2: Energy Management Potential Analysis STREAM 3: Increase Adoption of Technologies and Best Practices Define Current Market Penetration of Best Practices and Technologies

5 STREAM 1: Energy Benchmarking Define current energy efficiency performance Define baseline performance to measure future performance against A continuous improvement tool Compare plant performance with rest of industry’s performance Identifies areas for potential improvement

6 The CME/Stantec/Marbek Benchmarking Approach Best practice and field tested Three pronged approach –Energy use performance –Technical best practices –Management best practices It tells you: –How you are doing –Why you are where you are

7 Biomass RPP Natural Gas Propane ElectricitySteam Co-generation Hydro-electricWind -Power Self Generation CompressorsRefrigeration Fans & Blowers Pumps Conveyors Motors BoilersFurnaces Comfort Heat ProcessLightingEngines Bottom Up End-Use Analysis Using Robust Excel Model

8 Survey Inputs are Mapped into End-Uses for Each Plant

9 Technical Best Practice Analysis Penetration of Applicable Technical Best Practices by Energy End-use Category

10 Correlation has shown in other studies that a 5% performance improvement possible for every 20% improvement in MBP score. Management Best Practice Analysis Energy Management Scores by Category

11 STREAM 2: Energy Management Potentials Typically 4 key outputs for jurisdiction (eg. province) –Baseline energy use profile –Reference case projection (specified analysis period) –Economic energy management potential –Achievable (market) energy management potential

12 Identify economic and achievable potential for energy savings (provincial and sector)

13 Stream 3: Increase Adoption of Best Practices and Technologies Develop strategies and mechanisms to advance implementation of identified opportunities Specific and customized for jurisdiction Examples: –NB: Program concepts leading to design and delivery of Industrial Energy Efficiency Program (Efficiency NB) –NS: Design and deliver outreach events (CME), information for industrial program (NS Power) –ON: Framework for integrated programs and platforms delivered by CME, utilities and government

14 Summary of Key Outputs Public Domain –Province wide energy benchmarking results (by sector if sample size large enough) –Province and sector specific energy management potential results Confidential –Plant/company specific reports

15 Trends in Alberta Federal Regulatory Framework for Industrial Air Emissions: short-term emission intensity reduction targets for GHG emissions (come into force in 2010) Some sectors are energy and GHG intensive, e.g.: energy use in Canada’s upstream oil and gas industry increased by 89% over 1990-2004; an increase in total energy intensity of 18% (1.4% per year). Structural shift towards more energy-intensive oil-sands and the increased energy needs associated with extracting resources from depleted conventional reserves.

16 Energy Benchmarking in Canada Refineries (2001 survey-5 plants in Alta) Open Pit Mining (based on 2000 data) Cement All industry: New Brunswick, Nova Scotia, Ontario (in progress) Other sectors funded by OEE

17 Value Proposition for Utilities and Government Robust empirical foundation for policy and program development Prioritize targeting of key industry energy end-uses and energy efficiency measures for investments

18 Value Proposition for Industry Supports Management Commitment –A quality management practice that encourages continuous improvement. Supports Planning and Action. Participating companies receive: –a confidential evaluation of their company/plant management & technical practices, –comparison of their corporate and facility energy management performance to other facilities in their sector –recommendations on where they should be focusing efforts for the best economic return in energy savings

19 Study Coverage In-depth analysis to cover about 70% of industrial energy use - balance based on extrapolation All fuels (including renewables and alternatives) Typically: – 7 to 10 sub-sectors –15 to 20 remote surveys per sector –8 to 10 on-site assessments per sector

20 Study Roll Out: Energy Benchmarking Recruitment of companies/plants Design and apply remote survey tool Design and apply on-site assessment protocol High degree of oversight to ensure QC Analyze data Generate benchmark outputs

21 Study Roll Out: EM Potentials Determine base year and study period Acquire utility sales data by NAICS code Build base year, end-use profile of energy use Construct reference case and savings scenarios.

22 Funding Required Estimated: $800 K to $ 1,200 K 12 - 18 months Estimated 70 - 90 on-site assessments and 150 - 200 remote assessments

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