4Navy Energy Priorities Security“Protection from vulnerabilities related to the commercial electric grid, which is susceptible to physical and cyber attack, natural disaster, and malfunction” – Naval Energy: A Strategic Approach (2009)Navy increases shore energy security by decreasing energy consumption, increasing energy efficiency, increasing use of alternatives, and increasing the reliability of its energy supply to critical assetsIndependence“achieved when naval forces rely on energy resources that are not subject to intentional or accidental supply disruptions” – Naval Energy: A Strategic Approach (2009)Fuel itself, transportation, and each terminus on its route should remain secure from genesis to useProvide secure, reliable, and affordable energy to our Navy and Marine CorpsMitigate dependence on, and vulnerability to the commercial grid and become more energy efficient in the process
5Department of the Navy’s Energy Profile DOD is the single largest energy consumer in the nationDOD accounts for 80% of the Federal Government’s energy consumptionDepartment of the Navy102 installations worldwide90, 045 buildings totaling more than 663M square feetConsumes 28% of DoD’s operational and shore energyFY11 installation energyConsumed 8,850 GWh of electrical powerProduced or procured approximately 1,770 GWh of renewable energy on or near its installations – 20% of demand
6Geothermal EnergyA 270-megawatt renewable energy geothermal power plant at Naval Air Weapons Station China Lake provides on average 1.4 million megawatt-hours of electricity to the California power grid annually, enough power for 180,000 homes. The China Lake plant was built using a public-private venture business model.
7Efficiency and Demand Reduction DON is a leader in Federal use of financed energy contractsEnergy Savings Performance Contracts (ESPCs)Utility Energy Service Contracts (UESCs)Since 2008, Navy has implemented 70 ESPCs and 275 UESCsDON has implemented $1.4B of life-cycle efficiency improvementsReduced energy intensity (power per square foot – MBtu/KSF) by -16.9% relative to 2003 Navy baseline toward goal of -18% at end of FY11Projects should match or beat life-cycle costs for brown power within the regional marketStrategy includes concentrating on reducing energy consumption through the award of energy efficiency projects while simultaneously pursuing financed renewable energy projects
8Navy Shore Energy Strategy Energy EfficiencyRenewable Energy & SustainabilityENERGY SECURITY & COMPLIANCENavy Energy CultureTransform Navy From Culture of Consumption to Culture of Conservation Through Transparency and AccountabilityEnergy Security: Redundancy Resiliency ReliabilityThe Navy Shore Energy Program is focused on achieving:Energy SecurityCompliance with all federal mandatesHas Three Aspects:Energy Efficiency FIRST is the FOUNDATION of the programTransforming the Navy’s Energy Culture to be centered around conservation through TRANSPARENCY (awareness) and ACCOUNTABILITY at the Individual, Command and Functional levels.Achieving Renewable Energy and Sustainability by pursuing the “Right” Technology at the “Right” Time through a “Watch- Partner- Lead” approachWatch = Technologies Industry is already investing heavily in… jump when mature (Ex: Solar and Wind)Partner= Technologies which have a high interest to Navy and can pool resources/ talent with other Government and Industry to advance more quickly (EX. Smart Grid).Lead = Technologies critical to our Energy Security which are not advancing adequately for our needs (EX: Ocean power to get our island bases off of Oil)The Right Technology at the Right Time Watch Partner LeadEnergy Efficiency First (OPNAV)“Compliance” is unique to the Shore8
9Pyramid Energy Program? Energy Pyramid Renewable Energy Demand Energy EfficiencyEnergy ConservationPenn State University
10Technology Technology Cost/Benefit Controls Magnetically levitated centrifugal compressorsLED lighting, induction lightingInsulation, solar hot waterMore efficient chillers, glazing, plumbing fixturesMetering and smart gridCost/BenefitBuilding lifecycle > 67 yearsMaintenance cost on specialty items particularly importantLimited ability to source selectEconomic difference within region: Key West, GTMO
11Design Standards Primary Standards Unified Facilities CriteriaInternational Building Code 2009Anti –Terrorism Force Protection (ATFP), UFCUSGBC LEED GoldASHREWhole Building Design GuideIndividual base requirements: IAP, Force Protection,Airfield criteria, etcSource selection for Design Build often evaluatesdesign approach for best value: TOC and mission viabilityCompeting prioritiesEnergy, ATFP, Environmental, Cost require thoughtful design
12SE Industry Energy Partnership Energy partnership forum is held to introduce new technology and solutions that we can integrate into facilities maintenance and construction projectsBy partnering with industry, we leverage their expertise to meet our energy reduction and security goalsNew technologies should be submitted to NAVFAC Engineering and Expeditionary Warfare Center (805)
14Energy Reduction Progress 2003 BaselineWhere we need your helpChart shows progress towards meeting energy reduction mandate (Energy Independence & Security Act (EISA) of 2007) of 3% per year or 30% by compared to 2003 baseline.As of 2nd quarter FY12, CNRSE is -8% below the FY03 baseline.Primary factors affecting difficulty in meeting energy reduction targets include relatively low utility rates which result in longer return on investments on energy projects and high cost of implementing renewable energy alternatives such as wind, solar, etc.Our challenge
15Energy Funding Average Base goes from ~$3M/ YR to ~$11M/ YR in Direct Energy InvestmentTotal FY Investment ($M)All budget lines and sources making direct energy investmentsPast: primarily 3rd party investmentsFY11 added first APPN $ (for enabling systems like AMI and Audits)Does not include indirect impacts from RECAP and maintenance accountsPB 12 FY 12Energy Program~ $781MPB 11 FY 11Energy Program~ $238M
16PB13 FY13 – Total Energy Funding OMN ~ $ 396M3rd PartyFinancing ~ $120MLEED w MILCON~ $60MECIP~ $23MGeotherm. ~ $9MeMMRP ~ $41MPB 13 FY 13Energy Program~ $650MAverage Base = $9.3M/ YR in Direct Energy Investment
17(current and projected) Energy Project Types and Funding(current and projected)RMe – CNIC’s Energy Special Projects ProgramFY12 $220M (26 $12M = 6%)FY13 $325M (56 $56M = 18%)FY14 $210M projected (51 $24M = 12%)FY15 $215M projected (Projects due to CNIC on 18 Nov 2012)FY16 $225M projectedECIP – Energy Conservation Investment ProgramFY12 $23M ($15M)FY13 $43M ($2M)FY14 To be announcedFY15 Projects submitted to CNIC on 15 Aug 2012UESC/ESPCAnnual financed payments of $11M from UT BudgetThree projects in FY12 ($11M)Navy goal of $300M in FY12/13eROI Tool
18Energy Contracts FY12 Contract Type Scope Location of Work Contract Capacity/DurationTypeProjected IFB/RFPProjected Award DateeSRM:Energy ConservationRetro-CommissioningCBC Gulfport$0.5MSmall Bus.FY12, Q1FY12, Q2ControlsNAS PensacolaNAVO StennisNS Mayport$4.2MLighting UpgradesNAS Corpus Christi NAS Pensacola$2.1MHVAC UpgradesNAS Corpus ChristiNAS Key WestNAS KingsvilleNAS Whiting FieldNAS Meridian$3.8MMisc. Energy Conservation$1.7MECIPSolar LED Street LightsNS GTMO$1.8MMACCFY12, Q4Building Energy AuditsVarious Locations$3.0MSCANTOTAL$17.1M
19Small Bus. (Does not include GTMO projects) Energy Contracts FY13 (projected)Contract TypeScopeLocation of WorkContract Capacity/DurationTypeProjected IFB/RFPProjected Award DateEnergy Conservation(RMe, ECIP)Retro-CommissioningNAS PensacolaNAS JacksonvilleNAS MeridianNAS Corpus ChristiNAS KingsvilleNAVSTA GTMONAS Key WestNSA Panama City$6.8M/1YRSmall Bus. (Does not include GTMO projects)FY13, Q1FY13, Q1/Q2Controls (DDC)NAS JRB New Orleans$2.2M/1 YRLighting Upgrades(Building, Street, Airfield)$25.1M/HVAC UpgradesCBC GulfportNS MayportNSA Orlando$18.2M/Solar ThermalSUBASE Kings Bay$2.7M/Misc. Energy Conservation(Bldg envelope, Water, Boiler)$3.0M/TOTAL$58M
20eROI Tool Overview What is eROI? Why is eROI useful? eROI is ratio of PV of total benefits over PV of total cost. Provides a consistent, quantifiable approach to prioritize energy projects that create value, using criteria that includes “hard” benefits, such as cost savings, as well as “soft” benefits, such as meeting stakeholder expectations.eROI = (Present Value of Benefit)(Present Value of Cost)Why is eROI useful?Using a weighted criteria approach, eROI tool enables Navy to rank and compare hundreds of energy projects submitted by installations, then invest in projects that deliver best ROI. Navy-wide optimized portfolio of energy projects and investments, created by this tool, positions Navy to achieve its energy consumption goal with efficient use of resources.
211 Gigawatt InitiativeState of the Union (24JAN12 ): Navy Will Purchase “Enough Capacity to Power a Quarter of a Million Homes a Year”250K Homes = 1 GW of Power (~Honolulu, Orlando, Jackson, MS)Coso Geothermal Plant ~270MW capacity180MW current output of Coso Geothermal Plant provides power for approximately 120K homes (average load of 1.5KW per home)Draft 1 GW Task Force CharterAssigns membership, roles/responsibilities to Secretariat, Navy & Marine Corps Echelon I & II commandsFocus primarily on larger projects using third party financingFinalize the “Strategy” in 2012
22Net Zero Installations SECNAV Goal: 50% net-zero installations by FY20SECNAV Instruction of 3 Feb 12 defines a Netzero Installation as:“A DON Installation which, over the course of a fiscal year, matches or exceeds the electrical energy it consumes ashore with electrical energy generated from alternative or renewable energy sources. The alternative fuel generated electrical energy may be: 1) generated on the installation; or 2) generated off the installation but purchased for and consumed on the installation.”Determine which installations have the best opportunity to achieve net zero in the most cost effective wayDetermine what alternative energy projects to pursue at each installation based on NPV and ROI methodologies
23Net Zero StudyNREL providing primary support to NZEI planning and assessment.Funding:DOE provided initial start up for NREL REO analysis for many Navy and Marine Corps Installations.CNIC provided additional funds to complete the NREL REO analysis for all installations as well as to conduct site visits to installations to validate the REO data and other related workUSMC also using NREL to conduct site visits to validate the REO data and other related workObjective: develop cost effective strategy to achieve SECNAV goal of 50% of installations to be NZEI by 2020ApproachHigh level pre-screen of all bases for renewable energy opportunitiesSelect most cost effective sites for more in depth analysis (site visits)Outcome: develop budget estimates for implementation for next POM cycleCurrent Status: Navy/Marines-NREL Interagency Agreement approved in last month and now moving outSites and Data provided by NAVFAC ESCNAF El Centro, CANAS Fallon, NVNS Guantanamo Bay, CubaNB GuamNAS Key West, FLNSB New London, CTJB Pearl Harbor-Hickam, HIPacific Missile Range Facility, HINS Rota, SpainNB San Diego, CA
24Technologies Evaluated Evaluated for the following renewables:WindSolar (PV (photovoltaic), thermal and hot water)Biomass gasification boilerSolar ventilation preheatingDay lightingTechnologies not evaluated:Waste-to–energy (to be added for future screenings)Geothermal (to be added for installations that have potential)Landfill gas (to be added to future screenings)
25NREL’s REO Screening Tool NREL’s REO tool is an early planning tool used to evaluate renewable energy options, estimate costs, and recommend a mix of technologies that meets the site’s energy goalsREO aggregates energy systems data such as electric and thermal energy use, utility rates, incentives, and RE resource dataREO results allow agencies to quickly and efficiently prioritize RE opportunitiesCosts, incentives, and other assumptions can change quicklyREO is often used as part of the iterative project development processREO helps to inform project development and prioritize resources, but the results do not represent the final exact answerMore detailed analysis is required prior to making project investment decisionsNREL – National Renewable Energy LaboratoryREO – Renewable Energy Optimization
26Results are NOT Conclusive This is the beginning of a multi-phased planning and analytical process involving the following stages1) Preliminary screening (resource identification)2) Exploration (resource verification)3) Viability analysis (technology readiness levels)4) Feasibility analysis (economic conditions)5) Suitability analysis (siting and permitting –operational/environmental/land use compatibility)This REO analysis addresses portions ofthe first four phases aboveSite visits and follow-on efforts required to complete the first four phasesSuitability analysis (phase 5) will be completed for viable sites after phases 1-4Projects will be developed for viable sites after phase 5Results for 1st 10 sites will change significantly during preliminary site assessments
27DoN Smart Power Partnership Initiative (SPPI) Group DoN installations into regional smart grids (at DoN FCAs)Regional (DoN) real time visibility/monitoring of external supply, internal generation, utility systems, energy use (bldgs/systems)Aggregate load and generation; participate in/establish incentive programs (i.e. Demand Response); move renewable power through the market (virtual wheeling) from point of generation to point of useDefine essential smart/micro grid capabilities and develop an ROI plus energy security based methodology to prioritize investments“Power Partnerships” with internal and external stakeholdersFederal Energy Regulatory Commission (FERC), Regional Transmission Organizations (RTOs), Independent System Operators (ISOs), Public Utility Commissions (PUCs), Energy Service Providers (ESPs), Direct Access Cooperatives (Western, Southwestern, Southeastern, Bonneville Power), Local Utility, etc.Indentify and prioritize critical power requirementsIdentify and prioritize deferrable/discretionary loadsDevelop Pre-Planned Responses, Load Shedding Plans and Plans for Continuity of Critical PowerFCA – Fleet Concentration Areas (San Diego, Norfolk, Jacksonville)
28Navy Smart Energy Background There have been a number of innovations recently towards a concept known as “Navy Smart Energy.”Advanced Metering Infrastructure (AMI)NDW Energy Vision and Smart Energy CONOPSNDW Smart GridNW Energy and Utility Operations Center and Integrated ICSA number of centralized Industrial Control Systems (ICS)SW Area Wide Energy Management System (central DDC and SCADA)Dahlgren and Little Creek central DDCKings Bay SCADAOperation CentersAnd a number of studies/proposals are underway that further the concept.Norfolk Naval Station UEM OT-IC Project StudySmart Energy Project Development Studies (26 sites): SW, ML and MWSmart Power Partnership Initiative (SPPI)These innovations and continued progress on the concept have led to interest in the possible benefits of a corporate wide approach.
29Smart Energy DefinedThe Smart Energy is a data-driven process targeted to specific objectives.Objective/ResultsActionsAnalysis / DiagnosisData/StatusResults What overall objectives does Navy want to accomplish?Actions What key actions will help accomplish this?Analysis What key information does Navy need to support the actions?Data What critical raw data is needed to develop the analysis?ApproachThe objectives are savings and energy reduction through specific actions.Integrated System of Industrial Controls: DDC, SCADA, AMIActive Facility Management (ICS:DDC)ICS:SCADA (improved reliability, energy security)Identification of Energy Efficiency Opportunities (analytics leading to project development)Actionable Stakeholder Metrics (tenant awareness)Enhanced Demand Response (cost Reduction, grid support, SPPI)Predictive Maintenance opportunities
30Energy: The Key Element We can create a more sustainable, cleaner and safer world by making wiser energy choices. – Robert AlanNon-renewableEnergyCustomersAll commodity usage consumes energy.Corporatebehavior changeRenewableEnergyEMS/DDCCommodityProduction &Distributionreporting & policycontrol & sensingSCADAMonitoringOperationsCentersAMIMonitoring is the key to knowing where and how commodity usage may be reduced.
31Navy Smart Energy $$ DoN Benefits Integrating Across the Enterprise PowerClusterNavy / USMCInstallationProgram DriversSECNAV Energy MandatesLegislative Requirements(e.g. EPACT 2005)Budget ConstraintsExecutive OrdersNavy / USMC MissionNavy / USMC Utilities(Microgrid)$$Navy / USMC Facilities(HVAC & Lighting)PowerIndustry(e.g. Utility Supplier & Regulators)Smart Power PartnershipControlSensorsSCADADDCBuilding ManagersSensorsControlDoN BenefitsEnergy SecurityBehavior ChangeReal-Time Energy ManagementCustomer Visibility into UsageUtility Cost SavingEnergy AwarenessDemand ResponseLoad BalancingImproved EfficiencyIntegration of RenewablesAccurate BillingLoss IdentificationMeets Regulatory RequirementsEnterprise BenchmarkingImproved Customer SatisfactionPredictive MaintenanceReduced Metering OverheadFault PredictionProduction & Distr. ControlEnhanced SafetyNavy / USMC InstallationEnergy ManagersPowerQualityTime of UseOperation CentersDoN Target Cluster AreasDoN CorporateAMIDoDD NetCentric Data StrategyDDC &SCADAHistorical DataUtilityUsageDefense Information System AgencyNavy /USMCRegionMeta DataMeter Data Management(MDM)Data Acquisition &IntegrationDiscoveryviaPSNETData Consumervia NMCICIRCUITSAuthors: Chet Braun & Eric LynchLast Update: 10/19/2011
32Integrated System of Industrial Controls Commodity Production, Distribution and ConsumptionCollection of ICS DevicesAMIMetersSCADA & DDC ControlDDC, SCADA and AMI devices treated equivalentlyData point aggregation allows for reorganizationOperator screens may display any information in any format, independent of vendor softwareSCADA – Supervisory Control and Data AcquisitionICS – Industrial Control Systems