1. Measurement & Sources 1 © DOE and GaTech Research Corporation REV4

2.  Relations between energy units are described by the 1 st Law of Thermodynamics WorkHeatEnergy 2 © DOE and GaTech Research Corporation REV4

3. Energy: Common Units Joule- equal to the energy expended (or work done) in applying a force of one newton through a distance of one meter (1 newton-meter or N·m). Calorie- traditional definition, one calorie is the amount of heat required to raise the temperature of 1 gram of water by 1°C, from 14.5 °C to 15.5 °C. Kilowatt-hour (kWh)- a unit of energy equal to 1000 watt hours. A heater rated at 1000 watts (1 kilowatt), operating for one hour uses one kilowatt-hour. British Thermal Unit (Btu)- is the amount of heat energy needed to raise the temperature of one pound of water by one degree F. 3 © DOE and GaTech Research Corporation REV4

4. Which are common units of measurement for energy? (List all that apply) a. Btu b. Megapascal c. kilowatt hour d. joule e. gallon What can energy units represent ? (List all that apply) a. heat b. pressure c. work d. specific density Test Your Knowledge: Common Energy Units Btu, kilowatt hours and joules are all common energy units. A megapascal (answer c) is a metric unit for pressure, and a gallon (e) is a unit for liquid capacity. Energy units can be measures of heat or work but not pressure or specific density. 4 © DOE and GaTech Research Corporation REV4

5. Energy: Equivalence Factors 1 Btu = 1,055 Joules 1 Btu = 252.16 Calories 1 Btu = 0.293 Wh = 0.000293 kWh 1 kWh = 859,845 Calories 1 kWh = 2.78 x 10 -7 Joules 5 © DOE and GaTech Research Corporation REV4

6. Energy: Unit Conversions To obtain Multiply By JouleBtu1054.8 JouleCalorie4.186 JoulekWh3,600,000 CalorieBtu252 CalorieJoule0.239 CaloriekWh859,845 kWhBtu0.00029 kWhCalorie1.16 X 10 -6 kWhJoule2.78 X 10 -7 BtuCalorie0.00397 BtuJoule0.00095 BtukWh3412 6 © DOE and GaTech Research Corporation REV4

7. Consistency of Units How to Combine? Energy System A Energy System B 1,000 Btu 80 kWh NO: 1,000 Btu + 80 kWh When combining different units YOU MUST CONVERT TO LIKE UNITS In this example, either convert Btu to kWh Or Convert kWh to Btu 7 © DOE and GaTech Research Corporation REV4

8. Consistency of Units How to Combine? YES: 1,000 Btu x.00029 kWh / Btu +.29 kWh 80 kWh x 1 kWh / kWh 80 kWh = 80.29 kWh YES: 1,000 Btu x 1 Btu / Btu + 1,000 Btu 80 kWh x 3412 Btu / kWh 272,960 Btu = 273,960 Btu OR 8 © DOE and GaTech Research Corporation REV4

9. Test Your Knowledge: Energy Unit Conversions 1)How many Btu’s are equivalent to 1 kilowatt- hour? _____ 2)What operation would you first need to perform before adding joules and calories? 1 kilowatt –hour is equivalent to 3412 Btu Convert energy units to common units 9 © DOE and GaTech Research Corporation REV4

10. Energy: Primary and Secondary Primary energy- refers to energy sources in their basic, unconverted form as found in nature. Secondary energy- refers to a converted form of a primary energy source. Note: any change in form of a primary source of energy results in secondary energy. *According to ISO 50001, electricity is a primary energy source. 10 © DOE and GaTech Research Corporation REV4

11. Energy Sources : Primary and Secondary Primary Secondary Electricity* Chilled Water Natural Gas Hot Water Propane Steam #2 Fuel Oil Compressed Air #6 Fuel Oil Hot Air Gasoline Cold Air Coal Peat Wood * For the purposes of this course, and according to ISO 50001, electricity is a primary energy source. 11 © DOE and GaTech Research Corporation REV4

12. Primary and Secondary Energy Analysis Every conversion of primary energy into secondary energy involves a loss due to the transformation Energy conversion efficiency is defined as: 12 © DOE and GaTech Research Corporation REV4

13. Test Your Knowledge: Energy Sources Combustion of natural gas is used to heat water and create steam. Identify which is: 1)The primary source 2)The secondary source Natural gas is a primary source because it is in an unconverted state. Steam is a secondary source because it requires combustion of a primary source (like natural gas) to be produced. 13 © DOE and GaTech Research Corporation REV4

14. Energy Content, also called Heat Content Energy SourceMeasured QuantityEnergy Content Natural gasCubic foot1000 - 1050 Btu / cu ft Fuel OilGallon140,000 Btu / gal CoalLbs or Tons8,000 - 14,000 Btu / lb PeatLbs or Tons8,600 - 9,900 Btu / lb WoodLbs or Tons4,500 - 9,200 Btu / lb SolarEnergy per unit area2.25 - 6.0 kWh/m 2 /day (Atlanta, GA Jan and Jul) ElectricitykWh3,412 Btu / kWh 14 © DOE and GaTech Research Corporation REV4

15. Energy Content: Equivalence Factors 1 Btu/lb = 0.5558 kcal/kg 1 Btu/lb = 0.002326 MJ/kg 1 Kcal/kg = 0.004184 MJ/kg 15 © DOE and GaTech Research Corporation REV4

16. Energy Content: Unit Conversions To obtain Multiply By Btu/lbKcal/kg1.79915 Btu/lbMJ/kg430 Kcal/kgBtu/lb0.5558 Kcal/kgMJ/kg239 MJ/kgBtu/lb0.002326 MJ/kgKcal/kg0.004184 16 © DOE and GaTech Research Corporation REV4

17. Power and Energy Analogy Measuring POWER is analogous to measuring speed on speedometer. – 100 mph at this moment – instantaneous value Measuring ENERGY is analogous to measuring distance on an odometer. – 3,413 miles – cumulative value 17 © DOE and GaTech Research Corporation REV4

18. Power and Energy: Power Units (instantaneous value): – kW – Btu/hr – ft-lb/sec – hp Energy Units (occurs over time, cumulative): – kWh – Btu – ft-lb – hp-hr 18 © DOE and GaTech Research Corporation REV4

19. Power/Energy: Equivalence Factors Power Equivalents 1 hp = 0.746 kW; 1 hp = 746 W 1 kW = 1.34 hp; 1 W = 0.00134 hp 1 W = 3.412 Btu/hr; 1 kW = 3,412 Btu/hr 1 Btu/hr = 0.293 W; 1 Btu/hr = 0.000293 kW Energy Equivalents 1 ft-lb = 0.001285 Btu 1 Btu = 778 ft-lb 1 kWh = 3,412 Btu 19 © DOE and GaTech Research Corporation REV4

20. Power/Energy: Unit Conversions To obtainMultiplyBy kWHorsepower0.746 kWBtu/hr0.000293 Btu/hrHorsepower2545 Btu/hrkW3,412 HorsepowerBtu/hr0.0003929 HorsepowerkWh1.34 Power Btuft-lb0.0012854 BtukWh3,412 ft-lbBtu778 ft-lbkWh2,655,200 kWhBtu0.000293 kWhft-lb3.799x10 -7 Energy 20 © DOE and GaTech Research Corporation REV4

21. Utility Power and Energy ElectricityNatural Gas Power Instantaneous kW*MMBtu Per hour Energy Cumulative kWhMMBtu * Some electric utilities measure power in kVA (kiloVolt Amps) 21 © DOE and GaTech Research Corporation REV4

22. 1)How do you convert kilowatts to horsepower ? a)x 0.746 b) x 1.34 c)  0.746 d) x 3.412 2) How do you convert Btu / hr to horsepower? 1 kW equals 1.34 hp, answer b) is the correct conversion factor Multiply Btu/hr x 0.0003929 get hp. Note that this is a combination of two other factors: Btu/hr to kW and hp to kW. Test Your Knowledge Energy/Power Unit Conversions 22 © DOE and GaTech Research Corporation REV4

23. Reading Electric Bills © DOE and GaTech Research Corporation REV4

24. Definitions of Terms Utility companies – “usage” = how much is consumed ISO 50001 – “use” = what kind of application – “consumption” = how much is consumed © DOE and GaTech Research Corporation REV4

25. Common Electric Rate Types Flat Rates – Common for Residential & Small Commercial Block Rates (kW and Energy) – Common for Commercial & Industrial Time of Use Rates (TOU) – Different Prices for Different Periods of Time © DOE and GaTech Research Corporation REV4

26. Flat Rate – How to Calculate Base + Excess + Fuel Recovery = Total Cost © DOE and GaTech Research Corporation REV4

27. What a Flat Rate Schedule Looks Like © DOE and GaTech Research Corporation REV4

28. Flat Rate –Where to Find the Price © DOE and GaTech Research Corporation REV4

29. What a Flat Rate Bill Looks Like © DOE and GaTech Research Corporation REV4

30. Flat Rate Bill Where to Find Consumption © DOE and GaTech Research Corporation REV4

31. Block Rate* First energy consumed is most expensive The more you consume, the less expensive it gets Your rate is based on HUD* *Hours Use of Demand = no. hours to consume monthly kWh when drawing at billing demand kW Hours Use of Demand (hr)= monthly kWh/billing kW higher HUD = lower cost Always add Fuel Recovery Costs *sometimes called “Declining Block Rate” © DOE and GaTech Research Corporation REV4

32. Block Rate = Base + Fuel Recovery NOTE: Rates have been simplified here; they usually go to three decimal places. Declining Rates © DOE and GaTech Research Corporation REV4

33. What a Block Rate Schedule Looks Like © DOE and GaTech Research Corporation REV4

34. Where to Find the Price © DOE and GaTech Research Corporation REV4

35. What a Block Rate Bill Looks Like © DOE and GaTech Research Corporation REV4

36. Block Rate Where to Find Consumption © DOE and GaTech Research Corporation REV4

37. How to Calculate HUD: HUD = Consumption/BilledDemand HUD = 237,360 kWh / 677 kW HUD = 351 hours CALCULATE HUD © DOE and GaTech Research Corporation REV4

38. PLL Short Cut Sheet PLL RATE SHORT FORM UNDER 200 HUD kWh RangeCorrection Factor$/kWh 1 -3,000$17.00$0.11199 3001 - 10,000$48.05$0.10164 10,000 - 200,000$199.75$0.08647 OVER 200,000$4,073.75$0.06710 200 - 400 HUD kW RangeCorrection Factor$/kW$/kWh 500 - 1,000$ 199.75 $15.21$0.01143 OVER 1,000$4,073.75 $11.13$0.01143 400 - 600 HUD kW RangeCorrection Factor $/kW$/kWh 500 - 1,000$ 199.75 $15.96$0.00904 OVER 1,000$4,073.75 $12.08$0.00904 OVER 600 HUD kW RangeCorrection Factor $/kW$/kWh 500 - 1,000$ 199.75 $17.47$0.00653 OVER 1,000$4,073.75 $13.58$0.00653 APPLY RIDERS WHEN APPLICABLE. ADD FCR AND EXCESS REACTIVE DEMAND @ $0.27 PER KVAR. SALES TAX:ADD SALES TAX WHEN APPLICABLE. MINIMUM BILL: $8.00 PER KW OF BILLING DEMAND PLUS $15.75 PER METER PLUS EXCESS REACTIVE CHARGE PLUS FCR. © DOE and GaTech Research Corporation REV4

39. PLL Short Cut Sheet PLL RATE SHORT FORM UNDER 200 HUD kWh RangeCorrection Factor$/kWh 1 -3,000$15.75$0.10099 3001 - 10,000$43.14$0.9186 10,000 - 200,000$175.74$0.0786 OVER 200,000$3,703.74$0.06096 200 - 400 HUD kW RangeCorrection Factor$/kW$/kWh 500 - 1,000$ 175.74 $13.640$0.01040 OVER 1,000 $3,703.74 $10.112$0.01040 400 - 600 HUD kW RangeCorrection Factor $/kW$/kWh 500 - 1,000$ 175.74 $14.512$0.00822 OVER 1,000 $3,703.74 $10.984$0.00822 OVER 600 HUD kW RangeCorrection Factor $/kW$/kWh 500 - 1,000$ 175.74 $15.880$0.00594 OVER 1,000 $3,703.74 $12.352$0.00594 Short cut costs derived from rate schedule $175.74 + ($13.64/kW x 677 kW) + ($0.0104/kWh x 237360 kWh) + ($0.016897/kWh x 237360 kWh) = $15,889.24 39 © DOE and GaTech Research Corporation REV4

40. PLL Short Cut Sheet PLL RATE SHORT FORM UNDER 200 HUD kWh RangeCorrection Factor$/kWh 1 -3,000$15.75$0.10099 3001 - 10,000$43.14$0.9186 10,000 - 200,000$175.74$0.0786 OVER 200,000$3,703.74$0.06096 200 - 400 HUD kW RangeCorrection Factor$/kW$/kWh 500 - 1,000$ 175.74 $13.640$0.01040 OVER 1,000 $3,703.74 $10.112$0.01040 400 - 600 HUD kW RangeCorrection Factor $/kW$/kWh 500 - 1,000$ 175.74 $14.512$0.00822 OVER 1,000 $3,703.74 $10.984$0.00822 OVER 600 HUD kW RangeCorrection Factor $/kW$/kWh 500 - 1,000$ 175.74 $15.880$0.00594 OVER 1,000 $3,703.74 $12.352$0.00594 $175.74 + ($13.64/kW x 677 kW) + ($0.0104/kWh x 237360 kWh) + ($0.016897/kWh x 237360 kWh) = $15,889.24 © DOE and GaTech Research Corporation REV4

41. Time of Use (TOU) Rate Price based on season, day, and time used Different prices for different blocks of time Rate is more forgiving when trying to reduce peak costs 41 © DOE and GaTech Research Corporation REV4

42. Time of Use Rate - kilowatt costs Summer (Jun – Sept) On-Peak (2pm to 7pm workdays) - 14.009 ¢/kWh Off-Peak (all other hours) - 6.312 ¢/kWh Non-Summer (Oct – May) First 1,500 kWh - 6.312 ¢/kWh Over 1,500 kWh - 2.420 ¢/kWh © DOE and GaTech Research Corporation REV4

43. Time of Use - Example Bill Mixed on-peak and off-peak © DOE and GaTech Research Corporation REV4

44. Time of Use - Bill Details © DOE and GaTech Research Corporation REV4

45. Test Your Knowledge Typical Billing Concepts 1.Which of the following does NOT affect the cost of electricity for a customer? a)Season d) Fuel b)Demand e) Time of use c)Distance from generator 2.Which rate charges less the more you use? a)Flat rate b)Block rate c)TOU rate c) Distance from generator does NOT figure in the price charged for electricity. b) Block rate reduces the charge per unit as the number of units increases. © DOE and GaTech Research Corporation REV4

46. Reading Natural Gas and Other Energy Bills © DOE and GaTech Research Corporation REV4

47. Natural Gas - Rate Types Firm: guaranteed delivery, higher price Interruptible: gas delivery is diverted to other essential consumers and back-up fuel is substituted, ensures lower gas price © DOE and GaTech Research Corporation REV4

48. Natural Gas Consumption and Billing Information Collect at least 12 months of natural gas bills Identify or calculate:  Annual dollars spent  Consumption (annual/monthly/daily)  Burner Tip cost  $/MMBtu, $/therm, $/DT  MDQ (maximum daily quantity) GRAPH IT! © DOE and GaTech Research Corporation REV4

49. Natural Gas - Municipality Billing

50. Natural Gas - Municipal Supplier Block Charges Facility Charge Rate Code Per Meter/Month Rate Per Therm Large General Service $150 Usage in ccf (hundred cubic feet) Nov to Mar Apr to Oct First 1,000 0.72001 0.61501 Next 4,000 0.67501 0.56501 Next 10,000 0.60001 0.48501 Over 15,000 0.58032 0.44501 Usage: 20,676 mcf = 206,760 ccf Base charge= $150. First 1,000 @ $0.72 $720. Next 4,000 @ $0.675 $2,700. Next 10,000 @ $0.60 $6,000. Next 191,760 @ $0.58032$111,282.29 Calculated Bill= $120,853.29 = same as Actual Bill Unit Cost = $120,853.29  (20,676 mcf x 1.03 MMBtu/mcf) = $5.675 per MMBtu © DOE and GaTech Research Corporation REV4

51. Natural Gas - Commodity Cost Example 1 (cost per DT) Firm Interruptible Commodity Transport Basis Interstate Intrastate Other Commodity cost is 57% to 67% of the total cost.. © DOE and GaTech Research Corporation REV4

52. Natural Gas - Commodity Cost Example 2 Commodity cost is 50% of the total cost. © DOE and GaTech Research Corporation REV4

53. Natural Gas Spot Prices / Transportation Costs The two largest components of natural gas costs are:  Commodity Cost  Transportation Cost © DOE and GaTech Research Corporation REV4

54. Natural Gas Transportation Costs Two types of transportation:  Interstate  Intrastate (LDC delivery charges) © DOE and GaTech Research Corporation REV4

55. Intrastate Distribution Costs © DOE and GaTech Research Corporation REV4

56. Other Fuels Fuels such as coal, wood, propane and fuel oil are not provided by a regulated utility Fuel price includes a commodity charge based on quantity purchased and may include a transportation or delivery fee Fuel prices often vary seasonally © DOE and GaTech Research Corporation REV4

57. Example Fuel Bill - Propane United Propane Service Delivered to: (address) Delivery date: 2-11-2011 CommodityAmountUnit PriceTotal Propane (LPG) 250 gal$1.05$262.50 Delivery Feb. 11$25.00 Total$287.50 © DOE and GaTech Research Corporation REV4

58. Energy: Primary and Secondary Primary energy refers to energy sources in their basic, unconverted form – cubic feet of natural gas, or – kilowatt-hours of electricity – Remember that for the purposes of ISO 50001, electricity is a primary energy source. Secondary energy refers to a converted form of a primary energy source such as – electricity converted to chilled water, or – natural gas converted to steam © DOE and GaTech Research Corporation REV4

59. Secondary Energy Sources Chilled water Hot water Steam Compressed air © DOE and GaTech Research Corporation REV4

60. Primary and Secondary Energy Analysis Every conversion of primary energy into secondary energy involves a loss due to the transformation Energy conversion efficiency is defined as output  input © DOE and GaTech Research Corporation REV4

61. Secondary Energy Billing Contract terms developed by user and supplier Normally based on mutually agreeable quantity such as cfm of compressed air or pph steam Length of contract, measurement methods, billing and payment, and commodity price agreed to by both parties © DOE and GaTech Research Corporation REV4

62. Test Your Knowledge: Typical Billing Concepts 1.Which of the following does NOT affect the cost of natural gas for a customer? a)Season d) Commodity b)Demand e) Time of use c)Distance from the gas well 2.Why is secondary energy more costly than primary energy? a)Transformation involves a loss in the conversion process. b)Regulations for secondary energy pricing are more stringent. e) Time of use does NOT figure in the price charged for natural gas delivery. a) Transformation involves a loss in the conversion process. © DOE and GaTech Research Corporation REV4

63. Impact of Variables on Energy Consumption © DOE and GaTech Research Corporation REV4

64. What Is Energy Consumption?  Energy consumption = quantity (amount) of energy applied  The concept of energy consumption relates to how much energy is used  Measured in kWh, Btu’s, therms, etc. © DOE and GaTech Research Corporation REV4

65. What Is Energy Use?  Energy use = application of energy  The concept of energy use refers to the purpose to which it is applied  Ventilation, lighting, heating, cooling, etc. © DOE and GaTech Research Corporation REV4

66. What Is Energy Performance?  Energy performance = measurable results related to efficiency, use, and consumption  The ISO 50001 intent is improvement in both energy use and consumption, in an efficient manner  Examples:  Utilizing waste energy  Reducing peak demand © DOE and GaTech Research Corporation REV4

67. Energy Performance Indicator  Energy Performance Indicator (EnPI) = quantitative value or measure of energy performance as defined by the organization  Examples = kWh/100 cfm for compressed air = Btu/1,000 lbs steam produced = an equation that models process behavior © DOE and GaTech Research Corporation REV4

68. Simple-Ratio EnPI EnPI (Simple Ratio) Annual Energy Consumption (MMBtu/year, kWh/year) = ÷ Annual Production (e.g. lbs/yr, tons/yr, units/yr)  Easiest to use and calculate, but not always accurate predictor  Only sufficient when other variables don’t impact energy consumption © DOE and GaTech Research Corporation REV4

69. ■ Facility Level: Mining - From 3.995 kWh/Ton to 3.722 kWh/Ton 6.8% Reduction in 5 years ■ Process- Unit Level: ■ Pharmaceutical – ■ Production Line “A” from 478 Btu/lb to 430 Btu/lb ■ 10% Reduction in 5 years Example Performance Indicators: © DOE and GaTech Research Corporation REV4

70. What does ISO 50001 and EnMS intend to improve? Choose all that apply. a. Energy Use b. Energy Consumption c. Energy Efficiency d. Energy Fuel Content At what levels can EnPI’s be developed? Choose all that apply. a. Region level b. Facility level c. System level d. Process level Test Your Knowledge: Definitions © DOE and GaTech Research Corporation REV4 Energy use, energy consumption AND energy efficiency Facility level, system level AND process level

71. What Can Vary? Weather Production Other © DOE and GaTech Research Corporation REV4

72. Weather Impacts  Weather is generally an important component of energy consumption  Increase in natural gas or heating fuel consumption in winter months for heating  Increase in electrical consumption in summer months for cooling © DOE and GaTech Research Corporation REV4

73. Example of Weather Impact - Gas WinterSummer © DOE and GaTech Research Corporation REV4

74. Example of Weather Impact - kWh WinterSummer © DOE and GaTech Research Corporation REV4

75. Other Weather-Related Variables  Humidity  Precipitation  Cooling degree days  Heating degree days  Dewpoint temperature © DOE and GaTech Research Corporation REV4

76. What is the most common weather variable? a. Humidity b. Temperature c. Precipitation d. Dewpoint What happens when relevant variables aren’t accounted for? a. Energy use is misrepresented. b. Energy consumption goes up. c. Energy use changes with weather. d. Energy consumption isn’t accurately represented. Test Your Knowledge: Weather Impacts © DOE and GaTech Research Corporation REV4 Temperature Energy consumption isn’t accurately represented

77. Production Impacts  Production effects are indicated by a change in energy consumption associated with a change in production  Addition of a process line  Change in raw material  Change in equipment  Extra effort for rush orders  Increase or decrease in line output © DOE and GaTech Research Corporation REV4

78. Other Potential Variables  Operating schedule  number of shifts/day  number of days/week  Variation in types of production  models  versions  finishing  Production rate (units/hr) © DOE and GaTech Research Corporation REV4

79. Which are variables that are most likely to be relevant to energy consumption? a. Reduced load on steam boiler b. Marketing network boundary c. Longer drying times d. Raw material properties e. Increased worker salaries f.Produce more product g.Blue model instead of red model h.Number of shifts per week i.Process voltage Test Your Knowledge: Production & Other Impacts © DOE and GaTech Research Corporation REV4 A, C, D, F, G, and H are all variables that could be relevant to energy consumption.

80. What variables might be relevant to making bricks? Test Your Knowledge: Production & Other Impacts © DOE and GaTech Research Corporation REV4 Oven drying equipment new burner more insulation Moisture content of clay Type of clay used, color of product Precipitation levels Humidity of storage area Number of bricks per batch and others...