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A World of Solutions Duke Energy Strategic Energy Management Planning (SEMP).

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Presentation on theme: "A World of Solutions Duke Energy Strategic Energy Management Planning (SEMP)."— Presentation transcript:

1 A World of Solutions Duke Energy Strategic Energy Management Planning (SEMP).

2 1 A World of Solutions TM  Introduction to Strategic Energy Management  Program Overview  One-2-Five® Software  Program Results  Customer Examples  Next Steps  Questions Agenda

3 A World of Solutions 2 What is Strategic Energy Management? Traditional ApproachOne-2-Five® Approach vs. Tactical, project basis No context of ongoing management system No long-term sustainability Authorities not commensurate with level of responsibility or accountability Strategic, program basis Integrated into business processes Continuous improvement framework Addresses business structure, processes, people, and systems Longer term energy and cost savings

4 Customer Lead Complete Customer Agreement and Collect Background Info Facilitate Assessment Develop Action Plan Follow Up on Action Items with Responsible Parties Program Overview & Sales Presentation Present and Deliver Report to Customer Before One-2-Five® Assessment Day of Assessment 2-4 Weeks After Assessment 4-5 Weeks After Assessment Submit Draft Report and Presentation to Duke 6-12 Months After Assessment Review Progress on Action Plan and Reassess Customer Facility

5 Boiler, Heater, Fired Systems, Cooling Systems Sensors, Controls, Automation Waste Heat & Energy Recovery Source Flexibility & Combined Heat and Power EM Business Practices Process-Related Energy Savings Opportunities (Dollar Basis) NAM, Efficiency & Innovation in US Mfg Energy Use, Dec 2005, Pg 16 Source: US DOE Industrial Tech Program, Energy Use, Loss & Opportunity Analysis, Dec 2004  Low-Cost Opportunities  Behavioral & Procedural Policy Position Targets & KPIs Planning Protocol Awareness & Training Accountabilities Operating Procedures Maintenance Procedures Data Capture & Reporting Auditing Protocol One-2-Five Focus Why Strategic Energy Management?

6 SEMP Program Diagnostic Areas

7 SEMP Program Process Customer Registration Customer Agreement Participation fee Logistics for Diagnostic Session Diagnostic Session Executive and functional team facilitated diagnostic Assessment of 10 key energy management sectors 2-3 hours Strategic Action Plan Incorporates assessment results Competitive benchmark report Tactical action items Measurement & Continuous Improvement Track performance on action items Reassess in 6-12 months

8 A World of Solutions 7 SEMP Program Key Features  Structured dynamic workshop with executive management and cross functional team  Engages decision makers and builds consensus on current needs  Identifies strengths & weaknesses in 10 key business management areas in relation to integration of energy management systems  Focuses on measures that can bring high returns with modest investments  Provides customer with a path to continuous improvement  Identifies best practices in energy management  Includes global benchmarking against 3,000+ organizations  Coordination with certifications such as ISO, LEED®, and ENERGY STAR®  Leads to other applicable Duke Energy service offerings

9 A World of Solutions 8 EnVinta One-2-Five® Software Example

10 A World of Solutions 9 EnVinta One-2-Five® Software Example

11 A World of Solutions 10 SEMP Program Results Majority of participants will fall into the 1-2 star range.

12 A World of Solutions 11 Program Results Identifies strengths Identifies weaknesses Highlights priority customer needs Customer-specific Strategic Action Plan that includes critical actions identified through the diagnostic session and project implementation timelines with responsibilities and timeframes

13 A World of Solutions 12 Customer Case Study Updating

14 A World of Solutions 13  Demonstrate corporate commitment through policy creation and goal setting  Establish energy consumption reports, reporting structure/process, meeting times, and goal tracking for operations/product lines  Conduct energy audit  Develop and maintain list of energy improvement projects and review opportunities on a regular basis  Conduct energy awareness trainings for staff and review ways staff can impact and improve energy usage  Recruit/train staff that are suitably skilled for energy management activities  Review and modify equipment shutdown procedures  Assign responsible parties for energy management of facility/operations line and establish incentive program for meeting reduction goals  Develop guidelines for equipment selection and maintenance. Inform suppliers and subcontractors of energy requirements  Review and consider third-party financing for energy reduction projects  Benchmark energy usage/intensity against others in the industry or against other sites within the company  Quantify environmental consequences of energy usage (GHG reporting) Sample Recommendations

15 A World of Solutions 14  Energy use is the single largest operating expense in commercial office buildings, representing approximately 1/3 of typical operating budgets. A 10% decrease in energy use can lead to a 1.5% increase in net operating income (NOI) (E Star)  Supports Reduction Initiatives such as Better Buildings/Better Plants, Energy Star, or Smart Energy Now Charlotte participants with their energy reduction targets. Other benefits: – Leased buildings: Can reduce tenant turnover; respond to market demands; Optimizes strategic investments in the building; Supports prospective tenant marketing; Increase resale value – Owned Buildings: Better energy performance contributes to increased employee productivity & health.  Alignment of management objectives: Can solidify top-down commitment at all critical levels in CRE (CEOs, CFO’s, energy directors, chief engineers)  Reduce maintenance costs and improve reliability  Engage and train employees, reduce turnover  Operations and maintenance savings (2-5% per year is typical) and capital projects in pumps, compressed air, refrigeration systems, motors, boilers Impact to Operations Change to Data Centers

16 A World of Solutions 15 Next Steps  Customer Agreement  Participation fee of $11,900 which includes:  License for the One-2-Five® software  On-site facilitation of the diagnostic assessment  Planning meetings to finalize critical action items  Strategic Action Plan  Follow-up assessment 6 -12 months after the initial assessment.  Schedule One-2-Five diagnostic assessment  Provide general company information and basic energy consumption data prior to assessment session  Select participants for diagnostic assessment  Executive management team, maintenance, engineering, financial, etc.

17 A World of Solutions Questions?

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