Transcript Slide 1

Energy Savings Potential
for Government Facilities
in Virginia
Presented by Richard Spellman,
President
GDS Associates, Inc.
July 11, 2008
Topics to be Discussed
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Demand-side management, energy efficiency and demand
response programs
Commonwealth of Virginia Energy Plan – September 2007
Types of programs
– Energy Star
– Education Programs
– Utility Sponsored Energy Efficiency Programs
Examples of cost effective energy efficiency measures
What is the remaining potential for energy savings in
government facilities in Virginia?
Energy efficiency measures with fast payback
Examples of success (case studies)
Next steps
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Definitions
• Demand-side management: energy conservation,
load shifting, peak clipping, valley filling, strategic load
growth
• Energy efficiency: measures or programs that
reduce energy use (but provide the same amenity
level) on a year round basis
• Demand response: measures or programs that shift
the pattern of energy use from peak to off-peak
periods
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#1 Objective for Appalachian
Regional Commission for Economic
and Energy Development
• “Strategic Objective 1: Promote energy
efficiency in Appalachia to enhance the
Region’s economic competitiveness.”
Page 12, “Energizing Appalachia, A Regional
Blueprint for Economic and Energy
Development”, by the Appalachian Regional
Commission”, October 2006
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The Energy Suppy and Demand "GAP" in VIrginia
Without additional energy efficiency
Total energy consumed in Virginia
With additional energy efficiency
With additional new energy projects
Btus
Energy GAP
With planned supply projects
Total energy provided in Virginia
TIME
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Types of Energy Efficiency Programs
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Federal government programs (Energy Star)
State government programs
County and municipal government programs
Utility-sponsored programs
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Examples of Cost Effective
Energy Efficiency Measures
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Residential Measure Examples
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Energy Star appliances
Energy Star New Homes
Energy Star Windows
High efficiency space and
water heating
• Insulation and
weatherization
• Solar space and water
heating
• Compact fluorescent light
bulbs
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There are Many Cost Effective Residential Electric Energy
Efficiency Measures (Measures under $.03 Per Lifetime kWh Saved)
$ per kWh
Saved
0.0500
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Commercial Measure Examples
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Compact fluorescent lighting
Super T-8 lighting
T-5 lighting
Centrifugal chillers
High efficiency motors
Compressed air efficiency
measures
Building re-commissioning
Advanced construction
practices
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Industrial Measure Examples
• Premium efficiency
industrial motors
• High efficiency
transformers
• Sensors and controls
• Fan system improvements
• Air compressor system
management
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Energy Efficiency Savings
and Spending in Virginia
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Virginia Utility Energy Efficiency and
Conservation Savings
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Virginia ranks low on energy
efficiency savings originating from
utility programs as % of total kWh
sales.
In the past, the relatively low cost
of electricity in Virginia increased
the payback for efficiency
programs and made them less
financially attractive.
In 2005, VA utilities ranked no
higher than 64. Western Mass.
Electric ranks first.
We shouldn’t wait for even higher
prices to promote addition
efficiency and conservation efforts.
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Energy Efficiency and Conservation
Spending
• On average, the Top 20 energy efficiency utilities in
the US spend 2.75% of annual electric utility revenues
on energy efficiency programs
• Virginia Electric Power Company and Appalachian
Power spent about 0% on energy efficiency and
conservation programs as a percent of 2005 annual
retail revenues
• Utilities are now starting pilot energy efficiency
programs
Source: US DOE, Energy Information Administration
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Recommendation from 2007 Virginia
Energy Plan.
• Subject to the outcome of the 2007 State Corporation
Commission energy conservation and demand-control
study, the Commonwealth, in cooperation with electric
utilities and energy-efficiency service providers, should
initiate an aggressive set of actions to expand use of
energy efficiency, conservation, and demand
management to offset electric demand and use. Energyefficiency and conservation activities, or program
portfolios, should address all customer classes and
income levels.
Source: 2007 Virginia Energy Plan, Virginia Department
of Mines, Minerals and Energy, page 9.
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Energy Efficiency and
Conservation Programs in
Other States
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Energy Efficiency Program
Administrator Types
• Electric Utilities
• Natural Gas Utilities
• Public Benefits Organizations
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Efficiency Maine
Efficiency Vermont
NYSERDA
Wisconsin Focus on Energy
Midwest Energy Efficiency Alliance (MEEA)
Northwest Energy Efficiency Alliance (NEEA)
Southeast Energy Efficiency Alliance (SEEA)
Southwest Energy Efficiency Project (SWEEP)
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Annual Budgets for Public Benefits Energy Efficiency Programs
Budget Amount
Name of Organization
Year
($)
Efficiency Maine
2007
11.6 million
Efficiency Vermont
2007
24 million
NYSERDA
2007
175 million
Focus on Energy (WI)
2006
40 million
Energy Trust of Oregon
2006
50.1 million
Northwest Energy Efficiency Alliance (NEEA)
2006
21.4 million
Midwest Energy Efficiency Alliance (MEEA)
2007
5 million
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Regional Energy Efficiency Organizations in the
United States
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What is the Southeast Energy
Efficiency Alliance?
• Mission: To build regional partnerships in the
Southeast to promote and achieve energy efficiency
for a cleaner environment, a more prosperous
economy, and a higher quality of life
• Represents Eleven-State Region: Alabama,
Arkansas, Florida, Georgia, Kentucky, Louisiana,
Mississippi, North Carolina, South Carolina,
Tennessee,Virginia
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Energy Efficiency Stats for Top 20
Energy Efficiency Electric Utilities
• Each year, the top 20 energy efficiency utilities
are saving 1.4% more of total electric sales
• On average, the top 20 energy efficiency
utilities have already saved 12% of their total
electric sales through the end of 2005.
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Virginia Energy Efficiency
and Conservation Savings
Potential and Emerging
Technologies
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Achievable Cost EE & Conservation Potential as
a % of Total Annual kWh Sales
30%
24%
25%
19%
20%
15%
9.0%
9%
10%
10%
14%
13%
12%
5%
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The average achievable cost effective electricity savings
potential for these eight studies is 14% of total electricity
kWh sales.
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Commercial Sector Cost Effective
Savings Potential Ten Tears from Now
• Electricity savings potential – 17%
• Natural gas – 8%
• Petroleum – 21%
Source: 2007 Virginia Energy Plan, Chapter 3
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Emerging Energy Efficiency and
Conservation Technologies
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LED Lighting
Micro-cogen
Drainwater heat recovery systems
Cool roofs
Zero energy buildings
Advanced refrigerator-freezer
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The Call For Demand Response
The Energy Policy Act of 2005, for the first time, makes it
federal policy to endorse demand response and encourage
states to pursue this technology. The legislation states:
“It is the policy of the United States that time-based pricing
and other forms of demand response, whereby electricity
customers are provided with electricity price signals and the
ability to benefit by responding to them, shall be
encouraged, the deployment of such technology and devices
that enable electricity customers to participate in such pricing
and demand response shall be facilitated, and unnecessary
barriers to demand response participation in energy capacity
and ancillary service markets shall be eliminated.”
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Demand Response
 Takes load off the grid during times of
peak electrical demand
 Is becoming a popular program option in
an evolving electricity market
 Programs are currently offered through
PJM
 Programs provide cost savings
opportunities to consumer
 Programs face regulatory and
institutional challenges
 Technology challenges associated with
deployment are being overcome
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Role of Consumer
Education on Energy
Efficiency
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Role of Consumer Education
• Increase awareness of energy efficiency and Energy Star
logo
– TV, radio and newspaper advertising
– Newsletters and bill stuffers
– Web site information
• Provide information
– Life-cycle costs, safety, where to purchase energy efficient
equipment
• Change behaviors
– Purchasing decisions (buy Energy Star)
– Move closer to work
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$ Savings from Energy
Efficiency
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City Schools – Alexandria, VA
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Installed new double pane windows in most buildings
Retrofitted lighting systems or replaced systems with current electronic
ballast/T8 lamp technology
Began installing energy-efficient roofing with 4 inches of insulation and
reflective white surfaces
Replaced two electric heating/cooling systems with high-efficiency gas
heating and electric cooling systems
Replaced four chillers with energy-efficient chillers
Replaced several boiler systems with energy-efficient boilers
Replaced the energy management system with a modern HVAC
automation system and pursued further energy-saving control strategies
Educated building engineers on proper HVAC energy management and
indoor air quality monitoring
Controlled installation of equipment to simplify maintenance
Energy Savings: approximately 15% of total energy use
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658 Schools in New York State
• 658 schools in 140 districts in New York participated in the New
York Energy Smart Schools Program.
• Hundreds of building engineers and facilities staff were trained to
maintain and improve school buildings, providing a safe, healthy,
and energy-efficient environment for learning.
• More than 15 percent of New York State public schools have
taken advantage of these benchmarking and modeling tools, and
have achieved significant results by implementing recommended
improvements.
• Participating schools have lowered their energy
consumption by an average of 19 percent
Energy Savings: approximately 15% of total energy use
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Summary
• Detailed evaluations show that government
facilities can attain significant energy and
money savings with energy efficiency programs
• Annual energy savings in the range of 10% to
20% are common
• There are many programs available now to help
government facilities save energy
• Utilities in Virginia are launching new pilots
• Rising energy prices have made energy
efficiency programs much more imperative!
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