Loughborough University Annual Energy Performance Report August 2016 July 2017

Transcription

1 Loughborough University Annual Energy Performance Report August 2016 July 2017 Author : Greg Watts Energy Manager Date : September

2 Management Summary Energy Consumption This electricity consumption has decreased by 4.3% and the gas consumption has increased by 1.4%. The main factor contributing towards the energy performance is the utilisation of the CHP units. The units operated for longer periods, resulting in an increase in the gas input and a reduction in the electricity purchased from the grid. New developments that came on line in this period included: The new Towers Dining Room The redevelopment of area S0 (West Park) The absolute carbon emissions have reduced by 6.3% and the emissions relative to the student numbers have reduced by 22.9% compared to the 2005/06 base year. If the energy consumption and emissions associated with the new developments that have come online since the base year are excluded, the absolute emissions have reduced by 15.1% and the emissions relative to student numbers have reduced by 30.1% compared to the base year. Energy Costs The electricity costs have increased by 4.5% and the gas costs have increased by 3%. The University entered into a three year flexible procurement contract on the 1 st August 2015.The flexible contract has performed very well and the University has benefitted from low energy prices as the wholesale energy costs have dropped. The energy costs for 2016/17 are slightly higher than the first year of the flexible contract and reflect the increase in wholesale costs, but are still very competitive and significantly lower than if the University had opted for a fixed rate contract. If the University had opted for a fixed rate contract, the energy costs over the duration of the 3 year contract would be 2.8 million higher than the costs achieved under the flexible procurement strategy. The current flexible contract expires in September 2018 and discussions have commenced with TEBL and the University procurement team in relation to the development of the flexible procurement strategy for the next utility supply contract. 2

3 Section 1 Energy Consumption 1.1 Total Energy Consumption and Cost The annual energy consumption and cost is summarised in the following table: Electricity Gas Total kwh kwh kwh 2015/16 26,810,091 2,292,799 95,361,669 1,477, ,171,760 3,770, /17 25,697,454 2,401,427 96,727,507 1,523, ,424,961 3,924,885 The energy consumption and costs are presented in the following graphs: The combined consumption has increased by 0.2% and the energy costs have increased by 3.9% compared to the corresponding period in 2015/16. 3

4 1.2 Total University Electricity Consumption The total University electricity consumption represents the electricity that the University consumes across its entire property portfolio, but excludes the consumption associated with the Student Union and UPP Student Accommodation. The total electricity consumption data is presented in the following graph: The consumption for the period August 2016 to July 2017 has decreased by 1,112,637 kwh, when compared to the corresponding period in 2015/16. This represents a decrease in consumption of 4.2%. 1.3 Factors Contributing Towards the Electricity Performance The main factor contributing towards the decrease in electricity consumption is the increased utilisation of the CHP units. The improved reliability of the units has resulted in a decrease in grid electricity both on the main campus and at Holywell Park. The CHP units continue to form an integral part of the University thermal and electrical infrastructure and approximately 35% of the annual University electricity demand was produced on-site by the CHP units in 2016/17 4

5 1.4 Total University Gas Consumption The total University gas consumption represents all the gas that the University consumes across its entire property portfolio. The total gas consumption data is presented in the following graph: The consumption for the period August 2016 to July 2017 has increased by 1,365,838 kwh, when compared to the corresponding period in 2015/16. This represents an increase in the raw gas consumption of 1.4%. 1.5 Factors Contributing Towards the Gas Performance The main factor contributing towards the increase in electricity consumption is the increased utilisation of the CHP units. The improved reliability of the units has resulted in an increase in gas input to the CHP units to provide on-site generation of heat and power. 5

6 1.6 Water Consumption The site metered water consumption data is presented in the following graph: Note: Consumption data is only available for the period August to April 2017 The consumption for the period August 2016 to April 2017 has decreased by 3,306 m3 when compared to the corresponding period in 2015/16. This represents a decrease in the site water consumption of 1.2%. The increase in consumption in October 2016 is the result of a significant leak on the water main supplying the student village. Following a temporary repair, this water main was replaced in April To support the University water hygiene programme, approximately 13,000 assets are flushed on a weekly basis. The estimated consumption associated with the flushing is 12,000 m3 per annum, at a cost of 24,000. In order to improve the monitoring and reporting of the water consumption, all the Severn Trent meters are being connected to the University wide Data Bird energy metering system. This will improve the reporting of water consumption across the campus and allow exception reports to be generated if the consumption exceeds standard levels. 6

7 2. CHP Performance The University has four Combined Heat and Power CHP Units: Central Park Holywell Park Pilkington Library Holywell Fitness Centre The CHP units continue to form an integral part of the University thermal and electrical infrastructure and approximately 35% of the annual University electrical load was produced on-site by the CHP units The annual performance of the CHP units is summarised in the following table: Unit Rating Saving ( ) Saving (CO2) Central Park 1.6 MWe 622,574 1,332 Holywell Park 1 MWe 87, Pilkington Library 500 kwe 55, Holywell Fitness Centre 35 kw 3,453 1 Total MWe 732,496 1,821 Central Park CHP Unit The Central Park CHP unit was installed and commissioned in August 2011 at a capital cost of 2 million. To date the unit has saved 2.9 million. A new 230 kwe CHP unit is being incorporated as part of the new energy centre that will supply the new student village accommodation development. 7

8 3. Carbon Reporting The University tracks its carbon emissions against targets set out within its Carbon Management Plan. The following table presents data on the absolute carbon emissions and target emissions from the baseline data together with data relating to the staff and student numbers: Year 2005/ / / / / / / / / / /17 Actual 29,503 29,907 30,232 30,031 30,187 29,322 29,858 27,539 27,541 27, Target 43% 29,503 27,691 26,785 25,879 24,973 24,067 23,161 22,255 21,349 20, Students 14,805 16,045 16,646 16,629 16,106 16,703 16,237 17,008 16,557 17, Staff 2,915 3,111 3,158 3,180 3,230 3,107 3,076 3,224 3,464 3, Campus Area 169, , , , , , , , , , ,277 The following graph illustrates the absolute annual emissions: The following graph illustrates the emissions relative to student numbers: 8

9 The absolute emissions have reduced by 6.3% compared to the base year. The emissions relative to the student numbers have reduced by 22.9% compared to the base year. This has been achieved on a developing campus where facilities are being operated for longer periods to enhance the student experience. Since the base year a number of significant campus developments and acquisitions have been implemented, including: Clyde Williams Sport Park The Link Hotel Loughborough Design School Loughborough Stadium Holywell Fitness Centre National Centre for Sports and Exercise Medicine West Park Teaching Hub ATIC Excluding the energy consumption and emissions associated with these developments would result in the absolute emissions being reduced by 15.1% and the emissions relative to student numbers being reduced by 30.1% compared to the base year. 4. Energy Impact of Campus Developments A number of projects have ben identified within the current Capital Framework that will have a direct impact on enenrgy conumption and emissions. These projects will prove a challenge both in terms of the increase in energy consumption and expenditure and also physical resiliance of the existing infrastructure, especially the electrical services. Potential capital projects that have been identified include: West Park Adaption and Refurbishment West Park Laboratory Teaching Block STEM Village Phase One Development East Park Arts Centre Rolls Royce/LU Combustion System Aerothermal Centre of Excellence Thermal Energy Research Accelerator (T-ERA) 9

10 5. Utility Contracts The flexible utility procurement strategy has been in place since the 1 st August 2015 and runs until the 30 th September The flexible contract has performed very well and the University have benefitted from low energy prices as a direct result of drops in the wholesale energy markets. The wholesale energy costs have increased and in line with the University s risk strategy associated with the flexible contract, this triggered the purchase of the energy for the remaining period of the contract, giving budget certainty until 30 th September Fixed Rate Contracts v Flexible Rate Contracts The University could have opted for a fixed rate contract instead of the flexible strategy. Under this strategy energy costs would have been fixed on day one of the contract and would have been effective for the contract period regardless of changes to the wholesale markets. The Energy Brokers Limited (TEBL) has undertaken an analysis comparing the performance of the flexible contract to a fixed rate contract. The following table illustrates the projected financial savings from the flexible contract compared to the fixed rate contract: Period Flexible v Fixed Rate Savings Electricity ( ) Gas ( ) Combined ( ) 2015/16 205,798 1,371,161 1,576,959 Actual 2016/17 238, , ,028 Actual 2017/18 193, , ,467 Forecast Total 637,042 2,134,412 2,771,454 The predicted total savings associated with the flexible procurement strategy are 2.8 million compared to the fixed rate contract. New Utility Supply Contract The current flexible contract expires in September 2018 and discussions have commenced with TEBL and the University procurement team in relation to the development of the procurement strategy for the next utility supply contract. Although energy prices are rising, it is recommended that the University again explores the options associated with a flexible procurement strategy. 10

11 6. Statutory Reporting The University is captured by a number of statutory reporting schemes that have been introduced in recent years in relation to energy and carbon emissions, the financial impact of these schemes is summarised in the following table: Scheme Carbon Reduction Commitment Energy Efficiency Scheme (CRC) European Union Emission Trading Scheme(EUETS) 80k Display Energy Certificates (DEC s) 15k 2016/17 Cost of Compliance 155k TM44 Air Conditioning Inspections 15k Total 265k 11