Energy Efficiency as an important building block for Saudi Vision 2030

Transcription

1 Energy Efficiency as an important building block for Saudi Vision 2030 Prof. Dr. Rainer M. Jubail Energy Management Conference 2017 on December 5, 2017 Unrestricted Siemens Siemens AG 2016 Saudi All rights Arabia reserved siemens.com.sa siemens.com.sa

2 Agenda Introduction Energy KSA St at us Quo Smart Buildings as Key Contributors Roof-top PV Installations Energy Efficiency in the Industrial Sector Summary & Takeaway

3 Five megatrends shaping our world of tomorrow Demographic change World population 1), in bn Developing countries Industrial Urbanization Contribution to global GDP growth, ), in % Cities >10mn 5mn 10mn 2mn 5mn % Other cities and rural areas 150k 2mn countries Growing and ageing population Digital transformation Connected devices 5), in bn Exponential growth of connected devices... and digital data 6) Cities as main driver of GDP growth 9 23 Global warming and weather extremes ZB ZB = Zettabytes = 10 9 Terabytes 40.0 ZB Trend to increase investment abroad Climate change Annual mean temperature variations ) (in C) 0, , Globalization Foreign direct investment vs. global GDP, in % 4) ) UN World Population Prospects (2015) 2) Met Office Hadley Centre observations (2014) 3) McKinsey Global Institute Cityscope (2011) 4) UNCTAD (2013) 5) Cisco: The Internet of Everything (2013) 6) IDC: The Digital Universe (2012)

4 At least three megatrends dealing with energy efficiency Demographic change Climate change Digital transformation Urbanization Higher innovation speed Growing importance of energy efficiency and sustainability Globalization that influence the energy industry

5 Agenda Introduction Energy KSA Status Quo Smart Buildings as Key Contributors Roof-top PV Installations Energy Efficiency in the Industrial Sector Summary & Takeaway

6 Energy Efficiency is playing an important Role in Saudi Vision 2030 A vibrant society Kingdom s wealth lies in its people and society and it takes pride in what makes it exceptional: Being the heart of Islamic faith and its national unity. Increase the efficiency of fuel utilization in the electricity generation and water desalination sectors A thriving economy A thriving economy for citizens to fulfill their aspirations. Creating momentum towards an era of prosperity through diversification, education and training, employment opportunities and entrepreneurial development. Stimulating innovative industrial solutions to improve energy efficiency and waste management. An ambitious nation Any government needs to evolve and improve to keep pace with rising expectations of its citizens, and provide them with the tools for increasing their quality of life. Increase Household Savings from 6% to 10% of total household income

7 Almost 50% of Energy is used in the residential area (as of 2014) Source: SEC (KAPSARC)

8 Realizing Energy Efficiency Potential Across Sectors Unrealized Energy Efficiency Potential Realized Energy Efficiency Potential % 44% Industry % 38% Transport % 20% Power Generat ion 18% Buildings Source: Capturing the Multiple Benefits of Energy Efficiency; OECD/ IEA, These energy efficiency potentials are based on the IAE New Policies Scenario outlined in the World Energy Outlook Investments are classified as 82% economically viable if the payback period for the up-front investment is equal to or less than the amount of time an investor might be reasonably willing to wait to recover the cost, using the value of undiscounted fuel savings as a metric. The payback periods used were in some cases longer than current averages but they were always shorter than the technical lifetime of individual assets.

9 Energy consumption in buildings in Saudi Arabia in 2016 Energy Use by Type in the Residential Sector Energy Use by Type in Commercial and Government Buildings Lighting 14.9% 25.2% Lighting 11.0% Equipment 4.0% Ventilation 2.3% 67.9% Heating 6.0% 1.0% Equipment 67.0% Ventilation Cooling Cooling Source: KAPSARC

10 Agenda Introduction Energy KSA St at us Quo Smart Buildings as Key Contributors Roof-top PV Installations Energy Efficiency in the Industrial Sector Summary & Takeaway

11 Energy costs account for 40% of a building s lifecycle costs Cost s 20% 80% Lifecycle costs Design Build Operation Renovation Operating costs 60% Energy costs 40% Tear down Years

12 tpayback Cost Efficiency of Energy Efficiency Measures Capital expenditure BPO *) Building automation (integrated control) Mechanical equipment Installation Buildingshell *) BPO: Building Performance Optimization Investment $ Raising staff awareness for Energy efficient work procedures BPO: Readjustment of Plant Energy Audit Heating / cooling / lights / blinds Occupancy dependent Demand controlled ventilation Use of as much as passive heating / cooling Renewable energy integration Heat recovery Insulation Windows Tightness

13 The implementation of an Energy Management Process is key for sustainable energy efficiency improvements

14 TAIPEI 101 a world-class reference INVESTMENT US $ 12 million ANNUAL ENERGY COSTS US $700,000 ELECTRICITY USE 4.8 million kwh WATER CONSUMPTION 28,000 metric tons GARBAGE PRODUCTION 1261 metric tons CARBON EMISSIONS 2995 metric tons Floor Area: 2,050, sq.ft.

15 Energy Performance Contracting - Investments paid back by the energy savings

16 Agenda Introduction Energy KSA St at us Quo Smart Buildings as Key Contributors Roof-top PV Installations Energy Efficiency in the Industrial Sector Summary & Takeaway

17 Typical load curves in KSA Summer Winter Source: Electricity and Co-generation Regulatory Authority (ECRA), KAPSARC analysis

18 Generation Characteristic of Photo Voltaics valuesaveraged over one year Source: Dr. Peter Klamser, Gemeinfrei, commons.wikimedia.org/ w/ index.php? curid=

19 Dedicated PV modules could be used locally and globally Develop dedicated PV modules to be used in the Kingdom but also being sold in the world-wide sunbelt Enable a Saudi Blue Roof Program based on the net-metering principle Establish SMEs for implementation, monitoring and maintenance CSP PV Thus, let existing peak power plants contribute to base load Additionally, add wind power resources as another renewable resource Sour ce: RM S

20 The Electricity & Cogeneration Regulatory Authority (ECRA) has already paved the way to small roof-top PV Systems

21 Agenda Introduction Energy KSA St at us Quo Smart Buildings as Key Contributors Roof-top PV Installations Energy Efficiency in the Industrial Sector Summary & Takeaway

22 Benefits from Industrial Energy Efficiency Competitiveness Production O&M Working Environment Environment Expanded capacit y. Reduced production costs. Deferred plant capital investments. Corporate risk reduction. Improved reputation and corporate image. Capacity utilization. Improved product quality. Increased product value. Improved operation. Reduced need for maintenance. Improved site environmental quality (improved thermal comfort, lighting, acoustics, ventilation.. Etc). Increased worker health and safety. Reduct ion of air pollution and emissions. Solid waste reduction. Waste water reduction. Reduct ion of input materials, e.g. water

23 Agenda Introduction Energy KSA St at us Quo Smart Buildings as Key Contributors Roof-top PV Installations Energy Efficiency in the Industrial Sector Summary & Takeaway

24 Development of electricity demand in KSA from 2016 to % p.a. 301 TWh Business growth as usual 166 TWh GDP: 3.4% Populat ion: 1.4% 468 TWh a) -44 b) -8 Adjustments due to change in behavior, technology -52 TWh Insulation and higher efficiency appliances Consumpt ion behavior (could be higher if tariffs hiked to market prices) -5 TWh +10 TWh 421 TWh Business growth as usual 2030 intermediate Efficiency levers District cooling Desalination 2030 adjusted Source: Siemens Others Industrial Governmental Commercial Residential

25 Energy demand reduction effects Source: Capturing the Multiple Benefits of Energy Efficiency; OECD/IEA, 2014

26 Public budget impacts of energy efficiency measures Source: Capturing the Multiple Benefits of Energy Efficiency; OECD/IEA, 2014

27 Energy efficiency measures could increase oil export revenues 35% 30% 25% 20% 15% 10% 5% 0% Domestic Energy Consumption as Share of Production Domestic energy consumption has significantly increased since 2000, and thus reducing share of energy production going to exports. Saudi Arabia has implemented efficiency standards on key sources of domestic energy demand including vehicles and air conditioners. Air conditioner standards alone are targeting efficiency improvements by 35%, saving 47 million barrels of oil and increasing export revenues by $2.5 billion.

28 Your Takeaway Energy efficiency is playing a vital role in Saudi Vision 2030 Residential consumersare using ~50 % of electricity in Saudi Arabia Most of the electricity isused für air conditioning A state-of-the-art energy management process could significantly improve the situation Energy efficiency measuresin industrieswould contribute as well Roof-top installed PV could easily be integrated and support sustainibility on the lowest level Energy efficiency measurescould have a huge impact on the economy

29 Any comments Thank you! or questions? Energy Efficiency

30 Prof. Dr. Rainer M. Speh Chief Technology Officer (CTO) Siemens Ltd. Airport Road; Qurtuba District Business Gate Riyadh, KSA Phone: +966 (11) Fax: +966 (11) Mobile: +966 (54)