Energy Management for Small Systems

Transcription

1 Energy Management for Small Systems Stacey Isaac Berahzer Senior Project Director Environmental Finance Center at the University of North Carolina 10/21/13 Alabama: 16 th Annual Surface Water Meeting Auburn University at Montgomery

2 Outline Introduction Potential for Energy Management Energy Management Program - Basic Steps Questions and Wrap-up

3 Outline efc.sog.unc.edu Dedicated to enhancing the ability of governments and other organizations to provide environmental programs and services in fair, effective and financially sustainable ways. How you pay for it matters!

4 Past: Energy Management Workshop Series in AL In-depth workshop focused on building systemspecific energy management plans Workshop 1: Collecting data and getting started (May 29 th ) Workshop 2: Prioritizing and funding projects (June 26 th ) Workshop 3: Implementing and Progressing (July 31 st )

5 Energy Use and Water Utilities Energy represents the largest controllable cost of providing water services to the public Over 52,000 Community Water Systems Over 18,000 Non-Transient Non-Community Water Systems Over 86,000 Transient Non-Community Water Systems The total inventory is about 157,000 Public Water Systems small systems (3,300 or less) make up about 94% of all systems

6 Energy Use at Water Systems Pumping water is the largest consumer of energy Energy use is expected to increase increases in demand new energy intensive technologies (ozone, membranes, UV) Water-stressed states are shifting to more energy-intensive technologies to address current and future water-scarcity concerns desalination plants interbasin water pipelines

7 Water Systems are Energy Users In 2010 water systems used 12.6% of the nation s total annual energy consumption

8 Energy Management Goals Improve Energy Efficiency & Manage Total Energy Consumption Control Peak Demand for Energy Manage Energy Cost Volatility Improve Energy Reliability

9 Improve Efficiency & Manage Total Consumption Cost of electricity is based on two main components Quantity of electricity used (kwh) Demand for electricity On-peak vs. off-peak consumption affects rates Understanding the electric utility s pricing policies (rate structures) is critically important

10 Control Peak Demand for Energy Electric utilities typically include a demand charge in their rate structure 30-60% of the overall cost of electricity Lower variability in electric demand over time (flattened demand curve) Minimize changes in peak demand throughout the course of a billing period Shifting loads from peak periods, typically during daylight hours, to off-peak periods Potential for significant cost savings by minimizing demand charges

11 Manage Energy Cost Volatility Energy costs fluctuate (much more than water revenues) Dramatic changes stress budgets Protect against volatility as much as possible Reducing need for energy Long-term procurement of energy Provisions for alternative energy sources On-site generation of energy

12 Improve Energy Reliability Water utilities should be able to provide critical systems with adequate backup power Energy planning process should identify opportunities to improve energy reliability Protection against complete loss Identify changes in power quality that can damage equipment and/or Institute operating procedures to address changes in overall power availability

13 Energy Management Program Development

14 Energy Management Program - Basic Steps Step 1. Establish Organizational Commitment Step 2. Develop a Baseline of Energy Use Step 3. Evaluate the System and Collect Data Step 4. Identify Energy Efficiency Opportunities Step 5. Prioritize Opportunities for Implementation Step 6. Develop an Implementation Plan Step 7. Provide for Progress Tracking and Reporting Source: NYSERDA

15 Step 1 Establish Organizational Commitment Is your team defined? Is your team diverse? Does it represent various interests and responsibilities within the utility? (i.e. elected official, manager, operator, member of finance team, etc.) Team responsibilities include: develop the plan, establish goals, define the resources needed, provide information to others (i.e. CIP team)

16 Step 2 - Developing An Energy Baseline What Should You Do? Gather basic information One year of data minimum Examples: utility billing records, SCADA system records, O&M records, equipment or motor lists (horsepower & load) Organize treatment processes by functional area Evaluate energy bills and understand the energy rate structure

17 Step 3- Evaluate the System and Collect Data Use the spreadsheet on the next slide or any other format that is easy and acceptable to your team This step goes beyond the baseline development (historical records). It involves data collection in the field System walk-through (note operational information, motor sizes, etc.) Staff interviews (operational practices, maintenance practices/history, take suggestions) Energy performance data (field data from direct measurements, average equipment run time, submetering, etc.)

18 Energy Assets - Inventory Energy Use Inventory ID Number Asset Name Type of Energy Used Nameplate HP Variable Speed Y/N Measured Power Consumption (units) Hours of Operation per Year Total kwh per Year Peak Energy Demand Average Run Time Operating Status Design Specs. Avg. Cost cents/kwh Total Cost

19 Step 4: Identify Energy Efficiency Opportunities Energy efficiency opportunities can be defined as any system change that helps to reach a stated energy management goal At this stage the energy management team should identify a broad array of energy efficiency opportunities

20 Step 5: Prioritize Opportunities for Implementation The final product of this step is a short list of energy efficiency opportunities that have been selected and carefully evaluated out of the list of opportunities generated in the previous step Identify a consistent method to compare and rank opportunities (consider both the monetary and non-monetary)

21 Step 6: Develop an Implementation Plan How to Do It Business Plan Actions required in this step include the following: List the projects chosen for implementation and describe the goals and objectives of the program Explain the resources needed, including a budget and financing plan Develop any specifications needed, including design criteria and procurement related documents Provide any changes in standard operating procedures, and/or process control strategies Set the schedule for implementation, including milestones and gaining the necessary regulatory approvals (if applicable) Set realistic expectations for the project in terms of resources required, schedule, procurement time frame, and expected results

22 Step 7: Provide for Progress Tracking and Reporting The success of a project should be measured as it is being implemented The specific actions required in this step include the following: Assign the responsibility for tracking the progress of a project and reporting on that progress. Allocate the resources necessary to fulfill the responsibilities. Set the performance metrics that will be used. Create a communication plan. Identify who needs to be included in progress reports (examples: elected officials, public, etc.), when reports should be made, and any actions that need to occur in response to reports

23 Constraints on Implementing an Energy Program Organizational constraints Capital costs Process reliability Regulatory requirements and limits O&M capabilities, and non-energy O&M costs Engineering constraints Space availability

24 Review and Discuss Your Audit What is most surprising to you? Are there areas that you see quick gains? Do you have questions for the auditor? What next steps would you like to take after this walk-through audit? Do you think a more detailed audit could benefit you? Can you think of additional items to look at? Do you have a copy of, and understand, your electric rate structure?

25 Further Audit Questions: Electric Rate Structures and Your Bill Do you have demand ratchets to deal with? Are you rotating pumps to reduce demand charges? Do you have customer charges with the right number of electric phases? Did you pay a set, minimum contract charge for kw or kwh, or a lower amount based on actual usage? Do you have off peak, time of use kwh (energy) rates available?

26 More about this Opportunity 2 trillion gallons of H 2 O: estimated amount pumped each year by small systems $1 billion: estimated electric power costs per year for these small systems $10 million: annual electric bill savings from a 1% reduction in electric costs $100 million: annual electric bill savings from a 10% reduction in electric costs Source: Regnier and Winters, Reducing electric power costs in small water systems, Journal AWWA, April 2013,

27 Regnier & Winters: Things to Look for in Your Audit / System Reviewing typical savings situations: 1. Evaluating pumping efficiency 2. Understanding demand control 3. Managing kilowatt-hour use Source: Regnier and Winters, Reducing electric power costs in small water systems, Journal AWWA, April 2013,

28 Evaluating Pumping Efficiency Does your water system have multiple wells or well locations on separate electric meters? If so, do you operate all of your well pumps evenly across time? If so, you may be missing opportunities to use the most efficient pumps (e.g. as measured in gallons pumped / kwh)

29 Understanding Demand Control Demand ratchets in Alabama may go as high as 90% of your peak power demand, added to your bill for the next 11 months Hence running two pumps at once, for example, instead of sequentially, even for just 15 minutes, may almost double your demand charge for up to a year Second expensive hit: raising the level at which price break for kwh (energy) occurs

30 Managing kwh Use Take advantage of lower, off-peak, time-ofuse rates, if available and possible If pumps are metered separately, it may be less expensive to use fewer pumps for more hours per pump per month See 3 pump vs. 5 pump scenario on next slide And see Figure 2: a potentially similar situation with 4 pumps vs. 6 pumps

31 Evaluating Pumping Efficiency Source: Regnier and Winters, Reducing electric power costs in small water systems, Journal AWWA, April 2013,

32 Evaluating Pumping Efficiency Source: Regnier and Winters, Reducing electric power costs in small water systems, Journal AWWA, April 2013,

33 Energy Management Best Practices From NYSERDA s March 2010 Best Practices Handbook 1. General energy best practices 2. Water best practices 3. Wastewater best practices 4. Buildings best practices

34 General Energy Best Practices How might it be a best practice for your system to: G3 Energy Education for Facility Personnel G5 Design Flexibility for Today and Tomorrow G6 Electric Peak Reduction G7 Manage Electric Rate Structure G8 Idle or Turn Off Equipment G9 Electric Motors: Install High Efficiency Motors G10 Electric Motors: Automate to Monitor and Control G12 Electric Motors: Variable Frequency Drives G13 Electric Motors: Correctly Size Motors G16 Pumps: Optimize Pump System Efficiency G22 Renewable Energy Options

35 Water System Best Practices How might it be a best practice for your system to: W3 System Leak Detection and Repair W4 Manage Well Production and Drawdown W5 Sequence Well Operation W6 Optimize Storage Capacity W7 Promote Water Conservation

36 Buildings Best Practices How might it be a best practice for your system to: B1 Install VFD Control on Air Compressors B2 Install High-Efficiency Lighting B4 Monitor Light Operation B5 Maintain Boilers and Furnaces B6 Adjust Burners on Furnaces and Boilers

37 Smart Management for Small Water Systems under a Cooperative Agreement with the US EPA Direct assistance is provided on: Asset Management Water Loss Reduction Water System Collaboration Fiscal Planning and Rate Setting Energy Management Funding Coordination, and Managerial and Financial Leadership Sign up for direct assistance at The EFCN provides training and technical assistance to small public water systems in all fifty states and five territories to help local water systems achieve and maintain compliance with the Safe Drinking Water Act.

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39 Questions/Comments Stacey Isaac Berahzer Senior Project Director Environmental Finance Center (770) efc.sog.unc.edu