2. Agenda
Introduction
Policy landscape
“ Best Practice” approach
Financing energy efficiency solutions
Example
Summary
Siemens plc, 2011
3. Proposition: Siemens Energy Solutions
Save 10 – 30% of the facility energy
and utility spend – with attendant
carbon reduction benefits.
Without capital investment
Simultaneously provide a positive
cashflow contribution”.
Siemens plc, 2011
4. Our Credentials:
No1 In The Dow Jones Sustainability Index
No1 in the Carbon Disclosure Project
Leadership Index
Carbon Trust Standard
CAESER
Environmental portfolio - €28 billion in 09/10
Saved our clients around 270M Tonnes
CO2e through 2010
Siemens plc, 2011
5. Introduction:
The Policy Landscape Drives Concrete Measures
Global, EU & UK Policy EU Regulation & Standards UK Specific Measures
Kyoto Proocol and targets on Eco Design directive (“EuP” & Climate change levy (CCL)
“ERP”)
greenhouse gas reduction
Energy performance of Climate change agreements
IPCC reports buildings directive (CCAs)
Stern report on the financial Landfill directive Renewable obligations,
implications of climate Waste Incineration directive ROCs and FITs
(WID)
change
Measuring instruments Renewable heat incentive
UK government targets – directive (MID) (RHI)
80% CO2e reduction by 2050 Environmental permitting Building regulations – “Part
programme.
UK energy policy L2”
European emissions trading
Climate Change Act scheme (EU ETS) Carbon reduction
International standards:-. commitment (CRC EES)
Low carbon strategy:
EN 16001 Enhanced capital
Transport
EN 15232 allowances (ECAs)
Manufacturing Pr EN 15900 Landfill tax
Selected examples only
Siemens plc, 2011
6. Best Practice Energy, Cost & Carbon Reduction
Systematic strategy :
• Measure and monitor
• Automation and Control
• High efficiency products and solutions
• Low carbon and renewables
• Innovative finance solutions
Siemens plc, 2011
7. A “Best Practice” Approach To Energy Efficiency
Tools and processes exist
to facilitate this systematic
Consultancy led • A systematic approach
approach
continuous improvement delivers maximum cost and
programme
carbon reduction.
• This process forms the basis
of a long term continuous
improvement programme.
• Simplifies environmental
compliance issues
• Aligned with requirements of
the international energy
management standard BS
ISO 50001 / BS EN 16001
• 400% savings compared to
Logical structure and
Ongoing consultancy an ‘ad hoc’ approach
support to oversee
project sequence implementation
Siemens plc, 2011
8. Financing Energy Efficiency & Carbon Reduction Projects
• Grants? (LEPs, Regional organisations?...)
• Carbon trust loans (New – April 11)
• Salix – public sector loans?
• Green deal / GIB?
• Private sector finance
• Enhanced capital allowances (ECAs)
• SFS
Siemens plc, 2011
9. Examples Propositions -
Illustrative Food & Beverage Facility (Dairy)
Energy costs reduced by £1.0M (36%) per year
Carbon emissions reduced by 4, 500 tonnes (35%)
Projects cost £1.9M with payback in 23 months
Financing:
Monthly financing costs = £60k
Reduction in utility costs = £83k
Net cashflow contribution = £23k / month
After 3 years, client enjoys full benefits
Compliance with energy and environmental
regulations
Siemens plc, 2011
10. Summary Of Proposition
Starting point is expert energy audit – typically 5 to 10
days per facility:
Systematic evaluation of historical consumption data
and can include energy balance / water balance etc
Review of regulatory issues
Evaluation of key opportunities and recommendations
Preparation for continuous improvement programme
Recorded in the Siemens Energy Navigator
Proposition for implementation phase & solution
delivery
Options for zero capital investment with positive
cashflow contribution
Siemens plc, 2011