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EnergySTEP
Sustainability Tiered Efficiency Program




Make the most of your energy   SM
Our experts help
you save energy
and free up capital
for reinvestment
with EnergySTEP
Take the next step towards a
sustained energy efficiency program
        We’ll show you how
Energy prices are rising. Budgets are shrinking. Strict energy regulations are being enacted by
governments around the world. Sustainability is becoming an important part of business strategy.


                             What’s the impact on your business? Increased
                             pressure to adopt sustainability plans with
                             measureable goals and results. You need to
                             reduce energy consumption and optimize the
                             performance of your people, your assets and
                             your enterprise. How do you meet this challenge?
                             Choose a partner that enables performance.


                             Schneider Electric is the global specialist in
                             energy management. We help customers around
                             the world address the business, environmental
                             and regulatory issues that drive their need for
                             energy efficiency. Our solutions reduce carbon
                             emissions and consumption of electricity, water,
                             air, gas and steam, while improving business
                             performance and employee productivity.


                             Our Energy Management Services portfolio
                             includes the Schneider Electric Energy
                             Sustainability Tiered Efficiency Program,
                             or EnergySTEP—a unique, scalable energy
                             management service that enables you to easily
                             align your energy savings goals with investment
                             capabilities. EnergySTEP simplifies the often
                             complex energy reduction choices that confront
                             executives, by providing a straightforward, flexible
                             solution that creates ongoing, measurable savings.


                             EnergySTEP frees up capital that would otherwise
                             be used for energy expenditures, allowing you to
                             readily fund strategic initiatives that are vital for
                             long-term success, while creating a measurable path
                             forward for sustainability and environmental efforts.




        Make an impact on your environmental balance sheet
•	Adopt a clear plan that is simple to measure and communicate to stakeholders.
•	Reduce your carbon footprint and environmental impact.
•	Improve public, market and leadership efficacy perceptions of your company.
•	Instill pride in employees, who know that their company is taking real steps forward to conserve energy.
Energy and operating costs
       You want a simple way to improve your bottom line
Energy is typically your fastest growing expense, and it often consumes up to
30% of an operating budget.

Energy is the largest controllable
operating expense
•	Supply and labor costs are rising, while revenue
  and margins are shrinking
•	You want to preserve and increase the value of
  your company
•	You need to uncover hidden savings in your
  building to offset rising and unpredictable
  energy costs
•	You want to invest your assets wisely,
  with measurable ROI




Energy and production costs
       You’re looking for ways to make productivity gains
You’re in a competitive sector with
strong pressure on profitability due
to the rising cost of energy.

Energy is having an increasingly significant
impact on each product
•	You’re looking for a better understanding of
  your energy situation
•	You want to turn this constraint into an
  opportunity for growth


    Impact of energy costs on industry
      Split of
     Product
       Costs



          100%
                                                                                                       Energy
                           15%                   19%                   23%                             Raw materials
           80%
                                                                                                       R&D
                           35%                                                                         Labour
           60%                                   37%
                                                                       40%

           40%             15%
                                                 13%
                                                                       10%

           20%
                           35%                   31%                   27%

            0%
                          2006                   2008                  2010

   According to Sustainable Facility, energy makes up 30 percent of operating costs for the average company.
EnergySTEP
   A simple, scalable approach to energy savings
throughout the energy efficiency life cycle
EnergySTEP is a tiered approach to energy efficiency, allowing you to align your savings
goals with your investment capabilities. EnergySTEP allows you to save energy and reduce
GHG emissions across the entire energy efficiency life cycle.

        Measure
        & analyse




     Passive Energy Efficiency           Active Energy Efficiency


                                     Optimize through             Monitor,
    Fix the
                                     automation &                 maintain,
    basics
                                     integrated control           improve



       A proven methodology for energy efficiency
Our structured process, professional software and worldwide network of energy experts
help you generate both short-term quick savings and long-term energy management plans.
We help you achieve sustainable savings that decrease your operating expenses and boost
your bottom line.
Identify potential savings
•	Increased visibility of your energy consumption
•	Benchmarking of your electrical equipment and installations
                                                                              Potential Savings
•	Energy savings solutions with estimated ROI report                                                  % of potential
                                                                              Efficient               energy savings

Invest to reduce consumption with proof of profitability                      A                       0
•	Prioritisation of your energy efficiency management plan                    B                   B   10%    Target
•	Optimised tariff management and reduction of electricity bill               C                       20%
•	Reduction of CO2 emissions                                                                                 Initial
                                                                              D                   D   30%
                                                                                                             situation
•	Commitment to achieved savings
                                                                              E                       40%
Monitor and sustain savings                                                   F                       50%
•	Monitoring of all energy sources
                                                                              G                       60%
•	Key Performance Indicators (KPI) definition                                 Inefficient
•	Real time monitoring and continuous improvement



        Solutions suited to your investment capacity
•	Detection of potential savings       •	Demonstration of proof of savings
A baseline for performance
measurement and verification
   For factual performance reporting to management and
enhancement of your continuous improvement program

Proof of efficiency: measurement and verification program
•	Prove and document the Return on Investment of your EnergySTEP
  solution by comparing energy use before and after the implementation
  of energy savings measures
•	Improve installation engineering, operation and maintenance
•	Manage energy budgets
•	Make your organisation aware of the savings
•	A transparent, all-inclusive, accurate, consistent and conservative plan
  compliant with the international IPMVP baseline (www.evo-world.org)


Follow-up of energy goals
•	Set energy use goals and targets for reduction
•	Technical and economic consumption reporting
•	Tools for building IPMVP Baseline adjustments



     Measurement and verification plan applied to energy efficiency investment



                                                                                              Adjusted Baseline Energy


                                                                                          n
                                                                                    ductio             Savings, or
    Energy Use




                                                                                Pro                avoided energy use
                                                                           ed
                                                                       eas
                                                                   Incr
                                         Energy Upgrades




                                                                                              Measured Energy Consumption




                   Baseline Period                                               Reporting Period

                                     Before                After




     Every dollar I save in energy use goes right into the Gross
Operating Profit. Hotel occupancy is very dynamic. If 60 percent of
the hotel is vacant, I don’t need to run the systems there.      — JoJo Estrada,
                                                                 Chief Engineer,
                                                                                                                            Westin Resort
                                                                                                                            Macau, China
Schneider Electric solutions
       Implementation of full solutions for specific applications

HVAC Energy
•	Optimization of flow rates, set points, schedules,
  combustion, and operating parameters
•	Variable speed technology to provide adaptive
  operation for all inductive motor loads
•	Commissioning and refinement of building
  automation systems for peak efficiency
•	Outside air controls to perfectly measure
  and deliver fresh air, minimizing excessive
  heating/cooling

Indoor and outdoor lighting
•	Occupant sensing and scheduling for optimized
  run time
•	Motorized breakers for area- and time-
  specific control
•	Light level sensing integrated with dimming and
  window covering controls for customized interior
  light levels

Power monitoring of water, air, gas,
electricity and steam
•	Consumption that closely fits business needs
•	Examination of energy use during occupied
  and unoccupied times
•	Energy use analysis to discover opportunities for
  decreased demand, consumption, and cost
•	Power Factor correction to eliminate unnecessary
  distribution charges

Positive cold refrigeration,
process cooling, industrial water
•	Organisation of refrigerating power, leak
  detection, adaptation of operating pressure,
  peak efficiency
•	Measurement of flow rates, analysis of
  consumption and operating costs

Compressed air
•	Detection of leaks and adaptation
  of operating pressure, efficiency
•	Measurement of flow rates, analysis
  of consumption and operating costs

Behaviour and communication
•	Empowerment regarding the link between
  consumption and production
•	Best practices on the part of management,
  occupants, and operators
A few EnergySTEP references
    Mining, minerals & metals                      Infrastructure: water treatment
    •	Reduction of penalty for low power factor,   •	30% saving achieved on a boosting and transfer pumping system
      thanks to capacitor banks system
                                                   •	Payback period < 2 years
    •	Payback period < 18 months




    Data Centres                                   Education
    •	Power Usage Effectiveness (PUE)              •	31% reduction in energy costs through central plant optimization,
      improved by 20%                                power factor correction, lighting control, expansion of energy
                                                     management system, and more
    •	Payback period < 12 months
                                                   •	1.2 million USD annual savings
                                                   •	Payback period < 7 years




    Healthcare                                     Green Buildings
    •	Reduction of energy due to HVAC, lighting,   •	EnergySTEP applied to our offices, plants and corporate headquarters—
      chiller and control system upgrade             a green building that has earned HQE Exploitation, NF EN 16001 and
                                                     ISO 14001 certification
    •	Water conservation measures
                                                   •	Roll-out of EnergySTEP program in more than 170 Schneider Electric
    •	Energy management system
                                                     facilities around the world: 10 to 20% energy savings achieved using
    •	Payback period < 7 years                       the full set of solutions
                                                   •	Benchmark vision thanks to repeatable methodology
                                                                                                                                           © 2010 Schneider Electric. All rights reserved.




Schneider Electric SA
   Headquarters:
   35 rue Joseph Monier - CS 30323
   F-92506 Rueil-Malmaison Cedex (France)
   Tel. : +33 (0) 1 41 29 70 00
   Fax : +33 (0) 1 41 29 71 00                                                                            This document has been
   www.schneider-electric.com                                                                             printed on recycled paper


SERED106016EN.2                                                                                                        May 2011       as

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Energy STEP

  • 1. EnergySTEP Sustainability Tiered Efficiency Program Make the most of your energy SM
  • 2. Our experts help you save energy and free up capital for reinvestment with EnergySTEP
  • 3. Take the next step towards a sustained energy efficiency program We’ll show you how Energy prices are rising. Budgets are shrinking. Strict energy regulations are being enacted by governments around the world. Sustainability is becoming an important part of business strategy. What’s the impact on your business? Increased pressure to adopt sustainability plans with measureable goals and results. You need to reduce energy consumption and optimize the performance of your people, your assets and your enterprise. How do you meet this challenge? Choose a partner that enables performance. Schneider Electric is the global specialist in energy management. We help customers around the world address the business, environmental and regulatory issues that drive their need for energy efficiency. Our solutions reduce carbon emissions and consumption of electricity, water, air, gas and steam, while improving business performance and employee productivity. Our Energy Management Services portfolio includes the Schneider Electric Energy Sustainability Tiered Efficiency Program, or EnergySTEP—a unique, scalable energy management service that enables you to easily align your energy savings goals with investment capabilities. EnergySTEP simplifies the often complex energy reduction choices that confront executives, by providing a straightforward, flexible solution that creates ongoing, measurable savings. EnergySTEP frees up capital that would otherwise be used for energy expenditures, allowing you to readily fund strategic initiatives that are vital for long-term success, while creating a measurable path forward for sustainability and environmental efforts. Make an impact on your environmental balance sheet • Adopt a clear plan that is simple to measure and communicate to stakeholders. • Reduce your carbon footprint and environmental impact. • Improve public, market and leadership efficacy perceptions of your company. • Instill pride in employees, who know that their company is taking real steps forward to conserve energy.
  • 4. Energy and operating costs You want a simple way to improve your bottom line Energy is typically your fastest growing expense, and it often consumes up to 30% of an operating budget. Energy is the largest controllable operating expense • Supply and labor costs are rising, while revenue and margins are shrinking • You want to preserve and increase the value of your company • You need to uncover hidden savings in your building to offset rising and unpredictable energy costs • You want to invest your assets wisely, with measurable ROI Energy and production costs You’re looking for ways to make productivity gains You’re in a competitive sector with strong pressure on profitability due to the rising cost of energy. Energy is having an increasingly significant impact on each product • You’re looking for a better understanding of your energy situation • You want to turn this constraint into an opportunity for growth Impact of energy costs on industry Split of Product Costs 100% Energy 15% 19% 23% Raw materials 80% R&D 35% Labour 60% 37% 40% 40% 15% 13% 10% 20% 35% 31% 27% 0% 2006 2008 2010 According to Sustainable Facility, energy makes up 30 percent of operating costs for the average company.
  • 5. EnergySTEP A simple, scalable approach to energy savings throughout the energy efficiency life cycle EnergySTEP is a tiered approach to energy efficiency, allowing you to align your savings goals with your investment capabilities. EnergySTEP allows you to save energy and reduce GHG emissions across the entire energy efficiency life cycle. Measure & analyse Passive Energy Efficiency Active Energy Efficiency Optimize through Monitor, Fix the automation & maintain, basics integrated control improve A proven methodology for energy efficiency Our structured process, professional software and worldwide network of energy experts help you generate both short-term quick savings and long-term energy management plans. We help you achieve sustainable savings that decrease your operating expenses and boost your bottom line. Identify potential savings • Increased visibility of your energy consumption • Benchmarking of your electrical equipment and installations Potential Savings • Energy savings solutions with estimated ROI report % of potential Efficient energy savings Invest to reduce consumption with proof of profitability A 0 • Prioritisation of your energy efficiency management plan B B 10% Target • Optimised tariff management and reduction of electricity bill C 20% • Reduction of CO2 emissions Initial D D 30% situation • Commitment to achieved savings E 40% Monitor and sustain savings F 50% • Monitoring of all energy sources G 60% • Key Performance Indicators (KPI) definition Inefficient • Real time monitoring and continuous improvement Solutions suited to your investment capacity • Detection of potential savings • Demonstration of proof of savings
  • 6. A baseline for performance measurement and verification For factual performance reporting to management and enhancement of your continuous improvement program Proof of efficiency: measurement and verification program • Prove and document the Return on Investment of your EnergySTEP solution by comparing energy use before and after the implementation of energy savings measures • Improve installation engineering, operation and maintenance • Manage energy budgets • Make your organisation aware of the savings • A transparent, all-inclusive, accurate, consistent and conservative plan compliant with the international IPMVP baseline (www.evo-world.org) Follow-up of energy goals • Set energy use goals and targets for reduction • Technical and economic consumption reporting • Tools for building IPMVP Baseline adjustments Measurement and verification plan applied to energy efficiency investment Adjusted Baseline Energy n ductio Savings, or Energy Use Pro avoided energy use ed eas Incr Energy Upgrades Measured Energy Consumption Baseline Period Reporting Period Before After Every dollar I save in energy use goes right into the Gross Operating Profit. Hotel occupancy is very dynamic. If 60 percent of the hotel is vacant, I don’t need to run the systems there. — JoJo Estrada, Chief Engineer, Westin Resort Macau, China
  • 7. Schneider Electric solutions Implementation of full solutions for specific applications HVAC Energy • Optimization of flow rates, set points, schedules, combustion, and operating parameters • Variable speed technology to provide adaptive operation for all inductive motor loads • Commissioning and refinement of building automation systems for peak efficiency • Outside air controls to perfectly measure and deliver fresh air, minimizing excessive heating/cooling Indoor and outdoor lighting • Occupant sensing and scheduling for optimized run time • Motorized breakers for area- and time- specific control • Light level sensing integrated with dimming and window covering controls for customized interior light levels Power monitoring of water, air, gas, electricity and steam • Consumption that closely fits business needs • Examination of energy use during occupied and unoccupied times • Energy use analysis to discover opportunities for decreased demand, consumption, and cost • Power Factor correction to eliminate unnecessary distribution charges Positive cold refrigeration, process cooling, industrial water • Organisation of refrigerating power, leak detection, adaptation of operating pressure, peak efficiency • Measurement of flow rates, analysis of consumption and operating costs Compressed air • Detection of leaks and adaptation of operating pressure, efficiency • Measurement of flow rates, analysis of consumption and operating costs Behaviour and communication • Empowerment regarding the link between consumption and production • Best practices on the part of management, occupants, and operators
  • 8. A few EnergySTEP references Mining, minerals & metals Infrastructure: water treatment • Reduction of penalty for low power factor, • 30% saving achieved on a boosting and transfer pumping system thanks to capacitor banks system • Payback period < 2 years • Payback period < 18 months Data Centres Education • Power Usage Effectiveness (PUE) • 31% reduction in energy costs through central plant optimization, improved by 20% power factor correction, lighting control, expansion of energy management system, and more • Payback period < 12 months • 1.2 million USD annual savings • Payback period < 7 years Healthcare Green Buildings • Reduction of energy due to HVAC, lighting, • EnergySTEP applied to our offices, plants and corporate headquarters— chiller and control system upgrade a green building that has earned HQE Exploitation, NF EN 16001 and ISO 14001 certification • Water conservation measures • Roll-out of EnergySTEP program in more than 170 Schneider Electric • Energy management system facilities around the world: 10 to 20% energy savings achieved using • Payback period < 7 years the full set of solutions • Benchmark vision thanks to repeatable methodology © 2010 Schneider Electric. All rights reserved. Schneider Electric SA Headquarters: 35 rue Joseph Monier - CS 30323 F-92506 Rueil-Malmaison Cedex (France) Tel. : +33 (0) 1 41 29 70 00 Fax : +33 (0) 1 41 29 71 00 This document has been www.schneider-electric.com printed on recycled paper SERED106016EN.2 May 2011 as