The document discusses energy management programs (EnMPs) and their importance for reducing energy use and costs in industry. It provides an overview of the Institute for Industrial Productivity's relevant research on EnMPs, including case studies of programs in various countries and guidelines for designing and implementing effective EnMPs. The key components of successful EnMPs are establishing energy management systems, while also providing drivers, incentives, and implementation support for companies.

1. INSTITUTE FOR
Industrial Productivity
Sharing best practices for low carbon enterprises e info@iipnetwork.org w iipnetwork.org
Pathways
to
Energy
Management
Programmes
-­‐
Gaining
through
Saving
IPEEC
pre-­‐sessional
workshop
EE
Global,
Orlando,
FL
Amélie
Goldberg
March
27,
2012

2. PresentaFon
overview
• About
IIP
• IIP’s
relevant
research
• The
IEA-­‐IIP
Policy
Pathway
• Energy
Management
Programmes
(EnMPs)
• Importance
of
drivers
&
implementaFon
support
• The
Policy
Pathway:
10
steps
to
delivering
EnMPs
• EnMS
in
the
Supply
Chain
• Key
messages
and
Future
Pathways

3. IIP
at
a
glance…
The
Ins(tute
for
Industrial
Produc(vity
provides
companies
and
governments
with
the
best
energy
efficiency
prac(ces
to
reduce
energy
costs
and
prepare
for
a
low
carbon
future.
• Sharing
and
disseminaFng
best
pracFces,
The
IIP
team
and
Strategic
Advisory
Group
including
bridging
the
gap
between
government
policy
and
industry
implementaFon
• PiloFng
scalable
projects
for
GHG
miFgaFon
• FacilitaFng
the
creaFon
of
innovaFve
financial
mechanisms

4. IIP’s
Relevant
Research
1. Promo(ng
EnMS
through
Programmes,
Incen(ves
and
Support
– Experiences
Denmark,
Sweden
and
Ireland
– Lessons
learnt
and
technical
assistance
for
EnMP
implementaFon
in
China
2. Policy
Pathway
–
IEA
&
IIP
Partnership
– Policy
Pathways
designed
to
help
implement
IEA’s
25
Energy
Efficiency
RecommendaFons
– Case
studies
of
good
pracFce,
involvement
of
internaFonal
experts
– Expert
Workshop
30
September
2011
– Publica3on
April
2012
3. Supply
Chain
Ini(a(ves
for
Industry
(forthcoming)
– Promising
method
of
sFmulaFng
energy
management
in
industry
– Challenges
and
opportuniFes

5. Decision-­‐makers
Ma]er!
Need
to
make
a
compelling
business
case
to
the
board
Produc(vity
gains
“sell”
Chief Technology Officer
“Do we know what energy efficiency
practices and technologies are
available?” Financial Director
Driver: knowledge Do we have the money to invest
and are we willing to spend it on
EE?
Driver: Financials
CEO
Are we committed to prioritize EE
above other investments?
Driver: Commitment
Source:
Ecofys
in
Reinaud
and
Goldberg,
2011
Marketing Director
Do the public and market demand
us taking EE measures?
Driver: Public and market Regulatory Affairs Officer
demand Does this government policy
require us to take EE measures?
Driver: Policy obligation

6. Co-­‐benefits
-­‐
a
significant
driver
for
companies
• Co-­‐benefits
o_en
exceed
the
value
of
energy
savings
• Including
co-­‐benefits
reduces
payback
Fmes
for
investments
Examples:
• Value
of
non-­‐energy
benefits
(NEBs)
equal
to
about
2.5
(mes
the
projected
energy
savings
for
the
installed
measures
(Hall
&
Roth,
2003)
• Inclusion
of
quanFfied
co-­‐benefits
in
an
energy-­‐conservaFon
supply
curve
for
the
US
iron
and
steel
industry
doubled
the
poten(al
for
cost-­‐effec(ve
savings
(Worrell
et
al.
2001
&
2003)
• An
iniFal
cost
of
$5000
in
consulFng
fees
for
purchasing
a
three-­‐fan,
variable
inlet
valve
controlled
system,
created
a
potenFal
incremental
annual
revenue
$375
000
for
Alcoa.

7. Policy
Pathway
Overview
• What:
DefiniFons
• Why:
Importance
of
managing
energy
in
industry
• Role
of
energy
management
programmes
• How
to
design
and
deliver
energy
management
programmes

8. Energy
Management
Programmes
-­‐
DefiniFons
Link
to
policy
• Target-­‐sehng
policy
• Mandatory
EnMS
package
Drivers
&
• Policy
exempFons
IncenFves
• Subsidies
/
Tax
rebates
• Public
reporFng
• External
RecogniFon
• Networking
• Workshops
Support
• Direct
technical
assistance
• Tools,
training
Energy
• Standard
or
specificaFon
Management
• EnMS
incl.
Energy
review
guidelines
• CerFficaFon
or
verificaFon
Systems

9. Why
Energy
Management?
=>
Save
Energy
and
Realise
Co-­‐Benefits
Why
EnMS?
• Overcome
a
range
of
barriers
to
energy
efficiency
• Measurement
of
baseline
energy
use,
energy
reviews,
KPIs,
etc.
• ConFnuous
idenFficaFon
of
energy
saving
opportuniFes
&
implementaFon
• Involvement
of
top
management
and
staff
Why
EnMPs?
• Energy
saving
acFons
in
industry
are
relaFvely
cost
effecFve
• EnMPs
can
be
linked
to
and
support
policy
objecFves
e.g.,
energy
security
• Isolated
adopFon
of
EnMS
may
lead
to
varying
degrees
of
quality
and
durability,
and
low
up-­‐take
• Overcome
company
barriers
to
the
implementaFon
of
EnMSs,
and
provide
guidance
and
support
for
the
implementaFon
process

10. “EnMS
+”:
ImplementaFon
Mechanisms
• EnMS
is
the
cornerstone
of
an
EnMP,
but
other
EnMP
components
are
necessary
to
achieve
energy
savings…
• Energy
review,
benchmarking
and
technical
tools
assist
in
idenFfying
EE
opportuniFes,
defining
targets
and
key
performance
indicators
(KPIs)
within
their
EnMS.
• Some
may
be
complementary
requirements
• Direct
programme
and/or
technical
assistance
• Case
studies
showing
peer
experience
• Guidance
materials
• Workshops,
networks
and
other
fora
for
best
pracFce
exchange

11. Country
example:
Sweden
voluntary
PFE
agreement
Drivers
&
• Rebate
from
carbon
tax
• External
recogniFon
(case
IncenFves
studies)
• Manuals
on
energy
reviews,
LCC
and
procurement
Support
• Networking
and
workshops
• Direct
technical
assistance
Energy
• EN
16001
(transiFon
to
ISO
Management
50001)
standard
• EnMS
CerFficaFon
Systems

12. Country
example:
Australia
Energy
Efficiency
OpportuniFes
• EEO
is
mandatory
Drivers
&
• Public
and
government
reporFng
IncenFves
• External
recogniFon
(case
studies)
• Industry
Guidelines
Support
• Industry
Support
Officers
• Annual
workshops
Energy
• Assessment
Framework
(EnMS
Management
specificaFon)
• Government
verificaFon
Systems

14. EnMS
in
the
Supply
Chain
What
is
the
role
of
EnMS
in
supply
chain
ini(a(ves?
• Successful
examples
of
large
buyers/retailers
engaging
their
manufacturing
base
in
energy
or
GHG
saving
acFviFes,
e.g.:
• Ikea
audits
and
capacity
building
with
its
manufacturing
suppliers
(partnership
with
WWF
Climate
PosiFve
OpportuniFes
for
Suppliers)
• Ford
and
SKF
require
suppliers
to
be
ISO
14001
cerFfied
• IIP
Database
on
Supply
Chain
IniFaFves
for
Industry
(April)
• ISO
50001
–
an
internaFonally
recognised
a
framework
for
organisaFons
to
encourage
suppliers
to
be]er
manage
energy

15. Key
Messages
and
Future
Pathways
• EnMS
is
a
tool
to
change
behavior,
processes,
technologies
• EnMS
can
enable
significant
co-­‐benefits
to
be
uncovered
• Need
to
speak
the
same
language
as
C-­‐level
to
encourage
uptake
• Communicate
benefits
and
costs
for
companies
• Need
EnMS
+
• Government
policy,
such
as
EnMPs,
and
enabling
finance,
can
have
a
key
role
in
promoFng
EnMS
• EnMS
has
a
role
to
play
in
corporate
Supply
Chain
Ini(a(ves
• What
role
for
government
agencies
in
promoFng
SCI?

16. INSTITUTE FOR
Industrial Productivity
Sharing best practices for low carbon enterprises e info@iipnetwork.org w iipnetwork.org
Thank
you!
IIP
Amelie.goldberg@iipnetwork.org
Julia.reinaud@iipnetwork.org
IEA
Vida.Rozite@iea.org
Lisa.Ryan@iea.org
Jungwook.Park@iea.org