The document discusses measurement and verification (M&V) of energy savings from efficiency projects. It provides an overview of the International Performance Measurement & Verification Protocol (IPMVP) and the key M&V options. The document also describes NSW government programs that support energy efficiency, including training, resources, and the Energy Savings Scheme (ESS), which creates energy savings certificates to help fund efficiency projects. Case studies demonstrate how M&V was used to quantify savings and evaluate projects under the ESS.

1. The Energy Measurement
& Verification Revolution
Patrick Riakos
Project Officer – Energy Efficient Business
Jeremy Tarbox
Project Officer – Markets and Finance

2. Overview
PRESENTATION TO ARA | HVACR ENERGY EFFICIENCY SEMINAR - 5 APRIL 2016 2
Support offered by the OEH Energy Efficient Business (EEB) Unit
Good energy Measurement and Verification (M&V) practices
Accessing the NSW Energy Savings Scheme (ESS)

3. PRESENTATION TO ARA | HVACR ENERGY EFFICIENCY SEMINAR - 5 APRIL 2016 3
http://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/BriefingBook44p/EnergyPrices
Energy Price Trend

4. Energy Efficient Business (EEB) Unit
PRESENTATION TO ARA | HVACR ENERGY EFFICIENCY SEMINAR - 5 APRIL 2016 4
Energy
conservation
measure
ECM identify
ECM
implement
ECM measure
& verify
Energy Efficient
Business program
Energy
auditing
Technical
support
M&V
Training, Support, Tool kits and Guides
Project Support

5. • Energy Management Basics
• Commercial Refrigeration
• Lighting
• Industrial Refrigeration
• HVAC Optimisation
• Energy Efficient Lighting
• Cogeneration Feasibility
• Building The Business Case
• Gas Efficiency
• PIAM&V training
5
Energy Efficiency Training
$200 metro, $100 regional
Customised courses
$2,000
PRESENTATION TO ARA | HVACR ENERGY EFFICIENCY SEMINAR - 5 APRIL 2016
http://www.environment.nsw.gov.au/business/energy-efficiency-training.htm
Energy Efficient Business (EEB) Unit

6. • Energy Efficiency & Renewable Finance Guide
• Industrial Refrigeration Gudie
• HVAC Optimisation Guide
• Energy Efficient Lighting + Calculight
• Cogeneration Feasibility Guide + Tool
• And more
6
Resources
Energy Efficient Business Program
PRESENTATION TO ARA | HVACR ENERGY EFFICIENCY SEMINAR - 5 APRIL 2016
http://www.environment.nsw.gov.au/business/energy-efficiency-guides.htm

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Latest Guide – Voltage Optimisation

8. 8
Case Studies
http://www.environment.nsw.gov.au/resources/business/160223CaseStudyIndustrialDrying.pdf
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9. NSW business support for energy efficiency
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10. Why Measure and Verify?
0
10000
20000
30000
40000
50000
60000
Month 1 Month 2 Month 3
TotalSiteElectricitykWh
2013 2014
PRESENTATION TO ARA | HVACR ENERGY EFFICIENCY SEMINAR - 5 APRIL 2016

11. International Performance Measurement & Verification Protocol (IPMVP)
Translated into:
 Bulgarian
 Chinese
 Czech
 Japanese
 Korean
 Polish
 Portuguese
 Romanian
 Russian
 Spanish
 Ukrainian
Most interest:
1. USA
2. Spain
3. Canada
4. UK
5. France
6. Mexico
7. Italy
8. Australia
9. Thailand
10.India
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12. The IPMVP
Energy
Savings
=
Base Year
Energy Use
- Post-Retrofit
Energy Use
+/- Adjustments
Key Terms
 Measurement Boundary
 Interactive Effects
 Routine and Non-Routine Adjustments
 Independent Variables
 Energy Model
 Baseline Period
 Reporting Period (Post Project/Operating/Verification Period)
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13. Option A:
• Retrofit isolation
• Key parameter measurement
Option B:
• Retrofit isolation
• Full parameter measurement
Option C:
• Whole facility
Option D:
• Calibrated simulation
IPMVP
IPMVP Calculation Options
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14. Comparing Apples with Apples
Source: OEH M&V Operational Guide
PRESENTATION TO ARA | HVACR ENERGY EFFICIENCY SEMINAR - 5 APRIL 2016

15. Comparing Oranges with Oranges
Baseline Period Post-Retrofit Performance Period
Adjustment Period
Retrofit
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16. The Energy Savings Scheme (ESS) – How does it work?
Energy
Users
Electricity
Retailers
EE Projects
Suppliers
Accredited
Certificate
Providers
Auditors
Brokers
IPART
ESCs
$$
Energy
Savings$
Office of Environment and Heritage (OEH) + Department of Industry (DoI)
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17. Where to find more information?
Energy Savings Scheme Website:
• http://www.ess.nsw.gov.au/Home
Accredited Certificate Provider (ACP) Directory
• http://acpdirectory.environment.nsw.gov.au/
Office of Environment & Heritage PIAM&V
• http://www.environment.nsw.gov.au/business/ener
gy-savings-scheme.htm
Out Performers Pty Ltd
• http://www.outperformers.com.au/
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18. Deemed Methods
• Commercial Lighting
• Business Appliances
• High Efficiency Motors
• Power Factor Correction
• Home Energy Efficiency Retrofits
• 1-for-1 Residential Downlight
Replacement
• Removal of Old Appliances
• Sale of New Appliances
Metered Baseline Methods
 NABERS Baseline
 Baseline Unaffected by Output
 Baseline per Unit of Output
 Normalised Baseline
 Aggregated Metered Baseline
Project Impact Assessment (PIA) Method
Project Impact Assessment with M&V (PIAM&V)
ESS Calculation Methods
Phased-out
Viable for projects with
smaller energy savings, or
limited data Viable for projects where savings
significant % of site load, and/or
good data available
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19. Commercial
Lighting
ESS Methods for Commercial and Industrial Sites
19
Appliances
for Business
High
Efficiency
Motors
Metered
Baseline
NABERS
Baseline
PIAM&V
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20. Choosing Appropriate Methods
20
Potential ESCs per Project
Complexity+CostofMethod
Lighting
PFC
PIAM
PIAM&V
MBM
 ESC Objectives
 Revenue stream timing
 Risk appetite
 M&V capacity
 Commercial models
 Project size / replicability
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21. • Many different methods available under the ESS
• Most applicable to complex projects is PIAM&V – closely linked to M&V best practice techniques
• Sub methods of PIAM&V are
• Forward Creation (optional annual top up)
• Annual Creation
Project Impact Assessment with Measurement & Verification (PIAM&V)
• PIAM&V Process Summary
• Create an M&V Plan
• Apply for accreditation or find an ACP
• Scope/Install metering
• Measure baseline data and generate model
• Install project
• Measure operating periods
• Conduct M&V Analysis to Verify Savings
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22. Case Study: Measurement Boundary – Refrigeration System
MMM
M
Abattoir
(consisting of
freezer rooms,
cold storage
etc.)
Condensers
Refrigeration
Compressors
M
M
MM
Production
Output: HSCW
Production
Input: Pigs
Electrical
Meter (NMI)
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23. Case Study: Regression Analysis
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Timestamp
Daily Energy
Consumption (MWh)
HSCW (kg)
1/09/2014 3.71 173405.30
2/09/2014 4.99 135952.30
3/09/2014 5.11 135288.30
4/09/2014 4.63 147786.80
5/09/2014 1.67 0.00
6/09/2014 1.86 0.00
7/09/2014 4.60 154601.60
8/09/2014 4.89 171043.30
9/09/2014 4.76 143471.60
10/09/2014 4.59 132748.60
11/09/2014 5.00 158249.20
12/09/2014 1.96 0.00
13/09/2014 1.49 0.00
14/09/2014 4.53 175802.10
15/09/2014 4.27 150670.80
16/09/2014 4.38 159550.30
Regression Statistics
Multiple R 0.92790124
R Square 0.86100071
Adjusted R Square 0.85107219
Standard Error 0.51389041
Observations 16
Coefficients Standard Error T-Stat
Intercept 1.86607889 0.253656399 7.356719187
X Variable 1 1.7725E-05 1.90335E-06 9.312354123
y = 2E-05x + 1.8661
R² = 0.861
0.00
1.00
2.00
3.00
4.00
5.00
6.00
0 50,000 100,000 150,000 200,000
ElectricityConsumption[kWh]
HSCW [kg]
HSCW vs. Electricity Consumption

24. Case Study: M&V and Financial Outcomes
Project Capital Cost $ 825,000
Annual Energy Savings (MWh) 264 MWh/year
Annual Energy Savings ($) $ 29,000
Simple Payback without ESC creation 28 years
Forward Creation Certificate Quantity 1,001
Forward Creation Certificate Revenue $23,000
Simple Payback with ESC creation 27.5 years
• Project drivers included:
– Age of existing system
– Risk to plant operations
– Energy savings
– Additional savings from heat
recovery (offset gas consumption
not included in scope of M&V)
Even projects that are not
primarily for energy efficiency
reasons can benefit from
certificate creation.
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25. Cold Storage Facility Case Study
-
5.00
10.00
15.00
20.00
25.00
30.00
35.00
40.00
-
10.00
20.00
30.00
40.00
50.00
60.00
22/11/201311/01/20142/03/201421/04/201410/06/201430/07/201418/09/20147/11/201427/12/2014
Temperature(degC)andOperatingHours(hrs)
ElectricityConsumption(MWh/day)
Date Stamp
Electricity and Independent Variable Relationship
Total Electricity Consumption (MWh) Ambient Temperaure (deg C)
Hours of Operation Project Capital Cost $ 375,000
Annual Energy Savings (MWh) 1,625 MWh/year
Annual Energy Savings ($) $ 146,000
Simple Payback without ESC creation 2.6 years
Forward Creation Certificate Quantity 8,257
Forward Creation Certificate Revenue $190,000
Simple Payback with ESC creation 1.1 years
• Cold Storage Facility operating
multiple small refrigeration systems
Savings achieved by:
• Improving part load performance:
– Variable head pressure
– VSD control of screws
– Evaporator VSDs
• Improving Refrigerant quality (ie:
reducing contaminants eg: oil, water)
Certificate creation reduced
simple payback time by 57%!
PRESENTATION TO ARA | HVACR ENERGY EFFICIENCY SEMINAR - 5 APRIL 2016

26. Ventilation Fan Case Study
Project Capital Cost $ 11,000
Annual Energy Savings (MWh) 148 MWh/year
Annual Energy Savings ($) $ 18,000
Simple Payback without ESC creation 0.6 years (7.2 months)
Forward Creation Certificate Quantity 1,666
Forward Creation Certificate Revenue $38,300
Simple Payback with ESC creation 0.2 years (2.4 months)
• Plant workshop requiring ventilation
for control of CO levels
Savings achieved by:
• Retrofitting a VSD to the existing fixed
speed fan
• Control loop via CO sensors in the
workshop
Small project but a big impact
on simple payback due to
large certificate return.
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27. • Split into two groups
• Discuss and identify:
– Measurement boundary
– Metering involved (and the cost)
– Independent variables
– Measurement time periods
– Expected Savings (%)
• Make sure you can justify your
answers.
M&V Exercise
Project 1:
 Commercial building
 BMS & HVAC Upgrade (controls &
AHUs)
Project 2
 Manufacturing site with chilled water for
processing cooling and climate control
 Chiller replacement (with associated
pumps)
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28. • End Consumers and Energy Users:
– Identify and choose an ACP
– Start baseline measurements ASAP
• Consultants, Project Developers:
– Identify and choose an ACP or
– Become an ACP
• Technology & Equipment Suppliers:
– Discussions with ACPs to identify who has an accreditation for your product
Question and Answer Session
Next Steps….
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29. More information
OEH Energy Efficient Business Unit
Visit www.environment.nsw.gov.au/business/
Patrick Riakos on 02 8837 6301
patrick.riakos@environment.nsw.gov.au
OEH Markets & Finance Unit
Visit www.environment.nsw.gov.au/business/
Jeremy Tarbox on 02 9995 5158
jeremy.tarbox@environment.nsw.gov.au
PRESENTATION TO ARA | HVACR ENERGY EFFICIENCY SEMINAR - 5 APRIL 2016