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OCtober 2016

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6 Local Mayor Officially Opens New State-of-the-Art ‘Schoolhaus’ INSIDE THIS ISSUE:

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Brexit and smart buildings: looking beyond energy efficiency

Trend BMS improves heating control and comfort at Wakefield Town Hall

The Elephant in the Room


FRONT COVER STORY:

OCtOber 2016

www.energymanagermagazine.co.uk

Local Mayor Officially Opens New State-of-the-Art ‘Schoolhaus’ See Page 6

october 2016

6 Local Mayor Officially Opens New State-of-the-Art ‘Schoolhaus’ INSIDE THIS ISSUE:

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Brexit and smart buildings: looking beyond energy efficiency

Trend BMS improves heating control and comfort at Wakefield Town Hall

The Elephant in the Room

INSIDE:

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Is going off-grid really better for the environment?

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Sink or Swim: How to manage the Big Data Flood

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The UK’s ageing power infrastructure just can’t take the heat

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Is heat transfer technology failing British industry?

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Water quality in communal heating systems

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Water deregulation could lead to great savings for business

All contents © Energy Manager Magazine 2014 ISSN 2057-5912 (Print) ISSN 2057-5920 (Online)

Energy Manager Magazine • october 2016




News

University research could herald new energy management solutions

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eesside University is to lead a pioneering multi-million pound EU research project into how blocks of buildings can use intelligent electricity systems to maximise energy efficiency. DR-BOB (Demand Response in Blocks of Buildings) is being headed up by the University’s Technology Futures Institute, and involves nine EU partners. It will demonstrate the economic and environmental benefits of intelligent electricity systems in buildings which can adapt to fluctuations in demand. The University will pilot a new energy management system which can adapt in real-time to levels of local energy production, consumption and storage, with the aim of saving money and minimising harmful emissions. The DR-BOB solution will combine existing technologies to provide an innovative cloud-based central management system, supported by the real-time energy management solution which communicates with generation and storage systems in blocks of buildings. This project aims to tackle inefficiency in

energy systems caused by utility companies generating enough to meet large peaks in demand, most acute in the electricity sector, where energy cannot be easily stored. Utilities traditionally meet demand by controlling the rate of electricity generation, which is complicated by the introduction of renewable energy, which depends on variable weather conditions. Demand response programmes which use electrical equipment more efficiently and can store energy within blocks of buildings have the potential to keep energy bills low and integrate renewables into energy networks. Professor Nashwan Dawood, Director of the Technology Futures Institute within the School of Science & Engineering at Teesside University and coordinator of the DR-BOB project, said: “We are delighted to head up this prestigious research project at Teesside University, working with other EU institutions to tackle this timely issue. “Trialling this innovative new approach to meeting electricity demand here on Teesside is a wonderful opportunity for our University to play its part in tackling the

great energy challenges of the future.” Dr Tracey Crosbie, the project dissemination manager, added: “The DR-BOB project builds on our track record of successful international research funding. In particular a ground breaking EU project on demand response we led and delivered at the end of 2015.” Dr Vladimir Vukovic was instrumental in the development of the project. He said: “The project arises from the longstanding cooperation Teesside University has with a number of blue chip companies, such as Siemens UK, which is the key industry partner and technology provider in DR-BOB.” Teesside University aims to become one of the country’s most environmentally friendly institutions. The Curve, the £20m landmark teaching and learning building at the heart of its Middlesbrough campus, was recently rated ‘Excellent’ under the BREEAM standard for its environmental quality and sustainability. For more information on the DR-BoB project visit www.dr-bob.eu

LOGSTOR announces UK stockist for its Flexible Pipe range

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OGSTOR, the world leader in pre-insulated pipe systems for district heating and cooling has announced Maincor as an approved stockist for the Flextra range of pre-insulated pipes. Maincor is an independent UK company, specialising in solutions and systems for plumbing, heating, underfloor heating, as well as specialist pipe products for boiler and white goods manufacturers that meet a range of quality, service and performance standards. Logstor’s innovative pre-insulated products have gained international recognition for the low insulation values and quality systems they provide. This recognition has led to accelerated growth in the UK and a number of large-scale projects with the UK’s foremost energy and utilities companies. The range of Logstor products available from Maincor includes both heating (PexFlextra) and hot water (SaniFlextra) pipe solutions. The systems are ideal for connecting buildings to external renewable heat sources such as heat pumps and biomass boilers. The extremely low heat loss of both types of Flextra pipe, means that hot water or heating water can be



supplied into the buildings from the heat source maintaining the water temperature, ensuring a high level of energy efficiency, and saving money on running costs for the end user. Pipe is available in single or twin internal pipe configurations. The corrugated outer casing has a built-in LOGSTOR diffusion barrier (EVOH) to maintain the heat retention efficiency of the Flextra Pipe system throughout the entire service life. The product’s improved flexibility stems from a unique combination of the new corrugated outer casing and a newly formulated softer cellular insulation foam. Flextra Pipe is simple and fast to install making it ideal for use in projects with curves, or with a high number of obstacles on site. Flextra pipe is suitable for a wide range of building types including domestic and commercial projects in both new build and refurbishment applications. It can be installed with the minimum amount of

Energy Manager Magazine • October 2016

disturbance to the local area – the small bend radius allows it to work around existing buildings and natural features, making it ideal for even the most congested of sites. The benefits of using Logstor pipes and band joints offer a robust and 30+ year maintenance and operation guarantee. LOGSTOR uses both external and in-house testing facilities to measure and control the insulation values of its pipes. This robust and transparent testing proves the insulation values obtained for all products are significantly better than demanded for pre-insulated pipe systems and the built in diffusion barrier ensures the quality is the same over the lifetime of the network. In addition, the single components of LOGSTOR pipes are designed with the aim to ensure easy and fault free installation. Visit www.logstor.com or follow us on Twitter @LogstorUK


News

Time for Facilities Managers to de-risk flexible energy purchasing

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ecent ten-year high power prices caused by tight supply margins illustrate the need for facilities managers to de-risk flexible energy procurement, advises Magnus Walker, Director of Trading and Risk for Inprova Energy . During mid-September prices on the day-ahead over-the-counter market increased to £135 per MWh. This is the highest level in ten years. The price spike was largely attributed to reduced generation following unplanned outages at key coal and nuclear plants, together with low wind generation and increased air conditioning consumption, due to unseasonal mild September weather. As such, more expensive forms of power generation were required to balance the system during peak demand. “Such price swings underline the importance of managing flexible energy

purchasing within the parameters of a robust risk strategy to navigate inevitable market turbulence”, says Walker. “Historical data suggests that, generally speaking, the energy buyer would achieve a cheaper unit rate through purchasing volume on a Day-ahead basis as opposed to annually, but this type of contract is incredibly sensitive to short-term generation and demand issues, and is a perfect illustration that buying volume on a Day-ahead basis can very quickly catch out the energy buyer.” He advises: “ It’s easy to panic and make ‘emotional’ decisions in response to price spikes, which can be a a big and costly error of judgement. A good risk management system and a trading strategy is essential to limit potential losses. This will identify the risks to be measured and valued, the company’s objectives and risk limits and the amount the buyer is prepared to lose.

“Day-ahead should be utilised alongside other contracts such as, forward-month, quarter, season etc. thus ensuring a more balanced, and ultimately less risky hedging strategy.” Walker adds: “What is certain is that recent supply issues will not be a one off event. There are on-going concerns over the UK power system’s ability to deal with peak demand periods, particularly this winter. National Grid has forecast exceptionally tight margins for the Winter, making it likely that premium price contingency reserves will need to be used to keep the lights on.” Inprova Energy has published a free eGuide: ‘Playing the Energy Lottery: How to Manage Risk’. www.inprovaenergy.com

BREXIT HITS ENERGY EFFICIENCY INVESTMENT INDUSTRY CALLS FOR GOVERNMENT ACTION

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he latest issue of the UK Energy Efficiency Trends report (Volume 16) shows that energy efficiency suppliers are already feeling the effects of the Brexit decision. And while energy efficiency consumers are yet to experience a material downturn, most consider it to be a matter of time before prices rise and investment slows. More than half of suppliers (56%) considered that the decision to leave the EU had already negatively impacted their business, with only 35% reporting ‘business as usual’ following the referendum result. By contrast, 73% of consumers said that it remained ‘business as usual’ following the referendum, although 25% reported either a minor or major impact on their energy saving investment plans. Over the next 12 months, half of all supplier respondents said the UK exit would lead to reduced levels of customer demand, with 29% also expecting their overheads to rise, and 29% expecting cuts to their own business investment. Their consumer counterparts were anticipating a rise in costs, with 55% expecting an increase in energy prices and 32% expecting higher energy efficiency technology costs. In negotiating the UK exit from the EU, six out of every 10 suppliers considered

that energy-related regulations should be retained in full, with 35% preferring some revision and scaling back. Only 3% of suppliers consider that EU-derived regulation should be entirely removed from the UK statute book. When asked the same question, only 6% of consumers felt that EU policy & regulation (as it relates to energy efficiency) should be removed entirely; 55% considered it should be revised and scaled back; 39% that it should be retained as it is. When asked what needed to happen in the wake of the Brexit decision, consumers responded with a call for government to take action to reduce economic uncertainty, to focus on UK energy security and driving energy efficiency. ommenting on the findings, Ian Jeffries, Director at EEVS, said: “Last quarter’s survey results were clear on the Brexit issue; respondents felt strongly that the energy efficiency sector would be best served if the UK remained in the EU. With the UK electorate having taken the contrary view, we’re now seeing what that means for our sector, in the short term at least. “Perhaps unsurprisingly, respondents were uncertain about what the real, longerterm outcome would be. But one thing that they are clear about is that in the short term it looks pretty bleak, with many expressing concern around how it will

impact energy saving activities and investments, whether it be a cooling off of customer demand for suppliers, or higher technology and installation costs for consumers. “The sector-wide outlook has certainly dampened, with confidence falling on both sides. The industry-wide view is clear; political and economic certainty and business confidence - must be restored quickly to reverse the downturn that is broadly anticipated over the coming months.”

About the report Compiled from the results of a confidential, quarterly consumer and supplier survey, the UK Energy Efficiency Trends Report evidences industry trends and has become one of the sector’s leading sources of market intelligence. The report is delivered by a research partnership between EEVS and Bloomberg New Energy Finance, and is supported by Bird & Bird, Bellrock and Minimise Energy. Download the full report here: www.energyefficiencytrends.co.uk

Energy Manager Magazine • October 2016




News

LOCAL MAYOR OFFICIALLY OPENS NEW STATE-OF-THE-ART ‘SCHOOLHAUS’ On Friday 9th September 2016, the Mayor of Kirklees officially opened Boothroyd Primary Academy’s new ‘Schoolhaus’ eco-classroom

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he Dewsbury-based academy is the latest recipient of UK Energy Partners’ sustainable classroom solution called Schoolhaus. This new Schoolhaus building is so ultra-energy-efficient that it will cost the academy nothing to heat and light over its 60-year design life, and the eco-classroom will generate clean energy and revenue for the school through its solar PV roof - the school’s energy generation revenue plus saved fuel costs will total: £2,295 a year. And the annual Feed-in Tariff from the solar roof will total: £883. This building will produce five times the amount of energy that it consumes. This is the first Schoolhaus to be built in Yorkshire,



and this 152 m² double classroom will be Yorkshire’s most energy efficient school building. The Mayor of Kirklees, Councillor Jim Dodds began the proceedings by cutting the ribbon to open this new sustainable learning environment. The day was followed by songs and poems from pupils at the school, as well as coffees, teas and pastries, and a building tour and presentation from the designers and builders of the Schoolhaus, UK Energy Partners. Presentation boards showed the build from its off-site factory beginnings through to its completion on-site at the school. The boards were set out on easels in sections around the classroom from factory, to foundations, to on-site completion, and the lead project manager

Energy Manager Magazine • October 2016

from UK Energy Partners walked the attendees around the room whilst explaining each section. The gloriously sunny morning was well attended, including governors from the school, directors and the CEO of the school’s Multi-Academy Trust (the Focus Academy Trust), pupils, staff, teachers and the principle from the school, as well as senior leaders from surrounding schools interested in these new buildings, and architects. This Schoolhaus additionally contains two storerooms and washroom facilities, and is an exceptional new teaching space; set to have zero running costs. The school plan to use their new eco-classroom to help teach the children about sustainability.


Opinion

what does the future hold for fracking in the UK?

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tanker carrying 27,500m3 of ethane from US shale fields has recently reached Grangemouth, the site of Ineos’ petrochemical plant in Scotland. The company, who has invested £1.6bn in a virtual pipeline between the US, the UK and Norway, said the gas would help secure the future of the plant’s 1,300 workers. Ineos argues that, in the face of global competition and with North Sea ethane supplies declining, US shale shipments will provide sufficient raw material to run its olefins and polymers business in Grangemouth at full rates, something that has been impossible in recent years. Counter to the UK government’s pro-fracking stance, the Scottish government placed a moratorium on all fracking on Scottish soil while waiting for the findings of a study into its impact on the environment. It’s therefore no surprise that many Scottish politicians criticised the shipment. Following the lifting of a ban of US oil and gas, seaports in Portugal, Spain and Norway have taken delivery of US shale shipments this year. The arrival of the Ineos cargo is the first in the UK but will it be the last?

Fracking in the UK Only last year Cuadrilla Resources, one of the main shale development pioneers in the UK, was refused permission to explore the Bowland Basin regardless of the fact that 2,281 trillion cubic feet of shale gas are estimated to be contained within this area. Despite the original planning officer’s recommendation to grant permission to proceed with exploratory drilling at Cuardilla’s Preston New Road and Roseacre Wood sites, and the fact that Cuadrilla assured it could reroute traffic, the application was rejected. Lancashire Council’s Development Control Committee cited an increase in both noise and traffic as the reasons for turning the application down. Additionally, the many anti fracking demonstrations extend the already lengthy time authorities take to grant permission to drill at a particular site. The Cuadrilla decision for instance, took 15 months to be made since its initial submission which makes it very difficult for companies to plan and invest.

As the first US shale gas arrives in Scotland and the UK government approves fracking in Lancashire in a landmark ruling, Michael Hinton, Chief Customer Officer and Senior Vice President Products and Solutions at Allegro Development looks to the future.. However, Cuadrilla appealed the LCC’s refusal to grant planning consent at Roseacre Wood and Preston New Road. Additionally, the UK’s Communities Secretary said back in November 2015 that he would decide the appeals after a public inquiry. This week, the government has given fracking in Lancashire the go-head. Additionally, not long ago Island Gas Limited (iGas) was granted planning permission to drill four exploratory groundwater monitoring boreholes in Nottinghamshire. The drilling may be used to support a future fracking application. It looks like the end is not here yet for the UK shale industry as there still seems to be this sector’s supporters within the UK government in favour of starting exploration.

Anti-fracking arguments Environmental campaigners in Scotland are citing ‘the devastating local impacts of fracking and the utterly disastrous climate consequences of extracting yet more fuel’. If we look at the whole of the UK, while domestic shale gas industry is on the government’s agenda, some departments that the government controls are putting a spanner in the works in spite of its attempts to win public support. In July 2015, at the request of the Information Commissioner’s Office, the Department of Environment, Food and Rural Affairs (Defra) published the details of an internal report into fracking which highlights several concerns and which has therefore put the government in an awkward position. One concern is the fall in house prices in areas near shale gas exploration sites. Another concern is that the cost of rental properties near fracking sites could be pushed up by people coming to work at

them. There is also the likelihood of greater insurance costs for properties located up to five miles from a fracking site, in case of explosions. While these anti fracking arguments may all be valid, there is no data to back them. What we do know is that there is no evidence of falling house prices near oil and gas sites. As for the issues around noise, traffic and the visual impact of shale gas sites, these can be applied to any construction site, be it a block of flats, a shopping centre or a shale gas site. In all instances, the noise, increased transport and landscape will go back to previous levels. While the concern around house prices would have to be looked into in more detail, the issue about noise and traffic can be appropriately managed to ensure minimum disruption.

Conclusion Unfavourable planning decisions are not exclusive to the shale gas industry. Planning cycles for both the wind and nuclear power industries dragged on for years. Onshore energy production has historically always met approval challenges due to local decision-making, national policies and public opinion. Shale has the potential to diversify the UK’s energy mix and minimise our dependence on dominant suppliers. It also promises to boost employment, create investment opportunities and move us off the current path to increased coal consumption. We don’t know whether domestic and European shale production can ever have the same impact as in North America but, to find out, exploration needs to be given a chance.

Energy Manager Magazine • October 2016




Opinion

Is going off-grid really better for the environment?

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f rising global temperatures worry you, you’re not alone. Frustrated that fossil fuels still account for around 80% of the world’s energy consumption, thousands of homes have invested in combined solar-battery storage systems. And that figure is expected to grow to 1 million in Australia alone by 2020. But is going off-grid really the most sustainable choice a consumer can make? As renewables become affordable, more and more people are cutting their wires and adopting a minimalist lifestyle – particularly in rural areas where the cost to connect to the grid is high. For city dwellers, however, powering our lives in this manner isn’t cost-effective given the home-ground (i.e. ‘sunk cost’) advantage the existing grid has over emerging technology. Living off the grid and expecting the same reliability (99.999%) requires a huge amount of equipment, even for one household. A reliance on the sun and limited battery storage makes it difficult to meet typical evening peak energy needs unless you’re happy to go without a television, a fridge and washing machine. Today’s batteries last 10 years before

needing to be replaced… and then discarded. With the carbon impact of manufacturing, supplying and disposing of these batteries – how environmentally friendly is this, really? All the while, the rest of us who are still connected to the grid are reducing our energy consumption by changing wasteful behaviour and using energy-efficient appliances. For energy utilities, this means an oversupply of capacity and lower revenues. Big spending on distribution system upgrades in the last decade has compounded their woes. It’s time to accept the fact that the energy industry has been disrupted. If the trend towards going off-grid continues, are we dangerously close to setting off a chain of events whereby existing assets become white elephants – stranded and worthless? Or is there another way? What do smart businesses do when they’ve been disrupted? They go back to the drawing board and find a way to disrupt the disruptors! Have we reached a tipping point for utilities to start repurposing the grid and changing their business model? People are likely to continue installing solar cells, even as government subsidies reduce, until such time as the grid decarbonises. If the grid doesn’t use fossil fuels, then there is limited incentive for people to move to household level renewables. Founder of Global Sharing Week, Benita Matofska says: “Traditional businesses can either fly-the-flag for the status quo and go down with it, or they can be smart about it and enable a new way of thinking, living and doing sustainable business. Those who do will survive and thrive.”

This glimpse of the future was crafted by Victor Young Just one of the opportunities for energy utilities derives from the notion that household renewable assets needn’t always be consumer-owned. Companies like SolarCity are emerging, which provide solar panels that you can lease rather than buy. Should energy utilities focus on looking for ways to work with start-ups to facilitate the roll-out of solar and storage at scale? And who said that the renewable energy generated by each household can’t be shared? Imagine subscribing to energy via a sharing platform and using an app to trade energy with other people and businesses. To make this future smart city scenario possible, we need to continue to invest in emerging technologies, to commercialise the ones that show promise, and to optimise the ones we already know work well. Tesla’s PowerWall is today’s high profile home battery storage product, but there’s no shortage of players lining up to compete, ultimately putting downward pressure on costs, which will drive further mass market appeal and adoption of these smart solutions. And let’s not forget the power of community… we need only look at today’s smartest cities for inspiration. The successful citizen solar power plants initiative – a partnership of Vienna, Austria and Wien Energy – offered locals the opportunity to invest in the city’s solar plants to help achieve its renewable energy objectives. The switch to renewable energy has already been flicked. Smart utilities that are willing to drive change toward a cleaner future will prosper – but it’s going to take the turning off of a lot of old paradigms to do so. Aurecon has launched a new futuristic blog! Called Just Imagine it provides a glimpse into the future for curious readers, exploring ideas that are probable, possible and for the imagination. This post originally appeared on Aurecon’s Just Imagine blog. Get access to the latest blog posts as soon as they are published by subscribing to the blog. http://justimagine.aurecongroup.com



Energy Manager Magazine • October 2016


Opinion

What’s in a name? Andy Clarke, CEng, MIGEM, MEI, FEMA, Chartered Energy Engineer, 2nd Row Camp Hill RFC ret’d

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’ve been called a lot of things in my life so far – and some of them have been polite. On the sportsfield as a rugby player I was a forward -also known as a “grunt”, a donkey or a piano-shifter. (we also got called the “real men” or the “grafters” but mainly by other forwards!), In comparison the backs, whose silky smooth running skills, got them named the “girls”, the “fairies” and the piano-players. Rather an arbitrary separation (and somewhat politically incorrect) as I was known to out step backs and outrun them sometimes and I’ve met a few of the “girls” who could knock me flying. (I will admit that sometimes my “dummy and step” was offered as an excuse to smaller players for them to avoid suffering the impact of what is now known as a “Samoan Sidestep”- I suspect a lot of them could still have made a tackle if they really wanted to….) I’m also an engineer – a Chartered Engineer and I have certificates from the Engineering Council, The Institution of Gas Engineers and Managers and the Energy Institute to prove it. The trouble is that the public don’t understand the difference between a qualified “Engineer” and those who gets their hands dirty working for them (although most of us who hold C.Eng (T.Eng or I.Eng) will wade in when needed). As a Gas Engineer I get asked to look at people’s boilers. Explaining that I can’t legally work directly on someone else’s appliance (even though I tutored CORGI inspectors) because I don’t hold a “Gas Safe” registration and the relevant City & Guilds qualifications, usually causes consternation. That reminds me of one time that I applied my practical experience of the installation, maintenance and repair of commercial appliances. My employers had an FM contract for a supermarket group and one of the buildings, heated by a warm air system, was experiencing repeated breakdowns that no-one seemed able to solve. I took along a service engineer to do the work while I observed and advised. Well the inevitable happened and I’m up to my armpits in the heater when he asked “Why do you need me?” my reply was that, apart from his tools I needed his CORGI registration. What could I do when he

replied that he didn’t have one, bearing in mind that the heater was now in bits? Interestingly my title at that time was Business Development Manager -not really fitting the circumstance. One thing that I know annoys qualified engineers is the inability of the press to understand the difference between Professional Engineers and manual and semi-skilled workers in engineering operations. Headline like “Engineers get pay rise” when they really mean Engineering WORKERS may help explain the low standing of the Engineering Profession in the UK in comparison to, for example, Germany. I’m also an Energy Manager (I actually don’t have a certificate for that but I do have one as a Chartered Energy Engineer and I’m a Fellow of the Energy Manager’s Association so I think I can claim that) and that title is widely abused as well. I believe an Energy Manager should be someone who has the technical understanding of how energy is consumed, how to measure it and to identify and implement measures to control wastage (and hopefully get the opportunity to MANAGE Energy!). Others however seem to differ. One company I worked for (for a mercifully short period) advertises regularly for “Energy Managers” (their turnover is very high) when the post is actually outgoing telesales (at least they’re trying to sell energy brokerage services) and most of them wouldn’t know a Therm from a Kilowatt so I can’t really accept that they qualify for the title! (I actually experienced that confusion when selling gas for a living. I was told by a consultant that the keen price I’d tendered was “well out of the ballpark” because a competitor had offered a MUCH lower price. Analysing the price, I was able to tell the consultant that he should “take their hand off” because the charge was less than the transportation costs to the site so they were actually selling for a negative return. The consultant came back to me a couple of days later because the competitor had withdrawn their offer – they’d read the kWh figure as therms increasing the load by almost 30 times!) Another previous employer has someone with the title “Energy Manager” who has no technical ability at all but he

can analyse consumption patterns to a high level. Trouble is without understanding how the energy is being used and what could be causing the anomalies he identifies, there is no benefit to the end user as no changes get made to improve efficiency! I’ve also heard of “Energy Managers” who I’d classify better as “Energy Champions” or “Energy Wardens” (– not that I don’t have the greatest of respect for those people who take on the role of seeking out opportunities in their own locale, some I’ve known have been very capable indeed- ) with little more capability or responsibility than being a modern day Warden Hodges yelling “Turn that Light Out!”. That is not really an Energy Manager. I do however also have the greatest respect for those who do not have the title “Energy Manager” (or even “Environmental, Sustainability, Resource or Efficiency” Manager) but actually take proactive steps using their skills and abilities to reduce energy wastage and consumption. Can I suggest that to be an effective controller (and hopefully reducer) of energy requires a strange mix of technical ability, analytical skill, diplomacy, management and sales/marketing talent? The test I would always offer is “Can this person reduce my energy consumption?” Does he or she understand how to do that? I think having an appropriate qualification (like Membership of the Energy Institute, Chartered Energy Engineer, Chartered Energy Manager or Certified Energy Manager or Membership of the EMA) along with relevant experience, provides confidence and assurance of quality. Perhaps we should define minimum standards for professions – Oh they do! So maybe it should be an offence to use a professional title if you don’t have the qualification – I’m an unqualified solicitor….

Energy Manager Magazine • October 2016




Opinion

Brexit and smart buildings: looking beyond energy efficiency

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K environmental policy has come a long way in the last forty years. Once colloquially known as the ‘Dirty Man of Europe’, Britain’s policy makers were renowned for their purely reactive rather than forward-thinking approach to environmental protection, only drafting policies to combat existing and serious problems. It’s possible that attitudes would have changed independently as environmentalism became a more mainstream concern, but it was the UK’s membership of the EU in 1973 (then the European Economic Community) that brought many directives into place for the first time, including those on the energy efficiency and environmental impact of buildings. On the face of it, then, the recent ‘Brexit’ result could have a significant knock-on effect for energy efficient building projects, particularly the growing interest in self-regulating ‘smart buildings’ and networked Internet of Things (IoT) devices. There might not be such a clamour for investment in long-term projects to regulate temperatures and turn off lights at a time of economic unrest. But what

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tangible impact will this have, and is there more to smart buildings than saving energy?

What is the current government’s position on energy efficiency? The UK government has clashed with EU interests on many issues in the past, and environmental protection is no different. In 2011’s autumn statement, chancellor George Osborne slammed ‘green directives’ as an unnecessary and costly burden on businesses. He even went as far as to offer £250m in rebates to the country’s most energy intensive companies. This was followed in 2012 by a successful UK-led push to lower EU Energy Efficiency Directive (EED) targets from a 20% improvement in efficiency to 17%, and the downscaling of the Energy Efficiency Partnership for Buildings (EEPB). On paper, leaving the European Union frees the UK from much of this legislation, including the EED, Renewable Energy Directive (RED) incentivising renewable energy generation, and Energy Performance of Buildings Directive (EPBD)

Energy Manager Magazine • October 2016

setting high efficiency targets for new building projects. And recent policy decisions aren’t much more promising, with the scrapping of Green Deal subsidies for efficiency improvements in 2014, and cuts to solar panel incentives after the most recent general election. With popular rhetoric around EU ‘red tape’ and more pressing concerns of appeasing worried business owners and investors, there’s enough evidence to suggest that the UK government may put energy efficiency on the backburner.

Why smart buildings are about more than saving money One of the primary considerations when investing in smart buildings and IoT devices is often the conservation of resources. But smart buildings have an influence on more than just spreadsheets. The importance of saving energy shouldn’t be underestimated, but statistics show that companies spend ten times as much on real estate as energy, and 100 times more on the workforce. Through all the best laid plans and efforts to cut costs, happy


Opinion employees drive successful companies. The network of sensors in smart buildings are an easy and innovative way for businesses to tailor the working environment to each individual’s preference and needs. Optimising the workplace to your employees could be a potential gamechanger for productivity and job satisfaction across a broad range of industries. Research published in the Harvard Business Report demonstrates that ‘knowledge workers’ given a degree of control over when, where and how they worked “were more likely to be satisfied with their jobs, performed better, and viewed their company as more innovative than competitors that didn’t offer such choices.” Facebook is used as an example of a business that allows employees to tailor their working environment, with adjustable office layouts, desk heights and configurations, as well as the availability of services facilitating time and life management. The proliferation of smart buildings and ongoing improvements in sensor technology and learning algorithms hint at a democratisation of the technology. These improvements are no longer the preserve of high-end tech companies, but something that could soon be a common-sense solution for businesses in the digital age. From locating and designating free

conference rooms on the fly to intelligently sharing data across rooms and devices, the capabilities of smart buildings are extending beyond just regulating the physical space, and into a seamless network of the people and devices within it.

Keep calm and carry on conserving Despite prevailing government policy, there may still be a considerable incentive for both businesses and government to prioritise energy efficiency. In the worst case scenario, the UK’s removal from schemes like the Energy Union project and a weaker Pound could lead to rising energy prices, making efficiency a far more pressing concern. Complacency about currently low energy prices is likely to be short lived. On the other hand, the government is likely aware of this threat, and as such may move to counter it, putting in place their own strict targets and funding for energy projects. In either scenario there remains a considerable economic imperative for businesses to improve the efficiency of their buildings, and for those providing smart devices to continue to flourish. It is also wishful thinking to expect that the UK can avoid all of its promises on energy efficiency and emission reductions.

While the Climate Change Act of 2008 and Low Carbon Transition Plan of 2009 are not sacrosanct, it would be unusual to amend them, and the UK is still bound to multiple international agreements, including the Kyoto Agreement and United Nations sanctioned Paris agreement. Even if the government reduces its incentives and requirements for businesses to be more energy efficient, it would have to make the difference up elsewhere to meet these crucial targets. It’s still worth considering that nothing will change for at least two years while the UK continues to negotiate its relationship with Europe; existing efficiency projects were never going to be at risk. But there should be some positivity surrounding the long term direction of energy efficient projects and the overwhelming benefits of smart buildings for job satisfaction. Developments such as the ability to transmit power over ethernet cables to IoT devices and increased compatibility between brands continue to make smart buildings a more convenient and efficient proposition for everyone - one of the smarter investments in a period of general instability. MCS is a technology firm focused on integrated real estate, facility and workplace management software solutions for large private or public organizations.

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Energy Management

Millions are at Stake:

It’s Time to Seize the Energy Efficiency Opportunity

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hat companies, charities, public sector bodies or any other entity with a physical footprint can drive large cost savings through better energy management is “new” news. Various pious advocates of energy efficiency have been telling us not to leave our televisions on standby for years, possibly decades. Sadly, too often, torpor prevails. However a new report from the Centre for Economics & Business Research (Cebr) for my employer, npower Business Solutions (which serves around 21,467 large and medium sized businesses), is a sharp reminder of the money evaporating (and emissions rising) through poor energy management. Although nBS rightly promotes various energy management tools and services to help its customers reduce their overheads, what it commissioned Cebr to do was to find out what could be done simply through behavioural change. No gimmicks, no technological interventions, just some simple “carbon psychology” and better behaviour; some of it could even, appropriately, be done from the couch. The findings are eye-opening, even for those well versed in the potential for energy efficiency gains. Cebr’s central estimate is that £600 million could be made in savings by UK businesses; its higher end scenario puts the potential savings at £860 million. Even more startlingly, a massive 50 percent of this could be generated by just 1 percent of the UK’s businesses – its larger ones. Businesses of any size could make huge savings however. The largest potential savings could be achieved in the wholesale and retail (19.9%), administrative and support (11.4%), and manufacturing (10.8%) sectors, Cebr found. The centre used business population estimates from the Department for Business, Innovation and Skills – which provide information on the number of companies disaggregated by size, sector and region – along with the Carbon Trust’s “Empower Savings Calculator” to help generate the calculations across different industrial sectors.

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Simple Steps “Behavioural change” is defined in the report as non-technical changes which result in greater energy efficiency, for the most part consisting of employees changing their habits or behaviour. In my experience as a carbon psychologist for nBS, changes can be induced through training and information, feedback delivered on energy use, or through concerted, company-led efforts and initiatives to change energy use habits. While the mode of delivering behavioural change can vary from company to company across different industrial sectors, it, can, for example, consist of: • Better use of office and industrial equipment • Reducing office room temperatures • Increased use of energy efficiency dashboards, providing real-time data on energy use • Introducing Knowledge Performance Indicators (KPIs) to track energy efficiency • Greater use of performance management concerning energy use • Switching-off idle office and industrial equipment

Perfect Timing It is a powerful time to start thinking more energetically about efficiency savings. The UK is committed to reducing greenhouse gas emissions by 80% relative to 1990 levels by 2050. It is also committed to a shorter term European target of 15% of final energy consumption from renewable energy sources by 2020. As a result, policy makers and utilities are offering incentives for those who can reduce or flex their demand. The needs of the day are after all pronounced: not just supply but demand is changing, as electricity is used more for transport and heating. The government, and others (including the National Infrastructure Commission) believe that new sources of flexibility both on the supply and the demand side could help to deliver a more

Energy Manager Magazine • October 2016

resilient electricity system, displacing or deferring the need for network reinforcement. The market will need to evolve to facilitate this flexibility, with the correct incentives in place for all participants (both the providers of flexibility and network operators), but the incentive meanwhile to simply reduce – without needing to provide flexibility – is already hard-wired into energy supply tariffs. And the advent of smart metres means companies can track their progress in making savings regularly and easily.

A Cultural Shift Thankfully, a cultural shift of sorts seems to be underway already. A recent survey by nBS of businesses for our quarterly “Energy Matters” newsletter for business customers found that 46% of business believe the move to a low carbon economy is the most important element of the smarter market; nearly twice the number of businesses who believe affordable energy to be central to this (26%). Businesses are clearly becoming greener, and have a growing appetite to reduce their carbon footprints. Happily, these two facets of efficiency are not mutually exclusive: energy savings are a fiscal and environmental win-win. Limited industry behavioural change policies meanwhile mean that only 18% of expected energy savings in UK industry will come from behavioural change by 2020 – far lower than is actually achievable. nBS has urged the government to do more to address the significant and low-cost opportunity to make major energy efficiency savings and promote business energy security. There is a huge opportunity for bigger businesses here – and they don’t even need to invest to make substantial savings, as Cebr’s report affirms. www.npower.com/idc/groups/wcms_ content/@wcms/documents/digitalassets/ carbon_psychology_report_pdf.pdf


Energy Management

Trend BMS improves heating control and comfort at Wakefield Town Hall

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G Energy Solutions has installed a Trend BMS (Building Management System) as part of a major upgrade project at Wakefield Town Hall. Fitted during a two-year shutdown while refurbishment works took place, the Trend BMS is being used to accurately control heating within the building in tandem with wireless space temperature sensors that were also installed by BG Energy Solutions. The completed project has led to improved heating control and comfort levels, while a PC-based front end has facilitated better ease-of-use and reduced maintenance. The iconic Grade I listed Wakefield Town Hall re-opened in November 2015 following extensive restoration. The building dates back to 1880 and was designed by the architect Thomas Edward Collcutt, who also designed The Savoy and the Palace Theatre in London. Its previous heating system was based on Victorian cast iron radiators and around 85 storage heaters. “The storage heaters were simply not adequate and didn’t give off much heat, so staff would frequently complain about being cold,” says Michael Clements, Assistant Chief Executive, Resources and Governance at Wakefield Council “It’s a beautiful building but old and with high ceilings, which makes it difficult to heat.” And this wasn’t the only issue, with no BMS on site there was a distinct lack of heating system control, which meant that it would often get too hot in the summer months. Furthermore, there was no visibility or warning with regard to breakdowns or faults. A fault would only be discovered when someone working near to a radiator would notice that it wasn’t functioning.

Trend in control Wakefield Council commenced an extensive overhaul of the electrical and heating systems, with the council’s in-house building services team undertaking the entire installation. BG Energy Solutions was appointed to the project with a brief to install a new Trend BMS and Titan wireless space temperature sensors that together would be capable of controlling the heating plant. Wireless technology was specified due

to the listed status of the building, which meant there was no way of hard-wiring to some of the sensor locations. With regard to the choice of Trend BMS technology, this was already in place on the rest of the Wakefield Council estate, so again proved to be the preference for the town hall project. In the first instance, it was discovered that the Victorian radiators could be refurbished and made to work with the new system. This was not a requirement of the building being listed, but still an important factor in trying to retain the character of Wakefield Town Hall. Regarding the system hardware installed by BG Energy Solutions, the Trend controls for the BMS were located in a traditional boiler house on the town hall site, while around 10 Titan wireless sensors were installed and integrated with Trend using the BACnet communications protocol. In addition, there is one motor control panel located in the basement boiler room with Trend IQ3 web-enabled integration controllers, which provide a flexible way of interfacing with third party systems.

controlled from a graphical display. Any PC on the site network can access the specially designed graphics pages for each of the heating zones and boilers. As part of the graphical display, floor plans can be viewed. Town hall staff simply click on the floor, then the room in question, and the system brings up the relevant heating page showing the status of the pumps and valves, as well as temperatures. Due to this improved control, Wakefield Town Hall is anticipating much-improved energy efficiencies and lower heating bills. “The front end PC is very easy to use as there are full plans of all floors,” says Mr Clements “it also shows temperature readings and flags up any faults. Using the graphical front end it’s now very easy to discover a fault and look into it, thus reducing the maintenance burden. I should also add that the staff here have been very happy with the temperature/comfort levels provided by the new system.” www.bgenergysolutions.co.uk

Easy to use BG Energy Solutions created a PC-based front end featuring Trend 963 Supervisor, a powerful, real-time user interface for the BMS. This enables authorised staff at Wakefield Town Hall to monitor plant or building services, and make changes to the way the building is

Energy Manager Magazine • October 2016

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Energy Management

Sink or Swim: How to manage the Big Data Flood Rachel Cooper is category marketing manager – field services with Schneider Electric

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he Internet of Things (IoT) is constantly in the news. That’s understandable since forecasts anticipate that there will soon be tens of billions of connected devices, helping the IoT sector to generate more than £7.5 trillion worth of economic activity worldwide. In fact, according to McKinsey Global, the IoT economic impact on factories, retail settings, work sites, offices and homes could total as much as £3.55 trillion by 2025. One area where the IoT is driving development is in smart buildings. Today’s more complex buildings are generating vast quantities of data, but building management systems (BMS) are not leveraging that data as much as they could, and are not always capturing the right data to make useful decisions. With 42 per cent of the world’s energy consumed by buildings, facility managers face escalating demand for environmentally friendly, high performance buildings that are efficient and sustainable. The data collected can help them to achieve this. However, many facility managers lack the time and resources to investigate the convenient methods that can help them to turn the flood of IoT and other sensor data they’re exposed to, into actionable insights

Forced to do more with less Reduced budgets force building owners to manage sophisticated building systems with fewer resources. This issue is further aggravated by older systems becoming inefficient over time. Even when there is sufficient budget, it is increasingly difficult and time-consuming to hire, develop, and

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retain staff with the skills and knowledge to take advantage of BMS capabilities. Facility managers also face challenges maintaining existing equipment performance. Components can break or fall out of calibration, and general wear and tear often leads to a marked decline in a building’s operational efficiency. Changes in building use and occupancy can contribute to indoor air-quality problems, uncomfortable environments, and higher overall energy costs. These changes begin immediately after construction is complete. Owners often undertake recommissioning projects to fine-tune their buildings. Such work is intended to bring the facility back to its best possible operation level. However, recommissioning is often done as a reactive measure, and traditional maintenance may not identify all areas of energy waste. Operational inefficiencies that are not obvious, or that do not result in occupant discomfort, may go undetected.

Upskilling the current workforce Many tools have come onto the market over the past decade to help employees get a better understanding of their facilities and assist them in their day-to-day operations and long-term planning. This can include anything from dashboards and automated

Energy Manager Magazine • October 2016

analytics platforms to machine-learning optimisation engines. However, much like the sophisticated BMS platforms available today, for each tool you deploy, more investment is needed in time for training. In fact, research shows that lacking training is evident with roughly only 20 per cent of facility managers using 80 per cent of capabilities available to them within their BMS. The remaining 80 per cent use a very limited amount (20 per cent) of the potential functionality in their system. With personnel turnover and competing facility-management responsibilities, many facilities are left without staff who have the time to learn the full capabilities of these tools. Of course, outsourcing different functions is one way to overcome these issues. However, vendors must be managed closely to ensure efficacy, and to ensure that outsourcing costs do not accrue significantly as third parties spend more time on-site.

In tech we trust Technology has become an important part of building management, as BMS play an ever bigger role in how facility managers perform their jobs and operate buildings. Newer technologies like data visualisation dashboards let facility managers view building performance metrics in a single window, helping them to spot trends and


Energy Management

gather insights. By visualising data in terms of graphs, charts, and conversion to different equivalents – for example, kWh to pound cost or kWh to carbon footprint, an experienced building operator can manually identify areas of concern for closer inspection. Yet, while dashboards can be helpful in determining building behaviour, the data is often complex and challenging to interpret. In fact, even if building staff have the time and skills to review and understand the data, dashboard information alone tells only part of the building performance story. Facility managers can identify where inefficiencies exist but usually not why. This requires additional troubleshooting and investigation. Therefore, dashboards are most effective for simple monitoring in environments where there are plenty of trained staff to perform troubleshooting and identify the root causes of issues.

Analytics is the answer To gain more from a BMS deployment, many facility managers are turning to data analytics software to interpret large volumes of BMS data. Best-in-class software automatically trends energy and equipment use, identifies faults, provides root-cause analysis, and prioritises opportunities for improvement based on cost, comfort and maintenance impact. This software complements BMS dashboards because it takes the additional step of interpreting the data – showing not just where but why inefficiencies occur. Engineers can then convert this intelligence into “actionable information” for troubleshooting and preventative maintenance, as well as for solving more complicated operational challenges. Using this software, facility managers can proactively optimise and commission building operations more effectively than with a BMS alone. It enables them to understand why a building is or isn’t operating efficiently so that they can introduce permanent solutions rather than temporary fixes. For instance, with data analytics, facility managers can proactively identify operational problems such as equipment that needs to be repaired or

replaced. Moreover, it can do this before critical failure and before it has an impact on the building occupants. Repairs can be scheduled before an emergency arises, eliminating costly short-notice or out-of-hours replacement and avoiding failure and downtime. With this proactive approach, equipment becomes more reliable, the cost of replacement and repair can be much lower, and occupants are assured of optimal comfort. In fact, by following best practice, they can even reduce HVAC energy costs by up to 30%.

The Future Smart, connected technology has taken us beyond the human ability to manage what can amount to hundreds of thousands of data points in large buildings. Efficient operations require a proactive response. Analytics solutions effectively manage the new state of information overload created by a digital world and filter

out what’s not valuable to you. For example, they can provide insight on how to fix problems when they are first observed, before total failure. This predictive maintenance approach means capital assets can be preserved and significant energy savings can be made. The advent of IoT means that we must shift our approach to facility management in order to deliver against the financial, wellbeing and sustainability targets of today’s facilities. By investing in a sophisticated BMS, users can uncover which data to ignore and which to act upon. After all, data for data’s sake is useless. Being able to use a building’s performance data to augment operational efficiency, increase occupant comfort, and improve overall energy consumption so that the financial well-being of buildings can be sustained, is of paramount importance.

Energy Manager Magazine • October 2016

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Energy Supply

The UK’s ageing power infrastructure just can’t take the heat

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ver the last few weeks the UK has been hit by an array of extreme weather conditions. From heat waves in the South that have had many turning up their air conditioning, to thunder and lightning illuminating up the northern skyline and floods closing down critical infrastructure. Whilst many of us have been either sweltering, soggy or watching the night’s sky light up, this extreme level of weather conditions is having a profound effect on the country’s power network. An ageing infrastructure that is almost at capacity if not, at times, above it. Quite simply, the growth in demand for electricity is far out stripping our ability to supply it and the transmission infrastructure has not being upgraded to keep pace. The Distribution Network Operator’s (DNO’s) who are responsible for the substations up and down the country can only deliver what is generated, and sudden big peaks in demand for electricity continue to cause a problem for the industry. To add to the problem, any redundancy that had initially been built into the distribution infrastructure is all but gone, meaning that the system is increasingly unable to provide the essential buffer needed to meet peak demands. Both the risk and incidences of power outages are rising at an alarming speed, as a combined result of the rate of investment in new infrastructure not keeping pace with the country’s ever increasing demand, and from the ageing existing equipment on many substation sites. The effect of having any type of outage on a major supply point is extremely serious and there needs to be every effort made to keep the existing infrastructure running. Early discovery of faults is therefore key to prevent avoidable outages and to fix any potentially hazardous equipment before it has a chance to cause harm or downstream disruption. One prime example of an issue that poses significant risk to distribution and supply, is the loss of earthing through copper theft at substations. This has become a serious problem for the energy networks over the past few years, driven primarily by high world demand for copper which has significantly increased prices.

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Fifteen years ago copper traded at around $1.5k per tonne, since then it has virtually quadrupled to $5-7k per tonne, making it a highly valuable and and tempting target for thieves. The fact that copper is used in abundance in electricity infrastructure, including on rural sites with little security, only adds to its attractiveness, despite the obvious risk to life and limb in attempting such a theft. According to the Energy Networks Association, in 2010 the cost to the industry from copper theft was £11.7m and by the following year it had skyrocketed to over 60m. This year alone there have already been around 750 cases that have led to loss of supply to at least 25,500 homes, with 10% of those cases resulting in damage to customer’s home electronics, boilers and even causing fires as a result of the outage. The problem has now escalated to proportions that could see whole regions blacked out for hours. From an operational perspective, without proper earthing in place the substation may still operate normally, and therefore the DNO is not immediately alerted to any problem on site. However, as soon as anything goes wrong with the equipment, for example from a lightning strike or an equipment fault developing, a potentially lethal cocktail of issues become apparent. With a significant risk to the life of any power engineer visiting the site, unearthed substations are a gravely concerning problem. Similarly, the potential danger to anyone breaching the perimeter of the substation whether

Energy Manager Magazine • October 2016

maliciously or just through curiosity – imagine an inquisitive child gaining entry through a hole in the perimeter fence left by the thief – doesn’t bear thinking about. According to the the Energy Networks Association, “There have been at least six deaths over the last year or so and at least 50 injuries including those to staff and members of the public”. The reality is that copper theft is more than an inconvenience and expense for DNOs, but a serious issue that brings with it significant risk. This is when technology plays a vital role. Near real-time monitoring of earthing infrastructure at substations combats the operational and safety risks by alerting the DNOs of any removal or degradation of earthing. This gives the DNO timely visibility, enabling them to act quickly and safely to rectify the problem before there is any risk to life and also avoiding costly and disruptive power outages. As we have seen over the past few weeks and inspite of how much as we may like to, there is little we can do to control the impact nature has on the UK’s power infrastructure. However, new technology is empowering DNOs to address the problems caused by humans quickly and safely. With autumn and winter fast approaching and the demand for electricity due to rise, assets in the UK infrastructure will remain under stress, and we need to be working together to keep everyone safe and the lights on. Simon Nash, CEO, Cresatech


Energy Supply

Are SMEs getting the best energy deal?

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ith volatile energy markets and increasing costs, it is becoming more and more important for businesses to have an understanding of their energy consumption. However, small and medium-size (SME) businesses don’t give energy management the priority it needs and end up paying the price for it, warns Jason Taylor, Account Manager at IMServ, one of the UK’s largest independent energy data management providers. Jason explains, “Over half the small businesses that we speak to have no idea how much they are spending on energy

Five essential questions from IMServ

and even fewer are in a position to interrogate their usage data. “The challenge for any owner of a SME is that there are so many costs to running a business; from HR, health and safety, facilities, to marketing, energy management, and new business; the list is endless. Typically, sourcing and managing an energy service provider and interpreting usage data will feature low down on the list of priorities. However, with greater energy insight and some simple behavioural changes, businesses can make savings of up to 15%.”

“The benefits of energy management go far beyond simple financial savings,” explains Jason, “although that is arguably the most important benefit, particularly for a small business. By gaining control of energy usage, SMEs can identify areas of over-usage and analyse their data to better understand where savings can be implemented. Companies can ensure that they are compliant with regulations that they might otherwise be unaware of, and incorporate energy management into their corporate social responsibility strategy.

IMServ believes there are five key questions that SMEs should be asking their energy service provider to ensure the best deal is secured:

1.

2. 3.

If an energy management strategy is introduced, what are the savings? Whilst specific savings will vary from industry to industry, providers should be able to give you an idea of how much of a financial saving you should be able to obtain. They will have industry experts on hand with the technical knowledge and data to give you a reasonable idea of what to expect.

Do you have a service which is tailored to SMEs? Service providers who are worth working with will be able to offer you something tailored to your business. They will want to understand your needs and requirements rather than offering you an out-of-the-box solution.

Is your data easy to interpret? The last thing you want to be doing is pouring over your data without any sense of what it means. Ensure that the data you will receive is presented in a user-friendly platform which suits your needs and that you can understand!

4.

5.

What kind of contracts do you offer? Typically, contracts are offered over a fixed term, although that may not be your only option. Ask what your options are, and then select the best fit for your business. These could encompass fixed term or fixed price contracts. You could also reduce your initial outlay by leasing your measuring equipment rather than purchasing it outright. Alternatively, you could negotiate a lower cost contract by sharing the savings obtained through energy management with the provider.

What practical measures should be implemented? Communicating and educating your staff will be key to any savings you can make to improving your energy usage. Once you have found the right provider, ask them for their advice on practical measures you can take. For example, fitting a smart meter can help your business track and understand your energy consumption.

Energy Manager Magazine • October 2016

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EM M a g a z i n e

Exhibition News

EMEX 2016 E

MEX 2016 is returning to the ExCeL Centre in London this November, and there will be a packed programme for attendees spread across 4 free-to-attend CPD accredited seminar theatres. This content, curated by the Energy Managers Association and its Board, will include the opportunity to hear from renowned industry experts and peers, and to meet with the numerous leading suppliers that have sponsored and endorsed the show. To give you a glimpse into the seminar programme and the exhibition – we bring you some of the themes and talking points that will be covered this year at EMEX.

INNOVATION AND TECHNOLOGY

The issues of skills shortages, improving environmental performance and changing employee behavior will also be debated. Experts, such as the Operations Improvement Manager at British Sugar, the Senior Sustainability Manager at Skanska, the Energy and Environmental Manager at the Bank of England, the Energy and Utilities Advisor at the House of Commons, and the Energy and Sustainability Manager at University College London, all specialists in behaviour change, to name just a few, will share their experience. Their presentations will leave you better equipped to deliver energy efficiency in your organisation from one-off projects to a strategy that is embedded in staff culture.

With over 120 exhibitors ranging from major utilities to brokers and consultants, equipment manufacturers to training companies and showcasing a broad range of energy efficient solutions and services under one roof, EMEX has become a unique opportunity to learn about the new technology, systems and services available in this fast changing environment. From the latest variable-speed drive dedicated to HVAC applications with ABB, energy efficient compressed air systems with Atlas Copco, commission-free energy saving lighting control system with Feilo Sylvania, integration of artificial Intelligence in HVAC and BMS systems with Ecopilot, energy-saving EC fan technology for air movement applications with EBM Papst as well as a full range of management services for multi-sited organisations with Ignite Energy, Sabien’s M2G boiler load optimisation control to prevent boiler dry cycling. Other notable participants include Siemens, Schneider Electric, Total Gas & Power, EnerNOC, E.ON, Gardner Denver, Ingersoll Rand Compression Technologies & Services, Salix Finance, Carbon Trust, Carbon 2018, MWA Technology, Wilson Power Solutions, Fluke and Green Energy Consulting.

THE HUMAN FACTOR One of the most important energy efficiency measures is training. EMEX will this year focus on career development.

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Energy Manager Magazine • October 2016

ACCELERATING FLEXIBILITY IN SECURING ENERGY SUPPLY

Demand Reduction is a key area for policy makers and companies, this year, as this winter will see a very tight margin between supply and demand. The EMA will be launching a new report Dynamic Response, which will promote a new solution to this problem - flexible load shifting through battery storage from off-peak to peak periods. This system will help you reduce costs through reduction in expensive peak time pricing, reduce transmission charges and deal with security of supply issues.


Exhibition News In Scotland, where competition was introduced in 2008, Business Stream achieved more than £35 million in Water Efficiency savings, experienced a 26% increase in customer satisfaction, made available more than £30m worth of discounts, saved public sector customers more than £20m and helped customers save 16 billion litres of water and more than 28,000 tons of CO2 in the first 3 years. Early birds in the market will snap the best deals, so don’t wait until April 2017 to do your benchmark. Business Stream, Water Plus (a new joint venture between Severn Trent and United Utilities), The Water Retail Company, Waterscan, Water 2 Business to name a few will be presenting their offerings at EMEX.

Business Energy efficiency taxation Review This new technology will be rolled out in the next couple of years; seminars on how you could incorporate this system into your business and actually make a profit will be explored in the presentations. This is a decentralizing solution that will make renewables a central part of generation on the grid. How the electricity codes will need to be amended will be covered, and the work of the EMA in lobbying for these changes will also be highlighted. Renewables now account for 25% of UK electricity generation, which is up from 9% in 2011. At EMEX Good Energy will launch their new web platform for businesses customers to enhance transparency and control of their energy supply with the ability to match with local renewable generators. Also exhibiting at EMEX, offshore wind market leader DONG Energy is leading the way in the development of sophisticated tools that enable businesses to be more flexible in the way that energy is consumed. It has come up with a unique way to help balance its own generation at times when the wind doesn’t blow. National Grid will present Power Responsive, a stakeholder-led programme of work to stimulate increased participation in the different forms of flexible technology in Britain’s energy markets. They also plan to facilitate the rapid growth of demand-side solutions. Corona Energy, a leading independent energy supplier to UK businesses will offer expert advice on energy efficiency with a fresh approach to managing your energy usage presented at the show. They were recently awarded UK’s largest annual Natural Gas supply contract by the Crown Commercial Service, a Government agency

that provides commercial and procurement services for Government departments and the UK public sector. Also presenting at the show, Origami Energy is an ambitious new technology company, created with the objective of developing the technology and financial that are required to connect, control and actively manage a large network of existing energy generating / energy using / energy storing assets connected to the electricity grid.

WATER DEREGULATION Businesses need to start planning now for the most radical changes in the water industry for a generation. From April 2017, over 1.2 million eligible businesses and other non-household customers in England will be able to choose their supplier of water and wastewater retail services. The smallest high street shops to the largest public authorities will be able to shop around and choose their retailer or renegotiate their existing deal. if you prepare well for the changes in advance, deregulation of the water industry presents a fresh opportunity for your company to make significant savings when it comes to managing your utility costs. Companies operating in multiple locations can use just one supplier rather than several, which allow them to negotiate price on a much larger volume and to simplify billing process. Some retailers will work with such clients to reduce their water bill through the introduction of water efficient kit and metering, in order to form the basis of a Water Performance Contract in which water efficiency savings will be shared by the client and the retailer.

EMEX is the place where you get first-hand updates on the reform of the energy efficiency tax landscape. The previous government responded to fiscal challenges by abolishing the CRC energy efficiency scheme.. The Head, Business Energy Tax and Reporting from the newly formed Department of Business, Energy and Industry Strategy (BEIS) will give a review on current progress toward a single tax, the merger of CRC and GHG and how the tax will be based around CCL (Climate Change Levy), and an update on the consultations for a new streamlined reporting framework. Does this mean business will need to comply with ESOS, the Energy Savings Opportunity Scheme, once a year instead of every 4 years? ESOS is an EU legislation that is written within the English law so in principle, it won’t be affected by Brexit. With such diverse solutions, knowledge and expertise on offer, it is not surprising that hundreds of small and medium businesses as well as household names such as Coca-Cola, NHS, British Airways, Harrods, Hilton Worldwide, Boots, RBS, TATA, British Land, Ministry of Defence, AstraZeneca, Sodexo, Dixon Carphone, IBM, Bellrock, BAE Systems, Co-Operative Group, Ofgem, Network Rail, MITIE, CBRE, Whitbread, Mitchells and Butlers, British Telecom, House of Fraser and many county and city councils are already registered to attend. EMEX runs from the 16-17th November at ExCeL, London. Register at emexlondon.com and contact chris@emexlondon.com for more information.

Energy Manager Magazine • October 2016

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Heat Recovery

IS HEAT TRANSFER TECHNOLOGY FAILING BRITISH INDUSTRY?

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ffective energy transfer may be a basic prerequisite for the success of many industrial processes, but the failure of conventional heat exchangers is leading to unplanned downtime, increased maintenance costs and spiralling production costs for a number of businesses. Mike Griffin, Emerging & Innovation Technology Manager Northern Europe at Spirax Sarco, outlines the problems with conventional heat transfer design, and explains how technology is providing a solution that is both innovative and has the potential to pay for itself in double-quick time. Whether located in a waste processing incinerator, a cooking oven in a food processing plant, or a furnace in a metal processing application, heat transfer equipment is vital to overall performance. Yet British industry is facing mounting problems with the design of its conventional heat exchangers.

the hot stream absorbs heat, causing the liquid inside the pipe to evaporate. The resulting steam then travels to the top of the heat pipe and when it reaches the top it heats up the cold stream, causing it to condense back into a liquid. This liquid then flows back to the bottom of the heat pipe and the cycle will continue as long as there is a temperature difference between the hot and cold streams. As a result of the high quality construction of the heat pipe, in particular its high integrity vacuum, heat transfer between the hot stream and the cold stream is virtually instantaneous, making it ideal for process conditions where efficiency is an important factor. Specifically, heat pipe is exceptionally well-suited for energy recovery from high temperature,corrosive or contaminated exhaust streams.

Dirt and corrosion are creating thermal stresses and damaging equipment, long lengths of tube are lending themselves to cold spots and temperature variations, and single tube failure is causing entire units to be replaced. Thermal and dew point corrosion, as well as fouling in some cases, is an unwanted set of obstacles for any plant engineer, while equipment which is notoriously difficult to clean also having knock-on effects for productivity and efficiency. Accounts from engineers paint a bleak picture of regular corrosion and frequent failure. It is clear that these engineers need a more reliable alternative, so where do they turn? The answer could well lie with heat pipe – a modern concept with characteristics capable of nullifying many of the concerns engineers will be familiar with.

The solution A heat pipe is essentially a metal tube, sealed at both ends with a vacuum inside and filled with a small quantity of fluid. The part of the heat pipe that is immersed in

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Energy Manager Magazine • October 2016

Many application demands can be met from a modularised standard range of heat pipe heat exchangers, where ‘cartridges’ of heat pipes are installed into a standard heat exchanger casing that’s suitable for its application. The problems associated with conventional heat transfer designs can be alleviated by using heat pipe technology. The advantages of using a heat pipe heat exchanger are:

Energy and carbon savings The single greatest advantage of heat pipe heat exchangers is their ability to contribute to energy and carbon reduction measures in line with a site’s decarbonisation strategy. Heat pipe heat exchangers generate hot water or steam


Heat Recovery from existing waste streams, thereby reducing utility supply consumption and costs by circa 3-7% and carbon by circa 4%.

Multiple redundancy Each pipe operates independently which ensures that the unit is not vulnerable to a single pipe failure. Within the heat exchanger each heat pipe is an individual heat exchange unit designed to operate in aggressive industrial environments. However, even if one or two heat pipes fail, this will have a very small effect on the overall performance of the heat exchanger. For example, with a heat exchanger composed of 100 heat pipes, failure of a single pipe will still result in 99% effectiveness of the entire system.

Low fouling and ease of maintenance The use of smooth pipes allows heat pipe heat exchangers to be used in high particulate or oily applications. Typically, these can have a severely detrimental effect on conventional heat exchangers, for example those found in waste incinerator applications or food processing. This low fouling capability ensures that heat pipe heat exchangers can be easily maintained in situ with no requirement to uninstall.

Isothermal operation – no hot or cold spots Heat pipe heat exchangers eliminate the cold corners that are common amongst traditional heat exchangers designed with a complex multi-tubular structure. Consequently, this also eradicates dew point corrosion issues and improves overall thermal performance of the heat exchanger.

significant in situations in which size or weight are a consideration, as this low pressure drop is achieved with systems that are also much smaller and lighter than traditional systems. The truth of the matter is that up to now, British industry has been rightly frustrated with its conventional heat transfer equipment, often choosing to shut it down or bypass it, rather than waste any more time trying to get it to work efficiently. Fortunately, technology is providing a solution that is both innovative and has the potential to pay for itself in double-quick time. So it seems that finally, British industry may have a form of heat transfer technology that promises to deliver.

To find out exactly how modern technology is capable of making heat transfer equipment work much more effectively, download our latest white paper, ‘Corrosion, cracking and downtime: The failure of heat transfer in industrial applications’ at sxscom.uk/heatpipewp

Robust materials and long life Heat pipes do not rely upon thin metal surfaces for effective heat transfer and therefore can be constructed from robust materials that offer increased resistance to corrosion. What’s more, heat exchangers designed with heat pipe enable the pipes to freely expand and contract within the heat exchanger casing, which eliminates thermal stress on the structure.

Low pressure drop Compared to other heat recovery solutions currently available, heat pipe-based solutions have extremely low pressure drops. This is particularly

Energy Manager Magazine • October 2016

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Lighting

FEILO SYLVANIA OPTIMISES NEN HEADQUARTERS WITH SMART LIGHTING PORTAL

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EN, the Dutch Standards Institute has selected an innovative lighting control solution for its Headquarters in Delft, Netherlands featuring Organic Response-enabled LED luminaires from Feilo Sylvania. The Institute aims to be a leader in running energy efficient and smart buildings. As such, when the lighting contract was put out for tender for its HQ building in Delft the requirement was for a lighting system that not only would deliver the maximum in energy saving, but also support better decision making for the building management NEN’s Edwin van der Zijden signed the official agreement with Patrick Stevens of Relighting and Marco Brugman of Feilo Sylvania earlier this year after a tender process which saw cooperation between the platform My Sustainable Business and its partner Relighting. This joint presentation was supported by sophisticated lighting design by Feilo Sylvania, providing a compelling solution answering NEN’s brief for a cost efficient, easy to install, internet connected smart lighting system. The project is due for completion in November. “We are delighted to be involved with this innovative project,” comments Frits Cornelisse, Netherlands Country Manager Feilo Sylvania. “This installation will be one of the first projects in Europe to utilise the full potential of the Feilo Sylvania Smart Lighting Portal and will allow NEN to manage the energy efficiency and occupancy of its building effectively. It was

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great to work alongside My Sustainable Business and Relighting to put together an inventive tender fully utilising the energy and performance benefits that our connected luminaires can bring to such a project.” 1,000 Sylvania Rana LED luminaires equipped with Organic Response technology are to be installed throughout the building. This total solution also includes the innovative Feilo Sylvania Smart Lighting Portal: a user-friendly web platform that expands on the benefits of the lighting control system and provides connectivity to the smart building system. The portal offers a powerful new tool for building owners, thanks to the PIR-sensor found in each Organic Response-enabled luminaire. Through heat mapping, the network of Sylvania luminaires provides accurate data

Energy Manager Magazine • October 2016

about the occupancy of the building. Using this valuable information, room use and building occupancy levels can be identified, enabling optimization of costs such as cleaning, heating, security and so on. The portal also enables the facility manager to analyse the energy use of each luminaire in the building, monitoring breakdowns and identifying where maintenance may be required. Bastiaan de Groot, Global Director Strategy & New Business Development adds, “The case for energy savings has already been proven and this project will demonstrate the value of acting upon occupancy data to deliver more energy efficiencies, rather than just replacing old fittings with LED luminaires. For example, first estimations of the potential value of the occupancy data is 12 times higher than the value of the expected energy savings.” With Feilo Sylvania incorporating Organic Response technology, the solution being provided is completely flexible, requires no cabling and is auto commissioning, making it extremely easy to install. It is also cost-effective solution as the upfront cost of the system is lower than a comparable DALI solution, which is also not capable of providing the valuable data. Feilo Sylvania will be following up with more information and details on the completed project in due course. In the meantime, keep an eye out for updates on the Feilo Sylvania: - www.feilosylvania.com


Lighting

VENTURE LIGHTING UNVEILS NEW PRODUCTS IN LATEST CATALOGUE

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enture Lighting Europe has released its latest HID & LED lighting solutions catalogue which introduces nine new high performance, low energy products. The 125 page catalogue can now be downloaded from the company’s website, www.venturelightingeurope.com The catalogue highlights all of Venture’s full LED and HID product ranges including new LED Edge Lit Panels and Glass Tubes, new versions of its LED Midibays, Highbay Professional, IDT Street Light Professional, as well as the LED Retrofit Corn Lamps and Filament Lamps launched earlier this year. As well as launching new products, Venture has also unveiled two new brands, VLUMA and Emerg-EVAC. VLUMA brings together products that are designed to deliver high performance levels whilst achieving the optimum energy efficiencies and savings. These include the

new LED Edge Lit Panels, LED Midibays and LED Highbays Professional range. Emerg-EVAC includes Venture’s new 3W Emergency Downlight Kit, which can be used remotely or in addition to existing light fixtures. The new brochure is broken down into seven application sections to make it easier for customers to locate different products according to their requirements. The brochure also introduces Venture’s new part numbering system which has been amended to improve the efficiency of the ordering process for its customers. The comprehensive catalogue also includes features such as a payback calculator, trade pricing index and technical feature overview, giving customers as much information as possible in one package. For further information call 01923-692600, emai info@venturelighting.co.uk or visit www.venturelightingeurope.com

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Lighting

Halogen ban shines light on energy bills

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he introduction of the halogen light ban in September 2016 under EU plans to crack down on inefficient light fittings will force businesses to take action to ensure they have adequate lighting in their buildings, according to an energy efficiency consultancy. EFT Consult, based in Swansea, is advising businesses to make the switch from halogen lighting to more efficient, longer-lasting LED lamps to help lower energy expenditure and subsequently, reduce energy bills. The ban comes as part of the European energy saving scheme under the European Commission (EC), which will see halogen light bulbs phased out in favour of compact fluorescent lamps (CFLs) and LEDs. As of 1 September, directional halogen reflector bulbs given a D rating will gradually be phased out. These bulbs use around five times more energy than LED lamps, and therefore cost more to run. However, the ban on non-directional halogen bulbs has been delayed until 1 September 2018. With ever increasing energy prices, LED lighting is an excellent way of reducing running costs, especially as lighting can

account for circa 40 percent of a building’s overall energy usage. When compared with its halogen alternative, LED uses significantly less energy and therefore reduces energy costs. Making the switch to LEDs in corporate buildings, where lights are often left on all day during business hours, can help reduce electricity bills and lower the production of Co2. Chris Jenkins, director of EFT Consult, explains what businesses need to be aware of: “Although halogen bulbs are often cheaper to buy, LED or CFL lamps require less maintenance and have a far longer product life than its halogen counterparts. Therefore, further indirect savings are achieved over the entire life cycle. There are also proven health benefits with the use of the correct lighting solution. “It’s important when thinking about an upgrade to LED to consider the entire life cycle cost of the installation. Having a survey and review of an existing installation can identify a suitable alternative and provide an energy efficient solution to suit clients’ requirements. I would suggest to business leaders to make the switch to more energy efficient lighting systems now, as a ban on all halogen bulbs will soon come around. It’s more cost

efficient and responsible to take action imminently through implementing LED lighting systems to help save on costs now and in the longer term.” For more information on the halogen spotlight ban, please visit: www.planfortheban.eu

AURA LIGHT EXTENDS LIGHTING RENTAL SCHEME TO SEVEN YEARS TO AID CASH FLOW

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ince its launch earlier this year, Aura Light’s lighting rental scheme has seen a significant take-up by large companies wanting to spread the cost of their investment. Aura is able to spread this investment over seven years so significantly reducing monthly and annual payments. The benefits of the scheme are enormous. Under the banner ‘Lighting as a Managed Service’ (LaaMS), Aura Light provides lighting design, lighting installation, full maintenance cover and on-going lighting consultation throughout the length of the scheme. By upgrading to a sustainable energy efficient lighting scheme using LED technology coupled with lighting management systems can save some 70% in energy savings, these savings paying for the systems and installation. With LaaMS

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there is no need for capital expenditure and no financial outlay as the lighting project sits off balance sheet and also takes advantage of tax benefits. Simon Taylor, Aura Light UK’s managing director comments, “We are currently working with some major organisations such as warehousing, steel, recycling and local authorities which are utilising the LaaMS scheme. Energy costs are reduced from day one and monthly payments are adjusted according to projected energy savings, making the projects cash positive right from the start”. Aura Light’s LaaMS scheme provides a full performance guarantee over the contract period and the new lighting installation will continue to provide large energy savings into the future. The scheme is ideal for all types of applications including offices, retail, hotels, education, factories, warehouses and for exterior lighting.

Energy Manager Magazine • October 2016

Under the scheme, Aura Light visits the company to conduct a survey of the existing lighting installation and energy consumption by a technical expert. This is then followed with the provision of a new lighting plan with a full financial calculation, together with energy saving and CO2 saving documentation. Once the project is agreed, it is entirely managed by Aura Light from start to finish including using its national base of installation teams to fit the lighting, and providing the financing and a performance guarantee during the full contract period. There are no maintenance costs as full maintenance cover is included as well as ongoing lighting consultation. For further information call 01952 250800 email simon.taylor@aura-light.co.uk or visit www.aura-light.co.uk


Water Management

The Elephant in the Room

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round the World, various intriguing methods are used to source water. Take the Samburu people of Kenya, for example, who rely on wild elephants to help them find water when the rivers run dry since elephants have a natural ability to detect underground water. Tracking the elephants closely, the Sumburu are able to draw water from the shallow wells that the elephants leave open for them. Back in their village, they thank the elephants by filling troughs which they leave out for thirsty animals. It’s a stark reminder of how lucky we are in England to have water on tap, readily available and relatively cheap to boot. And yet, we too have an elephant in the room. It’s called the English water market opening. How can it be that, with shadow operations (testing the market) about to commence, many decision makers and procurement teams are still burying their heads in the sand rather than taking action when it comes to their water supply contract? Is it because water makes an insignificant impact on the budget? Is there simply still a lack of awareness of the opportunities that this transition could open up for public sector organisations across England? Or is it perhaps because water, unlike most of the rest of the supply chain, is unchartered territory and, therefore, a potential minefield? It needn’t be. In a procurement landscape where more attention is sometimes given to short term cost reduction as opposed to driving long term strategic value, sound water management is actually an area that could provide both: a quick win and a good return on investment over the longer term. Having the opportunity to switch suppliers, says OFWAT, could mean that you benefit from “a wider choice of tariffs, better standards of service, tailored service offerings, advice on saving water and lower prices” – all (and this is the crucial bit since it applies to so little in traditional supply chain networks) with a cast iron guarantee that there will be no reduction in the quality of the product. In Scotland, where the water market opened some time ago, over 130,000 customers are already enjoying the benefits of being able to shop around for water. There, over 50% of organisations have renegotiated with their water supplier and many have already switched.

As with any procurement exercise, you’ll naturally want to find out about suppliers’ charges, their approach to account management and customer service, whether they can provide any additional added value, and, should things go wrong, what they will do about it. But, when it comes to water, there’s a strong case for taking the time to gain a deeper understanding of your organisation’s current and future potential operational water footprint before entering into contract negotiations. The water market, just like the gas and electricity markets, is a complex one. With 1.2 million customers and a total market value of £2.4 billion, England will be the largest retail water market in the World, creating a wide variety of challenges such as price variations, metering issues, billing inefficiencies and overly complex tariff structures. Just like the Samburu have elephants to guide them through the water landscape, public sector procurement professionals can also benefit from working with a partner that has expert knowledge. That’s why independent water consultancy Waterscan suggests a six step procurement strategy which embraces continual improvement: 1. Strategy Development: Define a strategy for the next five years to deliver on key drivers including service, flexibility, costs and terms. 2. Solution Design: Develop a complete water consumption data-set for supplier comparison, while setting out desirable contract terms and cost reduction targets. 3. Virtual RFP: Conduct a pre-tender review of available options looking at pricing, servicing, innovation and added value services such as

automated meter reading (AMR). Competitive Tender: Run an outsourced end-to-end tender process incorporating supplier selection, RFP preparation, supplier management and negotiation. Retailers will be judged on best support services to help deliver strategic goals, innovative solutions tailored to the client’s needs and expert market and competitor analysis. 5. Contract Negotiation: Provide expert advice to procurement teams to deliver the best outcome, looking at flexibility, improved SLAs and further cost savings. 6. Water Bureau: Conduct ongoing price benchmarks and supplier management to deliver against the strategic plan. The total package includes data and financial management, accruals, budgets, wholesale negotiations and driving down fixed costs and support water reduction programs. Waterscan’s Water Supply Procurement service is available to existing and potential customers in local government, the NHS and other public sectors as well as all commercial industries in the UK. What’s more, experience of deregulation of the Scottish market means that the process can be completed quicker and more cost effectively than traditional in-house processes while clients retain oversight and operational control. The system is fully compliant with corporate governance requirements and Waterscan never takes any fees, commissions or brokerage charges from any water retailers. Isn’t it time to shoo the elephant out of the room? 4.

www.open-water.org.uk www.waterscan.com

Energy Manager Magazine • October 2016

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Water Management

Water quality in communal heating systems

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ith a wealth of experience supplying heat interface units to communal and district heating systems, Giacomini UK is able to offer dedicated technical assistance and advice on how to achieve the best results. With the support of her Giacomini colleagues, Helen is hoping to increase understanding of how to protect vital components within communal or district heating systems from damage caused by debris in the system. Ensuring optimum performance and functionality over the system’s lifetime. Helen explains: “When there is a problem with the system, in most cases, it demonstrates itself at the point of use, leading the end consumer to believe the issue is located there. “During a recent callout, where a fault had been reported at the heat interface unit, I found the strainers protecting the unit both damaged and almost entirely blocked by debris. When emptying one litre of primary flow water into a jug, the course dirt settling at the bottom of the jug came up to the 100ml mark.” A HIU works by transferring the thermal energy from the primary system over to the secondary systems, via plate heat exchangers. If it is not receiving enough energy from the primary side, the laws of physics prevent it from giving enough thermal energy to the secondary heating and domestic hot water. The thermal energy received from the primary side is a combination of temperature and flow rate. Filters blocked by debris will restrict the flow rate to the HIU and as such also the energy delivered. Debris blocking the strainers will also lead to increased pressure drops in the system, decreasing the efficiency of the primary pumps. “This is why cleanliness of the water in these systems is essential!”, continues Helen. “To prevent dirt build up, the water quality of the system needs to be considered as early as at the design stage. To keep the water dirt free, air and dirt separators need to be included in the system as well as y-strainers near critical

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In this article Giacomini UK’s technical support manager, Helen Gibbons, discusses the importance of water quality in communal heating systems

components. Designers should also think about how the system will be maintained and kept at a good standard by including flushing by-passes and drain points, as well as pressure gauges near filters for ease of monitoring differential pressure caused by dirt build up.” Giacomini also recommends that dosing pots be incorporated, so that the correct water treatment can be included and maintained throughout the lifetime of the system. The water should be continuously monitored and maintained by a water treatment specialist to avoid limescale, oxidisation and corrosion, as these can lead to solid particles building up in the water, which can again block strainers or damage components. Never leave untreated water in the system for a prolonged time. “Moving on from the design stage, prior to commissioning of the system, the pipework needs to be thoroughly flushed to remove all debris that might be present from the construction stage. Dedicating time to flushing the system properly and carefully will save a lot of future problems. “The system needs to be filled with

Energy Manager Magazine • October 2016

clean, treated water, which prior to filling should have gone through a filtration process as the mains water can contain contaminants.” If the above processes have been followed the system should now have been flushed and free from construction debris; filled with clean treated water; treated to prevent future debris build up caused by lime scale and corrosion; and have air and dirt separators as well as filters in place to take out any dirt that might be present despite the precautions. “All that is left now to ensure a long life, low maintenance system is to make sure there is a programme in place for cleaning of filters and for topping up of water treatment.” Helen concludes, “Incorporating these precautionary methods will save a lot of time and money in avoided call outs and repairs. Most importantly though, it will ensure the end consumer has got a continuous and uninterrupted supply of heating and hot water.” For more information please visit www.giacomini.co.uk


Water Management

Water deregulation could lead to great savings for business Businesses need to start planning now for the most radical changes in the water industry for a generation

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hat’s the message from cost management firm Great Annual Savings Group (GAS), which predicts that businesses could shave thousands of pounds off their utility bills – if they prepare well for the changes in advance. In April 2017, commercial customers in England will be able to choose the best supplier for their needs, regardless of where their premises are located. This is a radical move away from current practice, where companies get their water and sewerage services from a single provider located nearby. Bradley Groves, Chief Executive and Chairman of Great Annual Savings Group, said: “Deregulation will have a significant impact on the business community. Now is the perfect time for companies to start carrying out audits of their water consumption so that they’re in a position to take advantage of the best deals when they come available. Some companies mistakenly think that they need to wait until next April but by then some of the best deals will have been advertised and snapped up.” This deregulation of the water industry is aimed at generating more competition in the marketplace in England. By allowing companies more freedom to choose which supplier they use, it could also lead to significant cost-savings across the business community – as it seems to have done in Scotland, which in 2008 became the first country in the world to have a deregulated water market. Business Stream, the arm of Scottish Water that deals with business and public sector customers, claims that in the six years following deregulation it was able to cut £100m from customer bills. Open

Water, a body set up by the UK government to deliver a competitive market, estimates that deregulation in England will deliver around £200m of benefits to business customers and the UK economy. GAS, which helps businesses find ways of reducing their running costs, said the move would provide firms with the ideal opportunity to save significant amounts of money, although they needed to start preparing for the changes now. Mr Groves said: “Deregulation of the water industry presents a fresh opportunity for companies to make significant savings when it comes to managing their utility costs. We’ve seen how it has worked effectively in Scotland and there’s no reason why it can’t work here.” As well as generating cost-saving benefits, deregulation will make it easier for companies to deal with utility suppliers. “In the post-deregulation era, companies that operate in multiple locations can use just one supplier rather than several,” said Mr Groves. “Also there’s more incentive for suppliers to provide a better service because they know that customers can switch supplier at the drop of a hat. Water companies will be compelled to make customer care a priority and provide best-fit solutions for all of their users. Failure to do so will inevitably

result in lost customers and revenue to the competition.” GAS specialises in negotiating the best possible tariff on water rates and a range of other variable running costs, including telecoms, energy management, office equipment, private healthcare and insurance. So far this year the company has helped firms make millions of pounds of collective savings on energy bills, where the market already works in a deregulated way – which gives some indication of the opportunity about to present itself in England’s deregulated water market. In partnership with BQ magazine, Great Annual Savings Group (GAS) is hosting a special event about the deregulation of the water industry in England on Thursday, October 27 at the Ramside Hall Hotel in Durham. Entitled “Water great way to save money: what businesses need to know about water industry deregulation”, the event will feature keynote speeches from senior experts in the water industry. Guests are invited to arrive at 8.30am for a 9.00am start. The event will last around an hour, with an additional 30 minutes of networking, and will finish at 10:30am. For more information, contact Adam Brown at GAS on 0191 500 5700 or e-mail communications@greatannualsavings.com

Energy Manager Magazine • October 2016

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Legislation

The Heat and Network Regulations: What you need to know

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t is a well-known fact that the property sector is being heavily regulated on energy efficiency measures, such as ESOS, EPCs and P272 among many others. However, there are other regulations, which have outstanding implications for the UK property sector that have slipped under the radar. In particular, the Heat Network Regulations 2014 would have a great impact in multi-tenanted buildings. These Regulations state new rules in regards to installing meters for recording details of communal heat schemes or monitoring usage. Currently, tenants in multi-tenanted buildings pay a fraction of the overall building’s heating, cooling and hot water costs. Unlike electricity, sub-metering is limited and the floor area is used to estimate a reasonable percentage of the total costs. Although this method is simple and straight forward to calculate, it presents no incentives for turning the heating off on each floor, if no one else does the same. Consequently, energy bills become higher under this scenario. The Network Regulations suggests that this methodology may not be acceptable, and landlords will be required to give tenants actual information based on their real gas consumption. This approach will significantly contribute to further improve energy efficiency.

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These Regulations are beneficial to building tenants and occupiers, although application falls directly to the landlords. The main responsibilities for heat suppliers under these regulations are the following: • Notify the National Measurement Office (NMO) accordingly of the operative heating systems that are subject to the regulations. The notification has to include full information of the final customers, building supplies and location of the heat networks. • Fit individual heat meters if technically feasible and cost-effective. If the installation of heat meters is not feasible or cost effective, then the heat supplier must fit heat cost allocators and thermostatic radiator vales (TRVs). The feasibility of fitting heat meters has to be evaluated every four years. • Provide customers with a bill based on accurate data at least once a year.

Implications for the property sector Both communal heating and district heat networks are subject to the Heat Network Regulations. A district heat network is regarded as a centralised system for the generation of hot water, cooling or heat that is supplied to at least two buildings. In the UK, there are approximately 1,800 district heat networks. However, there is likely to be an extensive number of facilities that provide communal heating, such as distribution of hot water, cooling and heating from a central source to two or more customers within a building, and hence all the multi-tenanted commercial buildings will be included. Some of the provisions of the regulation are already in force. There have been legal obligations on heat suppliers to supply tenants with accurate heat billing information and to inform the NMO of the heating systems that are included in the regulations. The next target date is close: By 31st December, Landlords of multi-tenanted properties are required to assess the feasibility and fit heat meters. The Government estimates that for the majority of the existing facilities with communal

Energy Manager Magazine • October 2016

heating, heat metering will be both technically feasible and cost-effective. The NMO has facilitated a Heat Network Viability Tool and further information to assist with the evaluation and implementation of the Regulations.

Implications for the property sector The UK property sector has to take action in order to reassure that Landlords are complying with the regulations in order to catch up with the regulations in a timely fashion. Nevertheless, there are six key steps that every Landlord should take in order to comply with the regulations successfully: • Record all the buildings where there is communal hot water, air conditioning and heating. These properties should have been registered with the NMO by 30th April, 2015. • Evaluate the feasibility of installing heat meters. A Heat Network Viability tool is available to assist with this assessment. • Fit heat meters by default when a property is refurbished. • Get advice on how to charge tenants for the hot water and heating. • The Heat and Network Regulations give full control to building users. Consequently, replacing the central hot water systems with electric heaters would be a simple and cost-effective alternative. • Better metering provides good quality data and better energy management. Landlords could use this data to develop trends and patterns of use to minimize the gas consumption or to optimize the Operation & Maintenance of the hot water systems, i.e. identify potential leaks or when the pumps are due to be changed. The ultimate aim of the Heat Network Regulations is to make users of hot water, cooling and heating aware of their gas consumption levels. This would not only optimize Operation & Maintenance strategies, but, most importantly, would encourage better approach to energy management.


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Legislation

Fuelling the Future Managing Director of NAPIT Certification, David Cowburn, discusses the recent consultation on the Energy Company Obligation (ECO) and how this could affect those living in fuel poverty in the future

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ith the current Energy Company Obligation nearing its end on the 31st March 2017, NAPIT has been active in consulting with the Government with its plans to introduce a new 5-year supplier obligation in its place. Currently, the Government is debating the possibility of extending the current ECO by a year as part of a ‘transition period’ prior to the introduction of a 5-year scheme. As a stakeholder, NAPIT was recently invited to provide responses to a series of questions regarding the proposed transition period and the future of ECO in a consultation which ran between 29th July and 17th August. ECO is a Government energy efficiency scheme in Great Britain aimed at reducing carbon emissions and tackling fuel poverty; for this reason, NAPIT has always maintained strong positions on how the obligation should be implemented. It is a

massive issue, since approximately 10.5% of householders in Great Britain suffer from fuel poverty. Currently, ECO possesses three distinct targets that are required for energy suppliers. These include the Carbon Emissions Reduction Obligation (CERO), the Carbon Saving Community Obligation (CSCO) and the Affordable Warmth Obligation (AW). These building blocks have been instrumental in providing low income households with energy efficient installations, including loft and wall insulations or replacement boilers. In a bid to increase the scheme’s focus on supporting fuel poor households, coupled with improving cost effectiveness, the Government has proposed that the Affordable Warmth Obligation should become the sole supplier obligation from 2018 onwards, whilst incorporating elements from the other two obligations. The proposed transition period would however maintain CERO until the implementation of the five-year scheme. In our response to the Government consultation on ECO, NAPIT expressed its support for the proposed transition period as we believe it will provide certainty to the market and allow for time to consider longer-term plans. We also agreed with the proposal to realign the obligations above by increasing both the Affordable Warmth obligation and CERO during a transition period. Our only concern with the realignment of the three obligations is the removal of CSCO, since this obligation aimed to deliver primary insulation measures restricted to any home within the 25% most deprived in Great Britain and primarily promoted the tackling of fuel poverty in rural areas through a rural-sub-obligation. On the latter, NAPIT was asked whether we agreed with plans to stop the rural sub-obligation from April 2017 with the new transition

30

Energy Manager Magazine • October 2016

period. We agreed that whilst this would be beneficial from a cost effectiveness point of view, we had concerns that the lack of a rural sub-obligation could have a negative impact on those living in fuel poverty within rural areas. In accordance with this fear, we suggested that an uplift could be applied within the new Affordable Wealth Obligation to encourage deployment in rural areas to mitigate this impact. Despite these concerns, we believe that the changes proposed by the Government will provide a cost effective means of dealing with the problem of fuel poverty. In 21st Century Britain, no household should have to suffer the negative impacts of fuel poverty on their wellbeing. For this reason, the Government’s intention to increase the element focused on fuel poverty from £310 million to £450 million can only be viewed as positive. Especially since they have claimed the proposals will result in over one million warmer homes over the course of the current parliament. At NAPIT, we are going to continue to monitor this debate in close detail, starting with the results of the consultation. We hope that the result addresses our concerns, whilst affirming the positive changes we believe the future will hold for ECO. info@napit.org.uk www.napit.org.uk


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Energy Manager Magazine October 2016