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December/ January 2015 Issue 95

Efficient control of utilities and facilities

Guarantee your organisation’s security with energy performance contracting. See page 14

INSIDE THIS ISSUE POLICY & LEGISLATION Three quarters of directors surveyed by panned electricity market reforms (EMR). Now investors and even the regulator think a new Energy Act may be required to sort out the mess. See page 8

Editor Tim McManan-Smith

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Consumers will rightfully be asking whether this billion-pound handout was really required to pay energy companies to continue doing what they were already doing

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Analysis of the outcome of the government’s £1bn capacity market auction shows that 95% of billpayers’ money will go to energy companies to run power stations that would probably operate anyway See page 18

LIGHTING CP Electronics has helped Pembroke College in Oxford to improve its energy efficiency thanks to the installation of its Rapid lighting control system See page 36

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Small-scale CHP using bioenergy is better for the environment and easier to deliver See page 40


Front Cover - See page 14 December/ January 2015 Issue 95

Efficient control of utilities and facilities

BCAS explains how improving compressor efficiency at a European level will affect the whole market See page 50 News & Comment p4, Policy & Legislation p8, Gas & Electricity p16, Building Controls p22, M&T p26, The Energy Awards p32, Lighting p34, Renewable Energy p40, HVAC p42, Compressed Air p50, Water Management p56

Guarantee your organisation’s security with energy performance contracting. See page 14

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Closing the energy performance gap

Buildings are currently consuming between 150% and 250% of their predicted energy and carbon values

Whether a building is newly built or has just been retrofitted there often occurs an energy performance gap – the difference between what the building actual uses in terms of energy and what it potentially should use. The National Energy Foundation’s Dr Kerry Mashford, speaking at the Building Services Summit, summed it up nicely with: “In theory, theory and practice are the same, whereas in practice they aren’t.” The problem is that many contractors, developers and installers think that the end-user has not spent the time to properly understand the building, optimise control strategies for changes in use or they use the space in an unexpected way from what it was designed to do. Occupiers, on the other hand, believe that the building has not been designed correctly or that the technology installed what not as efficient as claimed. CBxchange, the public forum for building energy professionals at the cutting-edge of narrowing the performance gap through sharing data, information and best practice, states that, on average, buildings are currently consuming between 150% and 250% of their predicted energy and carbon values. The difference in energy use and carbon emissions of non-domestic buildings in some cases has added over £10/m² in unexpected annual operating energy costs. It is not just a question of bridging the performance gap through better commissioning, ensuring that build quality is high and that building users and understand and operate it within the confines of its design. It is also about the correct installation with proper measurement and verification. This has become a big issue recently for the standardisation of the assessment of the implementation of energy saving projects. There needs to be a vigilance to ensure in a systematic way that the building is being used and optimised on a regular basis. This goes for newly occupied and newly refurbished buildings as much as for newly built ones. The commissioning stage of buildings and newly installed equipment is often too short and crammed in at the end of a longer process but a few extra days could make a real difference to the operation of the building. There also has to be a better understanding of the actual use of the building by designers of technology and controls systems as well as retrofit and new build designers. Although there is a lot of legislation surrounding buildings such as the Building Regulations and the Energy Performance of Buildings Directive these often focus on minimum standards and not enough on the actual performance of the building in use. The NEF, for one, has a Building Performance Evaluation – a tested and defined method that can be adopted to measure and monitor building performance before, during and after building projects. This provides the means of quantifying any performance gap and gives the insights into its root causes. Schemes such as this need to become standard practice for all of those involved in the running, commissioning, planning and construction of buildings.

4 December 2014/January 2015 | water energy & environment

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the coming decade A new independent report, Pathways for Heat: Low Carbon Heat for Buildings, calls on the next government to set heat as a policy priority for the coming decade. The report takes stock of what we understand today about the challenge of decarbonising heat for buildings by comparing six pathways for the sector to 2050 from a variety of different organisations (DECC, CCC, ETI, National Grid, UKERC, Delta EE). Chaired by shadow energy minister Jonathan Reynolds MP, and Conservative member of the Energy and Climate Change Select Committee Dan Byles MP, the report is written by cross-party think tank group, Carbon Connect. Sponsored by Energy &

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A step to an international climate change agreement A new 2015 agreement on climate change, that will harness action by all nations, took an important step forward in Lima in December following two weeks of negotiations by more than 190 countries. Nations concluded by elaborating the elements of the new agreement, scheduled to be agreed in Paris in late 2015, while also agreeing the ground rules on how all countries can submit contributions to the new agreement during the first quarter of 2015. These Intended Nationally Determined Contributions (INDCs) will form the foundation for climate action post 2020, when the new agreement is set to come into effect. During the two-week 20th Conference of the Parties, countries also made significant progress in elevating adaptation onto the same level as action to cut and curb emissions. Manuel Pulgar-Vidal, the minister of the environment of Peru and the COP president, said: “Lima has given new urgency towards fast tracking adaptation and building resilience across the developing world – not least by strengthening the link to finance and the development of national adaptation plans. Pledges were made by both developed and developing countries prior to and during the COP that took the capitalisation of the new Green Climate Fund (GCF) past an initial $10bn target. Christiana Figueres, executive secretary of the UN Framework on Climate Change (UNFCCC), said: “Governments arrived in Lima on a wave of positive news and optimism resulting from the climate action announcements of the European Union, China and the United States to the scaling up of pledges for the Green Climate Fund.”

Since July 2014 when the Energy Saving Opportunity Scheme (ESOS) came into force, the case has been made time and time again that participants should focus on the ‘O’ in ESOS – opportunity. Opportunity has largely referred to the chance to save money with implementing energy efficiency projects identified from ESOS. Driving home this point makes sense: the success of ESOS hinges on organisations getting behind the idea that ESOS can help them save money through realising real increases in energy efficiency. Yet the recent focus on direct economic gains as a result of engagement with ESOS may be overshadowing another set of important benefits associated with ESOS. Active engagement with ESOS and with Energy Efficiency will provide organisations with another type of opportunity – the chance to communicate about their energy use and management with their investors, clients, and wider audiences. The proactive energy management that ESOS will facilitate will increasingly resonate with investors and the public in 2015 and beyond. This is mostly due to the fact that energy and climate issues were in 2014, and will continue to be a focus of media attention in the coming year.

Media’s focus on energy and climate issues Indeed many of 2014’s big stories in the media involved energy issues in one way or another. For example, the ongoing tension between Russia and Ukraine has perhaps left the British and European public increasingly aware and uncomfortable with the nation’s (and Europe’s) dependency on Russian gas. These events have also left the public much more aware of where their gas comes from,

and thus likely more invested in reducing reliance on gas associated with political regimes they may not wish to support. Looking forward, a continued focus on energy and climate issues is expected in 2015. This is mostly due to the run up to the UN climate talks in Paris in late 2015 (COP 21), which many are outwardly positive about. It is expected that the momentum around the UN climate negotiations and increasing unease with the European dependence on Russian gas will continue to direct media attention to energy and climate issues, and will ultimately direct public attention toward energy.

Leveraging increased interest in energy efficiency into more For large businesses around the UK, the nation’s focus on energy and climate issues in 2015 and beyond will mean that people are increasingly interested in energy efficiency. If energy efficiency, and ESOS, are positively engaged with by participants, there will be considerable opportunity to leverage that into positive narratives – narratives which will be likely be quite well received. In summary, then, there are very real CSR opportunities with ESOS, apart from the potential monetary gains. If you are interested in telling your ESOS and energy management stories, get in touch with Robin Hamaker at rhamaker@ She provides energy audits, advice on energy behaviour change and on UK energy legislation such as CRC, CCA and ESOS. T: 0333 7000 250


UK businesses pan electricity market reforms The government’s energy market reform (EMR) programme has created more headaches than remedies for Britain’s big businesses and most expect power prices to rise by about 10% in 2015. More than three quarters (78%) of company directors surveyed by Energyst Media for the 2014 Directors Report said EMR had created more problems than it had solved. Roughly the same proportion (74.5%) of company bosses indicated that rising nonwholesale energy costs (green taxes, transmission and distribution) were a worrying development. Almost two thirds (63%) expected power prices to rise by about 10% in 2015. Some 43% expected gas prices to rise by the same amount. Two thirds (66%) have

“Almost two thirds (63%) expected power prices to rise by about 10% in 2015” allocated budget provisions for energy price rises of between 5% and 10% in 2015. While Ofgem’s reforms to liquidity came into force in April this year, 60% of respondents suggested that a lack of liquidity remained a problem for their businesses when purchasing energy in the UK. As the EMR programme

approaches its fifth year, flags around unintended consequences, such as incentivising old, inefficient plant (including coal) via the capacity mechanism, are being raised with increasing frequency. However, ahead of the first capacity market auctions, most directors (69%) agreed a capacity mechanism was needed to help ensure security of supply. The majority of directors (58%) also voiced dissatisfaction around the clarity of suppliers charging structures. The same proportion (59%) said price certainty was more important to them than flexible energy purchasing strategies. The Directors Report also shows how business bosses rate their suppliers and third

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party intermediaries/brokers and how they rate their own purchasing teams. It also suggests considerable appetite for collaborative buying and a significant gap in benchmarking energy purchasing effectiveness. Download the Directors’ Report for free at

Ofgem: wholesale power liquidity improving Liquidity is improving in the wholesale electricity market, according to Ofgem. In an interim report following its intervention on 31 March, the regulator said early indications suggested its Secure & Promote reforms appear to be working. However, the regulator said it did not have a complete picture of the data and was conscious of being seen to perform a victory lap at half time. Secure & Promote is Ofgem’s attempt to boost liquidity levels and ensure independent suppliers can access the products need to supply customers at a known price ahead of delivery. Earlier last year, 2014, it introduced a market making measure that compelled the big energy firms to trade within two, hour-long

trading windows, and also a set of rules governing how the big suppliers trade with small suppliers. While stating that a full year of data was required to assess how well its measures were working, Ofgem said that

indicators such as increasing churn (the number of trades compared to the amount of power consumed) and falling bid-offer spreads were positive signs. However, bid-offer spreads (the difference between

6 December 2014/January 2015 | water energy & environment

the buy and sell price) have been falling since 2010 and Ofgem is not yet getting the full picture, as its data is based on market close, and so only reflects spreads in the afternoon window. The report also suggests that while trading continues outside of the two market making windows, the majority of trades do occur within them. Analysts had expressed concern that trades may be sucked into the windows leaving dead curves outside them as the intervention came into force. Ofgem said trading volumes remained low, but were on an upward trend. The regulator added that smaller suppliers had also confirmed that the big firms were playing ball more readily, although credit and collateral remained their main challenges.

Funding for energy efficient technology

UK’s ’20GW of back-up power generation should be itemised’, Lords told

Nineteen UK firms developing energy efficiency solutions and entrepreneurs trying to commercialise low carbon technologies were granted a share of £9m via the government’s Energy Entrepreneurs Fund. The winners were announced as DECC launched the next phase of the programme, urging companies developing low carbon energy projects in generation, efficiency and storage to bid for a share of £5m in the fourth funding round. Up to half of the money has been earmarked for carbon capture and storage projects. The biggest grants last month went to microchip firm Samad Power and grid-scale battery developer Cumulus (£800,000 each). Nottingham-based Sasie will use its £590,000 grant to further develop complete sustainable energy systems for large multiple occupancy buildings, including heat and power generation, storage, metering and monitoring. Oxford PV has been awarded £669,000 in the third round. It has developed thin-film solar cells which can be printed directly onto office windows to produce a transparent, coloured coating. The firm claims its technology is cost effective and can provide a “significant percentage” of a building’s power requirement, making buildings “their own power stations”. Oxford PV founder and CEO Kevin Arthur said the extra funding will be used to “recruit more scientists and engineers and invest in advanced capital equipment in the UK that will allow us to compete with global developers and bring optimised perovskite solar cells towards a goal of more than 20% efficiency ahead of our competition.”

The UK’s back-up generation should be itemised and documented in a central database, the Lords Science and Technology Committee looking into resilience of the UK’s power infrastructure has been told. Former United Utilities boss Dr John Roberts gave evidence to the Committee on 16 December, representing the Royal Academy of Engineers. Lord Winston asked whether such a national database existed. Roberts said commercial aggregators had a fragmented view of back-up generation but that a complete

inventory was lacking. Thompson asked whether the Committee should recommend the database be created. “That would be a sensible suggestion,” said Roberts. “I think the responsibility should lie with distribution network operators or [National] Grid or both, maybe with Ofgem overseeing it.” Written evidence submitted by David Newbury, research director of the Cambridge Energy Policy Research Group, and Michael Grubb, Professor of International Energy and Climate Policy at University College London, noted the

potential for UK industrial back-up generation to ease the risk of capacity shortfall. They cited estimates of 20GW of back-up generation “a huge volume which if correct, and made available at times of peak need, would negate any significant risk of capacity shortfall”. That 20GW estimate was made by EA technology more than five years ago. Newbury and Grubb stated that the “apparent lack of any official estimate of this capacity appears to be an important lacunae which should be corrected as a priority”.

Energy firms start to hog growth list Energy companies are among the UK’s fastest growing businesses. More than a dozen energy firms made the latest Sunday Times Virgin Fast Track 100 league table. High levels of switching in late 2013 and much of 2014 has led to growth spurts for energy suppliers such as Ovo (in 10th), Spark Energy (23rd) and First Utility (55th). Commercial gas supplier CNG also made the list, with growth at the firm nudging 48% on average over the past three years. The company aims to double its share to 10% of the commercial gas market over the next 10 years. Anesco a go-go But energy services firm Anesco remains top of the pile for the second year running, after growing sales by 375% a year over the past three years. The Readingbased company said it was set to double revenues this financial year to some £170m. CEO Adrian Pike said continued growth was due

“Energy services firm Anesco remains top of the pile for the second year running” to moving quickly to market with new solutions, citing commercial battery storage as an example. A domestic battery storage product will soon follow, he added. “We are also developing solutions for greening up street lighting infrastructure and replacing oil systems with biomass boilers. These are just four of the ways we continue to transform the UK market and all of these services will be provided with zero capital cost for the customer, with the funding managed through the huge savings in energy costs that are

achieved by the initiatives.” Other energy industry firms on the list were grid connections specialists G2G Energy (seventh), wind turbine supplier and installer Earthmill started by Stephen Milner five years ago with his redundancy cheque (17th), Help-Link UK, Dual Energy, Glide Utilities and Vibrant Energy Matters. Waste management firm Transwaste also made the list, as did facilities management company Entier. Other energy-related companies on the Sunday Times growth list included oilfield services provider RMEC, Express Engineering and oilfield equipment manufacturer Centek. Other notable companies on the list were craft beer punks Brew Dog and the remarkably resilient Southampton Football Club, currently above Arsenal and Liverpool in the Premier League despite selling them their best players last season and enduring a current tough run of games.

December 2014/January 2015 | water energy & environment



New Energy Act in 2017? Three quarters of directors surveyed by panned electricity market reforms (EMR). Now investors and even the regulator think a new Energy Act may be required to sort out the mess. Brendan Coyne reports


s the ink dries on the last Energy Act, a new one will be required to correct all of its perverse outcomes. Former Citi utilities lead Peter Atherton has his money on 2017 or 2018. Atherton, now with Liberum Capital, last month told policymakers and regulators that following the election, if the coalition maintains the 2020 and 2030 targets, “there will need to be another Energy Act, probably in 2017/18 to correct all the perverse outcomes of the 2013 Energy Act, which in itself trying to correct all of the perverse outcomes from interventions of the last decade”. The policy to decarbonise electricity generation is “the biggest transformation of an industry and in fact the entire economy in the history of the UK”, said Atherton. As such, it will require government to take all decisions. Given government is “trying to do that anyway” it should

Whatever the contract you are given, if at some point the public don’t want to pay for it that will manifest itself in politicians stabbing investors in the back

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“stop messing around with a bunch of half-arsed market mechanisms, which are frankly delivering nothing but perverse outcomes, and… take all of the risks and all of the actions and live or die by it”. Not his preferred approach, “but that is where we are likely to end up”. Atherton was speaking alongside independent generators and suppliers and representatives from the DECC and Ofgem at an Electricity

Capacity auction investigation Although Watt Power’s George Grant said the capacity mechanism was not perfect, he said it had progressed from its early designs, was financeable and should attract new entrants. Mooted government reviews of the capacity mechanism from 2015, though, were counterproductive, said Grant. However on the same day that the UK’s first capacity auction commenced, further evidence of unintended consequences emerged as Ofgem announced on 15 December it was investigating one of the companies bidding into the auction. The investigation will consider whether UK Capacity Reserve Limited provided false or misleading information to National Grid (the Delivery Body) regarding whether it had planning consent for some Capacity Market Units (CMUs). While the regulator stressed that its investigation did not imply wrongdoing, the company, which was incorporated in July 2014, has registered 96 new build power plants for auction. UK Capacity Reserve Limited is owned by the same people behind Solihull-based UK Power Reserve Limited, which has a portfolio of small CHP sites and gensets around the UK. It has registered 15 refurbishing plants for auction.

8 December 2014/January 2015 | water energy & environment

Market Reform panel session in the House of Commons. The session was chaired by Dan Byles MP, a member of the Energy & Climate Change Select Committee. Unintended consequences Both generators and suppliers agreed that while further intervention was unwelcome it was inevitable given the unintended outcomes now emerging. Watt Power managing director George Grant noted that one unintended consequence was already manifesting itself ahead of the first capacity auction, with coal-fired generation the likely winner. “New plant is going to set the price for the auction. That gives a huge windfall to existing capacity and enables it to stay open a lot longer. So we may see inefficient, carbon-intensive plant [extended] at the expense of new gas capacity,” he said. What the market is seeing, said Atherton, was the result of “structural and

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fundamental contractions and inherent weaknesses” of the policy manifesting themselves. “Everybody is running around and trying to find solutions. Sorry, but the problem is the policy.” Hinckley C “abomination” Atherton warned of a looming “bow wave of [plant] closures” and urged more political debate about the direction the current policy was taking. He was particularly scathing of the Hinckley C contract and the decision to sign a £24bn cheque from the public purse. “It is the most expensive power station the world has ever seen by an order of magnitude. And yet the [developer] still thinks he can earn 10-11%. How can that be? Because it’s the wrong contract. It’s an abomination,” said Atherton that will “blow up in the nation’s face somewhere along the line. And yet as far as I can work out, nobody is batting an eyelid.” Unless the public understands the decisions being taken on their behalf and are willing to foot the bill, investors will remain nervous, he said. “What investors have seen is that the public hasn’t a clue what is happening” and when the time comes to cough up “they really don’t want to pay… which fundamentally undermines everything”. “Whatever the contract you are given, if at some point the public don’t want to pay for it that will manifest itself in politicians stabbing investors in the back. “It is not just theoretical it has already happened across a dozen European countries and it has manifested itself here with [Labour’s mooted] price freeze.” Politicians must “convince the public what they have to pay for and [tell them] this is the price they have to pay [for decarbonisation]”, said Atherton. “Everything

else leads to problem, after problem, after problem.” New Energy Act Ofgem’s senior partner for markets, Rachel Fletcher, agreed that another Energy Act may be needed. She also suggested working on an exit strategy from EMR, which is now in its fourth year as a reform project. “The question we need to ask ourselves is whether it is clear how EMR is going to evolve, what is our exit strategy from it and if so, how, what and when.” Liquidity While Ofgem’s reforms to liquidity came into force in April this year, 60% of directors polled by (Directors’ Report, see page 6) suggested that a lack of liquidity remains a problem for their businesses when purchasing energy in the UK. At the Electricity Market Reform session, RBS head of energy Andrew Buglass suggested there was “actually a decent amount of liquidity around to support independent generation and supply”. Ofgem’s Fletcher also said that the liquidity reforms had started to deliver progress, evidence of which Ofgem would provide at the end of the year. “We have seen churn rise, we have seen bid offer spreads reduce,” said Fletcher, with the caveat that Ofgem had only been collecting data for six months. While there had been early concern that “liquidity might get sucked into the market making windows and leave trading during the rest of the day potentially non-existant, she said that Ofgem was “not seeing any evidence of that at this point.” we&e For more regular news and policy updates, sign up for the water energy & environment newsletter at and follow @EnergystMedia

Flexible gas purchasing opens up to SMEs Many businesses want to take advantage of the benefits of purchasing gas on the live energy markets that in the past have been restricted to larger organisations. CUB (UK) Ltd, together with GDF Suez, has developed an exclusive product that lowers the entry requirements for businesses looking for a flexible gas contract. The Exclusive Purchasing Collective (EPC) allows businesses that consume more than 1 million kWh of gas a transition to live energy markets and access to the best energy prices through the CUB procurement team. Structured around proactive purchasing, multiple purchases are made from a choice of four trading screens, to an agreed buying strategy, throughout the contract duration. In this way the EPC reduces the risk of taking one single fixed price, while retaining budget certainty. There is also a multiple choice of default mechanisms to take advantage of changing market conditions. These are features that will appeal to many businesses that are looking to reduce costs and deliver on their financials. As members of the EPC are buying as a group the overall prices are immediately lower than they could achieve individually, due to the reduced risk premiums that suppliers apply to companies within group purchasing plans. They also benefit from the take or pay advantage where the group tolerance is used rather than just the single site. However, the EPC is different to many other baskets. It is still a group of customers contracted together but importantly they are able to retain their individual cost base without subsidising the other members of the collective. CUB has put this basket deal together with the end user firmly at the front of their minds and has negotiated bespoke terms and conditions that benefit and protect the members of the EPC, including the ability to change from a flexible contract back to a fixed contract at any time during the contract period. Businesses considering flexible purchasing for the first time will be comforted to know that the

EPC offers complete transparency of processes and prices together with regular reporting to provide all the information they need to satisfy themselves that they are on target to meet their budgets.

Jaqui Fairfax (FCCA)

Jaqui is Chairman of CUB (UK) Ltd has seen the business grow from a small partnership to the thriving award-winning energy consultancy that it is today. “We are proud of the fact that many of the clients that came on board with us in 1994 are still with us and that our relationships have flourished and strengthened based on mutual trust, honesty and understanding.” – Jaqui Fairfax She came to work for the business in 1999 but prior to that she worked in many different industries including manufacturing and retail and is able to understand the opportunities, issues and challenges they experience.

CUB (UK) Ltd

Founded originally as a family run business in 1994, the family values and ethics still remain strong within the heart of CUB. CUB is known for community work and corporate social responsibility. Gaining trust is important to us and our number one priority is our clients. CUB takes pride in servicing client needs, working above and beyond our means, by providing a personable service to add value and keep customer satisfaction at an alltime high. Our services include: - Exclusive Purchasing Collective for gas and electricity - Flexible purchasing - Energy procurement for gas and electricity quotations - Efficiency services that include water auditing and bill validation - Management services that include on-site audits and KVA reduction


Beating the unknown Evgeni Kochman, Fabian Sempf and Michael Kruse from management consultancy Arthur D Little explain how a simplified approach to risk-based decision-making aids business investment


hanks to the turbulent business environment, making decisions is becoming both quicker and more complex. Nevertheless, most decisions are made based on single-numeric metrics (eg net present value or internal rate of return). One reason for the widespread use of such metrics is that they offer simple calculations, but more importantly, decisionmakers are familiar with them. They are able to understand the evaluation even with limited knowledge about the underlying assumptions. The factor of uncertainty is usually included by adding lump-sum contingencies or calculating multiple scenarios using different assumptions (eg sensitivity analyses). But even with risk-adjusted metrics, the possibility of neglecting huge upside and downside potential is still there. This might crucially affect the final decision, especially in changing and complex environments such as the energy sector. In this article a strong but pragmatic approach to the assessment of risks associated with business decisions is presented. The approach is illustrated using a real case example in which a business case for a large-scale power plant was developed. Knowing the rules Of the vast number of underlying assumptions, which are the main risks affecting the potential outcome? Three broad categories of risks can be identified that need to be dealt with in decision-making: • Low-impact uncertainties are the large number of small, independent risks

Figure 1: PERT distribution functions provide adequate uncertainty models set up from three input variables

Figure 2: Investments with the highest-expected NPV may also provide the highest downside potential

with relatively low impact on the business case (eg late deliveries and cost overruns). • Non-negligible uncertainties involve manageable amounts of uncertainty with significant impact and a realistic probability of occurrence. Often, these uncertainties are correlated additionally. An example would be a political election that influences the boundary conditions of the business case (eg regulations). • Black swans/catastrophic events are surprising, rarely occurring events with major impact on the outcome of a scenario (eg a vapor cloud explosion or a plane crashing into the power plant). The focus of the assessment should be on non-negligible uncertainties. Experience shows

that low-impact uncertainty can be covered by reasonably adding a contingency based on project management knowledge or historical data. Black swans “distort” the business case and have to be treated separately from the assessment model (eg through expected maximum-loss calculations and transferring these to insurances). Non-negligible uncertainties represent the main uncertainty drivers and can therefore be crucial to the outcome of a business case. Emphasis on these factors can add certainty to the results and enhance the basis of the decisionmaking process – especially if complemented by “stress tests” of the model through the assessment of major risks. One common example of a

10 December 2014/December 2015 | water energy & environment

non-negligible uncertainty in the power plant business is the market price of electrical power. For such uncertainties, very sophisticated and complicated price prediction models exist. But if businesses aim for reduced complexity, the PERT distribution provides a robust but easy-to-use solution that allows a fair balance between accuracy and model complexity. Historic data of the price development can then be used to derive the required input variables for the distribution: minimum value expected, maximum value expected as well as most likely value to occur (Figure 3). Accordingly, uncertainty models can easily be designed for other influential factors (eg engineering costs). The PERT distribution offers the possibility of asking an expert about how she thinks certain factors will develop (including most likely, minimum and maximum values – see Figure 1). This information is sufficient to adequately model uncertainties without having to burden experts with complicated mathematical constructs. In addition, the approach is easy to communicate when explaining the basis of the business case. Playing your hand Most of today’s business cases are based on large and often unmanageable numbers of assumptions. Integrating uncertainties into each assumption and combining all factors into a final result is difficult. A proven method is the Monte Carlo analysis. Based on uncertain input data, the Monte Carlo method generates a large number of scenarios to approximate the entire range of potential outcomes. And even

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Figure 3: Using the presented approach, an additional 30% in NPV could be achieved compared to the previously planned investment

though it is an approximation, the result is precise enough to give the decision-maker a decent understanding of the uncertainty level associated with an investment. Furthermore, a better comparison of alternative investments is possible. An example from a power plant evaluation, as shown in Figure 2, provides a good example of the advantage of risk assessments. Based on a simple NPV analysis, “Investment C” was considered the best investment opportunity. But after taking the associated risks into account, huge downside potential was revealed. In this example, “Investment B” presented the most reasonable choice, having a moderate expected return but a very low spread of potential outcomes. Building Monte Carlo analyses from scratch is demanding. But existing solutions provide reliable and manageable approaches to Monte Carlo assessments in business applications (eg integration of the Monte Carlo method within existing Excel models). Still, the challenge remains to systematically structure the risk analysis around the requirements of the existing business case.

Conclusion Using the described methodologies, possible outcomes of an investment will be assessed more realistically than is possible with simple static models. Executive decision-makers will have deeper understanding of the consequences of their decisions. The pragmatic approach will give them an easy-tounderstand explanation of the numbers presented. This way, valuable time can be used for actual decisionmaking instead of alignment and communication of oversimplified assumptions. In the asset evaluation example from the energy and utilities industry, the use of the method led to the following two outcomes: • a switch from the originally planned investment decision to a more lucrative option, and • a drastic reduction in the alignment effort between the supervisory and executive boards due to a common understanding of the business case. The revision ultimately resulted in increased benefit of approximately 30% of the previously expected NPV (Figure 3). we&e

2014 seemed to fly by, leaving in its wake the final details of Electricity Market Reform (EMR) and thousands of businesses faced with the task of conducting audits across their estate by December. We’ve all read countless columns on the need to get to grips with the Energy Savings Opportunity Scheme (ESOS) since it passed into law last year, but that doesn’t mean everyone is fully geared up to compliance. By now, businesses should be monitoring their energy consumption and be on the way to appointing a lead assessor, but there are still some gaps in ESOS knowledge that need to be filled before businesses can crack on with compliance. Over the past couple of months we’ve held workshops on the scheme, helping businesses to understand what they’ll need to do to comply. One of the most frequently asked questions is around ISO50001. Should businesses go down the route of ISO50001 accreditation? My response is simple: ISO 50001 is an excellent option for many businesses to implement best practice energy management, tighten processes and ultimately reduce consumption. Accredited sites are exempt from ESOS, so it probably makes good business sense too. However – with less than 12 months until the first ESOS deadline, it’s a risky decision and certainly not a simple avoidance trick. The lengthy certification process and work required means timescales could be prohibitive and you might be better off undertaking ESOS audits in 2015 and working towards ISO50001 accreditation for future phases. Appointing a lead assessor is also a common query, not least because of the growing concern around the availability of accredited assessors to conduct the audits for the 10,000 businesses that have to comply.

Timescales are tight, but it’s not too late to complete the audits and act on the recommendations to get in-year benefit If you don’t have anyone internal on an accredited Environment Agency register, then appointing an external assessor should be on the top of your to do list. Look for someone with sector-specific experience, who will understand your business. That lead assessor will also help to determine what to audit, another common theme in these workshops. The lead assessor will clarify what represents a representative sample, and what can sit outside the 90% that needs to be reported upon. They can also help to get your data in order: assessments must include 12 months’ consecutive data, with an “anchor point’”of December 2014. There’s a wealth of information on ESOS to help get to grips with the scheme – such as the ESOS Hub ( ESOS timescales are tight, but it’s not too late to complete the audits and act on the recommendations to get in-year benefit and cancel out the cost of compliance. My final piece of advice? Think long term: if you treat ESOS as a box-ticking exercise, you’ll miss out on the opportunity to make serious savings. To register for a place on an Inenco ESOS workshop, visit

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Market report water energy & environment’s regular section brings you an eight-week overview of the latest analysis of the power and gas markets from Energy Trader Daily. By Serge Mazodila

Gas Sum'15   63  

Geopoli,cal risk    -­‐   Ukraine    



59 57   55  

Bearish Win'13/14  

53 51   49   January  2014  


he fundamentally Bearish gas trading environment of 2014 has persisted throughout the last quarter of the year (Qtr4’14) , as temperature forecasts, for the UK, have held near/ above seasonal normal levels with expectations of cooler weather in the early months of the new year (Qtr1’15). With the country’s longrange storage facility now seeing levels south of 90% full capacity, the energy market’s short-to-medium term outlook remain highly dependent on future weather forecast coming to fruition, in order to raise demand for

April 2014  

natural gas, lifting prices away from the current depressed levels (July lows). After the brutal lateNovember rally, based on the return of Ukraine as a risk factor, and the subsequent sell-off prompted by the colossal oil market plunge, the gas market proceed to post lower trades in the final trading month of the year (December 2014). The UK power market’s behaviour has also remained highly correlated to the country’s gas sector throughout 2014, emulating the NBP market’s sell-off and rebounds throughout the year. Following the return of

July 2014  

the previously suspended nuclear power stations (unplanned outages); the curve has returned to trade to the downside as the leading power generation commodity (gas) has also taken a beating. Similar to its gas counterpart, the outlook for the power curve in the first quarter of 2015 (Qtr1’15) remains highly reliant on weather during the trading period and the gas market’s directional move, raising the possibility of a Bearish start to the New-Year should the expected high demand levels, for energy, not materialise should the weather remain mild.

October 2014  

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December 2014/January 2015 | water energy & environment



Energy assessments and Energy performance contracting (EPC) is a performance-based procurement method and financial mechanism that can enable organisations to effect building renewal without the need for capital expenditure. Paul Lynch, building energy services technical manager at Veolia, examines the process and explains how this approach, combined with investment in an efficient CHP system, can guarantee energy security for organisations


nergy security should be a pressing issue for all business and industry sectors. Significant challenges are now being faced, exemplified by the fact that about a fifth of UK power stations are due to close within the decade. The country’s energy infrastructure will therefore need to adapt in order to meet what are already ambitious legally binding carbon emissions. Meanwhile declining reserves of fossil fuels make the need to import energy even greater. Fifty per cent of the UK’s gas is already imported from elsewhere and this is expected to rise to 75% by 2025. Planning to mitigate the risk of energy disruption is clearly a requirement for any organisation seeking to ensure business resilience in modern and uncertain times. By enlisting the advice, insight and expertise of a dedicated energy and utilities management provider, organisations can pinpoint areas for potential saving that may not have previously been obvious. By establishing reliable energy networks and ensuring that the energy needed is delivered where and when required, at the same time as decarbonising energy supplies can help reduce a dependence on the international fossil fuel

market for the longer term. It has been proven that even small steps can deliver tangible energy savings, with associated carbon reductions. However, there is no ‘one size fits all’ approach. Energy demand is dependent on the size, type, age and application of the building. An energy efficient building is a key element in any guaranteed energy security strategy. Without being addressed, the gradual degradation of building services will only result in the correlative hiking of operational energy costs. With this in mind an energy performance contract is built on the opportunities for building fabric and equipment improvements, with savings from improved energy generation and use spent on upgrades. With no upfront investment for the customer and the benefit of cumulative savings, there is an immediately available fund that can be used to cover this work, as well as any unforeseen maintenance costs. This money is the result of improvements to the energy network and the way it is delivered to the building. Such a model is underpinned by a guarantee, forming part of the KPIs for the energy company. This ensures there is an obligation on the part of the provider to ensure savings

do not fall short of the outlay, so there is never a need to bridge a potential shortfall. This means that for longer term planning there is much more transparency for the client too: in the cost of energy, in the savings and capital available for improvements and in a clear route to identifying the most suitable and viable changes. The first step must be to recognise the issue and act upon it. Appointing a delivery partner that can work with energy managers, building engineers and those responsible for running the building will help to identify the individual organisation’s and building’s needs before developing a plan to establish energy efficiency, set up the most reliable networks for energy delivery and reduce carbon emissions.

14 December 2014/January 2015 | water energy & environment

The expert eye of an energy and utilities management partner is likely to throw up interesting and fresh approaches. A strong relationship is key to a successful delivery and an integrated approach between the organisation and delivery partner can help to support wider FM services across the business. Together with energy efficiency improvements an energy performance contract is likely to also include renewable technologies. This provides a useful route for gaining additional energy savings as well as improving energy security further. Crucially it is the viability of renewable solutions that will often determine the overall scope of savings and assurance that can be achieved.

energy investments

Investing in biomass CHP As a result of the cost savings associated with implementing EPCs and with a desire to make the most of government incentives, a rising number of building and estate managers in the UK have also started to look towards investing in biofuelled energy plant as an alternative to grid supplied energy. Available technologies are increasingly varied and range from biomass boilers to biofuel CHP systems that deliver electricity, heat and in some applications, cooling. For large commercial sites such as supermarkets, hotels and hospitals, the combination of biofuels with CHP is of particular interest as the CHP system provides major additional carbon and potential operational cost

Where biomass is accurately and correctly specified with the right advice, it has the potential to produce clean, carbon neutral energy with heat and power loads that meet the demand of the building for which it is intended

savings. System configurations can vary depending upon the type of building and the energy requirements and demand profiles. An enginebased CHP package using biofuel, instead of mains gas, will suit many applications. For large-scale applications biomass systems could be considered. In these systems a boiler will produce highpressure steam, which is used to power a turbine that connects to a generator for electricity generation. Heat that is emitted as a by-product of the ensuing electrical generation process is then effectively recovered to heat water, making the use of the fuel source doubly efficient. But efficiency associated with CHP-based onsite power production also arises from its proximity to the point of demand as transmission losses are greatly reduced. Processed wood pellets and wood chip complement biomass-based low carbon systems. Where biomass is derived from waste wood, pellets represent a carbon lean fuel source that does not have the same embodied carbon as green wood, i.e. energy crops solely grown and harvested for pellet production. Instead, life-expired wood is diverted from a waste stream bound for landfill and converted into pellets. This means that wood pellets are low-cost, readily available and ultimately one of the preferred biofuels for heat and power production. Having established the benefits and viability of a biomass system and fuel store, it is imperative that the plant is sized, specified and installed accurately to ensure it delivers the projected savings. The selection of a maximum

efficiency plant is not always the solution that will return the best commercially viable savings. Much rather financial savings need to be weighed up against the carbon reductions achievable and then offset against any available incentives. Once the size and configuration of the CHP system and more importantly the locations and quantity of fuel to be stored at any one time has been identified, it is possible to specify the size of the energy centre required to house the system. Despite conversion many sites retain an existing fossil fuel backup for heating to provide peaking capacity during periods of higher demand and enable the biomass CHP to be specified to meet the base load. This allows the biomass boiler to operate within its modulation range for a greater part of the year, spending more time at a higher output and delivering the best levels of efficiency. To get the most out of a biomass solution though, it is key to develop a true understanding of the technology and the correct specification – in particular the sizing – of the plant and the logistical challenges attached to it. Where biomass is accurately and correctly specified with the right advice, it has the potential to produce clean, carbon neutral energy with heat and power loads that meet the demand of the building for which it is intended. An energy and utilities specialist will ensure all factors are deliberated at the planning stages to ascertain that a biomass installation is the most appropriate energy efficiency measure. For more information on Dalkia’s energy performance capabilities visit

December 2014/January 2015 | water energy & environment



The devil in energy price detail ICIS has launched the ICIS Power Index (IPI), offering the benefits of its pricing expertise for free. ICIS head of power Zoe Double explains


What moves a price will also vary depending on delivery period – a contract for the next day may react to a short-term condition, like a windy day generating more supply from renewable electricity than usual, but the weather tomorrow would have little if any impact on the cost of electricity delivered more than a year away. In fact, discussion on energy prices is often confused by the direction of wholesale values – contracts for shortterm delivery may move higher, while at the same time, different price drivers are pushing prices for longer delivery periods lower.

nergy prices have rarely been out of the headlines since bills started to rise while household incomes started to fall – the ‘what’ and the ‘why’ of energy price and investment has never been more highly politicised. In June alone, headlines splashed on lower wholesale energy prices throughout the first half of this year, and these discussions are unlikely to go away with a general election fast approaching. Most agree that the UK needs energy markets that work effectively, giving clear price signals based on real supply and demand. Having a forward market for electricity means both generators and users can manage their risk, and gain some idea of expected future price levels. But there’s a lot less agreement on which prices to look at when talking about wholesale market trends. Complexity Values for electricity to be delivered the next day are indeed below last year – these prices reflect the warmer than average seasonal temperatures and the UK’s full-to-bursting gas storage levels, which impacts on electricity generators’ fuel costs. Over the second quarter of 2014, prices for delivery six months ahead and beyond also fell below 2013 levels – and these reflect falling demand long-term, a completely different driver. Typically, energy companies buy and sell the bulk of their electricity at least a year in advance, and trade up to four years ahead.

Transparency With this in mind, ICIS is launching a single index value for wholesale electricity price movements – the ICIS Power Index (IPI). As a price reporting agency, ICIS’ role is to bring The different transparency to markets that timescales within trade “over which prices are the counter”, or published OTC. We speak to buyers and sellers and provide neutral and independent prices, as well as reporting and analysing what drives market values. We help by publishing the data that we use, including trades reported to us, and our prices are widely referenced in long-term electricity contracts. By referring to a specific price rather than a fixed price, the risk of market movements are shared between buyer and seller, and a neutral price


Forward markets are rather more complex than any heated debate on energy prices may make them appear. On any working day, ICIS publishes prices for electricity delivered over more than 20 different timescales, ranging from the next day to six-month contracts that may not be delivered until four years away. Each of these prices will change each daily trading session, depending on factors like weather reports, economic data, fuel price movements and events such as a power plant shutting down.

16 December 2014/January 2015 | water energy & environment

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The ESOS opportunity Darren Lennon, head of strategic sales at npower, explains how the EU Energy Savings Opportunity Scheme (ESOS) should be seen as a cost saving opportunity for businesses

The IPI is is a simple indicator of wholesale prices

from a price reporting agency avoids the price deliberately favouring either counterparty. The IPI is based on a full year of delivery, so ICIS uses trades data for electricity delivered for the next winter and the next summer. These two seasons reflect the reality of the market in purchasing electricity in advance. They are also typically the contracts that are traded the most, so prices reflect the activity of a wide variety of energy companies. ICIS calculates the average traded price for each season, according to the volume of electricity bought or sold – so a larger trade concluded at a lower price would bring the average down, because more volume changed hands. Then the two seasons are averaged together, weighted to reflect national demand – the UK uses more electricity in the winter than the summer, so more power is bought at the winter price, which is typically higher. The result is a simple and accessible indicator of wholesale prices. Liquidity The IPI also demonstrates the UK electricity market at work, based on real trading activity reflected in other price benchmarks in use within the industry. ICIS publishes the volumes used to calculate the IPI, so

the volumes used show the level of participation in the wholesale market. Ofgem’s concerns over liquidity in the UK electricity market are well-documented. The largest utilities are now required to post bids and offers on key contracts – including the first winter and the first summer, on which the IPI is based – during two daily trading windows. Of course, the IPI would not satisfy the more expert electricity buyer who manages his or her own portfolio – the IPI is designed as a simple indicator of wholesale prices across the market, and there is no adjustment to reflect demand profiling. Similarly, for information on individual companies’ profit margins, UK energy regulator Ofgem’s published reports would show more detail, as energy companies’ strategies vary, and the IPI reflects the market as a whole. ICIS’ role remains to bring transparency and neutrality to the energy markets, and we hope that by offering the benefits of our pricing expertise through the IPI, free of charge and available to all, the debate can focus on improving how the energy markets function to benefit everyone. we&e To follow the IPI, or for more details, go to

We often talk about energy policy and how it will impact your business, especially with 2014 being a landmark year for the implementation of the Electricity Market Reform (EMR). ESOS, part of mandatory EU legislation for member states, aims to support businesses to achieve cost savings and, ultimately, cost reductions through energy efficiency. We’re keen that businesses see this not as a policy cost but as a real opportunity to minimise pressure on squeezed margins. According to DECC, if businesses can reduce consumption by just 0.7% as a result of implementing some of the efficiencies highlighted by their ESOS audit, it will deliver more than £250m in savings a year. And where businesses are prepared to invest in measures with a payback period of two years or less, this figure increases to £1.6bn a year. At npower, we see the opportunity being far greater. We are encouraging businesses to take control of their own costs, and we believe that through implementing simple efficiency measures, the average business could reduce consumption by 20 per cent. Not only because it is environmentally desirable, but also because there are sound commercial reasons for making significant energy savings. Leading by example, we’ve put in place a number of measures in order to maximise energy efficiency across many of our own different sites, from offices to depots, earning us the ISO 50001 certification. By investing in our own energy saving programme across the UK, we have managed to exceed our original 20% target. We’ve achieved an absolute reduction in energy usage of 28.49%, with a net saving of £750,000– a significant amount for any business’ bottom line. ESOS audits need to be completed by all large enterprises – employing 250 or more staff, or with turnover of more than €50m and an annual balance sheet of more than €43m, or large groups where one UK office

fulfils this criteria – by 5 December 2015,and then every four years thereafter. To help businesses meet this deadline, we’re providing support throughout the process; establishing your eligibility, collecting data, auditing and ensuring compliance requirements are met, and then advising on how best to implement recommendations. After taking care of the short-term ESOS requirements for the first year, we can then lead customers onto ISO 50001 accreditation, exempting their current portfolio from future ESOS requirements. As the first UK energy company to get ISO 50001 accreditation with an award-winning record of carbon reduction, we are able to share our own expertise with customers on the same journey. This international standard in energy management provides a robust framework from which to drive on-going efficiencies and energy savings, really helping your business to make the most of optimising costs effectively. We’re also able to help spread the cost of audits and help to fund efficiency projects that require capital investment via Energy Performance Contracts (EPCs), whereby cost is offset against future savings. Find out more by visiting where you can also access a recording of our recent ESOS webinar. To contact a member of the team,


Capacity market hands consumers’ cash to energy companies Analysis of the outcome of the government’s £1bn capacity market auction shows that 95% of bill-payers’ money will go to energy companies to run power stations that would probably operate anyway


he main objective of the government’s capacity market auction was to incentivise investment in new gas plants to help keep the lights on. But analysis from the think tank IPPR shows that only £47m of the available pot went to new capacity. It is the old power stations, including polluting coal plants, that have received a major subsidy – effectively crowding out much of the new investment. Of the £956m available for 2018 “capacity payments” paid through a levy on consumer bills, £153m will go to old nuclear power stations, £451m to old gas stations, and £173m

the carbon pollution of any other fuel. The Committee on Climate Change has said that the most cost-effective strategy for reducing Britain’s carbon emissions is to stop emissions from coal by the mid-2020s. The announcement of a £173m subsidy for coal in 2018, and £292m over three years, will make that more difficult and more expensive for consumers. Jimmy Aldridge, IPPR research fellow, said:“Keeping the lights on is the single biggest energy goal of any government but their capacity market is an inefficient way of achieving this aim. Consumers will rightfully be asking whether this billion-pound handout was

Consumers will rightfully be asking whether this billion-pound handout was really required to pay energy companies to continue doing what they were already doing to heavily polluting old coal plants including some biomass. Each household will pay £11 per year on their bills for these payments. Measures that use smart technology to match electricity demand with available supply, which are the cheapest and lowest carbon option for keeping the lights on, have received just 0.5% of the total pot. With 9GW of existing coalfired power stations receiving subsidies from consumers there is a real danger that the government’s own carbon reduction targets will be missed. Coal emits more than twice

really required to pay energy companies to continue doing what they were already doing. “With the auction being comfortably oversubscribed and then clearing at such a low price there are genuine questions over whether this exercise was required at all. Carrington, the one new gas station being built in the UK currently, is going ahead without receiving any payment from the capacity market. “The capacity market is a 20th century solution to a 21st century problem. Rather than delivering windfall payments to big energy companies running old or polluting power stations,

from this result, and will it should be incentivising the help to improve the system’s cost-cutting and low-carbon ability to deal with short term ‘smart’ technologies that will fluctuations in demand at keep the lights on into the critical periods. However, future. The government for the majority of should look again industrial and at how it ensures commercial security of businesses supply.” today’s The capacity outcome is still market Sum coal-fired an additional involves an annual auction stations will receive cost that they will now where operators for operating have under four of power stations years to plan for and demand-side and mitigate through measures bid in to energy reduction measures.” receive a contract and payments A WWF funded report for supplying power when the launched in November 2014 grid requires it. The auction that by Imperial College London ran in mid-December 2014 has showed that without new awarded contracts for operators policies to reduce carbon to provide power in 2018/19. emissions, nearly half the UK’s However, Matt Osborne, coal power stations could still energy risk manager at Inenco, be running by 2030. This pointed out: “The final price would result in carbon dioxide of £19/kw is lower than many emissions from the electricity predicted, minimising the cost sector nearly five times higher burden of securing supply for than the Committee on Climate businesses and consumers. Change’s recommended It should also have a positive target for that year. impact on future market WWF’s energy and climate prices, by removing some risk specialist Jenny Banks premium out of the forward said: “Our government is curve. The majority of capacity rightly proud of its record of has gone to existing plants, international climate leadership which is undoubtedly a cheaper but our global credibility and quicker short term solution will be damaged if we fail to to securing supply, but we still commit to closing our own need to encourage investment filthy coal power stations. in new plant to help meet the “Only a week after pushing UK’s future energy needs. for stronger climate action The Contract for Difference at the global talks in Lima, mechanism will be critical we hear that our government to securing enough supply has committed nearly £300m to meet future demand. of bill payers’ money to “Businesses who took part pay dirty old coal plants to in the Demand Side Response keep on polluting.” we&e initiative will also benefit

18 December 2014/January 2015 | water energy & environment


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Computing – how Coca-Cola Enterprises could save the world Computing has recently overtaken the airline industry as the biggest contributor of carbon into the atmosphere. However, if you talk to anybody in IT, the small but important fact seems to have quite passed them by, writes Energy Managers Association CEO Lord Redesdale


here is a growing realisation that data centres use a lot of energy, one outside of Heathrow uses more energy than Luxemburg. Blaming data centres means only focusing on a symptom instead of the cause of the problem. The real issue is not building more data centres but rather not filling them with incredible amount of worthless data. The Cloud, which is not a fluffy thing in the sky but a large number of power-hungry data centres, has become a symbol of today’s throwaway society. We happily damp all the information we cannot be bothered to delete on to the Cloud without giving a second thought to either the greenhouse emissions this entails or the eventual cost of storage that will incrementally increase. The immediate reaction is to blame data centres. However, if we The capacity really want to most servers address this problem we are estimated fundamentally to run at need to change how we manage IT. If workforces are trained and systems are designed only to proactively store information of value, we would massively reduce the amount of data stored that is using energy at present.


However, the storage of data is a small part of the energy used. Running services efficiently and maximising its used percentage will also have an impact. Most servers, it has been estimated, run at 7% capacity. If servers were to run at 80% capacity that would massively reduce the energy cost or could

20 December 2014/January 2015 | water energy & environment

significantly reduce number of energy hungry servers. Another area that needs close scrutiny is the efficiency of applications. Although, a mobile phone can be charged through a solar charger, the real energy profile of a smart phone has been calculated to resemble the power of a kitchen fridge. This is

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2015 – the year of opportunity! By Louise Powell

It is difficult, if not impossible, to find an IT manager who could even tell you how much power they use

because Apps use enormous amounts of processing power but of course, the user of the phone will never be aware of the energy cost of an application such as a map. Is it inconceivable to have power ratings associated with Apps listed as standard in the future? The real villain of the peace in IT is the manner in which we use it. The IT manager in any company is probably responsible for more power usage than any other employee. It is difficult, if not impossible, to find an IT manager who could even tell you how much power they use. Any calculation of IT energy use will have to include all the devices in the office along with company servers, external server and the Cloud. There is a massive opportunity of saving energy and therefore costs, but until the IT managers start understanding this and their boards make them responsible for their energy bills, little will change. The EMA predicts that energy prices will double over the next five years and this will change the computing landscape. This sort of price rise means computing costs

For many of us, January can be pretty miserable. Christmas is a distant memory, pay day is still a few weeks away and it’s cold and wet outside. However, in my opinion, January should be a time for optimism and excitement about the year ahead. Particularly as 2015 is set to be the year of opportunity for energy managers.

Seize the opportunity will increase significantly. This could also mean that we enter an era where we will have to pay for email, and free social media will have to start to charge. IT managers that have no energy management qualification quite soon will not have a job. So where will the IT managers get trained in the future? The answer is simple. The first IT course in energy management undertaken by Coca-Cola Enterprises has just been completed. The course was provided by KumoWatt to the Low Energy Company (LEC) Stage 3 Energy Management standard as part of the LEC training scheme. Following the Coca-Cola Enterprises example, the computing sector, which is probably one of the least represented among the energy management community, could start employing a higher percentage of IT energy managers. The sooner the better, considering the amount of energy computing consumes. we&e Lord Redesdale established the Energy Managers Association in February 2012 and it now represents energy managers from companies with a collective energy spend of about £3bn

Rising energy prices, concerns over security of supply, environmental impact – these are just some of the reasons why improving energy efficiency is becoming increasingly important to organisations. An additional incentive has also arrived for many in the form of ESOS, the government’s Energy Savings Opportunity Scheme. Launched in June last year, ESOS requires large private sector organisations to undertake energy audits of their buildings, industrial processes and transport by 5 December this year. Whatever the motivation, 2015 offers a fantastic opportunity to raise the profile of energy efficiency – one that all energy managers should be looking to seize.

Plan to succeed

One energy efficiency tool expected to continue rising in popularity this year is ISO 50001, the international standard for energy management. ISO 50001 supports energy managers in their everyday role by providing a structured framework within which to manage energy, making identifying areas for

improvement easier. The standard’s flexibility also allows it to be tailored to suit all types of organisations. And best of all, ISO 50001 is a recognised compliance route for ESOS. Having an energy plan as part of ISO 50001 helps give energy managers a focus and direction for their energy efficiency programme. The added benefit that the plan has to be signed off by senior management means top level support should be there to ensure the programme is successful. All of which helps to make 2015 a very promising year. Denzel Washington once said: “Luck is where opportunity meets preparation.” I therefore encourage you to start preparing for the opportunities that 2015 has to offer. Good luck. Louise Powell is Business Development Manager at Gemserv. Gemserv works with organisations to develop bespoke ISO 50001 certified Energy Management Systems. For more information or to book a free Gap Analysis consultation contact one of our team on 020 7090 1022 or email


Rapid ROI for the MoD An installation of 55 Priva Blue ID controllers by Building Management Solutions Integrators (BMSI) is providing a host of benefits for Ministry of Defence personnel at a site in the West Midlands


MSI, part of British Gas, provides everything from control panel design and manufacture, electrical installation, BEMS software engineering and commissioning, through to offsite client training. Its project for the Ministry of Defence, one of the country’s largest landowners with more than 4,000 sites and about 55,000 buildings, was initiated with the aim of reducing energy consumption through the upgrade of an ageing building management system at an MOD site in the West Midlands. BMSI was appointed to the contract by

Carillion Enterprise (now CarillionAmey), which provides FM services for the MOD across the its estate. BMS upgrade “The BMS was slow, poorly maintained and relied on an old network,” says BMSI account manager Chris Bennett. “In addition, the system that was in place is no longer being developed and spares are very expensive. The site had experienced failing BMS network, outstations and software issues over the previous year, which in turn resulted in boiler plant running inefficiently, poor fault diagnosis and no

vision of plant operations.” Priva Blue ID consists of a base upon which individual functional modules can be installed. All the missioncritical components are located in these modules. The wiring takes place on the base, which is robust and insensitive to failures. However, in the unlikely event of a failure occurring in a module, the failure will remain restricted to this part of the system. The base is always live, and communication always remains intact. It operates independently of field equipment and can communicate with a wide range of field bus protocols. “Priva Blue ID was ideal for this project. It is fast and it is

22 December 2014/January 2015 | water energy & environment

It was our first project using Blue ID but it proved a value proposition for Carillion and the MoD

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payback period for the modular,” says Mr Bennett. MOD of just 2.4 years, “It was our first project which highlights the level of using Blue ID but it proved energy savings anticipated. a value proposition for BMSI now monitors the site Carillion and the MoD.” using its bureau service, with From BMSI’s perspective, alarms flagging up any one particular benefit spikes in energy of opting for Priva consumption so Blue ID was the that issues can Priva 2-wire be addressed functionality. without delay. It makes it Estimated number On site, a possible to of years for payback web-based reuse existing PC graphics cabling during system allows renovation authorised work and to personnel to view bridge considerably the status of plant and longer distances than is data across the site. achievable using ethernet. The fact BMSI was able to Only need a PC reuse existing sensors and One of the big advantages cabling on seven networks of Priva Blue ID is that resulted in tangible benefits there is no requirement for to the customer: increased a proprietary front end or speed of installation and special supervisor software minimum disturbance to like other systems. All that existing infrastructure. is needed is a PC – (as long as this PC meets all Familiar environment of the required security Another benefit of opting for network clearances). Priva Blue ID is the extensive For the MoD, the upgrade applications library. This is allowing authorised means that the MoD’s site personnel to access heating operatives will be able to controls immediately and work with similar graphics seamlessly without any of and operation to those they the previous issues such have used in the past. as communications errors The MoD site features and slow networks – the more than 70 individual site’s old network was buildings, many of which upgraded providing faster are storage or warehouseconnectivity and more type facilities. In total, the reliable communications. system currently deploys 55 Furthermore, visual Priva Blue ID controllers ability is now much better linking communications with enhanced graphics. across the site, predominantly This means any faults overseeing boiler, heating and can be addressed quickly, hot water functions, along rather than relying on a with a little ventilation. There reactive-based process. are already plans to extend Alongside major project the system in the future. installation, BMSI offers The five-and-a-half month maintenance solutions and project was completed energy bureau services. The in June 2014 by BMSI company’s service facility engineers specialising in the supports some of the largest upgrade of older BAS and BEMS installations in the standalone controls systems. country, including projects BMSI does not yet have full for prestigious landmarks and energy savings to report. FTSE 100 businesses. we&e However, the company has estimated a very short

A helping hand for demand-controlled heating systems


Demand-controlled heating systems offer a number of benefits but can lead to an increase in boiler dry cycling. In such cases, additional levels of control are required to prevent this. It is becoming common for a building’s heating system to be controlled through a demandled control strategy, which may be determined by temperature, occupancy or a combination of the two. However, buildings are dynamic and typically accommodate multiple uses and, in most cases, will use their boiler plant for both space heating and hot water. Where boilers are only providing space heating the likelihood of all heating zones being satisfied at the same time is highly unlikely. Therefore one or more of the boilers will be on standby and dry cycling. If the boilers are providing constant temperature hot water then a demand-led control strategy will not be appropriate. This is because the hot water will need to be maintained at the required temperatures and its use may be sporadic throughout the day. Installing Sabien’s M2G boiler load optimisation alongside your demand-led control strategy will ensure that boiler dry cycling is prevented during periods of the day when the boiler(s) are on standby to meet those transient, short burst heating requirements. When installed alongside your building energy management system (BEMS) demand control strategy the M2G will ensure the boiler(s) are only ever firing in response to a genuine heating requirement from the building. In fact, M2G will work effectively alongside any BEMS control strategy, be it sequencing, weather compensation or demand-led control.

Another important point to bear in mind is that boiler dry cycling occurs in each individual boiler – not within the system of combined boilers. As BEMS are not typically configured to monitor individual boilers (typically they are designed to monitor the blended temperature from all of the boilers), preventing dry cycling using a BEMS would require sensors to be attached to the flow and return pipework of each boiler and a control strategy written for each boiler. Without that, boiler dry cycling will not be detected or prevented. The M2G is the first boiler control to use flow and return temperature sensors to monitor, analyse and control the flow and return temperatures of the boiler in real time. As such, it is the only retrofitted control which is able to determine the actual heating demand on the boiler and prevent it from dry cycling without lowering the system temperature or using a fixed time delay. It is also able to self-learn, continually adapting to the changes in heating load on the boiler. Furthermore, all of the verified savings delivered by the M2G are actual kWh savings in gas consumption – not the reduction in firing time that some manufacturers promote. The latter has no relation to the money spent when high/low or modulating burners are used. M2G will typically deliver a payback in less than 18 months and requires no servicing, maintenance or continued commissioning. Since its introduction in 2004, the patented M2G has established itself as the market leading advanced boiler load controller. Sabien has delivered million-pound contracts to install M2G into the estates of BT, Lincolnshire County Council, the MOD and many others – and M2G is now available worldwide.

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The end of cost-led construction? BCIA president Steve Harrison considers some of the key points made during the 2014 Building Services Summit about the long-term efficiency of buildings


he theme of the Building Services Summit 2014 was “10-80-10”. These figures refer to the approximate cost of constructing, operating and decommissioning the average non-dwelling. The main point is that the majority of the costs in owning a building are incurred during its operational lifetime. Delegates heard speakers from the client side and experts from leading construction associations. It became very clear that clients are putting greater emphasis on how much it costs to operate their buildings – not simply the capital cost of new projects or refurbishment. Anyone in the construction industry knows that one of the main reasons buildings use more energy than they’re designed to is value engineering – a

We are an industry of haggling and brinkmanship. There is too much destruction of value all along the supply chain

focus on capital costs versus operational costs. Speaking at the Summit, B&ES head of sustainability David Frise made a very honest presentation about the construction industry, saying: “We are an industry of haggling and brinkmanship. There is too much destruction of value all along the supply chain.” The BCIA has always placed great emphasis on building

“Value and sustainability are linked and will continue to be so,” believes Debbie Hobbs

controls and building energy management systems as central to energy efficient buildings. But controls cannot perform miracles. A building that has been constructed with a cost-first approach

RBS names SenseLogix as successful innovator SenseLogix has been selected to take part in the RBS Innovation Gateway after 26 finalists pitched their green inventions to a panel of judges, in a bid to test their new products in selected RBS buildings and branches in the UK. The RBS Innovation Gateway, which was launched in March 2014, has three aims: to help RBS save more energy, water and waste; to nurture new ideas; and help local innovators and SMEs to accelerate their ideas to market.

The project attracted more than 140 submissions in just 40 days, from new concepts through to market-ready products and services. The innovation submitted by SenseLogix is a user-led energy management system that manages buildings based on how they are used, rather than the traditional management method of managing buildings based on how they are programmed. This usercentric approach creates intelligent, reactive buildings that are energy efficient.

24 December 2014/January 2015 | water energy & environment


RBS’ target for energy and water reduction

SenseLogix CEO Jonathan Luke said: “We are incredibly proud to be recognised in this way. Not only was SenseLogix the only company to have multiple innovations shortlisted, to be named as one of the successful innovators is a major accolade and a fabulous endorsement for EnergyLogix, our Enterprise energy management platform.” Announcing SenseLogix as a successful innovator, Marcela Navarro from RBS, who is leading the Innovation Gateway initiative, said:

can’t be saved from long-term inefficiency by the application of a single technology. Anyone who doubts that the operational cost of a building, or issues such as sustainability, will always be secondary to capital expenditure should be aware that this view is changing. And the market leaders changing this view are those with the financial clout to make it happen. Debbie Hobbs (right), head of sustainability for Legal & General, commented: “Value and sustainability are linked and will continue to be so and more in the future. Most of the property market knows that a G or an F EPC rating are no good and you certainly don’t want to buy one.” Hobbs and her team are taking the lead by working with the National Energy Foundation and Building Energy Solutions on a scheme known as Voluntary DECs (VolDECs). These separate the landlord and tenant energy rating, using the same methodology as statutory DECs, but with extended G ratings for greater differentiation. In this way, clients are tackling the challenging

issue of how to make tenant occupiers aware of, and responsive for, their own energy use. VolDECs are a good example of how direct action by clients with a strong interest in operational efficiency can bring about changes in the marketplace. One thing that can be said about companies that are drilling down to find out more about how their buildings perform long-term is that they tend to be highly efficient operations. If you know how much energy is being used; or where water waste can be cut, it’s likely that you have a detailed grasp of how the whole business is operating. Sainsbury’s is a good example of this. Phil Osborn, head of energy for Sainsbury’s, said that the supermarket was very focused on meeting tough carbon reduction targets by 2020. “We are now at 2005 levels,” he commented. “But we have 30% more savings to make in five years so it’s no picnic. We are optimising our use of BEMS and incentivising our store managers on targets.” At the same time, Sainsbury’s has successfully introduced Carbon Step-

RBS’ Marcela Navarro, Innovation Gateway initiative leader, flanked by SenseLogix’s David Hall (left) and Jonathan Luke

Change stores to test the application of new technologies and techniques for being more sustainable and energy-efficient. Osborn added that although Sainsbury’s does have ethical reasons for doing this “we don’t do anything that doesn’t make us money”. And so the Building Services Summit 2014 showed that there is a move towards greater understanding of the operational costs of running a building – whether an office, a multi-use site or

a supermarket. And those clients at the forefront of managing these costs are finding that it is supporting better business efficiency too. There can be no stronger argument for a move away from value engineering that reduces the value of our buildings. we&e Steve Harrison is president of the Building Controls Industry Association (BCIA) and global product manager for Belimo Automation

“Everyone connected with the RBS Innovation Gateway has been incredibly impressed by the innovators’ creativity and dedication to resource efficiency. The quality and the range of ideas have been phenomenal and SenseLogix’s stand out from a great group of brilliant innovators.” As well as helping RBS to save more energy, water and waste, the Innovation Gateway aims to support innovation and to help SMEs accelerate their access to market. SenseLogix sales and marketing director David Hall said: “To be named as a successful innovator by such an eminent panel is

excellent validation for our company. It is also wonderful recognition to everybody within the SenseLogix team.” He continued: “SenseLogix currently deploys EnergyLogix into a number of commercial, education and public sector organisations, as well as providing branded energy software platforms for a number of energy service companies (ESCOs)”. Three years ago RBS set a target to reduce the bank’s energy and water consumption by 15% and it is currently on track to achieve this. RBS currently uses 1173GWh of energy per year.

December 2014/January 2015 | water energy & environment



Energy saving toolkit for SMEs E.ON has teamed up with US energy intelligence company FirstFuel Software to help British small and medium-sized businesses (SMEs) benefit from energy saving analysis and tools that are usually only available to larger industrial and commercial businesses


.ON’s SME customers can access its Energy Toolkit free of charge. Hundreds of thousands of small and medium-sized businesses, regardless of their business type, could benefit from increased insight into how to better manage their energy use and where potential energy savings could be made. The new Energy Toolkit is simple and intuitive and offers personalised and relevant information tailored to a business’s characteristics and needs. The tool gives customers insight into their energy consumption, allowing them to monitor buildings and audit their activities before implementing changes. It is being trialled by about 20,000 E.ON customers before being offered to hundreds of thousands

more from early 2015. Anthony Ainsworth, business energy director at E.ON, said: “In recent years we’ve taken care to listen to our customers, in face-to-face conversations and through our online customer panels. What they want from their energy supplier is help in making sure they use, and therefore pay for, no more energy than they need. “In particular, our small and medium-sized business customers want to be able to cut through the confusion and find solutions for their business which are centred on real data, allowing them to understand, compare and control their energy use. “By introducing FirstFuel’s software into our Energy Toolkit, we’re changing the game for such businesses – offering advice and meaningful

Our focus is not only on bringing advanced analytics to bear for our clients, but also ensuring that we’re giving those organisations tools that drive outcomes in energy efficiency

tools based around their own circumstances and giving them benefits usually only seen by larger companies. Helping firms to manage their energy use in a simple and relevant way is crucial in our efforts to become our customers’ trusted energy partner.” FirstFuel Based in Boston, US, FirstFuel Software has clients in the US including Southern California Edison (SCE), the Department of Defense and the US government. Its analytics platform has helped US businesses identify average savings of 15% on their energy bills, with approximately 50% identified as operational – meaning the benefits are generally available at either low or no-cost to the business. Swap Shah, CEO of First

Clamp-on flow meter provides reliable water flow meas The supply of cast iron plays a fundamental role in the production of brake discs and drums for vehicle manufacturers, the motor racing industry and replacement part distributors. When melting iron up to 1,550°C, cooling water is circulated through an electric induction coil. It is absolutely crucial that flow is monitored constantly because, if water is lost, the electrical coil could melt and safety would be seriously compromised. Furthermore, a replacement coil would cost £35,000, plus the costs of repairing any collateral

damage caused by uncontained molten iron, notwithstanding the costs resulting from loss of production. Eurac Poole is one of the leading grey iron foundries of its type in Europe, supplying more than 40,000 tonnes of cast product every year. Molten iron is prepared in four mediumfrequency, coreless induction furnaces where cooling is a critical part of the process. Paul Sillence, Eurac Poole’s maintenance superintendent, had used electro mechanical flow monitoring devices on previous occasions and had found them to be unreliable.

26 December/January 2015 | water energy & environment

Fuel, added: “We’re excited to work with E.ON to bring forward a new age in energy intelligence and help continue to establish E.ON as the trusted energy advisor to its customers. Our platform enables E.ON to implement deep data analysis across its customer base at scale, giving the organisation the ability to share actionable insights with energy consumers. “Our focus is not only on bringing advanced analytics to bear for our clients, but also ensuring that we’re giving those organisations tools that drive outcomes in energy efficiency.“ The Energy Toolkit gives customers their own analysis conducted for each building, complete with an online web portal showing energy consumption and costs as well as a series of energy saving actions that could have significant impact on a business’s bottom line. Using simple pieces of customer information, like electricity consumption data and addresses, the tool also takes on board local weather patterns, building data and other information to identify energy use patterns and

calculate where and how the business can cut its energy use. Ainsworth added: “Many small and medium-sized businesses don’t own their properties but that doesn’t mean they can’t take action to reduce their energy costs; our Energy Toolkit provides advice on where savings can be made without the need for major investment in the building itself.” Alongside the Energy Toolkit, E.ON offers a range of benefits to help small businesses make real, positive changes to their buildings and their operations, including a free energy efficiency advice line with sector-specific information. Customers who want to invest in new energy saving products for their business can take advantage of E.ON’s supplier relationships which offer them exclusive access to discounted prices for lighting and other energy efficiency products. Customers wanting to register their interest for the E.ON Energy Toolkit should visit the account settings page within their online account. we&e


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asurement for foundry He wanted an alternative that would constantly measure the flow in a closed loop cooling system through an evaporative cooling tower. In addition, he determined that to avoid costly and disruptive downtime the flow meter would have to be non-invasive and easy to fix without any need to break into the system. He had read about Micronics devices in a technical publication and knew that the Buckinghamshire-based company supplied non-invasive flow monitoring devices. A Micronics U3000 Permanent Ultrasonic Liquid

Flow Meter was recommended and fixed on pipework serving the furnace cooling system. Because mechanical parts do not need to be inserted through the pipe wall or to protrude into the flow system, installation took just a few minutes and there was no need to shut down flow or drain the system, making it cost effective and practical. The device uses non-invasive ultrasonic sound transmission and detects liquid flow velocity inside closed pipes; it is simple to operate and gives a flow measurement to an acuracy of 1.5%.

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Will your New Year measure up? For those of us promising to lose the Christmas and New Year excess through healthier eating, less drinking and more exercise (perhaps on that new bike or treadmill), what resolutions are we putting in place to affect change in the energy industry, asks ESTA director Robin Hale


ow do we affect change within the energy industry? Is ESOS (Energy Saving Opportunities Scheme) our ready-made resolution to tackle those efficiency projects gathering dust on the shelf and not implemented? Maybe, waiting for a superassessment that will provide the right scenario for our board to finally sign onto? Certain mid-decade blackouts Whatever our plans are for 2015, it is unlikely to be the year to experience black-outs, generation shortages and the type of chaos that would make even the most accomplished energy manager extremely nervous. National Grid has measures and contracts in place to ward off peak-demand problems and peak-oil issues seem to have faded away. In fact, more concern should be placed over little happening at all. With the focus stemming around energy audits, ISO50001 standards and efficiency proposals and measures in order to complete ESOS reporting by 5 December 2015, will we see many new efficiency projects getting the go-ahead in the meantime? Will the impending general election mean that the first half of the year turns into a wait-and-see 6 months, with the only real activity - paperwork exercises? And training courses? Just another year? The start of 2015 will be a great opportunity to brush up on the technology that is breaking into the market and the innovative products that


Keeping upto-date with technology improvements and options is paramount to understanding more about the efficiency margins in your energy portfolio in terms of both strategy and outlook

will add to any organisation’s bottom line. It will make sure that if ESOS is the primary objective for your continuing energy strategy during 2015 that you provide your organisation with the right options to get the best postassessment recommendations. So, whether you are in the private sector under the ESOS catchment or in the public sector squeezing more from your energy spend in tighter budgetary constraints, keeping up-to-date with technology improvements and options is paramount to understanding more about the efficiency margins in your energy portfolio in terms of both strategy and outlook. aM&T 2015 ESTA’s annual automated Monitoring & Targeting conference and exhibition, running at the Ricoh Arena, Coventry on 26 February and now in its 13th year will help you identify new technologies and trends and understand metering, measurement and monitoring in this digital age. aM&T is established as the key to successful energy management, unlocking data which can be drilled down into giving a greater understanding about your energy use. Sometimes mistakenly interpreted as just being linked to meters or sub-meters, aM&T actually consists of three elements: meters and measurement; communications and data capture; and software. Understanding these three constituent parts and bringing them together will

28 December 2014/January 2015 | water energy & environment

allow for a much better grasp of the opportunities that could exist. If your aM&T implementation in both electricity and gas is not up to scratch you are already losing efficiency opportunities and energy saving. Renowned companies as well as new market entrants will be showcasing their latest technology and linked to the exhibition will be a series of detailed energy clinics and a consumer-focused conference; providing insight through case studies, government policy updates and expert opinion on how aM&T has progressed and is fundamental to any continuing strategy. More details can be found at Fighting fit? Following the festive enjoyment and New Year, make sure that your energy responsibilities are on track to get the board into action. There are complete solutions out there to assist in identifying energy savings, many of which can help with increasing the quality and success of putting together a business case for investment. 2015 is the time to get your senior management clued up and put in the frame and for your energy monitoring and targeting to measure up so we can continue to enjoy the lights being on for a little longer. Happy New Year and see you in 2015. we&e ESTA represents more than 100 major providers of energy management equipment and services across the UK

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Helping businesses to grow At British Gas Business we don’t just supply customers with energy; we want to help organisations today and secure energy for tomorrow


ritish Gas is the UK’s leading energy supplier, supporting around 500,000 businesses with everything from gas and electricity supply, to a wide range of energy efficiency technologies. These include building controls and renewables, as well as boiler installation and maintenance, compliance and servicing. We’re dedicated to the needs of our customers, from small and medium enterprises, up to large industrial, commercial and public sector organisations. Our philosophy is based around creating a holistic strategy which is tailored towards the customer’s specific needs. About British Gas Business • We employ more than 5,000 people. Our headquarters are in Oxford and we have major sites at Leicester, Staines and Rotherham. • We supply gas and electricity to over 950,000 customer

sites across Britain. • We’re leading the way in installing smart meters for business customers, helping them to monitor and manage their energy costs. • We’ve been selected to partner with local authorities across the UK to deliver energy efficiency measures to the fuel poor and vulnerable.

• And for large organisations we offer Energy Performance Partnerships (EPP), a self-funding agreement designed to reduce energy consumption through investment in low energy technologies. • We can install and maintain a range of energy efficiency measures and can also enable businesses to

generate renewable energy on site. • We’re also leading the way in installing electric vehicle charging points. Partnering with car manufacturers we offer charging points in the home and businesses. We are also working with local authorities to install charging infrastructure across the UK.

A better way to supply energy Hudson Energy continues to be the one of the world’s leading business-tobusiness suppliers of electric power and natural gas. Hudson Energy is a part of the Just Energy Group, a publicly traded corporation (NYSE: JE). Established in 1997, Just Energy is a leading electricity, natural gas and green energy retailer, serving two million customers. With leading edge technology, Hudson Energy brings agility and flexibility to the UK market,

Hudson Energy as well as an experienced UK management team. Brokers have instant access to customer pricing information that enables them to generate comparative rates for customers within minutes as opposed to days, which is typical in today’s market. For our customers, this enables them to take advantage of

market conditions and offers a significant improvement in the accessibility and transparency of pricing information. Common sense in a complex world… Just when you think you know what to expect from an energy supplier, someone like Hudson Energy comes along and changes everything. We’ve got a different approach to products and service that we hope is like a breath of fresh air to our customers.

30 December 2014/January 2015 | water energy & environment

Good honest energy… It’s just what we do We’re not trying to change the world overnight. We simply think there’s a better way to supply energy. We’re a professional and experienced down-to-earth bunch who believes it is possible to run an energy service with honesty, respect and integrity. So if you feel more comfortable dealing with someone who tells it like is and treats you like a grown-up, you’ll feel at home with Hudson Energy. we&e

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The winners


n Tuesday 2 December more than 550 of the energy industry’s elite gathered at the London Hilton on Park Lane, to see who walked away with an Energy Award this year. It was recordbreaking year for entries and more impressive companies on the shortlist than ever before. All of this year’s entrants, finalists and winners deserve to be recognised for their contribution to the energy industry. Our esteemed judging panel had the very difficult task of narrowing down the entries to an exceptional shortlist and then to select the very worthy winners. The judges were extremely impressed with all the hard work and innovation displayed by the entrants this year. Congratulations once again to this year’s winners and finalists, who are demonstrating that they are leading the way in the Energy industry. we&e Register your interest for next year’s awards at

1. Behavioural Change/Employee Engagement – ZapCarbon for Cranfield University Saves £170,000 Through Staff Engagement 2. Excellence in Demand Reduction – Wessex Water for Demand Reduction at Bridgwater Waste Water Treatment Works 3. Energy Data Collection and Analysis – Joint winners: Jaguar Land Rover (3a) & Wessex Water (3b) for Wessex Water Energy Hub 4. Energy Efficient Building Project of the Year – Muse Developments and Blackpool Council for Bickerstaffe House, Talbot Gateway, Blackpool 5. Energy Efficient Partnership of the Year – Amber Energy & The Student Housing Company for ISAV Sustainable (Invest, Save, Increase Value, Support our Environment) 6. Energy Efficient Product of the Year HVAC&R – Minus 7 for The

32 December 2014/January 2015 | water energy & environment

Hybrid Energy Harvester 7. Energy Efficient Product of the Year Lighting – MHA Lighting for MHA Lighting’s BrightStar 209 8. Water Efficient Project of the Year – Whitbread and Waterscan for ‘Good Together’ Water Strategy 9. Energy Efficient Technology of the Year – OxyMem for OxyMem Smart Aeration 10. Supplier of the Year - I&C (Industrial and Commercial) – EDF Energy 11. Supplier of the Year - SME – Haven Power 12. Third Party Intermediary of the Year (Broker of the Year) – Alfa Energy 13. Energy Buyer of the Year – Debenhams and npower 14. Outstanding Contribution to the Industry – David MacKay 15. Judges’ Supreme Award – ZapCarbon

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December 2014/January 2015 | water energy & environment



Upcycled street lamps deliver savings Switching to more energy efficient street lighting can be a fine balancing act between capital expenditure and projected savings. A new product from Harvard Engineering extends the options


very local authority in the UK is faced with the Before and after constant challenge of balancing a tightening budget with increasing demands on expenditure and soaring energy prices. Street lighting typically accounts for as much as 30%-50% of a Energy savings council’s power delivered by of the consumption. old gear. Harvard the Retro LED The Engineering gear tray retrofit has developed an solution is part advanced, LED gear tray of Harvard’s LEDeng that can help councils upgrade range, allowing SON, SOX and street lights to LED without CFL street lights to be easily having to pay the often huge converted to LED without lamp replacement costs. losing lighting performance. With a high quality of light The geartrays deliver instant and energy savings of an energy savings of up to 75% additional 16% over PLL gear and CO2 reductions of up to trays, the Retro LED gear trays are the perfect plug-and-play 100kg per lamp per year. solution. They also have the Available in 35W to additional benefits of taking 150W replacement options, just three minutes per lantern Retro LED uses a lanternto install, including removal specific geartray holding


a rectangular light engine, which is powered through an integrated Harvard driver. It produces an even white light with a colour temperature of 4,000K, compared with the 1,800K typically offered by SOX lamps, a colour rendering index of 70 and 1.7 SP ratio. As with all Harvard products, it is designed, sourced and manufactured in the UK. The Retro LED solution is compatible with Harvard’s award-winning LeafNut wireless management and monitoring system for outdoor

lighting, which offers an additional 40% energy saving on top of savings already gained by a switch to LEDs. The low capital cost of the Retro LED is significantly less than the cost of a new LED luminaire and offers councils an energy efficient ‘lights on’ alternative to saving energy by switching street lights off for part of the night. In addition, the long lifespan of LEDs ensures minimum replacement and maintenance costs. Upcycling street lights may just be the way forward.

Furniture showroom shines brightly RLiving, a state-of-the art furniture showroom in Hal Qormi, Malta, is achieving 70% energy savings following the recent installation of Goodlight LED lighting. The new lighting system was specified by INLED, the exclusive Maltese distributor for the Goodlight LED range. Based at a prime roadside location, RLiving was keen to investigate the use of “Warm White” LEDs as a retrofit solution for the traditional G24 26W CFL “Daylight” lamps that had been installed over

two years previously. Having trialled numerous lamps and options from various suppliers, RLiving chose to install Goodlight LED products after investigations proved that

their natural colour excelled in highlighting the earth colours of displayed items of furniture. The 8W LED PL Goodlight replacements have greatly increased the quality of light

34 December 2014/January 2015 | water energy & environment

throughout the showroom, in key display areas and across the shop floor. As an additional bonus, the LED lamps’ low heat emissions have resulted in a reduced need for air conditioning, thereby providing even greater energy savings. Goodlight LEDs typically consume between 70% and 75% less energy than their traditional counterparts, with no reduction in lux levels and with a lifespan that is at least five times longer.

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Pembroke optimises energy use CP Electronics has helped Pembroke College in Oxford to improve its energy efficiency thanks to the installation of its Rapid lighting control system


P Electronics’ Rapid lighting control system has been installed to provide energy-efficient switching and dimming in new buildings recently constructed by Pembroke College, Oxford. The brief was to provide accurate and easy adjustment of light levels, something vital for today’s places of learning, particularly the lecture theatre, which has to cater for both traditional teaching and high-tech presentations. Flexibility and ease of use, combined with maximum energy efficiency, were key considerations for the college. Founded in 1624, Pembroke is one of the traditional colleges which make up Oxford University. The college recently completed a major new build

project on a site adjacent to its main site, connected by a footbridge. The new buildings comprise more than 100

en-suite bedrooms, seminar rooms, a lecture theatre, café, art gallery and other facilities. Specified and installed by

R T Harris & Son, Oxford, various products from CP have been used to control illumination levels in student

Megaman provides divine intervention Megaman lamps have been chosen for the refurbishment of the 14th-century St John The Baptist Church in Meopham, Kent. The project, carried out by CES Lighting & Electrical Engineers, involved a complete redesign of the lighting and the addition of bespoke fittings, in addition to the rewiring and installation of lighting controls throughout the building. CES is an expert in design and installation in listed buildings, particularly ecclesiastical, and worked closely with Megaman to come up with a scheme that was sympathetic to the surroundings but that also

The dimming ratio is very smooth with no cut-offs or flickers with dimming down to 5%, which is important with a historic building of this type

provided the improved light levels while saving energy. Like any historic building, providing good ambient light can be a problem but

Megaman provided a solution with its dimmable 10.5W classic LED 2800k and 7W GU10 LED 2800k lamps, which were used to replace halogen and incandescent lamps. These energy efficient lamps were incorporated in bespoke ceiling pendants, each incorporating 8 x 10.5W Classic LED’s for general illuminance and 4 x 7W GU10 LED’s to provide downward focused illumination. The GU10’s were also used for lighting in the main body of the church. The results were amazing – lux levels at 3,200mm below range from 100 to 315 throughout the nave and the colour rendering is excellent.

36 December 2014/January 2015 | water energy & environment

The dimming ratio is very smooth with no cut-offs or flickers with dimming down to 5%, which is important with a historic building of this type so that the right ambience is achieved. Another benefit is that, as the energy levels are so low, the Megaman lamps can be linked to the emergency system so the exit routes will always be highlighted. Graham Smith, senior partner at CES, commented: “Megaman provided good quality lamps and an excellent service, particularly in the design of the scheme – we will definitely be using them for future projects.”

Featured column

The system optimises energy efficiency by controlling lighting in relation to daylight, presence and absence

accommodation areas, corridors, the lecture theatre, café, seminar rooms, toilets and stores. These include the passive infrared detector EBDSPIR-PRM, which can be set for absence/ presence detection, switching the load on or off according to occupancy after a preset time. The time delay is adjustable between 10 seconds and 99 minutes and, if there is sufficient natural light, a built-in photocell will keep the lighting switched off. It also has the benefit of

optional manual override. As part of the college installation, the lecture theatre, café, seminar rooms and assembly room required a dimmable lighting system with scene setting for different applications and CP’s Rapid system was chosen for this application. Rapid is a fully addressable, networked lighting control system which is configurable, enabling a change of illumination to suit the mood in the area, without the need to change the hard wiring. The system was set up to allow pre-set scenes to be called from local scene plates on the wall for both phased dimming and digital dimming protocols to preset levels to the end user specified requirements. The system optimises energy efficiency by controlling lighting in relation to daylight, presence and absence. The high level of addressability has enabled the designers to establish control parameters that best suit the design and usage of each space. we&e

Smart lighting helps protect against asbestos By Saima Shafi We all know that the development and use of electricity has transformed the world in which we live. We also know that, alongside its many benefits, electricity can pose serious risks and that we all need to be careful not to expose ourselves to those risks. Of course, as users, we can be confident in the knowledge that our electrical products have to meet stringent safety standards so, as long as we handle such products appropriately, we will come to no harm. In the world of lighting, we have long been used to flicking a switch and enjoying a safe and reliable result. However, what about the installers of our lighting? A recent survey commissioned by the Health & Safety Executive revealed that electricians and electrical fitters come into contact with deadly asbestos, on average, more than 70 times each year. Such exposure to asbestos, and other potentially harmful building materials, often occurs during lighting upgrades. In these situations, installers are frequently required to create space in walls or ceilings to accommodate new fixtures and fittings. Furthermore, even when the new fixtures themselves can be surface mounted, they are increasingly supported by bulky controls and sensors that need to be hidden away for operational or aesthetic reasons. Modern retrofit lighting products are setting new standards of performance and functionality. Increasingly, these lights offer presence detection, automatic dimming, emergency battery back-up and other performance enhancing extras. However, these user friendly features are often not installer friendly. So, what’s the answer to avoiding the dangers of installers’ exposure to potentially harmful building materials?

Fortunately, the answer may be easier than you think. The latest generation of 2D LED retrofit lighting products has discarded the reliance on external controls and sensors by incorporating them into the lamps themselves. The most sophisticated of these “smart” lamps have been engineered as a unique controllable “three-in-one” solution, built into a single lamp. Typically, these new super bright 12W LED models replace standard 28W CFL lamps and are designed to be retrofitted into existing luminaires and bulkheads. They are the first retrofit 2D lamps to offer presence detection, automatic dimming and emergency battery back-up without the need for separately fitted components. By combining this impressive “three-in-one” control capability within the body of the lamp itself, installation is easier, faster, cleaner and, crucially, safer by eliminating the installer’s exposure to asbestos. As this cutting-edge technology becomes more widespread, increasing numbers of “smart” lamps will replace other traditional lighting models. This will, in turn, lead to a dramatic reduction in the threat to electricians and installers. However, in the meantime, the Health & Safety Executive is encouraging all tradespeople to visit a new asbestos safety web app. The free Beware Asbestos web app, designed for phones, tablets and laptops, leads users through a list of multiple choice questions. These cover the type of building they are working in, the job they are doing and the various types of asbestoscontaining materials. If you have any lightingrelated questions for Saima to explore, please email tim@ Saima Shafi is co-founder of Camberley-based LED Eco Lights

LIGHTING Arresting development in West Yorkshire CP Northern has supplied bespoke energy-saving lighting management systems for three new police stations in West Yorkshire. Each of the systems is designed to deliver optimum energy efficiency, combined with the inherent flexibility to meet diverse lighting control requirements and to provide automatic testing and monitoring of emergency lighting. The three new facilities – the Leeds District (DHQ) & Custody Suite at Elland Road, the Carr Gate Specialist Ops Training Facility in Wakefield and the Wakefield DHQ & Custody Suite in Normanton – have been constructed under an Interserve-led PFI project for West Yorkshire Police and Crime Commissioner. Working closely with Interserve, CP Northern supplied and commissioed all three projects simultaneously, covering a total of more than 30,000 addressable DALI devices, including around 20,000 luminaires – each with an individual DALI address. The spaces controlled through the systems range from open office areas and training areas through to cell blocks and firing ranges – all of which have complex switching requirements. The DALI panels were specially designed so that they could be fitted in risers and all of the systems are monitored centrally at CP Northern’s headquarters, in support of West Yorkshire Police’s facilities management team. In order to achieve the requirement for optimum energy and cost efficiency the lighting control strategy includes daylight linking, presence and absence detection and scene setting panels in meeting rooms. In this way the facilities are able to take full advantage of daylight availability while also ensuring that the lighting is able to respond to the variable occupancy of individual spaces.

Delmatic top of Kew House School class Delmatic has upgraded its lighting management system at Kew House School in London. The school is equipped with modern, cutting-edge facilities, including a food technology room, an art studio, a design technology studio, several science labs and a music department with practise rooms plus communal spaces awash with colour and light to cater for up to 600 pupils aged 11 to 18 years. The system, which controls lighting throughout the building, comprises a head end PC with active graphical software, which monitors and manages lighting throughout the project, routers, plug-in lighting control modules (switching and dimming), presence/absence detectors and multi-sensors. Fully flexible dimming control is provided throughout teaching and study spaces with switching in core areas. This highly sustainable system provides energy efficiency through dimming, daylight linking, presence and absence detection, while enabling adaptation without changes to the installation from one use to another. The installation has achieved the high standards of sustainability required to achieve a BREEAM rating, which encourages measures to accommodate future changes of use of a building over its lifespan.

Emergency lighting with energy savings

LED disposal confusion Revisions to regulations concerning the end-of-life disposal of LED luminaires with non-removable light sources continue to cause confusion within the industry, resulting in higher recycling charges and inefficient waste management, says not-for-profit compliance scheme Lumicom. Lumicom’s Simon Cook explained: “The inclusion of LED luminaires with non-removable light sources in Category 13 under the WEEE Directive means that these non-hazardous products can be lumped together with hazardous waste such as discharge lamps. This creates a very confusing situation for non-specialist compliance schemes and could result in an overall increase in the volume of products being committed to the hazardous waste stream. As recycling charges are based on weight, the inevitable result is that recycling costs are increasing.” He provides a recent example where a 10m lighting column with nonremovable LEDs will have to be disposed of in this way, the weight of the column itself increasing the recycling cost considerably – and unnecessarily. “Understandably, many people who don’t fully comprehend the new regulations are ‘playing safe’ by opting for Category 13 but they are incurring significant financial penalties as a result. A far more cost-effective and satisfactory solution is to work with a compliance scheme that specialises in lighting, such as Lumicom, to ensure that the most appropriate guidance is given while fulfilling their WEEE obligation,” Cook added.

New from Tridonic is the EMpowerLED range, which provides basic emergency lighting functions and mains operation all in a compact package. EMpowerLED BASIC FX 80W and EM powerLED CPS FX 80W are integrated with Tridonic’s corridorFUNCTION (sCF) all combined in a low profile casing with a cross section of only 21mm x 30mm for easy integration into slim LED luminaires. The units can be used in a wide range of LED applications with an output power of up to 80W and both products offer excellent energy savings thanks to the integral sCF function. The combined EM powerLED BASIC FX 80 W module not only enables LED modules to be operated from the mains supply but also provides simple emergency lighting functionality from a local battery. It covers a power range from 25W to 80W and the output current can be set via the Tridonic i-Select system in 25 mA steps between 150mA and 500mA. The CPS version has the same electrical parameters but is designed for operation on both AC mains and central DC battery systems. In mains operation the integrated sCF, in combination with a presence sensor, enables the lighting level to be reduced from 100% to 10% in the absence of people. This reduces energy consumption and leads to considerable cost savings.

38 December 2014/January 2015 | water energy & environment

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Ticking all the boxes Small-scale CHP using bioenergy is better for the environment and easier to deliver, argues Matt Drew, managng director of Saxlund International


hether you are The 2.4MWe an industrial Falbygden biomass consumer plant in Sweden requiring your own dedicated energy supply, or a power generator, combined heat and power (CHP) offers significant opportunities. It is highly efficient – up to 80% better. What’s more, CO2 emissions are significantly reduced, fuel costs and energy bills are lower and security of supply Improved efficiency is improved. of combined heat If you then use biomass and power instead of fossil delivering fuels, the gains can sub 10MW be doubly attractive. electric, we Woodchip biomass or believe, present pellets from sustainable better risk solutions for the sources and UK waste wood UK at this time and are easier (a still underused resource) to put together. Fuel supply plus other waste derived fuels chain issues are reduced as are all significantly cheaper local sources can be used than fossil fuels, and better without complex imports, for the environment. Add in planning consents are more the renewable heat incentive readily obtained and plants (RHI), and biomass-fired are faster to design and build CHP becomes an extremely – all attractive features. attractive option in the UK. However, it is also crucial Compared with Northern to size plants correctly Europe, however, the UK has to satisfy demand with been slow to reap the benefit. correct measurements for Securing appropriate finance expected heat and power is certainly a factor. Largerequirements over the life scale plants carry substantial of the plant. These factors risk with lengthy planning will almost certainly change. cycles. Investors expect to The expected efficiency gains see planning consents in will not be delivered if the place, certainty over fuel plant is only running at part supply and grid connections, capacity. Understanding and in most cases proven this is important as all the technology. They are also heat and power produced looking for secure energy must be used and maximum demand and they will be efficiency can only be nervous if the heat consumer delivered when the plant is cannot be relied on long term. running 24/7 year on year. For this reason, projects Some biomass plants fail to


deliver and this is generally due to overambition, not paying attention to the detail and cutting corners. This is particularly true for fuel handling systems — inadequate investment here is frequently the cause of plant issues and shutdowns, yet these problems can be avoided. True, biomass and other waste fuels, RDF and SRF, tend to be non-free flowing and difficult to handle. Designing out potential issues and specifying fuel bunkers, which operate a “first-in, first-out” fuel delivery solution, is crucial.

Projects delivering sub 10MW electric, we believe, present better risk solutions for the UK at this time and are easier to put together

40 December 2014/January 2015 | water energy & environment

A clear understanding of fuel specifications and likely changes in supply during the life of the plant, are also important design considerations when future proofing a project. With 60 years’ experience we know what works and what goes wrong, and with careful planning and the right partners, experience shows it is perfectly possible to deliver successful projects. Energy producers and major consumers such as hospitals, the brewing industry, process industries and manufacturers requiring process steam, heat and electricity can all benefit. It is also relatively easy to convert existing industrial heat centres to biomass and the use of advanced turbine technology means that existing “process steam”boilers can also be optimised to produce electricity too, with resulting instant benefits from new feedback tariffs. A typical CHP plant can convert between 6,000 to 80,000 tonnes of waste wood (such as forest thinnings, stumps and bark) into 170,000 MWhr of renewable energy each year. Twinwoods Heat & Power in Bedfordshire is a prime example. Expected to go live in 2015, the 3.4MWe CHP biomass power station will produce 27,000MWh of electricity and 8,000MWh district heating annually. This will establish the plant as a locally important source of renewable energy and is a clear pointer to how the UK can benefit from small-scale, locally relevant solutions. we&e


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HVAC maintenance packages with the company.” says Murray. Fulton has an enviable reputation for manufacturing fully prefabricated, skidmounted systems and plant rooms offering high levels of efficiency and reliability. Fulton’s highlyefficient, lowThe temperature temperature that food waste has FHE-250 hot water boiler to be kept at for features a one hour fully-condensing, stainless steel heat exchanger and its modular approach to design also means that additional boilers can be combined to suit any application and hot water requirement. With the boiler system is also used the complexity of control for the under floor heating being a criticism of many system in the offices and other hot water boilers available ancillary processes on site. on the market today, the new “We were so impressed FHE-250 uses a single control with the design, installation panel, which is capable of and the fact that heat and hot controlling a single unit or a water from Fulton’s boilers are modular installation. we&e used for so many functions, that we are also discussing


an industrial scale and in the absence of oxygen – biologically breaks down food material to produce biogas. Once the biogas is upgraded to the standard required, it is then injected back into the national grid. Fulton’s boiler installation at Refood is providing multiple functions. Its two primary functions are to provide hot

water for the cleaning of the site and hot water for washing and sterilisation of the food waste bins. The boiler system also provides heat to the pasteurises prior to the anaerobic digesters. To comply with ABP regulations, legislation dictates that pasteurised food waste has to be maintained at 70°C for one hour. Heat from

most appropriate solution. A correctly designed, wellengineered solution, tailored precisely to the application, will always answer the heating needs of the building and its occupants. In Reznor’s experience, bespoke heating systems are specified more often than ever before. One reason for this may be the pressure to achieve energy efficiency ratings. Modern heating installations must optimise fuel efficiency, produce lower greenhouse gas emissions, operate very effectively and quietly, and in some cases provide both heating and ventilation or summer cooling. Investing in high-efficiency heating equipment costs less in both capital and ongoing running costs, as

well as being eligible for 100% Enhanced Capital Allowances up to one year from installation. The benefits Engineered heating systems can include heaters complete with a range of optional extras such as filters, modulating burners, dampers, discharge heads, cooling coils, recirculation fans and so on, to meet the precise comfort levels required. Additionally, a Reznor solution will include the provision of other critical information, subject to the requirements of the building, such as heat loss calculations, schematic drawings, flue design, the suitability of types of control equipment and the optimum positioning for the equipment. Heating system design

will also take account of any constraints or obstacles imposed by the building, ensuring the correct layout for the installation. In the case of Reznor engineered solutions, effective partnership support for consulting engineers, ensuring the H&V requirements of the project are handled smoothly and efficiently, is part of the package. All routine queries about the heating installation can be handled with nominated contractors without having to refer to the consultants. Most heating specifications are fairly straightforward. However, some engineered solutions require heaters to be tailored for specific purposes, which was the case for clothing company ASOS. A unique heating system was required to guarantee a consistently

comfortable working environment for staff in ASOS’s 52,000 sq ft warehouse in Hemel Hempstead. As with all multi-level mezzanine systems there were concerns that heat from the lower level would rise to the top causing the top level to be too warm, while leaving the bottom level under heated. Reznor was able to provide the ideal solution using its Air Mix system. This unusual solution demonstrates the flexibility that an engineered solution can bring when a heating specification is unusually complex or out of the ordinary. In all engineered solutions, Reznor applies expertise and technical capability to develop a tailored and wholly innovative approach to heating. we&e

December 2014/January 2015 | water energy & environment



Cool savings Calsonic Kansei has achieved significant water and energy savings with adiabatic technology from IsoCool


utomotive plant. As it was, the existing components plant required an annual spend manufacturer of approximately £12,000 a Calsonic Kansei is year on water treatment and saving tens of thousands of salt (the latter supplied to a pounds in cooling costs at water softener), and £10,000 its Sunderland factory due to per annum on water make-up an energy and water saving through evaporation and bleed solution from IsoCool. off. Energy costs for the existing The project, which involved cooling system totalled in the the replacement of two ageing region of £13,000 a year. cooling towers with a single “Our specification was for a adiabatic ADCOOLER unit high quality, proven solution from IsoCool, is achieving that would ideally consist of one financial savings in the region piece of equipment at a suitable of £35,000 a year, in addition budget. To judge submitted to hundreds of thousands tenders fairly, I use a score of litres of water annually. sheet that marks each supplier Calsonic Kansei Corporation on a number of factors such is a global leader in the as product quality, cost and manufacture of high quality, service. Some suppliers simply innovative automotive didn’t provide enough value. components supplied IsoCool’s solution to a number of the was the only one world’s leading to fit the spec automotive perfectly,” firms. explained Historically, Norton. Estimated amount two ageing IsoCool’s of free cooling cooling towers solution were used to involved per year supply machine replacing cooling to 12 the existing injection moulding cooling towers with machines ranging from 220 a closed circuit adiabatic to 2,200 tonnes, in a section ADCOOLER, a unit which is of the factory, which produces made by Eurochiller, of which interior parts for several models IsoCool is sole UK distributor. of a large automotive brand. The ADCOOLER works by Although both cooling towers drawing ambient air through had served the plant well for variable speed fans, and uses many years, their advanced a small quantity of saturated age led to rapidly deteriorating water to remove heat from conditions, and the system the air through the process was losing thousands of litres of evaporation. No process of water a day in bleed off. water is consumed and water As a result Steve Norton, losses are negligible. In senior engineer at Calsonic addition, limescale formation Kansei in Sunderland, issued is reduced significantly and a tender for a cooling system chemical treatment minimised, that would improve the water while, with no aerosol and energy efficiency of the formation, air contamination


is eliminated completely thus avoiding health and safety issues such as legionella. In terms of performance, the ADCOOLER is able to achieve water temperatures at least 3°C below dry bulb ambient for this particular application – the closest to a cooling tower design without the inherent water treatment regime, water loss, and health and safety risks associated with evaporative towers. In addition, the ADCOOLER is designed intelligently to switch automatically between dry and wet bulb operation according to ambient temperature and humidity. In this installation, the ADCOOLER’s adiabatic circuit only operates when dry bulb ambient exceeds 20.4·°C; below this temperature, the unit delivers up to 100% direct air cooling. Before the unit was installed, IsoCool prepared a detailed running cost analysis of the existing cooling tower system compared with IsoCool’s ADCOOLER unit. As part of this, IsoCool estimated that the ADCOOLER would operate on free cooling for approximately 97% of time each year, with the adiabatic circuit running for only 220 hours out of 8,064. Electricity costs for running the new system were forecast to be almost half that of the

44 December 2014/January 2015 | water energy & environment

existing system, generating a saving of more than £6,000 a year on energy. In addition, IsoCool calculated that the new solution would save just over £30,000 a year on water (by almost eliminating water make up) and water treatment. In total, IsoCool projected that the new system would generate savings of approximately £40,000 a year for Calsonic Kansei, costing little over 1/5th in running costs of the previous cooling tower system. In line with the company’s strong environmental commitment, Calsonic Kansai has kept a close eye on the efficiency of the new system, which Norton said has had a significant impact: “We saw an immediate effect on water thanks to the installed flow meter. Before, we were losing thousands of litres a day from evaporation and water loss, but that changed overnight – now water loss is barely anything at all. Of course, we no longer have to buy salt, and the new solution is saving considerable sums on water treatment costs. In addition, the free cooling element is excellent – we’re benefitting from it whenever the ambient temperature is below 20.4°C, which is most of the year round in Sunderland.” we&e

At the latest state of development


Project8x_Layout 1 26/09/2014 12:37 Page 1

In a tight fit? Fit the JT

Semitec’s JT thermistor is the thinnest available world-wide. Only 0.5mm thick at its sensing tip, it has a very fast thermal response. It is laminated between two polymer layers to ensure a flexible yet resilient sensor. Available with varying lengths and R25 values, it is often used where other thermistors are just too big, too inflexible or simply too slow. The JT offers; • Very fast thermal response • Flexible and durable • 1% R25 tolerances as standard • R25 values of 10kΊ and 100kΊ • Various lengths from 25mm to 100mm In your application, if there’s no room for error then fit the JT ATC Semitec Ltd Anderton, Northwich, Cheshire, CW9 6FY Tel: 01606 871680 E-mail: Web:


BT completes extensive rollout of boiler load optimisation controls BT has realised saving of between 8% and 13% through the use of Sabien boiler optmisiation technology across its estate


T has completed a £1.2m contract with Sabien Technology which saw M2G intelligent boiler load optimisers installed at 246 sites across the BT estate. The roll-out followed a measurement and verification programme at three sites, which showed energy savings of between 8% and 13%. The savings were also validated by BT’s Energy and Environment team using the estates’ metered data. Richard Tarboton, BT’s director of Energy and Carbon, commented: “BT continues to drive down its energy consumption and carbon emissions. Our varied estate presents us with a challenge requiring innovative solutions that can be deployed with minimum disruption. The Sabien project is an example of this – the M&V phase and the subsequent

rollout demonstrates how the M2G is supporting the delivery of our energy and carbon reduction plans.” M2G’s ability to work alongside the existing building management systems, including demand control, sequencing and variable temperature control, is a key

requisite for organisations. Implementing M2G across an estate enables unnecessary energy use and carbon emissions caused boiler dry cycling to be prevented – an inherent problem found in many commercial boilers regardless of age and size of the boiler.

Sabien CEO Alan O’Brien said: “With the continued focus to drive down energy use and carbon emissions, organisations are looking for additional control to achieve this.” “The BT project is a great example of how M2G plays an important role alongside traditional building controls. We are delighted with this project, not just because of the level of savings achieved by M2G, but our capabilities of delivering a project across such a large estate. “During the M&V period and the subsequent rollout our operations team worked closely with all BT stakeholders, including control providers and building managers, to help them understand the role M2G plays and why it is required over and above the existing controls,” he added.



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Business users should look at using plate heat exchangers (PHE) rather than traditional hot water cylinders, says Stokvis. Here it highlights the advantages of a PHE. A hot water system using a PHE does not store hot water. The water is heated instantaneously and only when required. A PHE consists of a pack of plates (usually stainless steel) to transfer heat from the primary fluid to the secondary fluid. The plates and gaskets are arranged to form alternating channels between the primary and secondary fluids and arranged in this way, the plates have an extremely large heat transfer surface area and therefore considerably high loads are achieved from a compact Plate Heat Exchanger. For large commercial

applications a PHE is ideal as it is capable of producing hot water instantly and constantly at peak times. Calorifiers and direct-fired water heaters are less reliable and can empty of hot water should higher than normal demands occur. Besides the high output of plate heat exchangers they are also easier to maintain. An engineer can usually strip, clean and reassemble a typical unit within an hour. Furthermore, PHEs are easier to keep clean. Because they are non-storage units, PHEs present a far lower risk of contamination of the water with legionella microbes. The water is heated instantly on demand, and therefore the bacteria, which thrive in wet environments at temperatures between about 20 and 50°C, have no chance to breed.

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Training extended to Middle East Airedale International has embarked on a data centre design and maintenance training programme in the Middle East as part of its commitment to supporting customers and business partners in the region


iredale International commenced a three-day pilot programme last year covering data centre design and maintenance that was attended by more than 100 individuals from its end user client base, consultants, contractors and business partners. They were joined by HVAC technical works managers from the British Embassy in the UAE and Saudi Arabia who welcomed Airedale’s proactive approach. Stuart Fenwick, regional technical works officer, British Embassy Dubai, said: “It is refreshing to see manufacturers taking an active interest in training their customers in this market.” As a result of the pilot’s success, Airedale will be rolling out an extensive programme throughout the Middle East, which will initially focus on Bahrain, Kuwait and Qatar. The sessions were carefully tailored to the differing needs of the audience and ranged from installation, commissioning and service requirements to strategies for data centre design to support those involved in business development as well as specifiers and consultants. Designed to support field engineers and technicians working with Airedale equipment, the first day covered topics such as key components of data centre cooling systems, requirements for installation and commissioning in addition to fault-finding techniques and maintenance requirements.

The second two sessions provided a forum for sharing the latest best practice in data centre design with specific emphasis on how to configure data centres for maximum energy efficiency and resilience, load calculations, design principles and unit selection, controls strategies and integration with Building Energy Management Systems (BEMS) and Data Centre Infrastructure Management (DCIM). The 2015 programme will also see the British manufacturer roll out a series of CIBSE accredited Continuing Professional Development (CPD) sessions for a number of the world’s largest consultancies with names such as AECOM, Arup and others committed to further training early in 2015. Typical CPD modules cover energy optimisation strategies including freecooling technology and aisle containment, energy efficiency metrics and how they are considered as part of system design, in addition to low global warming potential (GWP) refrigerants and a large number of other topics. Following the sessions Airedale training manager Keith Nicholls said: “The training was intended to provide a comprehensive understanding of Airedale’s precision cooling products, coupled with specialist training for each discipline attending on the day. Judging by the lengthy discussion that went on at the end of the formal training, the sessions were extremely well received with

Typical CPD modules cover energy optimisation strategies including free-cooling technology and aisle containment

48 December 2014/January 2015 | water energy & environment

many positive comments as to content and relevance. This is the start of an ongoing process with our partners and clients in the region.” Commercial director Mark Viner, who attended with managing director Clive Parkman and Middle East regional manager Andrew Walker, added: “Airedale has been a major driving force in the cooling industry for some 40 years now. This has seen us pioneer many of the advances in cooling technology and build significant knowledge of data centre cooling in challenging climates. With the launch of our programme in the 1980s we were first to recognise a need for training to ensure systems continue to operate at their peak once they leave the factory. “We are as committed now to ensuring customers know how to get the best out of their applications in terms of energy efficiency and resilience. This ensures they meet their regulatory obligations, keeps energy costs down and helps clients manage their environmental objectives and overall risk.” we&e


Training extended to Middle East Airedale International has embarked on a data centre design and maintenance training programme in the Middle East as part of its commitment to supporting customers and business partners in the region


iredale International commenced a three-day pilot programme last year covering data centre design and maintenance that was attended by more than 100 individuals from its end user client base, consultants, contractors and business partners. They were joined by HVAC technical works managers from the British Embassy in the UAE and Saudi Arabia who welcomed Airedale’s proactive approach. Stuart Fenwick, regional technical works officer, British Embassy Dubai, said: “It is refreshing to see manufacturers taking an active interest in training their customers in this market.” As a result of the pilot’s success, Airedale will be rolling out an extensive programme throughout the Middle East, which will initially focus on Bahrain, Kuwait and Qatar. The sessions were carefully tailored to the differing needs of the audience and ranged from installation, commissioning and service requirements to strategies for data centre design to support those involved in business development as well as specifiers and consultants. Designed to support field engineers and technicians working with Airedale equipment, the first day covered topics such as key components of data centre cooling systems, requirements for installation and commissioning in addition to fault-finding techniques and maintenance requirements.

The second two sessions provided a forum for sharing the latest best practice in data centre design with specific emphasis on how to configure data centres for maximum energy efficiency and resilience, load calculations, design principles and unit selection, controls strategies and integration with Building Energy Management Systems (BEMS) and Data Centre Infrastructure Management (DCIM). The 2015 programme will also see the British manufacturer roll out a series of CIBSE accredited Continuing Professional Development (CPD) sessions for a number of the world’s largest consultancies with names such as AECOM, Arup and others committed to further training early in 2015. Typical CPD modules cover energy optimisation strategies including freecooling technology and aisle containment, energy efficiency metrics and how they are considered as part of system design, in addition to low global warming potential (GWP) refrigerants and a large number of other topics. Following the sessions Airedale training manager Keith Nicholls said: “The training was intended to provide a comprehensive understanding of Airedale’s precision cooling products, coupled with specialist training for each discipline attending on the day. Judging by the lengthy discussion that went on at the end of the formal training, the sessions were extremely well received with

Typical CPD modules cover energy optimisation strategies including free-cooling technology and aisle containment

48 December 2014/January 2015 | water energy & environment

many positive comments as to content and relevance. This is the start of an ongoing process with our partners and clients in the region.” Commercial director Mark Viner, who attended with managing director Clive Parkman and Middle East regional manager Andrew Walker, added: “Airedale has been a major driving force in the cooling industry for some 40 years now. This has seen us pioneer many of the advances in cooling technology and build significant knowledge of data centre cooling in challenging climates. With the launch of our programme in the 1980s we were first to recognise a need for training to ensure systems continue to operate at their peak once they leave the factory. “We are as committed now to ensuring customers know how to get the best out of their applications in terms of energy efficiency and resilience. This ensures they meet their regulatory obligations, keeps energy costs down and helps clients manage their environmental objectives and overall risk.” we&e

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The coming reality Chris Dee, executive director of British Compressed Air Society (BCAS), explains how improving compressor efficiency at a European level will affect the whole market


ompressed air is widely used in almost all industrial businesses for instrumentation, control, to power hand tools and to drive processes. As a result, it is estimated that more than 10% of all electricity supplied to industry is used to compress air, and work is therefore under way to help improve compressor efficiency at a European level.

During the discussions at the kick-off meeting in March 2012, it was clear that the category of Ecodesign of Energy “compressors” is comprised of Related Products’ an extensive range of products, Directive 2009/125/EC and it was not possible to cover One of the major directives them all in a single study. that is impacting on the Five distinct application activities of compressed air ranges were identified equipment manufacturers therefore, and the initial in the UK is the focus was agreed to Ecodesign of be centered on Energy Related “standard air Products’ compressors”, Directive because this 2009/125/EC. range is served The amount of According by oil-injected compressors that to Gov.UK, screws/ the objective vanes and may be retired of the Directive oil-lubricated is “to reduce pistons, which greenhouse gas are the workhorses emissions and other of the whole industry. adverse environmental impacts With estimated annual throughout the lifecycle of a sales in excess of 100,000 product with emphasis placed units, the best energy-saving on the design and development potential was expected for stages of a product with this product range. It was a view to improving its therefore assumed that the energy efficiency”. other application ranges would be investigated in a further Background study, after the “standard air” Compressors have been listed study had been completed. under the Ecodesign Directive 2009/125/EC working plan The way forward 2012-2014 as Lot 31, and the At the Ecodesign Horizontal preparatory study was assigned Consultation Forum on 5 to consultants VHK from the May 2014, the European Netherlands for the period Commission presented March 2012 to June 2014. two policy options:


Instead of focusing on effective measures to improved complete compressed air systems, manufacturers will be compelled to devote their engineering resources primarily to susbstitue the products banned from the EU

50 December 2014/January 2015 | water energy & environment

1. To postpone the Ecodesign implementing measure for “standard air” compressors and, after further analysis of “low pressure” and “oil-free air” compressors, propose a single implementing measure for all three application ranges; or 2. To propose an implementing measure for “standard air” compressors while in parallel, continue the analysis for “low pressure” and “oil-free air” by introducing information requirements and/or by mentioning these specifically as a matter for future revision. Pneurop position With regard to the options proposed by the European Commission, both could be acceptable. However, Pneurop, the European association of manufacturers of compressors, vacuum pumps, pneumatic tools and allied equipment, insists that adequate time is allowed to conduct in-depth studies for the “low pressure” and “oil-free air” application ranges, so that the study conclusions will be of the same quality as for “standard air”. Pneurop also wants to highlight that putting a regulation in place for “standard air” without a perspective on significant energy savings will entail substantial costs – not only for manufacturers but also for member states and the Commission. Therefore Pneurop emphasises that “business as usual” is a valid and already ambitious scenario for “standard air” because it will actually yield energy savings. »

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COMPRESSED AIR This is because manufacturers will continue to improve their products from worst available technology (WAT) to best available technology (BAT) at compressed air “system” level, thereby improving energy savings as well as their competitiveness on a global scale. If a regulation is introduced on “standard air” today and if a stringent scenario is selected, the expected benefits in terms of energy savings will be far from what could be expected. Instead of focusing on effective measures to improved complete compressed air systems, manufacturers will be compelled to devote their engineering resources primarily to susbstitue the products banned from the EU. This will enable little or no progress towards achiving the BAT level and will inevitably impair their longer-term global competitiveness.


The coming reality The European Commission Consultation Forum held on 23 October 2014 for Lot 31 “Standard air compressors”, reviewed the draft regulation that the European Commission had drawn up as a result of the recommendations and options in the study done by VHK. The result of the discussion was a confirmation that compressor manufacturers will, like electric motor manufacturers before them, be subject to an EU regulation identifying energy efficiency requirements for “standard air compressors”. The EU wants the regulation to be published by the end of 2015 and the first of the two stages to be effective from January 2018, with the second stage coming into force in January 2020. The expected result by January 2020 will be the removal of about 40% of the compressors that do not meet the required efficiency levels within the scope. we&e

Supersonic driving seat The BLOODHOUND Project, an ambitious British bid to set a new world land speed record in a supersonic car, has received a power boost from Atlas Copco UK


tlas Copco has supplied a range of workshop compressors and air tools to the BLOODHOUND Technical Centre in Bristol and its associated test facility at Newquay Aerohub. The equipment will play a pivotal role in the development of the BLOODHOUND Supersonic Car, a jet engine and rocket-powered racing car, as the team prepares for an attempt to set a new 1,000mph world land together via AIRnet modular speed record in 2016. aluminium pipework. At 13.5m in length and At the same time, the weighing 7.5 tonnes, the BLOODHOUND Project’s car will need to produce Newquay Aerohub site has 135,000 thrust horse power taken delivery of a GX4 fixedto reach mach 1.4, which is speed compressor, plus a 250 six times more power than litre receiver destined for all the cars on a Formula 1 general engineering duties. starting grid combined. Both workshops have Chris Dee, the been supported with a BLOODHOUND range of assembly Project’s lead air tools, hosing assembly and and couplings, build engineer, provided by explains: “We sponsor Atlas Current land speed looked at Copco Tools record (mph) set in the premium for vehicle 1997 by Andy Green build and test manufacturers of compressed operations. (UK) in Thrust air systems “We need SSC and tools that our the ability to 30-strong engineering simulate the start-up team could rely upon to help procedure for the EJ200 us meet our performance turbofan jet engine that target deadlines, bearing involves the vehicle’s software, in mind all operations are hydraulic pumps and AC/ conducted under the most DC circuits. In our ‘dry’ extreme conditions.” workshop test operation, The Bristol facility has the whole of the 5,000 litre been supplied by Atlas air receiver’s contents of 3.5 Copco Compressors with a bar compressed air will be GA15VSD+ FF full feature released in just 30 seconds rotary screw compressor, to actuate the jet engine together with filtration and turbine rotation, an essential a 5,000 litre air receiver preliminary to scheduled live with all components linked tie-down and 200mph test


52 December 2014/January 2015 | water energy & environment

BLOODHOUND SSC hopes to achieve a speed of 1,000mph

runs in 2015,” said Dee. A track 12 miles long and two miles wide has been cleared on the Hakskeen Pan in the Mier area of the Northern Cape, South Africa, in preparation for a series of test runs this year to break the sound barrier – which, depending on atmospheric temperatures, is about 750mph (1,228km/h) – and the current land speed record of 763mph (1,221km/h). Then in 2016, the BLOODHOUND team will attempt to travel 33% faster – at 1,000mph (1,609km/h). Representing an unprecedented feat of engineering, the project aims to inspire a new generation of science and technology innovators. Indeed, the educational objective of the project is one of the major reasons for the involvement of Atlas Copco, which runs a careers programme to encourage uptake of science, technology, engineering and mathematics (STEM) subjects among school pupils, students, graduates and apprentices. we&e




Transformative thinking helps UHSM scoop sustainability award Seven super low loss amorphous transformers supplied by Wilson Power Solutions to Britain’s greenest hospital, the University Hospital of South Manchester (UHSM), have helped it win another accolade for its efforts to cut its carbon emissions and realise energy efficiency savings that go back to improve its frontline patient services


niversity Hospital of South Manchester (UHSM) was named the winner of the Most Sustainable Public Sector Organisation in Health/NHS at Public Sector Sustainability Awards 2014, which were held at Emex, in London. The award was presented by Lib Dem peer Lord Redesdale, CEO of the Carbon Management Association, the Energy Managers Association and the Low Energy Company. The hospital has seven Wilson e2Super Low Loss Amorphous High Voltage Transformers, which have saving (kWh) the enabled it transformers have reduced to realise electrical electricity the ability to give stress on savings UHSM equipment through reduced which will in transformer losses turn extend the while also giving an lifespan and reduce increased control over the maintenance costs. voltage delivered to site. Erika Wilson, managing The transformers have director of Wilson Power the ability to give a saving of Solutions, says: “From placing abour 1 million kWh each year, sustainability at the core of with added benefits including healthcare provision, UHSM has become the UK’s greenest hospital, and we are proud to have played a part in that.” The University Hospital of South Manchester NHS Foundation Trust committed itself to its Carbon Management Programme in 2008 in an effort to mitigate the effects of rising fuel prices, while also seeking to limit

UHSM is among the UK’s top 4% of organisations for carbon reduction


energy cost increases and to engage positively with its wider community on sustainability issues and to reinvest funds in providing improved frontline patient services. Since then UHSM has been recognised for its achievements by winning The Guardian newspaper’s Public Sector Sustainability Award and the Ashden Award in 2012. The trust was also the highest placed acute NHS hospital in the government’s final CRC performance league table, placing it among the top 4% of UK organisations, and has also been recognised as the world’s 18th most environmentally friendly hospital by the United States Green Building Council. we&e

From placing sustainability at the core of healthcare provision, UHSM has become the UK’s greenest hospital

December 2014/January 2015 | water energy & environment



Are water companies listening? Electronic data interchange would make billing easier to consolidate, reduce costs and free up staff time. Yet with only just over two years until competition opens up in England, only one company is able to offer this. Tim McManan-Smith met up with TEAM’s managing director Paul Martin to discuss


n April 2017 the English water market opens up for competition, allowing businesses to choose their retail supplier. Unless the incumbent suppliers are able to provide a high level of customer service, tailored services, lower costs and ease of billing then it is more than just probable that people will choose to leave. Electronic data interchange is something that needs improving in general in the water industry but even more so in light of the impending advent of competition, says Paul Martin. Regarding the present situation in the water market Martin comments that, “one organisation does EDI at the moment. Scottish Water, Thames Water, South West Water and Northumbrian Water are all able to do a little but not the full thing, as yet. The only one that does full EDI and has done

EDI is a big

issue; BT for instance will not work with them if they don’t do it Paul Martin

Benefits of EDI for both consumers and the utility The benefits to the consumer are: • administrative cost reduction • elimination of keying errors • frees up staff time • automatic population of water management and accounts payable databases • HM Revenue & Customs approved The benefits to the utility are: • cost reduction • customer retention and improved satisfaction • improved payment speed • improved customer satisfaction

There will be a certain amount of turbulence in the water industry for the next few years for some time is Yorkshire Water,” says Martin. He stresses that EDI isn’t the dispatch of spreadsheets containing billing information. It is the computer-tocomputer exchange of business documents in a standard electronic format between business partners. The EDI exchange of billing information uses common, open standards. The process is approved by Revenue and Customs and can be truly paperless. For the process to work effectively the supplier and customer need to agree a standard electronic format in which invoices are dispatched and received. The existing utility billing standard in the UK is called TRADACOMS 26 version 3 and is managed and developed by an organisation called GS1 UK. Martin explains that EDI in the Gas and electricity market was introduced by BT. It wanted checks and balances put in and consolidated billing for all its sites.:

56 December 2014/January 2015 | water energy & environment

“EDI is a big issue; BT for instance will not work with them if they don’t do it.” So the warning is out there for water companies that fail to take heed of what their customers may require. Martin says that the ability of a supplier to provide electronic billing or EDI is often the second biggest factor when multisite organisations select an electricity or gas supplier. There are three options for water companies regarding EDI: 1. they can listen to customers and want to help them; 2. they can choose not to bother about it and remain regional; or 3. they don’t know what to do as yet. Martin concludes that customers need to “tell them you require EDI or that you will change suppliers. The problem is that customers are coming last in a lot of this. Also if the water companies are playing catchup it will cost them in the pocket.” we&e

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Preparing for water competition With the opening up of the water markets in England in 2017, Business Stream’s head of market development David Seymour says that it is better to prepare now and gain the benefits of efficiency immediately


ost people in the UK’s water market will be aware that the non-domestic water market is set to change. After receiving Royal Assent in May this year, the Water Bill has endorsed a competitive retail water market for England from April 2017. Giving businesses choice in their water supplier has been proven as an effective way of driving up customer service, value for money and innovation, as demonstrated by Scotland’s very successful non-domestic competitive water market, which has been operating since 2008. But the benefits of competition for English businesses are not entirely reserved for April 2017. Many organisations can benefit now by testing the market ahead of it opening.

pipes are located, how they link with other services, and how to isolate them if there is a problem. If an issue arises it is then much easier to deal with it without needing to shut down the entire system.

how simple it is to switch and help you identify what you’re looking for in a supplier. If your water consumption is under the 5ML threshold, there are still a variety of options and services available which could streamline your water services while saving you both time and money.

Negotiate better prices High volume customers – those which use more than five megalitres (ML) of water for a single site – are Get smart already eligible Automated to choose and meter readers Saving Devro made switch their (AMRs) from its water water provider. collect water This gives you readings from transport bill leverage with your supply your current system every provider but also 15 minutes to a means you can try out centralised dashboard that another one to see if you get shows you how much water better service. Drainage and is used, and where, across waste water services will need your water network. This is to stay with your current a simple and cost-effective incumbent until the market step to automate your water opens, but in the meantime services management, better “playing the field” like this understand your water use, should give you an insight into and use this information to


Businesses in England can benefit now by making savings and better managing risk reduce the cost of your water. We’ve worked with a major supermarket and by installing AMRs UK-wide the company has been able to make informed decisions on how to manage its water services and stay on track for its target of an overall 15% reduction. Another service that has proven useful for our customers of scale in both England and Scotland is network mapping. This involves building an interactive map of your organisation’s water and sewerage mains, and the local water supply system. It allows you to see where

58 December 2014/January 2015 | water energy & environment

Sort out your compliance For businesses which produce significant trade effluent, staying compliant can be a complicated undertaking. Legislation is complex and changes often, but businesses are legally required to be compliant 100% of the time. A simple route to getting on top of your compliance requirements is to commission an independent trade effluent health check. This will assess if your business is complying and will also indicate areas where you can streamline resources to save money. We recently helped Devro save £500,000 from its water transport bill by working in partnership to update its trade effluent treatment management. We initially brought in mobile equipment to provide a swift, temporary treatment solution to the immediate issue of ammonia pollution. We then worked closely with the Devro team to design a system that neutralises the effects of the ammonia using an ‘air-stripping’ process. This also means that Devro is able to recycle some of the effluent, therefore contributing to a key business objective. Although April 2017 is still some way off, businesses in England can benefit now by making savings and better managing risk. we&e


Key considerations on site Water and wastewater treatment problems can arise for a variety of reasons and may seriously impact production. Ondeo Industrial Solutions’ sales and marketing director Nicholas Simpson says effective water and wastewater treatment is essential for businesses to protect themselves


ailure to meet targets and comply with legislation as a result of water and wastewater treatment problems can have a detrimental effect on the stability and profitability of a business. Reduced manufacturing productivity and potential punishment in the form of fines by industry regulators are just two examples of costly, yet avoidable, consequences. It is, therefore, essential that effective water and wastewater treatment is implemented, and by taking a number of vital considerations into account businesses can protect themselves. Be aware of the risks With any water or wastewater infrastructure project, the contractor faces significant risk management challenges. The older the site, the more likely it is that unknown, often complicated, services exist below ground. To ensure installation is as risk-free, cost-effective and efficient as possible it is in the operator’s best interests to enlist the services of an experienced solutions provider that can apply its knowledge to the specific site and evaluate the best course of action prior to any work. The ability to ask the right questions during specification depends on whether a plant operator has conducted proper and necessary research beforehand. Upfront feasibility studies or audits must be conducted before implementing modifications or building a new water or effluent

It is in the operator’s best interests to enlist the services of an experienced solutions provider

treatment plant, especially if there is a requirement for a large monetary investment. Once the research has been conducted, the plant operator can then work alongside a solutions provider to answer important water and wastewater treatment specification questions, such as: what size must the water system be to meet your process requirements? What is the correct specification for materials and fittings to maximise lifespan and minimise maintenance? Are the

materials suitable for the site? Conducting research and asking the appropriate questions helps to identify the best available technology that is in-line with current and future targets and legislation, and enables an operator to clearly outline expectations and avoid unwanted future costs. Adapting water quality and quantity to suit specific site needs can generate considerable savings for plant operators and, with this in mind, unsurprisingly, many production facilities are now looking at ways to become more sustainable. One method of achieving this is by reusing or recycling waste water. For example, by using a membrane bioreactor (MBR) water can be recovered for reuse in non-production applications such as cleaning, or combined with reverse osmosis for direct reuse. MBRs

60 December 2014/January 2015 | water energy & environment

deliver better water quality than more traditional wastewater treatments, enabling operators to meet increasingly stringent effluent discharge standards or even lay the foundations for water recycling. Another popular option is the use of a biological system, which offers flexibility in terms of variable influent quality while also helping to minimise operating costs. A biological treatment process uses a mixed culture system, which is ideal when refurbishing water treatment plants. The space-saving, simple and flexible process can be used as a preliminary biological treatment process or as a global treatment line specifically for removing carbonated contaminates from industrial effluent by treating BOD (Biochemical Oxygen Demand) and COD (Chemical Oxygen Demand). A biological treatment process is most useful when a plant is faced with large variations in influent quality and when operators are looking to extend existing capacities. To ensure the best possible water and wastewater infrastructure at a plant, selecting an appropriate specialist contractor is essential. The specialist should be able to provide the services of a full engineering design team with a depth of experience to resolve specification issues quickly and reliably. This will ensure the correct specification for materials and fittings to maximise lifespan and minimise maintenance, keeping vital water systems online and preventing costly downtime. we&e

Top tips for winter Pipes are not likely to be top of your list of New Year business resolutions, but as the temperature drops it’s worth paying them a little attention, writes Ian Hewson (pictured), head of water and waste water solutions at Business Stream. If Jack Frost nipping at your nose doesn’t confirm it for you, then let me do it: January and February are statistically the coldest months of the year, with temperatures liable to drop below freezing with little warning If you’re not prepared, that increases the risk of burst pipes. When water lying in pipework freezes, it expands – bursting the pipe. When you come in on a chilly morning and switch on the heating that water thaws and leaks out of the pipe into your premises. Repair bills can stretch into thousands, even before you’ve taken into account lost business.

The following simple measures can make all the difference in protecting your premises: 1. Leave heating on at a low temperature over night or when the building is unoccupied, and ensure heaters are well maintained and working properly. 2. Check loft insulation is in good condition, lag exposed pipes and insulate water meters. 3. If your business is located in Scotland sign up to the winter alerts service at, or for the appropriate weather service from The Met office for other parts of the UK visit metoffice. 4. Drain your water system before closing for extended periods of time, or in advance of prenotified freezing temperatures. Shut off supply at the stop cock to reduce the risk of internal leaks. 5. If a pipe freezes or bursts, turn the water supply off at the stop valve immediately, and switch off immersion and central heating. 6. Gently heat any frozen sections – a heated cloth wrapped round a pipe is ideal, but never

Limescale solutions that’s fit for a gym A popular leisure and fitness club in London has finally overcome its battle with limescale deposits and lime bloom in its changing and showering facilities thanks to the installation of KalGUARD, an electrolytic device from Sentinel Commercial. Like 65% of the population in England, the gym is supplied with hard mains water (defined as water of more than 200ppm total hardness). Historically the site had no limescale prevention measures in place. Worst affected was the gym’s changing room facilities, where limescale accumulated on showerheads, taps and shower panels, and lime bloom (also known as efflorescence) regularly appeared on cubicle wall and floor areas. The effect was proving not only unsightly but was increasing the time – and therefore costs – required for effective cleaning and maintenance. To minimise the costs associated with limescale and improve the appearance of the gym’s facilities, the club’s site management consulted with Sentinel Commercial. As a result, a 54mm KalGUARD limescale prevention system, comprising a zinc anode unit, water meter, filter and controller, was selected to deal with the problem. KalGUARD permanently “conditions” water in both new and existing systems by dosing it with a very low level of stable zinc via an electrolytic process that uses a zinc anode and a copper cathode. This forces naturally occurring calcium carbonate crystals to form as soft non-depositforming aragonite rather than into hard, depositforming calcite (limescale). This technology is recommended by the Compliance Guide to Part L of the UK Building Regulations for the control of limescale. It is also validated by independent tests carried out by Cranfield University.

switch on immersion heater or central heating, and don’t apply a direct flame. 7. Turn on all hot and cold taps to drain the system and minimise damage. Let any solid fuel fires die down. 8. Switch off electricity supply at the main if there’s a risk that water could come into contact with electrical wiring or fittings. 9. Find a reputable plumber at needaplumber. org/business-stream/ (Scotland only). 10. Let your water supplier know what’s happened. It might be taken into account when your bill is calculated. UK winters sometimes call for a raincoat and umbrella rather than snow boots, but there’s no way of confidently predicting what will happen. It’s worth noting that in 2010, when temperatures in Scotland dropped as low as -22.3°C, Met Office forecasters had predicted a mild winter. Whatever the predictions, its best to spend a little time in preparation – the worst that could happen is your preparations won’t be needed.

Thinking differently in water monitoring Laboratory equipment supplier Camlab is proactively helping its customers to improve their workflows by looking at the laboratory environment in a new way. This innovative approach was ably demonstrated on the company’s stand at the Water, Wastewater and Environmental Monitoring (WWEM) 2014 conference and exhibition, where visitors could experience a roller coaster ride with Oculus Rift virtual reality headsets, complete with stomach-churning drops, twists and turns that represented the everyday challenges they face in the laboratory. Delegates showed considerable interest in Camlab’s live demonstration of the Aqua Diagnostic L100 PeCOD analyser for rapid, safe, green and economical measurement of COD in aqueous samples – described by event organiser Leo Carswell as “the best exhibitor demonstration” – discovering at first-hand how measurements could be obtained in less than 10 minutes to within 2% of the certified value. Nick Howe, automation and instrumentation specialist at Camlab, said: “The entire scientific sector is being charged with delivering ‘more for less’, and we are helping our customers to implement the changes necessary to achieve this. WWEM 2014 was an excellent opportunity for us to demonstrate that, by looking at traditional laboratory workflows in a different way, we can help our customers to improve everything from staff training to data management and quality assurance.” Camlab will be running its Smoother Laboratory Masterclass Seminar in January. For more information contact Nick Howe at

December 2014/January 2015 | water energy & environment



Turning food residues into fuel Richard Gueterbock, director of British anaerobic digestion specialist Clearfleau, wonders if the food industry is missing a trick by ignoring a valuable source of additional revenue


he UK’s food processing sector is Nestlé’s anaerobic being urged to limit digestion plant at energy use, cut its Fawdon carbon footprint and reduce its wider environmental impact. The UK’s food processors have many challenges such as changing legislation, provenance, overseas competition as well as rising costs of byproduct disposal, effluent discharge and energy. They do have an unexploited source of residue management and potential onsite energy: energy recovery should be their production residues. considered. It makes more These residues, including effective use of unwanted wash waters, unused biodegradable materials ingredients, byproducts and and, combined with aerobic production discards, represent post digestion treatment, a growing cost not just in removes remaining pollutants terms of disposal but also to supply clean water. as wasted potential Nestlé is showing the revenue. This could way forward with change, as we its sustainability believe too project at many food Fawdon, companies Newcastle The amount of kW underestimate upon Tyne. of power Nestlé is the energy Previously, potential of production generating from their liquid residues from food waste residues. the former Anaerobic Rowntree factory, digestion (AD) offers home to gums, pastilles an alternative to longerand Rolos, were discharged established methods for to sewer or fed to pigs in handling biodegradable the locality. Today, Nestlé residues, transforming generates its own renewable waste into valuable biogas. energy, has eliminated What’s more, today’s robust disposal of residues to digestion technology delivers landfill and reduced its an attractive return on carbon footprint. The next investment (often within three step is to start recycling to five years) and enhances grey water for use on site. the environmental credentials Onsite AD plants tailored of companies using it on site. to available feed stocks can As companies assess how to reduce treatment and disposal make their operations more costs. The energy generated sustainable onsite deployment from the biogas and used of AD for effluent treatment, on the site qualifies for


What was previously a processing overhead for Nestlé is now a valuable financial and environmental asset renewable energy incentives and, these, combined with savings on purchase of fossil fuels and elimination of treatment or disposal costs, contribute to an attractive return on investment. One year on, Nestlé’s Fawdon site is generating 200kW of power from its wash waters, supplemented by 1,200 tonnes of residual byproducts and ingredients per annum. The biogas generated fuels a combined heat and power engine that produces energy for confectionery production – currently about 8% of the factory’s power requirements. This cuts electricity bills by about £100,000 each year. In addition, with the Feed in Tariff, Nestlé will receive further annual payments of about £250,000. What

62 December 2014/January 2015 | water energy & environment

was previously a processing overhead for Nestlé, is now a valuable financial and environmental asset. Many food production sites could use AD to replace outdated, energy intensive aerobic systems. What’s more, efficient onsite digestion can remove up to 98% of biodegradable load from the production residues. Policy makers want to reduce the volume of biodegradable materials sent to landfill and are concerned about disposal of production residues. In 2014, Scotland introduced a ban on food residues being sent to landfill. By 2016, all biodegradable wastes will be excluded, as will sewer discharge of liquid production residues. Regulators in England could introduce similar measures to minimise use of landfill or the disposal of wastes with energy potential. Onsite energy generation can only enhance the sustainability of Britain’s food industry. So should the Department for Environment, Food and Rural Affairs do more to support deployment of AD plants that convert biodegradable residues into green energy? With energy bills cut, carbon footprint reduced and a greater scope for grey water recycling, onsite digestion offers a more sustainable way of manufacturing the food we eat on a daily basis. With a possible return on investment of three to five years for most larger producers, more British food and beverage companies should be thinking about the potential for onsite anaerobic digestion. we&e

PRODUCTS McColls wins BIU’s Energy Efficiency Award McColls has been awarded the 2014 Energy Efficiency Award by Lytham-based energy consultancy BIU. This annual award is given to the BIU customer that has the highest reduction in energy consumption, year on year. In 2013, McColls achieved a saving of almost 6% on its energy consumption, with the results being directly compared to the base year of 2012. The result is a great outcome for both McColls and BIU, which have been actively working together to reduce energy consumption and improve efficiency across Jonathan Akers presents the award to the McColls portfolio. McColls senior management BIU calculates the figures for the Energy Efficiency Award using its monthly data consumption readings across all of McColls comparison template, which is based on convenience stores throughout the UK. like-for-like automatic meter reading (AMR) BIU works with a wide selection of data. The AMR system takes daily energy customers on energy reduction and

New guide offers advice on energy management solutions A new 76-page guide explains the pros and cons of energy management solutions for domestic, commercial and industrial locations. Electrical contractors have been snapping up the new Marshall-Tufflex Guide to Energy Management, which explains how voltage optimisation, sub-metering, power factor correction and boiler management systems work. A chapter is dedicated to each technology, taking contractors through the science behind each approach, potential savings, how and why they work and, importantly, situations where they may not be suitable. “We want this guide to become the definitive reference for electrical contractors, energy managers and electrical wholesalers,” said Paul Hetherington, Marshall-Tufflex chief executive. “We really wanted to make a stand against misinformation and confusion in this market sector and produce a document that lays out relevant and unbiased information in simple, clear language. We see it as our responsibility to educate the market even though all players within it may benefit. This guide, together with our new E-PRO Approved scheme for energy management installers, really professionalises the industry and gives clear, concise guidance without manufacturer spin.” At the end of each chapter is information about MarshallTufflex solutions, including product comparison tables, case studies and specification tables. The Marshall-Tufflex Guide to Energy Management is being distributed through electrical wholesalers. it is also downloadable from www.

introduced the Energy Efficiency Award in 2013 as a way to recognise and acknowledge those customers that have taken positive action to significantly reduce their organisation’s energy consumption. Jonathan Akers, head of consultancy at BIU stated: “Over the past three years, McColls and BIU have worked together on a variety of services, with energy management being a key focus. We are really proud of our customers, who have all demonstrated considerable savings with regards to their energy consumption and this year we are pleased to present this award to McColls to reward their commitment to efficient energy usage and reduction.” BIU has worked with McColls since 2005 on multiple energy management services, including energy procurement, invoice management, energy alarms and metering and revenue recovery.

Weedingtech Challenge to be rolled out across Europe following successful UK results Weedingtech will be rolling out its product test programme Weedingtech Challenge across Europe following a series of encouraging interim results from key its UK challenge partners. The results reinforce Foamstream’s performance as an advanced and effective alternative to herbicide-based weed control products and provide further proof of its efficacy in a wide range of settings and sectors. Industry partners including Holt Farms – Yeo Valley Family Farms, South West Lakes Trust, Quadron Services and G’s – put Foamstream through rigorous tests in a variety of settings over several months. The South West Water trial is still ongoing and it is currently testing it on dirty water sites. In most cases weeds were completely destroyed with just one application and those that grew back did so up to four times slower than those treated with traditional weed control. Partners reported that this saved a significant number of man hours compared with other methods, such as hand-weeding or strimming, in terms of both time taken to treat an area and the frequency of treatments necessary, even in the summer months when weeds are likely to grow more rapidly. Yeo Valley Family Farms highlighted the time-saving nature of Foamstream, reporting that it was up to 75% less time-consuming than the traditional methods – strimming and hand weeding it had previously employed. Tom White of Holt Farms – Yeo Valley Family Farms commented: “We’re proud to be involved in the development of this innovative, environmentally friendly product. We strive to put sustainability and the environment at the heart of everything we do while providing the best possible product for our customers. Foamstream is a unique form of weed control which will help us to achieve this in a time efficient and cost effective way in places, such as near water, or around our livestock fencing, where it’s simply not an option for us to use traditional herbicide-based alternatives.”

December 2014/January 2015 | water energy & environment


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64 December 2014/January 2015 | water energy & environment


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December 2014/January 2015 | water energy & environment



Michael Bowers The managing director of Bowers Electricals – manufacturer of power, distribution and energy-saving transformers – discusses the lack of support for British manufacturing, Hot Shots!, yachting and Sarah Beeny


ho would you least like to share a lift with? Sarah Beeny: I’ve nothing against her as such but she’s cost me a lot of money over the years, inspiring my wife to embark on various house transformations.

for four years and the business recently supplied Fairline with a new transformer and project managed the installation of new electrical equipment at their site in Corby. It could turn out to have been an expensive contract as it’s made me want another boat . What’s your favourite film? I would have to say either Hot Shots!, which I love for its daft humour, or Limitless, a thriller about a man who discovers a pill that enables him to develop incredible skills that I could certainly use.

You’re God for the day. What’s the first thing you do? I’d rid the world of cancer and other illnesses. If you could travel back in time to a period in history, what would it be and why? I would go back to the 1980s – a great period full of business positivity and good music; not to mention the suits. I’m still wearing them. They looked good back then.

If you could perpetuate a myth about yourself, what would it be? That I was cheerful once. What would your superpower be and why? I always seem to be rushing to and from meetings so the ability to fly, in order to save time, would be fantastic.

Who or what are you enjoying listening to (music, radio etc)? In my early days I was into rock music but nowadays if I’m in the car I tend to enjoy the quiet after a busy day. I must be getting old. What unsolved mystery would you like the answers to? Where does all my money go? Is my dad ever going to retire (sorry, dad)? (Michael’s father David is the company chairman) What would you take to a desert island and why (excluding loved ones and practical things)? I’ve always been into boats and so I would take a Fairline luxury yacht so I could escape back to Blighty in style. My wife and I owned a Fairline

Sarah Beeny has cost me a lot of money over the years, inspiring my wife to embark on various house transformations

What would you do with a million pounds? I’d erect a new workshop as part of our plans to streamline the production of our larger power transformers. I’d also take my wife on holiday on the Fairline boat that I brought back from the desert island. What’s your greatest extravagance? My wife. If you were blessed with any talent, what would your dream job be and why? Believe it or not I’m doing my dream job, though sometimes I think it’d be less stressful

66 December 2014/January 2015 | water energy & environment

to be the prime minister. What is the best piece of advice you’ve ever been given? “Don’t touch that until I’ve turned the power off.” What irritates you the most? The lack of support for British manufacturing in this country. I think the government could do more to support businesses like ours, which are providing quality products and providing local skilled local employment. You see too many major contracts awarded to overseas companies. What should energy users be doing to help themselves in the current climate? I know David Cameron got some stick for saying this but I do think that at one end of the scale householders could save money and energy by putting a sweater on. At the other end, in business, I don’t think enough consideration is given to buying British – especially when it comes to energy saving products. Even if the products are coming from companies that purport to be British, a lot of manufacturers import all their components from abroad. That transport has a huge environmental impact and cost implication. What’s the best thing – work wise – that you did recently? I took a day off ! Bowers Electricals has also just picked up an award for “excellence in manufacturing”, which was a great boost for the whole team. we&e

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Water, Energy & Environment  

December/January 2015

Water, Energy & Environment  

December/January 2015