Measuring and Verifying Your College's Energy Savings

1. Measuring and Verifying Your College's Energy Savings Jeff Hughes, Director Jen Weiss, Senior Finance Analyst Environmental Finance Center at the University of North Carolina Jessie Ball duPont Fund Measurement and Verification Webinar October 10, 2013

2. Does your school use sub-metering?

3. “If you can’t measure it, you can’t manage it ….” Measurement and Verification: quantifying actual savings created within an individual facility

4. Measurement vs. Verification • Measurementis used to develop baseline data on energy use and helps to identify potential energy projects. • Measurementmonitors and assigns avoided energy costs (savings)to buildings/facilities, departments, projects and equipment. • Measurementis used to evaluate the performance of project to assure project operation and implementation is adequate • Verificationis used to evaluate performance of project to assure that projected, and if applicable, promised, impact occurred: • Project performance – is the project living up to its potential? • Promised performance – is the project living up to its (financial) promise? Source: Federal Energy Management Program (FEMP), "Introduction to Measurement and Verification for DOE Super ESPC Projects," June 2007, http://www1.eere.energy.gov/femp/pdfs/intro_mv.pdf

5. What does it look like?It does not have to be fancy…

6. What does it look like?(Example from UNC-Chapel Hill M&V Program) Slide and Example Source: Daniel Arneman, UNC EFC Financing Sustainability Course 2009

7. What does it look like?(Example from UNC-Chapel Hill M&V Program) Slide and Example Source: Daniel Arneman, UNC EFC Financing Sustainability Course 2009

8. What does it look like?(Example from UNC-Chapel Hill M&V Program) Slide Source: Daniel Arneman, UNC EFC Financing Sustainability Course 2009

9. How do you currently track your college’s energy use?

10. Some Benefits of M&V • Improve general operations and maintenance • Monitor equipment performance • Ensure proper implementation of energy projects • Increase awareness of sustainable energy initiatives on campus

11. Some Benefits of M&V (cont.) • Verify that the projected avoided energy use/savings occurs • Reduce cost of financing • Find areas for additional energy reductions and savings • Maximize energy savings by allowing for future adjustments as needed

12. If someone asked you personally which building used the most total electricity? You would…

13. If someone asked you personally which building used the most total energy per square foot? You would

14. Lifecycle of an energy project Measure Identify Verify Analyze Implement

15. Example – Ferrum College

16. Example – Lynchburg College • In 2010, Lynchburg College entered into an Energy Savings Contract with Ameresco. • 22 projects were implemented: • 4,557,600 kilowatt hour reduction in electricity • 13,421,364 gallon reduction in water usage • Ameresco provides an annual report on the energy savings, however the college has also contracted with an independent third party to measure, track and verify the savings.

17. Lynchburg College Results

18. Lynchburg College Results

19. Developing an M&V plan as part of project implementation • Outline project and intended results • Document baseline energy usage • Determine expected avoided energy use (savings) • Take changes in energy cost, weatherand building use into consideration • Review contracts and agreements • Guarantees from energy savings performance contracts • Energy use projections from contractors • Define performance measurement • How often will measurement occur? • What types of tools will be used? • How to adjust for weather and behavioral changes

20. Measurement and verification components and resources • Utility bills • Meters and associated metering technology • Building information (characteristics, usage, weather) • Spreadsheets • Computer models • Software applications • A qualified engaged analyst (internal or external) • Visualization dashboards • Students…..

21. What best describes your situation? Our school has a…

22. Who is responsible? • Consider the frequency of verification • In-house verification • Facilities • Sustainability Director • Energy Manager • Third party verification

23. How much should it cost? • Consider the confidence level of the estimated energy or cost savings. • Balance the savings uncertainty against the cost to execute the plan. • 1% to 10% of typical project cost savings. • Unproven technologies may warrant additional attention.

24. Some challenges • Historical utility data not available • Difficulty in measurement of individual projects • Comprehensive campus-wide monitoring • Sub-metered building monitoring • Project-specific • Lack of dedicated utility meters • Risk vs. benefit analysis • Other influences (weather, behavioral)

25. Resources Lawrence Berkeley National Laboratory Measurement and Verification Portal http://mnv.lbl.gov/ M&V Guidelines: Measurement and Verification for Federal Energy Projects http://www1.eere.energy.gov/femp/pdfs/mv_guidelines.pdf Energy Star’s Portfolio Manager http://www.energystar.gov/index.cfm?c=evaluate_performance.bus_portfoliomanager Green Revolving Investment Tracking System (GRITS) http://greenbillion.org/grits

26. Last thought: shiny toys should be tied to objectives…

27. Thank you!

28. Jeff Hughes Jennifer Weissjhughes@sog.unc.edujweiss@sog.unc.edu919-843-4956 504-606-8148 Environmental Finance Center at the University of North Carolina School of Government, Knapp-Sanders Building CB #3330 Chapel Hill, NC 27599-3330 USA