Superior Energy Performancecm A Roadmap For ISO 50001 .

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Superior Energy Performancecm:A Roadmap for ISO 50001ImplementationIEA - IIP Policy Pathway on EnergyManagement Programmes WorkshopSept 30, 2011Program Name or Ancillary TextAimee McKaneLawrence BerkeleyNational

ISO 50001 - Energy ManagementStandardISO 50001 energy management standard will establish aframework for industrial and commercial facilities andorganizations to manage energy.Potential impacts: Could influence up to 60% of the world’s energy use acrossmany economic sectorsUptake of ISO 50001 will be driven by companies seeking aninternationally recognized response to:Status of ISO 50001 Developed by ISO ProjectCommittee 242; UnitedStates and Brazil leadeffort with United Kingdomand China Corporate sustainability programs 56 countries participating,13 of which are observing Energy cost reduction initiatives Published June 15,2011 Demand created along the manufacturing supply chain ISO PC 242 transitioned toTC 242, developingstandards and guidancerelated to implementationof ISO 50001 Future national cap and trade programs; carbon or energytaxes; increasing market value of “green manufacturing” /reduced carbon footprint International climate agreements2 Industrial Energy

Key Elements of ISO 50001- EnergyManagement System Standard1. policy top management’s official statement ofthe organization’s commitment to managing energy.Cross-divisional management team led by arepresentative who reports directly to managementand is responsible for overseeing the implementationof the energy management system (EnMS).An energy planning process to assess energy usesand identify opportunities for improvementA baseline of the organization’s energy use.Identification of energy performance indicators(EnPIs) that are unique to the organization and aretracked to measure progress.3 Industrial Energy

Key Elements of ISO 50001- EnergyManagement System Standard6.Energy objectives and targets for energyperformance improvement at relevant functions, levels,processes or facilities within an organization.7. Action plans to meet those targets and objectives.8. Operating controls and procedures to address allaspects of energy purchase, use, and disposal.9. Measurement, management, and documentation forcontinuous improvement for energy efficiency .10. Internal audits and periodic reporting of progressto management based on these measurements.4 Industrial Energy

Industry and Energy Management Significant (10-30 percent) energy efficiency in industry canbe achieved through operational changes in how energy ismanaged in an industrial facility; installation of newtechnologies will further improve energy efficiency; Actively managing energy requires an organizational changein culture Top management needs to be engaged in the management ofenergy on an ongoing basis. At its core, energy management requires a group of people tochange their behavior and sustain the changeScope of energy managementfacilities5 Industrial Energy

What is Superior EnergyPerformance?A market-based, ANSI/ANAB-accredited certification programthat provides industrial and commercial facilities with a roadmapfor achieving continual improvement in energy efficiency whileboosting competitiveness.Goals: Drive continual improvement inenergy performance Develop a transparent systemto validate energy performanceimprovements and managementpractices Encourage broad participationthroughout industrySuperior Energy Performancefor industry will be launchednationwide in June 2012. Support and build the energyefficiency market and workforce6 Industrial Energy

Getting Superior EnergyPerformance CertifiedCertification Requirements:An ANSI/ANAB-accredited Verification Body will conduct a thirdparty audit to verify that the following requirements are met:1.Energy Management System Conformance to ISO 50001Energy Management Standard2.Energy Performance Improvement (5% minimum over 3yearsSuperior EnergyPerformanceSingle facility ISO 50001 conformancewith validated energy performanceimprovementISO 50001 is afoundational toolthat any organizationcan use to manageenergy.7 Industrial Energy EfficiencyISO 50001Components in place: Baseline Policy Plan Team/LeaderISO

Superior Energy PerformanceProgram DesignThe two-tiered approach accommodates: Maturity of facility’s energy management programLevel of external validation desiredBusiness climate/cycleTwo Program TiersPartnerCertified PartnerSelf DeclarationCriteria Conformance to ISO 50001 Measure and audit energyperformance improvementANSI/ANAB-accredited certificationCriteria Conformance to ISO 50001 Measure, verify, and certify energyperformance improvementPerformance Levels Energy performance improvement required,minimum requirements set by program Two Pathways Available: Energy Performance orMature EnergyMethod of Verifying Results ANSI/ANAB-accredited certification with on-sitevisitPerformance Levels Energy performanceimprovement requiredMethod of Verifying Results Self Declaration8 Industrial Energy

SEP Performance Criteria forCertification LevelsPerformanceCharacteristicsSilverMeets 5% energyEnergyEnergyperformancePerformance Performance improvementImprovement threshold over the lastPathway3 years.Demonstrates anEnergyenergy performancePerformance improvement of 15%Improvement or more over the last10 years.MatureEnergyPathwayScore onBestPracticeScorecardIncludes credits forenergymanagement bestpractices andenergyperformanceimprovementsbeyond 15% overthe last 10 years.9 Industrial Energy EfficiencyGoldPlatinumMeets 10% energyperformanceimprovement thresholdover the last 3 years.Meets 15% energyperformanceimprovement thresholdover the last 3 years.Demonstrates an energyperformanceimprovement of 15% ormore over the last 10years.Demonstrates anenergy performanceimprovement of 15%or more over the last10 years. Meets a score of at Meets a score of at Meets a score of atleast 35 and up toleast 61 and up to 80least 81 out of 10060 out of 100 totalout of 100 total pointstotal points for Bestpoints for Bestfor Best PracticePractice ScorecardPractice ScorecardScorecard Minimum of 25 Minimum of 25 Minimum of 25 pointspoints required forpoints required forrequired for the energythe energythe energymanagement bestmanagement bestmanagement bestpractices and 10 forpractices and 10

System Assessment StandardsAssessment standards for specific energysystems provide immediate opportunity forenergy performance improvement in manyfacilities. Use of the standards is not requiredfor certification but will help plants define apathway for achieving energy savings.Available Standards: Pumping Compressed Air Steam Process HeatingStandards address: Organizing an assessmentConducting an assessmentAnalyzing the data collected and developingefficiency recommendationsReporting and documentationPurchase standards and guidance documents from ASMEfor 35 (print or digital): EA&#page 1,category STANDARD10 Industrial Energy

Measurement and VerificationProtocolThe SEP Industrial Measurement and Verification (M&V)Protocol is a methodology to:1. Verify results and impact from implementing the energymanagement standard.2. Track energy performance changes over time for the overallfacility.3. Document energy performance normalized to production.11 Industrial Energy

Personnel CertificationQualified Workforce1.Certified Practitioner in Energy Management Systems:Helps facilities implement the ISO 50001 Energy managementsystem standard and prepare for SEP application2.ISO 50001 Auditor: Conducts third party audit of facilities forconformance with ISO 500013.SEP Lead Auditor: Leads team conducting third-party audit offacilities seeking to become SEP Certified Partners; verifiesconformance to ISO 50001 and SEP Additional Requirements(future ANSI MSE 50021)4.SEP Performance Verifier: Audit team member qualified toverify the energy performance improvement of facilities seekingto become SEP Certified Partners5.Certified Practitioner in Systems: Perform compressed air,process heating, pumping, or steam system assessments usingASME standards to help plants meet the SEP energyperformance improvement criteria12 Industrial Energy

Program Certification StructureVerification Bodies1.2.3.Perform third-party audit for facilities applying to becomeCertified PartnersAudits led by SEP Lead Auditor and SEP Performance VerifierAudits based on M&V Protocol13 Industrial Energy

SEP Verification Bodies &Certified PersonnelVerification Bodies will be accredited byANSI/ANAB, based on requirements of theANSI MSE 50028 standard (Dec 2011)Accredited Verification Bodies, under agreement w/ the SEPProgram Administrator, will contract w/ Applicants to conduct SEPaudits using Certified SEP Auditors and Performance Verifiers.ANSI MSE50028VerificationBodies(Requirements forVerification Bodies)(governed by ANSI MSE50028 requirements)ANSI/ANAB Accreditation includes: Off-site review of the VB candidate’sdocumented management system Observations of the candidate’s audit team Assessment of the recordkeeping andcompetence of candidate’s office personnel Annual verification of continued conformanceCertified SEP Audit TeamSEP PerformanceVerifierSEP Lead AuditorCan be one cross-qualified personAll Certified Personnel must meetANSI/ISO/IEC 17024 accreditedcertification requirements,including education, experience,and standardized exam14 Industrial Energy EfficiencyCP EnMS additionalPerformance VerifierExam requiredCP EnMS & ISO 50001 Auditor additional Team Leader Examrequired for provisional SEPAuditor; becomes Lead Auditorbased on experienceCertified Practitionerin Energy ManagementSystems (CP EnMS)Certified ISO 50001Auditor(US National Exam)Note: CP EnMS & ISO 50001 Auditor are general; specialtycertifications can be added in response to market

Texas Pilot Project, 2008-2010DOE worked with the University of Texas atAustin to pilot Superior Energy Performancein Texas facilities: Field tested elements of Superior EnergyPerformance Conducted audits using ANSI MSE andM&V Protocol Established the first ANSI/ANABaccredited Verification Body for SuperiorEnergy Performance Certified the first plants to SuperiorEnergy Performance15 Industrial Energy EfficiencyFirst facilities certified to SuperiorEnergy Performance% EnergyPerformanceImprovementCook Composites and Polymers Co.Houston, Texas14.9Freescale Semiconductor, Inc.West Austin, Texas6.5Owens CorningWaxahachie, Texas9.6Union Carbide, subsidiary of theDow Chemical Co.Texas City, Texas (manufacturingfacility)17.1Union Carbide, subsidiary of theDow Chemical Co.Texas City, Texas (energy systemsfacility)

Companies Adopting SEP and ISO50001Superior Energy Performance demonstrations with 34 companies in 19 states: 3M (IL) Dow Chemical (TX, WV) Nissan NA (TN) Alcoa (IN) Eaton (SC) Olam Spices (CA) Allsteel (IA) Freescale Semiconductor(TX) Owens Corning (TX) Amcor PET (WA) Bentley Prince Street (CA) Bridgestone Tire (NC) Cook Composites& Polymers (TX, WI) General Dynamics (PA) Harbec Plastics (NY) Haynes International (IN) Holcim (TX) Cooper Tire (AR) JR Simplot (ID) Cummins (NC) Lockheed Martin (CA) Didion Milling, Inc. (WI) Kenworth Trucks (WA) Dixie Chemical (TX) MedImmune (MD) Neenah FoundryCompany (WI)16 Industrial Energy Efficiency Schneider Electric (TN) Sherwin-Williams (KY) Spirax Sarco (SC) Traco (PA) UTC/Sikorsky (CT) United States Mint (NY) Volvo (VA) World Kitchen (PA)September

Clean Energy Ministerial (CEM) Ministers and other high-level representatives from 24 governments convened for the CleanEnergy Ministerial in Washington in July 2010 and in Abu Dhabi in April 2011 to collaborateon policies and programs that accelerate the global transition to clean energy technologies UK is hosting the third meeting in April 2012, India is hosting the fourth meeting in 2013, andKorea is hosting the fifth meeting in 2014 90% of Global Clean Energy InvestmentAustralia 80% of Global GHG EmissionsEuropean ayRussiaSouth AfricaSwedenSpainUnited Arab EmiratesUnited KingdomUnited States17 Industrial Energy

Global Superior Energy Performance(GSEP) PartnershipGSEP objective is to reduceglobal energy use by: Encouraging industrialfacilities and commercialbuildings to pursuecontinuousimprovements in energyefficiency Promoting public‐privatepartnerships forcooperation on specifictechnologies or inindividual energyintensive sectorsGSEPCERTIFICATIONWORKING GROUP(Lead: U.S.)POWERWORKING GROUP(Lead: Japan (P))CHPWORKING GROUP(Lead: Finland)STEELWORKING GROUP(Lead: Japan)COOL ROOFSWORKING GROUP(Lead: U.S.)CEMENTWORKING GROUP(Lead: Japan)GSEP is a CEM initiative that has also been accepted as a task group in theInternational Partnership for Energy Efficiency Cooperation (IPEEC)18 Industrial Energy

GSEP Certification Working Group(CWG) CWG aims to foster and accelerate energy management and continuous energyperformance improvements in industrial facilities and commercial buildings by Sharing strategies and best practices Leveraging existing resources Helping participating governments shape national programs Moving toward greater harmonization across national certification programs Participating countries include the following:AustraliaJapan19 Industrial Energy EfficiencyCanadaKoreaDenmarkMexicoEuropean CommissionSouth AfricaSwedenIndiaUnited

GSEP CWG Strategic Objectives The first GSEP CWG Workshop was held on 20-21 June 2011 in Washington,D.C. The CWG agreed on the following collective strategic objectives:1. Energy Management: Increase the implementation of energy managementin the industrial and buildings sectors in order to improve energy efficiencyand energy performance on an ongoing basis2. Measurement and Verification (M&V): Measure and verify energyperformance improvements on a consistent basis3. Qualified Workforce: Build a qualified workforce of professionals withexpertise in the fields of energy management, energy efficiency, andmeasurement and verification Workshop participants agreed to form three task forces that focus on achievingeach of those three strategic objectives20 Industrial Energy

For More InformationISO Energy gy Management managementdemonstrations/Texas Pilot Program, Superior Energy Performance Case pilot.html21 Industrial Energy

1. Energy Management System Conformance to ISO 50001 Energy Management Standard 2. Energy Performance Improvement (5% minimum over 3 years 7 ISO 50001 Components in place: Baseline Policy Plan Team/Leader Superior Energy Performance Single facility ISO 50001 conformance with validated energy pe

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