Next Steps: Analyzing Energy Costs and Performance Benchmarking UCD Training March 1, 2018

Background – Changes to UCD Reporting Electricity and Natural Gas Intensity Columns previously, boards had to calculate these values at the end of 2017, these columns were incorporated into the following existing reports Board Portfolio Asset List Tab Overview of Boards’ Energy Use Energy Intensity Trend Tab Energy Intensity Comparison Energy Intensity Trend

Energy Cost Analysis

Energy Cost Analysis Purpose to assess the energy costs on a building-by-building basis and to identify those with: the highest Total Cost by Area a high Electricity Cost by Area a high Natural Gas Cost by Area

Energy Cost Analysis High Total Cost By Area Buildings are your most expensive should be prioritized for energy efficient investment to reduce costs Notes boards should look at the balance between their electricity and natural gas costs/intensities what are the risks associated with your current balance? a balanced portfolio considers: the impact of price fluctuations on each commodity the historical context of the current price of a commodity

Energy Cost Analysis High Electricity/Natural Gas Cost by Area Facilities identify opportunities to reduce electricity/natural gas consumption at these facilities prioritize investment in energy efficient equipment and review operational protocols that will reduce electricity consumption identify demand management strategies that can lower electricity costs Notes buildings that are heated with electricity will always have higher electricity cost intensity buildings with portables/portapaks will have a significantly higher electricity cost intensity

Energy Cost Analysis Required Information BOARD LEVEL Source: UCD Board Profile (raw data) – applicable fiscal year Energy Profile tab total electricity consumption total natural gas consumption if applicable, each alternative utility consumption (including water) Source: Energy Budget Workbook – applicable fiscal year electricity costs natural gas costs if applicable, each alternative utility cost (including water)

Energy Cost Analysis Case Study UCD Board Profile (raw data) Notes select your unit preferences before generating the report for the case study the following preferences were used natural gas consumption: m3 natural gas intensity: ekWh/ft2 area: ft2 energy intensity: ekWh/ft2 only electricity and natural gas are demonstrated in the case study if alternative fuels are included in your energy profile they should be taken into consideration in your analysis select corresponding unit of preference m3 … ft2 … etc.

Energy Cost Analysis Methodology Energy Budget Workbook Electricity Tab calculate the average cost of electricity by unit of consumption $/kWh Natural Gas Tab (m3 or GJ) calculate the average cost of natural gas by unit of consumption $/m3 $/GJ

Energy Cost Analysis Case Study From the Energy Budget Workbook Electricity Cost [$/kWh] Natural Gas Cost [$/m3]

Energy Cost Analysis Methodology FACILITY LEVEL Source: UCD Board Profile Report (raw data) Asset List Tab use only the most recent fiscal year in the report Source: Board Level Energy Budget Workbook (values from Slide 10) electricity costs natural gas costs if applicable, each alternative utility cost (including water)

Energy Cost Analysis Methodology FACILITY LEVEL Generate the Board Profile (raw) for your board Asset List Tab Notes this report contains the 5 most recent fiscal years for this process, only the most recent fiscal year’s data is required for clarity, you may want to delete the data for the other 4 fiscal years Note This process can applied to any fiscal year if desired

Energy Cost Analysis Methodology Sample Board Profile (raw) Asset List Tab most recent Fiscal Year only e.g. delete the first 4 FY in the report Notes for demonstration purposes, only columns that are required for this analysis are shown on the slide for simplicity, users may hide/delete columns that are not essential to this process

Energy Cost Analysis Methodology 2A. Insert a new column to identify “Facility Type/Status” elementary secondary administrative multi-use 2B. Delete all facilities from the list that are sold closed demolished Note the rationale is that the energy consumption for these sites are not relevant for this exercise

Energy Cost Analysis Case Study 2A. Review Facilities Type/Status column Notes for demonstration purposes … a new column has been inserted to identify the type of facility each type of facility has been colour coded elementary secondary administrative sold, closed, and/or demolished for facilities that have more than one facility type (administrative, school), use the type that has the highest energy intensity multi-use buildings should be analyzed separately due to space limitation on the slide, only 20 facilities are shown

Energy Cost Analysis Case Study 2B. Delete sold, closed and demolished facilities from the list Notes for demonstration purposes … sold (SOLD) closed (C) demolished (D) due to space limitation on the slide, only 20 facilities are shown

Energy Cost Analysis Methodology 3. Sort facilities by type elementary secondary administrative multi-use Note there are no multi-use facilities in the case study

Energy Costs Analysis Case Study 3. Sort Facilities by Type Colour Code elementary (E) secondary (S) administrative (A) Note due to limited space on the slide, only 20 facilities are shown

Energy Cost Analysis Methodology 4A. Insert three (3) new columns into the Asset List Tab Electricity Cost by Area Natural Gas Cost by Area Total (Electricity and Natural Gas) Cost by Area Notes due to limited space on the slide, only a small number of columns are shown new columns should be inserted after the “Energy Intensity” column

Energy Costs Methodology 4B. Apply the calculated values for each utility to every facility’s consumption to determine the cost Electricity Cost by Area ($/ft2) = Electricity Intensity (kWh/ft2) x Electricity Cost ($/kWh) Natural Gas Cost by Area ($/ft2) Natural Gas Intensity (ekWh/ft2) x Natural Gas Cost ($/m3) 10.32 Notes when using $/m3 (Natural Gas Cost) you must convert m3 to ekWh divide by 10.32 ensure same unit of measurement is used in both the Energy Budget Workbook calculation and Board Profile/Asset List Total (Electricity and Natural Gas) Cost by Area = Electricity Cost by Area + Natural Gas Cost by Area

Energy Cost Analysis Case Study 4B. Apply the calculated values for each utility to every facility’s consumption to determine the cost from the Energy Budget Workbook (board level) $0.1553/kWh - Electricity $0.2040/m3 – Natural Gas

Energy Cost Analysis Methodology 5. Calculate the Weighted Average for each type of facility for the following columns Electricity Intensity Natural Gas Intensity Total Energy Intensity Electricity Cost By Area Natural Gas Cost By Area Total Cost By Area

Energy Cost Analysis Methodology How to Calculate the Weighted Average add each of the following columns by type and use the “total value” to calculate the Weighted Average value Weighted Average Calculations (by type) Total Electricity Intensity = Total Electricity Consumed (kWh)/Total Building Area(ft2) Total Natural Gas Intensity = Total Natural Gas Consumed (m3) x 10.32/Total Building Area (ft2) Total Energy Intensity = Total Energy Consumed (ekWh)/Total Building Area (ft2) Electricity Cost By Area = Total Electricity Intensity (kWh/ft2) x Electricity Cost ($/kWh) Natural Gas Cost By Area = Total Natural Gas Intensity (ekWh/ft2) x Natural Gas Cost ($/m3)/10.32* Total Energy Cost By Area = Electricity Cost By Area + Natural Gas Cost By Area Note * See slide 20 for explanation re: conversion m3 to ekWh

Energy Cost Analysis Methodology How to Calculate the Weighted Average cont’d

Energy Cost Analysis Case Study Calculating the Weighted Average Case Study – Elementary Schools

Energy Cost Analysis Methodology 6. Using the Total Cost by Area column, sort each type of facility from highest to lowest value elementary secondary administrative multi-use

Energy Cost Analysis Case Study 6. Sort the “Total Cost by Area” column from highest to lowest Note due to space limitation on the slide, only 20 elementary schools are shown

Energy Cost Analysis Methodology 7. Identify all facilities that have “Cost By Area” values greater than the Weighted Average Electricity Cost By Area Natural Gas Cost By Area Total Cost By Area

Energy Cost Analysis Case Study 7. Identify facilities with “Cost By Area” values greater than the Weighted Average Notes due to space limitation on the slide, only 20 elementary schools are shown Weighted averages based on values for all elementary schools in the case study

Energy Cost Analysis Methodology 8. Repeat the methodology for each remaining type of facility outlined in slides 19-29 secondary Note you likely won’t have enough administrative and multi-use facilities for this process to be justified however it is a best practice to review the intensity and costs against the values of your secondary schools

Energy Cost Analysis Methodology Next Step … Conduct Internal Performance Benchmarking

Performance Benchmarking Internal Performance Benchmarking

Performance Benchmarking Definitions a performance benchmark is a numerical standard that is used to compare two or more things. The comparison allows the user to identify and prioritize action items to improve the energy performance for individual buildings. There are two types of performance benchmarking: Internal comparison of energy intensity between similar buildings within a board raw data External comparison of energy intensity between similar buildings across the education sector weather normalized Note external performance benchmarking is not demonstrated in the case study

Internal Performance Benchmarking Definition identifies if a board is electricity or gas intensive based on calculated averages allows a board to measure their exposure to risk of volatile utility costs identifies buildings with both high energy intensity and high energy costs prioritize these sites for implementing energy management strategies allows a board to assess the energy performance of similar sites

Internal Performance Benchmarking Background Rationale performance benchmarking provides insight into the energy cost analysis that was just demonstrated identifies the facilities that are highest priority for energy management strategies identifies which utility (electricity and/or natural gas … and/or alternative utilities – if applicable) should be the focus of the energy management strategy at each facility

Internal Performance Benchmarking Methodology Identify all facilities (by type) that have “intensity” values greater than the Weighted Average Electricity Intensity Natural Gas Intensity Total Energy Intensity Note continue using the Board Profile - Asset tab that was developed for the Energy Cost Analysis section of this presentation

Internal Performance Benchmarking Case Study 1. Identify facilities with intensity values greater than the Weighted Average Note due to space limitation on the slide, only 20 elementary schools are shown

Internal Performance Benchmarking Methodology 2. Review the following columns as a whole identify sites where all or the majority of columns indicate that the value is greater than the Weighted Average Electricity Intensity Natural Gas Intensity Total Energy Intensity Electricity Cost By Area Natural Gas Cost By Area Total Cost By Area

Internal Performance Benchmarking Case Study 2. Rank each type of facility by “Energy Intensity” from highest to lowest Notes due to space limitation on the slide, only 20 elementary schools are shown

Internal Performance Benchmarking Case Study 3. Rank each type of facility by “Total Cost by Area” from highest to lowest Note due to space limitation on the slide, only 20 elementary schools are shown

Internal Performance Benchmarking Methodology Total Cost by Area vs Energy Intensity facilities should be prioritized based on the board’s need cost control highest total costs emissions (carbon footprint) highest energy intensity

Internal Performance Benchmarking Case Study Total Cost by Area vs Energy Intensity

Internal Performance Benchmarking Methodology 4. Prioritize facilities based on highest Total Cost by Area highest Energy Intensity 2 1

Internal Performance Benchmarking Case Study 4. Prioritize facilities elementary schools

Internal Performance Benchmarking Methodology Note industry standards for intensity values in schools may also be used as a comparator for performance benchmarks Source: TRCA Sustainable Schools White Paper

Internal Performance Benchmarking Methodology 5. Repeat the methodology for each type of facility outlined in slides 36-44 secondary Note you likely won’t have enough administrative and multi-use facilities for this process to be justified however it is a best practice to review the intensity and costs against the values of your secondary schools

Next Steps

Next Steps Review each of the poorest performing sites is there an obvious reason why electricity or natural gas intensity/costs are high? data are consumption values in the UCD accurate? are the board financial values correct? equipment based on the utility that has the higher intensity equipment near end of lifecycle HVAC system design to identify possible energy conservation projects

Next Steps Review cont’d operations identify opportunities to improve scheduling board policies standard temperatures commissioning/re-commissioning/retro-commissioning of equipment electrically-heated schools (includes ground source heat pumps) where energy is being used in the building IT equipment domestic hot water system childcare

Next Steps Review cont’d how the school building is being used community use of school before & after school programs childcare energy procurement strategies does your board participate in an electricity and natural gas procurement consortium?

Analyzing Energy Costs & Performance Benchmarking Send your questions to the UCD Help Desk Email: ucdb@aegent.ca Phone: (416) 622-9449 ext. 115