MEASUREMENT & VERIFICATION Jorge Torres Coto, P.E. LEED AP MBO, Inc.

AGENDA INTRODUCTIONS WHAT IS M & V A LITTLE HISTORY, WHERE WE ARE AND WHY A FEW COMPARISONS OPTIONS? MEAT & POTATOES LEED . . . NOW & TOMORROW THE DEVIL IS IN THE DETAILS

WHO CAME?

WHAT IS M & V? Measurement & Verification Monitoring & Verification What are you verifying if you haven’t measured it? Can be used in any context, though mostly used in energy efficiency / water efficiency / emission reduction projects

GLOSSARY ECM EEM These two terms are not interchangeable! Energy Conservation Measure: reduce the use of energy. EEM Energy Efficiency Measure: use energy as efficiently as possible to achieve a specified result. These two terms are not interchangeable!

GLOSSARY ESCO Energy Services Company: provides all services required for implementing externally finances energy efficiency projects. Provides guarantees of certain predicted results ESP Energy Service Provider: does the same, without the guarantees of results.

GLOSSARY IPMVP International Performance Measurement & Verification Protocol Broad framework of definitions and approaches EVO Efficiency Valuation Organization (the sponsor of IPMVP)

WHO UTILIZES M&V ESCO ESP Energy Users (Industrial/Buildings/Etc.) Facility Managers New Building Designers (wait and see) LEED Users (designers, CxA, EBOM Managers, etc) Regional Efficiency Program Designers and Managers Emission counting and trading organizations (State of CA, Federal Government, International Markets)

A LITTLE HISTORY North American Energy Measurement and Verification Protocol Published March 1996 International Performance Measurement and Verification Protocol December 1997 IPMVP Incorporated in 2002 EVO Renamed in 2004

WHAT IS M & V? Process of using measurement to reliably determine actual savings created within an individual facility by an energy management program. Savings cannot be directly measured, since they represent the absence of energy use. Instead savings are determined by comparing measured use before and after implementation of a project, making appropriate adjustments for changes in conditions.

LEED ENERGY & ATMOSPHERE credit 5 BENEFITS To provide ongoing accountability of building energy consumption over time BENEFITS Minimizes economic and environmental impacts associated with the projects utility using systems. Lifetime of a building is more than 50 years, even minor utility savings are significant in aggregate. Good M&V procedures will bridge the gaps left by personnel changes through time. 11

LEED OPTION 1 OPTION 2 The M&V period must cover at least 1 year Develop and implement a plan consistent with Option D of IPMVP OPTION 2 Develop and implement a plan consistent with Option B of IPMVP The M&V period must cover at least 1 year Provide a process for corrective action if the results indicate that energy savings are not being achieved. 12

LEED M & V ACTIVITIES

LEED BPI 14

LEED BUILDING PERFORMANCE INITIATIVE Comprehensive data collection and analysis development will be shared with LEED building owners and project teams to help close the performance prediction gaps. Requirement of ongoing performance data from buildings as part of their certification 15

LEED M & V Prerequisite Utility Level Metering Meter, track and share building level utility resource use to support energy management and LEED program evaluation. Install or use building level utility metering (electric, gas, chilled water, steam, fuel oil, etc.) 16

WHAT DOES IT COST? M&V Cost $ Incremental Value of information M&V Rigor

WHAT DOES IT COST?

WHAT DOES IT COST? Option selected Number of ECM and their complexity Number of energy flows across the measurement boundary Effort in establishing the baseline conditions Amount and complexity of measurement equipment Sample sizes Engineering effort Accuracy Savings report requirements Experience and qualifications

WHAT YOU GET!

IN A NUT SHELL GET IT RIGHT! M&V Plan reviews are critical: IPMVP, ASHRAE, FEMP, etc. will not create a good M&V Plans M&V Plans establish a successful project Weak M&V Plans = weak projects Combine guidance with good engineering judgment to produce great M&V Plans. Input from the WHOLE team is necessary (owner, designer, commissioning, operator, user, etc.)

M & V STEP BY STEP The M&V process parallels the ECM design and implementation process!!!!! What does the end user really want (whole facility, specific loads, etc.)? Selection of the M&V Option is done when the ECMs are developed. What accuracy is acceptable? What is the baseline period? What is the reporting period? 22

M & V STEP BY STEP Gather energy information from the baseline period and record in an accessible manner Prepare M&V Plan with the results of everything above and define the subsequent steps. As part of the ECM design and installation, also design, install, calibrate and commission any special measurement equipment that is needed under the M&V Plan 23

M & V STEP BY STEP After the ECM is installed, Commission the equipment and devices. Gather energy and operating data from the reporting period (per M&V Plan) Compute the savings in utility and monetary units per the M&V Plan Report the savings per the M&V Plan 24

M & V ACTIVITIES Meter installation calibration and maintenance Data gathering and screening Computational method and acceptable estimates Computations with measured data Reporting, QA and third party verification reporting

IPMVP OPTIONS OPTION A: ISOLATION RETROFIT OPTION B: ALL PARAMETER MEASUREMENT (LEED) OPTION C: WHOLE FACILITY OPTION D: CALIBRATED SIMULATION (LEED) 27

28

M & V Documents IPMVP Volume I IPMVP Volume II IPMVP Volume III Defines M&V with fundamental principles. Describes the framework of the M&V plan and reporting IPMVP Volume II Provides approach to evaluating building IAQ issues related to ECM design, implementation and maintenance. IPMVP Volume III Provides detail on methodologies associated with new building construction and with renewable energy systems added to existing facilities.

M & V Documents ASHRAE Guideline 14 FEMP M&V Guide Provides details on implementing M&V plans within the framework Enhances IPMVP’s discussion on balancing Uncertainty and Cost FEMP M&V Guide Complementary to IPMVP It is an application guide Provides more detail on the M&V Options

BASELINE PERIOD Should be representative of all operating modes of the facility (from maximum to minimum

REPORTING PERIOD Should encompass at least one operating cycle in order to fully characterize the savings effectiveness. Metering can be left in place to provide real time feedback of operating data to staff.

ADJUSTMENTS Savings = (Baseline Energy - Reporting Period Energy) + Routine Adjustments + Non-Routine Adjustments Routine Adjustments: for any utility-governing factors expected to change routinely during the reporting period (weather, production volume, etc.) Non-Routine Adjustments: utility-governing factors which are not expected to change (size of facility, occupants, shifts, etc.)

NORMALIZED SAVINGS Using conditions other that those of the Reporting Period as a basis for adjustment. Adjustment to a fixed set of conditions (for the reporting and for the baseline period) from their actual conditions to a common fixed set of conditions (NORMALIZED) Normalized Savings = (Baseline Energy + Routine Adjustments to fixed conditions + Non-Routine Adjustments to fixed conditions) – (Reporting Period Energy + Routine Adjustments to fixed conditions + Non-Routine Adjustments to fixed conditions)

NORMALIZED SAVINGS When to select Avoided Energy Use or Normalized Savings Avoided Energy Use: depends on the reporting period’s operating conditions. Cannot be directly compared with savings predicted under baseline conditions. Normalized Savings: unaffected by reporting period conditions since the fixed set of conditions are set and do not change Can be directly compared with savings predicted under the same set of fixed conditions. Can only be reported after a full cycle of reporting period energy use

IPMVP OPTIONS OPTION A: OPTION B: OPTION C: OPTION D: ISOLATION RETROFIT OPTION B: ALL PARAMETER MEASUREMENT (LEED) OPTION C: WHOLE FACILITY OPTION D: CALIBRATED SIMULATION (LEED)

OPTION A: RETROFIT ISOLATION Actual field measurements of the most important performance parameters which define the utility use of the ECMs selected. Measurement can be short term to continuous, it depends on the expected variations of the measured parameter and the length of the reporting period. Some parameters not measured in the field can be estimated based on historical data, manufacturer’s expectations. You still have to evaluate the savings error.

OPTION A: RETROFIT ISOLATION

OPTION A: RETROFIT ISOLATION Savings are calculated utilizing: baseline period Engineering calculations Short-term or continuous measurements of key parameters Estimated values Routine and Non-Routine adjustments as required SAMPLE CALCULATION E Savings = QTY * (Before – After) * Hours ES = (5,000) * (86 W - 56 W) * (3,000 hours) * (1 kW / 1000 W) ES = 450,000 kWh/year Cost Savings = (Unit Cost) (Energy Savings) Cost Savings = (450,000 kWh) * ($0.10/kWh) Cost Savings = $45,000/year

OPTION A: RETROFIT ISOLATION TYPICAL APPLICATIONS Lighting Retrofits

OPTION B: ALL PARAMETER MEASUREMENT Actual field measurements of the ECM affected system. Measurement can be short term to continuous, it depends on the expected variations of the measured parameter and the length of the reporting period.

OPTION B: ALL PARAMETER MEASUREMENT Savings are calculated utilizing: Short-term or continuous measurements of the baseline and reporting period utility, and/or engineering computations using measurements of proxies of energy use. Routine and Non-Routine adjustments as required Savings are calculated utilizing: Short-term or continuous measurements of the baseline and reporting period utility, and/or engineering computations using measurements of proxies of energy use. Routine and Non-Routine adjustments as required

OPTION B: ALL PARAMETER MEASUREMENT TYPICAL APPLICATIONS Variable speed drive and controls to a pump motor to adjust to actual requirements of flow and react accordingly. Measure for a set period of time prior to ECM installation. Measure for the set period of time after the ECM installation. Track and report the variation in power use.

OPTION C: WHOLE FACILITY Measurement at the whole facility or sub- facility level. Continuous measurements throughout the reporting period

OPTION C: WHOLE FACILITY

OPTION C: WHOLE FACILITY Savings are calculated utilizing: Utility meter data for the whole facility both for the baseline and the reporting period Routine and Non-Routine adjustments as required

OPTION C: WHOLE FACILITY TYPICAL APPLICATIONS Multifaceted energy management program affecting many systems in a facility. Baseline period is usually a 12 month period from utility data Keep track of utility data for 12 months after ECM installation

OPTION D: CALIBRATED SIMULATION Simulation of the energy use of the whole facility or sub-facility Adjustments to the simulation to demonstrate modeling of actual energy performance measured at the facility Requires considerable skill in calibrated simulation

OPTION D: CALIBRATED SIMULATION

OPTION D: CALIBRATED SIMULATION Savings are calculated utilizing: Calibrated hourly or monthly utility billing data Energy end use metering may be used to help refine input data

OPTION D: CALIBRATED SIMULATION TYPICAL APPLICATIONS Multifaceted energy management program affecting many systems in a facility, but where no metering existed in the baseline period Utility use measurements after installation of gas, water, electric meters are used to calibrate simulation. Baseline utility use is determined with the calibrated energy simulation and compared to the simulation of the reporting period utility use.

RESOURCES ASHRAE Guideline 14-2002 M & V Guidelines: Measurement and Verification for Federal Energy Projects, Version 2.2-2000 The Greenhouse Gas Protocol for Project Accounting (2005) The U.S. State of California Public Utilities Commission’s California Energy Efficiency Evaluation Protocols: Technical, Methodological, and Reporting Requirements for Evaluation Professionals (April 2006) 52

RESOURCES www.evo-world.org http://www1.eere.energy.gov/femp/financing/super espcs_mvresources.html www.ashrae.org http://resourcecenter.ashrae.org/store/ashrae/news tore.cgi?itemid=9012&view=item http://www.ghgprotocol.org/ http://www.wri.org/publication/greenhouse-gas- protocol-ghg-protocol-project-accounting http://www.cpuc.ca.gov/PUC/energy/Energy+Efficie ncy/EM+and+V/ http://www.neep.org/about/final_MV_manual.pdf 53

THANK YOU Jorge Torres Coto, P.E. LEED AP MBO, Inc. 4830 Viewridge Avenue San Diego, CA 92123 858-751-5702 jorge@mbo1.com