1. Program Name or Ancillary Texteere.energy.gov Energy Management in the U.S. Rio de Janeiro, Brazil August 9, 2011 James Quinn Energy Efficiency & Renewable Energy U.S. Department of Energy

2. 2 | Industrial Energy Efficiencyeere.energy.gov Energy management is the process of monitoring, controlling, and conserving energy in an industrial facility. Introduction Energy Management

3. 3 | Industrial Energy Efficiencyeere.energy.gov End-users cannot control external factors, such as supply issues, prices, or the global economy, but they can control how they use their energy resources. An energy management process can help users proactively assess, measure, and manage energy usage. Energy management standards and resources can support this process and help end-users gain control. Benefits of an ISO Standard: Compatible with other ISO management system standards. Multi-national companies may use one system in all of their facilities. Benefits of Energy Management Managing Energy, Gaining Control

4. 4 | Industrial Energy Efficiencyeere.energy.gov The U.S. DOE has supported a series of domestic and international efforts to help end-users and their organizations manage energy. ISO 50001 Energy Management Standard ASME System Assessment Standards Resources for Supporting Energy Management Superior Energy Performance Program Global Superior Energy Performance (GSEP) Partnership U.S. DOE Efforts to Support Energy Management Energy Management Efforts

5. 5 | Industrial Energy Efficiencyeere.energy.gov Requires organization to establish a baseline, metrics, energy management team, and system—enabling systematic achievement of continuous improvement in energy performance. ISO 50001 Energy Management Standard Does not prescribe specific energy performance criteria. Designed to be used independently, yet can be aligned or integrated with other management systems (e.g., ISO 9001 and ISO 14001). Applicable to all organizations that use energy, including industrial plants, buildings and other facilities, entire organizations. New ISO 50001 Standard

6. 6 | Industrial Energy Efficiencyeere.energy.gov Development of ISO 50001 Developed by the ISO Project Committee 242 which initially met in June 2009 52 member countries involved; management by China, the United States, Brazil, and the United Kingdom April 2010: Issued Draft International Standard June 2011: Published standard ISO 242 now moving to TC 242 and will continue to develop implementation material ISO 50001 Standard

7. 7 | Industrial Energy Efficiencyeere.energy.gov Plan-Do-Check-Act process typically includes: Energy policy and energy management plan Cross-divisional management team Operating controls and procedures Established baseline of energy use Identification of energy performance indicators Objectives and targets Action plan Periodic reporting of progress (to management) Energy Management Model

8. 8 | Industrial Energy Efficiencyeere.energy.gov Training Documents Communication Design Operational control Procurement Measuring and monitoring Internal auditing Nonconformance, corrective, preventive Records Policy Management responsibility Energy planning Management review ACT DOCHECK Components of an Energy Management System

9. 9 | Industrial Energy Efficiencyeere.energy.gov What is Superior Energy Performance? A market-based, ANSI/ANAB-accredited certification program that provides industrial and commercial facilities with a roadmap for achieving continual improvement in energy efficiency while boosting competitiveness. Goals: Drive continual improvement in energy performance Develop a transparent system to validate energy performance improvements and management practices Encourage broad participation throughout industry Support and build the energy efficiency market and workforce Superior Energy Performance for industry will be launched nationwide in 2012.

10. 10 | Industrial Energy Efficiencyeere.energy.gov Certification Requirements: An ANSI/ANAB-accredited Verification Body will conduct a third-party audit to verify that that the facility meets the following requirements: 1.Energy Management System Conformance to ISO 50001 Energy Management Standard 2.Energy Performance Improvement 10 ISO 50001 Components in place: Baseline Policy Plan Team/Leader Superior Energy Performance Facility-level conformance to ISO 50001 with validated energy performance improvement ISO 50001 ISO 50001 is a foundational tool that any organization can use to manage energy. Getting Superior Energy Performance Certified

11. 11 | Industrial Energy Efficiencyeere.energy.gov DOE worked with the University of Texas at Austin to pilot Superior Energy Performance in Texas facilities: Field tested elements of Superior Energy Performance Conducted audits using ANSI MSE and M&V Protocol Established the first ANSI/ANAB- accredited Verification Body for Superior Energy Performance Certified the first plants to Superior Energy Performance First facilities certified to Superior Energy Performance Performance Level Cook Composites and Polymers Co. Houston, Texas Gold Freescale Semiconductor, Inc. West Austin, Texas Silver Owens Corning Waxahachie, Texas Silver Union Carbide, subsidiary of the Dow Chemical Co. Texas City, Texas (manufacturing facility) Platinum Union Carbide, subsidiary of the Dow Chemical Co. Texas City, Texas (energy systems facility) Silver Texas Pilot Project, 2008-2010

12. 12 | Industrial Energy Efficiencyeere.energy.gov Energy Management Demonstration Projects Kick-Off Dates 2009: Northwest region 2010: Southeast, Midwest, and Mid-Atlantic regions 2011: California, Colorado, Texas (second round) and Northeast region http://www.eere.energy.gov/industry/energymanagementdemonstrations/ 3M Alcoa Allsteel Amcor PET Bentley Prince Street Bridgestone Tire Cook Composites & Polymers Cooper Tire Didion Milling, Inc Dow Chemical Eaton General Dynamics Haynes International Holcim JR Simplot Kenworth Trucks Lockheed Martin Neenah Foundry Company Nissan Schneider Electric Spirax Sarco Traco Volvo World Kitchen Industry Participants U.S. DOE is conduct Energy Management Demonstrations in partnership with states, regions, and utilities to and further test Superior Energy Performance and build energy management expertise.

13. 13 | Industrial Energy Efficiencyeere.energy.gov Superior Energy Performance provides… A facility-wide strategic approach to continual energy performance improvement. Market-recognized validation of effective energy management. Third-party transparency validates energy performance improvement. SEP M&V Protocol –Offers a standardized methodology for validating energy performance improvements. –Provides top-level sanity check that supports project-level M&V. Supports a more flexible approach by public utility commissions in validating expenditure of rate payer funds. SEP builds energy management expertise in the workforce. Certified Practitioner credentialing offers an opportunity for states and utility representatives to increase energy management expertise. Prepares states and utilities to respond to growing interest in energy management. Value of Superior Energy Performance