The EMIS Audit is taken into account the primary stage in planning an Energy Management data system . The expectation is that approximate costs for each action will be identified and a business case and audit report developed, including all the recommendations, so as to be during a position to weigh the advantages and establish whether there’s a financial case for EMIS implementation. The next step is to sell it to decision-makers within the organization. If the audit is successful, it will be followed by preparation of the implementation plan.
Part A covers the following:
• Choosing/Hiring the EMIS Auditor;
• Prior Audit: This section has considered the activities of the auditor prior to the EMIS Audit.
• This will ensure that the time spent on-site is not wasted;
• EMIS Audit: This section provides instructions on how to carry out an audit and covers:
• EMIS Purpose;
• Management Systems and Procedures;
• Definition of Energy Account Centres (EACs);
• Metering and Data Capture;
• Data Analysis and Reporting.
• Business Case: This section provides guidance on how to identify key findings of the EMIS Audit, report these findings to senior management and prepare a detailed Audit Report. It looks at:
• Identifying Recommendations;
• Estimating costs and savings has EMIS implementation;
• Reporting and Presenting of the Business Case and developing the EMIS Audit Report.
Hiring an EMIS Auditor
There are three main stages involved in hiring an EMIS auditor:
• Stage 1 – Identifying a shortlist of potential auditors;
• Stage 2 – Getting good quality proposals from them;
• Stage 3 – Evaluating the proposals consistently.
Since EMIS is an innovative technology, there’s a limited range of potential service providers. Consult your provincial engineering association or visit Natural Resources Canada’s Energy Management Services Directory. Once potential auditors have been identified, you should solicit bids from them. The most reliable method is to initiate a Request for Proposals. The RFP should be clearly written, set out the scope of the EMIS Audit and therefore the specific inputs sought from the EMIS auditor, and contain sufficient information to allow them to prepare bids on a common basis. The RFP will, by necessity, include some commercially confidential information. For this reason you may wish to contact the potential auditors and obtain signed Confidentiality Agreements from them prior to the RFP.
The RFP should include the following information at a minimum:
• Site location and address;
• The intended scope to the EMIS Audit – Will it relate to the whole of the site or just part of it?
• What services you wish to contract – How much of the EMIS Audit scope will be outsourced?
• Industrial classification and types of products manufactured – This should be enough to inform the auditor on the complexity of the production processes;
• What are the existing utility has systems and their capacities – (e.g., compressed air, as boilers and steam generation, as combined heat and power, as refrigeration and cooling)?
• Minimum 12 months of monthly average energy consumption data – This could be a summary of the invoiced amounts. Given the importance of demand charges in the overall costs structure, in addition to consumption, you ought to also provide the utmost or chargeable demand. This is to provide the auditor with an appreciation of the scale of the operations;
• Minimum of 12 months of monthly average production data, allocated by product. Again, this is to inform the auditor of the scale and complexity of the operations;
• General administrative information –
• Site contacts for technical issues and commercial issues;
• Terms and Conditions of Engagement;
• Payment terms;
• Insurance requirements;
• Whether proposals can be submitted electronically;
• Any specific requirements concerning the structure/contents or presentation of the proposal.
4. EMIS Audit
In general terms, an EMIS Audit consists of two stages: the Analysis (steps 1 to 4) and the Business Case (steps 5 to 8), as shown in Figure 2-7. Numerous assessment templates and tools included during this Manual are often wont to assist the auditor throughout the audit. They can be used for mature organizations as a comparison against what is currently the case, and for novice organizations as a description of what should be the case. Remember that these templates aren’t an end in themselves; their purpose is to supply a structured assessment methodology and to identify gaps in the current practices of the client site. These gaps should then guide the auditor in identifying appropriate recommendations for change. Defining the Purpose of an EMIS The first step in an EMIS Audit is to define the purpose of implementing an EMIS in the client’s organization. Discussions with key stakeholders within the organization should include identifying who is accountable for energy management and who is empowered to make decisions that have an impact on energy performance. The auditor should recognize that prior to the audit; the management team and other stakeholders at the client site may have only a limited understanding of what an EMIS is. The process that the auditor uses to define the aim can represent a crucial step in increasing awareness and understanding about the benefits of EMIS to them.
Step 2 – Understanding the Current Organizational Management Systems Understanding the present management systems and procedures provides the context for an EMIS. In this step, the management systems and procedures are assessed to ensure the client has the organizational elements in place to translate the insights gained from data analysis and reporting into corrective action (Figure 2-8). If the client has an existing utility management system this suggests assessing the system from the perspective of embedding an EMIS into it. If the client does not currently operate dedicated energy or utility management, this suggests reviewing the management systems in place for manufacturing, as environment or quality improvement that identifying to how to utilize management could either be embedded into these or could adopt similar methodologies and structures.
The Implementation Plan phase (Figure 3-1) is the second stage in planning an Energy Management Information System EMIS;. It provides a roadmap for successfully implementing an EMIS. The EMIS Implementation Plan phase builds on the EMIS structure introduced in the EMIS Audit, presents accurate costs for implementation and details the scope of the project and the resources needed by the organization to manage it. It provides that a schedule to implementation and manage an EMIS. Table 3-1 summarizes the outputs from the EMIS Audit and the conceptual and detailed design activities of the implementation phase, and shows how they are linked.
3. Developing the Conceptual Design
The Conceptual Design serves as a basis for the EMIS and the starting point for developing an EMIS Implementation Plan. The EMIS conceptual design should facilitate sign-off from management and key decision makers within the organization. Output from the conceptual design stage serves as input for the detailed design. In this section, you will first define those key stakeholders and individuals who will approve all aspects of the conceptual design. You will then create a conceptual design for every element of your EMIS structure consisting of the following aspects or work packages:
• Business-Level Overview
• Metering and Inputs
• Data Capture and System Integration
• Data Analysis and Reporting
• Management Systems: People and Procedures
5. Preparing the EMIS Implementation Plan
The previous sections involved preparing detailed requirements that help us understand each of the EMIS elements. This section describes the EMIS Implementation Plan requirements including the level of detail required for every section of the Plan, an overview of requirements for such supporting items because the business case, project plan, implementation schedule and the project team. The Implementation Plan should address risk. In the EMIS Audit, the savings estimates has been based on “business as usual” view of the world. The EMIS Implementation Plan are often wont to model different scenarios and thus develop a risk-weighted profile for EMIS.
a) Table of Contents
The following is a recommended Table of Contents for the EMIS Implementation Plan. The activities you completed to create the work packages in the detailed design phase (Part B – Chapter 4) will provide the information needed to deliver a comprehensive plan.
b) Executive Summary
The executive summary should include a concise statement of the overall benefits and costs of EMIS implementation at the site or organization and address the overall approach used to derive the savings potential and cost breakdown. Table 3-2 shows a recommended structure for the costs and benefits summary.
c) EMIS Structure and Scope
This is the main body of the EMIS Implementation Plan and should include, at a minimum, a detailed description of the changes, impacts and costs associated with each of the EMIS elements, as well as a view to project management, contingency and impacts.
• Business Overview
• The Business Overview should have been restate the EMIS purpose and highlight the scope of the EMIS
• implementation at your facility.
• Energy Account Centres
• This section should summarize the EAC Structure. The following information is required for
• each EAC:
• What utility meters already exist
• What new utility meters will be installed
• Which utility meters will be derived values from existing or new utility meters
• What driver measurements already exist
• What new driver measurements are required
d) Implementation Schedule and Project Plan
The project plan will:
• Identify the critical activities that determine the overall time requirement (i.e., the critical path);
• Identify key constraints that fix scheduling of activities (i.e., target setting as an activity will be impossible until the relevant meters are in place and the data is available in the data historian);
• Help guide decisions regarding phasing of implementation. For example, if there is a long lead time for new meter installation due to scheduling downtime to allow safe installation, the program could be adapted to commence implementation with existing meters, then add meters progressively to the system;
e) Estimating Costs
The Implementation Plan should include a detailed breakdown of costs. The quality of the cost information provided can be improved by noting whether the costs were obtained from a bid or remain estimates and, if estimated, who did the estimate. Appendix B14 shows the preferred layout for project costing.
f) Estimating Savings
This section needs to detail the approach used to arrive at the savings estimates and should cover:
1. Whether, and at what level, statistical regression has been used to arrive at an estimate of the amount of variability that cannot be explained by variations in the utility drivers?
2. How the savings potentials from this regression analysis have been calibrated to the situation on site (i.e., through discussions with line operators and supervisors, through observation of operational practices, through detailed auditing of specific equipment or systems)?
3. What types of measures are likely to be identified by the EMIS and which will contribute to achieving the savings potential estimated?
4. Which scenarios have been used to predict the baseline energy consumption over the three-year (or longer) analysis horizon?
5. How probabilities associated with each of the scenarios have been determined or agreed upon with the client site or organization in order to arrive at a risk-weighted estimate of savings.
g) Business Case
The business case should comprise the financial assessment using costs and savings derived in previous sections. The costs included within the business case should cover the full-time horizon for analysis and not just the first-year costs included in the section on estimating costs.
Given that much of the content in the actual plan is a summary of findings, the appendices should include background material for further reference. Appendices may include detailed cost estimate sheets, the full business case and project plan, and so on.