ESOS in Irish Processing(The Energy Audit Scheme - is the ISO
50001 path right for you?)
RDS, DUBLIN, 9TH & 10TH SEPTEMBER 2015
Mike Brogan, CEO & Co-Founder
QSET software
Energy consultants large MNC’s(IS 393 software)
Members EN/ISO 50001 committeesFirst installs:
buildings & industry
EN 16001 software deployed
Enerit ISO 50001 software launched
20 years in Management System SoftwareISO 9001, ISO 14001, OHSAS 18001
1995 2004 2006 2008 2010 2011
Enerit Founded
Under the DIRECTIVE 2012/27/EU Energy Efficiency Directive [EED] all EU countries are required to use energy more efficiently at all stages of the energy chain from production to final consumption.
The EED establishes a set of binding measures to help the EU reach its 20% energy efficiency target by 2020.
EU countries required to transpose the Directive's provisions into their national laws by 5 June 2014.
Energy Efficiency Directive
Ireland’s national E.E. target is
31,925 GWh or 20% saving by
2020 and €2.4bn
The Energy Audit Scheme has been established by SEAI to implement Article 8.
Energy Efficiency Directive – Article 8 Article 8 – (Energy Audits & Energy Management Systems) of the Directive has been transposed into Irish Law as S.I. No. 426 of 2014 European Union (Energy Efficiency) Regulations 2014.
Under the legislation large organisations (non-SME and public body) are required to carry out an energy audit by 5 December 2015 and every four years after that.
The UK Government established ESOS to implement Article 8 (4-6) through the ESOS Regulations 2014.
ESOS – Energy Saving Opportunity Scheme
https://www.gov.uk/guidance/energy-savings-opportunity-scheme-esos
90% of total spend/use
Different routes
Submit notification to Environment Agency
If ISO 50001 Lead Assessor not required
Penalties for not doing audit up to £50,000
• 14,000 business notified• 152 competed in August
Does it affect You?Does your
company quality for Energy Audit Scheme (EAS)?
Employees > 250 ?
Turnover > €50m?
Balance Sheet > €43m?
You are “Large Enterprise”
Participation in EAS is
mandatory
You are “Large Enterprise”
Participation in EAS is
mandatory
You are not a “Large Enterprise”
Participation in EAS is NOT mandatory
You are still encouraged to
undertake energy audits – they may
help cut costs
Based on legal entity
status registered in
Ireland
ESOS only
applies to UK.
Legal entity in Ireland must comply with
EAS
EAS & Public Sector
Large Enterprise criteria applies
Individual buildings, any one of which has a total useful floor area of over 500 m2 or an annual energy spend in excess of €35,000 this requirement will apply in due course
• Introduced on a phased basis• Phasing details of eligibility thresholds and
timescales will be published in the Public Sector Energy Efficiency Action Plan later in 2015.
What does it cover?
kWh
Applicable to All Sectors – based on criteria regardless of the sector.
Air or sea: journeys that
start and/or end in Republic of
Ireland
Road Freight: Only
if you pay for the fuel
Rail travel: N/A unless you are a rail company
Cars: company cars and
fleet vehicles
Energy Audit Scheme – Derogation
Ref: Energy Audit Scheme Guidance Notes & FAQs
Do you have GHG Permit?
(iii) Does it cover 70% of your energy
use?
(i) Is it valid on 5th Dec
2015?
(ii) Minimum
audit requirement
s (Annex VI)?
(iv) implementing through SEAI programme?
(iv) Energy review complete by 5th Dec (70% energy use)? Appoint
Registered Energy Auditor
to confirm
(iv) Certified by June 2016?
Is it valid On
5th Dec 2015?
(ii) Minimum
audit requirement
s (Annex VI)?
(iii) Does it cover 70%
of your energy use?
Demonstrate eligibility
with evidence
Present Results & Sign-Off
ByCEO
ESOS compliance by
ISO 50001 does not require
verification by Lead Assessor
ISO 50001 Route• Internationally recognised approach for
effective management of energy consumption.
• Used by MNCs across its operations.
• Meet European mandatory auditing schemes in other countries.
• Management system with embedded procedures and controls
• Review and Continual Improvement
• Integrate with (ISO 9001, ISO 14001)
• Energy Planning Process covers the Energy Audit Scheme (& ESOS) and much more…
Ref: ISO 50001 standard
approach are 13.7% versus Business-as-Usual approach of 3.6%.
References: http://eetd.lbl.gov/sites/all/files/aceee_sep_paper.pdfhttp://www.superiorenergyperformance.net/results.html
ISO 50001 proven savings!
Annex VI - Minimum criteria for energy audits and Energy Management Systems
..up-to-date, measured, traceable operational data; … a detailed review of the energy consumption profile……build, whenever possible, on life-cycle cost analysis (LCCA)… … identification of the significant opportunities for improvement. ….clear information on potential savings. … storable for historical analysis and tracking performance.
Energy Audits
No template provided - It depends on the scale and nature of the operation
• ISO 50002: 2014 Energy audits: requirements with guidance for use• EN16247 Parts 1-4 covering audits in buildings, process and transport• CIBSE AM5:1991 Energy Audits and Surveys
Energy Audits
Can use previous energy audits– Must have been undertaken since September 2014– Completed by a Auditor on the Register of Energy Auditors– Must meet the minimum requirements in Annex VI
Sampling of sites with similar business operations can be audited
– must be 70% of energy use
Internal Auditors must be a Registered Energy Auditor
– signed-off by CEO or senior director
Sept
2014
Energy Saving Measures/ Improvement Opportunities
The cost savings should be based on a life-cycle cost analysis (LCCA) where practicable
– demonstrates if investment will be economical over its entire life by accounting for all the costs during a given period of time.
– These types of cost analyses are common accounting methodologies for many types of financial investments
“Energy audits shall allow detailed and validated calculations so as to provide clear information on potential savings.“
LCCA not always
practical so other
approaches (e.g. simple
payback period), may
be used.
Register established by SEAI in June• 47 Energy Auditors registers as of 28th AugustNot all auditors will be appropriate in all circumstances Internal personnel are eligible to register o Audit signed off by two senior authorised signatories
Energy Auditors Application Process Application form Normal tax and insurance certificates Degree / qualification certificates etc.o Minimum qualification – relevant technical discipline (Level 7) o Relevant post qualification experience – seven years o Have an additional ‘title/registration’ - either robust assessment of energy
experience/competence or this combined with examination Adherence to Code of Practice
Energy Auditors
SEAI recommend that organisations:- Assess Auditor Competence (e.g. BSI PAS 51215:
Energy efficiency assessment – competency of a lead auditor)
- Get 3 quotations
Compliance ProcessNot required to submit audits to SEAI
Energy Auditor presents results to senior management and sign-off by CEO or Senior Director
• If internal Auditor – sign-off by two senior personnel.
Audits may be required for quality assurance purposes
No penalties in 2015 – compliance assessment and penalties introduced in 2016 (ESOS penalty up to £50,000+)
Audit costs depend on size of operation and work already done – up to individual companies to select appropriate auditor and negotiate fee
Summary
“Large Enterprises” – EAS applies to youISO 50001 can be used for complianceNo Penalties yet but coming so why wait?ISO 50001 route makes sense for “Large Enterprises”There is time especially if you sign up to SEAI programmeThere are plenty of skilled auditors available and Enerit tools can help.
Don’t simply comply – apply!• Significant savings to be made