Heads Up CIPEC Newsletter - November 2013

Heads Up CIPEC Newsletter

November 2013 Vol. XVII, No. 13

Energy Summit 2014 promises unequalled opportunities for reducing energy costs

“We want to help Canadian manufacturers save energy and money, while keeping them competitive and reducing their carbon footprint. Energy Summit 2014 is a perfect venue to achieve this goal,” says Scott McNeil-Smith, Director, Strategic Planning and Communications, Excellence in Manufacturing consortium (EMC) and President of the Canadian Manufacturing Network.

Energy Summit 2014, to be held May 14 and 15 in Niagara Falls, will be hosted by Natural Resources Canada (NRCan) and CIPEC in partnership with EMC. The Summit continues CIPEC’s tradition of delivering Canada’s premier industrial energy conference since 2003.

Daniela DiBartolo, Director, Industry and Transportation Division, NRCan, notes that the Energy Summit attracts both Canadian and international delegates. “It is of major importance in educating the industrial energy community about innovations, energy use and waste reduction technologies as well as the latest energy-related government programs affecting industry.”

The Summit’s theme, Efficiency Meets Profitability, will be explored by the country’s leading energy experts, industry leaders and energy efficiency suppliers. The conference will focus on the economics of energy efficiency to dispel myths that energy use is a fixed cost and feature topics such as energy management, the ISO 50001 Energy Management Systems standard, emerging technologies as well as case studies and success stories.

Bringing together prominent specialists representing many areas of industry and government to share energy efficiency information, the summit will offer professionals involved in the production, distribution and use of energy, or in designing and evaluating energy-related equipment and waste reduction practices an unmatched opportunity to share best practices, network and learn about the latest innovations in industrial energy efficiency.

Attendees will have the opportunity to engage in solutions-based workshops, panel sessions and plant tours. There will also be an expanded energy showcase and tradeshow culminating with the CIPEC Leaders Awards Dinner Gala.

Energy Summit 2014 is also an excellent venue for sponsors and exhibitors to showcase their products and services.

Take advantage of the early bird rate of $395 (regular $695) as a CIPEC Leader which is valid until February 22nd.

Register now at www.energy2014.ca to learn how to transform energy management challenges into lucrative business opportunities.

For more information, contact Patricia Lieu, Senior Industry Officer, Office of Energy Efficiency, NRCan at 613-995-3737 or Patricia.Lieu@nrcan-rncan.gc.ca.

All the employees reap the savings from ISO 50001 certification at Lincoln Electric

“We are leaving no stone unturned,” says Adel Mir, Director Engineering Service, Lincoln Electric Company of Canada as he explains that the company’s philosophy of maintaining profitability and competitiveness involves all employees. “Ultimately we want the keep manufacturing in Canada,” adds Mir. It is this vision that led the company to seek ISO 50001 Energy Systems Management standard certification. “ISO 50001 fits well with our company philosophy that energy management is a cost containment activity.”

Lincoln Electric, a CIPEC Leader in the General Manufacturing sector, produces welding equipment and welding wire in Toronto’s Leaside Business Park, where one plant houses three distinct manufacturing facilities, all of which are ISO 9001, 14001 and now ISO 50001 certified. In total, the plant measures just under 75 000 square metres with 250-300 employees working in shifts on a 24/7, year-round schedule.

The company was first introduced to ISO 50001 through a 2011 pilot project funded by the Ontario Power Authority’s Conservation Fund and delivered by Hatch Ltd. “We started with Management System for energy (MSE 2000) standard, a predecessor to ISO 50001, so proceeding to ISO 50001 certification was the next logical step within our continuous improvement model,” notes Mir.

At the end of the pilot project, Hatch estimated improvements in electricity use intensity at the plant ranged up to 16.5 percent with concurrent greenhouse gas emission reductions of up to 950 tonnes annually. Each site was provided with an energy assessment of key systems, customized training, measurement and analysis support, templates, and coaching on all aspects of the requirements for attaining ISO 50001 certification.

Mir notes that at Lincoln Electric, energy management is part of the corporate culture. “We are a profit-sharing company that includes everyone from the assemblers to the CEO. When everyone reaps the profits of energy management, it makes integration of energy management into the corporate culture that much easier,” says Mir.

Suggestions for energy initiatives come from an employee suggestion system and from the ISO 50001 pilot project. “Ninety percent of the suggestions are accepted although the ones with a long payback period and high investment may take longer to execute.” Energy projects that have already been implemented include converting old steam boilers to more efficient natural gas heating for plant heating, changing DC motors to AC, and lighting retrofits.

To help encourage sustainability and bolster a solid understanding of energy management and what it means for the future of Lincoln Electric, all employees participated in full training sessions, which included how to spot “energy waste.” Moreover, Lincoln Electric has an energy team with representatives from widespread areas of the business including human resources, finance, maintenance, operations and others, that meet on a monthly basis.

“I encourage other manufacturers to take advantage of incentives and reap the rewards,” says Mir, noting the importance of incorporating a culture of energy efficiency early on at the grass roots level – a sustainable culture that endures staff turnover.

saveONenergy funds energy managers

“Having an energy manager is one of the best ways for organizations to uncover energy savings opportunities,” says Andrew Pride, Vice President of Conservation at the Ontario Power Authority (OPA). Funding for embedded and roving energy managers in an organization is one of many energy efficiency programs offered through saveONenergy, a suite of programs funded by the OPA and operated by local electric utilities.

Through this initiative, embedded energy managers’ salaries are funded to a maximum of 80 percent plus an additional 80 percent for annual expenses. To qualify, companies with an embedded energy manager must implement 300 kilowatt hours (kWh) of peak demand savings and 300 kWh multiplied by the facility’s load factor, times 8760 hours in energy savings annually. Pride notes that 30 percent of these savings must be achieved without incentives from the OPA or local electric utility.

When full-time employed energy managers are not warranted or there is not enough potential for the energy savings required, saveONenergy provides the option of a roving energy manager. Pride explains that local electric utilities will “mix and match” several organizations offering each one access to an energy manager for a defined period – long enough to start identifying opportunities, develop energy management plans and complete incentive applications. To fill the gap for sectors that are more difficult to reach, the OPA is contracting with sector-based associations to extend the reach to sectors such as retail and the hospitality industry.

More than one year after the launch of the energy manager program, it has exceeded all expectations. In fact, the initial funding cap has been lifted and the program extended to 2015. The number of energy managers currently sits at 55, 20 more than the original goal of 35. Pride states that in 2012 alone, 39 energy managers helped organizations save over seven million kWh.

Kim Krieber, OPA’s Business Manager, notes that there has been a focus on developing the program in industrial facilities, particularly in the automotive, general manufacturing, food and beverage, and pulp and paper sectors. Krieber adds that both embedded and roving energy managers have access to saveONenergy incentive programs in Retrofit (e.g. lighting, variable speed drive and compressed air) and Process and Systems, which includes funding for engineering studies and capital incentives.

The feedback from organizations and local utilities has been exceptionally good, says Pride. “The program was established to prove the concept that having an energy champion to transform the culture of the organization will eventually fund itself.” He adds that the concept is now being proven and is incredibly cost-effective at an estimated payback of 3 or 4 cents per kWh.

For more information on the program see the saveONenergy Funding for Embedded Energy Managers page or contact your local electric utility.

Bromont plant first IBM plant worldwide to be ISO 50001 certified

“We are the first IBM plant in the world to be ISO 50001 certified,” says Yves Veilleux, Site operations Manager at the Bromont plant in Quebec. For the plant, ISO 50001 certification was the next logical step in an ongoing improvement process that underlines IBM’s commitment to sustainability.

IBM Canada’s Bromont plant, a CIPEC Leader in the Electrical and Electronics Sector, manufactures semiconductors and occupies 13 935 square metres.

IBM engaged on the path that ultimately led to ISO 50001 certification many decades ago.  Isabelle Doucet, Environmental Engineer at IBM Bromont, explains that “since we already had an environmental management system in place at the plant and there was significant overlap between our earlier ISO 14001 certification and ISO 50001 requirements, the steps to ISO 50001 certification were easy.”

Veilleux adds that “the ISO 50001 Energy Systems Management standard is the perfect fit for the plant’s continuous improvement plan. We like that it is a global standard that assures employee awareness and allows us to engage our suppliers in energy efficiency and more sustainable purchasing practices.” Additionally, as a result of the journey to ISO 50001 certification, IBM Bromont has developed performance indicators linked to energy efficiency for production and maintenance processes and has seen an average 9 percent conservation in total energy use (electricity and natural gas) over the past five years; this is double the corporate goal of a four percent annual energy conservation.

“Over 145 energy efficiency projects have been implemented during that time,” notes Veilleux. These projects include the recommissioning of building systems, automated boiler controls, and variable frequency drive on pumps and fan. Recently installed variable frequency drives on pumps have resulted in electrical savings of up to $20,000 annually. Veilleux notes that many of the projects simply involved a change in procedures but resulted in significant savings. For example, encouraging employees to switch unused equipment to idle mode, allowed the plant to save an additional $20,000 annually.

The running list of energy projects comes from employees, benchmarking studies and best practices shared between IBM plants worldwide. Veilleux explains that the Bromont plant also has an energy coordinator who meets with representatives from the plant’s various sectors. Moreover, employees at IBM Bromont become energy aware from the first day of work, notes Doucet, adding that those working with specific equipment, receive further, more specialized energy training.

“We are already looking at energy efficiency projects for 2014-2015 in order to meet or exceed our corporate energy conservation goal,” says Veilleux, noting that ISO 50001 certification facilitates project identification and implementation. Both Veilleux and Doucet say that the Bromont plant is a model for other IBM plants around the world that are seeking ISO 50001 certification.

Energy assessment program helps SMEs identify energy saving opportunities

With funding from the Energy Efficiency Assessment Program (EEAP), small-to-medium sized enterprises (SMEs) in the goods manufacturing sector in Alberta have access to the services provided by professional energy auditors to help them identify energy saving opportunities. The incentive funds up to 50 percent of the cost of an energy audit up to a maximum of $25,000 per eligible organization.

The industrial efficiency program launched by Productivity Alberta and now delivered by C3 is designed to assist small to medium-sized enterprises (SMEs) in identifying and implementing energy retrofit projects to reduce energy consumption and greenhouse gas emissions, increase competitiveness, and produce healthier workplaces.

C3 is an Alberta-based climate change and sustainability agency that works to increase energy efficiency and the use of alternative energy sources. Warren Brooke, Manager of Engineering Services at C3 says that energy efficiency “fits hand-in-glove with our greenhouse gas emission reduction goals.”

Under the industrial efficiency program, eligible companies are those with less than 300 employees, annual energy expenditures between $175,000 and $5.5 million, and upper management that is committed to reducing energy consumption.

Brooke explains how the funding works. The assessment must be completed within a year of participation approval in order to receive the first half of the incentive. The remaining half will be paid out once one or more recommendations have been implemented. The capital cost of the implemented measure has to be equal to at least 50 percent of the assessment cost; alternatively the energy savings must equal the funding amount.

“Our goal is to complete five energy assessments in the first year, 12 in the second and 10 in the last year of the program,” states Brooke. Given the three-year limit of the program, Brooke expects a potential flood of applicants, noting that “many organizations already see the benefit in energy efficiency and will be able to leverage 50 percent of the cost of the assessment in order to reduce the capital expense of retrofits.”

For information, please visit the program website. Or contact Warren Brooke at 403-517-2728, toll free at 866-609-2700, or via e-mail at industrialenergy@C-3.ca.

Dollars to $ense Energy Management Workshops – Winter and spring schedule

Spot the Energy Savings Opportunities
Date: January 25
Location: Vancouver, British Columbia
Offered in collaboration with Langara College

Energy Monitoring
Date: February 22
Location: Vancouver, British Columbia
Offered in collaboration with Langara College

Energy Management Information Systems (EMIS)
Date: March 22
Location: Vancouver, British Columbia
Offered in collaboration with Langara College


Complete list of industrial events

Call for story ideas

Has your company implemented successful energy efficiency measures that you would like to share with Heads Up CIPEC readers? Please send your story ideas for consideration to the editor, Jocelyne Rouleau, by e-mail at jocelyne.rouleau@nrcan-rncan.gc.ca.

If you require more information on an article or a program, contact Jocelyne Rouleau at the above e-mail address.

You can also use the subscription page to update your contact information, or to unsubscribe or subscribe to the Heads Up: Building Energy Efficiency newsletter, our sister publication for commercial, institutional and federal government buildings. If you are experiencing difficulty accessing the subscription page, refer to our Help section or send an e-mail to info.ind@nrcan-rncan.gc.ca.