Energy efficiency implementation
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The Energy efficiency implementation industry branch comprises firms which ''
retrofit Retrofitting is the addition of new technology or features to older systems. Retrofits can happen for a number of reasons, for example with big capital expenditures like naval vessels, military equipment or manufacturing plants, businesses or go ...
'' or ''replace'' inefficient equipment with more efficient parts or equipment, with the goal of reducing energy consumption and
GHG emissions Greenhouse gas emissions from human activities strengthen the greenhouse effect, contributing to climate change. Most is carbon dioxide from burning fossil fuels: coal, oil, and natural gas. The largest emitters include coal in China and larg ...
. Retrofitting enhances existing equipment by increasing operational energy efficiency at a lower cost. As a comparison, complete replacement of equipment may be more costly, but can reduce the implementation complexity. The common goal is to save
kilowatts The watt (symbol: W) is the unit of power or radiant flux in the International System of Units (SI), equal to 1 joule per second or 1 kg⋅m2⋅s−3. It is used to quantify the rate of energy transfer. The watt is named after James W ...
(kW) and kilowatt hours (kWh). The difference between these two measurements is that one is a
power rating In electrical engineering and mechanical engineering, the power rating of equipment is the highest power input allowed to flow through particular equipment. According to the particular discipline, the term ''power'' may refer to electrical or me ...
(kW) and the other is a measurement of energy actually consumed (kWh).


Utilities

Public Utility Commissions in many states mandate that their utilities design and implement energy efficiency programs. The funding for these can be reflected in their rates or are collected through a surcharge in monthly customer bills. Some utilities design their own programs and implement them using a rebate form or other application, and administer the programs using their own staff. Most major utilities hire implementation contractors who are responsible for the design and implementation, and some implement programs already designed and approved by their PUC. Some programs require a co-pay by the customer, some are installed at no-cost. Utilities invest in energy efficiency for the following reasons: # Social interests: environmental issues and resource conservation # Economic interests: to prevent costly construction of power plants or the purchase of more energy The result is that utility companies have more energy to sell. That is, they are able to sell their excess capacity to more customers in the area without increasing their production capacity.


Effects

The results of energy efficiency implementation are all beneficial for the energy consumer. It reduces operational costs, reduces carbon footprint, and it can even improve
quality of life Quality of life (QOL) is defined by the World Health Organization as "an individual's perception of their position in life in the context of the culture and value systems in which they live and in relation to their goals, expectations, standards ...
. Energy efficiency implementation can also play a role in increased revenue when consumers choose a “greener” product over another that is not. Energy efficiency implementation can be extremely beneficial to large market segments like small businesses, schools, cement processing plants; basically any area that uses large amounts of energy. Small changes here add up to large savings. Implementing energy efficiency measures in a home or business can also lead to behavioral changes. When an energy efficiency change has been made and the energy consumer sees the benefits, more changes are often wanted to further their savings. These small changes create awareness and can be as simple as turning of lights when a room is not in use, or as complex as adding window glazing or installing demand-control ventilation.


Role of regulators

Energy sector regulators might have wide discretion in the implementation and/or monitoring energy efficiency (EE) initiatives. The most likely roles involve giving technical advice to the agency developing EE initiatives, since changes in demand patterns will have implications for the operations and investment plans of utilities (and for costs, security of supply and quality of service) . Particularly when the EE outlays are by the utility, the energy sector regulator needs to monitor outcomes to ensure that the resources are being utilized in ways that are consistent with overarching public policies. Furthermore, interactions of utility initiatives with other EE policies need to be taken into account when evaluating whether the scale and scope of existing utility-based demand-side management programs. Utilities are in a position to analyze bills and conduct on-premises energy audits to identify areas of saving. Regulators could require utilities to undertake costly audit programs. A high tech approach to improving operations and the customer interface involves smart meters and information systems that enable the utility to track system performance in real time.Frequently Asked Questions on Renewable Energy and Energy Efficiency, Body of Knowledge on Infrastructure Regulation
/ref> The costs of implementing such systems need to be balanced against the benefits, including the possibility that outlays on other projects might be more cost effective. Thus, the role of regulators primarily involves providing technical input into the development of EE policies initiated by other agencies or via legislated tax programs. In addition, the Regulator must determine (unless specified in law) which benefit-cost test is appropriate for evaluating utility-based EE programs. The regulatory tests include the participant cost test (will participants benefit over the measure's life?), the program administrator cost test (will utility bills increase?), the ratepayer impact measure (will utility prices increase?), the total resource cost test (will the total costs of energy decrease?) and the societal cost test (is the utility, state or nation better off, including environmental impacts?). The IEA Energy Efficiency Governance Handbook goes into much more detail on the importance of having a coherent system for developing, incentivizing, and evaluating energy efficiency programs.


Benefits


Operational costs

By making appliances, lighting or the HVAC system more efficient, energy consumption levels drop, which leads to a lower utility bill for utility customers.


Carbon footprint

By reducing energy consumption we are able to conserve natural resources and thus have a less dramatic impact on our environment.


Quality of life

Working in natural or well-lit areas contributes to performance and productivity. Comfortable temperature levels also factor into how well a person functions. This fact can be applied to any operation that requires the use of lighting or an HVAC system.


Implementers

Energy efficiency projects can be implemented by commercial property managers or by energy service companies or contractors. Commercial property managers that plan and manage energy efficiency projects generally use a software platform to perform energy audits and to collaborate with contractors to understand their full range of options. Implementation companies normally focus on specific equipment or appliances that they specialize in retrofitting or replacing, or they provide this service by sector: residential, commercial or industrial. Energy efficiency implementation is a complex field, and in order to implement effectively, the implementer must be multi-faceted and have extensive experience in many areas of energy efficiency. There are many systems, machines and methods that assist in creating energy savings including:
gas Gas is one of the four fundamental states of matter (the others being solid, liquid, and plasma). A pure gas may be made up of individual atoms (e.g. a noble gas like neon), elemental molecules made from one type of atom (e.g. oxygen), or ...
,
electricity Electricity is the set of physical phenomena associated with the presence and motion of matter that has a property of electric charge. Electricity is related to magnetism, both being part of the phenomenon of electromagnetism, as describ ...
, HVAC,
lighting Lighting or illumination is the deliberate use of light to achieve practical or aesthetic effects. Lighting includes the use of both artificial light sources like lamps and light fixtures, as well as natural illumination by capturing daylig ...
, daylighting, motion detection,
insulated glazing Insulating glass (IG) consists of two or more glass window panes separated by a space to reduce heat transfer across a part of the building envelope. A window with insulating glass is commonly known as double glazing or a double-paned window, ...
, refrigerator strip curtains,
revolving door A revolving door typically consists of three or four doors that hang on a central shaft and rotate around a vertical axis within a cylindrical enclosure. Revolving doors are energy efficient as they, acting as an airlock, prevent drafts, thus de ...
s, anterooms, thermostat controls, demand-control ventilation and voltage optimisation


See also

* Jevons's paradox * EU Energy Efficiency Directive 2012/27/EU – a 2012
European Union The European Union (EU) is a supranational political and economic union of member states that are located primarily in Europe. The union has a total area of and an estimated total population of about 447million. The EU has often been de ...
directive which mandates national
energy efficiency Energy efficiency may refer to: * Energy efficiency (physics), the ratio between the useful output and input of an energy conversion process ** Electrical efficiency, useful power output per electrical power consumed ** Mechanical efficiency, a ra ...
improvements


References

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