Download - Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011
![Page 1: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/1.jpg)
THINK.CHANGE.DO
Embedding energy efficiency teaching into VET and Higher Education
Educators’ Interactive seminar
UTS Business School
27 October 2011
Leadership & Change for Energy Efficiency in Accounting & Management
![Page 2: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/2.jpg)
Disclaimer
> This presentation presents the views of the authors, and not the views of UTS, or any other party.
> This presentation is for educational purposes only and does not contain specific or general advice.
> Please seek appropriate advice before making any financial decisions.
> Reference list is provided at the end of the presentation
![Page 3: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/3.jpg)
Referencing this material
> This material has been developed by UTS Business School in a project funded by the NSW Office of Environment & Heritage (OEH) under the Energy Efficiency Training Program.
> If using these materials please acknowledge as follows:– Benn, S., Brown, D., Brown, P., Crittenden, P., and Krithinakis, A.,
2011. Leadership & Change for Energy Efficiency in Accounting & Management: Educators Interactive Seminar. 27 October 2011. Project funded by the Office of Environment & Heritage, Department of Prime Minister & Cabinet NSW.
![Page 4: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/4.jpg)
THINK.CHANGE.DO
Welcome & introductions
Professor Suzanne Benn
UTS Business School
![Page 5: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/5.jpg)
Interactive seminar - outline
> Energy efficiency – the business context> Outcomes from the project Training Needs Analysis> Embedding energy efficiency into university
accounting courses – examples> ‘Opportunities’ for embedding energy efficiency from
your perspective> What would help you and your colleagues? > Evaluation
![Page 6: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/6.jpg)
Project funding
> Office of Environment and Heritage> Energy Efficiency Training Program
– ‘supports the development and delivery of higher education courses that enhance energy efficiency knowledge and practice’.
![Page 7: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/7.jpg)
Key Project Partners
> UTS Business School> Ernst & Young> Chartered Institute of Management Accountants
(CIMA)> Westpac> TAFE NSW, Sydney Institute
![Page 8: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/8.jpg)
Project Overview
![Page 9: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/9.jpg)
Introductions
> Briefly (30 seconds!)– Your organisation– Your role– Why energy efficiency is relevant to you and your
work
![Page 10: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/10.jpg)
Interactive Seminar - Outcomes
> In this seminar you will:– Learn from others about embedding energy
efficiency into teaching and learning for accountants & business managers
– Share your own experience – Provide input to the project– Identify additional actions that you might take
![Page 11: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/11.jpg)
UTS Business School approach sustainability
> Content and teaching method must be relevant to the core aspects of the discipline
> For example:
Economics → Externalities
Accounting → Information needed for decision makers
and controlling operations
![Page 12: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/12.jpg)
Interactive Seminar - Aim
> To promote and encourage the embedding of energy efficiency into teaching and learning in VET and Higher Education
![Page 13: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/13.jpg)
THINK.CHANGE.DO
Energy Efficiency – the business context
Patrick Crittenden
Sustainable Business P/L
![Page 14: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/14.jpg)
What is Energy Efficiency?
> Energy efficiency primarily refers to end-use efficiency.
> It involves delivering equal or greater levels of “energy services” with less energy supply.
> Energy services include cooling, heating, lighting, driving motors, operating equipment and appliances.
Dunstan et al. 2011, p.10
![Page 15: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/15.jpg)
Electricity generation by fuel type in Australia
Source: Geoscience Australia 2010 p34
![Page 16: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/16.jpg)
The boundary
The electricity supply chain
2 units of light energy delivered
100 units of energy input
![Page 17: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/17.jpg)
The boundary
The electricity supply chain
62 units lost2 units lost
34 units lost
2 units of light energy delivered
100 units of energy input
![Page 18: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/18.jpg)
The boundary
Energy efficiency example
80% saving in energy end use delivers
benefits across the electricity supply chain
![Page 19: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/19.jpg)
Many cost-effective energy efficiency projects exist but are not
being taken up
ClimateWorks 2010 “Low Carbon Growth Plan for Australia”
![Page 20: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/20.jpg)
International Energy Agency – 450 scenario
26
28
30
32
34
36
38
40
42
2007 2015 2020 2025 2030
Gt
2010
Efficiency 65 57
End-use 59 52
Power plants 6 5
Renewables 18 20
Biofuels 1 3
Nuclear 13 10
CCS 3 10
Share of abatement %
2020 2030
3.8 Gt13.8 Gt
Reference Scenario
450 Scenario
Source: IEA (2011) World Energy Outlook
Efficiency measures account for 59% of abatement in 2020
![Page 21: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/21.jpg)
![Page 22: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/22.jpg)
Four key business risks that energy efficiency can address
> Cost containment> Carbon pricing> Compliance with legislation> Licence to operate
![Page 23: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/23.jpg)
Business risk: Cost containment
> Electricity prices are rising> Oil price highly variable
Energy efficiency is effective in reducing the business impact of rising and variable energy costs
![Page 24: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/24.jpg)
Source: Geoscience Australia, 2010 p18
![Page 25: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/25.jpg)
Source: Geoscience Australia, 2010 p28
![Page 26: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/26.jpg)
Business Risk: Carbon pricing
> From July 2012 - carbon price of
$23 a tonne, 2.5% increase p.a> Fixed for 3 years then market-based> Direct liability = Direct costs> Increased costs in the supply chain
= flow through impact on your business
Energy efficiency is the most cost- effective way of reducing the impact of a price on carbon
![Page 27: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/27.jpg)
Business Risk: Compliance with legislation
> Some relevant current legislation:– National Greenhouse and Energy Reporting Act 2007– Energy Efficiency Opportunities Act 2006– Renewable Energy (Electricity) Bill 2009– Building Energy Efficiency Disclosure Act 2010– Energy and Utilities Administration Act 1987 No 103– NSW Water and Energy Savings Action Plans – And other accounting, reporting, and auditing
standards
![Page 28: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/28.jpg)
Business Risk: Compliance with legislation
> Exposure draft ISAE 3410 Assurance Engagements on Greenhouse Gas Statements
> Environmental Claims in Advertising and Marketing Code
> ISO and other quality assurance guidelines
Legislative compliance associated with energy efficiency and greenhouse related
issues is increasingly complex
![Page 29: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/29.jpg)
Business Risk: Licence to Operate
Some stakeholder perspectives:>Investors – Can energy efficiency provide a proxy indicator of good management?>Community – Why isn’t this organisation acting on cost effective opportunities to reduce greenhouse gas emissions?>Regulators – Perceived market failures justify intervention
Organisational stakeholders are increasingly aware that energy efficiency has important
business, environmental and social benefits.
![Page 30: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/30.jpg)
Other business drivers and opportunities
> Your competitors are doing it!
See public reports from companies in the Energy Efficiency Opportunities program to compare your performance www.energyefficiencyopportunities.gov.au
See the Carbon Disclosure Project
www.cdproject.net
![Page 31: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/31.jpg)
Energy Efficiency Opportunities - results
> 207 corporations (end 2010 public reports)> identified opportunities with a better than 4 year
payback > have the potential to reduce their energy use by an
average of 9.8 per cent > Energy reduction of 141.9 PJ of energy per year =
2.5 per cent of Australia’s total energy use > financial benefit around $1.2 billion per year.
![Page 32: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/32.jpg)
Ethical Reasons (Greenhouse Gas Emissions)
32Source: Garnaut Climate Change Review 2008, p 88
![Page 33: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/33.jpg)
Case Study - The GPT Group
Source: Accessed 6/9/11 from www.gpt.com.au/content.aspx?urlkey=Energy
![Page 34: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/34.jpg)
Example - The GPT Group
> Senior management support> Appropriate resourcing> Data measurement and reporting> Staff recruitment and training> Performance management system
The GPT Group have put the right systems in
place to deliver results.
Energy Efficiency is considered an opportunity to create a competitive advantage.
![Page 35: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/35.jpg)
Example - Linfox Australia
Source: Linfox Energy Efficiency Opportunities Public Report 2010 p 17
![Page 36: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/36.jpg)
Example - Linfox Australia
Source: Linfox Energy Efficiency Opportunities Public Report 2010 p 17
![Page 37: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/37.jpg)
Many cost-effective energy efficiency projects exist but are not
being taken up
ClimateWorks 2010 “Low Carbon Growth Plan for Australia”
![Page 38: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/38.jpg)
Barriers to energy efficiency improvement in business
Dunstan et al. 2011, p.10
![Page 39: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/39.jpg)
Example – Split incentives in the real estate sector
Source: WBCSD, 2009 p12
![Page 40: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/40.jpg)
THINK.CHANGE.DO
Training Needs Analysis
Dr. David Brown
UTS Business School
![Page 41: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/41.jpg)
UTS Business School Accounting discipline groups approach to energy efficiency
> Collaborative approach which is part of a wider review of our programs.
> Using EE as an example of how general accounting techniques can be used.
> Slides, tutorial exercises, case studies.> For example:
– energy budgeting; – variance analysis using energy data; – capital budgeting for EE projects
![Page 42: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/42.jpg)
Training Needs Analysis - Focus Groups
> NSW TAFE, Sydney Institute (6 participants)> CIMA members (11 participants)> Engineering, architectural design, legal (5 participants)> Westpac (6 participants)
Targeted interviews with:> Energetics (2 interviewees)> Senior Executive from ASX200 company> UTS Business School (4 interviewees)
![Page 43: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/43.jpg)
Training Needs Analysis – Key Themes
> Organisational response to energy efficiency needs to be cross-disciplinary– Accountant as business partner
> There is demand for Energy Efficiency training and training materials for accountants and business managers
> Soft skills as well as analytical/ technical skills are important
![Page 44: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/44.jpg)
Training Needs Analysis – Key Themes (cont.)
> The rationale for action/ importance of Energy Efficiency is a fundamental starting point
> Application/ approach will vary across:– Public and private sector– Type of industry sector– Firm strategy– Firm culture
![Page 45: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/45.jpg)
Training Needs Analysis - Skills
![Page 46: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/46.jpg)
Discussion
> What are your perceptions of industry needs in terms of embedding energy efficiency?
> Are there any additional themes or skills that you are aware of that we should take into account?
![Page 47: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/47.jpg)
THINK.CHANGE.DO
Embedding energy efficiency into university accounting courses – some examples
Dr. Paul Brown
UTS Business School
![Page 48: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/48.jpg)
Energy Efficiency Fundamentals- Establish your energy base case
> Not just the level of energy> It is the expected level of energy, for an expected
level of activity> Expected Energy = Fixed energy + Variable Energy * Activity
> How is this different from estimating ‘pre-determined overhead rates’?– Units are different ($ and kilowatt-hours or Giga
Joules)– Energy complies with the laws of thermodynamics
(unlike people)
![Page 49: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/49.jpg)
Establish your energy base case
> Estimation methods are similar to cost accounting:– Regression Analysis– Modelling / simulation (like input /output analysis)– Short term metering– Long term metering
> Engineering models and equipment are used, so work with a specialist– E.g.. Consider the effect of weather on demand for energy
![Page 50: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/50.jpg)
For example:
> A building in NT implemented a range of EE projectsTotal Annual Consumption for 04/05 in kWh: 1,605,138
Total Annual Consumption for 05/06 in kWh: 1,597,135
Naive Energy Saving in kWh: 8,003
> Linear regression was used to control for differences in weather (the base year had a cool summer)
Total Annual Consumption for 04/05 in kWh: 1,775,546
Total Annual Consumption for 05/06 in kWh: 1,597,135
Energy Saving in kWh: 178,411
Difference is a 10% saving, vs a 0.5% saving in energy
![Page 51: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/51.jpg)
It is important to clearly identify organisational activities, and boundaries
> We are familiar with the value chain approach, and the benefits of linking resources consumption with activities
> Figure of Generic value chain (Porter, 1985) sourced from Cooremans (2011)
![Page 52: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/52.jpg)
It is important to clearly identify organisational activities, and boundaries
> Information ‘should’ link with existing accounting structures
> Base line review is likely to reveal opportunities, which will justify further expenditure as opportunities become known Source: RET 2008
![Page 53: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/53.jpg)
Energy Base case information
> Here are some examples of the type of information useful for identifying EE opportunities Source: RET 2008
![Page 54: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/54.jpg)
Hints:
> Start simply, and do something: – Find out what is happening in your
organisation– Review electricity statements for different
facilities– Review energy supply contracts
![Page 55: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/55.jpg)
Hints:
> Organise data to match current reporting systems– Eg. Batch vs process costing; KPIs
> Let people know what you are doing, and make data transparent
![Page 56: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/56.jpg)
Hints:
> Conduct an energy information audit: – Ensures your organisation captures new
knowledge
> Find champions in each major facility and department and let them loose with some decision making rights
![Page 57: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/57.jpg)
Developing the business case for an energy efficiency project
> Clear identification of the costs and benefit– Translated into NPV, IRR, Payback etc– Opportunity cost
> Identifying direct costs and cost savings may rely on engineering analysis, as well as cost analysis– E.g. A process change effect on your base case
and on demand for labour > All costs and benefits should be included
– Information value, strategic value
![Page 58: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/58.jpg)
Information useful in preparing the business case
> Costs are easier to identify than benefits– Labour, equipment, consultants etc
> To assist in the identification of benefits, we have provided a checklist:– The 6 key drivers of EE discussed in the beginning
of the presentation– a list of benefits identified in reviews of the
literature (Worrell et al 2003; Cooremans, 2011)
![Page 59: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/59.jpg)
Developing the business case for an energy efficiency project
> Reduced Cost> Improved
temperature control> Increased reliability
in production> Improved product
quality
> Reduced Risk> Greenhouse gas
reductions> Improved reputation> Safety
Include all business costs and benefits to increase the chance of
success
![Page 60: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/60.jpg)
Some sources of competitive advantage from EE: REDUCED RISKS (from Worrell et al 2003 and Cooremans, 2011)
> Reduced hazardous waste> Reduced dust emissions> Reduced CO, CO2, NOx, Sox emissions> Increased facility reliability> Reduced wear and tear on equipment /machinery> Decreased liability> Legal risks> Carbon & energy price risks> Disruption of energy supply> Commercial risk
![Page 61: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/61.jpg)
Some sources of competitive advantage from EE: REDUCED COSTS (from Worrell et al 2003 and Cooremans, 2011)
> Use of waste fuels> Reduced product waste> Reduced waste water> Materials reduction> Increased product yield> Improved equipment performance> Shorter process cycle time> Reduced dust emissions> Reduced CO, CO2, NOx, SOx emissions> Reduced wear and tear on equipment machinery
![Page 62: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/62.jpg)
Some sources of competitive advantage from EE: REDUCED COSTS (from Worrell et al 2003 and Cooremans, 2011)
> Decreased liability> Reduced need for personal protective equipment> Improved lighting> Reduced turnover, absenteeism and health costs
(improved worker morale, reduced noise, improved air quality and temperature control)
> Reduced needs for engineering controls> Lowered cooling requirements> Reductions for labor requirements> Delaying or Reducing capital expenditures> Additional space
![Page 63: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/63.jpg)
Soft Skills
Soft skills– Communication– Influencing others– Partnering– Change management– Team building– Problem solving
![Page 64: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/64.jpg)
THINK.CHANGE.DO
Small group discussions
![Page 65: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/65.jpg)
Questions
1. In what topic areas do you see opportunities to embed teaching and learning on energy efficiency?
2. What teaching strategies and approaches would be appropriate?
3. What type of teaching and learning materials would best support you with embedding energy efficiency into your teaching/ curriculum?
4. What further training/ professional development would be useful?
![Page 66: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/66.jpg)
THINK.CHANGE.DO
Summary and next steps
Professor Suzanne Benn
UTS Business School
![Page 67: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/67.jpg)
Thank you
> Thankyou for sharing your insights> Please complete the evaluation form. Consider:
– Are there any ‘energy efficiency’ related actions you plan to take following this seminar?
– Can we follow up with you next year as part of our evaluation?
– Please discuss with us any further ideas about embedding energy efficiency into your teaching and learning activities
![Page 68: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/68.jpg)
Contact Details
Professor Suzanne Benn
Professor of Sustainable Enterprise
UTS Business School
Ph +61 2 9514 3621
For further information and updates on the Leadership & Change for Energy Efficiency in Accounting & Management project go to:
http://www.business.uts.edu.au/energyefficiency
![Page 69: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/69.jpg)
This presentation was prepared by:
> Professor Suzanne Benn> Dr Paul Brown> Patrick Crittenden> Associate Professor David Brown
![Page 70: Embedding Energy Efficiency Teaching into VET and Higher Education Presentation on 27 October 2011](https://reader036.vdocuments.us/reader036/viewer/2022081518/54c2321b4a79596d658b45b3/html5/thumbnails/70.jpg)
References
> Bureau of Meteorology & CSIRO. 2010. "State of the Climate ".> Cooremans, C, 2011, Make it strategic! Financial investment logic is not enough, Energy Efficiency.> Dunstan, Chris, Katie Ross, and Nicole Ghiotto. 2011. "Barriers to Demand Management: A Survey of Stakeholder
Perceptions." Prepared for the Australian Alliance to Save Energy by the Institute for Sustainable Futures, University of Technology, Sydney.
> Geoscience Australia. 2010. "Australian Energy Resource Assessment." Commonwealth of Australia.> International Energy Agency. 2011. "World Energy Outlook ”.> Linfox Energy Efficiency Opportunities Public Report 2010. Accessed from
www.linfox.com/~/media/Documents/PDF/Linfox_EEO%20Act%20PR%202010%20Appendix%20small.ashx> Porter, M. E., 1985, Competitive advantage. New York: Free.> Department of Resources, Energy and Tourism (RET). 2011. "Continuing opportunities. Energy Efficiency Opportunities
program - 2010 report. A look at results for the EEO program 2006 - 2010." Australian Government Department of Resources, Energy & Tourism (RET).
> Department of Resources, Energy and Tourism (RET). 2008. Energy Savings Measurement Guide.> Sustainability Victoria. 2010. "Energy Efficiency Best Practice Guide Lighting.”> The GPT Group Sustainability Report. Accessed 6/9/11 www.gpt.com.au/content.aspx?urlkey=Energy> Total Environment Centre. 2010. "Demand management and energy policy development: A case study of New South Wales. ”> World Business Council for Sustainable Development (WBCSD). 2004. "Facts and trends to 2050.”> World Business Council for Sustainable Development (WBCSD). 2009. “Transforming the Market: Energy Efficiency in
Buildings.”> World Economic Forum. 2010. "Energy Vision Update 2010. Towards a more energy efficiency world.".> Worrell, E., Laitner, J., Ruth, M., & Finman, H., 2003, Productivity benefits of industrial energy efficiency measures, Energy,
28(11), 1081–1098.