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Page 1: International Energy Management Standards ISO 50001

8/2/2019 International Energy Management Standards ISO 50001

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Energy Management SystemsEnMS

ISO 50001

ISO 50001 EnMS update 1

Husseini

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Content

• Why Energy Management Systems (EnMS )

• Scope & Key elements of ISO 50001• Main Differences with ISO 9001 & ISO 14001

• Lessons Learned from EnMS Pilots – Canada and USA

• Discussion/ Q&A

ISO 50001 EnMS update 2

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What is a Management Systems Standard?

• A m an a g em en t sy st em is the framework of 

processes and procedures used to ensure that anorganization can fulfill all tasks required toachieve its objectives

• Most MS standards operate on the Continualimprovement cycle:

– Plan, Do, Check, Act.

• Non-prescriptive and Voluntary

ISO 50001 EnMS update 3

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What are the famous Management Systems

Standards?

• I SO 9 0 0 1 Quality Management (QMS)

• I SO 1 4 0 0 1 Environmental Management (EMS)

• I SO 2 2 0 0 0 Food Safety• I SO 2 7 0 0 1 Information Security

• I SO 1 3 4 8 5 Medical Devices

ISO 50001 EnMS update 4

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Why Energy Management?

• Energy Secur i t y

• Cost Savings

• Reduced Environmental Impact and GH G Emissions

• Gr een Jobs and Innovations

• Achieving Energy Efficiency & Compl iance

• Coord ina t ing Energ y Programs (Energy Efficiency, Energy Production, Renewable

Energy, and Alternative Energy)

• External f i nanc ia l i ncen t i ves ‒ 

 Energy efficiency credits (electric utility & others)

• Potential carbon c red i t s (state, province, region, and national)

• With so many diverse industries and sectors in the word the need for a gene r i c

apply-to-all energy management systems standard is highly desirable

ISO 50001 EnMS update 5

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Electricity Generation in Canada

ISO 50001 EnMS update 6

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Target Sectors

Source: oee.rncan.gc.ca/corporate/statistics/neud/dpa/handbook_tables.cfm 

I n d u s t r i a l :  Canada is leader in Natural Gas, forestproducts, pulp & paper, potash, copper,nickel, aluminum, coal, zinc, diamonds,gold, iron, steel and uranium. Secondlargest in oil production. Ener gy u seg r ew 2 3 % o ver 1 8 y ear s.

Com m ercia l ( Bu i ld i ngs ) :  Over 440k commercial and institutionalbuilding in Canada @ 670+million sq. m.Energy u se i ncreased 34% i n 15

yea rs.

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Cost of Energy growing!

Source: oee.rncan.gc.ca/corporate/statistics/neud/dpa/handbook_res_ca.cfm

Key Con cern s:  Energy cost reductionRegulatory changesSupply chain pressures

Key Dr i ve rs :  Tax, financingTraining / implementationInformation sharing

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Energy Use Worldwide

ISO 50001 EnMS update 9

UNIDO Report BPT: Best Practicable Control Technology Currently AvailableBAT: Best Available Technology Economically Achievable

Frozen Efficiency

Baseline Efficiency

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ISO 50001 EnMS update 10

Wi t h no Ene rgy Managemen t

Energy Use Worldwide

ISO 50001 EnMS update 10

UNIDO Report 

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Even with Existing Schemes (e.g. LEED)

we are not there yet!

ISO 50001 EnMS update 11

*National Building Institute 2008 

At 45 degrees MeasuredSavings equals proposed

This area indicatesnegative %

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What is ISO 50001 in a nutshell?

• ISO 50001 – Energy Management Systems (EnMS ) is a v o l u n t a r y

international framework for the management of energy in any businesslarge or small. Implementation of this standard will assist organizations

in r educ ing ene rgy u se through the utilization of best practices,

measurement and reporting disciplines and promoting energy efficiency

throughout the supply chain. Reduction in energy leads to r educed

GHGs and opera t i ona l cost s.

• “ I t is a m anagem ent system s standard for t hose who do not like management system standards!” 

ISO 50001 EnMS update 12

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How EnM is dealt witht o d a y

!

ISO 50001 EnMS update 13

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With EnMS!

ISO 50001 EnMS update 14

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ISO 50001 Key Elements

• ISO 50001 requires an o rgan iza t i on to:– Conduct an ene rgy r ev i ew

– Establish an energy basel i ne

– Establish energy ob ject i ves and t a rge t s– Establish an act ion p lan

– I m p l e m e n t the action plan

– Check per fo r m ance

– Mon i t o r , document and report all the above

• ISO 50001 is based on a Plan-Do-Check-Act continualimprovement framework and incorporates energymanagement into everyday practices

ISO 50001 EnMS update 15

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ISO 50001, ISO 14001 and ISO 9001

• ISO 50001 is compatible with both ISO 14001 and ISO 9001 with the followingdifferences:

– ISO 50001 calls for e n er g y p e r f o r m a n ce i m p r o v e m e n t a n d n o t o n l y

sy st e m i m p r o v em e n t

– ISO 50001 d o es n o t f o l l ow I SO 9 0 0 0 / 9 0 0 1 process/ and structure format

– ISO 50001 includes requirements related t o p r ocu r em en t o f Ene rgy & Energy

Services

N o t e : I SO 5000 1 has 83 “ s ha ll s ” . I SO 1400 1 has 63 “ s hal l s” and I SO 9001 h as 138  

“ s ha l l s ”  

ISO 50001 EnMS update 16

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Analysis of the basic concepts

• General

• Application Scope

• Management Performance

ISO 50001 EnMS update 17

N o t e  : Some of the information in the following slides is part ially based on a presentat ion by Li Tienan m ade in Malaysia on behalf of ISO 

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Analysis of the basic concepts

• QMS : Cu st o m er r e qu i r em en t s based on the “product quality” 

• EMS : Significant external e n v i r o n m e n t a l a sp e ct s of the productionprocess

• EnMS : Energy pe r fo r m ance of the w h o le o rg a n i za t i o n /  p r oduc t i on p r ocess

ISO 50001 EnMS update 18

GeneralGeneral

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Analysis of the basic concepts

• QMS: Serv i ce, ha rdw are , so f t w a re and processed materialssecto r

• EMS: Ra w m a t e r i al a n d p ro d u c t i o n sect o r s

• EnMS: All types and sizes of organizations; Prod uc t i on , r aw

m ate r ia ls and se rv ices sec to r s , i nc lud in g com m erc ialbu i l d ings and r eal est a te

ISO 50001 could potentially impact 6 0 % o f g lo b al en er g yc o n s u m p t i o n

ISO 50001 EnMS update 19

ApplicationApplication

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Analysis of the basic concepts

• QMS: Co n f o r m i t y t o p r o d u ct r e q u ir e m e n t s

• EMS: I m p ro ve m e n t o f t h e EMS, a s t o m e et i t s t a rg e t s &ob jec t i ves

• EnMS: En e r g y p e r f o r m a n ce i m p r o v em en t i n t e r v en t i on s,measured through quantitative comparison against an organization’sbaseline

ISO 50001 EnMS update 20

PerformancePerformance

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ISO 50001 EnMS update 21

PerformancePerformance

Lauri Gregg

Reducing Intensity not best Model especially at low Production numbers!

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Comparisons of key elements

The following elements are analyzed:

• Policy

• Planning

• Baseline

ISO 50001 EnMS update 22

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Key elements

• QMS: Meeting cu s t o m e rs’ p r o d u ct n e ed s

• EMS: Reduc ing significant en v i r o n m en t a l i m p act s together with

meeting applicable legal and regulatory requirements

• EnMS: Improving the bottom line by redu cing p r oduc t i on cost s

through energ y e f f i c ien t p r ocesses, enhancing competitiveness

combined with meeting relevant law and regulatory requirements,

where relevant

ISO 50001 EnMS update 23

PolicyPolicy

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Key elements

• QMS: Qua l i t y ob j ect i ves that are measureable and consistent withquality policy. Determine the n eeded pr ocesses

• EMS: Env i ron m en t a l aspect s, requirements of r e lev a n t l aw s andregulations and establish environmental ob j ect i ves, t a rge ts andprograms

• EnMS: Energy p r o f i l e, sign i f i can t ene rgy uses, energ y base l ineand e n erg y p e r f o rm a n ce i n d i ca t o r s . Identify app l i cab le l aw sand regulations, and then establish ob j ect i ves, t a rge t s and act i onp lans

ISO 50001 EnMS update 24

PlanningPlanning

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Key elements

• QMS: No specific requirement beyond MS continual improvement

• EMS: No specific requirement beyond MS continual improvement

• EnMS: The establishment of an organization’s energ y basel ine i s af u n d a m e n t a l element of the EnMS, since changes in energyperformance shall be measured against the energy baseline

ISO 50001 EnMS update 25

BaselineBaseline

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ISO 50001 EnMS update 26

ISO 50001 Establish BaselineISO 50001 Establish Baseline

* Lauri Gregg

A better slope or shift below indicates better energy intensity

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Comparisons in Implementation

• ISO 50001 is in line with the Plan-Do-Check-Act  approach of ISO9001 and ISO 14001 and draws extensively on the structure andcontent of the QMS and EMS

• Differences may occur in the implementation and dissemination of ISO 50001 in the following areas:

– Market drivers

– Certification/Registration program support

ISO 50001 EnMS update 27

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Implementation

• QMS: Customers’ d e m a n d a n d su p p l y chain is a main driver

• EMS: Public and co m p e t i t i ve f o r ce s play important roles inmotivating companies

• EnMS: Rising and volatile ene rgy cost s, energy security, andgovernment policies (e.g. Energy Efficiency, GHG emission reductiontargets, etc.)

ISO 50001 EnMS update 28

Market DriversMarket Drivers

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Implementation

• QMS: Certification plays an i m p or t an t r o le in supply chain qualityrequirements

• EMS: Certification can p lay a ro le in validating an organization’sclaims assisting it in meeting customer and public demands and

pressures

• EnMS: Certification may help an organization illustrate the strength of its energy-cost-reduction thrust. Mark e t d r i ve rs and p ub l i c po l icy

r e q u ir e m en t s w i l l p lay a m aj o r r o l e in an organization’s decision onwhether to certify its EnMS. Self-declaration may compete withcertification demands

ISO 50001 EnMS update 29

Third Party Certification/RegistrationProgram Support

Third Party Certification/RegistrationProgram Support

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ISO 50001 Gap Analysis

ISO 50001 EnMS update 30

Laurie Greg

Unfulfilled requirements indicate GAPS!

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ISO 50001 EnMS update 31

To Sum it

Up!

To Sum it

Up!

ISO 50001ISO 9001

ISO 14001

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Lessons Learned*ISO 50001

Canada

USA

ISO 50001 EnMS update 32

* presentation of the CSA ISO 50001Implementation Task Force- User Group 

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Hatch / OPA / NRCan Pilot

• 5 participating companies– Par-Pak (plastic packaging)

– Lincoln Electric (welding)– Georgia Gulf 

– Royal Group (plastic building products)

– Lassonde Beverages (juice packaging)

– CertainTeed Gypsum (drywall board)

• Work toward conformance with US ANSI MSE 2000 (& draftISO 50001)

– Measure results– Lessons learned

– Business cases

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Lessons LearnedHatch / OPA / NRCan

• Standards prac t i ca l and complement existing “bes t p r act i ces” for energy management

• Suppor t and strong interest must exist at a l l leve ls, ownership at facility level is critical

• The team must be lead by a l ocal sen io r m anager , with dedicated coordination/support on site

• Exper ience with “management systems” is a big advantage. Pre -qua l i f i ca t ions needed tosucceed in this challenge

• Sub - m e te r i ng and monitoring tools are major enab le rs

• Basic energy t r a in ing sess ions should be held with participants as ear l y as possible to build acommon base of understanding

• Ener gy Assessm ent s should be undertaken with participants as soon as poss ib le todemonstrate the potential for savings

• The support for this sort of project is best suited to l ocal se rv i ce p r ov ide rs , as “face time” needed

• The r ea l t est of a system is whether it survives personne l changes

• Those organizations with advanced m anagem en t sys tem s can complete the job in a reasonabletime (6 m o n t h s ) . (Others who start from scratch may need 11/2 -2 years.

• I n ce n t i v es can play a major role in helping organizations take on the first step.

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3M Pilot

• Energy Performance Services ass is t ing 3M Canada

• Pilot aimed at prepar i n g f o r Cer t i f i ca t i on

• Developed a p lan based upon:– Analysis of ene rgy m anagem en t p rac t i ces– Cur ren t l eve l o f p reparedn ess– Determination of needs t o com p ly with ISO 50001– Preparation of the i m p l e m e n t a t i o n p l an– Setting goa ls

• Key success factors– Establishing a va l id base l ine and measured variables (SEP M& V Prot ocol )

– Appointment of Management Representative

• Significant focus in the pilot - in t e g r a t i n g energy management into 3M’sbusiness operations and culture

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Federal Government Buildings

ISO Pilot

• Goal - evaluate e f fec t i veness of draft standard by quantifying:

– the energ y e f f i c iency ga ins achieved

– the resour ces requ i red to implement the system

• Project consists of 

– dev e l opm en t of the site-specific EnMS (targeted May 2011)

– i m p l e m e n t a t i o n of the system (over the following year)

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Summary on lessons learned

from ANSI:MSE trial• Company has Management Systems experience but personne l working

on energy issues in facilities may n o t

• May achieve shor t t e r m sav ing s success w i th ou t EnMS

• Person ne l chan ges can impact focus on EnM

• Hard to maintain f ocus on EnMS, without l ea d er s h ip co m m i t m e n t

• Some issues have MS focu s and others pr o j ect o r t echn ica l f ocus

• Throughout the trial, over time, energy cost s , energy usages and ener gyi m p r o v em e n t o p p o r t u n i t i e s were rea l i sed

• Using the construct of ANSI:MSE 2000 (or ISO 50001) provided a d isc ip l ined

app roach on ach iev i ng imp r ovem en t s in energy management

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Q & A

Thank You

Ahmad Husseini, P.Eng.,Canadian Standards [email protected]