Corporate Energy Management Plan

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1 Corporate Energy Management Plan

2

3 Corporate energy management plan of Pickering

4 This document was prepared for the of Pickering by IndEco Strategic Consulting Inc. For additional information about this document, please contact: IndEco Strategic Consulting Inc. 77 Mowat Avenue, Suite 412 Toronto, ON, Canada M6K 3E3 Tel: IndEco Strategic Consulting Inc. All rights reserved. No part of this document may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the written permission of IndEco Strategic Consulting Inc. IndEco report B May 2014

5 Contents Executive summary... v Context... v Objectives and targets... vi Scope and method... vii Capital costs and savings... ix Introduction... 1 Planning horizon and scope... 1 Planning process... 2 Framework for planning... 4 Objectives and targets... 6 Objectives... 6 Targets and key performance indicators... 6 Updating and reporting on the plan... 8 Priority actions (Year 1, January 2015 January 2016) Organizational actions Technical actions Medium-term actions (Years 2-3, January 2016 January 2018) Organizational actions Technical actions Long-term actions (Years 4-5, January 2018 July 2019) Organizational actions Technical actions Capital costs and savings Renewables and alternative energy Energy management systems Taking advantage of utility incentives Communication and engagement Overview and program management Employee engagement Staff training Behaviour change and communication Conclusion Appendix A. Present state CORPORATE ENERGY MANAGEMENT PLAN iii

6 A.1. Utility data analysis A.2. Description of existing energy initiatives, policies and plans Appendix B. Criteria for prioritizing actions Appendix C. Responsibilities Appendix D. Utility incentives D.1. Veridian / Ontario Power Authority saveonenergy Programs D.2. Enbridge Gas Energy Management Programs Appendix E. Additional recommended measures E.1. No cost measures E.2. High efficiency motors Appendix F. List of acronyms iv INDECO STRATEGIC CONSULTING INC.

7 Executive summary Context North American municipalities are increasingly focusing on energy as a strategic priority to reduce operating costs, prepare for rising utility costs, and to demonstrate their commitment to long-term sustainability. In Ontario, the provincial government is allocating millions of dollars to energy conservation and demand management (CDM) programs, providing energy consumers with significant incentives to upgrade their facilities and. The Government of Ontario has also expressed a commitment to greening public sector buildings, and developed Regulation 397/11 under the Green Energy and Green Economy Act (2009) to advance this goal. Under the regulation, all public agencies including the of Pickering are required to report their energy consumption and greenhouse gas (GHG) emissions on an annual basis starting in 2013, and are required to submit 5-year energy conservation and demand management plans in The Corporate Energy Management Plan (CEMP) provides a 5-year roadmap for energy management in the of Pickering. It focuses on the use of electricity, natural gas, and fuel oil for heating and cooling in facilities. It covers the period from July 2014 to July 2019, and is designed to help the comply with the energy CDM planning requirements of Ontario Regulation 397/11 under the Green Energy Act (2009). The CEMP addresses buildings, technologies, and street lights and traffic signals as well as people, processes, and information. CORPORATE ENERGY MANAGEMENT PLAN v

8 Objectives and targets Energy efficiency is a valuable opportunity to reduce or avoid future costs. Investing in energy management and implementing the actions identified in the CEMP will provide valuable opportunities for the of Pickering. Not only will it result in energy intensity and GHG savings, but it will also provide opportunities for staff engagement, lower risk exposure, and demonstrated leadership by the. The objectives of the of Pickering s Corporate Energy Management Plan are to achieve the following: 1. The of Pickering promotes the efficient management of energy in corporate facilities. 2. The efficient use of energy is to be a consideration for the in corporate policy and budget decisions. 3. The efficient use of energy is to be a part of the day-to-day activities of staff. 4. An integrated / systems approach is to be taken when managing energy. The CEMP establishes the following quantitative targets to guide the s efforts on energy management from July 2014 to July 2019: vi INDECO STRATEGIC CONSULTING INC.

9 Scope and method The CEMP addresses buildings, technologies, and street lights and traffic lights as well as people, processes, and information. The plan draws on information from a number of sources: interviews, a strategic planning workshop, a review of existing walk-through and detailed facility audits, and a review of policies, plans and programs. The first step in the process was to identify and define the preferred state / vision of energy management for the. This was accomplished through five in-person interviews and a strategic planning workshop held with key staff. The second step involved defining the present state of energy use in the by reviewing the s energy management practices. Information was obtained through interviews with key staff and the review of the s key policies, plans, programs, and reports related to energy. The third step involved developing technical and organizational actions to assist the in moving from its present to its preferred state of energy management. Technical actions were identified from detailed audits that had been previously conducted at 10 of the 's largest energy consuming facilities and walk-through audits that had been previously conducted at 17 other facilities. The organizational actions, which relate to corporate processes, were identified through interviews and a strategic planning workshop. The actions are grouped in the CEMP according to the following categories: CORPORATE ENERGY MANAGEMENT PLAN vii

10 Organizational commitment measures related to policies, targets, and resources required to enable energy management and the other actions; Existing buildings and measures, both technical and policy based, that impact existing buildings and ; New buildings and measures, both technical and policy based, that impact new buildings and ; Monitoring and tracking measures related to evaluating, monitoring, and verifying energy data; Communication and engagement measures related to encouraging behavioural modifications to save energy; Procurement and renewables measures related to the procurement of energy and renewable technologies; and Street lights and traffic signals measures related to installing more energy efficient lighting technologies. Many of the priority actions are foundational and put in place the structures and practices that will facilitate on-going energy efficiency within the. viii INDECO STRATEGIC CONSULTING INC.

11 Capital costs and savings The technical actions identified through the facility audit reports are grouped according to type and were allocated across the five years of the plan in order to facilitate an annual net capital cost of approximately $130,000 in each year for budgeting purposes. These actions were prioritized based on their payback and net present value (NPV 1 ). The actions are categorized into three time periods for implementation: 1. Priority actions Year 1 (January 2015 January 2016); 2. Medium-term actions Years 2 and 3 (January 2016 January 2018); and 3. Longer-term actions Years 4 and 5 (January 2018 July 2019). These time periods were selected to ensure compliance with the regulation and to create alignment with the budget cycle of the. To implement the CEMP, the will need to make significant capital investments in energy efficiency over the five-year period. However, these investments will yield significant returns. It will cost approximately $640,700 to implement the selected measures identified in the 27 detailed and walk-through audits, as well as measures that were extrapolated to other buildings. If implemented according to the schedule, it will cost the approximately $130,000 each year over the next five years. The total cumulative net energy cost savings for the over the next ten years will be $1,582,050. The table below provides a breakdown of the capital costs and cumulative energy savings over the next ten years. The is committed to implementing these initiatives on a priority basis based on available funds. 1 The utility rates used to calculate the NPV were based on the average utility costs from the utility analysis in the audit reports. The electricity rate was adjusted based on the Industrial Price Forecast on page 8 of Ontario s Long-Term Energy Plan ( The natural gas rate was adjusted based on the natural gas price reference projections in Natural Resource Canada s report on Canada s Energy Future: Energy Supply and Demand Projections to Energy Market Assessment ( A discount rate of 12% was used in calculating the NPV. CORPORATE ENERGY MANAGEMENT PLAN ix

12 Capital cost, including incentives Cumulative energy cost savings 1 Year 1 $133,000 $48,300 Year2 $125,000 $81,100 Year3 $125,000 $113,900 Year 4 $128,850 $155,550 Year 5 $128,850 $197,200 Year 6 $0 $197,200 Year 7 $0 $197,200 Year 8 $0 $197,200 Year 9 $0 $197,200 Year 10 $0 $197,200 Total $640,700 $1,582,050 1 NOTE: The cumulative energy cost savings are based on current energy prices and do not reflect estimated price increases. The energy cost savings are also expected to persist for the lifetimes of the measures. For every dollar invested in energy efficient projects, the expects to receive $2.47 in anticipated energy cost savings over the next ten years. x INDECO STRATEGIC CONSULTING INC.

13 Introduction The of Pickering Corporate Energy Management Plan (the CEMP) provides a roadmap for energy management in the of Pickering. The CEMP describes the energy management activities that the as a corporation can take over the next 5 years to increase its energy efficiency, reduce its energy consumption, and minimize its environmental footprint. It is also designed to help the comply with the energy conservation and demand management planning requirements of Ontario Regulation 397/11 under the Green Energy Act (2009). The CEMP is organized as follows: Objectives and targets Priority actions (Year 1, January 2015 January 2016) Medium-term actions (Years 2-3, January 2016 January 2018) Long-term actions (Years 4-5, January 2018 July 2019) Capital costs and savings Renewables and alternative energy Energy management systems Communication and engagement Conclusion The CEMP also has appendices that contain the following: Appendix A Present state Appendix B Criteria for prioritizing actions Appendix C Responsibilities Appendix D Utility incentives Appendix E Additional recommended measures Appendix F List of acronyms Planning horizon and scope The CEMP for the of Pickering is a 5-year plan covering the period from July 2014 to July The CEMP provides a roadmap for energy management at all facilities. As can be seen in Figure 1, it addresses the use of electricity, natural gas, and oil for heating and cooling in facilities. It also addresses energy for street lights and traffic signals. CORPORATE ENERGY MANAGEMENT PLAN 1

14 Figure 1 Planning horizon and scope Planning process Figure 2 depicts the major steps in the planning process that were used to develop the s Corporate Energy Management Plan. Inputs to the planning process included: Analysis of the s energy use data; Review of the s existing policies, plans, and past energy efficiency projects; Review of existing walk-through and detailed facility audit reports; Interviews with staff (including department directors, managers, and Facilities staff); and A strategic planning workshop with key staff. Figure 2 Overview of the planning process 2 INDECO STRATEGIC CONSULTING INC.

15 Defining the preferred state involved exploring where the of Pickering would like to be with respect to energy management. The elements of the preferred state were identified through interviews with staff and during the strategic planning workshop. The preferred state informed the CEMP s objectives, targets, and actions. Identifying the present state involved exploring where the is now with respect to energy management. Energy data analysis; interviews; a review of existing walk-through and detailed facility audit reports; and a review of the s existing policies, plans, and past energy efficiency projects were among the inputs that were used to identify the present state. Developing actions involved identifying technical measures (i.e. measures identified from the facility audits) and organizational measures (i.e. measures related to corporate processes that also produce real energy savings and help to enable the technical measures) to help the move towards the preferred state. Actions were identified through audits, interviews, and the strategic planning workshop. They were grouped according to the following categories: Organizational commitment measures related to policies, targets, and resources required to enable energy management and the other actions; Existing buildings and measures, both technical and policy based, that impact existing buildings and ; New buildings and measures, both technical and policy based, that impact new buildings and ; Monitoring and tracking measures related to evaluating, monitoring, and verifying energy data; Communication and engagement measures related to encouraging behavioural modifications to save energy; Procurement and renewables measures related to the procurement of energy and renewable technologies; and Street lights and traffic signals measures related to installing more energy efficient lighting technologies. Setting priorities involved determining the timeframe for implementation of each action in the CEMP. Organizational measures were prioritized based on their importance and ease of implementation. Technological measures were prioritized based on their payback and NPV. CORPORATE ENERGY MANAGEMENT PLAN 3

16 The actions are categorized into three time periods for implementation: 1. Priority actions Year 1 (January 2015 January 2016); 2. Medium-term actions Years 2 and 3 (January 2016 January 2018); and 3. Longer-term actions Years 4 and 5 (January 2018 July 2019). These time periods were selected to ensure compliance with the regulation and to create alignment budget cycle of the. Preparing the Draft and Final Plan involved incorporating the results of the planning process as shown in Figure 2. As described in the section of this report, Updating and reporting on the plan, the CEMP will be reviewed annually and updated at the end of the five years. Framework for planning The s CEMP addresses buildings and technologies, including street lights and traffic signals as well as people, processes, and information. As illustrated in Figure 3, the CEMP centers on the s facilities and technologies. It aims to ensure that existing and new facilities are built and operated as efficiently, sustainably and as financially appropriate, as possible. The s supporting organizational policies and processes, monitoring and tracking systems, and communication and engagement tools allow this to happen. 4 INDECO STRATEGIC CONSULTING INC.

17 Policies and processes Energy efficient facilities and technologies Communication and engagement Monitoring and tracking Figure 3 Framework for planning CORPORATE ENERGY MANAGEMENT PLAN 5

18 Objectives and targets Objectives The primary objectives of the of Pickering s Corporate Energy Management Plan are to achieve the following: 1. The of Pickering promotes the efficient management of energy in corporate facilities. For Pickering, promotion of energy management involves: Meeting the requirements of Regulation 397/11; Partnering with other public and private sector leaders in energy management; Clearly declaring a commitment to energy management; and Effectively publicizing the s energy management activities and successes. 2. The efficient use of energy is to be a consideration for the in corporate policy and budget decisions. 3. The efficient use of energy is to be a part of the day-to-day activities of staff. 4. An integrated / systems approach is to be taken when managing energy. Targets and key performance indicators Figure 4 illustrates the absolute targets that should guide the s efforts on energy management from 2014 to Figure 4 Energy intensity and GHG targets 6 INDECO STRATEGIC CONSULTING INC.

19 The results of the detailed facility audits suggest that an absolute reduction of 12.3% in energy intensity and a 13.8% reduction in greenhouse gas (GHG) emissions are very achievable in the existing building stock. The targets were calculated based on the results of the detailed audits completed in 10 facilities. The estimated energy intensity reductions and GHG emissions savings that could be achieved by implementing the recommended measures identified in the detailed audits can be found in Table 1. The walk-through audits conducted on an additional 17 facilities did not provide the level of detail needed to calculate energy intensity or GHG emissions reductions from the recommended energy efficiency measures. The percentage energy intensity and GHG emissions reductions from the last reported levels (2011) for these buildings was calculated, based on the selected recommended measures to be undertaken during the five-year period. The savings were grouped according to facility type with the assumption that similar measures and savings could be achieved in other facilities of the same type. The overall targets were derived by extrapolating the savings based on square footage by facility type to all facilities of the same type. All buildings that the of Pickering reported for under the Ontario Green Energy Act Regulation 397/11 reporting requirements were included in the calculations. Refer to Appendix A, Table 13 for a complete list of buildings. The targets are based on absolute percentage reductions in energy intensity and GHG emissions for the s existing facilities and are not per capita targets based on the population of the. Table 1 Estimated energy intensity reductions and GHG emissions savings from measures identified in detailed audits Facility Energy intensity reductions (ekwh/sqft) GHG emissions reductions (kg) Central Library 2.6% 2.5% Hall 21.1% 23.2% Claremont CC 10.5% 35.7% Don Beer Arena 25.1% 27.5% Dunbarton Indoor Pool 7.7% 6.7% East Shore CC 8.3% 7.4% Greenwood CC 22.9% 8.2% Petticoat Creek CC 26.2% 28.4% CORPORATE ENERGY MANAGEMENT PLAN 7

20 Facility Energy intensity reductions (ekwh/sqft) GHG emissions reductions (kg) Petticoat Creek Library 22.2% 22.4% Pickering Rec Complex 30.3% 37.0% Westshore CC 17.8% 17.1% NOTE: Petticoat Creek CC and Petticoat Creek Library are in the same building, as are the Central Library and Hall, but each had separate audit reports. The buildings of the same facility type associated with the buildings that were audited are shown in Table 2. Table 2 Audited buildings and the associated unaudited buildings of the same facility type Audited buildings Central Library Petticoat Creek Library Hall Claremont CC East Shore CC Greenwood CC Petticoat Creek CC Westshore CC Don Beer Arena Dunbarton Indoor Pool Pickering Rec Complex Associated unaudited buildings None None None None None None None All buildings with walk through or no audits None None None Based on calculations conducted it is not anticipated that any additional new buildings will have an adverse impact on the 's prospects for meeting their energy intensity targets. Updating and reporting on the plan The Corporate Energy Management Plan should be reviewed at least once a year. As part of the annual review, the Energy Supervisor assigned to oversee the implementation of the CEMP (see Action 3, Table 4) should also compile a short report 8 INDECO STRATEGIC CONSULTING INC.

21 annually describing projects implemented, progress towards targets, updates to the CEMP, and priority actions for the upcoming year. In 2019, a report should be prepared on the implementation of the CEMP as required under Regulation 397/11. This plan should include: energy and GHG emissions for 2017; current and proposed energy conservation and demand management measures; a report of results achieved; and a revised forecast of the expected results of the current and proposed measures. CORPORATE ENERGY MANAGEMENT PLAN 9

22 Priority actions (Year 1, January 2015 January 2016) In the first calendar year of the CEMP (January 2015 January 2016), the should implement the high-priority organizational actions presented in Table 4. Where possible actions should also be implemented in the second half of 2014, where actions are not tied to budget decisions. These actions are very important, as they directly or indirectly impact the s energy performance. All of these actions are easy enough to be initiated (and often completed) in Year 1. These actions are grouped by category and are numbered for ease of identification. The numbering is not an indication of importance; however, some actions will need to be completed first as they may directly impact other actions. A full list of responsibilities for all actions can be found in Appendix C. In the first calendar year of the CEMP, the should also implement the high-priority technical actions for retrofitting the s existing buildings, as presented in Table 5. A summary of the costs and savings associated with implementation of these technical actions is found below in Table 3. The is committed to implementing these initiatives on a priority basis based on available funds. Table 3 Summary of costs, savings and NPV for implementing Year 1 technical actions Capital cost, including incentives Annual energy cost savings Net present value $133,400 $48,300 $237, INDECO STRATEGIC CONSULTING INC.

23 Organizational actions Table 4 Preferred state, priority actions, metrics for tracking implementation, and responsibilities Preferred state of energy management Priority actions Metric / KPI Responsibility Organizational commitment The s energy management activities are guided by ambitious yet achievable targets. 1. Formally adopt 5- year corporate targets for energy intensity and GHG emissions. (See Objectives and targets section for specific objectives and targets). Targets adopted (y/n) Directors Office of the CAO Council The s energy management activities are guided by an up-to-date Energy Plan. 2. Develop a process for updating the CEMP in the interim and after 5 years, and ensure compliance with the Green Energy Act reporting requirements. (See Updating and reporting on the plan section for details) Updating process developed (y/n) Dedicated staff are available to implement the energy plan. 3. Assign the Energy Supervisor responsibility for implementing the CEMP. Energy Supervisor assigned to implementing the CEMP (y/n) The has appropriate resources to effectively manage and operate facilities in an energy efficient manner. 4. Assess staff resources for managing and operating facilities and hire staff as required. Staff resources assessed (y/n) Number of staff hired Directors CORPORATE ENERGY MANAGEMENT PLAN 11

24 Preferred state of energy management Priority actions Metric / KPI Responsibility The Energy Team assists the Energy Supervisor and plays a role in implementing the CEMP. 5. Invite a representative from Veridian and Enbridge Gas to sit on the Energy Team. Representatives invited from Veridian and Enbridge Gas (y/n) Energy management is highly recognized as a strategic opportunity and priority in relevant policy and planning activities. 6. Consider energy and environmental concerns where appropriate when Staff make proposals to Council. Energy considered in proposals to Council (y/n) All Departments Existing buildings and The strategically implements all cost effective energy efficiency projects in existing buildings. Implement all technical measures identified as priority actions: 7. Lighting bundle phase Replace electric heaters with gas. Technical actions implemented (y/n) ekwh and m 3 saved C&R Facilities 9. Install programmable thermostats and accurate setback design. 10. Install ductless heat pumps. (See Table 5 for more details). Cost effective energy conservation measures identified in audit reports are prioritized and implemented. 11. Include recommended technical measures in existing capital projects list. Technical recommendations included in list (y/n) Number of recommendations implemented C&R Facilities 12 INDECO STRATEGIC CONSULTING INC.

25 Preferred state of energy management Priority actions Metric / KPI Responsibility New buildings and The has specific energy and efficiency standards for new buildings that considers future operational costs. 12. Update the s Sustainable Guidelines to include an energy efficiency building standard for all new construction and major renovations (e.g. LEED, BOMA, etc.). Sustainable Guidelines updated (y/n) 13. Investigate the development of common construction standards with other municipalities within Durham Region. Discussion with other municipalities in Durham Region about common construction standards (y/n) Communication and engagement Energy falls under the Sustainable Pickering umbrella and the relays a common and consistent message about energy and sustainability. 14. Incorporate energy within the current Sustainable Pickering brand. (See Communication and engagement section for details). Brand incorporated (y/n) The s Facilities staff are aware of best practices in energy management and energy efficiency. 15. Continue to send Facilities staff to conferences and trade shows for information sharing. Number of staff attending conferences / trade shows C&R Facilities CORPORATE ENERGY MANAGEMENT PLAN 13

26 Preferred state of energy management Priority actions Metric / KPI Responsibility Procurement and renewables The is pursing net-zero energy use and all available surfaces have renewable energy generation. 16. Invest earnings from solar roof space rental with Veridian into the Green Initiatives Fund. Money ($) invested in the Green Initiatives Fund The s policies and procedures enable the adoption of state-of-the-art energy management technologies. 17. Work with the Purchasing department to develop a Vendor of Records list for energy efficient suppliers / contractors. Meeting set up with Purchasing (y/n) Vendor of Records lists developed (y/n) Corporate Services Department Street lights and traffic signals All street lights are LED and are replaced in phases to be less of a financial burden on the. 18. Develop a plan for replacing street lights with LEDs. 19. Develop and design construction standards to ensure that new subdivisions are equipped with LED street lights and signals. Plan developed (y/n) Construction standards developed (y/n) Engineering & Public Works Engineering & Public Works 14 INDECO STRATEGIC CONSULTING INC.

27 Preferred state of energy management Priority actions Metric / KPI Responsibility The has a representative involved in the municipal street light working group. Information gathered from the group is shared with the appropriate staff at the. 20. Assign a staff member to participate in the municipal street light working group 2. Staff member assigned (y/n) Number of municipal street lighting events attended Engineering & Public Works Technical actions The priority technical measures, listed in Table 5 below, were chosen for their shorter payback and their impact on future energy conservation measures. These actions should be completed in the first calendar year of the plan. The actions have been grouped together by type in order to facilitate the issuing a single tender for similar measures in all applicable buildings. A list of additional recommended technical measures can be found in Appendix E. The capital costs and energy cost savings presented below have been calculated by extrapolating the information presented in the 27 detailed and walk-through audits to include recommendations for all other applicable buildings. Detailed information on each technical action can be found in the accompanying audit or walk-through reports for each of the facilities. The projected capital cost, energy cost savings, payback, and NPV 3 numbers are estimates based on industry average data, research and analysis; they may not match actual costs and savings. NPV is defined as the sum of the present values of the individual incoming and outgoing cash flows over a period of time. It measures the excess or shortfall of cash flows, in present value terms, above the cost of funds, taking inflation and the rate of 2 The municipal street light working group is a group consisting of representatives from Ontario municipalities that meet regularly to discuss best practices and updates regarding street lights and traffic signals. 3 A period of 10 years and a discount rate of 12% was used in calculating the NPV. CORPORATE ENERGY MANAGEMENT PLAN 15

28 return into account. The rate of return is what could be earned on an investment in the financial markets with similar risk. In assessing a particular project, if the NPV is a positive value, the project has a positive cash inflow and if the NPV is a negative value, the project has a negative cash outflow. A project with a positive NPV is deemed acceptable, assuming there is an appropriate level of risk involved. For example, if an energy efficiency measure has an initial cost of $1,000, a lifespan of 10 years and a net present value of $10,000, this means that the value of the $1,000 investment in the measure is $10,000 in current value over the 10 years in comparison to investing the same $1,000 at a 12% interest rate for the same time period. In this example, the measure will have cumulative energy cost savings of $10,000 over 10 years over and above the $1,000 multiplied by a compound interest rate of 12% each year for the same 10 years. NPV is a more robust measure of the value of an investment than simply showing the annual return on that investment, as it takes into account the total value of the investment over its lifetime compared to the standard rate of return available on the same initial investment. Table 5 Priority technical actions for Year 1 Measure 7. Lighting Bundle Phase 1 Capital cost, including incentives Annual energy cost savings Simple payback Net present value $65,000 $18, $97,200 Components of the bundle to be implemented in a prioritized selection of the following buildings: Brougham Hall Centennial Park Club House Central Library Hall Claremont CC Don Beer Arena Dunbarton Indoor Pool East Shore CC Fire Station 2 Fire Station 5 Fire Station 6 Greenwood Library Mount Zion CC Petticoat Creek CC/Library Pickering Rec Complex PMV Gas and Steam Barn PMV Puterbaugh Schoolhouse PMV Redman House PMV Robert Miller Progress Club House Westshore CC Whitevale CC 16 INDECO STRATEGIC CONSULTING INC.

29 Measure Green River CC Greenwood CC 8. Replace electric heaters with gas Capital cost, including incentives Annual energy cost savings Simple payback Whitevale Library All non-audited buildings Net present value $50,400 $18, $78,000 To be implemented in the following buildings: Don Beer Arena 9. Programmable thermostats and accurate setback design Greenwood CC $2,000 $2, $12,400 To be implemented in the following buildings: Brougham Hall Centennial Park Club House Millennium Square Washroom 10. Ductless heat pumps Mount Zion CC Whitevale CC Whitevale Library $16,000 $9, $50,000 To be implemented in the following buildings: Brougham Hall Mount Zion CC Whitevale CC Totals $133,400 $48,300 $237,600 There are some technical measures that have been grouped together to form bundles. The priority actions include a Lighting bundle. Lighting bundle The technical measures relating to lighting have been grouped together into a Lighting bundle. This is for ease of design and implementation of effective lighting retrofits, as well as to acknowledge that good lighting design may alter the number of fixtures and the impact of controls. CORPORATE ENERGY MANAGEMENT PLAN 17

30 Measures included in this bundle are: o Lighting retrofit o Lighting motion sensors and controls The lighting bundle measures have been split into three phases for each time period of the energy plan (priority, medium-term and long-term). A capital cost value has been given to each phase of the lighting bundle. The will make a selection of the lighting retrofit and lighting motion sensors and controls measures identified in the audits to implement in each phase of the lighting bundle. The total capital cost of all of the measures selected for each phase will add up to the capital cost value for that phase of the lighting bundle. As much as possible, the will prioritize actions with shorter payback for earlier phases of the lighting bundle. Other factors, such as other planned capital improvements scheduled in a facility or lighting quality issues may also influence the prioritization of measures. 18 INDECO STRATEGIC CONSULTING INC.

31 Medium-term actions (Years 2-3, January 2016 January 2018) In calendar years 2 and 3 of the CEMP (January 2016 January 2018), the should ensure that all of the priority actions have been completed, and are being maintained as required. The should also pursue the organizational actions presented in Table 7, and the technological actions presented in Table 8. A summary of the costs and savings associated with implementation of these technical actions is found below in Table 6. The is committed to implementing these initiatives on a priority basis based on available funds. A full list of responsibilities for all actions can be found in Appendix C. Table 6 Summary of costs, savings and NPV of implementing Years 2-3 technical actions Capital cost, including incentives Annual energy cost savings Net present value $249,700 $65,600 $323,200 Organizational actions Table 7 Preferred state, medium-term actions, metrics for tracking implementation, and responsibilities Preferred state of energy management Medium-term actions Metric / KPI Responsibility Organizational commitment The s energy management activities are guided by ambitious yet achievable targets. 21. Re-affirm commitment to targets. Targets reaffirmed (y/n) Office of the CAO Directors C&R Facilities CORPORATE ENERGY MANAGEMENT PLAN 19

32 Preferred state of energy management Medium-term actions Metric / KPI Responsibility The tracks progress towards targets. 22. Track and assess progress on Year 1 actions. Energy intensity (ekwh/m 2 ) Total energy use (ekwh, m 3 ) Percentage of actions implemented Energy management is highly recognized as a strategic opportunity and priority in relevant policy and planning activities. 23. Include energy management as a corporate consideration. Energy management included as a corporate consideration (y/n) Office of the CAO The Energy Team assists the Energy Supervisor and plays a role in implementing the CEMP. 24. Formalize the roles and responsibilities of the Energy Team and continue to schedule quarterly meetings. Roles and responsibilities assigned (y/n) Number of meetings held Directors 25. Annual workplans are created for each department related to the CEMP, and Directors from each department are held accountable for implementing the workplans. Departmental workplans created (y/n) Directors The takes advantage of available incentives from utility companies. 26. Continually monitor and apply for available incentives/grants. Number of incentive applications submitted Monetary value ($) of incentives obtained Finance 20 INDECO STRATEGIC CONSULTING INC.

33 Preferred state of energy management Medium-term actions Metric / KPI Responsibility Existing buildings and The strategically implements all cost effective energy efficiency projects in existing buildings. Implement all technical measures identified as medium-term actions: 27. Implement lighting bundle phase Install power misers on vending machines. Technical measures implemented (y/n) ekwh and m 3 saved $ saved on energy bills C&R Facilities 29. Install automatic controls for pool make-up water. 30. Install dual flush toilets. (See Table 8 for more details). Projects are prioritized in a consistent way, using clear criteria and appropriate metrics, and the implements retrofit projects that are cost-effective over longer time periods. 31. Update the criteria and metrics for prioritizing projects. (See Appendix B for details). Criteria and metrics formalized (y/n) C&R Facilities New buildings and Strong, formal processes exist to ensure that all new is highly energy efficient and appropriately sized. 32. Identify and adopt energy efficient standards to be followed when replacing (e.g. Energy Star). Equipment standards adopted (y/n) C&R Facilities 33. Develop a policy that ensures an integrated / systems approach is taken when replacing new. Equipment replacement policy developed (y/n) Directors C&R Facilities CORPORATE ENERGY MANAGEMENT PLAN 21

34 Preferred state of energy management Medium-term actions Metric / KPI Responsibility Energy performance of new buildings, major renovations, and additions to buildings is always verified after construction. 34. Develop a formal commissioning policy for new buildings, major renovations, and additions to buildings to verify energy performance after construction. Embed policy in the existing Sustainable Guidelines. Commissioning policy developed (y/n) C&R Facilities Energy is considered at all stages of new building design and development, including so the can add renewable energy technologies in the future. 35. Develop guidelines for considering energy at all stages of new building development (e.g. budgeting, procurement, design, construction / change management). Guidelines developed (y/n) C&R Facilities Monitoring and tracking The uses KPIs to track progress towards targets. 36. Formalize KPIs and tracking mechanisms to monitor and report on progress towards 5-year targets. KPIs formalized (y/n) Tracking mechanisms formalized (y/n) C&R Facilities 22 INDECO STRATEGIC CONSULTING INC.

35 Preferred state of energy management Medium-term actions Metric / KPI Responsibility The has realtime building level data for all utilities, at an appropriate level of granularity (e.g. daily). 37. Conduct an assessment of the metering needs of each building (e.g. interval meters, submeters). Assessment of metering needs conducted (y/n) C&R Facilities 38. Ensure each building or piece or is appropriately metered for each utility. Number of new meters identified C&R Facilities 39. Investigate options for an energy management system (EMS) to be used to track and analyze energy use at the building level. (See Energy management systems for details). EMS investigated (y/n) C&R Facilities Project evaluation, monitoring and verification (EM&V) is simple and accurate thanks to energy data and monitoring processes. 40. Develop a process for evaluating the savings achieved from energy efficiency projects. 41. Develop a process for rolling out successful energy efficiency projects. Evaluation process developed (y/n) Process for rolling out energy projects developed (y/n) CORPORATE ENERGY MANAGEMENT PLAN 23

36 Preferred state of energy management Medium-term actions Metric / KPI Responsibility Communication and engagement Project-specific communication and education helps building occupants (staff and public) appreciate energy efficiency retrofits. 42. Develop standardized education and communication tools (e.g. poster boards, brochures) for innovative retrofit projects and/or changes in building comfort levels for staff and the public. Standardized communication tools deployed (y/n) Changes in attitudes and behaviours Appropriate Facilities staff are trained and understand energy saving opportunities. 43. Implement general training on energy and energy efficiency for all Facilities staff. General training developed and implemented (y/n) C&R Facilities 44. Ensure that all Facilities staff are appropriately trained on energy efficiency in their specific buildings. Number of staff trained C&R Facilities (See Communication and engagement section for details). 24 INDECO STRATEGIC CONSULTING INC.

37 Preferred state of energy management Medium-term actions Metric / KPI Responsibility Staff have the tools and training to identify energy management opportunities and are actively engaged in submitting ideas. 45. Develop and implement an employee engagement process for all Facilities staff. 46. Include general training on energy and energy efficiency in the training process for all new hires. (See Communication and engagement section for details). Employee engagement process developed (y/n) Changes in attitudes and behaviours General training included in existing training for all new hires (y/n) Number of staff trained Office of the CAO Human Resources Technical actions The medium-term technical actions outlined in Table 8 below should be completed in the second and third calendar years of the plan. The actions have been grouped together by type in order to facilitate the issuing a single tender for similar measures in all applicable buildings. A list of additional recommended technical measures can be found in Appendix E. The capital costs and energy cost savings presented below have been calculated by extrapolating the information presented in the 27 detailed and walk-through audits to include recommendations for all other applicable buildings. Detailed information on each technical action can be found in the accompanying audit or walk-through reports for each of the facilities. The projected capital cost, energy cost savings, payback, and NPV numbers are estimates based on industry average data, research and analysis; they may not match actual costs and savings. CORPORATE ENERGY MANAGEMENT PLAN 25

38 Table 8 Medium-term technical actions for Years 2 to 3 Measure Capital cost, including incentives Annual energy cost savings Simple payback Net present value 27. Lighting Bundle Phase 2 $214,000 $60, $320,000 Components of the lighting bundle to be implemented in Phase 2, as explained in the Lighting Bundle section below. 28. Power misers on vending machines $3,900 $2, $15,600 To be implemented in the following buildings: Central Library Don Beer Arena East Shore CC 29. Automatic controls for pool makeup water Petticoat Creek CC Pickering Rec Complex $5,800 $2, $10,800 To be implemented in the following building: Pickering Rec Complex 30. Dual Flush Toilets 1 $26,000 $0 N/A -$23,200 To be implemented in the following buildings: Centennial Park Club House Central Library Hall Don Beer Arena Dunbarton Indoor Pool East Shore CC Fire Station 2 Fire Station 5 Fire Station 6 Millennium Square Washroom Petticoat Creek CC Pickering Rec Complex Progress Club Total $249,700 $65,600 $323, INDECO STRATEGIC CONSULTING INC.

39 NOTE: 1 This measure was included despite the negative NPV, as the had committed to the measure already for non-financial reasons. There are no direct energy savings from installing water efficient dual-flush toilets, but they do save water. There are some technical measures that have been grouped together to form bundles. The medium-term actions include a Lighting bundle. Lighting bundle The technical measures relating to lighting have been grouped together into a Lighting bundle. This is for ease of design and implementation of effective lighting retrofits, as well as to acknowledge that good lighting design may alter the number of fixtures and the impact of controls. Measures included in this bundle are: o Lighting retrofit o Lighting motion sensors and controls The lighting bundle measures have been split into three phases for each time period of the energy plan (priority, medium-term and long-term). A capital cost value has been given to each phase of the lighting bundle. The will make a selection of the lighting retrofit and lighting motion sensors and controls measures identified in the audits to implement in each phase of the lighting bundle. The total capital cost of all of the measures selected for each phase will add up to the capital cost value for that phase of the lighting bundle. As much as possible, the will prioritize actions with shorter payback for earlier phases of the lighting bundle. Other factors, such as other planned capital improvements scheduled in a facility or lighting quality issues may also influence the prioritization of measures. CORPORATE ENERGY MANAGEMENT PLAN 27

40 Long-term actions (Years 4-5, January 2018 July 2019) In calendar years 4 through 5 of the CEMP (January 2018 July 2019), the should ensure that all of the priority and mediumterm actions (both organizational and technological) have been completed, and are being maintained as required. The should then pursue the organizational actions presented in Table 10. In addition, the should pursue the technical actions provided in Table 11. A summary of the costs and savings associated with implementation of these technical actions is found below in Table 9. The is committed to implementing these initiatives on a priority basis based on available funds. A full list of responsibilities for all actions can be found in Appendix C. Table 9 Summary of costs, savings and NPV of implementing Years 4-5 technical actions Capital cost, including incentives Annual energy cost savings Net present value $258,100 $69,500 $428,100 Organizational actions Table 10 Preferred state, long-term actions, metrics for tracking implementation, and responsibilities Preferred state of energy management Long-term actions Metric / KPI Responsibility Organizational commitment The s energy management activities are guided by ambitious yet achievable targets. 47. Re-affirm commitment to targets. 48. Prepare plan update. Targets reaffirmed (y/n) Plan update prepared (y/n) The tracks progress towards targets. 49. Track and assess progress on interim targets and Years 2-3 actions. Energy intensity (ekwh/m 2 ) Total energy use (ekwh, m 3 ) Percentage of actions implemented 28 INDECO STRATEGIC CONSULTING INC.

41 Preferred state of energy management Long-term actions Metric / KPI Responsibility The is progressive in energy management and strives for excellence. 50. Apply to energy conservation awards (e.g. OPA Community Conservation Award). Number of applications submitted Number of awards won Existing buildings and The strategically implements all cost effective energy efficiency projects in existing buildings. Implement all technical measures identified as long-term actions: 51. Implemented lighting bundle phase 3. Technical measures implemented (y/n) ekwh and m 3 saved C&R Facilities 52. Insulate hot water pipes. $ saved on energy bills 53. Replace old fridges. 54. Implement HVAC bundle. (See Table 11 for more details). All buildings operate in an energy efficient manner. 55. Develop consistent guidelines and policies for energy management to be followed at all facilities. 56. Prepare the corporate facilities preventative maintenance program. 57. Prepare the corporate facilities re-commissioning plan. Guidelines and policies for energy management developed (y/n) Preventative maintenance program implemented (y/n) Corporate recommissioning plan implemented (y/n) C&R Facilities C&R Facilities C&R Facilities CORPORATE ENERGY MANAGEMENT PLAN 29

42 Preferred state of energy management Long-term actions Metric / KPI Responsibility New buildings and The has specific energy and efficiency standards for new buildings that considers future operational costs. 58. Develop a process for updating the energy efficiency standards (every 5 years). Updating process developed (y/n) staff are aware of new and emerging energy efficient technologies. 59. Develop and maintain a database of energy efficient technologies. Database created (y/n) Database reviewed annually (y/n) Monitoring and tracking The has real-time building level data for all utilities, at an appropriate level of granularity (e.g. daily). 60. Implement the EMS chosen in Years 2-3 to track and analyze energy use at the building level. EMS implemented (y/n) C&R Facilities The has the capacity to manage, analyze, and use energy data from meters. 61. Develop a plan for analysis and use of energy data. 62. Conduct an assessment to ensure that energy data needs are being met, and that staff resources are adequate to manage and collect the data. Data analysis and energy use plan developed (y/n) Assessment conducted (y/n) C&R Facilities Staff have easy and up-to-date access to energy data for each facility. 63. Develop / purchase an energy dashboard that provides facilities management and Facilities staff with appropriate information on energy use. Energy dashboard chosen (y/n) C&R Facilities 30 INDECO STRATEGIC CONSULTING INC.

43 Preferred state of energy management Long-term actions Metric / KPI Responsibility The understands how all buildings are performing, relative to other comparable buildings. 64. Identify an appropriate benchmarking system to monitor the energy performance of buildings (e.g. Energy Star) or join an existing benchmarking group (e.g. Mayor s Megawatt Challenge). Benchmarking system identified (y/n) Benchmarking system utilized (y/n) staff and the public are aware of energy usage in facilities. 65. Develop a plan for installing energy dashboards in facilities that provides the public with appropriate information on energy use in buildings. Plan developed (y/n) Communication and engagement Staff have the tools and training to identify energy management opportunities and are actively engaged in submitting ideas. 66. Develop an employee engagement process for all staff based on the pilot program implemented in Years 2-3 for Facilities staff. Employee engagement process developed (y/n) Changes in attitudes and behaviours CORPORATE ENERGY MANAGEMENT PLAN 31

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