Innovative Approach to Decentralised Energy System Pays Huge Dividends. How Armstrong Helped the UK Police Arrest Their Energy Losses
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1 Innovative Approach to Decentralised Energy System Pays Huge Dividends How Armstrong Helped the UK Police Arrest Their Energy Losses
2 MBS Retrofit Case Study
3 MBS Retrofit Case Study Lancashire Constabulary - established in covers an area of 1189 sq miles - population of 1,500,000 Hutton Hall County HQ Police Training Centre - Firing Range and Sports Hall - Teaching Blocks - Accomodation Blocks - Canteens National Police Computer Database HQ
4 Starting Conditions Old centralised oil fired heating plant Oversized Very inefficient Expensive to run - Fuel consumption averaged 417,000 litre/yr or 293,000 yr - Maintenance costs were huge Unreliable
5 Project Challenges A new system was required but... the site couldn t be closed or disrupted in any way heating and hot water generation had to continue 24/7 the new solution had to be cost effective max 3 year payback the new solutions had to be environmentally friendly Lancashire Constabulary were committed to reducing their carbon emissions
6 Options a) Change fuel from oil to gas but retain existing boilers b) Change fuel from oil to gas and replace boilers and associated plant c) Decentralise the system and install new plant close to the demand
7 Options a) Change fuel from oil to gas but retain existing boilers Pros Relatively inexpensive to do Relatively quick to do Result in fuel cost savings of around 50% Payback around 2 years Cons Boiler shells over 30 years old and well past normal life cycle System still oversized and thus inefficient Ageing underground distribution piping would remain System energy losses would still be high Maintenance costs would still be high Could only be done one at a time during the summer
8 Options b) Change fuel from oil to gas and replace boilers and associated plant Pros Result in fuel cost savings of around 60% Payback around 3 years Boilers could be right sized to suit the reduced demand Boiler/burner maintenance costs would be reduced Cons Ageing underground distribution piping would remain System energy losses would still be high Maintenance costs for the distribution piping would still be high Could only be done one at a time during the summer
9 Options c) Decentralise the system and install new plant closer to the demand Pros Result in fuel cost savings of around 75% Payback around 2.5 years Boilers could be right sized to suit the reduced demand Plant maintenance costs would be greatly reduced New plant should mean frequent breakdowns were a thing of the past Underground distribution piping would be eliminated Cons Could only be done during the summer
10 Advanced 3D Design
11 Solution Elements 4 MBS Integrated Plant Rooms 1) 160kW serving the firing range and sports hall 2) 320kW serving the Lancastrian building HQ offices and canteen 3) 320kW serving the Ellis building training rooms and lecture theatres 4) 240kW serving the Langdale building training rooms
12 Installation
13 Installation
14 Installation
15 Project Benefits Energy Consumption and Cost Environmental Construction
16 Project Benefits Energy Consumption and Cost Consumption reduced from 4,503,600kWh pa to 2,550,730kWh pa. A saving of 1,952,870kWh or 43% Cost saving of kwh reduction of 126,937 in first full year of operation Cost saving on change of fuel 118,696 Total energy cost saving of 245,633 in the first full year alone based upon an oil cost of per litre and natural gas at 0.02 per kwh
17 Project Benefits Environmental Carbon emissions (based on kwh reduction) reduced by 525 tonnes pa Carbon emissions (based on change of fuel (217 tonnes pa) Total carbon savings 744 tonnes per year Best in Class low Nox emissions less than 20mg/kWh
18 Project Benefits Construction Timescale: Disruption: Safety: Security: Environment: MBS systems assembled offsite concurrently with excavations and installation of gas network cutting 3 months off the programme Existing plant could continue to function during the new installation programme ensuring continuous heating and hot water availability Manufacturing the plant rooms in a purpose designed factory minimised the health and safety risks associated with site work Offsite manufacture meant that 15 less personnel were required on a sensitive site Offsite manufacture reduced the number of site deliveries by over 40 %
19 Customer Satisfaction What Ed said about the project... It was only when we analysed the energy consumption at the end of the first year that we realised just how much money the packaged plant rooms had saved the taxpayer. The equipment has paid for itself in just a year, and will continue to deliver cost savings throughout it s life. If a new system isn t commissioned properly, all of the inherent energy efficiency of the system can be lost. But I was really impressed with the Armstrong engineers ability to get the equipment working at it s full potential right from the beginning.
20 Industry Acknowledgment Energy Manager of the Year Award 2008 Innovation and imagination were two key qualities that helped Ed Palmer, Energy Manager for Lancashire Constabulary, win this year s Energy Manager of the Year Award. Sponsored by the Energy Services & Technology Association (ESTA), this annual award recognises outstanding achievement in saving energy and reducing carbon emissions. ESTA press release May 2008
21 Key Success Factors 48% of the energy savings were due to the change in fuel relatively easy and obvious fix. 52% of the energy savings were due to the change in the system something worthy of a little more investigation.
22 Energy Insights HEATING IS A PART LOAD APPLICATION
23 Energy Insights OSBE = % % % Source: Part L of the UK Building Regulations 2010 For 36% of the heating season the system is running at only 15% of the load for 45% of the heating season the system is running at only 30% of the load for only 19% of the heating season the system is running at 100% of the load
24 Energy Insights 300kW boiler system running at 30% of the load
25 Energy Insights
26 Energy Insights 300kW boiler system running at 30% of the load
27 Energy Insights Weather compensation or outdoor reset Variable primary pumping Integrated gas meter with digital outputs Remote alarms functions Building Automation System (BAS) ready All from one source, taking total responsibility
28 Installation Highlights Completed on time On budget Exceeded savings and payback predictions Installation proceeded without causing disruption to the site Savings from change of fuel easily won System savings only possible through the integrations of modern technologies
29 Armstrong Capital Assist - Ed Rowe
30 What is Capital Assist? Enables you to spread the cost of Armstrong Solutions for periods 3 10 years. Shifts capital expenditure to your revenue budget. Aims to be self-funding via energy/maint savings. Utilises money already being spent on inefficient plant. Enables you to upgrade/ retrofit immediately. First payment can be deferred until new Financial Year
31 NHS The Challenge? Ageing & inefficient plant Substantial carbon reduction targets. Insufficient Capital resources to invest in new plant. Estates often loses out to clinical demands for capital allocation. How to improve energy efficiency whilst retaining clinical demand as top priority for available capital.
32 Implications Increasing energy & maintenance costs as systems age. Increased risk of failure. Difficulty in achieving carbon reduction targets. Significant amounts being wasted from operating budgets on inefficient plant.
33 The Solution? Upgrade / Retrofit with new energy efficient Armstrong Solutions without the need for capital Spread cost over appropriate period ( 3 to 10 years ). Use energy & maintenance savings to cover monthly payments. Monthly payments from operating budget ( Revenue ). Use ARMSTRONG CAPITAL ASSIST.
34 Benefits Realise immediate energy & maintenance savings. No capital outlay required. Use savings to fund monthly payments. Monthly costs fixed for easier budgeting. Avoid obsolete plant. Reduce backlog maintenance. Improve site efficiency & lifecycle costs.
35 CAPITAL ASSIST EXAMPLE for Lancashire Constabulary MBS retrofit over 3 years Capital cost of works 359,000 Rental period 3 years Monthly rental (fixed) 11,000 Est. annual energy savings 245,633 Est. net savings over rental period 340,899 Payback period 2.72yrs (33mths) Est. net savings over 10 years 2,060,330
36 CAPITAL ASSIST EXAMPLE for Lancashire Constabulary MBS Retrofit over 5 years with 1 st payment deferred for 12 months Capital cost of works 359,000 Rental period 5 years in arrears Monthly rental (fixed) 7,479 Est. annual energy savings 245,633 Est. net savings over rental period 779,425 Payback period 4yrs (48mths) Est. net savings over 10 years 2,007,590
37 CAPITAL ASSIST EXAMPLE for Upgrade to Optivisor all variable plant controller Capital cost of works 84,000 Rental period 3 years Monthly rental (fixed) 2597 Est. annual energy savings 66,976 Est. net savings over rental period 107,436 Payback period 2.15 yrs (26 mths) Est. net savings over 10 years 576,268
38 Thank you Please share your questions
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