E e n rgy g y St S ud u y y Pr P og o r g ams December 2011

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1 Energy Study Programs December

2 Agenda Energy Study Programs Overview Recommissioning Engineering Studies Data Center Studies Custom Rebates What makes a good energy study? 2

3 Energy Study Program Overview 3

4 Funding Study Funding Funded at up to 75% of study cost, to a maximum from Xcel Energy of $25K Funding for all studies tied to energy savings potential Proprietary Funding Calculations don t promise any funding amount until preapproval 4

5 Funding continued Implementation Up to $400/kW saved for peak kw saving measures kwh reduction rebates $400 per implied kw (approx. $0.0457/kWh) implied kw = kwh/8760 Customer will earn the higher of the two Natural gas implementation rebates for our gas customers $5.00/Dth 5

6 General Guidelines Preapproval required We can pay for implementation with and without a study "Fast Track" option Prefer unlocked Excel worksheet or hand calculations 6

7 Preapproval Customer submits study preapproval application, and a proposal Preapproval application should include: Customer, vendor and account manager signatures Study cost Proposal Customer should not start study until application is preapproved 7

8 Preapproval continued Proposal should contain Building description Equipment description What you will analyze Preliminary observations for opportunities Identify what you already know is wrong with the building Customer concerns Identify if they are a District Energy customer If approved, we ll the customer We ll copy you and the account manager 8

9 Benefits Studies identify savings Identifies energy savings and rebates Builds business case for project approval Details how to run at peak efficiency Implementation realizes savings Improves ROI for equipment and system improvements Helps manage energy costs Can improve reliability 9

10 Recommissioning 10

11 Xcel Energy s Definition of Recommissioning (RCx)? Recommissioning is the process of returning a building s mechanical and lighting systems, along with the building controls, to their peak performance. This is done through the investigation of the existing system performance, the adjustment of the operating parameters and the repair of faulty equipment. Recommissioning is intended to optimize the existing systems without having to add new components, which typically exposes low cost measures with attractive paybacks. 11

12 Slide 11 XPR114 Text overlaps header design; bullet should align with left margin, similar to other slides XP Production Release 1.0, 12/16/2011

13 Recommissioning Reviews Existing systems Central heating/cooling Air handling units Heat pumps/rooftop units Exhaust systems Pumping Outside air Central chilled water loop Economizers Existing controls Sequence of operations Resets Start/stop times Building pressurization 12

14 Nationwide Study on Recommissioning Measures 122 projects; 950 measures Categorized into 44 measure types Simple Payback <2 years: 91% Median Simple Payback: 8 months Controls measures were top savings measures A Study on Energy Savings and Measure Cost Effectiveness of Existing Building Commissioning, December 15 th, 2009, Portland Energy Conservation, Inc. 13

15 Nationwide Study on Recommissioning Measures Key Measure Mix : 7 measures that contribute 65% of total cumulative savings Top Cumulative Saving Measures and % of Savings Key Measure Mix % of Total Savings Revise control sequence 21% Reduce equipment runtime 15% Optimize airside economizer 12% Add / optimize SAT reset 8% Reduce coil leakage 4% Reduce / reset DSP setpoint 4% Add / optimize optimum start/stop 3% Add / optimize CWST reset 2% A Study on Energy Savings and Measure Cost Effectiveness of Existing Building Commissioning, December 15 th, 2009, Portland Energy Conservation, Inc. 14

16 Why Customers Participate* It provides concrete numbers for financial analysis Provides a roadmap for improvement, helps prioritize projects Xcel Energy is viewed as a neutral endorser of energy savings options Studies are tangible evidence of their desire to go green *Based on market research completed by Xcel Energy Summer

17 Recommissioning Energy Savings Calculation Tool 16

18 What is the tool? Xcel Energy has developed an energy savings calculation template for use by study providers We developed this to both standardize and simplify the study preparation and review process Excel worksheet based Addresses 19 typical ECOs Calculates energy and cost savings for inclusion into the final report 17

19 How was it developed? Tool was developed in partnership with a third-party engineering firm and Xcel Energy Released in December of 2009 Tested by third-party study providers and internal stakeholders ECOs will be added in the future Tool will evolve Most common ECOs will be added Want feedback 18

20 Energy Conservation Opportunities AHU Air Leak Reduction AHU Coil Cleaning (maintenance savings only) AHU Optimize Economizer AHU Outside Air Reduction (including DCV CO2 control) AHU Run Time Reduction (including Optimum start/stop) AHU Supply Air Static Pressure Adjustment/Reset AHU Supply Air Temperature Reset AHU VAV Minimum Flow Reduction Chilled Water Supply Temperature Set Point Adjustment Condenser Water Supply Temperature Set Point Adjustment 19

21 Energy Conservation Opportunities Eliminate Simultaneous Heating and Cooling Heating Water Supply Temperature Set Point Adjustment Lighting & Equipment Run Time Reduction Unoccupied Setback Pump Total Dynamic Head Pressure Reduction Pump Differential Pressure Set Point Adjustment/Reset Pump Minimum Flow Reduction Waterside Economizer and Cooling Plant Enable Heating Plant Enable 20

22 Engineering Studies 21

23 Engineering Assistance Studies Analyze a major process or system to help decision-making on new installations and energy efficiency improvements Xcel Energy will pay up to 75% of the study cost, not to exceed $25,000 Compare at least 2 different options and provide energy-savings calculations Preapproval is required for studies Common types of studies: Cooling system replacement Custom Efficiency Refrigeration Space/process heating 22

24 Data Center Efficiency 23

25 Efficiency Opportunities IT/inside the cabinets/racks: Virtualization/Consolidation of the servers High efficiency servers and power supplies Blade servers Management software Storage consolidation and optimization Network consolidation 24

26 Efficiency Opportunities Facility: Mechanical Air management Louvered floor tile systems Raised floor, ceiling configuration Hot/cold aisle configuration/separation In-rack cooling Economizer (air or water side) Hot spot elimination Raise supply air temperature VAV drives on fans Raise chilled water temperature Efficient chillers or DX units Ultrasonic or evaporative humidification 25

27 Efficiency Opportunities Facility: Electrical High efficiency transformers Lighting Battery storage systems High efficiency UPS systems Efficient power distribution 26

28 Bundled Rebates Leverage the cascade effect: Server/IT savings yield reduced cooling and electrical needs Allows for a single rebate payback calculation Paybacks between: 9 months (MN); 1 yr (CO) and 15 years, or the project life 27

29 Data Center Study Options Better fits customer need Study funding IT, facility or holistic Project rebates Identified in a study (bundle) Individual projects (no study) 28

30 How to participate All Study Programs 29

31 Qualification review Recommissioning and Data Center Efficiency We qualify individuals, not companies Steps: Submit Study Provider Application To Jeff Jackson in MN To Derek Shockley in CO Include work history and experience Include energy savings calculations 30

32 How to Participate - Projects Projects without study Submit Custom or Project Preapproval application Detail project, option A vs. option B Must be preapproved prior to purchase Notification Letter Monitoring Agreement if applicable 31

33 How to Participate - Studies Study path 1. Study preapproval Funding available: up to 75%; up to $25, Study Review, Approval, Monitoring Agreement 3. Study Rebate 4. Project Implementation 5. Rebate 32

34 Data Center Case Study 33

35 Retailer Measures identified for this project: Server virtualization & consolidation Centralized ultrasonic humidification 34

36 Retailer 2,021,220 kwh savings kw estimated maximum demand savings $141,124 estimated annual electric cost savings $132,597 estimated project cost 0.75 years estimated simple payback $26,754 estimated Xcel Energy rebate $22, estimated rebate available if projects competed individually without data center study 35

37 What makes a good energy study? Xcel Energy s Energy Efficiency Engineers 36

38 Energy Studies Write a clear proposal with clearly defined objectives The report needs to be easy to read with clear findings Calculations to prove the results of the study Avoid Our past project saved 15% so Include technical data sheets when appropriate Include single diagrams when appropriate Work towards solid numbers for cost estimates Don t recommend another study 37

39 Energy Studies Xcel Energy specific Have all the numbers match between the ECO form, narratives, and ECO descriptions Use correct average costs for electricity and gas Don t submit work already paid for by customer Don t deliver report before we approve it Understand all our prescriptive and Custom programs Know the difference between kw reducing ECO s and non-peak savings 38

40 More information Xcelenergy.com/rebates Xcelenergy.com/tradepartners Feature sheet Study preapproval application Study rebate application Fast track application New collateral Contact: Trade Relations Manager Jeff Jackson 39

41 Questions? Thank you for attending! 40

42

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