Improving Industrial Energy Efficiency in Atlantic Canada

1
Improving Industrial Energy Efficiency in
Atlantic Canada Canadian Industry Program for
Energy Conservation
Jeff Sward Industry Officer Industrial Programs
Division
Jessica Norup Senior Industry Analyst Industrial
Programs Division
November 17th, 2005
2
Overview

• Seafood Sector in Canada Industrial Outlook
• Energy efficiency and human resource development
• CIPEC and Industrial Energy Innovators
• Key CIPEC Program Elements
• Other NRCan Programs
• Program Delivery the Atlantic Task Force
• Program Contact Information

3
Energy Efficiency An Issue of Human Resources?

• Energy Efficiency
• Creates jobs
• Increases income levels
• Avoids layoffs due to recessions, spikes in fuel
  prices and international competition
• Enhances the working environment

4
Energy Efficiency Job Creation and Personal
Income

• Since the establishment of energy management
  programs in the early 1980's, residents,
  businesses and agencies of San Jose, California
  have cut more than 5.5 million from annual
  energy bills and saved enough energy each year to
  power 7,600 homes. San Jose predicts its
  sustainable energy programs will produce a
  county-wide 33 million increase in wages and
  salaries, and a net employment gain of 1,753 job
  years over a ten-year period.
• Source Rocky Mountain Institute
• BC Sustainable Energy Association estimates that
  over the next 30 years Energy Efficiency can
  reduce consumption by 25, 000 GWh and create
• 145, 000 jobs.

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Energy Efficiency Avoided Layoffs

• Between 1990 and 1999 seafood processors
• Decreased employment by 13 through plant
  closures or layoffs
• Saw a 12 increase in fuel prices
• By increasing energy efficiency manufacturers
  across Canada can be protected from rising energy
  costs and partially avoid unnecessary layoffs.

6
Energy Efficiency Better Workplace

• Many technologies that reduce energy consumption
  also enhance working conditions
• Air barriers a technology to create a laminar
  air flow in doorways or large cargo bays to
  separate the cold exterior from the warm interior
• Reduce space heating costs by as much as 90
• Avoid drafts and unpleasant conditions for plant
  workers and administration staff

7
Overview

• Seafood Sector in Canada Industrial Outlook
• Energy efficiency and human resource development
• CIPEC and Industrial Energy Innovators
• Key CIPEC Program Elements
• Other NRCan Programs
• Program Delivery the Atlantic Task Force
• Program Contact Information

8
What is the Canadian Industry Program for Energy
Conservation?

• Established 1975 - Unique industry-government
  partnership (at sector level) sponsored by NRCan
• To reduce energy intensity of the Canadian
  industrial sector
• Industry set target 1 annually from 1990 to
  2005
• Encourage adoption of energy efficiency as a tool
  to
• cut costs
• improve productivity
• reduce GHG emissions

9
CIPEC Structure
10
What are Industrial Energy Innovators?

• Established 1995 - Voluntary company-level
  commitment, from executive level, to improve
  energy efficiency and reduce GHG emissions
• To date more than 500 Canadian companies are
  listed with NRCan as IEIs
• IEI participation is a prerequisite for receiving
  audit incentive and IBIP funding from NRCan
• Receive a 33 discount on Dollars to ense Energy
  Management Workshops
• Opportunity for customized Dollars to ense
  Workshops

11
Overview

• Seafood Sector in Canada Industrial Outlook
• Energy efficiency and human resource development
• CIPEC and Industrial Energy Innovators
• Key CIPEC Program Elements
• Other NRCan Programs
• Program Delivery the Atlantic Task Force
• Program Contact Information

12
Key Program Elements
Organization
Industrial Energy Efficiency
Behaviour
Technology
13
Key Program Elements

• Celebration
• Heads-up CIPEC
• Annual Report
• IEI Awards

• Incentives
• Energy Audit
• Incentive
• Industrial Building
• Incentive Program
• Class 43.1

• Training
• Dollars to ense
• energy management
• workshops

Industrial Energy Efficiency

• Information
• Guidebooks
• Benchmarking
• Studies
• CIPEC Task Forces

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Industrial Energy Audit Incentive

• Covers 50 of audit cost, to a maximum of 5,000
• Allows for supporting funding from utilities
• Available only to companies that are Industrial
  Energy Innovators
• Companies select own audit contractor and
  determine scope of audit
• Does not apply retroactively
• Energy Management Services Directory

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Dollars to ense Workshops

• 3 workshops
• Spot the Energy Savings Opportunities
• Energy Monitoring and Tracking
• Energy Master Plan
• Since 1997
• 1500 industry participants
• 33 discount for Industrial Energy Innovators
• Access to customized workshops
• Success Story
• ESCO Foundry in Port Hope realizes a 500,000 to
  750,000 savings after a company level customized
  workshop in 2001

April 11 Customized Textiles Workshop  enjoyed
the entire day it has left me with numerous
ideas for improvement!   David Savage, Lincoln
Fabrics
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Class 43.1 Tax Incentive

• Accelerated write-off of certain equipment
  designed to produce energy more efficiently or
  use alternative renewable sources
• In general, systems that generate electricity
  and/or produce heat for industrial processes by
• recovering and re-using thermal waste,
• using specified-waste fuels,
• using cogeneration, or
• using renewable energy sources, including solar,
  wind and small hydro

17
CIPEC Energy Intensity Index 1990 2002

• Over the 1990 to 2003 period, there was a 0.7
  average annual improvement in energy intensity.
• In total, energy intensity was 8.7 lower in 2003
  compared to 1990.

18
CIPEC companies get results!

• Industrial energy savings related to effective
  energy management practices totalled more than
  3.4 billion in 2003
• Over the past 5 years, the increase in energy
  consumption among non-CIPEC participants was more
  than double that of CIPEC participants

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Overview

• Seafood Sector in Canada Industrial Outlook
• Energy efficiency and human resource development
• CIPEC and Industrial Energy Innovators
• Key CIPEC Program Elements
• Other NRCan Programs
• Program Delivery the Atlantic Task Force
• Program Contact Information

20
EnerGuide for Industry?

• Web-based energy rating system for industry
• energy performance comparison of products of same
  class size
• provides information to purchase energy-efficient
  off-the-shelf industrial equipment.
• Allows users to
• Choose a product according to its energy
  efficiency.
• Calculate the energy and dollar savings.
• Provides energy-saving tips for the purchase,
  operation and maintenance of energy-efficient
  equipment.

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Motor Selector
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Industrial Buildings Incentive

• Encourages the design of energy efficient
  industrial buildings Incentive to offset design
  costs
• Up to 80,000 to Industrial Energy Innovators
• Design must be 25 more energy efficient than
  Model National Energy Code for Buildings (MNECB)
• Building measures 15
• 10 minimum contribution to building energy from
  improved process

23
FleetSmart

• Assists fleet managers, owners and operators
  reduce fuel costs and vehicle emissions and
  improve productivity through energy-efficient
  practices.
• FleetSmart ToolKit
• Fuel Management 101 workshop
• Smart Driver workshops
• Heavy Vehicle
• SmartDriver Instruction's Guide
• Heavy Vehicle Fuel Consumption Calculator

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Renewable Energy Deployment Incentive (REDI)

• Encourage renewable energy for space water
  heating cooling
• Solar Air Heating Systems (active)
• Solar Water Heating Systems (active)
• Biomass (high efficiency/low emissions) gt75kW
• New incentives available for process heat
• RE Project Development Costs
• Up to 50 for RE feasibility studies
• Assessed on a case-by case basis
• RE Project Implementation Costs
• Up to 25 of eligible RE project expenses
• Max. of 80,000 per application
• Max. of 250,000 per organization

Bombardier Canadair, Montreal QC
Solarwall draws ventilation air into a
building, to preheat or heat using solar energy
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Canmet Energy Technology Centres (CETC)
Works with Canadian companies to develop and
deploy advanced energy efficiency and renewable
energy technologies.

• Varennes, QC
• Targeted Research Programs
• Refrigeration research
• Industrial Process Integration and Engineering
  Programs
• Buildings Program
• Renewable Energy Capacity-Building Program

• Bells Corners (Ottawa), ON
• Combustion research facility
• Advanced Combustion Technology Program (ACT)
• Targeted Programs
• Buildings Energy Technology Program
• Federal Industrial Boiler Program
• Energy Technologies for High Temperature
  Processes,
• Community Energy Systems
• Etc

• Devon, AB
• Heavy oil Oil Sands Research
• Advanced Separation Technologies Program
• National Centre for Upgrading Technology

26
Overview

• Seafood Sector in Canada Industrial Outlook
• Energy efficiency and human resource development
• CIPEC and Industrial Energy Innovators
• Key CIPEC Program Elements
• Other NRCan Programs
• Program Delivery the Atlantic Task Force
• Program Contact Information

27
What is a CIPEC Task Force?

• A group of industry and industry-association
  representatives working with the Canadian
  government to improve industrial energy
  efficiency.
• provides a forum for identifying common needs
  such as energy management planning, technical
  information, financing, training, employee
  awareness.
• examines the potential for energy efficiency
  improvements.
• establishes ways to report and track progress,
  and create action plans for achieving targets.

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The CIPEC Task Force Participants

• Private Sector
• Industry Representatives
• Executives, plant managers, energy committee
  chairs
• Association Representatives
• Utility Representatives
• Public Sector
• Federal Government
• NRCan-Office of Energy Efficiency sector officers
• Provincial/Municipal Government officials

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The CIPEC Task Force Operation

• Task Force members can participate in meetings
• in person
• by teleconference
• by web conference
• Task Force members receive
• meeting minutes
• presentations
• case studies
• other materials presented

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Regional CIPEC Task Forces

• General Manufacturing West
• General Manufacturing Central (Ontario)
• General Manufacturing East (Quebec)
• We plan to develop an additional regional Task
  Force
• Atlantic Task Force (NB, NS, NFLD, PEI)

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The Atlantic Task Force Benefits

• connects companies in the region interested in
  energy efficiency
• provides the CIPEC network with an Atlantic
  perspective
• helps companies to learn about technical,
  operational an organizational energy efficiency
  best practices

32
Overview

• Seafood Sector in Canada Industrial Outlook
• Energy efficiency and human resource development
• CIPEC and Industrial Energy Innovators
• Key CIPEC Program Elements
• Other NRCan Programs
• Program Delivery the Atlantic Task Force
• Program Contact Information

33
General Contact Information

• Office of Energy Efficiency oee.nrcan.gc.ca
• CIPEC oee.nrcan.gc.ca/cipec
• Industrial Energy Innovators info.industry_at_nrcan
  .gc.ca
• Energy Efficiency Audits info.industry_at_nrcan.gc.
  ca
• Energy Management Services Dir. oee.nrcan.gc.ca/pr
  oviders
• Dollars to ense Workshops oee.nrcan.gc.ca/worksh
  ops
• EnerGuide for Industry oee.nrcan.gc.ca/egi
• Renewable Energy Initiative nrcan.gc.ca/redi
• CETC nrcan.gc.ca/es/etb

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NRCan Coordinates

• Jessica Norup
• JNorup_at_NRCan.gc.ca
• [phone]
• Jeff Sward
• JSward_at_NRCan.gc.ca
• [phone]
• Natural Resources Canada Office of Energy
  Efficiency Industrial Programs Division
• 580 Booth St. Ottawa, Ontario K1A 0E4