Document Sample
                       SOUTHERN AFRICA

                                       BOC Molefhi and LJ Grobler
                          North-West University, Potchefstroom Campus, South Africa


Eskom has embarked on a national Demand Side                 mutual benefit both to the utility and the consumer as it
Management program. The aim is to save about 4200            establishes a partnership between the utility and its
MW over the next 20 years. Other achievements                customers based on a thorough knowledge of the utility’s
associated with the program will be the reduction in         customer characteristics and needs. It also allows for the
environmental abuse, conservation of natural                 most productive and least cost use of capital assets and
resources and lowering the customer’s utility costs.         physical resources [II]. It can also help to obtain the
Measurement and Verification is crucial for the              optimum balance of decentralized and centralized energy
success of the program. The purpose of measurement           technologies, integrated into an overall management
and verification is to quantify and verify the impacts       structure that can maintain quality, reliability and
of DSM.                                                      predictable supply.

A number of international protocols and guidelines           The scope of DSM is essentially planning, development
have been developed to date. The development and             and implementation of programmes whose objective is to
application of the protocols together with innovative        shape actively the daily, monthly or seasonal electric load
technology have contributed immensely to ensuring            profiles of the customers to realise or achieve better
future energy security, reducing green gas emissions         overall system utilisation, performance or operation [II].
and availing sustainable sources of energy. The main         The planning and operation aspects of power systems are
shortcoming with the protocols is that they don’t fully      well developed and advanced based on decades of
comply or satisfy DSM requirements as applied in             research and experience. DSM encompasses techniques to
South Africa.                                                help utilities modify the timing and level of demand such
                                                             that they would also be better able to control costs and
Therefore a need for the development of an M&V               rates. Therefore the emergence of DSM in the electricity
protocol for DSM programs that looks both at the             sector has been specifically influenced by a powerful
project level as well as the program level arises. The       combination of regulatory, economic, environmental and
paper discusses the applicability, relevance, problems       commercial factors.
and/or barriers associated with the application of the
existing protocols and guidelines for DSM programs in
Southern African. The paper will further address the         2.       OVERVIEW OF EXISTING PROTOCOLS
needs and requirements for a measurement and
verification protocol for demand side management,            The different guidelines, protocols or frameworks
the successful development of which will ensure a            available include the American Society for Heating,
standardised M&V process for DSM in Southern                 Refrigeration and Air-conditioning Engineers (ASHRAE
Africa.                                                      Guideline 14), the Federal Energy Management Plan-
                                                             USA (FEMP version 2.2), the Monitoring & Verification
                                                             Framework (ESKOM, version 1) and the International
1.      INTRODUCTION                                         Performance Measurement and Verification Protocol
In some utilities in the region an increase in unit sales
served well as a strategy to make profit or alternatively    The ASHRAE guideline presents a set of regulations or
the increase in price has proved equally good as an effort   standards on energy (and demand) savings calculation
for additional revenue collection. These translate into an   procedures. This guideline is used as a regulatory
adverse depletion of the energy resources, acute             standard in dealings between the ESCO, the Consumers
environmental abuse and increase in utility costs.           and the Utilities. The guideline primarily addresses
                                                             measurements of energy and demand for determining the
Demand Side Management is an engineering approach            savings. It also addresses energy performance contracts
implemented to maintain a balance between the supply         which may include, determining appropriate utility rates,
and consumption of electrical power. The approach            inspecting and commissioning equipments [I].
entails the intervention of the utility in the consumer
market to change the configuration or the magnitude of       The US Department of Energy operates Federal Energy
the load profile. This approach pays off in significant      Management Programme (FEMP) that assists the federal
agencies to reduce their energy and operating costs
through performance contracting. As part of the Energy                          Load management consists of the following:
Savings Performance Contracting (ESPC) programme,                               o load shifting
FEMP developed and maintains a set of measurement and                           o load shedding and
verification guidelines to be used for all ESPC and Super                       o demand/load control
ESPC projects throughout the US. Although based on the
IPMVP, FEMP guideline offers specific direction for                             Table 1 gives a summary of the applicability of the
many common issues [III].                                                       different protocols and guidelines for DSM projects.
                                                                                Table 1: Protocols Applicability Summary
The IPMVP presented in three volumes is broadly applied
and recognised by some international institutions and                                                                                PROTOCOLS APPLICABILITY
organisations. Volume I defines general procedures to                                                                               Impacts   I   F   A   D   E   D
achieve reliable and cost effective determination of                                                                                          P   E   S   R   S   S
savings. This volume is tailored to capture on general                                                                                        M   M   H   *   K   M
                                                                                                                                              V   P   R   *   O   *
application in measuring and verifying the performance of                                                                                     P       A   *   M   *
projects improving energy or water efficiency in buildings                                                         Achievement                        E       *
and industrial plants. Volume II addresses indoor                                                                                   monthly   √   √   √   X √     √
environmental quality issues with emphasis on
                                                                                                                                     daily    √   √   √   X √     √
measurement issues, project design and implementation                                                              Demand
                                                               DSM OPTIONS [ENERGY EFFICIENCY \ LOAD MANAGEMENT]
associated with maintaining quality under an energy                                                                                 hourly    X   X   X   √ X     √
efficient process and outlining key related aspects of                                                                              30-min    X   X   X   √ X     √
M&V and energy performance contracts. The Volume III
                                                                                                                                    monthly   √   √   √   X √     √
is tailored to address M&V specifics related to efficiency
projects in industrial processes, new buildings, renewable                                                                           daily    √   √   √   X √     √
energy, water efficiency and emission trading [VI].                                                                Energy Savings
                                                                                                                                    hourly    X   X   X   X X     √

Furthermore the IPMVP Inc. released a draft Demand                                                                                  30-min    X   X   X   X X     √
Response Protocol. A Demand Response Measurement                                                                                    monthly   √   √   √   X √     √
and Verification Protocol does not exist officially as a
                                                                                                                                     daily    X   X   X   X √     X
published M&V protocol. However arrangements are                                                                   Costs Savings
under way and its resourcefulness will be valuable to the                                                                           hourly    X   X   X   √ X     X
energy sector. It therefore restricts the focus on its                                                                              30-min    X   X   X   √ X     X
contents as it is subject to review and possibly
                                                                                                                                    monthly   √   √   √   X √     √
amendments. Nevertheless it’s worth mentioning that the
shortcoming of this protocol to be is that it focuses mainly                                                       Emissions/        daily    X   X   X   X √     X
on interruptible load than on sustained load management                                                            Environmental
                                                                                                                   Savings          hourly    X   X   X   X X     X
performance. As a result it does not cater for the
measurement and verification of sustained demand side                                                                               30-min    X   X   X   X X     X
management projects.                                                                                                                monthly   √   √   √   √ √     √
                                                                                                                                     daily    X   X   X   X X     X
In addition the IPMVP has also started to work on a                                                                Resources
                                                                                                                   Savings          hourly    X   X   X   X X     X
protocol/guideline to evaluate demand side management
on a program level. This is a method that can be applied                                                                            30-min    X   X   X   X X     X
to DSM projects that have a large customer base such as
                                                                                *Monitoring and Verification Framework ESKOM.                             **M&V needs
lighting, installation of geysers blankets, etc. by the M&V                     for DSM. ***Not approved protocol

The Monitoring &Verification framework developed by                             3.1                                      THE SHORTCOMINGS
Radloff [VIII] is an M&V application derived from the
ASHRAE, IPMVP and FEMP concepts and tailored to the
                                                                                The main shortcomings with these protocols are that:
DSM requirements for South African industries, utilities
                                                                                o They focus only on energy efficiency and not on
and other stakeholders. The framework is broadly applied
                                                                                    other demand side management concepts such as load
in energy efficiency and load management activities in
                                                                                    management (i.e. load shifting, load shedding, etc).
South Africa by some of the M&V Teams.
                                                                                o Their time interval for determining DSM impacts is
                                                                                    only limited to monthly and daily basis.
                                                                                o No explicit distinction between program and project

DSM consists of the following:
o Load management (LM) and
o Energy efficiency (EE)
3.2      OBSERVATIONS & CONCLUSIONS                                         Representatives of ESCO Association of
                                                                            South Africa
                                                                            Consulting Engineers, Architectures,
The following observations have been made with regards
                                                                            Building and Construction firms
to the application of existing protocols and as derived
                                                                            Academics and Research Institutions
from Table 1.
                                                                            Consumers and utilities
o The existing protocols are complimentary but none of
                                                                    II The protocol must be accepted by stake
    the existing protocols are completely suited for DSM.
                                                                         holders under a public participation process.
o A well defined structure for quantifying DSM
                                                                    III The protocol can be initiated based on South
    impacts can be achieved through an M&V protocol
                                                                        African experience, since it is perceived that
    tailored for DSM.
                                                                        the M&V protocol for DSM measures based
                                                                        on the South African industry background can
4.       THE NEED FOR A DEMAND SIDE                                     serve well for regional application.
         MANAGEMENT (M&V) PROTOCOL                                      Furthermore a merger of the SADC power
                                                                        pools is imminent hence the need to
There is a need for a simplified, flexible, user-friendly               substantiate with SADC member states input
and broad spectrum approach protocol in the energy                      where possible.
industry for energy efficiency and load management
projects. This therefore implies that there is need for        7.        BIBLIOGRAPHY
standardised M&V protocol for DSM to compliment the
existing protocols. It is thus intended that the anticipated        I.   ASHRAE (American Society for Heating
protocol could lead to the reduction if not the eradication              Refrigeration and Air-Conditioning Engineers)
of the barriers related to the inconsistency and confusion               Guideline14
about baseline methodologies encountered with the                   II. Demand Side Management Concepts and
current Measurement and Verification projects.                          Methods, Second Edition: Clark W. Gellings,
                                                                        John H. Chamberlin, Fairmont Press, Inc.
        MANAGEMENT M&V PROTOCOL                                     III. FEMP (Federal Energy Management Plan)
                                                                         version 2.2
The measurement and verification protocol for DSM
measures quantification will be required:                           IV. Fundamentals of Energy Engineering: Albert
o To address both energy efficiency and load                            Thumann, P.E., C.E.M., The Fairmont Press, Inc.
    management aspects of DSM impacts
                                                                    V. Industrial DSM in South Africa, Tsholo Matlala,
o To quantify the impacts of DSM projects and
                                                                       ICUE 2004.
    programs on thresholds explicit to stakeholders
o To create a distinction between a project level and               VI. IPMVP (International Performance Measurement
    program level                                                       and Verification Protocol, Volumes: 1, II, III.
o To cerate a standardised guideline for the
                                                                    VII. IPMVP’s Demand Response draft document.
    quantification of DSM impacts for regional
o To be complimentary to the IPMVP and other                        VIII. Monitoring and Verification Framework
    protocols.                                                          Document, Version 1,r0: Radloff F. G. T.
                                                                        ESKOM 2001.
         DSM MEASURES.                                         8.   AUTHORS
A well natured &V protocol with a reflection of regional
needs can be achieved through the participation and input      Principal Author: Benjamin
from regional stake holders in the energy industry.            O. C. Molefhi holds a M.Sc.
Therefore the following are recommendations:                   degree       in     Electrical
      I. A stake holders committee must be initiated to        Engineering from Vinnitsa
         create consensus and variety of professional          State University (Ukraine).
         input. The protocol must be accepted by Stake         He is pursuing his PhD
         holders may include:                                  studies at the North West
             National Electricity Regulator (NER-South         University, South Africa. He
             Africa)                                           is also lecturer in Electrical
             Department of mining (DME-South Africa)           Power Systems at the
             ESKOM (South Africa)                              University of Botswana.
             Energy Affairs Division (EAD) Botswana
             Power Cooperation (BPC)-Botswana)
             Demand Side Management Committees
Co-Author: Prof L.J. Gobler
is an Professor at the School
of Mechanical and Materials
Engineering,       North-West
University, South Africa. He
specialises     in     Energy
Management and Process
Optimisation. He is certified
by the Association of Energy
Engineers of the USA as a
Certified Energy Manager
(CEM) as well as a Certified
Measurement                and
Verification Professional (CMVP).

Presenter: This paper is presented by Mr Molefhi

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