Energy Management Where are we ?

Dr. Krishan DEHERAGODA

'Management' is a terminology used in modern texts to describe a wide array of aspects.

In the generic sense, Management means to control a system to achieve maximum outputs from a given input. In this respect, 'Energy Management' becomes a very apt term in the context that Energy is the most common and perpetual input to a system.

As it directly speaks of the output in relation to a given input of energy, it is 'Efficiency' that matters. Understanding that 'Energy at Usable Level' is a limited resource, Energy Management becomes very relevant and important.

Therefore, it is of use to look at Energy Management and understand on where it stands in the current context.

Energy management has been given due prominence at the policy level under the National Energy Policy and Strategies, which emphasises on energy security of the country. Energy conservation is one of the elements earmarked for achieving that.

As far as the institutional set up is concerned, the Sri Lanka Sustainable Energy Authority (SLSEA) is the focal government entity for the promotion of energy management.

Energy management activities of SLSEA are carried out with a long-term target of maintaining the energy intensity in economy at 500 toe/XDR, meaning - to achieve economic growth of the country without making an additional energy burden.

Regulatory interventions

At the present levels of consumption and the predicted growth in the demand, this economic target is, around 20 percent reduction of the electricity consumption of the current year, to be achieved in a 10-year time horizon. Activities in this area are concerned of establishing a conducive framework to implement energy management by all consumers covering industrial, commercial, state and domestic sectors.

Everybody is a candidate for conserving or managing energy, but the benefits are obviously, to each individual and to the country in general. Nevertheless, due to the lack of awareness or rather the commitment energy efficiency in practice is rather limited.

So, in order to make it a fairly systematic approach, regulatory interventions are a prime necessity.

Guided by the provisions of SLSEA Act, numerous regulatory initiatives have been taken towards, basically to establish a framework for energy management activities and to popularize energy efficient technologies and products Energy labelling program, Regulations on Energy Manager, Energy Auditor and Energy Consumption Reporting, Code of Practice for Energy Efficient Buildings, are the activities we have at this end right now.

The actual impact of energy efficiency improvement can be achieved at field level only if we go for high efficient products when we are purchasing electrical appliances.

On the other hand, it is the public who becomes part and parcel of the energy efficiency improvement projects right at the implementation stage, especially when it comes to the domestic sector.

Therefore, if we do not equip the public with the knowledge to identify efficient equipment, the real implementation is yet to do with.

All in all, when there is a proper mechanism for denoting efficient products, when products enter the market, when people are buying, energy efficiency can be spoken of in a common language; that is energy label.

Energy labelling is the internationally accepted methodology for designating energy efficient products.

Notations are in different ways. In the one we have introduced to Sri Lanka, there are positions of 1 to 5 stars, wherein products are ranked based on the level of efficiency.

Compact Fluorescent Lamps (CLFs) were the first equipment to be energy star rated, and they are now available in the market.

Building Code

The Code of Practice for Energy Efficient Buildings (Building Code) is a very practical guide to introduce energy efficiency into large-scale buildings at the design stage itself.

The importance here is, in a building, there are quite a number of opportunities for conserving energy, especially in lighting and air conditioning.

But, having identified them once the building is in use, can we adopt them? In most of the cases it is practically difficult.

Through the Building Code we expect the buildings to comply with some basic criteria related to energy consumption.

To make that compliance it is necessary to go for efficient technologies, efficient products, in addition to the structural modifications. The long-term economic impact is significant.

In terms of implementing energy efficiency regulations, the SLSEA is designated the authentic entity for obtaining energy consumption data of organizations, based on which they will be directed for taking to conservation steps.

Energy managers appointed by large establishments will be playing a key role here in coordinating the activities.

Energy auditors, who are the personnel technically competent to provide consultancy on energy management are expected to provide with the required know how in implementing energy conservation activities.

Regulations, on these and energy consumption reporting will be introduced this year.

The SLSEA is compiling energy consumption baselines to be used as the reference levels in energy consumption.

Energy Efficiency Services

The SLSEA is not only a regulatory body; it provides various services in order to facilitate energy conservation among end users. In energy efficiency improvement activities, establishing the existing situation with appropriate measurements is quite important.

The SLSEA has developed a sophisticated bank of instruments for energy system measurements, and those are available at a nominal fee.

Technical consultancy the SLSEA does provide this, however in view of the large clientele, the SLSEA has registered companies called ESCOs (Energy Services Companies) and they provide consultancy in energy auditing and implementation of energy efficiency improvement projects as well.

Introducing energy conservation in taking establishments as clusters has been identified as a highly beneficial intervention, because the systems, methods of energy use, know how of personnel, are similar in nature, of the establishments of a typical cluster. Such sector specific energy efficiency improvement programmes have been successfully implemented in tea industry, hotel sector, national water supply and distribution. One unique nature for easy implementation of activities is the keenness of these sectors on energy conservation. Tea Research Institute (TRI) has been the focal point for energy efficiency improvement activities in the tea industry, and SLSEA conducted program to develop the capacity among tea factory officers to carry out energy conservation program.

The hotel sector has launched a program called Greening Sri Lanka Hotels, where they want to go for energy conservation, water conservation and reduction of waste.

The SLSEA is providing technical assistance in energy management under the Greening Sri Lanka Hotels program.

The National Water Supply and Drainage Board, the organization with the highest energy consumption, has initiated improving energy efficiency in pumping systems, which will greatly help to reduce energy consumption.

Energy efficiency project financing

Like in any other development activity, funding has been a major issue in energy efficiency improvement projects. Firstly, banks are rather hesitant for releasing funds for these projects for want of collaterals. The SLSEA addressed this issue through establishing a mechanism for providing technical and financial guarantees for the projects.

This mechanism known as Sustainable Guarantee Facility was introduced couple of years back, and observing the dire necessity of having a dedicated funding facility for energy efficiency projects. The SLSEA is now working towards establishing such through donor assistance.

Awareness creation

Enhancement of awareness on energy conservation is yet another requirement for successful implementation of energy management programs. Tailor-made awareness programs are conducted for various sectors including the industrial and commercial sectors, and especially for office buildings.

Also, the SLSEA has launched Sri Lanka National Energy Efficiency Award scheme, for recognizing organizations successfully carrying out energy efficiency projects, and through that, to encourage others to follow suit.

How much we have achieved

Energy consumption reporting and labelling program are good examples for systems that are being developed in Sri Lanka and are based on successful international experiences.

This has laid the foundation for a long-term energy management programme. As a result, an energy saving of 280 GWh has been recorded in year 2009. Specially, penetration of compact fluorescent lamps (CFLs) is more than 50 percent of the households, and in the urban areas it is even higher.

So, despite their comparatively high costs, CFLs have been popularized because people have understood the life cycle savings, and also attractive payback periods.

Thus incandescent lamps are gradually being phased out, and eventually this has been highly helpful in cutting down the peak electricity demand, which is the most wanted intervention to relieve the economic burden in the energy sector.

The way ahead

Future environment will be conducive for energy management activities. Specially, the approaches like Green Building concepts will provide more opportunities to go ahead with energy management activities in a more integrated manner.

Already there are some establishments who have earned Green certificates. And, the concerns at global level in environmental aspects will become more severe and solid steps will have to be taken by the industrialized countries.

In that situation we will be able to better access for funding through clean development mechanism (CDM), and thereby we will be able to enhance the economic feasibilities of energy conservation projects.

The SLSEA is obtaining assistance from Japanese International Cooperation Agency (JICA) under a three-year project for establishing a sound framework for energy management.

Laboratory facilities and other necessary infrastructure development have been duly focused, and will be addressed in near future.

Keeping pace with the technological improvement has also been taken into consideration. In the area of lighting, a significant milestone has been reached through establishing Regional Centre for Energy Efficient Lighting.

Technical assistance for this is obtained from Lighting Research Centre of Rensellar Polytechnic, USA. Within the country, a good organizational network has been developed, with SLSI, NERD Centre and universities. These will be highly supportive environments for sound energy management programmes and therefore, we are of the view that SLSEA will be able to intensify energy management activities in the country in the coming years.