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NSW Energy Savings Scheme

NSW Energy Savings Scheme. Using the Commercial Lighting Formula and Calculation Tool Lucas Boardman Summer Study Program – 1 March 2012. Outline. Energy Savings Scheme Genesis Development of methodologies Commercial Lighting Formula Key design aspects

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NSW Energy Savings Scheme

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  1. NSW Energy Savings Scheme Using the Commercial Lighting Formula and Calculation Tool Lucas Boardman Summer Study Program – 1 March 2012

  2. Outline Energy Savings Scheme Genesis Development of methodologies Commercial Lighting Formula Key design aspects Commercial Lighting Calculation Tool Case study Experience to date Questions 2 2

  3. Energy Savings Scheme – what is it? • NSW mandatory scheme – established by legislation. Electricity retailers are the liable parties • Started on 1 July 2009, legislated to 2020* • Market based mechanism that involves the creation and trading of Energy Savings Certificates (ESCs) • Companies are accredited for implementing projects which reduce electricity consumption • Certificates currently trading at $25-30/ESC on a spot market. • IPART – Scheme Administrator (certificate creation) and Scheme Regulator (compliance by liable parties) 3

  4. Energy Savings Scheme - genesis • Demand Side Abatement (DSA) Rule of NSW Greenhouse Gas Abatement Scheme (GGAS) spun-off to become the Energy Savings Scheme (ESS) • GGAS DSA savings were 90% residential • With ESS, one aim was to broaden the scope of energy savings activities

  5. Energy Savings Scheme– development of methodologies • Balance between • activity specific factors & formulae vs more generic methodologies • ex-ante (upfront deeming) vs ex-post certificate creation • GGAS DSA experience – generic methodologies & ex-post certificate creation generated modest level of certificate creation • ESS – increase in activity specific methodologies and more deeming than GGAS DSA - Commercial Lighting Formula is one of the new additions 5

  6. Commercial Lighting Formula (CLF) –Key design aspects • Broad coverage & flexible • Adequate lighting outcomes • Simplicity • Accuracy

  7. CLF – Coverage and flexibility • Covers all types of commercial/industrial lighting upgrades (but not ‘greenfield’ lighting installations) • Includes: • Commercial (industrial) building Lighting • Lighting of roads and public spaces • Traffic signals • Covers ‘mainstream’ and ‘emerging’ lighting technologies (e.g. LEDs) • Includes lighting controls (e.g. occupancy sensors)

  8. CLF – Coverage - emerging lighting technologies – additional requirements (1) • Emerging Technologies found in CLF Guide: • LEDs (Lamps/Power Supply/Integrated Ballast) • T5 adaptor kits • Induction Lamps • Voltage Reduction Units (VRUs) • Meet requirements: • Performance (LCP) – Test Report or Registered Information • Electrical Safety – Fair Trading • Electromagnetic Compatibility (EMC) – ACMA

  9. CLF – Coverage - emerging lighting technologies – additional requirements (2)

  10. CLF – Adequate lighting outcomes • Minimum lighting design requirements • Exceed AS/NZS 1680 (where it applies) or other applicable benchmark • If part of a project subject to a development approval (DA), can only claim for savings exceeding DA requirements • Customer engagement process • Demonstration (example) project

  11. CLF – Simplicity & Accuracy • Energy savings calculated by comparing the ‘original’ and ‘upgraded lighting equipment, based on: • Lamp circuit power =Nominal lamp power + Power consumption of control gear (driver, ballast, transformer) • Lighting controls (e.g. occupancy sensors) • Air conditioning load • Annual site operating hours (default of 3,000 hours) • Asset lifetime (default of 10 years - buildings,12 years - roads & public spaces, except for ‘lamp only’ replacement) Calculation Tool

  12. CLF – SimplicityCalculation Tool

  13. Calculation Tool: Benefits • Ensures that the energy savings and number of certificates are done as per the ESS Rule. • Simplifies administration of lighting upgrade projects. • Generates a report to keep record of the lighting upgrades performed.

  14. Case Study – manufacturing facility (1) • Site-wide Lighting redesign involving various aspects, including • Replacing 400W metal halide high bays & reactor ballasts with high efficiency 200W T5 fluorescent luminaires • Lighting controls e.g. daylight linking, timers, occupancy sensors • Permanent de-lamping in over-lit areas

  15. Case Study – manufacturing facility (2) The financials • Capital cost of $105,000 • Reduced lighting power consumption by 66% • Saving of 405MWh ($64,000) per year • Payback of 20 months With participation in the ESS • 4,293 ESCs (after application of deeming period) • ESC revenue to site of over $75,000 • Payback of 5 months!

  16. CLF – Experience so far • Experienced lighting operators vs new entrants • Assessing emerging lighting technologies • 29 companies accredited to date using CLF • 32 different lighting activities • Lighting upgrades at hundreds of sites throughout NSW • 386,000 certificates created to date

  17. www.ess.nsw.gov.au Thank You Independent Pricing and Regulatory Tribunal www.ipart.nsw.gov.au

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