Effective Energy Policy
Washington Energy Summit 2011
Paul Hamilton
VP Government Affairs
1st …..Schneider Electric at a glance
The global specialist in
Energy
gy management
g
people in 100+ countries
Sales devoted to R&D
Making energy…
●Safe
●Reliable
●Efficient
●Productive
●Green
Sales by End markets – 2008
Energy & Infrastructure
A Recognized Sustainability
commitment
16%
Industry
26%
Data centres & Networks
Buildings
Residential
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
Energy us
sage
34% of sales in new economies
x2 compared to 2004
Energy produ
E
uction
& transmis
ssion
Billi global
Billion
l b l sales
l iin 2009 (i
(in €)
17%
31%
10%
2
EE Should a key objective of any
comprehensive
h
i energy policy
li
●Cheaper
● Each energy unit saved avoids 3x the energy units used for generation
● Demand response programs cost about half of the cost of generation
●Quicker
● Technology is available today with short term results
●Cleaner
Cl
● “Negawatt” produces no environmental footprint
●Enhanced
Security
● EE is homegrown, it reduces dependence on imports
Schneider Electric - Division - Name – Date
3
Our Perspective on Inhibitors
● Market Inhibitors
● Low awareness and inadequate
q
skills
● Limited incentives for designers and builders
● Comparative usage understanding
● Technology Inhibitors
● Systems level solutions/integration
● Measurement & verification
● Financing Inhibitors
● Incentive misalignment
● Limited or inadequate financing
● Regulation
● Inconsistent implementation of compliance with codes & policies
● Inconsistent & immature policies
● Inconsistent utility engagement across states
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
4
A New Evolution
f technology
for
t h l
and
d markets
k t
The intersection of IT and Energy Management will create new
opportunities
t iti to
t accelerate
l t energy efficiency
ffi i
Energy
gy
Infrastructure
Intelligent
E
Energy
Information
Technology
Make energy visible and automate its management
through integrated open systems
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
5
Energy is invisible.
We need to make it visible!
Benchmarking shows opportunity exists
……in high tech facilities energy
intensity varies significantly
Integrated connectivity gives insight
…. In Data Centers Energy Dashboards
allows optimize management
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
6
We must consider building life cycles.
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
7
Labeling is Still confusing
● Need to be clear on different
labels and their proposes
● operational versus asset rating
● Technical versus statistical
● Need consistency between
competing systems
● Manyy competing
p
g labeling
g
systems in market today
● Many evolving
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
8
What is needed?
● Policy intervention where market barriers or failures inhibit optimal
investment in EE
● Misplaced incentives such as the landlord tenant relation in buildings
● Distorted regulations – utility engagement in distributed generation or
demand response programs.
● Unpriced
p
costs & g
goods– environmental costs,, education,, training,
g, research
● Assessment of the impact and effectiveness of current policies and
regulations.
g
– Manyy things
g work today
y but are underutilized
●State code programs – only two states require most current codes
●Utility programs - decoupling, EERS,
●Equipment
Equipment standards – energy star,
● Putting policy and regulation at the right place.
● Federal,
Federal State
State, Local
Schneider Electric - Division - Name – Date
9
The moment is now
for governments, the public and business
● Companies are acting
● Regulations are coming
● 3*20% plan in Europe
● China 5 year plan commitment to
reduce energy intensity by 20%
● Improved ASHRAE and IECC
standards
● Public opinion is pushing
● Hybrid cars sales market shares x4
in the last 2 years
● Students are concerned and
engaged
● Consumers look for green
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
● Technology is here
● Renewables
● Energy Monitoring & metering
● Facility automation
● Integrated management systems
● 30% savings is available with
implementation and deployment of
today’s technology
10
The key for success: people
Individual behaviours driven by…
• Technology that make things visible
• Regulations
• Incentives
Skills
• Renew competencies
• Build new educational programmes
• Develop maintenance, audits, etc.
Respect and
passion for
diversity
• Loving
o gd
difference
e e ce
• Diversity for
innovation
Collaboration
• Public-private partnerships
• Cross-business alliances
• Competitiveness projects
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
11
Make the most of
your energy™
™
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
12
The Key to Sustained Energy Savings is…
Active Energy Efficiency & A Lifecycle Approach
Energy Audit
& Measure
Passive Energy Efficiency
Fix the basics
Low consumption devices,
i
insulation
l ti
material,
t i l power
factor correction
Schneider Electric IEEE Energy Conversion Congress and Exposition
Paul Hamilton
September 13 2010
Active Energy Efficiency
Optimise through
automation &
regulation
Monitor,
maintain,
improve
HVAC control, lighting
control,
t l variable
i bl speed
d
drives…
Meters installation,
monitoring
it i
services,
i
EE
analysis software
13