Ensuring a Sustainable Future:
An Energy Management Guidebook
for Wastewater and Water Utilities
            JANUARY 2008

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Table  of Contents
   FOREWORD	1

   OVERVIEW	2 to 4

   How This Guidebook is Organized	5 to 9
   Characterization of Your Utility
   Crosswalk of Plan-Do-Check-Act Approach

   PLAN
   SESSION 1: Getting Ready	10 to 18
   Module 1: Establish your utility's energy improvement goals
   Module 2: Secure and maintain management commitment, involvement, and visibility
   Module 3: Choose an energy "fenceline"
   Module 4: Establish energy improvement program leadership
   Module 5: Secure and maintain employee buy-in
   Module 6: Communicate results

   SESSION 2: Assessing Current Energy Baseline Status	19 to 33
   Module 1: Benchmark energy efficiency information
   Module 2: Conduct an energy assessment or baseline audit
   Module 3: Review legal and other requirements and establish a compliance baseline

   SESSION 3: Establishing an Energy Vision and Priorities for Improvement	34 to 43
   Module 1: Develop an energy policy
   Module 2: Identify activities and operations that consume energy
   Module 3: Prioritize activities/operations and potential energy improvement efforts

   SESSION 4: Identifying Energy Objectives and Targets	44 to 50
   Module 1: Establish energy objectives and targets
   Module 2: Define performance indicators

   DO
   SESSION 5: Implementing Energy Improvement Programs and Building a
   Management System to Support Them	51 to 62
   Module 1: Develop action plans to implement energy improvements
   Module 2: Develop management system 'operating controls' to support energy improvements

   CHECK &  ACT
   SESSION 6: Monitoring and Measuring Your Energy Improvement Management Programs	63 to 71
   Module 1: Review what you currently monitor and measure for energy
   Module 2: Determine what else you need to monitor and measure for your priority energy improvement operations
   Module 3: Develop a plan for maintaining the efficiency of energy equipment
   Module 4: Review the  progress of your energy targets
   Module 5: Implement actions to adjust or correct when you are not progressing toward your energy goals
   Module 6: Monitor/reassess compliance status

   SESSION 7: Maintaining Your Energy Improvement Programs	72 to 76
   Module 1: Continue to align energy goals with business/operational goals
   Module 2: Apply lessons learned
   Module 3: Expand involvement of management and staff
   Module 4: Communicate success

   CONCLUSION	77

   Resources/Tools	78

   APPENDICES

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FOREWORD
Providing wastewater and drinking water service to citizens requires energy —and a lot of it. The twin problems of
steadily rising energy costs and climate change have therefore made the issue of energy management one of the most
salient issues facing wastewater and water utilities today. Energy management is also at the heart of efforts across the
entire sector to ensure that utility operations are sustainable in the future. More and more utilities are realizing that a
systematic approach for managing the full range of energy challenges they face  is the best way to ensure that these
issues are addressed on an ongoing basis in order to reduce climate impacts, save money, and remain sustainable.
Working closely with a number of utilities and others, the Office of Water at the U.S. Environmental Protection Agency
(EPA) is proactively addressing this issue by developing this Energy Management Guidebook for Wastewater and Water
Utilities that provides a systematic approach to reducing energy consumption and energy cost.

This Guidebook was specifically written to provide water and wastewater utility  managers with a step-by-step method,
based on a Plan-Do-Check-Act management system approach, to identify, implement, measure, and improve energy
efficiency and renewable opportunities at their utilities.

To accomplish these objectives, water and wastewater practitioners with experience in implementing energy efficiency
improvements played a major role in developing the Guidebook, serving as Steering Committee members, along with
EPA staff. Their experiences and insights were instrumental in the development of this guide.
U.S. EPA Project Officer

Jim Home
Office of Wastewater Management
Washington, DC

Steering Committee Members

Bob Bois
Environmental Compliance Officer
Springvale Water Treatment Plant
Natick, Massachusetts

Katie Jordan
Environmental/Safety Specialist
Osram Sylvania Products Inc.
Hillsborough, New Hampshire

Andy Kricun
Deputy Executive Director
Camden County Municipal Utilities Authority (CCMUA)
Camden, New Jersey

Jim Newton
Environmental Program Manager
Kent County Public Works Department
Dover, Delaware

Tom Pedersen
Vice President
Camp Dresser & McKee
Cambridge, Massachusetts

Mark Young
Executive Director
Regional Wastewater Utility
Lowell, Massachusetts
Anne Leiby
U.S. EPA Region 1

Gina Snyder
U.S. EPA Region 1

EPA also would like to thank the following
individuals that provided comments throughout
the Guidebook's development:

Linda Benevides
Massachusetts Executive Office of Energy and
Environmental Affairs

Leah Bowe
U.S. EPA Region 1

Catherine Hatcher
U.S. EPA, ENERGY STAR

Jean Holbrook
U.S. EPA Region 1

Jackie LeClair
U.S EPA Region 1

Jason Turgeon
U.S. EPA Region 1

Madeline Snow
University of Massachusetts - Lowell

Global Environment & Technology Foundation
THIS GUIDEBOOK WAS DEVELOPED UNDER CONTRACT NUMBER GS-10F-0337M WITH THE OFFICE OF WASTEWATER MANAGEMENT AT THE U.S.
ENVIRONMENTAL PROTECTION AGENCY

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                    Ensuring  a  Sustainable Future:
               AN ENERGY MANAGEMENT GUIDEBOOK
             FOR WASTEWATER AND  WATER UTILITIES
 As a water or wastewater utility manager, you are facing unprecedented challenges that include ever increasing:
        0  Public expectations for holding rates/taxes while maintaining service standards.
        0  Population shifts/increases.
        0  Number and complexity of regulatory requirements.
        0  Maintenance and replacement of aging systems/infrastructure.
        0  Concerns about security and emergency preparedness.
        0  Changing work force demographics.
        0  Challenges in managing personnel, operations, and budgets.
 Overlaying all these issues are steadily rising energy costs for your utility. Dealing with these rising costs will require
 utilities to better manage their energy consumption and identify areas for improvement. Water and wastewater utility
 energy consumption is generally on the order of 30-60% of a city's energy bill.1

 The graphs below further illustrate the challenges faced by the water and wastewater utility industry. The first illustrates
 the trend in electricity costs/kWh in New England from 1990 to 2007 and second characterizes operational energy use
 from a National Association of Clean Water Agencies (NACWA) survey of water and wastewater utilities.2


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New England Average Industrial Electricity Rate
(April of each year, from EIA)
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                       National Association of Clean Water Agencies (NACWA)
                                         Survey of Energy Use
                              47 Respondents used 2.1 billion kWh of electricity
                                   Other
                                   11%
                             Effluent reuse
                                pumping
                                  25%
In-plant pumping
     38%
 Aeration
  26%
i - Data from. Energy Information Administration, "The Current and Historical Monthly Retail Sales, Revenues and Average Revenue per Kilowatt hour by State and by
  Sector," EIA-826. Available online at http://www.eia.doe.gov/cneaf/electricity/page/sales revenue.xls.

2 - T. Jones, "Water-Wastewater Committee: Program Opportunities in the Municipal Sector: Priorities for 2006," presentation to CEE June Program Meeting, June 14, 2006,
  Boston, MA. Available online athttp://www.ceel.org/cee/mtg/6-06_ppt/iones.pdf.

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Energy represents the largest controllable cost of providing water or wastewater services to the public. Most facilities
were designed and built when energy costs were not a major concern. With large pumps, drives, motors, and other
equipment operating 24 hours a day, water and wastewater utilities can be among the largest individual energy users
in a community.

In addition, a review of a facility's energy performance may also identify other areas for operational improvements and
cost  savings such as labor, chemicals, maintenance, and disposal costs.  Finally, a thorough assessment of a facility's
energy performance may alert managers to other issues. An unexplained increase in energy consumption may be
indicative of equipment failure, an obstruction, or some other problem within facility operations.

Given  these challenges, it is imperative for water and wastewater utilities to  investigate implementing systematic
programs to minimize energy usage and cost, without sacrificing performance.

The purpose of this Energy Management Guidebook is to demonstrate to utility managers that it makes sound business and
environmental sense to utilize a management system approach to optimize energy conservation efforts. Specifically, this
Guidebook will present a management system approach for energy conservation, based on the successful Plan-Do-Check-
Act process, that enables  utilities to establish and prioritize energy conservation  targets  (Plan), implement specific
practices to meet these targets (Do), monitor and measure energy  performance improvements and cost savings (Check),
and periodically review progress and make adjustments to energy programs (Act). The Guidebook will also provide real
life examples of water and wastewater utilities who have already realized significant benefits through use of an energy
management program and provide a step-by-step process to show how to achieve the same benefits for your utility.

Similar to an operations plan, the Guidebook goes through the steps that a facility would take to understand their energy
use and set reduction goals, take actions, and make progress on achieving energy reduction targets.

By making a commitment to saving energy at your water or wastewater utility, you will also help maintain the confidence
of the  public in the  operations  providing community services.  In addition, by capitalizing on energy saving
opportunities, a municipality or county utility can exert some control over rising costs for ratepayers  of utility services
as well as free up resources for other civic investments such as schools, police, or fire protection.
     "Controlling our energy use saves money and creates budget capacity."
     James L. Jutras
     Water Quality Superintendent
     Essex Junction, Vermont

     "Energy production and usage have many areas of impact. Energy production is a major source of environmental impact and
     includes impacts to air and water pollution and the depletion of natural resources. Energy usage takes costs from a facility's
     budget that could be better spent on employee wages/benefits or to stabilize a utility's rate. A well thought out and implemented
     energy management program will minimize the energy production and usage impacts and strengthen the position of your
     utility."
     Andy Kricun
     Camden County Municipal Utility Authority
     Camden, New Jersey


     " A plan-do-check-act process is good for business and good for the environment.  We can't do much about the weather and the
     outside factors that drive bulk energy costs but we can commit to competitive volume purchases of energy and to employ energy
     conservation efforts to effectively hold down the ever increasing costs and impacts of fossil fuel-based energy usage. This process
     can help identify energy conservation opportunities."

     Bob Bois
     Springvale Water Treatment Plant
     Natick, Massachusetts

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Total Estimated Annual  Electricity Consumption - Wastewater and Water Treatment Facilities in
Massachusetts3
                            Estimated kWh/Mgal
                             Water and Wastewater as
                               % of all MA industrial
                                     sectors
Wastewater treatment
(not including
distribution)
Water treatment and
distribution estimated
Totals for MA Water and
Wastewater Utilities
1,750


1,500

3,250
707,735,000


386,137,500

1,093,872,500
1.3%


0.74%

2.1%
$91,439,362


$49,888,965

$141,328,327
Note: Total kWh of all MA Industrial Sectors equals 9,602,457,000,
 Total estimated annual emissions from energy consumption at Massachusetts wastewater and water facilities4
 •  957,138 CO2 (tons)
 •  4,190,045 SO2 (tons)
 •  1,415,471 NOx (pounds)
	*- FAST FACTS5-*	
         Drinking Water and
     Wastewater Utility Energy

   * Water and wastewater industries account
    for an estimated 75 billion kWh of overall
    U.S. electricity demand.

   * Drinking water and wastewater systems
    in the U.S. spend about $4 billion a year
    on energy to pump, treat, deliver, collect,
    and clean water.

   * Energy efficiency investments often have
    outstanding  rates  of  return  and  can
    reduce costs at a facility by 5%, 10%,
    25%, or more.

   * Loads expected to increase by  20% in
    next   15  years   due  to  increased
    populations   and   more   stringent
    regulations.

   * Energy costs for water and wastewater
    can be 1/3 of a municipality's total energy
    bill.

   * If drinking water and wastewater systems
    reduce energy use by just  10% through
    cost-effective  investments, collectively
    they  could save  approximately $400
    million and 5 billion kWh annually.
                                             Drinking Water Utility

                                       * There are 60,000 community drinking
                                         water systems in the U.S.

                                       * Majority of energy use: pumping.

                                       * Energy use affected by: water source,
                                         quality, storage, elevation,  distance,
                                         age, and process.

                                       * Major processes: production, treatment
                                         (disinfection), and distribution.
       Wastewater Utility

* There are 15,000 wastewater systems,
 including  6,000   Publicly   Owned
 Treatment Works (POTWs) in the U.S.

* Majority  of  energy  use:  treatment
 process (aeration) and pumping.

* Energy  use  affected by: population,
 influent   loading,   effluent   quality,
 process type, size, and age.

* Major processes: collection systems
 (sewers  and   pumping   stations),
 wastewater    treatment    (primary,
 secondary, and/or tertiary/advanced),
 bio-solids processing, disposal, or re-
 use.
Note: Reduction in greenhouse gases can also be realized through improvements in
energy efficiency.  The U.S. Climate Technology Cooperation Gateway website's
(http://www.usctcgateway.net/tool) Greenhouse Gas Equivalencies Calculator is
designed to enable users to quickly and easily translate greenhouse gas reductions
from units that are typically used to report reductions (e.g., metric tons of carbon
dioxide equivalent) into terms that are easier to conceptualize (e.g.,  equivalent
number of cars not driven for one year).
 3- MassDEP, 9/07. It should be noted that some states are exploring ways to integrate energy efficiency, renewable energy, and green building into State Revolving Funds
   that provide low-interest loans for wastewater and drinking water projects. See the work that MassDEP is doing to promote the integration of renewable energy and
   energy conservation into new or upgraded construction projects at http://www.mass.gov/dep/energy.htm.

 4- Ibid.
 5- See http://www.eere.energy.gov/industry/saveenergynow/partners/results.cfm for a list of industrial energy efficiency improvements; several case studies discuss return
   on investment, often identifying measures"with payback of 1-4 years. Some individual measures, such as changing incandescent lights to compact fluorescent, often have a
   rate of return of 100% or more. An example of a wastewater utility implementing a comprehensive package of improvements for a similar return on investment is the
   Metropolitan Syracuse Wastewater Treatment Plant in Onondaga County, NY. See http://www.nrel.gov/docs/fy06osti/38076.pdf. The payback period was 13 months.

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How This Guidebook is Organized
Now that you have some information on energy costs and the potential energy efficiency savings for your water or
wastewater utility, you may be asking:

       * What resources are available for me as a utility manager interested in pursuing energy efficiency at my
         facility?
       * How do I set and measure energy efficiency and renewable energy targets?
       * Are there tools available to help me set and achieve energy goals?
       * How do I align my energy goals with current programs already in place such as health and safety or
         quality programs, Capacity, Management, Operations, and Maintenance (CMOM), and/or asset management
         plans?

This Energy Management Guidebook will help you answer these and many other questions by taking you through the steps
necessary to set,  manage, and achieve energy efficiency  goals for your utility through the development and
implementation of a focused energy management program. These management programs can  help you document
annual energy savings, decrease air emissions, and earn a return on their capital investment. The steps outlined in the
Guidebook are replicable and based on a Plan-Do-Check-Act process that will assist you in:

       1. Benchmarking and tracking monthly and annual energy use;
       2. Identifying and prioritizing energy operations and issues that can increase efficiency;
       3. Identifying energy efficiency objectives and targets;
       4. Defining the performance indicator(s) to use to measure progress towards your
          energy  targets;
       5. Establishing energy management programs (i.e., action plans to meet your goals);
       6. Monitoring and measuring the performance of your established target(s);
       7. Documenting and communicating success; and
       8. Reviewing your progress periodically and making adjustments as necessary.

As you begin to make the important decisions for your utility on energy efficiency and renewable opportunities, keep
in mind that there  are a number of resources and management tools that are available to you as a water and wastewater
utility manager. This Guidebook will define and link you to those resources and tools, as well as identify how you can
align your energy  efficiency plans with current management programs and tools that you use or may be implementing
at your utility.

Throughout this Guidebook, you will see step-by-step sessions, modules, and exercises along with real life examples from
water and wastewater organizations, so that you can successfully implement energy efficiency and renewable goals for
your utility. Each  module will define objectives, provide an overview of the main concepts, have the user complete
exercises where applicable, and finally review the important takeaways specific to each module.

This Guidebook has been developed with significant input from water and wastewater utility professionals like you. They
face the same energy challenges and are committed to addressing these issues based on the step-by-step approach
described in the Guidebook.

Thank you for taking the first steps toward improved energy management at your utility.
                                                     , -- •** - ,
                                                             Plan
Jim Home
Office of Wastewater Management            r.   ,
U.S. EPA                                     enecK         uo

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       You'll find the following icon symbols in each session:
         Keys to Success indicates important takeaways to successful energy management
         implementation as identified by water and wastewater practitioners.
o
Consider This highlights a point or concept important to energy management
implementation.
          Reminders are key points to keep in mind.
          Moving to the Next Session identifies key concepts for the next session and
          the end of the current session.
         TIP! identifies an important concept.

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Not sure how this Guidebook can help you? Review the table below to see what statement best characterizes your utility's
situation and find out what you should focus on and with what tools. Sessions referred to in the table below can be found
in this Guidebook.
Characterization of your Utility
              If this characterizes your situation.,
 "We are starting to think about ways to improve energy
 management but don't know where to start."
       Then focus on:
Developing an energy
management program
         Use these tools:
 Portfolio Manager Overview
(http://www.energystar.gov/index.cfm
?c=evaluate performance.bus  portfol
                                                                                           iomanager): EPA's Performance
                                                                                           Track (www.epa.gov/perftrac/):
                                                                                           Session 1: Getting Ready
 "We have completed the benchmarking tool and want to set
 priorities for energy improvement efforts."
Conducting an energy audit
Session 2: Assessing Current Energy
Baseline Status; Session 3:
Establishing an Energy Vision and
Priorities for Improvement
 "We are a member of EPA's Performance Track Program,
 committed to reduce energy consumption and reduce
 greenhouse gas emissions."
Establishing targets; developing
action plans; measuring and
monitoring results; evaluating
progress; aligning program with
operational goals
Portfolio Manager Overview
(http://www.energystar.gov/index.cfm
?c=evaluate performance.bus  portfol
                                                                                           iomanager): Greenhouse Gas
                                                                                           Equivalencies Calculator
                                                                                           (http://www.usctcgateway.net/tool/):
                                                                                           Session 3: Establishing an Energy
                                                                                           Vision and Priorities for Improvement;
                                                                                           Session 4: Identifying Energy
                                                                                           Objectives and Targets
 "We are using ENERGY STAR'S Portfolio Manager and have
 identified specific areas for improvement."
Establishing targets; developing
action plans
Session 3: Establishing an Energy
Vision and Priorities for Improvement;
Session 4: Identifying Energy
Objectives and Targets
 "We have completed an energy audit and want to set priorities for
 energy improvement efforts."
Prioritizing activities;
establishing targets
Session 3: Establishing an Energy
Vision and Priorities for Improvement
 "We have implemented some great energy improvement projects
 but they don't necessarily:
 • connect to each other,
 • get managed as well as they could be,
 • measure for results, and/or
 • have procedures or systems to ensure they continue."
Measuring and monitoring
results; evaluating progress;
aligning program with
operational goals
Portfolio Manager
(https://www.energystar.gov/istar/pmp
am/): Session 5: Implementing
Energy Improvement Programs and
Building a Management System to
Support Them; Session 6: Monitoring
and Measuring Your Energy
Improvement Management Programs

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                If this characterizes your situation.,
       Then focus on:
         Use these tools:
  "We are part of an EPA, state, regional or municipal program to
  reduce energy consumption greenhouse gas emissions."
Assessing emission footprint
Portfolio Manager
(https://www.energystar.gov/istar/pmp
am/): NEPOOL emission factors
(www.iso-ne.com): Session 6:
Monitoring and Measuring Your
Energy Improvement Management
Programs; Session 7: Maintaining
Your Energy Improvement Programs
  "We have ideas or proposals for energy improvements including
  renewables."
Developing action plans,
identifying resources
Portfolio Manager
(https://www.enerqystar.qov/istar/pmp
am/): NEPOOL emission factors
(www.iso-ne.com):  DSIRE
(www.dsireusa.org): Session 1:
Getting Ready; Session 3:
Establishing an Energy Vision and
Priorities for Improvement; Session 4:
Identifying Energy Objectives and
Targets
  "We have an asset management system and want to look at ways
  to improve energy management."
Reviewing Crosswalk Table
page 9; Incorporating energy
aspects into the management
system
Session 1: Getting Ready; Session 2:
Assessing Current Energy Baseline
Status
  "We are developing an Environmental Management System and
  want to incorporate energy improvements into its development."
Reviewing Crosswalk Table
page 9; Incorporating energy
aspects into the management
system
U.S. EPAs PEER Center
(www.peercenter.net): Session 3:
Establishing an Energy Vision and
Priorities for Improvement
  "We have a functioning Environmental Management System and
  want to add in energy improvements and/or renewables."
Reviewing Crosswalk Table
page 9; Incorporating energy
aspects into the management
system
DSIRE (www.dsireusa.org):
Session 4: Identifying Energy
Objectives and Targets; Session 5:
Implementing Energy Improvement
Programs and Building a
Management System to Support
Them
  "We have ISO 14001 certification and want to add in energy
  improvements and/or renewables."
Reviewing Crosswalk Table
page 9; Incorporating energy
aspects into the management
system
EPAs Performance Track
(www.epa.gov/perftrac/): Session 3:
Establishing an Energy Vision and
Priorities for Improvement; Session 4:
Identifying Energy Objectives and
Targets; Session 5: Implementing
Energy Improvement Programs and
Building a Management System to
Support Them
  "We have set energy targets and want to measure performance
  and communicate our results."
Measuring and monitoring
results; evaluating progress;
developing communication
strategy
Session 6: Monitoring and Measuring
Your Energy Improvement
Management Programs; Session 7:
Maintaining Your Energy
Improvement Programs
Session 1

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The Plan-Do-Check Act approach in this Guidebook corresponds to the guidelines or other approaches such as ENERGY
STAR. This means that if you are already using another process, this Guidebook will support your efforts as well as give you
additional tools and assistance in focusing on energy improvements.
 Crosswalk of Plan-Do-Check-Act Approach
Guidebook Section ENERGY STAR Asset Management IS0 14001 Environmental ANSI/MSE 2000: A Management
Management Systems System for Energy
I. Getting Ready






2. Assessing Current
Energy Baseline Status




3. Energy Vision and
Priorities for
Improvement
4. Objectives and Targets


5. Energy Improvement
Management Plans











6. Monitoring and
Measuring







7. Maintaining Energy
Improvement
Programs
Stepl: Make
Commitment





Step 2: Assess
Performance




Step 1.3: Institute
an Energy Policy

Step 3: Set Goals


Step 4: Create
Action Plan
Step 5: Implement
Action Plan









Step 6: Evaluate
Progress







Step 7: Recognize
Achievements

Make a commitment (e.g.,
establish a policy) and
determine asset
management planning
needs and prepare
management and staff
through early and on-going
communication and training
Step 1: Taking an inventory
of assets




Step 1: Taking an inventory
of assets
Step 2: Prioritizing assets



Step 3: Developing an
asset management plan
Step 4: Implementing an
asset management plan









Step 5: Reviewing and
revising asset management
plans









Make a commitment (e.g.,
establish a policy) and
determine environmental
management planning
needs and prepare
management and staff
through early and on-going
communication and training
4.3.1 Environmental
Aspects and Impacts
4.3.2 Legal and Other
Requirements
4.5.2 Evaluation of
Compliance
4.2 Environmental Policy
4.3.1 Environmental
Aspects and Impacts
4.3.3 Objectives and
Targets and Environmental
Management Programs
4.3.3 Objectives and
Targets and Environmental
Management Programs
4.4.1 Resources, Roles,
Responsibility, and
Authority
4.4.2 Training, Awareness,
Competence
4.4.3 Communication
4.4.6 Operational Control
4.4.7 Emergency
Preparedness and
Response
4.5.1 Monitoring and
Measuring
4.5.2 Evaluation of
Compliance
4.5.3 Nonconformance
and Corrective Action and
Preventive Action
4.5.5 EMS Audits
4.6 Management Review



4.0 Management Systems for
Energy
5.0 Management Responsibility
5.1 Management Commitment
5.3 Strategic Planning
5.4 Responsibility and Authority


6.0 Energy Management Planning
6.1 Energy Profile
6.2 External information
6.3 Energy Assessment


5.2 Energy Policy





7.0 Implementation and Operation
7.1 Purchasing
7.2 Facility, Equipment, and
Process Control
7.3 Energy management projects
7.4 Control of outsourced energy
services
7.5 Communication
7.6 Training, Competence, and
Awareness



8.0 Checking and Evaluation
9.0 Management Review











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 SESSION 1: Getting Ready
 You may be eager to plunge directly into starting energy programs, but before
 you do, it is important that you prepare your utility for the effort. Take the time
 to lay the foundation for energy improvement programs using a systematic
 Plan-Do-Check-Act management system approach. Investing the time and
 effort now will make a difference later on.

 To  successfully  implement  programs  that improve energy  efficiency,
 conservation, and use of alternative or renewable sources of energy, you will
 need to:

        1.  Establish your utility's energy improvement goals;
        2.  Secure and maintain management commitment, involvement, and
           visibility;
        3.  Choose an energy "fenceline";
        4.  Establish energy improvement program leadership;

        5.  Secure and maintain employee buy-in; and
        6.  Communicate results.

 First let's review a few terms that you will need to understand.

 Energy Program Manager:   The person who has the responsibility and
 management authority for implementing your energy improvement programs
 from start to finish.

 Energy Improvement Goal: A quantifiable energy efficiency objective that your
 utility has made a decision to achieve.

 Energy Fenceline: The scope of your operations where you will focus your
 energy improvement goals and where they will be implemented.  For example,
 across all utility operations, within a particular operation (e.g. biosolids), or for
 one utility component (e.g. pumps).

 Energy Team: A core team made up of individuals at your facility that will help
 facilitate and implement energy improvement programs. These are the people
 within your utility with knowledge of utility processes and energy usage and
 will help communicate the importance of energy improvement to utility staff.

 Generally, the Energy Team is composed of employees from various levels and
 functions who will assist in the design, implementation, and evaluation of your
 energy improvement programs. The Energy Team is made up of employees
 and staff who  are closest to the actual work in the operations of your scope or
 fenceline and  who can bring  a huge amount of institutional expertise and
 operational experience that is critical to a strong energy improvement program.

 The Energy Team plays an important leadership role in planning, delegating
 tasks, establishing deadlines, collecting and evaluating work, and providing
 training, guidance, and assistance as needed. The Energy Program Manager
 heads the Team, and together  they become the organization's energy experts
 and champions.
              Plan
       Keys to Success
0  Management commitment
    and support

0  Active and meaningful
    engagement of staff

0  Ability to build on existing
    processes and projects

0  Effective leader and team

0  Balancing the need for 'quick
    hits' with longer term
    changes

0  Communication of
    meaningful results
Session 1
                              10

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  Energy Team members should possess the following qualities:
         • Knowledge of their operational and functional areas,
         • Good communication and listening skills,

         • Enthusiasm and commitment, and
         • Respect and trust by employees and managers.

  You may be able to use existing teams or groups that have been created in your
  utility or municipality.  Some  organizations enlist volunteers for their team,
  others delegate and assign members. Keep in mind that the Energy Team needs
  the  authority as well as the  responsibility to drive  energy improvement
  programs and support their implementation.

  Working as a Team
  There are many ways to start work as an Energy Team.  Try these training
  exercises to build an effective Energy Team within your organization.

         • Identify and make a list of all the policies, standard operating
           procedures, and/or training related to energy currently in place in
           your utility.

         • Identify and list all the management systems or programs your
           utility has developed [e.g., CMOM, Asset Management, National
           Biosolids Partnership].

         • Identify and list all the energy projects your utility is currently
           undertaking.
Session 1
11

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 MODULE 1:  Establish Your Utility's  Energy Improvement Goals

 Module Objective: Identify how to align energy improvement goals with your current management, operations, and/or
 maintenance plans and policies.

 In developing energy improvement programs, take the time to understand how they fit in with your utility's mission,
 goals, and strategic direction. Does your utility, board of directors, municipality, rate-payers, and general public want to:

       *  Reduce (control) energy costs by reducing/controlling energy use?

       *  Set an example for other public entities?

       *  Demonstrate leadership in sustainability or energy conservation initiatives and do the right
          thing for the environment?

       *  Help your state or community implement its Climate Change Action Plan and contribute to reducing
          greenhouse gas generation and other air pollution?

       *  Increase the use of renewable energy and alternative fuels, leading towards energy
          independence from foreign fuel sources?

       *  Enhance the utility's or municipality's public image?

 If the answer to any of these questions is "yes," you're on the right path to identifying energy improvement goals that will
 align with your utility's objectives and plans.

 Also, you may want to check to see if your community has a Climate Change Action Plan
 (http://www.iclei.org/index.php?id=1387®ion=NA) and  coordinate  your activities with the municipal lead or
 committee that is implementing the plan.
 ©
CONSIDER THIS...
Ensure that your energy improvement goals align with and build on your current and/or planned utility
management programs and plans.
Session 1, Module 1                                                                                      12

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 MODULE 2:  Secure and Maintain  Management Commitment,  Involvement,
                  and Visibility
 Module Objective: To learn how to obtain and sustain management
 support for your energy improvement goals.

 One of the  most important steps  in planning energy improvement
 programs is to gain top management's commitment and support. It is
 critical that commitment and support comes from both local (municipal)
 leadership and your organization's top and middle management as well
 as the union leaders. In fact,  experience has shown  that public
 organizations who attempt to implement energy improvement programs
 without top  management support are unsuccessful.

 During your preliminary discussions with management, you'll want
 them to clarify their specific goals and expectations. Find out what really
 motivates decision makers. Is it cost savings? Avoiding rate increases?
 Other  pressures or aspirations?
                                                                 Remember
                                                                 Just like the rest of the employees,
                                                               I  senior managers will need training
                                                                 to  increase their awareness  and
                                                        understanding. Short, frequent sessions  that
                                                        address  managers'  concerns  and provide
                                                        examples of the benefits other utilities have
                                                        realized in energy improvement programs are
                                                        the most successful ways to keep management
                                                        up-to-date, interested, and involved.
 Confirm that senior managers at your utility understand:

        •  The implementation strategy and schedule you are using,

        •  The estimated direct labor commitment involved,

        •  When, how, and what to communicate to employees on a regular basis, and

        •  How your energy program aligns with current management plans and programs.



 Role of management:

        •  Demonstrate real commitment to  energy improvements,

        •  Provide appropriate responsibility and authority designations, and

        •  Ensure that operators are recognized for their efforts and contributions.
©
CONSIDER THIS...
Every organization implementing a new energy initiative or a management program has come to the same
conclusion about management—visibility, commitment, and involvement are the keys to success. Be sure your
energy improvement programs include regular and frequent dialogue with management. They are more likely
to stay visible and involved if they have regular updates about the benefits and improvements your energy
programs are providing your utility.
Session 1, Module 2
                                                                                              13

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 MODULE 3: Choose an  Energy  "Fenceline"
 Module Objective:To learn how to determine which operations and
 processes will be the focus of your energy improvement programs (i.e.,
 your "fenceline").

 You may not want to work on all energy opportunities in all buildings,
 locations, processes, and/or  operations at once.  Which ones should
 you work on first?

 Consider selecting one operation or department as an energy pilot,
 gaining confidence and  experience as you develop improvement
 programs. Personnel in the original fenceline can then become mentors,
 trainers, or leaders as new areas of the organization implement energy
 improvement programs.

 Example Energy Fencelines for Water and Wastewater Utilities:
 Water Supply or Wastewater Operations:
 * Collection

 • Treatment
 • Distribution
                                    Remember
                                    Remember the rule: keep it super
                                    simple  (KISS).    Starting  with
                              . . - -   smaller, more manageable operations
                         (or redundant operations),  then expanding and
                         transferring the lessons learned and knowledge to
                         other departments is an option for your utility and
                         a good way to build momentum.
Aspect of Operations:
• Pumping
• Sludge handling
• Heating, ventilation, air conditioning

  (all buildings or a subset of buildings)
• Lighting

  (all buildings or a subset of buildings)
Departments:
• Administration

• Electrical maintenance
• Structural maintenance
• Mechanical maintenance
 Once top management has confirmed the fenceline selection, it's time to pay a visit to the managers and supervisors in your
 energy fenceline divisions. You'll certainly want to include all types of employees (e.g., union stewards, contractors,
 temporary staff) in your discussions right from the start. The time you invest now in promoting awareness, understanding,
 and buy-in, especially among managers and supervisors, will be time saved later in the process.


 Questions to Consider When Selecting Your Fenceline:
 1)  Which of your operations consumes the most energy use and costs the most?

 2)  Which operations might get results that could be replicated to other operations?

 3)  Which of your operations has the most receptive management? Line supervisors? Employees?

 4)  Is there any place in the system where you are losing energy to gravity?

 5)  Where could you get some quick improvements and create success stories to share?
         CONSIDER THIS...
         Your energy improvement program scope or fenceline should be manageable so that people don't get
         overwhelmed or paralyzed, but noteworthy enough to document and build on success.
         The Fenceline Golden Rule: Don't bite off more than you can chew.
Session 1, Module 3
                                                              14

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 MODULE  4: Establish Energy Improvement Program  Leadership
 Module Objective: To establish effective leadership for energy improvement programs.
  "Leadership comes in many forms and at
  different times. Be prepared to jump on
  it when it raises its head. "

  Bob Bois
  Springvale Water Treatment Plant
  Natick, Massachusetts
Selecting an Energy Program Manager
For any initiative or program to be successful, you need a person who is
effective at leading projects, someone who can take the responsibility and
be  trusted with  the  authority  for  developing,  implementing, and
maintaining your energy improvement programs. This person must have
the designated authority from management to get the job done and have
a level of management authority themselves - this is pivotal to drive the
success of your energy programs.6
 You have all been members of a team at some point in time. You may also have
 been the leader of a project or team. Leading initiatives and programs requires:
        • Knowledge of operations,
        • Good project management, organizational, and communication skills,
        • Trust and respect of staff,
        • Commitment and enthusiasm, and
        • The ability to listen to others who have different perspectives and
          ideas.

 Your Energy Program Manager will assume new responsibilities in addition to
 existing ones. Be sure the Energy Program Manager and town and/or plant
 management understand the scope of the work, including the number of hours
 you expect will be involved. All will need to be willing at times to redistribute
 some responsibilities to others in the organization.

 In addition to typical project manager responsibilities, the Energy Program Manager will:
        • Build and lead the Energy Team,
        • Plan the project and implementation schedule,
        • Gather, organize, and disseminate information,
        • Delegate tasks and establish deadlines,
        • Facilitate top management visibility and involvement,
        • Obtain cross-functional support and buy-in, and
        • Regularly meet and communicate with top management
          about the benefits and status of implementation.
                                      TIP!
                                      An Energy Team can include
                                 'jg'  people from across your utility
                                      or municipal departments (e.g.,
                                engineering, finance, human resources,
                                operations,    municipal   electric
                                department, etc.) and include members
                                from all  levels of the organization.
                                Members can even be pulled in from
                                operations outside the scope of the
                                fenceline. If your municipality already
                                has an energy team  or committee,
                                connect with them.
                                   Remember
                                   Your water or  wastewater utility
                                   may already have managers and
                              _.,-'  staff that understand energy issues
                                   and are leaders in managing teams
                          and programs. It is extremely beneficial to have
                          senior management designate one or two people
                          from these  groups  to become  leaders in
                          developing  and  managing   your  energy
                          programs.
6 -  To review a useful guide on team building from King County, WA, follow this link: (http://www.resourcesaver.com/file/toolmanager/CustomO73C230F53915.pdf)
Session 1, Module 4
                                                                 15

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 Apply Your Knowledge
 Sit down with your Energy Team and fill out the table below to identify and document energy programs and information
 that your utility has implemented.
 Worksheet of Previously Implemented and Planned Energy Improvement Projects
 Energy Use    Projects
               Results    Who did you   Were there     Current
            How will
             completed    ($, gallons,   communicate  associated   activities in  you measure
                           kWh,
                        normalized if
                          possible)
                         results to?
Who could   What SOPs,
   you      training and
                                      training,
                                      records?
planning     results?    communicate  records will
                       results to?   be needed?
  o
CONSIDER THIS...
Your energy improvement program scope or fenceline should be significant enough to document success
and build on that success and momentum, but manageable enough that people don't get overwhelmed or
paralyzed.  It's important to keep things moving, so remember to remain flexible and fluid. Keep it super
simple. The management system approach relies on checking and acting to continually review your work,
so there will be many opportunities along the way to make improvements and course corrections.
Session 1, Module 4
                                                                                              16

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  MODULE 5:  Secure  and  Maintain Employee Buy-In
 Module Objective: Establish employee buy-in for your energy improvement programs.
 The same methods that you used for gaining management support can be
 applied to gaining employee buy-in.

 Get key employees involved early and often.  It's important to get
 employee support from the beginning through ongoing, consistent, and
 open dialogue. Employees should understand what the organization
 wants to accomplish through its energy improvement programs. This
 can go a long way toward gaining support and answering the questions
 "what's in it for me" and "what will be required of me?" Communicate
 and ask employees for their interests and concerns during the planning
 stages and throughout implementation.

 Ultimately,  your organization will want to institutionalize energy
 conservation, efficiency, and energy renewable efforts and create an
 atmosphere or culture where looking for energy improvement opportunities becomes business as usual.
                                                           J__i^     Remember
                                                             J t / ,   Involving a  cross section of
                                                            ,  *UJ^   employees from  departments
                                                              -__-    across the organization early in
                                                          program  planning is  the  best  way to
                                                          promote short and long-term commitment
                                                          throughout the organization. Plus, it's a
                                                          great way to gain support and ensure buy-
                                                          in for your energy improvement programs
                                                          and the management system that supports
                                                          them.
 "It is important to identify how each
person's fulfillment of their individual role
connects to the utility's ability to realize the
overall goals of the program. It is critical
that everyone understands why it is
important for them to do things in a certain
way and how that contributes to the utility's
overall success.  That, I have found, is the
best way to get employee buy-in,  because
they take ownership in the process. "

Andy Kricun
Camden County Municipal Utility Authority
Camden, New Jersey
                                 Ideas for building a team approach and involving employees from the
                                 very beginning include:
                                  • Holding a kick-off meeting and inviting top management (this
                                    helps everyone see this effort as a priority).
                                  • Talking this effort up with employees, union stewards,
                                    middle managers, 2nd shifters, etc.
                                  • Spending time talking with your operators and plant staff.
                                  • Having one-on-one conversations with team members can
                                    identify their needs, concerns, and problem areas.
                                  • Asking employees on the front-line what changes they might like to
                                    see in their operations as a result of this effort.
                                  • Posting signs and information on bulletin boards in lunch-rooms and
                                    near coffee and copy machines to familiarize staff with energy issues.
                                  • Advertising early successes to keep management and employees
                                    aware and interested.
o
CONSIDER THIS...
Employee dialogue, buy-in, and involvement will help ensure that your efforts to improve energy efficiency are
realistic, practical, and add value.
 Session 1, Module 5
                                                                                               17

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 MODULE 6: Communicate  Results
 Module Objective: To learn effective ways to communicate your energy improvement goals.
  "It's important to be flexible, to listen,
 and adapt to the needs of staff and the
 organization. "

 Bob Bois
 Springvale Water Treatment Plant
 Natick, Massachusetts
                                People are too often hesitant to communicate the status of an effort until
                                something "big" happens or they have achieved huge results. Make the
                                time  to  communicate the  status of the efforts to  develop energy
                                improvement programs, including small milestones, quick updates, or
                                findings.   As  an example, the Energy Team could package and
                                communicate its initial inventory of energy projects (from the exercise on
                                page 16) and use the communication as an opportunity to confirm that
                                all current projects have been captured.

                                Mark your calendar to make sure that you are communicating something
                                every month at a minimum, and preferably twice a month.
 o
CONSIDER THIS...
Communicate your energy improvement goals frequently with staff. This will help ensure involvement and
buy-in to your goals.
 Session 1 Resources & Tools
 Public Entity EMS Resource Center: http://www.peercenter.net
 EMS Handbook for Wastewater Utilities: http://www.peercenter.net/ewebeditpro/items/OllF10698.pdf
 ENERGY STAR Challenge Toolkit: http://www.energystar.gov/index.cfm?c=implement plan.communication plan
 Moving to the Next Session  •    •
 In Getting Ready, you developed the key to early success for any energy program initiative: identification and alignment
 of goals with your utility's or municipality's overall management strategy.  Frequent communication and involvement
 of management and staff builds credibility and ensures senior management visibility and commitment throughout the
 program. Having established a communications process should ensure that the team will be getting feedback and
 continued resources to do its job.

 In the next Session, the Energy Team, with the help of utility staff, will begin to determine your utility's current energy
 program status by benchmarking your utility and conducting an energy audit and compliance review to baseline data.
Session 1, Module 6
                                                                                               18

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 SESSION  2:  Assessing Current Energy  Baseline Status
 Before identifying areas for improvement, a water or wastewater utility
 will need to understand its current energy management programs, energy
 consumption, and its compliance with relevant regulations.
 Key questions that will have to be answered include:
        •  How much energy is currently used overall for each process
          and what are the associated costs?
        •  How does your utility compare to the typical energy
          consumption for similar facilities?
        •  Do emissions from direct energy use fall within the permitted
          amounts?
        •  What other legal requirements related to energy
          (e.g., emissions) should be considered?
 A baseline energy evaluation is the central element used for assessing your
 energy consumption status. You may have already conducted energy
 audits in the past. If so, you will be familiar with the process and should
 already have a good amount of data.
 To successfully  implement programs to  improve energy efficiency,
 conservation and the use of alternative or renewable sources of energy,
 you will need to:
        1. Benchmark energy efficiency information
              Step 1) Collect baseline data
              Step 2) Track monthly and annual energy use
        2. Conduct an energy assessment or baseline evaluation
              Step 3) Conduct a field investigation
              Step 4) Create equipment inventory and distribution
                     of demand andenergy
        3. Review legal and other requirements and establish a
          compliance baseline
 Let's first  review a few key terms that will help you as you conduct the
 energy audit.
 Baseline Data: The starting point from which to track the achievement of
 an energy improvement target. By establishing "normalized" baselines,
 you can accurately measure how your utility's energy management and
 consumption change over time due to seasonal and other variations. This
 is particularly important since energy consumption may be affected by
 changes in production, flow, load, weather, or other related factors.
 For example, if you were measuring energy consumed for your facility's
 HVAC system, you  might want to establish a weather-normalized
 baseline because the energy demand of this system will depend on the
 amount of heating or cooling needed.  The ENERGY STAR benchmarking
 tool described on the subsequent pages does this automatically.
              Plan
       Keys to Success
0  What gets measured gets
    managed
0  Keep data organized
0  Ensure consistent units and
    timeframes
0  Be creative in assessing
    processes and potential
    changes
0  Focus on the biggest
    opportunities first
0  Be ready to move on or
    estimate if data doesn't exist
    or can't be readily obtained
Session 2
                                  19

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 For pumps and other treatment equipment, consider comparing your energy
 use per million gallons of water treated to normalize your data.

 For more information on normalizing  data, review  EPA's Choosing a
 Normalizing Factor Basis and Performance Track's Normalization Guidance
 (http://www.epa.gov/perftrac/apps/nornializationMm).

 Design Specifications: A pump, fan, motor, or other system is designed to
 draw a given amount of electricity and do a corresponding amount of work.
 Design specifications provide this information. By comparing the power
 draw and the actual performance to the design specifications, you can see if
 your system is working as it should.

 Energy Conservation: A  general term for measures  to  reduce energy
 consumption. Energy efficiency, most often used to mean achieving the same
 results with less energy or getting the most out of every watt includes many
 types of technologies.  Other types of energy conservation measures might
 include eliminating or changing certain processes or behavioral changes that
 do not involve a technology solution (e.g., turning off lights).

 Energy Audit: A procedure undertaken to assess the current energy
 performance and to identify opportunities for energy savings. An equipment
 audit focuses on one type  of system, such as pumps, HVAC systems, or
 lighting.  A process audit  refers to wastewater  treatment processes  and
 focuses on either one  sub-set (such as aeration) or the overall treatment
 process. A walk-though audit provides an initial and very general overview
 of opportunities.

 Intermittent Process: Many systems and processes do not run continuously
 but rather only at specific times.  In some cases, processes can be scheduled
 to run during the night-time hours when grid power demand is low.

 Load Profile: A variation of your energy demand over time that can be used
 to plan how much power a facility will need to generate at any given time.
 While most end users consume more power during the daytime, some users
 such as water utilities can shift high-energy demand processes to off-peak
 hours.
Session 2

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 MODULE 1:  Benchmark Energy Efficiency Information

 Module Objective: To compare your energy performance to similar utilities.

 Information on comparable wastewater treatment utilities is likely to be available through ENERGY STAR's Benchmarking
 Tool (see text box).  Local utilities of similar size and design are excellent points of comparison. Broadening the search,
 one can find several resources discussing the "typical" energy consumption across the U.S. for a water or wastewater
 utility of a particular size and design.
 Some utilities will have an inherently higher or lower energy
 demand due to factors beyond their control.  For example, larger
 plants will, in general, have a lower energy demand per million
 gallons treated due to economies of scale.  A plant that is large
 relative to its typical load is going to have a higher energy demand
 per million gallons treated. Some secondary treatment processes
 require   greater  energy  consumption  than  others.    Still,
 benchmarking allows a rough estimate of the  utility's  relative
 energy performance.  Benchmarking of individual components is
 also useful.  A survey of one's  peers may identify what level of
 performance can realistically be expected from,  say, a combined
 heat and power system or a specific model of methane-fueled
 microturbine.

 Apply Your Knowledge
 Using EPA's Portfolio Manager, track energy use over time and
 compare your utility to others in your region and across the nation.
 EPA's energy  performance rating, which is accessible online
 through  Portfolio  Manager  (see below), will  rate the energy
 efficiency of your wastewater treatment plant on a scale from 1 to
 100. EPA's energy performance rating is normalized for location
 and the impacts of year-to-year weather variations.  The rating
 system also allows you to  manage facility flow rate, level  of
 treatment, and other operating characteristics.

 In addition to tracking and rating energy use, Portfolio Manager
 allows you to measure and track energy costs and carbon emissions
 associated with the operation of your plant over time.
 Available Resources  for
 Benchmarking

• The ENERGY STAR program,
  administered by the U.S. Environmental
  Protection Agency (EPA) has developed an
  Energy Benchmarking Tool for Wastewater
  Utilities along with a series of Best
  Practices. These are available at
  www.energystar.gov/benchmark. For water
  utilities, the ability to measure and track
  energy use, energy cost, and carbon
  emission and corresponding reductions will
  be available in 2008.

• Several reports on wastewater utility
  energy demand have been developed for
  the California Energy Commission
  (http://www.energy.ca.gov/process/water/).

• The American Water Works Association
  (AWWA) Research Foundation has also
  developed a guide to Best Practices for
  Energy Management
  (http: //www. awwarf. org/res earch/topic sand
  projects/exec Sum/262 IB.aspx).
        Establish a user account in Portfolio Manager
        • Go to http://www.energystar.gov/benchmark and login. If you do not already have a
          user account in Portfolio Manager, click the New User link on the login page and follow the instructions.
        • Portfolio Manager allows you to import facility data into Portfolio Manager using a downloadable Excel
          template. This minimizes manual data entry of large sets of facility data. This Excel-based upload template
          (sample next page) is also useful as you gather and track your monthly energy use and costs. After
          downloading the import template, carefully review the instructions as well as the Tips for a Successful
          Import.  Make sure your data is complete, particularly with regard to data that is required by Portfolio Manager
          for rating purposes. When you have populated the import template, send it to buildings@energystar.gov and
          upon  review, your data will be uploaded into your account.
        • To allow other organizations access to your portfolio with either read-only or administrative rights, you can
          share facility access with your Portfolio Manager account.

        ENERGY STAR Criteria for Operating Characteristics for Wastewater Treatment Plant Requirements
        •  Average daily wastewater flow in MGD > 0.6
        •  Average influent BODS (biological oxygen demand) level 30 < mg/liter < 1000
        •  Average effluent BODS (mg/liter) level > 0
Session 2, Module 1

-------
 The template below provides an example of energy data from a wastewater utility that can be uploaded and tracked using
 the Portfolio Manager tool.

 Sample Portfolio Manager Upload Template
Facility Name Energy Meter Energy Type Start Date End Date Energy Energy Cost
ID Consumption
Wastewater
Wastewater
Wastewater
Wastewater
Wastewater
Wastewater
Wastewater
Wastewater
Wastewater
E223-455
E223-455
E223-455
E223-455
E223-455
E223-455
E223-455
E223-455
E223-455
Electricity
Electricity
Electricity
Electricity
Electricity
Electricity
Electricity
Electricity
Electricity
2/1/2007
1/1/2007
12/1/2006
11/1/2006
10/1/2006
9/1/2006
8/1/2006
7/1/2006
6/1/2006
2/28/2007
1/31/2007
12/31/2006
11/30/2006
10/31/2006
9/30/2006
8/31/2006
7/31/2006
6/30/2006
83,489 kWh
83,826 kWh
83,456 kWh
83,623 kWh
83,51 8 kWh
83,794 kWh
83,725 kWh
83,676 kWh
80,942 kWh
$3,520
$3,580
$3,485
$3,259
$3,325
$3,450
$3,440
$3,250
$3,350
  o
CONSIDER THIS...
Benchmarking can be useful, but no two utilities are ever exactly the same. You'll have some
characteristics that affect your relative performance and are beyond a utility's control.
 STEP 1:  Collect Baseline Data
 Step Objective:  To learn how to identify, locate, and assemble the
 information that can help you determine what you'll need to improve
 your energy performance.

 The first step in collecting baseline data for your utility is to determine
 what data you already have available. At a minimum, have one full year
 of monthly data for consumption of electricity, natural gas, and other
 fuels - if you can get three years of data, even better. However, if you
 don't have data going this far back, use what you have or can easily
 collect. In addition, if you can get the data at daily or hourly intervals,
 you may be able to identify a wider range of energy opportunities.
                                                                  Remember

                                                                  ENERGY  STAR'S   Portfolio
                                                                  Manager can help your water or
                                                            .,,_."'   wastewater treatment plant track
                                                                  and  assess energy consumption
                                                         across  your entire utility. Follow this link
                                                         (http ://www. energystar. gov/ia/business/govern
                                                         ment/wastewater_fs.pdf) to view an ENERGY
                                                         STAR  Water and Wastewater Focus  Fact
                                                         Sheet.
Session 2, Module 1
                                                                                               22

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 STEP 1 Continued...

 Here are several data  elements  to document and track for your utility in order to review energy improvement
 opportunities.
        • Water and/or wastewater flows are key to determining
          your  energy performance per gallon treated. For drinking
          water, the distance of travel and number of pumps are
          also key factors.
        • Electricity data includes overall electricity consumption
           (kWh) as well as peak demand (kW) and load profiles if
          available.
        • Other energy data includes purchases of diesel fuel, natural
           gas, or other energy sources including renewables.
        • Design specifications can help you identify how much
          energy a given process or piece of equipment should be
          using.
        • Operating schedules for intermittent processes will help
          you make sense of your load profile and possibly plan an
          energy-saving or cost-saving alternative.

 Keep in mind that energy units may vary. For example, captured methane or
 purchased natural gas may be measured  in 100 cubic feet (Ccf)  or millions of
 British Thermal Units (MMBTU).  Develop  a table like the one below to
 document and track your data needs.
Data Need Units
Wastewater flow
Electricity consumption
Peak demand
*
Methane capture
Microturbine generation
Natural gas consumed
Fuel oil consumed
Diesel fuel consumed
Design specifications
Operating schedules
* *
Grease trap waste collected
Other (based on your utility)
MGD
kWh
kW
MMBTU
kWh
MMBTU
Gallons
Gallons
N/A
N/A
Gallons
TBD
Tools to Collect
Baseline Data
There are many software programs
for energy tracking (also known as
utility management, energy
accounting, or utility accounting).
Some of these programs can accept
automatic data entry directly from
your utility. ENERGY STAR
Portfolio Manager is useful not only
for tracking your energy data, but
also for comparing to similar
facilities.

Remember your existing accounting
system may already be tracking
energy costs.
                                                                              Remember
                                                                              Keep units consistent!
 Note:
 * Methane capture will apply only to plants that digest their sludge.
 * * Collecting this type of data may provide you with a future renewable fuel source that could serve as a potential feedstock for biodiesel
 and some locations can use it to generate electricity on site.
Session 2, Module 1
                                 23

-------
 STEP 1 Continued...


 Consider any other quantities that you'll want to measure.  Is there anything you would add to the list on the previous
 page? Select units that your Energy Team is comfortable with and that your data is typically available in. If the data is
 reported using the wrong units, you may have some conflicting or confusing results.

 Units by themselves are not that informative; to be placed in proper context, they need to be associated with an interval
 of time. Therefore, for the next step add another column to your table: "Desired Frequency of Data."

 Remember, while knowing your utility's energy consumption per month is useful, knowing it in kWh per day is better.
 With hourly consumption data, you can develop a "load profile" or a breakdown of your energy demand during the day.
 If your load profile is relatively flat, or if your energy demand is greater in the off-peak hours (overnight and early
 morning) than in the peak hours (daytime and early evening), your utility may qualify for special pricing plans from your
 energy provider.

 Typically, water and wastewater utilities have a predictable diurnal variation. Usage is most heavy during the early
 morning, lags during the afternoon, has a second, less intensive peak in the early evening, and hits the lowest point
 overnight. Normally, energy use for water and wastewater utilities could be expected to follow a pattern of water flows.
 However, this effect can be delayed by the travel time from the sources, through the collection system, to the plant, or by
 storage tanks within the distribution system to customers.  A larger system will have varying travel times, whereas a
 smaller system will have lower variability. Moreover, this effect can be totally eliminated if the plant has an equalization
 tank.
 If your utility is paying a great deal of money for peak demand charges, you might consider the capital investment of an
 equalization tank.  Demand charges can be significant for wastewater utilities, as they are generally about 25% of the
 utility's electricity bill.7

 Adding a column for Desired Frequency of Data, the updated table would look like this:
Data Need Units Desired Frequency of Data
Wastewater flow
Electricity consumption
Peak demand
Methane capture
Microturbine generation
Natural gas consumed
Fuel oil consumed
Diesel fuel consumed
Design specifications
Operating schedules
Million gallons
kWh
kW
MMBTU
kWh
MMBTU
Gallons
Gallons
N/A
N/A
Daily
Hourly if possible or daily if not
Monthly (if electric utility bills for peak monthly
demand)
Monthly
Monthly
Monthly
Monthly
Monthly
N/A
N/A
 7- Water Environment Federation (1997), Energy Conservation in Wastewater Treatment Facilities, Water Environment Federation, Manual of Practice No. MFD-2, Alexandria,
   VA.
Session 2, Module 1
24

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 STEP 1 Continued...
 Next, determine how you will collect baseline data. Energy data is recorded by your energy provider (e.g. electric utility,
 natural gas utility, or heating oil company). A monthly energy bill contains the total consumption for that month, as well
 as the peak demand. In some cases, your local utilities will record the demand on every meter for every fifteen-minute
 interval of the year. Similar data may be available if you have a system at your utility that monitors energy performance.
 Sources of energy data include the following:

        •  Monthly energy bills vary in detail but all contain the most essential elements. The scope of the
           analysis is in this case limited to a collection of one or more meters. If different systems are all on one
           meter, the fenceline must be defined to include all of the systems.

        •  The energy provider may be able  to provide more detailed information. It will still be limited to
           meters (and not broken out by sub-systems behind the meters), but it may include greater resolution of
           hourly or quarter-hourly energy demand.

        •  An energy management program (e.g., Supervisory Control and Data Acquisition - SCAD A)
           automatically tracks energy data, often with sub-meters to identify the load on individual components. If such
           a system is in place at your utility, you will have a large and detailed data set on hand.
 Other data needs may also have a range of sources. Design specifications for equipment may be in manuals at your utility
 but you may still need to contact the manufacturers for specific items. Add a column for "Data Source" and "Availability"
 in your table.

 Your energy provider can, in addition to providing raw data, offer you extensive expertise on energy-saving technologies,
 practices,  and programs as well as contractors who  can help you  implement certain types of improvements.  It is
 recommended that you meet early and often with your energy provider as you seek to improve your energy performance.

 Example
 Suppose that your utility has readily accessible data for its wastewater flow, microturbine generation, most of its design
 specifications, and its operating schedules. The Energy Team has a contact at the electric utility that can provide detailed
 information on electricity consumption and demand as well as a contact at the natural gas utility. No heating oil is used
 and diesel fuel consumption is negligible so these rows are removed.  However, the utility doesn't have a reliable record
 of exactly how much methane is captured by its  system. In this example, the table will look as follows.
Data Need Units Desired Frequency of Data Source Availability of Data
Data
Wastewater flow
Electricity consumption
Peak demand
Methane capture
Microturbine generation
Natural gas consumed
Design specifications
Operating schedules
Million gallons
kWh
kW
MMBTU
kWh
MMBTU
N/A
N/A
Daily
Hourly if possible, daily if
not
Monthly (if electric utility
bills for peak monthly
demand)
Monthly
Monthly
Monthly
N/A
N/A
Pump records
Electric utility and SCADA
Electric utility
Plant
Meter attached to unit
Natural gas utility
Equipment manuals,
nameplate ratings
Plant handbook
On-hand
Contact at utility
Contact at utility
Internal
On-hand
Contact at utility
Most on-hand, some will
have to contact
manufacturer
On-hand
Session 2, Module 1
25

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 STEP 1 Continued...
 Without data on methane capture however, the utility will be unable to determine the microturbine's efficiency. They'll
 know how much electricity is produced but not how much fuel goes into the system in the form of methane. Although
 this calculation may be important, you can revisit it at a later time, when more data becomes available.

 Normalized Baselines
 Remember, to accurately measure how your utility performance is changing over time, establish "normalized" baselines
 where appropriate. Normalized baselines will measure your energy performance changes rather than changes in
 production, customer demand, or other non-environmental related factors.

 Utility Case Study: Village of Essex Junction Wastewater Treatment Facility (Appendix A)
 The Village of Essex Junction, Vermont, with the support of  Efficiency Vermont, has successfully implemented
 microturbine technology at its 2.0 million gallons per day (MGD) average-flow, municipal wastewater treatment facility,
 and has firsthand information on its financial benefits. To review more information on how Essex Junction reduced energy
 and achieved cost savings from installing two microturbines at their 2.0 MGD wastewater utility, go to Appendix A.

 Apply Your Knowledge
 Develop energy baseline data using the blank tables in Appendix B. Consider your list of data needs. Where will you look
 to find the information you need? Is the data readily available or will you have to do some digging?

 Once the data collection has been completed, your Energy Team will develop a final table, changing "Desired Frequency
 of Data" to "Frequency of Data." Also, since all of the data is now on-hand, you can remove the "Accessibility" column
 and our example table would look like this.
Data Need Units Frequency of Data Source
Wastewater flow
Electricity consumption
Peak demand
Methane capture
Microturbine generation
Natural gas consumed
Design specifications
Operating schedules
Million gallons
kWh
kW
MMBTU
kWh
MMBTU
N/A
N/A
Daily
Hourly
Monthly
Monthly
Monthly
Monthly
N/A
N/A
Pump records
Electric utility
Electric utility
New gas meter attached to unit
Electric meter attached to unit
Natural gas utility
Equipment manuals, nameplate
ratings
Plant handbook
 o
CONSIDER THIS...
More information can be helpful, but only to a point. Keep your data organized and don't get overwhelmed
or stuck looking for minor details. Be ready to move on and estimate if data doesn't exist or can't be easily
obtained. Remember that the systems that use the most energy will have the greatest impact on your baseline
and often have the greatest potential for energy savings.
Session 2, Module 1
                                                                                              26

-------
 STEP 2: Track Monthly and Annual Energy Use

 Step Objective: To learn how to conduct a preliminary analysis to look for trends in energy data.

 Now that you have your data, take a look at it and see what patterns emerge. Determine the energy demand per gallon
 of water or wastewater treated and see if this has changed over the baseline period.  If you have annual energy
 consumption data for the last few years, then that can be analyzed for trends as well. Are there changes attributable to the
 replacement or installation of some piece of equipment? Are there seasonal variations in energy demand and in energy
 cost? What about daily variations?

 Putting the data into graphical form may help your utility perceive any trends and may be particularly helpful for
 presenting results to those outside of the Energy Team. Make one graph of average daily energy consumption over time
 and one graph of energy consumption per gallon of water or wastewater treated. You may also want to make a third graph
 of energy costs over time, including purchased fuels as well as electricity. In addition, if greenhouse gas emissions (GHG)
 are a consideration for your utility or municipality, you may want to take this time to track your energy-related GHG
 emissions (direct emissions from fuel use and indirect emissions from energy).

 Below is an example table indicating how you can track your monthly energy consumption. You can measure energy
 usage in kWh per day or kWh per month; just remember to be consistent.  Consider using the same time unit as you use
 for treated water or wastewater flow so that you can see your energy demand per gallon treated. In the tables below, days
 are used as the increment.
   2006 Energy
   Consumption
  Average Daily
Consumption (kWh)
Peak Demand (kW)
Cost (cVkWh)
Daily Flow (million gallons)
January
February
March
April
May
June
July
August
September
October
November
December
















































Session 2, Module 1
                                                                                      27

-------
 STEP 2 Continued...

 Apply Your Knowledge
 Use the table on the previous page - or a similar one based on your needs - to document and track the monthly and
 annual energy use at your utility.

 You may also wish to track overall energy demand per gallon of water or wastewater treated, especially if non-electricity
 energy sources such as natural gas play a significant role in your treatment process.  In this case, you will need a metric
 that allows you to combine electricity and natural gas into a single measurement. Cost (in dollars) is one option, but cost
 is heavily influenced by external market forces.  Energy can be expressed in scientific units, such as megajoules (MJ) or
 British Thermal Units  (BTU), and it is possible to convert electricity, natural gas, and other fuel consumption into these
 units. Alternatively, you can track each energy source separately. Be advised that this may give a misleading picture of
 energy performance if you changed from one energy source to another such as replacing a natural gas heating system with
 a ground-source heat pump powered by electricity).8

 If you have the data, tracking annual energy consumption can show long-term trends. Here is an example tracking table.
Year Average Daily Consumption Peak Demand (kW) Cost (6/kWh in 2007) Daily Flow (million gallons)
(kWh)
2000
2001
2002
2003
2004
2005
2006




























  o
CONSIDER THIS...
Look for unusual trends in energy data and seek explanations.9 Rising energy expenditures may be due to
rising electricity prices, increased water flow, unusually cold winters, or equipment failures.  All of which
can decrease your energy efficiency. Present your results in a way that conveys an explanation. In addition,
remember that specific analysis of energy and energy-related data is a key activity in developing an effective
energy management program.
  8 - The Portfolio Manager tool will accept any unit and produce a normalized energy source intensity figure in kbtu/million gallons.
  9- ENERGY STAR'S Benchmarking tool will use zip code and weather data to normalize for heating and cooling degree days.
Session 2, Module 1
                                                                                                  28

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 MODULE 2:  Conduct an Energy Assessment or Baseline Audit

 Module Objective: To learn the basics of conducting an energy audit.

 The energy audit is an essential step in energy conservation and energy management efforts. Your utility or municipality
 may have had an energy audit or energy program review conducted at some point. If so, find the final report and have
 your Energy Team review it. How long did the process take? Who participated in it—your team, the electric utility,
 independent contractors?  What measures were suggested to improve energy efficiency? What measures were actually
 implemented and  did they meet expectations? Were there lessons learned from the process that should be applied to
 future audits? In addition, if your facility's previous energy audit had recommended measures, determine if they are still
 viable.

 In many cases, electric utilities offer audits as part  of their energy conservation programs.  Independent energy service
 companies also provide these services. An outside review from an electric utility or an engineering company can provide
 useful input but it  is important to ensure that any third party is familiar with water and wastewater systems.

 Some energy audits focus on specific types of equipment such as lighting, HVAC, or pumps. Others look at the processes
 used and take a more systematic approach.  Audits focused on individual components, as well as in-depth process audits,
 will include testing equipment. For example, in conducting the baseline energy audit, the Energy Team may compare the
 nameplate efficiency of a motor or pump to its actual efficiency.

 In a process approach, a preliminary walk-through audit is often used as a first step to determine if there are likely to be
 opportunities to save energy. If such opportunities exist, then a detailed process audit is conducted. This may include
 auditing the performance of the individual components as well as considering how they work together as a whole. Much
 like an environmental management system initial  assessment that reviews current status of regulatory requirements,
 training, communication, operating conditions, and  current practices and processes, a preliminary energy audit or energy
 program review will provide your utility with a baseline of what your energy consumption is at that point in time.

 Once you have collected your utility's baseline data  and tracked monthly and annual energy use, there are two additional
 steps to completing your energy assessment or baseline energy audit:
 Step 3) Conduct a  Field Investigation
 Step 4) Create an Equipment Inventory and Distribution of Demand and Energy
 For Your Information
 States often maintain programs to assist municipalities and local agencies with energy management. For example, the
 Massachusetts Division of Energy Resources (DOER) has an Energy Audit Program to support municipal wastewater
 districts. The Audit Program provides each project participant with a list of energy conservation projects, their costs, and
 estimated  energy   savings.  For  more  information,  visit  DOER's  Energy  Grant  informational  website  at
 http://www.mass.gov/doer/pub info/grant-eap.pdf).
 Several other states have similar programs. California has had remarkable success in funding energy audits at municipal
 wastewater utilities. For example, an energy audit of the Eureka, California water and wastewater system cost the state
 $15,800 and the identified capital  improvements cost $56,800. However, the annual savings were $91,900 and the
 improvements reduced the city's electricity bill by 34% .10

 At the federal level, the U.S. Department of Energy offers free 1-day walkthroughs for smaller facilities through its Save
 Energy Now Program (http://wwwl.eere.energy.gov/industry/saveenergynow).
10 - California Energy Commission (1990), The Second Report to the Legislature on Programs Funded Through Senate Bill 880, Sacramento, CA, cited in Water Environment
   Federation (1997), Energy Conservation in Wastewater Treatment Facilities, Water Environment Federation, Manual of Practice No. MFD-2, Alexandria, VA.

-------
 STEP 3: Conduct a Field Investigation
 The field investigation is the heart of an energy audit. It will include obtaining information for an equipment inventory,
 discussing process operations with the individuals responsible for each operation, discussing the impacts of specific energy
 conservation ideas, soliciting ideas from your Energy Team, and identifying the energy profiles of individual system
 components.  The Electric Power Research Institute (EPRI) recommends evaluating how each process or piece of
 equipment could otherwise be used. For example, it might be possible for a given system to be replaced or complemented
 for normal operation by one of lower capacity; to run fewer hours; to run during off-peak hours; to employ a variable speed
 drive; and/or to be replaced by a newer or more efficient system. Depending on the situation, one or more of these
 changes might be appropriate.
 STEP 4: Create Equipment Inventory and Distribution of Demand and Energy
 This is a record of your facility's equipment, equipment names, nameplate horsepower (if applicable), hours of operation
 per year, measured power consumption, and total kilowatt-hours (kWh) of electrical consumption per year. Other criteria
 such as age may also be included.  In  addition, different data may be appropriate for other types of systems such as
 methane-fired combined heat and power systems.
 You may find that you already have much of this information in your maintenance management system (if applicable).
 A detailed approach for developing an equipment inventory and identifying  the  energy demand of each piece of
 equipment is provided in the 1997 book Energy Conservation in Wastewater Treatment Facilities: Manual of Practice No, MFD-
 2, Water Environment Federation. The basics are presented here, but readers are encouraged to review the Manual of Practice
 for a more thorough explanation.
 Example utility equipment inventories  and the relevant energy data to collect could include the following.

        Motors and Related Equipment
        •  Start at each motor control center (MCC) and itemize each piece of equipment in order as listed on the MCC.
        •  Itemize all electric meters on MCCs and local control panels.
        •  Have a qualified electrician check the power draw of each major piece of equipment.

        Pumps
        •  From the equipment manufacturer's literature, determine the pump's power ratio
           (this may be expressed in kW/mgd).
        •  Multiply horsepower by 0.746 to obtain kilowatts.
        •  Compare the manufacturer's data with field-obtained data.

        Aeration Equipment
        •  Power draw of aeration equipment is difficult to estimate and should be measured.
        •  Measure aspects related to biological oxygen demand (BOD) loading, food-to-microorganism ratio, and
          oxygen-transfer efficiency (OTE). Note that OTE levels depend on type and condition of aeration equipment.
          Actual OTE levels are often considerably lower than described in the literature or in manufacturers' materials.
Session 2, Module 2

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   STEP 4 Continued...
  Below is an equipment inventory example for pumps:
Pump Designation Installed Nameplate Rating Hours of Operation Measured Power kWh per Year
Per Year Consumption
Pump#1
Pump #2
Pump #3
Pump #4
1992
1994
1995
2002
200 horsepower
150 horsepower
80 horsepower
40 horsepower
2,000
4,000
4,000
5,000
200 kW
120 kW
70 kW
32 kW
400,000
480,000
280,000
160,000
  Utility Case Study: Camden County (New Jersey) Municipal Utilities Authority (CCMUA)
  By carefully reviewing their plant operations, the CCMUA developed a computerized system that shaved the peaks by
  avoiding simultaneous use of energy-intensive process units and staggering the use, thereby minimizing the peak charge
  from the energy company.
  Apply Your Knowledge
  Using the table above as an example, complete equipment inventory
  worksheets for your utility using  the blank  equipment inventory
  worksheets (or similar ones based on your needs) in Appendix C.

  Although you can use the inventory worksheets in Appendix C, in practice,
  you might find that you use several different types of inventory methods,
  depending on the types of equipment that you are examining. Try to look
  at each process or piece of equipment from a fresh perspective. Why is
  each process run a certain way? Is it a stated requirement? Is it the best
  way? Is it just tradition? Consider how processes interact with each other
  and look at the overall system.  Also, consider having a third party (e.g.,
  local energy utility) work with the Energy Team as you conduct your field
  investigation  for  a  fresh  perspective  and review of  your  energy
  consumption and management.

  Resources & Tools
  New England Power Pool (NEPOOL) has the emission factors for the New
  England  grid.  The  2005  report is available  at:  http://www.iso-
  ne.com/genrtion resrcs/reports/emission/2005 mea report.pdf.  Check
  your states website for information related to your locality.
           Remember
       /•'.  Determining your utility's carbon
  ,' <*js"}  footprint is also  a method of
   •-	   establishing a baseline.  Carbon
          emissions are affected  by energy
consumption (electricity, natural gas, and fuel
oil) as  well as by process emissions such as
methane. If your municipality or state requires
you to participate in a determination of a carbon
footprint or if you  have a goal of reducing
greenhouse gas emissions, you may need to
know   some  conversion  factors.    Your
municipality or state should be able  to tell you
what sort of methodology they  use to assess
emissions from electricity. Marginal emissions
factors  consider what sort of resource will be
dispatched to meet increased load or cut back to
respond to  decreased  load.   Grid average
emission factors assign an equal portion of the
overall  emissions to each kWh consumed.11
11 - ENERGY STAR'S Benchmarking Tool will give estimates of reduction of CO2 usage based on national averages but won't provide an initial baseline.
 Session 2, Module 2
                                      31

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 MODULE 3: Review Legal and Other Requirements and  Establish  a Compliance
                 Baseline

 Module Objective: To identify legal and other requirements that affect your operations and your compliance status.
 There are additional metrics for a utility to review besides what has been covered thus far. One of the most important
 aspects is compliance with legal and other requirements.  While this is a fundamental goal for any utility, these
 requirements can also significantly affect the nature and scope of your energy management program.
 What are the requirements that utilities must follow?  A few examples are:
        • Attaining a certain quality of discharged effluent or treated water,
        • Maintaining a stated degree of reliability,
        • Having capacity to handle unusually large flows or demands,
        • Ensuring worker safety,
        • Environmental monitoring and reporting and documenting compliance, and
        • Limiting air pollutant emissions based on permitted amounts.
 Municipalities could apply additional ("other") requirements, such as:
        • Limiting growth in costs of energy, chemicals, and/or labor,
        • Enacting load reductions during times of peak power demand (since grid reliability is a concern), and
        • Limiting or reducing greenhouse gas emissions (direct and indirect).

 Apply Your Knowledge
 Make a list of your most relevant requirements. Then, for each one, ask the following:
        • What is required of our facility?
        • What agency or entity has enacted this requirement?
        • Is our understanding of this requirement current and accurate?
        • Do the relevant agencies consider our utility to be fully in compliance?
        • Do we consider our utility to be fully in compliance?  What could we do to better achieve
          compliance?
        • How does this requirement affect the scope or type of energy conservation measures that we may
          consider? Does it encourage or discourage specific  types of measures?
        • Are we in compliance? If yes, what will we have to do to maintain that status? If not, what can we do to
          achieve compliance?
 In the example table on the next page, a wastewater utility has a combined heat and power system that is permitted for
 nitrous oxides (NOx) emissions. The utility gathered the information as part of their legal and other requirements review
 on NOx emissions.
Session 2, Module 3

-------

Requirement
Relevant agencies (federal, state, local)

Effective date of requirement including revision
date(s) as applicable
Are applicable regulations changing or being
updated?
Are we in compliance according to agencies?
Could we improve our performance?
How does this affect the proposed energy
conservation measures?
Are we in compliance?
Requirement Name: NOx Emissions
Our combined heat and power (CHP) system is permitted at a rate of 200 pounds of NOx per
year.
State Department of Environment Quality,
contact email phone #

Date

Yes, the state is changing regulations due to CAIR rule but we expect no change in our
permitted amount as it is a very small rate per MWh.
Yes, emissions are slightly under our permitted amount.
Possibly, because NOx is a precursor to ground-level ozone, which causes urban smog, we
would like to reduce emissions if possible. We are looking at changing the fuel/air mix to
reduce emissions. Another option is to evaluate the cost of verified retrofit technologies.
Measures to improve the plant's energy efficiency would enable us to stay under our permitted
amount even if the flow rates increase.
Yes, however, if the electricity demand continues to grow as flow rates increase, our emissions
would surpass the cap and we would need a new permit.
 Apply Your Knowledge
 Using the example table above and the blank regulatory requirements table in Appendix D, fill in the information for
 your utility.

 Note: New energy generation systems will often have a number of regulatory mandates.  Air emission permitting
 requirements may limit the use of on-site generation unless the system is exceptionally clean. Demands for system
 reliability may place limitations on the use of on-site generation.  Interconnection protocols require close cooperation with
 the energy provider to ensure that the generator is properly aligned with the grid.
  ©
CONSIDER THIS...
Consider how the energy improvements you will prioritize may affect your compliance status. Also, consider
whether the improvements will create additional regulating requirements of their own.
 Session 2 Resources & Tools
 ENERGY STAR'S Benchmarking Tool:
 (http://www.energystar.gov/index.cfm?c=evaluate  performance.bus portfoliomanager)
 ENERGY STAR's Portfolio Manager: (https://www.energystar.gov/istar/pmpam/)
 For more information on auditing protocols, use this link
 (http:/ / cfpub.epa.gov/ compliance/ resources/ policies/ incentives/ auditing/).
 Converting your energy use to greenhouse gas:
 http://www.cleanerandgreener.org/ resources/ pollutioncalculator.htm
 Carbon Dioxide Emissions from the Generation of Electric Power in the United States:
 http://www.eia.doe.gov/cneaf/electricity/page/co2 report/co2report.html
 Greenhouse Gas Equivalency Calculator:
 http://www.usctcgatewav.net/tool
 Moving to the Next Session  •   ^
 In Assessing Current Energy Baseline Status, you developed baseline data, conducted an energy audit, completed some
 benchmarking, and did a review of legal and other compliance requirements. This information will be used in the next
 sessions to determine your utility's potential priority energy improvements.
Session 2, Module 3
                                                                                               33

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 SESSION  3:  Establishing an  Energy Vision and  Priorities for
                    Improvement
 Now that you have secured management's commitment, selected an
 energy program manager to put an Energy Team together, benchmarked
 your utility, and completed an Energy Audit, it is time to decide what
 energy improvement priorities to work on first.

 In this session, you will:

       1. Develop an energy policy.
       2. Identify activities and operations that consume energy, using
         information from your Energy Audit (equipment inventory
         worksheets) and other data collection efforts you completed in
         Session 2.
       3. Prioritize activities/operations and potential energy
         improvement efforts.

 Let's first review a few key terms that will help you as you establish an
 Energy Vision and Priorities for Improvement.

 Energy Policy: An organization's formal statement defining its intentions
 and principles in relation to its overall management of energy resources.
 It provides a framework for  action and  setting  specific energy
 improvement goals and milestones.

 Energy Fenceline: The scope of your operations where you will focus your
 energy improvement goals and where they will be implemented. For
 example, your fenceline may include all of your operations, be within a
 particular operation (e.g., biosolids), include particular utility components
 (e.g., pumps), or a particular building.

 Continual Improvement: The process of ongoing efforts to improve. It is
 the basic principle of the Plan-Do-Check-Act approach.
              Plan
       Keys to Success
0  Align your energy policy with
    your utility goals

0  Involve employees in the
    energy review process
0  Remember the Keep It Super

    Simple (KISS) Rule
0  Communicate status
    regularly and frequently
0  Document recurring

    processes and how decisions
    are made
Session 3
                                34

-------
                                                                    J_^     Remember
                                                                      .} } i ,  Avoid developing an Energy Policy
                                                                       ***/•,'  that is vague or so generic that it
                                                                             could apply to any organization.
                                                                    Your Energy Policy should be specific to the
                                                                    goals your utility wants to accomplish.
MODULE  1:  Develop an  Energy  Policy


Module Objective: To learn how to develop a strong Energy Policy.

An Energy Policy is your utility's statement of commitment to improve
its use and management of energy resources.  It should include a
commitment to continual improvement and compliance. Signed by top
management, the Energy Policy provides a vision for the entire utility
and  serves as  a foundation  document  for  energy improvement
management programs. Everyone, including contractors and vendors,
should understand the policy and what is expected of them in order to
achieve your energy goals. Use your Energy Policy as a framework for
planning, action, and continual improvement.

The Energy Policy should also include a commitment to explore and increase the use of renewable fuels or renewable
energy technology. Renewable resources not only can improve the environmental impacts of a utility's activities, their
appropriate use can also save money.

As you develop your Energy Policy, ensure that it is consistent with other strategic business priorities you may have
established through strategic plans or other similar efforts.  Don't make the mistake of having your Energy Policy "exist
in a vacuum." For example, you may have already embarked on a major effort to improve the management of your capital
assets through a formal asset management program, or your municipality's or facility's master planning document may
already have goals on water conservation or energy use that you can incorporate. These types of programs make use of
many of the same tools and data gathering efforts, so it makes sense to reflect these commitments in your Energy Policy
to become part of your improvement and management programs.

Have a focus meeting with your Energy Team to brainstorm what should be included in your Policy. Designate a couple
of Energy Team members to draft the text of the Energy Policy. Get input from top management and seek input from
employees. Also, review your current business or level of service commitments and/or organizational and energy goals.
It is important that your policy reflect your organizational culture and that it is appropriate to all levels of your operations
and services.

Methods used to communicate your Energy Policy:
       • Posting the Energy Policy at various sites throughout your utility (e.g., in lunchrooms) so there is a visual
         reminder of the statement and its importance;
       • Using paycheck stuffers, identification badges, and/or wallet cards, so that employees can carry the Energy
          Policy with them;
       • Incorporating the Energy Policy into existing training opportunities and materials;
       • Referring to the Energy Policy at staff or all-hands meetings; and
       • Posting the Energy Policy on the facility's Internet/Intranet site.

After you've received input, finalize your Policy by having top management sign, date, post, and communicate it to
employees. Make sure that all employees understand the Energy Policy and how it relates to their work.  The policy
should also be communicated to vendors and contractors as they may also have a role in meeting your energy improvement
goals.

Apply Your Knowledge
Develop an Energy Policy for your utility, building on current program policies (e.g., asset management, environmental)
already in place.
  c
           CONSIDER THIS...
           Keep your Energy Policy simple. A simple policy written with specific expectations provides employees with
           a straight-forward and realistic view of your commitments to energy improvements.
Session 3, Module 1
                                                                                                        35

-------
  MODULE  2: Identify Activities  and Operations that  Consume  Energy


  Module Objective: To learn how to identify the activities and operations at your utility that consume energy.

  This module will help you define your utility's energy "footprint" (i.e., how your operations and activities affect energy use)
  and develop measurable goals for energy improvements.  This process can be challenging and requires focus and
  teamwork. However, this is the opportunity for your utility to:

         1.  Take a hard look at your individual operations and activities.

         2.  Identify how these positively and negatively affect energy use.

         3.  Better understand the unique role that each of you, individually and collectively, play in managing your
            utility's energy consumption. The result of this effort will be a list of activities and operations you can use to
            decide where to invest time, effort, and resources.

   Following the step-by-step approach will make it manageable and you will quickly realize the benefits of this approach.

  STEP 1: Pull Together Information Previously Collected
  Review information from your previously planned and implemented energy improvement project, baseline information,
  energy audits,  and any other additional sources that might be useful in developing this concise list of activities and
  operations.


  STEP 2: Develop a List of Activities and Operations
  Employees within your energy fenceline will most likely be the best source of information as you develop a list of activities
  and operations, where they are located, the type of energy used, and the current use and costs. The table below will serve
  as a helpful example as your utility's Energy Team begins populating a table with activities and operations specific to
  your facility.
  Example List of Activities and Operations
Activity Operation or Location Type of Energy Used Current Use and Costs
Heating, Ventilation, and Air
Conditioning (HVAC)
Lighting
Vehicle Use
Operations Building (Heating)
Operations Building (Cooling,
Ventilation)
Operations Building
Service Trucks
Natural Gas
Electricity
Electricity
Diesel Fuel
• 150 MMBTU/year
• $1,500/year
• 1 0,000 kWh/year
• $1,000/year
• 24,000 kWh/year
(4 kWh/ft2, 6,000 ft2)
• $2,400/year
• 1,000 gallons/year
• $2,500/year
Equipment
Pump#1
Pump #2
Pump #3
Pump #4
Treatment Building
Treatment Building
Treatment Building
Treatment Building
Electricity
Electricity
Electricity
Electricity
• 400,000 kWh/year
• $40,000/year
• 480,000 kWh/year
• $48,000/year
• 280,000 kWh/year
• $28,000/year
• 1 60,000 kWh/year
• $16,000/year
Session 3, Module 2
36

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  Apply Your Knowledge
  Using the table on the previous page as an example and the blank table in Appendix E, work with your Energy Team and
  complete a list of activities and operations, their locations, the type of energy they use, and the current use and costs for
  energy at your utility.

  Typical Water and Wastewater High-Use Energy Operations and Associated Potential Energy  Saving
  Measures12
                         High Energy Using Operations
                    Pumping
                    Aeration
                    Dewatering
                    Lighting
                    Heating, Ventilation, Air Conditioning (HVAC)
                                                         Energy Saving Measures
                                                  Reduce load
                                                  Manage load
                                                  Water to wire efficiency
                                                  Pump selection
                                                  Motor and drive selection
                                                  Automated control
                                                  Fine bubble
                                                  Improved surface aerators
                                                  Premium motors
                                                  High efficiency motor drive
                                                  Blower Variable Frequency Drives (VFDs)
                                                  Automatic DO control
                                                  Replace vacuum systems
                                                  Premium motors
                                                  VFDs for plant water pump
                                                  Motion sensors
                                                  T5 low and high bay fixtures
                                                  Pulse start metal halide
                                                  Indirect fluorescent
                                                  Super efficient T8s
                                                  Comprehensive control for large buildings
                                                  Water source heat pumps
                                                  Prescriptive incentives for RTUs
                                                  Custom incentives for larger units
                                                  Low volume fume hood
                                                  Occupancy controls
                                                  Heat pump for generator oil sump
  Appendix F outlines additional energy saving information for typical water and wastewater equipment and systems
  including motors, pumps, aeration systems, lighting, and HVAC.
 ©
CONSIDER THIS...
Keep the level of detail meaningful without getting stuck in too many details.  It is more important to compile
a reasonable list with relevant information in order to make decisions about what energy consuming activities
and operations your utility should focus on first.
 12- An Overview of Utility Efficiency Programs, Massachusetts Electric, NEWEA Conference, 2004.
Session 3, Module 2
                                                                                                      37

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 MODULE 3:  Prioritize  Activities/Operations  and  Potential Energy
                  Improvement Efforts
 Module Objective: To develop a method to prioritize energy improvements.
 You've created a large list of activities and operations where energy efficiency could be improved. Don't worry, you do
 not have to make all the improvements at once. The next step of the process is to prioritize the list to identify a manageable
 number of improvements that are the most important to your utility.
 You can narrow your list of activities and operations to focus on what is most significant by:
        1. Defining a group of criteria that help focus on your energy goals and developing a scoring system;
        2. Applying the criteria to each of the energy related-activities or operations to achieve a total
          rank or number; and
        3. Establishing a threshold score above which an activity or operation will become a priority for
          energy improvement.

 STEP 1: Define Criteria to Prioritize Opportunities for Energy Improvements
 Experience has shown that a simple system for developing priorities
 generates the same results as a more complex one, but in a much
 shorter period of time and with more satisfied team members. There
 is not a magic number in terms of how many criteria you should use;
 it really depends on what factors are important within your utility
 and what allows you to simply and effectively rank opportunities for
 energy improvements.  Refer back to your Energy Policy for ideas          ,  u  ,  f         .         .    .
  ,  5  ,   .         .   .           y        &y     y               work best for your water or wastewater
 when selecting your criteria.
             6 y                                                   utility.
Remember
Criteria can be variable. Develop
the   unique   and   individual
combination of criteria that will
 For energy issues, criteria might include:
        • Current or projected costs;
        • Feasibility of efficiency projects or the use of renewable sources;
        • Potential for energy use reduction;
        • Availability of funding;
        • Existing need for equipment upgrade;
        • Renewable source of energy, particularly for facilities in states that are pushing for climate change mitigation
          ( e.g., Massachusetts and Connecticut);
        • Return on investment;
        • Regulatory requirement; and
        • Support of other priorities (e.g., asset management goals).
 Apply your Knowledge
 Work with your Energy Team to select approximately four or five criteria for your utility.
 Criterion 1:	
 Criterion 2:	
 Criterion 3:	
 Criterion 4:	
 Criterion 5:	
Session 3, Module 3                                                                                      38

-------
  STEP 2: Decide How to Use the Criteria
  Once you have selected your criteria for ranking your energy activities
  and operations, apply the criteria to each of the entries on your list using
  a quantitative ranking method. A simple 1 for low impact; 3 for medium
  impact; and 5 for high impact works well and avoids long discussions
  about the difference between a 2 and 3 or a 3 and 4. Remember that
  your evaluation of the energy impact is based on your expertise and
  experience. It is basically an educated guess.

  Take the time to document the  process you used to determine your
  potential energy  improvement priorities.  This can be  as simple as a
  memo that outlines  the process that was used or as formal as a
  management system procedure. Documenting how you developed
  your priorities will help you support requests for resources and will also
  help in the future when the process is repeated.

  Remember, this is a subjective analysis. Make sure that when you finish
  your scoring, you do a reality check with staff that work within your
  energy fenceline to verify that your selected operations and activities
  are feasible priorities.

  See the examples on the next two pages.
          Remember
          Documenting procedures and
          processes captures your utility's
     - -"   institutional knowledge and allows
for continual improvement at your utility.
      *   If rate of return is one of the
          factors in deciding what to work
on first, consider using ENERGY STAR'S
financial  evaluation  tools  (financial  value
calculator, building upgrade value calculator,
cash flow opportunity  calculator,  etc.)  at
http://wwwenergystar.gov/index.cfm?c=assess
 value.financial tools.
Session 3, Module 3
                                       39

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Example of Energy Priority Ranking Table
Activity Operation or Location Type of Current Ranking Criteria to Set Priorities (Examples only)
Energy Costs


Heating,
Ventilation,
and Air
Conditioning


Lighting

Vehicle Use


Equipment








Operations Building (Heating)
Operations Building (Cooling,
Ventilation)

Operations Building

Service Trucks
Service Trucks

Pump#1
Pump #2






Natural Gas
Electricity

Electricity

Diesel Fuel
Diesel Fuel

Electricity
Electricity






$1,500/year
$1,000/year

$3,000/yr

$2,500/yr
$2,500/yr

$40,000/yr
$48,000/yr
Current/
Projected
Costs
1=L
3=M
5=H





1
1

1

1
1

5
5
Feasibility of
Energy
Efficiency
Projects
1=not
feasible
3= feasible
5= Very
feasible




3
3

5

5
1

3
3
Feasibility of
Alternative,
Renewable
sources?
1=L
3=M
5=H





1
1

1

1
5

1
1
Costs to
implement
1=H
3=M
5=L





3
3

1

3
3

3
3
Availability
of Funding
1=Capital
funds
required
3=potential
or not
known
5=Funding
options
available




1
1

5

1
3

1
1
Rate of
Return on
Investment
1 = More
than 	
years
3=
years
5= Less
than
years




1
1

5

1
1

3
1
Regulated?
0=No
3=Yes
5=Yes and
compliance
issues exist





0
0

0

3
3

3
3
Total
Score





10
10

18

15
17

19
17

-------
Example: Now, sort from highest to lowest score to determine the potential priority energy improvements.
Activity Operation or Location Type of Current Ranking Criteria to Set Priorities (Examples only)
Energy Costs


Equipment
Lighting
Vehicle Use
Equipment
Vehicle Use
Heating,
Ventilation
and Air
Conditioning



Pump#1
Operations Building
Service Trucks
Pump #2
Service Trucks
Operations Building (Heating)


Operations Building (Heating)


Electricity
Electricity
Diesel Fuel
Electricity
Diesel Fuel
Natural Gas


Electricity


$40,000/yr
$3,000/yr
$2,500/yr
$48,000/yr
$2,500/yr
$1,500/year


$1,000/year
Current/
Projected
Costs
1=L

5
1
1
5
1
1


1
Feasibility of
Energy
Efficiency
Projects
1=not
feasible
3= feasible
5= Very
feasible
3
5
1
3
5
3


3
Feasibility of
Alternative,
Renewable
sources?
1=L

1
1
5
1
1
1


1
Costs to
implement
1=H

3
1
3
3
3
3


3
Availability
of Funding
1=Capital
funds
required
3=potential
or not
known
5=Funding
options
available
1
5
3
1
1
1


1
Rate of
Return on
Investment
1 = More
than 	
years
3=
years
5= Less
than
years
3
5
1
1
1
1


1
Regulated?
0=No
3=Yes
5=Yes and
compliance
issues exist

3
0
3
3
3
0


0
Total
Score

19
18
17
17
15
10


10

-------
                                                                         'K,     Remember
                                                                                Each energy activity or operation
                                                                                that is identified as a priority
                                                                           ~    (i.e., a total score equal to or over
                                                                      your determined threshold) will  require
                                                                      some kind  of operational or equipment
                                                                      control measure, training, recordkeeping
                                                                      and other relevant required management
                                                                      practice.
STEP 3: Establish a Threshold Score

In the example on the previous pages, the total score was 19 for pump
#1.  What does this score mean? Once you've determined all your
potential priority energy improvements and their associated scores for
the operations/activities, you will need to establish a priority threshold
based on what your organization can reasonably manage. For instance,
anything with a total score  of 18 and  above could be considered an
energy management priority in the example above.

Keep in mind that your utility has the flexibility,  consistent with its
business, technical, legal, operational, and stakeholder concerns and
requirements to set what it considers to be a priority threshold value for     „      ,     , .  .
energy management.                                                  Remember, this is a continuous process, so
                                                                     you don't need to be perfect the first time
Utility Case Study: Renewable Opportunities in               around.
Anaerobic Digestion
If biogas is available from anaerobic digestion, the gas produced is primarily composed of methane, which can be used to
run an engine generator or microturbine. In a  combined heat and power (or cogeneration) system, waste heat can be
captured and used to provide for space heating, sludge drying, or other needs. The fuel source is basically wastewater -
a renewable resource - and a facility that employs this technology may be eligible to sell "green power credits" to a broker.13

Water and wastewater utilities have excellent opportunities for energy generation from renewable sources. There are
numerous case studies of wastewater utilities installing energy generation systems based on methane capture. A number
of these are included in Appendix G.  For further information, see the December 2006 EPA report, Opportunities for and
Benefits of Combined Heat and Power at Wastewater Treatment Facilities,,14

Cogeneration from wastewater-derived methane has several advantages including:
       •  Utilizing a renewable resource;
       •  Minimizing greenhouse gas emissions;15
       •  Creating efficiency by utilizing heat that would otherwise be wasted;
       •  Locating the electricity production at the point of demand (distributed  generator); and
       •  Reducing peak demand, easing the load on the electric utility's transmission and distribution system.

Such a system might benefit from incentives designed to support renewable energy, cogeneration, distributed generation,
or energy efficiency. Two good directories of incentive programs are DSIRE, the Database of State Incentives for Renewable
Energy,16 and the EPA's Combined Heat and Power Partnership Funding Resources page.17

Utility Case Study: Renewable Opportunities in Wind Turbines
Small wind turbines have been installed at wastewater facilities in Saco, ME; Bellevue, OH; Dimondale, MI; and Browning,
MT. Photovoltaic (PV) systems of all sizes have been installed at wastewater treatment plants, producing electricity from
sunlight. The 14.5-kW system in Charlemont, MA is of modest size, about three to  four times the size of a large household
PV system. Wastewater facilities have also seen many of the nation's largest PV arrays, including the 500-kW system in
Somerset, NJ, the 520-kW system in Oroville, CA, and the 770-kW system in Yuba City, AZ.

In addition, the Atlantic County, New Jersey Utility Authority (ACUA) has a wind farm project and has implemented a
number of other alternative energy projects, including geothermal and solar. To review  ACUA's alternative energy projects,
use this link (http://www.acua. com/alternative/a  projects.cfm).
13- See http://www.eere.energy.gov/greenpower/markets/certificates.shtml?page=0 for a list of vendors of "Renewable Energy Credits"; some such vendors may be willing
   to buy the credits resulting from a renewable energy project at a wastewater facility.
14 - Available online at http://www.epa.gov/chp/documents/wwtf opportunities.pdf.
IS - The CO2 emissions from the CHP system contribute much less to global warming than the biogas would produce if vented.
16- http: / /www.dsireusa.org
17- http://www.epa.gov/chp/funding/index.html



 Session 3, Module 3                                                                                            42

-------
  Apply Your Knowledge
  Use the tables on pages 40 and 41 as examples and the blank one in Appendix H. Determine your most important (priority)
  energy improvement opportunities for the fenceline energy activities and operations of your utility.
  ©
CONSIDER THIS...
Keep It Super Simple [KISS]
Don't have too many criteria or over analyze. A very complicated scoring system will discourage
those involved and make this process more difficult than necessary. Your rankings are more of an
educated assessment rather than a mathematical computation.
  Session 3 Resources & Tools
  EMS Handbook for Wastewater Utilities: http://www.peercenter.net/toolkit/5tep By Step.cfm
  EMS Aspects Identification and Prioritization Workbook: http://www.peercenter.net/toolkit/Aspects.cfm
  To try an EPA biodiesel calculator to determine the emissions benefits of switching to alternative fuels, use this link
  http://www.epa.gov/otaq/ retrofit/ techlist-biodiesel.htm
  Solar Photovoltaic Installation FAQs: http://www.mass.gov/doer/pub info/solar-tip.pdf
  Solar Photovoltaic Site Selection Survey: http:/ / mass, go v/ doer/ pro grams/ renew/ renew.htm
  Massachusetts Division of Energy Resources (DOER) Renewable Energy Programs:
  http://www.mass.gov/envir/5ustainable/documents/pv site selection  survey.doc
  Massachusetts Technology Collaborative, Small Renewables Initiative:
  http://www.masstech.org/renewableenergy/small renewables.htm
  Massachusetts Technology Collaborative, Large Onsite Renewables Initiative:
  http://masstech.org/renewableenergy/large renewables.htm
  Moving to the Next Session  •   •
  In Establishing an Energy Vision and Priorities for Improvement, you crafted an Energy Policy, developed a list of energy-
  consuming activities and operations, and identified energy improvement priorities. In the next Session, you will establish
  energy improvement goals, objectives, and targets for the priority energy improvement opportunities that scored above
  the threshold you established.
Session 3, Module 3                                                                                          43

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SESSION 4: Identify Energy Objectives and  Targets
 You  have now assembled your  team,  evaluated  your energy
 performance, and identified priority areas for improvement. The next
 steps are to set objectives and establish targets to measure your
 progress.  These targets can relate to activities - such as your progress
 in implementing energy conservation measures - or to the results you
 achieve from these measures.

 In this session, you will:

 1. Establish energy objectives and targets.
 2. Define performance indicators.

 Let's first review a few key terms that will help as you develop your
 energy objectives and targets.

 Objective: The internal goal your utility establishes to improve its
 energy performance. Example: reduce facility energy use.

 Target: A measurable performance requirement that arises from your
 objective. Example: reduce utility energy use by 25% from 2006 levels
 by 2011.

 Performance Indicator: What exactly you will measure to evaluate and
 verify performance improvements in relation to a specific  target. For
 example, measuring electricity  cost or consumption per gallon of
 wastewater treated ($ or kWh/gallon). Performance indicators can be
 adjusted to meet specific management needs or as necessary to ensure
 progress toward reaching specific energy targets.
              Plan
       Keys to Success



0  Align utility objectives and
    targets with your energy

    policy
0  Communicate objectives and
    targets to staff
0  Identify energy improvement

    targets that can be measured
0  Measure early and often
Session 4
                                  44

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MODULE 1:  Establish  Energy Objectives and Targets
Module Objective: To learn how to set objectives and targets for your priority energy activities and operations.
         Remember
         Baseline data is the starting point from
         which to track the achievement of an
  •     "'  energy  objective.   "Normalized"
         baselines accurately  measure how
your utility's energy consumption could change
over time due to seasonal and other variations.
Normalized baselines will take into account how
your energy consumption may be affected by
changes in flow, load, or other related factors.
Your utility may have many energy improvement goals. However, you
may find that you can't do everything all at once and that some types of
energy improvement goals may work towards one objective at the
expense of another. For example, purchasing green power may increase
cost, but decrease greenhouse gas (GHG) emissions.  While all of the
objectives may seem appealing, it's best to start with a limited number so
that you can focus your efforts, get experience, and track, document, and
verify results.

Although there are a number of example objectives and targets from
water  and  wastewater  facilities  that have  implemented energy
improvement programs, there are no standard energy objectives and
targets that make sense for all utilities in all locations. Your objectives and
targets should reflect what your utility does, how well it is currently
performing, and what it wants to achieve.

A water or wastewater utility might have the following example energy objectives:
       •   Reduce energy cost;
       •   Reduce petroleum consumption;

       •   Reduce peak energy  demand;
       •   Reduce GHG emissions;
       •   Improve reliability;
       •   Increase use of renewable fuels;
       •   Evaluate the installation or improve performance of renewable energy technologies; and
       •   Reduce vehicle fuel use.

What do you hope to accomplish in the next few years? Set energy targets that are realistic enough to get accomplished yet
significant enough to get noticed and motivate change. Remember that your ability to measure and document progress
towards your targets is important.
In the  example  from  Session 3, the  utility's  priority  fenceline
activities/operations had a total sigficance score of 18 for equipment
(pump #1) and a score  of 19 for lighting (operations building).  As
detailed in Module 3 of Session 3, these measures scored higher than the
HVAC systems, vehicle use, and other pumps and equipment. Pump #1
and lighting were therefore identified as  potential focus areas where
goals could be set based on factors such as  capital cost, payback period,
GHG emissions, and other factors that are important to your utility and
your Energy Policy.

What objectives and targets do pump #1 and lighting support? While
they will likely  reduce peak electricity  demand and reduce GHG
emissions, the selection of these energy improvement opportunities was
based on the goal of reducing overall energy cost -  an important driver for utilities. The utility determines that, by
establishing a normalized baseline first, these energy improvement opportunities can be implemented, along with certain
operational changes, within 12 months and achieve a 10% overall reduction in energy costs.
 "Sometimes behavior-based targets (e.g.,
 learning a systems-based management
 approach) are not the biggest gains in
 performance measures related to your targets,
 but they are very important in terms of
 culture change and should be considered."

 Donna Adams
 Wastewater Division
 Eugene, Oregon
Session 4, Module 1
                                       45

-------
 Below is an example of an energy improvement objective and target that a utility could select - based on Session 3's
 examples of pump #1 and lighting as potential priority areas for energy improvement. In addition, a utility could consider
 increasing renewable energy sources as an opportunity. Therefore, a renewable energy objective and target has been
 included as  a potential longer-term opportunity in the example.
                                Objective and Target
                      Timeframe
 Reduce overall energy cost by 10% by 2009
             12 months
 Increase energy purchased or generated from renewable energy sources by 10% by 2012
             4 years
 Apply your Knowledge
 Now choose energy improvement objectives and targets for your utility with staff and your Energy Team using the
 Objective and Target worksheet provided in Appendix I.

 Utility Case Study: Kent County, Delaware Wastewater - Renewable Energy
 The Kent County Department of Public Works (KCDPW) operates a 16 MGD wastewater treatment plant that treats most
 of the wastewater in the county with over sixty pump stations and nearly 70 miles of gravity sewer and force main, and
 management of county-owned buildings. The wastewater that enters the Kent County regional system comes from five
 municipal contract users and seven significant industrial users. Operations serve 70% of the county's population.

 KCDPW has a certified ISO 14001 and OHSAS18001 Environmental, Health, and Safety Management System (EHS-MS),
 as well as a National Biosolids Partnership certification.As part of their EHS-MS, Kent County committed to:
        •    Reducing energy usage by 20% from 2002 levels; and
        •    Reviewing renewable energy alternatives (e.g., wind).

 Kent County started with some easy fixes (e.g., swapping lights to more energy efficient alternatives and replacing older
 pumps and other assets with more energy efficient models).  Additionally, their action plan included researching energy
 alternatives and new technologies that could help them accomplish their targets.

 Researching and Implementing New Energy Technologies
 At a regional conference, Kent County saw a technology that guaranteed a 15% reduction in energy costs by reducing the
 number of air blowers needed in the treatment process. Kent County, at
 the time, used about 4 MW of power to consistently run 4-5 air blowers
 in their process, and their energy costs were about  $10,000-20,000 per
 month. The process adds fine bubble diffused air to  one of two parallel
 basins to provide oxygen for the microorganisms.  The prior process
 relied on a dissolved oxygen meter at the end of the basin to allow the
 operators to control the number of air blowers feeding the basin. This
 system was highly inefficient and was reactive to conditions in the basins.
 The new system automatically measures the amount of oxygen being
 released from the basin using floating hoods and feeds this information
 to an automatic control system. With the new technology Kent County
 now  runs 2-2 Vz air blowers rather than 4-5 before the technology, an
 almost 50% reduction in their energy requirements .Within a year, Kent County has recouped the cost of the technology
 (about $100,000).
         Remember
         Focus your energy goals on areas
         that will have the most impact on
       '  your energy footprint and your water
         or wastewater operations. You may
want  to  review  your   priority   energy
improvement impacts and  the Energy Policy
that your utility drafted before you finalize your
goals.
Session 4, Module 1
                                       46

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Creating an Energy Park of Renewable Energy Sources
Kent County began to investigate four renewable energy alternatives: wind, biomass, solar, and hydroelectric power. The
utility's senior executive saw some wind powered utilities in Germany and believed that they would work at the Kent
County facility.   They hired a consultant to conduct wind studies in 2003 and determined that the turbines would be
operational with winds at 9 miles per hour. The study cited a lack of on-site wind data and suggested that additional data
was required and that with certain energy credits, the facility would be feasible. The utility installed a wind monitoring
system on a 115 foot tall radio tower located at the facility in 2004.  The studies showed that at 115 feet the winds were at
8 Vz to 9 miles  per hour - marginally sufficient. Further studies were ordered at 200 feet and projections indicate that the
wind energy has the potential to provide about 60% of the facility's energy needs. Wind towers will be installed in the
energy park at the facility sometime before the end of 2010 if the additional wind survey proves that there is sufficient wind
available at the 200 foot level to support turbines. The cost of the wind installation is $10-12 million which does not include
any maintenance costs. The utility  does not anticipate any additional capital costs.  However, since delivery of the
equipment is several years out there may be an inflation factor that has not been considered. The actual cost to the county
will depend upon what available grants they can obtain.

                                              Currently, biomass stabilization processes at the facility use lime
                                              addition with  heat  drying to produce a quality Class A biosolids
                                              containing 60% solids.  The facility is investigating the use of anaerobic
                                              digestion of fats, greases, and the utility's sludge to create methane gas
                                              which would then be used in the fuel cells to create sufficient energy
                                              production to account for about one third of the utility's energy needs.
                                              The estimated cost of the system would be $3-5 million.
 "The energy projects are an outgrowth of the
facility's EHS-MS. The main goal of our
 EHS-MS is to reduce the environmental
footprint of the facility. Energy usage and
 generation are key components of this effort."

 Jim Newton
 Environmental Program Manager
 Kent County Public Works Department
 Dover, Delaware
                                             The facility is working with a contractor  to design and build the
                                             combined system.   Under the proposed agreement, the contractor
                                             would design, build, and operate the renewable energy park and charge
                                             the county for the electricity generated. In order to reduce the unit cost
                                             of electricity, the county will pay $3-5 million to the contractor over the
                                             next 3 years.  In addition, the county will charge the FOG haulers a
                                             treatment fee to help offset the costs. The remaining 80% will be paid to
the contract, with the utility repaying over a 20-year period. After that the utility will own the wind turbines. It is estimated
that the life expectancy of the turbine is greater than 30 years.  The cost of electricity to be paid  by the county will include
the recovery of the capital expenses, the facility operations and maintenance, and the profit for the energy company. The
actual costs will be determined as each new unit comes on line.
Session 4, Module 1
                                                                                                           47

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Apply your Knowledge
Once your utility has determined the energy objectives and targets, use EPA's Portfolio Manager to calculate reductions
in energy cost, consumption, and emissions and to track progress towards your goals. Results from EPA's energy
performance rating system can help facility managers make decisions about commissioning equipment, changing
operations and maintenance procedures, and investing in future energy efficiency projects. Organizations have learned that
EPA's rating provides valuable information to managers at all levels, empowering them to make sound decisions about
energy management.

The following summary table is from ENERGY STAR's Portfolio Manager and contains examples for three sample
wastewater treatment plants showing:
         1. Current source energy per flow;
         2. Annual energy cost;
         3. Baseline and current performance rating;
         4. Adjusted energy reduction; and
         5. Pounds of carbon emissions reduced over time.
                                                                 f>~'
                                $.133 831 08      '87       96      2175C1206         279%          507.94371
 Factors to consider in setting objectives and targets:
        •  Ability to control;
        •  Ability to track/measure;
        •  Cost to track/measure;
        •  Progress reporting; and
        •  Linkages to your Energy Policy.
  ©
CONSIDER THIS...
Start with one or two manageable energy objectives and targets that you will be able to monitor. The
best targets are those that can be measured and that are meaningful to employees. Communicate
your objectives and targets to staff.  Make sure everybody knows what you seek to accomplish and
by when.
Session 4, Module 1                                                                                         48

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   MODULE 2: Define Performance Indicators
   Module Objective: To learn how to measure progress towards your energy targets.

   As noted previously, energy improvements lend themselves to quantitative measurement. Your electricity bill, natural gas
   bill, or similar invoices and data sources provide a ready reference for energy consumption, peak demand, and energy cost.

   Energy performance indicators will include the measured quantity, a unit, and, if applicable, a time interval. For example,
   a utility might use one or more of the following performance indicators for energy at their facility:
          • Electricity consumption, in kWh per month;

          • Peak electricity demand, in kW;
          • Natural gas, in therms per month;
          • Energy cost, in dollars per month;
          • Electricity consumption per gallon of water or wastewater treated (kWh per gallon); and
          • Energy cost or consumption per gallon of water or wastewater treated ($ or kBTU/MGD).

   Performance Indicators: Measuring Your Progress
   When you establish quantifiable objectives and targets you may first need to establish a (normalized) baseline. This baseline
   serves as the starting point from which you will measure your progress. For example, you may measure your equipment's
   electricity use (for motors, pumps, fans, and the like) in kilowatt-hours per million gallons treated (kWh/MG) for each
   month. Or, you may use "weather normalization" to adjust your HVAC energy demand each year. If your facility has
   increased in size, you may have increased energy demand for lighting, HVAC, and  other loads. You can also "normalize"
   your demand to the size of your facility, defining your energy use per square foot for these loads.

   ENERGY STAR's Benchmarking Tool, (http://www.energystar.gov/index.cfm?c=evaluate  performance.bus portfoliomanager),
   is designed to handle this situation.  For example, if your building footprint changes, how would you enter the change
   without losing  data? ENERGY STAR's Benchmarking Tool and its training components can help you answer this
   question and others.
   ENERGY STAR offers plant energy performance indicators (EPIs) to
   enable energy managers to evaluate the energy efficiency of their plants
   relative to that of the industry.

   Do you have all the data and information to set an energy target and
   establish an applicable, measurable performance indicator?  If not,
   what level of effort is necessary to define the baseline data you require?
   You may find that no baseline data exist. If so, do not let this stop you
   from moving forward. Set a plan to determine your baseline as a first
   step.
                                Remember

                               Don't hesitate to be ambitious in selecting your
                                         energy  objectives  and  targets.
                                         Many organizations have found that
                                         improvements in energy efficiency
                                         offer great potential for cost savings
                                   - _ .-'  and continued improvement even
                               after the "low-hanging fruit" has been collected.
                               Also, remember to try and use data you already
                               collect and can count when establishing your
                               energy performance indicators.
   Apply Your Knowledge
   Following the examples below and the blank performance indicator
   worksheet in Appendix I and complete the information that you will need to determine an applicable performance
   indicator to measure progress toward the energy targets that you set in Session 4, Module 1. Include where you can find
   the information (i.e., data source).
                Tarqet
Reduce overall energy cost by 10% by 2009
          Performance Indicator
Pump #1: Electricity consumption per gallon of
water or wastewater treated (kWh per gallon)

Lighting: kWh per square foot/year
              Data Source
Automatic Energy Management System
Increase energy purchased or generated from
renewable energy sources by 10% by 2012
Solar or wind energy purchased or generated per
gallon of water or wastewater treated
(kWh/gallon)
Energy Consumption Invoices/energy meter
  Session 4, Module 2
                                                                         49

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        Automatic Energy Management Systems
        The worksheet on the previous page notes "automatic energy management system" as a potential data source for
        electricity consumption. "Energy management system" in this usage does not mean a set of practices, but rather
        a system of hardware and software that is used to track and manage energy consumption. It may include a set of
        sub-meters, a connection to the main utility meter, controls for certain systems, and a program to display energy
        consumption and adjust certain parameters.  These systems vary considerably in their complexity and capability
        but many facilities use some systems of this type. Supervisory Control and Data Acquisition (SCADA) systems
        in particular are widely used to help utilities reduce energy costs and save money.

        SCADA systems can be used to optimize system performance, adjust for time-of-day electrical rates, and warn of
        mechanical problems. They can be programmed to respond to changing conditions, make it easier to monitor and
        control a water or wastewater system, and provide comprehensive information to the utility managers.

        SCADA systems can be very cost-effective as seen by the following examples from water utilities.18
        • Fresno, CA estimates the annual savings from its SCADA system at $725,000. The system was installed for a
          cost of $3.2 million, giving it a simple payback period of 4.4 years.
        • The California Water Service Company installed a SCADA system in its Westlake District at a cost of $100,000,
          for annual savings of $47,000, a simple payback period of 2.1 years.

        Even if a utility already has a SCADA system, additional functionality could improve its performance, or a newer
        system might offer the potential for additional cost savings.

 Below are additional examples of energy performance indicators for your utility Energy Team to consider.
                Target
 Reduce peak electricity demand by 10% from
 2006 levels
                                   Performance Indicator
                          Peak electricity demand (kW)
             Data Source
Automatic Energy Management System,
SCADA
 Increase share of biodiesel to 20% of fuel
 purchases
                          Biodiesel purchased (gallons per month) and
                          diesel fuel purchased (gallons per month)
Energy Consumption Invoices
 Increase on-site generation from microturbine
 by 20% from 2006 levels
                          Electricity generation (kWh/month)
Meter on microturbine
 Reduce electricity demand per gallon treated
 by 10% from 2006 levels
                          Electricity consumption per gallon of
                          wastewater treated (kWh/gallon)
Automatic energy management system (kWh),
pump records (gallons treated)
  ©
CONSIDER THIS...
Make sure that your performance indicators are meaningful given the context in which you operate. If
changes in your energy cost are driven largely by external market forces and not by changes in your energy
consumption, then energy cost might not be a metric that properly conveys your progress on energy
management.
 Session 4 Resources & Tools
 ENERGY STAR's Portfolio Manager: (https://www.energystar. gov/istar/pmpam/)
 ENERGY STAR Plant Energy Performance Indicators (EPIs):
 (http://www.energystar.gov/index.cfm?c=in focus.bus  industries focus)
 Moving to the Next Session  •    ^
 In Identifying Energy Objectives and Targets, you selected objectives and targets you want to achieve for your priority energy-
 consuming activities and operations.  In the next session, you will establish action plans or energy improvement
 management programs to meet your objectives and targets. These will include the specific tasks needed to reach your
 energy goals, staff responsible for accomplishing the tasks, the resources required, and a timeline for implementation. In
 addition, you will determine what you have in place and what is needed to control or manage your priority operations.
 18 - National Renewable Energy Laboratory, Cities Cut Water System Energy Costs, document DOE/CH10093-262, February 1994.
Session 4, Module 2
                                                                                                   50

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SESSION 5: Implementing Energy Improvement  Programs and
                   Building  a  Management System to Support Them
Now that your utility has established energy objectives and targets to
identify what they would like to accomplish for energy improvement, it
is time to take action to implement energy improvement priorities and
build an infrastructure of training, communication, and management
system controls.

In this session you will:

       1. Develop action plans to implement energy improvements.

       2. Develop management system operating control (e.g.
         training, communication, records, system procedures) to
         support energy improvements.

Let's first review a few key terms that will help as you implement your
energy improvement programs.

Energy Improvement Management Program: A structured program with
a set of specific identifiable actions providing the direction for energy
objectives and targets to be tracked and accomplished. Your program
plan should assign responsibilities,  tasks, timeframes, and resources
(who, what, by when and how much) for achieving your objectives and
targets.

Operating Controls: Documents that specify the way to execute a certain
activity or operation. Operating controls are assigned to activities and
operations involving priority energy improvement opportunities and are
documented through the use of work instructions, standard operating
procedures (SOPs), manuals,  and programs.  Examples of where these
controls are  used would  include HVAC, equipment maintenance,
calibration, and automatic lighting.
       Keys to Success
0  Build on what has worked in
   the past but promote creative
   thinking about new and

   innovative approaches
0  Develop meaningful measures
    to assess and communicate
    progress
0  Communicate what you are
    doing, what you need, and
    the results
0  Use energy improvements to
    motivate and  inspire
0  Support energy

    improvements with training
    and procedures to help
    support and reach your
    energy goals
Session 5
                                51

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 MODULE 1:  Develop Action Plans  To Implement Energy Improvements

 Module Objective: To learn how to develop Energy Improvement Management Programs.
Action plans or Energy  Improvement Management  Programs are
"roadmaps" that define how your utility intends to reach its energy
improvement  objectives  and  targets.   They  describe how  your
organization will translate its goals into concrete action plans so that
energy objectives and targets are achieved.

In this module, you will:

       Step 1. Establish Energy Improvement Management Programs.
                                                                            Remember
                                                                            Refer back to the Typical High Use
                                                                            Energy  Operations  and  Their
                                                                         J  Associated Potential Energy Saving
                                                                            Measures Table (pages 40-41)  to
                                                                   help you develop potential objectives and targets
                                                                   and   subsequent   Energy   Improvement
                                                                   Management Program.
        Step 2. Get top management commitment and approval.

        Step 3. Communicate your objectives and targets and Energy Improvement Management Programs.

 Step 1: Establish Energy Improvement Management Programs
 Now that you have set energy objectives and targets (in Session 4), how will you achieve them and accomplish your goals?
 Your plan should be to:

        1. List the individual tasks (What: Step-by-step guide of what individual activities will be undertaken to meet
          your energy improvement objectives and targets).

        2. Assign responsibility for achieving energy improvement goals (Who: Assign all levels of staff
          responsibility for both the overall plan and for the individual tasks). Make sure you communicate and confirm
          this with the managers and staff in responsible areas.

        3. Establish deadlines for individual target tasks (When: Set intermediate deadlines for your plans). Incorporating
          deadlines give those responsible a sense that this is important and needs to be accomplished in a timely manner.

        4. Estimate staff time and costs * (How much: Confirm with managers that the resources [financial and
          staff time] are consistent with what was described in the approved budget.) Are there other direct costs for
          materials?  Equipment? Outside services?

 * Note: Estimating your staff time and resources is an optional step. Management may want to understand the resource commitment
 before approving your objectives and targets. Many organizations therefore incorporate this information in their written plans.

 Let's use our lighting and pumps energy improvement objectives and target examples (below from Session 4) to outline
 the step-by-step approach to develop an Energy Improvement  Management Program.
              Objective
 Reduce Energy Cost
                                                  Target
                                   Reduce overall energy cost by 10% by 2009
             Timeframe
12 months
 Increase energy purchased or generated from
 renewable energy sources
                                   Increase energy purchased or generated from
                                   renewable energy sources by 10% by 2012
4 years
 The table on the next page presents an Energy Improvement Management Program developed as an example to increase
 the efficiency of a utility's lighting and pumps. The table on page 54 shows an example of an Energy Improvement
 Management Program with increasing renewable energy sources as the objective.
Session 5, Module 1
                                                                                                         52

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Energy Improvement Priority Activities/Operations: Lighting and pumps
Objective: Reduce Energy Cost
Target: Reduce overall energy cost by 10% by 2009
Start Date: January 1, 2008
Completion Date: January 30, 2009
Energy Improvement Management Program Lead: Jones
Tasks Staff Timeline Estimated Time Estimated Costs
(Person Hours or FTEs) (e.g., equipment)
Task: Establish month-to-month normalized
baseline data on energy use and cost for
(calendar year) 2008
Deliverable: Monthly report of gross and
normalized energy consumption and cost19
Task: Post 2008 monthly energy
consumption data in public area
Deliverable: Spreadsheet
Jones
Smith
January 1 to
December 3 1,2008
Each month's data posted within 30
days of end of month; complete
2008 data posted by 01/30/09
8 hours to establish
normalization protocol; 1
hour per month to update
2 hours (10 minutes per
month)


Install Automatic Lighting Controls in Operations Building *
Task: List of electrical contractors with
recommendations
Deliverable: Annotated memo
Task: Issue RFQ
Deliverable: RFQ
Task: Review responses to RFQ
Deliverable: Memo with contractors ranked
Task: Enlist contractor
Deliverable: Signed contract with electrician
Task: Install automatic lighting controls
Deliverable: Installed system
Purchasing
(Anderson)
Contracts
(Grant)
Contracts
(Grant)
Contracts
(Grant)
Johnson
By January 15, 2008
By January 31, 2008
Responses due by February 21 ,
2008; review complete by March 7,
2008
By March 15, 2008
By April 30, 2009
4 hours
4 hours
8 hours
4 hours
4 hours




$3,000 capital cost
(estimated)
Replace Pump # 1 with more efficient pump*
Task: Determine optimal pump size using
PSAT software tool
Deliverable: Memo, with analysis reviewed
by engineering
Task: Research pump manufacturers
Deliverable: Annotated memo
Task: Purchase pump(s)
Deliverable: Completed transaction
Task: Install replacement pump(s)
Deliverable: Installed pump(s)
Monitor, measure, and communicate 2009
data on energy cost from 2008 baseline
Task: Present current status relative to target
10% reduction
Deliverable: Presentation to staff on year-to-
year change in energy costs
Engineering
(Clark)
Purchasing
Purchasing
Engineering
(Taylor)

Jones
By January 31, 2008
By February 28, 2008
By April 15, 2008
By May 31, 2008

January 31, 2008
32 hours
8 hours
20 hours
20 hours

12 hours


$60,000
(estimated)



*Note: The pump #1 and lighting examples identified as priority areas for energy improvement in Session 3 become tasks (i.e., replace pump
#1 and install automatic lighting) in our target to reach a 10% reduction in energy costs by 2009.

19- ENERGY STAR'S Benchmarking Tool
 Session 5, Module 1
53

-------
 Energy Improvement Priority Activities/Operations: Utility wide
 Objective: Increase energy from renewable energy sources
 Target: Increase energy purchased from renewable energy sources by 10% by 2012
 Start Date: January 1, 2008
 Completion Date: January 30, 2012
 Energy Improvement Management Program Lead: Smith
Tasks Staff Timeline
Estimated Time Estimated Costs (e.g.,
(Person Hours or FTEs) equipment)
Task: Establish baseline information on
existing purchases of renewable energy
as a percent of 2007 overall purchases
Deliverable: Memo or spreadsheet
Task: Identify potential sources of
renewable energy and make
recommendations
Deliverable: Memo
Task: Adopt recommendation(s) and
purchase renewable energy
Deliverable: Contracts to purchase
renewable energy
Task: Monitor, measure, and
communicate on 2009 purchases as a
percent of annual 2009 purchases
Deliverable: Presentation to staff
Smith

Smith, Jones

Jones

Jones

By January 8, 2008

By February 8, 2008

First purchase by
April 15, 2008

January 31, 2009

4 hours

12 hours

20 hours

20 hours





Cost premium of no greater
than 1 .5 cents per kWh



 Provide a reality check on your plans with line managers, department heads, and supervisors whose operational staff
 and management are involved.
        • Are the appropriate staff members responsible?
        • Does the timing conflict with other operational priorities?
        • Do the tasks seem logical and sufficient to accomplish the target?

 Now that you have drafted your utility's Energy Improvement Management Programs, you need to get top management's
 commitment and approval and communicate your objectives and targets and programs to utility staff.
 Step 2: Get Top Management's Commitment and Approval
 Top management needs to ensure that your Energy
 Improvement Management Programs are integrated with
 other organizational goals and are consistent with the
 overall mission of your utility or municipality. Management
 also needs to know what the efforts of achieving these goals
 will cost in terms of staff time and capital expenditures, the
 length of time needed to accomplish this effort, how it will
 interface with periods of high operational priority, and who
 will be involved in the tasks.  This information will help top
 management prepare and approve budgets for the projects
 and assign project managers.
       Remember
       Refer  back  to  the Typical  Water  and
       Wastewater High-Use Energy Operations and
       Associated Potential Energy Saving Measures
       table (page 37) to help you develop potential
objectives  and  targets  and  subsequent  Energy
Improvement Management Programs.
Session 5, Module 1
                                             54

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 Step 3: Communicate Your Objectives and Targets and Energy Improvement Management
 Programs
 Communicate your objectives and targets and action plans to employees, suppliers, contractors, and external
 stakeholders. Open communication will increase buy-in of your energy goals and what you are trying to accomplish. In
 addition, communication of your goals and plans will keep the utility's energy improvements on everyone's radar and
 ensure that your organization is on the path to continuous improvement.

 Involving Contractors and Temporary Staff
 On-site contractors and temporary staff may work in areas in which objectives and targets have been set.
 Communicating your objectives and targets and Energy Improvement Management Programs to contractors and
 temporary staff is important and can get you needed buy-in on what you are trying to accomplish. Also, keep in mind
 that your suppliers can help you in meeting your objectives and targets (e.g., by providing information on more energy
 efficient technology or equipment and/or opportunities for renewable energy).

 Apply Your Knowledge
 Using the objectives and targets developed by the Energy Team and the example Energy Improvement Management
 Programs on pages 53 and 54, develop action plans for your water or wastewater utility.  Attached in Appendix J is a
 blank Energy Improvement Management Program table that you can use with your Energy Team.
 ©
CONSIDER THIS...
Begin with one or two objectives and targets and make sure they are attainable and feasible for your utility.
Your utility can build on the original objectives and targets once you have experience and buy-in from staff on
implementing energy improvements. Don't forget to report progress regularly as you move toward your goal!
Session 5, Module 1                                                                                       55

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 MODULE 2:  Develop Management System 'Operating Controls' to Support
                 Energy Improvements
 Module Objective: To learn how to review, identify, and  implement operating controls for your priority energy
 management activities and operations.
 You've just completed an energy efficiency review of your utility,
 established objectives and targets, and set up energy action plans to
 implement your targets. So what's next?
 Remember from Session 3,  Module 3 - for every energy activity or
 operation you determine to be a priority (above the threshold you
 established in the example - pump #1 and lighting), your utility will
 need to verify current controls (e.g., records, procedures, training) or
 implement new or additional controls to manage your priority energy
 issues.
        Remember
        Build on what you have in place
        and what currently works. Do you
        have an existing training procedure
        or plan? Or do you do a lot of on-
the-job  training? If so, build your energy
management training on what you have. If
you rely on an outside provider, contact them
to  see  what they  are  doing in terms  of
including energy topics in their programs.
        Operating controls include:
        •     Training;
        •     Communication;
        •     Controlling documents and managing records; and
        •     Work instructions/SOPs and operations/equipment manuals for energy improvements.

 TRAINING
        Why train employees about energy management and your utility's efforts to improve efficiency and reduce cost?
        •     Every employee can have potential impacts on energy demand and use; and
        •     Any employee can identify positive ways in which to improve energy management.
        To improve your energy management training and awareness, include the following steps.
        Step 1. Assess energy management training needs, develop the training, and integrate energy training with current
              training and methods your utility already has in place.
        Step 2. Conduct energy management training and document and maintain training records.
        Step 3. Develop a system procedure/plan for maintaining energy management training and awareness and/or
             integrate into ongoing and future training plans.
        Assessing energy management training needs — ask yourself:
        •     What activities affect our utility's demand and use of energy?
        •     What activities involve an identified priority for energy improvements?
        •     What types of training do we currently conduct for these areas?
        •     Can energy management roles/responsibilities/controls be included in this training?
        •     Can we tweak current training material or ask our training provider to include energy issues or do we
             need to  develop new materials?
        •     How do we currently maintain training records?
Session 5, Module 2
                                    56

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        STEP 1: Assess Energy Management Training Needs
        Training relating to energy improvements should be tailored to the different needs of employees and to
        various levels or functions in your utility. Who needs to receive energy management training at your
        facility? In assessing training needs for your utility, consider both general and specific needs. For example:

        •  "What broad understanding of energy issues does a particular employee need?"

        •  "What operating controls associated with energy management affect their daily work, and what happens if

          they aren't followed?"

        •  "What type of training does the employee currently receive?"

        STEP 2: Conduct, Document,  and Maintain Training Records
        Just like any other training you conduct, you should document and maintain (for verification purposes) your
        energy management training. Consider how you currently track training and participation.

        Energy Management and Competence
        Implementing and maintaining energy management improvements at your utility may mean that employees in
        certain jobs, particularly operations that affect or are associated with energy need to have a combination of
        education, training, and experience to do their day-to-day tasks and ensure that your utility is meeting its energy
        management commitments. Make sure you maintain records of their experience and training (e.g., certifications,
        education, and previous job records) just as you would any other verifiable training records at your utility.

        STEP 3: Develop a Training Plan/Procedure and/or Integrate  Energy Management
        Training and Awareness into Current Training Plans
        When you're satisfied that your process for
        implementing an energy management training
        program is sufficient, document what you want to do
        in your current training plans/programs. This will
        help ensure that your employees stay  current with
        your organization's energy controls and commitments
        now and in the future.
Remember
Most organizations already have some type of
training  in  place  before   they  begin
implementing energy management programs.
Build off your existing training procedures and
plans.
 COMMUNICATION
        Proactive communication is crucial for the effective implementation of your utility's energy management
        program and goals.

        The actions in this portion include:

        Step 1. Determine what energy issues need to be communicated internally and externally.

        Step 2. Determine who has an interest and who has a potential to influence your energy management goals.

        Step 3. Develop internal and external communications plans.

        STEP 1:  Determine What Energy Issues Need to be Communicated Internally and
                 Externally
        A good place to start in developing a communication strategy is to look at how your utility currently
        communicates messages internally and externally and to whom. How do managers currently get information to
        employees and receive information and communication back from employees? Leverage effective strategies that
        are already in place, especially those that are familiar to personnel such as an emergency communications plan.
Session 5, Module 2
                                     57

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        Internal Communication Vehicles:                   ^^^^^^^^^_^^^^^^^^^
                                                                     Remember
             Employee meetings
             Environmental, health, and safety training
             Working lunches
Most  organizations have some type of
communication process in place before they
begin  implementing  energy management
                                                                     programs.   Build  off  your   existing
             Newsletters                                             communication vehicles and plans.
             Pay stub inserts
        •    Intranet postings
        •    Bulletin boards
        •    "Tool box" meetings
        Once you have an internal communication strategy in place, the next step is to determine your external
        communication strategy and with whom you are currently communicating. As an organization that regularly
        reports to the public, you probably already have external stakeholders that you communicate with, including city
        commissioners or town boards, local citizens and citizen groups, the mayor or town manager, local energy utilities,
        contractors and vendors, and regulatory agencies.
        It will benefit your utility to have a proactive internal and external communication program. Reach out internally
        as well as to key external stakeholders about why you have chosen to implement energy management programs
        and what you want to achieve.
        Common Water and Wastewater Utility External Interested Parties (i.e. Stakeholders):
        •    Local citizen/community groups
        •    Regulatory agencies
        •    Energy advisory groups
        •    Local officials
        •    Contractors and vendors
        •    Energy utilities
        Internally Communicate Your:
        •    Energy Policy
             ENERGY STAR benchmarking results
        •    Energy audit results
        •    Energy improvement priorities
        •    Energy Improvement Management Programs
        •    Objectives and targets
        •    Energy savings progress and success stories
        Externally Communicate Your:
        •    Energy Policy
             ENERGY STAR benchmarking results
        •    Energy audit results
        •    Energy improvement priorities
        •    Energy objectives and targets
        •    Requirements to suppliers and contractors
        •    Annual reports including energy highlights and successes
              (e.g., Drinking Water Consumer Confidence Report)

Session 5, Module 2                                                                                           58

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        STEP 2: Determine Who has an Interest and Who has the Potential to Influence Your
                 Energy Management Goals
        Once you've determined your current audience, identify additional external stakeholders or new methods of
        communicating by determining: who potentially has a vested interest and who potentially has an effect on energy
        management improvements. In determining what to communicate to your external interested parties, your
        organization will need to assess the extent to which your strategy will be proactive. Ask:

        •  What is your current level of public acceptance?

        •  What are your external stakeholders' concerns?

        •  Have you had public relations issues in the past that require certain strategies or cautions?

        •  Since communication is most effective when it's a two-way dialogue, what type of input from them would

          interest you most and be most useful?

        •  What will be the return on investment of a proactive approach?

        STEP 3: Develop Internal and External Communications Plans
        When you've determined what and to whom you will communicate, integrate the information with your current
        communication plans and procedures. For help with your communications plan(s), review U.S. EPA's "Getting
        in Step: A Guide for Conducting Watershed Outreach Campaigns" using the following link:
        (www.epa. go v/owow/watershed/outreach/ documents/ getnstep.pdf).
 CONTROLLING DOCUMENTS AND MANAGING RECORDS
        Have you ever come across a document (e.g., a policy, procedure) and found that you couldn't tell whether it
        was current, revised, approved, or obsolete? If your utility wants to make sure that everyone is working from the
        most current and approved documents, then documents must be "controlled" and records managed so that they
        can be easily located, periodically reviewed, updated as needed, and removed when obsolete and replaced with
        current versions.

        The steps to manage your documents and records include:

        Step 1. Review current document control and records procedures.

        Step 2. Develop a format and procedure(s) for controlling documents and managing records.

        STEP 1: Review Current Document Control and Records Procedures
        Review what procedures/systems you have in place to control
        documents and manage records and those that will work best
        for your utility, including:

        •   Will a paper or electronic process or maybe a combination

           of both, work best?

        •   Who  has the responsibility and authority for creating and

           revising documents?

        •   Which documents should be controlled so to ensure that

           employees refer to the correct version?

        •   Does  your organization currently employ a standard

           document format and numbering system?
         TIP!
   •££*>   What's the difference between a
   3|   document and a record?
    ,m
         Documents are written instruments
used to keep a management system functioning.
These may be  revised  or changed as your
management system develops.
       Records provide  evidence or proof that
the organization is actually implementing the
management  system as designed  and the
procedures and work instructions are being
carried out.
Session 5, Module 2
                                       59

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        STEP 2:  Develop a Format and Procedure(s) for Controlling Documents and Managing
                 Records
        When you've developed a process for managing and controlling your documents and records, integrate that
        process with your current systems. Identify and assign responsibility for preparing documents associated with
        your utility's energy management programs and procedures, making necessary changes, and ensuring that
        documents are kept current. In other words, your utility should have a clearly defined system that designates
        authority for review and approval of documentation at various levels.

        Records Management Check

        •     Have you identified what records need to be maintained?

        •     Have you determined the period of time necessary for retaining your records?

        •     How are your records stored and retrieved (electronic vs. hard copy)?

        •     Are you maintaining all the records needed to support your utility's energy improvement priorities?

        •     Are records easily accessible?

        For samples of Document Control and Records procedure(s) from water and wastewater facilities, use this link
        (http://www.peercenter.net/ewebeditpro/items/OllFW697.pdf) and refer to Section VIII. Also, additional procedures
       from utilities can be found here: http://www.peercenter.net/sector/wastewater/emstoolbox.cfm, under sample Environmental
        Management System (EMS)Documentation.


 WORK INSTRUCTIONS/SOPs AND OPERATIONS/EQUIPMENT MANUALS FOR ENERGY
 IMPROVEMENTS
        Operating Controls
        Documents that specify the  way to execute a certain activity or operation are considerd operating controls.
        Operating controls are assigned to activities and operations involving priority energy improvement opportunities
        and are documented through the  use of work instructions, standard operating procedures (SOPs), manuals, and
        other programs. Examples include HVAC, equipment maintenance and calibration procedures, and automatic
        lighting and equipment documents or programs.

        Achieving energy management improvements requires managing or "controlling" the utility's operations
        associated with your utility's energy improvement priorities, objectives and targets, and regulatory requirements.
        What are your operating controls and how do you document them? You probably already have procedures, work
        instructions, permits, maintenance manuals, and similar in place for many of your operations and services.

        The following steps will allow your organization to determine which energy operations should be covered by
        documented procedures and work instructions and how those operations should be controlled.

        The steps to manage your energy improvement operations include:

        Step 1. Review, improve, or draft energy specific operating controls.

        Step 2. Review maintenance and  calibration requirements.

        Step 3. Check operating controls.

        Step 4. Communicate operating controls.

        STEP 1: Review, Improve,  or Draft Energy Specific Operating Controls
        Once you have a list of operations and services that require documented operating controls, look at what you
        already have in place to manage these activities. Do your current procedures reflect what is actually being done
        at your facility? How do you control the operations now and are the controls adequate? Can the employees,
        whose work the procedures describe, easily understand them? What improvements to the current procedures do
        they suggest?
Session 5, Module 2

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        One method to consider when developing or modifying your operating controls is to have someone observe a task
        being conducted.  The person would write down the steps, photograph key meters, valves, etc., and put together
        the operating control (or work instruction) in written form. The writer should ask: Why are we doing the task in
        that particular way? Has the work instruction been reviewed by everyone who completes the task?  This will
        allow the best practices to be used and ensure that all shifts will perform the task in the same way.
        STEP 2: Review Maintenance and Calibration Requirements
        Once you have identified operations that require control and have documented your procedures and work
        instructions, determine the maintenance and calibration requirements for these operations and services, and then
        document and maintain these records. Don't ignore the maintenance manuals that come with your energy and
        energy related equipment (e.g., HVAC or pump manuals).

        Review the maintenance activities you are currently conducting. Are they sufficient? Timely? Preventive or
        reactive? Some organizations place critical monitoring equipment under a special calibration and preventive
        maintenance program. This can help to ensure accurate monitoring and make your employees aware of which
        instruments are most critical for energy monitoring purposes.
        STEP 3: Check Operating Controls
        About two or three months after you have documented and implemented your operating controls, check if they
        are working according to your plan. Here are some questions to focus on:

        •    Have you identified all operations and activities associated with energy improvement priorities?
        •    Are these operations and activities under control through programs, documented procedures, work
              instructions, etc.?
        •    Have you communicated and trained your employees, suppliers, vendors, and contractors on applicable
             procedures, work instructions, and policies?
        •    What benefits/improvements are you experiencing?
        •    What adjustments need to be made?


        STEP 4: Communicate Operating Controls
        Review your energy-related documented procedures and work instructions with all applicable employees.
        Discussing your procedures with the people who will implement them will help secure buy-in. Also
        remember to communicate operating controls with applicable vendors, contractors, suppliers, and temporary
        staff.

        Examples of energy operations and services that may require operating controls:
        •    Equipment/tool calibration;
        •    Pump maintenance; and
        •    Management of contractors.

        For many types of water and wastewater equipment, operating controls make a real difference in energy
        consumption.  For example, pumps and motors are most efficient at particular settings.

        Note: As you update or develop homeland security and/or incident response and emergency preparedness and
        response plans, procedures for potential power failures could also be developed. Consider what connections these
        procedures might have with energy improvement programs.
Session 5, Module 2

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o
CONSIDER THIS...
Build your energy plans, programs, and documentation on what you already have in place.
Employees closest to the operations needing control should be involved in developing improved work
instructions and SOPs.
 For examples of operating controls for energy operations, review Appendix K.

 Session 5 Resources & Tools
 EMS Handbook for Wastewater Utilities: http://www.peercenter.net/toolkit/5tep By Step.cfm
 Moving to the Next Session •    •
 In Implementing Energy Improvement Programs and Building a Management System to Support Them, you completed action
 plans for your energy objectives and targets and developed operating controls for the energy activities that you
 determined were priorities. In the next session, you will measure the progress of your energy targets, establish periodic
 energy audits, a corrective action program, and a process to continually review legal and other requirements and your
 energy goals with management.
Session 5, Module 2                                                                                         62

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 SESSION 6: Monitoring and  Measuring Your Energy Improvement
                  Management Programs
So far, you've identified your current status on energy performance,
identified priority areas for improvement, set objectives and targets, and
developed energy action plans or Energy Management Improvement
Programs. You have also put procedures, work instructions, operating
controls,  and training in place to ensure that your priority  energy
improvements are managed.

The next step is to monitor and measure your progress in meeting your
energy objectives and targets and assess your compliance toward meeting
your regulatory requirements. Monitoring and measuring allows you to
track your performance and improve efficiency by managing what you do.
The results of your objectives and targets and other efforts are easier to
demonstrate when current and reliable performance data are available and
referenced against a defined baseline. This data can help you demonstrate
the value of your energy management activities to top management and
to other vested parties such as utility staff and your local community.

In this Session on Monitoring and Measuring, you will develop ways to:

       1. Review what you currently monitor and measure for energy.
       2. Determine what else you need to monitor and measure for
         your priority energy improvement operations.
       3. Develop a plan for maintaining the efficiency of energy
         equipment.
       4. Review the progress of your energy targets.
       5. Implement actions to adjust or correct when you are not
         progressing toward your energy goals.

       6. Monitor/Reassess compliance status.


Let's first review a few key terms that will help as you determine what to
monitor and measure for energy targets.

Key Characteristic: An element of an energy target, operation, or activity
that can be measured or evaluated for energy performance.

Performance Indicator: What exactly you will measure to evaluate and
verify performance improvements in relation to a specific target.  For
example, measuring the direct and indirect emissions of carbon dioxide
(CO2) per year from established baselines to check the progress in meeting
your target of 25% CO2 reduction from 2006 levels.
       Act

    Check
       Keys to Success
0  Make sure the data you collect is
    useful and has meaning for what
    you want to accomplish

0  Hold regular progress reviews of
    the Energy Improvement

    Management Programs to ensure
    you are on track to meet your

    targets
0  Communicate the status and
    progress of your energy targets
    to staff, management, and other

    stakeholders
Session 6
                                63

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 MODULE 1: Review What you Currently Monitor and Measure for Energy

 Module Objective: To review the energy and energy-related data and information you currently collect.

 In Session 2, you identified your current status on energy consumption and energy performance. This required identifying
 a number of data elements and sources. In Session 4, you established energy targets and identified performance indicators
 that could be used to measure your progress. Therefore, you've compiled many of the methods and tools you'll need to
 monitor and measure your energy management progress.

 Apply Your Knowledge
 Using the example below and the blank worksheet in Appendix L to document what you are currently measuring and from
 where you obtain this data. Refer back to Session 2 as applicable.

 A water or wastewater utility might want to record the following:
Data Element Units Data Source
Overall electricity consumption
Peak electricity demand
Electricity demand by system
(HVAC, lighting, pumps, other)
Wastewater treated
Natural gas consumption
Methane captured
Electricity generated
Steam supplied
NOx Emissions
Gasoline purchased
Diesel fuel purchased
Biodiesel fuel purchased
kWh per month
kW
kWh per day
Million gallons per day
Million BID per month
Million BID per month
kWh per month
Million BTU per month
Pounds per day
Gallons per month
Gallons per month
Gallons per month
Utility bills, Automatic Energy Management
System
Utility bills, Automatic energy management
system
Automatic Energy Management System
Pump records
Utility bills
Combined Heat and Power (CHP) system
CHP system
CHP system
CEM on CHP system
Energy Consumption Invoices
Energy Consumption Invoices
Energy Consumption Invoices
o
CONSIDER THIS...
When you have two sources for data, list both. It can be useful to cross-check your data.
Session 6, Module 1
                                                                                           64

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 Module 2: Determine What Else you Need to Monitor and Measure for
               Your Priority Energy Improvement Operations

 Module Objective: To determine what data your utility will need to collect to achieve its energy targets and to manage
 energy improvements.

 Information collected by monitoring and measuring your key energy issues can help you determine what you need and
 answer the questions:

       •     Is your energy improvement program being carried out as planned?

       •     Is your utility achieving its energy commitments and its objectives and targets?

       •     What information is most valuable?

 Look back at your energy objectives and targets and energy plans from Sessions 4 and 5. What energy data and
 information needs to be collected for you to achieve your energy targets? What are the key characteristics of the operations
 and related equipment and how do you measure these characteristics to ensure proper energy performance?

 Referring back to the pump (#1) and lighting energy opportunity examples, let's make a sample list of the operating
 controls, key characteristics, monitoring and measurement methods, and calibration needs for operating and maintaining
 pumps and lighting.
   Energy-Related     Energy-Related   Operational Controls   Key Characteristics
     Operation          Impacts                         of Operation or
                                                        Activity
Monitoring or
Measurement
  Methods
Equipment & System
 Calibration Needs
Operate and
Maintain Utility Pumps











Lighting for
Operations Building







Overall energy cost
($)

Electricity
consumption (kWh)

Peak electricity
demand (kW)





Overall energy cost
($)
Electricity
consumption (kWh)





Pump maintenance
manual

Time-of-day pricing

Pump schedule
(operations deferred
to off-peak hours
when possible)

Float settings


Automatic lighting
control system
Work instructions on
turning off unneeded
task lighting

Work instructions on
limiting overrides of
automatic controls
Energy (kWh) per
million gallons

Load profile

Cost of energy
($/kWh)

Peak demand charges
($/kW)



Energy (kWh) per
month
Cost of energy
($/kWh)





Track energy
consumption

Track volume pumped

Note changes in
electricity cost

Calculate kWh/MG

Chart daily and
monthly load profile
Monthly energy report
Track energy
consumption
Note changes in
electricity cost

Include in monthly
energy report


Flow meters

Electric Meters

SCADA








Automatic lighting
control system







Session 6, Module 2

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 Apply Your Knowledge
 Using the sample table on the previous page and the blank worksheet in Appendix M, draft a list of the operating controls,
 key characteristics, monitoring and measurement methods, and calibration needs for the priority energy opportunities
 your Energy Team came up with in Session 3.
 Calibration
 Calibration of your systems is an extremely important aspect of
 maintenance. Your equipment may have calibration procedures set by
 the manufacturer that must be followed. You may need to document
 calibration requirements and dates for equipment that affect your
 targets or your compliance requirements. Example of calibrated
 equipment could include flow, pH, chlorine monitors, or thermostats
 used by the HVAC system. Make sure a regular schedule is in place to
 calibrate the equipment and make sure you retain your calibration
 records. Remember, some equipment may be calibrated off-site, so
 make sure the vendor supplies you with a copy of the records.

                                           Think about what else
                                                              ,
                                                              <*[//'
          Remember

          Don't forget about the maintenance
          manuals that come with your energy
          operations equipment.  They may
          contain    calibration    and/or
measurement methods for your equipment. In
addition, your equipment may have calibration
procedures set by the manufacturer, and often
equipment comes with annual maintenance
provided by the vendor.
  "Monitoring and measurement takes the
  pulse of an organization. Their application
  can be the most important tools in a
  manager's toolbox with regard to setting
  goals, objectives and targets, and improving
  overall operations."

  Rick Bickerstaff
  Commissioners of Public Work
  Charleston, South Carolina
                                you might want to monitor and measure. Your performance indicators
                                help you measure progress towards your energy goals and help you
                                demonstrate compliance with legal and other requirements.

                                In the course of establishing the tasks needed to meet your energy goals,
                                you may have identified additional data needs. Add those as applicable
                                as well. For example, reducing NOx  emissions may not be a priority
                                objective if your utility is well below its limit but you need to monitor and
                                measure the quantity of NOx as a regulatory parameter.

                                Review the worksheet below for example utility requirements, their
                                associated performance indicators, and potential data sources.
             Requirement
 Keep NOx emissions under 1 ton per ozone
 season
                                   Performance Indicator
                          NOx emissions (Ibs per ozone season)
                 Data Source
     Continuous Emission Monitor on CHP system
 Ensure fewer than 5 power outages of one
 hour or more each year
                          Number of power outages exceeding one hour
     Automatic Energy Management System
 Ensure fewer than 3 unscheduled service calls
 for CHP system per year
                          Service calls for CHP system
     Energy Consumption Invoices
 o
CONSIDER THIS...
If you are going to spend the time and resources to collect information, make sure that it is useful and
meaningful to your utility.
Session 6, Module 2
                                                                                                  66

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 MODULE 3:  Develop a Plan for Maintaining the Efficiency of Energy Equipment
 Module Objective: To ensure that energy-related equipment is properly maintained.
 Energy equipment can be a substantial investment for your organization. A methane capture system feeding a combined
 heat and power system, a back-up generator, and an automatic energy management system are significant capital
 investments. Proper maintenance can ensure that these systems operate smoothly and reliably. Neglecting maintenance
 can lead to system failures and possibly dangerous situations. The details of the necessary maintenance will vary from
 system to system but will typically be provided by the vendor.
 For your energy equipment or system, note the following.
        • Who  is responsible for maintenance? With new equipment, does the vendor provide maintenance for the
         first year?
        • What is the schedule of maintenance actions?
        • Are all the necessary resources available for maintenance (e.g., fuel, spare parts, filters, etc.)?
        • Are there specific outside contractors brought in to perform maintenance, or is there a process for
         finding such contractors?
        • Is performance evaluated on a regular basis?
        • Where are the maintenance records and performance evaluations of the equipment or system recorded?
 Energy equipment performance will vary depending on what type  of system is included.  For example, performance
 indicators for a back-up engine generator might include the following:
        • Start-up time;
        • Fuel consumption;
        • Electricity generation; and/or
        • NOx  emissions.
 For an energy system maintenance check, an example performance indicator for an automatic energy management system
 (meters and a software program) would be very different and might include the following:
        • Degree  of agreement with utility meters;
        • Number of manual adjustments/overrides needed to automatic controls; and
        • Number of technical support calls needed in past quarter.
  ©
CONSIDER THIS...
Proper energy equipment and system preventive maintenance can save repair costs and improve performance
and reliability.
Session 6, Module 3                                                                                       67

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 MODULE 4:  Review the Progress of your Energy Targets

 Module Objective: To develop a plan for regular, periodic reviews of your Energy Improvement Management Programs.

 You now have the information you need to measure progress and use the information in regular, periodic reviews of your
 Energy Improvement Management Programs. This will help you get a clear picture of your performance and progress
 relative to your established energy targets.

 In developing your review plan, consider the following.

        •  When is the review conducted?
        •  How is progress measured?
        •  Who is responsible for the review? Are they sufficiently trained?
        •  What will be done with the outcome of the review?

 The bullets below provide a sample method for a utility to periodically review the progress of their energy targets.
        •  Review your Energy Improvement Management Programs within six months after initial implementation.
        •  Assess your energy targets using the performance indicators you developed for each task in the Energy
          Improvement Management Programs.
        •  The status and progress of each task can be reported by the applicable staff listed in your plans.
        •  Use the outcome of the review as a scorecard for each target indicating the progress, the next steps, and any
          corrective actions recommended.
 Apply Your Knowledge
 Using the example Energy Improvement Management Programs Progress Review* on the next page and the blank
 worksheet in Appendix N, sit down with your Energy Team and develop a Progress Scorecard based on the energy
 target(s) you set with your utility in Sessions 4 and 5.

 * Note: Your utility may wish to consider a different method to evaluate the energy target's performance.

 Conducting Periodic Energy Audits
 Conducting a periodic energy audit is another type of review or
 status check you could consider for your energy management
 plans  and programs. Remember from Session 2 that  you
 conducted a baseline  energy  audit for your utility. With
 periodic, follow-up energy audits, you can have a clear before
 and  after  characterization  of your energy management
 activities. This is particularly important if you are installing a
 number of new systems  or changing operational practices.
 Remember, you'll want to ensure that you actually achieve or
 exceed the energy  savings you set out to accomplish. Not every
 periodic review needs to be a full-scale energy audit, but audits
 should be a regular part of assessing your performance.
       TIP!
       fit is sometimes beneficial to consider a third
       party performance contract to implement
  '"    some or all of your energy-related initiatives.
A useful tool to see if you are a good candidate for
guaranteed energy performance can be found at:
http://www.ener gyservicescoalition.org
/ resources /Ssteps .htm.
  "I wish we had documented costs and cost
  savings earlier. Measuring and monitoring
  are the most important things you can show
  rate payers and tax payers the actual money
  you have saved."

  Mark young
  Director, Lowell Regional Wastewater Utility
  Lowell, MA
Session 6, Module 4
                                              68

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 Energy Improvement Management Programs Sample Progress Review Table
Objective Reduce Energy Costs
Target for 12/31/08
Status at 12/31/07
Tasks Identified
Tasks Accomplished
Observations
Corrective Actions Needed
Next Steps
Reduce overall energy cost by 10% from 2006 levels by 2009
Energy cost reduced by 6% from 2006 levels
Install automatic lighting controls
Replace pump #1
Replace windows and improve insulation around doors
Increase CHP generation by 10%
Evaluate potential for participation in demand response program
Automatic lighting controls installed
Replaced windows and improved insulation around doors
Increased CHP generation by 12%
New pump purchased but not yet installed due to contractor delays
Better insulation allows for down-sizing of HVAC system - which is in need of replacement
Efficiency of pump from ABC judged to be not compatible with operational
and energy efficiency requirements
Have purchasing review pump suppliers to find pump with appropriate operational and energy efficiency
requirements
Replace HVAC system with ground-source heat pump
 What do you do if your utility progress report or energy audit status check shows that your energy targets are not
 performing as intended?  In this case, first determine the reason or cause of why the targets are off course, and then
 implement a corrective action to get your energy target back on course.  The subsequent module and Session will provide
 further information on this topic.
  o
CONSIDER THIS...
You've put a lot of effort into developing your Energy Improvement Management Programs and collecting
the necessary information to monitor and measure your performance and progress towards your energy
targets. Regular reviews will make sure these efforts will pay off.  In addition, have regular checks on the
progress of your energy objectives and targets and report the results to top management and staff.
Session 6, Module 4
                                                                                             69

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 MODULE   5:  Implement Actions  to  Adjust  or  Correct When  You  Are  Not
 Progressing Toward Your Energy Goals

 Module Objective:  To identify measures to meet energy targets when current efforts are not as successful as originally
 planned.

 If you have set ambitious targets, it's possible that one or more may not have been attained by the time the review is
 conducted.  Weather patterns, electricity markets, contractor schedules, budget cycles, and other factors may have
 prevented your utility from achieving everything you set out to accomplish.  Use the review to identify why your target
 was not met and what can be done to achieve that target in the future. The following are some helpful questions to pose.

 Was the target realistic?
 An overly ambitious target may be simply unattainable. If a utility set a goal of reducing energy expenditures, but faced
 a "perfect storm" of increasing energy prices, increasing volume of water treated, and a particularly cold winter, even the
 most ambitious energy management program may be unable to provide a net reduction in energy costs.  If your
 organization did  everything it set out to do but couldn't  meet the target,  consider revising the target based on this
 information.

 Were the identified tasks sufficient to achieve the target?
 Your organization may have identified tasks to meet the target and accomplished all of these tasks but yet did not achieve
 the target.  For example, a utility's target may have been to reduce peak energy demand by 20 kW and the identified
 measures are estimated to provide that peak reduction. Some measures have uncertain benefits that are estimated based
 on experience of similar organizations. Once implemented, the actual demand reduction may turn out to be 17 kW. The
 utility may have done almost everything right, but the identified tasks were insufficient to meet the target. The utility can
 resolve to add in extra measures next time for a margin of error.

 Were some tasks not completed?
 A likely reason for targets being unmet is that one or more tasks was not completed. There may be any number of reasons
 for this. The team responsible for that task should be prepared to explain the reasons for the delay or omission. Was the
 task deemed not feasible?  Were there delays due to factors beyond the organization's control? Was the original estimate
 on the timing of the task unrealistic?

 Did anything change?
 As mentioned above, wet and dry flows, weather patterns, electricity markets, contractor schedules, budget cycles,
 personnel changes, and other factors may affect how your utility attempts to achieve its energy goals.

 Once you've identified why the targets have not been met, identify an appropriate response. This  may include revising
 the targets, modifying the task list, or providing additional resources to the team implementing a specific task.

 If all of your targets  have been met with relative ease, take time to applaud your efforts, and then consider setting more
 ambitious targets for the next phase of your energy management program.
 ©
CONSIDER THIS...
There will be "lessons learned" throughout the process of setting targets and identifying tasks. Listen to your
Energy Team as they discuss any difficulties encountered.
Session 6, Module 5                                                                                        70

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 MODULE 6:  Monitor/Reassess Compliance Status

 Module Objective: To learn how to check your compliance with your energy-related legal requirements.

 You evaluated your compliance with legal and other requirements in Session 2. Since your energy targets could involve
 some changes to your equipment or operations, it is important to repeat this evaluation at regular intervals.

 It's time to check if reducing your energy consumption has affected your compliance requirements. From the example, did
 installing a new pump, installing automated lighting, or utilizing renewables affect your compliance requirements? Refer
 back to Session 2, Module 6 and the compliance baseline review you conducted. Ask the following questions once you've
 implemented your energy improvement programs.

        •     How has compliance been affected by your energy conservation measures?

        •     Have any regulations been affected? If so, which one(s)?

        •     Is the regulation up-to-date?

        •     Are we still in compliance according to all pertinent agencies?

        •     Do we expect to remain in compliance?

        •     Are there opportunities to go beyond compliance?
  ©
CONSIDER THIS...
Priorities may shift with new budget cycles or new regulations. While energy management will be beneficial
to your utility and your community, the scope of measures that you are able to employ may shift with
changing requirements.
 Session 6 Resources & Tools
 ENERGY STAR's Portfolio Manager: (https://www.energystar.gov/istar/pmpam/)
 Moving to the Next Session •    •
 In Monitoring and Measuring Your Energy Improvement Management Programs, you determined what you currently do as well
 as need to do to monitor and measure and develop an equipment maintenance plan. You also developed a way to
 regularly review progress, take corrective action if needed, monitor compliance, and communicate progress. In the next
 and final session, you will learn to effectively maintain your energy improvement programs by continuing to align energy
 goals with your utility's priorities, apply lessons learned, expand involvement of management and staff, and ultimately
 communicate success.
Session 6, Module 6                                                                                       71

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SESSION 7: Maintaining Your Energy Improvement Programs
In this Guidebook, we have demonstrated that it makes good operational
and business sense to utilize a systematic approach to optimize your
energy efficiency and conservation efforts. Through a replicable Plan-Do-
Check-Act approach, the Guidebook has provided step-by-step Sessions and
modules necessary to translate and prioritize your energy improvement
areas and cost savings opportunities into achievable, quantifiable targets.
This Guidebook has also provided real life examples and case studies from
water and wastewater utilities that have already realized the benefits of
setting and achieving energy improvement goals. In addition, don't forget
about the energy tools and resources provided throughout the Guidebook
and the utility practitioners who have experience in systematic approaches
and in implementing successful energy improvement programs.
In this session you will:

       1. Continue to align your energy goals with business/operational
         goals.
       2. Apply lessons learned.
       3. Expand involvement of management and staff.
       4. Communicate success.
Act
                                                                   Check
                                                                                    '
                                                                       Keys to Success
                                                                0  Communicate energy
                                                                   achievements and build on
                                                                   successes
                                                                0  Encourage further staff
                                                                   involvement
                                                                0  Aligning energy goals with
                                                                   operational objectives and
                                                                   mission
Session 7
                         72

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 MODULE 1:  Continue to Align Energy Goals with Business/Operational Goals

 Module Objective: To align your energy efficiency and energy cost savings goals with your current or planned business
 and operational systems/programs.
 As your utility plans and implements its energy improvement opportunities, it is important to ensure that your energy
 goals are aligned with your organization's overall business and operational management practices. Here are some
 questions you may wish to consider at each of your energy program reviews.
        •  Have our priority objectives changed?
        •  Has the business or policy environment changed in such a way that the targets need revision?
        •  Have new resources or funding assistance programs become available that would support setting additional
          objectives or targets?
        •  In terms of setting targets and identifying tasks for energy performance, do we feel that our current process is
          sound and efficient?
 As an example, consider the replacement of aged infrastructure at your utility through an asset management program. If
 you choose to replace older pumps with newer, more energy efficient ones through an energy management program, this
 aligns well with your asset management goals.
 Utility Case Study: Lowell, MA Regional Wastewater Utility
 The following is an example of activities Lowell Regional Wastewater District implemented over time to meet business
 and operational goals.
        •  Installed motion sensors and have achieved payback of $20,000/year.
        •  Adopted purchasing and bidding procedures to specify that when equipment needs to be replaced, it will be
          replaced with energy efficient equipment.
        •  Installed energy efficient pump motors (VFDs) with payback of 2 years, estimated annual energy costs savings
          of $145,538; lifetime reduction of 953 tons of CO2, 2 tons of SO2, and 1 ton of NOx.
        •  Currently exploring potential for on-site generation of energy using effluent flow and microturbines.
        •  Currently directing consultants who are developing a comprehensive upgrade plan to incorporate energy
          efficient systems and equipment early and throughout the planning process.
 For examples of how Camden County (New Jersey) Municipal Utility Authority has reduced their energy consumption,
 review Appendix O.Other examples can be found at:
 (http://www.nyserda.org/Programs/Environment/muniwaterwwtTDDComplete.asp) to view a series of water and
 wastewater utility case studies from the  New York State Energy Research and Development Authority.
  "Energy management investment is an asset management tool
  that provides daily operational savings with increased process
  control."
  James L. Jutras
  Water Quality Superintendent
  Essex Junction, Vermont
  ©
CONSIDER THIS...
By aligning your energy improvement opportunities with your utility's business/operational goals, your
utility will focus its attention on the priorities that matter most to facility management and the local
community.
Session 7, Module 1                                                                                       73

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 MODULE 2: Apply  Lessons  Learned
 Module Objective: To successfully apply what you've learned through implementation of your utility's energy targets
 and the examples from your utility peers that have successfully developed energy improvement programs.
 Throughout this Guidebook, there are energy tools and resources, as well as case studies and working examples of energy
 improvements from water and wastewater utilities that can further assist you as you plan, prioritize, and implement your
 utility's energy objectives and targets. Keep the following lessons, provided by water and wastewater utilities, in mind
 as you develop the energy goals for your utility.

        • Communicate success, including the progress of your energy improvement targets, early and often to help
          motivate management and employees to the benefits of your energy programs.
        • Clearly define roles and responsibilities for energy management.
        • Remember the KISS rule. Keep the methods to review your priority energy improvement opportunities straight
          forward and flexible. Remember, this process is not set in stone. If you do not feel the criteria selected are
          right or the analysis is working as intended, make a change.
        • Choose targets that are realistic and quantifiable and that come from your "low hanging fruit" or quick  win
          energy improvement opportunities.
        • Contact water and wastewater treatment facilities that have implemented energy improvement programs and
          benefit from their knowledge. Members of the Steering Committee that participated in the development of this
          Guidebook are eager to share their insights as well.
o
CONSIDER THIS...
Build on the successes and learn from the plans and procedures that did not work that well when developing
and maintaining your utility's energy plans, programs, and goals.
 Session 7, Module 2                                                                                         74

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 MODULE 3:  Expand Involvement of Management and Staff

 Module Objective: To learn how to expand the involvement of utility staff in planning and implementing Energy
 Improvement Management Programs.
 Regardless of the size of your utility or the scope of your energy
 fenceline, it is easy to allow energy improvement programs to become
 "Steve's" or  "Megan's" or "the Energy Team's" program.   If a
 particular  person or  group writes your  energy  management
 plans/procedures, does all  the training, and  is responsible for
 implementing most of your energy objectives  and targets, what
 happens if Steve or Megan or some members of  your Energy Team
 move on?  The investment your utility has made in your energy
 improvement program could be in jeopardy.
                                                         •Ai
                                                              Remember
        Your Energy Team and other cross-
        functional teams can also help the
        integration of your energy programs
into other utility systems such as environmental,
quality assurance, conservation, security, or
asset management.
 One solution that has proven successful is to expand the involvement of management and staff at your utility. Not only
 should your Energy Team be cross-functional, with representation from across the utility, but you should also have
 different levels of staff involved including management on your Energy Team. Management's input is critical to the
 success of your energy improvement goals and will help ensure buy-in and commitment from your entire staff.

 In addition, transferring the experience and knowledge throughout your utility will help capture and maintain institutional
 knowledge of the energy program as utility staff retire or move on to other locations and positions. Your incorporation
 of energy efficiency/conservation maintenance, calibration, and other requirements into your training programs will also
 help keep your energy improvement programs going strong.

 Remember, recognizing the accomplishments of individuals or teams is a key to sustaining support and momentum.
 Rewarding effort sets the example for what constitutes success and helps motivate employees through increased job
 satisfaction. To review a few ideas for ways to recognize personnel for their efforts, use this link
 http:/ /www.enerevstar.eov/index.cfm?c=recoenize achievements.internal recoenition.
 o
CONSIDER THIS
Involving management and staff from all levels and functions will deepen the experience and knowledge base
for your energy programs. Continue to communicate the message indicating the importance of energy goals
from top management to operations and throughout your utility.
Session 7, Module 3
                                                                                             75

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 MODULE 4:  Communicate Success

 Module Objective: To communicate the on-going successes of your utility's energy management plans.

 Now that you've developed your utility's Energy Improvement Management Programs, make sure that your employees,
 your management, and your community know what you want to accomplish with regard to energy improvement and how
 you're doing against your goals.

 You may wish to consider attending conferences sponsored by the U.S. Environmental Protection Agency (EPA), by the
 Water Environment Federation (WEF), the American Water Works Association (AWWA) or participating on their energy
 committees. The National Association of Clean Water Agencies (NACWA) is another organization involved in promoting
 sustainable infrastructure. Through these and other trade associations, you can share the benefit of your experiences with
 your peers and in turn learn from their experiences.

 The ENERGY STAR Program, supported by the U.S. Department  of Energy and U.S. EPA, is  one opportunity for
 demonstrating superior performance in energy management. In addition, many states have a municipal energy challenge
 that you can join and enter your water or wastewater treatment plant to reduce your energy consumption. Also, your
 electric or gas utility may have a program for recognizing peak demand reductions in the summer months. There are also
 many entities that recognize organizations that reduce greenhouse gas emissions.
 ©
CONSIDER THIS...
Remember, employees and external stakeholders respond best to information that is meaningful to them.
Putting energy performance information in a form that is relevant to each internal and external stakeholder
will increase the likelihood they will act on the information.
Session 7, Module 4                                                                                       76

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CONCLUSION
Energy production and energy use can impact your utility in many areas of operation. Energy production is a major
source of environmental impact that affects air quality, water quality, the depletion of natural resources, and climate
change, while energy usage takes costs from a facility's budget that could be better spent on employee wages/benefits or
to stabilize utility rates. A well thought out and implemented Plan-Do-Check-Act process will conserve energy, reduce
or avoid costs, and reduce the depletion of non-renewable sources of energy as well as minimize the energy production
and usage impacts, strengthening the position of the utility.

As you utilize the information in this Guidebook for your water and wastewater utility, remember the following.
       •  Energy production and use affects air quality, water quality, the depletion of natural resources, and the
          generation of greenhouse gases that contribute to climate change.
       •  Wastewater and water utilities' challenges in meeting energy needs and costs are increasing.
       •  Every dollar spent on energy is a dollar that it is not available for employee wages/benefits or to stabilize utility
          rates.
       •  Proactively and systematically looking for ways to reduce energy consumption and costs is a critical part of
          managing operations.
       •  Tools and resources are available for utilities interested in conserving energy, reducing costs, and increasing
          the use of renewable sources of energy.
       •  Many utilities have had great success in improving their energy management but the most effective are those
          that integrate energy projects into a sustainable Plan-Do-Check-Act process.
       •  A better managed, more efficient utility enjoys an improved image, position, and relationships with regulatory
          agencies as well as tax or rate payers.

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                                       RESOURCES/TOOLS

Best Practices for Energy Management, AWWA Research Foundation, 2003.

The Cleaner and Greener Emission Reduction Calculator

Combined Heat and Power Partnership; U.S. EPA

Energy Audit Manual for Water/Wastewater Facilities, published by EPRI, 1994.

Energy Conservation in Wastewater Treatment Facilities - MOP FD-2, published by WEF, hardcover, 1997.

ENERGY STAR'S Benchmarking Tool

ENERGY STAR'S Portfolio Manager

ENERGY STAR Guidelines for Energy Management

EPA's National Environmental Performance Track Program: www.epa.gov/performancetrack

Opportunities for and Benefits of Combined Heat and Power at Wastewater Treatment Facilities, by Eastern Research Group for
EPA, April 2007.  Very good on CHP options.

Roadmap for the Wisconsin Municipal Water and Wastewater Industry; funded through Focus on Energy, this roadmap
addresses four key areas of concern that industry representatives have identified: energy use and supply, aging plants and
infrastructure, sustainable water supply, and waste-product reuse.

Roadmap to Energy in the Water and Wastewater Industry, ACEEE, 2005; focused on what industry stakeholders think would
benefit them.

Wastewater Management Fact Sheet: Energy Conservation, U.S. EPA, July 2006; discusses energy audits, renewable energy,
and other options.

Water & Sustainability (Volume 4): U.S. Electricity Consumption for Water Supply & Treatment - the Next Half Century, EPRI
Topical Report, March 2002.

Water-Energy Relationship, CEC staff paper, June 2005. This document focuses more on water treatment but has a fair
amount of (California-specific)  material on energy demands for wastewater treatment, including figures of kWh per
million gallons. This document  also has a great list of references.

Watergy: Taking Advantage of Untapped Energy and Water Efficiency Opportunities in Municipal Water Systems, Alliance to
Save Energy, 2002.  Very much its own sort of management approach, with case studies from all over the world.
                                                                                                        78

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         APPENDICES
   Ensuring a Sustainable Future:
An Energy Management Guidebook
for Wastewater and Water Utilities

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SESSION 2: Appendices
Appendix A

Utility Case Study: Essex Junction, Vermont Wastewater Treatment Facility

Turning Methane into Money: Cost-Effective Methane Co-Generation Using Microturbines at a
Small Wastewater Plant ~ Paper

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                                                       Essex Junction, VT
  Project Summary
 In an effort to cut operating expenses and keep
 wastewater rates stable, the Village of Essex Junction
 partnered with Efficiency Vermont, Northern Power
 Systems, and Hallam Associates, Inc. to incorporate
 methane-fueled co-generation using microturbine
 technology into the wastewater treatment process.
 Methane-fueled co-generation has been implemented at
 many large wastewater facilities in the United States, but
 is often not considered cost effective for smaller plants.
 The Essex Junction facility is the first of its kind in New
 England, confirming the viability of small-scale
 application of this process.

 While treating wastewater, the waste sludge is processed
 in an anaerobic digestion tank, meaning the tank has no
 oxygen.  This part of the process stabilizes the sludge
 and reduces its volume.  Methane gas is produced from
 the anaerobic digestion.  In the past, the methane gas
 was collected and burned in a flare. Now, methane-
 fueled co-generation allows nearly 100% of the
 methane to be used as fuel for two microturbines that
 generate electricity.  The heat emitted from this process
 is then captured and used to heat the anaerobic
 digestion tanks.

 Methane-fueled co-generation is a method of producing
 electricity and creating usable heat that enables the
 facility to save energy and money. It is also a great
 example of renewable and distributed generation
 efforts.

 The Village of Essex Junction and Efficiency Vermont
 were honored with a 2003 Vermont Governor's Award
 for Environmental Excellence and Pollution Prevention.
 Project Facts
The need: To reduce operating costs of the
wastewater treatment facility.
The solution; Use waste methane gas that is
already collected on-site to generate electricity,
thereby reducing  the need for commercial
energy.
Efficiency Vermont
                your resource/or ene$y saufhgs

  www.efficiencyvermont.com
                                                Owner:
                                                Village of Essex Junction
                                                (802) 878-6943

                                                Design/Build:
                                                Northern Power Systems
                                                Waitsfield, VT
                                                (802) 496-2955

                                                Engineer:
                                                Hallam Associates, Inc.
                                                South Burlington, VT
                                                (802) 658-4891
Additional Funding Support:
Biomass Energy Resource
Center
Montpelier, VT
(802) 223-7770

NativeEnergy
Charlotte, VT
(800)924-6826

United States Department of
Energy
http://www.energy.gov
                                                   Energy efficiency
                                                   upgrade costs
                                                   Estimated first year utility
                                                   bill savings

                                                   Energy efficiency
                                                   investment payback
                                                   (after incentives paid)

                                                   Estimated lifetime
                                                   customer savings (15 years)
                  $303,000



                   $37,000



             About 7 years



                  $555,000
                                                 Efficiency Vermont was created by the Vermont Legislature and the
                                                 Vermont Public Service Board to help all Vermonters save energy, reduce
                                                 energy costs, strengthen the economy and protect Vermont's environment.
                                                 Efficiency Vermont is currently operated by Vermont Energy Investment
                                                 Corporation (VEIC), an independent non-profit organization under
                                                 contract to the Vermont Public Service Board. VEIC is a Vermont based
                                                 organization, founded in 1986.

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   Turning Methane into Money: Cost-Effective Methane Co-Generation
               Using Microturbines at a Small Wastewater Plant

                 Gillian Eaton, Vermont Energy Investment Corporation
                  James L. Jutras, Village of Essex Junction, Vermont
ABSTRACT

       Application of microturbines for methane-fueled combined heat and power generation
represents an innovative, renewable energy technology. While methane-based co-generation
has been widely implemented at large wastewater facilities, it is generally not considered to
be cost-effective for smaller plants.  The Village of Essex Junction, with the support of
Efficiency Vermont, has successfully implemented microturbine technology at its 2.0 million
gallon per day (MOD) average-flow, municipal wastewater treatment facility, and can provide
firsthand information on its financial benefits. The Essex Junction facility design is 3.3 MGD
with flows at 2.0 MGD.
       The  Essex  Junction  co-generation  project  installed  two,  30  kilowatt  (kW)
microturbines that combust waste  methane gas to generate  electricity.  Waste heat from the
microturbines is used to maintain 100-degree Fahrenheit temperatures for the site's anaerobic
digestion process.  Total system efficiency of electricity and heat generation is greater than
80%.  With nearly  100% use of its waste methane, the facility now saves approximately
412,000kilowatt-hours (kWh) (36% of annual usage) and $37,000in electricity costs per year.
As a result, more than 600,000 pounds of carbon dioxide emissions from power plants will be
prevented because of this project.
       The Essex Junction project is the first of its kind at  a small New England wastewater
facility.  Similar projects could likely  be  implemented at 5-15% of the nation's 16,000
publicly-owned wastewater  treatment facilities.   Efforts to  expand  methane-based  co-
generation  at  wastewater facilities  would yield  significant energy savings,  while  also
supporting pollution prevention, renewable energy, and distributed generation efforts.  This
paper will describe  the  benefits  of methane-fueled  microturbine  co-generation,  provide
lessons learned from the experience of a 2.0 MGD facility, and show the cost-effectiveness of
this innovative technology.

Introduction

       The Village of Essex Junction, Efficiency  Vermont, and other project partners were
able to leverage each other's technical and financial resources to complete a project  that will
help Essex  Junction's rate  payers for  years  to  come.   While many municipalities  are
struggling with maintaining infrastructure in the face of increasing costs, there are innovative
and effective ways to increase  efficiency, conserve  energy resources, and  reduce operating
costs.  Methane-fueled microturbine co-generation  provides such an opportunity  at Essex
Junction.
       The Village  of Essex Junction is in northwestern Vermont with a land area of 4.6
square miles and a population of approximately 8,700 people. It is located approximately 10
miles from Burlington, Vermont, which  is the State's largest city with 38,000 people. Both

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Essex Junction and Burlington are in Vermont's most populous county, Chittenden County,
which  is home  to  approximately 100,000  residents.   The total  population  of Vermont is
roughly 620,000.   Given  the  small size  and rural  nature  of the state,  it  is difficult  for
individual municipalities to cover the cost of large projects with high initial capital costs and
maintain user rate stability (even when projects achieve long-term operating cost reductions).
       Efficiency Vermont, the nation's first energy efficiency utility, was  created by  the
Vermont legislature and the Vermont Public Service Board  in 1999 to help  all Vermonters
save energy, reduce energy costs, and protect Vermont's environment.  Efficiency Vermont is
operated by Vermont Energy Investment Corporation, an independent, non-profit organization
under  contract to the  Vermont Public Service Board.   Efficiency Vermont administers
virtually all system-wide,  electric-ratepayer funded energy  efficiency at a statewide level.
The Efficiency  Vermont contract is a multi-year,  competitively bid, performance-based
contract that includes  a great deal of freedom  and flexibility to achieve clearly  specified,
quantitative energy  savings.  While commercial and  industrial  customers have  access to
prescriptive incentives for simple efficiency measures1, the large majority of electric energy
savings are achieved through custom projects and services.  Typical  services that may be
provided by  Efficiency Vermont include project-specific technical assistance (e.g., electric
and cost savings analyses, economic analyses, technical recommendations, etc.),  education
and training, and financial incentives.

Anaerobic Digestion and Methane

       Methane is produced as  a by-product of a process known as anaerobic (i.e., without
oxygen) digestion,  which  decomposes  organic  material.  At wastewater plants,  anaerobic
digestion  is  used to  stabilize  wastewater sludge, reduce  sludge volume,  and  eliminate
pathogens.  Volume reduction  of sludge  results in smaller disposal  quantities and lower
disposal costs.   The methane generated from anaerobic digestion at wastewater facilities is
typically considered a "waste."  In fact, methane gas can be a troublesome waste  since it is
also a  "greenhouse gas" that contributes to global warming.  Most wastewater plants with
anaerobic digestion are required to collect the resulting methane gas and burn  it (usually with
a flare), rather than letting it discharge directly  to the atmosphere, in order to control and
reduce the emission of greenhouse gases2. Many do burn a portion for heating the digester.
       Based on information collected by the US EPA in its Clean Watersheds Needs Survey
in 2000, there are approximately 16,000 public wastewater facilities in the U.S., referred to as
publicly owned treatment works (POTWs). Anaerobic digestion is a process that  is used at
roughly 20% of these POTWs (EPA 2003a).  Many of these facilities use their waste methane
gas as  a  fuel  to  provide process  heat for  the  anaerobic  digesters, which  are typically
maintained at 95 degrees Fahrenheit; the rest is often flared. Few use the methane to generate
electricity on-site.   In  fact, the  possibility of using methane gas to produce electricity is
mentioned only briefly in the  Water Environment  Federation  (WEF) 2003  edition  of
1 Prescriptive incentives are currently available to Vermont businesses from Efficiency Vermont for some
lighting products, LED traffic signals, vending machine controllers, energy star transformers, some refrigeration
equipment, premium efficient motors, and "tier 2" air conditioning units.
2 The by-products of methane combustion are carbon dioxide and water. Although carbon dioxide is also a
greenhouse gas, it is 20 times less effective at trapping heat than methane.

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Wastewater Treatment Plant Design, and then indicated only for "larger treatment plants."
(Vesilind et al. 2003, 15-1)
       Methane is a renewable energy source,  specifically, a biofuel.  As a fuel, methane
contains approximately half the energy content of natural gas on a per unit basis.  That is, a
cubic foot of waste methane gas typically has 500-600 British Thermal Units (Btu), whereas a
cubic foot of natural gas contains 1,000-1,100 Btu.

Essex Junction Wastewater Facility Background

       The Village of Essex Junction upgraded its Wastewater Treatment  Facility (WWTF)
in 1985 to a  secondary conventional activated sludge plant with advanced treatment using
mesophilic anaerobic digestion.  The Village constructed its new plant to serve a "tri-town"
area in Vermont that includes the Village of Essex Junction, the Town of Essex, and the Town
of Williston.  The WWTF has a design flow of 3.3  million gallons per day (MGD) and an
average flow of 2.0 MGD.  Although a plant of this size is considered  small by national
standards, the Essex Junction WWTF is one of the ten largest municipal wastewater plants in
the state of Vermont.
       As a municipal wastewater facility, the Essex Junction WWTF is challenged to meet
its budget needs without increasing sewer rates.  Building budget capacity when much of the
WWTF's  annual operating budget consists of fixed costs that escalate with inflation is a
difficult objective, but one that the WWTF pursues  vigorously.  Of the WWTF's $750,000
annual operating budget, 90.5% is made up of only five categories.

        Figure 1: Major Budget Categories for WWTF annual operating budget
     Staffing /Overhead -
     4 FTEs (37%)
     Sludge Management
     (23%)
     Chemicals (13%)
     Electricity (12.5%)
     Maintenance (5%)
                                                 Balance
Sludge Mgmt.
                                   Maintenance
                                  Overhead
                                             Bectric
                                                           Chemicals
       Electric power demand for the WWTF is typically between 120-240kW.  Prior to co-
generation, electric usage  was  approximately  1,100,000  kWh  each year,  representing
approximately $100,000 in  annual electric utility costs.  As with most municipalities, the
WWTF is the most energy intensive facility it owns and operates.

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       The Essex Junction  WWTF  seeks  continuous  improvement in all aspects of its
business.  In  1985, the plant was upgraded  to remove phosphorus to 0.8 mg/L and provide
seasonal nitrification. A 1998 upgrade was to provide for flow equalization and reduce peak
hydraulic demand on the affected treatment operations. This project was a funding priority to
protect the water quality of Lake Champlain. Current work is focused on meeting new federal
and  state regulations  regarding storm  water  collection and management.  In addition to
required  process  upgrades   over  the  years,  WWTF  personnel  were  seeking energy
conservation and efficiency projects to build  budget capacity through reduced operating costs.
As  with  most wastewater facilities,  there  are constant competing priorities for time and
financial resources.  By 2000, the WWTF was  able to complete most of the energy efficiency
recommendations made to the facility in a 1993 report, even while improving operations and
treatment at the plant.  Some examples of efficiency projects include
          o   T8 lighting upgrades
          o   Hot water management
          o   Load shifting
          o   Load shedding
          o   Aeration blower variable frequency drive (VFD)
          o   3 Phase power conversion (VFD conversion from single phase to three phase
              power at point of application).
Now the  challenge became - how to achieve  more  cost savings beyond standard efficiency
measures?

Making the Case for Co-Generation

       Essex Junction WWTF personnel had been considering implementing a combined heat
and power  (CHP) system since 1992.  Given the high initial capital cost, it simply wasn't
deemed cost-effective  for the Village  to pursue CHP at that time.   The sewer facility
governing board has a requirement that any energy-saving/cost-saving proposal have a simple
payback of no more than 7 years in order to proceed. Moreover, since the project would be
expending taxpayer dollars, municipal decision makers had to feel confident that the project
would  deliver the estimated  savings. On the whole, municipalities tend to be highly risk-
averse  when making project  and budget decisions, as they have to defend their decisions to
entire communities.
       The Essex Junction WWTF used the waste methane gas to fire a boiler that  provided
process heat to the anaerobic digesters  and flared  any  remaining methane. On an annual
basis, only  about 50% of the methane gas produced  was utilized.  Could  the facility increase
its overall efficiency by using more of its methane to generate power and heat,  rather than
flaring it as a waste?  In order to estimate  a payback period for the project, the Village of
Essex Junction needed to know how much electricity generation they could achieve, given the
facility's treatment flow,  amount of methane produced, and need for digester process heat.
When methane is used as fuel for a CHP project, an important consideration is whether the
process heat available after combusting the methane will  be sufficient to maintain  digester
temperatures.  Given Vermont's cold climate, special attention had to be paid to the lower
methane production rates in winter, coupled with the greater need for  process heat in the
winter.

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       The WWTF hired an engineer to perform initial design work, cost estimates, and
feasibility analyses.  One of the first questions to consider was what type of electric generator
to use: engine, microturbine, fuel cell, etc.  While  engines were considered, the microturbine
was a preferred alternative since municipal personnel wanted to be sure that emissions from
any new system would be at least as "clean" as existed before installation of the system.  The
basic plan for the system was to combust collected methane in a microturbine to generate
electricity.  The waste heat from the combustion would then be used to provide process heat
to the anaerobic digesters.  The  18-year old dual-fuel  boiler currently used for process heat
would be kept as a backup heating source.  Figure 2 shows the system process.

           Figure 2: Essex Junction methane-fueled  cogeneration preliminary
    	design process diagram	
               Wastewater Plant
              Anaerobic Digester
                  (Methane
                  Produced)
                                                  Methane
               Cool
              Sludge
Warm
Sludge
                Heat Exchanger
                (liquid-to-liquid)
                   existing
                 Hot
                Water
                Existing Boiler
              (for backup heat via
             direct flare of methane)
               Existing
                                     Cool
                                    Water
                                     Hot
                                    Water
                      Heat Exchanger
                      (Air-to-liquid)
Exhaust
  Gas
(~522°F)
           Microturbine
           (Combustion
           of Methane)
                         Exhaust
                          Gas
                         (~135°F)
                                                                             Electricity
       During initial investigations, it became clear that methane-fueled cogeneration at  a
facility the size of Essex Junction was not typical.  In fact, no such system existed in New
England.  The closest,  similar facility  was in Lewiston, NY.  During  conversations with
Lewiston plant personnel,  and a site visit to  the Lewiston  facility, a variety  of "lessons
learned" were discussed and incorporated into initial design work.  In particular,  the issue of
siloxanes was raised. Siloxanes are silica-based compounds, typically found in shampoo, that
can  glassify when  subjected  to  high  temperatures.  Classified materials  can reduce  the
effectiveness  of heat  exchangers, and  can create imbalance in microturbines, potentially
causing failure. It was determined that a siloxane removal strategy would need to be part of
any  cogeneration system.  As knowledge grew regarding all  the  required elements  for  a
successful cogeneration project, the estimated initial capital cost grew. In order to meet the 7-
year payback requirement  from the sewer board, it became  critical to  identify additional
funding sources and leverage outside resources. The local electric utility was supportive of the

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project since reduced demand from the WWTF would assist in a transmission and distribution
(T&D)  constrained  area.   Unfortunately, there was no  funding  available from  them.
Efficiency Vermont was able to commit funding to the project, and help with economic and
savings analyses.  Efficiency Vermont also helped to "spread the word" about the project,
soliciting additional  support for it.  Ultimately,  a  project team  was put together  with 5
different funding sources; a creative solution that made this project a reality.

Project Design, Contractor Selection, and Construction

   Preliminary design work was performed by a local engineer.  The focus of the effort was
to determine  if implementation of CHP would be cost-effective for the WWTF, given the
existing electric rate structure, capital costs, and the required maximum payback period.  The
initial basis of design included the following components:
          o  Two-30 kW micro-turbines
          o  Continuous generation for 1 microturbine
          o  Additional peak shaving for 2nd microturbine
          o  Natural gas and methane blending option
          o  3 Phase 480 volt generation
          o  Operate parallel to the utility, reduce purchased electricity
          o  UL 1741 protection for voltage & Grid
       Although the municipality had completed initial design work, the RFP was structured
to allow for alternate designs. It included a large amount of information for potential bidders
in order to solicit the best possible performanceand allowed a  bidder to propose a system
based on the preliminary design, or to propose an alternate design. The RFP was written such
that the selected contractor would enter into a performance-based, design/build contract. In
order to generate quality system designs, the following facility background information was
provided in the RFP:
          o  The WWTF generates an average of 30,300 cu.ft./day of methane
          o  The facility's methane  has a typical  energy content of 520 btu/cu.ft.
Additional RFP content included system requirements and evaluation priorities.
          o  The system should emit  no additional pollutants(i.e., SOx, NOx, methane)
             compared to the current practice of flaring methane
          o  The system must remove  siloxanes to protect equipment  operation  and life
             (e.g., heat exchanger, microturbines)
          o  The electrical system interconnect  must meet utility requirements and safety
             protocols (e.g., no power feed onto grid during power outages)
          o  Generated  power must  be line-synchronized with grid-supplied power to
             maintain power quality.
          o  The system must not exceed facility maximum allowed noise levels, based on
             nearby residences and neighborhood park.
          o  The system must be highly reliable  and require minimal maintenance that can
             be performed by facility personnel at reasonable cost.
          o  The system must meet all relevant permit and other  federal,  state and local
             requirements

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   Bids  came in more than $90,000 higher than expected (low bid cost of $275,000 v.
estimated cost of $184,000).  The higher initial cost meant that the project did not meet the
sewer facility governing board 7-year payback requirement to move forward.  Many projects
may have simply been abandoned at this point. The key difference in the Essex Junction
project is that project champions actively solicited additional financial support in order to
make the project a reality. Efficiency Vermont increased its incentive offer from $25,000 to
$40,000.  Other key contributors also stepped forward. The Vermont-based Biomass Energy
Resource Center (BERC) committed $25,000 toward the project.  Another Vermont-based
organization, NativeEnergy offered $10,000 toward the carbon credits that  would be created
from the  project as a result of onsite generation and the reduction in demand for power plant
generation.  The Department of Energy, Region 1  provided  $5,000 toward the project to
assure  data collection  and  dissemination, so  that other facilities could  benefit from the
knowledge gained from the Essex Junction experience. And negotiations with the low bidder,
Vermont-based company Northern Power Systems, provided important technical insight to
optimize  system performance  while containing  costs.  Without the financial support  and
personal  dedication of all of these organizations, and especially the commitment of Essex
Junction  personnel,  the  WWTF's  methane-fueled  cogeneration system  would not have
materialized.
   The final, installed  system is  based on  a design/build approach  with performance
standards and includes the following characteristics.
          o 480 Volt - 3 Phase Power
          o 3% Maximum Voltage Distortion
          o 5% Maximum Harmonics Distortion, and compliance with IEEE 519-1992
          o Full compliance with IEEE interconnect standards
          o Dual-fuel microturbines (with natural gas/methane blending capability)

Start-Up and Ongoing Operations

       Project start up included several activities prior to "going live" with the system. The
local electric utility was subcontracted to perform the electrical installation.  This ensured that
all utility requirements were met during the installation.  An  area  of some difficulty was
enabling  a  smooth  transition  from  methane-fueled cogeneration  to  natural gas-fueled
cogeneration and back again.  Although a dual fuel  microturbine was specified, the  actual
control and sequencing of switching from one fuel source to another was not a trivial matter.
Contractor  personnel ultimately developed a successful proprietary protocol  that provided
methane/natural gas blending during transitions from one fuel to the other without fuel fault to
the generators.  Another activity included the need to update the supervisory control and data
acquisition (SCADA) system  with new screen  views  and monitoring/control capabilities.
Computer programming was necessary to integrate the monitor and control functions with the
actual equipment.  Recent condensation and cooling work has built on initial system, pre-
compression moisture removal capabilities.
       Preliminary design work estimated that the level of methane generated  at the WWTF
would be sufficient to operate two 30kW microturbines an average of approximately 40 total
hours each day.  Since installation of the system in October 2003, there has been sufficient
methane  generation to run the two microturbines 48  total  hours each day.  One reason for
consistently high methane production is that, prior to the cogeneration installation, the WWTF

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had its two anaerobic digesters cleaned to ensure proper process heating and to maximize
methane gas generation. These extra 8 hours of run time each day represent more than 80,000
 kWh of electricity each year. And now that methane is a  valuable energy resource for the
WWTF, it is monitored and managed more carefully than  when it was simply  a waste by-
product.  In addition, the WWTF has also now installed two utility-grade sub-meters to more
definitively document the net power generation and net purchased power.

Results

       To  date, all aspects of the cogeneration  system have operated as well or better than
anticipated, with the exception of the methane compressors (These are the compressors that
raise the 0.5 pounds per square inch (psi) methane to 100 psi prior to drying and combustion
in the microturbines.).  Over the first year of operation, the  system achieved 90% reliability.
While actual maintenance costs for the siloxane removal system (filter media, etc.) are lower
than anticipated, the compressor maintenance cost is presently anticipated to be higher.  The
presence of moisture in the compressors has been the single largest reason for equipment
downtime and failure to date.  An effective strategy for moisture removal from methane and
keeping moisture out of the methane compressors is key  to successful system operation and
maximizing system run time.  When a compressor is not working, the down time has a direct
impact on the daily electrical generation  and  subsequent facility  cost  savings.  Table  1
provides information on the power demand from the electric utility after startup of the 60kW
of microturbines.  One item  of interest is that the facility power  factor decreased  since
installation of the microturbines.  Facility personnel are  working to  pinpoint the  cause and
ensure that plant-wide power factors remain above 90%  to avoid power factor penalty fees
from the electric utility.  Table 2 compares pre-installation cost estimates and post-installation
actual costs.
       Table 1: Facility Power Information Before and After System Installation

On Peak Demand
Off Peak Demand
Monthly Avg. Usage
Power Factor
Before
(Oct 2002 -Sept
2003)
134-235 kW
13 0-226 kW
93,000 kWh
96
After
Oct 2003-Sept 2004)
1 10-215 kW3
94-226 kW4
61,OOOkWh
87
3 Oct 2003 value is 215 kW. With out start up month 203 kW is maximum
4 Oct 2003 value is 226 kW. With out start up month 190 kW is maximum

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                 Table 2: Estimated and Actual Project Payback Analysis

System capital cost
Incentives and grants
Net customer cost
Electric generation
Electric cost savings
Maintenance costs
Net annual savings
Payback without
incentives
Payback with
incentives
Pre-Construction (estimates)
$184,000
$25,000
$159,000
396,000 kWh/yr
$26,600/yr5
$3,700/yr
$22,900
8.0 yrs
6.9 yrs
Post-Construction (actuals)
$303,000
$80,000
$223,000
412,000 kWh/yr
$37,000/yr6
$4,000/yr
$33,000
9.2 yrs
6. 8 yrs
Figure  3  illustrates  the amount of  on-site  electrical generation compared  to  purchased
electricity at the WWTF.
                   Figure 3: Electric usage at the Essex Junction WWTF
                            Essex Junction, VT Methane CHP (monthly data)
     140000
     120000
     100000
80000
60000
      40000
      20000
                                                                            —•—utility meter
                                                                            -•-turbine est.
                                                                            -A- turbine metered
                                                                            ~*i~ plant total



                                   \  \
                                        month


5 Demand rate savings were not included in original estimates to be conservative
6 Actual blended rate of electricity Oct 2003-Sept 2004 $0.09/kWh

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Recommendations to Other Facilities

       For those facilities that may be interested in implementing a CHP project, there are
several things to keep in mind while designing and installing a system.  The first step is to talk
with others who are involved in CHP operations. Their experiences and lessons learned can
prove vital for project success. They can also provide input on whether you should pursue a
performance-based,  design/build  project, or  cost  plus  materials for installation  of an
engineered system.  For those who use a design/build request for proposals (RFP) based on
performance requirements,  it is important to specify the outcomes you require and provide
potential bidders data to use for design purposes. For instance, the chemical composition of
the methane gas should be  analyzed, including Btu content, chemical content, and moisture
content, and this information should be provided with the RFP. Assumptions should be stated
regarding methane production rates, weather/temperature conditions, indoor v. outdoor siting
(and/or maximum noise levels),  historical electric kWh  and kW quantities, electric  rate
structure,  interconnect requirements, permit  requirements, and power quality requirements.
When  evaluating  bid proposals,  include  a knowledgeable engineer on the review team to
assist in "fatal flaw analysis," so that significant issues or omissions can be caught as early as
possible.  The RFP  should also require  that the following items  are clearly identified for
proposed systems.
          o   Process for siloxane removal from methane
          o   Process for moisture removal from methane
          o   Life expectancy of compressors and microturbines
          o   Warrantees and service obligations/protocols
          o   Dual-fuel capability (methane and natural gas), including blending options
          o   Total kWh generated, parasitic loads, net kWh generation
          o   Sequencing strategy (e.g., base load constant operation, peak shaving, etc.)
          o   Equipment efficiency and total system efficiency
          o   Anticipated maintenance and related costs
          o   Emissions/ air quality
          o   Material costs associated with backup  (i.e.,  spare) equipment to be kept on
              hand (e.g., extra compressor)
    Beyond technical considerations, probably the most  important requirement  is to have
project "champions"  that will advocate for the project throughout the many obstacles that are
sure to arise.  The Essex Junction project  had many!  Without champions who are committed
to overcome implementation barriers, many projects that are cost-effective  will  not  secure
funding, community support, and decision-maker approval.

Conclusions

       The Essex Junction WWTF's  methane-fueled microturbine  CFIP  installation  was
presented with a  2003 Vermont Governor's Award for Environmental  Excellence  and
Pollution  Prevention.  These awards are given for projects that reduce or eliminate the
generation of pollutants and wastes at the source.  Selection criteria include benefits to the
environment, use of innovative approaches, economic efficiency, and the ability of an activity
to serve as a model for other efforts. Awardees were recognized as having "chosen to see the
world of possibilities and achieved excellence in pursuit of a preferred future."

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       The project is noteworthy and successful for numerous reasons.
          o  The facility now uses nearly 100% of a former "waste" as fuel. This waste
             was only about 50% utilized before.
          o  The Essex Junction  community is now using a  renewable energy source to
             reduce costs and prevent pollution.
          o  A small municipality has  been able to  implement innovative microturbine
             technology while maintaining community confidence and rate stability.
          o  Implementation of distributed generation  reduces  power demand and  helps
             ensure power availability in a local electric utility T&D constrained area.
          o  The facility, and its ratepayers, are saving 40% off their electric bills each year.
          o  Many other  wastewater facilities  can install similar  systems and  achieve
             similar results.
   Of the 16,000 POTWs in the country, approximately 20% of these facilities use anaerobic
digestion, and roughly 1,100 use anaerobic  digestion and have  average flows of 2 MGD or
more.  In addition to POTWs, there are also industrial and private wastewater facilities for
which  CHP would be applicable  and cost-effective.  By recognizing that methane-fueled
microturbines can be cost-effective at small wastewater plants, and not just larger facilities, an
entire  new  segment of  the  wastewater market  is now  open  to  distributed  generation
opportunities. For efficiency  organizations,  and other potential funding sources, this is what
you can do to facilitate implementation of wastewater CHP projects. Show that it's been done
before to reduce the perception of taxpayer risk.  Understand the economic requirements of
your customer (e.g., payback  requirements,  ROI requirements, etc.).  Provide funding when
possible.  Help the facility find other funding sources.  Spread the news to generate support
and excitement for the project. Let others know about your experience.  The technology
continues to improve, the costs continue to come down, and methane can mean money for
wastewater facilities.

References

[EPA] U.S. Environmental Protection Agency, 2003a. Clean Watersheds Needs Survey
        (CWNS) 2000 Process Report. Available online:
       http ://cfpub. epa. gov/cwns/process. cfm

[EPA] U.S. Environmental Protection Agency, 2003b. Clean Watersheds Needs Survey
        (CWNS) Report to Congress. Available online:
       http://www.epa.gov/owm/mtb/cwns/2000rtc/toc.htm

Vesilind, P. A. et. al., ed. 2003. Wastewater Treatment Plant Design, Alexandria, Virg.: Water
       Environment Federation.

Bishop, J. 2004. "Digester Gas Unpopular as Power Fuel" Water Environment & Technology.
       July.

Allentown, City of. 2001. City of Allentown, Pennsylvania web site. Available online:
www. allentownwater. org

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Water and Wastewater Newsletter, Oct.8, 2001, TXU Energy Services,  Available online:
http://www.waterandwastewater.com/www  services/newsletter/october 8  2001.htm

GHR Consulting Services Inc., 1993. Energy Analysis Study, Essex Junction Waste Water
       Treatment Plant, May.

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SESSION 2: Appendices Continued
Appendix B
Energy Baseline Data Tables
        Data Element
Data Source
Data Need Units Desired Frequency of Data Source Accessibility
Data




































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SESSION 2: Appendices Continued
Appendix C
Equipment Inventory Worksheets
 Process or Equipment
Nameplate HP or
 Measured kW
Load Factor
Hours of Operation Per
     Year
kWh/Year
Pump Designation Installed Nameplate Rating Hours of Operation Measured Power kWh/Year
Per Year Consumption































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SESSION 2: Appendices Continued
Appendix D





Regulatory Requirements Table
Requirement Name:
Requirement
Relevant Agency
Is regulation up to date?
Are we in compliance according to agencies?
Could we improve our performance?
How does this affect the proposed energy conservation measures?
Do we expect to remain in compliance?








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SESSION  3: Appendices
Appendix E
List of Activities and Operations Table
        Activity
Operation or Location
Type of Energy Used
Current Use and Costs
Activity 1
Activity 2
Activity 3
Activity 4

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SESSION 3: Appendices Continued
Appendix F

Energy savings information for typical water and wastewater equipment and systems, including motors, pumps,
aeration systems, lighting and HVAC

Motors
Motors represent a major capital investment, a recurring maintenance requirement, and a significant energy demand.
Proper selection and proper maintenance will help reduce energy costs and improve reliability.

Motors are often available in standard and high-efficiency models. The difference in efficiency is greater for smaller motors
than for larger ones,20 although even a 1-2% difference in efficiency can make a major difference in energy cost for a large
motor that is run continuously. The New  England Interstate Water Pollution Control Commission recommends using
high-efficiency motors in all cases except for very small motors that are  used frequently.21 The Commission also
recommends incorporating power factor correction into all designs.

The Hampton Roads Sanitation District implemented an extensive motor policy in 1996.  Some of the most important
elements are as follows:22
        • Motors must meet or exceed the  efficiency levels set by the Energy Policy Act of 1992;
        • Efficiency is determined by test standards set by IEEE Standard 112-1984;
        • Motors must be sized properly for load, with a service factor of 1.15;
        • The guidelines specify 13 parameters to be noted, including horsepower, voltage, full load amps, speed,
           maximum starts per hour and more; and
        • When deciding to repair or replace an old motor, the District will purchase a new energy-efficient motor if the
          simple payback period is 5 years or less, or if the cost of repair is more than 50% of the cost of a new energy-
          efficient motor.

Proper maintenance can extend a motor's lifetime and improve its energy efficiency.  Motors should be operated as close
to nameplate voltage as practical; any deviation in voltage will impair efficiency. Connections and switches on all major
power-driven equipment should  be checked at least once per year.23   The major cause of motor failure is neglected
maintenance of either mechanical or electrical components.

Pumps
Although aeration is typically the  largest single energy demand in a WWTP, influent pumping can also be a significant
demand, depending on site elevation and sewer elevation.  Pumps operate nearly all the time and are often over-designed.
Variable-frequency drives can improve pump efficiency.24

Ideally, a pump would always operate at or near its Best Efficiency Point, although varying system requirements may
make this impractical at times. Proper maintenance will keep  a pump at or near its original design efficiency rating.
Friction losses caused by piping components (such as valves) can increase the energy required for pumping and have a
significant impact on energy costs.25
20- Water Environment Federation (1997), Energy Conservation in Wastewater Treatment Facilities, Manual of Practice No. MFD-2, Alexandria, VA, 1997.

21- New England Interstate Water Pollution Control Commission (1998), Guides for the Design of Wastewater Treatment Works, Technical Report #16.

22- Water Environment Research Foundation (1999), Improving Wastewater Treatment Plant Operations Efficiency and Effectiveness, Project 97-CTS-l.

23- Water Environment Federation (1997), Energy Conservation in Wastewater Treatment Facilities, Manual of Practice No. MFD-2, Alexandria, VA, 1997.

24- Maine Department of Environmental Protection (2002), Bureau of Land & Water Quality, O&M Newsletter, February 2002.

25- J. Oliver and C. Putnam (1997), "Energy Efficiency: Learning How to Avoid Taking a Bath on Energy Costs," WATER/Engineering and Management, July 1997.

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SESSION  3: Appendices Continued
Appendix F Continued

Aeration Systems
Aeration is typically the largest single energy user in the treatment process,26 typically ranging from 45% to 75% of the
wastewater utility's total electricity consumption.27  Like pumps, aeration equipment operates nearly all of the time.28
Possible energy-saving measures may include any of the following:

       Blowers
       Variable and multiple staged single-speed blowers
       Efficient, properly-sized blowers operating at or near best efficiency point
       Using digester gas to fuel engine-driven blowers

       Aeration System
       Two-speed mechanical aerators where mechanical aeration is used
       Fine bubble diffusers where diffusion aeration is used
       In some cases, a combination of mechanical mixing and diffused aeration may be the most efficient

       Controls
       Continuous dissolved oxygen (DO) monitoring
       Lowest DO concentration consistent with stable operation and treatment objectives
       Automatically controlled variable air flow based on oxygen demand

The type of aeration impacts the energy demand. Energy Conservation in Wastewater Treatment Facilities, Manual of
Practice No. MFD-2 from the Water Environment Federation, includes a number of case studies on fine-pore diffusers. In
general, the system improves Oxygen Transfer Efficiency (OTE), and often shows a significant economic advantage. A few
examples are highlighted below:

       •  Glastonbury, CT switched from coarse-bubble diffusers to fine-pore diffusers. OTE improved from 4-4.5%
         to  6.5-7%. Blower energy savings resulted in a simple payback period of approximately 2 years, although
         this calculation does not include increased cleaning cost.

       •  Hartford, CT switched from a coarse-bubble spiral roll system to a fine-pore dome diffuser system, improving
          OTE from 4.4% to 10%. Operating savings of $200,000 per year resulted in a simple payback period of less than
         3 years.

       •  Ridgewood, NJ switched from a coarse-bubble aeration system to a dome fine-pore aeration system, improving
          OTE from 4.8% to 9.5%.  The facility saw a 30% decrease in blower energy use (saving about 30 MWh per
          month), but increased maintenance resulted in the simple payback period being approximately 10 to 11 years.

In some cases, increased cleaning and maintenance costs extended the time required for fine-pore diffusers to repay their
cost in energy savings; in other cases, cleaning costs had relatively little effect.

Control systems are particularly important. An accurate aeration control system can reduce plant energy consumption by
as much as 25%, for a system payback of less than three years.29 Such a system requires accurate mass flow meters. Control
systems can continuously and automatically adjust the air consumption to the optimal required amount, thereby reducing
the demand on blower motors.
26- New England Interstate Water Pollution Control Commission (1998), Guides for the Design of Wastewater Treatment Works, Technical Report #16.

27- EPRI Industrial Program (1993), "Energy-Efficient Aeration Systems for Wastewater Treatment," Environment & Energy Management, Vol. 1, No. 3; WEF's 1997 Manual of
  Practice cites a very similar figure of 40-70% for activated-sludge WWTP facilities.

28- Maine Department of Environmental Protection (2002), Bureau of Land & Water Quality, O&M Newsletter, February 2002.

29- C. Hewitt (1996), "Programmable Aeration Control System Reduces Plant Energy Costs," WATER/Engineering and Management, May 1996.

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SESSION 3: Appendices Continued
Appendix F Continued

Lighting
Lighting is a major category of energy consumption for commercial buildings. It is not as significant for industrial facilities
- and a wastewater treatment plant is essentially an industrial facility - but it remains one of the energy costs most easily
addressed. Fluorescent bulb technology has continued to improve, offering higher-quality lighting at lower energy
demand than previous versions; if a facility has old fluorescent lights, newer versions can improve the work environment
and reduce energy costs. There exists a wealth of resources for information on energy-efficient lighting options, such as
ENERGY STAR'S Building Upgrade Manual.30

Lights that are on for most of the workday are the best candidates for replacement with new energy-efficient models. For
more intermittent loads, occupancy sensors may be a wise choice.  These controls will switch off lights in unoccupied
rooms after a period of time, automatically turning them on again if a person enters the room. Suitable areas might include
warehouses, storage rooms, restrooms, small offices, lunch, copy, and utility rooms.31

Heating, Ventilation, and Air Conditioning
Heating, ventilation, and air  conditioning (HVAC)  are similar to lighting in that they are not as relatively important as
energy demand for WWTPs as they are for typical commercial facilities, they are still a significant energy demand that can
be managed effectively.

Because HVAC is such a major energy user for commercial facilities, there are many resources and many contractors able
to improve the energy efficiency of a building's HVAC system. Improving insulation, sealing leaks, properly sizing the
system, and selecting an energy-efficient system (such as a  ground-source heat pump) can help reduce energy costs and
provide a good return on investment.
30- U.S. Environmental Protection Agency (2004), ENERGY STAR Building Upgrade Manual, online at http://www.energystar.gov/ia/business/BUM.pdf. The section on
  lighting begins on page 48.

31- J. Null and J. Hoggard (1998), "Occupancy Sensors Can Lead to Savings," Engineered Systems, July 1998.

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SESSION 3: Appendices Continued
Appendix G

Case studies of wastewater utilities installing energy generation systems based on methane capture

Facility: Wastewater Treatment Facility, Town of Amherst, NY
Daily Volume: 25 million gallons
Improvements Made: energy efficiency, methane capture
Implemented: 2004
Annual Savings: $500,000; 7.5 million kWh
Description: This project was implemented by Siemens Building Services, an energy service company. Typically, an
energy service company (ESCO) contracts with a facility owner to install energy efficiency improvements.  The ESCO's
costs and fees are paid from the energy savings. In this case, the New York State Energy Research and Development
Authority (NYSERDA) also  contributed to the costs of the improvements.  The facility's new system captures
approximately 77,000 cubic feet of methane per day. This gas is used to run a compressor for oxygenating the waste
stream. Other improvements included a heat recovery unit, an additional natural gas engine, a new control system, lighting
dimmer switches, and high-efficiency motors.
Source: NYSERDA press release: http://www.nyserda.org/Press Releases/PressRelease.asp?i=55&d=2004

Facility: Wastewater Treatment Facility, Essex Junction, VT
Daily Volume: 3.1 million gallons
Improvements Made: Methane capture, microturbine generators
Implemented: 2003
Annual Savings: $37,000; 412,000 kWh, or about 36% of purchased electricity
Description:  The facility's anaerobic digester produces about 30,300 cubic feet of methane per day.  Prior to 2003, the
facility captured approximately half of this and used it in a boiler to heat the digester. The remainder was flared. In 2003,
the facility installed two 30-kW microturbines in a combined heat and power system.  The methane is now used to produce
power, and a heat recovery system channels waste heat from the electricity generation to warm the digester. The overall
efficiency of the system is about 80%.Methane-based cogeneration is normally not cost-effective for a facility of relatively
small size, like this  one.  However, with the assistance of state  agencies, federal agencies, and non-governmental
organizations, the facility was able to bring the cost down to the point where it met its own requirement of a seven-year
simple payback period.
Source:Northeast CHP Application Center:
http://www.northeastchp.org/uploads/Essex%20Tunction%20Project%20Profile.pdf

Facility: Wastewater Treatment Facility, Nashua, NH
Daily Volume: 12.5 million gallons
Improvements Made: anaerobic digester, gas engine
Implemented: 2001
Annual Savings: $750,000
Description: The City of Nashua undertook a major project, adding a $9 to $10 million anaerobic digester to its wastewater
treatment facility.  The system includes methane capture to fuel a  365-kW internal combustion engine generator.  The
anaerobic digester reduces the sludge to a state where it can be used as compost. This lowers sludge disposal costs by over
$1 million per year. The process also lowers chemical costs, purchased electricity costs, and other expenses. Even after
accounting for the repayments to the state's revolving loan fund (one source of financing for this project) and the O&M
expenses on the digester, the net savings are $750,000 per year. Energy improvements were one part of the solution here.
The overall cost savings far exceeded the energy savings alone.
Sources: Presentation for APWA Congress & Exposition, September 15, 2004:
https://www.apwa.net/meetings/congress/2004/handouts/documents/1001.pdf. Also see Waukesha Power Connection,
Winter 2001, from www.dresser.com.

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SESSION 3: Appendices Continued
Appendix G Continued

Case studies of wastewater utilities installing energy generation systems based on methane capture

Facility: Gloversville-Johnstown Joint Wastewater Treatment Facilities, NY
Daily Volume: design capacity 13 million gallons
Improvements Recommended: Improvements to methane capture system and possible replacement of engine generators
Implemented: 2004-2006
Annual Savings:  Potential savings: $175,000 for improvements  to methane capture system; $21,000-166,000 for
improvements to or replacements of engine generators
Description: This facility already has an effective energy system in place. Methane is captured from an anaerobic digester
and used to power two 150-kW engine generators. NYSERDA made its recommendations in October 2004, and generation
has since increased from 1.3 million kWh to 1.8 million kWh. While the facility does not specify exactly which
improvements were made, the incremental annual savings of 500,000 kWh would be about $75,000 per year. Current total
energy generation represents 42% of the site's energy consumption, for overall annual savings of $273,000. The anaerobic
digester produces about 4.1 million cubic feet of biogas per month (biogas is a mixture of methane, CO2, and other gases).
Source: NYSERDA recommendations (October 2004) at
http://www.nyserda.org/programs/Technical Assistance/Success/Gloversville  Johnstown WWTF.pdf, and facility's
annual report at http:/ /www.g-jwastewater.com/annual-report.html.

Facility: Metropolitan Syracuse Wastewater Treatment Plant, Onondaga County, NY
Daily Volume: 80 million gallons
Improvements Made: Process optimization, energy efficiency upgrades
Implemented: 2004-2005
Annual Savings: $207,500; 2.8 million kWh and 270 MMBTU of natural gas
Description: This is a very large wastewater  facility. Improvements beginning in 2004 included retrofitting pumps,
changing some operational processes, maximizing waste gas usage, and installing new equipment.  Best practices tools
developed by the U.S. Department of Energy were used to assess potential areas of improvement.  A wide range of
operational changes were made in a systematic approach. A recently-installed biological aeration filtration system allowed
the facility to stop wastewater nitrification in the aeration tanks. This process change, combined with equipment upgrades,
allowed the facility to reduce the number of 100-horsepower  blowers from 21 to 13. In all, the improvements cost
approximately $233,000, for a payback period of 13 months.
Source: National Renewable Energy Laboratory at: http://www.nrel.gov/docs/fy06osti/38076.pdf.

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SESSION 3: Appendices Continued
Appendix H: Example of an Energy Priority Ranking Table
Activity Operation or Location Type of Energy Used Current Use and Costs Criterion 1 Criterion 2 Criterion 3 Criterion 4 Criterion 5 Total Score
Activity 1





Activity 2





Activity 3





Activity 4






























































































































































































































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SESSION 4: Appendices
Appendix I



Objective and Target Worksheet
           Objective
     Target
Timeframe
Performance Indicator Worksheet
            Target
Performance Indicator
Data Source

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SESSION 5: Appendices
Appendix J

Energy Improvement Management Program Table
                                      Timeline
  Estimated Time
(Person Hours or FTEs)
Estimated Costs
(e.g., equipment)
Task:
Deliverable:
Task:
Deliverable:
Task:
Deliverable:
Task:
Deliverable:
Task:
Deliverable:
Task:
Deliverable:
Task:
Deliverable:

























































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SESSION 5: Appendices  Continued
Appendix K

Examples of Operating Controls for Energy Operations
   Opportunity for Energy Improvement
 NOx Emissions
         Associated Operations
CHP system
     Examples of Operating Controls
• Note values from Continuous Emissions
Monitor (CEM) on system
• Compare measured rate to power output on
system meter - should be less than 0.5
pounds per I
Methane Emissions
Anaerobic Digestion
• Check valves and pipe fittings for leaks every
week
• Compare measured generation from system
to estimated methane content of sludge -
should be 13,000 BTU per kWh
• Track system generation as a function of
sludge volume
 Electricity Consumption
Lighting
• Ensure that automatic lighting control system
is working as designed - note any manual
overrides
• Turn off task lighting when not in use
 Electricity Consumption
                                       HVAC
                                       • Replace filters every 3 months
                                       • Calibrate system every 3 months - measure
                                       outlet temperature and compare to system
                                       settings
                                       • Clean area around air intakes every 6
                                       months
                                       • Clean evaporator and condenser coils every
                                       6 months
                                       • Note any manual overrides to settings - try to
                                       minimize if possible
 Electricity Consumption
Computers
• Activate power-saving features on all
computers; screensavers to activate after 5
minutes, screen to standby after 10 minutes,
hard disks to standby after 2 hours
• Communicate that employees are to shut
down computers when leaving

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SESSION 6: Appendices
Appendix L



Table to document what you are currently measuring and from where you obtained this data
       Data Element
Data Source

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SESSION 6: Appendices Continued
Appendix M

List of the operational controls, key characteristics, monitoring and measurement methods, and
calibration needs for the priority energy opportunities
  Energy-Related     Energy-Related       Operational      Key Characteristics    Monitoring and
    Operation          Impacts          Controls        of Operation or      Measurement
                                                  Activity           Methods
 Equipment and
System Calibration
    Needs

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SESSION 6: Appendices Continued
Appendix N



Energy Improvement Management Programs Progress Review Worksheet
Objective
Target date
Status at (6 months)
Tasks Identified
Tasks Accomplished
Observations
Corrective Actions Needed
Next Steps

















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SESSION 7: Appendices
Appendix O

Utility Case Study: Camden County Municipal Utility Authority (CCMUA)

The Camden County Municipal Utilities Authority (CCMUA) operates an 80 million gallon per day (MGD) secondary, pure
oxygen activated sludge wastewater treatment plant in Camden, NJ. It also operates a regional interceptor system with 100
miles of sewer, ranging in size from 24 inches in diameter to 96 inches, 25 pumping stations, ranging in size from 1 MGD
to 54 MGD, and 16 metering stations.

In 1999, the CCMUA implemented an Environmental Management System (EMS) in order to optimize its environmental
performance and minimize its costs. The results were excellent. As part of its Management System, the CCMUA sought
to reduce energy consumption and,  correspondingly, energy costs, using the systematic, continuous improvement process
inherent to an EMS.  Specifically, the CCMUA looked at every function/process that used a significant amount of energy
and attempted to implement projects that would reduce energy consumption and energy costs. The following is a list of
some of the most important energy reduction projects undertaken, to date:

1) Elimination of Infiltration/Inflow: Infiltration/Inflow  (I/I),  the leaking of groundwater  and rainfall into a sewer
collection system, results in unnecessary increases in pumping and treatment costs. In addition, water is wasted. Simply
put, when one gallon of sewage is mixed with one gallon of clean groundwater through infiltration, two gallons of sewage
must now be pumped and  treated. Eliminating I/1 through repair of leaky lines, especially those in the vicinity of high
groundwater tables, grouting of leaky manholes, implementation of watertight manhole covers, can significantly reduce
I/I and thereby reduce energy costs. (It also reduces the potential for flooding and overflows, which have their own
economic and social costs).

The CCMUA's strategy was to meter member municipalities for both dry weather and wet weather flow. When significant
differences were noted, the municipality was charged with the responsibility to undertake a trackback analysis to identify
the major sources of I/I within their system and to take steps, via a best management practices approach, to reduce I/I
correspondingly.

2) Elimination of Pump Stations via Direct Connections: In a system like the CCMUA's, where smaller municipal collection
systems connect into a larger regional interceptor system that then conveys the total flow to a regional treatment plant, there
were several opportunities  to eliminate municipal pumping stations and connect them directly into the regional sewer
system. The CCMUA was able to eliminate over 20 pumping stations that were pumping right past its regional sewer
system to the main collection point for the municipality and then that same flow would be pumped right back to the same
point. By allowing the municipal pump station to tie into the regional system right there, the station could be eliminated,
as was the double pumping, thereby resulting in reduced energy costs, and reduced operations and maintenance costs for
the municipality.

3) Optimization of Primary  Sedimentation Tanks: The main driving force for a primary sedimentation tank is the force of
gravity, as the solids/sediment settle to the bottom of the tank where they are collected as primary sludge. Conversely,
the secondary system is much more energy intensive, especially pure oxygen activated sludge plants like the CCMUA's,
Philadelphia's, and many other large cities where space is at a premium. Therefore, since the CCMUA' goal is to maximize
solids removal prior to discharge to the receiving water body, it optimized the operations and maintenance of its primary
sedimentation tanks in order to maximize the percentage of solids removed via the primary sedimentation tanks using the
free force of gravity as the removal  agent, rather than the costly, energy intensive secondary aeration process.

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SESSION 7: Appendices Continued
Appendix O Continued

Utility Case Study: Camden County Municipal Utility Authority (CCMUA)

4) Heating loops: The use of heating loops and heat exchangers is well known in water and wastewater treatment plants,
and other facilities as well, capturing excess heat from process units and reusing said heat downstream in other processes.
The CCMUA has just completed the design of a heating loop that will capture excess heat from large natural gas engines
and preserve it for use elsewhere in the plant.

5) Use of energy efficient equipment/lighting: There are many examples throughout many industries of more energy
efficient equipment and lighting. The CCMUA realized savings of about $100,000 per year when it switched light bulbs
throughout the plant to a  more efficient brand. Also, checking energy  usage on a regular basis can identify under-
performing equipment, such as pumps that may need new wear rings, or may be on the verge of failure.

6) Retrofitting of diesel vehicles to use ultra low sulfur fuel:  The CCMUA obtained an EPA grant to retrofit its diesel
vehicles to use ultra low sulfur fuel. Although there was no operational  cost savings realized through this project, the
CCMUA was able to reduce sulfur emissions from its diesel vehicles by over 95%, without any capital expenditure
whatsoever.

7) Use of catalytic converter to reduce NOx and CO emissions: Similarly, the CCMUA installed catalytic converters on both
of its large natural gas engines, thereby reducing NOx and CO emissions from those engines by over 90%. Since this
enabled the CCMUA to remain below the Title V threshold, the result was a significant net savings in operational and
permitting costs.

The Camden County (NJ) Municipal Utilities Authority used its EMS to implement several projects that reduced energy
consumption and, correspondingly, reduced its energy costs. In accordance with an EMS' systematic approach that strives
toward continual improvement, the CCMUA is continuing to look for additional opportunities to reduce its energy
consumption.

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