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Achieving esos compliance session chair: EMMA CLANCY CEO, ASCERTIVa GROUP & CERTSURE PowerPoint Presentation
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Achieving esos compliance session chair: EMMA CLANCY CEO, ASCERTIVa GROUP & CERTSURE

Achieving esos compliance session chair: EMMA CLANCY CEO, ASCERTIVa GROUP & CERTSURE

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Achieving esos compliance session chair: EMMA CLANCY CEO, ASCERTIVa GROUP & CERTSURE

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  1. Achieving esos compliancesession chair: EMMA CLANCYCEO, ASCERTIVa GROUP & CERTSURE

  2. ABOUT NQA Leading certification body with customers in over 70 countries Training, verification and certification against ISO standards Helping organisations to ‘NEVER STOP IMPROVING’ * Quality * Health & safety * Energy & environmental performance The only certification body accredited by UKAS for ISO 50001

  3. NQA SERVICES

  4. ACHIEVING ESOS COMPLIANCE Energy Savings Opportunity Scheme (ESOS) A scheme designed to help UK enterprises improve profitability through better information on how to save energy. Who does ESOS affect and how? DECC How ESOS can be managed? NQA Energy management case study - Northern Rail

  5. PANEL SPEAKERS Martin Adams Energy Efficiency Audits & Strategy Team Leader | EEDO Strategy & Delivery, DECC Gareth Williams Energy Manager, Northern Rail Richard Walsh ISO 50001 Assessor, NQA

  6. Energy Savings Opportunity Scheme Martin Adams, ESOS Team Leader

  7. Overview of Energy Efficiency Directive • Directive was published in the Official Journal, November 2012 • Transposition date for most requirements is 5 June 2014 • Article 8 of the Directive • Energy Efficiency Audits for non-SMEs • Includes buildings, transport and industrial processes • Based on up-to-date data • Produce cost-effective recommendations for energy efficiency savings Energy Savings Opportunity Scheme - Emerging Thinking

  8. “[ESOS] should provide a net positive benefit to the UK of between £0.8bn and £3bn, with a central estimate of £1.9bn between 2015 and 2030.” ESOS consultation stage impact assessment Energy Savings Opportunity Scheme

  9. Consultation process 400 300 150 Received 150 consultation responses Met with over 400 stakeholders From over 300 organisations Jun ‘14 - Publish Govt Response & legislation Jun ‘14 - Legislation comes in to force Dec ‘14 – Scheme operational Dec ‘13 - Key policy decisions made Energy Savings Opportunity Scheme: Emerging Policy Thinking

  10. Key messages from consultation • Keep it simple, and understandable yet make it meaningful • Respondents want the scheme to provide outputs that are relevant to each business • Respondents want ESOS to add value and identify real measures that can be implemented • Avoid duplication in existing regulation and requirements • There a range of energy efficiency policies operating in the UK – ESOS needs to fit • Take advantage of alternative routes to compliance – e.g. ISO50001 • Minimise costs • Allow discretion on the number of site visits required within audits • Using internal team members for their knowledge and skills • Only having lead auditor requiring accreditation under the scheme – but need for whole audit team to be of sufficient quality to ensure that output is meaningful Energy Savings Opportunity Scheme - Emerging Thinking

  11. Energy Savings Opportunity Scheme – Emerging Thinking The policy proposals contained in these slides are still under-development and subject to further revision and ministerial approval.

  12. Determining who is in scope of ESOS • A single UK-wide scheme • Notification of compliance once every four years • Target highest UK-parent but allow disaggregation • Early qualification date (1st January or 31st March 2015). • Allow franchisees to ‘opt in’ to group reporting Energy Savings Opportunity Scheme - Emerging Thinking

  13. Does the group undertaking include in the UK one or more ‘large enterprises’? I am part of a large group enterprise Am I part of a group undertaking?  Do I employ 250 or more FTE? I am a ‘large enterprise’ Is my turnover more than €50m Organisations subject to the public contracts regulations 2006 are exempt from the scheme  I am a ‘large enterprise’ AND Is my annual balance sheet more than €43m Energy Savings Opportunity Scheme

  14. Routes to compliance • ISO50001 • Display Energy Certificates • Green Deal Assessments • And… • ESOS compliant energy assessments (either conducted in-house or by external assessor) • This could include… • Previous audits to ESOS standards, ISO 14001 etc. Energy Savings Opportunity Scheme

  15. Identifying an ESOS assessor Energy Savings Opportunity Scheme

  16. Who can conduct ESOS assessment? • Favoured only requiring the ‘lead assessor’ to be qualified • Prefer ‘scheme administrator’ approach to qualification – i.e. getting approval for existing qualifications rather than developing a new UKAS certification route. • Strong support for companies to use in-house experts to conduct assessments; mixed views over how to ensure ‘sufficiently independent’. • Suggestion of allowing ‘lead assessors’ to undertake third party verification • Mixed views on whether market has sufficient capacity to respond at present, and recognition of need to establish concrete qualification routes quickly. • Consultation on PAS 51215 took place from December to January – 186 comments received and considered by Steering Group Energy Savings Opportunity Scheme - Emerging Thinking

  17. 5. Implement savings, and further disclosure (e.g. in annual report) 2. Identify energy efficiency and energy management opportunities Conducting an ESOS assessment Mandatory Voluntary Energy Savings Opportunity Scheme

  18. General ESOS requirements • A de minimis of 90% to be covered by ESOS assessments • Flexibility to comply via a series of more tightly focussed assessments • Allow energy assessment activity conducted within four years of December 2015 to count towards compliance • Broad legislative framework supported by good practice guidance • Discretion as to the number of site visits • Energy directly paid for and within organisation’s control • Ability to use energy spend or usage when measuring energy • Use of 12-months data as default supported by comply or explain principle • Mixed views on energy intensity ratio requirement Energy Savings Opportunity Scheme - Emerging Thinking

  19. Transport specific issues • Directive definition of ‘transport’ is broad • Includes ‘grey fleet’. Majority of consultees favoured this. We are exploring how to do this proportionately. • International shipping & aviation – energy associated with departures from and arrivals in UK. Approach agreed with industry representatives. Does not include tickets purchased or subcontracted transport Energy Savings Opportunity Scheme

  20. Reporting and compliance • Respondents favoured basic notification of compliance to scheme administrator, with voluntary disclosure of additional information. • Strong support for assessment findings to be reviewed at Director level or equivalent. • Strong support for Environment Agency to undertake role of scheme administrator. • Mixed views as to level of inspection activity necessary to ensure compliance (2% or 10% most favoured options). • Support for civil penalties as ultimate backstop to non-compliance. Energy Savings Opportunity Scheme - Emerging Thinking

  21. Questions? • Contact: ESOS@decc.gsi.gov.uk Energy Savings Opportunity Scheme - Emerging Thinking

  22. Sustainability Live – 02/04/14 NQA certification to ISO 50001 has enabled Northern Rail to meet ESOS scheme requirements why? And what additional benefits does certification provide. Presented by: Gareth Williams – Energy Solutions Manager – Northern Rail

  23. Northern Rail – What are we? The largest train operating company in the UK Northern was formed in 2004 We are a 50:50 joint venture –Serco and Abellio Passenger journeys grown 42% Original 7 Year franchise

  24. Northern Rail – What are we? 2,500 local and regional trains services every weekday We lease over 300 trains, both diesel and electric Our trains call at over 500 stations of which we manage 463 5,000 employees

  25. Northern Rail and ESOS In accordance with the EU Energy Efficiency Directive, ‘large enterprises’ will be required to conduct energy audits every four years, with the first occurring by 5 December 2015. • The audits will cover transport, buildings and industrial operations. MEET REQUIREMENTS • Large enterprises are defined within DECC's consultation as enterprises employing more than 250 people and which have an annual turnover exceeding EUR 50 million (nearly £43 million), and/or an annual balance sheet total exceeding EUR 43 million (nearly £37 million).

  26. Estimated cost £25,000 (minimum)

  27. ESOS STEPS vs ISO 50001 STEPS • ESOS Assessment • Data collection • ESOS Audits • ESOS Assessment • Data collection • ESOS Audits • ESOS Assessment • Data collection • ESOS Audits • ESOS Assessment • Data collection • ESOS Audits

  28. ESOS Assessment vs ISO 50001 Energy Planning Section 4.4 4.4.3 Energy review The organization shall develop, record, and maintain an energy review. Based on the analysis of energy use and consumption, identify the areas of significant energy use, i.e. identify the facilities, equipment, systems, processes and personnel working for, or on behalf of, the organization that significantly affect energy use and consumption; • A review is required of the total energy use and energy efficiency of the organisation covering key buildings, key industrial operations and key transport activities. • This would include the organisation identifying and measuring an energy intensity ratio. Energy Review EnPI’s 4.4.5 Energy performance indicators The organization shall identify EnPIs appropriate for monitoring and measuring its energy performance. The methodology for determining and updating the EnPIs shall be recorded and regularly reviewed.

  29. ESOS Assessment vs ISO 50001 Energy Planning Section 4.4 • The review would need to be proportionate and sufficiently representative ‘to permit the drawing of a reliable picture of overall energy performance’ of the organisation and clear information on potential savings, which identify and quantify cost-effective energy savings opportunities. 4.4.4 Energy baseline The organization shall establish an energy baseline(s) using the information in the initial energy review, considering a data period suitable to the organization's energy use and consumption. Changes in energy performance shall be measured against the energy baseline(s). Energy Baseline

  30. ESOS Data Collection vs ISO 50001 Checking Section 4.6 4.2.2 Management representative Top management shall appoint a management representative(s) with appropriate skills and competence. • Organisations within the scheme’s scope will need to identify an approved ESOS assessor (either an in-house expert or an external consultant) to conduct the assessment, gather data on energy usage at an appropriate level of detail, and undertake the assessment by December 2015, renewing the assessment at least every four years thereafter. Energy Manager 4.6 Checking The organization shall ensure that the key characteristics of its operations that determine energy performance are monitored, measured and analysed at planned intervals. Data gathering and analysing

  31. ESOS Data Collection vs ISO 50001 Checking Section 4.6 • In practice, ESOS assessments are intended to recommend cost-effective measures to save organisations energy and money. These might include, for example, advice on updating lighting systems, taking steps to encourage staff to adopt more energy efficient behaviour, or (if cost-effective) replacing elements of a transport fleet. 4.6.3 Internal audit of the EnMS The organization shall conduct internal audits at planned intervals. Audits

  32. Northern’s ISO 50001 EnMS

  33. Environmental and Energy Policy

  34. If you can’t measure it you can’t manage it! Baseline data/energy review • Data quality poor • Manual input errors • Invoice validation • Missing invoices

  35. If you can’t measure it you can’t manage it! • 300 Electric AMR’s installed • 30 Gas AMR’s installed • Covering over 90% of our electricity and gas consumption

  36. Energy Planning • Trains Traction Diesel Consumption (DMU) • Trains Traction Electricity Consumption (EMU) • Engineering TMD’s • Support Offices • Manned Stations • Unmanned Stations • Support Fleet • Bus Replacement • Trains Traction Diesel Consumption (DMU) • Trains Traction Electricity Consumption (EMU) • Engineering TMD’s • Support Offices • Manned Stations • Unmanned Stations • Support Fleet • Bus Replacement

  37. Implementation and Operation Traction fuel Responsible Driving Programme • Notch use • Coasting • Shutting off engines • 3-4% savings

  38. Monitoring, Measurement and Analysis • Non Traction Energy Budgets • GIVE RESPONSIBILITY TO THE BUSINESS DIRECTORATES WHICH USE THE SIGNIFICANT ENERGY CONSUMPTION • Area West Director • Area East Director • Engineering Director

  39. Make it Business as usual!

  40. Monitoring, Measurement and Analysis Company League Table

  41. Implementation and Operation Tenants impacts: • Piccadilly 12th floor, • Sowerby bridge • Urmston Pub • Hough Green taxi company

  42. Implementation and Operation Management support Brand identity – LOCO2

  43. Implementation and Operation 10,876 kWh 2,454 kWh

  44. Internal Audits

  45. Benefits • Systematic approach to energy management • Senior Management buy in (requirement) • Company objective = focus on the agenda • Continual improvement: • 9% reduction in non traction energy per passenger km since 2009 • 0.5% reduction in traction (diesel) energy per passenger km since 2009

  46. Awards • Train Operator of the Year, Rail Business Awards 2010 • Sustainable Business of the Year, Environment and Energy Awards 2011 • Gold in BiTC CR Index 2012

  47. Richard Walsh Regional Assessor

  48. Agenda Introduction Energy Auditing Certification Process Questions

  49. Agenda Introduction Energy Auditing Certification Process Questions

  50. Who Are NQA? • A leading global certification body • Auditing, certification and training: • ISO 9001 (quality) • ISO 14001 (environment) • ISO 50001 (energy) …and more