CHAPTER 1INTRODUCTION1.1 Research Background

Energy is one of the basic input factors of production, along with labor, capital, and material. After the oil embargoes of 1973 and 1979, both political and the scientific communities began to pay increased attention to the opportunities for improving the efficiency of energy use, [1].Energy is the capacity or capability for doing work. All material possesses energy because they can all be utilized in some form of energy conversion process, [2]. For example, most substances will burn or vaporize, and the consequent heat energy can be harnessed within mechanical energy systems that create motion against some form of mechanical resistance. One of the important energies in human daily life is electricity. People have started to think about consume electricity wisely and efficiently. Therefore, energy management is very important in order to produce goods and provide services with the least cost and least environmental effect. The term energy management means many things to many people. One definition of energy management is, The judicious and effective use of energy to maximize profits (minimize costs) and enhance competitive positions, [3]. When people started concern about electricity energy management, the important key words need to highlighted are use electricity efficiently and wisely. This will accomplishes the two objectives of saving money and conserving main energy. Among the many features that might be addressed with regard to efficient utilization like monitoring and control of an environment will eliminate the input of excess energy and reduce the need for emergency intervention either in domestic or commercial sectors. In commercial and domestic sectors, the usage pattern of electrical appliances has been increased rapidly as long as the economic growth. It is because, a dramatic increase in the number of electrical appliances and equipments used which will be higher in the future and shows significant impact on the electricity consumption in Malaysia, [4,5,8,10]. Therefore, some strategies or plans need to be drafted in order for people to consume generated electricity from natural sources wisely and in efficient way.

1.2 Problem StatementThe consumption of electricity nowadays especially on commercial building is getting higher meanwhile the cost of electricity is becoming more expensive according to the shortage of natural sources. That is why we need a to manage electricity properlyMost of commercial building such as office, workshop and restaurant in our country is equipped with high energy consumption in place. Most of them does not know the amount of power consumption of each equipment and finally this has brought electricity wastingThere many Demand Side Management (DSM) options available to reduce energy consumption but user do not know how to properly manage their consumption. Hence we need a simple system that can make user do what is the best solution to reduce their electricity consumption and can reduce their electricity bill

Figure 1 Electricity Consumption in Malaysia (1971-2010) [11]Consumption of energy increases every year in Malaysia. In 2008, the total energy demand in Malaysia was 522,199 GWh. The residential and commercial sector was the third largest user of energy in Malaysia. The consumption of electricity in Malaysia rises rapidly every year, with an average of 2,533 GWh per year. The electricity consumption, for instance, in 1971 was 3,464 GWh and 94,278 GWh in 2008. By 2020, Malaysias electricity consumption is expected to increase by about 30% from its present value to 124,677 GWh [11].1.3 Objectives of StudyIn this study, there are several objectives that are needed to achievei. To identify and understand the concept of electricity consumption management.ii. To investigate the available technique in reducing electrical bills for small/medium commercial building.iii. To develop software system that will help users to manage electricity consumption

1.4 Scope of StudyThis research will be focus on a few aspects. Firstly this project focus on electricity consumption management on small/medium commercial building only. Other than that the developed software will suggest users the best Demand Side Management (DSM) approach and its efficiency in reducing bills. Reduction of power usage in Kilowatt per Hour (KWH) in terms of total bills paid also on our focus. Lastly, the list of DSM method that will provided by the software are Peak clipping, Valley filling, Load shifting, Strategic conservation, Retrofitting

1.5 Gantt ChartThe Gantt chart for FYP 1 and FYP 2 are shown in the Table 1.1 and Table 1.2 respectively.

Table 1.1: Gantt chart for FYP 1

Table 1.2: Gantt chart for FYP 2

1.6 Thesis outline

This report contains three chapters. Chapter 1 describe about the research background, problem statement, objective, scope of research, expected results and Gantt chart for FYP 1 and FYP 2.

In chapter two, literature review about the demand side management and its features will be discussed briefly. Besides that, energy audits, load profile models and electricity tariff in commercial sector in Malaysia also will be explained in details in this section.

Next, chapter 3 will cover the methodology and preliminary result. This chapter will explain about the brief concept of purpose developed software used

CHAPTER 2LITERATURE REVIEW

2.1 IntroductionThis chapter provides literature review and related research about the electricity consumption management on commercial bulding. 2.2 Energy auditEnergy audit is usually conducted to study ways to reduce the amount of energy input without disrupting the system output. Energy audit is important thing about energy flows in a building Energy [4] . A feasibility study will be required to determine the viability of each option. For example i) Lighting systemsii) Office equipmentiii) Fansiv) Chillerv) Air-conditioning systems

2.3 Common energy conservation measureBuilding factor is one of the important things that will affect energy use. For some buildings, the envelope such as walls, roofs, floors, windows and doors can have important impact on the energy used to condition the facility[7]

2.4 Demand side management (DSM)The actions carried out by the utility on the customers premises that help manage the customers electrical usage. Load management can be implemented by customers without any interaction by the utility. DSM also refer to technologies products and programs that involve reducing buyer demand for electricity. For example air conditioners that use less electricity to perform their functions are one step of DSM[8]

Figure 2: Desired results of DSM actions[18]

2.4.1 Peak ClippingThe maximum demand by electricity appliances is reduce. The ridding of high-amplitude parts of speech waves by way of electronics, resulting in some loss of quality but minimal, if any, loss of intellect.[10]

2.4.2 ConservationConservation is the amount of consumer load reduction at the time of system peak due to utility programs that reduce consumer load during many hours of the year. Examples of conservation are utility rebate and shared savings activities for the installation of energy efficient appliances, lighting and electrical machinery, and weatherization materials[19]. In addition, this category includes all other Demand-Side Management activities, such as thermal storage, time-of-use rates, fuel substitution, measurement and evaluation, and any other utility-administered Demand-Side Management activity designed to reduce demand and/or electricity use.

2.4.3 Valley FillingThe process of making an energy production and delivery system more efficient by encouraging additional energy use during periods of lowest system demand. Valley filling programs are usually accompanied by load shifting programs, often with the aim of shifting peak demand usage to low demand periods, but the term can refer to any program or strategy aimed at filling the valley. An essential component of nearly all demand-side management programs.

2.4.4 Load shiftingStrategy make use of electricity tariff for medium voltage commercial customers in Malaysia, where they are charged on two tariffs i.e. electricity consumption in kWh and maximum demand in kW. The consumer can consume the same amount of electricity but pay lower electricity bill if they know how to exploit their maximum demand.

2.5 Load Profile ModelsIn this load profile models, the area model includes all those customers that are not metered on time interval basis within the geographic region covered by a network. In this model, the non-metered customers constitute the residual profile, which is an adjusted loadprofile for the node under consideration.On the other hand, the category model grouped customers with a similar loadpattern into categories. Each individual customer is then associated with apredetermined representative load profile. This model is rather a popular practice,however the precondition is always that sufficient load measurement have been made earlier. Pattern of customer load profiles depends on several factors which is type of customer, time factor and climate factor such as temperature variation from day to day and the natural seasonal cycle of day length. Figure 3 shows annual load profile of commercial consumer

Figure 3: Annual Load Profile of Commercial Consumer

2.6 Electricity tariff for commercial sector in MalaysiaThe utilities and in particular, TNB, was under tremendous pressure to manage the increasing cost of supplying electricity. The global escalation in fuel cost especially oil and coal and the prices of metal-based product coupled with the high generation reserve margin situation and the high capacity payments to the Independent Power Producers (IPPs) contributed to the deteriorating financial position of TNB. Price of electricity tariff in Malaysia for commercial buildings are divided into three: [6]B1 Low Voltage Commercial TariffC1 Medium Voltage General Commercial TariffC2 Medium Voltage Peak/ off-Peak Commercial Tariff

Figure 4: Electricity tariff for commercial sector in Malaysia[6]

CHAPTER 3METHODOLOGY3.1 IntroductionThis chapter presented project flow, brief concept of purpose developed software and visual basic3.2 Project FlowThere are several steps of a process that must be undergone to obtain the final result. The entire step in this research was summarized as shown in Figure 3.1.Literature Review Problem StatementStart

Method and Approach to Solve the ProblemHypothesisDetermine Objectives

Writing the report and PresentationResult

Figure 5 Project Flow

3.3 Brief concept of purpose developed software LOAD PROFILE

DSM METHOD1) Peak clipping2) Valley filling3) Load shifting4) Strategic conservation5) Retrofitting

DEVELOPED SOFTWAREACTIVITY

INPUT FROM USER

SUGGEST THE BEST APPROACH AND HOW TO DO IT

This is brief concept of purpose developed software. Software that will be use in this project is Visual Basic because it easy to handle and systematic interphase. First of all, user have to key in by manually the load profile and activity of the building in this software. This part includes the number of electrical appliances use and the period of electrical appliances usage. After the simple simulation, the software will list out the best DSM method and suggest to user the best DSM approach and how to do it.

3.4 Visual basicVisual Basic (VB) is a programming environment from Microsoft in which a programmer uses a graphical user interface (GUI) to choose and modify preselected sections of code written in theBASICprogramming language. That is why Visual Basic one of the best software to represent this project CHAPTER 4PRELIMINARY RESULT4.1 Preliminary result of the projectIn order to design Demand Side Management (DSM) in a small/medium commercial building. The load profile of the commercial buildings are obtained. Fig. 1 shows power consumption profile for electrical appliances and equipment for workshop commercial sector. It shows the peak hour for using this workshop operated is between 10.00 am to 6.00 pm. At this time, the electricity consumption is more than 10 kWh a day. If this amount is considered daily average consumption, a year is about 3,640 kWh. Workshop usually uses heavy and critical load, such as drill, air compressor and arc welding. These types of loads will consume huge of electricity. Therefore by the usage of high efficient of equipment, the consumption amount can be reduced drastically [5]

In order to reduce peak power consumption at 1:00PM to 3:00PM, the electrical appliances that are used on this hours is identified to perform load shifting [5]

REFERENCE[1] Yongpan Chen; Xianmin Mu; Jili Zhang; Zhen Lu; Jinxing Ma, "The Software Subsystem of Building Power Consumption Monitoring and Management System," Power and Energy Engineering Conference (APPEEC), 2010 Asia-Pacific , vol., no., pp.1,4, 28-31 March 2010[2] Strbac, G., "Demand side management: Benefits and challenges."Energy Policy, vol. 36(12), pp. 4419-4426, 2008.[3] Fazeli, A., E. Christopher, et al., Investigating the effects of dynamic demand side management within intelligent Smart Energy communities of future decentralized power system. Innovative Smart Grid[4] Maricar, N.M.; Othman, M.H., "Energy audit application for building of small and medium enterprise, " Electronics, Communications and Photonics Conference (SIECPC), 2013 Saudi International , vol., no., pp.1,4, 27-30 April 2013 [5] Asmarashid Ponniran; Nur Azura Mamat; Ariffudin Joret, Electricity Profile Study for Domestic and Commercial Sectors International Journal of Integrated Engineering, Vol. 4 No. 3 (2012) p. 8-12 ,Universiti Tun Hussein Onn Malaysia[6] TNB website, http://www.tnb.com.my [7] Khan, A.Z., "Electrical energy conservation and its application to a sheet glass industry,"Energy Conversion, IEEE Transactions on, vol.11, no.3, pp.666,671, Sep 1996doi: 10.1109/60.537040[8] Palensky, P.; Dietrich, D., "Demand Side Management: Demand Response, Intelligent Energy Systems, and Smart Loads,"Industrial Informatics, IEEE Transactions on, vol.7, no.3, pp.381,388, Aug. 2011doi: 10.1109/TII.2011.2158841[9]The UNEP website, URL:http://www.unep.org/. [10] Brady, Paul T., "Objective measures of peak clipping and threshold crossings in continuous speech,"Bell System Technical Journal, The, vol.51, no.4, pp.933,945, April 1972doi: 10.1002/j.1538-7305.1972.tb01954.x[11] Ahmad Sukri Ahmada, 1. M. (2012). Energy Efficiency Measurements in a Malaysian. 2012 IEEE International Conferences on Power and Energy (PECon), (p. 6). Kota Kinabalu,Sabah.[12] Moncef Krarti, Energy Audit of Building Systems, an Engineering Approach, CRC Press, USA, 2000.[13] Maricar N.M. .and Shahidehpour S.M., An Object-Oreinted Graphical Representation for Engineering Network Analysis in Power System. Presented at IEEE PES General Meeting2003, Toronto, Canada, July 2003[14] C. Palanichamy, C. Nadarajan, P. Naveen, Natarajan Sundar Babu, and Dhanalakshmi, Budget Constrained Energy ConservationAn Experience with a Textile Industry,Energy Conversion, IEEE Transactions on, Volume: 16, Issue: 4, Dec. 2001 Pages: 340 345.[15] Yaacob, P.Z. and Zina, A.A.M., Electrical Energy Management in Small ad Medium Size Industries IEEE TENCON 93, 1993[16] Ifassiouen, H.; Radhy, N.E.; Tinani, S.E.;An expert system for conceiving a grinding chain of cement Systems, Man and Cybernetics, Conference Proceedings, InternationalConference on Systems Engineering in the Service of Humans, 17-20 Oct. 1993 Pages: 36 - 41 vol.5.[17] NM Maricar, CK Gan, Md Noah Jamal, Data Mining Application in Industrial Energy Audit for Lighting, IASTED Europe Energy and Power System 2005, Spain, June 2005.[18] Kanellos, F.D.; Tsekouras, G.J.; Hatziargyriou, N.D., "Optimal Demand-Side Management and Power Generation Scheduling in an All-Electric Ship,"Sustainable Energy, IEEE Transactions on, vol.5, no.4,[19] Khan, A.Z., "Electrical energy conservation and its application to a sheet glass industry,"Energy Conversion, IEEE Transactions on, vol.11, no.3, pp.666,671, Sep 1996

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