Principles of Maritime Energy Management Content Shipping contributes to Climate Change
The Energy Efficiency Operational Indicator, EEOI The Energy Efficiency Design Index, EEDI Ship Energy Efficiency Management Plan, SEEMP ISO 50001: Energy Management Systems Standard
NATIONAL SEMINAR ON STANDARDS FOR QUALITY AND EMPOWERMENT 22nd and 23rd June, 2011 Energy Management The judicious and effective use of energy to maximize profits (minimize costs) and enhance competitive positions The strategy of adjusting and optimizing energy, using systems and procedures so as to reduce energy requirements per unit of output while holding constant or reducing total costs of producing the output from these systems Objectives of Energy Management
To achieve and maintain optimum energy procurement and utilization, throughout the organization To minimize energy costs / waste without affecting production & quality To reduce import dependency To enhance energy security, economic competitiveness, and environmental quality The weight of Energy savings compared to other technologies
Global CO2 emissions forecast, G.tons CO2 / year ISO 50001: Energy Management Systems Standard-Introduction
ISO the International Standard for Energy Management Systems (EnMS) This Draft International Standard was released in April 2010 and may be ready for publication by mid-2011. Energy Management Systems offers a comprehensive and structuredapproach for energy efficiency improvement. ISO/FDIS 50001: 2011(E) defines EnMS as set of interrelated or interacting elements to establish an energy policy and energy objectives, and processes and procedures to achieve those objectives Applicable to any organization, whatever the size, industry or geographical location An organization embracing ISO is likely to further accelerate adoption of energy efficiency practices and to continuously improve its energy performance and cost. ISO 50001: Energy Management Systems Standard-Introduction ( contd.)
Application of the standard can be tailored to fit the requirements of the organization, including degree of documentation,resources and complexity of the system ThisInternationalStandardcanbeusedforcertification/registrationand/orself-declarationofan organization'senergymanagementsystem. The fact that it's based on measurement and verification will help organization stay on track to meet their declared energy policies. Adoption of ISO by any organization will: Reduce energy bills Make manufacturing more sustainable Promotes energy efficiency throughout the supply chain Helps in meetingNational GHG reduction targets Need for ISO 50001 Need to minimize fossil fuel use and mitigate GHG
Fossil fuels such as coal, petroleum, and natural gas make up the bulk of the Indiasprimary energy sources and, their consumption is a major source of greenhouse gas emissions, leading to concerns about global warming if not used efficiently . Need to adopt Energy Management. With Indias demand for energy growing, the need to adopt alternative approaches (like increased energy efficiency, renewable energy, etc.) to meet energy demand is also growing. Just in this respect,Energy Management comes on the scene, which although is not new to India, yet its penetration and adoption is slow due to various reasons. ISO EnMS Requirement ISO specifies requirements foran organization to establish, implement, maintain and improve an energy management system. Specifies energy management system (EnMS)to : develop and implement an energy policy, establish objectives, targets, and action plans which take into account legal requirements This International Standard specifies requirements for all factors affecting: energy supply, uses and consumption measurement, documentation and reporting, design and procurement practices for energy using equipment,processes, systems, and personnel. ISO does not prescribe specific performance criteria with respect to energy Demings Circle 43 EEOI, EEDI & SEEMP 2012
Det Norske Veritas AS. All rights reserved. Plan - Do - Check Act (PDCA)
ISO is based on the Plan - Do - Check - Act (PDCA) continual improvement framework and incorporates energy management practices into everyday organizational activities. As per ISO/FDIS 50001:2011(E): Plan: conduct the energy use assessment, establish the baseline, energy performance indicators (EnPIs), objectives, targets and action plans necessary to deliver results that will improve energy performance (measurable results related to energy efficiency, use and consumption) in line with the organization's energy policy; Do: implement the energy management action plans; Check: monitor and measure processes and the key characteristics of operations that determine energy performance against the energy policy and objectives, and report the results; Act: take actions to continually improve energy performance and the EnMS. ENERGY MANAGEMENT SYSTEM MODEL FOR ISO 50001
CONTINUAL IMPROVEMENT ENERGY POLICY ENERGY PLANNING MANAGEMENT REVIEW IMPLEMENTATION AND OPERATION INTERNAL AUDIT CHECKING MONITORING, MEASUREMENT AND ANALYSIS CORRECTIVE AND PREVENTIVE ACTIONS Plan ENERGY POLICY ISO/FDIS defines Energy PolicyasStatement by the organization of its overall intentions, and direction of an organization related to its energy performance, as formally expressed by top management. The energy policy provides a framework for action and for the setting of energy objectives and energy targets and is documented, communicated, and understood well within the organization. Appropriate to the scale and nature of the organization energy use. Availability ofnecessary resources and support. Commitment to comply with applicable regulations and other requirements. Setting and reviewing of energy objectives and targets. Supports the purchase of energy efficient technology and services. In India, energy policy declaration by an organization is seen as a top management commitment to continual improvement of organization's energy performance Energy Conservation Approach
Reduce specific consumption of energy by 2% every year over next ten years Intent To lessen the burden on the environment by reducing energy on a continuous basis and conserve natural resources. Requirements Implement the following fundamental practices related to energy consumption in our organization. These practices have to be taken up on a continuous basis. 1. Monitor energy and water consumption for the whole plant with section wise breakup 2. Establish specific energy (kWh or kCal or kL / ton or unit of production) 3. Develop an in house programme to sustain energy conservation activities in the plant. Plan (contd.) ENERGY PLANNING
Consistent with energy policy and has the following activities: Energy review- determination of Energy performance for identification of energy saving opportunities Energy baseline-establishing basis for energy performance comparison. Energy performance indicators (EnPIs)-setting EnPIs,measure of energy performance. Objectives-establishing, implementing and maintaining documented energy objectives. Targets-setting targets consistent with the objectives. Action plans- formulating action plans to achieve objectives and targets, legal/ regulations and other requirementsand shall include: designation of responsibility; the means and time frame by which individual targets are to be achieved; a statement of the method by which an improvement in energy performance shall be verified; a statement of the method of verifying the results. Do IMPLEMENTATION AND OPERATION
Organization to use the action plans and other outputs resulting from the planning process for implementation and operations and would require: Competence, training and awareness of work force on their role, responsibilities and duties Communicate internally with workforce on energy performance, EnMS and establish a process through which suggestions canbe invited to improve EnMS Records and document of the implementation and operation of the EnMS- scope and boundaries, energy policy , objectives , targets, action plan and other documents as required Operational Controls of those operation and maintenance activities related to significant use of energy Design of new, modified and renovated facilities, equipment, systems and processes that can have a significant impact on energy performance. Procurement ofenergy efficient products, services and energy. . Check MONITORING ,MEASUREMENT AND ANALYSIS
Key characteristics ofoperations that determine energy performance are monitored, measured and analysed at planned intervals Corrective and preventive actions Significant energy uses and other outputs. Energy Performance Indicators (EnPIs). Effectiveness of Action plans. Energy measurement plan. Evaluation and correction of deviations of the energy performance. Control of records. Check (contd.) INTERNAL AUDIT
Conduct internal audits to ensure thatEnergy Management System(EnMS) confirms to: planned arrangements for energy management energy objectives and targets established; effective implementation Act MANAGEMENT REVIEW Top management shall review the organization's EnMS to ensure its continuing suitability, adequacy and effectiveness. Inputs for review will include: Calendar of review. Records. Follow-up actions from previous management reviews. Energy policy. Energy Performance Indicators(EnPIs). Legal compliance and other requirements. Energy objectives and targets. Results of the audit. CORRECTIVE AND PREVENTIVE ACTIONS. Projected energy performance. Recommendations for improvement. Resources. Act Continual Improvement
A recurring process which results in enhancement of overall energy performance and the EnMS Output of Management Review will include: Changes in the energy policy. Changes in the EnPIs. Changes in the targets, goals and objectives. Allocation of resources. Comparison between ISO 50001, ISO 9001 and ISO 14001
ISO isproposed to be in line with ISO 9001 and ISO standards that address quality management and environmental management issues. ISO is based on the same Plan-Do-Check-Act approach of ISO 9001 and ISO and it draws extensively on the structure and content of the QMS and EMS. Implementation of ISO 9001 means what the organization does to fulfill the customer's quality requirements, and applicable regulatory requirements, while aiming to enhance customer satisfaction, Implementation of ISO means what the organization does to minimize harmful effects on the environment caused by its activities, and to achieve continual improvement of its environmental performance. Similarly ISO implementation is expected to address what the organization does to effectively manage energy resources and performance that is relevant to global standards. ISO in Indian Context India has enacted the Energy Conservation Actin 2001, which has been amended in 2010 The five major provisions of EC Act relate to: Designated Consumers (mainly energy intensive industries) to comply with the specific energy consumption normsfor the manufactured products and services and establishment of energy management system, Standard and Labeling of energy consuming appliances, gadgetsand equipment to ensure promotion of energy efficiency of the new stocks entering the market Energy ConservationBuilding Codes ensuring that new commercial buildings constructed in the country have less electricity consumption Creation of Institutional Set up (Bureau of Energy Efficiency) for effective coordination of the energy conservation efforts in the country and Establishment of Energy Conservation Fund at Centre and States to provide necessary financial support for energy efficiency initiatives in the country. Energy efficiency institutional practices and programs in India are now mainly being guided through various voluntary and mandatory provisions of the Energy Conservation Act ISO 50001 in Indian Context (contd.)
The National Action Plan on Climate Change was released by Honorable Prime Minister of India in June 2008 The Action Plan Outlines 8 Missions including National Mission for Enhanced Energy Efficiency (NMEEE) The basic objective of the NMEEE mission is to ensure a sustainable growth by an approximate mix of 4 Es, namely- Energy, Efficiency, Equity and Environment In one of the four components of NMEEE, namely, Perform Achieve and Trade (PAT), energy baseline parameters and energy saving targets are being fixed for 8 sectors of energy intensive industry including Thermal Power Stations under EC Act (amended) PAT process has really made aware the manufacturing sector to how to establish energy performance baseline, normalized energy performance indicators, targets fixation process and action plans to achieve targets. ISO 50001 in Indian Context (contd.)
In order to achieve the targets, as set , the plant is required to have a strong energy management system , well defined energy policy and qualified human resource. More than 200 industrial units and other establishments have already declared their energy policy and have certified energy managers and energy auditors. India has now about 8414 Certified Energy Managers, out of which 6073 are also qualified as Certified Energy Auditors, from the previous 11 examinations conducted by Bureau of Energy Efficiency since 2004. These professionally qualified energy managers and energy auditors have expertise in energy management, project management, financing and implementation of energy efficiency projects, and policy analysis In view of the above , it may be relatively easier for Indian industry to adopt ISO Standard CONCLUSIONS A new international ISO standard, applicable to any organization whatever the size, industry or geographical location, will benchmark energy management, and establish a framework for organization to manage energy use efficiently. It is estimated that the standard could influence up to 60 percent of the worlds energy use. ThisInternationalStandardisbasedonthePlan-Do-Check-Actcontinualimprovementframeworkand incorporates energy managementin organization practices. Itdoesnotestablishabsoluterequirementsforenergy performance beyond the commitments in the energy policy of the organization and its obligation to comply with relevant legislation. CONCLUSIONS Developing Best Practice Guides on sector specific energy conservation technologies and methodologies will facilitate the implementation of ISO 50001 ISO is designed to be used independently, but can be aligned or integrated with other management systems (e.g., ISO 9001 and 14001). ISO will be a voluntary system, but may tend tobecome de facto essential requirement as rapid uptake by competitors will drive non-participating organizations to adopt it as well. An organization embracing ISO is likely to further accelerate adoption of energy efficiency practices and to continuously improve its energy performance and cost. Shipping contributes to Climate Change Shipping is an increasing contributor to Climate Change, but the
improvement potential is large In 2007, the CO2 emissions from shippingwhere 847 M ton, or 2.7% of total globalGHG emissions This is projected to increase to 6% of total global emissions in 2020 Improved ship design can reduce the emissions to 10 50% Improved operational arrangements could reduce another 10 50% IMO GHG Study (2009) Relative importance of GHG emissions Sources Gases Relative importance (climate factor * shipping average amount) Engines/Boilers CO2 10 000 CH4 1 N2O 80 Refrigerants HCFC/HFC 30 Cargo (Tankers) CH4 in VOC (2%) 75 Shipping emissions The shippingindustrycontributeswith doublethe amount ofGHG as toaviation Vessels sailingthe majortrading routesare largelycontributing toGHGemissions Typical CO2 efficiencies today
Crude LNG General Cargo Reefer Chemical Bulk Container LPG Product RoRo/Vehicle Rail Road g CO2 / ton*km Grounds for concern Scenarios for CO2 emissions from International Shippingfrom 2007 to 2050 in the absence of climate policies 8000 CO2 emissions from ships (million tons CO2 / yr) A1FIA1BA1TA2B1B2 Max Min 7000 6000 5000 4000 3000 2000 1000 2000 2010 2020 2030 2040 2050 Cutting CO2 emissions from business as usual
Known measures;most already cost-effective Gt CO2emissions international shipping Business as usual scenario More expensiveor breakthroughtechnologies CO2 emission targets E E O I Energy Efficiency Operational Indicator Energy Efficiency Operational Indicator EEOI
MEPC.1/Circ.684 Guidance for Voluntary Use of the ShipEnergy Efficiency Operational Indicator(EEOI) CO2 Indicator targeted for Ship Owners usage Index calculation based on: Total fuel consumption Actual distance traveled (from log book) Cargo mass or alternative cargo unit Energy Efficiency Operational Indicator (EEOI)
Management tool to monitor the CO2 emission performance of ships, or fleets, withregards to CO2 emissions. Directly relates the ratio of mass of CO2 emitted per unit transport work. EEOI = Mass of CO2/(transport work) It offers a high level energy efficiency reference on the overall level (total emissions), enabling internal benchmarking of the organisations performance (incl. commercial) However to effectively manage energy usage, this must be supported by more targeted performance monitoring Offers opportunities for: quality control / Improved data reporting, recording and assessment, benchmarking of performance, and overview of total emissions Daily Q/A of data Sea Passage Same cargo mass Voyage Benchmarking Yearly Total emissions Trending Benchmarking CR reporting Benchmarking Several reasons for index value variations
Ship size / type Cargo requirements Utilization of cargo space Speed Length of ballast (repositioning) voyages Differences in port stay / cargo operation inclusion Ship condition (engine condition, hull and propeller fouling, etc) Weather and currents Errors in measurement and registration EEOI the details Objective to provide an indicator for the energyefficiency of a ship in operation Only recommendatory in nature, however, impact of future political developments uncertain Applies to all ships doing transportation work, intended to cover all cargo types Carbon conversion factors pre-defined for various fuel types Cargo mass term flexible; expressed as metric tonnes, TEU, passengers, car units, lane meters, railway cars, freight vehicles etc. Distance sailed is actual distance over ground Voyage defined as period from departure from one port to the departure from next. Alternative definitions are accepted Rolling average calculations are accepted Establishing an EEOI The EEOI should be representative of the energy efficiency of the ship in operationand be measured over a consistent period of time, which represents the overalltrading pattern of the vessel. In order to establish the EEOI, the following main steps are described as being needed. define the period for which the EEOI is calculated*; define data sources for data collection; collect data; convert data to appropriate format; and calculate EEOI * Ballast voyages, as well as voyages which are not used for transport of cargo, suchas voyage for docking service, should be included. Voyages for the purpose ofsecuring the safety of a ship or saving life at sea should be excluded. Calculation example Using the EEOI as a benchmarking tool
Estimated EEOI for vessel - ~6500 dwt General Cargo( dwt general cargo segment) Fleet segment 100 day rolling averageDaily EEOI 100 day rolling average 14,0 12,0 10,0 8,0 6,0 4,0 2,0 0,0 EEOI (grams per tonne*nm) By gathering data over longer period trends can be identified Rolling average to be calculated over a longer period IMO recommends at least 1 year or 6-10 voyages Example above shows how a ship can be compared with itself and a group of ships Benchmarking ships, fleets, operational modes
90 Total Fleet: Voyage - Dept to DeptTotal Fleet: Voyage - Dept to Arrival 80 Total Fleet: Voyage - Sea Voyages 70 60 g CO2 / (t Cargo*nm) 50 40 30 20 10 Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Ship Room for improvement EEOI as a framework for efficiency measurements / benchmarks - may provide a driver for efficiency improvements Average marginal CO2 reduction cost per reduction option on world fleet Voyage execution 40 Boiler consumption reduction Engine monitoring 20 Auxiliary power reduction Optimal trim Cost per tonne CO 2averted ($/tonne) -20 Wind power -40 Fleet optimization and speed reduction Weather routing -60 Hull condition Propulsion efficiency devices -80 Propeller efficiency -100 50 CO2reduction (mill tonnes per year) 200 Baseline: 925 MT Industry concerns Great leeway in definition of index termscomplicates comparison based on indicatorvalue only Actual change in CO2 emissions notnecessarily reflected by change in indicatorvalue Voluntary calculation may lead to mandatoryregulation, regionally or internationally E E D I Energy Efficiency Design Index IMO - Energy Efficiency Design Index
MEPC.1/Circ.681 Interim Guidelines on the Method ofCalculation of the Energy EfficiencyDesign Index for New Ships MEPC.1/Circ.682 Interim Guidelines for VoluntaryVerification of the Energy EfficiencyDesign Index EEDI Where: The EEDI can be calculated andverified for all new ships of the ship typecategories as listed in the table below. Thecalculations will be based on the ship maincharacteristics and engine performance alsowith the design speed power curve adjustedwith the sea trial data provided by the builder Why: The purpose of the EEDI is to establish the minimum efficiency of new ships depending on ship type and size, provide a fair basis for comparison and to stipulate the development of more efficient ships in general. Verification of EEDI is voluntary today but is expected to be mandatory in (near) future (MEPC.61). When: Tentative entry into force dates and reduction rates for the ship type segments covered by the EEDI: Assuming adoption atMEPC62 entry into force in 2013 New requirements on CO2 from 2013
After protracted negotiations the MEPC voted to adopt amendments to MARPOL Annex VIwith entry into force 1 January 2013, making the EEDI and SEEMP mandatory subject toprovisions described below. The EEDI requirements will apply to new ships above 400 GT only, where "new ship" means a ship: for which the building contract is placed on or after 1 January 2013; or in the absence of a building contract, the keel of which is laid or which is at a similar stage of construction on or after 1 July 2013; or the delivery of which is on or after 1 July 2015 A SEEMP will have to be present aboard all vessels at the first renewal or intermediate survey after 1 January 2013, when an International Energy Efficiency Certificate will be issued. The Principles Behind the EEDI
Clear parallel to the millage standard in the automotive industry, but also taking the benefit tosociety (i.e. useful work capacity) into account. index Environmental cost Attained design CO 2 Benefit for society In more specific terms. CFSFC P Attained design COindex 2 Capacity Vref The index is measured as grams CO2/ capacity * nautical mile Baselines can be defined to compare different designs The Formula - Explained
The basic principle is retained but complexity increased Minor adjustments can be expected but no major changes Calculation methods for diesel-electric and hybrid propulsion systems to be further explored, expected finalized in 2013 No guidelines on weather factor fw at present Guidelines on CO2 abatement technologies (Peff) to be developed Reference lines (Baselines)
Reference lines derived for defined fleet segments ( ) through data filtering andregression analysis Reference lines form the basis for requirements per ship type, a.k.a Required Design Index.Precise level of Required Design Index is a political decision Attained Index for specific ships to be calculated per ship on design data, and to be less than Required Index. Reference lines and Attained Design Index calculated by same formula, but with correction factors set to 1.0 for baseline Reference line values Ship type Capacity a c Bulk carrier dwt 961.79 0.477 Gas tanker 0.456 Tanker 0.488 Container 70%*dwt 174.22 0.201 General cargo 107.48 0.216 Reefer 227.01 0.244 Combination The reference lines are calculated as a*Capacity-c The capacity for container vessels was changed at MEPC62 and the reference line will have to be recalculated Ship types included in EEDI
In addition roro and passenger vessels are scheduled to be included as soon as calculation methods and reference lines are ready Ships with diesel-electric, turbine or hybrid propulsion system will not be included before calculation methods are developed The reduction factor for small ships will be reviewed in 2013 In 2015 IMO shall review the reduction rates based on technological developments and may adjust further implementation dates and reduction rates Example for container ships
Increasing requirement in each Phase Minimum size forrequired EEDI level Container ships 40 35 30 25 EEDI 20 15 Reference line to beupdated by the IMO 10 Tentative reference line - to be updatedRequired EEDI: Required EEDI: Required EEDI: Required EEDI: 2025- 5 5 000 10 000 15 000 Dwt Increasing EEDI requirement relative to reference line EEDI timeline for implementation
MEPC 62 July 2011 Amendment to MARPOL Annex VI adopted MEPC 63 March 2012 Guidelines for propulsion power needed to maintain manoeuvrability to be finalised MEPC 64 October 2012 Guidelines on ship specific voluntary structural enhancement to be finalised Entry into force, Phase 0 January 2013 MEPC 65 July 2013 Guidelines for CO2 abatement technologies to be finalised Review of requirements for small ships and large tankers and bulker MEPC 66 March 2014 Framework for including roro, passenger, diesel-electric and hybrid propulsion ships to be adopted Phase 1 January 2015 Review of technological developments and adjustment of time periods and reduction factors Two-step verification process
Port state control will only check for the presence of a valid International Energy Efficiency Certificate EEDI Calculation and Verification Procedure S E E M P Ship Energy Efficiency Management Plan Ship Energy Efficiency Management Plan SEEMP
MEPC.1/Circ.683 Guidance for the Development of aShip Energy Efficiency ManagementPlan Document Management Plan targeted for Ship Owners Contains a list of measures to make the ship in question more energy efficient There are no efficiency targets associated with the SEEMP, only for reference Shipyards may be asked to contribute to document the performance of specific measures Mandatory from 2013 as part of MARPOL Annex VI and the new International Energy Efficiency Certificate The Ship Energy Efficiency Management Plan
Energy Management measures Voyage performance Hull/propeller condition Rudder autopilot Trim and draft Voyage planning Weather/current routing Energy consumers Cargo operations Tank heating and cleaning Thruster operations Engine tuning Engine utilization Total fuel management Pre-bunkering process Bunkering process Post-bunkering process Organization /Strategy Guidance for theDevelopment of a ShipEnergy EfficiencyManagement Plan(SEEMP)(MEPC.1/Circ.683), issued 17 August 2009 IMO MEPC 62 July 2011 MEPC 62 : adoption of new requirements on CO2 including making the Ship Energy EfficiencyManagement Plan (SEEMP) mandatory for new ships existing ships Valid from 1 January 2013, at the first renewal or intermediate survey after this date The SEEMP : provides an approach for monitoring ship and fleet efficiency performance over time, and encourages the ship owner, at each stage of the plan, to consider new technologies and practices when seeking to optimize ship performance. SEEMP will not be subject to approval by flag states or Recognized Organizations such is the case with class, but will be part of a new chapter 4 of MARPOL Annex 6 on Regulations and be required under the International Energy Efficiency Certificate (IEEC). The IEEC requires under Regulation 22 that each ship shall keep on board a ship specific Ship Energy Efficiency Management Plan (SEEMP) (and) shall be developed taking into account guidelines adopted by the (IMO). SEEMP How can you make a SEEMP ? Easy way : Hard way:
Just fill in a template, change the name of the vessel. Done ! Hard way: It basically takes longer than 2 lines in a ppt presentation Before we start.Is there any help for me ??? IMO MEPC.1/Circ.683 SEEMP Key features:
Recognises that operational efficiencies will make an invaluable contribution to reducing global carbon emissions Purpose is to establish a mechanism for a company and/or a ship to improve the energy efficiency of a ships operation that is preferably linked to a broader corporate energy management policy Guidance only SEEMP to be customised to characteristics and needs of individual companies and ships Four step process suggested: Planning Implementation Monitoring Evaluation