The Energy Efficiency Benchmarking System and BAT

Verificatiebureau Benchmarking Vlaanderen010-022 22.10.2004

The Energy Efficiency Benchmarking System and BAT

Hubert Van den Bergh


A system which is running in the Netherlands and in Flanders (I)

→ because of the tight Kyoto burden sharingin Flanders large installations started up between the Kyoto reference year 1990 and the Kyoto protocol year 1997.

→ the policy not to obstruct growth of companies

companies with a good prospect for future are those who grow.


A system which is running in the Netherlands and in Flanders (II)

→ government did not want to impose absolute caps on energy consumption or greenhouse gas emissions…

→ … but expects optimised energy efficiency of production installations, in a quantified way

→ standards must be set; the benchmarking system is the way to these BAT-standards


General outline of Benchmarking

→ the company makes a split up of its facilities into benchmarkable installations

→ for every installation a study is performed to compare energy efficiency with similar installations in the world

→ for energy intensive installations it is assumed that the best installations are BAT

→ the BAT-standard allows a certain margin→ the covenant requires to attain the standard


1) Full benchmarking of all installations in the world; the decile point gives the standard (Decile method)

۔ may require a lot of data۔ co-operation of all important world actors is

necessary۔ result is very acceptable, irrespective of the

consumption span۔ irregularities are rare

Benchmarking methodsThe benchmarking methods, in order of application priority are:


Benchmark by decile method

10

15

20

25

30

35

0 10 20 30 40 50 60 70 80

17,2Spec

ific

ener

gy c

onsu

mpt

ion

number of companies


2) Benchmarking in the best region in the world; the average consumption of the installations in the best region gives the standard (Region method)

۔ first a best region must be defined۔ that region must be acceptable as BAT-

standard for the world۔ definition problems about number of regions

and number of companies in the region۔ difficult method۔ method may be desirable to limit the number

of installations of the full benchmark

Benchmarking methods


Benchmark by region method

35

40

45

0 1 2 3 4 5 6

42,6

Spec

ific

ener

gy c

onsu

mpt

ion

number of companies


3) Best Practice: the world best installation has to be found and to be assessed; standard = world best + 10%

۔ good feasibility in terms of investigation work۔ proof of “world best” is not evident, but more

feasible than for the region method۔ 10% may be too tolerant as margin



4) Auditing: if other methods fail, the installation must be thoroughly audited – standard = own installation after execution of all economically efficient measures (I.R.R. > 15%)

۔ this method gives little handhold۔ results are often disputed



CommissionBenchmarking

Companies

Verification Office

Consultants

FederationsFlemish

Government


BM46%

BP32%

DL22%

BM

BP

DL

Study type based on energy consumption


BM10%

BP16%

DL74%

BM

BP

DL

Study type based on number of processes


In Flanders: ۔ Covenant approved by government on 29.11.2002

for companies > 0,5 PJ, later also companies which must participate in system of emission rights (T.E.R.)

۔ 176 companies participate in the Covenant۔ commitment to achieve BAT, to be specified in an

energy plan۔ energy plans submitted 30.06.2004, by all T.E.R.-

companies۔ all energy plans to be verified by 15.09.2004

State of the art of the Covenant


۔ results of the energy plans in evaluation, to be released by the end of the year

۔ T.E.R. allocation based on energy plans ۔ monitoring every year, by 1st April۔ cycle to be repeated every 4 years

In the Netherlands:۔ covenant signed 06.07.1999۔ second cycle starting now


Is Benchmarking an easy way to find BAT-standards?

Unfortunately not…every installation has its own

difficulties!


Benchmarking/BAT practical situations

endothermic plant or condensing

power plant

exothermic plant

1) Boundary Limits

The choice of limits may lead to a very different result and ranking.


2) Raw materials and fuels

Which flows to be accounted for?Which subtractions in the covenant?

secondary energy

waste

by-product

product

processingplant

raw

material

energy

input



3) Combined Heat and Power

How much fuel to be allocated to the processing plants?

CHP

processingplants

heat

electricity

electricity grid

fuel




4) Irregular Benchmarking curves

Can one accept such a decile point?

10

40%



5) Waste fuels should not be accounted for

What is to be considered as unbenchmarkable waste?

: waste (?)

BP-standard

owninstallations

ener

gy

cons

umpt

ion


Benchmarking / BAT practical situations

6) Existing benchmarks

How to deal with existing benchmarks if they do not really fit the covenant expectations?

preheat if applicable

process

cooling product

feed

energy

existingbenchmark

energy recovery does not effect benchmark?


→ for cost reduction of new benchmarks

→ for better participation of competitors

→ for quality improvement: level playing field

INDISPENSIBLE→ as soon as the burdens become more tight

WANTED: INTERNATIONALISATION

Documents

The Energy Efficiency Benchmarking System and BAT