In your opinion, what problems will your utility encounter if it resorts to energy auditing? How can these be managed?
Problems I will your utility encounter if it resorts to energy auditing are :
1. Missed Opportunities
Neglecting key opportunities
The most widespread problem in energy audits as identified by Shapiro is missed opportunities. Shapiro argues that comprehensiveness is widely recognized as a critical feature of all high quality energy audits. He provides a list of opportunities which he feels should be covered in every energy audit: high-efficiency HVAC, domestic hot water and lighting; lighting power density; lighting controls; wall or roof insulation; motors/drives; HVAC controls; and fenestration opportunities. While we agree that all energy audits should provide clients with a reasonable selection of options for implementation, his study combined results from energy audits of both residential and commercial buildings. In the context of Vancouver's mild climate, building envelope opportunities for commercial buildings such as fenestration measures or wall and roof insulation do not offer good returns and are sometimes difficult or disruptive to implement. These types of improvements are more appropriate for mid-to-small scale residential buildings. This list, therefore, might not be entirely relevant to clients with commercial, institutional or large-scale residential building portfolios who are trying to determine the comprehensiveness of an energy audit.
2. Scope of Opportunities
Weak description of scope of measures
We provide our clients with all pertinent details about a particular measure in our energy reports, including the location, quantity of items needed, and the energy rating of the equipment. All of our reports include an explanation of the measure intent and a list of assumptions used in the calculations. We also provide design schematics for the more complex measures. Although Shapiro recommends including testing requirements, we don't often include this information in our reports. Given that some of our clients implement measures on their own after receiving our reports, we have decided to explore, with feedback from our clients, whether to include testing requirements in future reports.
3. Equipment and Project Life
Overestimated or omitted
Because equipment or project life is so critical to accurate life-cycle cost analysis, Shapiro included this issue among his top three. Missing or incorrect information regarding project life can lead to poor measure prioritization. At Prism, we include project or equipment life in all of our NPV and IRR analysis, calculating it for every measure we recommend.
4. Life-cycle Costing
Failure to provide client with the "whole picture" afforded by Life-cycle costing
Unlike simple payback, life-cycle costing provides a holistic perspective on potential measures and helps clients and energy auditors make better decisions about which projects to pursue. In our energy audits, in addition to providing simple payback metrics, we also calculate the Internal Rate of Return (IRR) and Net Present Value (NPV) for all measures, as well as for the report as a whole. All of these figures are captured in a high-level overview table in the report summary to allow for easier decision making on the part of the client. This information helps our clients make the most effective business case to senior management, for the implementation of the energy savings measures. We also include various options for utility rates, such as 'no price escalation' and '2% annual price escalation'. We can't predict the future but we can provide reasonable models for possible scenarios
5. Energy Savings Measure Selection
Selecting the wrong measure due to missing or incorrect information
The most common reason that energy auditors do a poor job of identifying and recommending energy saving measures is due to missing or incorrect information. According to the article, one of the most common errors is to recommend a measure with a longer payback than
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