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Title: ISO 50001 and SEP Faster and Cheaper - Exploring the Enterprise-Wide Approach

Abstract

ISO 50001 and other management systems (e.g., ISO 9001 and ISO 14001) allow for implementation and certification at the enterprise level. The "Central Office" concept, which allows a small group of employees to manage and facilitate the organization’s energy management system (EnMS) at the enterprise level, was introduced within the ISO 50003 standard to provide guidance to ISO 50001 certification bodies. Four industrial companies have partnered with the United States Department of Energy to pilot the enterprise-wide ISO 50001/SEP concept under the Better Buildings Superior Energy Performance (SEP) Enterprise-wide Accelerator. Each organization developed a Central Office to host their EnMS while implementing ISO 50001/SEP at multiple physically separated sites. The four corporate partners tailored their Central Office implementation model to meet their own specific circumstances and needs. This paper reviews the commonalities, differences, and benefits of each of these enterprise-wide implementation models, including organizational structures, Central Office staff responsibilities, and key strategies. The cost savings and benefits of using the enterprise-wide approach were assessed, including the cost per site compared with that of a conventional, single-site ISO 50001/SEP implementation approach. This paper also discusses the drivers for the cost reductions realized through these enterprise-wide approaches. The four partner companies workedmore » with 30 total sites. On average, these 30 sites improved energy performance by 5% annually over their SEP achievement periods, saved more than $600,000 annually in energy costs and reduced implementation cost for ISO 50001 and SEP by $19,000 and 0.8 Full Time Equivalent × years (FTE-yr) of staff time per site. The results can inform other organizations seeking to implement enterprise-wide ISO 50001/SEP, as well as energy efficiency organizations seeking to promote wider adoption of ISO 50001 implementation.« less

Authors:
 [1];  [1];  [1];  [1];  [2];  [3]
  1. Lawrence Berkeley National Lab. (LBNL), Berkeley, CA (United States)
  2. USDOE, Washington, DC (United States)
  3. Energetics, Inc. (United States)
Publication Date:
Research Org.:
Lawrence Berkeley National Lab. (LBNL), Berkeley, CA (United States)
Sponsoring Org.:
USDOE Office of Energy Efficiency and Renewable Energy (EERE)
OSTI Identifier:
1414768
DOE Contract Number:
AC02-05CH11231
Resource Type:
Technical Report
Country of Publication:
United States
Language:
English
Subject:
97 MATHEMATICS AND COMPUTING

Citation Formats

Liu, Jingjing, Rao, Prakash, Therkelsen, Peter, Sheaffer, Paul, Scheihing, Paul, and Tamm, Yannick. ISO 50001 and SEP Faster and Cheaper - Exploring the Enterprise-Wide Approach. United States: N. p., 2017. Web. doi:10.2172/1414768.
Liu, Jingjing, Rao, Prakash, Therkelsen, Peter, Sheaffer, Paul, Scheihing, Paul, & Tamm, Yannick. ISO 50001 and SEP Faster and Cheaper - Exploring the Enterprise-Wide Approach. United States. doi:10.2172/1414768.
Liu, Jingjing, Rao, Prakash, Therkelsen, Peter, Sheaffer, Paul, Scheihing, Paul, and Tamm, Yannick. Thu . "ISO 50001 and SEP Faster and Cheaper - Exploring the Enterprise-Wide Approach". United States. doi:10.2172/1414768. https://www.osti.gov/servlets/purl/1414768.
@article{osti_1414768,
title = {ISO 50001 and SEP Faster and Cheaper - Exploring the Enterprise-Wide Approach},
author = {Liu, Jingjing and Rao, Prakash and Therkelsen, Peter and Sheaffer, Paul and Scheihing, Paul and Tamm, Yannick},
abstractNote = {ISO 50001 and other management systems (e.g., ISO 9001 and ISO 14001) allow for implementation and certification at the enterprise level. The "Central Office" concept, which allows a small group of employees to manage and facilitate the organization’s energy management system (EnMS) at the enterprise level, was introduced within the ISO 50003 standard to provide guidance to ISO 50001 certification bodies. Four industrial companies have partnered with the United States Department of Energy to pilot the enterprise-wide ISO 50001/SEP concept under the Better Buildings Superior Energy Performance (SEP) Enterprise-wide Accelerator. Each organization developed a Central Office to host their EnMS while implementing ISO 50001/SEP at multiple physically separated sites. The four corporate partners tailored their Central Office implementation model to meet their own specific circumstances and needs. This paper reviews the commonalities, differences, and benefits of each of these enterprise-wide implementation models, including organizational structures, Central Office staff responsibilities, and key strategies. The cost savings and benefits of using the enterprise-wide approach were assessed, including the cost per site compared with that of a conventional, single-site ISO 50001/SEP implementation approach. This paper also discusses the drivers for the cost reductions realized through these enterprise-wide approaches. The four partner companies worked with 30 total sites. On average, these 30 sites improved energy performance by 5% annually over their SEP achievement periods, saved more than $600,000 annually in energy costs and reduced implementation cost for ISO 50001 and SEP by $19,000 and 0.8 Full Time Equivalent × years (FTE-yr) of staff time per site. The results can inform other organizations seeking to implement enterprise-wide ISO 50001/SEP, as well as energy efficiency organizations seeking to promote wider adoption of ISO 50001 implementation.},
doi = {10.2172/1414768},
journal = {},
number = ,
volume = ,
place = {United States},
year = {Thu Jun 01 00:00:00 EDT 2017},
month = {Thu Jun 01 00:00:00 EDT 2017}
}

Technical Report:

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  • ISO 50001-Energy management systems – Requirements with guidance for use, is an internationally developed standard that provides organizations with a flexible framework for implementing an energy management system (EnMS) with the goal of continual energy performance improvement. The ISO 50001 standard was first published in 2011 and has since seen growth in the number of certificates issued around the world, primarily in the industrial (agriculture, manufacturing, and mining) and service (commercial) sectors. Policy makers in many regions and countries are looking to or are already using ISO 50001 as a basis for energy efficiency, carbon reduction, and other energy performancemore » improvement schemes. The Impact Estimator Tool 50001 (IET 50001 Tool) is a computational model developed to assist researchers and policy makers determine the potential impact of ISO 50001 implementation in the industrial and service (commercial) sectors for a given region or country. The IET 50001 Tool is based upon a methodology initially developed by the Lawrence Berkeley National Laboratory that has been improved upon and vetted by a group of international researchers. By using a commonly accepted and transparent methodology, users of the IET 50001 Tool can easily and clearly communicate the potential impact of ISO 50001 for a region or country.« less
  • Industry utilizes very complex systems, consisting of equipment and their human interface, which are organized to meet the production needs of the business. Effective and sustainable energy efficiency programs in an industrial setting require a systems approach to optimize the integrated whole while meeting primary business requirements. Companies that treat energy as a manageable resource and integrate their energy program into their management practices have an organizational context to continually seek opportunities for optimizing their energy use. The purpose of an energy management system standard is to provide guidance for industrial and commercial facilities to integrate energy efficiency into theirmore » management practices, including fine-tuning production processes and improving the energy efficiency of industrial systems. The International Organization for Standardization (ISO) has identified energy management as one of its top five priorities for standards development. The new ISO 50001 will establish an international framework for industrial, commercial, or institutional facilities, or entire companies, to manage their energy, including procurement and use. This standard is expected to achieve major, long-term increases in energy efficiency (20percent or more) in industrial, commercial, and institutional facilities and to reduce greenhouse gas (GHG) emissions worldwide.This paper describes the impetus for the international standard, its purpose, scope and significance, and development progress to date. A comparative overview of existing energy management standards is provided, as well as a discussion of capacity-building needs for skilled individuals to assist organizations in adopting the standard. Finally, opportunities and challenges are presented for implementing ISO 50001 in emerging economies and developing countries.« less
  • A methodology has been developed to determine the impacts of ISO 50001 Energy Management System (EnMS) at a region or country level. The impacts of ISO 50001 EnMS include energy, CO2 emissions, and cost savings. This internationally recognized and transparent methodology has been embodied in a user friendly Microsoft Excel® based tool called ISO 50001 Impact Estimator Tool (IET 50001). However, the tool inputs are critical in order to get accurate and defensible results. This report is intended to document the data sources used and assumptions made to calculate the global impact of ISO 50001 EnMS.
  • ''ISO 50001: 2011 Energy management systems – Requirements with guidance for use'' is a voluntary International Standard which provides organizations a proven framework to manage energy and continuously improve their energy performance. Implementing ISO 50001 in the commercial building sector has its unique opportunities and challenges in comparison with the industrial sector. The energy footprint of a portfolio of commercial buildings can be just as significant as a large industrial facility in comparison. There are many energy-saving opportunities in commercial buildings that can be addressed without capital investments, and the perceived risks for making energy improvements can be lower thanmore » in the industrial sector. In addition, the energy-consuming systems in commercial buildings are limited in types and have many similarities across buildings, which makes it much easier to standardize many ISO 50001 required processes, 5 procedures and documents to simplify implementation. There are also some sector-unique challenges, such as less familiar with ISO systems and the certification process. Another challenge arises from the complexity in some buildings’ ownership, tenancy, and O&M responsibilities. This whitepaper discusses these opportunities and issues in detail. The paper also recommends the characteristics of organizations in the commercial building sector that can benefit the most from adopting the ISO 50001 standard – namely the “suitable market”. Eight segments (education, food sales, retail, inpatient health care, hospitality, office buildings, laboratories and data centers) within the commercial building sector are highlighted.« less