ASEAN Energy Management Scheme (AEMAS)

GreenTech Malaysia

2

Ministry of Energy, Green Technology and Water was

established during the Cabinet reshuffle

Green Technology

National Green Technology Policy was launched by the

Prime Minister

Malaysia Green Technology Corporation

April 2009

24 July 2009

1 Jan 2010

Definition of Green TechnologyThe development and application of products, equipment and systems used to conserve the natural environment and resources, which minimizes and reduces the negative impact of human activities.

Satisfy any of the following General Criteria :• minimizes degradation to the environment;• has zero or low green house gas (GHG) emission;• safe for use and promotes healthy and improved

environment for all forms of life;• conserves the use of energy and natural resources; and• promotes the use of renewable resources

National Green Technology Policy

Energy Waste & Water Building Transport

EnergyEfficiency

Certification Regulation

SustainableEnergy

Management(SEM)

RegisteredElectricalEnergy

Manager 2008(REEM)

GreenBuilding

Index(GBI)

UniformBuildingBy-Law(UBBL)

Certification Regulation

NATIONAL GREEN PROGRAMME (Certification, Regulation & Standard)

Standard

MS 1525

Regulation

Environment Quality Act

(EQA)

RegulationRegulation

Environment Quality Act

(EQA)

Regulation

GREEN

RENEWABLE ENERGY BILL 2010

Regulation

Renewable Energy

Standard

ISO 50001

AEMAS StructurePartly Funded by

Accreditation Body

European Union

Certification Bodies

Accredit certification bodies to certify companies & energy professionals

Certify Energy Managers and Certify End-users

Training cert CEM cert PEM certCertified Company

Indonesia Vietnam Philippine MalaysiaThailand

National SupportNetwork (NSN)

Benefit Sustainable Energy Management System (SEMS)

• Sustainable energy and cost saving if implemented at your site

• Green image or Corporate Social Responsibility (CSR) to your organization

• Participating in ASEAN Energy Award under Energy Management Category

• Facilitation to get others local or international energy management certification

• Facilitation to comply to related legal requirement

Endorsement• GreenTech Malaysia has been appointed by ASEAN

Center for Energy (ACE) as Certification Body for Malaysia

• AEMAS has been recognized by Energy Commission (ST) as a program under Continuous Development Program (CDP) which is a mandatory requirement Registered Electrical Energy Manager (REEM) for renewal of the registration

• AEMAS has been recognized by Institute of Engineer Malaysia (IEM) to support the Continuous Program Development (CPD)

• Energy Manager Training Course (EMTC) under AEMAS is re-claimable under Human Resource Development Fund (HRDF)

1. Status of Energy Management

Energy usually represents 5% of total production cost: improving EE by 10% has little impact on total cost savings

The “traditional” energy manager is a technical person with little if no decision power when it comes to securing budget

All training courses on energy management focus on the technical aspects: no training curriculum on the MANAGEMENT aspects

Barrier analysis

Cost savings is NOT a driver

Lack of management commitment

Little managerial skills in-house

1. Status of Energy Management

Without a proper Energy Management System, there is no sustainability in EE measures implemented.

1. Status of Energy Management

Preliminary conclusions

• Absence of energy management system makes efforts in EE not sustainable

• Lack of managerial skills and decision-power among “energy managers”

• Lack of interest for EE and EnMgt among industries

2. ISO 50001

• Recently published“ISO 50001:2011 specifies requirements for establishing, implementing, maintaining and improving an energy management system, whose purpose is to enable an organization to follow a systematic approach in achieving continual improvement of energy performance, including energy efficiency, energy use and consumption.”

2. ISO 50001 pros and limitations

+ ISO’s reputation will encourage many industries to adopt ISO 50001 to gain better public image

+ ISO 50001 standard provides detailed specifications on the elements of an Energy Management System

+ ISO’s reputation will encourage many industries to adopt ISO 50001 to gain better public image

+ ISO 50001 standard provides detailed specifications on the elements of an Energy Management System

- No guidelines on HOW to establish and manage the EnMgt system: rely on external consultants?

- “ISO 50001:2011 does not prescribe specific performance criteria with respect to energy.”:

- No requirements on energy efficiency improvements- No requirements related to budget and investment

- “ISO 50001:2011 is applicable to any organization wishing to ensure that it conforms to its stated energy policy and wishing to demonstrate this to others, such conformity being confirmed either by means of self-evaluation and self-declaration of conformity, or by certification of the energy management system by an external organization.

- No guidelines on HOW to establish and manage the EnMgt system: rely on external consultants?

- “ISO 50001:2011 does not prescribe specific performance criteria with respect to energy.”:

- No requirements on energy efficiency improvements- No requirements related to budget and investment

- “ISO 50001:2011 is applicable to any organization wishing to ensure that it conforms to its stated energy policy and wishing to demonstrate this to others, such conformity being confirmed either by means of self-evaluation and self-declaration of conformity, or by certification of the energy management system by an external organization.

Pros

Limitations

3. Energy Management Gold Standard

“System of certification based on excellence in energy management”

Training and certification of Energy Managers

• Training curriculum focused EXCLUSIVELY on managerial aspects: how to establish and manage and EnMgt system• Two levels of certification: Certified EnMer and Professional EnMer

Certification of companies

• Based on ISO 50001 with additional requirements• Three levels of certification to progressively drive towards EnMgt best practices

Energy Management Committee

Energy Manager

Technical team

TopManagement

Report to

AEMAS Certified Energy ManagerAEMAS Certified Energy Manager

3.3 Certification of companies• EnMgt System in place according to ISO 50001

+ Certified Energy Manager (CEM)

+ Motivation plan for the personal involved in the EnMgt system

+ Budget allocated for investment in EE measures

+ Procurement policies and internal investment criteria “EE-friendly”

Validity: 2 years Cannot be renewed: obligation to achieve 2 star In case 2-star certification cannot be achieved within 2 years, the 1-star certificate is withdrawn. Companies can re-apply for 1-star after 3 years minimum from the date of withdrawal Companies can apply directly for 2-star anytime.

3.3 Certification of companies

Same as 1 star + (either one of the following):• Overall EEI improves by 5% (over 2 years)• Overall energy consumption decreases by 5%• EEI improves by 1% on year-on-year basis over past 3 years• EE measures representing at least 50% of the total energy saving potential of recommended measures (internal audit) are implemented and achieving at least 1% overall energy savings• EE measures representing at least 50% of the total energy saving potential of recommended measures (external audit by AEMAS certified auditor and approved by senior AEMAS experts) and achieving less 1% overall energy savings are implemented (include cases where NO EE measures are implemented)• Fuel-switching project implemented (using NG or RE)• Projects involving self-generation of electricity implemented• One RE project implemented• Investment in 5 new EE technologies

Validity: 2 years Renewal gives 3 stars If cannot be renewed: downgrading to 1-star (if criteria met) with only 1 year validity

3.3 Certification of companies

Open only for 2-star certified companies

Same criteria as for 2-star + Energy Manager must be PEM (not CEM), i.e. renewal of 2-star provides 3-star

Rationale: a company who can meet 2-star certification 2 times in a row, that is over 3-4 years, demonstrate their sustainable and pro-active approach to EnMgt. The 3-star aims to convey this message. Validity of 3-star: 2 years Renewal confirms sustainability In case a company cannot renew, it is downgraded to 1-star (if criteria are met), with 1-year validity only.

3.4 Energy Management Gold Standard vs. ISO 50001

Corporate energy policy

Energy Management system in place and documented

Trained and certified energy manager

Demonstration of budget spending

Demonstration of EE measures implementation

Verified improvement of EEI

Budget management

Motivation

Energy Management System in place, budget allocated

Real EE improvement; Energy Management System is sustainable

ISO 50001

3.5 Summary of Benefits

For Energy Managers (individuals):•Improved professional standing•Cross-border employment opportunities•Career path development

For Energy End-Users (industries and buildings)•ASEAN-wide and international recognition•Enhanced competiveness•Secured and enhanced opportunities for international business•Facilitated compliance with international standards including ISO 50001•Verified achievements and actual savings

4. Activities:AEMAS National Council Officially formed on 21st March 2011

4.1 AEMAS National Council (Support Network)

List of AEMAS Supporter

1. Malaysian Energy Professionals Association (MEPA)

2. Institution of Competent Engineers Malaysia (ICEM)

3. Malay Electrical and Mechanical Association of Malaysia (PERKEM)

4. Construction Industry Development Board Malaysia (CIDB)

5. Faculty of Chemical Engineering, University of Technology Malaysia (UTM)

6. SMI Association of Malaysia

7. NK Engineers Sdn Bhd

8. Life Regen (M) Sdn Bhd

4.2 Activities:Energy Manager Training Course (EMTC)

• Organise 6/20 Energy Managers under AEMAS

4.3 Energy Management Gold Standard (EMGS) certified companies

• University of Technology Malaysia (UTM)

4.3 Energy Management Gold Standard (EMGS) certified companies

• Telekom Malaysia Research & Development Sdn Bhd

4.3.1 AEMAS National Launching 19 July 2011

4.4 Further information

• Energy Manager Training Course website– News– On-line registration– Links

5. Summary

• Are you aiming at achieving best practices in energy management to save cost on continuous basis? have your energy manager attend AEMAS

training

• Are you aiming at being recognized as a top performer in energy management? have your company certified under the

Energy Management Gold Standard

Thank You

Malaysian Green Technology Corporation

No. 2, Jalan 9/10, Persiaran Usahawan, Seksyen 9

43650 Bandar Baru Bangi, Selangor Darul Ehsan

Tel:03-89210800 DL:03-89210891 Fax:03-89210802 Website: www.greentechmalaysia.my