Measurement, Verification,and Commissioning

Why You Need M&V

To assure yourself that the project is performing as expected

To report achieved savings to HUD To assure savings persistence To verify a savings guarantee or calculate the ESCO

payment To establish basis for savings adjustments if needed

M&V Needs to Address 3 Things

How baseline of energy use or costs will be established

How energy savings after project installation will be determined

How the baseline will be adjusted if large changes in the operation of the building occur after project installation

The Concept of M&V Can be Simple

For Example:

– Average of energy bills for last 3 years gives a baseline of energy use or energy costs

– Compare energy bills after project installation to baseline to determine savings

– If large changes in the operation of the building occur, it may be necessary to adjust the baseline

Measurement and Verification Steps

Pre-ECM Installation

– Establish baseline energy use: established with most recent 3 years of utility data (usually the rolling base for contract)

– Verify baseline conditions: occupancy patterns, vacancy rates, equipment usage

– Determine appropriate M&V methodology to use and necessary details for data collection and reporting

Measurement and Verification Steps (cont.) Post-ECM Installation

– Verify installation and correct operation

– Verify ongoing potential to generate savings

– Adjust baseline energy use for material and weather changes, if necessary

– Quantify post-installation energy use

– Quantify energy and cost savings

– Report savings to HA on monthly or quarterly basis (annually to HUD)

Elements of Savings Determination

TimeTime

1) Baseline1) Baseline2) Baseline 2) Baseline oror Adjusted BaselineAdjusted Baseline

3) Post-ECM3) Post-ECM PerformancePerformance

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ECMs ECMs InstalledInstalled

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““Contracted” SavingsContracted” Savings

““Apparent” SavingsApparent” Savings

Definitions

Baseline — mutually agreed upon, calculated or measured energy use and cost, usually an average of most previous 3 years of utility data

Post-ECM performance — post-ECM calculated or measured energy use and cost

Adjusted baseline — adjustments due to changes beyond the ESCO’s control, such as:– Occupancy, equipment loading or efficiencies, or building

usage changes– Set point changes– Physical changes to a building– Weather

Definitions (cont.)

Adjusted baseline — adjustments due to changes beyond the ESCO’s control, such as:– Occupancy or building usage– Set point temperatures or scheduling– Physical changes to building envelope or structure– Weather conditions– Equipment loading and/or operating efficiency– Recent maintenance work that affects equipment

operation or performance– Utility rate adjustment

Calculating Savings

“Apparent”Savings

Measured/ Calculated/ StipulatedPost-ECMPerformance

Baseline —

“Contracted”Savings = Adjusted

Baseline—

Measured/Calculated/StipulatedPost-ECMPerformance

=

Use Standard M&V Protocols

International Performance Measurement and Verification Protocol (IPMVP, formerly NEMVP) – The general guideline — a living document– 1-800-DOE-EREC or http://www.eren.doe.gov

Federal Energy Management Program (FEMP) M&V Guidelines– Application of IPMVP for federal sector– 1-800-DOE-EREC or http://www.eren.doe.gov

American Society of Heating, Refrigeration and Air Conditioning Engineers (ASHRAE) Guideline 14– Technical foundation– http://www.ashrae.org

M&V Options

A - Estimate performance & operation by ECM B - Measure performance & operation by ECM C - Measure combined performance/operation for

whole building or site D - Calibrate a model to Option B and/or C data,

estimate performance & operation

M&V Options: Cost vs. Accuracy

Customer and ESCO balance cost and accuracy

M&V Approach Accuracy (%) Approx. Cost (% of const. cost)

A +/- 20% 1% - 5%B +/- 10% - 20% 3% - 10%

C +/- 5% - 10% (w/ daily, hourly data), +/- 20% (w/ monthly data)

3% - 10% (w/ hourly monitored data), 1% - 3% (w/ monthly data)

D +/- 5%-10% 3% - 10%

M&V Reporting Requirements

Submitted monthly or quarterly (reports should clearly indicate performance period)

Data from reports will be used for annual reconciliation with HUD (ensure that all necessary data is available)

ESCOs should review reports quarterly with appropriate HA representative and request written acknowledgement/acceptance of report from HA

Reports should have a summary page of savings followed by details on approach used, assumptions, data sources, and calculations

M&V Reporting Requirements (cont.)

Reports should thoroughly document baseline adjustments, modifications to ECMs and resulting savings impacts, duration of impacts, and reasoning for variations in performance

ESCOs should provide contact information for M&V inquiries by HAs

Both cost and energy savings should be provided for each measure, where appropriate

Details on changes in utility costs should be provided

M&V Lessons Learned

Pick the right option(s)– Balance cost, accuracy, and technical appropriateness

Baselines– KISS (keep it simple stupid)– If you have historical data, use it– If not, collect what you need during project

development– Address baselines for every budget on the table

• Energy, maintenance, etc.

M&V Lessons Learned (cont.)

Energy savings determination

– KISS (keep it simple stupid)

– Live up to your obligations (e.g., baseline adjustments)

– Establish means of addressing unreported material changes and other savings disputes

Three Keys to Successful M&V

Keep it as simple as possible:

(1) It does need to provide a reasonable basis for determining the savings from your particular project

(2) It does need to provide a reasonable basis for verifying guarantees or determining payments

(3) It does not need to do more than (1) and (2)

Retrofit Commissioning

What is it? Systematic process that ensures that retrofit systems are

designed, installed, tested, and capable of being operated and maintained according to the owner’s needs

Insurance policy; ensures owners that projects will have expected (or higher) benefit-to-cost ratios and that buildings are safe and comfortable

Performance Frustrations

1994 study of 60 existing buildings:

– 50% suffered from control problems

– 40% had problems with HVAC equipment

– 33% experienced sensor malfunction

– 25% had inoperable EMCS, economizers, and/or variable-speed drives

– 15% were missing specified equipment

Benefits of Commissioning

Quality Assurance

– prevents problems from developing (fewer maintenance headaches)

– anticipates and regulates system interaction

– implements a method of meeting mechanical, electrical, and control requirements (incl. maintenance of equipment warranties)

Benefits of Commissioning (cont.)

Confirms Owners/Design Intent:

– resolves design problems

– improves performance of building equipment

– improves interactions between building systems

– improves IAQ and occupant comfort

TAB and Commissioning

Testing, adjusting and balancing (TAB):– adjustment of building air and water flows to meet design

specifications– does not ensure operational performance (efficiency,

control, system interaction)– a component of Commissioning

Commissioning is broader in scope:– diagnostic tests collect operational data to determine

whether problems exist– functional tests apply procedures that may reveal causes

of problems (efficiency, operational flaws)

The Commissioning Team

Building Owner or Owner’s Representative Commissioning Agent (ESCO Representative or 3rd Party) Designers Installation Contractor/Manufacturers Representative Building Operator Testing Specialist

Commissioning Plan

Drafted by Cx Agent (included in ESA), finalized with input from Cx team

Addresses the following issues:– Scope or level of commissioning– Commissioning schedule– Team member responsibilities– Communication, reporting, and management protocols– Documentation requirements– Detailed scope of testing– Detailed scope of monitoring– Recommended training format

Design Intent Documentation

Occupants’ assumed intention of the design and of the operation of the building

Detailed explanation and documentation of ideas, concepts, and criteria that define acceptable building operation

Defined by bid specifications for each system The commissioning agent must ensure that actual

performance of the building meets the design intent

Design Intent Documentation (cont.)

Addresses the following issues:

– System description

– Objectives and functional use of system

– Occupancy requirements

– IAQ

– Performance criteria (efficiency, energy, tolerances of IAQ)

– Budget considerations and limitations

– Restrictions and limitations of the facility’s systems

Commissioning CostsRetrofit Implementation Tasks Commissioning Tasks

Implementation Phase 1: Planning Perform energy and water

services audit Negotiate energy services

agreement

Chose ESCO or 3rd party to act as Cx agent Develop draft Cx plan with Cx agent and include as an

appendix in the ESA Include provisions for service payments based on completion

of Cx in ESAImplementation Phase 2: Design

Develop design and biddocuments

Review bid documents and incorporate commissioningspecifications

Review project design-intent documentation Hold Cx scoping meeting and finalize Cx plan

Implementation Phase 3: Installation Install equipment Start-up equipment

Develop prefunctional checklists Execute prefunctional checklists (correct minor deficiencies) Approve prefunctional checklists (demonstrating new

equipment is ready for functional testing)Implementation Phase 4: Acceptance

Submit final equipmentdocumentation

Perform operator training Accept retrofitted building

Develop functional test and diagnostic monitoring plans Execute monitoring and functional test plans (correct

deficiencies) Accept equipment performance

Implementation Phase 5: Post-Acceptance Perform ongoing operations and

maintenance Develop final Cx report Perform deferred testing (if necessary)

Commissioning Costs (cont.)Cx Scope Approximate Cost

Total-Building, incl.controls, electrical, andmechanical systems

0.5–1.5% of total constructioncontract cost

HVAC and automatedcontrols systems

1.5–4.0% of mechanical contractcost

Electrical Systems 1.0–1.5% of electrical contract cost

“Must-Commission” Retrofits

Lighting control (daylighting, occupancy sensors) Energy management control systems/strategies Pneumatic equipment HVAC-related plant equipment Air-distribution systems