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Measurement & Verification / Industrial

Assessment of a Measurement and Verification (M&V) Plan for a District Cooling Plant in DIP

Our technical expertise has resulted in the development of a new strategy to guide both the Client and ESCO in adopting a revised plan for reporting M&V after the failure of major chiller

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Background Story
 

The client is recognized as one of the leading district cooling providers in the United Arab Emirates. They have an extensive portfolio of District Cooling Plants (DCPs) and are keen on pursuing substantial opportunities to expand their operations throughout the Gulf region's dynamic property development market. The client was interested in enhancing the efficiency of their plants and reducing their energy consumption costs. As a result, they reached out to Ark Energy. The specific project in question was centered around one of the client's DCPs. After implementing the energy efficiency retrofit, the ESCO commenced the measurement and verification (M&V) reporting process. It was observed that the application of multiple Non-Routine Adjustments (NRAs) by the ESCO, triggered by the failure of a major 1000 TR chiller and the existing pumps not meeting the design flow rate, has  significantly impacted the accurate assessment of the plant's efficiency and energy savings. 
 



Challenge




The issue arises from the ESCO implementing numerous non-routine adjustments (NRAs) in response to major non-routine incidents including the failure of a 1000 TR chiller and lack of sufficient pump speed to meet the design flow rate. Consequently, the reported savings lack tangibility for the client and fail to accurately reflect the actual efficiency of the plant. Moreover, the shared M&V report indicates that the ESCO is achieving the savings but not the target efficiency, contrary to the retrofit's aim of enhancing the plant's efficiency. 





Main Objective




The primary objective is establish a revised M&V Plan to minimize non-routine adjustments and re-asses the plant efficiency and the actual cost savings in a manner that avoids adverse effects on both the ESCO and the client. This approach aims to accurately reflect the actual savings and achieved energy efficiency as per the investment grade audit. 
 



Approach




The Ark Energy team, serving as a client consultant, collaborated with both the Client and the ESCO to develop a revised M&V Plan  as per the IPMVP aimed at minimizing non-routine adjustments (NRAs) within the Measurement and Verification (M&V) reports and assess the actual performance of the plant. This revised M&V Plan includes measures that have been carefully established to enhance the accuracy and reliability of energy efficiency assessments, with a primary focus on streamlining processes to yield more consistent results. Some of the key measures that were utilized include the following:
 
  • Hold M&V services until the 1000 TR chiller is repaired and successfully tested and commissioned
  • Establish thresholds for some static factors to  facilitate the calculation of Non-Routine Adjustments (NRAs) in accordance with the chosen Measurement and Verification (M&V) Option
  • Review the submitted M&V reports on monthly basis for a period of 6 months to ensure a successful M&V reporting  
 



Results 
 


The results that were generated from the project include the following:
  • Successfully reducing the non-routine adjustments by 35%
  • Reduced M&V Reporting Time by 40%
  • Maintaining the relationship between the Client and the ESCO 

 

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