1. UTM SUSTAINABLE ENERGY MANAGEMENT (SEM) PROGRAM– Part 1 Lessons Learnt on UTM Transformation to SEM Zainuddin Abd Manan, Dean, Faculty of Chemical Enginering, UTM Masilah Bandi (Energy Manager), Ahmad Khairul Nizam (Energy Manager) and Wahid Omar (Director) Office of Asset and Development, UTM ASEAN Energy Management Scheme (AEMAS) Conference, Kuala Lumpur, 19 July 2011

7. Energy Management Matrix Most Companies focus on Energy Conservation Measures (ECM) (Technical Audit)!!! Energy Policy Organization Motivation Information System Marketing Investment 4 Energy policy, action plan and regular review, have commitment of top management as part of an environmental strategy Energy management has been fully integrated into management structure. Clear delegation of responsibility for energy consumption Formal and informal channels of communication regularly exploited by energy manager and energy staff at all levels Comprehensive system sets targets, monitors consumption, identified faults, quantifies savings and provides budget tracking Marketing the value of energy efficiency and the performance of energy management both within and outside the organization Positive discrimination in favor of ‘green’ schemes with detailed investment appraisal of all new build and refurbishment opportunities 3 Formal energy policy, but no active commitment from top management Energy manager accountable to energy committee representing all users, chaired by a member of the managing board Energy committee used as main channel together with direct contact with major users M & T reports for individual premises based on sub-metering, but savings not reported effectively to users Programme of staff awareness and regular publicity campaigns Some payback criteria employed as for all other investment 2 Unadopted energy policy set by energy manager or senior department manager Energy manager in post reporting to ad-hoc committee, but line management and authority are unclear Contact with major users through ad-hoc committee chaired by senior department manager Monitoring and targeting reports based on supply meter data. Energy unit has ad-hoc involvement in budget setting Some ad-hoc staff awareness training Investment using short term payback criteria only 1 An unwritten set of guidelines Energy management is the part-time responsibility of someone with only limited authority or influence Informal contacts between engineer and a few users Cost reporting based on invoice data. Engineer complies reports for internal use within technical department Informal contacts used to promote energy efficiency Only low cost measures taken 0 No explicit policy No energy management or any formal delegation of responsibility for energy consumption No contact with users No information system. No accounting for energy consumption No promotion of energy efficiency No investment in increasing energy efficiency in premises

9. Technical Solution/ Energy Audit Energy Manager tip of the iceberg Systems & Policy Energy Committee And Team Top Management Commitment Plan and Implementation Systems Audit Control & Monitoring Training and Awareness People System

10. Lesson #1. Energy Audit (Technical) is the “Tip of the Iceberg”

11. Lesson #2. Start by Building People Where and How to Start?

12. Technical Solution/ Energy Audit Energy Manager tip of the iceberg Systems & Policy Energy Committee And Team Top Management Commitment Plan and Implementation Systems Audit Control & Monitoring Training and Awareness People System

14. EM Work Procedure People First! Tools Responsibilities Energy Management Work Procedures (EM-WP) A. Assign Energy Manager Executive Board B. Set up EM Committee Executive Board and Energy Manager C. Evaluate EM Status E. Set or Revise ET&P Energy Management Matrix, Energy Efficiency Index Executive Board and Energy Management Committee Executive Board and Energy Management Committee D. Set up or Review EM Components Energy Efficiency Index, Working manual and tools Executive Board and Energy Management Committee Energy Management Committee F. Assign saving target to EACs G G H J

15. EM Committee (Sample) Lesson 2.1. EM is not the monopoly of the “Techies” !! General Manager Marketing Manager Finance Manager HR Manager Energy Manager Plant Manager

16. Responsibilities of the Energy Manager and Its Team Pillar1:Formulating Energy Policy Continual Improvement – Sustainability - Improved profitability Pillar2: Getting commitment Pillar3: Planning & Organizing, Objective and Target Setting Pillar4:Implementing Action Plans Pillar5: Conducting System Audit Energy Management System Energy Manager Pilar6: Control & Monitoring

17. Lesson #3. Embrace “Open Innovation”

20. Winners of ASEAN Energy Award (as of 2010) Country Number of Wins % Wins Thailand 10 47.6 Philippines 4 19.0 Malaysia 2 9.5 Indonesia 2 9.5 Vietnam 1 4.8 Cambodia 1 4.8 Brunei 1 4.8

21. Renewable & Sustainable Energy: IF 4.842; Published in the USA, 2010 Complete Proposal for a Malaysian Energy Award

22. Normal buildings (Kuala Lumpur) LEO building (Putrajaya) GEO building (Bangi) Costs Energy Index kWh/m 2 ~ 2,900 RM/m 2 3,197 RM/m 2 3,499 RM/m 2 (Without BIPV ) 4,210 RM/m 2 ( with BIPV) 250 - 300 100 34 0 Winner of ASEAN Energy-Efficient Building Award! Low Energy Office (LEO) Winner of ASEAN Energy-Efficient Building Award! Green Energy Office (GEO) + 5 - 10% + 9% + 20%

23. Recognized Projects ASEAN Energy Awards Winners in Energy Management Category Copyright UTM-PROSPECT-PTM Outlook on Energy Management OEM - Semasa Sentral Sdn Bhd (2007), KL Sentral 2 nd Runner-up – Energy Management in Buildings Category Ikea Handel Sdn Bhd (2008) 2nd Runner-up – Energy Management in Buildings Category

24. Lesson #4. Lock Energy Sustainable Management System (SEM) into your company’s work procedure

25. Energy Management Work Procedure Tools Responsibilities Energy Management Working Procedures (EM-WP) A. Assign Energy Manager Executive Board B. Set up EM Committee Executive Board and Energy Manager C. Evaluate EM Status E. Set or Revise ET&P Energy Management Matrix, Energy Efficiency Index Executive Board and Energy Management Committee Executive Board and Energy Management Committee D. Set up or Review EM Components Energy Efficiency Index, Working manual and tools Executive Board and Energy Management Committee Energy Management Committee F. Assign saving target to EACs G G H J

26. Energy Management Work Procedure Technical Energy Audit Tools Responsibilities Energy Management Working Procedures (EM-WP) Recommended working procedures for each EAC, Operational Guideline (OG), Process Mapping (PM), Work Instruction (WI), Log Sheet (LS) and Calculation Sheet (CS) Energy Accounting Centres Energy Management Committee and Energy Accounting Centres F E E C No measure G. EACs identify measures to meet the assigned target Disapproved Approved Selected measures H. Present measures, budget, planning to Executive Board I J

27. Lesson #4.1. EM is NOT About Introducing an Entirely New Management System

28. EMS synergy with ISO 9000 / 14000 Principles

29. EMS synergy with ISO 9000 / 14000 Principles

30. AEMAS and ISO 50001 Corporate energy policy Energy Management system in place and documented Trained and certified energy managers Demonstration of budget spending Demonstration of EE measures implementation Documented improvement of EEI ISO 50001 (Global) AEMAS (Regional) Budget management Motivation (Organisational Awareness)       AEMAS = ASEAN Energy Managers Accreditation Scheme ISO is about System Documentation, AEMAS is about Documentation & Sustainable Implementation     Energy Management System in place and documented Real EE improvement; Energy Management System is sustainable

31. ..with Sustainable Energy Management System (SEM) Innovations Lead to continuous Savings SEM Locks Savings