Energy Efficiency & Public Lighting

Energy Efficiency & Public Lighting Overview Report Public Lighting Special Working Group Vision: for all public lighting to be efficient and effectiv...
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Energy Efficiency & Public Lighting Overview Report Public Lighting Special Working Group Vision: for all public lighting to be efficient and effective, with lowest whole life cost.

An Overview of Energy Efficiency in public lighting

Ref: 432-X0005 25 November 2011

Outputs

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Vision: for all pub lic lighting to be efficient and effe ctive, with lowest whole life cost.

EXT. SPACES, EE,

Members of the Working Group:

10, 01

Contents EXECUTIVE SUMMARY

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1 INTRODUCTION

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2 CONTEXT

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7 7 8 8 8 9 9

2 .1 2.2 2.3 2.4 2.5 2.6 2.7

SCOPE OF PUBLIC LIGHTING STAKEHOLDER INFLUENCE ENERGY CONSUMPTION IN PUBLIC LIGHTING DRIVERS FOR ENERGY EFFICIENCY IN PUBLIC LIGHTING ENERGY EFFICIENCY POLICY, LEGISLATION & TARGETS FULFILLING DESIGN REQUIREMENTS CONVERGENCE OF MULTIPLE DRIVERS & POLICY

3 WORKING GROUP ACTIVITY

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10 10 10 10 10

3 .1 3.2 3.3 3.4 3.5

ESTABLISHMENT OBJECTIVES MEMBERSHIP SCOPE WORK ACTIVITIES

4 STATUS OF ENERGY EFFICIENCY IN PUBLIC LIGHTING

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12 14 16

4 .1 MARKET STRUCTURE 4.2 ENERGY PERFORMANCE IN PUBLIC LIGHTING 4.3 OPPORTUNITIES FOR ENERGY SAVINGS

5 A WAY FORWARD FOR ENERGY EFFICIENCY IN PUBLIC LIGHTING

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21 21 26

5 .1 VISION 5.2 STRATEGIC ROADMAP 5.3 NEXT STEPS

6 CONCLUSIONS

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APPENDIX A – OVERVIEW OF PUBLIC LIGHTING TECHNOLOGIES

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LAMPS BALLASTS/CONTROL GEAR SWITCHING CONTROL ADAPTIVE STREET LIGHTING

28 30 31 31

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EXECUTIVE SUMMARY Traditionally, energy efficiency had been a high priority in public lighting. However, technological advances, the exiting of ESB Contracts from the market and low capital investment in replacing lights have reduced the focus on energy efficiency over the last 4-6 years. As a result, there is much scope for achieving energy savings: for poorly performing systems (of which there are many), opportunities exist for up to 30% in savings. The primary source of opportunity lies in improving the design and procurement of systems to integrate new lighting and maintenance technologies.

The National Energy Efficiency Action Plan 2009–2020 sets out an ambitious target for the public sector to improve its energy efficiency by 33%. It also obliges the public sector to “be seen to lead by example — showing all sectors what is possible through strong, committed action”. In 2009, the Sustainable Energy Authority of Ireland (SEAI) established a public lighting Working Group comprising participants from both central and local government as well as the ESB and the private sector. This report describes the initial findings and outputs of the Working Group. The overall goal of the Working Group is to help set the public lighting sector on a pathway to designing, procuring, operating and maintaining all public lighting facilities in an efficient and effective manner. The main work activities undertaken to date include the identification of proven opportunities for savings that have wide applicability across the sector. The Working Group also implemented targeted work streams to develop standard solutions for the sector in the areas of electricity tendering and system design.

In recent years, new lighting and control technologies have emerged – and been adopted – that offer improved lighting, energy efficiency and reliability for public lighting applications. Modern options for public lighting systems, including recent technology developments and international best practice, can provide effective lighting more efficiently, in some cases by adapting light output – and therefore energy consumption – to suit conditions. The rate of development in this area is rapid. New products are continually being released.

The Potential There are approximately 420,000 public lights in the Republic of Ireland. The vast majority are owned by Local Authorities. Approximately 98% of these lights are un-metered. The energy consumption in the sector is summarised below (figures are approximate).

15 - 35% of total energy usage in Local Authorities €50 million per annum

205 GWh electricity consumption per annum

110,000 tonnes of CO2 per annum (electricity usage)

50 MW electrical demand

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The Challenges

The Way Forward

While there is a large opportunity for savings, several challenges must be overcome to deliver on the savings potential across the sector. By far the most significant challenge is the tariff structure and unmetered register which is based on fixed operating regimes and a limited range of lighting products that cannot account for the reduced energy consumption and lower maintenance costs of several modern technologies. The current structure is therefore hindering the deployment of more efficient public lighting solutions. Other challenges are:

The Working Group has developed a clear vision for energy efficiency in the sector and outlined a roadmap for overcoming challenges and for setting Local Authorities on the road to achieving the vision.

• Little management focus on public lighting energy performance • Variable competency levels and limited knowledgesharing among public lighting personnel, most noticeable in small Local Authorities • Accessing funding

Vision: for all public lighting to be efficient and effective, with lowest whole life cost.

Strategy: National Cooperation, Strategic Leadership, Energy Management Focus, Competence Building, Better Procurement

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Savings: Cost, Energy & Environment Up to 30% savings

1 Introduction

A strategy for achieving the vision must incorporate five interlinked elements:

The National Energy Efficiency Action Plan 2009–2020 sets out an ambitious energy-efficiency target for the public sector of 33% savings by 2020. It also obliges the public sector to “be seen to lead by example — showing all sectors what is possible through strong, committed action”.

• M  ulti-Stakeholder Cooperation at National Level: This is required to overcome the barrier posed by the current tariff structure. An internal review of the national public lighting inventory database, being undertaken by the ESB Un-Metered Registration Office, may partly address this issue.

In June 2009, the Sustainable Energy Authority of Ireland (SEAI) established a public lighting Working Group. The group comprises participants from both central and local government as well as relevant Government agencies. Its aim is to identify the status of energy efficiency in the sector and map out a strategy for improving its energy performance into the future.

• S trategic Leadership: Continued support from the top in the Local Authority sector is imperative to embrace the vision and to improve the focus on energy performance, to structure Local Authorities for success, and to allocate and prioritise resources. • E nergy Management Focus: Strong energy management practices are a prerequisite for tackling more than the low-hanging fruit and for sustaining over time the savings made.

This report is based on the contributions from the Working Group, and presents the initial findings of the work undertaken to date. It is structured as follows:

• C  ompetence Building: Competence in the four areas of design, procurement, operation and maintenance for energy efficiency varies across Local Authorities. There are pockets of significant experience and expertise but the knowledge is somewhat isolated in ‘silos’.

• C  ontext maps out the key stakeholders and describes the background for the Working Group’s activities, including the drivers for energy efficiency in the sector and relevant policy and other external factors. • W  orking Group describes the objectives, work activities and outputs of the Working Group.

• B  etter Procurement: Energy-efficient procurement is better procurement because it saves money as well as energy. The potential for better procurement to deliver savings in the sector cannot be understated, e.g. by specifying best-in-class equipment with lower life-cycle costs, by unlocking market-based expertise and finance through innovative procurement models, and by getting energy efficiency right from the start by integrating energy-efficient design into the procurement process for new systems.

• S tatus of Energy Efficiency in public lighting outlines the structure of the market, quantifies the total consumption in the sector and identifies typical opportunities for energy savings. • A  Way Forward for Energy Efficiency in public lighting states the Working Group’s vision for energy efficiency in the sector and outlines a high-level roadmap for overcoming important challenges. • Conclusion

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2 Context 2.1 Scope of public lighting

2.2 Stakeholder Influence

The Working Group estimates that there are approximately 420,000 public lights in the Republic of Ireland. The vast majority are owned by Local Authorities. Around 98% of these lights are un-metered.

Although the core responsibility for public lighting lies with Local Authorities, the participation of many stakeholders is required to improve the energy performance in the sector. These stakeholders can be categorised into four broad categories, as shown in Figure 1 below.

Public lighting performs an essential public-good service, ensuring adequate illumination for traffic and public safety on roads and streets, and helps to deter crime and anti-social behaviour. It also promotes the use of sustainable transport such as walking and cycling, and facilitates social inclusion. Figure 1: Stakeholders in Efficient & Effective public lighting

Policy, funding and compliance DEC & LG | DoF | DCENR |SEAI NRA | CER

Design, procure, operate & maintain Designers | Suppliers | NRA Contractors | Consultants | SEAI Maintenance companies Private Developers ESB Networks

Competence Building Local Authorities

CCMA | OLAM | SEAI Local Energy Agencies Professional Bodies (eg ILP)

End users

NRA: National Roads Authority CER: Commission for Energy Regulation CCMA: County & City Managers Association OLAM: Office for Local Authority Management

DEC&LG: Dept. of Environment, Community & Local Government DoF: Department of Finance DCENR: Dept. of Communications, Energy and Natural Resources SEAI: Sustainable Energy Authority of Ireland

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The ownership, operation and maintenance roles within the market structure are described in Section 4.1.1.

2.5 Energy Efficiency Policy, Legislation & Targets 2.5.1 Energy White Paper The White Paper Delivering a Sustainable Energy Future for Ireland (2007) describes the actions and targets for the energy policy framework up to 2020, to support economic growth and meet the needs of all consumers. It sets a clear path for meeting the Government’s goals of ensuring safe and secure energy supplies, promoting a sustainable energy future, and supporting competitiveness.

2.3 Energy Consumption in public lighting The Working Group estimates that, altogether, the 420,000 public lights consume about 205 GWh annually. The total annual energy and maintenance costs are about €50 million (see Section 4.2.1). 2.4 Drivers for Energy Efficiency in public lighting The expectations for organisations in the public sector have changed greatly. With dramatic cost increases in energy prices and more stringent environmental legislation, the need to improve business efficiency and address the impact on the environment is not simply a question of good business sense; it is also a question of corporate responsibility and of publicly demonstrating performance on key issues that face the economy and the country:

2.5.2 National Energy Efficiency Action Plan (NEEAP) Ireland’s National Energy Efficiency Action Plan 2009–2020 (2009) (NEEAP) states: “The public sector will improve its energy efficiency by 33% and will be seen to lead by example — showing all sectors what is possible through strong, committed action.” The corresponding target for the entire economy is 20%. The NEEAP also sets out a specific action for public lighting: “We will require that all street and traffic-lights are energy-efficient.”

• The €50 million annual energy, maintenance and replacement bill for public lighting is the basis for a clear business case for improving effectiveness and energy efficiency in the sector, especially as the potential for savings is high (between 20% and 50% at some facilities; see Section 4.3.1). Achieving savings will require investment: both operational and capital budget allocations will be required. As well as saving energy, this investment will also free up budget that can be allocated to providing other services.

It is anticipated that organisation-specific targets will be developed for each public body. The NEEAP targets include all energy usage. The baseline period for these targets is 2001–2005, so energy-saving actions taken by Local Authorities since then can count as progress towards the target. 2.5.3 European Communities (Energy End-Use Efficiency and Energy Services) Regulations 2009 The European Communities (Energy End-Use Efficiency and Energy Services) Regulations 2009 (SI No. 542 of 2009) transpose the Energy End-Use Efficiency and Energy Services Directive (Directive 2006/32/ EC) into Irish law and commit Ireland to achieving a 9% reduction in avoided energy use by 2016. The regulations also seek to promote cost-effective enduse energy efficiency through various promotional, awareness and support measures, as well as the removal of institutional, financial and legal barriers.

• Energy consumption can have detrimental effects on the environment, including: climate change (from the generation of greenhouse gases); resource depletion, and local atmospheric pollution. • Ireland imported 89% of its energy requirements in 2009, making it one of the most import-dependent countries in Europe. Local authorities can lessen their exposure to energy-security risk by improving the energy performance of their public lighting.

The public sector is considered to have a central role in promulgating the benefits of energy efficiency and is required to adopt a leadership role in achieving efficiencies. The regulations set out several obligations on public bodies with respect to their “exemplary

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role” in energy efficiency. This includes obligations with regard to energy-efficient procurement, energymanagement practices and annual reporting on the actions taken to improve energy efficiency.

2.5.7 Climate Change Policy Climate change is an important driver for improved energy efficiency, so there is a clear link between climate-change policy and energy-efficiency policy. The National Climate Change Strategy 2007–2012 outlines how Ireland will reduce its greenhousegas emissions over this period. The Government is committed to a 20% reduction in greenhouse-gas emissions from 1990 levels, across the economy, by 2020.

2.5.4 European Union (Energy Efficient Public Procurement) Regulations 2011 The European Union (Energy Efficient Public Procurement) Regulations 2011 (SI No. 151 of 2011) oblige all public bodies to only purchase equipment (and electric vehicles) from the Triple E register. The Tripe E register is a benchmark list of products that all meet a minimum set of stringent energy efficiency criteria and are generally of a best in class efficiency standard. Typically, they are of higher quality, have longer operational lifetimes, are more expensive but can perform 10%-20% better from an energy perspective, when compared to standard alternatives.

In 2008, the County & City Managers Association’s Office for Local Authority Management published a paper entitled Local Authority Climate Change and Energy Efficiency Measures that summarises best practice and current initiatives among Local Authorities with respect to energy efficiency and climate change.

On a life cycle basis, they save money.

2.6 Fulfilling Design Requirements

2.5.5 Green Tenders - Green Public Procurement National

Energy efficiency in public lighting cannot be considered in isolation; meeting appropriate specifications for illumination levels, colour rendering and colour appearance are paramount, and lamp life is important for different applications. (See Section 4.2.3 for discussion of the key criteria for effective lighting systems.)

Action Plan The Department of Environment, Community & Local Government is currently at an advanced stage in the development of a national action plan on green public procurement (‘Green Tenders’), which will address inter alia the public procurement of: · Energy supplies;

· Energy-using capital projects.

The concept of the Energy Service is core to best-practice energy management.1 In the case of public lighting, the Energy Service is the provision of a certain level of illumination and light quality for the user.

2.5.6 National Renewable Energy Action Plan (NREAP)

2.7 Convergence of Multiple Drivers & Policy

The National Renewable Energy Action Plan (July 2010) sets out Ireland’s national targets for the share of energy from renewable sources consumed in electricity (42.5%) as well as in transport (10%) and heating & cooling (12%) in 2020. It also describes an estimated trajectory of renewable energy penetration levels for every year up to 2020.

There is a clear convergence of cost, energy efficiency, climate change and operational drivers. Local authorities can address all of them by adopting an Energy Service perspective and by designing, procuring, operating and maintaining public lighting systems efficiently and effectively. This approach is the kernel of good energy management.

· Energy efficiency & renewable energy services; · Energy-using products;

1 For example, as embodied in the European Standard IS EN ISO 50001: 2011 Energy Management Systems.

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Although meeting minimum design specifications has primacy over energy efficiency, the two goals are by no means mutually exclusive. Energy efficiency is not about seeking to minimise consumption in a blinkered manner. It is about fulfilling a necessary need (e.g. the Energy Service of providing a certain level of illumination with a certain colour rendering, etc) while consuming the least amount of energy possible – see boxed example below.

Working Group Activity

3.1 Establishment The public lighting Working Group was established in June 2009 by SEAI as part of the best-practice strand of the authority’s public sector Programme. This programme comprises a range of integrated supports to help public sector organisations to realise valuable energy savings and work towards the ambitious 2020 energy efficiency target.

In this definitional context, achieving energy efficiency in public lighting will also provide a framework for operational efficacy.

3.2 Objectives The overall goal of the Working Group is to help set the public lighting sector on a pathway to designing, procuring, operating and maintaining all facilities in an efficient and effective manner. The specific objectives of the group are to: • Determine the current status of energy efficiency in public lighting

Example: LED Lighting in Tralee Town Square In 2008, Tralee Town Council replaced nine 70 W High Pressure Sodium (SON) street lamps and ten 400 W Metal Halide floodlights in Tralee Town Square with seven power adjusting 77 W LED2 streetlights and ten 88 W LED floodlights.

• Identify and evaluate the key challenges and opportunities in the area

As well as delivering a 68% energy saving, the project reduced maintenance intervals while providing comparable lighting levels as well as clearer and more even lighting coverage. In addition, lighting levels from each unit can now be customised for better operational flexibility.

• Review best practice in the field • Identify recommendations for improving the energy performance of public lighting 3.3 Membership The Working Group has broad representation from sector participants and comprises representatives from local government, relevant government agencies and the ESB. The following organisations participated in the Working Group:

The feedback from the business community in the Town Square area was extremely positive: “The new lights in The Square are fantastic; there is no comparison between the lights that were originally there and the ones that are there now. There is now a clear bright light and I can’t praise the new lights enough.”

• O  ffice of Local Authority Management, Local Government Management Services Board • Sustainable Energy Authority of Ireland • Dublin City Council

“The new lights improve the security point of view in The Square and the whole area appears clearer and better lit now compared to how it was with the old lighting.”

• Dún Laoghaire Rathdown County Council • ESB Contracts • Kerry County Council • Kildare County Council • Laois County Council

2 LED = Light-emitting diode

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• Midlands Energy Agency

3.5.3 Vendor Consultation Day

• Mayo County Council

The Working Group met with a selection of public lighting suppliers nominated by the participants.4 The objective of this engagement with the market was to:

• Monaghan County Council • National Roads Authority

• Better understand the latest energy-efficient technology and service options available from suppliers

• South Tipperary County Council • Tipperary Energy Agency (Chair)

• Communicate to suppliers the drivers for energy efficiency in initiatives in Local Authorities and discuss how the suppliers can best meet the needs of the Local Authorities

Altogether, the participants represented around onequarter of Local Authorities, covering nearly one-third of the total population. The Working Group was supported by a team of consultant industry experts appointed by SEAI.

• D  iscuss options for innovative project financing mechanisms to help overcome the current financial constraints for investment in energy-efficiency retrofit projects

3.4 Scope The scope of the Working Group’s activity is energy efficiency in public lighting.

Nine suppliers attended the event and the session was well received by both sets of participants. Several important conclusions arose from the engagement:

3.5 Work Activities 3.5.1 Overview The main work activities undertaken by the Working Group to date are:

• LED technology is widely perceived to be the key future technology for all public lighting applications – the rate of technology development in this field is rapid.

• Working Group plenary meetings • Vendor Consultation Day

• Vendors identified the requirement for a procurement framework incorporating the principles of energy performance contracting (EPC) and were generally well disposed to innovative project financing mechanisms based on a ‘pay as you save’ principle.

• Energy assessments at four public lighting facilities in three counties • Targeted work streams to develop standard solutions for the public lighting sector 3.5.2 Plenary Meetings

• M  any vendors offer new and improved versions of well-established technologies that incorporate better energy efficiency and better control.

Three Working Group plenary meetings3 were held at which the other work activities were proposed, agreed, discussed and reported on. These sessions were also the forum for discussing common challenges facing the sectors and identifying common opportunities for improvement (see Section 4.3).

• S everal vendors offer innovative solutions that would not be currently considered under the current tariff and un-metered registration regime.

3 Held on 25th June 2009, 17th August 2009 and 13th October 2009 4 10th December 2009

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3.5.4 Energy Assessments

effective tendering for electricity supplies among Local Authorities (see Section 4.2.5). The Working Group set out to develop a methodology to assist Local Authorities in tendering in a standard manner, using a standard evaluation methodology. The Working Group consulted with the main electricity suppliers and proposed a methodology. All the suppliers agreed that, in principle, a standard methodology was appropriate but they had different perspectives on how the methodology should be structured – to accommodate, inter alia, each of their own (different) tariff structures. As a result, while the Working Group did develop a standard approach, it incorporated less detail than had been originally hoped. This was piloted with three Local Authorities, with some success. However, the evaluation process remained quite challenging.

To better inform the Working Group on the current status of energy efficiency in the sector and on the scope for opportunities to deliver savings, independent energy assessments were undertaken at four locations. These assessments are summarised in Table 1. 3.5.5 Targeted Work Streams: Standard Solutions The Working Group initiated a number of targeted work streams to develop resources, tools and guides for use by the public lighting sector to overcome specific barriers or knowledge deficits with respect to energy efficiency. These ‘standard solutions’ can be used to improve performance throughout the sector: • S tandard Electricity Tendering Methodology for Local Authorities: Several barriers are hindering the

Table 1: Energy Assessments Undertaken at public lighting Locations Current Annual Energy Consumption

Savings Potential

Assessment

Location

Existing Installation

Potential for part night dimming

Roscrea Bypass, Co. Tipperary

137 No. 150 W SON lamps

85,567 kWh

27,009 kWh – 54,772 kWh (32%–64%)

Demonstration of Voltage Control System

Carragh Road, Naas, Co. Kildare

23 No. HPS lamps (mix of 150 W & 250 W)

16,900 kWh

3,709 kWh (22%)

Demonstration of Voltage Control System

Farranfore, Co. Kerry

54 No. 100 W SON lamps & 2 x 250 W MBF

24,562 kWh

4,298 kWh* (18%)

General appraisal of lighting energy efficiency (entire town)

Tipperary Town, Co. Tipperary

~500 No. 55 W SOX lamps

166,000 kWh

45,646 kWh (27%)

*Note: The demonstration of the Voltage Control System at Farranfore revealed that the consequent reductions in energy consumption could only be achieved at the expense of meeting the minimum standard of operational effectiveness. The lux levels directly under the lights and at mid-point between the lights varied from 40 lux to 6 lux before the test. The Voltage Control System reduced the lux levels even further. The variation in the lux levels was deemed to high for this application. Kerry County Council will not be proceeding with a Voltage Control System at this location. The findings from these assessments were reviewed by the Working Group to identify common opportunities for energy savings (see Section 4.3). 12

Since then, the Office of Public Works National Procurement Service has established framework contracts for procuring electricity supplies in the public sector, including for Local Authorities.

Ownership Most public lighting assets are now owned by Local Authorities, who are responsible for paying the electricity and maintenance charges for their own lighting. Most Local Authorities contract the maintenance to third parties.

• E nergy Performance Indicators (EPIs) & Benchmarks: The Working Group investigated options for developing robust EPIs to enable effective comparisons and benchmarking in the sector. However, the lack of metered data and significant variation in installation quality and lighting density means that there are no viable options at present. Public lighting energy consumption per light or per county could be used to compare consumption over time within a particular Local Authority jurisdiction.

The National Roads Authority (NRA) reimburses Local Authorities for the energy and maintenance costs of public lighting on national routes. ESB Networks owns many of the poles on which public lighting is mounted. It is currently working on isolating public lighting systems from the distribution system. Some public lighting is owned and maintained by private developers.

• E xterior Lighting Design Guide: The Working Group developed this guide to better integrate energy efficiency into public lighting at the design stage. This exercise identified a requirement for every single lighting installation to be designed by a competent person, e.g. by an accredited member of the Institute of Lighting Professionals.

Maintenance Airtricity Utility Solutions acquired ESB Contracts in late 2009; by late 2010 it had responsibility for maintaining over 300,000 street lights – on behalf of the majority of the Local Authorities. A number of other contractors have responsibility for maintaining public lighting on behalf of the other counties – mainly in Leinster. Dublin City Council maintains its own portfolio of lighting.

These resources were disseminated among all group participants.

Electricity Supply

4 Status of Energy Efficiency in public lighting

Any of the licensed electricity suppliers may supply electricity for public lighting.

This Section describes the Working Group’s findings on the extent of energy consumption in the sector, discusses the energy-efficiency baseline, and identifies typical opportunities for energy savings that are replicable throughout the sector.

Design The NRA is responsible for setting standards for all public lighting (see Section 4.1.4) and for the design of public lighting on national routes. Local Authority Inventory Database

4.1 Market Structure

As part of the market transformation process, ESB Contracts provided each Local Authority with an individual public lighting inventory database. Each Local Authority was tasked with verifying the inventory databases and providing an update to ESB Networks in early 2009, to enable accurate billing of energy consumption. Local authorities have ongoing responsibility for maintaining the individual inventory databases.

4.1.1 Ownership, Operation & Maintenance Historically, public lighting services were owned by Local Authorities and operated by ESB Contracts Ltd. ESB Contracts maintained a national database from which all billing, maintenance and energy usage was managed. In 2007 the Commission for Energy Regulation (CER) and ESB Contracts began a process to decouple the market and open it to competition. Since then, a number of important changes have occurred. The key roles and responsibilities are summarised below. 13

National Database

• Reduced electrical consumption when burn hours are reduced, e.g. ‘trimming’

The ESB Un-Metered Registration Office maintains a national database of light types, which includes lamp and gear wattages for different configurations. This data is the basis for calculating the tariff charges (see Section 4.1.2). The ESB Un-Metered Registration Office is part of the ESB Meter Registration System Operator (MRSO), which in turn is a ringfenced function within ESB Networks.

As a result, there is no incentive or payback for adopting energy-efficient public lighting solutions. A well-designed public lighting tariff structure would encourage and accelerate investment in costeffective, energy-efficient public lighting solutions, while also better aligning supplier charges with the actual amount of energy consumed. It could also facilitate independent suppliers becoming more active in the market.

4.1.2 Tariff Structures The vast majority of public lighting in Ireland is un-metered. The provision of un-metered electricity supplies, including for public lighting, is regulated by the CER. Billing is based on a flat rate for each lamp type, based on one of two assumed operating regimes:

4.1.3 Sources of Finance The provision of public lighting is the responsibility of Local Authorities – they are responsible for funding the general operation and maintenance of public lighting, including the electricity costs. Funding is from the roads budget, which is allocated to Local Authorities annually by the Department of Transport, Tourism & Sport. There is no specific allocation of funds or resources for energy-efficiency projects in public lighting.

• Dusk-to-midnight: 1,571 burn hours per annum • Dusk-to-dawn: 4,150 burn hours per annum T he electricity charge payable by a Local Authority is based on the application of one of the above standard operating regimes to the portfolio of lighting wattages recorded for that local authority in the ESB Un-Metered Registration Office’s national database.

SEAI has approved grant support for specific public lighting projects through its Energy Efficiency Retrofit Fund (2010) and Better Energy Workplaces scheme (2011). Many Local Authorities are beginning to investigate opportunities for retrofitting their public lighting and including energy efficiency.

The current tariff structure is the main impediment to the deployment of new lighting technologies that offer improved lighting, energy efficiency and reliability for public lighting applications (see Section 4.3). Existing un-metered public lighting tariffs make no adjustment for:

4.1.4 Design Standards Current practice is that National Roads Authority follows the UK Highways Agency standards and guidelines, in particular the relevant section of the Design Manual for Roads & Bridges5 (1991). This sets out the design objectives and procedures for lighting on motorway trunk roads. This document in turn requires the use of British Standard BS 5489: Road Lighting.

• Reduced electrical demand when certain energyefficient fittings are used – because the database maintained by the ESB Un-Metered Registration Office contains only a limited range of more ‘traditional’ lamp types. So, if a Local Authority installs a modern energy-efficient lamp that has a power rating less than a traditional alternative, there is no mechanism to charge the Local Authority for the actual (lower) energy consumption of that lamp. • Reduced electrical consumption when lighting levels are reduced, e.g. through voltage control (dimming)

5 Design Manual for Roads & Bridges (Volume 8, Section 3: Design of Road Lighting for Motorway Trunk Roads), The Highways Agency (1991): www.standardsforhighways.co.uk/dmrb/vol8/section3/td3491.pdf

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and improving Local Authorities’ energy performance. Reporting under the energy-efficiency targets will link to, and insofar as is possible, integrate with other existing reporting mechanisms, including the CMT – in order to minimise the reporting burden on Local Authorities.

4.2 Energy Performance in public lighting 4.2.1 Energy Consumption Data Unfortunately, there is no definitive data available at present for public sector energy usage in general.6 However, it is estimated that public lighting accounts for about 2% to 3% of total public sector energy consumption.

There is currently no specific obligation on Local Authorities to monitor or report the energy consumption used for providing public lighting (see Section 4.1.2 on Tariff Structures). However, the SEAI monitoring and reporting system currently under development will enable Local Authorities to report and review the electricity consumed annually by their public lighting infrastructure.

Energy consumption data made available to the Working Group shows that approximately 205 GWh of electricity is consumed annually by public lighting across the entire country. It is estimated that this represents between 15% and 35% of each Local Authority’s total energy use. This estimate is derived from the experience of the Working Group participants and from SEAI’s wider experience in working collaboratively on energy management initiatives with 26 Local Authorities.

4.2.3 Energy Effectiveness An energy-effective lighting installation is energyefficient while at the same time it delivers the necessary lighting requirements for a particular application. It is also low-maintenance and leads to reduced operating costs.

This consumption represents an annual energy cost of about €29 million (including VAT) and results in the generation of 110,000 tonnes of CO2 per annum. When maintenance and replacement costs are included, the annual operational cost for the 420,000 public lights in Ireland amounts to about €50 million. Altogether, public lighting accounts for ~50 MW of electrical demand.

An energy-effective public lighting solution should balance several lighting criteria against the requirements of the area to be illuminated:8 • Efficiency of the light source or lumen efficiency, which is the ratio of light emitted by the light source to the power consumed by it, including power consumed by any auxiliary control gear

4.2.2 Reporting of Energy Consumption Local authorities are currently required to include their carbon emissions as a Service Indicator in the annual report they provide to the Department of Environment, Community & Local Government (DEC&LG) through the Local Government Management Services Board. Their emissions can be calculated using the Carbon Management Tool (CMT) originally developed by the DEC&LG’s change.ie campaign and now managed by the EPA.

• Colour appearance, which defines the lamp’s ‘whiteness’ • Colour rendering, which is the ability of the light source to reproduce the colour relative to the same colour, or colours, illuminated by a reference source (daylight) • Lamp life

SI 542 of 2009 requires public sector bodies – including Local Authorities – to report annually from 1st January 2011 on their energy usage and actions taken to improve energy performance. SEAI is currently developing a reporting system that will both facilitate this obligation and create value for users.7 It will be a powerful tool for tracking, benchmarking

• Luminaire efficiency, which is expressed as the Light Output Ratio – the ratio of the light output of a luminaire to the total light output of the bare lamp • Light distribution • Luminaire position and maintenance • Controls

6 This deficiency will be rectified when SEAI’s energy monitoring & reporting system is operational (see Section 2.5.3). 7 More information on this project is available at www.seai.ie/Your_Business/Public_Sector/Reporting 8 These criteria are explained in more detail in SEAI’s Lighting Guides, available at: http://www.seai.ie/Your_Business/Technology/Buildings/Lighting.html

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More often than not, the energy effectiveness and energy efficiency of specific public lighting systems are not known by the Local Authority owners. For more details refer to the ‘SEAI Exterior Lighting guide’.

• M  aintenance and Upgrade – A lack of financial resources, together with limited or no use of wholelife costing principles, means that opportunities for improving energy efficiency are not exploited. Procurement of upgrades is undertaken locally, based on local knowledge, which varies considerably from one Local Authority to another.

4.2.4 Technologies It is generally accepted that proven technological solutions are available to improve energy performance in the public lighting sector. Existing and new technology options are summarised in Appendix A.

4.2.6 Knowledge Sharing While innovative trials of new technologies are undertaken by individual Local Authorities, there is currently no coordination of technology trials, little validation of energy savings, and poor dissemination of findings at a national level. There is significant expertise built up in several Local Authorities with respect to energy efficiency. Unfortunately, much of this knowledge is not codified and is isolated in specific Local Authority knowledge ‘silos’. It is therefore inaccessible to the wider public lighting community in other Local Authorities.

The rate of technological development is rapid, especially the area of LED technologies. There are many suppliers of energy-efficient lighting, and new products are being continually released. Ireland has invested in widespread technology upgrades in the past, e.g. the replacement of most Mercury lighting, which is very inefficient but still dominates public lighting across much of Europe. 4.2.5 Procurement, Design, Operation & Maintenance Savings can be achieved by targeting corrective action and competence building in the areas of design, procurement, operation and maintenance of public lighting systems. There are some widespread common challenges in this area:

This lack of knowledge-sharing is further exacerbated by the inconsistent nature of continual professional development of Local Authority engineers in relation to new technological developments.

• Technology Procurement – Procurement of public lighting is undertaken at an individual Local Authority level, with no formal criteria for replacing and upgrading technologies. No standardised specification exists at a national level, although the National Procurement Service is beginning to procure on behalf of Local Authorities.

Typically, public lighting is the responsibility of the roads divisions in Local Authorities. However, generally, the roads divisions have limited electrical engineering expertise. Up until 2007, this competence gap was traditionally bridged by the capabilities of ESB Contracts.

4.2.7 Limited Energy Management Competence

Traditionally, where Local Authorities have addressed energy efficiency, the approach adopted has typically been somewhat ad hoc and almost exclusively technology/project-orientated. This hampers the validation of savings and, importantly, makes it difficult to sustain over time any savings made.

• Electricity Procurement – Several Local Authorities have tendered for electricity over the last four years, resulting in savings of 7% to 11%. However, difficulties have been experienced with the tender evaluation process as energy suppliers’ quotes are structured differently, making comparison difficult. Furthermore, the rigid timeframe enforced by public procurement rules often prohibits Local Authorities from availing of certain short timeframe offers proposed by energy suppliers (e.g. three-day offers).

In recent years, SEAI has engaged with 26 Local Authorities through its public sector Programme, which supports Local Authorities in developing and implementing good-practice energy-management

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structures. These structures are essential to unlock savings opportunities and sustain savings over time.9 The network of Local Energy Agencies also supports energy management within Local Authorities.

• Charge on the basis of the power ratings of the lighting technology that is actually in place and accommodate new, lower-power technology options. The latter require the addition of new technologies to the ESB Un-Metered Registration Office’s national database. An internal exercise to review the tariff structure was completed, but no changes have been announced to date. The database should be updated regularly to capture the rapid pace of technological development.

SEAI is also working with the County & City Managers Association (CCMA) and the Association of Irish Energy Agencies (AIEA) to create a framework for structured energy management throughout the Local Authority sector. In order to enhance Local Authority competence levels, there is a requirement for a training course on public lighting for Local Authorities. It should be developed for Local Authority engineers to increase their knowledge on energy and contract management.

• Charge on the basis of the actual energy consumed (or an approximation of same) by public lighting systems that operate at reduced voltage (dimming) or reduced run-hours (trimming). • Accommodate new validated self-billing systems.

4.3 Opportunities for Energy Savings

4.3.3 Better Procurement

4.3.1 Scope for Savings

Procurement in public lighting ranges from the purchase of everyday supplies or services to formal tendering and placing contracts for new systems. The scope of energy efficiency in procurement is varied and disparate. It ranges from the routine (e.g. purchase of an energy-efficient lighting solution, tendering an electricity contract) to the complex (e.g. outsourcing of energy services).

There is undoubtedly scope for substantial energy savings in the sector. For poorly performing systems that have not taken any action to improve energy performance to date (of which there are many), opportunities exist for up to 30% savings. This estimate is based on the energy assessments undertaken by the Working Group and the wider experience of the participants.

Energy-efficient procurement is good procurement. Not only does it reduce energy consumption and deliver environmental benefits, it also saves money. For example, modern LED lighting solutions can consume less energy and reduce maintenance costs. Over the life-cycle of the system, the cost savings can be substantial. However, as these solutions have the highest capital cost, they are usually not selected as a technology.

4.3.2 A Revised Tariff Structure: the Key Enabler for Change The primary source of opportunity lies in improving the design, procurement, operation and maintenance of systems. However, there is little or no incentive for implementing these opportunities if the current inflexible tariff structure remains in place. To enable change, the tariff structure needs to be updated. A well-designed structure would encourage and accelerate investment in cost-effective, energyefficient solutions, while also better aligning supplier charges with the actual amount of energy consumed.

The European Communities (Energy End-Use Efficiency and Energy Services) Regulations 2009 (SI No. 542 of 2009) impose a requirement on public bodies to fulfil an “exemplary role” with respect to energy efficiency by, inter alia, implementing energyefficient procurement practices. Local authorities can make energy savings in public lighting through better procurement by following the best practices set out in

The tariff structure should incentivise dimming, trimming and the optimisation of energy use based on environmental factors. Specifically the structure should:

9 These engagements include the provision of SEAI’s innovative energy-management training course to 16 (2010) Local Authorities. Energy MAP training has been developed specifically to meet the needs of public sector organisations seeking to improve their energy performance. For additional information, see: www.seai.ie/Your_Business/Public_Sector/Services/Public_Sector_Energy_Management_Training.html

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the Department of Environment, Community & Local Government’s green public procurement action plan (Green Tenders – see Section 2.5.5), including:

Innovative Procurement Models Energy performance contracting (EPC) is an innovative procurement model that can enable capital, energy and maintenance costs to be evaluated and shared in a holistic manner. It involves a contractual arrangement between an energy user (e.g. a Local Authority) and a service provider for the provision of energy-efficiency measures. Contracts are typically based on the concept that the savings generated will (part-) finance the project, e.g. the upgrade of a public lighting system.

• Using the National Procurement Service’s framework contracts for procuring electricity supplies; • A  s per S.I. 151 of 2011, only procuring equipment (and vehicles) that are specifically classified as Triple E by SEAI10 or that meet the equivalent energyefficiency criteria published by SEAI (see Section 2.5.4) • Procuring energy services using the principles of energy performance contracting - both Government and market participants are seeking to develop approaches to unlock market-based expertise and finance through innovative procurement models. This is highlighted in the Department of Public Expenditure & Reform’s Infrastructure & Capital Investment 2012-2016: Medium Term Exchequer Framework11 (2011), which commits to exploring and developing a number of alternative options to fund energy efficiency, including an energy service company model: “This will assist a fledgling sector to develop, while facilitating the public sector to reduce its energy consumption and significant spend in this area.”

EPC can facilitate risk sharing between the private and public sectors and reduce or eliminate the need for upfront investment by the public sector. Instead, the upfront investment can be made by the service provider who then recoups this from the Local Authority as part of a regular charge over a number of years. A simplified cost schedule that might be incurred by a Local Authority using one approach to this concept is illustrated below.

• Incorporating the principles of Energy-Efficient Design at the design stage of systems (see Section 4.3.4)

10 Excellence in Energy Efficiency: www.seai.ie/tripleE 11 http://per.gov.ie/wp-content/uploads/Infrastructure-and-Capital-Investment-2012-16.pdf

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Annual cost to Local Authority Status quo

EPC Y1

EPC Y2

EPC Y3

Energy

Capital Repayment



EPC Last Subsequent Year Years Maintenance

In the UK, a form of public-private partnership called the Private Finance Initiative (PFI) is used by Local Authorities to upgrade and maintain public lighting systems. PFIs were introduced in the UK during the 1990s to use private sector funding and expertise for the delivery of certain public services. In the case of a public lighting PFI, the public lighting service is delivered to the Local Authority over 25 years in return for fixed payments to a private company. The private company finances, designs, upgrades, operates and maintains the lighting infrastructure. A typical public lighting PFI involves an upgrade programme over the first five years – to improve the lighting efficiency and effectiveness.

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4.3.4 Energy-Efficient Design The greatest potential for improving energy performance in the sector is at the design stage. Energy-Efficient Design (EED) is a methodology that facilitates the design, construction and management of projects so that they consume the minimum quantity of energy during subsequent operation.

The benefits of EED include: • It reduces energy usage arising from projects in the operational phase • It provides a framework for developing an energy management system for new projects The EED Venn Diagram in Figure 2 illustrates the importance of starting with the Energy Service and working out through the ‘layers’ of factors that affect energy performance. The core of the diagram is the Energy Service. Ideally, the EED challenge for energy-saving ‘ideas’ should begin here and work outwards as the design develops.12 Therefore, the focus of EED is the inner three layers; the outer three layers are typically addressed during operation and maintenance.

SEAI has successfully implemented and supported EED in Ireland in the private sector and is now transferring the techniques to large public sector projects. EED is always driven by a sound ‘business case’; SEAI’s experience is that it either lowers overall project capex (capital expenditure) or has a very short payback when operational savings are accounted for. Figure 2: EED Venn Diagram

Housekeeping

Operation & Maintenance Control Systems Plant Design Process Technology

Energy Service

12 Additional information on the EED methodology is available from http://www.seai.ie/Your_Business/Public_Sector/Best_Practice/Energy_ Efficient_Design

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figures presented are very much ‘rule of thumb’. The actual savings achievable would vary from application to application and would require systemlevel assessment to confirm their applicability and validity. The savings shown include energy and maintenance savings.

4.3.5 Typical Opportunities for Savings While opportunities for savings vary between different applications, locations and installations, several wellproven opportunities have wide applicability across the sector. These are summarised in Table 2. The Table 2: Typical Energy Saving Opportunities Opportunity

Likelihood to be Applicable

Typical Saving (Total)

Comment

Voltage control

1%–2%

15%–30%

Dimming technology

Dimming

70%

10%-20%

Requires self-metering on un-metered supplies, or specific dimming points

Part night switching – switching off all lights (or every second light) for 2-5 hours per night

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