Greenhouse Gas Reduction through Energy Efficiency The Case of a French Company’s Implementation in Thailand Mr. Manish Pant Country Director Schneider Electric Thailand

“The Technological and Infrastructural Challenges of Building a Low-carbon Economy” Dusit Thani Hotel, Bangkok, October 9th, 2009

Welcome 1. The Energy Dilemma 2. Balancing the Equation through Energy Efficiency 3. The Example of Low-Carbon Industrial Building in Bangpoo 4. Conclusion

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The energy dilemma in Thailand

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High levels of energy consumption 135,000 GWh electricity consumed in Thailand in 2008 Over 30 % is used in Bangkok Others 9%

Industry 45%

Residential 21%

Business 25% Source: Energy Policy & Planning Office

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Electricity consumption growth in Thailand GWh 140,000 120,000 100,000 80,000 60,000 40,000

Consumption Growth Per Year

20,000 0 90 9 1

2 6 9 94 98 000 9 9 9 9 1 2 1 1 19

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02 004 0 2 2

06 0 2

08 0 2

Source: Metropolitan Electricity Authority

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Thailand Power Development Plan

Installed Capacity of Electricity by 2021

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Thailand’s High Carbon Energy Mix Installed capacity - MW 60,000

Imported New Power Plants (IPP, EGAT)

30,000

9% 21% 70%

2009 Schneider Electric - Thailand – October 2009

Imported SPP, VSPP Others Coal

9%

74% Renewable Energy

14%

Coal

18%

Natural Gas

59%

17% 9%

Natural Gas

Source: Energy Policy and Planning Office, Energy Regulatory Commission

2021 7

We are all Carbon Emitters through our Electricity Consumption

Yearly Consumption:

1 residential house 4 MWh

2.6 tons of CO2 / year 1 medium size building

414 MWh

248 tons of C02 / year 1 factory or large building

13 GWh

7,800 tons of CO2 / year Source: MEA, PEA Schneider Electric - Thailand – October 2009

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30% energy saving in Thailand!

1 year of electricity from 6 coal-fired power plants like Mae

Moh

24 Megatons CO2e / year Schneider Electric - Thailand – October 2009

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A Small Save at Home is a Big Save at the Plant! Coal 100 units

1 unit saved at home

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35 units

33 units

3 units saved at the power plant

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Energy challenges & opportunities are everywhere Supply Side

Demand Side

More Efficient and Cleaner Supply

More Efficient Use Conservation & Management

Cleaner supplies will take time to implement

Current technologies allow us to target 30% savings

We must develop technologies and business models to increase renewable energies penetration

We must focus on Energy Efficiency to solve our energy dilemma

Mid term approach

Short term action

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Balancing the Equation through Energy Efficiency

There are Reasons to

Hope With Multiple Benefits Schneider Electric - Thailand – October 2009

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The Path to Save Money & the Planet Energy Efficiency Cycle Measure 1. Energy audit and metering

Monitor

Fix the basics

4. Monitoring and consulting services

Automate 3. ● ● ● ●

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2. Low consumption devices Power quality Power reliability

Solutions in : building management, power management, motor control, lighting control 13

The solutions are available today The technology is available to bring 30 % energy savings

Efficient

A B C D

D E F G

% of losses 0 10% 20% 30% 40% 50% 60%

Non-Efficient

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Lower your Energy Bill by Reducing or Balancing your Loads Electricity Tariff = Demand Charge (bath/kW)

Consumption

+ Energy Charge (bath/kWh) + Power Factor Charge + Ft Charge

Shifting loads can help avoid peaks

Day Schneider Electric - Thailand – October 2009

Night 15

The rise in energy prices has improved return on investments Energy price

Years paybacks*

0,11

5,0

0,105 4,5

Cents/KWh

0,1 0, 095

4,0

0,09 0,085

3,5

Years

Based on an actual commercial building. ●Project Cost $1M, ●Electricity saving 3500MWh ●Project cost and energy savings fixed.

0,08 3,0

0,075 0,07

2,5

0,065 0,06

2,0 2000

2001

2002

2003

2004

Payback time has decreased to below due to an increase in energy prices Schneider Electric - Thailand – October 2009

2005

2006

3 years

•Example based on a US commercial building project •DOE -US Average Retail Cost of Electricity 1993 thru 2007

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Case Study: How to Reduce the Carbon Footprint of an Industrial Building

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Demonstrating significant energy savings in Schneider Electric’s buildings In 2005, Schneider Electric Thailand decided to undertake an energy reduction program in its industrial building in Bangpoo.

13,400 sqm for 2 manufacturing buildings and offices

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Step 1 Measure Monitor

Energy Audit Metering

Fix the basics Automate

Gather the information to target the loads with highest potential of energy saving Schneider Electric - Thailand – October 2009

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First step to success: energy consumption monitoring

Measure

● The basis of a successful energy efficiency program is to implement an Energy Management System ● PowerLogic® power monitors were installed at node points to survey the electricity consumption ● Real time data logging and reporting was made through a specialized System Management Software

Investment: 1.5 MTHB Savings: 2 MTHB / year* Payback: 9 months* * During the first year of implementation Schneider Electric - Thailand – October 2009

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Step 2 Measure

Monitor

Fix the basics Automate

Awareness program Change the lighting loads to T5 fluorescent lamps Change the refrigerant of the cooling system from R22 to hydrocarbon These are the low-hanging fruits, and require no or little investment Schneider Electric - Thailand – October 2009

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Step 3

Measure

Fix the basics

Monitor

Automate Automation of the air-conditioning Motor control System optimization Schneider Electric - Thailand – October 2009

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Air-Conditioning Optimization and Control ●Time of use of the air-conditioning was optimized in the buildings through 4 control boxes with integrated Programmable Logic Controllers ●Over-sized A/C units were replaced as per actual room requirements Investment: 158.5 kTHB Savings: 122.6 kTHB / year Payback: 16 months Schneider Electric - Thailand – October 2009

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Water Pump Control ●A Variable Speed Drive (VSD) was installed at the cool water pump for the chiller system

Investment: 167 kTHB Savings: 57 kTHB / year Payback: 2.9 years Schneider Electric - Thailand – October 2009

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Cooling System Optimization ●An evaporative pre-cooling filter was integrated to the existing condensing unit at the point of entry of the air ●Preventive maintenance was scheduled on the condensing units according to the readings on the power monitoring system Investment: 423.5 kTHB Savings: 488.3 kTHB / year Payback: 10 months Schneider Electric - Thailand – October 2009

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Step 4 Measure

Monitor

Fix the basics

Automate

Energy Remote Monitoring System maintenance There is always room for new improvements Schneider Electric - Thailand – October 2009

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Energy Remote Monitoring ●Access to the energy readings and logs through the internet from the head office in Bangkok ●Issuance of monthly energy reports

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Results: significant energy savings! Electricity Consumption Indicator

30 25 20 15 10

kWh / head / day

25.6 % energy savings since 2006

236 MWh saved every year, the equivalent of

142 tons of CO2

5 2005 2006 2007 2008 2009 2010 2011

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Conclusion

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Energy Savings are good for society, for the environment & for your bottom line Energy Service Companies (ESCOs) like Schneider Electric are capable of providing these solutions In Thailand, Schneider Electric his helping its customers save about 5,000 tons of CO2 every year Schneider Electric - Thailand – October 2009

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Let’s engage in energy action together! Support with us the “Seal the Deal!” campaign and sign the petition If you wish to know more about Energy Efficiency, visit http://www.MyEnergyUniversity.com

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Make the most of your energy [email protected]

www.schneider-electric.co.th

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