1. Electrical Generation
Sustainable Electricity
Steering Committee Meeting
Angelo Mangatal Industrial Programs Division (IPD)
Senior Industry Officer Office of Energy Efficiency (OEE)

2. Presentation Overview
 Who we are
 Why Energy Efficiency?
 Obstacles
 Suggested Approach
 Sector Performance
 Questions/Answers
 Conclusion
 Annex: Program Details

3. ecoENERGY (NRCan) / Canadian Industry
Program for Energy Conservation (CIPEC)
 Industry-government partnership that promotes
voluntary actions to reduce industrial energy
intensity
 Key program elements include:
– Awareness & training, incentives, information,
advice, networking and acknowledgement
CIPEC Leaders
– Turning Sector Commitments into Company Action
– Aggressive Goals that Achieve results
Who Are We?

4. Why Energy Efficiency?
(Positives)
Financial Benefits:
 Improved Competitiveness
 Reduce Costs (effort) vs. Return
(bottom line)
 Transportation; transmission
(pipeline); infrastructure issues
 Energy conservation has the potential
to address supply and demand
challenges faster and cheaper than
investment in new generation
Environmental Benefits:
 Contributes to Cleaner Air
 Reduces GHG - Climate Change

5. Obstacles to
Energy Efficiency
 Energy Efficiency isn’t a major
business focus
 Energy losses are not measured
 No time to understand the potential
 Risk – new technology and/or
systems can appear to hinder Oil and
Gas production

6. Our Suggested Approach
Action
RESULTS
Raise Awareness
Build
Capacity
Identify
Opportunities

7. Steps to Good Energy Management
1. Get Involved:
- Canadian Industry Program for Energy Conservation (CIPEC)
- CIPEC LEADERS
2. Assemble an Energy Team
3. Train Staff
4. Assess Energy Use
5. Eliminate Waste &
Maximize Efficiency
6. Optimize Energy Supply/Project
Implementation
7. Celebrate Results
What Can Companies Do?
Where To Start?

8. Energy Efficiency Potential in Canada’s
Fossil-Fuel Electric Power Generation
This study has three main objectives:
 To develop an energy use profile depicting the current state
of energy efficiency in Canada’s Fossil-Fuel Electric Power
Generation Sector;
 To identify and evaluate energy efficiency opportunities to
improve Electricity Generating usage and demand in
different application areas for the sector; and
 To develop initial cost curves for these various
opportunities.
NRCan Benchmarking Study

9. Potential Economic Energy
and Emission Reductions
Over $ 1 Billion per year for the
Oil & Gas industry
– 15% reduction in energy use = $ 780
million/yr
– 45% reduction in other emissions =
$220 million/yr**
GHG emissions reductions = 29
Mt CO2e/yr
Excludes potential energy
revenue or savings from
cogeneration and other sources
in the industry
* Sources: NRCan, Clearstone Engineering, AEUB ** Alberta only - Prepared by PTAC -
Petroleum Technology Alliance Canada www.ptac.org

10. Total CIPEC Energy Intensity,
1990-2005: 10.46% Improvement
0.8
0.9
1.0
1.1
1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
Index1990=1.00
Total CIPEC
Total CIPEC: 0.7% per year average
improvement in energy intensity
5.1% Improvement,
2003-05

11. Making Canada more
Energy Efficient
ecoENERGY Retrofit for Homes
ecoENERGY for Houses and Buildings
ecoENERGY for Industry
ecoENERGY Retrofit
Small buildings and industry
Council of Energy Ministers

12. Federal Budget
Highlights
 Provides an extension to Class 43 accelerated capital cost
allowance for investments in manufacturing and
processing machinery and equipment-Expand ACCA to
include ground-source heat pumps and waste-to-energy
systems
 Extend GST/HST relief to land leased to situate wind or
solar power equipment
 $66 M to set up the regulatory framework for industrial air
emissions
 $250 M for full-scale commercial demo of CC&S for coal-
fired electricity and increase the CCA for CO2 pipelines
 $10 M for research on bio-fuels emissions
 $300 M to support nuclear energy (CANDU development &
Chalk River)

13. Council of Energy Ministers
Meets annually and receives a report from the
federal/ provincial/territorial Assistant Deputy
Minister Steering Committee on Energy Efficiency
(ASCEE)
Three working groups report to ASCEE
Transportation
Built Environment
Industry
Participation by CEA/ electric utilities in the Built
Environment and Industry Working Groups

14. Examples of Collaboration
– Home Retrofit
 Hydro-Québec doubles the grants available under
ecoENERGY Retrofit – Homes
 Manitoba Hydro has integrated ecoENERGY Retrofit
– Homes into its Power Smart initiative
 Local electricity providers like Cambridge and
North Dumbries Hydro offer incentives for specific
measures (i.e., geothermal or heat pumps or solar
domestic hot water heaters).

15. Identify Opportunities
• Energy Monitoring
Guides
• Best Practices Guides
• Benchmarking Guides
• Process Integration
• Computational Fluid
Dynamics

16. Mix of Industrial Retrofit
Projects (GJ saved)
105,570 GJ
110,558 GJ
96,694 GJ
134,255 GJ
Lighting Boiler Systems HVAC Other

17. Direct Incentives (Utility Programs)
 Utility Programs – BC Hydro, Manitoba Hydro, Ontario Power Authority
Classes 43, 43.1/43.2 of Income Tax Act
 Class 43 provides 50% straight line ACCA for manufacturing and
processing equipment until 2010
 Class 43.1 and 43.2 provide 30% or 50% ACCA (declining balance) for
equipment used in systems that generate electricity and/or produce heat
for industrial processes by:
 recovering and re-using thermal waste
 using specified-waste fuels
 using cogeneration or
 using renewable energy source’s: solar, wind and small hydro
Canadian Renewable & Conservation Expense (CRCE )
 Covers intangible (soft) costs for Class 43.1/43.2 projects
 Can be fully expensed in the year incurred or carried forward
Take Action
Utilities & Tax Treatments

18.  Manage energy costs and
improve your bottom line
 Sharpen your competitive edge
 Reduce greenhouse gas
emissions (GHG’s)
 Improve Air Quality
Conclusion

19. Thank You
Angelo Mangatal, Senior Industry Officer
Office of Energy Efficiency (OEE)
Industrial Programs Division (IPD)
amangata@nrcan.gc.ca
Office (613) 943-3559 Cell (613) 868-0104
Questions

20. Heads Up CIPEC
Bi-weekly e-news letter
11,000 readers
CIPEC Annual Report
http://oee.nrcan.gc.ca/industrial/cipec.cfm
Participate in CIPEC Task Forces
27 Sector and Regional Task Forces in Canada
Task Forces meet 3-4 times per year to share
ideas on energy management best practices.
Conferences & Awards
Industrial Energy Efficiency Conference held
every 2 years : Energy 2007
www.energy2007.gc.ca
1. Get Involved

21. Bring all employees on board
 Choose an energy champion
 Select team members
- Plant engineer, maintenance staff,
financial advisor, etc.
 Meet regularly to develop and implement an
- “Energy Management Plan”
 NRCan employee awareness materials
- “Team Up for Energy Savings”
2. Assemble an Energy Team

22. Build Awareness & Knowledge
Dollars to $ense Workshops
 4 different workshops
– “Spot the Energy Savings
Opportunities”
– “Energy Monitoring”
– “Energy Master Plan”
– “Financing”
 33% discount for CIPEC Leaders
Can be customized to meet individual
companies needs
3. Train Staff
Measure
Analyze
Take Action
Data
Information
Result
Measure
Analyze
Take Action
Data
Information
Result
Your Plant Load Shape
0
50
100
150
200
250
300
350
400
450
1 3 5 7 9 11 13 15 17 19 21 23
Time of Day
kWDemand

23.  Dollars to $ense workshops
– “Energy Monitoring”
 NRCan Publications
– Energy Management & Planning Guide
– Benchmarking Studies (Automotive Parts
Sector)
– Energy Efficiency Opportunities Guides
– Technical Guides
 Process Integration, CFD, (up to $50k in
assistance)
4. Assess Energy Use
Identify where, how and what amount of
energy is used

24.  Turn it off / down
 Control it
 Match your need
 Reduce loss
 Good maintenance
Examples of recent software tools:
 Boiler Efficiency Calculator that evaluates
boiler performance
 CanMOST software program that analyses
and compares the efficiency of three-phase
electric motors; over 43,000 motors in the database
 RETSCREEN assesses the financial viability/risk for various
types of energy efficient/renewable energy technologies
5. Eliminate Waste &
Maximize Efficiency
Identify energy-saving opportunities

25.  Negotiate a supply contract
 Consider heat recovery
 Consider renewable and
alternate energy options
(Financial incentives for
industry, ecoEnergy Heat
and Power)
6. Optimize Energy Supply &
Project Implementation
Consider new supply options

26. Keep momentum going and build on
previous success(es)!
 Heads Up CIPEC
 Case studies
 CIPEC Annual Report
 CIPEC Leadership
Awards
7. Celebrate Success