Opening of Proposals - RFQ VPA Energy Savings Contract - Honeywell - Part 2

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Methodology Determination. of Energy Savings Theory of Energy Management Energy conservation measures (ECM) include the installation of equipment or systems for the purpose of reducing energy use and/or costs. The cost of ECM implementation is recovered through the savings created by the ECM. The Federal Energy Management Program (F.E.M.P) of the U.S. Department of Energy and its Measurement and Verification Guidelines for Federal Energy Projects classify measurement and verification approaches as Options A, B, C, and D. The F.E.M.P. Guideline is based on the International Performance Measurement and Verification Protocol (I.P.M.V.P.). Option A: Retrofit Isolation: Key Parameter Measurement: Determine savings by field measurement of key performance parameter(s) critical to the ECM perfonnance. Measurement frequency ranges from short -tern to continuous. Parameters not selected for field measurement are estimated using historic data, manufacturer specifications, or engineering judgment, supported by documentation. Savings are calculated using engineering calculation of baseline and reporting period energy from the key operating parameter(s) measurements and estimated values. Option B: Retrofit Isolation: All Parameters Measurement: Determine savings by field measurements of the energy use of the ECM -affected system. Measurement frequency ranges from short-term to continuous, depending on the expected variations in the savings and the length of the reporting period. Savings are calculated using engineering calculation of baseline and reporting period energy from the measurements of proxies of energy use. Option C: Whole Facility: Determine savings by measuring energy use at the whole facility or sub - facility level. Continuous measurements of the entire facility's energy use are taken throughout the reporting period to identify the effects of the energy project. Energy use before and after the retrofit project is compared to deterinine savings. Option D: Calibrated Simulation: Determine savings using computer model simulations of the energy use of the whole facility or of a sub -facility. The simulation models are calibrated with hourly or monthly utility billing data and usually requires considerable simulation skills. Baseline Variables There are variables affecting consumption which warrant adjustment to the baseline, including billing days, weather, cost, runtime and other miscellaneous adjustments. Billing Days Adjustment - Typically utility companies do not bill for the same number of days each month. An adjustment is made when the number of days in a pre -installation billing period does not equal the number of days in the corresponding post -installation billing period. 1.6 Year 3 Cost Avoidance Report, City of Cincinnati PH