Transcript Energy efficiency improvement and Greenhouse gas reduction project.

Dr. Ibrahim Yassin
Project Technical Director
October, 2010
The energy sector is playing a vital role in Egypt's economy.
However, the Egyptian government currently faces a real
challenge to make a strategic choice between satisfying the
ever increasing national primary energy demand (depending
by more than 94% on oil and gas) that is being offered to
end-users with subsidized prices, and maintaining a certain
level of hard currency revenues from oil and gas exports at
world prices, even with a growing risk of accelerated
depletion rates of national proven reserves.
For the electricity sector, the load and energy demand grows
by more than 10 % per year where the load is expected to
reach 39703MW and the energy 220450 GWh by year 2020.
Meeting the ever increasing demand on electricity with a
high degree of reliability and sustainability has been one of
the main issues addressed by the strategy developed and
implemented by the Ministry of Electricity and Energy.
The Egyptian Electricity sector has adopted strong measures
in order to improve energy efficiency at both the supply and
demand sides, this resulted in reducing the overall average
specific fuel consumption from 340 gm to 217.6 gm of oil
equivalent per kWh, reducing losses from 18 % to14% in
2008/2009. Comparable efforts have been conducted on the
demand side to effectively utilize the electrical energy.
The national strategy for Egypt’s power sector includes among
others the following:
• Optimize use of available energy sources and minimize
environment pollution
• Provide electricity with minimum price and best quality
• Restructure electricity sector to optimize investments
and improve electrical services
• Utilize modern and sophisticated technical systems in
electricity sector's operation and activities
• Develop the expertise and skills of engineers and
technicians working in the electricity sector.
• Energy Efficiency Improvement
To continue the electricity sector efforts, EEIGGR Project,
was started in 1999, fits very well into this strategy:
• The Project with the overall objective to reduce the longterm growth of greenhouse gas emissions from electric
power generation and from consumption of non-renewable
fuel resources is mainly based upon higher efficiency of
equipment in the sector and better know-how of the
professional staff through capacity building and learning.
• The Project’s aims were specifically to assist Egypt in
loss reduction in the electricity transmission system and in
load management, enhance the end-use efficiency by market
incentives and provide further information and support for
co-generated electricity.
Energy Efficiency Improvement &
Greenhouse Gas Reduction Project
Energy Savings
0.17
MTOE
0.48
MTons
Reduce transmission
losses from 7% to 5%
 Calibration and maintenance of measuring devices
using high accuracy (0.01%) calibrating equipment
 Program set up in cooperation with the power sector
for periodical calibration of measuring equipment
according to manufacturers
 Assessment of dynamic response of generating units and
take mitigation actions to improve their performance.
 Tuning units to work under Automatic Generation
Control AGC).
 Maximum use of reactive power of the generating units.
 Improve the power factor through installation of
capacitor banks
 Optimization of network planning using the
up to date software
 Load redistribution: The cement industry is a
heavy consuming one therefore pilot project
was implemented at Beni Suef Cement
Company where 4 MW representing 20% of
the company peak load has been shifted from
the system peak load.
26.0
24.0
Load (MW)
22.0
20.0
4 MW
18.0
16.0
14.0
10/8/2002
(Before Load Shifting)
12.0
14/8/2002
(After Load Shifting)
"adjusted"
10.0
Time (Hr.)
8.0
1
3
5
7
9
11
13
15
17
19
21
23
Daily load curve of
Beni Suef cement company
8
Percentage of Transmission Losses
98/99 & 2008/2009
7
98-99 /Avg=6.56
Percentage %
6
5
4
2008-2009/Avg=3.8
`
3
2
July
Aug.
Sep.
Oct.
Nov.
Dec.
Jan.
Feb.
Mar.
Apr.
May
June
98/99
6.5
6.34
6.34
7.16
6.32
6.48
6.84
6.4
6.09
5.69
7.63
6.93
2007/2008
4.19
4.24
4.44
2.92
3.63
4.01
3.62
3.14
3.86
3.74
3.65
4.05
Fuel Saving and CO2 Reduction
from component 1
 All these activities lead to a reduction of
percentage losses up to 33 kV to reach 3.8% by
year 2008/2009.
 Accumulated Fuel Savings from the start of the
project in 1999 to 2008/2009: 7.2 MTOE.
 Accumulated CO2 reduction from the start of the
project in 1999 to 2008/2009 : 21.5 MTons
Energy Efficiency Improvement &
Greenhouse Gas Reduction Project
80
Energy Savings
2.95
MTOE
8.25
MTons
 Energy audits using different technologies have been
accomplished in industrial and commercial facilities.
 Training of 60 engineers in the field of energy audits.
 Some audits have been implemented.
 Undertake a program for the diffusion of CFL by the
DCs through replication of the leasing program.
 Encourage the Local manufacturers to manufacture
CFL locally (6 factories were established).
 Public awareness program for the diffusion of
efficient lamps through media and conferences
 Encourage NGOs to implement energy efficiency
projects.
 Organizing Exhibitions for the Diffusion of CFLs
 The developed scheme provide the necessary finance
for the energy service companies (ESCOs) through
providing guarantee to these companies to get loans
from the banks
 7 ESCOs have been selected and energy efficiency
technologies have been adopted which can payback in
less than 3 years.
 Up to date 46 projects are either implemented or
ongoing with a total cost of L.E. 68 million and a
guarantee of LE 30 million.
Technical Support
100% loan
guarantee
Bank
Subcontracted
Loan
Loan
payment
ESCO
Installment
END
USER
CGC
Legal, accounting
and administrative
support
EE Project
Marketing
Partial
guarantee
(50-70%)
EEIGGR
Reporting
ECC
EEIGGR: Energy Efficiency
Improvement and Greenhouse Gas
Reduction project
CGC: Credit Guarantee Company
ESCO: Energy Service Company
EEC: Egyptian Consulting Center
In Egypt, the share of lighting accounts for nearly 24 % of
the total energy sold in the country.
The residential and commercial sectors consumes nearly
25% of their energy {estimated at 47% of the total energy}
for lighting purposes, the lighting consumed by the industrial
sector accounts for 10%, while the public lighting and
government buildings lighting accounts for nearly 7%
Sector
% of total
consumption
% of lighting out of
sector consumption
% of Lighting out of the
total consumption
Residential
39.2
25
9.8
Commercial
7.8
25
1.95
Industrial
33.4
10
3.3
Governmental
5.1
38
1.9
Public Lighting
6.2
100
6.2
Total
91.7
100
23
Development of Egyptian Market for CFL’s
2000 To 2009
13,500,000
No. of CFLs
9,000,000
8,000,000
6,000,000
7,000,000
6,000,000
4,400,000
5,000,000
3,300,000
4,000,000
2,500,000
3,000,000
1,929,896
1,378,497
2,000,000
1,000,000
278,318
434,555
2000
2001
520,532
0
2002
2003
2004
2005
2006
2007
2008
2009
Year
Decrease of Lamp Price (L.E.)
from 1999-2009
Price LE
50
50
45
36
40
35
27
30
25
18
20
12
12
15
10
5
0
1999
2002
2005
2007
2008
2009
Year
Fuel Saving and CO2 Reduction
from Lighting Applications
Accumulated Fuel Savings from the
start of the project in 1999 to
2008/2009: 3.3 MTOE.
Accumulated CO2 reduction from
the start of the project in 1999 to
2008/2009 : 9.7 MTons
Cooperation with GEF Small Grants
Program (SGP) to assist 9 NGOs in
financing energy efficiency lighting
programs.
Promoting the use of efficient lighting equip. many
demonstration application have been executed at different
locations:
• Some street lighting, in Cairo and Alex;
• Headquarter offices,
garage and some offices in EEHC (total of 620 lamps);
• Electricity compounds and power plants in Cairo.
 Within the cooperation with NGOs training
of 60 electric technicians and lending them
money for buying and mounting CFL and
electronic ballasts to customers thus their
increasing awareness
 Application of leasing
program for CFL (revolving
fund) in Cairo, Alexandria
and Beheira DCs
 These achievements encouraged other NGOs to submit
proposal to get grants through the second stage of the project
where 4 projects have been approved and other are presented.
Public lighting and governmental buildings
consumes 7% and 5.5% respectively.
• A study has been implemented to find out opportunities of
energy savings in these two sectors.
• The Ministry of Electricity and Energy has taken the
initiative of applying energy efficiency measures in its own
buildings.
• The DCs have started implementing EE measures in their
administrative buildings where real savings have been
achieved.
• Up to date energy efficiency projects implemented in
governmental buildings reached more than 2000 buildings
Recommendations to be applied in Gov. Builds:
Short term :
Appointment of an energy manager for each
governmental building in addition to awareness programs
Medium term :
Implementing retrofits of the current governmental
building facilities especially for the lighting system, in
addition of improving power factor for these buildings.
Long term :
Developing governmental procurement guidelines to take
into consideration energy efficiency concept. This stage
will rely on the results and experience gained from the
medium term recommendations.
Ministry of Electricity & Energy Building
Replacing 1650 Incandescent lamps by CFL:
Investments
57,750 L.E.
Energy Saving
418 MWH
Cost of Energy Saving
86,335 L.E.
Payback Period
8 Months
Mounting of capacitors to improve power factor
Capacity
500 KVAR
Investments
60,000 L.E.
Benefit
Avoid Annual Penalty of 80,000 L.E.
Payback Period
9 Months
Ministry of Water Resources & Irrigation
Demand
Reduction
%
Reduction
#
Old Fixture Details
New Fixture Details
900
3 × 36- watt (120CM)
fluorescent with three
magnetic ballasts (150 watts)
2 × 36- watt (120CM)
fluorescent with one
electronic ballast (66watt)
84 watts
65%
900
2 × 36- watt (120CM)
fluorescent with two magnetic
ballasts (97 watts).
2 × 36- watt (120CM)
fluorescent with one
electronic ballast (66watt).
31 watts
32%
1000
4 × 18- watt (60CM)
fluorescent with two magnetic
ballasts (101 watts).
4 × 18- watt (60CM)
fluorescent with one
electronic ballast (69watt).
32 watts
32%
300
100- watt incandescent
23- watt CFL
76 watts
76%
• reduction in electric demand rating between 32% and 76%.
• The total cost of the upgrade was $ 83,700
• average monthly savings yield a reduction in energy bills by
approximately $3,300
• Simple pay back period 2.1 years
Supreme Energy Council’s Technical Secretariat
Cabinet of Ministers
Supreme Council Decisions
The Supreme Council of Energy has taken a
decision to develop energy efficiency programs to
be applied on National Basis in the following
sectors:
• Street Lighting
• Governmental buildings
• Public utilities
• Residential sector
Initiatives Taken By the Egyptian Power Sector
to diffuse the use of efficient lighting equipment
• The Ministry of Electricity and Energy has started an
ambitious program for the diffusion of CFLs through
the electricity distribution companies
• As a first phase, 6.5 million lamps 20 watt sold to
customers, the price of the lamp was 12 L.E .
• The customer got one lamp free against one purchased
lamp which means a reduction of 50% that bared by
the electricity distribution companies.
• The customer was allowed to pay the price through
installments collected through the electricity bills over
a period of one year
Energy Efficiency Program for Street Lighting
• Energy consumption of street lighting in Egypt reached
6.9 TWh in year 2008/2009 representing 6.2% of the total
electricity consumed by the country with a cost of about L.E
2.8 billion.
• A study has been implemented by the Ministry of Electricity
and Energy which recommended the measures to be taken
for increasing energy efficiency of street lighting and the
achieved savings.
• Upon recommendations of the Supreme Council of Energy,
based on the results of this study, an energy efficiency street
lighting program is currently implemented in coordination
between the Ministry of Finance, Ministry of Local
Development and Ministry of Electricity and Energy
Energy Efficiency Program for Street Lighting
• The total cost of the program is M.L.E 260 and expected
to be implemented over a period of two years.
• The first phase is implemented in great Cairo Governorate
with a cost of M.L.E 20
• The general features of this program consist of:
• Replacing sodium and mercury lamps by CFLs depending
on the types of streets and in accordance with
international standards
• Restriction of the use of mercury vapor lamps
Energy Efficiency Program for Street Lighting
Expected yearly savings from this program:
• Energy savings:
1800 Million KWh
• Load reduction:
450 M.W
• Decrease of the electricity bill bared by the
local authorities by:
M. L.E 600
• Fuel saving:
390 MTOE
 A ministerial decree of the Minister of Industry was issued for
applying the specifications and the energy efficiency labels for:
Refrigerators, Air Conditioners, Washing Machines, CFLs .
Accredited Energy Efficiency Testing Laboratories have been
erected at New and Renewable Energy Authority premises for:
 Refrigerators




Air conditioners
washing machines
Efficient lighting equipment
Electric water heaters
Annual Energy
Consumption for No
Frost Refrigerator
Level
to 1.54 ≥ A
A
1.84≥ B 1.54 ≥
B
2.14≥ C 1.84 ≥
C
2.43≥ D 2.14 ≥
D
2.73≥ E 2.43 ≥
E
Number of tested appliances at NREA Lab
till June 2009
Test
Results
No. of
Refrigerators
A
B
C
D
E
Failed out
Out
159
91
63
50
72
7
32
Total
474
%
No. of
Washing
Machines
%
33.5%
19.2%
13.3%
10.5%
15.2%
1.5%
6.8%
389
37
11
1
6
4
1
86.6%
8.2%
2.4%
0.2%
1.3%
0.9%
0.2%
449
In addition to 126 Air-conditions and more than
2000 CFLs and 500 electronic ballasts
Savings achieved from efficient equipment:
• Lighting loads represent 34% of the total residential
consumption followed by the refrigerators 22%,
washing machines 10%, and air conditioning 12%.
• Since the residential consumption is 39% out of the
total consumption, then the consumption of these
appliances represents 15% of the total energy
consumption
• Saving 10% from the use of efficient appliances,
could achieve around 0.36 MTOE and 1 MTons of
CO2
Proposed measures to enhance the S&L Program
 Legislation for checking label presence in the shops
and enforcement steps of gradually increasing severity.
 Propose a program for the incentives and penalties
regarding the commitment towards the developed
standards and labels.
 Set a strategy and recommendation plan to ensure
that local manufacturers will be able in the future to
produce and (or) assemble appliances in compliance
with the Egyptian efficiency standards.
 A ministerial decree (482/2005) by the Ministry of
Housing Utilities & Urban communities has been issued
on 20/12/2005 for enforcement of E.E. code for residential
buildings, and (190/2009) for E.E. commercial buildings
code
 Developed administrative building code has been
incorporated in the Unified Building Law.
 Legislation is needed to ensure enforcement mechanisms
for adoption of energy efficiency building codes where the
expected savings from S& L program and EE building
codes could reach 20 to 25% of the consumption.

Analysis of the previous studies in the field of energy
efficiency in Egypt to assess the energy efficiency potential.

More than 25 seminars were prepared at different
establishments in addition to radio, television programs and
press articles.

Establishing a database for consumers of over 500 kW, as
well as energy audits conducted through the project.

Establishing website for Energy Efficiency Center in English
and started the Arabic version www.eeiggr.com

Establishing a database for energy consumption of
governmental buildings for all distribution companies.
Energy Efficiency Improvement &
Greenhouse Gas Reduction Project
Energy Savings
1.08
MTOE
3.00
MTons
 Establishment of small power group within the
EEHC to sustain the cogeneration activities beyond
the project lifetime.
 Training engineers from DCs on cogeneration applications.
 Final version of the cogeneration system guidebook.
 A power purchase agreement as well as agreement for and energy
transfer from cogeneration projects, the agreement is understudy
by the legal department of Egyptian Electricity Transmission
Company.
 Preparing the technical specifications for safe interconnection
equipment.
 An assessment study to investigate the possibilities of using the
agriculture waste (bagasse and rice straw) for electricity
generation.
 Report on the potential capacity and proposals for agro-waste
fired small and medium CHP projects
 Complete contract proposals legal aspects and incentives for the
development of the CHP based on agro-wastes
• An Agreement with Arab
Contractors Co. has been
signed to develop the
cogeneration unit at Alu Misr
for its parallel operation with
the grid.
• The unit load factor has
improved and reached 80%
instead of its present value of
57%

HBRC training on residential and commercial building
codes to 25 engineers from Palestine, Jordan and
Lebanon.

Alexandria D.C training to 65 engineers from Syria in
the field of energy audits.

IRP/DSM training to 20 engineers from Saudi Arabia
Arab Republic of Syria in the field :
- Specifications for energy efficiency electrical appliances
- The financial rules applicable in the United Nations Development
Programme(UNDP)
- Preparing energy efficiency code for residential and
administrative buildings
- Training to improve energy efficiency in electric power stations
Kingdom of Jordan in the field :
- Training on the energy efficiency code in partnership with
Housing & Building Research Center (HBRC)
Kingdom of Saudi Arabia in the field :
- Training on energy audits and cogeneration projects
Republic of the Sudan in the field:
- Preparation of joint seminars in the field of energy improvement in
public lighting
Due to the satisfactory outputs of the current project a second
phase including 2 components is expected to start early 2011, A
Project Preparation Grant (PPG) of US$ 100,000 was allocated
to cover the following activities:
Updated Market Study of the CFL (GFK- Local Consultant)
• Updated assessment of the market potential within the main
target sectors
• Assessment of local production capacities
• Analysis of the key barriers to phase out inefficient lighting
• Identification and evaluation of the feasibility of the possible
distribution and financing mechanism for accelerating the
market transformation
Market Study of the S&L for the rest of appliances (GFK-LC)
• Updated assessment of the level of implementation and
enforcement of S&L program
• Decide of selected criteria for S&L more appliances
• Compilation of the market information
• Review of testing facilities
Preparation of the second phase project document
(International Consultant)
• Finalizing the project document and CEO endorsement
request of the project in accordance with UNDP/GEF formats
• Facilitate a sustainable market transformation with the
objective to completely phase out inefficient lighting in both
residential and governmental sectors through:
• An enabling regulatory frame work for phasing inefficient
lighting.
• Develop innovative and attractive financing mechanism for
energy efficiency lighting projects
• Improve energy management of public buildings
• Increase awareness through public campaigns
• Enhance capacity of local manufactures to improve the
quality of their products
00
20
01
20
02
20
03
20
04
20
05
20
06
20
07
20
08
20
09
20
10
20
11
20
12
20
13
20
14
20
15
20
16
20
17
20
18
20
19
20
20
80.00
70.00
60.00
50.00
40.00
30.00
20.00
10.00
0.00
20
Annual Sale (mill. units)
Expected energy savings from 70% GLS phase out
or complete GLS phase out
Year
Baseline
70 % Phase-out of GLS
Complete Phase Out of GLS
• It will strengthen the regulatory and institutional framework,
• develop monitoring and enforcement mechanisms,
• provide training to public authorities, appliance professionals,
energy suppliers and other relevant stakeholders
Due to the lack of consumers’ awareness, the demand for the efficient
appliances is still low, and the retailers don’t grasp the meaning of
energy labels and how it can be used to recommend better energy
performing products.
• The project will promote the awareness of both retailers and
consumers of energy efficient appliances.
• The project will strengthen the capacity of the local
manufacturers to produce appliances complying with the new
standards.
Expected energy savings from refrigerators as a result of
a strengthened S&L scheme
16,000
14,000
GWh
12,000
10,000
8,000
6,000
4,000
2,000
0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Year
Baseline
Alternative