MEEA Industrial Webinar: Industrial Load Reduction: The Role of Intelligent LEDs in an Energy Efficiency Portfolio
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C&I customers represent a substantial opportunity for load reduction, but the key is to incentivize projects with excellent performance, economics, and impact. Intelligent LED systems are redefining the lighting category and displacing legacy technologies with proven results. The webinar, presented by Michael Feinstein from Digital Lumens, will cover the following topics: • Industrial lighting technology review • Intelligent LED System overview • 90% energy reduction – the economics of intelligent LEDs • Large C&I lighting customers – retrofit & new construction case studies • Future of intelligent LED lighting Mike Feinstein is responsible for leading the Digital Lumens sales and marketing teams and has had extensive experience in the entrepreneurial and investment worlds, most recently as Managing Director of Sempre Management. Previously, he was a General Partner at Venrock Associates and Atlas Venture, where he served on the boards of start-ups including Boston-Power, Ciclon Semiconductor (acquired by Texas Instruments), CircleLending, WaveSmith Networks (acquired by CIENA Corp.) and Quantum Bridge Communications (acquired by Motorola). Michael holds a B.S. in Electrical Engineering and Computer Science from MIT. This presentation is part of the Midwest Energy Efficiency Alliance Industrial Webinar Series. Find out more at http://www.midwestindustrial.org.
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MEEA Industrial Webinar: Industrial Load Reduction: The Role of Intelligent LEDs in an Energy Efficiency Portfolio
- 1. MEEA’s Midwest Industrial Initiative Webinar: Industrial Load Reduction: The Role of Intelligent LEDs in an Energy Efficiency Portfolio February 28, 2013 11:00AM-12:00PM CST
- 2. MEEA’s Role in the Midwest • Non-profit serving 13 Midwest states • 10+ years serving state energy offices, utilities, ESCOs, state and local government, manufacturers • 150+ Members • Staff of 25 in Chicago • Actions – Advancing Energy Efficiency Policy – Promoting Best Practices – Delivering Training & Workshops – Coordinating Multi-Utility Program Efforts – Designing & Administering Energy Efficiency Programs – Evaluating & Promoting Emerging Technologies – Regional Voice for DOE/EPA & ENERGY STAR
- 3. Midwest Industrial Initiative (MI2) In Fall 2010, MEEA has created the MI2 in order to: • Promote adoption of energy efficiency in the industrial sector • Provide information on electric and natural gas utility energy efficiency rebates and programs • List national and local energy efficiency best practices and technology information • Offer catalog of case studies of successful energy efficiency implementation www.midwestindustrial.org
- 4. www.midwestindustrial.org • Dedicated website on Industrial Efficiency in the Midwest – Utility, state and local case studies – Catalogue of utility industrial contacts – Utility programs – Industrial opt out and self direct policies – EIA data by state and fuel • Social media presence – www.twitter.com/industrialEE
- 5. MI2 Activities • Quarterly regional utility calls • Midwest presence for SEEAction Industrial working group and CHP group • Developing Midwest CHP working group • MI2 to be conduit of efficiency information to industrial companies and industrial associations • Promote successful efficiency programs, technologies and financing mechanisms
- 6. MI2 Upcoming Webinars • Mitsubishi – review of manufacturing facility improvements • Baltimore Gas & Electric – CHP as part of cost effective efficiency program • Schneider Electric – Energy reduction efforts • Dates Forthcoming…
- 7. Reminders for Today’s Webinar • Submit questions in the chat box in the right panel • Q&A will take place after the presentation is complete • Presentation will be available on http://www.midwestindustrial.org/resources /webinars
- 8. MEEA Staff Contacts • Jay Wrobel, Executive Director jwrobel@mwalliance.org • Stacey Paradis, Deputy Director sparadis@mwalliance.org • Chelsea Lamar, Senior Program Associate clamar@mwalliance.org • Rick Holmes, Senior Advisor, Industrial Initiatives, rholmes@mwalliance.org
- 9. Industrial Load Reduction The Role of Intelligent LEDs in an Energy Efficiency Program Midwest Energy Efficiency Alliance | Midwest Industrial Initiative © 2013 Digital Lumens
- 10. Agenda • Industrial lighting technology review • Intelligent LED System overview • 90% energy reduction – the economics of intelligent LEDs • Large C&I customers • Retrofit & new construction case studies • Future of intelligent LED lighting 10
- 11. Legacy Industrial Lighting 11 HID (MH & HPS) • Highest operating cost • Significant heat output increases HVAC load • 2-year relamping • Contains mercury and lead – difficult/costly disposal • No ON/OFF cycling capability Fluorescent T12 • Does not fully illuminate when first turned on • Re-lamping/reballasting • Minimal ON/OFF cycling • Contains mercury – difficult/costly disposal
- 12. Current Industrial Lighting 12 Fluorescent T8 & T5HO • More efficient than T12 predecessor, however many issues remain: • Poor initial illumination, re-lamping/reballasting, minimal ON/OFF cycling, contains mercury – difficult/costly disposal • T5HO poor performance in cold temperatures Plain LEDs • More efficient than fluorescent alternatives Intelligent LED System • Most efficient • Includes fully integrated features that maximize efficiency
- 13. Legacy Fixtures Current Options HID T12 6LT8 6LT5HO LEDs w/sensor s Intelligent LEDs Wattage 450 250 300 350 155 155 Annual energy cost $39,420 $21,900 $26,280 $30,660 $6,789 $2,716 Annual maintenance $10,000 $6,500 $6,000 $6,000 $0 $0 Upfront project cost N/A N/A $$ $$$ $$$$ $$$$ 10 yr energy consumption (kWh) 394,200 219,000 262,800 306,600 67,890 27,156 10 yr TCO $494,200 $284,000 $336,800 $380,600 $137,890 $106,656 Table assumptions • $0.10/kWh • 100 fixtures • 8,760 hours/year operation Energy Consumption Comparison • Includes wattage for ballasts for HID, T12, T8 & T5 • 10 year TCO figures for Retrofit Options include upfront project costs • 10 year TCO figures for Current Fixtures HID & T12 do not include upfront project costs
- 14. • Strong LED lighting, networking, and software experience • Award-winning company and technology • Integrates LED-based luminaires with built-in controls & intelligence • Reduces lighting energy use by up to 90% • Optimized for rugged industrial environments • Lowest total cost of ownership (TCO) 14 Leading the Way in Intelligent Lighting
- 15. Intelligent Lighting Drives Maximum Savings 15 Networked Together Centrally ManagedSmart Lights The Complete Solution
- 16. 100% of the light for 10% of the energy • Reduced wattage • Fully integrated: • Sensing • Dimming • Daylight harvesting • Local intelligence • Central control • Great light quality 16
- 17. 17 Intelligent fixtures to address each facility’s unique needs ILE-3-18 • 18,000 lumens • 215W • 26,000 lumens • 325W ILE-3-26 • Up to 50’ mounting height • Three independently rotatable LED light bars • Integrated occupancy sensors • Integrated daylight harvesting • Wide or narrow optics options • Onboard intelligence to manage fixture behavior • Wirelessly connected to LightRulesTM management software • 107,000 hour lifetime rating • 5 year warranty ALL FIXTURES FEATURE: ILE-3-13 • 13,000 lumens • 155W
- 18. 18 • Occupancy sensors designed and manufactured by Digital Lumens • Fully integrated into each fixture • Each sensing package features three infrared sensors • Higher ceiling heights • Improved performance • Dimming, also integrated into each fixture, can be programmed from 0-100% High Performance Occupancy Sensing & Dimming Facility occupancy map
- 19. Average Industrial Occupancy Rates Data pulled from 40 Digital Lumens customer sites: • Cold storage 15% • Dock 40% • Dry storage 30% • Manufacturing 35% 19
- 20. 20 Effect of Occupancy Sensor Settings on Energy Consumption Occupancy Sensor Log Data 4:30pm 5:30pm Sensor Delay % “Active” ILE Energy Cost* (155W) HIF Energy Cost* @ 15 mins (220W) 30 sec 25.2 % $35 / yr $190 60 sec 40.8 % $57 $190 90 sec 52.4 % $73 $190 3 min 72.5 % $102 $190 5 min 89.3 % $125 $190 10 min 98.6 % $138 $190 * 10¢ /kWh Based on 25% occupancy
- 21. 21 • Automatically assesses available ambient and adjusts light output accordingly to illuminate area with target light level • Photo sensors fully integrated into each fixture • Depending on available ambient light, reduces lighting use by an additional 25-50% • Consistent light quality throughout the space Daylight Harvesting
- 22. • Active levels • Inactive levels • Occupancy sensor timeouts LightRulesTM Control Software 22 • Energy consumption • Energy costs • Energy savings • Facility occupancy • Daylight harvesting • What-if analysis Control Report
- 23. 23 Control, Edit & Report Dashboard Scheduling Occupancy MapFacility MapEnergy Reports Profile Management
- 24. • Customize lighting profiles by zone, e.g.: • Loading docks • Frozen storage • Ambient storage • Minimize lighting energy costs while maximizing operator efficiency & safety • Automated or manual control • Full system flexibility • Interoperability & API • Managed lighting = managed costs 24 Customized Lighting
- 25. Intelligent Lighting System Savings Summary 25 Intelligence LED power reduction (watts) Incentives Fine-tuning HVAC & chiller load reduction Maintenance
- 26. 26 Tested & Proven • Robust design • Rugged and integrated technology • Tested, certified, listed, and labeled • UL, CE/CB, DOE, Lighting Facts, DLC, NEMA IP Rating, LM79, LM80 • Outstanding support • 5-year warranty • Backed by world-class lighting professionals • 107,000-hour lifetime rating
- 28. • Deployed in the world’s leading industrial facilities • More than 500 large-scale deployments • Saving customers $25 million and 250 million kWh per year 28 500+ Installations New Orleans Cold Storage
- 29. Installation Snapshot: MEEA Region 29 ★ ★ ★ ★ ★ ★ ★ ★ ★ ★ ★ ★ ★ ★★ ★ ★ ★ ★★★ ★ ★ ★ ★ ★★ ★★ ★ ★ ★ ★★ ★ ★ ★ ★★ ★ ★ ★ ★★ ★ ★★ ★ ★★ ★ ★ ★ ★ ★★ ★★ ★ ★★ ★ ★★ ★ ★ ★ ★ ★★ ★ ★ ★ • 85+ installations • 8.5 million+ total square feet
- 30. In a Variety of Industries and Environments Customer Environment Industry State Pepsico Ambient Food manufacturer IL Kellogg Cold/freezer Food manufacturer OH Millard Cold/freezer Warehousing/distribution IA, NE, KY, IL ConAgra Cold/freezer Food manufacturer MO, IA Domino's Cold/freezer Food manufacturer & retailer MO, MI Nestle Cold/freezer Food manufacturer IL Sara Lee Cold/freezer Food manufacturer IA, IL United Dairy Farmers Cold/freezer Food manufacturer IA Reinhart Food Service Ambient Food manufacturer OH Interstate Warehousing Cold/freezer Warehousing/distribution IN, IL, MI, OH
- 31. MEEA Energy Consumption -– Industrial Lighting State Industrial Energy Consumption (M kWh) Lighting Energy Consumption (M kWh) IA 18,865 5,471 IL 44,180 12,812 IN 46,552 13,500 KS 10,651 3,089 KY 45,022 13,056 MI 30,841 8,944 MN 22,798 6,611 MO 17,330 5,026 ND 3,850 1,117 NE 10,210 2,961 OH 53,109 15,402 SD 2,360 684 WI 10,069 2,920 Totals 315,837 91,593
- 32. MEEA Industrial Lighting Consumption • 91,593 million kWh per year in MEEA territory • Most current lighting fixtures stay on 95% of the time regardless of: • Occupancy • Ambient light • Opportunity for massive energy savings 32
- 33. Make Lighting Upgrades a Priority 33 • Lighting accounts for 29% of industrial electricity use • Lighting upgrades are a fast & easy way to reduce energy consumption • Have far-reaching energy-saving potential Source: U.S. EPA Energy Star Building Upgrade Manual http://www.energystar.gov/ia/business/EPA_BUM_Full.pdf
- 34. More Energy Savings with Less Work • The average Digital Lumens industrial lighting retrofit = savings of 105,891 kWh • 1,084 residential retrofits, or • 46 commercial retrofits • Do more with less • Focus on key large industrial energy users • Far fewer points of contact and less work for the utility • Quickly achieve energy reduction goals 34 Source: EPA Fast Facts on Energy Use http://www.energystar.gov/ia/business/challenge/learn_more/FastFacts.pdf Source: Canaccord Genuity The Third Cycle version 4.1, Quantifying the Unknown
- 35. • Facility size: 460,000 ft2 • Project type: retrofit • Environment: Ambient, cold, and refrigerated spaces • Temperature range: -20°F to 70°F • 7 x 24 x 365 operation • Previous lighting solution: High intensity discharge (HID) • Annual lighting energy savings: 87% • Payback: <1 year Before and After 9 ft-cd 20 ft-cd Case Study: Maines Paper & Food 35
- 36. 36 Case Study: Associated Grocers of New England Before and After • Facility size: 380,000 ft2 with 56,000 ft2 cold storage lighting upgrade • Project type: retrofit • Operational Schedule: 24 x 6 • Environment: refrigerator • Temperature: -15°F • Previous lighting solution: T5 HO Fluorescent • Annual lighting energy savings: $52,000
- 37. 37 Case Study: New Orleans Cold Storage • Facility size: 142,000 ft2 • Project type: new construction • Environment: cold storage • Temperature: -15° to 35°F • Alternative lighting solution considered: T5 fluorescent • Annual lighting energy savings: 245,764 kWh
- 38. 38 Case Study: Ben E. Keith • Facility size: 475,000 ft2 • Project type: new construction • Environment: cold & ambient storage • Temperature: to 40°F • Part of major sustainability initiative • Prompted when EE Manager heard about utility incentives from a peer
- 39. Case Study Deep Dive: Silver Beauty Location Chicago, IL Business Builds and leases warehouses in Chicago area Facility type: Dry warehouse Facility Size 177,413 square feet Operating Hours 24x7 Previous Lighting 1,000 Watt Metal Halide Issues • Energy and maintenance expenses • Light levels • Noise levels (humming) 39
- 40. Silver Beauty: Requirements & Alternatives Requirements • High light levels in both racked aisles and open spaces • Instant on/off – no warm-up time required • Daylight harvesting • Ability to fine tune/re-program lighting settings as facility setup changes – without touching each fixture • Noise-free • Sound investment • No maintenance or re-lamping expenses • Rapid payback • Long lifetime Lighting Alternatives Considered • None 40
- 41. Silver Beauty Results • 92% lighting energy savings • From $78,335 to $4,078/year • 1,237,626 kWh savings per year • Excellent light levels across the facility • Today in Warehouse #5, LightRules reports occupancy of 30% in well-traveled aisles and 10-15% elsewhere • Facility manager discovered in his other facility, Warehouse #6, that his T5 fixtures (with occupancy sensors) were experiencing quick lamp life degradation due to frequent cycling – even with cold weather ballasts 41
- 42. An Inside Look at Silver Beauty’s Incentive • Presenting: Mark Allen, Energy Engineer, ComEd • ComEd’s Smart Ideas for your Business Program • Prescriptive vs. custom incentives • Custom incentive requirements • LightRules vs. the ComEd meter 42
- 43. The Future of Intelligent LED Lighting • Further customization • Integration with other key technologies • Cloud management • Automated demand response • Expansion into all commercial and industrial applications 43
- 44. From the Industrial Perspective • Not a lot of time to assess lots of products and technologies • See energy provider as trustworthy source of information • Some have EE/sustainability managers but most don’t • Many need a project payback of 2 years or less – incentives may make or break it • May be trying to comply with corporate EE/sustainability directives • May be on tight deadlines 44
- 45. What Can Utilities Do? 1. Grant custom incentives that bring projects to ≤2 year payback 2. Sponsor a test trial to monitor energy reduction 3. Train energy efficiency team and trade allies in new technology 4. Next step – installation site visit coordinated by MEEA 45
- 46. Efficiency Flexibility Reliability Savings Intelligence Doesn’t Cost More It Gives You More 46 Mike Feinstein Vice President, Sales & Marketing mfeinstein@digitallumens.com (339) 545-1663