A systems engineering approach to improve the measurement and verification process of energy services companies

Abstract

The extensive use of fossil fuels coupled with its decreasing availability has ignited many countries to enact policies on energy usage. Energy Services Companies (ESCOs) all over the world are implementing initiatives to save energy. The South African ESCO industry must still overcome many barriers for it to be as effective as other global ESCOs. One of the stakeholders of an energy-savings intervention is the measurement and verification (M&V) team. The M&V team aims to provide objective and independent quantification of energy savings realised during an intervention. Despite the importance of the M&V function, the M&V process was shown to be inefficient, lacking in standardisation and research. The focus of this dissertation is to identify opportunities for improvement within the M&V process and to determine methods for the easy management thereof. The first two research aims are met by evaluating the process and determining the requirements for improving the process with regard to the critical areas that were identified. It is realised that the management of the M&V process could be simplified by using an information management system. This leads to the design of an information management system for the M&V process using the knowledge obtained during the evaluation. A case study is performed on one of South Africa’s largest ESCOs. The findings of the case study underline improvements regarding certain performance indicators. Moreover, the findings suggest that an information management system can support all the desired process requirements.