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Reflections on the potential global impact of ISO
              50001 and the evolution of new energy standards




              2nd International Conference on the Global impact of
              Energy Management Systems “Creating the right
              environment for ISO 50001 to thrive”
              4th May 2012 - The Mansion House, Dublin / Ireland
              Rob Steele
              ISO Secretary-General


SG/16060404                                                        1
ISO – A Global System                                               Updated January 2012

                                   163 national members
                                       5 000 people
                                     98% of world GNI
                                  97% of world population


                                                                      Over 600
   Collection of 19 023                                            organizations in
     ISO Standards                                                     liaison
                                        Customer


      1 208 standards
         produced
                                          Vision        Internal
          in 2011         Financial         &           Process
                                         Strategy


  215 active TCs                                                              Central
  3 335 technical                     Learning Growth                       Secretariat
      bodies                                                                in Geneva
  100 000 experts                                                          151 FTE staff

SG/16060404                                                                           2
SG/15891893 - 2011-05-12
                           3
SG/16060404   4
World Energy Outlook 2012

  “As we do each year, we analyse a
  single fuel, this time energy
  efficiency. We take a
  comprehensive look at the
  strategies to unlock the potential
  of energy efficiency and unleash
  real gains for energy security,
  economic growth and the
  environment. “
  Preview for the IEA World Energy Outlook – available November, 2012




SG/16060404                                                             5
50001 and business ….

                  Sales
              Less expenses
                 = Profit

SG/16060404                 6
The Boss
must get
involved ….




SG/16060404   7
Business Benefits of 50001

   Efficient components = efficiency gains in the range of 2-5% (best case)
   System optimization = average system efficiency gains of 20-30%
   Case studies already show payback on investment or gains from zero capex
   Mindset to actively manage / improve energy use, output and costs
   Helps reduce emissions without negative effect on operations
   Document savings for internal and external use (e.g. emission credits)




SG/16060404                                                         8
Some early adoptors of ISO 50001

 Delta Electronics – Dongguan,       Reduced power consumption by 10.5 MWh
  China                                Jan-May, 2011 vs. Jan-May 2010
 Schneider Electric Head Office ,    Enforces leader position in energy
  France                               management
 AU Optronics 8.5G TFT-LED           Expect 10% energy conservation in 2011
  fabrication plant, Taiwan, Province (saving approx 55MWh)
  of China
 Municipality of Bad Eisenkappel (2  Expect 25% decrease in electricty consumption
  400 inhabitants), Austria            (updating waste water plant, street lights to
                                       LED)
 Dahanu Power Station, India         Operational review of all major equipment,
                                       targeted investment. Savings estimated at INR
                                       96.4 million per annum


                                                                                   9
 SG/16060404                                                                 9
So what has the uptake of the standard been ….


   Over 1 300 copies sold since launch in
    June 2011
   One of the top ten publications sold by
    ISO/CS
   Over 190 certifications in 26 countries at
    the beginning of April 2012
   Publicized at the World Economic Forum,
    2011
   Promotion by ISO members and partners
   Training programmes



SG/16060404                                        10
50001 and government ….. a basic
  argument for encouraging 50001

      35% of worldwide final use of energy by industry
       … more than 50% in developing countries
      …estimated potential to decrease energy intensity
       by 26%
      Energy efficiency awareness poor amongst large
       and small business managers / owners
      Therefore lack of culture and motivation of plant-
       managers
      Cost of good energy management incentives vs.
       Cost of investment in infrastructure
      Often missing or ineffective policy measures and
       incentives to encourage energy efficiency


SG/16060404                                                 11
Why government should assist national involvement
  in International Standards on energy management


                      Promote good energy management practices
                      Supporting scientific cooperation and possible
                       harmonization of public policies
                      Help improve consumers and users
                       understanding and confidence
                      Avoiding unnecessary technical barriers to
                       trade related to energy policies
                      Enable creation of world markets for energy
                       efficient technologies




SG/16060404                                                  12
Which governments are focusing on the issue ….

   Energy efficiency is now a major focus of G-8 meetings and is
    recognized by the International Energy Agency as a primary source
    of short-term GHG emission reductions
   China initiated plan to reduce energy use 20% per unit of GDP over
    2005 levels by 2010 focus on Top 1000 industrial enterprises
   Rio+20
   The USA plan to raise its energy efficiency until 2015 by 30%
    compared to 2003
   In 2007, the EU has set itself a target for saving 20 % of its energy
    consumption by 2020.
   Ireland has set out a National Energy Efficiency Action Plan to
    reduce energy demand by 2020 by 20% in the private, by 33% in
    the public sector



SG/16060404                                                            13
So what is the future …. Evolution of new energy standards

   20 ISO Technical Committees involved in aspects of energy efficiency and renewables
   ISO Strategic advisory group (SAG) on Energy efficiency and renewable energy sources
   ISO/IEC JTC 2 Joint Project Committee – Energy efficiency and renewable energy sources –
    Common terminology

   Industrial energy efficiency (e.g. ISO/TCs 17, 86, 115, 117, 118, 203, 244)

   Increase of efficiency of road vehicles and tyres (ISO/TC 22, partnership with UNECE WP 29
    and ITF)

   Energy efficiency of buildings (ISO/TC 163 and ISO/TC 205)

   ISO/TC 238 on solid biofuels and ISO/PC 248 on sustainability criteria for bioenergy

   New committees: ISO/TC 265 Carbon capture and storage, ISO/TC 263 Coalbed methane,
    ISO/TC 255 Biogas




     SG/15891893 - 2011-05-12                                        Energy Management – 14
TC 242 - Evolution of new energy standards




After ISO 50001 was published ISO Project committee 242 was converted
to ISO/TC 242 and the following WGs created:

     ISO/TC 242/WG 1     Energy Management
     ISO/TC 242/WG 2     Energy performance metrics
     ISO/TC 242/WG 3     Joint TC 242 - TC 257 WG: Measurement &
                          verification of organizational energy performance -
                          General principles and guidelines
     ISO/TC 242/WG 4     Opportunities for Improvement

SG/16060404                                                          15
TC 242 – New projects approved
 ISO/AWI 17570   Energy Baseline General Principles and Guidance
 ISO/AWI 17578   Energy Performance indicators (EnPIs) General Principles and Guidance
 ISO/AWI 17579   Guidance for the Implementation, Maintenance and Improvement of an EnMS
 ISO/AWI 17580   Monitoring, measurement, analysis and verification of organizational energy
                  performance
 ISO/AWI 17590   Energy audits
 ISO/AWI 17595   Energy management system audits and auditor competency
 ISO/NP 17866    Energy management systems – Modular implementation of the energy
                  management system
 ISO 50001       including the use of energy performance evaluation techniques




SG/16060404                                                                          16
ISO standardization supporting
  renewable energy sources

   ISO Technical Committees specifically
    involved: Solar Energy, Hydrogen
    Technologies, Geothermal

   1 Joint Working Group with IEC on
    Wind Turbines

   ISO/PC 248, Sustainability criteria
    for bioenergy preparing the future
    standard ISO 13065

   ISO/IEC JTC 2 Joint Project Committee –
    Energy efficiency and renewable energy
    sources – Common terminology



SG/16060404                                   17
Impact for Developing Countries




   Energy pricing and the possible impact on developing a
    significant concern

   Some least developed countries use twice as much energy per unit
    of economic output as OECD countries and are not as efficient in
    converting energy to output

   Sustained USD 20 bbl delivers an equivalent 1,47% loss of GDP for
    many countries (0.2% - 0.4% in GDP for many but up to 4% of GDP
    for poorest countries – World Bank study 2011)
                                                             1 UNDP/ESMAP, 2005

SG/16060404                                                                18
Confidence has a nickname …




SG/16060404                                 19

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Reflections on the potential global impact of ISO 50001 and the evolution of new energy standards by Rob Steele, ISO Secretary General

  • 1. Reflections on the potential global impact of ISO 50001 and the evolution of new energy standards 2nd International Conference on the Global impact of Energy Management Systems “Creating the right environment for ISO 50001 to thrive” 4th May 2012 - The Mansion House, Dublin / Ireland Rob Steele ISO Secretary-General SG/16060404 1
  • 2. ISO – A Global System Updated January 2012 163 national members 5 000 people 98% of world GNI 97% of world population Over 600 Collection of 19 023 organizations in ISO Standards liaison Customer 1 208 standards produced Vision Internal in 2011 Financial & Process Strategy 215 active TCs Central 3 335 technical Learning Growth Secretariat bodies in Geneva 100 000 experts 151 FTE staff SG/16060404 2
  • 5. World Energy Outlook 2012 “As we do each year, we analyse a single fuel, this time energy efficiency. We take a comprehensive look at the strategies to unlock the potential of energy efficiency and unleash real gains for energy security, economic growth and the environment. “ Preview for the IEA World Energy Outlook – available November, 2012 SG/16060404 5
  • 6. 50001 and business …. Sales Less expenses = Profit SG/16060404 6
  • 7. The Boss must get involved …. SG/16060404 7
  • 8. Business Benefits of 50001  Efficient components = efficiency gains in the range of 2-5% (best case)  System optimization = average system efficiency gains of 20-30%  Case studies already show payback on investment or gains from zero capex  Mindset to actively manage / improve energy use, output and costs  Helps reduce emissions without negative effect on operations  Document savings for internal and external use (e.g. emission credits) SG/16060404 8
  • 9. Some early adoptors of ISO 50001  Delta Electronics – Dongguan,  Reduced power consumption by 10.5 MWh China Jan-May, 2011 vs. Jan-May 2010  Schneider Electric Head Office ,  Enforces leader position in energy France management  AU Optronics 8.5G TFT-LED  Expect 10% energy conservation in 2011 fabrication plant, Taiwan, Province (saving approx 55MWh) of China  Municipality of Bad Eisenkappel (2  Expect 25% decrease in electricty consumption 400 inhabitants), Austria (updating waste water plant, street lights to LED)  Dahanu Power Station, India  Operational review of all major equipment, targeted investment. Savings estimated at INR 96.4 million per annum 9 SG/16060404 9
  • 10. So what has the uptake of the standard been ….  Over 1 300 copies sold since launch in June 2011  One of the top ten publications sold by ISO/CS  Over 190 certifications in 26 countries at the beginning of April 2012  Publicized at the World Economic Forum, 2011  Promotion by ISO members and partners  Training programmes SG/16060404 10
  • 11. 50001 and government ….. a basic argument for encouraging 50001  35% of worldwide final use of energy by industry … more than 50% in developing countries  …estimated potential to decrease energy intensity by 26%  Energy efficiency awareness poor amongst large and small business managers / owners  Therefore lack of culture and motivation of plant- managers  Cost of good energy management incentives vs. Cost of investment in infrastructure  Often missing or ineffective policy measures and incentives to encourage energy efficiency SG/16060404 11
  • 12. Why government should assist national involvement in International Standards on energy management  Promote good energy management practices  Supporting scientific cooperation and possible harmonization of public policies  Help improve consumers and users understanding and confidence  Avoiding unnecessary technical barriers to trade related to energy policies  Enable creation of world markets for energy efficient technologies SG/16060404 12
  • 13. Which governments are focusing on the issue ….  Energy efficiency is now a major focus of G-8 meetings and is recognized by the International Energy Agency as a primary source of short-term GHG emission reductions  China initiated plan to reduce energy use 20% per unit of GDP over 2005 levels by 2010 focus on Top 1000 industrial enterprises  Rio+20  The USA plan to raise its energy efficiency until 2015 by 30% compared to 2003  In 2007, the EU has set itself a target for saving 20 % of its energy consumption by 2020.  Ireland has set out a National Energy Efficiency Action Plan to reduce energy demand by 2020 by 20% in the private, by 33% in the public sector SG/16060404 13
  • 14. So what is the future …. Evolution of new energy standards  20 ISO Technical Committees involved in aspects of energy efficiency and renewables  ISO Strategic advisory group (SAG) on Energy efficiency and renewable energy sources  ISO/IEC JTC 2 Joint Project Committee – Energy efficiency and renewable energy sources – Common terminology  Industrial energy efficiency (e.g. ISO/TCs 17, 86, 115, 117, 118, 203, 244)  Increase of efficiency of road vehicles and tyres (ISO/TC 22, partnership with UNECE WP 29 and ITF)  Energy efficiency of buildings (ISO/TC 163 and ISO/TC 205)  ISO/TC 238 on solid biofuels and ISO/PC 248 on sustainability criteria for bioenergy  New committees: ISO/TC 265 Carbon capture and storage, ISO/TC 263 Coalbed methane, ISO/TC 255 Biogas SG/15891893 - 2011-05-12 Energy Management – 14
  • 15. TC 242 - Evolution of new energy standards After ISO 50001 was published ISO Project committee 242 was converted to ISO/TC 242 and the following WGs created:  ISO/TC 242/WG 1 Energy Management  ISO/TC 242/WG 2 Energy performance metrics  ISO/TC 242/WG 3 Joint TC 242 - TC 257 WG: Measurement & verification of organizational energy performance - General principles and guidelines  ISO/TC 242/WG 4 Opportunities for Improvement SG/16060404 15
  • 16. TC 242 – New projects approved  ISO/AWI 17570 Energy Baseline General Principles and Guidance  ISO/AWI 17578 Energy Performance indicators (EnPIs) General Principles and Guidance  ISO/AWI 17579 Guidance for the Implementation, Maintenance and Improvement of an EnMS  ISO/AWI 17580 Monitoring, measurement, analysis and verification of organizational energy performance  ISO/AWI 17590 Energy audits  ISO/AWI 17595 Energy management system audits and auditor competency  ISO/NP 17866 Energy management systems – Modular implementation of the energy management system  ISO 50001 including the use of energy performance evaluation techniques SG/16060404 16
  • 17. ISO standardization supporting renewable energy sources  ISO Technical Committees specifically involved: Solar Energy, Hydrogen Technologies, Geothermal  1 Joint Working Group with IEC on Wind Turbines  ISO/PC 248, Sustainability criteria for bioenergy preparing the future standard ISO 13065  ISO/IEC JTC 2 Joint Project Committee – Energy efficiency and renewable energy sources – Common terminology SG/16060404 17
  • 18. Impact for Developing Countries  Energy pricing and the possible impact on developing a significant concern  Some least developed countries use twice as much energy per unit of economic output as OECD countries and are not as efficient in converting energy to output  Sustained USD 20 bbl delivers an equivalent 1,47% loss of GDP for many countries (0.2% - 0.4% in GDP for many but up to 4% of GDP for poorest countries – World Bank study 2011) 1 UNDP/ESMAP, 2005 SG/16060404 18
  • 19. Confidence has a nickname … SG/16060404 19