Shipboard Energy Management
Quantified Energy Savings, Emissions Reductions and Cost Savings
Ship Owners and operators all over the world today are concerned with shipboard energy conservation. The cost of energy, economic climate, social responsibility and emerging international regulatory requirements to reduce emissions are all drivers to this increased awareness.
Implementing a comprehensive Energy Management Program has been proven to reduce energy consumption, the attendant emissions and expenses. Energy Management has been practiced in shore-side applications for decades. While ships offer special challenges that need to be addressed; we have found the discipline to be effective and valuable.
Unlike shore-side facilities that have a static environment, ships are dynamic. They move, conditions change, missions change. To accurately quantify cost, emissions and carbon footprint reductions and measure the success of an Energy Management Program, reasonable starting points or baselines need to be established. Baselines and measurements must account for all of the variables that impact the energy consumption on a ship.
Ship’s systems are complex and inter-related. A holistic approach to Energy Management must be taken. Stakeholders need to know how changes in one component are going to affect the system, ship and organization in terms of efficiency and cost benefit.
Energy Management needs to be approached systematically. It can be complex and time consuming. While the majority of vessel crews and managers want to conserve energy, they do not have specialized energy management training and are already working to capacity.
Some organizations view Energy Management as an added expense due to the expense of energy efficient parts and systems and cost of labor to purchase and install it. Life cycle cost and cost benefit analysis must be performed for every change or upgrade to ensure a return on investment.
What is Shipboard Energy Management?
Energy Management, as a specialty combines three disciplines: 1) design engineering; 2) human behavior 3) financial analysis. A careful balance of each of these disciplines is used to determine the optimum operational and equipment improvements to reduce an organization’s energy consumption.
The primary objectives are:
- Reduce energy consumption and associated costs
- Quantify present energy production and consumption on a per unit basis to establish a base line to measure future improvements
- Identify operational and equipment Energy Conservation Measures (ECMs)
- Financial analysis of ECMs
- Prioritization of ECMs based on organizational/unit criteria
- Quantification of emissions before and after energy management and IMO CO2 Indexing
Benefits of Implementing Our Shipboard Energy Management Program include;
- Quantify financial savings as well as emission reductions. Estimated annual reductions in total energy consumption, emissions and related costs are at least 10%.
- Most clients realize a payback on an initial audit within one year and are able to fund additional measures with the savings.
- Analysis and prioritization of recommended Energy Conservation Measures (ECMs) and their associated costs, economic returns (simple payback, return on investment & net present value), emissions reductions, and ancillary benefits (reduced maintenance, improved reliability, and the like).
- The program is comprehensive and can be applied to a ship, a class of ships, and a fleet of several classes of ships or an entire organization.
- Independent auditing, recommendations and life cycle cost and cost benefit analysis on proposed equipment upgrades. (No affiliation with equipment or service vendors.)
- It allows client staff to stay focused on core tasks.
- Additionally, maintenance and waste are reduced due to lower equipment run hours and loads and new efficient equipment.
Approach and Methodology
In order to meet each of these objectives, Energy Management is performed in a systematic and holistic manner. It provides detailed documentation and quantification of all energy consumption and conservation measures at the equipment, system, vessel, and staff/command levels.
Energy Management is implemented in five initial phases:
- Research and Document Review
- Vessel Audit
- Data Analysis
- Implementation and Ongoing Measures
Phase I: Research and Document Review
The purpose of phase one is to collect and catalogue as much voyage, system, and equipment data to establish a base line of total energy consumption and cost for the past one or two years (based on mission requirements/history).
Data collected is entered into our analytical software program, EQUATE. This data provides a preliminary baseline, highlighting areas that appear to offer beneficial Energy Conservation Measures (ECMs). These ECMs will be examined closely during the up-coming vessel audit. Additionally, we will perform a preliminary review of new energy efficiency technology and possible application to the selected vessel. This phase maximizes effectiveness of vessel audit and minimizes time required of the crew. It allows us to properly plan the audit and understand what measurements and observations are required optimize the evaluation of ECMs.
Phase II: Vessel Audit
The vessel audit involves collecting actual operational data and observation of vessel operations. Alaris engineers will observe vessel operations in as many various mission modes as possible (at sea, maneuvering, in-port cargo transfer operations, in-port standby and other mission specific operations). We will take energy measurements for fuel users and various energy consumers. Equipment maintenance will also be reviewed when warranted. We will have discussions with crew to solicit their comments and provide informal energy management training as well. Often, the cost of the energy audit is quickly recovered just from the education the crew receives while we are onboard doing the audit.
Phase III: Analysis
Audit data is entered into EQUATE. This software organizes the producers and consumers of energy through-out the vessel and catalogues how they interact with each other. Often when one ECM is implemented, it affects the lifecycle cost analysis of other ECMs. As such, the interrelation of fuel users (engines, boilers), consumers (propulsion, motors), and operations must be accounted for as part of the analysis.
Alaris performs cost and feasibility analysis using two approaches. The first is to look for innovative ways to reduce the cost of energy production (efficiency of engines and boilers). The second is to reduce the actual consumption of energy through improved operational practices and through utilization of more efficient equipment/systems.
The analysis also includes establishing energy consumed per work unit. This baseline allows for future efficiency measurement and effectiveness of the implemented ECMs. This approach is the concept used by the IMO for CO2 indexing in determining an organizations carbon foot print. The ability to measure improvement is a key aspect of a successful energy management program.
Phase IV: Reporting
The purpose of this phase is to document in a concise manner the two main categories for energy savings. The first is to present a baseline and efficiency of the fuel using machinery and energy consuming equipment. The next is to provide a prioritized quantitative list of ECMs that will reduce energy cost.
A quantitative energy consumed per unit of work will be used. This approach is critical so that progress can be measured on a relative scale. The units used will be determined from the analysis.
The report will include a prioritized list of findings and ECMs. It will provide a financial analysis of each recommendation including: payback period, return on investment, and net present value where applicable. The recommendations will include environmental benefit and quantification of in terms of CO2 indexing and emission reductions.
Alaris will meet with the client organization and present the findings and recommendations. At this meeting, Alaris will collect comments from stake holders and take required action. As the ECMs are often interrelated and cost benefits dependent on which ones are selected and the order in which they are implemented, additional financial analysis for particular scenarios may be requested.
A second meeting may be conducted to present any additional analysis of the ECMs and scenarios as requested by the stakeholders. It is also to address any questions that they may have on how to implement the ECMs and move forward with an energy management program.
Phase V: Implementation and Ongoing Measures
Upon completion of the review by the client, an Effective Energy Management Plan is drafted for delivery to the Technical Office(s) and onboard the vessel(s).
The Effective Energy Management Plan will encompass:
- Operations Energy Management Policy
- Maintenance Energy Management Policy
- Procurement Energy Management Policy
- Procedures for Measurement and Continuous Improvement
This Base Plan Development can be applied to individual vessels, specific classes of vessels and/or entire vessel classes and/or fleets. The time for completion of a Basic Plan Development project is determined by the number of vessels, number of different classes of vessels and the number of technical offices.
Procedures for Measurement and Continuous Improvement (Optional)
Training of shore based and seagoing staff in the implementation of the organization’s Effective Energy Management Plan onboard and in the technical offices is crucial to the success of any energy management program. Alaris can provide a comprehensive training program (initial and ongoing) for both technical office staff and shipboard personnel. Training can be accomplished in a seminar environment and/or in the work place (onboard vessels and in the technical office(s)).
Alaris also provides ongoing consulting and auditing services in support of organizations Energy Management Plan. An Alaris CEM will provide technical consulting services for the implementation of the organization’s Effective Energy Management Plan through out the Company’s organization (in technical office(s) and onboard vessels). An implementation plan will be created including the incorporation of the Effective Energy Management Plan into the organizations Operation Policies and Procedures and/or Quality Management System with ongoing Audit procedures established. Alaris will provide an Alaris CEM to carry out ongoing training and external audit services to verify that the organization’s Effective Energy Management Plan is meeting its’ Goals and Objectives.
Alaris Companies, LLC, a women owned small business, is a leader and innovator in Maritime Energy Management. Our energy management solutions are based on the most current technologies and tempered by practical experience onboard vessels and a thorough understanding of the need for mission reliability.
We employ USCG licensed Chief Engineers who are Certified Energy Managers (CEMs) accredited by the Association of Energy Engineers. This accreditation is recognized by US Department of Energy and other organizations world wide. Analysis of project data and development of deliverables is carried out by Alaris CEMs using EQUATE, an analytical software that we originally developed specifically for shipboard energy management.
It is this combination of years of deck plate, senior officer and ship management experience combined with the experience and specialty training in energy management that allows Alaris to deliver a superior product.
Our experience with commercial clients and US Government agencies has been that we find enough immediate payback, 0 investment ECMs, that the return on investment is for an initial shipboard energy audit is less than one year. Even when only a few of the ECMs recommended are implemented. The opportunity for significant carbon foot print reduction and associated savings in energy consumption costs are measured, quantified and prioritized.