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

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

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

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

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

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…

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

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

Industrial Load Reduction The Role of Intelligent LEDs in an Energy Efficiency Program

Midwest Energy Efficiency Alliance | Midwest Industrial Initiative

© 2013 Digital Lumens

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

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

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

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

• 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

Intelligent Lighting Drives Maximum Savings

15

Networked Together Centrally Managed Smart Lights

The Complete Solution

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

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

• 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

Average Industrial Occupancy Rates

Data pulled from 40 Digital Lumens customer sites:

• Cold storage 15%

• Dock 40%

• Dry storage 30%

• Manufacturing 35%

19

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

• 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

• 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

Control, Edit & Report

Dashboard Scheduling

Occupancy Map Facility Map Energy Reports

Profile Management

• 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

Intelligent Lighting System Savings Summary

25

Intelligence

LED power

reduction

(watts)

Incentives

Fine-tuning

HVAC & chiller

load reduction

Maintenance

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

DesignLights Consortium

27

• 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

Installation Snapshot: MEEA Region

29

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

★

• 85+ installations

• 8.5 million+ total

square feet

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

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

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

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

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

• 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

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

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

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

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

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

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

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

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

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

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

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