Bill Sandusky Pacific Northwest National Laboratory Ph. (509) REM Training Workshop Atlanta, GA February 18, 2004

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1 REM Background and History Bill Sandusky Pacific Northwest National Laboratory Ph. (509) REM Training Workshop Atlanta, GA February 18, 2004

2 Topics What are the features of a REM? Who are the Federal REM Players? REM leveraged investment facts FEMP/REM FY-04 Activity Focus

3 REM Features Performance-based position - Not a Federal FTE Identifies resource reduction projects Identifies no-cost/low-cost solutions Secures alternative/supporting funding Documents success Via Scorecard

4 Order of Events 1993 Group of Oregon utilities funds school districts to pilot Resource Conservation Managers (RCM) - Savings exceed total program costs by several hundred percent Washington State and Avista Utilities promote program concept and Avista Utilities avoids over $1,000,000 in energy costs for their customers FEMP picks up on the REM concept. First Federal REM funded by FEMP - Ft. Lewis, WA (near Tacoma). Fort Lewis REM program savings exceed costs by more than 3:1 and program is renewed by the Fort. NW and Whidbey Island Naval Air Station and Keyport Undersea Warfare Center receive a utility appointed REM

5 Order of Events WSU obtains FEMP Special Projects grant and sets up Total Efficiency Network to support Federal REM effort FEMP funds fractional REM at Oregon National Guard and California National Guard SMUD funds REMs in school districts Puget Sound Energy formulates a REM program for Navy Region

6 Order of Events Navy Region NW gets a Regional REM charged with the overall energy strategy and adding site specific REMs Tetra Tech EM launches REM services for Navy in San Diego Region Navy Region Southwest and Navy Public Works Center hire multiple REM s in the San Diego Metro Area Total REM s grow to dramatically to approximately eighteen Federal REMs Ad hoc REM Working Group formed 2002 SDG&E provides first REM to Navy Medial Center in San Diego Army develops REM program at Ft. Bragg and Ft. Polk BPA becomes contracting entity for Navy Region NW REMs

7 Order of Events 2003 US Navy Jacksonville begins REM program for multiple sites FEMP formally adopts REM as part of FEMP O&M program and presents summarized information on results to the Interagency Energy Management Task Force First REM Workshop conducted in San Diego, CA US Army Southeast Region implements REM program at three sites Navy Region SW renews REM program and maintains REM commitment 2004 Current program has grown to 28 REMs covering 47+ sites Second REM workshop held in Atlanta, GA

8 Background and History Federal REM Players Federal Government DOE - FEMP BPA DOD (Navy, Army, Air Force) Utilities San Diego Gas & Electric Sacramento Municipal Utility District Puget Sound Energy Southern California Gas Hawaii Electric Company (considering) Service Providers: Tetra Tech EM, Inc. Sain Engineering Associates Bonneville Power Administration Several others

9 Navy Background and History REM Locations Sites in California, Nevada, Hawaii, Washington, Florida, and South Carolina Army Sites in Washington, Louisiana, North Carolina, Georgia, Alabama, Kentucky Air Force Site in Guam Postal Service Sites in California and Florida Department of Energy Site in Washington

10 Background and History FEMP/REM Leveraged Investment Facts Cumulative FEMP REM Investment since 1996: $640,000 REM positions created: >30 Cost of projects identified since 1996: $83 million Annualized cost for REM position: $3.5 million Annualized cost savings: $12.3 million Annual return on investment: 350% REM Contract Renewal Rate: 85%

11 REM Success Factors Best implemented on large site or regionally focused basis Established partnerships with other Federal organizations Established utility and state agency partnerships Top level and internal support Provides strong educational and motivations aspects Gains trust of occupants, building managers, O&M staff, management Works with experienced people Including DOE Regional Office Driven to share results of efforts

12 Seattle RO Background and History WESTERN DOE Regions CENTRAL Denver RO Chicago RO MIDWEST SOUTHEAST NORTHEAST Boston RO MID- ATLANTIC Philadelphia RO Atlanta RO

13 DOE Regional Contacts Western Region Cheri Sayer: or (206) Central Region Randy Jones: or (303) Mid-Atlantic Region Claudia Marchione: or (215) Midwest Region Melinda Latimer: or (312) Northwest Region Paul King: or (617) Southeast Region Lisa Hollingsworth: or (404)

14 Background and History Working Roles FEMP/HQ Interagency Coordination Direction of activities in field Pacific Northwest National Laboratory Analysis and reporting Technical guidance and support, lead Working Group Washington State University Energy Program Outreach and communication Maintain/enhance REM Newsletter and web site DOE Regional Offices Interaction with Federal sites

15 FEMP FY-04 Activity Focus Update/document REM program results Update communication materials Conduct REM Working Group meeting - Energy 2004 Limited Guidance and Support Assistance Prepare Resource List Continue REM Newsletter

Case Study RESOURCE EFFICIENCY MANAGEMENT. Navy Region Northwest

Case Study RESOURCE EFFICIENCY MANAGEMENT. Navy Region Northwest Case Study Navy Region Northwest 1997-2001 The Navy Northwest Region s REM program has demonstrated its value in a short time and the effort needs to be continued and expanded, given the increasing energy