Energy & business Buy better & use less Presented by - - PowerPoint PPT Presentation

Energy & business Buy better & use less

Presented by Martyn Sheridan, Sales Manager, Energy Solutions Sian Magee – Key Account Manager, Energy Solutions

Buying your Energy better

Presented by Sian Magee, Key Account Manager, Energy Solutions

“ Why is the cost of energy going up when the wholesale market is coming down?”

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Brexit, Groningen & Rough all happen within weeks of each other. Russia made several military incursions into Ukrainian territory

Has the wholesale market gone down?

Glut of oil in market Forest fires in Canada. Rebel attacks in Nigeria.

5 Politics

2016 Price Drivers

FX Markets Oil Stock Markets Emerging Markets Global LNG

Gas & Power Prices

Weather Gas System

What can affect the market price?

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Why have my costs gone up?

Energy 49% Energy 68% DUOS 22% DUOS 19% RO 14% RO 6% TUOS 6% TUOS 9% FIT 5% EMR 1%

What can I do to manage the 49% ?

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I can’t manage a flex contract

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• Expert portfolio advice - so energy can be bought at a time that’s right for the business
• Market intelligence reports - published daily and weekly, to help keep track of movements in the energy

markets

• Live market monitoring - set triggers and limits, based on movements in the wholesale market to drive

decision making.

• Bespoke conference calls - for unique insight into market developments that are relevant to each

business.

• Risk management workshops - to develop a strong risk management strategy to manage the energy

contract and purchasing.

There are experts who can help

Using less Energy – becoming more efficient

Presented by Martyn Sheridan, Sales Manager, Energy Solutions

The Energy Pyramid

Looking at how your use your energy in a holistic and integrated way Reduce energy consumption Generate energy efficiently Monetize flexibility

Energy Efficiency On-Site Generation Flexibility & VPP

The Threes Pillars of Energy Sustainability

Understanding your energy usage

• Data transparency and data

analytics

• Remote control and optimization
• f assets at customer facilities
• Efficiency investment projects –

with and without funding

• Under-writing of projects –

promised savings

• Identify, aggregate and market

flexibility embedded in:

• On-site generation assets
• Energy-consuming equipment
• Storage systems
• On-site supply of heat, steam,

cooling and pressurized air from:

• CHPs/CHCPs (0.25-10 MW)
• Gas-turbines (1-200 MW)
• Heat pumps, boilers, PV
• Design, installation, financing
• Remote operation & maintenance

= 20-25% savings

• Site assessments

Security of supply and long term savings £30-40k per MwH

• Develop holistic energy concepts
• Implement integrated solutions

Design, build, fund, control, operate, and maintain energy assets at customers’ facilities.

Energy Efficiency within the B2B environment

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60w T8 fluorescent tube 25 W LED tube

Up to 60%

400W High Bay Luminaire 180W LED High Bay

Up to 60%

96W Fluorescent Recessed Luminaire 40W LED panel

Up to 60%

LED Replacements: Large savings can now be made across all commercial/industrial product types

Source: Carbon Trust, 2011

Typical commercial luminaires Typical LED replacements Expect to save an extra 30-50% (on top of LED savings) with lighting controls (e.g. dimming)

• Gas Engines
• Gas / steam turbines
• Boilers
• PV
• Chillers
• BEMS
• Lighting systems
• HVAC systems
• Compressors
• Electrical motors
• Air handling units
• …

Energy assets ECT levers

Optimising energy-consuming and energy-generating assets that are installed at your facilities.

Retail stores Office buildings Data centers Production facilities Hospitals

Operating efficiency Strategic focus Cost efficiency Technical efficiency Capital efficiency

Customer facilities (Examples)

Distribution centers

On-site generation

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Flexibility Sources Control and Aggregation Accessible Value Pools

 On site generation (e.g. CHP, diesel generators, wind, PV)  Controllable loads (e.g. industrial processes, HVAC, pumps)  Energy storage (e.g. heat & cold storage, compressed gas, batteries)

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 Flexibility sources controlled by a central control system in which aggregate operation is optimized to access value pools  Selling energy and/or capacity in wholesale energy markets  Providing reserve and balancing services to TNOs/DNOs/Retailers/ Generators  Helping TNOs/DNOs to avoid

• r delay infrastructure

investment

Demand Side Response Introduction Three elements combine to create a Virtual Power Plant

What next?

 Batteries & storage  Vehicle charging points  Solar back on the agenda…..  Fuel cells  Next phase of LED lighting  ……….

Financing and underwriting

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General Business Model Across EE, OSG/EEP and Flexibility Historical energy cost Projected energy cost Customer share of savings £ Time Contract duration E.ON share of cost savings

We reduce cost and take a share of the savings generated to fund the design, installation and operation of our solution

 Customer benefits from guaranteed savings levels  Customer does not need to fund energy conservation measures  Customer incurs OPEX only if E.ON achieves promised savings  E.ON analyses savings potential and designs energy conservation measures  E.ON implements energy conservation measures and provides funding  E.ON guarantees customer a minimum savings level  E.ON takes initial share of savings achieved  E.ON may participate in upside above guarantee level

E.ON Energy Solutions at a glance

 E.ON Connecting Energies (ECT) established in July 2012  Matrix Solutions acquired in 2013  Other solutions/companies acquired throughout 2014 &

• 2015. Will be in an acquisitional stage in 2016

 Over €300 million annual sales and more that 400 MW

• f Assets under Management

 More than 750 employees  15 offices across Germany, UK, Italy, France, Sweden Belgium and Russia  Serving B2B and public-sector customers

International provider of energy as a managed service and solution

1 I.e. cash income from customer projects accounted for as finance leases under IAS.

Newham

What customers does E.ON Energy Solutions serve?

Manufacturing TMT FMCG Chemicals Financial services Healthcare Retailing Public sector

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Why partner with E.ON Energy Solutions?

• Fully-integrated managed

energy service provider

• Technology-agnostic &

vendor-independent

• “SMART” – IT-based &

data analytics led solutions

• Guaranteed results for

the customer & fully E.ON funded

• International footprint

and delivery capabilities

• Reliable partner with

substantial track record

• Full Key Account

Management - fully managed with one point of contact throughout process

For further information contact;

Sian Magee, Key Account Manager, Energy Solutions sian.magee@eonenergy.com - +44 (0) 7809 585456

• r

Martyn Sheridan, Sales Manager, Energy Solutions martyn.sheridan@eonenergy.com +44(0) 7772 03301