2017 Corporate Energy Consumption and Activities …...The 2017 Corporate Energy Consumption and...

london.ca

August 2018

2017 Corporate Energy Consumption and Activities Report City of London

Contents 1. Background ........................................................................................................................................ 1

2. Corporate Energy Consumption Overview ......................................................................................... 1

2.1 Methods of Measurement ............................................................................................................ 3

2.2 Limitations of Measurement ......................................................................................................... 3

3. Conservation and Demand Management (CDM) Goal Update .......................................................... 3

4. Corporate Energy Annual Summary .................................................................................................. 5

4.1 Total Corporate Energy Consumption .......................................................................................... 5

4.1.1 Energy Consumption by Commodity ..................................................................................... 5

4.1.2 Energy Consumption by Municipal Service Categories ......................................................... 7

4.1.3 Total Corporate Energy Consumption Per Capita by Municipal Service Categories ............. 9

4.1.4 Total Corporate Energy Consumption Summary ................................................................. 10

4.2 Total Corporate Energy Costs .................................................................................................... 10

4.2.1 Energy Costs by Commodity ............................................................................................... 10

4.2.2 Energy Costs by Municipal Service Categories ................................................................... 12

4.2.3 Energy Costs Per Capita ..................................................................................................... 14

4.2.4 Total Corporate Energy Costs Summary ............................................................................. 15

5. Corporate Energy Cost Avoidance ................................................................................................... 16

6. Corporate Energy-related Greenhouse Gas Emissions ................................................................... 17

6.1 Total Corporate Greenhouse Gas Emissions............................................................................. 17

6.2 Total Corporate Greenhouse Gas Emissions by Municipal Service Categories......................... 18

6.3 Non Energy-related Greenhouse Gas Emissions ...................................................................... 20

6.4 Total Corporate Greenhouse Gas Emissions by Employee Travel ............................................ 22

7. 2017 Corporate Energy Management Activities ............................................................................... 23

7.1 Funding and incentive sources .................................................................................................. 23

7.2 Current Activities ........................................................................................................................ 23

8. Tracking & Monitoring Energy Consumption .................................................................................... 23

8.1 Renewable Energy Projects ....................................................................................................... 24

8.1.1 Landfill Gas as a Potential Resource................................................................................... 24

8.1.2 FOG Cup Waste to Resource at Greenway WWTP ............................................................ 25

8.1.3 Bioenergy ............................................................................................................................ 25

8.2 Energy Conservation and Demand Management Projects ........................................................ 26

8.2.1 Upgrading HVAC units ........................................................................................................ 26

8.2.2 Laser Ice Level System ....................................................................................................... 27

8.2.3 Lighting Upgrades ............................................................................................................... 27

8.2.4 Southeast Reservoir Pumping Station ................................................................................. 28

8.2.5 Wastewater Treatment Energy Projects .............................................................................. 28

8.3 Green Fleet ................................................................................................................................ 28

9. Summary and Next Steps ................................................................................................................ 30

10. Appendix ‘A’ - 2017 Energy Conservation Projects .......................................................................... 31

11. Appendix ‘B’ - Incentive Funding Chart ............................................................................................ 34

City of London 1

1. Background

London’s Corporate Energy Conservation and Demand Management (CDM) Plan was approved by Council in July 2014. The scope of the CDM Plan covers all forms of energy used by the Corporation of the City of London (referred to as “the Corporation” or “the City” within this document). The CDM Plan established a goal to reduce total corporate energy use by ten percent from 2014 levels by 2020. In August 2011, the provincial government introduced Ontario Regulation 397/11 under the Green Energy Act, which requires municipalities, municipal service boards, schools boards, universities, colleges and hospitals to report on facility energy consumption and associated greenhouse gas (GHG) emissions annually beginning in 2013 and develop Conservation and Demand Management (CDM) plans starting 2014. The scope of the emissions mandatory reporting was limited to those facilities that:

are heated or cooled and the public agency is responsible for paying the utility bills; or

are related to the treatment or pumping of water or sewage and the public agency is responsible for paying the utility bills.

The Ontario Regulation 397/11 reporting requirement does not include significant corporate energy users such as street lighting and corporate fleet fuel use, nor other needs such as sports field lighting. However, these energy needs are included within the scope of this Corporate Energy Consumption and Activities Report as it is imperative that all energy uses and impacts within the Corporation’s control are continuously examined for reduction opportunities. The current report is a follow up to both the 2016 Corporate Energy Consumption Report and 2016 Corporate Energy Management Activities Report. The total energy consumption in 2017 is compared with two baseline periods, 2007 and 2014. The tracking and monitoring of the Corporation’s utility data started in 2007 through the use of EnergyCap software, and 2014 is the baseline year for the CDM Plan submitted to the Province. Similar to the 2016 report, this information does not include energy use by London’s agencies, boards and commissions. Energy use by these agencies is handled by these individual organizations and City staff provides assistance when requested. For this report, information on 2017 energy management activities have been merged within the 2017 energy consumption data, as most of the activities or projects described in 2016 Corporate Energy Management Activities report are in progress or are due to be completed this year. Any new projects undertaken in 2017, updates to the existing projects and highlights are provided in Section 7 of this report.

2. Corporate Energy Consumption Overview

The 2017 Corporate Energy Consumption and Activities Report provides a summary of the Corporation’s 2017 annual energy consumption, GHG emissions and highlights of 2017 energy projects for all operations. The document summarizes all significant energy costs associated with the Corporation’s operations. In addition to the report requirements mandated by the Green Energy Act and Ontario Regulation 397/11, information on all energy-consuming infrastructure (e.g., street lighting, sports fields) as well as fleet fuel has been included to provide a complete picture of energy needs for municipal operations. Report highlights include:

City of London 2

The Corporation consumed approximately 171 million “equivalent” kilowatt-hours (ekWh) of energy in 2017, a decrease of ten percent from 2014. This meets the CDM Plan goal of ten percent reduction by 2020 compared to 2014 baseline year. This is two years ahead of the CDM Plan’s goal. o Over the longer term, total energy use is 14% lower than it was in 2007.

Total energy cost in 2017 decreased by $1.6 million compared to 2016 to almost $19 million, with the decrease primarily due to dropping electricity prices in the province. The electricity cost for the Corporation has decreased for the first time in the last five years. These reductions flow from the provincial government’s Fair Hydro Plan released in July 2017 and savings associated with the eight percent Ontario Rebate for Electricity Consumers Act effective January 1st, 2017.

o Total electricity costs for the Corporation decreased by 9% compared to 2016. o The total electricity usage has reduced by 4% since 2014 and energy costs would have been $2.6

million higher in 2017 if the energy efficiencies noted above were not in place. o In 2017, the Corporation spent approximately $4.8 million in capital investments related to energy–

efficiency projects. These investments create energy savings every year over the life of the investment.

Energy cost per person was $49 in 2017. Dividing the Corporation’s total energy cost by London’s population provides an indication of the relative contribution of energy costs associated with service delivery. Energy cost per person has also been decreased for the first time in the last five years. From 2016 to 2017, it decreased to $49 from $54 (8 percent decrease). Therefore, sustainable energy reductions become more important each year as the costs fluctuate year over year.

In terms of service delivery to Londoners, corporate energy use per person dropped by 21 percent from 2007 levels. This reduction can be attributed to recent energy conservation measures and facility upgrades:

o Wastewater treatment energy use per person has decreased by 27% o Building energy use per person has decreased by 19% o Streetlights energy use per person decreased by 21% o Vehicle fleet energy use per person decreased by 9%

Energy-related greenhouse gas emissions in 2017 were 64 percent lower than 2007. The Corporation’s improvement in energy efficiency accounts for about 25 percent of this reduction. In particular, the new centrifugal sludge dewatering system at the Greenway Wastewater Treatment Plant’s sludge incinerator, installed in 2014-2015, resulted in a significant reduction in natural gas at that facility. The remaining 75 percent of the reduction comes from Ontario’s actions to replace coal-fired power plants with cleaner forms of power generation. Over 90 percent of Ontario’s electricity is now generated from emissions-free sources, such as nuclear, hydro-electric generating stations, wind and solar. In 2017, every 1,000 kilowatt-hours of electricity generated in Ontario produced about 20 kilograms of carbon dioxide emissions. This is significantly better than it was in 2007, when 1,000 kilowatt-hours of electricity produced around 240 kilograms of carbon dioxide emissions.

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2.1 Methods of Measurement

The Corporation procured EnergyCap software in 2007 to log monthly utility bills for municipally-owned and administered buildings and facilities. This software has the capability to track, monitor and capture data to assist the Corporation with reporting consumption and providing historical data. EnergyCap tracks data in the following municipal service categories: Buildings; Traffic Signals & Streetlights; Wastewater & Treatment and Water Pumping. Fleet data is provided from its software system PetroVend which is used for tracking vehicle fuelling at operation centers.

2.2 Limitations of Measurement

The annual energy consumption and greenhouse gas emissions for the Corporation does not include energy consumed in leased office space where the utility costs are incorporated in the leasing agreements.

3. Conservation and Demand Management (CDM) Goal Update

The introduction of the CDM Plan provided the Corporation with an opportunity to review its energy management program initiatives and proposed energy targets. The CDM Plan was developed according to Ministry of Energy’s direction to provide the Corporation’s annual energy consumption information to the public and set goals and actions for conserving energy and reducing GHG emissions from 2014 to 2020.

A series of past energy activities, programs, utility consumption and documents were analyzed to understand the Corporation’s standing in energy management and to set a CDM target. The approach was to set a target achievable by continuing to implement short term initiatives, adopt energy conservation resources into existing capital investments already assigned, explore incentive opportunities towards energy project initiatives, review long term initiatives that have significant impacts on energy consumption and GHG emissions, and deepen the culture of conservation within the Corporation’s operations.

The Corporation’s CDM goal is to achieve a ten percent reduction in overall annual energy by 2020. The baseline year is 2014. Tied to this goal are:

A total energy use reduction of 30 million ekWh below 2020 Business-As-Usual (BAU) projections.

A 15% (76 ekWh/person) improvement in energy efficiency based on the projected population in 2020.

A total GHG emission reduction of 3,900 tonnes per year below 2020 BAU projections.

An energy cost avoidance of $4 million below 2020 BAU projections.

In order to achieve this goal of a ten percent reduction by 2020, 35 technical and non-technical actions were prioritized to contribute to overall reductions. All actions were identified under four prescribed categories as follows:

Tracking and Monitoring Measures

Technical Measures

Organizational Measures

Behavioral Measures

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Identified in Table 1 is the Corporation’s progress towards the CDM goals. Table 1 - CDM Plan Target Tracking

2014

Baseline

2020

Business-As-

Usual (BAU)

Projection

2020

Reduction

Target

Progress

as of end

of 2017

Notes

Primary CDM Plan Goal

Reduction in

total energy

use from 2014

baseline

- Up by 4.5% Down by 10% Down by

10%

The Corporation has achieved its

percentage based target two years

ahead.

Secondary Goals (as stated in the CDM Plan)

Influenced by City’s actions

Total Energy

use (million

ekWh)

191.5 200.1 170.1

(30 million

ekWh reduced

compared to

2020 BAU)

171.8 A reduction of 28.3 million ekWh in

2017 compared to 2020 BAU (on

track).

Energy

Performance

(ekWh/person)

511 508 432

(76 ekWh

reduced

compared to

2020 BAU)

444 Reduction of 64 ekWh/person in

2017 to 2020 BAU (on track).

Overall 13% improvement in energy

efficiency compared to 2014 baseline

year.

Influenced by external factors

Energy-

related GHG

emissions

(tonnes)

26,000 28,400 24,500

(3,900 tonnes

reduced

compared to

2020 BAU)

16,200 GHG reduction has exceeded the

CDM Plan target.

75% of this reduction is due to

Ontario electricity grid going green

(see section 6 of this report)

Total Energy

Costs

(millions)

$18.75 $26.70 $22.70

($4 million in

energy cost

avoidance to

2020 BAU)

$19 2017 cost are $7.6 million below

2020 BAU projection.

The 2020 BAU projections have not

been adjusted to reflect the

fluctuations in fuel and electricity

prices

Even though electricity price per

kWh has been lowered by the

Government of Ontario in 2017, it is

still five percent higher than 2014.

However, electricity consumption

reduced steadily by four percent over

that period.

Energy costs would be significantly

higher without the implementation of

efficiency measures.

City of London 5

Overall, the Corporation’s performance in 2017 is on track with the CDM goal. A complete list of corporate energy activities are provided in Section 7 of this report. An update of all actions (completed in the last five years) contributing to the CDM target will be provided in detail as part of next year’s Corporate Energy reporting.

4. Corporate Energy Annual Summary

In 2017, the Corporation’s energy use is categorized by consumption and the total cost of annual energy procured by commodity. Currently the Corporation is capable of tracking annual electricity, natural gas, steam, chilled water, diesel and gasoline consumptions and costs. This allows the Corporation to show the variances in costs associated with consumption.

The Corporation has averaged the 2017 energy consumptions and cost data in comparison to London’s population. This allows the Corporation to demonstrate and relay to Londoners the energy consumed in relationship to service delivery provided by the Corporation.

As noted in section 1, total energy consumption in 2017 is compared with two reporting periods, 2007 and 2014. The tracking and monitoring of utility data was made possible in 2007 through EnergyCAP software and is used here for comparison, and 2014 is the baseline year for the CDM Plan.

4.1 Total Corporate Energy Consumption

With the use of the EnergyCAP software, the Corporation has ability to breakdown and report annual energy consumption by the commodity and by municipal service category.

4.1.1 Energy Consumption by Commodity

Table 2 – Consumption by Commodity Comparison 2014 – 2017 (CDM baseline tracking)

Energy Consumption (ekWh) 2014 2017 Variance % Change

Electricity 107,580,000 103,584,000 (3,996,000) -4%

Natural Gas 47,337,000 37,482,000 (9,855,000) -21%

Steam 5,756,000 2,767,000 (2,989,000) -52%

Chilled Water 1,091,000 1,356,000 265,000 24%

Diesel Fuel 22,500,000 20,083,000 (2,417,000) -11%

Gasoline 7,250,000 6,500,000 (750,000) -10%

Total 191,514,000 171,772,000 (19,742,000) -10%

In comparison to 2014, the Corporation’s total energy consumption and percentage of usage by commodity has shown a ten percent reduction in 2017 as shown in Table 2. It is important to note that there was a significant decrease in steam usage in this period, as the Colborne Building was idled and in first six months of 2017 there was a drop in steam usage measurement associated with a meter issue at the J. Allen Taylor building.

City of London 6

Figure 1 – Total Energy Consumption by Commodity

Figure 1 is a representation of energy consumption (ekWh) for the overall commodity usage since 2007. The commodity consumption trend indicates that consumption remained relatively unchanged for the Corporation until 2012. In 2012, the Corporation reduced consumptions across all commodities. Further from 2012 to 2017, there is an eight percent decrease in total consumption. Since 2007, London’s population has increased by about nine percent, which means that corporate energy efficiency (in terms of energy used per person in London) improved by 22 percent over the ten year period. Compared to the CDM baseline year 2014, the results indicate an overall 13 percent improvement in energy efficiency. It is also important to note that differences in annual weather conditions will impact energy needs, as this will impact building air conditioning and space heating needs as well as pumping and treatment requirements for water supply and wastewater. In 2014, the natural gas and steam consumption were high due to extreme cold winter that year (i.e., the “Polar Vortex”). In comparison, 2017 was close to average temperatures throughout the year, which resulted in relatively lower natural gas, steam use and chilled water usage. In Table 3, energy consumption by commodity are compared to 2007 values, along with the percentage of changes.

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Table 3 – Energy Consumption by Commodity 2007-2017


Electricity 108,328,000 103,584,000 (4,744,000) -4%

Natural Gas 58,682,000 37,482,000 (21,200,000) -36%

Steam 3,499,000 2,767,000 (732,000) -21%

Chilled Water 1,759,000 1,356,000 (403,000) -23%

Diesel Fuel 20,129,000 20,083,000 (46,000) -0.2%

Gasoline 6,718,000 6,500,000 (218,000) -3%

Total 199,115,000 171,772,000 (27,343,000) -14%

Table 3 illustrates that all the commodities have decreased steadily in 2017 resulting in 14 percent reduction overall compared to 2007. As noted previously, the energy efficiency projects that the Corporation is undertaking and a close to average weather conditions in 2017 have contributed to overall energy reduction in 2017. There is a reduction in gasoline and diesel for the first time in last ten years. This shows that fleet fuel conservation initiatives, along with 2017 weather conditions and better driving behaviour, are helping in fuel efficiency.

In summary:

Electricity represents the majority of the Corporation’s energy consumption, accounting for 60% of overall needs.

Natural gas consumption accounts for 22% overall energy needs.

Diesel remains the most prominent fuel used within the Corporation’s vehicle fleet, given the large number of heavy-duty vehicles in operation. The total fleet units also tend to increase year over year with London’s expansion.

4.1.2 Energy Consumption by Municipal Service Categories

Table 4 – Consumption by Municipal Service Categories Comparison 2014 – 2017 (CDM baseline tracking)


Buildings 75,238,000 64,264,000 (10,974,000) -15%

Traffic Signals & Streetlights 26,101,000 21,182,000 (4,919,000) -19%

Wastewater & Treatment 52,831,000 52,041,000 (790,000) -1%

Water Pumping 7,600,000 7,702,000 102,000 1%

Vehicle Fleet 29,750,000 26,583,000 (3,167,000) -11%

Total 191,520,000 171,772,000 (19,748,000) -10%

Figure 2

City of London 8

Table 4 shows the Corporation’s total energy consumption by municipal service categories in 2017 compared to the CDM Plan’s baseline year of 2014. By separating the municipal service categories, this gives the Corporation the ability to see areas where progress is being made and the opportunity to target areas for future improvements. From table four we can see that most of the energy reductions are contributed by changing the streetlights to energy efficient LEDs. Figure 3 – Total Energy Consumption by Municipal Service Categories

Figure 3 represents the overall energy consumption (ekWh) by the municipal service categories since 2007.

In Table 5 below, further detailed energy consumption by municipal service categories in comparison to 2007 values is shown, along with the percentage of change. Table 5 – Energy Consumption by Municipal Service Categories 2007 – 2017


Buildings 73,225,000 64,264,000 (8,961,000) -12%

Traffic Signals & Streetlights 24,762,000 21,182,000 (3,580,000) -14%

Wastewater & Treatment 65,594,000 52,041,000 (13,553,000) -21%

Water Pumping 8,687,000 7,702,000 (985,000) -11%

Vehicle Fleet 26,847,000 26,583,000 (264,000) -1%

Total 199,115,000 171,772,000 (27,343,000) -14%

In terms of municipal service categories, there has been significant reduction in energy use within wastewater and treatment prior to 2014. Process retrofit actions undertaken by Wastewater Treatment

City of London 9

Operations, which include the sludge dewatering at the Greenway Wastewater Treatment Plant, helped Greenway to reduce its natural gas consumption by 37 percent. Water Supply has also made improvements to water pumping infrastructure. The impact of building retrofits undertaken by Facilities is also evident. In summary:

Buildings (37%) and wastewater & treatment (30%) hold the highest percentage of demand for energy consumption for the Corporation.

Combined, Vehicle fleet (16%) and traffic signals & streetlights (12%) result in about one third of energy consumptions.

Water pumping (5%) remains the lowest end user contributor in energy consumption demand for the Corporation.

4.1.3 Total Corporate Energy Consumption Per Capita by Municipal Service Categories

The Corporation’s energy consumption is a direct function of serving the public, businesses and visitors to London. The trends in consumption reported is significant to the services provided to the community. London continues to grow in population and increased services are required to support that growth. It is important to capture energy usage per capita to demonstrate the Corporation’s achievements in energy reductions while continued growth occurs in London.

Table 6 – Energy Consumption Per Capita 2014 – 2017 (CDM baseline tracking)

Energy Consumption (ekWh)

by Municipal Service

Categories

2014

2017

Change from 2014

Variance % Change

Buildings 201 166 (35) -17%

Traffic Signals & Streetlights 70 55 (15) -21%

Wastewater & Treatment 141 134 (6) -5%

Water Pumping 20 19 (1) -2%

Vehicle Fleet 79 69 (11) -13%

London's Population 375,000 387,000 12,000 3%

Energy Use (ekWh) per person 511 444 (67) -13%

In 2017, the Corporation improved energy efficiency by over 13 percent illustrated in Table 6 above. Decreases in commodity use suggests that corporate initiatives and programs currently in place to reduce consumption act as a counterbalance to the additional increases of demand for energy due to London’s growth. London’s population increased by three percent in 2017 from 2014, while corporate energy use per person decreased by 13 ten percent from 2014.

Figure 4

City of London 10

Table 7 – Energy Consumption Per Capita 2007 – 2017

Energy Consumption (ekWh)

by Municipal Service

Categories

2007

2017

Change since 2007

Variance % Change

Buildings 206 166 (40) -19%

Traffic Signals & Streetlights 70 55 (15) -22%

Wastewater & Treatment 185 134 (50) -27%

Water Pumping 24 20 (4) -19%

Vehicle Fleet 76 69 (7) -9%

London's Population 355,000 387,000 32,000 9%

Energy Use (ekWh) per person 561 444 (117) -21%

Table 7 above indicates the corporate energy consumption per capita by municipal service categories in comparison to 2007. London’s population has grown by almost nine percent (32,000 people) since 2007. Ten years of data shows continued improvement of corporate energy use per capita with an overall reduction of 21 percent in 2017 compared to 2007.

4.1.4 Total Corporate Energy Consumption Summary

Overall, the Corporation reduced its energy consumption by 14 percent from 2007 levels. This reduction suggests that corporate initiatives currently in place to decrease consumption on existing and new infrastructure act as a counterbalance to the additional increases of demand for energy due to London’s growth.

4.2 Total Corporate Energy Costs

With the use of the EnergyCAP software, the Corporation has the ability to breakdown and report annual energy costs by the commodity and by municipal service category.

In 2017 the Corporation (not including Agencies, Boards & Commissions) spent approximately $19,110,000 on energy. This represents about three percent of the Corporation’s operating budget for 2017.

4.2.1 Energy Costs by Commodity

Table 8 – Energy Costs by Commodity Comparison 2014 – 2017

Energy Cost by Commodity 2014 2017

Change Since 2014

Variance % Change

Electricity $ 13,801,000 $ 15,446,000 $1,645,000 12%

Natural Gas $ 1,277,000 $ 1,023,000 $(254,000) -20%

Steam $ 470,000 $ 180,000 $(290,000) -62%

Chilled Water $ 190,000 $ 203,000 $ 13,000 7%

Diesel Fuel $ 2,190,000 $ 1,615,000 $(575,000) -26%

Gasoline $ 826,000 $ 642,000 $(184,000) -22%

Total $ 18,754,000 $ 19,109,000 $ 355,000 2%

In 2017, the Corporation’s energy cost by commodity results indicate an approximate increase by two percent from 2014 as illustrated in Table 8. The provincial government reduced the price of electricity in

City of London 11

2017, but the price per kWh is still five percent higher than 2014. Electricity costs in total have risen by 12 percent in 2017 compared to 2014, even though total electrical consumption dropped by four percent during the same period.

Figure 5 – Total Energy Costs by Commodity

The total energy cost by commodity illustrated in Figure 5 is a representation of the energy overall cost by commodity per year since 2007. The cost by commodity trend indicates the costs for energy continue to rise for the Corporation year over year, but in 2017 the total commodity costs decreased by seven percent compared to 2016. Average electricity price per unit (kWh) has reduced by five percent in 2017, which resulted in a nine percent and eighteen percent decrease in total electricity and chilled water costs compared to 2016. This is in part due to lowering of electricity cost by the provincial government in 2017, combined with energy conservation activities. Details of cost variations are given in Section 4.2.4 (Total Corporate Energy Costs Summary) of this report.

In Table 9, further detailed energy consumption by commodity to 2007 values are shown, along with the percentage of changes.

Table 9 – Energy Costs by Commodity 2007 – 2017

Energy Cost by Commodity 2007 2017

Change Since 2007

Variance % Change

Electricity $ 9,289,000 $ 15,446,000 $ 6,157,000 66%

Natural Gas $ 2,350,000 $ 1,023,000 $ (1,327,000) -56%

Steam $ 273,000 $ 180,000 $ (93,000) -34%

Chilled Water $ 251,000 $ 203,000 $ (48,000) -19%

Diesel Fuel $ 1,518,000 $ 1,615,000 $ 97,000 6%

Gasoline $ 664,000 $ 642,000 $ (22,000) -3%

Total $ 14,345,000 $ 19,109,000 $ 4,764,000 33%

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Over this longer period (Table 9), the dramatic changes in corporate energy costs are evident:

Reduced natural gas costs due to the combination of lower use and lower natural gas prices

Increased electricity costs driven solely by electricity prices, since corporate electricity use has actually dropped by 4%

Given that electricity is the biggest source of energy the Corporation uses, the total combined costs are noticeably higher today (by 33 percent) compared to 2007. In summary:

Electricity represents the majority of the Corporation’s energy costs, accounting for 81% in 2017.

Natural gas consumption accounts for 5% of overall energy costs in 2017.

Diesel is the largest fuel type used within the City’s vehicle fleet, given the large number of heavy-duty vehicles the Corporation operates.

4.2.2 Energy Costs by Municipal Service Categories

Though there was an increase in electricity costs compared to 2014 as noted in Table 8, the decrease in natural gas and diesel fuel costs by 20 percent and 26 percent resulted in overall energy cost increase of only two percent in 2017 (Table 10). This would be even higher if there was no change in diesel costs and consumption. Diesel and gasoline market prices have been fluctuating dramatically since 2015. They had dropped to the lowest level in 2015 compared to last nine years and the prices have increased back in 2017. A continuous effort by the Corporation to move to increasing fleet efficiency is resulting in balancing the vehicle fleet costs.

Table 10 – Energy Costs by Municipal Service Categories Comparison 2014 – 2017

Energy Cost by Municipal Service

Categories 2014 2017

Change since 2014

Variance % Change

Buildings $ 5,364,000 $5,531,000 $ 167,000 3%

Traffic Signals & Streetlights $ 3,961,000 $3,935,000 $ (26,000) -1%

Wastewater & Treatment $ 5,521,000 $6,287,000 $ 766,000 14%

Water Pumping $ 892,000 $1,100,000 $ 208,000 23%

Vehicle Fleet $ 3,016,000 $2,257,000 $(759,000) -25%

Total $ 18,754,000 $19,110,000 $ 356,000 2%

Figure 7 is a representation of the energy overall cost by municipal service categories per year since 2007.

Figure 6

City of London 13

Figure 7 – Total Energy Cost by Municipal Service Categories

The trend in cost by municipal service categories indicate that there is a steady increase in energy costs since 2011. Fleet fuel costs are largely a factor of global prices for transportation fuels, which has seen significant price volatility in the last couple of years. In Table 11, further detailed energy costs by municipal service categories in comparison to 2007 values is shown, along with the percentage of changes. Table 11 – Energy Costs by Municipal Service Categories 2007 – 2017

Energy Cost by Municipal Service

Categories 2007 2017

Change since 2007

Variance % Change

Buildings $ 5,079,000 $ 5,531,000 $ 452,000 9%

Traffic Signals & Streetlights $ 1,878,000 $ 3,935,000 $ 2,057,000 110%

Wastewater & Treatment $ 4,471,000 $ 6,287,000 $ 1,816,000 41%

Water Pumping $ 734,000 $ 1,100,000 $ 366,000 50%

Vehicle Fleet $ 2,182,000 $ 2,257,000 $ 75000 3%

Total $ 14,344,000 $ 19,110,000 $ 4,766,000 33%

Those municipal service categories that rely on electricity have seen the highest increases in costs:

Increased water pumping and wastewater treatment energy costs by 41% and 50% compared to 2007.

Increased traffic signals & streetlight costs by 110% compared to 2007.

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However, energy efficiency projects have helped to reduce the impact of electricity price increases:

Water pumping have reduced the energy cost and usage by 10% in 2017 compared to 2016.

Wastewater & treatment have reduced the energy cost and usage by 5% in 2017 compared to 2016.

Traffic signals & streetlights have reduced the energy cost and usage by 15% in 2017 compared to 2016.

In summary:

Wastewater & treatment represents majority of the Corporation’s energy cost by service area, accounting to 33% in 2017.

Buildings continue to be the second highest in overall end user energy costs at 29%.

Street lighting & traffic signals are the third highest contributor in energy consumed by end user at 20%.

4.2.3 Energy Costs Per Capita

The operation, maintenance and services provided by the Corporation contribute to the overall corporate energy costs associated with serving the public, businesses and visitors of London.

Table 12 – Energy Costs Per Capita 2014 – 2017

Energy Costs by Municipal

Service Categories Change from 2014

2014 2017 Variance % Change

Buildings $ 14.30 $ 14.30 $ (0) 0%

Traffic Signals & Streetlights $ 10.60 $ 10.20 $ (0.40) -4%

Wastewater & Treatment $ 14.70 $ 16.20 $ 1.50 10%

Water Pumping $ 2.40 $ 2.80 $ 0.50 19%

Fleet $ 8.00 $ 5.80 $ (2.20) -27%

Energy costs per person $ 50 $ 49 $ (1) -1%

Total energy costs for the City $ 18,754,000 $ 19,110,000 $ 6,000 2%

London's Population 375,000 387,000 12,000 3.2%

Table 12 reflects the corporate energy costs per capita by municipal service categories for the Corporation. The total energy costs for the Corporation has increased by two percent, but given that energy use was actually ten percent lower in 2017 versus 2014, this shows that corporate energy initiatives are helping to reduce the impact of rising electricity prices. The City of London’s population has increased by three percent from 2014 but energy costs are down by two percent per capita.

Figure 8

City of London 15

Table 13 – Energy Costs per Capita by Municipal Service Categories 2007 – 2017

Energy Costs by End User 2007 2017

Change since 2007

Variance % Change

Buildings $ 14.30 $ 14.30 $ (0) 0%

Traffic Signals & Streetlights $ 5.30 $ 10.20 $ 4.90 92%

Wastewater & Treatment $ 12.60 $ 16.20 $ 3.70 29%

Water Pumping $ 2.10 $ 2.80 $ 0.80 37%

Fleet $ 6.10 $ 5.80 $ (0.30) -5%

Energy costs per person $ 40 $ 49 $ 8.97 22%

London's Population 355,000 387,000 32,000 9.0%

London’s population has grown by nine percent (32,000 people) since 2007. Table 13 above indicates the corporate energy costs per capita by municipal service categories in comparison to 2007. Ten years of commodity data shows continued energy cost increases for corporate energy with an overall increase of 22 percent in corporate energy cost per capita from 2007. There has been a 22 percent (Table 13) increase in energy costs in the last ten years, but total energy consumption decreased by 21 percent (Table 7) during the same period. This illustrates that the corporate energy efficiency projects undertaken are compensating the increase in costs which are not completely in the Corporation’s control.

4.2.4 Total Corporate Energy Costs Summary

Non-rate protected price plan (RPP) electricity prices continue to vary significantly month-to-month. A key driver of this volatility is the Global Adjustment (GA) portion of utility bill, which makes up more than 60 percent of the typical electricity bill. The GA portion of the electricity bill pays for the province’s electricity supplier contracts (e.g., natural gas plants, Bruce Power, regulated nuclear, hydroelectric, wind and solar power projects) and conservation activities.

In 2017, the Government of Ontario announced a refinancing plan (Fair Hydro Plan) where some of the GA cost components associated with the supplier contract term length will be paid over longer term (i.e., similar to refinancing a loan with a longer amortization period to reduce monthly loan repayment costs). This change contributed to a nine percent decrease in total electricity costs in 2017 compared to 2016. Approximately 20 percent of 2017 electricity cost reductions come from the various efficiency projects implemented by the Corporation and the remaining 80 percent of the cost reductions in electricity was the result of the three regulatory changes along with summer time weather effects listed below.

In the coming years, barring additional regulatory changes for the electricity market, the current state may extend the short-term relief from the recent jump in electricity prices, but will result in higher overall electricity costs over the longer term due to this longer repayment term. Furthermore, the Debt Retirement Charges on commercial account electricity bills concluded at the end of the first quarter of 2018.

Total corporate energy costs in 2017 leveled off relative to the year over year increases that have occurred over the recent term. As noted above, the leveling off in 2017 can be attributed to a number of factors:

New Class A eligibility rules which allowed for the Greenway Wastewater Treatment Plant’s participation in the Industrial Conservation Initiative, combined with Greenway PCP’s favourable electrical load profile, resulted in a significant reduction in the facility’s exposure to GA costs in the second half of 2017.

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The introduction of both the Ontario Rebate for Electricity Consumers Act, effective January 1, 2017, and the Fair Hydro Plan, effective July 2017.

The moderate summertime temperatures reduced demand for air conditioning. A corresponding weather-related usage pattern was also evident in reduced water usage at spray pads in London’s park system.

The ongoing corporate energy management practices by the Corporation, including cost avoidance measures through procurement, building retrofits, and other conservation measures, assisted in continued efforts to reduce amounts of energy used to help reduce the effect of the market cost increase.

It is prudent for the Corporation to continue to implement a multipronged approach to help contain and/or reduce energy costs. The energy efficiency improvements and cost avoidance measures being implemented serve to insulate the Corporation from the market changes and inflationary costs associated with energy procurement.

5. Corporate Energy Cost Avoidance

In terms of service delivery to Londoners, energy use per person has dropped by 21 percent since 2007 levels. This energy reduction can be attributed to recent energy conservation measures and facility upgrades. Table 14 – Energy Costs Per Capita by Commodity 2007 – 2017

Energy Consumption

(ekWh) by Commodity per

person

2007

2017

Change since 2007 2007 compared to 2016

Avoided Costs

Variance % Change

Electricity 305 268 (37) -12% $ (1,898,000)

Natural Gas 165 97 (68) -41% $ (424,000)

Steam 10 7 (3) -27% $ (49,000)

Chilled Water 5 4 (1) -29% $ (59,000)

Diesel Fuel 57 52 (5) -9% $ (145,000)

Gasoline 19 17 (2) -12% $ (74,000)

Total 561 444 (117) -21% ($2,649,000)

Approximately $2.6 million in energy costs were avoided in 2017 compared to 2007 levels and more than $9.5 million in avoided energy costs have been accumulated since 2007 (Figure 9).

It is to be noted that Business-As-Usual (BAU) projections were developed based on historical consumption and cost numbers and do not reflect fluctuations in fuel and electricity prices that were seen in the 2016 and 2017. The fluctuations in utility or fuel costs per unit are not under Corporations control. Total electricity costs for the Corporation decreased by nine percent in 2017 compared to 2016. This decrease was mainly due to provincial government’s Fair Hydro Plan and eight percent Ontario Rebate for Electricity Consumers Act released in 2017.

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Figure 9 – Avoided Energy Costs (Accumulated)

6. Corporate Energy-related Greenhouse Gas Emissions

In 2017, the Corporation’s energy-related GHG emissions can be summarized by commodity and by municipal service categories. Based on the Corporation’s current use of electricity, natural gas, steam, chilled water, diesel and gasoline consumptions and costs, GHG emissions can be calculated.

The total GHG reflects the municipal operations and can be measured annually back to 2007. This allows the Corporation to show trends in energy-related GHG emissions over the last ten years.

6.1 Total Corporate Greenhouse Gas Emissions

Overall, since 2007 the Corporation has reduced its annual energy-related carbon footprint by 64 percent.

Table 15 – Greenhouse Gas Emissions by Commodity 2007 – 2017

GHG Emissions –

By Commodity (tonnes/year)

2007

2017

Change since 2007

Variance (tonnes) % Change

Electricity 26,000 2070 (22,930) -92%

Natural Gas 10,650 6,840 (3,1800) -36%

Diesel Fuel 5,290 5,190 (100) -2%

Gasoline 1,590 1,540 (50) 3%

Steam 700 390 (310) -44%

Chilled Water 240 140 (100) -42%

Total 44,500 18,000 (26,500) -64%

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Most of the recent progress in reducing energy-related corporate greenhouse gas emissions is due to provincial action to replace coal-power plants with cleaner electricity generation.

The total GHG emissions by commodity, illustrated in Figure 10, is a representation of the GHG emission reductions by commodity since 2007.

Figure 10 – Greenhouse Gas Emissions – By Energy Commodity

6.2 Total Corporate Greenhouse Gas Emissions by Municipal Service Categories

Table 16 represents trends for all municipal service categories for the Corporation since the baseline year of 2007. (It should be noted that the total does not include non-energy related greenhouse gases such as methane in landfill gas and nitrous oxides from sewage sludge incineration. These are discussed in Section 6.3 in more detail.) Table 16 – Greenhouse Gas Emissions by Municipal Service Categories 2007-2017

GHG Emissions – By Municipal

Service Categories (tonnes/year)

2007

2017

Change since 2007

Variance (tonnes) % Change

Buildings 15,200 6,700 (8,500) -56%

Traffic Signals & Streetlights 5,900 400 (5,500) -93%

Wastewater & Treatment 14,400 2,200 (12,200) -85%

Water Pumping 2,100 200 (1,900) -90%

Fleet 6,880 6,730 (150) -2%

Total Corporation 44,500 17,100 (28,300) -64%

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The total GHG emissions by municipal service categories illustrated in Figure 11 below is a representation of the GHG emission reductions by service category since 2007. Figure 11 – Energy Related Greenhouse Gas Emissions by Municipal Service Categories

Overall, since 2007, the Corporation has reduced its annual energy-related carbon footprint by 64 percent (not including landfills). Compared to 2014 CDM baseline year, this has been reduced by 25 percent. This is more than the CDM target. Those municipal service categories powered by electricity have seen the benefits associated with the phase-out of coal-fired power generation. The sludge dewaterer at Greenway WWTP has also contributed significantly to GHG emissions reductions through the reduced use of natural gas. Fleet has seen a reduction of two percent in its GHG emissions for the first time since 2007. This shows that despite of increase in demand on City vehicles for London’s growing population and urban land area, fleet greening efforts in place are helping in making the Fleet operations more energy efficient. Also, as mentioned previously, better driving behaviour and 2017 weather conditions helped in lowering the fuel consumption. The Corporation continues to search for innovative and collective ways to reduce GHG emissions from energy use.

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6.3 Non Energy-related Greenhouse Gas Emissions

The Corporation also has direct control over two major sources of greenhouse gas emissions not associated with energy use:

Methane emissions from the W12A Landfill as well as closed landfills; and

Nitrous oxide (N2O) emissions from the incineration of sewage sludge at the Greenway Wastewater Treatment Plant.

In fact, methane emissions from landfill sites are significantly larger in magnitude than energy-related greenhouse gas emissions. With the installation and ongoing expansion of the landfill gas collection and flaring system at the W12A landfill, the Corporation has made significant reductions in greenhouse gas emissions as seen in Table 17.

Table 17 – Summary of Landfill Gas Flaring at W12A Landfill

Year Methane Flared

(tonnes)

Equivalent CO2

Reduced (tonnes)

Cumulative Methane

Flared (tonnes)

Cumulative CO2e

Reduced (tonnes)

2004 852 21,000 852 21,000

2005 1,975 49,000 2,827 70,000

2006 1,800 45,000 4,627 115,000

2007 1,441 36,000 6,068 151,000

2008 1,845 46,000 7,914 197,000

2009 2,282 57,000 10,196 254,000

2010 2,324 58,000 12,520 312,000

2011 2,658 66,000 15,177 378,000

2012 3,237 81,000 18,415 459,000

2013 4,516 113,000 22,931 572,000

2014 4,165 104,000 27,096 676,000

2015 4,299 107,000 31,395 783,000

2016 5,989 149,700 37,384 932,700

2017 6,380 159,500 43,764 1,092,200

As a result of London having joined the Compact of Mayors in 2015, nitrous oxide (N2O) emissions from sewage treatment is now included within London’s energy and GHG emissions inventory as per the Global Protocol for Community-Scale GHG Emission Inventories. Nitrous oxide, a potent greenhouse gas with 310 times the global warming potential of carbon dioxide, is a combustion by-product from the incineration of sewage sludge and its formation is influenced by incinerator operating conditions (i.e., combustion temperature). Since 2008, annual stack testing at the Greenway Wastewater Treatment Plant sludge incinerator has included the measurement to nitrous oxide alongside other air pollutants. Table 18 summarizes the nitrous oxide stack test results.

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Table 18: Summary of 2008 – 2017 Stack Test Results for N2O Emissions from the Greenway WWTP Sewage Sludge Incinerator

Year N2O emissions Sewage sludge

burn rate

during stack

testing

(tonnes/h)

Estimated

CO2e emissions

per tonne

sludge

Measured

average

emissions

g/s

Measured

average

emissions

kg/h

Estimated

annual

emissions

tonnes/y

Estimated

annual

CO2e

tonnes/y

2008 0.1 0.4 4 1,200 10.4 0.01

2009 1.1 3.9 34 10,700 9.5 0.13

2010 1.1 3.9 34 10,600 9.9 0.12

2011 1.2 4.4 39 12,000 9.0 0.15

2012 1.0 3.5 31 9,600 10.6 0.10

2013 0.2 0.6 5 1,700 no data

2014 1.1 4.1 36 11,000 7.3 0.17

2015 1.0 3.7 32 10,000 7.2 0.16

2016 0.3 1.1 9 2,900 6.8 0.05

2017 2.4 8.6 65 20,200 6.4 0.41

As can be seen from the table above, measured emissions of nitrous oxide can vary from year to year. As Environment and Climate Change Canada has reduced the reporting threshold for facility emissions to 10,000 tonnes per year of carbon dioxide equivalent emissions for the 2017 reporting year, the Greenway WWTP is now required to report its emissions.

Figure 12 – Non-Energy Related Greenhouse Gas Emissions by Municipal Source

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6.4 Total Corporate Greenhouse Gas Emissions by Employee Travel

New for this report, City staff have started to estimate the GHG emissions impact associated with employees commuting to work as well as work-related travel. These types of GHG emissions indirectly-induced by an organization are referred to as “Scope 3” GHG emissions, with Scope 1 being GHG emissions directly from corporate activities and Scope 2 being GHG emissions from the generation of electricity used in corporate activities:

Scope 3: Other indirect emissions, such as the extraction and production of purchased materials and fuels, transport-related activities in vehicles not owned or controlled by the reporting entity, electricity-related activities (e.g. transmission & distribution losses) not covered in Scope 2, outsourced activities, waste disposal, etc.

GHG emissions have been estimated for the following:

Car allowance reimbursements – based on 2017 reimbursement expenditures from Finance, a $0.50/km mileage reimbursement rate, and an assumed 10L/100km average passenger vehicle fuel economy;

Corporate travel – based on 2017 total travel and convention expenditures from Finance, an assumption of one-third of these costs being air travel costs, published data an average airfare cost per kilometre travelled, and published air travel GHG emissions per passenger-kilometre travelled; and

Employee commuting – based on the 2014 City of London Mobility Survey results, average commuting distance based on employee home postal codes, and an assumed 10L/100km average passenger vehicle fuel economy.

Table 18 summarizes the estimated employee travel GHG emissions.

Table 18: Summary of 2017 Employee Travel GHG Emissions

Activity Cost Estimated fuel use

(L/year)

Estimated GHG

Emissions (tonnes CO2e )

Car allowance $255,000 51,000 110

Air travel (estimated) $240,000 not applicable 460

Employee commuting not applicable 1,400,000 2,900

Total $495,000 3,500

These provide an order-of-magnitude estimate of the significance of these activities and will be used to help set priorities, particularly for promoting transportation demand management activities (e.g., carpooling, cycling, telecommuting, and transit) for City of London employee commuting.

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7. 2017 Corporate Energy Management Activities

Energy management is a key component in managing facilities and infrastructure in today’s economy. The Corporation leads by example when it comes to sustainable energy investments and initiatives. London’s future sustainability depends on the implementation of best practices in energy management today.

The current section of the report highlights a selection of the significant energy management projects and supporting initiatives which are in progress, planned and completed in 2017 which has resulted in efficient municipal building and infrastructure stock.

More information and details on previously completed energy projects can be found in “2016 Energy Management Activities Report”.

7.1 Funding and incentive sources

Incentives offered for energy conservation projects from Union Gas, London Hydro and Federation of Canadian Municipalities have encouraged various municipal operations to undertake energy conservation projects. The incentive programs offer funding for controlling and reducing energy demand by replacing energy-wasting equipment, or to pursue new construction(s) that exceed provincial building codes and standards which in turn assist the Corporation to reduce annual energy costs and associated greenhouse gas emissions. Additionally, these incentives support in developing stronger business cases to help save money and energy. The table below shows the total amount of incentives received for projects undertaken in 2017.

Annually the Corporation has been receiving anywhere from $160,000 to $270,000 in incentives for completed energy efficiency projects since 2014. Appendix B has a detailed list of incentives for 2017.

7.2 Current Activities

Updates on current activities in this report are identified under the four key focus areas:

Tracking & monitoring energy consumption

Renewable energy and feasibility projects

Energy conservation and demand management projects

Green Fleet

8. Tracking & Monitoring Energy Consumption

Tracking energy usage is an important first step to understanding how an organization uses energy which is necessary before any efforts to reduce energy costs and usage can be made. As described in the 2016 Energy Management Activities report, the Corporation continues to use EnergyCAP software and London Hydro’s Green Button data to track and monitor its utility consumption.

Organization Total Incentives Received in 2017

Union Gas $ 29,500

London Hydro $ 190,950

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All functions performed by EnergyCAP are listed in the Past and Current Activities report published in September 2013. Since its procurement EnergyCAP has been continuously updated to accommodate various reporting requirements. In 2017, the Corporation has migrated to the EnergyCAP web version from its enterprise or the desktop version. The updated software is comprehensive and much easy to use. London Hydro’s Green Button program defines a particular data format and secure mechanism whereby the data can be accessed by third party applications for analysis, dashboard population, and other purposes with the data owner’s approval. Green Button data enables us to access and analyze electricity consumption for every five minute interval. Fleet Analysts electronically track and report fuel use in vehicles and equipment through an automated system called Petrovend.

8.1 Renewable Energy Projects

In terms of overall approach for supporting renewable energy, City staff continue to recommend making direct investment in renewable energy projects at municipal facilities rather than the procurement of “green energy” from energy retailers (e.g., purchase offset credits).

8.1.1 Landfill Gas as a Potential Resource

The Corporation was awarded a FIT5 contract from the Independent Electricity System Operator (IESO) in mid-October 2017. The Corporation’s FIT5 application was the only one submitted using landfill gas as the renewable energy source, out of 1,120 applications submitted. The City was in the process of securing a renewable energy approval from the province for the development of a 500 kW landfill gas power plant at the W12A Landfill. However, in July 2018, the new Provincial Government cancelled the FIT5 contract. It is estimated that there is about 2,500 cubic meters per hour (1,500 cfm) of landfill gas and upgrading this landfill gas to pipeline quality renewable natural gas (RNG) is the most likely option. The Corporation submitted a proposal to Union Gas in April 2018 for their RNG Request for Proposals. However, the new Provincial Government also cancelled the Cap & Trade program which was the basis of the Union Gas RFP. This project is currently on hold by Union Gas. Other opportunities are currently being examined by City staff. For example, FortisBC Inc., an electricity and gas distribution company in British Columbia (BC), announced its RNG program in late June 2018, which will include RNG from anywhere in Canada as long as it is connected to the BC gas grid. FortisBC announced their RNG Request for Expression of Interest (RFEOI) and the Corporation submitted its expression of interest on July 31, 2018.

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8.1.2 FOG Cup Waste to Resource at Greenway WWTP

Household fats, oils and grease (FOG), when poured down the drain costs Water Operations significant amounts of money every year to remove. Currently, Water Operations is encouraging citizens to dispose FOG in FOG cups available at various Environmental Depots across the City. Most of the collected FOG is currently being sent out to StormFisher’s organic waste digester and biogas power plant, but some FOG cups also end up in landfill.

Water Operations is conducting a feasibility and engineering study of utilizing the collected FOG as a supplementary biofuel to Fluidized Bed Incineration (FBI) to power the planned Organic Rankine Cycle (ORC) engine at Greenway Treatment Plant to generate electricity. This study will include the environmental benefits of a household-level FOG collection program, their subsequent use as supplementary fuel source to the FBI to power ORC engine, and the emissions reductions from offsetting electricity and natural gas use with the ORC, among other sources. Additional environmental benefits of this process would include reducing landfill

waste, reducing methane emissions from the landfill, and reducing emissions and material waste from replacing broken sewer infrastructure.

This study is being supported by a $57,000 Federation of Canadian Municipalities Green Municipal Funds grant. A Request for Proposals for this study closed in July 2018 and the study is expected to be completed by November 1st, 2018. 8.1.3 Bioenergy

London Waste to Resource Innovation Centre

In February 2015, London Municipal Council approved a concept referred to as the London Waste to Resources Innovation Centre. The primary goal of this Centre is to create a location(s) in or near London for the ongoing examination of innovative solutions for waste reduction, resource recovery, energy recovery, and/or waste conversion.

In 2016, City staff undertook a number of new projects, including signing a Memorandum of Understanding (MOU) with the University of Western Ontario (Institute of Chemicals and Fuels from Alternative Resources) undertake testing and research on the viability of a range of technologies and processes to create resources from waste that would normally be sent to disposal facilities. In early 2017, additional MOUs were signed for the following waste conversion technology research:

Bio-Techfar Inc., to undertake testing and research on the viability of a proprietary pyrolysis technology and processes to create resources from a range of biomass materials that would normally be sent to recycling and/or disposal facilities.

Tucker Engineering, representing a pyrolysis group, to undertake testing and research on the viability of a proprietary pyrolysis technology and processes to create resources from various fractions of municipal solid waste that would normally be sent to recycling and/or disposal facilities.

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In 2017, key research work that has been undertaken includes:

Food waste avoidance research with Western University, PhD Candidate Paul van der Werf and 2cg

Consulting;

Anaerobic digestion of source separated organics (SSO) and facility separated organics (FSO) to

create renewable natural gas (RNG); and

Literature review, analysis, and site visits for new, emerging and next generation technologies (e.g.,

gasification, pyrolysis, mixed waste processing)

8.2 Energy Conservation and Demand Management Projects

The Corporation continues to examine energy management within every project. Energy conservation demand management consists of corporate initiatives and projects that result in the reduction of energy consumption by proposing more efficient methods and technologies and/or technologies that shift power demand to off-peak periods. The strengthening of our corporate energy management team has bought forward a number of conservation projects, and energy management staff also having the opportunity to weigh in and encourage energy-saving measures on upcoming designs and proposals throughout the Corporation has proven to be beneficial. Facilities, Wastewater Treatment Operations and Water Operations have continued to invest in projects that resulted in reduced energy and costs in 2017. Facilities have managed capital development projects for municipal organizations such as London Fire Services, London Police Services, London Public Library and Museum London. In Appendix A, a list of all the 2017 projects that have energy conservation components associated with them are recorded. The projects identified in 2017 were not necessarily large stand-alone energy conservation projects, but rather contribute incrementally to the corporate energy conservation and demand management results. The following are highlights of some of the projects planned, completed and on-going by the Corporation since 2017 that contribute to energy conservation initiatives.

8.2.1 Upgrading HVAC units

As a continuous best practice, several City owned buildings including the North London Optimist Community Centre, Eldon House and A. J. Tyler Operations Centre are upgrading the current heating, ventilation and air conditioning (HVAC) and roof-top air conditioning units to efficient ones. These upgrades not only contribute to better energy efficiency, but result in better comfort and less repair work contributing to employee satisfaction and reduced maintenance costs. HVAC replacement projects qualified for retrofit incentives from London Hydro and the details of incentive for each project are listed in Appendix A.

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8.2.2 Laser Ice Level System

Argyle Arena and Stronach Arena are currently investigating the use of laser technologies for resurfacing the ice sheets. Keeping the ice at same level is a difficult task. In the traditional method, it requires the operator to take manual measurements at various points and set the blades manually, and then flood water back onto the ice to build it back again. Laser technology makes the whole process automatic. It takes the thickest measurement and builds it up to that level. It also has flood-water control system so that the ice is not over-flooded. This technology saves time for the operator and saves energy and water.

This project has been approved for $11,000 in incentives from London Hydro under the saveONenergy Retrofit Program and has an estimated electrical savings of 108 megawatt-hours (MWh).

8.2.3 Lighting Upgrades

In 2017, the Corporation continued to invest in LED lighting technology for parking lots and for municipally-owned facilities. As identified in the 2016 Corporate Energy Management Activities Report, the previous generation of energy efficient lighting – T5 fluorescent, which replaced metal halide at a number of arenas – is reaching the point in its service life where a large scale re-lamping is coming due. This point in the fixtures’ lifecycle presents an opportunity to replace the existing fixtures with high efficiency LED fixtures. Facilities is progressing on a multi-year replacement program to do this related to the 2016 Budget Amendment (Case #19). The continued quick payback and return on investment associated with lighting retrofit projects proves their effectiveness as energy conservation projects. The Corporation continues to review capital assets to identify opportunities where lighting upgrades can be completed, which will make the building inventory more efficient operationally. All the lighting upgrades completed and in progress in the past year are shown in Appendix A.

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8.2.4 Southeast Reservoir Pumping Station

The new Southeast Reservoir Pumping Station construction was completed last year and has been in operation since Fall 2017. This building is one of the most energy efficient within the Corporation and consumes 25 percent less energy than a similar building designed to the building code. The energy efficient highlights of this building include:

A green roof to reduce storm water runoff,

Lighting that does not contribute to light pollution,

Water use reduction measures in plumbing fixtures for water,

Use of environmentally-friendly building materials – certified woods, paints and carpets free of volatile organic compounds (VOCs), renewable materials made from agricultural products, and regionally manufactured materials,

Public access to the site, with walking trails on top of the reservoir, and

The use of renewable materials made from agricultural products, and the use of regionally manufactured materials.

8.2.5 Wastewater Treatment Energy Projects

In 2017, Wastewater Treatment Operations continued to work on a number of projects that fit within best practices of energy conservation and demand management initiatives. After upgrading aeration blowers with new turbo blowers and replacing existing lights with LEDs, Wastewater Treatment Operations continued to invest in innovative technologies, such as Zeelung Technology in its aeration system to increase aeration efficiency and the Organic Rankin Cycle (ORC) engine to generate electricity from the waste heat produced by the Greenway treatment plant’s sludge incinerator. All of these projects are noted in Appendix ‘A’.

8.3 Green Fleet

The Corporation’s Fleet Services Division is responsible for over $53 million in municipal fleet and equipment assets. Services include vehicle and equipment purchases and disposals, maintenance and

City of London 29

service, asset management/administration and fuel management Fleet Services’ vehicles and equipment support over 30 City of London services. Fleet Services continues to monitor practices and bring forward new methods and technologies to their customers to help reduce both energy consumption and their environmental impacts. Fleet Analysts electronically track and report fuel use and patterns in vehicles and equipment through the automated fuel software system, Petrovend. Additionally, telematics systems are used to monitor (utilization), idling, driver performance (speeding, rapid starts, harsh cornering) and route optimization (trip maps, Global Positioning System (GPS)). The Green Fleet conservation initiatives currently underway include:

Continued use and replacement of gas-electric hybrid vehicles where model types are available and add value (e.g., Ford C-Max Hybrid);

Assess the use of hybrid vehicles if suitable high-efficiency right-sized solutions provide better value without significant additional environmental impact;

Replacement of full-size work vans with more-efficient Ford Transit vans and in some cases downsized even further to high-efficiency Ford Transit Connects;

Implementation of a trial of the “GRIP” idle management system in five units that have high demand for stationary work activities. The technology automatically controls the voluntary idle time by turning it off based on certain parameters and restarts the engine when there is demand such as engine temperature, hydraulic/ requirements, engine controls or cab heat;

All gasoline used is ethanol blended to E10 (10% ethanol content);

38 medium and heavy units now include diesel exhaust fluid selective catalytic reduction systems;

93 Automated Vehicle Locator Geotab Units installed with plans for an additional units as part of the Computerized Maintenance Management System roll out;

Preparation of a formal Green Fleet Plan for direction and approval;

Continuation of the “Service Area Fleet Champions” project to help facilitate changes to standard fleet solutions;

Business case for the transition to compressed natural gas (CNG) fuel for solid waste collection trucks;

Engaged partners at E3 Fleet Challenge Ontario to continue to work toward best practices and sustainable strategies; and

Examined and submitted funding applications for GHG reduction strategies, Electric Vehicle infrastructure and Green Commercial vehicles.

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City’s total Green Fleet increased by two percent in 2017 compared to 2016. The current Green Fleet consists of the following:

9. Summary and Next Steps Overall, the City of London is on track with its commitments on energy initiatives stated in the CDM Plan. Energy use data suggest that the Corporation has achieved its ten percent energy reduction target by 2020 two years ahead of target and good progress is being made towards achieving the secondary goals associated with CDM Plan. In particular, actions undertaken and planned by Wastewater Treatment Operation, Water Engineering, and Facilities have made significant contributions towards performance to date. Activities in 2018 and 2019 should ensure that these numbers are maintained and likely improved upon. The Corporation continues to search for innovative and collective ways to reduce its greenhouse gas emissions, contain and reduce costs, and meet customer needs. In July 2019, the Corporation is required to provide an update to the CDM Plan, developed back in 2014, as part of the Ontario Regulation 397/11. City staff will be preparing a complete review of the energy management activities undertaken between 2014 and 2018 as well as recommendations for actions to be included within the next iteration of the CDM Plan to cover 2019 to 2022 activities. This work will begin in the fall and conclude in spring 2019.

City of London Green Fleet Roster Vehicles / Equipment Type Number of Units in Service

Hybrid SUVs 16

Hybrid passenger cars 11

Full electric vehicle (EV) 1

Diesel vehicles with Selective Catalytic Reduction (SCR) Systems 37

Vehicles using ethanol-blended gasoline 224

Units using B5 biodiesel blend 52

Total Green Fleet (in rolling stock) 341

(57% of 600 rolling stock)

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10. Appendix ‘A’ - 2017 Energy Conservation Projects

Facility Name Project Name

Estimated/Actual

Electricity Savings

(MWh)

Anticipated

Completion Date

Adelaide Operations

Centre Replace metal halide parking lot lights solar/wind

powered LED systems 1 MWh 31-12-18

Adelaide Operations

Centre

Replace the existing metal halide fixtures with new

energy efficient fixtures. 18 MWh 31-12-18

Adelaide Operations

Centre

Program the outlets for outdoor air temperature enable

and plug-in delay control 158 MWh 01-02-17

Adelaide WWTP Replacement of 300 T12 fluorescent tubes with LED

tubes. 25 MWh 30-06-18

A.J.Tyler Operations

Centre

Replace existing T8 lighting with a new dimmable

lighting systems which includes LED fixtures, Building

automation system accessible lighting controls and

daylight harvesting. 13 MWh 31-03-17


Centre

Replace the existing metal halide fixtures with new

energy efficient fixtures. Replace interior fluorescent

fixtures with new LED fixtures. 92 MWh 30-11-17


Centre Replace existing rooftop HVAC units with new energy

efficient units. 4 MWh 31-12-18


Centre Replace existing rooftop HVAC units with new energy

efficient units. 12 MWh 31-12-18


Centre Program the outlets for outdoor air temperature enable



Centre Replace existing inefficient T12 fluorescent and metal

halide lighting with new high efficiency fixtures. 47 MWh 30-06-17

Argyle Arena Install floating head pressure control on the arena

refrigeration equipment. 29 MWh 31-12-18

Argyle Arena Install a laser guided ice leveling system for a precise

and uniform thickness across the ice sheets 54 MWh 31-12-18

Argyle Arena Install a direct digital control building automation

system to the replace the existing standalone,

programmable controls 13 MWh 30-06-19

Arva Pumping

Station

Optimize the utility and efficiency of the 700 horse-

power (HP) pumps in the station by completing a

combination of impeller trimmings and impeller

replacements. 1,125 MWh 31-12-18

Canada Games

Aquatic Centre Retrofit the remaining existing fluorescent light fixtures

with new LED fixtures 27 MWh 30-06-18

Canada Games

Aquatic Centre Install a 55 kilowatt heat and power cogeneration

system at CGAC. 465 MWh 31-03-17

Carling Heights Replace existing metal halide fixtures in the natatorium

with new high efficiency LED fixtures. 20 MWh 30-06-18

City of London 32


Estimated/Actual

Electricity Savings

(MWh)

Anticipated

Completion Date

Carling Heights Install a solar wall to passively pre-condition the fresh

air to the HVAC systems TBD 31-12-18

Carling Heights Replaced the existing metal halide fixtures with new

energy efficient fixtures 37 MWh 31-12-18

Carling Heights Replace the existing rooftop HVAC units with new

efficient replacement units. 117 MWh 31-12-18

Carling Heights Replace existing fluorescent and metal halide fixtures

with new LED fixtures 70 MWh 03-07-18

Centennial Hall Replace the existing pneumatic HVAC control system

with a new remotely accessible direct digital control

building automation system. 25 MWh 30-06-18

Citi Plaza Replace existing pot light fixtures with new LED pot

light fixtures 9 MWh 31-07-17

City Hall Replace HPS street lights on minor roads with new LED

technology fixtures 6,200 MWh 31-12-17

Earl Nicols

Recreation Centre Replace the existing mechanical dehumidifiers with

high performance desiccant dehumidifiers 86 MWh 30-06-18

Earl Nicols

Recreation Centre Replace existing light fixtures with new LED light

fixtures. 52 MWh 31-12-19

Eldon house Replace existing HVAC Equipment with new high

efficiency equipment and controls. 13 MWh 31-12-19

Elgin Middlesex

Pump Station

Replace the two existing 600 HP pumps with two new

450 HP pumps which will meet the revised operational

needs of the water system. 850 MWh 31-12-18

Exeter Road

Operations Centre Replace existing exterior light fixture with new LED

light fixtures. 25 MWh 31-12-18

Exeter Road

Operations Centre Program the outlets for outdoor air temperature enable


Greenway WWTP Replace the existing aeration blowers with new energy

efficient turbo blowers at the pollution control plant. 4,500 MWh 31-03-18

Greenway WWTP Retrofit section of the existing facility heating system in

plant 5 MWh 31-12-18

Greenway WWTP ORC engine for energy recovery from sewage sludge

incinerator 3,675 MWh 31-07-18

Kinsmen Arena Install floating head pressure control on the arena


Kinsmen Arena Install and implement laser ice leveling system. 54 MWh 31-12-18

Lambeth Community

Centre Replace existing inefficient interior lighting with new

high efficiency lighting 6 MWh 30-06-18

Lambeth Community

Centre Install floating head pressure control on the arena


Medway Community

Centre Install floating head pressure control on the arena


City of London 33


Estimated/Actual

Electricity Savings

(MWh)

Anticipated

Completion Date

Museum London

Replace the existing building automation system chiller

controllers with new controllers with optimized

sequences. 174 MWh 30-05-18

North London

Optimist Community

Centre

Replace existing HVAC equipment with new high

efficiency equipment and controls. 7 MWh 31-12-19

North London

Optimist Community

Centre

Replace existing pad mounted unitary a/c units with new

high efficiency replacements 4 MWh 31-12-18

Oakridge Arena Replace the existing mechanical dehumidifiers with

high performance desiccant dehumidifiers 17 MWh 30-06-18

Oakridge Arena Install floating head pressure control on the arena


Oxford Operations

Centre

Program the outlets for outdoor air temperature enable


Rose Garden

Operations Centre Replace existing light fixtures with new LED light


Silverwood Arena Replace existing light fixtures with new LED light


South London

Community Pool Replace existing metal halide fixtures in the natatorium

with new high efficiency LED fixtures. 21 MWh 31-12-18

Stronach Arena Replace existing mechanical dehumidification with new

efficient desiccant dehumidification 31 MWh 28-02-17

Stronach Arena Install floating head pressure control on the arena


Stronach Arena

Install and implement laser ice leveling system.

54 MWh 31-12-18

City of London 34

11. Appendix ‘B’ - Incentive Funding Chart

Organization Program Year

Funding

Amount Comments Status

Union Gas

Enersmart -

Prescriptive 2017 $4,000 AJT Boiler Upgrade Project Received

ENERNOC* Demand Response 2017 $2,204

Earl Nichols Arena Oct/Nov/Dec

2016 Received

Union Gas

Enersmart -

Prescriptive 2017 $18,000 Normal School Boilers and ERV Received

ENERNOC Demand Response 2017 $2,006

Earl Nichols Arena Jan/Feb/Mar

2017 Received

Union Gas Enersmart - Custom 2017 $7,485

Canadian Institute of Energy

Training (CIET) Building

Operator Certification Received

London Hydro Retrofit Program 2017 $1,396

Farquharson Arena Lighting

Upgrades Received


Lambeth Arena - Exterior

Lighting Upgrades Received


Oakridge Arena Exterior



Firehall #1 Exterior Lighting

Upgrades Received

London Hydro Retrofit Program 2017 $993

Carling Heights Exterior



Earl Nichols Arena Exterior


London Hydro Retrofit Program 2017 $7,804 AJT Exterior Lighting Upgrades Received


Earl Nichols Arena Apr/May/Jun

2017 Received

London Hydro Retrofit Project 2017 $18,809

Carling Arena Floating Head

Pressure Control Received

London Hydro PSUI Program 2017 $146,900

Embedded Energy Manager

Program (EEM) - FTE Burden

Recovery Y4/Year-end Received


Earl Nichols Arena Oct/Nov/Dec

2017 Received


Earl Nichols Arena Jan/Feb/Mar

2018 Received

ENERNOC Demand Response 2018 $953

Earl Nichols Arena Apr/May/Jun

2018 Received

Union Gas

Enersmart -

Prescriptive 2018 $1,800

Southcrest Pool Condensing HW

Storage Received

Union Gas

Enersmart -

Prescriptive 2018 $360 Multi-unit Bonus Received


EEM Program - FTE Burden

Recovery Y5/Year-end Received

City of London 35

Organization Program Year

Funding

Amount Comments Status


EEM Program - FTE Burden

Recovery Y6/Year-start Received

London Hydro PSUI Program 2015 $93,000 CGAC - CHP M&V

Hydro One Retrofit Program 2014 $369,600 EMPS Pump Replacement

Pre-

Approval

$226,555 Total for 2017

$509,696 Total Received (2017, 2018) Received

$462,600 Total in Process since 2014 In Process

*ENERNOC- a company that specializes in utility analysis by using their Energy Intelligent Software (EIS). They work with various businesses and organizations on Facility Analysis Optimization, Demand Response, and Demand Management etc., to improve operational performance.

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