Friday, November 22, 2024

Energy regulator targets designated facilities contribution to the National Energy

National Energy

The Energy and Petroleum Regulatory Authority(EPRA) has released an energy efficiency study that seeks to guide the adoption of energy efficiency measures in large and medium institutions and manufacturing companies.

The Energy Performance Benchmarking Study for Designated Energy Consuming Facilities, which is currently being presented to industry stakeholders for input aspires to set minimum energy performance benchmarking metrics through the establishment of energy benchmarking models.   The study targeted cement, sugar, tea, dairy, flower farms, fast-moving consumer goods(FMCG), and hotel subsectors.

Speaking on the report, The EPRA Director General Daniel Kiptoo, said that once implemented, the energy benchmarks will go a long way in improving energy efficiency in the designated facilities hence reducing the overall cost of production.

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“Energy benchmarking is invaluable in the identification of energy inefficiencies in production processes and estimating potential energy savings. As we move forward, we will collaborate closely with sector players to develop energy performance benchmarking models for each of the seven industries.  The models will guide the calculation of the energy efficiency ratio cut-off points for these facilities. The benchmarks will once adopted improve energy efficiency in designated facilities, ultimately lowering the overall cost of production,” he said.

By implementing these measures, EPRA fulfills its commitment to increase the number of companies that have implemented carbon reduction measures to mitigate global climate change, one of the greatest challenges of our time.

Findings in the study show that Kenyan industries have the potential to improve their energy performance and save money. For instance, there is an opportunity to save between 0.5 percent to 21.8 percent electrical energy in flower farms, if benchmarks are adopted, across various cumulative percentage levels. The highest simulated improvement was 62 percent of the facilities to improve while the lowest considered improvement of 12 percent of the facilities.

In the cement sector, “the grinding function of the cement industry in Kenya can save up to 3.68 percent of the total energy consumed for two years if the bottom 50 percent of the factories improved their performance to meet the average benchmark energy efficiency ratio (EER) of 1.01.”

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The study provides EPRA with an opportunity to engage sector players actively in formulating homegrown and sector-specific energy efficiency benchmarks agreeable to all parties. Once formulated, the benchmarks will used to audit measures put in place by individual companies to save on energy consumption.

Currently, two energy performance regulations are active notably, the Energy (Appliances’ Energy Performance and Labeling) Regulations 2016 used to guide the testing and the labeling of the electrical appliances sold in Kenya, and the Energy (Energy Management) Regulations 2012, requiring that any establishment that consumes more than 180,000kWh per year to conduct an energy audit every three years.

Section 201 of the Energy Act 2019 mandates EPRA to develop and enforce energy efficiency and conservation measures for various sectors. The section further requires the Authority to set minimum energy performance benchmarks for designated energy-consuming facilities, monitor their compliance, and promote best practices in energy management.

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