ELECTRICAL TARIFF STRUCTURE FOR ENERGY?EFFICIENT BUILDINGS

Abstract

The process of global industrialisation has accelerated the use of fossil fuels to the extent that unless sustainable alternatives are found, the expected shortage will create a crisis in most economies. This is particularly true for natural resource scarce Singapore. Current measures to promote efficient energy use are legislative and although much work has been done in specific areas, there is a lack of overall planning and a framework. This dissertation argues the case for a financial, incentive-based electrical tariff structure as a more encompassing measure to promote and entrench energy efficiency traits in commercial buildings. It is focussed on the overall concept and methodology, rather than an analytical analysis of a specific area for practical use. For an energy efficient culture to permeate, two obstacles need consideration. The way our economy operate means that energy conservation is mutually exclusive to economic growth - the consumer culture, where the more we buy, the cheaper it gets. The second is how electricity suppliers operate. Financial incentives get developers, building managers and leasing agents interested in energy efficiency. The proposed tariff is based on rebates given to energy efficient buildings that are commensurate with the efficiency level achieved. For this to occur, buildings have to be audited and compared to an overall energy benchmark, with due consideration to the type of business and operational conditions. This means categorising buildings based on the broad types of business - office, hospitals or shopping centres and energy usage - high, medium and low. There are different levels of energy efficiency that can be achieved and the rebates are proportionately higher at the high efficiency end to encourage investment in the appropriate technology. As standards improve, the benchmark is raised and the cycle continues. To target areas for improvement, a method to obtain energy component benchmarks within a building is proposed: • structure and the environment, including vertical transportation • air-conditioning and ventilation • artificial lighting • others, like office equipment, water transfer pumps, etc., and • building operation This component structure was chosen to compliment the way the local construction industry function. For example, during a major refurbishment exercise, if a building had a poor Energy Usage Index in the building structure component, the building owner could chose to spend more on windows with lower heat transmission values. Although the mechanical engineer would be involved, the major players are the architects and main contractor. Information on inefficient areas allows focus on research and development, new technologies and operating methods. Publicised efficient buildings can attract like-minded tenants. Detail auditing of energy components within existing buildings would be impractical. Models have to be established where building energy components may be easily obtained from a few measurements, and a validation may be completed through an energy programme. Simple guides that target specific equipment and technologies are proposed, to encourage building owners and managers to continuously review their energy efficiency status. A method to obtain the guides is proposed and sample guides given.