ENCOURAGE

Embedded iNtelligent COntrols for bUildings with Renewable generAtion and storaGE Grant Agreement No.: 269334

D2.1 ENCOURAGE business cases and customer needs

Author(s) (ENCOURAGE_author name style)

Document Number D2.1 Document Title ENCOURAGE business cases and customer needs Version 1.0 Status Working/Draft/Final Work Package WP 2.1 Deliverable Type Report/Prototype/Demonstrator/Other Contractual Date of Delivery dd/mm/yyyy Actual Date of Delivery dd/mm/yyyy Responsible Unit Contributors Keyword List Dissemination level PU/PP/RE/CO

D2.1 ENCOURAGE business cases and customer needs Dissemination level: PU/PP/RE/CO

Amendment History
Version Date Author (Unit) Description

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Executive Summary
This document reports the overall environment targeted by the ENCOURAGE project. By defining several scenarios where the ENCOURAGE Platform will be instantiated and implemented, user requirements and needs are defined. This document reports the overall environment targeted by the ENCOURAGE project. Three different steps have been carried out within Task 2.1. First of all, several relevant groups of stakeholders benefiting from the ENCOURAGE project have been identified and described. Secondly, three different business case scenarios have been developed according to the needs stated by those ENCOURAGE partners related to the energy industry. Finally, user requirements and needs have been elicited from the interaction between the defined stakeholders and the proposed business case scenarios. Internal expertise, interviews, questionnaires, workshops and existing documentation from the eDIANA project have also been used during the identification process of user requirements.

TO BE COMPLETED BY

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Table of Contents
1. 2. Introduction................................................................................................................................... 5 Identification of the parties benefiting from the ENCOURAGE project ..................................... 6 1.2 1.3 1.4 1.5 3. 4. 5. 6. 7. Utility companies .................................................................................................................. 6 Owners of buildings .............................................................................................................. 7 Municipalities ........................................................................................................................ 8 Construction companies ........................................................................................................ 9

DEVELOPMENT OF BUSINESS CASES FOR THE ENCOURAGE PLATFORM .............. 10 IDENTIFICATION OF USERS NEEDS ................................................................................... 11 CONCLUSIONS ........................................................................................................................ 12 ACKNOWLEDGEMENT .......................................................................................................... 13 REFERENCES ........................................................................................................................... 14 Template for documenting business cases ............................................................... 15 Template for documenting user requirements .......................................................... 23 ENCOURAGE_title 3 .................................................. Error! Bookmark not defined. ENCOURAGE_appendix title 1 .............................. Error! Bookmark not defined. ENCOURAGE_appendix title 3 .................................. Error! Bookmark not defined. ENCOURAGE_appendix title 1 .............................. Error! Bookmark not defined. ENCOURAGE_appendix title 3 .................................. Error! Bookmark not defined.

Appendix A. Appendix B. 2.1. 1.1.1. Appendix C. A.1. A.1.1. Appendix D. A.2. A.2.1.

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1. Introduction
This deliverable specifies the user requirements for the ENCOURAGE system. High-level requirements for the ENCOURAGE platform (both functional and non-functional) will be described in the corresponding deliverable (D 2.2: ENCOURAGE high-level requirements specification). Thus, this document, together with deliverable 2.2, is the reference point within the ENCOURAGE project and they are used as input in the work packages 3 until 7. Three different steps have been carried out within Task 2.1. First of all, several relevant groups of stakeholders benefiting from the ENCOURAGE project have been identified and described. Secondly, three different business case scenarios have been developed according to the needs stated by those ENCOURAGE partners related to the energy industry. Finally, user requirements and needs have been elicited from the interaction between the defined stakeholders and the proposed business case scenarios. Internal expertise, interviews, questionnaires, workshops and existing documentation from the eDIANA project have also been used during the identification process of user requirements.

Figure 1. Stakeholders, business models and users of the ENCOURAGE platform. TO BE COMPLETED BY

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2. Identification of the parties benefiting from the ENCOURAGE project

The ENCOURGAGE platform is primarily targeted to enable utility companies business. The ENCOURAGE platform is also devoted to owners of residential buildings (single-family and multifamily buildings), owners of non-residential buildings (campuses, commercial buildings, etc.) and energy consumers. Finally, municipalities may also use the ENCOURGAGE platform.

1.1

Utility companies

TO BE DONE BY (3-4 pages)

These stakeholders are represented in the ENCOURAGE consortium by three industrial partners, whose core business fall into the thematic area of electricity distribution and services for electricity market: ENEL ENEL is the top electricity operator in Italy. It manages 39,874 MW of installed capacity and produces around 81.6 TWh per year, serving over 32 million customers. Since 2006, the Group has also become the worlds second gas seller, with 3.1 million customers. Enel Green Power manages renewable power plants for a total capacity of 2,800 MW. ENERGI NORD Energi Nord is a Danish energy trading and counselling company based in Aalborg. The primary business objective of Energi Nord is to act as the electricity distribution company on behalf of its owners, while managing operational and customer related tasks. Geographically, Energi Nords main presence is in Northern Jutland but the company provides services to other customers throughout Denmark. Currently Energi Nord distributes electricity to 162,000 customers (both private households and large businesses) and this supply equals to 1.8 TWh. Energi Nords expertise encompasses sales and billing, energy advisory service, and customer service. GNERA The market operation offered by GNERA includes production measurement, forecasting and programming, advanced management of spot markets, deviations management and offsetting, follow-up of payment for exported electricity, monitoring system and sales
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information, web front-end and training. GNERA currently manages more than 1,000 MW power and more than 2,600 GWh Energy in 256 Plants from diversified technologies such as biogas and biomass, CHP, small hydro power and photovoltaic; planning to reach 4,000 GWh in 2011. By implementing the advances reached within the ENCOURAGE project, utility companies will be able to more efficiently manage their networks as a consequence of having more up-to-date information of energy consumption collected from consumer. They will also benefit from generally higher responsiveness of consumers to dynamic price and demand response schemes.

1.2

Micro-generation
TO BE DONE BY (3-4 pages)

1.3

Storage providers
TO BE DONE BY (3-4 pages)

1.4

Owners of buildings
TO BE DONE BY

Increasing energy costs and current economic trends have pushed the building sector to devote greater attention to lower energy expenditures in both new-start construction projects and refurbishment works. Trends in public opinion toward environmental issues and a more detailed legal framework have also contributed to turn energy efficiency in buildings into a burgeoning area. It has also been argued that the value of properties with advanced energy management systems can be much higher than the traditional ones without such advanced characteristics (e-diana project, XXXX). For the sake of simplicity, ENCOURAGE will distinguish two main roles within this group of stakeholders. Taking into account that buildings have traditionally been consumers of energy, those who still serve to this role will be called energy consumers. Energy consumers only have consuming devices in his building. Those buildings which have included local energy generation equipment will be considered energy prosumers. Apart from generating energy for its own use or to be sold to the electrical grid, energy prosumers still have energy consumption inside the building. Building owners are the key stakeholders in the effort to make the existing private building stock more energy efficient. They are the only ones who decide if, what and when to renovate. They are also the ones who finance energy saving measures and the ones who pay the operational energy costs. ENCOURAGE system will enable building owners to reduce their energy bills without compromising the level of comfort. By enabling the monitoring of individual appliances and
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subsystems, consumption can be disaggregated to is constituent functional components and also to its temporal patterns. Once buildings owners / facility managers know how and where the energy is consumed, they have a complete picture of which are the key areas to focus on in order to achieve the expected savings, while maintain the desired service levels of the buildings. Instead of optimizing the energy consumption of individual appliances, the energy efficiency at system level will be improved with the ENCOURAGE platform. Better configuration and control of the whole system will help building owners to reduce their energy consumption. Energy brokerage will make possible the exchange of energy not being used by a particular building.

1.4.1 Owners and users in residential buildings

Residential buildings generally include single-family houses and multi-family houses. The residential building sector may be divided into two main categories, the owner-occupied and the rented. In the rented sector, the owner invests and the occupant profits from this investment whereas in the owner-occupied market, the investor is also the one who profits from the investment because the building owner is also the final user.

1.4.2 Owners and users in non-residential buildings

The ownership structure for the non-residential buildings has not been well-documented. In general, governments and municipalities own the majority of the non-residential buildings, especially in case of educational buildings, health care buildings, etc. In case of shopping and leisure buildings, office buildings, owners are often corporate or private investors. In general, non-residential buildings are open to an undetermined amount of people. Although individual users may change over the time, it can be assumed that user behaviour is quite stable and thus, buildings energy consumption patterns are only dependant on collective user behaviour changes. Results from the ENCOURAGE project will enable to show individualised real time data. This will obviously help in raising awareness in users of large and complex non-residential buildings (educational buildings, health care buildings, shopping and leisure buildings, office buildings, etc.). Trials with smart meter show that only providing information to consumers on their actual energy consumption can lead to reduction of up to 10% (ESMA, 2008). Decision support technologies and intuitive user interface will help to motivate people to change their behaviour. If consumers can understand where inefficiencies come from, they can act to mitigate or eliminate them completely.

1.5

Municipalities
TO BE DONE BY

ENCOURAGE project will support inter-building energy exchange. An energy efficient neighbourhood and, subsequently, an energy efficient municipality would be built upon the ENCOURAGE project results. Multiple players and a variety of stakeholders geographically

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distributed but interconnected add value to their businesses and substantially contribute to energy efficiency. Research and development within the ENCOURAGE PROJECT is seen as a cornerstone in contributing to sustainable growth and development in an energy efficient environment.

1.6

Construction companies
TO BE DONE BY

Construction companies are the key stakeholders in the effort to make the future building stock more energy efficient. They have a great role in moving beyond the current legal framework as they decide the scope of the energy efficient strategies to be implemented in new buildings. They are also the ones who have to initially finance these measures. Results from the ENCOURAGE project will enable construction companies will be able to achieve better energy efficiency in buildings by easier networking of various control components, and smoother integration of generation and storage devices with the typical building infrastructure.

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3. DEVELOPMENT OF BUSINESS CASES FOR THE ENCOURAGE PLATFORM

TO BE DONE BY

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4. IDENTIFICATION OF USERS NEEDS

TO BE DONE BY

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5. CONCLUSIONS
TO BE DONE BY

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6. ACKNOWLEDGEMENT

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7. REFERENCES
[1] eDiana project [2] ESMA (2008). Report on methodology for estimating energy savings.

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Appendix A. Template for documenting business cases

1. INTRODUCTION
[Text]

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2. EXECUTIVE SUMMARY
[Text]

2.1. Issue
[Text]

2.2. Anticipated Outcomes

[Text]

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3. BUSINESS CASE ANALYSIS TEAM

Role

Description

Name/Title

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4. PROBLEM DEFINITION
[Text]

4.1. Problem Statement

[Text]

4.2. Technology Migration

[Text]

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5. PROJECT OVERVIEW 5.1. Project Description

[Text]

5.2. Goals and Objectives

[Text] Business Goal/Objective Description

5.3. Project Performance

[Text]

5.4. Project Assumptions

[Text]

5.5. Project Constraints

[Text]

5.6. Major Project Milestones

Milestones/Deliverables Target Date

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6. COST BENEFIT ANALYSIS

[Text]

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7. ALTERNATIVES ANALYSIS
[Text]

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8. CONCLUSIONS
[Text]

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Appendix B. Template for documenting user requirements

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