UNIT-1

Q. 1 What are different types of commercial energy resources? How the

commercial energy production has changed?

Ans- Different types of commercial energy resources include:

•Fossil Fuels: Coal, oil, and natural gas are the most commonly used commercial energy sources. They
are formed from the remains of plants and animals that lived millions of years ago.

•Nuclear Energy: Nuclear reactors use nuclear fission to generate electricity. This process involves
splitting atoms to release energy.

•Renewable Energy: Renewable energy sources include solar, wind, hydro, geothermal, and biomass.
These sources are replenished naturally and can be used without depleting them.

•Biofuels: Biofuels are derived from living organisms such as plants or animals. They can be used to
produce electricity or as a substitute for gasoline or diesel.

The commercial energy production has changed over the years with the following advancements:

•Increased Use of Renewable Energy: There has been a push towards renewable energy sources due to
concerns about climate change and environmental impacts.

•Technological Advancements: Technology has made it possible to extract energy from previously
inaccessible sources such as shale gas and oil.

•Shift Towards Natural Gas: Natural gas has become the preferred fossil fuel due to its lower emissions
compared to coal and oil.

•Energy Efficiency: There has been a focus on increasing energy efficiency in homes, buildings, and
industries to reduce energy consumption and costs.

Q. 2 Differentiate between commercial and non commercial energy resources?

Commercial energy resources are those that are used to produce energy on a large scale
for commercial purposes, such as generating electricity for businesses and homes. These
resources are typically extracted, processed, and distributed by commercial enterprises
for a profit. Examples of commercial energy resources include fossil fuels such as coal,
oil, and natural gas, as well as nuclear energy and renewable energy sources such as wind
and solar power.

Non-commercial energy resources, on the other hand, are typically used for personal or
household needs, rather than commercial purposes. These resources are often used in
rural or remote areas where commercial energy sources are not available or affordable.
Non-commercial energy resources include firewood, charcoal, and other biomass fuels, as
well as solar cookers and solar water heaters. These resources are often used by
individuals or small communities for their own needs, rather than being sold on a
commercial scale.
Q.3 Define energy security? How the goal of energy security can be
achieved?
Ans- Energy security refers to the ability of a country or region to ensure a reliable and
uninterrupted supply of energy at affordable prices. The goal of energy security is to
reduce the risks associated with energy supply disruptions, price volatility, and
dependence on foreign energy sources.

Achieving the goal of energy security involves several strategies, including:

1.Diversifying energy sources: By diversifying energy sources, countries can reduce their
dependence on a single source of energy and reduce their exposure to supply disruptions
and price volatility. This can be achieved by investing in a mix of fossil fuels, renewable
energy sources, and nuclear energy.

2.Developing domestic energy resources: By developing domestic energy resources,

countries can reduce their dependence on foreign energy sources and increase their
energy self-sufficiency. This can be achieved by investing in domestic oil, gas, and coal
reserves, as well as renewable energy sources such as wind, solar, and hydroelectric
power.

3.Strengthening energy infrastructure: By investing in energy infrastructure such as

pipelines, storage facilities, and power grids, countries can improve the reliability and
security of their energy supply. This can help to reduce the risks associated with supply
disruptions and price volatility.

4.Promoting energy efficiency: By promoting energy efficiency and conservation,

countries can reduce
Q.4 What are the typical billing components of the two-part tariff
structure of industrial utility?
The two-part tariff structure of industrial utility typically consists of the following billing
components:

1.Fixed Charge: The fixed charge is a flat fee that is charged to the customer regardless of
how much energy they consume. This charge covers the cost of infrastructure,
maintenance, and other fixed expenses that the utility incurs to provide service to the
customer.

2.Variable Charge: The variable charge is based on the amount of energy that the
customer consumes. This charge is typically calculated based on a rate per unit of energy
(such as kilowatt-hours for electricity or therms for natural gas). The variable charge
covers the cost of producing and delivering the energy to the customer.

The two-part tariff structure is designed to provide a stable revenue stream for the utility
while also encouraging customers to use energy more efficiently. By charging a fixed fee,
the utility can cover its fixed costs and ensure a steady stream of revenue, even if the
customer reduces their energy consumption. At the same time, the variable charge
incentivizes customers to use energy more efficiently by charging them more if they
consume more energy. This can help to reduce overall energy consumption and promote
sustainability.
Q.5 Define electrical load management? Explains the steps for
maximizing demand management?
Electrical load management refers to the process of managing and controlling the
electrical load within a system in order to optimize energy usage, reduce peak demand,
and minimize overall energy costs. This involves monitoring and adjusting the usage of
electrical equipment and appliances to ensure that the system operates efficiently and
effectively.

Steps for maximizing demand management include:

1.Monitoring and analysis: The first step in maximizing demand management is to

monitor and analyze the energy usage patterns and peak demand within the system. This
involves collecting data on energy consumption, identifying peak demand periods, and
understanding the factors that contribute to high energy usage.

2.Load profiling: Load profiling involves categorizing the different types of electrical
loads within the system, such as lighting, heating, cooling, and machinery. By
understanding the specific energy requirements of each load, it becomes possible to
develop targeted strategies for managing and optimizing energy usage.

3.Demand response programs: Implementing demand response programs can help to

reduce peak demand by incentivizing consumers to shift their energy usage to off-peak
hours. This can be achieved through pricing incentives, time-of-use tariffs, and other
demand-side management strategies.

4.Energy efficiency measures: Implementing energy efficiency measures such as

upgrading to energy-efficient appliances, improving insulation, and optimizing HVAC
systems can help to reduce overall energy consumption and peak demand.
5. Demand forecasting: By forecasting future energy demand based on historical data and
external factors, such as weather patterns and economic trends, it becomes possible to
anticipate peak demand periods and proactively manage energy usage.

By implementing these steps and strategies, organizations can effectively maximize

demand management and optimize their energy usage for cost savings and environmental
sustainability.
Q.6 Define the term energy price? What are the factors considered for
electricity tariff? Energy price refers to the cost of energy per unit, such as per kilowatt-
hour (kWh) for electricity or per cubic foot (cf) for natural gas. The energy price is the
amount that customers pay for the energy they consume and is typically set by the utility
or energy supplier based on a variety of factors.

Factors considered for electricity tariffs may include:

1.Generation costs: The cost of producing electricity from various sources such as coal,
natural gas, nuclear, or renewable energy sources.

2.Transmission and distribution costs: The cost of building, maintaining, and upgrading
the infrastructure needed to transport and distribute electricity from the generation source
to the customer.

3.Fuel costs: The cost of the fuel used to generate electricity, such as coal, natural gas, or
oil.

4.Capacity costs: The cost of maintaining sufficient generating capacity to meet peak
demand.

5.Regulatory costs: The cost of complying with government regulations related to energy
production and distribution.
6.Weather and seasonal factors: The cost of electricity may vary based on seasonal
demand or weather-related events that affect the availability of energy sources.

7.Market conditions: The cost of electricity may also vary based on market conditions
such as supply and demand, competition, and other factors.

All of these factors are considered when setting electricity tariffs to ensure that the utility
can cover its costs while providing a reliable and affordable supply of energy to
customers.
Q.7 How consumer’s response changes due to the variation of energy prices,
explain with diagram? What are the components considered for developing
electricity tariff structure?
Consumer response to variations in energy prices can be illustrated using a demand curve.
The demand curve shows the relationship between the price of electricity and the
quantity of electricity that consumers are willing to purchase. When the price of
electricity increases, the quantity demanded by consumers decreases, and vice versa.

The components considered for developing electricity tariff structure include:

1.Fixed charges: These are charges that consumers pay regardless of their actual energy
usage. They cover the fixed costs of providing electricity, such as infrastructure
maintenance and administrative expenses.

2.Variable charges: These are charges that vary based on the amount of electricity
consumed. They cover the variable costs of providing electricity, such as fuel and
operating expenses.

3.Time-of-use pricing: This involves charging different prices for electricity based on the
time of day or season. For example, peak hours may have higher prices to incentivize
consumers to shift their energy usage to off-peak hours.
4.Demand charges: These charges are based on the peak level of electricity consumption
during a specific period. Consumers with higher peak demand may be charged more to
cover the cost of providing additional capacity.

5.Renewable energy surcharges or incentives: Some tariff structures include surcharges

or incentives to promote the use of renewable energy sources or to cover the costs
associated with renewable energy integration.

6.Regulatory charges: These are charges that cover the costs of complying with
regulatory requirements, such as environmental regulations or energy efficiency
programs.

By considering these components and designing a tariff structure that reflects the true
cost of providing electricity, utilities can encourage efficient energy usage and support
the integration of renewable energy sources.
Q.8 Explain the process of steam formation with diagram?
The process of steam formation, also known as the water-steam cycle, is a crucial part of
power generation in many types of power plants, including coal, nuclear, and natural gas
power plants. The process involves the conversion of water into steam, which is then
used to drive turbines and generate electricity.

Here is a simplified explanation of the process of steam formation, along with a basic
diagram:

1.Water supply: The process begins with the supply of water, which is typically sourced
from a nearby river, lake, or reservoir. The water is then pumped into the power plant's
boiler system.

2.Boiler heating: Inside the boiler, the water is heated using a fuel source such as coal,
natural gas, or nuclear energy. The heat causes the water to reach its boiling point and
turn into steam.
 3.Steam generation: As the water reaches its boiling point, it undergoes a phase change
and turns into steam. The steam is then collected in a separate chamber within the boiler.

4.Steam distribution: Once the steam is generated, it is directed towards the turbine
through pipes and valves. The high-pressure steam is then used to drive the turbine
blades.

5.Turbine operation: The high-pressure steam from the boiler expands through the
turbine blades, causing them to rotate. This rotational motion is used to drive the
generator, which ultimately produces electricity.

6.Condensation and recycling: After passing through the turbine, the steam loses its
energy and condenses back into water. The condensed water is then recycled back into
the boiler to repeat the cycle.

Q. 9 What are the various modes of heat transfer? Explain them briefly?
The various modes of heat transfer are conduction, convection, and radiation.
 1.Conduction: Conduction is the transfer of heat through a material by direct contact.
When one part of a material is heated, the heat energy is transferred to adjacent particles,
causing them to vibrate and transfer the heat further. This process continues until the
entire material reaches the same temperature. Metals are good conductors of heat, while
materials like wood and plastic are poor conductors.

2.Convection: Convection is the transfer of heat through the movement of fluids (liquids
or gases). When a fluid is heated, it becomes less dense and rises, while cooler, denser
fluid descends to take its place. This creates a continuous circulation of fluid, which helps
to transfer heat throughout the material. This mode of heat transfer is commonly observed
in processes such as boiling water or atmospheric circulation.

3.Radiation: Radiation is the transfer of heat through electromagnetic waves. Unlike

conduction and convection, radiation does not require a medium to transfer heat. Instead,
heat is transferred through space in the form of electromagnetic waves, such as infrared
radiation. This mode of heat transfer is responsible for the heat we feel from the sun and
from a fire, as well as the heat emitted by objects at high temperatures.

These three modes of heat transfer often work together in various combinations to
transfer heat from one place to another.
Q. 10
Describe the flue gas analysis by Orsat method with diagram of the apparatus?
Q. 11 The products of combustion of an unknown hydrocarbon C xHy have the following
composition as measured by Orsatapparatus: - CO 2 8 %, CO 0.9 %, O2 8.8 % and
N2 82.3 %. Determine: (a) the composition of the fuel, (b) the air fuel ratio, (c)
percentage of excess air used and (d) chemical formula of the fuel?
Q. 12 The volumetric composition of the dry products of combustion of an
unknown hydrocarbon fuel CxHy gives, CO212.1 %, O23.8 %, CO 0.9 % and
N2 83.2 %.
a. Determine the chemical formula of the fuel?
b. composition of the fuel
c. The air fuel ratio?
d. The percentage of excess air used
 UNIT-2

1. Define the term energy management? What are its objectives?

Energy management is the process of monitoring, controlling, and conserving
energy in a
building or organization. It involves identifying opportunities for energy
efficiency, implementing strategies to reduce energy consumption, and
continuously improving energy performance.

The objectives of energy management include:

1.Reducing energy costs: By improving energy efficiency and reducing energy waste,
organizations can lower their energy bills and save money.

2.Minimizing environmental impact: Energy management aims to reduce greenhouse gas

emissions and other environmental impacts associated with energy consumption.

3.Ensuring energy security: By managing energy usage and diversifying energy sources,
organizations can ensure a reliable and secure energy supply.
 4.Improving operational efficiency: Energy management can lead to more efficient
operations and equipment, resulting in cost savings and improved productivity.

5.Meeting regulatory requirements: Many jurisdictions have regulations and standards

related to energy efficiency and conservation, and energy management helps
organizations comply with these requirements.

Overall, the goal of energy management is to optimize energy use, reduce costs, and
minimize environmental impact while maintaining operational efficiency.
2. What is energy audit? Explain the needs of energy audit?
An energy audit is a systematic process of evaluating the energy usage and efficiency of a
building, facility, or organization. It involves analyzing energy consumption patterns,
identifying areas of energy waste, and recommending measures to improve energy
efficiency.

The needs of an energy audit include:

1.Identifying energy saving opportunities: An energy audit helps in identifying areas

where energy is being wasted and provides recommendations for improving energy
efficiency.

2.Cost savings: By identifying and implementing energy-saving measures, organizations

can reduce their energy costs and save money in the long run.

3.Environmental impact: Energy audits help in identifying opportunities to reduce

greenhouse gas emissions and other environmental impacts associated with energy
consumption.
 4.Compliance with regulations: Many jurisdictions have regulations and standards related
to energy efficiency, and an energy audit helps organizations comply with these
requirements.

5.Energy security: By assessing energy usage and identifying opportunities for

diversifying energy sources, an energy audit helps in ensuring a reliable and secure
energy supply.

Overall, the main purpose of an energy audit is to provide organizations with a

comprehensive understanding of their energy usage and to identify opportunities for
improving energy efficiency, reducing costs, and minimizing environmental impact.
3. How a detailed energy audit is different from preliminary energy audit?
Ans- A detailed energy audit and a preliminary energy audit differ in terms of scope,
depth, and level of analysis. Here's a breakdown of the differences between the two:

1. Scope and Depth:

-Preliminary Energy Audit: A preliminary energy audit typically involves a basic
assessment of energy usage, focusing on high-level energy consumption patterns,
equipment, and operational practices. It may include a walk-through inspection, review of
utility bills, and identification of low-cost or no-cost energy-saving measures.

-Detailed Energy Audit: A detailed energy audit involves a comprehensive and in-
depth analysis of energy consumption, covering all aspects of a facility's energy usage.
This includes a thorough examination of building systems, equipment, processes, and
operational practices. It often involves the use of specialized tools, data loggers, and
performance testing to gather detailed information about energy usage patterns.

2. Data Collection and Analysis:

-Preliminary Energy Audit: Data collection in a preliminary audit is generally less
extensive and relies on readily available information such as utility bills, equipment
specifications, and general observations. The analysis is often qualitative in nature and
provides a broad overview of potential energy-saving opportunities.

- Detailed Energy Audit: A detailed energy audit involves meticulous data collection,
including sub-metering, energy monitoring, and detailed measurement and verification of
energy use across different systems and processes. The analysis is quantitative and
includes advanced energy modeling and simulation to assess the impact of various
energy-saving measures.

3.Recommendations and Action Plan:

-Preliminary Energy Audit: The recommendations from a preliminary audit are often
general in nature and may focus on low-cost or behavioral changes that can be
implemented without significant investment. It provides a starting point for energy
management but may lack specific details for implementation.

-Detailed Energy Audit: In a detailed energy audit, the recommendations are specific,
actionable, and tailored to the facility's operational and technical requirements. It includes
detailed cost-benefit analysis, prioritization of energy-saving measures, and a
comprehensive action plan that outlines the steps needed to implement the recommended
improvements.

4.Investment and Implementation:

-Preliminary Energy Audit: The findings of a preliminary audit may guide initial energy
efficiency measures that are relatively easy to implement, with minimal capital
investment. However, it may not provide the in-depth analysis needed for larger, long-
term energy-saving projects.

-Detailed Energy Audit: A detailed energy audit provides the foundation for making
informed decisions on significant energy efficiency investments. It offers a detailed
understanding of the technical, financial, and operational aspects of potential energy-
 saving projects, enabling organizations to prioritize and implement measures that deliver
the greatest return on investment.

Overall, while a preliminary energy audit provides a basic understanding of energy usage
and potential areas for improvement, a detailed energy audit offers a comprehensive
analysis that informs more precise and impactful energy management strategies and
investments.
4. What are the types of information needed to be collected during pre audit phase?
During the pre-audit phase, the following types of information need to be collected:

1.Energy consumption data: This includes historical energy usage data for the building or
facility, such as electricity, natural gas, and other fuel consumption.

2.Building or facility information: This includes details about the building or facility,
such as its size, layout, construction materials, and equipment.

3.Operational data: Information about the building's operating hours, occupancy patterns,
and equipment usage is important for understanding how energy is being used.

4.Utility bills: Collecting utility bills for the past 12-24 months can provide valuable
insights into energy consumption patterns and trends.

5.Equipment and systems information: Details about the HVAC systems, lighting,
appliances, and other energy-consuming equipment in the building are necessary for
assessing energy usage.

6.Building envelope and insulation details: Information about the building's insulation,
windows, doors, and other components of the building envelope is important for
evaluating energy efficiency.
 7. Occupant behavior: Understanding how occupants use energy in the building, such as
their comfort preferences, temperature settings, and energy-saving habits, is important for
identifying potential energy-saving opportunities.

Collecting this information allows auditors to gain a comprehensive understanding of the

building's energy usage and to identify potential areas for improvement during the audit
process.

5. Explain the activities performed during detailed audit phase?

During the detailed audit phase, auditors perform a more thorough examination of the
building or facility to gather detailed information about energy usage and identify specific
opportunities for energy efficiency improvements. Some of the activities performed
during this phase include:

1.On-site inspections: Auditors conduct detailed on-site inspections to assess the

condition and performance of energy-consuming systems and equipment, such as HVAC
systems, lighting, and appliances. This may involve conducting measurements, tests, and
visual inspections to identify potential energy-saving opportunities.

2.Data logging and monitoring: Auditors may use data logging and monitoring equipment
to collect real-time data on energy usage and performance of systems and equipment.
This helps identify patterns, trends, and inefficiencies that may not be apparent from
historical data alone.

3.Interviews and surveys: Auditors may interview building occupants, maintenance staff,
and facility managers to gather insights into energy usage patterns, operational practices,
and potential areas for improvement. Surveys may also be conducted to gather
information about occupant behavior and comfort preferences.
 4.Performance analysis: Auditors analyze the collected data to assess the performance of
energy-consuming systems and equipment, identify energy waste, and quantify potential
energy savings from proposed efficiency measures.

5.Cost-benefit analysis: Auditors conduct cost-benefit analyses to evaluate the economic

feasibility of proposed energy efficiency measures, taking into account upfront costs,
potential energy savings, and return on investment.

6.Recommendations: Based on the findings of the detailed audit, auditors develop a list
of recommended energy efficiency measures tailored to the specific needs and
opportunities of the building or facility. These recommendations may include equipment
upgrades, operational improvements, behavior change initiatives, and other strategies to
reduce energy consumption.

Overall, the detailed audit phase is focused on gathering in-depth information about
energy usage and identifying specific opportunities for energy efficiency improvements
that can be implemented to achieve meaningful energy savings.
Q.6 Explain the steps required to perform detailed energy audit?

The steps required to perform a detailed energy audit include:

1. Initial assessment: The auditor conducts an initial assessment of the building or facility to
gather basic information about energy usage, systems, and equipment. This may involve
reviewing historical energy bills, conducting interviews with facility staff, and identifying
potential areas for improvement.

2. On-site inspections: Auditors conduct detailed on-site inspections to assess the condition and
performance of energy-consuming systems and equipment. This may involve measurements,
tests, and visual inspections to identify potential energy-saving opportunities.
3. Data logging and monitoring: Auditors use data logging and monitoring equipment to collect
real-time data on energy usage and performance of systems and equipment. This helps identify
patterns, trends, and inefficiencies that may not be apparent from historical data alone.

4. Interviews and surveys: Auditors interview building occupants, maintenance staff, and facility
managers to gather insights into energy usage patterns, operational practices, and potential areas
for improvement. Surveys may also be conducted to gather information about occupant behavior
and comfort preferences.

5. Performance analysis: Auditors analyze the collected data to assess the performance of
energy-consuming systems and equipment, identify energy waste, and quantify potential energy
savings from proposed efficiency measures.

6. Cost-benefit analysis: Auditors conduct cost-benefit analyses to evaluate the economic

feasibility of proposed energy efficiency measures, taking into account upfront costs, potential
energy savings, and return on investment.

7. Recommendations: Based on the findings of the detailed audit, auditors develop a list of
recommended energy efficiency measures tailored to the specific needs and opportunities of the
building or facility. These recommendations may include equipment upgrades, operational
improvements, behavior change initiatives, and other strategies to reduce energy consumption.

8. Reporting: The auditor prepares a detailed report summarizing the findings of the audit,
including recommendations for energy efficiency improvements and their potential impact on
energy usage and costs.
Overall, the detailed energy audit involves a thorough examination of the building or facility to
gather detailed information about energy usage and identify specific opportunities for energy
efficiency improvements.

7. Write a short note on industrial, commercial and residential audit planning?

Industrial, commercial, and residential energy audit planning involves tailoring the audit
process to the specific needs and characteristics of each type of building or facility.

For industrial facilities, the audit may focus on energy-intensive processes, equipment, and
systems, such as boilers, motors, and production lines. The audit may also consider factors such
as production schedules, shift patterns, and process requirements that can impact energy usage.

In commercial buildings, the audit may focus on HVAC systems, lighting, and office equipment,
as well as occupant behavior and comfort considerations. The audit may also consider factors
such as building occupancy patterns, operating hours, and tenant energy usage.

For residential buildings, the audit may focus on heating and cooling systems, appliances, and
insulation, as well as occupant behavior and lifestyle habits. The audit may also consider factors
such as household size, usage patterns, and comfort preferences.

In all cases, the audit planning process involves understanding the specific energy usage patterns,
systems, and equipment of the building or facility, as well as considering the unique operational
and occupant factors that can impact energy consumption. The goal is to tailor the audit to
identify specific opportunities for energy efficiency improvements that are relevant to the
particular type of building or facility.
8. What is the significance of knowing the energy cost?

9. State the benefits of benchmarking energy consumption?

Ans- Benchmarking energy consumption offers several benefits, including:
1.Performance Comparison: By benchmarking energy consumption, organizations can
compare their energy usage with similar facilities or industry standards. This allows for
an understanding of how efficiently they are using energy and where they stand in
relation to others in the same sector.

2.Identifying Improvement Opportunities: Benchmarking helps in identifying

opportunities for improvement by highlighting areas where energy efficiency can be
enhanced. It provides insight into potential energy savings and areas where operational
changes or investments in energy-efficient technologies can be made.

3.Setting Realistic Targets: Through benchmarking, organizations can set realistic energy
consumption reduction targets based on industry benchmarks or the performance of
similar facilities. This enables them to establish achievable goals for reducing energy
usage and improving overall efficiency.

4.Prioritizing Investments: Benchmarking assists in prioritizing energy efficiency

investments by identifying the areas that offer the most significant opportunities for
energy savings. This ensures that resources are allocated to projects that will yield the
greatest impact on reducing energy consumption.

5.Tracking Progress: By regularly benchmarking energy consumption, organizations can

track their progress over time. This allows for the monitoring of energy efficiency
initiatives and provides a basis for evaluating the effectiveness of implemented changes
and investments.

6.Enhancing Sustainability: Benchmarking energy consumption fosters a culture of

sustainability within an organization. By effectively managing and reducing energy
usage, companies can reduce their environmental impact and contribute to broader
sustainability goals.
 Overall, benchmarking energy consumption provides crucial insights for organizations to
optimize their energy usage, reduce costs, and minimize environmental impact,
ultimately contributing to improved operational efficiency and sustainability.
Q.10 What are the ways to improve energy efficiency of a plant? Define the term
Q.11 reference year energy use equivalent?
Ans- The term "reference year energy use equivalent" typically refers to a comparative
metric used to standardize and quantify energy usage data. In the context of building
energy performance or energy efficiency assessments, the reference year energy use
equivalent serves as a benchmark for evaluating the energy performance of a building or
facility.

The reference year energy use equivalent is often calculated based on the energy
consumption of a building during a specific historical/reference year. This historical
energy consumption data is then adjusted and normalized to account for factors such as
weather variations, changes in building occupancy, operational improvements, or
structural modifications.

The purpose of establishing a reference year energy use equivalent is to provide a

consistent basis for comparing the energy performance of a building over time or in
comparison to similar buildings. By using a normalized reference year energy use
equivalent, organizations can assess whether their current energy performance is better or
worse than the established benchmark year, considering factors that could influence
energy consumption beyond just the time elapsed.

This metric enables organizations to track and evaluate the effectiveness of energy
efficiency measures, gauge the impact of operational changes, and make informed
decisions regarding further energy performance improvements. It also aids in setting
realistic energy reduction targets, identifying potential areas for improvement, and
implementing strategies to optimize long-term energy use.
 Overall, the reference year energy use equivalent provides a standardized reference point
for analyzing energy performance, facilitating meaningful comparisons, and guiding
energy management decisions within the context of buildings or facilities.
Q.12 Explain the term energy substitution? Give examples.
Q.13 What are the key instruments required to conduct a successful energy audit?
Explain them briefly?
Conducting a successful energy audit requires several key instruments and tools to collect
data, analyze energy usage, and assess potential areas for improvement. Some of the
crucial instruments for an energy audit include:

1.Energy Meters: Energy meters are used to measure electricity, gas, water, and other
utility consumption. These meters provide precise data on energy usage patterns, helping
identify areas of high consumption and potential inefficiencies.

2.Power Quality Analyzers: Power quality analyzers are utilized to assess the quality of
electrical power in a facility. They measure parameters such as voltage, current, power
factor, and harmonic distortion, enabling the identification of issues affecting energy
efficiency and equipment performance.

3.Infrared Thermal Imaging Cameras: These cameras capture thermal images of

equipment and building components to detect temperature variations. By identifying
areas of heat loss, overheating electrical components, or HVAC inefficiencies, thermal
imaging helps pinpoint energy wastage and potential equipment problems.

4.Data Loggers: Data loggers are used to record and analyze energy consumption over
time. They can be employed to monitor temperature, humidity, energy usage, and other
parameters, providing valuable insights into operational patterns and identifying
opportunities for energy savings.

5.Air and Gas Flow Meters: Air and gas flow meters measure the flow rate of air, steam,
or other gases in industrial processes. They are essential for assessing the efficiency of
 HVAC systems, industrial processes, and ventilation systems, enabling the identification
of optimization opportunities.

6.Light Meters: Light meters are used to measure the illuminance levels in indoor and
outdoor spaces. By quantifying light levels, energy auditors can assess lighting
efficiency, validate compliance with lighting standards, and identify opportunities for
lighting upgrades or retrofits.

7.Environmental Sensors: Environmental sensors, such as temperature and humidity

sensors, are employed to monitor environmental conditions within a facility. They
provide data to evaluate HVAC system performance and identify opportunities for
improving comfort while reducing energy consumption.

8.Building Energy Management Systems (BEMS): BEMS platforms integrate various

sensors, meters, and control systems to monitor and manage a building's energy usage.
By collecting and analyzing real-time data, BEMS enable energy auditors to identify
operational inefficiencies and implement control strategies to optimize energy
performance.

These instruments, when used in combination, provide comprehensive insights into a

facility's energy consumption patterns, equipment performance, and potential areas for
energy-saving interventions. They are essential for conducting a thorough and effective
energy audit, helping organizations make informed decisions to improve energy
efficiency and reduce operational costs.
Q.14 Explain the duties and responsibilities of energy auditor and energy manager?
Q.15 What is energy conservation act? Explain key features of the act?
The Energy Conservation Act is a legislation passed by the Government of India in 2001
to promote energy efficiency and conservation in the country. The key features of the act
are:
1.Establishment of Bureau of Energy Efficiency (BEE): The act created BEE as the
central agency responsible for promoting energy conservation and efficiency in the
country.

2.Energy conservation norms for industries: The act mandates that designated industries
comply with energy conservation norms and report their energy consumption to BEE.

3.Energy audits: The act requires large energy-consuming industries to conduct energy
audits and implement measures to improve energy efficiency.

4.Energy labeling: The act establishes a system for labeling appliances and equipment
based on their energy efficiency, which helps consumers make informed choices about
their energy consumption.

5.Standards and labeling of buildings: The act mandates that standards and labeling of
buildings be developed to promote energy efficiency in the construction sector.

6.Energy conservation fund: The act establishes an Energy Conservation Fund to support
energy efficiency initiatives in the country.

7.Building codes: The act requires that building codes be developed and implemented to
promote energy efficiency in the construction sector.

The Energy Conservation Act has played a significant role in promoting energy
efficiency and conservation in India, helping to reduce energy consumption, greenhouse
gas emissions, and energy costs. It has also helped to build awareness about the
importance of energy efficiency and conservation among industry
stakeholders and consumers.

UNIT-3

Q.1 Explain the need for an energy policy?

An energy policy is a set of guidelines and principles that define a country's approach to
energy production, distribution, and consumption. Here are some of the reasons why an
energy policy is important:

1.Energy security: An energy policy can help to ensure a stable and reliable supply of
energy to meet the country's needs. By diversifying energy sources and investing in
energy infrastructure, a country can reduce its dependence on foreign sources of energy
and minimize the risk of supply disruptions.

2.Economic development: Energy is essential for economic growth and development. An

energy policy can help to promote investment in energy production and infrastructure,
which can create jobs and stimulate economic activity.

3.Environmental sustainability: Energy production and consumption can have significant

environmental impacts, including greenhouse gas emissions and pollution. An energy
policy can promote the use of renewable energy sources and energy efficiency measures,
which can help to reduce the environmental impact of energy production and
consumption.

4.Energy affordability: Energy costs can have a significant impact on households and
businesses. An energy policy can help to ensure that energy is affordable for all, by
promoting competition in energy markets and providing support for low-income
households.

5.International cooperation: Energy policies can also help to promote international

cooperation and collaboration on energy issues, such as climate change and energy
security.

Overall, an energy policy is important because it can help to ensure that a country's
energy needs are met in a way that is sustainable, affordable, and reliable, while also
promoting economic growth and protecting the environment.
2. Briefly explain about “force field analysis” as a tool for achieving goals of energy
action planning. Give two examples each positive and negative forces acting towards
achieving towards the goal in an industry?
Ans- Force field analysis is a management tool that is commonly used in energy action
planning to identify the positive and negative forces that affect the achievement of a goal.
The goal is represented as a force field, where the positive forces are driving the
achievement of the goal, and negative forces are hindering it. By identifying and
analyzing the forces, it helps to understand how to improve the chances of achieving the
goal.

Here are two examples each of positive and negative forces acting towards achieving a
goal in an industry:

Positive forces:

1.Availability of renewable energy sources (wind, solar, hydro, etc.) can help the industry
to transition towards clean energy sources and reduce greenhouse gas emissions.
2.Government incentives and subsidies for energy efficiency measures can help the
industry to adopt sustainable practices and technologies.

Negative forces:

1.High initial investment costs for renewable energy technologies, which may deter the
industry from adopting them.
2.Lack of awareness and knowledge about sustainable practices and technologies among
industry stakeholders, which may lead to resistance to change.

By analyzing the positive and negative forces, an energy action plan can be developed to
address the negative forces and reinforce the positive ones. This may include strategies
such as offering financial incentives for adopting sustainable practices, providing training
and education for industry stakeholders, or addressing policy and regulatory barriers.
3. Briefly explain the importance of “Energy information systems” in energy action
planning.
Ans- Energy information systems (EIS) play a crucial role in energy action planning by
providing organizations with the necessary tools to monitor, analyze, and manage energy
usage effectively. Here's a brief overview of their importance:

1.Data Visibility and Transparency: EIS enable organizations to capture and visualize
real-time energy consumption data from various sources such as utility meters, building
management systems, and sensors. This visibility allows for a comprehensive
understanding of energy usage patterns, facilitating informed decision-making.

2.Performance Monitoring: EIS help in tracking the performance of energy-saving

initiatives and operational changes. By comparing historical and real-time data,
organizations can assess the effectiveness of energy efficiency measures, identify areas
for improvement, and verify the impact of energy action plans.

3.Identifying Anomalies and Opportunities: Energy information systems can detect

anomalies or inefficiencies in energy consumption, providing alerts for potential
equipment malfunctions, wastage, or abnormal usage patterns. They also help pinpoint
opportunities for energy savings through behavior modifications, equipment upgrades, or
process optimizations.

4.Reporting and Benchmarking: EIS enable the generation of comprehensive energy

reports and benchmarks. These reports are valuable for setting energy reduction targets,
complying with energy regulations, and showcasing achievements to stakeholders.

5.Budgeting and Forecasting: With the aid of EIS, organizations can accurately budget
for energy expenses and forecast future energy use based on historical data and trending
patterns. This allows for proactive planning and management of energy costs.
 6. Integration with Energy Management Systems: EIS can be integrated with energy
management systems to automate control strategies, optimize operations, and further
enhance energy efficiency. They facilitate centralized control and monitoring of energy-
consuming assets.

Overall, energy information systems are vital for establishing data-driven energy action
plans, ensuring ongoing monitoring and optimization of energy usage, and facilitating
informed decision-making to drive long-term energy efficiency and sustainability
4. List and explain various requirements of energy action planning?
5. Describe actions to bring awareness on energy management programme?
6. Explain the role of training in energy management?
7. Explain what type of support is provided by energy manager and energy committee
in an organisation?

UNIT-4

1. What is reactive power management?

2. A chemical industry had installed a 1500 kVA transformer. The initial demand of
the plant was 1160 kVA with power factor of 0.7. To improve the power factor and
to avoid the penalty, the unit added about 410 kVA in motor in motor load end.
What is the improved power factor and percentage loading of transformer?
3. List advantages of power factor improvement by capacitor addition?What are the
cost benefits of power factor improvement?The utility bill shows an average power
factor of
0.72 with an average kW of 627. How much kVA is required to improve the power
factor to 0.95?
4. Explain with diagram the most appropriate locations of capacitor to be placed at
the distribution network?
5. Explain saving potential comparison using LED with CFL and
light bulbs?Incandescent
incandescentUnits
Parameter Compact Fluorescent Light Emitting Diodes
bulbs Lamps (CFL) (LED)
Life span hours 1,500 10,000 50,000
Cost of bulb Rupees 10 120 400
Wattage Watts 60 14 6
Lumen (Brightness) Lm 750 700 680

Power consumed Kilowatt 0.06 0.014 0.006

per hour hour (kWh)
Cost of usage for 1 Rupees 0.36 0.084 0.036
hour @ 6 Rs/kWh

Calculate the following

a)Cost of usage for 60,000 hours

b)Total number of bulbs needed in each case
c)Cost of replacement
d)Total 60,000 hour lighting cost
Q.6 A chemical plant operates a cooling and refrigeration applications.
During the performance testing the following operating parameters where
measured. Calculate the efficiency of the pump?
Pump flow, Q-0.4 m3/s
Power absorbed – 325 kW Suction head – 1 m Discharge head – 55 m Motor
efficiency – 88 % Density of water – 996 kg/m 3
7. The suction head is 1 m below the pump centreline. The discharge pressure shows 3
kg/cm2. The flow is calculated to be 100 m3/h. Find the pump efficiency, if shaft power
of the pump is 300 kW?
8. Write a short note on energy conservation using domestic appliances?
(i) Lights
(ii) Refrigerator
(iii) Water heater
(iv) Fans
(v) Pumps

UNIT-5

1. What are the needs of investment in energy efficiency? Explain the criteria for
investment?
2. What is simple payback period? Explain its advantages and disadvantages?

3. Write short note on

a. Simple payback period
b. Internal rate of return
c. Return on investment
d. Net present value
e. Cash flow and sensitivity analysis Ans- a. Simple Payback Period:
The Simple Payback Period is a straightforward financial metric used to evaluate the
time it takes for an investment to pay for itself. It is calculated by dividing the
initial investment cost by the annual saving or profit generated by the investment.
The simple payback period provides a quick assessment of the time required to
recoup the initial investment, making it a useful metric for determining the
feasibility of projects with relatively short investment horizons.

b. Internal Rate of Return:

The Internal Rate of Return (IRR) is a financial metric used to assess the profitability
of an investment by calculating the effective annual return rate. It represents the
discount rate at which the net present value of cash inflows equals the net present
value of cash outflows. A higher IRR signifies greater potential returns. IRR is
helpful for comparing investment opportunities and determining whether an
investment generates returns surpassing the cost of capital.

c. Return on Investment:
Return on Investment (ROI) is a performance measure used to evaluate the efficiency
of an investment or to compare the efficiency of several investments. It is
calculated by dividing the net profit from an investment by the initial investment
cost and expressing it as a percentage. A high ROI indicates a favorable return
relative to the initial investment, while a low ROI may suggest the need for
reevaluation or optimization of investment strategies.

d. Net Present Value:

 Net Present Value (NPV) is a financial metric used to evaluate the profitability of
an investment or project. NPV calculates the present value of all future cash
inflows and outflows associated with an investment, discounted at a specified rate.
A positive NPV indicates that the projected earnings (in today's dollars) exceed
the initial investment, making the investment attractive, while a negative NPV
suggests a potential loss.

e. Cash Flow and Sensitivity Analysis:

Cash Flow and Sensitivity Analysis involves assessing the impact of various
factors, such as changes in costs, revenues, or discount rates, on the cash flows
and financial outcomes of an investment or project. By modeling different
scenarios and analyzing their effects on cash flow streams, organizations can gain
insights into the robustness of their investment decisions and better understand the
potential risks and opportunities associated with the investment. Sensitivity
analysis helps in quantifying the impact of uncertainty and variability on
investment performance, aiding in more informed decision-making.
4. What is interval rate of return? Lists its advantages and limitation?
5. Calculate the internal rate of return for an economizer that will cost Rs.500,000, will
last 10 years, and will result in fuel savings of Rs.150,000 each year. Consider
NPV at 25 % and 30% discount rate.
Q.6 A proposed project requires an initial cash capital investment of Rs 20,000. The
cash flows generated by the project are shown in table below. Evaluate the financial
merits of the proposed project. Given the cash flow data for internal rate of return
of 8%, 12% and 16% for the projects?

Year Cash Flow (Rs)

0 -20,000
1 6,000
2 5,500
3 5,000
4 4,500
5 4,000
6 4,000
Q.7 Using net present value analysis technique, evaluate the financial merits of the
proposed projects shown in table below. Assume an annual discount rate of 8% for
each project.
Year Project 1 Net annual savings Project 2 Net annual
Cash Flow (Rs) savings Cash Flow (Rs)
Capital Cost (0th year) 30,000 30,000
1 6,000 6,600
2 6,000 6,600
3 6,000 6,300
4 6,000 6,300
5 6,000 6,000
6 6,000 6,000
 7 6,000 5,700
8 6,000 5,700
9 6,000 5,400
10 6,000 5,400

Q.8 What is sensitivity and risk analysis? Explain various micro and macro factors that
are considered for the sensitivity analysis?
Sensitivity analysis and risk analysis are essential tools used to assess the potential
impact of uncertainty, variability, and risk factors on the outcomes of an investment, project, or
business decision.

Sensitivity Analysis:
Sensitivity analysis involves systematically varying key input parameters or assumptions
to assess how sensitive the outcomes (such as financial metrics, project performance, or
operational results) are to changes in these factors. By quantifying the effects of different
scenarios, sensitivity analysis helps in understanding the robustness of the decision-
making model and identifying the most critical factors influencing the outcomes.

Micro and Macro Factors Considered for Sensitivity Analysis:

1.Micro Factors:
a.Unit Costs: Variations in the cost of inputs, materials, or resources necessary for the
project can significantly impact the overall budget and financial performance.
b.Sales Volume: Fluctuations in sales volume or demand for products/services can
directly affect revenue projections and profitability.
c.Operating Expenses: Changes in operating costs, including labor, utilities,
maintenance, and other expenses, can influence the overall cost structure of the project or
business.
d.Discount Rate: Altering the discount rate used for evaluating the present value of
future cash flows can affect the project's net present value, internal rate of return, and
other financial metrics.
e.Inflation Rates: Variations in inflation rates can impact costs, revenues, and the real
value of future cash flows, necessitating consideration in sensitivity analysis.

1.Macro Factors:
a.Market Conditions: Changes in market dynamics, such as competitive actions, shifts
in consumer preferences, or regulatory changes, can impact revenue streams and demand
patterns.
b.Economic Conditions: Fluctuations in macroeconomic indicators, including interest
rates, GDP growth, and exchange rates, can influence the overall business environment
and financial performance.
c.Technological Changes: Advancements in technology or disruptive innovations can
alter operational efficiency, product performance, and market positioning, necessitating a
thorough sensitivity analysis.
 d.Environmental Factors: Environmental regulations, sustainability initiatives, and
climate-related risks can significantly impact operations, costs, and long-term viability.
e.Political and Regulatory Risks: Changes in government policies, trade regulations,
and legal frameworks can introduce uncertainties that need to be evaluated through
sensitivity analysis.
f.Geopolitical Events: Events such as geopolitical tensions, trade disputes, or global
crises can lead to market volatility and impact the business environment.

By considering these micro and macro factors in sensitivity analysis, decision-makers

can gain a deeper understanding of the potential impact of both internal and external
variables on the performance and viability of their investments or projects. This, in turn,
allows for more informed decision-making and risk mitigation strategies.
9. What is energy performance contracting and role of Energy Service Company
(ESCO)?
Ans- Energy performance contracting (EPC) is a financing mechanism used to
implement energy efficiency, renewable energy, and water conservation projects in
buildings or
facilities. It involves engaging an Energy Service Company (ESCO) to design,
implement, and finance energy and water efficiency projects, with the guarantee that the
savings achieved will cover the cost of the project over a specified contract period.

The role of an Energy Service Company (ESCO) in energy performance contracting is

multifaceted:

1.Energy Audit and Project Design: The ESCO conducts a comprehensive energy audit of
the client's facilities to identify potential energy-saving measures and renewable energy
opportunities. Based on the audit findings, the ESCO designs a customized energy
efficiency and conservation plan tailored to the client's needs, focusing on measures that
provide the greatest savings.

2.Financing and Implementation: The ESCO provides the upfront capital investment
required for the energy efficiency projects. This covers the cost of equipment,
installation, and implementation. The ESCO assumes the associated performance and
financial risks, with the goal of generating energy cost savings that will repay the initial
investment.

3.Performance Guarantees: One of the key roles of an ESCO is to provide performance

guarantees. The ESCO contracts typically include a guarantee that the implemented
energy efficiency measures will result in a specified level of energy and cost savings. If
the savings fall short of the guaranteed levels, the ESCO is often required to compensate
the client for the shortfall.

4.Ongoing Monitoring and Verification: As part of the EPC agreement, the ESCO is
responsible for monitoring and verifying the actual energy savings achieved by the
implemented measures. This ongoing performance monitoring ensures that the promised
benefits are being realized and helps identify any issues or opportunities for optimization.

5.Measurement and Verification (M&V): ESCOs employ M&V protocols to quantify and
verify the energy and cost savings resulting from the implemented measures. This is
crucial for establishing the financial and environmental impact of the projects, and it
provides the basis for determining the ESCO's compensation.

Overall, the ESCO plays a pivotal role in energy performance contracting by assuming
the financial and performance risks associated with energy efficiency projects, providing
the necessary capital and expertise for project implementation, and ensuring that the
promised savings and benefits materialize over the contract period.