An improved baseline model for a mine surface cooling plant DSM project

Abstract

Several challenges exist for the successful implementation of energy cost reduction projects on industrial systems. Due to the potential large financial impact of these projects, the process of determining and reporting specific project impact is crucial to the ultimate success of the project. Numerous demand side management (DSM) projects have been implemented worldwide, including South Africa. The success of these projects, and the success of the energy services company industry have ultimately been due to, and testifies to, the large energy savings that DSM projects have delivered. Currently there are detailed measurement and verification frameworks and guidelines that are well developed and widely implemented. The associated energy services industry relies on well-proven standardised methodologies to ensure accountability and sustainability of DSM projects. Implementation of an actual DSM project on a mine cooling system has highlighted the need for a post-project reassessment of the pre-implementation accepted baseline model, which prompted this investigation. This thesis will focus on developing a baseline model that is suitable for post-project implementation analysis as well as the evaluation of baseline models and reported benefits of DSM projects on mine surface cooling systems. This study analysed the effect of baseline model selection on a DSM project. It was found that baseline model selection has a major influence on the reported project impact. It was further found that a conservative estimate of an additional unclaimed saving for a specific project on a surface mine cooling system was R835 390.91 with a total unclaimed energy saving of 741.31 MWh over the six-month period from March to August 2016