Does SEM Achieve Verified Savings? A Summary of Evaluation Results

Many SEM programs are relatively new, and only a handful have reported—much less verified—energy savings due to the challenges in quantifying savings. Some program administrators considering SEM are hesitant to implement programs without more evidence that savings are verifiable and sustainable.

This paper begins to address these barriers by outlining the variations in SEM program designs, identifying the challenges to quantifying energy savings, presenting evaluated savings for four SEM programs, proposing strategies for improving the likelihood that savings are quantifiable, and summarizing research in the pipeline.

Authors: Heidi Ochsner, Cadmus Tolga Tutar, Cadmus Erika Kociolek, Energy Trust of Oregon Steve Phoutrides, Northwest Energy Efficiency Alliance 

ABSTRACT

The first strategic energy management (SEM) program was launched in 2005, creating an approach to facility energy efficiency similar to the Lean Six Sigma method to process efficiency. Since then, SEM programs have evolved and more program administrators are offering variants of SEM. In 2014, at least 12 SEM programs were offered in North America, excluding initiatives and certifications available through the U.S. Department of Energy and International Organization for Standardization 50001 (CEE, 2014a). Many SEM programs are relatively new, and only a handful have reported—much less verified—energy savings due to the challenges in quantifying savings. Some program administrators considering SEM are hesitant to implement programs without more evidence that savings are verifiable and sustainable.  This paper begins to address these barriers by outlining the variations in SEM program designs, identifying the challenges to quantifying energy savings, presenting evaluated savings for four SEM programs, proposing strategies for improving the likelihood that savings are quantifiable, and summarizing research in the pipeline. 

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