Investing budgets and resources in a project is a decision that is linked to a fundamental aspect: ROI. The first question entrepreneurs ask, even when they intend to go through an energy requalification of their sites, is: “What will be the return on this Investment?”. The only way to be sure of this is to use forecasting and monitoring tools that respect the IPMVP® protocol.
In this article, we will clarify the importance of knowing and relying on this convention. Here are the topics we will cover:
- Why was the IPMVP® originally developed.
- Benefits of using IPMVP.
- Request a DEMO of Energis.Cloud, the only software that uses IPMVP-compliant models and calculations.
Why was the IPMVP® originally developed
IPMVP® is an acronym for International Performance Measurement and Verification Protocol. It is a convention that has aimed to standardise at an international level the ways in which the performances of energy, water, and renewable energy projects are measured and verified.
Why was it needed?
As stated on the EVO® website itself, energy savings are not directly measurable as they represent the absence of consumption of an energy source. The only way to determine real energy savings is to compare the consumption before and after the implementation of some measures or the implementation of an efficiency improvement project, taking into account variables.
The scope of the international protocol is to establish exactly what and how to measure, to guarantee uniformity and clarity.
What are the benefits of using IPMVP?
IPMVP applies to a wide variety of facilities, including existing and new buildings and industrial processes. The protocol offers the possibility to measure with seriousness and impartiality the savings obtained in the company thanks to the implementation of projects including energy efficiency, water, and renewable sources. In particular:
- When financial payments are based on demonstrated energy or water savings, as in the case of Energy Performance Contracts (EPC), adherence to IPMVP ensures that savings follow good practice. An IPMVP-adherent savings report allows a customer, an energy user, or a utility, to readily accept reported performance. Energy service companies (ESCOs) whose invoices are supported by IPMVP-adherent savings reports, usually receive prompt payments.
- For professionals such as ESCO and Energy Managers, the specification of IPMVP as the basis for designing a project’s M&V can simplify the negotiations for an energy performance contract. The use of a tool to forecast the costs and benefits of a project based on this protocol also eliminates the risk of discussions.
- Your reports, if drafted with IPMVP® based software products, enjoy greater credibility and value, representing a competitive advantage for energy professionals.
- A reference is offered at the level of tools and methodologies that allows companies to promote and reach energy-saving objectives more easily.
Choose software that Measures and Verifies Savings in accordance with IPMVP guidelines
Our Energy management software, Energis.Cloud, has been programmed in compliance with the IPMVP® to fully support the activity of energy professionals and companies.
We all know that consumption is influenced by many factors, such as weather conditions and building occupancy. Energis.Cloud uses Artificial Intelligence algorithms that identify these factors and link them to consumption with great precision. Energis.Cloud is the only software on the market capable of identifying energy models in just a few clicks and in line with the International Performance Measurement and Verification Protocol.
The resulting consumption baselines can be used to:
- optimise energy performance (generating intelligent alerts);
- forecast consumption and production of energy;
- calculate savings before and after the project implementation, under the same conditions.
In the image below, we can appreciate the different criteria used for the creation and use of extremely precise models that guarantee the correct forecast of energy consumption and the determination of the savings achieved.
EVO® is a non-profit organization whose services and products help professionals manage and invest in energy efficiency projects. In particular, the organisation aims to ensure that the savings and the impact of such projects can be measured in an accurate and verifiable manner.
In EVO®, the internal commission dedicated to IPMVP® is composed of volunteers (all qualified professionals) from all over the world who are committed to developing and updating the protocol, promoting the dissemination of energy efficiency tools and best practices.