What is Energy Management System ISO 50001:2018
To reduce carbon emission and government target for reduction of Energy consumption Energy Management system is essential for any organisation including pharmaceutical manufacturing. It is our responsibility to save energy as much as possible; energy management system according to ISO 50001 allows untapped potentials to be discovered, the improvement of existing measures and well-targeted action concerning energy consumption and emission reduction.
Targeted energy management is not only of interest for cost-conscious companies. More and more countries are expecting companies to undertake energy audits and measures to reduce the consumption of raw material and negative impacts on the environment. Therefore, companies including pharmaceutical industry not only provide essential contributions to climate protection, they can profit themselves from more predictable consumption and related cost reductions as well as the improved image.
What can ISO 50001 Energy Management System do for Manufacturing companies
ISO 50001:2018 is a detailed system for Energy Management for any organisation, it also supports by introducing targeted measures with instructions. It is not just about quantitative measures, but about a continuous improvement process, which optimally manages energy consumption without negatively influencing the volume or quality of the production.
Benefit of ISO 50001:2018 Energy Management System
- To achieve energy use reduction and carbon emissions in a systematic way;
- Clear picture of current energy use , based on which organization can set Energy Reduction target
- Implementation of new energy-efficient technologies and measures based on analysis of more consuming equipment;
- To promote energy efficiency throughout supply chain;
- To Provide guidance on how to benchmark, measure, document and report corporate energy use;
- To identify potentials to reduce maintenance costs or expand capacity;
- Demonstrating to the stakeholders that corporate commitment to comply with their best practice to protect the environment
- Fulfilling the regulatory requirement
- Make a good image in front of all stakeholders
ISO 50001:2018 Structure
How to Established ISO 50001:2018 System for any organization
Step wise structure for 50001:2018 Implementation
Step 1 Documentation for System
Step 2 Training and Awareness
Step 3 Internal Audit & NC Management
Step 4 Management Review Meeting
Step 5 Certification Audit
ISO 50001 Documentation
To ensure that the activities, products and services conform to the specified EnMS requirements, the EnMS shall be documented in the following 3 levels.
Level 1:
EnMS MANUAL as an apex manual describes the commitment of the management towards energy performance. The sections of this Manual shall be aligned to the structure of ISO 50001:2018 Standard. It addresses how the requirements of various clauses of ISO 50001:2018 shall be fulfilled by the plant.
Level 2:
SOPs provide guidance for carrying out specific activities that are associated with the identified significant energy management projects on-going/specific. Energy Risk Management file
Level 3:
RECORDS for providing evidence that the EnMS is working effectively shall be generated concurrently as the procedures are performed. Forms and Formats used to maintain records shall also be a part of
Energy Manual (Apex Documents) as per ISO 50001:2018
We have to make Energy Manual in which all Main clauses will be there as per organization process. I am putting some of the important information which is used for finalizing Energy Manual
Clause 4 Context of The Organization
The company determines the external and internal issues that are relevant to its purpose and strategic direction and that affect its ability to achieve the intended results of the EnMS ISO 50001.
Consideration is given to the:
- Positive and negative factors or conditions.
- External context and issues, such as legal, regulatory, technological, competitive, cultural, social, political and economic environments.
- Internal context and issues, such as values, culture, organization structure, knowledge and performance of the business.
- Determination and requirements of the needs and expectations of interested parties relevant to the EnMS.
- Authority and ability to exercise control and influence.
- Activities, products and services relevant to the business.
- Documented information is retained as evidence to support that the context of the organization has been taken into account in the EnMS.
All the identified significant risks of external & internal issues will be covered in the Energy risk Management Document.
SWOT Analysis
| Strengths | Weaknesses |
| Constant and at low rate Electricity provided by ……….Positive approach of Top Management towards Energy conservation.Conduct Energy Audit (Internal or External) to identify opportunities of Energy conservation.Provider of a great quality product. Provider of great support for the product. Responsive development to market requirements. Responsive to identified product issues. Depth of knowledge of buyer’s persona. Low client turnover relative to the industry. Quick deployment of product post sales. Deep knowledge of customer’s pain Adaptable, responsive and able to make decisions. Flexible to meet a wide range of customer service issues. Open to suggestions to improving the product. Owners have recognised the need to have external expertise to grow the business. Looking at ways of improving the business. | As pharmaceutical company, organization must have to follow the regulation of GMP guidelines, customer compliances and different standards.Using less number of renewable energy resourcesAdoption of renewable energy as per the high initial cost & less support fromIdentification of good partners to meet our standards/ requirements. Basic raw material and many products are sensitive to temperature and humidityMore use of alternative Electric Supply Source due to power failure. |
| Opportunities | Threats |
| Reduce energy waste and improve energy performance of equipments and the plant to reduce energy cost.Reduction in the generation of pollution to keep environment clean and healthyAdopt renewable energy sources to reduce energy cost and pollution.New technologies New focussed markets. Certification to ISO 9001 will open up other market opportunities through the marketing of the process. More marketing via additional platforms | Competition TechnologyChange and increasing rules and regulation may affect the energy consumptionIncrease in Cost of Energy resources |
Interested Parties
| Interested Party | Needs, Expectations and Issues |
| Owners/Shareholders | Have a growing business that provides profit. Be well governed and well managed. Want staff to enjoy their work, be challenged, perform their job competently and meet the company and customer requirements. |
| Customers | Value for money. A simple solution that manages compliance easier. Implementation of the product in-line with customer expectations. Receive responsive support. |
| Suppliers/Contractors | On-going and secure work. To be paid on time. Clear understanding of requirements. Constructive feedback. Want to provide services/products to a reliable, reputable and financially viable business |
- Organization roles, responsibilities and authorities
Purpose and Scope
To describe the responsibilities and authorities for the EnMS and to define the organization structure for the effective operation of the EnMS
Procedure
- The responsibility, accountability and authority of all personnel involved in the EnMS is to be defined, documented or communicated in order to facilitate effective EnMS. This is to include any responsibilities and accountability that is imposed by legislation.
- Responsibilities, accountabilities and authorities are documented in position descriptions and throughout the EnMS.
- Where suppliers are involved, their responsibilities and accountabilities are to be clarified and documented by the responsible employee with authority.
- All employees and suppliers will comply with their responsibilities.
Energy Team
The responsibilities of energy team shall be:
- Ensuring that the EnMS requirements are established, implemented and maintained as per the ISO 50001:2018 requirements.
- To prepare the Energy Policy at the plant
- To identify Energy management projects
Suppliers and Contractors
Suppliers and Contractors are to:
- Comply with the requirements of the EnMS and participate in EnMS promotions.
- Promptly suggest and provide energy efficient product and service to improve Energy performance.
Resource Provisioning
The resources required for implementation and control of the EnMS shall be provisioned as part of Annual Operating budget. Additional requirement, if identified during the plan period shall be provided by the Plant head.
- Actions to address risks and opportunities
Purpose and Scope
To describe the manner in which the company identifies and manages the risks and opportunities within the business.
Procedure
- The company is committed to identifying and addressing relevant risks and opportunities as a means for:
- Increasing the effectiveness of the EnMS.
- Improving performance.
- Corrective or mitigating negative effects.
- When undertaking risk management activities, the company must give consideration to the:
- Positive and negative factors or conditions.
- External context and issues, such as legal, regulatory, technological, competitive, cultural, social, political and economic environments.
- Internal context and issues, such as values, culture, organisation structure, knowledge and performance of the business.
- Needs and expectation of interested parties
- Authority and ability to exercise control and influence.
- Activities, products and services relevant to the business.
- The company may adopt any or a combination of the following risk options:
- Avoid the risk.
- Eliminate the risk source.
- Take the risk to pursue an opportunity.
- Change the likelihood or consequences of the risk.
- Share the risk.
- Retain the risk by informed decision.
Identification of SEU’s Projects
The energy aspects and their impacts associated with the activities, products and services on which the plant has control or influence shall be identified by the respective departments during brainstorming sessions and meetings of the Core Team. Energy projects can also be identified by inter/external energy audits, which are significant energy users (SEU’s). Consideration shall be given to planned or new developments, or new or modified activities/equipment’s, products and services with respect to energy while identifying the energy projects. The energy projects shall be identified as per scope and boundaries of the plant.
Following is the proposed methodology and approach as per applicability for the internal Energy Audit
- Fans, Blowers & Fume Extraction System
The following aspects will be studied in detail to develop possible projects for energy saving.
- Study of the system requirement vis-à-vis the design of the fan to identify possible projects for fine-tuning the fan
- Study the existing control system for fans and identify better methods of control
- Feasibility of installation of Variable Speed Drives.
- Air Compressors
Compressors are one of the major energy consumers of energy for operation and also for the instrumentation in plants.
The following energy saving opportunities could be explored during the energy audit.
- Optimisation of system pressure in accordance with end use applications
- Assessment of FAD & Estimating the kW/cfm for the compressors and explore the opportunity of replacing with a higher efficiency compressor
- Leakage test to identify losses in the systems & suggest remedial measures to arrest the same
- Study of compressed air distribution network for pressure drops
- Feasibility of installing better control systems like an intermediate controller / Variable Frequency Drive
- Study of compressor auxiliaries to identify possible energy saving opportunities
- Pumps
6,2 Objectives, energy targets and planning to achieve them
Purpose and Scope
To define the processes for establishing measurable EnMS objectives and targets, for establishing plans to achieve those objectives and targets and for periodically monitoring performance in achieving each objective and target.
Procedure
- The company will establish measurable objectives and targets in relation to its EnMS performance.
- The established objectives and targets must be:
- Consistent with the applicable policies.
- Measurable.
- Monitored and updated.
- Effectively communicated to relevant parties.
6.3 What is Energy Review
The organization should develop, record, and maintain an energy review. The methodology and criteria used to develop the energy review are documented.
To develop the energy review, the organization has:
- Analyzed energy use and consumption based on measurement and other data, i.e.
- Identified current energy sources;
- Evaluated past and present energy use and consumption;
- Based on the analysis of energy use, identified the areas of significant energy use, i.e.
- Identified the facilities, equipment, systems, processes and personnel working for, or on behalf of, the organization that significantly affect energy consumption;
- Identified other relevant variables affecting significant energy uses;
- Determined the current energy performance of facilities, equipment, systems and processes related to identified significant energy uses;
- Estimated future energy use and consumption;
- Identified prioritized and recorded opportunities for improving energy performance.
The energy review would be done at the time of the Management Review meeting.
Energy performance indicator
The organization has determined EnPIs for each action items which are
- Appropriate for measuring and monitoring its energy performance;
- Enable the organization to demonstrate energy performance improvement.
EnPI value(s) are reviewed and compared to their respective EnB(S), as appropriate.
EnPI will be review in the Management Review Meeting It will be revised once in a year or as appropriate.
Energy baseline
We can take energy baselines using the information of the energy consumption during the period of 12 months ,24 months based on data availability and variation. Energy Baseline has been considered as the average of the monthly energy consumption
EnB(s) shall be revised in the case of one or more of the following:
- EnPI(s) no longer reflect the organization’s energy performance;
- There have been major changes to the static factors;
- According to a pre-determined method.
Clause 7 Support
Resources
Organisations determines and provides the resources needed for the establishment, implementation, maintenance, updating and continual improvement of the integrated management system.
The resources required for implementation and control of the EnMS is included in Annual Operating budget. If additional requirement identified during the plan period shall be provided by the Plant head.
Competence
Organisations determines:
- The necessary competence of person(s) doing work under its control that affects the performance and effectiveness of the EnMS system and its ability to fulfill its compliance obligations;
- Ensure that these persons are competent on the basis of appropriate education, training, or experience;
- Determined training needs associated with energy performance aspects and its EnMS.
- Where applicable, take actions to acquire the necessary competence, and evaluate the effectiveness of the actions taken;
- Retain appropriate documented information as evidence of competence.
Awareness training should be provided to all employees on Energy Policy, Energy Objectives & targets, energy review associated with their work and their roles and responsibilities with in EnMS.
Competence of Energy Team
Energy team is a cross functional team and it should be from Engineering, Quality, Purchase, Production and management.
Awareness
Organisations ensures that persons doing work under the organization’s control are aware of:
- The energy policy;
- Relevant EnMS objectives;
- The significant energy risks, energy targets and actions determined that are relevant to them
- Their contribution to the effectiveness of the EnMS system, including the benefits of improved performance;
- The implications of not conforming to the EnMS system requirements including not fulfilling the organizational compliance obligation.
Communication
Purpose and Scope
This outlines the framework for communication and consultation with employees, contractors and external parties in relation to EnMS issues and initiatives.
The main objectives are to ensure personnel at all levels and functions are:
- Are aware of EnMS requirements and are effectively involved in the development, implementation and review of policies and procedures.
- Consulted when there are any changes that affect the workplace and or EnMS systems.
| What | When | With whom | How | Who |
| INTERNAL & EXTERNAL COMMUNICATION | ||||
| Energy Policy | Permanent | All Employees / Interested parties | Display / Letter / Email / Training | Management |
| Importance of effective EnMS | As per Training plan / during Orientation training | All Employees | Training / Display | Management |
| Responsibilities and Authority | During recruitment / Promotion /Department change | Employee | Procedure / Oral / Training | Management |
| Energy Objectives | While defining /Once in a year | All employees | Procedure / Oral / Training | Management |
Control of documented information
Documented information required by EnMS of Organisations are controlled to ensure,
- It is available and suitable for use, where and when it is needed.
- It is adequately protected (e.g. from loss of confidentiality, improper use or loss of integrity).
Following activities are addressed for the control of documented information:
- Distribution, access, retrieval and use
- Storage and preservation including preservation of legibility
- Control of changes
- Retention and disposition
- Documented information of external origin determined by the organization to be necessary for the planning and operation of the EnMS are identified as appropriate and be controlled.
Clause 8 Operation
Operational planning and control
Organisations has instituted operational controls for its processes and operations in line with its Energy Policy, significant energy projects, legal requirements, and views of interested parties including customers. These include:
- Establishing criteria for the processes, including the effective operation and maintenance of facilities, equipment, system and energy-using processes, where their absence can lead to a significant deviation from intended energy performance.
- Communicating the criteria to relevant person(s) doing work under the control of the organization.
- Implementing control of the processes in accordance with the criteria, including operating and maintaining facilities, equipment, system and energy-using processes in accordance with established criteria.
- Keeping documented information to the extent necessary to have confidence that the processes have been carried out as planned.
Design
Organisations considers energy performance improvement opportunities and operational control in the design of new, modified and renovated facilities, equipment, systems and processes that can have a significant impact on its energy performance.
The results of the energy performance evaluation are incorporated where appropriate into the specification, design and procurement activities of the relevant projects.
Above issues are discussed in every energy management team meeting and decisions taken on this matter. The results of the design activity are recorded.
Procurement
Organisations establish guidelines for evaluating energy performance over the planned or expected operating lifetime, when procuring energy using products, equipment and services which are expected to have a significant impact on the organization’s energy performance.
When procuring energy using products, equipment and services that have, or can have, an impact on energy performance, the organization shall inform suppliers that energy performance is one of the evaluation criteria for procurement.
Where applicable, the organization shall define and communicate specifications as per guidelines for:
- Ensuring the energy performance of procured equipment and services;
- The purchase of energy.
The organization shall consider energy performance improvement opportunities and operational control as per defined guidelines in the design of new, modified and renovated facilities, equipment, systems and energy-using processes that can have a significant impact on its energy performance over the planned or expected operating lifetime.
Clause 9 Performance evaluation
Monitoring, measurement, analysis and evaluation of the energy performance and the EnMS
Organisations ensures that the key characteristics of its operations that determine energy performance are monitored, measured and analysed at planned intervals. Key characteristics includes at a minimum:
- The effectiveness of the action plans in achieving objectives and energy targets;
- EnPI(s);
- Energy performance of action items for SEUs;
- Actual versus expected energy consumption
- Improvement in energy performance shall be evaluated by comparing EnPI value(s) against the corresponding EnB(s)
- Investigate and respond to significant deviations in energy performance.
Evaluation of compliance with legal requirements and other requirements
Organisations establishes, implement and maintain the process needed to evaluate fulfilment of its compliance’s obligations
Organisation
- Determine the frequency that compliance to be evaluated
- Evaluate compliances and take action if needed.
- Maintain knowledge and understanding of its compliance’s statues
Mechanism of taking Corrective Action and Review
In case non-compliance is identified by the plant against legal or other requirements during operation / internal audit and / or pointed out by the legal authority, cause investigation and Corrective actions shall be planned and implemented by the concerned function in consultation with the Plant Head.
Internal audit
Organisations conduct internal audits of EnMS at least once in a year to provide information on whether the integrated management system:
- Improves energy performance
- Conforms to:
- The organization’s own requirements for its integrated management system;
- The requirements of this International Standard
- Is effectively implemented and maintained.
Reporting of Non-Conformities and Their Closure
The observations shall be clearly identified as “Conforming” and “Non-conforming” by the auditor in the Audit Checklist & Observation Sheet. Potential non-conformities shall be identified as ‘Areas For Improvement’ (AFI) and recorded in the Audit Observation Sheet.
Management review
The organization has implemented review system of EnMS ISO 50001 to ensure its continuing suitability, adequacy and effectiveness.
Management Review Meetings:
The MRM shall address the possible needs for changes to Energy Policy, objectives and other elements of EnMS in the light of EnMS audit results, changing circumstances and commitment to continual improvement in order to ensure that the above aspects are adequately addressed. Agenda for the MRM meetings include the following:
Input of the Management Review Meeting:
- The status of actions from previous Management reviews
- Changes in external and internal issues and associated risk and opportunities that are relevant to the EnMS
- Information on the EnMS performance, including trend in
- Nonconformities and corrective actions
- Monitoring and measurement results
- Audit results
- Result of the evaluation of compliance with legal requirements and other requirements
- Opportunities for continual improvement, including those for competence
- Energy Policy
- The extent to which objectives & energy target have been met
- Energy Performance and Energy Performance improvement based on monitoring and measurement result including EnPI
- Status of Action Plan
Output of the Management Review Meeting:
- Opportunities to improve energy performance
- The energy policy
- EnPI(s) or EnB(s)
- Objectives, energy targets, action plans or other elements of the EnMS and actions to be taken if they are not achieved.
- Opportunities to improve integration with business process
- The allocation of resources
- The improvement of competence, awareness and communication
Clause no. 10 Improvement
Nonconformity and corrective action
Non-conformance may be identified with the help of
- React to the nonconformity and as applicable:
- Take action to control and correct it;
- Deal with the consequences;
- Evaluate the need for action to eliminate the cause(s) of the nonconformity, in order that it does not recur or occur elsewhere, by:
- Reviewing the nonconformity
- Determining the cause of the nonconformity;
- Determining if similar nonconformities exist, or can potentially occure;
- Implement any action needed
- Review the effectiveness of any corrective action taken;
- Make changes to the EnMS, if necessary.
Audit Non-conformances
Audit non-conformances shall be reported in the Non-conformance Report (NCR) as per the system of Internal Audit.
Correction
It’s the instant action that is taken to correct the nonconformity or to reduce the impact nonconformity that has occurred. Record of correction actions shall be maintained in Internal Audit Observations & Compliance Report.
Corrective Actions
In case of minor, major or repetitive non-conformance as identified and /or by any other source as mentioned above, the cause of the non-conformance shall be determined and the corrective actions shall be planned. Corrective Actions shall be taken in a planned manner considering the technological options and severity of the non-conformance. Record of corrective actions shall be maintained in Internal Audit Observations & Compliance Report.
Continual improvement
Continual improvement is of paramount importance for Organisations. The organization’s aims to utilize the analysis of project/process related data and continually enhance, improve the suitability, adequacy and the effectiveness of the Energy Management Systems. Continual improvement programs/KPIs for EnMS are identified by use of Policy, Objectives & Targets, market analysis, results of risk assessments, evaluation, feedback for improvements through audit results, analysis of data, customer feedback, applicable legal requirements, energy risks, corrective action and the discussions held in management reviews. The continual improvement programs are identified based on the results of analysis and evaluation, outputs emanating from management review meets; by the concerned HODs, using following indicators (naming a few, indicative):
- Customer Dissatisfaction e.g. complaints or project delays
- Energy Management Systems improvement
- Improvement in energy saving
- Reduction in consumption of natural resources
- Training feedback and effectiveness
- Improving housekeeping at manufacturing/project site
- Cost of electricity bills
- Reducing energy consumption impacts through innovative product design
PLEASE CONNECT WITH US FOR
1-ENERGY MANAGEMENT SYSTEM ISO 50001 CERTFICATION
2-ISO 50001 TRAININGS FOR INTERNAL AUDITORS, AWARENESS TRAINING
3-ISO 50001 DOCUMENTATION INCLUDING ENERGY MANUAL, ENERGY PROCEDURE MANUAL, ENERGY RISK MANAGEMENT & ISO 50001 INTERNAL AUDIT
Mr. Avneesh Pandey & Mr. S.N.JHA
ECOVERIX SOLUTIONS PVT LIMITED
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