Abstract
South Africa has committed itself to reducing its greenhouse gas emissions. A key strategy to minimise the greenhouse gas intensity involves using incentivised energy efficiency initiatives. In South Africa, one of these energy efficiency incentives is Section 12L of the Income Tax Act, which rewards claimants with 95c/kWh for verified energy efficiency savings linked to the reduction of greenhouse gas emissions. This verification is done using the SANS 50010 standard, which requires the management and quantification of the uncertainty associated with reported savings. The accurate quantification of energy efficiency savings is therefore critical, and highlights the need for uncertainty management to ensure accurate and fair results. Although uncertainty quantification and management methods are already available, the correct and consistent application of relevant methods for specific uncertainty contributors is important. In this study, a solution in the form of an uncertainty quantification and management flowchart was developed to quantify and manage energy efficiency savings uncertainties. This tool incorporates a five-step approach towards energy efficiency savings quantification, and was applied to three industrial energy efficiency case studies. It was found that uncertainty levels can range between two and 18 per cent, due to varying uncertainty contributors. This highlighted the need for a structured approach pro-actively to identify, quantify, and manage uncertainty contributors.
Highlights
South Africa is considered to be a carbon dioxide (CO2) intensive country and, as part of the global movement towards reduced carbon intensity, has committed to a 32 per cent reduction in greenhouse gas (GHG) emissions by 2020 and 42 per cent by 2025 [1], [2]
The main objective of this study is to provide a practical and structured strategy to quantify and manage uncertainty effectively for professionals claiming efficiency savings (EES)
The study introduces a new approach that can be used to quantify and manage the uncertainties associated with a reported EES in a structured manner
Summary
South Africa is considered to be a carbon dioxide (CO2) intensive country and, as part of the global movement towards reduced carbon intensity, has committed to a 32 per cent reduction in greenhouse gas (GHG) emissions by 2020 and 42 per cent by 2025 [1], [2]. A significant part of the strategy implemented to achieve this is the use of incentivised energy efficiency initiatives (EEIs) [3]. This incentive was initiated on the 1st of November 2013, and is claimable until the 1st of January 2020 [6]. In the recent national budget speech, this horizon was extended to 2022 to coincide with the implementation timetable for carbon tax [7]
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.