EPI Calculation

Contents

Energy Performance Index

Aggregate output selection
Weighted output example
EPI calculation
EPI report
 Energy Performance Index

A companys Energy Performance Index

(EPI) is based on the ratio of annual
primary energy consumption to
aggregate product output
This output is developed individually by
each company to reflect their unique mix
of products and processes
For a members first year of joining the
LIEN, their EPI is normalised to 100
Subsequent improvements or
deteriorations in energy performance
are reflected in a decrease or increase
of EPI
 Aggregate Output Selection

For a single commodity manufacturer, the

output unit is simply their base production
unit
However, most firms have more than one
product therefore an aggregate output
must be selected
It is necessary to look at the relative energy
intensity of each product and assign a
weighting if appropriate
Must be a measure which can be
meaningfully compared year-on-year
 Weighted Output Example
Company XYZ

Product A Product Product Total

B C
Tonnes 1000 100 10 1110
2001
GWh 20 20 20 60
2001
Tonnes 1000 150 20 1170
2002
GWh 20 30 40 90
2002
 Energy per unit output

If tonnes is used as output measure:

Energy/output 2001 = 60/1110

= 0.054 GWh/tonne
= 54 MWh/tonne
Energy/output 2002 = 90/1170
= 0.077 GWh/tonne
= 77 MWh/tonne
 Weighted Output Example

It would not be representative to simply add the

various quantities of Products A, B and C due to
their different energy intensities
A more representative approach is to assign a
weighting to each output relative to the amount
of energy it takes to produce
In order to do this it must be possible to monitor
the varying energy consumptions of each
product e.g. meter each product line separately
 Weighted Output Example
Company XYZ

Product A Product B Product C Total

Tonnes 2001 1000 100 10 1110
GWh 2001 20 20 20 60
Weighting 1 10 100
Weighted output 2001 1000 1000 1000 3000
(output x weighting)
Tonnes 2002 1000 150 20 1170
GWh 2002 20 30 40 90
Weighting 1 10 100
Weighted output 2002 1000 1500 2000 4500
(output x weighting)
 Energy per unit output

If weighted output is used as output measure:

Energy/output 2001 = 60/3000

= 0.02 GWh/wt output
= 20 MWh/wt output
Energy/output 2002 = 90/4500
= 0.02 GWh/wt output
= 20 MWh/wt output
 Output selection

Consider;
Weighted output may give a more
representative indication if appropriate e.g.
varying product mix and concentration
Value chosen much be comparable year-on-
year e.g. is product line constantly changing
 EPI calculation

Information is provided annually and must be

reported in a manner that is confidential
LIEN members come from 13 different sectors with
thousands or varying products
It is not possible to compare varying energy
intensity units e.g. kWh/gallon, GWh/tonne,
MWh/weighted production unit
Need to make comparison in energy intensity
trends
Energy Performance Index developed
 EPI calculation

EPI = Energy x F
Output

where F is a factor used to set the EPI to

100 for a firms base year (i.e. the year they
joined the LIEN or started reporting)

F then is fixed for subsequent years

EPI example
EPI example
 EPI Report

EPI report contains 5 pages of information

specific to your site
Details trends in primary energy per unit of
output since a company joined the LIEN
Gives information on estimated CO2
emissions as a result of energy use
Estimates how these specific emissions
have changed from the previous year as a
result of a firms energy performance
EPI Calculation

Fiona Murray
LIEN Project Manager