Lawrence Berkeley National Laboratory

A protocol for measuring performance is required to recognize the actual benefits of renewable energy technologies. These technologies make use of energy sources that are regenerated in nature and thus sustainable in supply. Renewable energy projects are installed all over the world in numerous projects funded by governments, private companies, organizations, and third-party financers. Renewable energy technologies are highly diverse in terms of resources and conversion technologies. Nevertheless, several things are common to all the technologies that distinguish them from energy efficiency projects. Foremost among these is that all renewable energy technologies supply energy rather than reduce the energy consumed. Measuring this energy supply can often serve as a simplified approach to measuring system performance. The energy production of a renewable energy system that is not connected to a utility is directly linked to the amount of energy consumed by the connected load. Supplies of renewable energy complement the reductions in load achieved through energy efficiency measures. However, a measurement & verification (M&V) strategy for renewable energy may need to differentiate between a reduction in fossil fuel use caused by renewable energy delivery as opposed to one caused by a reduction in the load (by efficiency measures or curtailment). In addition, the performance of some renewable energy systems is very much a function of environmental conditions, such as solar radiation or wind speed. These conditions are outside the control of project developers and should be taken into account in any M&V approach. An M&V objective always includes a measurement of savings in purchased fuel or electricity, but rarely includes other factors that may be equally important to a project, including savings in first cost (solar photovoltaics are often the least-cost option for small remote loads); reductions in atmospheric emissions; reductions in risk of transporting fuels (fuel spills); employing community industry rather than importing fuel; avoiding fuel supply interruptions or price fluctuations; or other externalities. Renewable energy projects are often capital-intensive, often requiring a longer investment term than that of energy efficiency projects. Therefore, an M&V program for renewable energy may need to verify that benefits are sustained over a longer period of time. This situation favors M&V approaches that may cost more initially but have lower annual operating costs.