Energy and environmental services

As part of the EDF Group’s strategic development and management guidelines, in 2016, Edison created the Energy Services Market Division which aims to contribute to the Company’s growth on the market by developing, selling and managing energy and environmental services.

This new Division integrates the activities of the two group companies already devoted to service development: Fenice and Edison Energy Solutions. Their solutions focus on developing energy efficiency projects for large industrial customers, small and medium companies, the service sector and the public administration. Environmental services complete the offer for customers and industrial areas.

In this way, while Edison strives to boost its business, it is also working to forge an ever closer, long-term partnership with its customers - companies, cities, local areas - shifting from a customer/supplier concept to jointly creating efficient, rational and sustainable energy solutions (and more) focused on improving quality of life.

To achieve this goal, Edison relies on a wide variety of competencies, proposals and business models based on a sharing of results. The business models are adapted to meet customers’ needs and through its companies, the Energy Services Market Division provides diversified solutions in three different fields:

  • energy optimisation to reduce consumption up to at least the output of production processes while improving service quality;
  • on-site energy production, with low or no environmental impact systems, such as photovoltaic systems, other renewable energies, high yield co-generation, etc.;
  • energy consulting in the field of energy management systems (ISO 50001), in the management of energy efficiency and environmental certificates and in in-house and external training for customers and partners.

The projects are developed in the form of business partnerships or service agreements with customers. The financial model is adapted to meet customers’ needs and may range from a direct investment by Edison to lending from a financial institution to the customer.

To ensure high internal and external performance (with customers, communities and local areas), both Fenice and Edison Energy Solutions have obtained and maintained the most important energy, environmental, quality and safety certification. Both companies are certified ESCos in accordance with UNI CEI 11352 technical standards and hold environmental and quality management system certification in accordance with ISO 14001 and ISO 9001 standards (Edison Energy Solutions obtained it in 2016). Fenice has also certified its energy management systems in accordance with the ISO 50001 standard and has obtained an OHASAS 180001 safety certificate.

During the year, collaboration and synergy with other Edison Group divisions continued and grew, particularly with Research and Development, Institutional and Regulatory Affairs and the Hydroelectric and Renewable Sources Development Division, in order to monitor the technological development of innovative energy efficiency solutions and to implement a new common approach to the local area.

Edison cuts Plastotecnica’s energy costs

Plastotecnica, a leading manufacturer of plastic film, will save 30 GWh per year in its electric bill thanks to energy efficiency solutions provided by Edison Energy Solutions. This Edison Group company built a 4.4-MW tri-generation power plant that can produce 31,200 MWh of electricity per year and 31,000 MWh of thermal energy per year. The plant will save an annual 5,700 tonnes of CO2, the equivalent of 2,400 vehicles.

With this business model, Edison covers the full cost of the energy audit, design, work and, finally, management and maintenance. Plastotecnica need only use the energy produced.

In 2016, Edison Energy Solutions also completed work to rehaul and improve the energy efficiency of its lighting plants, replacing them with next generation LED systems.

The approach to the local area

The Energy Services Market Division has a new market approach to the local area in which the local area is considered a partner and key customer and only by working together systematically with local stakeholders can the Company contribute to the economic, environmental and social development of both the Company and the areas where it is present. This Division operates by listening to needs, strategically analysing the local context and actively reaching out directly to stakeholders to create value in the local area with the help of shared and co-designed solutions for the local community and those in it.

A series of initiatives was carried out in 2016 in partnership with other Edison Group Divisions, particularly Research and Development and the Hydroelectric and Renewable Sources Development Division, which have adopted this approach. In particular, these initiatives included:

  • Edison-InBre per la Val Camonica Agreement: on 23 November 2016, Edison and Iniziative Bresciane (a company with local roots) signed an agreement to identify potential areas for joint projects in Valle Camonica to develop energy efficiency projects and/or the supply of electricity and natural gas bundles, as well as to evaluate whether to launch a potential joint strategy to strengthen their respective hydroelectric operations in the area.
  • Energy Centre: in collaboration with Edison’s R&D Division, a proposal was made to establish a Group site at the new institutional centre and the Turin Polytechnic dealing with energy, to be developed in 2017. Major Italian and European energy institutions and the leading industrial players will be present at the centre. The Group expects to be involved by organising multiple activities to implement innovation and create business lines in partnership with the local area, research and development projects and training/information sessions for promotion on the industrial, service sector and public administration markets.
  • Fondazione Torino Smart City: the partnership with Fondazione Torino Smart City was renewed to expand upon and support the integration and investments in smart city and smart factories policies, making Turin “smart”, particularly in terms of the development of 4.0 technologies, with a dramatic impact on the city.
  • Fondazione Teatro Stabile di Torino: to improve the sustainability of cultural efforts in the local area and to show its support for the area closest to the Company’s stakeholders, Edison set aside a technical and economic contribution to help the foundation for a permanent theatre in Turin, Fondazione Teatro Stabile di Torino – Teatro Nazionale achieve its goal of creating the first sustainable theatre in Italy. This project will be finalised and developed in 2017.

As part of the work to make the most of young people and the Company’s role in creating relevant operations that are sensitive to the issues and needs of local areas with respect to smart cities and smart factories, Edison sponsored Confindustria’s National Conference of Young Entrepreneurs held in Santa Margherita Ligure and, within it, the Workshop on “The Future of Smart Cities: energy efficiency and industrial sustainability”, for a global vision of innovation from the perspectives of both entrepreneurs and the public administration.

Focus on environmental issues

As noted earlier, in 2016, Edison Energy Solutions implemented an ISO 14001 environmental system to strengthen the role and contribution of management systems as business management tools at a number of levels, and particularly with respect to the management of environmental issues.

As part of Edison’s Energy Services Market Division, Fenice has set specific energy efficiency objectives as provided for by its UNI EN ISO 50.001 certified and compliant energy management system. The most significant initiatives carried out during 2016 were aimed at reducing primary consumption of thermal energy, improving the fuel efficiency of power stations and improving the energy management of buildings. For example, with respect to plants, inverters were installed on circulator pumps and aerators were installed on hot water circuits. These solutions led Fenice to save roughly 4,000 TEP in Italy in 2016.

Furthermore, in 2016, Fenice:

  • increased the number of sites with UNI EN 50.001 certification (five certified sites);
  • maintained its certification as an ESCo pursuant to UNI CEI 11352:2014 standards.

Maintaining the UN EN ISO 50001 certification obtained and extending its scope of application (indeed, another three sites are slated for certification in the year to come), will be key objectives pursued in 2017.

Overall, in 2016 alone, Edison Energy Solutions plants helped save approximately 5,321 tons of CO2, equal to 1,724 TEP. Specifically, these savings consisted of 264 TEP from photovoltaic plants and the other 1,460 TEP from high-yield co-generation plants.

Fenice Qualità per l’Ambiente Spa has been UNI EN ISO 14001 certified since 2002 and, by applying an integrated quality, environmental and safety management system, monitors and keeps in check the main environmental issues and impacts of its activities.

Over the course of 2016, DNV, an independent certification body, conducted periodic maintenance inspections in accordance with UNI EN ISO 14001, UNI EN ISO 90001 and OHSAS 18001 standards. The results of the inspections were positive and no non-conformities were found. DNV only made observations and suggested improvements.

Most of Fenice’s plants are located in industrial areas and the only hydroelectric power station that it owns is small (1.5 Mwe). To help save natural resources, most of its operating sites were built downstream from waste water treatment plants, i.e. water circulation systems, and this enables both Fenice and customers to put water back into the industrial cycle for subsequent reuse. Furthermore, various projects are underway at a number of sites in Italy to reduce industrial and drinking water consumption, such as at the operating unit in Cassino.

Cooperation between Fenice and Danone

The environmental protection cooperation project at the multinational food giant’s facilities in Morocco is governed by an agreement in which Fenice will handle the investment and complete management of the new project by designing and building the site with the management and maintenance of the new waste water treatment plant (WWTP) at Danone’s factory in Meknes, which will have a capacity of 76,500 m3 per year.

The waste water treatment will generate biogas, which will in turn be used for steam boilers, producing energy to be entirely used by Danone. With this plant, Danone will minimise its environmental impact, while optimising its production process. Indeed, this project will cut greenhouse gas emissions by roughly 3,000 tons per year.

In 2016, quality and safety certification was also extended to some of Fenice’s waste operation sites. Furthermore, in 2017 the certification scope will also be extended to comply with the UNI EN ISO 14001 environmental standard.

All Edison Energy Solutions plants are low environmental impact, being photovoltaic, compressed air optimisation-type and high-yield tri- or co-generation plants.

To reduce carbon emissions, in 2016 Fenice invested around €3.9 million in Italy to improve the performance of fuel systems (high-efficiency burners) at its stations. For NOx emissions specifically, ultra-low NOx burners were installed in 2016 to reduce the concentrations of pollutants by 20-25%. The investment amounted to some €1 million.

With respect to ozone-depleting emissions, plants are managed in accordance with Italian standards and European regulations. The integrated management system includes a specific procedure for managing, monitoring and controlling equipment containing greenhouse gases. In addition, Fenice holds F-Gas certification in accordance with EC regulation no. 303/2008.

During the design stage and before all plants are commissioned, noise and electro-magnetic levels are tested to check that they meet environmental norms. Periodically, tests are conducted at Fenice’s operating sites to measure noise emissions. In 2016, as part of its integrated management system, Fenice prepared a specific procedure to assess the noise impact inside and outside its plants.

In 2016, work was carried out at Fenice’s water treatment plants, reducing the use of chemical products. At some sites, for example, iron chloride was replaced with a salt-based product, cutting chemical quantities by over 50%. These changes also helped reduce waste, particularly sludge from water treatment. Furthermore, the Fenton plant at other sites was streamlined, resulting in lower chemical consumption.

Finally, the company makes it a practice to offer its customers technical employee training emergency management, in order to make them aware of the risks and impacts of tri- and co-generation plants.