Love letter Essay Example | Topics and Well Written Essays - 500 words

Love letter - Essay Example I did not want things to become awkward between us, so I have been keeping my feelings inside. However, due to the strength of our friendship, I feel that I would be insulting you and our friendship if I did not confide in you about how I feel. We have been through so much together, growing up together, and my feelings for you have only increased over the years. While I would love something more to come from our friendship, if you do not return my feelings, then I would like your help in figuring out what I should do about these feelings that I have been having. Your friendship means a lot to me as it is; I would rather have you as just a friend, rather than nothing, so I am willing to make this work in whatever way you feel comfortable with, and that we can further benefit our friendship. I do not want my feelings to get in the way of an already amazing friendship. If you are willing to, I would also be willing to give us a try without others knowing. We can try out something more than a friendship under the radar, just until we can know if we can work this out or not. We could keep this on the down low until we understand more of what we want to do, and if we want to further our relationship. Again, if you are unwilling to do this, then I am up to working out something else with you. I would like to take our friendship to the next level, yet I also want to protect what is already there between us; your feelings in regards to this are very important to me, and I do not want to hurt them, nor do anything that might damage the friendship that we already have. My friendship for you has grown into a deep love and respect that I could never have thought possible. I would like to see something come of this, yet I am also willing to settle on the wonderful friendship that we have always had. You will always mean a lot to me, regardless of what you are to me – a

The purpose of the study is to determine if long-term reductions in Dissertation

The purpose of the study is to determine if long-term reductions in employee compensation, benefits, and incentives directly aff - Dissertation Example Having a clear understanding of the motivation of employees is tremendously significant to managers as well as the supervisors, particularly in the industries today where the limited budgets make it complicated to reward workers monetarily. The supervisors have to possess a clear idea of how the monetary incentives can motivate the employees to work harder in an organization (Bin Saeed, 1985). In order to analyze the effect of the long-term reductions in employee compensation, benefits, and incentives directly affecting the State of Colorado workers’ motivation, job satisfaction and morale, it is important to include the two well-known motivational theories i.e. Herzberg’s two factor theory (1959) as well as Adam’s equity theory (1963), into the project’s theoretical framework. The Herzberg’s Two-factor theory (1959), also commonly known as the motivation-hygiene theory, implies that there are certain factors at a workplace that result in job satisf action, while an entirely different set of factors cause employee dissatisfaction (Herzberg, 1959). According to the theory, employee motivation is influenced by two distinct factors. Psychological well-being and satisfaction were factors of the ‘motivation factors’, while dissatisfaction resulted from the ‘hygiene factors’. ... n the other hand, employee dissatisfaction is usually a result of missing extrinsic motivation factors or the hygiene factors, that include pay, security, conditions, and so on (Wigdor & House, 2006). If we take into consideration the decrease in hygiene factors of the State Workers for e.g. pay, security, and fringe benefits we see that over the previous 3 fiscal years (2007-2010) there was a decrease in typical intrinsic motivators (opportunities of advancement, statewide hiring, and promotion freeze). Herzberg’s theory helps explains the reasons for lack of motivation among the Colorado employees and their consistent job dissatisfaction. As the hygiene factors decrease, the employees lose their motivation to work and this is presumably characteristic of the department of EHS at CSU, since a steady decline in their motivational levels, job satisfaction and productivity is seen. Herzberg’s two factor theory can also be connected to Maslow’s levels of hierarchy i n order to provide comprehensive understanding of the fact that negligent incentives can contribute to employee dissatisfaction. Abraham H. Maslow made an effort to devise a needs-based structure of human motivation. Moreover, White & Pierce (2000) also imply that the foundation of Maslow’s motivation theory suggests that human beings are pushed forward by unsatisfied wants, and that some lower  factors need to be fulfilled before higher needs can be satisfied. According to Maslow, the needs can be divided into certain categories such as physiological, survival, safety, love, and esteem, that must be fulfilled before a person can act selflessly. He gave these needs the name of "deficiency needs" (White & Pierce, 2000). Relating the research of Maslow as well as Herzberg, we understand that their

The Resistance of a Wire Essay Example for Free

The Resistance of a Wire Essay Steps 1 to 5 were repeated but the number of wires between the crocodile clips was increased by one each time until the total number of wires was The diammeter of the Constantan wire was measured using the Micrometer Screw Gauge. The diammeter was measured at two different places along the wire and the average value used in the calculation of the area. Measurements;   The length of wire between the crocodile clips was measured (L) using the metre rule.   The Potential Difference across the wire (V) was measured using the Voltmeter. The Current through the wire was measured twice and the average taken. This measurement was made using the Ammeter.   The diammeter of the wire (d) was measured using the Micrometer Screw Gauge. Results and Calculations Resistance (R) Resistance was calculated using each pair of values of V and Iaverage using the relationship R = V/Iaverage Cross-Sectional Area (A) The cross-sectional area was calculated using the relationship A = ? d2/4 d1 d2 daverage A = ? (daverage)2/4 mm mm mm x 10-2 mm2 0. 26 0. 26 0. 26 5. 31 The total area is given by A = Cross-sectional area of one wire x the Number of Wires Resistance and Length Potential Difference (V) Current (I1) Current (I2) Current (Iaverage) Length (L) Resistance (R) Volts Amps Amps Amps cm Ohms 3Resistance and Area Potential Difference Number of Wires Current Current Current Area 1/Area Resistance (V) (I1) (I2) (Iavge) (A) (1/A) (R) Volts Amps Amps Amps x10-2mm2 mm-2 Ohms Graphs of Results A Graph of Resistance against Length A Graph of Resistance against Area This graph is obviously not a straight line through the origin. A Graph of Resistance against 1/Area Conclusion Resistance and Length The graph of Resistance against the length of the wire is a striaght line passing through the origin. This means that the Resistance is directly proportional to the length of the wire as long as the cross-sectional area is constant. Resistance ? Length R ? L Doubling the length of the wire causes the Resistance to double. This agrees with the prediction that I made using my scientific background knowledge. Resistance and Area The graph of Resistance against cross-sectional area is NOT a straight line through the origin. The graph of 1/(cross-sectional area) is a straight line through the origin. This means that the Resistance is inversely proportional to the cross-sectional area of the wire as long as the length is constant. Resistance ? 1/(cross-sectional area) R ? 1/A Doubling the cross-sectional area of the wire causes the Resistance to halve. This agrees with the prediction that I made using my scientific background knowledge. Evaluation Justification of the Conclusions Resistance and Length All of the experimental measurements of resistance and length lie on or close to a straight line through the origin on the graph. Resistance and Area All of the experimental measurements of resistance and 1/(cross-sectional area) lie on or close to a straight line through the origin on the graph. Uncertainties Measurement of Voltage The Voltage was measured using a 0-5 Volt d. c. Analogue Voltmeter. The smallest scale division on this scale was 0. 2 Volts This gives an uncertainty of + or 0. 2 Volts allowing for an uncertainty in the setting of the zero on the Voltmeter. Measurement of Current The Current was measured using a 0-1 Amp d. c. Analogue Ammeter and a 0-5 Amp d. c. Analogue Ammeter. The smallest scale division on the 0-1A scale was 0. 02 Amps. This gives an uncertainty of + or 0. 02 Amps allowing for an uncertainty in the setting of the zero on the Ammeter. The smallest scale division on the 0-5A scale was 0. 1 Amps. This gives an uncertainty of + or 0. 1 Amps allowing for an uncertainty in the setting of the zero on the Ammeter. Changing from one scale to another is bad practice as the two scales may not have been similarly calibrated. Measurement of Length The length of the wire was measured using a metre rule. The smallest scale division on the rule was 1mm. This gives an uncertainty of + or 1mm. There is an uncertainty of + or 0. 5mm at each end of the length of wire. It was difficult to ensure that no kinks occurred in the wire. Kinks in the wire would have meant that the wire was actually longer than the measured value. Measurement of Diammeter The diammeter was measured using a Micrometer Screw Gauge The smallest scale division on the Micrometer Screw Gauge was 0. 01mm. This gives an uncertainty of + or 0. 01 mm allowing for an uncertainty in the setting of the zero on the Micrometer Screw Gauge Resistance The contacts between the crocodile clips and the wire may have introduced extra resistance into the circuit. The amount of extra resistance cannot be estimated and will have changed during the course of the investigation. Temperature The resistance of a metal wire does change with temperature and despite keeping the voltage low, the temperature of the wire will have changed during the investigation. Constantan wire was selected for the investigation because its resistance does not change very much as the temperature changes. The wire was laid out on the desk so that any heating effect would be minimised. The heat generated would have been lost to the surroundings. The resistance of a metal wire increases as the temperature goes up. Anomalous Results All of the values plotted on the graphs of Resistance against Length and Resistance against 1/(cross-sectional area) were close to the straight line (the line of best fit). This was certainly true within the limits of accuracy of the experiments. There were no anomalous results. Improvements Contact Resistance at the Crocodile Clips. It should be possible to develop a technique for connecting the wires into the circuit which would eliminate any uncertainty due to the contacts. This might involve soldering connections to the wire under test. This would involve quite a lot of extra work which would not be justified by the increase in accuracy obtained. Increased Number of Values of Cross-Sectional Area Because the final graph used was Resistance against 1/(Cross-Sectional Area) the points plotted were not evenly spaced. Keeping the Temperature of the Wire Constant There are two ways in which the temperature of the wire could have been kept more nearly constant. Using much smaller values for the applied Potential Difference and therefore the current through the wire. This could have been achieved by placing a large value resistor in series with the wire say 0-5000 Ohms. We would have needed to use a much more sensitive ammeter and voltmeter.   Placing the wire in a water bath as shown in the diagram below. The temperature of the wire would have been the same as the water bath. A large amount of heat energy is needed to change the temperature of the water bath because of the high value for the Specific Heat Capacity of water. Extension of the Investigation. Different Materials Different metals have different values for their resistivity ? . A series of experiments could be carried out to measure the resistivities of different metals and alloys. Change of Resistance with Temperature A series of experiments could be carried out to measure the change in resistance of a fixed length of Constantan wire as the temperature of the wire is changed. This could be done by placing the wire under test in a water bath and changing the temperature of the water bath by heating it with a Bunsen burner. The length and cross-sectional area of the wire would be kept constant.

Penetanguishene Charter Violation :: essays research papers

In Penetanguishene, the law now says that anyone under 16 out after 12am will be taken home. This was on VR News tonight, the reasons they listed--a skate park had been graffitied and a park bench was slightly burned in a fire. These all seem a little light to me, I guess to a town of less than 9000 people, it's very severe, but is that an excuse to defy the Constitutional rights of Canadians? I have so many problems with this, I don't know where to begin. I think I'll start with the Charter, section 15. (1) "Every individual is equal before and under the law and has the right to the equal protection and equal benefit of the law without discrimination and, in particular, without discrimination based on race, national or ethnic origin, colour, religion, sex, age or mental or physical disability." I'd like to stress on equal protection and equal benefit without discrimination based on age. What is this? It's discriminating based on age. Penetanguishene has introduced a law targeted at a group of people, without taking in any individual merit (more on this later), and using age as the target point. We all have to remember that just because someone is a minor, it does not give the right for the government to abuse them. Unless it can be proven that all people in Penetanguishene under 16 out after 12am are committing a crime or are planning to commit a crime, this law is unconstitutional. This law infringes on section 2. c) by depriving the right to peaceful assembly as the police will not take into account what the people are doing and will take home anyone and everyone fitting the [already deemed unconstitutional] preset criteria. It infringes on section 7., it deprives liberty of these people to not give them the choice, and the reasons do not affect the principles of fundamental justice at all. So, what does the local Ontario Provincial Police have to say about enforcing an unconstitutional curfew? "It's not a curfew". According to the OPP, they are not introducing any new law, simply enforcing an already passed law (regrettably I can neither remember which jurisdiction it was under or what it was called, something about Youth and Family Services). A good question is what's the point of fighting this, Burlington has curfew bylaws and I don't say anything about them. Well it's simple, Burlington's curfew is there in case it has to be used, like a police officer's sidearm, they don't go around shooting everyone for anything, but should the rare occurrence that they need it, it's there.

About Edumentor

About eduMENTOR This is a very small firm. Its full name is edumentor educational services. It provides coaching to students for cracking entrance exams of B. B. S. ; B. B. A. ; B. B. E. Promoter of edumentor is Vikas Jain who is Shaheed Sukhdev College of studies passout. At the moment, edumentor is a partnership firm run by Mr. Vikas Jain and Mr. Manuj Arora. Although it is a small firm but it is fastest growing coaching centre ever (according to data provided by them). Edumentor is just three years old and is now threatening the business of IMS (temple of learning); T. I. M. E. ; Career launcher and many smaller coaching centres. Members of eduMENTOR Mr. Vikas Jain and Mr. Manuj Arora (owners of the firm) Mr. Aashish and Mr. Saurabh Mr. Deepak Sharma There were 3 more employees who were sitting in the office, but I don’t know the name of them. I am assuming there name as A, B, C. Level of management There is no middle level management in this firm. There is only low level management and high level management in edumentor. My project is based on high level management of edumentor. My history with eduMENTOR There is a history of mine with edumentor. I have worked here as a trainee. Last year (March, 2008), edumentor was conducting counseling for commerce students who were appearing for 12th class board exam. They appointed more than 250 trainees for this purpose. I was supervisor of 7 trainees. Among those trainees there was a guy named Deepak Sharma. We became very good friends at that time. After the completion of counseling project, I left edumentor, but Deepak still worked there and today he is project manager of edumentor. I also know Vikas Jain, Manuj Arora, aashish, saurabh because of last year training done by me. My observation in eduMENTOR I have spent 3 days in edumentor for doing organizational behaviour project. On day 1, as I entered the office, aashish sir greeted me, I felt very much delighted because aashish sir always talked me rudely last year. On next 2 days no one greeted me. On all 3 days both of them wore informal clothes. According to my 3 days experience in edumentor, I come to know that there is a very good relationship between all the members of edumentor. In my presence, 5 students have taken admission in edumentor. Whenever any student takes admission, they all start celebrations. Deepak is the guy who literally loves edumentor. Whenever I talk him about edumentor, he always starts praising it. Deepak also got a job offer from Brilliant Tutorials with a better salary but he opted to stay at edumentor. I asked him why he rejected the job, he said â€Å"in edumentor everyone knows me, I am getting better job designation here and as edumentor grow, I will also grow! † This was his answer. Edumentor had also provided 0% loan to Deepak. Because of this loan Deepak purchased new scooty. I loved this type of helping employee management. Aashish sir is a professional counselor. He does counseling of students who come to edumentor office. Bringing the students in edumentor office is the responsibility of Deepak and to let them enroll in edumentor (admission in edumentor) is the responsibility of Aashish sir. Responsibility of Saurabh sir is almost same as responsibility of aashish sir. Saurbh sir does the counseling in coaching centres. Aashish sir is also responsible for keeping cash. Mr. A is responsible for for making question paper and Ms. B & Ms. C are responsible for telephonic calling. Although designations of A, B, C are small, but they are all treated cordially. They are considered as a important member of edumentor family. Like Deepak, Aashish sir is also very desperate for the success of edumentor, although he is just an employee. When I first met Aashish sir last year, I thought he is the owner of edumentor. Aashish sir had done post graduate in finance from a very good university. He is also getting finance related jobs but like Deepak he opted to stay at edumentor. A, B, and C are also good employees but they are working for money. I had seen Ms. B and Ms. C reading ‘situation vacant’ in the newspaper. Mr. A generally didn’t talk to anyone. Whenever he talked it was related to his work. Last year Saurabh sir faced a bike accident. After 6 months, he recovered. Edumentor sponcered half of his medical expenses. I liked this type of sponcership, this type of management. Because of this, Saurabh sir is very loyal to edumentor. Saurabh Sir is also responsible for board activities under which he recruits trainees. These trainees do small counseling of commerce students who are appearing for board exam at their board centers. Counseling here implies pursuing students to take admission in edumentor and also telling them the future aspects of BBS, BBA, BBE. Mr. A’s job is to make question paper. He does this job under the supervision of Manuj sir. Manuj sir is actually responsible for managing question paper. Manuj sir also offered me the job of making question paper. He asked me like this â€Å"Raghav if you want to prepare for CAT entrance exam then do this job, you will automatically get prepared for CAT! † This is called true management. With a style he convinced me to do this low paid job and I also agreed to his offer. Manuj sir is also responsible for overall management of edumentor. There is no specific HR department in edumentor. Manuj sir, Aashish sir, Saurabh sir, Vikas sir and Deepak all are performing HR job. They all trust each other very much. Because of this trust, there is no room for confusion. Vikas sir is the guy who started edumentor. According to my observation Vikas sir is only investing in edumentor. He is simply an investor. As he is the main stake holder of edumentor, final decision related to management is taken by him only. Although he does not participate in day to day management, but he is the only guy who motivates every employee, make them feel that they are the owner of edumentor. The meetings held in edumentor are informal. Sometimes they even crack jokes. On day 2 of my observation, they were discussing about recruiting trainees from school of open learning. Although their topic was serious, but they were discussing it informally. Meetings held there were spontaneous. Whenever there was an issue either it was small or big, they immediately conduct meeting. I loved this quick management in edumentor. When there is no meeting, then also they generally talk informally, although their talks are related to their work. Vikas sir, Manuj sir, Aashish Sir, Saurabh sir and Deepak are like the pillars of edumentor. Vikas sir and Manuj sir are obviously concerned for edumentor as they are the owners of firm. But Saurabh sir, Deepak and Aashish sir are also very concerned for edumentor, they all are getting better job, but they opted to stay in edumentor. According to them edumentor is going to become no. coaching centre and working in edumentor is like investment, they will grow as edumentor grows. The environment of edumentor is too good. This is the type of office in which I can spend my whole life. Here everyone is interested in success of edumentor. I would love to work here as growth of edumentor is proportional to growth of mine. There is positive vibration everywhere in the office. Small conclusion Edumentor is the best place to work specia lly for beginners as there is big room for growth. Vikas sir is a dynamic leader, student who wants to be a great leader should work under his guidance.

The Adoption Of Information Technology - 1534 Words

Introduction The adoption of information technology in healthcare has dramatically improved patient care, and the practice of medicine in its entirety. Health information technology (HIT or Health IT) has created, among other things, free flow and improved communication amongst all healthcare workers and providers, patients and the community as a whole. HIT has also availed the healthcare sector better and easier access to information. So many people have placed their hopes on health information technology. The hospitals have high hopes for HIT in helping them to reduce human errors on their medical reports. Health care providers need improved care, so they place their hopes on HIT to help in having access and sharing patient information without the stress. The government and those in healthcare for business purposes also have high hopes for HIT; to help improve efficiency and at the same time save money and make more profits. With all the hype and rave of HIT, some health care providers are stil l on the fence in fully embracing the use of these technologies. This is primarily because, for some small group practices, the high implementation cost is a deterrent factor. Health IT has brought with it lots of new technologies that have been invented to control and disseminate health-related information. The most common type of HIT is an electronic record system that collects, stores, and organizes patients’ data and information. This system, if properly utilized, can go a longShow MoreRelatedThe Adoption Of Information Technology777 Words   |  4 PagesThe adoption of information technology in healthcare has dramatically improved patient care, and the practice of medicine in its entirety. Health information technology (HIT or Health IT) has created, among other things, free flow and improved communication amongst all healthcare workers and providers, patients and the community as a whole. HIT has also availed the healthcare sector better and easier access to information. So many people have placed their hopes on health information technology. TheRead MoreThe Adoption Of Information Technology1600 Words   |  7 PagesThe adoption of informat ion technology in healthcare has dramatically improved patient care and the practice of medicine in its entirety. Health information technology (HIT or Health IT) has created, among other things, free flow, and improved communication amongst all healthcare workers and providers, patients and the community as a whole. HIT has also availed the healthcare sector better and easier access to information. So many people have placed their hopes on health information technology. TheRead MoreAdoption Of Information Technology On Healthcare1103 Words   |  5 PagesAdoption of Information Technology in Healthcare Anusha Rayapati National University Adoption of Information Technology in Healthcare This article explains the importance of adopting the Information Technology in healthcare industry. This article also discusses about the transformations that information technology can bring to the healthcare industry and potential cost effectiveness and safety benefits. I selected this article as information technology is very important in healthcare PurposeRead MoreThe Impact Of Information Technology On The Adoption Of Technology1881 Words   |  8 Pages Subject: Managing Information Technology in Engineering 49013 Assignment Number: 4 Date Submitted: 31-May-15 Assignment Title: Assignment 2b Student Name(s) and Number(s) Tutorial Group: Guy Srzednicki 12141723 Bondi Declaration of Originality: The work contained in this assignment, other than that specifically attributed to another source, is that of the author(s). It is recognised that, shouldRead MoreThe Widespread Adoption Of Information Technology Essay1725 Words   |  7 PagesThe widespread adoption of information technology (IT) has resulted in significant savings in health care costs as well as improved patient health and safety. Today in healthcare facilities, databases store records that can be accessed from anywhere in the world. This results in better data coordination and management (Banova, 2013). The benefits of increased use of IT continues to grow as leaders in the field of medicine create innovative ways to use IT to improve the business and health care sideRead MoreThe Adoption of Information Technologies in the Nursing Sector810 Words   |  4 PagesThe process of digitalisation has necessitated adoption of information technology in different aspects of health management. In the nursing sector, adoption on information technology has led to emergence of health information systems. A health informat ion system entails a computer technology that can capture store, manage and/or transfer any health related information. This information can be of an individual or an organization. Technology has positively impacted the role of the nurse in the healthRead MoreAdoption of Information and Communication Technology (Ict) in the Banking Sector: Success or Failure?5916 Words   |  24 PagesADOPTION OF INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) IN THE BANKING SECTOR: SUCCESS OR FAILURE? Ukeh, Moses Ichongo Superlife Consulting, Makurdi 2013 Abstract Nigerian banking industry has become highly ICT-based and is reaping the benefits of technological revolution as evidenced by its application in most of its operations. The objective of this paper was to determine if the Nigerian banks have failed or succeeded in the adoption and use of ICT (see table 2.1). An evaluation ofRead MoreThe Extent, Drivers and Challenges of Information Communication Technologies Adoption in Kenyas Floriculture Industry2024 Words   |  8 PagesChallenges of Information Communication Technologies (ICTs) Adoption in Kenya’s Floriculture Industry A Research Proposal ACRONYMS AND ABBREVIATIONS ICTs Information and Communication Technologies EFITA European Federation for Information Technology in Agriculture HCDA Horticultural Crops Development Authority EPC Exports Promotion Council KFC Kenya Flower Council CAS Complex Adaptive Systems Chapter 1 1.1 Introduction Information and CommunicationsRead MoreEssay on Cloud Database1493 Words   |  6 Pagesinternet-based technologies to conduct business, is recognized as an important area for IT innovation and investment (Armbrust et al., 2010; Goscinski and Brock, 2010; Tuncay, 2010). Cloud computing has spread out through the main areas related to information systems (IS) and technologies, such as operating systems, application software, and technological solutions for firms (Armbrust et al., 2010). The promise of cloud computing is to deliver all the functionality of existing information technology servicesRead More Rogers Diffusion and Adoption Research Essay1560 Words   |  7 PagesRogers Diffusion and Adoption Research Why do technology initiatives fail despite their promises and boundless possibilities? From integrating technology in education to introducing technological innovation in agriculture, users acceptance presents a complex set of challenges to innovation diffusion. According to Everett Rogers, one reason why there is so much interest in the diffusion of innovations is because getting a new idea adopted, even when it has obvious advantages, is

Installation of the district heating scheme - Free Essay Example

Sample details Pages: 23 Words: 6799 Downloads: 8 Date added: 2017/06/26 Category Statistics Essay Did you like this example? Q) Establish some contractual and procurement difficulties if your Organisation were to be main contractor for installation of a district heating scheme serving 100 pensioners bungalows. Produce a basic procurement cost plan for contractors to price against. CHAPTER 1: INTRODUCTION District heating is a system where the heat for an area is produced centrally, and hot water or steam is transported to the buildings through a network of pipes. Heat is transferred into individual properties through a heat exchanger, and then used in conventional heating systems (in flats, for example, there may just be one heat exchanger for the whole block). District heating networks vary widely in scale from individual developments or apartment blocks to whole cities. In Denmark, where district heating accounts for about 60% of the heat supplied, cities such as Copenhagen receive heat from large-scale power stations and energy from waste plants situated up to 40km away. Don’t waste time! Our writers will create an original "Installation of the district heating scheme" essay for you Create order Modern district heating can be cost effective and reduce CO2 emissions compared to conventional heating systems. This is because generating heat centrally at large scale can reduce costs compared to generating heat in boilers in individual properties, particularly when combined heat and power (CHP) plants are used. Heat transported through the network can also be converted into cooling using absorption chillers, again improving the efficiency of the system and also providing an option to use heat produced in the summer. District heating is more environmentally friendly than conventional heating, the potential to reduce emissions will depend greatly on the fuel used and the type of central plant that is generating the heat. Modern district heating offers the potential to use a variety of low carbon and renewable heat generation technologies, such as CHP using fossil fuels, biomass or waste, biomass boilers or surplus heat from industrial processes. As an experienced and tested technology, employed effectively in many countries, district heating has evolved significantly from the days when it was first installed. Networks are now highly efficient, with sophisticated heating controls that allow suppliers to maintain the network and consumers to easily manage their heat use. Underground sensors are able to quickly locate any leaks, and back-up generating plant, is used to limit the effect of possible problems with the central generating plant. CHAPTER 2: AIMS AND OBJECTIVES OF THIS STUDY The main aim is to establish the contractual and procurement difficulties of the main contractor for installation of the district heating scheme serving 100 pensioners bungalows. The aims and objectives can be summarized as follows; To install a district heating scheme to serve 100 pensioners bungalows. To conduct the feasibility study of CHP/CH for district heating. To establish contractual and procurement issues that may occur in this project scheme. To study life cycle costing of the district heating scheme. CHAPTER 3: FEASIBILITY STUDY OF CHP/CH FOR DISTRICT HEATING SCHEMES Any CH development, whether new or refurbished, large or small, should start with a feasibility study, during which the technical and economic viability of community heating, compared with other possible options, will clearly emerge. The application of CHP enhances the combined heat option by providing heat and power with a very high overall efficiency. So this section deals primarily with the feasibility of CHP/CH schemes. Options should be compared using sound economic principles, always ensuring that full life-cycle costing is used. The content of the feasibility study will be far reaching and, in the course of the work, many fundamental decisions will be made as to the technical approach and the most attractive option to be pursued. Once the project development stage is reached it is much more difficult to change course. Consequently the feasibility study needs to be carefully procured, managed and fully discussed before proceeding further. 3.1: Defining the brief Whether the study is being carried out in-house or using external resources, it is necessary to define a brief. This must state the objectives clearly, and provide information on existing buildings and their heating systems, the general aspirations of the organisation commissioning the study, and the time-scale for the study. Any particular issues of concern should be mentioned, but otherwise the brief should not constrain the scope of the study. If external consultants are to be appointed, their selection should be primarily on the basis of the capability, qualifications and experience of the study team and their approach and methodology. The study should include engineering, economics, environmental and commercial issues, together with related health and safety matters, for which a comprehensive team of experts needs to be assembled, often with external consultants working closely with in-house lead personnel. An indication of the economic parameters to be used in assessing options should be provided in the brief, e.g. the test discount rate and the period of analysis to be assumed in a discounted cash flow analysis. Such information will be needed during the study, and early discussion and agreement on these parameters is advisable. It is important to insist that the correct basis of full life-cycle costing is applied to each of the options under consideration. Once the main options have been established, capital costs will need to be estimated, as well as operating and maintenance costs where these are the responsibility of the CHP/CH developer. 3.2: Heat and electricity demand assessment The starting point of a study is the determination of the market for heat, cooling and power. Initially, this involves enlisting support for a scheme from organisations such as the local authority, large hospitals or a university, all of which can help to provide essential core load for a proposed scheme. It is also important to consider the concentration of heat demand which can accure from such potential customers. Cooling by means of absorption chillers offers a further use for heat, particularly at times when heating is not required. The heating, cooling and power requirement for buildings can be obtained from previous data, provided the existing building use is to be remain unchanged, or by energy modelling techniques. It is important that all cost-effective energy-saving measures for the building either be implemented, or at least considered, before determining heat demand. The fundamental minimum requirements of the heat demand assessments are: the temperature requirements of the heating system the determination of peak heat demands annual energy consumption. These datas will enable some approximate economic work to commence. However, the revenues from the production of electricity vary with time of day and time of year, and hence the cost of heat production from a CHP plant will also vary over the years. It will, therefore, be necessary to determine a heat demand profile over the year, at least on a monthly basis and preferably weekly. Monthly heat demand profiles can be estimated using weather data, together with establishing a hot water energy demand profile. In addition, the variation of heat demands over a 24-hour period will be useful, but these data are likely to be available only if a high level of instrumentation has already been installed within the buildings. The hourly heat demand profile is required so that simultaneous heat and power production can be simulated. For electricity, half-hourly data will normally be available for larger users, and monthly data from bills. Consideration needs to be given to the effect of the foll owing on demand profiles for heat and power: metering and charging tariffs if historical data are based on un-metered heat, a change to metered supply normally leads to significant reductions in heat use. there may be cost-effective opportunities to reduce heat demand by adding insulation to the building fabric. liberalisation of the electricity market makes it easier to sell electricity directly to residents on community heating schemes. use of surplus heat for cooling, particularly in summer, when residential heating requirements are low or zero. At the feasibility stage these decisions will not have been finalised and it may therefore be necessary to proceed with a range of possible heat and power demands. 3.3: Heating systems within buildings It is necessary to establish details of existing heating systems within the buildings. Some of these may be unsuitable for connection to CH systems, in which an outline engineering design will be needed for their replacement. Where systems are more compatible, their operating temperatures and pressures need to be established together with an assessment of their effectiveness in meeting current and future needs. If there is some extra capacity available then it may be possible to reduce operating temperatures and flow rates in heating circuits, which will generally be of benefit to the CH scheme. It is also important to establish the method of control used for both time and temperature in order to predict accurately effects on the CH systems. When details of existing systems are available it will be possible to propose a programme of works that will enhance existing systems and yet still be compatible with the proposed CH system. However, several options may have to be considered and cost estimates are prepared for use, in an overall option appraisal. In some buildings, the provision of domestic hot water may represent a significant part of the demand, and there are a number of ways of generating domestic hot water from a CH system. The most energy-efficient schemes will involve taking advantage of the low temperature of the cold water feed so as to cool the community heating return as close as possible to this temperature. This leads to the use of non-storage calorifiers or additional coil surface in cylinders. In larger buildings, two-stage heating, utilising the return water from a space-heating circuit to carry out pre-heating of the cold water feed, is the best solution, provided it should be economical. 3.4: Central Plant Once the heat demand assessment has been made, work can commence on examining the central plant options. The aspects to be covered are: prime mover choice fuel choice, contract flexibility, and security site location and topography, and interfaces with fuel, electricity and CH infrastructure balance between CHP heat and boiler heat provision of standby capacity building to house the plant. It is likely that a number of options will present themselves and each will need to be analysed under similar assumptions to determine the optimum selection. Capital, operating and maintenance costs will need to be assessed for each combination of plant. The CHP operating strategy needs to be developed to establish the most economical method of operation in relation to varying heat and power demand profiles and varying selling prices, e.g. following the heat demand at full output and dumping heat. A spreadsheet-based operating model is essential to ensure that the correct operating strategy has been made and to calculate the annual energy flows, and to permit rapid sensitivity analysis. The optimum CHP plant capacity needs to be determined by considering a range of plant sizes and by carrying out an economic assessment of each. For single-site CHP projects it is important to have a reasonable match between the generated output and the electricity demand. For a CHP/CH system, electricity is often sold in bulk and the site demand must also be taken into account. However, there may be good opportunities for selling electricity to customers who are more directly linked to the scheme, by use of system arrangements. In this case, modelling the CHP plant in relation to electricity demand may need to be considered. The use of thermal storage and heat dumping may be of greater assistance in allowing the CHP plant a higher flexibility in matching demand profiles. There may also be opportunities for tri-generation (heat, chilling and electricity). Some CH schemes are initially established without CHP, due to the large capital outlay involved. Even without CHP, there may still be environmental and economic advantages from load diversification, and further economic benefits from purchasing fuel in bulk. The use of pre-insulated pipes and low NO2, high-efficiency or condensing boilers have helped to make modern combined heat systems robust, environmentally friendly, and economically advantageous. It should be stressed, however, that CHP offers immediate environmental benefits, and long-term economic advantages. 3.5: Heat Distribution systems After the building demands and the central plant location have been determined it is then possible to examine the heat distribution system. In order to analyse the network rapidly and to calculate costs, computer software is essential. For large schemes, only the primary mains, together with sample areas of sub-distribution mains, will need to be analysed at this stage. The more difficult aspect is to determine which routes for CH pipe work are technically feasible and cost-effective. Considerable assistance may be obtained by consulting ordnance Survey maps. These are now available on CAD format but at a significant cost. However, there is no substitute for an informed site survey, and a detailed examination of other utility services drawings. Within the feasibility study it will be necessary at least to identify any major constraints to routes, e.g. road and rail crossings, the presence of underground sewers, railway tunnels, etc. In selecting routes the use of open, grassed areas will lead to significant cost savings, as with the avoidance of major roads. Consultation with the Local Authority Planning and Highways Department is essential. 3.6: Optimisation This is the most complex phase of a feasibility study, where the various options available for CHP plant, heat distribution and building heating systems need to be assembled into a number of scheme options all with their individual sets of cost and revenue streams. Some cases may be simplified by a process of logical comparison, but normally it will be necessary to compare the options using discounted cash flow analysis, and hence to determine the preferred option on the basis of maximising net present value or internal rate of return. Some of the system optimisation issues that are likely to need evaluation are given below. 3.6.1: Operating temperatures A high flow temperature will result in a larger temperature drop, lower flow rates and hence smaller pipe diameters can be used. This capital cost advantage will be offset by the need for more expensive building connections and possibly higher heat production costs, depending on the CHP plant selected. 3.6.2: Operating pressures The option exists to run the system at a lower operating pressure by over-sizing the network; the extra cost incurred should be compared with savings from using the cheaper direct connection method to link building heating systems to the community heating network. Pumping costs also need to be considered, particularly for larger systems, where higher design pressure reduces the amount of booster pumping required. The topographic variation will also need to be considered when deciding upon operation pressure. 3.6.3: Size of scheme A smaller scheme may be more compact and have a relatively inexpensive network, but larger schemes may result in economies of scale for the CHP plant arising from higher efficiency and lower capital cost per kW. The phased expansion of the scheme also needs to be considered, as does ways in which this might affect the plant and the network design. 3.6.3: Heat meters The installation of heat meters will result in lower buildings energy use and reduced operating costs. If the individual dwellings are equipped with heat meters, energy savings should be compared with the additional capital cost and consumer administration charges. It is also possible that the provision of heat meters for each dwelling may be the only way to achieve market acceptability by residents and energy developers. In addition, the inclusion of heat meters will have a positive effect on Standard Assessment Procedure rating (SAP). 3.6.4: Building heating systems The conversion of a heating system to more compatible operating conditions will involve additional capital cost, but if it results in better plant selection or increased heat sales it may be justified. One example is converting steam heating at a hospital to low temperature hot water heating suitable for connection to a community heating network. 3.6.5: Improvements to building fabric Some buildings, fabric insulation improvements will be cost-effective in energy terms. The economic advantage is not as great when the building is supplied by CHP/CH as it would be for small conventional boilers or electric space heating, because the marginal cost of heat is lower. There is, however, a financial advantage in reducing peak heat demands as the capacity of the CHP plant and the heat distribution network can be reduced. The resultant saving in capital cost needs to be included in the economic assessment of insulation measures. Once the main options have been established, capital costs will need to be estimated as well as operating and maintenance costs where these are the responsibility of the CHP/CH developer 3.7: Revenues from heat and electricity sales 3.7.1: Heat sales A good understanding of a customers current and likely future costs for conventional heating is required in order to judge the maximum heat sales income available. These costs will include fuel, operating and maintenance and provision for future boiler replacement. It will be necessary to structure a heat sales package so that the advantages can clearly be seen. At feasibility level there will need to be a sufficiently large discount to be confident that this level of income can be obtained for the period of analysis. A long-term commitment is unlikely to be obtained at this stage and information on existing costs may be limited, so a cautious approach may be needed. The situation is clearer in the residential sector where the costs of the conventional individual boiler systems are generally well established. The main options available in the residential sector are: sales to individual residents by means of a fixed charge related to size of dwelling sales to individual residents based on measuring the heat energy actually used (dwelling heat meters) sales to individual residents based on the measurement of actual energy used by a block of flats and an apportionment based on size of dwelling/occupancy. Pre-payment systems can be used to collect either fixed or variable charges or a combination of both. Some consideration should be given to assessing the likely levels of bad debt where prepayment systems are not installed, and bad debt costs may need to be incorporated in the economic analysis. 3.7.2: Electricity sales Where CHP plant is installed, it is vital to obtain the maximum income from the electricity produced. Typically, a 10% increase in electricity sales will improve the internal rate of return (IRR) of a project (see section 1.10) by 2%, whereas a 10% increase in heat sales will improve the IRR by 1%. The CHP/CH company may opt to sell electricity in bulk to the host public electricity supplier (PES), which will normally offer terms on a p/kWh basis for electricity generated at different times of the day and year seasonal time of day (STOD) tariff. However, if the CHP/CH company can supply electricity users directly (this may include residents themselves) a much better return can be obtained. Among the more favourable options that exist, (following the liberalisation of the electricity market in 1998) is the sale of electricity direct to residents and other customers. A summary of the options is as follows: sale to the host PES sale to a second tier supplier, i.e. other PESs and oth er suppliers of electricity direct sale to customers as a second tier supplier. This implies pool membership for an aggregate supply of more than 500 kW sale under the non fossil-fuel obligation (NFFO) (only for energy-from-waste projects which have bid for this arrangement in advance). sale through the pool (this entails having pool membership and is more appropriate for projects in the range 30 MWe-50 MWe) sale as an on-site generator to other customers on the same site. It will normally be helpful to use the conventional route of sale to the host PES for the base case analysis, with the other options considered as possible improvements that can be investigated, depending on the scale of the project and the resources of the study. An element of negotiation will be needed in most of these options. As a result, definite figures are not likely to be available at the feasibility stage and a range of results may be presented as a sensitivity analysis. The sale of electricity as a second tier supplier may be of particular interest to CHP/CH schemes because there will be the opportunity to market heat and electricity together to customers on the community heating scheme. Selling two utility services may also bring benefits in metering and charging arrangements. This option is therefore discussed further below. If a CHP/CH scheme is to undertake to sell electricity direct to customers, additional arrangements will be required, for example: a top-up and standby purchase arrangement for times when the generation is less than customer demand (including times of CHP plant outage); as a pool member a second tier supplier can purchase this power direct from the pool a contract for selling spill power for times when more power is generated than customers demand either the payment of use-of-system charges, the purchase of existing electricity infrastructure or the installation of new cables in order to transfer power to the customers. In the domestic sector, the creditworthiness of customers should be considered and the possible need for a form of prepayment. The management of debt collection is a customer care issue, and disconnection policies need to be fully developed if customers are to be retained in the long term. 3.8: Development Programme An important output from the feasibility study is a development programme. This is required first to permit the construction of cash flows for capital expenditure, and second to enable advance planning of subsequent stages. A separate, more detailed programme may be produced covering the period of development from the conclusion of the feasibility study to the start of construction, if the route to achieve this is sufficiently clear. It is also worth establishing a watching brief on all work involving renewal of underground services, so that opportunities may be taken to coordinate projects, thus reducing costs and disruption. Issues to consider when drawing up the programme are: the need for a further project definition stage the need for further site surveys and investigations consultation with customers and adjacent building owners and residents planning applications (and associated environmental statements) Building Regulations applications energy rating and emission improvements preparation of invitations to tender tender period short-listing construction companies short-listing energy developer companies short-listing operating companies assessment of tenders and final negotiations of contracts mobilisation site clearance construction commissioning and testing operation and maintenance. Supervision during construction is of paramount importance in order to secure the necessary quality of system. 3.9: Economic Appraisals At the heart of any economic appraisal are the cash flows, a set of annual capital, operating and maintenance expenditures, and annual revenues from the sale of heat and electricity. These cash flows are normally evaluated in real terms. To compare scheme options, and determine whether the project is economically feasible, there are a number of arithmetical calculations based on the cash flows. It is essential that, when conducting an economic appraisal, full life-cycle costs are used to compare the various options. Simple payback period Defined as the period in which the initial investment is recovered by the annual saving. Generally this approach is too simplistic where the capital expenditure may be spread over a number of years, and where the income may vary from year to year. It is therefore not recommended. Net Present Value (NPV) To calculate the NPV it is necessary to define the cost of borrowing capital (or lost income from capital which could have been invested elsewhere) and the period for the analysis of the project. Internal Rate of Return (IRR) This can be defined as the test discount rate that results in a net present value of zero. IRR is less robust than NPV as it can lead to the selection of a smaller-scale project which, although generating a higher return, involves less capital so that the total value of the income stream is lower than the maximum potential. Both NPV and IRR calculations are available within most spreadsheet software packages. The above parameters are normally sufficient to compare options and present the results to the client organisation for a decision to proceed further. An appraisal by a financier is also likely to involve the calculation of tax implications and debt cover ratios. As an illustration of an economic appraisal, two approaches are outlined below. From the perspective of a building owner who wants to examine the cheapest method of supplying heat and power to the building or groups of buildings. The economic analysis would assemble cash flows for capital and operating costs for both the CHP scheme and the alternative approach of conventional boilers. The CHP scheme would involve significant initial capital and have an income stream for surplus electricity sales. The conventional approach will have investments in future boiler plant scheduled for future years. The NPV approach enables these varying cash flows to be summed to give a single figure; the NPV in this case being the net present cost for supplying the site with heat and power over a defined period. If the CHP/CH option gives a lower cost then it is the more economical option. From the perspective of an energy developer company, cash flows will be established for capital investments and income from both heat and electricity sales. The heat and electricity selling prices will be related to the market for these energy products. An IRR can be calculated for the project investment and the NPV for a given discount rate. The CHP/CH option with the highest NPV will be selected and the IRR must be greater than the minimum required by the energy developer company, taking account of the risks in the project. It is worthwhile investigating whether any local major consumer, such as a local authority, is willing to connect all their buildings to a scheme. This can reduce the investment risk significantly and improve cash flow. The question of economic viability cannot be separated from an analysis of risk, particularly where project finance is the route employed. It will be necessary to carry out an analysis in which as many of the costs and performance figures as possible can be contractually underwritten before presenting the results to a financial institution for a view on financial viability. A sensitivity analysis is of assistance in identifying which of the many parameters are the most important when considering the risk to the economic performance of the scheme, and also for indicating the range of likely outcomes. From this analysis the advantages of obtaining longer-term fuel purchase contracts or heat and power sales contracts can be judged. Some community heating schemes are init ially established without CHP, due to the large capital outlay involved. It may, however, be instructive to consider the economics of a boiler-only community heating option so that the benefits of the CHP plant itself can be separately demonstrated. 3.10: Environmental Assessments A preliminary environmental assessment should form a part of the feasibility study, identifying both the advantages and disadvantages of CHP. 3.11: Health and safety Any construction project is covered by the Construction Design and Management (CDM) regulations. The aim of these regulations is to ensure that safety issues are considered from the start of the project, and this may include the feasibility stage. It will be necessary to appoint a planning supervisor and to carry out an outline design risk assessment. CHAPTER 4: Contractual Issues 4.1: Works contracts The EU Directive is implemented in the main by the Public Works Contracts Regulations 1991 (SI 1991:2680). The basic qualifying threshold is currently set at special drawing rights (SDR). The rules apply principally to building and civil engineering works together with associated activities such as installation work. Public work concessions are subject to a more relaxed regime under the rules. Following the adoption of Council Directive 97/52/EC on 13 October 1997, amending the EU public sector directives to align with the new Government Procurement Agreement (GPA), all thresholds for the public sector should now be expressed in SDR. Where the value of the contract exceeds the threshold, contracting bodies are required to publish a prior information notice giving the essential characteristics of qualifying works contracts following decisions to approve the planning of works. A contract notice should be published in the Official Journal when offers are sought in relation to a works c ontract. When inviting tenders, negotiated procedures may be used only in exceptional circumstances. The choice is mainly between open and restricted procedures under which all tenderers must bid against the same specification and terms and conditions of contract. The negotiated procedure allows a preferred bidder to be chosen before the final terms of the contract are agreed. There are strict provisions on technical standards requiring the use of European standards in tender documentation in preference to national ones. The award of the contract must be either on the basis of the lowest price or the most economically advantageous tender. If this latter test is used a contracting authority should specify which further elements would be relevant, such as technical merit, delivery dates, after-sales services, running costs etc, when possible in order of importance. Unsuccessful bidders can obtain reasons for rejection of their tender so the contracting authority must maintain compliance records. After the award of the contract, new or additional work can only be carried out in certain very limited circumstances. 4.2: Enforcement Any contractor or potential contractor that can prove that it has been prejudiced by the failure to apply the procurement rules correctly will have a cause of action against the contracting authority or utility in national courts. Under the UK implementation of the enforcement directives (there are a general remedies directive and a more particular utilities remedies directive) it is not, however, possible to set aside a contract once it has finally been entered into. In such a case the only remedy would be damages CHAPTER 5: Procurement Issues 5.1: Supplies The EU Directive (93/36/EEC) is implemented by the Public Supply Contracts Regulations 1995 (SI 1995:201). The supply rules apply where a contracting authority seeks to purchase or hire certain goods. The qualifying threshold is currently SDR 200 000. Again, negotiated procedures are the exception. As with the works rules, a contracting authority will usually employ the open or restricted procedures. There are requirements to publish a prior information notice above 750 000 ECU for contracts of the same product and a contract notice in order to attract offers. The comments in section above on award criteria, technical specifications and maintaining records of awards also apply to the supply rules. 5.2: Services The EU Directive is implemented by the Public Services Contracts Regulations 1993 (SI 1993:3228). Services are defined in the rules by exclusion they do not include contracts of employment or service, works (under the works rules), certain utilities-related services or services concessions. The value threshold is set at SDR 200 000. As per the works and supply rules, provisions are made for prior information notices above 750 000 ECU for contracts falling to the same category of services. A distinction is made between services (e.g. maintenance and repair of vehicles and equipment, accounting, architectural services, property management services) which are subject to the full tendering procedures and services (e.g. legal, education and vocational, recreational, cultural and sporting services) which are subject to limited tendering procedure requirements. 5.3: Utilities EU Directive 93/38 deals with works, supplies and services in respect of utilities. The Directive has been implemented in the UK by the Utilities Contracts Regulations 1996 (SI 1996: 2911). The Regulations list classes of bodies identified as utilities. The rules also list specified activities (such as the supply of gas or electricity). If an entity falls under the former list and is engaged in an activity under the latter list, then the utilities rules will apply. The thresholds are ECU 5 million in the case of works contracts and ECU 400 000 for supplies and services in the energy, water, and transport sectors and ECU 600,000 for supplies and services in the telecommunications sector. The main difference between the utilities directives and the general sectors directives is the more flexible procedure that can be used in the former case. Again, there is a choice between the use of the restricted, negotiated and open procedures and time limits/procedures are set out. The rules on aw ard criteria, standards and record keeping are similar to those for the general sector. The specific procurement rules to be applied to a CHP project will depend on the precise characteristics of each project. However, it is likely that most CHP projects, if caught by the procurement regime, will fall within the scope of the utilities regulations. CHAPTER 6: LIFE CYCLE COSTING OF DISRICT HEATING SYSTEMS Many problems have been experienced with the operation and maintenance of many district heating schemes in the UK, and several authorities have been involved in analysing schemes to establish more precisely the nature of faults and difficulties. Schemes investigated have ranged in size from as small as 30 dwellings through systems serving 150-300 and up to 2000 dwellings. Detailed evaluation of individual sites indicates that faults were technically soluble and capable of correction. Many problems experienced were due to the fact that while financial and engineering decisions taken at the time of the original design and installation in the late 1960s or early 1970s were, and can be proved to have been, reasonable in the light of information available at that time, they were subsequently adversely affected by external influences such as the oil price crisis, the development of natural gas, and the need for energy conservation. Many schemes were also halted, or substantially reduced in scale, during the installation stage with resultant detrimental effects on operational efficiencies and economies of scale. 6.1: Evaluating the options The options available to local authorities include retention, refurbishment/upgrading or removal, and in order that a balanced judgement can be made it is essential that before large-scale capital investment is made in any existing or future scheme, each application is evaluated in both technical and economic terms over the expected useful life of the system. Such technical and economic studies should preferably contain reference to any large-scale capital expenditure involved on the basis of public sector investment appraisal methods employing approved NPV/IRR techniques, acceptable to economists in both local and central government. It is also essential in evaluating the nature of possible future schemes that these should also be approached on the same basis. Any overall analysis should include reference to the following factors: operational efficiencies and costs per kWh accounting procedures and cost assessments to tenants administrative problems associated with housing management levels of account arrears and cost collection problems system breakdowns and condition of boiler plant, underground mains and dwelling internals metering implications with regard to future operational costs and efficiencies cost quantification of unmetered losses and identification of single pipe loop systems cost quantification of any water losses and investigation into water treatment and make-up water meters financial effects resulting from systems operating below design capability effects of tenant energy conservation on plant loads and efficiencies investigation into the effects of the provision of additional tenant controls central plant efficiencies and electronic meters to measure heat at the boiler house wall evaluation of alternative fuels/refuse-derived fuel (RDF)/CHP, refuse incineratio n, etc possible introduction of pre-payment heat controllers existing and future maintenance procedures economic appraisal of existing systems in the long term availability of resources and possible use of private sector finance. While several of the items listed may be considered contentious in certain instances it is essential that the implications of both present and future actions should be fully appreciated. 6.2: Investment Analysis In evaluations of this nature the options include various strategies from merely returning the heating system to a viable operating state through to a situation whereby full financial control can be maintained over the operation of the system and the final option considers removal of the existing system and the provision of suitable replacement systems which would not be based on the principle of district heating. A common feature of each option is to determine the varying life expectancy of the equipment and components of each of the systems contained within the options, and from this it is possible to determine the overall useful life of each option. The assessment of such life expectancies is an engineering judgement and is based on data issued by the BRE, BSRIA, etc. However, it is clear that to maintain a viable operating system on an ongoing basis, the capital cost profile incurred at the initial refurbishment stage will recur at some point in the future when the system requir es a second and subsequent refurbishment(s) and it is important to reflect this in the investment appraisal. It is important that the scheme owner be fully aware of the basis on which the analysis has been prepared. This will prevent misunderstandings arising because of the selection of an appraisal review period which may not necessarily reflect the refurbishment costs for each option in the particular year in which they will ultimately be incurred. However, extending the review period to cover the whole of the major cost cycle resolves this presentational difficulty and this is the approach adopted in the economic appraisal procedure described. The scheme owner should appreciate fully the recurring nature of the respective cost cycles if they wish to maintain an ongoing viable system, and consideration can be given to the development of a separate fund to be set aside during the initial life expectancy of the equipment to provide for its eventual replacement. It could be suggested that where the review period is less than the full cycle of any major component part of the system, this could lead to confusion and misunderstanding in interpreting the financial implications. For example, it might be suggested that credits should be made in calculations in respect of the unexpired life element of any particular component of the system at the end of the review period. This would, however, undoubtedly cause confusion since it appears unlikely that any sum so credited would be realised should the system be terminated at that time and therefore the capital cost of operating the system for the review period would be in excess of the sum arrived at by that principle. Alternative calculations can also be made on the basis of lease rentals for the review period, but this may be open to confusion because it may not recognise the ongoing leasing cost commitment for the unexpired period of asset life on items such as mains and meters, etc, beyond the review period. Obviously, an ongoing liability would be present even if the system were terminated at that point. It is essential that the presentation of investment appraisal information clearly demonstrates the capital costs of providing a viable and ongoing system for each of the options under consideration. It is clearly important to emphasise the recurring nature of the capital costs involved and the presentation of information is somewhat complicated by the differing useful lives of the major component elements within the systems. A cycle of cost based on the major asset life expectancy must, therefore, be established in order to assist in determining the true cost of providing an ongoing long-term system. In conclusion, it is important to appreciate that certain technically feasible options may be eliminated by political, legal or financial constraints. CHAPTER 7: REFERENCES 1). BS 8211, part 1: British Standard Code of Practice on the Energy Efficient Refurbishment of Housing Applications Manual; part 1 Energy Efficient Refurbishment of Housing British Standards Institution, Chiswick High Road, London. 2). Programme of Research, Development and Demonstration on District Heating; 1987, Technical and Economic Assessment of New Distribution Technology 3) Community Heating: UK Action Plan by Gill Owen. CHPA, 1992. World Energy Council 4) District Heating/Combined Heat Power. World Energy Council, 1991. Danish District Heating Association. 5) Electricity production connected to the local network: a guide, October 1996. Association of Electricity Producers, District Energy Schemes Coming in from the Cold by Dennis Jenkin. Gas Matters, 1997. EconoMatters Ltd. 6) Chartered Institution of Building Services Engineers; CIBSE guide Book B. CIBSE 1986. 7) Water Treatment in Danish Community Heating Systems. Danish District Heating Association, June 1995. 8) Energy saving trust, Potential for Microgeneration. Study and Analysis. EST, London, 2005.