Legend Power Blog

Conservation Voltage Regulation (CVR) is an energy conservation technique that regulates the incoming voltage to buildings.

To compensation for line loss along the power grid, buildings at the beginning of the grid receive voltage at higher levels than others. This leads to energy waste, higher energy bills and unnecessary carbon dioxide emissions. Over $1 billion is wasted per year by commercial buildings due to forced grid consumption.

How Conservation Voltage Regulatioin Works

There is an optimal minimum voltage level below the primary level (600V CA, 480V US, 400V EU) where lights, motors, etc, will operate comfortably with no effect on their practical performance. At 5% below the primary voltage (570V CA, 456V US, 380V EU) these loads are still within manufacturer’s specifications but will work with less waste heat, longer life, a lower carbon foot print and less energy.

CVR regulates buildings’ incoming voltages to optimal levels through a transformer and a tap changer.

Legend Power’s transformer and tap changer is called the Electronic Harmonizer-Automatic Voltage Regulator. It is an on-load automatic electronic tap changer with a high efficiency autotransformer that regulates voltage to the optimal level.

The Harmonizer component adjusts the incoming voltage to the optimum operating level for each facility as determined by an extensive pre-installation assessment. Currently, the Harmonizer can optimize the incoming voltage by 0% (bypass), 2%, 4% or 6%, creating a significant reduction in energy consumption and peak demand. Power grids will fluctuate on a regular basis so flexibility in the rate of voltage reduction is critical to maximizing conservation and eliminating risk.

The Automatic Voltage Regulator (AVR) continually monitors a facility’s incoming voltage level and automatically selects the correct tap setting on the autotransformer to ensure power is always entering the facility at an optimal level. If grid voltage levels drop below the minimum optimal, the system is immediately bypassed ensuring that the energy flow to your building is never negatively affected.

The Electrical Harmonizer-AVR maximizes voltage optimization, improves power quality and operates at an efficiency of greater than 99.5%.

Benefits of Conservation Voltage Regulation

The Electronic Harmonizer reduces energy consumption by 6-10% by:

• Reducing energy consumption: kWh
• Reducing real power: kW
• Reducing reactive power: kVar

In addition to reducing energy consumption, CVR technology increases the life expectancy of equipment. All electrical equipment is designed to operate at +/- 5% of their rated valued. Voltage optimization ensures that equipment is operating at the lower limit, which increases the life expectancy of equipment. For example, after Science World installed the Harmonizer-AVR, they doubled the life of their exterior light bulbs on their geodesic dome, and went from having to change the bulbs once a year to once every two years.

Overall, Conservation Voltage Regulation benefits both the end user – through power savings and improved equipment efficiency – and utilities – through reduced power losses. CVR benefits both groups by reducing carbon dioxide emissions.

For more information about Legend Power’s Conservation Voltage Regulation technology, download our technical brochure (PDF) or watch our corporate video:

The Financial Post has been running a series the last few months called “Ontario’s Power Trip”. In the series, Parker Gallant, a retired Canadian banker, explores the finances and politics behind Ontario’s power sector. With power that’s already priced 65% higher than Quebec and Manitoba, it’s about time someone explored the problems with Ontario’s power.

Gallant says,

As a former banker, I have no direct expertise in the electrical sector. I was simply curious as to why my electricity bill in Ontario went up when my consumption went down. What I found as I researched is a bewildering story of a province whose electrical sector is in trouble. Ontario is a high-price energy province and, under current policy, it is poised for a further escalation in prices. In short, Ontario is pricing itself out of the market and will not have the ability to attract any manufacturers or service sector companies that require significant energy in their daily processing.

It appears that Gallant was first inspired to write the series after examining Hydro One’s annual report. In his post on February 24th, Ontario Power Risk he notes that the annual report (deemed not newsworthy by the press) shows that while the company is handling less electricity, both their costs and debt are rising. Gallant notes that this should alarm electricity consumers and Ontario taxpayers, predicting that “many more rate increases will follow.”

In his April 14th post, Ontario’s power trip: Priced out of the market, Gallant examines the regime behind Ontario’s power sector, calling it a “complex, unproductive, costly and expanding beehive of corporate and institutional activity that produces less and less electricity at ever rising cost.” With 6 institutions making up the power structure, including parts of old Ontario Hydro and government appointed groups, here’s the breakdown he provides:

1. Ontario Power Generation (OPG), which produces electricity.
2. Hydro One, which manages the province-wide transmission and distribution grid.
3. Independent Electricity System Operator (IESO), which manages the hourly power needs and also operates a trading and pricing system.
4. Ontario Electricity Financial Corporation (OEFC), which holds the stranded debt of the old Ontario Hydro and acts as a funding arm.
5. Ontario Energy Board (OEB) , which regulates electricity.
6. Ontario Power Authority (OPA), which acts as the government’s policy execution vehicle.

Gallant asks “What is this conglomeration of government-controlled agencies doing? One thing is clear. They are doing much less for a lot more money than they used to…The number story is simple: Less electricity, higher costs.”

And higher costs is right. Gallant notes in his May 11th post, Ontario’s Power Trip: The 20% hydro grab, that early in May Toronto Hydro told the National Post’s editorial board that rates will be increasing by about 20% and similar increases will effect all of Ontario. With this news, Gallant takes apart his power bill to see where the costs are coming from and what he can expect in the future. This is what he finds:

Under the regulated price plan (RPP) my bill (assuming I use 2480 kwhs over two months) will increase by $61 (up 20.5%) for two months’ worth of power. Under the TOU plan [beginning on May 1 Ontario consumers with Smart Meters will be under a new Time of Use (TOU) system], it will increase by $53 (up 17.9%). That means my electricity bill will jump $366 on an annual basis under the RPP and $318 under TOU.

In order to help Ontarians understand their electricity bills, Gallant created a useful chart that breaks down all of the complicated costs.

So what can you do?

Our solution to these price increases is an electronic tap changer, the Harmonizer-AVR. It regulates energy at your building’s power source to help your building conserve 6 – 10% of its energy.

See how Ikea saved 7% on electricity with the Harmonizer-AVR.

What are some other solutions?

Now when you install Legend Power’s smart transformer, the Electrical Harmonizer-AVR, in your building it will contribute up to 5 points to your LEED certification. Kyle Anders, a Sustainable Design Specialist, states:

5 points is a very noteworthy contribution in my experience, it is rare that a single product/technology can have this high of an impact.  I don’t have experience with evaluating other voltage optimization technologies, but since LEED emphasizes reductions in energy cost (rather than just energy), Legend has the advantage over many other energy savings technologies since it impacts electricity (the more expensive portion of a building’s energy use), compared to other technologies that may generate heating fuel savings but not electricity savings.

Read the full press release.

According to the U.S. Green Building Council (USGBC), LEED, which stands for Leadership in Energy & Environmental Design, is an internationally recognized certification system for green building. Originally developed by the U.S. Green Building Council, it certifies both residential and commercial buildings, providing third-party verification (through the Green Building Certification Institute) that a building is operating in the most sustainable way possible. 

As the Canada Green Building Council notes, LEED certification gives you recognition for your sustainability efforts and allows you to qualify for government funding incentives.

LEED measures a building’s performance in the following areas:

• Sustainable Sites – looks at where a building is built and its impact on the ecosystem.
• Water Efficiency – encourages smarter water use.
• Energy & Atmosphere – promotes efficient and clean energy use.
• Materials & Resources – encourages sustainable building products and materials.
• Indoor Environmental Quality – promotes improving indoor air quality and access to natural daylight.

According to USGBC, Building’s are rated out of a possible 100 points, with the potential for 10 bonus points. Certification requires 40+ points, Silver is 50+ points, Gold+ is 60 points and Platinum requires 80+ points.

LEED Rating Systems include:

• New Construction
• Existing Buildings: Operations & Maintenance
• Commercial Interiors
• Core & Shell
• Schools
• Retail
• Healthcare
• Homes
• Neighborhood Development

The first step to LEED certification is registering your building or project. To register in the US, visit LEED Online. Canada has adapted USGBC’s rating system to work within it’s own climate and building regulations. To register in Canada, visit Canada Green Building Council.

International Distribution Launches as Domestic Sales Momentum Builds

Burnaby, British Columbia, May 20, 2010 – Legend Power Systems Inc. (“Legend Power”) (TSX-V: LPS) (FSE:XLE) announces that it has signed a Memorandum of Understanding with ElectroFlow Solutions (UK) Limited (EFS) to purchase the distributor license for Legend’s patented electrical conservation technology in the United Kingdom. The agreement includes an initial system as well as engineering and training services leading to the execution of a full distributor license.

Electricity rates in the UK are two to three times those in Canada and with the country’s switch from UK 220v to the EU standard 230v, forced over voltage energy waste is a significant problem that Legend Power’s Harmonizer-AVR’s conservation voltage reduction technology is well positioned to resolve.

With a bespoke manufacturing facility in Gorleston, Norfolk, and headquarters at the Beacon Innovation Centre, EFS offers a range of energy-efficiency and Power Quality services which help the largest users of electricity in the UK to cut their carbon footprint, and save money. The company’s engineers are NIC qualified, and have a minimum of 5 years experience of electrical engineering.

“The ability of the Harmonizer-AVR to add incremental savings to EFS’ current line up of conservation technologies, combined with the company’s strong engineering team and respected reputation among many of that country’s major brand, key accounts makes this an excellent partnership for both organizations and accelerates Legend’s international sales in a solid and familiar overseas market”, said Gerry Gill, Chairman and CEO of Legend Power Systems Inc.

View the full press release.

Note: This article was originally published in Green Technology Report.

By Jonathan T. Orr

www.GreenTechnologyReport.com | Full Article

Friday, May 14,  2010

When Green Technology Report last talked to Gerry Gill CEO of Legend Power (TSX.V: LPS, FSE: XLE) he spoke confidently not only of the good their proprietary smart grid technology can do for the environment by enabling commercial facilities to minimize carbon footprints by reducing electricity usage by up to 10 percent, but also about the momentum that Legend Power was building selling the technology directly to large retailers in Canada.

Well with Legend Power’s recent announcement of an agreement with one of Canada’s largest distributors and retailers of hardware, renovations and gardening supplies, to install its first Electrical Harmonizer-AVR in one of its Toronto outlets, that confidence has proven to be well founded.

This significant agreement demonstrates clearly that this retailer’s commitment to sustainability has led them to choose Legend Power’s smart grid technology to reduce its annual energy costs and greenhouse gas emissions, now rather than in some distant future. The potential for further sales for Legend Power is huge as the retailer has 700 corporate, franchises and affiliates stores, and will be evaluating additional stores for implementation of the Electrical Harmonizer-AVR.

Gill stated, “This is the result of having a product with proven energy saving results as well as the strength of our marketing team. We now have 21 facility audits scheduled with a further 14 proposals out and the potential for forty to fifty other facilities in Ontario. Then we’re looking at California and its million plus buildings”.

The opportunity for Legend Power to capitalize on this momentum is made even more likely by the fact that the Ontario Power Authority has increased its conservation incentive funding for the entire province for technologies such as Legend Power’s Electrical Harmonizer-AVR, which will triple the companies incentive funding and addressable market size outside metro Toronto.

While many green technology companies struggle to convince businesses of the practicality of their products or to demonstrate clear savings to companies, Legend Power continues to power forward and now has a full pipeline of sales about to pour forth in Canada and beyond. Based on the fact that this announcement is precisely what the company told us they would accomplish when we last wrote about them we think clean tech minded investors that admire results will want to ride this momentum with them.

Electricity Savings Now

While climate legislation and green energy policies remain stalled throughout the world, Legend Power provides a solution that will make practical sense to anyone: with it’s patented technology they can reduce a company’s energy costs by simply optimizing voltage use. With Legend Power’s smart grid system companies need not go through lengthy government consultations or costly environmental evaluations, they can save money today and reduce stress on the broader electricity grid while doing it.

For environmentally concerned consumers, green focused CEOs, and clean tech investors, deciding upon the best possible solutions to our dilemma of ever increasing GHG gas emissions can promote paralysis. So rather than generate more statistical smog or elucidating more convoluted theories, lets just sum up what Legend Power can offer.

• Up to 10% savings on electricity with improved efficiency
• A free facility audit
• A direct reduction in electricity grid usage
• A clear and concurrent reduction in C02 emissions
• No lengthy government consultations or environmental assessments

Gill was clear about LPS’ sales potential for other large retailers “We have a great answer to the question that any CEO would ask. How can you help us? We can help you by saving you money right now, not in the future and by reducing your corporation’s carbon footprint in one the world’s most environmentally aware countries. We can do this for you today.”

How It Works

The Electrical Harmonizer-AVR uses a transformer with a set of taps to set the degree of voltage optimization for the incoming power supply. The AVR component enables the taps to automatically change, under load, in response to fluctuations of the power grid. By optimizing the voltage level the Electrical Harmonizer-AVR allows customers to reduce energy consumption, peak demand, greenhouse gas emissions and maintenance costs while improving overall power quality issues.

The fundamental concept underlying Legend Power’s technology is based on “Conservation Voltage Regulation” (CVR) or Voltage Optimization. Simply put, the patented Electrical Harmonizer-AVR allows you to make best use of your electricity by giving you voltage when you need it and by limiting it when you don’t. Unbeknownst to many companies, they are frequently paying for electricity that they are not using as well as operating machinery and lights at its highest capacity and prematurely wearing them out.

Proof Is In The Power Savings

Many companies promising these kinds of energy savings and emissions reductions simply state that this is the case and ask you to rely on their expertise without being able to prove it. Legend Power’s Electrical Harmonizer-AVR results have been proven to reduce electricity consumption by 7% to 10% and have been independently verified by no other authority than BC Hydro. But you don’t have to take BC Hydro’s word because LPS will provide your company with a free energy use audit. This process includes a review of your energy billing, a walkthrough of your facility, a simulation of the Electrical Harmonizer-AVR technology and an in-depth presentation of the results.

This sale to such a large Canadian retailer is a clear testament to the attractiveness of Legend Power’s technology for clients who want to effectively and economically achieve substantial energy savings, while reducing their carbon footprint “. But LPS don’t intend to stop at Canada’s borders.

As Leonard Cohen might have put it for Legend ‘Once we take Ontario, then we take California’. Mr. Gill pointed out that “California is the world’s 8^th biggest economy with a million buildings and some of the highest utility rates in the country. It holds massive potential for a company like us and we intend to make it our next field of expansion”

Legend Power is on the cusp of major sales in Ontario with a focused and aggressive Canadian and North American expansion plan. At this rate it’s starting to look as though Legend Power are living up to their name as we predicated when we first wrote about them on GTR and bold investors will want to be part of the story.

Follow the company’s progress at: http://www.legendpower.com/

DISCLOSURE: A fee has been paid for the production and distribution of this article and as such should be viewed in the context of advertising.

Legend Power’s CEO Gerry Gill was on the Business News Network today explaining how Legend Power’s electronic tap changer is an integral part of the smart grid system and that even buildings that have the latest high-efficiency light bulbs and equipment can still save on energy consumption.

Watch the video clip.

The problem of force consumption in terms of energy conservation is that of line loss resistance.

Facilities near the beginning of the grid receive voltage at a higher level than needed and waste energy. Over $1 billion is wasted per year by commercial buildings due to forced grid consumption.

Voltage optimization reduces electrical energy consumption by up to 10%, which also reduces the facility’s energy cost and greenhouse gas emissions.

Here’s a technical explanation of how voltage optimization is used for power reduction and power savings.

If a 5Ω load resistor is connected to a 100V source it will draw 20A and consume 2kW. If we now put a transformer between the source and the load to reduce the load voltage by 5% to 95V, the load current will be reduced to 19A, with a power consumption of 1805W. This is also the power drawn from the source, which will now be supplying 18.05A. It can be seen that both the load and source currents are lower than they were without the transformer, but at the transformer the voltage has been stepped down (0.95:1) and the current up (1:0.95), so that the power into the transformer is the same as the power out.

As far as the load is concerned a similar reduction could be obtained by adding another resistor in series instead of the transformer.  We would have to pick a value of 0.263Ω to achieve the same result. Now both the load and source currents will be 19A. The load power has still been reduced to 1805W, but the source power has only been reduced to 1900W. This is because, unlike the transformer, the extra resistor is also consuming power (95W).

The Legend Power Harmonizer-AVR system is effectively a low loss transformer with a variable ratio. Both source and load powers are reduced at the same time and the power can be measured either at the source or the load. As in any real connection there will be some losses and in the above example this would be less than 10W. Although the system could be set up to reduce power consumption at any voltage, it is normally used where the line voltage is too high. This means that the consumer is using and paying for more electrical power than needed and the Harmonizer-AVR reduces this consumption to normal levels.

For resistive loads the percentage change in power consumption is approximately twice the percentage change in voltage, for small changes. If we take a per unit approach to the example above a 5% reduction in voltage means the new load voltage is 1 – 0.05. The new power is (1 – 0.05)², which is 1² – 2 x 1 x 0.05 + 0.05². This is approximately 1 – 0.10 = 0.9 per unit, a 10% reduction, or 1800W.

Dave Orton, Vice President of Sales & Marketing at Legend Power, explains the problems with the power grid, including line loss, peak demand and power fluctuation. These three problems come together to create a buffer of unnecessary energy, which results in economic and environmental waste for commercial buildings. Legend Power has developed a solution to the problems of the power grid, the Harmonizer-AVR.

Dr. William Dunford is Legend Power’s Chief Technology Officer and developer of the automatic voltage regulator and an Associate Professor in Electrical Engineering & Power Electronics at UBC.

Dr. Dunford has a master’s degree in electrical engineering from Imperial College, London and a PhD from the University of Toronto. He has also been a faculty member at both institutions. Dr. Dunford’s industrial experience includes periods in the aerospace industry at the Royal Aircraft Establishment (now Qinetiq) and Alcatel Espace. He was also a field engineer for Schlumberger in various locations in the Middle East.

Dr. Dunford has been involved with many research projects in conjunction with companies and government agencies, including a teaching company scheme in the UK. Several of these projects have been related to energy conversion and alternative energy, such as a photovoltaic powered pumping system for African villages and a similar system for watering cattle in British Columbia. Others have involved the design of hardware for industrial and traction applications, such as a drive system for a mining locomotive.

Dr. Dunford has been on Legend Power’s board since 2006 and he was Legend Power’s first webinar speaker on The Effects of Voltage Optimization.

Mike Harcourt is the former premier of British Columbia (1991 -1996), mayor of Vancouver (1980 – 1986) and city councilor.

Between 1996 and 2004, he was appointed by the Prime Minister to serve as a member of the National Round Table on the Environment and Economy and Chaired the Urban Sustainability Program. Mike is an Honorary Chair of the International Centre for Sustainable Cities, and Co-Chair of the International Panel of Advisors.

Mike received the Woodrow Wilson Award for Public Service in 2005 and was awarded the Canadian Urban Institute’s Jane Jacobs Lifetime Achievement Award in 2006.

In addition to his achievements, Mike has also written 3 books: Mark Harcourt: A Measure of Defiance; Plan B: One Man’s Journey from Tragedy to Triumph (with John Lekich); and City Making in Paradise: Nine Decisions that Saved Greater Vancouver’s Livability (with Ken Cameron and Sean Rossiter).

Mike is an active advocate for sustainability and has been a member of Legend Power’s board for 8 years.