Strategic Energy Management for Industry (SEMI)

The Strategic Energy Management for Industry (SEMI) program, funded by Emissions Reduction Alberta, offers $50 million to enhance energy efficiency and reduce greenhouse gas emissions for industrial and manufacturing facilities in Alberta. Supported by the Government of Alberta and Natural Resources Canada, the program provides financial incentives to cut energy costs, improve competitiveness, and promote sustainable practices until March 2027.

The Strategic Energy Management for Industry (SEMI) program is a groundbreaking initiative designed to transform the energy usage landscape of industrial and manufacturing facilities in Alberta. This $50 million grant program, funded by Emissions Reduction Alberta, is a collaborative effort involving the Government of Alberta and Natural Resources Canada. It aims to bolster energy efficiency, improve competitiveness, and significantly reduce greenhouse gas emissions across the province's industrial sectors. **Program Goals and Benefits** The SEMI program is not just about energy savings; it’s about fostering an ecosystem where profitability, innovation, and environmental stewardship go hand in hand. Enrolling in the SEMI program allows businesses to enhance their bottom line through various strategic energy management initiatives, including implementing an energy management information system or undergoing capital retrofits. 1. **Economic Advantages:** By reducing energy costs, businesses can increase their profitability. The SEMI program provides financial incentives that can cover up to 50% of eligible project costs for for-profit organizations, while not-for-profits and Indigenous organizations can receive up to 100% coverage. 2. **Operational Longevity:** Energy efficiency improvements can extend the lifespan of equipment, thus lowering long-term operating costs. 3. **Industry Collaboration:** Participants have the opportunity to collaborate with peers, sharing ideas and best practices, and building a robust community of energy managers. **Eligibility Criteria** To participate in the program, facilities need to meet specific criteria: - **Industrial Classification:** Eligible facilities fall under various North American Industry Classification System (NAICS) codes, including sectors such as agriculture, manufacturing, utilities, and transportation. - **Location and Operation:** The facility must be located in Alberta and have been operational for at least one year. - **Facility Ownership:** Participants must either own or have permission to manage leased facilities to engage in SEMI activities. **Financial Incentives and Activities** SEMI supports a broad range of activities tailored to drive energy efficiency and emissions reduction within industrial and manufacturing facilities: 1. **Facility Readiness Assessment (FRA):** This initial step involves a comprehensive assessment of the facility’s energy use, providing detailed insights and recommendations for future actions. It helps identify opportunities and strategizes future activities without obligation. 2. **Energy Assessments and Audits:** Facilities can receive up to $50,000 to conduct detailed energy assessments, which help in pinpointing inefficiencies and formulating targeted energy-saving strategies. 3. **Strategic Energy Management (SEM):** Facilities can receive funding of up to $100,000 to develop long-term energy management plans that integrate energy-saving practices into their daily operations. 4. **Energy Management Information Systems (EMIS):** Depending on annual energy consumption, facilities can receive between $50,000 to $250,000 to implement systems that collect, analyze, and optimize energy usage data. 5. **Capital Retrofits:** Facilities can access up to $1,000,000 to upgrade energy-efficient equipment and adopt advanced technologies, ensuring at least a 5% improvement in energy efficiency and GHG reduction compared to baseline scenarios. **Program Implementation and Steps** Participation in SEMI involves a structured process starting with registration on the SEMI portal, followed by a series of preparatory activities. Once a facility’s readiness for energy management is assessed, the pathway to greater energy efficiency opens up through a series of funded activities. 1. **Registration:** Facilities interested in SEMI must register on the SEMI portal, providing necessary details to verify eligibility. 2. **Define Scope and Budget:** In collaboration with ERA’s Service Provider, facilities define the scope of the FRA, ensuring alignment with energy goals and budget constraints. 3. **Conducting FRA:** ERA’s service provider executes the FRA, providing a detailed assessment of energy uses, management systems, and potential improvements. 4. **Engage in Additional Activities:** Post-FRA, facilities can participate in additional activities like energy audits, information systems implementation, and capital retrofits to maximize energy efficiency gains. **Holistic Approach to Energy Management** By integrating various activities—such as FRA, comprehensive energy studies, SEM, EMIS, and capital retrofits—the SEMI program offers a holistic approach to energy management. This integration not only helps facilities optimize their energy usage and reduce costs but also assists in lowering the environmental footprint, thereby contributing to a more sustainable industrial sector in Alberta. **Conclusion** The SEMI program stands as a testament to Alberta's commitment to sustainable industrial growth and innovation. By participating, facilities not only improve their energy efficiency but also contribute to a cleaner environment, thereby strengthening Alberta’s industrial sector's global competitiveness. With SEMI, Alberta is paving the way towards an energy-efficient future, driven by innovation, sustainability, and collaborative growth.