INTRODUCTION

The auditor's report is a formal opinion, or disclaimer thereof, issued by either an internal auditor or an independent external auditor as a result of an internal or external audit or evaluation performed on a legal entity or subdivision thereof (called an "auditee"). The report is subsequently provided to a "user" (such as an individual, a group of persons, a company, a government, or even the general public, among others) as an assurance service in order for the user to make decisions based on the results of the audit. An auditor's report is considered an essential tool when reporting financial information to users, particularly in business. Since many third-party users prefer, or even require financial information to be certified by an independent external auditor, many auditees rely on auditor reports to certify their information in order to attract investors, obtain loans, and improve public appearance. Some have even stated that financial information without an auditor's report is "essentially worthless" for investing purposes.[1]

EXECUTIVE SUMMARY
This energy and water audit report provides detailed data and analyses regarding energy and water usage at a five-star hotel in Aqaba, Jordan based on a thorough energy and water audit conducted by EcoSol. The energy and water audit shows that the hotels annual energy a nd water bills for the past year totaled JD 960,867. Jordan applied a new electricity tariff in June 2012; leading to higher energy bills for the hotel totaling JD 1,059,705. The following distribution illustrates the cost breakdown of energy bills based on the existing tariff applied starting June 2012: - Annual electricity bill is JD 781,881. - Annual fuel bill is JD 176,077. - Annual water bill is JD 101,747. Implementing the energy and water management opportunities [EMOs] proposed in this report will help the hotel reduce its energy and water costs. The report recommends the implementation of seventeen EMOs that would lead to monetary savings of 254,144 JDs/year equivalent to 24 percent of the hotels total annual energy and water bill. The required investment for implementing the EMOs is about JD 287,971 which would be returned back in 13.6 months. It is worth mentioning that the calculations in this report were developed based on the existing electricity tariff in effect as of June 1, 2012.

Figure 1: Estimated Cost Savings from Implementing all EMOs

The energy audit proposes the following (EMOs) to achieve the aforementioned monetary savings:

INTRODUCTION
ENERGY AND WATER BACKGROUND AND RATIONALE
Jordans energy bill is posing a huge burden on its economy,

representing around 18 percent of gross domestic product (GDP) in 2011. This has created serious challenges for governments, developers, industries, and individuals to conserve energy and to improve the efficiency of energy use. The efficient use of energy helps all energy consumers cut their energy bills, resulting in continuous growth and development by providing lower risks from the increment of energy prices and increasing competitiveness. Moreover, energy efficiency enhancements contribute to minimizing the burden on economy. Improving energy efficiency will not only save energy and reduce energy bills, but will increase stakeholders' awareness regarding the importance of saving energy and improve the surrounding environment by reducing greenhouse gas (GHG) emissions associated with burning fossil fuels for energy production. An expected rise in oil prices could further complicate J ordans energy situation since imports almost all of the energy required to satisfy local demand. Thus, the need to enhance energy efficiency in Jordan will become more urgent. Energy management programs are systematic strategies for controlling a building's energy consumption pattern and reducing it to an acceptable level without compromising production levels, quality, comfort, operations, or other factors. They establish and maintain an efficient balance between a building's annual functional energy requirements and its annual actual energy consumption.

Energy management programs offer several benefits including, but not limited to: lowering energy bills; maximizing the efficiency of electromechanical equipment (e.g., heating, ventilation, and air conditioning (HVAC) systems, lighting, pumping, and thermal systems, etc.); reducing maintenance costs; decreasing GHG footprint; providing solutions to existing power or energy problems; conserving resources; and improving comfort and productivity. In terms of water, Jordans primary sources of water are aquifers and basins fed and recharged through annual rainfall. The Yarmouk Basin is the largest in the country. Water from ground, surface, and non-traditional sources exhibits shortand long-term variation which requires planning and development decisionmakers to be informed and advised on general and specific data concerning water levels. Jordans water supply suffers because about 85 percent of the total amount of water is lost to evaporation annually, which leaves only a small amount of surface and groundwater to enter the water supply. Many methods have been suggested to increase Jordans water supply, including capturing rainwater through the use of micro- and macrodomes, desalination of sea water, and importation of water from neighboring countries, as well as other alternatives; however, all of these methods are subject to costbenefit analyses and geopolitical constraints. Agriculture is the primary use of water in Jordan. It accounts for 77.5 percent of Jordans total water consumption, while the remainder is used for domestic and industrial purposes. Jordans annual water demand is estimated to be growing at a rate of 25 mm3/year. This growth is related to urbanization and industrial expansion, as well as increased domestic use, mainly as a result of population growth. Jordans current water supply and demand situation raises serious concerns about the countrys water balance, as well as about the qualitative deterioration of water. The picture is so gloomy that any water researcher would observe that it is all too easy for The country to cross the red line when faced with annual water deficits, overuse, resource depletion or contamination, and human errors. Projections of water resourcesto 2025 demonstrate that Jordan will experience persistent water shortages. Several methods are in place to help alleviate water shortages, with reduced consumption at the top of the list. Appropriate pricing is the preferred approach

PROJECT OBJECTIVES
The main objectives of this project are: 1. Execute a Type II energy audit at a 5-star hotel in Aqaba. 2. Conduct a complete billing analysis for the project which establishes the energy balance for the hotel. 3. Identify energy efficiency enhancement opportunities, supported by a complete technical, financial, and environmental analysis. 4. Increase the staff and stakeholder awareness about the importance of saving energy for the Jordanian economy.

KEY FINDINGS
This section outlines the proposed EMOs at the hotel. EMOs were selected based on economic feasibility and ease of implementation. Table 1 below shows the proposed EMOs at the hotel, their associated energy savings, the costs of implementing each EMO, and the pay-back period for each investment.

Table 1: Summary of EMOs in Electrical, Fuel, and Water Systems

3.0 ENERGY BILL ENERGY CONSUMPTION

ANALYSIS

AND

BASELINE

This section presents the hotels energy and water performance and baseline analysis. This report provides an analysis of the hotels current energy and water consumption, its energy and water bills over the past year, its energy and water consuming systems, and the efficiency and characteristics of those systems. 3.1 ELECTRICAL CONSUMPTION This report analyzes the hotels total electrical bill for the past year. Its annual electrical consumption and costs are presented in Table 2 below.
Table 2: Annual Electricity Consumption and Costs

Electrical Tariff System

The electrical tariff applied to the hotel is the three-part tariff system detailed as follows:

The following tables show the hotels actual electricity consumption and associated costs for the hotel over the past twelve months.

It could be noted from the table above that: 1. The hotels annual electrical consumption over the past year was 6,459,664 kWh, and its annual electricity cost was JD 683,043, based on the old electricity tariff. 2. If the energy conservation measures are not implemented, the total expected electrical cost will be JD 781,881 based on fees associated with the new electricity tariff imposed in June 2012. 3. The hotel experienced its highest electricity bill ( JD 86,277) during the past twelve months in August 2012. 4. The hotels lowest electricity bill (JD 32,242) was in February 2012. 5. The average electrical tariff was 0.0893 JD/kWh before June 2012 which increased to 0.1113 JD/kWh as of today. The figures below illustrate the hotels annual electricity consumption and costs graphically.

Figure 1: Daytime and Nighttime Electrical Consumption (kWh)

The above figure shows the total electricity consumption in kWh over the past year divided into day and night consumption. It should be noted that the night time electricity consumption represents 20% to 25% of the total electricity consumption.

Figure 2: Total Electrical Energy Consumption (kWh)

The above figure shows the total monthly electricity consumption of the hotel. The higher electricity consumption during summer months is due to increased demand on the air conditioning system. Additionally, hotel occupancy rates are higher during the summer, resulting in more demand on energy-consuming systems.

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Figure 3: Maximum Demand Load (kWh)

The above figure shows the maximum demand load in kW for the hotel as obtained from electricity bills. The maximum demand load in kW at summer time is higher than winter time which is due to the higher demand on air conditioning system.

Figure 4: Maximum Peak Load Penalty (JDs)

The above figure shows the maximum peak load penalty of the hotel which is related to the maximum peak load. The maximum peak load penalty during summer time is higher than winter time due to the higher electrical loads during summer time as mentioned in Figure 4.

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Figure 5: Electrical Bill Comparison Based on Old and New Tariffs (JDs)

3.1.1 BASELINE ELECTRICAL MEASUREMENTS

The hotel's electrical energy needs are being supplied through Electricity Distribution Company's (EDCO) grid through 5 electrical power transformers located in the hotel. The total installed capacity of electrical transformers at the hotel is 6.5 MVA divided as follows:

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The power transformer's panels ATS 2, ATS 3, ATS 4, and ATS 6 and some of the hotels electrical loads were monitored continuously over different periods of time using a special power quality analyzer. ATS panels 2, 3, and 4 are feeding the various electrical loads and locations at the hotel while ATS 6 is feeding only the guest rooms. The total electrical consumption for the power transformers is illustrated in the figures below.
Figure 6: Electrical Power (Watt) Measured at ATS Panel #2

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Figure 7: Electrical Power (Watt) Measures at ATS Pane

Figure 8: Electrical Power (Watt) Measured at ATS Panel #4

Figure 9: Electrical Power (Watt) Measures at ATS Panel #6

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3.1.2 ELECTRICAL CONSUMPTION BREAKDOWN

During site visits throughout the audit stage, EcoSol took continuous and instantaneous electrical measurements of the electrical loads and electrical energy consuming systems to establish each systems electrical consumption and cost breakdown. The electrical measurements yielded the following breakdown of electrical costs:

Table 4: Electrical Cost Breakdown

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Figure 10: Electrical Load Breakdown (kWh)

The above figure shows that water chillers are the major electrical energy consumers followed by the AHUs. Water chillers and AHUs are the main components of the air conditioning system representing about 65 percent of the total electrical energy consumption. Other energy consuming systems (lighting system, pumping system, etc.) represents less than 33 percent of the total electrical energy consumption.

Figure 11: Electrical Load Breakdown (JDs)

The above figure shows that the air conditioning system (water chillers and air handling units) is costing more than JD 467, 000 per year while the other systems costs about JD 234,000 annually

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Figure 12: Electrical Load Breakdown

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3.3 WATER CONSUMPTION

The hotels annual water bills were analyzed over the past year to determine the monthly water consumption and associated costs, presented in Table 7 below.
Table 7: Past Year Water Consumption (m3) and Costs

Highlights from the above table: 1. The hotels water consumption varies between summer and winter seasons due to the high occupancy during summer months. 2. The average monthly water consumption was about 5,060 m3. The figures below illustrate the hotels annual water consumption graphically

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Figure 16: Past Year Water Consumption (m3)

The above figure shows the monthly water consumption in cubic meters at the hotel. The increase in water consumption during May 2012 is not a trend, but rather, is due to abnormal conditions during that time.

Figure 17: Past Year Water Cost (JDs)

The above figure shows the monthly water bills in JDs during the past year. The water bills increase during summer time due to the higher occupancy rates and the higher demand on water for domestic applications

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3.3.1 WATER CONSUMPTION BREAKDOWN

During site visits throughout the audit stage, EcoSol conducted various measurements from the hotels water consumers to e stablish the water consumption and cost breakdown for each water consuming unit. The measurements yielded the following water breakdown:

Figure 18: Water Consumption Breakdown

From the figure above, it should be noted that showers are the hotels largest water consumer, accounting for about 54 percent of its annual water consumption followed by service (kitchen, cleaning, etc.) representing about 30 percent.

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4.0 FINDINGS AND RECOMMENDATIONS

4.1 ELECTRICAL SYSTEMS MANAGEMENT OPPORTUNITIES ENERGY

L.1 Replace existing FLs (2x36 Watt & 4x18 Watt) with new technology highefficiency LED lamps (2x18 Watt & 4x8 Watt) in selected areas. Finding Description and Recommendations:
During the energy audit, a detailed lighting survey was carried out to identify type, energy consumption, and illumination level of all spaces throughout the hotel. The energy audit showed that many areas in the hotel service areas are being served by T8 FLs of 2x36 and 4x18 Watts as illustrated in the below figure

Figure 20: Sample of Existing FLs.

Fluorescent lamps (FL) are considered one of the most energy-efficient lamps available; however, a new lighting technology which relies on semi-conductor technology, called LED lamps, provides reliability, high-quality lighting characteristics, and energy efficiency in addition to offering the longest service life compared to other available lamps. LED lamps are available in a wide range of shapes and colors to meet various application needs. To assist in reducing the energy consumption of the hotels lighting system, it is recommended that 2x36 Watt fluorescent lamps be replaced with 2x18 Watt LED lamps and 4x18 Watt FLs be replaced by 4x8 Watt LEDs. The below figure shows the proposed LED lamps.
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Implementing this measure will reduce the energy consumption of FLs by about 50 to 54 percent. Because the life expectancy of the proposed LED lamps is about 30,000 to 50,000 hours, much longer than the existing FLs, the hotels replacement and maintenance costs for lighting will be reduced. Maintenance cost savings were not considered at this stage but provide an added benefit of implementing this measure. The following table illustrates the replacement of 2x36 FLs by 2x18 LED lamps and 4x18 FLs by 4x8 LEDs.

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Table 8: Proposed Replacement of FLs with LEDs

Energy Savings:
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L.2: Replace the existing downlight halogen spot lamps (35 Watt and 65 Watt) with high-efficiency LED lamps (4 Watt and 14 Watt). Finding Description and Recommendations:
The lighting survey also showed that a number of halogen spot lamps (35 Watt and 65 Watt) are currently being used to in several areas within the hotel, including the reception area, restaurants, guest rooms, and corridors. Figure 22 below shows a sample of the existing halogen spot lamps at the hotel.
Figure 22: Sample of Existing Halogen Spot Lamps

Halogen lamps are inefficient lamps and consume a lot of energy compared to the illumination level they provide. Halogen lamps waste about 93 percent of energy as heat losses while only 7 percent of the input power is being used for illumination. Currently, high-efficiency LED lamps 4 Watt and 14 Watt are available in the same size, shape, and color to replace the halogen spot lights 35 Watt and 65 Watt respectively, offering an 80 percent reduction in energy consumption. LED lamps are the best solution for meeting the hotels lighting requirements while providing energy savings. LEDs are considered the most energy-efficient
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lamps and offer an illumination level comparable to the existing halogen spot lamps while reducing energy consumption by 80 percent. It is worth mentioning that LED lamps have a service life of 30,000 - 50,000 hours while the service life of halogen lamps offers only about 1,200 - 2000 hours of illumination. Replacing halogen spot lamps by LED spot lamps will reduce the hotels lighting replacement costs and will save time and effort.

Monetary savings resulting from reduced replacement costs were not considered in the calculations below, but offer an added benefit for the project. The following table outlines the proposed areas to replace halogen lamps with 4 Watt LEDs.

Table 9: Proposed Replacement of Halogen Spot Lamps by LED Spot Lamps

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Energy Savings:

L.3: Replace the existing 26 Watt downlight compact fluorescent lamps (CFLs) with 12 Watt LED lamps in main elevators areas.
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Finding Description and Recommendations: The lighting survey showed that the hotel uses various types of lamps to light internal areas, including 26 Watt compact fluorescent lamps (CFLs). The below figure shows a sample of the existing CFL lamps.
Figure 23: Sample of Existing CFL Lamps

CFLs are one of the most highly efficient lamps available on the market, New lighting technology which relies on semi-conductor technology, called LED lamps, provides reliability, high-quality lighting characteristics, and energy efficiency, in addition to offering he longest service life, compared to other available lamps. LED lamps are available in a wide range of shapes and colors to meet various application needs. To reduce energy consumption while maintaining current lighting levels, it is recommended that the hotel replace the 26 Watt CFLs with new high-efficiency 12 Watt LED lamps. The replacement of CFLs with LED lamps will provide an energy savings of about 54 percent. The following table shows the proposed areas for replacing CFLs with LED lamps and the effects of implementing this measure.

Table 10: Proposed Replacement of CFLs with LEDs

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Energy Savings:

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P.2: Reduce domestic cold and hot water pumps' pressure from 7 to 5 bars. Finding Description and Recommendations:
During the energy audit, a detailed survey was conducted on water pumping systems to identify each pumps operational characteristics and load requirements. Domestic cold and hot water for guest rooms is supplied through a set of pumps controlled by VFD. The below figure shows the existing water pumps at the hotel.

Figure 23: Existing Water Pumps

Cold domestic water is pumped by three pumps, each of 18.5 kW (one in service and two are stand-by) at a pressure of 7.3 bars. Hot water is pumped by three pumps, each of 15 kW (one of them in service and two are stand-by) at a pressure of 6.5 bars. For water pumps of a specific height, pressure is proportional to flow rate in a non-linear relationship as mentioned in Figure 31. Flow rate affects mechanical shaft power directly, hence the electrical power drawn by the pump.

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Figure 31: Water Flow Versus Pressure in Water Pumps

From the previous curve, it could by noted that water can by pumped to a height of 70 meters using 7-bar pressure, and to a height of 50 meters using 5-bar pressure at a fixed flow rate value. The hotel height is about 30 meters which provides a static head of 30 meters on the pump. Friction losses in the water pipes should be added to this head which increase the pressure required to reach the highest point of the hotel while maintaining proper pressure. However, the total head is expected to be 40 meters which requires 4 bars. To reduce energy consumption of these pumps, it is recommended that the hotel reduce the water pressure of cold water pumps from 7.3 bars to 5 bars, and hot water pumps from 6.5 to 5 bars. Implementing this measure will reduce energy consumption of the hotels domestic cold and hot water pumps by 19 percent, accounting for about 0.3 percent of the hotels total electrical bill.

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Energy Savings:

O.1: Shift the hours of operation for laundry equipment and the air compressor to be at the Night Low Electricity Tariff. Finding Description and Recommendations: The hotel currently operates laundry equipment and air compressors for 10 hours during the day shift, which is billed at day tariff rates (the high tariff). The electrical tariff applied to the hotel is the three-tariff system. To reduce the hotels energy costs, it is recommended that the hotel shift the working hours of laundry equipment and air compressor to nighttime to take advantage of the low tariff period. The shift will not affect electrical consumption of laundry equipment or the air compressor, but will reduce the associated energy costs of operating the equipment. Implementing this measure will not affect working quality or demand issues of the hotel, and will cut about JD 1,000 from current laundry and air compressor energy costs annually.
Energy Savings:

O.2: Turn-off the air compressor when unneeded. Finding Description and Recommendations:
During the audit, it was observed that an air compressor was providing laundry equipment with compressed air. The air compressor was monitored using special
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electrical current data loggers and was found to be running continuously throughout the day regardless of the hotels needs. Laundry equipment is in use only ten hours per day. The below figure shows the existing air compressors at the hotel

Figure 24: Existing Air Compressors

The following figure illustrates air compressor energy consumption monitored over a 24-hour period using current data logger.

To reduce energy consumption, it is recommended that the hotel turn off the air compressor when the laundry equipment is not in operation.

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Energy Savings:

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CONCLUSSION
This energy and water audit report provides detailed data and analyses regarding energy and water usage at a five-star hotel in Aqaba, Jordan based on a thorough energy and water audit conducted by EcoSol. The energy and water audit shows that the hotels annual energy and water bills for the past year totaled RS 960,867. Jordan applied a new electricity tariff in June 2012; leading to higher energy bills for the hotel totaling RS 1,059,705. The following distribution illustrates the cost breakdown of energy bills based on the existing tariff applied starting June 2012:

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BIBLOGRAPHY
WWW.GOOLE.COM
"Fundamental Analysis: The Auditor's Report" by Investopedia.com Accounting What The Numbers Mean, (Marshall, McManus, Viele 2008), Mc Graw Hill http://www.aicpa.org/Research/Standards/AuditAttest/DownloadableDocuments/AU-C00705.pdf Auditing & Assurance Services: A systematic approach. Messier, W and C. Emby. McGraw-Hill Ryerson Limited, 2005.

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