Energy Efficiency in Industrial and Commercial Facilities

2003 Energy and Environmental ConferenceSeptember 16, 2003

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Energy management

Effective use of energy to maximize profits (minimize costs) and enhance competitive positions

Reduce energy use per unit output

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Energy Management

Use energy wiselyOptimizeImplement selected projectsMaintenanceBe proactiveHave energy efficiency program

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Energy Efficiency Program

Management EndorsementForm a TeamEstablish ObjectivesDevelop the Communications PlanImplement The ProgramTrack ProgressEvaluate

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Benefits

Reduced energy and operating costs. Full understanding of energy usage, requirements, and savings.Prolonged Life of Equipment

Reduced Operational & Maintenance Expense

Reduced Consumption of Natural Resources

Improved Air Quality and the Environment

Reduce Emissions

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Energy Baseline

Establish the baseline for the energy elements• Electric • Gas• Water• Others

Establish data collection guidelinesPerform Statistical AnalysisDetermine the cost per unit energy consumed

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Implementation

Conservation Program• Weekend and Holiday Shutdowns• Demand limiting shutdowns (manual or automatic)

Facility Improvement Program• Energy conservation projects• Pay-backs on energy savings alone

frequently provide only marginal justification for a project

• Planning energy conservation projects in conjunction with major renovations

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0

50

100

150

200

250

300

350

1000 B

tu/sq f

t

Commercial Buidings-Annual Energy Usage

1000 Btu/sq ft 86.8 172.9 308.6 150 111.7 113.3 52.1 51.3

EducationFood

ServicesHealth Care

Lodging OfficePublic

AssemblyReligious Worship

Warehouse &

Storage

Data obtained from U.S. DOE

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Space Heating

35%

Miscellaneous

13%

Office Equipment

4%

Lights

21%

Hot Water

16%

Space Cooling

11%

Commercial Energy Use

Data obtained from U.S. DOE

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Industrial Energy Use

Steam

31%

Cogeneration

13%Mach.

Drive/Electric

19%

Heat

37%

Data obtained from U.S. DOE

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Energy Saving Opportunities

Lighting Systems Upgrade• Fluorescent T12 vs. T8• 400 W MH vs. 360 W MH• Controls (sensors or programmable panels)

HVAC• Install controls for more efficient operation• Reduce conditioned air leakage• Utilize free cooling during spring & fall months• VFD for large fans• Shut down units when facility is unoccupied• Minimize exhaust

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Annual Cost of LightingEnergy Cost of 200 Watt light

HRS/ Day 12 24Days/ Week 4 5 6 7 4 5 6 7Cost/ kWh

$0.01 $5 $6 $7 $9 $10 $12 $15 $17$0.02 $10 $12 $15 $17 $20 $25 $30 $35$0.03 $15 $19 $22 $26 $30 $37 $45 $52$0.04 $20 $25 $30 $35 $40 $50 $60 $70$0.05 $25 $31 $37 $44 $50 $62 $75 $87$0.06 $30 $37 $45 $52 $60 $75 $90 $105$0.07 $35 $44 $52 $61 $70 $87 $105 $122$0.08 $40 $50 $60 $70 $80 $100 $120 $140$0.09 $45 $56 $67 $79 $90 $112 $135 $157$0.10 $50 $62 $75 $87 $100 $125 $150 $175

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2002 Degree Days

0

200

400

600

800

1000

1200

Deg

ree

Day

s

Heating D.D. 992 891 929 480 342 21 0 0 38 481 766 1119

Cooling D.D. 0 0 0 30 23 203 364 257 161 23 0 0

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Free Cooling Period

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Energy Saving Opportunities (continued)

Compressed air systems Upgrade• Install controls to eliminate blow-offs• Reduce system pressure• Repair leaks

Utilization of waste heat • Pre-heat boiler make-up water• Space heating

Insulation• Building (walls, roofs, doors etc.)• furnaces, ovens or parts washers• Exposed Steam & Condensate pipes

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$0

$50,000

$100,000

Ann

ual

Loss

es

Hole Diameter, in

Comressed Air Leak Losses at 100 psig(24 hr/ day, $0.17/ MCF)

Losses $580 $2,323 $9,293 $20,908 $37,081 $83,455

1/ 16 1/ 8 1/ 4 3/ 8 1/ 2 3/ 4

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Energy Saving Opportunities (continued)

Steam leak reductions

• Steam traps• Condensate return stations

Boiler Systems

• Increasing Condensate Return• Eliminating leaks to make-up systems• Reduction in blow downs

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(Gas $5/MCF, Coal $45/ton)

$0

$10,000

$20,000

$30,000

$40,000

A

nn

ual

Loss

es

Hole Diameter, in

Steam Leak Losses at 100 psigFor Gas & Coal Boilers

Gas Boiler $621 $2,482 $9,929 $22,341 $39,717

Steam Boiler $265 $1,060 $4,239 $9,537 $16,955

1/ 16 1/ 8 1/ 4 3/ 8 1/ 2

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Quality Management System

Commitments to energy efficiency initiatives can be included in QMS ISO 9000 and ISO 14001 QMS are effective in the implementation of energy efficiency program since the QMS has; • Procedures• Continuous improvement• Corrective and Preventative Actions• Root Cause Analysis

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Energy Efficiency and the Environment

The wise energy use help protect the environment• Reduce carbon dioxide (CO2)emissions• CO2 is the key greenhouse gas responsible for global

warming • CO2 emissions comes from burning fossil fuels, such

as oil, coal and gas• Burning fossil fuel causes emissions of other

greenhouse gases, such as• Methane (CH4) and• Nitrous oxide (N2O)

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Case Studies

Energy Efficiency projects for selected • Manufacturing, • Commercial buildings and • Power plant

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Manufacturing A

Project DescriptionTotal

savingsProject

Cost

Simple Payback (years)

Power Factor Correction $3,600 $4,565 1.27Compressed Air Pressure Reduction $1,400 $0 0.00

Compressed Air Leaks $2,800 $500 0.18

Lighting $7,689 $41,625 5.41

Total $15,489 $46,690 3.01

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Manufacturing B

Project DescriptionTotal

savingsProject

Cost

Simple Payback (years)

Lighting Replacement, Admin Bldg $52,824 $205,529 3.89

Lighting Fixtures Reduction $59,615 $0 0.00

Water Consevation $82,500 $0 0.00

Air Conditioning Units Retrofits $149,061 $620,000 4.16

Totals $344,000 $825,529 2.40

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Manufacturing C

Project DescriptionTotal

savingsProject

Cost

Simple Payback (years)

Install blower system to replace compressed air header $36,000 $44,300 1.23

Replace and retrofit plant lighting (T12 to T8) $42,473 $293,030 6.90

Totals $78,473 $337,330 4.30

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Manufacturing D

Project DescriptionTotal

savingsProject

Cost

Simple Payback (years)

Replace 74 HID lamps with 2-lamp fluorescent $6,638 $9,408 1.42Install four VFD control on multi-pump configuration. $223,913 $60,000 0.27

Totals $230,551 $69,408 0.30

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Hotel

Project DescriptionTotal

savingsProject

Cost

Simple Payback (years)

Lighting $25,180 $11,330 0.45

Steam Trap Replacements $32,459 $64,500 1.99

Heating & Cooling $256,670 $690,000 2.69

Totals $314,309 $765,830 2.44

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Office Building A

Project DescriptionTotal

savingsProject

Cost

Simple Payback (years)

Electric Curtailments $179,222 $0 0.00

Lighting Fixtures Replacements $63,487 $212,733 3.35

HVAC $163,266 $239,242 1.47

Totals $405,975 $451,975 1.11

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Power Plant

Project DescriptionTotal

savingsProject

Cost

Simple Payback (years)

Lighting Curtailments $10,200 $0 0.00

Replace T12 to T8 fluorescent fixtures $25,575 $93,750 3.67Reduce control air header pressure from 100 psig to 85 psig. $12,750 $0 0.00

Repair compressed air leaks $33,750 $7,000 0.21

Night Setback $2,000 $1,000 0.50

Totals $84,275 $101,750 1.21

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The Importance of Energy Efficiency Program

Effective management toolCommunicates:• scope, • structure, • budget, benefits and timing to management

and peersEstablishes the energy baselineDocuments growth expectationsReduce raw material and energy use per unit output

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Energy Efficiency Means

Doing the Same ~or More~

With Less Energy

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