Pre-Bid Conference on BASELINE ENERGY AUDIT under Perform, Achieve & Trade (PAT) Scheme S P Garnaik...

Pre-Bid Conference on

BASELINE ENERGY AUDITunder

Perform, Achieve & Trade (PAT) Scheme

S P GarnaikEnergy Economist

Bureau of Energy Efficiency, Ministry of Power, GOI

NATIONAL MISSION ON ENHANCED ENERGY EFFICIENCY (NMEEE)

The National Action Plan on Climate Change was released by Honorable Prime Minister of India in June 2008

The Action Plan Outlines 8 Missions including National Mission on Enhanced Energy Efficiency (NMEEE)

The Mission has outlined specific goals

Chronology of Events of NMEEE

30th June 2008 : Hon’able PM releases the National Action Plan of Climate Change

September 2008 : NMEEE endorsed by steering Committee, MoP

3rd October 2008 : Discussion on Draft outline in PMO 14th Nov 2008 : First consultation workshop at Mumbai 24th August 2009 : PM’s council on Climate Change approves

NMEEE in principle 1st December 2009 : EFC recommends the implementation

plan of NMEEE to Cabinet with a financial outlay of Rs. 235.35 crores

May 2010 : Cabinet approves the financial outlay Ammendment to EC Act, 2001 passed in parliament

NMEEE – Four New Initiatives

NMEEE

PAT MTEE EEFP FEEED

Energy Intensive Industries

Targets for Mandatory Energy Saving

Energy Efficient Appliances

BLYSEEPDSM

Stimulate Funding for ESCOs

Fiscal Instrument for EE

PRGFVCFPublic Procurement

PAT Scheme : Background & Scope (1)

Covers 685 designated consumers in 9 sectors

All DCs consume about 240 mtoe energy i.e. about 60% of total energy consumption of the country

Targets would be given to all DCs to achieve the same within a time frame • Achievement > Target E-Scerts

• Achievement < Target Purchase E-Scerts / Penalty

National Target = 10 mtoe at the end of 1st PAT Cycle ( April 2011 – March 2014)

PAT Scheme : Background & Scope (2)

Large band-with in Specific Energy Consumption (As per the BEE sectoral Study)

Energy Usage Pattern is varying extremely due to various diversities

Hence, the targets would be “Plant Specific”

PAT Legal Framework

•Furnish report of energy consumption to the Designated Authority of the State as well as to BEE (section 14(k)). •Designate or appoint an Energy Manager who will be in-charge of submission of annual energy consumption returns of the Designated Agencies and BEE (section 14 (l)). •Comply with the energy conservation norms and standards prescribed under section 14 (g) of the Act.•Purchase Energy Saving Certificates (ESCerts) for compliance to section 14 (g) in the event of default. The Act has been amended with the addition of new sub-section 14A to enable this and section 14A(2) allows such trading. EScerts are defined by adding a new sub-section 2(ma).•Monitoring and Verification of compliance by Designated Energy Auditors (DENA) which will be prescribed the Government/ BEE under section 14A/13 (p) of the Act. •Excess achievement of the target set would entail issuance of ESCerts under section 14A(1). •Penalty for non-compliance being Rs. 10 lakhs and the value of non-compliance measured in terms of the market value of tones of oil equivalent by inserting a new section 26(1A). •BEE to be the overall regulator and dispute resolution agency and Energy Efficiency Service Ltd. (EESL) to be the process manager.

BASELINE ENERGY AUDIT(Methodology of Scope of Work)

Verification of Data Submitted by DCs• Production

• All Energy Sources

[ Carefully investigate the source of data as the same source will be used during final verification ]

Item Data Unit Source of Data

Production - MU / MT Document

Purchased Elc. - MU Document

All Energy Source - - Document


Define the Plant Boundary (Gate-to-Gate Concept)• Physical Boundary

• Process Boundary

• Investigate the exclusions like colony power, construction related, internal transportation etc. with the submitted data

[ The plant boundary needs to be discussed with Plant Management ]


Develop Process Flow Diagram• Define sub-processes (Block Diagrams)

• Put operating parameters like Temp / Pressure / Flow / mass etc. in the process flow diagram with designed value

Develop the energy balance diagram of each sub-process

Sub-System Name

SS#1 Rectiformer

SS#2 Potline

SS#3 GAP

SS#4 Bake Oven

SS#5 Rodding Shop

SS#6 FTP

SS#7 Cast House

Each Sub-System to be Studied for…

Brief description of the sub-systemMaterial Input & OutputEnergy (Elect./Thermal) Input & OutputTechnical Parameters for Energy Efficiency Listing of major static and rotating

equipmentsTechnology up-gradation since past yearsSEC


Find out major energy consuming equipments in each sub-system• Investigate the technology

• List out critical parameters which affect the efficiency and energy consumption

• Operating vs. Designed value

[ Measurements may be required at this stage. However, past energy audit reports, performance assessment reports may be referred to ]


Example : Pot-line of an Aluminium Smelter

Technology : Pre-Bake

Parameters :

Pot capacityPot voltageCurrent DensityACDAnode Effect Factor


Investigate All options related to • Waste Heat Recovery

• Co-Generation

• Fuel Switch

• Use of EE equipment / System

[ Detail discussion with management required at this stage ]


Review the Past Energy efficiency Measures

Review the Future Energy Efficiency Approach/Strategy• Detail discussion with plant management required

Preparation of Audit Report• Potential evaluation with tentative cost-benefit analysis

Technology Sub-System Category Energy Saving

Monetary Saving

Investment

TUPM

O&MOthers

Thanks ….For further information Please Contact

S.P.GarnaikEnergy Economist

Bureau of Energy Efficiency

Ministry of Power, GOI

4th Floor, Sewa Bhawan, R.K.Puram

NEW DELHI – 110066

Ph.: 011-26179699 Fax :26178352

Email : [email protected]

Mission Goals

Market-based approaches to unlock energy efficiency opportunities, estimated to be about Rs. 74,000 Crores

By 2014-15:• Annual fuel savings in excess of 23 million toe

• Cumulative avoided electricity capacity addition of 19,000 MW

• CO2 emission mitigation of 98 million tons per year

The PAT Scheme

The market based mechanism to enhance the cost effectiveness in improving the Energy Efficiency in Energy Intensive industries through certification of energy saving which can be traded

Market Transformation for Energy Efficiency (MTEE)

Accelerating the shift to energy efficient appliances in designated sectors through innovative measures to make the products more affordable.

Energy Efficiency Financing Platform (EEFP)

Creation of mechanisms that would help finance demand side management programmes in all sectors by capturing future energy savings.

Framework for Energy Efficient Economic Development (FEEED)

Developing fiscal instruments to promote energy efficiency

Industry Sector Annual Energy Consumption Norm to be

DC (mtoe)

No. of Identified DCs

Aluminum 7500 11

Cement 30000 92

Chlor-Alkali 12000 23

Fertilizer 30000 22

Pulp & Paper 30000 70

Power 30000 154

Iron & Steel 30000 110

Textiles 3000 197

Railways 30000 8

List of DCs

State-wise DCs (2009-10)

Sector MTOEPower (Thermal) 160.3Integrated Steel 26.98Cement 14.47Fertilizer 11.95Sponge Iron 9.1Textile 3.5Aluminium 2.42Paper 1.38Chlor-Alkali 0.43

TOTAL 230.53

Estimated Energy Consumption in DCs

About 55% of DCs Contribute 96% of Total

Consumption

About 45% of DCs contribute rest 4% of Total Consumption

Railways : 9.8 MTOE additional

Target in PAT

Target is defined as the % reduction of ‘Specific Energy Consumption (SEC)’ from Baseline value.

Plant System Boundary

All forms of Energy Product

E P

SEC = E / PSEC

Y1 Y2 Y3

Baseline SEC

Target SEC Reduction in SEC

Expressed in %

Sectoral studies by BEE on ‘Setting Up of Sectoral Bandwidth for DCs’ have revealed the impact on SEC due to above diversities

Sector Range of SEC

Power plant 2300 – 3400 kcal / kwh

Fertilizer 5.86 – 9.11 Gcal/T of Urea

Cement 665 – 900 Kcal/Kg of Clinker (Thermal)

66 – 127 KWH/ T (Elect)

Integrated Steel 6.15 – 8.18 Gcal / tcs

Sponge Iron 4.4 – 7.6 Gcal / T (Thermal)

72 – 135 KWH/T (Elect)

Aluminium (Smelter)

Aluminium (Refinery)

15875 – 17083 KWH/T

3.28 – 4.12 MKcal / T of Alumina

Pulp & Paper 25.3 – 121 GJ/T

Textile 3000 – 16100 Kcal/kg (Thermal)

0.25 – 10 KWH/Kg (Elect)

Chlor-Alkali 2300 – 2600 kwh/ T of caustic soda

The energy usage pattern varies widely in industries of a particular sector due to various diversities like-Scale of Production (Installed Capacities) - Use of Raw Material- Process Technology- Vintage - O & M Practices- Type of Product Output etc.

Reasons for Large Energy Usage Bandwidth

Factors of Diversity Most Affected Sectorsa) Raw Material Input Pulp & Paper, Fertilizer, Power Plant, Textilea) Quality of Raw Material / Fuel All sectorsa) Process & Technology Aluminium, Iron & steel, Chlor-Alkali, Papera) Final Product output Textile, Iron & Steel, Aluminiuma) Vintage All Sectorsa) Capacity Utililization All sectors

Approach for Setting Targets Depends upon the Objective of the Scheme

Total Saving Objective = 10 mMTOE• Setting Sector Targets based on available saving

potential of Industries and Program Objectives

SN Sector Energy Consumption

Share of Consumption

Apportioned Energy reduction

No. of identified DCs

(mMTOE) (%) (mMTOE) 1 Power (Thermal) 160.30 66.64% 6.66 154

2 Iron & Steel 36.08 15.00% 1.50 110

3 Cement 14.47 6.02% 0.60 92

4 Fertilizers 11.95 4.97% 0.50 22

5 Railways (Approximated) 9.00 3.74% 0.37 8

6 Textile (Approximated) 4.50 1.87% 0.19 197

7 Aluminium 2.42 1.01% 0.10 11

8 Paper & pulp 1.38 0.57% 0.06 70

9 Chlor-Alkali 0.43 0.18% 0.02 23

Total 240.53 100.00% 10.00 687

Example : Baseline Estimation

Name of Unit ABC Ltd.Place XYZTotal Installed Capacity 1600000 TPD Sector : Cement

Particulars Unit 2005-06 2006-07 2007-08 2008-09 2009-10Installed Capacity Tonnes 1200000.00 1200000.00 1600000.00 1600000.00 1600000.00Actual Production (Cement) Tonnes 995000 1146699 1319800 1325000 1199000

Capacity Utilization % 82.92 95.56 82.49 82.81 74.94Average in last 3 yreas % 80.08Deviation from Average in last 3 yras % 3.01 3.41 6.42

Total Energy Input Million Kcal 919757.4 985287.9 989421.4 1062985.0 977621.3

Total Energy Consumption MTOE 91976 98529 98942 106299 97762Gate-to-Gate SEC w.r.t. cement Kcal/kg 924 859 750 802 815

Base Year 2009-10

Average Capacity Utilization % 80.08

Base line SEC (Gate-to-Gate) kCal/kg 789

Example : Target Setting (1)

Plant Name

Production (in Tonnes) Estimated SEC (in MTOE/ ton)

Relative SEC

Total Energy

consumption (in MTOE)

% Target

To be Energy Saving2005-06 2006-07 2007-08

Average production

(MT)2005-06 2006-07 2007-08

Average SEC

Plant1 3,62,793 3,68,867 3,78,157 3,69,939 1.275 1.272 1.277 1.274 1.000 4,71,455 X 4714.55x

Plant2 3,58,954 3,58,734 3,59,213 3,58,967 1.364 1.365 1.362 1.364 1.070 4,89,546 1.07X 5238.14x

Plant3 76,867 2,07,741 2,50,981 1,78,530 1.569 1.355 1.276 1.400 1.098 2,49,920 1.10X 2749.12x

Plant4 66,347 73,008 99,406 79,587 1.425 1.452 1.408 1.428 1.121 1,13,679 1.12X 1273.2x

Plant5 NA NA 37,635 37,635 NA NA 1.780 1.780 1.397 66,995 1.40X 937.93x

Total 13,91,594 14912.9X

Example : Target Setting (2)

Total Saving

14912.94x MTOE

Target Saving

62000 MTOE

X 4.15 %

Plant Name Baseline SEC Target (%) To be SEC To be MTOE

Plan1 1.274 4.15 1.22 4,51,889

Plan2 1.364 4.44 1.30 4,67,806

Plant3 1.400 4.56 1.34 2,38,527

Plant4 1.428 4.65 1.36 1,08,391

Plant5 1.780 5.80 1.68 63,111

Total energy consumption at the end of 3 years (in MTOE) 13,29,725

Total present energy consumption (in MTOE) 13,91,594

Energy saving during the period 61,870

Number of Clusters depend upon the Bandwidth of Baseline SEC

Cluster 1

Cluster 2

THE PAT SCHEME ….. Approach

INDUSTRY (DC)

Establish Baseline

Review of Present Energy Scenario & Bandwidth (Completed)

Development of Baseline Formats with System Boundaries

Data Collection, Compilation & AnalysisVerification of Data

Set Targets for SEC Reduction

Achieve the Target

Technology Transfer, EE Technology, R&M, R&D

Verification Protocol

Trade the higher achieved saving through E-Certs

Activity Flow Sheet

Finanalization of DC List

Getting information through “Form#1”

Designated Consumer

Prepare PAT Assessment

Document (PAD)

BEE

Verification of PAD through DENA

Validation of PAD through DENA

Recommendation for e-certification

Issue of e-Certs after successful

M&V

Baseline Format Design

Getting Information

Through Base Line Format

Data Compilation/ Evaluation

Target Setting [Declaration of Base Year, Target Year ]

Baseline & Target Setting

Variation in Net Station Heat Rate from Design Net Heat

Rate

Reduction Target for % deviation in the Net Station Heat Rate

% Reduction Target in Net

Station Heat Rate

Upto 5% 10% 0.5

More than 5% and upto 10% 15% 0.75 to 1.5

More than 10% and upto 20% 20% 2.0 to 4.0

More than 20% 25% 5 and above

Target Setting for Power Station

Legal Framework

•Furnish report of energy consumption to the Designated Authority of the State as well as to BEE (section 14(k)). •Designate or appoint an Energy Manager who will be in-charge of submission of annual energy consumption returns of the Designated Agencies and BEE (section 14 (l)). •Comply with the energy conservation norms and standards prescribed under section 14 (g) of the Act.•Purchase Energy Saving Certificates (ESCerts) for compliance to section 14 (g) in the event of default. The Act has been amended with the addition of new sub-section 14A to enable this and section 14A(2) allows such trading. EScerts are defined by adding a new sub-section 2(ma).•Monitoring and Verification of compliance by Designated Energy Auditors (DENA) which will be prescribed the Government/ BEE under section 14A/13 (p) of the Act. •Excess achievement of the target set would entail issuance of ESCerts under section 14A(1). •Penalty for non-compliance being Rs. 10 lakhs and the value of non-compliance measured in terms of the market value of tones of oil equivalent by inserting a new section 26(1A). •BEE to be the overall regulator and dispute resolution agency and Energy Efficiency Service Ltd. (EESL) to be the process manager.

Pre-Bid Conference on BASELINE ENERGY AUDIT under Perform, Achieve & Trade (PAT) Scheme S P Garnaik...

Documents

Transcript of Pre-Bid Conference on BASELINE ENERGY AUDIT under Perform, Achieve & Trade (PAT) Scheme S P Garnaik...