Industrial Energy Efficiency - Best Available Technologies and Solutions -

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1 Industrial Energy Efficiency - Best Available Technologies and Solutions - December 3rd, 2013 Export Initiative Energy Efficiency in Lisbon, Portugal Dr.-Ing. Clemens Mostert, MBA

2 Future Challenge Over the next 40 years we have to build a low-carbon and high-efficient energy system. Until 2050 we have to reduce energy consumption by 50% and to cover the remaining energy demand from renewable energy sources. Worldwide the manufacturing industry accounts for approx. 130 EJ or equivalent to one third of the total finale energy consumption (UNIDO). Single energy efficiency measures will not be sufficient to decrease the energy demand in absolute terms. Ambitious energy saving concepts and new efficient technologies must be developed and implemented in all manufacturing sectors.

3 Energy Consumption The energy consumption in manufacturing companies is influenced by the following factors Output (products, space, transportation) Quality (temperature, humidity, cleanroom) Weather, Climate Price (energy source, price elasticity) Technology Structure: Industrial Sector Source: Prognos, 2009

4 Industrial Sector Final energy consumption by industrial sector (2009), Mtoe Source: EU, Eurostat, 2011

5 Energy Efficiency efficientia (lat.) Efficiency: Ratio of benefits to expenses Energy Efficiency (conversion perspective): Ratio of useful energy to total input energy Electricity 200 kwh Motor Mech.Work 180 kwh Heat 20 kwh Source: Hesselbach, 2011 Energy Efficiency (service perspective): Reduction of energy consumption for a given service

6 Saving Potential Optimization of existing manufacturing facilities and machinery Diffusion of new, energy efficient technologies Different kinds of potentials: theoretical technical economical viable Factors of influence: time period, output, quality, efficiency of machinery Individual conditions of the manufacturing company Source: Ökotec, Prognos, 2012

7 Actions for Energy Saving 1. Identify your main consumers Industrial benchmarking 2. Analyze your saving potentials According to Best Available Technology 3. Check your control parameters Run hours, temperatures, pressure level, mass and volume flows 4. Implement energy efficiency measures 3-5% savings without major investments, 30% savings economically viable 5. Establish an energy management system Capture energy and process data, continuous improvement 6. Training of staff and exchange of experience

8 Main Consumers Heating Heat pumps Material transportation Cold pumps Lightning Hot air blower Cooling Compressed Air Extrusion machines Industrial benchmarking: Specific energy consumption: 0.78 MWh/t Source: Limon, deenet, 2007

9 Best Available Technology Heating: use radiant heating instead of air circulation heating Pumps: exchange with high energy efficiency pumps (class A), avoiding chokes, improve pump regulation Lighting: use of electronic ballast (control gear), high efficient lamps Transportation: change material, transportation technology Cooling: use of absorption, hybrid or air cooler Extruder: direct heating, insulation Source: Limon, deenet, 2007

10 Check Control Parameter Standby energy of heating system Switch off by ambient temperature Results Invest: $1,900 Savings: 74 MWh/y (-15%) $2,300 per year Economic results* ROI: 0.9 years IRR: 120% NPV: $7,000 * 10 years life time, 10% interest rate, $/MWh gas price ROI (Return on invest), IRR (Internal result rate), NPV (Net present value) Source: ING-JUNG, 2009

11 Energy Efficiency Measure Improvements Flow balancing Resized high efficiency pump and motor Variable speed drive with feedback control Results Invest: $6,300 ($2,500 engineering) Savings: 31 MWh/y (-91%), $4,700 per year Economic results* ROI: 1.5 years, IRR: 74% NPV: $23,000 * 10 years life time, 10% interest rate, $152.7 per MWh ROI (Return on invest), IRR (Internal result rate), NPV (Net present value) Source: Geese Beratende Ingenieure, 2009

12 Energy Efficiency and Profit In industrial companies energy costs are around 3 % of the annual turnover. Not taking energy efficiency measures means lost profit. Assume your profit rate is at 4 %. Then, a reduction in your energy cost of $10,000 is equivalent to an increase in your turnover of $250,000. η $ What efforts are needed to achieve an increase in your annual turnover by $250,000?

13 European Energy Manager Training program: tailor-made to the requirements of manufacturing companies, apprenticeship training with 240 learning hours (presence and online) Target group: executives of companies: plant manager, production manager, energy representative, process engineer, operation technician, facility manager etc. Learning objective: participants will have the relevant knowledge to achieve maximum energy savings for their companies Individual adaptions: Finland is focus more on heating processes and Portugal more on air conditioning and refrigeration engineering Exam: test and work-based feasibility study, certificate

14 Conclusion Every manufacturing company has individual energy saving potentials according to manufacturing facility, processes, size, market development etc. Short-term, economic viable energy efficiency potentials are available in all sectors Identification of main consumer Regular check of control parameters Optimization of machinery, manufacturing processes and energy supply systems by using Best Available Technology Mid-term, energy efficiency potentials through application of new, high-efficient technologies (cross-cutting technologies, investment cycles) Training of plant managers, production managers, energy representatives is of great importance. Implementation of an Energy Management System leads to continuous improvements.

15 Thank you very much for your kind attention. IdE Institute decentralised Energy Technologies Dr.-Ing. Clemens Mostert, MBA Ständeplatz Kassel Germany Phone: Mail: Web: