Energy Efficient Industrial Systems: Realizing the Potential. International Energy Conference. Vienna, Austria June 2009

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1 Energy Efficient Industrial Systems: Realizing the Potential International Energy Conference Vienna, Austria June 2009 Aimee McKane, Lawrence Berkeley National Laboratory

2 Industrial System Energy Use Steam and motor-driven systems account for 46 EJ/year in energy use, representing more than 40% of total industrial final energy use worldwide 1 These systems typically offer at least a 10-20% improvement opportunity using readily available technology because they are engineered for reliability without regard to energy efficiency 2 Both industrial markets and policy makers tend to focus on system components, which have a 2-5% improvement potential Barriers to improvement are institutional, not technical Systems engineered for energy efficiency are actually more reliable, have lower operating costs, and can result in higher productivity 1 IEA 2007 Tracking Industrial Energy Efficiency and CO2 Emissions 2 US Department of Energy 2006; does not include offsite losses

3 Industrial Systems & Energy Efficiency System efficiency = 13% 15 kw motor efficiency = 91% Combined motor & pump efficiency = 59% Adapted from Don Casada (Diagnostic Solutions)

4 Why Isn t Industry More Energy Efficient? The business of industry is not energy efficiency Facility engineers typically do not become top managers Budgets are separate for equipment purchases and operating costs Data on energy use of systems is very limited Difficult to assess performance or evaluate performance improvements Opportunities to become more energy efficient are overlooked Well-run plant responds to overheated motors caused by poorly controlled pump system

5 Industrial Energy Efficiency Policies that Work 1. Energy Management Standards Purpose is to provide guidance for industrial facilities to integrate energy efficiency into their management practices. Both national energy management standards and ISO Energy management are compatible with ISO 9000/ Industrial System Optimization Purpose is to provide immediate opportunities (often 2 year payback or less) from projects to optimize industrial systems for energy efficiency. These systems are found in all industrial sectors. Training is essential. 3. Target-setting Agreements Also known as voluntary or negotiated agreements Purpose is to establish targets for energy intensity reduction in industrial sectors. Agreements are typically between a government and industrial companies, based on sector-based negotiated agreements

6 ANSI MSE 2000:2008

7 Elements of System Optimization Evaluating work requirements Matching system supply to these requirements Eliminating or reconfiguring inefficient uses and practices (throttling, open blowing, etc) Changing out or supplementing existing equipment (motors, fans, pumps, compressors) to better match work requirements and increase operating efficiency

8 Elements of System Optimization Applying sophisticated control strategies and variable speed drives that allow greater flexibility to match supply with demand Identifying and correcting maintenance problems; upgrading ongoing practices

9 Capturing and Sustaining System Energy Savings The size of a system has little influence on the savings potential, as a percentage of current consumption Small, medium and large systems have similar savings potential Lack of capital is the number one reason given by managers for not improving efficiency Lack of understanding of systems and their impact on a factory s profitability are the actual reasons why more improvements projects are not initiated System optimization projects can provide early positive results to help build momentum for an energy management system

10 Systems Optimization 1. Cross-cutting approach, not specific to particular sectors or industrial processes, but applicable across all industrial sectors 2. Focus is on the transfer of knowledge and skills through training. Technical skill is required to optimize motor-driven systems- a one-size-fits-all approach misses most of the savings 3. Goal : developing the capability to analyze industrial systems rather than offering ready-made solutions Energy management can help build the demand for system optimization

11 Systems Improvements in China System / facility Total Cost [$US] Energy savings [kwh/y] Payback Period Compressed air/forge plant 18, , years Compressed Air/machinery 32, , years Compressed air/tobacco 23, , years Pump system/ hospital 18,600 77, years Pump system/ pharmaceuticals 150, M 1.8 years Motor systems/ petrochemicals 393, M 0.5 years UNIDO is developing programs to promote energy management standards and the systems optimization approach to 10 countries

12 Save Energy Now Results assessments completed Implemented energy savings: 13.1 TBtu/ $69.6 million Planned energy savings: 27.4 TBtu/$334 million Identified total energy savings: 55.5 TBtu Identified energy cost savings: > $548 million Total potential carbon dioxide (CO2) emissions reduction: 3.6 million metric tons 2 4 years Modify steam turbine operation Use oxygen for combustion Change process steam use 9 mo. 2 years Heat feed water with boiler blowdown Lower excess oxygen Flue gas heat recovery > 4 years Install CHP system < 9 months Improve insulation Implement steam trap program Clean heat transfer surfaces Estimated Payback Periods for Recommended Actions Identified in 2006

13 The Role of Standards Energy Management Standard ISO Energy management will: Establish a framework for industrial plants, commercial facilities or entire organizations to manage energy Have broad applicability across national economic sectors, potentially influence up to 60 % of the world s energy use Publication in 2011 System Assessment Standards American Society of Mechanical Engineers (ASME) system assessment standards (compressed air, process heating, pumping, and steam) Provide market definition for assessments ISO standards under development for pumping and compressed air assessments with inputs from ASME standards

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