Energy Efficiency in the Industrial Sector

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1 Energy Efficiency in the Industrial Sector Case Studies from Lebanon Nader Hajj Shehadeh Senior Energy & Sustainability Consultant

2 WHY?

3 WHY? Energy dominates an average of 30% 30% of industrial facilities annual expenses

4 WHY? 20% Industrial facilities could save up to 20% of their energy bills through energy management and energy efficiency measures

5 WHY? Reducing energy by 20% leads to reducing manufacturing cost by 2.5 USC on to make a 1-liter plastic bottle, cap, & packaging

6 WHY? Energy Audits are becoming mandatory in more than 35 countries allover the world

7 WHY? Rule of Thumb: An energy audit should be considered if energy bills exceed $100,000 a year

8 PRESENTATION OUTLINE

9 Presentation Outline o The Energy Audit Concept o Industrial Energy Audits o Case Studies from Lebanon o Potential Energy Efficiency Measures in the Industrial Sector o Monitoring & Energy Management o Compressed Air Systems o Steam Systems o Heat Recovery o How to Get an Energy Audit

10 ABOUT THE SPEAKER

11 Nader Hajj Shehadeh BE, MS, MBA, PGDip, LEED GA o Senior Energy & Sustainability Consultant o 10+ years of experience in the Lebanese Energy Sector o Professional Energy Auditor o Specialized in green building design, energy efficiency enhancement, and renewable energy design o Track record of more than 50 energy audits and sustainable building design in the past 2 years ABOUT THE SPEAKER

12 THE ENERGY AUDIT CONCEPT

13 Definition THE ENERGY AUDIT CONCEPT

14 Basic Questions WHAT? WHEN? WHERE? WHY? HOW? THE ENERGY AUDIT CONCEPT

15 Basic Questions o What energy is being consumed at the facility? o When is energy most needed? o Where is energy being drained? o Why is that much energy needed? o How is energy being produced, transformed, and consumed Energy Balance Energy Patterns Energy Density Energy Analysis Energy Flows THE ENERGY AUDIT CONCEPT

16 Energy Audit Levels 0. Preliminary Energy Audit 1. Walkthrough 2. Energy Survey & Analysis 3. Detailed Survey & Analysis THE ENERGY AUDIT CONCEPT

17 INDUSTRIAL ENERGY AUDITS

18 The Steps o Step 1: Understanding the industrial operations o Step 2: Undertaking a Preliminary Energy Audit (PEA) o Step 3: Identification the of preliminary Energy Efficiency Measures o Step 4: Undertaking the Detailed Energy Audit (DEA) including: I. Preparation of measurements plans II. Detailed analysis of existing energy end uses III. Development of all Energy Efficiency Measures with their technical background, savings calculations and financial analysis IV. Preparation and presentation of the DEA report including the Action Plans INDUSTRIAL ENERGY AUDITS

19 Annual Energy Demand WHAT? INDUSTRIAL ENERGY AUDITS

20 Energy Load Breakdown WHERE? INDUSTRIAL ENERGY AUDITS

21 Monthly Energy Demand WHEN? INDUSTRIAL ENERGY AUDITS

22 Energy Demand Analysis WHY? INDUSTRIAL ENERGY AUDITS

23 Energy Distribution HOW? INDUSTRIAL ENERGY AUDITS

24 CASE STUDIES FROM LEBANON

25 The Sites Carton Production Food & Beverage Food & Beverage CASE STUDIES FROM LEBANON

26 Energy Breakdown kw kwh CASE STUDIES FROM LEBANON

27 Energy Breakdown CASE STUDIES FROM LEBANON

28 Energy by Source CASE STUDIES FROM LEBANON

29 Energy by Type CASE STUDIES FROM LEBANON

30 Energy Saving Potential CASE STUDIES FROM LEBANON

31 ENERGY EFFICIENCY MEASURES

32 Energy Metering & Control o Energy monitoring system for optimized energy utilization (Enterprise energy management, SCADA, etc ) CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) ENERGY METERING & CONTROL Monitoring & Energy Management $10k - $50k+ 5% - 35% Energy 2 ENERGY EFFICIENCY MEASURES

33 Peak Hours Management o Load shifts and energy generation source optimization based on fuel prices and tariff structure applied at the facility CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) PEAK HOURS MANAGEMENT Monitoring & Energy Management $0 1% Electrical 0 ENERGY EFFICIENCY MEASURES

34 Solar Water Heating o Water heating for domestic use and process heating using solar water heaters. Can be used to provide hot water for use or preheated water for steam. CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) SOLAR WATER HEATING Water Heating $10k - $200k 10% - 50% Thermal 5 ENERGY EFFICIENCY MEASURES

35 Solar Photovoltaics o Production of electricity through solar photovoltaic panels. Generated power can be used during peak hours and fed into the grid when in surplus CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) SOLAR PHOTOVOLTAICS Power $50k - $500k 10% - 40% Electrical ~10 ENERGY EFFICIENCY MEASURES

36 Power Factor Correction o Use of capacitors to reduce reactive power and improve the Power Factor of a circuit with a large inductive load. CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) POWER FACTOR CORRECTION Motors $10k - $80k 1% - 5% Electrical <3 ENERGY EFFICIENCY MEASURES

37 Compressed Air System Optimization o Following proper maintenance practices, and properly sizing the system. In addition to implementing of good housekeeping measures CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) SYSTEM OPTIMIZATION Compressed Air System $0 - $10,000 Up to 10% Electrical <2 ENERGY EFFICIENCY MEASURES

38 Compressed Air Leakage Prevention o Avoiding leakages and treatment of damaged pipes, accessories, elbows, and other leaking items that lead to wasting compressed air CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) LEAKAGE PREVENTION Compressed Air System $0 - $5,000 Up to 5% Electrical <1 ENERGY EFFICIENCY MEASURES

39 Compressed Air Temperature Optimization o Relocating the air compressor or installing a piping extension that allows the inlet of outdoor air to the air compressor Inlet Temperature Relative Air Delivery Power Saved ( C) (%) (%) CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) TEMPERATURE OPTIMIZATION Compressed Air System $0 - $500 1% - 3% Electrical <1 ENERGY EFFICIENCY MEASURES

40 Compressed Air Pressure Reduction o Reduction of set pressure to the lowest possible value. Could be applied at the point of usage or at the air compressor point CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) PRESSURE REDUCTION Compressed Air System $0 1% - 3% Electrical 0 ENERGY EFFICIENCY MEASURES

41 Steam Combustion Optimization o Optimizing combustion efficiency by fuel to air ratio control and oxygen trimming, avoiding losses and reducing fuel consumption CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) COMBUSTION OPTIMIZATION Steam System $500 - $10,000 2% - 5% Thermal 3 ENERGY EFFICIENCY MEASURES

42 Steam Condensate Return o Through a condensate recovery system that recovers condensate from steam installations in order to maximize their overall energy efficiency CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) CONDENSATE RETURN Steam System ~ $100,000 3% - 10% Thermal 3 ENERGY EFFICIENCY MEASURES

43 Steam Blowdown Steam Recovery o Recovering energy from blowdown steam and reducing energy losses caused by this necessary maintenance measure CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) BLOWDOWN STEAM RECOVERY Steam System ~ $5,000 ~2% Thermal <3 ENERGY EFFICIENCY MEASURES

44 Steam Network Thermal Insulation Improvement o Improving insulation conditions to all steam network elements as well as boilers and hot mediums. This also includes proper maintenance practices CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) THERMAL INSULATION Steam System $500 - $5,000 1% - 5% Thermal ~1 ENERGY EFFICIENCY MEASURES

45 Steam Traps Management o Management of steam traps including maintenance, care, cleaning, and replacement if the item is totally damaged CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) STEAM TRAPS MANAGEMENT Steam System ~$1,000 1% - 2% Thermal ~1 ENERGY EFFICIENCY MEASURES

46 Steam Leakage Repair o Avoiding leakages and treatment of damaged pipes, accessories, elbows, and other leaking items that lead to wasting steam CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) STEAM LEAKAGE REPAIR Steam System $0 - $3,000 5% - 10% Thermal ~2 ENERGY EFFICIENCY MEASURES

47 Boiler Heat Recovery (Economizer) o Flue gas heat recovery through the use of an economizer that reuses the exhaust gas and uses it in a heat exchanger CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) ECONOMIZER Heat Recovery $1,000 - $20,000 1% - 5% Thermal <3 ENERGY EFFICIENCY MEASURES

48 Generator Heat Recovery - Exhaust Gas Boiler o Heat recovery from generator exhaust connecting it to a single unit called exhaust gas boiler that generates thermal energy for water heating CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) EXHAUST GAS BOILER Heat Recovery $200k - $500k 5% - 15% Thermal 3-7 ENERGY EFFICIENCY MEASURES

49 Generator Heat Recovery Jacket Water o Heat recovery from generator exhaust by the installation of a heat exchanger on the engines jacket water coolant to produce hot water CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) HEAT EXCHANGER (JACKET) Heat Recovery $20k - $120k 1% - 15% Thermal 1-5 ENERGY EFFICIENCY MEASURES

50 Absorption Chiller o Heat recovery from generator exhaust to be used in an absorption chiller to generate chilled water and save on electricity expenses CATEGORY CATEGORY INVESTMENT SAVING (%) ENERGY PAYBACK (YRS) ABSORPTION CHILLER Heat Recovery $200k - $500k 5% - 15% Thermal ~5 ENERGY EFFICIENCY MEASURES

51 GETTING AN ENERGY AUDIT

52 How to Get an Energy Audit? 1. Prepare all drawings and MEP diagrams 2. Furnish energy bills for the past 3 years 3. Hire a professional energy auditor 4. Seek financing through NEEREA 5. Expect to pay between $5,000 and $20, Expect to save $50,000 to more than $200,000 a year GETTING AN ENERGY AUDITOR

53 THANK YOU Ready for Questions NADER HAJJ SHEHADEH