Alcan Packaging Neenah Plant

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1 Managing Energy Use / Consumption Case Study Alcan Packaging Neenah Plant

2 Alcan Neenah Plant Products and Processes Blown Film Cast Film Sheet Extrusion Thermoforming Adhesive Lamination Rewinding / Finishing

3 Why Energy Reduction? Cost National average annual cost increases Supply Electrical Power = 5% annually past 5 years Natural Gas = 15% annual increase past 10 years Nationally, Electrical power demand is expected to increase by 18% over the next 10 years while committed resources are only expected to increase by 8.5%. Conservation will help reduce dependence on imported fuels Environmentally Correct Sustainability Customer Demand for supplier environmental improvement

4 Increasing Electrical Costs

5 Why Energy Reduction? Electrical and Natural Gas Energy Costs combined are approaching 2.5% of Alcan Neenah Plant s Annual Sales $.

6 Where did we start? First check your power factor. This is the absolute low hanging g fruit Even if you have checked it in the past, check this every month. Changes to equipment Additions, removals, changes in drive types Failures in capacitor banks from voltage spikes from inside the plant or from close lightning g strikes Blown Fuses Shorted Capacitors

7 Where did we start? Power Factor At a Peak Demand of 6 MW, and a demand charge of $10.738/kw: Power Factor =.95 > Both banks of capacitors on line 6MW *( *( )) * $10.738/kw = $61, Power Factor =.85 > One bank of capacitors on line 6MW *( *( )) * $10.738/kw = $64, Power Factor =.75 > No capacitors on line 6MW *( *( )) * $10.738/kw = $68, This is charged each month.

8 Where did we start? We divided our energy usage in three categories Fixed energy costs The energy you use whether or not you are making product Process dependent energy costs This is the energy it costs to make the product You can only change it by changing the process Product dependent energy costs You can only change this by changing the actual product. Usually held as a trade secret

9 Fixed vs Process & Product Energy For Alcan Neenah Plant, Fixed Energy accounts for approximately 1MW of our electrical energy demand and Process and Product Energy combined accounts for approximately 5MW of our demand. For natural gas Fixed Energy accounts For natural gas, Fixed Energy accounts for 75% of our usage.

10 Fixed Energy Reductions Lights Replace 400 Watt Metal Halide Lights with T8 Six Lamp Fixtures Started with warehouse areas, moving into Production areas as budget allows Air Quality / Ventilation New Air Make Ups with more efficient motors Tighten up exhaust, eliminate i obsolete exhaust Positive air pressure in the plant now

11 Fixed Energy Reductions Heating New Air Make Ups with more efficient burners Shutdown Obsolete Boiler Air Conditioning Replacing small air conditioners with chill water air handlers moves load to chillers Insulation Bringing insulation levels up to code when replacing roofs.

12 Fixed Energy Reductions Lighting 2003 Elimination of incandescent lamps. Replace with CFL s 2004 Warehouse T8 s 300, ,000 Warehouse and production offices T8 s 200, Remaining Warehouse T8 s 150, ,000 Main Plant Office T8 s & relamping remaining MH lights 50,000 from 400w to 360w Production areas to T8 fixtures New Kwh/yr Savings

13 Project Considerations Lighting Utility rebates Most rebate programs for lighting are done, however, some are still in effect. Warehouse vs Production areas Motion Sensors in Warehouses Why have the lights on when no one is there? We did run into some issues with ballast life We did run into some issues with ballast life Fixtures and Lamps Fluorescent vs Metal Halide Lamp Lumen Depreciation MH restart times up to 15 minutes causes problems with motion sensors.

14 Project Considerations Lighting Make sure you take fixture quality and edge finish into consideration. Anyone can throw a chrome reflector into a fluorescent fixture. Look at the sheetmetal edges. Some fixtures are worse than a Class 5 Blade. Remember to take into consideration office lighting changes effect on heating and cooling.

15 Project Considerations T8 Fluorescent vs T5 Fluorescent Is the ambient temperature above or below 80 0 F? Is the fixture mounting height high enough to prevent glare issues from T5 lamps? Are there computer screens in the area?

16 Fixed Energy Reductions Misc. Electrical l 2004 Obsolete exhaust fan elimination AMU replacement 2005 AMU Replacement , , , , AMU replacement Boiler elimination 100, AMU replacement A/C replacement with air handlers 50, New Kwh/yr Saved

17 Fixed Energy Reductions Misc. Natural Gas 2002 Extruder heat capture ,000 Roof replacement AMU replacement ,000 AMU replacement ,000 AMU replacement Roof replacement 5,000 Boiler elimination AMU replacement Roof replacement New Therms/yr Saved

18 Fixed Energy Reductions Natural Gas Reduction Details Extruder Heat Capture Extruder Heaters were switched from water cooled to air cooled. In the winter, the cooling air is captured and recirculated within the plant. In the summer, it is exhausted outside. Boiler Eliminationi An obsolete boiler was shutdown permanently. Production changes made this boiler unnecessary. Check Air Emission permits.

19 Fixed Energy Future Plans Replace remaining Metal Halide fixtures Replace Office Windows Replace Warehouse Windows

20 Process Related Energy Reduction Compressed Air Generation and Usage Vacuum Generation and Usage Thermoforming Blown Film Trim Extruder Heater Styles

21 Process Energy Reductions Compressed Air Air Study and corrections Leaks Low Pressure Drop Filters Interconnect Piping Air Compressor Elimination Old 60 psi compressor was used to move soft resin pellets from silos to Blown Film Lines (Dense Phase Conveying) This compressor was eliminated and system was run off of the 90 psi plant air system.

22 Process Energy Reductions Vacuum Complete Study of Vacuum Usage Design and install Vacuum Pump Staging system to match process usage. Installation of vacuum tank and staging of pumps to hold a set vacuum level.

23 Process Energy Reductions Thermoforming Purchased New Thermoformer Replaced two 1985 vintage thermoformers with one new thermoformer and increased total output $80, Rebate from WE Energies to help justification Redesigned Form Tooling to Reduce Spacing Between Trays New trim press feed on new thermoformer allows closer spacing of trays Reduces amount of sheet produced and reduces amount Reduces amount of sheet produced and reduces amount of sheet that has to be processed through the thermo.

24 Process Energy Reductions Blown Film Trim Optimized Each Product on Each Blown Film Line for Minimized Trim. This requires daily audits by supervisors to maintain. Some products are able to run trimless. This also opens up sales volume on Blown Film Lines

25 Process Energy Reductions Extruder Heater Style Replaced Water Cooled Extruders with Air Cooled Extruders Reduced load on chillers In the winter, warm air can be captured for building heat.

26 Process Energy Reductions Project Timing 2002 Change extruders to air cooled 2006 New Thermoformer 2007 Vacuum Staging, Compressed Air Changes, Blown Film Trim Reduction 2008 New Thermoformer Form Tooling

27 Process Energy Reductions New KWH/yr Saved 2,500,000 2,000,000 1,500,000 1,000, ,

28 Process Energy Reductions Future Plans Reduce spacing on remaining Thermoformed products Shutdown boiler during summer when Adhesive Laminator is not needed. Heat cured adhesive Will require the replacement of a steam heated hot water heater with a gas heated unit. Ceramic air cooled extruder barrel heaters

29 Product Energy Reductions Trade Secrets Usually justified by material savings or new sales Make sure you also track the energy savings to support the savings Perform a study of your production equipment to understand how much energy it takes to produce each product.

30 Watching Overall Energy Usage Track your energy use per unit produced. Need to convert your different energy usages to a common unit. We track GigaJoules/Metric Ton. Corporate Tracking