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Showing posts with label Energy Saving. Show all posts
Showing posts with label Energy Saving. Show all posts
Friday, November 8, 2013
Why your plant should be energy efficient
Since record-high oil and gas prices began falling again late last year, is it still a good idea to assess and improve your manufacturing plant's energy efficiency? We believe that it is.
Energy assessments, energy-efficient technologies and industrial best practices could be among the wisest investments your company can make. Operating more energy efficiently increases your bottom line, freeing up funds for other pressing needs. It also benefits your community and the environment as a whole by conserving natural resources and reducing harmful emissions. And, energy efficiency can be an important part of a successful long-term strategy for savings.
Potential to save both energy and money
When hurricanes devastated the Gulf Coast region in 2005, domestic oil and gas supplies were severely disrupted and costs rapidly shot upward. By the end of the year, natural gas prices had risen to $16 per million Btu in some U.S. spot markets, according to the Federal Energy Regulatory Commission — more than double the average price in May of that year.
As part of its response to the crisis, the federal government released some valuable oil reserves. Plants that relied on natural gas, however, had little choice but to look for every opportunity for savings. One result was that hundreds of plant managers applied for a U.S.Department of Energy (DOE) Energy Savings Assessment (ESA) of their steam or process heating systems in 2006. Hundreds more requested other assistance from DOE, such as training in the use of the DOE Industrial Technologies Program (ITP) assessment software tools, in order to start trimming energy use and costs as quickly as possible.
Many plants discovered opportunities to use best practices in energy management in their key process energy systems. Others found that an equipment upgrade designed to increase the efficiency of an industrial system can pay for itself through energy cost savings in a relatively short time.
Marc Montemayor, a system engineer at Texas Instruments, says, "DOE provided an extremely professional and knowledgeable (ESA Energy Expert) who brought a fresh perspective, new ideas and energy savings opportunities that applied to our system."
Results tallied for the first 200 ESAs conducted in 2006 show that the ESA Energy Experts and participating plants identified opportunities to save a total of about 52 trillion Btu of natural gas per year. That's as much as about 723,000 typical U.S. households would use in a year, and it represents nearly $485 million in potential annual energy cost savings.
Reducing demand and emissions
Even in efficient manufacturing plants like Eastman Kodak's in Rochester, N.Y., assessments reveal good opportunities for savings. Kodak's 2006 ESA identified near-term, no- and low-cost opportunities that added up to an 11 percent potential reduction in annual natural gas usage. Efficiency measures included reducing the plant's steam demand through boiler improvements and modifying the feedwater heat recovery system.
Another steam system ESA conducted at General Motors' assembly plant in Flint, Mich., identified opportunities to reduce annual natural gas usage by approximately 8 percent. Recommendations included decommissioning unused air supply houses (ASH), ensuring that dampers operate properly on ASH units in use, implementing a new steam trap maintenance program and reducing boiler blowdown.
And, an ESA conducted at a Kraft Foods plant in Campbell, N.Y., uncovered opportunities toreduce natural gas costs by more than 13 percent per year. These savings could be realized by improving boiler efficiency and reducing steam demand through such measures as installing direct-contact water heaters and using No. 2 fuel oil for backup to obtain a more favorable utility rate.
In all, nearly $200 million in energy-saving projects were either completed, under way, or in the planning stages at more than 115 plants by early 2007.
Steve Schultz of 3M Corporation says his plant's assessment "helped us identify opportunities. Had we not done the assessment, I don't think we would be aware of them ... and we wouldn't be working toward implementing them."
These energy and cost savings are not the whole story, however. If U.S. industries implement the recommendations coming out of the ESAs, they will reduce the total annual growth in carbon dioxide emissions in this country by at least 7 percent.
The outlook for natural gas
It can be tricky to predict changes in energy prices, because the reasons for these fluctuations are many and complex. Some analysts say that the drop in natural gas prices in late 2006 was caused in part by milder than usual weather conditions, particularly during the hurricane season, which reduced demand and helped the nation build up reserves again. Other analysts note that even small disruptions in supplies can lead to huge swings in prices. They see a future upward trend as inevitable.
Atmospheric scientists at Colorado State University and elsewhere are forecasting that at least one major hurricane will strike the southeastern United States in 2007. If this is correct and supplies are disrupted again, oil and natural gas prices could climb. Even in mild hurricane seasons, however, there are upward pressures on prices.
The U.S. Energy Information Administration ( EIA) foresees gradual but steady increases in prices between 2016 and 2030. In his statement to the U.S. Senate Committee on Energy and Natural Resources in February 2006, EIA administrator Guy Caruso said that in the long term, "growth in liquefied natural gas imports, Alaskan production, and lower-48 production from unconventional sources are not expected to increase sufficiently to offset the impacts of resource depletion and increased demand in the lower-48 states."
Future price fluctuations seem to be virtually assured. Plants that use energy efficiently will be ahead of the game when those swings occur.
Start saving today
How can your plant be one of the winners? ITP BestPractices resources can help. These resources can assist you in formulating the long-term strategies that allow your company to thrive in the face of constantly changing energy costs.
In addition, small- to medium-sized plants can contact a regional Industrial Assessment Centerfor information and assistance. And ITP training in the use of assessment tools is available to plants of any size, as are all ITP BestPractices resources.
You can also find many good ways to reduce your energy use and costs on DOE's latest Save Energy Now CD-ROM. This CD brings together a wealth of energy-saving tips, case studies, technical manuals, and software tools — all in one package — that help you assess the best opportunities for savings at your site.
Alexander Karsner, DOE assistant secretary for energy efficiency and renewable energy, says, "These Energy Department CD-ROMs, packed with energy-saving information, offer valuable information and energy-saving tools to enable plant managers to reduce their energy costs and alleviate price pressures nationally."
Options like these will allow your company to stay productive, prosper and weather any storm.
Manufacturers waste millions on inefficient lighting
In manufacturing, operating costs can stack up quickly, significantly affecting the bottom line. Many times, simple solutions to cut operating costs are overlooked because operators are simply not aware of cost-effective measures that have noticeable effect on daily operations and expenses. One of those simple solutions is lighting.
Typically, lighting is the last line item on the budget operators worry about or assess. Many companies feel as though they have no control of their energy costs; it’s just an item on the budget that has to be paid, no matter what the cost. Such costs can result in millions of dollars of lost revenue each year.
Older facilities were not designed with lighting efficiency in mind. The vast majority of manufacturing plants are wasting more than half of their energy every year. In fact, even lights installed five years ago use twice the energy as efficient lights available today. Most older-type lights produce 30 percent less light after just one year and continue to dim until they die. Manufacturers continue to pay the full light bill for less than half the light. And to add insult to injury, poorly lit work areas can be unsafe and less productive, costing a company even more.
The fact is that most manufacturing companies can cut lighting costs by 40 to 60 percent each year and have better lighting by switching to energy-efficient lights. On top of the savings and improved work environment, companies can capitalize further by taking advantage of EPACT 2005, a federal tax deduction for energy efficiency that applies to lighting upgrades.
But deciding to take a look at lighting is only the first step in an important process. Many lighting companies and suppliers sell lights. The challenge is that every facility is different and each has distinct needs and uses for lighting. Therefore, sifting through hundreds of available lighting products to find the right solution for each facility can be time-consuming at best.
The easiest solution is one that is turn-key. If you are considering upgrading lighting, make sure to choose a supplier that provides the following:
1) EPACT federal tax deduction will offset 25 percent of upgrade cost. Turn-key suppliers provide proper design so the upgrades qualify for the deduction, and also complete all of the paperwork for the deduction, eliminating confusing red tape associated with tax deductions.
2) Custom design includes installing the best fixtures for each application, utilizing motion sensors to reduce light levels in low-traffic areas of facilities such as warehouses, and on-off control to eliminate wasted energy when areas of a facility are unoccupied.
3) Available financing. Energy-efficient lighting upgrades generally provide a return on investment within two years of implementation, but most companies still choose to finance them from the energy savings. Turn-key lighting companies offer financing as part of their services, making it possible for companies to implement and realize cost savings now without any money out of pocket.
This article was provided by Energy Management Systems. EMS is an Indiana company helping companies throughout the country to reduce energy consumption and cut energy costs. EMS offers energy usage assessments and provides solutions to reduce wasted energy and unnecessary costs. For more information, visit www.energymanagement.com or call 317-341-5968.
5 tips to help manufacturers go green and save green
According to the U.S. Department of Energy, the industrial sector has long been the country's largest energy user, currently representing more than one-third of the country's total energy consumption. With this in mind, manufacturers across the United States must identify sustainable energy solutions that will drive efficiency As Earth Day approaches, there is no better time to seal in the savings on your facilities utility bills and begin working toward your sustainability targets.
Do you want to reduce the energy costs at your plant? Dennis Sadlowski, president and CEO of Siemens Energy & Automation Inc., the U.S. industrial arm of German engineering giant Siemens AG, recommends the following five easy tips for factory and manufacturing facility owners and operators to reduce their carbon footprint and start reaping the savings:
1) Do Your Homework. First and foremost, you will not know how much you can save, until you know where the money is being spent. An Energy Audit will help you better understand your energy usage and determine where your facility can go green and save money. Siemens specialists
will come to your facility to identify key energy saving areas for your facilities current and future needs.
2) Rethink Your Lighting. By simply replacing your lighting with energy-efficient products and controls, you can reduce energy consumption up to 50 percent as well as eliminate the risk of mercury contaminants in a very short period of time. Siemens offers a variety of lighting solutions and programs that lower utility bills and reduce air pollution. Siemens also offers lighting controls that help reduce your energy consumption with smart schedules and automated control.
3) Evaluate Your Motors and Drives. Electric motors are responsible for almost 70 percent of all energy consumed in industrial applications. This 70 percent holds a considerable saving potential that is just waiting to be realized. So why not start now by replacing existing motors with energy-efficient motors? Or, save even more by adding variable frequency drive systems to the motors. In some cases, drives can contribute a 30 percent energy savings with a seven-month return on investment.
4) Control Heating and Cooling Costs. As much as 30 percent of the energy used in your facility comes from heating and cooling costs. Making smart decisions about your facility's heating, ventilating and air conditioning (HVAC) system can have a significant impact on your utility bills. Simply adding Siemens' drive and control systems can reduce costs by as much as 25 percent.
5) Monitor the Situation. By knowing and understanding their plants' electrical footprint and monitoring energy use, companies can track their progress toward efficiency goals as well as establish benchmarks for achievement. With an Intelligent Energy Monitoring system from Siemens, you can keep track of energy usage across multiple locations from one central source to ensure maximum efficiency and control costs.
About Siemens
Siemens Energy & Automation, Inc. is one of Siemens' operating companies in the U.S. Headquartered in the Atlanta suburb of Alpharetta, Ga., Siemens Energy & Automation, Inc. manufactures and markets one of the world's broadest ranges of electrical and electronic products, systems and services to industrial and construction market customers. Its technologies range from circuit protection and energy management systems to process control, industrial software and totally integrated automation solutions. The company also has expertise in systems integration, technical services and turnkey industrial systems.
Siemens AG is a global powerhouse in electronics and electrical engineering, and operates in the industry, energy and healthcare sectors. For more than 160 years, Siemens has built a reputation for leading-edge innovation and the quality of its products, services and solutions. With 428,000 employees in 190 countries, Siemens reported worldwide sales of $116.6 billion in fiscal 2008. With its U.S. corporate headquarters in New York City, Siemens in the USA reported sales of $22.4 billion and employs approximately 69,000 people throughout all 50 states and Puerto Rico.
Reference: http://www.reliableplant.com/Read/17067/green-manufacturers-save
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