P M V Subbarao Professor Mechanical Engineering Department Case Studies on EMM P M V Subbarao Professor Mechanical Engineering Department The Art of Judicious energy Use in Industries …

Case Study: Tema Industrial Area The city Tema lies 25km southeast of Greater Accra Region. It is an Atlantic Coast City and locally nicknamed the ―Harbor City, because of its status as Ghana's largest Seaport. Tema has a total land size of approximately 100 km² with a population estimated to be 209,000. Tema is one of the few planned cities in Ghana with well-ordered series of communities and well-developed infrastructures. The communities are linked with well-constructed roads, highways and railway lines. The Tema industrial Area is home to well over 600 industries. Aluminum and steel smelting industries, fish and food processing industries, textile industries, chemical industries, cement factories and an oil refinery.

Distribution of Industries in the Tema Industrial Area

Questions Addressed in this Study What are the adopted industrial energy management strategies in Ghana? How effective are these strategies /measures? Is there an energy efficiency gap? What barriers hinder the implementation of energy efficiency measures in Ghanaian industries? What are the implications of such barriers to the industries? What are the driving forces for the implementation of energy efficiency in Ghanaian industries? What are the existing policy formulations and execution with regard to industrial energy management in Ghana? What are the implications of the policy with regards to improving industrial energy efficiency implementation in Ghana?

Energy Supply and Demand Sectors of Ghana

Main Phases of EMM Plan phase One key requirement of an energy management standard is the establishment of an energy policy, which entails the energy plan, goals, commitments, targets and procedures of the top management; the energy management plan is implemented through an energy management program. Do phase The Do Phase involves the implementation of the energy management program by aligning operation and activities of the firm to reduce energy use of equipment systems and processes.

Main Phases of EMM Check phase This phase aims at monitoring and measuring the performance (by conducting energy audits) in terms of energy saving and comparing objectives and set targets. If there are any shortfalls, it is then necessary that the causes are identified and analyzed to make corrections in order to realize set goals. Act phase The act Phase basically involve management reviews of audit, internal and external reports pertaining to the performance of the energy management program.Theses reports play an important role for the organisation to identify shortfalls and other missed hotspots to act upon them to ensure continual improvement.

Selected Industrial Sectors for EMM Study

Energy Information System

Effectiveness of some official and unofficial information sources

Average Scores of Energy Efficiency Hotspots Note: 0(not implemented) to 1(extensively implemented)

Classification of Important Barriers to Energy Efficiency

Ranking of Barriers to EMM: Serious

Ranking of Barriers to EMM : Flippant

Ranking of Driving Forces For Improving Energy Efficiency : Serious

Ranking of Driving Forces For Improving Energy Efficiency : Flippant

Learnings for The Study Energy is poorly managed in the Tema Industrial Area. Very low implementation of cost effective energy efficiency technology in the respective industries studied. A majority of the industries (except 2 firms) surveyed had neither a standardized energy policy or energy management system. Lack of government frameworks for industrial energy efficiency. Internal and external limited access to funds as the most important obstacle preventing energy efficiency from being improved.

Motivation to Use EMM Economic gains related to cost reductions resulting from lowered energy use and threats of rising energy prices are the most important drivers. Government efficiency requirements is another important promoting factor for implementation. External stakeholders are main barriers and dirvers, like Researchers, Equipment Dealers, Financial Organizations, Local Government, Trade Associations/Unions.

Development of EMM– Case Study of Serbian Car Manufacturer Management of the factory ‘‘Zastava” together with the research team from the Faculty of Mechanical Engineering Kragujevac, University of Kragujevac initiated this project. Induction of Energy Management System in the factory and to reduce total costs of car production. Energy efficiency investment is sound business strategy in today’s vehicle manufacturing environment

Bench Marking Energy costs for the car assembly in USA are approximately 60 $/car. Energy costs of ‘‘Zastava” company in 2004 and 2005 were about 210 €/car including water costs. This unsuitable situation is partly influenced with the decreased usage of production capacities, but plenty possibilities for cost reduction exists.

Elements of Energy Management System In The Factory

Energy Management Matrix in ‘‘Zastava” Factory.

Organizational Structure of Energy Management.

Energy Auditing An energy audit (also called energy survey, energy analysis and energy evaluation) is a procedure that analyses the way energy is currently used in a factory. This also identifies alternatives for reducing energy costs. The aims of the industrial energy audit are: to identify the types and costs of energy use, to understand how that energy is being used – and possibly wasted, to identify and analyse alternatives that can substantially reduce energy costs, to perform an economic analysis on those alternatives and determine which ones are cost effective for the industry. to establish a plan to implement energy saving projects

Audit of Average Annual Energy Consumption

Monthly Consumption of Steam Vs Monthly Factory Production

Monthly Consumption of Water Vs Monthly Factory Production

Monthly Consumption of Compressed Air Vs Monthly Factory Production

Monthly Consumption of Electricity Vs Monthly Factory Production

Implementation, Monitoring & Evaluation of Energy Saving Measures (ESM) The implementation of ESMs is normally the responsibility of an energy manager. The task of the energy manager in the factory was to establish a proper communication with the management in order to provide sufficient financial and any other support. Once a choice of the energy saving measures has been made energy manager started to implement these options into practice and to monitor the results. Financing of low-cost measures was done from the budget for maintenance of the company. High cost measures were financed by the owner as a part of the incentive funds for the retrofit of the company.

Summary of ESMs in ‘‘Zastava” Factory

Comparison of per capita water consumption in ‘‘Zastava” in 2005–2008

Comparison of per capita heat consumption in ‘‘Zastava” in 2005–2008

Comparison of per Capita Electricity consumption in ‘‘Zastava” in 2005–2008

Conclusions Energy management is a comprehensive and systematic approach for energy conservation efforts in an organization. Induction of EMM lead to approximately a 25% reduction of total energy consumption. The proposed measures are not exclusively related to car production facilities. They are universal and with minor modifications can be applied to other industries. This energy management approach can be an answer to reduce Serbian energy dependence.

Energy efficiency management for the process industry The chemical industry is an energy-intensive industry. In 2009, the European chemical industry, including pharmaceuticals, used a total of 50.4 million tons of oil equivalent (TOE) of fuel and power consumption. Energy represents a significant share of operating expenses at chemical plants. Reducing energy costs therefore becomes a key lever to decrease the operating and manufacturing costs and to increase profitability.