Energy Efficiency in Industrial and Commercial Facilities 2003 Energy and Environmental Conference September 16, 2003

2 Energy management Effective use of energy to maximize profits (minimize costs) and enhance competitive positions Reduce energy use per unit output

3 Energy Management Use energy wisely Optimize Implement selected projects Maintenance Be proactive Have energy efficiency program

4 Energy Efficiency Program Management Endorsement Form a Team Establish Objectives Develop the Communications Plan Implement The Program Track Progress Evaluate

5 Benefits Reduced energy and operating costs. Full understanding of energy usage, requirements, and savings. Prolonged Life of Equipment Reduced Operational & Maintenance Expense Reduced Consumption of Natural Resources Improved Air Quality and the Environment Reduce Emissions

6 Energy Baseline Establish the baseline for the energy elements Electric Gas Water Others Establish data collection guidelines Perform Statistical Analysis Determine the cost per unit energy consumed

7 Implementation Conservation Program Weekend and Holiday Shutdowns Demand limiting shutdowns (manual or automatic) Facility Improvement Program Energy conservation projects Pay-backs on energy savings alone frequently provide only marginal justification for a project Planning energy conservation projects in conjunction with major renovations

8 Data obtained from U.S. DOE

9 Space Heating 35% Miscellaneous 13% Office Equipment 4% Lights 21% Hot Water 16% Space Cooling 11% Commercial Energy Use Data obtained from U.S. DOE

10 Industrial Energy Use Steam 31% Cogeneration 13% Mach. Drive/Electric 19% Heat 37% Data obtained from U.S. DOE

11 Energy Saving Opportunities Lighting Systems Upgrade Fluorescent T12 vs. T8 400 W MH vs. 360 W MH Controls (sensors or programmable panels) HVAC Install controls for more efficient operation Reduce conditioned air leakage Utilize free cooling during spring & fall months VFD for large fans Shut down units when facility is unoccupied Minimize exhaust

12 Annual Cost of Lighting Energy Cost of 200 Watt light

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14 Energy Saving Opportunities (continued) Compressed air systems Upgrade Install controls to eliminate blow-offs Reduce system pressure Repair leaks Utilization of waste heat Pre-heat boiler make-up water Space heating Insulation Building (walls, roofs, doors etc.) furnaces, ovens or parts washers Exposed Steam & Condensate pipes

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16 Energy Saving Opportunities (continued) Steam leak reductions Steam traps Condensate return stations Boiler Systems Increasing Condensate Return Eliminating leaks to make-up systems Reduction in blow downs

17 (Gas $5/MCF, Coal $45/ton)

18 Quality Management System Commitments to energy efficiency initiatives can be included in QMS ISO 9000 and ISO QMS are effective in the implementation of energy efficiency program since the QMS has; Procedures Continuous improvement Corrective and Preventative Actions Root Cause Analysis

19 Energy Efficiency and the Environment The wise energy use help protect the environment Reduce carbon dioxide (CO 2 )emissions CO 2 is the key greenhouse gas responsible for global warming CO 2 emissions comes from burning fossil fuels, such as oil, coal and gas Burning fossil fuel causes emissions of other greenhouse gases, such as Methane (CH 4 ) and Nitrous oxide (N 2 O)

20 Case Studies Energy Efficiency projects for selected Manufacturing, Commercial buildings and Power plant

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28 The Importance of Energy Efficiency Program Effective management tool Communicates: scope, structure, budget, benefits and timing to management and peers Establishes the energy baseline Documents growth expectations Reduce raw material and energy use per unit output

29 Energy Efficiency Means Doing the Same ~or More~ With Less Energy

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