1. Power market and energy intensive industrial sectors CSM 3 Marzo 2014 Egidio Zanin- Costanzo Pietrosanti

2. 2 Title Title Title Trebuchet MS 32 pt Trebuchet MS 24 pt CONTEXT: The discrepancy between power demand and offer is a matter of fact since many years. The fast increase of renewable power sources is envisaged to increase out of phase situations in the future leading to increase the frequency of instability conditions in peak conditions. The energy intensive industries are the most exposed in terms of service interruptions and discontinuities and cause of social impact on the neighborhood communities

3. 3 THE STEEL INDUSTRY: The steel industry is a paradigmatic energy intensive sector. Steel manufacturing is a semi-continuous production with a large impact on the demand distribution. FIGURES IN ITALY: the total steel production is around 29 Mt with energy specific consumption of 0.2 TOE/kt (best in Europe) with the medium power price of 2.1 US$/MWh (worst in Europe, 100% more that the European competitors)

4. 4 SMART GRID CONCEPT was introduced and a large effort in related technology development was pushed and is currently running. Consumption monitoring and demand forecast are part of the solution activated by the industry that became part of the Smart Grid Community with power suppliers and regulation authorities. On the market side appropriate tariff policy were and are pursued to encourage the global balance of the grid, nevertheless a decisive improvement can be achieved transforming the above mentioned industrial sectors from part of the problem into part of the solution through an active role in the grid.

5. 5 R&D EFFORTS – RFCS RUNNING PROJECT EnergyDB: Application of a factory wide and product related energy database for energy reduction

6. 6 R&D EFFORTS – RFCS PROJECT DynergySteel (starting July 2014): Integrated dynamic energy management for steel production

7. 7 R&D EFFORTS – Horizon 2020 new proposal – FLEXPower: Flexible electric power cooperation among energy intensive industries, power market operators, regulation authorities and social communities in the innovative market model. Energy intensive industry Market Operators services New market model Social community Regulation authority

8. 8 R&D EFFORTS – RFCS PROJECT DynergySteel (starting July 2014): Integrated dynamic energy management for steel production FLEXPOWER - Impact Enhanced power continuity, efficiency and smoothing of the power demand peaks. Enhanced efficiency of the electric power engagement and consumption in large consumers factories through advanced distributed forecasting,monitoring and control of the production units and equipments. Rationalization of the energy consumption in relationship with the productivity needs Increase of the social acceptance of large production facilities in the regional context Increased competitiveness of European manufacturing industry through the decrease of the global electric energy costs along the day and the seasons New policies for the energy market access and regional regulation through the awareness of the power demand

9. 9 Other initiatives in the energy sector -Membranes for O2 separation in Oxycombustion -Innovative heat recovery systems from flue gases avoiding de novo synthesis and dioxins formation -Advanced modeling for molten salts corrosion in solar power plants or energy storage

10. 10 THANK YOU Egidio Zanin Centro Sviluppo Materiali Market Development Manager E.zanin@c-s-m.it 065055830