Energy Management

& Audit

Definition of Energy
Management
The judicious and effective use of energy to
maximize profits (minimize costs) and enhance
competitive positions
The strategy of adjusting and optimizing
energy, using systems and procedures so as
to reduce energy requirements per unit of
output while holding constant or reducing
total costs of producing the output from these
systems

Objective of Energy Management

To achieve and maintain optimum
energy procurement and utilisation,
throughout the organization
To minimise energy costs / waste
without affecting production & quality
To
minimise
effects.

environmental

Definition of Energy Audit

Energy Audit is defined as

The verification, monitoring and analysis

of use of energy including submission of
technical report containing
recommendations for improving energy
efficiency with cost benefit analysis and an
action plan to reduce energy consumption

Types of Energy Audit

Preliminary energy audit
Detailed energy audit
Type of energy audit chosen
depends on
Function and type of industry
Depth to which final audit is needed
Potential and magnitude of cost
reduction desired

Preliminary Energy Audit Methodology

Preliminary energy audit uses existing, or easily
obtained data
Establish
energy
consumption
in
the
organization
Estimate the scope for saving
Identify the most likely areas for attention
Identify immediate (no-/low-cost) improvements
Set a reference point
Identify
areas
for
more
detailed
study/measurement

Detailed Energy Audit

Evaluates all energy using system,
equipment and include detailed
energy savings and costs
Carried out in 3 phases
Pre-audit Phase
Audit Phase
Post-Audit

Understanding Energy costs

Conversion to common unit of energy

Electricity (1 kWh)
Heavy fuel oil (calorific value, GCV)
Coal (calorific value, GCV)
1 K Cal = 4.187 KJ

= 860 kcal/kWh (3600 KJ)

=10000 kcal/litre (42000 KJ/litre)
=4000 kcal/kg ( 18*106 KJ/ton)

10

Benchmarking for energy performance

Internal Benchmarking

Historical and trend analysis

External Benchmarking
Across similar industries
Scale of operation, vintage of technology,
raw material specification and quality
and product specification and quality

Bench Marking Energy

Performance
Quantification of fixed and variable energy
consumption trends vis--vis production
levels
Comparison
of
the
industry
energy
performance w.r.t. various production levels
(capacity utilization)
Identification of best practices (based on the
external benchmarking data)
Scope and margin available for energy
consumption and cost reduction
Basis for monitoring and target setting
exercises

Benchmarking parameters
Gross production related
e.g.
kWh/MT clinker or cement produced (cement plant)
e.g.
kWh/MT, kCal/kg, paper produced (Paper plant)
e.g.
kCal/kWh Power produced (Heat rate of a power plant)
e.g.
Million kilocals/MT Urea or Ammonia (Fertilizer plant)
Equipment / utility related
e.g.
kWh/ton of refrigeration (on Air conditioning plant)
e.g.
% thermal efficiency of a boiler plant
e.g.
kWh/NM3 of compressed air generated
e.g.
kWh /litre in a diesel power generation plant.

Specific Energy Norms for Textile Sector

Energy consumption varies from 3 to 3.5 kWh of
electricity per kilogram of yarn in a modernized
spinning mill. In the case of weaving, it varies
from 2.9 to 3.1 kWh per meter of fabric. For
knitting units, the energy consumption stands
at 0.09 to 0.2 kWh per kg of fabric. In the case of
dyeing it is 0.04 to 0.15 kWh per kg of fabric.
Steam consumption in a fabric dyeing unit may
vary from 4 to 9 kg of steam per kg of fabric.

-For Captive Power Generataion sets more than 1000 KVA or 1-2 MW
the SEC i 0.29 to 0.32 Nm3 per kwh for average 880 btu/cfm to 960
btu/cfm.(No proper tuning/Underloading or unequal load balancing leads
to
higher
energy
cosumption/kwh)
- Specific Oil Consumption in Reheating Furnances in Steel Sector
should be 75-80 liters per ton (Convert it into equivalent Gas calorific
value and volume) but it varies from 115 to 130 liters normally.
-Cement
Sector
limit
is
given
below.
SEC Thermal 665-995 kcal/kg of clinker .SEC Electrical 66-127 Kwh/
ton of Cement.
-Ammonia is the intermediate product in Urea production. Out of total energy consumed for the
production of Urea, 80% is consumed in Ammonia production. Hence, efficient production of
Ammonia has greatest impact on Specific Energy Consumption. Hence, efficient production of
Ammonia has greatest impact on Specific Energy Consumption.
Specific Energy Consumption by Feedstock Type (GJ/tonne NH3 ) Gas based
Ammonia 35.54 - 36.5
The best practice energy intensity worldwide is 28 GJ/Tonne of ammonia
Urea
24.99 - 26.5
The best practice energy intensity worldwide is 20 GJ/Tonne of

Maximizing system efficiency

Eliminate steam leakages by trap
improvements
Maximise condensate recovery
Adopt
combustion
controls
for
maximizing combustion efficiency
Replace pumps, fans, air compressors,
refrigeration
compressors,
boilers,
furnaces, heaters and other energy
conservation
equipment,
wherever
significant energy efficiency margins exist

Matching Energy Usage to Requirement

Mismatch between equipment capacity and
user requirement often leads to inefficiencies
due to part load operations, wastages etc
Examples :
Eliminate throttling
Eliminate damper operations
Fan resizing for better efficiency.
Moderation of chilled water temperature for process
chilling needs

Optimising Input Energy

Requirement
Shuffling of compressors to match needs.
Periodic review of insulation thickness
Identify potential for heat exchanger
networking and process integration.
Optimisation of transformer operation
with respect to load

Fuel and Energy Substitution

Fuel substitution
Natural gas is increasingly the fuel of choice as
fuel and feedstock in the fertilizer, petrochemicals,
power and sponge iron industries.
Replacement of coal by coconut shells, rice
husk,etc
Replacement of LDO by LSHS
Energy substitution
Replacement of electric heaters by steam heaters
Replacement of steam based hot water by solar
systems

Seven Steps to Energy and Cost

Reduction
1. Understand the Cost of
Energy
2. Compare Yourself
3. Understand When Energy is
Used
4. Understand Where Energy
is Used
5. Eliminate Waste
6. Maximize Efficiency
7. Optimize Energy Supply

Understand Demand Charges

50 kW
heater for
5 hours

Cost to Operate:
Off Peak
Time
approx $8
On Peak Time
approx $330

Example: Fuel Use in a Hospital

300

250

Gas (GJ/day)

200

150

100

5,000

0
0

10

15

Heat DD (15C HDD/day)

Duration

Cumulative Savings in Gas (GJ)

50

20

5
25

11 13 15 17 19 21 23 25 27 29 31 33 35 37

-5,000

-10,000

-15,000

-20,000

Month

12:00
AM

11:00
PM

10:00
PM

9:00
PM

8:00
PM

7:00
PM

6:00
PM

5:00
PM

4:00
PM

3:00
PM

2:00
PM

1:00
PM

12:00
PM

11:00
AM

10:00
AM

9:00
AM

8:00
AM

7:00
AM

6:00
AM

5:00
AM

4:00
AM

3:00
AM

2:00
AM

1:00
AM

12:00
AM

Demand (kW)

Example: Office Building Peak at 7am

GVRD Head Office - 4330 Kingsw ay
Electrical Dem and - January 14, 2002

900

800

700

600

500

400

300

200

100

Identify Largest Areas of Consumption

Choose Your Facility Type:

Large Grocery

Typical Electricity Cost Breakdown

Refrigeration
Office Equip.
Heat & Cool

Lighting

Miscellaneous
Service Water Ventilation

Annual Electricity Cost Breakdown

Refrigeration
57%
$56,000
Lighting
20%
$20,000
Ventilation
9%
$9,000
Office Equip.
5%
$5,000
Heat & Cool
3%
$3,000
Service Water
3%
$3,000
Miscellaneous
3%
$3,000

THANK YOU