Unit-I

Energy Conservation
Definition of Energy Conservation:

Energy conservation means energy prevention from being wasted more than its
purpose of use such as turning off lights on a frequent basis and not extremely cooling rooms
with air-conditioners, and improvement of efficiency of energy use through technological
improvement.
Generally, “ Shoene (in Japanese)” (a translated term in English is “energy
efficiency” or “energy conservation”) is a common term and is familiar to us in daily lives.
As a broader definition in development assistance, “energy conservation” means enhancing
efficiency of energy consumption throughout a society. In general, “energy ”can be classified
as in Figure 1, and it would be easier to understand if “ energy conservation” is classified in
the same manner. In addition, in Figure 1, turning off lights on a frequent basis, which is
quite familiar in daily life, is categorized as energy conservation in the household sector.

Details of “energy” sectors : Industrial sector : factories〔 manufacturing industry （iron

manufacture, non ferrous manufacture, machinery, chemical industry, ceramic industry ,
textile industry, paper and pulp industry, food industry, etc.), power generation industry, city
gas, petroleum products, and heat supply, etc.].
Household sector: buildings (offices, shopping malls, hospitals, and hotels, etc. ）
and home etc.
Transportation sector: vehicles, boats and vessels, aircrafts, transportation systems, and
physical distribution systems, etc.
Non- renewable resources: oil, coal, natural gas, and nuclear power, etc.
Renewable resources: hydraulic, geothermal and wind power, solar energy, and biomass,
etc.
System approach to efficient use of electricity:
The plant electrical system consumes between 7% and 15% of the electricity that the
plant produces. The less efficient the electrical system, the more power it consumes – power
that could have been sold to increase the plant’s revenues and profitability.
Reducing the plant’s parasitic load:
Even though electrical equipment is designed for a long and trouble-free operating
life, we can still achieve significant improvements in plant energy efficiency by upgrading or
rehabilitating selected areas of the plant electrical system. In our experience, the speediest
and largest improvements are achieved by installing high efficiency motors, equipping pump
and blower applications with variable speed control, improving the performance of the
generators, and increasing the efficiency of the transformers.
High-efficiency motors:
One of the most effective ways to reduce energy consumption is to install high
efficiency motors and variable speed drives. In many instances the return on investment is
achieved within a few months.
A typical power plant has up to 20 medium voltage motors and around 20 low voltage
motors, which drive the plant’s most energy-hungry applications – pumps, fans and blowers.
By replacing older less efficient motors with high-efficiency motors, the energy consumption
of each motor can be reduced by as much as 10 %.
Variable speed drives for pumps, blowers and fans:
Pumps and fans are the world’s two largest motor applications. Together, they
account for half of all the motors in use and a significant proportion of the energy consumed
by motors worldwide.
Many motors continue to run at full load, even under partial load conditions. By
replacing the existing motor with a high efficiency motor, equipping it with a variable speed
drive and a pump or fan efficiency monitoring system, considerable energy savings can be
achieved. These savings can be as much as 50% for applications currently controlled by a
throttling valve or hydraulic coupling.
Improving generator performance:
The generator is the heart of the power generation process. Although generators are
engineered to perform at a high rate of efficiency, makeing performance improvements by
redesigning the electrical and cooling characteristics and some of the mechanical
characteristics. Instead of investing huge amounts of capital in a new generator, it is often
considerably more economical to perform a generator rehabilitation and combine it with a
performance improvement program. This will extend the generator’s lifetime by 10 – 20
years and produce a performance that is close to that of new state-of-the-art equipment.
Boosting transformer efficiency:
Large power transformers are extremely efficient machines. Even though their
efficiency levels can be close to 100 %, there is still margin for improvement.
The throughput of large generator step-up transformers can be up to 1,000 MVA, so
even small gains in efficiency of less than half a percent translate into hundreds of mega watt-
hours of saved power annually. Multiply this over a 25-year extended life cycle of the
transformer and the savings are worth hundreds of thousands of dollars.
Energy efficiency solutions have a proven and well-documented ability to improve
the energy efficiency of power plants. They can improve power output to the grid by up to
10% without increasing fuel consumption.
– Raise the plant’s electrical output by correcting process inefficiencies
– Generate more energy from less fuel by lowering the plant’s fuel consumption
– Increase plant revenues by selling more energy and reducing fuel wastage
– Extend the operating life of the plant by optimizing asset performance
– Improve operational flexibility by maximizing process efficiency
– Reduce greenhouse gas emissions by minimizing the plant’s carbon footprint

Time-Based Electricity Rates:

To help reduce their peak power demands and save money, many utilities are
introducing programs that encourage their customers to use electricity during off-peak hours.
The programs pass on the savings to you, the customer, through rebates or reduced electricity
rates.
Smart meters and home energy management systems allow customers to program
how and when their home uses energy. Such programs might charge you the actual cost of
power at any one time, ranging from high prices during times of peak demand to low prices
during off-peak hours. If you are able to shift your power use to off-peak times -- such as
running your dishwasher late in the evening -- these programs can save you money while
helping your utility.

Time-based rates are very attractive to owners of plug-in hybrids and electric vehicles
since typically these vehicles are recharged at night.

End user approach to efficient use of electricity:

Reducing energy use in your home saves you money, increases our energy security,
and reduces the pollution that is emitted from non-renewable sources of energy. If you are
planning to install a small renewable energy system to make your own electricity, such as a
solar electric system or small wind turbine, reducing your electricity loads is the first step—
saving you money by allowing you to purchase a smaller system.

There are many ways you can reduce electricity use in your home:
  Appliances and electronics -- Purchase energy-efficient products and operate them
efficiently. Use an advanced power strip to reduce "vampire loads"--electricity that is
wasted when electronics are not in use.
 Lighting -- Purchase energy-efficient products, operate them efficiently, and
incorporate more day lighting into your home using energy-efficient windows and
skylights.
 Electric space heating and cooling -- Purchase energy-efficient electric systems and
operate them efficiently. Incorporate passive solar design concepts into your home,
which include using energy-efficient windows. Properly insulate and air seal your
home. Select an energy-efficient heating system that doesn't use electricity.
 Electric water heating -- Purchase an energy-efficient electric water heater and
operate it efficiently. Or select an energy-efficient water heater that doesn't use
electricity.

Example:

A WHOLE-BUILDING SYSTEMS APPROACH TO ENERGY EFFICIENCY:

A new approach is needed to advance energy efficiency in buildings. A multitude of

Trends and innovations offer new opportunities for progress increasingly converging on the
prospect of a new basic concept: whole-building systems. Although concentrating on
incremental component efficiency has yielded strong results to date, and may yield further
small improvements, a holistic whole-building strategy promises to be a game changer - and
the path to significant building energy efficiency. History repeatedly demonstrates that
innovation and progress often stem from the convergence of several sometimes random and
unrelated trends in technology. Today, such trends include practical building-scale combined
heat and power systems, heat/energy recovery in water heating and ventilation systems, smart
grid and energy storage, and variable-speed HVAC equipment. Practical and effective
building control systems tying these developments together could substantially reduce energy
usage and stress on the electric grid, and ensure that buildings continue to operate properly.

Electricity Tariff types

Today’s interconnected power systems supply a number of consumers. With such a

big organization, management, economy and control come into account automatically. The
supply companies (usually in the public sector) have to sell their electricity at such a rate that
it covers the costs of generation, transmission, distribution, the salaries of the employees,
the interest and depreciation and the profit targeted by the company.
This rate at which electrical energy is sold to the consumers is termed as ‘tariff.’
The cost of generation of electricity will depend upon various factors such as Connected
Load, Maximum Demand, Load factor, Demand Factor, Diversity Factor, Plant Capacity
Factor and Use Factor (learn more about these factors). These, in turn, will depend upon the
type of load and load conditions. Hence, the tariff is different for different type of loads (and
hence different consumers). Therefore, while fixing the tariff, we have to consider various
consumers (industrial, domestic, commercial, etc.) and their requirements. Due to this, the
whole process becomes complicated.

Factors Involved In Deciding An Electricity Tariff

 The tariff should be such that the total cost of generation, transmission, and distribution
is recovered.
 It should earn a reasonable profit.
 It must be fair and at a reasonable to the consumers.
 It should be simple and easy to apply.
 It should be attractive than a competitor.
Keeping in mind the above factors, various types of tariff have been designed. The most
commonly used are given below.

Various Types Of Electricity Tariff

1. Simple Tariff

In this type of tariff, a fixed rate is applied for each unit of the energy consumed. It is also
known as a uniform tariff. The rate per unit of energy does not depend upon the
quantity of energy used by a consumer. The price per unit (1 kWh) of energy is constant.
This energy consumed by the consumer is recorded by the energy meters.
Graphically, it can be represented as follows:

Advantages:
 Simplest method
 Easily understandable and easy to apply
 Each consumer has to pay according to his utilization
Disadvantages
 There is no discrimination according to the different types of consumers.
 The cost per unit is high.
 There are no incentives (an attractive feature that makes the consumers use more
electricity.)
 If a consumer does not consume any energy in a particular month, the supplier cannot
charge any money even though the connection provided to the consumer has its own
costs.
Application
 Generally applied to tube wells used for irrigation purposes.

2. Flat Rate Tariff

In this tariff, different types of consumers are charged at different rates of cost per
unit (1kWh) of electrical energy consumed. Different consumers are grouped under different
categories. Then, each category is charged money at a fixed rate similar to Simple Tariff. The
different rates are decided according to the consumers, their loads and load factors.
Graphically, it can be represented as follows:

Advantages
 More fair to different consumers.
 Simple calculations.
Disadvantages
 A particular consumer is charged at a particular rate. But there are no incentives for the
consumer.
 Since different rates are decided according to different loads, separate meters need to be
installed for different loads such as light loads, power loads, etc. This makes the whole
arrangement complicated and expensive.
 All the consumers in a particular “category” are charged at the same rates. However, it
is fairer if the consumers that utilize more energy be charged at lower fixed rates.
Application
 Generally applied to domestic consumers.

3. Block Rate Tariff

In this tariff, the first block of the energy consumed (consisting of a fixed number of units) is
charged at a given rate and the succeeding blocks of energy (each with a predetermined
number of units) are charged at progressively reduced rates. The rate per unit in each block is
fixed. For example, the first 50 units (1st block) may be charged at 3 rupees per unit; the next
30 units (2nd block) at 2.50 rupees per unit and the next 30 units (3rd block) at 2 rupees per
unit.

Graphically, it can be represented as follows:

Advantages
 Only 1 energy meter is required.
 Incentives are provided for the consumers due to reduced rates. Hence consumers use
more energy. This improves load factor and reduces cost of generation.
Disadvantages
 If a consumer does not consume any energy in a particular month, the supplier does not
charge any money even though the connection provided to the consumer has its own
costs.
Application
 Generally applied to residential and small commercial consumers.

4. Two Part Tariff

In this tariff scheme, the total costs charged to the consumers consist of two
components: fixed charges and running charges. It can be expressed as:

Total Cost =[A (kW) + B (kWh)] Rs.

Where, A = charge per kW of max demand (i.e. A is a constant which when multiplied with
max demand (kW) gives the total fixed costs.)
 B = charge per kWh of energy consumed (i.e. B is a constant which when multiplied
with units consumed (kWh), gives total running charges.)

The fixed charges will depend upon maximum demand of the consumer and the
running charge will depend upon the energy (units) consumed. The fixed charges are due to
the interest and depreciation on the capital cost of building and equipment, taxes and a part of
operating cost which is independent of energy generated. On the other hand, the running
charges are due to the operating cost which varies with variation in generated (or supplied)
energy.

Advantages
 If a consumer does not consume any energy in a particular month, the supplier will get
the return equal to the fixed charges.

Disadvantages

 Even if a consumer does not use any electricity, he has to pay the fixed charges
regularly.
 The maximum demand of the consumer is not determined. Hence, there is error of
assessment of max demand and hence conflict between the supplier and the consumer.
Application

 Generally applied to industrial consumers with appreciable max demand.

5. Maximum Demand Tariff

In this tariff, the energy consumed is charged on the basis of maximum demand. The
units (energy) consumed by him is called maximum demand. The max demand is calculated
by a maximum demand meter. This removes any conflict between the supplier and the
consumer as it were the two part tariff. It is similar to two-part tariff.
Application

 Generally applied to large industrial consumers.

6. Power Factor Tariff

In this tariff scheme, the power factor of the consumer’s load is also considered. We
know that power factor is an important parameter in power system. For optimal operation, the
pf must be high. Low pf will cause more losses and imbalance on the system. Hence the
consumers which have low pf loads will be charged more. It can be further divided into the
following types:
(I) KVA Maximum Demand Tariff

In this type of tariff, the fixed charges are made on the basis of maximum demand in kVA
instead of KW.
We know that power factor = kW / kVA.

Hence, the pf is inversely proportional to kVA demand. Hence, a consumer having

low power factor load will have to pay more fixed charges. This gives the incentive to the
consumers to operate their load at high power factor. Generally, the suppliers ask the
consumers to install power factor correction equipment.
(II) KW and KVAR Tariff
In this tariff scheme, the active power (kW) consumption and the reactive power
(kVAR) consumption is measured separately. Of course, a consumer having low power factor
load will have to pay more fixed charges.

(III) Sliding Scale Tariff

In this type of tariff scheme, an average power factor (generally 0.8 lagging) is taken
as reference. Now, if the power factor of the consumer’s loads is lower than the reference, he
is penalized accordingly. Hence, a consumer having low power factor load will have to pay
more fixed charges. Also, if the pf of the consumer’s load is greater than the reference, he is
awarded with a discount. This gives incentives to the consumers. It is usually applied to large
industrial consumers.

7. Three Part Tariff

In this scheme, the total costs are divided into 3 sections: Fixed costs, semi-fixed costs
and running costs.

Total Charges = [A + B (kW) + C (kWh)]

Where, A = fixed charges,

B = charge per kW of max demand (i.e. B is a constant which when multiplied with

max demand(kW)gives the total fixed costs.)

C = charge per kWh of energy consumed (i.e. C is a constant which when multiplied

With units consumed (kWh), gives total running charges.)

Application

 This type of tariff is generally applied to big consumers.

 ENERGY AUDITING:

 Energy auditing is a systematic approach to monitor industrial energy consumption

and to find out the sources of energy wastage.
 The first and most important role of energy auditing is to identify the areas of energy
consumption and to find the overuse for accessing the opportunity of saving energy.
 Analysis of energy use is done for identifying the areas of energy consumption.
Definition of Energy Audit:
As per the Energy Conservation Act, 2001, 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"
Basic Components of an Energy Audit:
 The audit process starts by collecting information about a facility’s operation and
about its past record of utility bills.
 This data is then analyzed to get a picture of how the facility uses –and possibly
wastes –energy, as well as to help the auditor learn what areas to examine to reduce
energy costs.
 Specific changes –called Energy Conservation Measures (ECM’s) –are identified and
evaluated to determine their benefits and their cost effectiveness.
 These ECM’s are assessed in terms of their costs and benefits, and an economic
comparison is made to rank the various ECM’s.
 Finally, an Energy Action Plan is created where certain ECM’s are selected for
implementation, and the actual process of saving energy and money begins.

Objective of Energy Management:

 To achieve and maintain optimum energy procurement and utilization, throughout the
organization
 To minimize energy costs / waste without affecting production & quality
 To minimize environmental effects.
 Clearly identify types and costs of energy use
 Understand how energy is being used–and possibly wasted
 Identify and analyze more cost-effective ways of using energy

 improved operational techniques

 new equipment, new processes or new technology
 Perform an economic analysis on those alternatives and determine which ones are
cost-effective for your business or industry.
 Types of Energy Audit
1. Preliminary energy audit or Walk-Through Audit (WTA)
2. Detailed energy audit
a. Energy Diognosis.
b. Investment grade Audit

1.Preliminary Energy Audit Methodology

 It uses existing and easily obtained data

 Establish energy consumption pattern

 Establishes base line data

 Identify the most likely areas for attention/savings

 Identify immediate(no/low-cost) improvements

 Identify areas for more detailed study/measurement

 Helps in planning for Detailed audit(Team/instrument/Duration required)

2.Detailed Energy Audit

 Evaluates all energy using system, equipment and include detailed energy savings and
costs

 Different phases of Detailed Audit

– Pre-audit Phase (Preliminary audit)

– Audit Phase (Instrumented/Comprehensive)

– Brief presentation, Report Preparation/Vendor details collection

– Draft Report presentation and Final Presentation

– Post-Audit
Basically there are three types of energy audit:

 Walk-Through Audit (WTA): as the name suggests, this audit consists of a walk-through
inspection of a facility to identify maintenance, operational or deficient equipment issues and
also to identify areas that need further evaluation.

The results of a Walk-Through Audit include an identification of energy saving

opportunities, a qualitative analysis of the implementation of energy saving measures and an
estimation of its potential energy saving. The final audit report is usually accompanied by
basic comments on a project’s feasibility.
 Energy Diagnosis: this audit includes performing economic calculations and may include
using some metering devices to identify actual energy consumption and losses.
 The results of an Energy Diagnosis include an energy balance (energy uses
breakdown) and a list of energy efficiency measures derived from performance or building
facility. The results also include financial analysis for each of the identified measures in
order to categorize and prioritize the implementation of these measures.
 Investment Grade Audit (IGA): this audit is a detailed account of energy use, including a
quantitative study of the implementation with detailed investments and operational and
maintenance costs and an analysis of the investment model.

The results of an Investment Grade Audit include the real energy demand and an
energy balance. Likewise, the audit suggests a number of energy saving measures, including
the calculation of energy savings and the investment needed to carry them out. This audit
proposes bundled measures, with a financing plan as well as implementation and savings
verification plans.

Steps involved in energy audit:

1. Data Collection

2. Efficiency Evaluation

3. Loss Quantification

4. Operational Improvement Measures

5. Techno Economic Evaluation of Projects.

6. Designing Energy Data Report System

7. Instrumentation Requirement

8. Action Plan For ENCON Implementation

9. Review --Setting Up of Target

Audit Instruments
With the rising costs of energy and concerns about global warming, it is imperative
that countries adopt the most efficient energy conservation measures and technologies.
Energy conservation must evolve as a way of life in developing countries in the Asia-Pacific
region given the limited availability of resources. If we are to share commercial energy
equitably across all sections of society, it is necessary to conserve energy and use it
efficiently. Industries can become globally competitive when their products are energy
efficient and their production processes consume the least amount of energy.
For this purpose, energy audits and conservation studies must be conducted at regular
intervals in all industries. One of the main bottlenecks in conducting these studies is the lack
of technical information on various types of equipment and how energy performance should
be measured. Energy audit is an official survey or study of the energy consumption and its
objectives are to recommend steps for improving energy efficiencies, reducing the energy
costs and wastage, improving quality etc.
The requirement for an energy audit such as identification and quantification of
energy necessitates various measurements; these measurements require the use of
instruments. The parameters generally monitored during the energy audit may include basic
electrical parameters in AC and DC systems and parameters of importance other than
electrical such as temperature & heat flow, radiation, air and gas flow, liquid flow etc.
Measuring electrical parameters does not seem to be much of a problem except for total
harmonic distortions and transients, or the occasional blowing of fuse because screw drivers
and bus bars are a bad mix. However, other more common measuring tasks such as flows of
gases and liquids, as well as stack gas composition are more challenging and riddled with
problems, even if one uses expensive and sophisticated equipment.
Instrumentation for energy audit
While much data and characteristics on equipment/systems can be obtained from the energy
audit personnel, the information may not be adequate to provide a full picture of their
operation. To obtain accurate operating conditions and operating performance of
equipment/systems, the auditor should have the necessary measuring instruments to take
readings of corresponding parameters such as temperature, pressure, flow, lighting lux level,
running current, etc.
The requirement for an energy audit such as identification and quantification of
energy necessitates measurements; these measurements require the use of instruments. These
instruments must be portable, durable, easy to operate and relatively inexpensive. The
parameters generally monitored during energy audit may include the following:
Basic Electrical Parameters in AC and DC systems – Voltage (V), Current(I) Power factor,
Active power (kW), apparent power (demand) (kVA), Reactive power (kVA), Energy
consumption (kWh), Frequency (Hz),etc.
Parameters of importance other than electrical such as temperature & heat flow,
radiation, air and gas flow, liquid flow, revolutions per minute (RPM), air velocity, noise and
vibration, dust concentration, Total Dissolved Solids (TDS), pH, moisture content, relative
humidity, flue gas analysis – CO2, O2, CO, SOx, NOx, combustion efficiency etc.
The operating instructions for all instruments must be understood and staff should
familiarize themselves with the instruments and their operation prior to actual audit use.
Energy Audit Instruments
ELECTRICAL MEASURING INSTRUMENTS
These are instruments for measuring major electrical parameters such as kVA, kW, PF, Hertz,
kVAr, Amps and Volts. In addition some of these instruments also measure harmonics. These instruments
are applied on-line i.e on running motors without any need to stop the motor. Instant measurements can be
taken with hand-held meters, while more advanced ones facilitates cumulative readings with print outs at
specified intervals. Some commonly used.

TYPICAL ELECTRICAL INSTRUMENTS

Voltmeter
An inexpensive voltmeter is useful for determining operating voltages on electrical equipment,
and especially useful when the nameplate has worn o  of a piece of equipment or is otherwise unreadable
or missing. The most versatile instrument is a combined volt-ohm ammeter with a clamp-on feature for
measuring currents in conductors that are easily accessible. This type of multimeter is convenient and
relatively inexpensive.
Wattmeter/Power Factor Meter
A portable hand-held wattmeter and power factor meter is very handy for determining the power
consumption and power factor of individual motors and other inductive devices. This meter typically has a
clamp-on feature which allows an easy connection to the current-carrying conductor, and has probes for
voltage connections.
Clamp On Ammeter
These are very useful instruments for measuring current in a wire without having to make any live
electrical connections. The clamp is opened up and put around one insulated conductor, and the meter
reads the current in that conductor. New clamp on ammeters can be purchased rather inexpensively that
read true RMS values. This is important because of the level of harmonics in many of our facilities. An
idea of the level of harmonics in a load can be estimated from using an old non-RMS ammeter, and then a
true RMS ammeter to measure the current. If there is more than a five to ten percent difference between
the two readings, there is a significant harmonic content to that load.
Lux meters
A lux meter is a device for measuring brightness. It specifically measures the intensity
with which the brightness appears to the human eye. This is different than measurements of
the actual light energy produced by or reflected from an object or light source.
The lux is a unit of measurement of brightness, or more accurately, illuminance. It
ultimately derives from the candela, the standard unit of measurement for the power of light.
A candela is a fixed amount, roughly equivalent to the brightness of one candle. While the
candela is a unit of energy, it has an equivalent unit known as the lumen, which measures the
same light in terms of its perception by the human eye. One lumen is equivalent to the light
produced in one direction from a light source rated at one candela. The lux takes into account
the surface area over which this light is spread, which affects how bright it appears. One lux
equals one lumen of light spread across a surface one square meter.
 A lux meter works by using a photo cell to capture light. The meter then converts this
light to an electrical current. Measuring this current allows the device to calculate the lux
value of the light it captured.
Temparature measuring instruments
Several temperature measuring devices are generally needed to measure temperatures
in offices and other worker areas, and to measure the temperature of operating equipment.
Knowing process temperatures allows the auditor to determine process equipment
efficiencies, and also to identify waste heat sources for potential heat recovery programs.
Inexpensive electronic thermometers with interchangeable probes are now available to
measure temperatures in both these areas. Some common types include an immersion probe,
a surface temperature probe, and a radiation shielded probe for measuring true air
temperature. Some typical temperature measuring instruments used for energy audit are:
Contact Thermometer.

These are thermocouples which measures for example flue gas, hot air, hot water
temperatures by insertion of probe into the stream. For surface temperature, a leaf type probe
is used with the same instrument.
Infrared thermometer
An infrared thermometer is a thermometer which infers temperature from a portion of
the thermal radiation sometimes called blackbody radiation emitted by the object being
measured. They are sometimes called laser thermometers if a laser is used to help aim the
thermometer, or non-contact thermometers to describe the device's ability to measure
temperature from a distance. By knowing the amount of infrared energy emitted by the object
and its emissivity, the object's temperature can often be determined. Infrared thermometers
can be used to serve a wide variety of temperature monitoring functions.
A few examples provided to this article include:
Detecting clouds for remote telescope operation
Checking mechanical equipment or electrical circuit breaker boxes or outlets for hot spots
Checking heater or oven temperature, for calibration and control purposes
Pressure and flow measuring instruments
Measuring air flow from heating, air conditioning or ventilating ducts, or from other
sources of air flow is one of the energy auditor’s tasks. Airflow measurement devices can be
used to identify problems with air flows, such as whether the combustion air flow into a gas
heater is correct. Some of the typical instruments measuring air and water pressure, flow rates
etc include:
Pitot Tube and manometer
Air velocity in ducts can be measured using a pitot tube and inclined manometer for
further calculation of  ows.
Anemometers
Two types of anemometers are available for measuring airflow: vane and hot-wire.
The volume of air moving through an orifice can be determined by estimating the free area of
the opening (e.g., supply air register, exhaust hood face, etc.) and multiplying by the air
speed. This result is approximate due to the difficulty in determining the average air speed
and the free vent area. Regular calibrations are necessary to assure the accuracy of the
instrument. The anemometer can also be used to optimize the face velocity of exhaust hoods
by adjusting the door opening until the anemometer indicates the desired airspeed.
Water flow meter
This non-contact flow measuring device using Doppler effect / Ultra sonic principle.
There is a transmitter and receiver which are positioned on opposite sides of the pipe. The
meter directly gives the flow. Water and other fluid flows can be easily measured with this
meter.
Flowmeters are used in fluid systems (liquid and gas) to indicate the rate of flow of the fluid.
They can also control the rate of flow if they are equipped with a flow control valve.
MISCELLANEOUS INSTRUMENTS
Combustion Analyzer
Combustion analyzers are portable devices capable of estimating the combustion
efficiency of furnaces, boilers, or other fossil fuel burning machines. Two types are available:
digital analyzers and manual combustion analysis kits. Digital combustion analysis
equipment performs the measurements and reads out in percent combustion efficiency. These
instruments are fairly complex and expensive.
The manual combustion analysis kits typically require multiple measurements
including exhaust stack: temperature, oxygen content, and carbon dioxide content. The
efficiency of the combustion process can be calculated after determining these parameters.
The manual process is lengthy and is frequently subject to human error.
Tachometers
In any audit exercise speed measurements are critical as they may change with frequency, belt slip
and loading. A simple tachometer is a contact type instrument which can be used where direct access is
possible. More sophisticated and safer ones are non contact instruments such as stroboscopes. Mechanical
stroboscopic instruments are instruments with mechanical shutters (choppers) in the form of disks or
hollow cylinders with slits through which the object is observed. By measuring the disk’s speed of rotation
at which the object viewed through the shutter appears stationary, the frequency of the periodic motion of
the object can be determined. Such instruments are called stroboscopic tachometers. The principal
advantage of the stroboscopic tachometer is that it permits the angular speeds of rotation of objects to be
measured without contact between the instrument and the object. Consequently, speeds can be measured
for objects that are visible but not easily accessible. This advantage also permits measurement of the
speeds of low-power objects without the speed being affected by the use of the instrument.
Leak Detectors
Compressed air is one of the most costly utilities in a facility today. A simple program
of leak inspection and repair can go a long way towards reducing excessive energy costs.
Ultrasonic instruments are available which can be used to detect leaks of compressed air and
other gases which are normally not possible to detect with human abilities. Ultrasonic Leak
Detector is a hand held, high quality compressed air leak detection system that has all the
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ECO assessment and Economic methods

Payback Period:

Payback period is the time in which the initial cash outflow of an investment is
expected to be recovered from the cash inflows generated by the investment. It is one of the
simplest investment appraisal techniques.

Formula
The formula to calculate payback period of a project depends on whether the cash
flow per period from the project is even or uneven. In case they are even, the formula to
calculate payback period is:

Initial Investment
Payback Period =
Cash Inflow per Period
When cash inflows are uneven, we need to calculate the cumulative net cash flow for each
period and then use the following formula for payback period:

B
Payback Period = A +
C
In the above formula,
A is the last period with a negative cumulative cash flow;
B is the absolute value of cumulative cash flow at the end of the period A;
C is the total cash flow during the period after A

Both of the above situations are applied in the following examples.

Decision Rule
Accept the project only if its payback period is LESS than the target payback period.

Examples
 Example 1: Even Cash Flows
Company C is planning to undertake a project requiring initial investment of $105 million.
The project is expected to generate $25 million per year for 7 years. Calculate the payback
period of the project.
Solution
Payback Period = Initial Investment ÷ Annual Cash Flow = $105M ÷ $25M = 4.2 years
Example 2: Uneven Cash Flows
Company C is planning to undertake another project requiring initial investment of
$50 million and is expected to generate $10 million in Year 1, $13 million in Year 2, $16
million in year 3, $19 million in Year 4 and $22 million in Year 5. Calculate the payback
value of the project.
Solution
(cash flows in millions)Cumulative
Year Cash Flow Cash Flow
0 (50) (50)
1 10 (40)
2 13 (27)
3 16 (11)
4 19 8
5 22 30
Payback Period
= 3 + (|-$11M| ÷ $19M)
= 3 + ($11M ÷ $19M)
≈ 3 + 0.58
≈ 3.58 years
Advantages and Disadvantages

Advantages of payback period are:

1. Payback period is very simple to calculate.
2. It can be a measure of risk inherent in a project. Since cash flows that occur later in a
project's life are considered more uncertain, payback period provides an indication of how
certain the project cash inflows are.
3. For companies facing liquidity problems, it provides a good ranking of projects that
would return money early.
Disadvantages of payback period are:
1. Payback period does not take into account the time value of money which is a serious
drawback since it can lead to wrong decisions. A variation of payback method that
attempts to remove this drawback is called discounted payback period method.
2. It does not take into account, the cash flows that occur after the payback period.
Specific energy:
Specific energy is energy per unit mass.