© REDUCT & Lobbe Technologies 2006

Special brief

Canadian Climate Change and Productivity Go Hand-in-Hand

What has been missing in most strategies addressing global warming is recognition that climate change is not an isolated issue. Climate change is closely linked to other national concerns. For example, answers to climate change (the environment) go hand-in-hand with answers to poor productivity (competitiveness), and

In simple terms, a large part of the solution to both problems (climate change and poor productivity) rests with improving the operations and processes in business and industry. For example, increased productivity (reduced waste) will result in an indirect reduction of energy use per unit of product made and vice versa. REDUCT studies for Natural Resources Canada showed that in over 30 percent of cases where

there are opportunities to address productivity while addressing climate change. The solution is based on automation of energy intensive industrial processes using advanced information technologies and computers.

industry implemented advanced information processing and process automation technologies to improve productivity, there were also gains in energy efficiency. Advanced information and automation technologies foster development of Industries of the Future (IOF) - industries which have higher productivity and higher energy efficiency.

Advanced information technology systems can improve productivity and reduce energy use in energy intensive operations through better control and scheduling of production and through reduction of work disruptions. We analyzed over 300 applications of advanced IT in heavy industry and identified many potential energy efficiency measures such reducing energy waste by stabilizing combustion processes, optimizing energy use by better responding to operating changes, reducing peak and average processing temperatures, controlling heat more

© REDUCT & Lobbe Technologies 2006

consistently, and reducing peak demand for electricity.

Our review of carbon dioxide (CO2) emissions for Saskatchewan showed that automation of industrial process heat systems has the potential to reduce these systems’ energy use by 7 percent and their carbon dioxide emissions by 4 percent. A similar analysis of the commercial sector showed a 1.3 percent reduction in energy use, which would be equivalent to a 3 percent reduction in the sector’s carbon dioxide emissions.

These findings were confirmed by a US Department of Energy special study which showed that if energy-intensive American industries were to adopt advances in automation, industrial controls, information processing and robotic technologies, they could realize an energy saving of up to 10 percent. In USA this represents 1.7 to 2.0 quadrillion BTUs of energy saved every year.

For Canadian heavy industry, the application of advanced automation and information (IOF) technologies would represent a reduction in energy use of over 70 trillion BTUs, which is equivalent to a CO2 reduction of 15 to 20 mega tonnes per year. If you include the energy and power generation sectors, the total reduction in CO2

carbon dioxide emissions at a cost of less than $10 per tonne, and when you factor in productivity gains, the cost comes to just a few dollars per tonne. A few dollars per ton is much less than the $25 to $30 cost per ton of purchasing CO

emissions would be over 1/10 of all greenhouse gases reduction required. And you get a bonus: higher productivity and a higher standard of living for all Canadians.

Our field demonstrations of advanced information systems in the pulp and paper, power generation and other industrial sectors showed that it is possible to reduce

2 emission

tell: (604) 275-3711;

credits or the $30+ cost per ton to capture and dispose of carbon dioxide emissions.

Applications of advanced automation and information technologies are not restricted to any one industry or business sector and, therefore, the benefits can be expected to be broad. For most application areas, the Industries of the Future technologies are here today ready to offer practical and attractive solutions to climate change and productivity. What is needed is an equal treatment of the IOF technologies vis-à-vis other green power and alternative fuels projects. For further information you can contact: Dr. Adam J. Szladow, President REDUCT & Lobbe Technologies P.O. Box 800, 186-8120 No. 2 RD Richmond, BC, Canada V7C 5J8

dispatch@reduct.com; www.reduct.com

REDUCT & Lobbe Technologies is a technology and technical services company specializing in the application of advanced energy and automation technologies in business and industry. We pioneered the concept of Process Intelligence, a comprehensive approach to optimization of business and industrial processes using sophisticated information technologies. REDUCT has helped business and industry to apply innovative methods to solve complex problems since 1986, and our clients range from small firms to large, multi-national organizations.

Dr. Szladow is a member of Microsoft Research Panel, member of AICHE, Board Member of Professional Association for SQL Server (Vancouver); a past member of the Minister’s National Advisory Committee to CANMET, NRCan, Chairman of the Business Committee of the National Advisory Council to CANMET, NRCan, Vice-Chairman, Research Committee on corrosion and Deposition from Combustion Gases, ASME.