reducing costs & achieving superior plant energy performance
DESCRIPTION
Reducing Costs & Achieving Superior Plant Energy Performance Real-time Information & Best Practices in Energy Management. Presented by Shiva Subramanya Executive Vice President EPS Corp. Introduction to EPS. Energy & carbon reduction for industrial manufacturing - PowerPoint PPT PresentationTRANSCRIPT
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Reducing Costs & Achieving Superior Plant Energy PerformanceReal-time Information & Best Practices in Energy Management
Presented by
Shiva SubramanyaExecutive Vice PresidentEPS Corp
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Introduction to EPS
• Energy & carbon reduction for industrial manufacturing
• Energy Intelligence: right information, right time, right context
• Enabling decisions that:– Improve energy efficiency & reduce costs– Achieve sustainability goals
• Founded in 2001 – HQ: Costa Mesa, CA– 4 regional offices
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Industrial Energy Use
U.S. industrial sector
• Third of total energy consumption
• More than residential, commercial, transportation.
Globally
• Half of all energy consumed
USA - 33%
Worldwide
Source: AberdeenGroup 2009
By 2020, U.S. industrial sector will consume 51% of the 2020 baseline end-use energy in the United States
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Top Market Drivers
Need to reduce manufacturing costs
Achieve or maintain competitive edge
Be a thought leader in sustainability
Economic / consumer uncertainty
80%
46%
20%
17%
Survey of 240 manufacturers in 2009
“Cost Reduction” outranks “Sustainability”
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5 Barriers to Efficiency
• Low awareness & attention
• Elevated hurdle rate
• Capital allocation
• High transaction cost
• Procurement & distributor availability constraints
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Traditional Energy Management
McKinsey: energy savings left to human & equipment entropy causes inconsistent results.
Lawrence Berkeley National LaboratoryEquipment entropy is just as common
Some reductions seen… but temporary results
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Best Practices
• Determine energy “cost per unit”
• Develop standards & targets
• Implement energy intelligence & management system
– Enterprise-wide energy visibility
• Utilize real-time data & continuous monitoring
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Develop Standards & Targets
Establish a baseline
• Breakdown of current “as is” spend (gas, electricity, water)
• Which account for bulk of energy use?
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Develop Standards & Targets
Determine “Best in Class” goal
• Identify equipment for greatest savings
• Meter for data gathering & continuous improvement
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Energy Visibility & Intelligence
• Invest in automated data collection
• Ensure solution includes – Dashboards
– Alerting & event management
– Analytics
• Integrate into:– Overall corporate strategy
– Operations & maintenance
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xChange Point
• Collects data at macro & device level
• Real-time information, enterprise wide
• Includes team of EPS energy experts
exampleEnergy Intelligence system
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Utilize Real Time Data
Reveals gaps in plant standards
• Why & how plant is using more energy than required
• Alerts play critical role
• Real-time informationenables proactivesolutions
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Continuous Monitoring
Automated, real time energy management
• Continually monitor equipment, processes & personnel behavior to avoid energy savings entropy
– Equipment, controls, personnel change over time
– Alterations in environment
– Addition or removal of equipment
– Degradation in calibration of controls / equipment
• Simple alterations to processes can impact energy reduction practices & lower per-unit-of-production costs
– Staffing, training & maintenance
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Continuous Monitoring
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Conclusion
Industrial Energy management
• Largely untapped resource
• Historical approaches deliver disappointing results
Key to success:Automated, real-time energy management & Best Practices– Treating energy as a material resource
– Stop entropy at the onset through continuous monitoring
– Modifying processes & human behavior
• For low-cost/no-cost savings opportunities
– Integrating technology & approach into corporate strategy & processes
• Key for persistent & measurable savings
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Thank You!Shiva Subramanya
Download the
Energy Intelligence Best Practices Report
@
epsway.com