Assessing Plant Performance for Energy Savings

1. Assessing Plant Performance for Energy Savings Elizabeth Dutrow ENERGY STAR dutrow.elizabeth@epa.gov

2. Today’s discussion • Critical foundation for plant assessments • a strategic energy management program • Background on assessments • Resources for assessments

3. Energy management • Can be: • Informal • Decentralized, not centrally coordinated or managed • Project-oriented, not program-oriented • Cyclical (i.e. in the support a company gives) • Thus, many companies: • Miss important savings opportunities because they lack a means for addressing energy use across the corporation

4. Effective energy management Organizations achieving the greatest results have: • A top-down commitment to energy management • A commitment to continuous improvement • Embraced an approach that integrates energy management across all aspects of the business • Management systems in place • A system to regularly assess and track energy performance • Set measurable performance goals • An effective reward system for energy performance • An empowered energy staff

5. Guidelines For Energy Management Practicalapproach based on the success of major U.S. corporations www.energystar.gov

6. Guidelines For Energy Management

7. Plant assessment • An evaluation of the actual performance of a plant’s systems and equipment against the designed performance level or best available technology/practice. The difference is the potential for energy savings. • A critical part of an energy management program • Looks for opportunities to improve the bottom line of a company • Without assessments, an energy management program would have difficulty identifying energy savings and would fail to show improvement.

8. Examples of assessments 1. Low-hanging fruit walkthrough • Limited in duration, cost to company, & focus • Often a corporate team • Can be done anytime • Findings • basic (eg. idle equipment) • impact may be immediate since often adjustments can be made on-site • May be limited by expertise of team • Toyota’s treasure hunts

9. Examples of assessments 2. Support system review • Systems that support process are evaluated • eg. compressed air, motors, steam, etc. • May be a corporate team supplemented by expertise for major support systems • Slightly higher cost for expertise • Limited time, although longer duration than a walkthrough • Good specific findings for utility systems • Good design to extend to multiple plants in a company • lessons learned & best practices shared • Value of potential savings greater than a walkthrough, no capital required at times for certain findings • May be limited by those systems not covered • California Portland’s compressed air study

10. Examples of assessments 3. Process/yield studies • Detailed, full site review often precipitated by company desire to increase plant yield • energy a part of the review • modeling critical to study • often a rare chance to impact energy in this way • Can extend to months in duration • Usually external expertise on team • More costly but likely greater savings potential here • Can address all major and supporting systems and touch on process • ExxonMobil

11. Observations of outcomes • Each approach can identify energy savings. • Nature of the outcome will differ depending upon: • time invested • expertise of team • extent of areas examined • resources available to conduct the assessment and to make changes

12. Challenge: implementing the findings of an assessment • For assessment results that require investment in capital • secure support from senior management • incorporate within the business plan or as part of the operating budget • For low cost/no capital-required projects: • ensure steps identified in assessment are incorporated into the energy management action plan (with goals, timeline, and accountabilities) • For projects that require labor to manage the improvement project: • short-term contractor, ESCO • students

13. Your internal resources • Internal • employees • in-house expertise with process and plant operation • presents buy-in opportunity for plant engineers and plant managers

14. External supports • Private consultants • Utilities • Department of Energy • Best Practices resources • ENERGY STAR • Focuses for select industrial sectors

15. ENERGY STAR Focuses • By specific industrial sector • auto assembly, cement, corn refining, brewing, pharmaceuticals • Focuses produce: • Energy performance indicators (EPIs) for plants in the sector; EPIs help a company identify plants that need work • Energy guides - report opportunities for improving energy efficiency in the industry’s plants now - good for use in assessments • For more information on an ENERGY STAR Focus: www.energystar.gov/industry

16. Current Energy Guides Motor Vehicle Assembly Breweries Corn Wet Milling

17. www.energystar.gov ENERGY STAR emphasizes the development of strong energy management programs supported by plant assessments.