# Presentation: 607897

## Industrial Technologies Program

Department of Energy:  Save Energy Now

SPI Energy Efficiency Workshop

June 20, 2006Chicago, Illinois

***Department of Energy:  Save Energy Now***
***SPI Energy Efficiency Workshop***
- June 20, 2006Chicago, Illinois

- Paul Scheihing
- Industrial Technologies ProgramOffice of Energy Efficiency and Renewable Energy

## Challenges for Energy-Intensive Industries

- Volatile energy prices
- Industry concern about naturalgas costs and availability
- Influence of the emergingeconomies on energy andcommodity prices
- Difficulty for process industries to make needed investments in R&D and commercialization
- Potential for “game-changing” scientific advances (e.g. nanotechnology) to transform industries

- Dollars per Million Btu

**Natural Gas Prices, Henry Hub, LA**

## Industry: Key to National Energy Picture

**37% of U.S.****natural gas****demand**
**29% of U.S.****electric demand**
**30% of U.S. ****greenhouse gas emissions**
**Uses more energy than any one of the other G8 nations**

- Industry
- 33%

- Transportation
- 28%

- Commercial
- 18%

- Residential    21%

**2004 Energy Use***
**100.3 Quads**

- *Includes electricity losses

- Source:  DOE/EIA Monthly Energy Review 2004 (preliminary) and estimates extrapolated from MECS

***Industry is the largest energy using sector***

**(Quadrillion Btu)**

**Japan Total Energy Consumption:  22.4 Quads**

**Industry: Key to National Energy Picture**

**Notes:**
The top 10 energy-intensive industries account for almost 75% of total energy use in the industrial sector
“Non-manufacturing” industries includes agriculture and mining
“Other” includes metal casting, glass, cement, computers and electrical equipment, construction, heavy machinery, textiles, and forging.

## Delivering Technology Solutions

- Collaborative R&D

- Technology Delivery

- Partnerships

- Energy-intensiveProcess Technologies
- Crosscutting Technologies

- Assessments
- Training & Tools

**Delivering Technology Solutions**

**Notes:**
ITP Mission is to :

Improve the energy efficiency of U.S. industry through coordinated research and development, validation, and dissemination of innovative technologies and practices.
Partner with industry and other stakeholders to
Save energy
Improve productivity
Reduce reliance on foreign oil
Reduce environmental impacts

ITP works through collaborative partnerships with industry to develop and deploy technologies and practices that promote energy efficiency.
To maximize effectiveness, we use a partnership approach (two-way partnership with industry, suppliers, universities, national labs, others). 
Collaborative R&D:  We invest about $100 million annually in collaborative, cost-shared partnerships that conduct R&D on promising technologies to meet the priority needs of industry.
Partners spread the costs and risks of R&D
Partnerships bring together expertise, experience, resources, and facilities  to accelerate the pace of technology advances. 
Technology Delivery:  To get today’s energy-efficient technologies and best energy management practices into use on the plant floor, we also conduct a range of outreach and partnership activities such as training, assessments, and demonstrations.

## Response to Energy Supply & Cost Issues

- 	“America’s businesses, factories, and manufacturing facilities use massive amounts of energy. To help them during this period of tightening supply and rising costs, our Department is sending teams of qualified efficiency experts to 200 of the nation’s most energy-intensive factories.  Our Energy Saving Teams will work with on-site managers on ways to conserve energy and use it more efficiently.”
**Secretary of Energy Bodman**
**National Press Club**
**October 3, 2005**

## Secretarial Initiative:  “Save Energy Now”

*Status to Date*
- 200 plants selected in 39 States(14% of manufacturing gas use;equivalent to 13 million typicalUS homes that use natural gas)
- 93 assessments completed as of May 19th, 2006
- Initial results from 50 assessments:
- Potential savings over 15 trillion Btu naturalgas (equivalent to consumption by 207,000 typical US homes)
- $153 million/year in potential energy cost savings
- Seven plants have reported immediate implementation of recommended ESA actions, leading to a total energy savings of $903,000 per year.

- Secretary of Energy
- Samuel W. Bodman

## Energy Savings Teams

- Teams are composed of DOE Qualified Energy Experts and plant personnel
- Teams focus on either steam generation or process heating
- Plant personnel and affiliates are trained on DOE efficient tools

**Plastics Manufacturers**
**Receiving Assessments**
- Ball Corporation
- Bemis Company, Inc
- Formosa Plastics
- Sunoco

**Completed and****Scheduled Assessments**

## Save Energy Now Savings Potential 

**Estimated savings potential for all 200 plant assessments**:
- Natural gas savings potential identified: 63 trillion Btu per year
- Cost savings potential identified: $500 million per year
**Estimated impacts for all 200 plant assessments**
- Natural gas savings implemented:  25 trillion Btu per year (assume 40 percent implementation)
- Cost savings potential implemented:  $200 million per year

- Additional energy savings will accrue as results are replicated across plants and companies.

## Payback Periods*  

**< 9 months**
- Improve insulation
- Implement steam trap program
- Clean heat transfer surfaces

**9 mo. – 2 years**
- Heat feed water with boiler blowdown
- Lower excess oxygen
- Flue gas heat recovery

**2 – 4 years**
- Modify steam turbine operation
- Use oxygen for combustion
- Change process steam use

**> 4 years**
- Install CHP system

**Payback Periods*  **

- 41%

- 40%

- 17%

- 2%

**  ****Results from first****   36 assessments****  **

## All Industrial Plants Receive Assistance

- Applicant plants that do not meet the criteria for an Energy Savings Assessment are offered other assistance, such as
- Industrial Assessment Center assessment
- Personalized phone consultation to address energy efficiency in their plant
- Self assessment tools
- Information products, DOE software tools, and training

## Industrial Assessment Centers

- Annual sales under $100 million
- 500 or less employees at plant
- No designated energy manager
- Plant located _<_150 miles from IAC school
- Energy bill less than $2 M/yr and greater than $100K/yr

**Industrial Assessment Centers**

- 26 centers located at accredited engineering schools
- Assessment teams include faculty and students
- Assessments usually entail aone-day site visit
- Integrated approach considersenergy, waste, and productivity

## Industrial Assessment Centers

**Industrial Assessment Centers**

## Improving Energy Efficiency at Plastics Plants

- IAC teams conducted assessments at 11 plastics plants in 2003
- 52 0f the 99 recommendations had been implemented by March 2005, saving an average of $68,500 annually per plant.
- 9 of the 11 plants implemented energy-related recommendations to reduce energy costs by an average of $45K/year—a savings of 9.7% on their annual energy bills.

- Joint study by SPI, DOE, IACs, and 11 U.S. Plastics Manufacturing Plants

- See http://www1.eere.energy.gov/industry/bestpractices/pdfs/plastics_report.pdf

## Improving Energy Efficiency at Plastics Plants

## Improving Energy Efficiency at Plastics Plants

**Improving Energy Efficiency ****at**** ****Plastics Plants**

**Improvement Category**

- Compressed Air

- Lights

- HVAC

- Motors

- Heat recovery

- Insulation

- Waste reduction

- Load shedding/power factor

**Number of Recommendations**

**Average Annual Cost Savings per Category (estimated)**

- 29

- 15

- 7

- 6

- 6

- 6

- $27,143

- $17,012

- $14,695

- $13,460

- $16,845

- $19,480

- $7,640

- $12,690

- 8

- 16

- Productivity

- 4

- $240,217

- Controls

- 3

- 15,570

## Plant Energy Profiler (PEP) Tool	

- Where is my energy is going?
- What is my potential for improvement?
- What resources are available to help me?

**Plant Energy Profiler (PEP) Tool****	**

** ****What is the purpose of **** this software tool?**
** ****How long does it take?**
** ****What information do I **** need to get started?**

**Within 30 minutes you will have :**
-   An overall picture of plant energy use
-   A summary of energy cost distribution
-   Estimated energy cost savings potential

**As a minimum you will need :**
- A monthly bill for each purchased energy stream (electricity, fuel & steam)
- Plant production data for the same month(optional)

**Notes:**
Plant Energy Profiler (PEP) is the latest addition to the suite of ITP software tools.  Some FAQS on the tool are...

<Go through the bullets...>

## On-line Plant Energy Profiler “QuickPEP”

**On-line Plant Energy Profiler “QuickPEP”**

-      **OUTPUTS**
- Overall picture of  plant energy use
- Summary of energy cost distributions
- Preliminary assessment & comparison
- Areas for energy efficiency improvement
- Energy cost reduction potential

**       ****INPUTS**
- Plant description
- Utility supply data –electricity, fuel & steam
- Energy consuming system information
- Scorecardresponses

**Notes:**
Now that I’ve discussed how the PEP tool fits into our tool strategy,  I want to take you through a brief overview of the PEP Tool.

The PEP tool is a tool that takes a plant-wide approach to energy savings and looks at both equipment efficiency and operation practices to identify savings opportunities.  

Users input plant data that includes :
equipment information that describes the plant’s operation and production, 
energy costs and usage from monthly fuel and electric bills as well as energy generation and exportation information.
operation practices information

The PEP Tool uses this data to:
provide plant-wide energy maps for electricity, fuel, & steam to describe the plant’s energy flow and usage.  
identify where energy efficiency opportunities exist 
give the user an idea of the magnitude of the savings associated with these opportunities
compare the plant’s practices to industry recognized best practices

## QuickPEP Results

**QuickPEP Results**

## Tools Available via Our Web Site

**Motor Master +****  **Aids in energy-efficient motor selection and management.
**Pumping System Assessment****Tool**   Assesses efficiency of pumping system operations.
**Steam System Assessment Tool**   Assists in assessing potential benefitsof specific steam-system improvements.
**Combined Heat & Power Application Tool**   Enables users to evaluate the feasibility of CHP for heating systems.
**NOx and Energy Assessment Tool ** Assesses NOx emissions and applications of energy efficiency improvements at petroleum refiningand chemical plants.

**Air Master+**  Provides comprehensive info on assessing compressed air systems.
**3EPlus Insulation Assessment Tool**   Calculates most economical thickness of insulation for various operating conditions.
**Fan System Assessment Tool**  Assesses efficiency of fan system operations and quantifies benefits of system optimization.
**Plant Energy Profiler ** Helps plants  assess plant-wide operation to identify savings and efficiency opportunities.
**Process Heating Assessment and Survey Tool**   Helps assess  energy usein furnaces and identifies ways to improve performance.

## Training for Decision Tools

- DOE and its partners conduct user training as well as certify Qualified Specialists (via rigorous testing) to apply energy management decision tools at industrial facilities.

**Steam Systems**
**Process Heating Systems**
**Pump Systems**
**Compressed Air Systems**
**Fan Systems**

## Immediate Suggested Actions

**Assign an Energy Manager: Collect 12 months of energy bills, communicate energy costs to plant staff**
**Use DOE QuickPEP to identify major energy costs  **_[http://www.eere.energy.gov/industry/quickpep/](http://www.eere.energy.gov/industry/quickpep/)_
**Manage compressed air systems with DOE tip sheets:                       ****- Analyzing Your Compressed Air System                                             - Determine the Cost of Compressed Air for Your Plant                       - Eliminate Inappropriate Uses of Compressed Air**
**Survey infrequently used equipment that could be moved to off-peak electric periods.**
**Start to manage your electric motors with ****DOE Motor Master+**
**Check to see if you can ****Replace V-Belts with Cogged or Synchronous Belt Drives. **
**Get an energy assessment!**

## Resources for Plants to Save Energy

- Case studies/tip sheets/manuals
- Energy efficiency trainingfor plant staff
- Qualified software specialists
- DOE-supported energy assessments
- Plant information package & CD

- Website:

- 877-337-3463
- _www.eere.energy.gov/industry_

**Resources for Plants to Save Energy**

- Info Center:

## Save Energy Now Website

**Save Energy Now Website**

**Visit:****www.eere.energy.gov/industry/saveenergynow**