common sense energy management

/Tag:common sense energy management

How much money is at your ‘energy waste’ account?

Situation Doing nothing is an investment decision too. Investment with a guaranteed return of nothing. Here is a common conversation at a manufacturing plant: Me: … Implementation will cost you $5K and save $15K within 12 months. Maintenance manager: So we save $10K?  Not much for our plant. Besides, I do not make investment [...]

Energy waste is invisible, until you measure it

A prospect informed about a possible massive cost of compressed air leaks responded: “What leaks? I do not hear hissing noise from compressed air leaks on the floor.” Plant manufactures gravel. Production noise is deafening.  To hear compressed air leak would be a disaster, not only for energy bill, but likely for the whole [...]

To generate or not to generate – a multi-million dollar question

In the view of growing electricity prices and time-sensitive tariffs numerous vendors around offer on-site electricity generation and storage. Should your company do it?   Are you in business of electricity generation?   Prior to going into technical and financial details of different power generation solutions, I suggest you ask yourself a strategic question: [...]

Submetering, EMIS and Energy Management System: what is the difference?

Various terms are used in relation to collecting and processing of energy consumption data. Some of the more common terms are submetering, energy management information system, monitoring and targeting (M&T), measurement and verification (M&V). Although these terms relate to overlapping activities, they are not equivalent in content, cost and, most importantly, in value for business. [...]

What makes energy efficiency projects fail?

We all agree that Energy Management is important, even C-levels agree. Still too often it's not done. Why is that? This 2003 article - Overcoming Barriers to Effective Energy Management in Industrial Settings - names several barriers which I list below with my comments : Lack of Organizational Commitment If senior management is not committed to [...]

Energy savings generate 20x more profit than sales

Energy savings are small and unimpactful ...  except  they go directly to profit. How much a company has to produce, sell and ship to make the same profit? With a typical profit margin in manufacturing hovering around 5%, to generate $100K profit a company must sell $100K/5%=$2 mln worth of product. It's 2 weeks of work [...]

Why investment with zero return is a top priority at many plants?

Would your company hire 2nd plant manager with a 12-month annual vacation contract? Simple, eh? What about - Will your company invest into energy project with zero return? When company decides to delay an energy cost reduction project ... Wait, nobody makes such decisions. Sophisticated managers of 21st century decide that "energy cost reduction project [...]

Rope trick with lighting: more light, less bills and no new bulbs

Lighting retrofit that delivers 20% more lighting for 20% less dollars and requires no new electrical parts, such as bulbs, controls or ballasts. Not even new fixtures. It's like a rope trick, except there is no trick, just ropes. Lighting intensity decreases in reverse proportion to the distance from the source [...]

“Hungry fridge ate more than me”

My friend Andrew once learned that he was paying twice as much for electricity than his neighbour across the street. Similar house, similar family, similar lifestyle, same utility ... but neighbour paid $200 a month, while Andrew paid $400. So Andrew decided to tackle the issue. He invited a utility rep to do a walk [...]

9 questions plant manager should ask while walking the production floor

An old engineering joke says that if it moves, but should not - use duct tape, if does not move, but should  - WD-40. Though every joke contains a joke, this formula can be applied to a walk through energy audit: engineering knowledge and common sense will go a long way in identifying low hanging fruits [...]