Sharing by: Syed Yousuff

Date: 2 Oct 2014

MSD Singapore Energy Efficiency Roadmap

Agenda

About Our Company About MSD Singapore MSD Singapore Energy Management

• MSD Singapore Energy Policy• Energy Efficiency Road Map• Completed Projects – 2013• Energy Treasure Hunt Initiative – 2013• Completed Projects – 2014• Energy Efficiency Plan – 2015• Energy Efficiency Awareness

About Our Company

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Corporate Responsibility - YouTube

$7.1 billion; 30 products in late-stage development; key areas: CV, diabetes, respiratory & immunology, neurology, infectious disease and vaccines

2013 R&D

EXPENSE

$44 billion; 59% of sales come from outside the United States

2013 REVENUES

Pharmaceuticals, Vaccines, Consumer Care and Animal Health

BUSINESSES

Whitehouse Station, New Jersey, U.S.A.

HEADQUARTERS

Operating since 1851RICH HISTORY

We are known as MSD. We are known as Merck in the United States and Canada.

WHO WE ARE

Approximately 73,000 (as of June 30, 2014)

EMPLOYEES

Key Company Facts

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To make a difference in the lives of people globally through our innovative medicines, vaccines, biologic therapies, consumer care and animal health products. We aspire to be the best healthcare company in the world and are dedicated to providing leading innovations and solutions for tomorrow.

Our Vision

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To discover, develop and provide innovative products and services that save and improve lives around the world.

Our Mission

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About MSD Singapore

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GSKWyeth

Aventis

PfizerMSD

GSK

West CampusAPI, Biotech, Pharm

DPI

Novartis

Abbot

LonzaRoche/Genentech

Kaneka

South CampusPharm

AlconCIBAVision

MSD

Mead Johnson

Amgen

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MSD(Tuas)

Active Pharmaceutical Ingredients (API West) Plant

Biotech Plant

Pharm West SNSO Plant

MSD Singapore West Campus

MSD Singapore South Campus

Pharm South

Active Pharmaceutical Ingredients (API) Plant

Site Utilities CentreEngineering Services Building

GSB/Admin Building

Infectious Disease

Diabetes & Obesity

Cardiovascular

Bone, Immunology, Respiratory,Dermatology

Products ( 7 of the Top 10 )

MK 518 B, MK 518 QD, Liptruzet Generation 6, Vorapaxar, Nasonex View Stripe bottle.Commercialization

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MSD Singapore Energy Management

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MSD SingaporeEnergy Policy

MSD International GmbH Singapore Branch is committed to implementing a sustainable energy management system that ensures efficient utilization of energy.  We strive to continually improve our energy efficiency in all aspects of operations  without compromising the product quality as well as employees satisfaction by maintaining a safe and comfortable working environment.

“We demonstrate respect and care for the health and well-being of people and the environment in everything

we do”

Energy Policy

I.Target to reduce 30% energy consumption by 2015 from the 2011 baseline through optimizing the usage and  eliminating the waste by using energy‐efficient and cost‐effective technologies;

II.Maintain sustainable environment by waste heat recovery and reducing greenhouse gas emissions;

III.Promote employees energy awareness through continual training and education on energy; 

IV.Implement energy efficiency initiatives to improve the Energy Performance Indicator in supporting of energy reduction target;

V.Engage employee participation on energy drive through rewards & recognition; 

VI.Comply with all government regulations and other applicable requirements; 

VII.Establish partnerships with government and external organizations in the sharing of best practices and initiatives.

Objectives

Energy Efficiency    Road Map

Completed Projects2013 

Y2013 Energy Projects Accomplishment

2013 Completed projects Savings MWH

Lighting optimization 1,045

AHU optimization 1,005

Optimize use of clean steam generator 2,532

Optimize data center PCU 139

South contract capacity reduce from 6000 to 4700 KW -

Ducool in south warehouse 1,743

South water chiller optimization 2,520

South cooling water system optimization 740

Closure of south campus Admin building 1,775

Change canteen walk in freezer & Potable water softener 23

Total Savings Y2013 11,522

Operation:

Retrofit the existing HVAC system with Liquid Desiccant Dehumidifiers for South Warehouse HVAC System.

Problem:

•South Warehouse HVAC system uses the conventional method of over-cooling to remove moisture from the air, and then reheating the air again to reach the desired temperature set-point.

Action Taken:

•4 nos of new Liquid desiccant (LiCl) dehumidifiers were retrofitted to remove moisture.

•Outcome: Reduction in cooling load 8 nos. of 15kW electric duct heaters are switched off & increased the of-coil temp set-point

Benefits:

Actual savingsTotal direct electrical load reduction= 110 KW

Total cooling load reduction = 89 KW

Total KW saving = 110 + 89 = 199 KW

Annual savings = 1,743 MWH

Before Kaizen (Photo/Drawing)Off-coil temp = 13 Deg C

After Kaizen (Photo/Drawing)Off‐coil temp = 18 Deg C

South Warehouse HVAC System Energy Conservation through(DuCool – Low cost dehumidification system)

Small DH unit to dehumidfy the FA

Large DH unit to dehumidfy the RA

Operation:

South Water Chiller

Problem:

•Operating 2 nos. of 1500RT chillers even after API Disentanglement due to the total site cooling load beyond the 1500 RT.

•2 chillers in operation with 60% of load

•Average electricity consumption for 2 chillers = 25493 Kwh/day

Action Taken:

• Improve the efficiency of cooling tower through cell portion repair, overhaul of cooling water pumps & balancing of fan

• Improve the efficiency of the chiller through overhauling of chillers & top up the refrigerant

Benefits:

• Run with 1 chiller after optimization:

•Average electricity consumption for 1 chiller = 18588 Kwh/day

•Energy consumption reduction = 25493 – 18588 = 6905 Kwh/ day

•Annual saving = 2,520 MWh

Before Kaizen (Photo/Drawing)

Daily average power consumption for operating 2 chillers = 25493 Kwh/day

After Kaizen (Photo/Drawing)

Average daily power consumption for 1 water chiller = 18588 Kwh/day

South Water Chiller Optimization

Operation:

South Cooling Water System

Problem:

•Operating 3 nos. of 75 KW Cooling water pumps in operation to support 2 nos. of 1500RT chillers before chiller optimization. •Operating 3 nos. of 55 KW Cooling tower fans in operation to support 2 nos. of 1500RT chillers before chiller optimization. •Average electricity consumption for 3 nos. of Cooling water pumps & 3 nos. of Cooling tower fans = 12.51 MWH/Day

Action Taken:

•Optimize the cooling tower & cooling water system after 1 Chiller operation which is effective from 16 Jul’13•Reduce the Cooling water pumps & cooling tower fans to 2 nos. each

Benefits:

•Cooling water system optimization: Running 2 nos. Cooling tower fans & 2 nos. of Cooling water pumps

•Average electricity consumption = 10.48 Mwh/Day

•Energy consumption reduction = 2.03 Mwh/Day

•Annual saving = 740 MWH

Before Kaizen (Photo/Drawing)

3 nos. of 75 KW Cooling water pumps & 3 nos. of 55 KW Cooling tower fans

Average electricity consumption = 12.51 MWH/Day

After Kaizen (Photo/Drawing)

2 nos. of 75 KW Cooling water pumps & 2 nos. of 55 KW Cooling tower fans

Average electricity consumption = 10.48 MWH/Day

South Cooling Water System Optimization

Operation:

PF South

Problem:

Pharm south clean steam generator runs 24 hours per day and 365 days per year to supply clean steam to HSM. It consumes 19200 kg natural gas per day. It is a potential opportunity to study if the natural gas consumption can be reduced.

Action Taken:

Shutdown clean steam generator during HSM turnaround period.Study on

microbial impact Study shows there is no impact on microbial level.

Benefits:

After optimization, Total steam consumption per day for Clean Steam generator= 800 Kg X 24 = 19200 kg/day

3 MMBTU used to generate 1000 kg/hr of steamTotal Natural gas used per day= 3 x 19.2= 57.6 MMBtu/day

Total Natural gas used= 57.6 MMBtu/day

Total savings from this initiative:150 days of clean steam generation down from Feb'13 to Dec'13 = 150 x 57.6 = 8640 MMBtu

Equivalent MWh = 8640 * 293.1 = 2,532 MWh per annum

Clean Steam Generator Optimization

Operation:

PF South -Lab

Problem:

The lab room temp very low. Substantial amount of energy can be saved by reducing the cooling load

Action Taken:Reducing the cooling load by increasing the off-coil temperature from 13oC to 18oC.

Benefits:Energy saved per hour = 35.01 kW (equivalent of cooling load)

Annual savings = 307 MWh

AHU Optimization 

Operation:

Air Handling Unit (AHU-22201) -ES Building

Problem:•Presently the ES Building AHU-22201 Level 2 was running 24 hours, / 7 days a week, due to BMS Server and FAS Server were located at BMS Room Level 2.

Action Taken:•The BMS Server and FAS Server were relocated to DCS Room which has a dedicated FCU serving the Room after office hours.•The AHU-22201 (ES Building) – API West was put at BMS Auto-Timer Control to switch off the AHU during weekdays after19.00 hrs and switch on at 06.30 hrs, and switch off Day & Night during Public holidays and Weekends.

Benefits:

Annual savings =55 MWh per year.

Before Kaizen:

AHU-22201 run hours: 24X7

After Kaizen

AHU-22201 run-hours = 06:30 hrs to 19:00 hrs (Weekdays)Completely off (Weekend & public holiday)

Treasure Hunt Initiatives 2013 

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What is a Treasure Hunt?

Introduction

“Energy Treasure Hunt”, a lean manufacturing process developed by Toyota and refined by GE, combines the best elements of our culture to drive energy efficiency and reduce greenhouse gas emissions across the company.

It’s about Kaizen – Continuous Improvement – applied to energy use. Executing small, but powerful changes that have an impact on the environment, engage employees and cut costs.

“You don’t have to be an expert to contribute substantively to the process”

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The Lean Way

Office

Worksite

Leaking Steam Trap

Missing Insulation

RY 80Y 150 Low Temp Freezers

Go and See

Make Waste Visible

Get to Zero State Replicate Reflection

Air Leak

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Energy Treasure Hunts –Extraordinary Results

Site # Prospects Quantified (Identified)

Energy Waste MMBtu

CO2eq Savings

MT

Savings $MM

Implement Cost $MM

Las Piedras, PR 47 (49) 72,000 6,800 $ 2.10 $ 1.74

Barceloneta, PR 97 (125) 101,000 12,300 $ 4.60 $ 3.41

Rahway, NJ 185 (273) 170,400 16,950 $ 4.45 $ 2.49

Memphis, TN 41 (73) 56,500 7,500 $ 0.85 $ 1.07

Pointe Claire, QE 49 (65) 36,100 1,150 $ 0.55 $ 0.89

Miami Lakes, FL 38 (41) 32,900 3,460 $ 0.42 $ 1.10

Ballydine, Ireland 90 (151) 115,200 11,060 $ 2.70 $ 6.30

Arecibo, PR 50 (62) 24,800 3,600 $ 1.52 $ 0.99

Total 597 (839) 608,900 62,820 $ 17.19 $ 17.99

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Treasure Hunt ObjectivesObjectiveUse the Treasure Hunt process to identify energy prospects (kaizens) that will reduce cost, drive reductions in energy consumption and greenhouse gas emissions and improve efficiency.

Goal – (Singapore Treasure Hunt):• Reduce site energy usage & spend by 16%,

183,000 MMBtu & US$4,000,000• Instill Energy Savings as an every day thought process• Deploy Technologies to Eliminate Waste (Muda)• Look to Replicate (Yokoten) Opportunities • Generate a Strategic Energy Plan

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The Treasure Hunt Event

Welcome!

Go & See –Find Waste and

Quantify

Report out

Site Commitment

MondaySunday

Non-prod Start-up Production Re-verifiy Report-out

Tuesday

Brainstorming after the plant Go

& See

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Electricity

Natural gas

Water

Compressed air

Steam

Chilled water

Heat recovery

lighting, motors, VFD, PF, generation, distribution, rate, load sharing

hedging, boilers, heating, test

treatment, processing, sewer

pressure, leaks, dryers, demand

Condensate, leaks, traps, pre - heat, insulation, blowdown, chemistry

Generation, insulation, distribution, chemistry, towers, demand, set point

Processes, testing

Teams Prep for Analysis

Lighting

Foot-candles, spacing, height of fixture, wattage of lamp, technology. Hours of operation

Motors

nameplate data – HP, volts, amps, phase, efficiency. Measured amps where needed. Hours of operation

HVAC

Space temperature, type, economizer, minimum outside air? Hours of operation

Where are the Opportunities Measure the Waste - Examples

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Merck Local SiteMerck Global

Energy Team

An Integrated Team EffortAPI IPT: Henry HuiFergal Quinn Lam KwongRajaram ThangarajRahmat Zainal, SabarAdam Sapari, Suratman & Teo Sem Peng

ADC Lab:Rajalingam

Quality:Mei ChuTina & Pei Pei

Engineering: Syed Yousuff Adrian HoSteven Thong Suresh Kumar Ignatius YeoMok Kheng Heng Pauline Rodney HengLiow Avtar Sing Xiao Hui Wilson MohNuraishah Sing Lynn ElsenSiew Yin Natassja Axel & Jun Wen

IFM: Ronnie LeeLatish Ghani NoormanChew EC Cheng HoeHo SK Eric Lee

SHE:Kia MohYeow San

Andrew CorbyJim Conlon

Tom Pagliuco

Other Companies:3M Innovation

ESCO’s:Johnson ControlActsysScheniderTakasago

Govt Body:NEA

Vendors:Siemens Water Broad Air Munters ABB, Lim Kim Hai OSK LightingLuxicorr MegajoyGrenactz 3MKaeserIntrixrenewableHertel

Pharma Companies:RochePfizerGSK BioNovartis

Warehouse:Chew E Cheong Lam ChengSg Regional Samuel - Finance

Company/Vendors

Quantify the Waste

Measure

Calculate

Guess35

Singapore Treasure Hunt Total Prospect & savings

Total Savings = S$12,250,811US$9,772,503

Implement Cost = S$14,336,471Simple Pay-back Period = 1.17 Yr

Approximately 100 members participated in our Singapore Energy Treasure Hunt

The event ended successfully on Tuesday, fetching a potential saving of US$9.77MM worth of energy prospects which is equivalent to 40% energy reduction from the site’s current usage.  This value has way exceeded the initial target of US$4 million and it will generate 23,300 MT CO2reductions, which is approximately 10% of Merck GHG emission reduction goal!

Which is equivalent to • removal of 7,700 cars from road per year• planting of 116,000 trees to offset the removal of CO2 per year• power up 10,000 HDB 4 Room flats per year

ENVIRONMENT SUSTAINABILITY

We respect and care for the environment in everything we 

do.A healthy planet is essential to healthy people and the health of 

our business.

17th – 19th November 2013

Duplicate 2.2

Feasible 5.1

Not Feasible 2.4

Treasure Hunt – Feasible Projects Breakdown

USD: MM

Duplicate 2.2

Feasible 5.1

Not Feasible 2.4

Treasure Hunt – Feasible Projects Breakdown

2014 On-going 0.1

2015 Project 0.9

2016 Project 0.3

Completed 3.8

USD: MM

No Project Name Savings (USD)

1 Steroids Building AHU temperature increase 23,014

2 Compressed air leakage at demand side 18,770

3 Lighting from Small Scale 7,667

4 GT2 Blow down Reduction 4,646

5 Air-con in Nursing Room 1,200

6 Fume Hood in Quality Building 116,899

7 Reactivate the VFD the Cold tank discharge pumps 76,540

8 Increase the delta T of chiller after Upgrade of the 2nos smaller 45kW warm pump to 50kW motor 95,349

9 API Chiller system optimization 2,827,457

10 API West HVAC Optimization through ACPH reduction Phase-1 449,194

11 Plant street light optimization Part-2 103,805

12 API West common area lighting optimization 100,869

TOTAL COMPLETED PROJECTS 2014 3,825,410

Treasure Hunt – Completed Projects 2014

Completed Projects2014 

Completed Projects 2014

Project TitleMonth completion

Savings in MWH

Compressed air Leakage Audit for API West (Utilities & IPT area) Jan'2014 95

Optmization of Glycol Chiller System return loop pump for API West Jan'2014 385

South PF AHU & DC optimization Jan'2014 952

South Warehouse lighting Jan'2014 268

South Data Centre PCU Optimization Jan'2014 136

Lighting optimization at Synthesis courtyard Jan'2014 88

Pharm West Warehouse loading area LED lights replacement Jan'2014 12

API West Area 7000 Optimization to conserve energy Jan'2014 700

Cold Glycol pump optimization Jan'2014 480

South electricity contract capacity reduce from 4700 to 3800 KW Jan'2014 0

Leprosova Fuzzy control for Cooling tower fan XX-23030 A Feb'2014 251

South Black & grey zone AHU optimization Feb'2014 364

API nursing room energy saving Feb'2014 6

Tablet West ADC Lab Re-heater optimization Mar'2014 127

MPP1 Rm 615 Air Change Reduction Mar'2014 49

South Warehouse AHUs Schedule Control Mar'2014 125Energy conservation from Synthesis (LEV fans, Syltherm pumps & cold boxes) Apr'2014 1,092

Energy conservation from Synthesis (Lightings & AHU) - Phase1 Apr'2014 341

Completed Projects 2014 South PF1 house vacuum & dust collectors optimization Apr'2014 141R&D Lab Temperature Optimization Apr'2014 56API West QC Labs Fume Hood’s Sash energy optimization Apr'2014 589Steroid Lighting optimization Jul'14 25

API West HVAC Optimization through ACPH reduction Phase-1 Part1 Jul'14 1,271Pharm South PF Building lighting Optimization Jul'14 24Plant street light optimization Part-1 Jul'14 125API West common area lighting optimization Part-1 Jul'14 32Steroid AHU Set point optimization Jul'14 116API West Chiller system optimization Aug'14 14,235Clean Steam Generator Optimisation Aug'14 3,628

API West HVAC Optimization through ACPH reduction Phase-1 Part2 Aug'14 990

Plant street light optimization Part-2 (LED Streetlight for Biotech, Tablet, South and API) Aug'14 86LED Lights for Office Areas Phase 2 (API) Aug'14 466Heat Recovery from Water Heat Pipes Aug'14 216

Tablet West chillers set point optimization (Chilled Water Temp 5 to 5.5 deg C) Aug'14 104

Total 27,575

Title Lighting Improvement ‐Energy saving through retrofitting current lightings to energy efficient LED lights 

The way to save more energy :

Our current lightings include the use of Halogen lamps, High Power Sodium Lamps, Metal Halides for our plant areas and T8 fluorescent for our offices.

Comparison of these lights are made with LED and results showed the followings for LED:•Longer lifespan, more lasting•Lower wattage, lesser power used•Low maintenance, more reliable

Through retrofitting our current lightings to the energy efficient LED lights, we are able to achieve the below benefits:•Maximum Savings •Maximum Flexibility•Maximum Reliability

Optimization Saving  MWH / Year

High Bay Lights  629

Streetlights 523

Office LED 508

Office T8 LED Tube

LED Streetlight

Intelligent LEDHigh Bay light

Title MPP1 HVAC Optimization  –Modification of AHU air recirculation  & Air flow reduction 

The way to save more energy :

•By running the AHU-84200, AHU-81100, AHU-82100 as 100% fresh air configuration, it requires a huge amount of cooling energy to cool atmospheric air and remove the moisture. •By recirculating the cooler and drier air within the building back into the AHUs, much lesser energy is used, thus will reduce cooling load demand and electricity consumption in terms of energy conservation.

The way to implement the optimization:

• Recirculating AHU-84200, AHU-81100, AHU-82100 as setting the fresh air control damper 25% open, exhaust air control damper 25% open, and recirculation control damper 75% open as normal operating condition.• To achieve air change reduction at listed AHUs by changing the BMS set point and by auto-adjusting CV boxes. • FMEA and risk assessment had be carried out by a cross functional team comprising of IPT, Quality, SHE, GTO and ES, with the view of establishing the real user requirements associated with HVAC systems.

Before:

After:

Optimization Saving: MWH per Year

Air reduction  394

Air recirculation 1,867

Total 2,261

Title Heat Pipes Dehumidification and Energy Recovery –Reduce AHU heater & cooling load through recovery

The way to save more energy :

•When applied to HVAC, Water Heat Pipes provide significant dehumidification enhancement and improved indoor air quality.

•By circulating Water Heat Pipes in sections before and after the cooling coil, heat is removed from the air stream before it encounters the cooling coil. This passively pre-cooled air means less sensible cooling is required by the coil, providing more latent capacity and superior dehumidification ability. The now “over-cooled” air passes across the re-heat section of the heat pipe, bringing the air temperature to a comfortable supply condition.

•This free reheat is provided by the same heat energy which was absorbed from the incoming air stream. In the case of fresh air treatment, Water Heat Pipes can be used to pre-cool the incoming outside air before it is cooled and dehumidification by the cooling coil. The heat pipes then reheat the air to the “neutral” supply temperature.

Optimization Saving : MWhper Year

Re‐heaters  185.3

Chillers 30.2

Total 215.5

Heat Pipe

Title Optimization of Cold Loop Glycol Pumps (API West)

The way to save more energy :

Problem:

Cold Glycol Loop Pumps (P-23671 A,B,C) – 2/3 Pumps was operated, using Variable Speed Drive (VSD) at full speed - Open Loop (Pressure Controller in Manual Mode – PID/VSD), and Discharge manual valve throttled to feed the API West Plant Chilled Glycol loads.

Action Taken:

The Cold Glycol Pumps (P-23671 A,B,C) Discharge manual valves were fully opened. The VSD speed of 2 Pumps was reduced by 20 %. The DCS Pressure Controller - Closed Loop Control was enabled to Automatic for Cold Glycol Pumps. Monitoring was done for a period of one month with no abnormalities.

Optimization Saving : MWH perYear

Total 385.3

Title Optimization of  Chilled Water system at API West Installation of New Chiller 1500RT, and Performance Maintenance of Existing Absorption chiller to improve efficiency 

The way to save more energy :

Previous Situation :Previously Centrifugal Water Chiller B or C are operated along with Absorption Chiller A or B. The Absorption Water Chiller A &B were not delivering the design Cooling RT due to the limitation of cooling water supply.

Implementation Strategy :Installation and commissioning of New 1500RT Chiller and the existing chillers B &C were stopped. The New Chiller is operational together with Absorption Chiller A&B. The performance maintenance of Absorption Chillers are increased by improving the solution cycle to maximize the heat recovery. 1500RT chiller is the solid backup of site cooling load demand.

Costing & Deliverables of the Project:Savings per day = 39 MWHYearly savings = 14,235 MWH

Optimization Saving : MWHper Year

Total 14,235

Before: Run Chiller CDaily= 53 MWH/ day

Now: Running 1500RT Chiller Daily= 14 MWhH day

2015Energy Efficiency Plan

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2015 New ProjectsProject Title Savings in MWHAPI West 6.6KV Cooling water Pumps energy optimization (6 nos) 1,652API West 6.6KV Chilled water & glycol primary Pumps energy optimization (6 nos) 1,652API West VFD for LV 415V Pumps in process water, softwater & potable water system (10 Nos.) 441API West Rain water horvesting to use for cooling tower 0Cooling water pulse type treatment to reduce chemical usage 0Install packaged dryer for FTIR instrument to optimize the dryers operation (2 to 1 Dryer) 110API West Install VFD for MPP-1 AHU 83200 165Warehouse High Bay 102 AHU optimization 165Warehouse AHU 8530 Energy recovery through Thermo-wheel 220API West AHU's Energy recovery through Thermo-wheel for the full fresh air system 661API West buildings staircase, exterior & walkway lighting optimization 441API West Tank farm area ligting optimization 661MPP-1 Phase-2 ACPH Reduction/ optimization 441Biotech & Tablet buildings staircase, exterior & walkway lighting optimization 441Biotech Air dryer energy optimization 165DPI Building exterior lighting optimization 55Solar Thermal water heater for DPI plant 219Pharm West - Install VFD for 3rd chilled water pump and loop optimization 330Pharm West DHU's optimization 441Decommissioned Packaging area AHU's optimization 220Pharm West Chiller optimzation (2 nos. of 750RT running currently) 2,092Janumet & new warehouse Halogen lighting optimization 441Energy optimization - AHU's high efficiency Filter 110API West Potable water generation through Desalination/ waste water 0Improve Trigen efficiency through Pre-Air cool system implementation 8,410Pharm South Energy optimization projects 735Total 20,267

Energy Efficiency Awareness

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Energy Efficiency Awareness

Energy Monthly Awareness

Bimonthly Newsletter

Energy Handbook

Energy Weekly Walk down

Energy COP Meeting

Energy Awards

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Thank you !