TURI Conference

November 2016

• Cheryl Eakle Senior Engineer

KPPC is a state-mandated technical service center and Kentucky’s primary resource to help businesses, industries and other organizations develop environmentally sustainable, cost-saving solutions for improved efficiency. KPPC is based at the University of Louisville J.B. Speed School of Engineering, and provides technical information and assistance that is free, confidential and non-regulatory.

Who is KPPC – Kentucky Pollution Prevention Center

• Utility Bills – Analysis & Energy Balance – Training

• Energy Savings Opportunities –Recommendations –Awareness

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Assessments and Training

Understanding Utility Bills

November 2016

• Overview (why bother)

• Natural Gas – Utility – 3rd Party Purchasing

• Electricity – Rates & Types of Charges – Example Bills

• Questions (any time)

Understanding Energy Bills

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• Who pays the bills? • Can’t manage it if you don’t measure it!

• Develop an energy management program

– Up-to-date records of cost and use – A separate record for each type of energy (i.e. natural gas, electric, propane, etc.)

Why You Should Understand Your Energy Bills

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Natural Gas

• Energy Units – Natural Gas Service – CCF – One hundred cubic feet – MCF – One thousand cubic feet – MMBtu – million British thermal units (10 ccf per MMBtu) – Dth – dekatherm (~10 ccf = 1 dth)

• Purchasing Options – Third Party Purchasing – Utility Service

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Natural Gas Purchasing

• Agreement with NG wholesaler • Units are typically MMBtu or Dth • Price determined by market • Forecast use

- Underestimate → buy additional NG at market price - Overestimate → Vendor buys back gas (usually at

lower price) • May need to pay transport fee to local NG utility

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Natural Gas Third Party

• NG Charges typically have two metered components: - Supply/Purchase Adjustment – The cost to purchase

natural gas from wholesalers - Distribution/Transportation – The cost to deliver

natural gas to the customer • Miscellaneous fees and taxes • Typically in CCF or MCF

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Natural Gas Utility Service

Natural Gas Questions?

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Electricity

Utility companies classify electric service according to rate types

• Residential • Commercial

− General Service − Power Service − Time-of-Day

• Industrial − Power Service − Time-of-Day

Billing and Rate Structure--Tariff

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• kW = unit used to measure

electrical demand (power)

• kWh = unit used to measure electrical energy (use) 1 kWh = 1,000 Watts of power used for 1 hour

Energy Units – Electric Service-

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• Customer Charge • Distribution Charge (delivery to facility)

– On Peak (kWh) – Off Peak (kWh)

• Transition Charge

• Transmission Charge (generator to

distributor)

Distribution Electric Service Charges

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Other Electric Service Charges

• Energy Efficiency Charge

• Renewable Energy Charge

• Distribution Demand Charge

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Energy Units – Electricity Analogy

Electrical Charges typically have two metered components:

Demand (Power)

Consumption (Energy)

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• Demand is measured in 15-minute increments

• Demand charge will be the peak demand for billing period

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Demand Measurement

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National Grid Bill—Page 1

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National Grid Bill—Page 2

Highest demand in kW during the peak period OR 90% of the highest demand in kVA during the

peak period

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National Grid Demand Charges

Electricity Questions?

Understanding Energy Bills

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Major Energy Saving Opportunities

November 2016

• Implement an Energy Management Program and Energy Team (1-3%)

• Lighting Upgrades

• Compressed Air

Major Opportunities

No Cost Incidental activities No purchase required Minimal labor Low Cost Purchases within existing O&M budget Some dedicated labor needed Capital Cost Sometimes it takes money to make money

Implementation Considerations

• Institute a written energy policy

• Form an Energy Team − Plant Manager − Production Supervisor/Operations Manager − Hourly Personnel − EHS Representative − Accounting Representative − Utility Representative

Implement and Energy Management Program

7-Step Process for E2 Management Program MANAGEMENT TECHNICAL

SET GOALS

ACTION PLAN

IMPLEMENT PLAN

EVALUATE PROGRESS

MONITOR & MEASURE

DEVELOP BASELINE

for Energy Use & Costs

E2 OPPORTUNITY ASSESSMENTS RECOGNIZE

ACHIEVEMENTS

COMMITMENT TO CONTINUAL

IMPROVEMENT

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• Top Management Support

• Empowerment

• Baseline and Measurement

Keys to a Successful Energy Team

Lighting Upgrades

Courtesy of Cox Interiors Campbellsville, KY

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Metal Halide

LED

≥ 50% energy savings 10-20% increased light levels Increased life expectancy, reduced maintenance Reduced HVAC costs Most are dimmable

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LED Lighting

Replace incandescent and CFL lighting with LEDs

Replace or convert exit signs to LED

Other Lighting Opportunities

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Metal Halide vs LED

Metal Halide LED Fixtures 40 40 Fixture Power 458 Watt 120 Watt Total Power 18.32 kW 4.8 kW Annual Energy Use 109,800 kWh 28,800 kWh

Cost @ $0.10/kWh $12,078 $3,168 Annual Savings $8,900 Payback on $245/fixture ($9800)

1.09 Years

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81,000 kWh saved results in 248 metric tons of CO2 reduced

T-8 Fluorescent vs LED

T8 LED Fixtures 100 100 Fixture Power 86 Watt 40 Watt Total Power 8.6 kW 4.0 kW Annual Energy Use 51,600kWh 24,000 kWh

Cost @ $0.10/kWh $5,676 $2,640 Annual Savings/shift $3,036 Payback on $20/lamp Installation

8 months

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9,200 kWh saved results in 84 metric ton of CO2 reduced

• Other requirements for rebates • Look for guarantee

• Bypass ballast vs “plug-n-play”

• $$-requires some shopping

LED Considerations

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Other Lighting Opportunities—Occupancy Sensors

Type of Room Energy Savings

Private Office 13-50%

Open-plan Office 20-28%

Classroom 40-46%

Conference Room 22-65%

Restroom 30-90%

Corridors 30-80%

Storage Area 45-80% US DOE

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Kentucky’s Resource Center for Environmental Sustainability

Lighting Questions?

It’s not free! 4th Utility (electric, natural gas, water, air)

Often the most expensive

Compressed Air

Compressed Air Work vs Electric Work

• Compressed air: not the most efficient source

of energy in your plant

• To operate 1 hp air motor, you need 7-8

horsepower of electrical power into the compressor

Annual Energy cost for 1 hp air motor vs 1 hp electric motor at $0.07/kWh

5 days/week 2 shifts/day

Compressed Air Work vs Electrical Work

Where does the compressed air go?

Compressed Air Leaks

• Pipe joints/valves/fittings • Point-of-Use devices • Hoses & couplings • Quick disconnects • Condensate drains • Regulators • Tubing

Compressed Air Leak Rates

Compressed Air Leak Costs ($0.07/kWh)

At $0.07/kWh and 110 psi • Too small to be heard or felt $140

• Too small to hear $560

• Audible leak $980

Annual Cost of Air Leaks

• Audible (large leaks) • Liquid Solution

Finding Compressed Air Leaks

• Implement a PM system – Log/track leaks and repairs – Inspect hoses/tools

• Reduce leak rate to ≤ 10% • Use zero-loss drains

Managing Air Leaks

Inappropriate Use of Compressed Air

What is the worst “offender” for an inappropriate use of compressed air?

Inappropriate Use of Compressed Air

Inappropriate Use of Compressed Air

Alternatives to Compressed Air

Compressed Air Use Alternative Clean-up, Drying, Process Cooling

Low Pressure Blowers, Electric Fans, Brooms

Sparging Low/Medium Pressure Blowers Aspirating, Atomizing

Padding Transferring Material Pumps Vacuum Generation Vacuum Pump

Air-Operated Diaphragm Pumps Electric Pumps

Idle Equipment Positive Shut-off Valve Abandoned Equipment Disconnect Air Supply

Excessive System Pressure

Reduction of set point by 2 psig reduces electric consumption 1%

Reduction of set point from 100 psi to 90 psi 10 psi reduction in set point = 5% reduction in

energy consumption Use 43,200 kWh/year less electricity and save

$3,024

Excessive System Pressure

• Reduce leak rate to 10% • Eliminate inappropriate use • Reduce pressure set point

– For high pressure user--booster or dedicated compressor

– For high volume intermittent user—additional storage

Summary

• DOE Webinars/Training – www.doe.gov – http://www.compressedairchallenge.org/ – http://kppc.org/resource-library/kppc-video-

channel/

• AEE (Association of Energy Engineers) – www.aeecenter.org

Compressed Air Resources & Training

Compressed air questions?

Energy Savings Opportunities

November 2016

• Cheryl Eakle, CEM Senior Engineer

• cheryl.eakle@louisville.edu • 502-852-3485

• www.kppc.org