ZAM ENERGY WORKSHOP:

ENERGY AUDIT FINDINGS

PRESENTED BY READLAY MAKALIKI

Date: 03 June 2015

PRESENTATION OUTLINE

Introduction

Definitions

Why Energy Efficiency

Companies Audited

Audit Findings

Recommendations

Way Forward

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INTRODUCTION

Zambia’s economy growing very favorably (6.5% :2011)

Industrial & Commercial sector consumes about 20% of the total

electricity in Zambia (49% Mining)

Electricity demand strongly correlated to economic growth

Electricity is a key driver of economic growth as it is a major input in

all major social and economic sectors; domestic, agriculture, mining,

manufacturing, and tourism

Manufacturing as a potential economic activity for the country heavily

depends on electricity

Recently generation challenges due to low water levels

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INTRODUCTION

The Zambia Association of Manufacturers (ZAM) is keen to implementmeasures that will help the Zambian local industry to conserve andutilize energy more efficiently.

Supported by the Embassy of Finland in Zambia through the Funds forLocal Cooperation (FLC), the Project aims to

a) Promote the conservation and efficient utilization of energy forproduction in the manufacturing sector thereby contributing to costsaving and environmental sustainability.

b) Assess energy utilisation and management practices & determine thelevel of energy efficiency, wastage and implications oncompetitiveness

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INTRODUCTION

c) To assess the current energy technologies being used and recommend better (efficient, environmentally friendly) technologies

d) Build ZAM secretariat’s capacity to survey and provide energy management consultancy

e) Provide actionable recommendations for replication in other sectors

f) Assist firms comply with the newly set power factor target (0.92)

Under this programme ZESCO carried out energy audits for someCopperbelt based ZAM affiliate companies

This presentation reports on the findings of these audits.

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DEFINITIONS

Energy Efficiency

Ratio or other quantitative relationship between an output ofperformance, service, goods or energy and an input of energy

Energy Audit

Verification, monitoring and analysis of use of energy includingsubmission of technical report with recommendations for improvingenergy efficiency with cost benefit analysis

Energy Management System

Set of interrelated or interacting elements to establish an energy policyand energy objectives, and processes and procedures to achieve thoseobjectives

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Dwindling energy resources especially fossil fuels

Concerns about environment and climate change

IEA has coined Energy Efficiency as the “Hidden Fuel”

Article 5.9, Energy Management, in the Energy Policyof 2008 seeks to promote efficient use of energyresources in all sectors of the economy

Government incentives through SIs that waive duty onenergy efficient products and equipment

Legislation – Zambian Grid Code

Hence need to manage energy

WHY ENERGY EFFICIENCY

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COMPANIES AUDITED

23 Companies available for audit but the following have beendone between February & March on the Copperbelt

NAME LOCATION PRODUCT TYPEANNUAL ENERGY CONSUMPTION

(GWh)

ANNUAL ENERGYCOST

(ZMW)

SCAW KITWE STEEL BALLS &CASTINGS

23.98 8,847,320.27

ZAMEFA LUANSHYA COPPER & ALLUMINIUM CABLES

21.5 5,176,584.55

NONFERROUS NDOLA STEEL CASTINGS 0.416 217,121.56

MATALLOY LUANSHYA FERROSILICON 17.8 4,593,027.63

SKF KITWE STEEL FABRICATION 0.144 44, 794

ART NDOLA STEEL WIRES 0.198 74,173

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No formal energy management system exists

No awareness of energy management among employees

Poor maintenance regimes-multiple system leakages in waterand air

Office lighting and air conditioners observed on even whenoccupants not present

Use of non energy saving lights and no automatic switchingmechanism for external lights

Power factor okay during normal operations (0.98) whenrunning capacitive loads but low during maintenance (0.4)from Friday to Sunday during offloading and loading

AUDIT FINDINGS - X

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High harmonics (9.4%) observed above the 8 % internationalthreshold

Furnaces, consuming 80% of total energy are run openwithout hoods. This reduces efficiency as most energy is lostin form of heat

Non essential units like pumps continue to run even duringnon productive hours e.g maintenance

There is no process flow studies to ascertain energyinputs/production outputs. Thus opportunities to de-rateequipment or eliminate extra capacity units are missed.

AUDIT FINDINGS - X

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Use of transparent roofing of factory observed to allow naturallighting

All 15 tonnes cranes have VSDs incorporated, thus ensuringoptimal use of energy.

There is willingness from top management to support thesystem

AUDIT FINDINGS - X

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Transparent roofing observed on the entire factory

Power factor of 0.94, power factor correction equipment withfilters installed

Apparent power observed to be almost equal to the actualpower, thus this system is efficiently run

Automated switches for external lights are functional thuseliminating manual intervention

There is willingness from top management to support thesystem

Observed installed non-energy efficient lighting

AUDIT FINDINGS - Y

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ART, SKF and Non-Ferrous Metals

Power factor too low 0.3

Actual consumption too low compared to declareddemand

No energy efficient lighting

No automated switches for external lights

There is lack of appreciation of the energy costs bytop management

Inadequate diagnostic equipment for artisans

AUDIT FINDINGS - OTHERS

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POWER FACTOR PROFILES

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TRANSPARENT ROOFING

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PIPE & PUMP LEAKAGES

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SECURITY LIGHT - DAYTIME

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CHALLANGES

During the exercise, the following challenges were enountered:

Time of audit was too short and could not provide data representative enough to make recommendations

90% of clients audited could not complete questionnaires and looked reluctant to provide some company data on grounds of mistrusts

Power quality tools were not enough as hey had to be rotated between the various clients

Companies lack updated equipment inventory

Low tariff affects pay back period

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RECOMMENDATIONS

The following are some of the recommendations that should set a basis for review in the future audits to be conducted

All companies audited need to form functional energy audit teams with clear goals embedded in the company policy

Training of personnel thus providing awareness on energy management initiatives and providing of incentives to deserving employees

Phase out non energy efficient lights by replacing them with CFLs , LEDs

Installation of automated switching devices such as sensors in offices and photocells for external lights

Invest in power factor correction equipment with filters

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RECOMMENDATIONS

All furnaces must be run with the hoods on top to reduce loss of heat by convection

During non productive hours, non essential equipment must be switched off

There is need ensure thorough maintenance by eliminating all leaks on pumps, pipes etc. for both water and compressed air

Invest in power quality equipment and training Use of transparent roofing sheets in factories and

warehouses, so as to avoid using electric lights during day time. (Industrial, Commercial)

Review systems to ascertain areas of opportunity for savings

Sensitize employees on costs particularly energy costs.

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WAY FORWARD

Follow up audits on copperbelt firms

Persuade industries to invest in energy efficiency

Intensify planned annual or half yearly audits to

review implementation

Hold Energy Efficiency sensitization workshops with

stakeholders and ZAM

Sensitization on low power factor surcharge

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END - THANK YOU

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