Suggested Projects Phase I – Quick Wins Water Heater Schedule (1.1% gas saved) Valve Insulation (0.3% gas saved) Phase II – Capital Investments Phase III – Awareness Overview Core ConflictTensionTurning PointResolution
Suggested Projects Phase I – Quick Wins Phase II – Capital Investment Replace 40 year old boilers with the high efficiency heaters Temperature equalization Incoming Air Temperature Controls Process Pump Automation Phase III – Awareness Overview Core ConflictTensionTurning PointResolution
Suggested Projects Phase I – Quick Wins Phase II – Capital Investments Phase III – Awareness Share Wins on Local and National Level Inspire a Proactive Efficiency $92,000/year savings Overview Core ConflictTensionTurning PointResolution
Scalable Approach to Natural Gas Efficiency Natural Gas Nationwide Program Tool to help individual plants accomplish natural gas efficiency goals. Find Plant Energy Inefficiencies Automate Fixes Maintain Equipment Track Daily Gas Usage Identify Plant Inefficiencies Overview Core ConflictTensionTurning PointResolution
Agenda Natural Gas Conservation Initiative Overview Potential Issues Decisions Suggested Solutions Phase I – Quick Wins Phase II – Capital Investments Phase III – National Execution Conclusions
Set Goals Keep Score Win!!! Overview Core ConflictTensionTurning PointResolution QUICK WINSCost% Gas SavedPayback Water Heater Schedule$3681.1%2 months Valve Insulation$2,0010.3%2.8 years CAPITAL INVESTMENTS Cost% Gas SavedPayback Direct Flo Heaters (4)$308,92019%4.0 years Air Equalizer$70,89016%2.6 years Incoming Air Temp. Control$13,6798.9%1 year
Q & A APPENDIX SLIDES Boilers Thermal Equalizers Heat Controls Nationwide Implementation Nationwide Implementation Makeup Air Quick Wins
What is the Current System? Overview Core ConflictTensionTurning PointResolution Runs on 4 legacy (1970s) units and one backup unit 10 non-controlled 1,000 GPM pumps Building Heat Private firm estimates 80% unit efficiency But oxygen levels of up to 50% Boiler Efficiency Debatable Estimated 60% Delta T of 9.3 ºF Must avoid system shocks that would destroy older boiler units System Efficiency How can this be improved?
What Are the Options? Overview Core ConflictTensionTurning PointResolution How do the systems compare?
How Can the System be Improved? Overview Core ConflictTensionTurning PointResolution What are the savings and costs of each option? Annual Savings: Bill Savings: $43,409 annually Avoidance: $34,000 annually Carbon Dioxide: 1,646,166 lbs
What are the Annual Savings? Overview Core ConflictTensionTurning PointResolution How do the benefits of each system relate to total costs? As gas prices trend up, the highest benefits are captured through implementing heater units
What are the Aggregate Costs?? Overview Core ConflictTensionTurning PointResolution Given the costs and benefits, what will the annual expenditure schedules look like? As savings accumulate, the long-term cost differentials reach over $500,000
How do Annual Expenditures Compare? Overview Core ConflictTensionTurning PointResolution Basic cost structure aside, what are the benefits of direct heating units?
What Benefits Does the Direct Flo System Provide? Overview Core ConflictTensionTurning PointResolution What different scenarios should you be prepared for?
Financial Measurements Overview Core ConflictTensionTurning PointResolution Total Capital Outlay$380,920 Annual Savings$43,409 4-Months Operational $33,592 6-Months Operational $41,415 8-Months Operational $55,220 Payback Period (adjusted for tax & dep.)4 years Gas Savings per Year7,206.03-11,845.53 MMBtu Annual Carbon Dioxide Emissions Savings842,889.47-1,385,571.73 lbs NPV Worst Case$159,013 Base Case$189,624 Best Case$209,209 Return
Heat Regulation: What is the current system? Overview Core ConflictTensionTurning PointResolution 2 Boilers supply hot water to entire plant for radiant heat 7 Process Pumps distribute this water throughout the plant Building Heat Turned on/off manually on computer Only 2 pumps necessary for days over 45 º Currently turned off manually Control of Process Pumps Process sumps are already controlled remotely by the building temperature maintenace software Simple programming needs to be done to coordinate shutoff with warm days Software in Place How can this be improved?
Automating the Process Pumps Overview Core ConflictTensionTurning PointResolution Total Capital Outlay$640 Annual Savings$4,758 Payback Period49 days Gas Savings per Year916 MMBtu Return Maintain Current Process Leave all pumps running on warm days Spend $81 daily on overheating of building Keep current heat levels Automate Pump On/Off Building heating reduced automatically Small install costs incurred 1.5 month payback
Nationwide Gas Savings Checklist Track daily gas usage! Use building temperature controls to eliminate unnecessary equipment usage Maintain Boilers Perform visual inspection of steam distribution Evaluate building heat distribution Overview Core ConflictTensionTurning PointResolution Is exchanged air being heated on hot days? Are process pumps creating excessive demand ? How near replacement are they? Replace old boilers with Flo heaters? Are all valves and pipes insulated? Is heat being wasted at the ceiling? Q+A
Two-thirds of natural gas use goes toward heating the building The temperature difference between ceiling and floor is estimated to be 10.8 degrees The Air Pear reduces heating and cooling costs by equalizing air temperature throughout the room Air Pear
Because Heat Rises Air Pear Stratifies the air by forcing a column of hot air from the ceiling to the cooler air below As the warm air is pushed to the floor, the Air Pear draws in the surrounding colder air and begins to rise again, creating a torus This action warms the cooler air, increasing the temperature of the room
Utilizing Air Stratification Overview Core ConflictTensionTurning PointResolution Total Capital Outlay for Both Areas$70,492 Annual Savings$36,255 Payback Period2.6 years Gas Savings per Year7111 MMBtu Return Production Facility 151,705 Square Feet 31 fans $10,847 savings Warehouse 355,436 Square Feet 71 fans $25,408 savings
Makeup Air System Controls Previous settings were wasteful New goal: Heat turns on when temp falls below 45º Daily Savings: $323.32/day (temp. above 45º) 2009 Potential Savings: $19,422.90 Total gas savings: 8.9% Total Capital Outlay$13,679.04 (1-Time Cost) Annual Savings$19,422.90 Payback Period246 days Gas Savings per Year4494.36 MMBtu Q&A
Quick Wins: Water Heater Schedule Overview Core ConflictTensionTurning PointResolution Return Current Process: Hot water heated to 134 F 7 days / week 24 hrs / day Recommended Process: Program cycles based on temperature of hot water OFF at 134 F ON at 100 F Savings occur at off-peak hours 1.1% gas savings ~ $2,190 per year ~ 2 month payback period
Quick Wins: Valve Insulation Overview Core ConflictTensionTurning PointResolution Return Current Process: Uninsulated necks of valves Loosing 4% radiant heat Recommended Process: ISO covers for 9 uninsulated valve necks Corrosion prevention Easier maintenance 0.3% gas savings ~ $704 per year ~ 2.8-year payback period