1. This document was specifically prepared to aid Tech Resources’ clients that wish to inform their customers about available energy management solution options that these customers may wish to consider. Any other use of this material (in whole or in part) is not allowed without the expressed written consent of Tech Resources, Inc., 2025 Riverside Drive, Columbus, OH 43221. © 2009 Tech Resources, Inc. Energy Management Opportunities Reduce Energy Intensity and Carbon Emissions by Changing the Way You Use Energy

2. © 2009 Tech Resources, Inc.2 Energy Management  Mike Carter  Mark Farrell

3. © 2009 Tech Resources, Inc.3 Energy Management Benefits  Bottom line cost savings today! Energy Maintenance  Reduced noise levels  Better indoor air quality  Reduced air emissions

4. © 2009 Tech Resources, Inc.4 Energy Management Opportunities  Basics  Energy Management  Insulation  HVAC  Lighting  Heating Systems  Motors  Transformers  Compressed Air

5. © 2009 Tech Resources, Inc.5  Power versus Energy Kilowatt (kW) is a measure of power, like the speedometer of your car that records the rate at which miles are traveled.  A bigger engine is required to travel at a faster rate.  Peak power demand is usually measured as an average over a 15-minute period. –Spikes and surges from motor startup and other short-term anomalies have little influence on peak demand. Kilowatt-hour (kWh) is a measure of energy/load consumption—similar to the odometer on your car which measures miles traveled. Energy Efficiency Basics

6. © 2009 Tech Resources, Inc.6 Energy Efficiency Basics  Power versus Energy (cont’d) Energy Cost = Energy Consumption x Unit Cost = kWh x $/kWh  A 113-Watt four-lamp light fixture costs about $66 annually when operating 16 hr/day (113 W x 5,840 hr x $0.10/kWh ÷ 1,000 W/kW) Motor power (kW) = Horsepower x 0.746/efficiency Motor power  A 10 HP motor = 10 HP x 0.746/0.90 = 8.3 kW  A 10 HP motor costs about $4,850 annually (8.3 kW x 5,840 hr x $0.10/kWh) when operating 16 hr/day Pay the price for improved energy efficiency!  The operating cost over the lifetime of a motor or light fixture can far exceed the original purchase price.

7. © 2009 Tech Resources, Inc.7 Energy Basics  Load Factor Ratio of average load over peak load LF = kW Avg /kW P = kWh/hrs  kW P  Assume 30-day billing (30 x 24 hrs = 720 hrs)  10,000 kWh load  21 kW peak  LF = 10,000/720  21 kW  LF = 66%

8. © 2009 Tech Resources, Inc.8 Energy Basics  Peak Demand CurtailmentDemand Curtailment Separate loads into three categories:  Life, health, and safety-driven  Mission critical  Non-critical Start by considering curtailment of non-critical loads  Non-safety lighting  HVAC Consider installing sub-metering to identify high intensity loads

9. © 2009 Tech Resources, Inc.9 Energy Basics  Power Factor Real/active power (kW) does real work Reactive power (kVAR) bound up in magnetic fields Apparent power (kVA) must be supplied by utility to accommodate reactive component PF = kW/kVA kVA 2 = kW 2 + kVAR 2 (kVA)² = (kW)² + (kVAR)² = (75)² + (75)² = 11,250 Apparent Power =  11,250 = 106 kVA Then: Power Factor = kW/kVA = 75/106 = 70.8%

10. © 2009 Tech Resources, Inc.10 Energy Basics  Power Factor Add capacitance to correct power factor Does not change demand (kW) or save much energy (kWh)

11. © 2009 Tech Resources, Inc.11 Energy Basics  Carbon Footprint Metric tons (2,205 lbs or 19,550 ft 3 ) of CO2  Natural Gas - 12 lbs CO2/ccf  Electricity - 0.95 lbs CO2/kWh  Carbon = CO2  3.67 (100 tons CO2 = 27 tons C) –Pine trees can absorb roughly 1 metric ton of carbon per acre per year Direct emissions from company-owned stacks Indirect emissions from travel

12. © 2009 Tech Resources, Inc.12 Corporate Energy Management  Key Components of Energy Management Commitment by upper level management Clearly stated goals on energy efficiency, waste reduction, and sustainability Delegation of responsibility and accountability to the appropriate personnel Sustained tracking and assessment of energy use and technology application Continuous investigation of potential energy reduction projects

13. © 2009 Tech Resources, Inc.13 Corporate Energy Management  Energy Information Systems Measure and Evaluate  Knowledge is power –“If you can't measure it, you can't manage it!"  Access to real-time energy consumption/demand and cost data across multiple plants and facilities Plan  Benchmark –Against yourself –Against similar facilities  Prioritize solutions Implement

14. © 2009 Tech Resources, Inc.14 Insulation  Insulation has diminishing returns R-value is resistance to heat flow (additive)  R-7 + R-21 = R-28 (4 times R-7, and 75% better than R-7)  R-7 + R-49 = R-56 (8 times R-7, but only 12% better than R-28!) U-value is conductance of heat; inverse of R-value  U(R-7) = 1/7 = 0.143  U(R-21) = 1/21 = 0.048  U(R-56) = 1/56 = 0.018 (87% less than R-7)  U(R-28) = 1/28 = 0.036 (75% less than R-7)

15. © 2009 Tech Resources, Inc.15 Insulation TypeR-value per inch Fiberglass2.2-3.1 Vermiculite/perlite2.4-2.8 Polystyrene4.0-5.0 Polyurethane6.0 Polyisocyanurate6.0-7.1  Insulate steam pipes with at least ½" insulation Insulate steam pipes For a 350°F process steam pipe, savings are $5,000 for 2" dia. and $10,000 for 4" dia. pipe Diminishing returns for insulation thickness > ½"

16. © 2009 Tech Resources, Inc.16 HVAC ImplementationLoad (kWh)Peak (kW) Temperature Setback Economizers Heat/Energy Recovery Ventilators/Wheels Chiller Water Temperature New HVAC Equipment Geothermal Heat Pump Air Doors/Curtains

17. © 2009 Tech Resources, Inc.17 HVAC  Temperature Setback/Setforward Save 3% per °F per 24 hrs 72°F  68°F (  4°F) for 12 hrs saves 6%  Economizers Bring in Cool Outside Air Typical 2 to 5 year payback for economizerseconomizers Most appropriate for large systems (>5 tons in West and >11 tons in Midwest) Not very effective in high humidity climates

18. © 2009 Tech Resources, Inc.18 HVAC  Heat Recovery Ventilators Can recover about 60% to 70% of heat in exiting air A solution to ASHRAE 62 IAQ requirements Photo source: George Retseck Illustrations

19. © 2009 Tech Resources, Inc.19 HVAC  Energy/Enthalpy/Desiccant Wheels In mild climates, the cost of the additional electricity consumed by the system fans and drum motor may exceed the energy savings from not having to condition the supply air. Can recover about 70% to 80% of the energy in the exiting air and deliver that energy to the incoming air.  Desiccant wheels are most cost effective in climates with extreme winters or summers, and where fuel costs are high. Desiccant wheels

20. © 2009 Tech Resources, Inc.20 HVAC  Narrow Your Chiller Water Temperature Set Points Typical conditions are chilled water temperature of 42°F and condensing water temperature of 80°F to 85°F.chilled water temperature  2% savings per °F that chilled water temperature is raised  5°F to 10°F increase is possible; more may cause damage and reduce cooling capacity (ton rating) Efficiency benefits from lowering condensing water temperature are offset by increased fan and pump operation, along with reduced cooling capacity.  Variable Frequency Drives (VFDs) and oversizing the cooling tower can help  The larger the system, the greater the net energy savings

21. © 2009 Tech Resources, Inc.21 HVAC  Upgrade Older HVAC (10 to 15 years) Chillers: 0.8 kW/ton  0.5 kW/ton (37% less!) Unitary rooftop: 1.5 kW/ton  1.2 kW/ton (20% less!)  Geothermal or Water-Source Heat Pump Roughly 30% savings compared to AC/Boiler or AC/Furnace combination Geothermal requires higher capital investment and requires significant amounts of real estate Geothermal  New construction accommodates verticals and pond loop

22. © 2009 Tech Resources, Inc.22 HVAC  Use Air Doors/Curtains Use Air Doors/Curtains A door 14 feet wide and 11feet high, indoor temperature of 70°F, outdoor temperature of 20°F, zero wind velocity, loses 600,000 Btu/h at a cost of roughly $7 per hour Any wind at all triples the loss! Air door recovers 75% of heat loss 1 to 2 year payback possible ($3,500 cap. + $100 op.) Exhaust fans (negative pressure) and wind tunnel effect are problems

23. © 2009 Tech Resources, Inc.23 Lighting ImplementationLoad (kWh) Peak (kW) Replace T12 with T8 or T5 Replace Metal Halide with T8 or T5HO Replace Incandescent with CFL

24. © 2009 Tech Resources, Inc.24 Lighting  Replace existing T12 fluorescent lamps with T8 fluorescent lamps (up to 30% savings).  No magnetic ballasts for new installations sold or manufactured after March 2005.  More stringent magnetic ballast performance requirements after July 2009.  No magnetic ballasts manufactured for replacement after June 2010. Four-lamp T12 versus T8 Fixtures Lamp TypeFixture Watts Fixture Lumens LPW F32T121489,12062 F32T811310,60094

25. © 2009 Tech Resources, Inc.25 Lighting  Super T8 lamps, with high-efficiency ballasts, are high lumen (>3,000 versus 2,850 std.) and extended life (>24,000 versus 20,000 hrs std.) products. Super T8 lamps  Only saves energy when combined with a lower ballast factor ballast.  Group relamping recommended at 60% to 80% of rated life. Every 2 to 3 years for 20,000 hour fluorescents Can be 30% to 40% cheaper to group relamp due to labor savings TypeInitial Lumens Initial Watts Ballast Factor Fixture Lumens Fixture Watts T82,950330.852,49628 Super T83,200340.782,49626

26. © 2009 Tech Resources, Inc.26 Lighting  Metal Halide (MH) versus Fluorescent for Highbay Metal Halide (MH) versus Fluorescent Probe start (PS) MH with low lumen maintenance (<65%) is best target for replacement  The lumen maintenance of metal halides can decrease to 45% during its lifetime, whereas fluorescents maintain 90% to 95% in optimal conditions. Compare 320 W PS MH with 20,000 EOL lumens and six F32T8 with 18,000 EOL lumens at 220 system watts Lumen output of fluorescents declines with heat/cold  Compact Fluorescent Lighting (CFL) Compact Fluorescent Lighting (CFL) You get the same or more light output (lumens) with a 75% energy reduction and over six times the rated life! Energy savings far outweigh difference in lamp price Use reflector flood CFLs in recessed can lights Issue of mercury content can be addressed

27. © 2009 Tech Resources, Inc.27 Heating Systems ImplementationLoad (Btu)Load (kWh)Peak (kW) Gas Burner Air:Fuel Ratio Modern Gas Burners/Controls Steam Traps Stack Heat Recovery Infrared Booster Heaters Waste Heat Absorption Chillers Industrial Heat Pumps for Drying/Heating Radio Frequency/Microwave Drying/Heating Induction Process Heating

28. © 2009 Tech Resources, Inc.28 Heating Systems  Measuring Boiler Efficiency Fuel-to-steam efficiency is the best efficiency metric Fuel-to-steam efficiency  Boiler output (Btu)/boiler input (Btu)  Accounts for both combustion and thermal efficiency, radiation, and convection losses Efficiency mainly influenced by boiler design  Number of passes more important than add-on (turbulator)  Burner/boiler compatibility (accounts for geometry, heat transfer, and so on)  Burner controls (independent control of fuel and air is best)  Heating surface (square feet/boiler HP;  5 ft 2 /HP is desired) Other factors  Flue gas temperature directly correlates with efficiency  Fuel hydrogen/carbon ratio (fuel oil > natural gas)  Excess air (10% to 12%)  Ambient temperature (every 40°F ~ 1% efficiency change)

29. © 2009 Tech Resources, Inc.29 Heating Systems  Proper Boiler Air:Fuel RatioAir:Fuel Ratio Efficiency improvements  82.8%  85.4% = 2.6%  68.2%  76.0% = 7.8% Combustion Efficiency of Natural Gas Excess %Temp. ° F (Flue-Comb.) AirOxy200 ° F600 ° F 9.52.085.4%76.0% 28.14.084.7%74.0% 81.66.082.8%68.2%

30. © 2009 Tech Resources, Inc.30 Heating Systems  Upgrade to Modern BurnersModern Burners Motor-controlled flue gas recirculation dampers Swirl vanes Turbulence enhancement Premixing chambers Leak-tight modulating air dampers Tangential diluent injection Rotating concentric blade air registers Fuel atomizers Venturi tube air registers Tapered burner tiles with baffles

31. © 2009 Tech Resources, Inc.31 Heating Systems  Use Electronic Burner Controls (typical savings)Electronic Burner Controls Linkless burners have no backlash (1%) Increased turndown (5%)  Burner on/off cycles and their associated cold air purges also will be reduced A second PID control (10%)  Some electronic fuel:air ratio controls have two internal proportional–integral–derivative (PID) modulation circuits.  If a plant does not run continuously then this second PID control’s setpoint can be used to switch the boiler to a lower steam pressure or hot water temperature during periods of reduced activity. Adaptive oxygen trim (2% to 3%)  Large boilers only (>$100,000 fuel per year)

32. © 2009 Tech Resources, Inc.32 Heating Systems  Use Electronic Burner Controls (cont’d) Fan speed control  With mechanical cam control and with basic electronic fuel:air ratio controls, processors sacrifice combustion efficiency at low fire to achieve an improvement in burner turn-down.  By adding fan speed control, burner turn-down can be increased without compromising efficiency, and additional fuel savings can be achieved. Boiler sequencing (lead/lag) control and communication software  Boiler sequencing control enables the plant operator to achieve better utilization and additional energy savings are possible.

33. © 2009 Tech Resources, Inc.33 Heating Systems  Fix Broken Steam TrapsSteam Traps One 1/8" diameter stuck-open steam trap orifice on a large boiler can cost $1,000 (15 psig) to $5,000 (140 psig) per year in increased natural gas consumption 1 lb/hr ~ 1,000 Btu/hr  There are Several Ways to Test Steam Traps Plugged traps are cool while operating and leaking traps are hot. Use a non-contact, infrared thermometer. In acoustic testing, an inspector listens for the variances in the acoustic patterns of working or failed traps. The electronic procedure typically involves touching the trap on the downstream side with the instrument’s contact probe and adjusting the sensitivity to better hear the flow.

34. © 2009 Tech Resources, Inc.34 Heating Systems  Stack Heat Recovery Each 40°F reduction in stack temperature results in a 1% improvement in efficiency.  Preheating combustion air  A 200°F air preheat saves 5% Best applications >900°F stack temperature  1,000°F  800°F results in 5% savings Recuperators, regenerators, and heat exchangers  Infrared Booster Heaters Reduces curing times of coatings by 25% to 40% Best in conjunction with convection and for thin simple shapesin conjunction with convection

35. © 2009 Tech Resources, Inc.35 Heating Systems  Absorption Chillers Fueled by waste heat but high capital costs Fueled by waste heat Best for high peak demand charges, CFC or HCFC environmental concerns, waste heat temperature >270°F and >500 tons capacity Yazaki Energy Systems (Plano, TX) and Thermax (Piscataway, NJ) claim to have low temperature (185°F to 203°F) absorption chillers (20 to 30 ton max capacity)

36. © 2009 Tech Resources, Inc.36 Heating Systems  Industrial Heat Pumps Industrial Heat Pumps ProcessKey EnablerApplications Separation Reduced column pressure enables distillation at low temperatures Propane/propylene, butane/butylenes Concentration Low (<50°F) temperature lift results in gentle evaporation cycle Beer, sugar solutions, milk and whey, juice, steep water, syrup and radioactive waste. Drying Upper temperature limit; Slow dry time desired; Continuous operation Lumber and paper Dehumidification High temperature air used for drying; Slow dry time desired Brick, ceramics Space HeatingHigher thermal efficiency than other furnacesShop, warehouse

37. © 2009 Tech Resources, Inc.37 Heating Systems  Radio Frequency/Microwave Radio Frequency/Microwave ProcessKey EnablerApplications Pre-drying Selective heating (water only) to avoid product damage; Speed Fiberglass packaging and mats; Dyed yarn spools; Ceramic fiberboard, powder, and extrusions Post-drying (20%->8%) Low final moisture content; Uniform (small temperature gradient) heating; No surface crust Foods such as cookies, potato chips, and pasta; Dry pet foods; Polyurethane foam TemperingVolumetric heating; Speed Frozen meats; Room temperature bacon; Chocolate Cooking Reduce drip loss (water, fat, nutrients, and flavor) Sausage, bacon Curing Uniform heating; Precise temperature control; Speed Adhesives for wood and laminates

38. © 2009 Tech Resources, Inc.38 Heating Systems  Induction Induction ProcessKey EnablerApplications Metallurgical processing (Hardening, Tempering, Annealing) Selective heating; Speed; In-line continuous process Gear teeth; Cutting blades; Pulleys; Axles; Camshafts; Galvanized sheet Preheating prior to deformation (Forging; Swaging; Upsetting; Bending; and Piercing) Reduced scale formation; Speed Turbine engine blades; Billets; Mill rolling of slabs and strips MeltingSpeed; Flexibility Steel; Iron; Copper alloys; Aluminum; Zinc Brazing and Soldering Localized heating; Precise temperature control and uniformity Dissimilar materials; Carbide tips; Turbine blades; Eyeglass frames

39. © 2009 Tech Resources, Inc.39 Motors and Transformers ImplementationLoad (kWh) Peak (kW) Replace motors Use variable speed drives Right size the motor Disconnect unused transformers

40. © 2009 Tech Resources, Inc.40 Motors  Repair or Replace Motors Repair or Replace Motors Replace motors <40 HP Replace if cost of rewind >65% of new motor Replace motors last rewound before 1980  Variable Speed Drives/Adjustable Speed Drives Variable Speed Drives Best for variable torque loads often found in variable flow applications (pumps, fans, and blowers) and greater than 2,000 hours operation Horsepower varies as the cube of speed/flow Cut speed/flow by 50%, you cut energy consumption by nearly 90%! (0.5 x 0.5 x 0.5 = 0.125) Converts 60 Hz to 120 to 400 Hz in pulse width modulation  Pulse-width modulation most common  Current-source inverter used for 100+ HP motors

41. © 2009 Tech Resources, Inc.41 Motors  Right Size the Motor Motor efficiency plummets at <40% rated load  Premium Efficiency Motors Good motor efficiency varies from about 85% ( 1 HP) to 95% (>75 HP) NEMA Premium Efficiency motors are 1% to 3% basis points more efficient than baseline (EPACT 1992) NEMA Premium Efficiency motors

42. © 2009 Tech Resources, Inc.42 Transformers  Transformer Losses Transformer Losses Remove power from unused transformers  Full load losses (FL)  Heat losses, or I²R losses, in the winding materials  Roughly 5 x NL losses (600 watts on a 50 kVA transformer) High-Efficiency Transformer  Paying a little more upfront ($400 to $4,000) leads to long term savings (>$20,000 for a 1500 kVA transformer)  No load losses (NL)  Caused by the magnetizing current to energize the core  Do not vary according to the loading on the transformer  <0.5% of rating (for example, roughly 125 watts on a 50 kVA transformer)

43. © 2009 Tech Resources, Inc.43 Compressed Air ImplementationLoad (kWh) Peak (kW) Only use when there is no other option Fix leaks Right size Use variable speed compressor motor drives Implement heat recovery Use two-stage, lubricated or centrifugal

44. © 2009 Tech Resources, Inc.44 Compressed Air  Compressed Air energy cost for 6,000 hrs at $0.10/kWh = $125/CFM Compressed Air At 4 CFM/HP, a 250 HP compressor costs about $125,000 annually  Only use compressed air when it is absolutely necessary! If possible, switch to motors, mechanical actuators, and other means to accomplish the same function  Leaks often account for 20% to 30% of compressor output A 1/32" leak in a 90 psi compressed air system would cost approximately $185 annually

45. © 2009 Tech Resources, Inc.45 Compressed Air  Compressors operate at highest efficiency at full load or off Optimum controls results in big savings For example, at 50% full-load flow, kW input varies from 51% to 83%. Percent kW Input at Operating Capacity for Lubricant-Injected Rotary Screw % Full- Load Flow Load/No-load (5 gal/cfm) Modulation Variable Displace Variable Speed 90%95%97%92%91% 80%92%95%83%81% 70%85%90%78%71% 60%78%85%68%61% 50%72%83%63%51% 40%63%80%60%42% Source: Improving Compressed Air System Performance: A Sourcebook for Industry, DOE

46. © 2009 Tech Resources, Inc.46 Compressed Air  Variable speed is best applied to compressors that operate primarily as trim units, or as single units with loads below 75% to 80% demand Below 85% loading, variable displacement units become less efficient than variable speed, and are very poor at loads below 50%  Reducing system pressure by 10 psi saves 8% to 10%  Use ¾" diameter hose for >3 HP tools or >50' lengths

47. © 2009 Tech Resources, Inc.47 Compressed Air  Heat Recovery Air-cooled compressors offer recovery efficiencies of 80% to 90%  Ambient atmospheric air is heated by passing it across the system’s aftercooler and lubricant cooler.  As a rule, approximately 50,000 British thermal units per hour (Btuh) of energy is available for each 100 cfm of capacity (at full-load).  Air temperatures of 30°F to 40°F above the cooling air inlet temperature can be obtained.  Space heating or water heating. Water-cooled compressors offer recovery efficiencies of 50% to 60% for space heating only.  Limited to 130°F

48. © 2009 Tech Resources, Inc.48 Compressed Air  Reciprocating air cooled compressor has lowest first cost, but is inefficient  Spend a little more for a two-stage unit and achieve better efficiency  Lubricated compressors are often more efficient than a similar non- lubricated unit, but they contribute oil content to the system and may impact the compressor air quality Air Compressor Efficiency Benchmarks ReciprocalRotary ScrewCentrifugal Air cooled Water cooled Lubricated Non- lube <250 HP UnitsSingle- Stage Two- Stage Single- Stage Two-Stage BHP per 100 CFM 26-322519-2223-2620-2220-2622-27 kW per 100 CFM 22-272116-1819-2217-1817-2218-22

49. © 2009 Tech Resources, Inc.49 Questline  Go to www.questline.com  Provided by: Tech Resources 2025 Riverside Drive Columbus, OH 43221 800-824-0488 mcarter@questline.com  This document was specifically prepared to aid Tech Resources’ clients that wish to inform their customers about available energy efficient options that these customers may wish to consider. Any other use of this material (in whole or in part) is not allowed without the expressed written consent of Tech Resources, Inc., 2025 Riverside Drive, Columbus, OH 43221.

50. © 2009 Tech Resources, Inc.50 What’s Next? If you would like more information about the four strategies to increase cash flow, contact your local Manufacturing Extension Partner. This document was specifically prepared to aid Manufacturing Extension Partnerships and their customers. Any other use of this material (in whole or in part) is not allowed without the expressed written consent of Tech Resources, Inc., 2025 Riverside Drive, Columbus, OH 43221. Arizona Manufacturing Extension Partnership California Manufacturing Technology Consulting Maryland Technology Extension Service Montana Manufacturing Extension Center The Oklahoma Manufacturing Alliance Rhode Island Manufacturing Extension Services South Carolina Manufacturing Extension Partnership Texas Manufacturing Assistance Center University of Tennessee Center for Industrial Services West Virginia Manufacturing Extension Partnership