1. RECP Clubs: resource materials
July 2015
Better Business – Cleaner Environment – Green Economy Resource Efficient and Cleaner Production (RECP) for Small and Medium Businesses
Developed by the United Nations Industrial Development Organization under the Regional RECP Demonstration Programme for Eastern Partnership Countries, with funding support from European Union under EaP GREEN Initiative
EaP GREEN RECP Demonstration Component

2. RECP Clubs: resource materials
July 2015
Today’s Workshop
Assess progress on environmental profile
Why?
You can only manage what you know
What?
Baseline profile of the use of materials, energy and water and generation of waste, effluent and emissions
Next Step
Priority issues to manage
Proceed to energy efficiency
Overview
What ? – Global, national and business concerns
Why ? – Business benefits of energy efficiency
How ? – To build the energy profile and identify energy efficiency options
Discussion and assignment
EaP GREEN RECP Demonstration Component

3. Environmental Profile
Report back
Baseline profile with RECP indicators
Use of materials, water and energy
Generation of waste, emissions and effluents
Business case
What are the five most critical non-product outputs ?
What is the cost of these non-product outputs?
Data gaps?

4. RECP Clubs: resource materials
July 2015
Module 2 – Energy
What?
Why?
How?
EaP GREEN RECP Demonstration Component

5. Energy: a global concern
RECP Clubs: resource materials
July 2015
What ?
Energy: a global concern
Continued rise in primary energy consumption
38% increase since 2000
Energy use causes 69% of global greenhouse gas emissions
Manufacturing and construction responsible for 39% of energy related CO2 emissions
All energy use is associated with other environmental impacts
Depletion of natural resources
Land use
Air and water emissions and waste generation
BP 2015 Statistical Review of World Energy IEA 2014 CO2 emissions from fossil fuel
EaP GREEN RECP Demonstration Component

6. Energy: national challenges
What ?
Energy: national challenges
Sum up national challenges in regard to energy

7. What are business concerns?
Cost to business
Prices of fuel and energy
Unexploited potential for energy efficiency
Risk to business
Lost production due to interrupted energy supply
Volatility in fuel and energy prices, due to market and political factors
Impact on environment
Contribution to climate change, due to emissions of Greenhouse Gas (GHG)
Generation of smoke and other air emissions, slags, etc.

8. Causes CO2 emissions of:
What?
Energy and Climate
Do you know that..
One unit of:
Causes CO2 emissions of:
1 kg light fuel
approx. 3.2 kg
1 kg heavy oil
approx. 3.1 kg
1 m³ natural gas
approx. 1.8 kg

9. Benefits from energy efficiency
Why ?
Benefits from energy efficiency
Direct and indirect savings
Reduce direct
energy cost
Indirect savings:
Reduced maintenance
Longer life of equipment
Less materials including toxic materials
Business security
Reduce dependence on volatile energy price
Improve energy security
New business opportunities
Energy efficient products
Potential for innovation
Better positioning on the market
Social responsibility
Climate change mitigation
Energy efficiency culture
Source Bain&Co

10. Why ?
Business Examples
National examples

11. Challenges to energy efficiency
RECP Clubs: resource materials
July 2015
Why ?
Challenges to energy efficiency
Limited energy awareness
Actual energy use and its associated costs
Impacts of behaviour and process conditions on energy consumption
Lack of energy knowledge
Specific energy knowledge
Lacking benchmarking
Energy saving techniques and practices
Access to technology
High costs of energy efficient technology
EaP GREEN RECP Demonstration Component

12. RECP for Energy Efficiency
What?
Source:
Where is energy used for what purpose?
Cause:
What factors influence these energy uses?
Option:
How to minimize these energy uses?

13. Understanding your energy use
What ?
Understanding your energy use
Source
Main questions:
What types of energy are used?
How much energy is used?
Where is energy used?
Production processes
Utility systems – steam, compressed air, cooling
Buildings
Others

14. Assessing energy consuming processes ...
How?
Assessing energy consuming processes ...
What do we
need
to know?
Source
Energy assessment of production
Process steps
Process flowcharts
Energy inputs
Types of energy
Process conditions
Temperature
Pressure
Batch size
Energy and water intensity
Utilities
Warm water
Steam
Compressed air
Cooling and heating
Process performance
Input /output quantitative data
Performance indicators
Energy losses
Cost

15. Data collection Overview of energy input Overview of energy output
What?
Data collection
Source
Overview of energy input
Types of energy (electricity, fuel, gas, heat, etc.)
Monthly and annual consumption
Overview of energy output
Types of energy flows
Energy lost with energy flows
Cost of lost energy
Energy cost
Consumption of energy
Connection, base-load and peak demand charges
Penalties and other charges

16. Sources of energy data Input data Output Point of use What? Source
Meters (fuel, gas, heating, electricity)
Data from suppliers
Accounting documents
Internal records
Equipment technical manuals and platters
Calculations
Peak loads and power factors
Output
Meters (steam, warm water)
Utilities technical parameters (flows, temperatures, pressures, etc)
Point of use
Variables that affect energy consumption (production, temperatures, pressures, etc)
List of equipment (functioning hours, rated power, fabrication data)

17. Energy, power, demand ... Typical calculations of heat fluxes:
What?
Energy, power, demand ...
Source
Q – amount of heat required to raise temperature
Cp – specific heat
m – mass
T – changes in temperature
U-Factor--measure of rate of heat flow
Typical calculations of heat fluxes:
transport of heat power in fluids Q = m  cp  T
energy to heat up a (solid) mass m Q = m  c  T
heat flux through a wall Q = F  U  T
energy = kWh or kJ
power = energy per time unit = kW or kJ/s
Source: UNEP, Pre-SME’s Toolkit

18. Root causes of inefficient use
How?
Root causes of inefficient use
Cause
PLANT
PEOPLE
PROCESS INPUTS
Process Control
Equipment Design
LOW Energy
Efficiency
Technology Choice
Internal Value
External Value
WASTE
PRODUCT

19. Root causes of inefficient use
How?
Root causes of inefficient use
Cause
Root Cause Category
Some examples (compressed air system)
Process Inputs
Temperature at air intake
People
Inappropriate use e.g. for drying, cleaning, etc.
Plant
Process Control
Operating pressure intervals
Equipment
Maintenance status of compressor
Design, dimensioning and lay out of compressed air distribution
Technology
Type of compressors (compressed air supply)
Product
Pressure at point of use
Alternative power sources (compressed air uses)
Waste
Internal Value
Waste heat from compressors – replaces heating demand
External Value
Waste heat from compressors – adds to air conditioning load

20. RECP for energy efficiency
How?
RECP for energy efficiency
Option
PLANT MODIFICATION
HOUSEKEEPING
INPUT CHANGE
Better Process Control
Equipment Modification
Technology Change
HIGH energy efficiency
On Site Reuse
Useful Byproduct
UTILIZATION
PRODUCT MODIFICATION

21. RECP for energy efficiency
How?
RECP for energy efficiency
Option
RECP Practices
Some examples (compressed air system)
Input Change
Change air intake – cool and shielded location
Good Housekeeping
Avoid unnecessary use
Plant Modification
Process Control
Improved controls on operating pressure
Equipment Modification
Fix all leaks, eliminate disused parts of reticulation system, minimize pressure reduction
Improve maintenance on compressors
Technology Change
Energy efficient compressor systems
Product Modification
Switch to alternatives for compressed air – direct powered tools, electronic controls, etc.
Reuse
On Site Reuse
Recover waste heat for building heating
Useful By Product
Insulate to eliminate non-useful use of heat of compressor

22. Typical energy efficiency options for main energy users
How ?
Typical energy efficiency options for main energy users
Compressed air
Cooling/freezing/air conditioning
Thermal systems
Load management systems
Electrical motors
Lighting
Buildings
What do we need
to know?
Energy balance
Typical savings
Reuse of energy losses

23. How ?
1. Compressed air
Compressed air system
Heat dissipation
~ 5%
Pressured air
~ 10 %
Recoverable heat from
oil cooling
~ 85 %
Energy supply
(Current)
100 %
Compressor energy flow diagram
About 10% from the electric power is converted into compressed air. The rest is given off as heat.
About 85% of energy in the form of heat can be recovered and re-used from the cooling oil. The remaining 5% are emitted as radiation losses into the environment.

24. Typical solutions to save energy
How ?
Typical solutions to save energy
Saving energy for compressed air
Correct dimensioning of the system
Elimination of system leaks
Avoid inappropriate use
Preventive maintenance
Control demand events
Replace poor systems
Locate in clean and cool environment
Control working pressure

25. 2. Cooling/refrigeration/air conditioning
How ?
2. Cooling/refrigeration/air conditioning
Source:

26. Typical solutions to save energy
How ?
Typical solutions to save energy
Cold supply
Saving energy for cooling systems
Adjust the system to the real needs
Replace inefficient cooling machines
Ensure system insulation
Optimize control and regulation
Minimize or avoid hydraulic pipes
Use freecooling facility
Install and optimize heat recovery on cooling system

27. 3. Thermal systems - Boilers
How ?
3. Thermal systems - Boilers
Heat balance - Boiler energy flow diagram
Source: UNEP CP-EE Manual

28. Typical solutions to save energy
How ?
Typical solutions to save energy
Heat and warm water supply
Saving energy for thermal systems
Replacing old and inefficient boilers and heat exchangers
Optimal combustion
(air concentration)
Condensate recovery
Maintenance of water quality control and blowdown
Insulation of boiler, heat exchangers and pipes
Optimising hydraulic pipes
Feeding water / intake air temperature

29. 4. Electric motors How ? Load Motor Efficiency = Pin (w)/Pout(w)
Plods
Motor
Power Pin (w)
Load
Power Pout (w)
Motor Efficiency = Pin (w)/Pout(w)
Efficiency levels (EU) :
IE1 Standard Efficiency (Jun, 2011)
IE2 High Efficiency (Jan, 2015)
IE3 Premium Efficiency (Jan, 2017)

30. Typical solutions to save energy
How ?
Typical solutions to save energy
Saving energy with motors
Replace old , inefficient motors with new motors generation
Reduce under loading
Avoidance of oversize motors
Proper ventilation and heat evacuation
Regular check on motor loading to monitor variations
Improve maintenance
Improve power input
Use variable speed drivers

31. Waste heat recovery and use
How ?
Waste heat recovery and use
Which waste heat is available?
Heat from fluegas, compressors, motors, condensers
Temperature level
Load profile (when and which performance, time pattern)
What are the potential heat users?
Heating/pre-heating (air, water)
Necessary temperature level
Load profile (which is when power needed?)
Local conditions
Distance between heat accumulation and potential heat users

32. 5. Lighting Choose the right light
How ?
5. Lighting
The lighting systems
Choose the right light
Task-lighting - position at point of requirement
Use only when needed for as long needed
Match illumination level with needs
Source: UNEP CP-EE Manual

33. Typical solutions to save energy
How ?
Typical solutions to save energy
Saving energy for lighting system
Task lighting
Manual and decentralized controls
Efficient light bulbs
(e.g. LED)
Periodic maintenance and cleaning
Automatic control (motion and/or daylight sensors)
Use daylight

34. 4. Load management systems
How ?
4. Load management systems
Electricity cost:
Energy costs in the true sense (i.e. the cost of the kWh consumed)- can be reduced primarily by reducing electricity consumption
Costs of power demand (i.e. the cost of the peak electrical power requirement) - can be reduced by reducing peaks of power consumption
Electric load management
control of maximum demand
scheduling of its occurrence during peak/off peak periods.

35. Typical solutions for load management
How ?
Typical solutions for load management
Saving energy through load management
Rescheduling loads
Staggering of motor loads
Storage of products
Shedding of non-essential loads

36. 5. Buildings performance
How ?
5. Buildings performance
Building envelope
Walls
Floor
Roof (major source of loss)
Building materials
Insulation
Windows
Doors
External influence
Topography and landscaping
Exposure to sun and wind
Vegetation and tries

37. Energy management in buildings
How ?
Energy management in buildings
Reducing energy for heating
Envelope insulation
Double and triple glazing windows
Revolving doors
Re-organizing inside space and activities
Reducing energy for cooling
Reduce glass area
Ensure shadowing
Reduce heat gain due to interior activities
Heat loss
Heat gain

38. Taking your pulse….

39. Energy use 2. Primary Energy Users A: Direct use in production
A: Direct use in production
Please list major energy consuming processes/equipments ID
Energy source (electricity, coal, gas etc)
Energy User/ Equipment
Rated energy consumption (kW)
Annual Operating Hours (hrs/yr)
Estimated Annual Energy Consumption (kWh/yr)
Purpose of Use
What factors influence total energy consumed by this energy user? 1 2 3 4 5 6 7 8 9 10
 Total accounted energy use in production
% of total energy consumption
#DIV/0!

40. Hidden Profit
Experience shows that most small businesses can easily save at least 10% of their energy costs…
What is the profit margin of your company?
What is the share of energy costs in your company’s costs?
Reduce energy costs by 10%, how much does that increase your profit?
10% energy savings in a company with profit margin of 15% and where energy represents 15% of costs, will increase operating profit by 10%.

41. Next Step
Introduction of self assessment module on energy
Identification of possible bottlenecks

42. Wrap Up – Take Aways
What ?
Energy efficiency is critical for reducing GHG emissions and their effects on climate change
Energy efficiency significantly reduces the business cost and increases it’s profitability and security
Why ?

43. Wrap Up – Take Aways Improving energy efficiency requires to:
To understand:
Energy direct and indirect use, consumption and cost
To identify:
Factors influencing energy use
Causes for energy inefficiency and losses
To generate and implement RECP options to increase energy efficiency
How ?
Source
Cause
Option