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New Alliance Targets Industrial Energy Efficiency in Northwest

From the Spring 2006 issue of Energy Matters

The Industrial Efficiency Alliance (IEA), a new organization in the U.S. Northwest, is committed to helping industrial manufacturers increase their energy efficiency and make energy management a part of their everyday business operations. One goal of the new alliance is to help regional industries reduce their electricity use by a total of 130 MW—enough to power 90,000 households for a year—by 2015.

Initially, the new alliance is working with pulp and paper mills and food processing companies with large or multiple facilities, as well as with related trade industries. It was launched in 2005 by the Northwest Energy Efficiency Alliance (NEEA), a long-time U.S. Department of Energy (DOE) Allied Partner.

Through the Industrial Technologies Program (ITP) BestPractices and the network of Allied Partners, DOE provides technical assistance, software tools, training, and other support to industrial manufacturers to help them increase the energy efficiency of their operations, reduce costs, improve environmental performance, and enhance productivity. IEA is also incorporating ITP BestPractices resources into its own program.

Targeting Pulp & Paper and Food Processing

Pulp and paper and food processing are two key industries in the Northwest that consume a significant amount of energy as part of their normal operations. Because these industries present many opportunities to save energy and reduce costs, the Industrial Efficiency Alliance is focusing on them in its initial work.

Manufacturers that work with the alliance can reap such benefits as lower utility costs, increased profits and competitiveness, and greater plant safety and reliability. These are especially important to companies with slim profit margins. For example, the food processing industry relies on a 6% profit margin for success. This means that every dollar saved is worth an estimated $16.67 in return.

In addition to industry participants, the IEA works with many trade groups, utilities, and other organizations that support industry in the Northwest, such as these:

Promoting Continuous Energy Improvement

IEA has established a Continuous Energy Improvement Program (CEIP) to engage employees at both the corporate and the plant level. Companies are encouraged to make a commitment to change, to recognize that energy costs are controllable, and to take a whole systems (rather than a single-component) approach to manufacturing operations. Taking this approach can reduce a company's energy use by 10% or more, according to NEEA.

The CEIP stresses the importance of having an energy management policy, assigning an improvement "champion" or sponsor, and setting energy productivity goals and objectives. Participating companies are encouraged to measure performance through key indicators, such as Btu consumed per pound of output, and to work with suppliers committed to energy-efficient business practices.

Bob Helm, a professional engineer and senior manager for the industrial sector in the Northwest Energy Efficiency Alliance, is leading this new effort.

Helm says, "The Continuous Energy Improvement Program provides tremendous returns for industrial customers and for the regional businesses that support them. Government and nongovernment agencies, utilities, allied partners, and private businesses can all succeed in this program, thanks to coordination that leverages combined talent, ideas, and dollars in a cohesive strategy."

Offering Special Tools, Training, and Resources

The CEIP leverages all available tools, training, and resources. For example, the program promotes the use of software assessment tools offered through ITP BestPractices. By incorporating these tools into their assessments, they can help industrial plants identify and analyze the many opportunities for energy savings in their plants. The tools include MotorMaster+, the Pumping System Assessment Tool (PSAT), the Steam System Assessment Tool (SSAT), AIRMaster+, and the Process Heating Assessment and Survey Tool (PHAST).

IEA's training calendar lists courses available to companies throughout the region. And its industrial training curriculum augments DOE's Best Practices courses. Through its allied partnership, the alliance works with DOE to develop and promote projects and case studies that demonstrate the value of energy efficiency.

The new alliance also offers technical assistance using energy management specialists who take a whole-systems approach to manufacturing. They assist in evaluating key industrial systems such as compressed air, motors and drives, pumps, and refrigeration.

Emphasizing Energy Management

Bob Helm says that many different industries will eventually be able to participate in this new program. Companies that can benefit the most are those that are interested in improving their energy management practices, making a commitment to continuous energy improvement, have a culture of learning, and are willing to share their success stories.

"With a coordinated strategy, focused on the customers' needs, we will have a profound effect on industrial business practices as they pertain to energy use," Helm says.

For more information, please contact the Industrial Efficiency Alliance online or call 1-888-720-6823. You can also visit the ITP BestPractices Web site to learn more about partnership opportunities, training, software tools, and other resources.

Savings Potential as a Percent of Total Electrical Consumption
  Pulp and Paper Food Products Wood Products Transportation Computers and Electronics Other
Market Segment
Refrigeration   5%     5%  
Pump System Efficiency 6% 3% 1.10% 1.80%    
Fan System Efficiency 1% 0.10% 0.70% 1.80% 5%  
System Improvements: Energy 0.80% 5.60% 1.50% 5%    
System Improvements: Process 1.50% 1.20% 0.75% 0.00% 2%  
O&M 2.50% 5% 4% 5% 2%  
Total Market Sector Savings 11.80% 19.90% 8.05% 13.60% 14%  
Cross-Cutting
Motor Efficiency Upgrade 5% 5.40% 1.90%     3.40%
Motor Downsizing 0.80% 1.40% 1.50% 5% 5% 1.20%
Rewind Improvements 0.80% 0.70% 0.80%     1%
Compressors 0.70% 1.20% 1.40% 4% 1.25% 1%
Lighting 0.70% 2% 2.10% 3% 2.50% 0.90%
Electrical System 0.50% 0.10% 0.20%   2%  
Total Cross-Cutting Savings 8.50% 10.80% 7.90% 12% 10.75% 7.50%

Source: Industrial Efficiency Alliance

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