3.

Energy Management and Audit

Phase II- Detailed Energy Audit Activities

Depending on the nature and complexity of the site, a comprehensive audit can take from sev-
eral weeks to several months to complete. Detailed studies to establish, and investigate, energy
and material balances for specific plant departments or items of process equipment are carried
out. Whenever possible, checks of plant operations are carried out over extended periods of
time, at nights and at weekends as well as during normal daytime working hours, to ensure
that nothing is overlooked.
The audit report will include a description of energy inputs and product outputs by major
department or by major processing function, and will evaluate the efficiency of each step of the
manufacturing process. Means of improving these efficiencies will be listed, and at least a pre-
liminary assessment of the cost of the improvements will be made to indicate the expected
pay- back on any capital investment needed. The audit report should conclude with specific
recom- mendations for detailed engineering studies and feasibility analyses, which must then
be per- formed to justify the implementation of those conservation measures that require
investments.
 3. Energy Management and Audit

The information to be collected during the detailed audit includes: -

1. Energy consumption by type of energy, by department, by major items of process equip
ment, by end-use
2. Material balance data (raw materials, intermediate and final products, recycled
materials, use of scrap or waste products, production of by-products for re-use in other
industries, etc.)
3. Energy cost and tariff data
4. Process and material flow diagrams
5. Generation and distribution of site services (eg.compressed air, steam).
6. Sources of energy supply (e.g. electricity from the grid or self-generation)
7. Potential for fuel substitution, process modifications, and the use of co-generation
systems (combined heat and power generation).
8. Energy Management procedures and energy awareness training programs within the
establishment.
Existing baseline information and reports are useful to get consumption pattern, production
cost and productivity levels in terms of product per raw material inputs. The audit team should
col- lect the following baseline data:
- Technology, processes used and equipment details
- Capacity utilization
- Amount & type of input materials used
- Water consumption
- Fuel Consumption
- Electrical energy consumption
- Steam consumption
- Other inputs such as compressed air, cooling water etc
- Quantity & type of wastes generated
- Percentage rejection / reprocessing
- Efficiencies / yield

DATA COLLECTION HINTS

DO NOT ESTIMATE WHEN YOU CAN CALCULATE
DO NOT CALCULATE WHEN YOU CAN MEASURE
 3. Energy Management and Audit

Draw process flow diagram and list process steps; identify waste streams and obvious
energy wastage
An overview of unit operations, important process steps, areas of material and energy use and
sources of waste generation should be gathered and should be represented in a flowchart as
shown in the figure below. Existing drawings, records and shop floor walk through will help in
making this flow chart. Simultaneously the team should identify the various inputs & output
streams at each process step.

Example: A flowchart of Penicillin-G manufacturing is given in the figure3.1 below. Note

that waste stream (Mycelium) and obvious energy wastes such as condensate drained and
steam leakages have been identified in this flow chart
The audit focus area depends on several issues like consumption of input resources, energy
efficiency potential, impact of process step on entire process or intensity of waste generation /
energy consumption. In the above process, the unit operations such as germinator, pre-fermen-
tor, fermentor, and extraction are the major conservation potential areas identified.

Figure 3.1
 3. Energy Management and Audit

Identification of Energy Conservation Opportunities

Fuel substitution: Identifying the appropriate fuel for efficient energy conversion
Energy generation :Identifying Efficiency opportunities in energy conversion equipment/util-
ity such as captive power generation, steam generation in boilers, thermic fluid heating,
optimal loading of DG sets, minimum excess air combustion with boilers/thermic fluid
heating, opti- mising existing efficiencies, efficienct energy conversion equipment, biomass
gasifiers, Cogeneration, high efficiency DG sets, etc.
Energy distribution: Identifying Efficiency opportunities network such as transformers,
cables, switchgears and power factor improvement in electrical systems and chilled water,
cool- ing water, hot water, compressed air, Etc.
Energy usage by processes: This is where the major opportunity for improvement and many
of them are hidden. Process analysis is useful tool for process integration measures.
Technical and Economic feasibility
The technical feasibility should address the following issues

• Technology availability, space, skilled manpower, reliability, service etc

• The impact of energy efficiency measure on safety, quality, production or process.
• The maintenance requirements and spares availability

The Economic viability often becomes the key parameter for the management acceptance. The
economic analysis can be conducted by using a variety of methods. Example: Pay back
method, Internal Rate of Return method, Net Present Value method etc. For low investment
short dura- tion measures, which have attractive economic viability, simplest of the methods,
payback is usually sufficient. A sample worksheet for assessing economic feasibility is
provided below:

Classification of Energy Conservation Measures

Based on energy audit and analyses of the plant, a number of potential energy saving projects
 3. Energy Management and Audit
may be identified. These may be classified into three categories:
 3. Energy Management and Audit

1. Low cost - high return;

2. Medium cost - medium return;
3. High cost - high return
Normally the low cost - high return projects receive priority. Other projects have to be
analyzed, engineered and budgeted for implementation in a phased manner. Projects relating to
energy cascading and process changes almost always involve high costs coupled with high
returns, and may require careful scrutiny before funds can be committed. These projects are
generally com- plex and may require long lead times before they can be implemented. Refer
Table 3.1 for pro- ject priority guidelines.

3.3 Energy Audit Reporting Format

After successfully carried out energy audit energy manager/energy auditor should report to the
top management for effective communication and implementation. A typical energy audit
reporting contents and format are given below. The following format is applicable for most of
the industries. However the format can be suitably modified for specific requirement
applicable for a particular type of industry.
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The following Worksheets (refer Table 3.2 & Table 3.3) can be used as guidance for energy
audit assessment and reporting.

TABLE 3.2 SUMMARY OF ENERGY SAVING RECOMMENDATIONS

S.No. Energy Saving Annual Energy Annual Capital Simple

Recommendations (Fuel & Electricity) Savings Investment Payback
Savings (kWh/MT Rs.Lakhs (Rs.Lakhs) period
or kl/MT)
1
2
3
4
Total

TABLE 3.3 TYPES AND PRIORITY OF ENERGY SAVING MEASURES

Type of Energy Annual Annual

Saving Options Electricity Savings Priority
/Fuel savings
KWh/MT or kl/MT (Rs Lakhs)
A No Investment
(Immediate)
- Operational
Improvement
- Housekeeping
B Low Investment
(Short to Medium Term)
- Controls
- Equipment Modification
- Process change
C High Investment
(Long Term)
- Energy efficient Devices
- Product modification
- Technology Change
3. Energy Management and Audit