English - Energy Efficiency Guide for Industry in Asia!

Copyright © United Nations Environment Programme, (year 2006)This publication may be reproduced in whole or in part and in any form for educationalornon-profit purposes without special permission from the copyright holder,provided acknowledgement of the source is made. UNEP would appreciate receivingacopy of any publication that uses this publication as a source.No use of this publication may be made for resale or for any other commercialpurpose whatsoever without prior permission in writing from the United NationsEnvironment Programme.DisclaimerThe designations employed and the presentation of the material in this publicationdo not imply the expression of any opinion whatsoever on the part of the UnitedNations Environment Programme concerning the legal status of any country, territory,cityor area or of its authorities, or concerning delimitation of its frontiers orboundaries. Moreover, the views expressed do not necessarily represent the decisionorthe stated policy of the United Nations Environment Programme, nor doesciting of trade names or commercial processes constitute endorsement.ISBN: 92-807-2647-1Print on 04/01/2006

Energy Efficiency Guide forIndustry in AsiaUnited Nations Environment ProgrammeDivision of Technology, Industry and Economics

FOREWORDWith its unprecedented rate of industrial growth, Asia is the main contributor to a growing globalenergy demand. By consequence, the region is also bearing the brunt of resulting negativeeconomic, social and environmental impacts such as increased air and water pollution, wastedisposal, floods, and climate change.Governments across the region are formulating new policies to reduce the trend of increasedenergy consumption and the associated greenhouse gas emissions. They are introducinglegislation to promote renewable energy use, and adopting measures to increase investments inenergy efficient technologies.But despite these worthy efforts, it is imperative that industry take concrete action now toprepare for a likely future of higher energy prices and emissions restrictions.To help Asian industry improve energy efficiency, UNEP developed this Energy EfficiencyGuide for Industry in Asia. The Guide includes a methodology to improve energy efficiency,case studies of more than 40 Asian companies in five industry sectors, technical information fordifferent energy equipment, training materials, a contact and information database, and variousother tools and information.The Guide is the primary output of the Greenhouse Gas Emission Reduction from Industry inAsia and the Pacific (GERIAP) project supporting Asian businesses to address climate changeby becoming more energy efficient, and thereby reducing greenhouse gas emissions and costs.We encourage business leaders, policy makers, financiers and other stakeholders working withindustry to use this Guide to take this effort forward.Klaus TöpferExecutive DirectorUnited Nations Environment Programme

ACKNOWLEDGEMENTSThis Guide was prepared as part of the project Greenhouse Gas Emission Reduction from Industry inAsia (GERIAP).Coordination and preparationSophie Punte, GERIAP Project CoordinatorPeter Repinski, GERIAP Project OfficerGERIAP Secretariat, United Nations Environment Programme (UNEP)www.energyefficiencyasia.orgSpecial thanks toThe Swedish International Development Cooperation Agency (Sida) for the financial contribution thathas made the development of this Guide possible.The GERIAP National Focal Points for implementing the project in nine Asian countries:Bangladesh – Institute of Management Consultants Bangladesh (IMCB)China – State Environmental Protection Administration (SEPA)India – Indian National Cleaner Production Center (NCPC)Indonesia – Ministry of Environment (MoE) and the Agency for the Assessment and Applicationof Technology (BPPT)Mongolia – Ministry of Nature and Environment (MNE)Philippines – Industrial Technology Development Institute (ITDI)Sri Lanka – Small & Medium Enterprise Developers (SMED)Thailand – Thailand Institute of Scientific and Technological Research (TISTR)Vietnam – Viet Nam Cleaner Production Center (VNCPC).Companies that participated in the GERIAP project for testing the methodology and implementing casestudy options to improve energy efficiency (for list see appendix C).Niclas Svenningsen, Wei Zhao and Mark Radka from UNEP DTIE for strategic guidance to the GERIAPproject.Wanapa Chanvirat and Patcharin Udompornwirat for their indispensable administrative support to keepthe GERIAP project on track.The National Productivity Council, Swedish Environmental Research Institute (IVL), AF International,Spirax Sarco, Suradet Chakphet, Elmer Dante, Roopa Rakshit, Eric Roeder, Cecilia Bring Procope,Yanbai Shen, Shovna Upadyay, Arjan Veldhuis, and Brian Wood for their contributions to thedevelopment and launching of the Guide.Arvind Asthana, Youssef Ehab, Paul Goerick, Pernod Gupta, Dorjpurev Jargal, Pawan Kumar, SankaraNarayanan, Jens Kristian Nørgaard, Virendra Reddy, Fatima Reyes, S.B. Sadananda, Teresita Susilo, forassisting the National Focal Points with training and energy assessments of participating companies.And everyone else who helped to make this project a success.

Introduction to the GuideWelcome to the Energy Efficiency Guide for Industry in AsiaThis Guide has been developed for Asian companies who want to improve energy efficiency throughCleaner Production and for stakeholders who want to help them. It consists of a hard copy summary anda detailed CD-ROM version. The Guide is also available on: www.energyefficiencyasia.org.This is the hard copy Guide summarizing what is included on the CD-ROM and website and indicateswhat parts have been translated into Bahasa Indonesia, Chinese, Sinhala, Thai and Vietnamese. Thehard copy Guide is also available in these languages and in Bangla, Mongolian and Tamil.The Guide consists of five parts:Where do you start?Find out how to best use this Guide if you are a company manager, productionstaff, customer, supplier, government agency, financial institution, or other externalorganization who could facilitate energy efficiency in industry.Part 1 is included in full in this hard copy GuideHow to become energy efficient?A 6-step methodology to help Asian companies improve energy efficiency, reducecosts and reduce greenhouse gas emissions, based on the Cleaner Productionmethodology and real practice experience in more than 40 Asian companies.Part 2 is included in full in this hard copy GuideIndustry sectorsProcess information, energy efficiency options and company case studies for morethan 40 companies in five industrial sectors: cement, chemicals, ceramics, iron &steel and pulp & paper.This hard copy Guide gives a summary of what is included on the CD-ROM andwebsiteEnergy equipmentTechnical information, energy efficiency options, case studies, and training materialsfor different energy equipments used by industry, such as boilers, fans and motors,and information on monitoring equipments.This hard copy Guide gives a summary of what is included on the CD-ROM andwebsiteToolsTraining materials, option checklists, worksheets, case studies, contact andinformation database and many more tools and resources to help companies improveenergy efficiency. Here you can also find translated materials in Bahasa Indonesia,Chinese, Sinhala, Thai and VietnameseThis hard copy Guide gives a summary of what is included on the CD-ROM andwebsiteThe Guide was developed as part of the GERIAP project, which is explained next.Energy Efficiency Guide for Industry in Asia1

The GERIAP projectClimate change is a serious risk facing industry in Asia and the Pacific. Every company will directlyor indirectly be impacted by the Kyoto Protocol, rising fuel prices, energy shortages, extreme weatherevents and government energy policies.There is one thing all companies can do to be prepared: improve energy efficiency now!Greenhouse Gas Emission Reduction from Industry in Asia and the Pacific (GERIAP) was a three-yearproject assisting Asian companies to become more energy and cost efficient through Cleaner Production(CP). CP is a strategy that prevents wastes and emissions and can assist companies to improve energyefficiency, reduce greenhouse gas (GHG) emissions and reduce costs.More than 40 companies from the cement, chemicals, ceramics, iron & steel and pulp & paper sectorsparticipated in the project in nine Asian countries: Bangladesh, China, India, Indonesia, Mongolia,Philippines, Sri Lanka, Thailand and Vietnam.The project components included:• Capacity building: National Focal Points (NFPs) and participating companies received training onhow to apply CP to identify energy efficiency options for main energy uses in industry• Demonstration of CP and energy efficiency: CP assessments to find ways to improve energyefficiency were carried out at the participating companies. Options that were technically feasibly,financially attractive and reduced energy and GHG emissions were implemented, resulting insector specific case studies.• Survey of barriers to energy efficiency: Why do some companies improve energy efficiencyand others not? A survey assessed the financial, technical, cultural and other factors affectingbusinesses, resulting in proposed solutions to overcome the most important regional and nationalbarriers in Asia.This Guide is the main output of the GERIAP project.GERIAP project partnersThe project was coordinated by the GERIAP Secretariat of the United Nations EnvironmentProgramme (UNEP), funded by the Swedish International Development Cooperation Agency (Sida),and implemented in the nine countries through National Focal Points (NFPs). NFPs are institutions orgovernment agencies with CP and energy efficiency experience. Their role was to implement the threeproject components in the nine GERIAP countries and provide input into the Guide.Each of the project partners is briefly described below.2 Energy Efficiency Guide for Industry in Asia

United Nations Environment Programme (UNEP)UNEP is the environmental arm of the United Nations. Its headquarters are inNairobi and regional offices exist in each continent. UNEP’s mission is “Toprovide leadership and encourage partnership in caring for the environment byinspiring, informing, and enabling nations and peoples to improve their qualityof life without compromising that of future generations.”UNEP comprises a number of divisions, including the Division for Technology,Industry and Economics (DTIE). The GERIAP project is coordinated through theDTIE division within the UNEP Regional Office for Asia and the Pacific (ROAP)in Bangkok. This includes training of NFPs, facilitating the implementation ofthe three project components in nine countries, and developing the Guide andcoordinating the Guide’s launch.Contact:GERIAP SecretariatUnited Nations Environment Programme (UNEP)UN Building, Rajadamnern AvenueBangkok 10200, Thailanduneproap@un.orgwww.energyefficiencyasia.orgSophie PunteGERIAP Project CoordinatorTel: +66 2 288 1898Fax: +66 2 280 3829punte@un.orgPeter RepinskiGERIAP Project Officerpeter.repinski@rona.unep.orgSwedish International Development Cooperation Agency (Sida)Sida is the Swedish government agency for bilateral international developmentcooperation. Sida’s overall goal is to raise the standard of living of poor peoplein the world. The Swedish Parliament has adopted the following six specificobjectives to achieve this overall goal:• Economic growth• Economic and political independence• Economic and social equality• Democratic development in society• The long-term sustainable use of natural resources and protection of theenvironment• Equality between men and womenSida is the main fund provider for the GERIAP project.Contact:105 25 StockholmSwedenTel: +46 8 698 5000Fax: +46 8 208 864www.sida.seEnergy Efficiency Guide for Industry in Asia3

Bangladesh - Institute of Management Consultants Bangladesh (IMCB)The IMCB is a non-profit organization and recognized by the Ministry ofCommerce, Government of the Peoples’ Republic of Bangladesh as the soleprofessional body representing management consultants in Bangladesh. Its aimis to standardize management consultancy services in Bangladesh through itsCode of Professional Conducts. IMCB is a member of the world apex body,International Council of Management Consulting Institutes (ICMCI) in the US,and it has Special Consultative Status with the United Nations Economic andSocial Council (ECOSOC).Contact:Mr. M Saidul HaqPresident, IMCB396 New Eskaton RoadP .O. Box 7092, Dhaka 1000, BangladeshTel: +880 2 935 1321Fax: +880 2 935 1103/ 933 6478E-mail: imcb@consultant.comwww.imcbangladesh.netChina – State Environmental Protection Administration (SEPA)The State Environmental Protection Administration of China (SEPA) is thedesignated authority for environmental protection under the State Councilof China. SEPA applies the principle of natural ecological conservation andenvironmental pollution prevention and has as main tasks: strengtheningsupervision on nuclear safety; enhancing environmental legislative enforcement,supervision and administration; applying people-oriented principles; safeguardingthe environmental rights and benefits of the public, and promoting sustainabledevelopment of society, economy and the environment. SEPA is also responsiblefor the administration and coordination of international cooperation and exchangeactivities on the environment. The Department of International Cooperation (DIC/SEPA), which is in charge of international environment cooperation, is China’sfocal point for the GERIAP project.Contact:Ms. Wang QianDeputy DirectorDivision of International OrganizationsDepartment of International CooperationState Environmental Protection Administration (SEPA)No. 115 Xizhimennei Nanxiaojie (4th floor),Beijing 100035, The People’s Republic of ChinaTel: +86 10 6655 6518Fax: +86 10 6655 6494/ 6655 6513E-mail: wangqian@sepa.gov.cnwww.zhb.gov.cn/english/SEPA/4 Energy Efficiency Guide for Industry in Asia

India - National Cleaner Production Center (NCPC)UNIDO/UNEP selected the National Productivity Council of India to locate theNational Cleaner Production Center (NCPC) in India. The NCPC’s mission isto demonstrate the Cleaner Production concept in Indian industries, particularlysmall scale industries through• Conducting Demonstration Projects• Conducting training programmes/workshops• Disseminating information on Cleaner Production• Undertaking policy level interventionContact:Dr. P.K. Gupta, Director NCPC / Mr.A AsthanaNational Productivity Council (NPC)/ National Cleaner Production Center(NCPC)5-6 Institutional Area, Lodi RoadNew Delhi 110 003, IndiaTel: +91 11 462 5013 / 461 1243Fax: +91-11 462 5013E-mail: ncpc@del2.vsnl.net.inwww.npcindia.org/cleaner.htm#establishmentIndonesia - Ministry of Environment (MoE)The Ministry of Environment is a government institution responsible forpromoting the protection of the environment in Indonesia. The Deputy Ministerfor Environmental Conservation is responsible for policy development andcoordination of environmental conservation activities, and serves as the NationalFocal Point to the UNFCCC. In implementing the GERIAP project, the Ministryof Environment works in close cooperation with the Department of Energy andMineral Resources, which has launched the Green Energy Policy. The Ministryis responsible for the overall coordination of GERIAP in Indonesia.Contact:Mr. Sudariyono, Deputy Minister for Environmental ConservationState Ministry of EnvironmentJalan Dl. Panjaitan, Kav 24Kebon NanasJakarta Timur 13410, IndonesiaTel: +62 21 858 0111Fax: +62 21 858 0112E-mail: dimate@menlh.go.idwww.menlh.go.id/eng/Energy Efficiency Guide for Industry in Asia5

Indonesia - the Agency for the Assessment and Application of Technology (BPPT)BPPT is a Non-Department Government Agency, which reports to the President ofIndonesia. Within BPPT there is the Assessment and Application of EnvironmentalTechnology Center, which has a vision “to be a provider of environmentaltechnology needed by the community in order to support a national sustainabledevelopment programme.” To achieve this, the Center works on the assessment,application, coordination and preparation of national policies on technologies inthe area of (1) environmental pollution control (2) environmental conservationand rehabilitation and (3) environmental design, simulation and standardization.The Center also provides monitoring and training services on environmentaltechnologies to improve innovation, diffusion, dissemination, capacity buildingand transfer of technology. BPPT is responsible for the implementation of GERIAPin Indonesia.Contact:Dr. Ir. Tusy A. Adibroto, Msi, DirectorBPPT Agency for the Assessment and Application of TechnologyBPPT II Bld. 20nd Floor, JI.M.H. Thamrin No.8Jakarta 10340, IndonesiaTel: +62 21 316 9762Fax: +62 21 316 9760E-mail: tusyaa@ceo.bppt.go.idwww.bppt.go.idMongolia - Ministry of Nature and Environment (MNE)The Ministry of Nature and Environment (MNE) of Mongolia is responsiblefor the formulation and promotion of environmental policies, laws, procedure,conventions etc. It has a high level sectoral mandate to ensure the environmentalconcerns are incorporated in all growth and development oriented projects andprogrammes in the country.Contact:Ms. Batsukh, DirectorInternational Cooperation DepartmentGovernment Building 3Baga Toiruu 44Ulaanbaatar 11, MongoliaTel: +976 99 119 200Fax: +976 11 321 401E-mail: mne@magicnet.mn6 Energy Efficiency Guide for Industry in Asia

Philippines - Industrial Technology Development Institute (ITDI)The mission of ITDI is to support sustainable development in the Philippines bysupporting cleaner and more efficient production technologies and techniques.Mandated to render a variety of services to local industries, ITDI is multidisciplinarywith a unique blend of scientific disciplines linking the institute as an active partnerin the country’s industrialization programme. ITDI plays a vital role in providingtests and analytical services needed by government agencies and industriesin carrying out their functions and by industries for product and raw materialevaluation/testing.Contact:Dr. Alice HerreraOfficer In Charge, Fuel & Energy DivisionIndustrial Technology Development InstituteDOST Compound, Bicutan, TaguigMetro Manila, PhilippinesTel: +63 2 837 2071Fax: +63 2 837 2071E-mail: abherrera@pacific.net.ph, aherrera@dost.gov.phhttp://mis.dost.gov.ph/itdi/Sri Lanka - Small & Medium Enterprise Developers (SMED)SMED was established in 1989 as a joint collaboration project of the Federationof Chambers of Commerce and Industry of Sri Lanka (FCCISL) and FriedrichNaumann Stiftung (FNSt) of Germany to develop and promote the SMEsector in Sri Lanka. SMED’s mission is to assist businesses to be competitive,socially responsible and environmentally friendly by providing demand driven,effective and high standard professional services to achieve sustainable growthand development. SMED is concentrating heavily on issues related to CleanerProduction, environmental management, climate change and the “Triple BottomLine”. SMED works very closely with Sri Lanka’s chambers of commerce,industry, government and non-governmental organizations, academia and relevantinternational organizations.Contact:Mr. Nihal CoorayManager, Environmental and Industrial EngineeringSmall & Medium Enterprise Developers (SMED)Level 4, No. 53, Vauxhall LaneColombo 02, Sri LankaTel: +94 11 230 4287-89Fax: +94 11 230 4291E-mail: geriapsl@sltnet.lkwww.smed.lkEnergy Efficiency Guide for Industry in Asia7

Thailand - Thailand Institute of Scientific and Technological Research (TISTR)TISTR’s mission is to conduct research and development programmes that helpsolve the problems of industries and rural communities, to transfer technology tosmall and medium enterprises and to render scientific and technological servicesto industries to help increase productivity and develop export potential. CleanerProduction, renewable energy, and efficient use of energy also the focus ofenvironmental research & development programmes at TISTR.Contact:Ms. Peesamai JenvanitpanjakulDirector of Environmental, Ecological and Energy DepartmentThailand Institute of Scientific and Technological Research (TISTR)196 Phahonyotin Road, ChatuchakBangkok 10900, ThailandTel: +66 2 579 6517Fax: +66 2 561 4771E-mail: peesamai@tistr.or.thwww.tistr.or.thVietnam - Viet Nam Cleaner Production Center (VNCPC)The Viet Nam Cleaner Production Center (VNCPC) is a national focal point forthe promotion and implementation of eco-efficient industrial production throughCleaner Production including Cleaner Technology. The VNCPC delivers mainly toservice providers and to industries high quality services such as Cleaner Productionassessments, financial engineering, technology advice, training and information.The objective of VNCPC is to contribute to sustainable industrial development inVietnam.Contact:Dr. Tran van NahnDirector VNCPCVietnam Cleaner Production Center (VNCPC)Hi-tech BuildingDai Co Viet RoadHanoi, VietnamTel: +84 4 868 1686-7Fax: +84 4 868 1618E-mail: VNCPC@vncpc.orgwww.un.org.vn/vncpc/8 Energy Efficiency Guide for Industry in Asia

PART 1WHERE DO YOU STAY?

Part 1: Where do you start?Are you a company manager or production staff wanting to improve energy efficiency? Or are you anexternal organization wanting to help companies improve energy efficiency? Find out below how tobest use this Guide!Part 1Where do you start?When you go to the “where do you start” part on the CD-ROM or website the following screen willappear:Company managementAs a company director, top manager or middle manager, you are always looking for ways to improveyour company’s performance.Improved energy efficiency can help your company:• Reduce energy and production costs• Improve environmental performance and reduce greenhouse gasemissions• Reduce exposure to rising energy prices and energy shortages• Win new customers who consider environment as an importantselection criteriaThe most useful information in this Guide for you is:• A Company Energy Efficiency Methodology that explains in six steps how to become more energyefficient (see part 2)• Case studies of more than 40 other companies that have already benefited from energyefficiency initiatives (see part 5)Energy Efficiency Guide for Industry in Asia11

Part 1Where do you start?• A Contact Database with useful contacts of people and organizations who can help youimproveenergy efficiency, such as suppliers, consultants, research institutions, CP centers,associations and government agencies (see www.energyefficiencyasia.org)Where do you start?• Organize a meeting between management and relevant staff to start an energy assessment of yourcompany (see part 2, step 1 of the methodology)• Start rewarding and recognizing staff for good ideas to improve energy efficiency• Give this Guide to your production staff• Add your contact details to the Contact Database (www.energyefficiencyasia.org)Production staffYou can be a boiler operator, maintenance staff, mechanical or electrical engineer. Asproduction staff you can do a lot to help your company improve energy efficiency. Thiswill also help you to:• Get recognized by management and strengthen your job security!• Develop skills that are wanted by your company but also desirable by othercompanies• Improve occupational health and safety conditions at your workplaceThe most useful information in this Guide for you is:• Technical information and training materials for energy equipment and your industry sector (seepart 3 and 4)• Case studies of energy options implemented by other companies for energy equipment you workwith and for your industry sector (see part 5)• Option checklists and worksheets for different energy equipment to help you identify options toimprove your company’s energy efficiency (see part 4)Where do you start?• Find out how much energy is used in your work area• Talk with your manager and co-workers about energy efficiency opportunities in your work area• Carry out a systematic search for energy saving options in your work areaGovernmentMany national, provincial or local government agencies responsible for industry,environment, energy or the economy, have an interest in energy conservation.As a government agency, developing awareness and promoting energy efficiency inindustry can:• Improve the financial viability of your country’s industry sectors because theyspend less money on energy• Reduce your dependence on foreign energy supply (especially oil), and reducethe burden on your country’s GDP• Reduce your country’s greenhouse gas emissions as part of addressing climatechange12Energy Efficiency Guide for Industry in Asia

The most useful information in this Guide for you is:• An Energy Efficiency Survey with regional and national barriers to energy efficiency alsorecommending solutions that can be incorporated in government policies (see part 5)• Energy efficiency case studies from various companies in the Asia and Pacific region (see part 5)• An Information Database with information about the GERIAP project and other projects (see part 5)• A Contact Database with contact details of organizations in your country who can help facilitatethe implementation of government energy policies and projectsPart 1Where do you start?Where do you start?• Facilitate the dissemination of this Guide among industry and organizations influencing industry• Develop policies that encourage energy efficiency in industry with the message that energyefficiency is good for business as well as the environment• Align energy policies with economic policies and environmental policies• Add your contact details to the Contact Database (www.energyefficiencyasia.org)FacilitatorsCompanies cannot improve energy efficiency on their own. Several types oforganizations can act as facilitators to help companies, such as industry associations,research institutes, consultants, Cleaner Production Centers, universities, chambers ofcommerce and NGOs.By helping companies to improve energy efficiency you can:• Help industry reduce costs and exposure to rising energy prices• Develop useful skills and experience within your organization and as an individual• Contribute to an improved environment through reduced greenhouse gas emissionsThis Guide gives you all the information you need to help facilitate energy efficiency in industry. Themost useful information for you is:• A Company Energy Efficiency Methodology that explains in six steps how to become moreenergy efficient (see part 2)• Training materials (textbook chapters and presentation slides) covering the methodology, energyequipment, monitoring equipment and different industry sectors (see part 5)• Other tools such as case studies from more than 40 companies, guidance on how to finance options,and a Contact and Information Database (see part 5)Where do you start?• Get to know the Guide and find out how to help industry improve energy efficiency• Identify interested companies and organize a training course for industry using the trainingmaterials in the Guide• Meet with company management to raise awareness about energy efficiency, get them interestedin an energy assessment, and explain how you can assist them with this using the Company EnergyEfficiency Methodology• Get companies in touch with other organizations for areas where you are unable to help, such asfinancial institutions, suppliers, and chambers of commerce, using the Contact Database• Add your contact details to the Contact Database (www.energyefficiencyasia.org)Energy Efficiency Guide for Industry in Asia13

Part 1Where do you start?Financial institutionsCompanies often turn to financial institutions to help fund large projects, mostlycommercial banks and sometimes Energy Service Companies (ESCOs) if these existin the country. As a financial institution, by investing in companies to help improveenergy efficiency you can:• Help improve the financial viability and credit-worthiness of the companies who will continue tobe your clients in the future• Get greater returns on investment as energy projects, such a cogeneration, are often veryprofitable• Expand your financial product portfolio and therefore expand your client base• Improve your public image as a financial institution that also takes steps to protect theenvironmentThe most useful information in this Guide for you is:• An overview of tools for companies and investors regarding financing of energy efficiency andcleaner production projects (see part 5)• Energy efficiency case studies from various companies in the Asia and Pacific region to see whattype of projects exist, the investments required and returns (see part 5)• A Contact Database with other financial institutions and other organizations (e.g. governmentagencies, suppliers) that finance energy projects (see part 5)Where do you start?• Get to know the tools and case studies in the Guide to determine the potential of investing inenergy efficiency projects• Inform companies about existing financing packages• Assist companies to make proposals for energy efficiency projects bankable• Expand investment evaluation criteria to include energy and environmental considerations• Develop new financial products that consider energy, greenhouse gas emissions and the environmentin general• Add your contact details to the Contact Database (www.energyefficiencyasia.org)CustomersCustomers of industrial companies can be other manufacturers (e.g. car manufacturersbuying steel), wholesalers (e.g. a wholesaler buying paper to sell to retailers), retailers(e.g. a household store buying ceramic products to sell in its stores) or end users (e.g.construction companies buying cement).As a customer, by encouraging your suppliers to improve energy efficiency you can:• Reduce purchase costs as energy cost savings can be incorporated in the price of the goods youbuy• Protect and improve your reputation through improved environmental management of yoursuppliers14Energy Efficiency Guide for Industry in Asia

The most useful information in this Guide for you is:• A Company Energy Efficiency Methodology that can help your suppliers become more energyefficient (see part 2)• Case studies for more than 40 other companies that have already benefited from energy efficiencyinitiatives (see part 5)• A Contact Database with useful contacts of people and organizations who can help your suppliersimprove energy efficiency, such as consultants, research institutions, CP centers, associations andgovernment agencies (see part 5 and www.energyefficiencyasia.org)Part 1Where do you start?Where do you start?• Bring the Guide to the attention of the management of your suppliers• Include environmental and energy considerations into your purchasing policy• Ask your suppliers what component of price of their goods is energy costs, and what they aredoing to be more energy efficientSuppliersCompanies have many suppliers who provide them with various goods and servicessuch as raw materials, energy, equipments, packaging materials, maintenanceservices, and transport. The GERIAP project found that poor quality goods andservices are often the cause of high energy costs. Examples include poor qualitycoal, cheap but inefficient boilers and poor management of air compressors bycontractors.As a supplier, by helping your industrial customers to improve energy efficiency you:• Are more likely to keep customers in the long term because you save them money• Make it easier to promote yourself with new or potential customers• Can ask higher prices for your products and services because your customers will earn the costsback through improved energy efficiencyThe most useful information in this Guide for you is:• Technical information and training materials for energy equipment used by companies and forindustry sectors (see part 3 and 4)• Case studies for more than 40 companies, giving examples on how you can help your customersimprove energy efficiency (see part 5)• A Contact Database with contacts of companies and organizations who influence them (such asindustry associations, consultants, research institutions, CP centers, and government agencies)who you can approach (see part 5 and www.energyefficiencyasia.org).Where do you start?• Add your contact details to the Contact Database (www.energyefficiencyasia.org)• Bring the Guide to the attention of your customers and within your own organization• Meet with company management to raise awareness about energy efficiency, and explain how youcan help them to improve energy efficiency through your products and servicesEnergy Efficiency Guide for Industry in Asia15

Part 2How to become energy efficient

Part 2: How to become energy efficientThis part provides a 6-step methodology to help Asian companies improve energy efficiency, reducecosts and reduce greenhouse gas emissions, based on real practice experience in more than 40 Asiancompanies.Part 2 is included in full in this hard copy GuideIntroductionThe “Company Energy Efficiency Methodology” (Methodology) has been developed for Asianindustrial companies to help them improve energy efficiency through Cleaner Production.Energy efficiency can help companies to:• Reduce energy and production costs• Improve environmental performance and reduce greenhouse gas emissions• Reduce exposure to rising energy prices and energy shortages• Win new customers who consider environment as an important selection criteria• Improve productivity and product quality• Improve reputation with customers, government and public• Improve staff health, safety and morale• Improve compliance with legislation and ISO 14001 targetsPart 2How to Become EnergyEfficientThis Methodology has been developed because it:• Is tailored to energy-intensive industrial companies in developing Asian countries, which in manyways are different from companies in industrialized and Western countries• Focuses on energy, which is less visible than waste, water and raw materials• Explains not only what should be done in theory, but also how it is done in practice because allcompanies are different. A focus is therefore given on how to overcome barriers such as timelimitations and lack of data, and on practical company examplesThis Methodology is based on:• The Cleaner Production (CP) strategy: prevention of waste, systematic approach, integrated intobusiness processes and aimed at continuous improvement• Several existing CP and energy audit methodologies• Real practice experience from energy assessments carried out as part of the GERIAP project inmore than 40 Asian industrial companiesHow to use the MethodologyCompanies can improve their energy efficiency through a 6-step Cleaner Production approach (seeFigure 1). On the CD-ROM and website, you can click on each step to see the purpose, output andestimated time required for the step. You can also download all steps as a pdf file or download trainingmaterials.Under each step there are several tasks. Each task describes what a company should do as a minimum.On the CD-ROM and website, arrows on the right provide more detailed information:• Company examples that explain how the task was applied at different companies and lessonslearnt (Appendix A)• Worksheets to assist you in completing the task, and which are editable and printable (AppendixB)Energy Efficiency Guide for Industry in Asia19

Remember: the ultimate purpose is to keep improving energy efficiency, and this methodologycan help companies do this. But the methodology should be applied flexibly and depending onthe company’s situation, because each company is different: country, sector, size, organizationalstructure, production processes, existing energy management systems, and so on.Part 2How to Become EnergyEfficientStep 1: Planning and Organization• task 1a: Meeting with top management• task 1b: Form a Team and inform staff• task 1c: Pre-assessment to collect general information• task 1d: Select focus areas• task 1e: Prepare assessment proposal for top management approvalStep 2: Assessment• task 2a: Staff meeting and training• task 2b: Prepare focus area flow charts• task 2c: Walkthrough of focus areas• task 2d: Quantify inputs and outputs and costs to establish a seline• task 2e: Quantify losses through a material and energy balanceStep 3: Identification of Options• task 3a: Determine causes of losses• task 3b: Identify possible options• task 3c: Screen options for feasibility analysisStep 4: Feasibility Analysis of Options• task 4a: Technical, economic and environmental evaluation of options• task 4b: Rank feasible options for implementation• task 4c: Prepare implementation and monitoring proposal for topmanagement approvalStep 5: Implementation and Monitoring of Options• task 5a: Implement options and monitor results• task 5b: Evaluation meeting with top managementStep 6: Continuous Improvement• task 6a: Prepare proposal to continue with energy efficiency for topmanagement approvalFigure 1: Company Energy Efficiency Methodology20Energy Efficiency Guide for Industry in Asia

Step 1 - Planning and OrganizationThe purpose of step 1 is to obtain top management commitment and plan and organize an energyassessment. Without an approved plan, there is no commitment!The output of step 1 is therefore a written proposal with selected steps and tasks to improve thecompany’s energy efficiency that is approved by top management. An approved plan will make steps 2to 6 a lot easier!Step 1 should take about 3 – 6 days. Tasks under step 1 and the estimated time needed include:*• Task 1a: Meeting with top management (1-2 hours)• Task 1b: Form a Team and inform staff (0.5-1 day)• Task 1c: Pre-assessment to collect general information (1-3 days)• Task 1d: Select focus areas (0.5-1 day)• Task 1e: Prepare assessment proposal for top management approval (2-3 days)*Note: the amount of time depends on, for example, the size of the plant, the number of people involvedand the amount of information available.How you start depends on who you are. If you are:• Top management of a company interested in improving energy efficiency, then you should identifywhich managers and staff members are needed to get a project started, and ask them to attend afirst meeting with you. You can also ask an external facilitator to attend the meeting• Middle management (e.g. Production Manager, Environment Manager) and not part of topmanagement, then you should request top management for a meeting and invite other managersand staff who are needed to get a project started to attend. You can also ask an external facilitatorto attend the meeting• An external facilitator (e.g. consultant, CP Centre, research institute) with an interest in gettingthe company to improve its energy efficiency, then you should request top management for ameeting (or ask a company manager to organize a meeting for you). You can also ask for companymanagers who are needed to get a project started to attend the meetingPart 2How to Become EnergyEfficient1a. Meeting with top managementIf you are top management, then the purpose of this first meeting is to get the commitment of companymiddle managers, staff and/or external facilitators to carry out a pre-assessment and write a proposalfor a detailed energy assessment.If you are a company middle manager or external facilitator then the purpose of this first meeting isto get top management’s approval for a pre-assessment and writing of a proposal for a detailed energyassessment.At this 1-2 hour meeting discuss the following:• If and/or why top management is interested in improving the company’s energy efficiency (seeWorksheet 1 for a list of possible reasons)• Any energy areas of interest or concern• Where the company is right now with energy management (fill out the Energy Management Matrixin Worksheet 2)• Other factors that will influence the approach to improving energy efficiency (see Worksheet 3)• The amount of time needed to conduct a pre-assessment (normally 1-3 days) and write a proposal(normally 2-3 days) and deadlines• Who should be in the Team and who from top management will be the main contact for the Team(see task 1b)Energy Efficiency Guide for Industry in Asia21

• How staff will be informed to ensure their assistance during the pre-assessment (see task 1b)Information on the CD-ROM and website:• Company examples (see Appendix A) for examples of companies that participated in the GERIAPproject on how they addressed the meeting with top management• Worksheets (Worksheet 1, 2 and 3, See Appendix B)1b. Form a Team and inform staffPart 2How to Become EnergyEfficientA Team of 4 - 6 people should be formed. In practice, the Team is often formed at the meeting with topmanagement.The Team normally includes (but can be expanded when the focus areas have been selected):• Someone who knows the main energy uses and environmental impacts of the company, e.g. theEnvironment Manager or Energy Manager• Someone who knows the production process, e.g. the Head of Production• Someone with access to general company information and energy cost data, e.g. the company’sAccountant or Finance Manager• A communications or training person, especially if management have identified staff training asone of their objectives• A top management representative who normally is not part of the Team’s day-to-day workThe company may decide to also include an external facilitator (consultant or service provider) in theTeam for the pre-assessment and writing of the proposal, especially if he/she/they are needed for theassessment later.The Team holds a half-day first meeting to agree on each member’s roles (see Worksheet 4) how andwhen to carry out the pre-assessment (task 1c), select focus areas (task 1d), and write a proposal formanagement (task 1e).In addition, the Team should inform staff about the pre-assessment, for example through a letter by topmanagement, regular staff meetings or notice boards.Information on the CD-ROM and website:• Company examples (see Appendix A) for examples of companies that participated in the GERIAPproject on how they addressed the Team formation and informing staff• Worksheets (Worksheet 4, see Appendix B)1c. Pre-assessment to collect general informationThe Team now carries out a pre-assessment at company level to collect and review general information,which normally takes between 1-3 days. The main purpose of the pre-assessment is to identify wherethe biggest areas for energy savings are (= potential focus areas in task 1d!) and writing a realisticproposal to top management (task 1e).This information can be obtained through existing documentation and computer systems, interviewswith staff, a walkthrough of the plant, and simple monitoring. Because staff were informed about thepre-assessment, they are more likely to cooperate!Information collected should include:• General company details, such as address, number of staff, working hours and production capacity(see Worksheet 5)• Organization chart with the different departments and main functions• General production flow chart for the whole company with the main inputs and outputs for each22Energy Efficiency Guide for Industry in Asia

production step (see Worksheet 6)• Production data for the past 3 years, preferably for each month (see Worksheet 7)• Energy and other resource consumption data and costs for the past 3 years, preferably for eachmonth and for each production step or department (see Worksheet 7)• An inventory of major equipment, such as boilers, air compressors, motors (see Worksheet 8)• Overview of information collected for each process step / for each department (see Worksheet 9)• Company greenhouse gas (GHG) emissions (see GHG Indicator)Note: the amount and quality of information available is most important for task 2d (quantifying inputsand outputs and costs for focus areas). If only limited information is available, then task 2d can only becarried out in less detail or more time is needed to measure and collect data.See “Company examples” for examples of companies that participated in the GERIAP project on howthey did the pre-assessment.Information on the CD-ROM and website:• Company examples (Appendix A)• Worksheets (Worksheet 5, 6, 7, 8, 9, see Appendix B)• GHG Indicator1d. Select focus areasPart 2How to Become EnergyEfficientNow it is time to select focus areas. A focus area can be:• The entire plant• A department, production line, or process step, such as the kiln or the packaging plant• Specific (energy) equipment or resources, such as steam, compressed air, motors, or fansThe Team meets for a 1-4 hour brainstorm session to prepare a list of possible focus areas, and to choosefocus areas based on for example (see Worksheet 10):• Size of the plant• Management’s areas of interest or concern• High energy / resource consumption or costs• Areas for which energy efficiency audits or project have not yet been carried out• Expertise and knowledge of staff about a certain area• Plans for construction or upgrading• Available information for a certain areaNote: this information has already been collected as part of the management meeting and the preassessment!Information on the CD-ROM and website:• Company examples (see Appendix A) for examples of companies that participated in the GERIAPproject on how they addressed the selection of focus areas• Worksheets (Worksheet 10, see Appendix B)1e. Prepare assessment proposal for top management approvalIt is important to obtain top management commitment because an energy assessment costs money andstaff time and can interrupt the production process. This can only be achieved if there is a clear proposalfor the energy assessment (step 2, 3 and 4 of the methodology).This proposal can be prepared within the company (e.g. the production manager, energy manager or aninternal Team or committee) or by an external facilitator who has been involved in tasks 1a – 1d (e.g.by a consultant, a Cleaner Production Centre or other service provider).Energy Efficiency Guide for Industry in Asia23

Part 2How to Become EnergyEfficientThe assessment proposal should include (see Worksheet 11):• Objectives (i.e. agreed in the meeting with management)• Scope (i.e. focus areas)• Outputs (i.e. an proposal for implementation of feasible options to improve energy efficiency)• Approach (i.e. the steps 2, 3 and 4 of the Methodology – how detailed each step and task shouldbe depends on the company, because each company is different!)• Team (i.e. who will take part in the assessment and the roles and responsibilities of each Teammember)• Time planning (i.e. how much time / man days is needed for each step and task, a timeframe withdeadlines)• Budget (i.e. how much money is needed for the assessment)The proposal is then sent or presented to top management for comments and approval. In case of anexternal facilitator, consultant or service provider a contract is signed for assistance with the energyassessment.Information on the CD-ROM and website:• Company examples (see Appendix A) for examples of companies that participated in the GERIAPproject on how they addressed the assessment proposal to top management• Worksheets (Worksheet 11, see Appendix B)Step 2 - AssessmentThe purpose of step 2 is to assess where energy is lost/wasted for the focus area(s).The output of step 2 is an overview of how much energy is lost and how much money this costs for thefocus area(s). Then it becomes easier to identify options to improve energy efficiency in step 3!Tasks under step 2 and the estimated minimum time needed include:*• Task 2a: Staff meeting and training (minimum 0.5 day for staff meeting only)• Task 2b: Prepare focus area flow charts (minimum 2 hours per focus area)• Task 2c: Walkthrough of focus areas (depending on the focus area, but minimum 0.5 day per focusarea, excluding collection of detailed data for task 2d)• Task 2d: Quantify inputs and outputs and costs to establish a baseline (time required depends ondata available as determined during the pre-assessment, task 1c)• Task 2e: Quantify losses through a material and energy balance (0.5 – 1 day per focus area providedthat data were collected under task 2d)* Note: the selection of tasks, time needed and who does what should already be included in the energyassessment proposal to top management that was prepared under task 1e. Although task 2b, 2d and 2e aredescribed as separate tasks, it is possible to combine these, which will avoid repetition and save the Teamtime!2a. Staff meeting and trainingAs a minimum the Team should organize a staff meeting to inform staff about the assessment and theirroles and to get their support. Staff from the focus areas should attend this meeting, but preferablyeveryone from top management to production staff throughout the plant should get an introduction.Production staff are important because they are the ones who work in the focus area every day andunderstand the production processes best!It is recommended that the Team and staff working in the focus areas receive training on CP and energyefficiency, how to carry out an assessment, and technical training on energy equipment, depending onwhether: :24Energy Efficiency Guide for Industry in Asia

• The Team has sufficient knowledge and experience to carry out the energy assessment• An objective of the energy assessment is to increase staff’s knowledge and experience so that theycan continue with energy assessments in the future (as indicated by top management under task1a) or only to find quick energy efficiency options• The company’s Team or external consultants carry out the energy assessmentSee Worksheet 12 for suggested training. Note that this Guide includes training material for companystaff!Other possible activities include hanging up posters, starting a slogan campaign, explanation at section/department meetings, and announcements through a letter from top management to staff or through acompany newsletter.Information on the CD-ROM and website:• Company examples (see Appendix A) for examples of companies that participated in the GERIAPproject on how they addressed the staff meeting and training• Worksheets (Worksheet 12, see Appendix B)2b. Prepare focus area flow chartsPart 2How to Become EnergyEfficientThe Team should prepare a flow chart for each of the selected focus areas as follows (see Worksheet13):• List the different steps of the focus area and draw a box around each step• List the most important inputs (resources) for each step on the left, such as energy (electricity,fuels), water, raw materials and chemicals• List the most important outputs for each step on the right, such as solid wastes, heat, emissions,noise and wastewater• List the intermediate and final products between the steps, such as clinker and cementAdd any information on units of measurement for inputs and outputs and quantities and costs that isalready available. Otherwise this information can be gathered as part of the next tasks.The focus area flow chart will look differently for a department or process step (e.g. kiln, boiler house)compared to specific energy uses (e.g. steam system, motors, fans).Information on the CD-ROM and website:• Company examples (see Appendix A) for examples of flow charts of focus areas for companiesthat participated in the GERIAP project• Worksheets (Worksheet 13, see Appendix B)2c. Walkthrough of focus areasThe Team now conducts a detailed walkthrough of the focus areas, usually starting at the first step of theprocess flow chart and finishing at the last step. The purpose of the walkthrough is to:• Better understand the focus area• Get feedback from production staff about problems they have with procedures and operatingequipment, and possible losses of energy and other materials• Write down any visible losses of energy and materials such as steam and water leaks, damagedvalves and pipelines, excess blow-down from the boiler, etc (see Worksheet 14 for moreexamples)• Obtain information about quantities and costs for the inputs and outputs of each focus area stepthrough interviews with staff, metering reports, or taking measurements (needed for task 2d)Energy Efficiency Guide for Industry in Asia25

The first walkthrough is done thoroughly. But in practice, the Team will visit the focus area severaltimes to meet with production staff and gather more information on inputs and outputs (task 2d) andlater to identify and investigate energy efficiency options (step 3 and step 4).Information on the CD-ROM and website:• Company examples (see Appendix A) for examples of companies that participated in the GERIAPproject on how they addressed the walkthrough of focus areas• Worksheets (Worksheet 14, see Appendix B)Part 2How to Become EnergyEfficient2d. Quantify inputs and outputs and costs to establish a baselineA baseline is important because you can measure improvements after implementing options, andmanagement will only be convinced to continue if you can show how much resources and money wassaved.To establish a baseline, for each input and output in the process flow chart collect the followinginformation (see Worksheet 13):• Quantities (e.g. tons of coal per day)• Costs (e.g. $ per ton of coal)• Other characteristics (e.g. temperature of water going in and out of the boiler, pressure)Ideally, you want quantity and cost information for 3 years, 12 months within one year, and the dayswithin one month, so that you can observe trends.The information can come from interviews with staff, readings of online meters, monitoring records,and by taking measurements with monitoring equipment (especially to verify data records!)However, in practice it is not always possible to do all this because:• Not all companies have this information readily available. For example, a company may onlyhave electricity bills and an electricity meter for the plant but no breakdown for each equipmentor department that uses electricity• Monitoring equipment is not available at the plant• There is limited time available to complete this taskThe level of detail and how much time is needed to measure and collect data under this task shouldalready be identified during the pre-assessment (task 1c). Possible solutions should also have beenincluded in the proposal to management (task 1e).Information on the CD-ROM and website:• Company examples (see Appendix A) for examples of companies that participated in the GERIAPproject on how they established a baseline• Worksheets (Worksheet 13, see Appendix B)2e. Quantify losses through a material and energy balanceWhat goes into a process must come out somewhere else. Based on the process flow chart and quantifiedinputs and outputs prepared in the previous tasks, try to “balance” the inputs and outputs side.Any inputs that do not come out as useful outputs (e.g. product, steam) are considered “losses”. Thesecan include losses of energy (e.g. through heat, blow-down, flue gases, un-burnt materials), and lossesof products and materials (e.g. water, chemicals, product rejects and off cuts).Using the cost information (task 2d), calculate the costs of the losses. This will allow you to focus onoptions from a cost and resource point of view.26Energy Efficiency Guide for Industry in Asia

Completing a full and detailed material and energy balance could take a long time, especially if thereis little data on inputs and outputs at the company. It is also more difficult to determine energy lossesbecause energy is not as tangible as raw materials and wastes.It is important to be practical and focus on quantifying at least the biggest and most expensive losses,because this will form the basis of identifying options for improvement.Information on the CD-ROM and website:• Company examples (see Appendix A) for examples of companies that participated in the GERIAPproject on how they prepared a useful material and energy balance• Worksheets (Worksheet 13, see Appendix B)Step 3 - Identification of OptionsThe purpose of step 3 is to identify opportunities to improve energy efficiency for the selected focusareas.The output is a list of options that will be investigated on their feasibility in step 4.Part 2How to Become EnergyEfficientTasks under step 3 and the estimated time needed include:*• Task 3a: Determine causes of losses (estimated 0.5 day per focus area)• Task 3b: Identify possible options (estimated 0.5 day per focus area)• Task 3c: Screen options for feasibility analysis (estimated 0.5 day)* Note: the time needed and who does what should already be included in the proposal prepared undertask 1e. Step 3 can take between 1 – 3 days depending on the number of focus areas, the number andtype of losses and causes, the time available, the technical expertise of the Team members and if tasks3a – 3c are carried out separately or together. For example a one-day workshop can be held where theTeam first looks at the causes of losses, then identifies possible options and finally screens options forfeasibility analysis.3a. Determine causes of lossesOnce we have identified the losses, it is important to answer the question: Why are these lossesoccurring?The best way to analyze the causes is through a brainstorm session, which is a meeting with the Teamand other staff from the focus areas to discuss the losses. One person can act as facilitator and makenotes on a whiteboard so that everyone can follow the discussion.It is important to continue asking “why” until you have found the real cause or “root cause” of theproblem. A common problem with boilers is un-burnt ashes. Why? Because the air supply to the boileris too low. Why? Because the meter gives a wrong reading of air supplied. Why? Because the meter hasnot been maintained properly. Why? Because boiler operators nor maintenance staff maintain the boiler.Why? Because the maintenance procedures do not specify who should maintain the boiler and howoften. This is the root cause of your loss. And only now it is possible to come up with options to solvethis problem permanently. In our example, increasing the air supply is a temporary solution (savinglittle energy in the short term), whereas changing maintenance procedures is a permanent solution(saving a lot of energy in the long term).Worksheet 15, the Fishbone Diagram tool, and Company examples from companies that participated inthe GERIAP project can help you find the causes for losses at your selected focus areas.Energy Efficiency Guide for Industry in Asia27

Information on the CD-ROM and website:• Company examples (see Appendix A)• Worksheets (Worksheet 15, see Appendix B)• Fishbone Diagram3b. Identify possible optionsOnce we know why losses occur, we can move to the next question: What can we do to solve it?Part 2How to Become EnergyEfficientA brainstorm session with the Team and other staff from the focus areas is the best way to come up withpossible options. Options can fall in the following categories:• Good housekeeping• Improved process management• Production process / equipment modification• New technology / equipment• Input material substitution• On-site reuse / recovery• Production of useful by-product• Product modificationClick on “Option categories” on the website for an explanation and examples for each category. You canalso use Worksheet 15 to write down possible options.There is no such thing as a “bad idea” so everyone should be encouraged to come up with as manypossible options as possible! Sometimes hundreds of possible options are generated for one focus areaalone.Another source of possible options are the notes from the walkthrough of focus areas under task 2c(Worksheet 14) and the notes from the discussion with top management about energy management inthe company under task 1a (Worksheet 2).Information on the CD-ROM and website:• Company examples (see Appendix A) for examples from companies that participated in theGERIAP project on how they identified possible options• Worksheets (Worksheet 15, see Appendix B)• Option categories3c. Screen options for feasibility analysisThe Team now needs to decide which possible options to investigate for feasibility. The easiest way todo the screening of options is by putting them in one of these categories:• Options that can be implemented directly. They are technically simple and need little or no moneyto implement. For example, repairing leaks, changing an operating procedure, reducing excess airfrom the boiler• Options that require further analysis. These options are technically more complex or require afinancial investment. For example, replacing a compressor, recovering heat from boiler blowdown,or replacing lime with alternative materials in cement production• Options that can be considered at a later stage. These options are probably difficult to investigateand implement, for example, because the costs are too high, they take too much time to investigate,or a plant upgrade is planned that will cover this option already28Energy Efficiency Guide for Industry in Asia

The meeting with management under task 1a should also give you an indication of what screeningcriteria to apply!Worksheet 15 can be used to categorize options, and look under “Company examples” to see what othercompanies have done.Options that require further analysis will be investigated for their technical, financial and environmentalfeasibility as part of step 4. Options that can be implemented directly do not require a feasibility analysis,however, the technical, financial and environmental details will still need to be recorded.Information on the CD-ROM and website:• Company examples (see Appendix A)• Worksheets (Worksheet 15, see Appendix B)Step 4 - Feasibility analysis of optionsThe purpose of step 4 is to determine which options are technically, financially and environmentallyfeasible and in what order feasible options should be implemented.The output of step 4 is a proposal that is approved by top management, with recommended options forimplementation and how to do this, plus a list of options that require further investigation or which arenot feasible.Part 2How to Become EnergyEfficientTasks under step 4 and the estimated time needed include:• Task 4a: Technical, economic and environmental evaluation of options (time depends on thenumber and complexity of options investigated)*• Task 4b: Rank feasible options for implementation (0.5-1 day)• Task 4c: Prepare implementation and monitoring proposal for top management approval (2-3days)*If top management has given a maximum amount of time for the feasibility analysis, then the numberand type of options selected for feasibility analysis should be adjusted accordingly.4a. Technical, economic and environmental evaluation of optionsThe Team can now investigate which options are technically, economically and environmentallyfeasible. How this is done is described below. You can use Worksheet 16 to write down the results.First of all, you must decide what tasks should be done for each option, i.e. what do you need to find outto know if an option is feasible? This should include (see “Feasibility analysis tools” for more detailsand examples):• Technical feasibility: need for new equipment, space availability, impact on product quality, stafftime required• Economic feasibility: one-off investment costs, annual operating/ongoing costs, annual costsavings, payback period• Environmental feasibility: impact on energy consumption and greenhouse gas emissions, but alsolook at water use, raw material use, solid waste, wastewater, other air emissions, noise, odours anddustSecond, you need to identify other possible reasons for implementing the option. For example, ifcompany emission levels are higher than legal limits then this may be a reason to implement an optioneven if the option is expensive.Energy Efficiency Guide for Industry in Asia29

Third, you need to think of possible barriers to implementing the option. For example, an option mayhave large savings and a short payback period, but investment capital is not available in the company.Lack of monitoring equipment may make monitoring of results difficult. Try to think of possiblesolutions too!Also consider comments from top management on the reasons for energy efficiency, the current energymanagement practices and other factors of influence on improving energy efficiency (see Worksheet 1,2 and 3). MorePart 2How to Become EnergyEfficientInformation on the CD-ROM and website:• Company examples (see Appendix A) for more examples of other reasons and barriers• Worksheets (Worksheet 16, see appendix B)4b. Rank feasible options for implementationNow that we know which options are feasible we want to know: which options should be implementedfirst, second, third, etc. Organize another Team meeting to give each option a rank:• 1 - Options to be implemented in the short term, e.g. within one year• 2 - Options recommended for implementation but in the longer term• 3 - Option recommended for further investigation, or to be considered at a later stage• Unfeasible optionsThe results of the technical, economical and environmental feasibility analysis and the other reasons andbarriers are used as a basis to rank the options. In practice an open discussion amongst Team membersis enough to compare and rank the options. However, you could also start by giving a “low”, “medium”or “high” score for the technical, economical and environmental feasibility and other reasons, and thendecide on the ranking (see Worksheet 17).For options recommended for implementation in the short term (rank 1), you should now decide (andinclude in Worksheet 16):• What are the implementation and monitoring tasks• Who will be responsible for coordinating and carrying out these tasks (including internal staff, andexternal suppliers and consultants)• Completion dates• How much staff time is required• Other commentsThis will help with preparing an implementation proposal.Information on the CD-ROM and website:• Company examples (see Appendix A) for examples from companies that participated in theGERIAP project on how they ranked feasible options for implementation• Worksheets (Worksheet 16, 17, see Appendix B)4c. Prepare implementation and monitoring proposal for top management approvalTop management’s support is again needed for the implementation and monitoring of feasible optionsin the short term. The Team should prepare a proposal for an Implementation and Monitoring Plan totop management (see Worksheet 18):• An introduction• Number of options identified, options investigated for feasibility, feasible options, options requiringfurther investigation, and unfeasible options• Options recommended for implementation in the short term:30Energy Efficiency Guide for Industry in Asia

- Total estimated investment required, annual ongoing costs, annual savings and paybackperiod- Total estimated environmental benefits (energy, GHG emissions and resources/wastes)- Most important other reasons for implementation- Most persistent and difficult barriers and proposed solutions- Table with list of options including technical, economical, environmental, reasons andbarriers for each individual option• Team (who will carry out the implementation and monitoring, including external facilitators/consultants)• Communication of results to top management and staff• Appendices with- Worksheets 16 for options recommended for implementation in the short term- Worksheet 17 with details and ranking of all options investigatedThe proposal is then sent to top management for comments and approval. If an external facilitator,consultant or service provider is needed for the implementation and monitoring, a contract is signed.Information on the CD-ROM and website:• Company examples (see Appendix A) for examples from companies that participated in theGERIAP project on how they prepared this proposal to top management• Worksheets (Worksheet 18, see Appendix B)Part 2How to Become EnergyEfficientStep 5 - Implementation and monitoring of optionsThe purpose of step 5 is to implement feasible options in order of priority and monitor results anddiscuss findings with top management.The output of step 5 is improved energy efficiency, reduced costs and reduced GHG emissions fromimplemented options, and agreement with top management about the next steps.Tasks under step 5 and include:• Task 5a: Implement options and monitor results*• Task 5b: Evaluation meeting with top management (0.5 day)*How much time this task takes depends on the number and complexity of options to be implemented.This decision will have been made when top management approved the Implementation and MonitoringPlan.5a. Implement options and monitor resultsThe Team should carry out the Implementation and Monitoring Plan approved by top management.Use Worksheet 16 to record the monitored results for each option. These should at least include:• Economic results: one-off investment costs, annual operating/ongoing costs, annual cost savings,and payback period• Environmental results: energy consumption and greenhouse gas emissions, and other environmentalresults (depends on each option, such as water use, raw material use, solid waste, wastewater,other air emissions, noise, odors and dust)• Other results: e.g. any other benefits from the option (e.g. improved legal compliance, reducedinjuries) and barriers encounteredIn practice, the monitored results will often be slightly different from the feasibility analysis data.Energy Efficiency Guide for Industry in Asia31

Without monitoring it will be very difficult to convince management that energy efficiency projects arebeneficial to the company. You need to proof especially the financial benefits of implemented options toget their support for future projects.It is also important to communicate (interim) results throughout this phase to management and staff to:• Show management that energy efficiency is good for business and gain their support for futureprojects• Reward staff for their efforts in improving energy efficiency and encourage them to come up withnew optionsPart 2How to Become EnergyEfficientInformation on the CD-ROM and website:• Company examples (see Appendix A) for examples from companies that participated in theGERIAP project on how they implemented options and monitored results• Worksheets (Worksheet 16, see Appendix B)5b. Evaluation meeting with top managementAn evaluation meeting between the Team and top management is necessary to formally close the firstround of energy efficiency projects. But a second purpose is to gain their commitment to continue withenergy efficiency.At this 2-4 hour meeting discuss the following:• Results of the implemented options and how to communicate these internally and externally (see“Company examples” on how to do this)• How to continue to improve the company’s energy efficiency by agreeing with top management- Additional options for implementation (ranked 2 under task 4b)- Additional options for further investigation (ranked 3 under task 4b)- New focus areas to carry out more assessments (e.g. based on the list of possible focus areasfrom task 1d)• How to integrate energy management throughout the company’s systems by agreeing with topmanagement actions needed under the six categories of the Energy Management Matrix (seeWorksheet 3)- Policy and systems- Organization- Motivation- Information systems- Training and awareness- InvestmentTherefore this evaluation meeting could also be used as a first meeting with top management (task 1a)as part of a new cycle.Information on the CD-ROM and website:• Company examples (see Appendix A) for examples from companies that participated in theGERIAP project on how they managed the evaluation meeting with top management• Worksheets (Worksheet 3, see Appendix B)Step 6 - Continuous improvementThe purpose of step 6 is to ensure that the company continues with improving energy efficiency ina systematic way that is integrated in company processes (these are the key components of CleanerProduction).32Energy Efficiency Guide for Industry in Asia

The output of step 6 is continuation of implementing energy efficiency options and integration of energymanagement into company processes.Step 6 has only one task:• Task 6a: Prepare a proposal to continue with energy efficiency for top management approval (2-3days)6a. Prepare a proposal to continue with energy efficiency for top management approvalThe Team should now write a proposal based on what was agreed with top management at the evaluationmeeting and seek top management approval.Write this proposal by making use of :• Worksheet 11 - Assessment proposal (for the assessment of new selected focus areas and thefeasibility analysis of the additional options selected for further investigation)• Worksheet 18 - Implementation and monitoring proposal (for additional options selected forimplementation and energy management improvement options)Therefore writing this proposal is in fact a combination of preparing and assessment proposal (task 1e)and an implementation and monitoring proposal (task 4c) as part of a new cycle.Part 2How to Become EnergyEfficientEnergy management has been integrated into the Methodology, for example:• The quality of the pre-assessment (task 1c) and assessment (step 2) depend largely on the qualityof energy management systems• Some of the identified options were aimed at improving energy management (task 3b)• Many of the barriers for options are energy management barriers (task 4a)For this reason, continuous improvement can only be achieved by effective energy managementand integration of energy management into other company processes and systems (see the EnergyManagement Matrix in Worksheet 3). For example, energy management should be integrated into thesame management system for environment, health and safety, quality, and risks.With the experience the Team now has, they can focus even more on improving energy management ina second cycle of the Methodology.Information on the CD-ROM and website:• Company examples (see Appendix A) for examples from companies that participated in theGERIAP project on how they work for a continuous improvement• Worksheets (Worksheet 3, 11 and 18, see Appendix B)Energy Efficiency Guide for Industry in Asia33

Part 3: Industry sectorsThis part gives process information, energy efficiency options and company case studies for more than40 companies in five industrial sectors: cement, chemicals, ceramics, iron & steel and pulp & paper.This hard copy Guide gives a summary of what is included on the CD-ROM and websiteWhen you go to the Industry sectors part on the CD-ROM or website, the following screen willappear:Description of each industry sectorPart 3Industry SectorsGERIAP covers the following five industry sectors• Cement: producers of different types of cement, mostly covering the entire process from mining,production of clinker to the production of cement. Some companies only produce lime or purchaseclinker from elsewhere to produce cement. The Guide covers the entire process.• Chemicals: this is the most diverse sector and includes producers of fertilizers, rubber products,plastics, distilleries (for Mongolia), drugs, and paints. Because it is not possible to prepare sectordescriptions, option checklists etc for all chemical companies combined, the chemicals chapter inthe Guide only focuses on fertilizer production.• Ceramics: producers of tiles, ceramic products (cups, bowls, vases etc). Because processes arediverse for different ceramics products, the ceramics chapter in the Guide focuses specifically ontiles manufacturing.• Iron & steel: primary and secondary steel producers have been included, but the Guide focusesparticularly on secondary steel production, which represents the majority of participating companiesin the GERIAP project.• Pulp & paper: producers of pulp and paper and manufacturers of paper only. The Guide coversboth pulp and paper manufacturing.For each sector the following information is given:• Sector description• Process flow• Main process equipment: a general description of the equipment used in different processes andEnergy Efficiency Guide for Industry in Asia 37

comparing the energy efficiency between each of them• Energy efficiency opportunities (including option checklists)• ReferencesExample of industry sector chapter: cementTo give an idea of what information you can find on the CD-ROM and website for each industry sector,an example is given for the cement chapter.When you click on “Cement” in the Industry Sector part on the CD-ROM or website, you will see thescreen below.Part 3Industry SectorsThe arrows on the right are links to training materials, case studies, option checklists and contactsrelevant to the cement sector. These arrows are described in Part 5.Sector descriptionThis section briefly describes the cement sector and gives a short introduction to the main features ofthe sector.Process flowThis section gives a process flow of the cement production process, describes each process step and themain inputs and outputs.The basic process of Cement production as shown in figure 1 involves:1. Acquisition of raw materials2. Preparation of the raw materials for pyroprocessing3. Pyroprocessing of the raw materials to form Portland cement clinker, and,4. Grinding the clinker to Portland Cement38Energy Efficiency Guide for Industry in Asia

Figure 1: Cement Production Process. Reference: http://www.acclimited.comMining: Limestone, the key raw materialis mined in the quarries with compressedair drilling and subsequently blastingwith explosives. The mined limestone istransported through dumpers or ropeways tothe plant. Surface mining is gradually gainingground because of its eco friendliness.Part 3Industry SectorsFigure 2: Raw Material. Reference: http://www.cement.orgCrushing: The limestone as mined is fed to a primary and secondarycrusher, where the size is reduced to 25 mm. More recently, tertiarycrushers are used to further reduce the inlet size to the mill. Thecrushed limestone is stored in the stockpile through stackerconveyors. The crushed limestone, bauxite and ferrite are storedin feed hoppers from where they are fed to the raw mill via weighfeeders in the required proportion.Other process steps are described on the CD-ROM and website.Figure 3: CrushingReference: http://www.cement.orgEnergy Efficiency Guide for Industry in Asia 39

Major process equipmentThis section includes a general description of the equipment used in different process steps of cementproduction, and compares the energy efficiency between different equipment that are used for the sameprocess step.Energy efficiency opportunitiesEnergy efficiency options will reduce energy consumption and greenhouse gas emissions. However,the cement sector is also a main producer of greenhouse gas emissions because when limestone isburnt large quantities of CO 2emissions are released. Options to reduce greenhouse gas emissions cantherefore also focus on reducing the percentage of lime in the clinker, for example by partially replacingit with other materials.Energy efficiency opportunities for cement production can be grouped as follows:• Capacity utilization• Fine tuning of equipment• Technology upgrading• Energy efficient technologiesCapacity utilizationPart 3Industry SectorsHigh capacity utilization is very essential for achieving energy efficiency. This brings down the fixedenergy loss component of the specific energy consumption. Survey of excellent energy efficientcompanies show that 80 percent of the companies attribute capacity utilization as one of the foremostreason for a major drop in specific energy consumption. At least 90 percent capacity utilization is tobe ensured for achieving low specific energy consumption. Also achieving high capacity utilization isunder the control of plant personnel. Hence the first and foremost step for an aspiring energy efficientunit should be on increasing capacity utilization and reduce the specific energy consumption.Opportunities for the other areas are included in the CD-ROM and website version of the Guide.References1. National Productivity Council- Energy Audit reports in Cement Industries2. Reports from Lawrence Berkley Laboratory3. Web Sites: India Cements Ltd, Australian Cement Institute40Energy Efficiency Guide for Industry in Asia

Part 4Energy Equipment

Part 4: Energy equipmentWhen you go to the Energy Equipment part on the CD-ROM and website you will see the screen below.For different types of electrical and thermal energy equipments, such as boilers, fans and motors, thispart provides technical information, options for energy conservation, training materials, case studies, anduseful contacts. You can also find out about the different monitoring equipment available to assess theefficiency of various types of energy equipment. Information can be read as html or can be downloadedas pdf files as well.The arrows on the right are links to various tools and resources (training materials, technical tools,case studies, contacts), which are described in Part 5.This hard copy Guide gives a summary of what is included on the CD-ROM and websiteElectrical energy equipmentBefore different types of electrical energy equipment are described it is important to understand thebasics of electricity. The electricity chapter gives the following information:• General information about electricity such as basic formulas, phase of electricity, and generationand distribution of electricity• Electricity billing mechanisms• Electrical load management• Active and reactive power (capacitors/power factor controllers)• TransformersPart 4Energy EquipmentChapters are included for different electrical energy equipment:• Electric motors• Fans and blowers• Pumps and pumping systems• Cooling towers• Air conditioning and Refrigeration• Compressors and compressed air systemEnergy Efficiency Guide for Industry in Asia 43

Each of these chapters follows the same structure as the thermal energy equipment chapters:• What is the equipment• Types of the equipment• Assessment of the equipment• Energy efficiency opportunities• Option checklist• Worksheets and other tools• ReferencesAn example of what information is included under each heading is given for the “Boilers & thermicfluid heaters” Part 4 on page 45.Thermal energy equipmentBefore different types of thermal energy equipment are described, the first chapter “Fuels & combustion”gives the basics of fuels (oil, gas and coal) and combustion processes.Next, chapters are included for different thermal energy equipments:• Boilers and thermic fluid heaters• Steam distribution and utilization• Furnaces and refractories• Waste heat recovery• CogenerationEach of these chapters (including the Fuels & combustion chapter) follows the same structure:• What is the equipment• Types of the equipment• Assessment of the equipment• Energy efficiency opportunities• Option checklist• Worksheets and other tools• ReferencesAn example of what information is included under each heading is given for the “Boilers & thermicfluid heaters” Part 4 on page 45..Part 4Energy EquipmentMonitoring equipmentMonitoring equipment can be useful to measure the actual operating parameters of various energyequipment and compare them with the design parameters to determine if energy efficiency can beimproved. Or monitoring equipment can be used to identify measure steam or compressed air leaks.Parameters that are often monitored during an energy assessment are:• Basic electrical parameters in AC & DC systems: voltage (V), current (I), power factor,active power (kW), maximum demand (kVA), reactive power (kVAr), energy consumption (kWh),frequency (Hz), harmonics, etc.• Other non-electrical parameters: temperature and heat flow, radiation, air and gas flow, liquid flow,revolutions per minute (RPM), air velocity, noise and vibration, dust concentration, total dissolvedsolids (TDS), pH, moisture content, relative humidity, flue gas analysis (CO 2, O 2, CO, SO x, NO x),combustion efficiency, etc.The CD-ROM and website of the Guide provide information for various monitoring equipment that areoften used during energy assessments in industry:• Electrical measuring instruments• Combustion analyzers44Energy Efficiency Guide for Industry in Asia

• Thermometers• Manometers• Water flow meters• Speed measurement• Leak detectors• Lux metersThere is one chapter for all monitoring equipments combined, and for each type of monitoring equipmentthe following information is given:• What the monitoring equipment does• Where the monitoring equipment is used• How to operate the monitoring equipment• Precautions and safety measures necessary for the monitoring equipment• ReferencesAn example of what information is included under each heading is given for a combustion analyzer onpage 45..Example of the energy equipment chapter: Boilers & thermic fluid heatersTo give an idea of what information you can find on the CD-ROM and website for each type of electricaland thermal energy equipment, an example is given in the chapter for boilers & thermic fluid heaters.When you click on the “Boilers & thermic fluid heaters” in the Energy Equipment part on the CD-ROMand website, you will see the screen below.The arrows on the right are links to training materials, case studies, contacts and links relevant to boilersand thermal fluid heaters. These arrows are described in Part 5.Part 4Energy EquipmentEnergy Efficiency Guide for Industry in Asia 45

What is a boilerThis section briefly describes the Boiler and various auxiliaries in the Boiler Room.A boiler is an enclosed vessel that provides a means for combustion heat to be transferred into water untilit becomes heated water or steam. The hot water or steam under pressure is then usable for transferringthe heat to a process. Water is a useful and inexpensive medium for transferring heat to a process. Whenwater is boiled into steam its volume increases about 1,600 times, producing a force that is almost asexplosive as gunpowder. This causes the boiler to be an extremely dangerous piece of equipment thatmust be treated with utmost care.The boiler system comprises of: a feed water system, steam system and fuel system. The feed watersystem provides water to the boiler and regulates it automatically to meet the steam demand. Variousvalves provide access for maintenance and repair. The steam system collects and controls the steamproduced in the boiler. Steam is directed through a piping system to the point of use. Throughout thesystem, steam pressure is regulated using valves and checked with steam pressure gauges. The fuelsystem includes all equipment used to provide fuel to generate the necessary heat. The equipmentrequired in the fuel system depends on the type of fuel used in the system.The water supplied to the boiler that is converted into steam is called feed water. The two sources offeed water are: (1) Condensate or condensed steam returned from the processes and (2) Makeup water(treated raw water) which must come from outside the boiler room and plant processes. For higherboiler efficiencies, an economizer preheats the feed water using the waste heat in the flue gas.STEAM TOPROCESSEXHAUST GASVENTSTACKEconomizerDEAERATORPUMPSPart 4Energy EquipmentVENTBLOW DOWNSEPARATORBOILERBURNERFUELWater SourceCHEMICAL FEEDBRINESOFTENERSFigure: A typical schematic of a boiler roomReference: National Productivity Council46Energy Efficiency Guide for Industry in Asia

Types of boilersThis section describes the various types of boilers: fire tube boiler, water tube boiler, packaged boiler,fluidized bed combustion boiler, atmospheric fluidized bed combustion boiler, pressurized fluidizedbed combustion boiler, circulating fluidized bed combustion boiler, stoker fired boiler, pulverized fuelboiler, waste heat boiler and thermic fluid heater.Fire Tube BoilerIn a fire tube boiler, hot gases pass through the tubes and boiler feed water in the shell side is convertedinto steam. Fire tube boilers are generally used for relatively small steam capacities and low to mediumsteam pressures. As a guideline, fire tube boilers are competitive for steam rates up to 12,000 kg/hourand pressures up to 18 kg/cm 2 . Fire tube boilers are available for operation with oil, gas or solid fuels.For economic reasons, most fire tube boilers are of “packaged” construction (i.e. manufacturer erected)for all fuels.Figure: Sectional view of a fire tube boilerReference: http://www.bathtram.org/tfb/tT111.htmOther types of boilers are described on the CD-ROM and website.Assessment of boilersThis section describes the performance evaluation of boilers (through the direct & indirect methodincluding examples for efficiency calculations), boiler blow-down and boiler water treatment.Part 4Energy EquipmentPerformance Evaluation of a BoilerThe performance parameters of a boiler, like efficiency and evaporation ratio, reduces with time dueto poor combustion, heat transfer surface fouling and poor operation and maintenance. Even for a newboiler, reasons such as deteriorating fuel quality and water quality can result in poor boiler performance.A heat balance helps us to identify avoidable and unavoidable heat losses. Boiler efficiency tests helpus to find out the deviation of boiler efficiency from the best efficiency and target problem area forcorrective action.Energy Efficiency Guide for Industry in Asia 47

Heat balanceThe combustion process in a boiler can be described in the form of an energy flow diagram. This showsgraphically how the input energy from the fuel is transformed into the various useful energy flows andinto heat and energy loss flows. The thickness of the arrows indicates the amount of energy containedin the respective flows.Figure: Energy balance diagram of a boilerReference: National Productivity Council, Field ExperienceA heat balance is an attempt to balance the total energy entering a boiler against that leaving the boilerin different forms. The following figure illustrates the different losses occurring for generating steam.100.0 %FuelBOILER12.7 %8.1 %1.7 %0.3 %Heat loss due to dry flue gasDry Heat Flue loss Gas due Lossto steam in flue gasHeat loss due to moisture in fuelHeat loss due to moisture in air2.4 %1.0 %73.8 %Heat loss due to unburnts in residueHeat loss due to radiation & otherunaccounted lossHeat in SteamPart 4Energy EquipmentFigure: Typical losses from a coal fired boilerReference: National Productivity Council, Field ExperienceThe energy losses can be divided in unavoidable and avoidable losses. The goal of a cleaner productionand/or energy assessment must be to reduce the avoidable losses, i.e. to improve energy efficiency. Thefollowing losses can be avoided or reduced:• Stack gas losses:- Excess air (reduce to the necessary minimum which depends from burner technology,operation, operation (i.e. control) and maintenance)- Stack gas temperature (reduce by optimizing maintenance (cleaning), load; better burner andboiler technology)• Losses by un-burnt fuel in stack and ash (optimize operation and maintenance; better technologyof burner)• Blow-down losses (treat fresh feed water, recycle condensate)• Condensate losses (recover the largest possible amount of condensate)• Convection and radiation losses (reduced by better insulation of the boiler)The rest of this section is included on the CD-ROM and website.48Energy Efficiency Guide for Industry in Asia

Energy efficiency opportunitiesThis section includes energy efficiency opportunities related to combustion, heat transfer, avoidablelosses, auxiliary power consumption, water quality and blow-down.Energy losses and therefore energy efficiency opportunities in boilers can be related to combustion, heattransfer, avoidable losses, high auxiliary power consumption, water quality and blow-down.The various energy efficiency opportunities in a boiler system can be related to:• Stack temperature control• Feed water preheating using economizers• Combustion air pre-heating• Incomplete combustion minimization• Excess air control• Radiation and convection heat loss avoidance• Reduction of scaling and soot losses• Reduction of boiler steam pressure• Variable speed control for fans, blowers and pumps• Controlling boiler loading• Proper boiler scheduling• Boiler replacementStack Temperature ControlThe stack temperature should be as low as possible. However, it should not be so low that water vapor inthe exhaust condenses on the stack walls. This is important in fuels containing significant sulphur as lowtemperature can lead to sulphur dew point corrosion. Stack temperatures greater than 200°C indicatespotential for recovery of waste heat. It also indicates the scaling of heat transfer/recovery equipment andhence the urgency of taking an early shut down for water / flue side cleaning.Energy efficiency opportunities for the other areas are included on the CD-ROM and website.Option checklistThis section includes the most common options for improving the energy efficiency of a boiler.Periodic tasks and checks outside of the boiler• All access doors and plate work should be maintained air tight with effective gaskets.• Flue systems should have all joints sealed effectively and be insulated where appropriate.• Boiler shells and sections should be effectively insulated. Is existing insulation adequate? Ifinsulation was applied to boilers, pipes and hot water cylinders several years ago, it is almostcertainly too thin even if it appears in good condition. Remember, it was installed when fuel costswere much lower. Increased thickness may well be justified.• At the end of the heating season, boilers should be sealed thoroughly, internal surfaces eitherventilated naturally during the summer or very thoroughly sealed with tray of desiccant inserted.(Only applicable to boilers that will stand idle between heating seasons).Part 4Energy EquipmentA longer checklist of options for boilers is included on the CD-ROM and website.Worksheets and other toolsThis section includes worksheets (boiler performance; data collection sheet; fuel analysis sheet) andother tools (boiler performance checklist; general rules (rules of thumb); Do’s and Don’ts).Energy Efficiency Guide for Industry in Asia 49

Part 4Energy EquipmentWORKSHEET BOILER: BOILER PERFORMANCENo Parameter reference Units Readings1 Ultimate AnalysisCarbonHydrogenOxygenSulphurNitrogenMoistureAshper centper centper centper centper centper centper cent2 GCV of Fuel KCal/kg3 Oxygen in Flue Gas per cent4 Flue Gas Temperature (T f) 0C5 Ambient Temperature (T a) 0C6 Humidity in Air Kg/kg of dry air7 Combustible in Ash per cent8 GCV of Ash KCal/kg9 Excess Air Supplied (EA): (O 2x 100)/(21 – O 2) per cent10 Theoretical air requirement (TAR)[11 x C + {34.5 x (H 2– O 2/8)} + 4.32 x S]/10011 Actual mass of air supplied{1 + EA/100} x theoretical air12 Percentage heat loss due to dry flue gas{k x (T f– T a)} / per centCO2Where, k (Seigert const.)= 0.65 for Coal= 0.56 for Oil= 0.40 for NG13 Percentage heat loss due to evaporation of water formed dueto H 2in fuel: [9 x H2 {584 + 0.45(T f– T a)}]/ GCV of Fuel14 Percentage heat loss due to evaporation of moisture present infuel: [M x {584 + 0.45 x (T f– T a)}] / GCV of Fuel15 Percentage heat loss due to moisture present in air{AAS x Humidity x 0.45 (T f– T a) x 100} / GCV of Fuel16 Percentage heat loss due to combustibles in ash{Ash x (100 – Comb. In Ash) x GCV of Ash x 100} / GCV ofFuelkg/kg of fuelkg/kg of fuelper centper centper centper centper cent17 Total Losses per cent18 Efficiency per centOther worksheets and tools are included on the CD-ROM and website.50Energy Efficiency Guide for Industry in Asia

References1. Considine, Douglas M., Energy Technology Handbook, McGraw Hill Inc, New York, 1977.2. Jackson, J. James, Steam Boiler Operation, Prentice-Hall Inc., New Jersey, 1980.3. Pincus, Leo I., Practical Boiler Water Treatment, McGraw Hill Inc., New York, 1962.4. Shields, Carl D., Boilers, McGraw Hill Book Company, U.S, 1961.5. Elonka, Jackson M., and Alex Higgins, Steam Boiler Room Questions & Answers, Third Edition6. Gunn, David., and Robert Horton, Industrial Boilers, Longman Scientific & Technical, NewYork7. India Energy Bus Project, Industrial Heat Generation and Distribution -NIFES Training ManualIssued For CEC8. Technical Papers, Boiler Congress-2000 Seminar, 11 & 12 January 20009. Fluidised Bed Coal-Fired Boilers – Department of Coal Publications, Government of India10. Fluidised Combustion of Coal – A National Coal Board Report, London11. Steam Generation, Distribution and Utilisation by TERI, GTZ and EMC12. Efficient Operation of Boilers by National Productivity Councilwww.eren.doe.govwww.oit.doe.gov/bestpracticeswww.pcra.orgwww.energy-efficiency.gov.ukwww.actionenergy.org.ukwww.cia.org.ukwww.altenergy.comExample of monitoring equipment information: combustion analyzerTo give an idea of what information you can find on the CD-ROM and website for each monitoring typeof equipment, and example is given for the combustion analyzer section in the monitoring equipmentchapter.What a combustion analyzer doesThe combustion analyzer is an instrument that measures the composition of the flue gases after thecombustion has taken place. Depending on the requirement at the site these can ordered to match therequirement. Basically all combustion analyzers measure the percentage oxygen or carbon dioxide inthe flue gases and then using an in-built programme to calculate the efficiency if required. The varioustypes of combustion analyzers are given below:Fuel Efficiency Monitor:This monitor measures Oxygen and temperature of the flue gas. Calorific values of common fuels arefed into the microprocessor which calculates the combustion efficiency.Part 4Energy EquipmentEnergy Efficiency Guide for Industry in Asia51

Fyrite:A hand bellow pump draws the flue gas sample into the solution inside the fyrite. A chemical reactionchanges the liquid volume revealing the amount of gas. The percentage oxygen or carbon dioxide canbe read from the scale.Gas analyzer:This instrument has in-built chemical cells which measure various gases such asCO 2, CO, NO X, SO Xetc.Where the combustion analyzer is usedPart 4Energy EquipmentThese instruments are used to determine the composition of the flue gases in the duct. The duct is thelarge piping arrangement of rectangular configuration and is used to flush out the combusted gases tothe chimney. The value obtained of the different composition of the flue gases are by volume basis.Mostly these instruments measure the percentage carbon dioxide or oxygen and the temperature of theflue gas. During energy audit studies the composition of the flue gases is desirable to be known to assessthe combustion conditions and also the in leakages of the atmospheric air into the system.How to operate a combustion analyzerThe different types of the combustion analyzers are operated differently. In all the instruments the probeis inserted into the duct through a small hole made in the duct for monitoring purposes. In case of afyrite, which is manually operated, the flue gas from the duct is sucked out using a manual pumpingdevice whereas in most of the other analyzers the flue gases are pumped out of the ducts using a suctionpump. The sucked gases react with the chemical/cells and give the reading of percentage oxygen orcarbon dioxide.52Energy Efficiency Guide for Industry in Asia

Precautions and safety measures necessary for the combustion analyzerSome of the safety precautions to be undertaken while using the instrument are:• Always calibrate the instrument in open (fresh) air before taking a set of measurements.• Check for any clogging of the air filters of the instrument• During measurements, ensure that the rubber tubing carrying the gases from the duct to theinstrument is not bended.• After insertion of the probe into the duct, care should be taken to wrap the opening space left bycotton rags to ensure that there is no, infiltration or ex-filtration of air• Thick cotton hand gloves, goggles, safety helmet etc. should be worn before taking the readings.Remember the gases you are handling are very hot.• More detailed safety and precautions should be consulted from the operation manual of theinstrument before using the equipmentReferenceshttp://www.energymanagertraining.com/energy_audit_instruments/new_energy_audit_equipment.htmPart 4Energy EquipmentEnergy Efficiency Guide for Industry in Asia53

Part 5Tools

Part 5: ToolsPart 5 offers training materials, option checklists, worksheets, a contact and information database andmany more tools and resources to help companies improve energy efficiency. Here you can also downloadmaterials that have been translated into Bahasa Indonesia, Chinese, Sinhala, Thai and Vietnameseand the translated hard copy Guide in Bangla, Mongolian and Tamil.This hard copy Guide gives a summary of what is included on the CD-ROM and websiteWhen you go to the Tools part of the Guide the following screen will appear:Training materialsTraining of company management and production staff is important because this allows the companyto identify and implement energy efficiency options by themselves. The training materials in this Guidecan be used by external organizations to train facilitators or company staff, but it is also possible to gothrough the training materials on your own.Training materials in the Guide are described in the table below. As new training materials are developedin the future, these will be made available on the website version of the Guide (www.energyefficiencyasia.org).Part 5ToolsEnergy Efficiency Guide for Industry in Asia57

Table: Training materials included in the GuideTopic Type of materials Contents and duration of presentationTranslatedinto 5AsianlanguagesCompanyEnergyEfficiencyMethodologyTextbookPresentationslidesA six step methodology for companies tobecome more energy efficientYesEnergyequipmentTextbookchapters(see Part 3of Guide)Presentationslides andspeaker notesElectrical energy equipments:• Electricity (1 hr)• Electric motors (1.5 hrs)• Fans and blowers (1.5 hrs)• Pumps and pumping systems (1.5 hrs)• Cooling towers (1.5 hrs)• Air conditioning and refrigeration (1.5 hrs)• Compressors and compressedair system (1.5 hrs)NoTextbookchapters(see Part 3of Guide)Presentationslides andspeaker notesThermal energy equipments:• Fuels and combustion (1.5 hrs)• Boilers and thermic fluid heaters (2.5 hrs)• Steam distribution and utilization (2.5 hrs)• Furnaces and refractories (2.5 hrs)• Waste heat recovery (1 hr)• Cogeneration (1 hr)NoTextbook chapter(see Part 3 ofGuidePresentation slidesand speaker notesMonitoring equipments (1.5 hrs)NoIndustrysectorsTextbookchapters(see Part 4of Guide)Presentation slidesandspeaker notesCement (1 hr)Chemicals (fertilizer production only) (1 hr)Ceramics (tiles manufacturing only) (1 hr)Pulp and paper (1 hr)Iron and steel (secondary steel only) (1 hr)Other Presentation slides Climate change (1 hr) NoNoPresentation slides Greenhouse Indicator (1 hr) NoPresentation slidesand workshopexercisesFinancing Cleaner Production and energyefficiency options (4 hrs)NoPart 5Tools58Energy Efficiency Guide for Industry in Asia

An example of presentation slides is given for Boilers and Thermic Fluid Heaters.Company case studiesCase studies were written for more than 40 companies that participated in the GERIAP project.Users of the Guide may want to search for different types of case studies. For this reason, case studiescan be searched by:• Country: Bangladesh, China, India, Indonesia, Mongolia, Philippines, Sri Lanka, Thailand andVietnam• Industry sector: cement, chemicals, ceramics, iron and steel, pulp & paper• Energy equipment:- Electrical energy equipments (electric motors, fans and blowers, pumps and pumpingsystems, cooling towers, air conditioning and refrigeration, compressors and compressedair system)- Thermal energy equipments (boilers and thermic fluid heaters, steam distribution andutilization insulation, furnaces and refractories, waste heat recovery, cogeneration)For example, if you click on “Industry sector” and then “Cement” the screen below will appear. Thenyou can select one of the 15 cement companies and download that company’s case study materials.Part 5ToolsEnergy Efficiency Guide for Industry in Asia59

For each company, case study materials include a “company case study summary” and “case studyoptions”. Appendix C gives a list of all case study options and the relevant country, industry sector,energy equipment and other keywords.Part 5Tools60Energy Efficiency Guide for Industry in Asia

Information included in the Company Case Study SummaryAn example for a cement company is included in Appendix DCompany description: general information about the company such as name company, location, yearof establishment, ownership (family/state /private national/private multinational), number of staff,products, annual production or production capacity, reason for participating in GERIAP, and any otherinformation of interestProcess description: description of the main process steps at the companyMethodology application: examples of how the Company Energy Efficiency Methodology wasapplied in practice at the company, due that the methodology steps had to be adjusted depending onthe company’s individual needs, noting that each company is different. See also part 3 and appendixA of the Guide.Options:• The focus areas selected for the project (e.g. boiler house, kiln, fans)• Total options (1) identified (2) implemented (3) still to be implemented (4) requiring furtheranalysis (5) found unfeasible / not to be implemented• For the options implemented, the total investment costs, annual savings, and payback period• For the options implemented, the total energy reductions, greenhouse gas reductions, and otherenvironmental benefits• The total greenhouse gas reductions (in tons CO 2) at the plant between the start of the project in2003 and the end of the project in 2005.• A table summarizing the results of each individual implemented option, including- Focus area and option title- Type of option: good housekeeping, improved process management, production process/equipment modification, new technology / equipment, input materials substitution,production of useful byproduct, product modification (see Part 2, Company EnergyEfficiency Methodology for definitions)- Financial results: investment costs, annual savings, and payback period- Environmental results: energy reductions, greenhouse gas reductions, and otherenvironmental benefits- Comments (e.g. other benefits, barriers encountered)For more information: Contact details of the company and the country’s National Focal Point for theGERIAP projectPart 5ToolsEnergy Efficiency Guide for Industry in Asia61

Information included in the Case Study OptionsAn example is included in Appendix ETitle of option:Summary of the option: mentioning the company name, location and products produced, anddescribing in short what was observed, what option(s) were implemented, and the main resultsKeywords: country, industry sector, energy equipment, and other keywordsObservations: an explanation of what was observed during the energy assessment (e.g. a high COlevel in the exit flue gas of the boiler, which indicates incomplete combustion), and what caused this(e.g. too low air supply or too large lumps of coal)Options: a detailed description of the options to solve the problem and improve energy efficiency anddrawings or photos to illustrate what was doneResults:• Financial results: investment costs, operating costs, annual savings, payback period• Environmental results: energy reductions, greenhouse gas reductions, and other environmentalbenefits• Other results: e.g. improved workers conditions, better product quality• Charts, graphs or tables to illustrate the savingsFor more information: Contact details of the company and the country’s National Focal Point forthe GERIAP projectNote: for several simple and no/low cost options only a summary was writtenTechnical toolsSeveral technical tools can assist a company to carry out an energy assessment, identify and implementenergy efficiency options and monitor results. The table below describes the technical tools includedin the CD-ROM and website Guide. More technical tools may be added to the website in the future, soplease frequently visit www.energyefficiencyasia.org.Part 5Tools62Energy Efficiency Guide for Industry in Asia

Table: Technical tools included in the Energy Efficiency Guide for Industry in AsiaTranslated into 5Technical tool Contents FormatAsian languagesWorksheetsOptionchecklistsCompany Energy Efficiency Methodology:• Worksheet 1. Reasons for energy efficiency• Worksheet 2. Energy Management Matrix• Worksheet 3. Factors of influence on improvingenergy efficiency• Worksheet 4. Team members and roles• Worksheet 5. General company details• Worksheet 6. General production flow chart• Worksheet 7. Production, energy and resourcedata• Worksheet 8. Inventory of major equipment• Worksheet 9. Information collected / available foreach process step• Worksheet 10. Criteria for selecting focus areas• Worksheet 11. Energy Assessment Proposal to topmanagement• Worksheet 12. List of training courses• Worksheet 13. Process flow chart for focus areas• Worksheet 14. Walkthrough observations• Worksheet 15. Causes, options and screening• Worksheet 16. Options feasibility, implementationand monitoring• Worksheet 17. Ranking of options• Worksheet 18. Implementation proposal to topmanagementElectrical energy equipments:• Electric motors• Fans and blowers• Pumps and pumping systems• Cooling towers• Air conditioning and refrigeration• Compressors and compressed air systemsThermal energy equipments:• Fuels and combustion• Boilers and thermic fluid heaters• Steam distribution and utilization• Furnaces and refractories• Waste heat recovery• CogenerationElectrical energy equipments:• Electric motors• Fans and blowers• Pumps and pumping systems• Cooling towers• Air conditioning and refrigeration• Compressors and compressed air systemThermal energy equipments:• Fuels and combustion• Boilers and thermic fluid heaters• Steam distribution & utilization• Furnaces and refractories• Waste heat recovery• CogenerationWord docWord docWord docPdfPdfYesNoNoYesYesPart 5ToolsEnergy Efficiency Guide for Industry in Asia63

Industry sectors• Cement• Chemicals (fertilizer production only)• Ceramics (tiles manufacturing only)• Pulp and paper• Iron and steel (secondary steel only)PdfYesCalculationtables• Table of density• Specific heat• Conductivity• Steam table• Psychometric chart• Calorific value of different fuelsPdfNoTechnical termsA list of technical terms and abbreviations used forelectrical and thermal energy equipmentsPdfNoDatabasesSeveral databases are available to provide contacts, information, events, projects/programsand training courses.Contact databaseThe website Guide includes a Contact Database especially for the nine GERIAP countries (althoughcontacts from other countries are also included). When you go to the database, the screen below appears.You can search for contacts by:• Country: the nine GERIAP countries but also other countries)• Organization type: National Government; Province / Local government; Industry association /Chamber of commerce; Financial institution; Academic / Research; Consultant / service provider;International organization; NGO; Media; Supplier to industry; Other• Industry sector: cement, chemicals, ceramics, iron & steel, pulp & paper, or otherFor example, if you are an Indonesian cement producer wanting to start an energy assessment, you cansearch the database for consultants / service providers in Indonesia who may be able to help you.Part 5Tools64Energy Efficiency Guide for Industry in Asia

If you are not yet in the database, you can also add your information into the database so that others canlocate you. When you click on “Submit your organization’s information” you can fill in and submit thefollowing form:Information databaseThe website Guide includes an Information Database on energy efficiency and Cleaner Production.When you go to the database, you can search for information by:• Search: you will need to type in relevant keywords such as the author, country, topic, industrysector, etc.• Information type: All, Case studies, Course/Event, Policy/Legislation, Project/Programme,Publication• Information format: documents, website, CD-ROM• CountryMost of the publications produced during the GERIAP project are included on this database (newsletters,surveys, training materials, company case studies), and the database has been supplemented withexternal information.Part 5ToolsEnergy Efficiency Guide for Industry in Asia65

For example, you may want to find out about other case studies outside the GERIAP project, or atraining course on energy efficiency to attend.You can also add new information to the database by clicking on “submit new information” andproviding the following details:• Title• Information type, with the following options: Case studies, Course/Event, Policy/Legislation,Project /Programme, Publication, Other• Date: this can be the date a report was published or the dates of a training course• Contact/Author (if applicable): e.g. the author of an industry survey report and contact details• Organization: name of the organization who the information belongs to, e.g. the organizationgiving the training course or the ministry responsible for a certain energy policy• Short description: describe in maximum 200 words the information content or give other details• Attach: provide the link to the website where this information can be found, an email addressof where the information can be ordered, or attach the document for uploading onto the GuidewebsiteFinancing energy efficiencyFinancing energy efficiency projects is often a problem for many companies, especially when it concernslarge projects such as cogeneration. For this reason, the Guide provides the following information:• Contacts: a list of financial institutions and ESCOs included in the Contact Database• Training materials: “Financing Cleaner Production” presentation and workshop exercises• Links to useful websites on financing, in particular UNEP’s CP Financing website (see below)In 1999 UNEP started a four-year project aiming at increasing investments in cleaner productionin developing countries. The project demonstrates how such investments can be stimulated byhelping financial institutions understand the importance of cleaner production and helpingcleaner production experts develop creditworthy investment proposals.The Web Site will offer you:• Information: Providing and encouraging world wide exchange of information andknowledge on the challenges and opportunities, as well as on the main actors in financingcleaner production investments.• Links: Forging alliances with financial institutions, organisations and researchinstitutions promoting cleaner production investments.• Investment Window: Featuring success stories and investment opportunities• Training and Tools: Enhancing skills and knowledge with the support of top-levelinternational expert partnershttp://www.financingcp.org/Part 5Tools66Energy Efficiency Guide for Industry in Asia

Climate change, Kyoto Protocol and CDMClimate change is an emerging risk facing the industry sector in Asia and the Pacific. Every businesswill be impacted directly or indirectly and must understand available options to manage risks andmaximise opportunities.Briefing paper on climate changeAn 8-page briefing paper “Climate Change – What Every Asia and Pacific Company Must Know”explains the following:• Understanding climate change policies and responses: explanation of what causes climate change,the different policy responses by national governments, and the Kyoto Protocol• Risks and opportunities to Asia and Pacific industry: explanation of how every company will beaffected by climate change, and examples of risks and opportunities for four GERIAP industrysectors (cement, chemicals, pulp and paper, iron and steel)• How companies should respond to climate change: what companies should include in their strategyto respond to climate change, which then should be implemented and evaluated regularly• What is the Clean Development Mechanism (CDM): an explanation of what CDM is, criteria forCDM projects, eligible projects, the CDM project cycle• Case studies of CDM in the Asia and Pacific region: four examples of projects that are eligible forCDM• Further information about climate change, the Kyoto Protocol and CDM: importantorganizations, publications and newslettersGHG IndicatorThe GHG Indicator is a tool that can be used to calculate greenhouse gas (GHG) emissions for acompany and can be found at: www.uneptie.org/energy/act/ef/ghgin/.The “The GHG Indicator: UNEP Guidelines for Calculating Greenhouse Gas Emissions for Businessesand Non-Commercial Organisations” explains how the indicator works.The GHG Indicator itself is an excel-based programme and GHG emissions are calculated as shownin the figure below. Data are collected for fuel and energy (fuel consumption, electricity use, transport)and for process-related emissions in separate spreadsheets. These data are then multiplied by companyspecific or standard emission factors. The total GHG emissions for a company are calculated in asummary spreadsheet.As part of the GERIAP project a simplified spreadsheet was developed to allow companies to quicklycalculate their emissions. This can be download from www.energyefficiencyasia.orgPart 5ToolsEnergy Efficiency Guide for Industry in Asia67

The World Business Council for Sustainable Development (WBCSD) has developed updates and sectorspecific calculation tools under the “GHG Protocol” initiative. This is an internationally accepted GHGaccounting and reporting standard consisting of standards, practical guidance and calculation toolsfor different industry sectors. Sectors relevant to GERIAP include iron & steel, chemicals (nitric acid,ammonia, adipic acid), cement, pulp & paper. The calculations tools are electronic Excel spreadsheetswith accompanying step-by-step guidance. Found at: www.ghgprotocol.org/standard/tools.htmTranslated materials into 5 Asian languagesThe following information has been translated into Bahasa, Chinese, Sinhala, Thai and Vietnamese andcan be downloaded as pdf or word documents from the CD-ROM and website Guide.Translated materialPart 1: Where do you startWhere do you startDescriptionPart 2: How to become energy efficientCompany Energy EfficiencyMethodologyCompany examples ofmethodologyPart 3: Industry sectorsOption checklistsCompany case studiesPart 4: Energy equipmentOption checklistsExplanation of how to best use this Guide if you are a company manager,production staff, customer, supplier, government agency, financialinstitution, or other external organization who could facilitate energyefficiency in industryA 6-step methodology to assist companies to become more energy efficientExamples of how the methodology was applied in practice at more than 40companies that participated in the GERIAP projectChecklists with common options to improve energy efficiency for the fiveGERIAP industry sectors• Cement• Chemicals (fertilizer production only)• Ceramics (tiles manufacturing only)• Pulp & paper• Iron & steel (secondary steel only)For more than 40 companies that participated in the GERIAP project:• Company case study summaries: an description of the company, theproduction process, examples of how the methodology was applied inpractice, summary of options and results from implementation• Case study options: observation what was observed, what option(s)was implemented, the main results, and contact details for moreinformationChecklists with common options to improve energy efficiency for:• Electrical energy equipments (electric motors, fans and blowers,pumps and pumping systems, cooling towers, air conditioning andrefrigeration, compressors and compressed air systems)• Thermal energy equipments (boilers and thermic fluid heaters, steamdistribution & utilization, furnaces and refractories, waste heatrecovery, cogeneration)Part 5: Tools (note: translated tools are already mentioned in part 1 – 4)GERIAP projectGuide brochureGuide publicationDescription of the GERIAP project and the project partnersPart 5Tools68Energy Efficiency Guide for Industry in Asia

AppendicesA. Company examples of the application of the Company Energy Efficiency MethodologyB. Worksheets for the Company Energy Efficiency MethodologyC. Overview of company case studiesD. Example of company case study summaryE. Example of case study option

A.Company Examples of the Application of the Company EnergyEfficiency MethodologyStep 1 - Planning and OrganizationTask 1a: Meeting with top managementCOMPANY EXAMPLESTK Chemical Complex Ltd (Pulp and paper, Bangladesh)It was difficult to convince top management to start an energy efficiency project because the conceptsof Cleaner Production and greenhouse gas reduction were new to them. “Energy efficiency” was a morefamiliar concept and top management associated this with money and not only with the environment.Lesson learnt: Energy efficiency is a concept known and liked by top managementUrea Fertilizer Factory Ltd (Chemicals, Bangladesh)From a first meeting with plant management it became clear what the constraints and benefits were thatwould influence an energy assessment and should be considered• Constraints: old plant, lack of capital, low energy costs, Government owned plant with possibleslow decision making, less economic incentive than commercial plants to reduce costs, and needto ensure that safety environment and production are not affected• Benefits: sound process design, an expert team within the plant, supportive site management, lowlabor ratesLesson learnt: A first meeting with top management will help understand what factors will make anenergy assessment easier or more difficult, which will need to be considered in the planning as part ofpreparing an assessment proposalAbul Khair Steel Products Ltd (Iron and steel, Bangladesh)Based on the meeting with top management and the completion of the Energy Management Matrix, itappeared that the company has some energy and environmental initiatives in place, but these are mostlyinformal. Some of the recommendations made to management to strengthen overall environmentalmanagement included to establish:• A well documented energy and environmental policy with clear objectives, responsibilities andtargets• An organogram for the company with clear responsibilities for energy and environment• Appropriate awareness, motivational and promotional schemes to encourage production staff tocome up with suggestions on how to improve energy efficiency• A documented monitoring system that includes an information flow from production to topmanagement• Improved good housekeeping practices to prevent soil and ground water contamination• Development of an environmental management system with the possibility of accreditation toISO14001 in the futureLesson learnt: the meeting with top management is useful to identify what is needed from an energymanagement perspective to ensure energy efficiency improvements will continue in the futureAnhui Tian Du Paper Co. Ltd (Pulp and paper, China)The external facilitators went through the Energy Management Matrix with top management tofind out what the company is already doing to manage energy consumption. It was found that topmanagement places an emphasis on staff training. The company has a training programme that trainsstaff in their vocation (e.g. electrical engineering), on new technologies before they are implemented(e.g. cogeneration), and operation of the plant (e.g. energy efficiency galls under this). Experts fromuniversities and research institutes are invited to give training sessions on operation of the plant, whichall cadre men are required to attend, but other interested staff can attend also, followed by an examinationto test new knowledge and skills. For example, in August 2004, three teachers from Tianjin ScienceEnergy Efficiency Guide for Industry in Asia71

COMPANY EXAMPLESand Technology University gave 1.5-hour training sessions after work hours for six weeks to plantstaff about papermaking techniques, equipments and technology development in China and around theworld.Lesson learnt: Existing training programmes can be useful to deliver training on energy efficiency,rather than establishing a separate energy efficiency training programmeIndocement (Cement, Indonesia)The company scored high on the Energy Management Matrix because it has many elements in placeto ensure effective energy management, most notably:• A strong push from majority shareholder Heidelberg Cement group to strive for excellence inenvironmental and energy performance• An ISO 9001 certified quality management system and an ISO 14001 environmental managementsystem, and plans for an ISO 17025 management system• A sophisticated on-line, real-time information system is in place at the modern Plant #11and willbe expanded to other plants. This system monitors and logs, among other things, the specificpower and heat (thermal) consumption for clinker production, environmental emissions, such asdust, SOx and NOx• Monitoring of the community’s attitude towards the plant: one of the company’s Operating SuccessParameters (OPS) is the Public Response’s Environmental IndexLesson learnt: High scores on the Energy Management Matrix indicate that there is sufficient basis fora successful energy assessment at the plant and for continuous improvements after thatPT Semen Padang (Cement, Indonesia)Throughout the GERIAP project, top management was available to meet with the Team, BPPT (theexternal facilitators for the project in Indonesia) and the international consultant during each visit. Thisdemonstrated a strong interest in the project and energy efficiency in general and inspired and motivatedthe Team enormously.Lesson learnt: Top management’s availability to meet with the Team on a regular basis is an importantmotivating factorHolcim Bulacan (Cement, Philippines)Because the company is working towards ISO 14001 certification of its environmental managementsystem, top management wanted to be assured that the energy assessment as part of the GERIAPproject fitted within this framework to avoid parallel environmental projects being carried out at thecompany. A meeting between top management and the external facilitator was organized to explain howCleaner Production and energy efficiency fit in with an environmental management system as illustratedbelow:72Energy Efficiency Guide for Industry in Asia

Dankotuwa (Ceramics, Sri Lanka)Management expected that most of the options with high energy and greenhouse gas reductions wouldinvolve high investments that the company could not come up with. For this reason top managementexpressed interest in looking into the potential for CDM (Clean Development Mechanism) projects,as part of the feasibility analysis of options, to provide the investment capital. However, the GERIAPproject focuses on options that make business sense and these would not be eligible as a CDM project,although it was possible to check if any of the identified unfeasible options could in principle meetCDM criteria.Lesson learnt: It is important to be clear with top management from start of what they can expect outof the projectCOMPANY EXAMPLESHolcim Lanka Cement (Cement, Sri Lanka)During the first meeting between the external facilitator, the company’s Environment Manager and topmanagement (task 1a), the CFO of this company indicated that focus areas should be selected basedon:• Projects already under investigation by the company’s Process Team to reduce GHG emissions• Areas where Holcim Cement Ltd could use external input and expertise• Areas where possible CP-EE options are likely to be low cost and/or with a short payback period,asthe company had already committed significant funds to other GHG projects in the next years.Lesson learnt: This showed how important the first meeting with top management was, because nowtop management’s priorities could be considered in selecting focus areas. This way top managementquickly approved the proposal for the detailed energy assessment and remained supportive of the projectuntil the endMedigloves Ltd (Chemicals, Thailand)Immediately at the start of the GERIAP project it was clear that top management of this company istruly committed to improving energy efficiency. Throughout the project the plant’s Team and externalfacilitators were given total support and trust by top management, and this inspired them enormously todo whatever they could to save the company energy, GHG emissions and money. This greatly contributedto the success of the project at Medigloves.Lesson learnt: Top management’s commitment, support and trust are key ingredients for a successfulassessment and implementation of optionsSiam White Cement Company Ltd, SWCC (Cement, Thailand)This company approached TISTR, the Thai facilitating organization, to participate in the GERIAPproject rather than the other way around. This reflected top management’s attitude towardsenvironmental management: they want to grasp every opportunity to further improve their environmentalperformance.Lesson learnt: Even companies that are already advanced in environmental management can be open toparticipate in external projects because top management considers that there is always room for furtherimprovementSeveral companies:This attached matrix compares the results for two companies: (a) a multinational company and (b) afamily-owned company. The multinational company has many formal processes and systems in place (=high scores for policy/systems, organization, information systems and investment) but there appeared tobe little ownership by the work floor staff (= low scores for training/awareness, which is mostly aimedat senior staff only, and motivation). The family-owned company has the opposite situation: informalprocesses and systems, but an incredibly high involvement and commitment from employees to helpthe company improve energy efficiency. Thanks to the Matrix scores, the Team knew it had to focus oninvolving work floor staff at the multinational company and on setting up formal committees, policiesand systems at the family-owned company to make the project successful.Lesson learnt: The Energy Management Matrix is a useful tool to determine the strengths and weaknessesof company energy managementEnergy Efficiency Guide for Industry in Asia73

LEVEL4MultinationalPOLICY ANDSYSTEMSFormal energy /environmental policyand managementsystem, action planand regular reviewwith commitment ofsenior managementor part of corporatestrategy.ORGANIZATION MOTIVATIONEnergy / environmentalmanagement fullyintegrated into managementstructure. Clear delegationof responsibility for energyuse.Formal andinformal channelsof communicationregularly exploited byenergy /environmentalmanager and staff atall levelsINFORMATIONSYSTEMSComprehensive system setstargets, monitors materialsand energy consumptionand wastes and emissions,identifies faults, quantifiescosts and savings andprovides budget tracking3 Formal energy/ environmentalpolicy, but no formalmanagement system,and with no activecommitment from topmanagementEnergy / environmentalmanager accountable toenergy committee, chairedby a member of themanagement boardEnergy /environmentalcommittee used asmain channel togetherwith direct contactwith major usersMonitoring and targetingreports for individualpremises based on submetering/ monitoring,but savings not reportedeffectively to users2FamilyownedUnadopted / informalenergy / environmentalpolicy set by energy/ environmentalmanager or seniordepartmental manager1 An unwritten set ofguidelinesEnergy / environmentalmanager in post, reportingto ad-hoc committee butline management andauthority are unclearEnergy / environmentalmanagement the part-timeresponsibility of someonewith only limited influenceor authorityContact with majorusers through ad-hoccommittee chaired bysenior departmentalmanagerInformal contactsbetween engineer anda few usersMonitoring and targetingreports based on supplymeter /measurementdata and invoices. Env. /energy staff have ad-hocinvolvement in budgetsetting.Cost reporting based oninvoice data. Engineercompiles reports forinternal use withintechnical department0 No explicit policy No energy / environmentalmanager or any formaldelegation of responsibilityfor env / energy use.No contact with users No information system. Noaccounting for materialsand energy consumptionand wasteTRAINING ANDAWARENESSMarketing the valueof material and energyefficiency and theperformance of energy/ environmentalmanagement bothwithin the organisationand outside it.Programme of stafftraining, awarenessand regular publicitycampaignsSome ad hoc staffawareness and trainingInformal contacts usedto promote energyefficiency and resourceconservationNo awareness raising ofenergy efficiency andresource conservationCOMPANY EXAMPLESINVESTMENTPositive discriminationin favour of energy /environmental savingschemes with detailedinvestment appraisal ofall new build and plantimprovement opportunitiesSame pay back criteria asfor all other investments.Cursory appraisal of newbuild and plant improvementopportunities.Investment using short termpay back criteria mostlyOnly low cost measurestakenNo investment in increasingenvironmental performance /energy efficiency in premises74Energy Efficiency Guide for Industry in Asia

Other lessons learnt:• Many Asian companies have a hierarchical management structure, and top management is notalways open for change, especially if suggestions come from junior staff. Therefore ensure thata senior person with sufficient experience and credibility is present at the first meeting with topmanagement to get them on board and listen to your ideas about an energy assessment• To get top management commitment it is important to explain that the Methodology is easy toimplement and will result in increased financial savings from energy reductions• Be aware that different top managers may have different views about the importance and thepotential of energy efficiency, and that this is often the result of lack of information they havereceived in the past• Commitment from top management is not enough: commitment at all company levels is vital tothe success of the project. Clear communication by top management to the rest of the company isthe most effective way of achieving this• In addition to a first meeting with top management, a half-day introductory seminar could alsobe organized for top management of several companies so that they can exchange ideas andexperiences• For demonstration projects it is helpful to conduct a simple viability assessment of companiesintending to participate to avoid “drop-outs” along the way. This should assess top managementsupport, likely changes in company ownership, structure and management, and the economicsituation of the company. During the GERIAP project one company had to withdraw from theproject due to bankruptcy and subsequent owner change• Self-assessments mostly do not work in Asian companies because top management are worriedabout loosing face and will therefore give themselves higher scores than the real situation. Forexample, with the Energy Management Matrix it is therefore better for the external facilitator toask questions about each energy topic and decide on a score based on top management’s answers,rather than asking top management to indicate the scoresCOMPANY EXAMPLESTask 1b. Form a Team and inform staffShijiazhuang Iron and Steel Company Ltd (Steel, China)Environmental and energy issues are dealt with by different departments. Energy is managed by theEngineering & Equipment Department where an Energy Control Manager has been appointed for eachdepartment (iron plant, steel plant, each of the three rolling mills, power plant, oxygen plant, and theremaining sections). Environmental issues are the responsibility of the Safety and Cleaner ProductionDepartment. To ensure that the perspectives from both departments would be considered during theassessment, both departments were represented in the Team.Lesson learnt: When environmental and energy issues are the responsibility of different department ina company then it is important to include representatives from both departments in the Team to ensurethat the environmental and the cost/production aspects of energy are covered during the assessmentVishakapatnam Steel Ltd (Iron and Steel, India)Normally a Team would consist of less than ten members. At this steel company, a Team was formedcomprising 15 members from their 22 departments because the production process is integrated andtherefore energy options in one department would have an impact on other steps in the productionprocess. The company already had a dedicated Energy Manager who chaired the Team.Lesson learnt: For integrated plants it may be necessary to form a larger Team with members fromvarious departments because energy efficiency measures in one step of the production process couldimpact many other areas of the production processSiflon Drugs Ltd (Chemicals, India)This small/medium company with about 20 full-time employees does not have formal energymanagement systems and procedures because of its size and most decisions are made by the ManagingEnergy Efficiency Guide for Industry in Asia75

COMPANY EXAMPLESPartner. Because of the small size of the company, the Team consisted of only three members: theManaging Partner, the Production Manager and the Production Officer. No representatives from theshop floor were formally included in the Team, but there were the main source of information duringthe energy assessment and implementation and monitoring of options.Lesson learnt: Input from the shop floor is essential for an effective energy assessment, regardless ofthe structure of the TeamITC Ltd PSPD (Pulp & paper, India)The company has a dedicated Energy Manager and a number of small working groups that work onenergy and resource conservation for different departments in the company. Their roles, responsibilitiesand authorities are clear and documented. However, the working groups operate on a “stand alone” basisand there is not much synergy between them. A Team was formed consisting of the Energy Manager anda few members from each working group to look at energy management at a company level.Lesson learnt: It is a good idea to form a Team with representatives from different existing work groupsbecause that way the work of these groups is linkedCoromandel Cements Ltd (Cement, India)At this company, the Team to carry out the energy assessment consisted of members from severalcommittees that already existed and covered different areas of the company, including:• Cost Audit Team: which is responsible for gathering and analyzing various data, budgeting, trackingactual performance, identification of issues, proposing solutions, and reporting to management?This includes energy consumption, costs and energy conservation• Technical Services Team: which is responsible for analyzing production operations, identifyingissues and proposes rectifying measures to improve productivity and reduce resource consumption,including energy.• Maintenance Team: which is responsible for daily analysis of equipment vibration and conditionmonitoring and identifying and implementing measures to increase the efficiency and availabilityof machines?• Task Force: which consists of senior managers and staff members from all departments, who arebrought together to study a specific operational aspect (e.g. stores consumption) and submit areport with recommendations to management.A Team with seven persons was set up as a new Task Force to perform the energy assessment.Lesson learnt: Forming a Team based on already existing committees and groups in the company canmake the Team more effectiveActive Carbon Ltd (Chemicals, India)The company does not have an Environmental or Energy Manager or committee nor have energyresponsibilities been formally allocated to a staff member. Top management and middle managementdiscuss energy issues at meetings but these meetings do not include workers from the shop floor.Therefore a totally new Team had to be formed: the Plant Manager as Team Leader, a foreman fromthe production process; a shop floor staff with electrical/instrumentation knowledge and a laboratorychemist. The Plant Manager was also given the formal responsibility for energy management from nowon in addition to his existing duties.Lesson learnt: It is important to form a strong team with clear roles and responsibilities, even if thecompany lacks previous experience with energy managementPindo Deli PP (Pulp and paper, Indonesia)The Team comprised of members of the already existing Energy Saving Project Team under theEngineering Division, which is responsible for energy management and consists of 49 staff, including:• A Team Leader who is responsible for communicating Environmental and Quality complianceissues to their respective departments• Second-in-command production leaders of different departments on site• Six staffs dedicated to maintaining the ISO14001 environmental management system76Energy Efficiency Guide for Industry in Asia

• Four staff dedicated to maintaining the ISO 9001 quality management systemLesson learnt: Building the Team on existing organizational structures will result in a more successfulassessmentPT Holcim Indonesia Tbk (Cement, Indonesia)A team was established at the beginning of the project, but due to reorganization at the plant this teamwas almost entirely replaced with new members. The same happened with the external facilitators,and therefore only one or two people knew about the options that had been identified and investigatedfor feasibility. It was quite a challenge for the new team to complete the implementation of optionsand monitoring the results without prior involvement in the assessment and this caused a delay in thecompletion of the project.Lesson learnt: It is preferable if at least some of the team members are involved from the beginning untilthe end of the methodology steps to avoid delaysCOMPANY EXAMPLESPT Semen Padang (Cement, Indonesia)Top management appointed the Production Director as the Team Leader. In addition to a Team for theenergy assessment at company level, small teams were also formed for the four plants (named II, III,IV and V) separately. This structure made it easier to carry out the energy assessment at the differentfocus areas.Lesson learnt: It can be useful to create smaller teams, in order to effectively carry our energy assessmentsfor different focus areas or departmentsSolid Cement Corporation (Cement, Philippines)The company has an existing energy and environmental group called the Six Sigma. However, thecompany also selected the process engineer (as Team Leader) and members from the electrical,maintenance and health and safety departments to join the Team because they could add specificknowledge and skills needed for the GERIAP Project.Lesson learnt: Even if the company has an existing environment or energy team, it is still useful tolook if there are others with useful knowledge and skills who should join the Team for the energyassessmentSteel Asia (Iron and steel, Philippines)The company is preparing for an Integrated Management System Certification and recently created anEnergy Management Committee that oversees the energy costs and savings. This committee also becamethe Team for the GERIAP project so that efforts are integrated in the wider management system.Lesson learnt: By using an already existing team as the Team for the energy assessment it is easier tointegrate energy management into wider business management systems laterUnited Pulp and Paper Company, UPPC (Pulp and paper, Philippines)The company has a dedicated Environmental and Safety Engineer (ESE) and he was an obvious choiceas Team Leader. Other selected Team members were already involved in the implementation of theenergy efficiency programs of the company.Lesson learnt: If the company already has an environment or energy manager it is easier to form a TeamDankotuwa (Ceramics, Sri Lanka)The Team included a representative from the accounts department who also attended the five-daytechnical training programme. This enabled the accounts person to understand the methodology andthe technical basics of energy efficiency, which helped him to assist the Team to collect the right costdata.Lesson learnt: By including an accounts person in the Team and giving him/her training on the basicsof energy efficiency, he/she will find it easier to provide the Team with the right cost information duringthe energy assessment and monitoring of results for implemented optionsEnergy Efficiency Guide for Industry in Asia77

COMPANY EXAMPLESNational Paper Company (Pulp and paper, Sri Lanka)The Team structure at this company was different than for most other companies. Instead of one team,the Mill Manager acted as Team Leader and appointed technical staff to take part in two separate teamsfor two focus areas (boiler and steam distribution). The external facilitators supervised the two teamsand facilitated the application of the methodology.Lesson learnt: Rather than having one Team it is also possible to have a separate Team for each focusarea supervised by the Team Leader and/or the external facilitatorsAsian Chemicals Ltd (Chemicals, Thailand)During the assessment there was a change over of the entire team except for the Production Managerwho was the Team Leader. However, this did not cause any difficulties in completing the assessmentbecause the company has good management and information systems and procedures as part of itscertified environmental (ISO 14001), quality (ISO 9001) and safety (OHSAS 18001) managementsystems.Lesson learnt: If a company has good management systems then the assessment is less affected by achange over in Team membersMedigloves Ltd (Chemicals, Thailand)The external facilitators for the GERIAP project in Thailand and the plant’s Team members workedtogether as a real Team. The external facilitators came to the plant with a fresh perspective and thereforewere able to ask critical questions and come up with original suggestions to improve energy efficiency.The plant’s Team members were very open to suggestions made but because they knew the plant andproduction process inside out they were able to provide a reality check. The active interaction betweenthe two groups provided the basis for the implementation of successful options.Lesson learnt: The best results are achieved when external facilitators and plant staff work together as atrue Team, whereby each group provides their own unique input into the assessmentThai Kraft Paper Industry Co. Ltd. (Pulp and paper, Thailand)A new Team was formed for the GERIAP project, without building on existing committees or workgroups. Several junior staff members were included in the Team and this was a success because theywere very enthusiastic and motivated to learn about Cleaner Production and energy efficiency fromthe more senior Team members, external facilitators and the international consultant. Junior staff maybe working at the company for many years to come, so they will be important for the continuation ofenergy efficiency in the future.Lesson learnt: Include some junior staff in the Team because although they do not have many yearsof experience, they are often keen to learn and contribute to improving energy efficiency and will beworking at the company for many years to come, which is important for the continuation of energyefficiency in the long runViet Tri Pulp and Paper (Pulp and paper, Vietnam)The Team was based on the Cleaner Production Team that was formed in 1999 as part of a previous CPproject. Almost all members were familiar with the CP methodology before the GERIAP project, soit made it easy to apply the Company Energy Efficiency Methodology because that is based on the CPmethodology also.Lesson learnt: Consider including staff in the Team who are already familiar with Cleaner ProductionHa Bac Fertilizer (Chemicals, Vietnam)The company’s team comprises 11 members from different sections lead by the Vice Director. Teammeetings were held to assess available information, discuss areas of energy usage and select audit focusbased on analysis of energy consumption data. For two selected focus areas (boiler house and steamdistribution system) the Team’s tasks were agreed: (1) analysis and review of present practices (2)development and evaluation of proposed options (3) implementation and monitoring of agreed optionsLesson learnt : Team meetings are important to plan and carry out the energy assessment and implementand monitor options78Energy Efficiency Guide for Industry in Asia

Company X (anonymous)One of the production staff was appointed as Environmental Manager at the start of the GERIAP projectbecause there was no person on site responsible for coordinating energy and environmental management.This made the assessment easier because there now was a central person to coordinate the process. Adisadvantage was that he was not given the authority to implement any energy efficiency options buthad to seek permission from top management, who only met once a month at the Board of Directorsmeeting, which slowed down the process of implementing options later in the process.Lesson learnt: If no specific environmental or energy manager exists, top management can create thisposition when the Team is formed. However, it is important that this person is given a certain degree ofauthority to implement energy efficiency options to avoid unnecessary delays in the processCOMPANY EXAMPLESOther lessons learnt:• Inform all company staff about the importance of energy efficiency and the reduction of greenhousegas emissions to the company, to obtain staff commitment• At some companies the majority of staff was not informed about the GERIAP project and thebenefits to the company. This increases the risk that staff are reluctant to cooperate with the energyassessment and to change their existing work practices• The Team members should be introduced to the entire company work force to avoid that staff donot want to cooperate with the Team• It is best to form a Team as early in the process as possible so that all Team members can take uptheir role right from the beginning, which will avoid delays later in the process• The success of the energy assessment is strongly linked to the Team Leader. It helps if this personhas sound technical knowledge and has the authority to make decisions. Often a top managementrepresentative or production manager met these criteria• The Team Leader is the main contact person for going through the Methodology and his/herfacilitating role covers amongst others communication, data collection, organizing meetings andimplementing options• The Team Leader must be someone who is readily available when needed. At some companiesthe Managing Director was the Team Leader but then was not actively involved in the energyassessment or available for input. This made it difficult for the Team and external facilitators tokeep the project moving• In case a member leaves the Team during the implementation of the Methodology, it is necessaryto find a replacement as soon as possible who can carry out the same tasks• Changes in top management can slow down the process since new top managers must be informedabout the work already completed. Having a top management representative in the Team is usefulso that he/she can inform new top managers• An external facilitator can be useful for the continuation of the Methodology implementation incase there is a large turnover of Team membersEnergy Efficiency Guide for Industry in Asia79

COMPANY EXAMPLESTask 1c. Pre-assessment to collect general informationTK Chemical Complex Ltd (Chemicals, Bangladesh)When the plant layout and equipment specifications were reviewed, it was found that the plant hadpurchased almost the entire production equipment from Germany (as it was no longer meeting Germanenvironmental standards). However:• Equipment was designed for pulp and paper production, whereas the TK Chemical Complex Ltdis operating as a paper plant using imported waste paper and virgin pulp although it was intendedas an integrated pulp and paper plant• All drawings and written materials have been provided in German, which is often not understoodby the plant’s staff. In some instances this has resulted in inappropriate installation of equipment.In addition, in some instances there is a mismatch in the requirements and the equipment installed,for example the boiler• Some equipment was supplied although this is not needed (e.g. second water tube boiler)Lesson learnt: A review of the plant layout and equipment specifications will allow the Team to anticipatesome of the areas where energy losses occurAnhui Linquan Chemical Industrial Co. Ltd (Chemicals, China)A plant layout was obtained for this chemical plant, which is given below. This will assist with thewalkthrough and understanding the relationship between processes and equipments.1: county’s wood company; 2:comprehensive building; 3: gas tank;4: gas purification; 5: gas tank; 6, 7:water gas production; 8: conversion; 9:desulfurization; 10: charring; 11, 12:compression; 13: copper washing; 14:methanol; 15: maintenance section; 16:lathe section; 17: synthesis department; 18:stockhouse; 19: dam; 20: heat recovery;21: waste water treatment for water gassection; 22: recycled water for synthesisdepartment; 23: Yuwang aqueduct; 24:chimney; 25: recycled water for heat& electricity department; 26: main plant of heat & electricity department; 27: 1# decarbonization; 28:terminal treatment; 29: stockhouse of ammonia; 30: main plant of urea; 31: prilling tower; 32: CO 2compressor; 33: packing; 34: coal storage; 35: desalting water station; 36: dining hall; 37: recycled waterfor urea; 38: urea refining by inert gas; 39: comprehensive building; 40: sales department; 41: refiningmethanol; 42: WC; 43: gas tank; 44: gas production building; 45: ammonia storage; 46: recycled waterfor gas production; 47: recycled water for urea; 48: recycled water synthesis; 49: decarbonization andconversion; 50: cool house; 51: 2# main plant of urea; 52: CO 2compressor; 53: prilling tower; 54: packing;55: stockhouse; 56: hydrogen peroxide; 57: hydrogen and nitrogen compressor; 58: copper washing,methanol, synthesis department; 59: comprehensive operation building; 60: 110KV transformer house.Jangxi Yadong Cement Corporation (Cement, China)The company initiated a Cleaner Production audit of the plant that lasted from September 2003 untilApril 2004 and overlapped with the GERIAP project. This audit generated 21 no/low cost projects and10 medium/high cost options, and all options except one medium/high cost option were implemented.As a result the specific coal consumption was reduced by 1kg / ton clinker and the specific powerconsumption was reduced by 1kWh / ton cement. The GERIAP project “piggy-backed” on this projectby using the plant’s CP team formed for this audit as the Team for the GERIAP project.Lesson learnt: During the pre-assessment find out what other projects are being carried out at thecompany to avoid duplicating work and to make maximum use of the strengths of other projects for theenergy assessment80Energy Efficiency Guide for Industry in Asia

Yuanping Municipal Chemical Industrial Co. Ltd (Chemicals, China)A review of 2001, 2002 and 2003 data of the consumption of resources (see table below) found thatelectricity and coal consumption have reduced significantly. But the specific consumption per kWh isstill very high and therefore there is further scope for improvement.Lesson learnt: If energy consumption has reduced over the past years, then this does not necessarilymean that there is no further scope for improvement. To determine this the Team should also calculatespecific consumption and where possible compare these with benchmark figures or equipment designparametersCOMPANY EXAMPLESVishakapatnam Steel Ltd (Iron and steel, India)This integrated steel plant has 22 departments and it would take too much time to carry out a preassessmentto collect general information and prepare production flow charts for the entire plant. Forthis reason the focus area was selected first and a pre-assessment was only carried out for the focusarea.Lesson learnt: For large plants it may be necessary to select a focus area before carrying out the preassessmentCoromandel Cements Ltd (Cement, India)As part of the pre-assessment, a schematic overview of the information flow within the company wasprepared to give the Team a better understanding of what information was collected, where and bywhom, and to whom this information was reported. This overview was very helpful during the collectionof baseline data during the detailed assessment (task 2d). The overview is given below.Lesson learnt: An overview of information collected and reporting within the company is helpful toprepare for the assessment (step 2), especially establishing a baseline (task 2d)Daily reviewby ManagementDaily Summary Report:- Proposed actions- DPR- Stores data- Stoppage analysis- Electricity / power reportManagement Review Meetingheld fortnightly or monthlySchemes Reportsfor proposed projectsMonthly report with resultsand forecast budgetProposed actionsStoppage analysisElectricityOutputsDaily Meetingsby management representatives and section headsSection Meetingsheld weekly at each sectionStoppage analysisElectricity / powerOutputsDaily readingsby section operatorsStorage supply,use and balanceDaily measurementby stores managerAnalysis ofMonthly reportproduct,Daily Productionwith results andfuel etcReport (DPR)forecast budgetDaily productionDaily labanalysis by cost andanalysisaccounts sectionPuyat Vinyl (Chemicals, Philippines)Management supports the environment work but there is no formal environmental policy or environmentalmanagement system in place. However, management considers environment to be implicitly coveredunder its quality management system that is certified to the ISO 9001:2000 standard.Lesson learnt: Some companies may cover environment and energy management as part of their qualitymanagement systemEnergy Efficiency Guide for Industry in Asia81

COMPANY EXAMPLESHolcim Bulacan (Cement, Philippines)Specific electricity consumption and heat rate data were readily available, but specific GHG emissiondata were more difficult to obtain. GHG emissions expressed as tons CO 2/ton clinker were found tobe wrong and it was only possible to determine correct figures for tons CO 2/ton cement. In addition,reliable GHG emissions data were only available from November 2003 onwards, after the installationof the new continuous emission monitoring system (CEMS).Lesson learnt: Greenhouse gas emissions data are not as easy to obtain as energy data because GHGemissions are not as often measured or calculated by Asian companiesAssociated Motor Ways, AMW (Iron and steel, Sri Lanka)As part of the pre-assessment an overview of existing meetings was made with energy and environmentdiscussed which can be used at a later stage to communicate about the energy assessment and theresults. See table below.Lesson learnt: An overview of existing meetings can be useful to communicate to management and staffabout the energy assessment (task 2a) and results (task 5b and 6a)Meeting nameFrequency &durationAttended byTopics coveredBudget meeting Once a month GM, Departmental heads All matters connected withmonthly and annual budgetsISO 9000- 2000 steeringcommittee meetingOnce in threemonthsMR, GM, Departmental heads Relevant to ISO 9000Management reviewmeetingMeeting with theemployeesDepartmental meetingswith the headsSectional meeting onProjectsOnce in sixmonthsGM, Departmental heads,Supervisory staffISO 9000 and otherWeekly Departmental heads, Employees General departmental workDaily GM, All Departmental heads Related to budget(production plan)Twice a weekFactory ManagerProject EngineerSectional HeadsEnergy / CP related projectsCHICO (Iron and steel, Sri Lanka)Once the Team was formed, a meeting was held to plan the pre-assessment. It was decided to start witha walkthrough of the plant, in which the whole Team participated, to identify possible focus areas.After the walkthrough the Team met again to decide which focus areas to select for the detailed energyassessment.Lesson learnt: It is useful if all the team members participate in the walkthrough of the plant. Thisshortens the time to select focus areas afterwardsLanka Tiles Ltd (Ceramics, Sri Lanka)The company has an ISO 9001:2000 certified quality management system. During the pre-assessmentit was found that the information flow developed as part of this system (see figure below) could also beuseful for future communication and reporting of energy information.82Energy Efficiency Guide for Industry in Asia

ProductionQA & RDManagerReports accordingto ISO 9001Lab testing ofincoming materialfinished productsISO 9000Audit teamCOMPANY EXAMPLESOn lineQuality checkingpointsOperatorsQualitymeasurementsQuality checkingpointsOther lessons learnt:• Remember to look critically at collected data, because just data has been collected, this does notmean that the data is correct!• Technical data can often be obtained from Central Control Room of the plant• General company information can often be obtained from the company website and communicationmaterials such as flyers and brochures• Be aware that data published externally for official purposes (tax, permits etc) may be differentfrom the real data, such as production data• To obtain basic data sometime has to be done several times (by phone, e-mail or visit)• One of the Team members should be given the responsibility to coordinate the collection, processingand storage of information during the pre-assessment• Because you are meeting with so many different staff members, it can be useful to use taperecorders to record conversations and write up meeting notes• Make it clear at the start of the pre-assessment what information is needed and by when, so that itis more likely that you will get the information you need!• A high level process flow chart can be supplemented with flow charts for individual process stepsor units of operation• Sometimes a walkthrough during the pre-assessment does not show the real practice, because staffwill want to mask any inefficient practices and may therefore stage a different way of working. Forthis reason it is sometimes beneficial to walk through the plant unannounced• This is one of the Methodology’s tasks where worksheets can be very useful to complete the taskis as little time as possible• By forming two or three groups to cover different areas of the plant and/or collecting differenttypes of information, the pre-assessment can be completed in much less timeTask 1d. Select focus areasShijiazhuang Iron and Steel Company Ltd (Iron and steel, China)This steel plant is located in the city of Shijiazhhuang. As the city is expanding, the plant has to considerthe residents living around the plant and take initiatives to reduce resources that are also in demandfrom the growing population. This particularly applies to ground water, as ground water levels in thecity’s aquifer are reported to have lowered from minus 10 meters to minus 70 meters in the last 20Energy Efficiency Guide for Industry in Asia83

COMPANY EXAMPLESyears. Because the plant is a large consumer (600,000 m3/month) and ground water costs 1.5 rmb/m3compared to 3 rmb/m3 for municipal water, the company wishes to continue to use ground water buttry and reduce water consumption at the same time. Water consumption was therefore an importantselection criteria for focus areas, and cooling towers were selected as a focus area as they consume alot of energy and water.Lesson learnt: Other resources than energy, such as water, can be important when selecting focus areas,especially when these are expensive, when there is a shortage or when it is a priority in Government’spoliciesVishakapatnam Steel Ltd (Iron and steel, India)The focus areas selected by the Team were based on the preference of top management to ensure theirsupport for the energy assessment, and less on data analysis. Focus areas included the captive powerplant and the chilled water plant.Lesson learnt: Top management preference is a very important factor in the selection of focus areasITC Ltd PSPD (Pulp & paper, India)Since the company carries out regular monitoring and data collection, the company knew where the mainenergy problems and improvement areas existed. Therefore the selection of focus areas was relativelyeasy. However, based on the Team’s further measurements and analysis of the data some additionalfocus areas were added. The focus areas selected were the soda recovery boiler, lime kiln, digesters,paper machine, and coal-fired fluidized bed boiler.Lesson learnt: A good monitoring- and data collection system helps to identify focus areas but it is stillimportant to take additional measurements to find any less obvious focus areasCoromandel Cements Ltd (Cement, India)Top management played an important role in the selection of focus area at this company. After awalkthrough of the entire plant, the external facilitators and the Team met with top management. Topmanagement has regular meetings with staff, top management held the same views as the Team aboutthe choice of focus areas. Top management proposed to:• Leave out some focus areas because they were already being addressed through other projects and/or they would probably need large investments which the company does not have at this moment• Carry out some monitoring to confirm that the proposed focus areas were selected based on theright information. Due to lack of monitoring equipment, a local equipment supplier was contactedfor a demonstration of monitoring equipment by monitoring some parameters for the proposedfocus areas.• The focus areas selected were the coal mill circuit, and the kiln and preheaters section.Lesson learnt: Top management can play an important role in the selection of focus areasIndocement (Cement, Indonesia)This large company has almost twenty parallel cement production lines. Because of this, a productionflow chart and data collection was only done for one of the production lines that would be used as abasis for this project, and not for the entire plant. Because of similarities between production lines, thework done at one production line could later be carried out for other production lines in very much thesame way.Lesson learnt: For large companies with parallel production lines, it is more practical to focus on oneline only and later to apply the same principles to the otherPindo Deli Pulp and paper (Pulp and paper, Indonesia)Compressed air supply was considered as a possible focus area but was not selected because this iscontracted out to a third party and if an energy assessment is to be successful then cooperation fromthe contractor is essential. A possible barrier is that contractors earn more money if they can sell morecompressed air, and therefore they should be given some monetary incentive to assist the company withreducing consumption.84Energy Efficiency Guide for Industry in Asia

Lesson learnt: When selecting focus areas, consider if the cooperation of contractors or suppliers isneeded for the assessment and if they are likely to cooperatePT Krakatau (Iron and steel, Indonesia)There were five potential focus areas and there were reasons supporting the selection of each of them. TheTeam held a facilitated discussion whereby first criteria were agreed, such as management preference,energy reduction potential and cost reduction potential. Then each focus area was assessed against thesecriteria before selecting focus areas.Lesson learnt: By first agreeing as a Team on the criteria to select focus areas and only then assess eachfocus area against the criteria it is possible to more objectively come to an agreement on what focusareas to selectCOMPANY EXAMPLESLanka Tiles Ltd (Ceramics, Sri Lanka)While focus areas are often mainly selected because of high energy consumption and costs, at thiscompany the “raw material preparation area,” including jaw crushing and hammer milling, was selectedas a focus area because of high losses of energy and raw materials, which made it immediately clear thata lot of improvement opportunities existed:• The driving motors of the jaw crusher and hammer mills consume a considerable amount ofenergy• Major raw materials for the process (Feldspar and Dolomite) are received as a mixture of a widerange of particle sizes and are crushed by the jaw crusher and hammer mill into small particles.The smaller particles in the received raw materials do no need to go through the jaw crusher andthe very small particles not even through the hammer mill but could be added directly to the ballmill or standby raw material heap. Therefore energy is wasted and separating small particles fromthe raw materials would thus make sense• Small particles act as a cushion for the larger particles, reducing the effectiveness of millingoperation, the material throughput and ultimately increased the energy consumption per unit loadof raw material. Separating small particles prior to crushing would therefore make sense• Very large lumps of raw material also increase the jaw crusher power consumption (and reduce thethroughput). Manual breaking of large lumps prior to feeding them into the crusher would reducethe jaw crusher energy consumption• Raw material is lost at the standby raw material piles due to the “carpeting effect” (i.e. smallsized materials spreading around the piles like a carpet which makes it difficult to collect them forprocessing)Lesson learnt: Focus areas are sometimes selected because it is immediately clear that there aresignificant losses and many options for improvementEnergy Efficiency Guide for Industry in Asia85

COMPANY EXAMPLESG-Steel (Iron and steel, Thailand)The plant’s Team, the Thai facilitating organization TISTR, and both local and international consultantscarried out the assessment at this plant. The following options were presented to the plant manager:• Scrap preparation and utilization of chemical energy (i.e. during the melting process) options toreduce electricity consumption of the Arc Furnace• Improve the deteriorated refractory and fine-tuning of the gas burners to reduce natural gasconsumption of the tunnel furnace• Investigation of non optimized utilization and a leak survey to reduce electricity consumption ofthe compressed air system• Investigation of the excess energy utilization of cooling water systemThe feedback from the plant was that their priority is to produce hot rolled coils of steel to meet the target of100,000 ton/month. In addition, despite monitoring equipment available on site, most data/informationis inaccessible due to the lack of systematic information system and internal communications. Thus, allproposed options are undermined and tend to be ignored.Lesson learnt: It is very important for the team to ensure that all proposed options and sufficient detailswill be delivered to the top managementSiam White Cement Company Ltd, SWCC (Cement, Thailand)Because this is such a large and complex company with several internal environmental and energyprogrammes in place, it was important to select focus areas that had not been covered yet and thatwere small enough to make it possible to go through all the Methodology steps within the project’stimeframe. The focus areas selected were therefore the improvement of the company’s power supplysystem and the reduction of electricity consumption of major equipment, e.g. Cement Mill, Raw Mill.Lesson learnt: For very large companies it is important to select focus areas that are manageable in sizeand complexityOther lessons learnt:• It is a good idea to select focus areas during a facilitated brainstorm session, where one personuses a whiteboard to write down the main potential focus areas and the reasons for evaluatingthem• A general understanding of the plant and process steps is necessary before selecting focus areas• Choose the focus areas that not only have high energy inefficiencies but also have high potentialfor improvement• Management preference is important when selecting focus areas, but don’t forget to also considersuggestions from (technical) staff as they often have a better understanding of the real potential toimprove energy efficiency• Top management’s selected focus area are sometimes based on their perceptions of where energyis lost, so it is important to confirm this with data collected during the pre-assessment• Although focus areas should be selected before the energy assessment, in practice additional focusareas are sometimes added during the assessment when more data becomes available• When involving a consultant, be aware that he/she may prefer the selection of focus areas wherehis/her experience lies, although these are not always the best focus areas to be selected from acompany’s point of view• Most companies select focus based on where high energy cost savings are, rather than where highreductions of wastes and emissions are• Consider the knowledge of the Team members in selecting the focus areas and this will make theassessment easier to complete and the identification of successful options more likely86Energy Efficiency Guide for Industry in Asia

Task 1e. Prepare assessment proposal for top management approvalPT Semen Padang (Cement, Indonesia)The company launched a “Total Productive Maintenance” (TPM) programme that aims to improveproduction output and profits. The energy assessment through Cleaner Production was carried out as anextension of the TPM programme.Lesson learnt: Find out if the energy assessment can be carried out as part of wider productionimprovement programmes, which will make it easier to obtain top management approvalCOMPANY EXAMPLESSai Son Cement (Cement, Vietnam)The company had very satisfying experiences with the ISO 9001 and ISO 14001 certification process.The ISO 14001 management system provided the basis for a proposal to systematically analyze thecompany’s energy situation, uncover the hidden potential to improve energy efficiency, and screenpossible options for feasibility analysis.Lesson learnt: An ISO 14001 environmental management system can provide the framework forplanning and carrying out the energy assessmentHa Bac Fertilizer (Chemicals, Vietnam)Before the GERIAP project the company had carried out a restructuring of the energy system with theassistance of an external consultant. Because of having some experiences in the energy project the staffparticipating the restructuring project were invited to assist with this energy efficiency assessment.Lesson learnt: It is useful to check if the company has done any previous work on energy assessments.Using staff who were involved in previous projects at the company has as an advantage that theyalready have the trust of top management which makes it easier to obtain approval to carry out anenergy assessmentHanoi Ceramic Ltd (Ceramics, Vietnam)The Vice Director, a team leader, and the Head of the Technical Department attended a one weektechnical training (step 2a, which in this case was carried out before most of step 1). This ensured thatmiddle and top management were trained on energy efficiency and the Cleaner Production methodology.For these reasons, it was easier to obtain management commitment, establish a Team, and prepare andget approval for the proposal for the energy assessment.Lesson learnt:It is useful to also include top and middle management at the energy efficiency trainingin order to get support later on in the process. The Team leader should be a well technical knowledgeperson and have the right to make decisionsCompany X (anonymous)The pre-assessment showed that huge potential savings exist for this Government owned plant. Despitethis knowledge, it took several months to get the energy assessment started at this plant because theEnergy Efficiency Guide for Industry in Asia87

COMPANY EXAMPLESplant is Government owned and has a complicated management structure with many layers. Approvalfrom site management was not sufficient and a lot of time had to be spent to get the approval from topmanagement.Lesson learnt: when dealing with a Government owned plant or a plant that is part of a larger conglomeratea lot of time may be needed to get approval for an energy assessment because of the more layered andbureaucratic management structureOther lessons learnt:• Instead of submitting the proposal on paper, presenting the proposal to top management canspeed up the approval process. This would also be a good opportunity to answer any questionsmanagement might have and manage their expectations• It is essential that top management agrees that the Team members can use their work time to carryout the energy assessment (and not spare time). Make sure that this is specifically mentioned in theproposal to top management, and that an estimate of time each Team member needs is included• Make sure that the proposal is clear and detailed enough, because once approved by top managementit will serve as a work plan for the Team during the assessment• Although the proposal template (Worksheet 11) can be a useful starting point, also check if thereexists a standard template within the company that would be better to use or has to be used (thiscan be more detailed or less detailed)• The proposal should be written as soon as focus areas have been selected to keep the interest ofthe Team and top management• In preparing the proposal it is useful to have a person from the Finance Department in the Teambecause top management will want to know how much it costs to carry out an energy assessment• The participation of outside facilitators or experts can be useful in writing and obtaining approvalof the assessment proposal• Costs of the assessments and financial benefits from implemented options are top management’sfirst priority, so this is an important component of the assessment proposal• If the commitment from top management cannot be obtained for an energy assessment, then theTeam could consider submitting a slimmed down proposal that requires the minimum resourcesan timeStep 2 – AssessmentTask 2a. Staff meeting and trainingBengal Fine Ceramics Ltd (Ceramics, Bangladesh)Bengal Fine Ceramics’ production of ceramic products is very labor-intensive with 650 staff workingfor the company in three shifts. Many of the energy losses are influenced by the people working in theplant (several staff were interviewed about the way they work and to identify where energy is lost) andfor this reason staff were informed at the beginning about the upcoming energy assessment.Lesson learnt: In labor-intensive companies with many employees it is even more important to informstaff when an energy assessment is plannedTK Chemical Complex Ltd (Chemicals, Bangladesh)Staff at this plant received training during several stages of the project:• Three production staff attended a 1-week technical training on Cleaner Production, energyefficiency and the draft methodology that was to be tested at their plant• An international consultant accompanied the external facilitators from Bangladesh during theenergy assessment and many more staff were informally trained during the walkthrough of theplant, with data analysis and the brainstorm sessions to identify options• Three production staff attended a three-day workshop organized for all participating Bangladeshi88Energy Efficiency Guide for Industry in Asia

plants to receive additional training on establishing a baseline and monitoring results of options• An international consultant revisited the plant as a demonstration plant to further train thecompany’s Team on the application of the methodology• Staff gave the feedback that most of their knowledge about the production process and equipmentwas learnt on the job. They, therefore welcomed training from outsiders and showed that theywere very eager to learn more on how to run the plant more efficiently. The training paid off: itwas found that in addition to the nine options selected for feasibility analysis during the energyassessment, the plant’s Team independently identified and implemented many more options.Lesson learnt: Staff training not only helps staff to carry out the energy assessment the first time,but also increases the chance that they independently will continue to identify and implement energyefficiency options in the futureCOMPANY EXAMPLESCoromandel Cements Ltd (Cement, India)At the start of the assessment there was a big meeting between the management of the company, theexternal facilitators and more than 100 of the company staff. During the meeting it appeared thatemployees are extremely loyal to the management and the company, and over 90 percent of the staffhave been with the company since 1986. The relationship with Union is extremely good, and the Unionrepresentatives present at this meeting emphasized that it was “one big family” and the management as“parents to staff & their families”.Lesson learnt: Informing many staff at the start of the energy assessment combined with loyalty andcommitment from staff is important for the Team to carry out a successful energy assessmentPindo Deli Pulp and paper (Pulp and paper, Indonesia)Several meetings, reviews and communication channels were identified through which staff could beinformed and trained about energy efficiency:• Management discusses environmental and energy issues at their weekly meeting• The Efficiency Department conducts monthly reviews of KPIs (key performance indicators) foreach production unit, including for productions, energy and water “Energy Intensity Reports” anda quality ISO Newsletter is published and disseminated to staffLesson learnt: Find out what meetings, reviews and reports exist for the company as these can be usefulto inform and train staff about energy efficiencyCHICO (Iron and steel, Sri Lanka)Staff at this plant received training during various stages of the project:• Three technical staff attended a 5-day training programme delivered by SMED, who are theexternal facilitators for the GERIAP project in Sri Lanka• A larger group of employees was selected, including three trainees, receiving thorough training onCleaner Production and energy efficiency• Many staff participated in the one-day walkthrough of the plant, which was also attended by aninternational consultant who described typical energy losses and efficiency opportunities for thevarious equipments and departments• A three-day training programme was given to the Team on the draft Company Energy EfficiencyMethodology• A Roundtable with the other four Sri Lanka plants was held half-way during the implementationphase of options to exchange experiences and discuss successes and difficultiesLesson learnt: A variety of training to a large group of company staff will increase the ownership ofenergy efficiency by staff and therefore increase the chance of successful energy efficiency optionsHolcim Lanka Cement (Cement, Sri Lanka)The company sent one process engineer, one accounts person and one administration person to afive-day technical training programme, given by the external facilitating organization, to learn aboutenergy efficiency (technical knowledge) and Cleaner Production (the methodology). Especially thenon-technical staff members benefited from this training and were now better prepared to work withEnergy Efficiency Guide for Industry in Asia89

COMPANY EXAMPLESthe technical staff on the energy assessment (e.g. the accounts person now knew what the production,energy/resource and cost data that she would need to give would be used for).Lesson learnt: It is useful to also include non-technical staff in the training programme so that theybetter understand how to assist the technical staff in the energy assessmentPuyat Vinyl (Chemicals, Philippines)Before the energy assessment started, the external facilitators gave a one-day in-house training to thestaff of this company on the Cleaner Production concept and methodology and how to apply this toimprove energy efficiency. After the assessment (step 2), external facilitators met again with the Teamto facilitate the identification of causes of energy and material losses and the identification of possibleoptions. The “Fish Bone Diagram” was used successfully as a tool, and this was a useful learningprocess for the Team. (see diagram with example of a scalepit pump)Lesson learnt: An external facilitator can be useful at different steps in the methodology. He or she canprovide training of staff as well as to assist the team in how to do the cause analysis and how to use thefish bone diagramManLack of adequate trainingPoor maintenanceLack of SOPpoor switching designControl ProblemMachineworn out impellerInefficient pumpsdefective footvalveInefficient motorsold standard type motorsLack of Appropriate Toolsnot properly adjustedtransformer tap settinghigh voltage deviationfrom ratedHigh energyconsumption inscale pit pumpingMethodMaterial90Energy Efficiency Guide for Industry in Asia

Lanka Tiles Ltd (Ceramics, Sri Lanka)Two technical staff and one accounts person attended a five-day technical training course at the beginningof the energy assessment. Although a consultant from India gave some training sessions in English, mosttraining sessions were given in Sinhala, which made it easier for participants to understand the information.Lesson learnt: If staff are trained in their own language then they will learn more from the trainingcourseLime Master Ltd (Cement, Thailand)A one-week technical training course was delivered by TISTR, the facilitating agency for the GERIAPproject in Thailand. This company decided to send the Deputy Production Manager, the Chief ofProduction Process and the Chief of Quality Control to this course so that the entire production processwas covered. This made it possible to easily extend the energy assessments to other focus areas afterthe methodology was applied once. In addition, top management is adopting the bottom-up energy andenvironmental management policy to the company production process.Lesson learnt: When the company selects which staff should follow training it is important not only toconsider the selected focus areas, but also what areas may need to be covered in future assessmentsCOMPANY EXAMPLESOther lessons learnt:• All staff should be made aware that energy can be saved during their daily tasks. To make themaware of this, ask staff before or during the training to write down three suggestions for energysavings for their work areas. There can be presented and discussed at the training session• This Guide includes several training materials that can be used for training sessions for companystaff• Staff training sessions should also include case study examples and a plant walkthrough to applythe learnt information into practice• Some companies send staff to external training but they are not allowed to share certain companyinformation and data with other students for confidentiality reasons. Therefore is it important forthose who deliver the training to have fictive case study examples and exercises• In-house capacities to carry out an energy assessment are sometimes overestimated and aconsultant or external facilitator should be aware of this and be flexible in relying on the supportfrom company staff• Special management training should be offered to internal technical staff to increase their ability toconvince top management to implement options and continue with improving energy efficiency• Regular staff meetings are important to ensure that staff’s interest in energy efficiency and theircooperation during the assessment stays high• The presence of top management at (the start of) a meeting where the assessment is introduced tostaff can help in getting staff’s support for the assessmentTask 2b. Prepare process focus area flow chartsITC Ltd PSPD (Pulp & paper, India)This company is a large and integrated mill. Because of this, a production flow chart was not drawn forthe entire plant, but only for the selected focus areas.Lesson learnt: Adjust the drawing of the process flow chart depending on company size andcomplexityPT Holcim Indonesia Tbk (Cement, Indonesia)Many observations were made at this company during the walkthrough of the focus areas that theTeam could not have found out from data alone. High energy consumption and inefficient operationswere observed at all focus areas. For example, low loading and unloading of compressors (requiringimmediate attention), leakages leading to false air (at the kiln, pre-heater, man holes, pipelines, flapgate and roof), and frequent replacement of fire brick lining (4 times per year). For the compressed airEnergy Efficiency Guide for Industry in Asia91

COMPANY EXAMPLESsystem, there appeared to be no flow meters, which made it impossible to quantify compressed air losses.Several leaks could be seen and heard, resulting in the Team recommending a detailed compressed airleak survey.Lesson learnt: The walkthrough of focus areas is an effective way to make observations on energylosses that are no readily visible in the reading of dataHolcim Lanka Cement (Cement, Sri Lanka)One of the focus areas selected for this company was “fans and motors”. Because these are distributedthroughout the plant, it was not applicable to prepare a process flow chart for this focus area. Insteadof this an inventory of fans and motors at the plant and their characteristics (location, capacity, energyuse etc) was made.Lesson learnt: The process flow chart is not always applicable to cover the main characteristics of afocus areaOther lessons learnt:• Gather as much information on the quantities of inputs and outputs as possible, but do not spendtoo much time on exact figures at this stage (this will be part of step 2d)• Check if existing drawings of focus areas still reflect the current situation as process modificationsmay have been made• If the filing / administrative system of the company is not good it may be difficult to obtain thedrawings / flow diagrams for the focus areas. Sometimes it is therefore easier to make a flowdiagram from scratch• Additional information about process flow chart could be obtained from the secondary data(literature, etc.• Sometimes companies developed their own production process and therefore flow charts for focusareas may be considered confidential and cannot be given to external facilitators. In this case tryto obtain a high level flow chart that does not give the confidential details• Flow charts for focus areas that are production processes should also pay attention to auxiliaryactivities and equipments such as boilers, air compressors, cooling towers• It is very useful if the Team prepares the flow chart with the assistance of external facilitators orconsultants to get a complete pictureTask 2c. Walkthrough of focus areasAbul Khair Steel Products Ltd (Iron and steel, Bangladesh)During the walkthrough, the plant’s Team, external facilitators from Bangladesh and an internationalconsultant made several observations that immediately resulted in some obvious options to improveenergy efficiency. Some of the observations and options were:• There is no insulation material on steam pipe valves and fittings and insulation on some pipelinesis absent. Option: insulate all steam pipelines, valves and fittings• There is no condensate recovery on the main pickling line. Option: install an economizer on theboiler to preheat feed water using return condensate at high temperature• One bore well pump is running continuously to supply water, but when water is not needed it hasto be stored. Option: install a float valve controller to enable intermittent bore well operation sothat water is only pumped up when it is needed.• Cold water recycling pumps operate all the time even when the cold rolling mill is shut off.Option: turn off the main pumps on the rolling mills when the mills are off-lineLesson learnt: the walkthrough of focus areas can generate a lot of options that would not have beenidentified otherwise92Energy Efficiency Guide for Industry in Asia

Bengal Fine Ceramics Ltd (Ceramics, Bangladesh)This plant was a demonstration plant as part of a Cleaner Production training programme of the fiveBangladeshi plants participating in the GERIAP project. Staff from the fertilizer plant and the traineridentified ten additional options during the plant walkthrough based on the experiences from their ownplant (see table below). This was possible despite ceramics manufacturing and fertilizer productionbeing totally two different processes, because many of the equipments used and environmental problemsare the same.Lesson learnt: It can be useful to have employees from other companies join in the plant walkthroughbecause they can identify energy efficiency opportunities based on what is done at their companyCOMPANY EXAMPLESObservations Consequences Causes OptionsDust from materialhandling operationsSpillage during mixingSpillage duringpumping of slurry intothe mouldsHigh energyconsumption byoperating fans fordrying in castingsRejections of greenware (38-40%) due tothe moulding defectsDust emissionduring cleaning withcompressed airFugitive emissionsduring glazingHeat loss duringcooling cycleDusty work environmentManpower required toput the mix back into theprocessUnclean work environmentManpower and energyrequired to put the slurryback into the processUnclean work environmentHigh energy consumptionand costsMoney and materialswasted during grindingraw material, mixing andmouldingLack of dustsuppression systemImproper materialhandlingImproper materialhandlingThe installed fanscirculate the samehumid air resulting ininefficient dryingDelay in joining thedifferent parts of thecastingInstall dustsuppression systemImprove materialhandlingproceduresImprove materialhandlingproceduresProvide externaldry air for fansReview processand operatingprocedures tospeed up theprocessDusty work environment Lack of enclosures Install enclosuresLoss of fuelStaff exposure to fugitiveemissionsLoss of heat and thus highenergy costsAir is not extractedduring glazing processAbsence of heatrecoveryRejected ware Monetary loss Problems with materialhandling, moisturecontent in dried ware,and firing rateDG sets Noise pollution To generate electricityduring power cutsInstall extractionand control systemInstall heatrecovery systemReview processand operatingprocedures toeliminate causes ofrejectsNot determinedEnergy Efficiency Guide for Industry in Asia93

COMPANY EXAMPLESMedigloves Ltd (Chemicals, Thailand)Prior to the walkthrough of the plant, several non-technical workers were trained on how to recognizeinefficient use of energy and materials. They joined the Team, the external Thai facilitators and anexternal consultant in the walkthrough of the plant and managed to point out several inefficiencies thatstaff working in the plant every day had got used to, such as dripping or left open water taps, leakingsteam valves, and compressed air leaks.Lesson learnt: Non-technical staff who do not work in the plant on a daily basis are able to identifyobvious losses of materials and energy because they look at the processes with fresh eyes, and thereforethey should join the walkthrough of the focus areasOther lessons learnt:• Keep an open mind during the walkthrough and try to “think outside the box”. Just because aprocess has been running in a certain way for years, it does not necessarily mean that it is the bestway of doing it!• Time can be saved by splitting the different tasks within the Team, especially if several focus areasare selected. For instance, of three focus areas are selected, split the Team into three groups towork on one focus area. After one or more days, meet up to discuss your findings and exchangeideas• Ensure to use all necessary safety equipment during the walkthrough, such as protective clothing,boots, helmet, glasses and earplugs• If the company doesn’t have its own measuring equipment, try to solve this problem quicklybecause quantifying inputs and outputs will be much more difficult without measurements.Possible solutions are involving an external facilitator/consultant who has monitoring equipment,hiring monitoring equipment, or asking suppliers of the energy equipments that are included in thefocus areas to come and take measurements for you• For some locations in the plant it is not possible to take measurements using portable or installedmonitoring instruments. An alternative source for information is the control room• A walkthrough can be done by following the process pathway from start to finish, for example,check the compressed air piping system for leaks starting from the compressor• Use labels or tags to mark findings on site during the walkthrough• Make time to speak to the staff on the floor during the walkthrough as they best know the dayto-dayfunctioning and routines of their working areas. To get their cooperation, explain that youwant to help to improve (and not criticize!) their ways of working• A walkthrough usually generates many observations, but it does not necessarily result in theidentification of clear options• It is very useful to talk to the operators because they often have information that can be useful inidentifying low cost opportunities, such as changes in operating procedures or simple equipmentmodifications• It is useful to prepare questions before the walkthrough which need to be asked to work floorstaff• Monitoring instruments are useful to quickly identify energy losses during the walkthrough, suchas the infrared thermometer to determine heat lossTask 2d. Quantify inputs and outputs and costs to establish a baselineTK Chemical Complex Ltd (Chemicals, Bangladesh)Before data collection started, an overview of existing reports was made as given in the table below.It was found that energy cost and consumption data are taken from monthly invoices but that the plantitself does not monitor energy because energy is considered as a fixed cost and therefore not activelymanaged. As a result a breakdown by days or sections was absent. Daily and monthly reports aredisseminated amongst management but not communicated to section heads or staff. Therefore sectionheads and staff members are not provided with the information to identify ways to improve energy94Energy Efficiency Guide for Industry in Asia

efficiency and production. The team therefore had to spent several weeks to collect data for electricity,furnace oil, raw materials, steam, compressed air, waste, water and waste to be able to establish abaseline.Lessons learnt: Preparing an overview of existing monitoring and reporting of energy will help theTeam estimate how much time is needed to collect data to establish a baseline. If few data areavailable then this task could take several weeksCOMPANY EXAMPLESReport name Frequency Information included Prepared by Distributed toDailyProductionReportDaily •Paper production (gross tonnes)•Running hours and down time•Breakdown by reasons for downtime, such as power failure,voltage fluctuation, and shortagesof steam, raw materials andfurnace oilGeneralManager,FactoryDirector FinanceProject DirectorsProduction &ConsumptionReportProduction& DeliveryReportMonthlyMonthly•Paper production (net tonnes)•Paper materials consumption(waste paper and pulp)•Total running hours and downtime•Breakdown by reasons for downtime•Chemical consumption andstock position•Stock in ream & weight•Total stock•Delivery•Balance Stock•TargetCost Sheet Monthly •Quantity of raw materials &value•Quantity & value of chemicals•Quantity and value of power &fuel•Overhead expensesGeneralManager,FactoryFinance &AccountsdepartmentAccountsDepartmentManagingDirector, Director(O&M), Director(Finance), ProjectDirectors TKCCL,GM (Admin),Store OfficeManagingDirector, Director(O&M), Director(Finance), ProjectDirectors TKCCLManagingDirector, Director(Finance), ProjectDirectors, TKCCLUrea Fertilizer Factory Ltd (Chemicals, Bangladesh)Management mentioned at the first meeting that inefficiencies are mostly happening due that the plantis old, and that new technologies rather than improvements to the existing processes were needed toimprove the plant’s energy efficiency. An international consultant assisted the plant’s Team and externalBangladeshi facilitators with the collection of baseline data for the plant and compared these withspecific resource and energy consumption data of other similar fertilizer plants. The results convincedmanagement that improvements in resource and energy efficiency of at least 20 percent would bepossible by improving the existing production process without purchasing new technologies.Lesson learnt: Quantifying inputs and outputs and costs can be important to convince management ofthe potential to improve energy efficiency, which in turn will help in getting their support to implementoptions at a later stageAnhui Linquan Chemical Industrial Co Ltd (Chemicals, China)There were two major losses observed for the water gas department: heat loss from blow gas andrelaxed gas and CO loss in the pipe transport system. This made it possible to come up with an optionEnergy Efficiency Guide for Industry in Asia95

COMPANY EXAMPLESto install a heat recovery system that would provide a solution for both losses: heat is reused and lostCO gas is captured and burnt.Lesson learnt: Because a material balance gives a clear indication of all major losses for one focus area,this makes it easier to find options that deal with all losses together instead of each loss separatelyJangxi Yadong Cement Corporation (Cement, China)The Team could make use of the company’s on-line monitoring system to collect baseline data. Thissystem covers production, consumption and financial information but also management, process andother information. This allows the company to pro-actively manage production and operation cost atcompany and department level. The plant manager and each department has a terminal display unit thatcan be accesses by most production staff to continuously enter and read production parameters suchas temperature, pressure, flow rate, materials and energy consumption, and wastes and emissions. Thishas as an advantage that any irregularities are immediately noticed and reported to the plant manager.Because the system stores the monitored data, daily and monthly reports can be produced automatically,which facilitates the communication between different departments and to top management. However,it was noted that some on-line measurements are not very accurate, for example, the flue gas analysisat the inlet chamber of the kiln, and the Team took additional measurements to get more accurate data.On-line measurements of coal consumption were found less accurate than the daily measurements bystaff on the work floor so the Team used the latter data.Lesson learnt: A good information system will save the Team a lot of time to collect baseline data.However, it is important to check the quality of on-line measurements against real measurements toensure that the data collected is accurateShijiazhuang Iron and Steel Company Ltd (Iron and steel, China)The company decided to install a cogeneration system, but being expensive it is difficult to securethe required investment capital. As a solution, the company has planned its installation over a threeyearperiod so that the costs can be spread over three financial budgets. In addition, the company wasinterested in finding out about ESCOs (Energy Service Companies) in China, which could assist inlending the company part of the required capital in return of a percentage of the profits.Lesson learnt: When obtaining the financial capital for expensive options is a barrier it may be possibleto spread the option’s implementation over a number of years. Another option is to seek assistancefrom ESCOs which have been established in several Asian countries to provide the investment costs forenergy projects in return for a percentage of the savings for a number of yearsYuanping Municipal Chemical Industrial Co. Ltd (Chemicals, China)The company has very few meters to measure resource consumption and therefore only data onproduction, raw material consumption and energy use were available from invoices from the accountingdepartment. Two industry experts participated in the assessment of this plant used their knowledge andexperience to get some estimates of inputs and outputs, which allowed the Team to establish a minimumbaseline.Lesson learnt: In the absence of meters to quantify inputs and outputs for focus areas, industry expertscan assist with providing estimatesSiflon Drugs Ltd (Chemicals, India)Generally the company did not have much data for the various equipments used in the plant. In orderto obtain baseline data for the equipments, monitoring instruments were used (provided to the externalfacilitator through the GERIAP project) to measure the most important parameters to establish a baseline.These instruments were also used to monitor the results after the implementation of options (task 5a).Lesson learnt: Monitoring instruments are required to measure the most important parameters,especially if no data is available. An external facilitator’s assistance could be used in case no monitoringinstruments are available at the company96Energy Efficiency Guide for Industry in Asia

ITC Ltd PSPD (Pulp & paper, India)Most of the crucial inputs and outputs and operational parameters are measured by the company. Thedata is compiled on a regular basis and is available on the company’s intranet. Therefore the analysis oftrends of resource consumption by equipment and comparison with standard figures was not much of aproblem for the Team.Lesson learnt: Getting access to any electronic data available speeds up the data collection process forthe TeamCOMPANY EXAMPLESCoromandel Cements Ltd (Cement, India)The company has a good but informal data collection system, and therefore it takes time to collect thedata needed. The external facilitators gave 2 company members of the Team a list of the type of dataneeded during the technical training course (task 2a). Therefore when the assessment started, most ofthe baseline data was ready.Lesson learnt: Giving a list of required data and information to the company Team will save the externalfacilitators time when establishing a baseline during the assessmentActive Carbon Ltd (Chemicals, India)This company has a quality management system that is certified to the ISO 19000-2000 standard. As aresult, data for raw material use, products made, costs and quality were readily available. However, as thecompany is operating in a highly competitive market, many of the process parameters (e.g. temperature,pressure, time duration of the cycle, exact nature of chemical used etc.) are confidential and not publiclydisclosed. To establish a baseline the median values were therefore taken for these process parameters,which still give enough information to make a material balance (task 2e) and identify losses (task 3a).Lesson learnt: A good quality management system helps in the work of collecting good quality data.If the data figures are confidential, median values can still give sufficient information for a materialbalance because of their high qualityIndocement (Cement, Indonesia)Energy consumption is managed through the quality and environmental management systems, managedby a Management Representative. Each unit of the company has been given a minimum baselineperformance and each month each unit’s actual performance is evaluated against this baseline, with thepurpose of identifying energy losses and areas for improvement. As a result it was relatively easy toobtain baseline data for energy and determine where losses occur.Lesson learnt: If a company already has a system to measure energy for different departments then it isrelatively easy to establish an energy baseline and identify lossesPT Krakatau (Iron and steel, Indonesia)The company has no online information systems, therefore it was difficult to obtain historical and currentdata. In addition, most plants and the company have hot processes and sometimes temperatures weretoo high to take temperature measurements using infrared sensors. For example, due to hot temperaturesit was only possible to inspect billets visually and it was not possible to label inspected billets. Becauseof this, several inputs and outputs were calculated and/or estimated using the experience of the externalfacilitators and the plant’s Team members. The same applied to monitoring results of implementedoptions.Lesson learnt: If real measured data are not available it is sometimes necessary to rely on estimationsand theoretical calculationsPuyat Vinyl (Chemicals, Philippines)The external facilitators found it difficult to obtain sufficient information to establish a baseline becausemany visits to the plant were required to do this and the plant is located about 200 km outside MetroManila where the external facilitators were based.Lesson learnt: External facilitators should consider distance to the plant in the planning of the energyassessment because it may not be possible to visit plants located far away oftenEnergy Efficiency Guide for Industry in Asia97

COMPANY EXAMPLESSteel Asia (Iron and steel, Philippines)The company has no water metering system or any means to measure the allocation of water usedby different production processes. This makes it difficult to establish a water baseline from which tomeasure water savings after the implementation of water conservation options.Lesson learnt: It is not always possible to establish a baseline for resource and energy consumptionDankotuwa (Ceramics, Sri Lanka)Based on the results of the pre-assessment regarding information availability and potential scope forimprovement, the assessment of the three focus areas was done in different level of detail. Flue gasmeasurements in kilns were done in detail. The electrical system power factor and harmonic levels werealso studied in detailed. But the compressed air system was only briefly assessed.Lesson learnt: Not all focus areas need to be assessed in the same level of detail, depending on factorssuch as information availability and improvement potentialNational Paper Company (Pulp and paper, Sri Lanka)Company had a fair amount of baseline data. However, the meters of the boiler plant were malfunctioningand therefore monthly cost statements were used to obtain fuel and technical data. For water this wasnot a solution and the company did not have monitoring instruments to measure the water flow andsubsequently calculate water consumption.Lesson learnt: Sometimes invoices and reports on production and costs can be used to obtain baselinedata when meters are either absent or broken, although this is not a solution for all resources and wastestreamsAsian Chemicals Ltd (Chemicals, Thailand)Although the company has a good information system, there is only one electricity meter that measuresthe total electricity consumption of the plant, and therefore electricity consumption for the focus areacould not be determined.Lesson learnt: It often happens that plants only have one meter that measures electricity consumption forthe entire plant, which makes it difficult to find out electricity consumption for individual departmentsor equipmentsHanoi Ceramic Ltd (Ceramics, Vietnam)Daily oil consumption data were not available separately for the kiln and vertical drier because one flowmeter is used for the two equipments together. To find out the consumption for each equipment separately,the Team asked the Vice Director to stop operation of the kiln for one hour. The oil consumption duringthis hour was how much the vertical drier uses per hour. This amount was subtracted from the normaloil consumption per hour to obtain the oil consumption for the kiln. These two figures were then usedas baseline data for the kiln and vertical drier.Lesson learnt: In certain cases, establishing the fuel consumption for a specific equipment can be madeby a short-time shut down of the equipmentOther lessons learnt:• It is important to use actual or measured performance data for equipment and processes. Whatoften happens is that equipment specifications are used, but as these are often different to theactual performance, this does not make it possible to identify real losses• Actual performance data can often be obtained from the Central Control Room of the plant,monitoring records, measurement with monitoring instruments, and interviews with staff andoperators• If it not possible to obtain actual performance data, alternatives are secondary data from literature,calibration records, and time recordings• The accuracy of data should be verified: how it was monitored, calculation methods, conversionfactors, assumptions made, equipment calibrations, standard errors of meters, etc.• If an energy assessment is carried out over a longer period, then a check and if necessary an update98Energy Efficiency Guide for Industry in Asia

of data is important• Establish a log of information collected, with the dates, monitoring methods etc.• Costs of inputs and outputs should be collected where possible, because management is moreinterested in how much money can be saved instead of how much energy can be saved (e.g. acertain amount of fuel oil reduction will save more than the equivalent amount of coal reductionbecause fuel oil is more expensive than coal• Financial data may be more available but more difficult to get because often this information isconfidential and has to be obtained from the accounts or finance department• Most companies that participated in the project do not have an electronic information system inplace, and therefore it took more time for to get baseline data• Even if baseline data is available, then the reliability should be checked with actual measurementsand/or purchasing, production and sales recordsCOMPANY EXAMPLESTask 2e. Quantify losses through a material and energy balanceTK Chemical Complex Ltd (Chemicals, Bangladesh)Based on the losses of energy and resources, the potential for efficiency improvement was calculated /estimated as follows:Lesson learnt: a material and energy balance can help estimate the potential savings of resource andenergy efficiency even before options are identifiedResource Potential improvement PercentageimprovementPotential annual savings(based on 20,000 Tproduction/yr)in Bangladesh Taka(BDT)Water 10 m 3 /t 25% 400,000 BDTRaw Material 20 kg/t 2.4% 12 Mill. BDTElectricity 100 kWh/t 12% 8 Mill. BDTFuel oil (1)Cogeneration (2)IncreasedProduction22 L/t290 L/t9%100%5.2 Mill. BDT69.6 Mill. BDT4000 t 20% Estimated at 425,000 US$Total withoutcogenerationTotal with cogeneration25.6 Mill. BDT (0.45Mill. US$)90 Mill. BDT (1.5 Mill.US$)Yuanping Municipal Chemical Industrial Co Ltd (Chemicals, China)Heat losses for the boiler were observed and upon analysis the Team found that heat was lost in severalways as illustrated below. Although the individual losses could not be quantified, this information wasuseful to be able to identify causes of these losses and options to reduce the losses.Lesson learnt: Even if quantification of losses is not possible, the identification of the type of losses isalready helpful for identifying causes and options at a later stageEnergy Efficiency Guide for Industry in Asia99

COMPANY EXAMPLESHeat value of fuel Q 0 BoilerHeat value of steam Q 1Heat loss due to slag emission Q 6Heat loss due to heat dispersion Q 5Heat loss due to incomplete combustion of solid Q 4Heat loss due to incomplete combustion of gas Q 3Heat loss due to flue gas emission Q 2Thai Kraft paper Industry Co. Ltd (Pulp and paper, Thailand)Sludge from the company’s wastewater treatment plant is one of the major wastes of this company,and it is an important one because it is expensive to get rid of this waste stream. When options wereidentified an obvious option was to use sludge as an alternative fuel at the plant.Lesson learnt: Identifying the major waste is also useful because sometimes a waste stream can bereused to improve energy efficiency, for example the reuse of waste paper sludge as alternative fuelOther lessons learnt:• For batch production, consider one full batch to establish a material/energy balance. It is alsoimportant to include start up and cleaning operations• It is not an easy task to develop the “perfect” material/energy balance. Do the best you can andyou will discover that even a preliminary material balance can open up opportunities for energysavings!• Establishing a material/energy balance is often easier for a small and closed focus area, such as acooling tower or fan, rather than a large focus area, such as a compressed air system• For chemical processes, the material and energy balance can be calculated from the chemicalcomposition of input and outputs and information about the chemical reaction• When it is not possible to establish a full material and energy balance due to the lack of data, tryto do this for the most important inputs and outputsStep 3 – Identification of OptionsTask 3a. Determine causes of lossesTK Chemical Complex Ltd (Chemicals, Bangladesh)An external trainer facilitated a brainstorm session that was used to determine possible causes of theexcess use of fuel oil. Because management and many production staff were involved in this sessionmany possible causes were found:• Surface sizing of major products, including writing and printing paper, requires additional dryingafter sizing• More paper break due to size press• Percentage of fiber furnace• Possibility of slimes escaping from cleaning system causing excess paper break• Possibility of non-uniform mechanical dewatering• Additional steam demand for starch cooking• Non-uniform drying at the dry end of machine• Poor boiler efficiency (average 10.5 ton of steam per ton of fuel oil compared to 14 ton of steamper ton of fuel oil).• Excess machine breakage and percentage breakage in the converting section.100Energy Efficiency Guide for Industry in Asia

Lesson learnt: A brainstorm session with as many staff as possible will result in the identification ofmore causes of observed energy lossesYuanping Municipal Chemical Industrial Co. Ltd (Chemicals, China)This plant was visited by an energy expert and a Cleaner Production expert from the GERIAP projectto train the plant’s Team and the Chinese external facilitators on carrying out an energy assessment. Thedifferent perspectives from the two areas of expertise came to light when it was observed that a lot ofheat was lost through the exit gas of the synthesis furnace. The energy expert suggested that the wasteheat in the exit gas could be reused to preheat the inlet air (combustion air) of the synthesis furnace.The Cleaner Production expert looked at this from a different angle and found out that the coal used forthe furnace was of poor quality and that coal was fed into the furnace in sizes ranging from 80 – 200mm. He suggested implementing strict quality control measures to regulate coke sizes to a maximumof 40 – 50mm, which would ensure more efficient and completing combustion and reduce the amountof waste heat in exit gas.Lesson learnt: Cleaner Production and energy experts often can provide useful input from differentperspectives. It is therefore recommended to include people in the Team from both backgrounds tomaximize the output of the assessmentCOMPANY EXAMPLESExternal facilitatorsThe external facilitating organization in the Philippines, ITDI, held an internal training session for itsstaff to teach them about the importance of determining the causes of losses and how to do this usingthe Fish Bone Diagram. This greatly improved their ability to work with companies to identify lossesand after that generate options to reduce these losses and improve energy efficiency at the plants theywork with.Lesson learnt: It is useful for external facilitators to build their in-house capacity to effectively facilitatea case analysis.Other lessons learnt:• The benefits of a cause analysis are often not understood and therefore the Team is likely to skipthis task. An experiences (external) facilitator can be useful to facilitate the cause analysis, whichwill contribute tremendously to the identification of good options as part of task 3b• To make most efficient use of the Team’s time the cause analysis should focus first on the biggestlosses identified as part of task 2e• All identified causes should be recorded because it may only be possible to address a small numberof causes in the short term and the “root cause” in the medium/long term• A brainstorm session is useful, where participants keep asking why, why, why, until they haveidentified the root cause of energy and material losses• Many company staff are certain that there is no scope for improvement in the production processesand equipments and are therefore less open to discuss inefficiencies• Active involvement of Team members and other staff from the focus areas is important to identifythe real cause of losses• The external facilitators of the GERIAP project found the fishbone diagram very useful to find theroot causes of material and energy lossesTask 3b. Identify possible optionsShah Cement Industries Ltd (Cement, Bangladesh)This cement plant is very modern and highly automated. In addition, the plant does not produce clinkerbut purchases clinker to produce cement, and therefore, the production process is much simpler thanother cement plants. As a result there was limited scope for improving energy efficiency.Lesson learnt: The energy efficiency improvement potential differs between companies. For verymodern plants with automated and simple production processes, the potential is likely to be lower.Energy Efficiency Guide for Industry in Asia101

COMPANY EXAMPLESAnhui Linquan Chemical Industrial Co. Ltd (Chemicals, China)Following the energy assessment and determination of causes of losses, a meeting was organized tobrainstorm about possible energy efficiency options. In order to get a wide range of possible optionstwo groups of people were invited: (1) the members of the plant’s Team who are familiar with theplant’s production processes and equipment and (2) Domestic and international industry and CleanerProduction experts who can bring in experiences from similar production processes and equipment atother plants. The group as a whole discussed the identified options to decide which options to select forfeasibility analysis.Lesson learnt: Involving plant staff as well as external industry and Cleaner Production experts willimprove the quality of possible options identified as each group will have a different inputJangxi Yadong Cement Corporation (Cement, China)Power generation using waste heat was a main area for energy savings and to identify options for this,the Team, assisted by Tianjin Cement Industry Design and Research Institute, used the experiences ofsome national pilot projects on power generation with low temperature waste heat in cement companiesas a reference.Lesson learnt: It is worthwhile to find out about the experiences from other Cleaner Production andenergy efficiency projects that have been carried out at other companies when identifying possibleoptionsSiflon Drugs Ltd (Chemicals, India)Normally, a brainstorming session is held to identify a long list of possible options based on trials andmonitoring data collected during the assessment (step 2), and only then the list is screened to decidethe options to investigate for technical, economical and environmental feasibility (task 3c). However, atthis company the options were so obvious that no brainstorming session was held. One of the obviousoptions identified was the replacement of a wood fired boiler with a new and more efficiency oil firedboiler. The inefficient wood fired boiler was identified as the “root cause” (task 3a) to many of thelosses of energy observed during the assessment. Therefore, its replacement would eliminate many ofthe losses found.Lesson learnt: It is important to adjust the process of identification of options to the real life situation.If an option is very obvious, it does not need a brainstorm session to identify it!PT Holcim Indonesia Tbk (Cement, Indonesia)In addition to options that would improve energy efficiency and reduce greenhouse gas emissions andcosts directly, the Team also recommended the installation of flow meters. Measured data with the flowmeter would allow the Team to identify losses and additional options to improve energy efficiency inthe future.Lesson learnt: Remember that the lack of monitoring and measuring equipment can also be an optionto recommend to managementAsian Chemicals Ltd (Chemicals, Thailand)Top management is very supportive for staff to take their own initiative to improve energy efficiency andenvironmental performance. This greatly contributed to staff identifying a range of energy efficiencyoptions without the need for much encouragement by the external facilitators, such as the installationof a new boiler and an insulated condensate tank for collecting condensate for reuse as pre-heatedfeed water. In addition, all the options proposed by the Team were approved by the management forimplementation.Lesson learnt: Trust of the top management in staff contributes to staff taking ownership for theidentification and implementation of energy efficiency options, which is beneficial to the companySiam White Cement Company Ltd, SWCC (Cement, Thailand)Several other cement companies participating in the project mentioned that they consider SWCC as abest-practice company in their sector. This became obvious when energy losses and options to further102Energy Efficiency Guide for Industry in Asia

improve energy efficiency had to be identified, because opportunities were a lot less than for most othercompanies. To confirm this, an international industry expert was sent to the plant to evaluate the energysaving potential. This expert concluded that the plant is very modern, highly automated, well managed,and has already implemented most of the standard and low cost energy efficiency measures. For thisreason, major improvements in energy efficiency could only be achieved through highly technicaloptions that require large investments. As a result, the Team focused on relatively simple options, e.g.installation of capacity banks for improving the power factor, installation of high efficiency fan inCement Mill, installation of V-Separator in Raw Mill and installation of inverters for controlling airflow instead of dampers, that would still save the company money although they would not significantlyreduce the company’s total energy costs and GHG emissions.Lesson learnt: For modern and well managed plants that already have exploited the obvious and lowcost options to improve energy efficiency, major improvements can often only be achieved throughtechnically complex and high cost optionsCOMPANY EXAMPLESThai Kraft Paper Industry Co. Ltd. (Pulp and paper, Thailand)The assessment was coordinated by the Energy Department of the company. Despite brainstormingdiscussions for identifying energy efficiency options with staff from different production departments,only a few options were identified. This is because options relevant to equipment/issues beyond thefocus of the Energy Department are not brought into account, due to the lack of communication aboutthe GERIAP project to the other departments.Lesson learnt: It is important for the facilitator to ensure that the top management of the company hasinformed the entire staff about the participation of the GERIAP project, otherwise such a participationcould be underminedOther lessons learnt:• People tend to think of the obvious options only. A good way to trigger everyone to think creativelyis to reward each idea with a small reward (e.g. a candy, or a point and the person with the highestscore wins a prize) during a brainstorm session• Company staff should be actively involved in the identification of possible options because theyare the ones who will need to implement the options later• Company management should not place restrictions upfront on the type of options they are lookingfor because this will prevent the identification of a wide range of possible options• Staff are sometimes worried that when consultants find ways to improve energy efficiency thatmanagement will punish them for not doing anything about the energy losses earlier. This isespecially the case with simple good housekeeping options and in companies with a hierarchicalmanagement structure. External facilitators and consultants should therefore involve staff in theidentification of energy losses and options so that staff get credit, not blame, for improvements• On the other hand, some companies tend to take options suggested by external facilitators orexperts more seriously than those offered by their own staff• Generation of possible low cost options will create enthusiasm for further option generation.• Consultants, suppliers and representatives from other plants can add value to the brain stormsession because they are able to compare the situation with other companies• To generate more technical options the Team may need input from external consultants, especiallyin small companies in developing countries that do not have access to information about the latesttechnologies• A Cleaner Production specialist can assist the Team to think beyond the obvious options• Consultants sometimes too focus on obvious and “end of pipe” options (e.g. recovering heat froma waste energy stream rather than looking for ways to stop the energy loss from happening)• Knowledge and experience of the Team members and external facilitator play a vital role inidentifying optionsEnergy Efficiency Guide for Industry in Asia103

COMPANY EXAMPLESTask 3c. Screen options for feasibility analysisNational Paper Company (Pulp and paper, Sri Lanka)This government-owned company had a poor cash flow situation, and the Sri Lanka Government wasnot willing to invest additional capital in the plant. For this reason the company was not in a position toinvest in high cost options and therefore selected only low cost options for further feasibility analysisand implementation, although it was clear that the company could have benefited a lot from some ofthe medium and high cost options. Since then the government has called for expressions of interestfrom private investors to revamp the company through the “Public Enterprises Reforms Committee”(PERC). The company is hopeful that when new private capital is invested in the plant there will bemore opportunities to investigate and implement additional options in the near future.Lesson learnt: The cost factor is especially important when the company has a poor cash flow situation.In such a case, low cost options should be considered first and foremost. Higher cost options can beconsidered later if the company financial situation improvesHanoi Ceramic Ltd (Ceramics, Vietnam)This company plans to move to a new industrial zone in the near future. For this reason only low costoptions were selected for feasibility analysis and implementation, despite some options that would bringgreat energy and cost savings such as a heat recovery project. Other options selected for immediateimplementation related to improved operational control and awareness, because this would also benefitthe plant in its new location. Other options will be investigated and implemented when the companyhas moved.Lesson learnt: In case the company plans a move its facility to another location, then only the low costoptions are likely to be selected for implementationViet Tri Pulp and Paper (Pulp and paper, Vietnam)The Team raised the idea to install a new Fluidized Bed Combustion boiler with a capacity of 15 TPHinstead of 3 old coal boilers. However, this option to be considered at a later stage for financial reasonsbecause the company had already purchased two new oil-fired boilers from Korea before the GERIAPproject started.Lesson learnt 1: The Team should also consider what action the company has already taken to try andimprove energy efficiency for the focus areas, as this may impact the feasibility of newly identifiedoptionsLesson learnt 2: The finance source is an important factor in selecting possible optionsOther lessons learnt:• Don’t start screening options until you have identified as many options as possible, to avoid thatyou will overlook any good options• Remember to select simple options that are implemented directly, such as repairing steam leaksand heat recovery using heat exchangers. Implementation of low cost and easy options will resultin quick savings and can therefore help finance a next round of more expensive options• Company priorities and policies as indicated by top management should be considered in screeningoptions for further investigations• Most companies find business interest more important than environmental considerations inscreening options• Top management will almost always prefer the investigation (and implementation) of low costoptions with high savings• Tools such as the Pareto Diagram can help in prioritizing, giving weights and analyzing options• It is important to agree on screening criteria before the Team starts with screening options• Before screening is started it is important to find out the company’s financial criteria forimplementing projects. If the cash flow situation of a company is bad then there is no point inselecting high cost options for further investigation• One screening criteria can be whether investigation and implementation of the option is likely tointerrupt the production process104Energy Efficiency Guide for Industry in Asia

• It can be useful to involve a management representative in the screening of options or to ask topmanagement to review the list of screened options before the feasibility analysis is started. Thisavoids that the Team spends time on investigating options that management would reject anyway• Sometimes companies have a particular problem, such as permit requirements, that may be animportant reason to select an option for feasibility analysisStep 4 – Feasibility analysis of optionsCOMPANY EXAMPLESTask 4a. Technical, economic and environmental evaluation of optionsAnhui Tian Du Paper Co. Ltd (Pulp and paper, China)The company lacked electricity and also needed a new boiler. They considered installing a cogenerationsystem that combines heat and power generation. This required an investment of 17 million Yuan(approximately US$ 2 million) with annual savings of 4.947 million Yuan (approximately US$ 0.6million). The simple payback period is not enough to know if this option is financially feasible becausewith such a large amount of money consideration must be made as to worth of it in the future. (i.e. it cando less with 17 million Yuan in one year from now) because it may be better to invest it in somethingelse with a better return on investment. The Net Present Value (NPV) was therefore calculated for thisoption as follows:NPVnF= ∑ − Ijj=1 (1 + i)Where, F = increased annual cash flows; I = total investment;i = annual interest rate (%), choosing 6%; j = year, equal to 1 -10;n = life of project (in years), choosing 10 years.NPV = 4.947 X 7.36 – 17 = 19.41Because the NPV is positive, the project is profitableLesson learnt: When an option requires high investment then the Net Present Value should be calculatedin addition to the simple payback period to determine financial feasibility of the optionAnhui Tian Du Paper Co. Ltd (Pulp and paper, China)Local and regional pollution is becoming a more important issue and the Chinese Government’s policiesto reduce pollution levels are strengthening with stricter controls. For this reason, the environmentalfeasibility analysis of options also included the calculation of reductions in SO 2, NO x, CO and particulatematter (PM) emissions, in addition to greenhouse gas emissions (CO 2). For example, the cogenerationplant’s implementation would result in the following emission reductions:Pollutant CO 2SO 2NO xCO PM 10Reduced amount (tons) 15,057 1.10 54.03 2.25 59.44Jangxi Yadong Cement Corporation (Cement, China)The evaluation of an option to generate power from waste heat required more than just an internalfeasibility analysis. The proposal for the project had to be submitted to local authorities for examinationand approval before implementation. The company also has to negotiate with local electric utilities onhow to supply excess power from this project to the utilities network and how much money the companyEnergy Efficiency Guide for Industry in Asia105

COMPANY EXAMPLESwould receive per unit of electricity. The project has received Government approval and an agreementwith the utilities companies was reached in 2004 and will be implemented by November 2005.Active Carbon Ltd (Chemicals, India)The company considered the temperature and quality of the steam used commercially sensitiveinformation. For this reason median values were used to determine the economic feasibility of options.Since the median values were about +/- 5 percent from the real values this did not have much effect onthe accuracy of the economic feasibility analysis, especially the payback period.Lesson learnt: High quality median values can be used to determine the economic feasibility of optionsin case the exact figures are confidentialPindo Deli Pulp and paper (Pulp and paper, Indonesia)Paper sludge is a serious problem for this company. The Team and external facilitators held abrainstorming session to evaluate what could be done with this waste stream and the advantages anddisadvantages of each possible solution. The results are summarized in the table below:No Option Timeframetoimplement1 Use as fuel onsite (in newCFB Boilersas 5% mix incoal).2 Work withcement plantsfor using sludgeas kiln fuel.> 2 years Cost neutralReduce energycostCement plantneed ashReduce land fillUp to 1 year3 Use as Landfill Now but neednew land in20064 Survey othercompany whohave coal firedboiler withinreach5 Build newpaper m/c thatcan recycle thesludge into lowgrade paperEconomic Technical / practical Environmental• US$ 5 on sitecosts• US$ 5/ ttransport• … US$/t tocement plantUS$ 100/tcost new land fill< few months US$ 5/t on siteUS$ 5/t transport> 2 years Income from lowgrade paperReduced landfill and transportcostsCost neutralPindo # 1 OK (beingconsidered for the newboiler)Pindo # 2 no need foradditional boiler1800 t/monthDepends on moisturecontentHigh moisture content, needpre drying before use.Pre drying options atcement plant or at Pindo # 2(Identify & Study)SpacePermit, monitoringReputationMany small usersRisk of continuityCould be interim solution orstand byPermit requiredEnough space at Pindo #1and 2Capacity 400 t/month – 50% sludge and – 50 % freshpulp.Can be used in combinationwith other option (notenough volume to get rid ofall sludge).Permanentsolution & saleof ashPermanentsolutionTemporarysolutionWorst case optionCombustionEfficiency controlEnvironmentallybest solutionbecause recyclingof waste106Energy Efficiency Guide for Industry in Asia

No Option Timeframetoimplement6 Identifyopportunity onsite to minimizesludge run offinto effluent7 Use as compostin mushroomplantations8 Incinerateon/off site &capture wasteheat (e.g. heatair head dryeror boiler waterfeed)ContinuousAlready done(stopped sinceNov 03 byMinistry ofEnvironmentfor healthreasons)Up to 1 yearEconomic Technical / practical EnvironmentalDepend on option(but probablyhigh)US$ 10/tNeed studyOperation costPindo #2 is a modern plantso opportunity is bigger atPindo #1 (old plant)benchmarking % sludge /ton production (3.7 % Pindo#2)Can be used in combinationwith other optionsNo longer have permit(discontinued)Can use for cassavaplantations (i.e. not in foodchain) but only in smallscale & far away plantationsOff the shelf incineratorsmay be available.Need permitNeed to dry sludge first(what %)Reduce waste atsourceCompositionof compost isimportance (Lead,Pb, is present, andis a major healthhazard)Need highcombustion otherwise emissionsare too toxicCOMPANY EXAMPLESPT Semen Padang (Cement, Indonesia)A simple payback period of less then two years is the minimum criteria options had to meet to beaccepted by management, so this was used as an important input for ranking feasible options. Forexample, an option to reduce coal consumption was not financially feasible because it had a paybackperiod of ten years. However, options that were considered to be necessary from an environmental orsafety perspective (e.g. to meet regulatory permit requirements) were ranked for implementation in theshort term regardless of their payback periodLesson learnt: Any criteria given by management is essential input in the ranking of feasible optionsSolid Cement Corporation (Cement, Philippines)Sometimes it is difficult to determine the investment costs of more technical options. At this plant thiswas solved by obtaining:• Costs for the purchase of the solenoid valve for the air chokes from the plant’s purchasedepartment• Costs for the high efficiency motors and Varieble Speed Drive (VSDs) from a local supplier of aleading brand of these types of motors.Lesson learnt: The team can contact the purchase department and as well as suppliers in determiningthe investment costs of some technical optionsAssociated Motor Ways, AMW (Iron and steel, Sri Lanka)The location of and distance between the different departments affected the technical and financialfeasibility of some of the options. One striking example is the large distance between the boiler and theburner.Lesson learnt: The layout of the departments can be an important factor in the feasibility analysisSiam White Cement Company Ltd, SWCC (Cement, Thailand)The most interesting option implemented at the company was a V-separator to separate crushed limestoneEnergy Efficiency Guide for Industry in Asia107

COMPANY EXAMPLESof different sizes. What was interesting about this option is that the V-separator was designed, constructedand installed entirely by company staff. This made it possible to make a separator that entirely meets thecompany requirements, as compared to standard separators that are offered by external suppliers.Lesson learnt: Large companies often have in-house capacity to design equipment needed for new options,whereas smaller companies will more likely have to look for outside suppliers of new equipmentThai Kraft Paper Industry Co. Ltd. (Pulp and paper, Thailand)Energy data were mostly available. However, some other data was more difficult to obtain becausethe company does not have meters installed or monitoring equipment to measure resources, such aswater and compressed air use. Nevertheless, the company claimed that they have their own annualimprovement target areas, for which budget and plans have been approved by the top management, longbefore the company’s participation to the GERIAP project. As a result, there is nothing much left forfacilitator and consultant to convince the company.Lesson learnt: The problem of lack of monitoring equipment is less importomt compared to thecompany’s willingness to improve their performanceSai Son Cement (Cement, Vietnam)Before the GERIAP project the company was considering installing a variable speed drive (VSD) tocontrol the motor speed of the FD blower but was not certain if this would impact the operation of thevertical kiln. An international expert assisted with the technical feasibility analysis and enabled topmanagement to make an informed decision to approve the option.Lesson learnt: Knowledge and experience of an external consultant can be useful in assessing thefeasibility analysis of some technical options that require specific industry and equipment expertiseCompany X (anonymous)For this fertilizer company, one important aspect of the feasibility analysis was the potential impact onthe product quality. In addition to this, top management gave priority to no-cost and low options.Lesson learnt: Effects on product quality and top management preferences are two important factors toconsider in the feasibility analysisOther lessons learnt:• Use Worksheet 16 for each option investigated because it serves as a checklist and guidance onwhat information should be collected• Write down the calculations made as part of the economic and environmental feasibility analysis,including assumptions made. This makes it easier for someone, including top management, tocheck your figures• It is easier to complete a feasibility analysis if representatives from different departments andbackgrounds are involved, covering production, environment, energy, purchasing, finance/accounting, maintenance, and others as necessary• The Team should have direct access to a top management representative during the feasibilityanalysis, so that top management can give indications on whether to continue or not withinvestigating high cost and technically complex options based on preliminary results• Technical, economic and environmental factors are of different important for different options• Participation of the financial staff of the company is important for the financial feasibility becausethey know the evaluation process for large projects at the company and how financing should beincorporated in the company’s overall budgeting process• Potential future environmental impacts (such as climate change) and social impacts (such asupcoming safety regulations) should also be considered• If options are financially not feasible but generate a lot of greenhouse gas emission reductions,consider what impact Clean Development Mechanism (CDM) funding could have• Economic evaluation is the hardest part of the feasibility analysis if the finance department is notcooperative• At many companies reliable data are not available which makes it difficult to make a convincing108Energy Efficiency Guide for Industry in Asia

case to top management about the feasibility of options• It is useful to exchange information with other companies that face similar issues relating toenergy efficiency• The experience of consultants is an important factor in successfully completing the feasibilityanalysis of options• Information from suppliers can be helpful to investigate the feasibility of options. However, bemindful that suppliers want to sell their products / equipments so they may give too optimisticfiguresCOMPANY EXAMPLESTask 4b. Rank feasible options for implementationBengal Fine Ceramics Ltd (Ceramics, Bangladesh)Ceramic products go into the oven several times during production and as a result the temperaturesinside the plant get very high, especially during summer when there is no cool air coming into theplant. Options to recover heat from the furnaces were given higher priority because in addition toenergy savings the working conditions of staff could be drastically improved if the inside temperaturewould be reduced by several degrees. Even if the option would not be very attractive financially orenvironmentally, it would have received a high ranking.Lesson learnt: It is important to consider other benefits also, such as improved working conditions,because these can be very important to the company resulting in a higher rankYuanping Municipal Chemical Industrial Co. Ltd (Chemicals, China)Because this plant produces oxalic acid, staff are exposed on a daily basis to chemicals. Because ofthis, health is now an important consideration in the ranking of options for implementation. Even if thefinancial and environmental benefits for certain options are not as good as for the other options, theyshould still receive a high ranking if they result in a reduced staff exposure to chemicals.Lesson learnt: Impacts on staff health and safety should be considered in ranking feasible optionsG-Steel (Iron & steel, Thailand)Steel manufacturing generates several types of wastes and emissions in large quantities. The company isalso relatively close to residential areas. As a result, environmental permit requirements are quite strict.Because of this compliance with permit conditions, relationships with residents and local authoritieswere important criteria considered for the evaluation of options and ranking options for implementation.Options that are relevant to the excess environmental permits are to be ranked as the top priority.Otherwise, option with the most financial benefits are always given top priority.Lesson learnt: External factors such as legislative requirements, relationships with governmentauthorities and public image can be important criteria for selecting options for implementationViet Tri Pulp and Paper (Pulp & paper, Vietnam)Only low and no cost options with less than a two-year payback time were implemented. The otheroptions with larger investments will be considered for implementation pending funding approval bybanks or credit institutions.Lesson learnt: Investment costs and payback time are important criteria for ranking options forimplementationHa Bac Fertilizer (Chemicals, Vietnam)The company’s Director indicated that the profitability of the options in terms of payback (less than 1 year)was the most important selection criterion, and that greenhouse gas emission reductions and technicalfeasibility were important other criteria. Therefore, the Team focused on getting this information as partof the option evaluation and use it as a basis to rank options for implementation.Lesson learnt: A clear understanding of the criteria that top management finds important will make iteasier for the Team to rank options for implementation. The profitability and payback period of feasibleoptions are two very important figures that top management will ask forEnergy Efficiency Guide for Industry in Asia109

COMPANY EXAMPLESOther lessons learnt:• Invite top management to take part of the meeting when you rank feasible options for implementation.Their input at the selection process will save you time in the step 4c and gives management a senseof ownership in the process• If top management cannot attend a meeting to rank options, they could be consulted about theranking criteria• The economic aspect is for most companies the most important when selecting options forimplementation: no/low costs, high savings, low payback period• Government regulations (i.e. environmental, energy, safety, etc.) are also an important externalfactor that should be considered when ranking options• Companies may invest if the option is needed to comply with government regulations or permitconditions• Criteria to rank options will be different from company to company depending on numerousfactors, e.g. availability of investment capital, management policies, projects already planned,etc.• Options with large environmental benefits but with less favorable financial benefits were oftenranked lower• Most companies accept a two to three year payback period for options, provided that the investmentcosts are not too highTask 4c. Prepare implementation and monitoring proposal for top management approvalITC Ltd PSPD (Pulp & paper, India)Obtaining approval from top management was not a problem because the company has a clear procedurefor the approval and implementation of options. The most important evaluation criteria are:• Investment costs: Options that require an investment of less than US$ 10,000 are approved bythe Vice President of the Mill. Projects above US$ 10,000 are reviewed and approved by theDivisional Management Committee at head quarters. In practice, energy efficiency projects of upto US$ 40,000 have been approved without many problems in recent years.• Payback period: Options with a pay back period of more than three years have to undergo a moredetailed financial evaluation before a decision on its implementation can be made.• Impact on production process: If the implementation of options involves a production shut downor interruption, then their implementation is planned at the same time of regular maintenanceactivities, a planned shutdown or a plant overhaul.Lesson learnt: The process for getting top management approval will be more straightforward if thecompany has clear procedures for the approval and implementation of optionsIndocement (Cement, Indonesia)Options that require more than US$ 10,000 investment costs must be authorized by the Singaporeoffice, which adds to the time needed before the implementation of options can start.Lesson learnt: Find out early in the process what the approval process is for options and investments inoptions to avoid delays in obtaining approval for the implementation and monitoring proposalPT Holcim Indonesia Tbk (Cement, Indonesia)Although top management approved all recommended options, several options were not implementedin that same year because there were several other projects planned that would improve the overallcompany performance and production output, which were given priority.Lesson learnt: If and when options are implemented also depends on other projects the companyhas planned Therefore the Team should find out about these when writing the proposal to the topmanagement110Energy Efficiency Guide for Industry in Asia

Lanka Tiles Ltd (Ceramics, Sri Lanka)Changes were made to the production line by adding a tile chamfering line. As a result the implementationplan for options had to be slightly adjusted.Lesson learnt: When preparing the implementation and monitoring proposal the Team should considerany recent or upcoming changes in the production processMedigloves Ltd (Chemicals, Thailand)This company is relatively small and manufacturing peaks are dependent on the orders of clients. Whileenergy efficiency is a priority of the plant, the timing of implementation of new options needs to coincidewith downtime in manufacturing. During the project a new type of glove was launched and a clientplaced a major order. This had to be taken into consideration for the planning of the implementation ofoptions.Lesson learnt: Keep in mind that the customer is king! Sometimes the implementation of options willneed to be planned around the launch of new products or major orders by clientsCOMPANY EXAMPLESThai Kraft Paper Industry Co. Ltd. (Pulp & paper, Thailand)Although top management was interested in many identified options at first, but when approval forimplementation was requested, a lot of options were rejected or suspended for consideration. Thereasons given were (1) lack of financial incentive to invest in these options, (2) lack of staff resources toimplement options because they were needed in production, and (3) lack of data to show the potentialenergy and financial savings.Lesson learnt: The Team can recommend options for implementation but in the end it is top managementwho decide whether options will be implemented or notViet Tri Pulp and Paper (Pulp & paper, Vietnam)Subsidies for investments in (technical) options seemed to have a strong psychological effect on thecompany in addition to improving the financial feasibility of the options. Often the measures wouldhave been profitable anyway, but the subsidy is perceived by management as a signal that the optionsare worth investing in, because an outsider is willing to invest in them.Lesson learnt: Subsidies can give a psychological push to management to approve the implementationof options because an outsider signals that the options are worth investing inSai Son Cement (Cement, Vietnam)Although the company had experience with Cleaner Production it had less experience with energyassessments and was therefore skeptical about the potential of energy efficiency options, especiallyrelating to electricity consumption. The external facilitators put a lot of effort in providing descriptionsand illustrations of energy consumption by different production processes and equipments, and assistedwith preparing detailed calculations of investments and savings for the proposed options. The plant’sTeam now understood the technical background of energy use and options, which resulted in themfeeling confident about recommending the options to top management. Top management was verysatisfied with the report and approved the implementation of options without hesitation.Lesson learnt: It is important for external facilitators to make sure that the plant’s Team thoroughlyunderstands the technical background of energy use and options, because only then they will takeownership of the options and feel confident to recommend them to top management and implementthemHa Bac Fertilizer (Chemicals, Vietnam)The implementation plan assumed that options would be mostly implemented using internal capacity.Several options could not be implemented immediately, because of the continuous production 24hours a day, 7 days a week. The Team Leader set a time frame for implementation of options, whichcoincided with an annual maintenance plan. To prepare for a successful implementation, meetings wereheld between staff from the heat shop and company technicians to discuss the technical aspects ofimplementing the options.Energy Efficiency Guide for Industry in Asia111

COMPANY EXAMPLESLesson learnt: It is useful to set the implementation plan to coincide with any scheduled maintenanceplans at the plant to prepare the shop floor staff and technicians accordinglySeveral companiesTop management of several companies were interested in technical and complicated options (such asthe installation of a new boiler), instead of simple good housekeeping options (such as improving theefficiency of the existing boiler through simple measures). As a result, the identification of possibleoptions (task 3b), screening of options (task 3c) and feasibility analysis (task 4a) often favored thetechnical and more complicated options. However, when management had to approve the implementationof options, many of these options were rejected because the investment costs and payback periods wereconsidered to be too high.Lesson learnt: It is very important to agree on the financial criteria (investment costs, payback period)during the first meeting with the top management (task 1a). This way the Team avoids wasting a lot oftime on options that look good but will not get implemented in the endOther lessons learnt:• Present your implementation and monitoring plan to top management to save time getting theirapproval• Think in advance about what questions top management might ask about the proposed options• If financing is a barrier to implementing options, try to think of possible solutions and include thesein your proposal. For example, find out if an ESCO (Energy/Environmental Service Company) isinterested in assisting with financing the option• Many companies do not properly investigate the possibility of obtaining external financing. Thisis especially the case for SMEs• To obtain external financing for options in the implementation plan, companies must work out thefeasibility analysis of options in sufficient detail• The plan should also describe how to implement the option and how to monitor results. This isoften left out of the plan, which increases the risk that options will not be implemented even iftheir implementation was approved• The implementation plan should take into account the company’s existing programs, such asmaintenance and production schedules• Take the company’s financial year and budgeting cycle into account when planning implementationof options• The implementation of options that are not affecting the production processes can be given priorityin the time planning• For options that impact the production process, the Team should reach a consensus with theproduction department about who will implement options and when, before finalizing theproposal• Make time schedules for implementing options practical and realistic. A disadvantage ofdemonstration projects that are managed by external organizations is that the timetable forimplementing options can be different than what suits a company best• Top management often preferred to implement options during plant shut downs and maintenanceso that staff time is used most efficiently• Include how much money and staff numbers and time are needed for the implementation andmonitoring of options. If this is approved as part of the monitoring and implementation plan thenthis will avoid delays in implementing and monitoring of options112Energy Efficiency Guide for Industry in Asia

Step 5 – Implementation and monitoring of optionsTask 5a. Implement options and monitor resultsAbul Khair Steel Products Ltd (Iron and steel, Bangladesh)As a separate option outside of the GERIAP project, the plant is commissioning a US$ 1 millionacid (spent pickling) regeneration unit, which is in its final stage of civil structure completion andhardware has already been received. The plant was designed for 2.5 ton of HCL per hour consideringthe production and planned expansion 3 years back. However, the plant currently operates at lessthan 50 percent of installed capacity, and therefore the regeneration unit will also be underutilized.This means that the actual payback period of the unit will be significantly longer than estimated. Themanagement can consider offering the excess capacity to regenerate acid from other companies torecover the investment costs faster.Lesson learnt: Changes in market demand have an influence on production output and therefore cansignificantly influence the actual payback period of implemented optionsCOMPANY EXAMPLESAbul Khair Steel Products Ltd (Iron and steel, Bangladesh)When the company was revisited after implementation of options, company management reported thatdue to a steep increase in steel prices and increased competition, the market demand is low and as aresult the company is presently operating at less than 50 percent installed capacity. As a result, energyconsumption and GHG emissions had reduced since the start of the project but specific consumptionand GHG emissions had increased. In such a situation it is difficult to determine the impact ofimplemented options because the data are influenced by a reduced capacity utilization of the plant.Specific consumption and emission data (i.e. per unit of product) were used to compare the before andafter situation.Lesson learnt: It is important to determine if there were major changes in production figures before andafter the implementation of options, as this will significantly influence the changes in energy and GHGemissions. If this is the case, specific consumption and emission data (rather than absolute data) shouldbe usedTK Chemical Complex Ltd (Chemicals, Bangladesh)The company lacked the necessary monitoring equipment to measure the parameters needed to calculateenergy consumption and CO 2emissions before and after implementation of options. The monitoringequipment provided to the external facilitator through the GERIAP project helped to measure theseparameters, although this did not solve the need to take continuous measurements over a longer periodof time.Lesson learnt: Monitoring equipments provided by an external facilitator helps in the short term tomeasure the parameters of implemented option but it is not a long-term solutionIndocement (Cement, Indonesia)In Plant No 6, which was the focus area for the assessment, a major cable burned and therefore theplant had to be stopped for several months, which also caused delays in the implementation of option.Additional options were identified and implemented for two new focus areas to compensate for this:natural gas consumption and electricity generation using excess pressure supply.Lesson learnt: Sometimes the implementation of options cannot go ahead for reasons that the Teamcannot influence (such as a major overhaul or breakdown in the focus area). Depending on timeavailability and at what stage of the assessment and/or implementation; it is possible to select otherfocus areas for investigation or other options for implementationPT Krakatau (Iron and steel, Indonesia)The implementation of options had to be carefully planned because it was very much influenced by thecompany’s schedule for the overhaul of plants.Lesson learnt: Consider a company’s maintenance and overhaul schedules when planning for theimplementation of optionsEnergy Efficiency Guide for Industry in Asia113

COMPANY EXAMPLESPT Holcim Indonesia Tbk (Cement, Indonesia)One of the main options identified was to conduct a compressed air leak survey and repair leaks. However,there was no leak detection equipment available at the plant and limited in-house knowledge on howto detect and quantify leaks in any other ways. The external facilitators made use of the anemometerprovided through the GERIAP project to measure leaks and an external consultant trained companystaff on how to identify leaks using the “soapy method” and quantify leaks using standard tables.Lesson learnt: Attention also needs to be given to how the option should be implementedPuyat Vinyl (Chemicals, Philippines)The external facilitator found out that some of the approved options were not implemented at thiscompany. The reason appeared to be miscommunication: the boiler operator informed the externalfacilitator that the plant supervisor did not leave instructions on how to implement options at the boilerand to monitor results.Lesson learnt: It is essential that the “how to” implement options is correctly communicated down tothe operator level. Otherwise, options may not be implemented as planned!Solid Cement Corporation (Cement, Philippines)Review, implementation and monitoring of some options were hampered by a restraining order from thePhilippine Department of Trade and Industry (DTI) regarding the quality of one of the plant’s cementbrands. This order was lifted after 30 days causing delays in the project.Lesson learnt: Sometimes there are outside factors that can cause delays in the implementation ofoptions, which the company or external facilitator cannot do anything aboutSolid Cement Corporation (Cement, Philippines)The external facilitator had several monitoring equipments but lacked equipment for high temperatureairflow measurements in order to determine fan and motor performance. For monitoring of someparameters it was necessary to purchase data loggers to allow continuous measurements (instead ofonly one off measurements) at the plant.Lesson learnt: A wide range of monitoring equipment and data loggers may be needed for measuringspecific parameters and making continuous measurementsSteel Asia (Iron and steel, Philippines)Implementation: The company modified some of the options recommended for better monitoring ofoperation such as use of steel curtain, which have longer life, and use of water metering system withmore accurate results.Lesson learnt: If external facilitators are involved it is important that the company checks if anymodifications of options are needed, as they know the plant better than anyoneMonitoring: The energy savings and greenhouse gas emission reduction resulting from the insulationof the furnace was calculated based on measurement conducted on surface wall temperature, if thesesavings would have been calculated based on their production data, the actual consumption of bunkerfuel wouold have increased due to a change in the billet feed.Lesson learnt: where possible, use actual measurements to monitor energy reductions to avoid theinfluence of changes in production output and changes in production processes on monitored resultsHolcim Bulacan (Cement, Philippines)During the monitoring phase different aspects were monitored: (1) results of the implemented optionin the kiln (2) the evaluation of the feasibility of variable speed drives installation for the clinker coolerfans (3) general monitoring of energy parameters which resulted in the identification of new options.Lesson learnt: In practice, it is necessary to plan several monitoring sessions, because differentoptions will go through the identification, evaluation and implementation stages at a different pace114Energy Efficiency Guide for Industry in Asia

United Pulp and Paper Company, UPPC (Pulp and paper, Philippines)During the monitoring phase of the project, it was found that most of the recommended options had notbeen implemented. The reason was that the company decided to build a new cogeneration facility thatwould replace the existing boilers to which the recommended options applied.Lesson learnt: Sometimes a new large scale project will cover the focus areas, applicable or suggestedearlier for older PlantsDankotuwa (Ceramics, Sri Lanka)To plan for the monitoring of results it was necessary to consider the different type of options as eachneeds a specific way of monitoring and amount of time and money. The different options were:• Total elimination of sagers, by changing the tunnel kiln (gloss kiln) into a fast firing kiln• Power factor improvement and harmonic suppression by installing an electro flow system• Reduction of scrap clay return from pug rollsLesson learnt: Different options require different ways of monitoring, and allocation of time and resourcesCOMPANY EXAMPLESG-Steel (Iron and steel, Thailand)The company implemented several options, but for the external facilitators it was difficult to obtain theresults from the Plant’s Team. A meeting with the CEO of the company was organized to explain theneed to obtain results to be able to write case studies for implemented options. With the CEO’s support,the Plant’s Team had the permission to spend time to monitor and report results.Lesson learnt: Top management support is important not only at the start but throughout the assessmentMedigloves Ltd (Chemicals, Thailand)Several of the recommended options that required behavioral changes of staff would first be tested tosee if the option would work in practice and achieve the desired results. Only if the tests were positivethe change would be incorporated in operating procedures and instructions to make sure that the newpractices would also continue when staff would rotate. By doing this it was ensured that new procedureswould be successful and continue to be followed in the future.Lesson learnt: Testing options that require behavioral changes before including them in operatingprocedures ensures the procedure will be effective. Incorporating behavioral changes in proceduresensures that the change will also be adopted by new employeesViet Tri Pulp and Paper (Pulp and paper, Vietnam)Top management gave its staff full support by fully decentralizing the planning and realization of optionimplementation and monitoring. This gave the Team the necessary freedom to try new paths with thetesting and implementation of options, which sometimes resulted in failed options but many times insuccessful options too.Lesson learnt: If management gives staff the freedom to try implementating different options, it ismore likely to result in unexpected successes!Viet Tri Pulp and Paper (Pulp and paper, Vietnam)For some implemented options, mostly good housekeeping options, it was not possible to measureor calculate savings, although it is clear that these options contribute to reduced energy and materialconsumption. Specific consumption figures could help with finding out if after the implementation ofsuch options there is still scope for further improvement, which will help value good housekeepingoptions.Lesson learnt: Specific consumption figures (i.e. per unit of product) could help determine if there isfurther scope for improvement, where it is not possible to determine the savings of individual optionsSeveral companiesFor several companies it was difficult to measure or calculate the reductions in energy, greenhousegas emissions and costs for some of the options because no good baseline was established during theassessment (step 2d). This makes it more difficult to convince management to continue with energyEnergy Efficiency Guide for Industry in Asia115

COMPANY EXAMPLESefficiency projects because the Team cannot prove how much money was saved. A good baseline istherefore crucial for a continuous focus on energy efficiency!Lesson learnt: A good baseline data is critical in order to convince top management about the costbenefits of the implemented energy efficiency optionsCompany X (anonymous)For the implemented options it was difficult to obtain quantitative results because the EnvironmentalManager depended on the input from different departments including the Operational, Maintenanceand Purchasing, and especially the Electrical Department. Staff at these departments had other workpriorities and therefore results for several options could not be obtained.Lesson learnt: Determine in advance whose assistance is needed to monitor results from implementedoptions and obtain their commitment to collect the required information when neededOther lessons learnt• It was useful to start with options that were easy to implement, required low investment and hadquick payback periods because it motivated the Team and company staff• Make sure to use the same calibrated instruments for monitoring that were used for measuring theinitial baseline, otherwise results before and after implementation are not comparable• The difference between the baseline situation and the situation after implementation should bemeasured with proper measuring equipments so that top management can be informed about realsavings rather than estimate savings• The Team Leader should make sure that there is good communication and cooperation betweenthe Team members, external facilitators and work floor staff during the option implementation andmonitoring phase• Sometimes it is hard for external facilitators to get data after implementing options becausecompanies do not want to share these• Some companies need help from external organizations with monitoring results due to lack ofmonitoring equipment a the company• The quality and level of detail of the implementation and monitoring plan has a major influenceon the implementation and monitoring activities• A chart that shows how the implementation of options is progressing is useful to facilitatemonitoring activities and to keep the Team on track• Convincing top management of the long term benefits of energy efficiency will make it easier toobtain approval to purchase monitoring equipments• It is preferable to establish a separate coordinator for monitoring the results of implementedoptions to make sure that this task gets completed• It is not enough to provide companies with monitoring equipment only, there also has to be aculture that values equipment maintenance• Staff rotations in the Team and on the work floor can seriously delay the implementation of options.Therefore it can be useful to appoint two people (instead of one) to coordinate the implementationof each option• The more the implementation and monitoring of options depends on more people and departments,the higher the risk for delays• External facilitators/experts play a crucial role in pushing for completion of implementation andmonitoring• Active involvement of staff in the planning and implementation of options is needed when optionsrequire behavioral changes• As the Team implements more options and achieves positive results, the entire organization willbecome more enthusiastic, willing to rethink their operations and be more open to change116Energy Efficiency Guide for Industry in Asia

Task 5b. Evaluation meeting with top managementAssociated Motor Ways, AMW (Iron and steel, Sri Lanka)At the evaluation meeting with top management of this company, the external facilitators praised thecompany that the General Manager was available for discussion and evaluation at the beginning andat the end of each visit. This greatly contributed to the success of the assessment ad implementation ofoptions. This high level of commitment from top management also was important to get support forfuture projects to continuously improve energy efficiency (step 6).Lesson learnt: The ownership and top management support for future work is greatly improved if topmanagement has been involved throughout the assessment processCOMPANY EXAMPLESLime Master Ltd (Cement, Thailand)Top management informed the external facilitators at the end of the project that they were most pleasedand surprised by the success of the installation of a bag filter to collect lime powder dust. This optionwas approved because dust is considered a major problem by local authorities and residents, althoughfinancially the option would not save the company money. However, when the bag filter was put intooperation it was found that the lime powder could be recovered and sold as product. This providedthe company with unexpected savings of almost US$ 35,000 and the bag filter was paid back in 18months.Lesson learnt: Sometimes options that seem to be financially unfeasible can provide unexpected savings.It is therefore useful to think about all direct and indirect benefits that a proposed option might bringSai Son Cement (Cement, Vietnam)Top management indicated that the energy assessment has made the company more conscious aboutenergy efficiency and made the company realize that energy efficiency can result in quick financialsavings. However, management was not certain about whether to continue with energy efficiency,because they do not know what the improvement potential is. Benchmark figures to compare thecompany’s specific energy consumption with similar companies or compare the performance of theirequipments with standards would help to convince managementLesson learnt: An indication of future improvement potential in energy efficiency based on benchmarkfigures would help to convince top management to commit to more energy assessmentsHa Bac Fertilizer (Chemicals, Vietnam)Thanks to the positive results from the energy options implemented, top management supported furtherenergy efficiency activities that were proposed by the team relating to the spray nozzle of the boiler.Lesson learnt: Successful results from the first assessment are a very good reason for the company tocontinue with their energy efficiency programOther lessons learnt• The Team could prepare a report about the project for the evaluation meeting with management• Staff can be informed about the results through, for example, a letter, notice boards, posters, internalmeetings and reports. This will increase internal motivation to continue with energy efficiency• Also think about communicating your successes to customers, suppliers, the government andother stakeholders outside the company. It will help improve the company’s image and externalstakeholder can also help to improve the company’s energy efficiency in the future. This canbe done, for example, through a letter, meetings with stakeholders or the company’s website orenvironmental/ sustainability report• In addition to internal communication, external facilitators should present the results achieved atone company to other companies to encourage them to start with energy efficiency too• As part of the evaluation process, make notes about what was done during each task and lessonslearnt. This will help with preparing a plan for future energy assessmentsEnergy Efficiency Guide for Industry in Asia117

COMPANY EXAMPLESStep 6 – Continuous improvementAbul Khair Steel Products Ltd (Iron and steel, Bangladesh)At the completion of the project the plant had not yet implemented the energy managementrecommendations made during the first meeting with top management. The plant can continue on an adhoc basis to implement more energy efficiency options, but recognizes that without a certain level ofenergy management system it will be difficult to ensure continuous improvement.Lesson learnt: A certain minimum level of energy management system is necessary to ensure a companywill continue to improve energy efficiency in the futureBengal Fine Ceramics Ltd (Ceramics, Bangladesh)The company’s main client is the Swedish multinational IKEA Trading Ltd, which requires that suppliersmeet their environmental standards. Because of this, the company has a commercial incentive tocontinue to improve its environmental performance, including improved energy efficiency and reducedgreenhouse gas emissions.Lesson learnt: Customers can have a major impact on whether a company will continue to improveenergy efficiencyTK Chemical Complex Ltd (Chemicals, Bangladesh)The Plant’s Team is interested to continue improving energy efficiency and has the support ofmanagement. At the end of a revisit to the plant to evaluate the results of implemented options, theinternational consultant and the external Bangladeshi facilitators recommended the following focus ofa next energy assessment:• Identify and implement a large number of simple options at the water pumping, storage, treatment& distribution sections where significant potential exist• Carry out an energy assessment for technology related options in the cold rolling mills andgalvanizing mills.Lesson learnt: By determining what the focus of a future energy assessment should be, the chance thatthe plant continues with energy efficiency is greaterUrea Fertilizer Factory Ltd (Chemicals, Bangladesh)The barriers to energy efficiency that were identified at the start of the project have not changed. ThisGovernment owned fertilizer plant has very good technical staff, but has a complex managementstructure, bureaucratic processes and less economic incentive compared to a commercial plant. Thereforeimprovement in energy efficiency will very much depend on top management driving this, rather thanby staff’s technical skills and motivation.Anhui Linquan Chemical Industrial Co. Ltd (Chemicals, China)Energy efficiency is part of the day-to-day operations of the entire company under the environmentalmanagement system. An interesting example is new company regulations that have been established toencourage employees to take part in energy efficiency and Cleaner Production activities. For example,in 2004 top management passed the “10th memoir of company’s management meeting”. This memoirstates that the employees in charge of raw material procurement will be rewarded if the raw materialspurchased meet minimum quality requirements.Lesson learnt: Rewarding schemes for staff are a good mechanism to ensure that staff will continue tofocus on improving resource and energy efficiencyAnhui Tian Du Paper Co. Ltd (Pulp and paper, China)The company has a quality and environmental management system certified to the ISO standards, whichprovides the framework for continued energy efficiency improvement. In China the Government playsan important role in the attention companies give to environmental issues including energy efficiency.This plant is applying for support from the National Development Planning Commission (NDPC) andState Environmental Protection Administration (SEPA) to continue with Cleaner Production and energyefficiency as part of the Governments “circular economy” policy.118Energy Efficiency Guide for Industry in Asia

Jangxi Yadong Cement Corporation (Cement, China)Top management commitment to environment and energy efficiency is high and energy is a fixed itemon the agenda of weekly management meetings. An interesting aspect of energy management at thecompany is the consideration of environmental and energy performance for material and equipmentprocurement. For example, every batch of purchased coal must be tested and obtain approval fromthe Quality Control Unit before the Storage and Warehouse Unit accepts it. Another example is fansand motors, which must meet minimum energy efficiency standards with a two-years warranty andthe Procurement Division must get approval from the Electricity and Instrument Unit before theprocurement.Lesson learnt: The inclusion of energy efficiency criteria in procurement procedures is important toensure continuous improvements in energy efficiencyCOMPANY EXAMPLESShijiazhuang Iron and Steel Company Ltd (Iron and steel, China)The company will continue with Cleaner Production and energy efficiency amongst others throughits energy management system, by establishing energy consumption indicators for each productiondepartment, and by giving rewards and punishments to staff for energy saving and energy wastingactivities. It is interesting to note that the company has a Safety and Cleaner Production department, toshow to staff that Cleaner Production is a priority for the company.Lesson learnt: By including the Cleaner Production and/or Energy Efficiency in the name of a department,staff will be more aware that the company considers this a priorityYuanping Municipal Chemical Industrial Co. Ltd (Chemicals, China)The company has an ISO 9000 certified quality management system and an ISO 14001 certifiedenvironmental management system and top management places importance on this because as anexporting company, clients often require ISO certified management systems. However, ISO certificationdoes not always equal to good environmental performance. The company will therefore focus onimproving its actual environmental performance rather than its procedures and systems, which arealready in place. In addition, emphasis will be placed on linking environmental with health and safetyperformance because as a producer of oxalic acid, these two are closely related at this plant.Lesson learnt: In addition to striving to have ISO certified management systems companies must alsopay attention to improving actual environmental performance to ensure that real improvements inenergy and resource efficiency are realizedVishakapatnam Steel Ltd (Iron and steel, India)This company is very progressive with energy management and with the following activities (several ofwhich already existed before GERIAP) will ensure that energy efficiency improvements will continue:• A quality, environment and energy policy• A target of a 1 percent reduction in specific energy consumption per year until 2010• Identification and implementation of 22 more options in 2004, without the assistance of theexternal facilitators.• Creation of small teams in each department, with the role to identify and implement energyefficiency options, coordinated by a dedicated Energy ManagerLesson learnt: Continuous improvement is ensured if energy management covers several aspects, suchas a policy, Energy Manager, targets and work groupsSiflon Drugs Ltd (Chemicals, India)By conducting the energy efficiency assessment, the company realized the amount of benefits it couldachieve by implementing energy efficiency options. The company is planning to continue with thismethodology by adopting following steps:• Include an energy strategy in their expansion programme and also conduct a new assessment afterexpanding the capacity of the plant• Try to optimize the chemical process to increase the yield• Explore the feasibility of implementing a cogeneration system for its steam and electricitydemand.Energy Efficiency Guide for Industry in Asia119

COMPANY EXAMPLESLesson learnt: A successful first assessment is a good starting point for continuous adaptation of theenergy efficiency methodology at the companyITC Ltd PSPD (Pulp and paper, India)The company has a target of one percent reduction in specific energy consumption per year and isalso planning to install the necessary software for online analysis of data including: identification offault, raise alarms if something is wrong, quantity costs and savings, provide trend analysis of resourceconsumption etc. This system is also designed to set annual targets for material and energy consumptionin each of the departments.Lesson learnt: The installation of a software program can be a good way for the company to keep bettertrack of its energy performanceCoromandel Cements Ltd (Cement, India)The company has continued with energy efficiency and Cleaner Production after the first round of theMethodology and without the help of the external facilitators. After the first assessment together withthe external facilitators, the Team had identified about 18 options. Since then the Team independentlyidentified and implemented 26 new options! The Team also re-evaluated and implemented some of theoptions that were rejected by top management during the first round due to financial hurdles. The mainreason that this happened was the very high motivation of staff and trust of top management in its staff,even though the company has only limited formal systems for energy management.Lesson learnt: Staff motivation and trust from the top management in staff are important factors inensuring continuous improvement of energy efficiencyActive Carbon Ltd (Chemicals, India)The company is quite enthusiastic about the results achieved and top management wants to sustain theTeam’s efforts. During 2004, the company initiated the following measures:• Regular monitoring of various energy inputs to different sub-processes in the plant (DG House,Drier Section, Kiln Section, and plant lighting).• Optimization of production to maximize the yield in the kiln, thus reducing the furnace oilconsumption and raw feed into the kiln.• The company is also planning to establish an environmental management system in accordancewith the ISO 14001 standard and include greenhouse gas emission reduction targets at companylevel. The Methodology will be used to achieve the greenhouse gas and other environmentaltargets set under the environmental management system.Lesson learnt: The establishment of a certified environmental management system is a goodrecommendation for a more systematic approach to manage energy at the companyIndocement (Cement, Indonesia)This company is at the forefront of reducing GHG emissions and because it is such a large plant ina developing country, it has been looking to participate in CDM (clean development mechanism)projects. Possible projects eligible for CDM have been identified and developed. The company is nowin negotiation with the World Bank and several industrialized countries, who are potential buyers ofemission reduction credits (ERUs), to agree on the CO 2baseline and reductions to be achieved throughthe proposed projects.Lesson learnt: The clean development mechanism (CDM) under the Kyoto Protocol for climate changecan be an important driver for future GHG emission reductions through energy efficiency improvementsfor large companies in developing countriesIndocement (Cement, Indonesia)To ensure that energy efficiency and GHG reductions are sustained after the GERIAP project, topmanagement added two new parameters in the Management Control System in January 2005, whichwill appear in monthly reports to management:• AFR (Alternative Fuel Ratio), which measures the percentage of alternative fuels (such as waste120Energy Efficiency Guide for Industry in Asia

tyres) in each plant at the company• Clinker to Cement Ratio, which measures the percentage of clinker in cement produced, with theaim to replace clinker with alternative additives as this will reduce the costs of producing cementand GHG emissions (as burning of limestone releases CO 2)Lesson learnt: By including energy and GHG related parameters in monthly reports to top management,more pro-active management of energy and GHG emissions is possiblePindo Deli Pulp and paper (Pulp and paper, Indonesia)Top management takes energy efficiency seriously because it wants the company to remain competitive.To achieve this, they established a target to reduce the monthly energy cost from US$ 5.5 million toUS$ 4 million per month, which is combined with a plan to identify and implement a range of energysaving measures.Lesson learnt: Setting targets for energy consumption and/or cost reduction gives clarity to managementand staff where the company wants to go. This will allow staff to be more focused on improving energyefficiency and management on measuring progress against targetsCOMPANY EXAMPLESPT Krakatau (Iron and steel, Indonesia)The company considers energy efficiency as one of the components in its vision “To Be A World-ClassSteel Company”.Lesson learnt: Energy efficiency often fits in with a broader company vision of achieving excellencePT Holcim Indonesia Tbk (Cement, Indonesia)The assessment focused on one production line only. Several options can be applied to other productionlines, as they are very similar and do not require a lot of time because success was already proven forthe first production line.Lessons learnt: Big and fast improvements can be made in large plants by repeating the optionsimplemented in one production line at other production linesPT Holcim Indonesia Tbk (Cement, Indonesia)The company established targets for increasing profits by improving various aspects of the productionprocess, including energy efficiency. All staff have been given a “guidance book” that explains thetargets and the programme framework to achieve these.Lesson learnt: Energy efficiency improvements can also be incorporated in programmes that aimto improve the overall production output and profits, which will increase the chance that energyconservation is continuedPT Semen Padang (Cement, Indonesia)The company did a lot of work in the past to improve energy efficiency, such as optimization of thekiln and cement mill in the Indarung II plant, replacing the airlift by a mechanical conveyor in theIndarung III plant, and upgrading the cement mill in the Indarung III plant. This indicates that topmanagement’s commitment to continued energy efficiency improvement is real. One concrete measurethat has been taken since the GERIAP project is the formalization of the Team and specifying its rolesand responsibilities: monitoring energy consumption per unit of project to identify ways to improveenergy efficiency, meeting periodically to discuss technically problems at the four plants, and to takeaction to solve identified problem in relation to energy and environment.Lesson learnt: Past energy conservation projects are a good indicator to know if the company is seriousabout continuing with energy efficiency improvements in the futurePuyat Vinyl (Chemicals, Philippines)Since the GERIAP project the company is developing its vision to be energy-efficient and environmentfriendly.Now that the company is familiar with the energy assessment capability of the externalfacilitators, top management continuously requests assistance from them, especially with measuringelectrical parameters of some equipment and the use of alternative fuel for their boilers.Energy Efficiency Guide for Industry in Asia121

COMPANY EXAMPLESLesson learnt: External facilitators can also play a role in assisting companies to improve energyefficiency in the long term, for example by assisting with measurementSolid Cement Corporation (Cement, Philippines)Since the GERIAP project the company has moved on to other focus areas, lighting equipment and aircompressors, to assess energy efficiency and find ways to improve it.Lesson learnt: One way of ensuring continuous improvement is to go through the methodology againbut for different focus areasSteel Asia (Iron and steel, Philippines)The company will continue with energy efficiency using previously started initiatives:• A Productivity Improvement Program aimed at saving fuel and reducing costs by plant staff whoare given cash incentives for good ideas• The Energy Management Committee, which will oversee the continuation of energy efficiency• The Integrated Management System Certification, which will ensure that energy efficiency is fullyintegrated into the environmental management systemLesson learnt: It is not always necessary to start new initiatives to ensure continuous energy efficiencyimprovementHolcim Bulacan (Cement, Philippines)The company will continue with energy efficiency as part of its Manufacturing Performance Review(MPR) that is carried out across Holcim’s plants worldwide. The MPR aims to:• Reduce variable costs such as thermal and electrical energy, optimize fuel mix and AFR usage,purchased materials, clinker substitution by mineral components and wear parts• Reduce fixed costs consisting of maintenance materials, labor-own plus sub-contracted and thirdparty services• Review and prioritize investments for the next two years• Maximize utilization of the plant’s production capacity by improving the overall equipmentefficiency and optimize product’s clinker factor.Lesson learnt: Continuous energy efficiency improvement can be part of efforts to improve the overallperformance of a plantUnited Pulp and Paper Company, UPPC (Pulp and paper, Philippines)The company established savings targets for water, steam, chemicals and other materials for all sectionsof the company. In order to meet these targets, several departments have initiated new energy andresource efficiency projects since the GERIAP project.Lesson learnt: Target setting by top management can be an effective incentive for departments tocontinue to look for energy efficiency opportunitiesAssociated Motor Ways, AMW (Iron and steel, Sri Lanka)The company has taken several initiatives to ensure energy efficiency improvements will continue.Some important ones are:• Appointment of a Project and Development Engineer to focus on energy management• Increased communication to factory staff about energy efficiency options and assessments• Participation of top management in meetings on Cleaner Production and energy efficiencyorganized by SMED and NCPC in Sri Lanka to show their true commitment• Agreement to be a demonstration plant as part of a 10-day training programme on CleanerProduction and energy efficiencyCHICO (Iron and steel, Sri Lanka)At this company the enthusiasm of the Team was remarkable and contributed a lot to achieve higherenergy efficiency levels. However, due to the lack of a formal program to motivate staff to come up withnew ideas, the overall process was slowed down. In addition, the lack of a government policy framework122Energy Efficiency Guide for Industry in Asia

at national level on energy, the company does not receive external pressure from the government toimprove energy efficiency.Lesson learnt: Motivation programs for staff as well as external pressure by government are twoimportant factors for the company to continue to improve their energy efficiencyHolcim Lanka Cement (Cement, Sri Lanka)At the start of the project Holcim Lanka was still developing its environmental management system,but this has since been certified to ISO 14001. This will assist in improving energy efficiency on acontinuous basis. In addition, energy efficiency will continue as part of Manufacturing PerformanceReview (MPR) that is carried out across Holcim’s plants worldwide (see Holcim Bulacan).Lesson learnt: an environmental management system can assist in cementing energy efficiency in dailycompany business processesCOMPANY EXAMPLESLanka Tiles Ltd (Ceramics, Sri Lanka)The results from going through the methodology steps and from the implemented options, as part ofthe GERIAP project, convinced management to systematically look at improving energy efficiency inthe future.Lesson learnt: Demonstration projects can lead to a commitment from top management to continue withCleaner Production and energy efficiencyNational Paper Company (Pulp and paper, Sri Lanka)The company does not have an environmental or energy management system in place, which contributedto a relatively low awareness of energy efficiency and Cleaner Production at the start of the GERIAPproject. It is interesting to note that through the GERIAP project, management and staff at the companyhas slowly but gradually begun to realize the importance and potential of energy efficiency. Thecompany will continue with energy efficiency in the following ways:• The company’s departments have been given permission to continue implementing no and lowcost options.• In 2004 operators and factory supervisors attended a comprehensive in-house training course,which was given by a GERIAP consultant and the Sri Lanka external facilitators from SMED inTamil, which is widely spoken in the area where the company is located. The course focused on the6-step methodology to improve energy efficiency based on Cleaner Production. Participants weresplit into three groups and each group was given assignments on Cleaner Production and energyefficiency. Some assignments on CP/EE were given to three groups. When the consultant returnedto the plant several months later, the workers union officer lead one of the groups and expressedhis satisfaction of the training course and explained how it had resulted in the implementation offurther options.• In anticipation of private capital to be invested in the company through the Government’s PublicEnterprises Reforms Committee (PERC) initiative, which will make it easier to get the investmentcosts for some medium and high options, top management is investigating the possibility ofswitching to paddy husk as fuel for the boiler.Asian Chemicals Ltd (Chemicals, Thailand)Top management was satisfied with the results of implemented options, in particular reduction in energycosts, GHG emissions and most importantly an increase in production output because productionprocesses were operating more efficiently. These successes meant that the company is motivated tokeep improving energy efficiency as part of its environmental management system.Lesson learnt: If implementation of options is successful then a company is more motivated to continuewith energy efficiency in the futureG-Steel (Iron and steel, Thailand)The company implemented a staff motivation programme to increase the output and reduce electricityconsumption in the electric arc furnace (EAF), as illustrated in the following table. The monthly costsEnergy Efficiency Guide for Industry in Asia123

COMPANY EXAMPLESsavings are shared among employees, who either directly or indirectly contributed to the savings, asa “one off ” payment, which will be included in employees’ monthly salary. As a result, electricityconsumption has already reduced significantly.Lesson learnt: Staff motivation schemes with financial rewards are effective tools to ensure continuousenergy efficiency improvementsElectricity Incentive Scheme (based on 100,000 coil ton per month):ElectricityConsumption perLiquid Steel ton(kWh/ton liq)Incentive SchemePercentage ofelectricity cost saving(as of 400 kWh/liquidton)381 – 410 kWh Incentive Scheme level 2 2.5 % 66,000350 – 380 kWh Incentive Scheme level 1 9 % 237,600Yield Incentive Scheme:Process Yield (%) Incentive Scheme Percentage ofimprovement yield costsaving (as of yield 90.7%)90.0 – 91.9 Incentive Scheme level 3 0.27 % 135,000Expected monthlycost saving(US $)Expected monthlycost saving (US $)92.0 – 94.0 Incentive Scheme level 2 2.53 % 1,265,00094.0 – 96.0 Incentive Scheme level 1 4.75 % 2,375,000To further reduce electricity consumption at the EAF, G-Steel cooperates with the Iron and Steelmaking Institute of Thailand (ISIT) to find technical solutions for materials and energy conservation.This cooperation could further reduce the electricity consumption of EAF by 15 to 20 kWhs per ton(liquid steel). In addition, G-Steel’s Energy Management System Committee has started a detailedelectricity study for the entire plant with the aim to reduce the overall electricity consumption by 20kWh/ coil ton.Medigloves Ltd (Chemicals, Thailand)The market for medical gloves is very competitive, especially with the growth of manufacturers ofinexpensive gloves in China. Medigloves therefore has to do everything it can to remain competitive,which it tries in several ways such as improving product quality, developing new products, targetingnew markets and reducing production costs so that the sales prices for gloves can stay low. Energyefficiency is one way of reducing production costs and for this reason the company will continue toinvestigate ways to improve energy efficiency. The staff at Medigloves know that their jobs depend onwhether the company can maintain its position in the gloves market and therefore are motivated to helptop management in every way they can.Lesson learnt: Energy efficiency is one way of reducing production costs and thereby can play animportant role in ensuring the company remains competitiveViet Tri Pulp and Paper (Pulp and paper, Vietnam)The company has a lot of trust in the Vietnam Cleaner Production Centre (VNCPC) following excellentoutcomes from a 1999 Cleaner Production project. Because of this the company is committed to continuewith improving energy efficiency on its own.Lesson learnt 1: The external facilitator can play an important role in getting the company to committo continue with energy efficiency124Energy Efficiency Guide for Industry in Asia

Lesson learnt 2: The success of CP project has been found to be important for the company to furtherimprove energy efficiencyViet Tri Pulp and Paper (Pulp and paper, Vietnam)The top management of this company has become more aware of the need to improve environmentalperformance and is more willing to market their efforts in energy efficiency to the outside world andimprove their public image because of the growing public debate on energy and environmental issues.Lesson learnt: Public opinion and debate can have a positive influence on raising awareness of topmanagement of companies about the need to continue to improve energy efficiencyCOMPANY EXAMPLESSai Son Cement (Cement, Vietnam)The company has an ISO 14001 certified environmental management system that should ensurecontinuation with energy efficiency. The company has allocated energy responsibilities, but it isimportant that this comes together with an energy-minded company culture, top management support,increased communication about energy consumption, rewards for good suggestions by staff, andsufficient resources. Otherwise there is the risk that only superficial changes will be made withoutmuch real action and impact. During the project it was found that staff participated well, but that moreinvolvement of relevant staff members is needed in the planning and implementation of energy efficiencymeasures when it concerns behavioral changes (e.g. energy management, good housekeeping) becauseonly then internal resistance to energy efficiency is overcome.Lesson learnt: Formal changes to energy management must be accompanied with changes in companyculture and involvement of staff on the work floor to ensure that they are really supporting improvingenergy efficiency. Top management support is crucial to achieve thisHa Bac Fertilizer (Chemicals, Vietnam)The company is now considering implementing an environmental management system and having itcertified to the ISO 14001 standards. The Team’s knowledge on how the company deals with issues,including energy issues, its work on energy efficiency options and efforts to inform management aboutnew ideas to improve energy efficiency, were essential to top management’s willingness to continuewith this.Lesson learnt: Creativeness of staff in dealing with energy issues is important to convince managementto continue with energy efficiency in the futureHanoi Ceramic Ltd (Ceramics, Vietnam)To sustain energy efficiency improvements, measures have been taken by top management and by thestaff. Top management has issued new rules on material and energy uses. Middle management andproduction staff have taken their own initiative to identify additional energy efficiency options as aresult of increased awareness of energy efficiency through the GERIAP project and the perception thattop management is more committed.Lesson learnt: Measures at top management and staff level are both needed to ensure continuation ofenergy efficiency. Active involvement of top management and relevant staff members in planning andimplementation options is important to improve energy efficiencyCompany X (anonymous)Although several options were implemented successfully at this company, top management decided notto continue with energy efficiency in the near future. The reason is that a new plant is being constructed,which puts a lot of pressure on the time and resources available. In other words, energy efficiency is notconsidered un-important, but the new plant is given a higher priority. This illustrates how important itis to integrate energy efficiency into all business processes.Lesson learnt 1: Sometimes big projects such as plant expansions can be a barrier for continuedenergy efficiency because these projects require a lot of staff time which means there is no room forallocating staff to other areasLesson learnt 2: It is essential to integrate energy efficiency into all business processes in order toEnergy Efficiency Guide for Industry in Asia125

COMPANY EXAMPLESensure that it becomes a natural part of day-to-day company management and not seenas“a separatething”Other lessons learnt• Try to write a proposal for new energy assessments as soon as possible so that momentum is notlost. Ensure to include the main points agreed at the evaluation meeting with top management(task 5b)• In order to integrate energy into other company activities, highlight in the proposal how a secondround of the energy efficiency methodology can be carried out as part of other assessments or auditsuch as environmental, quality, health & safety audits• Continuation of energy assessment boosts the morale of workers and solidifies the support of topmanagement to take energy efficiency seriously as part of day-to-day business practices• Continuation of implementation and monitoring activities is crucial to facilitate future energyassessments• Availability of funding mechanisms for future projects will enhance continuous improvement• Top management of one company was so impressed by the successful outcomes of implementedoptions that they started a contest for staff to come up with the best energy and resource efficiencyoptions, to ensure that more savings would be made in the future• Staff reward schemes will encourage them to identify more options. An example is to allocate apercentage of the profit from implemented energy efficiency options to fund energy efficiencytraining programs to staff. This also makes sense for the company because investing in staff’scapacity can bring even more savings in the future!• Public recognition of and handing out certificates to departments and individuals who contributeto improved energy efficiency will increase motivation of staff to continue finding new ways toimprove• Behavioral changes that proved successful should be incorporated in the company’s day-to-daywork instructions and procedures to ensure continuation• An established relationship with consultants was an important factor for some companies tocontinue with energy efficiency activities• Inclusion of energy and resource efficiency in corporate plans and budgets is important to ensurecontinuous improvement• Staff training and awareness programs on energy and resource efficiency should be provided on aregular basis to keep staff focused on improvements• A dedicated person for coordinating continuous improvement is important, for example an Energyor Environmental Manager• Monitoring and communicating of energy costs per unit of production process provides a strongincentive for the company to continue with energy efficiency activities126Energy Efficiency Guide for Industry in Asia

B. Worksheets for the Company Energy Efficiency MethodologyList of worksheets for the Company Energy Efficiency MethodologyNo Worksheet name Task1. Reasons for energy efficiency 1a2. Energy Management Matrix 1a3. Factors of influence on improving energy efficiency 1a4. Team members and roles 1b5. General company details 1c6. General production flow chart 1cProduction, energy and resource data7.- annual1c- 12 months8. Inventory of major equipment 1c9. Information available at the company 1c10. Selection of focus areas 1d11. Energy Assessment Proposal to top management 1e12. List of training modules 2a13. Process flow chart for focus areas 2b14. Walkthrough observations 2c13 Process flow chart for focus areas 2d13 Process flow chart for focus areas 2e15. Causes, options and screening 3a15 Causes, options and screening 3b15 Causes, options and screening 3c16. Options analysis, implementation and monitoring 4a16 Options analysis, implementation and monitoring 4b17. Ranking of options 4c18.Implementation and monitoring proposal to topmanagement4cWORKSHEETSEnergy Efficiency Guide for Industry in Asia127

WORKSHEET 1: REASONS FOR ENERGY EFFICIENCYWORKSHEETSPossible reasons Yes / No CommentsReduce energy costsReduce production costsReduce energy consumptionReduce greenhouse gas emissionsReduce other emissions (e.g. SOx, Nox)Improve overall environmentalperformanceImprove product qualityImprove reputation / recognitionImprove staff health and safetyImprove compliance with regulationsImprove compliance with corporateenvironmental targetsPrepare for Kyoto Protocol / CleanDevelopment Mechanism opportunitiesImprove staff pride / moraleImprove relations with customersImprove energy management at a specificarea of the company (e.g. furnace):---Other:Other:Other:Other:128Energy Efficiency Guide for Industry in Asia

WORKSHEET 2: ENERGY MANAGEMENT MATRIXLEVELPOLICY ANDSYSTEMS4 Formal energy /environmental policyand managementsystem, action plan andregular review withcommitment of seniormanagement or part ofcorporate strategy.ORGANIZATION MOTIVATIONEnergy / environmentalmanagement fully integratedinto management structure.Clear delegation ofresponsibility for energy use.Formal andinformal channels ofcommunication regularlyexploited by energy/environmental managerand staff at all levelsINFORMATIONSYSTEMSComprehensive system setstargets, monitors materialsand energy consumptionand wastes and emissions,identifies faults, quantifiescosts and savings andprovides budget trackingTRAINING ANDAWARENESSMarketing the valueof material and energyefficiency and theperformance of energy/ environmentalmanagement both withinthe organisation andoutside it.INVESTMENTPositive discriminationin favour of energy /environmental saving schemeswith detailed investmentappraisal of all new buildand plant improvementopportunities3 Formal energy/ environmentalpolicy, but no formalmanagement system,and with no activecommitment from topmanagementEnergy / environmentalmanager accountable toenergy committee, chairedby a member of themanagement boardEnergy / environmentalcommittee used as mainchannel together withdirect contact with majorusersMonitoring and targetingreports for individualpremises based on submetering/ monitoring,but savings not reportedeffectively to usersProgramme of stafftraining, awarenessand regular publicitycampaignsSame pay back criteria asfor all other investments.Cursory appraisal of newbuild and plant improvementopportunities.2 Unadopted / informalenergy / environmentalpolicy set by energy/ environmentalmanager or seniordepartmental managerEnergy / environmentalmanager in post, reportingto ad-hoc committee but linemanagement and authorityare unclearContact with majorusers through ad-hoccommittee chaired bysenior departmentalmanagerMonitoring and targetingreports based on supplymeter /measurement data andinvoices. Env. / energy staffhave ad-hoc involvement inbudget setting.Some ad hoc staffawareness and trainingInvestment using short termpay back criteria mostly1 An unwritten set ofguidelinesEnergy / environmentalmanagement the part-timeresponsibility of someonewith only limited influenceor authority0 No explicit policy No energy / environmentalmanager or any formaldelegation of responsibilityfor env / energy use.Informal contactsbetween engineer and afew usersCost reporting based oninvoice data. Engineercompiles reports forinternal use within technicaldepartmentNo contact with users No information system. Noaccounting for materials andenergy consumption andwasteInformal contacts usedto promote energyefficiency and resourceconservationNo awareness raising ofenergy efficiency andresource conservationOnly low cost measures takenNo investment in increasingenvironmental performance /energy efficiency in premisesModified from BRESCU (Building Research Energy Conservation Support Unit) Energy Management Matrix, and the Energy Management Matrix developedby the Sustainable Energy Authority of Victoria, Australia, www.seav.vic.gov.auWORKSHEETSEnergy Efficiency Guide for Industry in Asia129

Instructions:The Energy Management Matrix (“Matrix”) can give an insight into the way a company manages itsenergy. The Matrix includes six energy management components: Policy & systems; Organization;Motivation, Information systems; Training & Awareness; Investment. For each component thecompany will be at level 0 (lowest), 1, 2, 3 or 4 (highest level).At the meeting with top management of a company, ask three questions for each component (seebelow). Based on their answers put a bullet in the right level, and draw a line between the bullets.WORKSHEETSThis information can be used for• Task 1b: forming a team (maybe the team can be based on an existing energy / environmentalcommittee)• Task 1c: pre-assessment (after filling out the matrix you should know who to get information fromand what information is available)• Task 1e: preparing assessment proposal for top management approval (the results of the EnergyManagement Matrix will have an influence on the approach, the team, time planning and budget)• Task 3b: identifying options (options to improve energy management at the company fall under“improved process management” options)Questions to ask to top management:• Policy & systems- Is there a formal energy / environmental policy? (ask for a copy)- Is there a formal energy / environmental management system (ask to see copy of manual,ISO 14001 certificate)- What role does top management play?• Organization- Is there a person or department responsible for energy / environmental management? (ask forname, title and department, and if this person reports to management)- Is there an official committee that deals with energy / environmental issues? (ask name ofcommittee, who is in it, if a management representative is in this committee, are meetingminutes prepared).- What role does top management play?• Motivation- How are staff motivated to come up with new ideas for energy / environmental improvements?(ask what type of communication like meetings, newsletters, notice boards; who communicateswith staff; which staff are covered)- Does the company give rewards or recognise staff for good ideas? (ask how)- What role does top management play?• Information systems- What energy / environmental data are collected? (ask if this covers: energy, greenhousegas emissions, materials, water, waste, other emissions; ask if it covers quantities, costs,savings)- How are data collected (from supplier invoices meters or measured by the company) and atwhat level (at plant level or for each department / production process also) and how often(daily, monthly, quarterly, annually)?- What information is reported to top management (how, by whom and how often, e.g. MonthlyManagement Report, ask for a copy!) and what does management do with this information(e.g. set targets, determine future energy consumption, give feedback to departments)?130Energy Efficiency Guide for Industry in Asia

• Training and awareness- Is there training for staff on energy / environmental management and conservation? (ask whois trained, what the training is about, who gives the training)- Is there awareness raising for staff on energy / environmental management and conservation?(ask how awareness is raised, what the awareness is about, for which staff, who does theawareness raising)- Is there marketing of the importance and results of energy and environmental managementoutside the organization? (ask to whom, how often, how this is done, does this include energyand greenhouse gas emissions)• Investment- What is the process for evaluating and approving projects? (ask who needs to approve, arethere any standard forms or procedures, how long this takes, if it needs to coincide withbudgeting process)- What criteria are used for the evaluation of any projects (e.g. impact on safety, labour andproduct quality, investment costs, savings, payback period, ease of implementation etc)? Areenergy and greenhouse gas emissions considered in all project evaluations?- What are the minimum criteria that a project (including an energy project) must meet? (askmaximum investment, maximum pay back period e.g. 2 years, so that you know if you canlook at all options later, or maybe just as low cost options with a short payback period)- Have there been projects that were not implemented? (ask why!)WORKSHEETSEnergy Efficiency Guide for Industry in Asia131

WORKSHEET 3: FACTORS OF INFLUENCE ON IMPROVING ENERGY EFFICIENCYThis worksheet gives a list of possible factors that can influence the selection of focus areas (task 1d)and the proposal for the approach for an assessment (task 1e). The outcome should be considered whenwriting the assessment proposal in task 1e. Please add any other factors that are discussed in the meetingwith top management.WORKSHEETSPossible factors of influenceReasons why management wants to improve energyefficiencyWhere the company is now with energy management• policies and systems• organization• motivation of staff• training and awareness• information systems• investment in energy options (criteria andprocess)When the company thinks about a replacementinvestment, is energy efficiency a selection criterionSize of the plant (depending on which focus areas couldcover the entire plant or a specific department, processor equipment)If there are any areas where the company has problemswith energy (e.g. high costs, technical problems)Time that management wants to allocate to an energyassessmentHow much money management wants to spend on anenergy assessmentAny plant or equipment upgrades plannedAny plant shutdown / maintenance plannedIncreased production planned (e.g. demand increasebefore holidays, launch of new product, major clientorder)Availability of energy monitoring equipmentHave the company installed flow-meters to documentand evaluate energy consumption in processes toimprove the efficiency with which energy is usedChanges in management expectedChanges in staff expected who are important to anenergy assessmentTechnical knowledge / expertise of production staffResistance of production staff to changeLanguage difficultiesImportant- Yes- Somewhat- NoCommentsSee worksheet 1See worksheet 2See worksheet 1132Energy Efficiency Guide for Industry in Asia

Possible factors of influenceExisting projects or programmes (e.g. wasteminimization programme, production improvementaudits)Any departments and energy equipment for whichenergy audits have been carried out in the pastCompany ownership structure (family, government,private, multinational) that could influence decisionmaking process and time neededUpcoming electionsSeasonal influence (e.g. monsoon, winter)Holidays / festivities (e.g. Ramadan, Christmas)New legislation, permit requirementsOther:Important- Yes- Somewhat- NoCommentsWORKSHEETSEnergy Efficiency Guide for Industry in Asia133

WORKSHEETSWORKSHEET 4: TEAM MEMBERS AND ROLESThis worksheet can be used to form a Team. Make sure that all responsibilities are covered by the Team. After the selection of focus areas (task 1d) additionalteam members can be added.TeammembersTeamLeaderTeamMemberTeamMemberTeamMemberTeamMemberTeamMemberNamePosition /titleDepartment Responsibilities (each on is to be covered by at least one team member)Accessto topmanagementKnowledgeofproductionprocess /equipmentsKnowledgeof energy /environmentAccess toproduction,resourceand costdataCommunications/trainingexpertiseWriting ofproposalto topmanagementKnowledgeof focus area(member to beadded after step1d)134Energy Efficiency Guide for Industry in Asia

WORKSHEETSWORKSHEET 5: GENERAL COMPANY DETAILSGENERAL COMPANYDETAILSCompany details and contactpersonYear of establishmentWorking shifts / hoursNumber of working days per yearNumber of employeesNumber of contractorsPlant installed capacityType of product(s)Actual annual productionName:Position:Organization name:Address:Country:Tel number:Fax number:E-mail address:Website:Tel number:Fax number:E-mail address:Website:Energy Efficiency Guide for Industry in Asia135

WORKSHEET 6: GENERAL PRODUCTION FLOW CHARTComplete a simplified production flow chart for the company’s process steps. Details aboututilities (boilers, compressors, wastewater treatment plant etc.) are covered by worksheets8. This worksheet can also be used to prepare a process flow chart for selected focus areas(task 2b).WORKSHEETSMajor inputs Department / section / process step Major outputRaw materialsProducts136Energy Efficiency Guide for Industry in Asia

WORKSHEET 7: PRODUCTION, ENERGY AND RESOURCE DATA7A: Yearly dataThese worksheets can be used to collect yearly data for three years and monthly data for each separate year.ProductionandResourcesUnit Year 1 Year 2 Year 3Productionorconsumption(unit/year)Specificconsumption(consumption /production)Costs($/year)Productionorconsumption(unit/year)Specificconsumption(consumption /production)Costs($/year)Productionorconsumption(unit/year)1. ProductiondataProduct AProduct BProduct C...etc2. EnergydataFuelcombustion– CoalFuelcombustion– Natural gasFuelcombustion– Diesel oilSpecificconsumption(consumption /production)Costs($/year)WORKSHEETSEnergy Efficiency Guide for Industry in Asia137

Fuelcombustion– Other:…Fuel fortransport– PetrolFuel fortransport– DieselFuel fortransport- LPGElectricitypurchasedfrom gridElectricityexported3. WaterTap waterGroundwaterOther water4. OtherresourcesWORKSHEETS138Energy Efficiency Guide for Industry in Asia

WORKSHEET 7: PRODUCTION ENERGY AND RESOURCE DATA7B: Monthly data – quantities produced and consumedYear: MonthQuantities produced orconsumedUnit 1 2 3 4 5 6 7 8 9 10 11 12 Total Average1. Production dataProduct AProduct BProduct C… etc2. Energy dataFuel combustion – CoalFuel combustion – Natural gasFuel combustion – Diesel oilFuel combustion – other:…Fuel for transport – PetrolFuel for transport – DieselFuel for transport – LPGWORKSHEETSEnergy Efficiency Guide for Industry in Asia139

WORKSHEETSYear: MonthQuantities produced orconsumedElectricity purchased fromgridUnit 1 2 3 4 5 6 7 8 9 10 11 12 Total AverageElectricity exported3. WaterTap waterGround waterOther water4. Other resources140Energy Efficiency Guide for Industry in Asia

WORKSHEET 7: PRODUCTION AND RESOURCE DATA7C: Monthly data – costs of resources consumedYear: MonthQuantities produced orconsumedUnit 1 2 3 4 5 6 7 8 9 10 11 12 Total Average2. Energy dataFuel combustion – CoalFuel combustion – Natural gasFuel combustion – Diesel oilFuel combustion – other:…Fuel for transport – PetrolFuel for transport – DieselFuel for transport – LPGElectricity purchased from gridElectricity exported3. WaterTap waterGround waterWORKSHEETSEnergy Efficiency Guide for Industry in Asia141

WORKSHEETSYear: MonthQuantities produced orconsumedUnit 1 2 3 4 5 6 7 8 9 10 11 12 Total AverageOther water4. Other resources142Energy Efficiency Guide for Industry in Asia

WORKSHEET 8: INVENTORY OF MAJOR EQUIPMENTThis worksheet can be used to make an overview of the most important utilities at the company, depending on how detailed the pre-assessmentis. For example, the Team can decide to only look at design and operating parameters if the utility is selected as a focus area.Utility Number SpecificationsCapacity Brand Type Specific design parameters Actual operating parametersBoilersThermic fluid heatersAir compressorsFurnaces / refractoriesPumpsCooling towersRefigeration & A/CPlantsTransformersElectric motorsFans / blowersOtherOtherWORKSHEETSEnergy Efficiency Guide for Industry in Asia143

WORKSHEETSWORKSHEET 9: INFORMATION AVAILABLE AT THE COMPANYThis worksheet can be used to make an overview of what information is available at the plant. This worksheet indicates the minimuminformation that should be collected as part of the pre-assessment. The Team should decide what other information may be needed during theassessment (step 2) and add this information to the list below.Information requiredGeneral company details (production, employees,contact details etc.)Available(Yes/No)To be included inpre-assessment as aminimumYResponsible person inthe team to collect thedataCommentsSee worksheet 5Organization chart YPlant lay out YProduction flow chart YSee worksheet 6Production data for past 3 years (preferably brokendown by month)Energy and resource consumption and cost data forpast 3 years (preferably broken down by month)Inventory of major equipments (boiler, furnaces,compressors etc.)Other (e.g.• List of monitoring equipment available at theplant• Electrical systems lines diagram• Permits)YYYSee worksheet 7See worksheet 7See worksheet 8Other: ……….Other: ……….144Energy Efficiency Guide for Industry in Asia

WORKSHEET 10 : SELECTION OF FOCUS AREASThe Team should identify what criteria to use to select focus areas that will undergo a detailed energy assessment (step 2). Criteria should bebased on:•••The meeting with top management (task 1a, see worksheet 3 for possible criteria)The Team (e.g. expertise / knowledge of Team Members and/or of external facilitator / consultant, and availability of staff from possiblefocus area to join the team)The pre-assessment (task 1c, e.g. information available, high energy consumption or costs)Then each focus area should be assessed against the criteria by giving a high (H), medium (M) or low (L) score against the criteria. Based on thescores given and the important of individual criteria, the Team can select one or more focus areas for a detailed energy assessment (step 2)Criteria for selecting focus areasPotential focus areas (e.g.boiler, kiln, fans, cooling house)1 2 3 4 5 6 7Example: High energy costs H M L H L L LSelected for step 2 (Yes/No)WORKSHEETSEnergy Efficiency Guide for Industry in Asia145

WORKSHEET 11: ASSESSMENT PROPOSAL TO TOP MANAGEMENTThis worksheet provides a template that can be used by the Team to complete the Assessment Proposal.This proposal is then sent to top management for approval. The proposal is approximately 7 pages, plusappendices.1. Executive Summary (1 page)Note: This is a 1 page summary of the proposal, including the key messages of the proposal tomanagementWORKSHEETS• This is a proposal to carry out an assessment at [name company/plant].• The objective of the assessment is to [describe main objective in one sentence]• The following focus areas are suggested for the assessment [ list focus areas in one sentence butdon’t describe in detail]• The output of the assessment is an “Implementation and Monitoring Proposal” that proposeswhich feasible options should be implemented within one year and how results will be monitored.• The suggested approach for the assessment is [list steps]• The assessment will be carried out by [ list Team members only nd mention who is the TeamLeader]• The assessment will start on [ date] and finish on [date]. In total [number] of staff man days areneeded to carry out the assessment, plus [number] of consulting days.• The total costs for the assessment is [amount] for [list type of costs, e.g. consultants, training…].• We request top management’s approval for this proposal.2. Objectives, scope and outputs (1 page)ObjectivesNote: The objectives with the proposal should clearly outline WHY you propose an energy assessment,i.e. what are the reasons. The initial meeting with top management (Task 1a) should be used as basisfor this.Scope - suggested focus areasNote: The scope is the focus areas suggested to management based on the selection of focus areas madeunder task 1d. Describe what each focus area is and includes.OutputsNote: The outputs of the assessment is an “Implementation and Monitoring Proposal” that proposeswhich feasible options should be implemented within one year and how results will be monitored.3. Approach (1 pages)Note: The approach includes steps 2, 3 and 4 of the Company Energy Efficiency Methodology. Describefor each task what the Team proposes to do (how detailed each step and task should be depends on thecompany, because each company is different!).146Energy Efficiency Guide for Industry in Asia

Step 2 Assessment• Task 2a: Staff meeting and training ( explain what you propose to do under this task)• Task 2b: Prepare process focus area flow charts• Task 2c: Walkthrough of focus areas• Task 2d: Quantify inputs and outputs and costs to establish a baseline• Task 2e: Quantify losses through a material and energy balanceStep 3 Identification of options• Task 3a: Determine causes of losses• Task 3b: Identify possible options• Task 3c: Screen options for feasibility analysisStep 4 Feasibility analysis of options• Task 4a: Technical, economic and environmental evaluation of options• Task 4b: Rank feasible options for implementation• Task 4c: Prepare implementation and monitoring proposal for top management approval4. Team, time planning and budget (1 pages)WORKSHEETSTeamNote: Introduce the proposed Team for the assessment. You can also include the table from worksheet4 that lists the Team members Team suggested for this assessment and their responsibilities. Make surethat you have added new team members from the proposed focus areas!Team members Name Position / title Department ResponsibilityTeam LeaderTeam MemberTeam MemberTeam MemberTeam MemberTeam MemberTime planningNote: Time planning (i.e. how much time/man days is needed for each step and task, a timeframe withdeadlinesStep and tasks Start date Completion dateStep 2 – AssessmentTask 2a: Staff meeting and trainingTask 2b: Prepare process focus area flow chartsTask 2c: Walkthrough of focus areasTask 2d: Quantify inputs and outputs and costs to establisha baselineTask 2e: Quantify losses through a material and energybalanceTotal number ofman days neededEnergy Efficiency Guide for Industry in Asia147

WORKSHEETSStep 3 – Identification of optionsTask 3a: Determine causes of lossesTask 3b: Identify possible optionsTask 3c: Screen options for feasibility analysisStep 4 – Feasibility analysis of optionsTask4a: Technical, economic and environmental evaluationof optionsTask 4b: Rank feasible options for implementationTask 4c: Prepare implementation and monitoring proposalfor top management approvalTOTALBudgetNote: The budget should describe what money is needed for (e.g. consultant, training, monitoringequipment, etc.) and mention how much money is needed for each task.Step and tasks Description of costs AmountStep 2 – AssessmentTask 2a: Staff meeting and trainingTask 2b: Prepare process focus area flow chartsTask 2c: Walkthrough of focus areasTask 2d: Quantify inputs and outputs and costs to establish abaselineTask 2e: Quantify losses through a material and energy balanceStep 3 – Identification of optionsTask 3a: Determine causes of lossesTask 3b: Identify possible optionsTask 3c: Screen options for feasibility analysisStep 4 – Feasibility analysis of optionsTask 4a: Technical, economic and environmental evaluation ofoptionsTask 4b: Rank feasible options for implementationTask 4c: Prepare implementation and monitoring proposal fortop management approvalTOTALAppendicesNote: Add any relevant worksheets (No 1-10) and other appendices that will support the proposal.148Energy Efficiency Guide for Industry in Asia

WORKSHEET 12: LIST OF TRAINING MODULESThis worksheet gives a list of training modules provided in the Guide that can be used to train the Teammembers and staff working in the focus areas. Note that the Team will need to identify other trainingneeds that are not covered by the existing Guide modules (e.g. data collection, facilitation skills, projectmanagement, team building etc.).Possible training topics Who needs this training CommentsGeneralCompany Energy Efficiency MethodologyEnergy and climate changeCP FinancingGreenhouse Gas Calculator (how to determinegreenhouse gas emissions for a plant)Using monitoring equipmentEnergy equipment – electrical systems• Electricity• Electric motors• Fans and blowers• Pumps and pumping systems• Cooling towers• Air Conditioning & Refrigeration• Compressors & Compressed air system• LightingEnergy equipment – thermal systems• Fuels and Combustion• Boilers & thermic fluid heaters• Steam distribution & utilization• Furnaces & refractories• Waste heat recovery• CogenerationIndustry sector (processes, equipments andareas for energy efficiency improvement)• Cement• Chemicals (fertilizer)• Ceramics (tiles)• Iron and steel (secondary steel)• Pulp and paperWORKSHEETSEnergy Efficiency Guide for Industry in Asia149

WORKSHEETSWORKSHEET 13: PROCESS FLOW CHART, (INPUTS/OUTPUTS AND MATERIAL AND ENERGY BALANCE) FOR FOCUS AREASName focus area:Input (task 2d) Output (task 2d) Losses - quantities (task 2e)Losses – totalcostsName Quantity Costs Name Quantity Costs Liquid Solid/gas Energy (task 2e)Use worksheet 6 to prepare a process flow chart for the focus area (task 2b). But now also the utilities (boilers, fans, motors etc.) have to beadded. (Note: it is not always possible to make a process flow chart, for example, if your focus area is “fans and motors” for the entire plant).Use this worksheet to write down the inputs and outputs for each step of the process (task 2d) and to identify the losses (task 2e). An example ofa process flow chart for a boiler with inputs, outputs and losses as well as an empty template flow chart are included on the next pages.150Energy Efficiency Guide for Industry in Asia

coal (lignite)water spraycoal yardCoal fines( carpet loss)fugitive emissionselectricitycoal (lignite)## (actual)manual screeningand crushingcoal (lignite) ## (actual)blow down loss: ##unburnt in ash: ##wet streamloss:## (actual)## (actual)Flue gasesWORKSHEETSelectricitywaterconditioning chemicalBFW pumpStandard parameters:####FD fanstandard parameters:####electricity##(actual)air:## (actual)## (standard)process stepprocessparameterequipmentsteam generationPROCESS STEP REFERENCEpressureratingStandard##boilerOperating##ID fanStandard parameters:##Head developed#### (actual)Hot condensate (#)## (actual)steam separationdry steam (##)##(actual)Hidden loses:H2 & moisture:##Radiation:##Moisture in air:##Energy Efficiency Guide for Industry in Asia151

electricitywaterconditioningBFW pumpStandard parameters:8 t/hr at 13 kg/cm20.5 Mk/hr(actual)FD fanstandard parameters:100 mmWC;30o C & 15 kW atelectricity9 kW(actual)air:12.61 t/hr (actual)14.34 t/hr (standard)WORKSHEETScoal (lignite)water spraycoal yardCoal fines( carpet loss)ugitive emissionselectricitycoal (lignite)process stepprocessparameterequipmen17.0 Mk/hr (actual)manual screeningand crushingsteam generationPROCESS STEP REFERENCEpressureratingStandard12 kg/cm26 t/hrboilercoal (lignite) 1.1 t/hr .Operating10 kg/cm24 t/hrID fanStandard parameters:200o C & 20kWHead developed250 mmWCblow down loss: 1.4%0.24 Mk/hr (actual)unburnt in ash: 4.85%0.83 Mk/hr (actual)11.40 Mk/ht (actual)Hot condensate (3%)0.09 Mk/hr (actualwet streamsteam separationdry steam (97%)11.3 Mk/hr (actual)Hidden loses:H2 & moisture:2.5 Mk/hour (actual) 14.4%Radiation:0.17 Mk/hr (actual) 1%Moisture in air:0.03 Mk/hr (actual) 0.15%Flue gasesloss: 13.2% (actual)2.25 Mk/hr (actual)152Energy Efficiency Guide for Industry in Asia

WORKSHEET 14: WALKTHROUGH OBSERVATIONSUse this worksheet to write down observations made during the walkthrough of the focus area(task 2c). These can be used to identify options to improve energy and resource efficiency later(task 3a).Section name Area/equipment ObservationWORKSHEETSEnergy Efficiency Guide for Industry in Asia153

WORKSHEETSWORKSHEET 15: CAUSES, OPTIONS AND SCREENINGThis worksheet can be used to identify causes of observations and losses (task 3a), identify and categorize possible options (task 3b) and screen options (task3c) to decide which ones will be investigated in more detail. One worksheet should be completed for each focus area separately.FOCUS AREA:FOCUS SUB-AREA:Observation (task 2c) /Loss (task 2e)Causes (task 3a) Possible options (task 3b) Type of option (task 3b)Screening(task 3c)Good housekeepingImproved processmanagementProduction process /equipment changeNew technology /equipmentInput materialsubstitutionOn-site reuse /recoveryProduction of usefulby-productProduct modificationImplement directlyFurther analysisConsider later154Energy Efficiency Guide for Industry in Asia

WORKSHEET 16: OPTION ANALYSIS IMPLEMENTATION AND MONTIORINGUse one worksheet for each separate option, for options selected in task 3c (screening of options) for feasibility analysis.OPTION NAME:GENERAL INFORMATIONNumberFocus areaFocus sub-areaObservation(s)Cause(s)Option(s) descriptionType of option (technique)FEASIBILITY ANALYSISTechnical feasibility• Equipment and installation• Space availability• Time required• Impact on production process• Other:…………Economic feasibility• One-off investment• Annual operating costs• Annual cost savings• Payback periodFEASIBILITY ANALYSIS TASKS (task 4a) RESULTS OF FEASIBILITYANALYSIS (task 4a)RESULTS AFTERIMPLEMENTATION (task 5a)WORKSHEETSEnergy Efficiency Guide for Industry in Asia155

WORKSHEETSFEASIBILITY ANALYSISEnvironmental feasibility• Annual energy reduction• Annual greenhouse gas emissionreduction• Annual other environmentalreductions (e.g. water, rawmaterials, waste, dust)Other benefits or reasonsPotential barriers and possiblesolutionsRanking: 1, 2 , 3, unfeasibleIMPLEMENTATION AND MONITORING PLAN (task 4c) to be completed only for options ranked 1 (and 2 if required)What must be done Persons(s) responsible Completion date Amount of time needed Comments1.2.3.4.156Energy Efficiency Guide for Industry in Asia

WORKSHEET 17: RANKING OF OPTIONSWhen the feasibility analysis of options is completed, this worksheet can be used to summarize the results for each focus area (complete oneworksheet for each focus area). This table can then be included in the Implementation and Monitoring Proposal for top management.FOCUS AREA:FOCUS SUB-AREA:Optionno.Option name Feasibility Analysis (H = high, M = medium, L = low feasibility) RankingTechnical• H / M / L• Main resultsBenefits• H / M / L• Investment• Ongoing costs• Savings• Payback periodBenefits• H / M / L• Energy reduction• GHG reduction• Other environmentalbenefitsOther reasons /benefits• H / M / LBarriers (andsolutions)1. Implement shortterm2. Implement long term3. Further investigation4. Unfeasible1234567WORKSHEETSEnergy Efficiency Guide for Industry in Asia157

WORKSHEET 18: IMPLEMENTATION AND MONITORING PROPOSAL TO TOPMANAGEMENTThis worksheet provides a template that can be used by the Team to complete the Implementation andMonitoring Proposal. This proposal is then sent to top management for approval.The proposal should include:1. Introduction (summarizes the proposal)WORKSHEETS2. Number of options identified, options investigated for feasibility, feasible options, options requiringfurther investigation, and unfeasible options3. Options recommended for implementation in the short term:- Total estimated investment required, annual ongoing costs, annual savings and payback period- Total estimated environmental benefits (energy, GHG emissions and resources/wastes)- Most important other reasons for implementation- Most persistent and difficult barriers and proposed solutions- Table with list of options including technical, economical, environmental, reasons and barriersfor each individual option4. Team (who will carry out the implementation and monitoring, including external facilitators/consultants)5. Communication of results to top management and staff6. Appendices with- Worksheets 16 for options recommended for implementation in the short term- Worksheets 17 with details and ranking of all options investigated158Energy Efficiency Guide for Industry in Asia

C. Overview of Company Case StudiesThis table gives an overview of GERIAP company case studies that has been worked out as long or short options.Please note that several companies plan to implement additional options, but these have not been listed in this table.Please see the Website version of this Guide (www.energyefficiencyasia.org) for any updates.COMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsAbul Khair SteelProducts LtdT K ChemicalComplex LtdBengal FineCeramics LtdLeak repair and insulation improvement of steam distributionsystemKeeping main pumps on rolling mills turned off when millsare offlineBangladesh Iron &SteelBangladesh Iron &SteelInstallation of capacitor bank to improve power factor Bangladesh Iron &SteelRecovering heat from wastewater using heat exchanger Bangladesh Iron &SteelBlowdown in boiler at high TDS levels only to reduce thenumber of blowdownsBangladesh Pulp &PaperIncrease of condensate recovery from boiler Bangladesh Pulp &PaperInstallation of a de-superheater at boiler to feed steam to thepaper machine at lower temperaturesBangladesh Pulp &PaperSteam distribution &utilizationPumps and pumpingsystemsLeaksRolling millElectricity Capacitor bank, powerfactorWaste heat recovery WaterBoilers and thermic fluidheatersBoilers and thermic fluidheatersBoilers and thermic fluidheatersWashing raw materials in cascade tanks instead of using a hose Bangladesh Ceramics Pumps and pumpingsystemsHeat loss reduction from furnace by insulation, reducedoperating burners, and maintained sager sizesBangladesh Ceramics Furnaces andrefractoriesHeat recovery from furnace exhaust for reuse in dryer Bangladesh Ceramics Furnaces andrefractories,Waste heat recoveryBlow down, totaldissolved solids, TDSCondensateDe-superheater, steam,paper machine, paperbreakageWater, wastewaterrecoveryInsulation, burners, sagerDryer, pipelinesCASE STUDIESOVERVIEWSEnergy Efficiency Guide for Industry in Asia159

CASE SYUDIESOVERVIEWSCOMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsUrea FertilizerFactory LtdShijiazhuang Iron& Steel Co LtdAnhui TianduPaper Co LtdWater and energy conservation in water distribution system Bangladesh Chemicals Pumps and pumpingsystemsInsulation, steam traps repair and condensate recovery forboiler and steam systemBangladesh Chemicals Boilers and thermic fluidheatersSteam distribution andutilizationFertilizer, waterdistributionFertilizer, insulation,steam traps, condensateCooling water conservation through reduced water drainage, Bangladesh Chemicals Cooling towers Fertilizer, blow downblow down and evaporationRepair of leaks in ammonia pipelines Bangladesh Chemicals Fertilizer, ammoniaInstallation of capacitor bank to improve power factor Bangladesh Chemicals Electricity Capacitor bank, powerfactorInstallation of gas hoods to on converter furnace to recoverheatChina Iron &SteelWater conservation and recycling China Iron &SteelNitrogen flow meters, leak survey and repair China Iron &SteelOxygen flow meters, leak survey and repair China Iron &SteelRevised procedure to turn roof deck fan off in winter when itis not neededChina Iron &SteelRepair of biocide dosing injection pump at cooling tower China Iron &SteelHeat recovery from blow down at pulp digesters China Pulp &PaperInstallation of cogeneration to provide combined heat andpowerChina Pulp &PaperFurnaces andrefractoriesWaste heat recoveryElectricityPumps and pumpingsystemsConverter furnace, GashoodWaterElectricity Nitrogen, leaksElectricity Oxygen, leaksFans and blowersCooling towersPumps and pumpingsystemsWaste heat recovery Digester, blow down,steamCogeneration Combined heat andpower, CHP160Energy Efficiency Guide for Industry in Asia

COMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsJiangxi YadongCementCorporation LtdAnhui LinquanChemicalIndustrial Co LtdYuanpingChemical IndustryLtdIncrease cooking capacity and efficiency by improving strawfeedChina Pulp &PaperPre-soaking of straw before feeding into digester China Pulp &PaperInsulation and leak repair of steam pipelines China Pulp &PaperReplace several small boilers with one large boiler to improveenergy efficiencyPower generation from waste heat from clinker cooler andpreheaterChina Pulp &PaperSteam distribution &utilizationBoilers and thermic fluidheatersCooking processDigesterLeaksChina Cement Waste heat recovery Kiln, clinker cooler,preheaterKiln, refractory bricksNew refractory bricks for kiln China Cement Furnaces andrefractoriesUse of coal ash powder instead of steel slag as clinkersubstitute in cementRevised procedure to screen coal feeding to ensurehomogenous combustionReplacement of glue sphere with screw cordonnier system insteam turbine condenserHeat recovery from blown gas and relaxed gas at water gasproductionChina Cement CoalChina Chemicals Furnaces andrefractoriesChina Chemicals Steam distribution andutilizationCoalChina Chemicals Waste heat recovery Water gasInsulation and leak repair of steam pipelines China Chemicals Steam distribution andutilizationInstall steam turbine to existing boiler to generate electricityfrom superheated steamRecover flash steam from blow down to heat the boiler feedwaterChina Chemicals CogenerationBoilers and thermic fluidheatersChina Chemicals Waste heat recoveryBoiler and thermic fluidheatersSteam turbine, CondenserLeaks, InsulationSteamFlash steam, blow downCASE STUDIESOVERVIEWSEnergy Efficiency Guide for Industry in Asia161

CASE SYUDIESOVERVIEWSCOMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsVishakapatnamSteel Plant LtdCoromandelCements LtdWeld “impingement plates” for each steam inlet point at thejacketed heater to avoid heat lossInstall steam trap at air heating coils in the oxalic acid bagginglineConvert air gas-making process into oxygen enrichment gasmakingprocessImproved recovery of lead sulphate and sodium sulphate(Glauber salt) in the plumbite treatment process andacidification processRubber shots cleaning technology to improve vacuum in turbogenerator condenserElectricity conservation at feed air compressors of airseparation plantOptimum utilization of field current in Rolling Mills to reduceelectricityReduction of number of running cone crushers at RawMaterial Handling PlantAdjust fan blades in cooling tower at chilled water plant forwinter and summer conditionsChina Chemicals Steam distribution andutilizationChina Chemicals Steam distribution andutilizationChina Chemicals Fuels and combustion CoalSteam trapsChina Chemicals Chemicals recoveryIndia Iron &SteelIndia Iron &SteelIndia Iron &SteelIndia Iron &SteelIndia Iron &SteelFuels and combustion Power generation,CondenserCompressors and Air separation unitcompressed airElectricityElectric motors Rolling millsElectric motors Cone crushersCooling towers, Fansand blowersModification of the furnace grate bars and coal particle size India Cement Furnaces andrefractoriesImproved drying of coal through insulation and additional hotair duct from the coal mill furnaceReduction of speed of circulating air fan in the coal millthrough replacement of AC motor with DC motorIncrease of inlet duct diameter of circulating air fan to reduceflow velocity and pressure dropCoal mill, Hot air furnaceIndia Cement Furnaces andCoal mill, InsulationrefractoriesIndia Cement Fans and blowers Coal millIndia Cement Fans and blowers Coal millReduction of velocity in coal mill outlet duct India Cement Fans and blowers Coal Mill / Fan SpeedReduction162Energy Efficiency Guide for Industry in Asia

COMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsIncrease of coal mill drying chamber lifter height and angle India Cement Fuels and combustion Coal mill, LiftsPrevention of false air entry across coal mill circuit India Cement Fans and blowers Coal mill, False airReduction of motor size in Limestone Primary Crusher India Cement Electric motors Limestone crusherActive Carbon Ltd Improved steam efficiency through insulation, capacitor banksand parallel mode steam connectionPreheating of the combustion air in the rotary kiln with steamcoilsImprovement of furnace oil storage and transportation throughpipeline insulation and recirculationIndia Chemicals Steam generation andutilizationIndia Chemicals Fuels and combustion,Furnaces andrefractoriesIndia Chemicals Furnaces andrefractories, ElectricityCapacitor banks,InsulationRotary kilnInsulation, Furnace oilReplacement of incandescent lights with fluorescent lights India Chemicals Lighting Incandescent lights,Fluorescent tube lightsMoisture removal from raw material using hot air before entryinto kilnSiflon Drugs Ltd Replacement of wood fired boiler with high efficiency coal oroil fired boilerIncreased solvent recovery through installation of additionalcooling towerTechnology upgrade: planetary cooler, bucket elevators, andcrusher/roller pressITC Paperboardand SpecialtyPaper DivisionReduction of unburnt coal and coal fines in boiler by installingfines separation mechanism and low speed crusherFlash steam recovery from boiler blow down and steam airheater condensateIncrease of heat transfer area in the blow heat recovery systemto improve heat recoveryReplacement of inefficient vacuum fans with more efficientand higher capacity vacuum fans at former machinesIndia Chemicals Furnaces andrefractoriesIndia Chemicals Boilers and thermic fluidheatersRaw material drying,MoistureWood fired boilerIndia Chemicals Cooling towers Solvent recovery, AcetoneIndia Chemicals Coolers, Elevators, PressIndia Pulp &PaperIndia Pulp &PaperIndia Pulp &PaperIndia Pulp &PaperBoilers and thermic fluidheatersBoilers and thermic fluidheatersWaste heat recovery,Steam distribution &utilizationFBC boiler, Coal,UnburntFlash steam, Blow downFans and blowers Vacuum fans, FormermachinesCASE STUDIESOVERVIEWSEnergy Efficiency Guide for Industry in Asia163

CASE SYUDIESOVERVIEWSCOMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsLighting improvements: fluorescent lights with electric chokes,metal halide lamps, automatic timers, lighting transformersPT. Krakatau Steel Generate power from excess high pressure natural gas throughturbine expansion and electrical generatorPT. Pindo DeliPulp & PaperPT. IndocementTunggal PrakarsaTbkRecovering waste heat through billet transportation systemmodificationIndia Pulp &PaperIndonesia Iron &SteelIndonesia Iron &SteelBurner control system in ladle drying and preheating process Indonesia Iron &SteelSteam traps and leaks survey, repair and replacement Indonesia Iron &SteelSteam loss reduction through pipe insulation, repairing steamtrap leakages and steam trap managementReplacement of 4P press with shoe press to increase paperdewateringImproved boiler burning efficiency, firing rates and exhaustgas meteringInstallation of CFB boiler and use of paper sludge asalternative fuelIndonesia Pulp &PaperIndonesia Pulp &PaperIndonesia Pulp &PaperIndonesia Pulp &PaperWater conservation in paper mills to reduce paper sludge Indonesia Pulp &PaperUse paper sludge as compost or mushroom fertilizer Indonesia Pulp &PaperChange mode operation of tie bus to normally closed (NC)for sharing load of transformers and install capacitor bank toimprove power factorInstall variable speed drives (VSD) on 12 fans to reduceelectricity use by motorsLighting Fluorescent lights, Metalhalide lamps, Automatictimers, LightingtransformersElectricity Turbine, Natural gasWaste heat recovery BilletsFurnace and refractories Ladle drying, LadlepreheatingSteam distribution andutilizationSteam distribution andutilizationBoilers and thermic fluidheatersBoilers and thermic fluidheatersLosses, Leaks, steamtrap,repair, replacesInsulation, Steam trapsPress, Paper machine,Paper dewatering / dryingPaper sludge, AlternativefuelPaper sludge, Water,Cooling waterPaper sludge, CompostIndonesia Cement Electricity Capacitor bank, Tie bus,TransformersIndonesia Cement Fans and blowers Variable speed drives,VSD164Energy Efficiency Guide for Industry in Asia

COMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsPT HolcimIndonesia TbkCooling tower improvement: revised fan procedure, regularcleaning, float valve repairIndonesia Cement Cooling towers, Fansand blowersFalse air leak survey and repair Indonesia Cement Furnaces andrefractoriesInstall auto drain for compressed air Indonesia Cement Compressors andcompressed air systemRationalization using compressed air at packing house Indonesia Cement compressors andcompressed air systemRegular cleaning of cooling tower to remove algae and repairor replace fill float valvePower houseVacuum leaks, False airAuto draincompressed Air,PackinghouseIndonesia Cement Cooling towers Power HouseCleaning, Algae, FillFloat valveCompressed air leak survey and leak repair Indonesia Cement Compressors andcompressed air systemKiln refractory lining with better quality chrome-free firebricks to reduce number of kiln shut downsFalse air leak survey and repair, and installation of mechanicalseal on kilnIndonesia Cement Furnaces andrefractoriesIndonesia Cement Furnaces andrefractoriesPT. Semen Padang Compressed air leak survey, leaks repair and staff campaign Indonesia Cement Compressors andcompressed air systemFalse air leak survey and leak repair in kiln Indonesia Cement Furnaces andrefractoriesInstallation of interconnection between the compressors of kilnand cement mill to maximize compressor loads and efficiencyIncrease time intervals and/or replace time-based with pressuredifferential jet pulse controls in compressed air systemIncrease fan pulley diameter to reduce fan speed instead ofusing dampersDa-Mon Trade Circulate drained water from agent tank for reuse in agent andfermentation tanksIndonesia Cement Compressors andcompressed air systemIndonesia Cement Compressors andcompressed air systemLeaksKiln, Refractory lining,Fire bricksKiln, False air, VacuumleaksLeaksKiln, False air, VacuumleaksKiln, Cement millJet pulse controlsIndonesia Cement Fans and blowers Dampers, Fan pulleyMongolia Chemicals Waste heat recoverySteam distribution andutilizationDistilleryReuse CO 2emissions from fermentation process Mongolia Chemicals DistilleryCASE STUDIESOVERVIEWSEnergy Efficiency Guide for Industry in Asia165

CASE SYUDIESOVERVIEWSCOMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsErel Cement Reduce the number of kiln shutdowns and efficiencyimprovementMongolia Cement Furnaces andrefractoriesImproved sealing of dust control system Mongolia Cement DustReuse of cooling water Mongolia Cement Cooling waterHutul Cement Rehabilitation and/or replacement of existing boilers Mongolia Cement Boilers and thermic fluidheatersDarkhanMetallurgicalPlantSteel AsiaManufacturingCorporation LtdUnited Pulp &Paper Co IncImprove boiler combustion process and insulation of pipelinesand buildingReduce melting cycle through improved management ofreasons for delaysInstallation of heat resistant cloth canvass on charge anddischarge door of furnace to reduce heat lossInstallation of ceramic fiber insulation inside the furnace wallat recuperative zone sideChange of transformer tap settings of electric panel at scale pitpumpsReplacement of inefficient and oversized motor at the coolingtower with a downsized standard or high efficiency motorMeasurement of water holding tank volume and/or installationof water meters to monitor water consumptionMongolia Iron &SteelMongolia Iron &SteelPhilippines Iron &SteelPhilippines Iron &SteelPhilippines Iron &SteelPhilippines Iron &SteelPhilippines Iron &SteelImprovement of insulation of the boiler shell/wall Philippines Pulp &PaperInstallation of variable speed drive (VSD) for deaerator pump,heavy fuel oil pump and mill water pumpReplacement of 40-watt fluorescent lamps with 36-wattfluorescent lampsPhilippines Pulp &PaperPhilippines Pulp &PaperBoilers and thermicfluind heatersFurnaces andrefractoriesFurnaces andrefractoriesFurnaces andrefractoriesPumps and pumpingsystemCooling towersElectric motorsPumps and pumpingsystemsBoilers and thermic fluidheatersPump and pumpingsystemsElectric motorsHeatingMelting furnaceFurnace door, Heat lossHeat lossTransformers, Scale pitpumpsWater monitoringInsulationVariable speed drive,VSDLighting Fluorescent lamps166Energy Efficiency Guide for Industry in Asia

COMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsSolid CementCorporation LtdHolcimBulacan Ltd(Union CementCorporation)Puyat VinylProducts Inc.Repair of solenoid valves of two air choke units at the kiln Philippines Cement Furnaces andrefractoriesInstallation of two-speed motors at clinker cooler fans Philippines Cement Electric motorsFans and blowersReplacement of inefficient and oversized motors at the FinishMills with downsized standard or high efficiency motorsChange of transformer tap setting of electric panels at kiln andpreheaterKiln, Air choke, Solenoidvalve, Dust emissionsKiln, Clinker coolerPhilippines Cement Electric motors Finish MillPhilippines Cement Electric motorsFurnace and refractoriesRepair vacuum leaks at the kiln hood door to avoid heat loss Philippines Cement Furnaces andrefractoriesInstallation of variable speed drives (VSD) for motors ofreducer high pressure pump and reducer low pressure pump atRaw MillImprovement of power factor at Crusher through reductionof medium voltage and load-based regulation of capacitoroperationPhilippines Cement Pumps and pumpingsystemElectric motorsTransformers, Kiln,PreheaterKiln, False air, VacuumleaksRaw Mill, Variable speeddrives, VSDPhilippines Cement Electricity Crusher, Capacitor bankUse of high efficiency fans and motors for clinker cooler fans Philippines Cement Fans and blowersElectric motorsInstallation of on-line oxygen analyzer at calciner exhausts ofpreheater to improve leaks managementNozzle angle modification and armour ring adjustment toincrease raw material flow at Raw MillScreening of raw material feed size and management of load toincrease the performance of jaw and hammer crushers at RawMillDamper removal for fans with full open damper andinstallation of slip power recovery system for fans with slipring motor driveImprovement of cooling tower efficiency through cleaning oftower fins and chemical treatment of cooling waterClinker coolerPhilippines Cement Oxygen, Calciner,PreheaterPhilippines Cement Raw Mill, NozzlesPhilippines Cement Crushers, Raw Mill, FeedloadPhilippines Cement Electric motors,Fans and blowersPhilippines Chemicals Cooling towersDampers, Slip ring motordriveCASE STUDIESOVERVIEWSEnergy Efficiency Guide for Industry in Asia167

CASE SYUDIESOVERVIEWSCOMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsSteam leak survey, leak repair and replacement of worn outgasketsIncrease percentage of biofuel (coconut methyl ester) in dieselbiofuelblend for boilerReplacement of 40W fluorescent lamps with 36W or 32Wfluorescent lampsChico Ltd Reduce production delays through improvement of fuel oilquality and installation of high tension transformer for powersupplyNational PaperCompanyHolcim Lanka LtdPuttalamDankotuwaPorcelain LtdReplacement of oil burner nozzles and recuperator tubes atfurnace to reduce heat lossPhilippines Chemicals Steam distribution andutilizationPhilippines Chemicals Fuels and combustionBoilers and thermal fluidheatersLeaks, GasketsAlternative fuels, BiofuelPhilippines Chemicals Lighting Fluorescent lampsSri Lanka Iron &SteelSri Lanka Iron &SteelSubstitution of fuel oil with paddy husk in boiler Sri Lanka Pulp &PaperCompressed air leak survey and leak repair Sri Lanka Pulp &PaperReplacement of electrostatic precipitator (ESP) fan for dustextraction with bag filtersElectricityFuels and combustionFuels and combustionFurnaces andrefractoriesFuels and combustion,Boilers and thermic fluidheatersCompressors andcompressed air systemProduction delaysBurner nozzles,Recuperator, Heat lossPaddy husk, AlternativefuelLeaksSri Lanka Cement Fans and blowers Dust emissions,electrostatic precipitator,ESP, Bag filtersSubstitution of heavy fuel oil for kiln with alternative fuels Sri Lanka Cement Fuels and combustion,Furnaces andrefractoriesReplacement of diesel-fired kiln that uses saggers with gasfiredfast firing kilnInstallation of Electro Flow System to improve power factorand minimize harmonicsSri Lanka Ceramics Furnaces andrefractoriesFuels and combustionKiln, Alternative fuelsKiln, Porcelain ware,SaggersSri Lanka Ceramics Electricity Power factor, Harmonics168Energy Efficiency Guide for Industry in Asia

COMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsLanka Tiles Ltd Separation of large raw material particles and installation ofadditional jaw crusher for large particles to increase crusherthroughputAssociatedMotorways LtdSri Lanka Ceramics Crusher, Raw materialsUse of waste heat from kiln for chamfered tile drying Sri Lanka Ceramics Waste heat recovery Tiles, Drying, KilnImproved steam system efficiency through boiler maintenance,leaks repair and pipeline insulationReplacement of inefficient compressor with two screw typecompressorInsulation of steam pipelines and tyre moulds of vulcanization/curing process in Rubber Products DivisionMedigloves Ltd Compressed air leak repair and reduction of intake airtemperatureRecovery and reuse of drainage from wash and chlorinationprocessRecovery and reuse of water and chemicals from dippingprocessesRecovery of steam condensate and reuse as alternative sourceof hot waterAsian ChemicalsLtdSri Lanka Chemicals Boilers and thermic fluidheatersSteam distribution andutilizationSri Lanka Chemicals Compressors andcompressed air systemSri Lanka Chemicals Steam distribution andutilizationThailand Chemicals Compressors andcompressed air systemRubber, Leaks, Insulation,MaintenanceRubber, Screw typecompressorRubber, Tyres,Vulcanization process,Curing processIntake air, LeaksThailand Chemicals Electricity Water recovery, waterconservationThailand Chemicals Water recovery, WaterconservationThailand Chemicals Steam distribution and Condensate recoveryutilizationSteam leak survey and leak repair Thailand Chemicals Steam distribution andutilizationInstallation of insulated storage tank for collecting steamcondensate water for reuse as boiler preheated feed waterThailand Chemicals Boilers and thermic fluidheaters,Steam distribution andutilizationReplacement of inefficient and unsafe boiler with a new boiler Thailand Chemicals Boilers and thermic fluidheatersLeaksCondensate recovery,Preheated feed waterCASE STUDIESOVERVIEWSEnergy Efficiency Guide for Industry in Asia169

CASE SYUDIESOVERVIEWSCOMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsReplacement of damaged steam traps Thailand Chemicals Steam distribution andutilizationSteam leak survey and repair of leaking joints and pipes Thailand Chemicals Steam distribution andutilizationReplace or repair pipe and filter connections to avoidcompressed air leakageInstall temperature sensor to switch the fan in cooling tower onwhen water temperature exceeds 28 0 CLime Master Ltd Installation of magnetic timers to turn off conveyors duringno-load periodsInstallation of bag filters to recover lime powder from storagesilos and reduce dust emissionsSiam WhiteCement Co Ltd(SWCC)Thai Kraft PaperIndustry Co(TKIC)Recovery and reuse of washing water at vibrating screenthrough installation of concrete ponds and guttersRecover low quality raw materials and rejected limestoneproducts to sell as construction materialsInstallation of a separator using air stream and gravity forseparating materialsThailand Chemicals Compressors andcompressed air systemSteam trapsLeaksLeaksThailand Chemicals Cooling towers, Fans and blowersTemperature sensorThailand Cement Electricity Conveyors, MagnetictimersThailand Cement Furnaces andrefractoriesBag filters, Lime powder,Dust emissions, ProductrecoveryThailand Cement Water recoveryThailand Cement Product recovery, Rawmaterial recoveryThailand Cement Electric motors, Tube millFans and blowersInstallation of capacitor bank to improve the power factor Thailand Cement Electricity Power factor, capacitorbankInstallation of high efficiency fan at Cement Mill Department Thailand Cement Fans and blowers Cement MillAirflow controls by installing inverters Thailand Cement Electricity, Fans andBlowersReduction of pressure drop across the cyclone system Thailand Cement Fans and blowersWaste heat reuse from flash tank to reduce the moisturecontent in the bark and sludge before it is used as boiler fuelThailand Pulp &PaperWaste heat recoveryBoilers and thermic fluidheatersFlash tank170Energy Efficiency Guide for Industry in Asia

COMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsRepair or replace desuperheating station valves to reduce theamount of steam condensate dischargedThailand Pulp &PaperRepair or replacement of leaking steam traps Thailand Pulp &PaperInstallation of a new, more effective and energy efficientApproach Flow ScreenG-Steel Ltd Repositioning of EAF burner to increase a consistent injectionand consumption of oxygen via oxygen lance.Thailand Pulp &PaperThailand Iron &SteelSteam distribution andutilizationSteam distribution andutilizationElectricityFurnaces andrefractoriesSuperheated steamSteam trapsBurnerViet Tri PaperCompany LtdHa Noi CeramicTiles Co LtdHa Bac Fertilizerand ChemicalsOverall yield improvement at the Continuous Casting Machine(CCM) process areaThailand Iron &SteelInstallation of economizers on boilers Vietnam Pulp &PaperConstruct a coal storage to reduce the moisture in coal Vietnam Pulp &PaperInstall a fluidized bed combustion (FBC) external furnace forthe coal fired boilersVietnam Pulp &PaperRepair leaks and maintain steam traps Vietnam Pulp &PaperUse of waste hot air from the rapid and final cooling in thevertical drierIncrease awareness and knowledge of operating staff regardingrecovery of spilled granules on the floorUse of wasted hot flue gas from kiln as part replacement heatfor spray dryerUse larger number of smaller and lower density grinding ballsin Ball Mill to reduce grinding timeReduction of flue gas temperature of air heater of pulverizedcoal-fired boilerFurnaces andrefractoriesBoilers and thermic fluidheaters,Waste heat recoveryYield improvementEconomizers, Flue gasFuels and combustion Coal handlingBoilers and thermic fluidheatersSteam distribution andutilizationCoal, FBC boilerSteam traps, LeaksVietnam Ceramics Waste heat recovery Kiln, Vertical dryerVietnam Ceramics Granules, Press/FormerVietnam Ceramics Waste heat recovery Kiln, spray dryerVietnam Ceramics Electricity Ball MillVietnam Chemicals Boilers and thermic fluidheatersAir heater, Coal, Flue gasCASE STUDIESOVERVIEWSEnergy Efficiency Guide for Industry in Asia171

CASE SYUDIESOVERVIEWSCOMPANY TITLE OPTION KEYWORDSCountry Industry sectorEnergy equipment Other keywordsSai Son CementCo LtdSteam leak survey, leak repair and pipeline insulation Vietnam Chemicals Steam distribution andutilizationMaintenance of coal mill and fine coal feeding system Vietnam Chemicals Boilers and thermic fluidheatersInstallation of variable speed drive (VSD) to control speed ofthe existing forced draft (FD) blowerRecovery of heat from hot exit clinker and reuse to preheatcombustion air supplied by forced draft fanVietnam Cement Electric motors,Fans and blowersLeaks, InsulationCoal MillKiln, Variable speeddrive, VSDVietnam Cement Waste heat recovery Kiln, Forced draft fan,Combustion airInsulation of the kiln burning zone area Vietnam Cement Furnaces andrefractoriesVertical kiln, Insulation,Burning zone172Energy Efficiency Guide for Industry in Asia

D. Example of Company Case Study SummaryAn example of a case study summary for Coromandel Cements Ltd. in India is given below.COMPANY DESCRIPTIONCoromandel Cements Ltd. (CCL) is a small capacity cement plant located at Krishna District in theSouthern State of Andhra Pradesh, India. It produces around 460 TPD of Ordinary Portland Cement(OPC). Due to huge demand in the local market, the company is working in over drive and the presentproduction of 460 TPD in about 200 percent of the installed capacity. The company was established in1987 and has 400 employees working for it. 50 percent of the employees are contract workers, workingin three shifts for about 330 days in a year. The company gets the basic raw material i.e. limestone fromquarries which it owns and are located close to the plant. The annual turnover of the company is aboutUS$ 6 million.The company plans to increase the plant’s capacity and efficiency in two phases. The first phasemodifications are underway and include the installation of a Gas Conditioning Tower and an ElectrostaticPrecipitator, which will result in reduced power consumption. In the second phase, modification ofPrecalcinator, Grate Cooler (replacing the existing Planetary Cooler), Cyclones and Cement mills wouldincrease the plant capacity to 900 TPD.The company is aware that the energy cost in cement production is to the tune of 60 percent. Andthus, there are continuous efforts from the management towards energy conservation. In addition, thecompany also conducts energy audits by various agencies on a regular basis. As part of the initiatives, themanagement joined the GERIAP project to enhance collaborations, links with international institutionsto finance/subsidize part of the project to be implemented under the GERIAP project.PROCESS DESCRIPTIONThe main product of CCL is Ordinary Portland Cement. The basic process of cement productioninvolves: mining, preparation of raw meal, formation of clinker, and grinding into cement.The brief description of production process is given below:• Mining: Limestone, the key raw material is mined in the quarries with compressed air drilling andsubsequently blasting with explosives. The mined limestone is transported through dumpers to theplant.• Crushing & Raw Meal Preparation: The mined limestone is fed to a crusher for size reductionand is stored in the stockpile. The crushed limestone, bauxite and ferrite are stored in feed hoppersfrom where they are fed to the raw mill in the required proportion. The crushed limestone alongwith other ingredients is sent to the raw mill. The ground raw meal is stored in the silos.• Coal Milling: The raw coal from stockyard is crushed in a hammer crusher and fed to the coal mill.Coal mills provide dried pulverized coal to kiln and precalciner. The coal particles are collected inthe bag filter through a grit separator. Hot air generated in a coal-fired furnace is used in the dryingof coal in the mill.• Pyro Processing: The raw meal is fed through the four-stage preheater to the rotary kiln. Pulverizedcoal is fired from the bottom of the kiln, where as the raw meal preheated through a series ofpreheaters and cyclones is fed from the top. The output clinker goes to the planetary cooler wherethe clinker gets cooled and transported to clinker stack yard.• Clinker Cooler: The hot clinker is cooled in a planetary cooler consisting of 10 circular ducts. Airis supplied from ambient through these circular ducts and gets heated on contact with hot clinker.This heated air forms the secondary air for combustion.• Cement Grinding: The cooled clinker from the clinker storage yard is fed to cement ball millalong with gypsum. The cement thus produced is collected in the bag filter and taken to cementsilosCASE STUDY COMPANYEnergy Efficiency Guide for Industry in Asia173

METHODOLOGY APPLICATIONSThe draft Company Energy Efficiency Methodology was used as a basis for the plant assessment toidentify and implement options to reduce energy and other materials and wastes. Some of the interestingexperiences are:• Task 1b: Establish a team and inform staffAt this company, the Team to carry out the energy assessment consisted of member from severalcommittees that already existed and covered different areas of the company, including:- Cost Audit Team: which is responsible for gathering and analyzing various data, budgeting,tracking actual performance, identification of issues, proposing solutions, and reporting tomanagement? This includes energy consumption, costs and energy conservation- Technical Services Team: which is responsible for analyzing production operations,identifying issues and proposes rectifying measures to improve productivity and reduceresource consumption, including energy.- Maintenance Team: which is responsible for daily analysis of equipment vibration andcondition monitoring and identifying and implementing measures to increase the efficiencyand availability of machines?- Task Force: which consists of senior managers and staff members from all departments,who are brought together to study a specific operational aspect (e.g. stores consumption)and submit a report with recommendations to management.- A Team with seven persons was set up as a new Task Force to perform the energyassessment.Lesson learnt: Forming a team based on already existing committees and groups in the companycan make the team more effective.• Task 1c: Pre-assessment to collect general informationAs part of the pre-assessment, a schematic overview of the information flow within the companywas prepared to give the Team a better understanding of what information was collected, whereand by whom, and to whom this information was reported. This overview was very helpful duringthe collection of baseline data during the detailed assessment (task 2d). The overview is givenbelow.Lesson learnt: An overview of information collected and reporting within the company is helpfulto prepare for the assessment (step 2), especially establishing a baseline (task 2d).CASE STUDY COMPANYProposed actionsStoppage analysisElectricityOutputsSection Meetingsheld weekly at each sectionStoppage analysisElectricity / powerOutputsDaily readingsby section operatorsDaily reviewManagement Review Meetingby Managementheld fortnightly or monthlyDaily Summary Report:Schemes Reports- Proposed actionsfor proposed projects- DPRMonthly report with results- Stores dataand forecast budget- Stoppage analysis- Electricity / power reportDaily Meetingsby management representatives and section headsAnalysis ofMonthly reportStorage supply,product,Daily Productionwith results anduse and balancefuel etcReport (DPR)forecast budgetDaily productionDaily measurementDaily labanalysis by cost andby stores manageranalysisaccounts sectionFigure: Overview of information flow at the company174Energy Efficiency Guide for Industry in Asia

• Task 1d: Select focus areaTop management played an important role in the selection of focus area at this company. After awalkthrough of the entire plant, the external facilitators and the team met with top management.Top management has regular meetings with staff, top management held the same views as theteam about the choice of focus areas. Top management proposed to:- Leave out some focus areas because they were already being addressed through other projectsand/or they would probably need large investments which the company does not have at thismoment.- Carry out some monitoring to confirm that the proposed focus areas were selected based onthe right information. Due to lack of monitoring equipment, a local equipment supplier wascontacted for a demonstration of monitoring equipment by monitoring some parameters forthe proposed focus areas.- The focus areas selected were the coal mill circuit, and the kiln and preheaters section.Lesson learnt: Top management can play an important role in the selection of focus areas.• Task 2a: Staff meeting and trainingAt the start of the assessment there was a big meeting between the management of the company,the external facilitators and more than 100 of the company staff. During the meeting it appearedthat employees are extremely loyal to the management and the company, and over 90 percent ofthe staff have been with the company since 1986. The relationship with Union is extremely good,and the Union representatives present at this meeting emphasized that was “one big family” andthe management as “parents to staff & their families”.Lesson learnt: Informing many staff at the start of the energy assessment combined with loyalty andcommitment from staff is important for the Team to carry out a successful energy assessment.• Task 2d: Quantify inputs and outputs and costs to establish a baselineThe company has a good but informal data collection system, and therefore it takes time to collectthe data needed. The external facilitators gave two company members of the Team a list of thetype of data needed during the technical training course (task 2a). Therefore when the assessmentstarted, most of the baseline data was ready.Lesson learnt: Giving a list of required data and information to the company Team will save theexternal facilitators time when establishing a baseline during the assessment.• Step 6: Continuous improvementThe company has continued with energy efficiency and Cleaner Production after the first roundof the Methodology and without the help of the external facilitators. After the first assessmenttogether with the external facilitators, the Team had identified about 18 options. Since then theTeam independently identified and implemented 26 new options! The Team also re-evaluated andimplemented some of the options that were rejected by top management during the first round dueto financial hurdles. The main reason that this happened was the very high motivation of staff andtrust of top management in its staff, even though the company has only limited formal systems forenergy management.Lesson learnt: Staff motivation and trust from top management in staff are important factors inensuring continuous improvement of energy efficiency.CASE STUDY COMPANYEnergy Efficiency Guide for Industry in Asia175

OPTIONSThe options were identified from two focus areas and in two phases. In total, 44 options wereidentified.• The two focus areas selected were (1) the coal mill circuit and (2) the kiln and preheaterssection.• In the year 2003, the company identified 18 options, of which eight have been implemented, oneis under implementation, eight are yet to be implemented and one is rejected.• In the year 2004, the company by themselves, without any assistance from external consultantsidentified and implemented 26 options.• The options implemented in 2003 resulted in savings of US$ 10,037 against an investment of US$3,579. The simple payback period works out to be about four months.• Implementation of these options resulted in savings of 97 tons of coal, and 93,113 kWh ofelectricity. This led to reduction in GHG of 226 tons CO 2/year.• The options implemented in 2004 resulted in savings of US$ 223,831 against an investment ofUS$ 103,818 with a simple payback of about eight months. This also resulted in reduction of 2262tons CO 2/year and resource savings of about 1.5 tons coal/year and 2532187 kWh of electricity.• In total, an investment of US$ 107,397 led to savings of US$ 233,868 with a simple payback of sixmonths. Also 98.5 tons of coal and 2625300 kWh of electricity was saved resulting in reductionof 2438 tons CO 2/year. This reduction accounts for about 3.24 percent of the total Green housegas (GHG) emissions from the company.Some of the major options implemented by the company are illustrated in the table below:Table: OPTIONS IMPLEMENTED BY THE COMPANYFOCUS AREA /OPTIONCP TECHNIQUEFINANCIALFEASIBILITYENVIRONMENTALBENEFITSCOMMENTSCASE STUDY COMPANYCoal mill circuit/Resizing ofGround levelhopper mesh to100 mm in placeof existing 200mm sq. (largersized lump to bemanually broken)Coal mill circuit/Modification ofthe furnace gratebars and coalparticle size(see case study)ProductionProcess/EquipmentModificationProductionProcess/EquipmentModification• Investment:US$ 200• Annual costsavings:US$954• Paybackperiod: 3months• Investment:Nil• Annual costsavings:US$ 2,326• Paybackperiod:Immediate• Annual GHGemissionreductions:11 T• Annual coalsavings:50 T• Annual GHGemissionreductions: 77 T• Less un-burntin ash wouldmake the ashuseable for otherpurposes• The dustin theenvironmentis likely toincrease,becauseof manualbreaking oflarge sizelumps• Relative easeof operator inless frequenthandlingand firing ofcoal in thefurnace176Energy Efficiency Guide for Industry in Asia

FOCUS AREA /OPTIONCP TECHNIQUEFINANCIALFEASIBILITYENVIRONMENTALBENEFITSCOMMENTSCoal mill circuit/Increase of coalmill dryingchamber lifterheight and angle(see case study)ProductionProcess/EquipmentModification• Investment:Nil• Annual costsavings:US$ 1,726• Paybackperiod:Immediate• Annual GHGemissionsreductions: 17. 8tons CO 2• Annual electricitysavings: 20003kWhKiln & preheaters/Kiln feed pumpspeed reductionfrom 835 to 660RPMImprovedProcessManagement• Investment:US$ 65• Annual costsavings:US$ 9,167• Paybackperiod:Immediate• Annual GHGemissionsreductions: 103tons CO 2• Annual electricitysavings: 115320kWhKiln & preheaters/Increase of inletduct diameterof circulatingair fan to reduceflow velocity andpressure drop(see case study)ProductionProcess/EquipmentModification• Investment:US$ 171• Annual costsavings:US$ 1,183• Paybackperiod: 1months• Annual GHGemissionsreductions: 13tons CO 2• Annual electricitysavings:14880kWhCoal mill circuit/IntroducingVariableFrequency Drivein the Coal MillKiln & preheaters/Installation ofsecondary firingsystem at theprecalcinerCoal mill circuit/Stationary Grillarrangement atthe limestonestock yardNew Technology/EquipmentProductionProcess/EquipmentModificationProductionProcess/EquipmentModification• Investment:US$ 6,64• Annual costsavings:US$ 887• Paybackperiod: 9months• Investment:US$ 12,670• Annual costsavings:US$ 43,604• Paybackperiod: 4months• Investment:US$ 20,100• Annual costsavings:US$ 22,080• Paybackperiod: 6months• Annual GHGemissionsreductions: 10tons CO 2• Annual electricitysavings: 11160kWh• Annual GHGemissionsreductions: 942tons CO 2• Annual electricitysavings: 417000kWh• Annual coalsavings:375 T• Annual GHGemissionsreductions: 248tons CO 2• Annual electricitysavings: 277700kWhCASE STUDY COMPANYEnergy Efficiency Guide for Industry in Asia177

FOCUS AREA /OPTIONCP TECHNIQUEFINANCIALFEASIBILITYENVIRONMENTALBENEFITSCOMMENTSKiln & preheaters/Preheaterfan impellermodificationProductionProcess/EquipmentModification• Investment:US$ 964• Annual costsavings:US$ 5,914• Paybackperiod: 2months• Annual GHGemissionsreductions: 66tons CO 2• Annual electricitysavings: 74400kWhCoal mill circuit/Installation ofVFD for Raw Millfeed tableProductionProcess/EquipmentModification• Investment:US$ 500• Annual costsavings:US$ 11,040• Paybackperiod:1month• Annual GHGemissionsreductions: 124tons CO 2• Annual electricitysavings: 138880kWhCoal mill circuit/Reductionof speed ofcirculating airfan in the coalmill throughreplacement ofAC motor withDC motorNew Technology/Equipment• Investment:US$ 1,622• Annual costsavings: US$605• Paybackperiod:13months• Annual GHGemissionsreductions: 17tons CO 2• Annual electricitysavings: 18600kWhCASE STUDY COMPANYCoal mill circuit/Improved dryingof coal throughinsulation andadditional hot airduct from the coalmill furnace(see case study)Coal mill circuit/Prevention offalse air entryacross coal millcircuit(see case study)Coal mill circuit/Reduction ofvelocity in coalmill outlet duct(see case study)ProductionProcess/EquipmentModificationGoodHousekeepingImprovedProcessManagement• Investment:Nil• Annual costsavings:US$ 1,860• Paybackperiod:Immediate• Investment:Nil• Annual costsavings:US$ 668• Paybackperiod:Immediate• Investment:Nil• Annual costsavings:US$ 2,761• Paybackperiod:Immediate• Annual GHGemissionsreductions: 61tons CO 2• Annual coalsavings: 47 T• Annual GHGemissionsreductions: 6.9tons CO 2• Annual electricitysavings: 7740kWh• Annual GHGemissionsreductions: 29tons CO 2• Annual electricitysavings: 32000kWh178Energy Efficiency Guide for Industry in Asia

FOCUS AREA /OPTIONCP TECHNIQUEFINANCIALFEASIBILITYENVIRONMENTALBENEFITSCOMMENTSCoal mill circuit/Reduction ofmotor sizein LimestonePrimary Crusher(see case study)ImprovedProcessManagement• Investment:US$ 2,326• Annual costsavings:US$ 2,354• Paybackperiod: 12months• Annual GHGemissionsreductions: 24tons CO 2• Annual electricitysavings: 27280kWhGERIAP National Focal Point in IndiaMr. A. K. Asthana, Group Head Energy ManagementDr. P. K. Gupta, Director, NCPC-IndiaNational Productivity Council5-6, Institutional Area, Lodi Road, New Delhi - 110003Tel: +91 11 2469 7446Fax: +91 11 2469 8138E-mail: ak.asthana@npcindia.org, ncpc@del2.vsnl.net.inFOR MORE INFORMATIONGERIAP Company in IndiaMr. S. Chandra Mohan, ChairmanMr. Ramesh Chandra, Managing DirectorCoromandel Cements Ltd., Ramapuram VillageMellachervu (mandal), Nalgonda Dt.Tel : +91 86 8323 4730Fax: +91 40 2331 1413CASE STUDY COMPANYEnergy Efficiency Guide for Industry in Asia179

E. Example of Case Study OptionAn example of a case study option for Coromandel Cements Ltd., in India is given below.Modification of Furnace Grate Bars and Coal Particle SizeSUMMARY OF THE OPTIONCoromandel Cements Ltd, a small cement producer in India, implemented options to improve thecombustion efficiency of its coal-fired furnace that supplies hot air to dry coal in the coal mill. It wasobserved that large lumps of coal were burnt on the furnace grate bars that were 50 mm apart from eachother. This resulted in coal particles falling through the grate into the ash pit before they were completelyburnt, and therefore lower temperatures of the hot air sent to the coal mill (making the drying of coalin the coal mill less effective). Options to resolve this included reducing the size of coal lumps fed intothe furnace, reducing the distance between the furnace grate bars to 25 mm, and training of operators oncoal feeding and combustion management of the furnace. Annual coal savings were 50 tons worth US$2,326 with an immediate payback period because no financial investment was necessary. Greenhousegas emission reductions were 77 tons of CO 2per year.KEY WORDSIndia, Cement, Furnaces & refractories, Coal mill, Hot air furnaceOBSERVATIONSCoal is burnt in a furnace to provide hot air to the coal mill to dry coal prior to grinding (the drier, thecoal, the more efficient, the grinding process). Three observations were made:• A large amount of unburnt / semi-burnt coal particles in the ash pit at the bottom of the furnace• A large amount of coal particles dropping through the grate bars into the ash pit• The temperature of the hot air sent to the coal mill was measured to be 200 0 C which is relativelylowUpon investigation this had two causes:• Large coal lumps were fed into the furnace, resulting in high amounts of access air because thecoal could not be burnt effectively and therefore insufficiently hot air was sent to the coal mill• The distance between the grate bars was large: 50 mm, resulting in coal particles falling throughthe grate into the ash pit below before the coal was burnt completelyHot air to the Coal MillEnergy Efficiency Guide for Industry in AsiaCoal Fired Furnace181CASE STUDY OPTION

OPTIONSThree options were implemented:• The coal size fed into the furnace was reduced• The space between the grate bars in the furnace was reduced to 25 mm (see picture below)• Operators were trained in proper coal feeding and combustion practicesRESULTSThrough the implementation of the three options, the overall combustion efficiency wasimproved resulting in an increase of the furnace outlet temperature (i.e. the temperature of theoutgoing flue gases) from an average of 200 0 C to 240 0 C. This resulted in improved drying ofcoal in the coal mill (or less coal was needed in the furnace to achieve the same drying result).The financial, environmental and other results are as follows:Financial results• Investment : none• Annual cost savings : US$ 2,326 (50 tons coal /year * US$ 46.52/t coal)• Payback period : immediateEnvironmental results• Annual coal savings : 50 tons, which was calculated as follows:- Clinker production : 450 TPD- Thermal energy reduction : 1.5 kCal/kg of clinker(Based on coal drop test before and after option)- Daily energy savings : 675,000 kCal/day(450TPD *1.5 kCal/kg clinker)- Equivalent daily coal savings : 0.15 tons/day (675,000 kCal/day/4500 kCal/kg)- Annual coal savings : 50 tons (0.15 tons/day * 330 days)• Annual GHG emission reduction : 77 tons CO 2(50 tons/day * 1.53 t CO 2/t coal) [1]CASE STUDY OPTIONOther benefits• Better operating conditions at the furnace locale• Better reliability of coal mill output• Better heat release in the kiln due to moisture reduction in coal.[1] – General emission factor for coal, sourced from UNEP GHG calculator:www.uneptie.org/energy/tools/ghgin/182Energy Efficiency Guide for Industry in Asia

FOR MORE INFORMATIONGERIAP National Focal Point in IndiaMr. A. K. Asthana, Group Head Energy ManagementDr. P. K. Gupta, Director, NCPC-IndiaNational Productivity Council5-6, Institutional Area, Lodi Road, New Delhi - 110003Tel: +91 11 2469 7446Fax: +91 11 2469 8138E-mail: ak.asthana@npcindia.org, ncpc@del2.vsnl.net.inGERIAP Company in IndiaMr. S. Chandra Mohan, ChairmanMr. Ramesh Chandra, Managing DirectorCoromandel Cements Ltd., Ramapuram Village.Mellachervu (mandal), Nalgonda Dt.Tel : +91 86 8323 4730Fax: +91 40 2331 1413Energy Efficiency Guide for Industry in Asia183CASE STUDY OPTION

About the UNEP Division of Technology,Industry and EconomicsThe UNEP Division of Technology, Industry and Economics (DTIE) helpsgovernments, local authorities and decision-makers in business andindustry to develop and implement policies and practices focusing onsustainable development.The Division works to promote:> sustainable consumption and production,> the efficient use of renewable energy,> adequate management of chemicals,> the integration of environmental costs in development policies.The Office of the Director, located in Paris, coordinates activitiesthrough:> The International Environmental Technology Centre - IETC (Osaka, Shiga),which implements integrated waste, water and disaster management programmes,focusing in particular on Asia.> Production and Consumption (Paris), which promotes sustainable consumptionand production patterns as a contribution to human development through globalmarkets.> Chemicals (Geneva), which catalyzes global actions to bring about the soundmanagement of chemicals and the improvement of chemical safety worldwide.> Energy (Paris), which fosters energy and transport policies for sustainabledevelopment and encourages investment in renewable energy and energy efficiency.> OzonAction (Paris), which supports the phase-out of ozone depleting substancesin developing countries and countries with economies in transition to ensureimplementation of the Montreal Protocol.> Economics and Trade (Geneva), which helps countries to integrate environmentalconsiderations into economic and trade policies, and works with the finance sectorto incorporate sustainable development policies.UNEP DTIE activities focus on raising awareness, improvingthe transfer of knowledge and information, fosteringtechnological cooperation and partnerships, andimplementing international conventions and agreements.For more information,see www.unep.fr