Energy Conservation and Efficiency

Enhancement

MAKING DECISIONS FOR ALTERNATE INVESTMENTS

There are several methods for determining which energy
conservation alternative is the most economical.
Probably the most familiar and trusted method is the
annual cost method.
When evaluating replacement of processes or equipment do not
consider what was previously spent. The decision will be based
on
whether the new process or equipment proves to save
substantially
enough in operating costs to justify the expenditure.
Equation 2-16 is used to convert the lump sum investment P
into
the annual cost. In the case where the asset has a value after
the end of its useful life, the annual cost becomes:
AC = (P L) * A/P + iL
(2-16)

where
AC is the annual cost
L is the net sum of money that can be

realized for a piece of equipment, over and

above its removal cost, when it is returned at
the end of the service life. L is referred to as
the salvage value.
As a practical point, the salvage value is
usually small and can be neglected,
considering the accuracy of future costs.
The annual cost technique can be
implemented by using the following format:

First cost (P)

2. Estimated life (n)
3. Estimated salvage value at end
of life (L)
4. Annual disbursements, including
energy costs & maintenance (E)
5. Minimum acceptable return

before taxes (i)

6. A/P n, i
7. (P L) * A/P
8. Li
9. AC = (P L) * A/P + Li + E

( ALTERNATE 1

AND

ALTERNATE 2

Choose alternate with lowest AC

The alternative with the lowest annual cost is the desired choice.

ELECTRICAL RATE TARIFF

The basic electrical rate charges contain the following elements:
Billing demandthe maximum kW requirement over a 15-, 30-, or
60-minute interval.
Load factorthe ratio of the average load over a designated period to

the peak demand load occurring in that period.

Power factorthe ratio of resistive power to apparent power.
Traditionally, electrical rate tariffs have a decreasing kWh charge
with usage. This practice is likely to gradually phase out. New tariffs are
containing the following elements:
Time-of-Use
Larger facilities usually purchase electricity from utilities under some form of time-of-use rate schedules. A time-of-use rate schedule
basically divides the 2-hour workday into three periods for four to seven
summer months: On-peak, partial peak (mid-peak) and off-peak. Some
rate schedules have winter on-peak periods, some only have partial
peak periods.
Different rates are charged for each time period. Also maximum
demand charges are applied for the on-peak and partial peak periods on
a monthly basis

REAL TIME PRICING (RTP)

Program History
RTP is a unique program which began in 1985

designed to investigate customer responses to

changing prices. The program completed a
three-year Demonstration Phase in 1990 which
focused on rate design and customer
equipment. Since then, the California Public
Utility Commission(CPUC) has approved the
continuation and expansion of the RTP Program.
Daily Price Schedules
The utility calculates and transmits the energy
for 24 hourly period to each participating
customer usually by 1:00 p.m. every weekday.

The prices are in effect for the following calendar day(s), midnight-to

mid night Saturday, Sunday, and Monday prices are transmitted on

the
previous day, Friday. Holiday prices are transmitted on the last
weekday
preceding the holiday.
RTP prices are developed from daily system cost information and
vary depending on such system conditions as weather and demand.
For
example, electricity is less expensive to produce when hydroelectric
power is plentiful, or during times of low demand, such as late at
night
or on weekends.
Time of daydiscounts are allowed for electrical usage during offpeak
hours.
Ratchet ratethe billing demand is based on 80 to 90 percent of
peak demand for any one month. The billing demand will remain at
that ratchet for 12 months even though the actual demand for the
succeeding months may be less.


POWER BASICS

THE KEY TO ELECTRICAL ENERGY REDUCTION

By understanding power basics, one can reduce the electrical bill.

The total power requirement is comprised of two components, as illustrated

in the power triangle, Figure 4-1. This diagram shows the resistive

portion or kilowatt (kW), 90 out of phase with the reactive portion, kilovolt

ampere reactive (kvar). The reactive current is necessary to build

up the flux for the magnetic field of inductive devices, but otherwise it

is non-usable. The resistive portion is also known as the active power

which is directly converted to useful work. The hypotenuse of the power

triangle is referred to as the kilovolt ampere or apparent power (kVa).

The angle between kW and kVa is the power factor angle.

kW = kVa cos (4-1a)

kVa = kW/cos (4-1b)

kvar = kVa sin (4-1c)

P.F. = cos
(4-1d)

where P.F. is referred to as the power factor.

Note: Only power portions in phase with each other can be combined.

For example: resistive portions of one load can be added to resistive

portions of another. The same will hold for reactive loads. Figure 4-1..

RELATIONSHIPS BETWEEN POWER,

VOLTAGE, AND CURRENT

RELATIONSHIPS BETWEEN POWER,

VOLTAGE, AND CURRENT

For a balanced 3-phase load,

Power watts = 3 VL IL cos Volt amperes .
4.2 (a)
For a balanced 1-phase load,
Power = VL IL cos
(4-2b)
where
VL = Voltage between hot legs
IL = Line current.

MOTOR LOADS
Each electrical load in a system has an inherent power

factor. Motor loads are usually specified by horsepower

ratings. These may be converted to kVa, by use of
Equation 4-3.
kva = hp 0.746 / n P.F.
where
n = Motor efficiency
P.F. = Motor power factor
hp = Motor horsepower.
Most motor manufacturers can supply information on

motor efficiencies and power factors. Typical values are

illustrated in Table 4-1. From this table, it is evident that
smaller motors running partly loaded are the least
efficient and have the poorest power factor.

WHAT ARE THE ADVANTAGES OF POWER

FACTOR CORRECTION?
Several advantages that usually offset the
cost of correcting the power factor are
indicated below:
1. The monthly electric bill is lowered due to
the utility company power rate structure.
2. The plant system capacity is increased
since the transformer load can be increased.
3. Electrical system losses are decreased and
voltage regulation is improved.

HOW TO IMPROVE THE PLANT POWER

FACTOR
The plant power factor is improved by:
1. Reducing inefficient loadings; motors
running at full load have significantly better
power factor.
2. Providing external capacitors at the motor
or at the distribution equipment.
3. Use of energy-efficient motors.
4. Using synchronous motors instead of
induction motors. [The main applications of
synchronous motors are in plants that require
new large slow speed motor drives (1,200 rpm
and below).]

How Capacitors Improve Power Factor

Capacitors supply the reactive kilovars or

magnetizing power required for reactive loads.

Thus, the kilovars required from the
generating source decreases. This is
illustrated in Figure 4-3.

UTILITY AND PROCESS SYSTEM

OPTIMIZATION

Heat Transfer Optimization

GOOD MAINTENANCE SAVES $

Energy losses due to leaks, un insulated lines,

dirt buildup, inoperable furnace controls, and

other poor maintenance practices is directly
translated into additional energy costs. Good
maintenance saves in the plants yearly
operating costs.
In this chapter, you will see the results of a
survey on maintenance effectiveness, look at
ways to turn around the maintenance
program, and learn to apply a preventive
maintenance program to energy conservation.

With heat recovery, however, potential useful

application of available
energy more than doubles. Although in a low
quality form, all of
the condenser-related heat may be used, and
40% of the stack heat may be
recovered. This optimized process is depicted
(in theory) as Figure 9-2.
Thus, it may be seen that effective use of all
available energy may
Figure 9-1. Energy balance without heat
recovery