Energy has become a critical factor for businesses, particularly as rising costs have highlighted its strategic importance in maintaining profitability and competitiveness.
A global survey by ABB in March 2023, involving over 2,300 business leaders, found that 92% see escalating energy costs as a threat to their future strategies. These leaders expressed concerns that energy expenses could surpass other spending priorities essential for staying competitive, such as workforce development, talent retention, and technological advancements for improved productivity, flexibility, and speed. Additionally, the survey indicated that increasing energy costs might hinder efforts towards achieving decarbonization targets.
Energy as an Industrial Resource
Recognizing energy as a valuable resource instead of just a cost can yield substantial benefits. Numerous services and technological approaches can enhance this perspective.
Enhancing the efficiency of industrial motors – which power machines in production and packaging lines, and systems for heating, ventilation, and air conditioning (HVAC) – can significantly reduce energy use and associated costs, including CO2 emissions. The International Energy Agency (IEA) refers to motor efficiency as the “first fuel” because it lessens the need for electricity generation, transmission, or distribution, thereby freeing capacity for other purposes.
Business energy consulting offers a flexible service to assist with energy procurement and management. Consultants can help optimize energy usage through better lighting, appliance use, and temperature settings, and can assist in implementing renewable energy solutions like solar or wind power and energy storage systems.
Addressing power quality issues is another area where businesses can save energy. Issues such as low power factor and harmonics can lead to excess consumption, but are relatively simple to correct with the right equipment.
An Energy Management System (EMS) can monitor, forecast, and manage energy use, optimizing consumption through automated control of energy sources and loads.
Prioritizing Motor Efficiency
Electric motors account for approximately 70% of the industry’s electricity consumption, making them a prime target for reducing costs and aiding decarbonization. Businesses with extensive use of electric motors should focus on improving motor efficiency as a key component of their energy strategy.
A challenge is the difficulty in assessing whether a motor is operating efficiently without detailed knowledge of its parameters. With potentially hundreds or thousands of motors in a single facility, and over 300 million globally, assessing each one is daunting. Furthermore, although there are minimum efficiency standards for new motors, older motors can operate for decades and consume energy far exceeding their initial purchase cost.
Rather than accepting these ongoing costs, businesses can improve efficiency by adjusting operational parameters, upgrading to modern high-efficiency motors, or installing variable speed drives (VSDs).
Leveraging Energy Audits for Motor Efficiency
Energy audits are essential for identifying specific motors that need efficiency improvements. Often, in-house maintenance staff are more focused on uptime and machine availability rather than energy efficiency. Many may not be fully trained in motor efficiency standards or in evaluating the financial benefits of replacing motors with high-efficiency ones.
Partnering with service experts who specialize in motor data can provide significant advantages. These experts can guide in-house staff in deploying data collection technology across their motor fleet to conduct an energy efficiency audit. They can then analyze this data to identify the least efficient motors and suggest cost-effective solutions.
This approach not only highlights areas of excessive energy use but also outlines the costs and potential returns on investment (ROI) for making improvements, providing clear data for operations directors to make informed decisions on energy investments.
Case Study: Flooring Manufacturer Reduces Energy Use
For instance, flooring company Tarkett worked with ABB to find energy-saving opportunities at its factory in Ronneby, Sweden. By replacing 10 large motors with ultra-premium efficiency motor-drive packages, Tarkett was able to reduce its overall electricity demand by 15%, saving 800 megawatt-hours (MWh) annually, with an ROI period of just 18 months.
Tarkett plans to extend this data-gathering approach to additional motors, demonstrating a strategy that can be applied across any industry reliant on a large number of electric motors to achieve substantial cost and energy savings.
