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Energy Efficiency Improvements in Nepalese
Industries
NRNA Asia Pacific Regional Meeting & 1st NRNA Asia Pacific Knowledge convention
September 26-27, 2020
Dr Ramhari Poudyal
Energy scenario of the world
 In 2015, 193 world leaders agreed to a series
of 17 ambitious goals to end poverty, fight
inequality, and stop climate change by 2030.
 Goal 7 Providing access to affordable,
reliable, sustainable and modern energy for all.
IEA projections to 2035 - two-thirds of energy efficiency potential will remain
untapped unless policies change.
173
27.13
20
216.42
35.54 38
0
50
100
150
200
250
Petroleum LPG Electricity
Import of energy 2017/18 – 2018/19 in Billion NPRs
2017/18 2018/19
Import of energy in Nepal
Energy Efficiency
is not just low-
hanging fruit; it
is fruit that is
lying on the
ground.”
Steven Chu,
Former US
Secretary of
Energy
Energy Efficiency Improvement
Energy Efficiency
Improvement
Energy
savings
Environmental
Sustainability
Asset
Values
Macro
economic
Development
Industrial
Productiv
ity
Energy
security
Energy
Access
Energy
price
Public
Budget
Disposable
income
Local Air
Pollution
Health and
well-being
Industrial companies can be achieved up to 40 per cent energy savings by applying
proper energy management system without any capital investment (González,
Castrillón and Quispe, 2012).
58%
23%
5%
2% 1% 1%
Total Industrial Energy Consumption by Fuel Type
Coal
Electricity
Fuelwood
HS Diesel
Kerosene
Other petro
Total Industrial Energy Consumption by fuel type
Critical components of IEA’s Efficient World Strategy
• Industry
• Opportunity in the EWS
 Value-added per unit of energy could be doubled.
 Less energy-intensive industry offers 70% of potential savings
• Government policy actions
 Expanded and strengthened standards for essential industrial
equipment, including electric heat pumps and motors.
 Incentives to encourage the adoption of energy management systems.
Energy cost on production value
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
Limestonebased…
Coldstorage
FixedChimmneyBrick
PulpandPaper
VSBK
Hotel
SoapandChemical
Clinkerbasedcement
Biscuit
Dairy
Metal
Noodles
VegetableoilandGhee
Beverage
Sugar
Energy Cost on product value in % for different industrial
Sectors
in Nepal
The share of manufacturing in gross domestic product (GDP) stood at 9.2% in 2000-01,
but it has been gradually coming down in the recent years. It stood at just 5.4 % in
2017 – 2018.
Price of 50 Kg cement in selected countries
0
100
200
300
400
500
600
700
800
900
Nepal India Bangladesh Pakistan Sri Lanka China
OPC in
NPRs
PPC in
NPRs
For cement industry, the International Energy Agency (IEA) has categorised the four-main energy
and emission reduction measures (resulting forecast to 2050)
1. Energy efficiency (10 %)
2. Alternative fuel use and fuel switching (24 %)
3. Clinker substitution (10 %)
4. Carbon capture and storage (56 %)
A baseline study of selected eight energy-intensive sectors of industries shows that there is 15%
electric energy saving potential and 30% thermal energy saving in these sectors
Efficiency Margin sector- wise in different Industries
0.17% 0.18% 0.22% 0.25% 0.45% 0.47% 0.51% 0.61% 0.99% 1.06% 1.65% 2.43%
9.20% 10.45%
19.09%
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
Supply & Demand Scenario of Cement: 2011 – 2021
3.3 3.6 3.9 4.3 4.7
5.2 5.6
6.2
6.8
7.4
8.1
3.3
3.6
4
4.5
5
5.5
6.1
6.8
7.5
8.4
9.3
3.3
3.5
3.8
4.1
4.5
4.8
5.2
5.6
6.1
6.6
7.1
0
5
10
15
20
25
30
FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21
Consumption - Pessimistic
Consumption - Optimistic
Consumption - Most likely
 The value of cement imports have doubled year – on – year (Rastra Bank)
 From the fiscal year 2015- 2016 to 2016 -2017, the cost jumped from US$ 77m
to US$ 155m.
 Sugarcane biomass - tremendous potential - surplus electricity. Sugar processing
facilities make sugar, bioethanol, and electricity from bagasse.
 Bioelectricity potential from sugarcane biomass is estimated to be 209 –
313 GWh
 Bioelectricity - good complementary option for hydroelectricity.
 Provides power for operating industries, and for rural electrification.
 Sugar and ethanol plants operate dry season December – May
 Nepal have capacities ranging from 800 to 3000 metric tons (tonnes) per day.
 the size of cogeneration plants - surplus electricity - 5 to 19 MW
 Ministry of Industry, Nepal consumes 2.5 lakh metric tonnes of sugar a year.
 Sugar industries had produced 1.77 lakh metric tonnes of sugar by crushing 2.6
crore metric tonnes of sugarcane last year
 Department of Electricity Development (DoED), around 150MW of electricity -
generated from the sugar mills
 In 2019 , 180,000 metric tonnes of domestic sugar and 70,000 metric tonnes
were imported
 Sugar is used as 60 % industrial and 40% as food in Nepal.
Sugar Industries
Overview of biofuel production by thermo
chemical pathway.
Sugar prices
 According to the World Bank, the world sugar price was $0.37 per kg in 2018, 12
percent below its 2016 peak.
 Nepal ranks 41st in sugarcane production (2.93 million tons), 35th in harvested
area (64,483 ha) and 67th in sugarcane yield (45.4 t/ha).
 The price of sugar that used to be available for NRs 75 per kg has now
jumped to NRs 95 a kg.
 Opportunity to reduce emissions in the paper industry by 65,000 tCO2/year.
 Use of pigs to clean pipes in the dairy (or brewing sector) instead of hot water and
detergents
 Enables recovery of product (milk, cream) by the ice slurry instead of losing to
drain.
 Dairy sector emissions reductions could add up to 23,000 tCO2/year. If the current
pattern of energy efficiency improvement is maintained, it will take 23 years to
reduce CO2 emissions by 20 per cent.
 Recycling of scrap metal presents a vital opportunity to realise efficiency gains in
metals manufacturing. The production of minerals like iron, steel, aluminium and
copper from scrap is 60-90% less energy-intensive than production through
primary routes
 Governments can encourage metal recycling through regulatory instruments,
subsidies, tax policies, direct provision of recycling services and information to
improve recycling practices.
 Energy efficiency improvements are possible across all sub-sectors. Light industry
(e.g. food, beverage and textile manufacturing) represent the bulk 70 per cent of
savings [EE2018].
Examples of energy efficiency Improvements
Energy Efficiency Measures
The critical components of the IEA’s Efficient World Strategy are summarised as
follows (- International Energy Agency, 2018)
Sector Opportunity in the EWS Government policy actions
Transport
 Energy demand could stay flat, despite
doubling activity levels.
 Passenger cars and trucks offer two-
thirds of potential savings
 Improve coverage and strength of
transport policies for cars and trucks and
non-road modes.
 Provide incentives to support uptake and
sustainable use of efficient vehicles
Buildings
 Building space could increase by 60% for
no additional energy use.
 Space heating, cooling and water
heating offers 60% of potential savings.
 Put in place comprehensive efficiency
policies, targeting both new and existing
building stock and appliances.
 Incentives to encourage consumers to
adopt high-efficiency appliances and
undertake deep energy retrofits.
Industry
 Value-added per unit of energy could
double.
 Less energy-intensive industry offers
70% of potential savings.
 Expanded and strengthened standards
for essential industrial equipment,
including electric heat pumps and motors.
 Incentives to encourage the adoption of
energy management systems.
Investment
 Investment must immediately double, and
double again after 2025.
 Transport sector presents the largest
investment opportunity.
 Build scale and momentum in financing
using programmes and incentives to
increase activity.
 Market-based instruments to encourage
investment and business model
innovation.
Capacity Utilisation of Industries
 According to the capacity utilisation of Nepalese industries illustrate that average
is only 57.8 per cent which is very poor in comparison with the regional and the
international trend of capacity utilisation.
0.00% 20.00% 40.00% 60.00% 80.00% 100.00% 120.00%
Animal Feed
Sugar
Beer
Liquor
Procesed Tea
Biscuits
Edible Oil
Vegatable ghee
Iron rods
Cement
Readymade garments
Noodles
Pashmina
Soft drinks
H1 2016 - 17
H1 2017 - 18
• Typically, 8 – 22 KWh/t-Clinker can be produced without changes to kiln operation.
• Generation up 45 KWh/t-clinker is possible by modifying kiln operations (e.g. less
cyclone stages or Waste Heat Recovery for power generation costs and Benefits
• by – passing upper stages (CSI/ERCA, 2009).
• In China, production potential is reported to be around 24 – 32 KWh/t-clinker using
domestic technology and 28 – 36 KWh/t-clinker using foreign technology. 39 KWh/t-
clinker is achieved in a Chinese plant using Japanese technology.
• Japanese technologies are reported to be able to produce 45 KWh/t-clinker
• The potential for Indian plants are reported to be 20 – 24 KWh/t-clinker
• 48.5 GWh/year of net electricity production was projected for a 8 MW WHR unit
installed at a 4500 tpd plant in China (UNFCCC,2008).
Waste Heat Recovery for power generation costs
and Benefits
• The 8 MW Power plant installed by the Indian Cements Ltd. (for their 4500 tpd
plant) has been reported to reduce the CO2 emissions by 4500 tons per year
[PCA,2008]
• With the installation of a 9 MW WHR plant to plant with 500 tpd capacity, annual
CO2 emission reductions in access of 52,000 ton year is planned [UNFCCC,2007].
• 41,000 ton CO2/y reduction is expected with the installation of an 8 MW waste WHR
unit in a 4500 tpd plant in China.
• For India, investment costs are given to be around $2.25 million per MW capacity.
Indian Cements Ltd. Has put up an up to 8 MW power plant using Japanese
technology for its 4500 tpd plant for a total investment of US$ 18.7 million
[PCA,2008]
CO2 Emission Reduction Potential
 Energy accounts for the substantial share of the
manufacturing cost. Nepalese cement industries are
found to be using both electrical and thermal energy
very inefficiently.
 Industrial companies can be achieved up to 40 per
cent energy savings by applying proper energy
management system without any capital investment
(González, Castrillón and Quispe, 2012).
 The technical potential to reduce energy use at the
global level is estimated to be 26% in the pulp and
paper industry, 24% in the chemical industry, 21% for
iron and steel, 18% in the cement industry, and 11%
for aluminium production (- International Energy
Agency, 2018)
Why Energy Management?
Why Energy
Management?
Reduce
Pollution
CO2 , NOx,
SOx
Save
money
$ £
Motivate
Staff
Mitigate
Volatility
 Renewable energy and energy efficiency are twin pillars of a sustainable energy
future [REN211].
 As energy services are delivered more efficiently, renewable can more quickly
become an effective and significant contributor to the primary energy supply.
Currently, as the share of renewables increases, less primary energy is needed to
provide the same level of energy services [REN21].
 Energy accounts for the substantial share of the manufacturing cost.
 Nepalese cement industries are found to be using both electrical and thermal
energy very inefficiently.
 Industrial companies can be achieved up to 40 per cent energy savings by applying
proper energy management system without any capital investment (González,
Castrillón and Quispe, 2012).
 The technical potential to reduce energy use at the global level is estimated to be
26% in the pulp and paper industry, 24% in the chemical industry, 21% for iron and
steel, 18% in the cement industry, and 11% for aluminium production (-
International Energy Agency, 2018)
Why Energy Management?
 The total electricity demand in UCIL is around 6.6 MW per day. If possible, waste
heat recovery can contribute to 50% of the total electricity demand.
Challenges Facing the Cement Industry
Stakeholder Demands
Customer Needs
Emerging Economies
Environmental Concerns
Regulatory Policies
Innovation
Transparency
Energy Prices
Global Consolidation
Mature Material
Resource Intensity
Capital intensity
Lack of trust
Standards and
specifications
Company inertia
Market pressures
Commodity product
Forces of Change Barriers to Sustainability
Challenges Facing the Cement Industry
• Government institutions are crucial to the development of
sustainable policy in their energy infrastructure. In other words,
good governance helps achieve full economic potential to save
energy by investing the minimum amount than the generation of
electricity.
• The government should seriously and urgently consider policies and
programs that will support sugar mills in developing production and
capacity.
• The study presented that the linkage between infrastructure and
energy improvement is multiple and complex. The findings of this
research suggested that to optimise efficiency improvement.
• The Nepalese Industry case shows that formulating new efficiency
measures requires close dialogue with industry experts to
understand new agendas, methods and challenges for integrating
energy efficiency measures
• Finally, improved efficiency measures in Nepalese industries save
more than 100 MW of electricity within six months.
Conclusion
References
[1] Neupane PR, Maraseni TN, Köhl M. The sugarcane industry in Nepal:
Opportunities and challenges. Environ Dev 2017.
doi:10.1016/J.ENVDEV.2017.02.001.
[2] Khatiwada D, Seabra J, Silveira S, Walter A. Power generation from
sugarcane biomass - A complementary option to hydroelectricity in Nepal
and Brazil. Energy 2012;48:241–54. doi:10.1016/j.energy.2012.03.015.
[3] Nicodème T, Berchem T, Jacquet N, Richel A. Thermochemical conversion
of sugar industry by-products to biofuels. Renew Sustain Energy Rev 2018.
doi:10.1016/j.rser.2018.02.037.
[4] Sugar mills in Nepal poised to generate electricity
https://kathmandupost.com/money/2018/09/30/sugar-mills-in-nepal-
poised-to-generate-electricity
[5] STC importing 20,000 tons of sugar for festivals
https://myrepublica.nagariknetwork.com/news/stc-importing-20-000-
tons-of-sugar-for-festivals/
[6] Cane farmers stage protest in capital demanding payment from sugar
mills https://thehimalayantimes.com/business/cane-farmers-stage-
protest-in-capital-demanding-payment-from-sugar-mills/
Thank you! For listening!
Any questions?
Ramhari Poudyal
847043@swansea.ac.uk
rhpoudyal@gmail.com
Mob:07445425933

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Energy efficiency improvements in nepalese industries

  • 1. Energy Efficiency Improvements in Nepalese Industries NRNA Asia Pacific Regional Meeting & 1st NRNA Asia Pacific Knowledge convention September 26-27, 2020 Dr Ramhari Poudyal
  • 2. Energy scenario of the world  In 2015, 193 world leaders agreed to a series of 17 ambitious goals to end poverty, fight inequality, and stop climate change by 2030.  Goal 7 Providing access to affordable, reliable, sustainable and modern energy for all.
  • 3. IEA projections to 2035 - two-thirds of energy efficiency potential will remain untapped unless policies change. 173 27.13 20 216.42 35.54 38 0 50 100 150 200 250 Petroleum LPG Electricity Import of energy 2017/18 – 2018/19 in Billion NPRs 2017/18 2018/19 Import of energy in Nepal
  • 4. Energy Efficiency is not just low- hanging fruit; it is fruit that is lying on the ground.” Steven Chu, Former US Secretary of Energy Energy Efficiency Improvement Energy Efficiency Improvement Energy savings Environmental Sustainability Asset Values Macro economic Development Industrial Productiv ity Energy security Energy Access Energy price Public Budget Disposable income Local Air Pollution Health and well-being
  • 5. Industrial companies can be achieved up to 40 per cent energy savings by applying proper energy management system without any capital investment (González, Castrillón and Quispe, 2012). 58% 23% 5% 2% 1% 1% Total Industrial Energy Consumption by Fuel Type Coal Electricity Fuelwood HS Diesel Kerosene Other petro Total Industrial Energy Consumption by fuel type
  • 6. Critical components of IEA’s Efficient World Strategy • Industry • Opportunity in the EWS  Value-added per unit of energy could be doubled.  Less energy-intensive industry offers 70% of potential savings • Government policy actions  Expanded and strengthened standards for essential industrial equipment, including electric heat pumps and motors.  Incentives to encourage the adoption of energy management systems.
  • 7. Energy cost on production value 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% Limestonebased… Coldstorage FixedChimmneyBrick PulpandPaper VSBK Hotel SoapandChemical Clinkerbasedcement Biscuit Dairy Metal Noodles VegetableoilandGhee Beverage Sugar Energy Cost on product value in % for different industrial Sectors in Nepal
  • 8. The share of manufacturing in gross domestic product (GDP) stood at 9.2% in 2000-01, but it has been gradually coming down in the recent years. It stood at just 5.4 % in 2017 – 2018. Price of 50 Kg cement in selected countries 0 100 200 300 400 500 600 700 800 900 Nepal India Bangladesh Pakistan Sri Lanka China OPC in NPRs PPC in NPRs
  • 9. For cement industry, the International Energy Agency (IEA) has categorised the four-main energy and emission reduction measures (resulting forecast to 2050) 1. Energy efficiency (10 %) 2. Alternative fuel use and fuel switching (24 %) 3. Clinker substitution (10 %) 4. Carbon capture and storage (56 %) A baseline study of selected eight energy-intensive sectors of industries shows that there is 15% electric energy saving potential and 30% thermal energy saving in these sectors Efficiency Margin sector- wise in different Industries 0.17% 0.18% 0.22% 0.25% 0.45% 0.47% 0.51% 0.61% 0.99% 1.06% 1.65% 2.43% 9.20% 10.45% 19.09% 0.00% 5.00% 10.00% 15.00% 20.00% 25.00%
  • 10. Supply & Demand Scenario of Cement: 2011 – 2021 3.3 3.6 3.9 4.3 4.7 5.2 5.6 6.2 6.8 7.4 8.1 3.3 3.6 4 4.5 5 5.5 6.1 6.8 7.5 8.4 9.3 3.3 3.5 3.8 4.1 4.5 4.8 5.2 5.6 6.1 6.6 7.1 0 5 10 15 20 25 30 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 Consumption - Pessimistic Consumption - Optimistic Consumption - Most likely  The value of cement imports have doubled year – on – year (Rastra Bank)  From the fiscal year 2015- 2016 to 2016 -2017, the cost jumped from US$ 77m to US$ 155m.
  • 11.  Sugarcane biomass - tremendous potential - surplus electricity. Sugar processing facilities make sugar, bioethanol, and electricity from bagasse.  Bioelectricity potential from sugarcane biomass is estimated to be 209 – 313 GWh  Bioelectricity - good complementary option for hydroelectricity.  Provides power for operating industries, and for rural electrification.  Sugar and ethanol plants operate dry season December – May  Nepal have capacities ranging from 800 to 3000 metric tons (tonnes) per day.  the size of cogeneration plants - surplus electricity - 5 to 19 MW  Ministry of Industry, Nepal consumes 2.5 lakh metric tonnes of sugar a year.  Sugar industries had produced 1.77 lakh metric tonnes of sugar by crushing 2.6 crore metric tonnes of sugarcane last year  Department of Electricity Development (DoED), around 150MW of electricity - generated from the sugar mills  In 2019 , 180,000 metric tonnes of domestic sugar and 70,000 metric tonnes were imported  Sugar is used as 60 % industrial and 40% as food in Nepal. Sugar Industries
  • 12. Overview of biofuel production by thermo chemical pathway.
  • 13. Sugar prices  According to the World Bank, the world sugar price was $0.37 per kg in 2018, 12 percent below its 2016 peak.  Nepal ranks 41st in sugarcane production (2.93 million tons), 35th in harvested area (64,483 ha) and 67th in sugarcane yield (45.4 t/ha).  The price of sugar that used to be available for NRs 75 per kg has now jumped to NRs 95 a kg.
  • 14.  Opportunity to reduce emissions in the paper industry by 65,000 tCO2/year.  Use of pigs to clean pipes in the dairy (or brewing sector) instead of hot water and detergents  Enables recovery of product (milk, cream) by the ice slurry instead of losing to drain.  Dairy sector emissions reductions could add up to 23,000 tCO2/year. If the current pattern of energy efficiency improvement is maintained, it will take 23 years to reduce CO2 emissions by 20 per cent.  Recycling of scrap metal presents a vital opportunity to realise efficiency gains in metals manufacturing. The production of minerals like iron, steel, aluminium and copper from scrap is 60-90% less energy-intensive than production through primary routes  Governments can encourage metal recycling through regulatory instruments, subsidies, tax policies, direct provision of recycling services and information to improve recycling practices.  Energy efficiency improvements are possible across all sub-sectors. Light industry (e.g. food, beverage and textile manufacturing) represent the bulk 70 per cent of savings [EE2018]. Examples of energy efficiency Improvements
  • 15. Energy Efficiency Measures The critical components of the IEA’s Efficient World Strategy are summarised as follows (- International Energy Agency, 2018) Sector Opportunity in the EWS Government policy actions Transport  Energy demand could stay flat, despite doubling activity levels.  Passenger cars and trucks offer two- thirds of potential savings  Improve coverage and strength of transport policies for cars and trucks and non-road modes.  Provide incentives to support uptake and sustainable use of efficient vehicles Buildings  Building space could increase by 60% for no additional energy use.  Space heating, cooling and water heating offers 60% of potential savings.  Put in place comprehensive efficiency policies, targeting both new and existing building stock and appliances.  Incentives to encourage consumers to adopt high-efficiency appliances and undertake deep energy retrofits. Industry  Value-added per unit of energy could double.  Less energy-intensive industry offers 70% of potential savings.  Expanded and strengthened standards for essential industrial equipment, including electric heat pumps and motors.  Incentives to encourage the adoption of energy management systems. Investment  Investment must immediately double, and double again after 2025.  Transport sector presents the largest investment opportunity.  Build scale and momentum in financing using programmes and incentives to increase activity.  Market-based instruments to encourage investment and business model innovation.
  • 16. Capacity Utilisation of Industries  According to the capacity utilisation of Nepalese industries illustrate that average is only 57.8 per cent which is very poor in comparison with the regional and the international trend of capacity utilisation. 0.00% 20.00% 40.00% 60.00% 80.00% 100.00% 120.00% Animal Feed Sugar Beer Liquor Procesed Tea Biscuits Edible Oil Vegatable ghee Iron rods Cement Readymade garments Noodles Pashmina Soft drinks H1 2016 - 17 H1 2017 - 18
  • 17. • Typically, 8 – 22 KWh/t-Clinker can be produced without changes to kiln operation. • Generation up 45 KWh/t-clinker is possible by modifying kiln operations (e.g. less cyclone stages or Waste Heat Recovery for power generation costs and Benefits • by – passing upper stages (CSI/ERCA, 2009). • In China, production potential is reported to be around 24 – 32 KWh/t-clinker using domestic technology and 28 – 36 KWh/t-clinker using foreign technology. 39 KWh/t- clinker is achieved in a Chinese plant using Japanese technology. • Japanese technologies are reported to be able to produce 45 KWh/t-clinker • The potential for Indian plants are reported to be 20 – 24 KWh/t-clinker • 48.5 GWh/year of net electricity production was projected for a 8 MW WHR unit installed at a 4500 tpd plant in China (UNFCCC,2008). Waste Heat Recovery for power generation costs and Benefits
  • 18. • The 8 MW Power plant installed by the Indian Cements Ltd. (for their 4500 tpd plant) has been reported to reduce the CO2 emissions by 4500 tons per year [PCA,2008] • With the installation of a 9 MW WHR plant to plant with 500 tpd capacity, annual CO2 emission reductions in access of 52,000 ton year is planned [UNFCCC,2007]. • 41,000 ton CO2/y reduction is expected with the installation of an 8 MW waste WHR unit in a 4500 tpd plant in China. • For India, investment costs are given to be around $2.25 million per MW capacity. Indian Cements Ltd. Has put up an up to 8 MW power plant using Japanese technology for its 4500 tpd plant for a total investment of US$ 18.7 million [PCA,2008] CO2 Emission Reduction Potential
  • 19.  Energy accounts for the substantial share of the manufacturing cost. Nepalese cement industries are found to be using both electrical and thermal energy very inefficiently.  Industrial companies can be achieved up to 40 per cent energy savings by applying proper energy management system without any capital investment (González, Castrillón and Quispe, 2012).  The technical potential to reduce energy use at the global level is estimated to be 26% in the pulp and paper industry, 24% in the chemical industry, 21% for iron and steel, 18% in the cement industry, and 11% for aluminium production (- International Energy Agency, 2018) Why Energy Management? Why Energy Management? Reduce Pollution CO2 , NOx, SOx Save money $ £ Motivate Staff Mitigate Volatility
  • 20.  Renewable energy and energy efficiency are twin pillars of a sustainable energy future [REN211].  As energy services are delivered more efficiently, renewable can more quickly become an effective and significant contributor to the primary energy supply. Currently, as the share of renewables increases, less primary energy is needed to provide the same level of energy services [REN21].  Energy accounts for the substantial share of the manufacturing cost.  Nepalese cement industries are found to be using both electrical and thermal energy very inefficiently.  Industrial companies can be achieved up to 40 per cent energy savings by applying proper energy management system without any capital investment (González, Castrillón and Quispe, 2012).  The technical potential to reduce energy use at the global level is estimated to be 26% in the pulp and paper industry, 24% in the chemical industry, 21% for iron and steel, 18% in the cement industry, and 11% for aluminium production (- International Energy Agency, 2018) Why Energy Management?
  • 21.  The total electricity demand in UCIL is around 6.6 MW per day. If possible, waste heat recovery can contribute to 50% of the total electricity demand. Challenges Facing the Cement Industry Stakeholder Demands Customer Needs Emerging Economies Environmental Concerns Regulatory Policies Innovation Transparency Energy Prices Global Consolidation Mature Material Resource Intensity Capital intensity Lack of trust Standards and specifications Company inertia Market pressures Commodity product Forces of Change Barriers to Sustainability Challenges Facing the Cement Industry
  • 22. • Government institutions are crucial to the development of sustainable policy in their energy infrastructure. In other words, good governance helps achieve full economic potential to save energy by investing the minimum amount than the generation of electricity. • The government should seriously and urgently consider policies and programs that will support sugar mills in developing production and capacity. • The study presented that the linkage between infrastructure and energy improvement is multiple and complex. The findings of this research suggested that to optimise efficiency improvement. • The Nepalese Industry case shows that formulating new efficiency measures requires close dialogue with industry experts to understand new agendas, methods and challenges for integrating energy efficiency measures • Finally, improved efficiency measures in Nepalese industries save more than 100 MW of electricity within six months. Conclusion
  • 23. References [1] Neupane PR, Maraseni TN, Köhl M. The sugarcane industry in Nepal: Opportunities and challenges. Environ Dev 2017. doi:10.1016/J.ENVDEV.2017.02.001. [2] Khatiwada D, Seabra J, Silveira S, Walter A. Power generation from sugarcane biomass - A complementary option to hydroelectricity in Nepal and Brazil. Energy 2012;48:241–54. doi:10.1016/j.energy.2012.03.015. [3] Nicodème T, Berchem T, Jacquet N, Richel A. Thermochemical conversion of sugar industry by-products to biofuels. Renew Sustain Energy Rev 2018. doi:10.1016/j.rser.2018.02.037. [4] Sugar mills in Nepal poised to generate electricity https://kathmandupost.com/money/2018/09/30/sugar-mills-in-nepal- poised-to-generate-electricity [5] STC importing 20,000 tons of sugar for festivals https://myrepublica.nagariknetwork.com/news/stc-importing-20-000- tons-of-sugar-for-festivals/ [6] Cane farmers stage protest in capital demanding payment from sugar mills https://thehimalayantimes.com/business/cane-farmers-stage- protest-in-capital-demanding-payment-from-sugar-mills/
  • 24. Thank you! For listening! Any questions? Ramhari Poudyal 847043@swansea.ac.uk rhpoudyal@gmail.com Mob:07445425933