The document discusses the impending increases in energy costs and the need for efficient energy management in industrial settings. It highlights various strategies and technologies, such as lean energy practices and monitoring and targeting (M&T) techniques, to reduce energy waste and improve operational efficiency. Additionally, it emphasizes the benefits of integrating energy management solutions with production systems to enhance decision-making and sustain energy savings.

1. Lean Energy: Industrial Energy Made Lean
By Richard Stone
and David Brearley
Dial in Numbers: 0800 694 8053
IE Dial in: +44 (0) 207 897 0111
Conference Code: 4381606605

2. The background...
► Electricity prices will increase by 60% in the next 4
years
► Gas will become more very much more expensive
after a flattened period
► Energy supplies are a finite resource
► Climate change initiatives place tax issues on
energy usage
► There is insufficient capacity
► There are swingeing European „green‟ initiatives
► Wind generation will become a tariff-setting factor
once it is a significant factor in the total capacity
► LNG will become more important as local supplies
are depleted...
Source MEUC March 2010

3. Energy – the costliest
unaccountable
► “It is in the overhead”
► “We have to use power to make things”
► “We do turn the lights out”
► “The steam / air does not leak”
► “We have saved all that we can”
► “We have done a kettle audit”
► “We cannot work in the dark in a sub-
zero environment”
► “We have installed inverter drives”

4. The Lean - Energy link
► OEE = Availability x Performance x Quality
► A low OEE will possibly involve rework –
especially through Quality problems
► One has to make more to make enough
quality product
► That takes more energy.
► Lean Energy...
► www.wonderware.ie/webinars/
► www.wonderware.co.uk/webinars/

5. Things that are offered, that can be
considered - that can be done...
► Accurate 230 VAC (380 V 3 ph) supply** – claims up to
12% saving – large transformer, high capital cost
► Power factor correction*** – could be as high as 25%
saving (dependent upon load characteristic) – PFC
capacitor banks and control gear, high capital cost
► Low energy lighting (first and last mention!)
► Inverter drives – Enhanced Capital Allowance*
► Power displays as part of HMI / SCADA – almost free
► Energy data acquisition, historisation and reporting
– can be part of an existing Industrial Automation
scheme – further ROI benefit and value

6. Electrical engineering
unzipped...
► The Amp meter is where the money is
► The Voltmeter is about supply voltage efficiency (should be very
close to 230V – or 380V if three phase) – and to tell you that it is
switched on.
► The Power Factor (COS φ) meter should be close to -0.98 and if it
isn‟t it will cost you a lot of money!
► These instruments are hidden away on your distribution panel.
TIP – automatically record PF and Voltage – it‟s about Lean!

7. Sustainable?
► Most of the aforementioned capital
investments are sustainable – but, the
improvement is one-time, and possibly
reduces over time.

8. Sustainability
► Savings require measurement
► Savings have to be sustainable
► Sustainable Saving should not be
laborious
► Sustainability is about automation
► Year-on-year energy saving is hard
– the curve

9. The case for Lean Energy
► Energy „treasure hunts‟ are also
great ways to reinforce awareness of
the seven types of waste and make
explicit links to how the 7 wastes
contribute to energy losses.
▪ “Do try this one at home”
► All of the „7 wastes‟ cause energy
losses but Energy is something
frequently overlooked and the
savings are not properly quantified.

10. The case for Lean Energy
► Overproduction, the mother of all wastes
consumes energy by operating equipment to
make products we don't need. This leads to
the other wastes being created, such as
inventory which needs to be heated,
cooled, conveyed, illuminated - using
energy.
► Transportation of goods uses more energy.
► Waiting itself may not be the greatest
waste, but surely the light, heat and running
equipment wastes energy while people wait.

11. The case for Lean Energy
► Defects waste tremendous energy as all of the energy
to produce it is wasted, the product needs to be made
again, and many times people spend time correcting,
reporting and analyzing the defect which uses energy
in a variety of ways.
► Processing waste creates energy losses when the
equipment size and speed are inappropriate to get the
job done efficiently.
► Motion waste is the most challenging one to link with
energy waste because we are talking about human
motion, and excessive human motion can cause unsafe
work conditions, lower productivity or poor quality which
has consequences on energy efficiency

12. Benefits of Energy Management
► Benefits
▪ Reduce cost of energy per unit of output
▪ Avoid peak demand charges
▪ Provide CCL reports
▪ Make changes with sustainable results
▪ Provide information for an energy continuous
improvement program
▪ Use a standard solution across sites regardless of
plant automation
▪ Provide feedback to departments on energy
improvements

13. What is Monitoring & Targeting ?
Monitoring and Targeting (M&T)
► Monitoring and targeting (M&T) is a cost-saving energy
management technique, designed to detect and diagnose wasteful
use of energy, water, and other consumable resources.
GOOD PRACTISE!
► Consumption can be related to measureable driving factors
(weather, levels of production output, process parameters…..)
► From understanding the driving-factor you can set a target for each
stream of consumption.
► A waste of energy is signaled by an unexpected deviation between
monitored and expected consumption (i.e. positive slope on cusum
curve)

14. Targeting with Cusum Charts
Plot cusum curve
•horizontal means on target
•negative slope shows energy reducing
•Positive slope indicates energy increasing beyond target

15. What the Enhanced Capital Allowance (ECA)
scheme requires (in the UK)*
The Analytical Software (i.e. AMT software) should have the following minimum capability:
► Real-time or scheduled transfer of data into the user‟s AMT database.
► Store and process interval meter readings to at least a minimum of 30-minute intervals.
► Present data in both a graphical and tabular format i.e. histograms, line plots, etc.
GOOD PRACTISE!
► Selectable time bases with periods of 30 minutes, 1 day, 1 week, 4 weeks, 1 calendar
month, and 1 year.
► Ability to select datasets and manipulate them by combining, comparing and calculating
in order to analyze, identify and evaluate instances of energy waste.
► Regression analysis on data streams using two variables in whatever frequency the
dataset obtained. Display in graphical form with correlation coefficient.
► Automatic exception reporting where period consumption is outside a selected variance
from a standard or selected data set.
AMT = Automatic Monitoring and Targeting
http://www.eca.gov.uk/etl
http://www.eca.gov.uk/NR/rdonlyres/9AF2858C-CAAD-4640-A085-
FCC4FBDDEB59/0/08AMT_ComponentBasedSystems.pdf

16. What The Carbon Trust say that M&T (Monitoring &
Targeting) software should do (in the UK)*.
► An emphasis on the assessment of physical performance (as
distinct from energy accounting, although they may offer this
as well).
GOOD PRACTISE!
► Facilities for setting up calculations of expected consumption,
at least using straight-line relationships with single driving
factors and preferably other methods as well.
► Generate the overspend league table as defined above, either
as a standard built-in report (preferred) or as a user-defined
report template.
► Provide scatter, deviation and cusum charts at least, and
employ them actively in the target-setting process by enabling
selective
General website: http://www.carbontrust.co.uk

17. SEAI
It is recommended to discuss such issues
with Sustainable Energy Authority Ireland.
http://www.seai.ie/
We have a developing dialogue
with SEAI.

18. Next... Benefits (once quantified) make good ROI
arguments for investments
► The trick is to put a conservative value (cost)
on each of the 7 wastes that apply to you
► This does not have to be accurate or detailed
► The opportunity will quickly emerge, with a
value attached to it
► Then you (may) have a budget to work with

19. Solution(s)

20. What is required in industry...
Integrated Industrial
BMS System
► Energy ► Energy per unit
▪ But probably for the ▪ Energy per tonne
building only ▪ Energy per kilo
▪ Controls and information ▪ Energy per metre
more to do with HVAC ▪ Energy per nnn
less to do with industrial ► By automatic correlation of
plant energy and process data
► As part of a Lean
manufacturing programme
► As part of the operational
methodology

21. Variations on a theme...
► Do nothing
► Clip boards and spreadsheets
► Historian and spreadsheets
► Historian and WIS
► System Platform and objects
► System Platform and CEM

22. Problem Statements drove our
User Requirements
► Management has minimal visibility to usage of energy in the operation
► Managers do not have the tools to manage energy use to maximize the
reward and avoid to penalties of supplier contracts
► Plant utility output is not coordinated to usage in the operation, leading to
waste
► Adding an energy management solution to an existing operation is perceived
as costly and disruptive
► The data collected for energy usage and demand is not useful for making
timely operational and economic decisions
► Data collected for energy usage and demand is not related to operational
events or business processes
► Meter technology varies widely and connectivity for automated data collection
is not standardized
► Some meters must be read manually and present problems in accuracy and
timeliness
► Allocation of energy cost to produced goods and services is not accurate or
useful in understanding the true cost of goods sold
► Poor maintenance of equipment and assets causes energy waste

23. Problem Statements drove our
User Requirements (continued)
► Operators are not aware of the consequences of decisions that
create excessive energy usage or demand
► Self generated energy is difficult to integrate into the operation
► Data for effective energy management is captured in other plant
systems not integrated with operations
► Operations must be prepared to be part of, and take advantage
of, the Smart Grid programs and mandates
► The operation incurs unplanned costs when penalized for
mismanaged energy usage
► Existing automation and instrumentation cannot economically
expand to provide tools for energy management
► Regulatory reporting requirements and corporate reporting for
KPIs is time consuming and often not accurate

24. A Unique Approach
► Relate energy usage with production output and process
variables
► 24 hr Energy Supervision – automation
► Flexible Views of Energy Information

25. A Unique Approach
► Account for All Energy Types- Points of Energy Usage
► Account for Self Generation of Power
► Built on a world-class, robust real-time automation platform

26. A Unique Approach
► Fast Deployment
► Flexible and Expansible

27. A Unique Approach to Energy Management
►Focus on the Economics of Energy Usage
►Active Intelligence
►Flexible Views of Information
27

28. A Unique Approach to Energy
Management (cont.)
►Fast Deployment
▪ Install and configure in days, not weeks or months
▪ Instantly connect to existing meters on the network
▪ Collect meter readings from un-connected meters using IntelaTrac
▪ Deploy inexpensive wireless meters or wireless retrofits to older
meters
▪ Add fixed meters as they are installed and operational
►Fast Results
▪ Pre-built reports for instant information
▪ Real-time HMI components enable cost “experiments”
28

29. The Corporate Energy Module
Corporate Energy
Module
System Platform 3.1
IAS Historian WIS
DAS- DAS- DAS-
PLC Modbus BACnet
2
9

30. Context Transforms Energy Data to Energy Information
Production Worker Energy Manager Corporate
Controller/Accountant Energy Manager
inTouch HMI Web Portal
•Real-time view of •Run Pre-configured Intelligence- EMI for
energy usage reports Operations
•Configuration of the
application
Energy
Internal Context Corporate KPI
•Operational Events from Information Energy Metrics
automation and MES
•Asset State from
automation Corporate
•Order, Batch, SKU Energy
Energy Usage ERP/MES
Management
Usage Context Application
Asset
External Context Work Request Management
•Weather- Current,
Forecast CMMS
•Utility Rates
•Demand Response
Signals from Grid Energy Usage Rich Data
Advanced
Data Analysis and
Simulation
Automatic Mobile
•Direct to Meters (also wireless) •IntelaTrac
•Meters thru PLC/DCS •Mobile Data Collection
•RTU from remote sites
•Building Management System
3 •Utility Interval Readings
0

31. 1000 Metre View- Manufacturing
Waste
Treatment
Co Gen
Gas Air Chill
Utilities Area 1 Line 1
Finished Goods Storage
Power HVAC Steam
Packaging
Water
Material Storage Make
Line 2
Area 2
Material Prep
Line 3
•Monitor Overall Plant Demand
and Consumption Water-Air-Gas-Electricity-Steam-Chill
Office
•Shadow the Utility Meters
•Allocate cost to departments
•Allocate cost to products

32. Conceptual Overview
Self Service
Reports
People Systems Control
Notify
Act
Configure Events
Detect
Application
Historian
Monitor CDC*
* Contextualized Data Collection
SCADA

33. Reports
Economic Information
In March, for my Blow Mold Operation,
did I…
• Meet my energy budget?
• Accurately forecast the daily demand?
Needs
• Do better than the last 5 months?
• Have any alarms or warning? deleting /
amending
or
updating

34. Special Metals Wiggin
► Special Metals Wiggin, Hereford: is a
manufacturer of nickel alloys for
demanding applications. The company
is a large energy user and insight was
required to provide detail from which
savings could be targeted and
sustained. As part of the company‟s
lean initiatives energy monitoring and
targeting was high on the list.
Following research Special Metals
Wiggin selected Wonderware Historian
as the ideal data repository from which
they could obtain meaningful industrial
energy data.

35. Situation and Solution
SITUATION
► Energy (Electricity and Gas) cost was
radically increasing owing to tariff and to
small batch sizes
► Attempts with SQL solutions had failed
(time line correlation)
► Energy per kilo was required
SOLUTION
► Wonderware Historian
► MS Office
► DAQ with low cost PLC

36. Method
DAQ (PLC) DAQ (PLC)
Meter Machine

37. Method
Energy Performance
MS Office
Reports
Wonderware Historian
Network
DAQ (PLC) DAQ (PLC) DAQ (PLC) DAQ (PLC)
Meter Machine Meter (n) Machine (n)

38. Views
A heavy industrial operation

39. Results
► Energy data is in the same database (historian) as
production data
► These can be cross correlated
► Producing Energy Cost per kilo per batch
► Operational managers see this information either directly
or through the company‟s intranet and can act directly
► Energy display is extrapolated to year-end to produce a
„consequential‟ view
► Water consumption is also recorded
► Environmental data is recorded for Environmental Agency
reporting (including wind direction)

40. Reports
► Reports are available
instantaneously – any variance
resulting in investigation (either
good or bad)

41. Method
Energy Performance
MS Office
Reports
Wonderware Historian
Network
DAQ (PLC) DAQ (PLC) DAQ (PLC) DAQ (PLC)
Meter Machine Meter (n) Machine (n)

42. Method
Wonderware Information Interactive Energy Performance
Server Reports
Energy Performance
MS Office
Reports
Wonderware Historian
Network
DAQ (PLC) DAQ (PLC) DAQ (PLC) DAQ (PLC)
Meter Machine Meter (n) Machine (n)

43. Quotable...
► Mr John Powles, Energy Controller, Special Metals Wiggin, said,
“Energy cost is directly transferred to other expenditure benefits,”
▪ adding, “Wonderware Historian was the key breakthrough in
making our data available as useful information to us, we
anticipate that the current programme to integrate this with
Wonderware Information Server will complete the task and
provide us all with vastly improved insight into our energy usage
and production methods taken from an energy view.”
► “The detailed information provides a better basis for discussion of
tariffs with suppliers and the associated water and other
environmental data allows us always to have a positive dialogue with
the Environmental Agency.”

44. Observations
► The company has ca 200 meters
connected to the system
► This produces a fine enough energy picture
► The integration with MS Office (Excel and
PPT) is convenient
► They would be benefit in having interactive
reports (e.g. drilling down); this is currently
being evaluated (Wonderware Information
Server)
► Payback within 9 months (18 months
planned)

45. Summary
► Historian with MS Office
Focussed upon energy usage
► MS Office integration
► Realisation that interactive reporting was
beneficial
► Delivering measurable, real benefits
► Producing payback on the investment
within the first year

46. Summary
► Do all the early stage things
▪ Carefully evaluate capital item ROI
► Meter
► Automate
► Report
► Act – Energy hunting
► Sustain
► Continuously Improve
► Talk to Wonderware.

47. Powering intelligent plant
decisions in real time.