Energy Conservation
Energy conservation effort made to reduce the consumption of energy by using less of an energy service.
This can be achieved either by using energy more efficiently or by reducing the amount of service used.
Energy conservation reduces the need for energy Services and can result ...
Energy Conservation
Energy conservation effort made to reduce the consumption of energy by using less of an energy service.
This can be achieved either by using energy more efficiently or by reducing the amount of service used.
Energy conservation reduces the need for energy Services and can result in increased environmental quality national security, personal financial security and higher savings.
Energy can be conserved by reducing wastage and losses, improving efficiency through technological upgrades and improved operation and maintenance.
On a global level energy use can also be reduced by the stabilization of population growth.
In the case of fossil fuels, the conservation also can include finding new ways to tap into the Earth's supply so that the commonly used oil fields are not drained completely.
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Language: en
Added: Nov 30, 2022
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Slide Content
ENERGY CONSERVATION AND AUDIT
Dr.G.Nageswara Rao
Professor
2
UNIT-I
BASIC PRINCIPLES OF ENERGY AUDIT
1.Describe the basic components of an energy audit
2. Enumerate different types of energy audits in details
3.Define the following terms
a) Energy Index b) Cost index c) Pie Charts d) Sankey Diagrams
e) load Profile
4. Outline the procedure to evaluate the energy conservation opportunities.
5. Explain different types of energy conservation schemes.
6. Analyze the process of energy audit of thermal power station with all
necessary equipment’s
7.What is the function of smart meter and discuss the advantages of smart
meter
8.Analyze the process of energy audit using smart device
9
Energy Management Principles Energy Conservation is an important
issue for the corporate management, and is considered to form a part
of Energy Management.
(1)DefinitionofEnergyManagement
Energyisoneofthemanagementresourcesofacompany,andshallbemanagedandcontrolledbya
systematicmethodinharmonywiththemanagementofotherresources.EnergyManagementis
managingallkindsofenergyusedinthecompanybymakingoutanoptimumprogramofpurchasing,
generatingandconsumingvarioustypesofenergybasedonthecompany’soverallshort-termand
long-termmanagementprogram,withdueconsiderationofcosts,availability,economicfactors,and
soon.
(2)NecessityofEnergyManagement
EnergyManagementisnecessarilyrequiredbecauseitinfluencesanumberofaspectsofcompany
operationandactivitiesincludingthefollowing:-energycostswhichaffectthecompanyprofitability-
energycostswhichaffectthecompetitivenessintheworldmarket-nationalenergysupply/demand
balance-nationaltradeandfinancialbalance-localandglobalenvironments-occupationalsafety
andhealth-losspreventionandwastedisposalreduction-productivity-quality
10
Energy Management Program
Allthecomponentsofacomprehensive
energymanagement programare
depictedinFig
These components are the,
Organizational Structure,
A Policy
Plans For Audits, Education, Reporting,
And Strategy
Itishopedthatbyunderstandingthe
fundamentalsofmanagingenergy,the
energymanagercanthenadaptagood
workingprogramtotheexisting
organizationalstructure.
16
Illustrate the organizing procedure of energy management
successful energy management strategy involves following six key steps.
Step1:Getcommitmentandappointanenergymanager
Thefirststepistomakesurethatseniormanagementunderstandsthebusinessbenefitsofan
energystrategyandsupportstheproposedenergysavingmeasures.Appointinganenergy
managerdemonstratesthatthebusinesstakesitsenergysavinggoalsseriously.Theenergy
manager'sroleisto:
Leadtheenergyteamintheirenergysavingactions
communicateandemphasisetocolleaguestheimportanceoftheenergystrategy
Theenergymanagerneedsexperienceandtrainingtobeeffective-relevantprofessional
qualificationsareavailable.Dependingonthesizeofyourorganisationtherolemightbefullor
parttime.
Step2:Understandtheissues
Tomanageenergyuseeffectivelyyouneedtohaveaclearunderstandingof:
•howyourbusinessiscurrentlyusingenergy
•howyourenergyusagecompareswithotherbusinesses
•attitudeswithinyourbusinesstowardsadoptingenergysavingmeasures
17
Step 3: Plan and organise
Start by carrying out an energy survey to see where you can make energy savings. Use all the
information you gather to produce an energy policy and identify long, medium and short term
energy saving targets.
Step 4: Develop an action plan
Once you have identified your targets, draw up an action plan outlining the practical steps your
business will take to achieve your goals. Give individuals responsibility for specific tasks.
Step 5: Involve your staff
It's very important to get support for the energy strategy from:
•key decision makers
•senior management
•staff at all levels of the business
Carrying out training and highlighting the strategy's benefits all help to boost staff participation.
Step 6: Control, monitor and report
Monitor your performance regularly to check that you're making progress towards your energy
saving goals. Put in place procedures to make sure your systems will carry on operating
efficiently and continue to make savings in the future. Let staff know how progress towards
achieving targets is going -this helps to keep them motivated.
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ROLE OF AN ENERGY MANAGER
1.Benchmarking energy consumption against best practice guidelines
2.Carrying out site inspections and completing energy surveys
3.Collecting energy monitoring data and keeping accurate records
4.Creating energy policies and systems
5.Dealing with energy contract negotiations
6.Developing and overseeing strategies to reduce energy consumption
7.Encouraging the use of renewable and sustainable energy resources
8.Keeping up to date with energy legislation
9.Negotiating with contractors and external stakeholders
10.Overseeing carbon management
11.Raising the profile of energy conservation
12.Sharing advice and providing training on energy efficiency.
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1.TemperatureIndicatorandMeasurementdevice:Temperatureindicatorsarethemostimportant
instrumenttomeasureprocesstemperatureandheatlosses.varioustemperaturemeasurementdevicesis
availabletodothisactivity.wemaybroadlydividethetemperaturemeasurementactivityintothreemeasuring
instruments:
a.Infrarednon-contacttypethermometer,forquickmeasurementoftemperature,thistypeofthermometercan
beused,withthedevelopmentoftechnologythereliabilityoftheinfraredthermometerhasimproved.
b.Temperatureindicatorprobetype:conventionallytemperatureindicatorwithaprobeisusedforaccurately
measureprocesstemperature.alongwithdataloggertemperatureindicatorscanbethemostusefulinstrument
foranenergyaudit.
c. Thermal imager: Thermal imagers are costly devices and can be used to identify heat loss areas especially
for insulation, surface loss, and electrical system.
2FlueGasAnalyzer:Fluegasanalyzerisanotherimportantinstrumenttomeasurethecombustion
efficiencyofaboilerorfurnace.carbonmonoxide,carbondioxide,andoxygenmonitoringisimportantto
identifylossduetoincompletecombustionorexcessairsupply.
3SteamTrapTester/Monitor:Steamisoneofthemajorformsofenergybeingconsumedintheprocess
industryforvariousapplications.TheGeneration,distribution,andconsumptionofsteammustbeinan
efficientmanner,forproperdistributionandconsumptionofsteamcondensatemustberemovedassoonasit
formsinthesteamnetwork.forremovalofcondensate,steamtrapsareused.Steamtraptrapssteamand
removescondensatefromthesteamsystem.Failureofthesteamtrapmayincreasethelossofenergy,
thereforethesteamtrapmustbecheckedperiodicallyorduringenergyauditforproperfunctioning.Steamtrap
monitorhelpinidentifyingtheconditionofthesteamtrap
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Force Field Analysis
AnalyzingthePressuresForandAgainstChangeSomepeoplestrugglewhentheyhavetough
decisionstomake.Theyhashthroughtheprosandcons,andagonizeovermakingtheright
call.
Whenyou'remakingdifficultorchallengingdecisions,itpaystouseaneffective,structured
decision-makingtechniquethatwillimprovethequalityofyourdecisionsandincreaseyour
chancesofsuccess.ForceFieldAnalysisisonesuchtechniqueand,inthisarticleandinthe
video,below,we'llexplorewhatitisandhowyoucanuseit.
TheideabehindForceFieldAnalysisisthatsituationsaremaintainedbyanequilibrium
betweenforcesthatdrivechangeandothersthatresistchange,asshowninfigure.For
changetohappen,thedrivingforcesmustbestrengthenedortheresistingforcesweakened
Thetoolisusefulformakingdecisionsbyanalyzingtheforcesforandagainstachange,
andforcommunicatingthereasoningbehindyourdecision.
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understand what a force field analysis is and how to conduct it in simple steps.
1.What is Force Field Analysis
1.1.The basis of the tool
1.2.When to use the tool
2.How to Conduct a Force Field Analysis
2.1.Step 1: Assess the current situation
2.2.Step 2: Define the objective
2.3.Step 3: Identify the driving forces
2.4.Step 4: Identify the restraining forces
2.5.Step 5: Evaluate the forces
2.6.Step 6: Create an action plan
What is Force Field Analysis
Theforcefieldanalysisisawidely-usedchangemanagementmodel;itworksasadiagnostictoolanda
powerfuldecision-makingtoolduringchangeplanning.
Youcanuseittoidentify–byvisuallymapping–thedrivingforcesandrestrainingforcesforandagainstthe
initiativeandthusworkonleveragingthefactorsinfavorwhilereducingtheunfavorableonestoensurethe
successfulimplementationofthechangeplan.
Theforcefieldanalysistoolwasdevelopedasachangemanagementmodelin1951bytheGerman-
Americanpsychologist,KurtLewinwhoisalsoknownforbeingafounderofmodernpsychology.Today,the
toolisevenwidelyusedtoinformbusinessdecision-making.
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UNIT-II
ENERGY MANAGEMENT
Energy Management
2
Objectives
Resourceconservation
Climateprotection
Costsavings,
whiletheusershave
permanentaccesstothe
energytheyneed.
3
What is Energy Management
Energymanagementcanbebroadlydefinedastheproactive,
organizedandsystematicmanagementofenergyuseinabuilding
ororganizationtosatisfybothenvironmentalandeconomic
requirements.
Companiesacrossallsectorsareturningtoenergymanagement
asameanstoreducetheiroperatingcosts.Specificrequirements
andpracticesdifferbysector,butthecoreprinciplesapplytoall
companies.Itinvolvesthefollowingsteps:
Step 1: Data Collection
Step 2: Identify Opportunities
Step 3: Action
Step 4: Track Progress & Ongoing Improvement
9
Energy Management Principles Energy Conservation is an important
issue for the corporate management, and is considered to form a part
of Energy Management.
(1)DefinitionofEnergyManagement
Energyisoneofthemanagementresourcesofacompany,andshallbemanagedandcontrolledbya
systematicmethodinharmonywiththemanagementofotherresources.EnergyManagementis
managingallkindsofenergyusedinthecompanybymakingoutanoptimumprogramofpurchasing,
generatingandconsumingvarioustypesofenergybasedonthecompany’soverallshort-termand
long-termmanagementprogram,withdueconsiderationofcosts,availability,economicfactors,and
soon.
(2)NecessityofEnergyManagement
EnergyManagementisnecessarilyrequiredbecauseitinfluencesanumberofaspectsofcompany
operationandactivitiesincludingthefollowing:-energycostswhichaffectthecompanyprofitability-
energycostswhichaffectthecompetitivenessintheworldmarket-nationalenergysupply/demand
balance-nationaltradeandfinancialbalance-localandglobalenvironments-occupationalsafety
andhealth-losspreventionandwastedisposalreduction-productivity-quality
10
Energy Management Program
Allthecomponentsofacomprehensive
energymanagement programare
depictedinFig
These components are the,
Organizational Structure,
A Policy
Plans For Audits, Education, Reporting,
And Strategy
Itishopedthatbyunderstandingthe
fundamentalsofmanagingenergy,the
energymanagercanthenadaptagood
workingprogramtotheexisting
organizationalstructure.
9
WAYS OF IMPROVING EFFICIENCY
The various ways of improving efficiency includes:
a) Reduction of iron losses b) Reduction of flux density
c) Usage of low loss magnetic material d) Reduction of stator and rotor
copper losses
e) Increasing the copper section i.e., the stator slot area or rotor bar section
f) Increasing stator yoke g) Reducing rotor diameter
h) Increasing the speed of starting current i) Reducing the starting torque
j) Increasing core length for maintaining the starting torque
k)Increasingthethicknessofthecopperwireswoundaroundthecoreofthe
motor.Thisreducesboththeelectricalresistancelossesinthewiresandthe
temperatureatwhichthemotoroperates.
l)Usingmoreandthinnerhigh-qualitysteelsheetsforthemainfixedand
rotatingpartsofthemotor.Thisalsominimizeselectricallosses.
m)Narrowingtheairgapbetweenthespinningandstationarymotor
components,increasingthestrengthofitsmagneticfield.Thisletsthemotor
deliverthesameoutputusinglesspower.
10
NEED FOR EFFICIENT MOTORS
Inthefuture,thecostofenergywillincreasedueto
environmentalproblemsandlimitedresources.Theelectric
motorsconsumeamajorpartoftheelectricenergyin
industries.Thus,implementingenergyefficientmotorcould
saveasignificantamountofelectricity.Itwouldalsoreducethe
productionofgreen-housegasesandpushdownthetotal
environmentalcostofelectricitygeneration.Also,thesemotors
canreducemaintenancecostsandimproveoperationsin
industry.Efficientenergyuseisachievedprimarilybymeansof
amoreefficienttechnologyorprocessratherthanbychanges
inindividualbehavior.
5
Methods of Power Factor Improvement
There are three main ways to improve power factor:
1.Capacitor Banks
2.Synchronous Condensers
3.Phase Advancers
Capacitor Banks
▪Improvingpowerfactormeansreducingthephasedifferencebetweenvoltageandcurrent.Sincethemajorityof
loadsareofinductivenature,theyrequiresomeamountofreactivepowerforthemtofunction.
▪Acapacitororbankofcapacitorsinstalledparalleltotheloadprovidesthisreactivepower.Theyactasasourceof
localreactivepower,andthuslessreactivepowerflowsthroughtheline.
▪Capacitorbanksreducethephasedifferencebetweenthevoltageandcurrent.
Synchronous Condensers
▪Synchronouscondensersare3phasesynchronousmotorswithnoloadattachedtotheirshaft.
▪Thesynchronousmotorhasthecharacteristicsofoperatingunderanypowerfactorleading,lagging,orunity
dependingupontheexcitation.Forinductiveloads,asynchronouscondenserisconnectedtowardstheloadsideand
isoverexcited.
▪Synchronouscondensersmakeitbehavelikeacapacitor.Itdrawsthelaggingcurrentfromthesupplyorsuppliesthe
reactivepower.
Phase Advancers
•This is an AC exciter mainly used to improve the PF of an induction motor.
•They are mounted on the shaft of the motor and are connected to the rotor circuit of the motor. It improves the power
factor by providing the exciting ampere turns to produce the required fluxat the given slip frequency.
•Further, if ampere-turns increase, it can be made to operate at the leading power factor.
6
Power Factor Calculation
Inpowerfactorcalculation,wemeasurethesourcevoltageandcurrentdrawn
usingavoltmeterandammeterrespectively.Awattmeterisusedtogettheactive
power.Now,weknowP=VIcosφwatt
Hence, we can get the electrical power factor.
Now we can calculate the reactive power Q = VIsinφVAR
This reactive power can now be supplied from the capacitor installed in parallel with
the load in local. The reactive power of a capacitorcan be calculated using the
following formula:
7
Location of Capacitors
•Global compensation
•Compensation by sector
•Individual compensation
Global compensationWhere a load is continuous and stable, global compensation
can be applied
Principle
The capacitor bank is connected to the busbars of the main LV distribution board for the
installation, and remains in service during the period of normal load.
Advantages
The global type of compensation:
•Reduces the tariff penalties for excessive consumption of kvars
•Reduces the apparent power kVA demand, on which standing charges are usually based
•Relieves the supply transformer, which is then able to accept more load if necessary
Comments
•Reactive current still flows in all conductors of cables leaving (i.e. downstream of) the main LV
distribution board
•For the above reason, the sizing of these cables, and power losses in them, are not improved
by the global mode of compensation.
8
Compensation by sector
Compensationbysectorisrecommendedwhentheinstallationisextensive,andwherethe
load/timepatternsdifferfromonepartoftheinstallationtoanother
Principle
Capacitorbanksareconnectedtobusbarsofeachlocaldistributionboard.nAsignificantpartof
theinstallationbenefitsfromthisarrangement,notablythefeedercablesfromthemain
distributionboardtoeachofthelocaldistributionboardsatwhichthecompensationmeasures
areapplied.
Advantages
•Reduces the tariff penalties for excessive consumption of kvars
•Reduces the apparent power kVA demand, on which standing charges are usually based
•Relieves the supply transformer, which is then able to accept more load if necessary
•The size of the cables supplying the local distribution boards may be reduced, or will have
additional capacity for possible load increases
•Losses in the same cables will be reduced
Comments
•Reactive current still flows in all cables downstream of the local distribution boards
•Fortheabovereason,thesizingofthesecables,andthepowerlossesinthem,arenot
improvedbycompensationbysector.Wherelargechangesinloadsoccur,thereisalwaysarisk
ofovercompensationandconsequentovervoltageproblems
9
Individual compensation should be considered when the power of motor is
significant with respect to power of the installation
Principle
Capacitorsareconnecteddirectlytotheterminalsofinductivecircuit.Individualcompensation
shouldbeconsideredwhenthepowerofthemotorissignificantwithrespecttothedeclared
powerrequirement(kVA)oftheinstallation.
Thekvarratingofthecapacitorbankisintheorderof25%ofthekWratingofthemotor.
Complementarycompensationattheoriginoftheinstallation(transformer)mayalsobe
beneficial.
Advantages
Individualcompensation:
•Reducesthetariffpenaltiesforexcessiveconsumptionofkvars
•ReducestheapparentpowerkVAdemand
•Reducesthesizeofallcablesaswellasthecablelosses
Comments
•Significantreactivecurrentsnolongerexistintheinstallation
12
India is connected with Nepal, Bhutan,
Bangladesh and Myanmar.
13
14
Main Clients are Shipping
from Africa and Europe.
Around 60.8%
They will save an
Average of 8 Hr26
minutes by using the
SetusamudramCanal
They will lose an average
of $ 6067 per Ship per
Voyage at Present
Projected Tariff
.
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Capacitor Banks
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Effect of harmonics on the power factor
HARMONICS
Themaincauseoftheharmonicsgenerationarethe“non-linear”loads.So,beforetalkingaboutharmonics,
weneedtodefinewhatisa“linear”loadandwhata“non-linear”load.
LinearloadItisaloadthatdrawsinstantaneouslyproportionalcurrenttotheappliedvoltage,i.e.,its
impedanceismaintainedconstantalongthewholealternatingperiod.Forpublicelectricitysupplyof50or60
Hzsinusoidalvoltage,thiswillmeanapuresinusoidalcurrentalso.Linearloadscanbeclassifiedasresistive
(electricalheaters,incandescencelightbulbs),capacitive(capacitorsusuallyfoundaspartofsystemsor
equipments),inductive(transformers,motors),orcombinationsofsomeofthem
Non-LinearloadInoppositiontolinear-loads,anon-linearloadchangesitsimpedancewithinstantaneous
appliedvoltage,thatwillleadtoanon-sinusoidalcurrentdrawwhentheappliedvoltageit’sso.Inotherwords,
thiskindofloaddoesnothaveaconstantrelationcurrentvs.voltagealongthealternatingperiod.Thesimplest
circuittorepresentanon-linearloadisadiode-rectifier,withitsmultiplevariants(full-wavedioderectifier,half-
wavedioderectifier,single-phaseorthree-phase).
Someexamplesofnon-linearloads,capableofinjectingharmonicsintoanelectricaldistribution,are:industrial
equipments(welding,arcfurnace),variablefrequencydrives(VFD),line-switchedrectifiers,switch-mode
powersupplies,lightingballasts…andalsomodernelectronicequipments,atlowloadlevels,eventheycould
bedesignedtooptimizeefficiencyaroundit’sratedworkingpoint.Allthesecircuitscancontainsemiconductor
powerdevicessuchasdiodes,thyristors(SCR’s),transistors,and/orswitchingofloadsorcircuits
Harmonicsandpowerfactorarecloselyrelated.Infact,theyaresotightlycoupledthatonecanplace
limitationsonthecurrentharmonicsproducedbynonlinearloadsbyusingthewidelyacceptedconceptof
powerfactor,providingthattruepowerfactorisusedratherthandisplacementpowerfactor.
21
Harmonics, Power Factor and Distortion Power
In the presence of harmonics the expressions of Active Power, Reactive Power and Apparent
Power need to be defined carefully.
The Displacement Power Factor, cosφ, is due to the phase shift between voltage and current of
the fundamental frequency f1:
P1 –Active Power of the fundamental
S1 –Apparent Power of the fundamental
But,inthepresenceofharmonics,previousequationisnolongervalidasglobalPowerFactor,sincethe
powercausedbytheharmonics(voltageandcurrentharmonicsatdifferentfrequencies)needtobetaken
intoaccount:
Where,
• P -Active Power, considering harmonics, and phase displacement φnbetween voltage and current for
each:
S -Apparent Power, considering not only active (P) and reactive power (Q), but also distortion power (D),
can be represented in a three-dimension axis, being the modulus:
25
POWER FACTOR MOTOR CONTROLLERS (Electric Motor)
Inrecentyears,solid-statecontroldeviceshavebeendevelopedthat,whenconnected
betweenapowersourceandanelectricmotormaintainanapproximatelyconstantpower
factoronthemotorsideofthecontroller.Thesedevicesaregenerallycalledpowerfactor
controllers.MostoftheunitsaremadeunderalicenseofU.S.Patent4,052,648issuedtoF.J.
NolaandassignedtoNASA.
Thecontrollervariestheaveragevoltageappliedtothemotorasafunctionofthemotorload
andthusdecreasesthemotorlossesatlight-loadrequirements.
The amount of power saved with a power factor controller depends on the duty cycle of the application.
Thesesolid-statecontrollersgenerallyincludeotherfeaturessuchascurrentlimit,timedacceleration,
phaseunbalance,undervoltage,andoverloadprotection.
Thepowerfactorcontrolfunctionisaccomplishedbysensingthephaseanglebetweenthemotorvoltage
andcurrent.Thissignalisfedbackandcomparedwithareference,andthedifferenceisusedtofeedthe
inputsignalvoltagetothesixSCRsinthepowermodule.
Toapplyapowerfactorcontrollerproperly,theloadcharacteristics,motorcharacteristics,andloadcycle
mustbeknown.Inaddition,onemustdeterminehowthecontroller-motorcombinationwillrespondtothe
loadcycle.Onlythencanthepotentialpowersavingandeconomicpaybackanalysisbemade.
29
Semi-Direct Lighting
Semi-Indirect Lighting
General Lighting
30
31
Highway Lighting
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34
35
GOLKONDA FORT
36
LIGHTING AUDIT
7 Step Lighting Audit
Step 1: Identify the location or area type, such as an office space or warehouse.
Step 2:Determine the fixture type.
Step 3: Record lighting fixture attributes and make notes of any special conditions.
Lighting Audit Checklist: Fill out the fixture information using the “Fixture Sheet”; afterwards you
can use that info to do your calculations (ie. quantity, Input watts, burn hours).
•Quantity
•Watts
•Hours per week each fixture is being used
•Additional notes such as controls, wiring, window skylights, condition of poles, mounting height, special
hours, etc.
Step 4:Calculate your approximate Annual Burn Hours.
Lighting Audit Checklist: fill out the hours, days, and week information; it will automatically calculate
Annual Burn Hours.
Step 5:Determine each fixture’s Kilowatt (kW) rate.
calculate the kW rate.
38
Good Lighting System Design And Practice
Lighting Design Considerations
1.Light Distribution and Brightness
2.Conservation of Energy
3.The Appearance of the Space and
Luminaires
4.Glare
5.The Appearance of Color
6.Lighting Control and Flexibility
7.Lighting of Faces
8.Cost of Implementation
9.Installation
10.Maintenance
39
Good Practices in Lighting
1.Installationofenergyefficientfluorescentlampsinplaceof"Conventional"fluorescentlamps.
Energyefficientlampsarebasedonthehighlysophisticatedtri-phosphorfluorescentpowdertechnology.Theyoffer
excellentcolourrenderingpropertiesinadditiontotheveryhighluminousefficacy.
2.InstallationofCompactFluorescentLamps(CFL's)inplaceofincandescentlamps.
Compact fluorescent lamps are generally considered best for replacement of lower wattage incandescent lamps. These
lamps have efficacy ranging from 55 to 65 lumens/Watt. The average rated lamp life is 10,000 hours, which is 10 times
longer than that of a normal incandescent lamps. CFL's are highly suitable for places such as Living rooms, Hotel lounges,
Bars, Restaurants, Pathways, Building entrances, Corridors, etc.
3.Installationofmetalhalidelampsinplaceofmercury/sodiumvapourlamps.
Metalhalidelampsprovidehighcolorrenderingindexwhencomparedwithmercury&sodiumvapourlamps.These
lampsofferefficientwhitelight.Hence,metalhalideisthechoiceforcolourcriticalapplicationswhere,higher
illuminationlevelsarerequired.Theselampsarehighlysuitableforapplicationssuchasassemblyline,inspectionareas,
paintingshops,etc.Itisrecommendedtoinstallmetalhalidelampswherecolourrenderingismore
critical.
4.InstallationofHighPressureSodiumVapour(HPSV)lampsforapplicationswherecolourrenderingisnot
critical.
Highpressuresodiumvapour(HPSV)lampsoffermoreefficacy.ButthecolourrenderingpropertyofHPSVisverylow.
Hence,itisrecommendedtoinstallHPSVlampsforapplicationssuchstreetlighting,yardlighting,etc.
40
5.Installation of LED panel indicator lamps in place of filament lamps.
Panel indicator lamps are used widely in industries for monitoring, fault indication, signaling,
etc. Conventionally filament lamps are used for the purpose, which has got the following disadvantages:
• High energy consumption (15 W/lamp)
• Failure of lamps is high (Operating life less than 1,000 hours)
• Very sensitive to the voltage fluctuations Recently, the conventional filament lamps are being replaced with Light
Emitting Diodes (LEDs).
6.The LEDs have the following merits over the filament lamps.
• Lesser power consumption (Less than 1 W/lamp)
• Withstand high voltage fluctuation in the power supply.
• Longer operating life (more than 1,00,000 hours)
It is recommended to install LEDs for panel indicator lamps at the design stage.
7.Light distribution
Energyefficiencycannotbeobtainedbymereselectionofmoreefficientlampsalone.Efficientluminairesalongwith
thelampofhighefficacyachievetheoptimumefficiency.Mirror-opticluminaireswithahighoutputratioandbat-
winglightdistributioncansaveenergy.
41
ENERGY INSTRUMENTS
Name of the
Instrument
Intended Use
Wattmeter TomeasuretheelectricPowerofanyelectricalcircuit
Data Loggers Dataloggersareelectronicdeviceswhichautomaticallymonitor
andrecordenvironmentalparametersovertime,allowing
conditionstobemeasured,documented,analysedandvalidated.
DataloggersintheTinytagrangemonitortemperature,relative
humidity,powerusage,carbondioxide,voltage,currentandcount
Thermocouples Thermocouplesareusedinapplicationsthatrangefromhome
appliancestoindustrialprocesses,toelectricpowergeneration,to
furnacemonitoringandcontrol,tofoodandbeverageprocessing,
toautomotivesensors,toaircraftengines,torockets,satellitesand
spacecraft
Pyrometers Apyrometerisaninstrumentthatmeasurestemperatureremotely,
i.e.bymeasuringradiationfromtheobject,withouthavingtobein
contact.
42
Luxmetersareusedformeasuringbrightnessinlux,fcorcd/m².Somelux
metersareequippedwithaninternalmemoryordataloggertorecordand
savemeasurements.Themeasurementoflightintensitywithaluxmeteris
becomingincreasinglyimportantintheworkplaceduetosafetyconcerns.
ClampmeterisoftenknownasTongTesteralso.Itisaneasytousetest
equipmentandisusefulinthemeasurementofalive-conductorwithout
damaging/poweringdownthecircuit.
1.Steel industry--smelter operations, blast furnace, temperature monitoring etc.
2.Power generation --boiler control from water injection, temperature, fuel, steam
flow monitoring etc.
3.Process industries --air flow control, controlling air-fuel ratios etc.
4.Chemical industries--proportion of chemicals .
5.Nuclear power generation plants .
6.Home automation .
7.PLCs in all phases of automated industrializations.
Applications of PLC,s
43
Data Loggers
44
Live-line working for transmission and distribution
Major benefits of live-line working are listed
below:
1.Greater flexibility of maintenance
management
2.Uninterrupted and timely maintenance
3.Increase the reliability of the system
4.Increase the efficiency of the system
5.Optimisethe generation facility
6.Reduce operating and maintenance
costs
7.Increase safety of operation
8.Maintain continuity of service to
customers
9.Reduce planned outage maintenance
10.Escape from regulatory penalty
11.Early attention to system problems
4
What is Depreciation?
An accounting method used to allocate the cost of a tangible or
physicalassetover its useful life.
Assetssuchasmachineryandequipmentareexpensive.Insteadof
realizingtheentirecostofanassetinyearone,companiescanuse
depreciationtospreadoutthecostandmatchdepreciationexpensesto
relatedrevenuesinthesamereportingperiod.Thisallowsacompanyto
writeoffanasset'svalueoveraperiodoftime,notablyitsusefullife
Economic Depreciation?
Economicdepreciationisameasureofthedecreaseinthemarketvalueof
anassetovertimefrominfluentialeconomicfactors.
Thisformofdepreciationusuallypertainstorealestate,whichcanlosevaluefor
severalreasonssuchastheadditionofunfavorableconstructionincloseproximity
toaproperty,roadclosures,adeclineinthequalityofaneighborhood,orother
negativeinfluences.
5
Depreciation Methods
The different methods for calculating depreciation depend on the industry, size,
accounting requirements and type of asset purchased.
1. Straight-line basis
2. Declining balance
3. Double declining balance
4. Units of production
5. Sum-of-the-years' digits
6
1. Straight-line basis
A company purchases furniture worth ₹11,00,000. The salvage value of this furniture
is ₹1,00,000 and has a useful life of 10 years. You can calculate the depreciating
expense as shown below:
•Value of the asset: ₹11,00,000
•Salvage value: ₹1,00,000
•Useful life: 10 years
Depreciating expense = (₹11,00,000 -₹1,00,000)/10 = ₹1,00,000
The company can deduct ₹1,00,000 every year for 10 years.
Alsoknownasthefixedinstalmentmethod,thisisthemostwidelyusedtechniqueto
calculatedepreciation.Thisappliestoassets,suchasvehicles,computers,officefurniture
andofficebuildings.Underthismethod,thedepreciationamountisthesameforeveryfixed
assetforeachaccountingperiod.Belowistheformulatocalculateannualdepreciation
expenseusingthestraight-linebiastechnique.
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4. Units of production
Inunitsofproductiontechnique,abusinesschangesthechargeamountof
depreciationdependingonhowmanytimesitusesanassetovertime.Itconsiders
anasset'spracticaluseintheproductionprocessinsteadofconsideringitsuseful
life.Thisisusefulforassetsthatareusedperunitandexperiencethegreatest
amountofwearandtear,suchascertainpiecesofmachinery.Usingthismethod
canenablecompaniestoshowahigherdepreciationexpenseinyearswithhigher
production,helpingoffsetotherproductioncosts.Belowistheformulaforcalculating
thedepreciationexpense:
Depreciationexpense=(Costoffixedasset-Residualvalue/Estimatedtotal
production)xActualproduction
11
A company purchases a material cutting machine for ₹5,25,000. It has a salvage
value of ₹42,000 and a useful life of 9000 hours.
•Value of asset: ₹5,25,000
•Salvage value: ₹42,000
•Useful life: 9000 hours
Units of production cost per hour = (₹5,25,000 -₹42,000)/9000 =₹53.66 cost per
hour
Depreciation expense = ₹53.66 x 9000 = ₹4,83,000
The machine depreciates by ₹4,83,000 during its useful life.
12
A company purchases a material cutting machine for ₹5,25,000. It has a salvage
value of ₹42,000 and a useful life of 9000 hours.
•Value of asset: ₹5,25,000
•Salvage value: ₹42,000
•Useful life: 9000 hours
Units of production cost per hour = (₹5,25,000 -₹42,000)/9000 =₹53.66 cost per
hour
Depreciation expense = ₹53.66 x 9000 = ₹4,83,000
The machine depreciates by ₹4,83,000 during its useful life.
16
Rate of Return
Therateofreturn,isthenetgainorlossonaninvestmentoveraperiodoftime.Itis
expressedasapercentageoftheprincipaloftheinvestment.Calculatingtherateofreturn
getsthepercentagechangefromthebeginningoftheperiodtotheend.
Formula for Calculating (RoR)
The formula for calculating simple rate of return is as follows:
Arateofreturn(RoR)canbeappliedtoanyinvestmentvehicle,fromrealestatetobonds,stocks,
andfineart.TheRoRworkswithanyassetprovidedtheassetispurchasedatonepointintimeand
producescashflowatsomepointinthefuture.Investmentsareassessedbased,inpart,onpastrates
ofreturn,whichcanbecomparedagainstassetsofthesametypetodeterminewhichinvestmentsare
themostattractive.Manyinvestorsliketopickarequiredrateofreturnbeforemakingan
investmentchoice.
20
Life-Cycle Cost Calculation
After identifying all costs by year and amount and discounting them to present
value, they are added to arrive at total life-cycle costs for each alternative:
LCC=I + Repl—Res + E + W + OM&R + O
LCC=Total LCC in present-value (PV) dollars of a given alternative
I=PV investment costs (if incurred at base date, they need not be discounted)
Repl=PV capital replacement costs
Res=PV residual value (resale value, salvage value) less disposal costs
E=PV of energy costs
W=PV of water costs
OM&R=PV of non-fuel operating, maintenance and repair costs
O=PV of other costs (e.g., contract costs for ESPCs or UESCs)
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NEED FOR EFFICIENT MOTORS
Inthefuture,thecostofenergywillincreaseduetoenvironmentalproblemsand
limitedresources.
Theelectricmotorsconsumeamajorpartoftheelectricenergyinindustries.
Thus,implementingenergyefficientmotorcouldsaveasignificantamountof
electricity.
Itwouldalsoreducetheproductionofgreen-housegasesandpushdownthetotal
environmentalcostofelectricitygeneration.
Also,thesemotorscanreducemaintenancecostsandimproveoperationsin
industry.
Efficientenergyuseisachievedprimarilybymeansofamoreefficienttechnology
orprocessratherthanbychangesinindividualbehavior.
23
WAYS OF IMPROVING EFFICIENCY
The various ways of improving efficiency includes:
a)Reduction of iron losses
b) Reduction of flux density
c) Usage of low loss magnetic material
d) Reduction of stator and rotor copper losses
e) Increasing the copper section i.e., the stator slot area or rotor bar section
f) Increasing stator yoke
g) Reducing rotor diameter
h) Increasing the speed of starting current
i)Reducing the starting torque
ii)j) Increasing core length for maintaining the starting torque
k) Increasing the thickness of the copper wires wound around the core of the motor. This reduces both the
electrical resistance losses in the wires and the temperature at which the motor operates.
l) Using more and thinner high-quality steel sheets for the main fixed and rotating parts of the motor. This
also minimizes electrical losses.
m) Narrowing the air gap between the spinning and stationary motor components, increasing the strength
of its magnetic field. This lets the motor deliver the same output using less power.
24
Payback Method
Thepaybackperiodisthetimerequiredtoearnbacktheamountinvestedinanasset
fromitsnetcashflows.Itisasimplewaytoevaluatetheriskassociatedwithaproposed
project.Aninvestmentwithashorterpaybackperiodisconsideredtobebetter,sincethe
investor'sinitialoutlayisatriskforashorterperiodoftime.Thecalculationusedtoderivethe
paybackperiodiscalledthepaybackmethod.Thepaybackperiodisexpressedinyearsand
fractionsofyears.Forexample,ifacompanyinvests$300,000inanewproductionline,and
theproductionlinethenproducespositivecashflowof$100,000peryear,thenthepayback
periodis3.0years($300,000initialinvestment÷$100,000annualpayback).
The formula for the payback method is simplistic: Divide the cash outlay (which is assumed
to occur entirely at the beginning of the project) by the amount of net cash inflow generated
by the project per year (which is assumed to be the same in every year).
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Payback Method Advantages and Disadvantages
1.Asset life span. If an asset’s useful life expires immediately after it pays back the initial investment, then
there is no opportunity to generate additional cash flows. The payback method does not incorporate any
assumption regarding asset life span.
2.Additional cash flows. The concept does not consider the presence of any additional cash flows that may
arise from an investment in the periods after full payback has been achieved.
3.Cash flow complexity. The formula is too simplistic to account for the multitude of cash flows that actually
arise with a capital investment. For example, cash investments may be required at several stages, such as
cash outlays for periodic upgrades.
4.Profitability. The payback method focuses solely upon the time required to pay back the initial investment; it
does not track the ultimate profitability of a project at all. Thus, the method may indicate that a project having a
short payback but with no overall profitability is a better investment than a project requiring a long-term
payback but having substantial long-term profitability.
5.Time value of money. The method does not take into account the time value of money, where cash
generated in later periods is worth less than cash earned in the current period
6.Individual asset orientation. Many fixed asset purchases are designed to improve the efficiency of a single
operation, which is completely useless if there is a process bottleneck located downstream from that operation
that restricts the ability of the business to generate more output.
7.Incorrect averaging. The denominator of the calculation is based on the average cash flows from the project
over several years -but if the forecasted cash flows are mostly in the part of the forecast furthest in the future,
the calculation will incorrectly yield a payback period that is too soon. The following example illustrates the
problem.
26
Net Present Value
ThenetpresentvalueformulacalculatesNPV,whichisthedifferencebetweenthepresentvalueofcash
inflowsandthepresentvalueofcashoutflows,overaperiodoftime.Netpresentvalue(NPV)determines
thetotalcurrentvalueofallcashflowsgenerated,includingtheinitialcapitalinvestment,byaproject.Letus
studythenetpresentvalueformulausingsolvedexamples.
Thus the formula can be expressed as:
NPV=∑Nn=1Cn(1+r)nNPV=∑n=1NCn(1+r)n
N = Totalnumberof time periods
n=Timeperiod
Cn= Net cash flow at time period
r= Internalrate of return
Present value, PV =cash value at time period(1+rate of return)time period
Net Present Value Formula Rules
Therearecertainsignsthatareusedinthenetpresentvalueformulathatdeterminewhetherthe
investmentisgoodorbad.Theyareasfollows:
NPV>0=Thepresentvalueofmoneycominginismorethanthemoneygoingout.Theinvestmentis
goodsincethemoneyearnedfromtheinvestmentismorethanthemoneyinvested
NPV=0=Whenthemoneyearnedfromtheinvestmentisequaltothemoneyinvested
NPV<0=Themoneyearnedfromtheinvestmentislessthanthemoneyinvested
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Example 1:An investor made an investment of$500 in property and gets back
$570 the next year. If the rate of return is 10%. Calculate the net present value.
Solution:
Given:
Amount invested= $500
Money received after a year = $570
Rate of return = 10% = 0.1
Using net present value formula,
Present value, PV =cash value at time period(1+rate of return)time period cash
value at time period(1+rate of return)time period
PV =$570(1+0.1)1$570(1+0.1)1
PV= $570/1.1
PV = $518.18
Net Present Value = $518.18 − $500.00 = $18.18
Therefore, for10% rate of return,investment has NPV = $18.18.
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Example 2:Sam bought a house for $750,000 and sells it ayearlater for $990,000, after deducting
any realtor's fees and taxes. Calculate net present value, if the rate of return is 5%.
Solution:
Given:
Investment on buying the house= $750,000
Monet received from sale a year later = $990,000
Rate of return = 5% = 0.05
Using net present value formula,
Present value, PV =cash value at time period(1+rate of return)time period cash value at time period(1+rate
of return)time period
PV =$990,000(1+0.05)1$990,000(1+0.05)1
PV= $990,000/1.05
PV = $942,857.143
Net Present Value = $942,857.143 − $750,000= $192,857.143
Therefore, for 5% rate of return,investment has NPV = $192,857.143
29
Economics Of Improving Power Factor
Abetterunderstandingofpowerfactor,harmonics,electricaldistributionsystems,andtheutility’sbilling
practiceswillhelpreduceelectricbills.
Powerfactor(PF)istheratiooftherealpowertoapparentpowerandrepresentshowmuchrealpower
electricalequipmentuses.Itisameasureofhoweffectivelyelectricalpowerisbeingused.Powerfactoris
alsoequaltothecosineofthephaseanglebetweenthevoltageandcurrent.
Addingcapacitorsisgenerallythemosteconomicalwaytoimproveafacility’spowerfactor.Whilethe
currentthroughaninductiveloadlagsthevoltage,currenttoacapacitorleadsthevoltage.Thus,capacitors
serveasaleadingreactivecurrentgeneratortocounterthelaggingreactivecurrentinasystem.
Maintainingahighpowerfactorinafacilitywillyielddirectsavings.Inadditiontoreducingpowerfactor
penaltiesimposedbysomeutilities,theremaybeothereconomicfactorsthat,whenconsideredinwhole,may
leadtotheadditionofpowerfactorcorrectioncapacitorsthatprovideajustifiablereturnoninvestment.Other
savings,suchasdecreaseddistributionlosses,improvedvoltagereduction,andincreasedfacilitycurrent
carryingcapacity,arelessobvious.Thoughreal,oftenthesereductionsyieldlittleincostsavingsandare
relativelysmallincomparisontothesavingstobegainedfromreducingpowerfactorpenalties.
Capacitor bank considerations and associated costs
The selection of the type of capacitor banks and their location has an impact on the cost of capacitor banks.
More difficult than determining the total capacitance required is deciding where the capacitance should be
located. There are several factors to consider, including:
1.Should one large capacitor bank be used, or is it better to add small capacitors at individual loads?
2.Should fixed or automatically switched capacitors be employed?
30
Lighting and Economic Costs
Alightingauditisaninvestigativeprocessthatmeasuresconditionsagainststandardstodeterminewhere
cost-effectivechangescanbemade.Thefirststepisawalk-throughoftheplanttoobservethequantityand
qualityofavailablelight.Problemsarenotedsuchasanareawherelightinglevelsaretoohigh,wherelights
areleftonunnecessarily,orwherefactorsleadingtovisualdiscomfortmayinhibitproductivityorsafety.The
type,quantity,locationandheightoflampsandfixturesarerecorded.Detailedmeasurementsofillumination
levelsaretakenwithaluxmeter,bothattaskareasandforgeneraloveralllighting.
The lighting of an interior should fulfillthree functions. It should :
Ensure the safety of people in the interior
Facilitate performance of visual task
Aid the creation of an appropriate visual environment
For Lighting audit, Lighting requirements are based on following lighting criteria :
Dimensional area i.eLength, Width, Height or CAD drawing or Pdffile of plant
LuxLevel requirement
Existing type of fixtures
Glare restriction
Atmospheric Condition
Colour appearance and colour rendering
31
Life Cycle Cost Analysis
LifeCycleCostAnalysisexaminesandassessesthetotalcostofresourceownership.Itconsidersexpenses
relatedtobuying,maintaining,operating,anddisposingofaprojectoranobject.Itisusedespeciallytoselect
thebestprojectwhenmultipleprojectssatisfythesameperformancerequirementsbutdifferintermsof
operatingcostsandinitialcosts,whichmustcompareforselectingthemethodformaximizationofnet
savings.
Purpose
Thepurposeofthisanalysisistoestimatetheoverallcostofprojectoptionsandthenselectthedesigns
thatcanensurethefacilityprovidestheoveralllowestcostofownershipconsistentwiththefunctionandits
quality.Theanalysisshouldbeperformedearlysothattherewillbechancesofrefiningthedesignto
ensurethereductioninlifecycletotalcost.Themostchallengingassignmentofthisanalysisorany
economicevaluationtechniqueistoascertaintheeconomiceffectsofalternatedesignsofabuilding
systemorbuildingsandquantifytheseeffectsinmonetaryterms.However,theLCCAisusefulforthe
economicimpactoftheoptionsavailableintheindustry.Theprocessinvolvesassessingcostsarisingfrom
thecompany’sassetsovertimeandevaluatingalternativesthatimpactthecostownership.
The basic formula is: LCC = C+PV Recurring –PV Residual Value
Where:
LCC is the life cycle cost
C is the 0-year construction cost
PV recurring is the present value of all recurring cost
PV residual value is the present value ofresidual valueat the end of the project.
32
Life Cycle Cost Analysis Diagram
Thelifecyclecostanalysisdiagramrepresentstheworkingofthewholecycleasitincludesallthenecessary
activitiesforbetterresults.Itshowsthestepwiseprocedureoflifecyclecostandhowitwillimpactthe
businessonalargescale.Itistheeasiestwaytoaccumulatethecostperthespecifiedtime.
Benefits
Following are the benefits of the analysis:
1.It will result in earlier actions for the generation
ofrevenue.
2.Lower costs than other methods or techniques.
3.It shows an accurate and realistic assessment of costs
and revenue within a specified life cycle stage.
4.It promotes long-term worthwhileness..
5.It allows total incremental costs over the whole period.
Following are the benefits of the analysis:
6.It will provide management awareness of the resources
required to be purchased and the drive cost. It will result
in earlier actions for the generation of revenue.
7.This technique will focus on the cost and other factors
like the quality of goods and the services that must be
provided.
33
Disadvantages
Time-Consuming:This analysis is way too long because of changes in the new technology with
future stability.
Costly:The longer project means a long-time duration which makes it more costly than other
methods.
Technologically Outdated:As technology changes today, it provides the possibility of outdated
technology.
Less Reliable:It is not a reliable method for facts and figures because the companies assume
some data to calculate life cycle costs.
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Return on Investment (ROI)
In business, your investments are the resources you put into improving your company, like time and
money. The return is the profit you make as a result of your investments.
ROI is generally defined as the ratio of net profit over the total cost of the investment.
ROI is most useful to yourbusiness goalswhen it refers to something concrete and measurable, to identify
your investment's gains and financial returns. Analyzing investments in terms of monetary cost is the most
popular method because it’s the easiest to quantify, although it’s also possible to calculate ROI using time as
an investment.
The ROI metric or ROI figure is also applied across different types of investments and industries: return on
equity, return on ad spend, return on assets, social return on investment, etc.
How to calculate ROI
ROI is calculated as the net profit during a certain time divided by the cost of investment, which is then
multiplied by 100 to express the ratio as a percentage.
The equation looks like this: ROI = (Net Profit / Investment) x 100
The value of net profit should be taken from your company’s profit and loss (P&L) statement.
Why is ROI important?
CalculatinganROIcanhelpyouunderstandhowaninvestmentdirectlycontributestoyourbusiness.This
isausefultoolforevaluatingyourpastbusinessdecisionsandinformingfutureones.Youcanalsouse
informationfromROIcalculationstocomparenewbusinessopportunitiesanddecidewhichtopursue.
Ifacertainkindofinvestmentreturnsahighnetprofit,youcanfocusmoretimeandenergyonsimilar
investments.Investmentsthatdon’tgenerateenoughprofittocovertheircostscanindicatethatyoushould
tryanewstrategyorinvestinadifferentareaofyourbusiness