Decarbonisation Technology – August 2021

Optimal energy and emissions management during energy transition When companies manage energy provision and consumption in real-time, it is possible to significantly reduce total energy use and optimise operations

Juan Ruiz and Carlos Ruiz KBC Advanced Technologies, Inc.

T he energy landscape is evolving. Energy costs are fluctuating widely, and global concern to reduce greenhouse gas (GHG) emissions grows stronger. Traditional energy sources, such as coal, have declined in importance, while supplies from natural gas and renewables are consistently growing. Additionally, the COVID-19 pandemic impacted consumption patterns, resulting in drastic price changes for oil and petroleum-derived products. While expectations are that overall consumption will recover in 2021, traditional fuels may never return to their previous price levels. At the same time, competing renewable options expand while their costs decrease. Adding to the complexity of this environment, hourly or sub-hourly changes of power market prices are becoming very common worldwide. Manufacturers are aware of energy’s role in overall costs and emissions. As a result,

they put in significant effort to better manage their energy systems. For large-scale process plants, energy normally accounts for 50% of operating expenses. Consequently, an energy use reduction of 10% can often improve margins by 5%. As companies seek to boost profits and reduce emissions, energy optimisation is naturally one of the first places to look. When companies manage energy provision and consumption in real-time, it is possible to significantly reduce total energy use with just a few actions. Area by area, a site can quickly make operational changes to improve efficiency and reduce consumption and emissions. On the other hand, large-scale improvement projects, such as installing a new cogeneration system, need careful examination for cost/benefit potential. Process plants, manufacturing sites, and communities need to consider what is the best way

From… Predominantly centralised Hydrocarbon sourced generation

To… Decentralized

Consumer Producer Prosumer

Lower CO 2 emission generation, transportation, storage and use

Commercial building

Solar PV power plant

House

Factory

Storage

House with domestic CHP

Wind power plant

Storage

House

Factory

H 2

House

Storage

Commercial building

Local CHP Plant

Figure 1 Optimal energy management for the current energy systems operation and after the energy transition