In the context of the nation's vigorous transformation of industry, especially heavy industry, energy conservation and efficiency improvement have become the only way for industrial enterprises to improve economic efficiency and even survive. Energy conservation and efficiency improvement, as the name suggests, means improving resource utilization while conserving resources. So, how can industrial enterprises implement energy conservation and efficiency improvement to maximize their profits?
In addition to upgrading production equipment, comprehensive resource management is essential for industrial enterprises to achieve energy conservation and efficiency improvement. Siemens, as an industrial energy management expert, paves the way for cost-effective industrial energy-saving transformation through its systematic energy management approach—identification, assessment, and implementation.
(I) Steel Industry:
The steel industry has provided strong support for my country's rapid development, but it has also received negative environmental criticism. As the industry with the highest energy consumption in my country, it accounts for about 16% of the country's total energy consumption, with sintering machines consuming a huge amount of energy. Siemens has achieved remarkable results in retrofitting sintering machines in the steel industry using its frequency converters and motors.
Taiyuan Iron and Steel Plant
Whether for high-tech needs or everyday consumer demands, Taiyuan Iron & Steel's stainless steel products play a crucial role. Therefore, its sintering process is of paramount importance.
The No. 4 sintering machine at Taiyuan Iron & Steel Group (TISCO), with an area exceeding 600 square meters, utilizes two sets of Siemens Robicon high-voltage frequency converters and high-voltage motors. In this large stainless steel enterprise, the concept of time is interpreted as a race against time in both energy conservation and production. The feeling that time and energy efficiency can be "magically" interchangeable is particularly strong. One large frequency converter can save 5,000 kWh of electricity per hour, and two large frequency converters can save 240,000 kWh per day. Based on a self-supplied electricity price of 0.4 yuan/kWh, this translates to annual electricity savings of over 30 million yuan, recovering the equipment cost in just 18 months, and achieving an energy saving rate of up to 40%. This transforms the initial equipment investment into a successful strategic technological innovation.
Longmen Steel Plant
After more than 20 years of long-term cooperation, Siemens has developed a complete solution based on the actual situation of Longgang Steel. The solution is valued on a time basis, with both parties sharing the energy-saving benefits of the frequency conversion retrofit of the sintering machine for a period of 6 years.
Siemens and Longgang have adopted an energy-saving benefit-sharing business model. Its innovation lies in the fact that Siemens initially provides the frequency converter equipment for the sintering blower, without Longgang incurring any cost. For a six-year period, Siemens and Longgang will share the energy-saving benefits proportionally from the electricity cost savings of the sintering blower each year, using the savings to repay Siemens' equipment costs. At the end of the six-year period, not only will the equipment belong to Longgang, but Siemens will also withdraw from the sharing, and all subsequent revenue generated from the energy savings of the blower will belong entirely to Longgang.
This model effectively alleviated the dual pressures on Longgang Steel, both economically and environmentally, with remarkable results. According to measured energy-saving indicators, the monthly energy saving rate of approximately 16.1% consistently exceeded contractual expectations. Based on this calculation, Siemens will help Longgang Steel save 15,800 tons of standard coal annually, equivalent to 710 kilowatt-hours, or 30,000 kilowatt-hours per day, 9 million kilowatt-hours per year, and over 50 million kilowatt-hours per six years. Through its cooperation with Siemens, Longgang Steel has found the optimal balance between environmental and economic benefits in energy conservation.
Shanghai Baosteel Ironmaking Plant
Baosteel's ironmaking plant has adopted Siemens 800kW/3kV harmonic-free frequency converters for its dry quenching coke circulating fans, replacing the original mechanical damper control method. After the upgrade, the fans' power consumption was reduced by 49% compared to before, resulting in an annual cost reduction of 2.07 million yuan. The entire investment in the project can be recovered in less than two years.
The steel industry has provided strong support for my country's rapid development. Although the industry consumes a huge amount of energy, reasonable energy-saving renovations can significantly increase output, accelerate my country's technological development and infrastructure construction, and minimize the burden on resources. On the other hand, the cement industry is particularly serious in terms of environmental pollution.
(II) Cement Industry:
As the world's largest cement producer, China faces severe air pollution from its cement industry. Gu Beibei, Senior Project Manager at the Institute of Public and Environmental Affairs, told the media that the cement industry accounts for approximately 10% to 12% of the nation's total nitrogen oxide emissions, making it the third largest source of emissions after thermal power plants and motor vehicles. Nitrogen oxides, as a major precursor to air pollutants, have a direct impact on the formation of smog. Furthermore, in the cement industry, wind turbines account for an increasingly large proportion of total electricity consumption, approximately 30% to 40% of the plant's total power consumption. Faced with this serious situation, Siemens, through its Energy Performance Contracting (EPC) model, has undertaken a variable frequency drive (VFD) retrofit project for wind turbines in the cement industry, striving to address the environmental pollution and high energy consumption issues faced by these companies.
Inner Mongolia Wulan Cement Group:
The Inner Mongolia Wulan Cement Energy Saving Project is the first energy performance contracting project undertaken by Siemens (China) Co., Ltd. Southern International Leasing Co., Ltd. provided funding to Inner Mongolia Wulan Cement Group, while Siemens provided energy audits, energy-saving technologies, and engineering services to carry out energy-saving renovations for Inner Mongolia Wulan Cement Group. Inner Mongolia Wulan Cement then repaid Southern Leasing's investment through the energy-saving benefits. The project utilized 16 Siemens MasterDrive frequency converters to upgrade 16 kiln head and kiln tail fans on three production lines, with a total power of 1312kW. The upgrade was completed in 2007. Measurements showed an annual electricity saving of 3.68 million kWh compared to before the upgrade, achieving an energy saving rate of over 35%. This electricity saving of 3.68 million kWh is equivalent to the energy efficiency of approximately 1269 tons of standard coal per year. Based on local industrial electricity prices, this translates to annual electricity cost savings of 1.84 million yuan for the client.
Shaanxi Qinling Cement Group:
The Shaanxi Qinling Cement Energy Saving Project is an Energy Performance Contracting (EPC) project undertaken by a Siemens systems integrator. The initial investment will be recouped through energy savings. The 1250kW harmonic-free frequency converter provided by Siemens is used in the high-temperature fan at the kiln tail, achieving an energy saving rate of over 28% and annual electricity savings of 1.4 million yuan.
Taiwan Cement (Yingde) (Guigang) Co., Ltd.:
The high-voltage frequency conversion upgrade of the large fans in the cement clinker production line of Taiwan Cement (Yingde) (Guigang) Co., Ltd. is one of Siemens' important energy-saving renovation projects. Siemens provides customers with a guarantee of energy-saving effect. It involves the installation, commissioning and use of 24 sets of Siemens-Robincon perfect harmonic-free high-voltage frequency converters, with a total power of more than 60 megawatts.
Final testing and acceptance showed that Siemens products achieved an average energy saving rate of over 22% for customers. Customers' initial investment was fully recovered in less than 14 months; simultaneously, the unit energy cost was reduced by 3%, significantly enhancing customers' competitiveness in the market.
Through Siemens' energy-saving renovations, the industry has effectively improved its energy efficiency, not only meeting the requirements of the "12th Five-Year Plan," but also increasing cement production to some extent and reducing the burden on the environment.
(III) Port Industry:
The port industry has always been highly valued by the state and involves the communication and exchange of goods between countries. Therefore, the development of the port industry cannot be underestimated. However, with economic development and the continuous depletion of social energy resources, the high-energy-consuming equipment in the port industry is facing obsolescence. In particular, in recent years, the advocacy of green, energy-saving, and efficiency-enhancing technologies has been continuously strengthened, so the port industry is also facing the issue of transforming itself to save energy consumption and increase work efficiency.
The effect achieved by the port gantry crane after adopting Siemens' customized ECO-RTG system technology:
The ECO-RTG system brings numerous benefits to port users, not only saving significant fuel costs but also drastically reducing exhaust fumes emitted by gantry cranes during operation, thus significantly improving the surrounding environmental quality. Furthermore, it effectively reduces the loud noise generated by diesel engines, restoring a quiet working environment. Siemens' ECO-RTG technology has revolutionized the port industry, contributing to environmental improvement and elevating its own development, propelling the port sector forward significantly.
(iv) Beverage industry:
The beverage industry, one of China's fastest-growing sectors, has seen an average annual growth rate of nearly 20%. In 2009, beverage production reached 80.86 million tons, nearly 400 times the output in 1978. During the 11th Five-Year Plan period, the beverage industry flourished, with significant increases in output and other aspects, and competition was mainly low-level, focusing on price. The 12th Five-Year Plan, however, set targets for energy conservation, emission reduction, and environmental protection, aiming to reduce costs, gradually transform into energy-friendly enterprises, and achieve sustainable development. The 12th Five-Year Plan stipulates the following regarding energy consumption: the average energy consumption per ton of major beverage products should be reduced by 15% compared to 2009, CO2 emissions should be reduced by 10% compared to 2010, and the comprehensive utilization rate of waste residue should be increased to 90% by 2015.
PepsiCo Chongqing Bottling Plant B.Data Energy Management System:
This system enables comprehensive energy monitoring of the factory's electricity, gas, water, air conditioning, and lighting systems. In terms of time, it provides precise monitoring down to key periods such as annual, quarterly, monthly, weekly, and daily data, clearly presenting the relationship between energy consumption and work performance at each stage, and integrating it with performance evaluations for individual units and even individuals. This system truly achieves refined and comprehensive energy management, effectively implementing energy conservation and consumption reduction. Through on-site monitoring and metering of water, electricity, gas, and oil, it performs performance evaluations and statistics by department and time period, categorizing and statistically analyzing the consumption and costs of various energy types, publishing real-time energy consumption data to the company's intranet web, and generating various reports, curves, and charts for factory managers to use in decision-making.
After installing the system, PepsiCo's Chongqing bottling plant significantly reduced energy consumption at every stage, truly achieving energy conservation and efficiency improvement.
In areas such as energy-saving drive solutions, automation technologies and related services, Siemens’ end-to-end product portfolio has significantly improved the company’s energy efficiency and productivity, ensuring its strong competitive advantage.
For more case studies, please visit the Siemens Energy Efficiency website:
http://www.industry.siemens.com.cn/topics/cn/zh/energy-efficient-production/references-calculation-examples/Pages/showcase.aspx#content
