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Business Opportunities in Energy Efficiency: Industrial sector Energy Efficiency Forum 2011, 10 October, 2011 Girish Sethi TERI, India
Business Opportunities in Energy Efficiency:
Industrial sector
Energy Efficiency Forum 2011, 10 October, 2011
Girish Sethi
TERI, India
Sector-wise energy consumption
Unit : mtoe , Source: TEDDY 2010
Industry- Energy Consumption Pattern
• Accounts for half of the total commercial energy
consumption
• More than 50% of the total energy consumption by
seven large sectors
• Parallel existence of newer state-of-the-art plants and
older technologically obsolete plants
– Existence of a band-width in terms of SEC across sub-sectors
• Other energy intensive sectors in small scale
• Generally believed that there exists 15-20% energy
conservation potential
National Mission on Enhanced Energy
Efficiency (NMEEE)
Example: Large Industries
Source: FAI
Benchmarking Energy Efficiency of
Indian Ammonia Plants
Source: FAI
Adoption of energy
efficient
technologies
Sector-specific
technologies
Fuel switch
options
Recycling and use
of secondary
materials
Cross-cutting
technologies
Large industries
Cement
Fertilizer
Iron & steel
Textiles
Pulp & Paper
Aluminum
Others
Small scale industries
Foundry & forging
Glass & ceramic
Brick making
Brassware
Food processing
Others
Cross-cutting technologies
Boilers
Pumps & blowers
Compressors
HVAC
Lighting
Use of ICT
solutions like plant
automation &
process control
Others
Energy conservation options – Broad categorization
Need to focus on other sectors also….
Two Examples ..
An extremely important segment of the
Indian economy
26 million SME units
Responsible for 40 % of India’s total exports
Accounts for 45% of manufacturing output
Provides employment for > 60 million
people
Inefficient production processes providing
large opportunities for energy conservation
Nearly 400 manufacturing clusters
Around 180 clusters having medium to high
energy saving potential
# 1: Indian SME Sector
Foundry
Forging
Ceramics (tiles & pottery)
Bricks & tiles
Glass
Textile
Metallurgical industries (brass, aluminum ,..)
Dairy
Pulp & paper
Food processing including cold storages
Chemicals, dyes and intermediate products
Energy Intensive SME sectors
TERI’s intervention in glass cluster: • Industry cluster located 250 km from Delhi • Reduction in energy consumption by up to 30% • Nearly 75 glass melting furnaces shifted to energy
efficient design of TERI • Cumulative energy savings: 80,000 toe
Pot furnace
Coal fired Gas fired
Case study : Firozabad small scale glass industry cluster
Municipal water pumping:
• Public Water Works in India estimated to consume around 12000 MUs of electricity annually.
• Municipalities occupied with routine water supply issues only; energy efficiency not a major issue
Agricultural water pumping:
• Share of electricity consumption in agricultural sector ~ 20%
• Electricity prices for agriculture sector highly subsidized
Farmers not much bothered about efficiency
• Most of ground water pumped using electrical water pumps of small capacity
Estimated 15 million electric pump sets and 6 million diesel pump sets
#2 : Water Pumping
1) Opportunities for energy efficiency exist in all industry sectors
2) Need to focus on other sectors/areas also – apart from large industries
3) Need to develop sector specific implementation models with close involvement of various stakeholders • For agricultural pump sets, need for a focused
approach (pump cluster innovation centers for pump manufacturing clusters in Southern and Western India)
• For energy intensive SME sectors - Technology development and adaptation to suit local needs extremely critical
4) Other related challenges to be addressed include finance and an enabling institutional mechanism
Conclusions
