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© ABB GroupFebruary 1, 2013 | Slide 1
Jouko Karjalainen, 31.01.2013
cpmPlus Energy Manager
© ABB GroupFebruary 1, 2013 | Slide 2
Why is Energy Management essential?
Focus in sustainablemanufacturing
Energy is a major productioncost item in many processindustries(1)
In pulp & paper industryapproximately 10% ofproduction cost
In mining industry 15%
In cement industry 30 %
In steel industry even 50%
Experience shows thatEnergy savings up from 10% to25% can be reached byvarious actions (2)
(1) Based on geographical area(2) Source: ARC Best Practices for Energy Management report, Jan. 2009
Derived from EIA, International EnergyStatistics database (as of November 2009),web site www.eia.gov/emeu/international.Projections: EIA, World Energy ProjectionSystem Plus (2010).
0
10
20
30
40
2007 2015 2020 2025 2030 2035
Nuclear
Renewables
Natural gas
Coal
Liquids
World electricity generation by fuel, 2007-2035trillion kilowatthours
© ABB GroupFebruary 1, 2013 | Slide 3
Implementation of Energy Management Strategy
Strategy, Policy and Targets
Targeted Initiatives
Progress & Results
A successfulEnergy Management strategy
must be initiated and supportedfrom the top down
Market Analysis
© ABB GroupFebruary 1, 2013 | Slide 5
What is cpmPlus Energy Manager ?
A software package for
Large energy consumers in allindustries
A software package that allows you to:
• Monitoring energy usage at Plant and Processlevel with real-time visual displays and dataMonitor
• Identify best performance of process areas andopportunities for improvementIdentify
• Report energy consumption patterns of processareas and production linesReport
• Analyze inefficiencies in Plant and process areasAnalyze• Alarm capabilities - enable corrective measures
to be taken immediatelyAlarm• Forecast energy consumption schedules for
process areas based on production plansForecast• Optimization environment to design and
implement complete energy optimization modelsOptimize
• Monitoring energy usage at Plant and Processlevel with real-time visual displays and dataMonitor
• Identify best performance of process areas andopportunities for improvementIdentify
• Report energy consumption patterns of processareas and production linesReport
• Analyze inefficiencies in Plant and process areasAnalyze• Alarm capabilities - enable corrective measures
to be taken immediatelyAlarm• Forecast energy consumption schedules for
process areas based on production plansForecast• Optimization environment to design and
implement complete energy optimization modelsOptimize
© ABB GroupFebruary 1, 2013 | Slide 6
Module1 = Energy Monitoring and Targetingdecreasing energy consumption
Module 2 = Energy Demand Planningreducing energy purchase costs
Module 3 = Energy Optimizationoptimizing energy mix and time of use
cpmPlus Energy Manager is a Modular PackageEasy and seamless scalability from Modules 1-3
Energy Monitoring and Targeting
Start with monitoring and reportingagainst targets
Energy Demand Planning andWhat-if scenarios
Energy demand planning andsensitivity analysis
Energy Optimization
Comprehensive optimization ofenergy demand and supply
800xAIntegration
OPCIntegration
cpmPlus History
Database
cpmPlus Clients
User interface
1 2 3
Prod PlanIntegration
© ABB GroupFebruary 1, 2013 | Slide 7
Monitoring & Targeting (Module 1)Functionality
• Understanding operation at Plant andProcess level
Monitor, Target andReport measured
energy consumption
• Identify best performance of processareas from past history to set targetsfor energy consumption
Monitoring energyefficiency and energy
costs
• Monitor peak load, powerconsumption and actual consumptionv targets
Power Monitoring
• Analyze and Report energyconsumption patterns of processareas and production lines
Analysis and Reporting
• Alarm capabilities with several alarmtypes, e.g., deviation from target,equipment running idle, high limit etc.
Alarms to alertoperators to take action
© ABB GroupFebruary 1, 2013 | Slide 8
Monitoring & Targeting (Module 1)Benefits
1. Accurate Performance MonitoringPlant level and Process level
2. Highlight improvement areas allowing corrective action
3. Improve energy efficiency and energy consumption
4. Increase profitability by 10-15%
© ABB GroupFebruary 1, 2013 | Slide 9
Main Dashboard - Plant OverviewActual current energy performance v target values
KPI includingtarget
Trend display forthe indicator
Baseline, Currentvalue and Targetfor the selectedtime level
Title of the display
D
Navigation matrix: Columns represent different type of displays to be activated. Rows representprocess areas. The selection is shown by highlighting. Color of the traffic light next to process areaindicates deviation from the target. Navigation within the process hierarchy is possible.
© ABB GroupFebruary 1, 2013 | Slide 10
Monitoring & Targeting (Module 1)Sub-process analysis
The key is to be able toaccurately predict theelectricity consumptionbased on real time data
Accurate electricity plansreduce demand chargesand lower penalties
Improvement of 10% inelectricity plan accuracyresults in 1% savings inelectricity costs
© ABB GroupFebruary 1, 2013 | Slide 11
Monitoring & Targeting (Module 1)Display template hierarchy
Main overview
Energy overviewEnergy efficiency trend Subprocess overview
Target setting AnalysisReport
Allows drill-down toProcess area forspecific details, e.g,
Energy efficiency
Targets, Settings
Analysis and Reports
© ABB GroupFebruary 1, 2013 | Slide 12
Monitoring & Targeting (Module 1) - Energy Overview
You canselect whichenergy formyou want todisplay, or
Total
You can select whether you want to display Energies, Costs,CO2 or SEC
Trend selection: Periodic shows periodicalvalues. Cumulative shows sum from the
beginning of the time selection
The losses are shownhere divided into two
parts: operationallosses and partial load
losses.
This graph shows theselected year and previous
year values for Energy,Costs, CO2 or SEC
(depending on what isselected above)
Time level selection. You canselect the time level and
navigate. In this example oneWEEK is selected
Monitoring & Targeting (Module 1) - Analysis
© ABB GroupFebruary 1, 2013 | Slide 13
© ABB GroupFebruary 1, 2013 | Slide 14
Increase Profitability
Monitoring & Targeting (Module 1) - Summary
Accurately Monitor & Target the Plant’soverall operations in real-time
Identify the inefficient operational areaswithin the Plant
Empower Plant operators to take correctiveaction based on high-grade data
Maximize operational efficiency
© ABB GroupFebruary 1, 2013 | Slide 15
cpmPlus Energy ManagerEnergy Load Planning (Module 2)
Calculation of predicted energyconsumption patterns for eachconsumer
Accumulation of consumer specificconsumption patterns into total facilityconsumption
Can predict up to 5 separate utilities perconsumer, e.g. consumption of electricpower, steam, gas, water, oil
Prediction methods include productiontype dependent profiles, productioncycle dependent profiles, timedependent profiles, self-adaptiveprofiles, and constant loads
Standard interface to ProductionPlanning systems
© AB B G rou pA pri l 2 7 , 2 0 10 | S l i de 1 2
E xa m p le: B en e fits o f A c c u r ate P la n n ing & M on ito r in g
4 0$ /M W h1 00 M WD a y-a hea d
P o w e r [M W ]
S u rpl u sp o w e r t ot h e g ri do p er at o r:3 0$ /M W h
M e as u re dc on s um pt io n :92 M W
C as e 1P o w e r [ M W ]
D ef ic it p ow erf r o m t h e g r i do p era to r:5 0$ / M W h
M eas u re dcon s um pt io n:10 8M W
C as e 2
A v era g e p r ice :40 .8 7 $/M W h
A v er a g e p r ice :4 0.74 $ /M W h
P o w e r [M W ]
M ea s ur edc o nsum p tion :9 9M W
A ve r ag e p ric e:40 .1 0$ / M W h
I d ea l S i tu a ti o n
S u rp lu sp o w er tot he g rido p era to r :30 $ /M W h
© ABB GroupFebruary 1, 2013 | Slide 16
Load Forecasting (Module 2)Minimizing Electricity Purchase Costs
40$/MWh
100MW
Day-ahead
Power [MW]
Surpluspower tothe gridoperator:30$/MWh
Measuredconsumption:92MW
Case 1Power [MW]
Deficit powerfrom the gridoperator:50$/MWh
Measuredconsumption:108MW
Case 2
Average price:40.87$/MWh
Average price:40.74$/MWh
Power [MW]
Measuredconsumption:99MW
Average price:40.10$/MWh
Ideal Situation
Surpluspower tothe gridoperator:30$/MWhAnnual savings
~600.000$= 2% of total electricity costs
Annual savings~600.000$
= 2% of total electricity costs
© ABB GroupFebruary 1, 2013 | Slide 17
Energy Supply Planning and Optimization (Module 3)
Optimize the schedule of availablesupply resources to meet plannedenergy consumption - at minimum totalcost - in real-time
Optimization of running schedules forselected consumers based on minimumenergy cost and given restrictions
Optimization utilizes a real-time LP/MIPoptimization environment and EconomicFlow Network
Energy process is divided into logicalsub-processes, which are connected toeach other through a flow network
Optimizes the complete energy flownetwork in real-time when any of theinput parameters change
© ABB GroupFebruary 1, 2013 | Slide 18
Energy Supply Planning and Optimization (Module 3)Planning Electricity Use and Generation is Essential
Motivation
Scheduling and optimization of power generation capacity
Benefits for Power Companies:
More stable power grid
Less spinning and fast reserves
Regulating less expensive
Less CO2 emissions
Operating on optimal efficiency
Benefits for Consumers:
More stable power grid
Unit price of electricity is lower
Less penalties
Improved energy efficiency
© ABB GroupFebruary 1, 2013 | Slide 19
cpmPlus Energy ManagerSummary
A software package that allows you to:
Establish targets for energy usage
Monitor and report energy usage and efficiency against targets
Predict energy demand based on production data
Balance energy usage against purchased energy commitment
Optimize energy usage, production and procurement
Benefits
Improve energy efficiency, reduce energy costs and carbonfootprint
Purchase or produce your energy at the lowest market price
Optimize the use of alternative energy sources
Improve energy cost consciousness
Support energy improvement projects
cpmPlus Energy Manager is winner of the 2010 Control Engineering “Engineers Choice” Award for bestsoftware package in the Energy Dashboard category
© ABB GroupFebruary 1, 2013 | Slide 20
Return On Investment
Case - Steel MillPrice Consumption
MW price €MWh savings savings Annual use,h Total savings - year
1 40 1% 1% 8000 640010 40 1% 1% 8000 64000
100 40 1% 1% 8000 640000
Price and Consumption savings here are 1% each - can be up to 5 %.Many Steel Mills use more than 100 MWPrice Savings = accurate forecasting / avoiding peaks + penaltiesConsumption savings = accurate monitoring of where and how muchelectricity is consumed / load planning and optimization
cpmPlus Energy Manager reference systemsMill wide and corporate wide installations
© ABB GroupFebruary 1, 2013 | Slide 21
Proven solution with references in
Pulp & paper mills, board mills
Steel mills
Mining sites
Power utilities
Oil refinery
Water processing site
Proven corporate wide installations
UPM-Kymmene
Mayr-Melnholf
Public Works and GovernmentServices Canada
© ABB GroupFebruary 1, 2013 | Slide 22
UPM Corporate wide Energy ManagementCorporate-wide energy management network
20 TWh/y total electricenergy procurement
17 Mill systems and twocorporate centers
Energy procurement andproduction planning,real-time monitoring andreporting on mill andcorporate level
UPM-Kymmene is the third biggest forestindustry company in the world, and the leading
manufacturer of magazine papers.
Reductions in carbon dioxide and sulphur dioxideemissions
© ABB GroupFebruary 1, 2013 | Slide 23©
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PVO-Pool, Finland
Operating a 3.4GWpowerportfolio including
21 thermal powerplants
2 nuclear units
12 hydro stations
5 wind powerstations
Approximately 25%of total electricityproduction in Finland
Energy management for PVO Power Utility
Pohjolan Voima (PVO) is a privately owned group of companies in the energy sector, which produceselectricity and heat at cost for its shareholders in Finland. The Group also develops and maintains technologyand services in its sector. PVO-Pool Oy, a subsidiary of Pohjolan Voima Oy, is responsible for the optimalpower procurement and the related electricity trade for Pohjolan Voima Group.” (www.pvo.fi)
© ABB GroupFebruary 1, 2013 | Slide 24©
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PVO-Pool, Finland, continued
Transactions on the Nordic power market (Nord Pool)
Invoicing to power plants, shareholders, customers
Balance settlement and continuous power balance
Covers many of Finnish power grid and electricitymarket participants
Dynamic calculation and reporting for highperformance and availability (redundant systemconfiguration)
Energy management for PVO Power Utility
© ABB GroupFebruary 1, 2013 | Slide 25
2008
Consumption forecasting for steel mills,Lux railways, etc.
Electric Arc Furnace Load management forpeak shaving
Power Monitoring to predict peaks inload demandEAF load control to avoid crossingcontract limitsCommunication links to 3 steel millsto control EAF “traffic lights”
2010
Additional functions to support planning andoperation of power procurement, including :
Managing of power interruptrequests
Mill level functions for consumptionand interrupt monitoring
2011
Extended to France
Sotel, Luxembourg/Belgium/France - Arcelor MittalLoad management to limit peak demand
LKAB Sweden
© ABB GroupFebruary 1, 2013 | Slide 26
© ABB GroupFebruary 1, 2013 | Slide 27
LKAB: Energy ManagementWorld’s largest underground iron-ore Mine
Consumes 2 % of totalelectricity in Sweden
1 x HQ, 3 x Mines and2 x Harbours
Energy monitoring, targetingand reporting
Energy load planning (future)
Increase energy and operational efficiency
Reduce energy consumption
Reduce carbon dioxide and sulphur dioxide emissions
Typical investment payback time ~ months
© ABB GroupFebruary 1, 2013 | Slide 28