Managing rising energy costs

The Climate change levy changed on 6 April 2013 to enable discounts of 90% for energy intensive industry users achieving their energy saving targets.  According to the Carbon Trust, running motors and drives uses almost two thirds of the electricity consumed by UK industry.  Altivar 61 variable speed drives were developed by Schneider Electric to significantly reduce the energy used for the fans and pump motor applications

The Influence of Government

Since 2001 all businesses in the UK have been subject to the Climate Change Levy (CCL). It is essentially a carbon tax that adds around 15% to the energy bills of all businesses and public sector organisations.

Climate Change Agreements (CCAs) allow eligible energy-intensive businesses to receive up to a 65% discount from the Climate Change Levy (CCL) in return for meeting energy efficiency or carbon-saving targets. The discount for electricity will increase to 90% from April 2013.

The eligible energy intensive industries are aluminium; cement; ceramics; chemicals; food and drink; foundries; glass; non-ferrous metals; paper; steel; agriculture and others meeting the government criteria of:

– Energy intensity (EI) must be 3% or more (i.e. energy costs must be 3% or more of the production value for the sector)

– The industry import penetration ratio must be 50% or more – this ratio is calculated for the sector as a whole to determine its exposure to international competition

Building owners and facility managers are continually looking for ways to save energy and money. Environmental regulations and the awareness green buildings have led to retrofit projects that achieve energy efficiency to benefit the building owner and occupants. Since HVAC systems in particular are huge energy consumers, highly efficient systems offer the opportunity for great energy savings.

The Role of Variable Speed Drives in HVAC Systems

Using variable speed drives within HVAC systems provides improved energy-efficiency and cost-savings. Most HVAC systems are designed with the capacity to keep the building cool on the hottest days and warm on the coldest days. This means the system needs to work at full capacity for about 10% of the year. On the other days, the HVAC system can operate at a reduced capacity.

By installing variable speed drives the air flow can be matched to the actual heating and cooling demands. By reducing motor speed when full flow is not required, electrical energy consumption is significantly reduced.