Improving energy efficiency in electric

systems in oil refineries:

Economical and Environmental Evaluation

Dr. Eng. / Lamiaa Abdallah (AIET)

Dr. Eng. / Tarek ElShennawy (ANRPC)
Agenda
 Introduction to Energy Efficiency Concept.
 Benefits and Barriers of Energy Efficiency
 Work Motivation & Case Study
 Opportunity (1): Electrical Motors
 Opportunity (2): Lighting Systems
 Opportunity (3): Solar Systems
 Conclusions & Recommendations.
Petroleum Sector Modernization Program
Costs of Poor Energy Efficiency

- Need to build more and more power

generation plants to supply increasing loads.
- Increased demand for fuels.
- Increased demand for foreign currency.
- Environmental impacts.
- Increased energy prices each year.
- Industries lose competitiveness.
Benefits of Energy Efficiency
• Energy savings = Money saving.
• Ability to increase production without
requiring additional (and possibly constrained)
energy supply.
• Improved operation control.
• Increased competitiveness.
• Reduces risk/exposure to rising energy prices.
• CO2 emission reduction (0.5 kg of CO2 not
emitted to the environment for each 1 kWh of
energy saved).
Barriers for Energy Efficiency in Industries
 Energy efficiency has always been a low priority of
industry due to relatively low energy prices supported
by subsidies.
 the capital cost (initial or purchase cost) is the main
factor when purchasing new equipment.
 Main concern for top management is production rates.
 There is no national Minimum Energy Performance
Standards (MEPS) that mandate that new or replaced
equipment shall be of minimum efficiency.
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 Aim of the Work & Case Study
• Present some energy efficiency opportunities
related to electrical systems, and the barriers that
face energy teams when implementing these
opportunities.
• These opportunities are evaluated both
economically and environmentally to support the
decision maker.
• Alexandria National Refining & Petrochemicals Co.
(ANRPC) is a refinery in Alexandria, that is
considered as a case study for implementing some of
these opportunities.
Main Data
 Annual Production is in the range of 1.6 Million Ton
of Gazoline 92 (~ 40% of Egypt’s consumption).
 Annual Products are in the range of 10 Billion L.E.
 Annual Profits are in the range of 600 Million L.E.
 Energy Costs are in the range of 300 Million L.E.
(150 Million L.E. for Electricity & 150 Million L.E.
for Natural Gas).
 Even an energy saving as low as 10% will be worthy.

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Electrical Data

 90% of electrical consumption is consumed by

electrical motors.
 10%of electrical consumption is consumed by
administrative buildings & outdoor lighting.
 In addition, we will investigate the
opportunity of local generation of electric
power by installing Photo-Voltaic (PV) solar
panels.
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Energy Saving Opportunities (Electrical)
1. Motors:
1.a) Replace normal motors (with standard
efficiency) with High Efficiency Motors
1.b) Install Variable Speed Drives (VSDs) to
motors with variable loads.
2. Lighting: Replace conventional lighting
systems with LED Lighting
3. Local Generation: Install Photo-Voltaic (PV)
Solar Systems 10
Opportunity (1a): High Efficient Motors
- Comparing among 3 similar motors
(75 kW) but with different
efficiencies.
- Loading factor = 75%
- Annual running hours = 8000 hrs.
- Price of 1 kWh = 0.10 $
- Motor Lifetime = 10 years
 Motor Standard IE1 High Efficient IE2 Premium IE3
Output Power (Po) 75 kW 75 kW 75 kW
Efficiency 90% 93% 95%
Input Power = Po/eff. 83.3 kW 80.6 kW 78.9 kW
Annual kWh consumed 500,000 kWh 484,000 kWh 474,000 kWh
Annual Cost of Energy 50,000 $ 48,400 $ 47,400 $
10-year Energy Cost 500,000 $ 484,000 $ 474,000 $
Cost of Motor 7,000 $ 8,000 $ 9,000 $
Cost of Repair 7,000 $ 8,000 $ 9,000 $
Life Cycle Cost (LCC) 514,000 $ 500,000 $ 492,000 $
Annual CO2 emissions 125 ton 121 ton 118 ton
Evaluation of Opportunity (1a)
- Initial cost of the motor = 2% of the motor LCC.
- Energy cost of the motor = 96% of the motor LCC.
- Simple Pay Back Time (PBT) shows that IE2 motors
will pay back the incremental investment (1,000 $)
in 15 months, whereas IE3 motors will pay back the
incremental investment (2,000 $) in 18 months.
- Using IE3 motors will save 7 tons of CO2 annually
compared to standard motors.
- What about 400 motors in the company??
Opportunity (1b): VSDs
• VSDs are electronic devices that match the
speed of the motor to the driven machinery.
Typical applications include centrifugal fans
and pumps.
 Motor Without VSD With VSD
Output Power 37 kW 37 kW
Efficiency 90% 93%
Input Power 41.1 kW 13.6 kW (average)
Annual kWh consumed 230,000 kWh 109,000 kWh
Annual Cost of Energy 23,000 $ 10,900 $
10-year Energy Cost 230,000 $ 109,000 $
Cost of Motor 5,000 $ 7,000 $
Cost of VSD - 7,000 $
Cost of Repair 5,000 $ 7,000 $
LCC 240,000 $ 130,000 $
Annual CO2 emissions 120 ton 65 ton
Evaluation of Opportunity (1b)
- The annual money saving / motor
= 23,000 - 10,900 = 12,100 $
- PBT = 20 months.
- Excellent opportunity even for existing systems.
- Allows smooth and precise control of air flow,
compared to actuators for adjusting the blade
angle of the fans, or using dampers.
- Using motors with VSD will save 55 tons of CO2
annually compared to standard motors.
- What about 40 air cooler in the company??
Opportunity (2a):
Replace explosive proof (EX) lighting with LED
 1000 flora lighting fixtures (250 W).
 Replace with equivalent LED Fixtures (80 W)
 12 working hours daily (4400 hrs annually).
 Cost of 1000 EX LED fixtures = 500,000 $.
 Power saving from 1000 fixtures = 170 kW.
 Annual energy saving = 750,000 kWh
 Annual money saving = 75,000 $
 PBT = 6.5 years. 18

 Annual CO2 reduction = 375 Ton

Opportunity (2b):
Replace street lighting with LED
 400 sodium street lighting fixtures (400 W).
 Replace with equivalent LED Fixtures (160 W)
 12 working hours daily (4400 hrs annually).
 Cost of 400 LED fixtures = 80,000 $.
 Power saving from 400 fixtures = 96 kW.
 Annual energy saving = 422,400 kWh
 Annual money saving = 42,240 $
 PBT < 2 years. 19

 Annual CO2 reduction = 211 Ton

Opportunity (2c):
Replace office lighting fixtures with LED
 2000 fluorescent lighting fixtures (80 W).
 Replace with equivalent LED Fixtures (40 W)
 8 working hours 5/7 days (2000 hrs annually).
 Cost of 2000 LED fixtures = 80,000 $.
 Power saving from 2000 fixtures = 80 kW.
 Annual energy saving = 160,000 kWh
 Annual money saving = 16,000 $
 PBT = 5 years. 20

 Annual CO2 reduction = 80 Ton

Opportunity (3): Install Solar System
 Grid-tied (on-grid) PhotoVoltaic (PV)
 No need for batteries.
 Assuming 330 sunny days with 6
shiny hours (~ 2000 hours)
1 kW of solar system needs 10 m2
 Available area = 200 m2
 Install 20 kW system
 The generated power is DC. We
need inverter(s) to have AC power. 21
Evaluation of Opportunity (3): Install PV

 Cost of 20 kW solar system (panels, inverter,

installation, etc. (without batteries)) = 20,000 $.
 Annual energy saving = 40,000 kWh.
 Annual money savings = 4,000 $.
 PBT = 5 years.
 Annual CO2 reduction = 20 Ton.

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Conclusions & Recommendations (1):
 Motors:
- VSDs:
Lowest PBT & highest environmental benefits.
At least 50% of existing fans within the petroleum
sector should be investigated for installing VSDs.
- High efficiency motors:
Excellent for new projects or during revamps.
High cost of Ex motors makes the replacement of
existing motors (in good condition) not feasible.
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Conclusions & Recommendations (2):
 Lighting:
- LED Street Lighting:
Lowest PBT and highest environmental benefits.
LED Explosive Proof Lighting (Process Area):
Good environmental benefits & relatively long
PBT due to high capital cost of Ex equipment.
- LED Indoor Lighting:
Moderate PBT and environmental benefits.
Contributes to good image of the company.
 Conclusions & Recommendations (3):
 Solar Panels:
- Relatively long PBT due to the high capital cost
of the system (even without batteries) and the
relatively low output power.
- It is restricted by the available area (1 kW
generation needs 10 m2).
- Can be installed to communicate the company
policy towards energy efficiency, renewable
energy and environmental committment.