Energy Conservation

Energy
gy Efficiency
y
Presenter : N.M. Jai Bharath
Date : 15.11.2010
Energy Efficiency & Energy Conservation
Energy Efficiency
Goal of efforts to reduce the amount of energy required to
provide products and services
Ex : Compact Florescent Lamp use two-thirds less
energy and may last 6 to 10 times longer than
incandescent lights.
E
Energy Conservation
C ti
Using less energy to achieve a lesser energy service

Ex : Through behavioral change, integrating Engineering
Controls.
Improvements in energy efficiency are most often achieved by

adopting a more efficient technology or production process
© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 1
Energy Pyramid

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Motivations to Improve Energy Efficiency
Reducing
d i energy use reduces
d energy
costs
Reducing energy use is a key solution to

the problem of reducing greenhouse gas
emissions.
Improved energy efficiency in Buildings, industrial processes and

Transportation could reduce the world's energy needs in 2050 by
one third
Increase in Energy Efficiency 1980 - 2008

Energy Efficiency – Lighting Retrofit

Energy Efficiency - Process improvements

Increasing Energy Efficiency

Energy Efficiency & Conservation at Work - TEAM WORK
¾ Energy ‘consumption’ not just cost, it should be part of regular

business KPI’s
KPI s.
¾ Periodic Review of Energy Consumption and sharing with the
Employees.
¾ Appoint someone as Energy champion in the company and ensure the
accountability is noted in their job description with defined targets and
goals.
Energy Scenario
National Saving Potential

13.6%
Annual Energy
gy Consumption
p : 577.3 b kwhrs
Estimated Saving Potential by

Energy Efficiency measures : 75364 M Kwhrs
Energy Deficit : 73093 M kwhrs
Karnataka Saving Potential

16.6%
Annual Energy Consumption : 37802 M Kwhrs
Estimated Saving Potential by
Energy Efficiency measures : 6290 M Kwhrs
Energy Deficit : 1090 M kwhrs

Energy Saving Potential
Consumption Saving Potential

Sl.no. Sector
(Billion KWh) (Billion KWh)
1 Agriculture Pumping 92.33 27.79
2 Commercial Buildings
Establishments with
3 9.92 1.98
connected load > 500 KW
4 Municipalities 12.45 2.88
5 Domestic 120.92 24.16
6 Industry (Including SMEs) 265.38 18.57
Total 501.00 75.36

Reasons for High Energy Consumption
& Solutions to Conserve Energy
The System over design – Improper Sizing

St d & Optimise
Study O ti i the
th Design
D i
Unaware of Energy Conservation Benefits

Energy Audit of the facility reveals the Hidden Treasures
Lack of Awareness on Energy Efficient Technologies

Create Awareness on incorporating Energy Efficient Technologies
in all applications .
Lack of Funds / Economic Justifications

Most of Encon Projects have pay back period of 1 to 2 Years.
Justify Rightly by incorporating all the costs .
Lack of Involvement of Facility / Local People

Involve Facility people,Use their Talent,they are the real experts
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Importance of Energy Management

Steps Initiated by Government
• Enactment Of Energy Conservation Act 2001

The Act provides for the legal framework, institutional arrangement and a
regulatory mechanism at the Central and State level to embark upon energy
efficiency drive in the country.
• Standards & Labeling Program

The S&L program when in place would ensure that only energy efficient equipment
and appliance would be made available to the consumers.
• Energy Conservation Building Code ( ECBC )

The new buildings are required to be designed and built with energy
efficiency consideration right from the initial stages itself. The development
of energy conservation building codes is necessary for this purpose
• Demand Size Management

Create End user Awareness on optimum use of Energy to mitigate power shortages
• Professional Certification & Accreditation

Energy Auditors & Energy Managers
KIL Energy Conservation Program
Energy Reduction Achieved at KIL : 42%

Reasons for KIL successes in Encon Program
9 Annual
A l Encon
E Goal
G l Set
S tb
by T
Top Management
M t
9 Allocation in the Annual Budget a portion towards Conservation
9 Monthly Review of the POP Projects by Managing Director
9 Involvement of Employees in Encon Program
9 Dedicated KIL Encon Team

Facility Profile
Established in 1967 in collaboration with Krupp Widia, Germany.

In 2002 Kennametal Inc.
Inc USA acquired Widia India Ltd.
Ltd
Manufacturer of Hard Metal ,Hard Metal Products & Machine tools.
Annual Turnover of about Rs. 4300 Mio.
About 950 Employees

Our Environmental Value
• Always strive to be a sensible steward of natural

resources and our environment
• Take prudent actions to promote a safe environment

for our employees, our customers and the people of
our communities
• Lead by example
Conservation of Resources by KIL due to Green initiatives

SUSTAIN MEASURE
• Energy Consumption reduced by 42% MONITOR DETECT
• Annual Savings: Rs.540 Lakhs CONTROL
• Water Consumption
p Reduced byy 15 %
• Annual Savings : Rs.25 Lakhs
• Recycling
y g of Tungsten
g Carbide Scrap
p
• Annual Savings : Rs.120 Lakhs

Need for Energy Conservation
It is the Right Thing to Do!

9 For Kennametal
9 For our Communities
9 For Ourselves
9 For our Children and Their Children
Save resources, reduce energy consumption to
improve competitiveness for the company
Resources are limited, especially oil and gas, we want

to be good citizens and develop a sustainable business
Our Manufacturing practices to be

9 Environmental friendly
9 Economically Viable
9 Ecologically sound
Key Areas of Energy Conservation
• Process Improvements / Modifications

• Optimise the process with modern equipments
• Incorporating waste Heat recovery projects
• Optimse the process – Furnace Loading , Sinter Hip
• Up-gradation of Equipments
• Variable
V i bl F Frequency D
Drives
i ffor M
Motors
t
• Use of Energy Efficient Motors
• Improve thermal insulation of furnaces
• Incorporate modern Technology in Utilities

• Screw Compressor with VFD
• Energy Efficient Lighting – CFL’s / LED’s
• Energy Efficient Blower in ventilation
• Better Maintenance Practices

• Periodic review of Energy
gy Consumption
p
• Periodic Energy Audit
• Periodic Compressed Air Audit
Compelling Factors to Initiate Energy Conservation
In Kennametal India
¾ Plan to grow more than 20% every year
¾ Need to run Captive set in view of unreliable Grid Power
¾ Increasing Furnace Oil price and increasing Power Tariff

by state Electricity Board
¾ To make the manufacturing practices Environmental

friendly,Economically viable & Ecologically sound
Measure - Detect - Control - Monitor - Sustain

KIL Encon Team
Energy Management Team Organisation Structure
Chairman
V P Manufacturing
Energy Management
Team.
Encon Team Leader Plant Engineering
D.G.M - Plant Engg Executives / LTA's
P
Power Generation
G ti Team
T
PU - 2 & PU - 3
PU - 1 & PU - 9 Team Team PU - 5 Team PU – 7 & 8 Team
Facilitator-PE
PU - 4 & PU - 6 Team
Facilitator PE Exec
Facilitator-PE Exec. Facilitator-PE
Facilitator PE Facilitator-PE
Facilitator PE
Exec. F ilit t PE E
Facilitator-PE Exec.
Exec. Exec.
Team Team Team Team Team

PU Leader PU Leader PU Leader PU Leader PU Leader
Production Engr Production Engnr Production Engnr Production Engnr Production
Employees - Employees - E l
Employees - E l
Employees - E
Engnr
RE/PE/PU-1& 9 RE/PE/PU-2 & 3 RE/PE/PU-4 & 6 RE/PE/PU-5 Employees -
RE/PE/PU-7 & 8

Energy Consumption Measurements –
challenges & Action Taken
Problems with recording in Mechanical meters used

1. There was 10 to 15 % Errors depending on the Loads
2 The
2. Th readings
di to
t be
b taken
t k manuallyll
3. Variations in recordings
4. Encon Project savings could not be monitored
Action Taken : Installed Energy Management System
Measurement to be followed for Comparing

1. Kwhrs/ Kg - ??
2. Kwhrs / Mio of Standard Cost - ??
3. Machine Hours - ??
Action Taken : In Powder Preperation - Kwhrs / Kg WC
In Other Units - Kwhrs / Mio of Standard
Cost production
Facility - Kwhrs / Kg of Hard metal
Production
Energy Reduction – Guidelines
Measure - Detect – Control – Monitor – Sustain
Measure : Measure the power consumed in each production area.

Detect : Identify the production areas where energy can be conserved.
C t l
Control : Design
D i andd implement
i l t engineering
i i controls
t l tot conserve energy.
Monitor : Monitor power savings
Sustain : Review energy consumption in each production area and identify
more conservation opportunities.

Daily Energy Monitor
Daily power consumption details for the month of February 2009 06.00 Hrs to 06.00 Hrs
PROGRES
2MW DG LT DG CONS ALLOTM SIVE
GENERA GENERA UNITS / ENT PER PROGRES CONSUMP No of
DATE Daily PF Avg PF Grid TION TION DAY DAY DAILY DIFF SIVE LIMIT TION HFO Effi Days Aux
1-Feb-09 1.0000 1.0000 2,700 0 0 2700 31,667 28,967 30,645 2,700 0 #DIV/0! 1 72
2-Feb-09 0.9099 0.4550 15,150 12,332 4,224 31706 31,667 -39 61,290 34,406 3060 4.03 2 440
3-Feb-09 1.0000 1.0000 600 35,590 0 36190 31,667 -4,523 91,935 70,596 8710 4.09 3 632
4-Feb-09 0.9091 0.0000 1,500 37,680 0 39180 31,667 -7,513 122,581 109,776 9230 4.08 4 672
5-Feb-09 1.0000 0.0000 900 35,950 0 36850 31,667 -5,183 153,226 146,626 8840 4.07 5 696
6-Feb-09 0.9333 0.0000 2,100 29,994 0 32094 31,666 -428 183,871 178,720 7290 4.11 6 600
7-Feb-09 0.9667 0.0000 2,610 0 0 2610 31,667 29,057 214,516 181,330 0 #DIV/0! 7 0
8-Feb-09 0.9652 0.0000 3,330 0 0 3330 31,667 28,337 245,161 184,660 0 #DIV/0! 8 160
9-Feb-09 #DIV/0! 0.0000 0 33,326 0 33326 31,667 -1,659 275,806 217,986 8160 4.08 9 688
10 Feb 09
10-Feb-09 0 4000
0.4000 0 0000
0.0000 60 36 120
36,120 0 36180 31 667
31,667 -4,513
4 513 306 452
306,452 254 166
254,166 8870 4 07
4.07 10 688
11-Feb-09 0.9667 0.0000 435 34,900 0 35335 31,667 -3,668 337,097 289,501 8610 4.05 11 624
12-Feb-09 0.8200 0.0000 615 35,770 0 36385 31,667 -4,718 367,742 325,886 8800 4.06 12 696
13-Feb-09 1.0000 0.0000 1,050 31,129 0 32179 31,667 -512 398,387 358,065 7620 4.09 13 632
14-Feb-09 0.8621 0.0000 3,750 0 0 3750 31,667 27,917 429,032 361,815 0 #DIV/0! 14 80
15-Feb-09 0.9583 0.0000 3,450 0 0 3450 31,667 28,217 459,677 365,265 0 #DIV/0! 15 176
16-Feb-09 #DIV/0! 0.0000 0 33,791 0 33791 31,667 -2,124 490,323 399,056 8300 4.07 16 680
17-Feb-09 #DIV/0! 0.0000 0 35,280 0 35280 31,667 -3,613 520,968 434,336 8700 4.06 17 656
18-Feb-09 0.8333 0.0000 750 33,400
, 0 34150 31,667
, -2,483
, 551,613
, 468,486
, 8290 4.03 18 696
19-Feb-09 #DIV/0! 0.0000 0 32,870 0 32870 31,667 -1,203 582,258 501,356 8170 4.02 19 648
20-Feb-09 1.0000 0.0000 900 29,339 0 30239 31,667 1,428 612,903 531,595 7170 4.09 20 616
21-Feb-09 0.0005 0.0000 2,900 0 0 2900 31,667 28,767 643,548 534,494 0 #DIV/0! 21 72
22-Feb-09 0.9989 0.0000 2,697 0 0 2697 31,667 28,970 674,194 537,191 0 #DIV/0! 22 72
23-Feb-09 0.9800 0.0000 2,940 81 0 3021 31,667 28,646 704,839 540,212 160 0.51 23 160
24-Feb-09 #DIV/0! 0.0000 0 36,690 0 36690 31,667 -5,023 735,484 576,902 9000 4.08 24 960
25-Feb-09 0.7613 0.0000 914 37,340 0 38254 31,667 -6,587 766,129 615,156 9100 4.10 25 1160
26-Feb-09 0.9317 0.0000 1,500 37,680 0 39180 31,667 -7,513 796,774 654,336 9220 4.09 26 1064
27 F b 09
27-Feb-09 0 9357
0.9357 0 0000
0.0000 1 950
1,950 29 245
29,245 0 31195 31 666
31,666 471 827 419
827,419 685 531
685,531 7150 4 09
4.09 27 920
28-Feb-09 0.8889 0.0000 3,600 0 0 3600 31,667 28,067 858,065 685,531 0 #DIV/0! 28 88
1-Mar-09 #DIV/0! 0.0000 0 0 0 0 0 0 888,710 685,531 0 #DIV/0! 29 0
30-Jan-09 #DIV/0! 0.0000 0 0 0 0 0 0 919,355 685,531 0 #DIV/0! 30 0
31-Jan-09 0 0 0 0 0 0 950,000 685,531 0 #DIV/0! 31 0
0 0 #DIV/0! 1
PMU 56,400 ###### 4,224 0 154,450

Total power consumption for the month of February-2009 689,131
689 131 19
197,534
34 TOTAL AUX POWER 14,648
14 648
Average monthly power consumption 24,612 523
Av PF 0.94 DAILY PF
Fuel Efficiency 4.07
Aux Power Consumption 14,648 Units/Day
Available units for the month 230,224 © 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 23
Product Unit Monthly Energy Bill
INDIA LTD. DATE: 01/3/2009
PRODUCT UNIT-1 MONTHLY POWER CONSUMPTION BILL
Target for FY-09

8,195 PU-1
Units/Ton of output Units consumed/Ton of output
Present (FY09)
13865
12,048
Units consumed/Ton of powder

Units/Ton of output
12048
11368
11275
10744
10707
Output (in Tons) for the 16000
10020
11.5 14000
9010
month of Feb' 09
12000
Pow er cost in Rs. (Feb) 1,073,756
output
10000
8195 Units /Ton Targe t
Progressive Out put in 8000
127 6000
Tons( FY-09)
4000
Progressive Units
0
1,002,201 2000
consumption FY-09 0
Consumed units for the
08
9
8
08
9
08
09
9
8
9
138,549
-0
-0
-0
-0
-0
-0
-0
-0
v-
g-
l-
r-
month of Feb' 09
ec
eb
ay
n
ct
ep
ar
Ju
p
u
Ja
Ju
O
M
N
A
D
A
F
S
PREVIOUS
AREA DESCRIPTION BILL NO.. READING DATE BILLING MONTH
MONTH
BN01/FY09/08 1-Mar-09 Feb-09 Jan-09
(FROM 01/02/09) (TO28/02/09) CONSUM PTION CONSUM PTION
FEEDER-7
648450 680364 31914 12307
AISHWARYA-1
FEEDER-5
681914 690964 9050 25723
AISHWARYA-2
CARBURISING-234 519283 527316 8033 4427
CARBURISING-56 665972 676848 10876 2343
CARBURISING-78 422904 429766 6862 11641
ATTRITOR 445577 451560 5983 5698
ATOMISER-1 605175 614103 8928 9196
ATOMISER-2 361186 366492 5306 5571
SDB-28 100677 102057 1380 734
SDB 29
SDB-29 258719 262233 3514 2644
SDB-30 120407 121979 1572 1456
SDB-31 480692 485491 4799 3893

FEEDER -56 565638 570704 10132 5216
VENTILATION
FEEDER-14 8730 22033 13303 12395
CHILLING
FEEDER-59 78340 79620 2560 2038
DEWAXING
LIGHTING 257454 262856 5402 5514
FEEDER-54 7058.45 7170.14 8935 7384
COLLECTING PUMP
138,549 118,180

Road Map for Energy Conservation - A Lean Project
NVA
VA
( Energy Required for Essential
(Energy Required for
Supports & Energy Wasted in
Physical conversion of
system
t )
Product )
Essential Support Waste
Eliminate (Elimination of
Reduce
Energy
gy Usage
g by y Engineering
g g
(Energ Conser
(Energy Conservation)
ation)
Controls )

Encon Savings FY 06
Annual Annual
PROJECT
S i
Savings in
i S i
Savings in
i
Lakh Kwhrs. Lakh Rs
Lighting 3.79 23.52
Ventilation 4.12 25.55
Feed Water System 3.02 18.72
Generator Set 1.78 11.03
Dust / Mist Collector 1.40 08.69
Process Modification/Up
f / gradation 3.06 18.97
Compressed Air/ 1.74 10.76
Chilled Water System
Total 18.91 117.25
Encon Savings FY 07
Annual Annual
Savings in Savings in
PROJECT Lakh Kwhrs Lakh Rs
2 MW DG Waste Heat Recovery 9.73 64.59

Efficient Ventilation 0.67 4.47
Energy Efficient Lighting
3.57 23.68
System
Compressed AIR System
0.87 5.78
Improvement
Cooling Water System
1.05 6.97
Improvement
Dust Collector Modifications 1 90
1.90 12 59
12.59
Total 17.78 118.08
Encon Savings FY 08
Annual Annual
Energy Efficient Fans for Ventilation Plant 1.89 13.88

Improvements in Street Lighting 0.69 5.08
Improvements in Compressed Air 0.68 5.00

Distribution system
Improvements in Shop floor Lighting 0.63 4.65
Up gradation of Centralised Cooling water 3.65 26.84

system with Adiabatic Cooling Tower
Total 7.53 55.45
Encon Savings FY 09
Annual Annual
Direct Heating of Process Gas in Atomiser 0.70 5.87

Improvements in Furnace Loading 1.20 10.07
Process Improvement by Installing 2.69 22.65

Sinter HIP
Modification of Grinding Machines Centralised 0.30 2.57
Oil Filtration system distribution system
Up gradation of Equipments
Up-gradation 1 88
1.88 15 86
15.86
Lighting Improvement 1.89 15.81
Others 1 15
1.15 9 49
9.49
Total 9.81 82.32

Encon Savings FY 10
Annual Annual
LED Lighting in Office Area 08

0.8 6 72
6.72
Direct Heating in Atomiser 2 0.9 7.56
Energy Efficient Pump 1.1 9.24
T5 Lamps 0.3 2.52
Compressed Air Conservation 2.04 17.14
Total 5.14 43.18

ENCON Annual Savings
Reduction:
Annual Power consumption by 60 Lakh Kwhrs.
Average load by 1100 KW.

Annual power bill by Rs.540 Lakhs
Conservation of Natural Resources
Furnace Oil consumption reduced by 1500 KL / annum
&
CO2 emissions reduced by

y 6.6 Tons / annum.

Overview of Energy Consumption and
Specific Energy Consumption
4.64%
%
9.02%
3.86%
13.1 14.1 13.1
250
12.1 15
11.99
12 1
12.1
M io K w h rs
200 10 23
10.23
220
78.80
K w h rs
90.8
90.1
10
65.40
59.50
190
54.54
5 7 .2 0
185
150
178
166
156
144
100 5
50
0 0
FY04 FY05 FY06 FY07 FY08 FY09 FY10
Units Consumed in Thousands Kwhrs / Ton
Output in Tons
Annual Units Consumed in Mio Units
% of Reduction in Specific Energy Consumption in FY 10 over FY 09: 4.64 %

PU1 Specific power consumption
m m ulativve reducttion
onsum ptiion
Kw h rs p er T o n o f p o w d er
15000.0 25
15% Goal
20
10000.0
15
10
nergy co
5000.0
5
0.0 0
% Cum
FY07 FY08 FY09 FY10 FY11 FY12
in E n
Kw hrs per Ton of 12192.0 11202 10538 10222 9915 9618
pow der
Cummulative Redu 8.1 14 17 20 23
in % in Energy
Kwhrs per Ton of powder Cummulative Redu in % in Energy

PU2 to PU7 Specific Power Consumption
ve reducttion
Kwhrs pe r Mio of Std
onsum ptiion
80 15% Goal 25
60 20
15
cost
40
10
c
m m ilativ
nergy co
20 5
0 0
FY07 FY08 FY09 FY10 FY11 FY12
% Cum
of En
K
Kw hrs per Mio 70.2 67.6 61.8 59.9 58.1 56.4

Rs of Std cost
%Cum mulative 3.7 12.4 15.4 18.4 21.4
Reduction in
Energy
Kwhrs per Mio Rs of Std cost
%Cummulative Reduction in Energy consumption

Information Sharing /Plans
Information Sharing
Conducted Energy Audit of Irwin , New castles, Victoria , Asheboro ,
Rogers, Ti
R Tianjin
ji , F
Fallon
ll ,H
Henderson
d , Ed
Edmonton
t and
d other
th ffacilities
iliti and
d
identified saving potential of 2.5 Mio Kwhrs
Shared KIL Encon Success information in International , National &

Regional Seminars
436 Professionals / Engineers visited our facility to study KIL Encon

activities
Going Forward
Planning on projects to ensure 5 % of Energy

requirement of facility is catered by
Green Power by FY 15 .
Air we Breathe, Water we Drink & Earth we live in are the
L
Loan from
f our Ancestors
A t and
d nott the
th Gift.
Gift
We need to preserve the same for our Future Generation
- by Mahathma Gandhi
.

Ford India Private Limited
IKON ENDEAVOUR FIGO FIESTA
Project Title : Excellence in Energy Efficiency

TEAM MEMBERS
R.Anand K.Sivakumar
U.Sajeevan P.Ravisankar
S.Sakthivel K.Ramasamy
Feel the difference

Ford India - Corporate Profile
Established Operations in year 1995 with an investment of USD 375

millions.
Additional investment of USD 500 millions for the expansion of plant and
setting up a new Engine Manufacturing plant.
Ford India manufactures and distributes automobiles made at its modern,

integrated manufacturing facility at Maraimalai Nagar, near Chennai spread
over 350 acres. The Annual turnover is Rs.1812 Crores.
The company’s models in India include the Ford Ikon, Ford Fusion, Ford
Fiesta ,Ford Endeavour and Ford Figo.
The company presently has 129 dealership facilities in 97 cities. The

employee strength is around 4500.
2 Feel the difference

ENERGY POLICY – FORD INDIA
Ford India Private Limited (FIPL) is committed to managing energy use at its plants and
offices in the most efficient manner possible, ensuring least cost to the business and protect
the environment.
Ford India Private Limited will continuously improve energy efficiency through Effective
Energy Management System –
• Build awareness among all the employees on energy conservation
• Monitor and control of energy usage
• Conduct regular energy audits to eliminate energy wastage
• Conservation of Natural Resources
• Achieve excellence in energy usage by technology up gradation and alternate

energy source
• Aggressively finds every opportunity within the facility for lowering energy cost.
Michael Boneham
Managing Director and President

Energy Conservation Strategy
Renewable
Energy
Technical
Up gradation
Compressed Air
Management System
Effective HVAC
System
Control Water
Effective Management
Lighting system
Management system
Waste Elimination

Waste Elimination
1. Standby Transformer switched OFF
Energy saving : 267,840 KWh/Annum

Cost Saving : INR 10.7 Lakhs /Annum
2. Maximum Demand reduction based on Loads
MD Reduced : 1.5 MVA

Cost Saving : INR 54 Lakhs /Annum
Investment : ZERO COST
3. Power Factor Has been improved from 0.95 to 0.99
Cost saving : INR 19.2 Lakhs /Annum

Effective Lighting Management System
LDR Technology introduced across all shops. Energy saved 50 units / day
Before LDR KIT
After
CFL fittings in Corporate Office Walkways , Street Lights

Energy Efficient lights replacing HPV lamps
Natural lighting Utilization
Toilet Paint Shop Ware House Body Shop Press shop
Savings/ annum : 2.25 Lakhs / Kwh

Savings /annum : Rs- 9 Lakhs

Water management system
Industrial Water Consumption Reduction
Providing new Automatic taps for Hand wash
in Rest Rooms site wide - 20KL Industrial
water saved per day.
Result:
Cost Saving : INR 11,50,063/ Annum
Automatic sensor taps
¾ By Introduction of VFD with 3.5 kg pressure.
¾ Reduction of Production hours pressure –
from 3.5kg to 2.5Kg
¾ Reduction of Non-production hrs pressure
from 2.5 kg to 1.0 kg
¾ Reduction of Holiday Non-production hrs
pressure from 2.5 kg to 1.5 kg
VFD panel for Indl. Water
Result:
pump
Energy Saving : 49,348 KWh/ Annum
Cost Saving : INR 197,392 PA

Effective HVAC System Control
Reduction of AC Power Consumption
Operating Temp Increased from 23 C
to 25 C at all Offices
Result:
Energy Saving : 3,96,000 KWh/ Annum
Cost Saving : INR 21,78,000/Annum

HEAT LOSS REDUCTION USING SUN FILM
ON THE ROOF GLASS
Result:
Energy Saving : 126,720 KWh/ Annum
Cost Saving : INR 506,880/Annum

Effective HVAC System Control
IT data Centre In Row Cooling Vs Perimeter Cooling
Moves the source of cooling closer to the load. Result:

Energy Saving : 600000 KWh/ Annum
Fan Speed reduced during off Peak cooling Cost Saving : INR 25Lakhs/Annum
periods.
VFD FOR CHILLED WATER CIRCULATION PUMP
• Introduced VFD drive for Chilled water circulation

pump
• Reduces the circulation pressure from 3.5 bar to
2 bar during Non Production hour
Result:
Energy Saving : 49,348 KWh/ Annum Chilled water pressure reduction
Cost Saving : INR 197,392 PA (3948 USD)

Compressed Air Management System
OPTIMUM USAGE OF COMPRESSED AIR
Compressed VEC BUILDING
Stamping Compressor
Air Flow
STAMPING
Normally
closed valves • Compressed air pressure reduced from 7.0 bar to
Normally
Opened valves
6.2 bar
• Separate Isolation Valves provided for each

BODY SHOP shop floors
PMR – Compressor
UTILITY
BUILDING
600KW WWTP
Centrifugal
Compressor
PAINT SHOP
CORPORATE EMPLOYEE
OFFICE FACILITIES
Zone-6
D&D
TCF
Isolation valves facilitated to Compressed Air flow meter

each shop floors
Zone – 6 Compressor

NON – PRODUCTION DAY (4.5 bar)
Stamping Compressor
• Shop wise Stand alone compressors
STAMPING
VEC provided for non – Production activities
• Improve Air Retention time through

air leak monitoring & control
BODY SHOP
PMR – Compressor
WWTP
75KW
UTILITY
BUILDING
PAINT SHOP
CORPORATE EMPLOYEE
Compressed Air Flow
OFFICE FACILITIES Normally closed valves
Normally Opened valves
D&D
Zone-6
TCF
Zone – 6 Compressor

Utilization of offline compressor for Die tryouts
BEFORE
Plant engineering 1700 CFM compressor used for Die

maintenance try outs
AFTER
Introduced 100 CFM compressor in the stamping shop

and use it for non production hrs and die try outs.
Result
• Energy saving = 305,916 KWh / year
• Cost saving = 1,223,664 INR / year
• Investment = 500,000 INR / year
• Payback period = 6 Months

Technical Up gradation
3Wet Paint Technology
Current Process 3WET Process

Clear coat 焼付け
bake Clear coat bake
Base Base
bake
Primer surfacer Primer surfacer
bak
ED bake ED
Pretreatment Pretreatment e
Steel Steel
1WET 2WET 1WET 2WET 3WET

bake bake bake
Primer Base Primer

Clear coat Base Clear coat
surfacer surfacer
Primer Process Top coat Process Top coat Process

3 Wet Painting Technology
Traditional Solvent Based 3-Wet Hs Solvent

Application System Based Application
System
Electrocoat 11 stage Phosphate BIW Electrocoat
Electrocoat 1111
stage Phosphate
stage Phosphate
BIW
BIW
E-coat Oven ToolSand Sealer Application/Plugs/Mastic Pads E-coat Oven

E-coat Oven Tool
Sand
Tool Sealer
Sand Application/Plugs/Mastic
Sealer Pads
Application/Plugs/Mastic Pads
Primer Primer
Primer Oven Tack Off/Solvent Wipe Gel Oven Primer Oven Gel OvenTack Off/Solvent Wipe
Tack Off Gel Oven
Application Application
Prime Sand Tack Off CC-Oven CC- Prime

CC- CC- IntCC-Int SandBC- ExtBC-ExtBC-
BC-Flash TackIntOffBC-
Ext Ext ManualManual Manual
2 Int
Manu
CC-Oven CC- CC- CC- IntCC-Int
BC-Flash
BC- ExtBC-ExtBC- Int BC- CC-Oven
CC-Oven CC- CC-
CC- CC-CC-
CC- IntCC-Int
IntCC-Int BC-Flash
BC-Flash BC-
BC- ExtExt
BC-Ext
BC-Ext BC-
BC- IntIntBC-
alBC-
Ext Ext Manual
Manual Manual
2 Int Ext Ext
Ext ExtManual
ManualManual
Manual Manual
Manual2 IntInt
Manu 2 Manu
Manu
CC-Oven CC- CC- CC- IntCC-Int
BC-Flash al
BC- ExtBC-ExtBC- Int BC- CC-Oven CC- CC- CC- IntCC-Int BC-Flash
BC- ExtBC-ExtBC- IntalBC- al
Ext Ext ManualManual Manual
2 Int Ext Ext Manual Manual Manual
2 Int
Manu Manu
al al
Finesse Deck
Trim
Finesse Deck Finesse Deck
Trim Trim
Total Power consumption – 2900 Kwh Total Power consumption – 2450 Kwh
Total Fuel consumption – 450 lit/hr Total Fuel Consumption – 300 lit/hr
14
3 Wet Painting Technology - Benefits
Lean Processing
“Foot-print” reduction by 20% elimination of Primer booth, Oven and scuff booth.
Improved line Sequencing
In process time reduction by 20%
Economic
Less Capital investment for spray booth and accessories

Running Cost (energy, labor and Material)
Environmental
Reduced energy consumption (78 kW / car)

Reduced VOC (15 -20%) and CO2 emissions (10 -15% reduction)
Quality
Improvement in TGW due to Excellent Mar resistance

Better Paint appearance

Heat Recovery on Oven Exhaust
Before After
Waste Heat 95 °C Waste Heat
145 °C 260000 Kcal/hr 130000 Kcal/hr
Top Coat Oven-2 Top Coat Oven-2
145°C
145°C
Heat
Exchanger 95°C
Burner
Exhaust
Exhaust Air fan Burner
Air fan Fresh
Fresh Air fan
Air fan
35°C
35°C
Savings / annum : Rs 24 Lakhs

VFD for Air Supply Units
BEFORE AFTER
SPRAY BOOTH SUPPLY FAN SPRAY BOOTH SUPPLY FAN
0.5 m/sec VFD 0.35 m/sec

provided
EXHAUST Savings
EXHAUST
FANS
FANS 220 Kw / hr
Savings / annum : INR 9.9 Lakhs

Utilizing the Renewable Energy
¾ Provided Solar lighting for Gate-1 instead TNEB

Power
¾ Provided Solar Water heater for Drinking water
Plant instead Electric Heater
Solar water
heater
Result:
Energy Saving : 14400 KWh/ Annum

Cost Saving : INR 57,600/ Annum

Hazardous Waste Used as
Alternate Fuel and Raw Material
Ford believes…
“Waste is a resource at wrong place and wrong time”

When the resource is taken to the right place and at right interval of usage then, it is
no more a waste…
Alternate Fuel and raw material (AFR) is one such way of using the hazardous waste.
Hazardous Waste stored in Hazardous Waste crushed Crushed in to powder

barrels
CO-Processed at cement industry as Shipped in to the Packed in to used bags

an “AFR container

Raw Material
DESCRIPTION OF CO-PROCESSING
Material preheating
tower
AFR * AFR *
Ordinary Fuel
Clinker Kiln
Clinker
Towards deduster
* Alternative Fuel and Raw Material Cooler

Utilization of Waste in Cement Industry
Disposed to Cement
Tonne of
Waste Kcal / Kg Industry in Tonne
Coal saved
(Till June ’09)
Paint Sludge 2140 520 206
Phosphate Sludge 728 100 13
Oily Rags 2730 15 8
ETP sludge 380 370 26
Total 1005 253
1 Kg of Coal = 5400 Kcal; 1 Kg of Coal emits approximately 1 Kg of CO2, therefore approximately

253 Tonnes of CO2 emission is saved directly. Indirectly the emission due to the incineration and
disposal to the secured landfill site have been avoided.
NOW FORD INDIA IS “ZERO SOLID WASTE DISPOSAL FACILITY”

Reduction. in
Specific Energy Specific Energy
Annual Energy consumption
Consumption consumption over
previous year in %
Produ
Year
ced
(April −
Electrical Thermal Cars Electrical Thermal Electrical Thermal
March)
KWH * Rs Type Rs
KL (KWH/car) (KL / Car) % %
Million Million of fuel Million
2005–06 21.2 84.8 HSD 946 32.09 27475 772 40 - -
2006–07 25 100 HSD 1429 48.78 40924 610 34.9 21 10
2007–08 22.9 91.5 HSD 1100 36.25 37810 605 29.1 0.6 16.6
2008–09 15.3 61.4 HSD 704 24.84 26261 585 26.8 3.3 7.9
2009-10 22.44 89.6 HSD 906 31.7 39242 573 23 2.09 14.1

Summary Data- Power, Water & Fuel
900 60
772
800 Summary –Power /car 50 Summary - Fuel consumption / Car
700 610 605 585 573 40
Power in KWH
600 40 35
500 29
Litre
30 27
400 23
300 20
200
10
100
0 0
2006 2007 2008 2009 2010
2006 2007 2008 2009 2010
Year
Year
8
7
6
Summary-Water Consumption/Car
5.2
5
4 3.9
KL
4 3.1
3
2
2
1
0
2006 2007 2008 2009 2010
Year

Extent of Teamwork in Encon
Idea Extent of
S.No Source of EnCon idea Originated man-power Progress of implementation
in Year involved
Completed.
Power Factor improvement
1 2006-07 Engineer (Planned: 1500000KWH/annum
& MD reduction
Actual: 1920000KWH/annum )
Natural
Completed.
Work
2 Heat recovery in ovens 2006-07 (Planned: 42KL / annum
Group
Actual: 42KL /annum )
NWG)
Completed.
Idle running power
3 2006-07 Craftsman (Planned: 268000KWh/annum
transformer switched OFF
Actual: 268000 KWH /annum )
Senior In progress. Projected savings:

4 3 wet technology 2007-08
Management Rs 500/car
Completed.
Energy conserver panel for
5 2007-08 Engineer (Planned: 5500KWH/annum
lighting
Actual: 5000KWH/annum )

Monitoring and Reporting Systems
Daily Department wise consumption per car data updated near canteen

Monitoring and Reporting Systems
Monitoring Conducted
S.No Frequency Pictures Team
& Report By
Energy Every 2 hrs / Compressor Facility Plant

1
Monitoring Day monitoring data Management Engineering
Energy
All Shop floor
2 Consumption Daily Night report PE Manager
GM & VP
Report
Energy All Encon Energy

3 Weekly Photo
Conservation Team member Manager
Mfg.VP,
Energy Finance VP,
4 Monthly - Finance
Consumption Shop floor GM
& Manager
Energy
Energy
Managers FPS Manager
5 Conservation Monthly (Audio Conference)
Asia Pacific & AP&A
meeting
Africa Plant

Work group Activity & Recognition
Encon Activities-2010
Appreciation of Work Groups

AP&A Encon Team
Appreciation of Work Groups

AP&A Encon Team

Next Steps
S.N Target
Project Description
o implementation
1 Compressor air monitoring system (SCADA) Q1 2011
2 Propane gas for Ovens and boilers Q4 2010
3 Solar Heater for Canteen Q1 2011
4 Low bake Electro coat paint Q3 2011
Zirconium oxide coating

5 Q4 2011
( No sludge – Pretreatment process)

GODREJ & BOYCE, MOHALI
PRESENTS
“ENERGY CONSERVATION
ACTIVITIES”
ACCOMPLISHED
DURING
Apr’09
p TO Jun’09
15th November, 2010

3 rd CII CLUSTER 2010 , DELHI
Presented by:
Punit Sharma
Neeraj Mehra
Godrej Initiatives towards greener business..
• Voluntary signatory to CII initiative of

Mission on Sustainable Growth.
• Commitment to reduce ENERGY CONSUMPTION by
6% every year.
ABOUT THE COMPANY
Who We Are
¾ One of the most respected business houses in India.
¾ Started operations in 1897
¾ Annual turnover of Rs. 10000 Crores.
¾ Family of about 15000 employees.
Our Vision
Godrejj in Every
y House & Work Place
Our Mission
Enriching Quality of Life Everyday Every where
SELECTION OF THIS PROJECT
A Business
A. B i G
Goall : R
Reduce
d S
Specific
ifi EEnergy C
Consumption
ti b
by 6% Y
Year O
On Y
Year.
B. Pareto Analysis of Energy consumption : Compressed Air - major consumer.
Specific Po
Power
er Cons
Consumption
mption 93.8 95.4 97.0
98.5
4.00 90.3 92.1 100.0
100.0
84.4 86.4 88.4
3.50 79.8 82.2
77.2
71.4
74.4 80.0
3.00 65.1 68.4
kwh)
61.6
2.50 57.3
60.0
UNITS (k
2.00 26% off Total

T t l Energy
E Consumption
C ti isi
46.4
by Compressed air 40.0
1.50
1.00 26.1
20.0
0.50
0 00
0.00 00
0.0
Asano PDP
BB - CMS
IM
Foaming
Common
Oil Charging
Treatment
Chiller Plant
DF
Compressor
Testing loop
Lighting Main
Grinding
Rotary
Misc
Body cell &
Coating
Services
Surface
Asano
Cabinet
Asano Liner
Powder
AC & fans
Office Area
Water
BB -
BB -
Quality
ST
Air
CONSUMERS
C. Benchmarking : Consumption pattern of compressed air in other Godrej

companies and in CII cluster companies. Best practices in other industries.
D. Energy Audits : Suggestions from CII, M/s NITCON, M/s ENERGETIC and
internal Energy Auditor.
BRAINSTORMING
Basic Questions :
What are our generating capacities?
Are our consumptions balanced?
Do we have uniform pressure demand across all the users?
Are our Piping line optimum to have minimum line losses?
Is use of compressed air justified?

CHARTER - ENERGY CONSERVATION ACTIVITIES
Initiative:
Initiative:
t at e Crack
Crack team
team leader:
leader: Crack
Crack team
team sponsor:
p
sponsor:
To Punit
Punit Sharma
Sharma M
MKK Gandhi
Gandhi
To reduce
reduce the
the Energy
Energy Consumption
Consumption in
in the
the
Plant.
Plant.
Description:
Description: Optimization
Optimization of
of Generation,
Generation, Activity Plan
TTransmission
Transmission
i i and and Distribution of
d Distribution
Di t ib ti off Compressed
C d
Compressed
Air.
Air. Target end
Activity date
1. Obtaining Air compressor Loading 01/02/09
Rationale
Rationale :: Cost
Cost saving
saving
2. Visual Mapping & Analysis of Generation,
Transmission & Distribution of
Compressed Air 15/02/09
Current
Current savings
gg estimate
savings estimate :: 60
60 Lakh
Lakh
3. Prepare ENCON training
i i material
il 25/02/09
/ /
Stage:
Stage:
4. Field Audit 10/03/09
Inception
Inception
5. Comparing
p g Design
g Vs Actual
Other
Other involvement
involvement required,
required, function
function and
and name
name Performance 20/03/09
of person): Hitesh Kakkar , Neeraj Mehra, Vivek
of person): Hitesh Kakkar , Neeraj Mehra, Vivek
Srivastava,
Srivastava, Arvind
Arvind Agrawal
Agrawal 6. Improvement Action Plans 01/04/09
7 Estimating Overall Benefits
7. 01/06/09
Original Setup – VISUAL MAPPING
Total consumption = 1100 cfm

C1 Total Generation = 2555 cfm (Max)
(735 x 3 + 350 x 1)
C2
Compressor COMPRESSOR
Hall PLANT
C3
7 kg/ sqcm
C4 A
R
10 M Total consumption = 1100 cfm

60 M
(Max)
A 7.5 kg/ sqcm A
R R
200 M
7 kg/ sqcm
REFRIGERATOR
PLANT
Powder
g
Coating
Total consumption = 300 cfm
AR Air Receiver C Air

Compressor
MAJOR INITIATIVES
DESCRIPTION
√ VFD Installation - Compressor
√ Identification of Different Pressure Zones
√ Pressure Regulation
√ Compressor
p Relocation
√ Redirection of Spare Capacity
√ Introduction of Transvector Nozzle
√ Pipeline Modified for other Compressors

Original Setup – VISUAL MAPPING
C1
C2
Hall All three running at Full Load PLANT
C3
C4 Compressor running on Load /

A
Unload pattern.
pattern
R
A A
R R
REFRIGERATOR
PLANT
Powder
g
Coating
AR Air Receiver C Air

Compressor
Initiative 1 – VARIABLE FREQUENCY DRIVE
Constraint:
Co st a t ScScrew
e type compressors
co p esso s consume
co su e
40% of rated power during’ ‘No Load’
condition
Actions Taken: VFD installed to optimize
speed of Compressor and
minimize ‘No Load’ condition.
Reduction in Unloading Time Of Reduction in Power Consumption of

Air Compressor Air Compressor
BEFORE AFTER 0.22

U n lo ad in g T im e
40
0.19
(i n m i n s )
30 30
30
20 15 15 15
10
0 Before After
Wk 1 Wk 2 Wk 3 Wk 4 Wk 5
D ti
Duration
BACK Kwh per cfm

IDENTIFICATION OF DIFFERENT PRESSURE ZONES
Compressor Plant Refrigerator Plant
1% 2% Door
Projection Foaming
Welding
12% Powder
Coating
Pressure Requirement Pressure Requirement

> 5 kg/ sqcm 4~ 5 kg/ sqcm
Observation:
a. 85% of user dept need up to 5 kg/ sqcm pressure.
b. 15 % (12+2+1) of user dept require over 5 kg/ sqcm.
Demerit: Whole system was operating at 7 kg/ sq cm.

SEGREGATION OF DIFFERENT PRESSURE ZONES
Projection Welding –
Pressure boosters installed.
Door foaming -
Dedicated small compressor.
AR
Powder coating – 7 kg/ sqcm REFRIGERATOR
PLANT
Separate feeder line at 7 kg/ sqcm
Powder Coating
installed.
Total consumption =
7 kg/ sqcm 300 cfm
BACK AR
Initiative 2 – PRESSURE REGULATION
Total consumption
C1 1100 cfm f
900
C2
Hall PLANT
C
C3 5
7 kg/ sqcm
C4 A
Scope of Air
R
Improvement
p Receiver
Total consumption
1100 cfm
A 7.5 kg/ sqcm A
R R
900
7 kg/
g sqcm
q REFRIGERATOR
5 PLANT
Powder
Coating
PRV (Pressure Total consumption
regulator valve) 7 kkg// sqcm = 250 ~ 300 cfm
A
R
PRV installed
sta ed on
o main
a inlet
et o
of bot
both tthe
epplants
a ts to reduce
educe a
air p
pressure
essu e from
o
7 kg/ sqcm to 5 kg/ sqcm.
BACK
Initiative 3 - COMPRESSOR RELOCATION
Total consumption =
C1 900 cfm
C2
Compressor
COMPRESSOR PLANT
Hall
C3
5 kg/ sqcm
C4 AR Air Receiver
10 M 5.5 Total consumption =

7.5 kg/ sqcm 900 cfm
AR AR
5 kg/ sqcm
REFRIGERATOR PLANT
Powder
Coating
Total consumption =
250~300 cfm
AR
COMPRESSOR RELOCATION
Benefits:
Reduced Generation pressure of Compressed Air from 7.5 kg/sqcm to 5.5 kg/sqcm.
This resulted in :
Increase in Service intervals by 50%
Waste oil generation reduced by 20%
Reduction in operating time of compressors by 8-10 %.
Reduction in air loss through leakages by 10 % due to pressure drop of 2 kg/sqcm.
Powder
Coating
Dept
Compressor
Enclosure
BACK
Initiative 4 – Redirection of Spare Capacity
Total consumption =
C1
900 cfm
C2
Compressor COMPRESSOR PLANT
Hall
C3
5 kg/ sqcm
A
R Air
Receiver
10 M Total consumption =
900 cfm
A 5.5 kg/ sqcm A
R R
5 kg/ sqcm REFRIGERATOR
PLANT
Powder
Observation: Coating
Total consumption =
Generation = 350cfm. 250~300
250 300 cfm 7 kg sqcm
A
Requirement for powder coating is R
5 kg/ sqcm
250 ~ 300 cfm
Unused capacity of 50 ~ 100 cfm. C4
Action Taken:
Diverted unused capacity to Main Grid by installing PRV between high pressure and
low ppressure Grid.
Benefit:
Utilization of unused capacity in Refrigerator plant.
PRESSURE REGULATING VALVE
BACK
Initiative 5 - TRANSVECTOR NOZZLE
Observation: Use of compressed air for Cleaning, Cooling and Drying components.
D
Demerit
it : High
Hi h Volume
V l off C
Compressed
d air
i used.
d
Actions Taken: Installed Transvector nozzles for component Cleaning, Cooling and
Drying.
Normal Transvector Nozzle

Nozzle
Observation: Use of compressed air for Cleaning, Cooling and Drying components.
D
Demerit
it : High
Hi h Volume
V l off C
Compressed
d air
i used.
d
Actions Taken: Installed Transvector nozzles for component Cleaning, Cooling and
Drying.
BENEFITS: Normal Nozzle Transvector Nozzle
350 cfm
Total consumption reduced from 900cfm

to 700 cfm in compressor plant
150 cfm RESULT
Overall consumption reduced = 200 cfm

Before After
Air required For Drying Components

BACK
Initiative 6 - PIPELINE DIAMETER
Existing generation of two 838 cfm compressors = 735 x 2 = 1470 cfm

cfm.
Size of Existing Header = 200 NB.
Actual cfm available at the end of Header ~ 1400 cfm
Action Taken:
Increase header size from 200 NB to 300 NB.
B
Benefits:
fit Cfm
Cf att end
d off H
Header
d = 1450 cfm.
f
1450 cfm
1400 cfm
f
B f
Before After
Availability at User end

SUMMARISING THE INITIATIVES
Total consumption =
C1 1100 cfm 700 cfm
900
C2
Compressor
COMPRESSOR PLANT
Hall
C3 5 5
1 7 kg/ sqcm
Unloading reduced by
C4 A
50%. R
Air Receiver
5.5 Total consumption = 850 cfm

75
7.5 kg/ sqcm 2 1100 cfm
A A 900
R R
6
REFRIGERATOR PLANT
7 kg/ sqcm
5 Powder
Coating
4 Total consumption =
250 ~300 cfm
A
5 kg/ sqcm R
7 kg/ sqcm
3
1 – Var. Freq
q Drive 4 – Redirection of Spare
p Capacity
p y
2 – Pr. Regulating Valves 5 – Transvector Nozzle
3 – Compressor Relocation 6 – Pipeline Diameter
INVESTMENTS AND BENEFITS
Proposal Initial Financial Benefits per year Other Benefits
Investments
VFD Rs. 5 lacs Rs. 13 lacs. Motor protection.
installation
Pressure Rs. 3 lacs a. Rs. 15.6 lacs. Compressor wear and

Regulation b. Rs. 10 lacs in spare cost. tear reduced by 10%.
Pressure reduced in
pipeline.
Compressor Rs. 2 lacs Rs. 5.2 lacs. Better control and
Relocation monitoring.
Transvector Rs. 1.5 lacs Rs. 10.4 lacs. Ease of operation.

Nozzle
Pipeline
Pi li R 15 llacs
Rs. R 5
Rs. 5.2
2 llacs. Scope ffor ffuture
S t
Modified expansion.
Total Investments = Rs. 26.5 lacs (one time)

Total Savings = Rs. 59.40 lacs per annum.
OTHER INITIATIVES
Electric Motors:
All motors > 5 KW have been equipped with Variable Frequency Drives.
Operating frequency of motors are 15 Hz to 45 Hz in accordance to its usage.
Man Coolers:
VFD installed on more then 100 nos

of Plant cooling fans (each of 2 HP)
& speed controlled according to
ambient temperature.
FRP ( Fiber Reinforced Plastic)

blades installed on plant cooling
fans in place of metallic blade.
blade
Metallic Blade FRP Blade

OTHER INITIATIVES
Cooling
g Towers:
Metallic blades of cooling tower fans
replaced with FRP ( Fiber reinforced plastic)
blades.
Cooling
g tower p
pumpsp replaced
p with
Energy Efficient pumps.
Energy Efficient Pump
Fan operation controlled through

sensing of water temperature.
Water Temperature Sensor

OVERALL BENEFITS
¾ Reduction in specific power consumption by 15%

15%.
¾ Saving of 24 lac units of power in 2009-2010 with Energy Conservation measures.
¾ Maintaining power factor of 0.99 and above - earning rebates from Punjab State
Electricity Board.
Specific Power
Production Savings (units) Total
Consumption Total Units %
units
used Reduction
saved
(Kwh) in units
(Kwh)
Year Refer Comp Refer Comp Refer Compressor
08-09 10.83 5.90
09-10 9.19 5.04 810225 1271236 1328769 1093263 2422032 13979930 20.74
C
Cumulative
l ti ffor year 2009
2009-2010
2010 2422032 13979930 20 74%
20.74%
Total Units saved in rupee terms = Rs. 5.2 X 2422032

= Rs. 1.26 crores.
By saving 24 Lac units, we reduced CO2 emission by 1992 TCO2E

(Tons of CO2 equivalents).
With this
Passion to Excel
Our Journeyy
towards
Greener
B i
Business….
continues at
GODREJ
THANK YOU
Sona Koyo
y
Steering
Systems Ltd
Welcome U all
MANUFACTURING LOCATIONS- INDIA
Sona Koyo Steering

Systems
Sona Koyo Steering Systems Sona Somic Lemforder
M hi d Sona
Mahindra S Limited
i i d
DELHI
DARUHERA
GURGAON Sona Okegawa Precision Forgings Sona Cold Forgings
So
Sonaa So
Sonaa So
Sonaa Mahindra
a da Co d
Cold
Koyo Somic Okegawa Sona Forging
MUMBAI
NASIK Production 1987 1995 1998 1980 1997
TS16949 9 9 9 9 9
Sona Okegawa - Pune
PUNE
ISO 140001 9 9 9 9 9
Deming 9
CHENNAI
TPM
* Excellence
Award 9
CERTIFICATIONS
Sona Koyo - Chennai

Sona Koyo Steering Systems Ltd. 2
STEERING GEARS
R&P Manual
R&P Power (Integrated Housing)
R&P Manual
RBS Manual
INTERMEDIATE SHAFT
Intermediate Shaft
Lateral Impact Energy Absorption
Vibration Absorption
Axial Impact Energy Absorption
Axial Impact Energy Absorption
Intermediate Shaft Intermediate Shaft

Intermediate Shaft Intermediate Shaft

COLUMN EPS
Sona has started production of automotive CEPS using JTEKT technology

DRIVE LINE COMPONENTS
Propeller Shaft
Rear Axle Assembly
Case Differential Assy
Intermediate Drive Shaft

CASE STUDY THEME
Energy Conservation
in Heat Treatment
Process
7
OUR TEAM
Consultant
Mr. S.S.Dhingra
Group Mr. D.S.Sugwekar

L d
Leader
Members
Ravindra Ravi Rakesh Hervender Balkishan
ACTIVITY PERIOD: JUL’2009~DEC’2009

8
REASONS FOR THEME SELECTION
Electricity consumption cost of last three year
B Unit / Kg. Cum Target

E 2.5 Cum Actual
T
T
1.88 1.82
E 2 1.74
R Target
1.76 not
15
1.5 1.58 achieve
1.42 d
1
0.5
0
F-07 F-08 F-09
9
UNDERSTANDING THE SITUATION
Heat-Treatment manufacturing cost Electricity consumption per day in Heat
break-up of last three year ( Average ) Treatment for the last three months
Average per
R per KKg
Rs. unit cost@ ` UUnitit
15 5.10 in Jul’09
consumption / day Furnaces
Electricity
Electricity
consumption 3000 consumption
12 89
8.9 cost is 2700 i maximum
is i
7.5 maximum 2400 2739
9 2100
5 1800
6 1500
1200
1.5 900
3 0.5 600 426
300 84
0 0
Electricity Propane labour Fixture Others Furnaces Machines Others
Inference : Electricity consumption cost Inference : Electricity consumption of

is maximum furnace is maximum
10
UNDERSTANDING THE SITUATION
Furnaces electricity consumption per day
break up SET TARGET
Units Consumption / day To reduce
T d 33% off the
th Furnace
F
1600 electricity consumption per day
Sealed Quench by December’2009
1400 Furnace
1200 electricity
l t i it UUnitit
1005 consumption is
1000 maximum consumption / day
800 3000 33%
600 744 2500
426 406 2739
400 2000
158
200 1500
1835
0 1000
Sealed Quench Pre-heating Tempering-I Tempering-II Exhaust
Furnaces ( 3
Nos )
Nos.
Blower with
furnaces
500
0
Inference : Sealed Quench Furnace
electricity consumption is maximum Present Target 11
CAUSE ANALYSIS
Heat--treatment process sequence

Heat
To Increase Carbon Level On
surface of Material Up to
Pre-Heating Required Depth & Obtain
Heat treated the desired Metallurgical Structure
Furnace
charge at 450°C for
Cycle time : 80 Minutes Cycle time : 330 Sealed Quench
80 Minutes Minutes ( Avg.)
Avg )
Furnaces
Batch Code Charge Washing Preheating Carburizing and
g
Punching p
Preparation g
Hardening
To reduce the
stresses developed Washing
during Hardening
Cycle time :
operation
140 Minutes
Tempering Furnaces
Straightening Shot Blasting Inspection Tempering
12
CAUSE ANALYSIS CONTD…
Measurement of electricity consumption as per running hours at different equipment
Existing Situation
Sr. No. Equipment name Cycle Time Equipment parts Running
Unit Consumption
Hours
1.1 Quench Agitator motor ( 7.5 KW H ) 24 180
1.2 Blower motor ( 3.7 KW H ) 24 88.8
1 3 R
1.3 Recirculating
i l ti f
fan motor(
t ( 2
2.2
2 KW H ) 24 52 8
52.8
330 Minutes
1 Sealed Quench Furnaces
( Average )
1.4 Cooling pump motor ( 2.2 KW H ) 6 13.2
1.5 Make up pump motor ( 0.75 KWH ) 0.25 0.19
1.6 Pusher motor ( 1.5 KWH ) 0.17 0.26
2.1 Recirculating fan motor ( 3.75 KWH )

2 Pre-Heating 80 Minutes 24 744
2.2 Heaters ( 70 KW H )

3 Tempering Furnace-I 140 / 200 Minutes 24 426

4 Tempering Furnace-II 140 / 200 Minutes 24 408
5 Exhaust Blowers 80 Minutes 5.1 Blower motor ( 3 Nos. )*( 2.2 KWH ) 24 158.4
13
CAUSE ANALYSIS CONTD…
Extra electricity consumption break up at different equipment due to idle running
Extra electricity
Consumption / day
400
350
Pre-Heating has
300 279 270 Maximum extra
electricity
250 consumption
200
155 153
150
100
59
50
0
Pre-heating Quench Tempering- Tempering- Exhaust
Agitator ( 3 II I blower
NG Furnaces )
Causes
1 2 3 4 5 14
ANALYSIS OF CAUSE-1 : IDLE RUNNING OF PRE-HEATING
Existing Situation : Pre heating furnace is always ON during loading

& idle period & consumes 744 units per day
Pre-heating Process cycle : Total 80 Minutes

Pre-heating Requirement :
Situation 1 : Pre-
Charge in Charge out Heating ON
Pre- Heating Sealed Quench Furnace-I Idle Time :

450°C 250 Minutes
Cycle Time : Cycle Time : 330 Minutes
80 Minutes
Pre-
Heating ON
-
Situation 2 :
Sealed Quench Furnace-I
Temperature
Cycle Time : 330 Minutes
Pre- Heating Idle Time :
reached 170 Minutes
Temp. Cycle Time :

160 Minutes
Sealed Quench Furnace-II
Drop Pre-
Situation 3 : Heating ON
Sealed Quench Furnace-I for
Furnace I
Furnace-I
20 min. 60 min. Cycle Time : 330 Minutes
Pre- Heating Sealed Quench Furnace-II Idle Time :

90 Minutes
Cycle Time :
80 min
min. 240 Minutes
Sealed Quench Furnace-III
15
ANALYSIS OF CAUSE-1 : IDLE RUNNING OF PRE-HEATING
Experiment : Shut down Pre-Heating during idle Countermeasure : Switch OFF Pre Heating
period & establish recovery time versus furnace during Idle Period & restart 18 minutes
Temperature drop during idle time . before next loading for 170 Minutes Idle time.
Pre- Heating OFF
Present Situation : 225 Minutes
Situation 1 :
Pre- Heating Sealed Quench Furnace-I
- Idle Time :
Idle time Temp. drop Time to recover drop Unit consumption Cycle Time :
250 Minutes
( minutes) ( °C ) temp. ( Minutes ) 80 Minutes Pre- Heating OFF
152 Minutes
Situation 2 : Sealed Quench Furnace-I -
Cycle Time : 330 Minutes Idle Time :

170 130 18 21 Pre- Heating 170 Minutes
Cycle Time :
Sealed Quench Furnace-II
160 Minutes
Cycle Time : 330 Minutes Pre- Heating
160 122 17 20 Sit ti 3 :
Situation continuous ON
Pre Heating Sealed Quench Furnace-I,II & III Idle Time :

150 115 16 19 Cycle Time : 330 Minutes
90 Minutes
Cycle Time :
240 Minutes
140 107 15 17
Effectiveness : Units consumed by Pre-heating
furnace per day
130 99 14 16 Units
Consumption / day Saved 314
800 electrical
units / day
744
44 The C
Th Countermeasure
t
120 92 13 14 600
deployed Horizontally for
400 480
Cause 3 & 4 of Tempering-II
200 & Tempering-I
0
Before After 16
ANALYSIS OF CAUSE 2 : IDLE RUNNING OF QUENCH
AGITATOR
Quenching agitation mechanism in Quenching Tank of the furnace

Quench Agitator require to break the vapour blanket in the tank during quenching , So that the
Highest Rate Of Heat-Transformation Occurs & it maintain Quench oil temperature uniformly
through
g out Quench tank.
ELEVATOR
nner Door
Charge
In
Furnace Chamber
Quenching oil
Electrical
MAKE heater Charge
UP
TANK
Rear Front
Baffles attached
QUENCH Quenching
to elevator
AGITATOR Tank 17
ANALYSIS OF CAUSE 2 : IDLE RUNNING OF QUENCH 20
AGITATOR
Sealed Quench Furnace Process cycle : Countermeasure : Variable frequency drive programme
change in Sealed quench furnace PLC, so that Quench
Existing Situation : Agitator always ON throughout
agitator will run only during quenching through variable
the process cycle of 330 minutes , but required only
frequency drive & stopped there after , till next
for 35 Minutes
quenching .
Present Situation :
Total Process Cycle Time : 330 Minutes ( Average ) Total Process Cycle Time : 330 Minutes ( Average )
Charge Tempe Charge Tempe

Load in rature Carb. Quenching Unload Load in rature Carb. Quenching Unload
& & from & & from
Heating Pick Heating Pick
Hard. Draining Furnace Hard. Draining Furnace
Chambe up to Chambe up to
r 880°C r 880°C
Cycle Time : Cycle Time :

Cycle Time : Cycle Time :
295 Minutes 35 Minutes 295 Minutes 35 Minutes
( Average ) ( Average )
Agitator Not Required Agitator OFF

Agitator Required Agitator ON
295 Minutes 35 Minutes 295 Minutes 35 Minutes
18
EFFECTIVENESS OF COUNTER MEASURE OF CAUSE-2 :
IDLE RUNNING OF QUENCH AGITATOR
Effect on core hardness :
Before Unit Consumed by Quench Agitator
10
8
LSL USL N=20 , per day :-
F re q u e n c y
6 x = 36.5 HRC
4
Average variation
2 =3 HRC Unit
0
Consumed / day
2 5 -2 6
2 7 -2 8
2 8 -2 9
2 9 -3 0
3 0 -3 1
3 1 -3 2
3 2 -3 3
3 3 -3 4
3 4 -3 5
3 5 -3 6
3 6 -3 7
3 7 -3 8
3 8 -3 9
3 9 -4 0
4 0 -4 1
4 1 -4 2
4 2 -4 3
4 3 -4 4
4 4 -4 5
4 5 -4 6
4 6 -4 7
200 83
10
electrical
After
8 LSL USL units / day
N=20 ,
180
F re q u e n c y
6
4 x = 36.4HRC
2
Average variation
0 =3 HRC 100
2 5 -2 6
2 7 -2 8
2 8 -2 9
2 9 -3 0
3 0 -3 1
3 1 -3 2
3 2 -3 3
3 3 -3 4
3 4 -3 5
3 5 -3 6
3 6 -3 7
3 7 -3 8
3 8 -3 9
3 9 -4 0
4 0 -4 1
4 1 -4 2
4 2 -4 3
4 3 -4 4
4 4 -4 5
4 5 -4 6
4 6 -4 7
97
Effect on core microstructure :
0
Before After
The Countermeasure deployed

Before After
Horizontally on all 3 Sealed Quench
Furnace
INFERENCE : No significant Variation 19
ANALYSIS OF CAUSE- 5 : IDLE RUNNING OF EXHAUST BLOWER
Exhaust blower Existing Situation : Exhaust blower is

Body always ON throughout the process cycle
Ducting of 80 minutes
Pre Heating process cycle
Pre-Heating
Charge in Charge out
Temp.
Pre-Heating
•Tempering furnace
/ pre •-
g Furnace
•heating reached
450°C
Exhaust
blower not
required
Temp.
Drop
20 min. 60 min.
Requirement of Exhaust blower = Max. Fumes generation period
Pre-heating
P h ti Process
P cycle
l : 80 Mi
Minutes
t
Exhaust Blower requirement : 20 Minutes
Idle running of Exhaust Blower : 80-20= 60 Minutes per cycle 20
COUNTER MEASURE OF CAUSE 5 : IDLE RUNNING OF EXHAUST
BLOWER
Countermeasure : Exhaust blower electrically

Unit Consumed by Exhaust Blower
interlocked with Pre-Heating process cycle. per day :-
Before kaizen :
Charge in Temp.
Charge out
Unit
reached Consumed / day
450°C
200 93
Exhaust electrical
l ti l
blower Idle
running 80 units / day
Temp. Minutes 150
Drop
158
80 min
min. 100
After Kaizen :
Charge in Charge out
50 65
Temp.
reached 0
450°C
Before After
Exhaust
blower
Exhaust p
Temp. remain OFF The Countermeasure deployed
Blower 60 Minutes
Drop Horizontally on Tempering-I &
ON 20
Minutes Tempering-II .
20 min. 60 min.
21
CHECK RESULT :
Furnaces electricity consumption/ day break up

Unit
Units
Consumed/ day
Consumed / day
1600
1816 Units
1600
1400
Before 2739 1400 After
Kaizen Kaizen 34 % reduction
1200
1005 Units 1200
1000 in electricity
1000
800
800 757 consumption
600
600 480
744 426 406 400
400 259 255
200
158 200 65
0
0
Sealed Pre-heating Tempering-I Tempering-II Exhaust
Sealed Pre-heating Tempering-II Tempering-I Exhaust
Quench Blower with quench Blower with
Furnaces furnaces furnace furnaces
( 3 Nos. ) ( 3 Nos. )
Rs. per kg Heat-treatment manufacturing cost breakup

25
91 98 100 90 Overall Improvement 22%
Rs. per Kg
20 70 18
89 90
97 100
15 60 71
12
60
38 43
10
8.9 30 6 Effect of
5 7.5 7.5 30
Kaizen
5 1.5 0.5 5 1.5 0.5
3
0 0 0 0
Propane Labor Electricity Fixture Others
Electricity Propane labor Fixture Others
Before After 22
CHECK RESULT :
Saving in Electricity Consumption Cost after Kaizen

Next 3 month expected saving
Rs in Lacs Jan'10~Sep'10
p Saving
g
40 Current Average Furnace
per unit cost Utilization
35 @ ` 9.00 increased
by 1.24%
ER
30
BETTE
25
20
Saved
` 29.42 Lacs
15 29.42
till Sep’2010
10
5 11.28
0
Jan'10~Sep'10
Jan 10 Sep 10 Oct'10~Dec'10
Oct 10 Dec 10
23
NEXT CHALLENGE: REDUCTION IN
PROPANE CONSUMPTION COST
THANK YOU
END OF PRESENTATION
24
Key Note Address
Mr. A N Raman
Member TCM Working Group CII
© Confederation of Indian Industry

Pricing Strategies As Economy
Scales Tilt
* PRICE = COST+PROFIT
Okay in a supply controlled
Economy where cost means
accounted data in system
PROFIT= PRICE - COST
Price is market driven in a free
Economy with competition.
Costs need to be managed
better
As usual - Cost Sheet
Particulars Of Cost Rs/kg

Material 10.00
Power 4.00
Direct Labour (thru rate) 4.00
Indirect Labour (% of DL) 2.00
Overheads 4.00
TOTAL 24.00
Margins 6.00
EXPECTED PRICE 30.00

Arbitrary approaches lead to
Approaches“cut
... and shrink”
Usual results ...
zpenalising 'lean' and 'fat'

departments equally
zrecruitment/salary
zfailing to improve structures and
freezes
processes
zbudget cuts across the
zcompromising on customer service
board
and quality
zcutting the easy-to-cut,
zoverloading managers and
rather than the unimportant
damaging staff
morale
zapplying the latest "buzz"
approach ...
z not sustaining the 'savings' found
under-funding new investments,

z
while excess costs remain

Strategic evolution & relevance of cost management
Business Cost Accounting TCM Maturity

Context Management Concept Tools Model Levels
Sustained way Environ & Futuristic Cost

Costing for Strategy
Risk based
CSR Cost Exemplary
of doing Business Structure
Structure
Target Cost driving
Aggressive Customers, Target
Inclusive Designing Costing
TCM Enabled
Pricing
Growth Technology
Product
Competitiveness Feature Based
Strategy driven
Operational
Segmented Costing & IT Costing
Driven
Costing for
Operations
Variety support
Variety of
TCM Functional
Production
ABC/ Time Driven
Traditional Costing
Volume Assured Minimal
Product Costing

Every Company has Hidden Wastes
FINISHED PRODUCT
TO CONSUMER
RAW MATERIAL
SEA OF INVENTORY
LINE LACK OF
QUALITY
LONG IMBALANCE HOUSE KEEPING
PROBLEMS
POOR SET-UP
SCHEDULING TIME
MACHINE LONG ABSENTEEISM COMMUNICATION

BREAKDOWN TRANSPORTATION VENDOR PROBLEMS
DELIVERY

Why do we need TCM?
Which are our

profitable products and
what are the profits?
Can we reduce Which customer

the prices segment is most
without reducing profitable?
the value?
How much do our

Are our make or
products cost us?
buy decisions
right?
TCM Tools
Cost Reduction ABC Target

CIP & costing
Inventory mgt. ABM
Logistics
Supply chain mgt.
Energy
Materials/ chemical
Finance mgt.
Other specific areas

Typical product profitability profile
250
Percentage of Total Profits
200
150
100
50
0
0 1 5 10 15 20 30 40 50 60 70 80 90 95 99 100
Percentage of Total Products
Do you have information to draw this curve?

TCM
Strategic Decisions and Operational Improvements
What activities should we perform?
Product design
Product-line and customer mix
Strategic Supplier relationships
View
Customer relationships
Total Cost
Management - Pricing
- Order size
- Delivery
- Packaging
Operational Market segmentation

View Distribution channel
Resources
Activities What drives activity cost?
Business processes
Activity management
Cost drivers
Product costs Business process reengineering
Customer costs Total quality
Performance measurement
©1996 Robert S. Kaplan © Confederation of Indian Industry
Procurement Costs
Cost of Ownership (COO) can be used to drive the
efficacy of procurement
* Typically,
15
20
procurement price is 25
40% of COO 10
5
5
80
* But, purchase 40
personnel spend COO Time
80% of their time Price Transport
monitoring
Space Re je cts
Cost of capacity Othe rs
All Othe rs
purchasing price
N a t io n a l Ro a d M a p t o C o st
Strategic emphasis
M a n a gemen t c o mpet en c y
Integrated with
ERM and
Governance
Integration with
business strategy
competitive
advantage
Cost
Accounting
Standards
driven
Cost emphasis
Partial
Adoption
Non Standard
CMA policies
Statutory phase - enable laggards Matured to voluntary drive


Energy Conservation

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Energy Conservation

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Energy

Presenter : N.M. Jai Bharath

Using less energy to achieve a lesser energy service

Improvements in energy efficiency are most often achieved by

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 2

Motivations to Improve Energy Efficiency

Reducing energy use is a key solution to

Improved energy efficiency in Buildings, industrial processes and

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 4

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 5

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 6

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 7

¾ Energy ‘consumption’ not just cost, it should be part of regular

National Saving Potential

Estimated Saving Potential by

Energy Deficit : 73093 M kwhrs

Karnataka Saving Potential

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 9

Consumption Saving Potential

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 10

 The System over design – Improper Sizing

 Unaware of Energy Conservation Benefits

 Lack of Awareness on Energy Efficient Technologies

 Lack of Funds / Economic Justifications

 Lack of Involvement of Facility / Local People

Importance of Energy Management

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 12

• Enactment Of Energy Conservation Act 2001

• Standards & Labeling Program

• Energy Conservation Building Code ( ECBC )

• Demand Size Management

• Professional Certification & Accreditation

Energy Reduction Achieved at KIL : 42%

9 Allocation in the Annual Budget a portion towards Conservation

9 Monthly Review of the POP Projects by Managing Director

9 Involvement of Employees in Encon Program

9 Dedicated KIL Encon Team

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 14

 Established in 1967 in collaboration with Krupp Widia, Germany.

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 15

• Always strive to be a sensible steward of natural

• Take prudent actions to promote a safe environment

Conservation of Resources by KIL due to Green initiatives

• Energy Consumption reduced by 42% MONITOR DETECT

• Annual Savings: Rs.540 Lakhs CONTROL

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 16

 It is the Right Thing to Do!

 Resources are limited, especially oil and gas, we want

 Our Manufacturing practices to be

• Process Improvements / Modifications

• Incorporate modern Technology in Utilities

• Better Maintenance Practices

¾ Plan to grow more than 20% every year

¾ Need to run Captive set in view of unreliable Grid Power

¾ Increasing Furnace Oil price and increasing Power Tariff

¾ To make the manufacturing practices Environmental

Measure - Detect - Control - Monitor - Sustain

Energy Management Team Organisation Structure

Team Team Team Team Team

© 2008 Kennametal Inc. l All rights reserved. l Proprietary and Confidential l 20

 Problems with recording in Mechanical meters used

Action Taken : Installed Energy Management System

 Measurement to be followed for Comparing

Measure - Detect – Control – Monitor – Sustain

The System over design – Improper Sizing

Unaware of Energy Conservation Benefits

Lack of Awareness on Energy Efficient Technologies

Lack of Funds / Economic Justifications

Lack of Involvement of Facility / Local People

Established in 1967 in collaboration with Krupp Widia, Germany.

It is the Right Thing to Do!

Resources are limited, especially oil and gas, we want

Our Manufacturing practices to be

Problems with recording in Mechanical meters used

Measurement to be followed for Comparing

Measure : Measure the power consumed in each production area.

Shared KIL Encon Success information in International , National &

436 Professionals / Engineers visited our facility to study KIL Encon

Established Operations in year 1995 with an investment of USD 375

Ford India manufactures and distributes automobiles made at its modern,

The company presently has 129 dealership facilities in 97 cities. The