Mining and Industrial Energy Efficiency Initiative Mario Kuisis

1. Mining and IndustrialEnergy Efficiency InitiativeMario Kuisis Association for Mining & IndustrialEnergy Optimisation

2. Agenda Introduction to the MIEO Topics and members Current status The future

3. Association forMining & Industrial Energy Optimisation The MIEO came about when several companies supplying energy saving products realised that: Significant energy efficiency improvements had been achieved in the residential sector and some in the commercial sector Relatively little progress had been made to improve energy efficiency in the mining and industrial sector, yet . . . • Consumption is great • Savings potential significant • Awareness generally low • Opportunities abound • Energy supplies threatened • Something needed to be done!

4. Electricity Consumption by Sector Source: Eskom IDM

5. Mining & Industrial Electricity Usage Most residential and commercial consumption is in a few areas (water heating, cooking, HVAC, lighting) Patterns of usage quite different in mining and industry Far more diverse • Processing • Process heating • Lighting • Homes and hostels • Electrochemical processing • Other motive and more . . . • Pumps • Compressed air • Fans • Material handling • Furnaces • Industrial cooling

6. Mining Source: Eskom IDM

7. Industrial Source: Eskom IDM

8. Mining & Industrial Energy OptimisationCreation Situation noted in 2008 by a group of independent, concerned and like minded companies Decided to create a vehicle to address the situation Encompassing all major energy consuming plant types Started with one seminar in 2008 Formalised with the SAEE by creating the Mining & Industrial Energy Optimisation chapter in 2009 Launched with a series of seminars at major centres around South Africa Initially supported by Eskom then by UNIDO/CSIR Became an independent association in late 2011

9. Objectives of the MIEO Aimed primarily at dissemination of information on the practical aspects of improving energy efficiency For senior management and energy professionals Identify where and how savings can be made, with case studies and financial payback considerations Vendor-neutral presentations delivered by subject matter specialists Includes presentations by funding organisations Practical focus – why, what, where, how Energy specialists in attendance for one-on-one discussions in networking sessions

10. Topics Topics covered in the 2012 seminars include: Update on the electricity supply situation (Eskom) Fans Steam Pumps Comminution Compressed air VSD’s and Motors Energy measurement Voltage Power Optimisation Efficiency performance monitoring Energy management programmes Heat pumps and Solar water heating Eskom IDM and independent funding options Energy Management Systems and Standards Energy saving in electrical distribution networks

11. IEE (Industrial Energy Efficiency) ProjectEnergy Systems Optimisation Objective: Sustainable energy saving Management systems Standards Training Demonstrationprojects Systems approach High level support

12. Fans Fan sizing, specification andselection for energy efficiency Flow regulation options andimpact on energy consumption Benefits of VSD’s for fans Benchmarking Retrofitting Case study Savings analysis tool

13. Pumps Pump sizing, specification and selection for energy efficiency Flow regulation options and impact on energy consumption Mass balance and BEP Benefits of VSD’s Retrofitting Case study Savings analysistool

14. Motors Motor sizing, specification and selection for energy efficiency Premium vs high and standard efficiency New motor efficiency classes Analysis of motor losses Other benefits IDM motor programme Retrofitting Impact of rewinding Case study Savings analysis tool

15. VSD Drives Managing the VSD application process Throttling vs speed control Pump and fan control Process optimisation Energy analysis Case study Cost saving analysis tool

16. Compressed Air Systems Compressor sizing, specification and selection for energy efficiency System design and maintenance Air driers, filters, valves and pipework Controllers Benefits of VSD’s Energy recovery Case study Savings analysistool Shaft power 100% Remaining heat in compressed air 4% Radiant Losses 2% Recoverable energy 94%

17. Compressed Air and SteamLoss Management Prevalence of energy lost to waste Primary causes – leaks and faulty equipment Identify/locate problems without affecting production Cost of the defects and focus areas Loss management programmes for sustainability Cost of intervention and payback Case study

18. Energy Measurement and Monitoring Measuring energy consumption Metering, data collection, analysis Monitoring and targeting Making energy use visible Real time performance visualisation Behaviour change and energy saving Energy efficiency tax incentives Measurement and Verification The value of independent M&V Specific energy use Getting EE Tax Certificates Case studies

19. Management Programmesfor Sustained Energy Savings The Potential for Industry Drivers for Change Reasons for Inaction Resources Finances Competing priorities Overcoming Inaction Top level business strategy and directives Opportunity identification Prioritising Case Study

20. Energy Saving inElectrical Distribution Networks Distribution transformers account for 20-25% of total energy losses in a transmission and distribution system Cable losses can be several times more than transformer losses New technology permits these losses to be reduced 10 to 30% for transformers 20 to 80% for cables Simultaneously reduces capital cost Requires different reticulation systemdesign approach Safer and environmentally friendly

21. Voltage Power Optimisation Poor electrical power quality leads to poor energy utilisation and unnecessary losses Controlled and clean power permits electrical equipment to operate at optimum efficiency Voltage power optimisationwith low loss technology isan elegant solution Solid state, no moving partsmeans it is maintenance free Simultaneously improves power factor and protects equipment from harmful transients and harmonics Case studies

22. Comminution Comminution : Describes collective processes directed towards size reduction of rocks (ores) Comminution typically accounts for between 65% and 80% of all energy consumed in mining operations Less than 2 % of this energy is transferred to rock particles to effect size reduction Significant opportunity for improvement Process optimisation with integrated miningand processing activities designed to takeadvantage of recent technology are the keyto efficient crushing, grinding and milling Case study

23. Heat Pumps for Industry In this context: A heat pump is a device that can be used to heat sanitary hot water in a very energy efficient and cost effective manner Optimised energy efficiency through sophisticated application engineering Significant savings achieved through appropriate combination of heatingtechnologies, sizing andintelligent control How it works Case study Technology roadmap

24. Funding Options Eskom IDM Energy services company (ESCO) funding model Direct customer funding model Standard offer funding model Self funding model Alternative financing options IDC German Development Bank Invest North West

25. Typical Seminar Programme One full morning - 07:00 to 14:00 Starts with breakfast Short presentations (20/25 minutes) Technical topics supplemented with a technical paper Programme adapted to suit local industry Mini exhibition attached Sometimes co-hosted with local events

26. Some of the 2012/3 Participants ABB Atlas Copco Endress+Hauser Martec Metso M-Tech Industrial Power Optimisa Weir Minerals

27. The Future Let the association continue in dormancy, or Explore the possibility of supporting the SAAE For example: Arrange a seminar dedicated to the SAAE Dispense with the Eskom and funding topics Start with finger breakfast/coffee/tea etc. Short presentations (20/25 minutes) Objectives: Open up new energy savings opportunities for Esco’s Facilitate the creation of Esco/MIEO member partnerships

28. Thank You ?