Can This Tactic Cut Energy Costs?
Posted August 9, 2013 & filed under Uncategorized
In a previous article, we discussed a number of ways to cut costs, ranging from properly sealing HVAC ducts to installing solar panels, but what if you could cut costs on your energy bill while still using the same wattage with your machines? A manufacturing.net article suggests that better energy demand management can help to curb unnecessary energy waste.
The article proposes a hypothetical situation where a company is using a large machine, one that can produce 1,000 units per hour, as the primary workhorse of its manufacturing fleet. During the several weeks or months a year when the manufacturer is at peak production, the machine is perfect for the volume and is capable of producing the maximum quantities that customers demand. In the off season, unit production may be half of that. In most cases, that larger machine couldn’t be replaced with a smaller machine that draws lower wattage, so you have to find ways to trim costs elsewhere.
Electricity bills can be based on two different measurements, actual consumption and your highest peak. So, during those months when your consumption is on the higher end of the spectrum, you may be paying a bit extra that ultimately adds up.
To determine where you stand, the article suggests you first calculate your monthly kilowatt load factor. The formula is just your monthly kilowatts usage divided by the combined total of your peak consumption when multiplied by your hours of operation that month: kWh usage/(peak kWh x hours in the month). You normally need to directly request these numbers from your utility service provider but the end result is definitely worth it.
The article states that if the load factor total is less than 40 percent, then you might be able to save on your energy costs by flattening out your peak consumption. There’s no need to decrease your overall usage or the total number of product units you make in month. You just need to find ways to even out your usage and balance the production over time. So, according to this article, if you’re at peak output for a week, spreading that work over a slightly greater period of time can help you to cut your energy costs.
What do you think? Is the cost of making these types of reductions worth it or will it slow down the mechanisms of production? Look into your energy consumption to find out.
