EnergyBiz - November/December 2007 - (Page 47)

[CASE STUDY] cutting the cost of Flexible Operation in a competitive Power Market A leader in cogeneration and renewable energy production in the UK, rWE npower owns and operates a flexible portfolio of power stations capable of generating around 10,000MW, supplying over six million customers with electricity and gas. Optimizing the start-up of a power generating unit requires a careful balance which minimizes energy costs and limits plant damage. An analysis of the RWE npower’s start-up methodology using the PI System from OSIsoft® revealed significant variation in start-up techniques. After identifying the reasons for the variations, the company standardized and optimized the procedures to ensure that best practices were achieved for every start-up. Following an initial pilot to build a new Operational Information System in 1990, and subsequent company-wide rollout in 1993, RWE npower has since chosen OSIsoft products as the de facto standard on all ‘new builds’ and acquisitions, resulting in ROI pay-back from nine months to two years. The PI System is also implemented at a number of Combined Heat and Power (CHP) plants and is being used with the company’s Renewable Energy sites to collect and analyze data from wind turbines and hydro units. RWE npower currently has 275 OSIsoft ProcessBook/DataLink client licenses. OSIsoft has afforded more visibility into the process for greater performance management. The applications and techniques developed by RWE npower with the PI System have given the company the agility and flexibility to meet the challenges of a deregulated market and reduce costs by improving processes and optimizing start-ups with minimum damage to expensive equipment. ADDED VALUE APPLICATIONS: startanalysis and oPtiMization iMProvE BusinEss The startANALYSIS Application enabled RWE npower to see operational inefficiencies, such as: • Unreliable operation of key plant items, particularly after extended shutdown periods; • Significant inconsistency in the operation of boiler drains; • Poor timing of pressurization of main steam pipes, which can lead to plant damage. Pi systEM EnHancEs ProfitaBility By adopting a culture of real-time performance management and giving employees the tools to visualize operations at every phase and take the right actions, RWE npower has realized the following ROI: • Start-up costs reduced by approximately one third; • Peak savings of €120,000 in energy costs alone for one generating unit (250 start-ups per annum); • Cost savings from minimizing damage and extending the life of expensive equipment; • Visibility into the cost of CO2 in start- up; • New UK market rules mean that units are no longer paid for start-ups, so when the unit achieves on-load capacity and provides timely power to the grid, these costs can be recovered. Advertisement Added Value Applications describes the applications focused on cost reduction, revenue enhancement and process optimization which RWE npower has built internally using the OSIsoft PI System. RWE npower’s startANALYSIS application and other start-up optimization applications provide critical analysis and optimization of start-ups to ensure generating units are reliable and cost efficient. “The PI System is a great tool for integrating disparate systems and bringing data together,” said Paul Ireland, Manager of Information Engineering for npower Technology Services. “The strategy we have adopted with our Added Value Applications gets our employees on board with best practices. It’s all about getting the operator involved because that is the person who is going to optimize the process and save the plant money at the end of the day. With the PI System, employees can use intuitive tools to clearly see which practices are working and which ones are not, and take ownership in making the right changes to stay on course.” To ensure power gets to the grid on time without causing damage to expensive plant components, best practices must be defined to operate in a safe, reliable and cost effective manner. RWE npower’s startANALYSIS application provides guidance to reduce variation in start-up times and ensure the correct sequence of key activities. “Using technology like the PI System ensures our business remains competitive,” said Ireland. “With OSIsoft, we have better information to aid our decision making. Being agile is critical when markets change, legislation changes and new technology offers new opportunities. As systems are upgraded and new systems are introduced, integration remains our biggest exploitation opportunity.” for MorE inforMation contact: Mark Brown Business Development Executive Phone: +1 510.297.5800 Email: mbrown@osisoft.com www.osisoft.com www.energycentral.com E n E rgyB i z 47 http://www.osisoft.com http://www.osisoft.com http://www.energycentral.com

Table of Contents Feed for the Digital Edition of EnergyBiz - November/December 2007

EnergyBiz - November/December 2007 Contents Continental Grid Vision Needed Readers’ Views and Opinions Next for National Grid Clearing the Air The Need for Nuclear Energy Trade Status Report The Innovators California On The Leading Edge FERC Sparks Change Getting Coal Right Leadership in Times of Turmoil Innovation Delivers Return A Tale of Two IPOs LNGs Bright Prospects Generation Techologies The Age of Superconductors Leaders with Vision Get Ready for Plug-in Hybrids Betting on Batteries Cost of Decarbonizing Nuclear Helmsman – A chat with Dale Klein, Chairman of the U.S. Nuclear Regulatory Commission Global Energy Snapshot; Low-Income Energy Help; IT Spending Robust; The Greening of State Regulators; Generating Support Simplifying Offshore Wind Regs Chasing Construction Costs Energy Agency Sets New Course Deregulation Means Higher Rates Go-To Staffer Nightmare in Manhatten

EnergyBiz - November/December 2007

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