Plant Services - September 2007 - (Page 29) energy eXPerT Planning for minimum carbon It takes more than efficiency to manage climate targets I had the good fortune to be at the Energy Star Industrial have massive effects on a company’s competitiveness, and all Focus Meetings at the same time as the World Energy of which are becoming increasingly likely. Engineering Congress (WEEC) in August. Both of During the past century, industry used a mix of electricthese events took place in Atlanta in abnormal 100°-plus ity, natural gas, heating oils, gasoline and diesel fuels. Each heat. While listening to energy managers from successful, carries a distinctive carbon footprint, depending on the fuel globally respected companies, I was struck by two things. and the losses incurred in delivery. First, it’s clear their role is enjoying the highest degree of Long considered an undifferentiated commodity, elecsenior management support I have ever seen within the tricity is interesting. If most comes from coal or oil, then United States. every megawatt-hour carries between 800 kg and 1,000 kg Second, their need to include carbon reduction targets of carbon dioxide resulting from the fuel itself, heat losses and strategies is growing dramatically. The energy manager and losses in distribution. If most comes from natural gas, it is being asked to manage not only for minicarries only 220 kg. If it comes from nuclear, mum energy, but increasingly for minimum hydropower, sunshine or wind, it represents carbon. If your corporate energy management Identical plants nearly no carbon dioxide. These differences plan doesn’t actively include climate targets, are included in a formal registration of a comhave radically it’s probably time to revisit it. pany’s carbon footprint, for example with the different carbon California Climate Action Registry. Identical What are the basic differences in a plan footprints, aimed at minimum carbon? First, one of the plants in Ohio (coal), California (gas), British hardest aspects to handle is how to put a dollar Columbia (hydro), or France (nuclear) have simply from value on carbon reduction. As there isn’t yet a radically different carbon footprints, simply their source U.S. regulatory framework either to reward or from their source of electricity. This fundaof electricity. penalize greenhouse gas generation, the only mentally changes the value of strategies to rational way is to look at various “What if?” reduce electricity when carbon is taken into scenarios and their risks. account. What if some of your operations are obliged to regulate Managing heating takes on a very different complexion in carbon emissions in some countries and not others? How a carbon-based plan. Simply switching from oil- to natural would you justify differing management practices to cusgas-fired boilers makes an immediate and dramatic reductomers, stakeholders and the wider community? tion in carbon emissions. The use of biofuels, such as wood What if your U.S. operations had to carry penalties at the pellets, will give yet another significant carbon reduction level of the current EU carbon emissions market of around step. Actions to improve heat efficiency obviously multiply $25 per metric ton of carbon above a 1990 baseline? the effects of these choices. In a carbon-driven energy plan, What if a major customer demanded accurate accounting heat recovery within the plant is effectively carbon-free relaof the climate effects of your operations both in general and tive to the baseline. Combining the carbon impact of elecin the specific products they buy from you? Would you be tricity and heating by using on-site cogeneration (combined able to answer the questions, and could the business survive heat and power) lowers effective carbon in the electricity by the loss of this customer? avoiding the need for additional heating fuels. What if the United States ends up with a patchwork of The importance of efficiency must never be underestimatstate-level carbon reduction approaches ranging from very ed, however, efficiency actions may have differing priorities strict to nothing? Would your energy management approachwhen carbon is included. es be able to cope, and what would be the associated business decisions around location and management of operations? Peter Garforth is principal of Garforth International LLC, Toledo, These are just some possible scenarios, any of which could Ohio. He can be reached at garforthp@cs.com. September 2007 www.PLANTSERVICES.com 29 http://www.plantservices.com/voices/energy_expert.html http://www.PLANTSERVICES.com
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