Title : Exploring energy efficiency procurement strategy (ESCO model) @ Saudi Aramco NJBP plant
Abstract:
The Problem:
Energy efficiency improvement is a sustainable process where any industrial organization on a continual basis will examine the energy consumers within its facility and implement the needed energy enhancement projects. However, funding energy projects is a big challenge for the operational department due to the funding constraints where priorities are given to the most critical projects pertaining to safety and reliability. This will result in impacting the facility’s energy performance for Saudi Aramco (NJBP) plant where significant energy gaps have been discovered (1,437 MWh) according to Solomon Energy Intensity Index External Benchmarking Study in comparison with Best In Class facilities worldwide.
Successful Approach:
Root cause analysis was conducted to identify the contributing factors behind the plant energy gaps and found that the existing buildings are consuming around 57% of the plant overall energy consumption. To overcome plant energy efficiency shortfall, Saudi Aramco (WRDD) department in collaboration with central engineering started the implementation of the procurement strategy Energy Service Company (ESCO) model with the objective to optimize the energy consumption associated with the buildings without any capital investment from WRDD as ESCO vendors will finance the required capital to execute the energy conservation measures and recover their capital investments through payments based on the saving that WRDD is expected to realize. This approach will resolve the funding challenge and improve (NJBP) plant energy performance towards excellence.
Positive Outcomes:
Saudi Aramco (WRDD) has successfully created operational excellence value for enhancing the plant energy efficiency performance index & OPEX along with bridging the identified energy gaps by applying ESCO models approach for the existing buildings without imposing any financial burdens on the department cost sheet. It is anticipated that the executions of ESCO model at NJBP will lead to an annual energy saving of 2 million KWh with equivalent to anticipated annual cost saving of $ 160,000. Moreover, the project will result in 1,458 tons of CO2 emission reduction. In the presentation, we will cover several aspects that ESCO is focusing on to achieve the targeted improvement opportunities including centralized Building Management System (BMS), Lighting Upgrade, Indirect Evaporating Cooling, Fresh Air Precooling, Chiller Plant Optimization, AHU Fan Retrofit to Permanent Motor, Brush Less Plug Fan & PV Solar
