Thought leadership System philosophy in efficiency optimization Abstract A system approach in efficiency optimization delivers the most rewarding efficiency improvements. This article presents the concept of Efficiency First, where energy saved is regarded as the first fuel, an energy source in itself. It goes on to describe a system philosophy to significantly reducing energy consumption in applications, where the focus is on system efficiency and not only on component efficiency. Powering a better tomorrow for the global energy supply In the united effort to preserve global security of energy supply and protect the climate, the industrial sector is justifiably under intense scrutiny as a significant energy consumer. Focus on energy consumption, and therefore energy efficiency, is inextricably bound to security of supply. This article presents the concept of Efficiency First, where energy saved is regarded as an energy source in itself. It goes on to describe how energy consumption can be significantly reduced with a focus on system efficiency and not only on component efficiency. Energy efficiency as an energy source Taking a holistic approach, the principle of reducing consumption has just as great a role to play in ensuring a sustainable energy supply in the future as converting from fossil fuel to renewable energy sources or expanding energy supply capacity. Energy efficiency is not only crucial in reducing CO2 emissions and production costs. It is also a key enabler in ensuring a stable supply, because it contributes to avoiding expansions of the grid. What is not consumed is not transported, saving on expansion and maintenance of the associated infrastructure. Improving energy efficiency does require an up-front investment. However, in many cases this investment is more cost-effective or valuable than the equivalent supply-side resources. Therefore it makes sense to talk about energy efficiency as an energy source, the first source. This approach goes under the name of Efficiency First. Some of the key ways in which Efficiency First can contribute to more cost-effective, competitive energy choices are1: • Enabling efficiency investments to compete on a level playing field with energy supply investments, in the national energy markets • Removing barriers to investments in efficiency • Monitoring progress on targeted initiatives such as the Ecodesign Directive, the Energy Performance of Buildings Directive and the Energy Efficiency Directive • Taking account of energy efficiency in policy development and planning, and avoiding unnecessary investments in fossil fuel infrastructure When the capacity of industrial facilities is upgraded with an Efficiency First approach, system efficiency optimization becomes the first alternative in sourcing energy, and increasing energy consumption becomes the last. Incentive and motivation to optimize system efficiency will decouple increased capacity from increased energy consumption. In many countries the link between increased GDP and increased energy consumption has already been broken. To achieve the best possible results with Efficiency First, the prerequisites are: • Benchmarking tools to compare the efficiencies of different systems and solutions • Motor and control system independence of the AC drives, ensuring freedom to achieve the best possible combination of components for optimal system efficiency 1 Efficiency First: Key points for the Energy Union Communication, The Regulatory Assistance Project, February 2015 1 System philosophy in efficiency optimization
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