Over the past several decades, there has been considerable growth in the energy services market across the globe—with energy audits and energy performance monitoring being two examples of services that, in this case, utilities started to provide in the 1980s. The readings for this week describe these services and their growth both in the US and in Europe.
For this assignment, assume you are the energy manager for a steel manufacturing facility, CSI, that is located in Jamshedpur, India. Over the past 2 years, your facility has been experiencing substantive increases in energy costs, and your new plant manager has asked you to conduct a thorough energy audit of the facility to identify energy conservation improvements that this facility can make to reduce its energy usage.
Background:
CSI is the only Indian steel supplier manufacturing five different product lines: hot rolled, pickled and oiled, galvanised and cold rolled sheet, and electric resistance welded pipe. In most of its product groups, CSI has the broadest production capabilities in India. CSI competes with other western Indian steel manufacturers, domestic suppliers from other parts of India, and with imported steel from around the world. CSI’s success in this competitive arena is proven by its ability to continue to increase sales and production year after year.
CSI customers manufacture a broad range of end-use products from the products that CSI supplies to them. CSI steel is used in construction materials for the home and commercial building industries, such as steel framing studs, roofing, decking, and metal lath. Other uses include water, gas and oil pipelines, automotive pans, tubing used in the construction and furniture industries, and heating and cooling parts.
Much of CSI's product lines are also sold to service distribution centres throughout India, with some products also sold worldwide through the export market—especially to the Asian market. CSI is committed to reaching high levels of productivity and quality. Since CSI began operations in 1984, almost $900 million has been invested in its facilities to maintain, modernise, and add operations. CSI is also committed to continued compliance to all environmental regulations to protect present and future human health in the local environment.
The CSI facility sits on 430 acres, with approximately 115 acres of the plant under roof. CSI employs about 1,000 full-time regular employees, supplemented by a small contingency staff. In addition to the manufacturing equipment/processes, the CSI site in Jamshedpur also includes a 15,000 square-metre office complex.
Products:
CSI is the leading producer of flat rolled steel in India, producing the widest range of flat rolled steel products in the region. CSI is the only Indian steel supplier capable of producing over 2 million tons of steel representing five different product lines.
CSI’s quality management system has been certified to meet the requirements of ISO 9001:2008 for the production of CSI’s entire product line.
Production Facilities:
Through an extensive modernisation program and a commitment to the latest technology in the production of steel, CSI's facilities are designed to continue its competitive position through excellence in product quality, productivity, and cost management.
The plant includes an 86" hot strip rolling mill, hot rolled strip finishing facilities (build-up, shear, and slitter lines), a 62" continuous pickling line, a 5-stand cold reduction mill, two hot-dip galvanising lines, cold rolling equipment of annealing and tempering mills, and an electric resistance welded pipe mill.
General plant services include a full-site maintenance contingent, a wastewater treatment plant, medical services facility, and corporate offices.
Unlike integrated steel mills or mini-mills, CSI does not manufacture steel. Rather, CSI processes steel slab purchased from suppliers around the world, including Brazil, Mexico, Australia, Japan, Europe, and the United States.
The management system governing the manufacture of CSI's products is ISO 9001:2000 certified.
Assignment:
Your new plant manager is concerned about the energy that is being used throughout the facility, as the process of making steel is very energy intensive. He asks you to conduct an energy audit of the facility (both manufacturing operations and administrative offices).
Outline the specific steps that you would take to complete this audit. Make certain that you tailor the steps to the type of steel manufacturing facility that CSI is—that is the key to this assignment.