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2013/1/21 Approach to Saving Energy in Idemitsu Japan The role of the Energy Manager to support energy conservation 10 th May,2010 Energy Manager Hidetoshi Suzuki

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Page 1: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

2013/1/21

Approach to Saving Energy

in Idemitsu Japan The role of the Energy Manager

to support energy conservation

10th May,2010

Energy Manager

Hidetoshi Suzuki

Page 2: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

2 2013/1/21

Introduction

Energy conservation is not a job that employees want to do. Also their mind cannot be moved by rules or governmental law.

On the other hands, most of energy conservation investments do not work out economically.

Therefore, the role of manager is very difficult and important.

Page 3: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Contents

About our company Idemitsu

Background

Governmental support

Management viewpoints

Visualization points

Example

Extreme idea

Summary

Page 4: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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About our company Idemitsu

Core Business

Resource

Development &

Procurement

Around

5,000 Gas

Station retail

R&D

Refining and

Petrochemicals

Page 5: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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About our company Idemitsu

Idemitsu has 4 refineries and 2 petrochemical factories

in Japan. Chiba refinery is the largest one in our

company and well integrated in petrochemicals.

Petrochemicals

Petrochemicals

Chiba refinery began

operating in 1963

Page 6: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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About our company Idemitsu

Survive our old refinery complex

Basically, complex competitiveness is

decided by configuration and its scale.

• Installed cutting edge technology

• High efficiency equipment are used

• Well considered configuration that suitable for

the market

Big handicap in our old complex !

Mission

Page 7: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

7 2013/1/21

About our company Idemitsu

Survival key items

Energy conservation is one of key item to keep

competitive edge

• To integrate chemical products (Fuel to Chemical)

• To know our production plant well

• To catch up new technology

• To maintain equipment well

Big handicap turns to a power !

Bring up intelligent operators through EC

Mission

Page 8: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

8 2013/1/21

Background

Energy unit consumption

<Refinery>

Fuel oil litter/kilo litter prod.

<Petrochemicals>

Fuel oil litter/ton product

Improvements what we

can apply are lost for

these several years.

Page 9: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

9 2013/1/21

Background

Most energy conservation matters do not

consist economically. So we need

“Financial support”

“Tax discount”

Motivation up

“Mind & Technical support”

Energy managers have to manage them.

Governmental support is also important.

Page 10: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

10 2013/1/21

Governmental support in Japan

<Financial support >

-Finance subsidy (NEDO, PEC)

-Taxation , Loan treatment

<Mental support>

-Commendation (EC award)

Page 11: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

11 2013/1/21

Governmental support in Japan

NEDO: Up to 50% investment assistance to the excellent

conservation of energy investment.

Affiliated association of the METI Japan

ECCJ

ECCJ: Supporting financial matter and they

host EC AWARDS in Japan.

They lead spilling over success case of EC

Page 12: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

12 2013/1/21

Governmental support in Japan

Energy conservation is one of the activities of TPM

(Total Productive Management) in IDEMITSU.

We keep being awarded the energy conservation

prize that explained before for 24 years in a row !

<The small group activity>

It is usual to make a small group to

advance the improvement activities.

Each group has a responsibility to do

‘KAIZEN’ (improvement activities)

They are competing hard mutually.

Awards

Page 13: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

13 2013/1/21

Management viewpoints

To success the energy conservation, there are two important viewpoints.

One is “Improve Performance”.

Another is “Keeping Performance”.

In old plant site such as ours, Keeping performance is more and more important.

The performance of the machine decreases without fail. Exchangers have to foul.

Page 14: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Management viewpoints

CROF (CRude Oil Fouling) PJ *1) says

Pre-heat train fouling is estimated to cost

around $1.2 billion per annum in the US alone.

$ 6 billion per annum in the World ! !

$ 300 million per annum in Japan !

*1) Imperial College London

Billion $ order losses Japan overall !!!

Page 15: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Management viewpoints

Basic idea

How to treat the plant well?

• Check real time

• Think quickly

• Action agile

Manager needs “Checking tools” and “Organization

that quick response can be achieved”

Page 16: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Environmental Board

(4)

Expert Committee

Energy supervisor

Meeting once a month

Promotion Structure

In production facility

Designated by law

Production Division Admin.

Division

All D

ivis

ions fo

r pro

d. s

upport

Top management

Energy managers

Page 17: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Action

Midterm plan

Promotion Cycle

Head

Office

Engineering section

Administration section

Do

Production sect.

Discovering

Review & Execution

Annual Plan

Prod. control sect.

Administration section

Check result

Twice a year

Page 18: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

Safety Environmental QC

Earning

&Expense Prod. control Utility EC

Maintenance Optimizer

Import Export Tank storage

Operation

Alert shows

some difference

observed in its

plant.

!

Visualization (TOOL)

Page 19: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Visualization

Know the Original

Operating conditions changed little by little

from first design.

• Catalysts, feedstock, fouling etc.

We cannot judge present state good or not,

if we do not know original design.

It’s just like children’s imagining

Grandfather’s younger days !

Page 20: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Visualization (term difference)

10years

20years

30years

We do not recognize slow change.

Page 21: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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6 hours 3 days 2 years

We have to check short/middle/long term changing of

equipment performance.

We need checking tools !

Visualization (term difference)

Page 22: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Example

“ Keeping Performance”

Appropriate maintenance makes heat exchanger performance well

Page 23: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex. Background

Heat exchangers

Feed heater 灯油 軽質軽油 重油

260 degC

Crude

Tank 20 C

Kero Diesel H.Oil

Target

365 degC

Page 24: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Temperature decrease with

fouling of heat exchanger

灯油 軽質軽油 重油 Kero Diesel H.Oil

Fouling makes fuel consumption worse. And fouling

tendency has been changed by crud oil property.

Ex. Basic Ideas and Anxiety

Page 25: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex. Fouling

Page 26: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex. Previous fouling indicator

Th1 Hot stream

Tc2

Cold stream

dt= Th1 - Tc2

Hot Cold

Tc2 decrease

with fouling

dt increase with

fouling

Page 27: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex. Fouling indicator

dt

U value

[w/m2K] U dt

Over all heat transfer coefficient indicates

Fouling condition well.

Page 28: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex. Fouling mechanism

Cohesion

Molecule of asphaltene

Big cohesion

Asphaltene causes fouling.

Page 29: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex. Fouling mechanism

○ H High temperature

surface

fouling

Oil

○ H

To make coke

Clean surface that has high temperature makes

more coke. (Good chemical compound is necessary)

Page 30: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex. Fouling prevention Chemical Effect

High temperature

surface

Oil

Asphalten

cohesion

Fouling

prevention

chemical

Without chemical

Page 31: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex.2 Improvements

0

100

200

300

400

500

2007

U(W/m2K)

Fouling will

go faster !

Cleaning Cleaning

Cleaning criteria

2005 2003 1999 2001

We check fouling trend of each heat exchanger.

And we decide cleaning schedule.

Page 32: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex. Improvements

150

200

250

‘07 ‘03 U (W/m2K)

Fouling prevention chemical works well

with chemical

without chemical

Page 33: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Ex. Energy savings

Saving energy amount 9,000coe-kl/y

CO2 reduction amount 2,400 ton/y

Saving cost amount 4 million $/y

Coe: Crude oil equivalent

Fouling prevention technology and

right timing cleaning are necessary.

Page 34: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Extreme ideas for fouling prevention

<Fouling Decrease Project in Japan >

We are advancing the preparation for the project now.

Significant fouling and CO2 decreasing are expected.

Page 35: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Extreme ideas for fouling prevention

<Fouling Decrease Project in Japan >

Usually, provision against fouling is cleaning and

adding the chemical.

We will find the mechanisms of fouling and apply

these theory to real plant to demonstrate them.

Visualization is not enough way to prevent fouling.

We have to get new weapons against them and

spread them.

Page 36: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Summary 1

Energy Manager have to do…..

• Check performance (Visualize)

– Check initial design , performance ……

• Correct agilely if changing occurs

– Change operating conditions soon

– Suitable organization was constructed.

– Recover the performance of equipments

» Renewal, cleaning etc.

• Check new technology and apply

– Develop new ideas based on the logic

– Evaluate new technology and demonstrate

Page 37: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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Technology / know how

Success case

Energy Manager has

Big responsibility

Summery 2

Spilling over success cases makes big improvement!

Spilling over items are the easier the better.

Japan

- Intelligent operators

- Small member shift

- Work until retirement

- No or small incentives

Developing countries

- Manual operators

- Big member shift

- Hopping job easily

- need incentives

Spill over

Page 38: Approach to Saving Energy · Saving energy amount 9,000coe-kl/y CO2 reduction amount 2,400 ton/y Saving cost amount 4 million $/y Coe: Crude oil equivalent Fouling prevention technology

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