STRENGTHENINGTHE CANADIAN PULP AND PAPER
INDUSTRYTRACKING THE IMPACTS OF
ENERGY OPTIMIZATION STUDIES
2012–2018
STRENGTHENINGTHE CANADIAN PULP AND PAPER
INDUSTRYTRACKING THE IMPACTS OF ENERGY OPTIMIZATION STUDIES
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The pulp and paper (P&P) industry is at a key turning point: mills are facing new challenges to remain competitive, such as the production of new pulp and paper grades, the integration of clean technologies and biorefineries, fuel switching, carbon taxes, and biomass supply issues.
Energy optimization studies are a powerful tool for optimizing energy use and power generation in industrial facilities. They analyze the way heat is used to determine where it can be recovered and better applied throughout the facility. Savings can be multiplied when studies examine energy systems as a whole, rather than consider equipment parts in isolation. Along with other tools like advanced data analytics and cogeneration optimization, energy optimization studies can help industry optimize operations and adequately plan for future energy-related investments.
Though biomass provides 60% of the sector’s energy, fossil fuels are still widely used. Fortunately, many opportunities exist to cost-effectively reduce energy consumption, increase sales of green power, lower emissions and support the transition to a low-carbon economy.
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$55M+$55M+ANNUALENERGY SAVINGS 1515
PULP AND PAPER MILLS
6 years6 years
Contributes solid policy knowledge and program development in support
to the industry.
NRCan’s Canadian Forest Service
The Canadian centre of expertise in process integration, o�ering a unique suite of utility
and process optimization tools and knowledge.
NRCan’s CanmetENERGY
Possesses strong know-how and under-
standing of pulp and paper processes, product quality
and operability impacts.
FPInnovations
77PROVINCESPROVINCES
A WINNING FORMULA
Since 2012, FPInnovations and Natural Resources Canada (NRCan) have collaborated on a series of energy optimization studies in industry, identifying opportunities to minimize energy use and increase revenue from power sales.
Over the past 6 years, this partnership has identified $55M+/year in prospective energy savings and additional power generation
opportunities in 15 pulp and paper mills, across 7 provinces.
APPROACH TO AN ENERGY OPTIMIZATION STUDY
Typical areas of improvement found in plants include:
Energy and process specialists from CanmetENERGYand FPInnovations engage with mill personnel to gather extensive data on process operations.
The data is used to build an energy model of actual plant operations.
The energy model is analyzed using specialized software tools developed by CanmetENERGY, such as INTEGRATION, COGEN and EXPLORE.
The results help identify opportunities to save energy and money, reduce heating and cooling needs, and optimally manage electricity production.
Utility and cogeneration
system optimization
Operational changes
and improved control
strategies
Heat recovery from
process streams, effluents
and exhaust gases
Process and utility system
debottlenecking
Water savings
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PROPOSED PROJECTS ARE OUTLINED IN A CLEAR ACTION PLAN OR ROADMAP.
The impact of the energy optimization studies was evaluated based on:
INTANGIBLE benefits
Developing a process integration mentality within
a mill’s organizational culture, understanding cross-e�ects
between departments, developing a longer-term
investment strategy to energy, etc.
TANGIBLE benefits
Using four key performance indicators:
• Annual fuel savings
• Increased power generation
• Annual GHG reductions
• Annual economic benefits
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FINANCIAL AND ENVIRONMENTAL IMPACTS
>> Over $55M/year in potential energy savings and additional power generation revenues
>> 240 kt/year in potential direct and indirect GHG emissions reduction (over 1 Mt/year if measures are applied to the entire pulp and paper sector).
Table 1. Potential Savings and Additional Power Generation Revenues| 6
$M/year
0 3 6 9 12 15
Mill 15
Mill 14
Mill 13
Mill 12
Mill 11
Mill 10
Mill 9
Mill 8
Mill 7
Mill 6
Mill 5
Mill 4
Mill 3
Mill 2
Mill 1
$55MOver
/year
in potential savings and revenues
15 studies have been monitored
for implementation.
10 out of
Fuel savings
Identified 4,298,300 GJ/yr. Enough to heat 6,500 homes
Implemented* 849,380 GJ/yr. (20%)
Additional power generation
Identified 69 GWh/yr. Equivalent to the electricity consumption of 15,000 Canadians
Implemented* 35 GWh/yr. (51%)
GHG emissions reduction
Identified 240 kt of CO2/yr. Equivalent to the emissions of 62,000 cars
Implemented* 135 kt of CO2/yr. (56%)
*Or scheduled for implementation
Table 2. Project Implementation
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$8.9M/year SAVINGS AND ADDITIONAL REVENUES OBTAINED,
REPRESENTING 40% OF POTENTIAL SAVINGS IDENTIFIED In the 10 mills that were monitored, the results below were demonstrated.
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ORGANIZATIONAL AND SOCIAL IMPACTS
Further to the financial benefits and GHG reductions obtained, the studies performed had an impact at several levels.
ORGANIZATIONAL CULTURE AND DECISION-MAKING:
> Developing strategic action plans for fuel savings, power generation and GHG management, which facilitate decision-making.
> Improving data and knowledge for contract renegotiation with utility companies.
> Changing the perception and approach to energy efficiency by demonstrating savings potential and creating new momentum to save energy.
MILL EFFICIENCY:
> Limiting boiler trips and unplanned shutdowns.
> Enhancing understanding of cross-effects between mill departments.
> Reducing water usage and effluent generation.
JOB CREATION AND STABILITY:
> Maintaining jobs in facilities facing hard times, through improved mill profitability.
> Creating jobs in engineering firms that performed the detailed engineering studies, and for local contractors that implemented the proposed projects.
05
1015
20
Mill 15
Mill 14
Mill 13
Mill 12
Mill 11
Mill 10
Mill 9
Mill 8
Mill 7
Mill 6
Mill 5
Mill 4
Mill 3
Mill 2
Mill 1
05
1015
20
Mill 15
Mill 14
Mill 13
Mill 12
Mill 11
Mill 10
Mill 9
Mill 8
Mill 7
Mill 6
Mill 5
Mill 4
Mill 3
Mill 2
Mill 1
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THE ROAD AHEAD
The first phase of this impact assessment study was performed in 10 mills. The results achieved are promising,
with excellent potential for further implementation.
Our work underscores how this powerful approach can improve energy efficiency and reduce GHG emissions, while increasing competitiveness and supporting employment in Canadian industries. Technical support for project implementation and adequate impact monitoring are essential to the success of energy optimization studies.
Through monitoring, several other opportunities and lessons learned were identified to increase the implementation of proposed projects:
Appropriate engagement
Involve the accounting department and senior management at each major step of the study.
Improve engagement of mill operating staff by working with them to highlight opportunities.
Support the implementation of no- and low-cost projects.
Involve the mill’s engineering company towards the end of the project, and adequately support the selected company for knowledge transfer.
Effective communication
Develop simple Executive Summaries for company executives, in their preferred format.
Improve communication with senior management.
Increase follow-up after study.
Sufficient resources
Prior to the study, ensure the mill allocates enough capital to energy-saving measures.
In future work performed under this partnership, the knowledge and tools developed will be broadly
transferred to industry. Pathways to support the optimization of heat recovery, the use of lower carbon fuels,
the diversification of production and the optimization of value chains will be developed and demonstrated.
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Natural Resources Canada
1615 Lionel-Boulet Boulevard, PO Box 4800
Varennes, Qc J3X 1S6
nrcan.gc.ca
FPInnovations
570 Boul. St-Jean
Pointe-Claire, Qc H9R 3J9
fpinnovations.ca
Cat no.: M154-130/2018E-PDF
ISBN: 978-0-660-27886-5
© Her Majesty the Queen in Right of Canada, as represented by the Minister of Natural Resources Canada, 2018.