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Chapter 1.3 - Energy Management and Audit

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3. ENERGY MANAGEMENT AND AUDIT Syllabus Energy Management & Audit: Definition, Energy audit- need, Types of energy audit, Energy management (audit) approach-understanding energy costs, Bench marking, Energy performance, Matching energy use to requirement, Maximizing system efficiencies, Optimizing the input energy requirements, Fuel and energy substitution, Energy audit instruments 3.1 Definition & Objectives of Energy Management The fundamental goal of energy management is to produce goods and provide services with the least cost and least environmental effect. The term energy management means many things to many people. One definition of energy management is: The judicious and effective use of energy to maximize profits (minimize costs) and enhance competitive positions (Cape Hart, Turner and Kennedy, Guide to Energy Management Fairmont press inc. 1997) Another comprehensive definition is The strategy of adjusting and optimizing energy, using systems and procedures so as to reduce energy requirements per unit of output while holding constant or reducing total costs of producing the output from these systems The objective of Energy Management is to achieve and maintain optimum energy procurement and utilisation, throughout the organization and: To minimise energy costs / waste without affecting production & quality To minimise environmental effects. 3.2 Energy Audit: Types And Methodology Energy Audit is the key to a systematic approach for decision-making in the area of energy management. It attempts to balance the total energy inputs with its use, and serves to identify all the energy streams in a facility. It quantifies energy usage according to its discrete functions. Industrial energy audit is an effective tool in defining and pursuing comprehensive energy management programme. Bureau of Energy Efficiency 57

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