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Mid-Sized Manufacturer Pinpoints Energy Savings with Short ROI

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The Challenge 

Energy costs often make up a significant portion of the operating expenses for many businesses. While a strong energy procurement strategy is key to lowering costs, it only addresses half of the equation. Usage must be considered, as well. As demand charges make up more of overall electricity costs, we at Direct Energy Business want to help our customers gain visibility into usage, allowing for more efficient operations and lowering peak load contributions (PLCs). Let’s examine one set of solutions we applied to a mid-sized manufacturing customer. 

The Bright Idea 

The company deployed the Panoramic Power® energy monitoring solution at its manufacturing facility to better understand its energy usage at the device level. The business used small wireless sensors to track how individual systems and machinery use electricity, acquiring real-time data that allowed the customer to pinpoint specific areas/devices that were using energy inefficiently. They experienced a return on investment within the first 30 days of deployment. The customer identified lighting inefficiencies and provided clear measurement and verification of the project. Investment in demand management projects confirmed a drop from 30kw peak to 12.50kw. Upon receiving an email notification, the customer curtailed its usage and had clear visibility into exactly how much. Their potential peak hour usage dropped from ~1000kw to ~600kw. Through our PLC Management Service, additional potential savings of up to 40 percent in the company’s capacity tags were identified if the customer adopted Load Management. 

The Powerful Solution 

By addressing demand side charges through increased usage visibility, using less energy, and managing its PLCs, our customer was able to save more than $131,000, with a relatively short overall ROI.


Posted: November 23, 2015