5 Ways Manufacturers Can Save On Their Electricity & Energy Costs

5 Ways Manufacturers Can Save On Their Electricity & Energy Costs

One of the most challenging industries today is the manufacturing sector. From factories manufacturing vehicles to wafer fabrication plants, a large portion of manufacturing cost comes down to the raw materials as well as the energy costs.

With robotics and automation slowly taking over manual labor, manufacturers are experiencing labor efficiency but a huge portion are still suffering from a lack of energy efficiency and poor utilisation of their electricity.

In this article, we will be going through the top 5 ways manufacturers in Singapore can save on their electricity and energy costs.

1. Develop An Energy Savings Committee

A key reason why many energy savings initiatives fail is due to the lack of accountability and support from senior management to see it through. By developing an energy management team or energy savings committee, manufacturing companies can ensure their energy savings thrusts are taken seriously.

A great way to ensure commitment is two-fold. Firstly, introducing company-wide policies from management down to the plant workers letting every member know of the importance of their contribution ensuring energy savings are clocked daily. Secondly, companies can tie in a financial bonus that is a portion of the money saved from the amount of energy saved. This can be a powerful incentive that can help drive results.

2. Conduct Plant-Wide Energy Audits Yearly

Energy audits can be performed both by in-house personnel or external experts to assess each facility’s energy consumption and blind spots when it comes to energy usage.

An energy audit will quickly quantify how much energy each department, machine and process uses, allowing teams to identify not only peak consumption times over the year but throughout a given day itself. A good audit will also offer recommendations on the right energy efficiency upgrades on equipment to bring the best cost-savings over time.

3. Strategically Schedule Machine Use & Shut-Downs & Start-ups

With the results of the audit, manufacturing plants can identify the machinery that requires the most energy to run. Companies can either choose to run these types of machinery out of peak hours or replace them (if they are aging) with more efficient models.

Plants can schedule production floor shutdowns where machinery is powered off for a length of time. This can be done with insight into the peak operation schedules of each plant. Like-wise, start-ups can also be scheduled strategically to prevent a large spike in your facility electricity demand which could drive costs up the roof.

4. Optimise Your Air Compressors, HVAC Systems & Lightings

A huge amount of energy waste comes from poorly designed and maintained air compressors. Most plants require a huge amount of air to be either pumped in or out of the facility and any leakage could lead to hundreds to thousands of dollars wasted.

HVAC systems help maintain the air quality and comfort on a production floor while also being responsible for over 40% of a building’s total energy consumption. Your HVAC system should be one of the core items in your energy audit to gain a picture of if it is functioning well or if an upgrade or maintenance is needed to ensure efficient performance. This could range from installing programmable thermostats to a demand-controlled ventilation system that regulates the air intake according to the number of plant works on-site.

Lightings also make up a huge portion of a factory’s energy consumption. Because most of the processes happen indoors, lighting will have to be utilised whether it is in the day or night, causing a need to use energy-efficient LED lightings to ensure a lesser amount of electricity is consumed.

5. Choosing The Right Electricity Plan

While the above 4 energy saving methods do help to control your plant’s energy consumption cost, there is a limit to how much you can save and sometimes the up-front investment needed might not be worth it in the short-term. Furthermore, energy will always be needed to be consumed to run your operations, so why not solve your energy challenge right at the source!

Firstly, you can check the rate at which you are paying for electricity as well as the energy consumption patterns of your plant. Once that is done, identify your peak energy usage and go shopping for a retailer that can provide your business with a competitive price with stable electricity supply.

At iSwitch, We Are Helping Businesses Save On Their Energy Cost & Go Green

From hotels to institutions to manufacturing plants, we are helping businesses not only save on their monthly electric bill but also go green on their energy usage. With our iSwitch2Green program, we help businesses become 100% carbon-neutral, offsetting the impact of their carbon footprint on the environment.

Looking to discover how we can help your plant go green while reaping monthly cost savings?

You can drop us a call at 1800 505 9900 or visit our webpage here.

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