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Iceni Magazine | May 21, 2024

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5 Effective Ways Manufacturing Companies Can Reduce Energy Costs

Can Reduce Energy Costs

Energy consumption in manufacturing increased by 4.2%, especially from gas.

Even worse, recent reports suggest that 60% of manufacturers feel threatened by out-of-control energy bills. And the only way to avoid these high energy costs affecting your bottom line is to find ways to reduce them in your manufacturing process. Reducing energy costs in manufacturing is crucial for increasing profitability by lowering operational expenses. It improves market competitiveness, reduces carbon footprint, and promotes sustainability. Here are some ways you can reduce energy costs in manufacturing.

1. Implement energy-efficient solutions

Energy-efficient equipment and solutions can significantly reduce energy consumption and help lower energy costs. Manufacturers can reduce energy costs, improve sustainability, and contribute to a greener environment by investing in such solutions. They can also turn to certain industry-specific solutions that help to lower energy costs. For instance, automotive and general industrial manufacturers can resort to powder coating instead of wet painting to create a hard finish that is tougher than conventional paint and lowers energy costs.

2. Optimise production processes

Optimising production processes is another way to reduce energy costs in manufacturing. Manufacturers can minimise energy waste, reduce downtime, and increase efficiency by streamlining processes. For example, optimising production scheduling can reduce the time equipment is left idling, reducing energy waste. Proper maintenance of equipment can also improve energy efficiency as well as extend the life of the equipment. Manufacturers can also use automation and data analysis tools to monitor production processes and identify areas of inefficiency.

3. Utilise renewable energy sources

Renewable energy sources such as solar, wind, or hydropower can help manufacturers reduce their dependence on traditional, fossil fuel-based energy sources, which are often more expensive. By harnessing the power of the sun, wind, or water, manufacturers can produce clean energy, reducing energy costs and carbon footprint. Moreover, with the decreasing cost of renewable energy technologies, the investment in these systems can often be recouped in a relatively short period.

4. Conduct regular energy audits

Energy audits involve analysing a company’s energy usage patterns to identify areas of waste and inefficiency. During an energy audit, a professional auditor will evaluate a facility’s lighting, heating and cooling systems, machinery and equipment, and other energy-consuming systems to determine the sources of energy waste. The auditor will then provide recommendations for reducing energy consumption, such as upgrading energy-efficient equipment, optimising production processes, or implementing behaviour-based energy conservation programs. By regularly conducting energy audits, manufacturers can stay on top of their energy usage and costs and continuously improve their energy efficiency over time.

5. Educate employees

Employee awareness and engagement can lead to the identification of inefficiencies and areas where energy is being wasted. You can reduce energy consumption by training employees on proper equipment operation and maintenance. Encouraging employees to turn off lights and equipment when not in use, and opt for natural light where possible, can also have a big impact. Implementing a robust energy management program that tracks energy usage and identifies improvement areas can also help minimise energy costs. You can also perform regular energy audits to ensure that energy-saving measures are effectively implemented while identifying areas that need further improvement.


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