LIFE CYCLE COST

Optimizing Pump Systems

Dr. Gunnar Hovstadius Dir. Technology ITT FT

All of us use LCC



PRICE



FUEL ECONOMY



SAFETY



DURABILITY



UTILITY



MAINTENANCE



INSURANCE



PERFORMANCE



RESELL VALUE

Energy & Maintenance costs

LCC

 70% of energy production in industrialised countries drive electric motors  70% of electric motors drive pumps, compressors and fans  Pumped systems account for 20% of the world’s electric energy demands  Energy and maintenance costs during the life of a pump system are usually more than10 times its purchase price

Pump

LCC

, the product of … and a spirit of global cooperation

 1994 - U.S. DOE invited HI to participate in the Motor Challenge Program  1995 - Flygt develops Sewage Lift station “DOE Energy Showcase” in CT  1996 - Europump forms the Enersave committee   1998 - HI and Europump form a joint committee to develop

LCC

guidelines 2000 - Europump HI “Pump

Life Cycle Costs

Global Best Practices” Guideline

Hydraulic Institute - Europump

Life Cycle Cost (LCC)

is the total lifetime cost to purchase, install, maintain, and dispose of that equipment. Costs:  Initial purchase  installation and commissioning  energy  operating  maintenance  downtime, loss of production  environmental cost  decommissioning

Cost Components

  Life Cycle Cost is the total lifetime cost to purchase, install, operate, maintain and dispose of that equipment.

 HI/EP Oct. 2000 The purchase price is typically less than 15% of

Environmental 7% Installation 9% Pump 14%

the total ownership cost.

Downtime 9% Operating 9% Energy 32% Maintenance 20%

CONTENT

Chapter 1 2 3 4 5 6 7 8 9 Executive Summary Introduction Life Cycle Cost Pumping System Design Analyzing Existing Pumping Systems Examples of LCC Analysis Effective Procurement using LCC Recommendations References Glossary Appendix A - E

APPENDIXES A B C D E System Curves Pumping Output and System Control Pump Efficiencies Case History - Cost Savings Electrical Drivers and Transmissions

MANUAL CALCULATION CHART System description: Input:

n - Life in years: i - Interest rate, %: p - Inflation rate %: - Initial investment cost: - Installation and commissioning cost: - Energy price (present) per kWh: - Weighted average power in kW: - Average Operating hours/year: Energy cost/year (calculated) = Energy price x Weighted average power x Average Operating hours/ yr - Operating cost/year: - Average Maintenance cost (routine maintenance/year): - Down time cost/year: -Other yearly costs : -

Sum of yearly costs

: (3+4+5+6+7) 1 2 3 4 5 6 7 8

MANUAL CALCULATION ....cont.

- Average Maintenance cost (routine maintenance/year): - Down time cost/year: -Other yearly costs : -

Sum of yearly costs

: (3+4+5+6+7) - Present Value of yearly costs: (use discount factor, df, see figure 7.2) - Decommissioning/disposal cost (final year): - Present Value of final year costs: (use factor Cp/Cn, see figure 7.1)

Result

: Present LCC-value(1+2+9+11): of which present energy cost is: and routine maintenance cost is: 5 Dfx8=9 df=………..

10 Cp/Cnx10=11 Cp/Cn=……….

6 7 8 (3xdf) (5xdf)

No.

Industry/ Application Outline of Method of Cost Saving Type of Saving Payback Period Years Life Cycle Cost Saving EURO/USD Full Cost P.V

1 Building Services/ Air Conditioning Comparison of 3 installations: - 1 large pump with bypass - 1 pump - throttle valve controlled - 3 pumps variable speed Energy Cost 2 3 Paper/ Water Circulation Pump Chemical Processing/ Condensate Export Pump Install 2 pumps for the 2 different duty cycle conditions.

Trimmed impeller to match actual duty requirements.

Followed by new smaller motor.

Energy Cost Energy and maintenance.

0.5

0.06

3.1

47,800 70,400 711,900 29,300 38.300

437,000 107,000 8,600 82,200 5,900

SYSTEMS, not

 LCC starts with the SYSTEM.  Replacing a 75% efficient pump with a 80% efficient pump will save almost 7% electricity cost  BUT … if pump systems are incorrectly sized, efficient pumps will operate at inefficient points  75% of all engineered pump systems are estimated to be oversized.

pumps

PUMPS and SYSTEM SIZING

Energy to

Burn



SYSTEM HEAD CALCULATIONS ARE CONSERVATIVE - SAFETY FACTORS



SINGLE PUMP, CONSTANT SPEED SYSTEMS SIZED FOR MAX DUTY



STATUTORY RULES IN MUNICIPAL WASTEWATER PUMPING



40 DEG+ , THREE DAYS OF THE YEAR



SYSTEM COMPONENTS ARE OVER SIZED - SAFETY FACTORS

Pumps: expensive water heaters

 Pumps, over-sized for REAL system demands, lead to  frequent on / off cycling  closing of throttling valves  RESULT:  adding friction head to the system,  increasing Pump kW (electric power required)

ENERGY

 Efficient pumps & efficient systems => Specific Energy ( Wh/l pumped fluid ) Calculate specific energy for the system and compare different solutions and different components

Maintenance

 Throttled / oversized pumps run outside BEP  operate less efficiently,  generate radial loads & wear faster ….whereas  Accurately sized pumps and systems  reduce maintenance costs  increase seal, bearing, shaft life     increase MTBF decrease labor maintenance reduce production loss reduce our warranty goodwill costs

LCC Comparison - Example

10 Year Pump Life: : 800 gpm @ 90 ft  Pump / Motor Price ( with 30 hp motor)   Installation Energy Costs*     BHP 80% eff $ 2,500 500 33,900 60% eff 16.95 kw 22.60 kw 2,500 500 45,200 $ 0.05/ KwHr x 4000 hrs/yr x 10 yrs Maintenance Parts (seals, bearings, shaft, impeller) Labor 5 hrs/10hrs Downtime - BI insurance pro-rate 4,000 8,000 2,000 4,000 1,200 1,200 Environmental Decommission ($ 150 x 2/yr and 3/yr) 3,000 4,500 650 650 TOTAL

LCC

Comparison $ 47,550 $66,550

Operating Savings $ 19,000

LIFE CYCLE COST

Customer Economic value

 Reducing costs increases competitiveness  US Dept. Of Energy estimates 75-122 B KwH per year can be saved by “optimizing” motor driven pump systems  Savings would be between $ 4-6 B per year  Increase public services without raising public taxes and fees  Responding to the demands of private operators of public services to find system savings

•

LIFE CYCLE COST

Environmental Value

Global commitment to environmental solutions  Rio: Reduce ozone threatening emissions  Kyoto - commitment to reduce energy  1 KwHr of electricity produces 600 grams of CO2. Saving 75-122B KwH will reduce 45 to 75 Billion Kg in CO2

PUTTING

LCC

TO WORK

 Think

systems

, not components.

 Education of System owners, designers, specifiers, purchasers and producers  Concentrate on

system performance

, rather than component performance  Develop system specifications

LIFE CYCLE COST



ITT Industries

EMBRACES

LCC

AS A TOOL FOR SELECTING AN OPTIMAL SOLUTION TO CREATE ECONOMIC AND ENVIRONMENTAL VALUE OVER THE LIFE OF A SYSTEM

New LCC Focused products/systems from ITT Industries

 PumpSmart advanced electronics and algorithms monitor system demands and varies the speed of the unit or shuts it down to protect the pump  Hydrovar Contol System speed to a variable speed unit converts the pump from a constant  N-Pump 30-50% revolutionary impeller reduces the energy consumption by  Sanitaire - a fine bubble aeration system that cuts energy costs by up to 50%