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Heads Up CIPEC Newsletter - December 2014

Heads Up CIPEC Newsletter

December 2014 Vol. XVIII, No. 10

Toyota planned cogeneration plant to take load off grid in Southern Ontario

“With our planned natural gas cogeneration project, we can cut energy costs, reduce our local electricity demand and improve efficiency while reducing the production cost of our vehicles,” says Pete Leonard, facility manager at the Cambridge and Woodstock Toyota Motor Manufacturing Canada (TMMC) Inc. plants.

Cogeneration, also commonly referred to as combined heat and power (CHP), produces electricity and heat from a single fuel source and is considered a highly efficient method of generating electricity. CHP systems can use a variety of fuels including industrial by-product gases and landfill gas. The fuel runs an engine or turbine, which drives an alternator to produce electricity as well as heat. The CHP process captures this wasted heat to produce steam and/or hot water for industrial processes or space heating.

Leonard explains that the reasons for Toyota’s $27-million combined CHP project are multifold. First, the Cambridge area is underserved in electrical capacity, and the projected generation of 10 megawatts (MW) from the CHP plant will reduce demand on both local and provincial power grids. According to Leonard, about one third of Toyota’s energy use will be off the grid in late 2015 when the CHP plant comes online.

Second, natural gas cogeneration makes sense in Ontario, where gas prices are currently low and expected to remain so for several years. In addition, CHP technology is also cleaner burning thus decreasing NOX emissions. Finally, the community will also benefit, as there are plans for the CHP plant to heat a vegetable greenhouse for non-profit organizations, says Leonard.

Leonard explains that the waste heat from the turbine will be able to replace two 26,000 lb/ hr steam boilers. A heat recovery steam generator will create sufficient heat to produce steam and will eliminate the need for additional natural gas to fire the boilers. Moreover, two steam-driven chillers for air conditioning will replace two electrically driven generators to add another 2 MW in energy savings; in the winter, waste heat will be used for space heating.

For Cambridge and North Dumfries Hydro (CND), the Toyota CHP project represents one of the largest energy-saving initiatives in Ontario. For Toyota, the energy savings will decrease production costs and help them stay competitive in the global manufacturing landscape. 

“Although some of Toyota’s plants in Japan have similar cogeneration plants, the Cambridge plant will be the first North American Toyota plant to put such an initiative in place,” notes Leonard. Other Toyota plants may follow suit depending on the spark gap – the difference in electricity and natural gas prices.

According to Leonard, the CHP project is far from TMMC’s first project. The company employs the Kaizen method as a means to concentrate on continuous improvement. Thus, there are corporate and facility-based yearly targets for energy and water conservation.

Ontario’s food and beverage manufacturers cash in on big savings with the saveONenergy Retrofit Program

The saveONenergy Retrofit Program is making energy efficiency a no-brainer for many companies by reducing project payback period significantly. Waterloo Brewing Co., Weston Bakeries, Mondelez Canada, Leadbetter Foods, and Cupcakes of Westdale Village have seen impressive savings after implementing efficiency initiatives through the retrofit program.

Waterloo Brewing Co.

Waterloo Brewing Co., Ontario’s largest Canadian-owned brewery, located in Kitchener, has over 150 motors running bottling lines and associated processes. “This large number of motors represented an obvious opportunity for efficiency gains,” notes Phil Clayton, the brewery’s former Maintenance Manager. Working with Kitchener-Wilmot Hydro, the company decided to integrate variable-frequency drive (VFD) controllers and an automation system to control bottling line speed. Now, the lines can speed up or slow down as required, start-up is smoother and spikes in electricity consumption are eliminated.

The company did not stop there and also improved the efficiency of the cooling system for its beer filtration process. “We used a wireless meter to aggregate data and it showed us that the pumps were running continuously, even on weekends,” says Clayton. With saveONenergy incentives, VFDs were installed to regulate the flow rate of the glycol in the cooling system, and the VFD controllers slow the glycol pumps when less cooling is required.

A lighting upgrade was also implemented with the replacement of 100 existing lights and high-bay lamps with a combination of new LED and T-5 lamps. “The upgrade increased the amount of light in our facility,” notes Clayton. He adds that future plans include compressed air system upgrades.

With all of these projects, Waterloo Brewing Co. has reduced its annual utility bill by 13 percent, which translates into more than 290,000 kilowatt-hours (kWh) in electricity saved annually and over 40 kilowatts (kW) in electricity demand savings a year, translating to more than $21,000 in electricity costs savings each year. The Program provided incentives of more than $15,000 towards the retrofits.

Weston Bakeries

Weston Bakeries’ Sudbury facility, which produces 100,000 loaves of bread daily, also benefited from an $18,600 saveONenergy incentive to upgrade an aging compressor, which resulted in a payback period of less than one year. John Ireland, the bakery’s Maintenance Manager, invested in a more efficient rotary-screw compressor. The VFD-controlled compressor resulted in nearly 148,000 kWh in annual electricity savings, yielding $22,000 in the first year. “It was a no-brainer, the incentive paid us to replace a big electricity user with a more efficient and cheaper-to-operate machine,” says Ireland.

In addition, Greater Sudbury Hydro, which worked with Ireland to analyze potential savings at the bakery, found that on-site compressed air demand could be reduced with a higher efficiency vacuum generator. With the latter and compressed air leak repairs, the bakery achieved a five-percent savings in compressed air demand. Moreover, the switch from desiccant air dryers to a refrigerant air dryer system further reduced compressed air demand.

The bakery’s efficiency improvements have continued with a recent lighting retrofit, which also benefited from a saveONenergy incentive. Currently, Ireland is looking at upgrading the facility’s refrigeration units with variable-speed compressors if studies show similar savings to its initial compressor project.

Mondelez Canada

Mondelez Canada manufactures chocolate at its Gladstone Plant in Toronto. The plant, built in 1904, was due for several system upgrades. With the help of Toronto Hydro and the saveONenergy incentive program, the company upgraded its lighting system, added control systems to air compressors, and installed VFDs on operating systems in 2013.

Annual energy costs have been reduced by about 35 percent as a result of upgrades to variable-speed compressors, 55 percent due to the installation of a VFD and 30 percent from an upgrade to high-efficiency chillers. Doug Dittburner, the former Managing Chief Engineer and Energy Team Leader at the plant, notes that the combined savings of the projects are over $300,000. “We’d have to make a lot of chocolate bars to make that much money.”

“Our energy team’s mission is to be the most environmentally friendly plant in the company,” says Doug Dittburner. The plant is on its way there as Dittburner and his energy team plan for the second phase of their insulation and lighting projects as well as other energy efficiency ideas.

Leadbetter Foods

Leadbetter Foods has also profited from the incentive program. The company, which produces meat products in Orillia, realized its newly-acquired facility needed lighting upgrades. The old system was not only inefficient but also failed to meet current food safety standards.

The $44,778 project, completed a few years ago, replaced the entire 1960s lighting system with 185 T-5 fluorescent high-bay lamps throughout the plant. The retrofit benefited from an incentive of $18,366 and is saving close to 130,000 kWh in electricity annually.

Philip Leadbetter, President of Leadbetter Foods, says,” It’s always important to us to save energy and, from a business point of view, we are always looking for ways to save on our operational costs, too. This new lighting will help with that, and the incentive was a great added bonus.”

Cupcakes of Westdale Village

Small business owners also benefit from the saveONenergy program. Anne Campagna and Marilyn Gouchie, co-owners of Cupcakes of Westdale Village in Hamilton received $1,000 in incentives towards a lighting upgrade through the Small Business Lighting Program.

The company worked with the local utility, Horizon Utilities, to determine the best path for lighting upgrades. Campagna says that although they knew lighting was important for their customers, they were worried about the expense of the upgrade. However, the $1,000 incentive covered all upgrade costs from their old T-5 lamps to more efficient T-8 lamps and ballasts. A number of compact fluorescents were also installed.

The saveONenergy For Business Retrofit Program offers incentives of up to 50 percent of project costs for installing or upgrading to energy-efficient equipment. Companies could receive lighting incentives of up to $400/kW or $0.06/kWh of the first year energy savings. For non-lighting projects, incentives are $800 per kW or $0.10/kWh for either engineered or custom incentives. Quick or prescriptive incentives are fixed and based on the type of system upgrade or installed equipment.

SaveONenergy incentives are available for upgrades to lighting and controls, building automation systems, HVAC systems, chiller systems, heat recovery, compressed air and refrigeration.

To read the complete case studies, visit

Automated ventilation-on-demand at Éléonore mine benefits employees and bottom line

“Éléonore is the mine of the future,” say Pascal Morin, Manager, Technology and Communications at Goldcorp’s Eleonore mine and Flynn McCarthy, the company’s Corporate Energy Manager. In addition to a number of previous energy efficiency projects that include the implementation of an energy management information system (EMIS), the installation of variable-frequency drives and high-efficiency motors and pumps, the Eleonore mine in Quebec now features a unique automated ventilation-on-demand (VOD) system.

In March 2014, the company installed a SmartEXEC ventilation system from SimSmart Technologies to conserve energy and improve air flow for the well-being of underground employees. “Éléonore is our pilot project for this technology and we are optimistic about applying the technology in other mines,” says Morin.

 “Once savings at Éléonore have been verified, Goldcorp’s other underground mining operations are feasible future candidates for implementations,” says McCarthy.

The automated SmartEXEC fan systems respond to signals emitted from AeroScout Wi-Fi radio-frequency identification (RFID) tags, tracking devices worn by all underground employees and installed on all 80 pieces of underground machinery. The technology tracks real-time locations of both employees and machinery, and measures air quality for optimum working conditions. 

“The real-time monitoring allows us to determine carbon dioxide (CO2) and other gas levels, all of which are now well below the thresholds issued by the Commission de la santé et de la sécurité du travail du Québec (CSST),” says McCarthy. Morin notes that this pilot involved  the collaboration of many departments, including staff from human resources, electrical and mechanical engineering, and operational sections, which worked together to achieve an integrated system.

Morin indicates that in the first two months after implementation alone, “the system saved propane, improved air flow and increased employee comfort.” The system will be expanded to other levels of the mine and tunnels late in 2014. This will bring the total number of fans to 70 and the number of air flow regulators to about 15. “With this expansion, the annual savings could reach between $1.5 and $2.5 million over conventional ventilation systems and would also represent a significant annual reduction in GHG emissions,” says Morin.

Flyn notes that future projects include automation and control for energy efficiency, the acquisition of electric vehicles and the implementation of compressorless technology. “Goldcorp is committed to continuous improvement to support a sustainable future for our employees, the communities in which we operate and our planet.”

Lafarge sets and meets ambitious sustainability goals

Eric Olsen, Group Executive Vice President for Operations, Lafarge, shared his company’s philosophy on climate change and its action to date during the September 2014 Climate Week in New York City. He noted that Lafarge sets ambitious energy efficiency targets and goals to reduce carbon dioxide (CO2) emissions  both annually and over the long term.

He added that “Lafarge tracks energy efficiency in all of its plants, and incremental improvements are part of every plant’s objectives.” Many of the company’s plants use waste-heat recovery to maximize the energy use from fuel, and best practices are shared among plants around the globe.

Lafarge has a number of goals, including a CO2 reduction target of 33 percent per tonne of cement, compared to 1990 levels, by 2020; and the company invested millions of dollars in energy efficiency and GHG emission reduction initiatives.

For example, at its Kamloops, British Columbia plant, the company formed a new alternative fuels partnership with Van Houtte Coffee Services Inc. to utilise used K-cup packs. Some 70,000 pounds of used K-cup packs will be burned as alternative fuel at the cement plant to reduce landfill waste and replace a portion of the plant’s fossil fuel use.

A trial at the Brookfield, Nova Scotia cement plant is using construction and demolition plastic waste from landfills as a low-carbon fuel which could potentially reduce the plant’s emission footprint by up to 34 percent. Also, in conjunction with the World Wildlife Fund and Queen’s University, a study at Lafarge’s Bath, Ontario, cement plant is running a pilot project that makes use of construction waste, waste carpets, roofing shingles, and railway ties as substitute fuels, which are showing positive results.

Lafarge also launched the Cornerstone Standards Council along with Environmental Defence. Cornerstone is a collaborative effort “to develop a world-class certification program to establish a standard for the responsible siting and operation of aggregate pits and quarries,” said Olsen. 

He explained that Lafarge’s global Sustainability Ambitions 2020 outlines the company’s vision for sustainability, as well as social and environmental responsibility. “Lafarge Sustainability Ambitions 2020 are the first steps towards a vision of the future where we strive to protect the environment and, more importantly, to make a net positive contribution to society as a whole.”

Olsen points out that Lafarge incorporates climate change considerations into its business decisions as both a solutions provider and an energy user. For example, buildings represent a “locked in” source of carbon emissions over the building’s life, and  Lafarge has come up with a number of building solutions that contribute to lower energy consumption.

Since concrete is the most commonly used building material, it is associated with significant carbon emission contributions. To address this, projects at Lafarge cement plants across Canada are investigating the replacement of fossil fuels with lower carbon, locally-produced fuels. “We hope to reach 30 percent by 2020 and are already studying technical solutions to allow us to go beyond that,” concluded Olsen.

SaskPower boasts world’s first commercial carbon capture and storage facility

“We are getting visitors from around the world to look at our facility. The Boundary Dam carbon capture and storage project has captured the imagination of utilities and environmental groups everywhere,” says Mike Monea, President of SaskPower’s Carbon Capture and Storage Initiatives. Monea notes that the project arose from the utility’s desire to maintain a diverse fuel mix, of which coal comprises approximately 50 percent, in order to reduce impact on electricity rates.

SaskPower’s Boundary Dam Power Station, located in Estevan, is the world’s first commercial, post-combustion carbon capture and storage (CCS) facility attached to a coal-powered plant. The project, which became commercial on October 2, 2014, is a partnership between Natural Resources Canada and SaskPower. The once-aging power plant has been transformed into a long-term producer of 110 megawatts (MW) of electricity with the capacity to capture 90 percent (or one million tonnes) of the carbon dioxide (CO2) produced annually.

The captured CO2 is sold to Cenovus to enhance oil recovery, while the sulfur dioxide (SO2) extracted from flue gases is transformed into 60 tonnes of sulfuric acid a day to be shipped to chemical industry customers. Some of the remaining CO2 is pumped into permanent geological storage 3.4 kilometres under impermeable rock layers.

Monea explains that SaskPower’s innovation has and will continue to keep the utility well ahead of regulations for GHG emissions from coal-fired plants. “Our rebuilt Boundary Dam plant is not only compliant but exceeds the requirements of emission regulations.”

The Boundary Dam project is the result of years of research and innovation, a tradition that will continue into the future with the completion in 2015 of SaskPower’s Carbon Capture Test Facility at the Shand Power Station near Estevan. This joint venture with Mitsubishi Power Systems will investigate leading-edge CCS technology but will also provide laboratory and engineering support to companies wanting to test technologies.

Electricity industry report highlights sustainability results for 2013

The Canadian Electricity Association (CEA)’s annual report details the outcome of the electricity industry’s efforts for strong environmental, social and economic performance for 2013. The report, Engaged for a Sustainable Future, highlights achievements and makes recommendations in areas that need improvement.

Overall, the industry’s GHG emissions are declining (nearly 17 percent since 2009) as a result of decommissioning several coal-fired power plants, fuel switching from coal to natural gas and the introduction of more renewable generation to the collective fuel mix. In relation to 2009 levels, CEA members have also reduced SO2, NOx and mercury emissions by 24.6, 11.5 and 50.1 percent, respectively. 

CEA members are also paying heed to the principle of energy efficiency, one of ten principles that underscore the CEA’s Sustainable Electricity program. This principle dictates that electricity should be produced, delivered and used efficiently while conservation and demand-side management are promoted to customers.

In 2013, members invested in energy efficiency measures such as state-of-the-art lighting, and high-efficiency turbine runners and transformers. For example, Nova Scotia Power repaired leaks on seven of its thermal units for a projected fuel savings of nearly $1 million annually. Nalcor Energy reduced its electricity consumption by 344 000 kWh by lowering the temperature of its electric heat-trace system under certain conditions.

In addition to focusing on internal energy efficiency, CEA members across the country also continued promoting a culture of energy conservation to their customers. Manitoba Hydro, for instance, launched their PAYS (Pay As You Save) financing program to help its customers overcome the cost barrier to implementing energy efficiency solutions.

Moreover, CEA members are increasingly implementing environmental management systems. In fact, 87 percent of CEA members had an ISO 14001-consistent EMS in place, with the remaining 13 percent set to implement the system or a comparable one in the near future.

Wrapping up the year were the CEA Sustainable Electricity Awards. The 2013 recipients were Hydro Ottawa, Ontario Power Generation Inc. and BC Hydro for their efforts in implementing and promoting sustainability.

Dollars to $ense Energy Management workshops – winter Schedule

NEW – Langara College Energy Management Certificate program starting in January

Energy Management Planning
Date: January 10
Location: Vancouver, British Columbia
Offered in collaboration with Langara College

Spot the Energy Savings Opportunities
Date: January 24
Location: Vancouver, British Columbia
Offered in collaboration with Langara College

Energy Monitoring
Date: February 14
Location: Vancouver, British Columbia
Offered in collaboration with Langara College

Energy Management Information Systems
Date: February 28
Location: Vancouver, British Columbia
Offered in collaboration with Langara College

Recommissioning for Buildings
Date: March 14
Location: Vancouver, British Columbia
Offered in collaboration with Langara College

Energy Efficiency Financing
Date: March 28
Location: Vancouver, British Columbia
Offered in collaboration with Langara College

To register, call the Langara College’s Continuing Studies Registration Office at 604-323-5322

Notice: Please allow from eight to 10 weeks from the planning to the delivery of a customized Dollars to $ense workshop.

Complete list of industrial events

Call for story ideas

Has your company implemented successful energy efficiency measures that you would like to share with Heads Up CIPEC readers? Please send your story ideas for consideration to the editor, Jocelyne Rouleau, by e-mail at

If you require more information on an article or a program, contact Jocelyne Rouleau at the above e-mail address.

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