Kurt Armstrong, CEO, Armstrong International, explains how the CIO can play a major role in helping leadership pave a data-informed path towards decarbonisation and how their unique skill set is key for this transition.
Amid global concerns over climate change and rising energy costs, governments, regulatory bodies and industry leaders are looking for ways to decarbonise emissions. The EU has just enacted the first phase of the world’s first carbon border tax, requiring importers to report CO2 emissions data on products sold into the continent. Major companies across Europe and beyond have also instituted their own net zero pledges with associated emissions reductions.
With pressure mounting to meet regulatory and public expectations, companies are facing difficult decisions. While much of the conversation involves possible conversions to solar, wind or biomass energy sources, these are often capital-intensive options taking years to complete. Companies have an immediate opportunity to make meaningful near-term decarbonisation progress by adopting a targeted, data-informed approach to operational energy efficiency on a path to decarbonisation. And who better to help drive a data-informed approach than the CIO?
In many industries, improving energy efficiency means reducing waste heat from production processes. The first step is establishing a baseline, accurately measuring the amount of energy used in production and the amount lost/wasted along the way. As in any benchmarking effort, the more data points, the more opportunities companies may have to optimise systems, reducing costs, emissions and improving safety in measurable ways.
Here is where the CIO can play a major role in helping leadership set a data-informed path towards decarbonisation. In truth, the unique skill set of the CIO can be among the most relevant in executing this transition. Reliable, relevant industrial waste heat data is more available and more actionable than ever before.
Not surprisingly, in my experience, once a company has good, relevant data, they see they don’t necessarily have an energy problem, but a wasted energy problem. In truth, between 50% and 80% of the primary energy input used in light manufacturing leaves the plant in the form of waste heat or hot exhaust gases and radiating heat escaping from equipment surfaces and heated products. That waste heat can and should be captured and reused prior to any thought about switching to another energy source.
So, to the question CIOs often face: how do I get reliable, actionable data in a consistent and cost-effective manner? The good news is, when it comes to waste energy there are inexpensive tools that can identify and diagnose waste heat issues across production processes in real time, 24/7/365. The resulting data can be custom-filtered and put to work, allowing alerts, analysis and reporting regardless of heat energy source.
Such thermal management systems are invaluable tools in any meaningful attempt to reduce waste heat and advance towards decarbonisation. These systems communicate with steam traps – control valves for hot water and heat pumps for other use cases, tuned to critical KPIs. They generate the data points that allow companies to make informed, trackable decisions that increase efficiencies and reduce their overall carbon footprint.
Once the data is collected (cost of steam, pressure levels, etc.), the system will display the amount of CO2 emissions going into the atmosphere, based on the unique condition of the steam trap population. Too often an organisation underestimates the true cost and impact of waste heat. Thermal management systems provide immediate ways to save money, reduce emissions and create a greater confidence level in overall operational efficiency.
Even a mid-sized manufacturer may have hundreds or thousands of steam traps with any number of them failing or running inefficiently at any time. Without visibility into real-time data and the ability to replace or repair faults, production lines with steam traps invariably lose heat, waste energy and increase costs and potential CO2 emissions, causing setbacks on any decarbonisation path.
The best tools available today, such as Armstrong’s SAGE platform, provide continuous data streams documenting critical waste heat parameters ranging from steam loss data to C02 emissions. Powered by the cloud, these solutions can work directly with state-of-the-art wireless monitoring, handheld testing devices to provide real-time data analysis. With regard to SAGE specifically, the results are aggregated in an easily digestible dashboard, using an algorithm that was the first to be approved by the United Nations Framework Convention on Climate Change (UNFCCC).
These ‘quick wins’ will ensure organisations are well on their way towards complete decarbonisation. This intersection of data and operations opens the door for CIOs and other data professionals to help organisations set an effective decarbonisation agenda that yields tangible results in both the near- and long-term.
Most CIOs are probably not familiar with the thermal energy elements of their organisation. In many cases, bringing in a partner with domain expertise on how these thermal systems operate and communicate with each other may be the best option.
When the information comes back indicating, for instance, a heat pump or steam trap is not performing at optimal level, you need someone with the relevant knowledge who can do something about it, similar to a vehicle’s engine light when it’s flashing or steady. It’s one thing to diagnose that there’s a problem, but it’s another thing to know how to remedy it. CIOs who are open to working with trusted partners and who have that expertise will make the most impact on their companies’ bottom line and performance.
Instituting a comprehensive decarbonisation programme obviously takes complete buy-in from leadership and that can be tricky, especially for programmes that may take a year or two for the investment to pay off. This is where a company can go after those ‘quick wins’ to start monitoring and saving right away. CIOs can provide outcome-based data, showing how it stacks up against company goals and validating their successes to a larger audience with tangible, observable facts. It’s a no-regret first step and the best place to begin your road to complete decarbonisation.
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