Industry has been important to the American economy since the earliest days of our country and the strength of the manufacturing sector is a priority for the US government and members of Congress.
The Department of Energy’s 2017 budget request was released back in February, and is now awaiting congressional approval. The request included $261 million for the Advanced Manufacturing Office (AMO), the part of DOE that focuses on energy use in the manufacturing sector.
This Congress has started out well for industrial energy efficiency. Today, Senator Shaheen (D-NH) introduced the Smart Manufacturing Leadership Act. This new bill joins the Energy Savings and Industrial Competitiveness Act of 2015 (S. 720), better known as the Portman-Shaheen bill, which was introduced earlier this year.
We’ve heard a lot lately about some large energy-using customers like large factories and retail chains seeking to opt out of energy efficiency programs. But what about the states and utility service territories where these customers are opting-in instead? It’s happening. It turns out that when efficiency programs are done right, customers are clamoring to participate.
Smart manufacturing, the integration of all facets of manufacturing through the use of information and communication technologies (ICT), is set to transform the industrial sector and its use of energy, raw materials, and labor over the next twenty years. Everyone in a company will have the information they need to make informed, data-driven decisions in real-time. Executives will have will have a panoramic view of productivity and managers will have an in depth view of their production costs, including energy.
Any serious effort to acquire energy savings from the manufacturing sector will need to address the needs of small and medium-sized manufacturers. While most industrial energy efficiency programs have first exploited efficiencies of scale by tackling the biggest energy users (quite sensibly), that approach overlooks about half of the manufacturing energy consumption in the United States.
Intelligent efficiency refers to a systematic approach to saving energy that marries traditional energy efficiency with wireless and cloud-based computer technologies. These technologies enhance our ability to gather, interpret, and act upon energy information in order to improve performance and achieve new levels of energy savings.
Last year, President Obama issued an Executive Order recognizing the importance of industrial energy efficiency and combined heat and power (CHP). Accelerating Investment in Industrial Energy, issued on August 30, 2012, calls for increased coordination of several federal agencies to promote the benefits of and help remove barriers to CHP deployment.
The Ohio Manufacturers’ Association (OMA) today released Ohio’s Energy Efficiency Resource Standard: Impacts on the Ohio Wholesale Electricity Market and Benefits to the State, a report that the OMA commissioned ACEEE to prepare.