Classification of ECO's:

Since the two primary criteria for an ECO are that it be easy to implement and that its payback be short, ease of implementation and payback period have been used to classify ECO's into three general categories: house keeping measures, process improvement projects, and large capital projects.

Housekeeping Measures:

Housekeeping ECO's, also referred to as operations and maintenance ECO's, include a broad category of measures that should really be part of ongoing plant maintenance programs. Usually, these are low cost measures with rapid payback. Sometimes, however, if the energy savings are small, the payback can be high, even if the initial cost is low. Typically included in this category of measures are: repair of leaks of all sorts, maintenance of optimum combustion efficiency, maintenance of pipe and equipment insulation, maintenance and repair of steam traps, and often, steam condensate return.

Process Improvement Projects:

Typical process improvement projects in Pakistan require from Rs 50,000 up to Rs 500,000, although for some plants they  may exceed several million rupees. Their payback are normally not much more than 2 or 3 years, since they incorporate mainly locally manufactured equipment. Many heat exchangers and economizers fall into this category; some condensate return systems, power factor improvement systems, automatic combustion control systems, and new high efficiency lighting systems also belong to this category. Longer payback items in this category include imported high-efficiency motors and variable speed AC motor drives.

Major Replacement Projects:

Major replacement projects include purchase of new production or auxiliary equipment. They may range from a few million to more than 100 million rupees. Their payback also tend to be longer, and they require more detailed financial analysis. They often involve import of large process-specific equipment or equipment with elaborate controls. Often these projects cannot be justified on energy savings alone; increases in production quality or capacity must also be figured into the financial analysis. In addition to process equipment, new boilers and cogeneration equipment fall into this category.

Typical ECO's : Energy Surveys of 36 Plants

Measure

Occurrence

(Times Noticed)

Savings

(Rs Million)

51