Case Study

CEMENT MILL – CASE STUDY
LEADING STEEL MANUFACTURER
EARNS ADDITIONAL INCOME
WITH ENERGY POOL SOLUTIONS
Case Study
JANUARY 2013
STEEL MILL – CASE STUDY
Key Facts
Industry:
Steel milling
Location:
France
Power supply:
High voltage
Demand response strategy:
Curtailment only
Annual savings:
3 to 5 % of energy costs
Energy Pool client and partner
Energy Pool’s partner is a leading European steel milling company
which supplies a wide-range of end-users. The group expanded its
capacity as well as range of products through the successive
integration of various independent producers. Thanks to this
diversification it is able to supply clients in most of the world.
Steel milling is an energy-intensive industry. Energy Pool’s client
processes steel scraps to obtain recycled steel. The whole process
comes with significant electrical power requirements from melting
through laminating. Consequently, electricity budget stands out as
a primary strategic concern for the company.
To mitigate this huge energy cost, the company used to take part
in the seasonal load shedding program historically implemented by
the utility which consisted in cutting its energy use on given winter
days when the reliability of the French grid was at risk. After a
strategic shift, the company decided to join Energy Pool’s pool to
increase its savings.
Working together towards a smarter energy management
Already knowledgeable of electricity markets, the company chose Energy Pool to enhance its energy
management strategy, develop further its electricity consumption flexibility and monetize it on markets.
In 2010, Energy Pool started to collaborate with one of the company’s site in France. The client brought
significant capacity to Energy Pool’s pool and quickly started to participate in the demand response market
under Energy Pool management.
Energy Pool experts along with client’s teams studied potentialities to monetize the site’s flexible
capacities. The site was then connected to Energy Pool network operation center (NOC), in Chambéry,
France, from which Energy Pool load managers could monitor its instantaneous consumption data. Such as
other heavy industries, steel milling comes along with both high power requirements and continuous
operation. It thus provides numerous demand response opportunities on energy markets. Given its 24/7
operation Energy Pool was able to fully harness the client’s demand response potential.
Thanks to its client’s consumption pattern and
processes, Energy Pool was able to monetize the
client’s flexibility on several demand response
mechanisms and thus maximize its financial
outcome.
The collaboration turned out to be successful
when Energy Pool experts along with the
company's industrial processes managers added
new flexible capacities to Energy Pool smart
energy management program. This increased by
10 % the capacity monetized on energy markets.
© 2013 Energy Pool Développement SAS (France)
Top steel producer turns
to Energy Pool to
monetize its flexible
capacity on energy
markets
STEEL MILL – CASE STUDY
When a demand response event is dispatched, shutdown of processes is initiated remotely from Energy
Pool’s NOC. Energy Pool aggregated the company's flexible capacity to other industrial capacities which
allows to maximize demand response opportunities and, consequently, client revenue. In case of an event
preventing the client from actually reducing its electrical load, Energy Pool’s management mitigates
financial risk.
This smart energy management led the company to regain control over its electricity costs. Participating in
demand response programs also led the company to implement a more sustainable energy policy.
Furthermore, temporary shutdowns have not impaired the client’s ability to deliver a quality product in a
timely manner.
Energy Pool and its client have built up a robust and trust relationship over the years. The transparency of
communication between Energy Pool and the client through quality market, energy policy and technical
information represent a significant part of this valuable relationship. Considerable time-saving and tailored
customer service complete these advantages.
DBenefits for the client
1
3 to 5 % savings on energy budget
2
Additional savings linked to smarter energy management ignited by Energy Pool’s solutions
3
Additional investment capability
4
Enhanced competitiveness
5
Dedicated Energy Pool team and service
How Demand Response complements Energy Efficiency
Demand Response in brief:
1
Additional revenue
Demand Response contributes to reduce power
consumption especially in periods of peak load.
Capacity payments may represent significant
revenue for electro-intensive industries
2
Targeted dispatch
Demand Response allows to free large amounts
of power quickly, reliably and for a limited time
period thus supporting grid balancing and power
needs contributing to a safe and reliable
electricity supply for all
JUCV
Energy Pool Headquarters & Operations
Savoie Technolac
25, Av. Lac du Bourget – BP 324
73 377 Le Bourget du Lac Cedex
+33-479-851-274
Energy Pool Commercial & Development
59, Blvd. Vivier-Merle
Immeuble Gemellyon Sud
69003 Lyon
+33-478-097-170
www.energy-pool.eu
© 2013 Energy Pool Développement SAS.
All rights reserved.
No text can be reprinted without permission.