₹13+ Lakh Saved: Air Compressor Optimization for an Indian Auto Manufacturer

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Executive Summary

A Tier-1 Indian Automobile Component Manufacturer, with over 650 employees and annual revenue exceeding ₹1,000 crore, partnered with Energeia to enhance energy efficiency at its Haryana facility, specifically focusing on air compressors. Energeia conducted a comprehensive Compressed Air Audit, identifying areas for significant energy savings. By implementing strategic improvements, Energeia achieved annual energy savings of 1,64,000 kWh, equivalent to approximately ₹13.12 lakh in cost savings.

Key Stats

0.12 Lakh

Monetary Savings Annually

0,64,000 kWh

Energy Savings Annually

0 Tonnes

CO₂ Emission Reduction

Customer Overview

The client is a leading automobile component manufacturer in India, operating a large facility in Haryana with over 650 employees. The plant operates 24/7 and relies heavily on its air compressors for production processes, making energy efficiency a priority.

The Challenges

Energeia was engaged in 2021 to conduct an Investment Grade Audit (IGA) at the facility. The audit aimed to understand the existing system’s operations and uncover potential energy efficiency opportunities. The initial assessment revealed that:

  • Ineffective Compressor Room Layout: The setup hindered optimal airflow and energy use.
  • Undersized Compressed Air Network: The air distribution network was inadequate, causing inefficiencies.
  • Pipeline Design Issues: Poor design led to pressure drops, especially in critical production areas.
  • Improper Receiver Design Size: The receiver’s capacity was mismatched with the plant’s demand.

Additionally, data from Energeia’s IoT-based monitoring system showed a significant pressure drop in one critical production area, requiring further intervention.

Energeia’s Solution: Air Compressor Optimization

Energeia implemented a Shared Savings ESCO contract with the customer for a five-year period, focusing on optimizing the air compressor system. The following solutions were put in place:

  • Pressure-Based Control System: Enabled efficient operation by dynamically adjusting the combination of air compressors based on plant demand. As the plant’s demand was dynamic, a centralized control system ran the appropriate selection of air compressors for a given demand. 
  • Increased Internal Pipelining Size: The existing pipeline was replaced with new pipeline of larger diameter, reducing the pressure drop across the plant
  • Revised Compressor Room Layout: Enhanced airflow and minimized energy losses.
  • Reconfigured Compressor Set-Points: Allowed the system to respond efficiently to varying demand, reducing energy wastage.

ESCO Shared Savings Model

Energeia funded and implemented energy efficiency improvements for the client. The client paid nothing upfront, as Energeia covered all costs, including equipment, installation, and maintenance. Once the project began saving energy, the cost savings were split between Energeia and the client.

Results

Energeia’s interventions led to the following outcomes:

  • Energy Savings: Annual reduction of 1,64,000 kWh, translating to a 30% decrease in compressor energy use.
  • Cost Savings: Estimated annual savings of ₹13.12 lakhs, based on an electricity cost of ₹8 per kWh.
  • Operational Benefits:
    • Real-time monitoring enabled proactive safety management and minimized downtime.
    • Reduced compressor breakdowns due to better maintenance practices.
    • Upskilled maintenance staff and engineers, improving production efficiency.

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Sankriti Malik

Head, Marketing & Growth

Sankriti is a dynamic growth catalyst, turning customer insights into impactful strategies.

She’s held multifaceted roles at high-growth startups like Kodo Tech, Athena Education, and Hora.AI, where she drove initiatives in product management, UX research, and branding. She’s also contributed to strategy roles at Indian Oil, Times Internet (BCCL) and The Copenhagen Post.

A Psi Chi Honors graduate from Wesleyan University in the US, Sankriti blends her expertise in UX design, data, and strategy to lead Energeia’s marketing efforts – always keeping the customer at the heart of her work. 
 
She’s passionate about gender equity in climate tech and actively contributes to networks like Leap.club and Ladies Who Lead. Her commitment to impactful digital design led her to join communities like GrowthX, IxDF, and Terra.do. In the past, she’s been a Fellow at the Patricelli Center for Social Entrepreneurship and co-founder of the Design Think Tank.