approach to motor management
Transcripción
approach to motor management
1·2·3 The 1 · 2 · 3 A p p r oac h to M oto r Ma na g e me n t De m o n s t r a t e t h e Be n e f i t s o f Proactive Motor Management to Your Customers Developed by The Motor Decisions Matter Campaign sm VERSION 6.5 © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 Table of Contents 1·2·3 Quick Start Guide 1 Overview 2 Requirements 4 Getting Started 6 1·Input 8 Gathering Data 2·Results 11 Understanding and Comparing Costs 3·Decision 13 Take Action Now or When the Motor Fails Additional Features of the 1·2·3 Spreadsheet 14 Next steps 16 Appendices Appendix 1 Customer Questionnaire Appendix 2 Sample 1·2·3 Spreadsheet Pages Appendix 3 Building a Motor Management Plan © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 1 · 2 · 3 Q UIC K S T A R T GUI D E Follow these simple steps to educate your customer about the many benefits of energy-saving NEMA Premium™ motors, best practice repair and proactive motor management. References are provided throughout this instruction manual for more information about each topic. Contact your customer (on the phone or in person) to discuss the company’s current motor practices. The Getting Started section of this manual provides guidance for conducting these initial meetings. Review the customer’s motor population and choose several for evaluation. The Getting Started section also provides guidance on identifying motors that are good candidates for The 1·2·3 Approach. Follow the 1·2·3 process for each of the representative motors. 1·I nput Collect nameplate data on the representative motors and enter that data into the 1·2·3 Spreadsheet. 2·RESULTS Review the calculated results with your customer. The spreadsheet will automatically calculate the annual energy cost, capital investment, incremental investment cost, life-cycle cost, annual energy savings, net present value (NPV) and simple payback period for each of the following scenarios: • Replace the motor immediately with a NEMA Premium motor. • Wait for the motor to fail, then rewind it according to best-practice guidelines. • Wait for the motor to fail, then replace it with an EPAct standard-efficiency motor. • Wait for the motor to fail, then replace it with a NEMA Premium motor. NOTE: No one can predict how a motor will fail. In order to make a comparison based on this future event, the 1·2·3 Spreadsheet assumes that the motor will require rewinding when it fails. 3·Decision Decide on the most cost-effective course of action for each motor, and click on the appropriate decision button. Once you click, the spreadsheet will automatically prepare labels for printing. These labels can be used to create tags that can be affixed to the motor and communicate your decision to others within the facility. You can print as many labels as necessary for tagging similar motors running similar applications. Clicking the decision button also carries the decision forward to other pages within the spreadsheet. Introduce the appropriate optional pages to your customer. The Additional Features of the 1·2·3 Spreadsheet section of this instruction manual provides background and guidance on these additional features. Meet with your customer to determine the best approach for implementing these decisions and for assessing other appropriate motor management strategies. The Next Steps section provides a framework for reviewing and planning the optimal next steps. Building a Motor Management Plan, Appendix 3 of this instruction manual, provides specific strategies and resources that you might want to discuss with your customer. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 Overview Many managers do not realize that electricity costs account for approximately 95 percent of a motor’s lifetime costs and that great savings can be achieved by increasing motor efficiency. Improving motor efficiency may also improve productivity, reduce operating and maintenance costs and help improve air quality by reducing greenhouse gas emissions. The 1·2·3 Approach to Motor Management provides a simple and easy way to demonstrate these opportunities to your customers. It also provides a framework for educating your customers about the value of implementing other motor management strategies such as maintaining a spares inventory, proper motor sizing and best practice repairs. The Ba sic Ste ps The 1·2·3 Approach is designed for you and your customer to work as a team. Together, you select a few representative motors for review, collect nameplate data from these motors and enter that data into the 1·2·3 Spreadsheet. By reviewing these few motors, you can help clarify the opportunity with your customer. Based on the results, you can create an appropriate motor management plan. Plans often start with a more comprehensive motor survey. See the Next Steps section for details. Once the data has been entered, the spreadsheet will automatically perform a number of similar calculations for two possible courses of action: Replace the motor immediately with a NEMA Premium™ motor, or proactively decide on an appropriate, cost-effective course of action in preparation for future motor failure. • Rewind the existing motor following best practice procedures. • Replace the failed motor with an EPAct standard-efficiency motor. • Replace the failed motor with a NEMA Premium motor. The spreadsheet calculates annual energy cost, capital investment, incremental investment cost, life-cycle cost, annual energy savings, net present value (NPV) and simple payback period for each course of action. After the spreadsheet has made the calculations, you and your customer will review the results and decide whether to replace each motor immediately or whether to repair or replace it upon failure. This process is designed to create an opportunity to discuss the benefits of comprehensive motor planning with your customer. The 1·2·3 Approach provides guidelines for discussing and prioritizing appropriate strategies. The I nstruc tion Manual The 1·2·3 Approach can be completed quickly and easily, with a minimum amount of time required for data collection. This manual provides guidelines for each step of the process, from entering data to interpreting results. The 1·2·3 Approach is also designed to help you educate your customer about other aspects of effective motor management. These educational opportunities are highlighted in the text boxes located throughout this manual. The issues are raised as suggested points for discussion. Feel free to include them or not as you feel appropriate. You may choose to introduce different issues, depending on the situation. These topics are included (in alphabetical order) as part of the Quick Start Guide of the 1·2·3 Spreadsheet. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 Overview The 1·2·3 Spre adsheet There are multiple pages in the spreadsheet. • The Quick Start page, reproduced as the first page of this manual, divides the process into five simple steps. It also provides an overview of some additional topics you might want to discuss with your customer. Thereafter, pages are grouped for each representative motor. The 1·2·3 Approach can accommodate up to five representative motors. • The Motor page is the backbone of the 1·2·3 Approach. After you enter the required data, this page automatically performs the calculations, presents the results and prompts you to make a decision. When you have evaluated the results and decided on a course of action, click the appropriate decision button on this page and the information is carried forward to the other pages of the spreadsheet. • The Tag page enables you to print labels for creating motor tags that communicate your decision to others. Five Motor pages are provided to permit review of up to five representative motors. Remember the 1·2·3 Approach is not intended to be used as a comprehensive survey tool. • The Calculations page allows customers to look more closely at the financial calculations and to incorporate their company defaults into the formulas. This page also includes graphs and charts to help clarify the financial information provided. Note: If the default values are changed, be sure to return to the Motor page to review the recalculated results and reevaluate your decision. • The Inventory page serves as a tool for demonstrating the value of creating a motor inventory. • The Summary page provides cumulative financial information based on the decisions made and the number of similar motors in the facility. Other Supporting Documents The Appendices section contains a print version of the 1·2·3 Spreadsheet and samples of all supporting documents. Supporting documents include the Customer Questionnaire, Motor Management Contact List and Building a Motor Management Plan. The last-named document provides a framework for moving beyond this initial demonstration. It will help you describe, choose and prioritize the motor management strategies that will best suit your customer’s needs. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 Requirements Soft w are In order to run the 1·2·3 Approach to Motor Management spreadsheet, you will need Microsoft Excel® Version 97 or later. To open the Instruction Manual and the Sponsor Contact list, you will need to have Adobe Acrobat Reader installed. Registration All documents related to the 1·2·3 Approach to Motor Management are subject to change without notice. In order to receive e-mail notification about updates and additions to the 1·2·3 Approach, you must register electronically on the Motor Decisions Matter (MDM) Web site (www.motorsmatter.org). Only registered users will be notified of changes and additions to the 1·2·3 Approach files. All registration information will be kept confidential and will not be shared with other outside organizations. Enabling Microsof t Excel Macros When you first open the 1·2·3 Spreadsheet file, a message may be displayed about macro security. If the Enable Macros button is active, click on Enable Macros and the file will open. If the Enable Macros button is not active, you should see some information about a “SelfCert.” Click on “Always trust this source.” Then the Enable Macros button will be activated and you can click on it to open the file. You might also need to add the 1·2·3 Approach’s developer as a “Trusted Source” or revise your security level. For assistance with these functions, open Excel’s “Help” feature and search on “Macro Security.” Custom er I nput Achieving a credible result with the 1·2·3 Approach to Motor Management requires active participation from your customer. The amount of time required, however, is minimal. To participate in the process, your customer must provide two critical inputs: the annual operating hours of each sample motor and the company’s total cost of electricity. In addition, the customer must provide informed consent to all cost information entered into the 1·2·3 Spreadsheet. These include new motor costs, installation costs and best practice rewind costs. The customer must also understand and agree to the value used to estimate motor life. A ssum ptions and Cl arific ations The results calculated in the 1·2·3 Approach are based on several assumptions: • The customer has provided the critical inputs. • The customer is well informed and agrees that the motor life and motor costs used in the calculations are appropriate. • A motor rewind will be required at failure. This assumption must be verified at the time the motor actually fails before any action is taken. • Nameplate data, including full-load efficiency, is used in the 1·2·3 calculations. • Motor efficiency will be maintained during the rewind process. • For Net Present Value (NPV), no borrowing has occurred. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 Requirements For More I nformation The 1·2·3 Approach was developed by a diverse group working together through the Motor Decisions Matter campaign. The group includes energy-efficiency program administrators, motor manufacturers, motor sales/service centers, trade associations, the U.S. EPA and U.S. DOE. Sponsoring organizations are available to answer questions about the 1·2·3 Approach, motor management benefits and strategies, and the Motor Decisions Matter campaign. For a list of these sponsors and specific contact information, visit www.motorsmatter.org and click on the Sponsors tab. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 G e tt i n g Sta r t e d Choosing a Target Com pany The following guidelines will help you to identify customers who are most likely to find significant savings opportunities from the 1·2·3 process. Obviously, each organization offers unique opportunities. You may choose to review motors and/or approach companies that fall outside the guidelines. Remember, these guidelines are provided to help you identify possible opportunities. They are not intended to be restrictive. • Choose a medium-sized facility (fewer than 500 motors). Often, larger facilities already maintain a motor inventory or have implemented motor management procedures. Smaller organizations may not have motor populations with many similar motors. • The facility should operate at least two shifts per day. Efficiency savings increase with longer operating hours. Generally, look for motors that are running a minimum of two shifts per day, i.e., 4000 hours or more per year. • • Look for facilities with older motor populations. The greater the difference in efficiency between the current motor and a NEMA Premium motor, the greater the opportunity for savings. Pre-EPAct 1992 motors (before 1997) are likely to be significantly less efficient than newer models and therefore offer the greatest savings. Choose a facility with a large number of general-purpose motors of the same size and type, sized between 10 and 200 horsepower, running similar applications. NEMA Premium motors are readily available in this size range. Having many motors similar to the ones chosen for review effectively multiplies the outcome. Generally, custom motors do not make good candidates, as replacements are often expensive and/or not readily available. • Make sure that the motors chosen are easily accessible. Accessibility is important for reading nameplate data. Accessibility also facilitates follow-up action on motors where 1·2·3 indicates immediate replacement. • Look for facilities in regions with high electricity costs. General information about electricity costs across the United States is available from the Energy Information Administration Web site (www.eia.doe.gov). Use this information to assist in understanding your region’s energy cost. Once you begin the 1·2·3 process, the actual cost of electricity must be supplied by the customer. Both energy and demand changes should be included. Pre paring for the Ini tial Meeting The initial meeting is a time to describe the 1·2·3 Approach to Motor Management, identify the customer’s goals and expectations and reach agreement on important assumptions. It can be approached in several ways. The Customer Questionnaire provides useful information for beginning the process and assessing the opportunity. For example, high energy costs and/or long operating hours indicate facilities with good savings opportunities. The questionnaire can also be used to gauge the customer’s current understanding of motor management and learn if the company’s current policies address motor efficiency, life-cycle costing, best practice repair or other relevant issues. The questionnaire can be used either prior to or during the initial visit, by phone or in person. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 G e tt i n g Sta r t e d At this point, you may want to explore the opportunity for assembling a motor management team. Utilizing a team approach can help to solidify support for developing and implementing motor management strategies. While team composition varies from company to company, it often includes the purchasing agent, the facility manager, a process or design engineer, and a representative from upper management (participation by upper management is important for long-term success). You may want to include others outside the customer’s organization, such as a utility representative or a motor service center or motor sales representative. The Motor Management Team Contact Sheet can help you assemble a motor management team. Forms are available in Appendix 2 of this manual and in the 1·2·3 Spreadsheet. In some cases, it is easier to organize a team after having completed the 1·2·3 process. The 1·2·3 Approach’s financial analysis coupled with the opportunity for additional productivity savings is a powerful tool for convincing reluctant upper-level managers of the potential benefits. Team building is discussed again later in this manual. Conduc ting an Ini tial Discussion During the early part of the process, it is helpful to gain an understanding of your customer’s familiarity with various aspects of motor planning as well as the customer’s motivations for participating in the 1·2·3 Approach. You will want to review the company’s current practices and discuss specific interests and concerns. Discuss any preconceptions the customer may have. Are there specific goals or expectations that the customer already has in mind? Are they reasonable? It is important to understand where the customer expects to find savings. Review the 1·2·3 process with the customer and set appropriate expectations. Explain what the process does and does not accomplish. Explain the 1·2·3 assumptions listed in the Requirements section of this manual. Discuss and clarify the deliverables: • A Motor page for each sample motor that shows the data entered, annual energy cost, capital investment, incremental investment cost, life-cycle cost, annual energy savings, net present value (NPV) and simple payback period for each decision scenario. • Optional: A plan for tagging the representative motors (Tags will clearly identify the selected proactive decision) • Optional: A simple inventory form showing the motors reviewed • Optional: An expanded view of the financial analysis defaults and calculations • Optional: A summary page that provides cumulative cost and savings information about the decisions made During this discussion, you will also need to learn about the company’s motor population. If possible, you might request a walk-through of the facility. Determine your customer’s motor sample size (generally five motors or fewer) and identify which motors will be used for this 1·2·3 Spreadsheet. Remember, the best candidates • are general-purpose motors installed prior to 1997 (i.e., pre-EPAct 1992); • operate more than 4000 hours per year (two shifts); • are readily accessible; • represent multiple motors of the same size and type running similar applications. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 1·Input Use the Input section of the Motor page to gather the necessary information. The 1·2·3 Spreadsheet contains five Motor pages. The actual number of motors to review is a decision to be made with your customer. Note: While it is possible to review more than five motors by using the spreadsheet multiple times, it is not recommended. The 1·2·3 Approach is a demonstration tool. It is not designed for creating and maintaining a complete motor inventory. Gathering Data Before you begin, please be aware that there are two distinct classes of data to be entered: critical and customer approved. • Critical data must be supplied by the customer. There are two critical data inputs in this 1·2·3 Spreadsheet: OPERATING HOURS and COST OF ELECTRICITY. • Customer-approved data is information that the customer provides or agrees is applicable. All nameplate, cost and other data input must be customer approved. It is important to the 1·2·3 process, and to your credibility, that the customer knows the source of all data and agrees that it is acceptable. The Input data is divided into four sections. Data fields marked with an asterisk are required. Name pl ate Data This section contains information available from the motor nameplate. This is an opportunity to discuss the common practice of oversizing motors for a given application and the benefits of proper sizing. MOTOR ID*: A unique identifier assigned for tracking and management purposes. The actual speed of a NEMA Premium motor may be higher than the actual speed of a same-speed standard-efficiency motor. Make certain that this will not be an issue in the motor being reviewed. For example, faster speed may significantly decrease anticipated energy savings in centrifugal applications, such as pumps and fans. RPM (rpm)*: The synchronous speed of the motor. MANUFACTURER: The motor manufacturer’s name. MODEL: The manufacturer’s model number. SIZE (hp)*: The horsepower rating. ENCLOSURE TYPE: The motor’s enclosure type. NOMINAL EFFICIENCY (%)*: The nameplate nominal efficiency rated at 100 percent load. Some pre-EPAct motors do not list nominal efficiency on the nameplate. For these motors, you may refer to the pre-EPAct default efficiency table in the 1·2·3 Spreadsheet. This table represents the default values used by the DOE’s MotorMaster+ software for pre-EPAct standard-efficiency motors. NOTE: MotorMaster+ 4.0 was developed by the Washington State University Cooperative Extension Energy Program (the Energy Program) and is funded by the U.S. Department of Energy (U.S. DOE) via the Industrial Technologies BestPractices Program (formerly the Motor Challenge Program). It is available for download free of charge (http://www.eere.energy.gov/industry/bestpractices/software.html). FRAME SIZE AND TYPE: NEMA frame size and type. Nameplate efficiency assumes a 100 percent load. This is an opportunity to introduce load vs. efficiency curves and to discuss the relationship between the two. Also, discuss the implications of assuming 100 percent load, i.e., the actual load and efficiency are often below these assumptions. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 1·Input Motor loading has a significant effect on motor efficiency. Studies show that many motors in the U.S. typically run at 40 percent load or less.1 Use this opportunity to discuss the benefits of actual load testing. Motor management is sometimes hard to justify since motor purchases are often capital budget items while motor repair and maintenance are often operating budget expenses and the cost of electricity is often an overhead cost. Obviously, it is important to look at the entire financial picture when making repair/replace decisions or developing motor management policies. VOLTAGE RATING (volts): Rated voltage. FULL-LOAD AMPS (amps): Rated amperage. Fin anci al Infor mation This section contains information necessary for the financial calculations. Motor Life (yrs)*: The estimated useful life of a motor. Common estimates range from 10 to 30 years. Enter the customer’s estimate or accept the 1·2·3 Approach default value of 18 years.2 The value used must be understood and approved by the customer. COST OF ELECTRICITY ($)*: The aggregate cost of electricity. This can be calculated from the customer’s electric bill by dividing the total energy cost by total kilowatt-hours consumed.3 DESIRED PAYBACK PERIOD (yrs): The company’s hurdle rate for capital expenditures. For most companies, payback period is generally between one and five years. Two years is a common value. If the company’s payback period is unknown, the suggested value is two years, provided this meets customer approval. HORSEPOWER BREAKPOINT: Some companies have developed a simple guideline to replace all motors that fall below a particular horsepower upon failure. The motor size at which this occurs is called the Horsepower Breakpoint. The value will vary from one company to the next and should be based on life-cycle cost calculations. Applic ation Infor mation This section contains information pertaining to motor usage. YEAR MOTOR INSTALLED: The year the motor was first installed. MOTOR LOCATION: Facility, production line or other description of the motor’s location. APPLICATION: Equipment powered or other description of motor’s use. TOTAL YEARLY OPERATING HOURS (hrs)*: Operating hours per year. This value can be easily calculated by multiplying (the number of hours the motor operates each day) x (number of days the motor operates each week) x (the number of weeks the motor operates each year).4 REPAIRS/REWINDS: This input serves as a flag for discussion about one or more important considerations regarding motor repair as stated on the nameplates. You might discuss the possible negative effects of improper motor repair. ANSI/EASA AR100 coupled with EASA’s Guidelines for Maintaining Motor Efficiency During Rebuilding describes commonly accepted best practice repair procedures. These are available on EASA’s Web site (www.easa.com). You can also point out the benefits of working closely with a repair center and introduce the concept of developing a motor repair specification such as ANSI/EASA AR100. If the motor has previously suffered a catastrophic failure, it may be operating below nameplate efficiency. Some types of damage (such as damage to the iron core) may not be visible but may affect performance. Frequent motor failure is an indicator that further analysis is required. There may be other problems with the motor and/or motor system. QUANTITY OF SIMILAR MOTORS*: Number of motors of the same size and type running similar applications. 1. Greenberg, “Incentives for Premium-Efficiency Motors: The Role of Prescriptive Rebates in the Post-EPAct Era,” E-Source (ER-03-9 Tech May 2003). 2. Based on information from Nadel, Elliot, et al., Energy-Efficient Motor Systems: A Handbook on Technology, Program, and Policy Opportunities, Second Edition, (Washington, D.C., American Council for an Energy Efficient Economy, 2002), p. 206, Table 6-14. 3. Critical data: Cost of Electricity must be supplied by the customer to comply with the 1·2·3 Approach. 4. Critical data: Operating Hours must be provided by the customer to comply with the 1·2·3 Approach. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 10 1·Input Cost an d efficienc y Infor mation This section allows you to input applicable new motor efficiency, installation and repair costs. Remember, the customer must provide or give his informed consent to the costs entered. INSTALLATION COST*: The cost of installing a new motor. Installation cost is included in capital investment, life-cycle cost and net present value calculations. One common stumbling block for purchasing a NEMA Premium motor is the higher initial cost. Explain life-cycle costing as it applies to motors. Incentives for NEMA Premium motors can also help to overcome the initial cost differential. AVAILABLE INCENTIVE: In many areas, financial and/or technical assistance is available for NEMA Premium motors and other motor system improvements. Learn what opportunities are available in your area by asking your utility, state energy office or regional efficiency organization representative. CEE’s “National Summary of Energy-Efficiency Programs for Motors and Drives” contains information about many incentive programs across the U.S. and Canada and can serve as a starting point (www.motorsmatter.org). NEMA PREMIUM MOTOR COST*: The cost of the specific NEMA Premium motor selected. This cost will vary by manufacturer, sales center, motor size and type. Motors are often discounted from list price. NEMA PREMIUM EFFICIENCY*: The nominal efficiency of the selected motor as stated on the nameplate. EPACT MOTOR COST*: The cost of the EPAct motor selected. This cost will vary by manufacturer, sales center, motor size and type. EPACT EFFICIENCY*: The nominal efficiency of the selected motor as stated on the nameplate. BEST PRACTICE REWIND COST*: The cost of rewinding the motor following EASA’s best practice guidelines as described in ANSI/EASA AR100 and EASA’s Guidelines for Maintaining Motor Efficiency During Rebuilding (Tech Note 16). Once the required data has been entered, the 1·2·3 Approach will automatically perform the necessary calculations. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 11 2 · R e s u lt s Note: Please make sure all required fields marked with an asterisk are complete before continuing with the 1·2·3 process. If cells in the RESULTS section are blank, it indicates that one or more of the required inputs have not been entered. Un derstan ding and Co mparing Costs The 1·2·3 Approach to Motor Management identifies potential cost savings. It does not guarantee that these savings will be realized. For example, the actual operating load and/or motor efficiency may differ from the nameplate data, which will affect the savings actually achieved. The Results section enables you to compare the operating costs and financial benefits of each potential course of action. Since most motor users are surprised to learn how much they spend each year to operate their electric motors, it is an opportune time to educate your customer about controlling energy costs through life-cycle costing and proactive planning. In addition to saving money on energy, planning ahead for motor failure — and having the right motor available when it fails — can also greatly reduce downtime and increase productivity. You can use the 1·2·3 process to highlight these additional bottom-line benefits. Act Now The first question to answer is, “Do the potential energy savings justify replacing this operating motor with a NEMA Premium motor?” To evaluate this, review the first two columns of the Results section. • CURRENT COSTS (BASE CASE): This column provides information about the operating costs for the currently installed motor. These values provide the base case for the Act Now comparison. This is an opportune time to discuss the benefits of proactive motor planning with your customer. Planning ahead for motor failure ensures that the right motor will be available when needed. Help move your customer from panic to planning by discussing the benefits of maintaining a spares inventory of critical motors. • REPLACE IMMEDIATELY WITH NEMA PREMIUM: This column provides information about the operating costs for a same-size-and-type NEMA Premium motor. Act Upon Motor Fai lure The second question to answer is, “If the potential energy savings do not support immediate replacement, what course of action will be most cost-effective when the motor fails?” If this motor seems to be a good candidate for replacement, reiterate the opportunity to measure actual load and, if warranted, resize the motor to achieve additional savings. Be certain you obtain a complete load profile before making any recommendations. In this course of action, the 1·2·3 Approach assesses several different possibilities to make certain that the customer chooses the most cost-effective solution, given the facility’s operating conditions and electricity rates. These actions are: rewind the current motor according to best practice repair guidelines, replace the failed motor with a standard-efficiency motor or replace the failed motor with a NEMA Premium motor. Columns three through five of the Results section display these calculations. The final column, Comparing Replacement Choices, provides a direct comparison of the replacement at failure with EPAct or NEMA Premium options. The 1·2·3 Approach assumes that the motor will need to be rewound when it fails. It is important that the customer understand that if rewind is not the required repair when the motor actually does fail, this calculation may not be valid and the decision should be reassessed. • REWIND USING BEST PRACTICE (BASE CASE): This column provides information about operating and rewind costs (following EASA’s best practice repair guidelines) for the current motor. These values provide the base case for the Act Upon Failure comparison. • REPLACE WITH EPACT: This column provides information about the costs associated with replacing the current motor at failure with a standard-efficiency EPAct motor. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 12 2 · R e s u lt s The 1·2·3 Approach assumes that best practice procedures are followed and that nameplate efficiency will be maintained during the rewind process. This is a good opportunity to discuss the possibility that some motor repair practices will decrease efficiency. A motor repair specification can help define and standardize the repair service the customer receives. You might also stress the importance of working with the motor repair center to ensure best practice procedures are followed. Quality assurance programs such as Advanced Energy’s Proven Excellence Verification Program, EASA Q and ISO certification provide indications that motor service center will deliver a quality repair. • REPLACE WITH NEMA PREMIUM: This column provides information about the costs associated with replacing the current motor at failure with a NEMA Premium motor. Reviewing the calculated results with your customer will help determine the best course of action when the motor fails. All formulas used in these calculations are clearly displayed on the Formula page of the spreadsheet and as part of Appendix 2 of this instruction manual. Calcul ated Value s ANNUAL ENERGY COST: The calculated energy cost to operate the motor for the designated number of hours at the designated energy cost. CAPITAL INVESTMENT: The total cost for implementing a particular decision. Act Now • Current Costs: The investment cost is zero. No investment is necessary to continue operating the current motor as is. • Replace Immediately with NEMA Premium: The investment cost is the new motor cost plus the installation cost. Act Upon Motor Fai lure All actions require that the failed motor be removed and a working motor be reinstalled. The 1·2·3 Approach assumes that the cost of reinstalling a rewound motor, installing a new EPAct motor and installing a new NEMA Premium motor are all equal. In addition, all calculations (annual energy savings, NPV and simple payback period) are based on the incremental cost between the decision being considered and the applicable base case. • Rewind using Best Practice: The Capital Investment is the rewind cost plus the installation cost. • Replace with EPAct: The Capital Investment is the cost of a new standard-efficiency motor plus the installation cost. • Replace with NEMA Premium: The Capital Investment is the cost of a new NEMA Premium motor plus the installation cost. INCREMENTAL INVESTMENT COST: The calculated difference between the Capital Investment of the action being considered and the applicable base case. LIFE-CYCLE COST: The cost of operating the motor over its full lifetime, including initial purchase price (less available incentive), installation cost and (total) annual energy costs. ANNUAL ENERGY SAVINGS: The calculated difference between the annual energy cost of the applicable base case and the annual energy cost of the action being considered. NET PRESENT VALUE (NPV): Net Present Value is the sum of the investment made in the current period and the present value of future cash flows. The present value is calculated using a discount rate. If the net present value is zero or greater, then the project is generally considered to be viable. The NPV calculated by the 1·2·3 Approach is based on the incremental investment cost and cash flows for the motor life entered using the assumptions shown. It utilizes Excel’s standard formula. SIMPLE PAYBACK: Based on the annual savings calculated above, this is the length of time it will take to recoup the incremental investment cost. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 13 3·Decision Take Action Now or W hen the Motor Fails Take some time to review and discuss the 1·2·3 results with your customer. In addition to the calculated savings and financial results, you will need to consider the company’s internal hurdle rate (payback period, NPV, etc.), capital budget requirements and budgeting cycle. Sometimes there are other issues, such as the motor’s operating environment, that will factor into the decision. Work together to decide on the appropriate course of action for each of the motors analyzed. Once this proactive decision has been made, press the appropriate button at the bottom of the spreadsheet. This will carry that decision forward to other pages within the spreadsheet. You have now completed the basic 1·2·3 Spreadsheet. This is a good time to revisit the customer’s initial expectations to make certain that the results and their implications are clearly understood. Review any issues that may have arisen during the process. Then assess your customer’s interest in examining additional motors and/or pursuing additional strategies. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 14 A dd i t i o n a l F e at u r e s o f t h e 1 · 2 · 3 S p r e ad s h e e t There are several additional forms in the 1·2·3 Spreadsheet that might interest your customer. These are all optional, and their usage will not affect the reliability or credibility of the basic approach. Rather, they are provided to complement and enhance its capabilities. Various pages from the 1·2·3 Approach can be combined with the Motor pages to form a compelling report that supports the use of NEMA Premium motors and other motor management strategies. This report might be presented to your customer’s senior managers to garner their support for developing and implementing a motor management plan. Labels Color coding the labels can simplify tag usage. For example, the customer might use red labels for the “Replace Immediately” tags, yellow for “Rewind at Failure,” green for “Replace with NEMA Premium at Failure” and blue for “Replace with EPAct at Failure.” In order to help preserve and communicate these motor decisions to other facility personnel, the 1·2·3 Approach offers a way to print labels. These labels can be used to create motor tags that indicate the appropriate future action. To print the labels, go to the Tags page of the spreadsheet. This allows you to create five sets of front and back labels. Print as many pages as needed to address the quantity of similar motors you want to tag. Labels can be printed on Avery 5163 or other comparable 2" x 4" labels. Standard labels are unlikely to stick directly to the motor. They will need to be affixed to a tag that can be tied or wired to the appropriate motor(s). Fin anci al Calcul ations This page is divided into several sections. Please note that all results displayed on this page are for one motor only. Cumulative results, i.e., multiplied by the number of similar motors, are displayed on the Summary page. Navigation buttons are provided across the top and throughout this page to facilitate movement from one section to another. ASSUMPTIONS In some cases, a company’s financial officer may want to change the defaults or perform financial calculations with varying inputs. The first section of the Financial Calculations page provides this flexibility. Simply enter your customer’s company defaults into the table at the top of the form, and the 1·2·3 Spreadsheet will recalculate based on these values. Please note the option to enter an energy inflation factor. The energy Inflation Factor provides an opportunity to incorporate projected changes in electricity costs over the life of the motor. The default rate is 0 percent, i.e., the electricity rate will remain constant over the life of the motor. As with all data entered into the 1·2·3 Approach, the customer must understand and approve the value entered. Recalculating Financial performance If any default values have been changed, click on the navigation button provided to return to the Motor page to review the new results. This process can be repeated multiple times to satisfy questions raised by the company’s financial managers. Should your customer choose to change the repair/replace decision based on these recalculated values, click the corresponding decision button on the Motor page to carry the decision to the other pages of the spreadsheet. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 15 A dd i t i o n a l F e at u r e s o f t h e 1 · 2 · 3 S p r e a d s h e e t Calculation Results The final section of the Financial Calculations page provides graphs and tables to help illustrate the financial implications of various decisions. This inventory tool is rudimentary and cannot be used to maintain an effective inventory or motor tracking program. It does, however, provide an opportunity to introduce other more comprehensive programs like MotorMaster+ to interested customers. sample Motor I nventory Form It is impossible to effectively manage an asset that you don’t understand. Therefore, the 1·2·3 Approach includes a spreadsheet that can be used to educate the customer about the many benefits of creating and maintaining a motor inventory. Like the financial form, it will be filled in automatically based on the previously entered data. This page is intended to demonstrate the value of maintaining an inventory. It is not intended as a comprehensive tool. If you and your customer are interested in learning more about developing a motor inventory, please refer to Motor Decisions Matter’s Motor Planning Kit, which is available free of charge at www.motorsmatter.org. Summary Re port The summary page views the results of the 1·2·3 Approach as a project to be completed. It takes the results generated for each representative motor and calculates cumulative financial results based on the decisions made for each motor and the number of similar motors in the facility. Data for cumulative capital expenditure, cumulative annual energy cost, cumulative annual energy savings, etc., are combined to create a report that is easy to read and understand. Grand totals, i.e., summations of the cumulative totals for all representative motors, are also provided. If you choose to consider the financial implications of a different decision for any representative motor at any time, return to the Motor page and click on a different decision button. That will carry the new decision and the recalculated results throughout the spreadsheet. The second page of the summary sheet provides a sample letter encouraging companies to develop and implement a customized motor management plan. Use the letter as is, or customize it with your contact information in the spaces provided at the top and bottom of the page. Alternately, you may prefer to design your own summary page to clearly lay out the best next steps for your customer. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 16 Next steps D e v e l o p i n g a M o t o r M a n a g e m e n t P l a n a n d Im p l e m e n tat i o n St r at e g y In addition to its use as a demonstration tool, the 1·2·3 Approach is a way to help your customers understand and realize the many benefits of a comprehensive motor management plan. The next critical step is to develop a multifaceted plan and strategy for implementation. To begin, it is often helpful to sit down with your customer to review what you have seen, heard and learned so far. What payback period did you see? This will likely influence the scope and timing of future actions. What types of motors did you see in the facility? Did you notice motor usage patterns such as consistent oversizing? Did you observe a large population of older motors? Does your customer have a motor purchasing policy? These types of observations will help you structure a plan that best suits your customer’s current needs. Building a Motor Management Plan, Appendix 3 of this instruction manual, divides a typical comprehensive motor management approach into manageable, independent steps. These steps can be included, prioritized, excluded and/or adapted to suit your customer’s needs and budget. The appendix describes each of these activities and provides resources to support implementation. For additional support, please refer to MDM’s Motor Planning Kit. Discuss with your customer which of these activities are likely to achieve the greatest benefit. You might also want to discuss which activities can be accomplished in the short term and which might take longer. Which activities can be accomplished with minimal resources and which might require some capital investment? Building a Motor Management Plan is provided as a worksheet to review and discuss each possible activity. The boxes are one method to mark and/or prioritize those activities appropriate for your customer. Convening the Motor Mana gement Te am Assembling a motor management team will help ensure successful results of any motor management plan. Ideally, this team includes a senior level manager, a purchasing agent, a facility manager, a maintenance manager and/or an engineer, as well as the customer’s motor sales representative(s), motor sales/service center representative(s) and/or utility account representative. Including managerial, financial and facility representatives provides needed guidance and support for longterm motor management strategies. The Motor Management Team Contact List offers one way to organize the team’s information. Forms are available in Appendix 2 of this manual and in the 1·2·3 Spreadsheet. The financial pages of the 1·2·3 Spreadsheet may help to justify the effort required to assemble a team to develop and implement a comprehensive motor management plan. Talk with your customer about the correct timing for bringing others into the process. The motor management team may be interested in pursuing energy management on a larger scale. Addressing motor systems or lighting, for example, often results in significant additional savings. If your customer is interested in learning more about tools for managing industrial processes, the DOE’s Industrial Technologies Program Web site (www1.eere.energy.gov/industry) is an excellent resource. Some companies take an overarching approach to energy and environmental management at the corporate level. For more information, visit EPA’s ENERGY STAR® Web site (www.energystar.gov). MDM’s Motor Planning Kit can direct you to these and other organizations that support both motor system optimization and corporate energy management. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. T HE 1 · 2 · 3 A PPRO A CH T O M O T OR M A N A GE M EN T Ve r s i o n 6 . 5 17 Next steps Pre senting Your Re sults to Upper Mana gem ent At some point in the process, it is often necessary to gain the involvement and support of upper management. The 1·2·3 Approach is designed to help engage managers by providing clear, compelling financial reasons for implementing sound motor management and proactive motor planning strategies. First, consider the financial results: life-cycle cost, net present value and payback period. Please note that each of these calculations is carried out automatically as you input the customer’s data into the 1·2·3 Spreadsheet. There are certain defaults included in these calculations. For some customers, their financial managers may want to modify these defaults to reflect their company guidelines. In making the case for motor management, be sure to emphasize the non-energy benefits as well as the operational cost savings. For example, developing a spares inventory for critical motors can significantly reduce downtime when motor failure occurs. By talking with your customer, you may be able to quantify this benefit in terms of material waste, improved productivity, etc. Or your customer might greatly benefit from a predictive maintenance schedule that helps the customer to schedule — and therefore plan — for necessary downtime. While the ultimate plan of action will vary according to each customer’s needs and constraints, the energy and non-energy benefits gained through proactive motor management based on life-cycle costing will provide value for years to come. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. A P P END I X 1 Customer Questionnaire Background Information 1. What business or industry are you in? 2. How did you hear about motor management? Company manager Electric utility Motor vendor State or regional efficiency organization Motor sales/service provider Newspaper, magazine, trade journal Other 3. Why are you interested in pursuing motor management as a business strategy? Reduce electric bills General cost reduction Reduce downtime Other 4. Does your company currently have any of the following motor-related policies? Please check all that apply. Motor Procurement Policy Motor Repair Policy Motor Management Policy Predictive and Preventive Motor Maintenance Schedule 5. Does your company currently do any of the following? Please check all that apply. Maintain a motor inventory Track motor repair history Track motor maintenance and repair costs Track process downtime 6. How do you currently manage your spare motor inventory? Maintain in-house spares inventory Agreement with motor sales/service center Agreement with motor vendor Do not maintain a spares inventory 7. How many motors do you estimate are in your facility? < 10 101 – 500 11 – 100 501 – 1000 > 1000 Requi red Information 8. How many hours does your plant typically operate? Hours per day: Days per week: 9. What are your electricity costs? In addition to the cost per kWh, be sure to include other appropriate costs such as demand charge, core charge, power factor penalty and any adjustments which might apply. 10.If available, please provide your company’s hurdle rate for capital projects such as payback period. 11. If available, what is your new motor discount rate? © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Quick Start Guide Welcome to the 1·2·3 Approach to Motor Management: Quick Start Guide Follow these simple steps to educate your customer about the many benefits of NEMA Premiumefficiency motors, best practice repair, and proactive motor management. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. Contact your customer (on the phone or in person) to discuss the company's current motor practices. Review the customer's motor population and choose several for evaluation. Follow the 1·2·3 Process for each of the representative motors. Collect nameplate data on the representative motors and enter that data into the 1·2·3 spreadsheet. 1 - Input Review the calculated results with your customer. The spreadsheet will automatically calculate the annual 2 - Results energy costs, life-cycle costs, annual energy savings, net present value (NPV), and simple payback period for each of the following scenarios: * Replace the motor immediately with a NEMA Premium motor. * Wait for the motor to fail, then rewind it according to EASA's best practice guidelines. * Wait for the motor to fail, then replace it with an EPAct standard-efficiency motor. * Wait for the motor to fail, then replace it with a NEMA Premium motor. NOTE: No one can predict how a motor will fail. In order to make a comparison based on this future event, the 1·2·3 spreadsheet assumes that the motor will require rewinding when it fails. Decide on the most cost-effective course of action for each motor and click on the appropriate decision button. Once you click, the spreadsheet will automatically prepare two-sided labels for printing. These labels can be used to create motor tags to inform other personnel in the facility of the decision. You can print as many labels as necessary for tagging similar motors running similar applications. Clicking the decision button also carries the decision forward to other pages within the spreadsheet. Introduce the appropriate optional pages to your customer. Meet with your customer to determine the best approach to implement these decisions and set up a process for reviewing other appropriate motor management strategies. Building a Motor Management Plan , Appendix 4 of the 1·2·3 Instruction Manual, provides specific guidance and resources for strategies you might want to discuss with your customer. 3 - Decision GO TO: Discussion Points Motor 1 Page Version 6.5 All files subject to change. Motor 2 Page Motor 3 Page Motor 4 Page Motor 5 Page Sample Inventory Summary Team Contacts Formulas © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Discussion Points (page 1 of 2) Welcome to the 1·2·3 Approach to Motor Management: Points for Discussion with your Customer The 1·2·3 Approach to Motor Management is designed to demonstrate possible energy savings and to help you talk with your customer about a number of motor selection and operations issues. These are highlighted in text boxes on each spreadsheet page which correspond to the talking points highlighted in the instruction manual. For a more complete discussion of these concepts, refer to MDM’s Motor Planning Kit which can be downloaded free of charge from their website, www.motorsmatter.org. Terms and formulas: All terms and formulas used in this spreadsheet are clearly defined on the Formula Page at the end of this workbook. Click the “” symbol at the bottom of the page to navigate. Available Incentive: Many utilities offer incentives for improving motor efficiency, installing adjustable speed drives, and/or improving overall motor system efficiency. A summary of incentive programs is available on the Motor Decisions Matter web site, www.motorsmatter.org. For more information, check with the customer’s local utility, the state energy office, or regional efficiency group for information. Manufacturers may also offer incentives for purchasing NEMA Premium Efficiency Motors. Cost of Electricity: When calculating the total cost of electricity, be sure to include usage, demand, and any other charges which might apply. Information can be found on the customer’s monthly bills or by contacting their local utility. This input must be provided or approved by the customer. Energy Inflation Factor: Located on the Calculations Page, this inflation factor allows estimates of future energy costs to be highlighted and factored into the calculations. Full-Load Efficiency: All 1·2·3 Approach calculations are based on the full-load nameplate efficiency. Horsepower Breakpoint: To expedite repair/replace decision-making for “smaller” motors, some companies follow a policy to replace all motors which fall below a specific size. This size is often referred to as the “Horsepower Breakpoint.” Encourage your customer to create a written purchasing policy that includes the horsepower breakpoint if appropriate. Version 6.5 All files subject to change. © Copyright 2004, 2005 , 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Discussion Points (page 2 of 2) Welcome to the 1·2·3 Approach to Motor Management: Points for Discussion with your Customer (cont.) Life-Cycle Cost: This concept is at the heart of the 1·2·3 Approach and effective motor management. It is essential that your customer understand that annual electricity costs are typically five to ten times higher than the initial purchase price and that even seemingly small increases in efficiency can significantly reduce energy costs over the life of the motor. The 1·2·3 Approach was developed to help you demonstrate and explain life-cycle costs to your customer. The calculations page provides graphs and tables to help explain this concept. Motor Costs: These inputs must be provided or approved by the customer. Motor Life: Many factors such as load, duty cycle, and operating environment affect motor life. Typical estimates range from 10 to 30 years. You can accept the default value of 18 years or enter another value provided or approved by your customer. Motor Loading: Be on the lookout for motors with varying load requirements especially in pump and fan applications. In some variable load applications, adjustable speed drives can provide significant energy and cost savings. Motor Sizing: In some cases, motors are significantly oversized for their given load application. As you work with your customer, look for opportunities to save energy and money by “right-sizing” motors. Be sure to consider daily and seasonal production schedules, or other factors which might apply. Motor Speed: NEMA Premium motors often operate at faster speeds than their energy efficient or standard efficient counterparts. It is important to talk with your customer about motor speed as in some applications (like centrifugal loads) higher speeds may result in increased energy consumption and cost. Repairs/rewinds: Multiple rewinds and/or major repairs may indicate an application or system problem that should be investigated. Encourage your customer to require root cause failure analysis when contracting for motor repairs. Total Yearly Operating Hours: This input must be provided or approved by the customer. Version 6.5 All files subject to change. © Copyright 2004, 2005 , 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Data Input for Motor 1 Sample MotorPage 1 The 1·2·3 Approach to Motor Management: Motor 1 Page Company Information Company Name Location Contact Date Evaluated Input: Representative Motor 1 Motor Nameplate Data Motor ID * Manufacturer Model Size (hp) * RPM Enclosure Type Full-Load Efficiency (%) * Frame Size and Type Voltage Rating Full-Load Amps Financial Information Motor Life (yrs) * Cost of Electricity (Note 1) * Desired Payback Period (yrs) Horsepower Breakpoint (hp) * Denotes required fields Motor Application Information Year Motor Installed Motor Location Application Total Yearly Operating Hours * Repairs/Rewinds Quantity of Similar Motors * New Motor & Best Practice Rewind Costs Motor Installation Cost * Available Incentive NEMA Premium Motor Cost * NEMA Premium Efficiency * EPAct Motor Cost * EPAct Motor Efficiency * Best Practice Rewind Cost * Results: Representative Motor 1 These results are for one motor. Cumulative results for the full quantity of similar motors are displayed only on the Summary page. Act Now Current Costs (Base Case) Replace Immediately with NEMA Premium Act Upon Motor Failure Rewind Using Best Practice (Base Case) Annual Energy Cost Capital Investment Incremental Investment Cost N/A N/A N/A Life-Cycle Cost (Note 2) Annual Energy Savings Net Present Value Simple Payback Period N/A N/A N/A N/A N/A N/A N/A Replace with Replace with EPAct NEMA Premium Comparing Replacement Choices: NEMA Prem. to EPAct Decision: Representative Motor 1 Review the results with your customer. Decide on the appropriate course of action. Then, click the corresponding button and the 1·2·3 software will generate label(s) that you can use to tag this representative group of motors. It will also enter the decision in the 1·2·3 Motor Inventory and Summary. Act Now Act Upon Motor Failure Replace Rewind Using Immediately with Best Practice NEMA Premium Replace with EPAct Replace with NEMA Premium Notes: 1. One way to calculate your cost of electricity is to divide the total cost of electricity by the number of kWh consumed in a standard billing period. 2. Life-Cycle Cost = (Motor Cost - Available Incentive) + Motor Installation Cost + Lifetime Energy Cost. 3. The 18-year default value for Motor Life is an approximation based on data summarized in Nadel, Elliot, et al., Energy-Efficient Motor Systems: A Handbook on Technology, Program, and Policy Opportunities Second Edition (Washington, D.C., American Council for an Energy Efficient Economy, 2002), p. 206 Table 6-14. Customer understanding and approval of all data input is critical to the 1·2·3 Approach. Version 6.5 All files subject to change. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Financial Calculations for Motor 1 (page 1 of 4) Sample Motor 1 1·2·3 Approach to Motor Management: Financial Calculations These results are for one motor. Cumulative results for the full quantity of similar motors are displayed only on the Summary page. Company Information Company Name Location Contact Date Evaluated Assumes motor purchased for cash; i.e. no financing costs. Values can be changed to reflect company defaults. Discount rate Tax rate Energy inflation factor Five-year Depreciation Year Depreciation Schedule: 1 2 3 4 5 Application Information (from Motor 1 Page) Assumptions Motor ID Size (hp) RPM Enclosure type Motor location Application Total yearly operating hours Motor Life Cost of Electricity Desired Payback Period (yrs) 0 Recalculating Financial Performance Entering different values for any of these criteria will affect the financial calculations for this motor. To review the recalculated results, click here to return to the Motor 1 page. Once you have re-assessed your decision, click the appropriate decision button. You must click a decision button to initiate the recalculation and carry it through to all Spreadsheet pages. Go To Motor 1 Page Calculation Results Page 1 of 3: Representative Motor 1 Comparing Replacement Choices at Failure: NEMA Premium to EPAct NEMA Premium may cost more to purchase but may generate significant savings The incremental cost of purchasing a NEMA Premium motor may be quickly recovered by reduced energy costs over the life of the motor. $0 Difference in Lifetime Savings $0 Difference in Purchase Price $0 Definition of Net Present Value: The value of future cash flows, i.e., future energy cost savings, expressed in today's dollars. The calculation is based on incremental cost. It incorporates the discount rate, tax rate, and depreciation schedule shown in the Assumptions Table at the top of the page. These can be re-entered by the customer to more accurately reflect their financial practices. If values are re-entered, you must re-click the decision button on this page to update the calculations. Version 6.5 All files subject to change. $0 $0 $1 $1 $1 Net Present Value The value of projected cash flows in today's dollars $1 $1 Replace Immed. w/NEMA Prem. Replace at Failure with EPAct $1 $0 $0 $0 1 3 5 7 9 Number of Years After Installation Replace at Failure w/NEMA Prem. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Financial Calculations for Motor 1 (page 2 of 4) Sample Motor 1 1·2·3 Approach to Motor Management: Financial Calculations These results are for one motor. Cumulative results for the full quantity of similar motors are displayed only on the Summary page. Calculation Results Page 2 of 3: Representative Motor 1 Note: Life-Cycle Cost provides an estimate of how much it will cost your organization to operate this motor over its life. This calculation does not factor in the time value of money. Life-Cycle Cost ($) Act Now Replace Immediately with NEMA Premium (includes installation costs) Act Upon Motor Failure Replace with EPAct Replace with NEMA Premium Year (after installation) Note: Simple Payback Period is a constant value. Act Now Replace Immediately with NEMA Premium (includes installation costs) Act Upon Motor Failure Replace with EPAct Replace with NEMA Premium Simple Payback Period (Years) Version 6.5 All files subject to change. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Financial Calculations for Motor 1 (page 3 of 4) Sample Motor 1 1·2·3 Approach to Motor Management: Financial Calculations These results are for one motor. Cumulative results for the full quantity of similar motors are displayed only on the Summary page. Calculation Results Page 3 of 3: Representative Motor 1 Act Now Act Upon Motor Failure Replace Immediately Note: NPV will continue to increase as long as with NEMA Premium Replace with EPAct the motor is in service. (includes installation costs) Net Present Value ($) Replace with NEMA Premium Year (after installation) Customer understanding and approval of all data input is critical to the 1 ·2·3 Approach. All calculations are based on incremental investment cost. Version 6.5 All files subject to change. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Financial Calculations for Motor 1 (page 4 of 4) Sample Motor 1 1·2·3 Approach to Motor Management: Financial Calculations These results areImmediately for one motor. Cumulative results for the full quantity of similar motors are displayed only on the Summary page. Act Now: Replace with NEMA Premium 0 Year 0 Cash Flow Year 1 Year 2 Year 3 Year 4 Year 1 Year 2 Year 3 Year 4 Year 1 Year 2 Year 3 Year 4 Annual Energy Savings Depreciation * Operating Profit Income Tax Net Operating Profit After Tax Depreciation (Add back) Incremental Investment Cash Flow Cash Flow To Date $0 * Attributable to Incremental Investment Act Upon Motor Failure: Replace with EPAct Cash Flow Year 0 Annual Energy Savings Depreciation * Operating Profit Income Tax Net Operating Profit After Tax Depreciation (Add back) Incremental Investment Cash Flow Cash Flow To Date $0 * Attributable to Incremental Investment Act Upon Motor Failure: Replace with NEMA Premium 0 Year 0 Cash Flow Annual Energy Savings Depreciation * Operating Profit Income Tax Net Operating Profit After Tax Depreciation (Add back) Incremental Investment Cash Flow Cash Flow To Date $0 * Attributable to Incremental Investment Version 6.5 All files subject to change. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Sample Inventory The 1·2·3 Approach to Motor Management: Sample Motor Inventory Company Name Representative Motor 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5 Best Practice Rewind at Failure Replace Immediately with NEMA Premium Best Practice Rewind at Failure Best Practice Rewind at Failure Best Practice Rewind at Failure Location Contact Date Evaluated Motor Nameplate Data Motor ID Manufacturer Model Size (hp) RPM Enclosure Type Full-Load Efficiency (%) Frame Size and Type Voltage Rating Full-Load Amps Motor Application Information Year Motor Installed Motor Location Application Total Yearly Operating Hours Repairs/Rewinds Quantity of Similar Motors Decision Note for decisions other than immediate replacement: The 1·2·3 approach assumes that the motor will need to be rewound when it fails. If rewind is not the required repair when the motor actually does fail, this decision must be reassessed. Customer understanding and approval of all data input is critical to the 1·2·3 Approach. Version 6.5 All files subject to change. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. 10 APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Summary (page 1 of 2) The 1·2·3 Approach to Motor Management: Cumulative Summary Company Information Company Name Contact 1·2·3 Service Provider Information Company Name Contact Name Phone E-Mail Summary of Results These results are calculated to represent the full quantity of similar motors. Sample Motor 1 2 3 Grand Total 4 5 Location Date Evaluated Quantity of Similar Motors Gross Connected Horsepower Cumulative Yearly Operating Hours Cumul. Current Annual Energy Cost Decision Cumulative Capital Investment Cumulative Annual Energy Savings Cumulative Net Present Value Avg. Incremental Payback Period The Bottom Line To improve the efficiency of the representative (and similar) motors in your facility, INVEST: Your organization's ANNUAL ENERGY SAVINGS could be: Over the life of the motors, the CUMULATIVE ANNUAL ENERGY SAVINGS could total: And the CUMULATIVE NET PRESENT VALUE based on incremental costs for this project would be: Notes 1. The 1·2·3 Approach is a demonstration tool used to identify potential energy and operating cost savings. It does not guarantee that the identified savings will be realized. 2. These results are provided with the understanding that the customer must either provide or give his consent to all the data used in the 1·2·3 Approach. 3. These results are based on nameplate data which may not reflect the actual operating conditions of the motor. Customer understanding and approval of all data input is critical to the 1 ·2·3 Approach. Version 6.5 All files subject to change. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. 11 APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Summary (page 2 of 2) The 1·2·3 Approach to Motor Management As the 1·2·3 Approach demonstrates, investing in motor efficiency may produce substantial cost savings for your company. But that is only the beginning. There are significant benefits – including reduced downtime and maintenance costs – to be realized by adopting a comprehensive approach to managing your motor population. Motor management plans may be simple or complex. More complex plans take additional time and resources to develop, but offer greater savings opportunities. Motor management plans may be developed and implemented over time. The important thing is to create a plan and a strategy that works for your organization. Many companies choose to start by developing a written policy for guiding motor repair/replace decisions that incorporates efficiency and life-cycle costing – based on the simple type of calculation you have just seen demonstrated. By including motor efficiency in your decisions, you can help reduce future operating costs. Creating a spares inventory for critical motors is another step which offers a substantial benefit by minimizing downtime when motor failure occurs. And, by taking the time to plan ahead for motor failure, you ensure that the right motor (type and efficiency) is on hand when you need it. Other aspects of a more comprehensive plan may include completing a motor inventory (often using actual load measurements), writing a purchasing policy, adopting repair guidelines, and implementing predictive and preventive maintenance schedules. Your 1·2·3 contact can help you define and create a plan that’s right for you. These basic strategies will need to be mixed and matched, added to, and refined to create a custom-made plan that provides you with an optimum result. Talk with your 1·2·3 contact to select appropriate strategies and to develop an implementation schedule. You have seen the possible energy cost savings. Achieving them is up to you. Version 6.5 All files subject to change. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. 12 APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Team Contacts (page 1 of 2) The 1·2·3 Approach to Motor Management: Motor Management Team Contact List Please provide contact information for members of the motor management team. COMPANY PERSONNEL Management Liaison Name: Address: Telephone: Title: Fax: E-mail: Maintenance Manager Name: Address: Telephone: Title: Fax: E-mail: Plant Manager Name: Address: Telephone: Title: Fax: E-mail: Purchasing Name: Address: Telephone: Title: Fax: E-mail: OUTSIDE RESOURCES Utility Contact Name: Company: Address: Telephone: Title: Fax: E-mail: Motor Vendor Contact Name: Company: Address: Telephone: Title: Fax: E-mail: Motor Sales/Service Provider Contact Name: Company: Address: Telephone: Title: Fax: Version 6.5 All files subject to change. E-mail: © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. 13 APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Team Contacts (page 2 of 2) The 1·2·3 Approach to Motor Management: Motor Management Team Contact List ADDITIONAL CONTACTS Name: Company: Address: Telephone: Name: Company: Address: Telephone: Name: Company: Address: Telephone: Name: Company: Address: Telephone: Name: Company: Address: Telephone: Name: Company: Address: Telephone: Name: Company: Address: Telephone: Title: Fax: E-mail: Title: Fax: E-mail: Title: Fax: E-mail: Title: Fax: E-mail: Title: Fax: E-mail: Title: Fax: E-mail: Title: Fax: Version 6.5 All files subject to change. E-mail: © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. 14 APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Default Efficiency Tables (page 1 of 2) Pre-EPAct Default Motor Efficiency Table for Use When No Nameplate Efficiency is Available Use this default table to estimate the efficiency of pre-EPAct, in-plant, Standard-efficiency motors that do not display a nameplate efficiency. It does not apply to NEMA Premium motors or to EPAct motors. This table was produced for an early version of MotorMaster+ by Washington State University and funded by DOE. HP 1 1 1 1.5 1.5 1.5 2 2 2 3 3 3 5 5 5 7.5 7.5 7.5 10 10 10 15 15 15 20 20 20 25 25 25 30 30 30 40 40 40 50 50 50 RPM 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 Enclosure Type TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC Version 6.5 All files subject to change. Eff_fl 73.36 76.68 73.00 77.90 79.08 75.15 78.34 80.83 78.88 80.36 81.45 79.62 83.14 83.34 82.38 84.44 85.51 82.59 84.95 85.73 84.99 87.02 86.63 85.66 87.74 88.52 86.62 88.93 89.30 87.53 89.64 89.56 87.74 89.92 90.19 88.54 90.62 91.32 89.00 HP 1 1 1 1.5 1.5 1.5 2 2 2 3 3 3 5 5 5 7.5 7.5 7.5 10 10 10 15 15 15 20 20 20 25 25 25 30 30 30 40 40 40 50 50 50 RPM 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 Enclosure Type ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP Eff_fl 74.52 77.55 76.19 77.64 79.34 77.25 79.86 80.54 79.56 81.66 82.38 79.08 83.62 83.83 82.57 85.54 85.16 82.87 87.39 86.09 85.02 86.96 87.80 86.63 87.70 88.30 88.13 88.96 88.91 88.45 89.48 88.86 87.73 89.43 90.00 88.57 89.74 90.69 89.06 © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. 15 APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Default Efficiency Tables (page 2 of 2) Pre-EPAct Default Motor Efficiency Table for Use When No Nameplate Efficiency is Available Use this default table to estimate the efficiency of pre-EPAct, in-plant, Standard-efficiency motors that do not display a nameplate efficiency. It does not apply to NEMA Premium motors or to EPAct motors. This table was produced for an early version of MotorMaster+ by Washington State University and funded by DOE. HP 60 60 60 75 75 75 100 100 100 125 125 125 150 150 150 200 200 200 250 250 250 300 300 300 350 350 350 400 400 400 450 450 450 500 500 500 RPM 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 Enclosure Type TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC TEFC Version 6.5 All files subject to change. Eff_fl 90.75 91.75 89.39 91.61 91.68 90.60 91.40 92.25 90.88 92.06 92.19 90.88 93.08 93.03 91.52 92.56 93.54 92.70 94.40 94.22 94.68 94.40 94.44 94.71 94.28 94.56 94.65 95.00 94.83 94.75 95.00 94.88 94.50 95.00 94.86 94.50 HP 60 60 60 75 75 75 100 100 100 125 125 125 150 150 150 200 200 200 250 250 250 300 300 300 350 350 350 400 400 400 450 450 450 500 500 500 RPM 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 1200 1800 3600 Enclosure Type ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP ODP Eff_fl 90.79 91.29 90.38 91.51 91.94 90.36 92.23 92.08 90.53 91.97 92.17 91.22 92.61 92.81 91.68 92.87 93.03 91.54 94.11 94.44 92.99 94.36 94.62 93.89 94.53 94.06 94.24 95.40 94.73 94.35 95.40 94.96 94.62 95.40 94.97 94.60 © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. 16 APPENDIX 2 S A M P L E 1 ·2 ·3 S P R E A D S H E E T P A G E S Formulas The 1·2·3 Approach to Motor Management Formulas See the 1·2·3 Instruction Manual for more information. Annual Energy Cost ($/kWh) (assuming 100% load) Size (hp) x .746 x Total yearly operating hours x Electricity rate ($/kWh) Full-Load Efficiency (%) Increases each year by Energy Inflation Factor, if entered Annual Energy Savings ($) Base Case Annual Energy Cost - New Annual Energy Cost Average Simple Payback Period (years) Average of Simple Payback Periods for all motor types based on Incremental Investment Capital Investment ($) Motor or Rewind Cost less Available Incentive plus the Installation Cost Cumulative Annual Energy Cost ($) Annual Energy Cost x Quantity of Similar Motors Cumulative Annual Energy Savings ($) Annual Energy Savings x Quantity of Similar Motors Cumulative Capital Investment ($) Capital Investment x Quantity of Similar Motors Cumulative Yearly Operating Hours Yearly Operating Hours x Quantity of Similar Motors Gross Connected Horsepower (hp) Size (hp) x Quantity of Similar Motors Incremental Investment Cost ($) Calculated difference between the Capital Investment of the decision being considered and the applicable base case Depreciation ($) Incremental Investment Cost x Depreciation % for Particular Year Income Tax ($) Operating Profit x Tax Rate Life Cycle Cost ($) Life Cycle Cost = (Motor Cost - Available Incentive) + Motor Installation Cost + (Annual Energy Cost x Motor Life) Net Present Value ($) Value of cash flow (based on Incremental Investment) over Motor Life discounted at 5% discount rate (or discount rate entered by user).The NPV calculation assumes that motor & installation costs are paid at time of purchase. If customer borrows money instead of paying cash, the cash flows will change. Operating Profit ($) Annual Energy Savings - Debt Service - Depreciation Simple Payback Period (years) Incremental Investment Cost Annual Energy Savings Version 6.5 All files subject to change. © Copyright 2004, 2005, 2006, 2007 Consortium for Energy Efficiency, Inc. All rights reserved. APPENDIX 3 BUILDING A MOTOR MANAGEMENT PLAN A plan as easy as 1·2·3 can save your company time and money. But 1·2·3 is only the beginning. Additional benefits can be realized by implementing a more comprehensive approach. Motor management plans can be simple or complex. More comprehensive plans take additional time and resources to develop, but offer greater savings opportunities. The important thing is to create a plan and a strategy that works for your customer. Many companies start by developing a written policy for motor repair and replacement decisions, a straightforward extension of the 1·2·3 analysis you have already completed. Creating a spares inventory for critical motors is another step that offers substantial benefit. Other aspects of a more comprehensive plan include writing a purchasing policy, developing repair guidelines, completing a motor inventory, and implementing a predictive and preventive maintenance schedule. the building blocks o f motor management Successful motor management programs are based on a few fundamental principles. These fundamental principles can be used like building blocks to create a plan that suits the company’s needs. Many organizations phase in selected parts of a comprehensive plan over time. Others implement a wider-ranging plan all at once. The order in which steps are undertaken is determined by the customer’s interests and current practices. The basic steps include the following: • Create a motor inventory and implement a motor tracking program. • Develop guidelines for proactive repair/replace decisions. • Prepare for motor failure by creating a spares inventory for critical applications. • Develop a purchasing specification. • Develop a repair specification. • Develop a predictive and preventive maintenance program. What follows is guidance for moving forward with each step. Talk with your motor sales/service provider to decide which steps are right for you. Work together to develop a plan that will accomplish your stated goals while conforming to your company’s organizational structure and financial guidelines. For additional resources, visit the MDM Web site (www.motorsmatter.org). The Motor Planning Kit provides specific guidance and resources for accomplishing each of these strategies. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. APPENDIX 3 BUILDING A MOTOR MANAGEMENT PLAN MOTOR INVENTORY AND TRACKING PROGRAM It is important to understand a motor’s applications in order to optimize its performance. Therefore, the most effective approaches to motor management start with a motor survey. The survey can be based on nameplate data, as in this 1·2·3 Approach, or it can be based on actual measured loads. By tracking the operating hours, load level, repair history, etc., you can be assured that you have selected a motor for each application that will optimize performance while minimizing costs. There are several software programs and/or spreadsheets specifically designed to build a motor inventory and to help you make cost-effective motor decisions. MotorMaster+ 4.0, created by Washington State University through a grant from the U.S. Department of Energy, is a comprehensive program that allows you to create and manage your motor database. It also contains manufacturer’s information for more than 25,000 motors including nameplate data, list price, repair costs, etc. The MotorMaster+ 4.0 software is available free of charge from the U.S. DOE’s Industrial Technologies Program on its Web site at www.eere.energy.gov/industry/bestpractices/software.html, or by calling the U.S. DOE’s Office of Energy Efficiency and Renewable Energy (EERE) Information Center at 1-877-337-3463. Other resources are also available. Advanced Energy’s Motor Survey How-To Guide is available online (www.advancedenergy.org). This document provides step-by-step instructions for planning your survey; collecting data; understanding life-cycle costing analysis; and creating policies for purchasing, repair and replacement that are tailored to your operation. In addition, many electric utilities, motor sales/service providers, motor suppliers, state energy-efficiency programs and independent energy consultants offer inventory and management assistance. DECI SION GUIDELINE S FOR S PECI FYING ENERGY-E FFI CIENT MOTORS Some companies rely on simple rules for making proactive repair/replace decisions. Based on energy costs, operating hours and motor size, performing a Horsepower Breakpoint analysis will demonstrate the motor size at which it becomes more economical to repair failed motors than to replace them. It is important to note that this analysis gives a general guideline and does not take into account other application considerations. The Northwest Energy Efficiency Alliance’s brochure, Your Motors and Your Money: Motor Repair and Replacement Decision-Making, is an excellent resource (call 888-720-6823 for a free copy of this brochure). You might also refer to EASA’s A Guide to AC Motor Repair and Replacement at www.easa.com. There are many other factors that go into choosing the correct replacement motor, such as proper sizing, matching the motor to the driven equipment, alignment, correcting for voltage variations, etc. Resources are available to clarify and assist in proper motor selection. For example, the CEE brochure Efficient Motors: Selection and Application Considerations (available as a free download at www.cee1.org/ind/motrs/motr-broch.pdf ) offers constructive suggestions on optimizing these parameters. Another excellent resource is Replacing an Oversized and Underloaded Electric Motor, available at www.eere.energy.gov/industry/bestpractices/technical.asp#Technical_Fact_Sheets_and_ Handbooks. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. APPENDIX 3 BUILDING A MOTOR MANAGEMENT PLAN Spare M otor Inventory Maintaining a spares inventory for your critical applications guarantees that your replacement motors are selected through sound economic decision making — not panic. A spares inventory also ensures that the motor you choose will be available when you need it, which minimizes downtime and provides peace of mind. Motor sales/service providers are stepping up efforts to work with customers in this area. Customized programs might include stocking, storage, maintenance and/or tracking agreements. Talk with your local motor sales/service center about establishing a spares inventory, especially for your critical motors. Motor Pur cha sing Polic y An important component of any motor management plan, a motor purchasing policy accomplishes several key objectives: • Streamlines the purchasing process • Demonstrates management support for decisions based on life-cycle costing rather than first cost alone • Ensures consistent procurement • Helps to ensure that the most appropriate, cost-effective motor is chosen for each application The policy may include simple repair/replace rules based on electricity costs, operating hours, motor age and repair costs. Having clear, simple rules will help facilitate your purchasing process and ensure the purchase of the most cost-effective motors. To be effective, however, the policy must be widely disseminated to those who regularly make motor-related decisions and must be clearly supported by management. Several sample policies are available. The National Electrical Manufacturers Association’s General Specification for Consultants, Industrial and Municipal: NEMA Premium Efficiency Electric Motors (600 Volts or Less) covers many design criteria as well as material and mechanical considerations (www.nema.org). Motor Repair Poli c y Motor repair quality is an important consideration when analyzing the costs associated with repair/ replacement decisions. While “best practice” repair services can maintain the efficiency of your motors, some repair practices can result in decreased motor efficiency. Efficiency is important to your bottom line, so it makes sense to ensure that you are receiving the highest-quality motor services available. Developing a relationship with your motor service provider is an excellent way to guarantee receiving the best repair/replacement advice and service. In addition, you might choose to implement a motor repair policy. EASA’s Guidelines for Maintaining Motor Efficiency During Rebuilding, EASA/AEMT Rewind Study and Good Practice Guide to Maintain Motor Efficiency and ANSI/ EASA Standard AR100-2001: Recommended Practice for the Repair of Rotating Electrical Apparatus are excellent resources. These documents, along with others addressing premium efficiency motors and best practice repairs can be downloaded from EASA’s Web site, www.easa.com. The Department of Energy provides a number of resources, including Guidelines to a Good Motor Repair, available at www.eere.energy.gov/industry/bestpractices/pdfs/motor_repair_guide.pdf. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved. APPENDIX 3 BUILDING A MOTOR MANAGEMENT PLAN In addition to requiring best practice repair services, you might look for a motor service provider that has a formal assurance program in place, such as ISO 9000 or EASA Q. These programs can provide a good indication of a service center’s quality. Predic tive and Preventive Maintenance Program 1 In order to anticipate and prevent motor failures, your company might consider implementing a maintenance program that incorporates both predictive and preventive measures as part of its motor management plan. It is important to include both types of measures: Preventive measures keep motors in good operating condition, reducing the risk of unexpected failure. Talk with your motor expert about effective strategies for reducing the risk associated with heat, dirt, moisture, vibration and voltage irregularities. Predictive measures help determine which motor-related components may eventually lead to failure, giving facility managers the opportunity to reconfigure repair or replace the components before failure occurs. Among the tools available for predicting failures are infrared optical sensors that can be used to identify overheating wiring and bearings, vibration sensors that can identify misalignment and bearing problems, and electrical analyzers that can identify power supply problems and many mechanical problems such as bearing failure. A good record-keeping system is an important aspect of an effective maintenance program. Some motor inventory systems, such as MotorMaster+ 4.0, can also record the operating characteristics of the motors. If routine measurements of current operating characteristics reveal a change, the motor system can be scheduled for maintenance to correct the problem before a failure occurs. A motor can be reconditioned at a fraction of the cost of a rewind if it can be identified before an electrical failure occurs. Next Steps There are many industry resources to assist your development and implementation of a motor management strategy. Support is available through your motor sales/service professional, motor vendor, electric utility, state energy office and/or regional energy-efficiency organization. The Motor Decisions Matter Web site (www.motorsmatter.org) also contains many useful tools and documents. The National Electrical Manufacturers Association (www.NEMA.org) and the Electrical Apparatus Service Association (www.EASA.com) are also valuable resources. In addition, there are resources available for optimizing other systems in your facility. The Department of Energy’s Office of Industrial Technologies Web site is an excellent resource for program information and best practice solutions (www.oit.doe.gov/bestpractices/). Other helpful Web sites include the Compressed Air Challenge (www.compressedairchallenge.org) and the EPA’s Energy Star program (www.energystar.gov). 1. Derived from Guide to Energy-Efficient Commercial Equipment, 2nd edition, published by the American Council for an Energy- Efficiency Economy (ACEEE), available at www.aceee.org. © 2004, 2005, 2006, 2007 Consortium for Energy Efficiency. All rights reserved.