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   One thing we can count on in this world is change, nothing stays the same.  Change can occur out of necessity, i.e. technology or to maintain an economic edge over the competition.  No matter what the reason it is not a good business practice to maintain the status quo.  Having said that, why do we (industry) continue to design / specify inefficient pumping systems?  It is still common practice to design a pumping system for “future capacity” oversize the motor then add a 1.15 service factor.  All for the sake of future demand.  Does this make sense in today’s business environment where energy costs are sky rocketing at double digits rates?  Energy costs will continue to rise there is no end in sight.  The only way to off set the rising cost is to raise the price of your product creating an endless cycle cost increases.  We can slow this process by being a bit more energy conscious when specifying and or designing pumping systems.  Is it cost effective to oversize a pumping system for future demand?  It all depends on how long you intend to operate at the lower rate. 

   Let’s take a look at motor life cycle cost.  The purchase price of a motor is roughly 2.7% of the total life cycle cost while electricity cost comprises 97.3%.  Now we will associate some dollars to the equation: 

Purchase Price                                                                      60 hp Motor  

Annual Use                                                                               8,760hrs

Efficiency                                                                                   93.6%

Fuel/Energy Cost                                                                      $0.10 kW/hr

Annual Operating Cost                                                             $41,890.00 per/yr

Operating cost as % of Purchase Price                                  1600%

Pump life cycle cost is energy intensive as well.  The LCC of a 75hp pump over a 20 year period is approximately $750.000 ($0.07 kW/hr)

Environmental      7%

Downtime            9%

Operating            9%

Installation          9%

Pump                 14%  

Energy                32%

Maintenance        20%

  Does it still make sense to oversize a system for future demand?  Run the numbers, factor in projected energy costs, you might be surprised.  Planning for expansion is important but not at the expense of your companies bottom line. 

Change is good, optimizing your pumping system is even better.

As our business continues to thrive in an otherwise struggling economy, the impact of our industry’s products and services becomes obvious every time we drink a clean glass of water or fill a car’s tank with fuel.

When we received a press release this morning from Godwin Pumps on its Midwest flood relief efforts, I was truly inspired. It is nice to see the human element of our business . . . particularly in the wake of a natural disaster where pumps can provide necessities like clean water and running toilets—things those of us who live in the U.S. so often take for granted.

Read more in the August issue of Pumps & Systems on how Godwin worked with its distributors to deploy 474 pumps to seven Midwestern states, an effort than began within four hours of a call from the Federal Emergency Management Association (FEMA).

I have no doubt there are many other companies and people in our industry who have aided in the Midwest Flood relief efforts. We would like to hear your stories.

When I was approached to write an energy blog my first thought was, “What can I say that isn’t already being discussed on numerous other websites.”  Then after some reflection, reality set in. There is much to be said about energy!  We need to get the energy message out to the industry.  It seems as though the message isn’t getting to the right people, that is, the decision makers, upper management  . . . to be more specific, the money people.  Without upper management involvement and active participation, we will never achieve the level of energy efficiency necessary to meet the new government standards as outlined in the Superior Energy Performance Program (SEP).

  In this blog, we will review current pumping system design practices, various industry standards installation practices and the most important topic, why we continue specifying, designing and building energy inefficient systems. 

  Let’s do a reality check.  I believe we all agree there is an energy crisis. You are faced with this reality every time you pull into a gas station.  Now for the wakeup call  . . .  the power industry is in a similar crisis and surprisingly has only recently made front page news.  Yes, we have seen bits and pieces about nuclear power, wind and coal plants here and there.  In the last 6 months a number of one-hour segments on the state of the power industry have been televised.  Why did it take so long to make public what the power industry knew was coming for years?  News flash, the power utilities have been sending out signals for years.  Power generators have made every effort to meet future power demands. Unfortunately they have been stonewalled by special interest groups throwing up road blocks for everything from power transmission lines to nuclear power. 

  At our current rate, power demands are expected to exceed capacity by approximately 30 percent within 5 years.  In addition, a majority of the plants in the US have reached the end of useful life.  From 2002 to 2025, 62 gigawatts of capacity will most likely be retired, accounting for nearly all old fossil-fired plants that are not competitive with newer types of fossil-fired plants.  

The electric power industry faces a situation in which significant investments are needed, and significant rate increases will be necessary to finance them.  Fuel costs will also play into the equation. The price of coal—which provides fuel to 48 percent of power plants in the U.S. – has doubled since last year.  Natural gas prices have increased 50 percent in the last year alone.  Now add in the raw material cost to build new plants.  Remember, the utilities have been trying to add capacity for years. With the construction activity in China and India, the cost to build a power plant has also increased.  What’s the old expression, “He who hesitates is lost?”  In this case we are all losers, everyone in the U.S. will suffer financially for the mess created by a few. 

I would imagine you have already heard this tale of woe, so let’s cut to the chase and talk about solutions, or better yet, survival.  What can we do to prosper in today’s changing business environment?  The first thing we need to do is accept change. We can no longer conduct business as usual, which brings us to the primary purpose of this energy blog. 

Change must be a four letter word in the industrial sector.  I can’t tell you how many times I have heard the expression “We’ve always done it that way, why should we change?”     Unfortunately I cannot put into words the individuals’ facial expression that go along with this statement.

  I believe we have made a good case for change, specifically more energy efficient solutions.  Yes, energy efficiency, the number one fuel source.  This is not the “silver bullet,” but it will minimize the impact of rising energy costs.  Companies that fail to implement energy saving measures will most likely not survive the next decade.  One thing you can count on is higher energy cost, some power utilities will have to raise rates as much as 115 percent in order to pay higher fuel cost, build new plants and recover environmental fees.  Industry experts anticipate the power generation industry will be in a state of flux for at least the next 15 to 20 years.   

  What can we do to minimize the impact on our companies’ bottom line?  I’ll throw out a few bones that you can chew on until next week’s blog.

                       Pumping Systems Are Energy Intensive

 Industry Type         Pump Energy (% Total Motor Energy usage)

Petroleum                                     60%

Forest Products                          30%

Chemicals                                     25%

Food Processing                         20%

Primary Metals                            10 %

A 200hp Pump $70,000 / Yr Electrical Energy

Energy Savings Help Justify Reliability Projects 

   As with any blog, we fully expect some lively comments – the more the better.  Feedback is a good indicator we are making an impact.  Whether you agree with our assessment of the energy crisis is not the issue. The issue is energy conservation. 

William C Livoti

Baldor Electric

Reference:  MECS 1994, Bureau of Economic Analysis 1997 Census of Manufacturers, 1993

Hydraulic Institute, Pump System Optimization, Opportunities to Improve Life Cycle Performance  

After the AWWA event last week, my family and I decided to spend an extra day in Atlanta and hit the White Water Adventure park. Maybe it was my three-day ACE ‘08 exposure to all things “pumps” and all things “water,” but while climbing the massive mountains that led to the peaks of the water slides, I found myself wondering . . . “What kind of pumps are getting all that water to the top?”

It’s not something I would have considered or even given a second thought before working for Pumps & Systems.

What’s the old adage about not seeing the forest for the trees?  Well, I can assure you that after only six months with P&S, I now see pumps everywhere!  And so does my family.  This weekend, my sportswriter husband was watching his favorite television show “Modern Marvels” on The History Channel International. The subject of the documentary . . . The History of Pumps.  I might not have taken the time to watch this show seven months ago, but this weekend it became appointment TV in our home.  If you get this station, set your TiVO because it will be shown over and over again.  It’s worth it.

The documentary explored the simplicity of pumps – how they move water and viscous materials from Point A to Point B – but then went on to explain the not-so-simple physics of it all.  I didn’t realize pumps were one of civilizations oldest inventions, dating back to 200 B.C. And I didn’t realize that the viscosity of peanut butter is ten times that of oil . . . and there is a pump that will move it. The documentary explained, “No matter the viscosity of the liquid, there is a pump that can suck, push or lift it to its destination.”  I also learned that “More than 2,000 years of pump technology has taken us from the archaic screw to the artificial heart. Pumps are the unsung heroes of industry and everyday life.”

My husband has covered the World Series, the Super Bowl and the BCS championship game, yet he was mesmerized by a one-hour education in pumps. It’s nice to know that pumps are at work all around us, making an impact in our daily lives . . . even when we may not notice them.

Just a reminder that our first LIVE webinar is tomorrow at 1 PM Eastern time. Co-sponsored by ITT Goulds Pumps and these SPX brands: Waukesha Cherry-Burrell, Johnson Pump and APV, the webinar features Dr. Lev Nelik, P&S Contributing Editor and author of our popular Pumping Prescriptions column. Dr. Nelik will speak on “Centrifugal and Rotary Pumps: Introduction & Definitions.” Click here to register.

Are there any articles you’ve clipped and referenced again and again? We would love to hear what you have found to be the most useful information over the past few years.

In the same vein, what information haven’t you found that you’ve been wanting to know? We’re looking forward to hearing your thoughts!

We are proud to announce that the entry forms for our 2009 industry awards are available on our website via “Awards” on the homepage or this link. Please take a look at the criteria and forms and submit your industry story or product! We are looking forward to your responses.