Industrial processes and the smart grid: overcoming the variability of renewables by using built-in process storage and intelligent control strategies

Yunzhi Chen, Blake W. Billings and Kody M. Powell

International Journal of Production Research, 2024, vol. 62, issue 5, 1686-1698

Abstract: Manufacturers are facing pressure to reduce electricity costs. Onsite renewable energy generation may be a solution, but its high capital cost and intermittent power generation limit its use. Grid-responsive smart manufacturing could effectively incorporate renewables in industrial processes. This study integrates grid-responsive smart manufacturing with renewables on an industrial plant scale and demonstrates both a favourable economic and environmental outcome. A user-friendly decision-aid model for energy management is provided to manufacturers. A case study shows how solar panels, industrial batteries, smart pumping strategies, and various combinations of those elements can save on electricity costs. Dynamic simulation results demonstrate that grid-responsive smart manufacturing can effectively lower peak demand. The economic results show that grid-responsive smart manufacturing and renewables synergistically optimise cost reductions. The solar coupled with smart pumping scenario shows annual cost savings of $755,200, accounting for 4.6% of the total electricity cost. Smart pumping alone saves $371,900 annually with a 0.7-year payback period, demonstrating how the manufacturing sector can utilise its own processes in load shifting. This study supports that incorporating grid-responsive smart manufacturing with renewables can effectively reduce electricity costs and emissions for industry.Abbreviations: e: Equivalent; GHG: Greenhouse gas; PBP: Payback period; PV: Photovoltaics; SP: Setpoint; VFD: Variable speed drives

Date: 2024
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DOI: 10.1080/00207543.2023.2199436

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