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BASF’s Roadmap To
ISO 50001 Certified
Energy Management
System
Singapore, 9/10/2018
Sustainability
14.11.20182
We create chemistry for a
sustainable future
• Sourcing and producing responsibly
• Acting as a fair and reliable partner
• Connecting creative minds to find the best solutions for market needs
Energy Verbund
Combined heat and
power
Energy Management,
Energy Efficiency and
ISO 50001
Renewable energies
Sustainable energy supply
for production sites
Energy is one of the main cost drivers of production. Therefore an
efficient energy generation and use of energy in the production is
very essential for BASF.
2020 Goal
Increase energy efficiency
Baseline 2002
BASF operations incl. Oil & Gas
+35%
Specific Energy Efficiency IncreaseSpecific Energy Efficiency Increase Implement EnMS
2020 Goal
Coverage of our primary
energy demand through
certified energy management
systems at all relevant sites
BASF operations incl. Oil & Gas
90%
Energy Goals – At BASF Group Level
14.11.20183
2020 Goal
Reduction of greenhouse gas
emissions per metric ton of
sales product
Baseline 2002
BASF operations incl. Oil & Gas
-40%
Energy Goals – Asia Pacific Rollout Plan
14.11.20184
No Legal Entity / Site / Location Country ISO 14001 ISO 9001 ISO 50001 EnMS Rep. country
1 BASF Company Ltd. / BK / Yeosu Korea Yes Yes Yes Jae Goo Kang
2 BASF Company Ltd./ BK / Ulsan (Chemicals) Korea Yes Yes Yes Jae Goo Kang
3 BASF Company Ltd./ BK / Gunsan Korea Yes Yes Yes Jae Goo Kang
4 BASF Company Ltd./ BK / Ulsan Pigment Korea Yes Yes Yes Jae Goo Kang
5 BASF Company Ltd./ BK / Ansan Korea Yes Yes Yes Jae Goo Kang
6 BASF Company Ltd. / BK / Yesan Korea Yes Yes Yes Jae Goo Kang
7 BASF Polyurethanes (China) Co. Ltd. / SBPC / Caojing China Yes Yes Yes Hans Liu
8 BASF Chemicals Co., Ltd./ BACH / Caojing China Yes Yes Yes Hans Liu
9 BASF Auxiliary Chemicals Co., Ltd./ BACC / PuDong China Yes Yes 2017 Hans Liu
10 BASF Specialty Chemicals (Nanjing) Co. Ltd./ BSNJ / Nanjing China No Yes Yes Hans Liu
11 BASF Polyurethanes (Chongqing) Co. Ltd. /BPCC / Chongqing China Yes Yes 2018 Hans Liu
12 BASF Catalysts (Shanghai) Co. Ltd. / BCSC / Jinqao China Yes Yes 2017 Hans Liu
13 BASF Polyurethane Specialties Ltd./ BAPS / PuDong China Yes Yes 2017 Hans Liu
14 BASF Care Chemicals (Shanghai) Co. Ltd./ BCCS / Jinshan China Yes Yes 2017 Hans Liu
15 BASF India Ltd. / BIL / Dahej India Yes Yes 2018 Bino Pariyaram
16 BASF India Ltd. / BIL/ Ankleshwar / Diamond Dye Chem India Yes Yes 2019 Bino Pariyaram
17 BASF India Ltd. / BIL / Mangalore India Yes Yes 2017 Bino Pariyaram
18 BASF India Ltd./ BIL / Thane India Yes Yes 2019 Bino Pariyaram
19 BASF (Thai) Ltd. / BTL / Rayong Thailand No Yes 2018 Manatchai Petmuang
20 BASF (Thai) Ltd./ BTL / Bangpakong Thailand Yes Yes 2018 Manatchai Petmuang
21 BASF Petronas Chemicals Sdn. Bhd. / BPC / Kuantan Malaysia Yes Yes 2020 Jason Ong
22 Toray-BASF PBT Resin Sdn. Bhd./ TBPR / Kuantan Malaysia No Yes 2018 Mohd Borhan bin Saleh
23 BASF South East Asia Pte. Ldt./ BSEA / Jurong Island Singapore No Yes 2017 HueyLing Siah
Energy Goals – Responsible Care Management System
14.11.20185
RC-Code 0 Organization
RC-Code 1 Product Stewardship
RC-Code 2 Transport and Distribution Safety
RC-Code 3 Occupational Safety
RC-Code 4 Occupational Health
RC-Code 5 Process Safety
RC-Code 6 Environmental Protection
RC-Code 7 Emergency Response
RC-Code 8 Communication
RC-Code 9 Security
RC-Code 10 Energy
Responsible Care® is a voluntary initiative of the chemical industry to
continuously improve in the areas of environmental protection, health
and safety.
Responsible Care® is part of BASF’s company policy and is covered by
10 topics, which are expressed in the 10 RC-codes.
EnergyWe are committed to energy efficiency
and global climate protection. Providing
our production sites with a reliable
supply of energy is a prerequisite for
optimized and economical production.
We increase energy efficiency along
the value chain and utilize, for
example, modern technologies for
generating steam and electricity,
energy-efficient production processes,
and comprehensive energy management
The Roadmap
14.11.20186
Global Energy Target mandated by BASF board
Responsible Care® requirement under RC-Code 10: Energy
Local legal requirement to implement structured EnMS for existing facilities
under Enhanced ECA
Goal: Implement ISO 50001 EnMS
?
Challenge #1
■ First time setting up an EnMS
– what are the requirements
and how can it be done?
Resources – Publications, Training, Consultancy
14.11.20187
Publications
ISO
50001:2011
Family of
Standards
BASF Group
Directive
Energy
BASF Global
Guidance
Document on
ISO 50001
implementation
BASF
Handbook: Best
Practices in
Energy
Efficiency
BASF EnMS
Handbook
Existing ISO
9001 Quality
Management
System
Procedures of existing management systems can be applied to ISO
50001 EnMS where requirements overlap
Resources – Publications, Training, Consultancy
14.11.20188
Training
External Training Courses
E.g.
■ IRCA Certified ISO 50001 Energy
Management System – Lead Auditor
Training
ISO 50001 EnMS consultant
■ Develop documented
EnMS
■ Provide internal auditor
training
Consultancy
Annual Regional Energy Workshop
■ 2-3 Nov, 2017 at BASF Shanghai Pudong,
China
■ 27-29 Sep, 2016 at BASF Kuala Lumpur,
Malaysia
The Roadmap
14.11.20189
Global Energy Target mandated by BASF board
Responsible Care® requirement under RC-Code 10: Energy
Local legal requirement to implement structured EnMS for existing facilities
under Enhanced ECA
Goal: Implement ISO 50001 EnMS
?
Challenge #2
■ How to ensure commitment
from top management to
support EnMS?
Commitment
14.11.201810
Co
mm
itm
en
t
■ Defining, establishing,
implementing and maintaining
an Energy Policy
Written Commitment
■ Forming an energy management
team
■ Appointing the management
representative
Personnel Commitment
■ Allocating budget for
consultancy, training,
measuring instruments and EE
measures
Financial Resource Commitment
Schedule
14.11.201811
Nov
17
Dec
17
Jan
18
Mar
18
02 – 03 Nov Internal Auditor
Training
17 Nov – 01
Dec
Internal Audit
20 Nov Stage 1 Audit
29 Nov Management
Review
04 – 05 Dec Stage 2 Audit
End Jan Certification by BSI
Mar RC audit 2018
(ISO 50001
certification is a
requirement)
May
17
Jun
17
Aug
17
21 – 25 Aug External Lead
Auditor Training
09 Jun ISO 50001
EnMS
Awareness
Training
08 May Kickoff meeting
with consultant
■ Establish EnMS Policy & Procedures
■ Energy review – identify energy sources, energy
consumers and SEUs
■ Establish Energy Baseline
■ Identify EnPIs
■ Set Energy Objectives and Targets
■ Identify and implement EE measures
Anti-oxidant Plant In Jurong Island
14.11.201812
♨
️Electricity
Natural
GasSteam
Raw Materials
Product Portfolio
■ Irgafos® 168 Process stabilizers
■ Irganox® 1010 Anti-oxidants
■ Metilox
■ Irganox® L135 /
1135
■ Free Flow (FF)
■ B-Blend
Energy Planning –
Identify Energy Sources, Energy Use & SEUs
14.11.201813
■ All energy-consuming equipment
are identified from master
equipment list or SAP system.
■ Energy-consuming equipment
consume steam, electricity or
natural gas which are purchased
or imported across the battery limit
into the site.
■ Significant energy use – Energy
use accounting for substantial
energy consumption and/or
considerable potential energy
performance improvement.
Significance criteria are
determined by the organization.
Significance
criterion:
energy consumption
> 15% of total energy
source in site
349 energy-
consuming
equipment
36 energy
use5 SEUs
Energy Planning –
Energy Performance Indicator (EnPI)
14.11.201814
1 x
site level
3 x
plant level
5 x
SEU level
■ Energy Performance Indicator
(EnPI) – quantitative value or
measure of energy performance, as
defined by the organization.
■ EnPIs could be expressed as
► A simple metric
► Ratio
► A more complex model
■ EnPIs are monitored and reported
monthly and compared against the
Energy Baseline (EnB) or Energy
Target
Linear Regression equation for EnB:
No. SEUEnPI
DescriptionEnPI Type β1 x1 β0 x0
- SiteMWh-Energy /
kt-Production
Statistical
model1,149.366
Total site
production (kt)1,504.385 1
- Metilox PlantMWh-Energy /
kt-Metilox
Statistical
model534.201
Metilox
production (kt)309.283 1
- IF168 PlantMWh-Energy /
kt-IF168
Statistical
model1,091.814
IF168
production (kt)220.518 1
- IX1010/L135 PlantMWh-Energy /
kt-IX1010/L135
Statistical
model1,129.240
IX1010/L135
production (kt)455.241 1
1 K240 Distillation ColumnMWh-Steam /
kt-MeOH
Statistical
model652.809
MeOH
production (kt)18.906 1
2 IX1010/L135 Process HeatingMWh-Steam /
kt-IX/L135
Statistical
model426.823
IX1010/L135
production (kt)160.205 1
3 Hot Oil Heater
MWh-Natural
Gas / MWh-
Hot Oil
Ratio of
measured
value
1.883Hot oil thermal
output (MWh)0.000 1
4 Glycol Chillers
kW-Electricity
/ RT-Cold
Glycol
Ratio of
measured
value
3.666
Glycol chiller
cooling output
(RTh)
0.000 1
5 Utility Pumps
MWh-
Electricty / kt-
Production
Ratio of
measured
value
86.989Total site
production (kt)0.000 1
EnPI EnB
Lin
ear
Reg
ressio
n
y = mx + c
Ref. ISO 50006
Energy Planning – Energy Baseline (EnB)
14.11.201815
2016 E
nerg
y P
erf
orm
an
ce D
ata
Mo
nit
or
En
PI
ag
ain
st
En
Bo
r Targ
et
Fixed energy cost
independent on
production
Variable energy
cost dependant on
production
Target is achieved if EnPI is below red line
Energy Goals –
At BASF Jurong Island Site Level
14.11.201816
■ To achieve 5% reduction in
variable energy component of site
SEC as compared to Y2016
baseline
► Maintain SEC to <10% poor
performance deviation from
EnB or target
Energy Goals for Y2018
The Roadmap
14.11.201817
Global Energy Target mandated by BASF board
Responsible Care® requirement under RC-Code 10: Energy
Local legal requirement to implement structured EnMS for existing facilities
under Enhanced ECA
Goal: Implement ISO 50001 EnMS
?
Challenge #3
■ How to carry out
measurement where there is
no instrument?
Monitoring & Measurement
14.11.201818
Fie
ld M
easu
rem
en
t
■ Data from custody transfer
meters and supplier
invoices is taken in
monitoring of energy
consumption.
■ Meters are installed at the
site, plant and equipment
level.
■ Instrument calibration plan
is established and records
of calibration are kept.
■ Portable meters are used
to take measurements as
and when required.
■ Hot tapping was carried
out to install thermowell to
take temperature
measurement
DCS
■ Utilities consumption is
monitored real-time in the
DCS.
PI Database
■ Historical energy
consumption data is stored
in OSIsoft PI database
which can then be
extracted to Excel
22X091F52
7.18
t/hr
22X091F60
7.74
t/hr
22X091P50
17.95
barg
22X091P51
17.90
barg
S18 (BASF METER) STEAM SUPPLY FROM SUT S18 (SUT METER) STEAM 18 BARG
1/9/2018 12:00:00 AM1/8/2018 12:00:00 AM 31.00 days
Plot-0
0
2
4
6
8
10
12
14
16
18
20
0
20
0
20
0
20
EnPI Reporting
■ Energy consumption is reported
monthly and tracked against
production throughput.
■ Where measured data is
unavailable or meter is faulty,
energy consumption at the SEU or
equipment level is estimated using
energy balance.
■ EnPIs are derived based on
measured or estimated data and
reported monthly.
Action Plans & Energy Efficiency Measures
14.11.201819
OPEX measures
■ Process optimization and improvement
are continually studied and implemented
in BASF Jurong Island to increase
productivity and energy efficiency.
■ Example of a low investment EE measure
is the bypassing of heating step in the
Irganox® crystallization process, which
yielded an annual energy reduction of
287,621 kWh in steam consumption.
CAPEX projects
■ In 2015, old water chiller (COP ~3.6) was replaced with new unit (COP
~4.4) which comes with 3 cooling circuits, economizers and PHE.
■ In 2018, old glycol chiller (COP ~1.5) which supplies cold glycol at -
18°C will be replaced with a more energy efficient unit (COP >2.2),
which incorporates VSD and economizer in its design.
■ Expected annual energy savings of 1.55 GWh or ~$200 k could be
expected.
■ EE measures are identified and tracked
in monthly EnPI reports and via OpEx
database.
■ Best practices from OpEx plan are
shared.
OP
EX
da
tab
as
e
Action Plans & Energy Efficiency Measures
14.11.201820
Response to deviations in energy performance
SEC of Glycol Chillers SEC of Water ChillersLow flow due to plugged strainer
SEC normalized after
strainer de-plugging
SEC improved after
strainer de-plugging
■ Deviation in energy performance of glycol chillers was found when
VSD output of glycol pump became 100%. Normal output should have
been ~80%.
■ Pump suction strainer was found plugged and SEC could be
normalized after strainer de-plugging
■ Deviation in energy performance of water chillers was found when flow
meter reading measures only ~80 m3/h chilled water flow. Design
chilled water is 117 m3/h.
■ Chiller inlet strainer was found plugged and SEC could be greatly
improved after strainer de-plugging.
Post reward per implemented
measure
Post reward based on
criteria set and extent of
savings
Reward = Feasibility x
Originality x Value Creation
Employee Suggestion Scheme (ESS)
14.11.201821
About Employee Suggestion Scheme (ESS)
The Employee Suggestion Scheme is designed to drive the culture of innovation and continuous improvement in MY-SG Business Area. Employees are encouraged to participate by proposing innovative and valuable ideas. The process is simple and outstanding suggestions will be rewarded.
Scope
BMS, BSEA (excluding Suntec, BASF Learning Campus & Chemetall), and BASF See Sen ESS covers ideas that:
Improve environment Identify and eliminate hazards Increase safety awareness and quality control Achieve significant cost savings; efficiency in operation procedures Improve relationships among sales and/or with customers Improve personal accountability in safety Or any other improvement deemed meaningful and necessary but not defined in current standard procedures
ESS excludes: Suggestions which fall within the employee‘s job scope Suggestions, such as;
● Implementation of general safety related corrective measures ● Revert to previous practices that have been implemented at earlier time at the same site ● BU driven initiatives
Rewards Initial Reward: Given to proposals which pass the pre-evaluation Proposed amount: USD 50 per suggestion (aligned with internal recognition award) Post Reward: Given to proposals with contributions to the company based on the proposed criteria. Amount of reward depends on the extent of savings, but capped at Euros $5,000 or 0.75 of monthly base salary whichever is lower.
What You Need To Do?
Submit your ideas via the Employee Suggestion Scheme site!
ONE Business Growth Plan
Idea Management Scheme Employee Suggestion Scheme
Old system in place before 1st
August 2018
New system rolled out after
1st August 2018
Usually initiated by plant
operations or maintenance
All are encouraged to initiate
suggestions
Long process of idea
evaluation by Idea
Management Team
Idea evaluation by Duty
Manager within 1 month
No initial reward Initial reward per suggestion
Employee Suggestion Scheme (ESS)
14.11.201822
Achieves ISO 50001 requirement Clause 4.5.3 Communication
Meets the target of continuous improvement by being open to new ideas
Employee involvement and open channel for feedback at all levels
Employee recognition by awarding certificate and a non-cash token from Corporate Affairs
Best practices sharing with all employees through quarterly report and annual ESS campaign
Improve environment
(reduce waste or pollutant emission)
Identify and eliminate hazards
Improve product or service
quality
Achieve significant cost
savings; efficiency in operation
procedures
Improve communication
efficiency
Increase awareness and
improve personal
accountability in safety
📧 EE idea
submitted here
ESS covers...
Energy Management
14.11.201823
Energy Policy
Energy Performance
Indicator
Energy Baseline
Energy Targets
Action PlansDesign
Operational Control
Procurement
Monitoring & measurement
In general, energy management is each and every kind of action that aims at optimizing energy use.
As an energy-intensive company, we are committed to energy efficiency and global climate protection.
Active energy management is the consequence of our commitment.
Energy
Management
