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Energy drives the nation, its progress and aspirations. The industrial sector not only contributes to economic growth but fuels increases in energy demand. Hence, industry is Malaysia’s second largest energy consumer after transportation. Notwithstanding the immense environmental problems derived from fossil fuel use, rising market prices for energy place a heavy burden on industry, government and consumers.
To counter the negative effects of excessive and non-productive use of energy, all energy users are urged to maximize every unit of energy. The key to achieving this goal is through successful execution of energy efficiency.
Many companies have already taken positive steps to implement energy reduction measures and reaped millions of ringgit in energy cost savings.
- Cargill Palm Products Sdn. Bhd. – Invested RM 1.3 million on energy saving projects that lead to RM 2.0 million in savings per year in energy costs.
- Malayawata Steel Berhad – Decided to invest RM 400,000 for cost-effective energy measures after an energy audit, and now saves 6581 GJ at the cost of RM 322,000, coupled with a reduction of 1,256 tonnes of CO2 per annum.
How did these companies manage to save on their energy costs?
In line with Malaysia’s strategy to moderate trends in increased energy intensity and avoid wasteful energy usage, the Malaysian Industrial Energy Efficiency Improvement Project (MIEEIP), launched in 1999, led the way to successful execution of EE improvement initiatives in eight sub-sectors: wood, pulp and paper, iron and steel, cement, rubber, glass, ceramic and food.
Nearly 60 companies in various manufacturing and building sectors completed an energy audit to identify energy saving measures ranging from good housekeeping methods to replacing inefficient equipment or processes. Collectively, the 54 industrial companies audited stand to save over RM 22 million annually by just implementing MIEEIP’s recommended measures.
A survey of over 2,000 manufacturing companies in Malaysia shows that many factories are already trying to save energy costs. Industrial associations, such as the Malaysian Timber Industry Board (MTIB) and the Federation of Malaysian Manufacturers (FMM), gave collaboration to PTM to conduct road shows to promote EE awareness and action.
Many industries understand that efficient utilization of energy enables them to be more productive, thus gaining a competitive edge. By eliminating wasteful practices and optmising energy use, manufacturers can save money and heed the call to reduce the impact of fossil fuel use on the environment.
Outside industry, energy efficiency in buildings and residences offers great promise to better the energy balance for the country and reduce the costs for consumers.
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Hishamuddin
Programme Manager, EISD
hisham@ptm.org.my
Tel.:03-8921 0891
Fax.:03-8921 0801
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