Energy Savings & Efficiency

  • Peak Demand Management
  • Energy Efficiency of Central Chiller Plants – Optimization Strategy

Peak Demand Management

Peak Demand Management (PDM) refers to strategies and practices aimed at reducing energy consumption during periods of the highest demand. By optimizing energy use, businesses and utilities can alleviate stress on the power grid, minimize the need for additional energy generation, and lower operational costs.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Bulk tariff or large power tariff customers can participate in Peak Demand Management, which is offered by power utility company, to reduce their energy consumption during peak demand periods and receive rebates.

More Details

Implementation Process

Process Steps
1
Customer sign contract agreement with power utility company
2
Carry out facility audit & assessment
3
Modify or retrofit the hardware and software of customer facilities
4
Conduit the installation, testing and commissioning of PDM interfacing control and communication equipment

Solution Overview

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Customer Benefits

$

Earn Rebates Through Peak Demand Reduction

Earn rebates through peak demand reduction while contributing to a cleaner environment.

Reduced Energy Costs

Enjoy reduced energy costs without sacrificing thermal comfort.

Environmental Conservation Goals

Achieve your environmental conservation goals.

Energy Efficiency of Central Chiller Plant – Optimization Strategy

Chiller Plant Optimization

 

Chillers are significant energy-consuming devices commonly utilized for air conditioning in commercial and government buildings, hospitals, and other large facilities. Air conditioning represents approximately 40%–60% of the average electricity usage in Hong Kong, with about 30% of this energy consumed by chiller plants. To enhance environmental sustainability and promote energy conservation, a key initiative is to lower energy consumption related to air conditioning in buildings.

 

Optimizing chiller efficiency is one of the most effective ways to reduce energy consumption in cooling systems. By ensuring that chillers operate at their highest efficiency, energy use can be significantly reduced without sacrificing cooling performance. Chiller plant optimization combines a variety of methods, including advanced control strategies, equipment upgrades, and operational improvements such as variable speed drives and energy management systems.

Electrical Engineer team working front HVAC control panels, Technician daily check controls system for security functions in service room at factory. Heating,Ventilation,Air Conditioning.
Engineer under checking the industry cooling tower air conditioner is water cooling tower air chiller HVAC of large industrial building to control air system.

Solution Overview

  • The Integrated Part Load Value (IPLV) is a key performance indicator used to evaluate a chiller's energy efficiency under realistic, varying load conditions.
  • Defined by AHRI Standard 550/590, IPLV represents a weighted average efficiency based on how chillers typically operate throughout the year — rarely at full load, but mostly between 25% and 75% capacity.
  • In chiller plant optimization, IPLV provides a more accurate picture of true operating performance than full-load efficiency alone. By analyzing and comparing IPLV values, operators can select, sequence, and control chillers to run at their most efficient points, minimizing energy consumption and operational costs.
  • When combined with real-time data and analytics — such as those enabled by AI Industrial Edge — IPLV can be dynamically tracked to monitor plant performance, detect inefficiencies, and support intelligent control strategies that continuously optimize energy use across the cooling system.

Customer Benefits

1

Enhanced Efficiency

By optimizing the chiller plant process, you can reduce energy consumption by up to 30% thereby lowering your total operating costs by up to 40%
2

Reduced Emission

Connects devices and software from different vendors to ensure seamless communication.
3

Zero Upfront Investment Solution

You pay based on the energy savings realized over the period of the project without any up-front investment or CAPEX
4

Higher Flexibility and Transparency

Real-time data monitoring and analytics enables you to optimize the chiller system and respond to the plant's actual requirement based on new market opportunities

Successful Case

Chiller Optimization and Energy Saving by Industrial Edge Computing

Industrial Edge (IE) is a ready-to-use edge computing platform. It combines Edge devices, apps, and integrated management tools for global deployment and control.

Industrial Edge enhances chiller plant optimization by bringing real-time data analytics and intelligent control directly to the equipment level. By collecting and processing operational data locally, the platform enables continuous monitoring of key performance indicators such as kW/ton and IPLV, detects inefficiencies instantly, and automatically adjusts chiller sequencing and water temperature setpoints for optimal efficiency.

Integration with existing control systems allows for dynamic load balancing across chillers, pumps, and cooling towers, while predictive analytics help identify maintenance needs before performance drops. This edge-based approach reduces energy consumption, lowers operating costs, and supports sustainable, data-driven facility management.

Reduce 7.2%

Energy Consumption

$

Save HK$300,000

Annually

Source – Siemens Industrial Edge Computing

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