Food Manufacturing FM TV: Videos Product Demos & Technology Highlights From Food Manufacturing
FREE SUBSCRIPTIONS: Newsletters & Magazines

Food Manufacturing's Market Update for February - Energy Efficiency


In today's tight financial environment, food manufacturers are facing skyrocketing costs across the board - and looking to save money wherever possible. Many are looking towards an increased emphasis on energy efficiency as a tangible way to reduce costs and remain competitive.

In Food Manufacturing's recent survey on Energy Efficiency, 94 percent of respondents report concern over energy issues in their plants, with 37 percent worrying "constantly" about energy efficiency. This is down from last year's survey, where 50 percent of respondents reported energy efficiency as a constant concern. This decline can perhaps be attributed to the rising importance of other economic-based concerns.

While the majority of respondents (56 percent) report moderate improvements in their plant's energy efficiency in the past five years, less than 4 percent report no improvements at all.

Facility upgrades (such as lighting and heating improvements) and process efficiency (increasing the efficiency of equipment) are the most popular means of increasing energy efficiency in food plants. On-site power generation, such as the use of fuel cells, wind or solar power, is reportedly being utilized by 7.5 percent of respondents.

One issue surrounding efficiency initiatives is the higher cost for energy efficient products and power. Our economic state is forcing companies to justify ROI on every expenditure. In terms of energy efficiency, payback often comes in the form of money saved from introducing methods that decrease costly energy usage - but some question whether or not ROI is seen quickly enough from these efforts. Of surveyed respondents, 81 percent felt that purchasing higher efficiency equipment, at a higher initial cost, pays off subtly over the course of a few years. Exactly 10 percent reported seeing an ROI in just a few months, while 5 percent reported little ROI, if any, from energy efficient equipment. Cost assistance in the form of financing, grants and incentives was received by 35 percent of respondents.

Creating a company's energy efficiency platform is a multi-step process that often starts with a thorough energy analysis of each facility. As such, 69 percent of respondents report undergoing a thorough analysis of their energy usage.
  • 6 percent report performing an analysis on a monthly basis
  • 31 percent report performing an analysis on a yearly basis
  • 32 percent report performing an analysis every few years
  • 12 percent report not conducting energy analysis at all
In 38 percent of facilities, energy analysis is performed by an outside professional. In addition, 22 percent of companies keep tabs on their investments by putting monitoring systems in place that alert them when/if energy consumption strays from the norm.

In 2006, the EPA began offering a specific focus on food processing within its ENERGY STAR initiative, with participation open to all food processors with plants in the United States. The program is designed to provide food processors with opportunities to overcome barriers to energy efficiency in their businesses. The website itself (www.energystar.gov) is also a useful tool, offering industry-specific energy management tools, resources and guidelines. Amongst respondents, participation in Energy Star programs is up slightly from last year's survey - jumping from 17 to 20 percent. However, 54 percent report being unaware of this program and its offerings.



Despite a challenging economy, energy efficiency remains on the minds of food industry professionals. A new presidency will most likely put even further emphasis our country's energy goals in upcoming years; and perhaps present more opportunities for food manufacturers to increase their energy efficiency practices.
Food Manufacturing, Advantage Business Media,

Email for more information
Email to a colleague







Chem.Info IMPO Food Manufacturing Manufacturing.net Pharmaceutical Processing
© Copyright 2010 Advantage Business Media
Privacy Policy  |   Advertise With Us  |   Contact Us