SARS’s 12 i scheme allows companies to claim tax rebates for capital expenditure which produces energy savings. Several requirements apply. One is a baseline report which shows the energy intensity before installation of the energy savings equipment.
Grey Green compiled a baseline report for a large dairy in the Eastern Cape.
The baseline report met all the requirements and the diary is proceeding with installation of energy savings equipment.
Baseline reports have to conform to the procedures of the IPMVP [International Performance Measurement and Verification Protocol) and SANS 50010 – South Africa’s standard for Measurement and Verification.
Producing the baseline included correlating energy usage with production. The following graphic is an example.
Effect of Production on Steam Usage
Seasonal variations in production and therefore energy are common with agro-processing. For our dairy client these were investigated by first considering how output varies from month to month. The following graphic shows that there is considerable seasonal variation.
Seasonal Variation in Production
Next month to month electricity usage was investigated. The following graphic indicates that it does not change much.
Seasonal Variation in Electricity Usage
In addition to using a baseline report for tax rebate applications, the data will often reveal opportunities for energy savings. For example, comparison of the previous two graphics seems to show a mismatch between production variations and monthly changes in energy consumed.