Energy Efficiency In Boston’s Manufacturing Sector: Strategies For Profitability – The industrial sector accounts for 33% of all electricity used in the world (the largest sector for energy consumption is residential buildings, followed by commercial enterprises). According to the US Energy Information Administration, in the United States, 77% of all electricity is used by industry for manufacturing, 12% for mining, 7% for construction and 5% for agriculture.

From the list of manufacturing energy consuming industries, chemical is 37%, followed by petroleum and coal products with 22%, paper and paper products with 11%, primary metals with 8% and the rest is food, non-metallic and all other categories.

Energy Efficiency In Boston’s Manufacturing Sector: Strategies For Profitability

Energy Efficiency In Boston's Manufacturing Sector: Strategies For Profitability

The 2018 Manufacturing Energy Use Survey (latest figures available) indicates that the amount of energy (including non-electricity sources) used by these top six industries is equivalent to 16.9 quadrillion British Thermal Units (BTUs). A BTU is the amount of energy required to raise the temperature of one pound of water by one degree Fahrenheit.

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The chemical industry is very diverse, with many companies producing thousands of products. Despite this, few products account for a large share of energy consumption. These products include ammonia, chlorine and alkali, ethylene and other petrochemical intermediates.

This subsector of manufacturing is the process of converting crude oil and coal into usable products. This includes the process of cracking and distilling petroleum into component products, making lubricants, asphalt coatings, etc.

Energy consumption in the paper industry is split roughly in half between papermaking and pulping. Energy is used during pulping to prepare the fibers which are then converted into paper.

The main sub-sector in metal production consists of iron and steel plants, aluminum and aluminum production and processing, foundries, etc.

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The world’s top energy consuming companies for commercial electricity use are Samsung, with 22,916,000 megawatt hours, followed by TSMC with 16,058,000 megawatt hours, Alphabet (Google) at 12,237,000 megawatt hours, Microsoft at 10,244,000 megawatt hours, Intel at 7 , 170,000 megawatt hours and Facebook at 7,170,000 megawatt hours.

At that point, there is a sharp decline in electricity consumption in business life. There are still companies that use a lot of electricity, relatively speaking, especially when you look at local markets. Small businesses, while small in their own right, make up 95% of all businesses in the United States, and that business energy use is increasing.

When it comes to clean energy use, not just electricity, the main energy consumer is the transport sector, both the production and transport of all vehicles in the country, including land, air and sea vehicles. These are primarily using fossil fuels, although some are switching to renewable energy such as electric cars.

Energy Efficiency In Boston's Manufacturing Sector: Strategies For Profitability

Founded in 1999, CES has for the past 22+ years served everything from small mom and pop shops to fortune 500 companies. We represent the largest and most respected energy providers in North America and have an impeccable track record of securing the lowest prices possible. Dry conditions in New England have worsened throughout the year, with 57 percent of Massachusetts now experiencing severe drought. The lack of water is even more severe in the south-west – it is the worst drought in 1,200 years.

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Human-induced climate change is making droughts more frequent and severe as higher temperatures accelerate evaporation and reduce snowfall. And it’s bringing renewed attention to climate technology companies seeking to tackle problems related to water supply.

Gradiant, a 10-year-old company based in a Woburn office park off Route 128, has developed energy-efficient technology that relies on natural evaporation and a precipitation cycle to treat and filter water. The company’s equipment is already in use in soda plants for Coca-Cola and Pepsi, semiconductor manufacturing facilities for Intel and Micron, and pharmaceutical plants for Pfizer and GlaxoSmithKline.

CEO Anurag Bajpayee and COO Prakash Govindan met as graduate students at MIT in 2008.

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But the pair didn’t connect right away. Bajpayee was assigned to mentor Govindan’s international students, as both had grown up in India. But after one awkward breakfast, they failed to connect. It wasn’t until both were working on their PhDs at the Rohsenow Kendall Heat Transfer Lab that they hit it off and found a shared interest in water purification challenges.

Govindan, who grew up in Chennai, the capital of the Indian state of Tamil Nadu, said water is a very personal matter. “Chennai has some of the most serious water problems,” he said. “I have seen the importance of water in my life.

The founders of Woburn water technology startup Gradiant, COO Prakash Govindan and COO Anurag Bajpayee, met as graduate students at MIT. Matthew Guillory

Energy Efficiency In Boston's Manufacturing Sector: Strategies For Profitability

It was also already a hot field 15 years ago as the growing fracking industry consumed huge amounts of water and looked for cheaper treatment techniques.

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In addition to their personal interest, “to find your way through grad school, you go where the interest is and where the funding is,” Bajpayee said.

In nature, the sun shines on the oceans and causes evaporation. Different bands of air temperature and water concentration – known as gradients – cause moisture to rise and form clouds and then rain. Gradiant (the company) is developing technology that mimics these cycles by relying on tall towers that can be placed near factories to treat wastewater.

“Nature has the advantage of having the entire surface of the ocean freely accessible and a free source of energy from the sun,” Govindan said. “We have to develop this into a compact, highly efficient and energy-efficient industrial device.

Gradiant does more than $100 million a year and is profitable, the founders said. The company employs about 500 people worldwide and is expanding in Boston and beyond.

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The company and rival water tech startups are benefiting from the trend toward decentralization of water treatment, said venture capitalist Peter Yolles of Echo River Capital. Yolles, who has not invested in Gradiant, said the old model of huge municipalities can’t handle runoff from factories that produce a wide range of pollutants.

“New substances from biopharmaceuticals, for example, cannot be handled or even identified by older facilities,” Yolles said. “This leads to small factories built at the site where the water is used that can recycle and treat what is produced at that site.”

The CHIPS Act, signed into law by President Biden on Tuesday, should spur even faster growth at Gradiant. The law subsidizes U.S. semiconductor manufacturing, and Gradiant’s customers, including Micron, Intel and GlobalFoundries, all announced expansion plans as a result of its passage.

Energy Efficiency In Boston's Manufacturing Sector: Strategies For Profitability

“We took our technology to Taiwan and Singapore where chips were made,” said Govindan. “Now it’s like we’re importing back into the US.” A study found growing demand among companies for regional manufacturing and resilient supply chains with a low carbon footprint. A concept called ‘production as a service’ (PaaS) helps companies address the challenges of achieving these goals. Developing a full-scale PaaS model involves three key activities:

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While early PaaS implementations have demonstrated value, each manufacturer should evaluate whether the model is right for their particular context. Taking an intermediate step to test the idea can reveal great opportunities. Read more about PaaS here.

Imagine subscribing to a factory. Instead of owning a facility that manufactures its products, a manufacturer pays a user fee to share a highly flexible factory with other companies. To make the arrangement financially attractive, third parties own the assets. In a nutshell, this is the concept called “Production as a Service” (PaaS).

A recent study conducted by , FlexFactory and WHU – Otto Beisheim School of Management explored the motivations for adopting PaaS and developed a detailed vision of a fully viable approach. The study is based on the results of an international survey of more than 1,500 managers from manufacturing companies involved in a wide range of industries. (See “About the Study.”)

In February 2022, FlexFactory and WHU conducted an online survey of executives and chief operating officers of industrial companies to assess their priorities for manufacturing and supply chain operations.

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We randomly selected survey participants from 1,513 global companies that had at least 250 employees each. The companies represent a broad range of manufacturing industries: automotive, capital goods, consumer goods, energy, healthcare, information technology, manufacturing, and transportation and logistics. Survey participants were based in 15 countries with industrialized or emerging economies that contain a significant industrial sector: Austria, Brazil, Canada, China, France, Germany, India, Italy, Japan, Mexico, Poland, South Korea, Spain, the United Kingdom and the United States .

The survey sought to assess the current focus of the participating companies and the usability of the service offering for production. In addition, the survey asked participants about the challenges they would expect to face if they chose to implement a PaaS model.

Footprints However, achieving these goals poses challenges. For example, companies need more flexible production processes to produce a wide variety of products

Energy Efficiency In Boston's Manufacturing Sector: Strategies For Profitability

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