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Tupy will save 10,200 MWh / year with energy efficiency project

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May 5, 2014

Savings equivalent to the consumption of 4.3 thousand households is a result of replacing 297 motors with financing from CELESC within the Program for More Efficient Industry (Programa Indústria Mais Eficiente)

Joinville (SC) – April 2014 – TUPY S.A. (BM&F BOVESPA: TUPY3) finalized in February the replacement of  297 electric motors in the industrial park of Joinville with the Program for More Efficient Industry of CELESC (Electric Power Plant Company of  Santa Catarina).  It is estimated that 10,200 MWh of electricity per year will be saved, equivalent to the consumption of approximately 4.3 thousand homes in the same period.

One of the largest consumers of electricity in the state, the company had two energy efficiency projects approved for financing by CELESC, totaling R$ 9.8 million, or 49.5% from R$ 19.8 million made available in the public notice of the power utility.  The program, which is supported by ANEEL (National Electric Power Agency), follows an innovative model that allows industries to finance zero interest energy efficiency projects whose monthly amortization payments will have the same amount of savings generated.

At Tupy, in addition to replacing 297 electric motors in operation for new high performance motors, automation of systems was performed. The equipment, supplied by WEG, present superior performance than required by law and can reach a savings of 30% compared to the previous generation engines, with optimized efficiency using frequency inverters. The schedule of replacement motors in the company, especially in the cooling towers and exhaust systems, occurred during the year 2013 and it was an extremely complex operation in order not to jeopardize the production.

Now Tupy is under a verification process and measuring results to prove the economy, which varies according to the level of production, climatic conditions etc.. The potential gains provided consider these variables and forecast return on investment is less than 5 years. “The very strong synergy between our staff, CELESC, WEG and partners in supporting the design and implementation was a big difference, “says Rogerio Iannaccaro, manager of Tupy Maintenance Planning.

According to Cleverson Siewert, president of CELESC, it is more feasible to apply resources in good energy efficiency projects than to invest in expanding the supply of electricity. “Implementing actions aimed at efficient use creates competitive advantages and benefits related to productivity, energy availability and sustainability”, he affirms.

 Efficiency for competitiveness

On average 35% of total energy consumption of the plant Tupy Joinville come from motors. According to Cassio Luiz Francisco de Andrade, director of Product Engineering, Process and Quality Tupy, the features of the agreement are welcome and should be other similar initiatives, for reducing the cost and expanding the efficiency of energy matrices are fundamental for industry competitiveness. The National Confederation of Industries (CNI) estimates that the cost of electricity accounts for 3.9% of the cost of industrial production.

Conscious consumption

One condition of the financing by Celesc was that companies had selected projects will also invest in actions for awareness of rational use of energy. Tupy developed in parallel to the project of replacement of motors, an Energy Efficiency campaign for its employees, which included the Save Energy and Splurge Creativity Cultural Contest. In this action, the children of employees were invited to participate with drawings that reflected concern for the Environment and Community, which are among the Tupy values. The three best works were chosen by a committee and awarded notebooks at a special event. Also shopping vouchers of books were raffled among the other participants. And all the employees who deposited coupons in the ballot box competed for a second raffle with saving lightbulbs kits for their homes.

Tupy continuously conducts awareness campaigns for rational use of natural resources among employees and their families and programs for saving, recycling and reuse of these resources. In the last decade, the company has invested over R$ 100 million in construction, equipment and improvements in environmental management processes.

About Tupy

Tupy develops and produces castings and machined components for the automotive sector and also caters to various segments of industry and construction with the production of malleable iron fittings, steel shot and continuous iron cast bars. Founded in 1938 in Joinville (SC), has two manufacturing plants located in Brazil, in the cities of Joinville / SC and Maua / SP, and two in the state of Coahuila, Mexico, in the cities of Saltillo and Ramos Arizpe. Among the main destinations of its production are the United States, Brazil, Germany, Japan, Mexico and the UK. The list of clients features national and international famous brands of automotive, agricultural and construction machinery sectors, including: Cummins, Ford, Mercedes-Benz, Perkins, Audi, Iveco, MAN, John Deere, Komatsu, Kubota and Peugeot. In Brazil, the company has Volkswagen and MWM International among its major clients besides occupying the leading position in the malleable iron fittings segment.  With production capacity of 848 thousand tons per year, Tupy sold approximately 66.8% of its production to the export market in 2013, achieving revenues of R$ 3.1 billion. www.tupy.com.br

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