Sterling performance of Reliance Industries

RIL (Reliance Industries Limited)’s annual report is out. As expected, a superb performance far surpassing competitors with a confident stride into another year, casting away the ill-spirit of depression which threatened to veil India in its pall of gloom. I always had sympathies with this pragmatic company and expected it to fan out to foreign lands, acquiring and managing assets in the remotest parts of the world, and becoming a behemoth, like Shell or Exxon Mobil. This year, the turnover was Rs. 2,00,400 cr ($ 44.632 bn), and net profit of Rs. 16,236 cr ($ 3.616 bn). Also, they contribute 14.5% of India’s total exports, 5.6% of India’s indirect tax revenues and 5.7% of total market capitalisation in India. RIL claims the world record for the largest refining capacity at any single location (Jamnagar refinery) and the largest producer of Polyester fibre and yarn. (The source for all these data is their annual report 2009-10).

It is mandatory for all companies in India to enumerate the steps they have taken in the financial year to achieve energy efficiency and conservation measures. RIL has implemented several schemes spanning across several pages in its various production divisions. Some of the items which confirms to a general nature can be emulated by other companies too. The following are some of those steps which is applicable to any process industry. The details show the activity, cash or energy saved and the division where it was achieved.

1. Installation of lowest diameter impeller in process cooling water pumps at utilities with a saving of Rs. 5 lakh p.a. (Barabanki)
2. Reduction in power consumption by optimising lighting load of entire manufacturing division saving Rs. 2 lakh p.a. (Barabanki)
3. Replacement of old inefficient pumps with new energy efficient pumps in Cooling tower at Utilities saving Rs. 69 lakh p.a. (Dahej)
4. Identification and replacement of faulty steam traps and minimisation of steam leakages done in CPP and its yard piping, saving Rs. 72 lakh p.a. (Dahej)
5. Replacement of all motors running below 40% loading with low rating motors or variable frequency drives in PSF plant saving Rs. 40 lakh p.a. (Hazira)
6. Reduction in power consumption by conversion of IDY godet drives on all positions from Delta to Star electrical configuration, saving Rs. 11 lakh p.a. (Hazira)
7. Reduction in contract demand from 4500 kVA to 4250 kVA to avail rebate on account of improvement in load factor, saving Rs. 30 lakh p.a. (Nagpur)
8. Replacement of screw compressors with centrifugal compressors for air-jet looms Worsted Spinning plant, saving Rs. 7 lakh p.a. (Naroda)

They also plan to replace 65 numbers of under-loaded motors with lower-rating motors with a potential to save Rs. 62 lakh p.a. and install VFD on cooling tower fans, dow circulation pumps, FD fans, HP compressor and comfort air blowers having a potential to save Rs. 89 lakh p.a. at the Hazira manufacturing division.

Congratulations to RIL on their sterling performance and expect to see more energy conservation measures in future years.