Return on Industrial Steam Efficiency Investment

Abstract

Steam efficiency is a major opportunity for manufacturers to boost
financial performance in an increasingly competitive environment. An
immediate policy challenge is to raise manufacturers’ awareness of these
opportunities. A major barrier to accomplishing this is the communica-
tions disconnect between plant superintendents and the financial deci-
sion-makers who set capital budgeting priorities. Energy engineering
literature is rich with technical how-to discussions; the more daunting
task is to overcome the perceptual barriers that preclude the approval of
these initiatives. This article assumes that strong financial justification is
key to the full realization of steam efficiency opportunities. That premise
is followed by a step-wise review of the ways that steam efficiency can
boost a manufacturer’s return on investment.