Severstal Columbus Achieves 25 Million Kilowatt Hours in Energy Savings
The TVA program encourages reductions in electric energy intensity in large industrial facilities having greater than 5 megawatts of contract demand. The greatest efficiency opportunity identified at the Severstal steel plant was retrofitting four 2,750-horsepower fans that send particulates from the plant’s electric arc furnace to a bag house for air pollution control.
Using customized assistance from TVA, Severstal was able to reduce its total energy usage by 25,251,390 kilowatt-hours, enough to power 2,000 average TVA homes.
”This is one additional step toward improving our operational competitiveness,” said Madhu Ranade, vice president and general manager for Severstal Columbus. “We appreciate TVA’s partnership and support in this project.”
“The US$2.5 million check is the largest payment to date for this program and represents a commitment from Severstal to produce a quality product as energy efficiently as possible,” said Cindy Herron, director of TVA Energy Efficiency and Demand Response. “Through projects like this, TVA is leading a strong energy efficiency effort in Mississippi and across the TVA service territory.”
Bryant came to the Severstal plant to celebrate the milestone with company leaders and employees.
“Reliable, affordable energy is a critical component of Mississippi’s business-friendly environment, and this energy efficiency project is a great example of the relationship between smart energy policy and economic development,” the governor said. “This energy efficiency project will help Severstal achieve savings that can be reinvested in its manufacturing operations, and because Severstal will use less electricity, more space will be available on the power grid for other companies to grow or locate in Mississippi.”
TVA estimates Severstal will save US$1.6 million annually in energy costs, which will allow Severstal to become even more competitive in the marketplace. Severstal’s success also helps TVA continue to build an “Energy Efficiency Virtual Power Plant” that reduces the overall cost of electricity for TVA customers.
Severstal North America is one of the largest steel producers the United States, with corporate headquarters and integrated operations in Dearborn, Mich. A state-of-the-art electric arc furnace operation in Columbus, Miss., serves the growing demand for steel in the southeastern United States. SNA is a wholly-owned subsidiary of Severstal, one of the world’s largest steel and mining companies.
The Tennessee Valley Authority is a corporate agency of the United States that provides electricity for business customers and local power distributors serving 9 million people in parts of seven southeastern states. TVA receives no taxpayer funding, deriving virtually all of its revenues from sales of electricity. In addition to operating and investing its revenues in its electric system, TVA provides flood control, navigation and land management for the Tennessee River system and assists local power companies and state and local governments with economic development and job creation.