KVAR Energy Savings, Inc.

Power and Energy Savings
KVAR Energy Savings, Inc.
World Energy Crisis
• Next to the Economy – Energy is the biggest concern to most
citizens – safe, reliable service that is affordable, conserves
natural resources, and protects the environment.
• National leaders are looking for innovative ways to reduce
energy consumption and carbon footprint, while developing
more efficient methods of power distribution & utilization.
• Electricity demand will increase considerably over next several
years, while growth in capacity is precarious at best. Fuel and
electrical generation costs are also set to increase substantially.
• Intensive energy conservation efforts at largest Industrial and
Commercial clients could save up to 40% of power on the grid –
the equivalent of building two multi-billion dollar power plants!
• Energy savings projects could minimize or eliminate blackouts,
reduce electric costs and increase worker/employer productivity
– a benefit to both the Power Company and Businesses!
KVAR’s Energy Savings at Power Plants
• There is tremendous potential for energy efficiency savings within large power
plant facilities, given that power plants can utilize up to 20% of the electricity they
generate within the facility itself for the operation of numerous large and small
motors, water pumps and cooling fans.
• If this internal plant consumption were cut in half to 10%, then a $1B/year
operating power plant has the potential to save over $10M/year by using KVAR!
• Not only that, but every kVA of energy saved inside the power plant now becomes
available kVA to sell to power company customers on the electric distribution grid!
KVAR in Manufacturing, Mines & Agriculture
• KVAR has lowered industrial and commercial business operating expenses by
significantly reducing the energy consumption of irrigation and water pumps,
conveyor belt and grain mill motors (for produce and mineral processing), and
chillers and compressors (used for meat refrigeration and cold storage applications).
KVAR’s Positive Impact on the Environment
• Let’s take, for example, the installation of 1,000 KVAR Energy Controllers at
selected municipal residential housing locations as a "pilot project."
• Assuming 800kWh average usage per household per month, with at least 10%
energy saving from KVAR EC®, the result of such a project would have the effect of
restoring 80kWh per household – or over 80MVA back on the local power grid.
• To put such a project into perspective, installing 10,000 KVAR ECs® (about $5M)
would have the affect of restoring over 800MVA of electricity on the nation grid.
• Construction costs for an 800MVA coal-fired plant would be well over $1B, with
expenses to run the plant ranging up to $10M per month. The price for sixteen
50MVA diesel generators would be about $900M, and around $5.3M per month
for fuel, maintenance and other operational expenses.
Your Electricity Bill
~25% Lighting, TVs, Computers, Stereo, Electronics
~25% Stove, Heating, etc
~50% Motors, Pumps and Fans!
For example: $200k electric bill  ~$100k for inductive motor loads!
 For manufacturing facilities, factories, hotels, supermarkets,
restaurants, industrial facilities, etc --- motors & pumps could
account for up to 75%+ of your electricity costs!
KVAR Energy Savings, Inc.
• In business since 1992, products are “Made in the USA.”
• Manufactures and Installs a U.S. patented and UL listed
“Energy Controller”
• "Power Factor Optimization Device"
• Industrial, Commercial and Residential applications
600-volts to 110V AC, 50Hz or 60Hz.
• Single-phase or Three-phase
• 100’s of modular/scalar pre-engineered models/sizes.
KVAR Energy Savings, Inc.
• KVAR Energy Controller is a custom sized capacitor bank.
• KVAR Sizing Units: analyzes motor in real-time for capacitance
optimization – not a “one size fits all” solution.
– Installed at electric service entry panel or directly at control
panel of heavy motor loads.
– Reduces energy consumption of motors, air conditioners,
condensers, chillers, air handlers, refrigerators, fans, blowers,
and pumps.
KVAR Energy Savings, Inc.
• KVAR Energy Controller supplies reactive power to inductive
motor loads.
• Reduces "kilo-Watt-per-hour" energy consumption between
8% to 25%.
• Return-on-investment less than one-year to 24-months.
• Payback period reduced when combined with solar, wind,
lighting and other renewable and energy efficiency projects.
KVAR Energy Savings, Inc.
• KVAR Energy Controller:
– Residential units guaranteed 12-yrs.
– Commercial and Industrial units guaranteed 5-yrs.
• Over 300,000 residential units sold. More than 75,000
industrial and commercial devices sold internationally.
• KVAR has been business for over 20-years now –– four times
as long as the warranty on our commercial units (5-years)!
• Do not risk the safety of your home or business or compromise
the integrity of your building’s electrical system by installing a
cheap, poor quality, sub-standard imposter!
The Motor Load’s Power Triangle
KVAR EC® lowers your
power bill by reducing the
current (amps) required
by inductive motor loads
Less Apparent Power
Results in lower kVA and kWh
Lowered
Reactive Power
Reduced by
KVAR EC®
Power Factor = Cos 
(changed at the load)

Real/Working Power
at the Load is Not
Changed (kW)
NOTE: Harmonics must remain below 22.5% for current, under 5% for voltage
The Electric Meter’s Power Triangle
Active Power
Power
______________
Factor = Apparent Power
Reactive
Power
Supplied &
Absorbed by
KVAR EC®
at 60/50
cycles/second
Lowered
Reactive Power
Reduced by
KVAR EC®
Real/Working Power (kW)
Reduced 6-25%  at the Meter
Less Apparent Power
Results in lower kVA and kWh

Power Factor = Cos 
(changed)
NOTE: kW energy savings achieved through reduction in I2R losses between
KVAR unit & electric meter, and current transfer inefficiencies within the bldg’s
electrical network, such as lose wire connections, corroded breaker contact
surfaces, disconnect switches and fuses.
Where does the KVAR EC® fit in?
Your electric meter
Your motor control center
Before KVAR EC®
Your inductive motor loads
Power Factor .75
Power Factor .99
After KVAR EC®
•Optimizes Power Factor
•Reduces Amperage draw
•Reduces waste heat
•Reduces kWh consumed
•Stabilizes Voltage
KVAR Energy Controller
In accordance with Article 460 of the National Electrical Code (NEC),
the KVAR Energy Controller (KVAR EC®) installs next to your motor on
the load side of your motor’s contactor switch, allowing your KVAR EC®
to switch on and off with your motor loads, resulting in the maximum
possible level of energy savings benefits.
Why not just use VFDs?
 Variable Frequency Drives (VFDs) are only applicable for very specific
situations in reducing motor power consumption; such as maintaining
water pressure in tower high-rise buildings with multi-level stories, or
for ventilation system air volume dampener adjustment.
 With VFDs there is reduced energy efficiency (~10%) from the onset
due to conversion of electricity from AC to DC, along with noise and
harmonics distortion introduced into the entire electrical network.
 If the facility is open to the environment or even minimally exposed to
the elements, the digital control panels of VFDs can easily corrode and
cease to operate the motor drive.
 VFD running at 80% or less capacity is not saving any energy!
U.S. Department of Energy Fact Sheet
“Reducing Power Factor Cost”
• Low power factor is expensive, an
inefficient use of power, and reduces
electrical network distribution capacity.
• Benefits of increasing power factor:
 Reduced utility bill.
 Increased electrical system capacity.
 More effective motor performance.
• Strategies for correcting power factor
 Install capacitors in your AC circuit to
decrease the magnitude of reactive
power and stabilizes line voltage.
NASA Summary of KVAR Energy Controller
• 10hp compressor motor tested in
Nov 1996.
• Real power (kW) draw by motor
decreased from 5.63kW to 5.14kW
• This corresponds to a power
reduction of 8.7%
University of Greenwich Report
• Study examined 18 induction motors.
• Motors tested were 380V to 415V
3-phase units ranging 7.5 to 250kW
• Engineers identified average energy
savings of 7.8% were achievable as
a result of Power Factor Correction.
• This compares with a figure of only
3.3% that is typically calculated as
solely reactive I2R losses.
Kuwait Oil Company Study
• Condenser pump at a chilled water
plant: 225V, 3-phase, 45kW rating with
a load capacity of 73.1amps
• KVAR EC® sized and installed on
pump, increasing Power Factor from
0.87 to 0.99
• Current draw was reduced by 10.4%
• Apparent power (kVA) reduced 10.5%
• 8.1% kW energy consumption reduction
• Study’s conclusion: Power Factor
increase close to unity (1.0) results
in energy saving.
University of Santiago, Chilé
Department of Electrical Engineering
• 7.5kW, 10kW and 15kW three-phase
motors tested by USACH DIE.
• Testing discovered KVAR EC® was
considerably more effective in
reducing energy consumption than
new expensive "energy efficient"
motors of equal rating.
• No change in motor horsepower output
capacity.
• Improvement in motor performance
measures; reduced heat, increased
motor torque, voltage stabilization.
KVAR Industrial Clients
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Airports, Train & Subway Stations
Hospitals, Medical & Dental Clinics
Water & Sewage Treatment Plants
Military Bases & Gov’t Admin Bldgs
Universities, Colleges, Schools, Community Centers
Office Buildings, Banks, Fueling & Gas Stations
Hotels, Apartment Buildings, Mosques & Churches
Schneider Valley Farms Dairy (SVFD)
Williamsport, Pennsylvania
Company Founders:
Edward C. and
Catherine Schneider
• KVAR EC® installed on 50 high run-time motors
• kWh/Cooling Degree Day (CDD) 1000 kWh lower
• Reduced kWh usage of over 8%
Wastewater Treatment Plant,
Salisbury, Massachusetts
• KVAR ECs® installed on four
blowers that alternate
running 24/7 and four
effluent pumps.
• In 1st month of operations,
client saw 18% reduction in
electricity usage compared to
the same month, a year prior.
• Return-on-Investment: Less
than 6-months.
Wastewater Treatment Plant,
New Lenox, Illinois
• KVAR ECs® installed on three
125HP Aeration Blower motors
• The KVAR EC® units replaced 28year old non-functioning capacitors.
• Client realized significant energy
savings in kWh with a 0.97 power
factor.
• Return-on-Investment: Less than
10-months.
Village of DeForest, Wisconsin, U.S.A.
Well Pump #3 (100HP)
Village of DeForest, Wisconsin, U.S.A.
Well Pump #3 (100HP)
Conclusion:
With an increase in water flow/day of 3.56%, the estimated level of
savings was exceeded, with an increase in kW efficiency of 11.3%.
In other words, the amount of energy (kWh) required to pump
one thousand gallons of water decreased by 11.3%.
New England Recycling (NER) –
Taunton, Massachusetts
• Recycling facility comprising 24 motors
on conveyers and machines that crush
materials 16 hours a day.
• KVAR EC® installed on one 600 hp
motor, raised PF from 0.50 to 0.99 and
dropped current from 245 to 78 amps.
• Facility averaging 19% reduction
on monthly electric bills.
• Return-on-Investment: Less than
12-months.
KVAR Commercial Clients
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Food & Pharmaceutical Manufacturers and Distributors
Distilleries, Beverage Producers & Beer Brewing Factories
Frozen & Cold Food Storage Warehouses, Ice Plants & Dairies
Grocery & Convenience Stores, Laundry & Dry Cleaners
Restaurants, Fast-Food Franchises, Sports Arenas
Department Stores, Retail Shops & Malls
Farms, Agricultural Cultivation & Irrigation, Wood & Paper Plants
Jacobson Company –
Cold Food Storage Facility, AZ
• Goals were to: (1) Increase Power Factor (PF); and
(2) Reduce kWh (kilo-Watt hour) consumption.
• Pre-installation, facility charged “low power factor
penalty” of $1100 per month.
• Post-installation, elimination of the PF penalty
saved Jacobson over $13,000 per year.
• 8.6% kWh reduction saved over $1,500 per month
• Annual energy savings total of $31,000 per year,
with project payback of less than 12 months.
U.S. Foods – Cold Food Storage Facility
Corona, CA
PROJECT SUMMARY
Average kWh Used from 2009 to 2010:
Average kWh Used in 2011 After KVAR Installation:
Annual 2011 kWh Savings
Percent kW Savings
Annual 2011 Monetary Savings
KVAR Installation Cost:
Return-on-Investment (ROI) Period
ROI Rate
4,438,219
4,043,359
394,860
9.2%
$32,279
$31,500
11.7 Months
102%
Charmer Sunbelt Group –
Beer and Wine Distributor
• State-of-the-art beverage
warehousing and
distribution center.
• KVAR EC® deployment
aimed at reducing energy
consumption of 40 air
conditioning, heating,
refrigeration and
conveyor motors.
• Facility maintains 10% sustained
kWh energy savings.
Lucca Freezer and Cold Storage –
Vineland, New Jersey
• 200,000-sq.ft. freezer
warehouse facility.
• Two KVAR ECs® installed on
two 350hp and two 250hp
compressors motors.
• Initial 0.62 Power Factor
optimized to 0.96 PF with a
reduction in current draw
from 232-amps to 150!
• Sustained 12% kWh energy
saved.
Bernie Little Distributing –
Ocala, Florida
• Beer warehouse and distribution
center.
• Owners pleased with KVAR Energy
Controllers since electric bills
have been reduced by 7.6% over
the same time the year before.
Indian Ridge Country Club –
Palm Desert, CA
Indian Ridge Clubhouse-Fitness Center KVAR EC® Cost Savings
Energy Cost Before
KVAR EC®- 2010
$117,553
Energy Cost After
KVAR EC®- 2011
$106,896
Annual % Energy Cost Savings
Annualized
Cost Savings
$10,657
9.07%
Indian Ridge Clubhouse-Fitness Center KVAR EC® Energy Savings
kWh Usage Before
kWh Usage After
KVAR EC®- 2010
KVAR EC®- 2011
874,289
822,279
Annual kWh Percentage Difference
These energy and
cost savings were
realized, even with
the country club
increasing their
hours of operation
from 7:am – 5:00pm
to 7:am – 10:00pm
7-days per week.
Annual kWh Savings
with KVAR EC®
52,010
6%
KVAR EC®
Installation Cost
$8,863.24
Omni Hotel – San Diego, CA
• June 2012 electric bill $51,576
compared to $56,730 in June 2011.
• $5,154 monthly energy savings
realized!
• 9% monthly cost reduction –
exceeding targeted goals.
• Even with 16% increase in occupancy
from 12,058 in June 2011 to 14,191 in
June 2012 – KVAR EC® still saved Omni
$3.54 in energy costs per occupant!
Marriott Hotel, Gaslamp Quarter
Downtown – San Diego, CA
• $6,119 energy savings in Aug2010,
compared to Aug 2009 –
15% electric utility cost reduction!
• $8,422 energy savings in July2010,
compared to July 2009 –
21% electric utility cost reduction!
Doubletree Hotel – Downtown San Diego
• $23,300 average monthly electric bill
in 2010 compared to $25,900 in 2009.
• 10.2% average monthly cost
reduction – exceeding targeted goals.
• Doubletree SD also experienced a
6,312 increase in room night
occupancy (+ 7.5% increase) in 2010!
Radisson Hotel – Whittier, CA
• Energy savings from Aug 2010 to
Oct 2010 – $48,220!
• This corresponds to a 21% energy
reduction.
• ROI less than 12-months!
Oklahoma Tower –
Oklahoma City, Oklahoma
• By improving power factor on large
motors used to cool and re-circulate air
throughout the 31-story commercial
building, managers saved 13% to 18% on
monthly electricity costs!
• Director of Operations, said the trial
outperformed expectations as “This
project delivered more than double the
anticipated kilo-Watt-hour savings. These
gains in efficiency provide a direct
benefit to our tenants, because they help
us to keep operating expenses low.”
Why KVAR?
 KVAR Energy Controller results in more efficient performance of
motors due to voltage stabilization (no line voltage drops).
 Optimized Power Factor significantly reduced current (I2R) losses, and
lowered line currents losses throughout the building’s entire
electrical distribution system => thus lowering your energy bill!
 Less energy is wasted as heat and windage losses.
 Results in cooler running and longer-lasting motors.
 Motors require less maintenance and reduced magnetic core fatigue.