Outsourcing in the Compressed Air Sector - Financial Opportunities in Industry

The compressed air sector is currently responsible for up to 10% world-wide overall industry electricity consumption, 30% of which ascribable to the compressor technology alone. Such a datum makes the saving potential from a proper compressor selection (30-35% overall consumption) as appealing as those associated with other energy measures and in line with the 20-20-20 timeline. Plus, every electricity saving on the compressor virtually corresponds to an income from selling Energy Saving Certificates (usually referenced as White Certificates) and CO2 quotas from avoided emissions on dedicated markets, which can eventually reduce the payback time of the additional investment. Outsourcing in the CAS is addressed as the most effective alternative to efficiency ownership and its development is supported by the common perception of the compressed air as a utility, analogously to electricity and thermal energy. An in-depth net present value analysis is performed on market compressors for industrial purposes, based on the environmental market model, the electricity cost and compressors market policy in the average European context. In addition to the financial advantage from White Certificates and Carbon markets, the outsourcing always benefits from the lower investment cost on the compressor and the higher compressors efficiency: this results in lower sale prices for the cubic meter of compressed air, with little or no difference among different machine types. The relative importance of energy and investment-related costs is assessed as well. The outsourcing allows a m3 cost reduction with respect to the purchase of new compressors in the 15-20% range, dependently on the machine size and operation regime.