This presentation provides detailed information about energy saving opportunties in Pulp and Paper industries in Nepal. The current status of this sectors is shown and major energy saving opportunties are explained. The findings are based on a GIZ baseline study conducted in 200 industries in 2012.

1. Energy Saving Potentials
in
Pulp & Paper Sector
in Nepal

2. Sector Highlight
 There are seven Pulp & Paper Industries & majority of
handmade paper units
 Non- wood based – agri-residue and waste paper are used
 CME 2006/07 – NSIC 2101 –46 units – employ 2,0354 persons
– Value of output NPR 2.945 B, with input value NPR 1.376 B
and VA of NPR 1.569 B
 Energy cost 9.86% of output & 18.52% of VA
S. No. Fuel Quantity Value in NPR
1 Fire woood MT 816.9 1,576,000
2 Charcoal MT 9 83,000
3 Diesel lit 495,116 22,912,000
4 Petrol lit 6,539 449,000
5 Kerosene lit 22,363 1,106,000
6 LPG MT 2,950 213,000
7 Others 55,985,000
8 Electricity kWh 35,594,032 208,308,000
Total 290,632,000

3. Observations
 Electrical as well as thermal energy from rice husk in
boiler
 Capacitor banks used to improve power factor more
than 0.9
 Combustion efficiency is not checked for boilers
 Steam leakages observed
 Insulation not satisfactory
 Frequent non-scheduled power cuts result in
production loss
 High cost of Generated electrical energy

4. Production & Turnover
S. No. Particular
Fiscal Year
2009/10
Fiscal Year
2010/11
1 Production Capacity in MT 68,400 68,400
2 Production in MT 32,012 32,810
3
Annual Turnover in Million
NPR
1,431 1,697
4 Production Share to the Sector 83.33%

5. Energy and fuel, CO2 & DG
S.
No.
Particular Total Quantity Quantity
per MT
1 Electrical Energy in MWh 30,759,083 937.49
a. Purchased Electricity 26,027,648 793.28
a. DG sets 4,731,435 144.21
2 Thermal Energy in MJ 506,393,723 15,434.00
a. Rice Husk 506,393,723 15,434
3 CO2 generation in kg 46,517,079 1,417.78
a. Purchased Electricity 36,634 1.12
a. DG sets 2,636,134 80.35
a. Rice Husk 43,844,311 1,336.31
4 Total DG set capacity in KVA 5,100 -
a. Diesel consumption liter 983,632 29.98
5 Energy Cost NPR 336,486,308 10,255.60
Energy cost is around 19.83% of the turnover

6. Saving Potentials
Specific energy consumption is lower – non-wood agro-
residue and waste paper as raw materials
saving potentials from ESPS audits,
= 2.49% of electrical + 22.52% of thermal energy
The electrical saving potential will be
= 0.0249*30,759,083 kWh
= 765,901 kWh = 765.901 MWh;
The thermal energy saving potential will be
= 0.2252* 506393723 MJ
= 114,039,866 MJ = 114,040 GJ

7. Areas of Potential Savings
 Improvement of combustion efficiency in
the boiler
 Steam distribution system including
leakage control and insulation improvement
 Electrical load management