What will it take for industrial cooling to meet the environmental challenge?

23rd May 2024

What will it take for industrial cooling to meet the environmental challenge?

Industrial cooling systems are among the most significant contributors to greenhouse gas (GHG) emissions due to their high energy consumption and the potential leakage of harmful refrigerants.

To meet stringent environmental regulations and societal expectations, businesses need to embrace a transformative approach to cooling. Enter Cooling as a Service (CaaS), a compelling solution that sets a path to sustainable, efficient and financially viable cooling, already adopted by the likes of Sovereign, Letaba Packers, Clover SA and Dr Oetker.

From Ownership… to Usership

Pioneered in South Africa by Energy Partners, CaaS embodies a profound shift in how cooling systems are financed, operated and maintained.

In the traditional transactional model, businesses typically invest heavily in cooling equipment and bear the cost of operation and maintenance.

In contrast, CaaS clients pay only for the cooling they use (at a fixed tariff), and the CaaS supplier retains full ownership of and responsibility for the cooling system, including operational costs.

This shift not only alleviates the financial burden on clients but also ensures optimal system performance by shifting the risk of efficiency and up-time to the CaaS supplier who is now incentivised to take responsibility for this.

Efficiency Wins = Environmental Wins

Inefficient cooling systems degrade over time, leading to increased energy consumption and higher GHG emissions.

For instance, refrigeration systems’ efficiency can degrade by 2% to 3% a year if no one is responsible for them, resulting in a 34% increase in electricity consumption over a decade.

Yet CaaS suppliers are incentivised by the model itself to keep systems operating at peak efficiency. By using the latest technologies and performing regular maintenance, these systems consume less energy, directly reducing their carbon footprint. This is crucial as electricity represents 70% of the life cycle costs of cooling systems.

At the Forefront of Technological Innovation

Some of the measures CaaS suppliers such as Energy Partners use to optimise cooling performance, and thus mitigate environmental impact, include:

A Real-World Example: Clover SA

In 2019, Clover SA sought to optimise its operations by consolidating 14 factories into four mega-factories. The existing refrigeration system was outdated and incapable of handling the increased load.

Energy Partners invested R360-million to design and build an integrated refrigeration, steam and power plant for Clover SA at their Queensburgh, KwaZulu-Natal, mega-factory.

The new system, which includes a 10 MW two-stage ammonia cooling plant and a 1.6 MW solar power system, was engineered to be installed with minimal disruption to Clover's production. The results were impressive:

Ready to Transform Your Cooling Systems?

CaaS is not just a model for improving cooling system efficiency; it is a transformative approach that aligns with global sustainability goals. By embracing this model, businesses can significantly reduce their environmental impact, improve financial performance and contribute to a sustainable future.

To find out if CaaS is the industrial cooling solution for your operations, schedule a consultation today with Samuel Jacobs at samuelj@energypartners.co.za