A Case Study of Value Creation in Regional Energy Integration

10.6132/JCM.2009.5.2.09

戴貞德(Jen-Der Day)；蕭雅文(Ya-Wen Hsiao)

Regional Energy Integration ； Greenhouse Gas Reduction ； Value Creation Frontier ； the Sale of Steam ； 3E ； Zero Emission

商業現代化學刊

5卷2期（2009 / 11 / 01）

113 - 123

英文

Value creation in regional energy integration is presented. China Steel Corporation (CSC) is adopted as the case study. In this paper, value creation in regional energy integration can be obtained through analysis of 3E dimensions-Environment, Energy and Economic to achieve the efficiency of cost and positive energy saving waste reduction. 3E dimensions are measured by innovation, quality as excellence, responsiveness to customer, quality to reliability, efficiency to push out the value creation frontier. The results are illustrated as: 1. Innovation: CSC constructed cogeneration system in the manufacturing process. This innovation recovers waste heat to produce steam. 2. Quality as Excellence CSC set waste heat recovery in the third expansion only to produce steam. 3. Responsiveness to customer: These investment projects are set up to the steam demand for specific customers and design the pipe line network to deliver steam. 4. Quality to reliability: The manufacturing process of steam and the end of recycling should be under control in order to fit in with the regulation of environmental protection administration (EPA). 5. Efficiency: Internal Rate of Return (IRR)=23.55%＞Average Cost of Capital (K)=10%. The total investment costs are about NT$3, 640, 000 thousand dollars and the payback is about 5.48 years. If CSC increases sale amount in the long run, it makes balance in the demand and supply and enhances energy efficiency. It improves international competitiveness. Regional energy integration has been the development trend of the world. The potential savings energy at this part will be successful.