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Electricity in Economic Growth (1986) / Chapter Skim
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4. Examples of Electrification and Productivity Gains
Pages 88-109

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From page 88...
... Commercial _ I nd ustria I SU PP LY I ncome ~1~ :lty: T L: devices | 1 :~Gross National _ :1 Electricity Product ~ Consumption DEMAND In the preceding chapter the past relationships between electricity and productivity growth were examined econometrically to understand better the ways technical change and electr ic ity use at feet our economy. In this chapter we give some examples of gains in the efficiency of production through particular technical change, that is, through electr i f ication.
From page 89...
... The other attractive characteristic of electricity is that its final form is relatively "clean." In particular, throughout the world electrical energy is distributed at one of two common frequencies and at a few easily changed voltages. Electrical equipment can therefore be reliably and cheaply engineered with the confidence that expensive adaptations will not be necessary to accommodate supply pecularities or waste products at the point of use.
From page 90...
... Thus, we focus on a few broad, qualitatively different classes: o Technical changes in which processes using electricity as the primary energy form displace traditional processes that depend on fossil fuel heat, mechanical energy distribution systems, or human labor. Generally such processes are the earliest advantageous industrial applications of electricity, and the resulting rise in productivity is generally accompanied by a rise in the use of electrical energy.
From page 91...
... EXAMPLES OF ELECTRICITY-DEPENDENT TECHNICAL CHANGE Arc Furnace Steelmaking Arc furnace steelmaking is an example of the substitution of electrical energy for more traditional energy forms, where extensive changes also occur in other aspects of production. These changes encompass not only the energy form used, but also the selection of raw feed materials, the ways specific production can be tailored to the needs of individual users, and, perhaps most importantly, the decentralization of plant locations.
From page 92...
... Table 4-2 compares the primary energy requirements for the two steelmaking processes. The electric furnace process requires about one-third the primary energy ~ fuel to the power plant)
From page 93...
... Low Slag LO ..~., Coke Ovens c' ~ Lime and Flux 0 1 i r 1 ~'. otter Steet _ By_ I_ '.'otte~ Steed _xu Open Hearth Furnace Basic Oxygen Furnace ~ _ ~ OF Reduction ~ iron Ore my ~~ i\7 ~Scrap [_~ _ r __ ~Eiec~rlc Furnace '` o't~' Steel, FIGURE 4-1 Comparison of steelmaking processes: (a)
From page 94...
... 00 SOURCE: Adapted from Schmidt (1984~. TABLE 4-2 Pr imary Energy Requirements for Molten Steel Process Blast furnace-basic oxygen furnace Coke ovens and blast furnace Basic oxygen furnace steelmaking Scrap-electric furnace Pr imary Energy (106 Btu/net ton)
From page 95...
... Before, electrification in the form of power drives for saws and electric arc welding was the standard technology. Introducing the advanced technologies significantly enhances productivity and reduces electrical energy use per unit of product.
From page 96...
... Titanium presents a particularly difficult sawing operas ion because of its high hardness . Hardness i s essent tally irrelevant- in laser cutting, since the laser beam simply vaporizes the metal.
From page 97...
... . TABLE 4-4 Comparative Labor Costs for Cutting Titanium Aircraft Components (Including Setup and Postprocessing Time)
From page 98...
... Cutting Process Capital- Investment ~ dollar s ~ 98 TABLE 4-5 Titanium Cutting Cost Comparisons ~ in 1982 Dollars) Total Cost (dollars/ft)
From page 99...
... Electron beam weld zone Angular distortion caused by uneven shrinkage at top and bottom surfaces Parallel sides of Reid zone produce uniform linear shrink;aae, causing no angular distortion FIGURE 4-2 (a) Comparison of hea~-affected zones for conventional and electron beam welding, (b)
From page 100...
... As in using lasers, however, the initial investment in electron beam equipment is high; thus the process is best suited to high-production applications, such as welding automobile bodies and chassis components. Investments in Energy Efficiency of Buildings Capital investment in a wide variety of passive or active energy conservation systems can reduce the energy requirements necessary for acceptable environments in commercial buildings and residences.
From page 101...
... Total welding time 0.3 12 0.86 (min/ft) Total setup, weld, 49 280 55243 and clean time, typical job (min)
From page 102...
... office building stock standards: ASHRAE 9~75 / vo luntary standard 0\' _ \, ASHRAE 90-75R Swedish office building stock ~ / / ~'~ ~BEPS Swedish office buildings\\~4 farsta ~ ~ \ ~ Folksam an Embargo \ .Swedish SBN-75 1 1 1 1 ' ~ 1 1 1 1 1 1952 1960 1 970 1980 1990 YEAR B U I LT FIGURE 4-3 () f' ice building resource energy intensity, 40-year trends.
From page 103...
... However, penetration of storage-augmented systems is increasing. Automation Automation is an example of technical change involving electricity where the promise of enhanced productivity is already clear but the impact on ultimate energy use is not.
From page 104...
... This use not only simplifies individual transactions but also introduces real-time inventory control, thereby reducing invested capital. In education, electronic tools are also becoming widespread.
From page 105...
... IBM 365 320 POS terminal NCR 280 400 POS terminal IBM 3684 360 Large video RCA PJR 50-in. screen 235 screen Video cassette RCA 300 recorder Microfiche Minolta 250 reader and RP401e printer Phone recorder Panasonic 20 TYPOS: Point-of-sale.
From page 106...
... Chapter 3 showed that the relationship of electricity to sectoral production is dual: (1) for many industries technical change is electricity using in the sense that it increases the share, relative to those of other inputs to production, that a given change in electricity input value contributes to change in output-value and (2)
From page 107...
... ) Beat pumps and mechanical vapor recompression Electrolytic separation and electrochemical synthesis Dielectric heating with mic rowaves and highf requency red fat ion Ultraviolet and electron beam radiation curing Othe r med ium- and low temperature technologies Wide range of steelmaking processes Extractive metallurgy and ferrous metals processing Production of acetylene and ethylene, use of coal to produce teas lo chemicals, etc.
From page 108...
... The foregoing examples illustrate the strong relationship between technological improvements, the use of electricity, and increases in the eff iciency of production. The question remains whether this relationship will continue, and what its net effect will be on electricity consumption.
From page 109...
... Unpublished f irst draft presented to Electric Power Research Institute. April.


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