Operations Cost Reduction Project

A cost reduction project was undertaken at a leading alumina manufacturer in their Orissa plant. Project focused on reducing the annual specific coal consumption (coal consumed per unit of alumina produced). The scope included optimizing the power plant output along with studying the leakages in the production plant. Solutions implemented included upgrades to energy-efficient motors, installation of sheds in coal storage area to prevent coal wetting, installation of variable frequency drives on pumps and fans, optimization of process parameters, implementation of waste heat recovery systems, improved insulation, and replacement of conventional lighting with LEDs. The project was able to reduce the specific coal consumption from 0.352 to 0.327 T/T leading to annual cost reduction of INR 35 Cr.