REstore doubles Sappi’s Demand Response Payments
Prior to teaming up with REstore, Sappi’s flexible paper and pulp plant in Europe had participated in a reserve programme that yielded low returns. In an industry sector currently experiencing tight margins Sappi needed to boost its income. By partnering with REstore Sappi has been able to engage with more technically demanding reserve programmes and has doubled payments to the plant from Demand Response.
Sappi is a global paper company with 12 800 employees and manufacturing operations on three continents. Annually the company produces approximately 5.7 million tons of paper making it the world's leading producer of high-quality coated fine paper. The paper industry is a very energy intensive sector, so it is important for Sappi to lower its electricity costs through continuous improvement actions. Participation in Demand Response programmes with REstore enables Sappi to boost annual Demand Response payments. As well as cost, Sappi is convinced that sustainability is a business necessity: ‘Every eco-effectiveness action makes a difference’. Participating in Demand Response programmes puts eco-effectiveness into practice.
“REstore’s technology and portfolio allowed us to leverage our flexible processes and to double our annual Demand Response earnings”Christiaan Geers, Manager RM/Utilities Sappi Lanaken
The paper industry is an energy intensive sector – and one where profit margins are being squeezed. The Sappi Lanaken mill is a complete integrated facility consisting of a pulp plant and two paper making and coating lines. Wood chips are ground and bleached to obtain a high grade of mechanical pulp. The pulp is buffered before entering the paper making process, which allows the pulp plant to be curtailed without a negative impact on production downstream. Sappi had used this flexible process to directly participate in the reserves market via the Belgian Transmission System Operator, but the return didn’t offset rising electricity costs. Sappi was seeking ways to increase the value of their flexible pulp plant, but without increasing operational risk. Despite some experience of the reserves market, Sappi needed support to enter more stringent reserve programmes with their fast reaction times, short durations and, therefore, maximised payments.
REstore performed a flexibility audit of the entire paper mill and found that the flexible pulp plant could be leveraged within a fast response reserve programme (Primary Reserve). Two major challenges needed to be overcome to participate in this reserve programme that requires a response time of 30 seconds: poor availability of the pulp plant and avoiding any impact on daily operations. REstore’s patented technology enables ultra-fast portfolio effects with response times of a few seconds. Inserting Sappi’s flexibility within this portfolio approach provided the solution to reduced availability. Next, REstore was able to safeguard production processes downstream by monitoring and protecting the buffer levels and limiting curtailments of the pulp plant when stocks are too low. The result: greatly increased Demand Response payments for Sappi.
for Sappi include
REstore optimises revenues all year-round, offering the highest possible volume, in the highest-paying reserve, at the best possible time.
The REstore portfolio shares the risk of activation with a large group of consumers. Industrial consumers can participate in reserves with stricter requirements.
REstore requests curtailment via the plant's automation system. It reacts in seconds with no human intervention required. Industrial consumers will not notice REstore is there.