EEO 1st Cycle learnings
EEO Workshop
30th August 2012
Qenos – A Strategic Business
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As Australia’s sole manufacturer and leading supplier of polyethylene (PE),
Qenos is a cornerstone of Australia’s petrochemical and plastics industry
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Owned by China National Bluestar Group (Joint Venture)
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Primary focus on the Australian domestic PE market
Products supplied to hundreds of plastics fabricators
Manufacturing facilities at Altona (Vic) and Botany (NSW);
80% China National Chemical Corporation
20% The Blackstone Group
Annual Turnover A$700M-A$900M
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Qenos Manufacturing Plant Locations
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Qenos manufacturing operations
are located at
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Altona, Melbourne, Victoria, and
Botany, Sydney, New South Wales
Northern
Territory
Queensland
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Ethane and LPG feedstock is
supplied to Altona from Bass Strait
Western
Australia
Moomba
(Cooper Basin)
South Australia
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New South Wales
Ethane feedstock is supplied to
Botany from the Cooper Basin
Victoria
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Botany
Altona
Ethane feedstock is supplied via
dedicated pipeline infrastructure
Tasmania
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Gippsland Basin
(Bass Strait)
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Qenos Energy use
Two manufacturing sites Altona & Botany
 Consumed as feedstock
 Consumed as energy about
 Natural gas
 Electricity
 Coal
 Waste gas
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1.2
2.5
6.2
 Main users
 Steam Cracking Furnaces (11)
6.5
 Steam Production (8)
8.8
 Flares (8)
0.3
 Achievable Efficiency of major equipment is generally set at design phase
 Generally limited turndown while maintaining efficiency.
 Main user performance managed due to cost implications
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PJ
PJ
PJ
PJ
PJ
PJ
PJ
PJ
PJ
EEO program impact
 An additional regulation in this area
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NGER,EREP,DEUS Licence reporting
Carbon Trading/tax looming.
Pleased that it wasn’t an energy audit that had to be completed by a third
party
 Energy consumption already closely managed as a key variable
cost. ( ≈ A$80m)
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EEO program did not recognise good performers.
 Issue for Qenos.
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How to comply with prescriptive EEO regulations.
Regulation not a good match to business structure/process.
Did not want to create duplication or low value add activity to business.
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Qenos Assessment & Reporting Schedule
 Assessment Reporting Schedule developed using existing
business processes
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Mapped how existing process could best match regulatory intention.
 Site management support/buy in gained.
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Appointed a Qenos wide facilitator.
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Lead person appointed at each processing facility.
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Consultant appointed to assist and guide the process.
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Technical, operational and maintenance personnel engaged as
needed
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The assessments
 People involved in process were enthusiastic.
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Experienced a wider perspective of energy consumption/efficiency.
Broader analysis of energy consumption gained.
 Enhanced metrics for energy & greenhouse developed.
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Meeting NGER reporting requirements was a key goal.
Benchmarking between Qenos sites.
 Needed to prioritise evaluation of ideas.
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No new significant opportunities identified.
Detailed evaluation of significant projects can require some design
elements.
Focus on projects that are likely to proceed after screening.
Other ideas will be evaluated in second cycle
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Energy Reporting
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New tool for energy reporting developed and ready for use.
 Part of an NGER reporting tool for Qenos
 Will be used as part of management energy reporting
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Existing energy reporting are unit cost based measures.
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Gained a better insight into some flaring losses
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Energy Efficiency Projects
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40% reduction to energy requirements and
CO2 emissions since 1990s
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Recent completed projects include:
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Re-gearing recycle compressor saving 17,600
Kw electricity / 1800 tonnes CO2 per annum.
Steam to Polymers Project: transferring excess
steam from Olefins to Polymers Plants saving
11000 tonnes CO2 per annum.
Further 100,000 tonnes CO2 per annum
reduction in GHG once the Altona Cogeneration facility is complete. (Project came
from normal Business planning process)
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