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Uganda Breweries Ltd. In-plant Water CP-assesment

Final presentation

January 25th 2007

Richard Harrow & Steffen Wissing

Danbrew

Agenda

1. Presentation2. The UN assignment3. Cleaner Production Assesment Methodology

Pre Assesment3. Overall Material Balance4. Audit tool based on process flow chart for water5. Water costing6. Focus areas

Assesment6. Interviews – who, how and what7. Management and Training8. Packaging9. Beer Processing

10. Conclusion and Next Steps

Danbrew Ltd.

Design and build Breweries Tender for plant developments Investment strategies and plans for breweries Optimising of Breweries

25 years of consultancy in the brewing industry Nearly 100 million hl design/build in more than 60 Countries

including 7 African countries 60 consultants working in 7 countries presently

Agenda





The assignment of Danbrew

UN Environmental Programme have asked Danbrew to perform In-Plant CP-assessments with a focus on water saving and waste water.

This is part of the UN water saving initiative within the African brewery sector (The Abrew project). This project will

Identify the potential for water savings in the African brewery sector and suggest solutions.

Develop a UN project for external funding for implementing water conservation measures in the brewing sector and subsequently in the entire beverage sector in Africa.

The preliminary assumption of the project is that water usage is 32 hl water per 1 hl beer. If so the water saving potential is 1.7 billion hl. l

Cleaner Production methods are assumed to generate savings of 20 to 50%.

Agenda





Cleaner Production

The purpose of Cleaner Production is to reduce resource consumption and emissions from a production.

Preferably by reduction of waste at source.

UN Technical Report N° 33 p.39- 40

Solutions within the CP

Engineering

Plant equipment

Training

No part of the solution must be seen isolated

UN Technical Report N° 33 p. 40

High consumption breweries and the CP

Engineering

Plant equipment

Training


”High Consumption Breweries can immediately achieve substantial reduction by addressing management issues and small changes in ancillary operations”

Low consumption breweries and the CP

Engineering

Plant equipment

Training


”Low Consumption Breweries need to begin focusing on all three functional groups in detail”

Low consumption breweries and the CP

Engineering

Plant equipment

Training


”Low Consumption Breweries need to begin focusing on al three functional groups in detail”

Cleaner Production Focus Areas

Functional areas Focus areas to reduce resource consumption

Process Production methods Operations System design Maintenance Training

Ancillary operations Operations Individual system design System integration (process / utility) Maintenance Training

Management Target setting, monitoring control, responsibility allocation Training

Areas in which Resource Consumption May Be Reduced. UN Technical Report N° 33 p. 39

On going CP successes

Comprehensive set of CP options

Audit focus selected

Assesment organisation established

UN

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UN

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33 p

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Planning and OrganisationTask 1: Obtain management commitmentTask 2: Identify barriers and solutionsTask 3: Set plant-wide CP goalsTask 4: Organize project team

Pre-AssesmentTask 5: Develop process flow chartTask 6: Evaluate inputs and outputsTask 7: Select audit focus

AssesmentTask 8: Derive materials balanceTask 9: Assess waste generation causesTask 10: Generate CP optionsTask 11: Screen CP options

Feasibility StudiesTask 12: Preliminary evaluationTask 13: Technical evaluationTask 14: Economic evaluationTask 15: Environmental evaluationTask 16: Selection of feasible options

Implementation and ContinuationTask 17: Prepare CP planTask 18: Implement feasible optionsTask 19: Monitor CP progressTask 20: Sustain CP

List of feasible options

Recognized need for CP

Comprehensive set of CP options

Audit focus selected

Assesment organisation established

Planning and OrganisationTask 1: Obtain management commitment

Task 4: Organize project team

Pre-AssesmentTask 5: Develop process flow chart Task 6: Evaluate inputs and outputs (water balance)Task 7: Select audit focus

AssesmentTask 8: Verify water balanceTask 9: Assess waste generation causesTask 10: Generate CP optionsTask 11: Screen CP options

Is there a large potential of water sawing ?

Feasibility StudiesTask 12: Preliminary evaluationTask 13: Technical evaluationTask 14: Economic evaluationTask 15: Environmental evaluationTask 16: Selection of feasible options

List of feasible options

Agenda





Material Balance for a Typical Brewery – High Consumption

Brewhouse

Fermentation / Beer Processing

Packaging

Ancillary Operations

Malt/Adjunct, 18 kg.

Energy, 350 MJ

Electricity, 20 kWh

Water, 20 hl

1 hl Beer

Waste Water18,5 hl

1,2 kg BOD

By-productsSpent Grains, 17 kg

Yeast, 3 kg


Material Balance for a Typical Brewery – Low Consumption

Brewhouse


Packaging



Energy, 150 MJ

Electricity, 8-12 kWh

Water, 5 hl

1 hl Beer

Waste Water3,5 hl

0,8 kg BOD

By-productsSpent Grains, 14 kg

Yeast, 3 kg


Water balance for Uganda Brewery – Medium Water Consumption and Low pollution

Brewhouse


Packaging



Energy, 150 MJ

Electricity, 8-12 kWh

20 hl

Water 9,2 hl

5 hl

1 hl Beer

18,5 hlWaste Water 7,7 hl

3,5 hl

BOD HIGH. COD is 2,6 kg. This will make an BOD outlet higher than 1,2 kg.1,2 kg BOD0,8 kg BOD

NEMA target for BOD

discharge is 50 mg/l

equivalent to 0,04 kg

per hl of beer for

Uganda Breweries

El + Diesel input

Agenda





Wat

er F

low

fo

r U

gan

da

Bre

wer

ies

UGANDA BREWERIES LTD WATER BALANCE DIAGRAM, Refer item no 2.6.10

KEY

Municipal water

Treatedwater to the lake

ETP

E24

E26

E25

E27

E28

E29

Lake water

Water treatmentPlant

GPW

PumpHouse

CarbonFilters

Brew House.

Mash KettleLautertan

Copper and whirlpool

CIP

Water plant/lab

Hydrant Reservoir

TowerReservoir

Process

Heat exchangerYeast plantDPVs, Addives tank and scrabberCSRsFilter and

BBTs

Packaging

Bottle washer

Vacuum pump

Pasteuriser

makeup

Crate washerFiller

Labellerkeg plant

Caustic farm

Col

d

Liq

uor

Treatment Loses

IDU

Canteen,ClinicToilets,HR block

Toilets, Kitchenmain

Adm. Block

Canteen Reservoir

Condensate Reservoir

Casuals and packaging toilets

ReservoirTank

EngineRoomcondensers,cleaning water.

EngineRoom Reservoir

Evaporation

Yeast,Tank bottoms,used wash water and usec cleaaning water

Usedwash water, Final runnings, weak wort

Reservoir

Operation toilets and kitchen

Softening plant

SoftwaterReservoir

Blowdown

Evaporation

Condesate Reservoir

Steam

Boilers 4 and 5

Boiler feed water reservoir

Evaporation

Spent grain

E13'A

ETPAcid scrabberFine screenBiofilterChemical farmBelt pressControl room/lab

Used wash water,Beer spillagepasteuriser overflowsused spray waterused vacuum pump waterChain lube.

Hot liquor tanks

Hot liquor

Carbon filter and softener backwash water

Storm drain

Evaporation

Total Evaporation

Septic tank

Kieselguhr pit

Storm drain

Used filter aid

Septic tank

water in packaged product.

Storm drain

Septic tank

Septic Tank

Interceptor to Storm

Warehouse,diversey

E16A

E14 E15

E5

E18

E12

E4

E16

E11

E13

E3

E20E4'A

E22

E23

E10

E9

E8

E7

E6

E21

Used acid scrabber ,Fine screen,Biofilter,wash water,Belt press waterQC chemicals

T and BToilets

Septic tank

Evaporation

Cleaning water to storm

Hotwell/Blowdown pit

Schematic Layout of a brewery


Boiler PlantCooling Plant

Water Treatment PlantCO2 Recovery Plant

Compressed Air plantElectricity Supply

Waste Water TreatmentLaboratoryWorkshops

Waste Storage

Malting Plant

Brewhouse


Packaging

Warehouse

Barley

Hops

Adjunct

Spent grains

Spent Yeast

Packaging Material

Water

Fuel

Electricity

Malt

Wort

Bright Beer

Packaged Beer


Schematic Layout of Uganda Breweries






Waste Storage

Malting Plant

Brewhouse


Packaging

Warehouse

Barley

Hops

Adjunct

Spent grains

Spent Yeast

Packaging Material

Water

Fuel

Electricity

Malt

Wort

Bright Beer

Packaged Beer


Domestic, Office, Canteen, Gardens

Water flow of Uganda Breweries






Waste Storage

Malting Plant

Brewhouse


Packaging

Warehouse

Barley

Hops

Adjunct

Spent grains

Spent Yeast

Packaging Material

Water

Fuel

Electricity

Malt

Wort

Bright Beer

Packaged Beer


Domestic, Office, Canteen, Gardens

UN CP Brewery detailed water balance model

LA

KE

/ R

IVE

R/ B

OR

E H

OLE

hl/day 2,445hl/year 733,419

Beer sold% of sold 5.5%hl/year 82,500

Beer total losses

PACKAGING

% of sold 1.5%hl/year 22,500

Beer loss packaging

UTILITIESPROCESSINGBREWHOUSE

Ratio to sold 2.0hl/year 3,000,000

Best practice valuePackaging discharge

Wet Kg/year 39,900,000Water in hls 319,200

Spent grainWet Kg/year 5,142,857Water in hls 41,143

Yeast excess


Best practice valueProcessing discharge

% boiling 8%Water in hls 51.429

Evaporation

Sum of colourWater in hls 681,200

Total of necessary loss

DOMESTIC OFFICE

CANTEENGARDENS

Kg/COD/HL 1,0Brewhouse

Kg/COD/HL 0,8Beer processing

Kg/COD/HL 0.4Packaging

Kg/COD/HL 2.4Ton / year 3,600

Brewery total

WWTP

Tons/year 1,260Sludge Kg SS

WTP

% 20%water in hls 200,000

Condensate loss

Sludge & backwash

Blow down, machine cooling, evap. condensers

hl/day 16.733hl/year 5.020.000

Actual Water Intake


Kieselguhr wasteCaustic

label pulpSeptic tanks

ratio to sold 6.84hl/year 5,020,000

Water usage Actual% of sold beer 48%hl/year 5,550,000

Best practice min water use

Ratio to sold 1,3hl/year 975.000

Brewhouse dischargeBest practice value

POTENTIAL SAVING

BEST PRACTICE BEER LOSSES NECESSARY LOSSES STADARD VALUES

Ratio to sold 4,0hl/year 3.000.000COD mg/l > 250TSS mg/l >50 µs/cmpH 7~8

Best practice valueWater discharge

Ratio to sold 0.2hl/year 300,000

Utilities dischargeBest practice value


Best practice valueOthers discharge

Potential value by product





Beer losses brewhouse% of sold 3.5%hl/year 52,500

Beer losses processing

Nile BreweryJan 07

(data year Mar 05/Apr 06)

% of intake 33%hl/year 3,768,800

Potential water saving

ACTUALS

Detailed Water Balance of Uganda Breweries, March 06LA

KE

/ R

IVE

R/ B

OR

E H

OLE

hl/day 2,628hl/year 788,472


Beer total losses

PACKAGING


Beer loss packaging






Yeast excess



% boiling 9%Water in hls 60,825

Evaporation



DOMESTIC OFFICE

CANTEENGARDENS

Kg/COD/HL 1.2Brewhouse

Kg/COD/HL 0.8Beer processing



Brewery total

WWTP

Tons/year 873Sludge Kg SS

WTP


Condensate loss

Sludge & backwash


hl/day 25,144hl/year 7,543,236

Actual Water Intake

Wet Kg/year 946,166Water in hls 9,462




Water usage ActualRatio to sold 3.9hl/year 3,075,041




POTENTIAL SAVING

BEST PRACTICE BEER LOSSESNECESSARY LOSSES

Ratio to sold 4.2hl/year 3,311,582COD mg/l <250TSS mg/l <50 µs/cmpH 7~8

Water dischargeBest practice value




Best practice valueOthers discharge








Uganda Breweries LtdTrough month as whole basis



ACTUALS


Brewhouse actual usageratio to sold 0.66hl/year 517,320

Process actual usageratio to sold 0.44hl/year 343,320

Utilities usage

ratio to sold 0.09hl/year 683,796

Domestic actual usage


Packaging actual usage

Detailed Water Balance of Uganda Breweries, December 06LA

KE

/ R

IVE

R/ B

OR

E H

OLE

hl/day 3,464hl/year 1,039,224


Beer total losses

PACKAGING


Beer loss packaging






Yeast excess



% boiling 9%Water in hls 80,169

Evaporation



DOMESTIC OFFICE

CANTEENGARDENS

Kg/COD/HL 1.2Brewhouse

Kg/COD/HL 0.8Beer processing



Brewery total

WWTP

Tons/year 873Sludge Kg SS

WTP


Condensate loss

Sludge & backwash


hl/day 25,194hl/year 7,558,092

Actual Water Intake





Water usage ActualRatio to sold 3.9hl/year 4,052,974




POTENTIAL SAVING

BEST PRACTICE BEER LOSSESNECESSARY LOSSES

Ratio to sold 4.2hl/year 4,364,741COD mg/l <250TSS mg/l <50 μs/cmpH 7~8

Best practice valueWater discharge




Others dischargeBest practice value








Uganda Breweries Ltd



ACTUALS



Process actual usageratio to sold 0.33hl/year 347,880

Utilities usage

ratio to sold 0.04hl/year 322,920

Domestic actual usage


Packaging actual usage

K ey Figures - Water Specific consumption ratio: 5 hl/hl

Brewhouse : 25%

Beer Processing : 29%

Packaging : 40%

Warehouse : 0%

Utilities : 5%

Other functions : 1%

Brewhouse

Beer Processing

Packaging

Utilities

Other Functions

Agenda





Principle of water costing

Lake Victoria

Municipal water

Water treatment

Pumps

Pumps

441 UGX / hl

• Electricity for pumps

• Chemicals

• People for operations and maintenance

Brewery

1700 UGX / hl

Flat fee

1,4 m UGX / yearLake

Victoria

1700 UGX / hl

Flat fee

3 m UGX / year

Water cost calculation of UBL 1/21 COST OF ELECTRICITY

(A) ELECTRIC MOTORS IN USE1 Lake pump 30Kw2 clarifier pump 15Kw3 clarifier mixer 3.7Kw4 Alum mixer 0.37Kw5 Alum dosing pump 0.18Kw6 Lime mixer 0.37Kw7 Lime dosing pump 0.75Kw8 Chlorine booster 1.10Kw9 BW pump 7.5Kw

10 Packaging pump 22Kw11 GPW pump 7.5Kw

SUBTOTAL 88.47Kw12 1% lighting 0.88Kw

GRANDTOTAL 89.35Kw

(B) YEARLY POWER USAGE365 daysX24hrx89.35Kw=782,706Kw-Hrs

C Unit cost of electricity=123USH/Kw-Hr

(D ) Total cost of electricity per year=123x782,706=96,272,838USH

(E) Total Volume of water processed=721,992M3

(F) Unit cost of electricity=96,272,838/721,992=133.34USH/M3

Water cost calculation of UBL 2/22 MAN POWER COST

(A) Total salary for 4 operators/month=USH 1,866,000

(B) Yearly salarly=22,392,000USH

© Manpower cost per unit=22,392,000/721,992=31USH/M3

3 MAINTENANCE COST(A) Yearly maintenance cost=USH 199,518,463

(B) Maintenance cost per unit=199,518,463/721,992=276USH/M3

4 COST OF PERMIT=USH 3,000,000 per yearPermit cost per unit=3,000,000/721,992=4.2USH/M3

5 COST OF CHEMICALS PER UNIT=0.8USH/M3

TOTAL COST PER UNIT(when extracting from the lake)=133.34+31+276+4.2+0.8=445.34USH/M3

6 COST PER UNIT OF PURCHASED WATER=1716USH/M3

7 POWER COST IF TREATING PURCHASED WATER= 89.35Kw-30Kw(lake pump)=59.35Kw(A) Electricity unit cost of purchased water=(59.35x365x24x123)/721992=88.5USH/M3

TOTAL COST PER UNIT (when purchasing water)=88.5+31=276+0.8+1716=2112.3USH/M3

Agenda





Focus areas of Uganda BreweryActual ratio

Peak / non peak

Low Consumption

Ratio

Potential savings

Average usage in 2006 9,2 5,0 3.570.000 hl/year

1.574,4 m UGX

715.623 EUR

Major loss at Packaging Peak / non peak 3,7 / 5,1

2,0 2.040.000 hl/year

899,6 m UGX

408.927 EUR

Medium loss at Brewhouse 2,3 / 2,6 1,3 977.500 hl/year

431,1 m UGX

195.944 EUR

Large difference between water efficiency of peak and trough period

7,3 / 9,6 (Diff < 1,5) 680.000 hl/year

299,9 m UGX

136.309 EUR

Water measurement difficult but sufficient

Beer Processing and Brew house can not be separated 100%

Agenda





Organisation of Uganda Breweries – Partly

Managing DirectorSupplies

James Musyoki

Logistics

Procurement & purchasing

PackagingG. Kabuthi

BrewingEdward Katorobo

Cellars Filtration

EngineeringService Mgt.

Bardsley Msagha

Finance HRQA &

EnvironmentAgnes Acom

OperationsMumbi Muiruri

Brewhouse

UtilitiesMatthew Mungai

Mechanical EngineeringJB. Matoru

Electrical EngineeringE. Kasumba

Packaging Engineering

A. Atwine

Head BrewerGeorge Mbogo

CP specialist

Interviews and data collection

Functional areas

Focus areas to reduce resource consumption

Questions to be addressed

Process Production methods Operations System design Maintenance Training

Courses for high and low consumption

Programme or future plans around water usages.

Training

Management follows up

Ancillary operations

Operations Individual system design System integration (process /

utility) Maintenance Training

Manage-ment

Target setting, monitoring control, responsibility allocation

Training

Agenda





Management & training

Going on Utility manager is responsible for Water Consumption Follow up is done monthly by Utility Manager and I being supported by Operations

Director. Targets set by Operations Director based on Benchmarking with in other Diagio sites KPI’s is monitored monthly at bill boards round the brewery The aim for water usage in 2007 is less than 7,0. Utility manager risk is job if the target is

not accomplished.

Planed Meters have been ordered for precise follow up towards Beer Processing and Beer house CP organisation is just been established CP – training is planned

Danbrew conclusion Good management attention to water consumption Medium number of leakages and overflow that can be improves by CP Packaging has high number of leakages and overflow that can be improved by CP and

management attention Water usage should be monitored monthly at bill boards round the brewery as the other

KPI’s

Hose pipe size / guns and&or automatic timer on tap

Storm drains connected to effluent drain / can give probl;ms for effluent plant in rain storm

Water meters

KPI’s on Bill Boards, but no water consumption or waste measurements

Generally need and tidy, but messy in Packaging

Beer losses follows Water losses

Water & beer loss ratios

-

2,00

4,00

6,00

8,00

10,00

12,00

Jan06

Feb06

Mar06

Apr06

May06

Jun 06 Jul 06 Aug06

Sep06

Oct 06 Nov06

Dec06

Agenda





Vacuum pump - can use water free types – combine waters over cooling tower etc

Water losses from the pasteuriser

Fin

anci

al f

easi

bil

ity

for

new

pas

teu

rize

rAssumptions

Assummed profit on bottle also lost

Annual production 850.000 HlsPrice to retailer for one euro bottle 1.160 UGSDuty on gate value 60% 1,60net gate value per bottle 725 UGSNo. of bottles per year 170.000.000 noBottle size 0,5 litresLoss of bottles & beer pasteuriser 1% %No of botttles lost 1.700.000 no.Value of beer lost 1.232.500.000 UGSEuro to UGS 2.200 €Value of bottles & beer lost 560.227 €

Saved running costs with new machineWater lost 6.640 €Energy lost 4.300 €New bottle cost 392 UGSValue of lost bottle trips (normal 20 trips) say 10 trips 196 UGS eachNo. of bottles lost 1.700.000 no.Cost of lost trips 333.200.000 UGSCost of lost trips 151.455 €Running costs saved with new machine annually 162.395 €

Cost of new pasteuriser 35,000 bph 520.000 €Shipping 25.000 €Installation cost 45.000 €Duty, Clearing & forwarding 88.500Total 678.500 €

Current estimate of loss due to bottle breakage in pasteuriser

Current losses are same for whole year

Current losses are 1% for calculation

Agenda





High water usage in Beer house








Process actual usage








Process actual usage

No major issues discovered during assesment.

The high uses might very well be a measuring problem since Beer processing and Beerhouse together is 3,4 and the low consumption ratio is 2,9.

Improvement of metering is suggested.

Excess Yeast Beer Recovery

TT

SGL

WT

WT

FT

Fermentation tank

Yeast storage

tank

RECOVER BEER IN YEAST

DRYING OF YEAST

SOLD FOR ANIMAL

FEED

BEER SAVED

WATER SAVED(YEAST 82% WATER)

BOD LEVELS REDUCED

BY-PRODUCTS VALUE

CAPITAL COST FOR EQUIPMENT OR ADAPT PROCESS (LOW COST)

DRYING OF THE YEAST HAS BENIFIT OF

BETTER SALES POTENITIAL BUT

VERY COSTLY ON ENERGY

Fermentation tank

ALL YEAST WASHED

ONLY BEER / YEAST PHASE

WASHED

Agenda





Discovered focus areas of the brewery

Main issues Danbrew conclusions

Average usage 9,2 in 2006

Good management attention to water consumption Medium number of leakages and overflow the can be improves by CP Packaging has high number of leakages and overflow the can be improved

by CP and management attention Water usage should be monitored monthly at bill boards round the brewery

as the other KPI’s

Major loss at Packaging

+ Peak/Trough

Period diff.

The pasteurised should be replaced by at new. ROI will be 1 year and 400.000 hl of water can be saved.

Very capacity utilisation prevents maintenance. Lack of maintenance causes very high water and beer losses. Capacity should be expanded.

Medium loss at Brewhouse

The meters at UBL does not apply fully to the Danbrew/UN assesment model

Excess yeast beer recovery

Water measurement

Meters have been ordered. Issue closed

Conclusions of UBL Water CP Assesment

Theoretical potential saving of more than than 3 m hl/year or 30% but there is a large potential of waste reduction.

UN assumption of African breweries using 32 hl water per hl Beer can not be confirmed

UN assumption of savings 20 to 50% can be confirmed.

CP assumption of gaining large effects by addressing management and procedures not having to invest heavily in equipment can be applied to UBL.

Next Steps

Concluding the assessments Finalise the CP assesment tool Submit to UBL

Our Brew-How makes your business more successful