Working with a GM assembly plant in Ohio on AEP's system. They're running around 52% load factor which is killing them on demand charges. The plant runs two shifts but shuts down completely on weekends. Anyone had success optimizing production schedules to improve load factor on auto assembly lines?
Auto assembly plant load factor optimization
Linda, we worked with a Ford plant in Michigan that had similar issues. The key was convincing management to run some non-critical processes (paint booth curing, air compressor cycling) during off-shift hours to maintain a base load. Brought their load factor from 48% to 61% over 6 months.
Interesting approach Darrell. What kind of savings did you see? This plant is paying about $38,000/month just in demand charges on their Schedule IS rate.
Demand charge savings were around $11,000/month, but energy costs went up maybe $2,800 due to the additional off-shift usage. Net savings of $8,200/month made it a no-brainer for the plant manager.
Great example of operational changes driving utility savings. Auto plants are perfect candidates for load factor improvement because they typically have significant thermal loads (paint booths, ovens) that can run outside production hours. Just make sure any schedule changes don't impact production quality or safety protocols.