POSCO ICT (CEO Bong-Rae Cho) formally takes up a project for enhancing energy efficiency by applying smart grid technologies to key processes involving power plant equipment and vessel materials of Doosan Heavy Industries & Construction (Chairman & Chief Executive Officer: Gee-Won Park).

POSCO ICT plans to reduce energy consumption and CO2 emission by removing waste elements while analyzing all energy flow on real time by applying a smart-grid based energy efficiency system to key production processes of Doosan Heavy Industries & Construction, including the heating and heat treatment furnaces at its casting and forging factories. The entire project is worth roughly 11 billion won. Doosan Heavy Industries & Construction is expected to recover all its investment in two years from the system deployment as the current project will help the company to save 6.4 billion won worth energy cost a year.

The project is being implemented with ESCO funds subsidized pursuant to the Act on Rationalization of Energy Use. POSCO ICT warrants its attainment of the originally targeted energy saving by deploying a follow-up management system for monitoring the performance of the related systems and equipment when fully deployed. Doosan Heavy Industries & Construction will repay the investment cost in partial installment payments by using the saved energy cost.

The two companies will finish detail design development by commencing the project within this month. They will complete the project by early next year or in roughly 10 months. Prior to this project, POSCO ICT has helped POSCO Gwangyang Steel Mill Oxygen Plant to save energy by deploying the related infrastructure with a smart-grid based Factory Energy Management System it developed with Pohang Research Institute of Industrial Science & Technology (RIST). From this year, POSCO ICT also promotes this service with non-ferrous metal producers, including POS Himetal and SNNC.

POSCO ICT FESM is a system-level integrated energy management system that remotely monitors and controls the operational status of various appliances on real time while surveying energy consumption and flow volumes with intelligent instruments installed on various unit production appliances. POSCO ICT that has so far provided the relevant systems to steel mills plans to expand the relevant service to heavy and chemical industries that consume lots of energy using Doosan Heavy Industries & Construction as its key reference site.