Project code: 2017IE08
Cluster: Indore
Report ID: IN/02/DPR
Prepared for
Bureau of Energy Efficiency
(13/GEF-UNIDO-BEE/LSP/14/4562)
Detailed Project Report
On
Cupola to Induction Furnace
Jash Engineering Limited
Indore (MP)
©Bureau of Energy Efficiency, 2018
This DPR has been originally prepared by TERI as a part of ‘Capacity
Building of LSPs’ activity under the GEF-UNIDO-BEE project ‘Promoting
Energy Efficiency and Renewable Energy in selected MSME clusters in India’.
Suggested Format for Citation
This document may be reproduced in whole or in part and in any form for
educational and non-profit purposes without special permission, provided
acknowledgement of the source is made. BEE and TERI would appreciate
receiving a copy of any publication that uses this document as a source. A
suggested format for citation may be as below:
GEF-UNIDO-BEE Project, Bureau of Energy Efficiency, 2018
“Capacity Building of Local Service Providers”
For more information
GEF-UNIDO-BEE PMU Email: [email protected]
Bureau of Energy Efficiency [email protected]
4th Floor, Sewa Bhawan, Sector-1, Website: www.beeindia.gov.in
R.K. Puram, New Delhi-110066 www.teriin.org
Disclaimer
This document is an output of an exercise undertaken by TERI under the
GEF-UNIDO-BEE project’s initiative for the benefit of MSME units and is
primarily intended to assist the decision making by the management of the
intended unit for the proposed technology. While every effort has been made
to avoid any mistakes or omissions, GEF, UNIDO, BEE or TERI would not be
in any way liable to any person or unit or other entity by reason of any
mistake/omission in the document or any decision made upon relying on this
document.
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The Energy and Resources Institute (TERI) places on record its sincere thanks to Global
Environment Facility (GEF), United Nations Industrial Development Organization (UNIDO)
and Bureau of Energy Efficiency (BEE) for giving opportunity to partner in this prestigious
assignment on Capacity Building of Local Service Providers (LSPs) under the GEF-UNIDO-
BEE project ‘Promoting energy efficiency and renewable energy in selected MSME clusters
in India’.
TERI is particularly grateful to Mr Milind Deore, Director, Bureau of Energy Efficiency, Mr
Sanjay Shrestha, Industrial Development Officer, Industrial Energy Efficiency Unit, Energy
and Climate Branch, UNIDO, Mr Suresh Kennit, National Project Coordinator, UNIDO, Mr
Niranjan Rao Deevela, National Technology Coordinator, UNIDO, Mr Prabhat Sharma,
Cluster Leader, Indore Foundry Cluster, UNIDO, Mr L.D. Amin, M/s Jash Engineering
Limited and IIF-Indore Chapter for their support and guidance during the project.
Last but not least, the interactions and deliberations with numerous foundry units, industry
associations, technology providers and who were directly or indirectly involved throughout
the study were exemplary and the whole exercise was thoroughly a rewarding experience
for TERI.
The Energy and Resources Institute (TERI)
New Delhi
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Acknowledgement ............................................................................................................................................... 1
List of tables .................................................................................................................................................... 1
List of figures .................................................................................................................................................. 1
List of abbreviations ........................................................................................................................................... 1
Executive summary ............................................................................................................................................... i
1.0 Details of the unit .................................................................................................................................. 1
1.1 Particulars of unit .................................................................................................................................... 1
2.0 Energy profile......................................................................................................................................... 3
2.1 Process flow diagram ............................................................................................................................. 3
2.1.1 Sand preparation plant ................................................................................................................ 3
2.1.2 Core preparation and moulding ................................................................................................. 3
2.1.3 Melting ........................................................................................................................................... 3
2.1.4 Knockout and finishing ............................................................................................................... 3
2.2 Details of technology identified ............................................................................................................ 4
2.3 Energy used and brief description of their usage pattern .................................................................. 4
2.4 Energy sources, availability & tariff details ........................................................................................ 4
2.5 Analysis of electricity consumption ...................................................................................................... 4
2.6 Analysis of other energy forms/ fuels .................................................................................................. 5
3.0 Proposed technology for energy efficiency ...................................................................................... 7
3.1 Replacement of existing cupola furnace by new IGBT type induction furnace .............................. 7
3.1.1 Background .................................................................................................................................... 7
3.1.2 Observations and analysis ........................................................................................................... 7
3.1.3 Recommendation .......................................................................................................................... 8
3.2 Cost benefit analysis ................................................................................................................................ 8
3.3 Pre-training requirements ...................................................................................................................... 9
3.4 Process down time for implementation ................................................................................................ 9
3.5 Environmental benefits ........................................................................................................................... 9
3.5.1 CO
2
reduction ................................................................................................................................. 9
3.5.2 Reduction in other pollution parameters (gas, liquid and solid) ............................................ 9
3.6 Social benefits ......................................................................................................................................... 10
3.6.1 Improvement in working environment .................................................................................... 10
3.6.2 Increase in manpower skills ....................................................................................................... 10
3.6.3 Increase in wages/salary of workers ........................................................................................ 10
3.6.4 Health & safety of plant & personnel ....................................................................................... 10
4.0 Project financials ................................................................................................................................. 11
4.1 Cost of project and means of finance .................................................................................................. 11
4.1.1 Particulars of machinery and technology comparison ........................................................... 11
4.1.2 Means of finance .......................................................................................................................... 12
4.2 Financial statement (project) ................................................................................................................ 12
4.2.1 Assumptions ................................................................................................................................ 12
4.2.2 Payback ......................................................................................................................................... 13
4.2.3 NPV and IRR ................................................................................................................................ 13
4.3 Marketing & selling arrangement ....................................................................................................... 15
4.4 Risk analysis and mitigation ............................................................................................................... 15
4.5 Sensitivity analysis ............................................................................................................................... 16
5.0 Conclusions & recommendations..................................................................................................... 17
5.1 List of energy conservation measures ................................................................................................. 17
5.2 Summary of the project ......................................................................................................................... 17
5.3 Recommendations ................................................................................................................................. 17
6.0 Financing schemes for EE investments for MSME sector ........................................................... 19
Annexures .......................................................................................................................................................... 25
Annexure 1: Copy of certificates from the competent authorities ........................................................... 27
Annexure 2: Budgetary offers / quotations ................................................................................................... 29
Annexure 3: Instruments used........................................................................................................................ 42
List of tables
Table 1.1: Particulars of the unit ....................................................................................................................... 1
Table 2.2: Details of cupola furnace ................................................................................................................. 4
Table 2.3: Energy used and description of use ................................................................................................ 4
Table 2.4: Energy sources, availability and tariffs ......................................................................................... 4
Table 2.5: Electricity consumption profile ...................................................................................................... 4
Table 2.6: Analysis of other energy/ fuel consumption ................................................................................ 5
Table 3.1.1: Specification of exisitng cupola .................................................................................................... 7
Table 3.1.2: Summary of the analysis ............................................................................................................... 7
Table 3.2: Cost benefit analysis for recommended energy savings measures ............................................ 8
Table 4.1.1: Particulars of machinery proposed for the project ................................................................. 11
Table 4.1.2: Means of finance ........................................................................................................................... 12
Table 4.2.1: Assumptions made....................................................................................................................... 12
Table 4.2.2: Payback ......................................................................................................................................... 13
Table 4.2.3a: NPV and IRR (100% equity) ..................................................................................................... 13
Table 4.2.3b: NPV and IRR (D/E- 70:30) ....................................................................................................... 13
Table 4.2.3c: NPV and IRR (D/E- 50:50) ....................................................................................................... 15
Table 4.3: Marketing & selling arrangements .............................................................................................. 15
Table 4.4: Risk analysis and mitigation ......................................................................................................... 15
Table 4.5: Sensitivity analysis ......................................................................................................................... 16
Table 5.1: Summary of the energy conservation measures ......................................................................... 17
Table 5.2: Summary of the project ................................................................................................................. 17
Table 6.1: Major government schemes ........................................................................................................... 19
Table 6.2: BEE’s VCFEE and PRGFEE scheme .............................................................................................. 20
Table 6.3: IREDA's financing guidelines ........................................................................................................ 21
Table 6.4: Major EE financing schemes/initiatives of SIDBI ....................................................................... 22
Table 6.5: JBIC-SBI Green Line ........................................................................................................................ 23
Table 6.6: Canara bank scheme of EE SME loans ......................................................................................... 24
List of figures
Figure 2.1.4: Process flow chart ....................................................................................................................... 3
Figure 2.5: Demand pattern and energy consumption profile ................................................................. 5
Figure 2.6: Percentage share of various fuel types in the unit .................................................................. 5
Figure 3.1.2: Trend of the coal to metal ratio (30 inch) ................................................................................ 8
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BEE
:
Bureau of Energy Efficiency
CO
2
:
Carbon Dioxide
D/E
:
Debt /Equity
DPR
:
Detailed Project Report
DSCR
:
Debt Service Coverage Ratio
EE
:
Energy Efficient
GEF
:
Global Environmental Facility
GHG
:
Green House Gas
IGBT
:
Insulated-gate Bipolar Transistor
IGDPR
:
Investment Grade Detailed Project Report
IRR
:
Internal Rate of Return
kW
:
Kilo Watt
kWh
:
Kilo Watt Hour
LDO
:
Light diesel oil
LPG
:
Liquefied Petroleum Gas
LSPs
:
Local Service Providers
MSME
:
Micro, Small and Medium Enterprises
MT
:
Metric Tonne
NPV
:
Net Present Value
O&M
:
Operation and Maintenance
PCB
:
Pollution control board
RE
:
Renewable Energy
ROI
:
Return On Investment
SME
:
Small and Medium Enterprises
SPP
:
Simple Payback Period
TERI
:
The Energy and Resources Institute
Toe
:
Tonnes of oil equivalent
UNIDO
:
United Nations Industrial Development Organization
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The overall aim of the GEF-UNIDO-BEE project ‘Promoting Energy Efficiency (EE) and
Renewable Energy (RE) in selected MSME clusters in India’ is to develop and promote a
market environment for introducing energy efficiency and enhancing the use of renewable
energy technologies in process applications in selected energy-intensive MSME clusters in
India. This would help in improving the productivity and competitiveness of the MSME
units, as well as in reducing the overall carbon emissions and improving the local
environment.
Under the GEF-UNIDO-BEE Project, TERI has been entrusted to undertake Capacity
building of Local Service Providers (LSPs) to BEE. The Scope of Work under the project
Organizing 4 one-day training/ capacity building workshops for LSPs in each cluster.
Development of 10 bankable DPRs for each cluster, based on mapping technology needs
with capacities of local technology suppliers/service providers, and also replication
potential and applications to banks in each cluster.
Brief introduction of the MSME unit
Name of the unit
M/s Jash Engineering Limited
Constitution
Public Limited
MSME Classification
Medium
No. of years in operation
46
Address: Registered Office:
31, Sector-C, Industrial area, Sanwer Road,
Indore – 452015, Madhya Pradesh, India
Industry-sector
Steel casting
Products manufactured
Manufacturer of fabricated metal products, except
machinery and equipment
Name(s) of the promoters/ directors
Mr. L.D. Amin – Chairman
Mr. Pratik Patel – Managing Director
Mr. Axel Schuette – Director
Mr. K Mukundan – Director
Existing banking arrangements along
with the details of facilities availed
State Bank of India
Brief highlights of the past financial position of the MSME
unit
(Rs lakh)
S. No
Particulars
FY 2016-17
(Audited)
1
Total income
147.82
2
Net profit
10.34
A detailed assessment study was undertaken in the identified area with the use of the
sophisticated handheld instruments. Energy consumption pattern and production data were
collected to estimate the specific energy consumption of the unit. The plant is consuming
about 1,153,970 kWh of electricity per year. The annual consumption of the coke is 281
tonne. The total energy consumption of the unit during last 12 months is estimated to be 282
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
ii
toe which is equivalent to 184 lakh rupees. The total CO
2
emission during this period is
estimated to be 1,766 tonnes. Electricity and coke were considered for CO
2
emission
estimation.
The unit manufactures the fabricated metal products, except machinery and equipment. The
total annual production of the unit during 2017-18 is estimated to be 1,334 tonne. The major
sources of energy are coke consume in the foundry and electricity for machining and
lighting.
Accepted/ recommended technology implementation
The recommended technology considered after discussion with the plant personnel for
implementation in the unit is given below
S.
No
Energy
conservation
measure
Annual energy
saving
Investment
1
(Rs. Lakh)
Monetary
savings
(Rs. Lakh per
year)
Simple
payback
period
(years)
Emission
reduction
(tonnes of
CO
2
)
Electricity
(kWh)
Coke
(tonne)
1
Replacement of
existing cupola
furnace by new
IGBT type
induction furnace
(7,85,129)
226.3
47.50
23.42
2.0
125
Other benefits
The proposed project is not expected to bring in any change in process step or
operating practices therefore no change expected in the product quality.
Implementation of the selected technology in the unit may result in reduction in CO
2
emissions.
Cost of project & means of finance
S. No.
Particulars
Unit
100% equity
D/E- 70:30
D/E- 50:50
1
Cost of Project
Rs. In Lakh
47.5
47.5
47.5
2
D/E Ratio
-
-
7:3
1:1
3
Project IRR
%
26.02
21.65
22.90
4
NPV
Rs. In Lakh
19.63
13.20
15.01
5
DSCR
-
-
2.1
0.92
1
Investment including the (i) Power panel and crucible – Rs. 33.5 lakh, (ii) Transformer – Rs. 8.5 lakh
and (iii) Installation, Taxes and other misc. cost – Rs. 5.5 lakh
1
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1.1 Particulars of unit
Table 1.1: Particulars of the unit
1
Name of the unit
M/s Jash Engineering Limited
2
Constitution
Public Limited
3
MSME Registration No/UAN
23/026/13/00326
4
PCB consent No.
CIN: U28910MP1973PLC001226
5
Date of incorporation / commencement of
business
1973
6
Name of the Contact Person
Mr. L.D. Amin – Chairman
7
Mobile / Ph. No
+91-731-2720143
8
Email
[email protected]m
9
Address:
Registered Office
31, Sector-C, Industrial area,
Sanwer Road, Indore –
452015
Madhya Pradesh, India
Owned
10
Factory
31, Sector-C, Industrial area,
Sanwer Road, Indore –
452015
Madhya Pradesh, India
Owned
11
Industry / Sector
MSME/Manufacturing
12
Products Manufactured
Manufacturer of fabricated metal
products, except machinery and
equipment
13
No of hours of operation/shift
8
14
No of shifts/ day
3
15
No of days/year
300
16
Installed Capacity
Annexure - 1
17
Whether the unit is exporting its products
(Yes/ No)
Yes
18
Quality Certification, if any
ISO 9001:2008
3
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2.1 Process flow diagram
The major steps of process are mould sand preparation, charge preparation followed by
melting, pouring, knockout and finishing. The steps are explained below.
2.1.1 Sand preparation plant
The major equipment installed is sand siever, sand mixer and sand transport belts and
elevators. Electricity is used to run all rotary machines in sand preparation plant. Fresh sand
is mixed with adhesives in sand mixer then it is pressed in mould casing by pressing
machine. In casing some amount of burnt sand is reused with fresh sand.
2.1.2 Core preparation and moulding
For core preparation, fresh sand is used. Cores are baked in LDO fired ovens. After
hardening of core it is mounted in mould. In mould preparation fresh and burnt sand is
pressed by machines which operate on pneumatic in mould casing. Upper and lower half of
mould is assembled together and then it gets ready to pouring.
2.1.3 Melting
Melting of charge is done with help of divided blast cupola furnace. Once melt attained
required temperature and metallurgy, the liquid melt is poured into the earlier prepared
sand moulds using ladles.
2.1.4 Knockout and finishing
Mould is left to cool for certain time, then it follows to a vibrator with grated surface, it
knocks-out the sand and the casting is send for finishing, which involves shot blasting and
machining job.
The process flow diagram for major product and steel grade casting produced in the
foundry is given in figure 2.1.4.
Figure 2.1.4: Process flow chart
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
4
2.2 Details of technology identified
The details of the induction furnace installed in the unit are given in table 2.2.
Table 2.2: Details of cupola furnace
Design Parameters
Unit
30”Inch
42”Inch
48”Inch
Equipment
-
Cupola
Cupola
Cupola
Type
-
Divided Blast
Divided Blast
Divided Blast
Inner diameter
inch
30
42
48
Melting rate
MT/hr
3.5
6.5
8
Operating Temperature
°C
1,300
1,280
1,280
2.3 Energy used and brief description of their usage pattern
The unit uses grid power supplied by Madhya Pradesh Paschim Kshetra Vidyut Vitaran
Company Limited @ 33 kV, with 375 kVA sanctioned contract demand. Table 2.3 provides
the details of energy uses.
Table 2.3: Energy used and description of use
S No
Energy source
Description of use
1
Electricity
Motive power for different drives in different process sections and utilities
2
LDO
Core making process
3
LPG
Core making process/ladle preheating
2.4 Energy sources, availability & tariff details
Different energy sources, availability of listed energy types and their respective tariffs are
given in table 2.4.
Table 2.4: Energy sources, availability and tariffs
Particular
For supply at 33 kV
Demand charges
Rs. 530/kVA/month
Energy charges (>50% PLF)
Rs. 5.5/kWh
Energy charges (<50% PLF)
Rs. 6.5/kWh
2.5 Analysis of electricity consumption
Table 2.5: Electricity consumption profile
Month
& Year
Total electricity
consumption
(kWh)
Sanctioned
load/demand
(kVA)
Power
factor
Recorded
demand,
kVA
Demand
charges
(Rs)
Energy
charges
(Rs)
Monthly
bill (Rs)
Sep-17
1,06,920
375
0.99
361
1,84,110
6,94,980
8,64,375
Oct-17
54,541
375
0.99
341
1,73,910
3,54,516
4,87,690
Nov-17
1,07,080
375
0.99
338
1,72,380
6,96,020
8,43,126
Dec-17
1,02,320
375
0.99
338
1,72,380
6,65,080
8,23,043
Jan-18
1,09,960
375
0.99
338
1,72,380
7,14,740
8,60,271
Total
11,53,970
-
-
-
21,00,384
75,00,806
93,08,412
Figure 2.5 presents contract demand, recorded maximum demand and the energy
consumption of the unit.
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
5
Figure 2.5: Demand pattern and energy consumption profile
2.6 Analysis of other energy forms/ fuels
The analysis of the other fuels/forms of energy used in the unit is given in table 2.6.
Table 2.6: Analysis of other energy/ fuel consumption
Parameters
Coke (kg)
Consumption unit/year
2,81,357
Calorific value per unit
6,500
Equivalent toe per year
182.9
Price (Rs per unit)
32.3
Total price per year
91,00,204
The share of various energy forms used in the unit is given in figure 2.6.
Figure 2.6: Percentage share of various fuel types in the unit
The plant is consuming about 1,153,970 kWh of electricity per year. The annual consumption
of the coke is 281 tonnes. The total energy consumption of the unit during last 12 months is
estimated to be 282 toe which is equivalent to 184 lakh rupees. The total CO
2
emission
during this period is estimated to be 1,766 tonnes. Electricity and coke were considered for
CO
2
emission estimation.
7
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Based on the measurements, observations/ findings during detailed assessment study
conducted in the unit, the following technology has been identified for energy efficiency
improvement. The detail is given below.
3.1 Replacement of existing cupola furnace by new IGBT type
induction furnace
3.1.1 Background
The plant has installed three cupola furnaces to cater the melting requirments. The basic
details of the cupola installed is given in table 3.1.1.
Table 3.1.1: Specification of exisitng cupola
Design Parameters
Unit
30”Inch
42”Inch
48”Inch
Equipment
Cupola
Cupola
Cupola
Type
Divided Blast
Divided Blast
Divided Blast
Inner diameter
inch
30
42
48
Melting rate
MT/hr
3.5
6.5
8
Operating Temperature
°C
1,300
1,280
1,280
Cupola operated at temperature 1,280-
1,300°C and molten metal (CI-grade)
pouring temperature is around 1,280°C. The
operating hours of the cupola is very less (2
days/week). The operational parameters of
the cupola furnace including the fuel
consumption and material charged were
measured during the detailed assessment study and analysis of the past one year data.
3.1.2 Observations and analysis
The operational data for 42 inch cupola were measured/ collected during the filed
assessment study. The summary of the analysis is given in table 3.1.2.
Table 3.1.2: Summary of the analysis
Actual Parameters
Unit
42 inch
Coke consumption
MT/heat
4.36
Total molten metal
MT/heat
33.78
Metal to Coke ratio
7.76
GCV of Coke
kCal/MT
6,000
Heat supply
kCal/heat
26,130,000
Specific heat of MS
kCal/kg°C
0.11
Ambient temperature
°C
36
Heat required
kCal/heat
4,696,771
Useful heat
%
17.97
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
8
Based on the data collected/measured, the coal to metal ratio is estimated to be 1:7.76 which
is very less as compare to design ratio (1:10). The trand of coal to metal ratio based on the
data of previous heats for 30 inch cupola furnace is given in figure 3.1.2.
Figure 3.1.2: Trend of the coal to metal ratio (30 inch)
3.1.3 Recommendation
The average coal to metal ratio for 30 inch is estimated to be 7.07 during the financial year
2017-18, which is very less as compare to design ratio (1:10). Moreover unit wanted to
diversify its productes. Therefore, it is recommended to replace the existing cupola with a
new induction furnace.
The proposed induction furnace specifications include 550 kW power panel and 2,000 kg
aluminium frame box type melting furnace. The melt rate capacity of the prosed furnace will
be 1,028 kg per hour. The specific energy consumption (induction furnace) of new furnace
would be 535 kWh per tonne as specified by vendor. The estimated annual energy savings
is Rs 23.4 lakh. The investment requirement is Rs 47.5 lakh with a simple payback period of
2 years.
3.2 Cost benefit analysis
The estimated annual monetary saving by implementation of the project is estimated to be of
Rs 23.4 lakh. The investment requirement is Rs 47.5 lakh with a simple payback period of 2
years. The detailed calculations of the recommended energy conservation measures for
IGDPR are provided in table 3.2.
Table 3.2: Cost benefit analysis for recommended energy savings measures
Parameters
Unit
Cupola
Induction
Specific coke consumption
kg/tonne of
melt
141.4
-
Specific electricity consumption
kWh/ tonne
of melt
89.0
579.5
Specific lime stone consumption
kg/tonne of
melt
-
-
Price of coke
Rs./kg of
coke
33.5
33.5
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
9
Parameters
Unit
Cupola
Induction
Price of electricity
Rs./kWh
8.2
6.9
2
Specific cost of coke for melting
Rs./tonne of
melting
4,736
-
Specific electricity cost for melting
Rs./tonne of
melting
726
3,998
total average melting cost
Rs./tonne of
melting
5,461
3,998
Reduction in specific power cost
Rs./tonne of
melting
-
1,463
Annual average production
tonne/year
-
1,601
Annual monetary benefit
Rs./Year
-
23,42,098
Total investment
3
Rs.
-
33,50,000
Civil construction and other Misc.
Rs.
-
5,50,000
Electrical and Transformer
Rs.
-
8,50,000
Total investment
Rs.
-
47,50,000
Simple payback period
Years
-
2.0
3.3 Pre-training requirements
The training would be required on best charging practices and best melting operations. Also
best practices to be adopted for operation like, initial charging, pouring, superheating,
holding for chemical analysis or de-slagging.
3.4 Process down time for implementation
The estimated process down time required for implementation of recommended measure is
estimated to be 3 days after commissioning and testing of the new furnace.
3.5 Environmental benefits
3.5.1 CO
2
reduction
4
Implementation of the selected energy conservation measures in the unit may result in
reduction in CO
2
emissions due to reduction in overall energy consumption. The estimated
reduction in GHG emission by implementation of the recommended energy conservation
measures is 125 tonne of CO
2
per year.
3.5.2 Reduction in other pollution parameters (gas, liquid and solid)
There is not significant impact on the reduction in other pollution parameters including gas,
liquid and solid.
2
Based on the electricity tariff, the per unit electricity charges (Rs/kWh) is directly dependent on average load
factor. The electricity price in proposed case is considered with average load factor more than 50% (refer
section 2.4).
3
Quotation – 1 has been considered for estimation of investments
4
Source for emission factor: 2006 IPCC Guidelines for National Greenhouse Gas Inventories
Electricity: CO
2
Baseline Database for the Indian Power Sector, user guide version 12.0, May 2017 (CEA)
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
10
3.6 Social benefits
3.6.1 Improvement in working environment
Not envisaged
3.6.2 Increase in manpower skills
Not envisaged
3.6.3 Increase in wages/salary of workers
Not envisaged
3.6.4 Health & safety of plant & personnel
Not envisaged
11
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4.1 Cost of project and means of finance
4.1.1 Particulars of machinery and technology comparison
The particulars of machinery proposed for the project is given in table 4.1.1.
Table 4.1.1: Particulars of machinery proposed for the project
S.
No
.
Name of machinery (Model/
specification)
Name of
manufacturer, contact
person
Advantage
Disadvantage
1
550 kW/500 Hz IGBT based
Induction power source with
DM water circulation unit,
Hydraulic unit, one no of
2000kg aluminium frame
box type melting furnace
with built in tank capacitor
bank..
550 kW Solid State
Medium Frequency IGBT
Power Source.
Programmable Logic
Controller with 7.0”
Colour Touch screen
HMI.
Energy Meter with
Ethernet Communication.
Earth Leakage and Water
Conductivity Monitoring
System.
Wiring Drawings and
water circuit diagrams
Medium Frequency Tank
Capacitor bank
Shailesh Patel
(Director)
ORITECH solutions
B/2-3, Sarthi Comp. &
Estate, Opp. Gujarat
Vahepari Maha
Mandal (GVMM),
Odhav, Ahmedabad –
382 415 (INDIA)
Ph: +91-79-32957055,
Tele-fax: +91-79-
22901350 E-mail:
[email protected] web:
www.oritech.in
20+ years of experience in
the Development of
Induction equipment
Continuous research and
development process
Persistently upgrading
and technology
Admirable quality norms
and testing standards
-
2
550 kW/500 Hz VIP POWER
TRAK-R-PI POWER AND
CONTROL SYSTEM with
internal water circulating
system and hydraulic power
supply unit.
Mr Nishant Singh
Area Sales Head
Inductotherm (India)
Pvt. Ltd., Plot No. SM -
6, Road No. 11,
Sanand-II Industrial
Estate, Ahmedabad -
382 170
VIP Power TRAK-R-PI
power and control system
Medium frequency
induction furnace
Provide end-end solution
(such as panel, crucible,
transformers, water
cooling system, PLC etc.)
Experience in the sector
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
12
4.1.2 Means of finance
The means of finance for the project is shown in table 4.1.2.
Table 4.1.2: Means of finance
S. No.
Details
100% equity
D/E- 70:30
D/E- 50:50
1
Additional (Share) Capital
47.5
14.25
23.75
2
Internal Accruals
-
-
-
3
Interest free unsecured loans
-
-
-
4
Term loan proposed (Banks/FIs)
-
33.25
23.75
5
Others
-
-
-
Total
47.5
47.5
47.5
4.2 Financial statement (project)
4.2.1 Assumptions
The assumptions made are provided in table 4.2.1.
Table 4.2.1: Assumptions made
Details
Unit
100%
equity
D/E-
70:30
D/E-
50:50
General about unit
No of working days
Days
300
No of shifts per day
Shifts
2
Annual operating hours
Hrs/year
7,200
Installed production capacity
tonnes/year
-
Production in last financial years
tonnes/year
1,600
Capacity utilization factor
%
-
Proposed investment (Project)
Total cost of the project
Rs. (in Lakh)
47.5
47.5
47.5
Investment without interest defer credit (IDC)
Rs. (in Lakh)
47.5
47.5
47.5
Implementation time
Weeks
3
3
3
Interest during the implementation phase
Rs. in lakhs
-
0.2
0.1
Total investment
Rs. in lakhs
47.5
47.7
47.6
Financing pattern
Own funds
Rs. in lakhs
47.5
14.5
23.9
Loan funds (term loan)
Rs. in lakhs
-
33.3
23.8
Loan tenure
Years
-
5.0
5.0
Moratorium period (No EMI (interest and
principal amount))
Months
-
3.0
3.0
Total repayment period
Months
-
60.0
60.0
Interest rate
%
-
10.5
10.5
Estimation of costs
Operation & maintenance costs
%
5.0
Annual escalation rate of O&M
%
5.0
Estimation of revenue
Reduction in energy cost
Rs. (in
23.4
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
13
Details
Unit
100%
equity
D/E-
70:30
D/E-
50:50
lakh)/year
Total saving
(Rs Lakh/year)
23.4
Straight line depreciation
%
16.2
IT depreciation
%
80.0
Income tax
%
34.0
Period of cash flow analysis
Years
5.0
4.2.2 Payback
The simple payback period on the investments made are shown in table 4.2.2.
Table 4.2.2: Payback
Details
100% equity
D/E- 70:30
D/E- 50:50
Total project cost (Rs. In lakh)
47.50
47.70
47.64
Cash flow as annual saving (Rs. In lakh/year)
23.42
23.42
23.42
O&M Expenses for first year (Rs. In lakh/year)
2.38
2.39
2.38
Net Cash flow (Rs. In lakh/year)
21.05
21.04
21.04
SPP (months)
27.08
27.21
27.17
Considered (month)
27.10
27.20
27.20
4.2.3 NPV and IRR
The NPV and IRR calculations are shown in table 4.2.3.
Table 4.2.3a: NPV and IRR (100% equity)
Particulars / years
0
1
2
3
4
5
(Rs.in lakhs)
Profit after tax
-
13.35
14.46
6.55
6.05
5.88
Depreciation
-
7.70
7.70
7.70
7.70
7.70
Cash outflow
47.50
-
-
-
-
-
Net cash flow
-47.50
21.05
22.16
14.25
13.75
13.58
Discount rate % @ WACC
9.30
9.30
9.30
9.30
9.30
9.30
Discount factor
1.00
0.92
0.84
0.77
0.70
0.64
Present value
-47.50
19.26
18.57
10.93
9.65
8.72
Net present value
19.63
Simple IRR considering regular cash flow
26.02%
Table 4.2.3b: NPV and IRR (D/E- 70:30)
Particulars / years
0
1
2
3
4
5
(Rs.in lakhs)
Profit after tax
-
11.61
13.11
4.97
4.92
5.25
Depreciation
-
7.73
7.73
7.73
7.73
7.73
Cash outflow
47.70
-
-
-
-
-
Net cash flow
-47.70
19.35
20.85
12.70
12.66
12.99
Discount rate % @ WACC
10.10
10.10
10.10
10.10
10.10
10.10
Discount factor
1.00
0.91
0.83
0.75
0.68
0.62
Present value
-47.70
17.57
17.19
9.51
8.61
8.02
Net present value
13.20
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
14
Simple IRR considering regular cash flow
21.65%
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
15
Table 4.2.3c: NPV and IRR (D/E- 50:50)
Particulars / years
0
1
2
3
4
5
(Rs.in lakhs)
Profit after tax
-
12.11
13.50
5.42
5.24
5.43
Depreciation
-
7.72
7.72
7.72
7.72
7.72
Cash outflow
47.64
-
-
-
-
-
Net cash flow
-47.64
19.83
21.22
13.14
12.97
13.15
Discount rate % @ WACC
9.90
9.90
9.90
9.90
9.90
9.90
Discount factor
1.00
0.91
0.83
0.75
0.69
0.63
Present value
-47.64
18.05
17.58
9.91
8.90
8.21
Net present value
15.01
Simple IRR considering regular cash flow
22.90%
4.3 Marketing & selling arrangement
The marketing and selling arrangements of the unit are given in table 4.3.
Table 4.3: Marketing & selling arrangements
Items
Remarks
Main Markets (locations)
Pan India
Locational advantages
-
Indicate competitors
Other manufacturing units
Any USP or specific market strength
-
Whether product has multiple applications
NA
Distribution channels
(e.g. direct sales, retail network, distribution network)
Direct sales
Marketing team details, if any.
NA
4.4 Risk analysis and mitigation
The risk analysis and mitigation for the proposed options are given in table 4.4.
Table 4.4: Risk analysis and mitigation
Type of risk
Description
Mitigation
Technology
The equipment/technology
provided by the supplier may not
be of high quality, which may
result in underperformance.
The equipment/technology should be
procured from standard/reputed
vendors only.
Market
/Product
Demand of the product
manufactured by the unit may
change resulting in lower capacity
utilization.
Regular vigilance/tab on the market
scenario by the SME will help in better
understanding of new substitute product.
The unit may modify the product line
based on the emerging market trend.
Policy/
Regulatory
Changes in government
regulation/policy related to
pollution and taxes & duties can
affect the viability of the unit.
Local industrial association may play a
role in discussing these issues with the
relevant governmental bodies on a
regular basis, so that any concerns of the
unit are brought to their notice.
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
16
4.5 Sensitivity analysis
A sensitivity analysis for various scenarios which may affect the return on investment is
given in table 4.5.
Table 4.5: Sensitivity analysis
S. No.
Scenario
D/E ratio
Payback
period
(months)
NPV
IRR
DSCR
ROI
(Rs
lakh)
(%)
(%)
1
10% increase in
estimated savings
100% equity
24.40
25.67
30.81
-
18.22
70:30
24.50
19.10
26.51
2.12
28.50
50:50
24.50
20.95
27.74
0.92
24.21
2
10% reduction in
estimated savings
100% equity
30.50
13.59
21.09
-
14.31
70:30
30.60
7.29
16.62
2.12
23.33
50:50
30.60
9.06
17.90
0.92
19.33
3
10% rise in
interest rates
70:30
27.20
11.64
21.18
2.12
25.98
50:50
27.20
13.87
22.57
0.92
21.84
4
10% reduction in
interest rates
70:30
27.20
14.79
22.11
2.12
26.42
50:50
27.20
16.17
23.23
0.91
22.14
17
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The IGDPR prepared for the replacement of existing induction furnace by new IGBT type
induction furnace based on the performance assessment study conducted at unit and the
acceptance of the unit management. The brief of selected energy conservation measure is
given below.
5.1 List of energy conservation measures
The brief summary of the energy conservation measures are given in table 5.1.
Table 5.1: Summary of the energy conservation measures
Energy conservation
measure
Annual energy
saving
Investment
(Rs. Lakh)
Monetary
savings
(Rs. Lakh per
year)
Simple
payback
period
(Yrs)
Emission
reduction
(tonnes
of CO
2
)
Electricity
(kWh)
Coke
(tonne)
Replacement of existing
cupola furnace by new
IGBT type induction
furnace
(7,85,129)
226.3
47.5
23.42
2.0
125
The estimated annual monetary saving by implementation of the project is estimated to be of
Rs 23.42 lakh. The investment requirement is Rs 47.5 lakh with a simple payback period of 2
years. The financial indicators provided above in the table shows the project is financially
viable and technically feasible.
5.2 Summary of the project
The summary of the project is given in table 5.2.
Table 5.2: Summary of the project
S. No.
Particulars
Unit
100% equity
D/E- 70:30
D/E- 50:50
1
Cost of Project
Rs. In Lakh
47.5
47.5
47.5
2
D/E Ratio
-
-
7:3
1:1
3
Project IRR
%
26.0
21.7
22.9
4
NPV
Rs. In Lakh
19.6
13.2
15.0
5
DSCR
-
-
2.1
0.9
5.3 Recommendations
The financial indicators provided above show the project is financially viable and technically
feasible. It is recommended that the implementation of the identified the energy
conservation measures may be undertaken by the unit.
19
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Government of India has many schemes to provide concessional finance for EE technologies
among MSMEs. Some major government schemes are summarised in table 6.1.
Table 6.1: Major government schemes
Name of the scheme
Brief Description and key benefits
ZED assessment and
certification
Assessment process, fee and subsidy are as follows:
Online (e-Platform) self-assessment: Nil fee
Desk Top assessment : Rs 10,000 per SME
Complete assessment : Rs 80,000 ZED rating per SME; Rs 40,000 for
additional ZED defence rating; Rs 40,000 for re-rating
The rating costs will include cost of Rs 10,000/- as certification cost by
QCI.
Subsidy for Micro, Small and Medium Enterprises are 80%, 60% and
50% respectively.
Credit Linked Capital
Subsidy Scheme (CLCSS)
(2000-ongoing)
15% capital subsidy of cost of eligible plant and machinery /
equipment for adoption of proven technologies for approved products
/ sub-sectors for MSE units subject to ceiling of INR 15 lakhs
Credit Guarantee Fund
Scheme for Micro and
small Enterprises (in
partnership with SIDBI)
(2000-ongoing)
This scheme was launched by MoMSME and SIDBI to alleviate the
problem of collateral security and enable micro and small scale units to
easily adopt new technologies. Under the scheme, collateral free loans
up to Rs 1 crore can be provided to micro and small scale units.
Additionally, in the event of a failure of the SME unit which availed
collateral free credit facilities to discharge its liabilities to the lender, the
Guarantee Trust would guarantee the loss incurred by the lender up to
75 / 80/ 85 per cent of the credit facility.
Technology and Quality
Up gradation Support to
MSMEs (TEQUP) (2010-
ongoing)
The benefits available to SMEs under TEQUP include—technical
assistance for energy audits, preparation of DPRs and significant
capital subsidy on technologies yielding an energy savings of over 15%.
The scheme offers a subsidy of 25% of the project cost, subject to a
maximum of Rs. 10 lakhs. TEQUP, a scheme under NMCP, focuses on
the two important issues in enhancing competitiveness of the SME
sector, through EE and Product Quality Certification.
Technology Upgradation
Fund Scheme (TUFS)
(1999-ongoing)
Interest subsidy and /or capital subsidy for Textile and Jute Industry
only.
1. To facilitate Technology Up gradation of Small Scale (SSE) units in
the textile and jute industries. Key features being:
Promoter’s margin -15%;
Subsidy – 15% available on investment in TUF compatible
machinery subject to ceiling of Rs 45 lakh;
Loan amount – 70% of the cost of the machinery by way of
Term Loan
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
20
Name of the scheme
Brief Description and key benefits
Interest rate: Reimbursement of 5% on the interest charged by
the lending agency on a project of technology upgradation in
conformity with the Scheme
Cover under Credit Guarantee Fund Scheme for Micro and
Small Enterprises (CGMSE) available
2. To enable technology upgradation in micro and small power looms
to improve their productivity, quality of products and/ or
environmental conditions
20% margin subsidy on investment in TUF compatible
specified machinery subject to a ceiling of Rs 60 lakhs or Rs
1crore (whichever is applicable) on subsidy amount to each
unit – released directly to the machinery manufacturer.
Tax incentives
Accelerated depreciation is provided to the customers / users of
the energy saving or renewable energy devises under the direct tax
laws.
Under indirect taxes, specific concessional rates of duty are only
available to CFLs and not to all energy efficient products
A further waiver of import tariffs and taxes for EE technology
imports are dealt on a case to case basis, meaning higher costs for
those imported technologies that are not available in the domestic
markets at present.
Two financing schemes have been created by Bureau of Energy Efficiency (BEE) under The
National Mission for Enhanced Energy Efficiency (NMEEE) for financing of energy
efficiency projects - Venture Capital for Energy Efficiency (VCFEE) and Partial Risk
Guarantee Fund for Energy Efficiency (PRGFEE). These funds seek to provide appropriate
fiscal instruments to supplement the efforts of the government for creation of energy
efficiency market. Highlights of these two schemes are provided in the table 6.2.
Table 6.2: BEE’s VCFEE and PRGFEE scheme
Venture Capital for
Energy Efficiency
(VCFEE)
This fund is to provide equity capital for energy efficiency projects in
Government buildings and Municipalities in the first phase.
A single investment by the fund shall not exceed Rs 2 crore
Fund shall provide last mile equity support to specific energy efficiency
projects, limited to a maximum of 15% of total equity required, through
Special Purpose Vehicle (SPV) or Rs 2 crore, whichever is less
Partial Risk
Guarantee Fund for
Energy Efficiency
(PRGFEE)
A PRGF is a risk sharing mechanism lowering the risk to the lender by
substituting part of the risk of the borrower by granting guarantees
ensuring repayment of part of the loan upon a default event.
Guarantees a maximum 50% of the loan (only principal). In case of
default, the fund will:
o Cover the first loss subject to maximum of 10% of the total guaranteed
amount
o Cover the remaining default (outstanding principal) amount on
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
21
Venture Capital for
Energy Efficiency
(VCFEE)
This fund is to provide equity capital for energy efficiency projects in
Government buildings and Municipalities in the first phase.
A single investment by the fund shall not exceed Rs 2 crore
Fund shall provide last mile equity support to specific energy efficiency
projects, limited to a maximum of 15% of total equity required, through
Special Purpose Vehicle (SPV) or Rs 2 crore, whichever is less
partial basis upto the maximum guaranteed amount
PFI shall take guarantee from the PRGFEE before disbursement of loan to
the borrower.
The Guarantee will not exceed Rs 300 lakh per project or 50% of loan
amount, whichever is less.
Maximum tenure of the guarantee will be 5 years from the date of issue of
the guarantee
Indian Renewable Energy Development Agency (IREDA), a non-banking financial
institution established by the government also extends financial assistance for setting up
projects relating to new and renewable sources of energy and energy
efficiency/conservation. The detailed financing guidelines for energy efficiency projects are
provided in table 6.3.
Table 6.3: IREDA's financing guidelines
Eligible companies
who can apply
Private Sector Companies/ firms, Central Public Sector Undertaking (CPSU),
State Utilities/ Discoms/ Transcos/ Gencos/ Corporations, Joint Sector
Companies which are not loss making.
Minimum loan
amount
Rs. 50 lakh
Type of projects
considered for
term loans
Replacement / retrofit of selected equipment with energy efficient
equipment
Modification of entire manufacturing processing
Recovery of waste heat for power generation
Incentive available
Rebate in central excise duty
Rebate in interest rate on term loan
Rebate in prompt payment of loan instalment
Interest rate
10.60% to 11.90% depending upon the grading of the applicant with
prompt payment rebate of 15 bps if payment is made on / before due dates
Interest rates are floating and would be reset on commissioning of the
project or two years from the date of first disbursement. Thereafter, the
rates will be reset after every two years.
Rebate of 0.5% in interest rates are available for projects set up in North
Eastern States, Sikkim, J&K, Islands, Estuaries. Rebates of 0.5% in interest
rates are also available for projects being set up by SC/ST, Women, Ex
Servicemen and Handicapped categories involving project cost of upto Rs.
75.00 lakh.
Loan
Upto 70% of the total project cost. Promoter's contribution should be
Minimum 30% of the total project cost
Maximum debt
3:1
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
22
equity ratio
The project cash flow should have a minimum average Debt Service Coverage
Ratio of 1.3
Maximum
repayment period
12 years with moratorium of maximum 12 months
Procurement
procedures
The borrower is required to follow the established market practices for
procurement and shall demonstrate that the quality goods and services are
being purchased at reasonable and competitive prices. Wherever the loan is
sanctioned against international lines of credit such as the World Bank, Asian
Development Bank, kfW, etc., the relevant procedures will have to be followed
and requisite documents will have to be submitted by the borrower
Small Industries Development Bank of India (SIDBI) has several schemes and focused lines
of credit for providing financial assistance for energy efficiency and cleaner production
projects for SMEs. Highlights of some of the major financial assistance schemes/projects
managed by SIDBI are given in table 6.4.
Table 6.4: Major EE financing schemes/initiatives of SIDBI
End to End Energy Efficiency (4E)
Program
Support for technical /advisory services such as:
Detailed Energy Audit
Support for implementation
Measurement & Verification
Financing terms:
Terms loans upto 90%
Interest rate upto 3% below normal lending rate.
TIFAC-SIDBI Revolving Fund for
Technology Innovation (Srijan Scheme)
To support SMEs for up-scaling and commercialization of
innovative technology based project at flexible terms and
interest rate.
Preference accorded to sustainable technologies / products.
Soft term loan with an interest of not more than 5%.
Partial Risk Sharing Facility for Energy
Efficiency (PRSF) Project (supported by
World Bank)
Sectors covered:
Large industries (excluding thermal power plants)
SMEs
Municipalities (including street lighting)
Buildings
Coverage:
The minimum loan amount Rs 10 lakh and maximum loan
amount of Rs 15 crore per project.
The extent of guarantee is 75% of the loan amount
JICA-SIDBI Financing Scheme
The loan is used to provide SMEs with funds necessary to
invest in energy-saving equipment
(and some medical equipment) in the form of two-step
loans through SIDBI or three-step loans
through intermediary financial institutions.
DPR – Cupola to Induction Furnace (Jash Engineering Limited)
23
Project uses an Energy Saving Equipment List approach
Equipment/machinery with energy saving potential
less than 10% is not eligible.
Interest rate: As per credit rating and 1% below the normal
lending rate
Separate technical assistance component which is used for
wetting of loan applications, holding seminars to raise
awareness of energy saving among SMEs and to improve
the ability of financial institutions to screen loan
applications for energy-saving efforts
KfW-SIDBI Financing Scheme
Coverage
a) SMEs for energy efficiency projects
b) SMEs and clusters for cleaner production
and emission reduction measures, waste management and
Common Effluent Treatment Plant (CETP) facilities
Interest rate
As per credit rating and 1% below the normal lending rate
Eligible criteria
3 t CO
2
emission reduction per year per lakh invested
List of eligible equipment/technology and potential suppliers
developed for guidance
State Bank of India (SBI) has been provided a green line of credit by Japan Bank for
International Cooperation (JBIC) for financing of energy efficiency investments. Highlights
of the line of credit are given in table 6.5.
Table 6.5: JBIC-SBI Green Line
Key Features
• Amount : USD 90 million
• Repayment Schedule: First repayment on May 30, 2017 and final repayment date May
30, 2025 (equal instalment)
Eligibility Criteria
• Projects contributing to preservation of global environment, i.e. significant reduction of
GHG emissions
• Acceptance of JBIC-MRV (‘J-MRV”) by the project proponent in terms of the numerical
effect of the environment preservation. To ensure effective GHG reduction emissions in
Green financed projects, JBIC reviews such effects through simple and practical
Measurement Reporting Verification (MRV) process both in (a) prior estimation and (b)
ex-post monitoring.
• Procurement in line with the “Guidelines for Procurement under Untied Loans by
Japan Bank for International Cooperation”
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Canara bank has a dedicated scheme for financing EE investment among SME sector as
mentioned in table 6.6.
Table 6.6: Canara bank scheme of EE SME loans
Purpose
For acquiring/adopting energy conservation/savings equipment/
measures by SMEs
Eligibility
Units under Small and Medium Enterprises
Cost of energy for the unit should constitute not less than 20% of the total
cost of production
Unit should possess energy audit report issued by an approved energy
Consultant/Auditor.
Borrowal a/cs-ASCC code S1 or S2 during previous review.
Current account holders having dealings exclusively with us satisfactorily
for a period of last one year
Maximum loan
Maximum Rs 100 lakhs in the form of term loan
Security
Prime: Assets created out of loan
Collateral: Upto Rs.5 lakhs – NIL
Above Rs.5 lakhs, as determined by the bank
Repayment
Maximum 5-7 years including moratorium of 6 months
Guarantee cover
Cover available under CGMSE of CGTMSE available for eligible loans
Margin
10% of the project cost
Rate of interest
1% less than the applicable rate
Upfront fee
1% of the loan
Insurance cover
Assets acquired and charged as security to Bank to be insured
Special offer, if any
Grants : Bank provides 25% of the cost of Energy Audit / Consultancy
charges with a maximum of Rs 25000/- to the first 100 units on a first come
first served basis which is in addition to the grant of Rs 25000/- being
provided by IREDA(First 100 units)
Among the private sector banks in India, Yes Bank is also active in financing of renewable
energy and energy efficiency projects. The bank has an MOU with SIDBI for providing
funding for EE through PRSF.
Most commercial banks charge interest rate between from 11% to 13% from MSMEs
depending upon general criteria such as credit ratings, references, past lending record,
balance sheet for last 3 years and so on. Interest rebate is offered for a few customers whose
collateral value is around 125% of the loan amount. Further 0.5% concession in interest rate
was offered to women entrepreneurs.
25
Annexures
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Quotation – 1: Oritech Solutions
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Quotation – 2: Inductotherm India Pvt Ltd.
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Instruments
Model/ Make
Application
Accuracy
Power analysers
Fluke: 435,
Krykard: ALM 10
Electrical Parameters
Harmonics analysis, power
logging
± 0.5%
Thermal imager
875-2/Testo
Surface Temperature &
Image
± 2%
Infrared
thermometer
Testo: 845,
Comark: KM848
Surface Temperature
±0.75% of mv