Energy Efficiency and Electrification Best Practices for Oil and Gas Production

Energy Efficiency and Electrification Best Practices for Oil and Gas Production Authored by Neil Kolwey August 2020 Updated July 2022 Energy Efficiency and Electrification Best Practices for Oil and Gas Production Acknowledgements This report was sponsored by the Colorado Energy Office, and we thank them for their support. [...] Connecting these sites to the grid reduces energy consumption and emissions from the engines and generators and reduces operating costs for the oil and gas producers. [...] This aspect of “electrification” of oil and gas production has advantages for both the oil and gas producers and the electric utilities. [...] (Note that currently oil and gas prices are very low due to the corona virus and economic recession.) Choose a contractor with oil and gas expertise To earn the respect of oil and gas customers, contractors need to have expertise with this industry and be able to speak its language. [...] 9 Energy Efficiency and Electrification Best Practices for Oil and Gas Production PG&E’s incentives are $.08/kWh of savings, and $150/kW of peak savings, up to 50% of measure cost for retrofits, and up to 100% of incremental cost for new measures.18 In addition to prescriptive and custom incentives, Rocky Mountain Power (RMP) offers an “industrial tune-up program” to oil and gas customers in Utah.