Unit Profile

Apollo Tyres Ltd. is a 3200 crore Rupees annual turnover company with its manufacturing plants at Perambra & Kalamassery in Kerala, Vadodara in Gujarat and Pune in Maharashtra. Apollo Tyres is engaged in production of Bias and Radial tyres for all types of vehicles. Apollo Tyres is a QS 9000 certified company.

Energy Management Policy

Apollo Tyres Ltd. is committed to the preservation of precious energy by minimising the usage of power and fuel. Our specific energy consumption of power and fuel are the best in India as well internationally. All members of Apollo family will always strive to achieve the best figures in industry with respect to specific power and specific fuel consumption. We at Apollo Tyres believe in continuous improvement and innovative methods to achieve this. Also there will be continual monitoring at the management level of the energy consumption performance factors.

Energy Conservation Cell

HEAD ENGINEERING

ENERGY MANAGER

UTILITY MANAGER

INSTRUMENTATION MANAGER

MECHANICAL MANAGER

ELECTRICAL MANAGER

All identified projects are implemented with the active involvement of the personnel in the concerned area with the responsibility being taken by the concerned sectional engineer. Of late, remuneration of personnel is also linked to achievements. 1

Through this kind of energy saving projects, ample opportunity is available to have earnings based on savings achieved. Awards are also given for the selected projects through suggestion schemes. As a matter of policy it is ensured that at least one CFT is formed in each section for improvement activities in which energy conservation is a major item.

Reporting System Daily Reports

a) The power consumed from grid with other parameters like maximum demand, power factor, specific energy consumption etc. b) Machine/feeder wise electrical energy consumption is circulated section wise for monitoring and analysis by users. c) Daily report on steam consumption, fuel consumption, specific fuel consumption, condensate recovery are prepared and circulated for analysis.

Monthly Reports
a) Status of energy conservation projects prepared by area in-charges. b) All efficiency parameters, status of energy conservation projects, best practices followed etc. are shared between different plants through corporate engineering department. c) KRA review meetings in which internal bench markings and corresponding performances are discussed.

Specific Power Consumption kWH/Ton

750 700 650 600 550 2002 2003 2004 2005 730 726 695 639 610 2002 - 2003 2003 - 2004 2004 - 2005 2005 -2006 2006 2007 (target)

2006 2007 (target)

Fuel Consumption Mcal/Ton

2 1.5 1 0.5 0 2002 2003 2003 2004 2004 2005 2005 - 2006 2006 2007 (target) Mcal/ton

% savings of Energy Cost

6 5 4 3 2 1 2003 2004 2004 2005 2005 2006 0

Units Actual production Specific energy consumption Specific energy consumption Electricity consumed by the product Thermal energy consumed by the product MkCal Lakhs kWh MkCal/tonne** Tonne kWh/ tonne

2003-2004 70900 726

2004-2005 78543 695

2005-2006 89341 640

1.98

1.84

1.71

514.44

545.87

571.78

140632

144837

152490

Bias Tyre Manufacturing Process

Compound Mixing Fabric Dipping Raw Materials

Tread & Sw Extrusion WareHousing

Fabric Calendering Bias Cutting

Bead Winding Bead Fillering/ Flipping

Finishing

Tyre Building

Tyre Curing

Major Energy Conservation Projects Implemented During Year 2005-2006 1. Energy Efficient Temperature Control Units
Development of innovative energy efficient Temperature Control Units (TCU). Tyre industry uses a large number of TCUs for maintaining constant temperature in its machinery. In the original system tempered water at controlled temperature is circulated through the machinery using a pump. This water is heated using steam and cooled using cold water in heat exchanger, as and when required, by using a single point pneumatic temperature control. The new design implemented incorporates a compact energy efficient TCU which uses electricity for heating and radiator for cooling. Since the unit is very small it can be placed very close to the machine, saving pumping energy and reducing radiation losses. Heating and cooling controls made through electronic controllers avoid valves and pneumatic systems. This makes it accurate and energy efficient. This project can be considered as a trend-setter since the payback period is low, the idea is totally new and the efficiency is maximum.

Agency that executed the project (with complete address and e mail): Done In-house Total investment, Rs. 50000 per unit Year of implementation: 2005

First year energy cost savings, Rs. 700000 per unit First year other savings, Rs. NIL

On annual basis

KWh 000

Coal (Tons)

Gas Nm3

Oil (kL)

Other

Energy consumption before Energy consumption after Energy tariff, Rs/kWh/Ton/Nm3/kL

63000 27000 3.6

30 0 19000

Picture/sketch/drawing before

Picture /sketch/drawing after modification

2. Screw Chiller
Chilled water at 14 degree centigrade is used for the tyre making process .This is produced by 4 no.s of 120 Ton Reciprocating compressor chillers .The power consumption of reciprocating chillers is 0.85 kW per Ton of refrigeration. The total consumption of power by chillers was about 9000 kWh/day which is 5.6 % of the plants total power requirement .Hence it is identified as major source for energy conservation. These chillers were replaced with 2 no.s of Helical rotary compressor type chillers of make TRANE of 215.3 Ton each .The power requirement of each chiller is 106.3 kW .The efficiency of this type of chiller is 0.494 kW/Ton of refrigeration. This has reduced the total power consumption of chillers to 6000 kWh /day. In this type of chillers the refrigerant is metered through the flow system using an electronic expansion valve, this maximises chiller efficiency at part load.

Agency that executed the project (with complete address and e mail): Done In-house Total investment, Rs. 50 lakhs First year energy cost savings, Rs. 31.5 lakhs First year other savings, Rs. Year of implementation: 2005

On annual basis
Energy consumption before Energy consumption after Energy tariff, Rs/kWh/Ton/Nm3/kL

KWh 000
28 lakhs 19 lakhs 3.5

Coal (Tons)
nil nil nil

Gas Nm3
nil nil nil

Oil (kL)
nil nil nil

Other
nil nil nil

3. Weishaupt Burners
Steam is used in the tyre industry for vulcanisation of rubber. The steam consumption of tyre plants is of the order of 2.2 tons of steam at a pressure of 15 kg/sqcm for every ton of tyre produced. This is produced by a battery of 5 boilers of which 3 will be running continuously and 1 will be hot stand by and 1 on maintenance. Previously, the fuel was controlled by a valve and the air/fuel ratio was preset on a mechanical cam arrangement. This had made air/fuel ratio inconsistent with high excess air and low efficiency. This was replaced with Energy efficient burners of make Weishaupt. The electronic control used in this system controls air/fuel ratio precisely with a consistent performance. The damper control of the old system was replaced with variable frequency drive, making savings in electrical energy also.

Agency that executed the project (with complete address and e mail): Done In-house Total investment, Rs. 80 lakhs First year energy cost savings, Rs. 120 lakhs First year other savings, Rs. On annual basis KWh 000 Energy consumption before Energy consumption after Energy tariff, Rs/kWh/Ton/Nm3/kL 693 485 3.5 Coal (Tons) nil nil nil Gas Nm3 nil nil nil 16051 15351 19.00 nil nil nil Oil (kL) Other Year of implementation: 2005-06

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4. Energy Efficient Blowers for AC Motor Cooling

In the plant there are 45 no.s of tyre building machines and each machine has one 3-speed AC motor. As the number of operations per minute of these motors are very high it gets heated up and external cooling is required for safe operation. In the previous system the cooling was achieved through a 375 watts 3 phase centrifugal blower which ran continuously. This blower has been replaced with an energy efficient blower. The design of the blower impeller and the axial flow of air makes its energy efficient and light weight. The sound produced by this blower is very low reducing the sound level in the shop floor. It consumes only 110 watts and provides sufficient cooling to the motor also. 12 machines were converted with this blower in the year 2005-06.

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Total investment, Rs. 60000/First year energy cost savings, Rs. 94492 /First year other savings, Rs. On annual basis KWh 000 Energy consumption before Energy consumption after Energy tariff, Rs/kWh/Ton/Nm3/kL 37800 11088 3.5

Year of implementation: 2005-06

Coal (Tons) nil nil nil

Gas Nm3 nil nil nil

Oil (kL)

Other

nil nil nil

nil nil nil

Picture/sketch/drawing before

Picture /sketch/drawing after modification

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5. Energy Efficient Blowers for DC Motor Cooling

DC motors are used in the Calendaring and Dipping machines. Since the motors are running at different speeds it requires forced cooling. In the old system the cooling was provided by 3 phase blowers of 1.5 kW capacity each which ran continuously. These blowers were replaced with energy efficient blowers in 7 motors. Because of its improved design of impeller with low weight, a 370 watts blower provides the same amount of cooling. This saves energy and produces less sound reducing the sound level in the shop floor.

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Total investment, Rs. 49000 /_ First year energy cost savings, Rs. 232554 /First year other savings, Rs. On annual basis KWh 000 Energy consumption before Energy consumption after Energy tariff, Rs/kWh/Ton/Nm3/kL 88200 21756 3.5

Year of implementation: 2005-06

Coal (Tons) nil nil nil

Gas Nm3 nil nil nil

Oil (kL)

Other

nil nil nil

nil nil nil

Picture/sketch/drawing before

Picture /sketch/drawing after modification

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6. Energy Efficient Motors for Mills

In the plant there are 25 Mixing mills which use motors of 250 HP. These motors are 30 years old and rewound more than 10 times making it inefficient. The efficiency was about 87 % at full load. We made it a policy to replace these motors in a phased manner with 2 motors every year. The new motors are of eff2 efficiency class with latest energy efficient design. The efficiency of the new motors is 95 % which is maintained in the range of 60 to 100 % load. This saves energy and improves reliability.

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Total investment, Rs 10 lakhs /_ First year energy cost savings, Rs. 4.9 lakhs Annual Savings in 2 motors, Rs. 1. 4 lakhs On annual basis KWh 000 Energy consumption before Energy consumption after Energy tariff, Rs/kWh/Ton/Nm3/kL 2240000 2100000 3.5

Year of implementation: 2005-06

Coal (Tons) nil nil nil

Gas Nm3 nil nil nil

Oil (kL)

Other

nil nil nil

nil nil nil

Picture/sketch/drawing before

Picture /sketch/drawing after modification

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7. Boiler Efficiency Improvement

14 TPH Boiler efficiency improvements by controlling the excess air through Oxygen trimming & F.D fan power reduction with Variable frequency drive.

Total investment, Rs. 8 lakhs First year energy cost savings, Rs. 147000+ First year other savings, Rs. On annual basis KWh 000 Energy consumption before Energy consumption after Energy tariff, Rs/kWh/Ton/Nm3/kL 252000 210000 3.5

Year of implementation: 2005-06

Coal (Tons) nil nil nil

Gas Nm3 nil nil nil

Oil (kL)

Other

nil nil nil

nil nil nil

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8. Blow Down Heat Recovery System

There is a battery of 5 Boilers, which feeds on steam for its processes. In the old system the hot water and steam escaped out during every blow-down operation of the boiler, which was wastage of energy. We have installed a Boiler blow-down heat recovery system. The blow down lines of all the boilers are connected to this system. The flash steam generated is utilised in the boiler deaerator for heating the boiler feed-water. The temperature of the hot water is utilised for pre-heating of the boiler feed water by using a heat exchanger.

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Total investment, Rs. 14 lakhs First year energy cost savings, Rs. 18 lakhs Fuel savings 140 KL / Year On annual basis KWh 000 Energy consumption before Energy consumption after Energy tariff, Rs/kWh/Ton/Nm3/kL 252000 210000 3.5

Year of implementation: 2005-06

Coal (Tons) nil nil nil

Gas Nm3 nil nil nil

Oil (kL)

Other

nil nil nil

nil nil nil

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9. Solar Water Heater for Canteen

Apollo Tyres, Perambra has about 3000 employees. The canteen which meets the requirement of these employees works 24 hours a day.10KL of hot water is used everyday for cleaning of vessels and other applications. This was produced by an electric heater of rating 32 kW which consumed a power of approximately 2.24 lakhs per year. A solar heater has been installed which works along with the electric heater. The hot water requirement is being shared by both electric and solar heaters reducing the power consumption.

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Total investment, Rs. 3 lakhs First year energy cost savings, Rs. 2.9 lakhs First year other savings, Rs. On annual basis KWh 000 Energy consumption before Energy consumption after Energy Rs/kWh/Ton/Nm3/kL 224000 140000 tariff, 3.5

Year of implementation: 2005-06

Coal (Tons) nil nil nil

Gas Nm3 nil nil nil

Oil (kL)

Other

nil nil nil

nil nil nil

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Environment and Safety

1. State-of-art effluent treatment plant commissioned for treating canteen effluents in 2002 and 100% clear discharge from ETP being utilised for gardening and plantation. A 5000 sq. mtrs. of green belt of lawns and gardens have been developed.

2. Discontinued the usage of asbestos roofing material by using pre-engineered galvalume sheets since 2002. 3. Commissioned new treatment plant to treat the effluents of fabric processing in 2003. 4. Four new dust collectors commissioned in 2003 replacing old dust collectors of banbury mixers. 5. Rain water harvesting initiated. 6. Replaced the Freon (ODS) type reciprocating chillers with screw chillers working on environment friendly refrigerant with an investment of Rs. 60 lakhs in 2004. 7. In 2005 installed flue gas analyser, in-line oxygen analyser and "effimax" system for boilers to improve burner efficiency and cleaner stack emissions. 8. The new T5 and T8 tube lights have lesser mercury compared to conventional T13 tubes.

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Safety

To add up the commitment to society, our company has drafted, documented and declared a safety and health policy. The policy has decreed the role of management, workers and supervisors in the line of accident prevention programme. A safety officer and a welfare officer have been appointed to overlook the safety, health promotional activities.

Our plant is the most modern plant using the latest technology. The incident rate of accidents are very much low. There was no major incident of physical injuries or dangerous occurrence reported for the last few years. To achieve best safety results, training starts from induction of the employees. The training does not stop there. It goes like ..On the job, refresher, retraining. We believe that one of the major reasons for accidents is physical unfitness. Keeping this in mind we recruit people through a stringent physical and biological examination. Also, we believe that healthy body gives quality & quantity. Hence all employees undergo periodical health check up to upkeep health standards.

A safety committee constituted with participation from employees representative and management representatives give a boost to accident prevention program. Monthly deliberations in the meeting keep the accident prevention program always afloat. Competitions like essay, quiz and cartoon drawing keeps the minds of the employees open to safety.

Periodical emergency drill and fire drill demonstrations make employees alert

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We keep machinery in high order by verifying them through competent bodies. Lifting equipment, Hoist, Pressure vessels, mobile trolleys are checked half yearly.

Work permit system is needed to undertake any kind of dangerous work in the plant. This system keeps accidents at bay during maintenance. Anywhere in the industry, contract labours are prone to accidents. Keeping this in mind we gives high alertness and equal attention while getting jobs done by them. Company does not show any difference between regular and contract employees

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Corporate Social Responsibility

1. As part of our social responsibility we have launched a campaign against AIDS named as Mission PRATHYASA all over India.

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2. Traffic signal system in our near-by town Chalakudy is installed and maintained by Apollo Tyres Ltd.

3.

Passenger waiting shelters were constructed and are maintained by Apollo for the welfare of traveling public

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Employees Satisfaction
PEOPLE is the key factor for Apollo Tyres in its journey to excellence. As an organization, our company has been sharing a philosophy of Caring People. The satisfaction level of our employees is assessed/measured through Employee Satisfaction Survey. Formal and informal feed backs taken from employees also helps to assess satisfaction levels. This creates the basis for a positive business model. A series of small and big steps taken during the last several years helped us to institutionalize systems in the organization. They are:

Working Environment
We are committed to the maintenance of our surroundings and the 18,000-sq. ft. lawn built around our factory is a testimony for that.

Our commitment to maintain environment In the operations floor, space is provided in compliance with statutory requirements. The working environment is maintained under the principle of 5S (Right things at the right place). Now, we are embarking a journey to adopt TPM (Total Productive Maintenance) as a system, which can promote good working environment. Appropriate health and safety measures are provided for the creation of a healthy work environment. 27

Recognition Schemes
We have the following recognition schemes covering employees and their children:

Attendance Champion
Every year, employees securing more than 95% attendance is recognized and rewarded in a public function.

Suggestion Scheme
The good suggestions received are rewarded under this scheme.

Appreciation Letters
Outstanding performance is recognized by issuing appreciation letters.

Newsletter
Publishing of achievements in company newsletter.

Cash Award for Academic Performance

Employees children with outstanding academic record are encouraged as per this scheme.

Target Setting and Reward

The target to be achieved at each machine centre is clearly specified. This helps the employees to have a focussed approach. The incentive scheme is defined in such a way that employee earns more when the output with required quality is increased. Supervisory cadre is governed by individual KRAs (Key Result Areas).

Job Security
This unit saw an exponential growth in its capacity by more than 130% in the last 5 years. This has generated additional employment. We have communicated the philosophy that our jobs will be secure if organization is able to maintain its health.

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