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Food Processing Company Cuts Nitrogen Costs by 62%

How data logging revealed a dramatically over-sized system recommendation

4 min read

The Challenge

A major Sacramento food processing company with 800+ employees was experiencing rising costs with their delivered nitrogen cylinders. They consulted with three national equipment vendors, all of whom recommended systems between 450-550 SCFM capacity based on estimated usage calculations.

Industry-standard sizing approach:

  • Estimate consumption based on production capacity
  • Add 30-40% safety margin “to be safe”
  • Recommend largest system in budget range

The quotes ranged from $215,000 to $285,000 for installation.

Our Measurement-First Approach

Before making any recommendations, we installed data logging equipment for 30 days to measure actual nitrogen consumption across their entire operation.

What we discovered:

  • Peak demand: 182 SCFM (during maximum production shifts)
  • Average demand: 127 SCFM (typical operations)
  • Night/weekend: 15 SCFM (minimal baseline for preservation systems)
  • Seasonal variation: 45% higher demand during harvest season (Sept-Nov)

The national vendors had recommended systems 2.5-3x larger than needed.

The Right-Sized Solution

Based on 30 days of actual consumption data, we designed a system sized for real-world needs:

  • Primary generator: 200 SCFM PSA system (handles peak + 10% buffer)
  • Smart controls: Turn-up/turn-down capability matching demand
  • Seasonal optimization: Efficient operation year-round
  • Emergency backup: Cylinder connection for absolute redundancy

Investment: $68,000 installed

  • Saved vs. national quote: $147,000 (68% reduction in capital cost)
  • Operating cost: $12,300/year vs. $55,400/year delivered nitrogen
  • Annual savings: $43,100/year

Results & ROI

Financial Impact:

  • Capital savings: $147,000 (avoiding over-sized system)
  • Operating savings: $43,100/year (vs. delivered nitrogen)
  • Payback period: 18 months
  • 10-year NPV: $387,000

Operational Benefits:

  • Never run out during peak production
  • Consistent purity for food safety compliance
  • No delivery delays or scheduling
  • Real-time monitoring and alerts

Reliability:

  • 99.7% uptime over 14 months of operation
  • Zero production delays due to nitrogen shortage
  • Predictive maintenance prevents issues

The Right-Sizing Difference

If they had chosen the national vendor’s 500 SCFM recommendation:

  • Wasted capital: $147,000
  • Excess energy consumption: ~$18,000/year
  • Oversized compressor wear
  • Inefficient cycling and maintenance

With our measured approach:

  • Perfect capacity for actual needs
  • Efficient operation at optimal load
  • Lower maintenance costs
  • Maximum ROI

Key Takeaway

“We almost spent $215,000 on a system 3x larger than we needed. The 30-day data logging cost us $1,500 but saved us $147,000 in equipment costs plus thousands per year in wasted energy. The measurement-first approach was a game-changer.”

— Operations Director, Sacramento Food Processing

Industry: Food Processing & Packaging Location: Sacramento, CA System Type: PSA (Pressure Swing Adsorption) Installation: Q3 2024


Ready to discover your actual nitrogen needs?

Most companies don’t know their true consumption patterns. National vendors guess and add safety margins. We measure first, then right-size for maximum efficiency.

Free assessment includes:

  • 30-day data logging of actual consumption
  • Peak demand analysis
  • Seasonal variation mapping
  • Custom system sizing recommendation
  • ROI calculator with your actual numbers

Schedule Your Free Assessment or call (916) XXX-XXXX

Ready to Learn More?

Schedule a free assessment to see how much you could save with right-sized nitrogen generation.

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