Digital Oil Downstream

Monday, 24 August, 2020

Digital Oil Downstream
It is A Must or Nice to Have?

Being digital is an option, but the option should be based on the right judgement for optimization

Being digital is an option. But the option should be based on the right judgement for optimization. nowadays, digital is more advanced and more affordable compared to the automation technology 10 years ago. The use of Wi-Fi and Bluetooth are handier and more robust for real-time data monitoring.

The use of PLC compares to Embedded system are significantly improved and less cost. An advance embedded technology use (thanks to Tesla) in the autonomous vehicle has shown that embedded system is getting robust in logic control and more speed. This embedded system nowadays is more efficient and effective.

All these technology evolutions have evoked the way the industry transforms into what currently call as “Industry 4.0”. Providing better monitoring and precision on executing the production process.

On describing digital is a Must or Nice to Have, the balance between the cost optimization comparing the production result and reducing the human error due to human interface processes.


Digital support in the Oil Fuel area

Oil Fuel is always an interesting commodity in the market, play important role in Indonesia’s energy sector – fossil fuel. The largest consumption of Fuel oil, in the 1st place, is combined transportation sector and 2nd place in industry (Power plant, Mining, and Manufacture).

The fuel, based on the flammability character is divided into flammable & combustible, which means, it is a measure based on the ability to be burned in line with the temperature threshold. This is a result of the Carbon chain within fuel’s chemical composition and lead volatility (lowest temperature threshold that fuel is evaporated).

Having said that, it is important to have a robust system in monitoring the fuel within the tank and in transit distribution.

The objective on having digital being implemented in Oil Fuel Area are:

  1. Considering the chemical character of oil fuel which is volatile and flammable/combustible, the temperature has a significant effect on oil fuel volume due to those 2 chemical characters.
  2. Oil Fuel is always an interesting commodity, therefore, preventing the loss of containment of oil fuel is important. Loss of containment might cause by the failed barrier – human interface operation or equipment failure. However, in some cases, loss of containment is caused by security infringement (missed conduct by an irresponsible person(s)). Hence, that applied digital technology shall provide real-time monitoring and digital operation, to eliminate the failed barrier.
  3. Considering points #1 & #2, nowadays digital is affordable and getting advance, that allows remote monitoring & controlling, comparing to the set-up of control room operation. It helps the operation and management are having the same and real-time monitoring. With a certain degree Manual of Authority within, the operation could have been operated remotely from the current device of working device(s)/station.

This will help the organization, both operation and management understand the oil fuel usage behavior, fuel consumption load in conjunction with production target and preventing the failed barrier.


Parameter forCost-Benefit Analysis

The cost-benefit analysis is influenced by several parameters which are list below.

1.     How effective & efficient in monitoring the fuel consumption in conjunction with oil fuel losses.

2.     The accuracy of report that involved several chain processes on human interface in producing the fuel monitoring report.

3.     Understand and identified the weak point that might cause fuel losses which currently depend on the human interface operation.

4.     The balance between overhead cost and long-term accurate digital application to execute the operation.

5.     Confidence in handling the Oil fuel.

6.     Fast data analysis on understanding the fuel being store, distributed which described as fuel consumption and production result.

7.     Same data between plant/site and remote head office in real-time.

Those are several parameters that should be used and deep dive to understand further the cost-saving effect in the long-run.


Real-Time Judgement

The latest digital technology has an advanced feature, such as:

1.     Low cost compares to PLC, use the embedded system.

2.     Low electrical usage compares to PLC, balancing between power consumption for sensor and motor electric actuator (pump, valve, safety valve, etc).

3.     Less cost in cable logic connection, which substitutes by Bluetooth and Wi-Fi connection.

4.     The monitoring can be expanded beyond the control room at the site to the remote Head Office and monitor through a personal device (i.e. smartphone, tablet, laptop, or desktop).

5.     With the level of Manual Of Authority, the operation control may be extended to the senior level at the head-office (indeed, risk management shall be applied prior to extending the operation control to head office).

Having those advanced features, the management/organization shall have better baseline data for real-time judgement.

It helps organization/management have the right speed on deciding on fuel consumption used of productivity.


With Easybensin, we support our customers in seeking the opportunity to implement digital within the fuel management at site/plant and head office, for better cost optimization and real-time consumption in conjunction with productivity.

Our advice for our customers, do not consider the Oil Fuel price as the only parameter.