Magnitogorsk Iron & Steel Works (MMK) has successfully passed the first supervisory inspection of its energy management system, in accordance with the new version of the international standard ISO 50001:2018.

During the inspection, carried out by experts from the certification body TÜV Thüringen e.V. (Germany), no issues or discrepancies were found. The audit was successfully passed thanks to serious preparation work carried out by MMK managers and specialists, within the framework of the new energy policy approved by the Company. The policy’s strategic aim is to reduce the plant’s production energy costs. MMK implemented the requirements of the new standard, identifying and integrating risks in the energy management system into the business processes of its production units. In accordance with the programme approved by MMK’s top management, internal audits of the energy management system were conducted in MMK’s divisions – resulting in a total of 21 audits. 
TÜV Thüringen specialists noted that MMK has created the correct conditions to maintain and effectively run its energy management system. These conditions include the Company’s top management paying special attention to energy saving issues, as well as the whole team showing involvement and high levels of professionalism. 
Thanks to the implementation of energy efficiency projects in the Company’s production processes, MMK achieved energy savings of RUB 124.3 million in the first ten months of 2020. 
One of the tools for improving energy efficiency at MMK is the automated energy management platform (EMP), which is an electronic module that catalogues energy-analysis of processes and manages the implementation of energy-efficient measures and rationalisation proposals. In the first ten months of 2020, 687 energy-efficient ideas were submitted to the EMP, as a result of which 140 projects were implemented with a predicted total economic effect of RUB 74 million. 
The implementation of energy-efficient baby-capex projects constitute another area of energy efficiency improvement at MMK and the expected economic effect of these projects in 2020 will amount to RUB 74.2 million. Among the implemented projects with the greatest economic effect is the modernisation of turbine generator No.2’s flow path at the Central Power Plant with replacement stages and diaphragms, which has brought the company RUB 38.6 million. 
In 2020, MMK received the International Energy Management Insight Award in the field of energy saving and improving the energy efficiency of production in accordance with the international standard ISO 50001. The prize was awarded to MMK at Clean Energy Ministerial (CEM), the Global International Forum organised by the Energy Management Working Group (EMWG), part of the United Nations Industrial Development Organisation (UNIDO). The event was attended by experts from 25 countries. The Director of Energy at UNIDO noted that MMK’s experience shows how an energy management system can be successfully integrated into existing business systems to better manage resources, maintain the achieved savings and continuously improve energy performance. 
MMK’s continuous and consistent work to improve energy efficiency and optimise energy conservation produces significant energy savings aiding the sustainable development of the Company. Key areas for the Company in terms of energy efficiency improvement include developing its system for controlling energy use, improving the efficiency of energy use at each work station, achieving the most complete and efficient use of secondary energy resources and successfully involving every employee in efforts to reduce energy costs.