Food for thought: How Umpqua Dairy contributes to a sustainable future for Oregon

Umpqua Dairy is the largest independent dairy in Southern Oregon and is leading the way on sustainable business. Food processing represents a highly energy intensive industry, and after Umpqua Dairy remodelled its ammonia refrigeration system the company has reduced significant costs and attained a competitive edge in the market.

Umpqua Dairy, located in the heart of Umpqua Valley in Southern Oregon, is run and owned by the Feldkamp family. As a full-line processor, they manufacture a variety of products ranging from ice cream, to frozen yoghurt and fresh dairy products like milk, sour cream and butter. However, what makes this family-business stand out is not only their award-winning products. While Quality Checkd - a membership organisation representing 27 members and 59 plants - has presented the Dairy with several product quality awards as well as the 2013 Production Excellence Award, what is particularly noteworthy is the Dairy’s commitment to sustainability and energy saving practices.

Remodelled ammonia refrigeration system saves 176,621 kilowatt hours

Due to the growth of the business, the ammonia refrigeration system of the 76-year old company was no longer able to meet the requirements of what had become the region’s largest independent dairy. In order to save energy, increase production capacity and keep up with its competitors, drastic changes needed to be made.

An analysis made by Cascade Energy Engineering recommended Umpqua Dairy do the following to reduce the refrigeration system’s energy use and to increase capacity:

Reduce head pressure on the refrigeration systems
Install evaporator fan cycling controls to maintain temperatures with less energy
Replace the ammonia refrigeration system’s two smaller compressors with a larger and more efficient compressor
Add a condensing unit and a variable frequency drive on energy efficient motors
Install a PC-desktop control system.

The project cost $65,210 (€57, 448), qualified for $16,067 (€14,154) in Energy Trust incentives. The changes are expected to save more than $7, 500 (€6,606) in electricity costs a year and 176, 621 kilowatt hours. According to Pacific Power, Umpqua Dairy’s new energy practices will also avoid the release of 10,488 pounds of carbon dioxide a year.

Culture of sustainability

Umpqua Dairy not only minimised its environmental impact by opting for the natural refrigerant ammonia in its remodelled refrigeration system, but also committed to upholding sustainable practices elsewhere. Energy-efficient lighting and sensors turning off lights in rooms that are not occupied have helped to reduce electricity use for instance.

As well as conserving water and energy, recycling is part of the company’s manufacturing practices and the dairy’s culture in general. Also, given that the Dairy sells products beyond Oregon – such as to Washington, Arizona and California, their recent fleet upgrade to smaller trucks and use of route-tracking devices has made longer routes more efficient, thereby decreasing fuel consumption.

The Energy Trust of Oregon

It was thanks to the help of The Energy Trust of Oregon that the Dairy was able to significantly reduce energy costs and use. The Energy Trust is an independent non-profit organisation that supports customers and businesses to improve operations and generate renewable power. The Dairy also takes part in the electricity utility Pacific Power’s Blue Sky renewable energy programme. By providing services such as cash incentives and technical assistance on how to keep energy costs to the minimum, the president of Umpqua Dairy - Doug Feldkamp - highlights that the Energy Trust has “provided them with another chance to save energy, see a shorter payback and have a greater opportunity to make investments.”