On-site nitrogen generation may require an initial investment in the equipment, but it’s a method that can save you money in the long run. Generating your supply rather than purchasing from a third-party supplier can provide significant advantages.
There are several considerations to make when it comes to choosing the right nitrogen generator for your facility. While there is an up-front cost to this approach, the savings in the long run are significant.
The Cost Of A Nitrogen Generator
Nitrogen generators can cost anywhere from $5,000 to $30,000, depending on your needs. It’s important to understand your current usage before you decide on a generator. How quickly you see a return on this investment will depend on the size of your operation, and how much nitrogen you use. That said, a generator can typically pay for itself within two years if it’s being used continuously.
Below are three ways that on-site nitrogen generation can save your business money.
Eliminate Transportation Fees
Nitrogen costs can vary depending on how it is supplied, but it typically costs between $2.50 and $5 CCF or more. This depends on your company’s location and how far it would need to be trucked. An on-site generator reduces that cost to somewhere between $0.15 – $0.30 CCF. That’s an 88% savings or more.
You also eliminate the need to buy in bulk and produce only what you need.
Nitrogen prices fluctuate with the market and supply. When you take charge of your nitrogen production, you benefit by adding more stability into the process. This will protect your business from sudden cost increases or supply shortages.
Nitrogen production systems do require electricity to operate. But when you produce your own, you are reducing your impact on the environment and lowering energy consumption. All of this will help you to save money on your operational costs.
Benefit From Producing Your Own Nitrogen
When you produce your nitrogen at your facility, you’ll quickly start to save money and resources. The friendly technicians at Compressor Services are experienced with nitrogen generators, sales, and installation. You can contact us today to learn more about nitrogen production in your facility!