Ingersoll Rand and Federal-Mogul Shanghai Bearing Co., Ltd. recently celebrated the certification of the first Grade 1 Energy-Efficient Compressed Air Station delivered under an Energy Management Contract (EMC) model within the Tenneco Group's Asia-Pacific operations.
The recognition ceremony was held at Federal-Mogul's Shanghai manufacturing facility, bringing together representatives from the Shanghai Institute of Quality Inspection and Technical Research, Federal-Mogul, and Ingersoll Rand's Industrial Technologies team to witness this important milestone.
Project Background: Centenary Technology Meets the Green Transition
Federal-Mogul Shanghai Bearing Co., Ltd. is part of Tenneco's Powertrain business group. Built on the century-long engineering heritage of the Federal-Mogul brand, the company is now one of the core component manufacturers within the SAIC ecosystem and maintains a leading position in China's bearing industry.
As a Tier 1 supplier to global automotive and engine manufacturers including Volkswagen, General Motors, Ford, and Cummins, the company serves demanding high-load engine applications that require exceptional compressed air reliability, stability, and energy performance.
To address the customer's operational requirements, the Ingersoll Rand team conducted a comprehensive assessment of the plant's production processes and compressed air usage profile. Working closely with both production and engineering teams, the team collected and analyzed actual energy consumption data and compressed air demand patterns, ultimately implementing a Smart Integrated Energy solution under an EMC model.
A System-Level Energy Savings Breakthrough: A Significant Improvement in Efficiency Metrics
System-level Energy-saving Breakthrough: Significant Improvement in Energy Efficiency Indicators
The project was designed in full compliance with the Grade 1 requirements of GB/T 45785-2025, Energy Performance Evaluation of Compressed Air Stations.
Following an independent third-party assessment conducted by the Shanghai Institute of Quality Inspection and Technical Research, the project was officially certified as a Grade 1 Energy-Efficient Compressed Air Station operating under an EMC model.
This achievement represents a significant milestone, becoming the first compressed air station within the SAIC system to receive this distinction and establishing a benchmark energy-efficiency project for Tenneco's Powertrain business in China.
Highlights of Customized Solutions:
Upgrade Area | Before Upgrade | After Upgrade |
Core Equipment | 6 fixed-speed rotary screw units (in service 7–12 years) | 2 variable-speed units + 1 combined variable/fixed-speed unit |
Annual Electricity Cost | Baseline | Reduced by approximately 30% |
Air Supply Capacity | Maximum 120 m³/min, significant fluctuation | Controllable output of 44–110 m³/min, improved stability |
Piping System | Aging galvanized pipe with plastic lining | All-stainless-steel piping, with a design life of approximately 10 years |
Intelligent Control & Monitoring | Traditional control system | Smart cloud platform + coordinated control platform, with 24-hour intelligent management |
Measurable Energy Performance Improvements:
Energy Efficiency Improvement: Overall system energy efficiency improved by more than 29%, significantly exceeding the industry average of 15%–20%
Annual Electricity Savings: More than 1.5 million kWh
Annual Energy Cost Savings: Exceeding RMB 1 million
Annual Carbon Emissions Reduction: Approximately 1,200 tonnes of CO₂, equivalent to the annual carbon sequestration capacity of over 50 mu (3.3 hectares) of newly planted forest
Reduced O&M Costs: Annual maintenance and operating costs reduced by more than 30%
Enhanced Reliability: The optimized combination of variable-speed and fixed-speed compressors eliminates shutdown risks and ensures uninterrupted production
An Innovative EMC Model: A Win-Win Partnership
The project was delivered under an EMC model, creating a partnership framework that combines zero upfront investment, shared benefits, and controlled risk.
Under this model, Ingersoll Rand provides both the technical solution and equipment investment, while energy-saving benefits are shared according to an agreed performance-based mechanism. This approach enables customers to improve energy efficiency without capital expenditure while establishing a sustainable, long-term partnership that aligns the interests of both parties.
The successful implementation of this project further demonstrates the value of EMC as an effective pathway for industrial energy-efficiency upgrades.
Industry Recognition: Advancing a Greener Manufacturing Future
At the certification ceremony, industry experts and project leaders shared their perspectives on the project's achievements and the future direction of industrial energy efficiency, while recognizing Ingersoll Rand's technical expertise and service capabilities.
Mr. Sun Bin
Director, Shanghai Institute of Quality Inspection and Technical Research
"The new national standard marks the transition of compressed air station evaluation into the era of system-level energy efficiency. Through rigorous assessment in accordance with national standards, this project provides the automotive industry with a proven and replicable model for energy-efficiency upgrades."
Mr. Lu Xiangjun
Deputy General Manager, Federal-Mogul Shanghai Bearing Co., Ltd.
"As an important manufacturing facility within both SAIC Motor and Tenneco's Powertrain business, this project represents a flagship energy-efficiency initiative for our organization. The system has delivered excellent operating results, and its success is generating significant interest across other facilities within the group."
Ms. Ni Jiajun
Senior Manager, Industrial Technologies, Ingersoll Rand
"The customer's decision to adopt a complete Ingersoll Rand solution reflects confidence in our integrated capabilities across high-efficiency compressors, premium supporting equipment, and intelligent control technologies. This project demonstrates that smarter and more energy-efficient compressed air stations are not only achievable, but can deliver measurable business value."
Long-Term Benefits, Long-Term Partnership
✅ Lower Energy Costs: Annual electricity cost savings exceed RMB 1 million, with no upfront investment required under the EMC model.
✅ Improved Operational Reliability: The optimized variable-speed and fixed-speed compressor configuration minimizes shutdown risks and supports continuous production.
✅ Reduced Maintenance Costs: Annual maintenance expenses have been reduced by more than 30%, delivering clear lifecycle cost advantages.
✅ Carbon Reduction: Approximately 1,200 tonnes of CO₂ emissions are avoided annually, supporting the company's sustainability and ESG objectives.
✅ Supply Reliability: A fully stainless-steel piping network helps ensure stable and reliable system operation for the next 8-10 years.
Today, the compressed air system is operating in line with design expectations and delivering the targeted energy savings. In addition to providing a stable and reliable utility supply for Federal-Mogul's production operations, the project has established a strong foundation for future plant-wide energy optimization initiatives.
A Benchmark Project with Scalable Impact
The certification of this project represents a significant milestone for both Tenneco and SAIC Motor in compressed air energy management. It also signals the emergence of a new integrated approach that combines:
EMC + System-Level Energy Efficiency + Intelligent Digital Control
By integrating these elements into a single solution, the project demonstrates Ingersoll Rand's leadership in sustainable industrial energy solutions and establishes a benchmark model for low-carbon manufacturing transformation.
Built upon a proven and repeatable implementation framework, the project provides manufacturers with a practical roadmap for achieving measurable energy savings and sustainability improvements. Since entering operation, it has attracted strong interest from multiple enterprises within the SAIC ecosystem, further amplifying its demonstration value.
Looking ahead, Ingersoll Rand will continue to help manufacturers accelerate their sustainability journey through customized solutions, advanced technologies, and full-lifecycle service support. Together with our customers, we will continue creating new benchmarks for energy efficiency, operational excellence, and green manufacturing.

