Rising nitrogen gas prices are impacting many industries. But what if you could take control of your gas costs instead of constantly reacting to price increases? On-site nitrogen generation offers a predictable, energy-efficient, and cost-effective alternative to fluctuating gas prices.
See how optimizing your nitrogen production can reduce costs and improve operational reliability.
The problem: Rising and unpredictable nitrogen gas prices
Many industries — including manufacturing and food processing — face challenges due to volatile nitrogen gas prices. These unpredictable costs put pressure on operational budgets and complicate long-term planning.
Why are nitrogen gas prices so high?
Nitrogen prices fluctuate because of market volatility, supply chain disruptions, and rising transportation costs. This unpredictability can cause significant budget overruns and production delays when relying on bulk gas deliveries.
The hidden costs of industrial nitrogen supply
- Transportation fees
- Cylinder rental charges
- Downtime during tank replacements
- Safety risks from handling heavy gas cylinders
Purchasing nitrogen gas in bulk can seem economical at first glance, but it often comes with hidden costs that add up over time. In addition, the gas company’s strict contracts can be hard to renegotiate, leaving businesses stuck paying high prices.
The Solution: On-site Nitrogen Generation
What is on-site nitrogen generation?
On-site nitrogen generation involves producing nitrogen directly at your facility using specialized equipment. Two common methods include PSA (Pressure Swing Adsorption) and membrane technology, both of which allow for continuous, on-demand nitrogen production without the need for cylinder delivery.
How does on-site generation save money?
By generating nitrogen on-site, businesses can eliminate rental and delivery fees, reduce downtime, and control the gas’s purity level. You only pay for the nitrogen purity you need, rather than overpaying for unnecessarily high-purity nitrogen when lower grades are sufficient. Additionally, on-site generation reduces safety risks by minimizing the need to handle high-pressure cylinders.
Atlas Copco’s patented Variable Cycle Saver (VCS) optimizes the PSA cycle to match nitrogen production precisely with your demand — whether it’s full capacity or fluctuating shifts. This means:
No wasted energy
No unnecessary air consumption
Up to 50% savings on energy costs
For example, in a beverage factory with varying production shifts and seasonal changes, the VCS adjusts nitrogen output dynamically — preventing overproduction and saving energy during low-demand periods and holidays. This technology also adapts to seasonal temperature changes, ensuring optimal performance year-round.
Benefits of on-site nitrogen generation
On-site nitrogen generation offers several strategic benefits that can help businesses seeking cost control and operational efficiency. On-site nitrogen generation offers five key advantages, summarized in the P.R.I.C.E. model below.
- Purity control
- Reduce wastage
- Increase safety
- Cost savings
- Environment
Considering oxygen prices and on-site oxygen generation
While nitrogen gas costs can be significant, oxygen prices are also rising, affecting industries such as manufacturing, welding, and medical applications. On-site oxygen generation offers similar advantages to nitrogen generation, such as cost savings, reduced downtime, and increased safety. Producing oxygen on-site ensures a continuous, reliable supply without the challenges of cylinder replacement or handling high-pressure gas containers.
Start saving on industrial gas today
Switching to on-site gas generation, whether nitrogen or oxygen, can help you stabilize your gas costs and reduce operational risks. To learn more, contact an Atlas Copco expert on the P.R.I.C.E. benefits of on-site nitrogen generation and see how your business can save money and improve efficiency, or better yet, explore our TONS page for solutions tailored to your needs.
