There are many reasons to produce Nitrogen on-site instead of purchasing it from an outside vendor. Benefits of nitrogen generation include: operation without interruption from changing cylinders, fixed and substantially lower costs (50% to 300% over bulk liquid, dewars, and cylinders), ease of install, quality and purity, and environmental sustainability.
According to Parker Balston, “Gas industry sources indicate that an air separation plant uses 1976 kJ of electricity per kilogram of nitrogen at 99.9%. Generation of 99.9% nitrogen in house using a PSA system is 1420 kJ. That means up to 28% fewer greenhouse gases are created by the generation of electricity with a typical nitrogen generator. At a purity of 98%, the energy required for in- house nitrogen drops to 796 kJ/kg. That means that in-house generation creates 62% fewer greenhouse gases from electrical power at that purity.”
Nitrogen is used in several industries and in applications where is the reduction of oxygen is necessary: