New Plant Start Up

Challenges after a Plant Commissioning

In Chemical Process Industries, when we start a new chemical plant or any large-scale project, we are bound to face various challenges. Here are some common problems that can arise:

  1. Technical Challenges:
    • Equipment failures or breakdowns. This can be due to wrong process design parameters or incompatible material of construction selection.
    • Difficulty in maintaining consistent production quality. Possibly process designer has designed a inefficient unit operation, like smaller surface area of the exchanger, wrong selection of pump, insufficient stages in distillation column or limitation of heat management in reactor for the given reaction.
    • Technological upgrades or integration of new systems. This happens when we have selected a older version of control system while particular equipment local control is advance. In such cases it is very difficult to integrate or upgradation.
  2. Supply Chain Issues:
    • Delays in material delivery. If we have selected a vendor who is too much loaded or has poor infrastructure we can face delivery issues and delay in project completion. Apart from this if we don’t have a well thought procurement planning then also we are going to face delivery challenges.
    • Fluctuations in raw material costs. In project we plan everything and try to maintain the cost within capex cost. Sometimes steel, cement or chemical cost escalates which will impact heavily the projected capex cost. This can delay the further investments and impacts plant start up.
    • Supply chain disruptions due to external factors (e.g., weather, political instability). These all factors will affect the delivery of equipment and other items on construction site.
  3. Labor and Staffing Issues:
    • Difficulty in hiring skilled labor. To complete a projects we need skilled labour and this comes with a cost. If we try to control the project cost and compromise with the quality of labour this will certainly impact work quality and delay in project work completion.
    • High turnover rates or lack of employee retention. During plant construction we keep on hiring the engineers, technicians, fitters and other staff. But at that time work load is of different in nature, like supervision of plant construction, study and understanding of new processes, training, etc. So keeping employing engaged is a tough challenge, therefore many employees leave in between for some better opportunities in running plant.
    • Safety concerns and ensuring a safe working environment. In a plant under construction maintaining safety is very difficult work, as fabrication, rigging, insulation, instrumentation, electrical work is in process. Hence, there are lots of chances of accidents and to control those is a big task for a safety officer.
  4. Financial and Budgeting Problems:
    • Underestimating operational costs. When plant is mechanically completed and commissioning starts our main focus remain to run the plant only. We are least bothered about the production capacity, raw material & utility norms. This loss is the part of plant start up cost or pre-operative cost. If plant commissioning takes more time then envisaged then project completion cost will increase and we need to arrange the funds to meet the requirements.
    • Securing necessary funding or managing cash flow. For the project manager and finance controller it is a very big challenge when project is delayed and performance is not meeting with design parameters. In such situation we need additional funds to pump into the plant till all the issues are resolved and plant is running on its designed parameters (i.e., capacity, RM & Utility norms, effluent norm, product quality).
    • Variations in market demand or product pricing. For a business head it becomes a very disturbing situation, when the plant is successfully commissioned and demand is low or product prise drops. This will impact financial feasibility of the investment and increase the capex pay back period. Some times whole capex expenditure comes under huge loss to the organization if that product is ban or out of use.
  5. Regulatory and Compliance Hurdles:
    • Navigating local, state, or federal regulations. For a marketing manager to sell the product across states comes under various rules and regulation. When any rule is unfavourable is affects the product sale negatively and leads to the revenue loss.
    • Meeting environmental standards and obtaining necessary permits. If in original plant design we do not ponder over various effluent generation, their capacity and quality, it can be a big nightmare for a plant manager and site head. Because we can not discharge any effluent be it gas, liquid or solid in to the environment without treatment. Therefore, we need to install the ETP, CETP, Incinerators, Thermal Oxidizers, spray dryers, vent gas scrubbers for the treatment of various effluent streams to meet the environmental standards.
    • Adhering to industry-specific regulations. If we are running a industry then it is mandatory to abide with the rule and regulation of the land.
  6. Operational Efficiency:
    • Optimizing production processes for maximum efficiency. After plant commissioning to meet the market challenges and remain in competition we need to keep continue to work upon product cost reduction and productivity enhancement. For this purpose we need to train the employees for TPM (Total Productive Maintenance), Lean & Six Sigma.
    • Managing waste and minimizing resource consumption. Our process excellency or operational excellency team can work upon the processes to reduce, reuse and recycle schemes of the various waste. In absence of this initiative the product cost will increase and it will reduce the company profit margins.
    • Ensuring smooth coordination across departments. Because an organization is the group of various functions like operation, supply chain, Human Resource & training, Design & Projects, Business, Finance, Operational Excellence, Safety & Environment, Quality, R&D, etc. If there is poor coordination among these groups, respective group people have personal ego greater than organization benefit then it is a disaster. Any successful organization keeps growing if there is efficient communication and smooth coordination across the departments.
  7. Quality Control and Customer Expectations:
    • Ensuring that products meet quality standards consistently. Any mistake of quality control department during sample testing can create a big problem for business. The customer will reject the material and it return back to the factory. Reprocessing of the off spec or low quality product is a additional cost and simultaneously is a dent to the brand value.
    • Managing customer expectations and complaints. If quality control department is not addressing the customers complaint timely, then it is possible that we can loose the business. Also it will spread bas name for the organization.
    • Implementing feedback loops for continuous improvement. When a complaint is received, it should be logged promptly, and the urgency and impact assessed. From there, a thorough root cause analysis is carried out—often using methods like the 5 Whys or a Fishbone Diagram—to dig beyond surface symptoms and uncover the real issue. Once identified, corrective actions are taken to address the root cause directly.
    • But it doesn’t stop there. Preventive actions are just as critical. These are designed to stop the issue from recurring—not just in the affected product, but across similar systems or operations. Clear, timely communication with the customer is maintained throughout the process, sharing updates and outcomes transparently.
    • Every step is documented and reviewed, and the CAPA is only closed once effectiveness has been verified. Over time, analyzing these cases can reveal patterns that help drive continuous improvement and build stronger, more resilient processes.
    • In short, CAPA isn’t just about fixing what went wrong—it’s about learning from it, so it doesn’t happen again.
  8. Environmental Factors:
    • Weather conditions and natural disasters can significantly delay plant start-up by disrupting construction schedules, damaging infrastructure, or hindering the delivery of equipment and materials. Heavy rains, floods, storms, or extreme temperatures can halt on-site activities and pose safety risks to workers. In severe cases, natural disasters like earthquakes or cyclones can cause structural damage, requiring repairs and reassessments before commissioning can proceed. Such delays can impact project timelines, increase costs, and require contingency planning in high-risk areas.
    • Sustainability concerns and environmental impact can pose significant challenges during plant start-up, particularly in industries with high emissions, effluent discharge, or hazardous waste generation. Regulatory compliance has become more stringent, requiring detailed environmental impact assessments, pollution control systems, and waste treatment solutions to be operational from day one. Delays in obtaining environmental clearances or issues with effluent treatment plant (ETP) performance can stall commissioning activities. Additionally, communities near industrial zones are increasingly vocal about ecological risks, prompting greater scrutiny from authorities and stakeholders. Sustainable sourcing of raw materials, energy efficiency, and carbon footprint reduction must also be integrated into process design, often necessitating modifications late in the project cycle. These factors not only affect timelines and budgets but also demand a more proactive approach to environmental management, making it a critical consideration in successful and responsible plant start-up.
  9. Navigating local community relations, especially if the plant has environmental concerns
    • Especially when there are environmental concerns involved. Resistance from nearby residents—due to fears of pollution, water usage, or health impacts—can lead to protests, legal actions, or demands for additional safeguards. Gaining community trust often requires extensive engagement, transparency, and sometimes redesigning parts of the project to address public concerns. Without early and consistent communication, local opposition can escalate, prompting regulatory reviews or halts in construction, ultimately delaying commissioning and operations.

Conclusion

Problems rarely end with project initiation—they persist through commissioning and often continue even after start-up. That’s why it’s crucial to anticipate potential challenges early and develop proactive strategies and contingency plans to manage them effectively. By foreseeing issues related to design, regulations, environment, community relations, and operations, we can minimize disruptions and maintain smooth, efficient business operations. Preparedness not only reduces delays and costs but also builds resilience and ensures long-term success.

Thanks for Reading.

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