Abstract:The electricity consumption of mining enterprises accounts for a large proportion of the production cost, which is also the place with the most potential. With the requirement of high quality and leap forward development put forward by the government, it is an important way to reduce the cost of electricity consumption and improve the economic efficiency. Therefore, we have done a lot of practical and effective experimental work in energy saving and consumption reduction, and achieved remarkable results. This paper introduces the composition principle,advantages and disadvantages of the rare earth permanent magnet motor, as well as the data obtained through the specific production practice,and makes a comparative analysis of the economic benefits before and after the test. It shows that the rare earth permanent magnet motor is more energy-saving than the ordinary asynchronous motor, and it is recommended to be promotion and application.