Benchmarking Ensures Energy Management Programs Remain a Priority
To implement an effective corporate energy management system, businesses need a combination of senior management support, good data, clear targets and technical, managerial and economic resources, as well as consistent implementation over decades. Source: Environmental Leader
GSA Pushes For Reforms to Green Building Certification
The green building industry has been besieged the last few years with stories about buildings not performing as anticipated. It appears the federal government has taken notice and is pushing for reforms to green building certification. Source: GreenBiz.com
Will the U.S. Generate Too Much Electricity?
Yes, says Vinod Khosla. China isn’t winning green tech race either, he adds. Source: Greentech Media
EPA Green Power Partnership
The U.S. Environmental Protection Agency (EPA) has named the 50 green power partners using the most renewable electricity. Source: Sustainable Facility
DOE to Offer LED Lighting Workshop in Dallas
The U.S. Department of Energy's Solid-State Lighting program is sponsoring a free workshop on light-emitting diodes (LED) lighting in Dallas on Sunday, Aug. 15. Source: Electric Energy Online
Study Confirms Accuracy of Smart Meters
A new study confirms that the OpenWay Itron smart meters deployed in Texas are much more accurate than the analog meters they replaced. Source: Smart Meters
Image by kevinzhengli
Five Benefits of Data Center Energy Management
The amount of money wasted each year on idling servers equals the cost of the Apollo space program. But a number of simple strategies can help get your server load under control and start your company saving energy and money. (GreenerComputing)
Google Enters Wholesale Energy Procurement Market
Google has entered the wholesale energy market in a big way by signing a 20 year-deal to buy power from a NextEra Energy wind farm. (SmartMeters)
U.S. Government Moves to Implement Cool Roofs
The Department of Energy is embarking on initiatives to install cool roofs on its buildings whenever practical and is urging other federal agencies and commercial entities to do the same.
GE Offers $200m for a Smart Energy Idea
GE is offering a $200 million dare to startup entrepreneurs, technology pros and other innovative thinkers: Find a way to “reinvent how energy is produced, distributed and consumed.” (Consumer Energy Report)
Can’t Stand the Heat? Check Your Kitchen Ventilation System
Restaurants and other food service establishments are among the highest commercial consumers of energy per square foot. Take steps to improve the energy efficiency and performance of your CKV systems. (Prenova Energy Insider)
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Photo courtesy of NeoSpire
The Feng Shui of Building Management
Great tips on saving power from the poster child of efficiency
How 'Energy Sleuths' Pursue the Ideal Green Building
The practice of commissioning, in which an engineer monitors the efficiency of a structure from its design through its initial operation, may be the most effective strategy for reducing long-term energy usage, costs and greenhouse gas emissions from buildings. So why is it so seldom used?
DOE Connects High-Efficiency Window Suppliers with Buyers
The U.S. Department of Energy (DOE) has launched the Highly-Insulating R-5 Windows and Low-e Storm Windows Volume Purchase Program, as part of a multi-year integrated strategy to help drive the use of high-efficiency windows.
Most Large Companies Plan to Increase Spending On Climate
Seventy percent of firms with revenue of $1 billion or more say they plan to increase spending on climate change initiatives in the next two years, a global survey reported.
EIA: Renewable Energy to Grow Rapidly Over the Next 28 Years
Renewable energy is expected to be the fastest-growing energy source through 2035, according to projections from DOE's Energy Information Administration (EIA). But coal power and natural gas consumption will also continue to rise, causing a 43% increase in energy-related carbon dioxide emissions.
Photo by BeTanabatas
The approaches to financing energy-efficiency projects are as varied as the need. Energy services performance contracts guarantee savings will meet or exceed annual payments to cover the project costs. Lease-purchase agreements are also popular. Some states offer tax credits and other incentives to companies that implement more efficient energy systems.
Using an Energy Performance Contract
Energy services companies (ESCOs) will design, install, finance, and manage energy-efficient systems in a customer's facility using energy savings they produce from new efficiencies to pay for the cost of the project. They enter into a performance contract with a company that states that the ESCO will guarantee the amount of savings the facility will achieve. These contracts typically run from four to ten years. The length of time is dependent on the project's complexity, the project type, and the savings payback period.
A baseline consumption profile is determined using past energy bills, and then savings are calculated using the actual energy bills received throughout the contract period. Usually both parties agree to monitor the savings on a regular basis-that way midcourse adjustments can be made and performance improved.
Performance contract projects must be of sufficient size, so that the savings generated by the project cover its costs over the length of time specified in the contract. Aggregating smaller projects into a single contract is a way to create the critical mass necessary to make performance contracting a viable option.
Lease-Purchase
Commercial leasing corporations, banks, investment brokers, financing companies or even the equipment manufacturers themselves will offer lease-purchase agreements as a means of reducing the costs of energy-efficient equipment. These leases are designed so that the energy savings actually pay the financing charges. Leases in which the lessee assumes ownership typically range from 5 to 10 years.
Capital leases have many of the same characteristics as asset ownership. Capital leases are long-term, no-cancel agreements in which the lessee assumes responsibility for maintenance, insurance, and taxes.
An operating lease, on the other hand, allows the lessee to use the asset, but does not include the rights and responsibilities of ownership. Operating leases are attractive to companies that regularly replace or upgrade equipment.
State Tax Incentives
Not all states have incentives, but some do. One way to learn if your state has special tax or other incentives for commercial energy-efficiency projects is to visit the Database of State Incentives for Renewable Energy (DSIRE).
Federal Incentives
The Energy Policy Act of 2005 Commercial Building Tax Deduction (§179D IRS Code) has been extended to 2013. You can receive a tax credit up to $1.80 per square foot in three different end use applications:
- Building envelope ($0.60/ft2)
- Heating, cooling, ventilation ($0.60/ft2)
- Interior lighting ($0.60/ft2)
The tax credit is available to owners or tenants (or designers, in the case of government-owned buildings) of new or existing commercial buildings. In order to qualify, you must save at least 50% of the energy cost of a building that meets ASHRAE Standard 90.1-2001. There are verification requirements involving software and certification requirements from a third-party.
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Article used with permission of Questline, Inc. Photo by Photos8.com
ENERGY STAR® is a joint program of the U.S. Environmental Protection Agency and the U.S. Department of Energy helping to save money and protect the environment through energy-efficient products and practices. In addition to establishing energy-efficiency standards for products, ENERGY STAR uses a Home Energy Rating System (HERS) for qualification of energy-efficient houses, and offers energy management and benchmarking tools for commercial and industrial businesses.
For about a dozen business sectors (such as healthcare, hospitality, and retail), ENERGY STAR offers three major resource sections: What You Can Do (offers tracking, benchmarking, and more), What Others Are Doing (list of partners, testimonials, and so forth), and Success Stories (sector specific case studies). The organization also offers a number of useful tools for financial analysis of energy-efficiency investments.
A downloadable Building Upgrade Value Calculator (BUVC), developed by the U.S. EPA, is a product of the partnership between ENERGY STAR, BOMA International, and the BOMA Foundation. This calculator was developed as part of BOMA's Energy-Efficiency Program (BEEP), a series of courses designed to help commercial real estate practitioners improve their buildings' energy-efficiency performance. Required inputs are limited to general characteristics of the building, plus information on the proposed investments in energy-efficiency upgrades. ENERGY STAR's Cash Flow Opportunity calculator addresses three financial investment questions:
- What is the anticipated savings that can finance energy-efficiency investments?
- Should we invest now or wait?
- What is the potential financial loss from waiting to invest?
ENERGY STAR's Financial Value Calculator uses the prevailing price/earnings ratio of company financials to estimate the market value of increased earnings that can result from increased energy efficiency.
Efficient management of resources requires effective data management. ENERGY STAR's secure online Portfolio Manager helps commercial and industrial facility managers streamline their portfolio's energy and water data, and track a number of key consumption, performance, and cost factors portfolio-wide:
- Track multiple energy and water meters for each facility
- Customize meter names and key information
- Benchmark your facilities relative to their past performance
- View percent improvement in weather-normalized source energy
- Monitor energy and water costs
- Share your building data with others inside or outside of your organization
EPA's building energy performance rating system, based on source energy, accounts for the impact of weather variations, as well as key physical and operating characteristics of each building. Buildings rated 75 or greater may qualify for the ENERGY STAR. Based on the information you entered about your building, such as its size, location, number of occupants, number of PCs, and so forth, the rating system estimates how much energy the building would use if it were the best performing, the worst performing, and every level in between. The system then compares the actual energy data you entered to the estimate to determine where your building ranks relative to its peers.
To estimate how much energy your building would use at each level of performance, EPA conducts statistical analysis on the data gathered by the Department of Energy's Energy Information Administration during its quadrennial Commercial Building Energy Consumption Survey (CBECS). The rating system's 1-100 scale allows everyone to quickly understand how a building is performing. A rating of 50 indicates average energy performance, while a rating of 75 or better indicates top performance.
The top energy management stories from last week . . .
12.18.2009 - Keep Your Eye on DME
Di-methyl-ether (DME) may be the best hope yet for a sustainable alternative to gasoline and diesel fuel. So why isn't it being explored in North America? [read more]
12.18.2009 - Nuclear Industry Wish List
To meet the current goals for greenhouse gas emissions, the U.S. would have to build 187 new nuclear plants by 2050. But the industry will settle for 25 to 30 by 2030. [read more]
12.17.2009 - Three Solutions for the Supply Side of the Energy Efficiency Equation
While serious discussion has taken place at the U.N. climate change conference in Copenhagen, the lack of any concrete policy so far shouldn't stop us from making real progress when it comes to providing cleaner, smarter, more efficient energy options. [read more]
12.17.2009 - Is Green Energy Our New Plastics Industry?
If The Graduate were written today, Mr. McGuire's career tip to Benjamin probably would have been "green," rather than "plastics." But what does this really mean and how will it change the world? [read more]
12.16.2009 - Why Business Should Care About Climate Negotiations
Business should be more engaged in international climate talks, writes Truman Semans. Companies with high carbon emissions have a stake in negotiations. [read more]
12.16.2009 - EIA: U.S. Energy-Related Carbon Dioxide Emissions to Grow 8.7% by 2030
In the absence of new policies, the U.S. emissions of carbon dioxide from energy use will increase from 5,814 million metric tons in 2008 to 6,320 million metric tons in 2035, according to the early release of the "Annual Energy Outlook 2010" from DOE's Energy Information Administration (EIA). [read more]
12.15.2009 - ExxonMobil Buys in to Natural Gas Production
ExxonMobil moved Monday to replenish its dwindling domestic energy resources and dive into the fast-growing and environmentally palatable market for natural gas by acquiring the USA's largest gas producer. [read more]
12.14.2009 - Chu's $350 Million Clean-tech Offer
To demonstrate a commitment to combating climate change at the Copenhagen summit, Energy Secretary Stephen Chu has promised to establish a $350 million fund for innovations in clean-energy technology. [read more]
12.14.2009 - Smart Meters: the Next Boom
No matter where you are in the world, the smart meter will one day become common place in all homes and business. An insurrection has begun that will revolutionize the way we all use and consume energy. [read more]
Photo by huntz
The top energy management news from last week . . .
12.04.2009 - Energy Management Has Tax Advantages in Philly
Philadelphia has become the first city in the nation to provide a pilot tax incentive for certified sustainable businesses, according to True/Slant, and more cities may follow. [read more]
12.03.2009 - Kohl's Aims for Carbon Neutrality by Close of 2010
Kohl's Department Stores has set its sights for its U.S. stores, distribution centers and corporate offices to operate with net-zero greenhouse gas emissions by the close of 2010. [read more]
12.03.2009 - EPA Lauds Coors, Kodak, Gap, 5 Others for GHG Reductions
The U.S. Environmental Protection Agency is recognizing eight companies for meeting their long-term greenhouse gas (GHG) reduction goals as part of the EPA's Climate Leaders program. [read more]
12.02.2009 - DOE Launches Save Energy Now LEADER Program with 32 Companies
DOE has begun the Save Energy Now LEADER Program, with 32 U.S. industrial firms signing a voluntary pledge to reduce energy intensity by 25% over the next decade. [read more]
12.02.2009 - It's the Off-Grid Data Center
IBM and Syracuse University plan to build a 6,000 square foot data center that runs on gas turbines and cools with waste heat. [read more]
12.01.2009 - Fresh & Easy Uses 32% Less Energy Than Supermarket Average
When compared to energy used at other supermarkets, Fresh & Easy is using about 32 percent less energy per square foot across its 130 locations. [read more]
12.02.2009 - Drowning in Oil: U.S. Refiners Face Tough Road Ahead
There is an oil glut in the United States and the fourth quarter for U.S. refiners will likely be as tough as the last. [read more]
12.01.2009 - U.S. Natural Gas Production Dip Does Little to Dent Glut
Natural gas production in the United States has finally dipped - and the news has come not a moment too soon for energy companies that have grappled with low prices for months. [read more]
11.30.2009 - Three Gallons per Mile
Ever wondered how fuel efficient commercial airlines are? A modern 757 burns about three gallons per mile, meaning it's more efficient than many hybrids. [read more]
11.29.2009 - Study Finds LED Lighting Delivers Substantial Energy Savings
While compact fluorescent light bulbs are more energy-efficient than conventional light bulbs, the real breakthrough is in the next generation of lighting: LED. [read more]
Photo by Tony the Misfit
Energy-efficiency improvements should enhance the security and safety of the building occupants. Follow the tips below to start reducing your building's energy use:
- Recheck all Energy Management System "points" to verify that they are still functioning correctly.
- Establish a reward program for employees having the best conservation ideas.
- Monitor service doors at each building entrance-ensure that they are kept closed.
- Examine Preventive Maintenance, such as filter changing and cleaning coils.
- Place data on light switches indicating dollars wasted by leaving lights on.
- Zone parking lot lights for better control.
- Review the feasibility of automatic doors.
- Investigate variable speed drives for fans and pumps.
- Consider the use of solar film on windows.
- Use laptop computers for controlling the Energy Management System.
- Monitor food service HVAC to verify that CFM being exhausted is at least 85% of CFM delivered to space.
- Use diesel fuel for steam-cleaning machines.
- Shut off power to electric vending machines when building is closed.
- Use toilet dams to conserve water.
- Caulk and seal cracks, when necessary.
- Monitor after-hours space use and have HVAC personnel review plans and specs to avoid unnecessary running of central plant for a few rooms.
- Use ceiling fans, when possible.
- Reduce parking lot lighting to 25% after closing.
- Compare utility bills to Energy Management System data.
- Turn personal computers off or have them revert to "sleep mode" when not in use, especially when the building is closed.
- Include energy items when setting up employee evaluation forms.
- Program into the Energy Management System holiday hours and special building events.
- Turn-off "evening" lights during the day that are at/or near skylights.
- Control each building's demand using the Energy Management System.
- Use portable lights for evening cleaning instead of having on all lights.
- Setup a form for maintenance personnel to do self-utility checks.
- Ask maintenance personnel to survey each other in order to lend an "independent eye" and perhaps make constructive suggestions.
- Properly maintain fountains.
- Use timers on bus block heater circuits.
- Date lamps so that short life can be documented, leading to possible rebates from lamp suppliers.
- Properly size HVAC units for spaces to match load requirements.
- Check room thermostats; make sure they are calibrated and levelly installed.
- Turn off marquee/outdoor signs during the night, such as from midnight to dawn.
- Bill for energy used during commercially sponsored events.
- Turn off coffee machines after lunch.
- Turn off display cases at night.
- Turn off emergency lights during the day.
- Suggest that employees monitor and turn-off lighting in unoccupied building spaces.
- Recheck Energy Management System's start and stop times.
- Consider a ducted air return system.
- Turn the chiller off in water drinking fountains during certain times of year.
- Provide locking time-clock thermostats in rooms.
- Use time delay light switches installed in remote areas, such as maintenance closets.
- Control use of lawn automatic sprinkler systems during inclement weather and winter season.
- Investigate possibility of having your water and sewer company not charge sewer charges for water used for irrigation and cooling tower use.
- Conduct water audits to check for leaking and running toilets.
- Verify that decorative lights have definite on/off schedules.
- Review feasibility of installing photoelectric cells on parking lot lights.
- Review Preventive Maintenance Program to improve HVAC efficiencies.
- Update management training for efficiency in energy control.
- Include in the design of new additions or remodels separate circuits for common areas and offices for better energy control.
- Check economizer set points.
- "Lock out" heat after winter is over to prevent unwanted heating costs during the summer air conditioning season.
- Keep skylights clean in winter.
- Use low-E glass on skylights or "smart" glass.
- Shift cleaning and cooling usage to off-peak rates.
- Check water meters at night to see how much is used. Track down the usage.
- Check electrical meters at night to see how much is used. Track down the usage.
- Install occupant sensors in staff areas, conference rooms, and bathrooms.
- Sub-cool buildings during off-peak hours using outside air only.
- Install timers on water heaters.
- Use an electronic thermostat for cooling towers.
- Separate decorative lights from general lights.
- Turn off decorative lighting at closing.
- Post "KEEP DOORS CLOSED" signs in service corridors.
- Turn off exhaust fans in unoccupied spaces.
- Do an Energy Audit walk-through at night.
- Install night setback thermostats on supplemental HVAC units.
- Calibrate temperature sensors annually.
- Use emergency generator to get a rebate on demand charges.
- Start exhaust systems to match opening times.
- Use lower wattage halogen or compact fluorescent lamps to replace incandescent.
- "Tweak and Tune" HVAC controls.
- Use lower water usage fixtures.
- Add rain sensors to irrigation systems.
- Properly aim nozzles in irrigation systems.
- Use low water usage plants where appropriate.
- Use mulch to reduce water quantities.
- Investigate an Energy Management System if none is installed.
- Contact your mechanical, electrical, and lighting contractors to solicit energy ideas.
- Check the irrigation system itself, as they are prone to leaks developing post-installation from tree roots, ground settlement, or construction.
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Photo by Will Foster Photography
Permission to use this article was granted by Tech Resources, Inc.
11.06.2009 - IECC Building Code Recommendations Add Up to 30% in Energy Efficiency Gains
The development committee of the International Energy Conservation Code (IECC) has recommended the IECC adopt new building codes that would result in 30 percent in energy efficiency gains for commercial and residential buildings. [read more]
11.05.2009 - Wal-Mart Adding LEDs to 650 Stores
Megaretailer Wal-Mart Stores Inc. plans to use LED lights inside 650 new and renovated stores. [read more]
11.04.2009 - U.S. Cap-and-Trade Creates Winners and Losers among Largest Emitters
Under the Kerry-Boxer cap-and-trade bill, ExxonMobil would face an annual charge of $5.9 billion to purchase carbon allowances, while electricity giants like Exelon and Pacific Gas and Electric (PG&E) would emerge as financial winners. [read more]
11.04.2009 - Kohl's Greens Up Its Image, and the Timing Couldn't Be Better
Kohl's took the top spot among retailers in the United States Environmental Protection Agency's Green Power Partnership quarterly rankings of biggest sustainable power purchasers. [read more]
11.03.2009 - Why Choose a Geothermal Heating System?
Geothermal heating and cooling is a promising option for those looking into green home renovations, writes blogger Alexandra Marks. Energy costs can be up to 70% lower with a geothermal instead of fossil-fuel system. [read more]
11.02.2009 - Better Buildings: A Massive Opportunity Disguised as a Meltdown
Innovation opportunities within Green Buildings have never been better - in fact, the market meltdown is a springboard for innovation. [read more]
11.01.2009 - Businesses, Governments Make Green Strategies a Priority
Businesses, officials and planners in the Dallas area are taking steps to reduce their carbon footprint. A new building code in Dallas is expected to reduce power and water consumption. [read more]
11.01.2009 - Chicago Tower Looks to Go Green
A rooftop garden on Chicago's Willis Tower is a key part of an effort to reduce the size of the building's carbon footprint. Designed by architect Sara Beardsley, an experimental green roof on the building's 90th floor is aimed at lowering the building's energy bill. [read more]
Photo by Ryan-o
For many companies, developing an energy management strategy can be a complex, and at times confusing, task. Simply getting started is often the hardest part. But energy management doesn't have to be difficult. Actually, it's a lot like driving a car - something most of us do every day.
To make sense of this analogy, you need to understand the key components of your electric bill. Depending on the supplier, you may see several different charges. An energy management plan specifically targets two of these: Consumption and Demand.
Consumption is the total amount of energy you use over time, measured in kilowatt-hours or kWh. Demand represents the maximum amount of energy your facility requires at any given moment, measured in kW. For instance, a 2 kW heater running for five hours consumes 10 kWh, but only demands 2 kW.
How is any of this like driving a car? It's simple . . .
Driving less
Think of electricity the same way you think about gasoline. When fuel prices reach a certain point, people generally become more conscious of their driving habits. We look for ways to drive less, like combining multiple stops into a single trip or carpooling. From an energy management standpoint, this is the same as turning off lights when they're not needed or changing thermostat setpoints. These are ways to reduce consumption. An effective energy management strategy will include corporate standards for temperature settings and lighting schedules.
Driving smart
The amount of driving someone does can only be reduced so much. At some point, it becomes really hard to drive any less. You have to go to work. You have to take the kids to soccer practice. You have to buy groceries. Even so, it's still possible to save gas by driving more intelligently. Like not jamming down the accelerator when the light turns green, and staying under the speed limit. Similarly, you can control energy demand by changing the way you operate equipment.
Don't run everything at once. Try to spread it out. Retailers that have a baler or compactor, for instance, should avoid using it during store hours. If possible, wait until after the store closes and some of the floor lights have been turned off. Also consider policies prohibiting the use of certain electronic devices - such as fans, heaters, and desk lamps - that unnecessarily increase demand.
Driving a hybrid
Everyone knows that owning a hybrid vehicle is a great way to save on fuel. Buying a car that gets 50 miles per gallon is obviously better than driving an old clunker. In terms of energy management, this is the same as upgrading to more energy efficient equipment. Energy-efficient fluorescent lighting, for instance, can save 20-30% of the wattage used by standard fluorescents and lasts just as long. When combined with electronic ballasts and reflectors, energy-efficient fluorescents can reduce lighting-related energy costs by up to 70%.* The great thing about this approach is that it can reduce both energy demand and energy consumption.
How you manage energy for a company isn't that different from how you manage the fuel consumption in your car. It's about using less energy, using energy wisely, and investing in energy efficient technology. So the next time your organization is discussing its energy management strategy, you might just consider taking a drive.
*source: www.questline.com
Photo by jiazi