Energy Savings: Not As Easy As It LooksEnergy Savings: Not As Easy As It Looks

You must account for growth and expansion in the business but exercise the wisdom of a snake when it comes to taxes, rebates, grants and incentives because there is no free meal.

We started implementing energy improvements in 2001 and continued through 2009. Our energy consumption is miniscule compared to any large enterprise. Our investments for the improvements net a near term after tax (incentives) return (<7 years) because our rates increased 15% in 2008 and again 2009 this year (2010) by another 12.3%. we also expect consumption to go up slightly 1,360-1,450 kwh per month due the changes network. 2009, only energy projects engaged were swapping out five old lights for new leds replacing four windows with three-paned high efficiency ones that maxed group tax deduction year. then, state of maryland sent me a notice (1099-g) grant money as "tax incentive" to install a Solar Hot Water System.

Phillips offers an online evaluation tool for your business or enterprise--A Simple Switch. It took only a few minutes once I had the required information. Here are our results: Annual energy costs for your facility are: 0.71 per ft². Annual energy costs for a new, energy efficient office is approximately: 1.30 per ft². For most facilities, it is possible to achieve this level by implementing commercially available energy efficient technologies. Your energy costs are less than the industry average, but there are always opportunities for you to save more. (Opportunities to spend more)

The Phillips site provided a list of potential energy savings projects. Now by the Phillips assessment, our costs are less than the industry average--and our costs are less than newer buildings by design that incorporate new energy saving technologies. 2010 will be the year that should level out as to what our new energy saving plateau will look like. Our end goal was to reach 1,000 KWH monthly. This goal minimizes the size and investment of building our own power plant. Four months our consumption did hit below 1,000 KWH. Reviewing what Phillips suggested to potentially save another $578 annually, are ideas that we've already implemented, scheduled or canned.

We have planned:

(End of life)

--A phased in replacement of windows over the next three years, --Within five years, pump replacement with high efficiency continuous pressure pumps --Ten years, replacement of existing heating system (Unknown replacement)

(Capital Improvements) --Improved roof (ceiling) insulation with radiant barrier, --Investigate use of radiant thermal heat

With the current energy tax credits and using them on a planned approach still makes sense. I can't say how or even if we can reach our ambitious energy goal (1,000 KWH) and we're definitely hanging back on installing our own power plant until the price is right. Expert predictions pegged 2010 as the year to buy and I think because of the economic conditions this may set back those predictions to 2015 simply due to contraction of spending across the economy. Delivered prices for any alternative energy solution must come down, and they are dropping. Our mean electric savings is $71 monthly. With the next rate increase that is generally predicted, our mean electric savings will accelerate to $110 monthly (without the improvements). What we don't know is the effect that pending legislation, legislation that was put into effect during the present administration and coming market based electricity pricing will have. However, experts were right in that my rate of return would accelerate over the years and even before the life cycle of the key capital improvements would end. So you know, these improvements and ROI do not include the cost of maintenance or repairs, 10% of system cost for AE (Solar thermal, Solar PV, Wind, Geothermal) is a starting point.

I should be happy knowing that we're doing better or as good as new green buildings...on average. Then, I will add that we may yet get lucky and pull a rabbit out of our energy hat. Again, proof is in the proverbial pudding to see whether or not you are making ground by capturing the return on your investment. Added to this is the same caution I've made before, to not replace components before the end of their life cycle unless you have compelling cost or service affecting reasons to do so. These maneuvers are tricky and the tax timing on round one I failed but round two we gained and round three the State of Maryland won but we did gain an advantage on the Federal side.

Efficiency, performance and cost can no longer be ignored when it comes to energy. Rates for energy have gone up historically and faster than the past and remain volatile. I do know from the sale of our last building that we did get a higher return mainly due to the investments we made to reduce the energy footprint and the buyers specifically wanted to see (proof) the past utility bills. Of course I understand our scale isn't enterprise level nor are the costs, investments, savings and effort. What is relevant is the methodology and what we've done isn't anything out of the ordinary for any company to put in place. A key difference may be that I view the capital improvements as investments and remain confident that the return will far outweigh the costs when we sell again. Still, energy savings is not as easy or simple as it looks and you must account for growth and expansion in the business but exercise the wisdom of a snake when it comes to taxes, rebates, grants and incentives because there is no free meal.You must account for growth and expansion in the business but exercise the wisdom of a snake when it comes to taxes, rebates, grants and incentives because there is no free meal.

Phillips offers an online evaluation tool for your business or enterprise--A Simple Switch. It took only a few minutes once I had the required information. Here are our results: Annual energy costs for your facility are: 0.71 per ft². Annual energy costs for a new, energy efficient office is approximately: 1.30 per ft². For most facilities, it is possible to achieve this level by implementing commercially available energy efficient technologies. Your energy costs are less than the industry average, but there are always opportunities for you to save more. (Opportunities to spend more)

The Phillips site provided a list of potential energy savings projects. Now by the Phillips assessment, our costs are less than the industry average--and our costs are less than newer buildings by design that incorporate new energy saving technologies. 2010 will be the year that should level out as to what our new energy saving plateau will look like. Our end goal was to reach 1,000 KWH monthly. This goal minimizes the size and investment of building our own power plant. Four months our consumption did hit below 1,000 KWH. Reviewing what Phillips suggested to potentially save another $578 annually, are ideas that we've already implemented, scheduled or canned.

We have planned:

(End of life)

--A phased in replacement of windows over the next three years, --Within five years, pump replacement with high efficiency continuous pressure pumps --Ten years, replacement of existing heating system (Unknown replacement)

(Capital Improvements) --Improved roof (ceiling) insulation with radiant barrier, --Investigate use of radiant thermal heat

With the current energy tax credits and using them on a planned approach still makes sense. I can't say how or even if we can reach our ambitious energy goal (1,000 KWH) and we're definitely hanging back on installing our own power plant until the price is right. Expert predictions pegged 2010 as the year to buy and I think because of the economic conditions this may set back those predictions to 2015 simply due to contraction of spending across the economy. Delivered prices for any alternative energy solution must come down, and they are dropping. Our mean electric savings is $71 monthly. With the next rate increase that is generally predicted, our mean electric savings will accelerate to $110 monthly (without the improvements). What we don't know is the effect that pending legislation, legislation that was put into effect during the present administration and coming market based electricity pricing will have. However, experts were right in that my rate of return would accelerate over the years and even before the life cycle of the key capital improvements would end. So you know, these improvements and ROI do not include the cost of maintenance or repairs, 10% of system cost for AE (Solar thermal, Solar PV, Wind, Geothermal) is a starting point.

I should be happy knowing that we're doing better or as good as new green buildings...on average. Then, I will add that we may yet get lucky and pull a rabbit out of our energy hat. Again, proof is in the proverbial pudding to see whether or not you are making ground by capturing the return on your investment. Added to this is the same caution I've made before, to not replace components before the end of their life cycle unless you have compelling cost or service affecting reasons to do so. These maneuvers are tricky and the tax timing on round one I failed but round two we gained and round three the State of Maryland won but we did gain an advantage on the Federal side.

Efficiency, performance and cost can no longer be ignored when it comes to energy. Rates for energy have gone up historically and faster than the past and remain volatile. I do know from the sale of our last building that we did get a higher return mainly due to the investments we made to reduce the energy footprint and the buyers specifically wanted to see (proof) the past utility bills. Of course I understand our scale isn't enterprise level nor are the costs, investments, savings and effort. What is relevant is the methodology and what we've done isn't anything out of the ordinary for any company to put in place. A key difference may be that I view the capital improvements as investments and remain confident that the return will far outweigh the costs when we sell again. Still, energy savings is not as easy or simple as it looks and you must account for growth and expansion in the business but exercise the wisdom of a snake when it comes to taxes, rebates, grants and incentives because there is no free meal.You must account for growth and expansion in the business but exercise the wisdom of a snake when it comes to taxes, rebates, grants and incentives because there is no free meal.