Category Archives: Energy Management

Case Study: CCES Performs Energy Evaluation to Settle Landlord-Tenant Dispute

Climate Change & Environmental Services (CCES) performed an energy evaluation used to settle a landlord-tenant dispute. The landlord operates a mall in New York City with a main meter for electricity for one restaurant and a number of offices in the complex. The landlord charged tenants for electricity based on a percentage of the meter reading, based on relative square footage. However, the landlord realized that the restaurant, with large refrigeration needs and an electric oven and domestic hot water, used much more electricity per square foot than the offices. As a result, they doubled the proportion assessed to the restaurant, which they disputed.

CCES performed a comprehensive energy assessment of one year’s worth of electricity usage from the meter. We reviewed equipment and operations of the restaurant, offices, and common areas all served by the main meter, based on sources of electricity, their usage, and time of operation. CCES determined that the relative usage of electricity by the restaurant was actually greater than that in the re-assessment made by the landlord. The report was reviewed for technical accuracy and was approved, and helped settle the landlord-tenant dispute.

Final Words on Energy Efficiency

Despite the new agreement from the Paris Climate Change Meeting, there seems to be growing momentum against being energy efficient. As I write this, crude oil is under $40 per barrel, and perhaps going lower as the new year begins. Lower prices of gasoline, diesel oil, etc. in the retail market are quite apparent.

Yet, energy from such sources, such as oil and natural gas, is in a finite supply. We will eventually run out. We cannot be wasteful. Plus, the scientists say there are limits of how much of carbon currently trapped in the ground can be put into our atmosphere without causing grave outcomes of rising sea levels, more extreme storms and droughts, etc. We need to not only transition to renewable (non-carbon) sources of energy, but also to use more efficiently the fossil fuel we still need to combust.

While Americans had moved toward a more energy efficient economy in their buying decisions, recent market conditions (cheaper fossil fuel prices) appear to be pushing us in the other direction. Recently, reports have come out about Americans purchasing fewer hybrid and other fuel-efficient cars and more larger, less fuel-efficient ones.

How can we overcome the reaction of Americans to short-term trends, such as cheaper gasoline prices, and focus instead on long-term needs? Certainly the concerns about and growing acceptance of Climate Change has not affected purchasing behavior long-term. Polls show a majority of Americans now believe Climate Change is real, but don’t think they can do anything about it. Perhaps an outright war in the Middle East may trigger a revival of concern for energy efficiency; let’s hope it does not come down to that! Perhaps a return to $4 per gallon gasoline will do so; but now in post-Recession America perhaps people can better tolerate such high prices and not change their ways. Besides, high gasoline prices will harm certain sectors.

I think the biggest obstacle to people and companies being more energy efficient is that there is no single “face”, no celebrity, no company or entity that is “talking the talk” very publicly backed up by “walking the walk.” Trying to make it both beneficial and “cool.” Energy efficiency is complex and not a single entity to be represented to the public. And there are no “trophies” or high-visible ones that are internationally accepted. It’s a lot easier to do nothing.

Although there have been many good, leading companies being out front on energy efficiency, the average CEO cares little about potentially losing many thousands or millions of dollars in inefficient processes or buildings. Maybe it’s education; today’s CEOs never learned about sustainability and limits to resources. Today’s Business School students are learning this. Or maybe CEOs perceive bigger battles to wage or think the gains (financial, publicity) are not worth it.

This directly impacts my business. Particularly in the last year or two I have had a number of people, companies, or municipalities approach me about helping them be more energy efficient or sustainable, and then not go forward with the project or just do the minimum and not go forward with the rewarding projects. Some “vetoer” stops the process, they cannot get funds, they change their minds, etc. Energy efficiency and sustainability are nice concepts in theory, but for many, there is little will to close the deal and really be serious about it.

I hope entities like these will change their mind in the future, and they probably will eventually, but I cannot go on as a business this way. I will be working for a larger energy consulting firm that uses greater resources to invest in convincing and serving buildings about being more energy efficient.

CCES is still around, and we can help you address technical issues involving environmental compliance issues affecting your company. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Have a wonderful Holiday season and a happy, healthy, prosperous 2016!

Energy Trends That Will Continue in the Foreseeable Future

2015 will pass by soon. While we live our day-to-day lives and careers, it is easy to miss trends that establish themselves in a small number of or even in a single year. Yet, this is happening with energy. Some new “realities” are coming into the marketplace, likely unstoppable by those who prefer the status quo or by industries who resist change. It is likely that next month’s Paris Climate Summit will drive the establishment of these changes, as both developed and developing nations are starting to unify on the need to reduce greenhouse gas (GHG) emissions and encourage more renewable energy.

What a difference in public opinion and the market that has occurred since previous recent climate summits. These influences will likely stay with us in the future.

Global and US use of renewable energy has and will rise significantly.

In just the last few years, solar panel prices have fallen over 80% and, therefore, the overall cost of the energy from solar per kwh has dropped by over half. The market has taken notice, and there have been major private investments in solar, wind, and other renewable sources in the last few years, an over 6-fold increase. Not just on homes, but whole solar and wind power plants. In 2009, the International Energy Agency predicted that solar would produce about 20 gigawatts of power worldwide by 2015. Solar now produces nearly 10 times that amount! Who would have thought that nearly half of the new electricity installed in the US in 2014 would be solar? And look at the massive wind farms being constructed in Texas. In Texas!

Power companies, besides helping states meet renewable power commitments, are also learning that the upfront costs of building solar and wind farms are lower than a new fossil fuel plant, and the source of energy is and should remain free. Companies, such as Apple, are even building their own renewable-powered power plants.

Energy storage will be the ultimate game changer.

Of course, solar and wind have one major drawback, their variability. The sun does not shine at night, when most residential users have their greatest demand for electricity; wind varies from hour to hour and may also be out of synch with demand. What can be done with the excess power a farm may generate while the energy source is plentiful to supply electricity for the times it is not, while demand is high?

The answer is energy storage. Hundreds of millions of dollars are currently being invested in energy storage R&D on a large scale by major firms like GE, Tesla, Lockheed Martin, and others. Energy storage is currently available on a small scale, and it is inevitable that breakthroughs will be achieved on a grander scale allowing solar and wind farms to independently deliver electricity to meet all variable demands throughout a year. Given the cost of renewable energy is now comparable or cheaper than for fossil fuel-powered energy, this would be the breakthrough renewables need to operate competitively without additional fossil fuel-fired plants to balance load and at a lower cost than a fossil fuel only-powered plant.

New energy regulations are coming in the US – and many see additional benefits.

The USEPA recently published the final version of its Clean Power Plan containing GHG emission limits for US power plants that are estimated to cut GHG emissions by over 30% by 2030. This rule will further encourage greater renewable power and conversion to less polluting fossil fuels. Therefore, there will be significant reductions in emissions of other air pollutants, many of them known to be toxic. Public health studies show that this will greatly significantly reduce the incidents of asthma attacks and lung and other cancers, resulting in great economic benefits (people living longer and being more productive and saving governments money in Medicaid and Medicare payments).

While there are interests and certain states fighting the new rule in court, most states and companies appear to be accepting the new rule as here to stay. In fact, many prefer this to the uncertainty of an unregulated world. Governments and business like certainty for planning and financing reasons. States that are embracing renewable energy are benefiting, such as California and Texas. California has a tradition of forward-thinking climate change-based legislation. They will easily manage this and other new rules. And Texans have benefited tremendously from their large amounts of undeveloped land and its high incidence of sun and wind.

The USEPA has also proposed new rules specifically for methane emissions. Methane, the combustible portion of natural gas, is 21 times more potent as a GHG than carbon dioxide. While natural gas is thought of as the “bridge” to renewable power, a fuel source that emits less GHGs when combusted compared to coal or oil, it is recognized that natural gas infrastructure (its mining and capturing and transport thousands of miles) results in leaks of methane into the atmosphere during these stages. And the disproportional climate change effects of methane may make up for the gains of lower carbon dioxide emissions of switching from coal or oil. The USEPA is committed to getting more serious about controls to reduce methane leakage and drive up efficiency.

Major US corporations are coming on board for Climate action.

As discussed in a recent blog (http://www.ccesworld.com/blog/giant-firms-demand-strong-carbon-deal/), a dozen of the largest companies in the world, including some thought to be totally against climate change action, came out publicly in favor of a comprehensive climate change deal in Paris, so that they can smartly plan for the long-term future. In addition, a number of Fortune 100 US firms have issued statements in favor of climate change action. With these gigantic firms in favor of meaningful climate change action, it is likely that their money and weight will influence government and public opinion, too, despite what some current US presidential candidates are saying.

These signs of improved technology, acceptance by the public, favorability of the market, and acceptance of powerful corporate interests demonstrate that Climate action is now her to stay, with tangible benefits for people and businesses in the future. The Paris Climate Summit is likely to be the crown for 2015 as the year that climate change became mainstream and becomes a portent of great changes in energy in our future.

CCES can help your firm prepare for the upcoming climate change realities and obtain the greatest benefits from smart planning as far as energy and sustainability go. We can develop climate change and sustainability plans for you and help you minimize use of energy, water, and other resources. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Case Study: CCES Performs Energy Audit for a Child Care Center

Climate Change & Environmental Services (CCES) performed an energy evaluation for a child care/senior care center in New York. The 20,000 square foot building had energy bills (electricity and gas) averaging about $10,000 per month. Energy costs threatened the financial viability of the center. A determination of potential energy saving strategies – small and large – to reduce energy usage and peak electric demand was needed.

CCES performed a comprehensive energy audit, meeting ASHRAE Level II standards for the center. CCES reviewed 3 years of recent energy usage and performed a walkthrough of the facility, collecting data. CCES developed a list of 10 strategies to reduce electricity and/or gas usage, all with positive payback, ranging from purchasing only ENERGY STAR products to upgrades of their HVAC system and installation of solar PV panels. CCES also recommended avenues to maximize financial incentives to partially pay the cost of implementing many of these suggested strategies.

The child care center was pleased with the long list of potential strategies, and will likely implement most, if not all of them in the near future to dig out of their heavy energy bills.

CCES has the experts to perform an energy audit of your building and develop multiple potential strategies for energy upgrades that will pay back the expenditure in a reasonable amount of time. We can also help you get government incentives to partially pay for this and financing so you pay nothing upfront for the upgrades and pay through the savings you achieve. Take advantage of the energy revolution for your maximum benefit. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Overcoming Skepticism About Energy Upgrades

In my practice, the most difficult problem I face is the skepticism of property owners and managers when it comes to the savings potential of energy upgrades. I usually deal with fellow engineers and scientists who understand options, can assess benefits, and have confidence the technology will work. But the real estate community thinks differently, and, I’ve learned, greatly fears any perceived risk. Even if there is a tiny chance in their minds that a potential energy upgrade may fail, they will stick with the status quo.

Commercial energy efficiency upgrades, therefore, are low priority items. What factors hold the industry back from going forward on definitely beneficial, cost-saving projects?

As I mentioned above, building owners are skeptical that energy retrofits will deliver a strong return on investment in the field. Some worry that a new technology may work “in theory, but not in my building, with my tenants!” But in most cases it is simple math; a 9-watt LED replacing a 60-watt light will save in actuality the appropriate number of kWh.

Owners are also concerned that overworked staff cannot oversee equipment performance and determine whether an upgrade is really achieving optimum energy efficiency gains. Many building owners also believe that energy is a relatively small cost of their business compared to salaries, taxes, and infrastructure. And if you take proposed annual energy savings and divide that by 12 months and the number of tenants, energy cost savings may be small, in their eyes, relative to the rent collected.

It is even a cultural matter, as building staff tend to think it is OK to work longer hours to maintain older equipment until it practically breaks down, rather than upgrade early to save labor. Staff normally address day-to-day challenges rather than think long-term.

How can this be overcome? Some in the insurance industry now offer insurance to guarantee performance. For payment of a certain premium, a building owner will know that its building’s energy upgrades will meet a certain energy cost savings in the first year after being fully implemented. If the real cost savings is less than that guaranteed, then the insurance company will pay the difference. Thus, for a premium, this takes away any concern that a proposed upgrade will fail to meet its stated goals “on paper.”

A second issue is financing. Many real estate owners already borrow greatly just to afford the buildings they own, and may have trouble qualifying for further financing.

Property-assessed clean energy (PACE) and on-bill financing are existing options addressing financing. PACE loan repayment appears on one’s property tax assessment and, therefore, are considered a higher priority than a mortgage. On-bill financing programs allow repayment based on savings based on utility bills. Government incentives exist to allow institutions to issue financing at lower rates than conventional loans, particularly for small buildings or those owned by non-profits. Building owners can also take advantage of competition among financing firms, as the excellent return on investment of energy projects is well known and better assures a loan will be repaid.

Some energy service companies offer financing, such as a power purchase agreement (PPA). Real estate investment trusts (REITs) which own income-producing real estate can also provide energy-related financing.

Between lowered costs, low interest rate financing, existence of government incentives (which are likely to disappear), and improved technology there has truly never been a better time for a building owner or manager to invest in a smart energy upgrade. Believe it; it is real and will benefit you and your occupants greatly!

CCES has the experience to help your building upgrade your energy systems in a smart and reliable way, ensuring success and maximizing both cost reductions and other benefits. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Climate Change After the Pope’s Visit

The Pope came to the US last month and made very forceful and well-publicized arguments about the importance of addressing climate change soon. Of course, he emphasized the moral imperative: how wealthy countries contribute more to climate change, yet poorer countries will likely suffer more. This blog has discussed extensively the practical and business benefits of addressing climate change. One may not “believe” in climate change, yet benefit your company or entity financially by addressing it smartly. But with the aura of the Pope’s visit and his framing of the moral dimension and the upcoming meeting in Paris for potential rules and goals for GHG reduction, how does climate change affect not just the US as a whole, but your company, too? What are the most effective ways to meet the moral and financial priorities of climate change? Should we address climate change wholeheartedly or is it better to address it slowly?

The momentum to address climate change is growing, as a number of national polls show that climate change is being accepted as true and something that needs to be addressed by a growing majority of Americans (despite the demagoguery of some Presidential candidates). Climate change introduces a number of new, significant risks to our nation and institutions. And, many of the steps to be implemented to address climate change (reduction of GHG emissions) also provide direct economic benefits.

As a result, the trend to encourage companies and people to use less or de-carbonized sources of energy will likely continue. For example, Northeast power generators, forced to reduce GHG emissions because of the RGGI rule, have greatly exceeded the rule’s reduction goals, in part, because of the price differential between cleaner fuels and fuels used before the rule went into effect. Because of renewable goals that many states have set, large investments in renewable power are being made. Quietly, the fraction of power from renewable sources in the US is growing. There is also a growing movement of governments and utilities to encourage improved energy efficiency to save money on expensive energy infrastructure upgrades if power demand continues to grow. Energy efficiency is now understood as an investment that pays a better return than the vast majority of banks and Wall St. investments, and has ancillary benefits, such as reduced GHG and air toxic emissions, reduced O&M costs, and increased asset value.

Should the US, the states, and companies invest now in energy efficiency and in clean or cleaner energy technology now or should they wait? There is an argument that it may be better to wait to invest in reduced-carbon energy or energy efficiency, as initial costs of such technologies are expected to fall in the future as they become more common. On the other hand, there are significant costs to waiting to become more energy efficient and use lower-carbon or renewable power, such as:

• paying significantly higher energy costs for more energy used while waiting;

• probable future rules will reward those who reduce GHG emissions early; and

• the potential lower future value of carbon credits in the future as more entities reduce GHG emissions.

Similarly, should companies go “all in” now on reducing GHG emissions or should such moves wait for final global or US regulations to come out of the Paris UN conference or for other priorities to shake out? While the answer depends on the “culture” of each company, it is important to understand that actions to reduce GHG emissions almost always have not only direct, long-term cost savings benefits, but also harder-to-quantify benefits, such as reduced O&M, improved worker productivity, increase in asset value, and more productive tenants, that also improve the bottom line.

Therefore, waiting for exact requirements from the federal government, which will take years, even if US authorities make pledges in an approved agreement in Paris, can result in missed business opportunities for many companies. Just performing a basic GHG emission inventory (“carbon footprint”) and studying and eventually implementing energy reduction projects does not need to wait for an exact finality of regulatory requirements, and will likely not involve any re-inventing of the process.

Besides reducing GHG emissions as a response to climate change and the Pope and/or UN initiatives, another climate change issue that a company must assess is risk. What effects caused by climate change may affect a business.

Four types of climate change risk that could affect a business include:

1. Competitive (cost) risks
• Effect of a decline in consumer demand for energy-intensive product
• Rise in costs for your necessary processes which are energy intensive
• Rise in costs for necessary transportation fuels

2. Reputational risks from perceived inaction on climate change

3. Regulatory/compliance risks from future tightening legislation

4. Physical risks of climate change-influenced events (i.e., extreme weather, rising sea levels, etc.):
• Asset damage
• Inability to make or transport product, raw materials
• Health and safety risks
• Project delays
• Crop damage or agricultural transition as certain crops no longer are viable in certain areas and new supply chains become necessary

Outside the US, many companies have recognized and begun to study and implement strategies to minimize climate change-related risks. US companies have been slower to react. But as climate change is more recognized and accepted, spurred on in part by the Pope’s visit, this is something that is also important for many companies. Entities understand risk affecting operations, revenue, and even existence and deal with this routinely. Climate change represents another set of risks that entities should understand and address – independent of the Pope’s visit and the upcoming Paris UN conference.

CCES can help your firm develop a climate change program and prepare strategies to not only minimize risk, but also take advantage of energy realities to maximize financial benefits while reducing GHG emissions. Contact us today on this at 914-584-6720 or at karell@CCESworld.com.

“Do” Energy The Right Way

More and more people are getting it. The recent revolution in energy technology makes upgrades for a building not just the right “green” move, but also one of the smartest ways to invest money. Returns on investment of 15%, 20%, and much more per year can be achieved for a smart upgrade. Much better than you can get at a bank or on Wall Street, with no risk of loss!

However, some facility managers want to pursue this in a rush-rush manner. Go to the store, buy some new lights or controls or other items and just replace in kind for the reduced usage or wattage without determining the needs or the applications.

This is counterproductive. Changing lights, improving insulation, upgrading HVAC are the opportunities to take a deeper look at your building. Building functions change over time. People are moved to different areas; different activities occur; different equipment brought in. Therefore, your energy needs and demand will change, too.

It is important to take the time when you decide to make your energy upgrade to plan beforehand. For example, is the lighting you have now right for your workers, shoppers, etc.? Is the right amount of light being applied to desks or product being sold, etc., and less in other areas (but enough to be safe)? Just lowering wattage for the same type of light will not help or enhance your operations. Therefore, it is also important to invest money in lighting design. Bring in a professional lighting designer or one with experience in this area (there is now a new Certification in Lighting Design: CLD). Yes, you’ll spend some additional money, but you’ll definitely get it back in improved sales, more productive and less stressed employees, etc., on top of your energy cost savings. Get the right professionals involved early for other energy upgrades, too.

In fact, it is also critical to get the right people involved in your initial energy evaluation or audit, as well. The Association of Energy Engineers (AEE) has many certification programs for professionals in the energy area, including Certified Energy Managers (CEMs), Certified Energy Auditors (CEAs), and retrocommissioning professionals (EBCP). I am pleased to say that I am a CEM and an EBCP, and I can tell you the training and amount of information I had to learn to pass the exams was great and comprehensive. In fact, AEE programs are gaining greater respect in the energy world, as CEM is the first program to receive recognition from the US DOE as aligning with their Better Buildings Workforce Guidelines and has also achieved ANSI accreditation.

The recognition by the US DOE elevates the importance of the CEM credential for evaluating your property. You should make sure that you don’t do your energy upgrade yourself or use just a run-of-the-mill person who claims to be an energy expert. At a minimum, the professional who oversees your energy upgrades should have a CEM or CEA certification. After all, you would not go to someone to do your taxes who is not experienced and certified, right? You would not go to a doctor or dentist for advice on a health matter who is not properly degreed and trained, right? Therefore, you should only trust your energy management with the great cost savings and productivity gain potential to experienced, recognized professionals.

CCES has the expertise and experience to perform comprehensive professional energy assessments and audits for diverse building types to provide a complete picture of not just your current energy usage, but also provide multiple energy conservation measures to help you reduce usage and demand and maximum benefits, through incentives and financing, as well. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Considering Green Leases

We all know there are many direct financial benefits to reducing one’s energy usage or to otherwise conserve resources and be “green”. However, there is one segment where these advantages are less obvious, and that is the leased community. In many cases, such as comfort, if a landlord invests money to make a building more efficient or “green”, the tenants benefit (reduced need for electricity and/or fuel usage) with, reduced costs, but the landlord does not get directly compensated for the initial investment. Examples include improving the building envelope or upgrading the A/C system. Thus, there is little motivation for a landlord to invest in energy upgrades.

As a result, there is a recent growing concept of “green” leases which incentivize energy and related upgrades. According to a recent study issued by the Institute for Market Transformation called “What’s in a Green Lease? Measuring the Potential Impact of Green Leases in the US Office Sector” (http://www.imt.org/resources/detail/green-lease-impact-report), green leases have the potential to cut energy consumption by 11 to 22% (or $0.26 to $0.51 per sq. ft.) in US leased office buildings.

The intention of “green” leases is to provide direct financial benefits for energy conservation measures to both the tenant and landlord for their investment.

The report provides ideas to consider to make a lease more “green”, such as:

• Savings Pass-Through: This allows landlords to pay for the investments in energy efficiency by directly adding a portion of the energy cost savings from their tenants in the rent over a period of a few years until the original investment is recouped.

• Energy-Efficient Tenant Buildout: This mandates that tenants meet certain basic “green” guidelines in the lease to ensure that the space (which the landlord owns) is high-performing. Taken to an extreme, it could mean that the space meets a certification program, such as LEED. However, since this can be quite expensive, minimal standards of lighting power density (watts/sq. ft.) or only using energy- and water-efficient equipment may suffice. The tenant saves money in the long run; the landlord has made no initial investment and the building is potentially more desirable upon re-sale or when the tenant moves out; and both meet sustainability goals. For example, ASHRAE 90.1-2013 recommends a lighting power density for an office of 0.82 watts/sq. ft. (and lists recommended power densities for other functions).

• Submetering: As discussed in other blogs, installing sub-meters for tenant spaces and having the lease re-written to mandate that tenants pay for electricity, gas, water, etc.is a proven way to make tenants aware of their utility usage. After a bill or two comes in and tenants see the correlation between usage and cost, they are incentivized to reduce energy and water usage.

Please note that this is a technical only evaluation about the topic of “green” leases, and not a legal one. Please speak to a qualified legal professional if you wish to develop “green” leases. CCES can help you assess your energy and water usage and develop smart, cost-effective ways to reduce your usage and costs without impacting and, in fact, enhancing your operations. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Don’t Go to Home Depot For Energy Retrofits

Today, building owners embarking on an energy upgrade to save costs have more data and more options than ever. More efficient HVAC systems, lights, windows, motors, and other equipment gives you many ways to save. In addition, technology from the many types of sensors and software can provide you with accurate site-specific energy data.

How do you start?

Start with an energy audit performed by an experienced engineer. The auditor should have not only an appropriate certification, such as Certified Energy Manager or Certified Energy Auditor, but should also have experience. The auditor should be provided historic energy use data and specifications and other information about your building and its energy systems. A good energy audit will contain estimations of how much energy is used for heating, cooling, hot water, lighting, plug loads, etc. Armed with this information, the auditor can likely suggest several potential strategies to reduce energy usage throughout the building, what the upfront costs would be, cost savings, and ROI and simple payback. You the building owner can then make an informed decision on which projects to do and which not to do, and how to prioritize.

Implementation of selected energy-saving projects is not simple. It is tempting for a building owner to take short cuts to raise the ROI. For example, for an energy audit suggesting LED light substitution, the manager may go to “Home Depot” or similar retailer and just buy LED bulbs that appear to fit in “the socket”. This is a big mistake. The LED market is still variable, with a number of new vendors selling bulbs that do not meet standards. Good LED lights can last for tens of thousands of hours of operation. But some vendors sell inferior ones that can break down much sooner. Many retailers do not so differentiate and just want to sell the cheapest bulbs they can.

The better alternative

Stick with the energy professional to implement the energy strategies you choose. Besides ensuring a better, more reliable product, the professional often knows which incentive programs apply and can test and ensure your upgrades actually are working properly – to maximize your full benefits.

I recently performed an energy audit for a small office building, which included information about installing LEDs and occupancy sensors. The building’s owner, a DIY advocate, went to Home Depot and bought and installed the LEDs and sensors. I warned him, but he did it and now has lighting concerns and sensors that turn off lights in rooms while people are inside. He saved money, but has inconvenienced and potentially put workers and customers at some safety risk – to save some extra $.

Financing may be an issue. Your energy professional will likely know financial firms that offer low-interest financing. Financial firms are aware of the great ROI of energy upgrades and will “fight” for your business, as the default risk is low. You can implement selected energy projects with no money down. Your energy professional can help.

So, building owners and managers, here are some additional ways the time and expertise of an experienced energy professional is of great value for you.

• Comprehensive knowledge of technologies. Experienced energy experts work or read up on the latest technologies daily. We have a better knowledge of what will and won’t work in different situations compared to others, who might, at best, pay attention to energy issues sporadically. It is important to consider issues of billing, use and orientation the building, equipment age, etc. not one technology fits all situations. And going to the retail store to buy energy-efficient equipment misses your specific needs. Our expertise is worth the extra money spent in terms of additional savings, not to mention reliability and productivity.

• Planning. The energy professional can help a building owner make an informed decision on how to prioritize energy projects. With the recent revolution of energy technology, it is likely that several strategies will benefit you. The energy pro can lay out your options, recommend which ones make sense to go in a certain order to get more “bang for the buck”, and be able to reinvest savings from one project to the next. The energy pro can tell you which strategies are additive and which are exclusive. Perhaps, for example, money is so tight you can only upgrade a limited number of windows with film. The smart energy professional would tell you to prioritize the north-facing windows as they lose the most conditioned (heated) air in the winter. Without this advice, the building owner/manager may pick a hodgepodge of windows to treat, reducing the cost savings.

• Implementing your strategies. OK, you have developed a plan to implement one or several energy saving strategies. Bringing in the right technology vendor is important, but as important is the right subs to install it properly. It needs to be done right. Developing a bidding process takes time. The energy professional has done this before, knows how to put an RFP together, and understands the proposals to make a fair “apples-to-apples” comparison. Or the building manager can trust the experience of the energy professional to bring in a reliable vendor to do the job right. Either way, this is a big time saver for building staff.

• The implementation process. A factor that building owners/managers often overlook is the impact of the installation on their buildings and tenants. Do not just schedule a date for installation without an understanding of the process and infrastructure (doors, elevators, etc.) needed and effects (noise, space). One does not want to ruffle feathers of a tenant who may have a critical meeting that day and cannot afford to have construction noise. I worked with a client involved in a major capital project at his building across the street from the school. It was felt it was better to conduct the actual installation during the weekend to not effect or risk the school. Also, it is important for the installer not to be “surprised” so the installation goes smoothly and is not unnecessarily delayed. The energy professional can work with the installer to determine a plan which, together with management and tenants, causes the least amount of upheaval for all involved.

• How did it go? It is tempting to buy and install the energy technology, pat oneself on the back, and move on. We always look forward. But it is important to know how the strategy is performing. Is it really giving you the cost savings and payback predicted? Is the technology operating properly, as promised? The energy professional can monitor or commission its operation and provide a more nuanced approach to not only your direct energy cost savings, but also added benefits, such as productivity, work by O&M staff, etc. This provides robust data needed by management to know to determine the success of energy strategies.

So while it is tempting to take the results of an energy audit or even information from an article and just “go to Home Depot”, pick up equipment and DIY, it is really in your best interest in terms of building function and cost savings to have an experienced energy professional manage the implementation of energy-saving strategies that you choose.

CCES has the professionals to help your building develop a list of financially beneficial strategies to reduce energy use and demand to save you direct costs and result in other financial benefits. We have the experience to manage the complete project, as well, to maximize the reliability and financial benefits with minimal disruption to your staff and operations. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Case Study: CCES Performs Energy Evaluation to Settle Landlord-Tenant Dispute

Climate Change & Environmental Services (CCES) performed an energy evaluation used to settle a landlord-tenant dispute. The landlord operates a mall in New York City with a main meter for electricity serving one restaurant plus a number of offices and common area in the complex. The landlord had been charging tenants for electricity based on a percentage of the meter reading, based on relative square footage. However, the landlord realized that the restaurant, with extended hours, large refrigeration needs, and an electric oven and domestic hot water, used much more electricity than the offices and common area. As a result, they doubled the proportion assessed to the restaurant, which the restaurant owner disputed.

CCES performed a comprehensive energy estimate of one year’s worth of energy usage of the restaurant, offices, and common areas all served by the main meter, based on sources of electricity and their average usage and time of operation. CCES determined that based on actual equipment and operations the usage of electricity by the restaurant was actually greater than that in the re-assessment made by the landlord. The report was reviewed for technical accuracy and was approved, and helped settle the landlord-tenant dispute.