ENERGY EFFICIENCY
Xnergy takes a very pragmatic and holistic view of energy efficiency. Each facility and building is different. Each company or organization has differing priorities in regard to their energy efficiency goals. Therefore, we believe it is imperative that in order to maximize the effectiveness of any energy efficiency measures, the following steps should be taken:
1. Determine the energy efficiency goals and priorities. Some companies simply want to save as much energy as possible without as much emphasis on up-front costs. Other companies want as many energy efficiency measures implemented as long as it makes financial sense, i.e. the “pay-back” is within a reasonable time frame. Still other organizations are more interested in gaining accolades for their eco-conscious efforts, such as the gathering of LEED points, or attaining an Energy Star rating etc. Xnergy’s approach is to discuss in detail with the company/organization to determine their priorities and goals.
2. Reduce energy demand through Commissioning. A practical, holistic overall energy efficiency plan will look at a company’s existing energy profile and demand. A thorough commissioning study will ensure that a building is performing to it’s design intent and will look at the following:
- Lighting
- Mechanical / HVAC systems and controls
- Equipment (office, process, and manufacturing)
- Building Envelope (windows, foundation, walls, ceiling roof, and insulation)
- Electrical Systems
Once these components of a facility are looked at, recommendations will be made to reduce the existing energy demand.
3. Energy audit. Energy usage, history, and costs may be gathered from the utility company. Much of the data gathered during this phase will be helpful in determining what areas of the facility could improve the most by implementing certain energy efficiency measures. In most cases, HVAC and lighting are responsible for the most energy consumption.
4. Recommend energy efficiency strategies to attain goals. Some of these recommendations may be implemented in item 2 above. Other energy-saving measures include more efficient equipment, self-generating systems, new controls and variable speed drives. This will also include recommendations for the operation and maintenance of the systems to ensure that they are being utilized in the most energy efficient manner.
ALTERNATIVE ENERGY SYSTEMS / DISTRIBUTED GENERATION
There are several different methods for generating and attaining power and there is not one that is good for all facilities. Each building is different, and an alternative energy system needs to suit the facility and it’s owner’s needs. What is right for one building and how it is used may not be right for another. The following are several systems that Xnergy has a great deal of experience with:
1. Photovoltaics / Solar Power. This popular method converts the sun’s energy directly in electricity. PV is a viable method of generating power and more panel manufacturers are constantly increasing the efficiency and effectiveness of their equipment.
2. Gas Turbines. These are used for distributed generation of electricity. They are reliable and have minimal maintenance costs, and have control requirements to address air pollutants.
3. Combined Heat & Power (CHP). Waste heat from the power generation process is used to create either steam or hot water which can in turn be used for heat for the building. Through an absorption chiller, hot water may also be used to make chilled water to cool the building.
4. Thermal Energy Storage (TES). In this process ice is made at night during off-peak energy pricing, and stored for use during the day to cool the building when it is occupied. This simple, yet effective, method enables a facility to take advantage of the most inexpensive energy rates with a straightforward system that requires minimal maintenance.
ENERGY PROCUREMENT / FINANCE OPTIONS / INCENTIVES
Along with the increasing demand for energy resources there are also more and more incentives to implement energy saving strategies for traditional and alternative energy systems. Along with these incentives there are some creative methods to attain and pay for power:
1. Power Purchase Agreements (PPA’s). This popular method is a long-term agreement to buy power from a source that produces electricity. Under a standard PPA, the power source assumes the risk of operating and managing the electricity. This method frees up capital that a company could use elsewhere in it’s business operations while still maintaining low electricity costs. Xnergy has established relationships with the financing sources and can find and broker the right deal for the facility.
2. Synthetic Lease Agreements (SLA’s). This method enables a lessee to obtain equipment (i.e. Photovoltaic systems, Mechanical / HVAC equipment) without having the debt on the company balance sheet. This will also enable a company to forego any up-front capital costs for the equipment. The lessee can still get all the tax benefits (and burdens) of ownership, including the asset depreciation.
3. PV: California Solar Initiative (CSI) Incentive. For photovoltaic/solar systems, the CSI provides an incentive – based on the system size - for a newly implemented PV system. Xnergy will help navigate the process and can assist in filling out the application and necessary paperwork needed in order to acquire the incentive.
4. Tax Credits for Alternative Energy Implementation. Scheduled to expire at the end of 2008, the federal government offers tax credits to companies upon the implementation of alternative energy systems. This credit can exceed 30%, depending on the tax bracket. There is lobbying currently underway to extend the tax credit into 2009 and beyond.
