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Why Don’t We Do Energy Conservation Projects

More. Why Don’t We Do Energy Conservation Projects. Bob Cowan , Fred Hutchinson Cancer Research Center, Seattle, Washington Jim Stelson , Technical Consultant, BetterBricks. May 24, 2011.

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Why Don’t We Do Energy Conservation Projects

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  1. More Why Don’t We Do Energy Conservation Projects • Bob Cowan, Fred Hutchinson Cancer Research Center, Seattle, Washington • Jim Stelson, Technical Consultant, BetterBricks May 24, 2011

  2. The commercial building initiative of the: Northwest Energy Efficiency Alliance (NEEA) which is supported by Northwest utilities. • Advocates for changes to energy-related business practices in Northwest buildings. • www.betterbricks.com NEEA’s BetterBricks Initiative

  3. Region 10 E2C is a commitment from ASHE region 10 members to collectively achieve region-wide energy savings of 10% over a two-year period ending Fall 2012 • A total of 85 healthcare facilities in the states of Alaska, Idaho, Montana, Oregon and Washington representing over 28 million square feet is actively being benchmarked with ENERGY STAR® Portfolio Manager ASHE Region 10 E2C

  4. 4 ASHE Region 10 E2CPeer Technical Forums • BetterBricks, local utilities and ENERGY STAR® provide the Peer Technical Forums to accomplish the tasks of benchmarking and energy savings for E2C participants • For more information visit: http://asheregion10e2c.Betterbricks.com

  5. 5 ASHE Region 10 E2CPeer Technical Forum Schedule TOP FOUR COMMON OPPORTUNITIES FOR LARGE AND SMALL HOSPITALS Thursday, April 21, 2011 Case Study Energy Management: Fred Hutchinson Cancer Research CenterTuesday, May 24, 2011Energy Efficiency in Small HospitalsThursday, June 16, 2011Project Prioritization: Getting the Biggest Bang for Your BuckTuesday, July 26, 2011 Case Study of Energy Management: Swedish Medical Center Thursday, August 18, 2011 Computer Power ManagementThursday, September 15, 2011 Reporting and Relationships for Success: Legacy Medical Center Thursday, October 20, 2011 Case Study of Energy Management Thursday, November 17, 2011Topic to be Announced Thursday, December 15, 2011

  6. Presenters 6 Jim Volkman, PE Strategic Energy Group, Betterbricks Keith Edgerton Providence St. Peter Hospital, Olympia, WA

  7. More Why Don’t We Do Energy Conservation Projects The Facilities Manager’s Dilemma

  8. Everyone has a lot of reasons • HERE’S MY TOP 5

  9. 5. The Payback Period is Too Long in the Great Pacific Northwest Photo by Donna Greene

  10. 5. The Payback Period is Too Long - $6,000 Project; Saving 20,000 kWhr .1 rate U. S. AVG .15 rate NYC . Project Cost .05 rate Probable Possible Doubtful

  11. The Utility Incentive Puts Us Back in the Game .1 Rate .15 Rate Project Cost .05 rate Incentive Probable Possible Doubtful

  12. Energy Conservation is more than Money… • 4 Year paybacks are fine on production equipment. • This has other aspects: • Maintenance • Environmental • Compliance • Goodwill, marketing, PR • This is where you have to be a salesperson and sell your product.

  13. 4. No Money

  14. Hearing this one all the time these days… • This is exactly the time to spend money. • It takes money to make money • This is going to save us X number of dollars on maintenance cost and increase our reliability • Energy cost are going up not down in the future • The vendors are hungry we are seeing a 20% savings over a few years ago. • You’ve got to sell your product to your decision makers!

  15. No Money? • Reducing cost by $5,000 is like increasing revenue by $50,000 • “Every $1 a non-profit healthcare organization saves on energy is equivalent to $20 in new revenues for hospitals or $10 for medical offices.” • Source: Energy Star

  16. But if you can’t… • Make it easy on them • ESCO

  17. ESCO • An ESCO, or energy service company, is a business that develops, installs, and arranges financing for projects designed to improve the energy efficiency and maintenance costs for facilities over a seven to twenty year time period. ESCO’s generally act as project developers for a wide range of tasks and assume the technical and performance risk associated with the project. Typically, they offer the following services: • Develop, design, and arrange financing for energy efficiency projects; • Install and maintain the energy efficient equipment involved; • Measure, monitor, and verify the project's energy savings; and • Assume the risk that the project will save the amount of energy guaranteed

  18. So No Money, No Problem • But you may have to think outside the box

  19. 3. Too Risky

  20. 3. Too Risky • No one wants to put their institution at risk. • But, you guys are in the risk management business. • Manage the risk just like all the other projects you tackle.

  21. Some Thoughts on Energy Conservation Risk Management • Design it well and think it through in advance • Talk to people that have done similar ones • See if they had any issues • Do a mock up if possible • Motion sensors? Test a couple of models in different settings in advance • Test it (if possible) on a selective area in advance… • An office, A floor • Have a plan B • Communicate, Communicate, Communicate!

  22. 2. I Don’t Know What to Do and I’m Too Busy • You don’t have to! • You’re not an energy conservation expert. • You can get an expert and you can get him for ½ his cost. • The utility will pick up the rest.

  23. Work 22 hours a day instead of 20 • Or add someone to your staff and have the utility pay for them RCM (resource conservation manager) • Guarantee they will earn their salary (in energy savings) or utility will pay the difference • Can share a guy with another institution • 1,000,000 sq feet of Conditioned space

  24. 1. No Love

  25. 1. No Love • An energy conservation project will give you more intrinsic satisfaction than virtually anything else you do in your facility. • It will make you look like a hero! • It’s the gift that keeps on giving!

  26. 1. No One Cares • Bob says: • Maybe you’re looking for love in all the wrong places?? • You gotta make your own love! • Publicize what you’ve done! • Keep a comprehensive list of all your projects. • So the love keeps on coming! • Feel the love • Company, co workers, • Colleagues, utilities, • Mother earth, your family • And friends

  27. Bob’s Top Ten; Drops to Zero There are no good reasons, just a lot of excuses: 5. The Payback Is Too Long 4. No Money 3. Too Risky • 2. I don’t know what to do and I’m To Busy 1. No Love

  28. You Can Make the Magic Happen

  29. Questions or Comments?

  30. ASHE Region 10 E2CPeer Technical Forum Schedule • TO REGISTER FOR ALL 10 EVENTS • HTTP://WWW.EVENTBRITE.COM/EVENT/1212282971

  31. Resources • ASHE REGION 10 E2C • HTTP://ASHEREGION10E2C.BETTERBRICKS.COM/ • BETTERBRICKS • HTTP://WWW.BETTERBRICKS.COM/OPERATIONS • HTTP://WWW.BETTERBRICKS.COM/HEALTHCARE • AIA GUIDELINES FOR DESIGN AND CONSTRUCTION OF HOSPITALS AND MEDICAL FACILITIES • HTTP://INFO.AIA.ORG/NWSLTR_AAH.CFM?PAGENAME=AAH_GD_HOSPCONS • BETTERBRICKS’ GUIDE TO THE DESIGN AND CONSTRUCTION OF HIGH PERFORMANCE HOSPITALS • HTTP://WWW.BETTERBRICKS.COM/GRAPHICS/ASSETS/DOCUMENTS/DC_HEALTHCARE_BROCH0208_FINAL.PDF • GREEN GUIDE TO HEALTHCARE • HTTP://WWW.GGHC.ORG/

  32. Thank you.

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