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Utility Rebate Problems to Avoid





By Peter Fairbanks  
OTHER PARTS OF THIS ARTICLEPt. 1: Electric Rebate ProgramsPt. 2: This Page


During tough economic times, it is often difficult to convince management of the wisdom of a capital expenditure to save money in the long run. To succeed, facilities managers must prepare and present a clear, thorough and unemotional analysis of the return on investment of the project.

Another common roadblock is the concern that the new efficient solutions will not perform as well as the current equipment.  To combat skepticism in this regard, it is best, whenever possible, to arrange for demonstrations of the proposed equipment, and to present white papers written by companies who have already made the upgrades. For example, to support a lighting upgrade, a few sample fixtures could be installed on a trial basis. Energy and light level measurements can be taken to verify acceptability and savings. Of course, for larger projects (like new HVAC systems), a trial run is not feasible, but the engineering analysis will demonstrate the cost and power savings.

The Next Step: How to Apply For Rebate Programs
Information on incentive programs is usually available on the Web sites of each utility. The application for the prescriptive services is also fairly easy to complete.  As the number of efficiency measures increases or become more detailed, it may be helpful for a facility manager to work with an engineering firm that specializes in energy conservation and working with utility programs. These firms can answer questions, determine strategies for maximizing the utilities’ rebate, and provide engineering analysis (for example, computational fluid dynamics analysis of airflow through a facility). In fact, many of these energy engineering firms will provide free initial audits and provide facility managers with a list of opportunities and suggestions on whether to go with prescriptive, custom or comprehensive measures. Facility managers may obtain a list of such firms in their area from their utility company.

The intent of these incentive programs is the development of cost effective efficiency solutions that help the environment while reducing energy costs. Utilities demonstrate their commitment to lowering energy usage while facility managers help reduce their company’s overhead. Such energy-efficiency projects are truly a win-win situation.

Peter Fairbanks is the President and Founder of Bluestone Energy Services Ltd.


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  posted on 11/12/2009   Article Use Policy




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