Manage Energy: A Process

Below is an article I submitted to IAHSA for their newsletter to be published Monday, March 9:

This article is the first in a series reviewing the points presented in the February 26, 2009, SavingSense Telephone Series: Improve Bottom Line through Better Energy Efficiency. InterDesign architects Dan Ware and D. Blake Wagner presented the phone conference. This initial article outlines a process for managing energy use.

It is not difficult to understand the benefits of saving energy. It reduces operating expenses, potentially increases productivity, and is the right thing to do for the environment. In an effort to increase the success rate, we offer below a six-step process to manage and reduce energy use. By empowering the right individuals, setting realistic goals, understanding current usage, finding opportunities, then implementing and tracking successes, one can create a real change, equating to real dollars and cents.

The first step is to form a team committed to continuous improvement. Choose individuals who will contribute to the effectiveness and odds of possible success. Be sure an individual from management is on the team—not just aware of the team—to provide a communication link and assist with possible operational changes. Include technical expertise, either in-house, or through a consultant, to assist with conveying how energy is consumed and how to implement changes. Try to get individuals from accounting or finance on-board early who understand the potential cost impacts—both spending and savings. Include someone involved in operations and maintenance; they can directly implement many early changes. Finally, get the passionate end users involved. They will keep up the team’s energy enthusiasm and relay the message to everyone they meet including staff and residents.

Step two involves setting goals. Once a team has been established concrete goals need to be outlined. Do you want to reduce cost? If so, keep in mind that electric and gas pricing may fluctuate and additional operations may make tracking actual cost savings difficult. Do you want to reduce energy? Or perhaps, your goal is to create a positive impact on operations and/or morale. Whatever the goals may be, they must be realistic. Reasonable ranges of improvement can be broken into three tiers. Initial efforts typically afford a 10-25% improvement by implementing many no-cost and low-cost changes. Secondary efforts could afford an additional 5-10% improvement, and generally require greater time and capital investment. Finally, implementing capital improvement projects of which costs and returns can be quite significant must be justified and adequately planned.

Step three involves analyzing utility history and understanding how energy is used at one’s facilities. Evaluate the past few years of utility bills. Calculate how much energy was used and identify peak usage times. Note yearly trends and seasonal variations. Use benchmark information from a similar building, located in the same geographic area, to compare the data. This is ideal for facilities with multiple buildings on one site. If benchmark data is not available, another option is to use the Energy Star Portfolio Manager at www.energystar.gov to find similar buildings for reference. Once a benchmark is established, look for abnormalities. Is your facility using as much gas during summer cooling months as it does during winter heating months? Are your facilities using more energy than the benchmark? If so, your team might be on the track to identifying savings opportunities.

Now that your team has evaluated usage, it’s time to find energy savings opportunities. Step four begins with increasing your team’s knowledge base. Attend phone conferences and read articles to increase awareness of what the senior living industry is doing. Use web-based tools like Energy Star for Small Businesses, www.energystar.gov. This tool provides how-to manuals, technical resources, case studies, savings calculators and more. One could also “go to school.” A suitable source is the Purdue University Technical Assistance Program: Energy Efficiency Services-Sustainable Business (Green) Services, PU TAP:EES. In this program Purdue offers workforce training, technical assistance, awareness presentations and workshops. More information is available at www.tap.purdue.edu.

Next, find opportunities. Survey your facility and list everything that uses energy: lights, HVAC, food service equipment, office equipment, medical equipment, etc. Map out where equipment is located. Then start implementing low-cost and no-cost opportunities such as changing energy intensive habits and operations, conducting proper routine maintenance, implementing better control, and utilizing improved technology. Develop solutions, quantify potential savings, and detail justifications for each improvement opportunity. Finally, prioritize projects and opportunities; keep in mind the goals developed in step two.

Step five is to implement the projects and opportunities. Once your team has received approval from management, get started. Assign responsibilities for implementing and tracking projects from commencement through completion. Set timelines and deadlines. If your facility needs assistance, use reputable vendors and contractors; don’t select vendors simply because they have advertised that they are “green.” Throughout implementation, keep communication lines open, raise awareness, and motivate all involved and affected.

Step six is to measure and verify. If a project is completed and no measurement data is collected, how does one track improvement? Upon completion, compare the results to the benchmark; then compare again at six, twelve, and twenty-four months. Complete this cycle and report results. Be sure to recognize all successful projects. Lastly, don’t stop! Continuously review activities, make adjustments, address ways to save energy and create a culture of continuous improvement.

The next article in this series identifies no-cost and low-cost opportunities afforded/available through operational changes and assistance programs.

About InterDesign
Established in 1975, InterDesign provides comprehensive professional services for senior living/long-term care, elementary and secondary education, higher education, libraries and churches/faith-based ministries.

Our firm’s highly qualified and experienced professional staff emphasizes collaboration and teamwork in their relationships with clients, consultants and contractors. An experienced project manager who offers specialized experience and ensures a high degree of communication, coordination, and continuity for your project leads each design team. The architectural team draws upon the in-house expertise of our staff of 24 professionals including, landscape architects, interior designers and construction administrators.

For more information contact InterDesign at:

InterDesign
141 E. Ohio Street
Indianapolis, IN 46204
Phone: 317.263.9655
fax: 317.263.9644
www.InterDesign.com