$20M in incentives reserved for clean energy solutions for New Jersey’s large energy users

September 1st, 2011

The New Jersey Office of Clean Energy has established the Large Energy Users Pilot.

A total of $20 million is reserved for this 2011 program designed to promote self-investment in energy efficiency and combined heat and power projects with incentives up to $1 million for eligible projects in the state’s largest commercial and industrial facilities. Applications are due by September 26th 2011, 5:00 pm EST.

Eligibility and Pre-Qualification

Prospective participants can submit their qualifications during a 45 day open enrollment period.

They must already have a minimum contribution of $300,000 to the NJ Clean Energy Program (NJCEP) fund paid in the 2010 calendar year. The total contribution is calculated as $0.0169/therm times total therms plus $0.002346/kWh times total kWh.

Further, only facilities with an annual billed peak demand of 400 kW within their entire portfolio of buildings will be considered.

Following the pre-qualification period, prospects will be ranked by the amount of their contribution to the NJCEP fund in 2010 and the top 25 projects will be approved to submit a draft energy efficiency plan to reserve funding.

Incentives

  • Maximum incentive per project is less than $1 million, 75% of the total project cost, or 90% of the total NJCEP contribution in the previous year
  • Incentives are based on $0.33 per kWh and $3.75 per Therm of annual savings
  • Minimum incentive commitment is $200,000. Projects with incentives below this threshold will be redirected to other NJCEP initiatives.
  • Incentive payment will be made upon project completion and verification that all program requirements have been met.
  • Upon approval of a draft energy efficiency plan, incentives will be reserved on a first come, first served basis until all funds are reserved or expended.

Maximize incentives and manage risk with a Lime Energy Partnership.

Lime Energy (NASDAQ | LIME) is one of the nation’s only companies with the combined competency and experience assessing, designing, and deploying comprehensive design-build energy efficiency projects on existing buildings in healthcare, education, government, residential, industrial, manufacturing, high tech, offices, food services, retail, hotels, and casinos.

Lime  program specific expertise, familiarity with the process, and command of state and federal incentive programs means Lime Energy offers participants a smarter, more comprehensive, and more knowledgeable approach to  that delivers on energy performance, manages risk, and increases incentives.  Lime’s capacity to finance, develop, own, and operate on-site renewable generation facilities extends their offerings.

Value of a P4P – AtlantiCare Testimonial

July 18th, 2011

Pay for Performance (P4P) is a comprehensive energy efficiency program that provides incentives towards whole-building energy improvements. Existing commercial, industrial, and institutional buildings with a peak demand over 100 kW for any of the preceding twelve months are eligible to participate. P4P is not a financing offer, but a state-administered grant designed to help states meet their ambitious energy reduction goals.

Bill Kissinger, Director of Facility Service at AtlantiCare Regional Medical Center, explains the value of a Pay for Performance (P4P) Partnership.

To learn more about the value of a Lime P4P Partnership visit limep4p.com or review the AtlantiCare success story.

Value of a Lime P4P Partnership – AtlantiCare Testimonial

July 18th, 2011

Pay for Performance (P4P) is a comprehensive energy efficiency program that provides incentives towards whole-building energy improvements. Existing commercial, industrial, and institutional buildings with a peak demand over 100 kW for any of the preceding twelve months are eligible to participate. P4P is not a financing offer, but a state-administered grant designed to help states meet their ambitious energy reduction goals.

Bill Kissinger, Director of Facility Service at AtlantiCare Regional Medical Center, explains the value of a Lime Pay for Performance (P4P) Partnership.

To learn more about the value of a Lime P4P Partnership for your business or institution, visit limep4p.com. Or review our the AtlantiCare success story.

Energy Efficiency Update – Food Processing – July 2011

July 1st, 2011

Sustainability reporting is now the norm among large food processing companies

The vast majority of large food processing companies are now reporting their sustainability efforts.  A new study commissioned by the Grocery Manufacturers Association (GMA), conducted by Price Waterhouse Cooper (Pwc), found that 89% of the 64 large food processing companies that it surveyed now issue a formal sustainability report, up from only 51% just a year ago in 2010.

The GMA/PwC Food, Beverage, and Consumer Products performance report is now in its 15th year and was released in June.  This year’s report, entitled “Thriving in a Connected World,” conducts in-depth analysis of the consumer packaged goods sector, which saw sales in 2010 rise 6% from 2009 to $124 billion.

The majority of food processing companies compile their annual sustainability report based on the voluntary guidelines provided by the Global Reporting Initiative (GRI) (www.globalreporting.org), which is the largest global corporate sustainability reporting framework.

The GMA/PwC report attributes the increase in sustainability reporting in the food processing industry in part to the increased amount of data available.  For example, companies are now doing more than ever to measure their energy usage and greenhouse gas (GHG) emissions in order to identify opportunities for reducing energy usage and emissions.  This measurement and benchmarking makes sustainability reporting much easier because the data is already readily available.

The GRI reporting framework specifically requires companies to report their energy consumption by primary energy source and the energy saved due to conservation and efficiency improvements.  This publicly-available information makes a company’s energy efficiency efforts much more transparent. Similarly, the GRI reporting framework requires companies to measure their total GHG emissions and report on its initiatives to reduce GHG emissions.

The advantages of sustainability reporting, according to the GRI, can be separated into internal benefits and external benefits:

Internal Benefits for Organizations of Sustainability Reporting

  • Develop a vision and strategy on sustainability
  • Improve management systems
  • Indentify strengths and weaknesses
  • Attract and motivate staff
  • Connect departments and promote innovation
  • Source of competitive advantage and become a “market leader”
  • Attract investors

External Benefits for Organizations of Sustainability Reporting

  • Enhances reputation, trust and respect
  • Improves transparency and dialogue with stakeholders
  • Demonstrates commitment to sustainability
  • Enables comparability and benchmarking

GRI in 2010 released a supplement for its reporting framework that is specifically designed to address the special aspects of the food processing industry.  This supplement makes it easier for food processing companies to conduct their sustainability assessment and benchmark their company across the industry for best practices.

The GRI web site provides a list of companies that are reporting under GRI, which makes it easy to identify the sustainability leaders in the food processing industry.  Some of the 64 food companies in the Food and Beverage industry that reported in 2010 include, for example, Kellogg, Nestle, and Sara Lee, among many others.

Kellogg, for example, has an entire micro website dedicated to its GRI reporting at “2010 Corporate Responsibility Report.”  In the environment section Kellogg provides an example of how it has reduced its energy usage by 7% since 2009 at its plant in Botany, Australia, by installing an energy management system aimed at improving the control and monitoring of key equipment, such as air compressors, boilers, chilled water units and cooling towers. In another example, Kellogg at its cereal plant in Belleville, Ohio, reduced its electricity use by 9% and gas use by 11% in 2010 by improving its manufacturing processes.

Sara Lee also has a micro web site dedicated to Sustainability. The company provides numerous examples of how it has reduced energy usage and greenhouse gas emissions. For example, Sara Lee at its Newbern, Tennessee retail facility realized a 9 percent drop in total energy use as a result of continued employee education and implementing recommendations from energy audits.  Sara Lee’s coffee factory in Grimbergen, Belgium reduced its energy consumption by 14 percent by implementing the actions identified during an energy audit.

There are many other examples of food processing companies that are heeding the call for corporate sustainability.  In the case of reducing energy usage, this has the important added benefit of reducing costs and boosting profits.

Energy Efficiency Update – Utility EE Programs – July 2011

July 1st, 2011

New ACEEE report finds that states are successfully meeting their EERS energy efficiency targets

The American Council for an Energy-Efficient Economy (ACEEE) just released a report in June finding that states in general are having great success in meeting the goals of their Energy Efficiency Resource Standards (EERS) (report link).

An EERS standard, in its broadest sense, is simply a requirement for a utility to reduce energy usage by a certain amount over a certain period of time.  An EERS standard typically either specifies an amount of energy usage reduction per year (e.g., Massachusetts’ 2.0% in 2011 and 2.4% in 2012) or over a longer period of time (e.g., New York’s requirement for a cumulative 15% reduction from forecast levels by 2015).  The states with the highest EERS electric annual savings goals are Massachusetts, Vermont, Arizona, Illinois, and New York.

Twenty-six states have now adopted an EERS in one form or another, meaning specific energy efficiency programs are in place in the majority of states in America.  There has been some movement for a national EERS, but with the current gridlock in Washington, a national EERS does not seem to be likely soon.  In the meantime, the majority of states are pulling their weight on implementing energy efficiency programs.

The advantage of these energy efficiency programs is that for the relatively low cost of 2.5-3.0 cents per kilowatt, the need can be eliminated for building additional power generation facilities that typically cost more than twice as much as energy efficiency efforts, thus saving all electricity ratepayers money.  In addition, energy efficiency programs reduce peak demand, grid congestion, pollution, and greenhouse gas emissions.

The ACEEE study found that an impressive nine states achieved energy savings of at least 1.2% of annual sales in their latest reporting year of either 2009 or 2010.  Just five years ago, only one state was able to save 1.2% in electricity costs.

While annual energy savings goals of 1% or 2% may not seem like much, those savings are sufficient to add up to big numbers after compounding those annual savings figures over a decade. For example, six states already have EERS programs that should produce an overall drop of 20% or more in electricity usage by 2020.  Vermont, Maryland and New York, for example, all have programs that are designed to reduce electricity usage by an overall 27% by 2020.

Measured against targets, the ACEEE study found that 13 of the 20 states with EERS programs in place for at least two years are achieving 100% or more of their goals, 3 states are achieving more than 90% of their goals, and only 3 states are realizing savings below 80% of their goals.  North Carolina has not measured its electricity savings and ACEEE, therefore, had to exclude them from the results.  The bottom line is that more than three-quarters of states are achieving 90% or more of their EERS savings goals, which is an impressive outcome.

ACEEE points out, however, that states have benefitted so far from plucking the low-hanging fruit and that the process will get more difficult as savings goals rise and as deeper penetration is needed to find energy efficiency projects.  Moreover, ACEEE notes that some states such as Massachusetts and Minnesota are in the midst of major program ramp-ups and have therefore fallen slightly behind their savings goals.

ACEEE also notes that where there is a multi-year target, there is a tendency for savings to be low early in the period and then for savings to catch up towards the end as the programs attain full steam.  This has been the problem in the two states, New York and Maryland, which have achieved less than 80% of their savings goals so far.  ACEEE found that there is confidence that New York will be able to catch up and hit its 15% savings goal by 2015, but ACEEE says that Maryland is unlikely to meet its long-term goals because the Maryland public service commission has not approved utility targets or funding sufficient to meet the goals.

In discussing success factors in EERS programs, ACEEE notes that regulation by itself cannot assure the success of an EERS efficiency program and that success actually depends on execution by the utility, third-party administrators, and program implementers.  Lime Energy, as a program implementer for EERS energy efficiency programs, has found from its own experience that there is a wide range of competence levels among energy management companies that are tasked with marketing and implementing the energy efficiency programs to electricity customers.  There are many capabilities that are needed for success such as program marketing, facility auditing, project development, energy engineering, material procurement, database administration, and project installation.

Lime Energy provides an example of a firm that has repeatedly demonstrated its success in meeting and exceeding energy efficiency goals for a number of different energy efficiency programs in multiple states.  For example, in Lime’s engagement with National Grid in western New York, Lime is in the process of carrying out a $32 million program at over 4,000 customer facilities (see success story fact sheet).  Lime has thus far delivered 122% of its savings goal to National Grid, thus helping the utility meet its EERS requirements and helping the state of New York meet its overall goal of reducing electricity usage by 15% by 2015.

The bottom line is that state law and regulators can issue mandates about how much energy needs to be saved, but at the end of the day, it is the people and the companies on the ground that make or break an EERS program.

Energy Efficiency Update – Banking – July 2011

July 1st, 2011

And the “Sustainable Bank of the Year” award goes to….

Brazilian bank Itau Unibanco in June was declared the winner of the “Sustainable Bank of the Year” award for 2011 (web site link).

The award is co-sponsored by the London newspaper the Financial Times (FT) and the International Finance Corporation (IFC) (web site link), which is the finance arm of the World Bank.

While not a household name, Itau Unibanco is the largest bank in Latin America and is one of the top 10 banks in the world with over 108,000 employees and 5,000 branches.  Itau Unibanco puts a big emphasis on integrating sustainability into its core operating principles.  The bank adheres to the Global Pact and the Equator Principles and follows the guidelines for the Global Reporting Initiative and the AA1000 standards of management for corporate accountability.  The bank’s stock in 2010 was included in the Dow Jones Sustainability Index for the 11thconsecutive year.

This is the fifth year that FT/IFC has issued financial sector sustainability awards.  Interest in the awards and in sustainability in general is growing quickly in the financial sector. ”We are seeing a much greater commitment by financial institutions in both developed and emerging markets to make sustainability a core part of their business,”  according to a comment by FT’s co-chair of the awards judging panel.

Banks are adopting sustainability drives in part to overcome their sullied reputations from the 2008 global financial crisis and from the worst recession since the Great Depression.  The public has a perception that banks serve only their own profits and that when things go wrong the banks expect the public to bail them out and then just continue on with outsized executive pay packages and excessive risk taking.  Banks are eager to counteract this public perception and demonstrate that they have learned their lessons and are now acting in more socially responsible ways.

But what does “sustainability” actually mean when it comes to the banking industry?  The criteria for the FT/IFC sustainability awards focuses on the extent to which the financial institution has embedded sustainability into its core operating principles in the areas of strategy, communications, transactions/products, and risk management.  The concept of sustainability in the banking industry has expanded in the wake of the financial crisis.  

Sustainability in banking was originally shorthand for a bank’s approach to environmental, social, and governance matters (ESG).  However, FT notes that the term now refers to “a banking business model that provides essential services to the broader economy and can be counted on not to destabilize the financial system.”

Sustainability is not just a social goal – there are benefits for bank profits as well.  An official from the International Finance Bank says that the IFC sees a link emerging between social and environmental activities and financial performance:  ”We see clearly that, for the companies that are not focusing on environmental and social standards, we have high credit losses and significantly lower return on our equity investments.”  This dovetails with the general investment idea that companies that pay attention to sustainability also stress excellence in management and that often carries over into excellence in operations and financial returns.

In the United States, only two banks, Bank of America and Citigroup, made the short list of nominees for the FT/IFC Sustainable Bank of the Year award.  Both of those banks have demonstrated that they take sustainability seriously.

It is no coincidence that Citigroup showed up on the short list for the FT/IFC sustainability award in the same year that it won a “2010 ENERGY STAR Partner of the Year” award.  Citigroup won this award through its aggressive energy efficiency program in which it was able to reduce its energy consumption by 7.3% and greenhouse gas emissions by 6.3% globally from 2009 levels across its real estate portfolio of 78 million square feet.  In the process, Citigroup saved more than $10 million in annual energy costs going forward.

Meanwhile, Bank of America in 2008 demonstrated its commitment to sustainability by announcing that it would invest $20 billion over 20 years to address climate change.  BoA had already invested $5.9 billion of that money by 2009.  Moreover, the Bank of America Tower in Manhattan was the first high-rise commercial office building to receive a LEED platinum rating from the US Green Building Council.

Other global banks have also demonstrated their seriousness about sustainability.  Deutschebank, for example, invested 200 million euros in its Frankfurt office to make it one of the most environmentally friendly skyscrapers the world, reducing heating energy by 67%, electrical power by 55%, water usage by 74%, and CO2 emissions by 89%, according to FT.

Meanwhile, HSBC, the runner up for the FT/IFC Sustainable Bank of the Year award in 2010, has been carbon neutral since 2005. In 2009, HSBC reduced its carbon emissions by 3.8% from the previous year.  The bank says it works hard to keep its buildings tuned and energy efficient.

The bottom line is that banks do not get awards for sustainability simply by writing reports and espousing principles. Instead, banks get awards with hard actions such as adopting sustainability principles into their core operating principles and implementing on-the-ground projects such as reducing their energy usage and carbon emissions.

Energy Efficiency Update – July 2011

July 1st, 2011

LIME’S ENERGY EFFICIENCY COMMENT:

Newly-released ISO 50001 Energy Management standard provides an exciting new way to uncover energy savings and certify sustainability efforts

In an exciting development for the energy efficiency effort, the International Standards Organization (ISO) in June released its ISO 50001 Energy Management standard.  ISO 50001, which took two years to develop, builds on the popularity of the ISO 9001 Quality Management standard and the ISO 14001 Environmental Management Systems standard.  There are more than one million organizations worldwide that currently use ISO standards.

ISO 50001 lays out a pathway by which any global enterprise in any industry sector can adopt management systems that result in continuous improvement in reducing energy usage and saving money.  The ISO 50001 standard potentially addresses 60% of the world’s energy use as represented by the global commercial and industrial sector.

The ISO 50001 standard is a voluntary program.  After implementation, a company can choose to either obtain third-party certification of ISO 50001 or can simply self-declare compliance.

Will ISO 50001 save companies money?  The U.S. Department of Energy is supporting ISO 50001 pilot programs at 25 companies across 14 U.S. states.  One ISO 50001 pilot program conducted by Dow Chemical produced energy savings in one of its plants by 17.9% over two years.  The program can also be highly successful in small businesses as seen by the fact that a plant owned by CCP of Houston, Texas employing 46 people achieved energy savings of 14.9% over two years worth $250,000 per year.   Other testimonials about the program are available on the DOE Energy Efficiency & Renewable Energy (EERE) web site from companies such as 3M, Owens Corning, Grays Harbor Paper, Kenworth Trucking Company, and others.

How does a company get started on adopting the ISO 50001 standard?  The DOE Energy Efficiency & Renewable Energy agency suggests the following steps (web site link):

  • Secure commitment from top management
  • Acquire, track and analyze data
  • Determine significant energy uses
  • Establish a baseline
  • Identify energy opportunities
  • Prioritize energy-saving opportunities

ISO 50001 in short is an exciting new way for businesses to learn how to save money on energy and  to certify their sustainability efforts.

ISO 50001 Resource Links

DOE EERE ISO 50001 microsite

Superior Energy Performance (SEP) certification program

ANSI ISO Focus

ISO 50001 Brochure

LIME’S RENEWABLES COMMENT:

Solar PV projects become increasingly attractive as solar panel pricing plunges

Historically, the rap on solar photovoltaic energy has been that it is expensive.  However, that view is becoming obsolete with the sharp decline in solar panel pricing that has been seen in the past 2-1/2 years.  This sharp decline in panel pricing, combined with various state and federal subsidies, is making solar an increasingly attractive source of power for business and institutional clients.

Solar pricing has fallen by an average of about 5% a year over the past several decades due to improvements in solar technology and reduced production costs.  During 2004-08, solar pricing stalled and moved sideways due to the sharp increase in solar demand during that period as well as lagging production of polysilicon and solar panels, as seen in the nearby chart.  However, solar pricing has fallen sharply during 2009-11 as existing solar companies and new entrants have sharply boosted global production of solar panels.

Global solar installations in 2010 more than doubled to 18.23 gigawatts, representing a 139% gain over 2009, according to Solarbuzz.com.  However, demand in the first half of 2011 then softened mainly because of reduced European subsidies.  As a result, Solarbuzz is now expecting solar PV installations in 2011 to grow by only 11% yr/yr to 20.3 gigawatts, which would be far below the industry’s average annual growth rate of about 50% seen in the past five years.

The latest data from Solarbuzz indicates that global solar installations in Q2-2011 actually declined by 22% qtr/qtr compared with the industry forecasts for a 12% qtr/qtr rise.  At the same time, production has remained very high, resulting in a big oversupply of modules.  Solarbuzz reports that global solar PV inventories at the end of Q2-2011 reached a record 8.6 gigawatts.  Solar companies have already started to cut back production in response to weaker demand, but it will take time for excess industry inventories to be worked down and for supply and demand to come back into balance.

Solar-Pricing

In the meantime, the current oversupply of solar modules has put sharp downward pressure on solar pricing.  The Solarbuzz Solar Electricity Price Index for industrial solar PV systems in sunny climates has fallen by 5.6% so far in 2011 to 16.11 cents per kWh from 17.07 cents at the end of 2010.   That adds to the sharp decline of 13.0% seen in 2010 and 7.9% in 2009.  The Solarbuzz Electricity Price Index has plunged by an overall 24% from the end of 2008, illustrating how much more affordable solar power has become in just the last 2-1/2 years.

Solar pricing for a specific solar installation project depends on many variables such as solar intensity at the installation site, the size of the installation, the balance of system costs, installation costs, the availability of government subsidies, and the cost of financing.  Still, the industry solar pricing indexes provide useful benchmarks to highlight the sharp decline in solar pricing.

Solar pricing, after taking into account current subsidies, is now easily competitive with grid pricing.  Solar PV systems allow a business or institutional client to generate electricity on site and gain protection from grid unreliability and utility price increases.  Installing solar also allows a company or institution to reduce carbon emissions and meet sustainability mandates and goals.

SELECTED ENERGY EFFICIENCY NEWS CLIPS

Click on headline to retrieve full story

ISO 50001 Energy Management Standard Published

June 15 – Environmental Leader – The International Organization for Standardization has released ISO 50001, a standard for energy management systems.  The standard aims to help organizations establish the systems and processes to improve their energy performance, including efficiency and consumption….

Department of Energy Highlights New Global Energy Efficiency Standard

June 20 – EERE – The Department of Energy (DOE) today recognized the publication of ISO 50001, a new global energy efficiency and energy management standard which will help organizations worldwide save money in their buildings and industrial facilities….

ISO 50001 energy management launch event

June 21 – ISO – Substantial improvements in energy efficiency with positive financial impacts have been experienced both by a major company and by a small business taking part in a pilot programme to test the new ISO 50001 energy management standard….

Building Owners Expect Energy Price Spike, Target 12% Energy Reduction

June 16 – Environmental Leader – Eighty percent of building owners expect double-digit energy price increases over the next year, which has prompted an average energy reduction target of 12 percent, according to Johnson Controls annual global energy efficiency indicator survey of nearly 4,000 building owners and operators around the world….

Post-Quake Japan Shows Highs & Lows of a Hasty Path to Efficiency

June 20 – …In the wake of this year’s horrific earthquake, tsunami and nuclear meltdown in northeastern Japan — a disaster that is still, and perhaps will always be, ongoing — the country has shut down 35 of its 54 nuclear power plants, cutting electricity output by 15 percent.  To make up the difference, Japanese society has taken up a number of efforts to cut energy, with mixed results….

More than 114,000 New Jobs would be Created by White House Better Buildings Initiative

June 13 – USGBC – More than 114,000 new jobs, many which would come from the hard-hit construction industry, would be created through the Better Buildings Initiative, a White House plan to make existing commercial and multifamily buildings more energy efficient…

Why Cities’ Climate Change Strategies are Good for Businesses

June 2 – Greenbiz.com – Cities’ climate change-related projects often have a ripple effect on businesses, whether towns are putting more renewable energy in the electrical grid, expanding recycling systems or adding bicycle lanes….

Building Owners Expect Energy Price Spike, Target 12% Energy Reduction

June 16 – Environmental Leader – Eighty percent of building owners expect double-digit energy price increases over the next year, which has prompted an average energy reduction target of 12 percent…  Lighting and heating, ventilation, air conditioning and controls improvements are the most popular energy efficiency improvements….

Black & Veatch’s 2011 Electric Utility Survey – What’s on the mind of utilities in 2011?

June 16 – Greentech Media – Here are the top insights:  Prepare for a “significant” increase in your electric bill over the next five years….

Energy Concerns Could Make Panetta First Green DOD Chief

July 1 – NY Times – When Leon Panetta was sworn in this morning as the 23rd secretary of Defense, he inherited a force that is more fuel-dependent than ever — a fact that those inside the Pentagon increasingly say underlies the budgetary and battlefield issues that will consume his attention….

Global Focus on Energy Efficiency Grows

June 17 – Greentech Media – Johnson Controls released its fifth annual survey, 2011 Energy Efficiency Indicator: Global Results, which takes a birds eye view of the international state of energy efficiency….

DOE to Help Train Next Generation of Industrial Energy Efficiency Experts

June 22 – EERE – DOE announced on June 16 the availability of more than $30 million to train engineering students in manufacturing efficiency, helping them become the next industrial energy efficiency experts….

EFFICIENT BUILDINGS

USGBC Launches LEED Volume Program for Operations & Maintenance

June 27 – USGBC – The U.S. Green Building Council (USGBC) today announced that LEED Volume Program for Operations & Maintenance is now available for existing green building projects. The track, which focuses on operations and maintenance needs, debuted at the 2011 BOMA International Conference held in Washington, D.C….

Revised LEED Demand Response Credit Requirements Promote Automated Demand Response in LEED building

June 15 – USGBC – The U.S. Green Building Council (USGBC) today announced the release of the comprehensively updated LEED Demand Response Pilot Credit. Originally launched in 2010, the revised and enhanced Demand Response Pilot Credit establishes guidelines that are anticipated to increase participation in automated demand response programs….

UC Davis Plans the Largest Zero-Net Energy Community in the U.S.

June 1 – Reuters – The University of California-Davis are planning to build the largest zero-net energy community in the U.S. in the fall. The UC Davis West Village will combine a number of innovative energy-efficient technologies, including a 4 megawatt, high efficiency SunPower solar power system….

DOE and The Appraisal Foundation Announce New Partnership to Focus on Energy Performance and Building Appraisals

June 13 – DOE – As part of the Obama Administration’s efforts to improve commercial building efficiency 20 percent by 2020, U.S. Energy Secretary Steven Chu today announced a partnership with The Appraisal Foundation that will help expand access to energy efficiency and building performance information for commercial buildings and help American businesses to reduce energy waste….

What’s Hot in HVAC

June 16 – Environmental Leader – Energy-efficient heating, air conditioning and ventilation (HVAC) still faces an uphill battle for adoption, but many lower-cost options are making this technology more attractive to companies, according to intelligence and strategy firm Lux Research….

EFFICIENT LIGHTING

From the Capitol to the Market, Inside the Battle of the Bulbs

June 18 – Greenbiz.com – First up this week, Correspondent Lee Patrick Sullivan visits the Lightfair International trade show in Philadelphia to find the latest offerings in energy efficient bulbs….

Obama Shines Light on Job-Creating Efficiency Standards

June 13 – NDRC – President Obama is scheduled to visit today the Cree high-efficiency lighting manufacturing plant in Durham North, Carolina.  Cree is a leading manufacturer of light emitting diode (LED) lights…

COMPANIES & EFFICIENCY

US Postal Service Delivers a Smaller Carbon Footprint

June 7 – Greenbiz.com – Aggressive work to cut energy use in facilities helped the U.S. Postal Service reduce greenhouse gas emissions by 8 percent since 2008 and put the agency solidly on track to achieve its environmental performance targets for 2020….

Companies ‘Unprepared to Meet Their Environmental Targets’

June 21 – Environmental Leader – A quarter of the sustainability executives surveyed for the study say their companies have set “aspirational” sustainability goals and lack a clear plan to achieve them….

Kohl’s Reports 30% Energy Savings Through LEED Volume Program

June 29 – Greenbiz.com – The U.S. Green Building Council’s streamlined LEED certification for large groups of existing buildings graduated from pilot phase to official status this week after five years in development, and some of its early adopters are already reporting strong energy and water savings from the program….

NATIONAL ENERGY EFFICIENCY POLICY DEVELOPMENTS

House Bill Would Cut Clean Energy and Efficiency Programs by 40 Percent

June 21 – SolveClimateNews.com – Appropriations bill puts renewable energy and efficiency funding about $1 billion below current levels, roughly equaling dollars doled out in 2005…

Note to Congress: This is How to Encourage Better Buildings

June 9 – Greenbiz.com – A few weeks ago USGBC, along with the Natural Resources Defense Council and the Real Estate Roundtable, spearheaded the development of a letter sent to several key Senators on proposed changes to the tax deduction for energy-efficient commercial facilities, as put forth by President Obama…

Can Obama’s Better Building Plan Create More Jobs?

June 16 – NDRC – …Among Council’s ideas for job creation was one that we have been pressing on for a long time — increasing the energy efficiency of our existing building stock. Not only will this create jobs in the ailing construction sector, but also in manufacturing, operations and throughout the economy as earnings and energy bill savings are spent in other sectors….

Obama Pledges $250 Million to Upgrade Aging U.S. Electric Grid

June 13 – Bloomberg – The Obama administration outlined a plan to upgrade the U.S. electric grid, providing as much as $250 million in loans for rural towns and urging steps that would bar utilities from using market power to raise prices….

Obama Pushes for More Cleantech, Green Jobs and Training

June 14 – Greenbiz.com – Facing heavy criticism for a sluggish economic recovery, U.S. President Barack Obama brought his talk about the importance of growing more green jobs to a thriving LED factory in North Carolina Monday….

A Renewed Push from the White House on Grid Modernization

June 13 – NDRC – At a White House event today, the administration released a new report that frames the modernization of the US power grid and launches a number of public and private initiatives including new outreach efforts, partnerships and loan programs….

Supreme Court’s Emissions Decision Puts Climate Spotlight on EPA

June 21 – NDRC – The Supreme Court today reaffirmed that it is the Environmental Protection Agency’s job to curb dangerous carbon pollution under the Clean Air Act, deciding in Connecticut v. American Electric Power that states cannot bring suit directly against five of the nation’s largest power companies to curb their emissions as a public nuisance….

U.S. Sets First Regional Energy-Saving Standards for ACs and Furnaces, Upgrades National Heat Pump Standards

June 10 – ACEEE – A diverse coalition of consumer, manufacturing, and environmental groups praised new energy efficiency standards just released by the U.S. Department of Energy (DOE) establishing the first-ever regional standards for central air conditioners and furnaces, as well as strengthened national standards for heat pumps….

Blueprint for DOE Features Energy Efficiency

June 9 – Alliance to Save Energy – On May 10, 2011, Secretary of Energy Steven Chu released the Department of Energy (DOE)’s Strategic Plan, a comprehensive blueprint to achieve the agency’s core mission of providing energy solutions to the United States’ energy and environmental challenges….

REGIONAL ENERGY EFFICIENCY DEVELOPMENTS

Across the Nation, State Energy Efficiency Policies Deliver, Save Consumers Billions

June 15 – ACEEE – A diverse coalition of consumer, manufacturing, and environmental groups praised new energy efficiency standards just released by the U.S. Department of Energy (DOE) establishing the first-ever regional standards for central air conditioners and furnaces, as well as strengthened national standards for heat pumps….

Cities Leading the Way: The Mayors Climate Protection Awards

June 20 – NDRC – Mayor Annise Parker of Houston, TX, and Mayor Elizabeth Tisdahl of Evanston, IL, won top honors at the 2011 Mayors’ Climate Protection Awards (sponsored by Walmart) on Friday. The program recognizes mayors of large and small cities for finding innovative ways to increase energy efficiency and reduce global warming pollution. I’ve been a judge in this competition for several years, and on Friday I attended the awards ceremony for the first time, in Baltimore….

States’ efforts lead the way on energy efficiency

June 21 – USA Today – With Congress largely stalled on the issue, U.S. states are taking the lead on energy efficiency. New research shows 26 have set rules requiring utilities to save a certain amount of power each year, and the results are lower bills for consumers and a reduced need to build power plants….

Guest Post: Politics Obscures Policy in New Jersey RGGI Battle

June 17 – Greentech Media – Personality outdid policy when Governor Chris Christie announced his intention to withdraw New Jersey from the Regional Greenhouse Gas Initiative (RGGI), a multi-state climate and energy program that is a bipartisan model for using the market to reduce energy costs, reduce air pollution from fossil fuels, and stimulate the clean energy innovation economy. The news coverage focused on politics instead of policy, leaving untold one simple truth: RGGI works, and has been a resounding success….

SEEA Advances Energy Efficiency Among Southeastern Industrial Manufacturers

June 14 – ASE – A recent meeting with 80 attendees from 25 manufacturing companies in the Southeast promoted energy efficiency in manufacturing plants. At the meeting, energy managers exchanged best practices, touted their accomplishments and encouraged one another’s efforts….

Governor Christie Outlines Greener and More Affordable Vision for Future of Energy in New Jersey

June 7 – State of New Jersey – Governor Chris Christie today released the State’s draft 2011 Energy Master Plan (EMP), a greener and more affordable vision for the use, management, and development of energy in New Jersey over the next decade and beyond. The draft EMP establishes a path for the Administration to manage energy in a way that promotes renewable sources of energy, saves money, stimulates the economy and job creation, and protects the environment….

Chicago Program Lights a Path Forward for Energy Savings in Multifamily Buildings

June 9 – ACEEE – …One effort that has successfully turned this potential for energy improvements in the multifamily housing market into a reality is the Chicago area Energy Savers program, profiled in a new ACEEE local policy case study….

Ameren Illinois ramps up efficiency spending

June 21 – stltoday.com – Ameren Illinois is sharply increasing the amount of energy efficiency incentives available to customers as the utility tries to help reduce energy use across its service area to comply with a 2007 state law.  In all, about $78 million in discounts and rebates for energy saving lighting and electric and gas appliances…

City of Houston Wins Mayors’ Climate Protection Award

June 17 – EPA – Today, the U.S. Conference of Mayors announced that the City of Houston’s Mayor Annise Parker has received the 2011 U.S. Conference of Mayors’ Climate Protection Award….  Mayor Parker is being recognized for her work in implementing the Houston Green Office Challenge. The voluntary campaign encourages commercial building managers and tenants to reduce energy consumption, water usage and waste production by 10 to 50 percent….

San Francisco Named North America’s Greenest City

June 30 – Greenbiz.com – San Francisco took the title as the greenest city in North American in a study of the environmental performance and commitments by 27 major metro areas in the U.S. and Canada….

INTERNATIONAL ENERGY EFFICIENCY DEVELOPMENTS

EU to Watch Carbon Prices to Gauge Fallout of Energy-Efficiency Push

June 17 – Bloomberg – Regulators will watch carbon prices to gauge whether new energy efficiency measures cut demand for emission permits, a senior official at the European Union said….

EU Sets Tough Targets for Utilities to Cut Energy Consumption

June 23 – Greenbiz.com – Energy companies will be forced to offset sales with energy-efficiency measures and public buildings face green makeovers as part of new EU plans to cut energy consumption by 20 percent….

RENEWABLES

World should double renewable energy by 2030: U.N.

June 3 – Reuters – …The renewables target would add to a U.N. drive to widen supplies of electricity to everyone by 2030 — about 2.5 billion people now have little or no access — and to improve world energy efficiency by 40 percent by 2030, he said….

U.S. Solar Market Stats: Q1 2011 by the Numbers

June 30 – Greentech Media – The U.S. solar market has been a late bloomer.  But it came into its own in 2011, surpassing one gigawatt for the first time, and shows signs of being one of the top, if not the top global market for solar in the coming years…

New York City’s Solar Landfill Plan Finds Eager Energy Developers

Developers say they want in on New York’s solar landfill project, but agree that Masschussetts and New Jersey have more enticing policy incentives…

Who’s Buying Renewables? Some Familiar Names, and Some Surprises

July 1 – Greenbiz.com – Here are 10 companies that are putting real dollars behind their sustainability rhetoric:  Kohl’s, Whole Foods Market, TD Bank, Swiss Re, Nordea Bank, Adobe Systems, Vestas Wind, News Corp., CLP Holdings and Deutsche Bank….

Obama’s $7 Billion Renewable Energy Grants Targeted for Audits

June 27 – Bloomberg – Government investigators are auditing some of President Barack Obama’s more than $7 billion in renewable energy grants to determine whether the money was awarded properly and the recipients were eligible….

If Renewable Costs Are Down, Why the Financial Uncertainty?

June 30 – RenewableEnergyWorld.com – Over the past few years, renewable costs have been on the decline, particularly solar and wind. According to industry experts, we are getting closer and closer to grid parity. So why is there still such financial uncertainty?…

Energy Efficiency Update – Higher Education – July 2011

July 1st, 2011

College sustainability ratings take a leap forward with the first year of AASHE’s STARS system

The Association for the Advancement of Sustainability in Higher Education (AASHE) recently released its “STARS: A Year in Review,” which is a report on the first year of its Sustainability Tracking Assessment & Rating System (STARS).  The STARS system (web site link) provides a transparent, self-reporting framework for colleges and universities to measure their sustainability performance, share the best practices, and plan for improvement.  More than 250 colleges and universities are now STARS Participants.

There are a growing number of evaluation systems for ranking college sustainability.  Most of these evaluation systems are designed to create college sustainability ranking scores for lists such as Princeton Review’s Green Honor Roll, the Sierra Club’s Cool Schools, or the Sustainable Endowments Institute’s Green Report Card, among others.  STARS, by contrast, is a comprehensive rating system that allows the college to rank itself with the goals of rewarding achievement and identifying areas for improvement.

The goals of STARS are to:

  • - Provide a framework for understanding sustainability in all sectors of higher education
  • - Enable meaningful comparisons over time and across institutions using a common set of measurements developed with broad participation from the campus sustainability community.
  • - Create incentives for continual improvement toward sustainability.
  • - Facilitate information sharing about higher education sustainability practices and performance.
  • - Build a stronger, more diverse campus sustainability community.

The STARS system uses 139 environmental, economic and social indicators that are divided into four categories related to campus activities:

  • - Education & Research – Co-curricular education, curriculum, research.
  • - Operations – Buildings, climate, dining services, energy, grounds, purchasing, transportation, waste, water
  • - Planning, Administration & Engagement
  • - Coordination & planning, diversity and affordability, human resources, investment, public engagement.
  • - Innovation

With its focus on sustainability, the STARS system is much broader, for example, than the American College and University Presidents’ Climate Commitment (PCC) (web site link), which is focused on measuring and reducing greenhouse gas (GHG) emissions.  Still, the two programs dovetail in that they share common goals that include reducing energy use and GHG emissions.

“STARS: A Year in Review Report” outlines the results and the lessons learned from the first year of the program.  STARS was officially launched in January 2010 and the reporting data was due by January 2011.  The latest results show that 36 institutions have gained STARS ratings, with 8 Gold awards, 19 Silver awards, and 9 Bronze awards.

After colleges and universities benchmark their current sustainability status, the next step is to develop an action plan for improvement.  STARS officials said that the first year of data indicates, for example, that there are opportunities for “significant improvement” in the area of reducing building energy consumption.  In this area, colleges and universities are well advised to seek help from an energy management company that can conduct audits and identify the best areas to start conserving energy on a campus that typically has many buildings.  An energy management company can also help to identify all the state and federal subsidies that may be available to help reduce the cost of the project and reduce the length of the time for the project’s payback period.  While STARS provides a valuable means for measuring sustainability, an energy management company can help a college or university to actually capture energy savings and reduce their GHG emissions.

About Lime Energy’s Commitment to Higher Education:

Lime Energy is a leading energy management company that is actively working with colleges and universities to reduce their energy costs and GHG emissions, plan and implement renewable energy projects such as solar and cogeneration, achieve Energy Star certifications, and boost their sustainability rankings.

As part of Lime Energy’s commitment to Higher Education, Joe Walsh, Lime’s Regional Director for New England, will be speaking at several higher education conferences in coming months on the topics of (1) the state and federal subsidies that are available for energy savings projects, and (2) ways to reduce the risk of implementing renewable energy projects.  These conferences include the National Association of Independent Colleges and Universities (NAICUSE) Conference in Hershey, Pennsylvania on July 31-August 3 (web site link), the Association for the Advancement of Sustainability in Higher Education (AASHE) Conference & Expo in Pittsburgh on October 9-12, 2011 (web site link), and the Association for Consortium Leadership Annual Conference in Claremont, California on October 12-14, 2011 (web site link).

Energy Efficiency Update – Health Care – July 2011

July 1st, 2011

New Jersey will remain a national leader on promoting energy efficiency and renewables with Governor Christie’s new 2011 Draft Energy Master Plan

New Jersey in recent years has been one of the most aggressive states in America in pursuing energy efficiency and renewable energy generation.  New Jersey’s leadership status will continue as the state moves ahead with its energy planning for the next decade.

New Jersey Governor Chris Christie in June released his administration’s “2011 Draft Energy Master Plan” (EMP) (web site link), which lays out the plan for managing energy resources over the next decade.  New Jersey law requires the EMP to be updated every three years.  The last plan in 2008 was authored by the Corzine Administration. There will be public hearings on the Christie 2011 Draft EMP on July 26, August 3, and August 11.

New Jersey’s new EMP plan identifies five main goals

  1. Drive down the cost of energy for all customers
  2. Promote a diverse portfolio of new, clean, in-state generation
  3. Reward energy efficiency and energy conservation and reduce peak demand
  4. Capitalize on emerging technologies for transportation and power production
  5. Maintain support for the RPS standard

The Plan recommits to meeting New Jersey’s Renewable Energy Portfolio Standard (RPS) of obtaining 22.5% of electricity from qualified renewable sources by 2021, which is one of the most aggressive state RPS requirements in America.  The EMP also mentions the aspirational goal of fulfilling 70% of New Jersey’s electric needs from “clean” energy sources by 2050.

New Jersey currently generates only 2.35% of its energy from renewables, which means the state has a long way to go to meet the RPS requirement.  New Jersey’s other main sources of electricity at present are nuclear (49.95%), natural gas (37.49%), coal (9.90%), and oil (0.31%). Notably, the EMP says that “New Jersey will no longer accept coal as a new source of power in the State” due to the expense of building new coal-fired power plants and their high greenhouse gas emissions.

Qualifying renewables under the RPS include Solar Thermal Electric, Photovoltaics, Landfill Gas, Wind, Biomass, Hydroelectric, Geothermal Electric, Municipal Solid Waste, Anaerobic Digestion, Tidal Energy, Wave Energy, and Fuel Cells that use Renewable Fuels.

New Jersey’s RPS has a carve-out for solar PV that requires electricity suppliers to procure at least 2,518 gigawatt-hours (GWh) of electricity from in-state solar electricity generators during the 2021 energy year and 5,136 GWh during the 2026 energy year and each year thereafter. New Jersey currently has about 9,000 solar PV projects installed totaling 331 MW, making it the second largest state for solar PV behind California.  The New Jersey RPS also has the nation’s first carve-out for offshore wind energy.

New Jersey’s EMP commits to developing more cogeneration and combined heat and power (CHP) systems, which use wasted heat energy to displace the need for other sources of heating or cooling.  The Christie Administration says that it is committed to developing 1,500 megawatts of CHP generation over the next 10 years, with 1,400 MW of commercial & industrial systems and 100 MW of district energy systems.

The New Jersey EMP report also recognizes the benefits of energy efficiency.  The report notes that energy efficiency measures implemented under the New Jersey Energy Efficiency Program between 2003 and 2010 saved approximately $4.29 for every $1 invested in the commercial and industrial sectors and $1.80 for every $1 invested in the residential sector.  The report notes that this reduction in energy usage not only helps the customer that participates in the energy efficiency program but also provides a benefit to all electricity ratepayers by reducing peak demand and driving down the overall cost of energy.

The EMP report recognizes New Jersey’s popular “Pay for Performance” (P4P) program, which provides aggressive incentives for businesses and institutions to implement energy efficiency projects.  Under the New Jersey P4P program, for example, Lime Energy recently completed an energy efficiency project for AtlantiCare, a health care group with 5,170 employees and 600 physicians that services communities in more than 60 locations.

The AtlantiCare total project  cost of $3.94 million was offset by $1.25 million in annual energy savings for AtlantiCare and a $2.4 million contribution from the New Jersey P4P program, resulting in a bottom line cost to AtlantiCare of only $1.5 million with a payback of only 1.2 years.  The program produced a permanent $1.25 million savings in annual energy costs for AtlantiCare.  Lime Energy offers more information on the New Jersey P4P program and a customized Lime P4P Playbook athttp://www.LimeP4P.com.

This article simply grazes the surface of the EMP and of New Jersey’s aggressive energy efficiency and renewable energy policy that businesses and institutions can use to reduce their energy costs.  Lime Energy has deep expertise in regulatory policy and obtaining the maximum state and federal incentives and subsidies for clients, not just in New Jersey, but across the nation.  Joe Walsh, New England Regional Director for Lime Energy, has written a white paper entitled “Summary and Analysis of June 2011 New Jersey Draft Energy Master Plan.”  This white paper is available upon request by contacting Joe at jwalsh@lime-energy.com or 617-548-6050.

What Will Power Our Energy Future?

March 21st, 2011

John Broder wrote this in the lead to his story in The New York Times on Sunday (March 13, 2011): “The fragile bipartisan consensus that nuclear power offers a big piece of the answer to America’s energy and global warming challenges may have evaporated as quickly as confidence in Japan’s crippled nuclear reactors.”

Reuters’ environment correspondent, Alister Doyle, added the following Monday that the problems at the Japanese reactors highlighted the quandary of whether it makes more sense to build nuclear power plants on coastlines, where they’re exposed to tsunami, or inland where the supply of water, which is needed to keep the plants’ reactors cool, is less reliable.

These statements call into question the nuclear solution for global energy needs.  Who in their wildest imagination would have predicted the coincidence of a massive earthquake near a nuclear generating station that triggered a tsunami that damaged the reactor cooling system to a degree that core meltdown is a possibility.  Yet all of this happened, and has opened the minds of people all across the planet that it could happen again.  This new perception adds a significant obstacle to the nuclear solution.

At the same time, a robust, reliable, safe and clean energy source is drastically needed to meet the energy needs of a growing planet and its myriad growing economies.  Today, oil trades at $100 per barrel, gasoline in the US is near $4 per gallon, and massive social change is happening in the world’s biggest oil producing region.  In recent memory, deep water oil production (with associated higher risk) led to the inevitable massive oil spill with devastating environmental consequences that fouled the US Gulf Coast.  Burning coal for power extracts a high cost on the environment by adding carbon dioxide to our atmosphere and taking CO2 to levels never experienced in human history – and with unknown consequences for the only planet we have.

Fortunately, a robust, reliable, safe and clean energy source is available today for a negative cost, and provided by Lime Energy.  This energy source is energy efficiency, which is the ability to provide the required energy service with less energy input.  One example is new lighting with electronic ballasts, better phosphors, and improved gas chemistry that replaces office lighting of the past with its magnetic ballasts and earlier generation lamps.  The simple fact is that where one watt of power was required to provide lighting for each square foot of office space; only one-half watt is needed today, which frees up a vast resource of electric energy that can now be used to power new buildings.  This new energy is available to us at negative cost because savings in utility bills exceed the cost of new technology over the life of the new system. Economists refer to this as NPV-positive, indicating that the net present value of installing energy efficiency is positive, so it has a negative overall cost. Other examples include fans that change speed to deliver only the exact amount of airflow to achieve comfort, and internet-based sensors and controls to continuously monitor building occupancy to be sure equipment is off when not needed. 

Because of better communication and control, these systems remove any question or doubt that savings occur. By constantly monitoring energy use and reporting consumption on a real-time basis, they demonstrate to the utility providers exactly how much energy is saved when compared with previous usage.  Long-term and short-term data further prove this concept. Energy use records for California show that electricity use per person has held constant since 1974 where consumption in the rest of the US has increased by 50 percent.  A recent survey of commercial building energy usage has concluded that overall energy costs per square foot have dropped by 10 cents per square foot in 2009 relative to 2008.  In both of these examples, energy efficiency was the driving force in the reduction, and the energy saved was (and is) an energy resource that is available for use by the rest of the population.

A landmark report by McKinsey (2009) projects the US potential for energy savings delivered by efficiency to be 23% of projected consumption by 2020, with an accompanying 1.1 gigatons per year of reduction in greenhouse gas (CO2e).  Clearly, efficiency is a significant resource that does not create emissions or environmental problems, and further reduces reliance on energy imports from volatile regions of the world.

Lime Energy performs the evaluation, design, and implementation of energy efficient solutions.  Energy efficient design leads to fast installation for quicker savings to utility bill-paying customers.   The company performs energy efficient lighting, HVAC, building automation, renewable energy and water conservation.  By not promoting specific technologies or brands, Lime Energy has been a longtime leader in unique energy solutions, honing its expertise since the early 1980s. With offices located across the U.S., Lime Energy helps companies of all sizes and lines of work improve their energy performance through various energy upgrades and building improvements. Lime also procures utility incentives, performs results tracking, and offers an extended payment program to companies that prefer to use utility cost savings to pay for the energy upgrades over time.  After reducing consumption through energy efficiency, Lime Energy can provide the engineering, design, implementation, ownership, management and operation of renewable energy.  This service is called LEAD (Lime Energy Asset Development) and includes solar, wind, biomass and other on-site generation assets.