energy efficiency project development via c pace...energy efficiency project development via...
TRANSCRIPT
Energy Efficiency Project Developmentvia C‐PACE
John DiModicaCEM, LEED O+M
June 27, 2013
Energy Service Companies (ESCOs)
Provide Turnkey project development, Design,
Finance management, Project implementation (construction management), and Measurement &
Verification (M&V) of Savings
EE Project Finance turns Utility Payments into Capital for Projects
Project Structure: Lower total payments; Utility Savings > Costs
Financial, Technical and Project goals set by Customer; managed by ESCO
Focus on the total life cycle cost of asset ownership.
Improves asset reliability, performance & occupant experience over multi‐year term.
Efficiency Solutions Reduce Total Payments
Developed/Financed via C‐PACE, EE project costs are paid by beneficiaries of energy savings by pass‐through of tax paymentsDeveloped/Financed via C‐PACE, EE project costs are paid by
beneficiaries of energy savings by pass‐through of tax payments
Slide Title
Source: Clean Energy Finance and Investment Authority (CEFIA)
Project Identification / Pre‐Development
ASHRAE Level II Energy Audit / Investment Grade Audit (IGA)
ESCO Services include:
Determine Specific Savings associated with measures
Determine Specific Costs of installation of project measures(via
sub‐bids/quotes from trade subs)
Utility Incentives Pre‐qualification
ECM Costs are Net of Utility Incentives
Final Determination of Costs & Savings (Interactive)
Selection of “Proposed” Measures (Final Package)
Slide TitleManaging the CEFIA approval process
Project Registration in CEFIA’s web‐based Data Management Platform (CDMP)
Project Registration (basic information) and Input of Technical Information on ECM‐by‐ECM basis
ECMs evaluated on savings impacts, life expectancy, savings degradation & financing term
Tool assists in determination of Project “Bundle”
Savings‐to‐Investment Ratio (SIR) > 1
Project Approval
Slide TitleDocumentation Management
C‐PACE uses CEFIA’s Data Management Platform (CDMP) which provides a uniform data entry and management tool to facilitate project management across a large number of projects; also supports transparency of project information.
CDMP Project Documentation Input – by ESCO
Source: Sustainable Real Estate Solutions (SRS)
Slide TitleProperty‐level DashboardSource: Sustainable Real Estate Solutions (SRS)
Slide TitleProperty‐Level Recommended ECMs, inputted by Energy Auditors & Key Financial Metrics to support underwriting
Source: Sustainable Real Estate Solutions (SRS)
CEFIA Technical Review TeamVerification of SavingsVerification of DocumentationVerification of M&V Procedures
C‐PACE Financial & Administrative StepsMortgage Lender ConsentApproval of Project for FinancingFinancing from Existing Financial Relationship
orFinance Competition – CEFIA brings banks to the table
CEFIA & Consultant Engagement & Financial Approval Processes
Sample Project Results
New / Improved Infrastructure & building systems, including:LightingLighting ControlsEnergy Management SystemsHVAC SystemsBuilding EnvelopeWater Efficiency ImprovementsCogenPVs & other Renewables
O&M & Out‐Year Service
Other elements related to building ‐ provided they can be done while maintaining an SIR > 1.
Construction Management
ESCO Provides Turnkey Construction Management & Responsibility for all Measures
ESCO Provides Turnkey Construction Management & Responsibility for all Measures
Slide Title
Highlights (For Demonstrative Purposes Only)
Lighting retrofit program ‐ 8,700 fixtures: T8/electronic ballasts/specular reflectors, compact fluorescents, LED exit and night lights, new fixtures, PCB removal.
Upgrade steam distribution system ‐ Venturi (SteamBloc) nozzle technology.
Conversion of 18 AHUs ‐ high‐velocity dual‐duct systems to VAV systems.
Installation of 36 variable speed drives.
Run around heat recovery for eight AHUs ‐ 100% outside air systems.
Installation of 1,200‐point direct digital control system.
Facility Type: Hospital & Medical Center
Facility Size: 840,000 sq. ft.
Type of Contract: Energy Infrastructure
Term of Contract: N/A
Total Capital Cost: $2,140,000
Total Annual Savings: $533,000
Sample CT Hospital Project
