1. A one-time investment in energy efficiency will permanently lower operating costs.
How much do you expect to spend on energy bills and building maintenance this year? If you could permanently reduce those costs, what would you do with your savings?
An efficiency upgrade can reduce energy bills by 25-40%, and studies have shown that green retrofit projects can reduce total operating costs by 8.5-19%. Minimizing overhead is one of the fastest ways to improve your bottom line without making compromises like raising prices or reducing employee incentives.
2. Energy efficiency is a low-risk investment with predictable savings.
Implementing efficiency measures is a safe investment because you can easily determine savings through an energy audit. Comprehensive, whole-building audits provide more accurate projections as they are based on calculated energy measurements specific to your building. Plus, you’ll be able to see the quick payback and return-on-investment regardless of changes in sales volume.
In Massachusetts, the utility companies independently verify the savings projections determined your energy audit. An expert from the utility will review the project proposal to validate the recommended solutions and savings both before an installation and after the work is complete. This additional inspection further reduces any risk associated with the investment and provides peace of mind to business owners looking to cut costs.
3. Reduce energy without replacing costly equipment.
An energy efficiency upgrade doesn’t necessarily mean replacing old equipment. Retrofitting existing technology is often a better solution as it yields similar energy savings and extends the life of older equipment. In many cases, replacing or retrofitting equipment can be avoided altogether, as small improvements may make some systems run more efficiently.
- Energy efficient refrigerator motors produce 2/3 less heat, meaning coolers don’t have to work as hard to stay cold.
- Adding controls to refrigerator evaporator fans will cut the fan’s energy use by 60% and reduce wear and tear on the equipment.
- Switching to LED bulbs can significantly reduce light-generated heat gain by 50%, so HVAC and refrigeration systems need to work less to cool the same amount of space.
- Installing a cool or white roof coating can save up to 15% of annual air conditioning energy use, significantly reducing wear and tear on the HVAC system.
- Energy efficient solar window film can also reduce cooling costs by up to 30%.
4. Instantly Improve Curb Appeal.
If you own a convenience store or repair facility, then you know the importance of curb appeal. With more and more of the competition upgrading to LED exterior lighting, a customer can instantly tell which store is new and modern – even if it was built many years ago! LEDs have a profound impact on both the interior and exterior of a building, plus they use 75% less energy and last 20-25 times longer than fluorescent bulbs. If you want to keep pace with your competition or maintain brand standards, LED lights are a low-cost and low-maintenance solution.
5. Financing Options Keep You Cash Flow Positive on Day One.
There has never been a better time for small and medium size businesses to take advantage of energy efficiency. Federal and state governments, utility companies, and lenders are realizing that businesses of this size have significant savings potential and are working to remove barriers to participation. This has lead to a huge increase in available rebates, tax incentives, and financing options.
Almost all energy efficiency upgrades qualify for a utility-funded rebate, which means the utility company will cover anywhere from 40-70% of the total project cost. Business owners who wish to finance the remainder can utilize bank loans, on-bill financing from utilities, and a wide array of equipment leasing options. Once the project is complete, qualifying businesses can also take advantage of the 179D tax deduction of up to $1.80 per square foot.