Sunworks Solar Power: Surge of new solar projects predicted, following the passage of the Inflation Reduction Act

The energy sector, among many others, has been preparing for the transition to clean energy for a while now. While strides have been made, the roadmap has been less than straight. The passage of the Inflation Reduction Act (IRA) steadies the wheel and gives consumers clear direction. So, how do we get to cleaner energy? The following blog from our friends at Sunworks Solar Power succinctly explains what the IRA includes, and how organizations of all shapes and sizes can access new incentives and choices to achieve the highest return from solar, storage, and electrification projects.

Sunworks Solar Power (2022, September 23). Surge of new solar projects predicted, following the passage of the IRA – Sunworks. Sunworksusa. https://sunworksusa.com/surge-of-new-solar-projects-predicted-following-the-passage-of-the-ira/

How much energy am I saving or wasting? How much more can I save on energy costs? Why is the AC kicking on at 3 am every weekday and how can I fix that? If you are a building owner or operator these are questions that no doubt plague you.

In our blog about energy modeling, we explore the predictive nature of modeling and the importance of good design in HVAC systems. Here, we will talk about the importance of monitoring the ongoing use of those systems. By utilizing energy monitoring equipment, you can see in real-time how those systems are performing, and get clear answers to these questions that may keep you up at night...or at least working overtime.

What is energy monitoring

Energy monitoring tracks and records consumption patterns in building(s) via an energy monitoring system (EMS). An energy monitoring system is equipment and software that integrates with your building’s utility provider(s), gathers consumption data, analyzes it, and then provides useful information directly to your desktop, laptop, and mobile devices. Information such as real-time alerts, how much energy the building is using, and how it is used throughout the day. Energy monitoring delivers enhanced control and efficiency, meter by meter.

Connecting energy monitoring in buildings

Connecting an EMS is fairly straight forward. The data is gathered by connecting the energy monitoring equipment to meters or sub-meters on-site for each resource you chose to monitor (electricity, water, gas, solar, energy storage). The best systems offer flexibility to connect and are hardware agnostic, assuring ease of adoption with what you already have in place, and adaptation to future changes and upgrades you may make.

There is a wide variety of energy monitoring systems on the market. Green EconoME works with Energy360 by Intech Energy, a cloud-based energy monitoring system that uses next-generation sensors and wireless building controls, providing real-time monitoring and remote equipment management. The advanced technology of the Energy360 system makes it easy to install and less invasive as earlier equipment. The advantage of being cloud-based is not only mobility, but advanced data analytics. The ability to capture and store, read, and analyze your big data empowers you to make changes toward significant savings. 

So now that you have your EMS equipment connected, the fun can begin! As the end-user, you have a host of robust functions and controls at your fingertips. EMS remote access dashboards deliver analytics that can be viewed as granularly or high level as desired. Three key features include:

Real-Time Monitoring - Receive notifications to uncover problems and anomalies. Visualize your consumption with detailed comparisons, graphs, charts, and maps.

Control Strategies & Automation - Set up and control your equipment remotely. Manage whole building and zone/meter schedules to optimize occupant comfort and demand.

Energy Forecasting - Customize reports to identify energy savings, building performance, and forecast future efficiency or RCx projects.

Why monitoring your energy use is important

There are a multitude of positive reasons to monitor the energy and/or water used in your building. Let me put it this way, it is way more enjoyable to view your utility bills and be surprised by how much you are saving, versus how much you are spending. Think of all the ways you benefit from identifying a problem early, rather than after you have overused and overspent. Below is a list of the benefits we can think of. I bet you will find even more when you consider your specific needs and application. If you do, please call us!

Lower Energy/Water Costs - Save on HVAC, lighting, water use, and expense. This is usually the heart of any efficiency strategy. Energy monitoring allows you to see actual efficacy and identify areas of improvement, thereby informing further strategies.

Improve Tenant Comfort - Fix heating and cooling complaints. This will not only lead to happier, healthier occupants but also happier, healthier operators. 

Increase Facility Value - Higher Net Operating Income. “Smart buildings” show on average, 13% savings. When operating costs are several hundred thousand dollars, this is a significant amount back into your NOI.  

Reduce Equipment Maintenance - Optimize operation and life cycle of systems. The effects of this can go beyond general maintenance to identifying the cause of a serious malfunction, mitigating emergency situations.

Peak kW Management - Lower utility charges by managing and responding to peak kW demand. Peak shaving is a proven and growing strategy to reduce TOU charges and avoid overuse during peak hours. 

Energy monitoring in action

Green EconoME utilizes energy monitoring as a powerful tool in identifying and measuring client energy and water use. We have implemented our solution into a variety of multi-faceted retrofit projects and each has realized significant savings throughout. Combining energy monitoring with a suite of efficiency measures, Warner View Center, which was an LABBC 2020 Innovation Awards, Energy Efficiency Project of the Year Nominee, reduced electricity and gas usage by over 50%, translating into savings of nearly $1 per SqFt., and projected savings of over $100,000 annually in operating expenses. Although that is comprehensive of multiple efficiency measures, Energy360 EMS is the nerve center and is being used by Green EconoME and the building management to this day, to track and monitor use. It acts as insurance and preserves the value of the investments. 

New efficiency products and technologies emerge at a rapid pace. Energy monitoring has been used widely  and continues to stand the test of time. Now more than ever, efficiency and sustainability planning are critical. Demand is going up due to the effects of the COVID-19 pandemic, in many cases taking reduction efforts in the wrong direction. You can listen to an enlightening conversation with our CEO, Marika Erdely, and our partners at Intech Energy about how you can use energy monitoring as an integral part of your efficiency plan and operations. Please contact us to learn more, schedule a demo, or to receive a free quote. 

“The increased risk of catastrophic wildfires poses an immediate threat to communities and properties throughout the state…[The state’s] electrical corporations must invest in hardening of the state’s electrical infrastructure and vegetation management to reduce the risk of catastrophic wildfires.” Kevin Payne, Southern California Edison president and chief CEO, addressed head-on in his General Rate Case testimony the primary issue facing his company and other investor-owned utilities (IOUs) across the American West. Wildfires are an ongoing crisis, and energy companies are feeling the heat. SCE is next up for revenue increase approval by the California Public Utilities Commission (CPUC), and their request is in the billions. Although this does mean monthly rate increases to customers, it also signals something larger: the need for end-users to become part of the solution.

The General Rate Case

General Rate Cases (GRCs), are proceedings made by utility companies to the Public Utilities Commission to address the costs of operating and maintaining the utility system and the distribution of those costs among customer groups. Cases are made every three to four years. Although all providers are required to do this, the three largest IOUs bear the most significant impact. In California, San Diego Gas & Electric and Pacific Gas & Electric have already submitted their applications for changes beginning in 2019 and 2020. SCE is in the final phase and approval is expected in early 2021.

The cost of power

SCE’s request represents a $1.295 billion, or 20.1% revenue increase in 2021. Increases for 2022 and 2023 are $366.5 and $534.2 million respectively. Although percentages vary across customer groups, this translates to approximately two cents more, per kWh in 2021. PG&E and SDG&E were not too far behind. PG&E asked for a $1.058 billion or 12.4% revenue hike for 2020. Rolling in third was SDG&E at a combined $2.199 billion revenue requirement, or an 11% increase over four years beginning in 2019.

What is it for?

The key reasons for SCE’s proposed increase are stated as:

  1. Reducing the risk of wildfires to keep the electric grid safe for the public and for SCE workers
  2. Reinforcing grid reliability and grid resiliency in case of emergency
  3. Improving customer service and communication, integrating distributed energy resources, and offering customers more choices to meet their needs

Top of the list, SCE is asking for more funding to help bolster wildfire prevention, risk monitoring, and emergency response. They will do this by adding new and enhanced safety measures like HD cameras and weather stations to detect ignitions. They will increase vegetation management, by continually removing potential fuel like branches and hazardous trees from power lines. They will perform system hardening or fixing bare wires to increase resilience and help further reduce wildfire risk.

Next, is SCE’s plan to upgrade technology and infrastructure to further grid safety, and modernization. Among other things, this means SCE still struggles to keep the power on. Urged by California’s clean energy reform, SCE continues to prioritize and invest in clean energy generation from customers connected to the grid. Stated as part of this, is integrating into the grid Distributed Energy Resources (DERs). Edison describes DERs as, “small scale local resources, often installed at a customer’s home or business, [that] can help meet California’s greenhouse gas reduction goals, help customers reduce electricity use and support grid reliability.” Their robust programs and incentives provide compelling opportunities to building owners throughout California.

The case for clean and efficient energy

If you have already implemented or are considering self-generation like solar, and energy storage, here are some of the programs in place. Net Energy Metering, provides billing credits for surplus energy you “sell back” to the grid. Solar Power on Warehouse Rooftops program, is exactly what it sounds like. Providing your warehouse rooftop(s) as a sort of solar farm, for which you will both use the power and get paid for the surplus kWh. SOMAH is a community program for multi-family low-income housing, which offsets tenant cost and implements cleaner renewable energy. SGIP and green energy strategies are programs that provide clean energy solutions and help finance the cost of installation. These are only some of the opportunities to make self-generation easier to light up and quicker to pay back. 

Outside of self-generation, energy efficiency has always been a proven path to reducing your use and cost while qualifying for incentives. For example, enrolling in an energy solutions incentive program like Demand Response, or Express Solutions, may not only offset future rate increases to your site, but qualify you for further discounts, financing, or credits. The best part is that you chose the efficiency modalities that best suit your needs. For effective retrofit measures, visit our Energy Efficiency Retrofits page. Green EconoME’s work at Warner View Center spotlights the impact of integrating newer technologies and self-generation at a single site.  

Fires rage on across the western United States, holding up what seems to be a promise for climate change. If we do nothing, more extreme weather conditions and events will be our fearsome reality. The multi-faceted issue which is met with even more refracting opinions does hold one fact to be true. Wildfires come at an enormous expense and are taxing an aging infrastructure. If this isn’t the tipping point of real change in our behaviors and long-term investments into solutions, how will we be paying for it in GRC cycles to come? 

Visit the CPUC website to read the complete SCE application or to submit public comment. When you are ready to explore energy efficiency or self-generation options for your property, please contact us.

If you own and/or operate an older building, existing inefficient equipment or a lack of new-age, sustainable solutions may be unnecessarily driving up operational costs. Here are the 6 ways to make sure you’re saving money and not throwing it out the window.

1. Get Rid Of Those Fluorescent Lights

Replace all fluorescent lights with LEDs, including all parking lot lighting. Installing LEDssave up to 20% – 30% on annual operating costs.

Lighting Retrofit Case Study

2. Install Solar Already

In addition to providing a long term energy cost reduction, you’ll also utilize the available tax benefits:

  • 26% Federal Business Energy ITC (dropping to 22% in 2021 and 10% thereafter),
  • The State of CA (MACRS) accelerated depreciation, and
  • Recently added, the 100% bonus Federal tax depreciation allows eligible entities to deduct the entire allowable tax basis of the system in the first year of operation.

Taking advantage of these tax incentives reduce the owner’s tax liability and will significantly offset the cost of a Solar PV system.  These incentives can also be applied to a roof replacement if combined into one project.

Solar PVs Case Study

3. Stop Cooling An Empty Room

Replace pneumatic thermostats with digital for higher-level control and visibility. Digital thermostats allow building owners to reduce peak demand by creating schedules around when spaces are unoccupied (holidays, non-peak hours, etc.).

Thermostat Retrofit Case Study

4. Be Smarter Than The Building

An energy management system (EMS) provides real-time monitoring, energy analytics, and wireless building control. The ability to measure a building’s energy usage on a granular level allows for better management of energy consumption and “peak demand.” An EMS provides extensive energy data history, peak load notifications, detailed usage reports, and more.

Energy Management System Case Study

5. Shield Your Internal Environment

Solar window film is applied to the interior of a window in order to control solar heat absorption. The film rejects up to 79% of solar energy and 99% of harmful UV rays.  Further, the film helps reduce glare, adding to a more comfortable office environment.

Solar Window Films Case Study

6. Protect Your Expensive Equipment

EvaporCool is a dual patented technology that pre-cools outdoor air prior to flowing through the condenser coils of an HVAC system. The pre-cooled air helps reduce the amount of work that the compressor must do to cool the air flowing inside a building. By minimizing the amount of work the compressor must do, the EvaporCool system prolongs the life of HVAC units, reduces energy usage up to 30%, and saves a significant amount in energy-related costs.

Evaporcool Case Study

Before getting started with any of these cost-saving options, we suggest having your building Benchmarked.
If you’d like to learn more about any of these cost-saving options, reach out to us at [email protected] or (818) 681-5750.