A study by the American Council for an Energy-Efficient Economy found that commercial buildings can reduce energy use by an average of 18% through efficiency improvements identified in energy audits.
Energy audits can reveal hidden inefficiencies and unlock significant cost savings. Find out how an audit can benefit your bottom line.
As an experienced building owner or operator, you're always looking for ways to reduce operating costs and improve your building's performance. An energy audit is a systematic evaluation of a building's energy consumption that pinpoints areas of waste and inefficiency. By implementing the recommendations from an energy audit, you can significantly reduce energy costs, improve occupant comfort, and enhance your building's sustainability.
What is an Energy Audit?
An energy audit is a comprehensive assessment of a building's energy consumption. It involves a detailed analysis of energy use patterns, identification of energy-saving opportunities, and recommendations for improvements. Energy audits are typically conducted by certified energy auditors, engineers, or technicians with the expertise and tools to thoroughly evaluate a building's energy performance.
Benchmarking is a crucial component of an energy audit. It involves comparing your building's energy use to that of similar buildings, your own past performance, or nationally recognized standards. This comparison helps you understand your building's overall energy performance and identify areas for improvement.
Benefits of Energy Audits
Energy audits offer a wide range of benefits for building owners and operators. These benefits extend beyond simply identifying problems; they also uncover opportunities for improvement and optimization, revealing hidden potential for energy savings and improved building performance.
Financial Benefits
- Cost Savings: Energy audits can identify opportunities to reduce energy consumption by 10-40%, resulting in significant cost savings on utility bills.
Operational Benefits
- Improved Comfort: By addressing issues like drafts, inconsistent temperatures, and poor ventilation, energy audits can enhance occupant comfort and well-being. This can lead to increased tenant satisfaction and productivity.
Resilience Benefits
- Reduced Risk of Equipment Failure: Energy audits can identify potential equipment failures and recommend preventive maintenance measures to reduce the risk of disruptions and costly repairs. This can help ensure that critical building systems remain operational during emergencies.
Building Valuation Benefits
- Increased Property Value: Energy-efficient buildings are more attractive to tenants and buyers, leading to increased property value. This is because they offer lower operating costs and contribute to a more sustainable environment, which is increasingly sought after in the real estate market.
Compliance Benefits
- Compliance with Regulations: Energy audits help ensure buildings meet or exceed energy efficiency regulations and standards, such as BEPS. By proactively addressing energy efficiency, building owners can stay ahead of regulations and avoid potential penalties.
Social Responsibility Benefits
- Enhanced Sustainability: Energy audits promote long-term sustainability by identifying and addressing energy inefficiencies.
- Improved ESG Rating: Energy efficiency can improve a building's Environmental, Social, and Governance (ESG) rating, making it more attractive to investors who prioritize sustainability.
How Energy Audits Work
The process of conducting an energy audit typically involves the following steps:
- Initial Consultation: The energy auditor meets with the building owner or manager to discuss energy goals and the scope of the audit. This initial meeting helps establish a clear understanding of the building's characteristics, energy consumption patterns, and the owner's objectives.
- On-site Inspection: The auditor meticulously examines every nook and cranny of the building, documenting equipment, systems, and energy use patterns. This hands-on inspection provides a comprehensive understanding of the building's energy infrastructure and potential areas for improvement.
- Data Analysis: The auditor dives deep into the data, analyzing utility bills, building operational schedules, equipment specifications, and other relevant information. Specialized software and tools are used to identify energy usage patterns and inefficiencies.
- Occupant Interviews and Surveys: To gain a deeper understanding of energy use patterns and identify potential energy-saving behaviors, the auditor may conduct occupant interviews and surveys.
- Specialized Tools and Techniques: The auditor may employ specialized tools and techniques to gather more detailed information. Infrared scanning can detect heat loss and air leakage, while data logging tools can track energy usage over time.
- Report Generation: A comprehensive report is created, outlining the auditor's findings and providing actionable recommendations for energy conservation measures.
- Follow-up: After implementing the recommendations, the auditor may conduct follow-up assessments to monitor results and make further adjustments as necessary.
Types of Energy Audits
The American Society of Heating, Refrigerating, and Air-Conditioning Engineers (ASHRAE) defines three levels of energy audits:
- ASHRAE Level 1 – Walk-Through Analysis: This preliminary audit involves a brief on-site survey and analysis of energy bills. It focuses on identifying readily apparent energy-saving opportunities and provides a general overview of the building's energy performance. This level is suitable for smaller buildings or those seeking a basic understanding of their energy consumption.
- ASHRAE Level 2 – Energy Survey and Analysis: This audit provides a more detailed evaluation of a building's energy systems. It includes a comprehensive on-site inspection, data analysis, and a more in-depth assessment of energy use patterns. The auditor will identify a wider range of energy conservation measures and provide a cost analysis of potential energy savings. This level is appropriate for larger buildings or those seeking a more detailed understanding of their energy consumption and potential savings.
- ASHRAE Level 3 – Analysis of Capital-Intensive Modifications: This is the most comprehensive audit, involving detailed data collection and analysis over an extended period. It may include advanced energy modeling and simulations to assess the impact of significant capital investments in energy efficiency upgrades. This level is suitable for buildings considering major renovations or those seeking to optimize their energy performance with significant capital investments.
In addition to these general levels, specialized audits can be conducted for specific systems or equipment, such as steam systems, compressed air systems, or industrial processes. These audits focus on optimizing the performance of individual systems to maximize energy efficiency and reduce costs.
The appropriate level of audit depends on the building's size, complexity, and the owner's goals.
Energy Audits and BEPS
Building Energy Performance Standards (BEPS) are regulations implemented by local jurisdictions to improve energy efficiency in existing buildings. Energy audits play a crucial role in helping building owners meet BEPS requirements. By identifying energy-saving opportunities and recommending upgrades, audits can help buildings achieve the necessary energy performance levels to comply with BEPS. Energy audits can be a proactive step towards compliance and help building owners avoid potential penalties.
For example, in Washington, D.C., BEPS requires buildings to meet minimum energy performance levels based on their type. If a building doesn't meet the standard, owners must choose a compliance pathway to improve energy efficiency, which may include conducting an energy audit and implementing its recommendations.
Government Incentives and Rebates
Several government incentives and rebates are available to help building owners offset the cost of energy audits and energy efficiency upgrades. These incentives can vary by state and local jurisdiction.
- Federal Incentives: The Inflation Reduction Act of 2022 provides tax credits and deductions for energy-efficient commercial buildings, including a deduction of $0.50–$5.00 per square foot for new and improved energy-saving commercial buildings, depending on the percentage of energy savings and whether the contractor pays prevailing wages.
- State and Local Incentives: The Database of State Incentives for Renewables and Efficiency (DSIRE) provides a comprehensive list of incentives available in each state. Many states offer rebates, tax credits, and other financial assistance programs for energy audits and energy efficiency upgrades.
Conclusion
Energy audits are a valuable investment for building owners and operators. They can uncover hidden energy waste, leading to significant cost savings, improved occupant comfort, and enhanced sustainability. By taking advantage of government incentives and implementing the recommendations from an energy audit, you can improve your building's performance, reduce operating costs, enhance tenant satisfaction, and contribute to a greener future.