Saving Both Money and Energy

with Green Revolving Funds

Dr. Matthew Kuperus Heun Engineering Department, Calvin College

mkh2@calvin.edu

12 January 2015

Presentation to West Michigan

Sustainable Business Forum

What is surest way to reduce energy consumption?

Have a recession!

US Energy Consumption

0"

20"

40"

60"

80"

100"

120"

1940" 1960" 1980" 2000" 2020"

Energy'Con

sump.

on'[1

015 'B

TU/year]'

1973 Stagflation

Early 1980s

.com collapse

Great Recession

Challenges to EE …

High capital cost

Organizational boundaries

Energy savings “lost”

Rebound effect

GRFs provide …

Funding mechanism

Centralization of EE activities

Tracking and publicity

Avoid rebound

Rebound Effect

Energy Efficiency

Intervention

Monetary Savings

Other Purchases

Additional Energy Demand

in the Economy

Unintended consequence: Save less energy than you thought!

Leakage!

Green Revolving Funds Seed Money

Efficiency Project

Efficiency Project

Efficiency Project

Project Capital Energy Cost

Savings

GRF

Calvin Energy Recovery Fund (CERF)

GRF Feasibility Project •  “What would it take to

implement a Green Revolving Fund at Calvin College?”

•  Evaluated 9 potential energy efficiency projects

•  Developed fund governance policies

•  Projected fund balance

ENGR333 Fall 2008

Potential Projects

CERF Project Analysis

Tech Group 1

Tech Group 2

Tech Group 3

1

Light Replacement 1

2

Motion Sensors 2

Light Harvesting 3

3

Chapel Airlock 4

4

Solar Water Heating 5

5

Forced Computer Shutdown 6

6

Dorm Heating Tunnel 7

7

CDH Windows 8

8

9

Dorm Hall Lights 9

Policies

CERF Project Life Cycle

Phases&I:&Project&Proposal&

II:&Ini2al&Project&Review&III:&Detailed&Project&Analysis&&

IV:&Final&Project&Review&V:&Project&Implementa2on&VI:&Project&Ac2ve&Period&

VII:&Project&Hand=off&

Calvin&Budget&

Environmental&Stewardship&CommiEee&

IV

Physical&Plant&V

CERF&Account&

VI $ VII $

Proposer&

I

CERF&Interns&

II

CERF&Manager&

III

CERF Governance

•  Solicit project suggestions from the community

•  Research and assess EE projects •  Updates and proposals to ESC •  10 hours/week

CERF&Interns&

Environmental&Stewardship&CommiEee&

•  Final project approval •  Allocates finances •  Members from finance

and physical plant •  1 meeting/month

•  Advise CERF interns and CERF Manager

•  ~1–2 hours/year External&Consultants&

CERF&Manager&

•  Manages interns

•  2 hrs/week

Finances

Projects to Date •  Computer shutdown

•  Science Building bathroom lighting retrofit

•  North Hall lighting retrofit

•  Meeter Center lighting retrofit

•  Low flow shower heads

•  Track & Tennis LED lighting retrofit

North Hall Lighting Retrofit

North Hall Lighting

North Hall Lighting

0"

2,000"

4,000"

6,000"

8,000"

10,000"

12,000"

14,000"

Jul,13" Aug,13" Sep,13" Oct,13" Nov,13" Dec,13" Jan,14" Feb,14" Mar,14" Apr,14" May,14" Jun,14" Jul,14" Aug,14" Sep,14" Oct,14" Nov,14"

Energy'Saved

'(kWh)'

Total'Monthly'Energy'Savings'for'NH'Project'

$0#

$200#

$400#

$600#

$800#

$1,000#

$1,200#

Jul-13# Aug-13# Sep-13# Oct-13# Nov-13# Dec-13# Jan-14# Feb-14# Mar-14# Apr-14# May-14# Jun-14# Jul-14# Aug-14# Sep-14# Oct-14# Nov-14#

Total&Monthly&Cost&Savings&for&NH&Project&

North Hall Finances

•  Initial cost: $57,234

•  Rebate: $10,446

•  Savings rate: $10,408/year

•  Payback time: 4.5 years

Shower Retrofit

1st Gen 3rd Gen2nd Gen

2.0–2.5 gal/min ~1.2 gal/min

Shower Retrofit

0"

20"

40"

60"

80"

100"

120"

Sep+13"

Oct+13"

Nov+13"

Dec+13"

Jan+14"

Feb+14"

Mar+14"

Apr+14"

May+14"

Jun+14"

Jul+14"

Aug+14"

Sep+14"

Oct+14"

Nov+14"N

atural'Gas'Savings'(M

MBtu)'

Total'Monthly'Natural'Gas'Savings'for'Low:Flow'Showerhead'Project'

0"20,000"40,000"60,000"80,000"100,000"120,000"140,000"160,000"

Sep,13"

Oct,13"

Nov,13"

Dec,13"

Jan,14"

Feb,14"

Mar,14"

Apr,14"

May,14"

Jun,14"

Jul,14"

Aug,14"

Sep,14"

Oct,14"

Nov,14"

Water&Saved

&(gal)&

Total&Monthly&Water&Savings&for&Low9Flow&Showerhead&Project&

$0#

$500#

$1,000#

$1,500#

$2,000#

Sep+13#

Oct+1

3#

Nov+13#

Dec+13

#

Jan+14#

Feb+14#

Mar+14#

Apr+1

4#

May+14#

Jun+14#

Jul+1

4#

Aug+14#

Sep+14#

Oct+1

4#

Nov+14#

Total&Monthly&Cost&Savings&for&&Low5Flow&Showerhead&Project&

Sewer#Natural#Gas#Water#

Shower Finances

•  Initial cost: $4988

•  Rebate: none

•  Savings rate: $16,128/yr

•  Payback time: 0.3 years

Huizenga Track and Tennis Center

142 Metal Halide Lamps

New LED Fixtures

New LED Fixtures

T&T Finances

•  Initial cost: $154,240

•  Rebate: $46,176

•  Savings rate: $23,012/year

•  Payback time: 4.7 years

Project Progress Tracker

Project Progress Tracker

CERF Savings to Date

Resource( Total(If(used(by(

Michigan(resident(Energy(CO2(

Natural(Gas(Water(

923,366(kWh(670.4(Metric(Tons(

627(MMBtu(1,181,268(gallons(

87.8(years(40.13(years(7.88(years(35.95(years(

$81,337.74)

CERF Performance

*Average of peak and off-peak rates

¢/kW

-hr

Billingsley, M.A., et. al. The Program Administrator Cost of Saved Energy for Utility Customer-Funded Energy Efficiency Programs. Lawrence Berkeley National Laboratory. March 2014.

~ 3 ¢/kW-hr

GRFs and the Rebound Effect

GRFs reduce leakage

Energy Efficiency

Intervention

Monetary Savings

Other Purchases

Additional Energy Demand

in the Economy

Notes •  Student involvement throughout

•  Service learning works! •  Excellent interdisciplinary learning opportunities

•  Fully embedded in college faculty governance structure

•  Carefully tracking comparable metrics for energy and CO2

•  Implemented without a sustainability coordinator •  Fundraising magnet!

What Does It Take…?

•  An account with seed funding

•  Doers

•  A manager

•  Oversight

•  Integrity

•  Fortitude

Two Stories

•  “We don’t need this.”

•  “Accounting systems change behavior.”

Further Information

•  CERF Student Project Reports and Presentations http://www.calvin.edu/~mkh2

•  Green Billion Challenge http://greenbillion.org

•  Calvin College Statement on Sustainability http://www.calvin.edu/admin/provost/environmental/sustainabilitystatement.html

•  mkh2@calvin.edu