Renewable energy scorecard highlights technology with greatest environmental and economic drivers.
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| Perkins Local Schools, Perkins High School and
Brian Middle School, in Sandusky, Ohio, used a Renewable Energy Scorecard to
analyze several renewable energy options based on the most significant
environmental and economic drivers.
>> Photos courtesy of Perkins Local Schools. |
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Take solar power generation, for example. Given
their visibility and well-established track record, photovoltaic panels are
typically the first — and often only — renewable technology on people’s radar.
But solar is not always the optimal choice economically: most states offer no
tax incentives or rebates to help decrease startup costs; regional electric
rates may be too low for solar to be competitive; and a lack of sunshine in a
particular location may not make the investment worthwhile.
In reality, most organizations that express a desire for solar aren’t tied to a
particular technology. They just want some sort of renewable component to their
energy management strategy. Locating the technology with the most significant
economic drivers requires an analysis of location-specific variables,
including:
- Fuel availability
- Energy prices
- Heating and cooling degree days
- Financial incentives and offsets
- Financing structure
Compiling the information required to make a sound financial decision is labor
intensive, and for most organizations requires expertise that falls outside of
their core competencies. But the task is not impossible and need not be
daunting, as evidenced by Perkins Local Schools in Sandusky, Ohio.
Rank and File
Like many K-12 districts, Perkins contended with an outdated and inefficient
infrastructure. The district’s boiler plant dated back to the 1920s, for
instance, and needed an overhaul. Numerous building envelope repairs were
required to prevent air loss.
Along with the infrastructure improvements, the district wanted to reduce its
dependence on traditional energy sources and lock in a portion of its spending.
So, Perkins turned to energy services provider Honeywell to better understand
the renewable landscape.
The company helped the district analyze several options using its Renewable
Energy Scorecard, a first-of-its-kind selection tool that helps pinpoint the
technology with the most significant environmental and economic drivers. The
tool looks at six proven renewable technologies, such as solar, wind, biomass
and geothermal, and provides a simple payback for each, giving organizations a
financial forecast derived from calculating tax implications, rebates,
subsidies and other incentives.
Starting with fuel availability, the scorecard for Perkins showed an abundance
of biomass in the surrounding area — more than 141 tons of wood waste per
square mile. Wind also appeared favorable, with an average velocity of 5.7
meters per second, a desirable speed to economically generate electricity.
Heating degree days far outweighed cooling, with an average air temperature of
48 degrees Fahrenheit. This indicated a higher demand for natural gas for a
greater portion of the year, biasing the analysis toward biomass.
In addition, Honeywell identified available state incentives that would help
ease the burden in financing the project.
Once all these factors were combined and weighed against conventional energy
rates, the scorecard ranked biomass thermal with the quickest payback (around
six years), followed by wind (around 11 years), and solar thermal and
geothermal (just fewer than 20 years each).
However, finances weren’t the only driver for the district.
Blowing in the Wind
The analysis showed biomass-generated heat would provide the greatest savings.
However, a biomass solution would take longer to implement and require the
district to negotiate a long-term contract for fuel. Furthermore, school
officials wanted their first renewable project to be as simple and visible as
possible. As a result, the district turned its focus to wind, which would allow
it to take advantage of a micro-climate caused by the winds blowing in from
Lake Erie and eliminate any fuel-sourcing issues.
Administrators decided to install three 20-kW wind turbines at the high school
and middle school complex, with an anticipated output of 144,000 kWh per year.
Based on these figures, the turbines — slated for installation in fall 2008 —
would cover more than 11 percent of the electrical load at the complex and
reduce annual CO2 emissions by more than 130 tons.
The district combined the turbines with the other conservation measures,
creating a $2.1-million program. The improvements were funded through a
performance contract with Honeywell that guarantees energy savings of
approximately $136,000 per year during the next 15 years. So, the work won’t
impact capital budgets or require additional taxpayer dollars.
The project is also expected to generate operational and maintenance savings of
around $56,000 per year without a loss of maintenance personnel. And, thanks to
a state grant of $150,000, the overall cost of the turbines was cut in half.