Guaranteed Energy Savings Program
Peter LindstromClean Energy Resource Teams
Limited Funds & Time
Addressing Deferred
Maintenance
Reduce Risk
Building Upgrades
Meet Sustainability
GoalsHigh
Energy Costs
Community Challenges Operational
Costs
LEEP – Local Energy Efficiency Program
BENCHMARK! IMPLEMENT!
What is an Investment Grade Energy Audit?
General Audit Investment Grade AuditUtility Bill Review Utility Bill Review
• Energy rates and cost figures for all utilities
• Historical Energy Use
Building Profile Building Profile with Inventory of all energy consuming equipment & processes• Facilities overview &
utilization• Operating hours analysis
Savings Recommendations Savings recommendations with payback periodsMeasurement &Verification Plan
LEEP: Local Energy Efficiency Program
7
• 10 Pre-qualified firms, standard selection tools & contracts• Project Design, Bidding & Implementation handled by LUG• St Paul Port Authority provides financing agreements for LEEP
participants through Energy Savings Partnership (Optional)
Opportunity Assessment
Provider Selection Investigation Financing
Program Review & Operation
Design Construction Bids
ImplementProject
Commerce Technical Assistance
Local Unit of Government
Leads
Chisago Lakes Schools
$22,500 annual energy and M&O savings
Savings from building utilityupgrades are used to pay for projects
GESP: Performance Contracting
$
Guaranteed Energy Saving Program is Budget Neutral
Existing energy,
maintenance & operation
costs
Savings Fund Improvements
Existing energy,
maintenance & operations
costs
Existing energy,
maintenance & operation
costs
Ongoing Savings
Before During After
What Kind of Projects?Projects to Consider:• Upgrading to high efficiency
boilers & chillers• Converting to ground-source
heating & cooling• Retrofitting to efficient lighting• Installing heat recovery
equipment• Redesign HVAC system• Adding solar energy systems• Increasing water conservation• Improving building envelope
Schneider Electric – Buildings Business 12
Long Payback
Cost Savings
Quick Payback
Cost Savings
BUNDLING: A comprehensive approach
Interior Lights
Variable Frequency Drives
Occupancy Sensors
Renewables
Boilers & Chillers
• State Provided Technical, Financial and Contractual Assistance
• Vetted Documents: RFP, Master Contract, Work Order Contract• Open Book Pricing & Maximum
Markups and Fees• Competitive Bidding of Trade Work
and Equipment with Pre-qualified Subcontractors
• Annual Savings Guarantee• Measurement & Verification
Guidelines• Pro Forma Guidelines• Annual M&V Report
Benefits of GESP: Renews infrastructure
Complete Process
Repurpose dollars
Less vulnerability to volatile energy prices, weather, and equipment failure
Progress in meeting your sustainability goals (GreenStep Best Practice)
Reduces Taxpayer Risk
Guarantee on energy savings through measurement and verification
Bemidji Rochester – Mayo Civic
Center Rochester – Recreation
Center Leech Lake Tribal Nation DNR Department of
AdministrationMnSCU campuses National Guard
Who has signed on so far?
• $8.1 million project – 18 year financing• $590,000 one time utility rebates• $442,000 annual energy and M&O savings
Minnesota State University -Mankato
• $2.0+ million project• $122,000 one time utility rebates• $120,000 annual energy and M&O savings
“We’re making$2 million inupgrades to buildingsand street lights without burdening our taxpayers.” - Mayor Rita Albrecht