Manufacturer Reports

Siemens Performance Contract Puts Local Contractors to Work

November 7, 2011
/ Print / Reprints /
/ Text Size+
BUFFALO GROVE, Ill. — Through a $7.2 million energy savings performance contract, Siemens Building Technologies announced it is helping the city of Merced, Calif., reduce its energy consumption while supporting local jobs by hiring local subcontractors to deliver the project. Merced’s energy efficiency upgrades and equipment retrofits cover 17 main city buildings, seven city parks, and the Merced Regional Airport. Siemens is also replacing thousands of streetlights. The overall project is expected to save 3.3 million kilowatts of electricity annually.

Merced Mayor Bill Spriggs said, “Siemens is putting some of our local trades back on the job, improving the city’s infrastructure and putting Merced on a more sustainable, greener path.”

Three local contractors, including Modern Air, Best Electric, and First Day Electric, are on the job, putting current employees to work, and recalling idled crew members to implement facility improvements and install new equipment. Osram Sylvania Lighting Services (a Siemens company) is on the job as well, assisting First Day Electric in retrofitting interior lighting at the Merced Civic Center and other municipal buildings.

To finance the project, Merced secured a grant from the American Recovery and Reinvestment ACT (ARRA) as well as a long-term loan — debt to be serviced by the energy savings guaranteed by Siemens. Those energy savings are expected to more than pay for the improvements, and once the 16-year loan is paid off, projections estimate an equivalent of $2.6 million in ongoing energy savings available to help Merced keep operating and other expenses under long-term control.

Siemens is systematically upgrading building systems across the city’s portfolio of facilities, replacing dated, inefficient HVAC systems and updating controls with Siemens APOGEE® building automation system. Siemens said its building control technology will provide Merced facility managers with a much greater degree of control to assure the continued energy efficiency of the city’s buildings.

According to Siemens’ Greenhouse Gas calculator, the 3.3 million kWh reduction in electricity consumption reduces annual greenhouse gas emissions by 2,276 metric tons of CO2, equivalent to removing 446 passenger vehicles from the road, consuming some 255,000 fewer gallons of gas.

For more information, visit

Publication date: 11/07/2011

Did you enjoy this article? Click here to subscribe to The NEWS Magazine

You must login or register in order to post a comment.



Image Galleries

2014 Energy Efficiency Forum

Highlights from the 25th annual Energy Efficiency Forum in Washington, D.C.


NEWSMakers: Jeremy Begley

Jeremy Begley, home-performance specialist and Web and social media manager with National Heating and Air Conditioning Co. in Cincinnati discusses how and why you should add home-performance philosophies to your contracting repertoire. Posted on Sept. 12.

More Podcasts


NEWS 09-15-14 cover

2014 September 15

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe

Venting R-22

The NEWS reported that a man received prison time for venting R-22. Should EPA step up enforcement?
View Results Poll Archive


2014 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research


Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.


Magazine image
Register today for complete access to Get full access to the latest features, Extra Edition, and more.


facebook icontwitter iconyoutube iconLinkedIn i con