ACHRNEWS

Performance Contract Helps R.I. Save More Than $11 Million

April 9, 2007

PROVIDENCE, R.I. - The Rhode Island Office of Energy Resources (RIOER) announced that it expects to save the state’s residents the equivalent of more than $11 million in energy and related building operating costs under a 14-year performance contract with Siemens Building Technologies Inc.

“We now have a long-term, budget-neutral solution for improving the comfort and energy efficiency of three of our government buildings while reducing greenhouse gas emissions in the process,” said Andrew Dzykewicz, chief advisor to the governor on energy for the state. “We are going forward with similar projects for the rest of the state as well.

“We urge all municipal governments, as well as institutions and industry to look at this approach for their facilities. The Office of Energy Resources stands ready to help any other entity in the state to follow this example.”

Siemens has already begun to upgrade and retrofit critical HVAC systems in the government’s administration buildings, including the 104,000-square-foot Cannon Building housing the Rhode Island Department of Health; the 233,000-square-foot Powers Building housing the taxation and energy departments; and the 68,000-square-foot Chapin Health Lab, which houses the R.I. Department of Health Lab.

Plans call for replacing aging, inefficient boilers and chillers with newer, more-efficient units. Retrofits and upgrades also include the installation of digital HVAC controls, low-energy-consumption lighting, high-efficiency motors and drives, building envelope improvements, a lighting control system, and other energy-conserving measures. All facility improvements are scheduled to be completed by spring of 2008.

Once completed, annual energy savings are anticipated to reach 1,892,090 kWh of electricity and 108,122 therms of natural gas. According to Siemens, over the 14-year period of the contract, the project will reduce emissions of typical greenhouse gases (CO2, NOx, and SO2) by more than 27 million pounds (based on calculations from the Sylvania QuickAudit emissions calculator) and save the equivalent of some 77,000 barrels of crude oil.

The performance contract allows the state to finance the project’s costs over a 14-year period. Based on current and projected energy prices, Siemens said it guarantees the equivalent of more than $525,000 in avoided energy costs annually.

For more information, visit www.usa.siemens.com/buildingtechnologies.

Publication date: 04/09/2007