BOSTON — SourceOne, an energy management firm managed by Veolia North America, has announced the completion of a boiler decentralization project for The Dimock Center, a nonprofit community health and human services organization located in Roxbury, Massachusetts. For this energy savings performance contract (ESPC), SourceOne managed the full design and construction phases for the replacement of the existing central steam plant with distributed boilers. The Dimock Center benefits from guaranteed savings valued at $150,000 per year, greater energy efficiencies, and improved occupant comfort. SourceOne completed the project ahead of schedule and significantly under budget, achieving a 30 percent reduction in capital costs.

“The Dimock Center is a vital, nonprofit, community organization, tasked with providing critical health and human services to thousands of Boston residents each year,” said Jack Griffin, vice president and general manager, SourceOne. “Together with The Dimock Center’s leadership team, SourceOne identified, developed, and deployed the optimum solution to ensure low-cost, sustainable heating for the campus, reduced maintenance and fuel costs, and a comfortable environment for occupants for years to come.”

SourceOne has provided The Dimock Center with commodity procurement support services since 2009, helping them achieve significant savings in electricity costs. In order to benefit from additional energy saving opportunities, The Dimock Center engaged SourceOne to conduct a campus-wide energy audit. After identifying the existing central steam plant as a strategic energy and cost saving opportunity, SourceOne presented several options for its replacement. In order to secure capital and advance the project, The Dimock Center chose to pursue an ESPC contract model, where the savings generated are used to fund the capital improvements.

As project manager of the ESPC, SourceOne developed an investment grade audit (IGA), which was integral to The Dimock Center obtaining third-party financing for the project. The IGA incorporated an advanced design, project costs, and an annual $150,000 guarantee on savings. In developing the IGA, SourceOne also worked closely with the local utility to significantly reduce the interconnection costs for the project, in addition to reducing the schedule by a year. This innovative financing model enabled The Dimock Center to leverage future estimated savings resulting from the capital improvements, allowing the project to proceed forward.

SourceOne successfully managed a team of contractors to replace the existing oil-fired steam plant with natural gas fired point-of-use boilers. By switching from number 4 fuel oil to natural gas, SourceOne helped The Dimock Center to take advantage of the difference in commodity pricing. Following completion of the boiler project, SourceOne also managed a full steam trap audit and replacement to correct distribution system inefficiencies and generate additional savings.

“SourceOne was a vital partner on this project, guiding the process to help us meet our aggressive in-service deadline prior to the winter months, in addition to saving us 30 percent on the projected capital costs,” said Dr. Myechia Minter-Jordan, president and CEO of The Dimock Center. “Since completion of the project, The Dimock Center has significantly reduced energy expenses, while improving efficiencies and the comfort of our employees and patients.”

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Publication date: 11/3/2014

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