Top 5 energy management system considerations
by Gus Ezcurra
October 27, 2009
HVAC
professionals are indelibly on the hunt for ways to maximize value for their
clients and grow their own revenue streams.
A
new opportunity has emerged in recent years with the advent of affordable
lightweight energy management systems that can be controlled on-site or
remotely – particularly those designed specifically for previously underserved small to medium
sized commercial facilities like restaurants, convenience stores, retail shops and
bank branch offices.
Once
the domain of only large players, energy management systems
were cost effective only for the largest of buildings and came with high price
tags and multiyear payback periods. Today’s energy management and control systems from specialized
vendors designed for small and mid size commercial buildings are cost effective
to deploy, have low starting price points and nominal monthly fees, and provide
rapid return-on-investment in just 6 to 12 months.
HVAC
companies interested in distributing an energy management system to its small
and medium-sized commercial clientele should heed these top 5 considerations when
making product evaluations.
1. Ensure the solution specifically focuses on the HVAC system
Too many products on the market
today are unnecessarily complex, which adds tremendous cost while
providing little in the way of reduced utility bills for customers. Other
products are too simple to achieve the desired goal.
To maximize your customer’s
energy savings, minimize related costs and provide a fast payback, seek a
product that specifically focuses on the HVAC system - the largest
discretionary load in small and medium commercial buildings. By focusing
on the HVAC, as a trade professional you not only play to your strengths,
but also provide your customer base with the greatest value and ability to
lower their energy bills. Additional sensors to monitor and control other sources
of energy use – such as lighting, security, and office equipment - can always be integrated into
today’s flexible, scalable products and offered to those clients who
desire it.
2. Seek a product that offers both on-site and remote measurement and control
During the workday, business owners have time for one thing
– running their company. Most owners do not have the interest or capacity to
manage their energy consumption on a daily basis, let alone an hourly basis. So,
not only should an energy management system be controllable on-site, but also
remotely by either assigned company personnel or – even better - the
manufacturer’s operations center professionals.
By connecting to the installed
system via the Internet, manufacturers offering remote capabilities, and
dedicated administration thereof, can monitor your customer’s real time energy
consumption and ensure that temperatures do not go beyond the business pre-set
parameters. Such continuous monitoring also enables the immediate flagging of
consumption swings and other anomalies, which can indicate larger mechanical malfunctions
early on for which your HVAC services would be required. Ultimately, remote
monitoring better assures your customers that the installed product is being used
to the best of its capabilities and is facilitating the expected energy and
cost savings.
3. Opt for a quick-install system with low initial fees and ROI in less than 12 months
Distributors of energy management systems face the reality
of a struggling economy and the sad fact that small and medium-sized business
owners have been burned by previous generations of energy management systems
that were wildly expensive and provided few of the promised savings benefits. Such
businesses are understandably reticent to outlay substantial upfront capital
with nothing more than a promise of savings and a long payback period.
However,
the best commercial energy management systems on the market today can be
delivered and installed for $2,000 or even less and with a monthly service
contract below $50. When one considers a monthly business utility bill of $3,000,
even a 15 percent monthly energy savings would provide a return on investment in well
undersix months. Some companies also offer flexible payment terms, such as a
higher monthly fee and lower upfront payments – particularly for multiple unit
operators.
4. Obtain product with core features
While small and medium commercial
operators may not have the time to manage their energy consumption, they
certainly want the option to do so and have a multitude of useful and relevant
functions that will help them achieve their goals. In addition to graphical
viewing of real-time and historical resource consumption, today’s best-of-breed
energy control products provide a robust feature set that, among other capabilities,
allows users to establish thermostat heating and cooling limits and set points
for different times of the day, and offer an automated “peak shaving” option
designed to reduce consumption during peak demand periods. Such advanced
systems can also readily block unauthorized access and changes to the settings,
and allow enabled users to view and alter the settings and presentation
information via the Web, smart phones, or the on-site display.
Your customers will vary as to their technological sophistication
and interest. Most will have some background in controls, even if only with a
digital thermostat. While your customers may not use all of the features
available in today’s products, they will take heart knowing they are available
and at their disposal. A strong feature set adds value, and will serve as a
critical ancillary sales point toward a prospective customer’s desire to lower utility
bills and the company’s overall carbon footprint via reduced energy and
resource consumption.
5. Ensure system is proven
Many new energy management systems for small and
medium sized commercial buildings have emerged. However, few of these products
have marketplace traction. When evaluating a product, it is imperative that the
manufacturer can point to a critical mass of real-world, not trial,
installations in the field, and will allow you to speak with not only satisfied
end user clients, but also satisfied distributors.
When evaluating competing
products, be sure to ask legacy distributors not only about the quality and
user-friendliness of the product, but also its availability, ease of
installation, the hard cost savings realized (and how quickly), and the level
of support they receive from the manufacturer.
With these 5 tips, you can confidently add a
high margin energy management system with a recurring revenue stream to your
offerings that will provide enormous value to your small and medium commercial
customer base…and boost your own company’s bottom line.
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