1. © 2009 AirAdvice, Inc. Increasing Profitability Through Energy Services A Comprehensive Program To Deliver Energy and Sustainability Services

2. © 2009 AirAdvice, Inc. ModuleDescriptionDate 1An Overview of Energy ServicesMay 6 2The First Step: Energy BenchmarkingMay 27 3Introduction to Energy AuditsJune 8 4Energy Audits and RetrocommissioningJune 24 5Closing the Service & Retrofit SaleJuly 15 6Monitoring and Verification of EnergyJuly 29 7LEED ® Credits from Energy EfficiencyAugust 12 8Marketing Energy EfficiencyAugust 19 Increasing Profitability Through Energy Services

3. © 2009 AirAdvice, Inc. Register your answers using the polling window Module 2 Energy Benchmarking

4. © 2009 AirAdvice, Inc. What is the primary business reason why you should offer energy benchmarking services? A.Identify cost savings ideas B.Qualify your customers’ interest before investing a lot of time C.Establish an ENERGY STAR score D.Compare to other buildings

5. © 2009 AirAdvice, Inc. Which of the following is NOT a typical energy benchmarking metric? A.ENERGY STAR® Energy Performance Rating B.Cost per square foot ($ / sq. ft.) C.Consumer Price Index D.Energy Usage Index (kbtu / sq. ft.)

6. © 2009 AirAdvice, Inc. What is the minimum score required for a building to achieve certification through the ENERGY STAR® program? A.25 B.50 C.75 D.90

7. © 2009 AirAdvice, Inc. B. Qualify your customers’ interest before investing a lot of time.

8. © 2009 AirAdvice, Inc. C. Consumer Price Index

9. © 2009 AirAdvice, Inc. C. 75

10. © 2009 AirAdvice, Inc. Module 3: Introduction to Energy Audits

11. © 2009 AirAdvice, Inc. Benchmark Energy Performance On-Site Energy Audits Propose and Implement Retrofits Monitor and Verify Savings Level III Audit / Retro- Commissioning Energy Services Delivery Model

12. © 2009 AirAdvice, Inc. Why Now – Building Owners’ Pain

13. © 2009 AirAdvice, Inc.

14. “Cornered Customer”  Need  Reduce costs  Response  Cut spending –Delay projects –Tighten ROI requirements –Cancel service agreements

15. © 2009 AirAdvice, Inc. “If you can prove to your customers that you’re saving them more money than they’re spending with you, you will keep the service agreement. If you can’t, you are at risk for losing it.” - Tim Kensok AirAdvice, Inc.

16. Your energy services offering is the method by which you prove your value

17. © 2009 AirAdvice, Inc. Your Customers’ Need Reduce costs Your Need Strong service business Solution Energy Service Agreements

18. © 2009 AirAdvice, Inc. LEED is an Additional Customer Driver for Audits  EA Prerequisite 1 –Requires ASHRAE Level I audit  EA Prerequisite 2 –Requires ENERGY STAR® benchmark  EA Credit 2.1 (2 points) –ASHRAE Level II audit

19. © 2009 AirAdvice, Inc. Energy Benchmarking …  Engages customer in discussion about energy  Qualifies customer interest  Sizes the potential project size

20. © 2009 AirAdvice, Inc. How Much Can You Charge?  Amount customer is willing to spend for an energy audit is determined by: –Total energy spend –Savings potential Audit Cost: ~ 5 to 10% of the total energy spend ~ 20 to 30% of savings potential

21. © 2009 AirAdvice, Inc. Total Energy Spend Savings Potential Energy Benchmarking Report

22. © 2009 AirAdvice, Inc. Assume: 40 hrs @ $150/hr Savings Potential = $0.30 per sq. ft. Value Perception of Energy Audits Must develop methods to support required cost structure

23. © 2009 AirAdvice, Inc. Reinventing Energy Services  White paper available for download on webinar home pagewebinar home page

24. © 2009 AirAdvice, Inc. Guideline Document  ASHRAE RP-669 / SP-56

25. © 2009 AirAdvice, Inc. Types of Energy Audits – ASHRAE Definitions  Preliminary Energy Use Analysis  Level I – Walk-Through Analysis  Level II – Energy Survey and Analysis  Level III – Detailed Analysis

26. © 2009 AirAdvice, Inc. Preliminary Energy Use Analysis  Analyze historic utility use and cost  Develop an EUI  Compare to similar buildings Energy Benchmarking

27. © 2009 AirAdvice, Inc. Level I – Walk-Through Analysis  Brief on-site survey of the building  Savings and cost analysis of low- cost / no-cost ECMs  Provide a listing of potential capital improvements that merit further consideration

28. © 2009 AirAdvice, Inc. Level II – Energy Survey and Engineering Analysis  More detailed building survey  Breakdown of energy use  Savings and cost analysis of all ECMs  Listing of ECMs requiring more thorough data collection and analysis (Level III)

29. © 2009 AirAdvice, Inc. Level III – Detailed Analysis  Focuses on capital-intensive projects identified during Level II audit  More detailed field analysis  More rigorous engineering analysis  Cost and savings calculations with a high level of confidence

30. © 2009 AirAdvice, Inc. What’s the Difference? Level I Walk-Through Analysis Level II Energy Survey & Analysis Level III Detailed Analysis Focus of Audit  Documenting systems and operations  Rough estimate of savings potential  No / low cost measures  Energy consumption by end use  More rigorous estimate of savings potential  No / low cost and capital measures  Detailed analysis of subsystems  Investment-grade estimates of savings potential  Capital measures Inputs  Utility bills  Site drawings  Site walk-through  Interviews  Level I items, plus measurement of key environmental parameters  Level II items, plus measurement of key equipment operational parameters Outputs  Checklists  Engineering estimates  Spreadsheet calculations  More complex spreadsheet calculations  Simple computer energy models  Complex computer energy models

31. © 2009 AirAdvice, Inc. Other Standards and Guidelines ASHRAE 105 ASHRAE 90.1 ASHRAE 55 ASHRAE 62.1 IESNA Lighting Handbook

32. © 2009 AirAdvice, Inc. The Energy Audit Report

33. © 2009 AirAdvice, Inc. You Do Not Get Paid… by the hour for complexity by the pound

34. © 2009 AirAdvice, Inc. You Get Paid For…  Providing information useful in decision making  Moving projects forward

35. © 2009 AirAdvice, Inc. Financial Decision Makers Want to Know 1.How much do I have to spend? 2.How fast do I get my money back?

36. © 2009 AirAdvice, Inc. Next Session – Energy Audit Process Document Energy Use Site survey Data collection Analysis Reporting

37. © 2009 AirAdvice, Inc. Next Session – Trade Offs Simplicity | Complexity Automation | Manual Labor

38. © 2009 AirAdvice, Inc. Increasing Profitability Through Energy Services ModuleDescriptionDate 1An Overview of Energy ServicesMay 6 2The First Step: Energy BenchmarkingMay 27 3Introduction to Energy AuditsJune 8 4Energy Audits and RetrocommissioningJune 24 5Closing the Service & Retrofit SaleJuly 15 6Monitoring and Verification of EnergyJuly 29 7LEED ® Credits from Energy EfficiencyAugust 12 8Marketing Energy EfficiencyAugust 19

39. © 2009 AirAdvice, Inc. Next 2)Drawing for free BuildingAdvice energy audit  Selected from all companies submitting complete benchmarking information by 6/19/09 –On downloads page, download “Benchmarking Input Form” –Complete it and email to support@airadvice.com  Winner announced at 6/24 webinar 1)Look for email in 1 day with link to webinar site:  Recorded version of this webinar  Info and articles for download  Register for upcoming sessions