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 1 An Overview of Energy Services

4. © 2009 AirAdvice, Inc. Which of the following DOES NOT increase demand for energy services? A.Rising energy prices B.Increased access to building operators due to falling occupancy C.Need to reduce operating expenses D.Market interest in green / sustainability

5. © 2009 AirAdvice, Inc. B. Increased access to building operators due to falling occupancy.

6. © 2009 AirAdvice, Inc. What percentage of commercial buildings in the U.S. are smaller than 100,000 sq. ft.? A.50% B.75% C.90% D.98%

7. © 2009 AirAdvice, Inc. D. 98% of commercial buildings in the U.S. are smaller than 100,000 sq. ft.

8. © 2009 AirAdvice, Inc. Why are HVAC contractors well positioned to capitalize on the opportunity to deliver energy services? A.Customer relationships already exist B.Solutions are cost-effective C.Service infrastructure is in place D.All of the above

9. © 2009 AirAdvice, Inc. D. All of the above!

10. © 2009 AirAdvice, Inc. Module 2: The First Step: Energy Benchmarking

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. You Can’t Manage What You Don’t Measure “Businesses might have armies of clerks that track $20 receipts for cabs and business lunches, but they have no clue about where their $20 million in annual energy expenditure goes.” - Christopher Russell SAIC

13. © 2009 AirAdvice, Inc. Why Benchmark? Building Owner’s Perspective –Identify energy savings opportunities –Prioritize investment –Compare to other facilities Source: Buildings Magazine, 8 Energy Benchmarking Hurdles (and How to Get Over Them), July 2008.

14. © 2009 AirAdvice, Inc. Why Benchmark? Contractor’s Perspective –Start the conversation about energy –Qualify customer interest –Prepare for future legislation

15. © 2009 AirAdvice, Inc. Customer Qualification

16. © 2009 AirAdvice, Inc. A Future Trend?

17. © 2009 AirAdvice, Inc. Benchmarking Steps 1.Collect information 2.Calculate metrics 3.Make comparison

18. © 2009 AirAdvice, Inc. 1.Collect Information  Utility bill  Facility usage  Facility size  Occupancy information  Hours of operation  Information about process loads  Conditioned floor space

19. © 2009 AirAdvice, Inc. 2.Calculate Metrics  ENERGY STAR® Energy Performance Rating  Energy Cost per square foot ($ / sq. ft.)  Energy Usage Index (kbtu / sq. ft.)  Carbon Footprint (lbs CO 2 / sq. ft)

20. © 2009 AirAdvice, Inc. 3.Make Comparison  Compare energy use to peer buildings –Similar use –Similar climate  U.S. EPA’s ENERGY STAR® program

21. © 2009 AirAdvice, Inc. Factors Affecting Metrics  Building use type –Hospital vs. Warehouse  Occupancy / hours of operation –High vs. low  Weather –Houston vs. San Diego

22. © 2009 AirAdvice, Inc. Benchmarking Metrics Normalizes For: MetricSizeUse TypeOccupancyWeatherSite / Source ENERGY STAR ® Energy Performance Rating Yes Source Energy Cost ($ / sq. ft.) YesNo Site Energy Usage Index (kbtu / sq. ft.) YesNo Site Carbon Footprint (lbs CO 2 / sq. ft.) YesNo Source ENERGY STAR® rating normalizes for the most variables

23. © 2009 AirAdvice, Inc. Site vs. Source Energy  Site –Only considers energy used on the building site  Source –Considers energy used from point of generation Power plant efficiency Distribution efficiency

24. © 2009 AirAdvice, Inc. Site vs. Source Energy

25. © 2009 AirAdvice, Inc. Example 97,000 sq. ft. office building Energy consumption: –1.78 million kWh –3,732 therms MetricWestminster, COHartford, CT ENERGY STAR ® Energy Performance Rating 6665 Energy Cost ($ / sq. ft.) $1.42$2.85 Energy Usage Index (kbtu / sq. ft.) 65.8 Carbon Footprint (lbs CO 2 / sq. ft.) 31.615.8

26. © 2009 AirAdvice, Inc. Building Types Supported by ENERGY STAR  Primary Space Types –Bank / Financial Institution –Courthouse –Dormitory / Residence Hall –Hospital –Hotel –K-12 School  Secondary Space Types –Data Center –Parking –Swimming Pool –Medical Office –Multifamily Housing –Office –Retail –Supermarket / Grocery –Warehouse

27. © 2009 AirAdvice, Inc. ENERGY STAR ® Portfolio Manager Pros:  Industry standard Cons:  Not very user friendly  Limited reporting

28. © 2009 AirAdvice, Inc. Benchmarking Determines Action ENERGY STAR ® Energy Performance Rating Opportunity for:  Significant $ savings through capital improvements Opportunity for:  Low / no cost savings  LEED / ENERGY STAR certification Opportunity for:  Moderate $ savings  Working toward LEED certification

29. © 2009 AirAdvice, Inc. Biggest Limitation in ENERGY STAR Industrial / Manufacturing Spaces

30. © 2009 AirAdvice, Inc. Dealing With Industrial Spaces  Compare to yourself  ENERGY STAR resources  ENERGY STAR pilot programs  Energy audits

31. © 2009 AirAdvice, Inc. Dealing With Industrial Spaces  AirAdvice Indoor Environment and Building Performance Database  Get free copy at http://airadvice.com/downloadsba

32. © 2009 AirAdvice, Inc. Example – Single Building  75,000 sf office building  $178,000 annual energy spend ($2.37 per sf)

33. © 2009 AirAdvice, Inc. Example – Single Building  ENERGY STAR score: 38  $22k savings opportunity vs. ENERGY STAR 50 building  Next step: Perform energy audit to identify specific opportunities for savings

34. © 2009 AirAdvice, Inc. Example – Building Portfolio  10-building portfolio  1.25 million sf  $2.2 million in total energy spend ($1.72 per sf)

35. © 2009 AirAdvice, Inc. Application – Portfolio  ENERGY STAR range: 66 - 100  Uses 40% less energy vs. ENERGY STAR 50 buildings  Next step: Perform energy audit on best and worst buildings  Outcome: Identified additional $62k in savings (16%)

36. © 2009 AirAdvice, Inc. Additional resources  Visit airadvice.com/lp/msca_webinar for: –Downloads –Links to ENERGY STAR site –Links to articles –Links to Building Monitor blog

37. © 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

38. © 2009 AirAdvice, Inc. Next 2)Submit a building for a free benchmark report:  Go to airadvice.com/lp/msca_webinar  On downloads page, download “Benchmarking Input Form”  Complete it and email to support@airadvice.com 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