Best practices in energy efficiency programs in the Northeast
NSTAR Electric & Gas and Pfizer
NSTAR is the largest Massachusetts-based, investor-owned electric and gas utility. The company transmits and delivers electricity and natural gas to 1.4 million customers in Eastern and Central Massachusetts, including more than one million electric customers in 81 communities and 300,000 gas customers in 51 communities.
For over 20 years, NSTAR has offered both commercial and residential energy efficiency programs to its customers. In the past five years alone, NSTAR's energy efficiency programs have helped customers save 6.5 million therms of natural gas and 800,000 megawatt-hours of electricity. This is the equivalent of reducing carbon dioxide emissions by half a million tons. Such programs are available to both electric and gas customers, and are designed to not only reduce energy bills, but also to help the environment. Two of NSTAR’s most comprehensive efficiency offerings on the commercial side are the Construction Solutions and Business Solutions programs.
NSTAR’s Construction Solutions program targets opportunities for the installation of energy-efficient equipment during new construction or major renovation. The program aims to make energy efficiency options an integral part of the design process by influencing architects and engineers to incorporate energy-efficient design, strategies and equipment early in the design phase, thereby raising the efficiency of normal building practice.
Similarly, NSTAR’s Business Solutions program assists in the implementation of efficiency improvements through retrofit opportunities. This program enables commercial customers to reduce energy consumption by incorporating energy efficient lighting fixtures, controls, high efficiency mechanical equipment and other strategies within their current facilities.
Both programs offer NSTAR’s commercial and industrial customers the opportunity to receive financial incentives, technical assistance and commissioning services for their projects. The programs encourage customers, developers, design professionals and equipment vendors to select high-efficiency equipment and incorporate energy-efficient designs for buildings and electrical and mechanical systems.
Eligibility
All of NSTAR’s non-residential customers are eligible to participate in both the Construction Solutions and Business Solutions programs. Pfizer’s Research Technology Center (RTC) in Cambridge Massachusetts has been an active participant in these programs for several years.
The Customer: Pfizer
Founded in 1849, Pfizer Inc. is a global company dedicated to better health and greater access to healthcare. To help people live longer and healthier lives, Pfizer discovers, develops and manufactures medicines and health products. The company is committed to consistent high quality, global leadership and corporate responsibility.
As part of its mission, Pfizer has embraced energy efficiency and environmental awareness at all levels of its business for the benefit of employees and patients. Likewise, Pfizer strongly values the role of partnerships in helping to achieve its mission.
Pfizer’s Cambridge, Massachusetts location is focused on research and technology. It was established in 1999 with the aim to be the world’s preeminent technology research center. After an engineering study in 2002 found that the facility had higher than average energy costs within its industry, the RTC undertook an extensive energy efficiency initiative with the help of NSTAR.
Utility Incentives Available
Both NSTAR’s Construction Solutions and Business Solutions programs provide financial and technical assistance to implement energy- and money-saving measures in categories such as lighting, heating and cooling, motors and variable speed drives, compressed air, and other custom measures. Customers must apply with NSTAR for approval of their proposed projects before any financial or technical assistance is provided.
The Construction Solutions program offers cost sharing for engineering services as well as design and commissioning services. Program participants can receive incentives of up to 90 percent of the incremental cost differential for comprehensive energy efficiency design. Incentives of up to 75 percent of the incremental cost differential between standard base line and high-efficiency equipment are also available.
The Business Solutions program also offers cost sharing for engineering services and provides design and commissioning services. This program provides prescriptive incentives up to 50 percent of the total project cost, and comprehensive incentives of up to 75 percent of total project cots.
Pfizer’s energy efficiency projects received $67,115 in incentives from NSTAR.
"The Research Technology Center’s partnership with NSTAR can best be described as a close friendship, whenever we needed support NSTAR was there," said Tolani Edwards, Pfizer's Facilities Enginner Senior Advisor. "Their energy efficiency programs have influenced the way we do business in Cambridge. From these experiences we have learned how to apply energy efficiency measures and are available to assist other businesses to succeed whether internally or externally."
Efficiency Improvements
The facility’s maintenance and engineering department are committed to efficient operations, reducing electricity and natural gas consumption, incorporating innovative technologies for monitoring building operations, and leveraging local engineering companies to pursue projects with significant energy savings and utility incentives. The net return on this effort has yielded six million dollars back to the company’s bottom line. The savings in operations costs has allowed the RTC to increase its employees from 75 to 200.
Specific measures include:
- Variable speed drives on rooftop air handlers to control energy use;
- Occupancy sensors on lighting systems throughout the building;
- Free cooling and modified cooling tower controls to automate chiller plant process;
- Tankless water heaters; and
- A purchasing policy requiring the procurement of energy efficient equipment, wherever applicable.
Additionally, as part of its health and safety requirements, Pfizer performs a mandatory energy study every two years and monitors energy performance through technical analysis and energy audits. The recommendations that result from these reports include high efficiency measures and their estimated annual savings.
Energy Savings
The efficiency measures implemented by Pfizer through its partnership with NSTAR have resulted in annual savings of 338,832 kWh, 150 kW and 3,944 MMBTU. This represents a 15 percent reduction in annual energy consumption and a total annual cost savings of $114,000.
Non-Energy Benefits
In addition to its commitment to energy efficiency, Pfizer continually strives to achieve environmental benefits as well. For example, Pfizer has an internal directive known as the Climate Change and Energy program that seeks to minimize costs and impacts related to climate change and to reduce the company’s greenhouse gas emissions. Pfizer set a company wide goal of reducing carbon dioxide emissions by three percent per million dollars of sales by 2007. The company is also committed to meeting 35 percent of its global electricity needs by 2010 through clean energy sources such as co-generation and solar power.
Pfizer is committed to partnering with the city of Cambridge to contribute to the environment and community. Pfizer serves as a demonstration site as part of its involvement with Cambridge’s Climate Protection Committee. Pfizer is a recipient of Cambridge’s 2006 Go Green award, which recognizes local businesses for outstanding practices that reduce greenhouse gas emissions. The company is also a member of the Environmental Protection Agency’s Climate Leaders Program.
“NSTAR is proud to have worked closely with Pfizer on such an important and successful project,” said Penni McLean-Conner, NSTAR’s Vice President of Customer Care. “Any business interested in increasing the efficiency of its operation should look into the tremendous savings potential available through our commercial energy efficiency programs."
Pfizer was recognized by NEEP as a Northeast Business Leader for Energy Efficiency as part of the 2007 Northeast Energy Efficiency Summit. For more information about the program and to view a video clip summarizing the company's efficiency efforts, please click here.
Interested in submitting a case study for NEEP Notes? Please contact Catherine Stanley for more information.
