Energy price in commercial buildings is a significant expense. Operational costs are the largest portion that is accountable for the high costs. Building owners and property managers find ways to reduce energy usage that leads to increased property value and meaningful savings. SF energy benchmarking has gained popularity in cities like San Francisco. This tool helps property owners to track analyze and optimize their buildings’ energy use. It then helps in cost savings and improved sustainability.
In this blog, you will explore how SF energy benchmarking helps commercial buildings reduce operational costs while keeping in line with the San Francisco Energy Benchmarking Ordinance. The benchmarking process will be discussed as to how it identifies the inefficiencies and then generates actionable upgrades that prove energy efficient.
Understanding Energy Benchmarking
Energy benchmarking is the practice of measuring a building’s energy use and comparing it with other buildings of the same kind to make improvements that lead the company to pay less operational dues. This process allows the owner to see a clear picture of how much energy their building is using. It also tells what exactly needs to be upgraded to save money. By providing a data-driven approach to energy management, benchmarking can help reduce waste and improve efficiency.
Data-driven decision-making is very significant. With accurate data on energy usage, the building owner can decide where to invest in energy-saving technologies. Instead of guessing where inefficiencies might be, specific areas can be pinpointed to make improvements.
The SF Energy Benchmarking Program
The SF energy benchmarking ordinance is a local law that directs energy benchmarking for commercial buildings. It was done to stimulate energy efficiency and sustainability across the city. Business owners are obligated to report their energy use. That is how the ordinance reduces the environmental impact of large commercial buildings. And also to promote cost-saving energy practices.
Key features and requirements
- Mandatory reporting: commercial buildings over 10,000 square feet are supposed to send their annual energy usage report.
- Energy audits: poor energy performance buildings need to undergo audits to identify and improve inefficiencies.
- Energy Star benchmarking: buildings are encouraged to use Energy Star Portfolio Manager. It is a tool used to compare the energy performance of the building to other buildings having similar properties. And it is done nationwide.
Types of buildings affected
This ordinance significantly impacts the commercial real estate market by making energy efficiency the central focus.
How Benchmarking Works
Energy benchmarking is a systemic process of collecting, analyzing, and reporting energy usage data. The first step includes gaining data from utility bills, meters, and other energy-tracking systems and tools. Then the collected data is uploaded into the energy measuring tool like the Energy Star Portfolio Manager. It compares the energy use of the building with other buildings of a similar kind. This provides insights into where improvements can be made to increase efficiency and save costs.
The benchmarking process often reveals where energy is being misused and wasted. Over time, property owners can detect patterns by analyzing the data thoroughly. For instance, if energy usage spikes during a certain time of the day, it can be easily deduced that the HVAC (heating, ventilating, and air conditioning) systems or lighting systems are malfunctioning.
Identifying Energy Inefficiencies
One of the most valuable sides of benchmarking is its ability to uncover energy inefficiencies. Buildings with outdated HVAC systems, poor insulation or inefficient lighting contribute to higher operational costs. Through energy benchmarking, building owners can identify the causes and work for the solutions that later affect them positively in the long run.
For example, many buildings use oversized HVAC systems that cause more energy usage than necessary. Some others have unfit lighting systems, like using traditional bulbs instead of LED bulbs. That is why energy audits are mandatory. They identify the inefficiencies and take steps to address them. It provides a detailed report and provides solutions.
Energy audits are of different ranges. It can be a basic, as well as a detailed one. An ASHRAE energy audit is a comprehensive review of a building’s energy systems. It evaluates everything from HVAC systems to lighting systems and much more. This audit provides specific recommendations for improving energy efficiency and reducing operations costs.
Implementing Energy Efficiency Measures
After the energy audit, the inefficiencies are identified. This helps the property and business owners to implement various energy-efficient measures to reduce energy consumption and lower costs. These measures can range from simple changes to upgrades like retrofitting HVAC systems or installing solar panels.
Some of the most effective energy-saving technologies include:
- LED lighting: LED lighting can save up to 75% of energy consumption. So switching to LED bulbs is a smart choice.
- Smart thermostat: these devices allow more precise control over heating and cooling systems. That reduces unessential energy use.
- Building automation systems: automation systems adjust lighting, cooling, and heating according to the time of the day. It ensures that energy is only being used when required.
In some cases retrofitting and upgrading may also be required. These are other highly effective ways of improving energy efficiency. For example, upgrading insulation or replacing old windows can significantly reduce heating and cooling costs. Similarly, installing energy-efficient appliances can also help in reducing energy usage and promote environmental sustainability.
Financial Implications
The financial benefits of energy benchmarking are clear. By reducing energy consumption, property owners can see an immediate reduction in their bills. However, the financial implications are more than just scaling down operational costs. Energy efficiency can increase the value of the property. If the building has less operational cost then, buyers and tenants will be more attracted to it. The lower the energy costs, the more competitive the building is in the market. Buildings with good energy efficiency have more occupancy than buildings in which people have to pay more operational costs.
Moreover, many utility companies offer incentives for energy-efficient upgrades. These incentives help in balancing the cost of implementing new technologies. This makes it easier for the property owners to invest in energy-saving plans. For instance, allowances are often available for installing HVAC systems or windows that end up saving energy and improving the environment. These incentives reduce the cost of upgrades and allow property owners to achieve greater long-term savings.
Continuous Improvement and Monitoring
Energy benchmarking and energy audits are not a one-time process. Building owners must engage in different benchmarking programs regularly to fully take the perks of energy efficiency. Continuous monitoring is required to save energy usage. By regularly tracking performance, they can ensure that energy-saving measures are working as they want to, and make adjustments as necessary.
SF Energy benchmarking allows property owners the set long-term energy reduction goals. It also helps them keep on track with their energy-saving plans. Additionally, it enables the owners to be engaged in continuous improvements and identify new opportunities to make their building energy-efficient and environmentally sustainable.
Engaging staff and stakeholders in energy management is necessary to achieve long-lasting goals. When building owners stay focused on saving energy then the occupants also adopt behaviours that affect the overall energy efficiency in a good way. Educating the employees about turning off lights and other equipment when not in use can contribute to further reductions in energy saving.
Conclusion
The SF Energy Benchmarking Ordinance is an important tool for commercial purposes. These benchmarking tools are very cooperative for property owners looking for ways to reduce energy costs and improve building performances. By measuring and comparing energy use, building owners can identify inefficiencies, implement cost-saving measures, and take advantage of incentives.
SF Energy Benchmarking is more than just a regulatory requirement, rather it is a strategic approach to maintain energy usage and promote sustainability. Through continuous monitoring, improvements, and upgrades, business owners can make their buildings remain energy-efficient, cost-effective, and sustainable in the fullness of time.