What is Energy Services Performance Contracting?
State of Ohio enabling legislation introduced in 1994 (and amended in 2008) allows municipalities to fund capital improvements with energy and operational savings through a performance based contract. The installation of energy savings measures can be financed by Ohio municipalities over the average useful life of the equipment, typically 15 years, and is not included in the calculation of the municipality's net indebtedness.
How is the City of Cincinnati Currently Using Energy Services Performance Contracting?
The City owns/operates nearly 400 buildings. Energy audits of key buildings have been conducted at 39 buildings to date, including City Hall and the Convention Center. with a very small amount of City capital investment, contracts to complete nearly $5.6 million worth of energy efficiency upgrades for this first round of buildings have been signed. When the lighting, heating and air conditioning, building automation, and building envelope upgrade work is implemented, energy use will be reduced by more than 3.2 million kWh. The work will also generate 45,817 kWh of renewable energy and reduce greenhouse gas emissions by 3,413 metric tonnes (the equivalent of removing 614 cars from the road for a year or planting more than 87,000 trees).
How did the City Fund the Current Performance Contracts and What are the Expected Environmental Benefits?
Energy Savings Used to Pay for Projects = $4,487,551
Duke Energy Rebates Anticipated = $137,660
Federal Grant Funding = $334,930
State Grant Funding = $145,000
City Funding (less than 10% of total project costs) = $469,000
Energy Reduction = 3.3M kWh/11,621 mcf
Energy Generation = 45,817 kWh
Greenhouse Gas Emissions Reduction = 3,413 metric tonnes
What City Buildings will Receive First round of Energy Efficiency Retrofits?
City Hall
Duke Energy Convention Center
Various Police Facilities
Various Fire Stations
Various Garages
Permit Center
Centennial 2
Radcliff 911 Response Center
What are Examples of Energy Efficiency Work Currently Being Performed in City Facilities?
- Storm windows and window tinting installation in City Hall
- HVAC upgrades to several facilities, including replacements/upgrades at many fire stations.
- Lighting upgrades to all facilities, including replacement of 45-1000 watt light fixtures at the Impound Lot with 49-750 watt fixtures.
- Building automation upgrades that enable facility managers to make remote efficiency/comfort adjustments to several facilities.
- building envelope sealing, including commercial grade weather stripping at roof/wall seams, windows, and door seals.
- Solar photovoltaic system installation at the Convention Center.
What Benefits does the City Expect as a Result of Implementing the Performance Contracts?
- A total guaranteed minimum annual City energy savings of $427,740.
- Upgraded facilities that reduce energy use and require less maintenance.
- More comfortable conditioned air spaces.
- Reduction of greenhouse gas (GHG) emissions at City facilities.
