Making the business case for energy retrofit projects By Steve Woods, M.Eng., MBA, P.Eng.
Like most public-sector organizations, school districts are continually faced with budgetary pressures and the consequences of infrastructure “rust out.” Within this operating environment of competing priorities, those overseeing infrastructure maintenance and management must provide compelling business cases for projects intended to reduce energy consumption. School district strategic plans often articulate organizational support for energy retrofits as part of an environmental policy. In the context of addressing climate change, organizations benefit by “doing the right thing” through reductions energy consumption and
greenhouse emissions. Educators and parents value innovative, imaginative and environmentally sustainable school designs. Energy conservation projects support educational programs by providing real-life examples of classroom concepts. As a large public-sector organization, community stakeholders expect school districts to take a leadership role by demonstrating environmental responsibility. Voluntary standards or regulatory changes provide roadmaps for sustainable design. In effect, these serve as catalysts for energy retrofits because adoption usually requires metrics to determine compliance. A significant dis-
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Ops Talk • Fall 2011
tinction between voluntary standards and regulatory change is the planning horizon. Unless self-directed, an organization may choose to adopt a voluntary standard over many years (with inherent implementation advantages and disadvantages). For example, purchasing guidelines may require new appliances meet Energy Star criteria but will not necessarily provide a deadline to replace the existing inventory. Conversely, regulatory changes have established target dates with relatively short planning horizons. British Columbia’s Greenhouse Gas Reduction Targets Act (2007) and federal legislation to phase out T-12 light fixtures (Natural Resources
