T H E M AG A Z I N E F O R
C A P TA I N S O F I N D U S T R Y
ENERGY LEADERS TODAY www.energyleaderstoday.com
A Growing Geoexchange p58 Geothermal Heat Pump Consortium Executive Director, John Kelly, highlights six member companies that exemplify what the geothermal industry is all about.
Fayetteville Public Utility p30 FPU is a one-stop shop for customers seeking solutions for everything from electricity to the popular VoIP telecommunication technologies.
Winter 2009 $64.00 USD $68.81 CAN
Pete Martin Drilling Co. Spring 2010 $24.00 USD $25.28 CAN
After over 30 years of service this drilling company is still showing the industry that they are here to stay.
p8
in this issue 07 Editor’s Note Todd Weaver talks about Congress’s March 24th’s job creation bill and what it means for the energy industry. UPDATE: 15 bogus appliances pass Energy Star’s automated approval process. How will the EPA and Dept. of Energy handle it?
OIL & GAS
08 Pete Martin Drilling
Even after this midwest drilling company was purchased by Houston- based Sunland Capital LLC in April 2010, the moniker "Pete Martin Drilling" and their wellknown rat logo is here to stay.
14 Minard Run Oil Company For the world’s oldest family-owned independent oil company, Minard Run extracts shallow oil and gas with a focus on innovating new techniques like hydrofracking and horizontal drilling; Minard is a premier driller with solutions that are truly all-American.
BIOFUELS
20 Biomass One
8
Rather than filling landfills with refuse that lasts for years, Biomass One converts waste wood into sustainable, clean energy for the greater southwest Oregon region. It is committed to being a “good neighbor” in the Rogue Valley providing green energy for over two decades.
ELECTRIC
26 TXU Energy TXU is committed to giving customers “power over your power.” With its forward thinking conservation technology it is able to do just that.
30 Fayetteville Public Utilities FPU is a high-tech, one-stop shop for customers seeking solutions for everything from electricity, to natural gas, water, cable and popular VOIP communications technologies.
WIND
38 TradeWind With more than 30 utility-scale projects in development, culminating in a total of 8,000 megawatts of power, the award-winning company makes use of the heartland’s most abundant natural resource: wind. 4 Energy Leaders Today Spring 2010
42 E.On Climate & Renewables CEO Steve Trenholm is in a good position with mega corporations like GE and Siemens competing for exclusivity in his current wind farm project: the largest in the world.
SOLAR
48 Southwest Solar Tech Find out what Herb Hayden has developed 10,000 feet underground, right next to a military base.
56 Solar Spotlight The Power Hotspot, developed by Solis Energy provides reliable power wherever and whenever you need it.
Energy Leaders
Editor-in-Chief Todd Weaver
Editor Diana Doyle Executive Editor Jonathan Mack Assistant Editor Joseph Orange Creative Director Art Director Photography Director Video Director
Emily Detoro Stephanie Hess Ian Palmer Susan Maybach
Editorial Director Kate Darling Editorial Production Michael DeMatteo Production Coordinator Julian Vu Content Directors Aaron McGaskey (SW) Juan Stewart (NE) Brandon McBride (W) Steve Peters (Nation) Juan Orellana (Intnl) Vendor Relations Director Diana Stephens Vendor Relations Dov Teta Eric Banner Patrick Storm Advertising Sales Director Peter Jostens Advertising Sales Moe Kazemi Steve Stone David Levi Publisher Steve Reed
GEOTHERMAL HEAT PUMP CONSORTIUM
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58 Geoexchange Geothermal Heat Pump Consortium Executive Director, John Kelly, highlights six member companies that exemplify what the geothermal industry is all about.
www.energyleaderstoday.com Energy Leaders Today is a quarterly B2B trade journal that services the energy industry in solar, geothermal, hydro/tidal/wave, natural gas, wind, nuclear, oil, biofuels, coal & electric, and new technology sectors. ELT has a readership of 50,000 C-Level executives within the energy industry. We do not accept subscription requests from the general public, however an abbreviated version is available on our website.
60 Huntington Heating Bob Zahm, President of Huntington Heating guarantees a huge return on investment with new, environmentally friendly HVAC solutions and continued excellence in customer service for the greater Indiana region.
Energy Leaders Today Spring 2010 5
GEOTHERMAL HEAT PUMP CONSORTIUM (continued)
66 Skillings & Sons This third generation progressive New Hampshire company makes environmentally friendly geothermal wells about 60 percent of its business and proves to be extremely popular with New England clients.
72 Green Energy Geothermal Solutions/Premier Indoor Advancing friendly customer service and assuring clients of geothermal excellence are the tenets behind GGES and Premier Indoor Comfort System’s 10-year history in the greater Atlanta region.
77 Schneider Heating With a concerted effort in promoting and expanding the geothermal industry, co-owner Mark Schneider assures clients that going green is well worth the initial investment.
80 Air-ease Geothermal
With a focus on diversified heating and cooling, Air-ease proves that going green not only can be beneficial for your return but extremely easy to set up.
87 AWEB Supply & Slim Jim AWEB captures repeat business by ensuring that the Earth remains a place of beauty and sustainability through the use of its high-tech products like WaterFurnace® and Slim Jim® geothermal equipment.
88 All County AC For over 20 years, All County AC has been committed to continued excellence in the field of environmentally friendly and new tech solutions for the general HVAC customer ensuring that both the earth and your wallet can be greener as well.
SCRAP & RECYCLING
94 Curcio Scrap Using far less energy than conventional methods, Curcio Scrap Metal and Cirello Iron and Stell recycles metal, steel, copper, and brass products into reusable products for resale. Its processing facilities are key in reducing landfill waste and making New Jersey a greener Garden State.
100 AERC Recycling Robert Landmesser and daughter Lindsay are dedicated to making sure that hazardous materials like lead and mercury never make it back into the environment. AERC Recycling Solutions “goes above and beyond for the environment.”
104 Thornton Iron & Metal Whether it is from cars, construction materials, steel products, or just simple steel cans, Thornton Iron & Metal does what’s best for the environment in Alabama with a commitment to sustainability. 6 Energy Leaders Today Spring 2010
editor’s note
Politicizing Energy J
ust one full day after healthcare reform was signed into law, the U.S. House resumed job-creation efforts. The March 24th passing of a small-business incentives and construction subsidies package was stifled in mainstream media by reports of unprecedented violence towards Democratic U.S. Representatives for passing healthcare reform. The jobs bill’s goal is to decrease unemployment before the midterm elections by encouraging small business owners to hire new employees and by expanding subsidies for state and local construction bonds. This may be one of the last chances Democrats have to salvage some of the seats they are destined to lose in November. Also included in the bill is additional support for staterun welfare-- a priority for a handful of representatives who, for whatever reason, believe “Congress has not done enough to help those who were most impacted by the recession.” If you’re scratching your head thinking that this last part seems counterproductive and completely unrelated to the main goal of the bill, join the club. In addition to our usual content including both traditional and renewable energy production, this issue of Energy Leaders Today includes a feature section dedicated to geothermal climate control. We partnered
with the Geothermal Heat Pump Consortium’s president John Kelly to select 6 of the best geothermal companies in the industry. We also examined the consumer energy industry by taking a look at TXU Energy which serves the state of Texas with an advanced demand side management strategy, as well as Fayetteville Public Utilities which has expanded its product offering from basic electric and natural gas to telecommunications, including increasingly popular Voice over Internet Protocol (VoIP) services. In the newsroom, our staffers are having a field-day while keeping up with the latest developments in the 18-year-old Energy Star program which, under the [mis]management of the EPA and Department of Energy, has been undergoing scrutiny for waning, almost non-existent standards. If you haven’t heard yet, 15 bogus products were recently approved to use the Energy Star emblem including a gas-powered alarm clock and an “air purifier” that appears to be a space heater with feather duster on top. Despite tumultuous political times and the impact it’s having on the economy, we can’t deny that the continuous emphasis that the administration has put on environmentally friendly public works projects has helped tremendously. We will continue to monitor this (and the amazing air purifying feather duster) carefully and report back next quarter.
TODD WEAVER
editor@ozworldmedia.com
joan tupponce Joan’s experiences as a writer have taken her on journeys that wouldn’t have been possible in other careers. Her success is evident in the many awards and recognitions her writing has received nationally, regionally and locally.
jane caffrey
rebecca rodriguez Rebecca enjoys a career of writing about critical issues and prominent business leaders of our time. Her work has been recognized both locally and on a national level.
Jane Caffrey earned a B.A. from Carleton College in Minnesota. Now based in Madrid, Spain, she writes for a variety of print and online publications both in Europe and the United States.
Energy Leaders Today Spring 2010 7
corporate profile | oil & gas
Big Rig of the Rockies
by Rebecca Rodriguez The Pete Martin name and rat logo are widely recognized throughout the Rockies by oil and gas companies looking for quality drilling. In fact, Pete Martin Drilling LLC is so well known and respected, the company has worked with more then 100 oil and gas companies during the past ten years – some as big as Shell and Exxon Mobil. “We have a distinct logo and the Pete Martin name has been in the Rockies for over thirty years. It has spread through word of mouth that we do great quality work,” said Chris Martin, Pete Martin’s son and newly appointed president of the company. Past company president, Pete Martin, retired in April when his company was sold to Sunland Capital LLC based in Houston, Texas. It was decided to keep Pete Martin as part of the company name due to his name recognition and association with excellence in the industry. “The Martin family has a long history and it’s because of his (Pete Martin’s) reputation that we will gain more customers,” Chris Martin said. Pete Martin started the company in 1999 and by 2009 grew it from one rig to 10 rigs, drilling conductor, rat, and mouse holes. It also grew from two employees to about 55 employees and 80 pieces of equipment. The company has divisions in Vernal, Utah, Rifle, Colo., and Pinedale, Wyo. But Martin has his sights set on expanding 8 Energy Leaders Today Spring 2010
oil & gas | corporate profile
Energy Leaders Today Spring 2010 9
news | solar
oil & gas | corporate profile quickly, expanding farther into Wyoming and into the Williston Basin in North Dakota within the next two years. Martin explained that part of this goal is to get an additional five rigs running every day. Getting his staff up from 30 employees to around 50 should enable manning all the equipment. He expects to reach his goal by the middle of next year. The state of the drilling industry is picking up from 2009, but is no where near the lucrative time of 2007-08, he said. Chris Martin watches his customers carefully for signs of improvement. “The big oil and gas companies with the fallout of 2009 just haven’t gotten back online yet. We’re waiting for them, but it’s steadily increasing every month.” The company’s customers include Shell, Exxon Mobil, Encana, Anadarko, El Paso, Oxy, Noble, XTO, and Chevron, to name a few. The company has done all of Exxon Mobile’s work in the Colorado area for the past five years. “We have kept them as a core customer because of our quality of work,” Chris Martin said. A typical job for Exxon entails any where
from five to 10 wells per pad, drilling and setting 120’ of 16” conductors and 70’ mouse holes. The company is capable of drilling from 15” to 168” diameter holes and to depths of 200’. There are enough workers and rigs that a customer’s needs can be responded to within a day’s notice. Moving quickly is something the company takes seriously. It owns a helicopter and employs a full-time pilot to fly crews out to locations. Instead of a three hour drive each way, crews enjoy a one hour flight. “The guys can maximize their time on location and go back home to spend time with their families and be refreshed and ready to go the next morning,” Chris Martin said. The helicopter is also useful in flying out a mechanic and a part when needed. Chris Martin said he is excited that the company’s new owners will open up options for the company to grow faster. Acquiring competing companies or companies that provide complimentary services are options. The new owners bring a lot of capital
to the table and have connections in new markets that will help the company expand, he said. “They have the drive to grow us fast and large by adding equipment or buying competitors. They’ve got the drive and money to make those deals happen,” Chris Martin said. In five years, Chris Martin sees the company doubling in size to 20 rigs and doubling its geographical region as well, forging paths into Texas, Oklahoma, and even Pennsylvania. This would mean opening up more regional offices. “We’re already one of the largest rathole companies in the nation and we’re looking to get bigger and better,” Chris Martin said. Martin graduated from the University of Kansas and went on to serve in the Marine Corp. as an officer in Afghanistan and Iraq. In 2005, after his time in the military, his father convinced him to come to Vernal, Utah to learn the company business. Martin said it was never his intention to enter into the oil and gas drilling business, but that he has enjoyed it and is now excited about the prospects new ownership has to offer. Pete Martin Drilling has an outstanding
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The Best Minds in the Business!
corporate profile | oil & gas safety program and a full-time safety manager. The company shuts down for three days each year and trains every employee on relevant issues, including some topics introduced by customers. Some of the customer’s safety representatives are invited to give seminars. Anadarko has a program called “Safeland” where the company shuts down for a whole day in order to attend classes. And Shell has a yearly “Yellow Book Training” that every employee attends. Also during the company’s three days of safety training, 24 classes take place and instructors are brought in from the local university in Vernal as well as safety contractors. The company’s safety manager holds weekly meetings with crews and also visits them weekly on site. He has a checklist and evaluates each employee on behaviorbased observations, such as pulling up at a location and ascertaining who’s wearing the appropriate safety equipment. “We have an impeccable safety record,” Chris Martin said. Safety and performance bonuses are offered by the company based on job and safety performance. Each employee has a dollar amount attributed to them based on the amount of time at the company and the position they hold. A driller working at the company for seven years could earn a bonus of about $10,000 and an employee working at the company for a few months could earn a bonus of about $500. Employees are graded on 12 different areas, including safety performance, driver’s logs, and how clean the equipment is. If a citation is given for a deficiency, an amount is deducted from the bonus. All employees have to hold class A CDL licenses. It is not necessary that they have oil field experience, but it is preferred that they have experience driving trucks and that they have a clean driving record. Background checks are also performed. The company employs three mechanics to maintain all of the equipment, including the Soilmec brand rigs imported from Italy. The mechanics were actually flown out to Italy to attend a course on maintenance of the rigs. It is this type of dedication to excellence that has made Pete Martin Drilling so successful. And now under new ownership, the company seems poised to grow to new heights while drilling to new depths. ELT 12 Energy Leaders Today Spring 2010
oil & gas | corporate profile
Energy Leaders Today Winter 2009 13
O
corporate profile | oil by Rebecca Rodriguez
Minard Run:
il Pionee Pennsylv
14 Energy Leaders Today Spring 2010
oil | corporate profile
rs of ania The history of the Minard Run Oil Company is the history of the oil industry itself. Its prestigious beginnings stretch back to 1859 when its founder, Lewis Emery, helped Edwin L. Drake drill the famous Drake well. It became the world’s first commercial oil well and launched the modern petroleum industry. The prestige continues into today. Minard Run is now the world’s oldest, family-owned independent oil company. The company’s fortunes have risen and fallen with the rest of the industry, but these days, Lady Luck is smiling on this small, independent oil producer. And shallow gas is the main reason. “We get associated gas. It used to be a nuisance, but it’s not a nuisance anymore. It has some value and we’re glad to deal with it,” said Fred Fesenmyer, president and CEO. “It comes with the oil, like an apple with a peel.”
Minard Run, based in Bradford, Penn., is strictly a shallow oil and gas producer. Since 2000, it holds 700 operating wells, producing 500 barrels a day and 2,000 mcf of natural gas. The company now finds itself with an exciting new prospect on the horizon. The Marcellus Shale rock formation that underlies much of Pennsylvania, New York, Ohio, and West Virginia has created an explosion of drilling and leasing as a result of recent technologies known as hydrofracking and horizontal drilling. Minard Oil could stand to make big money from this geological discovery by leasing land that it owns above the formation. Large oil companies, such as Exxon, are beginning to come into the area buying up land for drilling purposes. “They just don’t go out into any area,” said
Energy Leaders Today Spring 2010 15
corporate profile |oil Fesenmyer. “They bought it for a reason,” adding that the result could mean a huge economic boom to the region. The formation is thought to contain about 50 trillion cubic feet of natural gas, which is enough to supply the United States for two years with a wellhead value of one trillion dollars. At about 5,000 feet deep, Marcellus is out of reach for Minard Run which drills to about 2,500 feet. But Minard Run owns about 15,000 acres above Marcellus and is looking to team up with an Exxon-like company to lease the land, Fesenmyer said. The result could be lucrative, but Fesenmyer is playing it safe. “I’m trying not to get too excited. I don’t want to put the whole farm on Marcellus,” he said. Fesenmyer is actively looking for a partner, but does not plan on selling the land. “If it doesn’t work out, I’ll still have land to produce shallow oil.”
Being prudent and forward-thinking has kept his company strong throughout the past 134 years. “We do our homework, we’re professional,” said Fesenmyer. “We don’t cut corners or take a lot of risks. It’s a cyclical business and you have to weather the storms and not get too greedy when
things are good.” Fesenmyer has been head of the company since 1976, taking over for his father who ran the business before him. He is the fourth generation to head Minard Run, although the law school graduate from Colorado never imagined he would lead the company.
Congratulations on your past successes in the energy industry and best wishes for a promising future. OIL & GAS WELL SERVICES BOUNDARY, SUBDIVISION, TOPOGRAPHIC 1059 LAFFERTY LANE BRADFORD, PA 16701
(814) 368-4139 | www.langsurveying.com
A field representative for Minard Run Oil Company removes a cap form a recently drilled oil well allowing a computerized logging procedure to start near Bradford, Pennsylvania August 13, 2008. Schlumberger, an oil and gas field service company will drop electronic meters fown the hole to analyze and determine where hydrocarbons may be found in the subsurface rock formations. 16 Energy Leaders Today Winter 2009
photo by Robert Nickelsberg/Getty Images
corporate profile | oil
John Bulmer spreads a geologic log book taken from a recently drilled oil and gas well for Minard Run Oil Company showing where hydrocarbon deposits will most likely be located in Bradford, Pennsylvannia August 12, 2008. Bulmer, Minard Run Oil Company’s Vice President and Geologist, in charge of field exploration and acquisitions. photo by Robert Nickelsberg/Getty Images
“I thought I’d stay five or six years and then go back to Colorado,” he said. “That was thirty-four years ago and I’m still here and I don’t regret it. I didn’t start out with this in mind and I didn’t think I had it in my blood. But as time went on and I
became more familiar with the industry, it began to grow on me and I jumped in with both feet.” The oil blood runs strong in Fesenmyer’s family. Six generations of the Fesenmyers have been a part of Minard Oil. His son,
P.O. Box 299 | Lewis Run, PA 16738 Ph. 814-368-8615 | Fax. 814-368-8619
Rick Fesenmyer III, is in the business, and his grandson works on an oil rig. Fesenmyer III recently split off from Minard Run to head his own subsidiary servicing wells. “It’s a way for my son to break away and show me and himself whether he wants to be in the business and can handle the business,” Fesenmyer said. “He’s been with me for over twenty years and has the desire.” The plan, Fesenmyer said, is to keep the tradition going and have his son take over the company someday. But at 70 years old, he said he doesn’t plan on retiring any time soon. “The kids won’t let me,” he said with a laugh. Fesenmyer’s daughter, Meredith, is head of environmental and safety issues, and Fesenmyer’s two sisters and older brother sit on the company’s board of directors with him. Fesenmyer currently serves as the chairman of the Pennsylvania Oil & Gas Association. Lewis Emery, the founder of the company, was Fesenmyer’s greatgrandfather. Emery was a Pennsylvania state senator and maverick oilman. He challenged and “outsmarted” J.D.
Energy Leaders Today Spring 2010 17
corporate profile | oil
Teams of men from Minard Oil Company flush out water during a fracing operation at a 2100 foot natural gas well in Pleasant Valley, Pennsylvania August 15, 2008. ‘Fracing’ helps release natural gas from the rock layers by cracking the shale and sandstone formations using water and sand under intense pressure allowing the captured gas to seep out.
photo by Robert Nickelsberg/Getty Images 18 Energy Leaders Today Spring 2010
oil | corporate profile Rockefeller who monopolized the railroads in the mid 1800s, Fesenmyer said. Emery established the U.S. Pipeline Co. and piped the oil underground and under the railroads. “When J.D. heard about the pipeline under his railroad he was not pleased. He put men there and fights ensued,” Fesenmyer said. It got to the point where Rockefeller brought in a steam engine and “steamed” Emery’s men. “So my great-grandfather got a steam engine and steamed them back,” Fesenmyer said. That feistiness has carried over to today as Fesenmyer finds himself battling environmentalists and the U.S. Forest Service over use of the Allegheny National Forest, a national park of about 530,000 acres in Pennsylvania. In December 2009, Minard Run won an injunction in federal court allowing them to drill after having been banned for more than a year. The government argued that Minard Run should not be allowed access to the minerals underneath the national forest. However, Minard Run claimed the land was sold in the 1900s to the government as “surface” owners with a stipulation that the oil companies wouldn’t be denied access in the future. “We lost millions, and jobs were lost as well because of this,” Fesenmyer said. “We lost six to eight good months of drilling and we’ll have to wait until May or June to drill again,” he said explaining that the company would need to wait until after March’s mud season which can wreak havoc on equipment and tear up logging roads. “I sometimes get very frustrated when environmentalists stand in our way and shut us down when we’re trying to produce a valuable commodity,” he said. Oil and gas are necessities for a society that demands comforts, he said. And he sees them as a bridge to developing new energies like wind- and solar-power. Oil and gas are in finite supply, Fesenmyer explained, adding that the future depends on alternate energy sources rather than fossil fuels. “Remember the 70s embargo when everyone was scrambling for energy? We don’t need to do that again,” Fesenmyer said. “We can use the resources here if we’re allowed to do so. And that means less dependency on foreign countries.” A solution that is all-American, just like his company. ELT
Energy Leaders Today Spring 2010 19
corporate profile | biofuels
biofuels | corporate profile
From Waste to Energy The Biomass-Fueled Renewable Energy Facility turns 355,000 tons of wood waste in to renewable energy each year, while also offering public recycling
by Jane Caffrey
In southwestern Oregon, left over wood debris is not simply abandoned to the landfill. Thanks to Biomass One L.P., a biomass-fueled renewable energy facility in White City, 355,000 tons of biomass wood waste are converted into 175,000 megawatt hours each year. Rather than filling local landfills or being open field burned, wood recovered by the plant is converted into fuel and electricity, then sold to Pacific Power to meet the needs of 20,000 homes in the Rogue Valley. The process dramatically cuts greenhouse gas emissions that would otherwise be emitted by the decomposition of wood waste, and provides a public recycling option to residents in the area. The mutually beneficial and environmentally preferable means of wood waste disposal has permitted Biomass One to make its mark in southern Oregon. “I think the community is quite proud of Biomass One as a neighbor,” Greg Blair, Managing General Partner of the project, said. “They often come by and compliment us. They are glad that their waste is being put to good use to offset energy needs, which would otherwise be produced by foreign oil or natural gas.” Biomass One has been providing alternative energy production in the Pacific Northwest for more than two decades. The project was constructed in 1986 and, since 1991 has been directed by its Managing General Partner, National Public Energy, Inc., an East Coast company where Blair today serves as President. Such cogeneration plants were a novelty in the 1980s, and in 1989
Energy Leaders Today Spring 2010 21
corporate profile | biofuels
a technical team made groundbreaking changes to the air quality control system and efficiencies at the facility. A total investment of $50 million made Biomass One one of the most efficient and cleanest wood burning plants in the United States. Yet despite these improvements to design and operations, the project was losing approximately $6 million per year in the early 1990s. Blair became involved as a Managing General Partner in 1991, and after smoothing out issues with fuel acquisition, cost
management, and strategy development, he and the team brought the company to profitability after a mere 18 months. “That was a very satisfying experience for all of us,” Blair said. “We had a very complimentary skill set, and we played off of different members’ individual strengths for the benefit of the overall project.” The 25-megawatt plant, resting on a 15acre lot, made continuous improvements in the following decades. “Over the years we’ve effected quite
a number of efficiency improvements to the project by considering what we are doing right and what we could do better,” Blair said. “We’ve looked at every piece of machinery in the plant and all supplemental operating systems. We recently invested an additional $3 million, and in two and a half to three years, the overall efficiency of the plant was up 10 percent.” Today, the successful project sees $27 million in annual revenue and has grown to employ 67 staff members.
Energy Leaders Today Spring 2010 23
corporate profile | biofuels As the efficiency of Biomass One improved, the assortment of services offered through at the facility also expanded. Today, the biomass-fueled power plant benefits residents of southwest Oregon in a variety of ways- the ultimate goal is to offer a lowcost recycling yard to the public while simultaneously keeping the air clean by finding alternative means of fuel. “We set ourselves apart in terms of our ability to generate power efficiently, and also with the myriad of related businesses that we offer out of our facility,” Blair said. Biomass One utilizes advanced technology to develop these related services, such as mobile processing equipment that allows for the processing of large amounts of logging and land clearing debris. The plant undertakes grinding projects with three Morbark Tub Grinders, mulching urban wood waste, slash piles, land clearing material, and other non-contaminated wood waste. With this mobile processing equipment, Biomass One collects 41,000 tons of wood waste per year that has traditionally been left to landfills or open burning. To offer a low-cost recycling option to the public, Biomass One developed a mobile waste bin service. Fleets of company vehicles drop off waste bins at remote sites, and for less than half the cost of a landfill destined garbage container, community members can fill these bins to bring clean wood material to the plant. All material collected from the bin program is transformed into useable fuel for the Biomass One woodfired boilers. “It’s for the convenience of the people who find this waste as a side stream to their businesses, and the service allows us to collect material that would otherwise be filling up landfills, rotting, and turning into methane.” Biomass One additionally serves residents of the Rogue Valley with the tangential service of selling a myriad of landscaping materials, such as aged bark mulch, compost, crushed rock, garden blend mix, woodchips, and topsoil. “We have that operation as well, and that has become an attractive side stream source of revenue for the company,” Blair said. “When we have a rather extensive yard that receives wood waste from the general public, car and truck traffic 24 Energy Leaders Today Spring 2010
biofuels | corporate profile
We’re an older plant that has renewed itself through investment in efficiency measures to operate like a new plant. We will have a service life of another 20 to 30 years by keeping ourselves modern from an efficiency standpoint. Greg Blair | Managing General Partner
comes through on a weekly basis, and we are able to offer people landscape products for their property.” However, while an assortment of services clearly benefit the Rogue Valley community, the true value of Biomass One lies in its tremendous environmental impact. Biomass One currently has 65 suppliers and recovers 70 percent of the wood waste in Jackson County. The public contributes 59,000 tons of wood annually, enough to fill to 2,460 chip trucks. This recollection prevents 355,000 tons of biomass from lying in piles, rotting in landfills, or polluting the air-shed through open field burning. The advantage of burning debris within the Biomass One facility, opposed to open burning, is a greater than 500 to 1 reduction in particulate emissions. “When wood is left to rot, it breaks down into Nitrous Oxide (N2O) and methane,” Blair said. “N2O as a greenhouse gas is 300 times more potent than CO2, and methane is 25 times more potent than CO2. We do produce CO2, because you can’t destroy matter. But we produce either 1/300 or 1/25 the potency as a greenhouse gas than if that same material were left to degrade on its own.” Biomass One is one of the cleanest renewable energy facilities in the Pacific Northwest. Although clearly a successful project, the management team at Biomass One continues to search for ways to enhance operations at the facility, both from an economical standpoint and for increased environmental performance. “We’re an older plant that has renewed itself through investment in efficiency measures to operate like a new plant,” Blair said. “We will have a service life of another 20 to 30 years by keeping ourselves modern from an efficiency standpoint.” In these upcoming years, the team at Biomass One strives to operate as a responsive plant to a changing, more market-based environment in the industry. The company also seeks to find better uses for biofuels and develop new products out of wood waste. Yet, already committed to offering a viable, clean alternative for wood waste disposal in southern Oregon, Biomass One will undoubtedly continue to prosper, exceed expectations, and expand to meet the future needs of the Rogue Valley. ELT
Energy Leaders Today Spring 2010 25
corporate profile | electric
U X T Energy by Duwayne Escobedo
For most households and businesses conserving energy remains pretty basic. You install energy efficient light bulbs and appliances. The end. But TXU Energy’s energy efficiency and conservation solutions offer so much more. When it comes to saving energy, the Texas retail electric provider is an innovator in the energy industry. TXU Energy committed to invest $100 million over a five-year period in tools and technology designed to help its more than 2 million customers better manage and reduce power usage to ultimately lower their bills. Why would an electricity retailer want to help its customers use less? It’s simple – Texas electricity customers can choose their provider and TXU Energy wants to differentiate itself to keep its customers for the long haul. The best way to do that is to provide energy-saving solutions that customers value. TXU Energy Vice President of Innovation John Geary pointed out that one of the company’s main appeals to energy users is having “power over your power.” “We work hard every day to satisfy our customers’ needs,” Geary said. “In part, we’re doing this through innovative technologies. We’re always looking for the best ways to help customers save energy, lower their bills and help the environment. It’s good for our customers and it’s good for Texas.” Two of its most effective tools for managing electricity use are the TXU Energy iThermostat and the TXU Energy Power Monitor. The company projects its energy savings tools over the next five years will offset the need for building a small power plant. By the end of 2010, TXU Energy’s efficiency and conservation products and services will have eliminated the equivalent of about 7,500 homes from the power grid. The TXU Energy iThermostat provides customers the ability to program and control their air conditioning and heating from the web. Because heating and cooling typically account for 60 percent 26 Energy Leaders Today Spring 2010
Energy Leaders Today Spring 2010 27
corporate profile | electric
28 Energy Leaders Today Spring 2010
electric| corporate profile of a home’s power usage in Texas, it’s one of the most effective ways to save on energy bills. The easy-to-use thermostat even allows customers to track the energy cost for heating and cooling and alerts customers when filters need replacing. You get all of that control and information at your fingertips through an Internet connection virtually anywhere. The average household reduces their energy bills by $180 a year. No wonder thousands of customers have signed up for the iThermostat. “It’s the first device of its kind,” Geary said. “Customers really appreciate the convenience of managing their thermostat through the user-friendly web interface. They are very satisfied with the product and its benefits. We’re winning new customers with it every day.” The TXU Energy iThermostat is even catching on with TXU Energy’s business customers who want to manage temperatures at multiple locations from their central office through the web. Numerous restaurant franchise owners are monitoring and controlling heating and cooling costs at dozens of restaurants throughout the Dallas and Houston area. Some of the franchises are Ghenghis Grill, Sonic and Papa John’s Pizza. Another way TXU Energy allows homeowners to minimize energy waste is through the TXU Energy Power Monitor. The size and look of a small alarm clock, the TXU Energy Power Monitor allows customers to get an up-tothe-minute reading on their home’s energy usage. This helps them understand their consumption and they can use the information to better control their usage. For example, want to know how much power is gobbled up by that old clothes dryer and how much it impacts your wallet? Well, this device can pinpoint wasteful energy use in your home, so you can reduce it. You can see with the TXU Energy Power Monitor both the amount of electricity being used and what it is costing per hour, per day or over the monthly billing cycle. Thousands of customers are taking advantage of the opportunity to decrease energy use between 4-15 percent for less than $5 a month. “Usually, you get your monthly bill and have no concept of how that was derived,” Geary said. “This user-friendly tool delivers a lot of information, educates you and helps you identify opportunities to adjust your energy usage.” TXU Energy has a number of other programs underway aimed at helping customers get more energy efficient and lower costs. Currently, TXU Energy is one of a handful of utilities from
C
around the world participating in a pilot program with Google to create a free energy monitoring software tool for customers. The Google PowerMeter allows customers to receive detailed home energy consumption on their computer from a “smart meter” or another electricity monitoring device. Geary foresees the technology leading to a smarter and better energy management system. “When Google had to pick a company to work with they selected TXU Energy because of our reputation for energy efficiency in the marketplace,” he said. It also maintains the TXU Energy Online Store along with EFI, one of the leading residential distributors of energy efficiency-related products in the United States. The online shop offers cost-effective and hard-to-find efficiency products such as motion sensing smart power strips that automatically turn appliances on and off and high-efficiency light bulbs that keep bugs away. And its services even include comprehensive energy audits. Recently, TXU Energy worked with several large Marriott properties in Texas and made re c omm en d ation s that would reduce electricity consumption by more than 2 million kilowatt-hours per year—that’s enough to power 115 homes—for a savings of $250 thousand per year. Marriott can implement the energy savings projects with help John Geary from funds provided through TXU Energy’s Energy Efficiency Rebate Program (EERP), available to medium and large business customers who sign a commodity contract and implement a project that reduces energy consumption. TXU Energy is the only retail electric provider in the state to provide this type of program. What’s the next big innovative energy saver from TXU Energy? It has just launched an offer to make residential solar power more affordable. Currently, a 3-4 kWh solar system for the home costs about $25,000 but TXU Energy offers an opportunity that will enable customers to install solar panels for no upfront cost with a low monthly payment. In fact, the reduction in electricity cost from using the panels would more than offset the monthly payment for those panels. The end result: customers save money. “We’re investing in our consumers’ future and we’re really excited about that,” Geary said. “We don’t get any kind of recovery from our customers for investing in green solutions. But we think they are the right things to do. We think they are things that set TXU Energy apart.” ELT
ustomers really appreciate the convenience of managing their thermostat through the userfriendly web interface. They are very satisfied with the product and its benefits. We’re winning new customers with it every day.
Energy Leaders Today Spring 2010 29
corporate profile | electric
30 Energy Leaders Today Spring 2010
electric | corporate profile
A Full Menu at FPU by Rebecca Rodriguez
Fayetteville Public Utility’s (FPU) breadth of services has made them a high-tech, one-stop-shop for customers. In addition to electric and natural gas, this public utility in South-Central Tennessee offers water, waste water, cable and Internet. Last July, voice over IP was offered for the first time. The popularity of the utility’s telecommunications services is taking off. The department was added in 1999 and is now serving about 3,000 customers. “We see our company as being one of the leaders in new technology,” said Britt Dye, CEO and general manager. There are not many municipal utilities in the nation offering telecommunication services, he added. The telecommunications department is growing its customer base by about 2 percent per year. Dye is pleased with the growth rate but would like to see it increase even further. He is also looking to soon expand into rural areas, explaining that he is pursuing more grant and federal stimulus money. “We are looking into all avenues to get funds to build that infrastructure,” he said. Growing the telecommunications department into such a strong
Energy Leaders Today Spring 2010 31
corporate profile | electric
component of the company is a great source of pride for Dye. But competing with private companies offering cable, Internet, and phone has been a challenge. “We can’t compete with price, we have to win customers by the service we offer,” Dye said. But while FPU’s services are not the cheapest, Dye points out the company’s speed of response when there’s a problem. “We respond to cable, Internet, and phone outage just as we would respond to a power outage. Twenty-four hours a day, seven days a week,” he said. While people with a private
telecommunications company might get a voice recording when they call and a response time of three days, FPU offers an immediate response, usually within 45 minutes, Dye said. “We try to solve the problem over the phone, if not, we roll the truck,” he said. Part of FPU’s high level of customer service is its commitment to communication with the customers. Dye writes a column addressing current issues on the company’s website: http:// www.fpu-tn.com/. The company also runs its own cable station, Fayetteville Public Utilities’ Cable Channel 6 which airs FPU-produced
“We respond to cable, Internet, and phone outage just as we would respond to a power outage. Twenty-four hours a day, seven days a week.” Britt Dye | CEO 32 Energy Leaders Today Spring 2010
shows. Last May, FPU expanded its local Channel 6 cable television broadcasts by streaming it in live to its website. The station runs community programming, including coverage of municipal meetings. “This is something many folks have been waiting for, and it may help bridge a small gap in certain areas where we currently do not offer cable TV service,” said Dye. An important component to customer service is knowing what’s on customers’ minds. And for FPU customers, it’s the rates. Both federal and state requirements, especially new state guidelines concerning water and wastewater have put financial pressure on FPU. It costs more to get qualified people to meet new requirements, and all those factors get passed on somewhat to the consumer, Dye said. It’s happening everywhere. But customers are not concerned with what happens everywhere, he added. ‘What you need to do is justify things to them and then you get the customers’ trust,” Dye said. “You have to keep them
Company Goals McKenzie Tree Service, Inc. takes pride in their work and has high standards for all crew members. With our company, you are not just another contract number, you are our friend. We strive to complete any job we are awarded effectively and efficiently, based upon your company standards and ours. If you are ever dissatisfied with our service, we are only a phone call away. Mr. McKenzie is a hands on manager, he has not only worked in all the positions that our company has, but he frequently supervises each crew himself to ensure that all our safety standards are being met. Services: • Right of Way Clearing & Maintenance for Utility Companies, Pipeline Companies, Transmission Lines, Telephone Lines, & Highway Rights of Way • Construction Site Clearing: clearing for new construction of buildings, roads, pipeline, utility construction, etc. • Stump/Brush Removal • Mulching • Vegetation Management Programs for Utilities, Pipelines, Farm Land, Pastures, Hunting Land, etc. • Pipeline Locating, Marking, & Maintenance Equipment Available: • Jarraff (Mechanical Tree Trimmer) • Hydro Ax w/ Mowing Deck • Hydro Ax w/ Mulching Head • Shinn Land Clearing Machine • Trackhoe w/ grapple • Track Chipper • Bucket Trucks • Chip Trucks • Chippers • Knuckleboom • Dump Trucks • Skidsteer We meet the requirements for PHSMA and FMCSA governed by the US DOT.
2141 TN Avenue North | P.O. Box 425 | Parsons, TN 38363 Phone: 731.847.TREE | Fax: 731.847.9970
34 Energy Leaders Today Winter 2009
electric | corporate profile informed.” During last year’s budgeting process, FPU cut operational costs and internal costs so as not to raise rates. “We had no layoffs and no pay increases,” Dye said. “We’re just doing more with less. All of our employees are on board with that. We tightened our belts and cut spending. There’s no room for waste. We budget out every penny.” Part of cutting costs is keeping a lean staff. Workers at FPU are cross-trained so they can cover shifts in any of the different departments. “When we train them, we train them in several areas,” Dye said. “Whatever the employee is willing to learn, we give them the opportunity to do it. We have very intelligent and versatile employees.” And having versatility means one person can be sent out to set meters, light gas, or solve a water issue. “I don’t have to send out three different people for three different services. I can send one person,” Dye said. The company has a good reputation and attracts solid employees. “There’s good moral. We have good pay, benefits, and I would say they’ve got a good boss,” Dye said with a chuckle. Dye has been working for the company since 1977 when he was 18 years old. He worked his way up the ranks and in 2006, became CEO and general manager. His goal for the future of the company is improving system reliability, which requires much maintenance, he said. A three-year work plan includes $17 million in system upgrades, including improving the wastewater infrastructure. One systems upgrade integrates customer information and computerized outage management to reduce the time it takes to repair damage after storms and restore power to customers. Advancements in technology have meant FPU can now monitor voltage, water levels, and gas pressure via computer links. This outage management system will allow customer service representatives to use their computers to view those areas affected by an outage. Putting the customer first and offering a full plate of services is what has made FPU strong. And as Dye’s vision grows, the company grows. But he tips his hat to those he counts on. “It’s the customers and our employees that make our company work,” he said. ELT
Energy Leaders Today Spring 2010 35
corporate profile | electric
QEI: The Solution Provider QEI Inc. has been working closely with Fayetteville Public Utilities since July of 1990 to provide each department with superior “supervisory control and data acquisition.” The QEI SCADA system allows authorized users within the electric, water and sewer departments to gain local and remote dial-in monitoring and control access to each of their prospective departments. Based on the high-availability Hewlett Packard™ Itanium servers, the QEI SCADA master station is architected in a redundant server configuration, which allows quick and automatic recovery in response to computer hardware failure. This failover is invisible to system users who are alarmed to its occurrence, but uninterrupted in their use of the system features. Since the QEI SCADA platform is used by multiple departments within the city, extreme care must be taken to assure the integrity of each group. For example, an electrical operator must never have the ability to control a water department device, or vice versa. Each system user is assigned a user name and password which allocates capabilities, features and rights across zones of dispatch. These rights can be allocated down to the individual point level, assuring the city that each operator remains within his/her assigned area. The SCADA system used by FPU is based on the world class OpenVMS operating system which provides the same security, availability and reliability used in high profile applications in Finance, Energy Management, Defense, Healthcare and Telecommunications. Never has a moment been lost to computer worms or viruses on a QEI “Secure-SCADA-Server™” Currently, communication to remote stations, such as electrical substations, municipal water tanks or lift stations, is maintained through a combination of ISDN, Ethernet, fiber and microwave; yet there is still the capacity for many more remote terminal units (RTUs) to be added in the future. A variety of QEI RTUs from the early ‘90s are still being used and supported on the FPU system, while newer RTUs and programmable logic controllers from other vendors have also been incorporated into the QEI SCADA platform due to non-proprietary protocols being utilized. Data gathered by the SCADA system is utilized by the QEI Open Database Access™ (ODA) product. This module provides continuous publishing of both real-time and historically captured data to a standard relational database-- in this case MS SQL. From this database platform, report generation, historical archiving, or web page generation can occur without the concerns that would arise from outside connections into a SCADA master station server. This “Defense-InDepth” concept is central to the North American Electric Reliability Council Critical Infrastructure Program (NERC-CIP) initiative undertaken to secure the U.S. utility environment. QEI has been proud to work with the professional staff of Fayetteville Public Utilities and looks forward to implementing future “Smart Grid” innovations with the city.
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Call QEI today at 973-379-7400 or visit us on-line at www.qeiinc.com Call QEI today at 973-379-7400 or visit us on-line at www.qeiinc.com
corporate profile | wind
Company Heart by Jane Caffrey
With a qualified professional team and ample resources, TradeWind Energy development company remains committed to environmental sustainability and strong relationships 38 Energy Leaders Today Spring 2010
wind | corporate profile During the two last decades, wind energy has proven to be renewable, reliable, cost-effective, clean, and economically and environmentally beneficial. The growing importance of wind power in the United States is evident. Yet throughout this decade, one Kansas company, TradeWind Energy, has remained on the cutting edge of developing thousands of megawatts of wind power throughout the central third of the United States. With more than 30 utility-scale projects in development, culminating in a total of 8,000 megawatts of power, the awardwinning company makes use of the heartland’s most abundant natural resource: wind. Beyond a commitment to sustainable energy, TradeWind Energy also extends heartland values through lasting relationships with local communities in the Midwest. “Basically, our objective is to really be a material contributor in the U.S., to advance the sustainable energy sector, predominantly wind, and to have a positive impact on the local communities. We are a very people centered business. That’s our culture. It starts with the people that work here, and extends to our relationships with local communities,” said TradeWind Energy CEO Rob Freeman. TradeWind Energy was founded in Kansas in 2001 by entrepreneurs Matthew Gilhousen and Geoff Coventry, with Coventry now the Senior Vice President of Operations. Freeman joined the company in 2003. “The business was a true start up, initially boot strapped together with the money of friends and family,” Coventry said.
For the first five years following its establishment, TradeWind Energy funded development of its utility scale wind projects with capital invested by local angel investors. As the wind developer started to expand, the need for additional financial support to take on an increased number of projects became evident. In the fall of 2006, TradeWind Energy formed a strategic alliance with investor Enel North America, Inc., a subsidiary of Enel S.p.A. in Italy, which has a a market capitalization of over $60 billion. “When we partnered with Enel, we were able to get a very substantial backer for our expansion,” Coventry said. The homegrown business thus created an international partnership. In recent years, TradeWind Energy has seen tremendous growth, initially making its big push to expand in 2007 after forming its partnership with Enel. To accommodate this growth, the company completed its third office expansion in November 2009 to accommodate this growthquadrupling its original office space, and it has an additional 11,000 sq. ft. of warehouse space. Today, TradeWind Energy actively develops wind projects in 11 states throughout the Midwest, from Texas to Michigan and Ohio to Colorado. With several dozen projects in various stages currently underway, the company has enough diverse projects in its portfolio to keep building into the coming years. If all of its wind projects were ultimately built,they would cumulatively provide enough energy to power 2.5 million homes.
corporate profile | wind “A lot of growth has happened in the last two years, and we’re now focused on digesting what we’ve bitten off. We’ve got a lot to chew on right now,” Freeman said. Yet the company has proven itself well equipped to take on such a myriad of tasks. From both the human resources and operational perspectives, TradeWind Energy possesses the experience and assets necessary to bring any wind project to fruition. An experienced management team boasts more than 80 years of combined experience in both utilityscale and independent power project development. With a talented team of 50 full-time employees, the company also draws on the expertise of engineers, meteorologists, and biologists to develop and construct state-of-the-art wind facilities. Four meteorologists – including two with PhDs -- keep the company on the forefront of the science of wind energy, while a full-time biologist leads environmental studies. “We’ve blended well, we have a nice combination of utility and entrepreneurial talent. We have an interesting combination of people and skills, and that has definitely contributed to our success,” Freeman said. TradeWind Energy is also on the cutting edge of technology in its approach to wind energy development. The company has developed industry-leading methods of collecting and analyzing data. The company has placed more than 100 tall meteorological towers across the Midwest with each generating an environmental data report every ten minutes. They use many of the tall meteorological towers that measure wind speeds at wind turbine hub height – an industry leading approach as part of its approach to collecting wind data and. This is an industry leading approach to wind project development. The company also utilizes custom developed mapping software, Geographic Information Systems, to support the analysis of wind sites and decision making in the project development process. Additionally, TradeWind Energy spends a tremendous amount of time and attention on environmental studies, using advanced technology such as Anabat detectors, which detect and identify bat species, and radar. “We have made significant investments in technology,” notes Freeman. “What we have done from early on is leverage our people and resources to become an industry leadinger in the development process.” Internally, TradeWind Energy strives 40 Energy Leaders Today Spring 2010
to be green in its business procedures. “We are sustainable in our practices, through recycling and other green initiatives. We have a somewhat organically grown green team; volunteers that get together to figure out what we can do to be more sustainable as a company,” Coventry said. In the most recent
wind | corporate profile
act last November, TradeWind Energy replaced half of its fleet vehicles (all of its development team vehicles) with hybrids, demonstrating a strong commitment to sustainability within the company. The exceptional qualifications of TradeWind Energy are exemplified in its completed projects, such as the 250MW Smoky Hills Wind Farm, the largest wind facility in Kansas. This $500,000,000 project is one of the highest producing wind energy sites in the central United States, generating enough energy to power 75,000 homes. The Smoky Hills wind farm has brought tremendous economic benefit to the rural community; the project’s economic impact is expected to be more than $100 million over 20 years. Beyond developing environmentally sustainable and cost-effective projects, TradeWind Energy maintains an uncompromising dedication to community-centric development principles. “This business is very much built on relationships with landowners and rural communities,” Freeman said. “So success is largely determined by our ability to be a trusted partner, to understand their concerns, and to address their concerns. The group of people that we have put together are not only technically competent, but are also really good people. They have been very successful in developing these local relationships.” With a long history of alliances with landowners, utilities, independent developers, and industrial businesses, the company has proven its success in forming lasting partnerships. Such relationships begin with one shared passion— developing a reliable, clean, and sustainable source of energy generation. TradeWind Energy, with experience, assets, and embedded heartland values, has demonstrated expertise in executing such a goal. “We want to be known as a leader in the industry for developing energy projects in a responsible manner. We take a lot of pride in the projects that we develop, and how we develop them. We are not a company that wants to cut corners.
And people are really at the heart of the business,” Coventry explained. “Doing energy right is a phrase that captures all of our objectives.” ELT
Energy Leaders Today Spring 2010 41
EOn corporate profile | wind
A leading renewable energy company, E. On Climate & Renewables North America is industrializing the energy of the future for the people of today
Tomorrrow’s Energy R
42 Energy Leaders Today Winter 2009
wind | corporate profile by Jane Caffrey Where energy is concerned, North America is rich in wind. Since the first commercial wind farms began to spring up around the nation more than two decades ago, wind power has consistently proven to be a reliable and clean source of economically viable energy. Today, with improved technology making wind one of the lowest costing energy sources, wind power is playing an increased role in reducing U.S. dependence on foreign and carbon intensive energy resources. Yet despite these advances, the wind industry remains somewhat of a novelty in the United States—which Steve Trenholm, CEO of E. On Climate & Renewables North America, is striving to change. “We’re trying to take the industry to the next level,” he said. “We’re going from smaller wind farms to larger, utility scale projects, in order to move this business from boutique to industrial sized.” Already a leading energy company that has left its mark on the landscape of renewable energy in the United States, the primary objective of E. On Climate & Renewables North America (E.ON) is to deliver renewable energy that addresses growing concerns about energy security,
energy affordability, and climate change. Now the fifth largest energy company in the United States, E.ON has seen extremely rapid expansion in only a couple years. The North American branch, located in Chicago, Ill. was originally formed in 2000 by an Irish company, Etricity. The business saw a burst of growth beginning in 2007, when it became a subsidiary of E.ON. “We put our first project into service in early 2007, so we have had very dramatic growth through that period of only two years,” Trenholm said. He became the leading force of the company in July of 2009. E.ON has kept pace with the rapidly expanding wind power industry, achieving 1720 megawatts in wind projects in less than three years. The company has greatly contributed to the United States’ effort to diversify its energy profile by investing more than $3 billion to build renewable energy projects around North America, and by promising an additional $3 billion towards projects in the future. Such investment proves a deep commitment to investing the resources needed to transform the renewable energy market. Currently the world’s largest investor-
esting on the Horizon
Energy Leaders Today Winter 2009 43
corporate profile | wind owned utility company, E.ON has nearly 200 employees in the North American branch, and owns and operates ten wind farms in the United States. With additional projects both developing and under construction throughout the United States and Canada, E.ON is one of the fastest growing renewable power companies in the industry. Several unique characteristics of the company allow E.ON to stand as an industry leader today. The company meets the growing demand for reliable and affordable energy with financial strength, expertise, and commitment— it finances, owns, and operates all of its wind facilities in the United States. The development of a wind park project is executed from start to finish, beginning with real estate agreements and assessments of the potential wind energy of a site. The company then formulates the design for the project, considering factors such as wind direction, speed, topography, and local zoning requirements. While a project is underway, E.ON provides compensation to landowners, ensuring that the park is built as quickly as possible, and that the energy is later utilized in the most useful market for the power. In the last stage, E.ON carries out the construction of the project, utilizing turbines from nearly every major wind turbine manufacturer. “We are very good at construction and executing our projects,” Trenholm said. “We are among the top.” Although the company manages every aspect of development, from land acquisition to wind analysis to construction, commitment does not terminate once the wind park is successfully built. E.ON next forms ground operations and maintenance teams to ensure that the turbines are run
44 Energy Leaders Today Winter 2009
wind | corporate profile
We are trying to take the industry to the next level. We’re going from smaller wind farms to larger, utility scale projects, to move this business from a boutique to an industrial sized business. Steve Trenholm, CEO of E. On Climate & Renewables North America
Energy Leaders Today Winter 2009 45
corporate profile | wind
under the highest efficiency standards possible. Several of the company’s wind farms currently boast the highest operational rates in the country. The final fruits of the labor: wind farms and renewable energy systems that generate clean, quiet, and emissions free power from domestic resources. Proof of remarkable accomplishment rests in the completed projects of the company. E.ON develops and operates some of the greatest performing renewable energy projects in the nation. The company’s first project in the United States, Forest Creek Wind Farm, started generating power in 2007. In the park, 54 Siemens Mark II 2.3 megawatt wind turbines stand tall on the western Texas horizon, rising 400 feet in the air to produce a capacity of 124.2 megawatts. The wind farm can power up to 37,000 homes, preventing as much as 220,000 tons of carbon dioxide emissions each year. Another West Texas project completed by E.ON now stands as the largest onshore wind farm in the world. The Roscoe Wind Complex is a compilation of four 46 Energy Leaders Today Spring 2010
projects in one, cumulating more than 600 wind turbines capable of generating 781.5 megawatts of power. “It’s a massive project,” Trenholm said. The company’s first project in dry land cotton fields, the Roscoe Wind Complex has helped more than 85 farmers continue to plant crops. E.ON’s most recent project, in Somerset County, Pa., will harness inexhaustible wind power over land that once produced the finite resource of coal. The farm will generate 52.5 megawatts of energy from 35 General Electric 1.5 megawatt turbines. “That project is notable because we built it on deep mine spoils. It is in an area that had been mined, and basically the land is not good for very much,” Trenholm said. “It is difficult to build anything on that land, and we built a wind farm on it. We are quite proud of that project because of the technological challenges that we faced.” With new energy projects looming on the horizon, E.ON is rapidly expanding its profile. Trenholm expressed a strong interest in solar projects and other forms of alternative energy, but also reiterated that E.ON will continue to diversify its
abilities in wind power. “We’re going to continue with wind projects, and we are carefully watching the potential for offshore opportunities in the United States,” he said. “E.ON has built a number of offshore projects in Europe. We do have significant offshore expertise, and when the time is right, we’d like to take advantage of the expertise that we’ve gained in Europe for U.S. offshore projects.” Utilizing clean, affordable, and renewable sources of energy to diversify the company profile, and more importantly the North American energy profile, remains at the heart of E.ON’s company philosophy. “The object is to create utility scale projects,” Trenholm said. “We’re trying to industrialize the wind business.” Using cutting edge technology to stay at the helm of an industry that is rapidly driving forward, E. On Climate & Renewables North America, LLC is introducing tomorrow’s energy to the population of today, with towering wind turbines that are reshaping the landscape of America’s energy industry.
wind | corporate profile
WHITE
Construction is our passion. Long-lasting business relationships are our reward. Thank you to E. On, for entrusting your wind projects to White Construction.
www.whiteconstruction.com
Energy Leaders Today Spring 2010 47
corporate profile | solar
W
hen Herb Hayden, president of Southwest Solar Technologies, Inc., developed a way to combine energy storage with solar-dish technology, he knew he was onto something hot. Hayden, whose home-base is located in Phoenix, Ariz., paired up sun and air power to create Renewable Compressed Air Energy Storage (CAES). To make CAES capable, Hayden uses the SolarCAT system, owned by his other company, SolarCAT Inc. This system utilizes turbine engines fueled by sunlight-heated compressed air to create power storage. “It does something other solar technologies don’t do,” Hayden said. “It runs like an aircraft turbine blowing the hot air out the back. So it’s desert friendly,” he stressed, adding that the system does not require water or solar panels. The solar-heated compressed air drives the turbines and power is generated during the day by combining stored, compressed air with solar heat. Air compressors store air at night from wind power when it is cheapest and demand for energy is low. The stored air power then boosts the daytime solar output. 48 Energy Leaders Today Spring 2010
solar | corporate profile
Reaching Underground & Up to the Sky by Rebecca Rodriguez
Energy Leaders Today Spring 2010 49
corporate profile | solar There has to be affordable energy and a reliable way to meet needs. Herb Hayden, president of Southwest Solar Technologies, Inc.,
50 Energy Leaders Today Spring 2010
solar | corporate profile
The Solar dish fields, typically from 50 megawatts (MW) and higher, are built where compressed air can be economically stored underground at 350 psi, Hayden said. The consistency and reliability of underground storage makes it a unique new tool. Hayden started two different companies, Southwest Solar and SolarCAT Inc., in 2008 to accommodate the joining of two separate technologies – project and sir storage development, as well as technology development and manufacturing. Having worked in the utility business for many years, Hayden said he has perspective on what will make solar energy use grow stronger in the U.S. “There has to be affordable energy and a reliable way to meet needs,” he said. In Arizona, the state has much sunshine and restraints on water use, making the SolarCAT system ideal. Acquisition of usable land is a major part of Hayden’s business as the technologies require finding large- scale underground salt cabins. These are usually millions of cubic feet and hold compressed air easily. Arizona is known for its salt mining. A recent land acquisition by Hayden was for property above an asteroid-sized expanse of underground salt. “It starts one thousand feet underground and extends to a depth of about 10,000 feet,” he said. Most people are not even aware of it. ” The site is near a military Air Force base which is mutually beneficial for both parties because the military would prefer not to have residential construction nearby. Military personnel are also interested in Hayden’s technology, not just his land acquisitions. He said he has received inquiries from military researchers interested in new, alternative energy technologies. Shipping around fuel in tanker trucks to different operating bases is expensive and dangerous.
“There’s a heightened interest in reliability,” Hayden said of his storage capabilities. Solar panels and wind mills lack a consistency of energy output, making Hayden’s SolarCAT and CAES technologies a new tool for the “green industry.” Hayden expects to see direct competition on his design soon, but for now, he said, there is none out there with the same economic potential. The first test site for SolarCAT is currently being constructed at the Riverpoint Solar Research Park in Phoenix. Five of the new solar dish concentrator systems will generate 1 MW of combined solar energy and energy storage. Each solar dish produces 200 kilowatts of power and the project has the potential to grow to 5 MW. The 18-acre test site is south of the city’s airport and quite visible from Interstate 10, in which about 100,000 vehicles pass each day. Southwest Solar started the Riverpoint project in the hopes of advancing solar energy and advancing environmental programs to meet the green imperative in the state. The site will also act as a non-profit training industry teaming up with The University of Arizona and The University of Phoenix. Hayden has an ambitious vision for his company stretching five years ahead. He would like to be producing and selling SolarCAT as a commodity product worldwide and to have a west valley project in Phoenix completed for 100 MW or more. “We want to show that this technology works and is more attractive economically than existing options,” Hayden said. Hayden watches the advances in technology closely. Much of the research is happening in the U.S., while the manufacturing is coming out of Europe and Asia. He expects his product will
Energy Leaders Today Spring 2010 51
corporate profile | solar
soon generate worldwide interest. A U.S. example of worldwide success is First Solar located in Tempe, Ariz. It’s the fastest growing manufacturer of solar panels in the world. It is also the number one success story in the U.S. and the stock price skyrocketed when the company went public, Hayden said. In Europe, persistence is stronger with developing new energy technology. “They have a pent up desire to be the first ones to come up with new products,” Hayden said. But persistence with advancing energy technology is not as strong and consistent in the U.S. and comes and goes as tax credits go up and down. “How much energy comes from solar and renewables in this country is in the single digits,” he said. However, interest is growing rapidly as
52 Energy Leaders Today Spring 2010
It does something other solar technologies don’t do. It runs like an aircraft turbine blowing the hot air out the back. So it’s desert friendly.
corporate profile | solar OF W M 1 E GENERAT
S CAN E H S I D AR L O GE. S A R O E T S V Y G FI R E ND EN A Y G R E N E R LA COMBINED SO EACH DISH PRODUCES 200 KILOWATTS.
of late and people seem more excited about how to make money from new products here, just as in Europe. The 2009 Solar Power International conference in Anaheim, Calif., is the largest solar event to date in the U.S. and brought in about 25,000 attendees for that year. A few years ago, attendance was around 2,000, Hayden noted. The U.S. is slowing becoming a big market, soon to be competing on the scale of European countries, most notably, Germany. Reliability and cost remains the key issues with Americans interested in an energy substitute. Interestingly, the downturn in the economy has benefited Hayden’s business because he has been working to acquire land which is now less expensive. He has no revenue because he is not yet selling a product. “I have more options now,” he said. “It’s a good time to be working on something new.” Hayden has grand plans for placing his companies on the forefront of the wave of new energy technology about to sweep over the country. And he has the cutting edge momentum to bring his product into the national and international sunlit spotlight. ELT 54 Energy Leaders Today Winter 2009
solar | corporate profile
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56 Energy Leaders Today Winter 2009
spotlight | solar
New Rugged and Reliable Product Provides Remote Power Anywhere You Need It.
S
id Thyhsen has a simple wish: maintain a deer feeder and surveillance camera at his hunting camp near Deland, Florida, without having to replace or recharge batteries every third or fourth day. Replacing batteries can get expensive and recharging them, a hassle. So when a friend told him about the Power HotSpot™, he knew the “power gods” were about to grant his wish. The new solar-powered product by Solis Energy can run small 12 volt “non-critical” electronics in remote locations or anywhere grid power isn’t available. All that’s required is an electronic device with a car power adaptor (cigarette lighter interface) and the sun. “It’s exactly the kind of product I’ve been in search of for years,” said Thyhsen, owner of Fast Duck Motors, a marine supply and boat retailer. “When the hunting is good, the last thing you want to do is leave the field. This product extends your hunting time and is adaptable to just about any situation.” The Power HotSpot™ can go anywhere grid power is unavailable. “There are literally hundreds of products that can be powered with this product,” said Solis Energy Founder and CEO Robert Reynolds. At work, the Power HotSpot™ can recharge tools, notebooks and cell phones, or provide power to inverters for AC power. At home, it can power a shed or gazebo light, an aerator or fountain. And for recreation, the Power HotSpot™ brings convenience to the campsite, from re-charging lights to continuous play for radios and iPods to running boat aerators and re-recharging batteries on a dock. “Solis Energy has provided our corporate clients with rugged and reliable solar power solutions since 2005, and that gave us the expertise to develop a product for consumer use,” said Reynolds.
The Power HotSpot™ features a rugged design that can handle extreme temperatures. It is easy to install on a wall, dock, truck tool box, tree or post with sturdy mounting feet and brackets. The Power HotSpot™ also appeals to the eco-conscious. The Power HotSpot™ retails for $375. For more information www.SolisEnergy.com or 407-339-6786.
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spotlight | geoexchange
John Kelly, Executive Director of Geothermal Heat Pump Consortium
Things are Heating Up for the Geothermal Industry Word is spreading: Geothermal systems are in high demand. Energy companies are starting to see big revenue coming from geothermal heat pump systems and more of their business is shifting in this eco-friendly direction. Many companies say it is due to a more informed customer base that cares about going “green” and saving on their utility bills. But the companies themselves are noting that it is satisfying to invest in a technology that is beneficial to the environment and also attracts more customers. Some companies involved in geothermal are members of the Geothermal Heat Pump Consortium (GHPC), a non-profit trade association for the geothermal heat pump industry. Its job is to promote industry growth by educating consumers and advocating for related federal and state legislation. The group’s website: http:// www.geoexchange.org/ allows visitors to search a database of members in any area of the country. It is an effective online marketing tool aimed at consumers. “The website directory is for consumers to find 58 Energy Leaders Today Spring 2010
firms to design and install heat pumps as well as provide updates as to what is going on in the industry,” said John Kelly, executive director of GHPC. The directory’s categories include heating and cooling companies, driller/loop installers, designers/engineers, manufacturers, utilities, architects, and builders. The group keeps members abreast of the latest news in the industry, such as the Obama stimulus bill that has enabled a 30 percent homeowner tax credit for the installation of a geothermal heat pump. This tax credit has generated increased interest in geothermal systems, companies report. The legislation also expanded the Dept. of Energy’s geothermal research. Geothermal is booming and homeowners across the country are discovering the high level of comfort such a system can bring while significantly reducing energy use and saving money. The technology has enabled everyone involved to benefit, not to mention the Earth from which geothermal is made possible.
corporate profile | geothermal
B
ob Zahm, President of Huntington Heating & Cooling, Inc., is familiar with the concept of giving. The company often donates to local charities in the Huntington, Indiana area, at chamber expo events where community members vote for an organization of choice to receive funds. “It becomes somewhat of a buzz around the community,” Zahm said. “Instead of $100 here and there, we’re giving up to $350 to various charities. I like to give locally, because I think that if you don’t start at home you don’t get anywhere.” Indiana organizations that have benefited from the generosity of Huntington Heating & Cooling include Habitat For Humanity, PBS, the Huntington University Athletic Program, and the Volunteer Fire Department, among many others. Yet while corporate consciousness is clear via these donations, Huntington
60 Energy Leaders Today Spring 2010
Heating & Cooling also gives back to the community through its products and services. With an advanced assortment of geothermal systems, the company helps clients save hundreds of dollars on utility bills, while also offering clean and sustainable heating and cooling options. Huntington Heating & Cooling, Inc. was originally founded as an LP supplier in 1959, an independent business started by Zahm’s parents Leo and Harriet. Soon after, the Zahms added appliances and central heating systems to the company, and in the mid-sixties they sold the LP business and focused on heating and cooling systems. Richard Zahm, Bob Zahm’s older brother, purchased the corporation in 1966 and changed its name to Dick’s Home Improvements. During this time, Bob Zahm completed his education and attended available training sessions for comfort technicians. Currently he holds RSES, NATE, ACCA Manual
geothermal | corporate profile
G
reat Returns by Jane Caffrey
Geothermal systems by Huntington Heating & Cooling, Inc. make returns to the environment and clients’ wallets, while the business gives back with donations to local charities. J & D, Geothermal Loop, and WaterFurnace Service & Installation certifications, among others. Zahm and his wife Leslie purchased the current Huntington Heating & Cooling in 1978, which became incorporated the following decade, and they have been running it ever since. Today, ten company employees including comfort specialists, comfort technicians, installation managers, and service managers execute the installation of more than 200 heating and cooling systems each year. The $1.7 million company serves Huntington, Indiana and the surrounding counties. Its office, shop, parts room, and warehouse are located in multi-level space totaling 6,600 square feet, and an additional showroom houses the expo events. With the increasing significance of sustainable energy, the company has also made a major commitment to designing and installing geothermal systems. “We’ve been doing geothermal since 1984, and we’ve got
Energy Leaders Today Spring 2010 61
corporate profile | geothermal several geothermal systems installed” Zahm said. These geothermal systems are environmentally friendly, with technology that does not burn fossil fuels, but rather relies on the free, completely renewable supply of energy just a few feet below the earth’s surface. Efficiency ratings for the systems are up to five times higher than those of conventional heating and cooling systems. Savings extend to monetary benefits as well. The affordable and cost-effective technology can save clients as much as 70 percent on utility bills compared to conventional systems. Due to the 2009 Energy Improvement and Extension Act, homeowners that invest in residential ground loop or ground water geothermal heat pump installations are also eligible for a 30 percent tax credit of the total investment, with no maximum credit for one residence. Huntington Heating & Cooling completes the paperwork, and ensures that these savings reach clients’ wallets directly. Dedicated to providing high quality products to clients at affordable prices, Huntington Heating & Cooling is affiliated with Indiana-based companies Bryant and WaterFurnace. The WaterFurnace Envision series geothermal unit, for instance, combines heating, central air conditioning, and domestic hot water in one compact unit. The most energyefficient system available, the unit produces up to $5 worth of heat for $1 worth of energy, and cuts monthly bills by as
Founded in 1976 as a family business, Kaufman Well Drilling, Inc. is still owned and operated as a family business. Current owners Mike and Shelly Kaufman have seen the company’s growth over the last decade and look forward to expansions into the future. Currently operating with one drilling and pump crew, Kaufman Well Drilling, Inc. is always eager and willing to take on any job. We currently hold licenses in Indiana and Ohio and are members of the National Ground Water Association and the Indiana Ground Water Association of which Mike is immediate past president.
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Water-Furnace
WaterFurnace geothermal systems tap into the clean, renewable energy in your own backyard to provide savings of up to 70% on heating, cooling and hot water. For more information, contact your local WaterFurnace dealer or visit waterfurnace.com.
Visit us at waterfurnace.com | (800) GEO-SAVE ©2010 WaterFurnace is a registered trademark of WaterFurnace International, Inc.
With more than 25 years of geothermal experience and over 300,000 units installed, WaterFurnace has proven itself as the leading manufacturer of geothermal heating and cooling systems. WaterFurnace geothermal systems tap into the clean, renewable energy in your backyard to provide savings up to 70% on heating, cooling and hot water.
“Treating you as if we were working for ourselves”
OFFERING VARIOUS PHASES OF WELL DRILLING well rehabilitation well and water system inspections well abandonment and grouting residential well drilling
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well drilling geothermal pump test pond wells
l l l l
260.837.7191 tel | www.kaufmanwelldrilling.com | 260.837.7946 fax
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corporate profile | geothermal
much as 60 percent. “I like new technology, and I want to be certain that we always pick the right technology. We don’t go into anything lightly, because we stand by whatever we sell customers and back it up,” Zahm said. Along with these product lines, Huntington Heating & Cooling offers a variety of geothermal loop systems to meet clients’ diverse preferences and needs, including earth loops, open loops, and pond loops. A horizontal dug earth loop features a 6-pipe system in a 300 to 400 ft. trench, which can be installed below concrete or blacktop sidewalks and driveways. To preserve the majority of the landscape, the horizontal bored earth loop consists of loop piping pulled into a bored hole averaging 8 feet deep. The company establishes open loop geothermal systems as well, with piping that brings water to units and later carries it away. It has also installed more than 100 pond loops in the Huntington area, and gages the number of coils needed based on detailed measurements of heat loss and gain for each home. Huntington Heating & Cooling technicians are all NATE certified, and assist clients in determining the most 64 Energy Leaders Today Spring 2010
advantageous aspects of the geothermal heating and cooling systems available. Company professionals then complete all aspects of a project, from design to layout and ductwork to installation. “I think one of the things that helps set us apart is that we offer whole house diagnostics,” Zahm said. “In doing so, it allows us to see what an efficiency of a home is and what changes we can offer to a client in order to improve their efficiency and lower their operating costs. Clients find peace of mind knowing that our company is going to do all of those things for them, and they only have to make one phone call.” Huntington Heating & Cooling has successfully installed more than 500 geothermal systems around Indiana, consisting of several notable projects. For the recently constructed Bates Community Church, for instance, the company installed five geothermal closed loops systems. The completed project consisted of 6,000 feet of two-inch header pipe and 30,000 feet of one-inch loop piping. Twenty-four tons of cooling were replaced with five smaller systems. “The owners of the new church actually just called me, and
geothermal | corporate profile
told me how tickled they were with how low their energy bills are and how comfortable they are in there,� Zahm said. In addition to top-notch geothermal systems that save money and energy for Indianans, Huntington Heating & Cooling offers other heating and cooling services such as a customer’s choice comfort plan, attic insulation, automatic whole house generators, 99 percent fuel efficient fireplaces, and whole house comfort checkups. The company is investigating solar energy as it relates to heating and cooling, and anticipates penetrating the solar market in upcoming years. Yet the top priority at Huntington Heating & Cooling remains acquiring and keeping customers, which is not a difficult task for one company that returns so much to the community in energy, dollars, and service. The effort has not gone unrecognized. In November of 2009, Indiana Governor Mitch Daniels presented Huntington Heating & Cool with the notable Indiana Half Century Business Award. The award, which was bestowed to the Zahms for their extensive volunteer work, is a fitting honor for a business run by one family that has continuously given back to the community for fifty years. ELT
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corporate profile | geothermal
by Rebecca Rodriguez
Eco-friendly systems and exploring new technologies are the secrets to growth and success for Skillings & Sons, Inc. This third-generation, family-run water systems company in Amherst, N.H. got its start in 1970 drilling wells. But since then, it has expanded into a large-scale company that offers all areas of design, installation, and maintenance of water systems, including drilling, pumps, water treatment, filtration, water testing, hydrofracking, and especially geothermal wells. The environmentally-friendly geothermal wells have become “very popular” and account for about 60 percent of the company’s business, said company president Roger Skillings. “People understand that oil and gas are vulnerable to pricing. Geothermal uses electricity,” he said. “It’s like a refrigerator. It can run for a long time and has low maintenance.” The geothermal system involves using the natural thermal temperature from the earth surrounding a house as an energy source. Heat is extracted from the water out of the ground to heat, cool, and provide hot water for a singlefamily home, multi-family home, or business. Even though the ground water temperature is around 50 degrees, the heat pumps can convert energy so that temperatures can be maintained at levels as high as 70 to 80 degrees without a secondary heating source, Skillings said. This is a point that his company makes to consumers who are considering the system. A tax credit of 30 percent on new geothermal heat pump systems that is part of President Obama’s 2009 stimulus bill, is also an incentive Skillings mentions when advertising the system. The geothermal market is what helped keep Skillings company in the black during the economic downturn when the housing market dropped. In 66 Energy Leaders Today Spring 2010
2008 the company experienced a 10 percent loss in total revenue. “The geothermal market came around and really helped out numbers,” Skillings said. Skillings is the “go to” company for geothermal in the Massachusetts, New Hampshire, and southern Maine areas. The company serves about a 75 miles radius. After a Google search of geothermal and drilling, Skillings’ company “pops up pretty quick,” he said. But Skillings is not keen on having his company rely so heavily on business from geothermal systems. Skillings felt it had been a mistake to depend too heavily on the home building market
trying to maintain drilling between 700 and 800 wells a year for domestic homes. ‘I learned not to depend on all home builders because I lost my shirt,” he said. That translates to the geothermal business. By diversifying into other fields and growing “horizontally,” Skillings hopes to avoid the downfall which can come from putting all your eggs into one basket. Specifically, Skillings is looking into electric motor drives for well drilling equipment. The motors work at variable speeds and are more efficient. They have a “soft start” so there is not a rush of current which means the equipment
geothermal | corporate profile
Progressive Thinking at Skillings & Sons Eco-friendly systems and exploring new technologies are the secrets to growth and success for Skillings & Sons, Inc.
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corporate profile | geothermal lasts longer, he said. The motors also use less electricity and could save money in the long run. The technology is still in its beginning stages, but Skillings put a panel together in February to look into it. “There’s not a lot of players in it,” Skillings said of the electric motor drives. “A lot of our competitors play catch-up to us.” Skillings’ company had the foresight in 1991 to add water filtration to its many offerings. It currently makes up 10 to 15 percent of the business. That translates to a million in sales for this company which listed revenues of about $10 million last year. Water filtration proved to be a lucrative part of the Skillings’ business since the EPA began setting more stringent water quality standards. “We do a lot of community water systems,” he said. “There’s a lot of water issues to solve. It’s what our customers needed.” Skillings said among his competition, his company is usually the one to set the trend. “It involves coming up with ideas and spending the money to do it,’ he said. An example was when Skillings’ company decided to switch to using box trucks as a way of cutting out the need to go to a supply house for parts. “We used to go out with crane trucks and I said. ‘this is a waste of time.’ You can only carry so much on a crane truck,” he said. The decision has “paid big dividends” and the customers appreciate the complete and immediate service, Skillings said. “People want it now,” he said. And making sure customers are happy with the end product is part of what makes Skillings’ company so successful. “I want to know: Did we do a good job? Were my guys polite, professional, and on time?” he said. Keeping customers informed during a job is important as well. “As a job goes on, it’s very important that the guys tell the customer what’s going on and give a knock on the door,” he said. “Customers don’t like surprises.” Workers are trained to talk to customers as the job progresses, he said. Training for employees is ongoing. Every other week employees are attending seminars on different aspects of training, such as new equipment, 68 Energy Leaders Today Spring 2010
geothermal | corporate profile
GILL ROCK DRILL CO., Inc.
“
I see our company becoming more and www.gillrockdrill.com more of a service company than new installation. We want to diversify and go into the electricity and plumbing part of the business. Anything (717) 272.3861 Ph. (717) 272.4141 Fax related to water. 903-905 Cornwall Road Lebanon, PA 17042
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corporate profile | geothermal
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geothermal | corporate profile water filtrations, and geothermal pumps. In addition to seminars, Skillings encourages employees to pair up as they work. On one occasion a service technician worked beside a salesman to learn more about his job. “It gets them to communicate and understand each other,” Skillings said. “And this way it lets them get out and get a bit of a taste of another job.” Skillings said he tries to promote within the company and this pairing up helps employees learn which trades they might like to move up into. Some of the company’s 50 employees have been with the company for more than 20 years and Skillings said the way to keep a good employee is to trust them and pay them well. “I put a lot of trust and faith into my employees,” he said. “I know what I expect of them and they know that.” The company is on its third generation as a family business with Skillings taking over as president in 1989. Skillings’ son is currently water filtration manager and his daughter is office manager. His brother, Norman, is part owner and has been with the company for more than 30 years. Hopefully the company will stay family-run far into the future, Skillings said. “As long as all the cousins can get along,” he said with a laugh. Looking into the future, Skillings said he sees the domestic welldrilling business as slow to grow due to the delayed development in new construction. But geothermal, he noted, will grow strong, especially as fuel prices rise. For Skillings & Sons, Skillings sees his company heading in a new direction five years down the road. “I see our company becoming more and more of a service company than new installation,” he said. “We want to diversify and go into the electricity and plumbing part of the business. Anything related to water.” It’s that one-stop-shop idea that Skillings identifies as growing “horizontally” in the future. ”I’d love to be able to provide that for my customers,” he said. Skillings & Sons prides itself on always doing the best for its customers, a credo Skillings keeps in mind as he looks to the future growth of his company. ELT
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GREEN Energy, By Rebecca Rodriguez
72 Energy Leaders Today Spring 2010
geothermal | corporate profile
GREEN Profits
When Tyson Swann, saw geothermal installations begin to make up the highest percentage of business for his heating and air conditioning company he knew it was time to start a new sister company: Green Energy Geothermal Solutions. Swann, president of Premier Indoor Comfort Systems, LLC, based in Ball Ground, Ga., said geothermal installations currently make up 50 to 60 percent of Premier’s business, with a backlog of jobs on the books. “I can’t complain in these times,” Swann said. “Our drilling is about one to two weeks backlogged and our looping is one month out.” “My main focus is to grow the geothermal side,” he said. “I’m ecstatic
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geothermal | corporate profile because it’s really booming.” Premier, located about 30 miles north of Atlanta, was founded in 1999 by Swann and has grown to be a successful, wellestablished business within the Atlanta region. Geothermal is taking it to its next step. “There’s a very strong future in it,” said Swann of the technology that moves heat energy to and from the earth to heat and cool an indoor environment. Compared to traditional systems, geothermal technology can save about 50 to 60 percent on monthly energy bills, Swann said. Ground source heat pumps are electrically-powered systems that use stored solar energy from the earth and use the earth’s relatively constant temperature to provide heating, cooling, and hot water for homes and commercial buildings. For every unit of electricity the system uses, it provides four units of heating energy, giving a geothermal system about a 400 percent efficiency rating. People are interested in learning more
about geothermal systems and Swann has beefed up the company’s marketing campaign. Through utility company magazines distributed to customers, Internet marketing, and direct mail, Swann is getting the word out. “A lot of people don’t know about this (geothermal), but things are going more green,” Swann said, explaining that people are going online and researching “green” energy options. “They’re realizing there are great savings and a way to protect themselves against increasing utility rates by using a renewable resource. They feel better about themselves,” Swann said. When people do become educated, they generally get excited about the system which can last two to three times longer than traditional systems. “They spend more money now, but protecting themselves ten to twelve years down the road when the (geothermal) unit is still kicking,” he said. Premier and its geothermal offshoot are becoming a strong presence on the Internet and when “geothermal” and “Atlanta” are typed into the Google search engine, Swann’s companies are one of the first to pop up. Thegeothermalcompanyalsohasitsown small website apart from Premier: http:// www.greenenergygeothermalsolutions. com/. Premier’s website is: http://www. premierindoor.com/ Swann has also worked in the Atlanta
area for more than twenty years and has made many contacts with architechts and remodelers who bring up geothermal options to their customers. The company’s greatest growth area for geothermal is with existing homes. “It’s also about networking,” Swann said. Premier is a leader in the geothermal arena in the downtown Atlanta area, but they are expanding geopraphically into north Atlanta, south Atlanta, and the east side of Atlanta. Also on the horizon is an expansion farther south of Atlanta and North Carolina. “We’re known as one of the premier providers in the Atlanta market for geothermal, especially with high-end stuff,” Swann said. “When people want the best and the highest quality, we’re in the mix. We attract more of the big business. And you get what you pay for rather than trying to save a dollar,” Swann said of the quality of the company’s services. All of the company’s trucks have global positioning systems and the dispatcher knows where all the trucks are thoughout the city, Swann said. All the phones on the trucks have Internet capabilities and the history and site notes of each customer is immediately updated when a call is finished. An invoice can even be printed on site. The truck’s inventory is also automatically updated through the system. “We invested early on (in technology). We’re very efficient,” Swann said. The company invests a lot in its employees
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Energy Leaders Today Spring 2010 75
corporate profile | geothermal When people want the best and the highest quality, we’re in the mix. ... you get what you pay for rather than trying to save a dollar. Tyson Swann | President and training is ongoing. Every Friday technicians attend product update meetings so that the company is at its “most qualified to serve customers,” Swann said. Swann started the company in 1999 after having been in a related business with his grandfather and working for local companies in the Atlanta area where he worked his way into management positions. In June of 2008, Swann took on two partners, Steve Samson and Andy Lewis to help with the expansion and growth of the companies. Samson works as general manager at Premier Indoor and Lewis heads up Green Energy’s installation business. Both Samson and Lewis were veterans of the industry and have owned successful HVAC companies in the past. After ten years, Swann has grown the company into a business with 40 employees and 30 vehicles. “We grew very fast, especially the first year. We did $1.2 million in gross sales,” Swann said. Last year the company’s revenues were about $5 million and capped at about $7.3 million a few years ago before the economic downturn. Swann said he sees continued growth for his companies despite the economy. “We’re getting ourselves in front of the public eye and not cutting on advertising,” he said. The company is spending more on advertising than it ever did before, making up about 5 percent of spending. “We’re getting through it (economy) and are for the most part very stable. We’re managing the storm and geothermal has a lot to do with that. Without a doubt,” Swann said. A green technology is generating a lot of green for Swann’s companies. A reward Swann has worked hard to achieve as he’s grown his business into one of success and strength. ELT 76 Energy Leaders Today Spring 2010
geothermal | corporate profile
Running 3 Generations Strong by Rebecca Rodriguez
Serving western Wisconsin and southeastern Minnesota, the Schneider Heating & Air Conditioning company has been growing strong as a family business since 1937. Run by two brothers, Mark and Rick Schneider, the company is on its third generation with the brothers’ father and grandfather having run the company before them. Their father retired ten years ago, and Mark and Rick have been running operations ever since. The company has two corporate offices, one in Onalaska, Wis., and the other in Winona, Minn. Its major customers are residential, home builders, and commercial contractors. And they don’t take their customers for granted, one factor of their success. “Customer service is huge for us,” Mark Schneider said. “We take care of a problem right away and we really have a ‘take care of the customer’ philosophy.” The company relies on repeat customers and referrals, Mark Schneider said. The largest budgeted project completed by the company was $425,000 for a new grocery store, he said, commenting that the company completes a lot of commercial work.
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corporate profile | electric
having completed a $100,000 project for an auto dealership. International Ground Source Heat Pump Association certified Large geothermal projects have also been completed for some to do complete install and service of Ground Source Heat Pump office buildings and large new homes. systems. They have been installing GeoComfort systems since The company’s building itself runs on a geothermal system. 1996 and have been recognized and awarded the GeoComfort “We’re putting a concerted effort into the geothermal business,” Gold Sales Club. Mark Schneider said. “Our mindset and philosophy is to promote Mark Schneider said he sees the geothermal market for his energy efficiency and help the environment while helping our company growing by about five to ten percent a year during the customers on their utility bill.” next few years. The federal government’s tax credits and rebates The savings can cut utility bills by nearly half, he said. from utility companies are making it an attractive alternative. The company handles the full “I think people are getting more installation of the geothermal educated and doing research We’re putting a concerted effort systems with about 60 percent about the green market,” Mark of the jobs completed fully by Schneider said. “The utility costs into the geothermal business. them with looping and piping, are volatile and they’re looking for and 40 percent of the jobs options.” Our mindset and philosophy is to subcontracted out. The vertical Currently geothermal makes promote energy efficiency and to looping is what is subcontracted up about five percent pf the out the most. sales. help the environment while helping company’s Schneider Heating and The company advertises its Air Conditioning is the only geothermal systems at trade our customers on their utility bill. company within a 60 mile radius shows, local home shows, and on Mark Schneider of their headquarters that is its website. 78 Energy Leaders Today Spring 2010
geothermal | corporate profile
The company is also looking into new markets, specifically domestic hot water solar systems. Utility rebates and tax incentives also make solar attractive to customers. The solar component is currently under five percent of the company’s business, but Mark Schneider would like to see that number grow. “It’s a niche offering we have,” he said. “We’d like to make solar more main stream.” The company has about 50 employees and continuous training, especially in the area of geothermal is important, Mark Schneider said. In addition to continuous training, the company goes out of its way to show its appreciation of its staff. “We retain good staff by treating them fairly and recognizing what they’re doing. We try to make it a family environment,” he said. The company gets many of its new hires from Western Technical College in LaCrosse, Wis. “We start them in the business and do on-site training. We teach them how to conduct themselves by the philosophy we run our business,” he said. The company’s philosophy is what sets them apart from their
competitors, he added. “The service we provide is top notch. Our professionalism and attention to detail comes with every service and installation,” he said. “We bring a lot of attributes to the table.” March Schneider said the industry has bottomed out during the past few years and he sees it springing back slowly. The biggest area of growth will be geothermal, furnace, and air conditioning replacement markets, he said. “The residential and commercial work will come back, but it will take a few years to get back to normalcy,” Mark Schneider said. As far as the future of the company goes, Mark Schneider just hopes for modest growth. The company has no plans on spreading geographically. ‘We’d just like more customers to take care of,” Mark Schneider said. That combined with retaining the “quality staff and employees that work for us” is all Mark Schneider and his brother Rick desire for the future. A fourth trip to the state championships for Rick Schneider’s high school basketball team that he coaches, wouldn’t be bad either, he said with a chuckle. ELT
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corporate profile | geothermal
Economic Ecological Savings
&
The geothermal systems installed by Air-ease Geothermal Heating, Cooling, & Refrigeration lead to drastic cutbacks on both utility bills and environmental costs by Jane Caffrey
80 Energy Leaders Today Spring 2010
geothermal | corporate profile Clean, efficient, and affordable. These are the three rousing reasons that more and more home and business owners are utilizing geothermal heating and cooling systems in their houses and buildings. Geothermal systems are clean, without relying on gas or fuel; they are efficient, producing 4 units of energy for every 1 unit used; and they are affordable, with homeowners seeing annual savings of 50 to 60 percent on utility bills. Both the economic and ecological savings associated with such systems, therefore, are increasingly significant during a period of national economic struggle and global environmental concern. Yet Air-ease Geothermal Heating, Cooling, and Refrigeration, an Illinois-based company, has been aware of the benefits of geothermal systems for decades. “Air-ease installed our first geothermal system twenty-four years ago, long before the word ‘green’ meant energy savings,” Robert Feliszak, owner of Air-ease, said. “Our goal today is to educate our customers on a new way of thinking when it comes to heating and cooling. There is so much energy underneath our feet, no matter where we are, no matter if it’s sunny or snowing. Geothermal is the most consistent of the renewable energies.” Air-ease, a family-owned business headquartered in Tinley
Park, is the realization of Feliszak’s dream. Feliszak served in the army from 1971 to 1973, before studying heating, air conditioning, and refrigeration at the Community College of Florida. Upon graduation, he began working on yacht air conditioning in Ft. Lauderdale. In 1979, Feliszak’s roots drew him back to Chicago, where he founded Air-ease with his wife and father. The company began with the fabrication of custom sheet metals and by servicing residential furnaces, boilers, and air conditioners, and quickly grew to become a recognized name in the industry. Later becoming involved in commercial heating and air-conditioning, Air-ease worked on hotels, restaurants, and municipal facilities. Ultimately, the business began working with the energy saving geothermal systems that are its specialty today, installing its first system in 1986. “I became aware of the need to ‘look outside the box’ and began learning and searching for more efficient ways to provide heating and cooling,” Feliszak said. “The geothermal side of Airease has doubled in recent years. We consider ourselves leaders in the geographic area of Chicago.” After gaining a solid reputation in Illinois and outgrowing its
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corporate profile | geothermal
offices two times as the client base expanded, Airease relocated to a steel structure that the company itself built in Tinley Park. Today, Feliszak, his wife, two sons and staff serve a 70-mile radius around Chicago, specializing in the most efficient HVAC products available, particularly, geothermal heating and cooling systems. Geothermal systems, contrary to ordinary furnaces or air conditioning systems, collect the Earth’s natural heat through a series of loops installed below the surface of the ground or submersed in a pond or lake. The loop is connected Robert Feliszak | Owner of Air-ease inside the structure to the geothermal unit that houses the heat exchanger, compressor it is extracted, compressed to a higher and fan. In the winter, water and anti- temperature, and distributed throughout freeze circulates through the earth loop, the structure. In the summer, the unit absorbs heat from the warmer earth and removes heat from the structure and carriers it to the geothermal unit where transfers it to the fluid circulating in the
earth loop, where it is dispersed into the cooler ground. Since the subsoil temperature of the earth remains constant and moderate throughout the year, every structure is surrounded by its own source of free energy. Air-ease provides vertical loop, horizontal loop, and pond loop geothermal systems, using Louisiana-based AWEB Supply as its primary pond loop vendor. These geothermal systems outperform fossil fuel systems with a co-efficient of performance (COP) of 4.0 (400 percent) versus .95 (95 percent) while producing zero emissions. This energy source is free, renewable, clean and environmentally-friendly. “For the past 31 years we have been leaders in whatever we’ve done since we understood the benefits of sustainability; in particular geothermal source heat pumps,” Feliszak said. “As worldwide energy consumption continues to grow, a significant part of our strategy must include a means to conserve energy and provide greater efficiencies in
For the past 31 years we have been leaders in whatever we’ve done since we understood the benefits of sustainability; in particular geothermal source heat pumps.
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corporate profile | geothermal
We strive for 100 percent cus both optimized performance the HVAC industry. A geothermal system is an investment toward an eco-friendly and efficient way to produce energy without the use of fossil fuel.” Beyond environmental sustainability, Feliszak also points to several economic benefits of geothermal systems. Although such systems can be costly to install, a geothermal system ultimately saves money by reducing energy costs by up to 60 percent. Homeowners who install geothermal systems from now through 2016 may be eligible for a 30 percent tax credit as provided by the Federal Tax Credits for Energy Efficiency. Similarly, a tax deduction of up to $1.80 per square foot is available to owners or designers of new or existing commercial buildings that save at least 50 percent of the heating and cooling energy of a building that meets ASHRAE Standard 90.1-2001. The geothermal systems require little maintenance, keeping service costs down, and Air-ease furthermore offers a Preventative Maintenance Agreement that is customized to individual needs of the owner. “When faced with the purchase of a new heating, cooling or water heating system, there are two choices: either burn money with an ordinary system or save it with geothermal heating,” Feliszak said. Beyond offering efficient and costeffective geothermal systems, Air-ease is also a diversified heating, cooling, and refrigeration contractor, with a custom sheet metal facility. Additionally, the company can design and custom-build steel structures, maximizing the inherent strength of the material to meet the clients needs. Other services available through Air-ease are indoor dehumidification for aquatic rooms and commercial refrigeration. Technology and qualified professionals both play crucial roles in the success of Air-ease. A staff of factory trained, IGSHPA certified technicians design and install all systems, utilizing state of the art equipment which service technicians keep operating properly. “Technology continues to change 84 Energy Leaders Today Spring 2010
geothermal | corporate profile
tomer satisfaction in terms of and installation appearance. Robert Feliszak | Owner of Air-ease
and Air-ease keeps up to date with these changes,” Feliszak said. “My staff participates in continued education within our industry and attends training on the latest technology advancements in energy efficiency and ways to perfect our skills. My staff thrives since they have the ability to learn new skills and know that each day can bring a new challenge.” Those challenges for professionals at Air-ease consist of wide array of both residential and commercial projects. One major project that the company is currently undertaking is a 20,000 square foot custom home in Homer Glen, Illinois. When completed, the home will utilize an IntelliZone comfort zoning system that enables the homeowner to precisely control temperature levels in every room.
The optional desuperheater function will provide free hot water heating to the home as well, further helping the homeowner save on their energy costs. The systems will require little or no maintenance beyond period checks and filter changes. Although the Homer Glen home is clearly a milestone project, Feliszak maintains that all the company’s projects are successes. “We strive for 100 percent customer satisfaction in terms of both optimized performance and installation appearance,” he said. “Our greatest success has been diversification and realizing that you must change to grow.” In upcoming years, Air-ease Geothermal Heating, Cooling, & Refrigeration plans to remain a leader on the front of geothermal
heating and cooling systems. The field will be increasingly lucrative and beneficial in the future; a recent MTI report shows that a mere 2 percent of the heat below the continental United States is more than 2,500 times the country’s total annual energy use. “It’s very important that we look at our environment in a new way that’s different from the past and present,” Feliszak said. “We need to reduce our carbon footprint. We need to conserve energy and reduce our dependency on foreign energy sources. Otherwise, what will be left for the next generation?” Air-ease will remain the forerunner in drawing on this renewable resource, fostering tremendous cost benefits for clients and the environment alike. ELT
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corporate profile | coal & electric
86 Energy Leaders Today Winter 2009
AWEB supply | spotlight
Boosting Efficiency, Protecting the Environment
by Jane Caffrey AWEB Supply is based out of Baton Rouge, La., but this family-run business meets geothermal equipment needs across the nation. With more than two decades of experience in geothermal technology involving residential and light commercial applications, AWEB Supply offers a full-line of geothermal products and is the exclusive distributor of the Slim Jim and Geo Lake Plate Heat Exchanger. Founded in 1984 by Alan Watts, AWEB Supply is now a proud member of GeoExchange, the International Ground Source Heat Pump Association, and the Louisiana Heat Pump Association. The company is run by the Watts family and a small staff, with two Certified GeoExchange Designers available to assist with geothermal projects. The gem of the geothermal merchandise offered by AWEB Supply is the Slim Jim and Geo Lake Plate Heat Exchanger. The company designed and developed this innovative technology which consists of Slim Jim and Geo Lake Plate Heat Exchangers submerged in a body of water while coupled
with Geothermal Heat Pumps. This technology is used to heat and cool homes and commercial buildings. A labor friendly alternative to the polyethylene lake loops, the Slim Jim and Geo Lake Plate Heat Exchanger can be constructed of grade 304 and 316 stainless steel or titanium. It has an approximate heat transfer rate of 100 BTU per square foot of transfer surface for each degree of temperature change in a still body of water. Any current accentuates performance, allowing for a closer grouping of multiple plates in river applications. An easy-to-install, cost-effective system, the Slim Jim aims at reducing energy use and protecting the environment. AWEB Supply is also the WaterFurnace Residential Distributor and Commercial Factory Representative for Southeastern Louisiana and Southeastern Texas. Slim Jim and Geo Lake Plate offer the highest quality and best value at a reasonable price for GeoExchange. They make GeoExchange as simple as can be while helping it grow. Both “Slim Jim” and “Geo Lake Plate” are registered trademarks of AWEB Supply.
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corporate profile | geothermal by Joan Tupponce
All Kinds of
Solutions
Jamie Dennis never intended to be involved in the family business. Now as general manager of All County Air Conditioning, he works alongside his father, Pat Dennis, who started the company in 1989. He wouldn’t have it any other way. Pat Dennis, who has 30 years in the air conditioning and heating industry, opened All County after selling his first business, P. F. Dennis & Co., a successful venture that demanded most of his time. “We never saw my dad,” Dennis recalls. “He sold that business and downsized when he opened All County so he could have more family time.” Jamie Dennis got his first real taste of the business when he was a teen, helping out at his father’s company during summer vacations. Determined to find his own calling in life, he began searching for careers after his high school graduation. That quest led him to the HVAC program at NoVa Community College where his father taught. Pat Dennis now serves as assistant dean of the HVAC program. 88 Energy Leaders Today Spring 2010
Ironically, it was Dennis’ father’s class that prompted Dennis to join All County in 1995. “I enjoyed the class and I enjoyed the work,” Dennis says. Not wanting to fall back into the same pattern as his first company, Pat Dennis purposely kept All County a manageable size. When Jamie Dennis joined the company, there were only three employees, counting him and his dad. “We wanted to stay small,” Dennis says. “We handpicked our customers.” Growth has been steady and controlled. Over time, Dennis and his father added employees, bringing the total to eight. Instead of broadening their territory, they concentrated on their local Northern Virginia area, handling mostly referral business from customers, power companies and supply houses that recognized All County’s expertise and exceptional customer service. All County offers its customers a complete HVAC package, everything from heat pumps and furnaces to solar
water heating and geo thermal heat pump systems. All of the company’s employees have either completed or are working on degrees from NoVa Community College. “Education is first and foremost in our company,” Dennis says. Most of All County’s work is residential in nature. The company does some light commercial work, as well. Many of the homes they service were built in the 1950s and 1980s. Recently, the company has seen a boon in service calls from homeowners who purchased houses built by tract builders in 2000. “They were poorly constructed homes,” Dennis says. “They used cheap products and materials. The HVAC systems need lots of service and repair. There is a big market for that type of work.” As part of its philosophy toward energy conservation, All County started touting energy efficiency before it was a buzz word. “We did geo thermal jobs and retrofits in the early 1990s for high-end customers,” Dennis says. “In those days, geo thermal
was extremely expensive.” It’s the people who want to reduce their systems which combine a heat pump Albeit expensive, geo thermal is carbon footprint.” with a fossil fuel furnace since the 1980s. attractive to homeowners because of its Not all of Dennis’ customers have the “We have always strived to make sure no high-efficiency ratings. Dennis is seeing a financial means to go green. matter what budget you are on that you growing interest in geo thermal thanks to “Twenty to 30 percent want [and can can get the highest efficiency component the federal tax credits that are currently get] something green,” he says. “Seventy you can afford,” Dennis says. “We try to in place. percent would love to do their part but rationalize and figure out customer needs “Some states also have aggressive aren’t able to afford it.” based on their budget, energy needs and financing programs in place from power All County offers a variety of options comfort level.” and utility companies,” he explains. “I for customers who want to save energy, The dual-fuel option helps customers think we will see more of this in the future everything from high-efficiency boilers combine energy savings with comfort by because power companies are trying to to solar water heating. The company using a heat pump system that is three reduce their cost of producing energy.” has been selling dual-fuel hybrid heating times more efficient than a fossil fuel Even though there has furnace when temperatures been a positive marketing above 40 degrees. There is a certain type of person who wants are“That push toward geo thermal, can help you save 30 the product’s customer to install it for the right reasons. It’s a person to 50 percent of your energy base is still very specific. costs,” Dennis says. “From who looks ahead and knows the rate of “There is a certain type of a comfort standpoint, person who wants to install heat pumps struggle return and the added value that it’s putting it for the right reasons,” below 40 degrees. When Dennis says. “It’s a person temperatures drop below 40 into the home. It’s the people who want to who looks ahead and degrees, you use your fossil knows the rate of return fuel furnace so you will have reduce their carbon footprint and the added value that a toasty house.” Jamie Dennis | All County AC General Manager it’s putting into the home. Dennis sees geo thermal
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corporate profile | geothermal and dual-fuel as growth areas for the company, which now has $1.4 million in annual sales. “We are targeting those areas,” he says. In addition to energy efficiency, one of the growing trends in the industry is indoor air quality. “Filtration, purification and humidification are all important to consumers,” Dennis says. “It’s amazing what kind of effects these types of products can have on the home.” For example, a whole house humidifier can help raise humidity levels during the winter when they normally run as low as10 percent. “That’s like the desert,” Dennis says. “You need those levels on average to be in the mid-20 to 30 percent range for health reasons. In the last four or five years, manufacturers have done a lot to improve indoor humidifying systems.” Many products that help bolster indoor air quality are add-ons to a homeowner’s current system. “They can be fine tuned to meet the needs of homeowners,” Dennis says. Meeting the needs of homeowners is always top priority at All County. “We want to make the consumer comfortable. Whether that’s in the way we do business or the services we provide or the systems we offer,” Dennis says. All County is often called upon to correct problems that others can’t or don’t fix. “When we fix that type of problem, we know we have a customer for life,” Dennis says. “That is what makes me feel good about what I do.” The company’s success is reflected in its high number of referrals and return customers. “We come in and take the time to make sure our customers get everything they want and inquire about,” Dennis says. “We make sure that our customer service is full service. We handle everything in house. There are very few technical jobs where there is a problem that we can’t fix very quickly.” As part of its options, All County offers its customers preferred customer contracts that include scheduled maintenance visits. “We are trying to come up with a creating selling strategy that will make these plans affordable for everybody,” Dennis says. “It’s a way to make sure everything is running as efficiently as possible so that customers don’t have to worry about anything.” ELT 90 Energy Leaders Today Spring 2010
Baltimore: 410-247-4580 Capitol Heights: 301-333-6050 Alexandria: 703-658-5124 Winchester: 540-542-6670 Herndon: 703-709-6900 Be more comfortable at home, save on your heating bills, receive up to $1,200 in Customer Cash Back from Rheem® and quality for to a $1,500 Federal Tax Credit in one cool investment. 3620 Commerce Drive Suite 705 | Baltimore, MD 21227
news | specialty
A step toward lighter batteries WEBWIRE –Research shows metal catalysts play important role in improving the efficiency of lithiumoxygen batteries Lightweight batteries that can deliver lots of energy are crucial for a variety of applications — for example, improving the range of electric cars. For that reason, even modest increases in a battery’s energy-density rating — a measure of the amount of energy that can be delivered for a given weight — are important advances. Now a team of researchers at MIT has made significant progress on a technology that could lead to batteries with up to three times the energy density of any battery that currently exists. Yang Shao-Horn, an MIT associate professor of mechanical engineering and materials science and engineering, says that many groups have been pursuing work on lithium-air batteries, a technology that has great potential for achieving great gains in energy density. But there has been a lack of understanding of what kinds of electrode materials could promote the electrochemical reactions that take place in these batteries. Lithium-oxygen (also known as lithium-air) batteries are similar in principle to the lithium-ion batteries that now dominate the field of portable electronics and are 92 Energy Leaders Today Spring 2010
a leading contender for electric vehicles. But because lithium-air batteries use lightweight porous carbon electrodes and oxygen drawn from a flow of air to take the place of heavy solid compounds used in lithiumion batteries, the batteries themselves can be much lighter. That’s why leading companies, including IBM and General Motors, have committed to major research initiatives on lithium-air technology. In a paper published this week in the journal Electrochemical and Solid-State Letters, Shao-Horn, along with some of her students and visiting professor Hubert Gasteiger, reported on a study showing that electrodes with gold or platinum as a catalyst show a much higher level of activity and thus a higher efficiency than simple carbon electrodes in these batteries. In addition, this new work sets the stage for further research that could lead to even better electrode materials, perhaps alloys of gold and platinum or other metals, or metallic oxides, and to less expensive alternatives. Doctoral student Yi-Chun Lu, lead author of the paper, explains that this team has developed a method for analyzing the activity of different catalysts in the batteries, and now they can build on this research to study a variety of possible materials. “We’ll look at
specialty | news
different materials, and look at the trends,” she says. “Such research could allow us to identify the physical parameters that govern the catalyst activity. Ultimately, we will be able to predict the catalyst behaviors. ” One issue to be dealt with in developing a battery system that could be widely commercialized is safety. Lithium in metallic form, which is used in lithiumair batteries, is highly reactive in the presence of even minuscule amounts of water. This is not an issue in current lithium-ion batteries because carbon-based materials are used for the negative electrode. Shao-Horn says the same battery principle can be applied without the need to use metallic lithium; graphite or some other more stable negative electrode materials could be used instead, she says, leading to a safer system. A number of issues must be addressed before lithiumair batteries can become a practical commercial product, she says. The biggest issue is developing a system that keeps its power through a sufficient number of charging and discharging cycles for it to be useful in vehicles or electronic devices. Researchers also need to look into details of the chemistry of the charging and discharging processes, to see what compounds are produced and where, and how
they react with other compounds in the system. “We’re at the very beginning” of understanding exactly how these reactions occur, Shao-Horn says. Gholam-Abbas Nazri, a researcher at the GM Research & Development Center in Michigan, calls this research “interesting and important,” and says this addresses a significant bottleneck in the development of this technology: the need find an efficient catalyst. This work is “in the right direction for further understanding of the role of catalysts,” and it “may significantly contribute to the further understanding and future development of lithium-air systems,” he says. While some companies working on lithium-air batteries have said they see it as a 10-year development program, Shao-Horn says it is too early to predict how long it may take to reach commercialization. “It’s a very promising area, but there are many science and engineering challenges to be overcome,” she says. “If it truly demonstrates two to three times the energy density” of today’s lithium-ion batteries, she says, the likely first applications will be in portable electronics such as computers and cell phones, which are highvalue items, and only later would be applied to vehicles once the costs are reduced.
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corporate profile | scrap
An Endless
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scrap | corporate profile
Cycle
Two family-run scrap metal companies have been extending the lives of metals for decades with sustainable recycling
by Jane Caffrey
Today global climate change takes the spotlight in politics and the media. With growing social and political pressure for sustainability, conservation efforts have never been more imperative or universal. Yet business and commerce continues to buoy, and recycling has come to play an increasingly prominent role in supporting twenty-first century standards with environmental consciousness. The scrap metal trade maintains a particularly vital function in the recycling effort, in a century where buildings, cars, electronics, food packaging, and household products are all manufactured from various metals. One of the oldest forms of recycling, scrap metal recycling dramatically cuts greenhouse gas emissions and conserves energy by limiting the production of new metals and alternatively producing cost-effective, reusable metal materials. Although the importance of recycling has become increasingly urgent in recent years, two scrap metal companies, run by three generations of one family, have been contributing to environmental preservation through recycling for decades. Curcio Scrap Metal, Inc. and Cirello Iron & Steel Company, both located in Saddle Brook, New Jersey, turn aluminum, steel, iron, copper, brass, and other scraps into fresh, reusable metal material through a recycling process that uses significantly less energy than production of metals from virgin ore. As more scrap metal is smelted for resale, less metal is manufactured and toxic fumes, energy use, and waste are cut. “We are a recycling facility, so we are taking in metal scraps, processing them, cleaning them, and then sending
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corporate profile | scrap Gingras, Collister, Babinski & Co. Certified Public Accountants
The advantage of reusing ferrous and nonferrous metals saves not only the natural resource itself, but also a tremendous savings of energy necessary to bring raw materials to market versus recycling “scrap.” We were introduced to the recycling industry when we partnered with the CURCIO and CIRELLO Companies ten years ago as their accountants and financial/tax advisors. This third generation family owned business has been involved in the recycling industry for more than fifty years, long before the “green” movement came into vogue. We are proud of our relationship with the CURCIO and CIRELLO Companies and their ongoing commitment to recycling scrap metals to help sustain our planet’s precious resources.
-Bernard R. Gingras CPA, engagement partner
We cater to all different types of customers. We have little peddlers to plumbing and electrical contractors. There are a number of industrial accounts that we service, such as truck body shops and auto body shops. We also work with demolition contractors that do demolition work in New York City, and we get a lot of scrap metal from the buildings. Michael Curcio President of Curcio Scrap Metal Vice President of Cirello Iron & Steel 96 Energy Leaders Today Spring 2010
scrap | corporate profile them out to smelters,” Michael Curcio, President of Curcio Scrap Metal and Vice President of Cirello Iron & Steel, said. “It helps the environment because the scraps are not just going to landfills, but getting recycled.” Curcio Scrap Metal, founded in 1940 by Curcio’s grandfather, is an active scrap metal yard that processes ferrous
and non-ferrous scrap metal, iron, steel, aluminum and numerous other materials. Michael Curcio’s father Frank Curcio took over the company in 1962 at the age of 20, keeping Curcio Scrap Metal a family-owned business. Also in the family is Cirello Iron & Steel, founded by Michael Curcio’s uncle Anthony Cirello in 1977. Since Cirello’s
Services: • total demolition • interior demolition • partial & selective demolition • disassembly/reassembly • factory equipment removal • plant, smoke stack, boiler & water tower dismantling • concrete & on-site crushing • excavation/shoring/grading • rigging • abestos abatement • hazardous waste removal • tank cleaning & removal
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semi-retirement in 2005, his son-in-law Jarrod Whidden has been leading most aspects of the business, which focuses on iron and steel, but also recycles copper, aluminum, and other ferrous and non-ferrous metals. Michael Curcio assumed responsibility for Curcio Scrap Metal on the third rotation of family leadership within the company. “As a kid I was always interested in the scrap yard, driving the forklift, coming in on Saturdays to help out a little bit, and working in the summers,” Curcio said. “I always liked it. Then it just seemed like a good career, as the family business.” After working part-time at Curcio Scrap Metal throughout high school and college, Curcio began full time with the company in 1991. He became President in 2001, and today runs an active scrap metal yard with 10,950 square feet of warehouse and office space and a total of 13 employees. Serving Bergen, Essex, Hudson, Morris, and Passaic counties and New York City, Curcio Scrap Metal sees an annual revenue of $8 million. Specializing in scrap iron, light iron, cast iron, and steel, Curcio Scrap Metal offers a variety of high quality services and remains committed to affordable prices. The company pays top prices for industrial scrap, aluminum, copper, brass, lead, nickel, stainless steel, insulated wires, high tem alloy, and semi-precious metal. Curcio Scrap Metal also works with a diverse assortment of clients. “We cater to all different types of customers,” Curcio said. “We have little peddlers to plumbing and electrical contractors. There are a number of industrial accounts that we service, such as truck body shops and auto body shops. We also work with demolition contractors that do demolition work in New York City, and we get a lot of scrap metal from the buildings.” Beyond offering a wide range of services, Curcio Scrap Metal remains committed to competence in the scrap yard. “There are a lot of different scrap yards in the area,” Curcio said. “We’re the most efficient, as far as being very clean and very organized.” The yard rests on a concrete base, which eliminates dirt from sullying the site. Curcio Scrap Metal also has a large warehouse space for storing metal.
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corporate profile | scrap Safety is a primary concern for Curcio, who strives to keep his scrap yard as tidy and safe as possible for his employees. “Safety is a big concern in a scrap yard,” he said. “That’s on our minds every day. We like to keep it pretty neat and clean, as much as is possible for a scrap yard.” Curcio Scrap Metal is one of the largest aluminum recyclers in the Jersey area. Aluminum, which can be recycled indefinitely since reprocessing does not damage its structure, is the most cost-effective material to recycle. World primary production of aluminum is at approximately 24 million tons per year. Yet for every kilogram of aluminum Curcio Scrap Metal recycles, 6 kg. of bauxite, 4 kg. of chemical products, and 14 KWh of electricity are saved. Recycling aluminum for resale requires only 5 percent of the energy in comparison with primary production, and produces 5 percent of the carbon dioxide emissions. One recycled aluminum can saves enough energy to run a television for three hours.
Steel, like aluminum, is a metal that is produced and utilized in the largest quantities and can be reprocessed indefinitely without damage to the structure. Cirello Iron & Steel, which is run by Anthony Cirello and where Curcio serves as Vice President, specializes in recycling of steel. The company has a staff of four and an annual revenue of approximately $2 million. With the value of steel cans in the waste stream at $28 million per year, Cirello Iron & Steel plays a critical role in reprocessing of the metal. Steel is prominent in society: 1.8 billion drink cans are made of steel, and beyond food products, most hairsprays, polishes, paint cans, and other household products come in steel packaging. All steel cans are 100 percent recyclable, and all contain at least 25 percent recycled steel. For every ton of steel packaging recycled, environmental savings include 1.5 tons of iron ore, 0.5 tons of coal, 40 percent of the water required in production, 75 percent of the energy needed to produce steel, and 1.28 tons of solid waste. In comparison
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with primary production, recycling steel reduces air emissions by 86 percent and water pollution by 76 percent. Unlike most other recyclables, scrap metals have an almost never-ending life cycle, which permits them to be reprocessed time and again. This ensures busy schedules for both Curcio Scrap Metal and Cirello Iron & Steel. Yet for now Curcio does not anticipate any major changes to the business, and hopes to carry on his father’s vision of maintaining the company’s size and providing knowledge and service customers. “Our niche and what we do best is keeping the place clean, servicing our customers, and giving them a fair price,” Curcio said. “They’re usually pretty happy. They want good clean service.” While the two companies excel in quality customer service, both Curcio Scrap Metal and Cirello Iron & Steel also accomplish the crucial tasks of saving energy and protecting natural resources by giving new life to metal materials through recycling. ELT
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scrap | corporate profile
AERC by Joan Tupponce
recycling solutions for a better tomorrow Robert Landmesser realized the need for proper hazardous waste management as it relates to mercury and harmful heavy metals long before “green” became a household word. In 1990, he founded AERC Recycling Solutions, now an industry leader in the field of electronic waste and mercury recycling. He started AERC as an addition to his previous waste management business, Advanced Environmental Technology Corp. During the course of that business, he fielded requests from customers that wanted to know how to properly dispose of products containing mercury. “Mercury is a highly toxic material,” explains Landmesser’s daughter, Lindsay Landmesser, AERC’s vice president of sales. “It can create a health risk, especially if it is ingested. It’s very important to make sure that mercury is managed in a safe way.” Robert Landmesser applied for and received a Ben Franklin Institute grant to look for ways to reclaim Mercury and avoid having it dumped into landfills. Today, EPA guidelines recommend that all mercury contained devices be recycled. “We help companies abide by the regulations, making sure that they are recycling mercury contained devices and/or contaminated soil” Lindsay Landmesser says. “We go above and beyond for the environment.” Since its founding 20 years ago, AERC has grown into a national company with 181 employees. The company has facilities in California, Texas, Florida, Virginia and Pennsylvania with the company’s headquarters in Allentown. AERC also has an office in New Jersey. In 1994, AERC added batteries, ballasts and electronics to its recycling offerings. During the mid-to-late 1990s, the company saw an increase in electronics handling as well as an increase in the number of electronics with mercury switches. To meet the
“
Lindsay Landmesser AERC Vice President of Sales
We help companies abide by the regulations, making sure that they are recycling mercury contained devices and/or contaminated soil. We go above and beyond for the environment.
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corporate profile | scrap
demand, the company expanded its electronic recycling capabilities. “We started with one facility five years ago and now we have five,” Landmesser says. “Electronic recycling is our number one growth area.” The company expanded to Virginia in 2003 and then to Texas in 2008. “Those areas fit our market profile,” says Landmesser. AERC is one of the few companies in its industry to operate retort machines, used for the recovery of mercury from various mercury containing materials. During the eight-hour heating process where temperatures can soar up to 1,100 degrees, the mercury in devices evaporates into mercury filters. “We drain it out and have a pure type of
mercury,” Landmesser explains. “We work with another company to get it to 99.9% pure. We sell that to companies that use the new mercury in their products.”
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Lindsay Landmesser AERC Vice President of Sales
Each of AERC’s facilities in Pennsylvania, Florida and California also use state-of-the-art technology found in the LSS1 Lamp Recycling Equipment for fluorescent lamps. The dry-processing system crushes and separates all geometric shapes of fluorescent lamps into glass, aluminum and mercury containing phosphor powder components. It can process over 3,000 lamps per hour. AERC’s customers include municipalities, towns, counties, electrical contractors, property management companies and businesses of all sizes. The company maintains a Zero-Waste-to-Landfill Policy for all of its hazardous electronics/electrical recycling services. All electronics are dismantled domestically by AERC’s highly trained staff. No part
If people didn’t come to our company with a respect for the environment and what we are doing, they develop one when they are working here.
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corporate profile | scrap of the electronic product goes into the landfill. “Everything is taken apart, shredded and reclaimed,” Landmesser says. “Our first intention is always to reuse the item for its intended purpose.” Landmesser finds that customers are not only aware of the need to recycle but also the differences between recyclers. “Most states require permitted recyclers,” she explains. “You have to have proper insurance requirements. We are committed to responsible recycling practices for a healthier tomorrow” One of the strongest growth factors for AERC is its customer service policy where team members work one-on-one with companies to develop a solution tailored to their needs. “We have some customers that we have worked with since day one,” Landmesser says. “We focus on our customers. We have a national footprint so we can provide a one-vendor solution.” Each year, AERC recycles an average of more than 30 tons of mercury. The company often holds public collection events where they collect primarily electronics. “People also bring lamps and batteries,” Landmesser says. In January, AERC collected more than 47,000 pounds of electronic waste at a one-day event in Vero Beach, Fla. All electronics collected were forwarded for processing to AERC’s Electronics Processing Com-Cycle facility in Florida. Any data contained on data storage devices was physically destroyed or wiped out according to Department of Defense Standards. “We had one event in Berks County, Penn. where we collected over nine truckloads of material in a two-day period,” Landmesser says. “Typically there is 25,000 pounds on one truckload. There is a great need for this type of recycling.” All recycling technicians, especially those that work with hazardous wastes, must complete a 40-hour Hazwoper training program. “All of our employees also undergo weekly safety training and short meetings before their shift starts,” Landmesser says. “Before they are hired they go through a preemployment drug screening and a background check. They are all subject to random drug testing.” AERC expanded once again in 2008 when it acquired the Secure Data Destruction and Disposal operations of DynTek, Inc. The acquisition included a contract with the Commonwealth of Virginia. “We go into Virginia agencies and provide an inventory of material,” Landmesser says. “We know everything that has to be recycled.” AERC hopes to capitalize on this business through the expansion of opportunities within the Virginia SDDS contract and the use of its Secure Asset Management Software Program in other areas as well. One of the company’s newest technologies is an end-to-end process for phosphor powder that has been reclaimed called rare earth. “We are working with lighting manufacturers to send rare earth to them to use in new lamps,” Landmesser says. Glass that is recovered by AERC can be used in asphalt. Aluminum is sold back into the market. “It does not go into aluminum cans,” Landmesser says. Landmesser wanted to join her father in his business because she was interested not only in business management but also in saving the environment. “If people didn’t come to our company with a respect for the environment and what we are doing, they develop one when they are working here,” she says. “You can make a difference by working for a green company that has a positive impact on the community. A healthy environment is so important to our economy and our nation.”ELT 104 Energy Leaders Today Spring 2010
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You can make a difference by working for a green company that has a positive impact on the community. A healthy environment is so important to our economy and our nation. Lindsay Landmesser | AERC Vice President of Sales
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Thornton There’s a lot more to metal recycling than steel cans. It can encompass automobiles, appliances, construction materials, and other steel products. For Thornton Iron & Metal, Inc. in Rogersville, Ala., it has meant primarily steel and copper, but also future prospects in demolition and auto plants. Thornton has an eye on doing what’s right for the environment. Since the early 1970s, the North American steel industry has invested more than $60 billion in becoming a more sustainable industry. In a typical year, more than 15 percent of the steel industry’s capital expenditures are directed toward environmental improvement. In fact, steel is the most recycled material in the world, including more than 82 million tons in the United States alone in 2008. More steel is recycled annually than all other materials, including aluminum, glass, and paper combined. The Steel Recycling Institute (SRI), a unit of the American Iron & Steel Institute, is an industry association that promotes and sustains the recycling of all steel products. The SRI educates the solid waste industry, government, businesses and ultimately the consumer about the benefits of steel’s recycling benefits. The SRI implements a grassroots effort to work directly with the public and private sectors to implement steel and steel can recycling. The American Metal Market (AMM) is the leading provider of exclusive daily news and pricing for the metals industry in North America. AMM provides comprehensive, proprietary, city-by-city pricing tables for scrap metal categories and the market prices on more than 1,700 metals and materials, as well as key prices from other important sources, including the New York and London metals exchanges on a daily basis. AMM can be found on the Web at www.amm.com.
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