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Going tankless On-demand DHW technology matures
INSIDE Q Quebec anti-crime report backs prompt payment Q CIPH Roadshows record successful year Q Geothermal suggested for PM’s home Q Small contractors face unique challenges
JANUARY/FEBRUARY 2016
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Q Contents
Hot Water Heating Issue Departments Hot Seat .........................................5 Warranty complication
Industry News ..............................7 Industry raises $2.2 million for Habitat
Today’s Contractor ......................49 Manitoba hydronics project draws award
People & Places ...........................54 Wolseley continues rapid expansion
Coming Events ............................56 Canada’s largest mechanical show returns
Shop Management .....................58 Creating a customer newsletter
Products & Technologies DHW Heating ..............................14 Hydronic Heating ........................20 Heating ........................................26 Refrigeration ...............................42
Biomass gaining ground Large projects demonstrate savings
Features
Tools & Instruments ....................51
Travelling trade show
7
Cross-Canada event well received
Cover: Contractor Matt Carver installs a condensing tankless unit. Please see our article on page 14.
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Today’s boiler controls
20
Getting to grips with sophisticated electronics
Pipe trades boost
52
Alberta trade school undergoes major expansion January/February 2016 – Plumbing & HVAC
3
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Q Hot Seat
January/February 2016 Volume 26, Number 1 ISSN 1919-0395
Publisher Mark Vreugdenhil (416) 614-5819 mark@plumbingandhvac.ca
Slippery slope In recent years manufacturers’ warranties on HVAC equipment have become increasingly complicated, with different components covered for different periods. At the same time, warranties have increasing become a marketing tool as manufacturers try to get the upper hand on their competitors by offering ever-longer product guarantees. In this issue Bob Bettles and Brian Guttormson talk about the problems this is causing for contractors and wholesalers. But probably just as important – and also a problem – is the perception of the customer. Used as a sales tool, the homeowner promised a ten-year warranty won’t give it another thought until the furnace, water heater, air conditioner or whatever breaks. In their mind, they are fully protected – the salesman promised a 10-year warranty and it’s less than ten years, so they figure they’re covered. But with the longer warranties come conditions. The appliance has to be registered. Sometimes the contractor does that at the time of sale. In other cases the home or building owner must go to the manufacturer’s website. There may be a condition that an authorized contractor or dealer services the unit once a year. These conditions may allow the manufacturer or warranty holder to wiggle out of doing repairs if not followed. But it’s a risky strategy. The name of the manufacturer and the installing contactor is going to be mud if that happens. There is an onus on the customer, www.plumbingandhvac.ca
probably more than in the past, to ensure the equipment is maintained as per the manufacturer’s instructions. And there’s a need for the contractor to educate the customer – assuming that they understand the warranty and its requirements. Which brings us back to “complicated.� And the other problem is that homeowners really don’t expect to have to do any maintenance because, over the years, they’ve become accustomed to HVAC or DHW equipment that just chugs along year after year with nothing more than the occasional filter change. But if something breaks and the warranty doesn’t cover it, tempers flare and the contractor takes the heat. Perhaps it’s time the industry took a hard look at this. Just how long should a piece of equipment be under warranty, what’s involved in maintaining an exceptionally long warranty and who makes the decision? Surely it should be the engineering department, not marketing. And let’s go back to making warranties simple and straightforward so everyone can understand them. One contractor recently suggested to me that the industry should develop a standardized warranty, as at least one other industry has done. It’s time to start the discussion.
Editor Simon Blake (416) 614-5820 simon@plumbingandhvac.ca National Sales Manager Mark Mierkalns (416) 614-5832 markm@plumbingandhvac.ca Design and Production Tim Norton/Janet Popadiuk production@plumbingandhvac.ca Circulation Manager Dorothy Lai
PLUMBING & HVAC Magazine is published eight times annually by Marked Business Media Inc. and is written for individuals who purchase/ specify/approve the selection of plumbing, piping, hot water heating, fire protection, warm air heating, air conditioning, ventilation, refrigeration, controls and related systems and products throughout Canada.
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Q Industry News
In Brief Over $2 million raised for Habitat The Canadian Institute of Plumbing and Heating (CIPH) has dramatically surpassed the goal for its 2014/2015 fundraising campaign for Habitat for Humanity. By the end of December, more than $2.2 million in cash and products had been raised from members, reported CIPH charity chair Gail Kaufman (Wolseley Canada). The original goal was $2 million. CIPH plans a celebration at its biennial Gala in Support of Habitat for Humanity at the downtown Delta Toronto Hotel on March 15.
World Plumbing Day returns
At a busy Regina Roadshow, from left, Conbraco’s Jeff Cooper and Andy Fretz chat with Duane Dale, facilities supervisor for the Prairie South School Division in Moose Jaw, Sask.
Strong contractor attendance at CIPHEX Roadshow events The cross Canada CIPHEX Roadshow industry trade shows wrapped up a successful year with the final event in St. John’s, Nfld. on Nov. 18, reported show manager Elizabeth McCullough. In total, 1124 contractors, engineers, wholesalers and other industry personnel attended the events, with the Edmonton event on Oct. 20 being the best attended. Events in Burnaby, B.C. on Oct. 15, Regina, Sask. on Oct. 22 and Brandon, Man. on Oct. 28 were also well attended. About 100 exhibitors displayed their latest products. A post-show visitor survey showed that the number one reason for attending was to see new products. The survey also showed that two-thirds of all visitors, and 83 percent of contractors, intended to make purchases based on what they saw within three months
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of the show. Key interests for visitors included plumbing (70 percent), heating (67 percent), hydronic heating (43 percent) and water treatment (40 percent). A strong education program with 11 seminars over the five shows also proved popular. A presentation by Alberta chief plumbing inspector Sidney Manning on “What to Expect in the New 2015 National Plumbing Code” drew a standing room only crowd of 110 people in Edmonton. Expert speakers also covered things like new water heater regulations, selling hydronics and rainwater harvesting. The Canadian Institute of Plumbing and Heating (CIPH) organizes the CIPHEX Roadshow series every second year. Visit www.ciph.com for more information.
World Plumbing Day, which celebrates the important role that plumbing plays in the health and safety of modern society, will take place on March 11. Initiated by the World Plumbing Council and supported by organizations like CIPH and the Mechanical Contractors Association of Canada, World Plumbing Day serves as a reminder that the great leaps in human advancement have been tied to advances in plumbing – and that there are still many regions of the world that still don’t share the benefit.
Bath overflow products infringed patent A court in the Western District of Tennessee has determined that original and redesigned “Classic” bath waste and overflow products, including those with the “Press-in trim kit”, sold under the AB&A brand by IPS Corporation, Compton, California, infringe patents held by Watco Manufacturing, Independence, Missouri. Both companies sell their products in Canada. The jury verdict found that IPS willfully infringed six patent claims across three of WCM Industries’ (Watco’s parent company) patents directed to bath waste and overflow assemblies, and that all six patent claims were valid.
January/February 2016 – Plumbing & HVAC
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Q Industry News
The Pressures You Need NOW LE AB AVAILNADA IN CA
Quebec anti-crime commission urges adoption of prompt payment rules The Charbonneau Commission, which looked at corruption in the Quebec construction industry, has recommended the implementation of mandatory payment timelines. Of 60 recommendations, all of which the provincial government has promised to implement, Recommendation 15 is designed to reduce payment delays to construction contractors, reports the Mechanical Contractors Association of Canada, which has been pushing for prompt payment legislation across the country.
Slow payment causes three major problems that allow organized crime to become involved in construction.
During its hearings the Commission heard from contractors that payment delays are now typically three to six months after completion of the work and billing. This was confirmed by other witnesses, such as City of Montreal director of supply Serge Pourreaux who said the city’s finance department had estimated back in 2003 or 2004 that 80 percent of
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invoices were paid in from four to six months. The Commission says that slow payment causes three major problems that allow organized crime to become involved in construction. First, site supervisors must approve progress payments, giving them considerable power to intimidate contractors. Secondly, it restricts competition because contractors that don’t have the cash flow to pay their employees and suppliers while waiting for payment can’t bid on projects where they know payment is going to be slow. In 2013 over three-quarters of contractors refused to bid on a tender because they feared payment problems, reported the Commission. And it penalizes smaller contractors that don’t have easy access to credit. That leads to the third problem for the Commission. Contractors end up seeking funding from non-traditional sources, which can bring organized crime into construction projects. And contractors include these higher borrowing costs in their bids, which causes a significant problem for government in that, among other things, it drives up the cost of public projects. The Commission noted that the United States, the European Union, the United Kingdom and the State of South Australia have all implemented prompt payment legislation. The Commissioners therefore recommended the government adopt, in prime and subcontracts, a standard timeline for progressive statements and payments.
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Q Industry News
Geothermal urged for PM’s home
It was all smiles at the Buildings Show at the Metro Toronto Convention Centre Dec. 2-4. Over 30,000 visitors saw products from 1,600 exhibitors and could attend 350 seminars at Canada’s largest all-trades show. Old friends, from left, Sean Giberson, Mike Miller, Ken Tomihiro and Pat Scantlebury met up at the Taco Canada booth.
HVAC Coalition continues fight against utility encroachment The Ontario HVAC Coalition continues to protect contractors from utilities moving into the HVAC business, members heard at the group’s annual general meeting Nov. 24. In the past year activities included working with Oakville Hydro on an independent cost allocation analysis to determine whether or not the regulated utility is assisting in the operations of its competitive affiliates, Sandpiper Home Comfort and Oakville Hydro Energy Services. Martin Luymes, director of programs and relations for the Heating, Refrigeration and Air Conditioning Institute of Canada (HRAI), reported that the study, depending on its conclusions, may help resolve perceived issues with this utility while potentially setting precedents for others. However, the study has since been released and Luymes told P&HVAC: “We’re in a bit of a “wait and see” position at the moment. In a nutshell, we’re not happy with the cost allocation analysis that was done by the independent consultant (too glossed over) and so we are asking for more information. If
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they don’t provide it we will challenge the study in the upcoming utility rate hearing, which is scheduled to begin in January.” Coalition chair Roger Grochmal (AtlasCare, Oakville, Ont.) wrapped up the evening event with comments that the Coalition will need continued member support to maintain a vigilant eye on Ontario’s utilities. At the close of the meeting, the HRAI Greater Toronto Area Chapter presented the Coalition with a donation of $10,000. Members also elected their executive for the coming year, re-appointing Grochmal as chair. Dave McPherson (Rheem Mfg.) was appointed secretary-treasurer. Directors include: Rob Jutras, Reliance Comfort (Past Chair); Warren Heeley, HRAI-Canada (exofficio); John Bosanac, Bosanac Heating & Electric; Gerry Cellucci, Yorkland Controls; David Graeme, Belyea Brothers; Tony Mammoliti, Ambient Mechanical; Mike Martino, Martino Contractors; Peter Messenger, A1 Air Conditioning; Dave Murtland, D&B ClimateCare; and Steve Saunders, Goodman Company Canada.
The Canadian GeoExchange Coalition is urging the installation of a geothermal system in the prime minister’s residence at 24 Sussex Drive in Ottawa. The group sees this as a tremendous opportunity to revamp the building’s mechanical systems and to improve the air quality and comfort of occupants and visitors. And it could provide a real boost for the geothermal HVAC industry, said Denis Tanguay, CGC president and CEO. “The Liberal Party platform is clear on their intentions to lead by example by ensuring that the federal government increases its use of clean technologies to stimulate domestic demand for these products. The expected retrofits at 24 Sussex Drive represent a unique opportunity to showcase the knowhow of Canadian specialists for the design and the installation of geothermal heat pump systems,” he said. A geothermal system would generate savings in the order of 40 to 60 percent on the annual heating and cooling bill, he added. For more information, visit www. geoexchange.ca.
The home of Canada’s prime minister needs an upgrade. (NCC photo)
January/February 2016 – Plumbing & HVAC
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Q Industry News
Chilly start for MCAC annual meeting About 350 delegates and companions attended the 2015 Mechanical Contractors Association of Canada (MCAC) 74th National Conference in California. Held at the beautiful Omni Ranchos Las Palmas Resort & Spa in Palm Springs Nov. 16-19, the expected heat didn’t actually arrive for a few days and saw participants in the John Bradshaw Memorial Golf Tournament and the California Dreaming opening event, held outdoors and featuring live music and balloon rides, longing for their winter jackets. However, things improved as the week went on, reported MCAC’s Daryl Sharkey. The conference saw a changing of the guard among the board of directors as
MCAC president Gaetan Beaulieu (Beaulieu Plumbing & Mechanical Inc., Edmunston, N.B.) handed the association’s reins over to new president Del Pawliuk (R.F. Contracting, Sault Ste. Marie, Ont.) The organization changed titles for members of its board, with the chairman becoming president and longtime president Richard McKeagan becoming CEO. This brings MCAC into alignment with some other organizations and gets away from gender specific titles. At the opening breakfast, former NHL AllStar Clint Malarchuk shared the story of his life in the NHL and beyond while suffering from mental illness. An off-site event at the Field of Dreams featured, surprise, surprise, baseball along with other sports. As usual, there were business meetings mixed in with the entertainment: several committee meetings, the CEC Council meeting, the MSCC board of directors meeting, the annual general meeting itself and
Gaetan Beaulieu, left, “passes the buck” to new president Del Pawliuk the MCA Canada board of directors meetings. The 75th annual MCAC National Conference will take place at the Yacht and Beach Club Resort at Disney World in Orlando, Florida Nov. 14-17, 2016.
When it’s time for a new water heater… Go with a professional for proper installation and go with Bradford White for top quality and long life. Built in Middleville, MI, Bradford White water heaters are known for quality, performance, and durability. That’s why they are the preferred brand of professional installers all across the country. Plumbing contractors continue to choose Bradford White because they know that they’re giving their customers a premium product at a competitive price. So when it’s time for a new water heater, ask your installer for a Bradford White. You’ll get performance and reliability you can count on.
www.bradfordwhite.com | Built to be the Best™ 12
Plumbing & HVAC – January/February 2016
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Q Hot Water Heating
Contractor Matt Carver of MLC Plumbing, Kenner, Louisiana, retrofitted this condensing tankless unit in place of a leaking storage tank in two hours.
TODAY’S TANKLESS DHW HEATERS Narrowing price gap, easier venting pushing market to condensing models By Simon Blake 14
Plumbing & HVAC – January/February 2016
Condensing tankless water heaters are becoming increasingly popular as the price gap with non-condensing models narrows thanks to less expensive and easier venting. “We’re seeing a tremendous shift towards condensing tankless water heaters mainly because of efficiencies, lower cost, and ease of
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venting the flue products,” remarked Brian Fenske, special channel sales manager for Navien, Irvine, Calif. The shift happened amazingly fast, added Jason Fleming, senior marketing and customer care manager for Noritz, Fountain Valley, Calif. “The sales of condensing high efficiency units has surpassed sales of the mid-efficient non-condensing units.” “We see this as a significant change in the marketplace. The cost gap is getting a lot smaller,” remarked Kristen Metropoulos, North American product manager of domestic hot water for Bosch Thermotechnology Corp., Londonderry,
New Hampshire. And it’s not just the cost gap between condensing and noncondensing tankless, but the gap between tankless and storage tank water heaters is shrinking as code changes push up the price of the latter. As well, the technology has matured. Manufacturers have expanded their input ranges, allowing the contractor to better tailor the tankless unit to the customer’s needs, noted James York, vice president of engineering for Rinnai America Corporation in Peachtree City, Georgia. Built-in DHW recirculation allows the contactor to easily boost comfort
for customers. Space savings, endless hot water – albeit at a reduced flow in extreme situations – and energy efficiency continue to attract homeowners to tankless technology.
Energy efficiency Natural Resources Canada (NRCan) reports that hot water heating is the second largest user of energy in the home. However, the actual cost to the homeowner is relatively small and, thus, not a big selling point. A standard tankless unit has an energy factor of .82; some condensing units are .95 or higher. The condensing unit can save the homeowner up to 40 percent in water heating costs. Energy efficiency is important to homebuilders, noted Fleming. “They need to meet specific requirements to maximize any rebates they get for building efficient homes and because they need to differentiate from traditional cookie cutter home builders.” Today’s on-demand water heaters are available in many Btu capacities. The “standard” unit has become the 199,000 Btu/h condensing model that can support four to five faucets or appliances at one time. Manufacturers offer larger units if needed and multiple units can be cascaded.
A quality installation There are three things a contractor needs to do to ensure a quality installation: t /VNCFS POF JT UP TJ[F UIF VOJU DPSSFDUMZ taking into account maximum possible GPM requirements and ground water temperature.
Saving space was a priority for the homeowner.
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Please see ‘Three’ on page 16
January/February 2016 – Plumbing & HVAC
15
Q Hot Water Heating Less expensive venting gives the contractor installation flexibility with condensing units.
Three basic factors in quality installation t /VNCFS UXP JT UP WFOU JU DPSSFDUMZ t "OE OVNCFS UISFF JT UP FOTVSF UIF HBT MJOF can provide adequate volume and pressure.
showerheads are operating simultaneously and the unit is rated at six GPM, in theory that will exceed the unit’s capacity but, in reality, probably not because the hot water is tempered with cold.
Sizing the unit
Gas line requirements
Sizing the unit correctly to meet the family’s needs is critical. “There needs to be a conversation with the homeowner as to how much, in the worst case scenario, hot water they are going to need at one time,� noted Fleming. “As long as you know what the required or desired peak gallon per minute flow will be and you buy enough tankless water heater or water heaters to meet that demand, you will never get in trouble,� remarked Fenske. Keep in mind that if three 2.5 GPM
A ž� gas line is ideal for most installations. However, there are units designed to work in older homes with half-inch lines. Navien, for example, advises that their units can run on a ½-inch gas line as long as it isn’t more than 24 feet. Keep in mind, though, that the gas line has to supply all gas appliances in the home. Water temperature and water quality are critical factors. In the depths of winter in some parts of Canada the ground water temperature can be just slightly above freezing. Typically,
Continued from page 15
16
Plumbing & HVAC – January/February 2016
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today’s tankless units provide about 44C (80F) temperature rise. If the input water temperature is 1C, the maximum output is going to be 45C (113F), which is fine for most residential applications. In reality, with today’s tankless heaters, the temperature remains 49C (120F), but the volume is reduced somewhat, said Fenske. The cure is more capacity, but that’s not usually necessary. “Maybe in the winter you can only run two showers instead of three showers. Most people get to know and understand that.”
quickly program the units to “automatically operate based on load and switch back and forth and adjust their firing rate based on flow rate,” said Fleming. Keep in mind that multiple units have to be plumbed in parallel, he added. “The biggest thing is making sure they have enough gas to supply both units, making sure the venting is done correctly to get the exhaust out and
making sure there’s enough air to supply both units for combustion.”
Recirculation and comfort Like any hot water system, the speed at which the hot water reaches the faucet depends on the distance from the tankless unit to the Please see ‘Recirculation’ on page 19
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The sales of condensing high efficiency units has surpassed sales of the mid-efficient noncondensing units.
Comfort made even easier.
Manufacturers make sizing easy with various phone “apps” or sizing software that calculates the sizing based on the location of the home and the number of faucets, appliances, etc.
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Venting Venting is where the price gap between a traditional tankless water heater and a condensing unit narrows. The traditional unit requires Category III stainless steel venting; condensing models use ULC S636 CPVC or polypropylene. Bosch and Rinnai offer concentric – pipe within a pipe – single pipe venting. It can be easily switched to a two-pipe system if that’s what’s already in the house, remarked York.
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Multiple unit installation Manufacturers have made installing two or more units easier. Piping is straightforward and, in some cases, the units can be common vented. Controls are connected with a cascade cable and the technician can then
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See warranty certificate for details
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© 2016 International Comfort Products. *When installed as part of a complete Observer® Communicating System, including the Observer Wall Control and integrated zoning. Wi-Fi® is a registered trademark of the Wi-Fi Alliance Corporation.
Heating & Cooling Products
January/February 2016 – Plumbing & HVAC
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See our full line of products ntiboilers.com
Q Hot Water Heating
Recirculation ready Continued from page 17
outlet. There can also be a lag time between when the sensor detects water flow and the unit starts generating hot water – the socalled “cold water sandwich.” Today’s tankless technology has largely eliminated this.
service,” said Fenske. In rural water systems, water filtration and a water softener may be required. “Over the years, getting people to maintain their tankless units has been a bit of a challenge,” noted Fleming. Manufacturers have addressed this in different ways. Noritz, for example, includes scale detection software
that tells the homeowner or contractor when a unit needs to be cleaned. If scale buildup gets to the point where it might damage the heat exchanger, the software will shut the unit down until the full 60-minute flushing with white vinegar is done. Many contractors offer flushing as part of a service plan. Tankless hot water heaters have come a long way since they were introduced to North America and today’s units can do pretty much anything the homeowner requires.
A T RUST ED H ISTORY. A N IN N OVAT IVE FUTUR E .
Some tankless units can also do space heating, but that’s a story for another day. Manufacturers offer “recirculation ready” units that allow the technician to quickly install DHW recirculation. Rinnai’s RUR 98 model, for example, includes an on-board recirculation pump and a crossover valve that allows the contractor to add recirculation to an existing home with or without a dedicated return line, noted York. The crossover valve is installed under the deck at the farthest faucet or fixture from the heater.
Maintenance Water quality and maintenance are, not surprisingly, linked. “You’ve got people that have good municipal water that will never have any service required and then you’ve got some bad areas and well systems that might need water treatment and/or regular
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The HG110-D, a triple-listed thermostatic mixing valve, delivers water at a safe 49°C (120°F) om all outlets, while allowing the water heater to be set at a germkilling 60°C (140°F). The higher tank temperature means the hot water demands can be satisfied longer, providing more hot water while using less energy. Protect, Boost & Save with Cash Acme’s family of valves.
Manufactured and Distributed by Reliance Worldwide Corporation (Canada) Inc.
January/February 2016 – Plumbing & HVAC
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Q Hot Water Heating
Today’s boiler controls Getting to grips with built-in sophisticated electronics
O
By Roy Collver
Over the last twe twenty years, boiler manufacturers and you can find advanced electronic controls started d to iinclude very sophisticated included on most boilers and HVAC products, “embedded” (on-board) not just the high-end stuff. electronic controls in their We are all living the story higher-end models. Newer of how electronic devices boiler requirements such have become an integral as modulating combustion part of our lives and, with blowers, outdoor reset and many boilers today, you ignition systems required don’t have a choice – you the addition of electronics. get what they give you and They also saw that many of often that’s more than you their customers were buying need. fancy controls from third How can we cut through parties, and saw competitive the “geek-speak” and see advantages in offering these Modern boiler controls, like this what these controls do for advanced features “on- NTI unit, provide the technician us? How can we quickly with a lot of useful information, assess their features and board”. Fast-forward to today saving considerable test time. benefits so we can choose
20
Plumbing & HVAC – January/February 2016
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the right boiler, married to the right control, and make sure we use them to best effect? Being on the leading edge of this technology for more than the aforesaid twenty years, I find it tricky to thresh out all of the chaff and come up with just the kernels. Over the next three issues of the magazine, we will do this in small bites.
What does what? When we eliminate the features that are onboard for what I will call operations and housekeeping, modern controls become much easier to understand. Many basic preelectronic boiler control functions have changed from stand-alone electro-mechanical devices wired through running interlock series wiring to devices that are plugged into a control circuit board instead.
How can we cut through the “geek-speak” and see what these controls do for us?
The new Qualicum Beach Fire Hall on Vancouver Island features a state-of-the-art condensing boiler system as a backup to its geothermal heat pumps. Mount Benson Mechanical in Nanaimo installed the mechanical and Mac’s Heating of Victoria commissioned the boiler.
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Now they can be “seen” by the control’s processor, which can make life easier for us. We can now monitor, adjust and reset functions and devices right at the control, rather than having to open up panels and get out tools and test meters. Many hydronic heating designers see no need for this fancy stuff in your basic onePlease see ‘Separating’ on page 23
January/February 2016 – Plumbing & HVAC
21
8 reasons it’s perfect for you
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www.viessmann.ca 1-800-387-7373
Q Hot Water Heating
Separating the needs from the options Continued from page 21
AQUASTAT
LWCO
temperature heating system only boiler, but the cost to the manufacturer for simple electronic operating controls has dropped to the point where they are likely to completely replace the old electro-mechanical controls very soon. And the requirement for higher efficiency is hastening the end of natural draft appliances and the rise of electronic control platforms simultaneously. The two drawings in Fig. 1 and Fig. 2 illustrate the old school versus new school approach to wiring.
HIGH LIMIT
ROLL-OUT BLOCKED VENT
black white
24 Vac
120 Vac
Disconnect
THERMOSTAT
“Old School” boiler control wiring There were a lot less things to accomplish, back in the day.
GAS VALVE
Necessary control functions
Traditionally, boiler wiring looked something like this.
There are certain control functions that are absolutely necessary to the function of the boiler. These include: integrated ignition and flame proving, boiler pump switching, water temperature control, control of induced draft fans/combustion blower motors and burner modulating functions. Replacing mechanical aquastat tempera-
ture switches with sensors allows the control to actually “see” the water temperature and respond in a measured way rather than to a trigger set-point – a great benefit to modulating boiler functions. Mechanical high limit safety switches may or may not make the move to the circuit
board because they are cheap and pretty fool-proof the way they are, but a modulating boiler can make use of a sensor reading to back off on the energy input, preventing said mechanical high limit from ever triggering. That’s a nice feature.
Optional system control functions #1 System Circulator
#2 System Circulator
Boiler Circulator Combustion Fan
GAS VALVE
Ignition
Vent High Limit Switch
Disconnect black white
LWCO
“New Age” boiler control wiring The “Black Box” is a busy little place
T
Return Water Temperature Sensor
T
Supply Water Temperature Sensor
T
Flue Vent Temperature Sensor
T
Outdoor Air Temperature Sensor
Water High Limit Switch
Vessel High Limit Switch
VP
VP
Water Pressure Sensor
Fan Air Pressure Sensor
Water Flow Proving Switch
Blocked Vent Switch
Today’s wiring is more complicated, but it is usually built into the boiler.
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These features give the designer and contractor many options for system integration. And they are usually the ones that cause the most angst. Advanced water temperature control functions like outdoor reset, boiler system and supply water temperatures and DHW options are popular. From the boiler control, you can now gather data from various system sensors and input devices in order to operate system pumps, mixing devices and zoning devices. Scheduling functions (such as occupied / unoccupied) are available, and access to all of the above can be limited by installer control settings. So what do you want, what do you really need, and what is just fluff?
Monitoring/diagnostic functions Many controls give the user the ability to get both “real-time” information about what is happening, along with logged, historical data. This stuff is great for troubleshooting and setting up a system as long as you know where Please see ‘Three’ on page 25
January/February 2016 – Plumbing & HVAC
23
Q Heating
Three key rules for electronics Continued from page23
to look and how to interpret what you are seeing. Water temperatures, running hours, and error messages are a few examples. These look like complicated functions, but simple data logging and reporting isn’t so hard. Progressive manufacturers are taking it to the next level and developing more and more software to analyze system operation and then self-adjust control settings in order to optimize efficiency and comfort – the socalled smart controls.
Interface and communication functions The Qualicum Beach Firehall on Vancouver Island was recently upgraded with a new high efficiency condensing boiler.
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Many new controls have an LCD or LED screen with a push button or touch-screen user interface, giving the user a window
Plumbing & HVAC – January/February 2016
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into the system. Many boilers will soon have Internet access capabilities and integration to home automation systems – some are there already. How important all of this connectivity is remains to be seen. I have to admit I am a bit of a sceptic when it comes to the usefulness of many of these new features. If you are confused about advanced boiler control functions, follow my three rules of the control buffet:
Rule No.3 – You can always go back for more if you are still hungry. One good thing about those “fat” controls is that they may give you some options you didn’t think you wanted. Think about what they can do for you, and don’t be afraid to try something different. You may discover a new favourite dish. Choosing a boiler used to be simpler. Here’s a bit of homework you can try before you get buried in a 20-page boiler control manual. Look at the control’s wiring schematic and study the inputs and outputs to the control
(what’s connected to all those terminals). Combined with the boiler’s standard piping schematics, it’s like reading shorthand when assessing a control’s capabilities. Roy Collver is an author and consultant on hydronic heating based in Parksville, B.C. He can be reached at hoth2o@shaw.ca
You don’t have to try to use every feature on a control just because it’s there. Rule No. 1 – You don’t have to try to use every
feature on a control just because it’s there. Many controls suffer from “feature bloat” – where design engineers add more and more elements, sometimes just because they can and because they have “room” available on the chip for more software – or because yet another salesman or designer is pestering them for more, more, more. In electronics manufacturing, more volume means a much cheaper per unit cost. The boiler company may have to pay more to have stripped-down versions, so everyone gets the full package. So when you are looking at ten or twenty pages of control instructions, think of control features like they are dishes at a buffet. Choose what you want and you know; you don’t have to eat everything. Rule No. 2 – Focus on the major food groups - sometimes the dinner for one is just fine. Always look back to your application, what you and your customers want, rather than what some software engineer decides is best for you. Many boilers and controls don’t give you a choice over certain functions. Primary/ secondary piping is a common requirement of many boilers and their controls. If you don’t like that, is there a different boiler and a more basic control available that will do the job you want? If someone tries to force you to eat something you find unpleasant, you may want to try a different restaurant.
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25
Q Heating
Two 540 kW boilers provide heat at a New Brunswick seniors home.
Biomass gaining ground Large Atlantic Canada heating projects demonstrate savings By Bruce Nagy It is not that unusual these days for a building to be designed with more than one energy source for heating. Typically, heating fuel would have priority with the other as a
26
Plumbing & HVAC – January/February 2016
backup. Two recent projects in Atlantic Canada are demonstrating that biomass fuels are practical as the prime energy source. At the Jodin Seniors Home in Edmunston,
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New Brunswick, the controls for the biomass boiler are also the master controls for the building. It was done this way, instead of using a conventional building management system (BMS), because the building owner – the New Brunswick government – wanted to ensure that biomass would take priority as a heat source, with oil as backup. It’s one more signal that biomass systems are growing in acceptance along with other alternative HVAC approaches. “From the beginning of the project, the conversation never even went the other way,” reported Daron Thomas, regional consultant with boiler manufacturer Viessmann, Waterloo, Ont. “When the government said we should prioritize pellets, we didn’t want the BMS to prioritize oil. Given that we know more about biomass, I guess it makes sense that
our control system would take the lead. Our local contractors had never installed biomass boilers before. We took them to other sites to show them how it was done.” However, during certain times of the year under certain conditions it might make sense to start with oil, given that biomass has a 20-minute ramp-up and a load minimum of 100,000 Btu/h,” added Andreas Wintzer, Viessmann commercial and biomass system manager. “We know what we can and cannot do with biomass.”
How it works Two 540-kilowatt pellet boilers were installed with two oil boilers as backup. The engineer calculated that on the coldest days the biomass plus half the capacity of one oil boiler might be needed. The boilers heat water in large buffer tanks for a radiant
floor system and for domestic hot water. Air handlers take care of ventilation. A six-ton pellet silo and extraction system employs a complex set of electronic sensors, motors, augers and mechanical devices to move the pellets into the boilers. Efficiencies exceed 90 percent and NOx emissions are low as the boilers achieve optimized combustion through secondary air mixing and rotating combustion chambers.
Pellet supply critical One of the critical elements with biomass heating is a reliable fuel supply. In Ontario, for example, where there are only a few wood pellet mills, you would have to clearly establish a pellet source before proposing biomass heat. In Atlantic Canada there are five companies Please see ‘Reliable’ on page 29
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Q Heating
Reliable fuel supply key Continued from page 29
The biomass boiler control serves as the master control for the building.
producing a lot more pellets than are needed for the local market; most of their production is exported to Europe, the U.S. and elsewhere. The Jodin Nursing home has a long-term deal with a pellet mill owned by the Savoy Group. It’s less than an hour away by truck. The New Brunswick government is trying to strengthen the domestic biomass market while controlling fuel costs and emissions. Biomass plants create direct local jobs and the industry is heavily dependent on the lowmargin exports. The government has been choosing biomass rather than oil for seniors homes, schools, hospitals, and wherever else it has influence. Biomass has also seen less price volatility than oil over time. “Although the cost of crude has dropped, heating oil is still around a dollar per litre. By my calculations, the Jodin project is saving
more than $100,000 each year using pellets instead of oil,” reported Thomas. Viessmann has installed more than 80 institutional biomass systems in Canada over the past few years. “They are all working efficiently because we partner closely with local installers,” says Wintzer. “Most systems are essentially customdesigned based on the building engineer’s layout, so we help with shipping arrangements, unloading, and consulting while augers, sensors and piping are installed, and wiring to the control panel is completed. We’re onsite for inspection and start-up. We spend a day there training mechanics, operators and supervisors.”
Large industrial systems KMW Energy Inc. of London, Ont. has been building and installing large biomass systems since 1987. One recent project was a combined heat and power (CHP) system at the Hefler Forest Products Ltd. sawmill in Middle Sackville, N.S. under the Nova Scotia Community Feed-in Tariff (COMFIT) program. It generates 3.1 megawatts of electricity for the province’s power grid, plus provides up to 20 million Btu/h of steam heat for the mill itself. The wood fuel for the system is, of course, a by-product of the sawmill’s operations. Previously, this plant used oil to heat the kilns it uses for drying lumber. With the biomass upgrade, they eliminated the cost of the fuel oil and increased revenues through the sale of electricity to the government under a 20-year contract. Nova Scotia, like many provinces and states, is also promoting the use of biomass for power generation, mining and industrial operations, institutions like universities and hospitals, greenhouses, and waste-to-energy plants. “In the next few years we are going to see a
Heat is stored in buffer tanks Please see ‘Heat’ on page 31
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January/February 2016 – Plumbing & HVAC
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Q Heating
The boiler plant at Hefler Forest Products.
Heat and power generation Special steam condenser
Continued from page 29
Dealing with ash is a critical part of any biomass system.
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lot more focus from municipalities on landfill solutions,” says Tom Butler, KMW project engineer. “We’re seeing biomass replacing coal power and soon there will be a shift to more operations that burn landfill waste to create electricity.” Instead of paying to deal with landfill, municipalities will be creating valuable energy from it. “It came more slowly here because there are increased environmental requirements for these plants. But now the economics are beginning to make sense as added income outweighs added processing costs. We’re about 50 years behind Europe on this one,” added Butler. There are more than 450 waste-to-power plants currently operating in Europe.
Instead of using a cooling tower, circulating pumps and a surface condenser, the new system at the sawmill incorporates an innovative non-conventional Alfa Laval direct steam condenser on the back end of the turbine. This is just one way it achieves incredible efficiencies and almost no emissions. It’s a controlled gasification combustion system in which fuel enters at 45-50 percent moisture. Most of this moisture is driven off during combustion as the wood is gasified and exposed to a limited volume of high temperature oxygen, reported Butler. It breaks down and becomes a cleanly combustible high temperature flue gas, made Please see ‘Different’ on page 32
January/February 2016 – Plumbing & HVAC
31
Q Heating
The New Brunswick government is trying to strengthen the domestic biomass market while controlling fuel costs and emissions.
An operator at the Hefler sawmill keeps track of the biomass system in the control room.
Different regions have different rules Continued from page 31
up of methane and carbon monoxide. The gas enters the steam boiler, which recovers heat from combustion; and because the oxygen content is monitored and controlled, close to 100 percent combustion is achieved. The system monitors opacity (smoke density) in real time for particulate emission control. “A device ensures that smoke is not coming out of the stack; just water vapor and CO2,” said Butler. This is important in Ontario, Quebec and British Columbia, where new particulate regulations have recently been enacted. “There are other things you have to treat for in some regions,” he added. “It depends
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Plumbing & HVAC – January/February 2016
on fuel, system size, and location. Some cities now have their own air standards. But compliance is worthwhile now.” KMW has installed 130 systems in North America and 3,500 around the world. Emissions are now water vapor. Oil cost is now power revenue. Coal power is turning into local pellet manufacturing jobs. Biomass controls now tell the BMS what to do. Change is in the air.
Bruce Nagy is a Toronto-based freelance writer that reports on green technologies and solutions. He can be reached at bruce.nagy@rogers.com.
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Residential garage heater
Concentric vented tankless The Simplicity Series of concentric venting, non-condensing tankless water heaters from A.O. Smith are designed to make installations simple and flexible through a new gas convertible combustion system. The concentric vent design allows for simpler and more flexible installations with commercially available venting. Available in 140,000, 190,000 and 199,000 Btu/h versions, these units are designed to easily convert from natural gas to propane, with all necessary components in the box. A.O. Smith www.hotwater.com
The Series UAG garage heater from Superior Radiant is designed and CSA approved for residential use. It offers design flexibility with options for larger garages. Straight run, 90° or 180° options are available with common venting for two heaters if required. Venting is easy and can be up to 30 feet long. Energy savings result from 65 percent radiant factor. Available configurations include 10 ft./40,000 Btu/h; 15’/60,000 Btu/h, 20’ and 30’, NG or LPG. Superior Radiant www.superiorradiant.com
Residential/commercial heat pump The new Airstage J-II single-phase VRF heat-pump from Fujitsu serves ambient heating and cooling applications in the three to five-ton size range, making it ideal for large residential and small commercial installations. It offers up to 19.8 SEER and 11.4 HSPF. Installers can connect up to nine indoor units to each condensing unit and choose from 11 indoor unit styles to create individually zoned comfort. There are more than 11 types of indoor units, ranging in size from 7 kBTU to 60 kBTU. Fujitsu www.airstagevrf.com
Hydronic combi boiler Infinity control for geothermal Carrier geothermal equipment is now compatible with the company’s smart thermostat, the Infinity control. This can reduce heating and cooling costs by up to 70 percent, with the convenience of being controlled from anywhere with an Internet-connected device, reports the manufacturer. Infinity controls provide the company’s Ideal Humidity System technology for optimum comfort, no matter the outdoor conditions, as well as personalized comfort with up to eight zones. Carrier www.carrier.com
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The CB series of high efficiency condensing combination boilers from Noritz are designed to deliver hot water to both plumbing and hydronic heating applications, including those in colder climates. Rated at 95 percent AFUE, these units meet Energy Star Most Efficient standards. Two models are available; the CB180DV is rated at 180,000 Btu/h for hot water and 100,000 Btu/h for space heating. The CB199DV is rated at 199,000 Btu/h for hot water and 120,000 Btu/h for space heating. They deliver up to 9.2 GPM of hot water. Noritz www.noritz.com
Navien upgrades combi boiler Navien’s next generation combi-boiler, the NCB-E is designed to provide whole house heating while also providing the domestic hot water output of a stand-alone tankless water heater. Upgrades include a Grundfos pump, an integral air vent, a PRV top connection, a quieter fan and a new front cover bevel design. Navien www.wholehousecombi.com
January/February 2016 – Plumbing & HVAC
33
LUXURIOUS WARMTH
Q Heating
Making sense of
TODAY’S
HVAC WARRANTIES Nobody said it was going to be easy
By Bob Bettles and Brian Guttormson
T Understanding and explaining today’s equipment warranties to the homeowner can be a challenge.
oday’s warranties on HVAC equipment can be confusing and understanding them is becoming difficult. With the dawn of the New Year warranties now have a tracking cost to everyone, so we thought we should review the basics. From days not so long ago, the standard warranty was an easy read. A simple five-year program covered the homeowner for his/her parts and a simple primary and secondary heat exchanger warranty had an extended length up to ten years. In some cases, the original purchaser of top-line product groups received a non-transferable lifetime warranty on the replacement heat exchangers. Manufacturers loosely followed their warranty claim numbers and failure rates from a half percent to a two percent were, in
Please see ‘Wholesalers’ on page 36
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January/February 2016 – Plumbing & HVAC
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Q Heating
Wholesalers face dilemma Continued from page 35
most cases, of no alarm. They were just considered operating costs. Parts that were replaced under warranty where inspected and deemed good or bad and then discarded. Some parts were improved along the way if flaws were found, but most products had a five-year run and then, at its life end, new developments were incorporated and the next five-year product plan began.
A high tech process The development and engineering of today’s products is increasingly a more high tech process. Years of product development and lab testing
along with field testing assure more solid products. Equipment manufacturers have imposed more demands on their parts suppliers – they now work closer with the manufacturer in development – and this This date code is at the end of the too has helped extend the OEM number. warranty period. However, increasingly marketing departments are also driving warranties. They create new plans and try to rush them to market to out-do the company’s competitors. After all of the norms have been brought forward such as efficiencies, features, comfort and ease of installation, warranties are front and center as a sales feature now and often become a deciding factor for the purchaser.
Keeping track of parts With a new line of equipment, the wholesalers find themselves in a dilemma. What parts do they stock, how many, and in what locations? At this point there is a major cost to purchase parts to cover possible future failures. But there hasn’t been field experience with the equipment to determine which parts are likely to fail. As you can see, the costs of a newly introduced product are starting to gain momentum and are passed along to the wholesaler to pay out in inventory. Budgets are much harder to manage. Remember The date of there is still existing legacy product in manufacture is always their stock for many months and in some on the equipment platforms that can go as long as a year. somewhere. There are management costs to maintain the existing parts inventory for warranty and then a new inventory for the new product. This inventory requires constant tracking to develop a better picture Please see ‘Who’ on page 39
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Plumbing & HVAC – January/February 2016
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Q Heating
Warranty administration is “the elephant in the room”.
Who pays for warranty administration? Continued from page 36
of what might go wrong so a more sensible parts inventory can be established. The new parts typically have a higher cost – much higher today given the state of the Canadian dollar.
Significant business Warranty is a big part of business for everyone now. Manufactures want information to maintain failure rates below two percent. Controlling parts failure and its costs is critical to maintaining year-end profits. Today
If only the marketing people could be with us in the field to see when the homeowner finds out that the ten-year warranty on parts they thought they had is not in play… the installing contractor or homeowner is required to register the models and serial numbers of the newly installed products onto a website. If the requested info is provided, the manufacturer will, in some cases, extend the warranty from the industry standard of five-
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year parts to a ten-year parts replacement program. Failure to provide or register the product and its serial number to the site along with name and address of the equipment owner, the extended warranty will revert to five-year part coverage, thus saving the manufacturer the cost of carrying the now lost five-year extension. A very slippery slope isn’t it? If only the marketing people could be with us in the field to see when the homeowner finds out that the ten-year warranty on parts they thought they had is not in play due to the registration having not been completed. Sometimes there was too much trust in the installing contractor to have taken care of things, lost warranty cards, or whatever. New warranty clauses developed by marketing groups as a ploy to gain product market share can work against the manufacturers and their brand name when the customer considers a future replacement. (And it can come back to bite the contractor too – Ed.) .
The elephant in the room Warranty administration is “the elephant in the room”. It is the non-profit division of Please see ‘Upgrades’ on page 40
January/February 2016 – Plumbing & HVAC
39
Q Heating
Upgrades cause confusion Continued from page 39
the system. We as wholesale vendors find ourselves between the manufacturer and the installing contractor. We try to maintain an inventory of replacement parts for the life of the warranty. We do have a listing of parts used in every product line, but we do not get a list of parts that are expected to fail! All equipment is “improved” after the product release. This improvement may be a gas valve, blower motor or even a control board. In some cases, this “improvement” may not be reverse compatible; as such we are now expected to maintain both parts over the warranty period. These “improvements” may result in a change in the model nomenclature; usually the last or second last numbers. If you as the
It is imperative that you the installer stress upon your customer to complete the registration process. service tech will only provide the first few digits of the model number, who knows what you will receive! Some changes may show up in the parts list as one number prior to a specific date and a different number for after the posted date. Some manufactures have tightened up even more by not allowing the same part to be claimed more than once within a 30 or 90day period. Wholesalers monitor the serial numbers of the units they sell, with most adding a handling fee to cover costs incurred to maintain warranty responsibilities on equipment they didn’t sell.
40
Plumbing & HVAC – January/February 2016
Online warranty systems have resulted in better quality parts because, when a claim is entered, that information is immediately available to the manufacturer. This allows them to track problems accurately and make any necessary upgrades. Keep in mind these newer and higher quality parts have a much taller dollar cost. This is also driving higher warranty costs. It is imperative that you the installer stress upon your customer to complete the registration process. Registering the equipment for the homeowner without their knowledge could backfire. The extended warranty has requirements for regular maintenance over the term of the coverage that the customer needs to know about. The registration is a binding contract between the company and your customer. If they have not had the maintenance done and there is a failure, you could be on the hook for the repairs! Bob Bettles HVAC author and trainer Robert (Bob) Bettles is technical service adviser and product trainer for B&B Trade Distribution Centre. He can be reached at bbettles@bandbtrade.com. Brian Guttormson HVAC author and trainer Brian Guttormson is technical service advisor for Trent Metals Ltd. (Supply). He can be reached at techsupport@tmlsupply.com.
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Q Refrigeration
Commissioning refrigeration systems
Today’s practices go far beyond start-up By Greg Scrivener
Commissioning – the word has taken on a new life over the last number of years. If you have some spare time and some experience, you can now become a “Commissioning Pro cess Management Professional”, “Commissioning Process Certified”, or a “Certified Commissioning Professional” just to name a few certifications out there. You can perform ‘regular’ commissioning, retro-commissioning, re-commissioning, continuous commissioning, commissioning studies, or
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Plumbing & HVAC – January/February 2016
any conceivable combination of these activities. What does this all mean? The first order of business is to deal with the word ‘commissioning’ itself and the way it’s used because this can create some confusion right off the bat. The challenge is that commissioning has taken on a meaning that is significantly different than ‘start-up’, yet the two terms often continue to be used interchangeably. As an example, a project I was recently
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and equipment into operation. The commissioning process certainly has a lot to do with how the system is started-up but it isn’t the actual start-up. This article will provide a brief description of commissioning in general and introduce you to some of the lingo if you aren’t familiar. In the next issue, we will follow up with specific information for commissioning refrigeration plants.
Start early
Two specification examples – one uses commissioning and the other uses start-up. involved used the heading “commissioning” in the mechanical spec and “start-up” in the refrigeration spec. In both cases they were referring to what would be considered “start-up”. Here’s how I would define the two words:
Commissioning: A process or approach
e mp l oye d t h rou g h out t h e d e s i g n , construction, start-up and operation of a system that provides quality control to the final complete and operating system. Start-up: The process of bringing components
The commissioning process should start before the design starts. On most projects, design engineers will create what’s called Owner Project Requirements (OPR) in order to put the owner or final user’s requirements in writing so that they can form their Basis of Design (BoD). This is the first real opportunity for a project to fall off the rails and it’s where many of them do. The OPR is a very important document Please see ‘Access’ on page 45
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January/February 2016 – Plumbing & HVAC
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Q Refrigeration
Access for testing critical
This industrial system valve station is similar to one found operating for 30 years with improperly connected solenoids that had caused many undiagnosed operational problems, increased energy use and safety concerns. This could have been discovered with commissioning and functional performance testing.
Continued from page 43
that should encapsulate the owner’s requirements but, instead, often includes only the design team’s interpretation of them‌ subtle differences perhaps, but these two things can be very different. The first phase of a commissioning project is to make an effort to ensure that the OPR accurately reflects the owner’s needs. In fact, successful commissioning depends on having a detailed and clear OPR.
Develop a plan After the OPR is created, the commissioning team creates the commissioning plan. This is a living plan that implements specific documentation, review and testing requirements designed to ensure that the design and construction actually provide an operating system that meets the OPR. So while the design team is designing the system the commissioning team is reviewing the specs and design documents – not for engineering accuracy, but to ensure that the design is meeting the OPR. The commissioning team is also determining what documents are going to be required during construction in order to ensure the proper equipment is installed, what testing needs to be done to ensure the system is being installed correctly, what testing needs
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to be done to ensure the system is operating as designed, etc. Obviously, these requirements change throughout the project, depending on the design and system type, but by defining what needs to be done early in the project many issues are dealt with before they cause conflict and cost money. (This is kind of like saying the same thing twice – there’s usually no conflict in construction unless money’s involved). By developing the testing plan early we can make sure that the correct sensors and accesses are in place in order to facilitate that testing. For example, it may not seem like a big deal, but the efficiency of refrigeration systems depend greatly on suction line pressure drop yet, when it comes time for testing or when problems arise, there is often no way of even measuring it. If suction line pressure drop was identified early on as a significant issue then the commissioning team could recommend changes to the piping design to accommodate the necessary sensors. These changes rarely have a significant cost if they are done at the beginning of a project, but get increasingly more expensive as the project moves on to the point that they are rarely done if problems are discovered after a system is operating. The following items are typical of the design phase of the commissioning process: t %FWFMPQ $PNNJTTJPOJOH QMBO t 3FWJFX 013 t 3FWJFX PG EFTJHO FRVJQNFOU TFMFDUJPO drawings, specifications and performance goals t 3FWJFX PG QFSGPSNBODF HPBMT t 3FWJFX PG TFRVFODF PG PQFSBUJPOT t *EFOUJGJDBUJPO PG UFDIOJDBM QSPDFEVSFT required for commissioning
Quality control During the construction phase of a project the commissioning team acts as a quality control, facilitating communication, maintaining an issue log to make sure problems are not slowly Please see ‘Feedback’ on page 47
January/February 2016 – Plumbing & HVAC
45
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Q Refrigeration
Feedback for the owner report. For large corporate owners and design engineers, this is a huge deal. Many engineers forgotten about, reviewing change orders and never really get to know if their systems work shop drawings and completing site visits and the way they intend and many large owners inspections. construct multiple facilities and appreciate The start-up phase is where the bulk of the input into future construction. the commissioning site work is completed, As you can see, the commissioning process which obviously doesn’t help when we try to is intensive but it can be scaled to a level explain that commissioning is not the same appropriate with the project. It is a lot of work as start-up. Here the commissioning team but it absolutely results in better systems. observes the testing and start-up, works Providing, of course, that the commissioning with the engineers and contractors if any team knows what they are doing. And, therein corrective actions are necessary lies the biggest challenge and continues maintaining the with commissioning. The issues log. lead team members need Functional performance to be experts – experts on testing, the cornerstone of the the commissioning process, commissioning process, is experts on the design of completed after all the systems systems, experts on testing are running. This is the ultimate requirements and experts set of tests – does the system on the operation and do what the owner required? function. They’re often not. Does the system do what it was So while the quality control designed to do? Functional aspect remains, many of the performance testing is what benefits are sacrificed. most people actually think of The ASHRAE Refrigeration This problem plagues when they think commissioning Commissioning Guide all of the commissioning b u t a t r u e f u n c t i o n a l provides a good overview industr y but is quite performance test can’t be done of today’s commissioning pron ou n c e d i n are a s unless the design performance practices. of sp e c i a l i z at i on l i ke and owner requirements are refrigeration. That said, documented properly. there are also many great commissioning The testing and monitoring should last at companies and agents out there that can be least a year on systems that are dependent on found with a little research. There are many outdoor ambient conditions to ensure that the ASHRAE related resources out there if you system functions correctly in all conditions. want to dig deeper into the process itself. Finally, an energy base line, including all initial set points and parameters, is developed and Greg Scrivener documented. This makes re-commissioning the is a refrigeration system easier and more effective in the future. consultant for Cold Continued from page 45
This is the first real opportunity for a project to fall off the rails and it’s where many of them do.
Reporting results The last step in the commissioning process is a feedback report to the owner and design team. Information about what worked well and what didn’t, including recommendations, should be provided in a comprehensive
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Dynamics in Edmonton. He is a professional engineer, journeyman refrigeration mechanic and holds RSES CMS designation in commercial refrigeration. He can be reached at greg.scrivener@colddynamics.com
January/February 2016 – Plumbing & HVAC
47
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Q Today’s Contractor
Zoning and simplified wiring in Olschewski’s design impressed the judges.
Award winning
design
A Manitoba plumber and hydronic heating system designer is going to Italy after his installation won a North America-wide contest. Bill Olschewski of Tip Top Plumbing & Heating, Winkler, Man. and a guest have won a trip to Caleffi World Headquarters. He won the 2015 Caleffi Excellence contest with a combination heating/cooling and domestic hot water system for a large home. His design goal was to produce a highly energy efficient system with the workmanship and appropriate componentry to deliver a long service life.
zone relay and pump relay controls were used because they can communicate as one control and make for simpler programming and wiring.
Coffee with Caleffi
A multi-zone system In his own words: “We created five zones and zoned using variable speed circulators. On these zones, we used Caleffi threeway thermostatic mixing valves to provide consistent temperature to the emitters. On one of the zones, we further divided it into five subzones using zone valves. The Caleffi
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“We also made two high temperature zones using fixed speed circulators and controlled by another Caleffi relay. On top of the two Triangle Tube Smart indirect hot water heaters are Caleffi air vents, which we have had good luck with. “In addition to incorporating a coalescing air separator, we used a Caleffi dirt separator with the magnetic feature. There are several iron and steel components used in the system and the magnetic elimination of particles gave that extra measure of protection of the other components. Another Caleffi component used was the Autofill valve, which makes filling pretty easy. The project went pretty smoothly.” And so far the system has been working as designed and the customer is happy, he reported.
Bill Olschewski, right, with Ryan Bristow of Equipco Ltd.
The top twelve monthly finalists were determined by most votes received from the Coffee with Caleffi webinar series. A panel of industry experts and Caleffi executives judged those entries and picked the grandprize winner. The Caleffi Excellence contest for 2016 began in January. Visit us.caleffiexcellence. com for details.
January/February 2016 – Plumbing & HVAC
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Q Tools & Instruments
Inexpensive inspection camera
Nitrogen purge kit The Turbotorch nitrogen purge kit is designed to improve brazing results on copper by preventing oxidation and the resulting system contamination. The kit includes all the necessary tools for purging: a nitrogen purge regulator, flow meter, 1/2” and 3/4” cone
plugs and 36” and 72” standard 1/4” hoses. The kit also includes tools to flush lines and blow components clean, including a blowgun, “Turbo Tornado” flushing attachment and needle tip. Turbotorch www. victortechnologies.com/ turbotorch
An inspection camera used to be an expensive piece of equipment. Prices have come down dramatically in recent years to the point where no technician should be without one. A case in point is the new Stanley inspection camera that retails at about $150. Battery powered, it allows the plumber or HVAC mechanic to see behind walls, inside equipment, etc. The high resolution viewing screen features eight brightness settings and rotates for the best viewing angle. Stanley www.stanleytools.ca
Hazardous location cooling An explosion proof portable air chiller from Larson Electronics combines a fan and dry mist technology to cool Class 1, Division 1 work areas that do not have access to traditional air conditioning. A 34-gallon water tank and two separate water filters cool the work environment 20-30F degrees for up to eight hours. It shuts off automatically when the reservoir is empty to protect the pumps. It rolls on six-inch wheels and is powered by a 20’ cord terminated in an explosion proof plug. Larson Electronics www.larsonelectronics.com
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Milwaukee expands snip line Emergency plug system Stopcon Technologies in Calgary has developed an emergency plug system that enables a plumber to stop the flow of liquids or gases thru broken piping or open drains. This self-contained, light weight system uses small compressed CO2 cartridges to quickly stop water flow by expanding a plug into position in under five seconds, stopping the flow so repairs can be made. Stopcon Technologies www.stopcontechnologies.com
Milwaukee Tool has introduced six new tin snips including a compound offset snip, a three-inch speed seamer and a five-blade HVAC crimper for ductwork. The seamer includes 3/8” and 1” markings on the head to quickly measure the most common folds in HVAC ductwork. The 5-Blade HVAC Crimper features reinforced crimper ribs, which provide greater blade stability, producing longer tool life. Milwaukee Tool www. milwaukeetool.com.
January/February 2016 – Plumbing & HVAC
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Q Training
A worker installs welding fume extraction equipment in the pipe trades lab.
Major expansion for Alberta pipe trades training By Simon Blake
52
The Alberta economy may be slowing down due to low oil prices, but one would never know it at the Northern Alberta Institute of Technology (NAIT) in Edmonton. Or perhaps because it is slowing down more people have time for trade training. “People want to go to school when things slow down a bit,” remarked David Hughes, NAIT, associate chair (special projects), Pipe Trades. Whatever the reason, eight new classrooms and a new pipe fitting lab at the Patricia Campus in Edmonton’s west end will allow the trade college to increase each intake by 100 apprentices. It can now train about
Plumbing & HVAC – January/February 2016
The increased capacity was much needed, reported David Hughes.
2,200 pipe trades apprentices per year with 58 instructors. The trades taught include plumber, pipe fitter, gas fitter and there is also a special program for utility workers. As a result of building the new classrooms, two shops/labs that were previously pressed into service as classrooms can now be used for their intended purpose – hands-on training.
Moveable walls The new classrooms were completed in August. Some of them have moveable walls. As a result, two sets of three classrooms can be opened up into two large classrooms for 72 apprentices each; the wall between www.plumbingandhvac.ca
another two classrooms can be retracted to accommodate 48 students. The 2,600 sq. ft. pipe trades lab was still under construction during P&HVAC’s visit last fall during the CIPH Edmonton Roadshow and was scheduled to be operational in November.
People want to go to school when things slow down a bit. Recent and ongoing renovations also include re-piping the hydronic heating lab and re-doing the water treatment lab. Water treatment is becoming an increasingly important part of the plumbing trade, noted Hughes. Flow meters have been installed
The water treatment lab was upgraded as the sector becomes an increasingly important part of the plumbing trade. throughout the plumbing lab so that apprentices can see the effect of different faucets, flush valves, etc. on water use.
The expansion also includes five new classrooms for the electrical trade. For more information, visit www.nait.ca.
The Original – Still the quietest and the most efďŹ cient Jet Towel high speed hand dryer, invented by Mitsubishi Electric in 1993, is the obvious choice for business owners, property managers and end-users. The latest 8th generation features industry-lowest operating sound at 58 dB(A), lowered power consumption at 570W, and fast hand-drying time of 9 - 11 seconds. Available in standard and mini-type, Jet Towel exhibits No waste paper
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January/February 2016 – Plumbing & HVAC
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Q People & Places
Holding down the fort in Brandon are from left: Tony Roy, Vic Timlick, Chris Church, Gil Arpin, Dwayne Gaucher, Jocelyn Gaucher, Ray Dennis, Jim Denton and Justin Jankiewicz (not pictured).
Wolseley upgrades branches in Ontario and Manitoba Wholesaler Wolseley Canada, Burlington, Ont., continues to upgrade, expand and open new branches. The company recently upgraded its HVAC/R branch in Brantford, Ont. and its plumbing branch in Brandon,
Wolseley’s plumbing and HVAC/R team in Brantford are, from left: Randy Dejaegher, Helen Boglis, Steve Osment, Cindy Aldgate and Randy Kerckaert.
54
Man. to carry the company’s full line of plumbing and HVAC/R products, reported Akbar Makalai, vice-president, plumbing and HVAC/R. “In the past year, we have upgraded seven of our branches to carry plumbing and HVAC/R products and the response from our customers and vendor partners has been tremendous. We think our customers in Brantford and Brandon will be equally impressed,” said Makalai. Steve Osment continues as branch manager for the Brantford branch at 349 Henry St. Tony Roy continues as branch manager at the Brandon branch at 2313 Park Ave. Since December 2014, Wolseley has renovated existing branches and opened new locations in Montreal, Dartmouth and Halifax, N.S., Burlington, Markham, Hamilton and St. Catharines, Ont., Kerrobert, Sask., and Drumheller and Hinton, Alta.
Plumbing & HVAC – January/February 2016
The
People Eric Findlay is now president and Danny Miller is now vice president, purchasing at Andrew Sheret, Victoria, B.C. Darryl Wright and Scott Starkey are both now vice presidents, operations at Andrew Sheret, Nanaimo, B.C. David Weinstein has been appointed president and CEO for CSA Canada, Toronto. Fresh-Aire UV, Jupitor, Florida, has named Aaron Engel as vice president of business d e v e l o p m e nt . He will work closely with Air Force 1 Sales & Marketing of Toronto Aaron Engel to build the company’s Canadian market share. Cliff Sargeant and Vivian McKoy have announced their retirement from NCI Marketing, Aurora, Ont.
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Novanni Stainless Inc., has named Andrew Clark as vice president of sales. Rolf Fischer has been appointed regional manager - Eastern Canada for Aquatherm, Aurora, Ont. Zurn Industries, Mississauga, Ont., has named Len Hardy as area manager, Eastern Canada. Sean Kelly is now region manager Midwest Region for Emco Corp., London, Ont., in addition to his current role of vice president, procurement. Doug Ceretti has retired from Emco. InSinkErator, Markham, Ont., has named Kevin VanderWerf national channel marketing manager. Crane Supply, Vaughan, Ont., has announced a number of appointments: J e n n i f e r Z w i c k e r is now branch supervisor, Bridgewater, N.S; Jean-Pierre Chassé is now assistant manager, SeptÎles, Que.; Martin Hudon is district sales manager, Lasalle, Que; Christopher
Bristow is now branch supervisor, Red Deer, Alta.; Nathan Basey is district sales manager, Regina, Sask.; Jeff Atkins is branch manager, London, Ont.; Stefan Grimaldi is now district sales manager, Vaughan, Ont.; and John Winder is now sales rep, Surrey, B.C.
The
Companies Boone Plumbing & Heating Supply, Ottawa, has been recognized as one of Aon Hewitt’s 2016 Best Small & Medium Employers in Canada. The award recognizes employers that have created a great work environment. Boone Plumbing and Heating is a division of Groupe Deschênes Inc., Montreal. Dobbin Sales, Toronto, is now the master distributor for Eemax electric tankless water
heaters in Canada. Unico Inc., St. Louis, Missouri, has appointed Mits Air Conditioning Inc., Mississauga, Ont. as a distributor. J.F. Taylor Enterprises Ltd., Moncton, N.B., is now representing SJE-Rhombus, a manufacturer of pump controls, in Atlantic Canada. Can-Aqua International, Laval, Que., has been named manufacturer’s agent in Quebec for Flexcon Industries, Smith Environmental and Ventrite. The Electrical College of Canada, Vaughan, Ont. has changed its name to Skilled Trades College and has launched its first plumbing course. In addition to Vaughan, the college has a campus in Mississauga, Ont. and expects to open a campus in Oshawa, Ont. this year. IAPMO EGS (Electrical, Gas and Solar), Ontario, Calif., has received accreditation as a certification body by the Standards Council of Canada for electrical products.
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January/February 2016 – Plumbing & HVAC
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Q Coming Events
Shows provide an opportunity to speak directly with manufacturers. Ridgid’s Phil Tremblay, right, makes pipe threading sound like fun at CMPX 2014.
Legionella expert to speak at CMPX Canada’s largest show for the mechanical industry returns in March
56
An internationally recognized expert on Legionella prevention and control will speak at CMPX 2016, Canada’s largest trade show for the mechanical industry, which takes place at the Metro Toronto Convention Centre, North Building, March 16-18. The ASHRAE session, by Tim Keane, who has investigated numerous Legionnaires’ disease outbreaks in North America, is drawing considerable interest from contractors, health care and government officials, reported show manager Patrick Shield. Sponsored by Viega, Keane is a Legionella control, remediation and risk management
Plumbing & HVAC – January/February 2016
engineer and principal at Legionella Risk Management Inc. in Philadelphia. He is a member of the ASHRAE 188 committee, which last June announced the creation of the ANSI/ASHRAE Standard 188-2015, Legionellosis: Risk Management for Building Water Systems. He has also written numerous papers and presented at many scientific and industry meetings on the issue. He has provided training to engineers, plumbing designers and building operators for over a decade on best practices for controlling Legionella in building water systems. His session will take place on Wednesday,
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March 16, from 8:30 a.m. to 12 p.m. More information and registration is available at www.cmpxshow.com.
Hydronic cooling Organizers have also announced a special session for Thursday. Mechanical engineer Fred Bauman, a project scientist at the Center for the Built Environment at the University of California (Berkeley), will give a presentation titled Comfort and Efficiency of Radiant Heat/Cool Systems and Thermally Activated Building Systems (TABS) from 8:30 a.m. until 12 noon. He is an expert on hydronic cooling, under floor air distribution, displacement ventilation, building energy use, etc. He is also the author of ASHRAE’s Under Floor Air Distribution Design Guide. There are numerous other educational opportunities at the CMPX Learning Forum, which goes on throughout the show. And every morning, there will be a keynote session before the show opens. Bill MacGowan of Cisco Systems will talk about the Internet of Things (IoT) – the Opportunities and Impact of Connected HVACR Equipment and Devices on Wednesday morning.
Exhibitors come from every sector of the industry… As reported previously, hydronics author, engineer and trainer John Siegenthaler will present Thursday’s keynote session on Low Ambient Air to Water Heat Pumps – an Emerging Renewal Energy Heat Source. On Friday morning Emerson Climate Technologies’ Rajan Rajendran will cover “What you Need to Know about Changing Refrigerants and Refrigerant Regulations.” Keynote sessions start at 8:30 a.m., include a continental breakfast and require preregistration. Visit the show website for more information.
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to check with their local distributor for participation and details. There will be ample free parking at several Harbourfront Centre locations with shuttles to the show.
CMPX 2016
Metro Toronto Convention Centre, North Building 255 Front Street W., Toronto, Ont.
Beware of hotel “scams”
When:
Show organizers have arranged special hotel rates. Go to www.cmpxshow.ca for details. Organizers are advising visitors to deal directly with the hotel to get the best rate. “Please deal directly with your hotel of choice and beware of telephone or internet “scams” as the Show Committee has not appointed any official housing organizations and all the hotel properties deal directly,” said organizers in a press release. The Heating Refrigeration and Air Conditioning Institute of Canada (HRAI) and the Canadian Institute of Plumbing & Heating (CIPH) jointly present the show, which began in 1972. For more information or to register, visit www.cmpxshow.ca.
Tuesday, March 16 9 a.m. to 6 p.m. Wednesday, March 17 9 a.m. to 7 p.m. Thursday, March 18 8 a.m. to 3 p.m.
More information: www.cmpxshow.com E-mail: cmpx@salshow.com Telephone: 416-444-5225
Over 500 exhibitors CMPX is Canada’s largest plumbing and HVAC/R industry show, with over 500 exhibitors displaying and demonstrating their products in 200,000 sq. ft. of exhibit space. Exhibitors come from every sector of the industry including air-conditioning, heating (forced-air, hydronics, heat pumps, biomass, etc.), plumbing, industrial, waterworks, water quality, piping, refrigeration, controls, software, ventilation, tools, test instruments, and vehicles. “CMPX continues to be the biggest HVACR and Plumbing Show in Canada and it has achieved an unmatched track record over the past 40 years,” remarked show chairman Gerry Cellucci of Yorkland Controls. One lucky visitor will go home with this year’s door prize – a Chevrolet City Express compact cargo van with a full interior package by Farmbro Inc. Another new feature this year is the CMPX Contractors Club in which contractors can sign up to receive special offers, new product notifications and various other things. A number of industry wholesalers will provide bus transportation to the show for their customers. Contractors are advised
Events
Calendar MAY 18-19: MEET Show 2016 (Mechanical Electrical Electronic Technology), Moncton Coliseum, Moncton, N.B. Visit www.meetshow.ca or call (506) 658-0018 or toll free at 1-888-454-7469.
JUNE 7-9: Cleaner Heat 2016, Canadian Oilheat Association Annual Symposium, Delta Prince Edward Hotel, Charlottetown, P.E.I. Call 1-855-336-8943 or visit www.cleanerheat.ca.
JUNE 26-28: Canadian Institute of Plumbing and Heating Annual Business Conference, Fairmont Banff Springs Hotel, Banff, Alta. Call 1-800-639-2474 or visit www.ciph.com.
January/February 2016 – Plumbing & HVAC
57
Q Shop Management
a g n i t a e r C
In today’s world of marketing and business, people are looking for trusted advisors to turn to when they need a problem solved. The average time a person spends consuming content is roughly eight to ten hours a day. Answers to their questions and cheap entertainment are always just a few clicks away. Even with this much information and data available, most people still have a difficult time finding what they’re looking for. Every article on just about any topic will provide different answers, leaving most consumers confused about which source to believe. In short, consumers are bombarded with information and are constantly looking to find a definitive expert for the questions they need answers to. Whenever we’re speaking with a plumbing or HVAC business owner, we always emphasize the need to become that trusted advisor. One of the best ways to build that trust and communication is through e-newsletters. An e-newsletter or online newsletter is an information-filled email sent to subscribers who opted in for more information on a particular topic. For example, someone visits your website looking for more information on your services and sees that you’ve put together a 10-page
r e m o cus t sletter
n ew
Does it make sense for your business? By Ken McLauchlin
58
Plumbing & HVAC – January/February 2016
www.plumbingandhvac.ca
report that interests them. They submit their email to receive your report and newsletter so they can continue to be informed and educated on important news.
Will it be read? Do newsletters still have value? It seems like everyone’s inbox is filled with emails on every topic under the sun; why would they take the time to read yours? The answer really comes down to the quality of your content. What value does your newsletter provide?
Consumers are bombarded with information and are constantly looking to find a definitive expert for the questions they need answers to. One of the best ways to outline valuable topics and content is to review the most common questions you get from customers and potential customers. Each of these questions can lead to an opportunity to dive deeper into each of those topics in your newsletter. The different weather and seasons also bring a wide variety of topics you can write about. No matter what topic you choose to write about, the goal is always the same. Educate and inform your subscribers on the latest news and information they need to know about. One topic that seems to resonate with just about every consumer and potential customer is pricing. Many people want to know why quotes and estimates vary so much depending on which company they are talking to. Instead of leaving them in the dark, you can explain to them how in depth estimates and quotes can be. Many customers don’t understand that estimates differ depending on parts, service, experience and warranties. This is a great opportunity to explain this and become the trusted advisor they’re looking for.
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Promoting your brand In addition to bringing in quick sales, newsletters also have a great branding effect. Even if a customer isn’t looking for your products and services immediately, there will be a time when they are. Who do you think they’ll turn to when that time comes? In fact, we’ve seen many businesses write topics on emergency situations with the expectation that when a homeowner inevitably runs into a problem, they can expect a phone call. It may not be this week, or even next month, but with time and consistency it will come. With that said, whenever a potential customer is looking to make a larger, more long-term purchase, they’re going to research into the different options available and look to educate themselves on that topic. We’ve seen newsletters work incredibly well when it comes to products and services that are considered high ticket and more expensive.
Newsletters and the web Finally, you’ll want to tie your newsletters into your website. We’ve seen businesses write updates and content within the email itself, but I would advise against this. A much better idea is to create a blog section on your website where you can write in full depth on a topic and from there link to that blog post from the newsletter. This has a few major benefits:
INDEX to ADVERTISERS Bibby Ste Croix ..................................... 13 Bradford White ..................................... 12 Brant Radiant ........................................ 36 Caleffi..................................................... 6 CMPX 2016 .......................................... 37 Cash Acme ........................................... 19 CIPH Habitat Gala ................................ 60 Delta Faucet.......................................... 50 Fieldpiece................................................ 9 Flir .......................................................... 2 Gastite/Thermaflex ................................ 44 Gaz Metro ............................................ 8 General Pipe Cleaners ........................... 10 ICP Canada ........................................... 17 IPEX .................................................. 4, 55 Liberty Pumps ....................................... 63
First, it keeps the website updated and your content fresh which has great search engine optimization (SEO) benefits – it helps bring your website to the top when potential customers search online. Second, you’ll receive traffic and visitors to the post even if they haven’t subscribed to your newsletter. From there they will often subscribe to receive updates and newsletter emails, provided that the content is good. No matter what anyone tells you, newsletters are still very relevant in 2016. In fact, we see a much better response rate from them than any social media source including Twitter and Facebook. Take the time to answer common questions and keep your subscribers and customers updated, and if you haven’t started a newsletter I would suggest doing so. It will pay off in both the short term and long-term.
Ken McLauchlin is the founder and owner of HVAC Marketing in St. Catherines, Ont., an online marketing agency specializing in the HVAC and Plumbing industries. He has worked with many mechanical contractors and is also the author of the HVAC Online Marketing Handbook. He can be reached at Ken@HVACMarketing.ca.
Lochinvar .............................................. 46 Magic-Pak............................................. 27 Mitsubishi Electric ........................... 30, 53 Morris Lee............................................. 48 Napoleon .............................................. 28 Noritz ................................................... 24 NTI........................................................ 18 Redmond Williams * ............................. 38 Redmond Hearth* ................................ 34 Rhomar+ ................................................ 8 RIDGID.................................................. 64 Victaulic ................................................ 25 Viega .................................................... 41 Viessmann ............................................ 22 ZoellerPumps ........................................ 43 *Ontario only
+National excluding Quebec
January/February 2016 – Plumbing & HVAC
59
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Q Shop Management
THE ONE AND
TWO-MAN BUSINESS
Really small operations face unique challenges By Ron Coleman
There are a surprising number of small businesses in Canada, particularly within the trades. Setting up as an independent plumber, HVAC or electrical contractor is a very simple process for someone with trade qualifications. It’s easy to lease a truck. You probably have most of the tools and so away you go doing service and retrofit in residential or light commercial work. The freedom of being your own boss is intoxicating, but even the best of hangovers wear off and we have to realize that we are not plumbers, HVAC experts or electricians; we are business people and need to put that hat on from time to time.
Making money and having fun Running a small contracting business with one or two helpers and your spouse helping out with the paperwork is a very common scenario. There is nothing wrong with doing
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this, but most of us could do it a bit better. Here are some guidelines to help you make more money and have more fun: First of all, if you are going to stay as a “one or two-person” business you have really bought yourself a job, not a business. You can’t get fired; you are not answering to a boss who may treat you with little or no respect and you have a number of clients – and you can replace any you lose. Most contractors tell me the reason they started their business was because they were either unemployed or they did not like the working environment they were in. Very rarely will someone say I left a great job making good money to start on my own. They tend to be running away from being an employee and see their own business as the best way out. Many of them are right, but Please see ‘Key’ on page 62
January/February 2016 – Plumbing & HVAC
61
Q Shop Management
Key business requirements Continued from page 61
unfortunately many end up not being nearly as successful as they should be. In this two-part article we will cover off some ideas that can help the small contractor become more successful.
Self-discipline, common sense I believe the two most important traits for an independent business person is self-discipline and common sense. I recall someone saying to me about one of our local politicians that “he has lots of common sense; he must have because he hasn’t used any of it yet.” There are certain things that you have to do each day/ week/month/quarter and annually. If you do them as you go they won’t pile up and you will have a lot less stress and make more money. The following items are in no particular order but all need to be addressed, except for the fact that you should start off by getting a business licence. Bookkeeping: If your spouse is going to do the bookkeeping, make sure she understands what’s involved. If not, get a qualified bookkeeper to set up your systems and to do a monthly or quarterly review. Programs like Quick Books and Sage 50 are the two least expensive programs that would meet your needs. Keep your records up to date. CRM Program: There are a number of customer relationship management (CRM) programs on the market. Zoho and Insightly are two that work for small businesses. Use your search engine to see what program might work best for you. Don’t go fancy. Website: Today, a website is a must for any service business. In the September, 2015 issue of this magazine there was an excellent article titled ‘Digital Marketing’ by Ken McLauchlin. Ken has kindly offered a free evaluation of HVAC websites. Do get a copy of that article and follow Ken’s advice. His contact info is ken@hvacmarketing.ca Pricing work: Don’t try to be cheap. It won’t get you much work. It will get you the price conscious, high maintenance customers. Focus on providing value and charge for all the
62
services you provide. Don’ t forget to charge for using special equipment and for supplies. Develop checklists for getting more work from each customer and make it a goal to get virtually every customer on to an annual service plan. Take at least two hours every week to review every invoice and work order to ensure that you charge the full fee on each invoice and another two hours thinking about and implementing improvements you could make in the business (This is where the self-discipline really comes in, because without action there is no change). Ideally use quoted prices or flat rate pricing as much as possible; this reduces paperwork. Anything that you can do to reduce your time doing support work is good.
I believe the two most important traits for an independent business person is self-discipline and common sense.
Retaining customers Building a business is a little like filling a bathtub. It happens gradually, but it will take a lot longer if the stopper is leaking. There is no sense in bringing in five new customers if four of the old ones are leaving. Make sure you keep the leak plugged by ensuring your customers are delighted with your service. Sixty-nine percent of the time when customers change suppliers it is because of perceived indifference. Ask your new customers why they chose you over someone else and make sure that you are true to that reason. Often, when starting up our businesses, we just use our name and off we go. However, there are a few considerations. First of all we need to ensure that we can use the name we pick. Use your search engine to see if anyone else is using it. Go to your local chamber of
Plumbing & HVAC – January/February 2016
commerce; they will help you register your name. It is frustrating to find you have spent money on signage, business cards and a website only to be told that the name belongs to someone else. Starting off as a sole proprietor or as a partnership is often a good way to go initially. But as we progress we need to consider the advantages of forming a company. Whichever way you go, the biggest problem I see with many start ups is that they don’t put aside enough money to pay their commitments to PST/GST/HST/Worksafe premiums and the personal tax liability that comes at the end of the year for the owner. By not setting aside enough money for these expenses, most contractors dig themselves into a hole that takes several years to dig out of and end up paying significant amounts in penalties and interest because they often get audited. In part two of this article we will deal with the issues that you are likely to face with The Canada Revenue Agency and trust liabilities and explain how to deal with them in the most effective manner. Staying under the radar with CRA is critical and we will explore how that is best done. Ronald Coleman is a Vancouver-based accountant, management consultant, author and educator specializing in the construction industry. He can be reached by e-mail at ronald@ronaldcoleman.ca.
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CLEAR CLOGS WITH MORE POWER. THE RIDGID COMBINATION AUGER DRILLS THROUGH URINAL AND SHOWER DRAIN BLOCKAGES.
©2016, RIDGID, Inc. The Emerson logo and RIDGID logo are registered trademarks of Emerson Electric Co. or RIDGID, Inc. in the U.S. and other countries. All other trademarks belong to their respective holders.
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