Sustainability Case Study:
The Merc Co+op Overview
LOCATION:
The Merc Co+op is a medium-sized food co-op in Lawrence, Kansas with annual sales of $12.6M out of 11,000 retail square feet. Since its beginnings as a buying club in 1974, The Merc Co+op has served its owners and community with high quality bulk and natural foods. Over the years the co-op has grown exponentially, culminating in the purchase of its 1950s-era building in 2012. Keeping in line with their ends, which include being on the forefront of demonstrating care for the environment, The Merc Co+op has committed to continually reducing the environmental impact of both their building and equipment, which they have successfully done for four years and counting!
The Merc Co+op: Sustainability Case Study
LOCATION. . . . . . . . . . . . . . . . . . SIZE L AWRENCE, KS. . . . . . . . . . 11,000 SQ/FT
ANNUAL SALES:
$12.6M 1
The Project
TIMELINE:
The Merc Co+op has reduced energy usage for four consecutive years, decreasing their carbon footprint and keeping their electricity costs in check. This rare accomplishment has been achieved through some initial infrastructure investment but also through routine data tracking, goal setting and preventative maintenance that any co-op could do.
4 years
ANNUAL ENERGY USE TRENDS
. . . . . . . . . . . . . . The Merc Co+op
The Process
. . . . . . . . . . . . . . . Average Co-op
An energy audit in 2013 provided the co-op with an EnergyStar rating of 53 out of a possible 100. After addressing the low-hanging fruit identified by the audit, the co-op turned its attention to their upcoming store remodel and the opportunity it provided to invest in larger improvements.
2,000,000 kWh
1,500,000 kWh
With assistance from their remodel architects and engineers, the co-op installed LED overhead lighting throughout the sales floor and added a specially designed rooftop HVAC unit to create a positive air pressure environment in the store. They convened a task force of managers to research and recommend a replacement water filtration system that would be more efficient than their old model and then installed it.
1,000,000 kWh
500,000 kWh
0 2012
After this investment in infrastructure, The Merc Co+op decided to hire a preventative maintenance (PM) company to assist them in maintaining top performance of HVAC and refrigeration systems. Their first report from the company they selected yielded one surprise after another - ill maintained refrigeration and HVAC systems were the source of frequent breakdowns and headaches. The co-op had no idea how much money was going down the drain in energy costs due to this lack of care. With their PM contractor’s help, they have been able to move from a reactionary position to a preventative one and away from costly, unpredictable equipment crises to incremental and budgeted maintenance costs.
The Merc Co+op: Sustainability Case Study
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2013
2014
2015
2016
The Results
APPROX. ANNUAL ENERGY SAVINGS
Following the changes they made, and after just one quarter of preventative maintenance, their EnergyStar rating had risen to 83. Where most co-ops’ electricity use tends to increase at about 4% per year, The Merc Co+op has been able to reduce consumption by an average of 7% per year over four years (30% total).
$70,000
The co-op has successfully monitored the impact of their efforts through participation in NCG’s Co+efficient since 2014, at which time they provided two complete years of existing data leading back to 2012. Today, the co-op is saving an estimated $70,000 per year on electricity costs, compared to how much they would be spending if they had not made improvements or prioritized prevention, and given today’s price for electricity.
“The sooner you make these changes, the sooner you’ll start saving money!” Rita York Hennecke, GM
For their excellent work in energy reduction, The Merc Co+op was a 2016 recipient of a Co+efficient Sustainability Star award, and was also nominated for a New Hope excellence award for sustainability.
MERITS & CONSIDERATIONS:
PROGRAM MERITS
How to Implement
It’s easy to maintain properly functioning equipment
Rita York Hennecke, The Merc Co+op’s general manager, reports being pleasantly surprised by the return on investment from their preventative maintenance company. Here’s her advice for choosing a contractor.
Predictable, budgeted expenses compared with costly crisis control
• Choose a local company to avoid trip charges Preventative maintenance pays for itself over time (full ROI)
• Find a company that can serve all of your mechanical, electrical and plumbing needs • Request one primary technician to service your store and get to know your equipment
Store experience and food quality is improved by increased energy efficiency (lighting, HVAC, refrigeration)
• Negotiate your contract and get a detailed preventative maintenance schedule up front, then hold them accountable to it
SPECIAL CONSIDERATIONS
Must make initial investment in improving equipment currently in poor repair first
• Customer service is important, be sure you are happy with their service on the phone and in person • The company you choose should actively demonstrate their worth with data reports
The Merc Co+op: Sustainability Case Study
Need to dedicate staff time to routine tracking of data
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For More Information: Visit NCG.coop to learn more about using Co+efficient to start tracking your co-op’s energy use. Contact NCG Sustainability Specialist Sheila Samuelson: (866) 709-COOP (2667) ext. 1403 sheila.samuelson@ncg.coop
The Merc Co+op: Sustainability Case Study