by Andrew Pezarras, contributor
The phone is ringing off the hook, an employee called out sick, the checkout line is stretched out the door, and final accounting entries for last month are a week past due.
Business owners must wear many hats and juggle several priorities at once.
A poll conducted by the National Federation of Independent Business found that energy costs were ranked No. 34 out of the 75 most important challenges facing small businesses today, and only 11% of business owners surveyed considered it a critical issue. Given their day-to-day schedules, it’s no wonder why so many business owners find energy efficiency far down their list of priorities.
While boosting profitability through direct on-bill savings, energy efficiency improvements can also create a more aesthetic and healthier environment for customers and employees, leading to increased sales and productivity.
An ENERGY STAR study found that grocery stores that upgraded their lighting to LED saw a 19% increase in year-over-year sales versus those who did not. In addition, anecdotes from business owners include reduced dispensing errors in a pharmacy after converting to LEDs and reduced absenteeism by office employees after upgrading an HVAC system.
So why aren’t more businesses updating their facilities to include energy efficient lighting, HVAC, and building upgrades? High capital costs, lack of technical knowledge, disruption to day-to-day operations, and financial uncertainties are some of the barriers that can sway decision-makers to forego energy efficiency; however, there are resources and programs designed to minimize the obstacles associated with implementing energy efficiency upgrades.
Many utility companies offer support for businesses in the form of incentive and rebate programs, financing opportunities, free energy audits and more. These offerings eliminate many of the barriers of entry associated with energy efficiency, and they are typically managed and implemented by vetted contractors and subject matter experts who can provide guidance to decision-makers. As a bonus, many of the resources and programs that are offered to commercial customers also have a residential equivalent, which can help business owners, and their employees save at home.
As areas like the Southeast continue to grow, utility companies invest in these programs to reduce energy demand and usage of existing customers. While it may seem counter-intuitive, the cost of designing and building new power plants, hydropower dams, etc. far exceeds the cost of a rebate or financing program, so it is a win-win for utility companies and their customers. These programs allow utility companies to give back to the communities that they serve and support job creation and revenue opportunities for the contractors who manage and implement the programs and projects.
According to ENERGY STAR, over 700 utilities nationwide offer rebate and incentive programs to their customers, and a quick visit to your utility provider’s website or an Internet search for “utility incentives” or “utility programs” can point you in the right direction. Energy efficiency offers many benefits and should be a focus for all business owners. It is a powerful tool that directly and indirectly bolsters the bottom line, and it doesn’t have to be costly or complicated.
Andrew Pezarras serves as an operations manager for a national electrical contractor and has had a hand in over 15,000 commercial energy efficiency retrofit projects nationally, including in East Tennessee.
