Fireye NXM2G Receives Utility/State Rebate from Focus on Energy, Wisconsin Utilities’ Statewide Energy Efficiency Program Administrator.
Background on Incentives for Renewables & Efficiency
The focus on renewables and efficiency within the nation is constantly changing. Government agencies at Federal, State and Local levels along with utility companies have been providing financial incentives that promote energy efficiency in the United States. There are multiple benefits to these incentives, but the most prominent has been its effects on the economy and the reduced burden on the nation’s electrical and gas distribution infrastructure. The nation’s energy infrastructure is outdated and substantial investment has to be made to better match the supply of energy with the demand for it. The incentives help to mitigate the impact of our growing demand for energy, while the supply and transmission side of the system is updated over time.
The primary driver for these incentives have been from tax dollars collected at the Federal, State and Local level for government based incentives. Utility companies have been charging their customers a “Systems Benefits Charge” that pools the collected fees. When a homeowner, business or government agency looks to pursue a qualifying energy efficiency or renewable energy project, they have to apply to the government or utility program administrators to obtain these rebates/incentives.
Since the pooled funds are set aside to be redistributed, the administrating company has to do its due diligence to evaluate, measure and verify the savings/benefits from the specific initiative. Pursued measures are either classified as “Prescriptive” or “Custom” rebates. Prescriptive measures receive a specific payout and are considered “Standard” initiatives that provide a set $/unit of equipment replaced, i.e. lighting, motors, VFD’s, water heaters…. Custom rebates are initiatives that have some degree of complexity, where the possible savings can vary significantly as the impact of the initiative can very substantially. A simple example is when you trade in your pick-up truck that gets 10 mpg for a hybrid that delivers 40 mpg. Your savings really depend on your driving habits and how many miles you drive a year.
How M2G Qualifies for Rebates
The Fireye NXM2G is a boiler controller that reduces short cycling and standby losses. It works by intelligently controlling your boilers, which reduces boiler firings, purges, and losses, generating savings that range between 10-25%. When it is installed, it can be classified as a control system, which improves the intelligence of the boiler’s operation. Variables such as how oversized your boilers are, the building’s actual heating load, boiler type, set point, heating degree days, etc. all factor into the amount of energy that can be saved. For this reason, the measure when submitted is a “Custom” rebate measure. Custom measures require more engineering and calculations to measure and verify savings, but typically, the rebate/incentives are substantially better than a “Prescriptive” application as initiatives that are classified as prescriptive measures save administration time, but with the need to reduce risks for overpayment, a substantial factor of safety is taken on the rebate payouts.
The Rebate Process
Focus on Energy the utility rebate program administrator for the State of Wisconsin approved a rebate totaling $1,852.00 for an installation of the M2G system at the Racine Country Club. The custom rebate process incentivizes businesses to pursue initiatives that reduce energy consumption; paying out $0.80/Therm saved per year, with a maximum payout cap of 50% of the cost of the project
The application process included:
1) A pre-application indicating the customer’s consideration of the project and the expected energy savings
2) Focus on Energy determined the percentage of total gas consumption by the heating system (hydronic boilers)
3) They calculated the amount of savings delivered by the system from the reduced boiler cycles, factoring in degree days, and other operational parameters.
4) Once savings were determined, the Focus on Energy provided the incentive check back to the customer at the rate of $0.80/therm of energy saved.
5) Most utility companies can provide the rebate directly back to an identified third party to offset the cost of installation. It is up to the utility customer how they would like the rebate payment to be directed.
Focus on Energy limits the measure payout to be 50% of the project cost, but there are other utilities, state agencies that will pay out as much as 100% of the initiative. For more details on the FIreye NXM2G and how it can help reduce your heating costs or if you need assistance with your rebates, please visit us at: www.FlameControls.com/Rebates-2 .