An industrial bakery has installed new efficient compressor with VFD. The announcement reported that new compressor saved an estimated 147,600 kWh per year and brought $18,600 in incentives. Calculation of incentive used prescriptive approach. Should the company has taken a custom track in incentive application the incentive could have been way higher.
Our analysis based on utility bills and production data shows that Weston has actually saved much more: through Aug-Dec 2012 savings amounted to almost 139,000 kWh, bringing estimated annual savings to 139,000/5*12=333,600 kWh – more than double compared to prescribed savings track they used.
Are results of custom track worth the investment?
Another way to calculate incentives is through a custom track. This is a longer path leading to higher incentives, higher certainty and higher trust at C-Level.
In our quick estimate, after consulting fees, Weston would have been at least $10K ahead in incentives, provided that cost of installation does not cup the incentive. For installations exceeding $100K custom track opens an opportunity to secure peace of mind and score $50K in incentives. Prescriptive track will rarely produce that much.
A side note to compressor manufacturer, will a field proof of efficiency of your compressor help close your next deal?