Developing an Electrification Plan for Your Building
As organizations across the country are looking to improve sustainability, building electrification has been gaining attention. Building electrification is the process of switching from fossil-fueled building systems and equipment to electric-powered models. Making the switch to electric comes with multiple benefits:
- Reduced emissions. Electric appliances and equipment produce no onsite emissions, improving sustainability.
- Increased energy efficiency. Electric technologies are generally more energy efficient than their fossil-fueled counterparts.
- Improved indoor air quality. Electrification eliminates potentially hazardous indoor pollutants, improving indoor environments.
Despite these benefits, there are challenges to making the switch. Like any business goal, building electrification requires planning. Here are steps you can take to successfully electrify your building.
Assess your building systems and equipment
Examine your building systems and equipment that run on fossil fuels. Note the age and condition of equipment and check maintenance records. Systems that are older or frequently need repair should be prioritized. Common targets for electrification include space heating, water heating, process equipment and cooking equipment.
Explore electrification technologies
Multiple options are available for making the switch to electric. Air-source and geothermal heat pumps draw heat from the air or under the ground to provide high-efficiency space conditioning year-round. Geothermal systems are generally more expensive to install. Air-source heat pumps may provide a more cost-effective upgrade option for many facilities. Heat pump water heaters can provide high-efficiency hot water for a variety of commercial building applications.
For foodservice facilities, electric induction cooktops and convection ovens provide the same uniform heat and precise temperature control associated with natural gas equipment but with higher energy efficiency, improved safety and better indoor air quality. For manufacturing applications, induction heating, variable frequency microwave furnaces and other electrotechnologies can save energy and reduce on-site emissions.
Upgrade systems gradually
Replacing systems too quickly can be cost-prohibitive. Following the assessment of your systems, develop a plan to upgrade systems slowly as they degrade or fail.
Take advantage of any financial incentives that may be available. Some electrification upgrades may be eligible for the 179D energy efficient commercial building tax deduction. State and local incentives may also be available in your area.
Implement renewable energy systems
Renewable energy systems with energy storage can help optimize your electric systems and increase sustainability. Commonly used onsite renewable energy systems — such as solar and wind — can help power your electric equipment and reduce your energy costs. Financial incentives can help reduce your upfront investment. The federal Investment Tax Credit(ITC) covers up to 30% of the installed costs of eligible renewable energy systems.
Battery energy storage systems can help optimize your onsite renewable energy and provide a more sustainable form of backup power than conventional fossil-fueled generators. While installing an energy storage system can be costly, financial incentives are also available to help. The ITC provides tax credits of up to 30% of the installed costs of eligible systems.
With careful planning and execution, you can reduce operating costs, improve your sustainability and realize the many benefits of building electrification. Give your company an edge by incorporating new electric technologies into your business plan. Check out resources on electrification for your business.
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