09/01/2014

Costs Rising for Energy-Slashing Strategies

Increased demand poised to drive up prices

 

Thinking about proposing an energy efficiency project?

Now may be the best time – prices are poised to rise on several key technologies, according to a report by IBISWorld, an industry market research provider. The report identified four top savings strategies that are likely to see changes in demand and cost in the next three years.

Energy management systems: The average commercial building wastes roughly 30% of the energy it consumes, according to the report, mainly due to inefficient HVAC and lighting. This waste, coupled with rising utility prices, is driving up demand for energy management systems.

Improvements in wireless technology are reducing the amount of wiring needed and helping temper installation costs. IBISWorld predicts costs will rise at an annualized rate of just 1.5% between now and 2017 and says that buyers who need multiple systems can generally bundle purchases to receive discounts or favorable maintenance contracts.

Window and door installation: Recent expansion in construction and renovation activity is contributing to a larger demand, which is giving suppliers greater pricing leverage and driving up costs, according to the report. Installation services for windows and doors are forecasted to rise at an annualized rate of 2%, IBISWorld says.

HVAC services: Because HVAC systems are the second-largest source of energy consumption in commercial buildings, installation and maintenance services for HVAC are expected to continue rising in both demand and price.

Costs for HVAC system construction are likely to increase at a faster pace with an annualized rate of 7.2%, mainly thanks to greater investment in buildings. As a result of this, installation and maintenance demands will also grow, with their costs following suit – an annualized rate of 4.2% over the three-year period is predicted. To help lock in lower prices, the report recommends long-term contracts with suppliers.

Solar panel installation: Only about 1% of U.S. energy comes from solar installations, but this figure is an increase from just three years ago thanks in part to government initiatives and incentives. SunShot Initiative, a national collaborative backed by the DOE, hopes to increase that share to 14% by 2030.

Demand is expected to continue rising.However, IBISWorld predicts that solar panel installation prices will actually fall during the three-year period (at an annualized rate of 3.7%), mainly due to the incentives. The costs of the panels themselves have dropped more than 60% since 2010.

 


Visit our website today to learn about the design flexibility of a Morton building and the endless possibilities of partnering with our designBUILD team.


Wood construction is both cost and energy efficient. Check out Morton Buildings and our designBUILD team online today to discover all the benefits of post-frame construction.


When choosing a metal-clad building for your next construction project, consider Morton Buildings, Inc., and their designBUILD team, we’ll make your dream a reality.

We Can Help You Reduce Energy by 30%

Our mission is to help our customers manage their buildings' energy costs, improve reliability, and enhance performance while having a positive impact on the environment.
CLICK HERE to find out how.

 

Add highly responsive multi-zone comfort to any building project, in any climate. Our CITY MULTI H2i R2- and Y-Series VRF systems give you flexibility to fit the needs of any building. Enjoy 100% heating capacity at 0°F outdoor ambient, and 85% heating capacity at -13°F outdoor ambient.  For more information, log on to www.mitsubishipro.com


Tennant Company is a recognized leader in designing, manufacturing and marketing solutions that help create a cleaner, safer, healthier world. With thousands of satisfied customers already using award winning ec-H2O technology, why not see what you're missing? Test ec-H2O on your soils in your facility. Get a free demo.


Tennant Company is a recognized leader in designing, manufacturing and marketing solutions that help create a cleaner, safer, healthier world. With thousands of satisfied customers already using award winning ec-H2O technology, why not see what you're missing? Test ec-H2O on your soils in your facility. Get a free demo.

 

Replace core drilling with Connectrac In-Carpet and On-Floor Wireways, the proven connectivity solution in open interior spaces of all kinds. These elegant low-profile wireways are great for AV / telecom connectivity wherever it’s needed.

 


Visit our website today to learn about the design flexibility of a Morton building and the endless possibilities of partnering with our designBUILD team.


Wood construction is both cost and energy efficient. Check out Morton Buildings and our designBUILD team online today to discover all the benefits of post-frame construction.


When choosing a metal-clad building for your next construction project, consider Morton Buildings, Inc., and their designBUILD team, we’ll make your dream a reality.

We Can Help You Reduce Energy by 30%

Our mission is to help our customers manage their buildings' energy costs, improve reliability, and enhance performance while having a positive impact on the environment.
CLICK HERE to find out how.

 

Add highly responsive multi-zone comfort to any building project, in any climate. Our CITY MULTI H2i R2- and Y-Series VRF systems give you flexibility to fit the needs of any building. Enjoy 100% heating capacity at 0°F outdoor ambient, and 85% heating capacity at -13°F outdoor ambient.  For more information, log on to www.mitsubishipro.com


Tennant Company is a recognized leader in designing, manufacturing and marketing solutions that help create a cleaner, safer, healthier world. With thousands of satisfied customers already using award winning ec-H2O technology, why not see what you're missing? Test ec-H2O on your soils in your facility. Get a free demo.


Tennant Company is a recognized leader in designing, manufacturing and marketing solutions that help create a cleaner, safer, healthier world. With thousands of satisfied customers already using award winning ec-H2O technology, why not see what you're missing? Test ec-H2O on your soils in your facility. Get a free demo.

 

Replace core drilling with Connectrac In-Carpet and On-Floor Wireways, the proven connectivity solution in open interior spaces of all kinds. These elegant low-profile wireways are great for AV / telecom connectivity wherever it’s needed.

 


 
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