NYSERDA Press Releases

NYSERDA Provides $470,000 To Help Colonie Center Strive For Customer Comfort And Reduced Energy Costs

Have you ever headed to the mall on a warm, sticky summer evening in an effort to cool off? Colonie Center, with financial assistance from the New York State Energy Research and Development Authority (NYSERDA), has taken steps to provide increased customer and employee comfort during the coming summer months.

"The higher initial cost of energy-efficient equipment is the biggest barrier customers face when purchasing new equipment like chillers," said NYSERDA President William M. Flynn. "With our funding, we helped to lower that initial cost and demonstrate how it would lead to lower energy consumption and savings on Colonie Center's energy bill. Our incentive helped to reduce the cost of the installation by 46 percent and will lower annual energy costs by more than $150,000. As the summer months approach, I recommend businesses, both small and large, consider the opportunities for energy efficiency."

NYSERDA is providing nearly $471,500 in financial incentives to help Colonie Center offset the cost of two 1,560-ton Trane water cooled centrifugal chillers that were installed at the mall. This project was funded through NYSERDA's Commercial/Industrial Performance Program, which provides financial incentives to energy service companies and engineering firms that work with municipal, industrial, and commercial utility customers to identify and implement energy-saving strategies. The incentives, combined with the energy savings, help to pay for the capital improvements. The level of incentives that NYSERDA provides depends on the level of energy savings achieved in a given project as well as the types of efficiency measures implemented.

"When a major component of a 1,500-ton chiller breaks down, you can't fix it overnight and the vast majority of the mall tenants depend on the chillers for all of their cooling," commented Dave Mattison, Colonie Center General Manager. "The savings from greater energy efficiency and fewer repair and maintenance costs will be passed on to the tenants, lowering their occupancy costs and increasing their profitability."

The project reduces the Center's electric usage during the peak load summer months, provides optimal cooling in the mall, and decreases environmental pollutants. The chillers will serve approximately half of the 1.2 million square feet of retail space in Colonie Center and will reduce energy use by 40% compared to the old chillers. It is estimated that the annual energy cost savings will exceed $154,000.

Chillers represent a significant purchase and a sizeable portion of a facility's energy costs. The centrifugal water-cooled chiller is highly efficient and built to fit a facility's needs. After assessing the energy use and need profiles at Colonie Center, The Trane Company, located in Latham, recommended and installed two water-cooled centrifugal chillers on the mall's roof.

"Our state and our nation's dependence on foreign energy sources was brought to the foreground since the tragic events of September 11, 2001. As we take steps to reduce this dependency, increase our energy efficiency, and find alternative sources of energy I commend Colonie Center for making this investment and thank NYSERDA for its assistance," said Town of Colonie Supervisor Mary Brizzell.

"Through NYSERDA's C/I Performance Program, Trane was able to demonstrate that by installing high efficiency chillers, the resulting lower energy consumption would provide savings on their annual energy bill in addition to securing a sizeable incentive from NYSERDA. The incentive ultimately reduced first cost of installation by 46%. The program provides a win-win business scenario for Trane and Colonie Center while meeting NYSERDA's goals for the C/I Performance Program by reducing energy consumption from a major commercial user. We're very pleased with the results," said Doug Young, asset management specialist for Trane.

NYSERDA's Commercial/Industrial Performance Program has two goals: to build the energy service industry, and to save energy. With the advent of competition in the utility industry, many of the energy efficiency services formerly offered by utilities no longer exist. NYSERDA provides incentives to engineering firms and energy service companies to spark energy efficiency service activity in the private sector. The incentives make providing energy efficiency services more profitable and marketable to these firms. The incentives also help to offset some of the capital costs associated with energy efficiency improvements and reduce the amount of time it takes for the resulting energy savings to pay for the capital expenses. To help businesses and other customers initiate the performance contracting process, NYSERDA can connect them with engineering firms or energy service companies.

Funding for this project came from NYSERDA's New York Energy $mart^SM program, which is designed to lower electricity costs by encouraging energy efficiency as the State's electric utilities move to competition. The programs are available to all electric distribution customers (residential, commercial, institutional, and industrial) of Central Hudson, Con Edison, NYSEG, Niagara Mohawk, Orange and Rockland, and Rochester Gas and Electric. All New York Energy $mart^SM programs are funded by a System Benefits Charge (SBC) paid by electric distribution customers of participating utilities. NYSERDA, a public benefit corporation established by law in 1975, administers SBC funds and programs under an agreement with the Public Service Commission. Additional information about these programs can be obtained at www.nyserda.org or 1-866-NYSERDA.