Renewable Energy in Commercial HVAC
Harnessing renewable energy in commercial HVAC applications for space heating, water heating, and reducing power consumption can significantly cut operational costs through thermodynamics. Wind, solar energy, and advanced HVAC systems stand out as the most promising sources. These renewables, like solar energy and wind energy, can power HVAC systems and water heating, reducing reliance on traditional electricity, with the support of energy storage technologies.
Cost Savings Through Renewable Integrations
The potential for cost savings is immense. For instance, solar panels installed on a building’s roof can generate enough power to run advanced HVAC systems, including air conditioning units during peak hours, enhancing energy efficiency through renewable energy integration and energy storage systems.
This not only lowers electricity bills but also reduces demand from the grid during high-use periods, enhancing energy efficiency and renewable energy integration through reduced energy consumption and solar energy utilization.
Extending HVAC System Lifespan and Improving Air Quality
Integrating renewable energy into HVAC operations can extend system life in commercial buildings and improve air quality. HVAC systems in commercial buildings powered by clean energy face less wear and tear compared to those running on conventional power sources, including air systems.
This is because renewable sources, such as solar energy and energy storage systems, often provide a more stable supply of electricity, improving energy efficiency and reducing energy consumption.
Smart Integration for Enhanced Efficiency
The role of smart integration becomes crucial here by intelligently managing when and how much renewable power, such as solar energy, to use, systems like HVAC operate more efficiently, improving energy efficiency and reducing energy consumption. This leads to fewer breakdowns, longer intervals between maintenance checks, and improved energy efficiency in HVAC systems with renewable energy integration, reducing overall energy consumption.
Unitemp has been providing solutions for commercial HVAC for over 50 years.
Why Choose Unitemp for Your Commercial HVAC Needs
We have a team of engineers who focus on incorporating the latest technology and analytics for mechanical systems. Our customers include data centers, universities, pharmaceutical manufacturing, office buildings, and many other commercial buildings. This experience allows us to understand the needs of your business and the regulations you are required to follow and design a plan to provide optimal indoor air quality and respect the environment.
Why Upgrade to an Energy-Efficient Commercial HVAC System?
Retrofitting existing HVAC systems in commercial buildings with renewable sources poses challenges but offers rewarding solutions for energy efficiency and reduced energy consumption too.
Challenges of Retrofitting Existing HVAC Systems
One major hurdle is compatibility issues between old systems and new technologies, including HVAC, in commercial buildings for energy efficiency and renewable energy integration. However, innovative adapters and interfaces for renewable energy integration, energy efficiency, and energy storage systems are being developed to bridge this gap.
Another challenge in renewable energy integration is upfront costs; installing solar panels or wind turbines requires significant investment in energy efficiency and energy storage systems. But financial incentives like tax credits for energy efficiency, renewable energy integration, HVAC, and energy storage systems help mitigate these expenses.
Energy-Efficient HVAC Technologies
Solar-powered HVAC systems convert sunlight into energy. This process is clean and sustainable. They use solar panels to capture energy from the sun. Then, they transform it into power for heating, cooling, and ventilation, enhancing HVAC energy efficiency and integrating renewable energy and energy storage systems.
Geothermal HVAC systems tap into the earth’s stable temperature. They use this to heat and cool buildings efficiently. These systems rely on a network of underground pipes. The HVAC pipes circulate water or refrigerant to exchange heat with the ground, enhancing energy efficiency and enabling renewable energy integration through energy storage systems.
Both methods, focusing on energy efficiency and renewable energy integration in building HVAC systems, are more efficient than traditional fossil fuel-based systems. They produce fewer greenhouse gas emissions too.
Regulations and Building Standards
Building codes and standards directly influence how commercial buildings integrate renewable energy into their HVAC systems. These regulations ensure that new constructions or renovations meet certain environmental criteria, pushing for greener practices and renewable energy use industry-wide.
In some regions, building codes mandate the inclusion of renewable energy sources for heating and cooling purposes. This requirement fosters innovation within the renewable energy sector, leading to advancements in technology and efficiency. As these standards become stricter over time, they drive continuous improvement and sustainability in commercial HVAC applications, incorporating renewable energy.
Government Incentives That Make the Transition Affordable
Government policies play a pivotal role in the adoption of renewable energy in commercial HVAC applications. Financial incentives such as tax rebates and credits for renewable energy are significant motivators for businesses. These incentives lower the initial investment costs, making it more feasible for companies to switch to green technologies and renewable energy.
For example, a business installing solar panels for its HVAC system to utilize renewable energy may receive a tax credit covering 30% of the installation cost. This reduction in renewable energy costs can translate into substantial savings, encouraging more businesses to make the transition. Such financial benefits not only support individual companies but also promote the widespread adoption of renewable energy across industries.
Types of Government Incentives for Energy-Efficient HVAC
In today’s energy-conscious landscape, utility companies across the country offer energy credits and incentives to encourage replacing outdated HVAC systems with high-efficiency models. For building owners, these credits can offset the costs of upgrades, improve operational efficiency, and enhance environmental sustainability. Navigating commercial HVAC energy credits can be complex, but the financial and environmental benefits make it worthwhile.
Utility companies, often regulated by state and federal energy efficiency mandates, design energy credit programs to encourage adoption of high-efficiency HVAC systems. These programs vary widely in scope, eligibility requirements, and payout structures. Generally, energy credits are offered in the form of utility rebates and Federal Tax Credits
Upgrading to energy-efficient HVAC equipment provides financial benefits beyond energy credits. Key benefits to consider:
- Upfront cost savings: Energy credits can cover a portion of equipment costs, reducing initial capital outlay. Timing the upgrade properly helps to align with program cycles and funding availability, while still considering seasonal demand and potential downtime. Additionally, grants or special financing programs can be a good fit in certain cases.
- Long-term energy savings: High-efficiency systems lower energy consumption and reduce utility bills, depending on the building size and usage patterns. Energy-efficient equipment typically has a higher upfront cost, so the credit can offset that as the payback period and ROI are being calculated.
- Tax advantages: In addition to utility credits, federal incentives like the 179D deduction can apply to commercial buildings meeting energy efficiency thresholds. Combine multiple incentives to stack them where permissible.
- Improved asset value and building comfort: Buildings with higher-efficiency equipment typically appraise higher than their standard counterparts. Additionally, an often-overlooked benefit is enhanced comfort that comes along with improved climate control and air quality.
Navigating energy credits for replacement HVAC equipment in commercial buildings can be complex, and understanding the available incentives and the process is crucial. By conducting due diligence, engaging professionals, and staying informed on program requirements, businesses can successfully leverage energy credits to make energy-efficient upgrades more affordable.
Federal Tax Credit
Section 179D of the Internal Revenue Code provides federal tax deductions for placing in-service-eligible energy-efficient property in commercial buildings. Energy-efficient property, installed as part of the following building systems may be eligible for this deduction: interior lighting; heating, ventilating, and air conditioning (HVAC); hot water (service water heating); and/or building envelope. This applies to property placed in service as part of a new construction or a building upgrade project. Other energy-efficient processes or equipment loads are not eligible.
Section 48 in the Investment Tax Credit provides for additional tax incentives:
Solar Energy Property – This credit reduces a taxpayer’s federal tax liability by a percentage of qualifying solar energy property costs. Only active solar systems are eligible for the credit, an active solar system is based on the use of mechanically forced energy transfer, such as the use of fans or pumps to circulate solar generated energy.
Qualified Geothermal Energy Property and Geothermal Heat Pumps – This credit reduces a taxpayer’s federal tax liability by a percentage of qualifying geothermal property costs. Geothermal energy property including production, distribution, and dual-use equipment, and geothermal heat pump property may all qualify for this credit.
State and Local Tax Incentives
Maximize your savings. ENERGY STAR certifies products in 85 product categories, many of which are used in commercial buildings. Be sure to check the ENERGY STAR Rebate Finder to find more savings on ENERGY STAR certified products.
Many states offer rebate programs to encourage energy efficiency. These programs vary depending on where you live, with eligibility often based on the type of system, its efficiency rating, or when it’s installed. Checking your state’s guidelines will help you figure out what’s available and how to qualify. You can explore state-specific incentives through the Database of State Incentives for Renewables & Efficiency
Utility Rebates
Utility rebates are generally available throughout the US. To learn more about the incentives in your state do a search for State Energy Incentives in “your location”. Each state utility will provide a comprehensive list of incentives available.
How Your Business Can Qualify for These Incentives with Energy Efficient Upgrades
The EPA along with the Energy Department introduced ENERGY STAR in 1992. Their role has been to evaluate and recognize appliances that meet the highest standards of energy efficiency and performance. Many states will states use the Energy Star label when setting their tax incentives. The Energy Efficiency Ratio (EER) is a standardized measurement of how efficient air conditioners and heat pumps are. The higher the rating, the higher the efficiency.
To meet Energy Star certification requirements, central air conditioners must have an EER rating of 12.5 or higher, while heat pumps must have an EER rating of 12 or higher. The SEER rating is a crucial metric that determines the cooling efficiency of an air conditioner over the course of a cooling season. On top of meeting the EER rating for Energy Star certification (12.5 or higher), an air-conditioning system must have a SEER rating of 15 or higher.
Investing in an Energy Star-certified HVAC system is a smart and sustainable choice for those seeking enhanced comfort while minimizing their environmental footprint.
When you work with Unitemp engineers, they will provide HVAC equipment that meets Energy Star environmental operating standards.
Contact Unitemp Today!
The Unitemp team includes engineers, licensed HVAC technicians, construction and installation teams and project managers to oversee every aspect of retrofitting or installing new mechanical systems. Our commercial facility clients rely upon us to design and deliver optimal HVAC solutions and planned maintenance programs that deliver healthy indoor air quality and extend the life of their equipment. When you are ready to upgrade your HVAC system call us at 877.704.4822 and learn how you can save money and, improve the environmental footprint of your facility.