An Energy Dollar Saved is an Energy Dollar Earned! Understanding efficiency options for your business.

Kansas businesses spend a higher percentage of their gross income on utilities than most of the nation. That fact isn’t a knock on our utility companies, it is a function of our climate. Anyone from Kansas will tell you that we get just about as cold as anyone in the winter, and just about as warm as anyone in the summer. Daily fluctuations in temperatures (if you don’t like the weather, just wait 20 minutes) can cause difficulties in energy consumption, and our building designs and materials must reflect our climate realities to mitigate costs.

At a recent Kansas Main Street training, we covered several initiatives that can help businesses recoup costs associated with energy efficiency upgrades. Below, you can find links, tips, and basic suggestions to keep in mind as you look to reduce energy related expenditures.

• The Federal 179D Tax Deduction can assist with energy efficiency upgrades. – This tax deduction allows building owners to offset some expenses related to implementing qualifying systems to improve energy efficiency.
• As an Evergy customer, you may also qualify for energy savings on efficiency or production upgrades.– CLICK HERE for program information.
• The USDA has a variety of programs that can help businesses with energy efficiency and/or energy production.- CLICK HERE for the REAP program, but understand that there are some baseline issues that must be resolved to submit a quality REAP application. Contact Emporia Main Street for assistance. This program is awarded in rounds, and the next round of applications is due quickly.
• Several energy efficiency programs are clarified within the Section 48 of the ITC.– Programs can change over time, but governmental sites can help you keep track of program alterations.
• Historic Tax Credits can be used on qualifying energy efficiency and/or energy production upgrades.- There are some important considerations when fusing HTC’s and energy programs. Visibility of solar panels from the street, for example, is discouraged. Most solar panels create a load of five pounds or less per square foot, but a cost benefit analysis on the load bearing capacity of a roof may determine if solar is a good fit for a historic structure. Again, contact Emporia Main Street with questions.
• Loan programs through Emporia Main Street can help.- Emporia Main Street has several different loan programs that can assist with building acquisition, business startups, business expansions, and/or building upgrades.- Some programs are specific to downtown Emporia, some can be used anywhere in the City limits of Emporia, and other programs can be used for businesses anywhere in Lyon County. Contact Emporia Main Street for details.

Additional considerations for businesses as we head towards a new season:

• Caulking is still one of your best investments.– Most inefficient window systems are loosing their energy retention around the frame. Caulking your windows is important in an environment that experiences extreme expansion and contraction due to changes in temperature (like Kansas). When water gets into cracks, it can freeze (expand), and cause all kinds of building issues. Preventative maintenance can save you money on your energy bills now, and building rehabilitation bills later.
• How is your roof holding up?– A white roof with insulation underneath can help reflect sunlight and reduce high energy costs during the heat of the summer. A good roof can also prevent expensive water damage. Investing in your building envelope is a good practice to reduce energy bills and improve longevity.
• Solar is typically a good investment.– Kansas based solar companies can help you determine payback periods and solar strategies to offset energy consumption. Anything produced over your internal consumption gets sold back to the grid on a monthly basis at wholesale pricing (not always an effective strategy), but reducing your overhead through solar panel usage can help your business reduce costs and act as a backup in case of outages.
• Wind is tricker in commercial environments.– Wind farms can be an effective energy producer in the second windiest state in the nation. But, they have to have a pretty significant anchor if they are going to be powerful enough to generate much energy. We can put you in contact with an engineer if you want additional information.
• Windows require an accurate cost/benefit analysis.– It is almost always to your cash advantage to repair windows rather than replace them. Adding an interior storm window can be an efficient “dual pane” upgrade. If you do choose to replace, don’t choose a window that will last under a decade if you plan on costing it out over 30 years. Dollar for dollar, insulated fiberglass windows were suggested for areas like ours with big temperature swings.
• Batteries are still emerging as a collection tool to disperse energy during “off production” times.- Battery backups can help you build energy reserves for use when the sun isn’t shining, but they need to be integrated correctly within your electrical system.

The price of energy will likely continue to rise over the foreseeable future. New automated systems in businesses will push the limits of our existing electrical grid. Integrating energy efficiency and production capacity in your business can be a smart way to decrease overhead expenses, improve profitability, and encourage sustainability in your business. If you want to get started with energy efficiency/production plans for your business, contact Emporia Main Street and we would be happy to set you on the right path.