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Businesses have financial incentives to get energy efficient

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Photo by Bill Olmsted

Walworth County dairy farmer Tom Kauer stands next to one of two specialized compressors he has installed at his farm with help from the Focus on Energy program. Kauer is using a variety of methods throughout his operation that will help him dramatically reduce his energy costs.

WALWORTH — Energy costs often take a back seat to the many other expenses involved in producing milk, such as labor, equipment and feed.

But it's a number that shouldn't be overlooked.

Tom Kauer said energy costs make up a decent share of production costs on his 400-cow dairy farm in Walworth, and without the help of Focus on Energy, a state energy-efficiency program, he wouldn't have been able to take advantage of improved technology that probably has saved him thousands of dollars on his utility bills.

"I'm very conscious of cost, so that's probably the No. 1 reason," he said of why he turned to the program. "And I'm aware that it takes energy to make energy, so I want to do my part there, too."

'Nothing but helpful'

The Focus on Energy program works with businesses to install and pay for cost-effective equipment to boost energy efficiency, said Amanda Wollin, marketing manager of business programs.

"The program is helping customers to implement energy-efficiency projects that otherwise wouldn't be completed, or to implement projects sooner than scheduled," she said.

Kauer points to a variety of energy-efficient equipment installed at his farm about three years ago with help from Focus on Energy.

-- Low-speed fans.

-- Fluorescent lights that operate on timers.

-- Variable-speed vacuum pumps.

A typical motor has two speeds—on or off—which means it's running at the same speed whether milk flow is fast or slow, Kauer said. But a variable-speed motor adjusts its speed, which means if milk flow is slow, the pump is running slow, too, he said.

-- Plate coolers.

A plate cooler is basically a heat exchanger that captures the heat of warm milk and transfers it to cold water, Kauer said. Not only does it cool the milk before it reaches a refrigerated storage tank, but it also warms water that can be given to the cows for drinking, he said.

Milk normally might go straight into a storage tank, requiring it be cooled from about 95 degrees to less than 40 degrees, Kauer said. But running milk through a plate cooler before sending it to a storage tank only requires it be cooled from about 55 degrees to less than 40 degrees, he said.

Using plate coolers significantly reduces the amount of time cooling compressors are running, Kauer said.

-- Heat reclaimers.

A heat reclaimer takes the heat from the cooling compressor and uses it to heat water, Kauer said. The pre-heated water then goes into the hot water heater, reducing demand on the hot water heater, he said.

Instead of heating water from 55 degrees to 165 degrees, the pre-heated water only needs to be heated from 120 degrees to 160 degrees, he said.

Kauer said the energy-efficient equipment has made a significant impact on his farm.

"We're milking about 18 hours a day. That equipment is all running almost nonstop," he said. "It's hard to judge exactly how much we've saved, but without a doubt, we're more energy efficient than we were before. It's been nothing but helpful for our farm."

'Improve the bottom line'

The Focus on Energy program works with businesses small and large, and as such, financial incentives can range from hundreds of dollars to hundreds of thousands of dollars, depending on the project, Wollin said.

Since 2001, the program has helped businesses in the state save more than $120 million in annual energy costs, she said.

Businesses are eligible to use the Focus on Energy program if their utility is a participating member, Wollin said. Most utilities in the state participate, which means a portion of their revenue goes to fund the program. The big utilities are obligated to participate, and some of the smaller ones that don't participate offer their own energy-efficiency programs, she said.

Wollin said if businesses don't have the environmental incentive to go green, then they certainly have a financial incentive.

"In today's tough economic climate, businesses all over the state cannot afford to overlook energy efficiency," she said. "Unlike many business expenses, energy costs actually are a controlled cost and that's what we're here to help with—identifying low cost and cost-efficient projects to help reduce energy use and improve the bottom line."

Gary Davis agrees.

He used incentives from Focus on Energy to install low-speed fans, fluorescent lights and insulated drinkers on his 160-cow dairy farm in Sharon last year.

"Our fans are constantly running, our lights are on most of the day, our cows are always drinking," he said. "When you run stuff like that, you want to be efficient as possible. So I thought if I could save a dime here or there, it was worth getting involved in."