Every successful energy project begins with a clear understanding of how the building currently performs.
Commercial facilities are complex systems. Heating, cooling, ventilation, lighting, insulation, air leakage, controls, occupancy patterns, maintenance practices, and utility-rate structures all influence energy consumption. A problem in one area can create increased costs and performance issues throughout the facility.
A building may have relatively new equipment and still consume excessive energy because systems are improperly scheduled, oversized, poorly controlled, inadequately maintained, or operating against deficiencies in the building envelope.
UAM Power evaluates the facility as an integrated system rather than examining equipment in isolation.
Our assessments are designed to answer essential questions:
• Where is the building losing energy and money?
• Which systems are underperforming?
• Are utility costs consistent with the building’s size and use?
• Which improvements should receive priority?
• What savings can reasonably be expected?
• Which rebates, incentives, grants, or financing programs may apply?
• Which measures offer the strongest financial and operational value?
• How should improvements be sequenced to avoid unnecessary expenditures?
The result is a practical, data-driven roadmap that helps owners make informed decisions about operations, maintenance, equipment replacement, modernization, and long-term capital investment.
UAM Power does not approach an assessment as a sales presentation for one predetermined product.
We begin with the building.
Our objective is to understand how the facility uses energy, identify the underlying causes of unnecessary consumption, and develop recommendations that support the owner’s operational and financial goals.
Depending on the facility and project scope, our evaluation may examine:
• Historical utility consumption
• Peak electrical demand
• HVAC equipment and distribution systems
• Building automation and operating controls
• Roof, wall, window, and door performance
• Air leakage and insulation deficiencies
• Interior and exterior lighting
• Domestic water heating
• Ventilation and indoor environmental quality
• Occupancy and scheduling patterns
• Preventive-maintenance practices
• Renewable-energy readiness
• Electrification opportunities
• Available incentive and financing programs
This whole-building approach helps prevent isolated improvements that fail to address the actual source of poor performance.
A preliminary assessment provides an initial evaluation of the facility’s energy performance and identifies readily observable opportunities for improvement.
This level of analysis is appropriate for organizations seeking to establish a baseline, identify immediate operational savings, or determine whether a more detailed engineering study is warranted.
• Review of available utility bills
• Preliminary energy-use benchmarking
• Facility walkthrough
• Interviews with owners, operators, or facility personnel
• Review of operating schedules
• Identification of obvious equipment and envelope deficiencies
• Preliminary energy conservation measures
• Initial assessment of incentive opportunities
• Approximate savings and cost ranges
• Recommended next steps
• Immediate low-cost operational improvements
• Identification of deferred-maintenance issues
• Recognition of major energy-consuming systems
• Preliminary project priorities
• Determination of the appropriate level of further analysis
An ASHRAE Level I assessment provides a structured review of the building’s energy consumption and visible operating conditions.
It is commonly used to identify low-cost and no-cost improvements, evaluate broad energy-saving opportunities, and determine whether a more detailed Level II assessment should be pursued.
• Historical utility-data review
• Energy-use benchmarking
• Facility walkthrough
• Equipment and systems observation
• Operating-schedule review
• Preliminary building-envelope evaluation
• Identification of energy conservation measures
• Preliminary cost and savings estimates
• Simple-payback considerations
• Prioritized recommendations
• Owners seeking an initial understanding of building performance
• Municipalities evaluating multiple facilities
• Nonprofits with limited capital budgets
• Commercial owners beginning a modernization plan
• Organizations seeking utility-program qualification
• Portfolio owners determining which buildings require deeper analysis
An ASHRAE Level II assessment provides a more comprehensive engineering evaluation of the facility and its energy-consuming systems.
This level of assessment develops the technical and financial information needed to compare energy conservation measures and prepare a prioritized implementation strategy.
Utility and demand analysis
• Multiple years of utility data
• Electricity, natural gas, water, and other fuels
• Seasonal consumption trends
• Peak electrical demand
• Load patterns
• Rate structures
• Billing irregularities
• Weather-normalized energy use
• Comparison with similar facilities
Building systems inventory
• Equipment type
• Capacity
• Approximate age
• Efficiency
• Condition
• Controls
• Operating schedule
• Maintenance status
• Remaining useful life
Building-performance evaluation
• Heating and cooling systems
• Ventilation and air distribution
• Building automation
• Lighting and lighting controls
• Domestic water heating
• Building envelope
• Air leakage
• Insulation
• Windows and doors
• Plug and process loads
• Indoor environmental conditions
Financial evaluation
• Estimated implementation cost
• Estimated annual energy savings
• Estimated maintenance savings
• Utility incentives and rebates
• Simple payback
• Return on investment
• Life-cycle considerations
• Recommended project sequencing
The owner receives a detailed assessment that explains:
• Current conditions
• Identified deficiencies
• Recommended energy conservation measures
• Estimated costs
• Estimated savings
• Operational effects
• Financial considerations
• Implementation priorities
An ASHRAE Level III assessment is intended for organizations preparing to make significant capital investments or seeking detailed technical support for financing, procurement, or project implementation.
This level of analysis may include more extensive field investigation, measurements, calculations, equipment testing, engineering analysis, and financial modeling.
• Major HVAC replacement
• Central plant modernization
• Large-scale building-envelope improvements
• Comprehensive energy-performance projects
• C-PACE-financed projects
• Energy performance contracting
• Complex municipal or institutional projects
• Portfolio-wide capital planning
• Electrification projects
• Renewable-energy integration
• Projects requiring lender or investor review
• Detailed engineering calculations
• Equipment performance measurements
• Data logging
• Load analysis
• Energy modeling
• System-level testing
• Refined project scope
• Detailed construction-cost estimates
• Savings projections
• Incentive calculations
• Life-cycle cost analysis
• Cash-flow analysis
• Financing support
• Measurement and verification planning
An investment-grade assessment is designed to reduce uncertainty and provide decision-makers with a higher level of confidence before committing significant capital.
Utility bills contain valuable information about how a facility operates.
UAM Power analyzes available energy data to identify trends, anomalies, and cost drivers that may not be visible during a physical inspection.
• Monthly electricity consumption
• Natural-gas consumption
• Peak demand charges
• Seasonal usage patterns
• Base-load consumption
• Heating and cooling sensitivity
• Time-of-use charges
• Rate-class suitability
• Power-factor penalties
• Unusual changes in consumption
• Billing errors or irregularities
• Water and sewer usage where relevant
• Cost per square foot
• Energy use intensity
• Portfolio comparisons
This analysis establishes a performance baseline and supports more reliable estimates of future savings.
Benchmarking compares a facility’s energy performance with its historical use, similar facilities, or recognized performance standards.
UAM Power may use benchmarking to help determine:
• Whether the facility uses more energy than comparable buildings
• Whether energy performance is improving or declining
• Which facilities in a portfolio should be prioritized
• Whether implemented measures are producing results
• Whether abnormal consumption requires further investigation
Benchmarking is particularly valuable for municipalities, schools, multifamily portfolios, healthcare facilities, houses of worship, and organizations managing multiple properties.
HVAC systems are frequently among the largest energy consumers in a commercial facility.
Our assessment considers not only equipment efficiency, but also how the system is selected, controlled, distributed, maintained, and operated.
• Boilers
• Furnaces
• Chillers
• Cooling towers
• Rooftop units
• Packaged systems
• Split systems
• Heat pumps
• Variable-refrigerant-flow systems
• Air-handling units
• Fan-coil units
• Pumps
• Fans
• Hydronic distribution
• Ductwork
• Terminal units
• Energy-recovery systems
• Exhaust and makeup-air systems
• Equipment age and condition
• Rated efficiency
• Actual operating performance
• Capacity and sizing
• Part-load operation
• Simultaneous heating and cooling
• Temperature setpoints
• Operating schedules
• Outside-air control
• Economizer operation
• Airflow and distribution
• Pump and fan control
• Variable-frequency-drive opportunities
• Maintenance condition
• Filtration
• Refrigerant considerations
• Remaining useful life
• Replacement or optimization opportunities
The objective is to determine whether the HVAC system is meeting facility needs efficiently, reliably, and consistently.
A high-efficiency system can still waste substantial energy when its controls are not properly configured.
UAM Power evaluates control strategies and operating sequences to identify opportunities to reduce unnecessary runtime and improve coordination among building systems.
• Building automation systems
• Thermostat settings
• Occupancy schedules
• Start-and-stop times
• Holiday schedules
• Temperature setbacks
• Equipment staging
• Demand-control ventilation
• Economizer sequences
• Static-pressure control
• Supply-air temperature reset
• Hot-water and chilled-water reset
• Simultaneous heating and cooling
• Sensor placement and calibration
• Alarm management
• Trend data
• Remote monitoring opportunities
Control improvements can often deliver meaningful savings without requiring complete equipment replacement.
The building envelope separates conditioned indoor spaces from outdoor conditions.
Deficiencies in roofs, walls, foundations, windows, doors, and penetrations can increase heating and cooling loads, create discomfort, contribute to moisture problems, and reduce equipment life.
• Roof insulation
• Wall insulation
• Foundation and slab conditions
• Windows and glazing
• Exterior doors
• Weatherstripping
• Air barriers
• Penetrations
• Thermal bridging
• Visible moisture conditions
• Air leakage pathways
• Attic and roof assemblies
• Loading docks
• Vestibules
• Building pressurization
• Infrared observations where appropriate
• Air sealing
• Insulation improvements
• Door and window sealing
• Roof improvements
• Vestibule improvements
• Weatherstripping
• Targeted repairs
• Moisture-control measures
• Coordination with future HVAC replacement
Envelope improvements should be evaluated before or in coordination with mechanical-system replacement because reducing heating and cooling loads may affect equipment sizing.
Uncontrolled air leakage can cause:
• Higher heating and cooling costs
• Drafts
• Uneven temperatures
• Humidity problems
• Dust and pollutant entry
• Pressure imbalances
• Difficulty maintaining indoor comfort
Where appropriate, UAM Power may recommend or coordinate diagnostic testing to help identify leakage pathways and quantify building-envelope performance.
• Visual air-leakage assessment
• Blower-door testing
• Zone pressure diagnostics
• Duct leakage testing
• Infrared imaging
• Smoke testing
• Building-pressure evaluation
Testing recommendations depend on building type, size, occupancy, and project objectives.
Lighting improvements can reduce energy use while supporting occupant comfort, productivity, security, and maintenance efficiency.
• Interior lighting
• Exterior lighting
• Parking-lot lighting
• Emergency lighting
• Fixture type and wattage
• Light levels
• Operating hours
• Occupancy patterns
• Daylight availability
• Lighting controls
• Occupancy sensors
• Scheduling
• Dimming
• Exterior photocells
• Maintenance practices
• Peak demand
• Transformer loading
• Electrical distribution
• Power quality
• Motor loads
• Variable-frequency drives
• Demand-response opportunities
• Capacity for electrification
• Capacity for EV charging
• Renewable-energy interconnection readiness
• Battery-storage compatibility
Water heating and water consumption can represent significant operating costs in multifamily, healthcare, hospitality, food-service, educational, and institutional facilities.
• Water-heating equipment
• Storage temperatures
• Distribution losses
• Pipe insulation
• Recirculation systems
• Controls and schedules
• Low-flow fixtures
• Leakage
• Laundry systems
• Kitchen equipment
• Process-water use
• Heat-recovery opportunities
Recommendations are developed with consideration for health, safety, comfort, operations, and applicable requirements.
Energy efficiency should not come at the expense of occupant health or comfort.
A well-performing building should provide appropriate ventilation, temperature control, humidity management, filtration, and air distribution.
• Temperature variation
• Relative humidity
• Ventilation effectiveness
• Outside-air delivery
• Carbon-dioxide conditions
• Filtration
• Air movement
• Odors
• Pressure relationships
• Moisture
• Visible mold or water damage
• Occupant complaints
• Combustion safety
• Exhaust performance
Recommendations are designed to balance energy performance with appropriate indoor environmental conditions.
Building performance depends heavily on daily operations and maintenance.
UAM Power evaluates practices that may contribute to unnecessary consumption, equipment failure, comfort complaints, or premature replacement.
• Preventive-maintenance schedules
• Filter replacement
• Coil cleaning
• Belt condition
• Sensor calibration
• Equipment overrides
• Operating schedules
• Setpoint management
• Simultaneous heating and cooling
• Unoccupied operation
• Lighting schedules
• Tenant or occupant practices
• Deferred maintenance
• Staff training
• Documentation and recordkeeping
Low-cost operational improvements may sometimes produce savings before major capital upgrades are undertaken.
Renewable energy should be considered within the context of overall building performance.
Before recommending solar, battery storage, EV charging, or electrification, UAM Power evaluates whether energy waste can first be reduced and whether the facility’s electrical and structural conditions support the proposed technology.
• Existing energy consumption
• Load profile
• Roof condition
• Available roof or site area
• Electrical service capacity
• Interconnection considerations
• Peak demand
• Backup-power priorities
• Future electrification loads
• EV-charging requirements
• Battery-storage applications
• Utility-rate structure
• Incentive availability
• Project economics
Reducing unnecessary consumption before sizing renewable-energy systems may lower project cost and improve overall financial performance.
Based on assessment findings, potential recommendations may include:
• HVAC replacement
• HVAC optimization
• Heat-pump conversion
• Boiler or chiller modernization
• Variable-frequency drives
• Building automation
• Control-sequence improvements
• LED lighting
• Lighting controls
• Air sealing
• Roof or attic insulation
• Wall insulation
• Door weatherstripping
• Window improvements
• Ventilation upgrades
• Energy recovery
• Domestic water-heating improvements
• Motor and pump upgrades
• Power-factor correction
• Solar photovoltaic systems
• Battery energy storage
• EV-charging infrastructure
• Operational and maintenance improvements
Recommendations are prioritized according to technical suitability, cost, expected savings, operational effect, available funding, and organizational objectives. These categories are consistent with the services and improvements identified in UAM Power’s website-development plan.
Technical feasibility alone does not determine whether a project should move forward.
UAM Power evaluates potential measures from a financial and organizational perspective so that decision-makers can compare competing uses of capital.
• Estimated project cost
• Estimated annual energy savings
• Estimated demand savings
• Maintenance-cost reductions
• Equipment-life extension
• Utility incentives
• Government incentives
• Grants
• Tax benefits where applicable
• Financing costs
• Simple payback
• Return on investment
• Net present value
• Internal rate of return
• Life-cycle cost
• Cash-flow effect
• Budget timing
• Capital-planning priorities
For nonprofit and municipal clients, analysis may also consider limited capital availability, procurement requirements, grant eligibility, public accountability, and long-term budget stability.
A technically sound project may become substantially more affordable when incentives and financing are incorporated early in the planning process.
UAM Power may identify and evaluate opportunities involving:
• Utility rebates
• ComEd programs
• Ameren Illinois programs
• Federal incentives
• State programs
• Municipal programs
• Energy grants
• Low-interest financing
• Commercial lending
• C-PACE financing
• Power Purchase Agreements
• Energy performance contracting
Because program requirements can influence equipment selection, project timing, documentation, and contractor qualifications, funding should be considered before final design or installation whenever possible. The submitted improvement plan identifies incentive qualification, application preparation, documentation, approval, funding coordination, and verification as part of the division’s broader service model.
Depending on the selected scope, the final assessment may include:
• Executive summary
• Facility description
• Building-use profile
• Utility-consumption analysis
• Energy benchmarking
• Existing-condition findings
• Equipment inventory
• Building-envelope observations
• Energy conservation measures
• Estimated implementation costs
• Estimated energy savings
• Estimated financial savings
• Incentive opportunities
• Financial analysis
• Recommended project priorities
• Implementation sequencing
• Capital-improvement roadmap
• Supporting photographs
• Technical calculations
• Measurement and verification recommendations
The report is designed to serve both technical personnel and organizational decision-makers.
An assessment is valuable only when it produces actionable decisions.
UAM Power can remain involved beyond the report to help move recommended improvements from concept to completion.
• Scope development
• Engineering coordination
• Contractor selection
• Incentive applications
• Financing coordination
• Bid review
• Construction oversight
• Utility coordination
• Permit coordination
• Commissioning
• Quality assurance
• Final inspection
• Performance verification
• Warranty coordination
• Ongoing support
This single-source approach allows owners to maintain continuity from the initial building assessment through implementation and verification.
UAM Power’s assessment services are appropriate for:
• Commercial office buildings
• Multifamily properties
• Municipal facilities
• County and government buildings
• Educational institutions
• Healthcare facilities
• Houses of worship
• Nonprofit facilities
• Industrial properties
• Manufacturing facilities
• Warehouses
• Distribution centers
• Retail properties
• Hospitality facilities
• Senior-living communities
• Community centers
• Institutional campuses
• Mixed-use developments
• Property portfolios
We evaluate the interaction among the building envelope, mechanical systems, controls, lighting, occupancy, maintenance, utility costs, and financing.
Our approach is grounded in building science, diagnostics, energy analysis, and the recognized competencies associated with Building Performance Institute certification.
We begin by identifying the building’s needs rather than promoting a predetermined product.
Each measure is considered in relation to potential savings, available incentives, capital requirements, operational priorities, and long-term value.
UAM Power can help coordinate the project from assessment and engineering through funding, construction, commissioning, and verification.
Every building has different systems, operating conditions, occupancy patterns, budgets, and objectives. Recommendations are developed accordingly.
UAM Power’s goal is not simply to identify energy-saving equipment.
Our goal is to help clients make better decisions about their buildings.
We seek to deliver recommendations that can:
• Reduce operating costs
• Improve system reliability
• Increase occupant comfort
• Reduce maintenance demands
• Extend equipment life
• Support capital planning
• Improve indoor environmental quality
• Strengthen facility resilience
• Increase property value
• Produce measurable long-term savings
Whether you own one facility or manage an entire portfolio, UAM Power can help you understand current performance, identify priority improvements, and create a practical path toward lower operating costs and stronger building performance.
Contact the UAM Power Energy Solutions Division to schedule an initial consultation.
A word from Dr. Harvey Pinkney, Director, Energy Solutions Division
Many buildings consume more energy than necessary because of aging equipment, outdated controls, inadequate insulation, uncontrolled air leakage, inefficient lighting, deferred maintenance, or systems that no longer match the building’s use.
These conditions can lead to:
• Excessive utility expenses
• Frequent repairs
• Uneven temperatures
• Occupant complaints
• Poor indoor air quality
• Premature equipment failure
• Rising maintenance costs
• Reduced property value
• Difficulty meeting sustainability goals
• Unplanned capital expenditures
UAM Power helps owners replace reactive maintenance with a coordinated modernization strategy.
Our objective is not simply to install new equipment. It is to improve the performance of the entire facility.
A well-designed energy-efficiency project can reduce operating costs while also improving comfort, reliability, maintainability, indoor environmental quality, and long-term asset value.
Energy-consuming systems do not operate independently.
HVAC performance is affected by insulation, air leakage, ventilation, controls, occupancy, lighting, and operating schedules. Replacing one system without evaluating the others can increase project cost, create equipment-sizing problems, or leave major savings opportunities unaddressed.
UAM Power evaluates improvement measures as part of an integrated building strategy.
Our planning process may consider:
• Current equipment condition
• Remaining useful life
• Building envelope performance
• Heating and cooling loads
• Occupancy and operating schedules
• Utility-consumption patterns
• Indoor environmental conditions
• Maintenance history
• Capital budget
• Available incentives
• Financing options
• Future electrification
• Renewable-energy plans
• Resilience priorities
• Long-term facility use
This approach helps ensure that improvements are properly selected, appropriately sized, financially justified, and implemented in the correct sequence.
Potential improvements may include:
• High-efficiency HVAC systems
• Heat pumps
• Building automation controls
• Smart thermostats
• Attic insulation
• Wall insulation
• Air sealing
• Door weatherstripping
• Window improvements
• Roof improvements
• LED lighting
• Commercial lighting retrofits
• Water-heating improvements
• Ventilation upgrades
• Indoor air quality improvements
• Building-envelope improvements
• Mechanical-system optimization
These categories reflect the modernization measures identified in UAM Power’s website-development plan.
HVAC systems are among the largest energy users in many facilities and are frequently a major source of maintenance expense and occupant complaints.
UAM Power helps owners evaluate whether existing equipment should be repaired, optimized, recommissioned, partially replaced, or comprehensively modernized.
• High-efficiency rooftop units
• High-efficiency furnaces
• Condensing boilers
• High-efficiency chillers
• Air-source heat pumps
• Cold-climate heat pumps
• Water-source heat pumps
• Variable-refrigerant-flow systems
• Packaged terminal heat pumps
• Air-handling-unit upgrades
• Fan-coil replacements
• Cooling-tower improvements
• Pump replacements
• Fan replacements
• Variable-frequency drives
• Energy-recovery ventilation
• Demand-control ventilation
• Duct modifications
• Hydronic balancing
• Air balancing
• Controls optimization
• Equipment staging
• System recommissioning
• Equipment age
• Existing efficiency
• Actual operating performance
• Repair history
• Maintenance burden
• Remaining useful life
• Capacity and sizing
• Part-load performance
• Fuel source
• Electrification potential
• Ventilation requirements
• Indoor comfort
• Utility rates
• Incentive eligibility
• Life-cycle cost
The goal is to select systems that provide appropriate capacity, efficient operation, manageable maintenance, and long-term value.
Heat pumps can provide efficient heating and cooling while reducing or eliminating dependence on combustion-based equipment.
However, electrification should be based on careful analysis rather than treated as a universal equipment substitution.
UAM Power evaluates:
• Existing heating and cooling loads
• Building-envelope condition
• Electrical-service capacity
• Utility-rate structure
• Peak-demand implications
• Climate performance
• Backup-heating requirements
• Distribution-system compatibility
• Equipment location
• Ventilation needs
• Incentive availability
• Operating-cost projections
• Carbon-reduction objectives
• Air-source heat pumps
• Cold-climate heat pumps
• Water-source heat pumps
• Variable-refrigerant-flow systems
• Heat-pump water heaters
• Electric resistance backup
• Hybrid heating systems
• Electrical-service upgrades
• Building automation integration
• Load-management controls
Where appropriate, envelope improvements and control upgrades may be completed before equipment replacement to reduce heating and cooling loads and improve system sizing.
Controls determine when equipment operates, how systems respond to changing conditions, and whether multiple systems work together efficiently.
Outdated or improperly configured controls can cause unnecessary runtime, simultaneous heating and cooling, excessive ventilation, unstable temperatures, and avoidable demand charges.
• Building automation systems
• Energy-management systems
• Smart thermostats
• Programmable thermostats
• Occupancy-based control
• Zone control
• Equipment scheduling
• Temperature setback
• Holiday scheduling
• Demand-control ventilation
• Economizer control
• Static-pressure reset
• Supply-air temperature reset
• Hot-water temperature reset
• Chilled-water temperature reset
• Optimal start and stop
• Equipment staging
• Remote monitoring
• Fault detection
• Alarm management
• Trend logging
• Sensor replacement and calibration
• Reduced equipment runtime
• Lower energy consumption
• Improved comfort
• Better coordination among systems
• Faster identification of operating problems
• Reduced maintenance burden
• Improved reporting
• More effective facility management
Controls projects can often produce meaningful savings without requiring full equipment replacement.
Not every inefficient system requires immediate replacement.
Existing equipment may provide improved performance through targeted optimization, recommissioning, repair, balancing, or control modification.
• Airflow balancing
• Hydronic balancing
• Pump optimization
• Fan optimization
• Setpoint adjustment
• Scheduling corrections
• Sensor calibration
• Economizer repair
• Damper repair
• Valve repair
• Coil cleaning
• Filter optimization
• Duct sealing
• Pipe insulation
• Equipment sequencing
• Reduction of simultaneous heating and cooling
• Variable-frequency-drive installation
• Refrigeration optimization
• Preventive-maintenance improvements
This approach may help extend equipment life, reduce operating expense, and defer major replacement while maintaining acceptable performance.
Lighting retrofits can reduce energy consumption, maintenance expense, and cooling load while improving visibility, appearance, security, and occupant satisfaction.
• Interior LED fixtures
• Exterior LED fixtures
• Parking-lot lighting
• Warehouse lighting
• Office lighting
• Classroom lighting
• Retail lighting
• Common-area lighting
• Exit and emergency lighting
• Decorative lighting
• Task lighting
• High-bay and low-bay systems
• Retrofit lamps and kits
• Complete fixture replacement
• Occupancy sensors
• Vacancy sensors
• Daylight controls
• Dimming
• Scheduling
• Exterior photocells
• Networked lighting controls
• Zone-based control
• Demand-response integration
• Existing fixture type
• Light levels
• Color quality
• Glare
• Operating hours
• Maintenance frequency
• Safety requirements
• Emergency-lighting requirements
• Occupancy patterns
• Utility incentives
• Expected energy savings
Lighting modernization is frequently one of the most visible improvements to building occupants and can often be implemented with limited operational disruption.
The building envelope has a direct effect on heating and cooling demand, indoor comfort, moisture control, and equipment performance.
Improving the envelope can reduce energy loss and may allow replacement HVAC systems to be smaller and more efficient.
• Roof insulation
• Attic insulation
• Wall insulation
• Foundation insulation
• Crawlspace insulation
• Air sealing
• Door weatherstripping
• Window sealing
• Window replacement
• Glazing improvements
• Roof repairs
• Reflective roofing
• Air-barrier improvements
• Loading-dock sealing
• Vestibule improvements
• Penetration sealing
• Thermal-bridge mitigation
• Reduced heating and cooling loads
• Lower utility costs
• Improved comfort
• Reduced drafts
• Better humidity control
• Reduced moisture risk
• Improved HVAC performance
• Longer equipment life
• More consistent indoor temperatures
Building-envelope work should be coordinated with ventilation, combustion safety, moisture management, and HVAC design.
Uncontrolled air leakage can create major performance problems even when HVAC equipment is relatively efficient.
Air can enter through:
• Roof penetrations
• Wall penetrations
• Utility openings
• Window assemblies
• Door assemblies
• Loading docks
• Attic hatches
• Mechanical chases
• Plumbing penetrations
• Electrical penetrations
• Expansion joints
• Duct systems
• Diagnostic testing
• Leakage-path identification
• Targeted sealing
• Weatherstripping
• Caulking
• Foam sealing
• Gasket installation
• Duct sealing
• Pressure testing
• Post-installation verification
Air sealing must be performed with appropriate consideration for ventilation, indoor air quality, combustion appliances, pressure relationships, and moisture control.
Insulation reduces heat transfer through the building envelope and supports more stable indoor conditions.
UAM Power may evaluate opportunities involving:
• Attic insulation
• Roof insulation
• Wall insulation
• Dense-pack insulation
• Spray-applied insulation
• Rigid insulation
• Foundation insulation
• Pipe insulation
• Duct insulation
• Mechanical-room insulation
• Existing insulation level
• Assembly type
• Moisture condition
• Air leakage
• Fire and code requirements
• Accessibility
• Expected energy savings
• Interaction with HVAC systems
• Cost and disruption
• Incentive eligibility
Insulation should be selected and installed as part of a coordinated building-science strategy.
Windows and doors affect heat transfer, solar gain, air leakage, comfort, daylight, and building appearance.
Potential improvements may include:
• Window sealing
• Weatherstripping
• Caulking
• Replacement glazing
• Insulated glass
• Low-emissivity coatings
• Window-film applications
• Door sweeps
• Door replacement
• Vestibules
• Loading-dock seals
• Automatic-door controls
Full replacement is not always the most cost-effective solution. UAM Power evaluates repair, sealing, control, shading, and replacement options according to building needs and financial return.
Roof systems can influence energy use, moisture performance, equipment operation, and the feasibility of future solar installations.
Potential energy-related roof improvements may include:
• Increased roof insulation
• Air-barrier improvements
• Reflective roofing
• Cool-roof systems
• Targeted moisture repairs
• Roof replacement coordination
• Rooftop-equipment curb improvements
• Penetration sealing
• Solar-readiness planning
Roof work should be coordinated with mechanical-system projects and renewable-energy planning to avoid future rework.
Energy efficiency and indoor air quality must be considered together.
Reducing uncontrolled air leakage without addressing ventilation can create indoor environmental problems. Conversely, excessive ventilation can increase heating, cooling, and dehumidification costs.
• Outdoor-air control
• Demand-control ventilation
• Energy-recovery ventilation
• Heat-recovery ventilation
• Exhaust-system upgrades
• Makeup-air improvements
• Duct modifications
• Filtration upgrades
• Air-distribution improvements
• Building-pressure control
• Humidity management
• Carbon-dioxide monitoring
• Sensor calibration
• More consistent temperatures
• Improved humidity control
• Reduced odors
• Improved filtration
• Better air distribution
• Reduced drafts
• Appropriate outdoor-air delivery
• Improved occupant comfort
UAM Power seeks to improve efficiency without sacrificing healthy and appropriate indoor conditions.
Water heating can represent a significant energy expense in multifamily, healthcare, hospitality, educational, institutional, food-service, and recreational facilities.
• High-efficiency water heaters
• Heat-pump water heaters
• Condensing water heaters
• Boiler-water-heating integration
• Storage-temperature optimization
• Recirculation control
• Pipe insulation
• Low-flow fixtures
• Drain-water heat recovery
• Laundry-system improvements
• Kitchen-system improvements
• Leak reduction
• Solar water-heating evaluation
Project recommendations consider usage patterns, health and safety requirements, system capacity, recovery time, storage needs, utility rates, and maintenance.
Motors, pumps, and fans frequently operate for long hours and may consume substantial electricity.
Potential measures include:
• High-efficiency motors
• Variable-frequency drives
• Pump replacement
• Fan replacement
• Impeller adjustment
• Belt and drive optimization
• Pressure-reset strategies
• Flow-control improvements
• Equipment sequencing
• Runtime reduction
• Controls integration
Variable-frequency drives can deliver substantial savings where loads vary, but they should be applied only after reviewing system design, operating conditions, controls, and motor compatibility.
Reducing total energy consumption is important, but lowering peak demand can also create significant savings.
UAM Power may evaluate:
• Peak-load reduction
• Demand-control strategies
• Load scheduling
• Equipment sequencing
• Battery storage
• Demand-response participation
• Power-factor correction
• Transformer efficiency
• Motor loads
• EV-charging load management
• Electrical-service optimization
• Building automation integration
Demand-management strategies are especially relevant for facilities with high demand charges or large intermittent loads.
After efficiency opportunities have been evaluated, renewable energy can be sized more accurately and economically.
Potential renewable and distributed-energy solutions may include:
• Rooftop solar
• Ground-mounted solar
• Solar carports
• Battery energy storage
• Microgrids
• Demand-response integration
• Backup-power strategies
• Power Purchase Agreements
• Community-solar participation
Reducing building consumption before renewable-energy installation may decrease system size, lower capital cost, improve project economics, and increase the percentage of load served by renewable resources.
EV charging can create new electrical loads and may require careful coordination with building capacity, parking operations, utility rates, and future expansion.
UAM Power may assist with:
• Site evaluation
• Electrical-capacity review
• Charging-level selection
• Load calculation
• Load-management planning
• Utility coordination
• Incentive screening
• Parking-layout considerations
• Future expansion
• Solar and battery integration
• Construction coordination
• Commissioning
EV infrastructure should be planned as part of the facility’s broader electrical and energy strategy.
Many facilities cannot complete every improvement at one time.
UAM Power develops phased implementation strategies that may prioritize measures according to:
• Safety
• Equipment failure risk
• Energy savings
• Maintenance savings
• Occupant comfort
• Incentive deadlines
• Capital availability
• Regulatory requirements
• Remaining useful life
• Project interaction
• Operational disruption
• Return on investment
• Long-term modernization goals
Phase One: Low-Cost Operational Improvements
• Scheduling
• Setpoints
• Controls adjustments
• Maintenance corrections
• Lighting controls
• Air sealing
• Sensor calibration
Phase Two: Targeted Efficiency Improvements
• LED lighting
• Variable-frequency drives
• Insulation
• Weatherstripping
• Controls upgrades
• Ventilation improvements
Phase Three: Major Capital Modernization
• HVAC replacement
• Boiler or chiller replacement
• Heat-pump conversion
• Building automation
• Window or roof improvements
• Electrical-service upgrades
Phase Four: Renewable Energy and Resilience
• Solar
• Battery storage
• EV charging
• Microgrids
• Backup-power solutions
This sequencing helps avoid installing new equipment before reducing loads or correcting operational deficiencies.
Energy-efficiency projects may require coordination among:
• Mechanical engineers
• Electrical engineers
• Architects
• Building-science professionals
• Controls specialists
• Contractors
• Equipment manufacturers
• Utility representatives
• Inspectors
• Financing partners
• Facility staff
UAM Power can help coordinate the technical disciplines required to develop a complete and constructible project.
• Existing-condition review
• Scope development
• Basis-of-design documentation
• Equipment selection
• Load calculations
• System sizing
• Drawing review
• Specification review
• Utility requirements
• Incentive requirements
• Permit coordination
• Constructability review
• Value engineering
• Project sequencing
Energy upgrades can become more affordable when available incentives and financing are considered early.
UAM Power may evaluate opportunities involving:
• ComEd incentives
• Ameren Illinois incentives
• Federal tax incentives
• State programs
• Municipal programs
• Energy grants
• Commercial rebates
• Low-interest financing
• Commercial lending
• C-PACE
• Power Purchase Agreements
• Energy performance contracting
The website-development plan identifies incentives, grants, tax programs, utility programs, C-PACE, PPAs, and performance contracting as major components of UAM Power’s service model.
• Program screening
• Eligibility review
• Preliminary savings calculations
• Application support
• Documentation coordination
• Contractor qualification review
• Preapproval coordination
• Inspection scheduling
• Completion documentation
• Incentive verification
Incentive requirements should be reviewed before equipment is ordered or construction begins.
A successful project requires more than selecting efficient equipment.
It also requires qualified contractors, clear scopes of work, coordinated pricing, appropriate documentation, and effective construction management.
UAM Power may assist with:
• Scope-of-work development
• Contractor identification
• Bid solicitation
• Bid comparison
• Proposal review
• Equipment comparison
• Qualification review
• Schedule coordination
• Contract-document support
• Subcontractor coordination
• Manufacturer coordination
• Change-order review
• Progress monitoring
• Closeout documentation
The goal is to help the owner receive a complete project that meets performance, budget, and program requirements.
Energy savings depend on proper installation.
Even high-efficiency equipment may underperform when incorrectly sized, poorly controlled, inadequately sealed, improperly balanced, or installed without verification.
UAM Power may provide or coordinate:
• Preconstruction meetings
• Site observations
• Installation review
• Equipment verification
• Scope-compliance review
• Schedule monitoring
• Quality-control inspections
• Utility-program coordination
• Deficiency tracking
• Corrective-action follow-up
• Submittal review
• Closeout review
Commissioning verifies that installed systems are operating according to the project requirements and intended sequence.
• Equipment startup review
• Controls verification
• Sensor calibration
• Functional testing
• Operating-sequence testing
• Alarm verification
• Scheduling review
• Air and water balancing review
• Trend-data review
• Documentation review
• Training coordination
• Deficiency correction
Commissioning helps convert installed equipment into actual building performance.
UAM Power supports performance verification so that owners can determine whether completed improvements are producing expected results.
• Pre-project baseline review
• Post-project utility analysis
• Equipment performance checks
• Operating-hours verification
• Trend-data analysis
• Demand review
• Weather normalization
• Savings comparison
• Occupant feedback
• Corrective-action recommendations
Performance verification supports accountability, incentive compliance, operational improvement, and long-term energy management.
A coordinated energy-efficiency project may produce:
• Lower utility bills
• Reduced peak demand
• Improved occupant comfort
• More reliable equipment
• Fewer emergency repairs
• Reduced maintenance expense
• Longer equipment life
• Better indoor air quality
• Improved building appearance
• Stronger asset value
• Improved operational control
• Better sustainability performance
• Greater resilience
• More predictable capital planning
These outcomes align with the stated results in UAM Power’s improvement plan, including lower utility costs, more comfortable buildings, longer equipment life, reduced maintenance, improved indoor air quality, and greater property value.
UAM Power develops energy-efficiency and modernization strategies for:
• Commercial office buildings
• Multifamily properties
• Municipal facilities
• Government buildings
• Educational institutions
• Healthcare facilities
• Houses of worship
• Nonprofit facilities
• Industrial properties
• Manufacturing plants
• Warehouses
• Distribution centers
• Retail centers
• Hospitality properties
• Senior-living facilities
• Community centers
• Institutional campuses
• Mixed-use developments
• Property portfolios
We begin by understanding the facility and identifying the underlying causes of excessive energy use.
We evaluate equipment, controls, envelope, ventilation, lighting, operations, incentives, and financing together.
Recommendations are based on facility needs, financial value, and long-term performance rather than one predetermined product.
We consider project cost, energy savings, maintenance savings, incentives, financing, life-cycle value, and capital priorities.
UAM Power can support the project from assessment and planning through implementation, commissioning, and verification.
Projects are developed with consideration for occupancy, schedules, business continuity, safety, comfort, and operational disruption.
UAM Power is committed to helping building owners move from fragmented repairs and rising operating costs toward coordinated, high-performance facilities.
Our goal is to deliver solutions that are:
• Technically appropriate
• Financially responsible
• Properly coordinated
• Professionally implemented
• Measurable
• Maintainable
• Aligned with long-term organizational objectives
Whether your organization is replacing aging HVAC equipment, improving insulation, converting to LED lighting, upgrading controls, addressing comfort problems, or planning a comprehensive modernization program, UAM Power can help you develop and implement a practical path forward.
Contact the UAM Power Energy Solutions Division to discuss your facility’s energy-efficiency and modernization needs.
A word from Dr. Harvey Pinkney, Director, Energy Solutions Division
Many organizations know that their facilities need improvement but delay action because of cost.
Aging HVAC systems, inefficient lighting, poor insulation, outdated controls, deferred maintenance, and rising utility expenses can place growing pressure on operating budgets. Yet replacing these systems may require substantial capital that competes with other organizational priorities.
UAM Power helps bridge the gap between identified building needs and available financial resources.
We evaluate projects from both a technical and financial perspective to determine:
• Which improvements should be prioritized
• Which measures may qualify for incentives
• Which costs may be reduced through rebates or grants
• Which financing structures may preserve working capital
• Which projects may be implemented with limited upfront expenditure
• How future energy savings may support project repayment
• How improvements can be phased to match budget capacity
• Which documentation may be required before work begins
• How procurement and construction decisions may affect eligibility
• How funding sources can be combined without creating conflicts
The objective is to transform needed building improvements into financially practical, implementable projects.
Energy projects are most successful when technical design and financial structure are developed together.
Equipment selection, project scope, implementation timing, contractor qualifications, preapproval requirements, measurement procedures, and documentation standards may all affect incentive eligibility.
A project that is designed first and financed later may lose access to valuable rebates or require costly redesign.
UAM Power seeks to prevent that outcome by coordinating project development with available funding programs from the beginning.
Our planning process may consider:
• Existing building conditions
• Energy-consumption baseline
• Recommended conservation measures
• Estimated installation cost
• Expected annual energy savings
• Maintenance savings
• Equipment useful life
• Utility-program requirements
• Tax status
• Ownership structure
• Project schedule
• Procurement method
• Available capital
• Financing tolerance
• Organizational risk priorities
• Long-term property plans
This integrated approach allows owners to compare not only the cost of the project, but also the cost of delaying action.
UAM Power may assist with:
• Incentive-program screening
• Rebate identification
• Grant research
• Preliminary eligibility review
• Technical documentation
• Energy-savings calculations
• Application preparation
• Contractor qualification review
• Preapproval coordination
• Financing-source identification
• C-PACE project development
• Power Purchase Agreement coordination
• Commercial-lending support
• Incentive-compliance tracking
• Construction documentation
• Completion verification
• Post-installation reporting
• Measurement and verification coordination
The Energy Solutions Division’s service model specifically includes program qualification, application preparation, documentation, project approval, funding coordination, contractor coordination, project completion, and verification.
Utility incentive programs can substantially reduce the cost of qualifying energy-efficiency improvements.
Depending on the utility, building type, project scope, and available program year, incentives may be available for:
• High-efficiency HVAC equipment
• Heat pumps
• Building automation
• Variable-frequency drives
• LED lighting
• Lighting controls
• Insulation
• Air sealing
• Refrigeration improvements
• Domestic water heating
• Custom energy-efficiency measures
• New construction
• Major renovation
• Retrocommissioning
• Strategic energy management
• Demand reduction
• Electrification
• Multifamily improvements
UAM Power may evaluate opportunities through utility programs such as ComEd and Ameren Illinois, both of which are identified in the Energy Solutions Division improvement plan.
• Identifying applicable programs
• Reviewing equipment eligibility
• Estimating incentive value
• Confirming technical requirements
• Coordinating required preinspections
• Supporting application preparation
• Collecting equipment documentation
• Reviewing contractor qualifications
• Coordinating post-installation inspection
• Supporting final incentive submission
• Verifying completion requirements
Because many utility programs require approval before equipment is purchased or installed, incentive review should begin early.
For eligible facilities within ComEd service territory, UAM Power may evaluate available energy-efficiency opportunities and applicable program pathways.
Potential assistance may include:
• Preliminary project screening
• Measure eligibility review
• Energy-savings calculations
• Equipment documentation
• Trade-ally or contractor coordination
• Preapproval support
• Application documentation
• Site-inspection coordination
• Completion documentation
• Incentive verification
Program availability, requirements, incentive levels, and eligible measures may change over time. Each project must therefore be evaluated under the applicable program rules in effect at the time of application.
For eligible facilities within Ameren Illinois service territory, UAM Power may assist clients in evaluating energy-efficiency incentives and related project requirements.
Potential services may include:
• Opportunity assessment
• Program-pathway review
• Measure qualification
• Technical documentation
• Contractor coordination
• Savings estimates
• Application support
• Inspection coordination
• Completion reporting
• Incentive verification
As with all utility programs, project work should not begin until applicable preapproval and documentation requirements have been confirmed.
Prescriptive incentives provide predetermined incentive amounts for qualifying equipment or measures that meet defined program requirements.
Potential examples may include:
• LED fixtures
• Lighting controls
• High-efficiency rooftop units
• Heat pumps
• Variable-frequency drives
• Efficient motors
• Domestic water-heating equipment
• Refrigeration measures
• Commercial kitchen equipment
• Smart thermostats
• Building automation components
• Streamlined qualification
• Established incentive amounts
• Faster project screening
• Simpler documentation
• Predictable rebate structure
• Equipment must meet specific eligibility criteria
• Incentives may not cover complex systems
• Preapproval may still be required
• Program funds may be limited
• Deadlines may apply
UAM Power helps verify that proposed equipment and documentation align with applicable program requirements.
Custom incentives may be available for projects that do not fit standard prescriptive categories.
These projects often require more detailed engineering analysis and energy-savings calculations.
Potential custom measures may include:
• Complex HVAC upgrades
• Building automation strategies
• Chiller optimization
• Boiler optimization
• Industrial process improvements
• Energy recovery
• Controls integration
• Large-scale building-envelope projects
• Demand reduction
• Whole-building modernization
• Unique operational improvements
• Existing-condition documentation
• Baseline-energy analysis
• Proposed-system calculations
• Operating-hour assumptions
• Engineering methodology
• Equipment specifications
• Incremental-cost analysis
• Savings projections
• Measurement and verification
• Utility review
• Preinstallation inspection
• Post-installation verification
UAM Power can help coordinate the technical and administrative components required for review.
Federal, state, county, and municipal programs may support energy-efficiency, electrification, renewable-energy, resilience, and infrastructure improvements.
Potential opportunities may include:
• Federal tax incentives
• Inflation Reduction Act programs
• State energy programs
• Municipal sustainability programs
• Public-sector facility grants
• Workforce and community-development programs
• Low-income and environmental-justice initiatives
• Building-electrification programs
• Energy-resilience funding
• Clean-energy infrastructure programs
The improvement plan identifies federal tax incentives, IRA programs, municipal incentives, and energy grants among the funding categories the division may help clients evaluate.
Eligibility depends on factors such as:
• Building ownership
• Tax status
• Project type
• Geographic location
• Facility use
• Energy savings
• Community impact
• Income qualification
• Environmental-justice designation
• Matching-fund requirements
• Project readiness
• Application deadlines
Federal tax incentives may improve the economics of qualifying energy projects.
Depending on current law, ownership structure, tax position, project type, labor requirements, and other factors, potential opportunities may relate to:
• Energy-efficient commercial-building improvements
• Renewable-energy systems
• Battery storage
• Electric-vehicle charging
• Building electrification
• Energy-efficient new construction
• Qualified equipment installation
• Clean-energy investment
UAM Power may help clients identify when a project warrants review by qualified tax, legal, accounting, or financial professionals.
UAM Power does not replace professional tax or legal advice. Final eligibility, tax treatment, and filing decisions should be confirmed with the client’s qualified advisors.
Grants can reduce project costs without requiring repayment, but they are often highly competitive and documentation-intensive.
Potential grant-funded projects may include:
• Municipal-facility modernization
• Nonprofit-building improvements
• School energy projects
• Community facilities
• Resilience projects
• Electrification
• Renewable energy
• Environmental-justice initiatives
• Workforce-development-linked projects
• Public-health and indoor-air-quality improvements
• Rural or underserved-community projects
• Opportunity identification
• Eligibility screening
• Project narrative development
• Technical-scope preparation
• Energy-savings estimates
• Budget development
• Community-impact documentation
• Matching-fund analysis
• Partner coordination
• Schedule development
• Required certifications
• Application submission
• Progress reporting
• Completion documentation
• Short application windows
• Competitive scoring
• Detailed documentation
• Matching requirements
• Reimbursement-based payment
• Procurement restrictions
• Reporting obligations
• Construction deadlines
• Performance commitments
UAM Power can help clients determine whether a grant is appropriate before significant time is invested in an application.
Municipalities and public agencies often face unique budget, procurement, and approval requirements.
Energy projects may need to align with:
• Annual budgeting
• Capital-improvement plans
• Public bidding
• Board or council approval
• Grant cycles
• Bonding requirements
• Prevailing-wage rules
• Public reporting
• Energy benchmarking
• Sustainability commitments
• Community-benefit goals
Potential funding structures may include:
• Utility incentives
• Federal grants
• State grants
• Municipal bonds
• Capital budgets
• C-PACE where legally applicable
• Energy performance contracting
• Equipment financing
• Public-private partnerships
• Phased implementation
UAM Power helps organize technical and financial information so public decision-makers can evaluate project cost, savings, risk, and long-term value.
Nonprofit organizations and houses of worship often operate critical community facilities with limited capital reserves.
Their energy projects may involve:
• Aging HVAC systems
• High utility bills
• Deferred maintenance
• Insulation deficiencies
• Poor indoor comfort
• Lighting needs
• Indoor-air-quality concerns
• Limited borrowing capacity
• Restricted donations
• Grant dependency
Potential funding sources may include:
• Utility incentives
• Energy grants
• Foundation funding
• Low-interest loans
• C-PACE where applicable
• Commercial financing
• Equipment financing
• Donor-supported capital campaigns
• Community-development funding
• Public-benefit programs
• Direct-pay or elective-pay mechanisms where legally available
UAM Power helps nonprofit clients understand project priorities and organize improvements into a practical, financeable strategy.
Traditional commercial financing may be appropriate when an owner prefers to maintain liquidity, spread project cost over time, or coordinate improvements with broader capital plans.
Potential lending structures may include:
• Term loans
• Equipment financing
• Lines of credit
• Construction loans
• Bridge financing
• Small-business lending
• Bank energy-efficiency loans
• Portfolio financing
• Lease financing
• Loan amount
• Interest rate
• Term
• Collateral
• Borrower credit
• Property value
• Existing debt
• Projected savings
• Debt-service coverage
• Cash-flow effect
• Prepayment conditions
• Equipment ownership
• Construction draw procedures
UAM Power may assist by organizing technical scope, cost estimates, projected savings, project schedules, and contractor information for lender review.
Some programs offer below-market or specially structured financing for qualifying energy projects.
Potential benefits may include:
• Reduced interest expense
• Longer repayment terms
• Lower monthly payments
• Deferred payment periods
• Flexible underwriting
• Financing aligned with expected savings
• Support for underserved markets
• Reduced upfront expenditure
Program requirements vary. UAM Power may help clients compare available options and determine whether the financing supports the project’s long-term economics.
Commercial Property Assessed Clean Energy, commonly known as C-PACE, is a financing structure that may allow qualifying commercial-property owners to fund eligible energy, water, renewable-energy, and resilience improvements through a property-based assessment.
C-PACE can be especially useful for larger capital projects requiring long repayment terms.
• HVAC modernization
• Boilers
• Chillers
• Heat pumps
• Building automation
• Lighting
• Insulation
• Roofing
• Windows
• Solar systems
• Battery storage
• Water conservation
• Resilience improvements
• New-construction efficiency measures
• Long-term financing
• Reduced upfront capital requirement
• Repayment tied to the property
• Potential alignment of annual payments with energy savings
• Financing for comprehensive projects
• Potential transfer upon sale, subject to applicable requirements
• Preservation of traditional credit capacity
• Support for major deferred-capital improvements
• Property eligibility
• Program availability
• Mortgage-lender consent
• Property value
• Project cost
• Savings-to-investment relationship
• Assessment term
• Interest rate
• Closing costs
• Engineering review
• Contractor requirements
• Legal documentation
• Construction draws
• Post-installation verification
UAM Power can help coordinate technical project development, preliminary financial analysis, contractor scope, energy-savings documentation, and communication with financing partners.
C-PACE is identified in the Energy Solutions Division plan as a principal project-financing option.
A Power Purchase Agreement, or PPA, can allow a property owner or organization to receive electricity from an on-site energy system without purchasing the system outright.
Under a typical PPA structure, a third-party provider may finance, own, operate, and maintain the energy system, while the customer purchases the electricity produced under a long-term agreement.
• Rooftop solar
• Ground-mounted solar
• Solar carports
• Combined solar and battery systems
• Portfolio installations
• Municipal or nonprofit facilities
• Commercial properties
• Educational campuses
• Healthcare facilities
• Limited upfront capital requirement
• Predictable energy pricing
• Third-party system ownership
• Long-term energy-cost planning
• Reduced maintenance responsibility
• Access to available tax benefits through the system owner
• Potential savings compared with utility electricity
• Renewable-energy adoption without direct asset purchase
• Contract term
• Energy rate
• Escalator
• Expected production
• Roof condition
• Site control
• Creditworthiness
• Interconnection
• Utility rules
• Buyout options
• End-of-term provisions
• Property sale
• Insurance
• Maintenance responsibilities
• Performance guarantees
UAM Power may help clients evaluate whether a PPA is appropriate and coordinate the technical, financial, and contractual parties involved. PPAs are expressly included in the division’s identified financing options.
Energy performance contracting is a project-delivery and financing approach in which energy improvements may be funded in whole or in part through projected operational savings.
A performance contract may combine:
• Energy audits
• Engineering
• Equipment installation
• Financing
• Savings projections
• Measurement and verification
• Performance guarantees
• Long-term service
• Municipal buildings
• Schools
• Healthcare facilities
• Public campuses
• Institutional portfolios
• Large commercial properties
• Facilities with substantial deferred maintenance
• Baseline methodology
• Guaranteed savings
• Contract term
• Financing rate
• Measurement method
• Owner responsibilities
• Maintenance requirements
• Equipment ownership
• Change-of-use provisions
• Reconciliation procedures
• Long-term service obligations
Energy performance contracting can be valuable, but contracts should be carefully evaluated to ensure that savings assumptions, risk allocation, fees, and long-term obligations are clearly understood.
Equipment financing may be appropriate for discrete improvements such as:
• HVAC replacement
• Boilers
• Chillers
• Lighting
• Controls
• Heat pumps
• Pumps
• Motors
• Battery systems
• EV charging
Potential structures may include:
• Equipment loans
• Finance leases
• Operating leases
• Capital leases
• Lease-purchase agreements
• Vendor financing
Evaluation should consider:
• Ownership
• Depreciation
• Tax treatment
• Maintenance
• term
• interest cost
• early payoff
• residual value
• equipment replacement
• balance-sheet treatment
Final accounting and tax implications should be reviewed by qualified professionals.
Large projects may require more than one funding source.
A blended strategy may combine:
• Utility incentives
• Grants
• Tax benefits
• Owner equity
• Commercial lending
• C-PACE
• Equipment financing
• PPA financing
• Capital-budget funds
• Donor funding
• Public financing
For example, a comprehensive project might use:
• Utility incentives for lighting and controls
• A grant for building-envelope improvements
• C-PACE for HVAC modernization
• A PPA for solar generation
• Owner capital for noneligible maintenance items
UAM Power helps organize the project so that each cost is assigned to an appropriate funding source and all requirements remain coordinated.
Each potential project should be evaluated for both technical value and financial performance.
• Installed project cost
• Incentive value
• Grant contribution
• Tax benefit
• Net project cost
• Annual energy savings
• Demand savings
• Maintenance savings
• Water savings
• Replacement-cost avoidance
• Financing cost
• Annual debt service
• Net annual cash flow
• Simple payback
• Return on investment
• Net present value
• Internal rate of return
• Savings-to-investment ratio
• Life-cycle cost
• Residual value
• Sensitivity analysis
Financial analysis helps clients compare competing measures and understand how assumptions affect project viability.
Simple payback estimates how long it may take for annual savings to recover the initial project cost.
While useful as a screening tool, simple payback does not account for:
• Financing
• Inflation
• Utility-rate escalation
• Maintenance savings
• Equipment life
• Residual value
• Tax effects
• Time value of money
UAM Power uses simple payback as one indicator, not the sole basis for investment decisions.
Return on investment compares expected financial benefit with project cost.
ROI analysis may incorporate:
• Energy savings
• Maintenance savings
• Incentives
• Tax benefits
• Financing cost
• Avoided replacement cost
• Operational value
• Equipment life
Different organizations may define ROI differently, so assumptions should be clearly documented.
Net present value evaluates future costs and savings in today’s dollars.
NPV can help compare projects with different:
• Costs
• Savings
• Useful lives
• Financing structures
• Replacement schedules
• Maintenance requirements
A project with a positive NPV may create value over the selected analysis period, subject to the assumptions used.
Internal rate of return estimates the discount rate at which projected benefits and costs are equal.
IRR may help compare energy projects with other potential capital investments.
It should be evaluated alongside:
• Project risk
• Equipment life
• financing terms
• operational priorities
• alternative uses of capital
• nonfinancial benefits
Life-cycle analysis evaluates the total cost of owning and operating a system over time.
It may include:
• Purchase cost
• Installation cost
• Financing cost
• Energy use
• Maintenance
• Repair
• Replacement
• Residual value
• Disposal
• Incentives
• Escalation
• Discount rate
A lower-cost piece of equipment may be more expensive over its useful life if it consumes more energy, requires more maintenance, or fails sooner.
For many owners, the key question is not only whether a project saves money over time, but whether it improves annual cash flow.
Cash-flow analysis may compare:
• Annual financing payment
• Annual energy savings
• Annual maintenance savings
• Incentive timing
• Grant reimbursement timing
• Tax benefits
• Operating-cost reduction
• Net annual benefit
A project may be designed so that annual savings offset some or all of its financing cost, although actual results depend on project performance and financing terms.
Delaying an energy project can also have a financial cost.
Potential consequences include:
• Continued utility waste
• Emergency equipment failure
• Expensive temporary repairs
• Loss of available incentives
• Higher future construction cost
• Increased maintenance
• Occupant dissatisfaction
• Reduced property competitiveness
• Unplanned downtime
• Missed grant deadlines
• Escalating financing costs
UAM Power can help quantify the difference between acting now and postponing a needed improvement.
Not every project must be completed immediately.
UAM Power helps clients incorporate energy improvements into a multiyear capital plan.
• Equipment condition
• Remaining useful life
• Failure risk
• Energy savings
• Maintenance cost
• Incentive availability
• Grant deadlines
• Budget cycle
• Procurement timing
• Operational disruption
• Project interdependence
• Construction season
• Organizational priorities
A phased approach can help owners complete high-priority measures first while preparing for future modernization.
Before recommending a financing structure, UAM Power evaluates whether the project is sufficiently developed.
Qualification may include:
• Property and ownership review
• Facility-use review
• Utility-bill analysis
• Preliminary scope
• Cost estimate
• Savings estimate
• Equipment condition
• Contractor availability
• Incentive eligibility
• Financing suitability
• Schedule feasibility
• Organizational approval process
The goal is to determine whether the project is ready to advance and what information remains outstanding.
Funding applications often require detailed and consistent documentation.
UAM Power may assist with:
• Project description
• Existing-condition documentation
• Proposed-scope description
• Equipment specifications
• Estimated energy savings
• Cost estimates
• Contractor proposals
• Implementation schedule
• Ownership information
• Tax-status information
• Utility account data
• Environmental or community benefits
• Supporting photographs
• Certifications
• Required signatures
Incomplete or inconsistent applications can delay approval, reduce funding, or create compliance problems later.
A funded project may generate extensive documentation before, during, and after construction.
Potential documents include:
• Utility bills
• Application forms
• Equipment specifications
• Contractor bids
• Purchase orders
• Invoices
• Tax forms
• Engineering calculations
• Inspection reports
• Permits
• Proof of payment
• Installation photographs
• Commissioning records
• Warranty documents
• Completion certificates
• Measurement and verification reports
UAM Power helps organize documentation to support funding approval, project completion, and final reimbursement.
Many incentives and grants require approval before:
• Equipment is ordered
• Contracts are signed
• Construction begins
• Existing equipment is removed
• Project costs are incurred
Beginning work too early can jeopardize eligibility.
UAM Power helps clients establish an implementation sequence that respects program requirements and minimizes avoidable risk.
Financing and incentive programs may impose requirements on contractors, equipment, documentation, labor, procurement, or installation practices.
UAM Power may coordinate:
• Contractor qualification
• Trade-ally requirements
• Insurance
• Licensing
• Certifications
• Equipment eligibility
• Scope alignment
• Labor requirements
• Prevailing wage
• Buy America or domestic-content requirements where applicable
• Bid documentation
• Construction schedule
• Closeout requirements
Contractor selection should consider not only price, but also the ability to satisfy all technical and funding obligations.
Project approval may involve multiple parties, including:
• Building ownership
• Executive leadership
• Boards
• Municipal councils
• Utility program administrators
• Lenders
• C-PACE administrators
• Mortgage holders
• Grant agencies
• Tax advisors
• Attorneys
• Contractors
• Engineers
UAM Power helps organize the technical and financial information needed for informed review.
Once a project is approved, funding must be coordinated with design, procurement, construction, inspection, and payment.
Potential coordination activities include:
• Closing schedules
• Financing conditions
• Grant agreements
• Incentive reservations
• Construction draws
• Owner contributions
• Reimbursement timing
• Contractor invoicing
• Change-order approval
• Completion deadlines
• Final disbursement
• Reporting requirements
Poor coordination can create cash-flow problems even when a project is fully funded.
Funding requirements continue after approval.
During construction, UAM Power may help track:
• Approved equipment
• Scope changes
• Installation dates
• Labor documentation
• Invoices
• Photographs
• Inspection records
• Change orders
• Draw requests
• Milestones
• Program deadlines
• Commissioning
• Deficiency correction
Any proposed change should be reviewed before implementation to determine whether it affects incentive or financing eligibility.
Funding is often contingent upon successful project completion.
Closeout may require:
• Final inspection
• Equipment verification
• Paid invoices
• Proof of installation
• Commissioning records
• Contractor certifications
• Warranty documentation
• Photographs
• Utility verification
• Final application forms
• Savings documentation
• Measurement and verification
UAM Power’s improvement plan identifies project completion and verification as integral elements of the division’s funding and project-support services.
Measurement and verification may be required to confirm project performance or satisfy program obligations.
Potential methods include:
• Utility-bill comparison
• Equipment-level metering
• Runtime monitoring
• Control-system trend data
• Engineering calculations
• Weather normalization
• Baseline adjustment
• Demand analysis
• Post-installation inspection
• Savings reconciliation
The appropriate method depends on project size, risk, funding source, and contractual requirements.
Every funding structure carries risks that should be understood before commitment.
Potential risks include:
• Incentive reduction
• Grant nonaward
• Delayed reimbursement
• Interest-rate changes
• Cost escalation
• Construction delay
• Savings underperformance
• Equipment failure
• Contract restrictions
• Prepayment penalties
• Property-sale complications
• Tax-law changes
• Program expiration
• Compliance failure
UAM Power helps identify these risks so clients can make informed decisions and establish appropriate contingencies.
Certain financing and incentive decisions require specialized advice.
Clients may need to consult:
• Attorneys
• Accountants
• Tax professionals
• Financial advisors
• Lenders
• Bond counsel
• Municipal advisors
• Insurance professionals
• Engineers
• Procurement specialists
UAM Power coordinates project information but does not replace professional legal, tax, accounting, or investment advice.
Our incentive and financing services support:
• Commercial office buildings
• Multifamily properties
• Municipal facilities
• Government buildings
• Schools and universities
• Healthcare facilities
• Houses of worship
• Nonprofit organizations
• Industrial facilities
• Manufacturing plants
• Warehouses
• Retail centers
• Hospitality properties
• Senior-living communities
• Community centers
• Mixed-use developments
• Property portfolios
• Institutional campuses
We connect project engineering with incentive requirements, financing options, and implementation strategy.
We help clients understand complex application processes, documentation obligations, timelines, and approval requirements.
We evaluate not only individual incentives, but the overall capital structure and long-term project value.
Funding is matched to the client’s facility needs rather than used to justify a predetermined product.
UAM Power can remain involved from assessment and funding strategy through contractor coordination, construction, commissioning, and verification.
Our objective is not merely to identify programs. It is to help clients move qualified projects toward successful completion.
UAM Power is committed to helping organizations overcome the financial barriers that often delay necessary building improvements.
Our goal is to develop projects that are:
• Technically sound
• Financially practical
• Properly documented
• Program compliant
• Professionally implemented
• Measurable
• Aligned with long-term organizational priorities
Whether your organization is pursuing utility incentives, grants, tax benefits, commercial financing, C-PACE, a Power Purchase Agreement, or a blended capital solution, UAM Power can help organize the technical and financial path forward.
Contact the UAM Power Energy Solutions Division to discuss available incentives, funding options, and project-financing strategies for your facility.
A word from Dr. Harvey Pinkney, Director, Energy Solutions Division
Energy efficiency is not only an equipment or sustainability decision. For income-producing real estate, reducing recurring operating expenses can improve Net Operating Income and may increase the value of the property.
UAM Power helps building owners evaluate energy projects from both a building-performance and real-estate-investment perspective. By identifying avoidable utility expenses, maintenance costs, and operating inefficiencies, we help owners understand how carefully selected improvements may strengthen annual cash flow and contribute to long-term asset value.
Net Operating Income, commonly called NOI, is a measure of the income generated by a property after normal operating expenses are deducted from the property’s operating revenue.
The basic formula is:
Net Operating Income = Effective Gross Operating Income − Operating Expenses
For a commercial or multifamily property, operating income may include:
• Rental income
• Parking income
• Laundry income
• Storage income
• Service fees
• Common-area reimbursements
• Other recurring property income
Operating expenses may include:
• Electricity
• Natural gas
• Water and sewer
• Property management
• Repairs and maintenance
• Cleaning
• Landscaping
• Insurance
• Property taxes
• Security
• Waste removal
• Common-area services
• Other ordinary property-operating costs
NOI generally does not include mortgage payments, income taxes, depreciation, or major capital expenditures. Those items are normally evaluated separately in property and investment analysis.
NOI is important because it shows how effectively a property produces operating income before financing and ownership-specific expenses are considered.
Owners, investors, lenders, appraisers, and prospective purchasers may use NOI to evaluate:
• Property performance
• Cash-flow strength
• Operating efficiency
• Debt-service capacity
• Investment return
• Financing eligibility
• Purchase price
• Sale value
• Portfolio performance
• Capital-improvement decisions
An increase in NOI can strengthen the financial position of a property even when rental income remains unchanged.
This is where building-performance improvements can create value.
When a facility permanently reduces utility or maintenance expenses, a greater portion of its existing revenue may remain as operating income.
Utility expenses are recurring operating expenses.
When electricity, natural gas, water, or maintenance costs are reduced, those savings may flow directly into NOI, assuming the savings are not offset by new recurring expenses.
For example:
• Annual utility expenses before improvements: $180,000
• Annual utility expenses after improvements: $140,000
• Annual reduction in utility expenses: $40,000
If all other income and expenses remain unchanged, the property’s NOI may increase by approximately $40,000 per year.
That improvement is not a one-time benefit. It may continue annually for as long as the savings are maintained.
Income-producing commercial properties are often evaluated using a capitalization rate, commonly called a cap rate.
A simplified income-valuation formula is:
Property Value = Net Operating Income ÷ Capitalization Rate
The capitalization rate represents the relationship between a property’s annual NOI and its market value.
For example, if a property produces $500,000 in annual NOI and comparable properties are valued at an 8% cap rate:
$500,000 ÷ 0.08 = $6,250,000
This does not mean that every property will sell for exactly that amount. Actual value depends on market conditions, location, property condition, lease quality, tenant credit, financing, occupancy, future capital needs, and many other factors.
However, the formula illustrates why recurring operating-cost reductions can have an effect beyond the annual savings alone.
The following example uses hypothetical figures for illustration.
• Property type: Commercial office building
• Building size: 100,000 square feet
• Annual effective operating income: $2,000,000
• Annual operating expenses before improvements: $1,400,000
• Existing NOI: $600,000
• Assumed market capitalization rate: 8%
$600,000 ÷ 0.08 = $7,500,000
Under this simplified example, the indicated value of the property is approximately:
$7.5 million
After completing a building energy assessment, assume UAM Power identifies the following opportunities:
• HVAC optimization
• Building automation upgrades
• LED lighting
• Lighting controls
• Air sealing
• Insulation improvements
• Reduced peak electrical demand
• Preventive-maintenance improvements
• Electricity savings: $45,000
• Natural-gas savings: $18,000
• Water savings: $5,000
• Maintenance savings: $12,000
The property’s effective income remains:
$2,000,000
Operating expenses decrease from:
$1,400,000
to:
$1,320,000
The revised NOI becomes:
$2,000,000 − $1,320,000 = $680,000
$680,000 − $600,000 = $80,000
The energy and maintenance improvements increased the property’s annual NOI by approximately:
$80,000
Using the same assumed capitalization rate of 8%:
$680,000 ÷ 0.08 = $8,500,000
• Estimated value before improvements: $7,500,000
• Estimated value after improvements: $8,500,000
• Illustrative increase in value: $1,000,000
In this simplified example, an $80,000 increase in annual NOI corresponds to an indicated property-value increase of approximately $1 million at an 8% capitalization rate.
This relationship can also be shown directly:
$80,000 ÷ 0.08 = $1,000,000
The effect of increased NOI depends on the cap rate applied to the property.
Using the same $80,000 annual NOI increase:
Capitalization Rate Illustrative Increase in Value
10% $800,000
9% $888,889
8% $1,000,000
7% $1,142,857
6% $1,333,333
A lower capitalization rate produces a higher indicated value for the same amount of NOI.
Cap rates vary by:
• Property type
• Geographic market
• Property condition
• Tenant quality
• Lease terms
• Occupancy
• Interest rates
• Market risk
• Investor demand
• Expected future growth
UAM Power does not determine the market capitalization rate or provide a formal real-estate appraisal. Owners should consult qualified appraisers, brokers, lenders, or investment professionals when evaluating market value.
Building owners sometimes evaluate an energy project only by asking:
How many years will it take the utility savings to repay the project cost?
That question is important, but it may not capture the full financial effect.
An energy project may create value through several channels:
• Lower annual utility expenses
• Reduced maintenance expense
• Improved NOI
• Potential property-value increase
• Reduced equipment-failure risk
• Improved tenant comfort
• Better tenant retention
• Increased leasing competitiveness
• Reduced vacancy exposure
• Extended equipment life
• Greater operating predictability
• Improved access to financing
• Stronger sustainability performance
For an owner planning to hold, refinance, or sell a property, the effect on NOI may be as important as the direct energy savings.
Assume the sample project has the following financial structure:
• Gross project cost: $600,000
• Utility incentives and rebates: $100,000
• Net project cost: $500,000
• Estimated annual operating savings: $80,000
$500,000 ÷ $80,000 = 6.25 years
The estimated simple payback is approximately:
6.25 years
However, the owner is also receiving:
• Approximately $80,000 in increased annual NOI
• An illustrative $1 million increase in income-based property value at an 8% cap rate
• New or improved equipment
• Lower maintenance exposure
• Improved reliability
• Better occupant comfort
• Potential protection from future utility-price increases
This demonstrates why a comprehensive investment analysis should consider more than simple payback.
The effect of energy savings on NOI may depend on who pays the utility bills.
When the owner directly pays utilities, verified savings may directly reduce operating expenses and increase NOI.
Examples may include:
• Common-area electricity
• Central heating and cooling
• Exterior lighting
• Owner-paid water
• Building automation
• Central domestic water heating
• Parking-facility energy use
When tenants pay their own utility expenses, savings may not flow directly into the owner’s NOI in the same manner.
However, efficient buildings may still provide value through:
• Improved tenant satisfaction
• Lower total occupancy cost
• Greater lease competitiveness
• Reduced tenant turnover
• Improved comfort
• Better environmental performance
• Reduced complaints
• Improved market positioning
Lease structure and expense-recovery provisions should be reviewed when evaluating the financial effect of a project.
In some commercial properties, certain operating expenses are passed through to tenants as common-area maintenance charges or operating-expense reimbursements.
Energy improvements may affect:
• Owner-paid expenses
• Tenant reimbursements
• Base-year calculations
• Expense stops
• Gross leases
• Net leases
• Common-area charges
• Capital-cost recovery
• Lease negotiations
The financial benefit should therefore be evaluated in the context of the property’s actual lease agreements.
Owners may need legal, accounting, or property-management guidance to determine how project costs and savings should be allocated.
Building value is influenced not only by expenses, but also by revenue stability.
Buildings that are uncomfortable, unreliable, or expensive to occupy may experience:
• Tenant dissatisfaction
• Higher turnover
• Lease-renewal resistance
• Rent concessions
• Complaints
• Reduced occupancy
• Reputational concerns
Energy and building-performance improvements may support:
• More consistent temperatures
• Better indoor air quality
• Fewer system failures
• Improved lighting
• Reduced noise
• Better controls
• Lower tenant utility costs
• Stronger sustainability credentials
These improvements may help protect occupancy and income, although specific leasing results cannot be guaranteed.
A building with aging systems may appear profitable until major equipment begins to fail.
Deferred maintenance can create:
• Emergency repair costs
• Unplanned shutdowns
• Tenant disruption
• Insurance concerns
• Code issues
• Financing obstacles
• Reduced buyer confidence
• Increased sale concessions
• Lower appraisal adjustments
• Large near-term capital requirements
A planned modernization program can help replace unpredictable failures with coordinated capital investment.
This may make the property more attractive to:
• Buyers
• Lenders
• Investors
• Tenants
• Appraisers
• Insurance providers
• Institutional partners
UAM Power helps building owners connect energy opportunities with long-term capital planning.
A coordinated plan may identify:
• Measures that should be completed immediately
• Equipment approaching the end of useful life
• Improvements that qualify for incentives
• Projects that should be combined
• Work that should precede HVAC replacement
• Measures that can be phased
• Projects suitable for financing
• Improvements that may increase NOI
• Projects requiring measurement and verification
• Long-term renewable-energy opportunities
This approach helps owners avoid replacing equipment without addressing the building conditions that caused poor performance.
Property owners commonly seek to increase income by:
• Raising rents
• Adding fees
• Increasing occupancy
• Creating additional leasable space
• Improving tenant quality
Energy efficiency offers another potential strategy:
Increase the amount of existing revenue retained by reducing avoidable operating expenses.
This can be especially important when:
• Rent increases are limited
• The market is highly competitive
• Occupancy is already high
• Tenant affordability is a concern
• Government approval affects rents
• The property has long-term leases
• The organization is a nonprofit or public institution
Reducing waste may improve financial performance without increasing the burden on tenants or occupants.
Municipalities and nonprofits do not typically evaluate their buildings in exactly the same manner as private income-producing real estate.
However, the basic principle remains relevant:
Lower operating expenses free money for mission, services, staffing, maintenance, and capital priorities.
For a municipality, lower energy costs may allow more funding for:
• Public safety
• Community services
• Infrastructure
• Parks
• Libraries
• Public health
• Staff
• Capital improvements
For a nonprofit or faith-based organization, savings may support:
• Programs
• Outreach
• Staffing
• Facility maintenance
• Community services
• Ministry
• Education
• Client assistance
Although these facilities may not be valued solely by capitalization rate, operating-cost reduction can still strengthen long-term financial sustainability.
Projected savings do not automatically become actual savings.
To support sustained NOI improvement, UAM Power may help establish a process for measuring and verifying performance after installation.
This may include:
• Pre-project utility baseline
• Post-project utility analysis
• Weather normalization
• Equipment-performance checks
• Controls trend review
• Runtime verification
• Demand analysis
• Maintenance tracking
• Occupant feedback
• Corrective-action recommendations
Verification helps determine whether the project is delivering the expected operational and financial results.
Energy savings can erode over time when:
• Schedules are overridden
• Sensors fail
• Setpoints are changed
• Equipment operates unnecessarily
• Maintenance declines
• Tenant use changes
• New loads are added
• Controls are disabled
• Building occupancy changes
Ongoing energy management may include:
• Utility monitoring
• Benchmarking
• Controls review
• Seasonal optimization
• Preventive maintenance
• Staff training
• Periodic recommissioning
• Performance reporting
The objective is to preserve the savings that support improved NOI.
UAM Power evaluates energy projects through the relationship among:
1. Building performance
2. Operating-cost reduction
3. Financial return
4. Incentives and financing
5. Net Operating Income
6. Long-term asset value
Our process may include:
• Building energy assessment
• Utility-bill analysis
• Energy conservation measures
• Cost and savings estimates
• Incentive screening
• Financing analysis
• NOI-impact estimate
• Capitalization-rate sensitivity
• Project prioritization
• Implementation support
• Commissioning
• Measurement and verification
This approach supports the division’s broader objective of reducing operating costs, improving building performance, and increasing property value.
The examples on this page are illustrative and are not a formal appraisal, guarantee of savings, investment recommendation, tax opinion, or assurance of future property value.
Actual financial results depend on:
• Building condition
• Utility rates
• Installed cost
• Equipment performance
• Occupancy
• Lease structure
• Maintenance
• Financing terms
• Incentives
• Market capitalization rates
• Property location
• Investor demand
• Economic conditions
Property owners should consult qualified engineering, appraisal, legal, tax, lending, and financial professionals before making major investment decisions.
UAM Power helps building owners identify how energy waste, maintenance expense, equipment condition, incentives, and modernization opportunities may affect annual cash flow and long-term asset value.
Contact the UAM Power Energy Solutions Division to discuss how a building-performance strategy may improve your property’s operating results.
A word from Dr. Harvey Pinkney, Director, Energy Solutions Division
UAM Power provides comprehensive energy project management for commercial, multifamily, municipal, educational, healthcare, industrial, institutional, and nonprofit facilities.
Our Energy Solutions Division serves as a single point of coordination across the technical, financial, construction, utility, and administrative components of complex building improvement projects.
From initial planning and scope development through contractor coordination, installation oversight, commissioning, closeout, and performance verification, UAM Power helps owners move projects forward with greater clarity, accountability, and control.
Large energy projects often involve many independent parties:
• Building owners
• Facility managers
• Engineers
• Architects
• Contractors
• Subcontractors
• Equipment manufacturers
• Utility program administrators
• Lenders
• Grant agencies
• Municipal officials
• Inspectors
• Commissioning professionals
• Property managers
• Legal and financial advisors
Without disciplined coordination, even technically sound projects can become delayed, fragmented, expensive, or difficult to complete.
UAM Power helps organize these moving parts into a coordinated project-delivery process.
Our role is to help ensure that:
• The project scope is clearly defined
• Technical responsibilities are assigned
• Incentive and financing requirements are incorporated
• Contractors are properly coordinated
• Construction proceeds according to plan
• Documentation is complete
• Systems are commissioned
• Deficiencies are corrected
• Savings and performance are verified
• The owner receives a complete, functional project
Energy project management differs from ordinary construction administration.
A successful energy project must do more than install equipment. It must produce measurable improvements in building performance, utility consumption, reliability, comfort, maintenance, and financial outcomes.
That requires coordination among:
• Existing building conditions
• Engineering assumptions
• Energy-savings calculations
• Equipment selection
• Construction methods
• Control sequences
• Incentive requirements
• Financing conditions
• Utility approval
• Occupant needs
• Commissioning procedures
• Measurement and verification
UAM Power manages projects with these performance objectives in mind from the beginning.
Our services may include:
• Project planning
• Engineering coordination
• Scope development
• Contractor selection
• Procurement support
• Construction oversight
• Quality assurance
• Permit coordination
• Utility coordination
• Incentive coordination
• Financing coordination
• Schedule management
• Budget monitoring
• Commissioning
• Final inspection
• Performance verification
• Warranty coordination
• Ongoing support
These services align directly with the complete project-management model outlined in the Energy Solutions Division plan.
Every successful project begins with a clear definition of need.
UAM Power helps owners establish:
• Project objectives
• Facility priorities
• Existing problems
• Desired outcomes
• Budget limitations
• Schedule requirements
• Occupancy constraints
• Procurement requirements
• Incentive opportunities
• Financing considerations
• Decision-making authority
• Communication protocols
• What problem is the project intended to solve?
• Is the need operational, financial, technical, regulatory, or all four?
• Which systems are affected?
• What is the cost of doing nothing?
• Which improvements are urgent?
• Which improvements can be phased?
• What approvals are required?
• What funding sources are available?
• What level of engineering is needed?
• How will performance be measured?
These questions help prevent scope confusion later.
Before planning improvements, the project team must understand the current facility.
UAM Power may review:
• Building drawings
• Utility bills
• Equipment schedules
• Maintenance records
• Prior energy audits
• Existing controls
• Equipment condition
• Occupancy patterns
• Operating schedules
• Known deficiencies
• Previous repairs
• Deferred maintenance
• Code or inspection concerns
• Capital plans
• Planned renovations
Where documentation is incomplete, UAM Power helps organize field investigation and data collection.
Project planning establishes the overall path from concept to completion.
• Defining project goals
• Establishing preliminary scope
• Identifying stakeholders
• Determining required technical disciplines
• Reviewing budget and schedule
• Evaluating implementation options
• Identifying incentive and financing pathways
• Establishing approval milestones
• Determining procurement method
• Developing communication procedures
• Preparing a project roadmap
• Identifying critical risks
The project plan becomes the framework used to coordinate engineering, procurement, construction, and closeout.
A clear scope of work is one of the most important tools in project management.
Incomplete or ambiguous scopes can lead to:
• Missing work
• Conflicting contractor assumptions
• Change orders
• Schedule delays
• Incomplete installations
• Reduced energy savings
• Disputes
• Budget overruns
UAM Power helps develop scopes that define:
• Existing conditions
• Equipment to be removed
• Equipment to be installed
• Required performance
• Controls integration
• Electrical work
• Structural work
• Envelope work
• Testing requirements
• Utility coordination
• Permit obligations
• Incentive requirements
• Training
• Documentation
• Warranty
• Commissioning
• Closeout
For larger projects, a basis-of-design document may be developed to describe the technical intent of the project.
It may address:
• Design criteria
• Performance objectives
• Equipment types
• System capacities
• Control sequences
• Operating conditions
• Indoor environmental requirements
• Energy targets
• Redundancy
• Maintenance access
• Future expansion
• Utility requirements
• Applicable codes
• Owner standards
The basis of design helps align engineers, contractors, owners, and equipment manufacturers.
Energy projects may require mechanical, electrical, structural, civil, architectural, controls, and building-envelope expertise.
UAM Power helps coordinate the required disciplines so that project components work together.
• Selecting appropriate engineering resources
• Defining discipline responsibilities
• Coordinating site visits
• Reviewing existing conditions
• Supporting load calculations
• Reviewing equipment sizing
• Coordinating electrical requirements
• Reviewing control sequences
• Coordinating structural implications
• Reviewing ventilation requirements
• Supporting energy modeling
• Reviewing drawings and specifications
• Resolving design conflicts
• Tracking technical questions
• Coordinating revisions
The purpose is to reduce gaps, duplication, and conflicts between project disciplines.
A design may be technically correct but difficult or expensive to build.
UAM Power may support constructability review by examining:
• Equipment access
• Delivery pathways
• Crane requirements
• Roof loading
• Shutdown requirements
• Temporary systems
• Phasing
• Occupant disruption
• Mechanical-room space
• Electrical capacity
• Control integration
• Existing piping and ductwork
• Structural conditions
• Weather limitations
• Permit timing
• Long-lead equipment
Constructability review helps identify practical issues before construction begins.
Value engineering seeks to improve project value without sacrificing performance.
It is not simply cost cutting.
UAM Power may compare:
• Alternative equipment
• Alternative materials
• Different control strategies
• Phased implementation
• Repair versus replacement
• System optimization versus full modernization
• Incentive-compatible options
• Different financing structures
• Life-cycle cost
• Maintenance requirements
• Energy performance
• Useful life
A lower initial price is not always the best value. Decisions should consider long-term cost, performance, reliability, and maintainability.
Energy project budgets must account for more than equipment cost.
Potential budget components include:
• Engineering
• Equipment
• Labor
• Controls
• Electrical work
• Structural work
• Demolition
• Permits
• Inspections
• Utility fees
• Commissioning
• Testing
• Temporary systems
• Mobilization
• Shipping
• Taxes
• Financing fees
• Incentive administration
• Contingency
• Closeout
• Training
• Warranty
UAM Power helps organize project costs so the owner understands the total anticipated investment.
Depending on project stage, cost estimates may be:
• Conceptual
• Preliminary
• Budgetary
• Contractor-based
• Detailed
• Construction-ready
As project information improves, cost estimates can be refined.
UAM Power may help compare:
• Multiple contractor proposals
• Equipment alternatives
• Allowances
• Unit prices
• Exclusions
• Contingencies
• Alternates
• Incentives
• Financing costs
• Owner-responsibility items
The goal is to reduce surprises before contract award.
Energy projects may be affected by:
• Equipment lead times
• Utility approvals
• Incentive deadlines
• Grant milestones
• Financing closings
• Permits
• Board approvals
• Weather
• Academic calendars
• Occupancy
• Heating and cooling seasons
• Planned shutdowns
• Material availability
• Contractor availability
• Inspections
• Commissioning
UAM Power develops and tracks schedules that reflect these interdependencies.
1. Assessment and planning
2. Engineering and design
3. Incentive and financing approval
4. Procurement
5. Permitting
6. Construction
7. Startup and commissioning
8. Inspection and closeout
9. Performance verification
The procurement method affects cost, schedule, quality, and risk.
Potential approaches include:
• Competitive bidding
• Negotiated contracting
• Design-bid-build
• Design-build
• Construction management
• Energy performance contracting
• Equipment direct purchase
• Cooperative purchasing
• Public procurement
• Multiple-prime contracting
UAM Power helps clients evaluate which approach is appropriate for the project and organization.
Price alone should not determine contractor selection.
UAM Power may evaluate:
• Relevant experience
• Licensing
• Insurance
• Certifications
• Safety record
• Financial capacity
• Workforce availability
• Utility-program qualifications
• Similar completed projects
• References
• Equipment relationships
• Schedule capacity
• Quality-control procedures
• Warranty support
• Documentation capabilities
Contractors must be able to satisfy both construction requirements and incentive or funding obligations.
UAM Power may support preparation and distribution of bid documents that include:
• Project scope
• Drawings
• Specifications
• Equipment requirements
• Control requirements
• Schedule
• Insurance requirements
• Labor requirements
• Incentive requirements
• Commissioning requirements
• Closeout requirements
• Bid forms
• Alternates
• Allowances
• Warranty requirements
Clear bid packages improve proposal comparability.
Contractor proposals may vary significantly in scope and assumptions.
UAM Power may review:
• Base price
• Equipment
• Labor
• Exclusions
• Alternates
• Allowances
• Schedule
• Warranty
• Controls
• Electrical work
• Demolition
• Permits
• Startup
• Commissioning
• Utility coordination
• Incentive documentation
• Training
• Closeout
A low bid may be incomplete. Bid leveling helps identify the true cost of each proposal.
UAM Power may assist owners in selecting contractors based on a balanced evaluation of:
• Cost
• Qualifications
• Scope completeness
• Schedule
• Technical approach
• Equipment quality
• Warranty
• Relevant experience
• Financial stability
• Safety
• Communication
• Program compliance
• Long-term service support
Final contractor selection remains the owner’s decision.
Before construction begins, the contract should reflect the agreed project scope and responsibilities.
Potential items include:
• Contract amount
• Scope
• Schedule
• Payment terms
• Retainage
• Insurance
• Bonds
• Change-order procedures
• Submittals
• Testing
• Commissioning
• Warranty
• Closeout
• Incentive documentation
• Dispute procedures
• Termination rights
Legal review may be appropriate for significant contracts.
A preconstruction meeting helps align all participants before work begins.
Topics may include:
• Project objectives
• Scope
• Schedule
• Site access
• Occupied-space procedures
• Safety
• Deliveries
• Shutdowns
• Temporary systems
• Communication
• Submittals
• Inspections
• Utility coordination
• Incentive documentation
• Change orders
• Commissioning
• Closeout
This meeting establishes accountability and communication expectations.
Contractors and manufacturers may submit:
• Equipment data
• Shop drawings
• Control diagrams
• Product samples
• Installation details
• Wiring diagrams
• Structural information
• Warranty documents
• Performance data
• Compliance certificates
UAM Power may help track and coordinate submittal review so equipment aligns with design and program requirements.
Before equipment is ordered or installed, UAM Power may verify:
• Manufacturer
• Model
• Capacity
• Efficiency
• Voltage
• Fuel type
• Controls compatibility
• Dimensions
• Utility eligibility
• Incentive eligibility
• Delivery schedule
• Warranty
• Performance data
Substitutions should be reviewed before approval.
Utility involvement may be required for:
• Incentive approval
• Interconnection
• Electrical service upgrades
• Metering
• Natural gas service
• Demand response
• Transformer upgrades
• Solar
• Battery storage
• EV charging
• Inspections
• Final verification
UAM Power helps coordinate utility requirements with project design and schedule.
Projects may require permits involving:
• Building
• Mechanical
• Electrical
• Plumbing
• Fire protection
• Structural
• Zoning
• Right-of-way
• Environmental review
• Solar
• Battery storage
• EV charging
UAM Power may help identify permit responsibilities and track status.
During construction, UAM Power helps monitor progress and coordinate issues that affect scope, schedule, budget, quality, and performance.
• Progress meetings
• Site observations
• Schedule review
• Scope verification
• Equipment verification
• Issue tracking
• Coordination among trades
• Utility coordination
• Inspection support
• Documentation review
• Change-order review
• Deficiency tracking
• Owner communication
UAM Power does not replace the contractor’s responsibility for construction means, methods, safety, or code compliance unless specifically contracted to do so.
Regular project meetings may address:
• Work completed
• Work planned
• Delays
• Equipment delivery
• Inspections
• Safety concerns
• Open technical questions
• Submittals
• Change orders
• Budget
• Utility coordination
• Incentive requirements
• Commissioning
• Owner decisions
Meeting notes help document responsibilities and deadlines.
UAM Power may compare actual progress with the approved schedule and identify:
• Delayed activities
• Long-lead risks
• Approval delays
• Contractor conflicts
• Inspection issues
• Weather impacts
• Owner decision needs
• Utility delays
• Commissioning dependencies
Early identification of delay allows corrective action.
Project costs may change due to:
• Unforeseen conditions
• Scope changes
• Equipment substitutions
• Market pricing
• Permit requirements
• Code issues
• Utility requirements
• Schedule acceleration
• Additional testing
UAM Power may track:
• Original budget
• Contract amount
• Approved changes
• Pending changes
• Contingency
• Incentives
• Financing
• Owner costs
• Forecast final cost
Change orders should be reviewed for:
• Reason
• Scope
• Cost
• Schedule impact
• Incentive impact
• Financing impact
• Technical necessity
• Alternative solutions
• Supporting documentation
No major change should proceed without appropriate review and authorization.
Quality Assurance
Quality assurance helps ensure that the project is built according to the approved scope and intended performance.
Potential activities include:
• Installation observation
• Material verification
• Equipment verification
• Control-sequence review
• Insulation inspection
• Air-sealing inspection
• Ductwork review
• Pipe insulation review
• Wiring review
• Labeling
• Accessibility
• Service clearances
• Housekeeping
• Documentation
• Corrective-action tracking
Energy projects often occur in occupied buildings.
Planning may address:
• Work hours
• Noise
• Dust
• Access
• Temporary heating or cooling
• Indoor air quality
• Shutdowns
• Security
• Patient or student safety
• Tenant communication
• Emergency procedures
• Contractor identification
• Site protection
UAM Power helps coordinate work with facility operations.
Startup is the initial process of placing equipment into operation.
It may involve:
• Manufacturer representatives
• Contractor checks
• Electrical verification
• Fluid checks
• Refrigerant checks
• Controls activation
• Safety testing
• Rotation checks
• Alarm checks
• Initial settings
• Documentation
Startup alone is not the same as commissioning.
Commissioning is a structured process used to verify that systems are installed, tested, operated, and documented according to project requirements.
• Commissioning plan
• Design review
• Submittal review
• Pre-functional checklists
• Startup verification
• Functional performance testing
• Controls testing
• Sensor calibration
• Alarm testing
• Schedule verification
• Sequence testing
• Trend review
• Deficiency tracking
• Retesting
• Training
• Final report
Commissioning helps convert installed equipment into dependable building performance.
Existing buildings may benefit from retrocommissioning even when no major equipment replacement is planned.
Retrocommissioning may identify:
• Incorrect schedules
• Failed sensors
• Improper setpoints
• Simultaneous heating and cooling
• Broken dampers
• Unnecessary equipment runtime
• Control overrides
• Airflow problems
• Economizer failures
• Building-pressure issues
Correcting these issues can improve performance at relatively low cost.
HVAC systems may require testing, adjusting, and balancing to confirm proper airflow and water flow.
Potential activities include:
• Supply airflow
• Return airflow
• Exhaust airflow
• Outdoor air
• Hydronic flow
• Pump performance
• Fan performance
• Room pressurization
• Terminal-unit operation
• Diffuser performance
Balancing is essential for comfort and energy efficiency.
Controls are frequently one of the most important factors in project performance.
UAM Power may coordinate verification of:
• Operating schedules
• Setpoints
• Reset strategies
• Staging
• Demand control
• Economizer operation
• Ventilation
• Alarms
• Remote access
• Trend logs
• Overrides
• Equipment interlocks
• Failure response
Final inspection may include:
• Scope completion
• Equipment installation
• Labeling
• Controls
• Access
• Insulation
• Safety items
• Housekeeping
• Permit completion
• Utility requirements
• Incentive requirements
• Outstanding deficiencies
• Documentation
• Training
A punch list identifies incomplete or deficient work before final acceptance.
Items may include:
• Missing labels
• Incomplete insulation
• Control problems
• Damaged finishes
• Documentation gaps
• Equipment defects
• Unfinished repairs
• Cleaning
• Training
• Testing
• Warranty information
UAM Power may help track punch-list completion.
Project closeout may require:
• As-built drawings
• Equipment schedules
• Operations manuals
• Maintenance manuals
• Warranties
• Startup reports
• Test reports
• Commissioning report
• Training records
• Permits
• Inspection approvals
• Incentive documentation
• Final invoices
• Lien waivers
• Photographs
• Spare parts
• Contact information
Complete closeout documentation supports long-term operations and maintenance.
Facility staff should understand how new systems operate.
Training may address:
• Equipment operation
• Controls
• Schedules
• Alarms
• Maintenance
• Seasonal changeover
• Troubleshooting
• Safety
• Warranty requirements
• Energy-performance objectives
Training reduces the risk that systems will be overridden or operated inefficiently.
UAM Power may help organize:
• Warranty start dates
• Coverage terms
• Manufacturer warranties
• Contractor warranties
• Extended warranties
• Required maintenance
• Service contacts
• Claim procedures
• Warranty inspections
• Expiration dates
Warranty requirements should be incorporated into facility maintenance planning.
The project is not complete simply because construction has ended.
UAM Power may help verify whether the project is producing expected results.
• Utility-bill comparison
• Demand comparison
• Equipment runtime
• Control trend data
• Temperature review
• Occupant feedback
• Maintenance review
• Energy-use intensity
• Weather normalization
• Savings calculations
• Corrective actions
A measurement and verification plan may define:
• Baseline period
• Reporting period
• Data sources
• Metering
• Adjustments
• Weather normalization
• Operating assumptions
• Savings methodology
• Responsibilities
• Reporting frequency
The level of rigor should match project size, funding requirements, and performance risk.
After the building has operated through an appropriate period, a post-occupancy review may examine:
• Comfort
• Indoor air quality
• Controls
• Maintenance
• Utility use
• Equipment issues
• Occupant complaints
• Training needs
• Additional optimization
This allows the owner to address problems before they become permanent operating practices.
Building performance requires continued attention.
UAM Power may support:
• Utility monitoring
• Benchmarking
• Trend review
• Controls optimization
• Seasonal adjustments
• Performance reporting
• Incentive reporting
• Maintenance planning
• Additional energy conservation measures
• Staff support
• Capital planning
Organizations with multiple properties may need a coordinated portfolio strategy.
UAM Power may help:
• Benchmark multiple facilities
• Prioritize buildings
• Standardize scopes
• Coordinate procurement
• Sequence capital work
• Aggregate incentives
• Develop portfolio financing
• Track performance
• Report results
• Establish design standards
Portfolio coordination can reduce administrative burden and improve consistency.
Municipal and public-sector projects may involve:
• Public bidding
• Board approval
• Council approval
• Grant requirements
• Prevailing wage
• Public reporting
• Budget cycles
• Bond financing
• Public meetings
• Procurement law
• Community communication
UAM Power helps coordinate technical project delivery with public-sector requirements.
Nonprofits, faith-based organizations, schools, and community institutions often need projects that minimize disruption and preserve limited capital.
Project planning may consider:
• Grant deadlines
• Donor funding
• Board approvals
• Program schedules
• Occupant needs
• Mission continuity
• Limited staff
• Cash-flow constraints
• Volunteer leadership
• Public accountability
UAM Power helps organize these projects into manageable steps.
Potential project risks include:
• Incomplete scope
• Design errors
• Cost escalation
• Equipment delays
• Contractor underperformance
• Utility delays
• Permit delays
• Incentive loss
• Financing delays
• Unforeseen conditions
• Occupant disruption
• Savings shortfall
• Documentation gaps
• Warranty issues
UAM Power helps identify risks early and develop mitigation strategies.
Complex projects require clear communication.
UAM Power may establish:
• Primary contacts
• Meeting schedule
• Reporting format
• Decision procedures
• Escalation process
• Document control
• Issue tracking
• Approval requirements
• Stakeholder updates
Good communication reduces confusion and delay.
Project documents may include:
• Assessments
• Drawings
• Specifications
• Bids
• Contracts
• Submittals
• Requests for information
• Change orders
• Meeting notes
• Schedules
• Invoices
• Inspection reports
• Commissioning records
• Closeout documents
UAM Power helps organize and track these records.
Reports may include:
• Executive summary
• Schedule status
• Budget status
• Work completed
• Upcoming activities
• Open issues
• Decisions needed
• Change orders
• Incentive status
• Financing status
• Risks
• Commissioning status
• Closeout status
Reporting helps owners make timely decisions.
One of the principal advantages of UAM Power’s project-management model is continuity.
The same organization that helps identify the opportunity can remain involved through:
• Planning
• Engineering
• Funding
• Procurement
• Construction
• Commissioning
• Verification
This reduces the risk that important assumptions will be lost as the project moves from one phase to another.
A well-managed project can produce:
• Clearer scope
• Better contractor coordination
• Fewer gaps
• Reduced change orders
• Stronger cost control
• Improved schedule performance
• Better documentation
• Higher installation quality
• Improved incentive compliance
• Better commissioning
• More reliable savings
• Reduced owner burden
• Greater accountability
• Stronger long-term performance
UAM Power provides project-management support for:
• Commercial office buildings
• Multifamily properties
• Municipal facilities
• Government buildings
• Educational institutions
• Healthcare facilities
• Houses of worship
• Nonprofit organizations
• Industrial facilities
• Manufacturing plants
• Warehouses
• Distribution centers
• Retail properties
• Hospitality facilities
• Senior-living communities
• Community centers
• Institutional campuses
• Mixed-use developments
• Property portfolios
We help connect owners, engineers, contractors, utilities, lenders, and program administrators.
Our objective is not only project completion, but measurable improvement in energy use, reliability, comfort, and operating cost.
We coordinate engineering decisions with incentives, grants, financing, and project economics.
UAM Power can remain involved throughout the entire project life cycle.
We organize solutions around the building’s needs rather than a predetermined product.
We help track the records needed for approvals, inspections, incentives, financing, and closeout.
We help protect the owner’s interests by identifying gaps, tracking responsibilities, and supporting informed decisions.
UAM Power is committed to helping clients complete energy projects that are:
• Properly planned
• Technically coordinated
• Financially responsible
• Professionally implemented
• Fully documented
• Commissioned
• Measurable
• Maintainable
• Aligned with long-term facility goals
Our goal is to provide the structure, coordination, and accountability needed to turn energy opportunities into completed, high-performing projects.
Whether your project involves HVAC modernization, controls, lighting, insulation, electrification, renewable energy, utility incentives, grant funding, C-PACE, or a comprehensive building improvement program, UAM Power can help coordinate every phase.
Contact the UAM Power Energy Solutions Division to discuss your project goals, facility needs, budget, schedule, and implementation strategy.
A word from Dr. Harvey Pinkney, Director, Energy Solutions Division
UAM Power approaches renewable energy as the final stage of a comprehensive building-performance strategy—not as the first product offered.
Before designing a solar system, our Energy Solutions Division evaluates how the building uses energy, identifies avoidable waste, implements appropriate efficiency improvements, and verifies the facility’s reduced operating load. Solar, battery storage, and other distributed-energy resources can then be designed around the building’s improved energy profile.
This sequencing may reduce the required solar-system size, lower project cost, improve project economics, and increase the percentage of the building’s remaining electricity demand supplied by renewable energy.
A building with inefficient HVAC equipment, outdated lighting, inadequate insulation, excessive air leakage, poorly programmed controls, or unnecessary equipment runtime may consume substantially more energy than it actually needs.
Installing solar before addressing those conditions may result in a renewable-energy system designed to serve avoidable waste.
UAM Power follows a more disciplined approach:
1. Measure current energy use
2. Identify the causes of excessive consumption
3. Implement cost-effective efficiency improvements
4. Verify the building’s reduced energy load
5. Design solar and storage around the improved facility
We describe this process as healing the building’s energy waste before producing new energy for it.
The objective is not merely to generate electricity. It is to create a more efficient, financially sound, and properly integrated energy system.
Reducing energy consumption before solar design may provide several advantages:
• A smaller solar array may be required
• Initial project cost may be reduced
• Roof or site space may be used more effectively
• A larger percentage of remaining electricity use may be offset
• Battery-storage requirements may be reduced
• Electrical infrastructure may be easier to accommodate
• Financing may become more practical
• Project return may improve
• Building operations may become more predictable
• Solar production may be matched more accurately to actual load
For example, a building using 1,000,000 kilowatt-hours annually may initially appear to require a very large solar installation. If HVAC, controls, lighting, insulation, and operating improvements reduce usage to 650,000 kilowatt-hours, the solar system can be designed around the lower, more efficient load.
That difference may significantly affect system size, cost, roof coverage, interconnection requirements, and financing.
A comprehensive energy strategy may combine:
• HVAC modernization
• Heat pumps
• Building automation
• LED lighting
• Lighting controls
• Insulation
• Air sealing
• Ventilation improvements
• Mechanical-system optimization
• Demand management
• Solar generation
• Battery energy storage
• Utility incentives
• Improved operating practices
In facilities with substantial existing inefficiencies and favorable renewable-energy conditions, the combined effect of efficiency upgrades and on-site energy generation may reduce purchased energy costs by a very significant amount.
In especially favorable cases, total energy costs may potentially be reduced by as much as approximately 70% after all appropriate improvements and renewable-energy measures are completed.
This should be presented as a potential outcome rather than a guarantee. Actual savings depend on the building’s existing condition, utility rates, operating schedules, occupancy, project scope, equipment performance, solar-resource availability, financing structure, and continued facility management.
Consider a commercial facility with annual electricity and natural-gas costs of:
$300,000 per year
After a comprehensive building assessment, UAM Power identifies opportunities involving:
• HVAC modernization
• Controls optimization
• LED lighting
• Air sealing
• Insulation
• Reduced peak demand
• Solar generation
• Efficiency and operational improvements: $90,000
• Solar-energy savings: $105,000
• Demand and maintenance savings: $15,000
$210,000
$300,000 − $210,000 = $90,000
In this hypothetical example, the building’s annual energy-related cost is reduced by:
70%
This example is for illustration only. Every facility requires its own technical and financial evaluation.
Once efficiency improvements have been completed or reliably modeled, UAM Power can evaluate the building’s remaining electrical demand.
Solar-system design may consider:
• Post-improvement annual electricity use
• Monthly and seasonal load patterns
• Peak electrical demand
• Daytime energy consumption
• Roof or site availability
• Structural conditions
• Shading
• Electrical-service capacity
• Utility interconnection requirements
• Net-metering rules
• Demand charges
• Future electrification
• EV-charging loads
• Battery-storage opportunities
• Ownership objectives
• Available incentives
• Financing structure
The goal is to avoid both undersizing and oversizing the system.
A properly designed system should reflect the owner’s actual objectives, which may include:
• Maximum financial return
• Maximum energy-cost reduction
• Partial load offset
• Resilience
• Carbon reduction
• Budget stability
• Tenant benefits
• Long-term property value
In some cases, qualifying owners may be able to implement solar without paying the entire project cost upfront.
Potential structures include:
• Power Purchase Agreements
• C-PACE financing
• Solar leases
• Commercial lending
• Equipment financing
• Utility incentives
• Tax incentives
• Grants
• Blended financing structures
Depending on property eligibility, credit, project economics, lender approval, program requirements, and contract terms, certain structures may allow a solar system to be installed with little or potentially no initial out-of-pocket capital from the property owner.
This does not mean the system is free. The project is financed or supported through an agreement, assessment, energy-payment structure, incentive, or combination of funding sources.
Under a Power Purchase Agreement, commonly called a PPA, a third-party provider may finance, own, install, and maintain the solar-energy system.
The property owner or occupant purchases the electricity produced by the system under a long-term contract.
• Little or no upfront system-purchase cost
• Predictable electricity pricing
• Third-party ownership
• Reduced maintenance responsibility
• Access to solar without direct equipment ownership
• Potential electricity savings
• Long-term budget planning
• Contract term
• Starting electricity rate
• Annual price escalator
• System-production assumptions
• Credit requirements
• Roof condition
• Maintenance responsibilities
• Buyout options
• Property sale
• End-of-term provisions
• Utility interconnection
• Insurance
• Performance guarantees
A PPA should be evaluated carefully to determine whether its projected energy price and long-term obligations support the owner’s objectives.
Commercial Property Assessed Clean Energy financing may allow eligible property owners to finance qualifying energy-efficiency, renewable-energy, water, and resilience improvements through a property-based assessment.
C-PACE may be particularly useful when a project combines:
• HVAC modernization
• Building automation
• Insulation
• Roof improvements
• Solar
• Battery storage
• Water conservation
• Resilience measures
• Long financing terms
• Reduced initial capital requirement
• Financing tied to the property
• Ability to combine efficiency and renewable-energy improvements
• Potential alignment between annual savings and annual payments
• Preservation of working capital
• Support for larger comprehensive projects
C-PACE eligibility and terms depend on local program requirements, property value, mortgage-lender consent, project economics, underwriting, and other conditions.
A comprehensive project may use multiple funding sources.
For example:
• Utility incentives for HVAC, lighting, and controls
• Grants for building-envelope improvements
• C-PACE for major equipment and solar
• A PPA for renewable-energy generation
• Owner capital for noneligible repairs
• Tax benefits where available
This blended approach can reduce the amount of cash required at the beginning of the project while allowing the owner to address multiple building needs through one coordinated strategy.
When the owner pays the building’s utility expenses, reductions in purchased electricity may lower operating expenses and improve Net Operating Income.
For example:
• Annual electricity cost before solar: $200,000
• Annual electricity cost after efficiency and solar: $80,000
• Annual operating-cost reduction: $120,000
Subject to financing payments, lease structures, maintenance costs, and other factors, some or all of that reduction may improve property cash flow.
For income-producing property, sustained reductions in operating expenses may also contribute to increased property value when evaluated through an income-capitalization approach.
Battery storage may complement solar by allowing energy to be stored and used at a later time.
Potential applications include:
• Peak-demand reduction
• Load shifting
• Backup support
• Demand-response participation
• Solar-energy optimization
• Resilience
• EV-charging support
• Utility-rate management
• Microgrid development
Battery-storage economics depend on utility rates, demand charges, incentives, operating requirements, system size, controls, and the value placed on resilience.
Not every building requires battery storage. UAM Power evaluates storage according to the facility’s actual load profile and objectives.
A building’s future energy demand may increase if it adds:
• Heat pumps
• Electric water heating
• EV charging
• Electric kitchen equipment
• Battery storage
• Expanded operations
• New tenants
• Manufacturing loads
Solar should therefore be designed around both current post-efficiency use and reasonably anticipated future loads.
This prevents a system from being designed only for today’s consumption while ignoring planned electrification or facility growth.
After efficiency and renewable-energy projects are completed, UAM Power may help verify:
• Reduced utility consumption
• Solar production
• Peak-demand changes
• Equipment performance
• Controls operation
• Battery performance
• Financial savings
• Incentive compliance
• System availability
• Ongoing maintenance needs
Performance monitoring helps confirm whether the integrated strategy is producing the expected results.
A building can gradually lose savings when:
• Controls are overridden
• Occupancy changes
• Equipment schedules expand
• Sensors fail
• New loads are added
• Solar equipment underperforms
• Preventive maintenance is neglected
• Battery controls are not optimized
Ongoing services may include:
• Utility benchmarking
• Solar-production monitoring
• Controls review
• Seasonal optimization
• Demand monitoring
• Maintenance coordination
• Periodic recommissioning
• Performance reporting
• Additional conservation measures
The objective is to preserve the building’s improved performance over time.
UAM Power’s Energy Solutions Division follows a six-stage approach:
1. Assess the building
2. Reduce energy waste
3. Identify incentives and financing
4. Improve NOI and financial performance
5. Manage implementation
6. Integrate right-sized renewable energy and verify long-term results
This approach positions solar as part of a complete building-performance strategy—not as an isolated product.
We reduce avoidable consumption before designing renewable-energy systems.
Solar and storage are based on the building’s improved load and future energy plans.
We evaluate incentives, PPAs, C-PACE, grants, lending, and blended financing.
Recommendations consider HVAC, controls, envelope, lighting, ventilation, operations, and renewable energy together.
Project continuity
UAM Power can support the project from assessment through installation, commissioning, monitoring, and verification.
We evaluate operating-cost reduction, cash flow, NOI, financing obligations, and long-term asset value.
Energy-cost reductions of up to approximately 70% may be achievable in certain highly inefficient facilities when comprehensive efficiency improvements, operational changes, and renewable-energy systems are combined.
However, this outcome is not guaranteed and should not be presented as typical for every building.
Similarly, PPA or C-PACE structures may reduce or eliminate the owner’s initial capital contribution in qualifying situations, but the project remains subject to contractual payments, assessments, financing costs, eligibility requirements, underwriting, and long-term obligations.
All projected costs, savings, financing terms, and property-value effects should be evaluated for the specific facility.
UAM Power helps organizations move from excessive energy consumption toward a comprehensive strategy that combines efficiency, financial planning, right-sized solar generation, storage, and long-term performance management.
Contact the UAM Power Energy Solutions Division to evaluate your building’s efficiency, solar, financing, and energy-cost-reduction opportunities.
A word from Dr. Harvey Pinkney, Director, Energy Solutions Division
