3 signs that commercial facilities can take advantage of thermal energy storage
September 22, 2015
Energy storage deployments worldwide are on the rise as more companies have come to recognize the technology's benefits. Data gathered by global research firm IHS suggests that the commercial energy storage market is expected to surge from 340 MW of systems installed between 2012 and 2013 to an annual installation rate of 6 GW per year by 2017. The same report predicted that this growth would be led by deployments made in the U.S. In particular, this expansion will be driven by greater awareness in multiple commercial sectors as demonstrated by the adoption of new energy storage procurement policies and the ongoing evolution of the nation's power grid.
One energy storage technology that is sure to grab the attention of companies looking to benefit from the trend is thermal energy storage. These solutions allow building operators to make significant changes to the way that facilities consume and utilize electricity, but the impact will depend heavily on building type, available space and preexisting HVAC systems. Cost savings associated with deploying thermal energy storage are quite significant in many instances, so it makes sense for building operators to evaluate whether their facilities are apt candidates for thermal energy storage.
Three signs that commercial facilities can take advantage of thermal energy storage include:
1. Aging chillers are in need of a replacement or more cooling capacity needed
One of the most obvious signs that your facility could benefit from thermal energy storage is aging chillers. According to Buildings.com, the average life expectancy of a chiller is about 20 years. However, the economic viability of these installations can be extinguished years earlier as a result of insufficient maintenance and excessive use. When chiller maintenance increases in frequency and efficiency seems to be on a steady decline, thermal energy storage presents a viable alternative to throwing money down the drain. Thermal storage applications like CALMAC's IceBank energy storage tanks are designed to shift the building's peak energy consumption off peak, allowing facilities to downsize their chillers when making a system replacement. In addition, thermal storage may be added to a chiller plant and take advantage of existing chillers, as cooling needs grow.
2. Increasing electricity costs are projected to become a budgetary concern
Key to controlling operational costs is anticipating where expenses are expected to increase and attempting to balance the budget in advance. For example, the U.S. Energy Information Administration predicted that electricity prices will continue a trend of gradual growth for the foreseeable future, so it would make sense for companies to target the electric bill as it becomes increasingly difficult to manage.
On average, water and energy make up over 20 percent of a facility's monthly expenses, according to the Rocky Mountain Institute. In light of this, the advantages of thermal energy storage solutions are difficult to ignore. CALMAC's IceBank energy storage tanks, for example, have helped facilities save tens of thousands of dollars during the hottest months of the year. By freezing ice at night and then using that ice to cool the facility during the day, facilities utilizing thermal energy storage are able to take advantage of considerably lower off-peak energy rates.
3. Sustainable retrofit plans target LEED certification
If companies seek LEED certification, thermal energy storage offers another means of accruing credits while greening their buildings' performance. While it's true that thermal energy storage does not necessarily decrease the total amount of electricity consumed by a facility, installing thermal energy storage makes a green impact with regard to reducing peak demand, which is equally important. A study performed by the California Energy Commission showed that fossil fuel consumption is reduced by 20 percent when electricity is generated during off-peak hours.
Facilities installing thermal energy storage technologies can earn credits as a result. Two types of LEED credits can be accrued via thermal energy storage for new buildings and existing facilities: optimize energy performance and demand response. If building managers have more questions about the direct impact of thermal energy storage on their facilities, they can get answers by reaching out to the experts at CALMAC. The company even provides an energy bill analysis service for commercial building owners that estimates the savings they can achieve by utilizing off-peak generation.
