Questions to ask “Yourself”
Are we performing better today than we were
yesterday/ last week/ last month/ last year?
How is our performance related to that of others in
How do we compare with the average?
How do we compare with the best?
Can we do better?
How much?How do we do it?
Supermarkets are among most energy-intensive commercial buildings
5,000 MWh-eq/year for electricity in large supermarket (>10,760 sq feet or 1,000 m2 )
Over 5,000 large supermarkets in Canada
Refrigeration and HVAC accounts for 70% of energy costs; lighting, 20%
$150,000/year for refrigeration & HVAC in large supermarket
Energy costs are ~1% of sales
But this is approximately same as store profit margin
Conventionally have very high refrigerant charges
Average store has 1,300 kg of refrigerant
Long piping runs result in leakage of 10 to 30% of charge per year
Synthetic refrigerants are potent greenhouse gases (GHG)
Can have over 3,000 times the effect of CO2
Supermarkets consume large amounts of energy, and utility costs have a significant impact on the supermarket’s
overall profitability. The U.S Environmental Protection Agency (EPA) estimates that $1 in energy savings is
equivalent to increasing sales by $59.
End-Use Profile for Supermarkets
Supermarkets use an average of:
Electricity: 50kwh/sq. ft/year and
Natural Gas: 50 cubic feet/sq. ft/year
At an average cost of more than $4.50/sq. ft
(Assumed Electricity 0.09 c$/kWh and NG
Most of the electricity consumed by
supermarkets is used for refrigeration &HVAC
and space heating represents the largest use of
The median supermarket uses approx. 190,000
Btu/sq. ft or 57 ekWh/sq. ft
Conversion Notes :1 kWh = 3,412 Btu;1 Cubic Feet = 1,028 Btu;1 therm = 100,000 Btu; 1 Cubic Metre = 35.31 Cubic Feet, I therm = 100 cubic feet, I cubic metre = 0.36 therm
Because refrigeration & HVAC alone accounts for over 70% of the energy consumed in a typical supermarket, it
has the vast energy saving potential
Right Approach = Right Results
Technological Change Behavioral Change
Lighting, motor, heating, The habits of your store
ventilating and air employees can affect whether
conditioning (HVAC), energy gets used wisely. There
domestic-water, energy- are opportunities to save energy
control and building dollars by influencing
system technologies are behaviours, improving
constantly improving and knowledge and skills.
becoming more efficient.
Organizational Change Policies and
procedures can help drive down utility
costs, and support from senior
management is crucial. Set up
energy-reduction goals,present cost-
reduction progress reports in staff
meetings and regularly track utility
costs through a bill-monitoring
program in your accounting
Energy Efficiency-New Profit Center
Increased profitability: Total annual energy costs to operate a supermarket are usually
equivalent to net profit: Both are between 1 and 2 percent of sales. Therefore, a 10 percent
reduction in energy costs can increase net profit by as much as 16 percent.
Reduced vulnerability to energy price fluctuations: Energy prices may be sensitive to
numerous external factors, including major weather events and changes in national and state
regulations.Reducing a facility’s total energy consumption can soften the impact of energy price
Increased sales: Improving the energy efficiency of a building usually involves upgrades to the
lighting and HVAC systems. By creating a more pleasing shopping and working environment,
these upgrades can also attract and retain more customers, leading to an increase in sales.
Reduced shrinkage: Upgrades to refrigeration systems can reduce shrinkage of perishable
goods while also saving on energy bills.
Enhanced public image: With growing concerns over global warming and other environmental
issues, many supermarket owners want to demonstrate to customers that they are responsible
environmental stewards. Supermarket owners can upgrade their buildings to be more energy
efficient as a way to achieve this goal.
Energy Efficiency can improve your bottom line, increase profits and put your facility in a more price-competitive
position – allowing you to concentrate on sales.
Phased Approach to Optimize - Existing Stores
Phase 1 - Data Collection and Benchmarking
Gather & Track Data:Collect energy bills for at least the past two years to track the store’s energy consumption.
Determine Baseline:Establish an energy expenditure baseline,which is an average of several years’ use that
provides the starting point from which to measure progress. Select units of measurement that accurately express
energy performance for your store.Announce these performance baselines to key employees and managers.
Benchmark Stores:Benchmarking offers grocers the ability to compare a store’s energy use against that of similar
stores across the country.Amounts of refrigeration, store traffic,square footage, weather, climate, store’s physical
attributes,operating characteristics, location and monthly energy use are taken into consideration.
Benchmarking also provides a means for corporate managers to identify poorly performing stores for purposes of
offering energy audits identifying energy efficiency opportunities.
Phase 2 - Identification of Opportunities
Energy Audit for Pilot Stores and Identify energy conservation measures(ECMs): In this Phase,stores with high
EUI are audited to quantify possible energy efficiency savings.Typically an energy audit is conducted to seek
opportunities to reduce the amount of energy input into the system without negatively affecting the output(s).
Beyond simply identifying the sources of energy use, an energy audit seeks to prioritize the energy uses
according to the greatest to least cost effective opportunities for energy savings.
Phased Approach to Optimize - Existing Stores
Phase 3 - Pilot Test
Based on the audits and benchmark data, recommended ECM’s are tested in identified pilot locations for
validation before corporate roll out. Pilot test involves:
Defining scope of work: Details of activities to be performed in the store for each recommended energy
Preparation of RFP: Development of detailed document to invite quotes/proposals from different vendors
on a standard scope of work to get competitive pricing
Financial analysis: Based on capital costs and incentives available, ROI is calculated to evaluate
suggested measure’s financial feasibility in accordance with company’s objectives/ policy
Implementation of recommended measures in accordance with specifications and scope of work
Measure/verify savings and prepare a business case for large scale roll out plan
Phase 4 - Roll out
Based on verified savings realized for pilot stores, a detailed corporate roll out plan is developed and
implemented.This phase involves:
Developing detailed scope of work,equipment specs and schedule
Selection of vendors to implement ECM’s
Report on energy saving realization as roll out plan is executed
Establish improved energy baseline for each store
Phase 4 - Monitoring and Targeting
The store’s optimized baseline becomes the new standard. Maintain this standard by setting performance goals
and integrating energy efficient guidelines into corporate culture and operations.
Summary of the Energy Advantage Work with Supermarkets
Supermarket A Supermarket B Supermarket C
South Carolina Minneapolis MA
• Over 250 Locations • Over 25 Locations • Over 55 Locations
• Total 172 were considered for • Total 5 were considered for this • Total 3 were considered for this
this project. pilot project. review.
• EUI range from 47-77 ekWh/sq • EUI range from 85-140 • EUI range from 50-65 ekWh/sq
ft ekWh/sq ft ft
• Store age is from new to 30 • Store age is from new to 67 • Store age is from new to 74
years old years old years old
• Refrigeration system is from • Refrigeration system is from • Refrigeration system is from
distributed system to parallel distributed system to parallel distributed system to latest
compressor racks compressor racks screw compressors.
• Controls ranging from no • Large and full service formats • Controls ranging from no
controls to controls on all (average size is 70,000 sq ft) controls to complete control and
refrigeration , HVAC and • Large ventilation and air remote monitoring capabilities.
lighting systems through conditioning systems. • Return air bypass system for
Danfoss AKS55. • Controller are from CPC, maintaining low humidity.
• Controller are from CPC, Danfoss and EIL • Maintenance is well managed
Danfoss and EIL • Maintenance is totally with 10 in house personnel
• Maintenance is well managed outsourced with no in house
with 20 in house personnel expertise
• Over $2M savings with payback • Over $75,000 savings in 5
in the range of 2 years stores with payback of approx 2
Proven track record
Complete solution up to Monitoring and Targeting
Data collection and analysis
High level review of potential opportunities
Walkthrough audits to identify measures and business
case for pilot project
Data Collection & Benchmarking
Benchmarking will allow store managers to compare their store energy efficiency performance in two
against the performance of similar buildings,and
as a baseline to demonstrate changes in building performance over time
The benchmarking tool alone will not reduce energy use: its purpose is to inform store managers
about energy performance and to motivate them to make their buildings more energy efficient
To calculate a “first level” benchmark requires only utility bill information that should be readily
available without requiring energy audits of the store
It can also help establish investment priorities to take advantage of energy efficiency opportunities
Store Energy Audit
What is an energy audit?
Analysis of energy used in the store Audit Review Areas
Identifies where energy is used HVAC Systems
Identifies opportunities to reduce to
energy usage Building System Operation
Prioritizes potential opportunities:
Identifies most effective option Operational Procedures
Determines efficiency upgrade
Return on Investment(ROI) Building automation and Control
Lighting and lighting Control
Components of Audits
Benchmark Review Pump and Motors
Energy Efficiency Measure Analysis Domestic Hot water systems
Performance Report and
Recommendations Process Equipment