2. Desire Energy Group
De-regulated procurement of electricity and natural gas.
Energy efficiency evaluation.
Special projects, lease review.
Inspection of electricity, gas, and water bills.
Re-distribution tenant billing.
Energy budgeting and cost allocations.
3. Desire Energy Group
Full service Senior Director, Energy providing services to clients that do not have or
cannot afford to staff an energy management position or department.
31 ½ years of REIT experience with The Rouse Company and General Growth
Properties.
Created Energy Director role, set up department, and activated energy
management at GGP beginning in 2005.
Experience in Accounting, Operations, Finance during first 20 years of career and
then 10 years managing an Energy department.
4. De-regulated Procurement of Electricity
and Natural Gas
Procurement strategy to fit client risk appetite and need for budget certainty.
Experienced and knowledgeable in all de-regulated markets.
Fixed price, block and index, and customized products.
Electricity and natural gas.
5. Procurement Case Study
Extreme cold temperatures in the winters of 2014 and 2015 resulting from the so-
called Polar Vortex in conjunction with gas delivery constraints caused market
based electricity prices to sky-rocket. Businesses in de-regulated markets receiving
electricity from the utility, or buying in the spot markets incurred much higher than
anticipated electricity costs.
The procurement strategy in place at GGP for 18 regional shopping malls located
in New England, NY, NJ, and MD included the hedged purchases of 70% of its
anticipated on-peak loads prior to the winter in each year. These malls use in
excess of 200 million kWh annually in the aggregate. The savings generated versus
the actual electricity rates charged by the respective utilities exceeded $800
thousand.
6. Energy Efficiency Evaluation
Lighting projects can reduce consumption and cost.
Acquire utility rebate dollars to maximize ROI.
Central cooling and central steam contract negotiation and administration.
Solar panel projects. Direct ownership, leased systems, power purchase
agreements.
7. Special Projects, Lease Review
Review lease language to ensure maximized revenue from billings (electricity,
HVAC, water).
Recommend revised lease language.
Review tenant billings and lease abstracts to original lease documents to ensure
billings are compliant with the lease (all items including utilities).
Enrollment of buildings in demand response programs throughout several utility
grids (PJM, ISO-NE, ISO-NY, California, Texas) to create revenue streams offsetting
energy cost. 37 properties enrolled at GGP created annual revenue of $765
thousand. Average enrollment of 250 kW per mall.
8. Intelligent Energy Bill Review
Detailed review of utility bills can identify cost savings opportunities.
Identification of power factor penalty cost; and correction opportunity. 66 accounts at
30 malls had power factor penalty costing $102 thousand annually.
Peak demand management strategies.
Demand ratchet review and cost mitigation (also minimum demand ratchets). 21
properties with utility demand ratchets impacted the electricity cost by $330 thousand.
Strategies implemented reduced that cost to $110 thousand.
Ensure that building is on the most favorable rate schedule in regulated tariffs.
Identify strategies for utility bill payment to enable management to have data at their
fingertips to manage utility spend.
9. Re-distribution Tenant Billing
Calculate tenant billings based on applicable rate tariff.
Utilize load studies in the absence of tenant sub-meters to produce defendable
usage and demand amounts.
Monitor applicable rate tariffs to ensure timely updates to billings.
Produce accurate billings for electricity, HVAC, and water.
10. Energy Budgeting and Cost Allocation
Analysis and Review
Detailed budget analysis including consumption, rate and variation analysis to
actual cost.
Provides management with the ability to analyze variations of actual to budget
isolating consumption and rate impacts.
Review existing utility cost allocations, and recommend revisions to more
accurately reflect where the cost is incurred allowing management to assess
margins and ensure costs are allocated properly.
