Energy Upgrades In Prison Facilities

It is no secret that many prison facilities are outdated, understaffed, and overcrowded. Sadly, these problems can all be traced back to being underfunded.  With large pressing problems like this, it makes the idea of certain energy upgrades in prisons like installing a new LED light fixture or flow meters on hydronic components seem miniscule while the impact could greatly help the underlying problems.

The Problem – “There’s only three ways to spend the taxpayer’s hard-earned when it comes to prisons.More walls. More bars. More guards.” – Shawshank Redemption

Although it may seem like this statement is true, most of the costs associated with state run facilities is lumped into personnel costs within the operating expenses. Salaries, overtime, and benefits comprised over 66% of the cost to run state facilities. Additionally, an average of 17% of funding across the nation went to facility maintenance, prison programs, debt services, and legal judgments. This data tells us that most of the cost of prisons goes unsurprisingly, to operating costs. The operating costs can range from your day to day maintenance, to the utility bills, to providing food and supervision for inmates. The average salary of correctional officers in the US is $37,717 per year, so adding even one more CO to help an understaffed facility can have a substantial effect on the budget.

The Solution – Lower Operating Costs

However, the problem with initiatives and projects to reduce operating costs, is that they are met with red tape. Every state has their own nuances but all capital expenditures go through lengthy processes to determine what is necessary and when. So, how can a facility take control of own their operating costs without the capital expenditures? For multiple energy efficiency and water conservation measures in one project, energy service performance contracts can be a powerful tool if managed properly. These projects can range from low flow facets, to LED lighting, to control systems, to mechanical system replacements.

However, some states have different laws regarding performance contracts so if this route is not an option, individual conservation measures can be implemented creatively. For example, demand control kitchen ventilation is a relatively low-cost measure with a high ROI, making it a versatile measure for performance contracts and as a standalone facility upgrade. By slowing the kitchen exhaust fans in relation to the cooking activity, savings are realized through fan energy reduction and reduction of conditioned air that is wasted. In many cases there are even lease options among other financing routes that could make your project cash flow positive from the first month of implementation! With the saved money that would be going toward the electric bill, the extra cash can be used for other costs across the facility.

Putting Your Savings to Work

Implementing energy efficiency products like DCKV can save you money, but how much are we talking? For a large facility, let’s say you save $30,000 a year on your electric and conditioned air. In North Carolina, that is enough to cover the cost of one inmate for 335 days or 335 inmates for one day. In Florida, that is enough to cover the costs to house and supervise one inmate for 561 days or the salary of an entry level Correctional Officer. Why is Florida’s cost per inmate so much less than North Carolina? The state completes a lot of ESCO projects, so overall, their facilities are more efficient.

In the end implementing energy efficient technologies and practices, not only helps your prison run more efficiently, it reduces operating expenses so your cash can be used where it makes a  bigger impact; paying for more CO’s, building upgrades, and additional programs to reduce the recidivism rate.

 

Higher Education Taking Action Against Climate Change

Climate change has been a hot topic recently, and higher education is taking note and taking action. While hundreds of schools have already made pledges to increase sustainability across their campus, 13 schools are taking the lead and taking it a step farther. At this year’s 2018 Higher Education Climate Leadership Summit, 13 North American research universities launched the University Climate Change Coalition, or UC3, a group committed to implementing green initiatives into their own campuses and leveraging their research and experience to help others do the same. For over a decade, these universities have been researching innovative ways to reduce energy consumption, and educating students on how to combat climate challenges that are quickly approaching, but now they taking it a step further to spread this expertise to accelerate change through all of higher education.

Colleges and Universities that have committed to take action on climate change
Colleges and Universities that have committed to take action on climate change. Source: Secondnature.org

As the first school listed on the Campus Carbon Neutrality commitment, Cornell University paved the way. They have made continual efforts to implement Energy Conservation Initiatives (ECI), committing $33M towards ECI’s over a recent 5-year period. The Ohio State University established goals to be carbon neutral by 2050 and to reduce total campus building energy consumption by 25%. Both of these schools have found ways to lessen their carbon footprint by implementing various sustainability practices and products campus wide. Reducing energy use in existing buildings have been an ongoing initiative by both universities focusing on modernizing building envelopes, implementation of building automation and control systems, heat recovery and lighting systems. Cornell states projects they’ve implemented to date have had a return on investment of five to seven years.

Intelli-Hood controls at Kennedy Center at The Ohio State University.
Intelli-Hood controls at Kennedy Center at The Ohio State University. Source: osu.edu

A place that can often be overlooked, but has a great impact, is the ventilation system in campus kitchens. With the demand of long hours to accommodate various student schedules, and high volume because of the dense population, campus kitchens tend to run a majority of the day. Depending where the university is located, various local and state codes may require fans to operate 24/7 if the site utilizes gas pilots on kitchen equipment which remain on overnight. The HVAC systems account for 29% of the energy consumption of a food service area, with up to 75% of this load able to be attributed to the commercial kitchen ventilation system.

Melink is the innovator of Demand Control Kitchen Ventilation (DCKV) with the Intelli-Hood® system. Both Cornell University and The Ohio State University found the benefit of utilizing dckv systems across a majority of their kitchens. Using Intelli-Hood®, systems operate at a lower overall fans speed average. In an average day, the Melink Intelli-Hood system can recognize up to a 45% reduction in fan speeds equivalent to approximately 83% electrical fan energy savings. Additionally, this reduced operation results in a decrease of load demand of surrounding HVAC equipment providing additional conditioned air savings that can be recognized.

Melink Corporation Awarded GSA Certification To Work Directly With U.S. Government Agencies

CINCINNATI, OH – Melink Corporation, a global provider of energy efficiency and renewable energy solutions, just announced it has been awarded a General Services Administration (GSA) Multiple Award Services 056 Contract. This 5-year contract will enable Melink Corporation to partner directly with U.S. government agencies to deliver Intelli-Hood®, their proprietary kitchen ventilation controls, for increased energy efficiency in cooking operations. .

The US Government has been making strides towards sustainability, adopting more products and services that will improve energy usage in their buildings. The US Army compiled research on exhaust air and makeup air hood optimization, showing both the energy and financial savings of using kitchen ventilation controls to regulate the fan speed found here. Melink Corp has worked on numerous US Government projects to date, with agencies such as DOD, DOE, VA Healthcare, GSA and others with cooking operations. This certification will make it easier for the government to implement Intelli-Hood into their projects and continue to make energy efficiency a priority.

“Melink is optimistic that this GSA contract award will increase opportunities for the Government to create more sustainable operations and eliminate barriers to purchasing our Intelli-Hood controls.” said Randy Miles, VP & General Manager of Intelli-Hood.

Since inventing the first demand control kitchen ventilation (DCKV) system over 30 years ago, Melink has created significant energy savings in over 30,000 hoods across the globe. Compatible with all manufacturers, Intelli-Hood can be used in both new construction and retro-fit projects. Unique dual sensors with self-learning algorithms ensure the safest environment and the highest energy savings.

To learn more about Intelli-Hood please visit Intellihood.com.

­­About Melink Corporation: A global provider of energy efficiency and renewable energy  solutions for the commercial building industry. With four business units and a singular energy mission, we help companies save energy, increase profits and make the world a more sustainable place.

Tax Reform Bill Windfall – Reinvest In Efficient Operations for the Long Haul

Your profits just increased 14%, what are you going to do with all that cash???

Large US companies are on tap to reap the benefits of a 21% corporate tax, down from 35% (not factoring in Effective Tax Rates), under the new federal tax bill and there are many theories on where the money will go. Several companies have already given out bonuses, announced minimum wage increases, increased 401k matches, stock buyback programs, and increased shareholder dividends.  While all these are great short term shots in the arm during a time of robust economic growth, I’d like to argue that the smart play would be to invest in operational and energy efficiencies to prepare for an economic pullback and eventual awakening of the bears. Fortunately for many companies this recent time of growth has come over a period in which energy prices have been relatively flat ,or declining, resulting in reduced expenses and increased profit margins.  The rates for natural gas are slightly above 10-year lows and electrical pricing has shown a modest increase of 3% on average across the United States (https://www.electricchoice.com/electricity-prices-by-state). It would be short sided and foolish to think these rates will remain near basement levels for the long-term as geo-political flash points or natural disasters could lead to sharp increases in rates. Unless businesses invest in efficiency now they’re not going to be able to react fast enough to counter the cost of an increase should an event occur or prices quickly rebound.

 

 

Source: Market Insider Even at today’s rates most mainstream energy conservation measures (ECMs) fall at, or under, the industry benchmark of a 3-year Simple Payback Period, or ~33% ROI.  Despite the bull market running wild, it can be difficult to find a relatively risk free investment that will yield a consistent 33% return. Therefore, the smart money will point toward investing in efficiency projects now in favorable capital markets. Aside from some newly minted Bitcoin millionaires, my bet is that most “Main Street Americans” would rest easy at night knowing their investment will yield a consistent return north of 30%. There’s likely not one silver bullet technology that will drastically improve operational efficiencies, however there are many proven low risk investments such as LED lighting, HVAC upgrades, Building Management Systems, and smart building controls that can have an impact on many areas of your operations. This multi-faceted approach to energy efficiency will build a more robust infrastructure and predictable energy usage profile for business operator for when the economy eventually pulls back and rates increase. I’m not an economist, investment banker, trader, or tax analyst, but I do manage a global business and believe in growth reinvestment balanced with the protection of downside risk.  So, if you’re a building owner, asset manager, facility manager or responsible for the financial performance of your business; I urge you to mitigate your future operations cost risk and invest in efficiency today.

Higher Education Dining Trends Impact On Energy Usage

The dining experience at Colleges and Universities across the country has changed drastically over the last decade. Although it has been about ten years since I left, it feels like just yesterday I was on campus at the University of Cincinnati and Northern Kentucky University. During my tenure, the options were limited; you might find a handful of cafeterias across campus and a few popular fast food places like Wendy’s, Subway and Pizza Hut at the student union. Visiting campus now I can’t believe the changes; there are hundreds of options. The student unions have started to look more and more like casino food courts that include local options and big names. Students are seriously taking food offerings into account when considering a school, especially if they’re going to live on campus. Colleges are majorly using it to their advantage to recruit students and provide a better campus life. In 2008, NKU even constructed a new Student Union Building to compete with other local area colleges.

Over the last 7 years or so, I’ve toured dozens of higher education kitchens and the cooking operations are huge. West Point, for example, serves around 5,000 meals in a very short amount of time on any given day. All the Big 10 schools have between 7 and 10 dining halls on campus that are running for 3+ meals a day and serving a variety of options from soups and chili to baby-back ribs. With the large operations come large costs! Not just in the obvious costs including wages, salaries, and benefits, but in big time energy usage. Running the exhaust fans and the corresponding MUA units 16+ hours per day is a ton of wasted electricity. Additionally, the number of commercial exhaust hoods required to prepare the diverse food preparation means there is a ton of exhausted air and reconditioning of air required.

As schools continue to compete for higher enrollment rates and evolve with demand, they have to respond to the increased energy usage and operating expenses to ensure they can remain competitive with pricing. Many colleges and universities have tight operating budgets for their facilities, so it’s especially important to find low or no-cost ways to reduce energy expenditures. To combat these new challenges, Campus Energy Managers have started considering Demand-Controlled Kitchen Ventilation (DCKV) systems to help save the electric energy being wasted on all the new fan motors and reconditioned air. These systems conserve energy, save money and make for a quieter and more comfortable cooking experience.  Energy Managers have also started engaging students and faculty in energy conservation to save on campus energy bills. At many higher education institutions, students are the biggest advocates for energy efficiency and will respond enthusiastically to educational initiatives and conservation pledge campaigns.

 

Could Intelli-Hood be a fit for my project?

Is energy usage a pain point in your campus kitchen? Are you curious how much energy Intelli-Hood could save you?  Submit an energy savings estimate request form at the bottom of our Intelli-Hood page to get started.

 

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Lodging’s Consumer Dining Trends and Your HVAC System

Since 2010, the hotel landscape has changed drastically due to the emergence of Millennials in the marketplace. The days of long-term consistency, home-away-from-home value, and a friendly face at check-in are things of the past, and we are now seeing the need for hotel hot spots that are personalized, efficient, connected and trendy. The transformation makes hotels get creative in filling revenue discrepancies created by the quickly changing landscape, focusing more than ever on operational costs.

The change in buying power

Prior to 2010, the “Baby-Boomers” generation dominated occupancy demands. When Boomers were the bulk of the lodging customer base, focus was on consistency, more value for the customer’s dollar, a big screen TV, consistent food and beverage offerings, and a friendly, personalized check-in experience. Today, Millennials are all about Individualism, efficiency, mobile connectivity, creative and trendy food and beverage offerings, and online check-in. Due to this demand shift, along with the cost to build and the ever-changing consumer marketplace, developers are becoming more focused on the development of limited brand hotels. As of June 2017, “Upscale” and “Upper Mid-Scale” represent roughly 65% of all new build hotels.

In response to the change in customer wants and needs, hotels have majorly changed their strategy. Hilton developed the Tru® brand in response to these changes to make it easier and less expensive for developers to build. Marriott is doing an over-haul of their Courtyard® brand to create a hybrid solution to please guests from both generations. Previously, if you’d go to a major brand hotel on the east coast or the west coast, you could get the same exact cheeseburger. Those days are over! Hotels must now bring in local food and beverage options to not only keep customers eating at the hotels, but to provide a truly exceptional experience every time. A satisfied customer is no longer enough in any market today. With social media and other technologies, there’s now a need to “wow” customers. A good dining experience isn’t enough, it needs to be one of the best dining experiences they’ve ever had!

What does this mean for revenue?
In a recent article published by Lodging Magazine, Food and Beverage (F&B) profit margins are up roughly 5% since 2010, yet food purchases only rose by a CAGR of 2.3%. The two sources that continue to decline for F&B are “In-Room Dining” and “Mini-Bar” sales, which is consistent with the new emphasis of providing a unique social experience in hotel lobbies. Considering the decline in food purchases and the ever-changing marketplace, it is hard to imagine lodging has seen a 5% increase in F&B profit margins.

So how do all these items tie together and make for increased profit margins? How have the hotel management companies been able to make all these changes in a short amount of time and still increase profits? How can profit margins be up when we all know an ever-changing menu would make it harder to negotiate prices at a high-volume? It’s not one simple answer but I’ve personally seen the major management companies stepping up their game and working smarter. Revenue increases can’t be the main driver for the success. The operational efficiencies are where the differences are made!

Changing energy consumption is key

Electrical consumption for the typical US hotel is 50% in HVAC and 23% in lighting. Within food service facilities, HVAC systems account for 29% of energy consumption. Up to 75% of this load can be attributed to the commercial kitchen ventilation system. At Melink, we’ve seen many owners in the last 2 to 3 years begin installing a Demand Control Kitchen Ventilation (DCKV) system in their kitchens to help lower operational costs and solve the ever-plaguing negative air pressure issues. With the help of these owners and major brands, we’ve also developed technologies to help solve this in the ever-growing Select Service markets. Many of these projects have been packaged with LED lighting to solve 73% of the problem (per the chart below). This allows the hotel owner to take advantage of the available utility incentives, increase profit margins in the changing F&B market, show an attractive ROI to the owner, help solve air pressure issues in common spaces, and increase overall guest comfort.

If there’s one thing that’s true in this industry, it’s that change is inevitable! Management companies, owners, brands, developers, and vendors have two options: change with the market or get left behind. I’m happy to report that most of the major players are making smart and energy-conscious decisions that are ultimately improving their bottom line and increasing guest loyalty and satisfaction.

EPA Recognizes Melink Intelli-Hood® with 2015 ENERGY STAR® Emerging Technology Award

FOR IMMEDIATE RELEASE

EPA Recognizes Melink Intelli-Hood® with 2015 ENERGY STAR® Emerging Technology Award

Cincinnati, OH- January 30, 2015- The U.S. Environmental Protection Agency (EPA) has recognized Melink Corporation’s Intelli-Hood® Demand Control Kitchen Ventilation (DCKV) System with the 2015 ENERGY STAR Emerging Technology Award for its ability to significantly reduce greenhouse gas emissions. Intelli-Hood®’s accomplishments will be publically recognized at The North American Association of Food Equipment Manufacturers (NAFEM) Show in Anaheim, CA on February 19-21, 2015.

This accomplishment marks another milestone for Intelli-Hood® since pioneering DCKV technology in 1989. After overcoming regulatory obstacles and winning the 2012 AHR Product of the Year, this award further propels the market acceptance of DCKV and its aim to further green the commercial kitchen. With over 10,000 systems installed worldwide and an estimated 650 million kWh/year saved, Intelli-Hood® contributes to energy conservation goals of the top commercial food service operations.

EPA ENERGY STAR Program Manager, Una Song, responded, “We extend  congratulations and applause to Melink Intelli-Hood® for the Emerging Technology Award accomplishment.  The Intelli Hood® System is a benchmark for DCKV technology that offers energy savings with financial value.”

Craig Davis, Vice President of Intelli-Hood®, commented on receiving the award, “Melink Corporation is fully committed to sustainability, and we are focused on the development of energy efficient products and services that support this commitment.  Not only are we honored to be recognized by the EPA for our Intelli-Hood® technology, we also applaud the EPA’s effort to bringing DCKV technology, such as Intelli-Hood®, to the forefront of energy efficiency”.

Steve Melink, President of the Melink Corporation, states the following as a response, “We are very grateful for this award.  As the pioneer of automatic variable-speed controls for commercial kitchen hoods over 25 years ago, this further validates our vision and passion for innovation.”

Technology Overview

Commercial kitchen ventilation removes the heat and effluent generated by the cooking process from the kitchen space, ensuring the comfort and safety of the cooking staff.  Commercial kitchen ventilation is typically composed of an exhaust hood suspended above the cooking appliances ducted to fans necessary to expel the heat and effluent outside.  To replace the air lost through this process, make-up air (MUA) must be provided by the building’s HVAC system or a dedicated MUA fan to the kitchen, which is composed of its own fan, ducts and potentially heating or cooling depending on the climate.

DCKV provides control over the ventilation system by modulating the speed depending on cooking activity.  Traditionally, commercial kitchen ventilation systems would operate at their maximum designed speed/volume throughout the duration of the kitchen’s operating hours.  In contrast, DCKV provides automatic, continuous control over fan speed in response to temperature or optical sensors that monitor cooking activity.

About Melink Corporation

Melink Corporation is a pioneer in energy efficiency and renewable energy solutions for commercial and institutional facilities. The Cincinnati-based company has become an industry leader comprised of three businesses: Melink Test & Balance provides heating, ventilation and air conditioning commissioning services; Intelli-Hood® applies energy-saving controls to commercial kitchen ventilation systems; and Melink Solar supplies solar photovoltaic project development services for commercial building owners and utilities. Melink works with some of the largest and most successful organizations in the world, including Walmart, Apple, Google, Microsoft, Procter & Gamble, Verizon Communications, U.S. military, Target, Whole Foods Market, Hilton Hotels & Resorts, Honeywell, Siemens AG, PNC Financial Services Group, Inc. and Massachusetts Institute of Technology. In addition, Melink operates in a LEED Platinum and Net Zero Energy office building, making it the greenest building in Ohio. For more information, please visit melinkcorp.com

About ENERGY STAR

ENERGY STAR® is the simple choice for energy efficiency. For more than 20 years, people across America have looked to EPA’s ENERGY STAR program for guidance on saving energy,
saving money, and protecting the environment. Behind each blue label is a product, building, or home that is independently certified to use less energy and cause fewer of the emissions that contribute to climate change. Join the millions already making a difference at energystar.gov.

Contact:

Lucinda Carl

Melink Corporation

Marketing and Sales Specialist

T: 513.965.7300

E: [email protected]