sustainability in the hospitality industry

37

Upload: ecogreenhotel

Post on 14-May-2015

1.159 views

Category:

Documents


3 download

DESCRIPTION

Presented to AGRION Network. "State of the Green Hotel Movement"

TRANSCRIPT

Page 1: Sustainability in the Hospitality Industry
Page 2: Sustainability in the Hospitality Industry

 

   M.  Sco'  Parisi,  CHA  EcoGreenHotel-­‐President    Hospitality  professional  with  over  twenty  years  experience  with  major  hotel  chains,  such  as  InterconDnental,  Starwood,  Hilton  and  Choice  Hotels.  General  Manager  of  the  United  States  first  L.E.E.D.  cerDfied  and  "Environmentally  Friendly"  Hotel;  the  Sheraton  Ri'enhouse.      EcoGreenHotel  is  a  hospitality  soluDons  company  dedicated  to  “SupporDng  Hospitality  Sustainability”  We  do  this  through  training,  educaDon,  energy  and  sustainability  soluDons  and  an  online  purchasing  channel.    www.EcoGreenHotel.com    www.EcoGreenHotelStore.com          

Page 3: Sustainability in the Hospitality Industry

Travel & Tourism forecast to pass $2 trillion GDP in 2012 Travel & Tourism is set for a milestone year as the industry’s direct contribution to the global economy is expected to pass $2 trillion in GDP and 100 million jobs. According to research by the World Travel & Tourism Council (WTTC), the global Travel & Tourism industry will grow by 2.8% in 2012, marginally faster than the global rate of economic growth, predicted to be 2.5%. This rate of growth means that Travel & Tourism industry is expected to directly contribute $2 trillion to the global economy and sustain some 100.3 million jobs. When the wider economic impacts of the industry are taken into account, Travel & Tourism is forecast to contribute some $6.5 trillion to the global economy and generate 260 million jobs – or 1 in 12 of all jobs on the planet.

David Scowsill WTTC President & CEO

Page 4: Sustainability in the Hospitality Industry

2011 closes stronger than expected for business travel with total business travel spending up 8.3% for third quarter 2011. 2012 will continue to see more measured growth as economic headwinds persist. GBTA forecasts that business travel spend will increase by 4.6% in 2012.

Page 5: Sustainability in the Hospitality Industry

The CMI Green Traveler Study 2010-11

The Green Traveler Study asked over 950 “eco-conscious” travelers • How do they travel, and how much? • What does “sustainable” or “green” travel mean to them? • How environmentally conscious are their purchasing decisions when not traveling? • What drives their interest in green travel options and destinations? • Will they pay a premium for sustainable choices? • Is there a gap between their intentions and their behavior? • What do they expect from green travel brands? •  How do they view green branding and messaging? •  What gives them trust — or makes them skeptical? • How deep is their commitment to green travel, and how far will they take it?

Page 6: Sustainability in the Hospitality Industry

The CMI Green Traveler Study 2010-11

Key Finding #1: Eco-Travelers Become Greener Travelers were more eco-conscious, shopping locally, recycling more at home and at work, buying recycled products, and avoiding unnecessary purchases. More active steps towards a sustainable lifestyle increased — composting, going vegetarian, bicycling or taking public transportation to work. Overall behavior and spending was 5-17% more environmentally friendly than 2009 respondents. 5% more respondents acted on their environmental concerns while traveling. 85% turned off the lights when they left the room 75% say they had recycled and used their towels and sheets more than once 7.5% increase in “researched and booked greener accommodations” 4% more offset the impact of their travel 5% whose environmental concerns impacted their discretionary travel style 8% increase would most likely go on a greener vacation within the next year.

Page 7: Sustainability in the Hospitality Industry

The CMI Green Traveler Study 2010-11

Key Finding #2: Low Tolerance for High Premiums – The Green Price Point 62% of respondents said that they did not pay extra to stay at a “greener hotel” . And 87.3% of travelers paid between 0 and 5%, which represents more than a 13% increase over 2009. Is green getting cheaper? Are green practices something customers don’t know they’re paying for? Are economic conditions keeping travelers from acting on their green intentions? Green is still not something customers will actually pay extra for today; they won’t pay a “green tax.” One thing is certain — price remains a central concern among travelers. Price was ranked as the #1 criterion for choosing a hotel by more travelers than any other factor, including the hotel’s environmental programs.

Page 8: Sustainability in the Hospitality Industry

The CMI Green Traveler Study 2010-11

Key Finding #2: Low Tolerance for High Premiums – The Green Price Point Insight: Make green concrete. For most people, environmental sustainability is still a relatively abstract concept — especially when compared to practical issues like price and convenience. LEED certification, carbon offsets and sustainable materials do not have the visceral appeal of an ocean view or an Olympic-sized pool. Flipping those product attributes into consumer benefits drive sales and justifying price premiums. Instead of talking about LEED certification mention pure air, natural, non-toxic carpeting and healthy, organic linens are creature comforts that could compel customers to pay a premium for sustainability. That said, numerous case studies across all tourism and hospitality segments show enormous cost-saving benefits to green initiatives, and CMIGreen identified operations as the place to find the ROI in green, not extra charges to consumers.

Page 9: Sustainability in the Hospitality Industry

• 72%  of  electricity  consumpDon  • 60%  of  total  non-­‐industrial  waste  •40%  of  primary  energy  use    •39%  of  CO2  emissions    •13.6%  of  potable  water  consumpDon  

According  to  the  US  Green  Building  Council  buildings  in  the  US  account  for:    

In  the  US  alone,  hotels  represent  more  than  5  billion  square  feet  of  space,  nearly  5  million  guest  rooms,  and  close  to  $4  billion  in  annual  energy  use.      

Business  mee?ngs  in  the  US  cons?tute  a  $175billion  industry,  and  Americans  make  more  than  400  million  long-­‐distance  business  trips  a  year.  

Page 10: Sustainability in the Hospitality Industry

In  general  a  green  hotel  will:    • Minimize  local  environmental  impact    through  the  use  of  new  technologies  to  use  less  energy,  water  and  resources  than  tradiDonally  operated  counterparts.    • Provide  direct  financial  benefits  for  the  building  owners  and  operators  (lower  operaDonal  costs)  •Build  environmental  and  cultural  awareness  (educate  consumers)  •Provide  posiDve  experiences  for  both  guests  and  hosts.  •Have  improved  indoor  air  quality    

What  is  the  Standard  Defini<on  a  ‘Green’  or  ‘Sustainable’  Hotel?  

The  hotel  will  be  operated  under  the  sustainability  principals  of:  People,  Profit,  Planet  

Page 11: Sustainability in the Hospitality Industry

• Use  26%  Less  Energy  • Emit  33%  Carbon  Dioxide    •Use  30%  Less  Indoor  Water    •Send  50%-­‐75%  Less  Solid  Waste  to  Landfills  and  Incinerators  •Green  Buildings  can  also  encourage  the  use  of  alternaDve  transportaDon  (walking,  mass  transit,  low-­‐emission,  fuel-­‐efficient  or  alternaDve  fuel  vehicles)  

According  to  the  US  Green  Building  Council  a  ‘Green’  or  ‘Sustainable’  Hotel  will:    

The  hotel  will  be  operated  under  the  sustainability  principals  of:  People,  Profit,  Planet  

Page 12: Sustainability in the Hospitality Industry

What  is  the  Standard  Defini<on  a  ‘Green’  or  ‘Sustainable’  Hotel?  

Currently,  there  is  NO  universally  accepted  Green  Hotel  Standard    

Page 13: Sustainability in the Hospitality Industry

Third  Party  EcoLabel  Cer<fica<ons  

Page 14: Sustainability in the Hospitality Industry

According  to  a  Responsible  Purchasing  Trends  report,  the  three  most  recognizable  eco-­‐labels  are:    

     Recognized                    U<lized    ENERGYSTAR                    100%                                    94%  LEED                            91%                                    70%                    GREENSEAL                        90%                                    66%  

Page 15: Sustainability in the Hospitality Industry

1)  EnergyStar  Benchmark    

2)  EnergyStar  Labeled  Building    

GS-­‐33    

•  Bronze  

•  Silver    

•  Gold    

Scored  between  1-­‐100.  50  is  average.    75  or  above  is  required  to  receive  label.  

Must  meet  minimum  standards  for  waste  reducDon,  energy  efficiency,  water  use  reducDons,  green  cleaning,  hazardous  substances  etc.  

LEED  NC,  EB  O&M,  CI    

•  Cer<fied  

•  Silver    

•  Gold    

•  Pla<num    

Most  stringent  of  the  three  standards.  Requires  earning  points  for  site  selecDon,  indoor  air  quality,  waste  reducDon,  energy  efficiency,  water  use  reducDons,  and  purchasing  

Page 16: Sustainability in the Hospitality Industry

       

Page 17: Sustainability in the Hospitality Industry

What  Cer<fica<on  is  right  for  my  hotel?   EcoRooms® & EcoSuites™: (www.ecorooms.com) Certified properties must meet eight strict eco-criteria for membership and certification. The criteria includes: use of Green Seal certified cleaning and paper products, towel and linen reuse program, recyclable waste program, energy efficient lighting, high efficiency plumbing, and 100% smoke-free properties.Rating: Must meet all eight program requirements Recognized/Chosen by: American Hotel and Lodging Association (AH&LA) and the American Automobile Association (AAA). EPA’s Energy Star label: (www.energystar.gov) The Environmental Protection Agency’s Energy Star program enables buildings to qualify through meeting strict energy performance standards. Energy Star labeled properties use less energy, have reduced operating expenses, and reduced greenhouse gas emissions. To be certified, the property must attain a minimum score of 75, the top 25%, based on EPA’s National Energy Performance Rating System. As of November 2010, there are 426 Energy Star labeled U.S. hotels. Rating: Must obtain a score of 75 or higher.

 

Page 18: Sustainability in the Hospitality Industry

What  Cer<fica<on  is  right  for  my  hotel?   Green Globe Certification: (www.greenglobecertification.com) This is a certification label for sustainability in both management and operations. Certification criteria cover several areas, including sustainable management and social economic, cultural heritage, and environmental aspects of sustainability. The program’s criteria are also updated annually to ensure international compliance. Rating: Must achieve threshold of at least 35% of the total 1,000 points Green Key®: (www.greenkeyglobal.com) The Eco-Rating program is specifically designed for hotel operations to rank, certify and inspect green initiatives. Based upon a comprehensive environmental self-assessment, hotels are ranked and provided with guidance on how to “unlock” opportunities. The program assesses the five main operational areas of a property and covers nine sustainable practices. An on-site inspection may be conducted to confirm green hotel rating. Rating: One to Five Green Keys Recognized/Chosen by: Carlson Hotels, Hyatt Hotels, Motel 6,MGM Resorts International, Sofitel, Fairmont Hotels & Resorts and Accor in the U.S/North America region.

Page 19: Sustainability in the Hospitality Industry

What  Cer<fica<on  is  right  for  my  hotel?   Green Seal certification: (www.greenseal.org) This tiered certification is presented to those lodging properties that achieve various levels of compliance with GS-33, Green Seal Environmental Leadership Standard for Lodging Properties. Properties must demonstrate science-based evaluation of sustainable practices in following areas: waste minimization, energy efficiency, conservation and management, management of fresh water resources, wastewater management, hazardous substances, and environmentally conscious purchasing. Rating: Bronze, Silver or Gold Levels Recognized/Chosen by: The city of Los Angeles through its Green Business Initiative, as well as Chicago through its Green Hotels Initiative. USGBC LEED® certification: (www.usbgc.org/leed) The Leadership in Energy and Environmental Design (LEED) Green Building Rating System™ is the nationally accepted benchmark for the design, construction, and operation of high performance green buildings. Promotes a whole-building approach to sustainability by recognizing performance in five key areas: sustainable site development, water savings, energy efficiency, materials selection, and indoor environmental quality. Rating: Certified, Silver, Gold, or Platinum Level  

Page 20: Sustainability in the Hospitality Industry

5 © 2009 Greener World Media, Inc. (www.greenerworldmedia.com). May be reproduced for noncommercial purposes only, provided credit is given to Greener World Media, Inc., and includes this copyright notice.

185

21,173

49,167

264

3,959

7,359

70

2,197

4,361

37

3,508

7,707

Cumulative LEED NC Certified SF Cumulative LEED CS Certified SF Cumulative LEED CI Certified SF Cumulative LEED EB Certified SF

2009 2020 2030

Floor Area Forecast(millions of square feet)

This year we are expanding our coverage of market trends in LEED, hence the renaming of the report as “Green Building Market & Impact Report.”

Overall, LEED market performance greatly exceeded our expectation of a flattening and maybe even a decline. Total registered and certified floor area in 2009 is estimated to grow by over 40% compared to last year’s totals for a cumulative total of over 7 billion square feet worldwide since LEED was launched in 2000.

This growth is perplexing for a couple of reasons. First, dramatic declines in 2009 U.S. new non-residential construction starts—by some estimates almost 40% below the peak of 2007—means that new non-residential construction might dip below the one billion square foot mark, yet registrations of LEED new construction projects in the U.S. are expected to exceed 1 billion square feet! [This includes LEED New Construction (NC), Core & Shell (CS), Commercial Interiors (CI), LEED Schools and LEED Retail, but not LEED for Existing Buildings(EB).]

What is going on?

We think a couple things might be operating here. The unexpected growth

LEED Market Trends

The current economic

situation coupled with increased

stringency in the LEED requirements

will contribute to an expected

slowdown.

LEED  new  construction    projects  in  the  U.S.  expected  to  exceed  one  billion  square  feet!      [This  includes  LEED  New  Construction  (NC),  Core  &  Shell  (CS),  Commercial  Interiors  (CI),  LEED  Schools  and  LEED  Retail,  but  not  LEED  for  Existing  Buildings(EB).]  

1 © 2009 Greener World Media, Inc. (www.greenerworldmedia.com). May be reproduced for noncommercial purposes only, provided credit is given to Greener World Media, Inc., and includes this copyright notice.

by ROB WATSON

.comExecutive Editor

REPORT2009

GREEN BUILDING

IMPACT MARKET

AN

D

Greener World Media

Page 21: Sustainability in the Hospitality Industry

What  are  Hotel  Companies  Doing  to  Create  Green  Programs?   • Fairmont  Hotels  &  Resorts  –  One  of  the  first  hotel  companies  to  incorporate  sustainability  into  their  organizaDon,  Fairmont’s  Environmental  Policy  outlines    their  commitments  to  protecDng  the  natural  world.  

• Starwood  Hotels  and  Resorts  in  addiDon  to  a  brand  wide  Environmental  Sustainable  Policy  all  Element  Hotels  are  to  pursue  the  U.S.  Green  Building  Council's  (USGBC)  LEED  CerDficaDon  

• Marrio'  –  Has  over  275  Energy  Star  Labeled  Hotels  and  LEED  CerDfied  prototypes.  Spirit  to  Preserve  is  Marrio'’  s  Social  Responsibility  and  Community  Engagement  program  

• Hilton  has  launched  LightStay    and  a  Environmental  Policy  are  available  on  Hilton’s  Sustainability  web  page.    

• IHG  –  LisDng  eight  steps  it  will  take  to  improve  its  relaDonship  with  the  earth,  IHG’s  Environmental  Policy  is  clear  and  aggressive  including  a  branded  Program  Green  Engage    

 

Page 22: Sustainability in the Hospitality Industry

What  are  Hotel  Companies  Doing  to  Create  Green  Mee<ngs?  

• Starwood  Hotels  &  Resorts  has  introduced  green  meeDng  guidelines  at  its  North  American  properDes  and  plans  to  roll  out  the  pracDces  globally  next  year.  

• Fairmount  Hotels-­‐Eco-­‐Meet  program  helps  meeDng  planners  by  providing  a  meeDng  structure  that  encourages  maximum  waste  diversion  and  environmental  awareness  for  conference  delegates.  

• Kimpton  Hotels-­‐EarthCare  program  donates  a  porDon  of  the  proceeds  to  the  Trust  for  Public  Land.  

• Rosen  Green  MeeDngs®  are  events  which  are  conducted  in  specific  ways  which  help  reduce  the  environmental  burdens  imposed  by  such  acDviDes.    

 

Page 23: Sustainability in the Hospitality Industry

Partners  in  Energy  Conscious  InnovaDon            brining  you  the  greenest  hotels  on  the  planet  

Page 24: Sustainability in the Hospitality Industry

Case  Study  #1  –  Swimming  Pool  Energy  and  Water  Reduc<on      

Install   $350  

Annual  Cost   $700  

Energy  Savings   10%  to  30%  reducDon  in  swimming  pool  heaDng  costs  

 HeatSaver:  a  bio-­‐degradable  non-­‐toxic  liquid  that  reduces  evaporaDon  in  outdoor  swimming  pools  by  approximately  30%    

§   AutomaDc  Dmer  adds  4oz  of  product  for  every  1500  square  feet  of  pool  §   Liquid  rises  to  top  and  creates  hydrophilic  barrier  invisible  to  guests  

Hotel  Valencia  in  San  Jose,  CA  is  saving  $12  per  day,  up  to  $4,380  annually    

Page 25: Sustainability in the Hospitality Industry

Case  Study  #2  –  Swimming  Pool  Chemical  Use  Reduc<on    Salt  Water  Conversion  -­‐  12  Hotel  Poroolio

Kana  Hotel  Group  converted  12  swimming  pools  from  tradiDonal  Chlorine  systems.    The  $18,000  investment  in  salt  water  conversion  equipment  had  a  simple  payback  of  less  than  nine  months.    They  were  able  to  reduce  chemical  consumpDon  from  $150  of  chlorine  per  month  to  $6  per  month  in  salt.    12  hotels  X  $1,500  =  $18,000    conversion  and  install  cost    

$150  monthly  Chlorine  x  12  months  x  12  hotels  =  $21,600  

$6  monthly  Salt  x  12  months  x  12  hotels  =  $864    

 

   Annual  Savings  (Year  2  and  beyond)-­‐  $20,736  

 

Page 26: Sustainability in the Hospitality Industry

Case  Study  #3  –  Wireless  Energy  Management  Guest  Room  Controls

There  are  a  wide  number  of  manufacturers  and  installers  to  provide  wireless  controls  for  guest  rooms  to  efficiently  manage  building  energy.    The  wireless  controls  interface  with  the  hotel  sosware  to  give  management  direct  control  of  PTAC  energy  use.    

Direct  Controls  allow  hotel  operators  to  reduce  energy  use  in  un-­‐occupied  guest  rooms  through  sosware  interface.      

 

Typical  claims  of  energy  savings  for  a  100  room  hotel  is  approximately  20-­‐30%  of  total  energy  used  for  guest  rooms    

Page 27: Sustainability in the Hospitality Industry

Case  Study  #3  –  Wireless  Energy  Management  Guest  Room  Controls

Evolve,  an  affiliated  company  of  MCP  and  the  Mason  Family  of  Companies,  installed  an  energy  management  system  in  a  full  service  hotel,  in  Washington,  DC  in  April  of  2010.    At  the  heart  of  the  occupancy-­‐based  energy  management  system  is  a  wireless  keycard  system,  ouoi'ed  to  control  HVAC  operaDon,  lighDng  and  television  energy  usage  in  a  hotel  guest  room.        A  third  party  firm  monitored  the  results  of  the  installaDon  and  a  report  was  generated.  The  findings  showed  a  successful  energy  savings  factor.      During  the  months  when  air  condiDoning  and  cooling  were  needed  there  was  a  13.2  %  savings.    In  the  months  requiring  the  heaDng  system  running  the  savings  showed  5.9%.  In  the  shoulder  months  where  neither  heaDng  nor  cooling  were  the  prevalent  factor  there  was  sDll  a  6.8%  savings.      

 

Page 28: Sustainability in the Hospitality Industry

Case  Study  #4  –  Guest  &  Back  of  the  House  Recycling  

Reducing  commercially  viable  waste  from  your  stream  is  the  key  to  savings.  Holiday  Inn  –  San  Antonio  Airport  

400  room  full  service  hotel  began  recycling  program  2007  as  a  pilot  program.    

Program  started  with  an  8  yard  recycling  dumpster  and  40  yard  trash  dumpster.    2008  began  single  stream  for  back  of  house  and  guest  room.    Now,  they  recycle  83  tons  using  a  40yd  recycle  bin  and  an  8yd  trash  bin.      

The  40yard  trash  dumpster  =  $250  per  haul  to  landfill  vs.  $75  per  haul  for  recycling.    

   Savings  =  over  $10,000  per  year  

 

Page 29: Sustainability in the Hospitality Industry

Public  Areas,  Meeting  Rooms  and  Back  of  House  LightingElectric  Rate

0.09 Per  KWh

ECM  Ref  #

Location Qty Baseline  Technology Upgrade  TechnologyCost  Per  Item

Labor Total  CostSavings  Logic

Projected  Savings/Yr

Savings  Per  Room/Yr

Daily  Savings    Per  Room

Payback    in  Yrs

Fix  A

1st  Floor  Lobby,  entrance,  Fire  Place  

Seating,  and  Breakfast  Area,  Kitchen 69

Recessed  6"  Downlight  Burning  One  (1)  65W  Incandescent  (24  Hour  Burn)

Relamp  with  a  LEDNovation  LED-­‐PAR30L-­‐75-­‐1WD-­‐IF  (12  W)

$60.00   $0.00   $4,140  Reduced  

KW $3,090   $27.59   $0.076   1.34  

Fix  B Banquet  Pre  Function 23

Recessed  6"  Downlight  Burning  One  (1)  65W  Incandescent  (12  Hour  Burn)

Relamp  with  a  LEDNovation  LED-­‐PAR30L-­‐75-­‐1WD-­‐IF  (12  W)

$60.00   $0.00   $1,380  Reduced  

KW $550   $4.91   $0.013   2.51  

Fix  C

Meeting  Rooms  Three  Sections  at  14  Fixtures  

Each 42

Recessed  6"  Downlight  Burning  One  (1)  65W  Incandescent  (10  Hour  Burn)

Relamp  with  a  LEDNovation  LED-­‐PAR30L-­‐75-­‐1WD-­‐IF  (12  W)

$60.00   $0.00   $2,520  Reduced  

KW $857   $7.65   $0.021   2.94  

Fix  DPendent  Lights  over  Breakfast  Tables 14

Seven  Pendent  Fixtures  buring  two  (2)  40  W  Incandescents.  

Relamp  with  A  Type  LEDNovation  LED-­‐A19-­‐40-­‐1D-­‐I  (3.4  W)

$46.00   $0.00   $644  Reduced  

KW $446   $3.98   $0.011   1.44  

Fix  E Lobby 24

Lobby  Chandelier  burning  24  candelabra  25W  incandescent  bullbs

Relamp  with  a  LEDtronics  candelabra  DEC02-­‐B10E12F-­‐XIW-­‐120AW  (2.4  W) $38.00   $0.00   $912  

Reduced  KW $501   $4.47   $0.012   1.82  

Fix  F Bar 5

Bar  Pendents  burining  one  (1)  25  W  candelabra  bulb

Relamp  with  A  Type  LEDNovation  LED-­‐A19-­‐40-­‐1D-­‐I  (3.4  W)

$46.00   $0.00   $230  Reduced  

KW $72   $0.64   $0.002   3.20  EcoGreenHotel  Proposed $9,826.00 $5,515.78 $49.25 $0.13 1.8Total  of  Possible  Upgrades

Page 30: Sustainability in the Hospitality Industry

Case  Study  #6  –  On-­‐Demand  Boiler  Management  Systems  

Reducing  energy  demand  for  domesDc  hot  water  through  the  use  of  on-­‐demand  controls.    Patented  technology  developed  and  tested  over  the  last  2  years  for  hotels,  mulD-­‐family  housing,  schools  and  other  large  scale  applicaDons.    

The  savings  from  reduced  water  hea?ng  30%  or  greater  annually    

Typical  ROI  for  Boiler  Energy  Cost  Management  System  is  18  months  or  less    

Page 31: Sustainability in the Hospitality Industry

Case  Study  #7  –  Ozone  Laundry  

Ozone  is  the  single  most  powerful  oxidant  available  for  commercial  water  treatment.    O3  is  an  acDvated  form  of  oxygen  is  150%  stronger  and  3,000  Dmes  faster  reacDng  in  aqueous  soluDon  than  chlorine.  A  highly  effecDve  biocide,  fungicide,  and  deodorizer,  ozone  almost  instantly  disinfects  water  on  contact.  

Water  hea?ng  cost  reduc?ons  of  80%  to  90%.    Wash  temperatures  can  be  lowered  from  140/180F  to  90/105F        

Chemical  cost  reduc?ons  of  20-­‐25%          

Page 32: Sustainability in the Hospitality Industry

Case  Study  #7  –  Ozone  Laundry  Utility Start End Usage*  Cost   Occ  %

Average  #  of  Occupied  

Rooms

Usage**  Attributed  to  Laundry

Usage*  Per  Occupied  Room

Savings  Per  Occupied  Room*

%  Savings  Per  

Occupied  Room

 Utility***  Rate    Avoided  Cost  

Gas   06/27/09 07/28/09 1,403 1,643.52$   67.1% 51.7 543 10.5006/26/10 07/28/10 1,097 1,232.00$   85.9% 66.1 424 6.41 -­‐4.09 -­‐38.9% 1.1230$         (303.59)$                

07/29/09 08/27/09 1,042 1,225.36$   58.7% 45.2 403 8.9107/29/10 08/27/10 924 1,047.12$   71.9% 55.4 357 6.45 -­‐2.46 -­‐27.6% 1.1230$         (153.00)$                

Water 06/27/09 07/28/09 298 840.04$         67.1% 51.7 89 1.7306/26/10 07/28/10 238 806.59$         85.9% 66.1 71 1.08 -­‐0.65 -­‐37.6% 3.3890$         (145.89)$                

07/29/09 08/27/09 258 757.81$         58.7% 45.2 77 1.7107/29/10 08/27/10 189 691.50$         71.9% 55.4 57 1.02 -­‐0.69 -­‐40.2% 3.6587$         (139.42)$                

Sewer 06/27/09 07/28/09 298 1,935.43$   67.1% 51.7 89 1.7306/26/10 07/28/10 238 1,594.03$   85.9% 66.1 71 1.08 -­‐0.65 -­‐37.6% 6.6976$         (288.32)$                

07/29/09 08/27/09 258 1,707.83$   58.7% 45.2 77 1.7107/29/10 08/27/10 189 1,315.22$   71.9% 55.4 57 1.02 -­‐0.69 -­‐40.2% 6.9588$         (265.17)$                

*  Gas  is  Measured  in  Therms.    Water  &  Sewer  are  Measured  in  CCF  (100  Cubic  Feet) Estimated  Savings  on  Chemicals  (2  Months)  = (345.57)$                

**  68.9%  Gas  is  Used  to  Heat  Domestic  Hot  Water,  11.11%  for  Dryers  (excludes  space  heating). Total  Avoided  Cost  During  Study  Period  =   (1,640.95)$          40%  of  water  is  Kitchen  &  Laundry,  adjusted  to  30%  for  laundry  only  (minimal  kitchen).Percentages  based  on  data  from  a  study  of  Hotels  conducted  for  NationalGrid,  2004. Estimated  Avoided  Cost  Per  Month  =   (820.47)$                

***  Gas  is  bil led  using  incremental  rates;  lower  marginal  rates  for  this  analysis. Estimated  Avoided  Cost  Per  Year  =   (9,845.70)$          

Ozone  System  &  Installation  Provided  Courtesy  of  US  Energy  Solutions. Payback  based  on  $16,500  Cost  of  System  (Years)  =   1.68$                            

Page 33: Sustainability in the Hospitality Industry

 82    

 65    

 75    

Score  1-­‐  100  

EPA's  Energy  Performance  Scale  

Minimum  Score  to  Qualify  for  EPA's  Energy  Star  Current  Buidling's  Score  

0  

50  

100  

150  

200  

Best  in  Region  Average  in  Region  

Page 34: Sustainability in the Hospitality Industry
Page 35: Sustainability in the Hospitality Industry

COST  BY  ECM SAVINGS  BY  ECM  (Annual)

ENERGY  CONSERVATION  MEASURES TOTAL  COST TOTAL  COST

Boiler  Management  System 10,945$                             Boiler  Management  System 6,427$                                Commercial  Refrigeration  Efficiency 2,702$                                 Commercial  Refrigeration  Efficiency 2,145$                                EMS  Common -­‐$                                                 EMS  Common -­‐$                                                EMS  Guest  Rooms 84,898$                             EMS  Guest  Rooms 44,946$                            Kitchen  Sink  Pedal  Valves 1,432$                                 Kitchen  Sink  Pedal  Valves 421$                                      Lighting  (Lobby,  BOH,  Pool) 3,726$                                 Lighting   (Lobby,  BOH,  Pool) 5,252$                                Noveda  EnergyFlow  Monitor 12,475$                             Noveda  EnergyFlow  Monitor 3,249$                                OCC  Sensors  (Guets  Rm,  BOH,  and  Public) 2,102$                                 OCC  Sensors  (Guest  Rooms,  BOH,  and  Public) 1,412$                                Ozone  Laundry  Solution 24,090$                             Ozone  Laundry  Solution 14,382$                            Pool  Solutions  -­‐  Aqua  Rite 3,485$                                 Pool  Solutions  -­‐  Aqua  Rite 1,463$                                Pool  Solutions  -­‐  Heatsavr 2,157$                                 Pool  Solutions  -­‐  Heatsavr 1,245$                                Window  Conservation 27,345$                             Window  Conservation 9,173$                                

TOTAL  COST 175,357$                         90,115$                            

TOTAL  COST  PER  ROOM 772$                                                       TOTAL  ENERGY  SAVINGS  % 51.39%

12  MONTH  ENERGY  SPEND  (Including  Water) 668,303$                                      

%  OF  ANNUAL  SAVINGS 13.48%PROPOSED  ENERGY  SPEND  (Including  Water) 578,188$                        

FIVE  YEAR  CASH  FLOWYEAR  1 YEAR  2 YEAR  3 YEAR  4 YEAR  5 TOTAL

 Project  Financing  @  5%   (42,768)$                           (42,768)$                           (42,768)$                           (42,768)$                                             (42,768)$                           (213,840)$          Energy  Savings  *   90,115$                             94,621$                             99,352$                             104,319$                                           109,535$                         497,942$            Maintenance  Savings   1,685$                                 1,348$                                 1,078$                                 863$                                                         690$                                       5,664$                    EPACT  30%  Tax  Rate  at  @.80  per  sq.ft.   38,871$                             38,871$                Progress  Energy  Rebate  Program   14,231$                             14,231$                Progress  Energy  Demand  Reduction     9,000$                                 9,000$                    Progress  Energy  Generator  Response  Program   3,200$                                 3,200$                    Professional  Engineering  and  Tax  Services   (14,325)$                           (14,325)$              Project  Management  Fees   (14,029)$                           (14,029)$              Annual  Cash  to  Property   85,980$                             53,201$                             57,662$                             62,414$                                               67,458$                             326,715$            Cumulative  Cash  Flow   85,980$                             139,181$                         196,843$                         259,257$                                           326,715$                         326,715$          

ENERGY  CONSERVATION  MEASURES

TOTAL  ENERGY  SAVINGS

Page 36: Sustainability in the Hospitality Industry

Energy  Efficiency  Tax  Advantages   Building Cost Audit – There are tax advantages that most investors find too confusing or simply too time consuming to take advantage of. By engaging a specialized accounting firm with engineering expertise you can qualify for significant tax deductions.

EPACT05 Energy Tax Deduction (requires independent certification of the energy efficiency measures). Cost Segregation – Properly determine depreciable life of building components, maximizing current deductions. Abandonment – Certain long term assets may be written off due to renovation of the building, maximizing current deductions.

Page 37: Sustainability in the Hospitality Industry

   

Ques?ons?      

THANK  YOU  FOR  YOUR  TIME      

Contact  EcoGreenHotel    [email protected]  

   

www.EcoGreenHotel.com  www.EcoGreenHotelStore.com