2018 IOWA COMMERCIAL & INDUSTRIAL ENERGY AUDITS MOTORS NEW CONSTRUCTION S AV O E M

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1 2018 IOWA COMMERCIAL & INDUSTRIAL V NERGY E E A B RE S AV S TE EY SA ENERGY AUDITS MOTORS NEW CONSTRUCTION N O E M a l l i a n t e n e r g y. c o m / r e b a t e s

2 2 Contents Section Page Energy Audit... 3 Rebates Motors Feasibility Study... 9 Retro-Commissioning Study Commercial New Construction Industrial New Construction Second Nature Other services Terms and conditions Customer spotlight Cedar Rapids Community School District Cedar Rapids, Iowa The Cedar Rapids Community School District (CRCSD) consists of 32 public schools and has the second largest enrollment in the state of Iowa. Partnering with Alliant Energy, the CRCSD conducted 31 Energy Audits and identified more than 400 efficiency opportunities! The school netted an annual savings of $500,000 by completing 59 projects in just two years. Projects have included small measure installations such as occupancy sensors and equipment tune ups. In total, the school district saved over 3.7 million kwh.

3 3 Energy Audit Pinpoint energy waste If you d like to make your business more energy efficient, Alliant Energy will send a professional energy analyst to your facility to conduct an Energy Audit using the American Society of Heating, Refrigerating and Air-Conditioning Engineers, Inc. (ASHRAE) guidelines. The Energy Audit is free, provides information on your facility s energy performance and offers details to help prioritize investments in energy efficiency upgrades. These investments will help reduce energy use and operating costs of your business. The audit involves: 1. Collecting and studying historical energy usage 2. Studying the building s operational characteristics 3. Identifying and analyzing energy-saving modification opportunities 4. Prioritizing strategies that will have the greatest impact 5. Presenting a report in person The report includes: 1. Description of energy-consuming systems 2. Twelve-month billing analysis 3. Determining energy consumption by end use 4. Benchmarking of energy use and cost against peer facilities 5. Energy-saving recommendations with estimated costs and financial metrics If further analysis is recommended, Alliant Energy offers a Feasibility Study and a Retro-Commissioning Study as next steps. For additional information, see pages 9 and 10.

4 4 Rebates Rebates Standard rebates Rebates are available for a variety of energy-saving projects and equipment. Rebates include: Lighting Heating and cooling Tune-ups Insulation Air sealing Refrigeration And more! Visit alliantenergy.com/rebates or contact your key account manager to learn how standard rebates can help your business. If you re considering improvements to your facility or manufacturing process, be sure to make Custom Rebates part of your plans. Projects that result in a reduction of kwh or therms are potentially eligible for rebates. Pre-approval is required to participate in the Custom Rebate program. Custom Rebates Not all building or remodeling projects fit in a predetermined package, which is why you should keep Custom Rebates in mind if you are: Considering a process improvement project Installing more than one type of high-efficiency equipment Installing equipment that doesn t qualify for standard rebates Eligible equipment includes, but is not limited to: Advanced rooftop unit controllers Combined heat and power projects Energy management control systems Heating, cooling and ventilation systems Data center efficiency projects Compressed air systems Lighting systems and controls Processing equipment Waste heat recovery systems Combined heat and power Alliant Energy offers rebates for on-site customer-owned combined heat and power. The facility must consume 100% of the electrical and thermal power that they generate. Rebates are determined by the first year of energy dollar savings of the primary fuel serving the displaced thermal load. Contact your key account manager or call ALLIANT for more information on project eligibility.

5 5 Custom Rebates calculation Establishing a project s baseline and calculating a rebate are not always simple tasks. In addition, not all projects qualify for an incentive. Before making a commitment to proceed with a project, pre-approval must be obtained from Alliant Energy. The incentive is 200% of the first year energy dollar savings. Custom Rebates requires a one-year minimum payback, which is referred to as net payback in the formula below. Net payback formula PROJECT COST - REBATE ANNUAL ENERGY DOLLAR SAVINGS* = NET PAYBACK *Annual energy dollar savings are based on an individual customer s usage patterns and rate classification. For a retrofit or replacement project, the baseline used to calculate the incentive generally is the energy usage for the equipment being replaced. Energy dollar savings are actual savings and follow these guidelines: Baseline for replacing inoperable or worn equipment is the energy consumption of the equipment in its original condition. New equipment must meet minimum efficiency levels and be pre-approved by Alliant Energy. Projects must demonstrate permanency or sustainability of savings. Savings resulting directly from reduced production or shutdown are not eligible. Savings when production levels change will be calculated based on per-unit energy consumption before and after implementation. Industrial facilities use energy much differently than commercial buildings. Processes and supporting systems, including compressed air, refrigeration, heat rejection systems and steam, use a significant amount of natural gas and electricity. Alliant Energy offers engineering design assistance for all commercial and industrial customers to help design efficiency to all upgrades; including new equipment and process upgrades. More information Visit alliantenergy.com/customrebates, call your key account manager or call ALLIANT for more information.

6 6 Plan ahead to maximize rebate Motors Create an action plan for when motor failure strikes. Have an energy-efficient model in mind and take advantage of the following benefits: Reduced energy expense Enhanced operational efficiency Lower maintenance costs Less unscheduled downtime Rebates from Alliant Energy In order to qualify for a rebate, the motor(s) must meet specific efficiency guidelines detailed on the next page. According to the U.S. Department of Energy, motor-driven equipment consumes 64% of the total electricity used in industrial companies. This is the largest energy consumption source of your business. Decreasing this usage could make a significant impact on your monthly utility bill. [1] [1] Boosting Your Bottom Line: Three Steps To Savings From Motor System Efficiency (2012). Retrieved October 8, 2013 from com/nov2011/motor-decisions-matter-threesteps-to-savings-from-motor-system-efficiency. Variable frequency drive A variable frequency drive (VFD) controls the power supplied to the motor. When implemented, VFDs can reduce the unit s operating costs and improve overall efficiency. [2] Motor systems that could benefit from a VFD include [3] : Motors performing mechanical throttling Motor systems with high load variability Centrifugal fan, pump or blower systems Consider a rebate from Alliant Energy with your next VFD purchase. Variable frequency drive rebate = $35 x motor horsepower (5-200 hp) Note: Must be a new installation. Replacement of an existing drive, regardless of whether it is working or failed, does not qualify for a rebate. [2] What is a Variable Frequency Drive? (2013). Retrieved October 8, 2013 from what-is-a-vfd. [3] Variable Frequency Drives (2013). Retrieved October 8, 2013 from resources/asds.html#_ftn1.

7 7 Qualifying motors 1200 RPM (Range RPM) 1800 RPM (Range RPM) 3600 RPM (Range RPM) Horsepower RPM Open drip proof (ODP) Minimum efficiency (%) Rebate ($) Totally enclosed fan cooled Minimum efficiency (%) Rebate ($) % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $480 (Continued on page 8)

8 8 Qualifying motors (cont.) Horsepower RPM Open drip proof (ODP) Minimum efficiency (%) Totally enclosed fan cooled Minimum Rebate ($) Rebate ($) efficiency (%) % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $ % $1, % $ % $ % $ % $ % $ % $ % $ % $1, % $ % $1, % $ % $1, % $ % $ % $ % $ % $ % $1, % $ % $1, % $1, % $1, % $1, % $1, % $1, % $1, % $1, % $1, % $1, % $2, % $1, % $2, % $1, % $2, % $1, % $2,380 Motors above 350 horsepower may be eligible for Custom Rebates. Pre-approval is required. Call your key account manager or ALLIANT ( ) for more information.

9 9 Feasibility Study Will it work? A Feasibility Study is a detailed analysis that quantifies the benefits of the energy efficiency upgrades recommended in an Energy Audit. The study analyzes current energy use, expenses and projected energy savings to determine the costeffectiveness of a potential project. Businesses may use a qualified third-party firm to conduct the Feasibility Study, but pre-approval by Alliant Energy is required. Alliant Energy will reimburse 50% of the pre-approved study cost, up to $7,500. If your business implements 75% or more of the total energy-savings projects identified in the study within 18 months, Alliant Energy will reimburse the remaining cost of the study, up to $7,500. Projects identified through a Feasibility Study may be eligible for Custom Rebates. Save your business up to 50% on energy costs with a compressed air Feasibility Study. Compressed air can be one of the most expensive commodities, but each part of the system can be an opportunity for energy savings. The largest component is the compressor, but other equipment that determines energy efficiency includes air dryers, filters, controllers and storage tanks. Depending on the existing system and compressed air needs, an energy-efficient unit can save your business up to 50% on energy costs. Alliant Energy cannot fund a Feasibility Study for: Installation of a product or piece of equipment to verify its performance New construction projects Pilot projects and analysis of new technology Process changes not related to energy Research and development

10 10 Let s make it better Retro- Commissioning Study Consider a Retro-Commissioning (RCx) Study if your building meets the following requirements: Minimum of 20,000 square feet DDC system or process controls that are two to 10 years old and do not need any capital repairs No major system renovation plans for the area under consideration What does an RCx Study fix? A Retro-Commissioning Study identifies ways to optimize your facility s direct digital controls (DDC) or process controls. Most solutions will be no- to low-cost operational and maintenance adjustments that may result in significant energy and cost savings. Comfort issues including eliminating hot and cold spots and improving thermal comfort, stopping a noise, whistle or rattle and reducing humidity problems. This leads to happier, more productive employees as well as energy cost savings and a reduction in mold (humidity correction). Maintenance issues including equipment not operating as it should, inadequate scheduling, excessive maintenance, repair, and replacement costs and lack of control over controls. Proper scheduling and controls automation allows maintenance staff to work on other priorities and reduces energy use. Equipment issues including frozen coils and pipes, faulty dampers, air conditioning not keeping up, and process equipment and supporting systems not working together effectively. Fixing these issues reduces wear and potential damage to equipment, increases production, reduces product waste, decreases the risk of downtime and saves energy. The study provides: Information on reprogramming the building s DDC or process controls A design and control sequence with detailed instructions for reprogramming the controls Real-time verification to assure all controls are working properly Building management training to maximize the new system parameters Twelve-month comparison of pre- and post-rcx Study energy and cost savings Alliant Energy will reimburse 50% of the RCx Study cost upon completion of the study. Alliant Energy will reimburse the remaining 50% of the study cost after the RCx Study recommendations with a payback of two years or less have been completed and verified.

11 11 Commercial New Construction Design energy savings A customized energy model simulates energy use for your facility, demonstrating which strategies have the greatest impact and are the most cost-effective. Strategies are then selected by the building owner and the design team, assisted by the energy design consultant. Systems available for energy modeling include: Daylighting controls Load responsive equipment Envelope Outside air control Heating and cooling Window layouts Lighting controls and design Customers interested in the Commercial New Construction program should contact Alliant Energy before design development. This allows time to incorporate energy-efficient strategies into the building process. Multifamily Multifamily is defined as more than three units in one building shell, three stories or less, located on one lot. Multifamily new construction or major renovation projects with commercial and residential mixed usage are now eligible to participate in the Commercial New Construction program, subject to screening and approval. Visit alliantenergy.com/landlords for more information. Rebates and incentives Construction rebates are paid to the building owner to reduce the initial costs of energy-saving strategies. These rebates are based on the electric and natural gas savings modeled and verified as installed. The more energy you save, the more money you can earn. Design team incentives are paid to the building designer or architect to help offset the cost of program participation. Energy-efficient facilities can save significant energy and cost less to operate. Alliant Energy s new construction programs provide free energy design assistance and financial incentives to help offset the cost of implementing energy-efficient strategies. The program is available to customers that have new construction, additions or major renovation projects that have not yet been designed. Electric customer rebate range The electric customer rebate range is six cents per kwh for 5% savings to 19 cents per kwh for 60% savings above the current Iowa Energy Code. Natural gas customer rebate range The rebate range for natural gas customers is sixty cents per therm for 5% savings to $1.90 per therm for 60% savings above the current Iowa Energy Code.

12 12 Industrial New Construction The customized energy modeling provided by Alliant Energy s Industrial New Construction program covers both the building systems such as lighting and heating/cooling systems, and the industrial and manufacturing processes and their supporting systems. Energy modeling will identify energy-efficient strategies while the building owner and their design team selects the measures they want to incorporate. The program is designed to progress naturally as each of the components of an industrial new construction project is completed, without delaying the process. Systems available for energy modeling include (but are not limited to): Building systems: Building enclosure Lighting Heating, ventilating and air conditioning Process systems: Compressed air Chilled water Refrigeration Heat rejection Hot water and/or steam Process heating, ventilating and air conditioning Process water heating Dust collection Qualify for construction and design incentives The earlier a project enters the program, the better the potential for energy savings and incentives to help offset the cost of efficient equipment. The best opportunity to identify energy-efficient measures for the final design occurs when a project is in the conceptual or schematic phase. Design team incentives are provided to help offset the cost of program participation. Project design stage Total incentive package* Conceptual/schematic phase 2.5 times the energy bill savings Design development phase 1.5 times the energy bill savings *Limited to 50% of the incremental cost For more information, go to a l l i a n t e n e r g y. c o m / r e b a t e s or call ALLIANT ( ).

13 13 Second Nature Alliant Energy s Second Nature program enables your business to support local, earth-friendly renewable energy. Just select a flat monthly dollar amount that is right for your business and we will use those dollars to purchase wind and solar from sources in Iowa and Wisconsin. The renewable energy is added to the power mix, replacing energy that would otherwise be generated from traditional fuel sources. Your customers will appreciate your dedication to renewable energy. Plus there is no need to purchase any equipment or agree to any long-term contracts. It is a win-win! To enroll in Second Nature or for more information, visit alliantenergy.com/secondnature. Customer spotlight Silgan Containers Burlington, Iowa Silgan Containers is the largest metal food packaging provider in the United States and has over two dozen manufacturing facilities across the country. The company expanded to Burlington, Iowa and worked with our Industrial New Construction program to determine energy cost savings for their new facility. We reviewed their design plans and determined energy efficiency and rebate eligibility on items including selected specialized production equipment, energyefficient lighting and controls, and a cooling tower plant and pumps. With the energyefficient installations chosen, the company received significant rebates and will produce substantial energy savings annually.

14 14 Additional resources Other services Alliant Energy Business News Alliant Energy Business News is a free monthly e-newsletter full of valuable energy information to help you make important decisions for your business. To receive Alliant Energy Business News, visit alliantenergy.com/businessnews or call ALLIANT. Business Resource Center Whether you are building a new facility or considering an upgrade, our key account managers can help you identify energy-saving opportunities and provide solutions customized for your business. To speak to your key account manager, call ALLIANT from 8 a.m. to 5 p.m. Monday through Friday or visit alliantenergy.com/brc. Electric Interruptible program To maintain reliability and increase energy efficiency during times of peak demand, Alliant Energy provides an Electric Interruptible program to customers who can curtail at least 200 kw of energy usage. Program participants earn bill credits for reducing energy usage. To enroll in our Electric Interruptible program, or for more information, visit alliantenergy.com/interruptible, interruptible@alliantenergy.com or contact your key account manager. Building Operator Certification Building Operator Certification is a nationally recognized competency based training and certification program for operations and maintenance staff working in commercial and industrial buildings. Alliant Energy offers tuition assistance up to $500 to participants upon completion of training. For more information, visit alliantenergy.com/buildingoperatorcertification. Customer spotlight Iowa Veterans Home Marshalltown, Iowa Iowa Veterans Home (IVH) is dedicated to caring for Iowa veterans and their families. They are one of the largest state-owned facilities for veterans in the nation. IVH worked with our Commercial New Construction program to develop a number of energy conservation strategies while renovating their Dack and Malloy Halls. These strategies included occupancy sensors, a chilled beam system and VFD s on heating and cooling pumps. IVH should realize over $75,000 in annual savings from these measures.

15 15 Terms and conditions IMPORTANT: Please read the following information before completing the rebate claim form. 1. Participants must be an Iowa customer of Alliant Energy. 2. Alliant Energy must supply the primary energy to the equipment for which the rebate is being paid. Some exceptions may apply. Important information 3. Rebate amount will not exceed 50% of equipment purchase price, excluding insulation and sealing. 4. Equipment must be new equipment and installed on the premises and must not be purchased for resale. Refurbished equipment is not eligible. Some exceptions may apply. 5. Alliant Energy reserves the right to inspect and verify the installation. 6. Alliant Energy reserves the right to meter the specified equipment or process, at no cost to the customer, to determine the actual energy saved for up to 18 months after installation. 7. Rebates apply to new and replacement installations of qualified equipment, except where noted differently on the claim form. In replacement situations, the efficiency of the equipment installed must be higher than that of the equipment removed. 8. Customers are responsible for ensuring the equipment installed for this program meets all applicable codes, standards and regulatory requirements. 9. Alliant Energy does not guarantee that installation of high-efficiency equipment will result in reduced usage or demand, or in cost savings. 10. Alliant Energy makes no warranties, expressed or implied, with respect to any equipment purchased and/or installed including, but not limited to, any warranty of merchantability or fitness for a particular purpose. 11. In no event shall Alliant Energy be liable for any incidental or consequential damages. 12. Alliant Energy does not endorse any particular manufacturer, product or system design in promoting this rebate program. Listing a product does not constitute an endorsement, nor does it imply that unlisted products are defective in any way. 13. Alliant Energy reserves the right to modify or end this rebate program at any time without prior notice. 14. These programs are effective January 1, 2018 through December 31, 2018 and are subject to periodic review by Alliant Energy. 15. Any purchase of energy-efficient equipment must occur between January 1, 2018 and December 31, 2018 to qualify for rebates. Receipts must show retail equipment cost. Installation of energy-efficient equipment must occur between January 1, 2018 and January 31, Alliant Energy reserves the right to contact customers who participate in the rebate programs for surveys to monitor and evaluate program performance. 17. Submit claim forms by January 31, Rebate claim forms postmarked after January 31, 2019 may be subject to 2019 program rebate changes. 19. By participating in Alliant Energy s energy efficiency programs, you agree to the terms of Alliant Energy s Privacy Policy, available at alliantenergy.com/privacy.

16 200 First St. SE Cedar Rapids, IA For more information on these and other energy efficiency programs, give us a call between 8 a.m. to 5 p.m. Monday through Friday ALLIANT ( ) Fax (319) energyefficiency@alliantenergy.com alliantenergy.com/rebates Facts and figures referenced in this booklet were found at the following sources: energystar.gov ase.org/consumers eere.energy.gov eei.org aceee.org 2016 Alliant Energy ECRM /17 MJ