Count your savings
The standard method for evaluating an energy management
investment like insulation is to use capital planning measurements
such as simple payback period or return investment.
A better management strategy is to consider the total benefits
of the cost of an investment over the lifetime of a project. If a
given insulation project has an effective lifetime of 25 years, the
financial model needs to reflect its lifetime contribution to the
organization after the simple payback period has passed.
How to do it?
To achieve substantial savings in energy consumption and
CO2 emissions, always follow the three main
- Inspect and repair: Make sure that the insulation is promptly
and properly maintained.
- Go all the way: Insulate all thermal bridges. Even a single
uninsulated valve will cause a significant heat loss which will
increase the overall energy consumption of the plant.
- Make it possible: Upgrade the insulation so that the heat
losses are reduced to a minimum. Insulaton starts during the design
phase of the plant.