INFORMATION #2 12-06-2010INFORMATION
innesota Success Stories:
Energy Efficiency & Conservation Block Grant
Elk River Ice Arena
Location: Elk River
Efficiency improvements: new lighting, low-emissivity ceiling,
boiler system replacement
Project cost: $142,000
Utility rebate +EECBG grant: $100,000
Grant enables Elk River energy efficiency project
Elk River, Minnesota, is proactive about energy savings. The city earned "Energy
City" status in 1997 from the Minnesota F,nvironmental Initiative, and it has been a
model for efficient and renewable energy ever since.
So when the Minnesota Department of Commerce, Office of Energy Security
(OF..S) announced its competitive Energ}• Efficiency and Conservation Block Grant
(EECBG) program in December 2009, it was no surprise that Elk River jumped
at the opporttinitj-. The city proposed retrofitting its ice arena with various energy-
efficiency improvements such as new lighting, aloes-emissivity ceiling, and a boiler
system replacement.
"The Elk River project was an excellent fit for our grant," said Jeremy de Fiebre,
supervisor of the State Energy Program and EECBG. "It is doing what EECBG
intended: saving energy reducing greenhouse gas emissions, and providing jobs."
The Elk River grant proposal was approved ui February 2010. By September, the
$142,000 project was complete. EECBG covered almost t<vo-thirds of the project's
cost. After nearly $13,000 in utility rebates, Elk River paid just $42,000. ~x'ith an
estimated payback period of five years, the project should enable the city to earn a
handsome return on its investment.
"It's been awin-win project," said Tim Simon, finance director fox Elk River. "«'e're
saving Elk River money and saving energy at the same time."
The retrofits have allowed Elk River to continue operating its ice arena at a high
level of service, while reducing overall energy consumption and decreasing operat-
ing costs. The city will use the ice arena retrofit as a model for its future energy-ef-
ficient improvements. It is conducting energy benchmarkiiig of the facility and will
track energy-use data over the nest tluee years for OES.
EECBG attracts range of projects
The Elk River Ice Arena retrofit is just one of dozens of municipal energy-effi-
ciency projects completed or in progress across the state. Madison Lake replaced its
failing HVAC system at City Hall. Pavnesville did the same and added more efficient
lighting to its Fire Hall. Franklin is in the process of adding a new district heating
system fueled by biomass, while Ely is conducting a study on the cost of a city-
wide district heating system. All of the projects were funded by OES through the
F,ECBG program.
The EECBG program got a big boost in 2009 when OES received $10.4 million
for the program from the American Recovery and Reinvesrinent Act. Silty percent
of those funds were earmarked for competitive grants to cities and counties, such
as Elk River, that were not eligible to receive direct formula grants from the U.S.
Elk River made several efficiency improvements to its ice arena, including an innovative low-
emissivityceiling that reduces the refrigeration load for the ice sheet.
(over)
Department of Energy: Out of 127 applicants, 92 grantees were approved to re-
ceive up to $100,000 in competitive EECBG funding. The majority of those grants
(85) were awarded for energy-efficient improvements to existing buildings (mostly
lighting replacement, I IVAC upgrades, new windows and doors, uisulation, and air
sealing). The a~-erage project is expected to pay for itself within seven or eight years.
Low-e ceiling is energy saver
Of all the energy-efficient improvements made to Elk River Ice Arena, the instal-
lation of a low-e ceiling in the Olympic-sized rink of the two-rink center was the
tnost innovative. Ice arena manager Rich Czech did his homework and learned
about low-e ceilings from a study conducted by researchers from the Center for
Energy and Environment in Mitmeapolis. Heat from the ceiling and lights radiates
down on the ice sheet and increases the load on the refrigeration, according to the
study. The low-e ceiling provides a barrier that effectively reduces the amount of
heat absorbed by the ice sheet.
An analysis of Elk River's low-e ceiling estitnates a savings of 144,319 kWh per
year. The low-e ceiling cost $65,820 but is expected to save the city $12,829 annu-
ally. It has a projected payback period of about five years, or an annual return on
investment of about 20 percent.
Given that the life of the ceiling is 20 years, the low-e ceiluig should be a pretty
good investment, said Czech. "We're already noticing improved quality in our ice
sheet," he added. "The ice sets up quicker, harder. We're able to lower the tempera-
hire of the water used in the Zamboni which contributes to our energy savings.
"The low-e ceiling is one of the more innovati~-e and effective energy-saving strate-
gies recommended fox ice arenas, so we were excited to include it in our grant ap-
plication," added Czech.
New boilers, lighting
In addition to the low-e ceiling, two new 310,000 BTL? boilers, operating at 93.3
percent efficiency; replaced two 80-percent efficient boilers at the ice arena. They
are used for the in-floor heating system in the locker room and to heat the water
used to resurface both sheets of ice. The new boilers cost $20,730 (with a payback
he projected overall savings per year for the Elk River
arena: 260,422 kWh, 4,019 therms, and $25,727.
Project cost: $142,000. Grant/Rebates: $100,000.
of 4.6 years) and are projected to
save 4,019 therms per year and
$4,448 annually.
Outdated lighting fixtures
throughout the arena were
replaced with high-efficiency
fluorescent, ceramic metal ha-
lides, and LED fixtures. The new
lighting provides more versatility
in the system and permits varied
lighting levels during off-peak
use. The lighting improvements
cost $55,713 and have a payback
of about siY years. They- will save
an estimated 116,103 kW1~ per
year and $8,418 per year.
7"he lighting and boiler re-
placements were in Elk River's
five-year capital improvement
plan, "but the grant opportunity
certainly accelerated our pursuit
of those projects," said Simon.
The new 93.3 percent efficient boilers provide heat to
the locker room and heat the water for the ice resur-
facing. Replacing the old 80 percent boilers will yield
"Given the light economic times, an estimated payback of a little over 4 %2 years.
many of the EECBG projects
would have never happened and others would have been delayed if not for the
funding," said de Fiebre. "Instead, the 92 EECBG projects will achieve an estimated
annual energy savings of 78,000 MMBTUs and 8,000 tons of greenhouse gas re-
ductions per year."
To learn more...
For more information on OES
and its programs, visit our website:
energy.tnrt.gov
Fox a complete listing of all gov-
ernment and utility incentives for
efficiency and renewables, visit
the Database of State Incentives
for Renewables and Efficiency:
dsireusa.org
Minnesota Success Stories
creating jobs • saving energy
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-- - -- ecurity
Minnesota Department of Commerce
85 7th Place East, Suite 500, St. Paul, Mn 55101-2193
www.energy.mn.gov 651-296-5175 800-651-3710
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