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Lights Out

Little tricks can save you big bucks on your electricity bill. Here's how to conduct your own energy audit and start saving today.

By Eileen Figure Sandlin

Imagine increasing the size of your business by nearly 300 percent, with just a one-third increase in your electricity bill. That's exactly what David Bolduc, owner of Boulder Book Store in Boulder, Colorado, did when he moved his 7,000-square-foot bookstore into a new 20,000-square-foot facility. He pulled off this energy coup by conducting a do-it-yourself energy audit, then installing energy-efficient equipment and upgrading old lights with fluorescent lamps containing electronic ballasts.

"We constantly update the store as new technology evolves," says Bolduc. "So even when energy costs rise, our utility costs stay constant."

Achieving these kinds of energy savings is within reach of any small-business owner. All it takes is an energy audit to identify areas of potential savings, and the willingness to invest in the necessary upgrades and new technology. In return, you'll recoup your investment in a short period of time-often just a few years.

You can easily conduct your own energy audit. Just take a walk through your facility and evaluate the following areas where energy loss most commonly occurs.

Fluorescent lighting: If you're not using energy-efficient T8 fluorescent lamps with electronic ballasts, you're using up to 40 percent more energy than you would with newer technology. 

Incandescent lighting: Compact fluorescent lamps consume 75 percent to 80 percent less energy than incandescent bulbs and last up to 15 times longer, saving both energy and money.

Lighting controls:  If lights don't turn off when people leave a room (including bath-rooms), install timers or photocells to do the job.

Hot-water tank temperature:  A setting of 105 degrees is usually high enough for hand washing-and if you install an insulating blanket on the tank, you'll prevent heat loss and save energy.

Windows and doors:  Even small holes or gaps around these openings can lead to energy losses. Install weather stripping or caulk to prevent costly heat and air-conditioning leaks.

Thermostat setting:  "The best cost savings for small businesses come on heating and cooling costs," says Manoj K. Guha, an energy consultant in Upper Arlington, Ohio, who works with the U.S. Department of Energy and other organizations. "Setting the thermostat at 65 degrees or lower [in winter] when no one is in your building will save 15 percent to 20 percent on your heating bill."

Equipment maintenance: Replacing air filters, cleaning refrigeration coils and tuning up furnaces will improve energy efficiency and maximize performance.

No time to do your own audit? Then call your local utilities instead, many of which offer no- to low-cost energy audit services. For example, the New York State Energy Research and Development Authority charges $100 for small businesses with annual electric bills of less than $12,000. In return, the utility will inspect your facility, analyze your energy use, identify opportunities for energy savings, and then estimate the payback period after you implement the suggested improvements.

"Your profit margin might be slightly lower for 2 to 3 years when you update and upgrade, but the cost is worth it," says Guha. "We seem to think it is our birthright to use oil and energy as we like, but it is our responsibility to stop wasting what we have, especially when it comes to making changes that don't cost any-thing at all, like [turning down] the thermostat."

Eileen Figure Sandlin is an award-winning writer and author who frequently writes about small-business issues.