State Of Hawai`I Continues Energy Conservation To Lower Electricity Costs, Decrease Dependence On Oil

Press Release

Date: Oct. 6, 2009

The State of Hawai‘i Department of Accounting and General Services (DAGS) has awarded a $33.9 million contract for the State Capital District, Energy Savings Performance Contracting (ESPC) project to Noresco, LLC (NORESCO), an energy services company.

The project includes energy efficiency improvements to 10 State office buildings within the State Capital District, including the State Capitol, that comprise over 1.3 million square feet of building space.

The project is expected to save over 6.3 million kilowatt hours of electricity per year, reducing utility bills by 30 percent, which equals approximately $3.2 million per year in operational savings. This reduces Hawai‘i's dependency on imported fossil fuels and will reduce emissions of carbon dioxide equivalent by 9,917 tons each year. These reductions are comparable to eliminating 1,647 cars from the road.

This initiative will also provide economic stimulus with the creation of up to 350 local jobs during its 24-month construction period, and 25 to 30 equipment maintenance and servicing jobs over the subsequent 20 years of the guaranteed performance period.

The partnership with NORESCO is part of the State's continuing efforts to make State office buildings and facilities more energy efficient in order to reduce electricity costs and decrease Hawai‘i's dependence on imported fossil fuels. The effort is part of the Hawai‘i Clean Energy Initiative, which aims to have 70 percent of Hawai‘i's energy come from clean sources by the year 2030, including 40 percent from renewable energy and 30 percent through energy efficient measures.

"The State is continuing to lead by example as we work to decrease Hawai‘i's dependence on imported oil and secure a clean energy future," said Governor Linda Lingle. "Improving the energy efficiency of State buildings will allow us to save taxpayer money on the State's electricity bills, while reinvesting in the infrastructure of our public buildings."

The 10 buildings include: the State Capitol, Kalanimoku, Ke‘elikolani, Kekauluohi (State Archives), Kekuanaoa, Keoni Ana (Capitol Center), Kinau Hale, Queen Lili‘uokalani, No.1 Capitol District (Hemmeter) and Leiopapa-A-Kamehameha (State Office Tower).

The improvements include energy-efficient lighting system upgrades, new building control systems, desktop computer power management, low-flow plumbing fixtures, high-efficiency motors, variable frequency drives, upgraded air handler units in the Kalanimoku and Ke‘elikolani buildings, new air conditioning chillers in the No. 1 Capitol District building and the State Capitol, garage exhaust fans in the Kalanimoku building and entry doors at the State Capitol and the Leiopapa-A-Kamehameha buildings. Also included are maintenance service contracts for air conditioning equipment, building controls, elevators and generators at specified locations. Work on the project has begun and will be completed by September 2011.

"This project will substantially reduce our demand for electricity and will help make up our utility budget deficit," said Russ Saito, state comptroller. "Energy savings performance contracting provides a comprehensive approach to looking at the whole building and improving operational efficiency with a performance guarantee by NORESCO for 20 years."


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