ENERGY CONSERVATION CASE STUDY

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Mayflower Office Building

This case study analysis is a two-year comparative study on the electrical energy conservation effects of the InteliGlas' Autopilot artificial intelligence software applied within a typical mid-size office building environment. The case study examines the billing from utility provider Southern California Edison for the property in question, an 85,000 sqft, four-floor office building located in Monrovia, California (Southern California). 

The case study concluded that the forecasted twenty percent (20%) savings were exceeded by one-hundred twenty percent (120%), achieving a remarkable forty-four percent (44%) reduction of electrical energy consumption and annualized cost savings of $265,000. The subsequent increase in the property market value using a six-percent (6%) capitalization rate was $4.41M. 

This case study reviews a problem statement, case analysis, outcome/results, and provides recommendations to industry professionals and building owners.

The question addressed in this case study is  whether InteliGlas’ Autopilot could obtain such electrical energy efficiency to a level surpassing the magic eighteen percent (18%) electrical energy conservation mark estimated to be the average conservation level for mid-size office properties by the industry. The mark is the upper limit of what the commercial real estate and environmental industries consider as “waste” in the consumption of electrical energy at office buildings generally attributed to mismanagement of building systems, including but not limited to the heating, ventilation, and air conditioning (HVAC) system. [1]  

Energy consumption data at the Mayflower building was examined over an approximately two-year period from the calendar year 2018 through February 2020. Utility invoicing analyzed, detailed monthly aggregate billing and usage data for variable peak pricing with categorical energy usage breakdown based on kilowatt-hours (kWh) consumed.

InteliGlas platform was initialized on the HVAC system in a software/hardware upgrade at the Mayflower, beginning in January 2019 and completing Phase I (i.e., essential upgrade to the building management system (BMS) and associated protocol interfacing hardware) in March 2019.[2] Of particular interest, hit with many power outages, the Mayflower building had the functionality of a significant number of individualized components of the HVAC system disabled, including but not limited to variable-air-volume (VAV). The exciting result is an assumed artificial reduction of energy consumed at the building as a result of the dysfunction of the HVAC components.

March 2019 breathed new life into the Mayflower building, bringing back online all of the downed HVAC system components. This event caused the energy consumption at the building to  increase, as expected and reflected in the April 2019 power utility invoicing.

Over the proceeding months to the date of this study, InteliGlas instituted to its biological intelligence (i.e., human) testing of various energy conservation algorithms, including adjustments to HVAC system schedules, sub-system mechanical adjustments, and specific lighting sub-systems measures. The algorithms incorporated – organically developed and industry provided – form the basis of the future application of machine-driven 24/7 artificial intelligence (AI) monitoring and autonomous-action (both in rules and machine-learning applications) upon the building systems. This energy-saving measure includes algorithms written for the HVAC system as well; due to its primary position among building systems’ energy consumption. There is little comparison between the application of substantial energy conservation measures accomplished through AI over that of periodic human intervention on these systems.

Even in a dynamically changing environment of new construction, increased occupancy, and spiking utility rate increases, InteliGlas’ platform still reduced kWh and costs significantly year-over-year.

Energy consumption data from March 2019 through February 2020 show a significant downturn in energy consumption of 44%, actual and projected, against a changing field of factors noted above. This consumption data translates into an estimated annual savings of $265,000 over the 2019 data. The resulting market capitalization rates calculated at six percent (6%) from the reduction of operating expenses are estimated to contribute an additional $4.41M to the market value of the Mayflower property.[3]  

Institution of 24/7 AI monitoring and autonomous-action upon building systems with the goal of energy conservation above the holy grail target of eighteen percent (18%)  appears very achievable in the near term.[4] Estimated savings in individual modeling have projected excess of thirty percent (30%) to fifty percent (50%) savings possible.  

[1] Perry, Christopher. American Council for an Energy-Efficient Economy, 2017, Smart Buildings: A Deeper Dive into Market Segments, www.aceee.org/sites/default/files/publications/researchreports/a1703.pdf

[2] Schneider Electric, Building Management Systems, last accessed November 14, 2019, https://www.se.com/ww/en/product-subcategory/1210-building-management-systems/

[3] Wikipedia.org, various sources cited, last accessed November 14, 2019, https://en.wikipedia.org/wiki/Capitalization_rate 

[4] Perry, Christopher. Research Reports, American Council for an Energy-Efficient Economy, Dec. 2017, aceee.org.