Facilities Management Services

The federal government and a growing number of states are seeking ways to combat climate change, leading them to tighten up emissions standards for everything from vehicles to buildings. And in the same way that regulators are hoping to make zero-emission vehicles the norm, net zero buildings are being touted as the next innovation to combat pollution.

Buildings are being targeted because the U.S. Department of Energy (DOE) estimates that they are responsible for more than a third of total U.S. greenhouse gas emissions. In an effort to reduce the size of this carbon footprint, both the federal government and several states have already started crafting regulations to encourage the creation of net zero buildings. The California Energy Efficiency Strategic Plan, for example, calls for all new commercial construction to be net zero by 2030, and for 50% of existing buildings to be retrofitted to net zero building standards by 2030. The federal government recently followed suit, with goals of reducing greenhouse gas emissions from buildings by 65% by 2035 and by 90% by 2050.

A JLL study found that buildings with better sustainability credentials achieved an average capital value premium of more than 20%, as well as higher rents.

The new regulations don’t just affect new construction. Because about 60% of existing buildings will still be in use 50 years from now, many of these structures will need to be retrofitted in order to conform to net zero standards.

The Advantages of Net Zero Buildings

The Department of Energy defines a net zero building as one that reduces its energy usage through a variety of energy-saving features and technologies, while producing enough renewable energy to meet its own needs. Besides potentially large reductions in greenhouse gas emissions, decarbonizing the buildings sector has multiple public benefits, including reducing the size of new power grid infrastructure and enabling clean energy resources like on-site solar panels, battery storage, and EV charging.

And the environment isn’t the only beneficiary of the new standards. Besides helping to reduce carbon emissions, building retrofits can lead to significant advantages for building owners.

One obvious benefit is reduced energy costs. These costs have risen sharply over the past few years, which impacts profitability. For example, a global survey conducted by Sapio Research found that 23% of an industrial company’s annual operating costs are attributable to energy use. And more than half of survey respondents perceived rising energy costs as a moderate or even substantial threat to their profitability.

Net zero buildings provide indirect benefits as well. For example, in a study by global real estate services company JLL, researchers found that buildings with better sustainability credentials achieved an average capital value premium of more than 20%, along with higher rents—signaling an expectation of higher returns and lower risks.

Maximizing the Benefits of Net Zero Buildings

The data show that constructing or retrofitting buildings to meet net zero standards can deliver real benefits. So how can building owners achieve net zero?

To receive the most benefit from retrofitting, owners should take a systemic approach. A recent report from Lawrence Berkeley Laboratories, for example, found that simply upgrading individual building components such as equipment or lighting systems has less potential for whole building energy savings as compared to comprehensive, system-based approaches.

“Systems retrofits hold the potential for much greater savings and are critical to achieving aggressive energy reduction goals in the existing commercial building stock,” the report states.

Creating Net Zero Buildings Through Retrofitting

Fortunately, owners of existing buildings have many different ways to significantly reduce emissions. And as a recent report by the United Kingdom Green Building Council points out, it’s often less expensive to retrofit a quality building than to tear it down and build a new one. That same report also suggests that upgrades don’t all need to be done at once, but should instead be systematically planned and implemented to align with lease and maintenance cycles.

There are a number of steps that should be part of any comprehensive retrofit. Whether you conduct this work in house, or with a facilities maintenance provider who can offer engineering support, here are some steps to consider when crafting a retrofit plan to fit your particular needs.

Energy efficiency audit

Before making any changes, it’s crucial to conduct an energy efficiency audit. This helps identify current energy usage and areas where improvements can be made. The audit should include an assessment of key infrastructure such as heating, ventilation, and air conditioning (HVAC) systems; lighting; insulation; and windows. In many cases, an audit can also provide the technical and financial information (e.g., upfront costs, ongoing costs, projected energy savings, return on investment, etc.) that decision-makers need to evaluate and approve energy efficiency, electrification, and grid interactivity retrofits. 

These audits provide decision-makers with the information needed to design comprehensive projects that maximize energy and cost savings. In many buildings, energy costs can be reduced by 20% or more through the identification and implementation of energy conservation measures.

Once the audit results are in, you can decide which of the following upgrades make the most sense for your particular building.

Insulation and sealing

According to Energy Star, air leakage can cause up to 20% of a building’s energy to go to waste. Poorly sealed windows and doors, gaps and cracks in the building envelope, and leaks in ventilation systems and ductwork are most often responsible for the loss of conditioned air.

This is why building envelope retrofits—such as replacing older windows with energy-efficient ones and adding cool roof systems and exterior shading applications—can lead to significant energy savings. In some cases, these retrofits can even allow the use of smaller-capacity HVAC systems.

HVAC Upgrades

Older HVAC systems can be energy hogs. Upgrading to newer and more efficient systems, such as those with variable speed drives and energy recovery ventilators, can significantly reduce energy consumption. In addition, new systems are much less likely to break down, saving on repair and maintenance costs. Newer systems also have additional components, such as enhanced air purifiers and filters, that result in cleaner, fresher air for employees.

Innovative Lighting

Switching to LED lighting, which is much more energy-efficient than incandescent and even fluorescent lighting, is the low-hanging fruit of retrofitting. Installing motion sensors that let you turn off lights (and drop HVAC usage) when a room is empty can also yield significant savings. And daylight redirecting devices, which range in sophistication from simple skylights to high-tech solar concentrators, enable you to maximize sunlight capture.

Renewable Energy Sources

Energy Star suggests installing onsite renewable energy technology, such as solar panels or wind turbines, to offset a building’s energy consumption. If onsite energy generation isn’t feasible, purchasing renewable energy credits or investing in offsite renewable projects can also help achieve net zero building status.

Water Conservation

Implementing water-saving fixtures and recycling systems (like graywater systems for toilet flushing or irrigation) helps reduce the overall environmental footprint. In addition, switching from a central hot water heater system to point-of-use, on-demand water heaters is another effective energy-saving strategy.

Sustainable Materials and Resources

During renovations or upgrades, urge your contractors to use materials that are sustainable, have low embodied carbon, and are locally sourced, if possible. This minimizes the environmental impact associated with building materials. Good options include recycled metals, low-carbon bricks, and structural timber.

A close-up of two hands changing the bulb of an overhead fixture in a commercial facility
Switching from incandescent or fluorescent bulbs to LED lighting is one of the simplest ways to lower a building’s energy consumption.
A collage of three different building materials: timber, bricks, and tiles
Structural timber, recycled metals, low-carbon bricks, and green tiles are all sustainable building materials.

Smart Building Technologies

Smart technology has two complementary goals: better data capture and increased control over operations and the environment. Three technologies are commonly used to help building managers meet those goals: sensors that measure usage and potential leaks, networking systems that collect and monitor data, and automation software and tools that optimize the building’s systems. Smart HVAC and lighting controls are the most common technologies utilized, but there are other applications as well: managing water usage and alerting managers to costly leaks; improving occupant comfort by tracking how many people are in a room and adjusting HVAC systems accordingly; and controlling windows to adjust for optimal lighting based on outside conditions.

Transportation

Building managers can affect energy usage beyond the confines of the building envelope. Retrofits can be an excellent time to add features that encourage sustainable transportation, such as charging stations for electric vehicles, secure bicycle parking, and easy access to public transport.

After the Retrofit: Ongoing Monitoring and Maintenance

After upgrades, continuous monitoring of the building’s energy performance is crucial. This helps to ensure that the building continues to operate at peak efficiency and allows for adjustments as needed.

Energy Star reports that integrating energy efficiency into your facility’s operation and maintenance (O&M) program reduces operating costs, lowers the risk of early equipment failure and unscheduled downtime, and increases a facility’s net operating income. It also ensures a comfortable environment for building occupants, leading to fewer “hot and cold” complaints.

To maximize energy efficiency, Energy Star recommends operating equipment only when needed, optimizing the use of control systems, performing periodic inspections of critical systems, scheduling after-hours walk-throughs, and seasonally adjusting control strategies. Fortunately, the advent of Computerized Maintenance Management Systems (CMMS) have made it easier for facilities managers to adopt all of these practices by having access to real-time data that enables detailed planning and the efficient deployment of personnel.

Finally, while instituting a comprehensive monitoring and maintenance program is crucial, building owners and managers can’t do it all. Engaging occupants and providing training on how to maintain and enhance a building’s net zero capabilities is essential. Building occupants significantly impact a building’s energy use through their day-to-day behaviors. Educating occupants about energy usage, and creating a culture of conservation, can make a difference in your building’s energy consumption.

An Energy-Saving Partner

PRIDE Industries has over 35 years of experience in facility management, energy systems maintenance, engineering services, and preventive and predictive maintenance. We can help you move toward net zero by optimizing your facility’s systems and lowering energy costs, all while maximizing occupant comfort.

Professional facility managers know that regular commercial building inspection is not optional but crucial to ensure facility occupants are safe and all building structures are sound.

Although inspections vary in scope across industries, BOMA (Building Owners and Managers Association International) recommends an annual “roof to floor” inspection for building envelopes, and OSHA suggests quarterly, monthly, or even weekly “self-inspections” for buildings, depending on the industry and potential facility hazards.

Whether you inspect once a year or once a quarter, tackle the entire facility in one go or break it up into sections, it can take a lot of labor hours and experienced personnel to carry out a thorough inspection.

The good news is that innovative, time-saving tools are becoming more accessible for inspection tasks, enabling efficient, informative, and reliable checks and monitoring.

Here are some of the tools being used for building inspections by facility managers looking to stay current and ensure that essential inspections for safety and building longevity can be conducted effectively.

Some companies are capitalizing on the fact that FAA rules don't apply to indoor drone use, and using these devices for interior inspections of industrial plants, greenhouses, warehouses, and other buildings.

Thermal Imaging Inspections

Thermal imaging is a non-invasive infrared (IR) technology that has been around for decades, but now sophisticated handheld devices are readily available to assist facility technicians and maintenance workers in inspecting and troubleshooting building assets.

The technology works by picking up differences in temperature with the use of mid- or long-range IR waves and creating a visual heat map of the object it is pointed at. (This is different from IR imaging or night-vision cameras that use short-range infrared waves.) By measuring temperature variations, and showing results on the monitor, thermal imaging devices identify hot spots that can indicate overheating components, or cooler areas that may signal energy loss or water intrusion.

With handheld thermal imaging tools, technicians can simply point the device toward an asset—such as an HVAC system—to identify potential overheating. Directed at a building’s doorways, windows, or refrigeration entrances, the imaging tools can reveal insulation weak spots. Thermal imaging can even produce results in poorly lit areas, making it ideal for building diagnostics and commercial building inspection.

What are the Advantages and Disadvantages?

Speed -Thermal imaging is a great timesaving tool that can quickly identify problems not visible to the human eye.

Convenience – The technology can be used without operation disruptions and does not need direct contact with the asset, creating safer conditions around electrical inspections. 

Humans Needed – On the downside, it’s important to remember that it is only a tool, and still requires expertise from engineers or trained professionals for the best results.

Beyond handheld devices, thermal imaging can be even more effective when combined with another technology that’s rapidly gaining interest in commercial building inspection—aerial drones.

Commercial Building Inspection from the Top Down

Love them or hate them, drones—also known as unmanned aircraft systems (UAS)—are becoming increasingly useful as tools for commercial building inspection, due to their ability to access upper floors, rooftops, and other hard-to-reach places.

Now, the integration of AI software has resulted in smarter drones with expanded data collection and analytic capabilities. These newer drones can also handle larger payloads, enabling them to carry more equipment. And they can be equipped with thermal imaging systems, 4K aerial cameras, sensors such as LiDAR (Light Detection and Ranging, for use in surveying), and even robotic claws.

These capabilities are changing the nature of commercial building inspection. Equipped with thermal imaging, a drone can quickly scan a building’s facade and get up close to a suspected leak, for example, and take a picture at the optimal angle to provide a clear and unobstructed view of the problem area—something that is often difficult or hazardous for technicians to do from the ground, or even from a platform or window of the building.

Other tasks—such as conducting roof inspections to identify inadequate insulation, unwanted moisture, and structural damage—can all be done in minutes using drones. Areas such as parking lots and pools can be surveyed while simultaneously collecting and capturing data and images in real time.

But as with most technology, there are pros and cons.

What Are the Advantages and Disadvantages?

Safer – The power of accessibility that a drone brings to inspections eliminates many safety hazards. It saves technicians from climbing on to roofs using ladders or platforms, for example. Even single-story buildings can have different roof slopes, angles, and surfaces that create a hazardous terrain for technicians using binoculars and a camera, making drones a useful tool even for smaller facilities.

Speedier – The speed at which a drone can access a site and deliver information saves time and money. Using a drone, capturing images and analyzing them can take as little as a day, compared to weeks with traditional, human-only visual inspections.

Smarter – Enhanced with AI image processing capabilities, drones can provide real-time monitoring, analyze safety risks, and offer insights that can aid decision-making in determining budget or resource allocation.

The drone space is constantly changing, and with that will come improvements, but there are a few downsides to consider.

Expense – Hobby drones may be inexpensive, but the type of drones needed for commercial building inspection are not in the same league and do not come cheap. Add to that the cost of operator training, and taking on a drone program may be outside of many facility budgets.

Privacy – Most drones are manufactured in China, which may raise concerns about data privacy—and for good reason. It’s estimated that 80 percent of the commercial drones sold in the U.S. are made by Chinese companies. And some of the largest of these companies have been funded by the Chinese government—meaning that sensitive data on U.S. infrastructure may be making its way to Beijing.

This threat is being taken seriously by the U.S. government. In February 2024, the American Security Drone Act was signed into law, banning the federal government from buying Chinese or other foreign-made drones. Some experts argue that the business community would be wise to do the same.

Regulations and Restrictions – Commercial drones are considered aircraft and fall under the jurisdiction of the FAA. This means that businesses using drones for commercial building inspection must hire trained pilots that hold an FAA license and commit to abiding by the FAA’s rules on drone use.  

The use of drones indoors is an exception to the above rule, however, and some companies are capitalizing on this fact. Many businesses have found drones to be valuable tools for interior inspections in industrial plants, greenhouses, or warehouses. Drones can also aid in managing inventory, monitoring hazardous chemical areas, and even responding to medical emergencies.

But what if you want to use a drone for exterior inspections, and don’t want to hire a professional pilot? In that case, consider using a drone service to conduct inspections. Drones-as-a-Service (DaaS) providers offer turnkey services that include trained pilots, drones, ancillary equipment, and software to do the job you need. Of course, as with any service, be sure to thoroughly vet your DaaS provider, and be clear about liability and data privacy protections.

Indoors or outdoors, as a service or in-house, it’s worth bearing in mind that the lack of privacy and other regulations regarding the use of drones and AI leaves the door wide open for facility managers’ liability. So do your research, and proceed cautiously when using this technology for inspections.

Scoping Out Tight Spaces

While drones can fly into some difficult-to-reach spots, there are some spaces that are just too tight for even the smallest craft. In those cases, a different tool is needed.

Referred to as borescopes, endoscopes, video scopes or just “scopes,” these inspection devices, just like their medical cousins, are ideal for getting into narrow and difficult-to-access spaces. These devices have come a long way since the borescope was introduced in the 1960s, and are now an important tool in commercial building inspection.

A scope consists of a long, flexible probe or rod that has a lens at one end and attaches to a handheld device or monitor at the other. (Technically, an endoscope has a flexible tube attachment, whereas a borescope can have a rigid or flexible attachment.)

A close-up of a borescope, showing its long, flexible rod and display screen
Borescopes and similar devices are ideal for inspecting narrow and difficult-to-access spaces.

The attachment probe can be pushed inside small and compact spaces. Technicians can then steer and control the direction and angle of the probe, allowing the tool to maneuver through tight and complex spots. With adjustable LED lights for better vision in dark areas, together with miniature, high-definition (HD) cameras, detailed visuals of the interior space can be seen on the monitor, allowing for a comprehensive inspection.

What are the Advantages and Disadvantages?

Flexibility – The ability to get visuals inside a wall cavity or conduits, to assess integrity and wiring reliability, to inspect ductwork, or identify the origins of piping or electrical issues without having to dismantle or tear down walls make the scope invaluable as a non-destructive inspection tool.

AI Provides Consistency – As with other tools, AI is being integrated into the various inspection scopes. The aircraft industry is already using borescopes that utilize AI algorithms for automated defect detection and analysis. AI-powered software can detect anomalies, such as cracks or corrosion, enabling objective assessment and consistent evaluation.

Handle with Care

Borescopes can be prone to damage if handled incorrectly inside metal pipes or across rough surfaces, so it’s important to use the device cautiously in these situations. And as with any technical device, a scope provides the greatest advantage when in the hands of an experienced technician.

Robotic Ground Inspections

When the space being inspected doesn’t warrant a tiny scope but is still too small or hazardous for humans, there are inspection robots. Referred to as bots, rovers, or unmanned ground vehicles (UGVs) these tools offer a safer and more efficient option than manual inspection.

UGVs for commercial building inspection vary in type, function, and autonomy. For tasks such as inspecting HVAC ducts or entering crawl spaces under buildings, small 4-wheel drive or tracked (tank-like) vehicles (usually around 12–14 inches in length) are typically used for the job.

These rovers can be controlled remotely and run on batteries for several hours. They efficiently capture photos and video and are capable of zero degree turns—a big plus in tight spaces.  

What Are the Advantages and Disadvantages?

A close-up of a duct-cleaning robot as it travels through an air duct
Duct-inspecting and duct-cleaning robots can save hundreds of hours of labor.

Efficiency – Rover robots can travel through HVAC ducts faster than a human worker. They don’t get tired and can continue working without getting distracted.

Safety – Rovers can be sent into hazardous areas (where there may be unstable construction or toxic chemicals) and either survey the area before workers enter or take photos of damaged structures and other risks.

Limited Tasks – Currently most robots are designed for a particular monitoring or inspection task; not all types of inspection can be performed by the same robot. But that may be changing. Researchers and manufacturers are aware of this issue, and are developing multi-ability learning robots that can turn their hands (or wheels) to many tasks.

A Maintenance Partner You Can Rely On

Are you looking for a forward-thinking, tech-savvy partner for building inspections and maintenance? PRIDE Industries has been providing facilities services for over 35 years and continues to bring innovation and expertise to customers across multiple industries.

For facilities management, the switch from clipboards and paper to smartphones and tablets represents a huge leap forward in productivity. And an important player in this move to remote technology is mobile CMMS (computerized maintenance management system).

The primary advantages of a mobile CMMS are its flexibility and its centralized collection of information. Mobile CMMS provides a picture of operational data that can be viewed simultaneously by managers in the office and technicians in the field. This cloud- and device-based technology also allows updates in real time from any area in a facility, keeping everyone informed. And because it can be accessed through an integrated platform—allowing communication with other facility data and software—this mobile technology can be a game-changer, creating faster ROI by reducing downtime and increasing productivity.

It’s no secret that maintenance management software tools have been pivotal in increasing work order efficiency. Now, by extending data capture and management capabilities, mobile CMMS is providing facilities managers with an even more powerful tool for optimizing facility operations and maintenance.

Mobile CMMS provides a picture of operational data that can be viewed simultaneously by managers in the office and technicians in the field.

What Is Mobile CMMS?

CMMS is software designed to streamline and automate workflow and maintenance tasks. It focuses on MRO (maintenance, repair, and operations) for physical assets and equipment, including the oversight of an organization’s asset maintenance activities, scheduling, and ongoing expenses after installation. 

Mobile CMMS is a mobile field app, which means that it allows technicians to carry all the capabilities of desktop facilities management software with them into the field. The app equips field technicians with on-the-spot access to AI-powered tools and human-based assistance, enabling them to solve even the toughest of issues. It also makes work order progress and other critical information available for viewing in real time by managers in the office.

A robust mobile CMMS platform allows field technicians to input job status and other updates at any time and from anywhere using wi-fi or cellular connections. And if the connection is lost, the data is stored for upload as soon as connectivity is reestablished. Likewise, because the app also functions as a repository for essential information, field technicians always have access to critical data, even in the event of a network interruption. In this way, facilities personnel are always able to continue working, even during times of intermittent connectivity.

Efficient and Time-Saving Work Order Management

There are several ways that mobile CMMS can boost maintenance efficiency and allow facilities managers to follow maintenance best practices. One way is by giving facilities managers better control over scheduling and operations.

A Central Location for Work Orders

Mobile CMMS provides a centralized dashboard for creating, assigning, and tracking work orders. With accessible and easy-to-navigate work details available at the touch of a screen, supervisors can track work assignments from the office, and technicians in the field can see exactly what they need to work on next. Additionally, incoming requests for service can be automatically converted to work orders, streamlining maintenance management and optimizing operations.

Optimizing Schedules with Automated Work Orders

A robust mobile CMMS allows facilities managers to customize and automate processes to suit their needs, based on their facility’s unique features and management priorities. Maintenance schedules and work routing rules, for example, can be generated and relayed automatically to technicians, freeing up managers and supervisors to work on other tasks.

When an engineer or maintenance worker accesses or logs into the system, their assigned work is automatically displayed with touchpoints or stages lined up. Workflows can consist of as many or as few stages as each facility deems necessary. As an example, a work order process might look like this:

— Start Work
— Submit Labor
— Submit Work Log
— Submit Status
— Submit Inspection Results
— Submit Follow-up Work Requests
— Submit New Service Requests
— Submit Work Status Complete

Assigned work can be displayed in order of priority and progress can be easily checked as work proceeds, so that technicians spend less time on administrative tasks and are able to focus more on vital maintenance activities.

Scheduling Flexibility and Efficient Prioritizing

Instant and real-time access to work orders eliminates delays and bottlenecks in the maintenance process. Without the need to wait for prioritization decisions, work can continue uninterrupted, with job progress tracked and recorded on the asset’s history profile.

Real-time access also allows quicker response times to urgent matters. Emergencies can be dealt with promptly, preventing costly downtime due to equipment breakdowns or malfunctions. Because a mobile CMMS enables managers to see where technicians are located within the facility and what they are currently working on, it’s easy to determine which technician(s) to direct to an asset that needs urgent attention.

A man wearing a hardhat uses a handheld device to check an outdoor component of an HVAC system.
Real-time access to data enables technicians to respond more quickly to urgent repairs.

Once alerted, the maintenance worker can then retrieve the required service details on their device, including comprehensive information about the equipment malfunction. And because the asset’s location is provided through the app’s mapping features (for both indoor and outdoor locations), the technician knows exactly where to go, so that no time is wasted trying to locate the malfunctioning equipment.

Cost-Saving Maintenance Operations

Beyond scheduling features that streamline maintenance tasks, mobile CMMS contains tools that aid in lowering costs and improving productivity. These additional features can include:

Predictive Maintenance

Predicting maintenance and averting equipment failure is a cost-saver in any organization. With AI-enabled mobile CMMS, facility professionals can manage and utilize real-time data to create health and risk scores for facility equipment. Data such as unplanned downtime, mean time between failures, or failure rate by manufacturer can be compiled to identify problems and reduce downtime.

Centralized and presented in easy-to-view charts and scores, these insights can inform the technician in the field, automatically trigger preventive maintenance systems, and be viewed by reliability engineers whose job it is to monitor asset lifecycles. Together these data-driven insights can anticipate maintenance needs and potential problems, in addition to optimizing asset performance and extending equipment lifespan.

Cost-Saving Monitoring  

With powerful analytics, mobile CMMS can also monitor KPIs (key performance indicators) related to work order management, maintenance costs, and time to repair. Managers can set up customizable dashboards to immediately view current and historical trends and perform analyses to enable continuous improvement, optimize budgets, and enable informed decisions—all of which help keep costs in check.

Recordkeeping for Compliance and Accuracy

Accurate recordkeeping is not only vital for providing insights on performance and for predicting equipment lifespan, it’s also necessary in order to meet industry regulations. Mobile CMMS makes it easier to comply with regulatory standards by ensuring accurate recordkeeping and automating documentation.

With mobile CMMS, all the information gathered by technicians in the course of their work is compiled as it’s entered into their mobile devices, providing up-to-date access to technical and HSE (health, safety, environmental) information. A robust mobile CMMS can then use this information to automatically generate reports that meet compliance requirements.

Making Technicians and Engineers More Productive

It’s an unfortunate fact that just as more facility managers and engineers are retiring, buildings are becoming more complex. According to studies using data from the BLS (Bureau of Labor Statistics), the average facility manager is over 50 years old, and experts predict that approximately 60 percent of experienced facility staff will be retiring within the next seven years. Businesses are now facing a potential shortfall of qualified facility professionals.

By streamlining operations and centralizing information, mobile CMMS can mitigate this looming loss of knowledge and experience. With detailed information available through a handheld device, new and less experienced technicians can easily navigate maintenance complexities, enabling them to handle increasingly complicated and digitally dependent operations. By generating reports and making analyses created by more veteran engineers easy to access, mobile CMMS can be the expert looking over the shoulder of less experienced technicians, providing know-how that previously took years to acquire.

Information such as previous work records, diagrams of equipment (annotated with notes from experienced engineers) can make it easier to identify parts and devise fixes. And if human assistance is needed, the CMMS app enables technicians and engineers to collaborate remotely via phone or tablet. This empowers technicians to make more informed decisions and prioritize tasks, and allows organizations to exponentially leverage their engineers’ knowledge and skills.

Get the Most Out of Your Mobile CMMS

As with all data-dependent software, mobile CMMS comes with one caveat: You get out what you put in. The best results will always be gained when operators and staff have extensive knowledge of the software’s capabilities and functions. Users should also receive training at regular intervals, as mobile CMMS apps are upgraded frequently.

Anytime, Anywhere Facilities Management

Businesses are facing two difficult trends. Buildings are becoming increasingly complex to maintain, and experienced facilities managers are about to enter a retirement wave. But not all the news is bad. Mobile CMMS can help businesses deal with both these trends by making it easy to gather and analyze data from the field, and by helping less experienced technicians benefit from the wisdom of more experienced ones—even when the two are miles apart.

Experts predict that roughly 60 percent of experienced facility staff will retire within the next seven years.

A Facilities Management Partner You Can Rely On

Could you use a tech-savvy and budget-conscious partner for your organization’s facilities? PRIDE Industries has over 35 years of experience in operations and maintenance. No matter what the size of your facility, we can help you make the most of your existing assets.

In the array of daily tasks and skills required to ensure facility operations are streamlined, building energy management looms large. Energy is vital for a building’s ongoing security and asset operation, and poor or excessive energy use comes at a monetary and environmental cost.

Effective management of an organization’s energy also impacts tenant and market perceptions of a brand and its building operations. In fact, studies by ENERGY STAR have shown that when compared to typical buildings, energy-efficient buildings have a resale value that’s up to 31 percent higher and deliver rental premiums that are up to 16 percent higher.

Not only that, according to a 2024 joint report issued by PwC and the World Economic Forum (WEF), if organizations implement energy-saving measures (such as using AI to control existing lighting and HVAC systems) by the end of this decade, it’s possible to achieve up to a 31 percent reduction in global energy consumption. This reduction could result in annual savings of $2 trillion at current energy prices.

These numbers illustrate that energy-efficient improvements in processes and equipment can decrease energy intensity (the amount of energy used per unit of gross domestic product) by enabling over-utilized or wasted energy to be funneled into more productive activities. Using building energy management to facilitate the capture of wasted energy for productive use not only boosts economic growth but also saves money, strengthens competitiveness, and reduces carbon emissions.

Studies by ENERGY STAR have shown that when compared to typical buildings, energy-efficient buildings have a resale value that’s up to 31 percent higher and deliver rental premiums that are up to 16 percent higher.

So, what are the best ways to keep on top of building energy management? We take a look at this crucial area to see how you can start taking steps this year to optimize energy management in your building.

Building Energy Management: Modifications and Maintenance

Modifications that optimize building energy management range from moderate operations and maintenance changes that require little or no cost to large capital expenditures like replacing equipment.

Although it’s true that large energy savings can be gained from projects that require an upfront investment—such as replacing an HVAC system—small adjustments can also save energy, and a lot of small changes can add up to significant cost savings with minimal effort. To get you started, here is a list of energy-saving modifications and maintenance strategies that don’t require a huge dollar investment.

Lighting

  • Optimize daylight. Relying on daylight instead of electric lights can reduce costs by 10 to 40 percent, so make the best use of natural light by opening and closing blinds strategically.
  • Replacing fluorescent and incandescent lighting with LEDs can reduce energy consumption by up to 90 percent. And since LEDs last up to 50 times longer than conventional lightbulbs, you’ll also save on labor costs. Keep in mind that parking lot lamps and exit signs can also use LEDs.
  • Look at areas with low traffic use and install occupancy sensors. This can save between 15 to 30 percent in lighting costs. And make sure that light sources aren’t blocked by drapes, bookcases, etc.
  • Consider changing custodial schedules to reduce the hours per day that lights are turned on. In other words, consider having cleaning staff work during the day. Some facilities have found that cleaning a building during a time when occupants are in the building can actually help reduce tenant complaints—perhaps because tenants are more aware of the work being performed.
A man standing on a ladder, wearing a hardhat, goggles, and gloves, uses a screwdriver to remove the cover of a light fixture.
LED lightbulbs can reduce energy consumption by up to 90 percent and last up to 50 times longer than traditional incandescent lightbulbs.

Maintenance and Repair

  • Conduct a visual inspection of equipment insulation, ductwork, and piping, looking for tears, stains, etc. Repairing these will increase energy efficiency.
  • Check that vents are not blocked by furniture or other items. Efficiency can be reduced by as much as 25 percent when air vents are covered.
  • Ensure HVAC filters are changed regularly. When filters are dirty, the system must work harder, lowering indoor air quality and costing more to operate.
  • For a more efficient HVAC, install variable frequency drives (VFDs). VFDs allow better flow control, so the system doesn’t run at full throttle when it’s not needed.
  • Adjust building automation system (BAS) controls to automatically reduce the thermostat setting for times when the building isn’t occupied.
  • Take advantage of your facility’s energy management systems (EMS) by ensuring staff are fully trained in all control capabilities. If the system is only used to turn equipment on and off or for time-of-day control, you may be missing out on energy-saving strategies.
  • Regular HVAC check-ups are essential. An annual maintenance contract should include pre-season tune-ups, which will make the system more efficient and prolong its life.
  • Keep refrigerator condenser coils clean and maintain an air gap of at least three inches between the wall and the back of office refrigerators or water coolers.
  • Perform an afterhours/nighttime audit to find out which equipment is using energy unnecessarily. Then update the sleep settings on all office equipment to ensure that they automatically go into low-power mode when not in use.
  • Revisit equipment sequencing to optimize start-up and power-down times.

Consider Commissioning

Commissioning your commercial buildings is like tuning up your car. In the ordinary course of operations, building systems naturally “drift” from their optimal settings over time. Commissioning makes sure these systems—many of which impact energy costs—are running the way they should be.

Whether you conduct a retro-commission (for buildings that have never been commissioned) or a re-commission (if it’s been more than three to five years since the last commissioning), “tuning up” your facilities can yield substantial energy savings.

Measure Consumption

If you’re unsure which modifications to make and want to take a systematic and customized approach to saving energy in your facility, then an energy audit is a good way to start. A whole building energy audit can range from a walk-through assessment to an in-depth report that will include vendor quotes for large projects. ASHRAE (American Society of Heating, Refrigerating and Air-conditioning Engineers) has three levels of energy audits set out in their Standard 211:

  • Level 1 – This level is comprised of a walk-through that looks at the building envelope, HVAC, lighting, and water infrastructure. It also includes a utility bill analysis to understand historical energy consumption patterns. This level is a good initial assessment for small to medium-sized buildings, or if you have budget constraints. The audit typically results in a brief report that identifies energy-efficiency measures (EEMs), many of which will likely fall in the low- to no-cost category.
Assessing energy use is the first step in developing a building energy management plan.
  • Level 2 – With a Level 2 energy audit, auditors spend more time on site, speaking with facility staff and conducting a thorough building survey. This audit involves a detailed analysis of energy systems, historical data, and visual observations. The resulting audit report summarizes current energy consumption and costs and provides an analysis of recommended EEMs, including implementation costs, expected savings, and payback periods.
  • Level 3 – This type of analysis builds on the Level 2 energy audit and focuses on the feasibility of large capital-intensive projects that will save energy. The report provides engineering recommendations based on computer modeling, and includes a financial analysis (including lifecycle cost analysis and return on investment (ROI) calculations) of the benefits and risks associated with installing and maintaining energy-saving upgrades, such as new equipment.

ASHRAE audits take a “whole building” approach, but there are instances where you may have a more focused need—such as when an HVAC system is getting old and inefficient. In this case a targeted audit will reveal the best time to replace the system and how long it will take for the investment to pay off.

Alternatively, it’s possible to conduct an in-house energy audit. Keep in mind, however, that performing your own audit will require a detailed plan that clearly defines what data is needed, and a collaborative effort among employees to collect it.

If you choose to conduct an in-house energy assessment, consider using energy modeling tools such as those provided by the EPA’s ENERGY STAR. These tools will enable you to set and measure building energy targets in an apples-to-apples comparison against existing buildings from a national database. And if your city or state already requires energy benchmark reporting for your facility, you have a head start on your information gathering efforts.

Ongoing Monitoring and Building Energy Management Through Technology

Smart use of IoT and AI is the future of energy optimization in commercial facilities. Upgrading to AI-driven, smart equipment can increase energy efficiency by 30 percent, resulting in a payback period of fewer than 15 years, according to the PwC and WEF 2024 report.

A significant advantage of IoT in building energy management is its ability to continuously monitor systems and equipment, eliminating the need for a human to do physical checks. But to reap the benefits of smart systems, you’ll need to first choose the technology that’s right for your facility and invest in staff training to get the most from your system. Most importantly, you should understand what these new technologies can and can’t deliver. 

How do IoT and AI tools work to improve building energy management?

  • Connectivity: Through an infrastructure of information gathered by connected equipment, devices, and systems, IoT allows communication and information sharing in real time.
  • System Control: By using sensors and actuators (the components responsible for adjusting system parameters), IoT delivers more precise control of energy use.
  • Analysis: With AI, vast amounts of data can be analyzed, providing valuable insights that allow for informed energy-saving decisions to be made.

How do IoT and AI enhance building energy management?

  • Recognition of Energy Patterns: IoT platforms can identify when and how energy is used within a building. This information allows facilities managers to implement cost-reduction strategies, such as curbing energy consumption at peak times to avoid paying higher rates for electricity.
  • Occupant Activity Analysis: Understanding the behavior patterns, activity levels, and comfort preferences of occupants is crucial for optimizing energy efficiency. IoT can track and analyze occupants’ behavior, enabling tailored energy-saving measures.
  • Weather Data: Weather conditions directly impact energy usage, particularly with HVAC systems. IoT platforms can collect, analyze, and correlate weather data with other building information (such as occupancy levels) and adjust energy management strategies based on weather forecasts.
  • Total Energy Consumption: IoT technology can track the total energy consumption of a facility’s systems and equipment—for both systems that operate continuously and intermittently used assets—providing a clear picture of overall energy usage and the role of individual devices.

Using IoT and AI technology allows real-time data updates from sensors and fast action from actuators to provide occupants with the same level of comfort while using less energy.

Investing in Energy Efficiency Pays Off

Studies like the PwC/WEF analysis show that optimizing energy management translates to lower operating costs, increased tenant satisfaction, and a smaller carbon footprint. Taking the steps to measure, modify, and monitor your facility’s energy use will lower energy consumption, but there is no one-size-fits-all solution. Good building energy management requires an in-depth analysis of your facility’s unique characteristics and energy consumption patterns, as well as a customized plan to optimize energy use.

Fortunately, even small changes can yield savings. Every step counts, from simple interventions to building retrofits. Whether it’s optimizing airflow and daylight by rearranging furniture, or investing in sophisticated IoT and AI systems, improving energy efficiency is a win-win for your business and the planet.

An Energy-Saving Partner

PRIDE Industries has over 35 years of experience in facility management, energy systems maintenance, engineering services, and preventive and predictive maintenance. We can help you optimize your facility’s systems, lowering energy and other costs while maximizing operations and occupant comfort.

Most people don’t give commercial elevator technology much thought, unless they get stuck in a lift or spend several minutes waiting for a car that never arrives. For facility managers, of course, it’s a different matter. For them, elevator function is often front of mind, as the need for safe, quick, and reliable transportation up and down a building is vital for occupants.

Elevators are quite literally at the core of high-rise commercial and residential buildings, and their function is integral to tenant mobility and comfort. Yet despite their vital importance, the fundamental systems and technology behind this transportation mode haven’t radically changed since the first commercial elevator was installed in 1857.

But now that’s about to change.

From Ropes to Magnets

Elevator technology is steadily moving into the digital age, incorporating IoT and AI technologies to make its functions safer, customizable, and efficient.

In 1854, at the Crystal Palace Emporium in New York City, an engineer named Elisha Otis stepped on to an open-air elevator cab. His assistants then hoisted the cab up above the crowd before unexpectedly cutting the rope that was holding it up. But instead of crashing to the ground, the elevator cab stayed where it was, and Otis proved his point: His innovative brake design worked.

In addition to showing off his new invention, Otis’ stunt was designed to set aside public fears that elevators were dangerous (which they certainly had been up to that point). His safety mechanism worked, and now, more than 160 years later, Otis’ invention—the traction elevator—can be found in buildings all around the world.

Since Otis’ famous demonstration, the commercial elevator has undergone multiple improvements that have made it more comfortable and easier to operate. But its fundamental mechanics have remained the same—until now. Today, companies are developing new and revolutionary vertical transportation systems that could render both traction and hydraulic elevators a thing of the past.

TK Elevator (TKE) is at the forefront of making this new technology a reality. Instead of using cables and pulleys like a traction elevator, or the pistons and cylinders of a hydraulic elevator, the company’s system relies on linear drive technology, which harnesses the power of magnets to move the elevator car. This technology, also known as maglev (short for magnetic levitation) is the same technology used in some high-speed trains, such as the Shinkansen—or bullet train—in Japan.

The maglev elevator system works like a continuous train but with the ground-breaking ability to alternate from vertical to horizontal travel. By using swivel points (like those found in a railway turntable) that can rotate the cab when it stops at a floor, the traveler has the option to go in any one of four directions: left, right, up, or down. Routes can be planned and monitored by software, avoiding congestion and bottlenecks.

The same technology that powers bullet trains is being tapped to take the commercial elevator in a new direction.
The same technology that powers bullet trains is being tapped to take the commercial elevator in a new direction.

This new elevator design is a game changer for commercial buildings. With this system, cars can operate independently of one another. This allows more than two cabins per shaft, increasing capacity by up to 50%. Maglev elevators also offer designers and architects greater flexibility in building design, and even enable buildings to be connected via elevator skybridges. Now offices can connect directly to transportation, hotels, or restaurants.

Not only that, but this multi-directional elevator also works with smaller cars that can run simultaneously in a single shaft. And the option of multiple shafts (or tracks) within a building enables even greater choice and mobility.

Another advantage of maglev elevators is their ability to travel far higher than conventional elevators, which are limited to approximately 150 stories. Past this height, the load is too heavy for traction elevators (and not an option for hydraulic elevators, which are best suited to low-rise applications).  That’s why, currently, taller skyscrapers add additional shafts, requiring passengers to change elevators midway in order to get to the top of the building.

TKE’s system, called MULTI, is currently undergoing safety tests in the company’s 807-foot-high elevator test tower in Germany. The company has announced plans to install a working system in their U.S. offices in the near future.

Smart Tech and the Commercial Elevator

Enabling elevator cabs to move sideways is undoubtedly the most noticeable shift in elevator technology. But it’s not the only one. Even conventional traction and hydraulic elevators are undergoing significant changes. Elevator technology is steadily moving into the digital age, incorporating IoT and AI technologies to make elevators safer, customizable, and efficient. Here are seven developments to look out for.

Digital Twins

Facility engineers are replacing the clipboard and wrench for an iPad, and this trend is likely to pick up speed as digital twin technology is more widely implemented.

Digital twins are already making an impact in other sectors (such as electronics manufacturing) and could be a game-changer in elevator maintenance as well. Digital twin technology involves creating a virtual replica, or twin, of the physical elevator, allowing technicians to monitor and analyze its performance in a virtual environment.

Digital twins facilitate predictive maintenance by simulating potential problems, enabling technicians to identify and address issues before they manifest in the physical system. This not only reduces downtime but also optimizes maintenance schedules, leading to cost savings and enhanced elevator reliability.

Smart Equipment Monitoring

Advanced sensors are rapidly becoming standard elevator equipment, enabling real-time monitoring and smart diagnostics. These sensors collect data on various components, from motors and cables to control systems, providing a comprehensive view of the elevator’s health. Data can then be analyzed for anomalies, enabling the early detection of potential issues. This improves diagnostic accuracy and allows maintenance practices to shift from reactive to proactive interventions, thus ensuring that elevators consistently operate at peak efficiency.

Traffic Control and Destination Dispatch Optimization

Sophisticated software is now available to optimize elevator traffic, increasing energy efficiency and reducing passenger wait times. Destination dispatch systems are one of these new developments. These systems operate by having occupants input their destination floor at a lobby console, which uses software to group passengers with the same or neighboring destinations, so that they share the same elevator.

By strategically grouping individuals heading to the same or nearby floors, and intelligently assigning elevator routes, this technology minimizes unnecessary stops and decreases wait times—an improvement any passenger can appreciate. The system is also ADA-aware and can accommodate people with disabilities by allocating lifts that are equipped with ramps, have wider doorways, and will hold the cabin doors open longer.

In addition to reducing passenger wait times, this same software reduces elevator energy consumption by managing traffic flow during peak usage intervals. Motion, temperature, and vibration sensors gather occupancy information, enabling AI software to predict which floors will be busy at any given time. By monitoring this real-time data and adjusting elevator availability and location, these new systems can mitigate unnecessary stops and adapt to passenger demands, reducing both occupant travel time and energy consumption.

Smart Cabin Sensors

Sensors also play a pivotal role inside the elevator cabin, enabling additional energy efficiency and optimizing the user experience. Advanced sensors can detect whether an elevator is in use or idle, allowing for intelligent adjustments to lighting and ventilation. These sensors utilize motion detection technology to identify the presence of passengers, triggering changes in the elevator’s environment. When the elevator is unoccupied, for example, lights are dimmed and the ventilation system is switched to energy-saving mode. These adjustments can significantly reduce energy consumption, without compromising the occupant experience.

Biometrics

The biometric market is expected to grow to $82.9 billion by 2027, and the commercial elevator is sure to be part of this market growth. Cutting-edge biometric systems, such as fingerprint and retina scanners, are already being used in some elevators to confirm identities and grant access to authorized individuals. These systems add an extra layer of building security beyond traditional keycards and passcodes, ensuring that only approved personnel can access specific floors or areas within a building.

Other biometric technologies are on the horizon. Facial, palm print, and even vein pattern recognition technologies are being explored as possible modes of access control for elevators. And as AI continues to advance, it’s expected that biometric systems will become more adaptive and capable of identifying and responding to subtle changes in user biometrics over time—compensating, for example, for a new scar or other facial change an employee might experience. These biometric developments will not only enhance elevator security but also reflect the ongoing evolution toward more seamless and personalized systems.

Voice Recognition

AI advancements in language processing make voice recognition a promising user interface technology—one that can certainly enhance elevator functionality. By allowing users to control elevator functions, provide building information, and answer questions in a hands-free manner, this technology could be particularly beneficial for individuals with mobility challenges, or anyone carrying packages.

There are challenges, however. Voice commands are sometimes processed inaccurately, especially in noisy environments. There are also privacy and data security concerns. As with any AI technology, the success of voice recognition in elevators hinges on continuous improvement, addressing these challenges, and ensuring a balance between convenience and user privacy.

Virus Mitigation

Given the safety and reliability of modern elevators, the greatest danger they pose to occupants is likely viral. Businesses are aware of this and are taking steps to mitigate this health issue. While it’s not possible to ensure that elevator cabins are 100 percent virus free, new technologies make it possible to significantly reduce viral transmission.

In addition to biometric devices that enable voice and face recognition, there is software available that lets elevator occupants use their smart phones to select the floor they want, eliminating the need to touch a public panel. And even the button panels themselves are becoming touchless. Screens are being developed that incorporate infrared sensors in the interface, allowing passengers to select a floor by simply hovering a finger a few centimeters in front of the panel. And for areas where touchless screens are not viable, the commercial elevator of the future will be fitted with walls and handles that are made from natural antimicrobial materials such as copper.

Finally, thanks to research by NASA, air purification systems (some of which use photocatalytic oxidation) have been approved by the FDA and are now being incorporated into elevator cabins.

Phone apps are just one type of touchless elevator call system.

The Commercial Elevator Is Leveling Up

Once Elisha Otis convinced the public that the commercial elevator was safe to use, it quickly  transformed the urban landscape. Structures could now reach up towards the sky, enabling taller office buildings. Even residential real estate was turned on its head, as the cheap apartment at the top of the stairs became the desirable penthouse with a view away from the smells and noises of the city.

Now innovative technologies appear set to make similar radical changes to the commercial elevator. In the near future, both office employees and apartment dwellers will have the ability to move horizontally as well as vertically, and for greater distances than currently possible. This development could, conceivably, allow you to move from your office, up to and across a skybridge to your apartment building, then down to your apartment’s floor—without ever leaving the elevator cabin. That change in living would likely be as significant as the one Elisha Otis ushered in when he stepped on to his elevator platform in 1857.

Facilities Expertise that You Can Rely On

Whether you need elevator maintenance, solar installation, sustainable landscaping, or general facilities maintenance, we can help you bring all your facility’s assets into an efficient and optimized future. Contact us today to learn more.

Last year, the Solar Energy Industries Association (SEIA) ranked companies by the number of megawatts they generate from solar energy. As expected, the list was topped by industry giants such as Meta, Amazon, and Walmart. But the SEIA report did contain an interesting revelation—a high number of businesses of all sizes have commercial solar installed in 100% of their facilities.

The past decade has witnessed a soaring number of solar installations, the result of several factors that have improved the ROI and motivation to implement the technology, including plummeting panel prices, heightened environmental awareness, climate concerns, and tax incentives. Because of these developments, more energy-smart businesses of all sizes are realizing the value of commercial solar.

Is solar right for your facilities? We delve into what solar energy entails to help you decide.

The Technology Behind Commercial Solar

Within the solar market sectors–utility, commercial and industrial (aka C&I), along with residential–there are two major technologies currently used to generate solar energy: concentrated solar power (CSP) and photovoltaic (PV) solar.

Falling solar panel costs, environmental goals, and the rising cost of nonrenewable energy are all leading more businesses to invest in solar. And now the recently enacted Inflation Reduction Act (IRA) is making solar energy even more compelling.

Concentrated solar power is a thermal technology that uses mirrors to reflect and concentrate sunlight onto a receiver. The heat energy, which reaches temperatures as high as 560℃, is stored in fluid within the receiver. This type of solar power technology can be excessive for a typical office building but is ideal for energy-intensive commercial and industrial applications like food processing and water desalination. Often used in power plants, CSP is cost effective and highly efficient, though it does require a large initial investment, and comes with stringent setup and space requirements.

Perhaps for these reasons, CSP doesn’t have the same popularity as a more familiar solar technology: photovoltaic (PV) solar panels. These modular panels are made from crystalline silicon, a semiconductor material that absorbs photons from sunlight, creating a direct current (DC) that is then converted to alternating current (AC) for facility use or storage.

Although the same PV technology is used for both residential and commercial solar applications, panels for home use have only 60 cells while commercial solar panels typically have 72 to 96 cells, providing a greater amount of wattage per panel.

Because PV panels are modular, they provide a flexible solution, making them highly suitable for different building sizes and locations throughout a facility. Efficiency and cost vary according to panel type, so knowing what the options are is important to ensure the best configuration for your project. Keep in mind too, that although higher-efficiency panels will cost more, they will also produce more electricity.

PV Solar Panel Types

In addition to efficiency and cost considerations, when it comes to deciding which PV panels to install, it’s important to consider additional factors such as project goals and budget, available space, and how much sunlight your location receives. With that in mind, here is a breakdown of the different types of panels available:

Monocrystalline Silicon Panels (Mono-Si)

Monocrystalline panels are made from a single crystal structure of silicon and are the most efficient panels commercially available. They are also space efficient, a vital consideration if your installation space is limited.

Polycrystalline Silicon Panels (Poly-Si)

You guessed it, polycrystalline panels are made from multiple crystal structures of silicon, that is, several semiconductor materials melded together. While they may be slightly less efficient than monocrystalline panels, they offer good performance at a lower cost.

The curvy roof of a modern building, composed of tiles that integrate PV technology to capture solar energy
Solar panels can be integrated into the building envelope, as with the roof shown here.

Thin-Film Solar Panels

While less common in the C&I sector compared to crystalline silicon panels, thin-film technologies, including cadmium telluride (CdTe) and copper indium gallium selenide (CIGS), can be a good choice when lighter weight and flexibility are required. They generally cost less than crystalline panels but are often less efficient as well. Thin-film’s biggest advantage is its use in building-integrated photovoltaics (BIPV), a technology in which photovoltaic substances replace conventional building materials in parts of the building envelope, such as windows and skylights, or carport covers in parking lots.

PERC (Passivated Emitter Rear Cell) Panels

PERC technology is often integrated into both monocrystalline and polycrystalline panels, enhancing efficiency by reducing electron recombination. A newer technology, PERC panels are increasingly common in the C&I sector.

Bifacial Solar Panels

Bifacial panels can absorb sunlight from both the front and rear sides, allowing them to capture light reflected from the ground or nearby surfaces. This can significantly enhance energy production, especially in installations with reflective surfaces.

With so many options, how do you pick the commercial solar solution that’s right for your facilities? The best practice is to gather information from reputable solar engineers and installers. These professionals can offer valuable information on the performance capabilities and efficiency of different solar panel types, enabling you to make a well-informed decision based on your unique project and facility requirements.

Commercial Solar Tax Benefits

Falling solar panel costs, environmental goals, and the rising cost of nonrenewable energy are all leading more businesses to invest in solar. And now the recently enacted Inflation Reduction Act (IRA) is making solar energy even more compelling.

The IRA aims to increase investment in American-made clean energy and has already resulted in over $100 billion in new private sector investments by the U.S. solar industry, with 51 solar technology manufacturing facilities built or expanded during the last year. While this rapidly growing industry heralds more competitive prices for the consumer, it’s the tax incentives from the IRA that are making many businesses commit to investing in commercial solar.

For businesses that use solar, two tax credits are available–but be aware, they can’t be combined. You’ll need to pick the one that’s right for your company:

An experienced solar technology engineer can help you choose the optimal energy system for your facilities.
  1. The investment tax credit (ITC) offers a federal tax credit of 30 percent on the cost of solar systems installed now through 2032. After that, the credit begins to step down, starting in 2033 when it decreases to 26 percent. This is an upfront credit that does not vary according to the system’s energy production.
  2. The production tax credit (PTC) is based on energy production. The credit is calculated based on the kilowatts per hour (kWh) of electricity generated. The credit is provided for the first ten years of the energy system’s operation and is adjusted for inflation.

Deciding which tax credit to apply for depends on usage and other factors. Generally speaking, a smaller facility in a less sunny area with high installation costs will do better with the ITC credit, while larger facilities in sunny locations will gain more from a PTC credit. But bear in mind that as commercial solar array production and adoption increases, system installation costs are likely to fall, making a credit based on kWh production a more valuable option across all facilities.

Solar Efficiency and Cost Evolution

A powerful and free source of energy, the sun provides the Earth with enough sunlight in an hour and a half to meet the world’s energy needs for an entire year, according to National Geographic. But the challenge has always been converting this resource into usable energy efficiently and at the right cost. Over the years the evolution of solar has been meeting that challenge.

In 2010, the cost of commercial photovoltaic (PV) solar energy was a hefty 39 cents per kWh, making it 710 percent more expensive than the cheapest fossil fuel-based solution, according to the Office of Energy Efficiency and Renewable Energy (EERE). Fast forward to 2020, and the cost of solar had plummeted to nine cents per kWh, making solar PV 29 percent cheaper than fossil fuels. And the price keeps dropping. It’s predicted that the cost of solar power will be just four cents per kWh by 2030.

And while costs have dropped, solar panel efficiency has been on an impressive upward trajectory. Over the last twenty years, efficiency has risen by seven percent. Solar panels currently have an efficiency of around 23 percent, and the technology continues to improve. This translates into tangible benefits for businesses, with solar-powered operations costing 60 to 85 percent less than traditional grid electricity, as reported by EnergySage.

Investment Calculations

While the initial investment in solar installation might seem substantial, experts estimate the ROI on commercial solar to be in the range of seven to 20 percent, with a payback period spanning three to ten years. Calculating the return on solar investment is inherently complex and varies from one business to another, but these numbers indicate a favorable return for businesses that embrace solar energy.

In calculating whether solar is an option for your facility, it’s useful to consider the levelized cost of energy (LCOE) of solar versus other options.  An LCOE analysis takes into account the average per-unit cost of generating one unit of electricity from the solar energy system over its entire lifespan, including costs for initial setup, operation, maintenance, etc. To make an accurate estimate of what commercial solar will cost for your facilities, LCOE calculations are a must. To that end, the federal government provides a useful LCOE calculator.

Going Forward with Solar Energy

It’s clear that cost benefits, such as reduced energy expenses and tax incentives, make commercial solar an economically viable choice for many businesses. But embracing solar goes beyond harnessing renewable energy; it also aligns with many companies’ environmental, social, and governance (ESG) values.

By integrating solar solutions, your business will not only secure a cleaner energy source, but also establish your organization as a leader in the transition towards a greener and more sustainable business landscape.

Solar Expertise

Are you considering solar as an energy option for your facilities? Or do you need help with cleaning, maintaining, or updating your solar energy system? Whatever your energy needs, PRIDE Industries can help. A leading provider of reliable and cost-effective energy maintenance services, we have the experience you need to install, update, and maintain all your critical and renewable energy systems.