Woodward Governor Company
Fort Collins, CO
Woodward Governor is an independent designer,
manufacturer, and service provider of energy control and
optimization solutions used in the aerospace, power
generation and distribution, and transportation markets.
Based in Fort Collins, Colorado, Woodward has numerous
manufacturing, distribution and service facilities
worldwide. The company reported $1.4 billion in sales
during their 2009 fiscal year.
At their facilities in Fort Collins and Loveland,
Colorado, about 1040 employees design, engineer and
manufacture electronic and mechanical controls used in
engine, turbine, and electrical power systems. The
234,000 square foot Fort Collins facility was built in
the 1960s and 1970s, when energy prices were very low
and energy efficiency was largely ignored. The Loveland
facility was built in 1992.
Woodward's recent energy efficiency projects originated
as a quest for maintenance efficiency in 2005. In an
effort to streamline maintenance activities and reduce
costs, Woodward implemented automated controls on some
older equipment at the Fort Collins and Loveland
facilities. The automated controls generated more
thorough information on infrastructure and air handling
units, and allowed staff to do preventive and proactive
maintenance more effectively.
In addition to monitoring more accurately how the
equipment runs, Woodward staff can now measure the
efficiency of their equipment and optimize its
performance. Consequently, Facilities Manager Jerry
Becker decided to use similar technology to start
measuring the energy efficiency of their buildings.
"Among other things, that investigation led to the
painful realization that almost half our electric bill
for the year was for only 12 hours of use during peak
demand and peak pricing periods," said Becker. He and
his HVAC staff went looking for solutions.
The key to bringing down their electricity bills was to
dramatically reduce peak demand and to predict and avoid
steep peak demand prices. Woodward essentially
implemented the equivalent of "smart grid" technology in
their buildings, which enabled them to continuously
monitor and adapt their energy use as needed. This also
allowed them to track the utility peak demand, making it
possible to quickly roll back their load from the grid
during peak pricing periods.
While much of the work was completed by a contractor
(Gecko Services), Woodward also sought the assistance of
both the City of Fort Collins Climate Wise program, and
the Colorado State University Industrial Assessment
Center. Staff from each program brought fresh
perspectives, which helped Woodward identify additional
cost-effective efficiency and load management measures.
Other key measures implemented at the two facilities
included:
- Reduced boiler temperatures and installed a
solar water heating system, which allowed for
further reductions in boiler operation
- Retrofitted energy-efficient lighting at both
facilities
- Installed a high-efficiency variable speed
compressor
- Reduced usage of 60 rooftop air conditioning
units on weekends, holidays and at night when the
buildings are unoccupied to realize substantial
additional energy savings. Cutting back operation of
the rooftop units during the peak demand periods is
also an important load management response that
helped Woodward avoid the highest utility rates
during those periods.
In 2008 and 2009, Woodward invested a total of $250,000
to upgrade both sites with automated building controls,
lighting retrofits, and new compressors. To date, the
company has received approximately $120,000 in rebates
from Fort Collins Utilities, Loveland Water and Power
and Platte River Power Authority for multiple projects
at both locations. This investment has already resulted
in reducing Woodward reducing the annual electricity
consumption at the two facilities by roughly 9%, saving
about 2 million kWh of electricity each year.
Becker expects the company will spend a total of
$450,000 over five years on energy efficiency and load
management measures, including those already
implemented. By the time the projects are completed in
2015, Becker estimates that Woodward will realize annual
savings of approximately $400,000 on gas and electricity
usage costs as well as avoided peak demand charges at
the two facilities.
Within the company, Becker has been crusading to change
the way the economic benefits of energy efficiency are
perceived and accounted. Facility maintenance
organizations within large corporations are typically
considered an operating expense or liability, and are
generally not regarded as profit-making centers.
Reducing maintenance and operations costs is always
encouraged, but not recognized or rewarded in the same
way as other profit-making operations.
When he talks about energy efficiency, though, Becker
reframes facility energy cost savings as contributing to
the overall profitability of the corporation. Thus,
through energy efficiency measures, the Woodward Fort
Collins and Loveland facilities together can be seen as
generating approximately $400,000 in additional profit
for the company each year, along with the many tangible
benefits resulting from better control of the working
environment. In addition to benefiting the company,
these projects are helping the municipal utilities in
Fort Collins and Loveland meet their energy efficiency
and peak demand reduction goals (City of Fort Collins
Utilities, "2009 Energy Policy," January 6, 2009,
click here).
According to Becker, this reframing has been
well-received by Woodward executives, and the company is
now planning to replicate what is being done in Colorado
at other Woodward facilities.
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