30/09/2024, 09:39 A Comprehensive Guide to ASHRAE Energy Audits for Commercial Buildings

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A comprehensive Antonious Mickaeal

guide to ASHRAE
Energy Audits for
commercial
buildings
August 16, 2023

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In the era of sustainability and rising energy costs, understanding
the energy profile of commercial buildings has become paramount.
An effective tool in this endeavor is the ASHRAE energy audit. For
commercial building owners and facility managers, this guide
delves into the different types of ASHRAE energy audits, explaining
their role in energy management in commercial buildings.

Jump too:

What are ASHRAE energy audits?

ASHRAE level 1 energy audit: walk-through analysis

ASHRAE level 2 energy audit: energy survey and analysis

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30/09/2024, 09:39 A Comprehensive Guide to ASHRAE Energy Audits for Commercial Buildings

ASHRAE level 3 energy audit: detailed analysis of capital intensive

modifications

How much does ASHRAE energy cost?

Why are energy audits necessary?

The importance of energy management in commercial buildings

The role of building analytics in energy management

What are ASHRAE energy audits?

ASHRAE, the American Society of Heating, Refrigerating, and Air-
Conditioning Engineers, sets guidelines for various practices in the
HVAC&R (heating, ventilation, air conditioning, and refrigeration)
field, among others. One of the critical areas where ASHRAE has
developed guidelines is energy auditing in commercial buildings.

An energy audit is a systematic process to assess and analyze the

energy use and consumption of a given facility, building, or system.
Its primary purpose is to identify energy-saving opportunities,
inefficiencies, and to recommend ways to reduce energy waste. By
conducting an energy audit, one can understand how energy is
used in a facility and then prioritize improvements to increase
energy efficiency and reduce energy-related costs.

While many large commercial building have building management

systems, those systems are best designed for controlling a
building's processes rather than auditing its energy usage.

ASHRAE outlines three different types of energy audits, which

differ based on how intensive they are and what type of outcome
you can expect. It is important to understand what each level of
audit entails before deciding which is most appropriate for your
commercial building.

ASHRAE Level 1 Energy Audit: Walk-through

Analysis
An ASHRAE Level 1 energy audit, commonly referred to as a "Walk-
through Analysis," is a preliminary and basic assessment of a
building's energy performance. This audit is designed to identify
straightforward energy-saving opportunities and provide a clear
understanding of the building's energy consumption patterns.

It typically involves a brief review of the facility's utility bills and

other operating data to get an overview of energy use trends.

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30/09/2024, 09:39 A Comprehensive Guide to ASHRAE Energy Audits for Commercial Buildings

Following this, an auditor conducts a walk-through of the facility to

visually inspect its systems and operations. Based on these initial
findings, the auditor will then provide a report that highlights areas
of inefficiencies and recommends low-cost or no-cost measures to
improve energy efficiency.

The Level 1 audit aims to give building owners a quick snapshot of

potential energy-saving opportunities without delving into detailed
system analyses. It's an excellent starting point for those seeking
to enhance their building's energy efficiency but might not have
the resources or need for a more detailed audit immediately.

ASHRAE Level 2 Energy Audit: Energy Survey and

Analysis
An ASHRAE Level 2 energy audit, termed the "Energy Survey and
Analysis," offers a more detailed and comprehensive evaluation of
a building's energy performance compared to a Level 1 audit. This
audit dives deeper into understanding the building's energy
consumption by meticulously analyzing its systems, operations,
and energy use patterns.

The process begins with a thorough review of utility bills,

equipment specifications, and operating data, breaking down
energy consumption by individual equipment and systems.
Following this, on-site surveys are conducted to identify a broader
range of energy conservation measures. Each of these identified
measures is then assessed for potential energy savings, costs of
implementation, and payback periods. The Level 2 audit is finalized
with a detailed report that provides building owners with
actionable insights, a clear plan for energy-saving initiatives, and a
cost-benefit analysis for each recommended measure.

This level of audit is suitable for building owners who are

committed to understanding and improving their property's energy
efficiency in a more in-depth manner, making data-driven
decisions based on a balance of costs and benefits.

ASHRAE Level 3 Energy Audit: Detailed Analysis

of Capital-Intensive Modifications
An ASHRAE Level 3 energy audit, known as the "Detailed Analysis
of Capital-Intensive Modifications," is the most in-depth and
comprehensive of the ASHRAE audit types. This audit is
specifically geared towards large-scale, capital-intensive projects
by delving into intricate details of potential retrofits or
modifications highlighted in a Level 2 audit.

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In the United Kingdom, the government-mandated Energy Savings

and Opportunity Scheme (ESOS) has a similar analytical
requirement to ASHRAE level 3 audits.

The focus is on providing a clear and detailed analysis of specific

energy-saving measures, often involving complex simulations,
advanced engineering calculations, and detailed energy modeling
to validate potential energy conservation measures. The financial
evaluation in a Level 3 audit is also more granular, taking into
account factors like longer-term energy price projections,
equipment lifecycle costs, and maintenance implications. The
resulting report from this audit provides a detailed roadmap for
major energy retrofits, ensuring building owners have all the
necessary data to make informed investment decisions.

This level of audit is best suited for facilities considering

substantial infrastructure changes or upgrades to drastically
enhance energy efficiency.

How much does an ASHRAE Energy Audit cost?

The cost of an ASHRAE energy audit is influenced by several
factors, including the audit level, building size and complexity,
location, any required specialization, travel and logistical
considerations, data availability, and the auditing firm's reputation
and expertise. Specifically, Level 1 audits are basic and thus less
expensive, focusing on a general walk-through and analysis. In
contrast, Level 2 audits delve deeper into energy use patterns,
while Level 3 audits are the most comprehensive, targeting
specific energy conservation measures.

To determine the exact cost, building owners should seek quotes

from multiple audit providers, bearing in mind that prices can range
from a few hundred dollars for small spaces with Level 1 needs to
tens of thousands for expansive commercial areas requiring Level
3 analysis.

Why are energy audits necessary?

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30/09/2024, 09:39 A Comprehensive Guide to ASHRAE Energy Audits for Commercial Buildings

Building owners should consider energy audits for several

compelling reasons:

Cost savings: One of the most direct benefits of an energy audit is

the identification of opportunities for energy savings. Implementing
the recommended measures can lead to significant reductions in
utility bills.

Enhanced building performance: An energy audit can uncover

issues affecting the comfort and functionality of a building, such as
poor ventilation or inadequate insulation. Addressing these issues
can improve the indoor environment, leading to happier occupants
or tenants.

Increased property value: Buildings with efficient energy systems

and lower operational costs can command higher rental rates and
have higher resale values.

Environmental responsibility: Reducing energy consumption

reduces greenhouse gas emissions and the building's carbon
footprint. This is not only good for the environment but can also be
a strong selling point for eco-conscious tenants or customers.

Regulatory compliance: In some states and cities, energy

benchmarking and audits are mandatory for certain types of
buildings. Performing audits ensures compliance with local
regulations and can help avoid potential fines or penalties.

For a comprehensive guide to energy benchmarking

regulations in different cities, states and municipalities
across the US, check out our blog: “A state-by-state guide
to energy benchmarking ordinances and local energy
efficiency regulations”

Maintenance and upgrades planning: Energy audits can identify

aging or underperforming equipment. This information is valuable
for planning maintenance schedules or prioritizing equipment
upgrades.

Improved public image: Demonstrating a commitment to energy

efficiency and environmental sustainability can enhance a building
or company's public image and reputation.

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The importance of energy management in

commercial buildings
Commercial buildings are among the highest consumers of energy
worldwide, contributing significantly to global energy demand and
associated greenhouse gas emissions. This fact means that for
portfolios of commercial buildings, proper energy management is
crucial in order to ensure greenhouse gas emissions are kept
within manageable levels.

Additionally, amidst a backdrop of globally rising energy prices,

using effective building energy management systems translates
directly into reduced operational costs. Implementing energy
efficient measures and prioritizing low energy usage compounds
into significant savings, contributing to a huge positive impact on a
company’s bottom line.

With many local, state and national governments implementing

stricter energy efficiency standards and regulations, energy
management is increasingly becoming a legal obligation for
commercial building owners. Many states have legislated energy
benchmarking ordinances, which require owners to benchmark
their energy usage using the ENERGY STAR Portfolio Manager, in
an effort to encourage the implementation of energy efficient
measures. Some states have additional energy auditing
requirements, requiring commercial building owners to conduct
ASHRAE energy audits or retro-commissioning studies and
implement the energy-saving measures identified.

With these regulations becoming more and more common, it is

important to get ahead of the curve and begin the processes of
energy auditing, energy benchmarking and retro-commissioning
early, to ensure you are in compliance with any future legislations
and are demonstrating environmental responsibility across your
portfolio.

For more information on the role of building energy

management in commercial real estate sustainability,
check out our blog: “Building energy management: A core
pillar of commercial real estate sustainability”

The role of building analytics in energy

management

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30/09/2024, 09:39 A Comprehensive Guide to ASHRAE Energy Audits for Commercial Buildings

Modern commercial buildings have evolved into complex systems

with numerous interconnected devices and subsystems.
Navigating this complexity to achieve optimal energy management
requires more than just human expertise; it demands advanced
building analytics platforms, such as CIM's PEAK Platform.

‍Unlocking data insights: At the heart of platforms like PEAK lies

the ability to collect, analyze, and interpret vast amounts of data
from various building systems. This data-driven approach provides
insights that might be difficult or impossible to discern through
traditional means. The ability to visualize energy consumption in
real-time, identify trends, and predict future consumption patterns
empowers building managers to make informed decisions.

Complementing ASHRAE energy audits: While ASHRAE energy

audits offer a comprehensive assessment of a building's energy
efficiency, integrating the findings from these audits with analytics
platforms can amplify their value. The continuous monitoring
capabilities of platforms like CIM's PEAK mean that the
recommendations from an ASHRAE audit aren't just implemented
and forgotten; instead, their impact can be tracked, assessed, and
refined over time.

‍Predictive maintenance: With predictive analytics, potential issues

in building systems can be identified even before they manifest as
tangible problems. This not only saves on repair costs but also
ensures that energy inefficiencies caused by failing equipment are
minimized, saving both energy and money.

Share

Antonious Mickaeal
August 16, 2023

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