Abstract
Through the examples of three universities, Southern California, New Mexico and Iowa, the author presents how energy supply companies scope investment projects and benefit from value-added business arrangements. She explains how the goal of value-added is reached as well as other related financial benefits. The case experiences demonstrate how deals are structured and profits are shared. Specific evidence is given on how integrated investments in building equipment, heating, cooling and electric systems reduce capital, financing and implementation costs and risks and improve financial control and reporting. Finally, the author relates what happened, opportunities missed and the cultural hurdles to getting suppliers and customers to invest together in supply systems efficiency.
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Notes
- 1.
The electricity purchase price was increased for the new project. Suppliers had a history of increasing supplemental, stand-by and maintenance electricity costs to customers who invested in their own generation.
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Solmes, L.A. (2009). Profits from Value-Added. In: Solmes, L.A. (eds) Energy Efficiency. Springer, Dordrecht. https://doi.org/10.1007/978-90-481-3321-5_9
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