Energy a top-of-mind topic for manufacturing execs

But Johnson Controls/IFMA study finds barriers to action

05/07/2009


Energy efficiency has never been more important, according to new research commissioned by Johnson Controls . The Energy Efficiency Indicator (EEI) survey, a research report targeting professionals responsible for energy management, revealed barriers to investing in energy efficiency include: limited funding, uncertainty about future energy prices, government incentives, and energy and climate legislation.
"These findings highlight the fact that business leaders across the U.S. are increasingly aware of the need for energy efficiency and its potential to reduce operating costs while cutting greenhouse gas emissions," said C. David Myers, president of Johnson Controls Building Efficiency division. "Economic and regulatory uncertainty, however, are inhibiting organizations from investing in proactive measures," added Myers.
Johnson Controls partnered with the International Facility Management Association to commission the survey of more than 1,400 North American executives who are responsible for managing, reviewing or monitoring energy use within their organizations. The majority of respondents were chief executive officers, vice presidents, general managers or facility directors.
According to the EEI results, 71% of business leaders are paying more attention to energy efficiency than they were one year ago. Another 58% responded that energy management was extremely or very important. Of the organizations making public carbon commitments, 45% identified energy efficiency in buildings as their top carbon reduction strategy. Sustainability continues as a focus for new construction projects as 38% are seeking green building certification, while 45% plan to incorporate green elements, but not certify their facilities.
"This research recognizes the important role workplace professionals play in controlling operational costs related to energy consumption and making strategic capital investments in high-performing building technologies," said Don Young, vice president of communications, IFMA. "Indications are that as the economy recovers we will see greater investments in energy reduction and sustainable initiatives."
The study revealed a likely 10% decrease from last year in the use of facility capital budgets to fund energy efficiency projects. It also revealed a 6% decrease in the number of respondents planning to make investments using their operational budgets.
When asked about the barriers to capture potential energy savings, limited capital availability for investments (42%) and unattractive payback (21%) were cited. Nearly 50% of executives who oversee energy efficiency investments expect a payback period that is less than three years.
Market uncertainty related to carbon policy, incentives and energy prices
The EEI research indicates that business leaders believe incentives from utilities or government will drive investment. Eighty-five% stated that legislation mandating energy efficiency and/or carbon reduction is likely within the next two years. This data supports a continual upward trend, increasing from 76% in 2008.
The study found 44% of executives said that incentives are very/extremely important as they make decisions on energy efficiency, up from 38% in 2008.
There doesn't seem to be a consensus among respondents about whether energy prices will decrease or increase.
"We see a wide distribution of views about what will happen to energy prices -- ranging from a 100% increase to a 60% decrease," according to Clay Nesler, vice president of Global Energy & Sustainability at Johnson Controls. "This uncertainty appears to be another reason business leaders are holding back on investments," said Nesler.
Survey participants also were asked about on-site renewable energy technologies. Leaders stated they were considering a range of technologies, including wind, solar thermal, solar electric and geothermal sources of energy. Forty-six% reported considering solar electric - an increase of 8% over the previous year. Geothermal energy also received a substantial increase in interest level, up by seven%.
More than 1,400 leaders at the front lines of energy management and efficiency were polled through an on-line survey, conducted in April 2009. For more information about these findings, please go to www.johnsoncontrols.com .



The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by Control Engineering subscribers. Vote now (if qualified)!
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
HMI effectiveness; Distributed I/O; Engineers' Choice Award finalists; System Integrator advice; Inside Machines
Women in engineering; Engineering Leaders Under 40; PID benefits and drawbacks; Ladder logic; Cloud computing
Robotic integration and cloud connections; SCADA and cybersecurity; Motor efficiency standards; Open- and closed-loop control; Augmented reality
Programmable logic controllers (PLCs) represent the logic (decision) part of the control loop of sense, decide, and actuate. As we know, PLCs aren’t the only option for making decisions in a control loop, but they are likely why you’re here.
This digital report explains how motion control advances and solutions can help with machine control, automated control on assembly lines, integration of robotics and automation, and machine safety.
This article collection contains several articles on how advancements in vision system designs, computing power, algorithms, optics, and communications are making machine vision more cost effective than ever before.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

Control room technology innovation; Practical approaches to corrosion protection; Pipeline regulator revises quality programs
Cloud, mobility, and remote operations; SCADA and contextual mobility; Custom UPS empowering a secure pipeline
Infrastructure for natural gas expansion; Artificial lift methods; Disruptive technology and fugitive gas emissions
Automation Engineer; Wood Group
System Integrator; Cross Integrated Systems Group
Jose S. Vasquez, Jr.
Fire & Life Safety Engineer; Technip USA Inc.
This course focuses on climate analysis, appropriateness of cooling system selection, and combining cooling systems.
This course will help identify and reveal electrical hazards and identify the solutions to implementing and maintaining a safe work environment.
This course explains how maintaining power and communication systems through emergency power-generation systems is critical.
The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by Control Engineering subscribers. Vote now (if qualified)!
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
HMI effectiveness; Distributed I/O; Engineers' Choice Award finalists; System Integrator advice; Inside Machines
Women in engineering; Engineering Leaders Under 40; PID benefits and drawbacks; Ladder logic; Cloud computing
Robotic integration and cloud connections; SCADA and cybersecurity; Motor efficiency standards; Open- and closed-loop control; Augmented reality
Programmable logic controllers (PLCs) represent the logic (decision) part of the control loop of sense, decide, and actuate. As we know, PLCs aren’t the only option for making decisions in a control loop, but they are likely why you’re here.
This digital report explains how motion control advances and solutions can help with machine control, automated control on assembly lines, integration of robotics and automation, and machine safety.
This article collection contains several articles on how advancements in vision system designs, computing power, algorithms, optics, and communications are making machine vision more cost effective than ever before.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

Control room technology innovation; Practical approaches to corrosion protection; Pipeline regulator revises quality programs
Cloud, mobility, and remote operations; SCADA and contextual mobility; Custom UPS empowering a secure pipeline
Infrastructure for natural gas expansion; Artificial lift methods; Disruptive technology and fugitive gas emissions
Automation Engineer; Wood Group
System Integrator; Cross Integrated Systems Group
Jose S. Vasquez, Jr.
Fire & Life Safety Engineer; Technip USA Inc.
This course focuses on climate analysis, appropriateness of cooling system selection, and combining cooling systems.
This course will help identify and reveal electrical hazards and identify the solutions to implementing and maintaining a safe work environment.
This course explains how maintaining power and communication systems through emergency power-generation systems is critical.
The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by Control Engineering subscribers. Vote now (if qualified)!
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
HMI effectiveness; Distributed I/O; Engineers' Choice Award finalists; System Integrator advice; Inside Machines
Women in engineering; Engineering Leaders Under 40; PID benefits and drawbacks; Ladder logic; Cloud computing
Robotic integration and cloud connections; SCADA and cybersecurity; Motor efficiency standards; Open- and closed-loop control; Augmented reality
Programmable logic controllers (PLCs) represent the logic (decision) part of the control loop of sense, decide, and actuate. As we know, PLCs aren’t the only option for making decisions in a control loop, but they are likely why you’re here.
This digital report explains how motion control advances and solutions can help with machine control, automated control on assembly lines, integration of robotics and automation, and machine safety.
This article collection contains several articles on how advancements in vision system designs, computing power, algorithms, optics, and communications are making machine vision more cost effective than ever before.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

Control room technology innovation; Practical approaches to corrosion protection; Pipeline regulator revises quality programs
Cloud, mobility, and remote operations; SCADA and contextual mobility; Custom UPS empowering a secure pipeline
Infrastructure for natural gas expansion; Artificial lift methods; Disruptive technology and fugitive gas emissions
Automation Engineer; Wood Group
System Integrator; Cross Integrated Systems Group
Jose S. Vasquez, Jr.
Fire & Life Safety Engineer; Technip USA Inc.
This course focuses on climate analysis, appropriateness of cooling system selection, and combining cooling systems.
This course will help identify and reveal electrical hazards and identify the solutions to implementing and maintaining a safe work environment.
This course explains how maintaining power and communication systems through emergency power-generation systems is critical.
click me