Cargill Meat Solutions - Ottumwa, Iowa
It was one of those "ah-ha!" moments the day Randy Zorn learned about Interstate Power and Light's (IPL) Performance Contracting program.
As general Manager of the Cargill Meat Solutions plant in Ottumwa, Iowa, he felt he had just found the perfect solution for replacing his facility’s aging lighting system.
Challenge
The Ottumwa plant is a leading processor and distributor of fresh pork, processing over three million hogs per year. While looking for ways to improve operational efficiencies and reduce energy costs, Cargill Meat Solutions’ energy management team identified a lighting retrofit project.
Replacing the hundreds of lighting fixtures in the 1.1 million square-foot facility would have been cost prohibitive. "We never could have done it," said Zorn. Until, that is, his Alliant Energy Strategic Account Manager Laurie Appleget explained the advantages of using the Performance Contracting program.
Performance Contracting allows a company to invest in energy-efficient equipment, new technology, processes and materials with little or no out-of-pocket capital expense. "Project costs are paid for with the energy savings. Once the contract is paid in full, the customer continues to reap the benefits of new equipment and lower energy costs," explained Appleget.
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Impact
Annual kWh savings: 1,854,557
Environmental impact of kWh savings: |
Solution
It didn’t take long for Zorn to get on board with the Performance Contracting program. "Because this was a big job, and we couldn't interrupt their production, our strategy was to complete the upgrade in phases," explained appleget. the six-phase, plant-wide retrofit was accomplished in approximately 18 months at a cost of $536,000.
Working closely with its customer, alliant energy technical experts replaced the plant's 400-watt metal halide lighting with energy-efficient 320-watt pulse start lighting with the added protection of a shatter-proof coating. “The new 320-watt pulse start lighting system is a tremendous improvement. Not only is the lighting brighter, it has made working conditions safer for our 2,250 employees,” said Zorn.
Result
"Cargill Meat Solutions was able to invest in more energy-efficient lighting with no initial capital investment. That's an especially good benefit, considering the current economic environment," added Appleget. The program is available to qualifying alliant energy retail electric and/or natural gas customers in Iowa.
The new lighting is saving Cargill Meat Solutions nearly 1,855,000 kilowatt hours annually - the equivalent to electricity used by 185 typical american homes. It's also improving their bottom line with an annual savings of $85,000. "Without Performance Contracting to help with the financing, this project would have never happened," stressed Zorn.
In recognition of their commitment to environmental stewardship and to integrating energy efficiency into plant operations, Cargill Meat Solutions was one of just 16 Iowa businesses and schools receiving an excellence in energy efficiency award at the Alliant Energy 2009 Energy Summit.
Recommendation
The 320-watt pulse-start metal halide lamps, fixtures, and ballasts offer Cargill Meat Solutions improved efficiency. "They generate a superior light source and reduce energy costs and that translates down the line to a better return on investment," said Zorn. 320-watt pulse-start metal halides also last longer – up to 5,000 hours longer than a probe-start lamp of the same wattage – which helps to reduce the firm’s maintenance costs as well.
"But, what’s equally important to us is our new lighting helps reduce our carbon footprint which has a positive effect on the environment," added Zorn. "I have to say our collaboration with the Alliant Energy team and the Performance Contracting program was a great success and a very positive experience."
Additional customer profiles:
Download these Alliant Energy customer profiles to learn how other companies like yours are saving thousands in energy costs.
Cargill Meat Solutions – Ottumwa, Iowa
“New lighting is saving Cargill Meat Solutions nearly 1,855,000 kilowatt hours annually – the equivalent to electricity used by 185 typical American homes.”
Cedar Grove Cheese – Plain, Wisconsin
“Filling just one of the factory’s four 22,000-gallon vats with milk takes an hour, in addition to 24/7 refrigeration of the fresh cheese before it’s shipped. Through its partnership with Wisconsin Power and Light Co.’s (WPL) Shared Savings program, however, Cedar Grove Cheese has become one of the most energy-efficient and environmentally focused cheese factories in Wisconsin.”
Clipper Wind Power – Cedar Rapids, Iowa
“For demonstrating its commitment to energy conservation and reducing its carbon imprint, Clipper Wind Power qualified for nearly $120,000 in incentives from Alliant Energy.”
Gardner Cold Storage – Pittsville, Wisconsin
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Gorman and Company – Oregon, Wisconsin
“Gorman and Company’s historic renovation of the former Red Brick School in Oregon, Wis., will significantly reduce its environmental impact. Annually, the company will save 63,640 kilowatt-hours and 29,106 therms of natural gas… enough to power 16.8 average-sized homes for one year.”
Loras College – Dubuque, Iowa
“When Loras made the decision to build a new Wellness Center to meet the needs of competitive student-athletes, the college’s energy management team was determined to build a ‘green’ facility.”
