Find gold in energy efficiency

By Rich Patterson

If a financial advisor told a client that he could guarantee a risk-free 25 percent return on investment, few would believe him.

But it's possible. Such assured high returns don't even require much up-front money, although they're not traditional investments. We've proved it at the Indian Creek Nature Center and in the Patterson home. The gold comes from energy efficiency.

For the past few decades, we have carefully managed energy consumption and gradually added efficient technology and renewable energy generation. Utility bills have shrunk and are almost trivial.

Nearly everyone can dramatically reduce fuel costs. Many people assume that utility bills are like death and taxes - you have to pay them. That is true, but it's easy to declaw high bills. It's hard to understand why many people don't.

Nearly everyone can follow the three-part strategy the Nature Center used to save money.

l If it's not being used, turn it off!

It amazes me to see unwatched televisions going, lights on in unoccupied rooms and porch lights glowing at noon.

Another no-cost practice is to “let the sun shine in.” Too many people simply shun free heat and light by keeping their south facing blinds closed. Opening them each morning captures solar heat and often enables turning off room lights. Closing blinds at sunset helps retain heat overnight.

l Invest in inexpensive energy-saving technology.

Compact fluorescent bulbs produce light while consuming about 70 percent less electricity than incandescents. Conversion is as simple as unscrewing the power guzzlers and replacing them with fluorescents.

Occupancy sensors replace light switches and automatically turn off lights when occupants leave a room, but they don't do anything the human index finger can't. Adding insulation yields a financial payback impossible to achieve on Wall Street.

And, finally, nearly all new refrigerators, washers and other appliances are much more efficient than older models, an investment that immediately yields lower operating costs.

Utilities and the government will help pay for investments in efficiency. Alliant Energy and MidAmerican Energy, in particular, have stellar programs providing rebates for replacing inefficient lights and appliances with more efficient ones. They also offer outstanding information and advice on how consumers can reduce consumption.

The government offers generous tax credits for those willing to invest in efficiency. Combining rebates and tax credits makes embracing energy efficiency like finding money on the sidewalk.

l Add renewable-energy generation.

The Nature Center generates about a third of its electricity through photovoltaics. Sunlight creates electricity that powers lights, fans and computers. The sun can also heat water, and geothermal energy is one of the most efficient ways of cooling and heating homes.

In most cases, renewables provide a long payback, and it makes investing in them worthwhile after first making a home or business efficient. Tax credits are available to help pay for some renewable options.

The savings potential is enormous. Many school districts, governments, homes and businesses could easily achieve a 25 percent utility cost reduction by embracing efficiency. Adding renewables to the mix further reduces bills. A 25 percent reduction in its utility costs would enable the City of Cedar Rapids to divert about $2.75 million to fixing potholes or some other important need ... perhaps even reducing taxes.

If the city took a leadership role, they would set an outstanding example for businesses and homeowners to follow.The combined savings potential for all utility consumers in the metro area is in the hundreds of millions of dollars annually. That's big money!

But, there's no need to wait for others to take the first step. Nearly every utility customer can take simple steps that will begin saving money immediately.

Rich Patterson is director of the Indian Creek Nature Center in Cedar Rapids.