BANGOR, Maine — Four years ago this month, as instability in the Middle East threatened to cause big spikes in oil prices, the city hired a southern Maine firm to conduct a comprehensive energy audit of all municipal buildings.
Honeywell Building Solutions of Westbrook spent several months surveying 42 primarily oil-dependent buildings, comprising 1.3 million square feet of city-owned property, to see where energy savings could be found.
The result of that audit was a lengthy report presented to the city on which projects it should undertake. The idea was to spend a little money updating certain buildings with the understanding that the payback might not come for a few years.
Although Honeywell recommended more than 100 potential energy-saving projects, the city explored those with a payback of about 10 years or less. The projects considered included smaller things such as lighting upgrades and increased insulation to more substantial changes, such as converting buildings to natural gas.
So far, Bangor has invested nearly $12 million — a majority on the city’s many schools — and paybacks are ahead of schedule.
Of the $1.2 million invested into what are known as general fund facilities, the city’s payback period has gone from about nine years to six years, according to Finance Director Debbie Cyr. Audit reports for more substantial projects affecting Bangor School Department property and Bangor International Airport are due this fall, Cyr said, but she predicted that paybacks would be ahead of schedule.
“The city made sizable investments in its facilities to reduce future energy and maintenance costs and increase efficiencies and, to date, these decisions have proven beneficial,” she said in a memo to city councilors.
Not all councilors are convinced of Honeywell’s successes.
Gerry Palmer asked Cyr to put together some information about the city’s contract to see whether the city has spent its money wisely.
“I want to make sure the city is getting good value,” Palmer said. “Some of their advice, particularly the recommendation for wood chip boilers at the high school, I don’t think have been helpful to the city.”
Included among the general fund facilities examined by Honeywell were the former Bangor Armory, which now serves as headquarters of the city’s parks and recreation department; the Fire Department’s central station and Station 6; the fleet maintenance, public works, recycling and bus garage facilities; the health and welfare department’s facilities; the Union Street Athletic Complex, Sawyer Arena and Mansfield Stadium; and Thomas Hill Standpipe.
All of the schools were examined.
Honeywell predicted that if the city went ahead with just half of the projects outlined, it would reduce its oil consumption by 17 percent and propane usage by 80 percent. The company also agreed to cover the difference if the changes did not result in savings.
“We were protected in that sense,” Cyr said, adding that the city was never committed to embarking on any projects.
In September 2008, city councilors actually went against a Honeywell recommendation to convert Bangor High School and some buildings at Bangor International Airport to wood-based heat. The city instead chose to switch from oil to natural gas.
Last year, the city also approved an energy efficiency change that was not part of Honeywell’s recommendations — converting all downtown streetlights to LEDs. That project was paid for in part through national stimulus funding and is expected to save $35,000 a year in electricity costs.
Palmer maintained that the city needs to take a closer look at its relationship with Honeywell.
“I know we’ve saved money on some of these projects, but I’d like to know how [Honeywell] is being paid,” Palmer said. “Their contract is 200 pages. I haven’t seen it. I think we should review it, that’s all.”
Cyr said the audit itself did not cost the city any money because it was rolled into the cost of any projects completed. Honeywell was paid the roughly $12 million to complete all energy efficiency projects and acted as a sort of general manager, Cyr said, in that the company coordinated all of its own subcontracting.
No additional projects are planned, she said, so the city’s contract with Honeywell has effectively expired.