Case Study: Maine Machine Products Company’s Bundled Energy Solutions

In late October 2015, we organized a celebration event at Maine Machine Products in South Paris, Maine.  Maine Machine Products’ 65,000 sq. ft. state-of-the-art facility contains the latest in CNC and multi-axis machines and precision equipment.  They currently operate two shifts, both staffed with associates who are highly experienced and quality focused.  They are a world-class manufacturer of custom components and assemblies for targeted high-tech markets, such as semi-conductor, medical, defense and aerospace, telecom and fiber optics, and oil and gas.

MMPCo’s Facility Manager, Barry Kilgore, contacted us early in 2015 looking for ways to reduce energy expenses.
Working with Bob Degruchy of Graybar Electric, we designed a lighting retrofit plan that would decrease MMPCo’s annual electricity usage over 600,000 kWh. The system they chose included fixtures manufactured in the US by Cooper Industries and Light Corporation.

We were able to address Maine Machine’s HVAC energy costs with the CATALYST system from Transformative Wave Technologies. CATALYST is a combination hardware and software platform that has consistently produced energy savings of 40% to 60% in systems exactly like MMPCo’s.

With help from Brant Small of Transformative Wave, a CATALYST system was designed that would reduce electricity usage by approximately 325,000 kWh per year. The overall savings of 925,000 kWh is enough energy to power the average home for 100 years.

With the project costs and the savings estimates calculated, we submitted the project to Efficiency Maine for pre-approval. LED lighting is a standard part of lighting retrofit projects within the industry. Energy-saving controls designed specifically for constant volume rooftop HVAC units, however, had not been done in Maine before as part of an Efficiency Maine program; The technology needed to be researched and verified.

We worked with Efficiency Maine to have the CATALYST system evaluated and the bundled project pre-approved for incentives in an amount that represented 50% of the project cost and provided Maine Machine Products with a one-year payback. The project began in July 2015, and concluded in October 2015.

A Brief Reflection…

I’m so tired that I’m cross eyed but please indulge me for a short story. A few years ago I volunteered to help with recording the audiobiographies of many of the millworkers that worked in Lewiston at the turn-of-the-century. A generation that was dying. Most of them were millworkers of Franco American descent. Their various stories brought both laughs and tears to those of us recording their lives. Today one particular story came to mind.

Jean and Yvonne both worked at the Bates Mill, Jean a machine operator and Yvonne a ” bobbin girl”. As a bobbin girl, Yvonne wore a long cotton dress every day and slid along the hardwood floors under the machines on her back lubricating the bearings while machines were operating. They were paid on piece-work and didn’t stop the machines for maintenance. The bobbin girls were small enough to slid under these looms while operating with only inches of clearance to the whirring and deafening looms. She was 14 years old when she started and worked 12 hours a day six days a week. After every shift she ran home five blocks away to exchange shoes with her twin sister as they shared a single pair of shoes typically making her sister late for her shift. After meeting Jean they moved back to rural Quebec and married at 17. For their honeymoon they traveled back to Lewiston to visit family and friends, it was the only vacation they could afford. Both ventured out one day while there to visit friends. Jean went nearly insane when Yvonne didn’t return after more than 24 hours. When she went back to the mill to visit with the ” girls” the supervisor indulged her to fill in for a vacant bobbin girl who was sick. She knew what a hardship this was on the other girls and agreed, working a double shift (24 hrs). She returned to the apartment the next day, her new ” travel clothes” and hair covered head to toe in cotton fibers. Her new husband cried and all was well once again…..True story as told by Yvonne.

Today I returned to our office after a very long and tiring day. Several of our team was still there after about a 12 hour day. A core group has worked these long days consecutively without break for couple weeks doing a massive software conversion that will be a huge asset to our customers. While not covered in fibers they have the same commitment Yvonne did to her “girls”. Gawd…sometimes they bring tears to my eyes. An inspiration and extraordinary bunch they all are. Thank you….

Dan

Maine’s Impending Energy Crisis

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We have been watching the natural gas storm on the horizon for some time, and this is the first major lightning strike.  We’ve theorized that LNG (liquefied natural gas) would be exported to Europe soon, raising prices for all gas consumers in the United States.  While that is still probable, there is a more immediate, domestic dilemma that Maine residents and small business owners will soon face.

It hasn’t been a secret that we have limited natural gas pipeline availability in New England, and the major pipelines coming to us from the south are not nearly large enough to meet the requirements for our demanding heating season.  For example, since July, Maine Natural Gas has been unable to connect new customers to the gas mains until an uncertain date in 2015 (we suspect it will be late in the year).  While at Thayer we strive to remain fuel-neutral, we question whether it is in everyone’s best interest to connect to natural gas, with many reasons listed in one of our previous articles (read more here).

The Maine Public Utilities Commission (MPUC), along with representatives from other state agencies, has issued a press release to the public, warning them to prepare for a surge in the price of electricity during the upcoming winter months.  Over half of the electricity in Maine is generated from natural gas.  Increased demand for gas and an inability to meet that demand has directly caused the price of electricity for Mainers to skyrocket.  While homeowners will not see price spikes until March of 2015, small-to-medium businesses should brace for impact since rates will more than double for standard rate customers by January; CMP customers, for example, will see price spikes from $.06 to $.15 cents per kilowatt hour, according to the press release.

Individual consumers and businesses alike make financial decisions based on electricity being available at predictable costs; not priced on crisis.  The fact of the matter is that the natural gas pipeline is constricted, and that is not going to change for several years at best.  After the method of funding new pipelines is determined, political wills of many must align.

Fortunately, there are several things you can do before the onslaught of this energy crisis; all relating to energy efficiency.  Both Michael Stoddard, Executive Director of Efficiency Maine, and Tom Welch, Commission Chairman of Maine Public Utilities Commission believe that now is the perfect opportunity to take a proactive stance and make energy efficient decisions.  At the beginning of October, the MPUC has approved the increased allocation of funding to Efficiency Maine.

There are a number of changes to existing programs, which when combined with the rising cost of energy actually makes for better incentives, equaling quicker payback.  We have effectively bundled several of the existing Efficiency Maine programs with new ones to yield larger incentives for our client/partners.  Call one of our project engineers today and have your building benchmarked using the Energy Star rating system, which will give you a starting point of things to consider.  There are almost always cost effective improvements that can be made to make you more money.

Natural Gas: A Fool’s Gold Rush?

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As the availability of natural gas becomes more widespread, a Fool’s Gold rush has been created.  Thayer, LLC has been and will remain fuel, technology and brand neutral as we offer some considerations when determining if switching to natural gas is in your best interest.

The supply of natural gas in the United States has increased dramatically over the last decade, largely due to the use of fracking technology to improve yields from gas deposits embedded in shale rock formations.  Many politicians hail cheap and plentiful energy supplies as the key to a healthy economy.  Our political stability is strengthened by relying less upon imported oil.  The environmental impact of fracking, however, remains the topic of heated political debate.  Millions of gallons of clean ground water are used to fracture (frack) the shale to harvest gas.  The water becomes severely contaminated and must be carefully sequestered below ground to prevent health and safety risks, including respiratory illnesses.  It’s impossible to prevent some of the contaminated water from seeping into clean groundwater supplies and volatizing into the air above ground.

Last week, the largest independent study to investigate the health impact of fracking was released by Environmental Health Perspectives, which does not establish definite causation between health problems and fracking, but does report that the effects suffered by residents in 1 kilometer proximity of fracking sites: hair loss, persistent rashes, sore throats, respiratory illnesses and nose bleeds, among other ailments, is more prevalent than in households further than 2 kilometers from natural gas wells. Several multimillion dollar lawsuits have been settled, and surely more will follow.  Chemical manufacturers are pushing for major legislative reform to reduce State by State rules for the use of their products. Opponents argue the proposal undermines states’ rights and weaken regulations.  The environmental impacts associated with the use of fracking to harvest natural gas will likely escalate gas costs in the future.

There are more powerful forces likely to cause the price of natural gas to spike.  As Russia bullies its European neighbors, the EU desperately wants to import natural gas from the US in the form of liquefied gas.  Even with the costs of liquidation and shipping, estimates are that American gas can be sold in Europe for roughly half the cost of Russian gas (read more here).  The export market for gas would explode if the house approved permits for coastal export loading sites.  Opposition cuts across party lines as those opposed try to artificially keep domestic prices low.  If widespread export is permitted the domestic price of gas will escalate.

Regionally, the price of gas has risen sharply as demand has exceeded supply. New gas pipeline mains and branches are being built at a breakneck pace.  Gas suppliers are competing for new connections in order to grab market share.  Once they connect a new customer, they almost always have the customer locked in regardless of gas prices. Ironically, major pipelines coming from south are severely undersized for present and future needs of New England.  According to Maine Natural Gas, new requests for service from existing main lines will not be installed until 2015.  Governors from several northeastern states are collaborating on the long term solution to install larger pipelines.  Success will require political unity and lots of negotiation with thousands of individual landowners to create a corridor through heavily populated areas.  The cost of land easements and the pipeline itself will have to be borne by gas users in the northeast.

The cost of heating with any fuel is the price of the fuel multiplied by the efficiency of its use.  In the case of gas boilers and heaters, efficiency is a combination of combustion, thermodynamic and operational efficiency.  Advertised efficiencies of 80-98 percent almost always refer to combustion alone.  How efficiently the boiler captures the heat from combustion and transfers it to air or water is the thermodynamic efficiency.  Boiler inefficiencies translate to heat being wasted through the chimney or vent.  The configuration and effectiveness of the controls result in the operational efficiency.  Smart thermostats, reset controllers and zone controllers are some enhancements that improve operational efficiency.  A wide variety of factors play a part in determining overall system efficiency.

Lately, in the rush to fill seats on the natural gas bandwagon, there have been many conversion burners sold and installed. Gas companies often tout this approach since this method provides the smallest upfront cost.  Although conversion burners can work effectively, they rarely operate optimally when the three types of efficiency factors are considered.  The burners are not matched precisely to the boiler, creating challenges in operation and long term reliability.  Thayer and other service providers are seeing many very poor installations, upset customers and premature failure of boilers and furnaces.  Compare this to a total system replacement with all components being designed, tested, certified and optimized and the difference in cost of operation and ownership can be (and typically are) dramatic.  The lower cost conversion burner on an existing boiler might have an overall efficiency of approximately 50% compared to a new efficient and optimized boiler at 90%. The magnitude of the differences is typical. The higher installed cost of boiler replacements, however, is a barrier for many.  The higher installed cost, however, is a barrier for many.

Considering all of the factors of fuel choice, along with the decision whether to convert or replace equipment, professional design and installation provides more than a “one size fits all” approach.  Unfortunately, most information being pushed to consumers is by the gas companies and manufacturers who have vested interest in objectivity.

Don’t settle for Fool’s Gold.  Hire a professional that has the experience to guide you through the maze of choices and considerations for gas, oil, heat pumps, wood pellets, chips, etc.  Call one of our engineers to see if your project is suitable.

Thayer, LLC Selected for 2014 Best Places to Work in Maine

best places to work maine thayer corpAUBURN, ME – Thayer, LLC, located at 1400 Hotel Rd. in Auburn, ME is proud to announce their selection as one of the “Best Places to Work in Maine” for 2014 in the small/medium company (15-249 employees) category.

The Best Companies Group evaluates employee policies and procedures, as well as a survey of company employees.  The Best Places to Work program is part of a long-term initiative to encourage growth and excellence through all Maine Companies, and recognize those who have established and consistently fostered outstanding workplace environments. Partners endorsing the Best Places to Work in Maine program include: Mainebiz, the Maine State Chamber of Commerce and Maine HR Convention.

According to President Dan Thayer, “This recognition is one of our proudest achievements and a testament to the depth, character and commitment of our team. We strive to serve them as well as they serve us and our valued customers.  This award only deepens our commitment to continually grow, improve and serve them even better in the future.”

Thayer Corporation will be recognized and honored at the Best Places to Work in Maine awards ceremony on October 8 and will be profiled in a special publication by Mainebiz. The final rankings will be announced at the event.

Thayer was founded in 1981 with primary focus on servicing and maintaining heating, ventilation, air conditioning and refrigeration systems.  Currently they perform service and preventative maintenance on all types of HVAC/R and control systems as well as design and installation.  More information can be found at www.thayercorporation.com