By Alicia Creighton, co-owner, commercial project developer, Namaste Solar
The City of Denver is taking big steps toward its goal of reducing greenhouse gas emissions. One significant initiative is the Energize Denver program.
What is Energize Denver?
Energize Denver is a building performance policy that plays a pivotal role in reaching Denver’s goal of eliminating emissions by 2040. The program sets energy requirements for existing commercial buildings within Denver city limits.
Commercial buildings are being asked to decrease their energy use intensity (EUI). EUI is a measure of a building’s energy use per square foot. Energize Denver covers two building sizes: 5,000 to 24,999 square feet and 25,000 square feet and larger. Larger buildings comply once an energy efficiency target is set for each building based on benchmarking data reported from the building since 2017 and the building works toward enhancing energy efficiency through operations and equipment improvements. For these larger buildings to achieve compliance, they either need to show they are meeting that target through their benchmarking reports or develop and submit a plan for how they will meet their targets over time.
It’s important to note that buildings between 5,000 and 24,999 square feet have a different set of requirements. Owners can choose to lower energy usage through LED lighting options or improve energy sources by investing in onsite or offsite renewable energy to offset 20% or more of the facility’s annual energy consumption.
Energize Denver has extended the timelines for compliance. Compliance deadlines are now extended to 2028 and 2032, with opportunities to apply for compliance holds or extensions beyond 2032. There are also other recent changes including lower penalties, expanded financial support, clearer compliance steps, and more resources & collaboration.
Why Choose Solar for Energize Denver Requirements?
There are multiple ways to reduce your EUI and meet Energize Denver requirements, and installing solar to offset energy consumption is one with a significant impact to both EUI and your bottom line. For example, Energize Denver assigned office buildings a target EUI of 48.3, and according to the Benchmarking Map, most office buildings are currently sitting at site EUI’s of 41-80. A typical 30,000 square-foot office roof can accommodate a 200kW solar system, which will produce enough electricity to reduce the building’s EUI by 33. That’s enough to bring many of these properties into compliance.
Additionally, given the available tax benefits, utility savings, and incentive income, a commercial solar investment, a 30+ year asset, will typically breakeven in 7-9 years with a 10%+ internal rate of return (IRR). It’s a win-win!
You can also enjoy all the other benefits of going solar: increased property value, stabilized energy costs, decreased dependence on fossil fuels, and a positive marketing opportunity.
Note: If you’re a building owner that is leasing to NNN tenants, not to worry! You and your tenants can still reap the financial benefits of solar.
You Have My Attention, Now What?
For 98% of Denver’s buildings over 25,000 square feet, the Energize Denver targets are between 2028 and 2032. The final deadline in 2032 will be here before we know it. From consultation to installation, a commercial solar system takes time. We encourage you to get started now, so you can skip the fines and start earning a return on your investment.
When you reach out for a consultation, you’ll be asked for some basic information. From there we’ll be able to put together an indicative proposal so you can see what solar might look like for your building and what your return on investment could be. Our indicative proposals are thorough enough to give you a clear idea of what solar could look like for your property.
Why Namaste Solar?
Reach out to one of Namaste Solar’s commercial solar experts. Our team does not work on commission. Instead, they are focused on your goals and providing you with all the context and information you need to make the right decision for your business and your building.
Namaste Solar has been in business as a local Colorado company since 2005. We know the ins and outs of solar in our state, and we want to make your project a success.
Contact us today: phone: 303.816.3892, website: www.namastesolar.com/businessbenefits
About the author: With over eight years of experience as a co-owner at Namaste Solar, Alicia Creighton brings a wealth of experience, enthusiasm, and a fresh perspective to the commercial team. She leverages her expertise and deep understanding of the company’s operations to offer tailored solar solutions that align with our clients’ needs. Alicia is excited to contribute to our mission of advancing renewable energy and delivering exceptional value to our commercial clients.
