By David M. Newman, P.E., C.E.M., Vice President of Engineering, Energia

Over the past three articles, we’ve covered the full spectrum of building performance: from Retro-Commissioning to fix existing buildings to Energy Modeling to optimize new designs. As we end this series, I want to focus on the process that serves as the strategic starting point for all of it: the Energy Audit.

It’s natural to think that an audit is always the first step. In reality, for most major projects, Energy Modeling is often the true beginning. First we build a model to baseline the building and understand its current energy performance, especially relative to its peers. This gives us a sense of how much opportunity exists for improvement.

Then, we perform the physical audit to go into the field and identify the specific conditions and equipment that explain why the building performs the way it does. Together, this creates a complete picture that transforms guesswork into a data-driven roadmap for action.

Not All Audits Are Created Equal: Understanding the Levels

The term “energy audit” can mean different things, so it’s important to understand the three different levels of energy audits defined by ASHRAE:

  • ASHRAE Level 1: This is best thought of as an “opportunity assessment.” It’s a high-level walkthrough where we review utility bills and identify major equipment to determine if a viable project exists. It represents a go/no-go decision point for a potential energy project.

  • ASHRAE Level 2: This is where the real value begins for our AEC partners. A Level 2 audit is more in-depth; we perform a detailed analysis of the building’s equipment, systems, and operational characteristics to develop specific recommendations for improvements.

  • ASHRAE Level 3: This is considered an “investment-grade audit.” It provides a detailed engineering and financial analysis of proposed measures, essentially serving as the basis for a construction contract. This level includes detailed equipment counts, pricing, and savings calculations needed for a major capital project.

Facility Upgrades with an Energy Audit

Most of the comprehensive audits we perform for large-scale projects are Level 2 and Level 3 analyses.

From the Field: Uncovering Hidden Energy Waste

During an audit, we often find the hidden sources of energy waste that no one was aware of. One of the most common, and stunningly wasteful, issues we uncovered was in a building where the heating and cooling systems were running at the same time, literally fighting each other. This often happens when control settings have been overridden or temperature sensors were installed improperly. 

I wish I could say this was an isolated case. 

I recall another project where heating sensors were placed inside the unit vents instead of on the wall. Heat would come on, satisfy the internal sensor too quickly, and shut off before the room was actually warm. During warmer periods, the sensor would see cooler temps inside the unit vent versus the room. This led to temperature swings that would then trigger the air conditioning to turn on. It’s a classic example of how a small installation error can create a massive operational inefficiency that a detailed audit can pinpoint.

From Audit to Action: Building the Investment-Grade Roadmap

Once we complete an audit, the findings are compiled into a schedule of recommendations, building by building and system by system. These recommendations typically fall into two categories.

First, there are the “no-brainer” upgrades for equipment at the end of its useful life (EOL), obsolete, or broken. The second category involves equipment that may be functional but where technology has advanced so significantly that an upgrade is justified by a strong return on investment (ROI).

A perfect example of the latter is upgrading from fluorescent to LED lighting. The existing lights may work, but the payback for replacing them is often excellent due to energy savings and improved reliability. A detailed audit report can provide the savings calculations to justify that investment.

This level of detail is where an investment-grade audit (ASHRAE Level 3) shines. For example, we’re currently designing an all-electric building in an upstate school district using high-efficiency heat pumps. We know from the manufacturer’s own performance data that under extreme cold winter conditions, the heat pumps alone can’t respond quickly enough to keep the incoming ventilation air from feeling cold to occupants. A classroom might be 70 degrees, but if the air coming out of the vent is 45 degrees, people will be uncomfortable. To solve this, our recommendation includes adding supplemental electric coils inside the units that energize only when needed to boost the discharge air temperature. We bake the added equipment and operational costs of those coils directly into the project’s ROI calculation. That is the level of detail required to design a system that works in practice, not just on paper.

Empowering Partners, Justifying Projects

For our AEC partners, the data and analysis from a thorough audit become a powerful tool. An Energy Audit provides the concrete evidence needed to make a compelling case for a major capital project. For public sector clients, this data is the basis for selling the public on a bond. For a school board, it’s the analysis that allows you to compare different technologies—like a traditional chiller versus a high-efficiency VRF system—and prove that the recommended path is the best long-term investment for the district and its taxpayers. An audit transforms the conversation from “we think you should do this” to “the data shows this is the most efficient path forward.”

The Energia Difference: A Partnership in Performance

To wrap up this series, the most important message I have for our AEC partners is this: our value lies in our extensive expertise in high-efficiency, energy-focused projects. We understand the newest technologies and, crucially, know how to evaluate and implement them for optimal performance. We understand the equipment and systems as well as what is necessary to use it and operate them for optimal performance.

Energia’s role is to help our partners future-proof your designs, ensuring the systems you install today won’t be considered antiquated a decade from now as codes and markets inevitably change. By starting with a foundational energy audit, we can build a data-driven strategy together. This partnership ultimately helps you design and build better buildings, forging the stronger, more trusted client relationships that are the bedrock of our industry.