Framework for cost saving estimation of commercial building in energy efficiency

Abstract

Commercial buildings are identified as one of the largest developments that utilize the highest amount of electricity in Malaysia. While it is a huge challenge for a commercial building owner to take necessary energy saving measures, by practicing energy efficiency activities, the building owner could save on operating costs and indirectly promoting environmental conservation. The main purpose of this study is to develop a framework for the purpose of achieving energy efficiency of commercial buildings. To identify the major barriers in implementing energy efficiency in buildings, Angsana Mall Johor Bahru was selected as the case study. A questionnaire survey session involving selected building energy management staff members and business space tenants of the building was conducted. In addition, the energy saving measurement (ESM) before and after the energy-saving program and estimation of energy cost savings were also taken. The analysis of the questionnaire survey shows that the importance of each barrier to the implementation of energy efficiency varies between the management and building tenants. Statistically, two main types of barriers in the category of capital constraints and investment priorities have been identified. These two barriers are business capital-deficit factors for the purchasing of energysaving equipment and the need of capital investment in energy efficiency to compete with other business investment priorities. ESM results show that the highest contributor to energy saving and operating costs is from the replacement of old chillers for the centralised air-conditioning system of the building. A total of 160,575.15kWh or 15.48% energy savings with an approximate value of RM58, 609.93 per month can be achieved. This study has proven that energy saving for existing commercial buildings can be implemented but it requires high capital investment. A framework to enable building owners to continuously carry out ESM program has been developed and later validated through a focus group session conducted with the top management of UDA Holding Berhad as representative of Angsana Mall Johor Bahru building owner.