What’s a negawatt? And why is it so critical to your future business plan?

Imagine a world where businesses get paid to save energy. In an article published by technology review last month, Jon Wellinghoff, chair of the Federal Energy Regulatory Commission (the U.S. agency that regulates electricity transmission), said that world is closer than you think.

Wellinghoff’s agency is working on a plan that pays businesses for energy they don’t use during peak periods. The agency calls these energy-saving measurements negawatts. The goal is to reduce energy demand by rewarding businesses that are proactive in cutting back their energy use.

Wellinghoff anticipates that plan could go into effect in as soon as five years. When it does, many businesses will be scrambling to determine what factors play the biggest role in their energy consumption, especially during peak periods. For most, the trail leads directly to their air conditioner. Because traditional air conditioners require so many watts to operate, they’re the largest offenders of electrical power consumption during peak conditions and the main cause of rolling brownouts and blackouts.

Get ready and start saving now

While traditional air conditioners use energy-consuming compressors to transfer or reject heat, Coolerado uses heat and mass exchangers (HMX) that remove heat from outside air through a process called indirect evaporative cooling. This patented process uses 50 to 90 percent less energy than traditional methods.

Compare that to the most efficient 6 ton traditional air conditioning systems that uses as much as 6,000 watts of power to a Coolerado unit that takes just 600 watts to run. Add to that the money you’ll be earning in negawatts, and our energy-efficient technology makes a strong business case for any industry.

According to Wellinghoff, “Someone who creates a negawatt should be paid for it. My mission personally has been to integrate negawatts into the wholesale energy market. If we can give the right market signals, entrepreneurs will develop ways to save energy in response to the grid’s needs.”

To find out how our negawatt-friendly air conditioners can position you for future savings, contact us.