Evaluate the Economics of Energy Efficiency Projects

Cash Flow Opportunity Calculator

The Cash Flow Opportunity Calculator helps you make decisions about when and how to finance energy efficiency projects. You will be able to estimate how much new equipment you can finance using anticipated savings, as well whether you should finance now or wait for a lower interest rate. This calculator can accelerate the installation of energy efficiency projects by addressing three critical questions:

1. How much new energy efficiency equipment can be purchased from the anticipated savings?
2. Should this equipment purchase be financed now? Or is it better to wait and use cash from a future budget to avoid paying interest?
3. Will we lose money by waiting for a lower interest rate?

How It Works:

The calculator translates energy savings into dollar figures and shows how energy efficiency projects can improve cash flow.

Who It’s Designed For:

Everyone. It was developed to address the “we don’t have the money” objection that many organizations face when trying to implement energy efficiency projects and will demonstrate that there is a cost of delaying these projects.

• Use the Cash Flow Opportunity (CFO) Calculator
  • calculations and methodology
  • View a self-guided introductory presentation

Financial Value Calculator

Improved energy performance can increase both your company's bottom line and its market valuation.  The Financial Value Calculator can help you quantify and communicate the value of improved energy performance for your organization.

How It Works:

This calculator uses the prevailing price/earnings ratio to estimate the market value of increased earnings that can result from increased energy efficiency. It uses corporate data you enter to calculate your company's potential financial returns.

Who It’s Designed For:

Publicly- and privately-held companies.

• Use the Financial Value Calculator.

Building Upgrade Value Calculator

The Building Upgrade Value Calculator evaluates the financial impacts of energy efficiency improvements to office and warehouse buildings from two perspectives:

1. The financial benefits to owners.
2. The financial benefits to each individual tenant.

In exploring the costs and benefits of having tenants help fund efficiency projects or capital investments, this tool can help landlords and tenants move beyond the “split incentive” typically assumed to exist in commercial lease arrangements.

How It Works:

By evaluating the expected change in tenant contributions for recoverable owner expenses under a variety of lease types (full service gross, modified gross, triple net – each with customizable tenant-level parameters), this tool calculates the costs and benefits of base building energy efficiency measures for the owner and each tenant.

Who It’s Designed For:

Commercial real estate. Currently the calculator is designed to evaluate the impact on tenant expense reimbursements for common office and warehouse lease structures.

• Use the Building Upgrade Value Calculator.