Honeywell Newark

City of Newark taps Honeywell for energy efficiency project

The City of Newark, New Jersey has tapped Honeywell for an energy savings improvement project. Newark Mayor Ras J. Baraka and the city’s Department of Engineering director, Phillip Scott, said the project will help the city save money and put taxpayer dollars to better use.

Honeywell will lead the program to upgrade building infrastructure in 17 facilities across the city. Those upgrades will be funded through a 20-year $15.4 million energy saving service contract with Honeywell, along with a $2.3 million rebate from the New Jersey Clean Energy Program.  

Honeywell has guaranteed that project will be a self-funded project over the contract term, meaning the future annual operational and energy savings from the upgrades will be sufficient to fund the service contract. That, along with the rebate, means the city won’t need to cough up any upfront capital investment to begin the upgrades.

Wayne Kent, VP and GM of Honeywell building solutions, said such performance contracts are a valuable way to enable public entities with lean budgets to further their sustainability goals.

“These projects can effectively pay for themselves with funding enabled through guaranteed savings,” Kent said.

Related: Jackson Michigan announces ‘Smart Energy District’

Honeywell says it’ll use local labor to complete 40% of the project. Honeywell aims to finish the building infrastructure improvements by the end of 2019.

The upgrades include building three cogeneration plants to enable the city to generate on-site electricity and heat simultaneously; upgrading lighting with LEDs; replacing failed steam traps and missing pipe insulation on steam distribution systems; installing energy-efficient control solutions, including a building management system (BMS) platform and integrating the city’s HVAC and building systems with the BMS platform and installing electric and gas sub-meters on buildings; and installing a city-wide solution to reduce desktop computer electric power consumption, among other measures.

The project aims to reduce the city’s annual energy operating costs by 36%, representing some $1 million per year. It’s part of the Department of Engineering’s commitment to Newark’s Sustainability Action Plan. The plan calls for the city to reduce is municipal energy consumption, facilitating energy savings for residential, commercial and industrial partners, and supporting clean energy and green building initiatives.

“We understand how important it is for cities to lead the movement for climate action, energy equity and cleaner air,” said Mayor Baraka. “This is why Newark is committed to doing our part by developing solutions, implementing programs and working with partners like Honeywell to help us achieve energy savings, reduce greenhouse gases and pollution.”

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