$50 Billion in Energy Savings Possible with Encelium Technology

Installed Space Becomes Smart Space - Commercial Buildings Being Retrofitted With Advanced Control Systems

April, 2009 – Smart buildings are limited to new construction, right?

Wrong. Now technology is available that allows existing commercial space to be retrofitted with intelligent systems that deliver 50-75 per cent energy savings.

This is significant because of the sheer size of the potential retrofit market. New construction totals some 1 billion square feet of commercial space annually, while the installed space is closer to 100 billion square feet. But until recently, it has been cost-prohibitive to convert installed space to smart space.

An intelligent lighting control system developed by Encelium Technologies is now cracking that market, and the company is riding a wave as existing buildings are – for the first time in any meaningful way – able to install this advanced technology at a cost that makes it a highly attractive investment.

Encelium’s integrated Energy Control System (ECS™) is the world’s first intelligent, addressable lighting control system, and it is the only product of its kind that can be retrofitted into existing buildings in a cost effective manner.

“The retrofit market has been the holy grail, and we’re there now. We have the technology,” says Terry Mocherniak, Chief Operating Officer of Encelium Technologies. “Now even existing buildings can take advantage of the latest state-of-the-art system that will cut their lighting energy costs by 50 to 75 per cent.”

While Encelium continues to be a major supplier in the new build category, 60 per cent of its revenue is now derived from retrofits. With revenue already doubling every year, Encelium is headed for even faster growth in the future.

Encelium’s advantage? Its system is software based and connects to standard lighting components. That makes retrofitting a far more affordable option. The system can be installed relatively quickly, and the pay-back period is between two to five years.

Encelium’s system is producing energy savings of between 40 cents and $1 per square foot of space. That adds up. Across the existing building sector in North America, that represents some $50 billion in total potential energy savings.

[an error occurred while processing this directive] Another reason why Encelium is now penetrating the retrofit market is its depth of understanding and expertise in the building industry. Its owner, Townsend Capital LLC, has more than 30 years of experience as a manager and developer of commercial real estate. It sold most of its properties two years ago (at the height of the market), and decided to re-deploy its capital in energy savings technology.

“We conducted a global search, and we found Encelium’s technology to be far superior to anything else on the market on a number of levels – total energy savings generated, system costs, ease of installation, and payback periods,” said David Townsend, President of Townsend Capital.

As well, Townsend Capital recruited Tony Marano as Chief Executive Officer of Encelium. Marano was formerly CEO of the Americas for Cushman & Wakefield, one of the largest real estate companies in North America.

It is this marriage of unparalleled experience and expertise in the real estate industry and the leading technology in intelligent lighting and energy control systems that has allowed Encelium to become the dominant force in the retrofit market.

“We know what building owners and managers want, we understand their needs, and that’s what makes us unique,” says Marano. “Encelium is all about developing custom solutions for its customers. We don’t just sell product off the shelf.”

He points to a convergence of factors that will drive the marketplace. Energy prices will continue to rise, making a strong financial case for retrofitting since lighting represents the largest single use of energy in a typical commercial building – some 37% of the total. As well, buildings must reduce their carbon footprint and demonstrate that they are ‘green’ in order to remain competitive.

And finally, smart buildings are now a reality, and even installed space will have to become “intelligent” to be green. Encelium’s systems have sensors throughout the buildings, providing real time occupancy and ambient light information that can be used to control lighting and HVAC in a more intelligent – and more cost efficient – way than rigid time schedules.

Individuals can even control the lighting in their personal workspace to suit their preferences through their desktop computers.

For more information visit www.encelium.com and click on ‘Six Smart Strategies’.

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