Across the country, energy costs are climbing and many organizations are feeling the pressure.

The U.S. Energy Information Administration reports an average price increase of 21% for commercial and 18% for industrial customers over the last decade. Across the U.S., these increases are due to utilities raising rates to cover infrastructure upgrades, grid modernization, and state-level energy standards. In many regions, peak demand charges are also increasing, which can dramatically raise monthly bills for businesses with high electricity use.

For commercial leaders, that means energy costs are becoming difficult to predict and even harder to control.

Solar and other renewable energy solutions have become one of the most reliable ways to stabilize energy spending and reduce reliance on the grid. Yet many organizations hesitate to move forward for one simple reason: upfront costs.

The good news is that paying cash for a solar system is no longer the only option. Today’s financing models allow businesses to adopt solar with little or no upfront investment while still capturing meaningful savings.

Why Some Organizations Choose Direct Ownership

When a business owns its solar energy system, it captures the full financial return from the project.

Direct ownership allows organizations to claim federal tax incentives such as the Investment Tax Credit and accelerated depreciation, along with any available state or utility incentives. Over time, those benefits can significantly reduce the overall cost of the system while delivering long-term energy savings.

Direct ownership also gives organizations full control over the system and how it operates. For companies with available capital and a long-term outlook, this option can deliver the greatest lifetime savings.

But many organizations prefer to keep capital available for core business investments. That’s where alternative financing models come in.

Power Purchase Agreements

A Power Purchase Agreement (PPA) is one of the most common ways commercial organizations install solar without upfront costs.

In this model, a third-party investor owns and operates the solar system installed at your facility. Your organization simply purchases the electricity it produces. Instead of paying for the equipment itself, you pay for the energy generated by the system, often at a fixed rate that is lower than your current utility price.

Because the provider owns the system, they also claim the available incentives such as tax credits, rebates, and renewable energy credits. Those incentives help lower the price offered to the customer.

PPA contracts typically run for about 20–25 years. At the end of the agreement, organizations often have the option to:

Extend the agreement
Purchase the system
Have the equipment removed

For many businesses, a PPA offers a simple way to reduce energy costs without adding operational responsibilities.

Operating Leases

Operating leases share several similarities with PPAs, but the payment structure works differently. Instead of paying for the electricity produced, the customer pays a fixed monthly lease payment for the solar equipment.

Key characteristics of operating leases include:

Fixed monthly payments
No large upfront capital investment
Third party typically receives tax incentives
Immediate reduction in utility costs

Because the payment structure is fixed, organizations often find operating leases easier to budget than performance-based energy pricing.

Similarly to PPAS, at the end of the lease term, organizations may have the option to renew, purchase the system, or replace the current agreement with a new one.

Capital Leases

Capital leases operate differently from both PPAs and operating leases. In many ways, they resemble traditional financing.

Under this model, the organization leasing the solar equipment is often treated as the economic owner of the asset. That means the business may be able to claim incentives such as tax credits and depreciation.

Capital leases also typically have shorter terms, often around seven to 10 years. Because the timeline is shorter, payments can be higher during the lease period.

However, the structure offers additional financial flexibility, including:

Access to federal tax credits and depreciation
Faster path to full ownership
Flexible payment and recapitalization structures
Ability to apply incentives toward principal balance

This model often appeals to organizations that want a no-upfront-cost solution but still want access to ownership-style financial benefits.

Hybrid Energy Financing Models

Beyond traditional PPAs and leases, hybrid structures are becoming more common as the energy market evolves. These models often combine performance-based incentives with shared financial benefits.

For example, shared savings agreements allow both the customer and provider to benefit from the system’s performance. If the project generates greater savings or revenue, both parties share the upside.

Another growing model is Energy-as-a-Service (EaaS). This structure expands the concept of a PPA beyond electricity. Instead of paying strictly for kilowatt-hours (kWh), customers may pay based on the value delivered, such as:

Energy savings
Heating or cooling output
Lighting performance
Water savings

Some hybrid models also integrate grid services like demand response. In these cases, a facility may temporarily reduce energy use or dispatch stored energy during periods of high grid stress (e.g. brownouts). When that happens, the customer can receive financial compensation that is shared with the service provider.

These arrangements are particularly valuable in wholesale power markets where grid demand spikes can drive higher prices.

Choosing the Right Financing Model

There is no single financing structure that works for every organization.

Some companies prioritize long-term financial returns and prefer direct ownership. Others focus on preserving capital and reducing operational complexity, making PPAs or leases a better fit.

When evaluating solar financing options, organizations typically weigh factors such as:

Available capital for infrastructure investments
Appetite for tax incentives and depreciation benefits
Risk tolerance related to system ownership
Long-term energy cost strategy

With electricity prices continuing to rise and incentives still available, many commercial leaders are taking a closer look at solar.

Flexible financing options are making it easier than ever to move forward without placing strain on capital budgets. Organizations that explore these options today are often the ones best positioned to control their energy costs tomorrow.

Your One-Stop Partner for Solar Projects

SitelogIQ helps businesses navigate financing options and align funding strategies with project goals. We eliminate the administrative burden that comes along with energy transition financing. We have a team dedicated to identifying, applying, and managing incentives and rebates on your behalf. And with a list of vetted third-party financing partners, we ensure funding strategies are aligned with your organization’s risk appetite, capital availability, and project goals.

We’re also your consultant, contractor, and strategic partner for all steps of the solar project process. We’ve deployed 90+ megawatts of solar power to date, supporting customers from site assessments and engineering, through installation and incentive management.

Let’s chat about your energy transition goals and how you can take advantage of financing strategies that fit your organization’s goals.

Across the country, utilities are implementing unprecedented increases for commercial and industrial customer electricity rates. In the first half of 2025 alone, filings for new hikes topped $29 billion, more than double the pace of increases last year.

Recent headlines make it clear rate increases have no sign of slowing:

“Edison electric bills set to rise 10% under state plan. More hikes coming soon”
“Energy prices are rising, Duke Energy rate payers could see another rate hike in the near future”
“ComEd customers seeing bills double amid rising electric cost”

These rate increases represent millions of dollars in additional operating costs across commercial and industrial businesses. While energy costs used to be an inevitable part of business operations, they are quickly becoming a major risk factor that can impact asset value, competitiveness, profitability, and long-term growth.

Where Are Energy Costs Increasing?

The short answer: Energy costs are rising in most regions across the U.S. According to data from the U.S. Energy Information Administration, the average price of electricity has increased by nearly 21% for commercial customers and about 18% for industrial customers over the last decade.

For many regions, some of the steepest increases have been felt in the last 5 years:

All data above courtesy of EIA.

Why Energy Rates Are Rising

Energy rates are rising across the country for a variety of reasons:

Utilities are investing in protecting the grid and building resiliency against extreme weather such as storms, floods, heatwaves, and wildfires. These costs are often passed directly to customers.
Peak demand curves are being reshaped by data centers, EV charging networks, and industrial expansions, forcing utilities to expand capacity and replace aging infrastructure.
Older power plants are retiring, making it more costly to meet today’s demand and generate enough back-up power.
Despite recent federal rollbacks, some state-level clean energy standards still require utilities to add renewables and upgrade the grid.

While there is not a single reason that energy costs are rising, commercial and industrial customers are feeling the brunt from grid modernization and resiliency, new energy-heavy loads, and managing the loss of older assets.

4 Key Markets Feeling the Impact of Increasing Energy Costs

Any industry or business that relies heavily on energy will continue to feel the impact of rising costs. However, there are several that are greatly feeling the pressures, including:

Why Businesses Should Act Right Now As Energy Rates Continue to Increase

Energy costs are moving in one direction, and it isn’t trending down. The infrastructure investments, rising demand, and plant retirements behind today’s increases will keep pushing rates higher in the years ahead. For businesses, standing still means absorbing those costs as they grow, month after month.

But there is a window of opportunity right now. Federal incentives remain in place to lower the cost of projects like solar and energy storage but recent legislation is quickly phasing these programs out. That means the same project could cost more if it’s delayed. State programs can also shift quickly, with limited funding pools and deadlines that make timing critical.

The path forward is clear: Businesses that act now can capture incentives while they last, reduce exposure to future rate hikes, and lock in predictable energy costs for years to come. Waiting only narrows the options and raises the price of action later.

SitelogIQ is your one-stop partner to help you assess, design, and install energy upgrade projects. We have a dedicated team to help you navigate changes and qualify for tax credits before the impending deadlines.

We support all project phases of energy efficiency, electrification, and renewable solutions. One partner, one source of accountability, one comprehensive strategy—across all properties or locations.

With the new legislation, time is of the essence. Let’s chat about your energy upgrade goals and how you can take advantage of incentives that are still available today.

Whether you’re constructing a brand-new education building or renovating your local municipal office, one of the most important decisions to make is choosing the right project delivery method. While traditional methods separate design and construction into two distinct phases utilizing two different firms, the design-build approach brings everything together under one roof.

What Is Design-Build?

Design-build is a project delivery model used in construction in which a single organization is contracted for both the design and build phases. As opposed to a traditional construction project, where the project owner works with different firms — and their associated subcontractors — for each phase, in a design-build project, the owner has a single point-of-contact with a design-build firm.

Benefits of Design-Build Project Delivery

Design-build has several advantages. Typically, design-build projects are completed faster, for less money, and with higher quality than traditional projects — in part, because the delivery model empowers the contractor to make decisions while reducing the risk of last-minute technical complications. Perhaps most importantly, design-build is often seen as more conducive to innovation, as it enables internal teams to collaborate and share resources freely. The top five benefits of design-build include:

1. Single Point of Contact

With design-build construction projects, the design-build partner acts as the single point-of-contact for both design and construction, allowing for a seamless transition between those phases. They also are the single-point-of contact in managing (suggesting because this sentence is a bit redundant to first) subcontractors who are responsible for sharing ongoing updates with the customer. This means, if problems arise, everyone knows who to call as they’re already familiar with all aspects of the project and fully understand your vision and goals.

2. Faster Project Delivery

Because design and construction phases can overlap, design-build projects tend to move faster. By working with a design-build firm, they’re able to collaborate with the architects and construction team to streamline workflows, helping to prevent any delays to the project schedule.

3. Cost Savings and Predictability

A design-build team works together with you from day one to align the design, construction materials, and labor with your budget. As they’re also construction experts, they can also provide real-time cost estimates during the design phase, allowing for fewer change orders and unexpected costs so you stay within your original budget.

4. Higher Quality Assurance

As a design-build team is aligned from start to finish, they’re able to focus on and ensure innovation, functionality, and long-term facility performance throughout every phase of the project. With a thorough understanding of your goals, they work to ensure quality is upheld from groundbreaking to project completion and turnover.

5. Reduced Risk for You

With a single entity responsible for design and construction, you – the owner – are less exposed to legal and financial risks that can arise from coordination issues if you choose to partner with separate design and construction firms. The design-build partner assumes much of that risk, offering you peace of mind.

6. Improved Energy Efficiency

Partnering with a design-build team allows architects, engineers, and contractors to collaborate from the start, helping ensure that energy efficiency is built into the project goals and solutions early on. The team can conduct energy assessments earlier to identify opportunities to maximize performance and incorporate energy-saving solutions into the design.

Your Trusted Design-Build Expert

SitelogIQ’s design-build services encompass preconstruction assessments, architectural design, construction, and post-construction services. By keeping many of these processes in-house — and outsourcing to reputable partners when necessary — we can realize your vision in a cost-effective, efficient, and timely manner.

Design-build requires considerable resources and wide-ranging expertise. The training and experience of our team is a large part of what makes SitelogIQ an ideal partner for any project. Our staff work in a truly collaborative environment, which helps us drive innovation and, ultimately, design smarter and more functional buildings.

Contact us today to learn more about our design-build services and begin planning your next facility improvement or energy efficiency project.

Businesses that operate in the PJM Interconnection region could see energy costs climbing soon—and for some, it may be significant. 

PJM Interconnection, the organization responsible for managing electricity across 13 states in the Mid-Atlantic and Midwest regions and Washington D.C., has announced a major increase in capacity prices for the 2025-2026 delivery year and beyond.

Starting in June 2025, some commercial customers could see a rate hike of up to 29% on their capacity price, which determines the cost of electricity reliability.  

While businesses across various industries could see negative bottom-line impact with the upcoming PJM rate increase, it also presents an opportunity to rethink energy strategies. Instead of simply reacting to the rising costs and paying a higher energy bill, there are ways for business owners to take back control. 

What’s Causing the PJM Rate Increase? 

PJM is a grid operator that ensures the reliability of power. To maintain that reliability, grid operators plan years ahead to make sure there is enough electricity to supply future demand. One method of planning used is an annual capacity auction, which helps secure the commitments from energy resources like power plants to be available when needed, especially during peak demand periods or emergencies. 

Following the most recent capacity auction, PJM’s price for the 2025-2026 delivery year is expected to rise from $50 to $269.97 per megawatt-day. 

The drastic increase is driven by a few key factors: 

Issues with gas power plants operating in extreme weather 

An interconnection backlog 

Higher demand from growing industries 

Overall grid reliability issues 

As a result, PJM must pass those higher costs along to both residential and commercial energy users, leading to a steep increase in electricity rates. And with grid reliability still a concern, the trend of rising capacity costs could continue in future auctions. 

What Businesses Will Be Impacted by PJM Rate Increases?  

Any business in PJM’s territory that relies heavily on energy will feel the impact as operating costs rise, especially those with already tight budgets. However, there are some that may feel the impact more than others. 

Hospitals and Healthcare Systems 

Healthcare systems are always under pressure to keep costs down while providing the best patient care possible. Hospitals and healthcare facilities operate 24/7, meaning energy is a constant and a major operating expense. As these price increases roll out, healthcare systems will need to find ways to manage rising electricity costs while maintaining patient care standards. 

Rising energy bills could also limit funding for other areas, making energy efficiency a top priority to help keep costs in check. 

Industrial Companies 

For industrial companies that rely heavily on energy-intensive machinery, rising electricity costs are a major concern. Manufacturing processes often run around the clock, and the cost of energy can make or break profitability.  

Increased costs could affect the price of goods manufactured, and companies may need to explore ways to reduce energy consumption or alternative energy sources to keep production running smoothly and cost effectively.   

Auto Dealerships 

Showrooms, service centers, and parking lots at auto dealerships all require energy, and with prices increasing, so will overhead costs. That means higher bills for lighting, HVAC, and service operations. And for dealerships looking to expand their electric vehicle (EV) offerings, there’s an added complexity of powering charging infrastructure, potentially making energy bills even more unpredictable. 

Commercial Real Estate (CRE) Portfolios 

CRE owners, especially those with multi-tenant properties, will also face pressure as electricity prices rise. Increased operating costs could reduce net operating income (NOI), particularly for owners and operators of office buildings, retail spaces, and multifamily communities. Additionally, properties with high energy-consuming operations may face rising utility costs that could impact both the tenants and owner. 

Owners may need to pass increased energy costs to tenants or find a way to offset rising expenses through energy-efficient property upgrades.  

How Can Businesses Combat PJM’s Rising Costs? 

There are ways for businesses to avoid PJM’s rate hike, with one option being distributed generation (DG) solutions. A DG system typically includes a power generation source (i.e. solar) and energy storage (i.e. battery storage), which enables businesses to generate their own power on-site.  

DG systems help to stabilize energy costs and avoid volatile utility rates. Additional benefits include: 

Reduced energy costs due to less power being purchased from the grid 

Less reliance on the grid during peak demand hours when power is most expensive 

More control over your energy supply 

Ability to maintain operations during outages or peak demand periods 

New revenue streams by selling energy back to the grid 

Reduced carbon emissions to meet sustainability and ESG goals 

Your Partner for Every Step of the Distributed Generation Process 

SitelogIQ is your one-stop partner for all project phases of distributed generation solutions. In addition to being your consultant and contractor, we’re also a strategic partner that manages all phases of a project from planning and utility coordination, to installation and incentive management. Our team also helps you identify funding strategies and navigates incentive applications and management on your behalf—we ensure you never leave money on the table.  

As operating expenses continue to rise for businesses, we’re here to help make yours more energy efficient and help you combat increasing costs. Let’s chat about your specific needs today. 

A water main leak can turn into a major break costing thousands you didn’t budget for, an unnoticed override in automated systems can increase your monthly utility bill, or a furnace malfunction can require you closing your doors for an emergency repair. Aging equipment and systems, energy inefficiencies, and deferred maintenance can all negatively impact the performance of your facility and the well-being of those who occupy it.

Facility performance refers to the effectiveness and efficiency of a physical space or infrastructure in fulfilling its intended purpose. Whether a hospital, school building, office, multifamily housing, or automotive dealership, it’s critical to have insight into how the facility is operating to ensure the health and safety of its occupants.

Understanding Facility Performance

Facility performance can be broken down into two key areas:

Operational facility performance
Functional facility performance

Operational facility performance includes the physical assets throughout the facility, from blacktop to rooftop and all the equipment in between. It also includes assessing how each is performing based on their various areas of spend – including energy usage, maintenance and cleaning, long-term replacement needs, etc.

Functional facility performance considers how the facility and assets perform together. This includes looking into areas such as indoor air quality and temperature controls to ensure occupant comfort and health; measuring and auditing code compliances; and utilizing the building space efficiently.

These performance areas provide valuable insights into a facility’s current condition to help you make informed decisions and plan for the future. Some key benefits to tracking facility performance include:

Lower operational costs and energy usage by identifying and correcting inefficiencies
Develop a long-term facility maintenance plan by detecting signs of potential issues before they lead to break and fix scenarios or major failures
Utilize data collected as a basis for informed decision making and capital planning
Protect the health, safety, and comfort of your building’s occupants
Ensure that your facility complies with regulations and industry standards
Compile history of facility assets and current conditions to assist with seamless succession planning and employee turnover

Evaluating Facility Performance

An effective monitoring program can help you eliminate the surprises and reduce the chaos that your facility team deals with on a daily basis. Monitoring and assessing facility performance often involves the use of various key performance indicators (KPIs), data analysis, and regular evaluations. A facility condition assessment can act as a tool to provide insight into the current state of facility and assets. KPIs we often consider when working to understand a facility’s performance include facility condition index, comfort index, and energy usage.

The facility condition assessment is utilized to gain an understanding of deferred maintenance issues and answers these questions: what assets are past their lifecycle and are in need of replacement, what systems are failing or operating efficiently, and is there equipment wear and tear that needs to be fixed?

Comfort assessment focuses on the occupants’ comfort and safety by gauging temperature preferences and indoor air quality. For example, you may uncover that occupants find the building to be too cold in the summertime. By adjusting the temperature controls, occupant comfort can be improved while lowering utility costs. In addition, indoor air quality can impact the health of occupants and their performance. It’s important to gain an understanding of CO2 levels and monitor room ventilation.

Lastly, energy usage helps you gain a better understanding of your energy efficiency, or inefficiency. Comparing energy consumption with utility bill spend can help identify areas of concern and opportunities to improve efficiency and lower operational costs. For example, by closely monitoring energy usage, you may discover that systems are running during off peak hours while your building is closed, thus incurring unnecessary utility spend. By adjusting control systems, you can improve overall carbon footprint and experience utility savings each month.

How mySiteIQ Can Help

mySiteIQ, our technology-enabled service offering, was created to help you easily monitor your facility’s performance. Through a vigorous combination of technology and energy analysts and operational advisors, mySiteIQ gives you valuable visibility into building assets, access to schedules and budget scenarios, and key performance metrics to keep you informed and help meet your short- and long-term facility goals.

Request to learn how we can help you with facility and asset management, capital planning, energy benchmarking, and more.

Deferred maintenance refers to the postponement of necessary repairs, updates, and general upkeep of a facility, typically due to budget constraints or other organizational challenges. For healthcare systems, deferred maintenance can cause disruptions to hospital operations, negatively impacting patient safety and their ability to deliver care.

A survey conducted by Healthcare Facilities Management found that 38% of hospital respondents experienced disruptions to patient care due to deferred maintenance issues. And just last year, a western state hospital made headlines when a single boiler was overloaded in a cold snap and failed. Their heat and hot water supply was halted, all hospital services were suspended, surgeries and procedures were rescheduled, and patients were moved to nearby facilities for care. It took days to get back up and running.

Deferred maintenance not only impacts a hospital’s daily operations and quality of patient care but often requires costly repairs when systems fail. The American Society for Healthcare Engineering (ASHE) has reported that deferred maintenance costs for U.S. hospitals can range into the billions of dollars. 

Deferred maintenance costs for U.S. hospitals can range into the billions of dollars.

American Society for Healthcare Engineering

This issue is continuing to rise amongst healthcare systems as it also impacts reputation, staff morale, and compliance standings. Instead, implementing sustainable facility solutions can help tackle deferred maintenance while also staying ahead of industry regulations, allowing you to move from reactive to proactive facility planning. Planned replacements can include broader systemic improvements instead of an emergency replacement, which can cost dramatically more.    

3 Sustainable Solutions for Healthcare Systems

LED Lighting

https://www.livescience.com/how-do-energy-saving-light-bulbs-workRetrofitting a building with LEDs is one of the best investments in energy efficiency a hospital can make. LEDs require up to 80% less energy than traditional incandescent bulbs and 20-30% less than fluorescent lights. By consuming less energy, LEDs also contribute to a reduction in carbon emissions and help lower energy costs up to 80%. In addition, LEDS are more durable and have longer lifespans, lasting up to 50,000 hours, depending on their quality and usage, while fluorescent lights typically last around 8,000 hours.

LED lighting will save a hospital thousands each year in energy costs and will cost even less to replace. LEDs also provide an exceptionally bright light, which helps to illuminate entrances and exits, parking lots, and garages, enhancing staff and patient safety.

Solar Energy

Installing solar panels through a centralized approach is one of the best renewable energy sources – and it’s an emissions-free solution. Generating solar power on-site reduces the amount of electricity used from the grid and helps lower operational costs while also allowing healthcare systems to be energy independent and more reliable. In addition, solar panels typically require minimal maintenance which can help reduce ongoing operational costs and the need for frequent repairs or replacements. 

High-Efficiency HVAC Systems

Heating, ventilation, and air conditioning require substantial energy usage. They are some of the biggest costs associated with commercial energy use, and the healthcare sector is no exception. In such a sensitive environment, it may not always be possible to turn the heat or the AC down to save on costs. Instead, hospitals should consider investing in energy-efficient systems. ENERGY STAR-rated heating and cooling units will run more efficiently, saving money in the long run.

An Industry Move Towards Sustainability

Providing stellar patient care and a comfortable treatment experience requires a significant amount of energy. Hospitals spend thousands of dollars per bed in electricity each year, and the healthcare industry accounts for 9.8 percent of U.S. greenhouse gas generation. Because of this, we’re seeing more and more healthcare professionals looking to reduce their impact on the environment and lower their operational costs to meet sustainability goals.

The healthcare industry accounts for 9.8% of U.S. greenhouse gas generation.

Journal of Hospital Medicine

In addition, The Joint Commission announced that effective January 1, 2024, healthcare organizations can voluntarily choose to join the Sustainable Healthcare Certification Program. This program helps accelerate sustainability practices and reduce greenhouse gas emissions, and grants public recognition for these efforts. It will also help the industry in creating baselines to measure three sources of GHG emissions and developing an action plan to reduce them.

As the industry moves towards implementing more sustainable practices throughout your facility portfolio, healthcare systems can tackle their deferred maintenance issues by updating their system with sustainable ones, moving away from a break-and-fix mentality and adopting a proactive approach to creating a resilient space for their patients and staff.

SitelogIQ’s Process for Tackling Deferred Maintenance with Sustainability

Failing to address deferred maintenance at healthcare facilities puts them at risk of experiencing disruptions to critical patient care and costly repairs. At SitelogIQ, we partner with hospitals and healthcare systems to develop capital plans that allow them to identify and prioritize facility improvements, develop financial strategies for upgrades, execute projects, and continue to build their plan to have sustainable reliability.

In addition, our technology platform, mySiteIQ, gives valuable visibility into building assets, access to schedules and budget scenarios, and key performance metrics to keep teams informed and help them meet short- and long-term facility and sustainability goals.

Contact us today to get started.

In May 2022, the Department of Energy issued a ruling requiring lighting products to meet new standards. This largely eliminates most fluorescent, incandescent, and halogen products as they are seen as toxic and inefficient and unable to meet these new standards.

Since the ruling, 14 states and the District of Columbia have approved or proposed even stricter standards on lighting products, effectively banning the sale of fluorescent lighting within state lines, specifically general service lamps (GSLs), compact fluorescent lamps (CFLs), and linear fluorescent tubes (T8, T5, T12).

For schools, office buildings, hospitals, warehouses, and all buildings that have used these bulbs to date, this will require a lighting retrofit to stay within compliance of these bans. Here’s a look at the current state restriction timelines for all GSLs, CFLs, and linear fluorescent lights:

The Reason Behind the Ban

Once the most common lighting sources in offices, schools, warehouses, industrial facilities, and most buildings, fluorescent lights contain mercury, a toxic heavy metal that is used to help emit light more efficiently. Mercury is considered by the World Health Organization (WHO) one of the top 10 chemicals of major public health concern. While the average CFL containing ~4 milligrams of mercury might seem low, the National Institutes of Health (NIH) has emphasized there is no known safe level of mercury exposure. When intact, fluorescent lamps impart no health risk to their surroundings; however, if the bulbs break or are improperly disposed, the mercury can be released. This can pose risks to human health and pollute our landfills and water systems, creating long-term consequences to the environment.

In addition to the toxins, GSLs, CFLs, and linear fluorescent lighting consume more energy and have a short lifespan, compared to modern lighting technology. For example, LED lights are more energy efficient and sustainable, helping improve efficiency and reduce carbon emissions.

Moving away from fluorescent lighting will help to protect the health and safety of both people and the planet.

The Solution: LED Lighting

LED lighting is quickly becoming the standard for many industries due to its ability to create safe and environmentally-friendly spaces. With the ban of GSLs, CFLs, and linear fluorescent lights, LED lighting is a great alternative for retrofitting your lighting and provides many benefits.

LEDs are long-lasting, efficient, and compatible with solar panels, helping lower the carbon footprint. Long-term LED use offers a positive return on investment because they require up to 80% less energy than traditional incandescent bulbs and 20-30% less than CFLs. By consuming less energy, LEDs also contribute to a reduction in carbon emissions and help lower energy costs up to 80%, saving you thousands of dollars annually.

They are also more durable and have long lifespans, lasting up to 50,000 hours, depending on their quality and usage, while CFLs typically last around 8,000 hours. Because of this, LEDs don’t degrade as quickly as other bulbs, meaning you won’t have to stop operations to repair the lighting system as often.

In addition, LEDs offer bright, high-quality light to increase visibility inside workspaces, hallways, stairways, and outdoor environments, making these areas safer and enhancing occupant comfort. LED lighting upgrades help organizations keep pace with sustainability best practices and future-proof their facilities.

Check out our blog post to learn more about the advantages of LED lighting.

Your LED Retrofit Partner

As more states implement fluorescent light bans, your facility may require an LED lighting retrofit to maintain industry standards and remain in compliance. LED lighting can also help to enhance building aesthetics, improve facility performance, or reduce energy consumption.

At SitelogIQ, our nationwide team has a deep background of sustainability experience partnering with firms to improve facility performance and quality standards. To date, we completed over 2,000 lighting retrofit projects for multifamily complexes, K-12 school districts, higher education institutions, commercial properties, hotels, hospitals, and more. Our process begins with an energy audit to pinpoint high-need opportunities and determine a tailored, energy-efficient lighting solution. In addition, our energy and facility experts can identify the proper financing solutions or recommend grant opportunities to help you address budget limitations. 

Contact us today to begin planning your LED lighting retrofit!

Climate change has contributed to increase in the frequency and intensity of extreme weather events, including heatwaves, hurricanes, droughts, and heavy rainfall. In 2023, there were 28 extreme weather events in the U.S., more than double the number seen a decade earlier.

Source: NOAA National Centers for Environmental Information (NCEI) U.S. Billion-Dollar Weather and Climate Disasters (2024).

Climate change-related threats can greatly impact healthcare systems, leaving facilities vulnerable to damage and at risk for power outages, which can be costly.  Most importantly, it detracts from this vital infrastructure from being able to deliver on its mission to the community in its time of most dire need.

In addition, over the last decade, the costs associated with extreme weather events has grown substantially, as reported by the NOAA National Centers for Environmental Information.

Healthcare systems must prepare their facilities to withstand climate change threats and become more resilient, allowing them to keep operations up and running and avoid costly repairs.

3 Facility Solutions for Climate Resiliency

1. Emergency Power Storage

Whether the sun is shining or an extreme weather event has hit your area, power storage systems allow the excess energy produced by a renewable energy source, such as solar PV, for later use. When generation drops below a given threshold — due either to excess demand or limited sun light or wind conditions — or the electricity costs are at their peak, the battery kicks in, providing the extra power needed to maintain adequate power for a healthcare facility and lower energy costs.

These systems provide a reliable power supply during outages, especially during extreme weather events.  They can also be configured to reduce dependence on the electrical grid, minimize downtime and disruption to operations, and save energy costs when extreme weather is not forecasted. This allows your healthcare system to become more resilient and reap additional economic benefits to support the improvement under typical weather conditions.

2. Weather Resilient Solar Panels

Solar photovoltaics (PV) panels are one of the best renewable energy sources for healthcare systems as they lower carbon emissions, reduce the amount of electricity used from the grid, and save on operational costs. However, they are susceptible to damage from extreme weather events, which can result in power outages and costly repairs.

Installing weather resilient solar PV panels enhances the reliability, durability, and performance, minimizing disruptions to operations so you can continue to deliver excellent care. As they are built to withstand severe storms and winds, they also require less maintenance and repairs, saving time and money.

3. Hurricane Proof Windows

As mentioned earlier, extreme weather events often result in damages to facilities – for healthcare systems, this not only requires costly repairs but can, again, impact their ability to deliver care. However, installing hurricane proof windows that are designed to withstand high winds and impact from debris can help minimize the risk of property damage. In addition, these windows also reduce heat transfer and air leakage, lowering heating and air-cooling costs year-round.

This solution helps enhance the safety and security of a healthcare facility, protecting your patients and staff, while also improving energy efficiency.

How SitelogIQ Can Help You Achieve Resiliency

Failing to create a climate resilient healthcare facility puts you at risk of experiencing power outages and property damage, resulting in disruptions to critical patient care and costly repairs. Climate change poses a serious threat to healthcare systems as the U.S. continues to experience more and more extreme weather events. Now is the time to implement climate resilient solutions.

At SitelogIQ, we help identify opportunities such as solar energy, power storage, and hurricane proof windows, to combat climate change threats. Our team of experts have over a decade of experience with healthcare facilities for portfolio-wide solutions, creating more sustainable and resilient spaces. Contact us today to learn more.

Today we celebrate Earth Day, but at SitelogIQ, our team is focused on driving impact that extends beyond a singular day. At SitelogIQ, our mission is to make buildings better, by helping our customers lower their carbon footprint, improve energy efficiency, maintain healthier air quality, and save on their utility bill.

Creating green space is not only beneficial for the environment but also for long-term sustainability, employee well-being, and cost savings. In addition, a green workspace can also help with employee recruitment and retention as an IBM survey found that 67% of the respondents reporting that they are more willing to apply for, and 68% more willing to accept positions from environmentally sustainable companies.

67% of IBM survey respondents reported that they are more willing to apply for, and 68% more willing to accept positions from environmentally sustainable companies.

From K-12 schools and hospitals to office buildings and auto dealerships, all spaces can benefit from incorporating green practices. In honor of Earth Day, we’re sharing tips and key benefits and creating a greener space that improves the lives of your team, facility occupants, and the communities you serve.

Tips for Creating a Green Environment

1. Reduce Paper Products

A simple way to begin moving towards a greener space is to reduce your use of paper. By digitalizing your documents and printing mindfully, you can help cut down of unnecessary waste. Consider using digital documents, e-signatures, and online collaboration tools, and when you need to print, utilize double-sided and black and white ink settings to cut down on waste.

2. Implement a Recycling Program

Placing recycling bins throughout your building is a great step to creating a greener space but there’s more you can do to encourage your coworkers to recycle. Educating your employees on what can and can’t be recycled, where recycled products go, and setting up recycling stations with bins for various types of recyclable materials can help foster best practices. Also consider sharing the positive impact of their efforts, such as the tons of waste recycled annually to help inspire participation and boost morale.

In addition, encouraging your workforce to use reusable mugs, water bottles, and utensils can also help cut down on waste. For companies, offering these items to employees as a part of an onboarding package or recognition or holiday gift can help them more easily implement this practice.

3. Improve Energy Efficiency

According to the U.S. Green Building Council (USGBC), green buildings use 25% less energy than traditional buildings. As we’ve shared a few ways to begin creating a green space today, there are multiple solutions you can implement to improve energy efficiency and promote sustainability.

Green buildings use 25% less energy than traditional buildings.

Powering down computers, monitors, and other electronics at the end of the day is a simple to implement best practices. A few additional long-term sustainability solutions to consider might also include HVAC systems, LED lighting and occupancy sensors, efficient water fixtures, smart irrigation systems, and smart thermostats. These solutions not only help lower your operational costs and reduce greenhouse gas, but also allow you to create healthier and comfortable spaces to support employee well-being.

Benefits of Green Spaces

1. Cost Savings

One key benefit for utilizing energy-saving practices into your workplace is operational costs savings. In fact, the USBGC notes that green buildings have been shown to reduce their operating costs by 8% to 9% annually. As mentioned above, installing LED lighting, efficient HVAC systems, water-saving fixtures, and smart thermostats can significantly reduce utility bills. This allows building owners to invest their budget dollars into their mission and occupants/employees.

Green buildings have been shown to reduce their operating costs by 8% to 9% annually.

2. Improved Employee & Occupant Health and Well-being

Indoor air quality can greatly impact your occupants’ health and well-being as proper ventilation can help protect against exposure to airborne illnesses or pathogens. Schools, commercial and industrial buildings, hospitals, higher education institutions, restaurants, local government facilities, housing units, and retail locations need additional care because of their high population and risk of pathogens. By installing efficient HVAC systems, you can help decrease adverse health effects, reducing absenteeism and enhance employee well-being.

3. Environmental and Social Responsibility

Creating a green workplace can help your business or organization demonstrate its commitment to protecting our planet. By implementing the tips shared above, you can lower your carbon footprint and be a steward in your community for sustainability and resiliency. In addition, green workplaces can help create a positive reputation and attract candidates and investors, and are viewed favorably by customers and stakeholders.

Your Partner in Energy Efficiency

At SitelogIQ, we specialize in bringing comfort, functionality, and sustainability to the spaces where we learn, live, heal, work, play, and shop through facility improvement and energy efficiency solutions. We partner with our customers to gain a thorough understanding of their facility needs and develop and implement programs to help them meet organizational goals and lower their carbon footprint.

We’ve worked hard behind the scenes to develop a tool to make this process easier and more conducive for our customers to truly understand their facilities and develop a process for making them better. With our technology-enabled solutions platform, mySiteIQ, we can develop a personalized and interactive dashboard that allows you to easily track your energy consumption and achieve your energy, operational, or sustainability goals. If you would like help assessing ways to reduce energy and utility costs, contact us today!

Funding facility infrastructure and energy efficiency improvements, especially within the healthcare market, takes a tailored and unique approach to meet your goals. There are many options when comparing and contrasting what might work best for your energy project and how to best suit the needs of your organization. This is where SitelogIQ can help – we partner with our customers to drive savings, efficiency, sustainability, and create better healthcare facilities to promote exceptional patient care.

Types of Healthcare Project Funding

1. Commercial Property Assessed Clean Energy (C-PACE)

An innovative form of energy financing that exists in many states throughout the U.S. is Commercial Property Assessed Clean Energy, or C-PACE. For healthcare facilities, securing C-PACE financing solves the upfront cost barrier by providing 100% financing for your healthcare project. This financing option helps overcome procurement hurdles, enabling large-scale energy savings initiatives, and implementation of turnkey projects to meet high priority facility needs. It also helps you create a long-range facility roadmap to benefit your patients and staff through a process made simple for healthcare administrators.

C-PACE is not credit sensitive, because the lien is against the property and not the organization managing it, the lending community views this as investment grade. This can be a very powerful tool in accessing competitive capital for organizations that in of themselves would not be considered investment grade credit.

2. Loans and Leases

For investment grade (IG) bond/credit rated organizations, a loan or lease-like product may be another financing option to consider. These organizations will typically have a Better Business Bureau rating of BBB- or higher, yielding borrowing or lease terms of 10-20 years depending on the project specifics. These financing vehicles also may be eligible for tax exempt funding depending on the nature of their IRS classification. Organizations such as 501(c)(3)’s may be eligible for this form of tax exempt financing, which can further reduce the interest rate.. There are multiple lenders in this segment ranging from commercial banks, private equity, and/or infrastructure funds. As a result, it is a highly competitive lending environment that can lead to competitive project finance rates.

3. Energy-as-a-Service

A more recent financing option for energy improvements is Energy-as-a-Service or EaaS. EaaS is an option in which a third-party owns and maintains energy infrastructure improvements for a period of time, usually 10-15 years. Under this model, the customers pay the system owner a fee based on the benefit received. For example, think buying the lumens from a light bulb, not buying the fixture itself. This structure also does not require any money down, just a commitment to purchase the utility/benefit from equipment.

4. Traditional Bonds

Lastly, bonds are a common way of financing major infrastructure improvements, and potentially even acquisitions. While most of the debt for healthcare organizations comes in the form of bond obligations, the amount financed is usually significantly more than an energy project would cost on a per-site basis. Should this be of interest, SIQ has the knowledge and network to explore your bond syndication options.

It doesn’t stop there. Creative funding approaches can also support near-term budget constraints with multiple products deferring initial payments for up to 2 years while the operations benefit from the performance of the new equipment. Clients have a multitude of options in how to best benefit from the flexibility in timing that capital providers offer.

Our Process for Identifying Funding Options

To begin, the SitelogIQ team will identify opportunities to save energy, money, and other attributes in maintaining top tier healthcare facilities. Because the condition of the facilities, age(s), technology, equipment, and capital maintenance budgets vary so vastly, it is paramount to consider what funding mechanisms can provide the greatest overall value for your project. Considerations that would drive our recommendations and financial models:

Condition and efficiency of existing facility infrastructure
Goals/targets for sustainability
Plan for funding upcoming projects
Energy use intensity of facility versus benchmarks
Credit rating, ability to access cost effective capital

As your project takes shape, our capital markets team will meet and work closely with your finance or treasury group to make the most of the project’s impact to your operations while always focusing on the bottom line, so your organization can continue advancing the highest quality patient care.

Contact us today to learn what funding solution may work best to help you create a safer, healthier, and more sustainable healthcare facility for your patients and staff.