Success Story: Stop & Shop
Project Highlights | ||
Total Project Cost | $2,154,358 |
Ahold pledged to reduce carbon dioxide emissions per square meter of sales area to 20 percent below 2008 levels by the end of 2015. |
NJCEP Incentives | $504,253 through the Large Energy Users Program; $469,209 through the SmartStart Buildings program |
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Project Payback | 1.2 years for Large Energy Users Program projects, 0.8 years for SmartStart Buildings projects |
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Estimated Annual Savings | 13,170,816 kWh $1,766,258 |
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Technologies
Variable speed drives and fan motor controls on refrigeration and HVAC units |
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Project information, savings and environmental benefits were provided by the project contact. |
International retailer installs energy conservation controls at 42 Stop & Shop locations in New Jersey Background The Stop & Shop Supermarket Company LLC, a grocery store chain with 61 New Jersey locations, is actively engaged in implementing the corporate social responsibility strategy of its parent company Ahold USA, Inc. Netherlands-based Ahold is committed to reducing the impact of store operations on climate change. Beginning in 2010, Ahold pledged to reduce carbon dioxide emissions per square meter of sales area to 20 percent below 2008 levels by the end of 2015. Thousands of new LED fixtures were installed to replace existing store lighting, saving more than 63 million kWh of electricity annually company-wide. While emissions per square meter of sales area have dropped every year since 2008, Ahold remained short of its target with a net reduction in carbon emissions of 18.5 percent as of the end of 2014. To meet its target, Ahold management recognized that measures beyond lighting were needed and began installing advanced energy management controls in several Ahold stores across the northeastern United States. For 42 stores in New Jersey, those measures have proven to be highly cost effective, especially with the help of financial incentives provided by New Jersey’s Clean Energy Program™ (NJCEP). |
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It is Stop & Shop’s goal for each of our stores to be as energy efficient as possible. The State of New Jersey’s investment in our efforts assists Stop & Shop in reducing our energy consumption, sending a clear message to the entire New Jersey business community and those who embrace energy-efficient opportunities. Don Sussman
Ahold USA, Inc.
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Solution The NJCEP Large Energy Users Program is designed to promote investment in energy efficiency projects among the state’s largest commercial and industrial facilities. Eligible entities must provide annual contributions of $300,000 or more to the New Jersey Clean Energy Program fund through the Societal Benefits Charge. The maximum incentive per entity is the lesser of $4 million, 75 percent of project cost, 90 percent of the previous year’s NJCEP fund contribution, or $0.33 per kWh and $3.75 per therm saved over the first year following installation. The NJCEP SmartStart Buildings program Ahold qualified for NJCEP incentives |
Ahold received $504,253 through the Large Energy Users Program — the maximum incentive Ahold was eligible to receive through the program in a given year — for installing the energy-efficient equipment at 13 Stop & Shop locations from Sussex to Ocean counties. The incentives will provide 73 percent of the projected $688,889 project cost. Those improvements are projected to save the stores 4.62 GWh in energy per year. With annual energy savings of $568,792, the energy controls are estimated to pay for themselves within 15 months. The projects are expected to reduce operations and maintenance costs as well, producing additional savings of $21,300 per year.
To continue reducing the environmental impact across their properties, Ahold applied for $469,209 in custom incentives through the SmartStart Buildings program to install similar energy-efficiency measures at an additional 29 stores throughout New Jersey. These incentives will provide 32 percent of the projected $1,465,469 cost, helping to save 8.55 GWh in energy per year. Those savings are anticipated to total $1,197,466 per year, resulting in the energy controls paying for themselves within 10 months.
“It is Stop & Shop’s goal for each of our stores to be as energy efficient as possible,” said Don Sussman, President, Stop & Shop New York Metro Division. “The State of New Jersey’s investment in our efforts assists Stop & Shop in reducing our energy consumption, sending a clear message to the entire New Jersey business community and those who embrace energy-efficient opportunities.”
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