AEP OHIO CASE STUDY Energy Efficiency Becomes a Way of Life at Cooper Farms Family-Owned Business Has Grown Steadily Over Seven Decades Cooper Farms has seen a steady 10 percent growth in recent years that has led it to build new facilities that include energy efficient lighting and other measures. Industry Agriculture Building type Processing Facility Measures implemented Lighting Process Compressed Air Total project cost $85,000 Projected annual energy savings 330,490 kWh Incentives paid $22,080 Payback period without AEP Ohio incentive Approximately 3.2 years Payback period with AEP Ohio incentive Approximately 2.4 years Program Type Prescriptive Project Summary After having its Van Wert (Ohio) production and processing facility leveled by a tornado in 2002, a resilient Cooper Farms re-opened the doors to its 50,000 square foot facility in June 2003 having installed 450 watt metal halide lamps on the 18-foot high ceilings. In the meantime, thanks to 10 percent annual growth, Cooper Farms built two additional buildings with efficient T5 fluorescent lamps. According to Brad Alspaugh, Maintenance Project Engineer, the time was right to retrofit those inefficient metal halides thanks in large part to the Business Incentives Program from AEP Ohio. “We received regular updates from our AEP rep and we knew that there were electrical contractors looking for work,” said Alspaugh, a 17-year employee at Cooper Farms. “But the incentives really pushed us to do this project. They helped the return on investment look a lot better.” Over the span of about two months, electricians from Sarka Electric, Plumbing & Heating installed 162 efficient T5 lamps and a variable speed drive (VSD) on the 200 HP air compressor which resulted in an estimated annual savings of 330,490 kWh and more than $22,000 in incentives paid to Cooper Farms. “This is a family-owned business,” said Alspaugh of Cooper Farms which was established in 1938. “When you do have money to spend and are going to re-invest in the business, you have to spend that money wisely. Investing in energy efficiency is a smart thing to do because of the long-term benefits.” Cooper Farms is a fully integrated turkey company which began as a hatchery in Oakwood, Ohio more than 70 years ago. Along the way, it acquired feed mills, grow-out farms, a processing facility and a cooked meats plant. It is at the cooked meats facility where the recent energy efficiency measures were implemented. Because of the company’s growth since 2003 and the addition of new facilities – a 30,000 square-foot plant built in 2008 and a 50,000 square-foot plant in 2010 – it’s hard for Alspaugh to quantify exact month-to-month savings. It is easy to see, however, that a change has taken place at Cooper Farms that will serve the company well into the future. (Continued) Sarka Electric & Plumbing was able to use Cooper Farms own equipment to change out lights on the 18-foot high ceilings in its cooked meats facility. “We look for energy efficiency opportunities in everything we do. We know we are going to save money up front and down the road.” - Brad Alspaugh Maintenance Project Engineer Cooper Farms “Across the board, we are looking for more energy efficiency opportunities. We do more research now than ever before when we are looking for new equipment or other additions to our business,” added Alspaugh. “We have also created an energy efficiency team with representatives from every part of the business. We talk about energy management issues and ways to save money by running a smarter company.” Business Challenges The primary obstacle to installing energy efficiency measures for Cooper Farms was its production schedule and the desire to introduce as few ‘foreign’ materials as possible into the processing facility. The electricians from Sarka Electric logged some odd hours, sometimes coming in at two or three in the morning and on weekends to install the new lamps. “Sarka’s crew knocked out the installation of the lights quickly in spite of having to schedule and reschedule their work around us,” said Alspaugh. “They were able to use our equipment, our lifts, which helped. It’s important that we not introduce anything into the processing facility that could affect the quality of our product.” A brighter and cooler work environment – in addition to reduced energy usage – is the result of the T5 lighting retrofit in Cooper Farms’ cooked meats processing facility. The VSD also required a weekend installation because the air compressor could not be shut down during regular business hours. The air compressor serves the main processing building and is required to maintain a steady 90 psi even as the load demand changes as equipment starts and stops. Future Plans Virgil Cooper founded the business bearing his name. It is run today by his children Jim, Gary and Dianne, along with several grandchildren. Cooper Farms is a fully integrated turkey company that began as a hatchery in Oakwood, Ohio. It has grown strategically as it acquired feed mills, grow-out farms, a processing facility and a cooked meats plant. Cooper Farms also does some hog farming as a part of its business. Energy efficiency is ingrained in the company and is part of its future. Cooper Farms has completed lighting and VSD projects in addition to the new, energy efficient facilities it has built. Seeing those projects succeed over several years has given Alspaugh perspective. “We look for energy efficiency opportunities in everything we do. We know we are going to save money up front and save money down the road,” concluded Alspaugh. “That’s all possible because of the incentive program from AEP Ohio. It’s a no-brainer, really. AEP is giving your business money for projects it should be doing any way to save energy and save money.” About AEP Ohio’s energy efficiency programs for businesses AEP Ohio’s Business Incentives program provides cash incentives to help business customers purchase and install energy efficient equipment. Prescriptive incentives are available for common commercial and industrial measures including lighting, HVAC, motors and drives, refrigeration and food preparation and storage equipment. Custom incentives are available for process improvements and other measures not covered through prescriptive incentives. For more information, visit AEPOhio.com/Incentives or call 1-877-607-0739. AEPOhio.com/Incentives 877-607-0739 Disclaimer: AEP Ohio does not guarantee the energy savings and does not make any warranties associated with the measures eligible for incentives under this program.
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