Sustainable Business Practice

Renewable energy is central to your business’s decarbonization strategy. However, since the availability of renewable energy fluctuates, there is a need for energy storage. For example, on cloudy days, the sun may not deliver as much solar energy as is needed. Thermal energy storage, or TES for short, stores thermal energy to use later.

Thermal energy is the energy responsible for temperature. Heat is the flow of thermal energy. Therefore, it captures excess thermal energy and then stores it in tanks. This mechanism enhances energy efficiency by storing thermal energy when it’s abundant and releasing it as needed. TES balances energy consumption and reduces your business’s energy costs. 

Three Kinds of Energy Storage

Sensible Heat Storage

Sensible heat storage involves altering the temperature of a storage medium, usually water, to store thermal energy. This TES type is commonly used for heating and cooling systems and industrial operations. It is the most popular thermal storage method because it is simple and cost-effective.

Latent Heat Storage

Latent heat thermal energy storage involves storing heat by changing the phase of a material, such as melting or solidifying. It is a great way to hold a lot of energy in a small volume. For this reason, latent heat thermal storage is often used in solar energy systems.

Thermochemical Heat Storage

Thermochemical heat storage is a kind of thermal energy storage which stores heat through chemical reactions. Industrial processes commonly use these systems because they can operate at very high temperatures. This type of TES offers lower storage loss. However, the disadvantage is that these systems can be complicated and expensive to construct and maintain.

How Thermal Storage Can Help Your Business

Increased Energy Efficiency

Heating and cooling systems won’t have to work as hard when thermal energy storage backs them up. The storage enables the HVAC to draw on the stored energy during high demand so the system won’t operate at less efficient levels. Excitingly, this will provide considerable savings on energy bills.

Reduced Carbon Footprint

Businesses can reduce their reliance on fossil fuel-generated electricity during peak hours and decrease their carbon footprint by using thermal energy storage to shift energy consumption. Renewable energy sources, such as wind and sun, can be used more readily by storing excess renewable energy. This reduces the need for power from the grid.

Reliable Backup Power

Power outages can leave businesses with lost revenue. However, TES is a dependable energy source for companies during power outages. Operations can continue without interruption because the energy is already stored and available.

By using TES, your business will demonstrate dedication to a greener future. Since many people value sustainability, your company will become more appealing to investors, customers, and employees. Overall, thermal storage dramatically benefits businesses and helps them rely on renewable resources for power. Learn how we can help you make a valuable investment for your organization; contact us today.

The Inflation Reduction Act, also called IRA, was signed into law by President Joseph R. Biden on Aug. 16, 2022. As America’s clean energy economy and manufacturing sectors grow, the IRA lowers energy costs for small businesses and families. Excitingly, the act provides $391 billion to address climate change by investing heavily in clean energy. Furthermore, it offers $8.8 billion in rebates specifically allocated for home energy efficiency and electrification projects. As the most aggressive climate action in US history, the act aims to reduce carbon emissions by 40% by 2030. The Inflation Reduction Act includes several provisions that can save small business owners on the cost of energy. 

Switch to Solar

There are numerous benefits to switching your business’s power source to solar. Since solar power is a renewable and clean resource, it does not produce dangerous greenhouse gas emissions. Therefore, using solar energy dramatically reduces your business’s carbon footprint.

Solar is highly beneficial to your business because generating its own solar power saves energy bills. The company is no longer dependent on fossil fuels and, thus, no longer vulnerable to the volatile prices of these fuels. In some cases, the business could generate more energy than is used and sell it back to the grid. Moreover, solar panels are durable and need very little maintenance. They are a dependable source of energy.

The only drawback of switching to solar power is the upfront installation cost. However, the IRA has devised a solution to mitigate these costs. When your small business switches to solar energy, you’ll receive a tax credit covering 30% of the installation costs. Therefore, there is no reason that your company should not make the switch.

Update Vehicles to Electric

Electric vehicles (EVs) are great for your business transportation needs. They produce fewer greenhouse emissions than gasoline or diesel vehicles. Furthermore, they create a healthier environment by reducing the amount of pollutants in the air. In addition to the many environmental advantages, EVs are great for business owners. They lower fuel costs and require less maintenance than standard vehicles; oil changes will be in the past!

Excitingly, the IRA incentivizes small businesses using large vehicles such as vans and delivery trucks to switch to electric vehicles. Now, companies enjoy a tax credit covering 30% of the purchase costs of these vehicles. The tax credit will help when making the initial investment switch to EVs for your company.

Make Energy-Efficient Improvements

The IRA has increased the 179D tax deduction, which offered $1.88 per square foot to construct energy-efficient commercial buildings. It is now $5 per square foot. Moreover, along with energy-efficient ground-up construction, energy-efficient retrofits of older buildings are also eligible. It used to be that only government building owners were allowed to allocate the 179D tax deductions to their specified architects, engineers, and designers. However, now tax-exempt building owners, such as non-profits, have the freedom to allocate the 179D tax deductions to their designers. 

The Inflation Reduction Act incentivizes small businesses to help create a greener future. These unprecedented measures to address climate change promote economic stability and expansion for small businesses nationwide. Want to learn how our team at Electrification Corporation can assist your company in becoming more sustainable? Contact us today for your consultation.