Richard Gleeson
Northern News Services

NNSL (Feb 19/99) - The city should consider spending a little now to save a ton in the long run, the Arctic Energy Alliance has advised.

In a recent presentation to the city, alliance representative Rob Marshall told the city it should consider developing an energy management plan. Marshall said such plans typically result in energy bill savings of 10-15 per cent.

That's not pocket change where the city is concerned. According to figures the alliance presented, the city spends over $1 million each year on electricity and heating oil.

Over the last 10 months, with the co-operation of the city's public works department and Northland Utilities, the non-profit organization has been conducting a preliminary energy audit of city buildings.

Last week, it suggested the city issue a call for proposals for what is known as an energy service company, or ESCO, to conduct an energy audit.

"The good thing about ESCOs, is they share responsibility for results," said Marshall. He said in a conventional arrangement, after adjustments are made to allow the city to realize energy savings, the city would continue paying at the pre-savings level for an agreed upon period of time. The company would collect its fee from the difference between the old and new bills.

"The only downside is if there's no room for savings, the city would have to pay $20,000-$25,000 for the audit work," said Marshall.

If an energy audit revealed there was room for savings, the next step would be to develop an energy management plan, a plan to realize savings.

Coun. Ben McDonald said he had heard ESCOs have sometimes been in a conflict of interest situation where energy audits are concerned.

"They come in and try to find ways to introduce their (energy saving) technology."

After some discussion, councillors agreed that potential conflict could be addressed in the request for proposals.

City staff are currently determining whether or not it makes sense for the city to proceed with an audit.