Jeffrey Bedell, Vice President of Energy Management at Irvine Company Office, on managing energy costs and investing in solar power for our customers.
How can companies meet their sustainability goals in the face of skyrocketing energy costs? Jeffrey Bedell, Vice President of Energy Management at Irvine Company Office, shares how Irvine Company is leveraging its scale, financial stability and long-term ownership to generate customer savings.
What is Irvine Company’s approach to energy management?
Irvine Company has a long history of conservation and efficiency around how we design our systems and operate our buildings. It’s very consistent with our philosophy as an owner and landlord to provide a best-in-class experience to our customers. We not only provide the best space and the best amenities, but we leverage our size, long-term ownership model and decades of experience to do it at the lowest cost possible.
How do you manage energy costs?
In addition to maintaining energy efficient systems, Irvine Company leverages its scale to drive down energy costs in our procurement process. We maintain energy costs as much as 16% below the utilities, savings which are passed through directly to our customers. Over the last five years, energy costs in California have increased by 58%, so our extensive experience in energy procurement has never been more valuable. One of the advantages we have as financially stable long-term owners and operators is that we can lock in bulk pricing for energy years in advance to drive down costs and manage volatility. We’ve been very successful in maintaining our rates substantially below that of the utilities.
How is Irvine Company using renewable energy?
Irvine Company is one of the first U.S. commercial real estate providers to help our customers benefit from on-site solar energy without upfront investment costs or long-term energy contracts. Eligible customers can have solar panels installed by Irvine Company, providing the customer a 10% reduction in energy cost. The program launched in 2017 and we have ambitious plans to scale it over the coming decade.
How do you select where solar panels are installed?
We consider which buildings are best set up for solar, which allows us to move quickly, as well as customer requests to shape the installation pipeline. Over the last year we’ve seen growing requests for solar energy from customers to help them meet their environmental, carbon reduction and operational savings goals. We always want to serve our customers by supporting their sustainability goals and try to prioritize those buildings.
How else do you support the sustainability goals of your customers?
Irvine Company has a dedicated energy management group that is always working to support our customers. One key initiative is providing differentiated energy data so our customers can better understand their energy usage and carbon footprint. Many of our customers are trying to reduce their carbon footprint through electrification, and 180 of our buildings are already fully electric with ongoing electrification underway. We’re also adding EV charging, installing bike lockers and offering shuttle service at many workplaces to help employees reduce their individual carbon footprints.
