OSHA filter upgrade turns into cash-flow positive energy project

ONSITE Utility Services says a CNC machining manufacturer turned an unplanned $265,000 OSHA filter mandate into a project that now generates net savings after adding condenser cleaning and power optimization. The five-year Energy-as-a-Service deal avoided capital spending and is projected to save money on electricity, maintenance and compliance.

Why it matters: - The project shows how a required safety upgrade can be structured to avoid upfront capital spending. - ONSITE says the manufacturer also turned a compliance problem into a long-term operating cost reduction. - The arrangement matters for industrial sites facing mandatory equipment upgrades, rising utility costs and pressure to limit downtime.

What happened: - ONSITE Utility Services said a CNC machining manufacturer needed an unplanned $265,000 OSHA-mandated filter upgrade on 24 large rooftop units. - The company brought ONSITE in to deliver the filters as a service and help fund the mandate through energy savings. - ONSITE said the work was delivered through its Energy-as-a-Service platform at zero capital and zero debt to the client. - The service term runs five years and includes RTU maintenance, filter changes and cleaning.

The details: - ONSITE and its contractor completed a full energy study of the rooftop units. - The team reviewed 12 months of utility bills. - The team also conducted an ASHRAE Level II audit of the units and the facility’s electrical system. - The filter project alone carried a net cost, but added measures changed the economics. - ONSITE identified savings by cleaning the condensers with BioCLEAN. - BioCLEAN is described as an engineered bacteria that breaks down organic matter, mold and oil that traditional cleaning could not remove. - The cleaning restored the coils’ ability to reject heat. - The cleaning also allowed less outside air to be pulled into the building year-round. - Testing with a Dent meter uncovered low power factor and harmonics wasting electricity. - ONSITE designed a power optimization system to correct those electrical losses. - ONSITE said the combined measures moved the project into positive cash flow. - Reported results include $375,077 in capital expense avoided. - ONSITE projected $1,090,801 in electric savings over 10 years. - ONSITE projected $72,393 in maintenance savings over 10 years. - ONSITE said the project produced $215,968 in net savings cash flow to the client. - ONSITE said the project resulted in zero regulatory audits or OSHA fines.

Between the lines: - The pitch is less about one piece of equipment and more about packaging compliance, maintenance and efficiency into one financed service. - That structure can be attractive for manufacturers that need to act quickly on mandated upgrades but want to preserve cash. - The savings claims are forward-looking projections, so actual results may vary over time.

What's next: - ONSITE says the client will continue under the five-year service term with maintenance included. - The company is positioning Energy-as-a-Service as a way to fund similar industrial upgrades without upfront spending. - ONSITE says customers keep 100% of ongoing savings after the service term ends.

The bottom line: - A required OSHA upgrade became a financed efficiency project that ONSITE says pays for itself and then some.