Energy End-Use Forecasting
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Large Organizations' Investments in Energy-Efficient Building Retrofits

Susan L. Kulakowski

Energy Analysis Department
Environmental Energy Technologies Division
Lawrence Berkeley Laboratory
Berkeley, CA 94720
May 1999

Abstract

Case studies of two large organizations explore how and why such organizations choose to invest (or not) in energy-efficient building retrofits. The cases provide evidence for inconsistent application of budgeting procedures, predominance of payback period as a decision-making tool, existence of split incentives and moderate transaction costs facing certain energy-efficiency project proposals. Evidence also suggests the unrecognized importance of effective communication to management of the results of energy-efficiency programs and particular incentive problems faced by firms with on-site power generation.

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 Last Updated On: 8/19/04