Danfoss, a global leader focused on energy-efficient solutions that save energy and costs, and reduce carbon emissions, reveals the true costs of running a convenience store refrigeration system
While important, the initial purchase price of new equipment is only a part of the story, the company claims. Often what appears to be the cheapest option is actually very far from it. When making a decision to replace or upgrade refrigeration equipment it is important to remember that a system’s lifetime running costs are often several times greater than its initial purchase cost, said Danfoss.
Lifecycle cost analysis supports the selection of energy efficient products that meet the needs of today whilst managing their operating costs tomorrow. To illustrate this, Danfoss has developed a number of lifecycle software tools that compare the energy usage of various units and uncover the true costs of ownership.
By combining anticipated usage rate, energy cost per kWh and a few key points of data known to the equipment manufacturer, it is possible to produce an estimate that breaks down the costs within a product’s life cycle.
Lifecycle calculation frequently shows that over a given period, refrigeration equipment running costs can be more than five times greater than the initial equipment purchase price, reports Danfoss. Incredible though it may seem, running costs are very often overlooked in favour of a short term saving offered by a cheaper unit that is much more energy hungry, the company said. Like-for-like comparisons often reveal stark differences in the energy consumption and actual running costs.
For example, two refrigeration condensing units are available to achieve a desired cabinet temperature. Unit A is £200 cheaper to purchase and appears to be the best option. However, lifecycle calculation reveals that its energy consumption is 500W per hour greater than the more expensive unit B. In real terms, this translates to an extra £300 more on the annual electricity bill. As such, the initial £200 saving offered by Unit A evaporates within the first year of use and it quickly becomes the more expensive option. Spending a little more to begin with on unit B could potentially save £1,300 in energy costs over five years, said Danfoss.
Given this information, it is possible to make a much more informed decision when planning to replace aging equipment, the company claims. The installation of energy efficient equipment benefits us all but it does not have to come at a cost. Indeed, lifecycle calculation provides a great deal of evidence that by purchasing for the longer term, large savings are more than possible.
Pressure faced on the initial purchase price is reduced when energy consumption cost is given the proper consideration. The Danfoss lifecycle tools have been developed specifically to support value selling arguments in favour of the energy efficient Optyma range of refrigeration condensing units. At the same time, users benefit from a greater understanding of the long term costs of equipment ownership and can better plan for replacement equipment.