Creating Green Buildings: A Guide to Energy Assessments for Nonprofit Organizations November 25, 2024

An energy assessment examines a facility’s energy usage and cost-effectiveness, identifying opportunities to increase energy efficiency and save money on utility bills while contributing to a more sustainable future. To accomplish this, a qualified professional conducts a walk-through of a building and/or grounds to determine the physical condition of the property and identify existing or potential issues that impact energy usage. Examining the building envelope, including the exterior walls, roof, windows, and doors, along with interior elements, appliances, heating and cooling systems, light fixtures, and more, the walk-through helps to pinpoint specific repairs or replacements that can meaningfully improve energy efficiency. 

Coupled with an analysis of utility bills and external factors like local weather and seasonal patterns, the walk-through provides the expert conducting the energy assessment with the information needed to recommend upgrades – with cost estimates – that can result in a more environmentally friendly facility that costs less to operate.  

While conducting one of these assessments may seem overwhelming, not all findings of an energy assessment have to be addressed immediately. Completing small projects over time can still produce meaningful benefits that help to drive down energy usage and costs long-term.  

Before the walk through, gather at least 24 months of utility bills and any findings from past assessments. Then, enlist the help of a building or facilities manager who is familiar with the building and its history and have them join a walk-through of the facility and its grounds alongside organizational decision-makers and an external expert like those on IFF’s Real Estate Solutions team. Be prepared to discuss how the facility is currently used, how the organization wants to grow its programs, and how that will influence the organization’s space needs. 

An energy assessment will consider a variety of factors that impact energy efficiency, and the external expert engaged to conduct the assessment will seek to answer a variety of questions as part of their analysis. Below are examples of the types of questions likely to be considered, though it’s important to note that additional information may be required based on the unique attributes of the facility and how it’s used by the organization.

After completing the walk-through of the property and analyzing utility bills, the facilities expert engaged by the organization can provide guidance about what upgrades to focus on in the short- and long-term. Ideally, these recommendations will categorize potential upgrades into three groups to help the organization understand the sense of urgency to apply to a given project. Organizational leadership knows its mission best and can then determine the most efficient way to devote funds to improvements while continuing to lean into the organization’s day-to-day work.  

The facilities expert also may recommend enlisting the help of additional experts (e.g., electricians that can consult on what kind of lightbulbs to use, structural engineers that can consult on whether a building’s roof can accommodate solar panels, etc.). These specialized experts can help inform specific plans for upgrades and advance the recommendations outlined following the energy assessment. 

Energy assessments can provide immediate and long-term benefits to nonprofits by identifying opportunities for cost savings, reducing the environmental impact of an organization’s facility, and remediating energy inefficient components that perpetuate systemic inequities in communities most likely to be negatively impacted by climate change.  

To learn more about energy assessments and how IFF’s Real Estate Solutions team may be able to support your nonprofit, get in touch with one of our local teams.

To learn more about IFF’s loans and real estate consulting services for nonprofits’ sustainability initiatives, visit our website.