LOUISVILLE, KY—When it comes to hotels, energy equals money.
The Galt House Hotel, located here, had seen an increase of 34% in electrical expenses since 2008, and electric bills accounted for 4% of its total net revenue. According to Slater Coe, operations manager, conservation efforts linked to efficient lighting and other means had reached their logical conclusion. “In our guestrooms, a thermostat could be set to an extreme range of heat or cold then left vacant, needlessly costing us energy dollars,” Coe said. “To realize greater savings in this arena, we sought a systematic approach to energy management that would allow for continued guest comfort and satisfaction.”
The Galt House Hotel, which consists of 1,290 guestrooms, originally scouted potential vendors at a hotel trade show in 2011, and then engaged each to install sample thermostats in a set of rooms. “That allowed us an opportunity to receive guest feedback and determine if there’s an appreciable difference in the usability,” Coe said. The hotel also reached out to similar-sized hotels that recently installed the products to get honest feedback.
“Lastly, and perhaps most importantly,” Coe said, “we shaped our view of the project as a technology investment rather than a controls investment. We looked for a vendor with technology at the heart of its business so we could grow the reach of the environmental controls to be combined with in-room entertainment, lighting, door access, parking control, restaurant purchases, guest loyalty, etc.” In addition, the hotel was looking for an html-based management application that allowed easy access via mobile devices.
This past June, the hotel installed Telkonet’s EcoSmart HVAC controls. “Telkonet had the most positive feedback from other hotels we surveyed, and from an independent, nationwide installer who performs work for all of the vendors we researched,” Coe explained. “Also, we thought it held the edge technologically.”
The installation process took weeks, finishing in time for the Kentucky Derby, which is particularly important since the Galt House serves as the official hotel for “The Most Exciting Two Minutes in Sports.” Coe noted that the install team, Green-2-Guest, was professional and efficient. “They worked around the occupancy of the hotel as best as they could,” the operations manager said, noting that there were a couple of instances where guests were asked if the team could spend five minutes in the room updating the thermostat. “These guests were accommodating and pleased to know of the technology,” Coe said. In addition, Green-2-Guest made a second trip to touch up the apartment tower, adding functionality to balcony doors so the thermostat would turn off if left open for too long.
EcoSmart integrates with Infor HMS, a property management system, and HotSOS, a work order tracking solution. The system uses data from Infor HMS to identify if rooms are sold or unsold, and then treats unsold rooms with additional energy conservation measures. Meanwhile, the connection to HotSOS enables the hotel to automatically add proactive maintenance recommendations to the existing maintenance workflow in order to prevent guests from experiencing an HVAC issue.
Coe noted that, perhaps unsurprisingly, the hotel hasn’t seen a lot of guest reaction. “In the room, the thermostats are very user-friendly and not uncommon with what you see in the residential market, so we think there’s a comfort level with guests,” Coe said. “Essentially, the thermostats aren’t given a second thought by individual guests…and, as long as our HVAC unit does its job quickly, then everything’s perfect.”
The hotel is no stranger to energy initiatives. “Our history of energy-efficiency is mostly unknown to our customers, but we are very proud of it,” Coe said, adding that the 4,700-ton geothermal system that the hotel and office tower shares was at one time the largest commercial geothermal system in the world. “Our new energy management system is designed to save an additional 1,341,855 kwh each year,” Coe said. “That’s like not needing to turn on the 60-watt bulb in your bathroom for the next 22,400,000 hours. That’s over 2,555 years! Alternatively, that’s like saving the CO2 emissions from 106,137 gallons of gas for your car each year, or turning off the electricity in 142 homes for a full year.”
According to the company, the hotel has a projected annual savings of $101, 024.91. After the installation, annual guestroom electricity costs dropped 39% from $261,733 to $160, 467. Coe noted that the expected ROI is between 37 and 55 months, “depending on how strict we are with the temperature setbacks.”
And future energy savings measures are in the works. “EcoSmart was not installed in any public areas, but it is on the horizon as a future investment due to the successes we’ve seen in the guestrooms,” Coe said. “More and more meeting planners are asking if we’re doing our part to be green, and we’re happy that we can point to the [guestroom]investment as a sign of our commitment—aside from our other preexisting green procedures.”