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The annual reconciliation is based on the difference between guaranteed savings and measured savings <br /> extrapolated from representative measured sampling . Excess savings will be left to OWNER . A shortfall in <br /> any given year would be funded by FPL ENERGY SERVICES , INC to the OWNER . Option A will be used for <br /> Measurement and Verification . <br /> Sample Lighting Savings Calculation <br /> Monthly Kilowatt Demand X Monthly Kilowatt Demand Rate X 12 Months = <br /> Annual Kilowatt Demand Savings <br /> Annual Kilowatt-hours X Kilowatt-hour rate = Annual Kilowatt-hour Savings <br /> Annual Kilowatt Demand Savings + Annual Kilowatt-hour Savings = Total Annual Savings <br /> Example Calculation ( IRC Jail ) : <br /> 62 . 82 kW x $ 3 . 81 /kW x 12 months = $2 , 872 . 13 <br /> 3441562 . 86 kWh x $0 . 1122/kWh = $ 38 , 659 . 95 <br /> $2 , 872 . 13 + $ 38 , 659 . 95 = $41 , 532 . 08 <br /> Total Savings $41 ,532 .08 ( IRC Jail ) <br /> Total Lighting Savings for all locations : $57 , 989 <br /> Run hours are hereby stipulated . <br /> Measured Adjusted Savings Calculation : <br /> Percentage of Measured Values vs . Calculated Values x Total guaranteed Savings = Excess Savings or <br /> Shortfall in Savings <br /> Equations for Calculating HVAC Energy and Demand Savings <br /> Per Option B , the general approach to determine energy savings involves comparing the energy usage <br /> associated with a facility or certain systems within a facility , before installation of the ECM ( baseline) <br /> and <br /> after installation of the ECM ( post-installation ) . Pre-measurements will be taken on the existing chiller to be <br /> replaced and the Post- measurements will be taken on the new chiller in years one ( 1 ) , four(4 ) , seven ( 7 ) , and <br /> ten ( 10 ) during the term of the guarantee . <br /> Therefore : <br /> Energy savings = (baseline energy use) — (post-installation energy use) <br /> Electric Demand Savings Demand or capacity saved ( kW Saved ) is computed by subtracting the demand <br /> required post-implementation by each item of ECM ( kW Post) ( and further subject to the Operating Plan <br /> requirements) , from the demand required pre-implementation ( kW pre) by the original equipment. The <br /> general formula is shown below . <br /> kW saved = ( kW pre ) - ( kW post ) <br /> Electric Energy Savings Electric energy saved ( kWh saved) is computed by taking the difference between <br /> the demand requirement measured for both pre- and post- implementation conditions . The formula is <br /> shown below. <br /> Indian River County , Florida 13 Indian River County Phase 2 <br /> Phase 11 Rev . 10/09 <br />