McCormick distribution center achieves net-zero energy use

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by Shane Henson — May 2, 2012—As a result of company-wide energy efficiency initiatives along with a renewable energy system provided by Constellation Energy, McCormick & Company’s 363,000-square-foot distribution center in Belcamp, Maryland, is not only much more energy efficient, it now generates more electricity than it actually uses, an accomplishment that will lead to savings year after year for the spices, seasonings and flavorings producer.

According to Jeff Blankman, sustainable manufacturing manager for McCormick, “During a five-year period we were able to reduce electricity use at Belcamp by 55 percent through energy efficient interior and exterior lighting, occupancy sensors, HVAC upgrades, and energy-efficient pallet conveyors. With the addition of hosting solar power, the facility generated a surplus of more than 16,000 kilowatt-hours of electricity in a one-year period. McCormick’s Belcamp distribution center reinforces that net-zero energy use is achievable and affordable for large commercial buildings.”

Constellation Energy built, owns and maintains the solar power system at the center, as well as a nearly 1-megawatt solar installation at McCormick’s Spice Mill in Hunt Valley, Maryland, and a smaller solar installation at McCormick’s corporate headquarters building in Sparks, Maryland. McCormick purchases all of the electricity generated by the solar panels at less than current market rates under separate 20-year power purchase agreements.

Constellation Energy says that by structuring its solar projects as solar services agreements or power purchase agreements, the company requires no upfront capital from its customers and is able to provide power at a fixed cost that is less than projected market rates. Its commercial customers include other businesses, universities, school systems, hospitals and government agencies.

“On-site solar generation is an economic and practical way for more and more companies to achieve their sustainability goals and control their electricity costs,” said Michael D. Smith, vice president of solar and efficiency sales for Constellation Energy. “Additionally, through conservation measures, which are essential to any effective energy management strategy, businesses can realize further savings. In many cases, Constellation can offer its customers the ability to bundle the costs of energy efficiency upgrades with their electricity spend, allowing them to leverage existing operational budgets for needed capital improvements.”