First of all, not all green or energy efficient items will provide a substantial rate of return or ROI. Replacing carpet with bamboo flooring makes perfect environmental sense, but might not be justified through an economic payback calculation. Replacing a gravel driveway with permeable paving is an admirable retrofit project, but since gravel is also permeable, the environmental impact is likely to be negligible. Certain energy and green retrofit items just don’t provide a high return on investment, but are still worth doing for other reasons, such as building durability, safety, a healthier indoor environment, etc.

In terms of the business case for a deep green energy retrofit project, are there ways to determine if the entire project should be able to pay for itself by saving energy, water, and other resources? The answer is Yes if you understand the art and science behind modeling. The question of “how much energy or water will a project save” can only be answered by examining the proposed energy and water efficiency measures individually and also in groups to determine the total amount of potential energy and/or water savings. You should also take into account the current and projected future cost of energy and water to compare the “net present value” of the total project investment with the cost of doing nothing and just paying current energy and water bills. (Point of fact: Most people don’t understand that they pay dearly every day for wasted energy, water, and other resources and that this wasted money can and should be used to pay for smart reductions.)

While it is almost impossible to predict how much our natural resource costs will rise in the future, it is safe to assume that our vital finite resources, such as natural gas, coal, oil, electricity and, yes, even clean water, will increase. of cost relative to scarcity over time. Therefore, it is advisable to include some form of price gouging factor in your overall energy and water conservation model. Historically, the cost of conventional energy and water has risen over time in a fairly predictable manner and is likely to continue to do so in the future. The actual degree or magnitude of these increases falls within the realm of speculation, but this unknown variable itself has made some people cautious and uneasy. In other words, large spikes in the cost of energy can and do occur and the availability of clean water is becoming a global concern.

On the other hand, with the sophisticated test equipment and software available today, it is possible to determine the amount of energy and water savings attributable to an upgrade.package‘ to a very exact degree. It is not uncommon to find that a deep green energy retrofit will produce an ROI of 30% or more, which is better than almost any other type of investment available today. Also, if you take into account a power supply system, such as a solar or wind power system, then the current cost of conventional power is further reduced…perhaps to the point that the renewable power system produces enough power on site to offset the remaining monthly cost for conventional power. This is now known as a ‘net zero energy home’ or a super energy efficient home. Note: Some energy utilities charge a minimum monthly rate or customer charge that cannot be offset by on-site energy production. The only way to avoid the monthly customer charge is to completely disconnect from your energy utility provider(s), i.e. go off grid or off grid.

There are many factors to consider when evaluating a substantial number of green and/or energy-saving options, and opinions abound as to what is best to do or avoid. What is the best way to start? Since this article is about home improvements, it’s a good idea to take the time to find a certified home energy rater or HERS* rater. A knowledgeable and experienced home energy assessor knows how to use the sophisticated energy testing equipment needed to assess the energy situation of your existing residence, whether it be an apartment, single-family home, multi-family home…, and he/she she has access to the energy assessment software needed to perform the energy modeling necessary to determine the most effective set or ‘package’ of energy improvements needed to deliver the target ROI.

Certified home energy assessors also understand ways to conserve water and how to access private financing for your improvement package, such as Energy Efficiency Mortgages (EEMs) and Energy Improvement Mortgages (EIMs). (Plus 203k HUD loans with energy component) However, what if you’re also interested in incorporating green products and technologies, or want to get your residence certified through a national green program, such as the US Green Building Council’s LEED for Homes program or the National Green Building Standard? of the NAHB? In this case, you will want to locate a “Green Assessor” or “Green Verifier” who is properly certified and can help you with the additional decisions involved in green related aspects such as:

• Natural Landscaping/Edible Landscaping
• Renewable energy systems, such as photovoltaic (PV) electrical systems or solar thermal systems (hot water or air)
• Rainwater harvesting systems and/or cisterns
• Hybrid heating/cooling systems
• Advanced technologies such as home automation, natural lighting, hydroponics and the list can go on and on.

Please don’t despair or feel overwhelmed at this point because there is an answer to even the most comprehensive and complicated projects ever devised. If you want to have the most energy efficient home possible with the latest and greatest integrated green features, then you’ll need to recruit your own ‘hand-selected’ team to help you design and build it.

In essence, by having other people focus on your project with you, you gain the collective benefit of your group’s experience and knowledge to bring them into your project. Assembling your own group is known in architecture and engineering circles as building an “Integrated Design Team.” This universally recognized team approach to creating innovative and cutting-edge projects can reward you with the best possible results. But how do you find, bring together, and schedule meetings with your geographically diverse and specifically talented team members? The answer is to find someone versed in facilitating design charrettes, which are basically specific meetings focused on your particular project or set of projects.

I hope this article has given you new insights on how you can help defend yourself and your loved ones from rising energy prices and water scarcity concerns. Obviously an article will not answer your questions that I know you have, such as:

• How to source or grow organic healthy food
• How to manage the financing of innovative homes in today’s market
• How to charge your electric vehicle (EV) for free using solar energy, etc.

That’s what the next articles are for. Thank you for taking the time to read this and may you live a long, healthy and productive life.

*HERS – Home Energy Rating Systems (More information about HERS is available on RESNET.us)