Some Energy-Saving Ideas for Businesses

In today’s world, a basic truth is that there is no necessary conflict between business and the environment. If development is carried out in a sustainable way, and the idea of sustainability is taken seriously, we can protect our environment and create wealth at the same time for the long term.

The Territory's continued dependence on fossil fuels is not a sustainable prospect. Although oil prices have recently fallen, we can expect oil prices to climb again which will have an adverse effect on business development because businesses will have to increase prices as energy costs rise and customers will have less disposable income also due to high energy costs. The net result will be fewer purchases and lower profits. The Territory needs to develop renewable energy sources such as solar, wind, and ocean, to lessen our dependence on fossil fuels and the instabilities of the fossil fuel market.

One example is Solar Water Heaters. They are extremely cost effective because they save large amounts of energy and the payback period can be as short as 18 months.

In addition, businesses should be encouraged to implement energy conservation measures which can save them money directly (which will help to stabilize retail prices) and consequently save one's customers' money. Lower energy costs for consumers result in more money to spend at retailers. A search needs to be done for consumer products that are energy efficient and they need to be made available by retailers. For instance, “Energy Star” appliances can save consumers lots of money because they use less energy to operate. Although these appliances are normally higher priced, the savings over their useful life still makes them a smart investment for business and consumers. Also, new lines of extremely energy efficient computers are now available and local computer retailers should be aware of the existence of these computers.

Another simple, but very effective example involves thermoses. Virtually every retail shop and restaurant on island heats its coffee and hot water with large coffee makers that use large amounts of energy because they are kept on all day long. Using electricity to produce heat is the most inefficient use of electricity imaginable. Collectively the cost to businesses can be thousands of dollars a year resulting in lost profits and large amounts of pollution. A simple cost effective solution is the use of Large Pump Thermoses. If one travels to Hawaii one will see these thermoses in use in virtually every restaurant, coffee shop, and hotel; this is no accident. They are very effective in keeping the coffee hot and they have the added advantage of not burning the coffee. Thus one saves money and provides a superior product to one's customers, and at the same time reducing our dependence on fossil fuel and reducing the associated pollution.

In addition, a systematic conversion of lighting from incandescent lights to compact florescent light can save a business and its customers hundreds even thousands of dollars a year. This is especially true in American Samoa where electricity rates are so high. The packaging on a set of three 13 watt compact florescent light bulbs (that can replace three 60 watt incandescent light bulbs) says that the bulbs will to save the user $111.00 over the life of the bulbs. However, this calculation is based on a formula that assumes that electricity is 10 cents a kilowatt hour, whereas in American Samoa electricity is 50 cents a kilowatt hour for businesses. Taking our higher rates into account these same bulbs can save a business $555.00 over the life of the bulbs. By any measure that is a significant savings that can be readily multiplied if one replaces more than three bulbs.

These are just a few examples and surely there are hundreds of other energy saving products that businesses could offer and use themselves that would have a very positive impact on the Territory's economic well being and environmental quality.