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Title: Energy Savings Modeling and Inspection Guidelines for Commercial Building Federal Tax Deductions for Buildings in 2016 and Later

Abstract

This document provides guidance for modeling and inspecting energy-efficient property in commercial buildings for certification of the energy and power cost savings related to Section 179D of the Internal Revenue Code (IRC) enacted in Section 1331 of the 2005 Energy Policy Act (EPAct) of 2005, noted in Internal Revenue Service (IRS) Notices 2006-52 (IRS 2006), 2008-40 (IRS 2008) and 2012-26 (IRS 2012), and updated by the Protecting Americans from Tax Hikes (PATH) Act of 2015. Specifically, Section 179D provides federal tax deductions for energy-efficient property related to a commercial building's envelope; interior lighting; heating, ventilating, and air conditioning (HVAC); and service hot water (SHW) systems. This document applies to buildings placed in service on or after January 1, 2016.

Authors:
 [1];  [1]
  1. National Renewable Energy Lab. (NREL), Golden, CO (United States)
Publication Date:
Research Org.:
National Renewable Energy Lab. (NREL), Golden, CO (United States)
Sponsoring Org.:
USDOE Office of Energy Efficiency and Renewable Energy (EERE), Building Technologies Office (EE-5B)
OSTI Identifier:
1324387
Report Number(s):
NREL/TP-5500-66774
DOE Contract Number:
AC36-08GO28308
Resource Type:
Technical Report
Country of Publication:
United States
Language:
English
Subject:
29 ENERGY PLANNING, POLICY, AND ECONOMY; 32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATION; commercial; buildings; IRS; Section 179D

Citation Formats

Deru, Michael, and Field-Macumber, Kristin. Energy Savings Modeling and Inspection Guidelines for Commercial Building Federal Tax Deductions for Buildings in 2016 and Later. United States: N. p., 2016. Web. doi:10.2172/1324387.
Deru, Michael, & Field-Macumber, Kristin. Energy Savings Modeling and Inspection Guidelines for Commercial Building Federal Tax Deductions for Buildings in 2016 and Later. United States. doi:10.2172/1324387.
Deru, Michael, and Field-Macumber, Kristin. 2016. "Energy Savings Modeling and Inspection Guidelines for Commercial Building Federal Tax Deductions for Buildings in 2016 and Later". United States. doi:10.2172/1324387. https://www.osti.gov/servlets/purl/1324387.
@article{osti_1324387,
title = {Energy Savings Modeling and Inspection Guidelines for Commercial Building Federal Tax Deductions for Buildings in 2016 and Later},
author = {Deru, Michael and Field-Macumber, Kristin},
abstractNote = {This document provides guidance for modeling and inspecting energy-efficient property in commercial buildings for certification of the energy and power cost savings related to Section 179D of the Internal Revenue Code (IRC) enacted in Section 1331 of the 2005 Energy Policy Act (EPAct) of 2005, noted in Internal Revenue Service (IRS) Notices 2006-52 (IRS 2006), 2008-40 (IRS 2008) and 2012-26 (IRS 2012), and updated by the Protecting Americans from Tax Hikes (PATH) Act of 2015. Specifically, Section 179D provides federal tax deductions for energy-efficient property related to a commercial building's envelope; interior lighting; heating, ventilating, and air conditioning (HVAC); and service hot water (SHW) systems. This document applies to buildings placed in service on or after January 1, 2016.},
doi = {10.2172/1324387},
journal = {},
number = ,
volume = ,
place = {United States},
year = 2016,
month = 9
}

Technical Report:

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  • This document provides guidance for modeling and inspecting energy-efficient property in commercial buildings for certification of the energy and power cost savings related to Section 179D of the Internal Revenue Code enacted in Section 1331 of the 2005 Energy Policy Act and noted in Internal Revenue Service Notice 2006-52. Specifically, Section 179D provides federal tax deductions for energy-efficient property related to a commercial building's envelope; interior lighting; heating, ventilating, and air conditioning; and service hot water systems.
  • This document provides guidance for modeling and inspecting energy-efficient property in commercial buildings for certification of the energy and power cost savings related to Section 179D of the Internal Revenue Code enacted in Section 1331 of the 2005 Energy Policy Act and noted in Internal Revenue Service Notice 2006-52. Specifically, Section 179D provides federal tax deductions for energy-efficient property related to a commercial building's envelope; interior lighting; heating, ventilating, and air conditioning; and service hot water systems.
  • Today, many large commercial buildings use sophisticated building automation systems (BASs) to manage a wide range of building equipment. While the capabilities of BASs have increased over time, many buildings still do not fully use the BAS's capabilities and are not properly commissioned, operated or maintained, which leads to inefficient operation, increased energy use, and reduced lifetimes of the equipment. This report investigates the energy savings potential of several common HVAC system retuning measures on a typical large office building prototype model, using the Department of Energy's building energy modeling software, EnergyPlus. The baseline prototype model uses roughly as muchmore » energy as an average large office building in existing building stock, but does not utilize any re-tuning measures. Individual re-tuning measures simulated against this baseline include automatic schedule adjustments, damper minimum flow adjustments, thermostat adjustments, as well as dynamic resets (set points that change continuously with building and/or outdoor conditions) to static pressure, supply air temperature, condenser water temperature, chilled and hot water temperature, and chilled and hot water differential pressure set points. Six combinations of these individual measures have been formulated - each designed to conform to limitations to implementation of certain individual measures that might exist in typical buildings. All of these measures and combinations were simulated in 16 cities representative of specific U.S. climate zones. The modeling results suggest that the most effective energy savings measures are those that affect the demand-side of the building (air-systems and schedules). Many of the demand-side individual measures were capable of reducing annual HVAC system energy consumption by over 20% in most cities that were modeled. Supply side measures affecting HVAC plant conditions were only modestly successful (less than 5% annual HVAC energy savings for most cities for all measures). Combining many of the retuning measures revealed deep savings potential. Some of the more aggressive combinations revealed 35-75% reductions in annual HVAC energy consumption, depending on climate and building vintage.« less
  • This report presents a methodology for modeling air infiltration in EnergyPlus to account for envelope air barrier characteristics. Based on a review of various infiltration modeling options available in EnergyPlus and sensitivity analysis, the linear wind velocity coefficient based on DOE-2 infiltration model is recommended. The methodology described in this report can be used to calculate the EnergyPlus infiltration input for any given building level infiltration rate specified at known pressure difference. The sensitivity analysis shows that EnergyPlus calculates the wind speed based on zone altitude, and the linear wind velocity coefficient represents the variation in infiltration heat loss consistentmore » with building location and weather data.« less
  • This document describes how to use the computer program developed under the Federal Residential Standard Project funded by the Department of Energy. The computer program provides an analysis of specific housing projects at a given site, using alternative fuel types, and considering alternative housing types. Designed around the concept of minimizing overall costs through energy conservation design--including first cost and future utility costs--the computer program established a standard design to which proposed housing designs are compared. It then provides a point table, for each housing type, that can be used to determine whether a proposed design meets the standard andmore » how a design could be modified to meet the standard. The computer program has been designed for IBM-PC or compatible computers and is reported on a floppy disk. This manual describes how to use the program and how to read the information that appears on the screen during program operation. IT describes the inputs required and the various options presented to the user. The appendices provide more detailed information related to the output produced by the program. This output consists of point tables presenting points for each energy conservation option, and a point total that must be met to comply with the standard.« less