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February 28. 2013 9:08PM

Associated Grocers' overhaul expected to reap big savings

By BRENDAN CLOGSTON
Union Leader Correspondent

PEMBROKE - After the success of the first, more limited upgrade of its lighting system, Associated Grocers of New England's Pembroke facility is moving ahead with a complete overhaul, installing advanced LED systems that are set to produce significant cost and energy savings.

Leading Edge Design Group, an Enfield energy optimization service provider that oversaw the first AGNE upgrade, announced the beginning of a second, more expansive phase of the project this week.

"We're big fans of LED lighting," said Steven Murphy, chief financial officer for AGNE. "It's exciting to be able to do this, and we're going to continue to look for ways to do more. Really, our goal is to get zero-waste."

AGNE's Facilities Manager Bruce Courtois said Leading Edge Design Group's phase one recommendations immediately delivered the energy and cost savings the facility needed. "Expanding the use of LED lighting technologies significantly improves our bottom line and accelerates our long-term growth and sustainability efforts," he said in a prepared statement.

The upgrade is supposed to save AGNE $221,000 in annual energy costs, decrease maintenance costs and reduce the company's yearly carbon footprint by more than 2 million pounds.

"I always like green initiatives that actually pay us back money," Murphy said. "It's green on green. It's neat to have something that helps the environment and pays for itself in about a year."

Much of the project is made possible by the energy efficiency of LED lighting. The upgrade will reduce the facility's energy consumption by 85 percent.

"A good example (of how efficient they are) is we have a smaller generator that runs emergency lighting at the facility in the case that we lose power," Murphy said. "Now, it's every fifth light that will go on in the case of an emergency. With LED, we'll be able to leave all the lights on. That one generator will run all the lights in the facility that are LED."

The first phase in the facility's 20,600-square-foot freezer storage was touted as a success, saving $52,000 in costs annually, along with a projected reduction in energy consumption of up to 90 percent.

AGNE investigated the possibility of upgrading its freezer area lighting to LED lights after realizing that its current fluorescent system had issues with lighting output in colder areas, inconsistent burnout rates, significant maintenance and energy costs, general efficiency issues and safety issues.

"It really worked out well for us," said Murphy of the first phase. "The savings were even greater than (LEDG) said they would be, which isn't necessarily true with these projects. They built some great credibility with us as far as producing better results than we expected."

For the second phase, the facility will integrate the Digital Lumens Intelligent Lighting system, replacing florescent lighting throughout most of the380,000-square-foot facility, including the docking, maintenance, dry goods, salvage and cold storage areas.

Energy rebates were granted for the project. LEDG worked with Public Service of New Hampshire and the New Hampshire Pay for Performance Program, allowing AGNE to reach close to a one-year return on its investment.

bclogston@newstote.com