"Honeywell services enable us to work more efficiently while saving millions of dollars in energy costs," said Ray Levinson, manager of environmental compliance for the U.S. Postal Service Pacific Area. "This is important not only from an operating cost perspective, but also because it will reduce demand on the energy grid in California. Our shared energy savings contract is an effective way to control escalating utility costs and upgrade the facilities."

The new contracts, combined with $18 million of similar work awarded in 2003, are expected to deliver $4.1 million in energy savings per year. They are also projected to enable the Postal Service to reduce annual energy consumption by almost 30 million kWh - enough energy to power almost 4,000 homes for a year. The savings achieved through improved energy and operating efficiency will self-fund the projects, which means that facility upgrades and the cogeneration system will be installed at virtually no cost to the Postal Service.

Honeywell will replace chillers and air-handling units at three post offices in Southern California, upgrade lighting fixtures at 72 others, and build the cogeneration system. This system will allow the San Diego distribution center, a key Postal Service facility, to produce electricity on-site, manage energy costs, and decrease its reliance on the electricity grid. No other U.S. Postal Service distribution center has these capabilities.

"Honeywell takes pride in offering services that reduce energy and operating costs for businesses, allowing them to focus their efforts on valued customers," said Joe Puishys, president of Honeywell Building Solutions. "We look forward to working with the U.S. Postal Service and helping them provide an efficient working environment that is conducive to best-in-class service."

Publication date: 02/21/2005