The MDOC is the first state agency in Mississippi to enter into a performance contract. Such agreements typically allow a customer to purchase a systems upgrade and/or service that pays for itself over time, with no upfront costs. The savings in energy and operating costs fund the building improvements and financing costs over a specified term, and the savings are guaranteed on an annual basis.

Siemens will provide the MDOC with a comprehensive energy and water management program that guarantees energy and operational savings estimated to be $430,000 per year at current energy prices.

"This joint partnership will serve as a representation for how other state departments throughout Mississippi might achieve an efficient and effective operation of their facilities," said MDOC commissioner Chris Epps.

"MDOC is excited about joining Siemens in this energy- and cost-savings plan. I look forward to a long, productive association with the company."

The program, which began in May, will take eight months to complete. It will involve upgrading existing lighting in three state prisons (Mississippi State Penitentiary, Central Mississippi Correctional Facility, and South Mississippi Correctional Institute), 17 community work centers, and three restitution centers. The high-efficiency lighting in these facilities will consume 42 percent less energy.

Siemens will also install an energy management control system to improve the efficiency of heating, ventilation, and climate control equipment in the three state prisons, along with an Ozone Re-Circulating Laundry System that will provide significant reductions in both hot water and total water usage.

In addition, Siemens will replace an old 80-ton chiller with a new one at the South Mississippi Correctional Institute. The replacement of older mechanical equipment with new, more efficient equipment, will not only save energy, it will also reduce maintenance costs, according to the company.

Publication date: 08/15/2005