Ozone Laundry Fundamentals. Special guest: DEL Clean Ozone Laundry Systems

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1 Ozone Laundry Fundamentals Special guest: DEL Clean Ozone Laundry Systems Presented by Nina Newhouser and John Grillo

2 Speakers energysmart overview Rebates for your ozone laundry systems Rebates and incentives for energy efficiency upgrades John Grillo, Energy Product Group for DEL Clean Ozone Laundry Systems What is ozone laundry? How does ozone laundry save energy?

3 energysmart for businesses

4 Nicor Gas service area Nicor Gas serves over 2 million customers in 643 communities.

5 About energysmart How are the programs funded? Residential and commercial Nicor Gas customers, based on consumption

6 energysmart dates energysmart rebates are available through May 31, 2015* or until funds are exhausted. Please Note: Rebate must be submitted within 90 days of installation date or by June 30, 2015, whichever comes first.

7 Ozone laundry rebate $25 per pound of washer capacity Rebate is capped at the project cost Apply within 90 day after installation of the system To apply, submit 1. Application - nicorgasrebates.com Download application Apply online 2. Itemized Invoice

8 Important eligibility requirements Ozone laundry rebate Rebate is paid per pound of capacity on all washers associated with the ozone laundry installation and cannot exceed the product cost. Must be purchased and installed June 1, May 31, Customer must have a natural gas-fired boiler or natural gas water heater that supplies hot water to the on premise laundry facility. System must utilize ozone (O3). Laundry facility must be on-site. Professional installation is required.

9 Rebates available Project Steam traps commercial (<15 psig) Steam traps industrial/process ( 15 psig) Boiler controls Boiler tune-ups Pipe insulation Ozone laundry Pool / spa covers Rebate $50 per trap $300 per trap $0.50 per MBH, up to $1,500 $ $0.50 per MBH up to $1,500 $4.00 / linear foot indoor $8.00 / linear foot - outdoor $25 per pound of washer capacity $ $1.25 per sq. ft.

10 Invoice requirements An itemized contractor invoice must be submitted with the rebate application: Total capacity of clothes washers associated with the ozone laundry installation, in pounds Make, model and serial number of ozone laundry system Installation and purchase dates Total installed cost (itemized by qualifying equipment) Payment terms, balance due of zero, or paid in full stamp Professional contractor information

11 Rebates available Project Programmable thermostats Condensing boilers (AFUE/TE 90%) Non-condensing boilers (AFUE/TE 85%) Rebate $50 per unit $500 - $7,500 $400 - $2,500 Furnaces ( 92%) $300 - $400 Storage water heaters $150 - $200 Condensing unit heaters $325 Infrared heaters $700

12 Rebates available Commercial Food Services Project Pre-rinse spray valves Rebate $50 per unit Fryers $500 - $550 Ovens $400 - $1,400 Conveyor oven $500 1,000 per deck Infrared charbroiler $500 Other commercial food service equipment Varies

13 Custom incentive For natural gas-saving projects not addressed by rebates. Incentives based on the amount of natural gas (in therms) saved in first year by completing the project. Maximum incentive per project is $500,000 (cannot exceed 50% of the installed project cost). Pre-approval required before any work starts Project Savings Incentive Amount Incentive Cap 2,500 15,000 therms saved / year $0.75 / therm saved > 15,000 therms saved / year $1.00 / therm saved $500,000 / year

14 delcleantm OZONE LAUNDRY PROGRAM

16 Who is DEL Ozone? Ozone sanitation technology leader since 1975 Engineering excellence produces innovation and reliability Advanced sanitation where clean is critical Commercial pools and aquatic parks Ozone laundry systems Food safety Mobile ozone surface sanitation Residential pools and spas DEL Ozone stands behind its products 100%

17 How much does OPL cost? On-premise laundry costs: OPL s process 9-11 pounds of linen per person in a typical hospitality or healthcare setting 1,500 pounds of linen washed per day for 150 residents About 2 gallons of hot water is required for every pound of linen washed 8.34 BTU s of heat energy raise 1 gallon of water 1 degree Over 3,000 gallons of hot water is used each day Costing you more on your energy bill!

18 How ozone laundry save you money An ozone laundry system dramatically: Eliminates up to 90% of hot water usage. Eliminates need fabric softener because salt crystals left by residual alkali are completely removed. Extends linen life with shorter dry times and the removal of salt crystals.

19 How much money it can save you A typical 120 bed nursing facility can save over $13,000/year A 150 room hotel can save over $15,000/year The larger the property, the larger the savings!

20 How ozone gas is made Oxygen molecules (O 2 ) split by adding energy, resulting in two individual oxygen atoms (O 1 ) ELECTRICAL ENERGY ADDED Oxygen atoms (O 1 ) unite with other oxygen molecules (O 2 ) to produce Ozone (O 3 ) (O 1 ) + (O 2 ) = (O 3 )

21 Oxidation

22 EPA Standards 1 PPM aqueous ozone, on average, is equal to 200 PPM Cl (chlorine) Ozone performs these functions as an oxidizer In use for a century worldwide as a water disinfectant Ozone laundering provides 3-4 additional layers of sanitation and disinfection than traditional hot water Ozone is a powerful oxidizer without the harmful side effects of chlorine

23 Ozone biocidal behavior Before ozone treatment After ozone treatment E. coli dried as a biofilm on a porous surface 1. Ozone oxidizes cell membranes, causing osmotic bursting 2. Ozone continues to oxidize enzymes and DNA

24 Ozone regulatory EPA approves ozone as antimicrobial oxidizer 1982 International Bottled Water Association (IBWA) approve ozone as antimicrobial for product and disinfectant for filler lines 1999 EPA lists ozone as safe for surface and ground water 2001 FDA/USDA approve ozone as an antimicrobial food additive 2001 FDA/USDA approve ozone as a food contact surface disinfectant

Ozone regulatory - continued EPA approves ozone as antimicrobial oxidizer 2001 USDA national organic program allows ozone as an antimicrobial food additive and food surface disinfectant 2010 ozone is

25 Ozone regulatory - continued EPA approves ozone as antimicrobial oxidizer 2001 USDA national organic program allows ozone as an antimicrobial food additive and food surface disinfectant 2010 ozone is added to the FDA model food code as an approved antimicrobial surface sanitizer 2010 ozone is recommended as a secondary disinfection system in the model aquatic health code 2013 ozone laundering approved by the Centers for Disease Control and Prevention (CDC) and Centers for Medicare and Medicaid Services (CMS)

26 How an ozone laundry system works Ozone gas (O3) replaces the caloric value of heat Ozone gas when introduced to water does the same thing, except it does it in cold water Ozone is a very powerful oxidizer 200 times faster and more effective than chlorine at destroying: Bacteria, viruses, blood pathogens and other harmful microorganisms found in soiled linens

27 How ozone gets to your laundry Ozone is produced on-site; because ozone reverts back to oxygen very quickly Ozone generator installed on laundry room wall Ozone introduced to wash water through a hose and valve connected to existing washing machines cold water lines

28 How the ozone gets to your washers

29 How the ozone gets to your washers Ozone Generator(s) Wash Formula Programmer By-Pass Valve Chemical Pumps Venturi Valve C. Water Washer Feed

30 How the ozone gets to your washers By-Pass Valve Incoming C. Water C. Water Washer Feed Ozone Generator Venturi Valve Wash Formula Programmer

31 Easy to install and operate The system will take about 1 day to install Installation includes everything for a complete and working system: Ozone equipment, piping, reprogramming of the wash formulas and on-site test loads Brief in-service for the laundry and facilities staff Works with your existing washers and chemicals Operation of the laundry remains the same for the staff Nationwide Authorized Service Provider network

32 Savings verification Measured Hot Water Usage per Wash Load Pre-Ozone Post-Ozone Pre-Ozone Post-Ozone

33 Savings verification 84.5 gallons saved/load!

34 Cost savings analysis DEL Clean Savings Summary Property Rooms Energy Savings Project Cost Utility Incentive Net Project Cost ROI/Years 1st Yr ROI HGI - O Hare 251 $7,126 $11,725 $5,350 $6, % Hampton Inn - Skokie 225 $4,561 $11,725 $6,500 $5, % DoubleTree - Schaumburg 188 $4,443 $14,900 $5,000 $9, % DoubleTree - Wood Dale 160 $3,987 $14,900 $4,500 $10, %

35 Reducing laundry costs Ozone laundering: Reduced hot water Reduced drying times Longer linen life + Less chemicals Immediate cost savings!

36 Now is the right time Performance guarantee Immediate reduced costs Rebates through energysmart $0 investment self-funding financing options Supports green initiatives Environmental stewardship certificate & press release Improved guest experience/employee satisfaction

37 Money is being washed down the drain Take action, start saving A simple survey is all it takes and there is no charge or obligation. You may be surprised at just how much money you will save! John Grillo Vice President x jgrillo@delozone.com

38 Questions? nicorgasrebates.com Nina Newhouser (o) ; (cell) nina.newhouser@clearesult.com

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