Case Study

Zero-Cost Steam Trap Repair Program Saves Nassau and Suffolk County Schools Over 1 million Therms

Background

National Grid is the natural gas utility provider for both Nassau and Suffolk counties on Long Island New York. Historically, National Grid has offered steam trap rebates through both custom and prescriptive rebate programs.  Both programs help customers offset necessary maintenance costs, however both have limitations. 

Limitations

The custom program allows its customers with qualifying gas meter accounts to engage with a third-party contractor to survey and repair steam traps.  The survey is covered at 100% as long as the repairs to failed traps are made within 90 days from the survey.  The custom rebate offsets the installation cost at rates of $2 per therm for any customer, to $3 per therm for baseline qualified customers. 

The custom rebate program addresses only traps that test failed at the time of the initial survey.  This can leave traps that fail any time after the initial survey and until the next survey in a failed state. The program can be repeated every 2 (two) calendar years.

While this program is helpful to maintain steam traps, many traps may be in a failed state for months or years before they can be repaired.  Also, because traps are only eligible for repairs every 6 (six) calendar years,  some traps may fail but not be eligible for repairs until the 6-year term has expired.

The prescriptive program allows NG customers to apply for reimbursement for retrofit to any steam trap.  The incentive provides $100 rebate against repair or replacement cost, regardless of the steam trap condition, so long as the steam trap has not been reimbursed for repair or replacement by NG within the previous 6 years.

Because the cost of repairs typically exceeds $100 per steam trap, this program is not cost effective to use for comprehensive system management.  Many NG customers engage in Energy Savings Performance Contracts (ESPC) with Energy Services Companies (ESCO).  Under these programs with 15-year performance periods, the rebate will offset some of the ESPC cost in years 1 and 7.

Solution

To address these limitations, National Grid adjusted the DNY prescriptive rebate program from $100 per trap to $300 per trap.   The pilot program was started in October 2022 to see if there would be a response.

Steam Management engaged with four school districts with a low-to-no cost proposal to rebuild every safely accessible steam trap within the district.  Our team installed over 4,000 traps generating over 250,000 therms of savings.

Due to the success of the pilot program, and in response to the demand for this program, the utility brought back the accelerated prescriptive rebate program in 2023.  The program was initiated on April 1 and runs through December 31. 

In 2023, Steam Management completed installing 20,000 steam traps in over 30 school districts in Nassau and Suffolk counties generating over 1 million therms saved.

The projects are installed at Zero Cost to the customer, with all funds paid directly to SMI from National Grid. 

To learn more about Steam Management and how we can help you achieve these results at no cost to you, contact our experts: 

Chase Bean, MBA, PE, PMP, CEM 

Director of Engineering and Business Development 

m: 678-457-3230 

e: cbean@steammgt.com 

Keith Carlsen II, C.E.M. 

Vice President / COO 

m: 410-903-2613 

e: kcarlsen@steammgt.com 

Schedule an assessment of your facility.

(800) 731-0131 ext. 701 | info@steammgt.com