A new public-private partnership will provide energy efficient upgrades to government buildings across Louisville—at no upfront cost to Louisville Metro Government.
Johnson Controls will pay nearly $27 million to replace inefficient chillers and boilers, update old electrical systems and install solar-powered hot water heaters. Metro Government will in turn make annual payments to the company from the energy savings the project generates—an estimated $2 million per year. Once the contract with Johnson Controls is paid, Louisville will continue to reap the benefits of reduced energy bills.
Mayor Greg Fischer called the deal a “win-win” for the city.
“If the energy savings are not realized as projected because of the work of Johnson Controls, the city will not be responsible for paying that portion of the project,” Fischer said. “So really, we can’t lose.”
Fischer’s office estimates that the energy efficiency improvements will reduce the city’s annual carbon emissions by more than 12,000 tons, and will help create more than 500 local jobs.