The energy label: when does a proposal pay for itself?
The energy label gives proposals with an annual saving and sometimes an investment. The payback time is the investment divided by the saving.
4 chapters · 4 questions
The demo property
The API's demo property is an apartment building from 1867 with energy label C. The label has 7 improvement proposals.
Source: Energistyrelsen (Energimærkeordningen) via Grundfast · fetched
Two proposals with an investment
Only two of the proposals have an investment: extra insulation of the connecting pipes to the hot water tank (DKK 2,400, saves DKK 200 a year) and new lighting in a restaurant kitchen in the basement (DKK 10,000, saves DKK 1,700 a year).
Source: Energistyrelsen (Energimærkeordningen) via Grundfast · fetched
Calculate the payback
The pipes: 2,400 / 200 = 12.0 years. The lighting: 10,000 / 1,700 = 5.88, i.e. about 5.9 years. The lighting pays for itself in less than half the time.
Source: Energistyrelsen (Energimærkeordningen) via Grundfast · fetched
When the investment is missing
The five other proposals have no investment in the label. Then you cannot calculate a payback time. Write “investment not stated” — never DKK 0.
Source: Energistyrelsen (Energimærkeordningen) via Grundfast · fetched
Questions 1 / 4
Extra insulation of connecting pipes costs DKK 2,400 and saves DKK 200 a year. What is the payback time?