Johnson Controls and Arkansas State University have signed a $15 million energy performance contract that will advance the university's sustainability initiatives, including improvements to lighting, water conservation, waste management, energy management, HVAC and utility monitoring systems.
The two said the contract, featuring a 20-year payback and operational savings, is the first of its kind in Arkansas.
"We're thrilled to be working with Johnson Controls to make significant upgrades to our energy infrastructure," Charles L. Welch, president of the ASU System, said in a news release. "Those upgrades will benefit everyone in the Arkansas State community – students, parents, alumni, faculty, staff and visitors to our campus."
The upgrades, scheduled for completion by Nov. 30, will include new LED lights, water-efficient fixtures and systems, four industrial-grade trash compactions systems, lab hood improvements and more.
As part of the energy performance contract, ASU said it will work closely with Johnson Controls and the Arkansas Energy Office to implement the upgrades.
"The Arkansas State project is setting the standard by which other energy performance contracts will be measured in the state," said Chet Howland, energy program manager for the Arkansas Energy Office. "We expect the project to have an economic impact of over $30 million with no upfront cost to Arkansas State, as guaranteed energy savings will pay for the project over the next two decades."