CHCC needs lawmakers’ support on bill prioritizing net metering

In a bid to lower the utility costs of the Commonwealth Healthcare Corp., chief executive officer Esther Muña is urging lawmakers to support a Senate bill that would prioritize net metering.

With the corporation’s utility cost averaging $400,000 to $500,000 a month, Muña believes Senate Bill 18-67 should be re-introduced in the new Legislature to create a system that will allow net metering in the CNMI and lessen the cost of utilities for CHCC.

The hospital is in the process of installing a photovoltaic power system.

SB 18-67, introduced by former senator Pete P. Reyes, prioritizes net metering for health and education.

CHCC, with the support of Gov. Eloy S. Inos, had applied for a competitive grant with the U.S. Department of the Interior, with technical assistance from the University of Hawaii. The purpose of the grant was for the establishment of a photovoltaic solar power system with net metering to lessen the cost of utilities to CHCC and lower the dependence on fossil fuels through the use of renewable energy. The hospital received the grant from DOI in the amount of $560,000.

“Moving forward, however, requires the prioritization of net metering for health. Following the award, CHCC sought the assistance of the CNMI’s 18th Legislature to ensure that net metering was defined in CNMI law and to ensure that the priority for interconnecting PV before the “on ramping” costs increases,” Muña said.

According to her, the project management team that includes DOI and the National Renewable Energy Laboratory of the U.S Department of Energy and University of Hawaii will be assisting with the overall project management.

Meanwhile, Muña said that CHCC also needed a systematic approach to become more energy efficient last year and the help with grants established that.

“Small investments and significant grants from the Energy office and from Capital Improvement Projects will assist us in this,” Muña said.

Among the steps the corporation has taken to be more energy efficient include the heating, ventilating and air conditioning system upgrade, which began last year at the south side of the hospital, and replacing one chiller with a more energy-efficient one and installing an energy efficient water cooling tower in the second building. The HVAC upgrade was funded by CIP money, while the Department of Public Works’ Energy Office funded the chiller.

Other approaches for energy efficiency include the upgrading and retrofitting of the lighting system, including the installation of new light sources, fixtures, and controls.

Also included is the retro commissioning of facilities, identifying improper equipment sequencing, equipment or systems that need to be repaired or replaced, eliminating lighting in unoccupied areas, and obtaining CHCC community participation in cutting energy costs, such as turning off all equipment and lighting that does not interfere with or reduce patient care.

“We are proud of these efforts of energy efficiency and we hope with everyone’s support, CHCC will reduce its utility cost and continue to provide quality services to our people for many years to come,” Muna said.

Needed support

Utility cost, according to Muña, is the second highest expenditure of CHCC, costing them more than $6 million last year.

CHCC right now pays the base rate for government of $0.1240 cost per kWh, infrastructure surcharge at a cost of $0.0221 per kWh, and the levelized energy adjustment clause or LEAC at a cost of $0.03043 per kWh. This totals to $0.4504 per kWh.

“Healthcare industries, especially hospitals, are high consumers of energy and CHCC is no different. With CHCC, what happens inside the hospital and its health concerns, such as high census and complexity of care to patients, impact its energy use. The age of the medical equipment is also significant,” Muña said.

According to her, daily occupancy is at a 95 percent in the medical and surgical wards and 100 percent in the intensive care units and these impact their utility bills tremendously.