Though homeowners can do basic things in the wake of EWEB’s imminent rate hike to conserve energy, large production companies and smaller businesses will have to adjust their business practices significantly to cover increasing energy costs.
The Eugene Chamber of Commerce will soon address the issues surrounding the energy shortage that has gripped the northwest, said Terry Connolly, director of government affairs.
“This crisis is becoming a huge issue for high consumers of energy,” Connolly said.
Energy consumers, such as paper production company Weyerhauser, are dependent on large amounts of energy for production processes, and EWEB is scheduled to vote on hiking energy rates in March.
“EWEB has kept prices very low for us [in the past],” Weyerhauser spokeswoman Lisa VanWinkle said.
With the unavoidable increase in prices, however, companies like Weyerhauser will need to assess what their company can do to handle the price increase.
Weyerhauser produces some of its own power using steam generation in its paper production process. The company also uses other forms of power, such as natural gas and oil.
“We can keep our costs low as long as we keep using wood chips and produce our own energy,” VanWinkle said.
Another big energy consumer, Sacred Heart Medical Center, spends $2 million a year on utilities, including energy costs. Like Weyerhauser, Sacred Heart creates its own energy by using steam, something that has helped keep costs down in the past.
Jim Weston, director of facilities management for Sacred Heart, said costs will go up due to the price increase, but patients won’t be paying more for their healthcare.
“We’ll find a way to handle the increase without compromising the quality of our care,” Weston said.
Sacred Heart has completed three years of a five-year agreement with EWEB to conserve energy. EWEB has put $1 million into the $1.5 million plan that has given the medical center energy efficient lights, more sophisticated motors on the equipment and water “chillers” that will all help conserve energy.
Despite all the conservation efforts, Sacred Heart will still need to find ways to cut back costs without making patients uncomfortable, Weston said.
“Patients can be assured that we won’t be turning the lights off on them or shutting off their heat,” Weston said. “We’re going to have to look at where we can trim costs.”
Smaller businesses, such as the University of Oregon Bookstore, will also be affected by the price hike. However, the bookstore isn’t anticipating raising its prices as a result of the energy crisis.
“We’re still a big enough business that we can afford an increase like this,” General Manager Jim Williams said.
The bookstore is already equipped with energy-saving light fixtures, and has been involved in EWEB’s energy-saving programs.
“Everything we do, we try to do in a conserving way,” Williams said.
Williams also said that if energy prices continue to rise into next year, the bookstore may incur additional expenses, but none large enough to affect product prices.
“Each business is going to need to do an internal assessment of it’s power need,” Connolly said.