Worried about Cooling Costs in the Summer? Go for an Energy Audit!

Hot summers in New York City and across the U.S. are driving up energy bills like never before. Air conditioning alone can make up nearly half of your summer utility costs, especially as extreme heat events become more common. With energy prices continuing to rise, staying cool isn’t just a comfort issue—it’s a financial challenge.

Fortunately, there’s a solution: an energy audit. It’s a proven way to cut costs, optimize your building’s performance, and ensure compliance with NYC’s strict energy laws.

Why Energy Costs Are a Bigger Challenge in 2025

In 2025, cooling costs are being driven by multiple factors:

1. Electricity prices remain high – According to the U.S. Energy Information Administration (EIA), electricity prices rose 5% in 2024 and are projected to climb further in 2025 as demand continues to rise.
   
2. Natural gas volatility – Nearly 40% of U.S. electricity is still generated from natural gas. Price fluctuations directly impact the cost per kilowatt-hour, making bills unpredictable.
   
3. Climate change and extreme weather – Heat waves are placing huge stress on the electric grid, driving wholesale prices higher and causing supply shortages in some areas.
   
4. Inflation and infrastructure strain – Rising inflation and ageing utility infrastructure mean that energy costs are unlikely to stabilise anytime soon.
   

For NYC building owners, these challenges are layered with Local Law requirements like:

• Local Law 87 – Mandates energy audits and retro-commissioning every 10 years.
  
• Local Law 88 – Requires lighting upgrades and submeters for tenant spaces.
  
• Local Law 97 – Imposes strict carbon caps, with financial penalties for non-compliance.
  

An energy audit is not just a cost-saving measure—it’s also a compliance strategy.

What Is an Energy Audit and Why Do You Need One?

An energy audit is a comprehensive assessment of your building’s energy use. It helps uncover inefficiencies, quantify waste, and recommend upgrades that lower costs and improve comfort.

Types of Energy Audits:

• Level 1 (Walk-Through Audit): A quick analysis of obvious inefficiencies like lighting, insulation, and HVAC performance.
  
• Level 2 (Energy Survey and Analysis): A detailed breakdown of energy use patterns, backed by cost-benefit recommendations.
  
• Level 3 (Investment-Grade Audit): A deep dive with financial modeling for large-scale upgrades and capital planning.
  

By identifying savings opportunities, an audit ensures that you get maximum performance for every dollar spent on energy.

Benefits of Energy Audits

 

1. Lower Cooling Costs – Detect leaks, poor insulation, or HVAC inefficiencies that waste money.
2. Compliance with NYC Local Laws – Stay ahead of LL87, LL88, and LL97 requirements.
   
3. Improved Occupant Comfort – Better indoor temperatures, air quality, and lighting.
   
4. Sustainability Goals – Reduce your building’s carbon footprint and contribute to citywide emission reduction targets.
   
5. Long-Term Savings – Many upgrades pay for themselves within just a few years.

Strategies to Manage Cooling Costs

 

1. Upgrade HVAC and Improve Insulation

• HVAC systems account for nearly 40% of building energy use.
  
• Action steps:
  
  • Schedule HVAC operations to match building occupancy.
    
  • Seal air leaks and improve insulation to keep cool air in.
    
  • Add sensors and smart thermostats for automated efficiency.
    
  • Install low-energy humidifiers to optimize comfort.
    

Even a simple thermostat adjustment—setting cooling 7–10 degrees higher when unoccupied—can reduce costs by up to 10% annually.

2. Adopt Smart and Green Technologies

Smart tech is transforming energy efficiency. Tools like:

• Smart thermostats – Adjust automatically based on occupancy and energy prices.
  
• Advanced metering systems – Track energy usage in real-time.
  
• AI-based building controls – Predict and respond to weather changes and peak demand.
  

While upfront costs may range from $200 to $500, savings compound year after year.

3. Invest in Renewable Energy

Solar panels and other renewables are no longer a luxury—they’re an investment. Benefits include:

• Tax credits, rebates, and subsidies.
  
• Energy independence from volatile utility rates.
  
• Long-term savings with a lifespan of 25–30 years.
  

Countries like Iceland and Costa Rica already run mostly on renewable energy, and NYC is moving in the same direction through its Climate Mobilization Act.

4. Encourage Occupant Awareness

Building efficiency isn’t just about systems—it’s about behavior. Encourage tenants and employees to:

• Turn off lights and equipment when not in use.
  
• Use blinds and shading devices to block heat gain.
  
• Report comfort issues promptly so systems don’t overcompensate.
  

Small behavioural changes can make a big difference.

Real-World Impact: Why Energy Audits Pay Off

Buildings that undergo audits and retro-commissioning typically see:

• 15–25% reduction in energy costs within the first year.
  
• Improved HVAC efficiency leading to longer equipment life.
  
• Compliance with LL87 audits, avoiding penalties and legal risk.
  

For example, a mid-size NYC office building that completed an energy audit in 2023 cut cooling expenses by 18% simply by improving insulation, recalibrating HVAC schedules, and installing smart controls.

The Bottom Line

Cooling costs aren’t going down anytime soon, but your bills don’t have to keep climbing. An energy audit is the first step toward smarter energy management, lower costs, and Local Law compliance.

The Cotocon Group specializes in energy audits, retro-commissioning, and compliance strategies under Local Laws 87, 88, and 97.

Contact us today to schedule your energy audit and start saving this summer.