Partnering with the Partnering with the EPAEPA

FOOD LION, LLCFOOD LION, LLCWayne RosaWayne Rosa

Food Lion, LLCFood Lion, LLC

Legend

Food Lion 1,135Bloom 61Bottom Dollar 27Harveys 69Reid’s 9

Importance of Energy ManagementImportance of Energy Management

Grocery Stores Grocery Stores –– Low MarginLow MarginHyper competitive grocery store Hyper competitive grocery store environmentenvironmentSecond largest operating cost for a storeSecond largest operating cost for a storeGrocery stores are twice as energy intensive Grocery stores are twice as energy intensive as any other commercial/retail customeras any other commercial/retail customer

U.S. EPAU.S. EPA’’s ENERGY STARs ENERGY STAR

Energy Star Partner since 1998Energy Star Partner since 1998

Portfolio ManagerPortfolio Manager

Benchmark Energy Performance (0Benchmark Energy Performance (0--100)100)

Initial Score: Less than 80%Initial Score: Less than 80%

Food LionFood Lion’’s Energy s Energy Management ProgramManagement Program

GOALS:GOALS:

–– Reduce energy consumptionReduce energy consumption

–– Reduce energy costs Reduce energy costs

–– Design energy efficient storesDesign energy efficient stores

–– Implementing new energy efficient technologiesImplementing new energy efficient technologies

U.S. EPAU.S. EPA’’s Es ENERGYNERGY SSTARTAR ToolToolFood LionFood Lion’’s Average Store Scoress Average Store Scores

20042004 81.381.320052005 85.685.620062006 87.087.020072007 87.087.020082008 90.090.0

Leverage benchmarking for better business decisions for Leverage benchmarking for better business decisions for PrototypesPrototypes

0

200

400

600

800

1,000

1,200

2005/Jan 2006/Jan 2007/Jan 2008/Jan

50 Thru 7475 Thru 100

Food Lion Current Energy Star Scores

Food Lion Food Lion Energy Use Index TrendEnergy Use Index Trend

Energy Use Index

10

12

14

16

18

P1 P2 P3 P4 P5 P6 P7 P8 P9 P10 P11 P12Periods

KBtu

/ft^

2

2002 2003 2004 2005 2006 2007

U.S. EPAU.S. EPA’’s ENERGY STARs ENERGY STAR

Lead supermarket industry for Lead supermarket industry for ““Energy StarEnergy Star””qualified stores qualified stores –– 724 stores724 stores

Performance goal for all new stores: Performance goal for all new stores: New Store Average score for 2008 is 90New Store Average score for 2008 is 90

Supports our Corporate Energy MissionSupports our Corporate Energy Mission

How do we do it?How do we do it?

BENCHMARKINGBENCHMARKING……is the key! is the key! –– EPAEPA’’s Energy Star Portfolio Manager s Energy Star Portfolio Manager –– Third Party Benchmarking thru Bill Paying Third Party Benchmarking thru Bill Paying

ServiceService–– InIn--House Benchmarking through SubHouse Benchmarking through Sub--MeteringMetering

Value of BenchmarkingValue of Benchmarking–– History, Consistent Format, OnHistory, Consistent Format, On--line, exceptions line, exceptions

based reporting, trends, reporting capabilities, based reporting, trends, reporting capabilities, budgets and forecasts. budgets and forecasts.

GreenChillGreenChill

Food Lion was one of the Founding MembersFood Lion was one of the Founding MembersEstablish base year for refrigerant stock & Establish base year for refrigerant stock & emissions reportingemissions reportingDevelop corporate Refrigerant Management PlanDevelop corporate Refrigerant Management PlanCommit to using nonCommit to using non--ODP RefrigerantsODP RefrigerantsAdvanced Refrigeration SystemsAdvanced Refrigeration Systems–– Glycol Secondary Loop (Dinwiddie, VA)Glycol Secondary Loop (Dinwiddie, VA)–– CO2 Secondary Loop (Montpelier, VA)CO2 Secondary Loop (Montpelier, VA)–– CO2 & Glycol Secondary Loop (Portsmouth, VA)CO2 & Glycol Secondary Loop (Portsmouth, VA)

Secondary Loop COSecondary Loop CO22Food Lion Case StudyFood Lion Case Study

Montpelier, VAMontpelier, VAProsPros::

Over half refrigerant charge reductions (approx. 60% reduction)Over half refrigerant charge reductions (approx. 60% reduction)Primary refrigerant (RPrimary refrigerant (R--507) side leak detection much easier and less time 507) side leak detection much easier and less time consumingconsumingObvious environmental impactsObvious environmental impactsEnergy is comparable, electric defrost doesnEnergy is comparable, electric defrost doesn’’t seem to impact utility billt seem to impact utility billCase lineups can be set with one inlet and outlet per circuit inCase lineups can be set with one inlet and outlet per circuit instead of per case.stead of per case.Copper tubing size reduction = substantial material savings and Copper tubing size reduction = substantial material savings and storage.storage.No issues with oil or orifices in the cases.No issues with oil or orifices in the cases.COCO22 is super efficient is super efficient -- with as little as 5with as little as 5°° TD in cases.TD in cases.Learning curve with new refrigerants (RLearning curve with new refrigerants (R--502, R502, R--22, R22, R--507, R507, R--744)744)

Secondary Loop COSecondary Loop CO22Food Lion Case StudyFood Lion Case Study

Montpelier, VAMontpelier, VALessons LearnedLessons Learned::

Industrial grade insulation expensive material and labor cost (nIndustrial grade insulation expensive material and labor cost (next generation ext generation will utilize conventional DX insulation)will utilize conventional DX insulation)

Remote store location requires CORemote store location requires CO22 to be stored in machine room to be stored in machine room

COCO22 leak detectors have slower response time making it difficult toleak detectors have slower response time making it difficult to pinpoint pinpoint leaks leaks

Could not implement defrost skipping strategy due to ice on evapCould not implement defrost skipping strategy due to ice on evaporators during orators during high load seasonhigh load season

Identified the need for a detailed start up guideIdentified the need for a detailed start up guide

A modified loop system was used in this store (next generation wA modified loop system was used in this store (next generation will use a full ill use a full loop piping configuration)loop piping configuration)

Secondary Loop COSecondary Loop CO22Food Lion Case StudyFood Lion Case Study

Montpelier, VAMontpelier, VA

Store Installation CostStore Installation Cost::

The COThe CO22 secondary loop installation in this secondary loop installation in this

store was equivalent to the cost of a store was equivalent to the cost of a

conventional DX installation.conventional DX installation.

Secondary Loop COSecondary Loop CO22Food Lion Case StudyFood Lion Case Study

Montpelier, VAMontpelier, VAEnergy ComparisonEnergy ComparisonCOCO22 Secondary Store Secondary Store vsvs DX StoresDX Stores

1/200

76/3

/2007

6/5/200

76/7

/2007

6/9/200

76/1

1/200

76/1

3/200

76/1

5/200

76/1

7/200

76/1

9/200

76/2

1/200

76/2

3/200

76/2

5/200

76/2

7/200

76/2

9/200

77/1

/2007

7/3/200

77/5

/2007

7/7/200

77/9

/2007

7/11/2

007

7/13/2

007

7/15/2

007

7/17/2

007

7/19/2

007

7/21/2

007

7/23/2

007

7/25/2

007

7/27/2

007

7/29/2

007

7/31/2

007

8/2/200

78/4

/2007

8/6/200

78/8

/2007

8/10/2

007

8/12/2

007

8/14/2

007

8/16/2

007

C02 Secondary Store - Compressor Demand Real Power (kWh)

DX Store 1 - Compressor Demand Real Power (kWh)

DX Store 2 - Compressor Demand Real Power (kWh)

DX Store 3 - Compressor Demand Real Power (kWh)

Innovative Refrigeration SystemsInnovative Refrigeration SystemsMedium Temp Glycol / Low Temp COMedium Temp Glycol / Low Temp CO22

Portsmouth, VAPortsmouth, VA

Opening Date April 16, 2008Opening Date April 16, 2008Over 60% reduction in refrigeration chargeOver 60% reduction in refrigeration chargeCompetitive installation cost compared to Competitive installation cost compared to traditional traditional DxDx SystemSystemCOCO22 charge cost less than $400 charge cost less than $400

SummarySummaryEnergy Star: First Benchmarking Tool Energy Star: First Benchmarking Tool

GreenChillGreenChill: : Manage/Understand Refrigeration ComplianceManage/Understand Refrigeration ComplianceAdvanced Refrigeration SystemsAdvanced Refrigeration Systems

Food Lion first Corporate Responsibility Food Lion first Corporate Responsibility ReportReport

EPAEPA’’s programs s programs ““SustainSustain”” performanceperformance