When COVID-19 lockdowns in 2020 caused a decrease in revenue, combined with the failure of the facility’s two legacy boiler systems, the hotel elected to transition to 100% district energy. This decision has yielded increased energy reliability, while also reducing the hotel’s carbon footprint.

Scope

For nearly 30 years, Vicinity Energy has been supplying a renowned Philadelphia hotel with back-up steam used for heating and hot water when more capacity was required, or the hotel’s traditional boiler systems failed. In 2020, the hotel switched to Vicinity as its primary energy provider, for a six-year term, transitioning away from natural gas and #2 oil heating to district energy. One hundred percent of the hotel’s heating and hot water requirements are now entirely steam powered.

Challenge

In the wake of COVID-19, a prominent Philadelphia hotel saw a significant decrease in revenue due to travel restrictions and government lockdowns. Making operations even more challenging, the facility’s two 35-year-old boiler systems failed due to severe winter weather, leaving the hotel seeking a reliable, long-term and innovative energy solution.

Solution

Building upon a nearly 30-year relationship, Vicinity approached the hotel with a district energy solution for its heating and hot water needs. This competitive and robust energy solution was exactly what the customer required during a critical time. As a result, Vicinity now supplies the hotel with 40,000 mlbs. of steam annually for heating and hot water. Through a simple connection to Vicinity’s district energy system, the hotel was able to retire its antiquated boilers, forgo the astronomical capital expense of new mechanical equipment and enjoy peace of mind, knowing their energy needs are being reliably met.

Results

The transition to district energy not only provides the hotel with reliable energy for heating and hot water, but also delivers green benefits as well. Thanks to the hotel’s shift from natural gas to 100% district energy, the carbon emissions of the facility have been greatly reduced. And as Vicinity advances its plan for net zero carbon emissions by 2050 and continues to green its system, the hotel will also continue to benefit from greener energy over the course of its partnership with Vicinity.

Vicinity provides sustainable and reliable district energy solutions to several historic Philadelphia landmarks, such as the Walnut Street Theatre. In partnering with iconic properties to deliver reliable, low-carbon energy, Vicinity continues to demonstrate its commitment to help usher in a greener tomorrow in the City of Philadelphia.