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Pencil it Out

This Pencil It Out tool estimates the potential financial benefits and energy savings that may occur in connection with an energy-efficiency project based on certain assumptions. This tool does not in any way constitute a guarantee or warranty of any energy efficiency measure or any possible energy savings that might result from such measures. Nor does this tool represent any obligation to provide any funding for any energy efficiency project, or guarantee any funding by Energy Trust. Any commitment for such funding will require a formal written funding agreement signed by you and Energy Trust.

Are you a for-profit organization or a non-taxable entity?

Nonprofit business, charitable organization, or other type of tax exempt entity

Project Details

Project Title
Total Building Area SQFT
Total Energy Efficiency Measures Cost $
Incremental Cost $
Estimated Energy Trust Incentive $
Additional Funding or Grants for Energy Efficiency Measures $
Select measurement:
Annual Electric Savings Anticipated from Measures
Annual Gas Savings Anticipated from Measures


Amount of Loan for Energy Efficiency Measures $
Interest Rate on Loan, Per Year %
Loan Term (enter whole numbers, 25 year max) years


Discount rate used for business planning %
Expected Equipment Life (enter whole numbers, 35 year max) years
Capitalization Rate %
Inflation Rate of Energy Costs, Per Year %
Electric Rate $ per kWh
Gas Rate $ per therm

Estimated Savings

Total Estimated Incentives $
Building Owner Initial Investment $
Building Owner Total Investment $
Annual Energy Cost Savings for Building $
Annual Energy Cost Savings per Square Foot $ per SQFT
Increase in Capitalized Value $
Simple Annual Payback without Incentives years
Simple Annual Payback with Incentives years
ROI on Energy Savings without Incentives %
ROI on Energy Savings with Incentives %
ROI on Increase in Capitalized Value (with incentives) %
NPV of Energy Efficiency Measures Cost and Energy Savings $
IRR of Energy Efficiency Measures %

Annual Calculations

Annual Values for NPV [+]

Year   Energy Efficiency Measures Cost + Annual Energy Savings + Incentive Payments - Annual Payments on Loans = Annual Cash Flow   NPV of Annual Cash Flow

Annual Values for IRR [+]

Year   Energy Efficiency Measures Cost + Annual Energy Savings + Incentive Payments = Annual Project Cash Flow