Southland Industries City of Chico

City of Chico Phases I & II

Implementing energy efficiency technologies to achieve decarbonization

Market

State & Municipal

Location

Chico, California

Delivery

Design-Build

Overview

To address aging HVAC equipment and wastewater systems, reduce energy costs, and advance its net zero energy goals, the City of Chico implemented a phased energy and infrastructure improvement plan.

Faced with financial constraints and significant stakeholder involvement, we partnered with the City to develop and implement a strategy that maximized project benefits while aligning with budgetary and sustainability goals.

Our Approach 

As part of the Sustainable Solutions Turnkey (SST) program with Pacific Gas and Electric (PG&E), we led a comprehensive energy and infrastructure retrofit to lower operational costs, address deferred maintenance, and support the City's Climate Action Plan.

Phase 1 focused on energy efficiency improvements, including:

  • Installing variable-speed blowers at wastewater treatment plant aeration ponds
  • Upgrading and expanding building automation systems
  • Replacing outdated HVAC systems with energy-efficient, code-compliant units

We provided preconstruction services, project management, construction engineering, energy engineering, and commissioning to ensure successful execution.

Phase II introduced renewable energy solutions, installing 2.2 megawatts of solar capacity. This is projected to save the City over $650,000 annually in utility costs.

Result

By prioritizing high-impact, financially viable energy conservation measures (ECMs), this phased approach ensures long-term sustainability and cost savings. This project underscores the City's commitment to a greener future by reducing environmental impact while optimizing infrastructure performance.

Through strategies partnerships, the City of Chico has made significant strides toward near net zero electricity consumption and decarbonization. Additionally, the projects are eligible for up to $2.5 million in Investment Tax Credits (ITC), which we are filing on the City's behalf to further enhance financial benefits.

  • Successful Partnership

    Owner: City of Chico

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