5 QUICK STEPS TO CALCULATE THE VALUE OF A WASTE OIL HEATER FOR YOUR BUSINESS
Business owners are planning for a return to normal in the months ahead, and now more than ever, controlling costs is an important consideration going forward. With uncertainty in the air, a smart investment now can help you save big down the road.
If your business generates used petroleum products in your day-to-day operations, you’ve probably heard plenty about the cost-saving benefits of a waste oil heater.
Not only does burning used oil as free heat for your facility cut your energy expenses, but also it enables you to avoid the cost of paying someone else to dispose of your waste oil for you. That sounds great, right? But how much money can you expect to save?
To get a reasonable estimate of how cost-effective converting to waste oil heating might be for your business, follow these steps:
- Calculate the five-year cost to heat your building, but don’t forget to factor in the cost of inflation.
- Identify how many gallons of waste oil you generate, and calculate the five-year cost to dispose of that waste oil; again, including inflation.
- Add the five-year cost to heat your building, and the five-year cost to dispose of the waste oil you generate. That will estimate your potential savings over a five-year period.
- Calculate your furnace purchase price, shipping costs, installation expense, and other associated costs.
- Subtract your furnace costs from the five-year savings calculated in Step 4 to get your estimated five-year savings after your equipment investment.