Payback Information for Insulation Upgrades

Payback Information
for Insulation Upgrades
Estimating your actual payback on insulation upgrades accurately is very difficult given the many variables –
from the current state of your home, to how you use energy, to the materials you select – literally every
element has something to say on what the actual payback value will be. However, there is excellent reference
material available from which you can create base expectations for your home. Here are just a few examples.
1.
Points of Reference
Estimated consumption and energy costs in Kilo
Watts for 3 homes, built to different standards.
2.
Pre-1974
R12 Attic
R8 Foundation
24,730 KW
$2,473/yr.
Pre-1986
R28 Attic
R12 Foundation
24” below grade
Square Roof Vent
20,762 KW
$2,076/yr.
Pre-1993
R40 Attic
R12 Foundation
Full height
Active Roof Vent
24,730 KW
$1,760/yr.
Rules of Thumb
The industry sometimes uses rules of thumb to
estimate the Value of insulation upgrades
Pre-1960
No Upgrades
Savings
40% to 60%
Pre-1970
No Upgrades
Savings
30% to 50%
Pre-1980
No Upgrades
Savings
20% to 30%
3.
Pre-1974: R12
Pre-1986: R28
Current: R40
Visuals
A quick look at
how basic code
standards have
changed
through
the years
Pre-1974: R12
Pre-1986: R12
Current: R20
Pre-1974: R8, 24” below grade
Pre-1986: R12 24” below grade
Current: R12, full height of wall
4.
Analysis
Same House, Different Standards
With ever-increasing energy costs, it’s a smart bet and a good hedge to invest in proper insulation. In addition to
reducing carrying costs substantially, insulation upgrades add significantly to the future resale value of your home.
1950’s Standard
GHGE’s: 21,002 kg
Est’d Energy Cost
$4,498/yr
EnerGuide Rating: 43
1970’s Standard
GHGE’s: 16,970 kg
Energy Cost
$3,442/yr
EnerGuide Rating: 59
2006 Ontario Code
GHGE’s: 14,377 kg
Energy Cost
$3,036/yr
EnerGuide Rating: 64
Paragon EnergyStar
GHGE’s: 10,280 kg
Energy Cost
$2,110/yr
EnerGuide Rating: 80
GHGE = Greenhouse Gas Emissions
Maisons Paragon Homes 101-920 Blvd St-Joseph, Gatineau Qc. J8Z 1S9
Tel: 819-772-7765, Fax: 819-777-7766
R-32 Paragon Wall system
GHGE’s 6,632 kg
Energy Cost
$1,292/yr
EnerGuide Rating: 84