How Rising Energy Prices & ESG Targets Are Driving the Shift to Evaporative Cooling

Published by S&B Evaps | Commercial Evaporative Cooling Solutions

Introduction: The Changing Climate of Commercial Cooling

Across industries — from logistics and manufacturing to retail and data centers — the cost of keeping large spaces cool is climbing fast. Rising energy prices, coupled with increasing pressure to meet Environmental, Social, and Governance (ESG) targets, are forcing companies to rethink how they manage temperature control and energy consumption.

One technology gaining renewed attention is evaporative cooling — a proven, low-energy method that delivers efficient climate control while aligning with sustainability goals.

The Energy Cost Challenge

According to the U.S. Energy Information Administration (EIA), commercial electricity prices have increased more than 25% in the past five years, with peak rates rising even faster in high-demand regions like California, Texas, and the Southwest.

For facilities running traditional compressor-based air conditioning, this means skyrocketing operational costs — especially for large open spaces like warehouses, gyms, factories, and distribution centers.

Conventional air conditioning systems can consume up to 70% of a building’s total energy use during hot months. Industrial evaporative cooling systems, by contrast, typically use up to 80% less electricity, dramatically lowering utility bills without compromising comfort.

ESG and Sustainability Pressures Are Changing Buying Decisions

The push for ESG compliance has gone from a corporate buzzword to a hard performance metric. Companies must now publicly report energy efficiency, carbon emissions, and water usage as part of their sustainability disclosures.

Evaporative cooling directly supports several ESG pillars:

• ✅ Environmental: Reduces greenhouse gas emissions by minimizing compressor use and peak-load demand.
  

• ✅ Social: Improves worker comfort and air quality in industrial environments.
  

• ✅ Governance: Demonstrates measurable progress on decarbonization and energy-efficiency goals.
  

For organizations targeting LEED certification, net-zero operations, or Scope 2 carbon reductions, implementing commercial evaporative coolers an easy win — both technically and financially.

Why Evaporative Cooling Is Gaining Momentum

Modern direct evaporative coolers have evolved far beyond the “swamp cooler” reputation of old. Today’s commercial evaporative cooling units, such as those offered by S&B Evaps, use advanced materials, high-efficiency fans, and durable components to maintain consistent temperatures for extended periods of time on a daily basis.

Key advantages over traditional HVAC systems include:

• Massive energy savings: 60–80% reduction in electrical consumption compared to DX/compressor systems.
• Low maintenance: Fewer moving parts and simpler service intervals reduce downtime.
• Improved air quality: Continuous fresh-air circulation helps remove airborne dust and odors.
• Scalability: Available for small retail spaces, mid-sized warehouses, or massive industrial plants.
  
• Portability: Can quickly and easily be moved to areas of a building or room that need cooling.

With the right system design, industrial evaporative coolers can handle airflow capacities from 3,000 CFM to over 60,000 CFM, making it ideal for facilities of nearly any size.

Water Use vs. Energy Trade-Off 

Some operators still hesitate due to concerns about water consumption. However, when properly engineered, the water-to-energy trade-off is overwhelmingly positive.

A modern evaporative cooling system typically consumes less water annually than is used to produce the electricity needed by a traditional HVAC unit serving the same area.

That makes evaporative coolers more sustainable but also more resilient — especially in regions implementing stricter energy-use caps or carbon pricing.

Economic ROI: A Practical Perspective

Switching to evaporative cooling often pays for itself faster than expected:

Additional rebates and tax incentives under the Inflation Reduction Act (IRA) and local utility programs further shorten payback time for qualifying energy-efficient equipment upgrades.

Real-World Applications of Evaporative Coolers

• Distribution Centers: Large open spaces benefit from high-volume air movement and fresh-air exchange without the high electricity draw of AC.
  
• Manufacturing Plants: Lower air temperatures help maintain safe working conditions and protect equipment.
  
• Gyms & Event Spaces: Better ventilation improves comfort while meeting air-change standards.
• Data & Tech Facilities: Indirect evaporative systems are increasingly used for pre-cooling intake air, cutting chiller loads dramatically.
  

Aligning Comfort, Cost, and Carbon Goals

The commercial cooling market is undergoing a structural shift. Energy prices will likely remain volatile, while ESG reporting will only become more stringent.

Evaporative cooling offers a triple advantage: lower costs, lower emissions, and higher sustainability performance — without sacrificing functionality or comfort.

For many facilities, it’s not just an upgrade — it’s a strategic investment in long-term operational resilience.

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About S&B Evaps: Premium Evaporative Coolers

S&B Evaps designs and supplies small, medium, and large commercial evaporative cooling systems engineered for performance, reliability, and sustainability. Designed, engineered and manufactured in-house, our evaporative coolers help organizations reduce operating costs while achieving their environmental and ESG goals.

👉 Explore S&B Evaps' Commercial Evaporative Coolers online or contact our team to discuss your facility’s cooling efficiency opportunities via email: customerservice@sbevaps.com