An Interview With Fotis Georgiadis

Clear communications are the key to widespread success. You could have the best widget in the world, but if you write like an engineer (like me), it will take a lot longer to succeed.

As a part of our series about cutting edge technological breakthroughs, I had the pleasure of interviewing Scot Duncan.

Scot is the Founder and President of Conservant Systems Inc, and the inventor of the Department of Defense (DoD), Department of Energy (DoE) and California Energy Commission-award-winning High Efficiency Dehumidification System (HEDS).

Scot started working in this profession as a “trained monkey” at the age of 12, working with technicians on the Honeywell Delta 2000, making $0.50/hour (Cash!!!). At 15, he was on the Honeywell payroll as a part time control system field technician assistant. At 18, he was a full time Honeywell engineer. At 27 he started a consulting engineering firm specializing in high efficiency HVAC systems and chiller plant designs.

Scot has been an HVAC Subject Matter Expert (SME) for the DoD since the 1990’s. He invented the Load Based Optimization System (LOBOS) & High Efficiency Dehumidification System (HEDS). Three times Environmental Security Technology Certification Program (ESTCP) award winner, plus winner of the DoE “Call for Innovation” and “High Impact Technology” global competitions. HEDS was the only HVAC equipment to make it through the USAF AFWERX “Base of the Future” technology challenge. His technologies and designs have won multiple awards from ASHRAE, the DoD, the DoE, the California Energy Commission, General Services Administration (GSA), USAF AFWERX and others.

Thank you so much for doing this with us! Can you tell us a story about what brought you to this specific career path?

So, I got started down this career path when I was 12 years old! My dad was a long time Honeywell engineer and in 1972 computers were just starting to make it into the heating ventilating and air conditioning, HVAC, world.

They were very slow and very primitive and they needed to have operators at the main control panel and also out in the field when they were checking out the equipment.

Honeywell brought me in to sit at the operator’s consul and listen to the radio and do what I was told — essentially punching buttons and telling them what I saw.

They told me it was a choice between me and a trained monkey, but I was much more cost-effective because I did not need diaper changes as often as the monkey did so that made me less expensive! I was getting paid $0.50 per hour (cash!) and they later told me I was overpaid!

When I was 15, I was actually on the Honeywell payroll getting a paycheck as a field technician assistant and when I was 18, I went full-time as a Honeywell engineer in the controls division.

So, it seems like I was predestined to go down this path.

One thing about air conditioning is that there are an unlimited number of problems that need to be solved, and I love solving problems!

If you go to any commercial building, most complaints about the building are based on poor air conditioning system operation. I spent a career learning how to solve people’s HVAC problems, and that was a blast!

Can you share the most interesting story that happened to you since you began your career?

Maybe not most interesting, but definitely the most exciting! When I was 17 or 18, I was in the field helping check out a Superior Courts HVAC system in the middle of summer during a heat wave. I accidentally shut down the cooling system, and the temperature in the building skyrocketed. Judges don’t like it hot! It was not the highlight of my career.

Can you tell us about the cutting edge technological breakthroughs that you are working on? How do you think that will help people?

At the request of the Department of Defense, we developed a very simple, reliable, efficient, low maintenance, energy recovery HVAC system that can control relative humidity and help electrify and decarbonize the HVAC process and provide highly purified air to the facility occupants. It is called the “High Efficiency Dehumidification System” (HEDS for short).

It is so simple that the first patent took over 4 years to get approved! The Patent Examiner kept saying “this is too simple, I know someone must have done it before you!”

The technology can help dramatically reduce the carbon footprint of commercial office buildings, pharmaceutical, logistics centers, schools, colleges, universities and industrial facilities as well as hospitals, laboratories, and other large energy intensive facilities, including large yachts and ships.

HVAC systems have gotten so complex that they are very difficult to maintain, and with the pool of skilled trades people dropping every year, these complex systems can lead to large facility problems including comfort complaints, biological growth, the spread of infectious diseases via the HVAC system, corrosion, excess energy consumption, and an excessive carbon footprint.

Fixing these problems is helpful in itself and one of the larger benefits is that when people are more comfortable they are also more productive.

A 1% improvement in worker productivity can create more revenue than the entire utility bill costs for many facilities.

Most people don’t know about the link between worker comfort and worker productivity, and the huge benefits that a properly operating HVAC system can drop to the corporate bottom line.

How do you think this might change the world?

Lives are lost and climate change is made worse by many installed HVAC systems, HEDS can help stop those issues. HEDS can be a big part of the “E” in the ESG equation.

The carbon footprint of HVAC systems is huge on a global basis. HEDS helps to electrify the HVAC process in an energy efficient manner that can help reduce the spread of infectious diseases, mold and corrosion. These benefits are significant to the world.

The technology is so simple and so easy to maintain it can be deployed in developing countries that really have the need for it. Most of the growth in air conditioning loads, and the electrical demands that go along with it, will be coming from developing nations. Setting the efficiency bar high now will help ensure that the future is not wasteful of peoples limited resources.

Just looking at the Healthcare industry, the Centers for Disease Control (CDC) estimates that over 75,000 people die in the USA due to Healthcare Associated Infections. Many of those deaths are caused by the HVAC systems spreading infectious diseases and biological pathogens. If it is that bad in the USA, can you imagine the number of lives lost and the damage done to survivors in less developed parts of the world?

HEDS can help bring healthcare and HVAC equity around the world. As an example, many hospitals have problems with their air conditioning systems either growing or circulating mold, fungus and infectious diseases. HEDS can reduce those problems in a significant manner without requiring a huge maintenance work force. If HEDS is brought to the healthcare sector on a global basis, think about how many lives can be saved by the reduction of healthcare associated infections and the airborne spread of infectious disease and biological pathogens. Too many people die each year from preventable causes inside the healthcare system.

Keeping “Black Mirror” in mind, can you see any potential drawbacks about this technology that people should think more deeply about?

So, I am struggling to come up with any drawbacks to this technology. There will be an impact within the HVAC manufacturing community as some overly complex HVAC designs will be displaced, but new jobs will be created to build HEDS units at scale. Equipment manufacturing or assembly plants can be built in developing nations, creating jobs.

There will be reductions in healthcare costs, sick days, maintenance and equipment replacement. Until AI becomes sentient and starts messing with the air-conditioning systems, I think we are all pretty safe from any downsides!

Was there a “tipping point” that led you to this breakthrough? Can you tell us that story?

There was a definite tipping point that led to this breakthrough! I have been a subject matter expert for the US Army Corps of Engineers and the Navy since the early 1990s, and around 2005 the Army Corps asked me to join some teams and go out and do energy audits on military bases around the USA.

What I found at many locations was very heartbreaking. You have seen this problem brought up in Congressional hearings, where there are significant mold growth and biological problems in facilities where our Armed Forces live and work. During my travels, I witnessed this firsthand, and I investigated the different methods that the Public Works departments were using to combat the problem.

Make no mistake, the people on the bases all the way up to the top brass hate the fact that biological growth occurs, and they do everything possible within their means to try to fight it. Unfortunately, many air-conditioning systems were not designed to control relative humidity, which is the cause of much of the biological growth problem. When an installed HVAC system is trying to grow mold, there is not a lot that can be done, unless changes are made, and changes are not free.

Energy codes have gotten stricter over time, and this has led engineers to design some very complex systems that cannot be maintained by the operating staff on the bases. There are just too few people trying to work on too much equipment that is too hard to maintain.

At every base I went to I talked to the operating staff about these problems and my questions were always the same: “what have you tried?”, “how has it worked?”, “what has caused the failure to continue?”.

They really tried everything that was available at the time. When the Army Corps asked me if I could help solve the problem, my first response to them was “no, I can’t solve this problem, there is no equipment out there that is available that actually does the job and can be maintained by the limited staff and limited funding that is available on DoD bases.”

It made me very angry that the problem could not be solved. On another base, we ran into barracks that had significant biological growth issues and again I was asked to come up with a system that was simple, reliable and maintainable and that would control relative humidity in a wide variety of environments with little to no maintenance required.

In my anger, I caved in and said “yes, I will come up with a solution.‘

Right after I said yes, I smacked myself in the head asking myself “what were you thinking when you said yes!? This problem seems unsolvable! Everything has been tried, thousands of engineers have worked on this to no avail!”

So, then I had to get back to the basics what causes the problem, what do I need to do to solve the problem and how can I solve the problem in the simplest manner possible.

Thankfully, God has put me in many very problematic buildings and I have been able to come up with solutions that work, and I was able to draw on that experience to develop what we call today the High Efficiency Dehumidification System or HEDS.

The DoD, DoE and California Energy Commission have been very supportive of the technology, funding or co-funding technology demonstration projects and helping with the technology transfer process.

What do you need to lead this technology to widespread adoption?

Outreach to those that can influence where ESG funds are spent, getting the attention of those that write energy and healthcare codes, getting licensing agreements set up with a few of the major global HVAC equipment manufacturers, getting Congress to allocate infrastructure and climate change funds for HEDS technology to replace the failed/failing HVAC systems at DoD installations, and other Federal facilities, this would be a huge long term win, because the HEDS technology saves a ton of energy and reduces maintenance needs and overall lifecycle costs, so it is an investment that provides a financial return, so the burden going forward is diminished for the next generations.

What have you been doing to publicize this idea? Have you been using any innovative marketing strategies?

To publicize the idea, we have been entering technology competitions with the Department of Defense, Department of Energy, the General Services Administration, the California Energy Commission, and the USAF AFWERX program. HEDS has been winning these competitions and projects are being implemented because of these wins.

We have worked with and are working with the US Army, the US Navy, the US Air Force, the National Renewable Energy Lab (NREL), the Electric Power Research Institute, (EPRI), UC San Diego Health Thornton hospital and even the Timken Museum of Art in Balboa Park, San Diego.

We also have projects in progress with several utilities using the Utility Energy Services Contract (UESC) method of Public Private Partnership financing for projects.

Admittedly we have focused the vast majority of our time on helping the military better protect our Soldiers, Sailors, Airmen, and Marines because that is what triggered the technology — I simply cannot tolerate the fact that HVAC systems being designed in the past and even being designed and installed today are overly energy intensive and complicated and are carbon heavy for the summer dehumidification season as well as the winter heating season.

The healthcare sector seems to be really chasing the HEDS technology right now. As described earlier, there are a lot of HVAC-caused problems in healthcare that the HEDS technology addresses, and more hospital systems are learning about HEDS.

99% of the hospital folks we have talked with are in the process of evaluating or developing HEDS based projects.

None of us are able to achieve success without some help along the way. Is there a particular person who you are grateful towards who helped get you to where you are? Can you share a story about that?

Wow, that is a big question! I have needed so much help along the way, there is no one person that has been able to get me to where I need to go, it has taken a big team of people to help me out!

I am thankful that God gave me a very inquisitive brain, that keeps digging until I find answers that make sense, I am thankful for my mom and dad that worked with me for 20+ years creating some of the most energy efficient and comfortable buildings in the world. I’m thankful to Al Perez and Craig Hofferber for being my mentors when I was a young man, and throughout my career. They taught me so much about how systems work and how they are supposed to work. Most recently I’m thankful for Craig Hale, Jeff Kuhl, Galina Kalika and Chris Roman who have the strongest faith in the technology and that who are helping create a market for it.

I’m also thankful for the DoD and DoE teams that have evaluated the technology and found it to be worthy of widespread adoption. They have been especially helpful, as their influence carries significant weight around the globe.

Lastly, I’m thankful for Mary Kersey, my friend of 30+ years and my office manager for over a decade, she keeps the wheels on the road and deals with everything I can’t deal with!

How have you used your success to bring goodness to the world?

We are trying to help as many people as possible live better, healthier lives via the HEDS technology and cleaner air.

The end game goal, when the company is sold, is to create a foundation that helps disadvantaged kids and kids of military families get better educations, as education is the key to generational change.

What are your “5 Things I Wish Someone Told Me Before I Started” and why.

If you are truly passionate about helping others, people can sense that, and they will come alongside you to try to help, to the extent of their abilities.

I literally get angry when I talk about the failed HVAC systems and how that affects our Troops and their families. Most people see that I am doing something about it and want to help stop that problem going forward.

Pay more attention in your English/writing classes in high school and college!

Clear communications are the key to widespread success. You could have the best widget in the world, but if you write like an engineer (like me), it will take a lot longer to succeed.

Learn how to write so your audience will understand what you are saying.

If you have very creative solutions that are worthy of a patent, and there is a market for the patented technology, you should consider going after it (see response below)

Getting patents can be incredibly expensive and time consuming!

Be sure you have the funds to carry you through the process! The first patent took four years and tons of cash. I think we are around 10 patents in now with a bunch more on the way. Each patent comes with its own set of expenses and timelines.

Engineers can be really stubborn and locked into the “we can’t try that because we’ve always done it a different way” mentality.

Most engineers are excited about the simplicity and effectiveness of HEDS, calling it “an elegant solution”, others don’t believe that the Laws of Thermodynamics can work to your benefit sometimes.

No many how many facts are placed in front of them, they will not change their direction.

The good does outweigh the stubborn, but is it still sad to see people locked into the past, especially engineers.

You are a person of great influence. If you could inspire a movement that would bring the most amount of good to the most amount of people, what would that be? You never know what your idea can trigger. 🙂

Figure out how to improve the education process and recreate the “shop” classes that teach people trades, starting in high school, or even earlier. The future belongs to skilled workers, whether they be mechanics, plumbers, electricians, HVAC technicians, engineers or programmers.

Can you please give us your favorite “Life Lesson Quote”? Can you share how that was relevant to you in your life?

Not so much a quote as real life actions being a life lesson. Growing up, my parents sacrificed a lot financially so that my brother and sister and I could have a great life. That selflessness, putting others before oneself, has stuck with me my entire life.

Some very well-known VCs read this column. If you had 60 seconds to make a pitch to a VC, what would you say? He or she might just see this if we tag them 🙂

You can help us save the world and save a lot of lives along the way. There are not many technologies that can help stop climate change, decarbonize and electrify buildings, purify air, save energy, stop HVAC caused spread of viral and biological pathogens, reduce airborne transmission of infectious diseases that cause Healthcare Associated Infections (HAIs) while improving worker productivity, health and happiness.

The annual market for HVAC systems is expected to be close to $250 billion by 2025, and specialty HVAC systems like HEDS should be $20 billion and growing. The technology is protected by a bunch of patents and can be licensed for manufacture by pretty much every HVAC equipment manufacturer around.

There is no need for investments in factories, the factories are already built all around the world — HEDS can be built on their standard production lines — no need for any changes, other than to train their sales teams and update their equipment selection software. HEDS is an IP play, with no major capital expenditures in bricks and mortar required. Manufacturers may want to build factories in the countries where sales will be spiking, but that is not a prerequisite for success.

https://www.businesswire.com/news/home/20210616005501/en/Global-Air-Conditioning-Equipment-Market-Report-2021-Market-is-Expected-to-Reach-247.54-Billion-in-2025-at-a-CAGR-of-7.4—Forecast-to-2030—ResearchAndMarkets.com

How can our readers follow you on social media?

This is where my engineering single-mindedness is a huge drawback! I am only on LinkedIn, and I really don’t publish much!

Thank you so much for joining us. This was very inspirational.

Thanks for reaching out, I appreciate the opportunity to get the word out on the High Efficiency Dehumidification System technology, and the benefits it can bring to mankind!


The Future Is Now: Scot Duncan On How Their Technological Innovation Will Shake Up HVAC Systems was originally published in Authority Magazine on Medium, where people are continuing the conversation by highlighting and responding to this story.

Recommended Posts