New Electrical Contractor Survey Finds Rising Concern over Counterfeit Electrical Parts, Spike in Green Building/LEED Certification

BETHESDA, Md.--(BUSINESS WIRE)--A rising concern over counterfeit electrical parts—but uncertainty about their actual use—was found in Electrical Contractor Magazine’s 2008 Profile of the Electrical Contractor. Key findings also include a sharp rise in energy efficiency, green/sustainable building and Leadership in Energy and Environmental Design (LEED) certification. Published by the National Electrical Contractors Association (NECA), Bethesda, Md., Electrical Contractor’s biannual profile offers the most in-depth picture of U.S. electrical contractors and their businesses.

“It also shows the electrical contractor’s changing role as a trusted design/build partner who chooses and influences brands, with a growing involvement in integrated building systems.”

“This year’s survey reveals an important industry concern,” said Electrical Contractor Publisher John Maisel. “It also shows the electrical contractor’s changing role as a trusted design/build partner who chooses and influences brands, with a growing involvement in integrated building systems.”

According to the survey, 60 percent of contractors said they are extremely or very concerned about the effectiveness of counterfeit products and their ability to meet codes. At the same time, 43 percent said they are unsure if they have encountered counterfeit electrical goods over the past year. An additional 33 percent reported having never encountered counterfeits. In addition to safety concerns, accidentally installed counterfeit parts that fail have to be fixed, resulting in time and money. Various media sources attribute the worsening problem to the low cost of manufacturing electronics in China and the greater ease in selling both genuine and counterfeit parts through Internet product search engines.

Almost half of electrical contractors (46 percent) working on projects in 2007 included green/sustainable building elements. Thirty percent worked in one or more of these areas: LEED projects, solar photovoltaics, wind generation, net metering and/or co-generation. Energy use, green/sustainable building and LEED certification were mentioned by 30 percent of those who plan to take training in the next 12 months.

In 2007, approximately 80 percent of firms surveyed performed some design/build or design/assist work. Less than half of their average revenue comes from traditional bid/build projects (46 percent) and about seven percent comes from other bidding methods. Overall, contractors are able to make brand substitutions about 70 percent of the time. Availability (70 percent) and price (65 percent) as the top reported reasons for original brand selection.

Although most electrical contractors’ work comes from commercial/industrial/institutional work (CII), single-family housing accounts for the largest, single source of revenue. Similar to 2006, 96 percent of electrical contractors surveyed said they performed traditional power/lighting work in the previous year. Two-thirds reported working on power quality, communications/systems connectivity and automation controls. About 60 percent worked in residential automation/controls, and about 30 percent worked in alternative energy/sustainable building technology. Electrical/power distribution continues to account for the largest percentage of company sales at 64 percent. Link to survey details and story:

http://www.ecmag.com/research/ or http://www.ecmag.com/files/research/EC_2008_Profile_Topline_Report.pdf

Published by the National Electrical Contractors Association (NECA), Bethesda, Md., Electrical Contractor magazine delivers 85,300+ electrical contractors and more than 68,000 electrical contracting locations, more than any other industry publication. Telephone: (301) 657-3110. Web site: www.ecmag.com.