A centrifugal chiller (having a capacity of 500 kW and an average seasonal COP of 4.0) operates with a leaving chilled water temperature of 4.5°C. Determine the cost savings incurred by installing an automatic controller that allows the leaving chilled water temperature to be set 2.5°C higher on average. Assume that the number of equivalent full-load hours for the chiller is 1,500 per year and that the electricity cost is $0.07/kWh.