In this presentation, Faithful+Gould's Sean Lockie discusses the main drivers for investing in sustainable building solutions. He cites examples of clients that are benefiting from improvements in energy efficiency, health and safety, and performance. This presentation was originally delivered in October 2013. Read more: http://www.atkinsglobal.com/en-GB/media-centre/events/atkins-lectures/2013/building-a-low-carbon-economy

1. Building a low carbon economy
Chinese media delegation briefing

2. Sean Lockie, director of
sustainability, Faithful+Gould
11 October 2013

3. A framework for sustainability
Energy
Carbon
Waste
Water
Ecology
Comfort

4. Drivers
Cost Compliance
CSR Customer
Sustainability

5. Drivers - Cost
● Energy costs 25 per cent of total business cost
● Energy costs increasing
● Internal Rate of Return (IRR) of circa 40 per cent on some projects
● Changing business case (valuations, rentals, voids)
● Costs of techs coming down.
Cost Compliance
CSR Customer
Sustainability

6. Drivers - Compliance
● Energy Act 80 per cent by 2050
● Carbon budgets
● Carbon Reduction Commitment
● Mandatory reporting
● 2016 / 2019
● Faithful+Gould rated buildings 2018.
Cost Compliance
CSR Customer
Sustainability

7. Risks - unsustainable traits

8. Savings are available
Hospital Office Restaurant
Hotel Shopping Centre School
Source: Siemens Building Technologies 2012

9. Drivers - CSR
● Productivity
● Health
● Carbon footprint
● CSR strategies required certain investment funds
● Local jobs
● Voluntary reporting – CDP, GRI, GRESB etc.
Cost Compliance
CSR Customer
Sustainability

10. The business case is there
Source: WGBC 2013

11. And it’s not just a label
Valuations > rental > demand > voids > brown discount > green premium

12. Drivers - Customer demand
● Increasing amount of labelling
● Leading players aggressive targets
● Labelling of products.
Cost Compliance
CSR Customer
Sustainability

14. Atkins' turnkey energy
efficiency solution
How it works

15. Client advantages
● Atkins designs, finances, installs and maintains the systems
● Atkins’ costs are repaid through the energy savings
● Reduce overall client operation cost
● Risks and responsibilities are rested on Atkins
● No upfront costs or investment for the client.

16. Identification of opportunities
Full investment grade proposal
Detailed design
Agree M&V strategy
Install & PM energy
conservation
measures
Implement
M&V
Ongoing guarantee of energy savings
Survey
Funding
Design
Maintenance
‘Energy
performance
contract’
Installation
The process

17. How can we be certain
technologies will pay back?

18. saved per year
34,000tCO2
Salix finance
£750m
9000
143funds established
saved over project lifetimes
projects in 662 organisations
“A government fund
for the public sector ”

19. Technology Typical payback
LED lighting – lamp retrofit 4 to 5 years
LED lighting – complete luminaire upgrade 6 to 7 years
Building fabric insulation 3 to 10 years
Building management system upgrades 3 to 4 years
Combined heat & power (cogeneration) 5 years
Boiler replacements 4 to 5 years
Heating zoning and controls 3 years
Free cooling 4 years
Motor variable speed drives 3 years
Technologies and paybacks / Salix

20. UK case study - Frimley Park hospital
3.5
£3m
£900kloan for 17 EE projects
years payback
lifetime
savings

21. UK case study – Marks & Spencer
Faithful+Gould is undertaking an in-depth Post Occupancy Evaluation (POE) of
Marks & Spencer’s (M&S) second largest store at Cheshire Oaks near Chester.
This prestigious new study is part of an extensive £8 million programme funded by the
Technology Strategy Board (TSB) designed to deliver more efficient, better performing buildings.

22. Post occupancy evaluation
Source: Marks and Spencer

23. Post occupancy evaluation
Source: Marks and Spencer

24. Post occupancy evaluation
Source: Marks and Spencer

25. China case study
Confidential technology company

26. Production facility in Suzhou
2,500m² production area
24 hour operation
Injection machines
High-speed stamping.

27. • Poor HVAC design for production
area with insufficient cooling
capacity and distribution
• High energy consuming metal
halide lighting
• No use of free heating energy
from production waste heat for
heating offices in winter
• No energy monitoring system
• No effective maintenance
programme.
Problems

28. • New chillers and free cooling
• Re-design of HVAC System in
production & office areas
• Implementation of power meter
monitoring system (PMMS) to
improve equipment reliability and
energy consumption efficiency
• New lighting
• China and UK skills and products
used.
What we did

29. 15%
36
£300ksavings in 3 years
energy saving
The results
month
ROI

30. Concluding themes
● Business case is changing
● Regulation and targets are getting tougher
● Importance of good data (evidence)
● New technologies.

31. For more information contact
Sean Lockie
sean.lockie@atkinsglobal.com

32. Celebrating 75 years of
design, engineering and
project management
excellence.
www.atkinsglobal.com