Demand and Competitiveness: “Sunlight is the best disinfectant” – building energy performance will be transparent, and building operators will be accountable for ongoing performance. Creates organic competition in the marketplace that will drive demand for improvement without public subsidies.
Led by strong mayoral leadership, cities are making a difference by adopting strong policy packages that addressing market failures by increasing energy performance transparency and implementing other strategies to catalyze demand for energy-efficient buildings.
IMT ppt for DOE's SEEAN webinar 7-26-2012
Energy Benchmarking and Reporting: City and State Policy OverviewJuly 26, 2012 | State Energy Efficiency Action Network (SEE Action)Cliff MajersikExecutive DirectorInstitute for Market Transformationcliff@imt.org
GREENHOUSE GAS EMISSIONS IN MAJOR CITIES NEW YORK CITY DISTRICT OF COLUMBIA In large cities with good public Solid waste, wastewater and fugitive (5%) Transportation (22%) transportation,Transportation (20%) Waste (2%) buildings Metro transit (2%) typically account Buildings (75%) Buildings (74%) for 70% or more of CO2 emissions CHICAGO BOSTON and energy usage. Other (9%) Transportation (29%)Transportation (21%) Buildings (70%) Buildings (71%)
No information = no actionCities are looking at what drives demand and competition in other industries How can markets work more effectively? How can demand increase without public subsidies? How can policy help reduce energy costs for businesses and consumers and create jobs?
A Virtuous Cycle“Whenperformance ismeasured,performanceimproves. Whenperformance ismeasured andreported back,the rate ofimprovementaccelerates.” One result: Exceptionally cost-effective peak load reductions
Benchmarks Guide Investment Survey of hundreds of facility managers . Audin, Lindsay. “Finding Your Best Energy Opportunity.” Building Operating Management. December, 2011.
• Free, Online ToolENERGY STAR • Track Record since 1999Portfolio Manager • Management Tool – Assess whole building energy and water consumption – Track change in energy, water, carbon emissions, & cost over time – Track green power purchases – Share/report data with others – Create custom reports – Apply for ENERGY STAR certificationwww.energystar.gov/benchmark – Apples-to-Apples comparison with similar buildings
• Metrics CalculatorENERGY STAR – Energy consumption (source, site, weatherPortfolio Manager normalized) – Water consumption – Greenhouse gas emissions (indirect, direct, total, avoide d) – ENERGY STAR 1-to-100 score • For 15 building types • 75+ for Energy Star label • Required data – Square feet by space type – Space Use Attributeswww.energystar.gov/benchmark – Zip Code – 12 months of Utility Data
Industry Standard >250,000commercial buildings >40,000 individual accounts27 billion sq. ft. of commercial & institutional office space Nearly40%of commercial market
Added Value of ENERGY STAR-Labeled Commercial Buildings in the U.S. Market ENERGY STAR-Labeled Buildings Command Market Premiums
Saving $ and the Environment Through 2011, nearly 16,500 ENERGY STAR Certified buildings • Saved nearly $2.3 billion in energy costs annually • Reduced the equivalent of 12 Million Metric Tons of CO2 a year • Equivalent to the emissions from electric use of over 1.5 million homes
BENCHMARKING AND DISCLOSURE POLICIES, 2007 - PRESENT
LOCAL REQUIREMENTS AND POLICY STATUS Benchmarking Jurisdiction Reporting Disclosure Audits RCx (Building Type and Size) Non- Multi- To local On public To To transactional counterparties residential family gov’t web site tenants Sale Lease Financing Austin 10k SF+ 5+ units - - - - - California 10k SF+ - - - - - Washington, DC 50k SF+ 50k SF+ - - - - - - New York City 50k SF+ 50k SF+ - - - - San Francisco 10k SF+ - - - - - Philadelphia 50k SF+ - - - - - Seattle 10k SF+ 5+ units - - - Washington state 10k SF+ - - - - - - Boston Under Consideration Boulder Under Consideration Cambridge Under Consideration Chicago Under Consideration Minneapolis Under Consideration Portland Under Consideration San Jose Under Consideration
BUILDING AREA (IN SQUARE FEET) COVERED ANNUALLY Seattle San Francisco 281 million SF 205 million SF Washington State 247 million SFExisting policies will Austinimpact more than 113 million SF60,000 California 347 million SFbuildings Washington, DC 420 million SF NYCtotaling more than 2.5 billion SF4 billion SF of NUMBER OF BUILDINGS COVERED ANNUALLYfloor space in major San Franciscoreal estate markets 2,700 bldgsover the next few Seattle 9,000 bldgs NYCyears 16,000 bldgs Washington State 4,600 bldgs Washington, DC Austin 1,900 bldgs 2,800 bldgs California 13,600 bldgs
NEW YORK CITYGREENER, GREATERBUILDINGS PLAN Energy benchmarking and public disclosure for large buildings, + mandatory audits, RCx, lighting upgrades and tenant sub metering NYC buildings account for $15 billion annually in energy costs, 94% of NYC electricity usage Properties over 50,000 SF account for ~2% of building stock by number, but 50% of floor area Stock will exist for many, many years
EXISTING BUILDING STOCK IN NYC= 1 million buildings existing today = 85% will still exist in 2030 = 20,000 buildings Rendering courtesy NYC Mayor’s Office of Long-Term Planning and Sustainability
YEAR 1 RESULTS: NEW YORK CITY Approximately 75% overall compliance - Major outreach and training effort - Benchmarking help center by CUNY/NYSERDA - Data supplied by ConEd Significant participation by energy efficiency services vendors and consultants More than 2,300 city buildings benchmarked and disclosed City-wide aggregate analysis of building energy data to be published Year 2 compliance deadline was May Benchmarking data for commercial buildings published in Sept. 2012 Sept. 2012: 1st public Sept. 2013: 1st public disclosure for commercial disclosure for Dec. 2009: Greener, buildings multifamily buildings and Sept. 2011: First publicGreater Buildings Plan 2nd public disclosure for disclosure for municipal adopted commercial buildings facilities 2009 2010 2011 2012 2013 May 2010: All municipal May 2012: 2nd May 2013: 3rd Aug. 2011: 1st benchmarking facilities benchmarked benchmarking benchmarking deadline for privately owned deadline for deadline for multifamily and commercial privately owned privately owned buildings buildings buildings
Economic analysis of benchmarking and Job creation study in New York City found service disclosure policy advised by leaders from USGBC, providers hiring as a result of Greener, Greater TIAA-CREF, Jones Lang LaSalle, CB Richard Ellis Buildings Plan NYU, Bentall Kennedy Primary issue is demand, not financing Create more than 59,000 net new jobs in 2020 Lots of competition among vendors to engage owners on benchmarking with Reduce energy costs for building owners other requirements pending and businesses by $18 billion in 2020
BOMA, RER, IMT, USGBC form DATA Alliance to work with utilities and regulators to secure better access to utility data July 2011: NARUC approves resolution calling on regulators to provide better data access to commercial owners USGBC Existing Authorities memo identifies data access as key EE barrier and calls for increased federal involvement Collaboration with administration on expanding Green Button initiative to include commercial data access
Cliff MajersikExecutive DirectorInstitute for Market Transformationcliff@imt.orgwww.imt.orgwww.buildingrating.orgwww.energydataalliance.org