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Henry G. Love, MBA
Assistant Director
ENERGYCONSUMPTION
INMID-MICHIGAN
A BASELINE STUDY WITH RECOMMENDATIONS
FOR GREATER ENERGY EFFICIENCY
John A. Kinch, PhD,
Executive Director
Michigan Energy Options
John A. Kinch, PhD,
Executive Director
Michigan Energy Options
Henry G. Love, MBA
Assistant Director
ENERGYCONSUMPTION
INMID-MICHIGAN
A BASELINE STUDY WITH RECOMMENDATIONS
FOR GREATER ENERGY EFFICIENCY
THIS STUDY
This energy consumption baseline study was completed in December 2014 by John A. Kinch, PhD,
and Henry G. Love, MBA, of Michigan Energy Options with the help of a great many others.
This report is an abridged version of a more detailed one that is available for reading and downloading at:
http://michiganenergyoptions.org/images/PDFs/mid-michigan-energy-baseline-study.pdf
A downloadable version of this report is available at:
http://michiganenergyoptions.org/images/PDFs/mid-michigan-energy-baseline-study-abridged.pdf
These reports were prepared, in part, to provide the informational foundation for future community
engagement and energy planning for the Michigan Avenue/Grand River Avenue Corridor and the
Tri-County Region. Michigan Energy Options developed and executed this work in consort with the
Mid-Michigan Program for Greater Sustainability (MMPGS). MMPGS was funded, in part, through a
U.S. Department of Housing and Urban Development “Sustainable Communities Regional Planning
Grant” to the Tri-County Regional Planning Commission.
This abridged report is the work of Michigan Energy Options alone and as a result any errors
or omissions in the inventory and analysis methodology are the responsibility of the authors.
MICHIGAN ENERGY OPTIONS
Michigan Energy Options (MEO) is a nonprofit that has been in business since 1978. From our offices
in East Lansing and Marquette we pursue daily our mission of guiding communities toward being more
sustainable and resilient through the adoption of energy efficiency and renewable energy. We do so
by providing our unbiased expertise and research, our results-driven programs and our collaborations
with decision makers, business leaders and residents of Michigan.
Acknowledgments
We have many people and organizations to thank for their contribution to our reports. A complete
listing of these can be found in our full report. We would like to again thank the U.S. Department of
Housing and Urban Development for being the major funder of this work and thank the Tri-County
Regional Planning Commission for their leadership.
Graphic Design by OuterGraphics.
1.
WHAT THIS STUDY TELLS US ABOUT
ENERGY USAGE IN MID-MICHIGAN, AND
WHYITMATTERS.
This “Energy Consumption Baseline Study” provides a comprehensive
portrait of energy usage in the built environment in the Michigan
counties of Ingham, Eaton and Clinton with particular focus on a 20-mile
transportation corridor between downtown Lansing and the village of
Webberville. The intention of this study, as with others like it across the
country, is to gather, or “aggregate,” all the energy consumption (primarily
sourced from electricity and natural gas) in a single year—in our case,
2012. That total then becomes the “baseline” from which the region can
measure future annual consumption patterns whether these are steady,
increasing or decreasing. This study also provides Mid-Michigan the ability
to compare, or “benchmark,” its energy consumption against other similar
communities so as to determine if we are equal, more, or less, efficient
than they are. We also benchmark energy efficiency in specific building
types here against national and regional equivalents.
Why does this matter?
Without establishing an energy baseline, efforts to improve energy efficiency
at a regional, local or even individual building level are largely done without a
foundational metric against which to measure progress and effectiveness.
And why does that matter?
Communities that are energy efficient enjoy stronger and more resilient
economies, have less pollution caused by the burning of coal and natural gas for
power and have buildings that are greener, healthier and less costly to operate.
And, increasingly important, communities across the nation that emphasize
energy efficiency and renewable energy are regarded by their members as a
having a higher “quality of life.”
As the public survey component of our study makes clear: our community
members overwhelmingly want Mid-Michigan to have a “greener” energy future.
2.
THE MICHIGAN AVENUE/GRAND RIVER
CORRIDOR CONSUMES A LOT OF ENERGY—
AND OTHER
STUDYHIGHLIGHTS
Among the results of this study is the aggregation of energy consumption in
Mid-Michigan and the Michigan Avenue/Grand River Corridor. Simple in
concept but difficult to achieve. You’ll see large numbers for energy consumption
in this report. For most of us, however, without a context to understand them,
these numbers are difficult to parse out meaning. Is more than 7,000,000
mmBtus of energy consumed in the corridor in a year a lot? Or a little? So we
provide comparisons to other places to help make sense of these amounts.
Anyway you slice it, our corridor study area (20-miles long and a half-mile wide,
or, 10.25 square miles) uses a lot of energy. The reasons are complex and not
absolutely definitive. But we understand much of what is happening here. Part
of the reason for the high-energy consumption is simply that there are many
buildings in the study area: approximately 7,500. So just aggregating energy data
from that many buildings is going to result in a big number.
These buildings are representative of the type in our region: single homes and
apartment complexes, retail stores, office buildings, schools and a university,
libraries and museums, malls and farms, among others. Downtown Lansing has a
dense concentration of buildings, including high-rises. As you travel east you go
from urban to less dense suburban, exurban and rural built environments—what
is known to community planners as the “urban-rural transect.”
Energy consumption overall is an important part of the story, but it is not the
entire story. “Energy Use Intensity,” or EUI, provides a benchmarking tool
against which to compare the energy performance of our region, the corridor,
building types and even individual buildings. EUI is calculated by taking energy
consumptions and dividing it by the square footage of a building or aggregation
of buildings. In the case of the corridor our EUI is high. And that’s not good. That
means our buildings are consuming energy inefficiently.
MICHIGAN AVE.MICHIGAN AVE.MICHIGAN AVE.
GRAND RIVER
GRAND RIVER
LANSINGLANSING
EAST LANSINGEAST LANSING
WILLIAMSTONWILLIAMSTON
WEBBERVILLEWEBBERVILLE
Meridian
Mall
Meridian
Mall
State
Capitol
State
Capitol
Michigan
State
University
Michigan
State
University
MERIDIAN TWP.MERIDIAN TWP.
The michigan avenue/Grand River Corridor
running from the State Capitol to Webberville
is the focus of this study.
Why is this so? Several reasons with the likeliest culprit being the age of our
buildings: very old. The vast majority of buildings in the corridor were built in the
early to mid-20th century—well before energy efficiency building codes began
in the 1980s. Along Michigan Avenue in Lansing, the average year built for the
homes is 1915. That’s the average.
Ownership of buildings also has a correlation to energy efficiency. Rental
residential and commercial properties tend to be less efficient because tenants
do not invest in upgrades in a property because they do not own it. Further, the
rental property owners often do not upgrade their properties because the renters
pay the utility bills. The incentive to upgrade for both parties is “split”; and all too
often, neither party takes action. The rental rate for houses along the corridor
is high: 70% are rentals; only 30% are owner-occupied. The average home
ownership rate in Michigan is 55%.
Finally, another factor contributing to poor energy efficiency in the residential
sector across the country is poverty: people often don’t have the money to invest
in energy efficiency. We see that occurring in Lansing where 36% of corridor
residents are classified as below poverty. The average county poverty rate in
Michigan is 10.6%.
NEARLY
90%
1980
of corridor buildings were
constructed before Energy
Efficiency building codes.
To recap: the corridor has a lot of buildings, lots of people living and working
there, is arguably the region’s main economic and transportation axis and has
lots of older buildings that have not been upgraded much over the decades
for energy efficiency.
1,431 Commercial Buildings 6,385,842 mmBtus
1,159,982 mmBtus6,059 Residential Buildings
Commercial Buildings use the most energy by far, even
though residential buildings are much more numerous.
buildings
energy use
7.5M
5M
2.5M
0M
mmBtus
COMMERCIAL Residential COMMERCIAL Residential
lansing East lansing meridian Twp.
williamston Webberville Holland
The Corridor uses nearly the same amount
of energy as the entire city of Holland, Mi.
The corridor accounts for
less than 0.6% of the land
area of the tri-county region.
However, it accounts for 5.51%
of energy consumption
Clinton County
Eaton County Ingham County
3.
WHAT’S IN AND WHAT’S
OUTSIDE OF THIS STUDY:
METHODOLOGYANDKEY
ENERGYCONCEPTS.
No two regional energy baseline studies are quite alike. We reviewed
many studies, settling on the most relevant guidance for counties, cities,
villages, townships and multi-county regions: “U.S. Community Protocol
for Accounting and Reporting Greenhouse Gas Emissions.”
The Community Protocol has been utilized for our analysis. Whenever possible
we used actual consumption of energy (“production,” or “sales,” as utilities
refer to this) from the energy suppliers themselves. These energy consumption
records are broken down further into various sectors or categories of use, such
as a city or a building type, among many others. Where we did not have actual
consumption data, we filled gaps through energy modeling and projections based
on state and federal data, following Department of Energy protocols.
Collecting and compiling this data from multiple energy suppliers across
three counties was a challenging task. Our regional study area has 78 political
jurisdictions covered by six utility providers, while our corridor study area has
over 7,500 buildings covered by three utility providers. Energy suppliers in the
State of Michigan are not required to report energy sales by county or for a
corridor and so do not have a standard protocol for doing so.
Total Energy
use by city (mmBtus)
Corridor Energy
use by city (mmBtus)
51,573,947
12,187,913
8,814,798
2,753,714.7 470,633.5
3,496,706
2,702,876
919,926
447,937 179,520
lansing East lansing meridian Twp. williamston Webberville
Total Energy use
by county (mmBtus)
16,691,734.6
36,585,646.5
87,392,778
Ingham Eaton Clinton
TOTAL: 140,670,159 TOTAL: 75,801,006 TOTAL: 7,746,965
And not all energy suppliers use the same means for managing and reporting
their sales data. That said, the Lansing Board of Water  Light, Consumers
Energy, HomeWorks Tri-County Electric Cooperative, SEMCO Energy and the
City of Eaton Rapids provided us a wealth of data for our study.
This energy data, in turn, became the essential input into our online Energy
Modeling Tool, a companion project to the study. The tool allows decisions
makers and stakeholders to model different future energy scenarios, taking
into account changing economic growth and demographics, among other
categories, over the decades to come. This tool, we believe, is extremely
useful to comprehensive energy planning.
KEY ENERGY CONCEPTS
Site vs. Source Energy: Our study uses “source energy” as distinct from “site
energy,” which can be understood as the energy consumed behind a meter.
Source energy is all the energy (and related emissions) needed to deliver that
power to your building, including energy lost on transmission lines, resource
extraction, conversion and related activities.
Energy Emissions: The emissions associated with energy use are greenhouse
gases (GHGs). Examples of GHGs are carbon dioxide, methane, and nitrous oxide.
Combined, these categories of emissions are represented as CO2-e (“carbon
dioxide equivalents”) in our report.
10
Energy Pricing: The energy costs in this study are reported as “nominal” U.S.
dollars, which means they reflect the actual paid price in a given year; in our case,
this is 2012.
Btu: The British Thermal Unit, or Btu, is the standard unit measure of energy or
the heat content of a fuel or energy source. To make energy consumption easier
to understand, we have converted all electricity and heat energy into mmBtus, or,
a million Btus.
Transportation: Our study focused on the “built environment” and not the
transportation sector. But, obviously, energy consumption in this sector is a
big piece of the energy picture for a region. So, for the corridor we included an
estimate of energy consumption and GHG emissions provided by the Tri-County
Regional Planning Commission. The estimate uses “Passenger Car Equivalents”
to gauge the overall energy consumption.
Annual gHG emissions from
1,841,490
Passenger vehicles
Annual gHG emissions from
984,255,332
gallons of gasoline
consumed
CO2 emissions from
1,203,174
homes’ electricity
use for one year
Carbon sequestered by
7,169,735
acres of U.S. forests
in one year
The region produces 9,642,003 Tons of Carbon
Dioxide Equivalents. This is equivalent to:
11
4.
BIG DATA, LITTLE DATA, DISPARATE
DATA, NORMALIZED DATA:
MAKINGSENSEOFENERGYPATTERNS
INTHEBUILTENVIRONMENT.
We based our data gathering on principles and best practices from previous energy
studies. Our study is perhaps novel not only in its focus on a corridor but also in
that it explores the energy consumption in buildings here in a high degree of detail.
Typically, regional or community energy studies focus on the consumption of
energy in public buildings because that data is readily available. Such studies do not
include residential and commercial data because that is proprietary. In our case, we
gathered residential, commercial as well as institutional energy data.
12
We then combined this utility data with various sources for the built
environment, including county tax assessor records. After “cleaning up” this
data, we were able to arrive at the overall square footage of building space in
the corridor. We also further demarcated buildings as to their type/usage:
multiuse, single family, office building and so forth.
By doing so, we are able to determine Energy Use Intensity (EUI) for
particular types of buildings and within particular political jurisdictions and
then benchmarked their performance against national and other peers.
A caveat: our full report goes into much greater detail with multiple tables of
data for those desiring a deeper dive into this portion of the study.
Corridor Energy Use Intensity (EUI) by square foot
lansing
14,712,872 Sq. ft.
East lansing
13,782,705 sq.ft.
meridian Twp.
4,678,464 sq.ft.
williamston
3,235,965 sq.ft.
Webberville
1,199,635 sq.ft.
238
196
197
150
138
0 .5M 1M 1.5M 2m 2.5m 3m 3.5m
Energy Consumed (mmBtus) EUI (mmBtus/1,000 sq.ft.)
EUI is measured as
energy consumption
per square foot
of floor space.
The higher the EUI,
the more energy is
consumed for the
space.
SquareFeetperRegion
0M
10M
20M
30M
40M
13
Energy costs in the region (2012)
$1,227,273,008Energy Costs in the Corridor (2012)
$72,148,975
Total Energy consumption in region (2012)
140,670,159mmBtus
Total Energy consumption in Corridor (2012)
7,746,965mmBtus
Transportation energy consumption in the corridor (2010)
664,068mmBtus
13
14
CaseStudies
Average energy consumption of a large number of buildings tells you little
about the actual consumption of any given building. We felt it important to
ask, “What does a building that has maximized its efficiency look like?” We
found several shining examples on the corridor that have done just this.
15
The Christman Building
The world’s first triple LEED Platinum
building was built in 1928 and is one
of the many historic high-rises in
downtown Lansing. Today it is the
national headquarters of the Christman
Company, an industrial construction
company and leader in creating green
buildings. Chirstman was able to do
an energy efficiency upgrade for this
historic building without compromising
its historic integrity– no easy feat.
Today’s building is considerably more
efficient than it was in the past and it
is also more efficient that the nearby
Lansing City Hall (built in 1958), which
is approximately the same size.
Draheim Family Home
One of only a handful in Michigan,
this LEED Platinum home was built
in 2011. It is a sustainability showcase
with reused and green materials,
landscaping that is drought tolerant
and naturally filters and retains
rainwater, a highly efficient building
envelope and energy efficient
appliances and lighting. This home is
20% more efficient than the average
Midwest home and 71% more efficient
than the average corridor home. More
efficiency translates into lower utility
bills and more money available in the
family budget—not to mention living
in a comfortable, beautiful home.
Christman
Building 1928
0
EUI(mmBtus/1,000sq.ft)
20
40
60
80
100
120
140
Lansing
City Hall
Christman
Building 2012
Christman Building Draheim Home
0
EUI(mmBtus/1,000sq.ft)
10
20
30
40
50
60
80
Draheim
Home
Average
Midwest
Home
Average
corridor
home
70
90
16
Michigan Energy
Options Headquarters
“The greenest building is an existing
building,” as the adage goes. Since
the 1980s, Michigan Energy Options
(MEO) has been headquartered in a
two-story house built in the 1920s.
Energy-efficient building envelope,
lighting, windows, onsite solar, rain
garden, green purchasing policies
and recycling—all combined to earn
MEO LEED Platinum in 2012. Although
functioning as an office, the building is
a house. When we compare our energy
usage to an average Midwest home we
find we are 60% more efficient.
Meridian Township
Main Office Building
This local government has taken
steps toward sustainability over the
years, including improving the energy
performance of their main office
building. Energy efficiency upgrades
have saved tens of thousands of dollars
over the years. Before making these
improvements, the township office was
similar to the average office building’s
Energy Use Intensity. But through
cost-effective improvements, it has been
able to reduce energy consumption by
18%. Saving energy like this benefits
residents since it means fewer of their
tax dollars being spent on township
operating costs.
Michigan
Energy
Options
0
EUI(mmBtus/1,000sq.ft)
20
40
60
80
100
120
140
Average
Midwest
Home
Average
corridor
business
Michigan energy options
Meridian
Township
2012
0
EUI(mmBtus/1,000sq.ft)
20
40
60
80
100
120
140
Meridian
Township
2010
Mean
U.S. Office
meridian township
160
17
Michigan State
University Campus
The campus of Michigan State
University is one of the largest in
the nation. The Energy Information
Administration has indicated that
the mean energy use intensity for
universities across the nation is 10%
lower than MSU’s currently. This is
not surprising given the size and
complexity of MSU’s campus. That said,
MSU has recently reduced its energy
consumption by 17% in two years—a
huge reduction. MSU has ambitious
energy and greenhouse gas reduction
goals for its future. “Go Green!”
MSU 2010
0
EUI(mmBtus/1,000sq.ft)
50
100
150
200
250
300
350
MSU 2012 Mean U.S.
University
Michigan State University
400
18
5.
THE MID-MICHIGAN COMMUNITY
WANTS TO PARTICIPATE IN THEIR
ENERGY FUTURE:
HEREAREAFEWIDEAS
OFHOWWECANDOSO.
We surveyed our community as part of our study. We asked questions about
energy efficiency, renewable energy and future energy planning. Nearly 80% of
respondents felt their community was doing a “poor or fair job” of understanding
important energy issues. Nearly 90% thought codes, zoning ordinances and
policies that require buildings to be more energy efficient were a “good thing.”
And nearly three-quarters said they’d be interested in “actively” participating
in planning for their energy future by working collaboratively with utilities,
governments, businesses and decision makers.
19
Increasingly, this is the trend across the country: communities taking their
local energy future in hand.
What follows are a few recommendations and conclusions from our study based
upon specific results from our work and best practices in place elsewhere:
Community Energy Planning: With our regional energy baseline, we now
have the keystone to begin a Community (or Regional) Energy Planning process.
“Smart Growth” development principles and practices now infuse the vision for
the Michigan Avenue/Grand River Corridor as a result of the recent Sustainable
Regional Planning effort of which this study is a part. We believe we need to
integrate energy more fully into the planning and decision-making for the future
sustainability and prosperity of this region.
Utility Energy Efficiency Programs: The comprehensive data gathering and
analysis in this study should benefit future design of utility energy efficiency
programs, allowing for more targeted approaches to buildings and/or groups
of buildings that are especially inefficient users of energy. Our Energy Planning
Tool could also be built out with additional data overlays so utilities could model
certain actions to see if these would result in the future desired energy savings.
Energy Disclosure and Benchmarking: Many communities across the country
are encouraging or mandating commercial buildings to disclose or benchmark
their energy consumption so prospective tenants can compare between a less
or more energy efficient option. This can be a motivator for building owners to
make energy efficiency improvements—and if combined with utility rebates/
incentives and energy efficiency financing like PACE and Michigan Saves, this
need not be a financial burden to the owner.
20
Distributed Generation: Combined heat and power for institutions, rooftop
solar, community solar, smart grids—“distributed generation” (DG) is becoming
more of the power mix for communities throughout the United States. DG
provides resilience to the grid and it provides hedges against rising costs of
fossil fuels. The Michigan Public Service Commission has devoted stakeholder
workgroups on this subject. In our particular corridor, there are examples of DG
already in place with the Lansing Board of Water  Light’s large solar array on
Michigan Avenue, smart meters being piloted in a residential neighborhood
and a large “community solar park” slated for East Lansing.
Special Districting: 2030 Districts and EcoDistricts are two examples of
carve-outs within jurisdictions in which building owners self-define and
create zones that emphasize greater energy and water conservation, among
other attributes, in properties. We have begun conversations with corridor
stakeholders about this possibility here.
3outof4people surveyed said they would like
to actively participate in planning an
energy future for this region.
21
CODA.
To show our cards, our nonprofit was founded in 1978 to demonstrate the
benefits of energy efficiency and conservation. And when we champion
renewable energy, it is in conjunction with energy efficiency first, not as a
business-as-usual replacement for energy powered by fossil fuels.
When efficiency is combined with renewable energy and emerging
technologies, we believe we have a homegrown solution to the global
problem of burning fossil fuels to power our communities.
Our hope is that our energy baseline study is to be a worthwhile addition
to the growing corpus of such studies nationally. Most importantly to our
mission-driven nonprofit, we hope that what we have learned here will
inform ongoing and future conversations about energy in our region.
22
LearnMore.
This report is an abridged version of a more detailed
one that is available for reading and downloading at:
http://michiganenergyoptions.org/images/PDFs/mid-michigan-energy-baseline-study.pdf
A downloadable version of this report is available at:
http://michiganenergyoptions.org/images/PDFs/mid-michigan-energy-baseline-study-abridged.pdf
23
24
Headquarters
405 Grove Street
East Lansing MI 48823
517.377.0422
Upper Peninsula Office
205 South Front Street, Suite 2F
Marquette, MI 49855
906.226.1136
Info@michiganenergyoptions.org
michiganenergyoptions.org
mid-michigan-energy-baseline-study-abridged

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mid-michigan-energy-baseline-study-abridged

  • 1. Henry G. Love, MBA Assistant Director ENERGYCONSUMPTION INMID-MICHIGAN A BASELINE STUDY WITH RECOMMENDATIONS FOR GREATER ENERGY EFFICIENCY John A. Kinch, PhD, Executive Director Michigan Energy Options
  • 2. John A. Kinch, PhD, Executive Director Michigan Energy Options Henry G. Love, MBA Assistant Director ENERGYCONSUMPTION INMID-MICHIGAN A BASELINE STUDY WITH RECOMMENDATIONS FOR GREATER ENERGY EFFICIENCY
  • 3. THIS STUDY This energy consumption baseline study was completed in December 2014 by John A. Kinch, PhD, and Henry G. Love, MBA, of Michigan Energy Options with the help of a great many others. This report is an abridged version of a more detailed one that is available for reading and downloading at: http://michiganenergyoptions.org/images/PDFs/mid-michigan-energy-baseline-study.pdf A downloadable version of this report is available at: http://michiganenergyoptions.org/images/PDFs/mid-michigan-energy-baseline-study-abridged.pdf These reports were prepared, in part, to provide the informational foundation for future community engagement and energy planning for the Michigan Avenue/Grand River Avenue Corridor and the Tri-County Region. Michigan Energy Options developed and executed this work in consort with the Mid-Michigan Program for Greater Sustainability (MMPGS). MMPGS was funded, in part, through a U.S. Department of Housing and Urban Development “Sustainable Communities Regional Planning Grant” to the Tri-County Regional Planning Commission. This abridged report is the work of Michigan Energy Options alone and as a result any errors or omissions in the inventory and analysis methodology are the responsibility of the authors. MICHIGAN ENERGY OPTIONS Michigan Energy Options (MEO) is a nonprofit that has been in business since 1978. From our offices in East Lansing and Marquette we pursue daily our mission of guiding communities toward being more sustainable and resilient through the adoption of energy efficiency and renewable energy. We do so by providing our unbiased expertise and research, our results-driven programs and our collaborations with decision makers, business leaders and residents of Michigan. Acknowledgments We have many people and organizations to thank for their contribution to our reports. A complete listing of these can be found in our full report. We would like to again thank the U.S. Department of Housing and Urban Development for being the major funder of this work and thank the Tri-County Regional Planning Commission for their leadership. Graphic Design by OuterGraphics.
  • 4. 1. WHAT THIS STUDY TELLS US ABOUT ENERGY USAGE IN MID-MICHIGAN, AND WHYITMATTERS. This “Energy Consumption Baseline Study” provides a comprehensive portrait of energy usage in the built environment in the Michigan counties of Ingham, Eaton and Clinton with particular focus on a 20-mile transportation corridor between downtown Lansing and the village of Webberville. The intention of this study, as with others like it across the country, is to gather, or “aggregate,” all the energy consumption (primarily sourced from electricity and natural gas) in a single year—in our case, 2012. That total then becomes the “baseline” from which the region can measure future annual consumption patterns whether these are steady, increasing or decreasing. This study also provides Mid-Michigan the ability to compare, or “benchmark,” its energy consumption against other similar communities so as to determine if we are equal, more, or less, efficient than they are. We also benchmark energy efficiency in specific building types here against national and regional equivalents.
  • 5. Why does this matter? Without establishing an energy baseline, efforts to improve energy efficiency at a regional, local or even individual building level are largely done without a foundational metric against which to measure progress and effectiveness. And why does that matter? Communities that are energy efficient enjoy stronger and more resilient economies, have less pollution caused by the burning of coal and natural gas for power and have buildings that are greener, healthier and less costly to operate. And, increasingly important, communities across the nation that emphasize energy efficiency and renewable energy are regarded by their members as a having a higher “quality of life.” As the public survey component of our study makes clear: our community members overwhelmingly want Mid-Michigan to have a “greener” energy future.
  • 6. 2. THE MICHIGAN AVENUE/GRAND RIVER CORRIDOR CONSUMES A LOT OF ENERGY— AND OTHER STUDYHIGHLIGHTS Among the results of this study is the aggregation of energy consumption in Mid-Michigan and the Michigan Avenue/Grand River Corridor. Simple in concept but difficult to achieve. You’ll see large numbers for energy consumption in this report. For most of us, however, without a context to understand them, these numbers are difficult to parse out meaning. Is more than 7,000,000 mmBtus of energy consumed in the corridor in a year a lot? Or a little? So we provide comparisons to other places to help make sense of these amounts.
  • 7. Anyway you slice it, our corridor study area (20-miles long and a half-mile wide, or, 10.25 square miles) uses a lot of energy. The reasons are complex and not absolutely definitive. But we understand much of what is happening here. Part of the reason for the high-energy consumption is simply that there are many buildings in the study area: approximately 7,500. So just aggregating energy data from that many buildings is going to result in a big number. These buildings are representative of the type in our region: single homes and apartment complexes, retail stores, office buildings, schools and a university, libraries and museums, malls and farms, among others. Downtown Lansing has a dense concentration of buildings, including high-rises. As you travel east you go from urban to less dense suburban, exurban and rural built environments—what is known to community planners as the “urban-rural transect.” Energy consumption overall is an important part of the story, but it is not the entire story. “Energy Use Intensity,” or EUI, provides a benchmarking tool against which to compare the energy performance of our region, the corridor, building types and even individual buildings. EUI is calculated by taking energy consumptions and dividing it by the square footage of a building or aggregation of buildings. In the case of the corridor our EUI is high. And that’s not good. That means our buildings are consuming energy inefficiently. MICHIGAN AVE.MICHIGAN AVE.MICHIGAN AVE. GRAND RIVER GRAND RIVER LANSINGLANSING EAST LANSINGEAST LANSING WILLIAMSTONWILLIAMSTON WEBBERVILLEWEBBERVILLE Meridian Mall Meridian Mall State Capitol State Capitol Michigan State University Michigan State University MERIDIAN TWP.MERIDIAN TWP. The michigan avenue/Grand River Corridor running from the State Capitol to Webberville is the focus of this study.
  • 8. Why is this so? Several reasons with the likeliest culprit being the age of our buildings: very old. The vast majority of buildings in the corridor were built in the early to mid-20th century—well before energy efficiency building codes began in the 1980s. Along Michigan Avenue in Lansing, the average year built for the homes is 1915. That’s the average. Ownership of buildings also has a correlation to energy efficiency. Rental residential and commercial properties tend to be less efficient because tenants do not invest in upgrades in a property because they do not own it. Further, the rental property owners often do not upgrade their properties because the renters pay the utility bills. The incentive to upgrade for both parties is “split”; and all too often, neither party takes action. The rental rate for houses along the corridor is high: 70% are rentals; only 30% are owner-occupied. The average home ownership rate in Michigan is 55%. Finally, another factor contributing to poor energy efficiency in the residential sector across the country is poverty: people often don’t have the money to invest in energy efficiency. We see that occurring in Lansing where 36% of corridor residents are classified as below poverty. The average county poverty rate in Michigan is 10.6%. NEARLY 90% 1980 of corridor buildings were constructed before Energy Efficiency building codes.
  • 9. To recap: the corridor has a lot of buildings, lots of people living and working there, is arguably the region’s main economic and transportation axis and has lots of older buildings that have not been upgraded much over the decades for energy efficiency. 1,431 Commercial Buildings 6,385,842 mmBtus 1,159,982 mmBtus6,059 Residential Buildings Commercial Buildings use the most energy by far, even though residential buildings are much more numerous. buildings energy use 7.5M 5M 2.5M 0M mmBtus COMMERCIAL Residential COMMERCIAL Residential lansing East lansing meridian Twp. williamston Webberville Holland The Corridor uses nearly the same amount of energy as the entire city of Holland, Mi. The corridor accounts for less than 0.6% of the land area of the tri-county region. However, it accounts for 5.51% of energy consumption Clinton County Eaton County Ingham County
  • 10. 3. WHAT’S IN AND WHAT’S OUTSIDE OF THIS STUDY: METHODOLOGYANDKEY ENERGYCONCEPTS. No two regional energy baseline studies are quite alike. We reviewed many studies, settling on the most relevant guidance for counties, cities, villages, townships and multi-county regions: “U.S. Community Protocol for Accounting and Reporting Greenhouse Gas Emissions.”
  • 11. The Community Protocol has been utilized for our analysis. Whenever possible we used actual consumption of energy (“production,” or “sales,” as utilities refer to this) from the energy suppliers themselves. These energy consumption records are broken down further into various sectors or categories of use, such as a city or a building type, among many others. Where we did not have actual consumption data, we filled gaps through energy modeling and projections based on state and federal data, following Department of Energy protocols. Collecting and compiling this data from multiple energy suppliers across three counties was a challenging task. Our regional study area has 78 political jurisdictions covered by six utility providers, while our corridor study area has over 7,500 buildings covered by three utility providers. Energy suppliers in the State of Michigan are not required to report energy sales by county or for a corridor and so do not have a standard protocol for doing so. Total Energy use by city (mmBtus) Corridor Energy use by city (mmBtus) 51,573,947 12,187,913 8,814,798 2,753,714.7 470,633.5 3,496,706 2,702,876 919,926 447,937 179,520 lansing East lansing meridian Twp. williamston Webberville Total Energy use by county (mmBtus) 16,691,734.6 36,585,646.5 87,392,778 Ingham Eaton Clinton TOTAL: 140,670,159 TOTAL: 75,801,006 TOTAL: 7,746,965
  • 12. And not all energy suppliers use the same means for managing and reporting their sales data. That said, the Lansing Board of Water Light, Consumers Energy, HomeWorks Tri-County Electric Cooperative, SEMCO Energy and the City of Eaton Rapids provided us a wealth of data for our study. This energy data, in turn, became the essential input into our online Energy Modeling Tool, a companion project to the study. The tool allows decisions makers and stakeholders to model different future energy scenarios, taking into account changing economic growth and demographics, among other categories, over the decades to come. This tool, we believe, is extremely useful to comprehensive energy planning. KEY ENERGY CONCEPTS Site vs. Source Energy: Our study uses “source energy” as distinct from “site energy,” which can be understood as the energy consumed behind a meter. Source energy is all the energy (and related emissions) needed to deliver that power to your building, including energy lost on transmission lines, resource extraction, conversion and related activities. Energy Emissions: The emissions associated with energy use are greenhouse gases (GHGs). Examples of GHGs are carbon dioxide, methane, and nitrous oxide. Combined, these categories of emissions are represented as CO2-e (“carbon dioxide equivalents”) in our report.
  • 13. 10 Energy Pricing: The energy costs in this study are reported as “nominal” U.S. dollars, which means they reflect the actual paid price in a given year; in our case, this is 2012. Btu: The British Thermal Unit, or Btu, is the standard unit measure of energy or the heat content of a fuel or energy source. To make energy consumption easier to understand, we have converted all electricity and heat energy into mmBtus, or, a million Btus. Transportation: Our study focused on the “built environment” and not the transportation sector. But, obviously, energy consumption in this sector is a big piece of the energy picture for a region. So, for the corridor we included an estimate of energy consumption and GHG emissions provided by the Tri-County Regional Planning Commission. The estimate uses “Passenger Car Equivalents” to gauge the overall energy consumption. Annual gHG emissions from 1,841,490 Passenger vehicles Annual gHG emissions from 984,255,332 gallons of gasoline consumed CO2 emissions from 1,203,174 homes’ electricity use for one year Carbon sequestered by 7,169,735 acres of U.S. forests in one year The region produces 9,642,003 Tons of Carbon Dioxide Equivalents. This is equivalent to:
  • 14. 11 4. BIG DATA, LITTLE DATA, DISPARATE DATA, NORMALIZED DATA: MAKINGSENSEOFENERGYPATTERNS INTHEBUILTENVIRONMENT. We based our data gathering on principles and best practices from previous energy studies. Our study is perhaps novel not only in its focus on a corridor but also in that it explores the energy consumption in buildings here in a high degree of detail. Typically, regional or community energy studies focus on the consumption of energy in public buildings because that data is readily available. Such studies do not include residential and commercial data because that is proprietary. In our case, we gathered residential, commercial as well as institutional energy data.
  • 15. 12 We then combined this utility data with various sources for the built environment, including county tax assessor records. After “cleaning up” this data, we were able to arrive at the overall square footage of building space in the corridor. We also further demarcated buildings as to their type/usage: multiuse, single family, office building and so forth. By doing so, we are able to determine Energy Use Intensity (EUI) for particular types of buildings and within particular political jurisdictions and then benchmarked their performance against national and other peers. A caveat: our full report goes into much greater detail with multiple tables of data for those desiring a deeper dive into this portion of the study. Corridor Energy Use Intensity (EUI) by square foot lansing 14,712,872 Sq. ft. East lansing 13,782,705 sq.ft. meridian Twp. 4,678,464 sq.ft. williamston 3,235,965 sq.ft. Webberville 1,199,635 sq.ft. 238 196 197 150 138 0 .5M 1M 1.5M 2m 2.5m 3m 3.5m Energy Consumed (mmBtus) EUI (mmBtus/1,000 sq.ft.) EUI is measured as energy consumption per square foot of floor space. The higher the EUI, the more energy is consumed for the space. SquareFeetperRegion 0M 10M 20M 30M 40M
  • 16. 13 Energy costs in the region (2012) $1,227,273,008Energy Costs in the Corridor (2012) $72,148,975 Total Energy consumption in region (2012) 140,670,159mmBtus Total Energy consumption in Corridor (2012) 7,746,965mmBtus Transportation energy consumption in the corridor (2010) 664,068mmBtus 13
  • 17. 14 CaseStudies Average energy consumption of a large number of buildings tells you little about the actual consumption of any given building. We felt it important to ask, “What does a building that has maximized its efficiency look like?” We found several shining examples on the corridor that have done just this.
  • 18. 15 The Christman Building The world’s first triple LEED Platinum building was built in 1928 and is one of the many historic high-rises in downtown Lansing. Today it is the national headquarters of the Christman Company, an industrial construction company and leader in creating green buildings. Chirstman was able to do an energy efficiency upgrade for this historic building without compromising its historic integrity– no easy feat. Today’s building is considerably more efficient than it was in the past and it is also more efficient that the nearby Lansing City Hall (built in 1958), which is approximately the same size. Draheim Family Home One of only a handful in Michigan, this LEED Platinum home was built in 2011. It is a sustainability showcase with reused and green materials, landscaping that is drought tolerant and naturally filters and retains rainwater, a highly efficient building envelope and energy efficient appliances and lighting. This home is 20% more efficient than the average Midwest home and 71% more efficient than the average corridor home. More efficiency translates into lower utility bills and more money available in the family budget—not to mention living in a comfortable, beautiful home. Christman Building 1928 0 EUI(mmBtus/1,000sq.ft) 20 40 60 80 100 120 140 Lansing City Hall Christman Building 2012 Christman Building Draheim Home 0 EUI(mmBtus/1,000sq.ft) 10 20 30 40 50 60 80 Draheim Home Average Midwest Home Average corridor home 70 90
  • 19. 16 Michigan Energy Options Headquarters “The greenest building is an existing building,” as the adage goes. Since the 1980s, Michigan Energy Options (MEO) has been headquartered in a two-story house built in the 1920s. Energy-efficient building envelope, lighting, windows, onsite solar, rain garden, green purchasing policies and recycling—all combined to earn MEO LEED Platinum in 2012. Although functioning as an office, the building is a house. When we compare our energy usage to an average Midwest home we find we are 60% more efficient. Meridian Township Main Office Building This local government has taken steps toward sustainability over the years, including improving the energy performance of their main office building. Energy efficiency upgrades have saved tens of thousands of dollars over the years. Before making these improvements, the township office was similar to the average office building’s Energy Use Intensity. But through cost-effective improvements, it has been able to reduce energy consumption by 18%. Saving energy like this benefits residents since it means fewer of their tax dollars being spent on township operating costs. Michigan Energy Options 0 EUI(mmBtus/1,000sq.ft) 20 40 60 80 100 120 140 Average Midwest Home Average corridor business Michigan energy options Meridian Township 2012 0 EUI(mmBtus/1,000sq.ft) 20 40 60 80 100 120 140 Meridian Township 2010 Mean U.S. Office meridian township 160
  • 20. 17 Michigan State University Campus The campus of Michigan State University is one of the largest in the nation. The Energy Information Administration has indicated that the mean energy use intensity for universities across the nation is 10% lower than MSU’s currently. This is not surprising given the size and complexity of MSU’s campus. That said, MSU has recently reduced its energy consumption by 17% in two years—a huge reduction. MSU has ambitious energy and greenhouse gas reduction goals for its future. “Go Green!” MSU 2010 0 EUI(mmBtus/1,000sq.ft) 50 100 150 200 250 300 350 MSU 2012 Mean U.S. University Michigan State University 400
  • 21. 18 5. THE MID-MICHIGAN COMMUNITY WANTS TO PARTICIPATE IN THEIR ENERGY FUTURE: HEREAREAFEWIDEAS OFHOWWECANDOSO. We surveyed our community as part of our study. We asked questions about energy efficiency, renewable energy and future energy planning. Nearly 80% of respondents felt their community was doing a “poor or fair job” of understanding important energy issues. Nearly 90% thought codes, zoning ordinances and policies that require buildings to be more energy efficient were a “good thing.” And nearly three-quarters said they’d be interested in “actively” participating in planning for their energy future by working collaboratively with utilities, governments, businesses and decision makers.
  • 22. 19 Increasingly, this is the trend across the country: communities taking their local energy future in hand. What follows are a few recommendations and conclusions from our study based upon specific results from our work and best practices in place elsewhere: Community Energy Planning: With our regional energy baseline, we now have the keystone to begin a Community (or Regional) Energy Planning process. “Smart Growth” development principles and practices now infuse the vision for the Michigan Avenue/Grand River Corridor as a result of the recent Sustainable Regional Planning effort of which this study is a part. We believe we need to integrate energy more fully into the planning and decision-making for the future sustainability and prosperity of this region. Utility Energy Efficiency Programs: The comprehensive data gathering and analysis in this study should benefit future design of utility energy efficiency programs, allowing for more targeted approaches to buildings and/or groups of buildings that are especially inefficient users of energy. Our Energy Planning Tool could also be built out with additional data overlays so utilities could model certain actions to see if these would result in the future desired energy savings. Energy Disclosure and Benchmarking: Many communities across the country are encouraging or mandating commercial buildings to disclose or benchmark their energy consumption so prospective tenants can compare between a less or more energy efficient option. This can be a motivator for building owners to make energy efficiency improvements—and if combined with utility rebates/ incentives and energy efficiency financing like PACE and Michigan Saves, this need not be a financial burden to the owner.
  • 23. 20 Distributed Generation: Combined heat and power for institutions, rooftop solar, community solar, smart grids—“distributed generation” (DG) is becoming more of the power mix for communities throughout the United States. DG provides resilience to the grid and it provides hedges against rising costs of fossil fuels. The Michigan Public Service Commission has devoted stakeholder workgroups on this subject. In our particular corridor, there are examples of DG already in place with the Lansing Board of Water Light’s large solar array on Michigan Avenue, smart meters being piloted in a residential neighborhood and a large “community solar park” slated for East Lansing. Special Districting: 2030 Districts and EcoDistricts are two examples of carve-outs within jurisdictions in which building owners self-define and create zones that emphasize greater energy and water conservation, among other attributes, in properties. We have begun conversations with corridor stakeholders about this possibility here. 3outof4people surveyed said they would like to actively participate in planning an energy future for this region.
  • 24. 21 CODA. To show our cards, our nonprofit was founded in 1978 to demonstrate the benefits of energy efficiency and conservation. And when we champion renewable energy, it is in conjunction with energy efficiency first, not as a business-as-usual replacement for energy powered by fossil fuels. When efficiency is combined with renewable energy and emerging technologies, we believe we have a homegrown solution to the global problem of burning fossil fuels to power our communities. Our hope is that our energy baseline study is to be a worthwhile addition to the growing corpus of such studies nationally. Most importantly to our mission-driven nonprofit, we hope that what we have learned here will inform ongoing and future conversations about energy in our region.
  • 25. 22 LearnMore. This report is an abridged version of a more detailed one that is available for reading and downloading at: http://michiganenergyoptions.org/images/PDFs/mid-michigan-energy-baseline-study.pdf A downloadable version of this report is available at: http://michiganenergyoptions.org/images/PDFs/mid-michigan-energy-baseline-study-abridged.pdf
  • 26. 23
  • 27. 24 Headquarters 405 Grove Street East Lansing MI 48823 517.377.0422 Upper Peninsula Office 205 South Front Street, Suite 2F Marquette, MI 49855 906.226.1136 Info@michiganenergyoptions.org michiganenergyoptions.org