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High Performance Buildings:
Achieving Superior Performance for Life

William Sekkel
President, Latin America
Ingersoll Rand Climate Solutions
My Background

•    Ingersoll Rand Climate Solutions operations for Latin
     America includes responsibility for industry-leading
     Trane and Thermo King brands
•    More than 30 years of HVAC industry experience
•    Studied physics at University of Sao Paulo
•    Former vice president of Abrava e do Sindratar
•    Served on advisory board of the HVAC-R SENAI school
     in Sao Paulo




       2   Achieving Superior Performance for Life
Our Agenda

                  High Performance Buildings:
                  Achieving Superior Performance for Life

• Today’s Brazilian operating realities

• What is a High Performance Building?

• Adopting a High Performance Buildings for Life approach

• Trane High Performance Buildings for Life offering

• Case study

• Your questions




   3   Achieving Superior Performance for Life
Today’s Brazilian Operating Realities
• Organizations are focused on doing more with less
   – Productivity, cost reduction are orders of the day
   – Access to cash and credit remains challenging
   – No appetite for capital investments without clear payback

• National energy use growing at >7% YOY (EPE-Empresa de
  Pesquisa de Energia)

• Brazil has world’s 4th highest national energy costs (Firjan)

• Buildings consume 42% of Brazil’s electricity (Min M.E.-Brasil)
 and cause 30% of CO2 emissions (ONU-United Nations)

• Energy equals ~40% of a building’s operating costs

• There’s an increase in public policy activity aimed at:
   – Reducing energy consumption and protecting the environment (Procel-
     Edifica)
   – Building on Brazil’s high ranking (5th in the world) in LEED Certification
     construction (GBC-Brazil)
            Unprecedented challenges in our energy and operating environments

       4   Achieving Superior Performance for Life
Opportunities for Energy Conservation in Brazil


                                                                    Comfort
                                                  Safety
                                                         Efficiency




   “Despite having had an energy efficiency program (PROCEL) since
   1985 and a thriving ESCO (energy service companies) industry, an
   estimated $2.5 billion (U.S.) in potential energy efficiency
   improvements remain untapped (in Brazil) every year.”
                                                                 The World Bank


              Great potential in high performance green building approach



   5   Achieving Superior Performance for Life
High Performance Buildings Defined

High performance buildings:
• Are safe, comfortable and efficient
• Help owners and occupants achieve their business mission
• Follow LEED and Green Building Council – Brazil guidelines
• Meet specific standards for energy and water use, system
   reliability and uptime, environmental compliance, occupant
   comfort and safety and other success factors




       High performance buildings deliver optimal
         efficiency, reliability, value and comfort



   6   Achieving Superior Performance for Life
HPB- A Whole Lifecycle Approach

•   Aligned with LEED and GBC-B standards
•   Standards based on desired performance levels
    and industry benchmarks are typically set for:
     – Energy and water consumption
     – System reliability
     – Environmental compliance
     – Occupant health, safety and comfort
•   Typical buildings have occupied lives of 50-75
    years or longer
•   Operating costs typically account for 60-85% of
    building lifecycle costs – compared to 5-10% for
    design and construction costs
•   Performance standards are measured and
    continually validated to deliver the desired
    outcomes

        Sizeable opportunities to improve the performance of existing structures



    7   Achieving Superior Performance for Life
Service Innovations Enable Performance for Life
Holistic, technology-enabled, knowledge-based approach is integral to
establishing and sustaining standards throughout a building’s occupied lifespan

   • Embracing predictive building maintenance strategies
   • Establishing and maintaining sound operating metrics
   • Adopting performance-based service concepts




  A poorly designed building operated and maintained effectively outperforms a
  well-designed building with poor operating and maintenance practices


   8   Achieving Superior Performance for Life
Adopting a High Performance Building For Life Approach




   9   Achieving Superior Performance for Life
Focus on Retrofit Opportunities
Improving existing buildings’ performance for life
• Improving performance of existing buildings offers huge
  opportunity for Brazilian owners and operators
• Energy efficiency improvements can yield 20-50% savings
• 15-to-1 return on investment including occupant health,
  energy savings and operational savings (GBC-Brazil)
• Ability to reduce buildings’ environmental impact
• Proven technology, low risk retrofit approaches and
  financing are available to public and private entities
• Critical building system audits identify the right approach to
  implementing high performance for life




       Huge opportunity to improve performance of existing buildings


  10   Achieving Superior Performance for Life
Conduct a Critical Building Systems Audit

 •    Assemble a team
 •    Choose a qualified energy services
      partner with experience in Brazil
 •    Define program objectives
       – Reduce operating costs
       – Increase operational
          performance
       – Improve occupant comfort and
          safety
       – Enhance employee productivity
       – Achieve environmental
          certification


     Build an energy management team with buy-in from key internal stakeholders,
                  including owners, managers and department heads



     11   Achieving Superior Performance for Life
What Kinds of Changes Make Financial Sense?

        Quick Return                          Intermediate              Long-Term
       (0-2 yr payback)                      (2-4 yr payback)
  Update existing building             Install new building       Replace high efficiency
  automation systems                   automation system          equipment (major systems
                                                                  chiller/boilers)
  Conduct energy/critical              Improve HVAC systems       Improve building envelope
  systems audit                        (constant -variable
                                       volume)
  Make behavioral changes              Implement water            Apply renewable
  (turn lights off, program            conservation               technologies
  systems)
  Explore utility procurement Use fans and motors                 Apply on site/distributive
  options                     (VFDs, high efficiency              power generation
                              change outs)
  Check, inspect and repair            Apply load shifting        Implement comprehensive
  equipment                            technology (ice storage)   maintenance strategies

       Taking a lifecycle, whole-building approach offers the best long-term ROI


  12    Achieving Superior Performance for Life
Energy Conservation Measures
Major ECM Category             ECM Type             Technology/ECM Name                                                         Rating

          Controls             General/Special      Upgrade to Direct Digital Control                                              100%
         Industrial            Compressed Air       Implement Compressed Air Utility Management                                    100%
           Water                 Reduce Use         Install Low Flow/Use Fixtures                                                   96%
          Controls             General/Special      Retro/Recommission Controls for Optimizing •Savings                             94%
                                                                                                        Many, many Energy Conservation
          Controls             General/Special      Install Lab Hoods Control - Flow Safe Lab Hoods Measure (ECM) technologies and  94%
 Supply Side Management     Manage Energy Supply    Change Regulated Utility Rate/Tariff                applications  need a methodology
                                                                                                                                    94%
           Water               Smart Metering                                                           to assess and rate
                                                    Install Smart Meters & software -- for Billing & Accuracy                       94%
        Electrical                 Lighting         Install Lighting Controls                      •    Methodology developed using Six
                                                                                                                                    92%
                                                                                                        Sigma analysis processes and tools
        Electrical                 Lighting         Replace T-8s for HiBays with T5s                                                92%
                                                                                                   •    Evaluation process based on 5 key
           Plant                   Boilers          Install Tankless/Instantanious Water Heaters                                    92%
                                                                                                        customer and Trane “importance
 Supply Side Management     Manage Energy Supply    Change to Interruptible Rates and Use Electric Generators
                                                                                                        factors”                    92%
       Architectural              Envelope          Install Weather-Stripping                             –                         92%
                                                                                                               Savings potential, Practicality,
        Electrical                 Lighting         Upgrade Fluorescent Fixtures w/ T8 or T5 Lamps and Electronic Ballasts
                                                                                                               Commercial viability,92%
                                                                                                                                     Risk
        Electrical                 Lighting         Retrofit Incandescent Lamps w/ Compact Fluorescent Lamps   management, Business 92%
        Electrical                 Lighting         Replace Exit Sign w/new LED Fixture                        differentiation      92%
           Plant                   Boilers          Adjust Burner as Regular Maintenance           •    Score of 0-100% with 100% being the
                                                                                                                                    92%
HVAC (Building/ Non-Plant)      Unit Upgrade        Convert CV to VAV                                   best ranking                88%
HVAC (Building/ Non-Plant)      Unit Upgrade        Convert Dual Duct to VAV                                                       88%
        Electrical                 Lighting         Replace HID HiBay fixtures with T5s or T8s                                     86%
        Electrical                 Lighting         Add LED night lights in halls                                                  86%
       Architectural                 Roof
                           Water Source Heat Pump   New Construction with Green Roofs (Plants)                                     85%
           Plant                  Systems           Install Water Source Heat Pump System                                          83%
           Plant              Motors/Pumping        Install VFD/VSDs for Pumps                                                     81%
          Controls                Resetting         Reduce Outdoor Air To Design Level                                             78%
          Controls                Resetting         CO2-Based Demand-Controlled Ventilation                                        78%

                      Use Six Sigma methodology to select energy measures

    13    Achieving Superior Performance for Life
Trane High Performance Buildings Capabilities:
Organizations Achieve Financial, Sustainability and
Productivity Goals




 14   Achieving Superior Performance for Life
What Trane Offers in Brazil
We make the High Performance Buildings concept tangible and real
Offerings for new buildings, major
refurbishments and existing
installations
•    Understanding national regulations and
     LEED certification requirements
•    Applying Green Building Council – Brazil
     guidelines
•    Identifying measures to improve energy
     efficiency, reduce operating costs
•    Developing customer-specific solutions
     to boost efficiency, productivity and
     mission effectiveness
•    Replacing and retrofitting outdated
     equipment
•    Servicing and maintaining design
     conditions for life
                Growing our high performance building capabilities in Brazil


    15   Achieving Superior Performance for Life
Trane Intelligent Services Maximizes ROI
Leverages an existing facility’s investments by using technology to access
operational data and optimize building performance
   •   Benchmarking current building performance
   •   Using custom analytics to provide performance improvement recommendations
   •   Performing recommended actions to meet business needs
   •   Continuously monitoring and analyzing data against operating benchmarks
   •   Documenting progress toward high performance building status




   Growing capabilities to provide a new level of service to Brazilian customers



  16   Achieving Superior Performance for Life
Creating New Ways to Think About Service
Leveraging technology to create a whole-building, total-lifecycle, knowledge-
based approach to establishing and maintaining performance standards

                Service Today                             Service Tomorrow

   •    Component based                          •   Component & system based
   •    Moment-in-time view                      •   Continuous (past & present)
   •    Human intelligence – best                •   Collaborative “brain trust” + human
        individual                                   intelligence
   •    Low tech                                 •   Leverage technology
   •    Reactive, corrective                     •   Proactive, preemptive, predictive
   •    Truck based, slow response               •   Immediate access, automated
   •    Word of mouth benefits                   •   Performance scorecard



        Taking a holistic, technology-enabled approach to high performance


  17   Achieving Superior Performance for Life
Proving the Model:
Case Examples of Organizations on the
High Performance Building Journey




 18   Achieving Superior Performance for Life
High Performance Building Case Study
Large Office Building in Alphaville - Sao Paulo     RESULTS
  SITUATION                                         • Estimated 30 percent annual
                                                      energy savings
  • Developer wanted to create an
    environmentally responsible +30,000-sq-         • Improved flexibility to cost-
    meter development to optimize occupant            effectively meet tenant needs
    comfort and productivity                        • Reduced noise levels
                                                    • Less environmental impact
  APPROACH
  • Trane worked with the developer to create
    a high performance approach including:
       – Innovative water-cooled HVAC
         systems
       – Multiple HVAC units with variable
         frequency fans to reduce energy
         waste
       – Sophisticated Factory Mounted
         Controls Systems

                Addressing building owner needs with service innovation


   19   Achieving Superior Performance for Life
Bottom-Line Case for High Performance Buildings



 Energy efficiency makes more                    Link the building to its primary
 sense than ever                                 business mission

 Environmental performance is                    Determine the funding strategy
 becoming more critical
                                                 Understand energy conservation
 Organizational performance and                  measures and their payback
 employee productivity drive
 value, ROI                                      Focus on total cost of ownership
                                                 over occupied life
 Effective service strategy
 maintains lifecycle performance                 Conduct the financial analysis –
                                                 including cash flow



  20   Achieving Superior Performance for Life
High Performance Buildings for Life




   21   Achieving Superior Performance for Life
Contact Information

                                        William Sekkel
                             President, Latin America
                         Ingersoll Rand Climate Solutions

                                      +1 305 592 8646
                                     sekkelww@irco.com




                                                 http://www.cees.ingersollrand.com/




  22   Achieving Superior Performance for Life
Your Questions




23   Achieving Superior Performance for Life

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High Performance Buidlings for Brazil

  • 1. High Performance Buildings: Achieving Superior Performance for Life William Sekkel President, Latin America Ingersoll Rand Climate Solutions
  • 2. My Background • Ingersoll Rand Climate Solutions operations for Latin America includes responsibility for industry-leading Trane and Thermo King brands • More than 30 years of HVAC industry experience • Studied physics at University of Sao Paulo • Former vice president of Abrava e do Sindratar • Served on advisory board of the HVAC-R SENAI school in Sao Paulo 2 Achieving Superior Performance for Life
  • 3. Our Agenda High Performance Buildings: Achieving Superior Performance for Life • Today’s Brazilian operating realities • What is a High Performance Building? • Adopting a High Performance Buildings for Life approach • Trane High Performance Buildings for Life offering • Case study • Your questions 3 Achieving Superior Performance for Life
  • 4. Today’s Brazilian Operating Realities • Organizations are focused on doing more with less – Productivity, cost reduction are orders of the day – Access to cash and credit remains challenging – No appetite for capital investments without clear payback • National energy use growing at >7% YOY (EPE-Empresa de Pesquisa de Energia) • Brazil has world’s 4th highest national energy costs (Firjan) • Buildings consume 42% of Brazil’s electricity (Min M.E.-Brasil) and cause 30% of CO2 emissions (ONU-United Nations) • Energy equals ~40% of a building’s operating costs • There’s an increase in public policy activity aimed at: – Reducing energy consumption and protecting the environment (Procel- Edifica) – Building on Brazil’s high ranking (5th in the world) in LEED Certification construction (GBC-Brazil) Unprecedented challenges in our energy and operating environments 4 Achieving Superior Performance for Life
  • 5. Opportunities for Energy Conservation in Brazil Comfort Safety Efficiency “Despite having had an energy efficiency program (PROCEL) since 1985 and a thriving ESCO (energy service companies) industry, an estimated $2.5 billion (U.S.) in potential energy efficiency improvements remain untapped (in Brazil) every year.” The World Bank Great potential in high performance green building approach 5 Achieving Superior Performance for Life
  • 6. High Performance Buildings Defined High performance buildings: • Are safe, comfortable and efficient • Help owners and occupants achieve their business mission • Follow LEED and Green Building Council – Brazil guidelines • Meet specific standards for energy and water use, system reliability and uptime, environmental compliance, occupant comfort and safety and other success factors High performance buildings deliver optimal efficiency, reliability, value and comfort 6 Achieving Superior Performance for Life
  • 7. HPB- A Whole Lifecycle Approach • Aligned with LEED and GBC-B standards • Standards based on desired performance levels and industry benchmarks are typically set for: – Energy and water consumption – System reliability – Environmental compliance – Occupant health, safety and comfort • Typical buildings have occupied lives of 50-75 years or longer • Operating costs typically account for 60-85% of building lifecycle costs – compared to 5-10% for design and construction costs • Performance standards are measured and continually validated to deliver the desired outcomes Sizeable opportunities to improve the performance of existing structures 7 Achieving Superior Performance for Life
  • 8. Service Innovations Enable Performance for Life Holistic, technology-enabled, knowledge-based approach is integral to establishing and sustaining standards throughout a building’s occupied lifespan • Embracing predictive building maintenance strategies • Establishing and maintaining sound operating metrics • Adopting performance-based service concepts A poorly designed building operated and maintained effectively outperforms a well-designed building with poor operating and maintenance practices 8 Achieving Superior Performance for Life
  • 9. Adopting a High Performance Building For Life Approach 9 Achieving Superior Performance for Life
  • 10. Focus on Retrofit Opportunities Improving existing buildings’ performance for life • Improving performance of existing buildings offers huge opportunity for Brazilian owners and operators • Energy efficiency improvements can yield 20-50% savings • 15-to-1 return on investment including occupant health, energy savings and operational savings (GBC-Brazil) • Ability to reduce buildings’ environmental impact • Proven technology, low risk retrofit approaches and financing are available to public and private entities • Critical building system audits identify the right approach to implementing high performance for life Huge opportunity to improve performance of existing buildings 10 Achieving Superior Performance for Life
  • 11. Conduct a Critical Building Systems Audit • Assemble a team • Choose a qualified energy services partner with experience in Brazil • Define program objectives – Reduce operating costs – Increase operational performance – Improve occupant comfort and safety – Enhance employee productivity – Achieve environmental certification Build an energy management team with buy-in from key internal stakeholders, including owners, managers and department heads 11 Achieving Superior Performance for Life
  • 12. What Kinds of Changes Make Financial Sense? Quick Return Intermediate Long-Term (0-2 yr payback) (2-4 yr payback) Update existing building Install new building Replace high efficiency automation systems automation system equipment (major systems chiller/boilers) Conduct energy/critical Improve HVAC systems Improve building envelope systems audit (constant -variable volume) Make behavioral changes Implement water Apply renewable (turn lights off, program conservation technologies systems) Explore utility procurement Use fans and motors Apply on site/distributive options (VFDs, high efficiency power generation change outs) Check, inspect and repair Apply load shifting Implement comprehensive equipment technology (ice storage) maintenance strategies Taking a lifecycle, whole-building approach offers the best long-term ROI 12 Achieving Superior Performance for Life
  • 13. Energy Conservation Measures Major ECM Category ECM Type Technology/ECM Name Rating Controls General/Special Upgrade to Direct Digital Control 100% Industrial Compressed Air Implement Compressed Air Utility Management 100% Water Reduce Use Install Low Flow/Use Fixtures 96% Controls General/Special Retro/Recommission Controls for Optimizing •Savings 94% Many, many Energy Conservation Controls General/Special Install Lab Hoods Control - Flow Safe Lab Hoods Measure (ECM) technologies and 94% Supply Side Management Manage Energy Supply Change Regulated Utility Rate/Tariff applications  need a methodology 94% Water Smart Metering to assess and rate Install Smart Meters & software -- for Billing & Accuracy 94% Electrical Lighting Install Lighting Controls • Methodology developed using Six 92% Sigma analysis processes and tools Electrical Lighting Replace T-8s for HiBays with T5s 92% • Evaluation process based on 5 key Plant Boilers Install Tankless/Instantanious Water Heaters 92% customer and Trane “importance Supply Side Management Manage Energy Supply Change to Interruptible Rates and Use Electric Generators factors” 92% Architectural Envelope Install Weather-Stripping – 92% Savings potential, Practicality, Electrical Lighting Upgrade Fluorescent Fixtures w/ T8 or T5 Lamps and Electronic Ballasts Commercial viability,92% Risk Electrical Lighting Retrofit Incandescent Lamps w/ Compact Fluorescent Lamps management, Business 92% Electrical Lighting Replace Exit Sign w/new LED Fixture differentiation 92% Plant Boilers Adjust Burner as Regular Maintenance • Score of 0-100% with 100% being the 92% HVAC (Building/ Non-Plant) Unit Upgrade Convert CV to VAV best ranking 88% HVAC (Building/ Non-Plant) Unit Upgrade Convert Dual Duct to VAV 88% Electrical Lighting Replace HID HiBay fixtures with T5s or T8s 86% Electrical Lighting Add LED night lights in halls 86% Architectural Roof Water Source Heat Pump New Construction with Green Roofs (Plants) 85% Plant Systems Install Water Source Heat Pump System 83% Plant Motors/Pumping Install VFD/VSDs for Pumps 81% Controls Resetting Reduce Outdoor Air To Design Level 78% Controls Resetting CO2-Based Demand-Controlled Ventilation 78% Use Six Sigma methodology to select energy measures 13 Achieving Superior Performance for Life
  • 14. Trane High Performance Buildings Capabilities: Organizations Achieve Financial, Sustainability and Productivity Goals 14 Achieving Superior Performance for Life
  • 15. What Trane Offers in Brazil We make the High Performance Buildings concept tangible and real Offerings for new buildings, major refurbishments and existing installations • Understanding national regulations and LEED certification requirements • Applying Green Building Council – Brazil guidelines • Identifying measures to improve energy efficiency, reduce operating costs • Developing customer-specific solutions to boost efficiency, productivity and mission effectiveness • Replacing and retrofitting outdated equipment • Servicing and maintaining design conditions for life Growing our high performance building capabilities in Brazil 15 Achieving Superior Performance for Life
  • 16. Trane Intelligent Services Maximizes ROI Leverages an existing facility’s investments by using technology to access operational data and optimize building performance • Benchmarking current building performance • Using custom analytics to provide performance improvement recommendations • Performing recommended actions to meet business needs • Continuously monitoring and analyzing data against operating benchmarks • Documenting progress toward high performance building status Growing capabilities to provide a new level of service to Brazilian customers 16 Achieving Superior Performance for Life
  • 17. Creating New Ways to Think About Service Leveraging technology to create a whole-building, total-lifecycle, knowledge- based approach to establishing and maintaining performance standards Service Today Service Tomorrow • Component based • Component & system based • Moment-in-time view • Continuous (past & present) • Human intelligence – best • Collaborative “brain trust” + human individual intelligence • Low tech • Leverage technology • Reactive, corrective • Proactive, preemptive, predictive • Truck based, slow response • Immediate access, automated • Word of mouth benefits • Performance scorecard Taking a holistic, technology-enabled approach to high performance 17 Achieving Superior Performance for Life
  • 18. Proving the Model: Case Examples of Organizations on the High Performance Building Journey 18 Achieving Superior Performance for Life
  • 19. High Performance Building Case Study Large Office Building in Alphaville - Sao Paulo RESULTS SITUATION • Estimated 30 percent annual energy savings • Developer wanted to create an environmentally responsible +30,000-sq- • Improved flexibility to cost- meter development to optimize occupant effectively meet tenant needs comfort and productivity • Reduced noise levels • Less environmental impact APPROACH • Trane worked with the developer to create a high performance approach including: – Innovative water-cooled HVAC systems – Multiple HVAC units with variable frequency fans to reduce energy waste – Sophisticated Factory Mounted Controls Systems Addressing building owner needs with service innovation 19 Achieving Superior Performance for Life
  • 20. Bottom-Line Case for High Performance Buildings Energy efficiency makes more Link the building to its primary sense than ever business mission Environmental performance is Determine the funding strategy becoming more critical Understand energy conservation Organizational performance and measures and their payback employee productivity drive value, ROI Focus on total cost of ownership over occupied life Effective service strategy maintains lifecycle performance Conduct the financial analysis – including cash flow 20 Achieving Superior Performance for Life
  • 21. High Performance Buildings for Life 21 Achieving Superior Performance for Life
  • 22. Contact Information William Sekkel President, Latin America Ingersoll Rand Climate Solutions +1 305 592 8646 sekkelww@irco.com http://www.cees.ingersollrand.com/ 22 Achieving Superior Performance for Life
  • 23. Your Questions 23 Achieving Superior Performance for Life

Editor's Notes

  1. Effective energy management begins by assembling a team, including the building owner, facility manager and an energy solutions provider, as well as representatives from various departments including accounting and quality control.Appoint a team leader to own the project and track its progress.
  2. Component vs System – Serving the entire building and not just one provides a higher performance building Continuous – Enabling visibility into the range of operational, usage and clement conditions allows for better optimization of the systemKnowledge – Leverage the knowledge across Trane through each local technician in a reliable and repeatable processTechnology – Using technology to provide faster and more accurate data to our customer and technicians Reactive->Predictive – Using analytics to move from reactive / time based maintenance to Predictive / condition based maintenance Ability to reach higher service levels – by reducing reaction time and increasing up time Documenting actions taken / benefits / results of a buildings performance and service provided