Key Drivers for the Green

Construction Industry

Allentown CSI Expo

April 21, 2010

Scott Kriner, CSI, AIA, LEED AP O+M

President Green Metal Consulting, Inc.

Cultural Shift

Insurance

Religion

Realtors

Global Climate Change

PoliticsEducationMedia

Rating & Labeling Programs

Lending Institutions

Initiatives & Incentives

EnergyRegulations

Converging Converging Driving Driving ForcesForces

Legislation

Building Themes of the Next Building Themes of the Next DecadeDecade

““Green building Green building and computer and computer technology assistance (ex. BIM) technology assistance (ex. BIM)

are expected to re-form the are expected to re-form the industry in ways current industry in ways current

practitioners are just beginning practitioners are just beginning to imagine.” to imagine.”

(prediction of (prediction of Business Review’s Business Review’s economic economic forum 2007)forum 2007)

What is GREEN What is GREEN Building?Building?

The practice of The practice of increasing the efficiency increasing the efficiency of buildings‘ use of of buildings‘ use of energyenergy, , water water and and

materialsmaterials

Sustainable Building Sustainable Building PracticePractice

“ “ Development that meets the needs Development that meets the needs

of the present without compromising of the present without compromising

the ability of future generations to the ability of future generations to

meet their own needs”meet their own needs” – – ASTM E2114ASTM E2114

You May You May Already Already

Be Be Building Building

Green Green and and

Don’t Don’t Even Even

Know It!Know It!

This is This is NOTNOT Sustainable Sustainable Building !Building !

This This isis Sustainable Sustainable BuildingBuilding

Green Market by Green Market by SectorSector

Source: McGraw Hill Construction - 2007 *

Green ConstructionGreen Construction

$13 billion of green non-res $13 billion of green non-res construction put in place in 2006construction put in place in 2006

$49 billion of green non-res $49 billion of green non-res construction put in place in 2008construction put in place in 2008

$140 billion of green non-res $140 billion of green non-res construction expected by 2013construction expected by 2013

““Green business has shifted from a Green business has shifted from a movement to a market.” movement to a market.” – Greener World – Greener World MediaMedia

FMI 2008 US Construction Overview, and BRG Group

Why Build Green?Why Build Green?

Benefits of GREEN Benefits of GREEN BuildingsBuildings

Reduce energy use 30-Reduce energy use 30-50%50%

Reduce impact on solid Reduce impact on solid waste waste streamstream

Command higher rentsCommand higher rents

Save employers $58 Save employers $58 Billion of sick timeBillion of sick time

Add $180 Billion in Add $180 Billion in increased worker increased worker productivityproductivity

Energy Dependence

The USA’s 2-5-25 The USA’s 2-5-25 ConundrumConundrum

2% of the 2% of the resourcesresources

5% of the 5% of the populationpopulation

25% of the energy25% of the energy

Our Addiction to OilOur Addiction to Oil

The level of The level of oil oil importsimports

will will remain remain

between between 53% and 53% and

68%68% of of our total our total oil usage oil usage through through

20302030

Source: Energy Information Administration (EIA)

Electricity GenerationElectricity Generation

50.0%

19.3%

18.7%

6.7% 3.0% 2.3%

CoalCoalNuclearNuclear

Natural Gas

Hydro OilOilOtherOther

Source: Energy Information Administration

By 2030, electricity By 2030, electricity

demands will be demands will be

45% greater than today45% greater than todaySource: Nuclear Energy Institute

50 nuclear plants50 nuclear plants (1000 MW)(1000 MW)

260 coal-fired plants260 coal-fired plants (600 MW)(600 MW)

280 natural gas-fired plants280 natural gas-fired plants (400 MW)(400 MW)

90 renewable energy plants90 renewable energy plants (100 MW)(100 MW)

Source: Nuclear Energy Institute

With current fuel mix, US needs to construct…

Renewable Energy?Renewable Energy?

SolarSolar WindWind GeothermalGeothermal TidalTidal BiomassBiomass HydroHydro

*

Peter Turnbull, PG&E

Conservation and Conservation and EfficiencyEfficiency

“The cheapest, most reliable source of new energy is saved energy.” Peter Turnbull, PGE

Energy Hogs

Buildings 39%

Transport 33%

Industry 28%

Energy: Largest Energy: Largest Controllable Operating Controllable Operating

ExpenseExpense

Source: IISI

WORLD

In next 50 years the world In next 50 years the world will erect as many buildings will erect as many buildings as we have built during the as we have built during the last 5000 yearslast 5000 years

Population Growth

60% of the world population 60% of the world population

will live in cities by 2030 will live in cities by 2030

US

Building Boom in U.S.Building Boom in U.S.

Roughly 89 million new or Roughly 89 million new or replacement homes will be replacement homes will be

built in U.S. built in U.S. over next 30 years over next 30 years to keep up with population to keep up with population

growth. growth.

By 2030 about half of the By 2030 about half of the buildings in America will buildings in America will have been built have been built after 2000after 2000

Climate Change

“Best estimate that temperatures will rise between

3.2 º to 7.8 º by 2100”

“Sea levels could rise 7 to 23” by end of century”

“90% certainty that global climate change is caused by human activity”

Is Climate Change Is Climate Change Occurring ?Occurring ?

Or Isn’t It ?Or Isn’t It ?

Emphasis on Transportation and Industry

California’s Environmental California’s Environmental Performance Label – 2009 Performance Label – 2009

CarsCars

What about Buildings?What about Buildings?

Energy Efficiency and Energy Efficiency and the Environmentthe Environment

Society

Print media, Websites, Blogs, Hollywood,

Television, Concerts

Religion

Religious SupportReligious SupportWorld’s First Carbon Neutral State …World’s First Carbon Neutral State …

Planting trees to restore a 37 acre Planting trees to restore a 37 acre ancient forest in Hungary ancient forest in Hungary

The Vatican

CultureCulture

Regulations

Energy CodesEnergy Codes

Reduce energy Reduce energy consumptionconsumption

Reduce utility Reduce utility expensesexpenses

Reduce Reduce environmental environmental emissionsemissions

Improve Improve thermal thermal comfort comfort

Extend natural Extend natural resources resources

Commercial Energy CodesCommercial Energy Codes

Stringency has increased 23%Stringency has increased 23%

DOE/IECC/ASHRAEDOE/IECC/ASHRAE

Zero energy buildingsZero energy buildings

State Building Energy State Building Energy CodesCodes

www.bcap-energy.org

New Standards since 2007New Standards since 2007 GBI Green Globes StandardGBI Green Globes Standard

- Covering commercial (non-residential) buildings. - Covering commercial (non-residential) buildings.

ASTM StandardsASTM Standards Principles of Sustainability Relative to BuildingsPrinciples of Sustainability Relative to Buildings

NAHB Standard (ICC-700)NAHB Standard (ICC-700) Green Residential Building Standard Green Residential Building Standard

ASHRAE Standard 189.1ASHRAE Standard 189.1 Standard for the Design of High-Performance Standard for the Design of High-Performance Green Buildings Except Low-Rise Residential Green Buildings Except Low-Rise Residential Buildings.Buildings.

ISO 21930:2007ISO 21930:2007 Sustainability in Building Construction – Sustainability in Building Construction – Environmental Declaration of Building ProductsEnvironmental Declaration of Building Products

ASTM StandardsASTM Standards E 2432 Guide for General Principles of E 2432 Guide for General Principles of

Sustainability Relative to BuildingsSustainability Relative to Buildings Identifies environmental, economic & social principles on Identifies environmental, economic & social principles on

equal footingequal footing

E60 SustainabilityE60 Sustainability

E2114, Terminology for Sustainability E2114, Terminology for Sustainability Relative to the Performance of BuildingsRelative to the Performance of Buildings

Balloting draft Specification for the Minimum Balloting draft Specification for the Minimum Attributes of a building that Promotes Attributes of a building that Promotes Sustainability (WK11944)Sustainability (WK11944)

National Green Building National Green Building Standard (ICC 700)Standard (ICC 700)

Enhanced Green Home Enhanced Green Home Building GuidelinesBuilding Guidelines

Released January 2009Released January 2009

ContentsContents

Site Design and DevelopmentSite Design and Development Lot Design, Preparation and DevelopmentLot Design, Preparation and Development Energy EfficiencyEnergy Efficiency Water EfficiencyWater Efficiency Indoor Environmental QualityIndoor Environmental Quality Operation, Maintenance and Building Operation, Maintenance and Building

Owner EducationOwner Education

ASHRAE Standard 189.1ASHRAE Standard 189.1

Modeled after LEED Modeled after LEED program, but written in program, but written in code languagecode language

Released February 2010Released February 2010

ContentsContents

Site SustainabilitySite Sustainability Water Use EfficiencyWater Use Efficiency Energy EfficiencyEnergy Efficiency Indoor Environmental QualityIndoor Environmental Quality Impact on Atmosphere, Materials and Impact on Atmosphere, Materials and

ResourcesResources Construction and Plans for OperationConstruction and Plans for Operation

CALGREEN Code - Effective Jan 1, 2011

First Mandatory Statewide Standards Code for Green Construction

Mandatory 20% water use reductions

Divert 50% of construction waste from landfills

Mandatory inspections of energy systems

Low pollutant emitting finish materials

International Code Council

ASHRAE

US Green Building Council

Illuminating Eng. Society of N. America

Int’l Green Construction Code

““model” code approachmodel” code approach Minimum and advanced Minimum and advanced

performanceperformance Prescriptive, performance Prescriptive, performance

and pre-engineered and pre-engineered approachesapproaches

Overlay to ICC codesOverlay to ICC codes Work in tandem with Work in tandem with

green rating programsgreen rating programs

IgCC ASHRAE

• Site Development and Land UseSite Development and Land Use• Material Resource Conservation Material Resource Conservation

& Efficiency& Efficiency• Energy Conservation, Efficiency Energy Conservation, Efficiency

and Atmospheric Qualityand Atmospheric Quality• Water Resource Conservation Water Resource Conservation

and Efficiencyand Efficiency• Indoor Environmental QualityIndoor Environmental Quality• Building Operation Maintenance Building Operation Maintenance

and Owner Educationand Owner Education• Existing BuildingsExisting Buildings• Existing Building Site Existing Building Site

DevelopmentDevelopment

ScheduleSchedule

Sustainable Building Technology Sustainable Building Technology Committee meetings to develop Committee meetings to develop draft code languagedraft code language

First Draft of IgCC (Version 1.0)First Draft of IgCC (Version 1.0) Public Comment Deadline.Public Comment Deadline. Hearings to Review Comments Hearings to Review Comments Revised draft submitted for final Revised draft submitted for final

action hearings (Version 2.0)*action hearings (Version 2.0)*

Summer 2009 – Spring 2010

MARCH 15, 2010

MAY 14, 2010

AUGUST 2010

NOVEMBER 2010

* V 2.0 stands until 2012 codes are updated

Energy Labels for Buildings ?

Residential LabelingResidential Labeling

Proposal from architect Michelle Kaufman Designs

EPBD Concerted Action ’ ’’ ’’ ’

’ ’

’’’’

’ ’’ ’’ ’’ ’ENERGY CERTIFICATES ’ ’’ ’

15

Incentives

www.dsireusa.org

Statewide Incentives

www.dsireusa.org

Green Building Green Building IncentivesIncentives

State and local levels

State level

Local level

Local IncentivesLocal Incentives Expedited Expedited

permitting processpermitting process Expedited plan Expedited plan

reviewsreviews Tax Tax

refund/abatement/ refund/abatement/ creditcredit

Bond fundsBond funds LoansLoans Direct grantsDirect grants

Utility rebatesUtility rebates Energy-efficient Energy-efficient

rebatesrebates Density bonusesDensity bonuses Reduced Reduced

development feesdevelopment fees Marketing materialsMarketing materials LEED cert fees LEED cert fees

refundrefund

Legislation

FederalFederal Energy Independence Energy Independence

and Security Act of and Security Act of 20072007 EPAct 2005 – extensionEPAct 2005 – extension Authorization of Zero- Authorization of Zero-

Energy Commercial Energy Commercial Building InitiativeBuilding Initiative

Federal executive Federal executive ordersorders

Pending LegislationPending Legislation

EO 13101 directs Federal agencies to purchase products that are manufactured using recycled content materials

EO13423 requires federal agencies to EO13423 requires federal agencies to use sustainable building practicesuse sustainable building practices

Comprehensive Procurement Guideline IV for Procurement of Products Containing

Recovered Materials EPA - April 30, 2004

Legislative Climate ChangeLegislative Climate Change

Source: World Resources Institute *

American Recovery & Reinvestment ActAmerican Recovery & Reinvestment Act

American Clean Energy & Security ActAmerican Clean Energy & Security Act

2121stst Century Green High-Performance Century Green High-Performance Public School Facilities ActPublic School Facilities Act

Expanding Building Efficiency ActExpanding Building Efficiency Act

Energy Efficiency Modernization ActEnergy Efficiency Modernization Act

Water Accountability Tax Efficiency Water Accountability Tax Efficiency Reinvestment ActReinvestment Act

Livable Communities ActLivable Communities Act

Federal Personnel Training Federal Personnel Training ActAct

Clean Energy and American Jobs Act

American Clean Energy and Leadership Act

Energy Efficiency in Housing Act

Livable Communities Act

Expanding Building Efficiency Act

School Building Fairness Act

Clean Energy for Homes and Buildings Act

Energy Efficiency Modernization Act

Water Accountability Tax Efficiency Reinvestment Act

Federal Agency Energy Efficiency Improvement Act

Bills Introduced in the last

year

State and Local LawsState and Local Laws

State legislative billsState legislative bills State executive State executive

ordersorders State mandates State mandates

requiring minimum requiring minimum level of LEED for level of LEED for public buildingspublic buildings

City ordinancesCity ordinances

*

Action in California AssemblyAction in California Assembly

25% reduction in GHG by 25% reduction in GHG by 2020 focusing on building 2020 focusing on building

energy efficiencyenergy efficiency

20% increase in standards 20% increase in standards for non-res buildings by for non-res buildings by

2015.2015.

Industry Initiatives

Architecture 2030 Architecture 2030 ChallengeChallenge

Eliminate fossil-Eliminate fossil-fuel energy fuel energy consumption consumption from all new from all new buildings by buildings by 20302030

Zero-Energy Commercial Zero-Energy Commercial Building InitiativeBuilding Initiative

*

Achieve marketable Achieve marketable zero-energy buildings zero-energy buildings

by 2030by 2030

Off-Grid Building – San Off-Grid Building – San Francisco

Voluntary Programs

Voluntary ProgramsVoluntary Programs

LEEDLEED Green GlobesGreen Globes ENERGY STARENERGY STAR GreenSpecGreenSpec Green GuardGreen Guard

LEED 2009

CategoriesCategories

Sustainable SitesSustainable Sites Water EfficiencyWater Efficiency Energy and AtmosphereEnergy and Atmosphere Materials and ResourcesMaterials and Resources Indoor Environmental QualityIndoor Environmental Quality Innovation and DesignInnovation and Design Regional PriorityRegional Priority

Online assessment tool for commercial Online assessment tool for commercial structures structures

Benchmarks energy and environmental Benchmarks energy and environmental performance against best practices in performance against best practices in energy, water, waste management, energy, water, waste management, hazardous materials, and indoor environmenthazardous materials, and indoor environment

ANSI/GBI 01-2010: ANSI/GBI 01-2010: Green Building Assessment Protocol for Commercial Buildings

Green is Green is Changing How Changing How

We BuildWe Build

World’s largest World’s largest building- mounted building- mounted wind turbine system.wind turbine system.

780’ high twin towers780’ high twin towers 275 kW turbines 275 kW turbines

contribute up to 15% contribute up to 15% of building’s energy of building’s energy needsneeds

World Trade Center Bahrain

4,000 PV panels4,000 PV panels 3 wind turbines -3 wind turbines -

29m diameter29m diameter Energy Energy

consumption consumption reduced by 65%reduced by 65%

Water Water consumption consumption reduced by 40%reduced by 40%

International Financial Center Dubai

Pearl River Tower China

Vertical axis wind Vertical axis wind turbinesturbines

PV solar collectorsPV solar collectors Rainwater collection Rainwater collection

systemsystem Cooling by heat sinks Cooling by heat sinks

and vertical ventsand vertical vents

25-story mixed-use 25-story mixed-use tower housing condo tower housing condo units, offices and units, offices and retailretail

Wind turbines Wind turbines integrated into integrated into exterior skin exterior skin

Photovoltaic panels Photovoltaic panels and solar hot water and solar hot water

COR Building Miami

Where We’re Headed

Complex Labeling Programs

Building Ratings

LowerCarbon

Footprints

EnergyConservation

Net Zero Energy

Construction

Whole System Thermal

Requirements

New Technologies

Stringent Codes and Standards

CarbonBased

Economy Life Cycle Assessment

The CSI

Darwin Awards