Construction Economist

The Journal of the Canadian Institute of Quantity Surveyors

Le Journal de l’Institut canadien des économistes en construction

COMPENSATION REGIMES: ADOPTING A NUANCED APPROACH

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To promote the professional status of Institute members by establishing and maintaining high standards and ethics, and fostering excellence through education and the interchange of knowledge and partnership with industry stakeholders.

Canadian Institute of Quantity

Surveyors (CIQS)

90 Nolan Court, Unit 19

Markham, ON L3R 4L9

905.477.0008 | 1.866.345.1168 info@ciqs.org

CIQS EDITORIAL TEAM

Chief Executive Officer

Sheila Lennon, CAE ceo@ciqs.org

Managing Editor

Arif Ghaffur, PQS(F) editor@ciqs.org

Assistant Editors

Kelsey Wright

Member Services Coordinator memberservices@ciqs.org

Ajibola Soboyejo, PQS

Karen Cheung, PQS

Shane McKernan, PQS

CIQS BOARD OF DIRECTORS

Chair Tammy Stockley, PQS(F)

Past Chair Arif Ghaffur, PQS(F) Directors

Ajibola Soboyejo, PQS

David Dooks, PQS(F)

Dominic Leadsom, PQS

Ibrahim Oladapo, PQS

Kerry Mohur, PQS

Marc Brown, PQS

Mykola Pulnyev, PQS

Sean Hollywood, PQS

Observer, YQS Brandon Roy, CEC

CONSTRUCTION ECONOMIST

20 The

Compensation Regimes: Adopting a Nuanced Approach

Clarifying the regimes of compensation and payment among parties to construction contracts.

Statements of fact and opinion contained within this journal are those of the authors, including subject matter experts. CIQS assumes no responsibility or liability for the content of such fact and opinion, nor do they represent the official policy of CIQS.

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Publisher Darryl Lazarenko

Content Andrea Németh

Layout Gufran Khan

PUBLISHED OCTOBER 2024/CIQ-Q0324

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PROJECT PROFILE Quayside

RECENT CHANGES IN CANADIAN BUILDING CODES AND REGULATIONS

QUANTIFYING CARBON IN BUILDINGS AND CONSTRUCTION

Part 4 – Case Study for Mechanical and Electrical Services (Operational Carbon)

CIQS PUSHES THE FEDERAL GOVERNMENT TO MOVE FORWARD ON A NATIONAL INFRASTRUCTURE ASSESSMENT

Advocating for a National Infrastructure Assessment to determine Canada’s long-term infrastructure needs.

LEADERSHIP INTERVIEW Anil Sawhney, PH.D., PMP, FHEA, FRICS Head of Sustainability, RICS

CIQS Community

Raising our brand awareness within the industry

Tammy Stockley, PQS(F)

Iam honoured and excited to be the third woman to serve as CIQS Chair since the Institute was established in 1959. I hope that all members had an opportunity to take a break from work and enjoy the summer weather over the past few months.

My journey into the Quantity Surveying profession began during my time as a college student when members from the local CIQS-NL Chapter presented to our Architectural Engineering Technology class. Intrigued by their presentation, I signed up and embarked on my path to attain my PQS designation, which I gained in 1999. Over my 32+ year career, I have never looked back on the path I chose.

I started volunteering with CIQS at the Chapter Executive level, and then volunteered to invigilate and set the 305 Construction Cost Control exams from 2008–2022. I joined the CIQS Board in 2019. Initially, I absorbed the process and was impressed by the diverse range and professionalism of the Board members during our initial meetings.

After feeling like my feet were wet and wading further in the waters, I took on the position of Chair of the External Relations Committee (ERC). Advocacy for the Quantity Surveying profession has always been a passion of mine because, too often, I would be met with blank stares or assumptions that I was a land surveyor when I explained that I am a Professional Quantity Surveyor.

During my time as Chair of the ERC, we held our inaugural CIQS Day on the Hill, which turned into a bi-annual event for which CIQS Ambassadors travel to Ottawa to meet with MPs, senators, and federal policy advisors, as well as stakeholders, to

“advocate for and elevate the CIQS brand awareness within the industry.” Our goal is to raise the recognition of our professional designate members (PQS and CEC) in the construction industry and federal procurement process.

Transitioning from Chair of the ERC to Vice-Chair of CIQS reinforced the importance of our collective pursuit to advance the quantity surveying profession, to promote best practices, and to uphold the highest standards of excellence in our field.

As I now take on the role of Chair of CIQS, I am committed to working with the Board of Directors, CEO Sheila Lennon, and the CIQS staff to implement goals that align with our shared vision. We aim to reinforce that PQS & CEC members are recognized as the voice of Canada’s Construction Economists.

As we approach the final year of our current Strategic Plan, we are focused on completing our current initiatives while continuing to address ongoing mandates. We can take pride in the progress we have made and look forward to the work still ahead.

I would like to extend my deepest thanks to our Past Chair, Arif Ghaffur, for his remarkable leadership and dedication. Additionally, I offer my sincere gratitude to departing CIQS Board Directors Erin Brownlow, Dominic Leadsom, and Antoine Aurelis for their stellar commitment of service during their terms.

A warm welcome to directors David Dooks (former International Relations Observer) and Mykola Pulnyev (former YQS Observer) and to Kerry Mohur who renewed as director for a second term.

I am confident that with the collaborative support of the CIQS community, we can navigate the challenges ahead and seize the opportunities that lie before us.

Since joining the board of directors, I have had the opportunity to share an aspiration for the future of our profession while working closely with our CEO and directors of the board, as well as CIQS staff, committee volunteers and members.

In closing, I would like to express my deepest gratitude for the opportunity to serve as your Chair. Together, we will build on the solid foundation laid by our predecessors and take CIQS to new heights.

I am confident that with the collaborative support of the CIQS community, we can navigate the challenges ahead and seize the opportunities that lie before us. Raising our brand awareness has never been more

critical as we navigate the complexities of the constantly evolving construction industry landscape.

Respectfully submitted, Tammy Stockley, PQS(F) Professional Quantity Surveyor Chair, CIQS

Tammy Stockley, PQS(F) began her career in Quantity Surveying in 1992 after graduating from Architectural Engineering Technology in St. John’s, NL. Her professional career roles evolved from cost planner, cost consultant, senior cost consultant, associate, associate director, and to director in her current employment position.

La communauté de L’ICÉC

Mieux faire connaître notre marque au sein du secteur

Tammy Stockley, ÉCA(F)

Je suis honorée et ravie d’être la troisième femme à occuper le poste de présidente de l’ICÉC depuis la création de l’Institut en 1959. J’espère que tous les membres ont eu l’occasion de faire une pause dans leur travail et de profiter du temps estival au cours de ces derniers mois. Mon parcours dans la profession de l’économie en construction a commencé lorsque j’étais étudiante et que des membres du chapitre local de l’ICÉC à Terre-Neuve-et-Labrador ont fait une présentation à notre classe de technologie des études techniques. Intriguée par leur présentation, je me suis inscrite et j’ai entamé mon parcours vers le titre d’ÉCA, que j’ai obtenu en 1999. Au cours de mes plus de 32 ans de carrière, je n’ai jamais regretté la voie que j’ai choisie.

J’ai commencé à travailler avec l’ICÉC en tant que bénévole au niveau de l’exécutif du chapitre, puis pour surveiller et préparer les 305 examens de contrôle des coûts des travaux de 2008 à 2022, et j’ai rejoint le conseil d’administration de l’ICÉC en 2019. Dans un premier temps, j’ai absorbé le processus et j’ai été impressionné par la diversité et le professionnalisme des membres du conseil d’administration lors de nos premières réunions.

Une fois que je me suis sentie plus à l’aise, j’ai accepté le poste de présidente du comité des relations extérieures (CRE). La défense de la profession d’économiste en construction a toujours été une de mes passions, car quand j’explique que je suis une économiste en construction agréée, je me retrouve trop souvent face à des regards confus ou à l’idée que je suis arpenteuse-géomètre.

Pendant mon mandat de présidente du CRE, nous avons organisé notre première Journée sur la Colline de l’ICÉC, qui est devenu par la suite un événement semestriel au cours duquel les ambassadeurs de l’ICÉC se rendent à Ottawa pour rencontrer des députés, des sénateurs et

des conseillers politiques fédéraux, ainsi que des parties prenantes, afin de « défendre et mieux faire connaître la marque de l’ICÉC au sein du secteur. » Notre objectif est d’accroître la reconnaissance de nos membres professionnels désignés (ÉCA et ECC) dans le secteur de la construction et dans le processus de passation des marchés publics fédéraux.

Mon passage de la présidence du CRE à la vice-présidence de l’ICÉC m’a convaincue de l’importance de notre effort collectif pour faire progresser la profession d’économiste en construction, promouvoir les meilleures pratiques et maintenir les normes d’excellence les plus élevées dans notre domaine.

Alors que j’assume désormais le rôle de présidente de l’ICÉC, je m’engage à travailler avec le conseil d’administration, la directrice générale Sheila Lennon et le personnel de l’ICÉC pour mettre en œuvre les objectifs qui correspondent à notre vision commune. Nous visons à renforcer le fait que les membres ÉCA et ECC sont reconnus comme étant la voix des estimateurs en construction au Canada.

À l’approche de la dernière année de notre plan stratégique actuel, nous nous attachons à mener à bien nos initiatives actuelles tout en continuant à nous acquitter des mandats en cours. Nous pouvons être fiers des progrès accomplis et nous réjouir du travail qu’il nous reste à accomplir.

Je tiens à remercier chaleureusement notre président sortant, Arif Ghaffur, pour sa direction et son dévouement remarquables. En outre, j’exprime ma sincère gratitude aux membres sortants du conseil d’administration de l’ICÉC, Erin Brownlow, Dominic Leadsom et Antoine Aurelis, pour l’engagement remarquable dont ils ont fait preuve au cours de leur mandat.

Je souhaite chaleureusement la bienvenue aux administrateurs David Dooks (ancien observateur des relations internationales) et Mykola Pulnyev (ancien observateur du

Je suis convaincue qu’avec le soutien de la communauté de l’ICÉC nous pourrons relever les défis à venir et saisir les opportunités qui s’offrent à nous.

programme YQS), ainsi qu’à Kerry Mohur qui a renouvelé son mandat d’administrateur pour la deuxième fois.

Depuis que j’ai rejoint le conseil d’administration, j’ai eu l’occasion de partager notre aspiration pour l’avenir de notre profession tout en travaillant en étroite collaboration avec notre directrice générale et les administrateurs du conseil, ainsi qu’avec le personnel de l’ICÉC, les bénévoles des comités et les membres.

Pour conclure, je voudrais exprimer ma profonde gratitude pour l’occasion qui m’a été donnée d’assurer votre présidence. Ensemble, nous nous appuierons sur les fondations solides posées par nos prédécesseurs et porterons l’ICÉC vers de nouveaux sommets. Je suis convaincue qu’avec le soutien de la communauté de l’ICÉC nous pourrons relever les défis à venir et saisir les opportunités qui s’offrent à

nous. Il n’a jamais été aussi important de mieux faire connaître notre marque alors que nous naviguons dans les complexités du paysage en constante évolution du secteur de la construction.

Salutations respectueuses,

Tammy Stockley, ÉCA(F) Économiste en construction agréée Présidente, ICÉC

Tammy Stockley, ÉCA(F), a commencé sa carrière dans le domaine de l’économie en construction en 1992, après avoir obtenu un diplôme en technologie des études techniques à St. John’s, à Terre-Neuve. Au cours de sa carrière professionnelle, elle a occupé les fonctions de planificatrice des coûts, consultante en coûts, consultante principale en coûts, associée et directrice associée. Elle occupe actuellement le poste de directrice.

Call for Articles

You are invited to submit articles for consideration to the editorial team of the Construction Economist. We are particularly interested in knowledge share and thought leadership, with a focus on innovation and sustainability. CIQS continues to work in elevating the profession of quantity surveying and estimating, in a manner that seeks to make these careers of choice. We welcome members and readers of this journal to contribute their subject matter knowledge as the Construction Economist continues to be the preeminent voice of construction economics in Canada. Should you be interested, please contact Kelsey Wright at memberservices@ciqs.org for additional information.

Celebrating Collaborative Efforts Among Directors, Staff, and Volunteers to Achieve the Excellence that Fuels Continual Growth

Sheila Lennon, CAE Chief Executive Officer, CIQS

It has been a few months now since we all got together in Toronto for the CIQS 2024 Congress, and I want to thank everyone who joined us in Ontario’s capital city for making it a tremendous event. It was wonderful to see members attending from across the country and abroad. We were thrilled to once again welcome a delegation from Nigeria, and to take this opportunity for the CIQS Chair and President of the NIQS to sign a renewed reciprocity agreement.

During our Annual General Meeting, we showed our Year in Review video, and I would like to share some of the highlights with you here today.

I am proud to report that the CIQS membership has been on a consistent, upward trajectory for the last 10 years. In 2023, our total membership, including Associates and Students, was 2,254, of which 1,230 were Professional Quantity Surveyors, and 618 were Construction Estimator Certified.

This growth is in great part due to the

our staff, directors, and volunteers who are the driving force behind everything we do. We all work together to meet our mission “to promote the professional status of Institute members by establishing and maintaining high standards and ethics and fostering excellence through education and the interchange of knowledge and partnership with industry stakeholders.”

Our external relations committee members and government relations ambassadors have devoted time and subject matter expertise to increase brand awareness for the CIQS within the federal government, and to establish Professional Quantity Surveyors (PQS) and Construction Estimator Certified (CEC) as key industry partners on government construction projects. Over the past year, advocacy volunteers met with several key stakeholders, such as CMHC, CCA, PSPC, and NRC, and held one-on-one meetings with government officials across the country. We also held two successful Days on the Hill in Ottawa where we met with MPs and government

Arif Ghaffur, PQS(F), Chair of CIQS and Nzekwe Kene

Christopher BSc. (QS), MIAD, MSc. (QS), RQS, FNIQS, FICEN, President of NIQS sign reciprocity agreement at CIQS Congress in Toronto.

At these Hill Days, CIQS ambassadors showed how PQS and CEC professionals can help deliver sustainable value to tomorrow’s infrastructure needs, and how their expertise offers insight into how to gain the greatest return on public investment. They discussed oversights by the federal government, such as the pressing need for reforms to address the mounting housing affordability crisis and called attention to the Federal government’s delayed enactment of the Federal Prompt Payment for Construction Work Act, which was green lit in 2019. We also held our first-ever press conference on Parliament Hill last fall.

I was thrilled to announce last December that the Act finally came into force on December 9, 2023. We are proud to have been part of the lobbying effort alongside other construction groups to bring this to reality.

Over the last few years, we have ramped up our Membership Engagement and Outreach initiatives. One such program is corporate information sessions, where CIQS staff and ambassadors speak about CIQS membership and its benefits and discuss the various paths to our designations. These information sessions are either virtual or in-person and are hosted by industry employers for their staff. It was our pleasure to meet with employees from the CCA Gold Seal Program, Turner & Townsend, EllisDon, Altus Group, and Hanscomb Limited.

This has proven to be a well-received program, and we already have several information sessions scheduled for the fall. Anyone interested in learning more about this program, or to schedule a session for your employees, is asked to reach out to our

Meetings & Events Coordinator, Elvina Kam, at events@ciqs.org.

Our outreach and advocacy programs are successful in part due to the CIQS ambassador program that has enabled the Institute to build a strong roster of dedicated and knowledgeable member volunteers to represent the CIQS at industry meetings, school outreach presentations, media relations, and advocacy initiatives. Anyone interested in learning more about how they can become involved in our various programs as an ambassador can contact our Director of Marketing & Communications, Alexandra Parliament, at marketing@ciqs.org.

Information about this program and our student outreach initiative is available on The CIQS HUB. This website was re-designed and launched under the CIQS umbrella at www.ciqs.org/theHUB last summer and is a source of information for CIQS Young Quantity Surveyors (YQS) members, as well as for students interested in learning more about the quantity surveying profession and the various career paths it avails them.

I am truly inspired by the commitment of our members, staff, and volunteers to continually achieve the excellence that fuels our growth, and I am excited to see what we can accomplish next. To learn more about what CIQS has been up to, visit our websites (www.ciqs.org, www.ciqs.org/congress, www.ciqs.org/theHUB), read our Annual Report available in the press room on ciqs.org and follow us on LinkedIn at https://www.linkedin.com/company/ciqs.

Together, let’s continue to push boundaries and achieve great things! ■

Bravo à nos administrateurs, notre personnel et nos bénévoles pour leurs efforts continus pour atteindre l’excellence et stimuler la croissance

Sheila Lennon, ÉCA Directrice générale, ICÉC

uelques mois se sont écoulés depuis notre réunion à Toronto pour le Congrès de l’ICÉC de 2024, et je tiens à remercier tous ceux qui se sont joints à nous dans la capitale de l’Ontario pour faire de cet événement un moment exceptionnel. C’était merveilleux de voir des membres venus de l’ensemble du pays et de l’étranger. Nous avons été ravis d’accueillir de nouveau une délégation du Nigeria et de profiter de l’occasion pour que le président de l’ICÉC et le président du NIQS signent un nouvel accord de réciprocité.

Lors de notre assemblée générale annuelle, nous avons projeté notre vidéo résumant l’année écoulée, et j’aimerais en partager les grandes lignes avec vous aujourd’hui.

Je suis fière d’annoncer que le nombre de membres de l’ICÉC a suivi une trajectoire constante et ascendante au cours des dix dernières années. En 2023, le nombre total de nos membres, y compris les membres associés et étudiants, s’élevait à 2 254, dont 1 230 économistes en construction agréés et 618 estimateurs en construction certifiés.

Cette croissance est en grande partie due au dévouement inébranlable et au talent exceptionnel de notre personnel, de nos administrateurs et de nos bénévoles, qui sont la force motrice de tout ce que nous faisons. Nous collaborons tous ensemble afin « de promouvoir le statut professionnel des membres de l’Institut en établissant et en maintenant des normes et une éthique élevées, et en favorisant l’excellence par l’éducation et l’échange de connaissances et le partenariat avec les parties prenantes de l’industrie. »

Les membres de notre comité des relations extérieures et les ambassadeurs des relations gouvernementales ont consacré leur temps et leur expertise pour mieux faire connaître l’ICÉC au sein du gouvernement fédéral et faire des économistes en construction agréés (ÉCA) et des estimateurs en construction certifiés (ECC) des partenaires clés de l’industrie sur les projets de construction du gouvernement. Au cours de l’année écoulée, les bénévoles ont rencontré plusieurs acteurs clés, tels que la SCHL, l’ACC, SPAC et le CNRC, et ont rencontré en tête à tête des représentants du gouvernement dans tout le pays. Nous avons également organisé deux journées sur la Colline réussies à Ottawa, au cours desquelles nous avons rencontré des députés et des représentants du gouvernement des deux côtés.

Lors de ces journées sur la Colline, les ambassadeurs de l’ICÉC ont montré comment les professionnels ÉCA et ECC peuvent contribuer à apporter une valeur durable aux besoins en infrastructure de demain, et comment leur expertise permet d’obtenir le meilleur retour sur l’investissement public. Ils ont parlé des négligences du gouvernement fédéral, telles que le besoin pressant de réformes pour faire face à la crise croissante de l’accessibilité au logement, et ont attiré l’attention sur le retard du gouvernement fédéral dans l’adoption de la Loi fédérale sur le paiement rapide des travaux

Arif Ghaffur, ÉCA(F), Président de l’ICÉC, et Nzekwe Kene Christopher, Président de l’Institut NIQS, signent un accord de réciprocité lors du Congrès de l’ICÉC à Toronto.

de construction qui a été approuvée en 2019. Nous avons également organisé notre toute première conférence de presse sur la Colline du Parlement à l’automne dernier.

J’ai été ravie d’annoncer en décembre dernier que la loi est finalement entrée en vigueur le 9 décembre 2023. Nous sommes fiers d’avoir participé aux efforts de lobbying, aux côtés d’autres groupes de construction, pour faire de ce projet une réalité.

Ces dernières années, nous avons intensifié nos initiatives en matière de mobilisation des membres et de sensibilisation. L’un de ces programmes consiste en des séances d’information pour les entreprises, au cours desquelles le personnel et les ambassadeurs de l’ICÉC traitent de l’adhésion à l’ICÉC et de ses avantages et discutent des différentes voies d’accès à nos titres. Ces séances d’information sont virtuelles ou en personne et sont organisées par les employeurs du secteur pour leur personnel. Nous avons eu le plaisir de rencontrer des employés du programme Sceau d’or de l’ACC, de Turner & Townsend, d’EllisDon, d’Altus Group et de Hanscomb Limited. Ce programme a été bien accueilli et nous avons déjà prévu plusieurs séances d’information pour l’automne. Toute personne souhaitant en savoir plus sur ce programme ou souhaitant organiser une session pour ses employés est priée de contacter notre coordinatrice des réunions et événements, Elvina Kam, à l’adresse suivante : events@ciqs.org.

Le succès de nos programmes de sensibilisation et de défense est dû en partie au programme des ambassadeurs de l’ICÉC qui a permis à l’Institut de constituer une solide liste

de membres bénévoles dévoués et compétents pour représenter l’ICÉC lors de réunions de l’industrie, de présentations dans les écoles, de relations avec les médias et d’initiatives de défense des intérêts. Toute personne souhaitant en savoir plus sur la manière de participer à nos différents programmes en tant qu’ambassadeur peut contacter notre directrice du marketing et des communications, Alexandra Parliament, à l’adresse suivante : marketing@ciqs.org.

Des informations à propos de ce programme et notre initiative de sensibilisation des étudiants sont disponibles dans la Zone ICÉC. Ce site a été remanié et lancé sous l’égide de l’ICÉC à l’adresse suivante www.ciqs.org/theHUB l’été dernier et constitue une source d’information pour les membres du programme des jeunes économistes en construction (YQS) de l’ICÉC, ainsi que pour les étudiants désireux d’en savoir plus sur l’économie en construction et sur les différentes carrières qu’elle offre.

L’engagement de nos membres, de notre personnel et de nos bénévoles à atteindre en permanence l’excellence qui alimente notre croissance est pour moi une véritable source d’inspiration, et je suis impatiente de voir ce que nous pourrons accomplir par la suite. Pour en savoir plus sur les activités de l’ICÉC, rendez-vous sur nos sites Web (https://fr.ciqs.org/, www.ciqs.org/congress, www.ciqs.org/theHUB), lisez notre rapport annuel disponible dans la salle de presse sur fr.ciqs.org et suivez-nous sur LinkedIn à l’adresse suivante : https://www.linkedin.com/company/ciqs.

Ensemble, continuons à repousser les limites et à réaliser de grandes choses ! ■

thankyoutoour congress2024sponsors

Congress 2024 - A hub for networking, knowledge sharing, and professional development in toronto

The Canadian Institute of Quantity Surveyors welcomed over 170 delegates to the 2024 Congress held at Delta Downtown Toronto Hotel in Toronto between June 20-22. This event brought together members and industry professionals from across the country. We were also thrilled to once again welcome a strong delegation from the Nigerian Institute of Quantity Surveyors.

This year’s event offered attendees a hub for networking, knowledge sharing and professional development. The educational program included 40 industry experts who shared valuable insights into what’s next in construction economics.

Presentation Highlights

Angela Denice Lai from Core Two discussed how wood is a renewable resource which has been favoured for the construction of single-family dwellings, but it is starting to be used in midrise structures which historically has been built in concrete. The presentation discussed the beneﬁts and barriers and how quantity surveyors can contribute to the debate of using mass timber in the building of these structures.

Naumaan Hameed from Greenberg Hameed PC shared his insights about Canada’s current skill challenge, Canadian immigration policies, private sector initiatives, issues and opportunities and potential approaches regarding foreign talent strategies.

Our keynote, Danna Donald, Osler, Hoskin & Harcourt LLP, discussedinfrastructure in Canada with a focus on Canada’s infrastructure deﬁcit, Canada Infrastructure Bank and the Building Ontario Fund.

Panel Discussion: As projects valued at hundreds of billions of dollars have been announced in Canada over the past few years, the country continues toexperience a nationwide talent shortage. Panelists Gary Williams, IEDG, Ray Seker, IEDG, Nermina Harambasic, and Krishan Mittal delve into why we are in this situation and potential solutions for the construction industry.

Annual General Meeting

Professional Quantity Surveyors and Construction Estimator Certiﬁed Members were able to make their voices heard at the 2024 Annual General Meeting. Once again, voting was done online through GetQuorum to give all Members the opportunity to vote,no matter if they attended in person or via Zoom.

2024-2025 Board of Directors

chair tammy stockley, PQS(F)

past chair arif Ghaffur, PQS(f) Chief Executive officer Sheila lennon, CAE

directors

ajibola soboyejo, pqs

david dooks, pqs(f)

ibrahim oladapo, pqs

kerry mohur, pqs

marc brown, pqs

mykola pulnyev, pqs

Seán Hollywood, PQS

We also wish to thank our outgoing directors, Dominic Leadsom, PQS, Antoine Aurelis, PQS, and Erin Brownlow, PQS(F) for their leadership during their time on the board.

CIQS CELEBRATES 65 YEARS!

2024 marks a momentous milestone for the Canadian Institute of Quantity Surveyors as we celebrate its 65th anniversary. The Institute has grown signiﬁcantly since being founded in 1959 and this year’s Chair’s Dinner celebrated its rich history and some of the remarkable individuals who were instrumental in CIQS’ success. We were thrilled to invite one of our founding fathers, Jim Rae, PQS(F) and Honourary Life Member, to the stage whose stories made us both laugh and cry with their opening remarks.

Project Profile

PROJECT PROFILE – QUAYSIDE

PROJECT: Waterfront Toronto “Quayside” Development Project

LOCATION: 259 + 333 Lake Shore Blvd East, Toronto, ON

OWNER/DEVELOPER: Waterfront Toronto, Dream Unlimited Corp. (Dream), and Great Gulf Group (or, Quayside Impact Limited Partnership)

By Shane McKernan, PQS, GSC, B.Tech

Stats

Size: 4.9-hectare (12-acre) site, with a planned total of 4,697 market units and 869 affordable units. The recently approved zoning for Phase 1 will include:

• 2,353 market residential units

• 458 affordable rental homes

• Three mixed-use towers with heights of 70, 64 and 55 storeys, as well as a 12-storey linear building along Queens Quay East (called the ‘Timber House’) Schedule: Ten-year anticipated construction period with Phase 1 expected to commence in 2025. Notes: The project will take a large focus on sustainability, with plans to make it Canada’s largest all-electric, zero-carbon community.

The inclusion of more than 800 affordable housing units, with a significant portion being family sized.

A 2-acre green space known as the Community Forest, and a rooftop urban farm for community gardening.

The development of five towers, including one of Canada’s largest residential mass timber buildings (12 storeys) and a future mixed-use institutional building.

The Quayside project, a collaborative effort between Waterfront Toronto, Dream, and Great Gulf, will be a master-planned, mixed-use community development located on Toronto’s waterfront at Queens Quay East and Parliament Street, spanning 4.9 hectares (seven total buildings). The project will commence with its first phase in 2025, featuring four buildings of varying heights from 12 to 70 storeys.

In July of 2023, the City of Toronto received seven development applications from Waterfront Toronto and its partner, Quayside Impact Limited Partnership, for the five Quayside blocks. Applications for Blocks 1 and 2 are focused on 259 Lake Shore Blvd East, while Blocks 3, 4, and 5 are proposed for 333 Lake Shore Blvd East.

The applications propose seven new mixed-use buildings across Blocks 1-4, with a total of 4,697 residential units. This includes 869 affordable rental units and around 200 affordable ownership units. The affordable rental housing will be managed by the City

of Toronto in collaboration with a not-for-profit housing operator. A major objective of the Quayside project is to enhance the availability of affordable rental housing and create an inclusive, publicly accessible waterfront. Block 5 is planned as a future mixed-use institutional site, potentially featuring a new public elementary school and a cultural facility. This planning is in its early stages and will involve consultations with the Mississaugas of the Credit First Nation, Toronto Lands Corporation, and the Toronto District School Board.

In July of this year, Toronto City Council has approved the zoning for

the highly anticipated first phase of the Quayside development. The initial phase of the Quayside development is set to provide 458 affordable rental homes and 2,353 market-rate units.

Quayside is envisioned as a sustainable, vibrant community offering affordable housing, public spaces, retail, office space, green areas, and a multi-use arts venue. It will serve over 80,000 residents and create 40,000 jobs within a 15-minute walk radius. The development will include 3.5 acres of new public space, a community forest, and a Community Hub with various facilities. It aims to be Canada’s first all-electric, zero-carbon community of this scale, incorporating sustainability innovations like carbon-free heating and cooling systems, and mass timber construction.

Quayside is a key element in the City’s and Waterfront Toronto’s efforts to transform the downtown waterfront from post-industrial areas into lively, affordable, and well-rounded communities. Designed to cater to people of all ages, backgrounds, abilities, and incomes, Quayside will offer a dynamic environment where residents can live, work, and play.

This prime waterfront location, once slated for the failed Sidewalk Labs initiative by Google Inc. and Waterfront Toronto, will now be revitalized with cutting-edge architecture and design. Notable architects Adjaye Associates, Alison Brooks, and Henning Larsen will contribute to the development, promising to reshape Toronto’s waterfront and skyline with world-class design. ■

Shane is the Director of Preconstruction for Axiom Builders, based out of Vancouver, BC.

With over sixteen years of experience, Shane is a seasoned construction professional specializing in cost consulting & project management. He is a Past President of the CIQS – BC Chapter, where he served for ten years, and is currently an Assistant to the Construction Economist editor.

RECENT CHANGES IN CANADIAN BUILDING CODES AND REGULATIONS

By Ibrahim Oladapo, PQS, PMP

Introduction

Building codes in Canada are critical for ensuring the safety, sustainability, and efficiency of the built environment. The National Building Code of Canada 2020 (NBC), a model code published by the National Research Council of Canada (NRC), serves as the foundation for building codes across the country. Other applicable codes include the National Plumbing Code of Canada 2020 (NPC), the National Fire Code of Canada 2020 (NFC) and the National Energy Code of Canada for Buildings 2020 (NECB). The adoption and enforcement of these building codes vary across federal, provincial, and territorial jurisdictions, leading to a patchwork of regulations tailored to regional needs. This year saw the implementation of updates and changes to align with the NBC 2020, which have significant implications for construction and infrastructure projects across Canada.

Building Codes at the Federal and Provincial Levels

The NBC is not a legally binding document but provides a basis for provinces and territories to develop or update their own building codes.

The provinces and territories are responsible for adopting and enforcing building codes, meaning that the NBC serves as a guideline that each region can modify according to its specific climate, geography, and societal needs.

At the federal level, the National Building Code 2020 was introduced to reflect the latest advancements in construction technology, sustainability practices, and safety measures.

Provincial and territorial building codes, which are based on the NBC, are updated periodically to align with the federal model code.

Several provinces, including Ontario, British Columbia, and Alberta, are implementing updates to their codes based on the NBC 2020.

The British Columbia Building Codes 2024 (BCBC) came into effect on March 8, 2024, however, the effective date for new adaptable dwellings and earthquake design changes is being deferred to March 10, 2025, to allow for further consultation and training to enable low or no-cost design solutions. In Alberta, the National Building Code – 2023 Alberta Edition and National Energy Code of Canada for Buildings 2020 were

declared in force effective May 1, 2024. The 2024 Ontario Building Code will come into effect on January 1, 2025. These updates are crucial for ensuring that construction practices across the country remain current with modern standards.

Key Changes in the NBC 2020

The NBC 2020 introduced a range of changes that affect various aspects of building design and construction. The key changes include:

Energy Efficiency: New provisions for energy efficiency have been introduced to reduce carbon footprint of buildings. The NBC 2020 emphasizes the use of high-performance building envelopes, advanced HVAC systems, and renewable energy integration. These changes align with Canada’s commitment to reducing greenhouse gas emissions.

Fire

Safety:

Enhanced fire safety measures include stricter requirements for fire resistance in building materials, improved fire detection systems, and more rigorous evacuation protocols. These updates are particularly

important for high-rise buildings and other large structures.

Accessibility: The NBC 2020 has expanded accessibility requirements to ensure that buildings are more inclusive. This includes updated standards for ramps, doorways, elevators, and accessible washrooms. These changes aim to make public and commercial buildings more accessible to people with disabilities.

Structural Design: Changes in structural design codes reflect advancements in materials science and construction methods. The NBC 2020 includes updated standards for seismic design, wind loads, and snow loads, ensuring that buildings are more resilient to natural disasters.

Sustainability: There is a stronger focus on sustainable construction practices, including the use of low-impact materials, water conservation strategies, and waste reduction techniques. The NBC 2020 encourages builders to consider the lifecycle impact of materials and construction methods.

Impact on New and Ongoing Construction Projects

The implementation of these changes has a significant impact on both new and ongoing construction projects. For new projects, compliance with the updated building codes is mandatory, which may require changes in design, materials, and construction techniques. Builders and developers must ensure that their projects meet the latest standards to obtain permits and pass inspections. For ongoing projects, the situation is more complex. Projects that were permitted before the new codes took effect may not need to comply with the updated standards, depending on the jurisdiction. For example, in British Columbia, buildings with permits in place under the old BC Codes 2018 will generally not be affected by the new 2024 Building Codes. In Ontario, while the new 2024 Building Codes will be in effect from January 1, 2025,

there is a three-month grace period until March 31, 2025, for certain designs that are already underway. Thus, for projects that are still in the design or planning stages, it may be necessary to revise plans to align with the new codes. This can lead to delays and additional costs, but it also ensures that the final construction is safer, more sustainable, and more efficient.

Opportunities for Construction Cost Estimators and Quantity Surveyors

The recent changes to building codes present opportunities for construction cost estimators and quantity surveyors to play a crucial role in the industry. As these professionals are responsible for assessing and managing the costs associated with construction projects, they are well-positioned to evaluate the financial impact of complying with the new codes. Key considerations include:

Cost Analysis and Impact Assessment: They can review the new building code requirements and provide detailed cost analyses for compliance. This includes evaluating the cost of materials, labour, and potential design changes. By identifying cost-effective solutions that meet the updated standards, estimators and quantity surveyors can help clients manage their budgets while ensuring compliance.

Value Engineering: They can leverage the new codes to advise on value engineering opportunities. This involves finding alternative materials or construction methods that reduce costs without compromising quality or safety. For instance, by exploring the use of innovative, energy-efficient materials, estimators and quantity surveyors can help clients achieve compliance at a lower cost.

Risk Management: Compliance with the updated building codes also involves managing the risks associated with non-compliance. Estimators and quantity surveyors can assess the risks of failing

to meet the new standards and develop strategies to mitigate these risks. This includes ensuring that all subcontractors and suppliers are aware of and adhere to the new requirements.

Training and Development: The changes in building codes necessitate ongoing training and development for construction professionals. Estimators and quantity surveyors can take the lead in organizing training programs that educate their teams on the new standards and best practices for compliance. This proactive approach not only enhances the skill set of the workforce but also ensures that projects are completed efficiently and within budget.

Conclusion

The recent updates to the Canadian Building Codes, particularly those based on the NBC 2020, represent a significant shift towards safer, more sustainable, and more inclusive building practices. While these changes present challenges for the construction industry, they also offer opportunities for cost estimators and quantity surveyors to provide valuable insights and solutions. By staying informed about the latest code requirements and leveraging their expertise, these professionals can help their clients navigate the complexities of the updated building codes while optimizing project outcomes. ■

Ibrahim Oladapo’s career spans three continents (Africa, Europe, and North America) and over years in consulting, contracting, academia, and public service. He possesses a master’s degree in project and enterprise management and a bachelor’s degree in quantity surveying. He is a Cost Manager with the Government of Alberta and provides expertise for the planning and delivery of the province’s vertical infrastructure projects. Based in Edmonton, Alberta, Ibrahim is the CIQS Education Director.

COMPENSATION REGIMES: ADOPTING A NUANCED APPROACH

By Karen Cheung, Bsc (Surv), PQS, MRICS, MCInstCES, Senior Contracts & Commercial Specialist, Lakeland Consulting Inc.

The construction industry in Canada employs an estimated 1.5 million people, emphasizing its vital contribution to the economic landscape.1 Within this context, the sustainability of construction firms constitutes a critical pillar,

exerting a profound impact on many people within the construction industry. However, the rapid increase in insolvencies within the construction industry in Canada is causing considerable alarm. These insolvencies numbered 569 for the fiscal year ending in February 2024,

significantly higher than 370 recorded in 2023. 2

Some underlying contributing factors to this concerning trend are the prevailing increasing inflation rate, labour shortage, and disrupted supply chain. Such economic uncertainty and rising costs bring to the fore

the need to ensure that owners of construction projects (“Owners”) duly compensate vendors, suppliers, general contractors, subcontractors (collectively “Contractors”) to ease the financial strain on construction firms.

In considering such compensation, it is essential to comprehend the regimes of compensation and payment among parties to construction contracts (“Parties”) which are legally binding agreements among Owners and Contractors who participate in the successful performance of construction projects. Cashflow remains an intrinsic part of the ecosystem for successful project delivery.

Contractors receive monetary compensation from Owners that they use to cover the costs of project delivery, including labour, equipment, materials, subcontractor costs and overheads as well as recovering profits for performing the scope of work specified in a construction contract, with payment arrangements often tailored to the type of project and payment terms.

Payment Terms and Schedules

Contracts generally outline conditions and timelines including the intervals, methods and requirements for Contractors to receive interim payments, enabling a predictable cash flow and profitability to Contractors. Failure to certify payments within the stipulated period could constitute a fundamental breach of contract by Owners, the remedy for which is often the payment of interest in the event of late payment.

Compensation in progress payments and milestone payments is typically linked to the value of the work executed. Nevertheless, advance payment before commencing work often helps reduce a Contractor’s initial working capital requirement and to secure early orders, a practice that has become increasingly common. To mitigate risks arising from any breach of contracts or unsatisfactory performance by Contractors, Owners may request an advance payment bond from a bank or insurer guaranteeing payment.

Looking ahead, the Federal Prompt Payment for Construction Work Act has also been impacting the compensation ecosystem. To alleviate perceived payment delays and facilitate timely payment throughout the contracting chain, including contractors, subcontractors and sub-subcontractors, the federal prompt payment legislation came into force on December 9, 2023. Under the terms of this legislation, His Majesty or a service provider will have 28 days to pay for the construction work that was performed by the contractor, or performed and invoiced by any subcontractor in the subcontracting chain after the day on which the proper invoice is received by His Majesty or the service provider 3 , noting that:

A contractor will then have to pay its subcontractors for the construction work that they invoiced and that was covered by the proper invoice and paid for by His Majesty or the service provider no later than the 35th day after the day on which the proper invoice is received by His Majesty or the service provider. The same approach applies to the contracting payment chain among subcontractors and their sub-subcontractors, but with 42nd day after the day on which the proper invoice is received by His Majesty or the service provider.

Compensation in Different Circumstances

The compensation mechanism selected and agreed among Parties varies based on the nuances of each and every situation, with each requiring adherence to the specific requirements outlined in the contract. Compensation can be determined i) prior to or after the award of the contract, ii) considered as an obligation from Owners to Contractors, and vice versa; iii) triggered by Owners, Contractors or neither party; and also iv) assessed under different principles. Major circumstances associated with the compensation are discussed below:

A. Contract Work

Contractors are compensated for their performance of contract works based on a pre-determined fixed price in a stipulated price contract or schedule of rates in unit price contract, irrespective of the costs incurred by Contractors.

In cost plus contracts, Contractor compensation is based on cost incurred. Heightened accountability and enhanced management responsibility in record keeping of project expenditures are therefore anticipated from Contractors to facilitate audit process conducted by Owners.

A hybrid approach, utilizing more than one type of compensation within the same contract, can accommodate the varying degrees of cost certainty and nature of work items. In any case, it is critical to clearly define the compensation types for each portion of the work in the contract.

B. Late Completion

Liquidated damages are mutually agreed, pre-determined monies payable in the event of a breach of contract. Typically, they are used by Owners to seek compensation for real or perceived losses resulting from Contractors failing to complete their work on time. To be enforceable, liquidated damages must represent a genuine pre-estimate of the cost or damage that Owners will likely suffer because of Contractor delay.

With the inclusion of liquidated damages clauses in bid documents, Contractors can assess their potential risk exposure during the tendering process, whilst Owners are relieved from the costly and time-intensive task of proving probable loss that may be incurred from the late completion of a project.

C. Variations

Variations (also referred to as Changes), either instructed by Owners or initiated by Contractors, often involve modification of the original scope of work specified in the contract

through an addition, omission, or substitution.

Variations typically result in alterations to the permanent works and are normally assessed based on or with reference to a predetermined schedule of rates or prices incorporated in the contract. This structured approach provides clear and predictable insights into the cost compensation of variations. To be entitled to compensation, Contractors generally need to refer to formal instructions issued by Owners.

D. Claims

Claims often result in modification to the approaches for delivering the permanent works. Additional time and/or monetary compensation are sought to cover unexpected events such as late handover of the site and unforeseen conditions that are not originally anticipated in the contract. Claims are generally assessed by reference to incurred costs to place Contractors in the same position they would have been had the contract been performed as intended. Outlined below are essential elements that need to be meticulously addressed in relation to claims for a reasonable and genuine compensation: Entitlement shall be established. The terms and conditions of an original contract or supplemental agreement following the award of contract must stipulate the events such as suspension of works and unforeseen ground conditions, which could give rise to an entitlement to claim an extension of time or an adjustment to the contract price.

Compliance with relevant contractual clauses comes after determining the nature of the entitlement. Typical clauses are notice requirements, along with the manner of notification and the timing of such notification. The required notices, if any, must be provided within the stipulated timeframe.

The decision of the Ontario Superior Court of Justice in Elite

Construction Inc. v. Canada (Elite v Canada)4, in which Elite’s claim for damages arising from delay were dismissed due the failure to provide notice of the claim within the contractual timeframe, highlights the importance of adhering to the contractual notice provisions. Causal link is required to demonstrate the link among the events and effects on the project in terms or time/and or costs. Time impact can be events that directly impact the critical path of projects, thereby extending the duration of projects. Meanwhile, the cost impacts can be associated with additional time-related costs, loss of productivity, abortive work, acceleration and mitigation measures.

Substantiation is typically provided in the form of contemporaneous project documentation, including but not limited to daily reports, salary records, meeting minutes, proof of payment, and program updates and revisions.

Often, claim reviewers encounter situations where proper substantiation is lacking. This may result from high costs associated with processing construction claims effectively or from inadequate record keeping by Contractors. In this context, by leveraging the expertise of delay experts, quantum experts or other technical experts, Owners are encouraged to assess a fair value for the claim in a manner that is commercially and economically reasonable and acceptable to Parties.

Costly and lengthy formal disputes should be avoided whenever possible. Causing Contractors undue financial hardship is detrimental to project outcome, potentially leading to delays and increased costs incurred from factors such as further prolongation of the project, and disruption. Where claims remain unresolved for lengthy periods, efforts are focused on the claims rather than the delivery of projects. Indeed, a mutually beneficial outcome can be fostered by fulfilling the objectives

of projects in relation to budgeting, time, and quality. Achieving fair compensation can align the interests of Parties and enhance the overall success of projects.

In conclusion, parties are obligated to diligently seek and pay compensation in accordance with the provisions outlined within the prevailing contractual agreement. The evolving landscape for negotiating contracts and settling ongoing disputes present challenges for both Owners and Contractors. To arrive at a timely and fair compensation regime, it is anticipated that attention will be focused on suitable compensation regime, flexible and customized payment schedule, compliance with contract notice requirements, early identification of potential claims, contract structuring for better risk allocation among Parties, and mechanism to manage price fluctuation. Ultimately, making and receiving payment is a pivotal element in preserving the robustness and perpetuating the longevity and resilience of an organization.

*Please note that this paper does not constitute legal opinion, and the reader should seek legal advice, if applicable, in respect of any particular nuance or situation that may arise.* ■

References

1. Government of Canada – Public Services and Procurement Canada (2023). New federal prompt payment legislation to protect construction workers.

2. Robin, M. (2024, April 23). Construction industry facing growing challenges as insolvencies surge. Ontario Construction News.

3. Federal Prompt Payment for Construction Work Act. S.C. 2019, c. 29, s. 387.

4. Elite Construction Inc. v. Canada, 2021 ONSC 562.

Karen Cheung is a Professional Quantity Surveyor and Chartered Surveyor with experience of working on projects in Canada and Hong Kong. Karen continues to be involved in project planning/design, cost estimating including during the pre-contract, delivery, and post-construction phases of projects.

By Mykola Pulnyev, PQS, MRICS, PMP, P.GSC

THE KEY TO MASTERY: ENHANCING SKILLS AND WELL-BEING FOR YOUNG QUANTITY SURVEYORS A

s we enter the latter part of 2024, it’s crucial for young quantity surveyors (YQS) to reflect on their journey and plan for future growth. This involves gaining practical experience, leveraging technology, developing leadership and soft skills, understanding sustainability, committing to continuous professional development, and prioritizing mental health.

Practical Experience

Engaging in hands-on activities is crucial. Regular site visits and fieldwork provide insights into the construction process that textbooks cannot offer.

Technological Advancements

Staying updated with these advancements can significantly enhance your efficiency and effectiveness. Explore AI and machine learning, familiarize yourself with AI tools for project risk prediction, schedule optimization, and cost management. Microsoft Copilot, Perplexity and ChatGPT have been game changers for me. Give them a try.

Leadership and Soft Skills

Developing leadership and communication skills is vital. Participating in workshops and seeking mentorship can enhance these abilities. Emotional intelligence is also key to fostering teamwork and client relationships.

Sustainability

Understanding, measuring, and managing greenhouse gas (GHG) emissions in the construction supply chain are crucial for reducing the industry’s environmental impact and

aligning with global sustainability goals. Ability to identify key emission sources, optimize resource use, and implement more sustainable practices, ultimately leading to cost savings and improved compliance with regulations. By prioritizing GHG management, the construction industry can contribute significantly to mitigating climate change and promoting a greener future. Familiarity with these aspects will distinguish you as a forward-thinking professional.

Continuous Professional Development

Attending industry conferences and obtaining CEC or PQS certification can showcase your commitment to growth and expertise. Take advantage of mentorship programs, especially as the CIQS is planning to launch one soon.

Mental Health and Well-Being

Maintaining mental health is crucial for long-term success. Practices such as regular exercise, mindfulness, and seeking professional support when needed can help manage stress and ensure personal fulfillment. Wellness Together Canada offers a comprehensive range of free mental health resources, including online self-assessment tools, self-guided courses, and counseling services available via phone, text, or video. Additionally, the Canadian Mental Health Association (CMHA) provides support and information tailored to various needs, including youth, Indigenous peoples, and those affected by substance use. For immediate assistance, individuals can access a 24/7 crisis helpline by calling or texting 9-8-8, ensuring that help is always available.

Building a Supportive Network

Cultivating a strong professional network through mentorship and joining organizations like the CIQS can provide valuable support and opportunities.

Conclusion

As you progress in your career as a young quantity surveyor, remember that the combination of practical experience, technological proficiency, leadership skills, soft skills development, sustainability knowledge, continuous learning, mental well-being, and a strong professional network will pave the way for success. Embrace these elements, stay proactive, and strive for excellence in your field. ■

Mykola’s deep understanding of the construction world comes from working for both public and private clients in property, transportation, food manufacturing, defence, and clean energy sectors. These diverse experiences have resulted in a balance of knowledge and creativity that drives the desire to advocate and promote the Quantity Surveying Profession and practice best industry standards.

Mykola’s true desire is to guide clients towards a predictable and successful outcome.

Mykola holds an Advanced diploma in Construction Engineering Technology Management from George Brown College and a bachelor’s degree in applied science in Technology Management from Bemidji State University.

QUANTIFYING CARBON IN BUILDINGS AND CONSTRUCTION

CASE STUDY FOR MECHANICAL AND ELECTRICAL SERVICES (OPERATIONAL CARBON)

By Ayo Daniel Abiola, P.Eng, PQS

In this fourth and final part of the series, operational carbon assessment is discussed as an integral part of a whole building life cycle carbon assessment (wbLCA). The wbLCA is a quantified aggregate of the embodied carbon and operational carbon the building emits over its entire life cycle (Figure 1).

Operational carbon is a derivative of the energy, water, and other process resources that are consumed during the “Use” phase of the constructed asset. If conducted during the design phase, wbLCA allows the project team and stakeholders to evaluate alternative design options towards low carbon pursuits. Quantity surveyors can assess a building’s embodied

carbon footprint as part of the assessment of whole life carbon.

Understanding Operational Carbon Emissions of Buildings

Operational energy used in buildings is mostly due to their mechanical and electrical systems. Mechanical systems include the equipment and fixtures for plumbing as well as heating, ventilation and air conditioning (HVAC) services, along with their controls. Electrical systems comprise of the incoming service and distribution equipment, lighting, plug loads and ancillary systems such as fire alarm, communication, securities etc. Beyond the building’s mechanical and electrical services, the energy from various

sources consumed by inhouse process and other operational services may add to the total energy load of the building. To determine operational energy, the total energy from all sources used over the life of a building is assessed and expressed in a common unit of measure such as kilowatt hour equivalent (kWhe) or Gigajoule equivalent (GJe). The total annual energy may also be converted to energy use intensity (EUI), a metric for the energy use per gross floor area over an entire year expressed in kWhe/m2 /yr. The EUI allows energy performance of a building to be compared to buildings of similar types and energy sources. A similar assessment for water and other operational processes can be conducted.

Although the assessment of operational resources (energy, water, process resource, etc.) is typically outside the scope of practice for quantity surveyors, they are required input to determine operational carbon, as part of the whole life carbon assessment. Hence, it is prudent to understand how they are obtained. Also, note that Canada’s current estimate of the carbon footprint of the building sector in the 2030 emissions reduction plan is solely based on operational carbon since embodied carbon data of the building sector from construction to end-of-life are largely unavailable. Efforts to quantify embodied carbon

Figure 1: Operational carbon as part of whole life carbon of a building.

of the building sector in Canada are in relative infancy and this is an area of service opportunity for quantity surveyors through expertise in quantifying a building’s bill of materials. For brief guidance on how to quantify and assess embodied carbon, please refer to Part 3 of this series in the summer 2024 issue of Construction Economist

Most of the operational carbon emitted from Canadian buildings are from space and water heating where natural gas and other fossil fuels are often used. Electricity for lighting, plug load and ancillary systems and processes are next in line as key sources of operational carbon from these buildings. The carbon intensity of electricity is dependent on how it is generated. In provinces such as Alberta and Saskatchewan, the grid’s electricity is primarily generated from the burning of fossil fuel, whereas Manitoba, Ontario and Quebec use low-carbon sources such as hydro and/or nuclear for electricity generation. Figure 2 shows the average carbon intensities of the electricity grid across Canadian provinces due to their electricity generation sources. Figure 2 implies that a building in Saskatchewan will have almost 400 times the operational carbon footprint due to its electricity use compared to a similar building in neighbouring Manitoba. Across Canada, electricity providers are working towards decarbonization of their generation activities. In Saskatchewan, the province electricity provider, SaskPower is already exploring clean nuclear-sourced electricity generated through small modular reactors (SMRs). A common pathway often recommended for buildings to reduce their operational carbon intensity is the electrification of heating by switching heating and energy use from natural gas and other high carbon intensive energy to electricity. Since Canada’s building and housing stock is projected to grow, embodied carbon will no doubt increase along with it. Experts therefore suggest that reducing operational carbon is key to managing and lowering the growth of the carbon emissions of the building sector. A study from the Climate Risk Institute compared the operational and embodied carbon intensity of high-performance buildings

Figure 2: 2024 carbon intensity of electricity grid across Canadian jurisdictions.

Figure 3: Comparing carbon footprint of high-performance buildings powered by electricity in Ontario (upper) and Alberta (lower).

powered by electricity in Ontario which has low carbon intensive electricity, with similar buildings in Alberta where the electricity grid has a high carbon intensity (see Figure 2). Their results shown in Figure 3, indicates that upfront or embodied carbon are the bulk (>80%) of carbon footprint in the Ontario building, whereas in Alberta, operational carbon was dominant over the life of the similar building.

Quantifying Operational Carbon Footprint for a Municipal Building

In the example of a small municipal building located in Ontario, analysis of the operational energy consumption indicated the following distribution of energy consumption: heating 49% of total energy use, domestic hot water 10%, lighting 18%, ventilation 8%, cooling 1%, plug load 1% and other equipment and process energy consumption was 13%. The available resources were electricity, natural gas, propane and water, and the consumption data was obtained through analysis of monthly utility bills

for over a two-year period. Analysis of energy consumption showed that 250GJ of natural gas was consumed annually and electricity consumption was 36,115 (or 130 equivalent gigajoules, GJe) per year. These annual operational values are convertible to equivalent carbon emissions by applying the appropriate carbon intensity factors. According to the 2023/2024 data, 1kwh of Ontario’s grid electricity release 30g CO2 (see Figure 2), whereas each cubic metre of natural gas releases 1921g CO2 emissions. The resulting carbon emission footprints for this facility are shown in Table 1.

In the above example, the small office generates less than 14 tonnes CO2 emissions for annual operations, which is the equivalent of driving 14 average-efficiency, mid-size vehicles from Toronto to Vancouver. However, this is accounting for only the operational carbon emissions for one year. A whole life carbon emissions of the building must account for annual operational emissions over the building’s life along with the upfront

construction carbon and embodied carbon due to future renewals, replacement, maintenance, and even decommissioning at end of life. ■

Ayo Daniel Abiola, P.Eng, PQS is the manager of Hanscomb’s Saskatchewan office and a seasoned Mechanical Quantity Surveyor. Combining his expertise as both a Professional Engineer and a Quantity Surveyor, Ayo effectively balances cost, sustainability, and performance in new construction and renovation projects across Canada. Ayo is an ASHRAE Certified Decarbonization Professional (CDP) and a recognized expert in sustainable infrastructure. He has trained over 300 public and private sector professionals in system analysis methods for sustainability planning. He is licensed to practice engineering in Ontario and Saskatchewan and is deeply committed to environmentally responsible and cost-effective building solutions. Ayo lives in Regina, Saskatchewan.

Table 1: Estimating the operational carbon for a municipal building in Ontario.

CIQS PUSHES THE FEDERAL GOVERNMENT TO MOVE FORWARD ON A NATIONAL INFRASTRUCTURE ASSESSMENT

By Dan Marino

Canada’s construction sector is a cornerstone of our economy, delivering tangible benefits to communities across Canada. Infrastructure development and preservation generate jobs, strengthen businesses, and enrich the lives of Canadians. From towering skyscrapers to intricate road networks, all aspects of society are touched by the construction sector.

While Canada works towards a net-zero future under the priorities set in the federal government’s climate plan, Canada must identify its evolving infrastructure needs and undertake evidence-based, long-term planning toward a net-zero emissions future.

Yet, the federal government continues to postpone the implementation of a National Infrastructure Assessment to determine Canada’s long-term infrastructure needs. Recognizing the pivotal role of Construction economists and the expertise they bring to Canada’s long-term infrastructure is why members of the CIQS should advocate to their Members of Parliament about this issue. CIQS advocacy is crucial to ensure the health

and vibrancy of the construction industry and a sustainable future for Canada’s infrastructure.

The Foundations of a National Infrastructure Assessment

A National Infrastructure Assessment is crucial to ensure Canada keeps pace with the world as countries transition to net-zero, to link our infrastructure investments with outcomes, and to ensure Canada creates good jobs for the future by growing the economy.

The current government has been mulling a National Infrastructure Assessment since 2021. Former Minister of Infrastructure and Communities Catherine McKenna requested input from the public, Indigenous peoples, provinces, territories, municipalities, and stakeholders to advise the purpose and benefits of undertaking a National Infrastructure Assessment. The CIQS provided input to be included in the report. The results of the public consultation were published in the government’s report, Building Pathways to 2050: Moving Forward on the National Infrastructure Assessment. As part of this assessment, it was

advised that the government create an independent advisory body to carry out the Assessment and provide the Government with impartial, expert, and evidence-based advice on challenges and opportunities for major infrastructure in Canada.

Since the release of the Building Pathways to 2050: Moving Forward on the National Infrastructure Assessment report, the government has yet to implement any concrete recommendations made through the consultations outlined in the report.

The Role of CIQS and the Construction Industry

The federal government must chart a plan for economic growth that addresses inflationary pressures, shortages in the labour market, and supply chain constraints, all while achieving a net-zero future. There is a critical need for industries to work well together, be flexible, and work with the government to ensure Canada’s infrastructure needs are met. That being said, without a concrete plan to assess and address Canada’s current and future infrastructure needs, Canada will struggle to reach its net-zero goals and fall behind

the rest of the world as it builds sustainable infrastructure.

Construction economists bring invaluable expertise in quantifying project costs, forecasting feasibility, and industry trends. Their expertise is essential to Canada’s construction industry and to the future sustainable infrastructure in Canada. The federal government must move forward on a National Infrastructure Assessment with

an advisory body that includes Construction Economists to inform decision-making and avoid costly overruns or inadequate planning. By undertaking a thorough National Infrastructure Assessment with the right experts at the table, Canada can develop a sustainable long-term infrastructure plan that maximizes return on investment and ensures Canadians have access to essential services for generations to come.

CIQS and Members Advocacy

As part of the House of Commons Standing Committee on Finance’s pre-budget consultations, the CIQS submitted a pre-budget submission brief to the committee reiterating the CIQS call for the federal government to move forward on a National Infrastructure Assessment with an advisory panel that includes Construction Economists at the table. As the CIQS engages elected officials in the fall, it will continue to highlight the tremendous impact Construction Economists have on Canada’s infrastructure and Canada’s construction industry.

CB Ross Partners have job opportunities in our Project Monitoring department for Assistant Cost Consultants, Cost Consultants and Senior Cost Consultants.

Candidates must have:-

By actively engaging in advocacy efforts, CIQS members can leverage their knowledge and influence to bring about change. They possess a deep understanding of the complexities of construction projects and the financial intricacies involved. This places them in an ideal position to communicate the dire consequences of delayed payments to policymakers and the public. In the coming weeks, the CIQS will be sharing materials to support members in engaging their local representatives on these issues.

The construction industry’s importance to society cannot be overstated. Its projects shape the skylines of cities, connect communities, and fuel economic growth. By engaging with their Members of Parliament and emphasizing the necessity of prompt payments, CIQS members can contribute to a more sustainable, efficient, and prosperous Canada –one that continues to build the world in which we live, while ensuring the sustainability and vitality of our built environment. ■

Dan Marino is a Public Affairs Associate with Impact Public Affairs in Ottawa, Ontario. Dan works with various clients, including the Canadian Institute of Quantity Surveyors, to engage the government issues.

New Designation Holders

CONGRATULATIONS TO THE FOLLOWING DESIGNATION HOLDERS WHO HAVE QUALIFIED AS A PQS OR CEC

CIQS – British Columbia

Aye Mya Thida Thwin, CEC

Byeongoh Jin, PQS

Cameron Power, CEC

Charlyn Digal Bolos, PQS

Chiaka Opara, PQS

Darwin Santos, PQS

Hong Wang Hui, CEC

Jing Yan (Iris) Feng, CEC

Man Kong Ng, PQS

Olakanmi Ayodele Olaleye, CEC

Terence C. Mercado, CEC

CIQS – Maritimes

Ankur Mahendru, CEC

Arlene Bulaong, CEC

Bibitayo Oluwatoyin Olatunde, PQS

Christopher O’ Rourke, CEC

Garret Johnson, CEC

Olawale Ogunduyile, CEC

Parteek Kaur Smagh, PQS

Quintyn Modeste, CEC

Temitayo Olarewaju Daramola, CEC

CIQS – Newfoundland & Labrador

Patrick Lafreniere, CEC

CIQS – Members at Large

Charlotte Ama Anie, PQS

Israel Nhimura, PQS

Oladapo Olabamijo Onifade, CEC

Sze Wai Ng, PQS

Thisula Imanka Ganegoda Haputhanthrige, PQS

CIQS – Ontario

Ahmed Oluwatobi Saibu, PQS

Ayad Gorgies, CEC

Bobish Bhujel, CEC

Chido Madamombe, PQS

Geraldine Barona, CEC

Giovanna Helmer, CEC

Hammed Adedamola Bello, CEC

Hannah Whyte-Fagundes, PQS

Ho Yin Frank Ng, CEC

Jay Gajiwala, CEC

Jeannie Anne Legaspi Agbulos, CEC

Joanna Woodward, CEC

Joy Dagohoy, CEC

Juvy Anne Alba Lao, CEC

Kittaporn Apidettanarak, CEC

Man Chung Ricky Chu, PQS

Marinela S. Coloma, CEC

Massih Arasteh, CEC

Mohamed Nabet, CEC

Mohammad Obaid Rasheed, CEC

Mudhafar Al-Gburi, CEC

Nazar Stetsko, CEC

Nicolas Herrera Sepulveda, CEC

Prathamesh Sanjay Raut, PQS

Saravana Kumar Thangavelu, CEC

Tanya Raso, CEC

Thomas Chiarotto, CEC

Thumalka Melani Kumari Ranasinghe Kumarasinghe Mudiyanselage, CEC

Timilehin Micheal Oluyemi, CEC

Vishal Sharma, CEC

Yea Sol Claire Oh, PQS

CIQS – Prairies and NT

Airish Del Mar, CEC

Brayden Sanclemente, PQS

Brenda D. Tubig, PQS

Carla Janine Geronimo Rivera, CEC

Colin Elliott, CEC

Emmalyn Solomon Gumana, CEC

Fayaz Kadir, CEC

Josielyn Castillo Tambal, CEC

Kouadio Fulgence Amani, CEC

Michael Kordos, CEC

Naveen Madnani, CEC

Temitayo Awodele, CEC

Troy Freadrich, CEC

Yining (Sophie) Wang, PQS

CIQS – Québec

Ayooluwa Emmanuel Kegbeyale, CEC

Danny Pineault, ECC/CEC

Medhi Bohloul, ECC/CEC

Salim-Zouhir Bourouba, ÉCA/PQS

Leadership Interview

ANIL SAWHNEY

PH.D.,

PMP, FHEA, FRICS HEAD OF SUSTAINABILITY, RICS

Interview conducted by Arif Ghaffur

Anil Sawhney, as the Head of Sustainability at the Royal Institution of Chartered Surveyors (RICS), leads a range of global initiatives to achieve RICS’s strategic goals in sustainability leadership and influence. He is instrumental in shaping the knowledge, guidance, and training frameworks within the built environment sector, emphasizing environmental sustainability. Additionally, Anil holds adjunct positions at Boston University, Liverpool John Moore’s University, and the University of Southern California. His diverse experience spans academia, research, industry, and consulting in various countries, including the USA, India, Canada, the UK, and Australia. Anil has co-authored handbooks including the “Construction 4.0-Innovation Platform for the Built Environment” and “Handbook of Construction Safety, Health, and Well-being in the Industry 4.0 Era.” As the chair of the Standard Setting Committee of the International Cost Management Standard (ICMS), he contributes to developing the ICMS taxonomy for lifecycle costs and carbon emissions reporting of projects and assets. He also contributes his expertise to the Stakeholder Advisory Group of the UKCRIC and the FAST-Infra Label Executive Advisory Committee, furthering his impact in the field.

Could you tell us about your career and progress in project management, construction, consultancy, and academia?

Throughout my career, I have had the privilege of working in

the construction sector, focusing on project and cost management across the globe. Beginning with my undergraduate studies in civil engineering, I embarked on a transformative path that has shaped my professional trajectory. My initial foray into the industry involved working on a natural gas-based fertilizer plant in a remote corner of India. This immersive experience not only honed my skills in industrial construction but also exposed me to the challenges of working in isolated locations, instilling in me a deep appreciation for effective project management. It was here that I recognized my passion for overseeing complex projects, prompting me to pursue a master’s degree focusing on project management.

Eager to delve deeper into academia and research, I embarked on a Ph.D. journey at the University of Alberta. During this time, my focus shifted towards simulation-based construction project planning, a niche area that continues to drive innovation in the industry. Since obtaining my Ph.D., my career has taken me across diverse paths, from academia to consultancy and even entrepreneurship. From teaching and research at the graduate and undergraduate levels to conducting research and working with industry leaders, I have had the good fortune of working in universities in Canada, the US, the UK, India, and Australia.

In 2005, I ventured into the realm of technology by founding a tech company, where I had the opportunity to apply my expertise in novel ways. As an outcome of the work performed

with the homebuilding industry, I co-founded a software company to deliver automated construction project management tools for home builders and trade contractors.

Presently, I am honoured to serve as the Global Head of Sustainability for the Royal Institution of Chartered Surveyors (RICS). In this role, I am entrusted with spearheading initiatives aimed at decarbonizing the construction sector and collaborating with members, firms, and stakeholders worldwide. It is a role that not only aligns with my passion for sustainable development but also allows me to contribute meaningfully to the future of our industry.

What is your current role with the RICS and how does this differ from your previous role of Director of the Infrastructure Sector?

As the Director of the Infrastructure Sector, my primary objective revolved around delving deep into the intricate issues and challenges within the realm of commercial management of projects, with a specialized emphasis on infrastructure. During this tenure, my efforts were directed toward developing international standards, notably participating in the creation of the International Cost Management Standard. However, in July 2023, I embraced a new challenge as the Head of Sustainability, assuming the mantle of being the singular

accountable leader for RICS’ sustainability program. This transition marked a pivot towards a broader, more strategic focus on sustainability. In my current role, my primary responsibilities entail orchestrating RICS’ global sustainability program, ensuring seamless coordination across departments to maximize the program’s impact. This involves navigating a complex network of internal and external stakeholders, each with their interests and expectations of success.

Integral to my role is fostering an ongoing dialogue with stakeholders to cultivate transparent and constructive relationships, positioning RICS as a thought leader in this critical domain. Moreover, I am entrusted with identifying organizational gaps in understanding and capability, spearheading initiatives for upskilling and sourcing missing competencies to ensure RICS remains at the forefront of sustainable practices.

What do you see as the ongoing challenges and emerging opportunities for the built and natural environments?

Amidst the many challenges facing our built and natural environments, I see climate change and climate action as the most urgent. Our response to climate change will shape the future of our fields and our impact on our global society. When considering how climate change intersects with our work, the move towards decarbonization and including factors related to biodiversity comes to mind. As a whole, it is vital to understand how our professions relate to climate resilience and adaptation to gear us towards a brighter future.

Furthermore, while Quantity Surveyors have an essential role in responding to the challenges posed by climate change in our field, no single entity or professional can tackle this crisis alone. Collaboration and joined-up working are key. For example, while decarbonization experts can assess a project’s carbon

footprint, understanding its broader downstream impacts is crucial. In this instance, Quantity Surveyors can leverage their experience in quantifying costs to contribute. Strong leadership during construction is essential to not only address inefficiencies in projects but also move us toward a more sustainable future.

In the context of your academic involvements, including as a visiting professor, how can we improve knowledge share?

Firstly, it’s essential to recognize and address the unique challenges inherent in the construction industry, such as the resistance to simple cost comparisons and benchmarking. During my tenure as a technical consultant to the World Bank, I collaborated on developing a spatial and temporal comparison framework tailored to the complexities of the construction sector. This initiative not only underscored the importance of customized solutions but also highlighted the significance of testing and refining methodologies on a global scale. Moreover, establishing collaborative platforms that bridge academia and industry can facilitate knowledge exchange and innovation. My involvement in initiatives like AzPATH, a public-private partnership that promotes research and development in the home-building industry, exemplifies the power of such collaborative endeavors. By bringing together academia, major homebuilders, and government agencies, AzPATH served as a conduit for translating cutting-edge research into practical applications, ultimately leading to the founding of companies. Additionally, fostering a culture of open communication and partnership between academia and industry stakeholders is paramount. By facilitating forums, workshops, and seminars where researchers and industry professionals exchange insights, ideas, and best practices, we can create synergies that drive continuous improvement and innovation within the sector.

What is your advice to aspiring professionals who would like to achieve a leadership position?

As a young professional, I was fortunate to receive what I still consider invaluable advice, which shapes my approach to my work to this day. The guidance I received emphasized a fundamental truth: you’re hired for your technical prowess, promoted for your managerial acumen, and risk stagnation without leadership skills. While mastering technical skills is undeniably crucial, the ability to effectively manage and lead within projects paves the way for advancement. Furthermore, recognizing that our profession operates within a larger community is essential. Building a network of peers, actively contributing to our field and the broader community, and remaining receptive to advice are all vital steps in professional development. Our sector is intrinsically linked to community service and societal well-being. Understanding the broader impacts of our work beyond individual projects is paramount; everything we do ripples out, affecting the world in myriad ways. It’s crucial to grasp our actions’ societal, environmental, and economic ramifications. This comprehensive approach propels us toward the career heights we aspire to reach. ■