Canadian Sustainable Buildings

Sustainable Buildings VOl. 3, ISSUE 1

Canadian

The magazine for Organizational leadership and Best Practices

The Copenhagen Accord Demand Management

The Transition to a Low Carbon World: Are You Prepared?

+ PM 40063056

2010 Forecast

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VOl.3, ISSUE 1

Sustainable Buildings Canadian

The magazine for Organizational leadership and Best Practices

8

Editorial Advisory Board BLJC Edwin Lim Vice President, Energy and Sustainability Bentall LP Carl Faucher Director, National Real Estate Services

contents

BOMA Toronto R. Wayne Proulx CDM Program Director Carma Industries Rick Williams President CB Richard Ellis Global Corporate Services Rob Reale Director, Energy and Sustainability

DEPARTMENTS

City of Toronto Angelo Poto Project Manager, Energy Efficiency

5

A Word Before

6

Industry News

Direct Energy Business Services Frank Cammalleri Director, Energy Engineering Services

16 Policy: The Copenhagen Accord

Marion Fraser

Energy Profiles Neal Bach Vice President

20 BOMA CDM Program

Fraser & Company Marion Fraser President

22 Building Operations: Demand Management John Lambert and James Sobota

Greater Toronto Airport Authority Craig Rock Manager, Energy Management GreenSaver Vladan Veljovic President & CEO

24 Energy Incentives: GreenSaver Taki Eliadis

Sustainable Buildings Canada Michael Singleton Executive Director

26 Product Showcase: Lighting

Toronto District School Board Sheila Penny Executive Superintendent Facility Services The Delphi Group Mike Gerbis President University Health Network Ed Rubinstein Manager, Energy and Environment University of Toronto Ron Swail Assistant VP Facilities & Services Zeidler Partnership Architects Ron Nemeth Partner

features 8

he Transition to a Low Carbon T World: Are You Prepared?

Julie Matthews

13 Industry Q & A: 2010 Forecast

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a word before

Sustainable Buildings Canadian

The magazine for Organizational leadership and Best Practices

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John Tenpenny

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Ontario companies getting FIT Solar power seems to be the “it” choice when it comes to renewable energy projects under Ontario’s Feed-in Tariff (FIT) program. Of the more than 500 new green energy projects recently approved most of them were solar power installations.

Included amongst the projects is a large-scale plan by grocery giant Loblaw to install rooftop solar panels on 136 of its Ontario stores. The grocery retailer will initially launch four pilot projects in select stores across the province and then evaluate the next phase of rollouts.

“Green energy production using innovative technologies such as these pilot projects supports our commitment to the environment,” said Bob Chant, vice-president of corporate affairs.

The potential systems range from 30 to 500 kilowatts, and depend largely on the size and strength of the roofs. Loblaw said the four pilot locations will be studied to determine whether installations at the remaining stores will follow.

Walmart Canada also announced plans recently to conduct two significant wind and solar power projects. The company plans to install a rooftop solar system as well as a wind turbine at two separate locations in Ontario. Construction of the two systems is expected to begin later this year, with a combined investment of approximately $2 million and specific locations to be announced this spring.

Walmart made the announcement at its Green Business Summit in Vancouver, an event which brought together more than 300 of Canada’s largest corporations, NGOs, academics and government leaders to share the business case for sustainability.

Under the proposed projects, Walmart will finance and own the solar energy and wind turbine systems. Power generated will be returned to the electrical grid under Ontario’s FIT program for renewable energy. The company will use these pilot projects to assess the effectiveness and potential benefits of these systems to potentially power some of its stores in the future.

“We’re looking at our business through the lens of sustainability,” said Ken Farrell, Vice President of Store Development for Walmart Canada. “These wind and solar pilot projects will enable us to invest in the commercialization of renewable energy, in addition to our own purchasing of green power.”

Once complete, the rooftop solar power-generating system is expected to generate 450,000 kilowatt hours of energy per year, enough to supply 39 average size Canadian households. The solar system will also reduce greenhouse gas emissions (GHG) by an estimated 80 tonnes per year.

The wind power installation will be a 20-kilowatt wind turbine adjacent to one of its Ontario stores and is expected to generate as much as 50,000 kilowatt hours of electricity per year.

John Tenpenny Editor johnt@mediaedge.ca canadian sustainable buildings | 5

industry news 500 kilowatts), these projects can be connected to Ontario’s electricity grid without detailed impact assessments necessary for larger projects.

LEED Gold retrofit for 222 Jarvis Street

Loblaw to install rooftop solar panels at 136 Ontario stores

More than 500 new green energy projects, most of them solar power installations, were recently approved through Ontario’s Feed-In Tariff (FIT) program.

The 510 projects are to be built in 120 communities across Ontario by farmers, municipalities, local distribution companies, commercial businesses, industrial customers, public institutions, such as schools and hospitals, a winery and even a church. The projects range from 10 kilowatts to 500 kilowatts and have a total generating capacity of 112 megawatts — enough energy to power more than 13,000 homes. About 95 percent of the projects are for solar generation. The remaining projects are biogas (20), water (4), onshore wind (3) and biomass (1).

Loblaw Companies Limited, Canada’s largest grocery retailer, has been approved for FIT applications for rooftop solar installations on 136 of its Ontario stores. The grocery retailer will initially launch four pilot projects in select stores across the province and then evaluate the next phase of rollouts.

“This initiative is part of Loblaw’s overall effort to support renewable energy sources and green operation and embraces ways to reduce our carbon footprint,” said Bob Chant, vice president, corporate affairs, Loblaw Companies Limited. “We are committed to driving green energy production using new and innovative technologies, such as this pilot project with photovoltaic panels.”

The Feed-in Tariff program’s domestic content requirements ensure that a key portion of the technology used for renewable energy generation comes from Ontario. Developers must meet a certain percentage of made-inOntario goods and labour at the time the project reaches commercial operation. For solar photovoltaic projects larger than 10 kilowatts, the requirement is 50 percent today, which will increase to 60 percent on Jan. 1, 2011.

The Ontario Power Authority began accepting FIT applications on Oct. 1, 2009 and received 956 eligible applications for the first round of FIT contracts, including the 510 projects announced. Due to their size (up to 6 | volume 3 • issue 1

Ontario Realty Corporation announced that Ontario will be home to one of North America’s largest green building retrofit projects. Downtown Toronto’s iconic 222 Jarvis Street, the former Sears Canada head office, will transform into a green, state-of-the-art workplace for the Ontario Public Service.

The design and retrofit of the 455,000 square foot building will adhere to the guidelines and sustainability principles of the Leadership in Energy and Environmental Design (LEED) rating system, with a goal of achieving LEED Gold certification.

“We are pleased that the project team for 222 Jarvis Street is completely engaged, so that we can move forward with this exciting retrofit project,” said Dave Glass, President and CEO, Ontario Realty Corporation. “Through our commitment to sustainability, ORC is enhancing the value of public sector real estate by renovating existing buildings and creating greener, more efficient workplaces.”

The new Jarvis Street building will feature energy-efficient building design initiatives such as: • A green roof and use of light coloured reflective roofing materials that minimize cooling costs • Photovoltaic solar rooftop panels • Use of regional materials to reduce emissions from shipping resources over long distances • Use of low-emitting materials including adhesives, sealants, paints, coatings and carpet, which reduce the emission of indoor air pollutants •

• • • •

• • •

Heating, Ventilating and Air Conditioning (HVAC) and controls upgrades State-of-the-art IT infrastructure including wireless infrastructure to reduce the need to travel to meetings Daylight and occupancy sensors which optimize energy performance Power demand monitoring and reporting Rain water harvesting and re-use to reduce water usage and minimize demand on municipal water and wastewater treatment facilities Grey water recovery to conserve fresh water supply Upgrades to the exterior of the building, including installation of thermally-sealed windows Limited parking capacity, access to public transit, bicycle storage and changing rooms to encourage use of alternative modes of transportation

“[This project] will set by example a new standard for lifecycle refits of older buildings that can, and should, be renewed in an environmentally sustainable manner,” said Cam Kourany, Senior Managing Director, CBRE Global Corporate Services, which is acting as Project Manager. “ORC and its partners will be able to develop and share lessons learned with other stakeholders facing similar challenges.”

Canadian commercial real estate not as green as it could be says report

A new report finds the Canadian commercial real estate industry is playing catch-up with respect to environmental, social and governance (ESG) issues when compared to international peers. The Canadian Commercial Real Estate Sustainability Intelligence Report, released by sustainability research firm

222 Jarvis St. will be one of North America's largest green building retrofit projects.

industry news Jantzi-Sustainalytics in association with the Real Property Association of Canada (REALpac), evaluates the ESG performance of 18 of Canada’s largest commercial real estate companies and compares them to some of their international counterparts.

“We believe this study helps to inform Canadian commercial real estate organizations of the areas in which they can improve and demonstrates the importance of working to actively incorporate positive ESG practices into an organization’s business model,” said Michael Brooks, REALpac’s CEO. T he re p or t fou nd t hat a lt hou g h Canadian companies showed relatively high performance in the areas of business ethics, labour practices, and health and safety, they lag behind on environmental and disclosure issues. The authors recommend that the real estate sector as a whole incorporate information gathering from stakeholders and best practices, an integrated corporate responsibility and sustainability policy, implementation of sustainability strategies and tactics, and communications planning to keep stakeholders informed about initiatives and achievements.

“Stakeholders, including governments, tenants and investors, are putting increasing pressure on companies to adopt green initiatives. This is about more than just the bottom line. This is a movement toward corporate responsibility and sustainability having a concrete impact on the real estate industry,” said Simon MacMahon, Director of Sustainability Services at Jantzi-Sustainalytics and author of the report.

Realpac develops Green Lease Guide for Commercial Office Tenants

The REALpac Green Lease Guide for Commercial Office Tenants highlights what tenants in leased spaces ought to look for when selecting a building and what green elements to consider when designing a fitout and managing an office. The Guide was designed to be used in conjunction with the REALpac Office GREENLEASE National Standard Lease for Single-Building Projects, originally released in June 2008, and the first of its kind in North America, although the Guide can easily function as a standalone document. The REALpac Office GREENLEASE(TM) has also been updated. “[These documents] encourage significantly reduced use of renewable and non-renewable resources by both landlord and tenants, and establish a more sustainable operating platform for office buildings, which is crucial to the future sustainability of our buildings and the success of our industry,” said Michael Brooks,

CEO of REALpac. “Leases have to be viewed as a major potential constraint to greening office buildings. If you don’t get the rights and responsibilities, aspirations and collaborations, and standards and target certifications right at the outset, both Landlords and Tenants are going to feel that their hands are legally tied at some point in the relationship.”

The Guide showcases sustainable best practices and will help tenants avoid costly design mistakes, help strategic decision makers articulate their design requirements, hold project teams accountable for sustainability goals and objectives, fuel demand for quality buildings, and improve the energy efficiency and conservation practices of tenant operations.

The Guide has three sections. Section One explains what a “green lease” is and why it’s of interest to tenants. The way tenants choose, design and manage their space can help their companies enhance their reputation, attract and retain employees, enhance employee wellbeing and productivity, enhance organizational knowledge, reduce liability, prepare for any possible future greenhouse gas emissions reporting, and reduce relocation costs. Section Two outlines the most important characteristics the tenant should look for when selecting a building and a building manager, in regard to their management of indoor environment quality, energy use and greenhouse gas emissions, the landlord’s strategy for reducing travel demand and car dependency, efficient water and waste management, and whether cleaning services are aligned with environmental objectives.

Section Three presents information on green features that tenants might want to consider in regard to leasehold improvements and why they ought to be selecting environmentally friendly options. Lighting, floor finishes, kitchen fitting and appliances, paints, sealants and adhesives, sub-meters and “smart” meters, indoor plants, office management and operation, green power and sustainable transport strategies, among other topics, are discussed.

Owners and tenants commit to greening the GTA’s largest office buildings

Greening Greater Toronto announced that owners and tenants of the largest commercial buildings in the Greater Toronto Area (GTA) have made the formal commitment to work together to make office towers more energy efficient and reduce overall carbon output.

The commitment came at a meeting of Greening Greater Toronto’s Commercial Bu i l d i ng E ne rg y In it i at ive ( C BE I ) Leadership Council, comprising major

building owners, tenants and real estate professionals from across the GTA. The meeting was co-hosted by Commercial Building Energy Initiative Co-Chairs Michael Thornburrow, Senior Vice President, Corporate Real Estate and Strategic Sourcing, BMO Financial Group, and Linda Mantia, Senior Vice President, Procurement and Corporate Real Estate, RBC Financial Group.

“We are delighted that the leaders of the real estate sector have come together to take cooperative actions to accelerate the energy efficiency of commercial buildings in the GTA,” said Mantia. “By convening this group of building owners and tenants, we have an exciting opportunity to work cooperatively to make our workplaces more sustainable and reduce their environmental impact.”

The CBEI Leadership Council members announced that its members had committed to promote greater energy efficiency by agreeing to the following four components: • Building a catalogue of case studies and energy benchmarks to promote best practices of GTA tenants and building owners; • Launching a “Greening our Workplace” series, where tenants will host other tenants of the same building to showcase recent tenant-led retrofit initiatives; • Expanding and improving the effectiveness of the owner-tenant partnership model by identifying and facilitating landlord-tenant working groups at “high-priority” buildings; and • Committing to measure Council members’ energy usage, with the goal of launching a corporate challenge.

“Commercial buildings are one of the key drivers of the GTA’s carbon emissions and one of the largest consumers of energy in Ontario,” said Thornburrow. “It’s vital for both owners and tenants to work together to make our office buildings more environmentally sustainable and significantly reduce greenhouse gas emissions.”

As part of this initiative, Greening Greater Toronto announced that the Bank of Montreal and Brookfield Properties have committed to work together to reduce energy usage, and will be piloting this approach at First Canadian Place in downtown Toronto.

“This commitment marks an important step in overcoming the barriers to making the GTA’s office towers more energy efficient,” said Julia Deans, CEO of the Toronto City Summit Alliance. “Commercial building retrofits are a key opportunity to tackle climate change and canadian sustainable buildings | 7

Cover story

The Transition to a Low Carbon World: Are You Prepared?

By Julie Matthews

With carbon reporting legislated within Ontario and the United States and ongoing stakeholder interest, companies are scrambling to develop or boost their sustainability and carbon strategies.

A market in transition

We know the market is changing, we see it all around us. Over the past few years we have been barraged with green headlines. We see the support for a low carbon economy growing, from government initiatives to organizations understanding the economic impact of being an environmental leader.

• Supply Chain Pressures: In June 2009, Walmart unveiled its Sustainability Index which is geared toward creating a way to gather sustainability information about companies and, eventually, products sold in Walmart stores.

• Regulatory Changes: The US EPA’s mandatory reporting under the Greenhouse Gas (GHG) Rule and the Ontario Greenhouse Gas Emissions Reporting regulation and guideline now have a reporting threshold of 25,000 tonnes from combustible emissions per facility.

• Investors Ask for Disclosure: In early February 2010, the Securities and Exchange Commission published an interpretive release about public company disclosures related to climate change. Public companies need to immediately assess whether they should add or expand climate change disclosure in their future SEC filings.

• Litigation Risk: Companies in carbon-intensive industries such as oil and gas, electric utilities, and automobile manufacturing are already starting to face litigation concerning corporate contributions to global climate change.

Many executives are asking “What does this mean for my organization?”

For organizations that consume energy, goods, and raw materials, the cost of doing business will increase and monitoring carbon will provide opportunities to manage and reduce these potential increases while helping to address the mounting pressures from regulators and the marketplace.

Preparing for an economic shift

All organizations need to prepare for this economic shift. Many expect that the basic fabric of society will be changing over the next 30 to 50 years and many have compared the carbon market to the pre- dot- com era. The world carbon market is estimated to be worth $3.1 trillion dollars by 2020. All businesses, even if not directly affected by mandatory legislation, need to be aware and develop strategies that position their organization for a low carbon economy.

“Companies that are more carbon efficient than sector peers, in terms of their internal operations and supply chains, stand to gain a competitive advantage. Now is the time for companies to begin measuring and reducing their carbon emissions to ensure they are well positioned to minimize the risk of climate change regulation.

Already we are seeing increased interest from investors looking to reduce their own risk by positively selecting those companies with lower carbon emissions, and this is set to increase in the future.”

—Simon Thomas, Chief Executive of Trucost Decisions organizations face

Assessing your organizational emissions and examining the potential risks and opportunities throughout operations are becoming critical for organizations. Many organizations have recently sharpened their focus on carbon, primarily in response to consumer and stakeholder expectations. Consequently, they face an entirely new set of decisions.

• What role does energy and carbon play, especially when energy prices are so volatile? canadian sustainable buildings | 9

cover story • What incentive programs will apply to • What are my environmental liabilities and how do I address environmental risk? potential energy efficiency programs?

• How do I avoid being accused of • Can we reduce our carbon impact and save money by rethinking our distribution greenwashing? channels?

• How will sustainability requirements impact income, asset value and future investment • How can I find efficiencies within my operations? returns?

• How do we communicate with consumers and investors who have more sustainability The importance of measurement concerns?

Many organizations lack the information and • What regulatory and voluntary reporting expertise required to make these strategic CARMA_CondoBusiness_01-19-2009_CS2--F.pdf 2/3/09 5:41:35 PM requirements do I need to meet, now and in carbon decisions.

Organizations need to the future? develop new sources of operational, supply

chain and customer information to gain new levels of insight for meeting strategic carbon objectives.

C ompre h e n s i v e m on it or i n g a n d measurement is required to for an organization to be a leader in this new carbon world. Data will play a key role in establishing the historical "baseline" emissions of various industry segments. Organizations will need to carefully assess their emissions at the facility and asset level to ensure that they in fact trigger a mandatory monitoring requirement. They should also consider the potential importance of establishing an accurate historical baseline and the potential long-term implications of understating those emissions.

Linking carbon metrics to energy management

It is important that an organization links ongoing asset management to energy and carbon metrics. This will ensure the organization: • Reduces energy costs and eliminates service outages by identifying and eliminating energy inefficiencies in operations • Identifies and replaces those assets that are most inefficient and have the largest carbon impact • Prioritizes asset purchase decisions that have the best return on investment and carbon reduction • Remediates energy issues by taking action on energy issues • Links energy metrics with asset information to manage energy as a part of service management processes, such as condition monitoring and maintenance How to prepare

Where does an organization start? We encourage taking small steps. It is important that an organization sequence projects properly and find those that have pay back in the short-term. Seek low cost, high impact projects to start. Undertake what you can do quickly and build momentum, rather than get bogged down on big projects. Take the savings and invest it in future projects.

Here are few high-level guidelines to developing a low carbon business strategy.

Start now

The last few years have demonstrated that early action has proven to deliver enhanced brand and shareholder value for such organizations as GE Ecoimagination and Walmart. There are also numerous cases that show early action can help not only reduce emissions, but also costs. Delaying action may result in damage to reputations and will ultimately be more expensive.

10 | volume 3 • issue 1

Energy Solutions that Deliver

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We take pride in providing added value to customers through customized energy management solutions and integrated retrofit technologies. Through the optimization of energy, we reduce your consumption, operating costs, environmental impact, and renew your building infrastructure.

We provide integrated, customized and practical solutions to businesses throughout Canada.

With our depth of experience, knowledge and size, we are ready to help you make informed energy management decisions. One of our core strengths is in extracting energy savings from existing buildings. We offer recommendations for reducing your energy consumption and maximizing cost savings.

Our suite of Energy Services includes: • Energy assessment and analysis • Energy performance based contracting • Energy efficient equipment and retrofits • Measurement and verification of energy savings The following demonstrate the magnitude of energy savings we were able to achieve for some of our clients to-date: • A 20% decrease in energy and emissions with a resultant savings of $6 million over the 10-year project life at an Eastern Ontario post-secondary institution.

• A comprehensive energy performance contract is currently achieving $2.3 million at a Canadian Forces Base.

• A turnkey energy management solution at a local municipality’s Waste Transfer Stations has generated over $50,000 in energy savings.

• An on-going 5-year partnership with a premier sports and entertainment organization in the Greater Toronto Area has yielded annual savings of $425,000 across the portfolio of buildings.

Direct Energy has established a network of partners and suppliers that provide support in our delivery of energy solutions. MERCOR Lighting Group is proud to be considered as a Value Added Partner to Direct Energy when it looks for expertise, reliability, and experience for energy efficient lighting solutions. From cost-efficient evaluations, lighting scope expertise, and project implementation, MERCOR Lighting offers an array of services that allows it to stand above all other lighting distributors.

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cover story Measure, monitor, and manage your organization’s carbon footprint to gain a competitive advantage

There are numerous questions that organizations should ask themselves: • What are the main sources of my emissions?

• Where can actions have the biggest impact?

• What projects should I implement that provide an acceptable ROI? • How do I engage stakeholders such as investors, employees, and suppliers?

• Will actions within my supply chain have a large impact?

One of the best ways to answer all of these questions — and showcase your organization’s environmental stewardship — is to measure your organizational carbon footprint. The sooner companies start the learning curve required to deliver such footprints, the less total pain there will be and the greater the reputational enhancement.

and company vehicles. By analyzing energy consumption, an organization opens the door to building an effective carbon management strategy and reducing energy costs.

Link your energy consumption to a carbon management strategy

Cap-and-trade, mandatory compliance, and other regulatory risks are likely to affect only a small portion of the marketplace.

However, there are various other risks associated with carbon management that should be identified and monitored. These include physical risks associated with the supply chain (e.g., impact of extreme weather events, changing temperature and rainfall patterns, sea level rise, security of supply, and disease) and financial and other risks (e.g., carbon pricing, changing consumer demand, resource cost increases, reputation, and stakeholder demands). By managing carbon risk within a GRC framework, leading companies are acquiring more customers and managing their bottom lines to maximum efficiencies.

Most organizations’ carbon emissions are a result of energy consumption within buildings

Understand your risks within this new carbon economy through a Governance, Risk and Compliance (GRC) approach

Consider a growth strategy and access opportunities

Identifying how your products and services can be integrated is an important consideration.

Numerous organizations have established new revenue streams for their green products and services. Many of these organizations have been able to grow or maintain value during the economic downturn.

Start building your internal expertise

Carbon management is unique to each individual organization, as it is closely related to its internal operations. Operational understanding and linkage to carbon management will take time and resources. The ability to navigate the new carbon economy in part depends on having sufficient internal knowledge to remain agile and adaptable to a highly dynamic and complicated business agenda. Start by building a green team that has executive support and multi level organizational representation. CSB Julie Matthews is Director, Carbon Advisory Services Group for e3 Solutions Inc. (www. e3solutionsinc.com). With more than 19 years of project and program management experience, Matthews is expert in guiding clients through the design, delivery, and implementation of enterprise solutions. Over the last four years Julie has focused on delivering customized carbon and energy management programs for organizations across North America.

12 | volume 3 • issue 1

Q

A & Q portfolio management

2010 Forecast

Canadian Sustainable Buildings asked members of our Editorial Advisory Board for their thoughts on what happened in 2009 and what 2010 may bring for Ontario’s energy sector.

5

Included in the conversation were: Neal Bach, Vice President of Energy Profiles Ltd.; Carl Faucher, Director, National Real Estate Services with Bentall LP; Marion Fraser, President of Fraser & Company; Edwin Lim, Vice President, Energy and Sustainability with BLJC; Craig Rock, Manager, Energy Management, with the Greater Toronto Airport Authority and

Ed Rubinstein, Manager, Energy & Environment with University Health Network and R. Wayne Proulx, CDM Project Manager with BOMA Toronto.

Canadian Sustainable Buildings (CSB): What was the most significant energy-related event in your opinion in 2009?

Craig Rock (CR): The introduction of the Feed-In Tariff (FIT) program with regards to alternative energy.

Carl Faucher (CF): For Ontario, the launch of the renewable energy program, specifically solar energy that will affect a large number of building rooftops.

Edwin Lim (EL): The most significant event was the introduction of the Feed-In Tariff in Ontario, introducing this concept in North America has become a major game changer.

Edward Rubinstein (ER): Ontario’s Green Energy Act (GEA).

Neal Bach (NB): Nationally, I think the biggest thing is the continued increase in focus on reducing energy use intensity in buildings. Previously, the focus was on reducing operating costs, but—and this transition has been in progress for a few years now—there is now perceived value associated

canadian sustainable buildings | 13

Q&A with having low energy end-use intensity in the marketplace. As a second, more Ontariocentric event, I think the rollout of the FIT program was very significant as it heralds an unprecedented commitment to green energy in North America.

CSB: What is your organization’s most important energy-related initiative(s) in 2010?

(CR): We will be moving forward with a pilot project to upgrade the heating system in one of our buildings with geo-thermal.

Wayne Proulx (WP): The Green Energy Act changed the energy economy to one that will hopefully, if fully embraced, spur conservation and employment and make Ontario a world leader in conservation and sustainable energy generation.

(CF): Providing our staff the tools in order to benchmark, model and track all energy and utilities at a property level.

CSB: What do you see as the most pressing energy-related issues for 2010?

(CR): Paying for the FIT program through the Provincial Benefit.

(CF): Getting ready to fall in line with the target of 20 equivalent kilowatt hours of total energy use per square foot of rentable area per year by 2015, (20 by ‘15 rule).

(EL): The most pressing energy-related issue is likely how carbon emissions will be commoditized and traded, which will be largely dependent on legislation both in the U.S. and in Canada. The valuation of carbon in energy related business cases will be a major game changer.

(ER): Cost management.

(MF): Ensuring that the Green Energy and Green Economy Act is fully implemented, especially with respect to energy efficiency and conservation.

(NB): Clearly, buildings have to reduce their energy use intensity further. This will be accomplished by people who care and drive the process, some through certification programs like BOMA BESt and LEED, and some through focused initiatives like REALpac’s 20 by ‘15 that will reinforce the discipline of reporting on progress.

(WP): In should be a priority in 2010, to continue the closing of the coal g e n e r at i n g p l a nt s re p l a c i n g t h o s e with the required sustainable energy generation and natural gas-fired plants as well as the required transmission inf rastr ucture top those electricity constrained areas. We also need to continue to focus on the conservation of all energies and to consider water as an energy source that required serious conservation.

14 | volume 3 • issue 1

(EL): Our initiatives are around integrating the energy reduction mind set into our overall building operations by enhancing our occupant and operator awareness and education programs.

(ER): Continued rollout of our TLC—Care to Conserve integrated energy management plan.

(MF): Helping good people do good projects.

(NB): Our whole business is about energy, so it is hard to separate the issues. For us, we will continue to refine our ability to both manage energy data and quantify changes in energy consumption/cost. We play a role in driving down the energy use intensity in buildings that we take very seriously.

(WP): In 2010, BOMA Toronto and its Conservation and Demand Management Program will be delivering to Ontario a grass roots e-energy training initiative to provide property managers and owners with a solid base of energy management techniques in all types of real estate.

CSB: Do you feel that we are past the economic turmoil of the past few years and what will that mean for the energy industry in 2010?

(CR): I believe that the Provincial Benefit costs will continue to increase, which will put further pressure on implementing energy conservation initiatives.

(CF): I do not feel we are past the economic turmoil, we are simply in a lull, as long as we have developing nations looking for energy, short supplies will drive up prices and force the industry to become more energy efficient.

As governments from around the world get more serious about GHGs and carbon footprints we will be required to comply and fall in line with their programs and lower our consumption or pay the price.

(EL): The economic turmoil has increased the scrutiny on the economic payback associated with Green Projects. It is a positive

thing with truly sustainable initiatives with an environmental and economic payback, likely not so positive for initiatives that depend highly on the green marketing impact. It will also be really good for operational and building oriented initiatives with a measurable economic benefit.

(ER): Too early to tell, but the GEA should help Ontario’s energy industry emerge strongly.

(MF): Economic turmoil is cyclical and we need to get used to that with long term plans for sustainable energy that are not thrown off track at the first sign of economic trouble.

Saving energy and sustaining our life on this planet is a forever enterprise.

(NB): My sense is that it is now fashionable for economists to be mindful of systemic deflationary risks. I monitor a lot of opinions and a lot of data, but for that reason alone, I expect that the economy will move forward from here. I expect energy prices to edge upwards throughout 2010, but in general stability will prevail, leaving the focus on grinding through the details associated with reducing energy use intensity.

(WP): I believe we will continue to see investment into the commercial real estate business in the form of property enhancements, which provide a suitable return. We are confident that energy conservation retrofits, in the current incentive market, will continue to provide the best investment returns and will feed into the ever strengthening demand for real corporate social responsibility (CSR) of property owners, investors and tenants.

CSB: Please reference examples or recommendations for our readers that will help them become more energy efficient or help them to enhance their energy efficiency plans.

(CR): Our Energy Management Plan (EMP) was built on the philosophy that energy conservation comprises three main components: system optimization and continuous auditing; employee awareness and training; and infrastructure improvements and upgrades. The EMP has primarily consisted of system optimization and employee awareness and training for its success to date. The next area of focus will consist of the third component— infrastructure improvements and upgrades, which will require investment and ensure the future success of our EMP.

Q&A (CF): There are a number of websites and newsletters that I would recommend: www.euci.com; www.igreenbuild.com; www.powerauthority.on.ca; and www. zerofootprint.net/images/uploads/Green_ Credits.pdf.

(EL): Many different sources have pegged Building impact of GHG emissions at around 40 percent. However for many organizations that do not have fleets of trucks or aircraft or huge production or information technology assets consuming energy, as much as 90 percent of their emissions are building related. Measures to reduce energy usage and therefore carbon emissions have an economic payback, which make energy efficiency the most cost effective carbon reduction strategy.

An initial investment with ongoing energy reduction year over year, as opposed to buying carbon credits which need to be repurchased every year.

are potentially valid reasons, but they also represent an excuse not to look further. So, what’s the difference? It’s not technology.

It’s people. More than that, it’s people who care. Reducing energy consumption for most of the past 20 years has been about installing equipment and technology. T8s, VSDs, HE chillers, condensing boilers.

First of all, most of it’s been done; second of all, it doesn’t always lead to as much savings as anticipated. The days of firing the silver bullet are increasingly behind us. Tangible reductions in energy use will be the result

of hard work by intelligent people who are motivated to make changes.

(WP): My strongest recommendation is for property owners and managers to look at all the conservation opportunities within their properties, not just the ‘low hanging fruit’, to strongly consider the re-commissioning of their real estate, and to be sure to take advantage of all the lucrative incentives available for such energy retrofits as they can significantly increase your return on capital investments. CSB

(MF): Ensure that the right accountabilities are in place. Energy efficiency isn’t about a short term technical fix—it is about planning, setting targets, taking action and measuring the results and then starting over for the next month, year or decade.

(NB): By now, ever yone is aware of the stats: buildings are responsible for 40 percent of the GHG emissions in North America, and commercial office buildings are responsible for 13 percent of same. This is why REALpac has come forward with the 20 by ‘15 initiative— because the real estate industry needs to come forward with a strong position an d t arge t w it h re s p e c t t o e n e rg y consumption. Each portfolio has its own special set of reasons for high energy consumption. Within that, each building has its own set of reasons for high energy consumption. We benchmark annual energy consumption per suite for hundreds of properties in the various asset classes against other buildings in the same asset class. When you line up the buildings from the least energy-intense to the most energy-intense, it turns out that the high usage quartile uses two to three times as much energy as the low usage quartile. And our experience is that this applies to all asset classes—big box retail, office, multi-res, food retail.

There can be structural reasons for high energy use, such as in multi-residential.

Occupancy density is an obvious one and occupancy demographics is another. Age of building, size of suites, retail on ground floor, parking garage or not—all of these canadian sustainable buildings | 15

policy

Does the Copenhagen Accord Mean Anything to Ontario?

By Marion Fraser

16 | volume 3 • issue 1

policy

Like each of the 14 United Nations’ climate change conferences before it, Copenhagen was a big deal. I attended the 11th Conference of the Parties to the Climate Change Convention (COP 11) in Montreal in late 2005 and I still have the three different sets of accreditation passes I needed to wander around the Palais des congrès de Montréal. And that event sure seemed like a big deal—big crowds, big rooms, bigger parties and it even seemed that something would result from the hoopla. Our then Environment Minister Stephane Dion was excited by the progress that he had made as Chair of the Conference. If only all Canadians could have seen….well that is another article for another magazine.

Back to Copenhagen and its impacts.

The truly cynical side of me would say that COP 15 must have been a big deal because the kitchens at the beautiful Bella Center served up 15 tons of 65 per cent organic food every day. That seems like a lot of food.

But what else happened? On a Friday night in late December 2009, negotiators from the U.S., China, Brazil, India and S outh Af rica drafted an agreement called the Copenhagen Accord. Saturday did not bring consensus from the rest of the countries represented at the plenary session who “took note” of the accord, which although significant, is far from a decision.

In the concluding press conference, Yvo de Boer, the United Nations’ top climate official commented “If I were a business leader or investor, I would want my government to give me as much clarity, as quickly as possible, on how it intended to legislate, regulate and maybe even tax, in order to achieve those (emissions reduction) goals, and what that would mean to my business environment.” However, apparently, the disappointment of Copenhagen was too much for him and he announced on February 18 that he is stepping down, leaving behind international divisions over how to forge a new treaty on global climate change.

And Elisabeth De Marco, a thoughtful, informed and progressive lawyer from Dixon McLeod’s energy practice who attended COP 15, brought back three messages:

1. There is undoubtedly no further business and investment certainty on climate change resulting from t he accord and t he inter nat iona l negotiations. In the absence of a multilateral agreement on climate change, we anticipate increased use of border tariffs and low carbon fuel standards to protect national interests around the world.

2. The new world order and China’s increased leverage is becoming clear.

China’s position may make it difficult for the U.S. to pass domestic legislation through its Senate prior to its midterm elections at the end of 2010.

3. In the absence of U.S. certainty and concrete cong ressiona l ac t ion in relation to climate change, Canadian policy-makers are likely to be slow to continue to develop Canadian climate change policy initiatives—particularly in an election year. We anticipate an increase in provincial and regional

climate change initiatives; Quebec, B.C., and Ontario are leading the new charge.

S o d i d ou r gove r n m e nt s g ive u s clarity? Early in 2010, Canada’s federal Environment Minister, Jim Prentice, confirmed that Canada’s 2020 emissions reduction target under the Copenhagen Accord is a 17 percent reduction from 2005 levels. According to a recent web posting by EnvironmentalXC, this target is completely aligned with the U.S. target and is subject to adjustments to remain consistent with U.S. targets, but also contingent on agreement by all major emitters associating with the Accord.

Not a lot of clarity there, but aligning with President Obama’s target seems a lot more real than those of his recent predecessors.

Two provincial Environment Ministers representing Ontario and Québec didn’t wait for the end of the Copenhagen to assure the world and their constituents

Middelgruden Offshore Wind Farm in Copenhagen

policy

Conservation isn’t about a short term technical fix—it is about planning, setting targets, taking action and measuring the results and then starting over for the next month, year or decade.

that they have always been in step on climate change actions. According to the joint press release, both governments have: • adopted aggressive short and longterm greenhouse gas (GHG) reduction targets; • mov e d f o r w a r d w i t h l e g i s l at i o n required for the development of cap and trade programs; and • developed comprehensive action plans to fight climate change that include: - Investing heavily in public transit; - Supporting development of electric vehicles ; - Promot ing energ y ef f icienc y and clean, renewable energy ; - In Ontario, phasing out coal—the single largest GHG reduction initiative in Canada; and - In Québec, pursuing the adoption of GHG emission standards for vehicles.

The message in announcing this in advance of the COP 15 session is clear; O nt ar i o and Q u eb e c are fol low ing their existing climate change plans even though Ontario’s Environmental commissioner note d t hat Ont ar io’s Climate Change Action Plan Annual Report itself indicates that the government will not meet either its 2014 or its 2020 reduction targets. But in fairness, Ontario is committed to one of the largest emission reduction programs in the world by closing its dirty coal fired generators. It just isn’t enough to meet the targets. We need to do more.

We now have the Green Energy Act which provides many tools to build on 18 | volume 3 • issue 1

this commitment to do more, but so far only one tool has been implemented—the Feedin Tariff Program for renewable electricity.

Yet energy in Ontario is so much more than the commodity we like to call “the Hydro”, but is more rightly called “electricity”.

The Green Energ y Act encompasses e l e c t r i c it y, n atu r a l g a s , re n e w abl e energy, transportation fuels, coal, oil and propane. But so far, we continue to look at each fuel in isolation rather than try to figure how best to optimize their efficiency while minimizing costs and environmental impacts.

The Green Energy Act gives us the opportunity to transform and improve t he ef f icienc y and ef fe c t iveness of our entire energy system: to develop green heat, district energy, use geoexchange systems, develop micro grids, build community energy systems; to complement renewable electricity with energy storage and make use of waste heat f rom buildings and industrial processes. This may be foreign to us in North American, but common in Europe, especially in Denmark.

So what does Copenhagen mean for Ontario? Frankly, it means don’t leave it to policy makers in far off cities to solve our problems. But more importantly, it means don’t let the lack of international consensus stop you from harvesting the opportunities that exist here in Ontario in your building, your industry or your home.

Ever y business, ever y building manager, every public institution and every homeowner can save money by saving energy and create a wide range of benefits for their bottom line, their

workers and their families—from better lighting to fewer drafts—from better air qua lity to g re ater pro duc t ivity.

While technological improvements are important in this process, what is really critical is ensuring that the r ig ht account abi lit ies are in place.

Conservation isn’t about a short term technical fix—it is about planning, s e t t i n g t a r g e t s , t a k i n g a c t i on a n d measuring the results and then starting over for the next month, year or decade.

This was true long before the alarm b e l l s we re s ou n d e d on t h e i mp a c t of climate change and it will remain true if the handful of climate change deniers succeed in silencing those bells.

Besides, it won’t be Planet Earth that will destroyed by global warming—it will be our civilization.

One t hing we shou ld le ar n f rom Copenhagen is that we shouldn’t be fighting over wind turbines, we should be embracing them. The citizens of Copenhagen who bought a share in the Middelgr unden Of fshore Wind Farm love them particularly when their dividend cheques arrive. The farm consists of 20 2 MW windmills in the waters just outside of Copenhagen’s h ar b ou r. C ove r i ng a l e ng t h of 3 . 4 kilometers, the curve of the windmills is designed to be a continuation of the super-ellipse formed by the roads of Copenhagen.

Even more amazing are the results of Googling Copenhagen, which include tourist testimonials extolling the scenic vir tues of combining the past with the present. And while Copenhagen’s w i n d m i l l s m ay b e t h e m o s t v i s u a l representation of green energy paradigm in Denmark, I would point to the fact that Denmark’s long time successes in creating a greener economy, is proof positive that the rest of the elements of the Green Energy Act can deliver results, benefit Ontarians and help the environment. CSB Marion Fraser is President of Fraser & Company is a small, independent consulting firm specializing in sustainable energy and environmental matters. She has over 30 years in the energy sector and Fraser & Company has operated for nine of those years serving a wide variety of clients. Fraser & Company often works in partnership with other consulting and professional firms.

Don’t miss the boat.

Are you planning, or designing, a new construction project?

Then contact us right away.

New commercial buildings, additions and major renovations planned for construction anywhere in Ontario outside the 416 area code may be eligible for major grants and incentives from the High Performance New Construction (HPNC) Program. Incentives are based on verified kW savings. If you incorporate energy efficiency measures into your new construction project, not only will it qualify for significant incentives and grants from HPNC, it will provide a lifetime of energy cost savings and have a higher market value.

‘

The HPNC program is one of those financial incentive concepts that actually works.

We got on board early and we’re already seeing a payback. Plus, the incentives are a real bonus. It was easy, and they made it happen for us. paul allen, distribution manager, Columbia sportswear

’

Application Deadline - October 31, 2010 Contact us today. The rewards could be green – in more ways than one. For more information call 1-888-opa-hpnC or visit www.hpnc.ca. applications available online.

Design it right

Build it better

Reap the rewards

BOMA CDM PrograM

BOMA CDM Program is Poised to Expand Beyond Toronto Successful conservation and demand management program will now be offered to LDCs across the province

By John Tenpenny B OMA Toronto’s C onser vation and Demand Management (CDM) Program is poised to expand outside of the 416 area code. According to Program Manager Wayne Proulx, a deal has been brokered with the Ontario Power Authority (OPA) which will see the CDM Program offered to Local Distribution Companies (LDC).

“For two years we’ve been talking to the Provincial government and the OPA, initially about taking the CDM program out to the 905 area,” says Proulx. “We were constantly being asked and are still being asked by property managers and owners who love the 416 program, ‘When will this program be available for my properties in the 905.’ So we were constantly advocating with OPA to give us at least the 905 area.”

Then last fall, according to Proulx, he got word that his organization’s persistence was finally paying off. Then Minister of Energy and Infrastructure George Smitherman informed Proulx, 20 | volume 3 • issue 1

“You will be able to benefit building owners across Ontario.”

Proulx won’t take all the credit. He cites both the OPA and the Electricity Distributors Association (EDA), which represents LDCs in the province, as key partners is getting this deal done.

This is all in preparation for 2011 when according to Proulx, “The world changes.” That’s when the Green Energy Act will mandate that LDCs deliver conservation. The Ontario Energy Board (OEB) will re-license all LD Cs and deliverable conservation will be part of their licenses.

At that point the LDCs will make a decision.

“The challenge is that we have to go to every one of them and say, ‘This is the product that we have, this is what we’ve built, this is how we’re delivering it, and this is the success we’ve had to date inside the 416.’” says Proulx.

Currently outside of the Toronto area,

the 83 LDCs in the province (of which the six largest represent 40 percent of the market) make use of the OPA’s Electricity Retrofit Incentive Program (ERIP).

Under the new agreement, according to Proulx, that won’t change per se. “It won’t be the BOMA CDM program in Mississauga, for example, but rather an ERIP program delivered by BOMA. “We’ve built an incredible delivery vehicle and we believe that the LDCs will agree that we don't need to re-invent the wheel.”

Prou lx s ays anot her opp or tu n it y for the BOMA CDM Program will be their ability to sell the program to the institutional market if the LDC agrees to participate.

R i g h t n o w i t ’s a b o u t b u i l d i n g relationships and showing LDCs across the province what BOMA CDM can do,” says Proulx.

“Conservation is not going away. This is the tip of the iceberg.” CSB

BOMA CDM PrograM

Visit From Minister of Energy and Infrastructure Highlights BOMA Toronto CDM Workshop On March 5, the Building Owners and Managers Association (BOMA) of Toronto held a workshop in Scarborough outlining the details of its Conservation and Demand Management (CDM) Program.

Brad Duguid, Minister of Energ y and Infrastructure and Scarborough Centre MPP, spoke to local owners and managers about the Ontario government’s c om m it m e nt to promot i ng e ne rg y efficiency and conservation in commercial and industrial properties.

“The cheapest energy reduction program is conservation,” said Duguid.

“The Green Energy Act is the single biggest C02 reduction program in North America,” he continued. “Ontario is a better placed jurisdiction when it comes to carbon pricing, which is coming.”

Following the Minister’s address, a series of presentations on energy conservation initiatives and incentive programs designed to offset the costs of energy efficient retrofits were conducted.

Presenters included Wayne Proulx, CDM Program Manager, Chris Tyrell,

Chief Conservation Officer with Toronto Hydro, Jane Dalziel with the City of Toronto’s Better Buildings Partnership, Scott Rouse, Managing Partner with Energy@Work and Enwise Solutions, which presented a case study of its client and S carb oroug h business Atlantic Packaging.

The BOMA CDM Program has been contracted to deliver electricity conservation to the Ontario commercial real estate market as part of the Ontario Power Authority’s larger plan to deliver 6,300 megawatts of electricity reduction in Ontario from various sources. The available incentives, capped at 40 percent of the eligible projects costs, are for on-peak demand, annual consumption or cooling ton reduction. The program is designed to maximize participation by the avoidance of both process and contractual complications and the quick delivery of incentive payments. CSB

Ontario Minister of Energy and Infrastructure Brad Duguid addressed attendees of the recently held BOMA Toronto Conservation and Demand Management workshop in Scarborough.

For more information, visit: www.bomacdm. com.

canadian sustainable buildings | 21

Building operations

Aggregator Group Success Demand Response Program helps companies gain greater control of energy consumption and costs

By John Lambert and James Sobota

Direct Energ y Business and CPower Inc. have joined forces in a strategic partnership with the objective of delivering demand response solutions in the Province of Ontario.

This union brings together two of t h e m o s t e x p e r i e n c e d a g g re g at or s in all facets of demand response. As such the partnership was awarded two 25 Megawatt (MW) contracts by the Ontario Power authority (OPA) Demand Response program (DR3). This strategic alliance maximizes contributor value and participation. In addition, both companies are members of the Ontario E n e r g y As s o c i at i on , a n d s e r v e on their Green Energy and Conservation Committee.

For 25 years, Direct Energy Business has provided integrated energy solutions to commercial and industrial businesses in the Ontario market. As a trusted energy partner, Direct Energy Business enables sustainability by helping businesses gain greater control of their energy consumption and costs through p rov e n c o s t - e f f e c t i v e c h oi c e s a n d strategic energy management advice.

22 | volume 3 • issue 1

Direct Energy Business-CPower are original members of the DR3 Aggregator Group that meets regularly with the OPA to represent participating clients’ concerns and to address emerging issues in the program. Through the work of this group in cooperation with the OPA, we have been able to bring flexibility to the program to make it more attractive and realistic for potential contributors.

Direct Energy Business-CPower apply diligent testing to assess load curtailment potential for contributors considering the program. Testing has proven to enable increased load contribution in some cases, providing for significantly increased program earnings. Direct Energy Business-CPower contributors now benefit from a new value stream that can be used to fund non-budgeted energy retrofits. Direct Energy Business’ Integrated Energy Planning ser vices demonst rate how cont r ibutors c an maximize the residual benefits of demand response.

Direct Energy Business-CPower are experienced in working with clients from all sectors, successfully enrolled

clients ranging from leading retail chains, government institutions, commercial food freezers and community colleges to some of Ontario’s largest mining and pulp and paper operations.

Lambton College, located in Sarnia, Ont. is a community college with a strong commitment to sustainability.

Direct Energy Business-CPower worked with Paul Mantle, Director of Facilities Management, and his staff to establish a practical cur tailment plan which can produce as much as 300 kW of curtailment (30 percent of their peak load) while maintaining the comfort of the students and faculty. This level of energy curtailment is achieved largely by cutting back HVAC and lighting through their building automation system to provide the power the OPA requires. Participation in the program has helped Lambton College achieve better knowledge of overall electricity management.

OMYA Canada is a leading global producer of industrial minerals and is located in Perth, Ontario. Among the minerals produced by OMYA are fillers and pigments derived from calcium

Building operations carbonate and dolomite. They initially enrolled 3 MW into the DR3 program, however, Direct Energy Business-CPower were able to increase OMYA’s contribution from 3 MW to 5 MW through further due diligence and pre-enrollment event testing. Direct Energy Business-CPower educated OMYA on emerging rules of the program and provided valuable baseline management information which assists OMYA with the flexibility to shut down processes to meet their DR3 program requirements.

Features of the Direct Energy BusinessCPower approach: • Contributors are never put in an outof-pocket expense situation due to non-compliance or monitoring and verification related costs.

• Direct Energy Business-CPower use a proprietary curtailment capability ass essment to ol that quick ly and accurately asses a contributor’s ability to curtail.

• Dire c t Energ y’s p arent comp any, Centrica plc. of Great Britain is a $40+ billion CDN public company with a stable credit rating of A-. Such f inancial strengt h assures Direc t Energy Business-CPower contributors that they will be paid their DR earnings accurately and on time.

• D i re c t E n e r g y B u s i n e s s - C Pow e r provides access to a web based portal which enables contributors to view their curtailment event performance on-line.

• Direct Energy Business-CPower have been in full compliance of the OPA

DR 3 Program rules and received zero complaints from contributors about their performance. CSB John Lambert is, Senior Manager–Business Development for Direct Energy Business.

James Sobota is Market Development and Program Manager, Canada for CPower, Inc. Direct Energy (www.directenergy.com), a subsidiary of Centrica plc, one of the world’s leading integrated energy companies, operates in 10 provinces in Canada and throughout deregulated markets in the U.S. Based in New York City, CPower (www.cpower. com) is one of the oldest, most experienced and largest demand response providers in North America, active in energy markets throughout the United States, Canada and, most recently, the United Kingdom.

EnerNOC Signs Demand Response Contract Expansion with Ontario Power Authority EnerNOC, Inc. announced earlier this year that it signed a 25 megawatt contract expansion with the Ontario Power Authority (OPA). This expansion is the result of early success that EnerNOC has achieved in the OPA’s DR 3 demand response program (DR3 Program).

EnerNOC’s initial agreement with the OPA was announced in April 2008 and, since then, the company has enrolled numerous leading Ontario businesses in the DR3 Program, including VersaCold, Italpasta, Bitumar, and others.

“EnerNOC has performed well, delivering over 100 percent of contracted capacity on average in our DR3 Program events in the past year, and we look forward to the continued success of this partnership,” said Cliff Poyton, Manager Business Markets Delivery, Ontario Power Authority.

When dispatched by the OPA, EnerNOC activates its network of commercial, institutional, and industrial energy customers to reduce electricity usage. EnerNOC monitors each site’s performance in real time from its Network Operations Center (NOC) to ensure that energy reduction targets are achieved. In return, customers receive regular payments from EnerNOC, as well as free basic access to PowerTrak, EnerNOC’s energy management application that helps customers identify additional energy savings opportunities.

“Businesses in Ontario recognize that demand response is a great opportunity to engage in the energy markets, create value for their organizations, and do something positive for their communities.

One of the primary challenges of growing an energy management program in Ontario is demonstrating to customers that it can be easy and straightforward. EnerNOC’s fully transparent approach and track record of exceptional customer service have helped empower local businesses to participate in the DR3 program,” said Kelly Lorincz, Country Manager–Canada, at EnerNOC. “At Italpasta, we’re committed to being a good corporate citizen and have done many things to ensure we’re using energy as efficiently

as possible. Demand response piqued my interest, but admittedly, I was originally skeptical of the program. It sounded a little too good to be true,” said Riccardo Bordignon, Plant Manager and Vice President of Operations at Italpasta, the largest pasta manufacturer in Canada.

“EnerNOC really made it easy though, and they allayed any concerns we had about how participation would impact operations. The company sat with us and took the time to really understand our business and outline a plan that would help us meet our conservation targets without negatively affecting our packaging processes.”

“EnerNOC came highly recommended,” said Ted Royals of VersaCold, which operates the largest cold storage network in the world. “We viewed demand response as another strategy to help us manage and reduce our energy use—and to get paid for our efforts. EnerNOC’s offering was clearly a win-win.” VersaCold has facilities enrolled with EnerNOC throughout North America, including nine sites in Ontario. In total, the company has historically received approximately $160,000 in annual payments from EnerNOC. EnerNOC (www.enernoc.com) also provides other energy management solutions to Ontario businesses. Its MonitoringBased Commissioning (MBCx) energy efficiency application helps businesses uncover substantial energy savings through continuous analysis of data captured from building management systems and metering. EnerNOC’s CarbonTrak application measures, manages, and reports customers’ greenhouse gas emissions and prioritizes greenhouse gas reduction efforts.

“We’re excited to continue building upon our early success in Ontario. We applaud the OPA for continuing to invest in environmentally-responsible and economical resources like demand response, and we look forward to not only expanding our demand response network, but also increasing the number of Ontario businesses and institutions that utilize EnerNOC’s full suite of energy management solutions,” said Tim Healy, chairman and CEO of EnerNOC.

canadian sustainable buildings | 23

Energy Incentives

GreenSaver

Bringing The Energy Efficiency Message (and Money!) to the Apartment Sector

By Constantine (Taki) Eliadis

24 | volume 3 • issue 1

By Constantine (Taki) Eliadis What started in the 80s in Ontario as a feel— good marketing campaign largely to prop up government popularity, and then a tactical plan to counter spiking electricity demand, has now taken hold as an essential policy lever in Ontario to shape (read reduce) the energy consuming behaviour of Ontario consumers and businesses.

A conservation program is one component in a chain of events which ultimately results in the broad-scale adoption of a better way of using, in this case, electricity. That is to say, less of it for the same output. Whether it is a light bulb that uses less electricity to provide the same light level in a hallway, or a smart lighting system that shuts the light if there is no occupant, or a smart appliance that knows when it should start based on the price electricity, conservation is really about becoming smarter consumers of electricity.

And considering that the environment from which we take our life-sustaining air and water suffers incrementally for every kWh of electricity wastefully consumed and every kWh of electricity unnecessarily produced, it can certainly be argued that an economic investment in a more energy conscious lifestyle is indeed an investment in our future.

Information and incentive programs essentially purchase Kilowatts (power) or Kilowatt-hours (energy) of reduction by offering you, the consumer, a rebate for making a more energy efficient choice by adopting these smarter technologies and behaviours.

Not only do we benefit from lower electricity bills, we are paid to do it. The concept is simple.

Provide a financial incentive to accelerate the adoption of a specific new technology that reduces energy consumption and if enough people do it, we displace, or at least defer the need (and cost) for a new generating plant. The trick for program designers is to ensure that the cost of the kilowatt kW saved is less than the cost if you had to generate that extra kW. Hopefully over time, these new technologies gain momentum in the marketplace, rendering obsolete the technology it replaced. The most obvious example is the compact fluorescent light bulb (often referred to as the “twistie” for its spiral design), which now seems to dominate

the store shelves. It won’t be long before we forget what an incandescent bulb looks like.

With the promise of lower energy bills and rebates, it would seem that changing our errant ways should be as easy as 1-2-3 but for those out there whose role it is to help convince us to change, it couldn’t be further from the truth.

One such company committed to the cause is The Toronto Urban Environment Center, operating as “GreenSaver”, a not-for-profit organization that has been making a big contribution in this domain. For some, 25 years GreenSaver has led the charge for more energyefficient homes, promoting energy efficiency, educating consumers, and rolling their own trucks to help households stop energy from leaking out of their homes.

With strong ties to Ontario communities, GreenSaver has evolved into one of Ontario’s leading provider of energy efficiency programs and related services. It is licensed by Natural Resources Canada (NRCAN) to provide home energy assessments under Federal government’s ecoENERGY program (in fact they have conducted more than 40,000 audits under the program to date). GreenSaver has also has a strong reputation in programs for senior citizens and families in financial need and has worked with both Enbridge and Union Gas to deliver energy efficiency services to help alleviate the burden of energy costs for fixed and low income families. Most recently, GreenSaver was selected by the Ontario Power Authority as one of a select few to act as Program Manager for province-wide electricity conservation programs.

One program which will be of particular interest to owners and operators of multi-unit residential buildings is the Multi-Family Energy Efficiency Rebates (MEER) program. This $30 million rebate program is managed “turn key”

by GreenSaver across Ontario (excluding the City of Toronto proper). The program offers significant rebates for building upgrades that result in electricity savings. This includes improvements to all sorts of lighting, heating systems, cooling systems (HVAC), motors, hot water systems, ground source cooling, even elevators.

GreenSaver believes that simplifying the

Energy Incentives process for the client and finding ways to maximize the rebate is in everyone’s best interests. For this reason they have trained technical staff available to discuss with clients (at no charge) the project under consideration, the process and documentation and even provide assistance in completing the application form. And then managing the application process on behalf of the client and delivering a cheque on behalf of the Ontario Power Authority. GreenSaver works with key partners in promoting the program in the marketplace including Halsall Associates Limited, a leading Canadian engineering consulting firm, Social Housing Services Corporation, and many Ontario electricity utilities.

For many building operators, energy efficiency is not part of everyday operations and it can be a challenge even to know where to start. Here’s another area where the program can help. GreenSaver recommends an energy audit, a systematic review of the building systems and cladding, conducted by a professional engineer. The results are compiled in a comprehensive report to the owner identifying the major (and most costeffective) energy savings opportunities. If the audit results in the implementation of any of the energy saving building upgrades, the program will contribute to the cost of the audit to the tune of $35 per residential suite. This can

easily add up to more than 50 percent of the cost of the audit.

Another key feature of the rebate design relates to building residents. In many rental apartment buildings, the resident pays a flat fee for utilities embedded in the monthly rent. It is estimated that there are over 900,000 unmetered residential units in Ontario.

However the energy consuming behaviour of residents and the efficiency of their electricity consuming devices has a material impact on the overall utility costs of the building. The MEER program has something to offer here in two ways. Rebates are available for in-suite appliances replaced with new Energy Star versions. As is lighting and ceiling fans. There is an additional rebate in the form of educational materials and energy saving tips, which are delivered directly to residents. Depending on the size of the building upgrade (how big a rebate it is eligible for) GreenSaver offers to send a program specialist at no cost to the building owner to conduct a seminar on site for building residents. Building momentum and awareness for energy conservation can be infectious.

One specific piece of equipment worth pointing out is the commercial chilled water system, or chiller, which provides central cooling for air conditioning. Changing regulations regarding refrigerant use will come into effect in Canada in 2011, which for many

will mean the replacement of non-compliant equipment. If your chiller is on that list, you should think about planning its replacement this year and cashing in on a sizable rebate from the MEER program ($800/kW) available through the end of 2010. You have until April of 2011 to complete the installation but the application must be submitted by the end of 2010.

The MEER program has one final jewel whose twinkle should catch the eye of apartment owners. And that is the retroactive date. January 1, 2008. That’s right. If you started an energy efficiency project any time after that date and plan to complete it (or even if it is already complete) any time prior to the end of 2010, you can still submit an application and qualify for all the eligible rebates offered.

GreenSaver reports that they have received over 200 applications since the beginning of 2010, so when GeenSaver says that getting your share of the $30 million in rebates for apartment buildings in 2010 is as easy as 1-2-3, it seems that there are a lot of building owners out there who are indeed starting to get the message. CSB Constantine (Taki) Eliadis is the Director of Program Management Services with GreenSaver.

In his previous life with the Ontario Power Authority he led the design and implementation of major provincial electricity conservation programs currently operating in Ontario.

canadian sustainable buildings | 25

Product Showcase

Lighting Sylvania Metalarc Powerball EL Ceramic Metal Halide

The Sylvania Powerball EL 24W PAR38 medium screw base ceramic metal halide lamps with integrated ballasts are energy saving, direct retrofits for less efficient halogen PAR lamps. They can be operated in any standard 120V medium base socket and feature power interrupt and thermal protection. Powerball ceramic arc tube technology delivers high colour quality with a CRI of 82. This lamp is available in four beam angles; 10º, 15º, 25º and 40º and can replace 60W through 120W halogen PAR lamps—it will last three times longer, deliver more than twice the light and uses up to 80 percent less energy. www.sylvania.com

Sylvania Quicktronic ProStart T8 Quickstep Bi-level Dimming Ballast

This dimming ballast provides full light output or with the flip of a switch reduces the power to 50 percent.

This product is ideally suited for applications requiring two light levels for comfort dimming or energy savings.

This ballast is 15 percent more efficient than any other similar model on the market and is the only ballast offering a warranty on applications utilizing occupancy sensors. www.sylvania.com

GE Energy Smart LED Lamps

GE’s Energy Smart Light Emitting Diode lamps bring energy efficiency, long life and environmentally conscious options to a variety of track and down lighting applications, traditionally lit by incandescent and halogen light sources. The long life and high efficiency of the GE Energy Smart family make them an ideal solution for general lighting and hard-to-reach lighting fixtures. Compared to standard incandescent reflectors, GE’s Energy Smart LED lamps can reduce energy consumption by up to 77 percent. The lamps’ optics concentrate light on the target, diminishing wasted extraneous light. GE Energy Smart LED lamps have a life rating up to 20,000 hours to 70 percent of initial light output. The life rating refers to the hours of operation the lamp will provide before reaching 70 percent of its original light output. Actual lamp life before failure may be significantly longer. GE Energy Smart LED lamps are energy efficient, contain no lead or mercury and are RoHS compliant. Their long life reduces the impact on the environment by allowing for fewer lamp replacements when compared with standard halogen and incandescent light sources. www.ge-lighting.com

Phillips Energy Advantage CDM Lamp

Introducing the Philips Energy Advantage CDM lamp with AllStart Technology. This ceramic metal halide lamp is a direct retrofit for 250W and 400W quartz metal halide lamps. There is no ballast change required as it will operate on either Probe or Pulse Start ballasts. The Energy Advantage CDM lamp featuring AllStart is a high-efficiency protected “O” rated CDM lighting solution that provides energy savings, and is a true universal operation that does not affect lamp life. Philips AllStart lamps are available in both 330W and 205W, which can reduce your energy savings by up to 18 percent, as well as your maintenance and recycling costs with a long life of greater than 20,000 hours. www.philips.com/allstart

Phillips Energy Advantage Fluorescent Lamp

The Philips Energy Advantage T5 HO 49W fluorescent lamp is an industry exclusive product. As a direct retrofit for the 54W T5 HO lamp, it’s a simple way to maximize savings by reducing energy consumption by 5 Watts instantly. This translates into a savings of $17.50 in energy costs over the life of the lamp, with no sacrifice to light levels. Other outstanding features of this product include long life – 35,000 hours – which extends the re-lamping cycle to save on replacement, maintenance and disposal costs, in addition to a 10 percent increase in lumens per watt. www.philips.com/save5watts.com

26 | volume 3 • issue 1

BETTER BUILDINGS PARTNERSHIP

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OM

Managed by GreenSaver, Ontario’s leading Energy Efficiency Not-For-Profit Organization Call today or visit www.meerontario.ca for more information OM

An Electricity Conservation Initiative Funded by The Ontario Power Authority