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Scoping Green
     Renovation

Andy Shapiro, Energy Balance, Inc.
     andy@energybalance.us

             14 April 2010



            Energy Balance, Inc.
Scoping Green Renovation
Setting goals, metrics, implementation
strategies
    MacArthur “Roadmap” work
Green strategies for affordable
housing.
    Prioritizing various elements
What does this look like in a project?
Ongoing tracking of benefits

                Energy Balance, Inc.
Why Bother?
     The perfect storm




Energy Balance, Inc.
Setting goals, metrics,
implementation strategies




        Energy Balance, Inc.
Setting goals, metrics,
implementation strategies

  Why bother to set goals?




        Energy Balance, Inc.
Setting goals, metrics,
implementation strategies

   Why bother to set goals?




          Energy Balance, Inc.
Goals, Objectives and Strategies

  Define the ENVIRONMENTAL
  GOALS for the building.
  Best before schematic design
  phase
  Green design stretches out the
  schematic design phase.

            Energy Balance, Inc.
Goals, Objectives and Strategies

  Example GOAL: Highly efficient
  use of energy




            Energy Balance, Inc.
Goals, Objectives and Strategies

 Translate goals into OBJECTIVES
   Metrics to see if goals are being
   met, such as
     Use 50% less energy than Energy Code
     Reduce building energy operating cost
     by 50%
     Maintain affordable PUM in year 2025


               Energy Balance, Inc.
Goals, Objectives and Strategies

Translate OBJECTIVES into
specific systems or STRATEGIES
that will be considered for the
building.
  Example STRATEGIES: Super-
  insulated walls; super-windows;
  highest efficiency boilers, energy
  recovery ventilation, solar hot
  water....    Energy Balance, Inc.
Goals, Objectives and Strategies

   GOAL
    OBJECTIVE
      STRATEGIES




            Energy Balance, Inc.
Goals, Objectives and
Strategies
   GOAL: Highest energy
  efficiency
    OBJECTIVE: 50% less energy use
    than code
     STRATEGIES: Super-insulation,
     highest efficiency boilers and chillers,
     energy-recovery ventilation


               Energy Balance, Inc.
Scoping Green Renovation

 Roadmap to Energy Affordability:
How much to spend on affordable
 housing rehab to be sure energy
     costs stay affordable?
    (And how to spend it?)



           Energy Balance, Inc.
Roadmap to Energy
       Affordability

           Purposes:
Provide roadmap for housing
providers
Provide data for policy-makers to
set funding levels



           Energy Balance, Inc.
Volatility in current energy markets




             Energy Balance, Inc.
Volatility in energy markets




         Energy Balance, Inc.
Roadmap to Energy
          Affordability



Risk avoidance as an approach to the
 volatility in current energy markets




             Energy Balance, Inc.
Roadmap to Energy
      Affordability

“Near term” and ”permanently”
          affordable




         Energy Balance, Inc.
Roadmap to Energy
       Affordability

 “near term” affordable -- for 15
years energy costs will not effect
          affordability




          Energy Balance, Inc.
Roadmap to Energy
         Affordability

   “near term” affordable -- for 15
  years energy costs will not effect
             affordability
”permanently affordable” -- energy
     costs will be so low as to not
     effect affordability for the
          foreseeable future
            Energy Balance, Inc.
Roadmap to Energy
           Affordability
 For “near term” affordable, what are:
Current fuel costs?
Analysis period?
Escalation rate? (base rate and high rate)
Acceptable $PUM? (total energy cost for
heat and hot water -- includes common
costs and tenant costs)

              Energy Balance, Inc.
Roadmap to Energy
          Affordability
The “oracle method” arrived at
  Current fuel cost $3.00/gallon oil
  Analysis period – 15 years
  Escalation rates (5% and 10%)
  Acceptable $PUM in yr 15 = $75 for a
  typical 2 BR, family, 750 sq. ft.


               Energy Balance, Inc.
Roadmap to Energy
             Affordability
Parameters for “permanently affordable”
   Use most expensive fuel cost:
   photovoltaics
   Minimize total investment in energy
   improvements plus investment in PV to
   provide all the energy needed.



                Energy Balance, Inc.
permanently affordable
                Cost for Cost for Total Cost
                Rehab     PV      for Rehab + PV
                 Only     Only       Total

Existing
Unit             --     $$$$$$$$$   $$$$$$$$$


Low level        $$      $$$$$      $$$$$$$
Rehab



Level 2          $$$     $$$$       $$$$$$$
Rehab



Level 3          $$$$    $$$        $$$$$$
Rehab




Level 4          $$$$$$ $$          $$$$$$$$
Rehab



            Energy Balance, Inc.
permanently affordable
                 Cost for Cost for Total Cost
                 Rehab     PV      for Rehab + PV
                  Only     Only       Total

Existing
Unit              --     $$$$$$$$$   $$$$$$$$$


Low level         $$      $$$$$      $$$$$$$
Rehab



Level 2           $$$     $$$$       $$$$$$$
Rehab



Level 3           $$$$    $$$        $$$$$$
Rehab




Level 4           $$$$$$ $$          $$$$$$$$
Rehab



            Energy Balance, Inc.
Roadmap to Energy Affordability
           Housing Types for Analysis
              Description

1   Slab-on-grade duplex/townhouses, typically 1970's/1980's vintage

    Larger downtown buildings, multi-unit, older buildings, may have retail below, may be
2   historic. Will include interior-insulation for Near Term Affordable retrofit and exterior
    insulation for Permanently Affordable

    Double loaded corridor, newer construction, typically 20 - 40 units, built within last
    decade. Costs will be for upgrading features during construction, as opposed to retrofit costs
3
    since existing examples tend to be relatively new buildings and since this is a likely form for much
    future new construction of affordable housing

    Typical housing project that often includes several smaller buildings, either built as
4
    apartments or changed from single family to multi-family




                                   Energy Balance, Inc.
Scoping Green Renovation
Setting goals, metrics, implementation
strategies
    MacArthur “Roadmap” work
Green strategies for affordable
housing.
    Prioritizing various elements
What does this look like in a project?
Ongoing tracking of benefits

                Energy Balance, Inc.
Green strategies for
 affordable housing




       Energy Balance, Inc.
Green Buildings
       What Are They?
   Healthy
   Durable
   Efficient

Meet these goals without affecting
future generations’ ability to do the
same.
               Energy Balance, Inc.
Healthy


 Healthy for the Occupants
 Healthy for the Construction
 Workers and Fabricators
 Healthy for the Earth




            Energy Balance, Inc.
Healthy for the Occupants:
Excellent Indoor Air Quality
 Materials –
   zero formaldehyde
   avoid plasticizers
   Avoid/minimize VOC’s
 Allergen control: Don’t feed the
 critters: avoid or carefully locate
 carpet

               Energy Balance, Inc.
Hardwood floors
                       in living and
                       dining room
                       (Waterfront
                       Housing,
                       Burlington, VT)




Energy Balance, Inc.
Healthy for the Occupants:
Excellent Indoor Air Quality


 Ventilation – good and plenty!
 All houses need mechanical
 ventilation

The price of living in a closed box is
 bringing in fresh air!
             Energy Balance, Inc.
Healthy for the Occupants:
Excellent Indoor Air Quality
 Compartmentalization of apartments
 for second-hand smoke control




              Energy Balance, Inc.
Ventilation
   Minimum – exhaust-only:
 high efficiency, quiet fans, running 24/7

  Best – balanced system:
 energy recovery, fresh air to each
 occupied room, stale air out of moisture
 producing rooms, 24/7


               Energy Balance, Inc.
Balanced System




           Energy Balance, Inc.
Heat recovery ventilation




             Energy Balance, Inc.
Energy and Heat Recovery Ventilation

How is it done?




                  Energy Balance, Inc.
Healthy for the Occupants:
Moisture control = mold control
 Rain water
 Ground water
 Internally
 generated
 moisture

Mold = potential liability issue
                Energy Balance, Inc.
Healthy for the Occupants:
Moisture control = mold control


   Rain water
   Problems usually from the roof!
     Proper grading critical
   Rain screen approach to siding
   See Building Science Corporation’s
   excellent work

                Energy Balance, Inc.
Image courtesy John Straube, Building Science Corporation
                      Energy Balance, Inc.
Healthy for the Occupants:
Moisture control = mold control

 Ground water
 Capillary breaks in foundation
 Continuous moisture barrier
 Excellent drainage


              Energy Balance, Inc.
Capillary
break
and
vapor
barrier




            Energy Balance, Inc.
Healthy for the Occupants:
Moisture control = mold control
   Internally generated moisture
     No thermal bridges = No
     condensation. Good windows
     Slab insulation – important for
     condensation control
     Ventilation



               Energy Balance, Inc.
Healthy for the Occupants:
Moisture/Allergen control
 Surfaces easy to keep clean
 Building maintenance: Non-toxic cleaning
 products




                 Energy Balance, Inc.
Healthy for the Construction
Workers and Fabricators
 Low toxicity
 materials
   Low toxicity
   during
   manufacture
   Low toxicity
   during
   installation


                  Energy Balance, Inc.
Healthy for the Earth:
Materials Choices
 Recycled –
 Re-hab an old
 building
 Recycled –
 cellulose
 insulation
 Recyclable –
 Metal roofing


                 Energy Balance, Inc.
Healthy for the Earth:
Materials Choices
 Sustainable – certified
 sustainably harvested wood
 Low embodied energy – local
 material




                Energy Balance, Inc.
Healthy for the Earth: Site and
Location Choices

 Build on public transit lines
 Build on non-agricultural
 land
 Build near walking and
 bicycle paths



                Energy Balance, Inc.
Healthy for the Earth: Site and
Location Choices
 Cluster
 development
 Preserve and
 enhance existing
 ecosystems
 Rehabilitate a
 ‘brownfield’ site


                Energy Balance, Inc.
Healthy for the Earth: Site and
Location Choices

Local plants
Limit turf that
requires mowing
Manage runoff
from parking
and roads


              Energy Balance, Inc.
Healthy for the Earth:
Durable
 Durable
 materials
 Durable
 detailing




             Energy Balance, Inc.
Healthy for the Earth:
Durable




            Energy Balance, Inc.
Healthy for the Earth:
Durable




            Energy Balance, Inc.
Healthy for the Earth:
Efficient
 Resource Efficient
 Space Efficient
 Energy Efficient


            Energy Balance, Inc.
Resource Efficient
 Only build as much space as needed
 Optimize materials use and systems
 design: Don’t ‘over-engineer’ !
  OVE Framing
 Recycling of
 construction
 debris


                Energy Balance, Inc.
Resource Efficient
 Low water
 consumption –
 water-efficient
 toilets
 Easy-to-use
 recycling facilities




                  Energy Balance, Inc.
Energy Efficient
 (Good) Super envelope
 High efficiency mechanical
 systems
 High efficiency lighting and
 appliances




               Energy Balance, Inc.
Good
envelope




           Energy Balance, Inc.
Super-
Super                                 windows:
                                      From R-3 to
envelope                              R-5 and
                                      beyond!
Add 4” foil-
faced foam
to 2x6 wall                            Add 2
                                       more
From R-16                              inches
to R-40                                foam
                                       From
                                       R-10 to
                                       R-20
               Energy Balance, Inc.
Good
envelope




           Energy Balance, Inc.
Foam-in-
Super          place air
               seal
envelope

Add 4” foil-
faced foam
to ceiling
From R-28
to R-54




                     Energy Balance, Inc.
Super
envelope
retrofit
(Building
Science Corp)




                Energy Balance, Inc.
Super windows – R-5 instead of R-3




 Fiberglass frame window, triple + two-low-e +
 argon + Superspacers (Accurate Dorwin, Serious
 Materials, Marvin new 1.5” triple)
                Energy Balance, Inc.
Super envelope                         Air Leakage (Infiltration) Rate
                                           Air Changes per Hour
– Air leakage                 0.40

Infiltration                  0.35


               ACH            0.30


Typical          0.35         0.25


Micro-load       0.10         0.20

                              0.15

                              0.10

                              0.05

                               -
                                         Typical                 Micro-load




                        Energy Balance, Inc.
Super envelope –
Air leakage
 Infiltration
                ACH     Gal propane           $$/yr
 Typical           0.35          115          $ 402
 Micro-load        0.10           33          $ 115
                Savings           82          $ 287




                       Energy Balance, Inc.
Super envelope –
Air leakage
 Infiltration
                ACH     Gal propane           $$/yr
 Typical           0.35          115          $ 402
 Micro-load        0.10           33          $ 115
                Savings           82          $ 287

      Cost for HRV           $ 2,000
      cost for air sealing   $   500
      total cost             $ 2,500
      Payment                $   201
                       Energy Balance, Inc.
Super envelope –
Air leakage
 Infiltration
                ACH     Gal propane           $$/yr   payment
 Typical           0.35          115          $ 402
 Micro-load        0.10           33          $ 115
                Savings           82          $ 287   $   201

      Cost for HRV           $ 2,000
      cost for air sealing   $   500
      total cost             $ 2,500
      Payment                $   201
                       Energy Balance, Inc.
Energy Efficient

 Recycle energy
 flows
   Ventilation
   energy recovery
   Waste water
   energy recovery


              Energy Balance, Inc.
Energy Efficient

 Waste
 water
 energy
 recovery




            Energy Balance, Inc.
Energy Efficient Lights and
Appliances
Lighting Design
 High efficiency lighting –
 Energy Star fixtures
 Occupancy control for
 lighting in common areas
 (check ballasts for “program start”)
 High efficiency appliances –
 Energy Star appliances

                    Energy Balance, Inc.
Energy Efficient
 Use as much renewable energy as you can
 afford!
   Bio-mass heating




                 Energy Balance, Inc.
Energy Efficient
Use as much renewable energy as you can
afford!
  Passive solar – can be inexpensive




                   Energy Balance, Inc.
Energy Efficient
 Use as much renewable energy as you can
 afford!
   Solar thermal, solar electric




                   Energy Balance, Inc.
Prioritizing various elements
for affordable housing
High integrity thermal envelope
(thermal and moisture)
Very durable
Recover energy flows
Conserve water




             Energy Balance, Inc.
Prioritizing various elements
for affordable housing
High efficiency distribution
Excellent indoor air quality – Good
ventilation and materials
High efficiency equipment
Use renewable energy




             Energy Balance, Inc.
Scoping Green Renovation
Setting goals, metrics, implementation
strategies
    MacArthur “Roadmap” work
Green strategies for affordable
housing.
    Prioritizing various elements
What does this look like in a project?
Ongoing tracking of benefits

                Energy Balance, Inc.
Setting your energy goals

Data Gathering and Analysis
Energy Goals
Developing a Workplan




             Energy Balance, Inc.
Data Gathering

      Building Stats
      Building Energy Use
      Building Audit




             Energy Balance, Inc.
Data Gathering
 Stats
  --the patient’s history
 Energy Use
  -- the patient’s pulse
 Detailed Energy Audit
  -- the patient’s EKG

                Energy Balance, Inc.
Stats
Building Name
Location, physical address
Location, city, state and zip
Total building conditioned sq ft
Total building unconditioned sq ft (sheds, storage, etc.)
Total building semiconditioned sq ft (basements, mudrooms, other)
Number of units, by # bedrooms
% Occupancy
Date of original construction
Date of last renovation
Known problems with occupant comfort
Known energy usage issues
Deferred/upcoming maintenance items
Are there needs for expansion or renovation of this building?
Your name, date
Other notes



                                    Energy Balance, Inc.
Stats
Building envelope
Building construction type, number floors                           double loaded corridor, 4 floors
Describe system, insulation and cladding for:
  Walls                                                             2x4, brick clad, no insulation
  Roof/Ceiling                                                      2x10, 3" rigid ins. Under membrane
  Foundation                                                        concrete block, no insulation
  Slab                                                              4" (?) in basement, no insulation
  Windows                                                           Old doublehung + triple trackstorm
Date of most recent energy audit                                    N/A
Is audit report available? If so, from whom                         N/A
Is building on historic register or other restrictions?             Historic district, rehab pres. credit
List building elements in need of repair                            Brick spalling near grade, windows
Describe known problems with building envelope                      Moisture in basement, water
Other notes                                                         Structure sound




                                                 Energy Balance, Inc.
Stats
Mechanical Systems
Heating System
 fuel                                                             Oil
 prime mover type                                                 Boiler
 Prime mover capacity (Btu/hr)                                    500,000
 distribution                                                     Steam radiators
 year installed                                                   1935
Cooling System
 type                                                             Window air condtioners
 capacity                                                         ?
 year installed                                                   ?
Ventilation system
 type                                                             intermittent bath fans
 capacity, cfm                                                    ?
Describe water source for building                                City water
Known issues with any mechanical systems                          high water pressure, poor zoning
Other notes




                                           Energy Balance, Inc.
Energy Use – taking the pulse

12 month total energy and water usage, energy usage from all sources
start date of usage data
end date of usage data
ccf natural gas
gallons oil
gallons propane
cords wood
tons wood chips
tons wood pellets
kWh electricity
peak electricity demand, kW
gallons water use
Other notes




                                 Energy Balance, Inc.
Energy Use – taking the pulse

ENERGY USAGE DATA                         Total        Total
                                         Square      Electricity              Propane   Nat Gas
                       Occupancy         Footage        kWh        Oil Gals     Gals     cu ft

Burlington Cohousing   multi-family         26,450      105,372                         14,241
Waterfront Housing     multi-family         45,000      202,000                         10,545
Evergreen Place        elderly housing      17,240       81,840       1,397




                                Energy Balance, Inc.
Energy Use – taking the pulse

PERFORMANCE DATA
                                                       Btu/         kWh/
ALL ENERGY SOURCES                       MMBtu        sq.ft.-yr    sq.m.-yr

Burlington Cohousing   multi-family           1,812       69,000        217
Waterfront Housing     multi-family           1,765       39,000        123
Evergreen Place        elderly housing          469       27,000         85




                       Energy Balance, Inc.
Energy Use – taking the pulse

PERFORMANCE DATA
                                                       Btu/         kWh/
ALL ENERGY SOURCES                       MMBtu        sq.ft.-yr    sq.m.-yr

Burlington Cohousing   multi-family           1,812       69,000        217
Waterfront Housing     multi-family           1,765       39,000        123
Evergreen Place        elderly housing          469       27,000         85


 PassivHaus standard:
 15 kWh/sq.m-yr heat
 120 kWh/sq.m-yr total SOURCE energy

                       Energy Balance, Inc.
Energy Use – taking the pulse

PassivHaus standard:
15 kWh/sq.m-yr heat
120 kWh/sq.m-yr total SOURCE energy

Waterfront Housing:
~66 kWh/sq.m-yr heat
~265 kWh/sq.m-yr total SOURCE energy


               Energy Balance, Inc.
Energy Audit – Digging Deeper
   Getting the EKG!
Mechanical assessment (re-commissioning)
Electrical loads:
  Apartment lighting, appliances, other
  Common lighting, office equipment,
  elevator, outdoor lighting, other
Envelope




              Energy Balance, Inc.
Energy Audit – Digging Deeper
   Getting the EKG!
   Waterfront Apartments
   Natural Gas Use
   Heat, therms/yr                            7,905
   Domestic Hot Water, therms/yr              2,640
   Total therms/yr                           10,545
   Btu/sq.ft.-dday heat only                   2.33
   Avg gas cost/apt-month          $          22.70
   Avg gas cost/apt-year           $            272
   Btu/sq.ft.-yr                             26,363




                      Energy Balance, Inc.
Energy Audit – Digging Deeper
   Getting the EKG!
   Waterfront Apartments
   Electricity Use
   Electricity, apt's only kWh/yr               96,000
   Electriciy, house meter                     106,000
   Total kWh/yr                                202,000
   Avg monthly tenant electric bill   $          19.46
   Cost of house meter/apt            $          25.21
   kwh/sq.ft.-yr                                    5.1




                        Energy Balance, Inc.
Energy Audit – Digging Deeper
   Getting the EKG!
  Waterfront Apartments
  House meter breakdown
  common lights                           43,000
  ventilation fans                        30,000
  cooling vent air                         7,000
  heating pumps                            9,000
  elevator                                 9,000
  fire pump                                  611
  controls and other                       8,000

  Total                                  106,611



                  Energy Balance, Inc.
Energy Audit – Digging Deeper
   Getting the EKG!




            Energy Balance, Inc.
Energy Audit – Digging Deeper
   Getting the EKG!




            Energy Balance, Inc.
Energy Audit – Envelope
 Air
 leakage
 Insulation
 Windows
 Doors




              Energy Balance, Inc.
Energy Goals




               Energy Balance, Inc.
Energy Goals
                                100
                                 90                                                                                       Biomass
Percent of current Energy Use




                                 80
                                                                                                                          PV
                                 70
                                                                                                                          Conventional
                                 60                                                                                       Energy
                                 50
                                 40
                                 30

                                 20
                                 10
                                  0
                                      Business as      Stop           “Cost    Avoidance       Affordable   Perpetually        Carbon    Net zero
                                        usual        shooting      effective” of future fuel   for next X   affordable         neutral
                                                    yourself in   investments shock risk          years
                                                     the foot      in energy




                                                                        Energy Balance, Inc.
Energy Goals
                                100                                                      30% to 50% solution
                                 90
                                                                                                                      Biomass
Percent of current Energy Use




                                 80
                                                                                                                      PV
                                 70
                                 60                                                                                   Conventional
                                                                                                                      Energy
                                 50
                                 40

                                 30

                                 20

                                 10

                                  0
                                      Business as       Stop          “Cost   Avoidance of Affordable   Perpetually    Carbon    Net zero
                                        usual        shooting      effective”  future fuel for next X   affordable     neutral
                                                    yourself in   investments shock risk      years
                                                      the foot      in energy




                                                                        Energy Balance, Inc.
Energy Goals
                                100

                                 90
                                                                            Micro-load solution                       Biomass
Percent of current Energy Use




                                 80
                                                                                                                      PV
                                 70

                                 60                                                                                   Conventional
                                                                                                                      Energy
                                 50
                                 40

                                 30

                                 20

                                 10

                                  0
                                      Business as       Stop          “Cost   Avoidance of Affordable   Perpetually    Carbon    Net zero
                                        usual        shooting      effective”  future fuel for next X   affordable     neutral
                                                    yourself in   investments shock risk      years
                                                      the foot      in energy




                                                                        Energy Balance, Inc.
Putting Together a Green Project
  Design team, consultants and builder
  selection critical!
    Allow some additional time
    Willing and experienced? At least
    willing!
    Green champion critical!
    Green Geek necessary


               Energy Balance, Inc.
Putting Together a Green Project
  Design team, consultants and builder
  selection critical!
    Check actual energy consumption of
    projects completed by design team
    members
    Past performance best indicator of
    future performance



               Energy Balance, Inc.
Putting Together a Green Project
  Early budgeting with cost and savings
  projections
    During schematic design
    Pick a package of improvements
    Avoid death by 1,000 cuts




               Energy Balance, Inc.
Putting Together a Green Project
  Why not look at
   First year rate of return?
   Payback?


  Cash flow
   Use cash flow to minimize total
   investment + operating costs over time



                Energy Balance, Inc.
Putting Together a Green Project

 Proforma budget with cash flow
 Cash Flow           Typical Upgrade
                 At LOW fuel escation rate
      $70,000    Energy Cost without improvements, first year
      $18,000    Energy cost savings, first year
     $220,000    total cost of improvements; all borrowed
        8.00%    loan rate, fixed
            20   year term
      $22,000    annual payment
           5%    Fuel escalation rate, low,above inflation
          15%    Fuel escalation rate, high, above inflation
           0%    Inflation rate



                            Energy Balance, Inc.
Proforma budget with cash flow

        At LOW fuel escation rate
        No Improvements        With all recommended improvements
Year       Energy Cost          Loan payment Energy Cost     Total     Net
    1           $70,000              $22,000     $52,000     $74,000   ($4,000)
    2           $74,000              $22,000     $55,000     $77,000   ($3,000)
    3           $78,000              $22,000     $58,000     $80,000   ($2,000)
    4           $82,000              $22,000     $61,000     $83,000   ($1,000)
    5           $86,000              $22,000     $64,000     $86,000        $0
    6           $90,000              $22,000     $67,000     $89,000    $1,000
    7           $95,000              $22,000     $70,000     $92,000    $3,000
    8          $100,000              $22,000     $74,000     $96,000    $4,000
    9          $105,000              $22,000     $78,000    $100,000    $5,000
   10          $110,000              $22,000     $82,000    $104,000    $6,000
   11          $116,000              $22,000     $86,000    $108,000    $8,000



                                Energy Balance, Inc.
Proforma budget with cash flow
                    Annual Energy + Debt Service Costs
 $300,000            (20 yr, 8% loan), Typical Upgrades

                No improvements, 5% Fuel Escalation
 $250,000

                with improvements, 5% Fuel escalation

 $200,000
                No improvements, 15% Fuel Escalation

                with improvements, 15% Fuel escalation

 $150,000




 $100,000




  $50,000




      $0
            1   2       3      4       5          6      7   8   9   10
                                           Year




                                   Energy Balance, Inc.
Putting Together a Green Project
  Include intangible benefits
    Health benefits
      Less stress on allergies, asthma




                Energy Balance, Inc.
Putting Together a Green Project
 Include intangible benefits
   Health benefits
   Stewardship/environment
   al benefits
      Green building on the
      continuum between land
      conservation and
      affordable housing
      Carbon reduction
               Energy Balance, Inc.
Putting Together a Green Project
  Include intangible benefits
    Health benefits
    Stewardship/environmental benefits
    Lower liability risk




               Energy Balance, Inc.
Putting Together a Green Project
  Include intangible benefits
    Community image




                Energy Balance, Inc.
Putting Together a Green Project
  Include intangible benefits
    Community image
    Insulation from rate shock




               Energy Balance, Inc.
Putting Together a Green Project
 Include intangible benefits
   Community image
   Insulation from rate shock
   Preparation for uncertainty of long
   term fossil fuel availability




               Energy Balance, Inc.
Neww to Green Projects?

  Work your way into green gradually –
  pick a good starting point and pick your
  battles
    Small project, or a few features in a
    larger project
    Case studies can be very powerful


               Energy Balance, Inc.
Developing a Workplan
 Each phase supports the eventual
 goal
 Can do renewables first and
 conserve as those opportunities
 present. Order not critical




              Energy Balance, Inc.
Developing a Workplan
  Match plan to goals
  Phasing: plan for implementation
  over appropriate time frame




              Energy Balance, Inc.
Developing a Workplan
  Match plan to goals
  Phasing: plan for implementation
  over appropriate time frame
  Take best advantage of
  opportunities as they come – repairs
  needed, expansion, money that is out
  there.



              Energy Balance, Inc.
Developing a Workplan
  Match plan to goals
  Phasing: plan for implementation
  over appropriate time frame
  Take best advantage of
  opportunities as they come
  Put efficiency work in context:
     Maintenance, current and
   deferred
     Other renovations
              Energy Balance, Inc.
Developing a Workplan
  Each time a part of the building is
  worked on, bring that part up to
  standards for eventual goal for
  entire building




               Energy Balance, Inc.
Vermont Studio Center
                             Present Value of Thermal Energy Costs + Retrofit Costs
                                        at 5% Real Fuel Escalation Rate
$6,000,000




$5,000,000

                                                                                               Retrofit Costs [4]


$4,000,000                                                                                     30 Year PV of Operating
                                                                                               Costs [5]



$3,000,000




$2,000,000




$1,000,000




       $0
             No improvements Base case Level 1 Improved Level 2   Best Level 3   Level 2 + 3


                                                   Energy Balance, Inc.
Putting Together a Green Project
 Risk in doing something new – and risk
 mitigation
   Assess your risks
   Know your downsides and how to
   recover
   Leading edge versus bleeding edge




               Energy Balance, Inc.
Putting Together a Green Project
 Keep your eye on the
 ball – competing
 interests
   Square feet
   Time
    $$



              Energy Balance, Inc.
Project Follow-up

 On-going tracking – Celebrate
 successes, learn from set-backs




              Energy Balance, Inc.
Energy Tracking over time
                                    Building Power Use (5-month rolling average)
      14500


      14000


      13500


      13000


      12500
kWh




      12000


      11500


      11000


      10500


      10000
         Feb-05   May-05   Sep-05          Dec-05         Mar-06         Jul-06    Oct-06   Jan-07


                                       Energy Balance, Inc.
Energy Tracking over time


PERFORMANCE DATA
                                                       Btu/         kWh/
ALL ENERGY SOURCES                       MMBtu        sq.ft.-yr    sq.m.-yr

Burlington Cohousing   multi-family           1,812       69,000        217
Waterfront Housing     multi-family           1,765       39,000        123
Evergreen Place        elderly housing          469       27,000         85




                       Energy Balance, Inc.
Taking care of our future




Hedged future energy bills.
Ready for a changing energy world.
Improved tenant health.
              Energy Balance, Inc.
Celebrate and lead the way




            Energy Balance, Inc.

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Andy Shapiro, Energy Balance, Inc.

  • 1. Scoping Green Renovation Andy Shapiro, Energy Balance, Inc. andy@energybalance.us 14 April 2010 Energy Balance, Inc.
  • 2. Scoping Green Renovation Setting goals, metrics, implementation strategies MacArthur “Roadmap” work Green strategies for affordable housing. Prioritizing various elements What does this look like in a project? Ongoing tracking of benefits Energy Balance, Inc.
  • 3. Why Bother? The perfect storm Energy Balance, Inc.
  • 4. Setting goals, metrics, implementation strategies Energy Balance, Inc.
  • 5. Setting goals, metrics, implementation strategies Why bother to set goals? Energy Balance, Inc.
  • 6. Setting goals, metrics, implementation strategies Why bother to set goals? Energy Balance, Inc.
  • 7. Goals, Objectives and Strategies Define the ENVIRONMENTAL GOALS for the building. Best before schematic design phase Green design stretches out the schematic design phase. Energy Balance, Inc.
  • 8. Goals, Objectives and Strategies Example GOAL: Highly efficient use of energy Energy Balance, Inc.
  • 9. Goals, Objectives and Strategies Translate goals into OBJECTIVES Metrics to see if goals are being met, such as Use 50% less energy than Energy Code Reduce building energy operating cost by 50% Maintain affordable PUM in year 2025 Energy Balance, Inc.
  • 10. Goals, Objectives and Strategies Translate OBJECTIVES into specific systems or STRATEGIES that will be considered for the building. Example STRATEGIES: Super- insulated walls; super-windows; highest efficiency boilers, energy recovery ventilation, solar hot water.... Energy Balance, Inc.
  • 11. Goals, Objectives and Strategies GOAL OBJECTIVE STRATEGIES Energy Balance, Inc.
  • 12. Goals, Objectives and Strategies GOAL: Highest energy efficiency OBJECTIVE: 50% less energy use than code STRATEGIES: Super-insulation, highest efficiency boilers and chillers, energy-recovery ventilation Energy Balance, Inc.
  • 13. Scoping Green Renovation Roadmap to Energy Affordability: How much to spend on affordable housing rehab to be sure energy costs stay affordable? (And how to spend it?) Energy Balance, Inc.
  • 14. Roadmap to Energy Affordability Purposes: Provide roadmap for housing providers Provide data for policy-makers to set funding levels Energy Balance, Inc.
  • 15. Volatility in current energy markets Energy Balance, Inc.
  • 16. Volatility in energy markets Energy Balance, Inc.
  • 17. Roadmap to Energy Affordability Risk avoidance as an approach to the volatility in current energy markets Energy Balance, Inc.
  • 18. Roadmap to Energy Affordability “Near term” and ”permanently” affordable Energy Balance, Inc.
  • 19. Roadmap to Energy Affordability “near term” affordable -- for 15 years energy costs will not effect affordability Energy Balance, Inc.
  • 20. Roadmap to Energy Affordability “near term” affordable -- for 15 years energy costs will not effect affordability ”permanently affordable” -- energy costs will be so low as to not effect affordability for the foreseeable future Energy Balance, Inc.
  • 21. Roadmap to Energy Affordability For “near term” affordable, what are: Current fuel costs? Analysis period? Escalation rate? (base rate and high rate) Acceptable $PUM? (total energy cost for heat and hot water -- includes common costs and tenant costs) Energy Balance, Inc.
  • 22. Roadmap to Energy Affordability The “oracle method” arrived at Current fuel cost $3.00/gallon oil Analysis period – 15 years Escalation rates (5% and 10%) Acceptable $PUM in yr 15 = $75 for a typical 2 BR, family, 750 sq. ft. Energy Balance, Inc.
  • 23. Roadmap to Energy Affordability Parameters for “permanently affordable” Use most expensive fuel cost: photovoltaics Minimize total investment in energy improvements plus investment in PV to provide all the energy needed. Energy Balance, Inc.
  • 24. permanently affordable Cost for Cost for Total Cost Rehab PV for Rehab + PV Only Only Total Existing Unit -- $$$$$$$$$ $$$$$$$$$ Low level $$ $$$$$ $$$$$$$ Rehab Level 2 $$$ $$$$ $$$$$$$ Rehab Level 3 $$$$ $$$ $$$$$$ Rehab Level 4 $$$$$$ $$ $$$$$$$$ Rehab Energy Balance, Inc.
  • 25. permanently affordable Cost for Cost for Total Cost Rehab PV for Rehab + PV Only Only Total Existing Unit -- $$$$$$$$$ $$$$$$$$$ Low level $$ $$$$$ $$$$$$$ Rehab Level 2 $$$ $$$$ $$$$$$$ Rehab Level 3 $$$$ $$$ $$$$$$ Rehab Level 4 $$$$$$ $$ $$$$$$$$ Rehab Energy Balance, Inc.
  • 26. Roadmap to Energy Affordability Housing Types for Analysis Description 1 Slab-on-grade duplex/townhouses, typically 1970's/1980's vintage Larger downtown buildings, multi-unit, older buildings, may have retail below, may be 2 historic. Will include interior-insulation for Near Term Affordable retrofit and exterior insulation for Permanently Affordable Double loaded corridor, newer construction, typically 20 - 40 units, built within last decade. Costs will be for upgrading features during construction, as opposed to retrofit costs 3 since existing examples tend to be relatively new buildings and since this is a likely form for much future new construction of affordable housing Typical housing project that often includes several smaller buildings, either built as 4 apartments or changed from single family to multi-family Energy Balance, Inc.
  • 27. Scoping Green Renovation Setting goals, metrics, implementation strategies MacArthur “Roadmap” work Green strategies for affordable housing. Prioritizing various elements What does this look like in a project? Ongoing tracking of benefits Energy Balance, Inc.
  • 28. Green strategies for affordable housing Energy Balance, Inc.
  • 29. Green Buildings What Are They? Healthy Durable Efficient Meet these goals without affecting future generations’ ability to do the same. Energy Balance, Inc.
  • 30. Healthy Healthy for the Occupants Healthy for the Construction Workers and Fabricators Healthy for the Earth Energy Balance, Inc.
  • 31. Healthy for the Occupants: Excellent Indoor Air Quality Materials – zero formaldehyde avoid plasticizers Avoid/minimize VOC’s Allergen control: Don’t feed the critters: avoid or carefully locate carpet Energy Balance, Inc.
  • 32. Hardwood floors in living and dining room (Waterfront Housing, Burlington, VT) Energy Balance, Inc.
  • 33. Healthy for the Occupants: Excellent Indoor Air Quality Ventilation – good and plenty! All houses need mechanical ventilation The price of living in a closed box is bringing in fresh air! Energy Balance, Inc.
  • 34. Healthy for the Occupants: Excellent Indoor Air Quality Compartmentalization of apartments for second-hand smoke control Energy Balance, Inc.
  • 35. Ventilation Minimum – exhaust-only: high efficiency, quiet fans, running 24/7 Best – balanced system: energy recovery, fresh air to each occupied room, stale air out of moisture producing rooms, 24/7 Energy Balance, Inc.
  • 36. Balanced System Energy Balance, Inc.
  • 37. Heat recovery ventilation Energy Balance, Inc.
  • 38. Energy and Heat Recovery Ventilation How is it done? Energy Balance, Inc.
  • 39. Healthy for the Occupants: Moisture control = mold control Rain water Ground water Internally generated moisture Mold = potential liability issue Energy Balance, Inc.
  • 40. Healthy for the Occupants: Moisture control = mold control Rain water Problems usually from the roof! Proper grading critical Rain screen approach to siding See Building Science Corporation’s excellent work Energy Balance, Inc.
  • 41. Image courtesy John Straube, Building Science Corporation Energy Balance, Inc.
  • 42. Healthy for the Occupants: Moisture control = mold control Ground water Capillary breaks in foundation Continuous moisture barrier Excellent drainage Energy Balance, Inc.
  • 43. Capillary break and vapor barrier Energy Balance, Inc.
  • 44. Healthy for the Occupants: Moisture control = mold control Internally generated moisture No thermal bridges = No condensation. Good windows Slab insulation – important for condensation control Ventilation Energy Balance, Inc.
  • 45. Healthy for the Occupants: Moisture/Allergen control Surfaces easy to keep clean Building maintenance: Non-toxic cleaning products Energy Balance, Inc.
  • 46. Healthy for the Construction Workers and Fabricators Low toxicity materials Low toxicity during manufacture Low toxicity during installation Energy Balance, Inc.
  • 47. Healthy for the Earth: Materials Choices Recycled – Re-hab an old building Recycled – cellulose insulation Recyclable – Metal roofing Energy Balance, Inc.
  • 48. Healthy for the Earth: Materials Choices Sustainable – certified sustainably harvested wood Low embodied energy – local material Energy Balance, Inc.
  • 49. Healthy for the Earth: Site and Location Choices Build on public transit lines Build on non-agricultural land Build near walking and bicycle paths Energy Balance, Inc.
  • 50. Healthy for the Earth: Site and Location Choices Cluster development Preserve and enhance existing ecosystems Rehabilitate a ‘brownfield’ site Energy Balance, Inc.
  • 51. Healthy for the Earth: Site and Location Choices Local plants Limit turf that requires mowing Manage runoff from parking and roads Energy Balance, Inc.
  • 52. Healthy for the Earth: Durable Durable materials Durable detailing Energy Balance, Inc.
  • 53. Healthy for the Earth: Durable Energy Balance, Inc.
  • 54. Healthy for the Earth: Durable Energy Balance, Inc.
  • 55. Healthy for the Earth: Efficient Resource Efficient Space Efficient Energy Efficient Energy Balance, Inc.
  • 56. Resource Efficient Only build as much space as needed Optimize materials use and systems design: Don’t ‘over-engineer’ ! OVE Framing Recycling of construction debris Energy Balance, Inc.
  • 57. Resource Efficient Low water consumption – water-efficient toilets Easy-to-use recycling facilities Energy Balance, Inc.
  • 58. Energy Efficient (Good) Super envelope High efficiency mechanical systems High efficiency lighting and appliances Energy Balance, Inc.
  • 59. Good envelope Energy Balance, Inc.
  • 60. Super- Super windows: From R-3 to envelope R-5 and beyond! Add 4” foil- faced foam to 2x6 wall Add 2 more From R-16 inches to R-40 foam From R-10 to R-20 Energy Balance, Inc.
  • 61. Good envelope Energy Balance, Inc.
  • 62. Foam-in- Super place air seal envelope Add 4” foil- faced foam to ceiling From R-28 to R-54 Energy Balance, Inc.
  • 64. Super windows – R-5 instead of R-3 Fiberglass frame window, triple + two-low-e + argon + Superspacers (Accurate Dorwin, Serious Materials, Marvin new 1.5” triple) Energy Balance, Inc.
  • 65. Super envelope Air Leakage (Infiltration) Rate Air Changes per Hour – Air leakage 0.40 Infiltration 0.35 ACH 0.30 Typical 0.35 0.25 Micro-load 0.10 0.20 0.15 0.10 0.05 - Typical Micro-load Energy Balance, Inc.
  • 66. Super envelope – Air leakage Infiltration ACH Gal propane $$/yr Typical 0.35 115 $ 402 Micro-load 0.10 33 $ 115 Savings 82 $ 287 Energy Balance, Inc.
  • 67. Super envelope – Air leakage Infiltration ACH Gal propane $$/yr Typical 0.35 115 $ 402 Micro-load 0.10 33 $ 115 Savings 82 $ 287 Cost for HRV $ 2,000 cost for air sealing $ 500 total cost $ 2,500 Payment $ 201 Energy Balance, Inc.
  • 68. Super envelope – Air leakage Infiltration ACH Gal propane $$/yr payment Typical 0.35 115 $ 402 Micro-load 0.10 33 $ 115 Savings 82 $ 287 $ 201 Cost for HRV $ 2,000 cost for air sealing $ 500 total cost $ 2,500 Payment $ 201 Energy Balance, Inc.
  • 69. Energy Efficient Recycle energy flows Ventilation energy recovery Waste water energy recovery Energy Balance, Inc.
  • 70. Energy Efficient Waste water energy recovery Energy Balance, Inc.
  • 71. Energy Efficient Lights and Appliances Lighting Design High efficiency lighting – Energy Star fixtures Occupancy control for lighting in common areas (check ballasts for “program start”) High efficiency appliances – Energy Star appliances Energy Balance, Inc.
  • 72. Energy Efficient Use as much renewable energy as you can afford! Bio-mass heating Energy Balance, Inc.
  • 73. Energy Efficient Use as much renewable energy as you can afford! Passive solar – can be inexpensive Energy Balance, Inc.
  • 74. Energy Efficient Use as much renewable energy as you can afford! Solar thermal, solar electric Energy Balance, Inc.
  • 75. Prioritizing various elements for affordable housing High integrity thermal envelope (thermal and moisture) Very durable Recover energy flows Conserve water Energy Balance, Inc.
  • 76. Prioritizing various elements for affordable housing High efficiency distribution Excellent indoor air quality – Good ventilation and materials High efficiency equipment Use renewable energy Energy Balance, Inc.
  • 77. Scoping Green Renovation Setting goals, metrics, implementation strategies MacArthur “Roadmap” work Green strategies for affordable housing. Prioritizing various elements What does this look like in a project? Ongoing tracking of benefits Energy Balance, Inc.
  • 78. Setting your energy goals Data Gathering and Analysis Energy Goals Developing a Workplan Energy Balance, Inc.
  • 79. Data Gathering Building Stats Building Energy Use Building Audit Energy Balance, Inc.
  • 80. Data Gathering Stats --the patient’s history Energy Use -- the patient’s pulse Detailed Energy Audit -- the patient’s EKG Energy Balance, Inc.
  • 81. Stats Building Name Location, physical address Location, city, state and zip Total building conditioned sq ft Total building unconditioned sq ft (sheds, storage, etc.) Total building semiconditioned sq ft (basements, mudrooms, other) Number of units, by # bedrooms % Occupancy Date of original construction Date of last renovation Known problems with occupant comfort Known energy usage issues Deferred/upcoming maintenance items Are there needs for expansion or renovation of this building? Your name, date Other notes Energy Balance, Inc.
  • 82. Stats Building envelope Building construction type, number floors double loaded corridor, 4 floors Describe system, insulation and cladding for: Walls 2x4, brick clad, no insulation Roof/Ceiling 2x10, 3" rigid ins. Under membrane Foundation concrete block, no insulation Slab 4" (?) in basement, no insulation Windows Old doublehung + triple trackstorm Date of most recent energy audit N/A Is audit report available? If so, from whom N/A Is building on historic register or other restrictions? Historic district, rehab pres. credit List building elements in need of repair Brick spalling near grade, windows Describe known problems with building envelope Moisture in basement, water Other notes Structure sound Energy Balance, Inc.
  • 83. Stats Mechanical Systems Heating System fuel Oil prime mover type Boiler Prime mover capacity (Btu/hr) 500,000 distribution Steam radiators year installed 1935 Cooling System type Window air condtioners capacity ? year installed ? Ventilation system type intermittent bath fans capacity, cfm ? Describe water source for building City water Known issues with any mechanical systems high water pressure, poor zoning Other notes Energy Balance, Inc.
  • 84. Energy Use – taking the pulse 12 month total energy and water usage, energy usage from all sources start date of usage data end date of usage data ccf natural gas gallons oil gallons propane cords wood tons wood chips tons wood pellets kWh electricity peak electricity demand, kW gallons water use Other notes Energy Balance, Inc.
  • 85. Energy Use – taking the pulse ENERGY USAGE DATA Total Total Square Electricity Propane Nat Gas Occupancy Footage kWh Oil Gals Gals cu ft Burlington Cohousing multi-family 26,450 105,372 14,241 Waterfront Housing multi-family 45,000 202,000 10,545 Evergreen Place elderly housing 17,240 81,840 1,397 Energy Balance, Inc.
  • 86. Energy Use – taking the pulse PERFORMANCE DATA Btu/ kWh/ ALL ENERGY SOURCES MMBtu sq.ft.-yr sq.m.-yr Burlington Cohousing multi-family 1,812 69,000 217 Waterfront Housing multi-family 1,765 39,000 123 Evergreen Place elderly housing 469 27,000 85 Energy Balance, Inc.
  • 87. Energy Use – taking the pulse PERFORMANCE DATA Btu/ kWh/ ALL ENERGY SOURCES MMBtu sq.ft.-yr sq.m.-yr Burlington Cohousing multi-family 1,812 69,000 217 Waterfront Housing multi-family 1,765 39,000 123 Evergreen Place elderly housing 469 27,000 85 PassivHaus standard: 15 kWh/sq.m-yr heat 120 kWh/sq.m-yr total SOURCE energy Energy Balance, Inc.
  • 88. Energy Use – taking the pulse PassivHaus standard: 15 kWh/sq.m-yr heat 120 kWh/sq.m-yr total SOURCE energy Waterfront Housing: ~66 kWh/sq.m-yr heat ~265 kWh/sq.m-yr total SOURCE energy Energy Balance, Inc.
  • 89. Energy Audit – Digging Deeper Getting the EKG! Mechanical assessment (re-commissioning) Electrical loads: Apartment lighting, appliances, other Common lighting, office equipment, elevator, outdoor lighting, other Envelope Energy Balance, Inc.
  • 90. Energy Audit – Digging Deeper Getting the EKG! Waterfront Apartments Natural Gas Use Heat, therms/yr 7,905 Domestic Hot Water, therms/yr 2,640 Total therms/yr 10,545 Btu/sq.ft.-dday heat only 2.33 Avg gas cost/apt-month $ 22.70 Avg gas cost/apt-year $ 272 Btu/sq.ft.-yr 26,363 Energy Balance, Inc.
  • 91. Energy Audit – Digging Deeper Getting the EKG! Waterfront Apartments Electricity Use Electricity, apt's only kWh/yr 96,000 Electriciy, house meter 106,000 Total kWh/yr 202,000 Avg monthly tenant electric bill $ 19.46 Cost of house meter/apt $ 25.21 kwh/sq.ft.-yr 5.1 Energy Balance, Inc.
  • 92. Energy Audit – Digging Deeper Getting the EKG! Waterfront Apartments House meter breakdown common lights 43,000 ventilation fans 30,000 cooling vent air 7,000 heating pumps 9,000 elevator 9,000 fire pump 611 controls and other 8,000 Total 106,611 Energy Balance, Inc.
  • 93. Energy Audit – Digging Deeper Getting the EKG! Energy Balance, Inc.
  • 94. Energy Audit – Digging Deeper Getting the EKG! Energy Balance, Inc.
  • 95. Energy Audit – Envelope Air leakage Insulation Windows Doors Energy Balance, Inc.
  • 96. Energy Goals Energy Balance, Inc.
  • 97. Energy Goals 100 90 Biomass Percent of current Energy Use 80 PV 70 Conventional 60 Energy 50 40 30 20 10 0 Business as Stop “Cost Avoidance Affordable Perpetually Carbon Net zero usual shooting effective” of future fuel for next X affordable neutral yourself in investments shock risk years the foot in energy Energy Balance, Inc.
  • 98. Energy Goals 100 30% to 50% solution 90 Biomass Percent of current Energy Use 80 PV 70 60 Conventional Energy 50 40 30 20 10 0 Business as Stop “Cost Avoidance of Affordable Perpetually Carbon Net zero usual shooting effective” future fuel for next X affordable neutral yourself in investments shock risk years the foot in energy Energy Balance, Inc.
  • 99. Energy Goals 100 90 Micro-load solution Biomass Percent of current Energy Use 80 PV 70 60 Conventional Energy 50 40 30 20 10 0 Business as Stop “Cost Avoidance of Affordable Perpetually Carbon Net zero usual shooting effective” future fuel for next X affordable neutral yourself in investments shock risk years the foot in energy Energy Balance, Inc.
  • 100. Putting Together a Green Project Design team, consultants and builder selection critical! Allow some additional time Willing and experienced? At least willing! Green champion critical! Green Geek necessary Energy Balance, Inc.
  • 101. Putting Together a Green Project Design team, consultants and builder selection critical! Check actual energy consumption of projects completed by design team members Past performance best indicator of future performance Energy Balance, Inc.
  • 102. Putting Together a Green Project Early budgeting with cost and savings projections During schematic design Pick a package of improvements Avoid death by 1,000 cuts Energy Balance, Inc.
  • 103. Putting Together a Green Project Why not look at First year rate of return? Payback? Cash flow Use cash flow to minimize total investment + operating costs over time Energy Balance, Inc.
  • 104. Putting Together a Green Project Proforma budget with cash flow Cash Flow Typical Upgrade At LOW fuel escation rate $70,000 Energy Cost without improvements, first year $18,000 Energy cost savings, first year $220,000 total cost of improvements; all borrowed 8.00% loan rate, fixed 20 year term $22,000 annual payment 5% Fuel escalation rate, low,above inflation 15% Fuel escalation rate, high, above inflation 0% Inflation rate Energy Balance, Inc.
  • 105. Proforma budget with cash flow At LOW fuel escation rate No Improvements With all recommended improvements Year Energy Cost Loan payment Energy Cost Total Net 1 $70,000 $22,000 $52,000 $74,000 ($4,000) 2 $74,000 $22,000 $55,000 $77,000 ($3,000) 3 $78,000 $22,000 $58,000 $80,000 ($2,000) 4 $82,000 $22,000 $61,000 $83,000 ($1,000) 5 $86,000 $22,000 $64,000 $86,000 $0 6 $90,000 $22,000 $67,000 $89,000 $1,000 7 $95,000 $22,000 $70,000 $92,000 $3,000 8 $100,000 $22,000 $74,000 $96,000 $4,000 9 $105,000 $22,000 $78,000 $100,000 $5,000 10 $110,000 $22,000 $82,000 $104,000 $6,000 11 $116,000 $22,000 $86,000 $108,000 $8,000 Energy Balance, Inc.
  • 106. Proforma budget with cash flow Annual Energy + Debt Service Costs $300,000 (20 yr, 8% loan), Typical Upgrades No improvements, 5% Fuel Escalation $250,000 with improvements, 5% Fuel escalation $200,000 No improvements, 15% Fuel Escalation with improvements, 15% Fuel escalation $150,000 $100,000 $50,000 $0 1 2 3 4 5 6 7 8 9 10 Year Energy Balance, Inc.
  • 107. Putting Together a Green Project Include intangible benefits Health benefits Less stress on allergies, asthma Energy Balance, Inc.
  • 108. Putting Together a Green Project Include intangible benefits Health benefits Stewardship/environment al benefits Green building on the continuum between land conservation and affordable housing Carbon reduction Energy Balance, Inc.
  • 109. Putting Together a Green Project Include intangible benefits Health benefits Stewardship/environmental benefits Lower liability risk Energy Balance, Inc.
  • 110. Putting Together a Green Project Include intangible benefits Community image Energy Balance, Inc.
  • 111. Putting Together a Green Project Include intangible benefits Community image Insulation from rate shock Energy Balance, Inc.
  • 112. Putting Together a Green Project Include intangible benefits Community image Insulation from rate shock Preparation for uncertainty of long term fossil fuel availability Energy Balance, Inc.
  • 113. Neww to Green Projects? Work your way into green gradually – pick a good starting point and pick your battles Small project, or a few features in a larger project Case studies can be very powerful Energy Balance, Inc.
  • 114. Developing a Workplan Each phase supports the eventual goal Can do renewables first and conserve as those opportunities present. Order not critical Energy Balance, Inc.
  • 115. Developing a Workplan Match plan to goals Phasing: plan for implementation over appropriate time frame Energy Balance, Inc.
  • 116. Developing a Workplan Match plan to goals Phasing: plan for implementation over appropriate time frame Take best advantage of opportunities as they come – repairs needed, expansion, money that is out there. Energy Balance, Inc.
  • 117. Developing a Workplan Match plan to goals Phasing: plan for implementation over appropriate time frame Take best advantage of opportunities as they come Put efficiency work in context: Maintenance, current and deferred Other renovations Energy Balance, Inc.
  • 118. Developing a Workplan Each time a part of the building is worked on, bring that part up to standards for eventual goal for entire building Energy Balance, Inc.
  • 119. Vermont Studio Center Present Value of Thermal Energy Costs + Retrofit Costs at 5% Real Fuel Escalation Rate $6,000,000 $5,000,000 Retrofit Costs [4] $4,000,000 30 Year PV of Operating Costs [5] $3,000,000 $2,000,000 $1,000,000 $0 No improvements Base case Level 1 Improved Level 2 Best Level 3 Level 2 + 3 Energy Balance, Inc.
  • 120. Putting Together a Green Project Risk in doing something new – and risk mitigation Assess your risks Know your downsides and how to recover Leading edge versus bleeding edge Energy Balance, Inc.
  • 121. Putting Together a Green Project Keep your eye on the ball – competing interests Square feet Time $$ Energy Balance, Inc.
  • 122. Project Follow-up On-going tracking – Celebrate successes, learn from set-backs Energy Balance, Inc.
  • 123. Energy Tracking over time Building Power Use (5-month rolling average) 14500 14000 13500 13000 12500 kWh 12000 11500 11000 10500 10000 Feb-05 May-05 Sep-05 Dec-05 Mar-06 Jul-06 Oct-06 Jan-07 Energy Balance, Inc.
  • 124. Energy Tracking over time PERFORMANCE DATA Btu/ kWh/ ALL ENERGY SOURCES MMBtu sq.ft.-yr sq.m.-yr Burlington Cohousing multi-family 1,812 69,000 217 Waterfront Housing multi-family 1,765 39,000 123 Evergreen Place elderly housing 469 27,000 85 Energy Balance, Inc.
  • 125. Taking care of our future Hedged future energy bills. Ready for a changing energy world. Improved tenant health. Energy Balance, Inc.
  • 126. Celebrate and lead the way Energy Balance, Inc.