Category Archives: Energy Efficiency

Talking Points: Climate Change

Part of a series with basic information to inform your colleagues.

Don’t let climate change deniers have an equal say. It took several decades of intensive research but scientists now have a good understanding of Earth’s climate system and the impact people have on it. This is not just a few outlier researchers but scientists in diverse fields of study collaborating and showing the many impacts of GHGs and how impacts build on each other. Tens of thousands of scientists around the world have done work that strongly meet scientific criteria. Research that is rigorous, thorough, uses evidence, transparent, overseen by institutions that value accuracy, and withstand public scrutiny. The climate change deniers who have looked for any weakness from this list (although they lack evidence themselves) are now quietly backing away.

This research has led to 3 incontrovertible facts:

1. people are causing our climate to change, particularly due to GHG emissions,

2. human-caused climate change is dangerous with potential dire consequences,

3. there are still viable options for reducing the consequences of climate change.

Climate change will affect both our personal and professional lives. Some places or industries will get hit harder or sooner than others, but there will be a ripple effect. It is unlikely anybody – even the richest and most secure people – will go unscathed. Yet we have options to manage and potentially reduce climate change impacts:
1. mitigate: implement GHG emission reductions (renewable power, efficiency),
2. adaptation: improve a society’s capability to cope with changes in climate,
3. intervention: in planetary or regional system to counteract some GHG impacts,
4. study and research: to better understand our climate and our impacts on it.

What can we do? No one person can change everything. But people can use their voice and their vote. They should demand that political leaders make climate change a very high priority and pass legislation to encourage green energy and discourage or outlaw dirty sources. Leaders can also pass legislation that introduces incentives for making good energy choices and additional costs for sticking with dirty ones. One can also remain involved with one’s own company to understand and speak up on how climate change will hurt the bottom line and how it can do its part by being more green.

You can encourage your company or local community to seriously consider implementing adaptation, implementing strategies avoid, withstand, and/or recover from climate change impacts, such as passing or adhering to land-use planning and building codes, response planning and disaster recovery; impact assessment for critical systems (e.g., water, energy health, etc.

But whatever you do in your personal and professional lives, realize that climate change is real and it’s not something that will happen in the future. There is plenty of incontrovertible evidence that unwelcome impacts are happening to many people now.

CCES can help your firm develop a climate change action plan and put your firm forward as an effective advocate. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Can We Meet the Greenhouse Gas Reduction Goals?

As many of us know, scientists believe we can still avoid the worst impacts of climate change if we can stop pumping so much greenhouse gases (GHGs) into the atmosphere. Nature will take care of itself in time and we will return to close to normal. The numbers cited is that worldwide we need to reduce GHG emissions by 80% from a 1990 baseline by 2050. In fact, a number of municipalities and other entities have “80 X 50” campaigns. Since most entities did not track GHG emissions in 1990, they pick a different baseline, but still wish to reduce by 80% to show they are doing their part.

But can the world do this? Of course, GHG emissions are tied to energy usage, particularly fossil fuel combustion. Using less energy and more of that energy from renewable sources will help. Lifestyle changes (less meat and dairy) should help, too. However, problems lurk.

Electricity usage will likely double by 2050.
Several commentators predict this and should not be a surprise as electricity production did double from 1990 to 2015. And with electrification being encouraged (electric cars, heat pumps replacing boilers), another doubling is quite conceivable. So while it will be nice to shut down fossil fuel-fired power plants for renewable power in the future, if we have such a future increase in electric demand, we may have to continue to hold onto old fossil fuel-fired plants for longer. Or can we prioritize the construction and utilization of renewable plants?

Increasing population and middle class.
The world’s population is expected to rise by at least 1½ billion between now and 2050. That’s not good to meet a goal of decreasing GHG emissions by 80%. But what’s worse is that the demographers state that many poor people already here will move to the middle class – perhaps as many as 2 billion. These people will go from low energy users, such as not owning a car, and few or no electric “toys” (TVs, computers, etc.) to having all these things. In other words, 2 billion more high energy users and high GHG producers. This is not hypothetical. Much has been reported of regions of China, India, Brazil, Russia growing a middle class, leading to increased electricity generation (and not necessarily from renewable sources), car ownership, and meat eating. How can we encourage economic growth, but do so in a sustainable way to not increase GHG emissions so much? And what about those of us who have access to electricity, but whose lifestyles are expansive and we can afford the latest “toys” or be more comfortable than past generations (air conditioner in every room, activated ahead of time from the office, bigger, fancier cars, etc.).

And there is the lack of political will to incorporate GHG reduction technologies and strategies across nations.

Well, I hope I haven’t depressed you and made you give up hope that climate change will cause mass destruction around 2050. Actually, I am an optimist. No, there will be adverse effects. But as an engineer, I believe in technology that not only reduces GHG emissions, but has other practical benefits, including saving costs that business leaders and the public will latch onto for our benefit.

Clean Fuels and Diversification.
In 1990, 99% of electricity was generated by fossil fuels plus hydro, and much of this was coal. Now, sustainable sources of power (solar, wind, etc.) and natural gas are upstaging coal and oil and the trends are likely to continue (see Nov. 2019 newsletter). It is now cheaper to build and operate a renewable power plant than a coal-fired one.

Energy Efficiency is a Mainstream Business Strategy.
It was not long ago that a person suggesting a company or plant be more energy efficient would be ignored. Energy was cheap; efficiency strategies expensive so that the cost could not be paid back. Plus, anything that might “mess with” the process was considered risky. It was considered OK to overpay costs, such as energy, to have a repetitive process.
This has changed. All the major business schools teach the importance of being more energy efficient and sustainable, in general. Many MBA degrees specialize in sustainability. Many current CEOs may not feel comfortable with these subjects, but the new generation sure does. Plus, there is more real-life examples of buildings that invested in energy efficiency or in sustainability and came out way ahead.

Localized Distributed Generation.
It used to be that electricity was produced by a huge power plant, perhaps hundreds of miles away, with electricity transmitted by lines. Losses during transmission were common, understood and accepted as normal. Now, there is a movement called distributed generation, encouraging construction of small generator plants closer to where the electricity is used – even at major sites themselves. Co-generation also yields steam which can have uses, both in comfort and in processes. This increased efficiency plus reduced losses as electricity is transmitted much shorter distances means much less fuel combusted and less GHG emissions to produce the electricity used all around.

Improved Farming Methods and Reduction in Meat/Dairy Consumption.
While the focus here is energy, certainly agricultural practices and methane released by tens of millions of cows kept alive (and emitting) to produce so much meat and milk we drink contribute to climate change. Even large farmers are incorporating practices which happen to increase yields and reduce GHG emissions. And certainly, there is a growing vegetarian/vegan movement, which can reduce GHG emissions some more.

Progress and awareness of strategies and technologies like these have a chance to lessen the blows of climate change, which will benefit all of us.

CCES has the experts to help you develop a sustainability and/or energy efficiency program to meet your climate change or other goals and reap the many benefits. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Energy Efficiency Programs Can Help Users’ Health

Many articles in this series show how building design can influence energy usage. Characteristics can be built in to save energy usage and cost, independent of behavior. These same energy efficiency strategies can also influence the health of those that spend time in the building, whether residents or workers who spend 40 hours per week there. A recent article from the American Council for an Energy-Efficient Economy compiles recent evidence behind this conclusion. https://aceee.org/research-report/h1901

A poorly-sealed building envelope not only allows conditioned air, which required energy to be expended (electricity or fuel combustion), to leave, but also allows pests, moisture, and air pollution to enter interior spaces, raising the exposure of users to allergens, mold, and disease. Leaky windows and poor insulation can lead to drafts and extreme temperatures, triggering asthma attacks and leading to other respiratory illnesses. Inefficient appliances can affect air quality through incomplete combustion or improper venting. Together, these conditions contribute to increased rates of cancer, chronic respiratory diseases, heart disease, and stroke in the US, disproportionately affecting low-income people.

Energy efficiency programs can make homes healthier and save lives, while directly benefiting families financially. The problem is that energy efficiency upgrades require upfront costs to correct a condition or procure a new or better technology, upfront capital that poorer families (or companies) do not have.

The link between energy efficiency and public health is not recognized as energy efficiency programs have historically been implemented either by energy utility companies or government agencies focused on energy management; there has been no or little contribution from public health institutions. It is recommended that research be done to identify energy program elements that would also have the greatest impact on public health and data collection of collateral public health effects in buildings after undergoing energy upgrades. This bridging the gap may need the intervention of other government agencies, such as departments of health and housing. For example, elements of the national Affordable Care Act can use energy efficiency programs to help its goal of a healthier society (making fewer health insurance claims). If a given community is a focus of a weatherization or home energy efficiency program, data should be collected, not only concerning the amount of Btus of energy saved by the program, but also whether there has been a reduction in the number of emergency room visits for children experiencing asthma attacks, for example.

While the ACEEE study followed 23 potential frequently measured health indicators, most programs tracked 3 or fewer of them. Many of the energy programs did take steps to assess and communicate their health impacts, and, in some cases, bring in health care professionals to raise the effectiveness of the program. More needs to be done to show this cross-effectiveness of energy efficiency and health.

CCES has the experts to help you assess not only the cost savings of a potential energy efficiency program, but the potential health benefits, as well. We can help you design a program to measure and heighten beneficial health effects as your reduce energy usage, costs, and greenhouse gas emissions. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Progress and Regress in Clean Energy

The International Energy Agency (IEA) recently published its annual World Energy Outlook (https://webstore.iea.org/world-energy-outlook-2019), a major report forecasting global energy trends to 2040. The report has changed its projections since last year, significantly increasing projected offshore wind farms, solar installations and battery-powered cars due to both the growing affordability of these technologies and progress of developing nations to progress toward clean energy goals. However, their rapid growth is not sufficient to slash overall global GHG emissions and meet reduction goals.

The report states that global GHG emissions will not decline as is needed but will continue to rise for the next 20 years, mainly because of the overall rise in demand for energy globally. While the rise in renewable energy is encouraging, it is not large enough to satisfy the extra demand. Fossil fuels will supply the rest of the demand.

Global consumption of coal is declining. The report notes that investment in new coal-fired power plants has dropped sharply recently. Renewable energy with battery storage is now a cheaper way to produce power and is predicted to surpass coal by 2030, rising to 42% of global generation. Natural gas will also cut into coal’s portion, which would drop to 34%. Coal will not go away, as hundreds of young coal plants will continue to operate to fulfill initial investments; policies to retire such plants early are not in place.

Solar power with battery storage is growing fastest of all renewables. However, offshore wind may make bigger gains in the near future. Land-based systems are difficult to approve, but major offshore projects are in the offing. Offshore wind is expected to supply as much as 18% of the European Union’s electricity by 2040 from the current 2%. Major new projects are planned for the U.S., China, South Korea and Japan.

The report states that the transportation sector has mixed news. Last year, 2 million electric cars were purchased globally, helped by declining costs, improved infrastructure (places to “fuel up”), and financial incentives. The IEA expects the electric car market to continue to grow; gasoline/diesel use for the transportation sector will peak by the mid-2020s. However, sales of large SUVs, which use more gasoline than conventional cars, has grown from 18% of passenger vehicles sold in 2000 to 42% today. If this continues, the report notes, it could negate much of the fossil fuel savings of the electric car boom. Carmakers are researching how to manufacture battery-powered versions of SUVs.

Another avenue to reduce GHG emissions is to improve the energy efficiency of buildings and vehicles through building codes and fuel economy standards. The report states that the energy intensity of the global economy improved by only 1.2%, a lower than usual rate. Many nations are weakening these policies, thinking this will lift their economy. In the US, the Trump administration plans to roll back light bulb standards.

The report also notes concerns about Africa, which is projected to grow over the next few decades at a faster pace than China did in recent years. If Africa supplies the energy for such growth with fossil fuel sources, then global GHG emissions could rise greatly. The African continent, researchers say, has greater potential than China and others for solar energy if it can be allowed to be developed properly.

CCES has the experts to help your company or building learn more about energy to become more efficient, save costs, and reduce GHG emissions. We can help you tap into existing incentive programs (which you may be paying into without realizing it) to pay some of the upfront costs and quicken the payback. Contact us today at karell@CCESworld.com or at 914-584-6720.

What Is POE Lighting?

Power over Ethernet or PoE lighting refers to the ability to use an Ethernet cable to power light fixtures and transmit data between the lamp and the control software. A single cable can both supply power and control the fixtures attached to the network. The Ethernet cable plugged into the fixture provides the fixture not only its on-off power, but through a unique IP address can automatically control the fixture through its software. For each unique IP address the user can program the features it wishes into the light. Such commands from software can be carried by standard Cat 5/6 cable already used by sensors and wall switches.

Data can be collected from attached devices, such as switches or motion sensors, to prompt specific lighting commands. The user can maximize efficiency or comfort by affecting the dimming, timers, sensors, lighting colors, daylight harvesting, etc. based on the appropriate software.

PoE also means information can be sent from the fixture, such as actual energy usage, lumens of light produced, and the condition of the fixture for maintenance purposes instead of waiting for a component to fail.

PoE not only allows the user to control its lighting from a computer or even a mobile phone, but the software can replace more expensive existing equipment, such as a motion sensors, to allow implementation to be more competitive price-wise.

Most PoE systems generate almost no residual heat, which is valuable for temperature control (reducing AC needs) or other potential impacts to the building, such as heat above the ceiling.

Being software-based, PoE likely requires less expensive labor (IT professionals rather than certified electricians) to be used to install or upgrade such systems. In some cases, PoE may be exempt from permits or inspections required of most electrical systems.

PoE is now being produced by a variety of different vendors, giving the user choices.

We are entering a world where fixtures are not simply devices that produce light for a given room or area, but can address other issues, such as security, carbon monoxide concentration, dimming, mood, energy efficiency (turning on and off when needed), providing alarms when necessary for evacuations and to aid first responders, and providing information back to the user thanks to PoE lighting.

CCES has the experts assist you in your lighting needs, whether it is merely switching to more efficient LED lighting, upgrading lighting to improve the productivity of your workers or comfort of your customers, or exploring whether PoE is right for you. Contact us today at 914-584-6720 or karell@CCESworld.com.

New Solar Power Advanced Technologies Research

I am writing this during Climate Week, 2019, where the general mood is frustration that while most of the world – and most youth – are concerned about the impacts of climate change affecting us, the political and business leaders of the world have done little, and certainly not enough to forestall what many scientists believe will be huge, life-changing adverse impacts. I happen to be an optimist about this. I think, as a planet, Earth will be impacted negatively. But I do think we will eventually address the issues, no thanks to current politicians, because of the great gains in technology. Technologies are beginning to be developed to develop clean energy, GHG-free, and cheaply and reliably. Here are a few new technologies soon to come out that may make a difference.

Work at the National Renewable Energy Laboratory in Golden, CO focuses on taking the weak point of any building, windows (takes up much space, but tends to leak air more than any other part of a building), and not only improve its characteristics, but see if it can have a positive energy role for a building. Their research is attempting to turn windows into solar panels. While light-absorbing films on windows have altered the light that comes through a window and attempted to use the radiation to form energy, such solar windows tend to have an unattractive brown tint.

New solar window technologies are able to absorb almost exclusively invisible UV or IR radiation, allowing the glass to appear clear while blocking the radiation that would add to the heating load during the cooling season. The portion of the film that absorbs radiation is called perovskites, which are cheaper than silicon and, in the laboratory, almost as efficient in converting radiation to electricity. Therefore, it is possible as development advances that buildings can create some or most of their own electricity using perovskites, affordably.

Another approach is solar concentrators on windows, quantum dots, which absorb radiation at UV and IR frequencies and re-emit them at wavelengths that traditional solar cells can capture. Placed on windows, the dots can emit the concentrated radiation sideways, through the glass, to solar cell strips embedded in the window frame. This technology is promising because quantum dots are inexpensive to make and only a small amount of solar cell material is needed to capture the re-emitted radiation.

Another idea being researched is semitransparent organic solar cell windows. These windows absorb about half of the incident sunlight that hits them, including visible light. While this darkens these windows compared to clear glass, they absorb light from across the spectrum rather and therefore, do not take on the unsightly reddish hue.

And finally, here is research being done on solar panels for mobile sources. In Portugal, an experimental program is being implemented using electric cars to help power an area. Porto Santo Island has begun testing a strategy in which batteries in electric vehicles are charged by solar power during the day but while parked at night return spare energy to the grid to power people’s homes. Some experts say this form of energy storage could become a global trend.

While many issues remain before solar can power our planet given our lifestyles (length of time windows and cars and their solar power technologies must remain reliable, cost, etc.), research is progressing that could make clean, solar power practical and affordable for all and reduce dependence on fossil fuel-powered power plants and gasoline.

CCES has the experts to help you ascertain whether new technologies, like renewable power, is beneficial to you and your operations now. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Save Money, Develop a Preventative Maintenance Program for Your Boilers

Equipment, such as a building’s boiler, is often taken for granted. You turn it on (or a thermostat turns it on), and it provides heat and domestic hot water for your building or space. Perhaps you do a little checking in the summer, and it’s ready for the heating season. And many boilers last a decade or two or longer. But that does not mean that your boiler is operating efficiently. A boiler that is not maintained (or well-maintained) can be costing you lots of money in wasted fuel combustion every year, not do its job, and not last as long (forcing increased capital costs). A preventative maintenance program for your boiler will save you in these areas much compared to the effort it takes to implement it. According to a study conducted by the National Board of Boiler and Pressure Vessel Inspectors, poor maintenance practices causes most boiler incidents. (https://www.nationalboard.org/SiteDocuments/Bulletins/SU03.pdf).

Each Preventative Maintenance program should be unique to your building, its needs, the equipment, and the workload of personnel. Therefore, the recommendations are merely that, recommendations. Your program should reflect your equipment and needs. Here are some of the things that your staff or contractor should look at.

A basic issue is that Preventative Maintenance programs should be written down. There should be a document listing the steps that need to be done, when and/or how often they should be done, and who is responsible. There should be a place to check off when and by who each item was completed, the results, and any comments on the boiler’s results or “behavior”. Just saying one does an item or two, but not recording it is not a true Preventative Maintenance program. Management should oversee that staff takes the program seriously and look at the results and comments for critical trends.

A good Preventative Maintenance program can be divided into 5 categories: items which must be done daily, weekly, monthly, semi-annually, and annually. Again, this should be tailored to your equipment and needs. Daily maintenance could include blowdown of water columns and recording boiler temperature and pressure, gas or oil pressures, feedwater temperature and pressure, stack temperature, and visual inspection of soot, and water or oil leakage.

Weekly could include testing each Low Water Cutoff to ensure it shuts off boiler at its set point, pressure controls, flow controls (i.e., combustion air), fuel valves (able to open and close completely at appropriate commands), and motor operation (needs greasing).

Monthly could include checking the burner diffuser (presence of cracks or sooting), check the electrode for obstructions or damage, checking the burner tubes from the outside for damage or cracking, and inspect the outside of the boilers for any hot spots.

Semi-annual inspections (shutting down the boiler briefly once during the heating season) could include cleaning and inspecting the probe and piping of the Low Water Cutoff, clean strainer, check pumps that they are aligned and operating properly, and check the accuracy of your analyzers for combustion, O2, CO2, and other parameters.

Annual inspections could include opening all doors and performing a physical inspection of the fireside tubes, clean and replace tubes, as needed, and inspect the refractory and insulation, and upgrade, as necessary.

And again, take time to review the sheets that the workers or contractors fill out for each inspection to determine if certain trends are present and major upgrades may be necessary. It is better to catch problems early, compared to the boiler breaking down in the middle of the heating season.

CCES has the experts to help you assess your boiler and your Preventative Maintenance program and advise you on how to make it effective for your needs. Contact us today at 914-584-6720 or at karell@CCESworld.com.

Energy Strategies For The C-Suite

For many firms, energy is recognized as its third largest expense, behind labor and real estate costs. Some companies spend millions of dollars directly on energy each year—and more indirectly (supply chain, transportation, etc.). However, except for energy-intensive industries, most firms have historically taken energy for granted. When they turn on the switch, the equipment goes on and vice versa. They don’t pay much attention to the volatility and risks of energy availability and costs.

In the last few years, however, energy is climbing up the corporate agenda, due to greater environmental and climate change awareness, increasing pressures on natural resources, as recent large-scale fires in Latin America show, and innovations in energy technologies together with dropping renewable energy prices.

In recent years, more critical business functions depend on reliable electricity and fuels. IT, data centers, and cloud computing have grown in complexity. These are energy-dependent and energy-intensive operations. Lose electricity for even a few seconds, and millions of dollars worth of data, not to mention records, reputation, lawsuits, are lost or become issues. Major companies are realizing this and are thoroughly evaluating risk related to energy. And conclusions are reaching the C-Suite, as risks are becoming existential for many companies. C-Suiters are also influenced by the growing quilt of energy- or climate change- rules, as well as the growing costs of energy.
More major firms are devoting effort to increase renewables in their energy mix and improve energy efficient, given the large costs involved. But it is not just “high tech” companies; others understand energy is a significant business issue. Agriculture is responsible for about one-third of greenhouse gas emissions. A number of leading firms in the food field have developed and are meeting stringent energy and carbon goals.

Whether your firm is major or not, it is a good idea to develop and implement an energy management plan. However, it is critical not to just “jump in there”. Planning is critical for your energy plan to succeed and minimize its costs. Perhaps the most important area is “political” success; “political” meaning getting all major factors on board, including, and most importantly, the CEO him or herself and all other major players in the company, so there is unity behind the effort and respect for the results. It is also important to coordinate efforts, to ensure you have enough staff to track energy at all levels throughout the company’s assets. Finally, it is important – before you start – to work through that there are resources to invest in smart energy projects (energy efficiency and/or the switch to renewables). Good, potential projects will not wither and not go forward. If these areas are worked out – or if you know the potential barriers that may occur in certain circumstances – the chances of success are raised tremendously.

CCES has the experts to help your firm develop and execute a smart energy plan with distinct financial benefits. We have helped firms prepare their plans to understand their strengths and weaknesses so they go in with firm goals and procedures to do it right. Contact us today at (914) 584-6720 or at karell@CCESworld.com.

Want to Be More Energy Efficient? Go After The Weak Point!

Numerous studies demonstrate that so much of our energy usage comes from the buildings we spend time in, whether they be our home, office, school, or other place. An ideal building, of course, will keep conditioned air (heated in the winter, cool air in the summer) in the building and minimize infiltration of non-conditioned air from the outside. There are many places in a building from which such an exchange can happen. With the exception of large openings, the most common place where air can be exchanged is at windows. Windows being transparent can also allow air to go through, and are much thinner than any walls. As one says in the field, “A bad wall is better insulation than a good window.” So a focus on any area to minimize air movement from inside to outside or vice versa is to strengthen the windows.

The problem with upgrading windows to minimize conditioned air loss is that new windows are expensive compared to the cost of electricity saved by using the air conditioner less in the summer or gas or oil saved by using a boiler less in the winter. Often building owners wait until there is a noticeable draft before upgrading windows; at that point the conditioned air effect is great. Because windows often have a long payback – often beyond what is “acceptable” at many companies – one idea is to create a hybrid project of window upgrades and LED lighting, whose payback is short. Together, they could yield an acceptable payback to upgrade windows before it is very late. If a company separates projects and only goes for short paybacks then window upgrades can take a great amount of time. Window film is a way to improve insulation properties somewhat fairly inexpensively without the capital cost or installation.

Recent research is trying to turn windows into not only better insulation for a building, but into electricity-generating items, too. Materials scientists have embedded light-absorbing films in window glass to keep heat out in the summer. But films can also be used to generate electricity; solar panels on windows. Such films, however, give windows a reddish or brown tint that building owners and architects find unappealing.

Newer solar window technology absorbs more invisible UV or IR radiation, leaving the glass clear while blocking the UV and IR radiation that can normally transfer through the window, resulting in unwanted heat in the building and raising the demand on the AC system. These new UV/IR absorbing windows can cut heat gain while generating electricity. For a glass building it could be possible that the building will power itself.

Research is also ongoing about a new class of opaque solar cell materials, called perovskites. They are improving in efficiency, approaching 22%, only a little behind standard crystalline silicon whose top efficiency is about 25%. Perovskites provides the interesting potential option that they can also be adjusted chemically to absorb specific frequencies of light if it is important to remove a certain frequency from the area or allow other frequencies to travel through.

CCES can help you assess the conditioned air losses in your building and recommend upgrading your windows or other ways to tighten your building and save energy usage, demand, and cost. Contact us today at 914-584-6720 or at karell@CCESworld.com.

NYC’s New LL 97 Climate Change Rule – Part 3 – Compliance

In the last two months, I have written articles containing basic summaries about New York City’s new Local Law 97, a rule to address Climate Change targeted to existing buildings in NYC with specific greenhouse gas (GHG) emission limits, which is defined by the building’s (and the tenant’s) energy usage. The rule defines 10 different types of buildings (permanent – housing – and temporary – hotels – housing, office, retail, industrial, entertainment, etc.) each with its own GHG emission intensity limit (grams of CO2e per square foot). What is unique about this rule is that the fines for not submitting an annual compliance report and for exceeding one’s limit are very high. Potentially high 6 to low 7 figure annual fines!

The rule goes into effect in 2024; the first annual report is due by May 1, 2025. Fines to follow. That seems like a long way away. But if your building needs to make major changes to meet your limit or to lessen the exceedance and fine, then you may need all of these 4½ years to plan, design, and implement the needed changes. So the first – and perhaps the most important – piece of advice is to start NOW to see where your building stands in 2024 when it comes to LL 97. You may be surprised. In unveiling the rule, NYC emphasized they believed that 80% of existing buildings would comply with their limit based on 2016 benchmarking energy submittals. “Only” 20% of existing buildings would need to upgrade. But that is a little deceptive. Energy usage has been growing tremendously recently as businesses grow and demand for technologies – in most cases – that are energy-intensive to serve customers grows, too. Many of those buildings complying with LL 97 based on 2016 energy usage may get complacent and then learn that energy usage has risen in the intervening years due to many factors, including business growth. One must self-assess and be prepared and vigilant NOW!

LL 97 covers not only landlord-responsible functions (common lighting, elevators, space heating, etc.) but also tenant-responsible energy usage (their lighting, plug load, window AC units, etc.). If you are a landlord, this is the time to reach out to your tenants and get an understanding of total energy usage. NYSERDA’s Commercial Tenant Program is an incentive program providing free energy audits for leased office spaces. 4½ years may be necessary to understand your tenants’ energy needs and work together to manage it better. There has been concern that landlords, concerned with LL 97 compliance, may not renew leases of certain tenants that are high energy users (data centers, 24/7 operations) and encourage new tenants which use less energy to move in.

Once you have assessed your total energy usage and understand who is responsible for what usage and for what functions, you can assess whether you are currently in compliance with LL 97 and project the status in 2024. If your building is likely to exceed their greenhouse gas emission limit in 2024, the energy assessment provides the data to intelligently determine strategies to either comply or minimize the exceedance or fine.

The energy assessment can accurately tell you by how much you exceed the standard and can determine exact energy (and greenhouse gas) reductions to get you down to your limit. Then you can determine which combination of potential energy upgrades is sufficient to meet your LL 97 requirements, taking into consideration cost and side benefits, as well. You have time to plan it out and bring in the right experts to do the job.

Besides reducing your actual credited greenhouse gas emissions by reducing energy usage, LL 97 gives you two other ways to reduce your credited annual greenhouse gas emissions: purchasing renewable energy credits (RECs) and/or emission offsets. RECs are credits one obtains for implementing renewable energy, such as solar or wind project. A deduction from one’s annual building emissions equal to the number of RECs purchased by a building owner as long as the source of the renewable energy credits is considered by NYISO to be a capacity resource located in or directly deliverable into zone J load zone (NYC) for the same reporting calendar year; RECs are solely owned and will not be reused (re-sold) by the building owner, the building that hosts the renewable energy system does not receive a deduction under § 28-320.6.3. Information proving these items must be submitted to the Dept of Buildings with the application.

Emission offsets is procuring greenhouse gas emission credits that are certified by an appropriate board. Such offsets are provided to those who have reduced GHG emissions for an amount beyond that required by regulation. For calendar years 2024-2029, deductions for certified GHG emission offsets will be allowed for up to 10% of the annual building’s emissions limit. The deduction is only allowed for credits generated within the reporting calendar year, publicly registered, and retired (not to be re-sold).

LL 97 also allows a deduction from the reported annual building GHG emissions based on the calculated output of a clean distributed energy resource located at, on, in, or directly connected to the building subject to the report. LL 97 is allowing this portion to be amended based on future research and development.

Again, to summarize, 2024 seems like it’s far away, but given how comprehensive and how onerous LL 97 will be, with huge fines for non-compliance, the time to start evaluating where you stand vis-à-vis this rule is NOW!

CCES has the experts and knowledge of LL 97 to perform that early assessment of whether your building meets your 2024 GHG emission limit or not. If you comply now, we can advise you how to prevent energy creep to better ensure compliance in 2024. If you do not currently comply, we can advise you on cost-effective steps to comply on time and we can manage implementation to ensure you get the reductions in emissions you need. This is an onerous rule and with potential major upgrades needed to avoid high fines, 2024 is not that far away! Contact us today at 914-584-6720 or at karell@ CCESworld.com.