Zero-Energy Housing: Tipping the Global Market- Jeff Ranson
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Transcript of Zero-Energy Housing: Tipping the Global Market- Jeff Ranson
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ZERO-ENERGY HOUSING:TIPPING THE GLOBAL MARKETSustainable Buildings BreakfastApr 20, 2011
Jeff Ranson
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A INTERNATIONAL VISION FOR ZERO ENERGY HOUSING
Vision: To advance Zero-Energy Housing as the standard for housing worldwide.
Mission: Empowering countries to achieve Zero-Energy for all
housing.
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STARTING WITH THE ASIA-PACIFIC PARTNERSHIP
CHINA
AUSTRALIA
KOREA
JAPAN
CANADA
MEXICO
USA
ZEH approaches have been successfully demonstrated in diverse projects around the world:
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Avalon Discovery, Canada
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EcoTerra, Canada
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Riverdale Net-Zero, Canada
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Abondance la Soleil, EcoCite, Canada
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Inspiration, Minto, Canada
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Inspiration, Minto, Canada
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AusZEH, Henley, Australia
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AusZEH, Henley, Australia
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AusZEH, Henley, Australia
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AusZEH, Henley, Australia
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Zero-Energy House, Artistic Homes, USA
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Zero-Energy House, Artistic Homes, USA
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Zero-Energy House, Artistic Homes, USA
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Japan House, Tsuchiya Twoby Homes, Japan
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Japan House, Tsuchiya Twoby Homes, Japan
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Japan House, Tsuchiya Twoby Homes, Japan
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Shanghai Daan, Insightful Healthy Homes, China
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Shanghai Daan, Insightful Healthy Homes, China
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Green Tomorrow House, Samsung C&T Corp, South Korea
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Green Tomorrow House, Samsung C&T Corp, South Korea
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Green Tomorrow House, Samsung C&T Corp, South Korea
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Puerto Esmeralda, Geo, Mexico
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Jardines del Sur, Sadasi, Mexico
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Vista Real, ARA, Mexicov
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Vista Real, ARA, Mexico
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Villa del Rey, URBI, Mexico
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Villa del Rey, URBI, Mexico
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Bilbao, URBI, Mexico
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Vista Real, Vinte, Mexico
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Vista Real, Vinte, Mexico
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Vista Real, Vinte, Mexico
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BUILDING OUT FROM THE APP
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Shunya, 3C Company, India
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Casa Eficiente, Eletrosul, Brazil
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1. Global ZEH Value Chain Highlights2. Zero Energy Buildings & Security 3. Collaborative Opportunities
MOBILIZING THE MARKET
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1. Global ZEH Value Chain Highlights2. Zero Energy Buildings & Security3. Collaborative Opportunities
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Value Chain Analysis Objective:To examine the value chain of home building in the APP countries as it relates to ZEH adoption, with a view to strengthening regional understanding of how market conditions may be influenced to achieve positive ZEH outcomes.
ACHIEVING PRO-ZEH OUTCOMES THROUGH VALUE CHAIN ANALYSIS
Value Chain Defined:THE value chain of a national housing industry is comprised of all activities that influence, and are involved in the development of housing.
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TAKING A DEVELOPER PERSPECTIVE
Framing the Value ChainWith new construction being the focus of the ZEH roadmap, this analysis is based on a developer-centred framework. All factors are evaluated on the extent to which they hinder or enable ZEH development. • Increase
knowledge
• Increase availability of technology
• Provide legal frameworks
• Mandate performance
• Promote transparancy
• Ensure compliance
• Lower cost
• Increase demand
• Increase accessibility
• Lower risk
• Improve perception
• Increase desire
Housing industry
factors that support ZEH
should:
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A. MARKET FUNDAMENTALSB. MARKET DRIVERSC. EDUCATIOND. FINANCIAL ENVIRONMENTE. CODES & STANDARDSF. DEVELOPMENT DRIVERSG. TECHNOLOGICAL CAPACITYH. ASSURANCE CONDITIONS1. PLANNING
2. DESIGN
3. CONSTRUCTION
4. SALES
5. OPERATION
6. RE-SALES
7. RETRO-FITS
8. DEMOLITION
Support FactorsIssues that affect the achievement of ZEH throughout the development process
BUILDING ZEH: VALUE CHAIN OVERVIEW
The Value Chain Map is anchored in key activities of the development cycle - from project conception to product end of life. Activities and influencing factors are organized across two dimensions:
Development ActivitiesKey activity areas in the development cycle (primary) and ongoing activities associated with the development (secondary)
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KEY ISSUE AREA: “LOCALIZED BUILDING APPROACHES”Global ZEH market transformation can be driven by following proven design approaches “the path to zero energy” that are implemented through technologies and building approaches that suit local market conditions.
Passive design principles
High performance envelope
Energy efficient appliances & equipment
Renewable energy generation
PATH TO COST EFFECTIVE ZEH
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KEY VALUE CHAIN ISSUE AREAS
1. LOCALIZED BUILDING APPROACHES
2. FINANCIAL MOBILIZATION3. BUILDING PERFORMANCE
ASSURANCE4. CONSUMER EDUCATION5. TRAINING & CAPACITY BUILDING6. POLICY FRAMEWORKS7. ADEQUATE HOUSING8. INFRASTRUCTURE INTEGRATION9. FACILITATING PROCUREMENT10. RECOGNIZING SUCCESS
10 distinct ISSUE AREAS for knowledge sharing and collaboration emerged from the value chain analysis.
MOBILIZATION TACTICS for advancing ZEH may involve leading new programs, supporting existing efforts, or creating partnerships with external organizations.
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KEY ISSUE #1: LOCALIZED BUILDING APPROACHES
OPPORTUNITY AREAS• Support innovation for localized ZEH
approaches and technologies.• Focus on cost reduction of ZEH to
increase affordability.• Continue to develop regional best-
practices and guidelines for ZEH based on measured performance and industry experience.
MOBILIZATION TACTICS:• Pilot Projects• Performance Testing• Clarifying Regionally-Appropriate
Approaches
Photo: Santa Barbara Garden, Shanghai, China
Photo: URBI Hacienda Santorini, Mexicali, Mexico
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KEY ISSUE #2: FINANCIAL MOBILIZATION
OPPORTUNITY AREAS• Increase capital available to ZEH:
construction financing, mortgages, retrofit loans, renewable energy project financing, etc.
• Reduce the financial carrying costs of ZEH: insurance premiums, loan interest etc.
• Address the “split incentive” for rental/leased properties.
MOBILIZATION TACTICS:• Green Building Underwriting
Standards• Green Building Lending Products• Green Leases• Micro-Financing Solutions
Grameen Shakti provides low interest loans for solar installations in rural villagesSource: www.powergenworldwide.com
The US Capital Markets Partnership has released a Green Building Underwriting Standard
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KEY ISSUE #3: BUILDING PERFORMANCE ASSURANCE
OPPORTUNITY AREAS• Integrate energy performance
auditing and monitoring within residential construction.
• Enforce compliance to building energy codes.
• Improve data transparency around energy usage and costs to influence policy and consumer decision-making.
MOBILIZATION TACTICS:• Building Energy Codes• Building Inspection Standards• Energy Labelling• Energy Monitoring & Reporting
StandardsLed by the US Dept of Energy, the APP produced guides to building energy codes for all 7 APP countries.
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KEY ISSUE #4: CONSUMER EDUCATION
OPPORTUNITY AREAS• Support market readiness efforts to
provide consumers with understanding of ZEH value proposition.
• Increase consumer familiarity with ZEH (i.e. how they look, how they work) to increase buyer demand and confidence.
MOBILIZATION TACTICS:• Improved Lifecycle Costing Data• Demonstration Projects & Tours• Energy Labelling• Public Promotion/Outreach
Source: Minto Inspiration, Manotick, Canada: Virtual and On Site Tours
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KEY ISSUE #5: TRAINING & CAPACITY BUILDING
National Green Building CouncilsFull Member Emerging
MemberEstablished Non-Member
Australia Korea ChinaCanada Hong Kong
IndiaJapanMexico
USA
The Indian Green Building Congress
Source: WORLD GREEN BUILDING COUNCIL
OPPORTUNITY AREAS• Provide supporting trades with
access to design, construction and maintenance skills necessary to service ZEH approaches across a building’s lifecycle.
• Disseminate best practices and support knowledge transfer to increase adoption of effective construction techniques and technologies.
MOBILIZATION TACTICS:• Best Practices Database• Educational Curriculum Development• Trade-Oriented Training Sessions• Pilot Projects
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KEY ISSUE #6: POLICY FRAMEWORKS
OPPORTUNITY AREAS• Promote aggressive building energy
codes and regional energy targets that raise the bar for building energy performance.
• Clarify the value of ZEH for local, regional and national governments, including sustainability, energy security, job creation and housing affordability.
• Support policies and regulatory initiatives that support or level the playing field for ZEH.
MOBILIZATION TACTICS:• Policy Development Support• Incentives, Penalties & Tax Subsidies• Economic Development
Opportunities• Energy Autonomy
Source: Harvard Business Review, Ranking Environmental Regulation and Performance
Source: IEA
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KEY ISSUE #7: ADEQUATE HOUSING
OPPORTUNITY AREAS• Incorporate ZEH principles into new
developments aimed at meeting housing shortfalls.
• Create economic opportunities for low-income communities through ZEH applications: micro-financing for solar panel leasing, local construction jobs etc.
MOBILIZATION TACTICS:• Social Housing Development
Guidelines• Affordable Housing Policy• Social Enterprise Ventures/Micro-
Lending• Local Construction
Training/Certification Programs
Source: BaSIC
Source: WORLD RESOURCE INSTITUTE
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KEY ISSUE #8: INFRASTRUCTURE INTEGRATION
OPPORTUNITY AREAS• Encourage infrastructure
development to provide grid connection to those not currently serviced.
• Support grid connection technologies for renewable tie-in and metering.
• Where grid connection is not possible, support local distributed energy networks and district energy systems.
MOBILIZATION TACTICS:• “Adaptation-Oriented” Infrastructure
Planning• Improved Metering Capabilities• Feed-In Tariff Programs• District Energy Systems
Source: UNESCO
Photo: SOLAR POWER METER, from Picasa: reedyoung
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KEY ISSUE #9: FACILITATING PROCUREMENT
OPPORTUNITY AREAS• Facilitate trade of ZEH technologies
to improve market accessibility.• Promote development of local
manufacturing capacity for ZEH components and materials.
• Support retail strategies to increase availability of ZEH components for consumers and smaller builders.
MOBILIZATION TACTICS:• Trade Missions / Strategic Trade
Relationships• Green Building Product
Directory/Database• Manufacturer Education• Retail Green Product Strategies
Photo: Building Supply Shop in Athouli, India, from Flickr: Sixtybolts
Photo: Container Ship, from Flickr: jdnx
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KEY ISSUE #10: RECOGNIZING SUCCESS
OPPORTUNITY AREAS• Celebrate the achievement of ZEH
stakeholders and identify ZEH leaders.
• Continue to foster issue-specific working groups/collaborative networks across APP countries to advance priority ZEH issues.
MOBILIZATION TACTICS:• Online Communities• Awards/Recognition Programs• Professional Networks/Directories• Case Studies• Media Relations Strategies
Sources Top to Bottom: Zeroenergyhousing.org, Treehugger, Net-Zero Energy Home Coalition
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1. Global ZEH Value Chain Highlights2. Zero Energy Buildings & Security3. Collaborative Opportunities
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Energy is the foundation of industrialized society.
Our institutions, businesses, and the provision of basic
human needs depends on a reliable supply of affordable
energy……that does not unduly affect our economic, environmental and
social security.
THE SHIFTING ENERGY AND SECURITY LANDSCAPE
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SOURCE: International Energy Agency: http://www.iea.org/subjectqueries/buildings.asp
Buildings account for close to 40% of energy used in most countries.
Energy demand growth is exceeding production growth, leading to increased supply scarcity.
BUILDING-RELATED ENERGY USE: A THREAT AND OPPORTUNITY
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SUPPLY SECURITY IN A GLOBAL ECONOMY
Remaining energy reserves are increasingly separated from end-use.Economic, environmental and social costs of producing additional barrels from difficult environments expected to rise.
SOURCE: 2010 OECD/IEA
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ECONOMIC STABILITY THREATENED BY PRICE AND SUPPLY SHOCKS
Price volatility has dramatic downstream economic effects ranging from inflation to housing affordability to the provision of basic services.
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ENVIRONMENTAL STRESS A LIABILITY TO HUMAN/ECONOMIC HEALTH
Supply Side:- Water pollution from tailings- Deforestation- Habitat destruction
Consumption Side:- Smog from combustion- Indoor air quality from inefficient cooking
Environment-related threats increase the likelihood of civil unrest, regulation, and trade intervention that can further interrupt supply, increase costs and reduce economic productivity.
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CONVENTIONAL ENERGY INFRASTRUCTURE AT RISK
Distributed energy systems offer greater resiliency.
“...about 98-99 percent of all power failures originate in the grid” - Amory LovinsAugust 14, 2003 - a series of power surges triggers a cascade of shutdowns: 61,800 megawatts of power are lost to over 50 million people in North America’s largest blackout in history
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THE ZEB-SECURITY NEXUS
Geopolitical SECURITY
ENERGY SECURITY ISSUES
ZEB MITIGATION OPPORTUNITIES
Economic STABILITY
Environmental STRESS
Infrastructure RESILIENCY
Threats from unequal energy source distribution…
Disruptions from energy market uncertainty…
Strengthen energy independence
Decrease supply chain risk and source ownership disputes
Decrease operational risk from price volatility to businesses and consumers
Reduce public costs from energy subsidization
Job creation and labour market diversification
Reduce infrastructure renewal/expansion costs and transmission losses
Minimize vulnerability to grid-related disruptions and security threats
Provide power to off-grid areas
Reduce emissions from energy generation
Minimize ecological impacts and health effects from energy-related production and use
Extraction, production and combustion impacts of energy…
Risks from natural, operational, and security shocks…
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1.Global ZEH Value Chain Highlights2. Zero-Energy Buildings & Security3. Collaborative Opportunities
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Locate buildings on the Interactive Map.
Filter by : Building Type Number of Units Size of Development Electricity Generation
Partners may log-in to add and edit their own buildings.
MAPPING ZERO-ENERGY HOUSING
71 www.zeroenergyhousing.org
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View Building Details, including:
Builder info Building Details Performance Metrics Building Approaches Photos “ZEH Score”(% of energy generated beyond the needs of the building)
MAPPING ZERO-ENERGY HOUSING
(Total energy generated - Total energy consumed)
Total energy generated
X 100
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View Country Summary page, which provides at-a-glance information regarding the status of ZEH projects within Partner Countries.
MAPPING ZERO-ENERGY HOUSING
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FPO ONLY
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PURCHASING FOR ZEH
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GLOBAL COLLABORATION UNDERWAY
Numerous global collaborations are driving the International ZEH Initiative's mission to accelerate the identification of optimal solutions, enhance networking, facilitate technology transfer and strengthen the international branding of zero energy housing globally, including:
• Developing key environmental metrics to advance new business and financial cases for zero energy home developments internationally.
• GHG (Carbon) methodology and associated ZEH metrics will support ongoing policy, technical research and financial instrument design efforts globally.
ZEH METRICS
ZEH TECHNOLOGY
MAPPING
• Facilitating a workshop for selecting the most appropriate and adaptable ZEH technologies and developing strategies for overcoming barriers to move forward. Boulder, Colorado.
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ONGOING COLLABORATIVE OPPORTUNITIES
1. Building networks of existing organizations already working in key areas supporting ZEH development.
2. Fostering enhanced knowledge-transfer between “mature” and “emerging” market clusters to accelerate development trajectories through best-practice sharing and/or country-to-country mentoring.
3. Establishing working groups between nations in similar development phases to advance problem solving through experience sharing and idea exchange around specific issue areas.
4. Augmenting collective capacity to resolve priority issues by dedicating shared, international resources toward solution-oriented research initiatives or programming.
Enhanced collaboration to address key ZEH issue areas could manifest through such forms as:
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www.innovolve.com