1.
Infrastructure and Investment
Opportunities for
Energy Efficiency in Buildings
Visit with the Inter-American
Development Bank
Jeffrey Harris
Vice President - Programs

2.
Overview
1) Why buildings?
2) New Buildings
3) Existing Buildings
4) Cross-Cutting Strategies

3.
Commercial Building
Energy: Fastest Growth
Percent Change,
2010 to 2030

4.
Elements of a Zero-Energy
Buildings Strategy
Research and Development – Create new technology
- RD&D Partnerships with Industry
Incentives & voluntary programs – Create buyer demand
- Tax incentives, rebates, loan guarantees, etc.
- Utility programs (DSM, Demand Response, REPS/EEPS)
Public Education – Build market share
- Consumer education and awareness campaigns
- Energy labels (equipment and buildings)
Standards – Set a floor & trigger innovation
- Appliance standards, building codes, vehicles
- Utility Energy Efficiency Resource Standards (EERS)
Public sector leadership – Reduce market risk
Workforce development – Capacity building

5.
Setting a Long-term Goal:
“Net-Zero” Energy
Defining NZE:
A building that is designed, constructed, and
operated:
- To greatly reduce energy use (i.e. ~80%)
- …and meet remaining energy needs from
renewable sources
- Carbon-neutral
- Economically viable (net-zero cash flow)

6.
Changing Policy Landscape
for NZE Buildings
Architecture2030, Cool Mayors, AIA “commitment”
ASHRAE Std 90.1, Std 189, Advanced Guides
NAHB Green Standard & ICC Green Code
California AB 32 & Strategic Plan
Federal goals for NZE
- Existing & new buildings
- Zero Energy Commercial Buildings Initiative
2007 EISA, 2008 tax credit extensions, 2009 ARRA
Next: ACES, ACELA, ECJAPA… – and EPA
regulation of GHGs (?)

7.
Commercial Sector –
Where Are We Today?
“Net-Zero”
Source: R. Anderson, NREL

8.
Driving Efficiency through
Building Energy Codes
Federal legislation pending
- 30% improvement in model energy codes by 2010
- 50% before 2020
2009 IECC Model Energy Code for Homes:
- ~13% efficiency improvement over 2006
- Remainder of 30%+ goal in 2012 code cycle
ASHRAE 2010 Goal (Commercial): 30% by 2010
Cumulative savings thru 2020: 4 quads (1015
Btu); ~230 million tons CO2

9.
Multi-Level Alliance
Strategy for Energy Codes
1) Code Advancement
- EECC advocates for stronger Model Energy
Code
- BEECN pursues legislation for national code
targets and funding
2) Code Adoption
- BCAP & RECA pursue state by state action
3) Code Implementation (compliance)
- BCAP technical support for statewide
planning & implementation

10.
Potential Savings from Codes
By 2030 our nation could save each year:
8% of total building energy use
$28 billion a year in consumer energy bills
CO2 emissions of 46 million autos

11.
New Codes Paradigm:
1) “Dynamic” Codes
1) Make regular code
advancement the norm
(create market expectation
Energy Use
of continuous improvement)
2) Prepare market
for the next step:
Training
Incentives
Recognition
Years

12.
New Codes Paradigm:
2) “Technology-Ready”
Current approach:
- We make decisions on a 30-50+ year asset
based on ~5 year economics (builder or first
owner)
- Codes represent the low end of the “Valley of
Economic Indifference”
New approach:
- Pay most attention to most permanent feature
- Where feasible, build in “technology-readiness”

13.
Existing Buildings:
No Silver Bullets!
“Deep” retrofits vs “opportunistic upgrades”
Innovative financing (PACE, utility-bill
financing, neighborhood targeting, etc.)
Energy management as a process not an
event (Retro-Cx, operator training, etc.)
Feedback, benchmarking, energy rating &
disclosure

14.
Building Energy Rating
and Disclosure
Goals:
- Make energy performance visible to the market
- Capitalize (securitize) future $ savings
Labeling approach:
- Technically valid – and perceived as valid
- Empirical – based on available data (or “default”)
- Practical – consider cost vs value of information
- Target key decisions (decision-makers) :
Asset rating (buy/sell/rent/finance)
Operational rating (manage, retrofit)
Main EE features (all)
- Universal (mandatory not voluntary)

15.
Building Energy Performance:
Labels, Labels, Everywhere!

16.
Federal Building Successes –
But a Steeper Path Ahead!
140
Actual site energy use
130
Actual Energy Use 10% Goal - 1995 (NECPA)
Site Energy, 1000 Btu/sq.ft.
120
110 20% Goal - 2000 (EPACT)
29.6% Reduction,
2005
100
30% Goal - 2005
90 35% Goal - 2010
1985 1990 1995 2000 2005 2010
FISCAL YEAR

17.
Putting It All Together:
Zero Energy Commercial
Buildings Initiative
Authorized in EISA (12/07)
Net-zero commercial building goals
- 2030: New construction
- 2050: Entire stock
Broad government/industry consortium
Comprehensive approach (R&D deployment)
Coordinate (initiate) national and local actions
- Measure, benchmark, disclose energy performance
- R&D for critical technologies and systems
- Demo’s: scalable, replicable system solutions
- Transform market: Education/training, finance,
appraisal, incentives, codes, buyer demand-pull

18.
Leveraging Financial
Resources
Construction Bid Range: 5-15%
“Waste” in Industry: 10-30%
Cost of “green”: 0-5%
Cost of ZEB: 0-20%
Retrofit
$200 Billion/year
Energy Costs
$150 Billion/year
Deployment National
Programs ZEB Program
$2 Billion/yr $200 Million/yr
New Construction
$200 Billion/year
18

19.
Thinking “Outside the
[Building] Envelope…”
Locational efficiency
- Transit
- Mixed-use
Grid integration (“net-zero energy”
framework is incomplete)
- Smart grids
- Microgrids
Rediscover district heat/cooling
Managing potable water (“use cascading”)

20.
THANK YOU –
Questions?
Jeffrey Harris
Vice President – Programs
JHarris@ase.org
202 530 2243
www.ase.org