Property owners need systematic approach to GHG emissions reduction

Commercial property owners should commit to greenhouse gas (GHG) reduction—a strategy that reaps financial benefits and prevents buildings from becoming stranded assets, according to an energy efficiency consultant writing in GlobeSt.

A systematic drive to reduce emissions across the portfolio will garner savings on energy and water, as well as on levies for exceeding carbon emissions standards enacted by local governments. Decarbonization can avoid “stranded assets … properties that will be exposed to the risk of early economic obsolescence due to climate change because they will not meet future regulatory efficiency standards or market expectations.”

The first step is to set minimum standards for the entire portfolio and efficiency goals for individual properties. Portfolio standards could be performance based (e.g., 10% reduction of all assets by 2030), or prescriptive based (e.g., 100% LED lighting at all assets by 2025).

An energy and water audit, a comprehensive analysis of the property’s energy and water consumption using the ASHRAE Energy Audit Standards, should be conducted at each site. The audit measures energy and water usage, identifies property conditions that may cause excessive use, and provides efficiency measures to improve energy and water efficiency.

Other GHG reduction measures include building automation and controls, retro-commissioning, sourcing green energy from utilities, fully electrifying buildings, and integrating renewable energy systems into the property.