BC Green Building Protocol. Version 1.0

Transcription

1 BC Green Building Protocol Version 1.0

2 Green Building Protocol TABLE OF CONTENTS Key Abbreviations and Acronyms... iv 1.0 Identification of the Protocol Developers TITLE OF THE PROTOCOL INITIATING ENTITIES/LEAD PROTOCOL DEVELOPER TECHNICAL PROTOCOL WRITER Protocol Overview And Applicability PROJECT ACTIVITY PROTOCOL APPLICABILITY PROTOCOL FLEXIBILITY Eligibility Rules and Other Requirements PROJECT LOCATION PROJECT START DATE ADDITIONALITY... ERROR! BOOKMARK NOT DEFINED. 3.4 OWNERSHIP MULTIPLE PROJECT ACTIVITIES AGGREGATION PROGRAM OF ACTIVITIES Identification of Relevant GHG Sources, Sinks and Reservoirs IDENTIFYING BASELINE EMISSIONS DETERMINING THE BASELINE SCENARIO BASELINE SCENARIO SELECTION FOR EXISTING FACILITIES BASELINE SCENARIO SELECTION FOR NEW FACILITIES SELECTION OF CRITERIA AND PROCEDURES FOR DETERMINING THE BASELINE SCENARIO ERROR! BOOKMARK NOT DEFINED BASELINE SCENARIO ADJUSTMENTS IDENTIFYING BASELINE SSRS IDENTIFYING PROJECT EMISSIONS SELECTION OF CRITERIA AND PROCEDURES FOR IDENTIFYING RELEVANT PROJECT SSRS IDENTIFYING RELEVANT PROJECT SSRS SELECTION OF RELEVANT PROJECT AND BASELINE SSRS Page i

3 5.0 Quantification of GHG Emissions and Emission Reductions QUANTIFICATION APPROACHES SECONDARY EFFECTS FOR OPTIONS A :RETROFIT ISOLATION DETERMINING ELIGIBLE ENERGY SAVINGS ACCURACY REQUIREMENTS SIMPLE APPROACH ADVANCED APPROACH DATA AVAILABILITY, RELIABILITY AND LIMITATIONS Project Monitoring DATA MONITORING OPTIONS & PROCEDURES SIMPLIFIED MONITORING PROCEDURE EXTENDED MONITORING PROCEDURE CONTINGENCY PROCEDURES MONITORING PARAMETERS DATA MANAGEMENT QUALITY ASSURANCE/QUALITY CONTROL (QA/QC) EQUIPMENT CALIBRATION PROCEDURES Reporting STAKEHOLDER PROJECT DOCUMENTATION RECORD KEEPING Glossary References Additional Information Appendix A: Emission Factors Appendix B: Determining Functional Equivalence B.1 EXAMPLES OF COMMON METRICS...56 B.2 CALCULATING WEATHER VARIATION B.3 CALCULATING AREA B.4 VARIANCE IN ENERGY CONSUMPTION ii

4 Green Building Protocol B.5 OWNERSHIP Appendix C: Option Selection Guide (Protocol Flexibility Options) Page iii

5 KEY ABBREVIATIONS AND ACRONYMS ACM ASHRAE ANSI BAU BC EOR BOMA CDD CDM CH 4 CO 2 CO 2 e ECM EE ekwh GHG HDD HVAC IPCC IPMVP ISO PoA PCT QA/QC SSRs UNFCCC WRI Approved consolidated baseline and monitoring methodology (CDM) American Society of Heating, Refrigerating and Air-Conditioning American National Standards Institute Business as usual BC Emission Offsets Regulation Building Owners and Managers Association Cooling Degree Day Clean Development Mechanism Methane Carbon dioxide Carbon dioxide equivalent Energy conservation measure(s) Energy efficiency Equivalent kilowatt hours Greenhouse gas Heating Degree Day Heating, ventilation, air conditioning Intergovernmental Panel on Climate Change International Performance Measurement and Verification Protocol International Standards Organization Program of Activities Pacific Carbon Trust Quality assurance/quality control Sources, sinks and reservoirs United Nations Framework Convention on Climate Change World Resource Institute iv

6 Green Building Protocol 1.0 IDENTIFICATION OF THE PROTOCOL DEVELOPERS 1.1 TITLE OF THE PROTOCOL The BC Green Building Protocol (the Protocol) was drafted for the creation of green building carbon offsets in British Columbia. 1.2 INITIATING ENTITIES/LEAD PROTOCOL DEVELOPER Climate Action Secretariat, Ministry of Environment, BC Government Jessica Verhagen Director, Business Development 865 Hornby Street Vancouver, BC, V8T 5K7 t. (604) TECHNICAL PROTOCOL WRITER Andrew Leitch Offsetters Climate Solutions Suite West Hastings Street, Vancouver BC, V6B 1N2 Canada Page 1

7 2.0 PROTOCOL OVERVIEW AND APPLICABILITY The BC Green Building Protocol (the Protocol) was developed utilizing the input from green building and carbon offset experts obtained through a three-phase consultation process. It is designed for green building proponents to assist them in calculating the emissions reductions (and the resulting carbon offsets) from their Energy Conservation Measures (ECMs) 1. A carbon offset is a unit of carbon dioxideequivalent (CO2e) that is reduced, avoided, or sequestered to compensate for GHG emissions occurring elsewhere 2. The Protocol is based largely upon the approach set forth in the Government of Alberta s Quantification Protocol for Energy Efficiency in Commercial and Institutional Buildings, Version 1.0. However, the Protocol was designed to comply with the requirements described in the BC Emission Offsets Regulation (BC EOR). The following primary reference sources contributed to the development of the Protocol: 1. Government of Alberta s Quantification Protocol for Energy Efficiency in Commercial and Institutional Buildings, Version ISO :2006 Specification With Guidance at the Project Level for Quantification, Monitoring and Reporting of Greenhouse Gas Emission Reductions or Removal Enhancements 3. International Performance Measurement and Verification Protocol, Volume I, II and III (IPMVP, 2012) 3 Advanced understanding of energy modeling and certain statistical procedures may be required to ensure that the carbon offsets developed from green building projects are real, permanent and additional. As a result, the Protocol requires familiarity with energy efficiency projects and the implementation and monitoring of ECMs. It also requires competency with, and general understanding of the terminology, processes, standards and operation associated with these measures is required. 1 Energy Conservation Measure (ECM) will commonly be used to refer to measures to reduce GHG emissions from energy use, improve energy efficiency conserve energy 2 World Resources Institute. WRI: 3 Source: 2

8 Green Building Protocol The Protocol provides requirements and guidance to account for and report the direct and indirect greenhouse gas (GHG) emission reductions associated with eligible ECMs implemented in new commercial and institutional buildings 4, or in the retrofit of existing buildings. It is designed to help calculate building-related GHG emissions associated with energy, before and after the implementation of ECMs. Green building emission reductions (and the resulting offsets) are calculated as the difference in energy use between baseline and project conditions. New facilities may establish their hypothetical baseline based on applicable building codes and/or modeled simulations. Emissions reductions are determined based on the extent to which the building ECMs exceed relevant minimum standards. The Protocol helps project proponents determine the emission reductions by providing information on: How to assess all possible baseline (pre-green building project) scenarios How to select the appropriate baseline(s) How to calculate GHG reductions How to achieve the project s monitoring/estimation, data management and reporting requirements. The Protocol does not attempt to replicate already available guidance on developing green building projects (see Section 10 - Additional Information) or about offsets and the validation and verification process. These processes are set out in the BC EOR and guidance has been provided by the Pacific Carbon Trust (PCT) 5. For the purpose of the Protocol, a GHG reduction project is defined as any course of action undertaken to achieve a GHG emission reduction. 2.1 PROJECT ACTIVITY The Protocol provides for the following types of emission reduction activities to be conducted alone, or in combination: 4 Smaller opportunities may be aggregated to form a larger project (see Section 3.5); project proponents that are unsure of expected tonnage are strongly encouraged to consult with expert opinion. 5 Source: Page 3

9 Energy use: The Protocol accommodates multiple ECMs. These ECMs can relate to heating, ventilation, air conditioning (HVAC), lighting systems, building envelope, tap water heating, boiler retrofits, elevators, occupant small electrical equipment, outdoor lighting, efficient pumping or heating. Energy may be supplied by electricity and/or by primary fuels such as natural gas, diesel and heating oil. Project proponents should state in the project plan which ECMs will be applied and clearly describe the situation before and after the start of implementation of the project activity as well as a detailed description of the specific technologies. 2.2 PROTOCOL APPLICABILITY To demonstrate that a project meets the requirements under the Protocol, the project proponent must provide evidence that: The ECMs employed in the new build or facility retrofits have consistent methodology and assumptions, including but not limited to, SSRs and measurement between the baseline and project condition; Each new building or existing building retrofit demonstrates functionally equivalent inputs and outputs; The quantification of emission reductions achieved by the project are based on actual measurement and monitoring (except where indicated in the Protocol),; and The project must meet the requirements for offset eligibility as specified in the BC EOR (393/2008) and follow applicable guidance documents. 2.3 PROTOCOL FLEXIBILITY 4

10 Green Building Protocol The Protocol is intended to be applicable to a wide range of ECMs. The Protocol provides three quantification options and two levels of rigour to provide flexibility for project proponents. These approaches are intended to balance the level of detail in monitoring requirements with the degree of conservativeness in calculations to ensure that GHG emission reductions quantified under each approach are both accurate and verifiable. Project proponents may choose among options depending on project-specific considerations. Quantification options are further described in Table 1, while Appendix C offers guidance on selecting the proper option for any specific project. Table 1 summarizes the three quantification options, which can be applied against two levels of rigour for data monitoring that are described in section 5.3. The simple approach applies conservative monitoring methods, calculations and assumptions, whereas the advanced approach requires a higher level of monitoring and less conservative assumptions. Though greater monitoring requirements may significantly increase cost, this approach may also enable projects to deliver more GHG credits to market than the simple approach. Table 1 Overview of Protocol Quantification Options Quantification Options How Savings Are Calculated Typical Applications Option A Retrofit Isolation: Savings are determined by A boiler replacement Key Parameter measurements of the key where fuel consumed is or Multiple parameters of the ECM-affected the key performance Parameter systems. parameter. Measurement Option B Whole Building Emissions for the whole building or isolated element of the building are measured and any savings are calculated accordingly. Multi-faceted energy management program affecting many systems in a building. Option C Calibrated Emissions and savings are Same as Option C, but Simulation determined by energy use where no meter exists in simulation, calibrated with utility the baseline period. billing data. Page 5

11 3.0 ELIGIBILITY RULES AND OTHER REQUIREMENTS The Protocol applies to activities that reduce GHG emissions from buildings. Project proponents should include a technical description of the project and an explanation of how the project activity will lead to a real reduction in GHG emissions. 3.1 PROJECT LOCATION Project proponents should include geographical information and any other information to enable unique site identification in the project plan and meet the project location requirements as stipulated in the BC EOR. 3.2 PROJECT START DATE GHG emission reduction projects must meet the start date requirements as stipulated in the BC EOR. Project proponents should outline a chronological plan for the project, including the anticipated or actual project start date. 3.3 ADDITIONALITY Project developers should consult the BC EOR to determine whether their projects are additional, and are encouraged to refer to the document Guide to Determining Project Additionality Version 1.0 for more information on determining additionality OWNERSHIP To avoid more than one individual or organization claiming the benefit of emission reductions, project proponents must demonstrate sufficient evidence to prove superior claim of ownership of all GHG emission reductions. Ownership of emission reductions may be transferred through an assignment of ownership agreement or a quitclaim deed. In addition, the GHG emission reductions must not have previously been recognized as an emission offset under any other voluntary or mandatory GHG reduction program. 6 Source: 6

12 Green Building Protocol 3.5 MULTIPLE PROJECT ACTIVITIES Multiple project activities may occur under a variety of different circumstances in BC. In general, multiple project activities may exist under the following scenarios: 1) One ECM type at multiple locations 2) Multiple ECMs at one location 3) Multiple ECMs at multiple locations Project proponents need to balance the additional emission reductions against the additional complexity that multiple locations and ECMs will bring to the project. In addition, there are two specific types of multiple project activities types that the project proponent must consider: 1) aggregation, 2) program of activities AGGREGATION To reduce transaction costs and enable development of recognized emission reductions from smaller and dispersed emission sources, projects may be aggregated and registered as a single, larger project activity. Project activities under aggregated projects must be similar in scope and all activities must be identified at project registration. Since all project activities must be registered at the same time, all projects will have the same duration and crediting period PROGRAM OF ACTIVITIES A program of activities (PoA) approach allows for more flexible aggregation of multiple smaller project activities under the framework of a single, larger project. PoA is similar to project aggregation but the PoA approach may combine different project sites and ECMs and individual project activities may be added after initial project validation. Exact sites of GHG emission reductions may not necessarily be known at the time of initial project development. Documentation for individual project activities may therefore be submitted at different times and each individual project may have a unique duration and crediting period as long as the reductions are achieved within the validation period of the program of activities. Page 7

13 A project plan for a PoA project will need to provide clear guidelines of how future projects will satisfy additionality requirements (e.g. projects reducing a building s heating requirements will need to demonstrate that fossil fuels would otherwise be used for their heating needs). Project proponents are required to comply with the BC EOR when developing a project under of a PoA framework, and are encouraged to consult the BC Program of Activities Guidance Document. 7 7 Source: 8

14 Green Building Protocol 4.0 IDENTIFICATION OF RELEVANT GHG SOURCES, SINKS AND RESERVOIRS This section provides guidance for identifying all GHG sources, sinks and reservoirs (SSRs) that must be assessed by project proponents in order to determine the net change in GHG emissions caused by implementation of ECM(s). In accordance with ISO , a lifecycle assessment approach is used to identify relevant on-site SSRs that are directly owned or controlled by the project proponent, as well as upstream and downstream SSRs that may be related to or affected by the project. Special caution should be taken when drawing the measurement boundary to consider interactive effects energy flows that are affected by an ECM but beyond the measurement boundary. For example, the measurement boundary of an ECM that reduces the power requirements of electric lights should include the power to the lights. At the same time, lowering the power requirements of electric lights may also potentially lower any mechanical cooling requirements or raise heating requirements; these heating and cooling energy flows attributable to the lights are interactive effects. Interactive effects must be assessed on an individual basis, and should be estimated if the effect is expected to be significant. 4.1 IDENTIFYING BASELINE EMISSIONS Baseline emissions represent GHG emissions within the boundaries of the baseline condition that would have occurred in the absence of the GHG reduction project. In the case of retrofit measures, these consist of the GHG emissions that would have been emitted in the absence of the project activity and in the case of a new building; they are emissions of the facility that would otherwise be built.. Based on the procedures outlined below to determine the baseline scenario, Figure 1 identifies a general process flow diagram for a typical baseline. Page 9

15 Figure 1 Process Flow Diagram for Baseline Condition DETERMINING THE BASELINE SCENARIO The baseline scenario is the hypothetical scenario for GHG emissions and removals that would have occurred in the absence of the proposed project. The Protocol presents guidance for determining the baseline scenario both for retrofits to existing buildings and for new buildings. The project plan should include a description of all potential baseline scenarios considered, a description of all underlying assumptions and justification of assumptions, and a statement of the period of time for which the baseline scenario applies. As stated in the BC EOR, baseline scenarios are made, in part, on the assumption that the project is not carried out. Therefore, the baseline scenario should also result in a conservative estimate of the GHG reductions to be achieved by the project considering the following factors: Existing or proposed regulatory requirements relevant to any aspect of the baseline scenario; 10

16 Green Building Protocol Provincial, federal or local incentives relevant to any aspect of the baseline scenario, including tax incentives or grants that may be available as these may affect the additionality of the baseline. The financial implications of carrying out a course of action referred to in the baseline scenario, and Any other factor relevant to justify the claim that the baseline scenario is most likely to occur if the project is not carried out. The baseline scenario must take these factors into account throughout the validation period. As a result, when establishing baseline scenarios, the project proponent must take into account forthcoming regulations and business-as-usual scenarios to ensure that the GHG emission reductions are not overstated SELECTION OF CRITERIA AND PROCEDURES FOR DETERMINING THE BASELINE SCENARIO The procedure used to identify the baseline scenario for each type of project (retrofit of existing building or new building) is outlined in Table 2. Potential baseline scenarios must be considered and assessed to determine the best available option; project proponents must justify any departure from the hierarchical order. Four approaches may be applied to create the baseline scenario for the project activity(s): 1. Historical Benchmark: Uses existing actual or historical GHG emissions, as applicable. This approach assumes that past trends in emissions and/or GHG removals are indicative of future scenarios. 2. Performance Standard: Applies an assessment of comparable activities within a given industry or sector. This approach assumes that the typical emissions profile for the industry or sector is a reasonable representation of the baseline. 3. Comparison-Based: Employs actual measurements of parameters from a control group to compare with the project. The control group consists of buildings of the same type and with similar characteristics to the project building(s), the likeness of which should be justified in the project plan. Emissions and/or GHG removals from the control group are monitored throughout the project and compared with the emissions from the project site to determine the incremental reductions from the project. Page 11

17 4. Projection-Based: Forecasts reductions based on various methods such as application of building energy use models. Forward-looking projections can be specified in terms of a set of constant parameters or can vary over time according to pre-defined procedures. It is the responsibility of the project proponent to determine the most suitable baseline scenario approach for the project. The baseline scenario approach described herein has been determined based on expected project types in the building sector, typical data availability and good practice guidance for determining energy savings, more specifically from the International Performance Measurement and Verification Protocol, Volumes I-III (IPMVP),

18 Green Building Protocol Table 2 Assessment of Potential Baseline Scenario Approaches Baseline Approach Historical Benchmark Rationale For Accurate, historical data is available for appropriate operating periods Historical data in conjunction with baseline adjustments best represents the conditions that would have taken place had the project not been implemented Best practice guidance indicates the baseline scenario for existing buildings is determined based on historical data collected over the baseline period Rationale Against Accurate, historic information may not be available if the facility is new or historical data has not be recorded accurately Assumes that past predominant energy use patterns will continue into the future Assumes that energy efficiency improvements would not occur anyway based on their financial payback Performance Standard Comparison- Based Projection- Based Historical data for the facility is unavailable or a deemed-calculated measures approach is selected Performance standards are used throughout the industry and accurately represent common industry practice Good practice guidance, e.g., ASHRAE, and local building codes can provide minimum requirements for the energy-efficient design and can be used as a conservative baseline scenario For a new facility, in the absence of a performance standard, a comparisonbased baseline from a comparable building built by the same owner for the same purpose, with the same level of occupancy, may provide an accurate representation of energy use had the project not been implemented In the absence of both a performance standard and an accurate comparison, a projection-based methodology may provide a reasonably accurate baseline scenario Does not necessarily represent the conditions that would have taken place at the facility had the project not been implemented, but rather the conditions that would typically take place in the industry Variability may be high amongst different buildings A performance standard for the relevant project type may not be readily available data may be unavailable Excessively onerous to provide evidence for justification. Less accurate baseline approach In most cases, projections are not as accurate as other readily available baseline conditions Least accurate baseline approach as the baseline is determined using a hypothetical model Page 13

19 Project proponents must select and justify the most applicable approach. However, the historical baseline approach may need to be adjusted, such as applying a technology improvement factor, to ensure that it meets four criteria that ensure the baseline scenario assumes a condition where the project is not carried out BASELINE SCENARIO SELECTION FOR EXISTING FACILITIES Once the baseline scenario is selected, the quantification approach should attempt to satisfy the following criteria: 1) If a historical benchmark approach is selected, the baseline period should represent all operating modes of a facility and should span, at a minimum, a full operating cycle from maximum to minimum energy use. For example, whereas building energy use typically requires a full year of baseline data to define a complete operating cycle, the energy use of a compressed air system may be governed only by plant production levels, which vary on a weekly cycle thus sets of weekly data would be required to determine baseline performance. 2) In addition, baselines that use the historical benchmark approach should only include time periods for which all fixed and variable energy-governing facts are known about the facility; extending the baseline period backwards in time to include multiple cycles of operation requires equal knowledge of all energy-governing factors throughout the longer baseline period in order to properly account for routine and non-routine adjustments. 3) All operating conditions of a normal operating cycle should be fairly represented. ECM planning may require data over a longer time period than is chosen for the baseline period. 4) The baseline period shall coincide with the period immediately before the commitment to undertake the retrofit unless it is demonstrated that these data would not be representative of baseline conditions. Periods that are further back in time may reflect other variables in addition to the effect of the ECMs. 5) The baseline should be adjusted at each reporting period to reflect the effects of routine and nonroutine adjustments as further described in

20 Green Building Protocol 6) Retrofit isolation projects may also utilize a deemed-calculated measures approach from pre and post project performance testing or performance standard baselines. Asset replacements life If the project involves replacing asset(s), it is necessary to consider the remaining life of the asset(s), as the baseline must represent the condition that exists in absence of the project activity. Project proponents may select from three options: 1) Determine the typical average lifetime of the type of asset taking into account common practices in the sector and country (e.g. industry surveys, statistics, technical literature, performance guarantees etc.) 2) The practices of the company responsible based on established replacement schedules for comparable assets. 3) Assume an industry performance standard to which the project activity exceeds in performance BASELINE SCENARIO SELECTION FOR NEW FACILITIES Whereas the baseline in a retrofit project is typically the system or facility performance prior to modification, historical data is not available for new facilities. As a result, the baseline scenario for a new facility may be defined or characterized by code or regulation, common practice, or by the documented performance of similar constructed facilities. For energy efficiency projects added to the design and construction of a new system or facility, must establish a baseline scenario that assumes the condition in which the project does not take place. If a performance standard approach is used, the baseline scenario will be set to ensure that the baseline is, at minimum, the lowest energy usage level reflected by the laws, regulations and legal obligations; however, it must be demonstrated that the baseline assumes a condition that represents the absence of the project activity. Page 15

21 4.1.5 BASELINE SCENARIO ADJUSTMENTS 8 The baseline scenario identified for the project(s) eligible under this quantification protocol may require adjustments in order to isolate the energy effects of a savings program from the effects of other simultaneous changes affecting the energy using systems. To ensure functional equivalence of the baseline scenario with the project, the comparison of before and after energy use or demand should be made on a consistent basis using the following general equation: Savings = (Baseline Energy Reporting-Period Energy) ± Routine Adjustments ± Non-Routine Adjustments These routine and non-routine adjustments are usually performed when energy savings are quantified, which typically occurs on an annual basis; all calculations and justification for routine and non-routine adjustments must be provided in the project report. 9 For additional guidance on the process of determining functional equivalence, see Appendix B. Routine Baseline Adjustments may be necessary for any energy-governing factors that are expected to change routinely during the reporting period, such as weather or production volume. Numerous techniques can be used to define the adjustment methodology, from using a constant value (no adjustment) to applying a number of multiple parameter non-linear equations, each correlating energy with one or more independent variables. Project proponents should refer to IPMVP (2012) Volume I, Appendix B for guidance on assessing the validity of mathematical methods and associated uncertainty. Non-Routine Baseline Adjustments (also simply referred to as baseline adjustments ) may be necessary when unexpected or one-time changes occur to energy-governing factors within the measurement boundary that are otherwise static. Static factors are determined from actual or assumed physical changes in equipment or operations, rather than from independent variables. Static factors must be monitored for change throughout the reporting period and may include: the amount of space being heated or air conditioned (facility size), the type of products being produced or number of production shifts per day, building envelope characteristics (new insulation, windows, doors, air tightness), 8 Refer to IPMVP Vol. I 2012, for examples of routine and non-routine baseline adjustments. 9 The exception to this point would be deemed-calculated measures approach where adjustments, routine and non-routine, are unnecessary for quantification. 16

22 Green Building Protocol the amount, type or use of the facility s and the users equipment (design and operation of installed equipment), the indoor environmental standard (e.g. light levels, temperature, ventilation rate), and the occupancy type or schedule Non-routine adjustments also account for changes in the surplus characteristics of the project. Nonroutine adjustments are essential for ensuring that the Project and Baseline conditions are functionally equivalent. Where an anticipated new law, regulation or legal obligation affects an ECM after the project has been installed, project eligibility (or surplus) may change and a Non-Surplus Baseline Adjustment may be necessary. For instance, the level of building occupancy may change materially during the project, so that energy use increases or decreases relative to the established baseline. Building occupancy could change if a company reduces its workforce resulting in a reduction of energy use, and therefore, change the baseline. In other words, if an adjustment is not made, it could exaggerate the apparent savings from an intervention and, therefore, the number of credits claimed. Conversely, if building occupancy increases, the relative savings could be understated. However, where a new law, regulation or legal obligation has not been anticipated, emission reductions will be grandfathered until the end of the project life. During the reporting period, baseline data must be adjusted for any parts of the project that become non-surplus. When a project makes equipment efficiency upgrades prior to the equipment s normal end-of-life date, energy savings are considered surplus up to the normal-end-of-life date; after this date, the baseline shifts to become the efficiency standard or justified baseline scenario prevailing at the normal end-oflife date. In such cases, the project report must provide: 1) the original installation date and normal lifetime of all equipment that is replaced under the project normal lifetime data should come from referenced independent sources, and 2) energy standards inherent in any relevant laws, regulations, legal obligations and common products or practices used in the industry, as of the date of the retrofit. Ongoing reporting of savings must make a non-surplus adjustment beginning with the date of change in surplus status, such as the date of a proposed new regulation or the notional end of life dates of relevant sections of the retrofit. These adjustments must bring the baseline level to the standard that is in place at the time the adjustment is surplus status is deemed to occur. If the project installs equipment simply to meet such standards, the baseline equals the project energy use, and there are no further eligible savings IDENTIFYING BASELINE SSRS Page 17

23 All SSRs relevant to the baseline scenario must be identified, whether on-site, upstream or downstream to the facility. Figure 2 illustrates relevant baseline SSRs according to their relation to the project site and the time at which the GHG emissions occur. Figure 2 Baseline Element Lifecycle Chart Table 3 identifies and describes all relevant SSRs for the baseline scenario. Table 3 Relevant Baseline SSRs Sources, Sinks and Reservoirs (SSRs) Description Controlled, Related or Affected Upstream SSRs Before Project Operation 18

24 Green Building Protocol B3. Raw Material Production and Transportation Raw materials are used in the manufacture of equipment for the implementation of ECMs and conventional building operations. They are typically produced offsite and transported to the manufacturing facility, which generates emissions from the use of fossil fuels and electricity during these processes. Raw materials may include cement, plastic, aluminum, steel, rubber, etc. Related B4. Manufacture of Equipment B5. Transportation of Equipment Manufacturing equipment to implement ECMs and conventional building operations generates GHG emissions associated with the fossil fuels and electricity consumed during the manufacturing process. GHG emissions can be attributed to the combustion of fossil fuels while transporting equipment used in the implementation of ECMs and conventional building operations. Related Related B6. Site Commissioning The development of the site (technically on-site before project) and installation of equipment will result in GHG emissions, primarily from the use of fossil fuels and electricity. Related Sources, Sinks and Reservoirs (SSRs) Description Controlled, Related or Affected Upstream SSRs During Project Operation B1. Fuel Production/ Distribution B2. Electricity Generation/ Distribution To calculate GHG emissions from the production and distribution of fuel used during building operations, the volume, type of fuel and distribution distance will be required. Building operations have significant electricity requirements, which result in GHG emissions. Location and source of electricity generation (if available), as well as the quantity of electricity generated will be required. Related Related Page 19

25 On-site SSRs During Project Operation B8. Building Energy Consumption (without ECMs) Equipment such as boilers, lighting systems, HVAC systems, ventilation systems, etc. use fossil fuel energy and electricity onsite to operate the building. Controlled B9. Maintenance and Operation GHG emissions will be generated from the use of fuels and electricity in both routine and non-routine maintenance procedures of the facility and systems within the facility. Controlled Downstream SSRs During Project Operation None Downstream SSRs After Project Operation B7. Site Decommissioning The site will likely need to be decommissioned once it is no longer in operation. During this process, GHG emissions will be generated from fossil fuel and electricity use during equipment disassembly, disposal and other required activities. Related 4.2 IDENTIFYING PROJECT EMISSIONS SSRs relevant to the project must be identified whether on-site, upstream or downstream to the facility. Common SSRs found in energy efficiency projects relating to buildings include, but are not limited to: On-site fuel burning, Materials manufacturing, Transportation of equipment, Electricity production (on-site or purchased from the grid), fossil fuel production and delivery to the site, and Energy consumed during facility maintenance, operation, construction and decommissioning. Based on the procedures outlined below to identify relevant project SSRs, Figure 3 outlines a general process flow diagram for typical projects eligible under the Green Building protocol. 20

26 Green Building Protocol Figure 3 Process Flow Diagram for Project Condition SELECTION OF CRITERIA AND PROCEDURES FOR IDENTIFYING RELEVANT PROJECT SSRS Procedures used to identify relevant project SSRs are based on the principles and framework provided by ISO 14040:2006 (life cycle assessment) 10, and are used to identify types of activities, e.g. production, transportation, installation, operation, maintenance, utilization, decommissioning, etc., and associated inputs/outputs that may be attributable to the project. Based on the Alberta GHG Quantification Protocol for Energy Efficiency in Commercial and Institutional Buildings, the following procedures have been used to identify relevant project SSRs: 1. Identification of all SSRs relevant to the primary project activities that are controlled or owned by the project proponent. ECMs may affect the following systems which impact the identified SSRs: a. Heating, 10 Source: Page 21

27 b. Ventilating c. Air conditioning, d. Lighting systems, and 2. Identification of all SSRs physically related to the primary project activities by tracing the upstream impact of products, materials and energy inputs/outputs to downstream effects, e.g., electricity production, fossil fuel production, etc. 3. Identification of all SSRs affected by the project through consideration of the economic and social consequences of the project this has been achieved by identifying activities, market effects and social changes that result from or are associated with the project activity, and documenting the associated GHG emissions. 4. For each identified SSR, the parameters required to estimate or measure the GHG emissions are determined including materials and energy inputs/outputs and information on activities, products and services. 5. Determination of the function (products, goods and/or services provided by the SSRs identified by the project scenario) provided by the system of SSRs in order to assist in assessing equivalence of service between the project and the baseline scenario. 6. Aggregation or disaggregation of identified SSRs. The number of SSRs defined and the degree of detail presented is determined in large part by data availability and required level of accuracy. 7. Review system of SSRs identified for the project by confirming that: a. All relevant SSRs are identified; b. Each SSR is classified appropriately as controlled and owned, related or affected by project activity; c. All GHG inputs and outputs for each element are identified; and d. The sequence of SSRs for the system is correct. e. Repeat previous steps as necessary. Figure 4 illustrates relevant SSRs according to their relation to the project site and the time at which the GHG emissions occur. 22

28 Green Building Protocol Figure 4 Project Element Lifecycle Chart IDENTIFYING RELEVANT PROJECT SSRS Table 4 lists a summary of identified SSRs with additional detail on each SSR. The table also identifies SSRs as being under the direction and influence of the project proponent through financial, policy, management or other means (controlled); not under reasonable control of the project proponent (related); or influenced by the project activity through changes in market demand or supply for products or services associated with the project (affected). Page 23

29 Table 4 Relevant Project SSRs Sources, Sinks and Reservoirs (SSRs) Description Controlled, Related or Affected Upstream SSRs Before Project Operation P3. Raw Material Production and Transportation P4. Manufacture of Equipment P5. Transportation of Equipment P6. Site Commissioning Sources, Sinks and Reservoirs (SSRs) Raw materials are used in the manufacture of equipment for the implementation of ECMs and conventional building operations. They are typically produced offsite and transported to the manufacturing facility, which generates emissions from the use of fossil fuels and electricity during these processes. Raw materials may include cement, plastic, aluminum, steel, rubber, etc. Manufacturing equipment to implement ECMs and conventional building operations generates GHG emissions associated with the fossil fuels and electricity consumed during the manufacturing process. GHG emissions can be attributed to the combustion of fossil fuels while transporting equipment used in the implementation of ECMs and conventional building operations. The development of the site (technically on-site before project) and installation of equipment will result in GHG emissions, primarily from the use of fossil fuels and electricity. Description Related Related Related Related Controlled, Related or Affected Upstream SSRs During Project Operation P1. Fuel Production/ Distribution To calculate GHG emissions from the production and distribution of fuel used during building operations, the volume, type of fuel and distribution distance will be required. Related 24

30 Green Building Protocol P2. Electricity Generation/ Distribution Building operations have significant electricity requirements, which result in GHG emissions. Location and source of electricity generation (if available), as well as the quantity of electricity generated will be required. Related On-site SSRs During Project Operation P8. Building Energy Consumption (with ECMs) P9. Maintenance and Operation Equipment such as boilers, lighting systems, HVAC systems, ventilation systems, etc. use fossil fuel energy and electricity on-site to operate the building. GHG emissions will be generated from the use of fuels and electricity in both routine and non-routine maintenance procedures of the facility and systems within the facility. Controlled Controlled Downstream SSRs During Project Operation P10. Disposal of ECM Equipment P11. Resale of equipment The disposal of some materials/equipment, which compose all or a component of the ECM(s), may result in GHG emissions, E.g. the disposal of CFL light bulbs to appropriately remove mercury, disposal of transformer containing SF 6. The resale of baseline assets into the market results in a leakage factor of 100% being applied to the project. As a result, project proponents must demonstrate that processes are in place to ensure that the resale of expired assets does not take place. Related Controlled Downstream SSRs After Project Operation P7. Decommissioning of ECM Equipment Once the ECM equipment comes to the end of its life, GHG emissions may arise from the incremental use of fossil fuels and electricity during equipment disassembly, disposal, and other required activities during the process. Related 4.3 SELECTION OF RELEVANT PROJECT AND BASELINE SSRS Page 25

31 The Project and Baseline Element Charts (Figure 4 and Figure 2) define all GHG SSRs that must be assessed to quantify the total net change in GHG emissions caused by a green building project. The procedure illustrated in Figure 5 was applied to determine if each identified SSR for the project and baseline was relevant, and to determine if it is necessary to quantify the GHG emissions by direct monitoring or estimation. Figure 5 Decision Tree for Selecting Relevant SSRs Table 5 provides a comparison of controlled, related or affected baseline and project SSRs along with justification for the inclusion or exclusion of certain SSRs from the GHG assessment boundary. 26

32 Green Building Protocol Table 5 Comparison of SSRs Identified SSRs Baseline Project Included or Excluded Justification, if Excluded Upstream SSRs P/B1 Fuel Production/ Distribution P2/B2 Electricity Generation/Distribution P3/B3 Raw Material Production and Transportation P4/B4 Manufacture of Equipment P5/B5 Transportation of Equipment P6/B6 Site Commissioning Related Related Excluded Emissions are expected to be greater under the baseline condition.* Related Related Excluded Emissions are expected to be greater under the baseline condition.* Related Related Excluded Emissions are expected to be greater under the baseline condition. Related Related Excluded Emissions are expected to be greater under the baseline condition. Related Related Excluded Negligible change from baseline to project. Related Related Excluded Emissions are insignificant given long project life and minimal construction typically required for ECM implementation. On-site SSRs P8/B8 Building Energy Consumption (with ECMs, without ECMs) P9/B9 Maintenance and Operation Controlled Controlled Included N/A Controlled Controlled Included N/A Downstream SSRs P7/B7 Site Decommissioning P10 Disposal of Equipment P11 Resale of Baseline Equipment Related Related Excluded Emissions are expected to be insignificant over the course of the project N/A Related Excluded Emissions from disposal are expected to be minimal.** Controlled Controlled Included N/A + In the case that the project results in increased fuel or electricity consumption, GHG emissions from this SS will be higher for the project scenario than the baseline and must be quantified and subtracted from gross GHG reductions. Page 27

33 ++ Sources of GHG emissions from ECM equipment/material must be reviewed, as inclusion should be determined on a case-by-case basis. Any GHG emissions from this SSR should be noted and quantified or excluded with justification while other environmental impacts should be noted. In addition, project developers should provide evidence that equipment has been taken out of use and is not simply being reused in the market which would result in a leakage from the project. 28

34 Green Building Protocol 5.0 QUANTIFICATION OF GHG EMISSIONS AND EMISSION REDUCTIONS This section provides requirements and guidance for quantifying a Green Building project s net GHG reductions. As shown in Figure 6, GHG savings are determined by comparing baseline and projects emission. Eligible GHG savings are derived from energy reductions achieved through implementation of a project ECMs, and not through a decrease in operating capacity or output. Figure 6 Example of Savings Determination Process Following ECM installation, the baseline relationship is used to estimate how much energy the building would have used each month if there had been no ECM (called the adjusted-baseline energy ). 5.1 QUANTIFICATION APPROACHES A project s GHG emission reductions are quantified for each energy type (i) and for each GHG (j) saved as: GHG Emission Reduction i,j = (Eligible Energy Savings i,j x Emission Factor i,j ) Page 29

35 Where: Eligible Energy Savings i come from the procedures defined below, for each energy type i, and for each GHG j. Emission Factor i comes from the procedures defined in this section of the protocol and Appendix A, for each energy type i. and for each GHG j. The energy savings are calculated according to the IPMVP s equation to determine avoided energy use: Avoided Energy Use (or Savings) = Adjusted-Baseline Energy Reporting Period Energy ± Non-Routine Adjustments of baseline energy to reporting period conditions Where: Adjusted-Baseline Energy is defined as the baseline energy plus any routine adjustments that are required to adjust it to the reporting period conditions. The Protocol identifies three savings quantification options (A, B or C), which differ based on the location of the project boundary whether the boundary is drawn around the ECM equipment (retrofit isolation options A) or the whole building (option B). The availability of information will dictate which approach is most suitable for a particular building. Where baseline or monitoring period data are unreliable or unavailable, energy data from a calibrated simulation program can replace the missing data for part or all of the building and the calibrated simulation (option C) would be used. Baseline information typically required includes: Energy consumption values with meter reading intervals at various locations depending on the quantification option selected; Static factors: Energy-governing characteristics of a building that affect energy use but which are not used as the basis for any routine adjustments, such as building size, occupancy type, building light and temperature levels, etc.; and Independent variables: Energy-governing characteristics of a building that are expected to change regularly, such as weather, output in a manufacturing plant, etc. Quantification options are outlined in Table 6 below; refer to Appendix C for additional guidance on the option selection process. Table 6 Savings Quantification Options 30

36 Green Building Protocol Option Savings Calculation Methodology Typical Applications A. Retrofit Isolation: Key Parameter (Multiple Parameter) Measurement Savings are determined by field measurement of the key performance parameter(s) that define the energy use of the ECM s affected system(s) and/or the success of the project. Measurement frequency ranges from shortterm to continuous, depending on the expected variations in the measured parameter, and the length of the reporting period. Parameters not selected for field measurement are estimated. Estimates can be based on historical data, manufacturer s specifications, industry standards or detailed engineering calculations. Documentation of the source or justification of the estimated parameter is required. The plausible savings error arising from estimation rather than measurement is evaluated. Engineering calculation of baseline and reporting period energy from: Short-term or continuous measurements of key operating parameter(s); and estimated values. Emission reduction projects, where estimates of project performance parameters surrounding the ECMs can be justified prior to the project activity could apply a deemedcalculated measures approach to energy quantification For example, a high efficiency boiler retrofit program that is able to determine the annual fuel use efficiency (AFUE) of baseline and project conditions according to quantification approach described in ASHRAE Standard 103 could act as a deemedcalculated measures that are applied against project activity levels. B. Whole Facility Savings are determined by measuring energy use at the whole building or subbuilding level. Continuous measurements of the entire building s energy use are taken throughout the reporting period. Analysis of whole building baseline and reporting period (utility) meter data. Routine adjustments as required, using techniques such as simple comparison. Multifaceted energy management program affecting many systems in a facility. Measure energy use with the gas and electric utility meters for a minimum 12-month baseline period and throughout the Page 31

37 or regression analysis. reporting period. Non-routine adjustments as required. C. Calibrated Simulation Savings are determined through simulation of the energy use of the whole building, or of a sub- building. Simulation routines are demonstrated to adequately model actual energy performance measured in the building. Note: This option usually requires considerable skill in calibrated simulation. Energy use simulation, calibrated with hourly or monthly utility billing data. (Energy end use metering may be used to help refine input data.) Multifaceted energy management program affecting many systems in a building but where no meter existed in the baseline period. Energy use measurements, after installation of gas and electric meters, are used to calibrate a simulation. Baseline energy use, determined using the calibrated simulation, is compared to a simulation of reporting period energy use. Source: IPMVP Volume I, 2010 Option A: Retrofit Isolation (Single or Multiple Parameter Measurement) Option A, retrofit isolation allows the narrowing of the measurement boundary to reduce the effort required to monitor independent variables and static factors, when retrofits affect only a portion of the building. Since measurement is of less than the total facility, the results of retrofit isolation techniques cannot be correlated to the facility s total energy use shown on utility bills. Facility changes beyond the measurement boundary will not be reported by retrofit isolation techniques, but these will be included in the utility s metered consumption or demand. Narrow measurement boundaries may also introduce the possibility of leakage through unmeasured interactive effects so it will remain important to track and assess changes outside of the measurement boundary that have the potential to create leakage (See 5.1.1). Apart from small estimated interactive effects, the measurement boundary defines the metering points and the scope of any adjustments. Only changes to energy systems and operating variables within the measurement boundary must be monitored to prepare the adjustment. 32

38 Green Building Protocol Parameters may be continuously measured or periodically measured for short periods. The expected amount of variation in the parameter will govern the decision of whether to measure continuously or periodically. Where a parameter is not expected to change it may be measured immediately after ECM installation and checked occasionally throughout the reporting period. The frequency of this checking can be determined by beginning with frequent measurements to verify that the parameter is constant. Once proven constant, the frequency of measurement may be reduced. To maintain control on savings as measurement frequency drops, more frequent inspections or other tests might be undertaken to verify proper operations. Continuous metering provides greater certainty in reported savings and more data about equipment operation. This information can be used to improve or optimize the operation of the equipment on a real-time basis, thereby improving the benefit of the ECM itself. Deemed-Calculated Measures Approach A deemed-calculated measures approach may be applied to Option A if assumptions on baseline parameters can be justified. There are two primary means of justifying baseline parameters: 1) direct testing where actual measurements of the boiler are taken and conservatively calculated. 2) conservative thermal efficiency based upon regional and comparable conditions. A common example of the deemed-calculated measures approach would be a boiler efficiency program that is able to set quantifiable thresholds on baseline and project efficiencies. Option B: Whole Building Option B: Whole Building, involves use of utility meters, whole-building meters, or sub-meters to assess the energy performance of a total building. The measurement boundary encompasses either the whole building or a major section. This Option determines the collective savings of all ECMs applied to the part of the building monitored by the energy meter. Also, since whole-building meters are used, savings reported under Option B include the positive or negative effects of any non-ecm changes made in the building. Option B is intended for projects where expected savings are large compared to the random or unexplained energy variations which occur at the whole-building level. If savings are large compared to the unexplained variations in the baseline-energy data, then identifying savings will be easy. Also, the longer the period of savings analysis after ECM installation, the less significant is the impact of shortterm unexplained variations. Typically, savings should exceed 10% of the baseline energy if you expect to confidently discriminate the savings from the baseline data when the reporting period is shorter than two years. Page 33

39 Where utility supply is only measured at a central point in a group of buildings, sub-meters are needed at each building for which individual performance is assessed. Modeling Models will typically include equations derived a from regression analysis that has correlated energy consumption to one or more independent variables used for routine adjustments. Option C: Calibrated Simulation Option C, Calibrated Simulation, involves the use of computer simulation software to predict building energy. A simulation model must be "calibrated" so that it predicts an energy pattern that approximately matches actual metered data. Option C may be used to assess the performance of all ECMs in a building. However, the Option C simulation tool allows you to also estimate the savings attributable to each ECM within a multiple-ecm project. Option C may also be used to assess just the performance of individual systems within a building, akin to Options A. In this case, the system s energy use must be isolated from that of the rest of the building by appropriate meters. Option C is useful where: Baseline energy data do not exist or are unavailable. Such situation may arise for: A new construction project; or A facility expansion needing to be assessed separately from the rest of the facility. 34

40 Green Building Protocol Applicable Software Software used for calibrated simulations should be peer reviewed. The modeling software should have been calibrated against metered utility data and produced results within a 5% margin of error. The modeling software should detail all key assumptions and the data sources for all key assumptions should be properly referenced SECONDARY EFFECTS FOR OPTIONS A: RETROFIT ISOLATION The application of the retrofit isolation techniques requires that no significant energy effects be excluded from the measurement boundary. As retrofit isolation projects affect only a portion of a building/facility, narrow measurement boundaries introduce the possibility of leakage through unmeasured interactive effects. Consequently, the results of retrofit isolation techniques cannot be correlated to the facility s total energy use shown on utility bills. Secondary energy effects associated with ECMs must be measured or estimated depending on the quantification approach selected (simple or advanced) if it is deemed likely that these effects may exist. Consequently, when the measurement boundary is selected, care should be taken to ensure that energy flows affected by the ECM outside the measurement boundary are considered. The project plan must list all potential secondary effects of an ECM (positive or negative) on any energy stream, along with an estimate of the likely annual savings magnitude of each. The method of estimating each listed impact must be described, noting the factors affecting the accuracy of each estimate. The largest energy effect must be measured. All other secondary energy effects must be treated as described in Section DETERMINING ELIGIBLE ENERGY SAVINGS The fraction of energy savings eligible under this protocol depends on whether the project proponent chooses the simple or advanced monitoring approach. A multiplier factor must be applied to energy savings in order to ensure that GHG emission reductions are not over-estimated due to uncertainty in the monitoring techniques selected. A more stringent multiplier factor for the simple approach ensures more conservative calculations of GHG emission reductions whereas a less stringent multiplier is used for the advanced monitoring approach due to requirements for more accurate data collection. Eligible energy savings are determined using the following formula: Eligible Energy Savings = Energy Savings * M Page 35

41 Where: Energy Savings are derived from the equation in Section 5.1 and M is an Eligibility Multiplier factor determined as described in Section ACCURACY REQUIREMENTS In some cases such as smaller scale energy efficiency projects, the data monitoring requirements may be excessively onerous relative to the tonnes that can be achieved from ECMs. As a result, the protocol has provided flexibility around the data monitoring requirement, allowing the project proponent to opt for either a simple or advanced approach. To account for the difference in accuracy between the two approaches, two distinct eligibility multipliers for simple and advanced approaches are applied. For simple approaches, the eligibility multiplier (M) is 0.9. For advanced approaches, the eligibility multiplier is SIMPLE APPROACH For the simple approach, minimum requirements governing measurement equipment accuracy are defined in Table 7. Table 7 Minimum Meter Accuracy Requirements: Simple Approach 11 Refer to Alberta Quantification Protocol for Energy Efficiency in Commercial and Institutional Buildings v , Section for justification of eligibility multiplier values. 36

42 Green Building Protocol If measured data comes from an independent source (e.g. government weather data, electricity grid factor accepted by the BC Climate Action Secretariat and the Pacific Carbon Trust), precision is presumed at ±0%. Any parameter(s) estimated from samples for retrofit isolation projects must under Option A must achieve a 90% confidence with a ±10% precision level. The simple approach for retrofit isolation Options A shall include: Estimated (not necessarily measured) secondary effects of the ECMs listed in Table 8, and Estimated or measured secondary effects in the situations listed in Table 9. Table 8 Secondary Effects of Selected Energy Conservation Actions for Simple Approaches Page 37

43 Table 9 Additional Measurement or Estimation Requirements for Secondary Effects in Simple Approaches Any regression model shall have an R 2 statistic of at least Any independent variable in a regression model shall have a t value of at least 1.8. Whole building (Option B) projects (without the on/off test method 12 ) must adhere to the following requirements: A complete year to reflect seasonal variation. A minimum of twelve valid energy meter readings during the baseline period are required, and No baseline data points can be excluded. Note that the calibrated simulation option (Option C) is eligible only for advanced approaches. 12 Refer to IPMVP Vol. I 2010, Section for a detailed description of the on/off test method. 38

44 Green Building Protocol ADVANCED APPROACH For advanced approaches, minimum accuracy requirements are defined as follows: The project plan should present full analysis of all quantifiable uncertainties expected in the energy savings reports. For guidance on statistical techniques and concepts relevant to energy savings reports, refer to IPMVP Volume I, 2010, Appendix B. Average savings must have an expected ±10% precision at 90% confidence or better, assuming savings are achieved as planned. The advanced approach for retrofit isolation Options A or B must include: Secondary effects of the ECMs listed in Table 10 by estimation or measurement as shown, and Measurement of all secondary effects equal to or greater than 10% of the primary effect. All other secondary effects are to be estimated. Table 10 Secondary Effects for Advanced Approaches Page 39

45 When using a calibrated simulation (Option C), 13 the Coefficient of Variation of the Root Mean Squared Error or CV (RMSE) 14 of deviations between actual calibration energy data and the simulation model s predicted energy data must be less than 15% if using monthly calibration data, or 30% if using hourly data DATA AVAILABILITY, RELIABILITY AND LIMITATIONS As methodologies for reporting period data collection differ in degree of difficulty, issues of erroneous or missing data may arise. The project plan should establish a maximum acceptable rate of data loss and how this loss will be measured. The level of data loss may significantly affect cost, and should be noted in the overall consideration of accuracy. The project plan should establish a methodology to re-create missing or erroneous reporting period data using reporting period models. These models should be designed to interpolate between measured data points so that savings can be transparently calculated for each period. Baseline data should reflect real facts about energy and independent variables as they existed during the baseline period. Consequently, baseline data problems should not be replaced by modeled data, except when using Option C. All efforts should be made to ensure that the baseline period contains only real data. Where baseline data is incomplete or inadequate, other real data should be substituted, or the baseline period should be changed such that it contains only real data. The project plan should document the source of all baseline data. 13 Refer to IPMVP Vol. I 2010 for a detailed description of Calibrated Simulation Option C. 14 Refer to IPMVP Vol. I 2010, Appendix B for a detailed description and derivation of the RMSE. 15 Refer to ASHRAE Guideline Section f for examples of error ranges. 40

46 Green Building Protocol 6.0 PROJECT MONITORING Project proponents must develop a full monitoring plan that incorporates general procedures such as data collection procedures, quality assurance, chain of custody, data backup, measures to replace lost data and archiving. The monitoring plan should be specific to the ECMs implemented and the savings quantification approach selected. In order to characterize the savings effectiveness during all normal operating modes, the monitoring period should cover at least one normal operating cycle of the equipment or facility. However, the length of any monitoring period should be determined with consideration of the life of the ECM and the likelihood of degradation of originally achieved savings over time. For example, if a parameter is not expected to change, it may be measured immediately after installation and then periodically remeasured to verify that it remains constant. Alternately, parameters that change daily or hourly may warrant continuous metering. The data monitoring system design and installation should follow best practice in the industry, as defined in relevant standards and by the manufacturer of the measurement, communication and logging equipment. Meters should be selected and operated to meet the accuracy requirements specified in this protocol for both the simplified and the advanced approach. The monitoring plan should include for all parameters measured, the purpose of measurement, the type of meter to be used, units and the physical location of the meter (see Section 6.2 on data monitoring parameters). Where applicable, the manufacturer, model and serial number of sensors, meters and data loggers should be recorded. Sensor and logger range and expected accuracy, and the memory capacity of any instrument temporarily storing data should also be included in the monitoring plan. 6.1 DATA MONITORING OPTIONS & PROCEDURES SIMPLIFIED MONITORING PROCEDURE In the case of Option A, simplified monitoring procedures should consist of: Documenting the specifications of the equipment replaced; Collecting and recording all relevant variables and parameters as identified in the SSRs for both baseline and project conditions; Calculating the energy savings due to the measures installed. Page 41

47 In the case of Option B, simplified monitoring procedures should consist of: Documenting the specifications of the equipment replaced; Collecting and recording all relevant variables and parameters as identified in the SSRs for both baseline and project conditions. This includes tracking of the independent variables used to create the baseline model. Developing method of tracking and reporting changes of static factors. In the case of a new building, simplified monitoring procedures should consist of: 1) Metering the energy use of the buildings(s); 2) Calculating the energy savings of the new building(s)/facility. 3) Developing method of tracking and reporting changes of static factors EXTENDED MONITORING PROCEDURE For extended monitoring procedures, the project plan should evaluate the expected accuracy associated with the measurement, data capture, sampling and data analysis. This assessment should include qualitative and any feasible quantitative measures of the level of uncertainty in the measurements and adjustments to be used. In addition to the simplified monitoring procedures, data gathering should also include: The frequency of regular sensor readings, and the periods of metering if not continuous; Meter reading and witnessing process, if readings are done manually 16 ; and Assignment of roles and responsibilities to staff for reporting and recording the energy data, independent variables and static factors within the measurement boundary. Any required periodic calibration of sensors Meter systems may be designed to measure an accumulated quantity, or an instantaneous quantity by regular periodic sampling. Accumulating meters can have their values read on an irregular basis without impeding the quality of the resultant data because they report cumulative energy. However, when instantaneous readings are taken periodically, the frequency of meter reading is critical to the quality of the resultant data. The measurement period for instantaneous quantities must be matched to the rate of change of the quantity. 16 In order for auditors to reach the required level of assurance, project proponents should consider evidentiary techniques to document the data recordings from metered readings. Date stamped pictures of the meter readings is one approach to improve robustness of monitoring procedures. 42

48 Green Building Protocol When periodically sampling the values of a quantity by instantaneous rather than cumulative measurement, the project plan must show the expected rate of rate of change of the quantity. It must also show how the selected measurement frequency allows the net measurement error to meet the accuracy requirements of the simple or advanced approach. However, it is necessary that all baseline and project data associated with each project activity be available for review if requested by the third party verifiers. The simplest sampling situation is that of randomly selecting n units from a total population of N units. In a random sample, each unit has the same probability of being included in the sample. However, sampling creates errors because not all units under study are measured; therefore, sampling error must be estimated by the project proponent. The mean of the readings from such random samples can be taken as valid readings of the entire group, providing the random sampling error meets the requirements of the simple or advanced approach CONTINGENCY PROCEDURES It is not uncommon for metering or measurement technologies to experience downtime, for meters to reach memory storage limits, or for data to be lost. Consequently, the project plan should include contingency procedures to guard against failure of any aspect of the monitoring plan. These procedures must address how contingency monitoring procedures will be incorporated into the quality management system, particularly the quantification methodology. It should be noted that any data collected outside of the specified contingency procedures is not be eligible for GHG reductions. 6.2 MONITORING PARAMETERS Monitoring criteria and procedures shall be applied on a regular basis during project implementation. Project proponents must fully document project-specific details of the methodologies used to calculate baseline and project emissions (e.g. specific type of meter used, specific procedure used where multiple options exist, etc.) in a monitoring plan outlined in the project plan. Where emission factors are required, project proponents should use emission factors recognized by the BC government unless the appropriate emission factor is unlisted or the project proponent justifies the use of another emission factor that would be more accurate and/or more conservative. 17 Project proponents requiring further understanding of the statistical best practices to determine random sampling error are encouraged to consult the IPMVP Page 43

49 6.3 DATA MANAGEMENT All monitored data should be stored in electronic databases that are tailored to meet project requirements and ease of access for audit purposes; the project plan should state the place of archived data collection and the frequency of archiving. Access, or a complete extract of the database, should be made available to the project auditor with each monitoring report. 6.4 QUALITY ASSURANCE/QUALITY CONTROL (QA/QC) Measures for quality assurance and quality control (QA/QC) can be applied to add confidence that all measurements and calculations have been made correctly. Such measures include, but are not limited to: Protecting monitoring equipment (using sealed meters and data loggers); Protecting records of monitored data (hard copy and electronic storage); Checking data integrity on a regular and periodic basis (manual assessment, comparing redundant metered data, and detection of outstanding data/records); Comparing current estimates with previous estimates as a reality check ; Provide sufficient training to operators to perform maintenance and calibration of monitoring devices; Establish minimum experience and requirements for operators in charge of project and monitoring; Performing recalculations to ensure accuracy of mathematical calculations. In addition, the project plan and project report must be validated and verified by a program-accredited third-party validation and/or verification body EQUIPMENT CALIBRATION PROCEDURES Any measurement equipment used for data monitoring should be calibrated and regularly maintained according to the manufacturer s specifications and relevant national or international standards. Sensors and metering equipment should be selected based in part on the ease of calibration and the ability to hold calibration. Project proponents should detail methods for undertaking calibration procedures and maintenance frequency in order to verify that measurement equipment is still in place and operating as assumed. This information must be stored in a secure location and kept throughout the life of the project. 44

50 Green Building Protocol 7.0 REPORTING This section provides requirements and guidance on reporting rules and procedures. Project proponents must submit independent third-party verified emission reduction reports to the program regulator. 7.1 STAKEHOLDER Although energy efficiency projects typically do not adversely affect external stakeholders, it is incumbent upon the project proponent to identify situations where external stakeholders may be affected and demonstrate how these concerns have been mitigated. This process may involve systematically identifying relevant stakeholders and holding a stakeholder engagement meeting. 7.2 PROJECT DOCUMENTATION The Project must submit the appropriate documentation as stipulated under the latest version of the BC Emission Offsets Regulation. 18 In addition, PoAs are required to submit additional documentation as stipulated in the BC Program of Activities Guidance Document RECORD KEEPING The project proponent must retain the project plan and project report in accordance with the requirements stipulated under the BC EOR. 18 Source: 19 Source: Page 45

51 8.0 GLOSSARY 20 Adjusted-baseline Energy: The energy use of the baseline period, adjusted to a different set of operating conditions. Avoided energy use: The reduction in energy use that occurred in the reporting period, relative to what would have occurred if the building had been equipped and operated as it was in the baseline period but under reporting period operating conditions. Cost avoidance is the monetary equivalent of avoided energy use. Both are commonly called savings. Normalized savings is another type of savings. Baseline adjustments: Non-routine adjustments arising during the reporting period from changes in any energy-governing characteristic of the building within the measurement boundary, except the named independent variables used for routine adjustments. Routine adjustments are included in the construction of the baseline model. Baseline energy: The energy use occurring during the baseline period without adjustments. Baseline period: The period of time chosen to represent operation of the building or system before implementation of an ECM. This period may be as short as the time required for an instantaneous measurement of a constant quantify, or long enough to reflect one full operating cycle of a system or facility with variable operations. Baseline: Performance during the baseline period. Building A building is defined as a discreet structural unit Many of the following definitions have been taken from IPMVP Volume I,

52 Green Building Protocol Confidence level: The probability that any measured value will fall within a stated range of precision. Constant: A term used to describe a physical parameter that does not change during a period of interest. Minor variations may be observed in the parameter while still describing it as constant. The magnitude of variations that are deemed to be minor must be reported in the project plan. Commissioning: A process for achieving, verifying and documenting the performance of equipment to meet the operational needs of the facility within the capabilities of the design, and to meet the design documentation and the owner s functional criteria, including preparation of operating personnel. Cycle: The period of time between the start of successive similar operating modes of a building or piece of equipment whose energy use varies in response to operating procedures or independent variables. For example, the cycle of most buildings is 12 months since their energy use responds to outdoor weather, which varies on an annual basis. Another example is the weekly cycle of an industrial process, which operates differently on Sundays than during the rest of the week. Deemed-calculated measures : An approach to estimating savings that employs simplified, pre-defined and possibly standardized parameters that utilize a combination of deemed or default input assumptions with some site-specific inputs. An example would be an energy efficiency program that establishes baseline and project boiler efficiencies but utilizes project data to determine the baseline. Page 47

53 Degree-day: A degree-day is a measure of the heating or cooling load on a facility created by outdoor temperature. When the mean daily outdoor temperature is one degree below a stated reference temperature such as 18 C, for one day, it is defined that there is one heating degree-day. If this temperature difference prevailed for ten days, there would be ten heating degree-days counted for the total period. If the temperature difference were to be 12 degrees for 10 days, 120 heating degree-days would be counted. When the ambient temperature is below the reference temperature, it is defined that heating degree-days are counted. When ambient temperatures are above the reference, cooling degree-days are counted. Any reference temperature may be used for recording degree-days, though it is usually chosen to reflect the temperature at which a particular building no longer needs heating or cooling. ekwh (Equivalent kilowatt hours): A unit of measurement that is used to represent non-electric energy use in electrical energy terms. Standard conversion factors are used to determine ekwh. Energy Conservation Measure (ECM): An activity or set of activities designed to increase the energy efficiency of a facility, system or piece of equipment. ECMs may also conserve energy without changing efficiency. Several ECMs may be carried out in a facility at one time, each with a different thrust. An ECM may involve one or more of: physical changes to facility equipment, revisions to operating and maintenance procedures, software changes, or new means of training or managing users of the space or operations and maintenance staff. An ECM may be applied as a retrofit to an existing system or facility, or as a modification to a design before construction of a new system or facility. 48

54 Green Building Protocol Estimate: A process of determining a parameter used in a savings calculation through methods other than measuring it in the baseline and reporting periods. These methods may range from arbitrary assumptions to engineering estimates derived from manufacturer s rating of equipment performance. Equipment performance tests that are not made in the place where they are used during the reporting period are estimates, for the purposes of adherence with IPMVP. Existing building: An existing building is defined as any building that was already established prior. Extensions to existing buildings that are supplied heat or electricity through an existing meter would not constitute a new building but rather would be treated as a non-routine adjustment to an existing building. An existing building is contrasted with new building. Functional equivalence: Enables a meaningful comparison between the project and baseline scenarios where services and activity have been adjusted such that the baseline delivers the same types and levels of products/services as the project. For example, a biomass boiler and natural gas-fired boiler that both deliver the same quantify and quality of heat are functionally equivalent. Green Building Project A project that undertakes a one or more ECMs. Independent variable: A parameter that is expected to change regularly and have a measurable impact on the energy use of a system or facility. Interactive effects: Energy effects created by an ECM but not measured within the measurement boundary. Measurement boundary: A notional boundary drawn around equipment and/or systems to segregate those items which are relevant to savings determination from those which are not. All energy uses of equipment or systems within the measurement boundary must be measured or estimated, whether the energy uses are within the boundary or not. Page 49

55 Metering: Collection of energy data over time at a facility through the use of measurement devices. New building: A new building is defined as any structure that is not connected to an existing building and has a separate energy meter. A new building cannot draw upon from historical data and, therefore, must use models (Option C) and building code regulations to establish baseline conditions. A series of new building with one energy meter would constitute a new facility definition. Non-routine adjustments: Individually engineered calculations to account for changes in static factors within the measurement boundary since the baseline period. When non-routine adjustments are applied to the baseline energy they are sometimes just called baseline adjustments. In this protocol, nonroutine adjustments also account for changes in the surplus characteristics of the project. Normalized savings: The reduction in energy use or cost that occurred in the reporting period relative to what would have occurred if the facility had been equipped and operated as it was in the baseline period but under a normal set of conditions. These normal conditions may be a long-term average, or those of any other chosen period of time, other than the reporting period. Normal conditions may also be set as those prevailing during the baseline period, especially if they were used as the basis for predicting savings. If conditions are those of the reporting period, the term avoided energy use, or simply savings, is used instead of normalized savings. Precision: The amount by which a measured value is expected to deviate from the true value. Precision is expressed as a ± tolerance. Any precision statement about a measured value should include a confidence statement. For example, a meter s precision may be rated by the meter manufacturer as ±10% with a 95% confidence level. 50

56 Green Building Protocol Proxy: A measured parameter substituted in place of direct measurement of an energy parameter, where a relationship between the two has been proven on site. For example, has been proven between the output signal from a variable speed drive controller and the power requirements of the controlled fan, this output signal is a proxy for fan power. Routine adjustments: Calculations made by a formula shown in the Project Plan to account for changes in selected independent variables within the measurement boundary since the baseline period. Savings: The reduction in energy use resulting from implemented ECMs. Physical savings may be expressed as avoided energy use or normalized savings. Savings are not the simple difference between baseline and reporting period utility bills or metered quantities. Site energy: The energy quantity measured at an end user s site, without consideration of upstream energy delivery system s energy use. Static factors: Those characteristics of a facility that affect energy use, within the chosen measurement boundary, but which are not used as the basis for any routine adjustments. These characteristics include fixed, environmental, operational and maintenance characteristics. Page 51

57 9.0 REFERENCES The development of this quantification protocol included review of existing peer-reviewed protocols and guidance documents including: Alberta Environment GHG Quantification Protocol for Energy Efficiency in Commercial and Institutional Buildings (draft). ANSI/ASHRAE & Standard 90.1, Energy Efficient Design of New Buildings Except Low-Rise Residential Buildings. ASHRAE Guideline Measurement of Energy and Demand Savings CDM Executive Board AMS-II.E Energy Efficiency and Fuel Switching Measures for Buildings, Version 10. Delphi Group Freight Modal Shifting GHG Protocol, British Columbia-Specific Version, March. Delphi Group Fuel Switching from Fossil Fuel-Fired Energy Generation to Less GHG-Intensive Fossil Fuel or Renewable Energy Sources, June. Environment Canada Canada s Offset System for Greenhouse Gases. Guide for Protocol Developers (draft), August. EVO International Performance Measurement and Verification Protocol (IPMVP): Concepts and Options for Determining Energy and Water Savings, Volume I, September. EVO International Performance Measurement and Verification Protocol (IPMVP): Concepts and Options for Determining Energy Savings in New Construction, Volume III, Part I, January. EVO International Performance Measurement and Verification Protocol (IPMVP), Concepts and Practices for Determining Energy Savings in Renewable Energy Technologies Applications, Volume III, August. 52

58 Green Building Protocol ISO :2006, Specification with Guidance at the Project Level for Quantification, Monitoring and Reporting of Greenhouse Gas Emission Reductions or Removal Enhancements. ISO 14040:2006. Environmental Management: Life Cycle Assessment, Principles and Framework. REALpac Energy Normalization Methodology, v1.02. U.S. EPA EnergyStar Performance Ratings: Technical Methodology, June. U.S. EPA Direct HFC and PFC Emissions from Use of Refrigeration and Air Conditioning Equipment. U.S. National Action Plan for Energy Efficiency Model Energy Efficiency Program Impact Evaluation Guide, November. WRI/WBCSD Greenhouse Gas Protocol for Project Accounting. Page 53

59 10.0 ADDITIONAL INFORMATION The BC Green Building Protocol provides requirements and guidance for quantifying direct and indirect GHG emission reductions associated with eligible ECMs implemented in new and existing buildings. For information on designing and implementing green building measures, please refer to resources such as: Canada Green Building Council Lighthouse Sustainable Building Centre Building Owners and Managers Association of British Columbia (BOMA) Built Green Canada Green Globes Efficiencies Valuation Organization 54

60 Green Building Protocol APPENDIX A: EMISSION FACTORS Emission factors are metrics used to relate the quantity of GHG emissions generated to levels of activity data, and are determined using mass balance or other relationships under average conditions applicable to a specific region. Project proponents should use the most recently available emission factors. Where applicable, the most site-specific emission factors should be used and justified. Project proponents should consult with the regional authority (Ministry of Environment) GHG emission factors used in calculations of fuel combustion and electricity emissions in buildings. It is the responsibility of the project proponent to verify that all emission factors used for quantification purposes are the most recent emission factors available. Project proponents must ensure that they are using the most representative emission factor for their calculations and may be required to consult additional sources such as Canada s National Inventory Report (Environment Canada) 21 or the Western Climate Initiative (WCI) Source: 22 Source: Page 55

61 APPENDIX B: DETERMINING FUNCTIONAL EQUIVALENCE Eligible GHG emission reductions are determined by comparing project GHG emissions with GHG emissions that would have occurred under the baseline scenario. Where a whole building approach (Option B) to calculating baseline emissions is employed, GHG emission reductions are typically modeled using historical data. For this comparison to be meaningful, project proponents are required to normalize data for operating parameters that define the building activity. The services and/or activity levels provided by the project must compare in both quantity and quality to the same areas in the baseline. This type of comparison is termed functional equivalence. Functional equivalence is addressed during the monitoring phase and the underlying assumptions of the model are assessed to determine if they are still relevant. Project proponents may need to make nonroutine adjustments to ensure that the facility remains functionally equivalent. Demonstrating a project s functional equivalence typically requires a common metric for comparison between the project activity and the baseline activity. Project proponents should: Identify an appropriate common metric (see Section B.1 below), determine a common unit of measure; and List and explain similarities and differences in quantification between the baseline and project activities. B.1 EXAMPLES OF COMMON METRICS The U.S. Environmental Protection Agency (EPA) s Energy Star Performance Ratings methodology has used a simple regression analysis to identify key metrics that can be used to estimate the energy use intensity (EUI, in kbtu per square feet) for a number of different building types. Differences in energy use in buildings of the same type can typically be explained by variation in factors that describe the physical operation of the building. Project proponents should determine which factors are routine adjustments and which factors are non-routine adjustments. Furthermore, because energy consumption is affected by multiple independent variables, the selection of relevant independent variables which subsequently become routine adjustments to the model is determined statistically. Common routine adjustments: These factors may include, but are not limited to: temperature variation timing of activities (both on a daily and seasonal basis) hours of operation per week 56

62 Green Building Protocol Common non-routine adjustments: These factors may include, but are not limited to: square footage (gross area) the primary services undertaken in the building number of personal computers or cash registers, per 1000 square feet number of refrigeration units, per 1000 square feet number of rooms (for hotels), seats (for places of worship) or beds (for hospitals), per square foot the presence of a commercial kitchen and size, if applicable Note: Many of the above routine and non-routine adjustments result in changes in building occupancy. While building occupancy levels may provide an indicator of functional change, the nature of the change is often more important than the fact that occupancy levels have changed as these may not be well correlated with changes in building energy use. The type and relative importance of each variable may differ for each building type. Project proponents must provide justification for why selected common metrics are the most appropriate. Other variables that do not define activity within a building are excluded from normalizing building operation. B.2 CALCULATING WEATHER VARIATION Heating Degree Days (HDD) and Cooling Degree Days (CDD) are used as appropriate indicators of weather conditions including average daily temperature, temperature maximum and minimum values, humidity and cloud cover. HDD and CDD measure the deviation from a temperature (e.g. 18 degrees Celsius) over the course of the year. These parameters reflect the heating and cooling requirements of a building, relative to the average temperature, and thus are determined to have significant impacts on energy intensity and energy use of a building. For instance, each day with an average temperature lower than 18 degrees, HDD is the difference between the average temperature and 18 degrees. The annual HDD is the sum of this difference across all days with an average temperature below 18 degrees. CDD is calculated in a similar manner to measure deviations above 18 degrees. B.3 CALCULATING AREA Page 57

63 The gross area of a facility typically includes the area defined as exterior gross area, as well as other areas that have a structural floor, or are covered by a roof or canopy that are typically unenclosed but within the building perimeter. The exterior gross area is the total floor area contained within the measure line generally the outside surface of the exterior enclosure of building including structured parking. For further detail, project proponents should refer to Gross Areas of a Building: Methods of Measurement (ANSI/BOMA Z65.3: 2009). This document provides guidance on how to classify building spaces, and also defines relevant terms describing non-standard areas of a building such as connectors, mezzanines, restricted headroom areas and vault spaces. B.4 VARIANCE IN ENERGY CONSUMPTION Where tenant energy consumption varies significantly and unavoidably due to space functionality e.g., high intensity energy use data centers, non-stop operations and retail space, such energy use should be sub-metered. This type of adjustment is incorporated in order to avoid penalizing property owners for the activities and energy usage of their tenants, and to indirectly incent tenants to reduce their energy consumption through sub-metering energy use. B.5 OWNERSHIP In buildings where multiple tenants are present, the project proponent must demonstrate that a superior claim of ownership can be made. 58

64 Green Building Protocol APPENDIX C: OPTION SELECTION GUIDE (PROTOCOL FLEXIBILITY OPTIONS) Selection of the quantification option will be based on various factors including project conditions, required analysis, budget and professional judgment. Table A1 provides further assistance for the option selection process based on project characteristics. Table A1 Suggested Option Selection Based on Project Characteristics P a g e 59