Executive summary:This assignment focuses on energy efficiency in both refurbishing buildings and in Commercial Buildings.It also investigates methods such as the SPP, ROR and IRR to calculate the most energy efficient solutions.The assignment outlines the role of the COAG and summarises the legal requirements in accordance with NCC Volume 1 Part J1 (energy efficiency).It also explores energy efficiency regulations in commercial building services such as the CBD Program and its compliance issues, NABERS and BEEC. | | |
CONTENTS
Title Page 1
Contents 2
Question 1: Council of Australian Governments 3-4
Question 2 (i): SPP and ROR Calculations 5
Question 2 (ii): Internal Rate of Return 4
Question 3: NCC Volume 1 Part J1 (Building Fabric) 6
Question 4 (i): CBD Program 7
Question 4 (ii): Compliance Issues 7
Question 4 (iii): NABERS and BEEC 8
References 9
Question 1
How does the Council of Australian Governments (COAG) hope to improve energy efficiency in the Australian economy? How will this affect the building industry?
In 2009, retail buildings accounted for the largest share of energy consumption in commercial buildings with office buildings not far behind.
The Council of Australian Governments (COAG) states that the total energy consumption for all commercial buildings is expected to rise by 24% over the period 2009 to 2020.
The COAG implemented a method to improve energy efficiency was by adopting the National strategy on energy efficiency on 2 July 2009- which targeted the building industry including commercial, residential and business buildings.
Energy use in commercial buildings accounts for around 10 per cent of Australia’s greenhouse gas emissions; Residential buildings consume a significant amount of energy and this energy consumption leads to around 10.5 per cent of Australia’s total greenhouse emissions; Appliances and equipment account for a considerable share of the energy consumption in residential, commercial and industrial sectors of the economy. The products include hot water systems, heating, ventilation and cooling systems, light globes and lighting systems, whitegoods, consumer electronics, electric motors and motor drive systems, compressed air systems and many others; Industry and business accounts for almost half of Australia’s total energy end-use, and includes the mining, manufacturing and construction sectors that together are the largest energy users in the Australian economy.
It is a vital part of the strategy to combat climate change and reduce the cost of these emissions through better energy efficiency. The National strategy aims to reduce the impact of rising electricity prices and improves the productivity of the Building industry and the economy in general.
As a first step, Governments have agreed to the following measures: * To significantly increase energy efficiency requirements for all classes of commercial buildings in the Building Code of Australia (BCA) from 2010; * To increase energy efficiency requirements for new residential buildings to target a minimum of six stars, or equivalent, in the BCA 2010 update, as well as introducing new efficiency requirements for hot-water systems and lighting; * Mandatory disclosure of the energy efficiency of commercial buildings and tenancies commencing in 2010; * Mandatory disclosure of residential building energy, greenhouse and water performance at the time of sale and lease, commencing with energy efficiency by May 2011. * Minimum energy performance requirements for new buildings and major refurbishment. The National Construction Code now includes energy efficiency measures for all building classifications. * Energy ratings for commercial buildings. The National Australian Built Environment Rating System (NABERS) rates buildings from zero to six stars, with six stars representing exceptional greenhouse performance and energy savings. * Energy Efficient homes package and State and Territory incentive programs.
Governments hope their Strategies will affect the Building industry in a number of ways: * Drive substantial growth in the number of highly energy efficient homes and commercial buildings. * An estimated 150,000 new houses and apartments and an estimated 26,500 commercial building projects are constructed in Australia each year. Higher energy efficiency standards will apply to all these new homes and commercial projects, as well as the significant number of major building renovations that take place each year. * Higher efficiency performance for around eight million existing homes will also be achieved through measures such as the national Energy Efficient Homes Package and State and Territory residential energy efficiency programs. In addition, a range of measures will target new and existing commercial buildings. * Enable Australians to purchase highly energy efficient appliances and equipment for residential, commercial and industrial applications.
The COAG aims to help households and businesses transition to a low carbon future; reducing impediments of their uptake in energy efficiency. As the changes take place over time we will not only be making buildings more energy efficient, but seeing a change in the overall appearances as older traditional buildings slowly faze out, newer environmental friendly buildings start to take their place now and into the future.
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: Some of the sustainable buildings that are popping up around the world.
Question 2
You are presented with two options to save running costs when refurbishing an existing building by reducing energy consumption.
Option 1: Spend $100,000 and save $15,000 in annual energy costs. However this will increase annual maintenance costs by $3,000.
Option 2: Spend $80,000 and save $10,000 in annual energy costs. However this will increase annual maintenance costs by $2,500.
(1) Use Simple payback period (SPP) and rate of return on investment (ROR) to determine which the option you would recommend. Show all workings.
SPP = net investment / net annual cost savings
Option 1: 100k/12k = 8.34 (8.3 years)
Option 2: 80k/7.5k = 10.67 (10.7 years)
ROR = net annual cost savings / net investment
Option 1: 12k/100k = 0.12 (12% ROR)
Option 2: 7.5k/80k = 0.09 (9% ROR)
(2) How would using the internal rate of return (IRR) method assist with making this investment decision? What additional information would you require?
To calculate the internal rate of return (IRR) you would need additional software and the knowledge of where the lifetime savings are exactly equal to the lifetime costs to get the calculated discount rates at which the investment keeps earning a profit.
Question 3
Using NCC Volume 1 Part J1 (energy efficiency) briefly explain to a client what you must consider when designing the building fabric of an office building to make it comply with the regulations.
An office building would need to comply with standards and follow DTS provisions under the clauses for a Class 5 Building. The NCC 2013 requires all Class 2 to 9 buildings to achieve efficient use of energy; under Section J titled ‘Energy Efficiency.’ There are eight Deemed-to-Satisfy subsections, J1 to J8, which focus on separate aspects of energy efficiency: they are; Part J1 - Building Fabric focuses on the minimum thermal performance constructions for roofs, ceilings, roof lights, walls, and floors in the relevant climate zone; Part J2 - External Glazing – Minimum thermal performance for the glazing in the relevant climate zone; Part J5 - Air-Conditioning and Ventilation Systems – Requirements to ensure these services are used and use energy in an efficient manner; Part J6 - Artificial Lighting and Power – Requirements for lighting and power to ensure energy is used efficiently within a building; Part J7 - Hot Water Supply; and Part J8 - Access For Maintenance and Facilities for Monitoring.
Volume 1 Part A1 of the BCA states the climate zone for Brisbane is 6 and as it is an office, the proposed building will be a Class 5 building in accordance with BCA Volume 1 Part A3.
BCA Part J1 requires the fabric of the building to be treated to improve its thermal performance.
The Class 5 building's roof in this particular climate zone is required to achieve a minimum Total R-value of 3.7 in the downward direction if un-painted galvanising. Specification J1.3, states that a ventilated pitched metal roof with a flat ceiling achieves a Total R-Value of 0.72. This means that additional insulation that achieves a minimum R-Value of 2.08 in the downward direction is required to be installed in the roof. This can be achieved by installing bulk insulation or a combination of bulk and reflective insulation. J1.2 (a) states that where insulation is required it must comply with AS/NZS 4859.1. J1.2 (b) describes the use or sheet reflective insulation materials.
Roof lights allow light into internal areas of a building thus reducing the amount of energy used for artificial lighting. In allowing the entry of light they also reduce the thermal rating of the building envelope as the roof light covering of polycarbonate or glass has a very low R Value.
Class 5 external walls are required to achieve a minimum Total R-Value of 1.4 and satisfy the relevant glazing energy index.
I would provide the client with the relevant BCA references and tables etc as well as a list of products and prices that would best suit the project and satisfy the provisions required.
Question 4
(1) Briefly explain the Commercial Building Disclosure (CBD) program.
The CBD Program is an initiative of the Council of Australian Governments (COAG). It was established by the Building Energy Efficiency Disclosure Act 2010 and is managed by the Australian Government Department of Industry.
The Commercial Building Disclosure (CBD) Program aim is to improve the energy efficiency of Australia's large office buildings and to ensure prospective buyers and tenants are informed before making their decision to purchase.
The Australian Government Department of Climate Change and Energy Efficiency manage and monitors the CBD Program.
(2) When is compliance with this program required?
The CBD requires energy efficiency information to be provided in the majority of cases when commercial office space of 2000 square metres or more is offered for sale or lease, including; most building owners who are selling or leasing office space with an area of 2000 square metres or more, and most tenants who are subleasing part of their tenancy with a minimum area of 2000 square metres.
(3) What is NABERS energy rating and how is it used to obtain a building energy efficiency certificate (BEEC).
The NABERS Energy for offices rating is a national rating system that measures building performance on a scale of zero to six stars. A zero-star rating means the building is performing well below average and has lots of scope for improvement. A six-star rating indicates a market leading performance, with half the greenhouse gas emissions or water use of a five-star building.
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The CBD Program requires a NABERS Energy rating for affected buildings. NABERS is a national rating system that measures the environmental performance of Australian buildings, tenancies and homes. The CBD Program integrates the NABERS Energy for Offices rating into the information disclosed to prospective buyers and tenants of large commercial office spaces.
NABERS is managed by the NSW Office of Environment and Heritage on behalf of the Australian, state and territory governments.
BEECs are valid for up to 12 months and include: * the building's National Australian Built Environment Rating System (NABERS) Energy star rating * a tenancy lighting assessment of the relevant area of the building * General energy efficiency guidance.
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In order to obtain a BEEC you need to have: * A NABERS rating for the space, performed by an accredited NABERS assessor. * A CBD Tenancy Light Assessment performed by an accredited CBD assessor. * General guidance as prescribed under the Energy Efficiency Disclosure Determination 2011. A BEEC will provide information relating to the energy efficiency of the lighting systems and general energy efficiency information for commercial buildings; * Base building NABERS rating. * Building and accredited assessor details. * Tenancy lighting assessment.
References
BLAR1304 Building Systems and Services, Term 1 2014, Study Guide, Central Queensland University, QLD
(1) http://www.cbd.gov.au/get-and-use-a-rating/nabers-energy-for-offices-star-ratings (viewed 24/02/2014) (2) http://www.cbd.gov.au/overview-of-the-program/what-is-cbd (viewed 24/02/2014) (3) http://www.nabers.com.au (viewed 25/02/2014)
(4) https://www.coag.gov.au (viewed 05/03/2014) 