Phoenix Convention Center Phoenix, Arizona Institutional Change for Sustainability Institutional Change Hayes Jones FEMP August 11, 2015

Energy Exchange : Federal Sustainability for the Next Decade Challenge of Energy Management Role of Institutional Change in Energy Management Agenda

Energy Exchange : Federal Sustainability for the Next Decade Managing Energy is Challenging 3

Energy Exchange : Federal Sustainability for the Next Decade Outcome Based RequirementsDesign Standards Requirements Authority/Requirements for Federal Government

Energy Exchange : Federal Sustainability for the Next Decade Prescriptive Process Requirements Authority/Requirements for Federal Government

Energy Exchange : Federal Sustainability for the Next Decade 6 Funding Challenges Performance contracts offer a great solution for organizations: Use proven technologies to save energy No capital required, paid for with savings The technology and economics are solved. Why doesn’t everyone want an ESPC?

Energy Exchange : Federal Sustainability for the Next Decade 7 We’ve made great progress to date!

Energy Exchange : Federal Sustainability for the Next Decade Agency Achievement 46.2% reduction from % reduction from 2003 US Federal Government has made significant strides to reduce energy intensity and GHG emissions –Has reduced building energy intensity by 46.2% from 1975 and 20.6% from 2003 –Buildings and hospitals 30% and 20% more efficient than CBECs stock.

Energy Exchange : Federal Sustainability for the Next Decade 9 How can we continue to improve?

Energy Exchange : Federal Sustainability for the Next Decade 10 Technologies

Energy Exchange : Federal Sustainability for the Next Decade 11 Institutions and People Navy Achieved 50% Savings through integration of Technology and Behavior

Energy Exchange : Federal Sustainability for the Next Decade Develop and provide to agencies systematic, evidence-based guidance, training and tools supporting effective organizational and individual behavior change for achieving the goals of Executive Order Increase the effectiveness of FEMP programmatic activities through the application of evidence-based program design principles. Increase the likelihood that results achieved will be significant and persistent. FEMP Institutional Change Team

Energy Exchange : Federal Sustainability for the Next Decade Significant institutional change creates new standard ways of operating that drive energy efficiency, renewable energy utilization and greenhouse gas emission reductions. Persistence occurs when significant institutional change is embedded into organizational roles, rules and tools in a manner that creates a new, sustainable way of doing business that is transmitted over time through organizational culture. FEMP Institutional Change Team

Energy Exchange : Federal Sustainability for the Next Decade 14 FEMP Institutional Change Team Gaps between expected and achieved results are commonplace “Simple” or “streamlined” are often neither Information is not action Technology does not equate to use or consistent use Organizations and agencies are complex systems requiring multiple entry points Because many barriers are not technical or economic... The Institutional Change Team... Acknowledges and addresses these challenges Uses a whole-system approach Emphasizes context Identifies the gaps and understands why they exist Converts knowledge into action Reframes and expands options

Energy Exchange : Federal Sustainability for the Next Decade Alignment of context, individual behavior and technology maximizes potential results. And, not or. FEMP focus is on the institutional context of the Federal government. Context TechnologyBehavior FEMP Institutional Change Team

Energy Exchange : Federal Sustainability for the Next Decade 1.Employer – employee behavior expectations can be modified to encompass sustainable performance 2.Leadership hierarchy exists or can be created 3.Modifying key roles can leverage large changes 4.Rules can be created or modified to enable, or reduce barriers, to change 5.Tools can be created or modified to enable change or reduce barriers to change 6.Institutional culture can cause changes to persist Why Institutional Focus? FEMP Institutional Change Team

Energy Exchange : Federal Sustainability for the Next Decade 17 FEMP Institutional Change Team Continuous Change for Sustainability

Energy Exchange : Federal Sustainability for the Next Decade 18 FEMP Institutional Change Team

Energy Exchange : Federal Sustainability for the Next Decade Leverage leadership of key roles Connect to what motivates action (mission) Make explicit, public commitments Find success and clone it (bright spots, best practices) Measure progress and provide actionable feedback Create enabling institutional, physical environment Engage individuals and empower action Plan and build for the long term Eight Evidence-Based Principles FEMP Institutional Change Team

Energy Exchange : Federal Sustainability for the Next Decade 20 FEMP Institutional Change Team Continuous Change for Sustainability

Energy Exchange : Federal Sustainability for the Next Decade Questions? Federal Energy Management Program Contact Information Hayes Jones