1. The Power of Information: Rating and Disclosing Building Energy Performance Alexandra Sullivan US EPA, ENERGY STAR December 2, 2009

2. 2 Agenda  ENERGY STAR Ratings  Objective  Characteristics  Technical foundation  Accessibility  Energy Rating and Disclosure  Benefits  Market Interest  Key to Success  Questions and Discussion

3. 3 ENERGY STAR Ratings Objective  Help businesses protect the environment through superior energy efficiency  Motivate organizations to develop a strategic approach to energy management  Convey information about energy performance in a simple metric that can be understood by all levels of the organization

4. 4 ENERGY STAR Ratings Characteristics  Monitor actual as-billed energy data  Create a whole building indicator  Capture the interactions of building systems not individual equipment efficiency  Track energy use accounting for weather and operational changes over time  Provide a peer group comparison  Compare a building’s energy performance to its national peer group  Track how changes at a building level alter the building’s standing relative to its peer group

5. 5 ENERGY STAR Ratings Technical foundation  Analyze national survey data  Commercial Building Energy Consumption Survey (CBECS)  Develop regression models to predict energy use for specific space types based on operations  Create scoring lookup table  Ratings are based on the distribution of energy performance across commercial buildings  One point on the ENERGY STAR scale represents one percentile of buildings  Buildings that perform in the 75th percentile or better can earn the ENERGY STAR label

6. 6 ENERGY STAR Ratings Technical foundation  The rating does  Evaluate as billed energy use relative to building operations  Normalize for operational characteristics (e.g., size, number of employees, walk-in refrigeration, climate)  Depend on a statistically representative sample of the US commercial building population  The rating does not  Attempt to sum the energy use of each piece of equipment  Normalize for technology choices or market conditions (e.g., type of lighting, energy price)  Explain how or why a building operates as it does

7. 7 Medical Offices Office Buildings HospitalsWarehousesDormitoriesSupermarketsCourthouses K-12 Schools Bank/Financial Institutions Hotels Wastewater Treatment Plants Retail Stores Eligible Space Types Houses of Worship

8. 8 ENERGY STAR Ratings Accessibility: Portfolio Manager  Free on-line tracking and benchmarking tool  Available for any building  Track energy use  Site EUI  Source EUI  Weather normalized source EUI  National average comparisons  Energy performance ratings (for selected spaces)  Track energy costs  Track carbon emissions using eGRID  Track water consumption  Data sharing functions and automated data import  Apply for ENERGY STAR recognition

9. 9 Statement of Energy Performance

10. 10 Certificate for Display

11. 11 Energy Rating and Disclosure Benefits  Identify inefficiency  There is a great potential for cost-effective energy efficiency across the national building stock  Better information on how much energy buildings use and how buildings compare to one another is critical to fulfilling this potential  Provide a whole building assessment  Energy assessment at the building level reveals information about how technologies interact and influence performance  Improve energy performance  Simple metrics are powerful motivators for change, spurring efficiency improvements within public and private organizations  Metrics that can be easily quantified can be tracked regularly and communicated within and among organizations  Maintain savings  Simple quantifiable measures can be tracked year-to-year to ensure persistence of savings  Almost 40% of ENERGY STAR labels each year are earning a label for the second or third time

12. 12 Energy Rating and Disclosure Growing Interest  Organizations and businesses  Internal energy management tracking  Internal disclosure of scores (store managers, regional and upper management)  Voluntary disclosure of scores on web (school districts, governments)  Real Estate information services  CoStar  Hotel services (Travelocity, AAA, Orbitz)  Mandatory Disclosure Legislation  Time of Sale (California)  Annual public disclosure (D.C. New York City)

13. 13 Learn about governments leveraging ENERGY STAR in legislation and voluntary campaigns. www.energystar.gov/gove rnment Energy Rating and Disclosure Growing Interest

14. 14 Energy Rating and Disclosure Keys to Success  Measured energy data  The use of actual measured building data is critical to assessing performance  Measured data will account for interactions among building systems, building maintenance, tenant activities, etc  Data verification  Data must be accurate to provide a fair comparison among buildings  Decision makers need to know that information is reviewed and complete  Accessibility  System and metrics should be easy to use and understand  Costs should be kept to a minimum to encourage broad applicability  Consistency  Metrics should be used from design through construction and operation  Standardized metrics provide a reliable platform for organizations

15. Questions and Discussion