Entry Form Energy Management Award

Transcription

1 Entry Form Energy Management Award This award recognises the achievements of the building owner or occupier who most effectively demonstrates how they obtain value for money for the energy they use in their building or building portfolio. It will be awarded to the organisation which has demonstrated the most effective initiative or strategy for managing energy use and making most efficient use of the energy it does consume. Entries may be submitted by any organisation for an energy management project or initiative where the initial activity was completed during the period 1 October September 2013, thus having a full year of operational performance data following completion of the initial energy management interventions. Please complete the entry form below. The headings reflect the judging criteria and the judges will be looking for you to provide the relevant information under each heading. Submission instructions 1. Complete and save this document 2. Click here to submit your entry online 3. Complete the required fields and follow the instructions on the online entry system 4. Upload your entry form and supporting documents 5. Click finish to submit your entry If you have any questions then please contact us on or by to lois.hunt@redactive.co.uk. Entrant details Full name Mitch Layng Organisation M&G Real Estate Job title Portfolio Energy Manager Project details Project name As you wish the properties to be referred to throughout the competition. M&G Real Estate Shopping Centre Portfolio Project address(es) Organisations Please provide the names of all organisations that you would like to be credited in your entry. Please ensure that the company names you list are accurate as we will be reproducing these on screen and in print. It is essential that you have the consent of all those named below to include them. Building Services Engineer: Building Owner: Building Occupier: Project Manager: Quantity Surveyor: Brief Consultant: Architect: Interior Designer: Mechanical / Electrical Engineer: Contractor: Investment / Property Company: Developer: M&G Real Estate Summary Please provide a synopsis of the energy management initiative or strategy and its building performance, low carbon and energy efficiency objectives.

2 M&G Real Estate is a top 25 global real estate fund manager, and one of the largest property investment companies in the UK. We form part of the M&G Group, the asset management arm of Prudential plc in the UK and Europe. Carbon emission reduction is a key element of our responsible property investment (RPI) strategy, and is jointly driven by our objectives to improve environmental efficiency across our entire portfolio, to ensure compliance with environmental regulations such as the Minimum Energy Performance regulations (MEPS), Air Conditioning Inspection reports, (ACI) and the Energy Saving Opportunity Scheme (ESOS), to reduce operational costs, and to manage the risk of obselence. We currently directly manage ten shopping centres, with a total NLA of over 500,000 m2. Eight of these centres have consistently been in our managed portfolio since The total consumption of these centres in the period April 2011 to March 2014 was 250Mwh. One centre, Manchester Arndale, accounted for over 65% of the shopping centre total energy consumed at these centres. Since the implementation of our energy management strategy, through various intiatives outlined later, we have achieved a 23% energy reduction across all the centres, including a 24% reduction at Manchester Arndale, compared to a baseline of 2010/11, a saving of 21,152 Mwh and 985,000. This award entry provides a summary of the initatives we have implemented to achieve this reduction. Entry Details Please outline how your entry meets each of the entry criteria judges will be looking for information in each of the sections when assessing the entries. Any documents, charts or photos should be referenced and included in your supporting documents. Details of the building(s) or portfolio and its performance requirements This entry is for the energy reductions achieved at the eight shopping centres which have consistently been in our managed portolio since The entry will focus on primarily on the initatives we have implemented at Manchester Arndale Centre, which accounts for more than half of all energy consumed by this group of properties, as any reduction at Manchester Arndale has a significant impact on the whole portfolio. Many of the initatives we have implemented at Manchester Arndale have been implemented across our wider portfolio and we will highlight this throughout this entry, to demonstrate how we have achieved our overall portfolio reductions. Following on from being shortlisted for last year s client management awards, we have implemented further initiatives at our portfolio of shopping centres, and in particular Manchester Arndale. This submission contains improvement measures not included in last year s entry, and another year of data that demonstrates continued improvement. Details of the energy management initiative or strategy M&G Real Estate have set carbon reduction targets since 2006 to drive improvements at our assets and to help our investment, asset and property managers understand what we are trying to achieve through site level initatives. Last year we set a target to reduce carbon emissions associated with the landlord controlled energy use at our centres by 7% compared to a 2012/13 baseline we significantly exceeded this and achieved a 12% reduction across our like for like portfolio. To meet these targets we put in place site specific energy strategies (see supporting documentation page 2 which is the original energy management strategy for Manchester Arndale). As the strategy illustrates, we focused first on the easy wins the low and no costs measures, that can be delivered through better management and maintenance. In tandem with this, we ensure that adequate sub-metering is in place, in order to provide reliable data. Next, we consider other short payback measures (such as LED lighting), and then the measures that require more investment (such as improvements in chillers). Reduction in existing energy consumption is always considered before renewable generation: renewables are considered and assessed based on their own merits. Each of the centres receives monthly reports outlining their consumption (see supporting documentation page 129) and how they are doing against target. Our Asset Managers produce asset plans for each property on an annual basis, and consideration is given to energy saving measures (such as upgrading plant and equipment to improve efficiency) as part of that process particularly where refurbishment or re-development is taking place, as the payback period on such upgrades is reduced. Quarterly asset days are held at each of our centres, and sustainability initatives form part of these reports. An extract from Manchester Arndale s asset reports is shown in supporting documentation page 231) Evidence of the measures taken to reduce energy use, including changes to the lighting, heating, and cooling provision, changes to equipment, hours of operation or other control parameters and changing staff or user behaviour by training, education and motivational activities.

3 In addition to no and low cost improvement in management, we have undertaken various technical improvement measures at all of our centres, including upgrading lighting systems, improving lighting control systems, boiler control, inverter control and management improvements a sample of these, with resulting savings and payback times, are shown in the supporting documentation (page 53). In this entry we want to focus on some of the more significant, interesting and innovative initiatives we have undertaken to drive energy reduction: Saving 1m through enhanced monitoring and reporting: (See supporting documentation page 9) At Manchester Arndale, we have invested nearly half a million pounds in an enhanced monitoring project, which consists of over 130 sub-meters monitoring all major plant operation, together with on-going analysis and reporting by a team of engineers who liaise closely with the centre s operating staff, providing them with early warning of operational inefficiencies. This dynamic monitoring turns live data into a series of prioritized actions to address the inefficiencies, and each action details the financial savings opportunities that can be achieved. Manchester Arndale is a challenging centre to operate efficiently due to its complicated arrangement brought about by the large number of changes made during its life time and the configuration of the centre. We recognised that we needed a system to enable us and the site team to understand the building in more detail, and we believe that the enhanced monitoring project is key to providing this knowledge. The system we selected, provided by EP&T, greatly assists the Operation Manager and his team to identify the areas to focus on and where the biggest wins can be gained in terms of energy, financial and carbon savings. The system has been in place for nine months and is already showing savings above the predicted reductions of 13% on electrical consumption, and 5% on gas. This project is expected to save over 1m during the first five years of the project, and given current performance we expect this target to be exceeded. Helping occupiers make improvements in their own space: We are aware that the Landlord s energy consumption is only a part of a building s total energy consumption, and from tenant engagement surveys, we know that that occupiers want to know more about how they can reduce the environmental impacts of their leased space. Accordingly, last year we produced Environment Guides tailored for occupiers of our retail (and office) space, and distributed them to 600 occupiers, who occupy 2.3million square meters of floor space in our managed portfolio. These guides deliver, in a concise format, information relevant to occupiers businesses. They highlight the financial benefits to occupiers of reducing their environmental impacts and cover fit-out, refurbishment, energy efficiency in equipment and appliances, and the importance of monitoring consumption. (see supporting documentation page 20). We also engage with our occupiers at each centre. For example, at Manchester Arndale, an occupier engagement plan has been put in place setting out the strategy for engagement with occupiers regarding energy, water and waste minimization and recycling rates. The strategy provides guidelines for how the Centre will regularly update occupiers on energy, water and waste performance, and improve occupier awareness of initiatives and processes in place. (See supporting documentation page 37). We have been working with the British Property Federation to develop an industry wide standard for green lease clauses which we can incorporate into our retail leases. Last year, we signed five green MoUs with Marks & Spencer, covering more than 6,500m2 of floor space. The MoUs include clauses that facilitate sharing of consumption data and encourage a joint approach to investing in the fit out of the asset to the benefit of both parties. I went out for jeggings and came back ready to save the planet Manchester Arndale was one of the earliest supporters of the Carbon Literacy Project, which launched in Exchange Court in October Manchester Carbon Literacy Project aims to offer everyone who lives, works or studies in Manchester access to carbon literacy training by the end of The project is based on a key aim that if we are to cut our carbon emissions by the kind of reduction targets demanded of us by scientific research by 2050, then we will need to change our culture as well as our technology. The Carbon Literacy Project focuses not just on the creation and delivery of training but also effective means of public engagement. The centre has committed to include carbon literacy in its staff induction programme and has already begun to train staff, including the Centre Director. In 2014, to build on the success of the award-winning project, they hosted a three day event aimed at engaging members of the general public in order to build awareness of carbon literacy, climate change and existing initiatives in a cohesive, fun, positive and interactive way. Centre staff worked with a number of different partners to deliver hands-on activities aimed at raising carbon awareness in a range of thought-provoking ways from a half-scale section of a local eco-home to information on the carbon footprint of meals, with an hourly 'Big Carbon Balloon game-show, where contestants were

4 asked to guess the carbon footprints of various activities, meals or countries. Over 79,000 individuals came into contact with the event in one way or another, making this the largest public event on climate change in the city. (see supporting documentation page 42 ). We encourage each of our centres to run similar events every year, and other examples include The Brunswick Bag Amnesty, when any shopper bringing in plastic bags got a free Brunswick Centre Bag for Life. During Recycle Week 2014, a local artist worked with local school children to create an art installation from the bags collected. This was displayed at the Centre to illustrate how many bag are dumped in landfill and how long items take to rot down. Around the centre, messages were displayed about the Centre s work and what shoppers can do at home to reduce their footprint. At The Grafton, Cambridge, in the weekend before the Tour de France came to town, shoppers were challenged to power a games console using a stationary bike, raising awareness of energy consumption around the home in a very physical way. Training our staff and suppliers to understand their role in making energy reductions Arguably the most important and influential personnel in terms of optimising energy performance are the shopping centre operational team. M&G Real Estate s Sustainability Team continually engages with the teams through regular meetings with CBRE, our third party property managers. We monitor the performance of CBRE, and of the FM companies involved (both hard and soft services), using a number of key performance indicators. Training is key to ensuring the message is clearly understood and consistently implemented, and we deliver regular training sessions to CBRE and other key staff. Informing the wider industry and influencing the real estate sector as whole We are members of various industry groups where we provide advice, share information and assist with publications with the aim of assisting others to achieve improvements, and to obtain information from others to assist us in our objectives. These groups include the Better Buildings Partnership (BBP), the British Property Federation, the British Council for Shopping Centres and the Building Services Research and Information Association, amongst others. We chair the BBP group involved with the creation of a Landlord Energy Rating tool that will give detailed information on the split between Landlord and occupier in a similar way to a DEC, but more appropriate to multi tenanted properties. We participate in the BBP annual benchmarking exercise which enables us to see how we are performing against our peers, and between shopping centres we manage, and allows us to share information between members. We take part in the annual Global Real Estate Sustainability Benchmark, the IPD Eco-portfolio analysis service, work with the Green Construction Board, and contribute towards various government consultations in this area. (See supporting documentation page 153) Property Energy Performance Reports (see supporting information page 90). We have developed with CO2 Estates Ltd an energy assessment and reporting methodology entitled the Property Energy Performance Report (PEPR), a comprehensive Report generated for each of our shopping centres (and other, large-consuming assets) which provides an audit of the buildings energy consumption, identifying areas of potential energy cost savings, and methods of energy management to be developed to achieve and maintain future savings. The PEPRs are supplemented by a live, cloud-based software interface for continuous tracking and improvement of the data arising from the PEPR methodology. The PEPRs not only include the TM44 Air conditioning inspection report, but will also go some way to satisfying the requirements of The Energy Savings Opportunity Scheme (ESOS).The report includes recommendations for improvements categorised according to cost, detailing the effect on operational and asset rating, whether landlord or tenant will benefit, and budget costs and paybacks. The Reports compare operational data with benchmark data provided by the BBP & Jones Lang LaSalle Real Estate Environmental Benchmark, and we undertake an analysis of discrepancies between the data sets by creating an energy model of the building, to provide an understanding of the asset s energy efficiency. We then compare the model against the metered (operational) energy efficiency along with analysis of any performance gap that may exist. We use the software platform as a tool for collaboration on energy management issues with Property Managers and Asset Managers, who can utilise the Reports as a resource for improvement opportunities and also as a means of demonstrating their efforts to reduce energy consumption. In addition to this, the Property Managers can utilise the platform to engage with their Facilities Managers on overlooked maintenance items that could be having a detrimental impact upon energy efficiency. The PEPRs were introduced last year, and will be used to make further improvements across all our managed properties to assist us in achieving our current target of a 20% reduction in carbon emissions by 2020, against a 2012/13 baseline year. A sample report, from Manchester Arndale, is included in the Supplementary Documentation. Evidence of actual measured energy performance before and after the initiative, including DECs and associated information and CarbonBuzz entries (for buildings that are not required to have a DEC a voluntary DEC is strongly encouraged).

5 Energy Consumption (kwh) We have delivered energy savings across our managed portfolio of shopping centres of over 22% since April 2011, compared to a 2010/11 baseline. This has saved our occupiers 985,000 in utility costs and reduced our carbon emissions by around 7,523 tonnes. At Manchester Arndale, the energy reduction of 23% over the same period has been achieved as outlined above. 50,000,000 45,000,000 40,000,000 35,000,000 30,000,000 25,000,000 20,000,000 15,000,000 10,000,000 5,000, / / / /14 21% reduction Total Energy Manchester Arndale (kwh) Total Retail Energy excluding Manchester Arndale (kwh) We annually benchmark the performance of our assets against the BBP Real Estate Benchmark to understand how our performance compares to others. We were one of the first adopters of DECs for shopping centres, but having commissioned them across our centres we do not believe they currently provide a useful benchmark, and we have been actively involved with discussions with other landlords through the BBP about how we could develop a suitable operational ratings tool. We have worked closely with CBRE, and their specialist energy bureau provider, Power Efficiency, to ensure monthly consumption data is accurate. A detailed spread sheet showing consumption and performance is provided in the supporting documentation, page 127. These reports are sent to the site teams on a monthly basis to help identify any areas of improvement. Our consumption data was audited by Carbon Credentials as part of our requirement to provide data to report under the Carbon Reduction Commitment. Evidence of user feedback on the building(s) or porfolio and satisfaction with the measures adopted. We undertake Occupier Satisfaction Surveys on a regular basis to obtain feedback and comments. (see supporting documentation page 131). The Facilities Management contracts in place at each property incorporate a helpdesk which monitors and records occupier requests and comments. Any issues relating to the indoor environment and comfort issues are quickly dealt with, or recorded and assessed to ensure occupier comfort. Evidence of collaboration between members of the project team, including occupiers that have contributed to improved performance. We have worked with Carbon Estates to develop a system that can produce and analyse EPCs, and to develop the PEPR into a working document that will assist us in obtaining further energy savings. We are working with EP&T to achieve energy reductions using the monitoring and optimisation system. In the set up stage, this included engagement between us and the site staff to ensure they fully bought into and understood the process, and since then, we have continued the collaboration with regular conference calls and meetings on site. We work with our Property Managers, CBRE, and the site teams to agree and achieve targets and objectives, including a set of key performance indicators for CBRE that focus on the key sustainability issues so that all parties understand the objectives, and achieve the targets set. These KPIs are revised and reissued annually, and reviewed and performance assessed every quarter (See supporting documentation page 133). Any special challenges or problems and how they were overcome. As a responsible property investor, we continually look for innovative to ways to minimise the environmental footprint of our assets and achieve energy reductions, while at the same time ensuring we maximise value for money. For a commercial landlord, it is more difficult to plan over a longer time horizon, compared to an

6 owner/occupier due to the uncertainty of length of term of ownership. Additionally, the process around Landlord and occupier relationship and approval of expenditure through the service charge creates its own challenges. Ensuring high levels of accuracy is always a challenge, particularly in data concerning equipment types, occupancy levels, and hours of operation. This was overcome through ensuring competent engineers undertook the energy surveys, and ensuring that they talked the right language to the right people at the properties. Specific evidence of how the project or initiative could be applied by other client bodies, such as a website, guidance material or other transferable tools. There is an opportunity for other clients to implement the PEPR s or the Monitoring and Optimisation project by working with the Carbon Estates and EP&T. Many of the issues have been ironed out as part of the development, meaning the tools are ready for use, and can be easily tailored to meet specific requirements. Further information Please provide any further information, evidence or references that you would like to include in your entry. Manchester Arndale, along some of our other centres, has won several environmental awards over the past three years, including a Silver Green Apple Award and a BCSC Sustainability Gold Award. We are planning to develop the PEPRs further, to incorporate such added value items as incorporating Planned Preventative Maintenance, service charging and lease renewals. Our use of the EP&T system at Manchester Arndale will continue, providing further savings and data enabling us to consider rolling it out further. Additional investment is planned as part of our asset planning, including new energy efficient equipment and controls, as appropriate. Supporting documents check list Entries should include supporting documents or evidence to supplement this written part of the submission. All supporting documents should be collated into one PDF document for upload. DEC BREEAM Certificate LEED Certificate CarbonBuzz entry (please supply a link): Other (please specify): Energy Management Strategy, Quick Wins Check List, Monitoring and Optimisation Project Report, Occupier fit out and operational environmental guide, Manchester Arndale Occupier engagement plan, Manchester Carbon Literacy Project, Improvement initiatives supporting documents, Property Energy Performance Report (PEPR), Energy consumption data, Occupier satisfaction survey,key Performance Indicators for our Property Managers, Better Buildings Partnership Benchmarking Report, M&G RE Responsible Property Investment Report, Asset Day Report