ADDRESSING CLIMATE FROM THE GROUND UP

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E2 Environmental Entrepreneurs ADDRESSING CLIMATE FROM THE GROUND UP Jamie Ponce Chicago City Director, C40 Cities Climate Leadership Group 21-February-2014

The C40 Cities Climate Leadership Group is a global network of cities working together to reduce GHG emissions and climate risk C40 Cities Climate Leadership Group: Global Reach, Global Action Addis Ababa Amsterdam Athens Austin Bangkok Barcelona Basel Beijing Berlin Bogota Buenos Aires Cairo Caracas Changwon Chicago Copenhagen Curitiba Delhi Dhaka Hanoi Heidelberg Ho Chi Minh City Hong Kong Houston Istanbul Jakarta Johannesburg Karachi Lagos Lima London Steering Committee Megacity Innovator Observer Los Angeles Madrid Melbourne Mexico City Milan Moscow Mumbai New Orleans New York Oslo Paris Philadelphia Portland Rio de Janeiro Rome San Francisco Santiago Sao Paulo Seattle Seoul Shanghai Singapore Stockholm Sydney Tokyo Toronto Vancouver Venice Warsaw Washington, DC Yokohama

The City of Chicago has set ambitious goals to make our community more competitive, livable, & sustainable City of Chicago s Sustainability Strategy The Sustainable Chicago 2015 Action Agenda outlines specific activities to drive concrete impact over the next 3 years 7 themes, 24 goals, and 100 actions Mutually-reinforcing citywide and cross-sector objectives This road map builds on objectives and approaches outlined in the Chicago Climate Action Plan 25% GHG reduction by 2020, 80% by 2050 (below 1990) focus on buildings, energy, transportation, waste, & adaptation A sustainable Chicago is a city that spends less on energy use with each passing year, creates good-paying jobs in up-and-coming industries, responsibly maintains and upgrades its infrastructure, and ensures that every Chicagoan has the opportunity to live a healthy and active lifestyle. Mayor Rahm Emanuel

Sustainable Chicago 2015 targets specific, near-term action to deliver against broader climate objectives 1 1. Establish Chicago as a hub for the growing sustainable economy 2. Accelerate the economy in Chicago by assisting people and companies in adopting sustainable practices 2 3-Year Sustainability Themes and Goals Economic Development and Job Creation Energy Efficiency and Clean Energy 3. Improve citywide efficiency by 5% 4. Improve overall energy efficiency in municipal buildings by 10 percent 5. Create an additional 20MW of renewable energy, consistent with the Illinois Renewable Portfolio Standard Chicago s sustainability strategy aligns with local, regional, & national efforts to achieve measurable results 3 Transportation Options 6. Increase average daily transit ridership 7. Accelerate transit-oriented development around transit stations 8. Make Chicago the most bike and pedestrian-friendly city in the country 9. Improve freight movement and accelerate high-speed passenger rail projects 10. Advance sustainability leadership at Chicago s airports 11. Strengthen the infrastructure to advance vehicle efficiency 12. Reduce municipal fossil fuel consumption by 10 percent 4 Water & Wastewater 13. Decrease water use by 2 percent (14 million gallons per day) annually 14. Enhance stormwater management to reduce sewer overflows and basement flooding 15. Transform the Chicago River into our second waterfront 16. Protect water quality and enhance access to Lake Michigan 5 Parks, Open Space, & Healthy Food 17. Increase the public spaces and parks that are accessible for Chicagoans 18. Increase options for accessing local or healthy food in every neighborhood 19. Improve and protect Chicago s natural assets and biodiversity 6 Waste & Recycling 20. Increase access to recycling and improve policies to promote waste reduction and re-use 21. Incorporate standard green practices in all city operations 7 Climate Change 22. Reduce carbon emissions from all sectors 23. Improve local air quality by accelerating performance toward federal standards and decreasing greenhouse gas emissions 24. Protect the city and its residents by preparing for changes to the climate

Policy Case Study: <1% of buildings in Chicago are larger than 50,000 ft 2, but they represent ~1/5 of total building energy Building Energy Use and Sector Analysis (Preliminary) Chicago Building Energy Use Sector Breakdown of Buildings >50,000ft 2 Total Buildings Total Energy Use (million kbtu) All Chicago buildings 450,000+ buildings 220,000+ MkBtu Large Buildings (>50,000 ft 2 ) Amt. % ~3,500 buildings ~43,000 MkBtu <1% ~20% Public Buildings & Schools (~15%) Multifamily Residential (~25%) Commercial & Institutional (~60%) Total Electricity (million kwh) 20,000+ MkWh ~6,000 MkWh ~30% If all buildings larger than 50,000ft2 reduced energy use by 5%, it would amount to annual savings of ~2 trillion Btu energy, ~$40 million, & ~50,000 cars worth of CO2e Source: Chicago Building Retrofit Acceleration project September 2011 (2010 data)

Policy Case Study: Chicago set out to craft a benchmarking policy that aligns with national efforts, emphasizing local focus & impact US City Benchmarking Legislation Seattle: 1/2010 commercial, Tenant & transactional disclosure San Francisco: 2/2011 commercial Public & transactional disclosure Mandatory audits Source: City policies, Institute for Market Transformation Minneapolis: Passed 2/2013 commercial Public disclosure Austin: 11/2008 commercial, Transactional disclosure Mandatory audits for Chicago: 9/2013 commercial, Data verification Public disclosure Washington: 7/2008 commercial, Public disclosure Boston: 5/2013 Muni, commercial, Public disclosure Mandatory audits New York: 12/2009 commercial, Public disclosure Mandatory audits, retro-commissioning, lighting upgrades Philadelphia: 6/2012 Commercial Public & transactional disclosure

Policy Case Study: Chicago s policy requires benchmarking, data verification, and reporting for our largest non-industrial buildings Overview of Chicago Energy Use Benchmarking & Transparency Ordinance 1.) Energy Benchmarking Public, commercial, & residential buildings >50,000 ft 2 required to track energy consumption Phased implementation based on building size; residential buildings have an extra year Building staff (or delegates) enter basic building info and energy use into free, web-based Portfolio Manager software to calculate Energy Star score, energy use intensity, and other standard metrics Exemptions for financial hardship, low occupancy, and new buildings 2.) Data Verification Every 3 years, buildings must have energy data verified by in-house or 3rd party architect, engineer, or other trained professional Verification improves data quality and levels the playing field for covered buildings No-cost / low-cost verification options or waivers for financiallystrained buildings 3.) Reporting & Disclosure Buildings report energy use annually, using automated Portfolio Manager tool City reports annually on energy efficiency trends City authorized to make energy scores public after initial grace period to allow buildings to improve scores prior to disclosure Initial exemptions for buildings with TV studios, trading floors, or data centers representing 10%+ of square footage

Collaborative Action: Cross-sector partnership drives Chicago sustainability policy, programming, and governance Examples of Chicago Sustainability Collaboration (illustrative) Networked Collaboration Across City Departments and Public Agencies Leadership through National and Global Environmental Efforts Direct Partnership With Companies & Business Leaders Mayor Emanuel s Sustainability Task Force Sustainable Chicago 2015 Implementation Team City department and sister agency collaboration City Energy Project Bloomberg Philanthropies Innovation Delivery Team, Mayor s Challenge C40 Cities Climate Leadership Group World Wildlife Fund s Earth Hour Challenge Green Ribbon Committee Chicago Region Corporate Sustainability Working Group Content-specific advisors (ex: Energy Benchmarking Working Group) U.S. Chamber of Commerce and Siemens Corporation Sustainable Community Awards

Partnership Example: Chicago s energy benchmarking efforts would not be possible without support of 85+ engaged partners ENGINEERING & ENERGY SERVICES REAL ESTATE & ARCHITECTURE FIRMS LABOR & INDUSTRY ASSOCIATIONS PUBLIC INTEREST, HEALTH, & CLIMATE ChicagoGreen, LLC J.T. Katrakis & Associates, Inc.

For More Information: Online: www.cityofchicago.org/sustainability www.cityofchicago.org/energybenchmarking www.c40.org Email: sustainability@cityofchicago.org Twitter: @SustainChicago