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NC Affordable Housing Conference

November 1-2, 2011 ∙ Raleigh, NC

Southern Energy Management

About

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Founded in 2001 in Raleigh, NC A leading solar integrator and building performance

company in the Southeast and Mid-Atlantic. Team of 110 professionals working from 4 offices:

Raleigh, Charlotte, and Wilmington, North Carolina, and Greenville, South Carolina.

Serving homeowners, builders, businesses, government, & utilities

5 Time EPA National ENERGY STAR® Partner of the Year 10,000+ ENERGY STAR® Homes qualified to date

Southern Energy Management

– SEM is a B Corporation

– 2011 City of Raleigh Environmental Stewardship

– National Energy Star Partner of the Year, past 5 years in a row

– NCSEA Sustainable Business of the Year, and board chair

– NC Companies to Watch

Recognition

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Our MissionHave a measurable impact on global greenhouse gas emissions.

Build a sustainable, triple-bottom-line company that values people, planet and profit.

“Green” Building Program Experts

Different Names for “High-Performance”

• Energy Efficient• Green• Sustainable• Healthy• Environmentally Responsive• Better Buildings

Indoor Environment

Water

Materials

Energy

Site

How to Define a High Performance Home?

Healthy ComfortableDurableEnergy EfficientEnvironmentally

Responsible

Why Build Green?

• 36 percent of total energy use.• 65 percent of electricity consumption• 30 percent of greenhouse gas emissions• 30 percent of raw materials use• 30 percent of waste output (136 million tons annually)• 12 percent of potable water consumption

• Source: U.S. Green Building Council

In the US, buildings account for:

US Building Energy Consumption

Since 2000 … buildings consumed more energy than

industry or transportation

36% of this energy was spent on space conditioning

Americans spent over $95 billion to heat and cool buildings

(Kibert et al. 1994; Zeiher 1996; EBN 2001)

The Solar Opportunity

The amount of sunshine energy that hits the surface of the earth every minute is greater than the total amount of energy that the world’s human population consumes in a year!

70% of home buyers are more inclined to buy a green

home during a down economy

Source: SmartMarket Report, McGraw Hill Construction, 2008

Some data to consider:

36% of homebuyers identify the environment, energy savings, or health benefits as primary factor for buying their next home

Source: RCLCO Study, Measuring the Market for Green Residential Development, 2008

What Buyers Want… Survey Says

What Buyers Want… Survey Says

Over 80% would choose one home over another based on energy efficiency

Source: Shelton Group, EnergyPulse Survey, 2008

What Buyers Want… Survey Says

• Green not just high-end buyers–50% choosing green features earned less

than $75,000

–30% earned under $50,000

Source: McGraw-Hill study, 2008

87% of green homeowners are more

satisfied than with a previous non-green home

Source: SmartMarket Report, McGraw Hill Construction, 2008

What Buyers Want… Survey Says

Why Certify Green

Benefits of Green Building Programsfor Developers

• Energize/galvanize and cohere future resident support for the project.

• Involve and placate surrounding neighbors who may initially be wary of the project.

• Overcome NIMBYism and stigmatization.

• Improve and accelerate project approvals.

Benefits of Green Building Programsfor Homeowners

• Improve Affordability• Reduced cost of ownership• Greater retained value / higher resale

• Enhance Quality and Durability• Improved Life-Cycle Costs• Better value for homeowner

Benefits of Green Building Programsfor Homeowners

• Enhance Health of Occupants• Improved air quality• Reduced pollutants

– Residents of green buldiings have 40-60% less incidents of colds, flu and other respiratory problems

• Support Community• Connection to neighbors, natural surroundings• Pride in ownership• Public transit provides connection to jobs,

businesses

Why Certify Affordable Housing Projects

• Meet Lenders Expectations– HUD– Fannie Mae– Enterprise – Equity Partners

• Asset Value Retention• Savings for the long term

– Durability– Reduced maintenance

What are Green Homes?

Typical Home

Meets Building Code

Structurally Safe and Sound

Energy Efficient Healthy & Safe Durable Water Efficient Environmentally

Responsive Sustainable

Community

Exceeds Building Code by 15% or more

Energy Efficient Healthy & Safe Durable

What Makes A Home Green

National Green Building Standard ICC-700

This is what defines a green home, MF building, or land development.

Types of 3rd Party Verification Tasks

• Design Reviews

• Checklists

• Inspections

• Performance Testing

• Documentation

HERS Index

What Are Ratings Used For?

• Energy Efficient Mortgages

• ENERGY STAR Home labeling

• Performance option forenergy code compliance

• State / utility funded energy efficiency programs

Single-Family Homes

Program Scope and Applicable Building Types

Single-Family Production

Mid-Rise Pilot

Low-Rise Multifamily

Gut Rehab

Hope Crossing, Durham NC

Organization is Key to Success

Helpful tips: • Identify and define Project Team early• Know what credits are influenced by

design• Track all meetings with date and

attendees• Establish online sharing or saving of

documentation and checklist

Water Efficiency (WE)Water

Efficiency

(WE)

www.epa.gov/WaterSense

Energy & Atmosphere (EA)Energy and

Atmosphere

(EA)

2 Paths –

Performance OR Prescriptive• Both paths require performance testing and

energy efficient strategies

Energy & Atmosphere (EA)Energy and

Atmosphere

(EA)

Performance Path: HERS = Points

Prescriptive Path: Points for each strategy

Specs on:

• Insulation

• Windows

• HVAC

Plus performance testing requirements

Energy & Atmosphere (EA)Energy and

Atmosphere

(EA)

• Water Heating

• Appliances

• Lighting

Is it affordable?Cost of Green Building

• Potential Learning Curve costs• Design and Construction Costs• Verification• Registration/Certification Costs

Benefits of Green Building Programsfor Developers

• Energize/galvanize and cohere future resident support for the project.

• Involve and placate surrounding neighbors who may initially be wary of the project.

• Overcome NIMBYism and stigmatization.

• Improve and accelerate project approvals.

Benefits of Green Building Programsfor Homeowners

• Improve Affordability• Reduced cost of ownership• Greater retained value / higher resale

• Enhance Quality and Durability• Improved Life-Cycle Costs• Better value for homeowner

Benefits of Green Building Programsfor Homeowners

• Enhance Health of Occupants• Improved air quality• Reduced pollutants

– Residents of green buldiings have 40-60% less incidents of colds, flu and other respiratory problems

• Support Community• Connection to neighbors, natural surroundings• Pride in ownership• Public transit provides connection to jobs,

businesses

ResourcesDesign advice for developers, descriptions of projects:http://www.designadvisor.org/

NC Case Study: http://www.ecohomemagazine.com/news/2010/05/case-study-north-carolinas-first-green-multifamily-affordable-housing.aspx

US Green Building Council: WWW.USGBC.ORG

Rocky Mountain Institute: WWW.RMI.ORG

Thank You!

www.southern-energy.com

Maria Kingery, Co-Founder919.836.0330, ext 111maria@southern-energy.comTwitter: @mariakingery