Government Business

Decentralised and intelligent energy
Tony McNally, managing director, Climate Change Solutions Ltd, takes a look at how building legislation can help minimise greenhouse gas emissions

The critical leadership role of Europe in addressing the interrelated challenges of climate change, rising cost of energy and fuel security requires urgent implementation of its key targets i.e. by 2020, reducing greenhouse gas (GHG) emissions by 20 per cent from the 1990 level, preferably 30 per cent with global agreement.
    
While there is no one solution, the strategic imperative compels an accelerated transition to a low carbon future on the scale of the industrial revolution but in ten rather than 100 years.
    
With 50 per cent of GHG emissions coming from the built environment, UK Energy and Climate Change legislation presents a set of radical legislative targets towards delivering low to zero carbon homes, schools, cities, towns and communities.

Renewables
A recent conference, Building the Low Carbon Future (see www.climate-change-solutions.co.uk) focused on integrating decentralised energy with intelligent energy including renewables highlighting the business and public sector opportunities with an estimated £35 billion investment.
    
Distributed Energy (DE), also referred to as distributed generation or decentralised energy, brings generation closer to where it is used. There are many cities, towns and communities in Europe that demonstrate the benefit of DE both financially and through a reduction of GHG’s.
    
London has a series of large scale projects, supported through the London Climate Change Agency, targeting 60 per cent reduction in GHG’s by 2025 working in partnership with 40 capital cities providing this leadership.
    
Birmingham City Council in partnership with Utilicom Ltd has introduced a CHP supply for its major city centre buildings that both reduce its energy costs and 20 per cent of GHG’s.
    
The new government in Australia reversed within days previous opposition to Kyoto, so too the prospect of a new US President, Barack Obama committed to 80 per cent or John McCain 60 per cent GHG reduction by 2050 breaking the Catch 22 situation and bringing China, India and Brazil into a new global agreement.
    
As 90 per cent of our buildings will be in use in 2020 a key objective must be making them more energy efficient by 20-30 per cent, introducing 20-30 per cent renewables particularly with decentralised energy systems and starting with large economy of scale projects.
    
London Climate Change Agency has launched the Better Buildings Partnership with 11 major commercial property owners working with occupiers and encouraging their tenants to take part and set joint carbon targets for specific buildings. Priority areas are Green Lease principles; sustainability property benchmarks; valuation of sustainable buildings; tenant and landlord partnerships; building performance and sustainable retrofit; and role of property agents.
    
Every region/nation in the UK could replicate this complementing the government’s public sector low carbon building programme.

Services network
The Decentralised Intelligent Energy & Services Network (DIESN) initiative was launched on 28 January 2008 following a Low Carbon Cities and Communities conference at the NEC in November 2007 and progressed with the Building Low Carbon Future conference in May 2008 co-located with SustainabilityLive!
    
Consultation is being undertaken with members of the DIESN to promote an initiative for 50 per cent Low Carbon Buildings by 2012. The objective would be to engage the key stakeholders in new as well as existing buildings to this end. It would seek to achieve this through decentralised energy systems, combining 25 per cent energy efficiency (intelligent energy) and 25 per cent renewables as a minimum.

Local suppliers
Where possible, purchases should be made from local suppliers, subject to quality and market competitiveness. This in turn should stimulate a growing sector of environmental goods and services as well as research, development for innovation and appropriate training.
    
Energy Services Companies, ESCO’s could be established with each major project typically a public private sector partnership. Energy suppliers are moving to invest in these projects to meet their renewable obligations, 10 per cent by 2010 and 20 per cent by 2020. Also, they are moving towards being energy services suppliers with commitments to assist customers with energy efficiency as well as renewables.
    
Furthermore, commercial institutions recognise the new opportunities of long term investment in the growing low carbon sector. Banks, insurers, trust and private capital investors are now looking at offsetting their risk. Climate Change Risk Management Ltd as a group of renowned climate scientists are called upon to advise on the short, medium and long term risks, particularly in property and clean technologies together with new market opportunities as a fast growing low carbon sector.

For more information
www.climate-change-solutions.co.uk

 
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