Tag: Sustainability

With approximately 5,300 colleges and universities in the U.S., there is a significant opportunity to improve the energy efficiency of campus buildings and the communities they operate in. According to the U.S. Energy Information Association, higher education campuses consume approximately 18.9 kilowatt-hours of electricity and 17 cubic feet of natural gas per square foot of floor space yearly, equating to significant carbon footprints and high energy costs.

In recent years, more than 330 universities and colleges have established climate action plans with aggressive targets, including becoming 100% carbon-neutral campuses by 2050 or sooner. To realize these ambitious goals, these institutions need to reduce building emissions and optimize energy efficiency while maintaining reliability with their energy solution.

Consisting of hundreds of academic buildings, medical centers, dormitories, and lab spaces, many university campuses are nestled in urban areas close to Vicinity’s district energy systems. Several major universities in Boston, Philadelphia, Baltimore, West Virginia, and other cities have long histories of relying on district energy for heating, cooling, lab processes, and humidification control.

Vicinity currently provides steam and chilled water to 23 higher education campuses, totaling over 32 million square feet of building space. These academic institutions use district energy to keep their campuses operating smoothly and leverage district energy to underscore their commitment to improving the world, combatting climate change, and fulfilling their sustainability missions. These efforts ultimately help attract sustainability-minded students and enable the universities to gain national attention for their impressive sustainability accomplishments.

Why district energy is a trusted solution

Vicinity partners with higher education institutions to explore opportunities for energy efficiency improvement and strategies to meet carbon neutrality. In collaboration with the universities’ facilities teams, Vicinity helps optimize their campuses’ energy consumption and reduce their carbon footprints with reliable district steam, tailored preventative maintenance programs, and training sessions. eSteam^TM, Vicinity’s carbon-free renewable energy product, is an innovative solution for universities and colleges with the most aggressive carbon reduction goals, ensuring they are on the fastest track to eliminate their campus’ carbon emissions.

In particular, Emerson College leverages eSteam^TM to not only achieve the City of Boston’s carbon emissions reduction targets established as part of BERDO 2.0 but also achieve its own sustainability goals, which are even more aggressive than the city’s mandate. With eSteam^TM, Emerson is on a streamlined path to a carbon-neutral and resilient campus by 2030.

Continuous improvement drives reliability and efficiency

Vicinity and many of our higher education customers have worked closely together over the years to drive improvements at Vicinity’s central facilities and on their campuses. As Vicinity upgrades our central district energy facilities, higher education customers immediately reap the benefits, including improved reliability and reduced carbon emissions.

As Vicinity continues to upgrade our central district energy facilities with electric boilers, heat pumps, and thermal storage as part of our Clean Energy Future commitment, district energy will further align with schools’ climate action goals. While we are first kicking off our electrification plans in Boston and Cambridge to support schools like Emerson College, we are rolling out these upgrades to our other locations. Emerson and other schools’ climate action goals highlight their commitment to a cleaner future, and their notable progress towards reducing their impact on the planet through district energy underscores their bold leadership in a climate-uncertain world.

Proactive maintenance supported by Vicinity’s experts 

Vicinity partners with schools to improve their operations by offering training tailored to the unique needs of the facilities teams and providing operations and maintenance support. Vicinity’s onsite training equips the facilities teams with the tools to proactively maintain their equipment and prevent interruptions in service, which is especially critical for medical campuses. Topics include steam trap inspections, pressure regulating valves (PRVs), and other critical equipment.

District energy for critical campus operations 

Our energy solutions for higher education facilities are reliable and green, helping advance the innovations that propel our customers and communities forward and protect the world we live in.

• Increased reliability and sustainability – Without the burden of onsite combustion or maintaining chillers or boilers, district energy is a safer and more sustainable alternative. We have a 99.99% reliability guarantee and a team of over 450 energy experts, allowing you to focus on your work while we ensure 24/7 energy delivery.
• Optimal sterilization and humidification – The CDC recommends steam sanitation over conventional sanitation methods. Vicinity can provide a safer, more environmentally friendly energy solution to keep your educational workspaces and laboratories primed for innovation.
• Uninterrupted energy supply – Proper operations and maintenance (O&M) of energy infrastructure is essential to ensuring that campus buildings, including dormitories, laboratories, and research facilities, can rely on an uninterrupted thermal energy supply.
• Remote monitoring – If your campus needs energy O&M support by a qualified engineer but does not require someone full-time onsite, we can provide remote monitoring of your energy infrastructure at our innovative control centers.
• Energy efficiency and optimization – From efficiency assessments and investments to project implementation, our experts will create and provide a custom energy strategy to optimize your campus energy assets and provide solutions that drive energy efficiency.

Get started with district energy today to decarbonize your campus’ buildings and access reliable, uninterrupted service.

When considering the use of Variable Refrigerant Flow (VRF) systems, building owners should consider certain important factors that could lead to increased costs and concerns with energy efficiency and reliability.

Top considerations before installing VRF systems

VRF systems are a rapidly evolving solution and offer many appealing promises to building owners and property managers hoping to complete their projects without hiccups or large capital investments.

However, when looking past the initial benefits of VRF technology, it’s clear that there are some critical considerations to address before investing in these systems.

1. Maintenance and installation

While VRF systems are typically less expensive to install than chillers and boilers (hydronic systems), they require specialized training and maintenance expertise. VRF systems were introduced in Japan in the 1980s, but they are relatively new to the U.S., where it took 25 years to embrace this technology. Today, VRF systems command only 5% of the total heating and cooling market.

Because these refrigerant-based systems comprise several complex pieces of equipment, they are best served by technicians familiar with the best practices for VRF systems. Unlike hydronic systems, all parts for a VRF system are proprietary and made by a single manufacturer. Single sourcing provides the opportunity for many issues. First, the cost is dictated by a sole source manufacturer with no competition, so the aftermarket parts can be very costly. Second, supply chain issues can lead to problems in procuring alternative parts.

For today’s building owners opting for VRFs, qualified HVAC technicians will have to be kept onsite or hired to operate and perform preventative maintenance and repairs. As experts note, great care must be taken during installation to prevent moisture, dust, and contaminants from entering the refrigerant piping, and it must be installed tightly to prevent leaks. Improper installations run the risk of harmful leaks or premature equipment failures.

Unlike a chiller, which centrally locates refrigerant, VRF has many refrigerant lines running throughout a building. With a high volume of refrigerant lines and fittings, VRF systems have a higher probability of leaks, which are challenging to locate and repair. Furthering the issue, refrigerant lines are installed over occupied spaces; therefore, the refrigerant leaks into areas with occupants.

It’s important to prepare for ongoing maintenance costs, including regular inspections, filter replacements, and system cleaning when opting for VRFs. Alternative energy solutions, such as district energy, pose less of a concern regarding maintenance because energy generation is done offsite at a central facility and performed by the energy provider.

Risks associated with VRFs and onsite chillers, like potential refrigerant leaks, are eliminated and shifted to the central district energy facility, which is regulated and has strict safety standards to ensure staff and surrounding communities are safe. Further, maintenance is handled by district energy experts, meaning that building owners do not need to expend additional labor costs.

2. Electricity reliance

Electricity reliance should also be considered when thinking about installing VRF systems today. VRF systems require electricity to run, exposing buildings to multiple risks that are exacerbated in locations that experience high humidity and low temperatures.

Why? VRFs typically have to work harder than other heating and cooling systems. The compressors used in VRF systems are installed in a complex field refrigerant system and are forced to absorb outside air in heating mode. Air-source heat pumps can be more efficient, but rapidly lose efficiency, as the outside temperature drops below 40 degrees and require a backup heating source in cold climates like the Northeast. The compressor also spins faster when heating, reducing the life span of the bearings and compressor.

VRF systems are particularly unsuitable for certain buildings that have high energy and reliability needs or strict humidity control considerations, such as healthcare and life science labs. Should there be a power outage during a storm, the building cannot provide heating and cooling functions. This setback could endanger occupants and damage building assets and lab experiments. In buildings where indoor air quality (IAQ) is a concern, VRF systems would require increased emergency or standby generation capacity.

Electricity reliance also means that buildings are exposed to volatile electricity rates and the policy changes that may drive rates up, especially in cities like Baltimore and Philadelphia, where the electric grid’s capacity is struggling to meet demands.

Many buildings today are billed based on peak electricity usage rates, their usage during the hottest and coldest days of the year. VRFs can drive up peak demand and costs dramatically.

With VRFs, additional costs are incurred when building owners seek to retrofit older spaces. Owners need to consider the amount of electricity necessary for the older buildings because they typically do not have the required capacity and may require expensive upgrades.

Due to the unpredictable nature of retrofitting older buildings, district energy is appealing to owners that are looking to electrify but want to keep variable loads for heating or cooling low, creating a flat load profile with lower demand charges.

With a blend of hedging and market commodity prices, district energy solutions are able to guard against unexpected price spikes in the market and hedge fuel prices for a significant portion of our expected steam load for the heating season. Through these thoughtful hedging strategies, Vicinity’s customers experience more stable rates and greater budget certainty while achieving their sustainability goals.

3. Energy efficiency considerations

While VRFs are generally lauded for their high efficiency, their performance can vary depending on several factors. For example, some building owners have yet to be satisfied with the performance of their VRF systems when temperatures drop below 40 degrees.

Ultimately, certain factors influence whether a VRF system delivers the efficiency rates it promises:

• System design
• Installation of equipment
• Outdoor temperatures
• Original building design
• Application of equipment
• Ongoing maintenance of the building and VRF equipment

If installed incorrectly or improperly maintained, VRF systems will likely malfunction, causing a major disruption to building tenants. A study even found that VRF systems required replacement a decade earlier than other HVAC systems, which is why they are widely regarded as ‘throwaway’ systems.

Disposing of defective VRF equipment and replacing it altogether rather than repairing it is common practice. This practice can lead to a lapse in service, resulting in the wasteful disposal of mechanical equipment.

To avoid interrupted service, building owners should evaluate their potential VRF system’s energy efficiency ratings, seasonal performance, and the potential for energy savings in their specific building before making a purchase decision.

4. Capital costs

The average lifespan of a compressor is about 10 to 15 years, and the overall VRF system is life 15 to 20 years. Once the VRF system has reached the end of its useful life, the entire building’s HVAC system needs to be replaced. Even the refrigerant piping throughout the building is replaced, due to the changing requirements of new refrigerants.

A study done by the Washington State University estimated that the installed cost of a VRF system is approximately $18 per square foot served – compared with a code-minimum system cost of about $12 to $15 per square foot, a price difference that compounds quickly over the scale of an entire building.

Due to ever-more stringent indoor air quality requirements, specialized central air handlers, called dedicated outdoor air units, still require ductwork for each occupied space.

5. Building infrastructure requirements and risks

Infrastructure requirements for VRFs are critical for building owners to consider, especially when looking to avoid additional capital costs. These systems require specific infrastructure considerations, such as dedicated space for outdoor units, indoor unit placement, and appropriate refrigerant piping routes.

Owners should evaluate whether their building can accommodate these requirements without significant modifications or additional expenses. VRF systems are not ideal for use in high-rise buildings because the maximum allowable vertical distance between an outdoor unit and its farthest indoor unit is approximately 150 ft., and the maximum vertical distance between two individual indoor units is about 45 ft., meaning that valuable space on multiple floors is occupied by VRF equipment.

VRF systems are also typically housed on rooftops, precluding that space from being used for amenities like lounges, gardens, or rooftop pools, and require several roof penetrations, which can expose building envelopes to structural issues and potential leaks.

In comparison, district energy only requires about a parking space worth of equipment, typically in the basement of a building, and allows owners to maximize rooftop and basement spaces.

6. Use of refrigerants

Refrigerant-based systems like VRFs expose buildings to safety and financial risks, whether it be requiring specialized maintenance for repairs, or susceptibility to leaks that are potentially harmful to building occupants and the environment.

VRF refrigerants are flammable due to their base of propane and butane. The flammability of some refrigerants such as R32 is becoming a safety concern due to the high amount of refrigerant that is piped throughout a building within VRF systems, and their high potential for leaks. For this reason, building standards such as ASHRAE Standard 34-2019 have been established to limit the concentration of refrigerants within occupied spaces. Regulations on refrigerants are often changing. As regulations change, systems will require significant modifications or total replacement to be compatible with new refrigerants.

VRF system leaks are caused by several factors — one is chemical corrosion. The production of condensation and the use of chlorine in VRF pipe insulation can cause chemical corrosion of aluminum piping in the system. Holes in the aluminum piping can allow refrigerant to leak and cause the systems to stop performing and ultimately fail.

Making the best choice for commercial buildings

When planning for heating and cooling needs, building owners should consider all options and identify the best choice for reducing risk and ongoing capital investments. Below is a list of questions to help building owners and operators make the best choice for their buildings:

• Life-cycle cost: What are the installation and ongoing costs associated with the VRF equipment or provider?
• Maintenance: What maintenance is typically required for the VRF system? Does the VRF provider include service from specialized technicians?
• Service life: How long does the VRF equipment typically last?
• Regulatory compliance: What does the current regulatory landscape look like for VRF systems and their use of refrigerants?
• Rooftop penetration: Can this building accommodate the rooftop penetration required by the VRF equipment?
• Reliability: How critical are the building’s daily operations? Do they rely on uninterrupted energy to maintain strict indoor air quality (IAQ) standards?

Today, employees choose their next employer based on sustainability: 32% of employees agreed they would only work for a company that prioritizes sustainability. Of that total, 42% of millennials and 30% of Gen-X agreed.

To attract these climate-minded employees, more and more companies are setting sustainability goals for their operations, both internally and externally. Deloitte’s 2022 CxO Sustainability Report found that 82% of executives plan to achieve net zero carbon emissions by 2030.

The location and daily operations of office buildings emit a large amount of harmful greenhouse gas emissions. Organizations choose their office spaces with sustainability in mind to combat these negative environmental effects. One way to do so is to enact a green lease.

Green leases include clauses specifically related to sustainability, such as requirements for smart, energy-efficient lighting, heating and cooling, or using renewable energy sources to reduce emissions.

The need to drive energy efficiencies is direr: the latest United Nations climate conference, COP27, called for sustained investments in energy efficiency worldwide to reduce energy demand, avoid CO2 emissions and dampen energy cost volatility.

How green leasing works

The explosion of green leasing around the world is driven by the large amount of emissions that the built environment releases into the atmosphere.

Green leasing is a collaborative way to meet both the demands of sustainably minded tenants and the financial needs of building owners. Although commercial green leases have taken many forms, they are all agreements between building owners and tenants that commit to reducing energy waste, improving system efficiency, and boosting transparency between the two parties.

Given that operational building emissions (i.e., daily energy use) account for more than a quarter — yes, a quarter! — of total global emissions, green leasing is a viable tool for tenants of all industries to impact the climate positively.

While owners control the energy infrastructure of a building, tenants determine the overall energy usage. Thus, a poorly designed building with inefficient heating and cooling can dish out inordinate amounts of carbon emissions.

When evaluating a building space, it’s recommended that tenant/broker teams look for a few items from the building owner:

• Energy use details, carbon reduction goals, social impact programs, and other efficiency ratings like WELL or LEED.
• Whole-building performance metrics, energy use intensity, and whole-building capital improvement plans during the evaluation process.

WELL and LEED certifications have become critical markers for building occupants’ well-being and healthy, efficient, carbon, and cost-saving green buildings.

Additionally, many commercial real estate, laboratory, and healthcare spaces are turning to district energy to provide greener and more efficient energy to power their critical operations. District energy systems typically reduce primary energy demand in heating and cooling by 50% and can achieve operational efficiency of up to 90%.

How does district energy accomplish this? By centralizing and aggregating the production of heat, hot and chilled water to multiple buildings, district energy cuts down on the amount of fuel that would otherwise be required by individual buildings using onsite generation and the resulting carbon emissions.

The potential impact of green leases

Because green leases require building owners to take actionable steps to improve their operations, these agreements can lower both utility costs and energy use.

Through an analysis of current energy efficiency measures facilitated by the signing of green leases, it is estimated that green leases have the potential to reduce energy consumption in office buildings by 11 to 22 percent.

This reduction in energy consumption has the potential to provide the U.S. commercial office market with $1.7 billion to $3.3 billion in annual cost savings.

With the built environment currently generating nearly 50% of annual global CO2 emissions, these efficiency measures can make a big difference in the fight against climate change in cities worldwide.

Green lease growth in the U.S. and beyond

Although relatively new to the United States, green leases are taking off globally. A whopping 34% of all building occupiers have signed qualifying green lease clauses, according to JLL Global Research’s 2021 report, Decarbonizing the Built Environment.

In Europe, France is leading the charge: green leases have become commonplace as part of a mandatory reduction in national emissions. French landlords are now required to include specific benchmarks around the conservation of energy consumption in commercial office leases.

It’s no surprise that market demand for green leasing is growing in the United States. Roughly five billion square feet of building space is now covered by green leases in the U.S., a number that’s expected to grow at a fast clip, according to the Institute for Market Transformation.

Aside from financial and efficiency needs in the U.S., cities like Philadelphia, Boston, and Los Angeles are enforcing ambitious decarbonization goals aimed at reducing building emissions.

In Boston, for example, the Building Emissions Reduction and Disclosure Ordinance (BERDO 2.0) has set requirements for large buildings to reduce their energy and water use, stretch codes mandated, so buildings will achieve higher energy savings, and increase investments in green and renewable energy technologies.

Commercial building owners need an energy partner they can trust to meet the requirements of carbon reduction acts like BERDO 2.0. As the owner and operator of the district energy systems in twelve states in the U.S., Vicinity is uniquely poised to help our customers decarbonize their building operations quickly and affordably.

Vicinity is the first in the U.S. to electrify its operations and offer renewable thermal energy by installing electric boilers, industrial-scale heat pumps, and thermal storage at our central facilities starting in Boston and Cambridge, with other locations to follow.

A way forward with green leasing

Green leasing allows all tenants to advocate for more efficient energy systems and sustainable buildings that mutually benefit them, their landlords, and the global community.

At Vicinity, we support these green lease leaders and believe that cutting-edge solutions like carbon-free eSteam™ are powerful tools to drive rapid decarbonization efforts in cities across the country.