As organisations seek to prove demonstratable action against net zero targets, Mark Postill, DecarbonomicsTM Delivery Lead at AtkinsRealis, explores how carbon roadmapping is essential to planning and implementing built asset portfolio decarbonisation
To start any target-based change programme, you first need to take stock, understand the current status as a starting point, and then plot the actions needed to close the gap to where you want to be.
In this same way, carbon and energy efficiency roadmaps analyse the current status as a Carbon Baseline and then identify a programme of interventions that may be required to achieve energy savings or net zero by a future target date.
A roadmap for delivering net zero is essential to success
Moreover, the earlier a carbon roadmap can be created, the more ‘business as usual’ decisions can be made against the underlying net zero context to understand whether any action helps or hinders the journey to net zero.
Acknowledging the amount of work required to achieve Net Zero can be daunting, but pragmatic decisions can be made only by understanding the size of the challenge ahead.
It may be tempting to delay starting until the information is perfect, but in our experience, it is best to find a way just to start.
Finding a way to start at least allows the data collection process to commence and an understanding of the complexity of the journey ahead.
Immediate and clear priorities are often identified at this stage, allowing early business cases for immediate action while data accuracy and carbon roadmapping mature.
What insights might carbon roadmapping bring to building portfolios?
The first step for road mapping is to understand a building portfolio’s current energy and carbon consumption. This is often a very insightful process, highlighting the best and worst-performing buildings.
It can show how Energy Use Intensity (EUI) compares between different types of buildings and with industry averages or targets, such as the UK Green Building Council’s “Paris Proof” targets.
By using publicly available information on grid decarbonisation the extent of decarbonisation that will occur without any direct interventions can be seen.
In the UK, the carbon factor of the grid is expected to be reduced by 18% between 2021 and 2040.
If considered at the building level, a carbon roadmap can identify what types of interventions may be feasible and the cumulative reduction of energy and carbon consumption they may bring.
Attributing indicative capital costs to these interventions can identify the potential scale of the challenge ahead. However, it must be remembered that at this early mapping stage, the achievable accuracy of costs is still likely to be broad as delivery risks remain.
Building in future portfolio movements will also be necessary with any dynamic estate, which could increase carbon energy use instead of reducing it.
Even if this is the case, future business decisions can be made with due consideration to their effect on the underlying roadmap trajectory.
How does this fit with a broader estate strategy?
Carbon roadmapping should remain a live, dynamic program that can sit alongside a wider estate strategy.
Integrating existing capital programmes and forward maintenance plans can demonstrate how far toward net zero can be achieved with just ‘business as usual’ operations.
We often find that as much as 40% can be achieved this way.
From here, there are three main directions to unlock the potential of the roadmap process.
Firstly, to hone and mature the roadmap, update it with the latest energy use data, continue the survey program, or dig deeper into the worst offenders or quickest wins.
Secondly, to prepare for the delivery of immediate ‘no / low regret’ interventions with due diligence, feasibility studies, and procurement packages.
Thirdly and possibly most importantly, use the roadmap for ‘off the curve’ decisions such as estate optimisation, sale, regeneration, or alternative re-use. It is often only through this that the dramatic step changes required for a specific net zero pathway can be modelled.
What information is required to roadmap?
Carbon roadmapping traditionally requires a survey team to visit the site, undertake a full energy audit, and receive full consumption information.
Typically, the need to complete data sets and a costly survey programme has meant estate owners may delay the commissioning of essential roadmap services.
How do you balance value, cost, and funding?
The beauty of a well-considered roadmap is its simplicity of purpose. Every estate decision can be considered against it and challenged with “Does this help or hinder our net zero journey?”
It can be surprising to see the indicative cost of all the roadmap interventions, but when considered with the right mindset, the roadmap can start working for asset owners.
It’s often not a case of balancing value, cost, and funding but instead layering these considerations over each other.
Consider whether funding may be available through public grants or private investment. The cost of implementing interventions as part of future refurbishments may also improve rental returns and, therefore, overall asset value.
It may also prompt questions such as “Is this the best use of this money?” potentially influencing the balance in repair versus replace decisions.
What’s the first step to carbon roadmapping?
Often the first step is the hardest, but it need not be. If I could make one recommendation to all asset owners, it’s simply to “just start.”
Three sector-specific recommendations
1. Higher Education
With longstanding varied estates and ambitious future capital plans, each individual investment decision will often impact a campus or university estate for many generations.
Roadmap early to ensure all money spent is helping to drive forward energy efficiency and net zero as part of Operating Expenditure, Capital Expenditure and grant applications.
The current Public Sector Decarbonisation Scheme is particularly well suited to higher education estates where any match funding requirements are typically more easily available.
2. Commercial Real Estate
With net zero and energy efficiency accelerating asset obsolescence, a clear and actionable plan to achieve net zero becomes critical to fund performance, particularly with the risk of stranded assets through tightening regulation from the Minimum Energy Efficiency Standard regulations.
With clear links between carbon reduction and asset appeal, savvy commercial real estate owners can use roadmaps to identify the best timing for interventions that can add value through ‘off the curve’ asset strategies while working directly with occupiers to advance mutually beneficial interventions mid-term.
3. Local Authorities
Local Authorities often have the largest net-zero challenge and are often restricted with the smallest budget available. Pursuing government, public sector, or private-partnership grants or funding can leverage existing spending power.
Be creative with large and varied landholdings, which may give rise to regeneration and placemaking opportunities or could be used for direct energy production or storage, providing additional revenue streams.
Ask, “Could this spend provide even better local value if used to support a more ambitious scheme than straightforward like-for-like use?”
At AtkinsRealis, DecarbonomicsTM is our response to these challenges, providing an end-to-end carbon and energy efficiency service line operating across Baseline, Roadmapping, and Delivery of Net Zero and energy efficiency interventions.
Mark Postill
DecarbonomicsTM Delivery Lead
AtkinsRealis
