GREEN BUILDING SOLUTIONSTHAT DRIVE PROJECT PERFORMANCE

2THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

Global construction is facing colossal challenges in

the form of new technologies, changing construction

methods, and constantly shifting local contexts. But

a number of exciting building trends are helping the

industry to meet these difficulties head-on; defining the

present and shaping the future of our built environment.

Here’s what to look out for in the coming year—as well as

the potential benefits to your business of embracing the

latest in green building innovation.

3THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

The World Green Building Council (WGBC) has called for a zero carbon

built environment by 2050 on the back of the Paris Agreement, which

aims to restrict global greenhouse gas (GHG) emissions to keep

temperature rise below 36 degrees Fahrenheit.

The building and construction sector has been singled out to find

solutions to reduce greenhouse gas emissions because it accounts for

about 40% of global energy consumption and associated emissions.

The reality is that an increasing number of businesses are seeing

the benefits of building green, to such an extent that green building

projects are doubling every three years. And in the next 12 months,

the United States Environmental Protection Agency (EPA) will continue

to encourage the transition to green building by implementing and

monitoring an increasing number of rules and regulations that hold the

construction industry accountable for reducing its negative impact on

the environment.

This not only covers the use of green materials but also includes

recommendations for installing, implementing, and maintaining

pollution prevention measures that minimize the discharge of

pollutants from equipment used on site, including site vehicles,

industrial heaters, wheel wash water, and any associated chemicals.

Environmental Impact

Global construction sector’s contribution to: air pollution 23%, climate change 50%, drinking water pollution 40%, landfill wastes 50%. – Bimhow

60% of construction projects will be green by 2018. – Dodge Data & Analytics

Green building methodologies have achieved a 14.5% decrease in normalized water consumption across our Canadian office portfolio

(2012–2016); the equivalent volume of 77 Olympic swimming pools.

– Bentall Kennedy

4THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

The EPA offers rewards to construction companies that reduce their

impact on the environment through a number of programs: Industrial

Recycling, Energy Star, Environmentally Preferable Purchasing, and

GreenScapes. To springboard the green building revolution, the EPA is

collaborating with the National Institute of Building Sciences to create

a Green Building Construction Guide that details how construction

firms can approach green building while observing federal rules and

regulations.

Similarly, the Canada Green Building Council (CaGBC) is working to

reduce environmental impact through project certification, advocacy

and research, as well as providing green building education to more

than 30,000 professionals across the country since 2002.

This year, the CaGBC won the Clean50 Top Project Award for creating

Canada’s first Zero Carbon Building Standard. Its aim is to help the

Canadian real estate industry meet its obligations to limit climate

change under the Paris Agreement. The standard sets out clear ways

of assessing progress against the objective of eliminating GHGs

from building operations and is already informing the work of others

including different levels of government.

Energy tops the priority list of sustainable green building trends as the quest for zero net energy mounts across the U.S. This is due to a decrease in the cost of onsite solar power and building owners seeing the benefits of committing to carbon emissions reduction. – U.S. Green Building Council

Trend

5THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

In Factors Affecting Productivity in Green Building Construction Projects: The Case of Singapore, study results suggest that the top five critical factors

affecting the productivity of green building construction projects are: worker

experience, technology, design changes, worker skill level, and planning and

sequencing of work.

Since the design, materials, and processes of green building differ from those

of traditional construction, issues around the productivity of green building

projects remain a concern. Emphasis is placed on long-term benefits instead

of immediate ROI—studies in the U.S. record 6% higher rental rates for green

buildings. Although factors affecting productivity are difficult to isolate, they

seem to correlate with gains linked to cost-efficiencies and the health and safety

of individuals living and working in green buildings.

Productivity

Increase productivity on green building projects: adopt green building strategies at the outset of the design process, use design and construction teams experienced in green building, and invest in an integrated design process (IDP).

Trend

6THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

Projected U.S. green construction spend is expected to reach about $250 billion by 2018.

The Government of Canada’s 2017 budget will invest $21.9 billion in green infrastructure, including initiatives that support the implementation of the Pan-Canadian Framework on Clean Growth and Climate Change.

Cost Efficiency

The costs associated with green building are generally perceived to be

higher than they are in reality. The World Business Council for Sustainable

Development found that members of the public believed that green features

added 17% on average to the cost of a building, when a study of 146 green

buildings found average additional costs of less than 2%.

Although construction costs may be marginally higher at the outset, the rise

in green construction spending in the U.S.—from just over $1 billion in 2005 to

over $100 billion in 2014—is ample proof that operational cost savings and tax

credits have driven the sector’s rapid growth over the last decade. In addition,

decreased operating and energy costs mean that green buildings provide

a long-term return on investment. According to the U.S. Green Building

Council’s The Business Case for Green Building, owners of green buildings

reported an average 19% improvement in ROI for existing green building

projects and 9.9% for new projects.

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7THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

70% of survey respondents cite lower operating costs as the “greatest benefit” of building green. – Dodge Data & Analytics

61% of corporate leaders believe sustainability leads to market differentiation and improved financial performance. – USGCB

8THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

33% of Americans are more inclined to work for a green company than one that is not. – Harris poll

Health and SafetyThere is something of a contradiction around the issue of green building health

and safety. Where the benefits to the occupants of green buildings are well

documented, individuals working on green building construction sites are often at

increased risk compared to their counterparts on traditional builds. A 2012 study

by the Center for Construction Research and Training found increases on green

building sites of lacerations and sprains from recycling construction materials,

falls during roof work as a result of installing renewable energy, eye strain when

installing reflective roof membranes, and exposure to harmful substances when

installing innovative wastewater technologies.

Their recommendation was that “designers and contractors identify prefabrication,

effective site layout, and alternative products as methods to prevent injuries that

specifically relate to the hazards of each sustainable element”.

The National Institute for Occupational Safety and Health (NIOSH) has since

worked with the U.S. Green Building Council to develop a pilot to address these

issues, titled: Prevention through Design (PtD). Its goal is to eliminate hazards and

control risks to workers “at the source” or as early as possible in the life cycle of

items or workplaces.

On-site worker performance increases with temperatures up to 60–72 F and decreases above 73–75 F. Highest productivity is at 71.6 F. An optimal environment is one in which temperature can be controlled.

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9THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

A company’s green credentials are increasingly important for enterprise partnerships

and vendor relationships. Although values and cultures do not have to be an exact

match, a situation in which one partner is ‘green’ while another is involved in dumping

hazardous waste will cause serious damage to the relationship. As legislation and

technology lead to more transparency, your reputation will be increasingly affected by

the associated brands of your various vendors.

Disclosure of a company’s environmental practices is becoming an important way to

establish public trust, as the impact of business on the environment remains a global

priority and of media interest. The disclosure of green practices is also giving certain

construction companies a competitive edge over those that are not developing their

green building credentials.

Partnership and Vendor Relationship

Disclosure of company environmental practices is set to be a hot topic in the years ahead, with some cities already requiring disclosure of green practices.

An average company pays out 55% of its revenue to partners and vendors for goods and services. – AEC Business

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10THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

ReputationIt’s official—a sustainable brand enhances a company’s reputation. And reputation

is more easily measurable today, with internationally recognized certifications in

green building practices. The Leadership in Energy and Environmental Design

(LEED) is the international benchmark for buildings that are environmentally

friendly. According to the U.S. Green Building Council, a LEED-Gold building has

50% less negative impact on the environment, and a LEED-Platinum building

70% less negative impact than a conventional building. The certification program

focuses mainly on new commercial building projects and is based on a points

system. The more points you earn, the higher your rating.

The CaGBC is the license holder of the LEED® green building rating system in

Canada. Since 2004, the body has certified over 2,800 LEED buildings in Canada

and registered over 5,000; boasting the second highest number of LEED projects

in the world after China.

Another aspect of building a sustainable reputation is increased access to

investment capital. In fact, one in eight dollars under professional management

in the U.S. is involved in socially responsible investing. That’s $3.07 trillion being

invested in companies that have been found to be sustainable.

66% of consumers will pay more for sustainable brands. – Nielsen

Ontario invested $92 million in 2016 to retrofit social-housing buildings to reduce GHG emissions. Ontario's Climate Change Action Plan has committed almost $500 million more for social housing retrofits over the next five years.

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11THE RACE FOR GREEN BUILDING SOLUTIONS HEATS UP

World Green Building Week 2016 reached more than one million people via social media.

A Deloitte Consulting survey found that 100% of employers who implemented green retrofits experienced an increase in goodwill and brand equity.

The human population is predicted to reach around 10 billion by 2050.

This means that innovations in how we plan, design, build, and use our

spaces is crucial for our future and quality of life. If we get it right, we’re

headed for an exciting future we’re only now beginning to imagine. Get

it wrong, and the future is a scary place of chaos, failing health, and

unsustainability.

Technology will continue to enable sustainable building practices for

the foreseeable future, with cloud computing allowing energy savings of

between 30% and 90% on projects; its multiple operating systems able

to run off of a single server. Companies can also track and quantify their

results with the use of construction technology, while Building Information

Modeling (BIM) facilitates collaboration across multiple teams for the most

sustainable model possible using an intelligent 3D model-based process

to plan, design, construct, and manage buildings and infrastructure.

What is infinitely more exciting is also not so easily quantifiable or

predictable: the possible outcomes on our built environment of the human

mind when it dreams, innovates, and creates.

Dreams and Innovations

One such innovation is a new breed of extreme-cold heater created by Thermal Intelligence. After

10 years of managing extreme-cold job sites, the company’s co-founders came to the conclusion

that traditional cold-weather industrial heaters were outdated, under-performed, and ate up project

budgets. So they applied state-of-the-art technology other industries had been using for years—like

high-efficiency engines, low-maintenance magnetic heat generation, and wireless communication—

to extreme-cold job sites in the form of smart heaters that deliver the heat of up to nine conventional

heaters and burn up to 75% less fuel than their biggest competitors. This means fuel and maintenance

savings of as much as $36,000 a month on each heater. Thermal Intelligence is now the first "Green

Certified" temporary heating company in the world.

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If you’d like to know how much heat your next project needs, visit our site and try out our handy BTU calculator