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Cut out carbon via FM

10 September 2010

SPONSORED ARTCICLE: Through its Green Deal the government has made acommitment to reduce the UK’s carbon emissions. Central government departments must meet a 10 percent cut by 14th May 2011 after which a further reduction target will be set. Other organisations across the UK are also under pressure to cut out carbon emissions from their operations and their buildings. Yet in today’s low carbon economy, where investment is hindered by a lack of capital, how are these reductions to be achieved? M

THE GOVERNMENT’S POLICY ON energy and climate change states: “The Government believes that climate change is one of the gravest threats we face and that urgent action at home and abroad is required. We need to use a wide range of levers to cut carbon emissions, decarbonise the economy and support the creation of new green jobs and technologies. We will implement a full programme of measures to fulfil our joint ambitions for a low carbon and eco-friendly economy.”
Challenge of older buildings
Of course, creating new highly energy efficient buildings that are designed with environmental impact and running costs at their heart is a common theme for today’s designers and building specifiers. However, the real challenge is for those charged with managing any of the 85 percent of existing buildings in the UK that most likely will  still be here in 30 years time. For these buildings refurbishment and replacement of critical services such as lighting, HVAC and building controls provides the opportunity to build-in modern energy efficient measures, yet the cost can present an obstacle to achieving this. Without dedicated capital for investment in energy saving measures there needs to be a new approach to the delivery of FM services to achieve this result, both from a client and service provider perspective.
Integration through FM
Operationally it is the way that buildings are used which needs to be addressed. FM has a key role to play because it has control over so many of the important aspects of energy use. FM can pull these aspects together across all areas of the business working with the client. Carbon emissions can be cut through wellplanned and managed FM contracts where all aspects of the building’s operation and maintenance are integrated and managed through a joined up approach, ideally with common KPI’s.
It is this joined up FM and energy services approach that can really identify and deliver effective reductions. This can apply to all aspects of the FM service ranging from cleaning to complex technical maintenance and asset replacement.
According to the Energy Services Market Study carried out for BSRIA by Chiang, Samuelsson-Brown and Cobeaga, the energy market will be worth some £6.5bn by 2020. The vast majority of this is expected to be focussed on clients buying a total solution including the design, supply, installation, control and monitoring, compliance, financing, operation and maintenance of their energy services. The report also projects that those organisations already operating as energy service companies within the M&E and FM landscapes are best positioned to penetrate the market further.
An effective outsourced and integrated approach features six identifiable success factors which together form an overall road map to energy and carbon reduction. This CarbonCare approach represents MITIE’s response to the challenges posed by the low carbon economy.
Taking into account the organisation’s wide ranging capabilities; any FM contract can have the critical success factors of the CarbonCare approach applied.
Ownership of the carbon reduction challenge by both parties is key to any partnership. By working with clients, MITIE can address the way a building is used by its occupants in order to identify energy and carbon saving measures across both all areas of the buildings operation and services. With both organisations committed to energy and carbon savings, at least a 10 percent reduction can be achieved in just one year.
This approach to carbon through FM was applied in the following case studies. All of these contracts have delivered at least 10 percent emissions reductions.
This 10 percent target has been exceeded in the last two consecutive years for property management company, NB Real Estate. For the contract, which covers nearly one million square feet of commercial building space for its client, specific energy and sustainability KPIs were established. This represents a dynamic business model that delivers shared savings for both MITIE and NB Real Estate with savings that can be passed on to the client as well.
Throughout the term of this three year contract, which started in 2007, MITIE has dedicated to the delivery of year on year energy reductions. With an open book approach to the contract delivery, NB Real Estate receives just four invoices per year against an agreed margin. This covers all M&E services, energy costs and a contingency fund allowing MITIE to cover the cost of replacement and plant upgrades as a matter of course. The result is a completely transparent way of working, with no surprise costs for the customer or tenants
Reaping the financial benefit of energy savings is a key driver for North Somerset Council. It undertook a radical new type of contract where MITIE manages utility procurement, M&E services, HVAC, controls, lighting and lamp replacement and energy efficiency measures – such as boiler replacement. The contract term is spread over eight years, allowing time for the financial paybacks to work and the model to succeed. St Katherine’s School falls under this contract.
It has benefited from both protection of the education budget and enhancement of the school environment for pupils and staff. Through procurement MITIE is able to manage potentially volatile energy bills and invest in energy saving measures, which are funded through the resultant cost savings. The joined up energy supply, maintenance and operational approach to energy use within the schools is delivering higher levels of service, while the schools benefits from protection against rising energy costs and potential disruption caused by plant failure, with an emissions reduction of over 15 percent.
MITIE has designed, installed and is maintaining the Building Management System (BMS) for the student services and administration centre. This is part of the European Commission Project to construct and demonstrate highly sustainable ecobuildings.
MITIE’s specialist controls team has developed a BMS to manage a heating and ventilation system that is designed to use only sustainable resources.
MITIE has also commissioned a management control algorithm connected to the heating circuit of the adjacent building to replace a weather compensation system. This utilises the daily outdoor temperature to modulate temperature set points to calculate the comfort temperature of the building.
The eco-building has consistently met its energy targets since the inception of the new BMS. In the first year of opening, the energy consumption of the eco-building was 149kW/m2, compared with 278 W/m2 consumed by a similar building operating active cooling, giving savings of 46 percent.
● Mike Sewell  CarbonCare Director for MITIE.

FM route to 10 percent target
By implementing an outsourced and joined up approach to FM with a CarbonCare focus, 10 percent carbon savings over the course of less than a year are an achievable target for virtually any organisation. It is the FM provider that can identify and implement these changes by providing an integrated approach to the procurement, use and management of energy at the same time as highlighting operational improvements to the client which together maximise the reduction opportunity. MITIE CarbonCare is a full range of integrated services designed to manage out energy use and lower an organisation’s carbon footprint. 10 percent is the first target, beyond this in any contract there is scope to achieve much more.

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