APPROACH AND METHODOLOGY
This commitment will provide concrete examples of how the application of the Sustainable Return on Investment framework (developed through earlier CGI CTAs) is a credible and tested means of revealing the full value (including direct cash, non-cash, external costs and benefits as well as likelihoods of outcomes) of social, environmental, and economic implications of sustainable buildings/campuses/systems. It will present the process for development of performance metrics (stated in monetary terms) that allow for a robust comparison between traditional and sustainable building programming and design alternatives. It will assess several different types of buildings/campuses: commercial/office/administration, healthcare, research, transit, waste management, and municipal. It will present findings in a clear and concise manner including: structure and logic diagrams that map the analytical process, categories and sources of data inputs, summaries of alternatives and related outcomes. Illustrations of building types will be included, and results will be presented in Net Present Value, Return on Investment, Discounted Payback period, Internal Rate of Return, Benefit to Cost Ratio, and Sustainable Return on Investment for direct cash, non-cash, and external costs and benefits. This data will be presented across a range of probabilities and presented via graphics that show probability distributions, split of benefits, non-cash metrics, and comparisons via the Sustainability 'S' Curve.
HDR will be supported in this commitment by New York City Transit, Johns Hopkins University, the US Army, and The Economist Magazine. There is a strong desire to incorporate at least 3 C40 communities as partners and potential assessment sites. The final report will be assembled in conjunction with a research team from the School of International and Public Affairs at Columbia University. Findings will be released during the CGI Annual meeting in either 2011or 2012.
IMPLEMENTATION, TIMELINE, AND DELIVERABLES
This commitment is divided into 7 specific steps or tasks:
09.01.2010 Formation of a new collaboration team
11.01.2010 Identification of at least 6 different buildings/campuses/systems for assessment
12.01.2010 Confirmation of agreement to participate from building owners
06.01.2011 Assessment of alternatives* (this may take additional time depending on availability of subject building cases
09.01.2011 Compilation of results
09.01.2011 Development of a report/white paper and publication of the paper and an executive summary
12.01.2011 Presentation of findings in a major venue and in conjunction with The Economist Magazine
While there is broad conceptual support for the development of sustainable buildings, individuals or groups charged with decision making are often frustrated with the inability to justify 'green' buildings on the basis of project return on investment. This frustration has led to large numbers of decisions not to incorporate sustainable features into building retrofits or new building development. Ironically, in some cases, the lack of understanding or ability to measure sustainability has resulted in investments in strategies that deliver less than optimal results (on a dollar to dollar basis) as compared to other alternatives. Also, it has led to slower than desired growth in the commercialization of energy, water, mobility, GHG-reducing technologies. Finally, this slower pace has impacted job growth, worker productivity, community health, and contributed to global warming.
Introductions to several CGI members have led to collaboration on this commitment and other important environmental initiatives. For example, Impact Infrastructure is working with a West Coast consortium to lay a path toward a sustainable infrastructure clearing house. The organization is also working with a large group with an interest in creating sustainable performance metrics that will enable impact investments in public infrastructure projects. Lastly, Impact Infrastructure, as a new startup, is directly benefiting from input received by CGI members as advisors to the new company.
Prior to 2012:
SEEKING: Implementing Partners, Best Practice Information, Media/Marketing Opportunities
Partners that would sponsor assessments of their buildings, media partners to spread the word, best pracice feedback to help refine the asessments.
OFFERING: Implementing Partners, Best Practice Information
HDR is a major international architecture, engineering, and consulting organization with extensive knowledge of the built and natural environments (environmental restoration and program management). We seek partners who are interested in assessing the sustainable value of their building progams (in order to exapand the number of case studies that are developed as a result of this commitment), and who are in a position to encourage others to utilize the SROI and other frameworks to assess the value of sustainability.