The Quiet Passive House RevolutionMoving from niche to norm

Dylan Heerema

Analyst, Pembina Institute

April 7, 2017

Photo: Pembina Institute

4

Leading Canada’s transition to clean energyThe Pembina Institute is a non-profit think-tank that advocates for strong, effective policies to support Canada's clean-energy transition.

What we do in the building sector

� Research

5

� Research

� Advocacy

What we do in the building sector

� Research

� Advocacy

� Convening

What we do in the building sector

7

Agenda

� The challenge of buildings and climate

� State of the Passive House market in 2017

� Market transformation

� Enabling policies

� Barriers and solutions

� Strategic action

� The new normal8

The Challenge

Photo: CC BY-NC-ND 2.0

� US – nearly half of emissions

� Canada – around 1/4 of emissions

� Growing faster than any other sector

Building sector emissions

10

� Over 900 billion ft2, will be built and rebuilt in urban areas by 2030, an area roughly equal to 60% of the current global building stock.

� If construction standards do not evolve rapidly, inefficiencies will be locked in and could lead emissions from the building sector to double by 2050.

Urban renewal

11

Setting the vision

Photo: Huffington post

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The good news – we are positioned well

13

Proposed building sector targets

40-50% by 2030

80-100% by 2050

14

How do we get there?

� Retrofits at scale

� Electrification, and…

� Resilient, zero emissions-ready new construction

Passive House

EnerPHit

15

Photo: BC Passive House

State of the Passive House Market

Photo: Pembina Institute

State of the Passive House market in 2017

� More

� Bigger

� More diverse

17

Data: PHI, PHIUS and Passive House Canada

Growth of Passive House in North America

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0

50

100

150

200

250

300

350

2009 2010 2011 2012 2013 2014 2015 2016 2016 + in development

Cum

ulat

ive

Proj

ects

Cumulative Projects

In development

PHIUS - New

PHI - New

PHIUS - Cumulative

PHI - Cumulative

0

0.5

1

1.5

2

2.5

3

2009 2010 2011 2012 2013 2014 2015 2016 2016 + in development

Cum

ulat

ive

Squa

re F

oota

ge (M

illion

s)

Cumulative Square Footage

In development

PHIUS - New

PHI - New

PHIUS - Cumulative

PHI - Cumulative

Growth of Passive House in North America

Vancouver:20+ projects600+ units

Data: PHI, PHIUS and Passive House Canada

19

U.S.

20

Photo: Hudson Inc.

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Photo: Arnold Development

Canada

22

Photo: Cornerstone Architecture

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Photo: Cornerstone Architecture

24

Photo: Cornerstone Architecture

25 Photo: Local Practice

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Industry capacity is growing

Data: PHI, PHIUS and Passive House Canada

Consultants / Designers

Builders / Trades

0

200

400

600

800

1000

1200

2010

20

11

2012

2013

2014

20

15

2016

2017

Num

ber

27

Certified Passive House Practitioners

28

Trades training

29

Photos: BCIT

Market Transformation

Photo: David Dodge, Green Energy Futures

A market transformation is occurring

31

Market transformation: bottom-up & top-down

Macro level(landscape, trends)

Meso level(regimes, institutions)

Micro level(niches, individuals)

32

Photo: Jasperdo, CC BY-NC-ND 2.0

Enabling Policies

Vancouver

� Previously removed barriers to Passive House construction

� Now, Passive House certification will be required for all new city owned buildings

34

Photo: CC BY-NC_ND-2.0

Vancouver’s Zero Emissions Building Plan

2016: 50-64% GHG reduction2020: passive house performance* (for rezoning)2025: zero carbon

2016: 60% GHG reduction 2020: near passive house performance2025: zero carbon

2014: 50% reduction in GHG intensity2020: 70% reduction in GHG intensity2025: zero carbon, thermal load <30 kWh/m2/yr

(9.5 KBTU/sf)

* i.e. Thermal load intensity < 15 kWh/m2 (4.7 KBTU/sf)

35

B.C. Energy Step Code

36

Collaborative Design

Pan-Canadian Framework on Clean Growth and Climate Change

� Net-zero energy ready model building code by 2030

� Retrofit model code by 2022

� Mandatory energy labelling by 2019

� Improvements to equipment and appliance standards

38

Photo: p2-r2, CC BY-NC-ND 2.0

Barriers and Solutions

What is needed?

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� The technologies, products and practices already exist

� Moving to the norm still requires a shift in industry practice

� The pace required calls for public and private mobilization

Common barriers

41

1.Political vision and regulation

2. Industry capacity

3. Business case and financing

4. Supply chain

5. Public and industry awareness of passive design and benefits

6. Quality assurance Photo: Roberta Franchuk, Pembina Institute

Early Strategic Actions

1. Buildings on the ground

42

2. Liberate energy information

3. Free up capital

4. Training, education, sharing

5. Prepare the market for future regulation

Q: Which strategic actions can we influence?

� A: All of them!

� Direct influence at the micro level +

� Advocacy at the macro level

43

Strategic Actions:Top-down and bottom-up

1. Get more passive buildings on the ground� Public procurement policy

� Rezoning incentives and removal of barriers

� Incentive for low-cost, high-performance ‘exemplary’ buildings

45Photos: Passive House Canada

More Passive Houses, and more diversity

46

Photo: Flechas Architecture

47

Photo: City of Vancouver

48

Photo: Zero Energy Design

49

Photo: Passive House Canada

2. Ensure markets and decision makers have access to energy information� Benchmarking, reporting and disclosure

� Universal home energy labelling

50

Ongoing monitoring of performance

51

RECS-2009 Averages - Zone 5A

0

10

20

30

40

50

60

0 10 20 30 40 50 60

Mea

sure

d an

nual

ther

mal

load

inte

nsity

(kW

h/m

CFA

2 )

Modelled annual thermal load intensity (kWh/mCFA2)

Single-family detached (SFD) Single-family attached (SFA) Mid-rise Other

Zone 2 Zone 3 Zone 4 Zone 5 Zone 6

Ongoing monitoring of performance

52

3. Free up additional capital to cover incremental cost� Repayment mechanisms:

� PACE � On-bill financing� Energy service agreements

� Credit enhancements� Loan loss reserves� Loan guarantees� Interest rate buy-downs

� Infrastructure banks

53

Image: Pixabay

SFD SFA MURB

SFD SFA

Average = 6%

0%

5%

10%

15%

20%

Incr

emen

tal C

ost

Actual construction cost compared to local average

Non-residential

Detailed costing studies

Van

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er M

ainl

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man

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gium

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itzer

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Incremental cost

54

$6/sf 2-7%

$9/sf 5%

$12/sf <7%

$15/sf <7%

-10

-5

0

5

10

15

20

SFDin Vancouver, B.C.

Six-plexin Victoria, B.C.

Incr

emen

tal c

ompo

nent

cos

t ($/

sf)

HRV & ventilation

Windows & doors

Insulation & envelope

Heatingsystem

Soft Costs, Light-ing, DHW and

Shading

Net incremental construction cost

Concrete 4-6 storey MURB in Vancouver, B.C.

Wood 4-6 storey MURB in Vancouver, B.C.

Incremental cost

55

Bringing incremental cost towards zero

� Build industry capacity

� Improve supply chain

� Remove regulatory barriers

� Track performance and costing data

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4. Create information sharing hubs offering training for industry, providing public education and outreach

� Training and capacity building hubs

� Regional practitioner hubs

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Supporting education and training

� One day introduction to PH

� PH design (CPHC/CPHD)

� PH trades and certified builders courses

� Higher education courses

58

Photo: BCIT

Communication: co-benefits

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Communication: quality and comfort

� Acoustic isolation

� Longevity

� Less maintenance

� Thermal comfort

60

Photo: unsplash

Communication: Productivity gains

61Photo: ChargeSpot

Communication: job creation

62

$1M spent

5.3 jobsin energy sector

13-18 jobs in energy efficiency sector

Sources: University of Massachusetts & energy efficiency industrial forum

5. Prepare the ground for regulation

� Code development roadmaps

� Stretch codes / Step codes

� Mobilizing the voice of the ‘green economy’

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Getting the details right

64

� Moisture management

� Glazing and shading

� Careful design of sills and frames

Image: Green Building Advisor

Advocating for policy change

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� Increasing the price signal for efficiency

� Labelling, benchmarking and disclosure

� Vision and clarity on code evolution

� Targeted incentives and removal of barriers

Next Steps

Photo: Lauren Parnell Marino, CC BY-NC-ND 2.0

Action items for the PH community

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� More, diverse and visible projects

� Standardize and increase performance and costing tracking

� Expand capacity and support training

� Communicate the multiple benefits

� Continue to develop best practices and bring down costs

� Advocate for policy change

The emerging norm

68

Photo: BDC Network

Dylan Heeremadylanh@pembina.org

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