Transcript Slide 1

GREEN

,

GREENER

,

GREENEST

STRIMA 2008 Conference

Daniels, West Virginia

Green Tech/Building Initiatives & Potential Insurance Issues

1 © 2008 The Travelers Companies, Inc. All rights reserved. Asset ## E:/2008/CUST/C. BOHAN/GOING GREEN/GREEN TECH-BLDG WEBINAR.PPT

Disclaimer

This program or presentation is only a tool to assist you in managing your responsibility to maintain safe premises, practices, operations and equipment, and is not for the benefit of any other party. The program or presentation does not cover all possible hazardous conditions or unsafe acts that may exist, and does not constitute legal advice. For decisions regarding use of the practices suggested by this program or presentation, follow the advice of your own legal counsel. Travelers disclaims all forms of warranties whatsoever, without limitation. Implementation of any practices suggested by this program or presentation is at your sole discretion, and Travelers or its affiliates shall not be liable to any party for any damages whatsoever arising out of, or in connection with, the information provided or its use.

This material does not amend, or otherwise affect, the provisions or coverages of any insurance policy or bond issued by Travelers, nor is it a representation that coverage does or does not exist for any particular claim or loss under any such policy or bond.

Coverage depends on the facts and circumstances involved in the claim or loss, all applicable policy or bond provisions, and any applicable law.

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Objectives

• Attendees should be able to:  Define green technology in the context of green building  Discuss potential risks of going green  Identify methods to minimize the risks 3

Green, Greener, Greenest – What’s so GREEN?

4 Photo Courtesy of DOE/NREL, Credit – Bruce Green

Green, Greener, Greenest – What about this one???

5 Source: University of Maine at Farmington Education Center

What Is Green ?

• Going green can mean many different things!

 Green Technology generally indicates products and/or services that: – Positively affect the environment – Conserve natural resources – Reduce energy consumption • Focusing the concepts of Green Technology, Products and Processes together for:  Building Renovation  Building Construction  Building Operation

=

GREEN BUILDING

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Green

Tech -

Green

Building

Energy Green materials/products Site sustainability Innovation & design Indoor environmental quality Conservation Energy Costs – Natural Resources – Availability of Green Products Why the focus on Buildings?

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Primary Opportunities For Green Building

• Within the U.S., buildings account for:  39% of total energy consumption  70% of electricity consumption  39% of CO2 emissions  40% of raw material usage  30% of waste output  12% of potable water usage • Research also reveals that 89% of future generations will choose brands that align with social causes = BIG BUSINESS Sources U.S. Green Building Council Web site ( U.S. Geological Service (1995 Data) www.usgbc.org

) 2006 U.S. DOE Buildings Energy Data Book EIA Annual Energy Review 2005; U.S. EIA/DOE 8

Why Green Building Now?

• Primary reasons/benefits include:  Negative environmental impacts  Rising costs – energy/materials  Limited supply of fossil fuels  Smaller carbon footprint  Health concerns  Less constraints - Fast tracking permits  Green tax incentives  Overall cost savings = ROI

The “PERFECT GREEN STORM”

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Green Building – Financial Advantages

• Although may cost on average 2–8% more to initially construct or incorporate, can result in:  8-9% decrease in operating cost (mainly through increased efficiencies)  7.5% increase in building values  6.6% improvement in ROI (over building life cycle)  3.5% increase in occupancy (improved occupant well-being)  3% rent increase Source: U.S. Green Building Council Web site (www.usgbc.org) 10

Being

Green

isn’t new!!

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Green

,

Greener

,

Greenest

– University of Southern Maine

Source: University of Southern Maine – Portland campus; Wishcamper Center 12

Green

,

Greener

,

Greenest

– Life Sciences/Labs

Photo Courtesy of DOE/NREL, Credit – Steve Hall & Hedrich Blessing 13

Green

Building Certifications

• U.S. Green Building Council (USGBC) = LEED

www.usgbc.com

• Green Building Initiative (GBI) = Green Globes Rating Tool

www.thegbi.com

• U.S. EPA & Department of Energy = Energy Star

www.energystar.gov

Others:

• Breeam (

www.breeam.org

) • UK Green Building Council (

www.ukgbc.org

) 14

Green

Building - Tremendous Growth

• GOVERNMENTS ARE ON-BOARD. – as of May 22, 2008: 263 governmental authorities had implemented some form of Green Building mandate.

• LEED projects are currently ongoing in all 50 states, and in 69 countries world-wide.

• Since CY 2000 (year LEED was introduced), USGBC membership has increased ten-fold.

• As of May 1, 2008, nearly 3.5+ billion square feet (10,000+ projects) of commercial building space is involved with LEED certification – up 480% since 2006. • Every day, approx. $464 million worth of construction registers with LEED.

Source: U.S. Green Building Council Web site (www.usgbc.org) 15

Going

Green

– Governments are On-Board

As of August 1, 2008: LEED Initiatives (Legislation, Exec Orders, Resolutions, Ordinances, Policies & Incentives) can be found in: 

98 Cities, 29 counties, 25 towns, 31 states, 12 fed agencies or depts., 15 public school jurisdictions & 38 institutions of high education.

Most recent Examples (U.S. GBC LEED Initiatives in Govt. & Schools):

• June 28, 2008: State of Indiana: Executive Order 08-14; requires all new state buildings to earn LEED Silver certification, EPA’s Energy Star rating, two Globes under GBI (or similar green building rating system). Also impacts renovations of existing state buildings.

• June 25, 2008: State of Florida: HB 7135; requires all new construction and renovation of state buildings to follow LEED or similar guidelines. As of July 1, 2008, requires same from counties, municipalities, school districts, water mgt districts, state universities, community colleges, and Florida state courtS.

Source: U.S. Green Building Council, LEED Initiatives in Governments and Schools, July 2008 16

Green

Tech -

Green

Building

Energy Green materials/products Site sustainability Innovation & design Indoor environmental quality Conservation

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Energy – Increased Efficiency & Alternatives

• Alternative Energy Sources  Solar - PV & thermal  Wind turbines  Geothermal - power/heating  Biomass - biofuels (generators / co-gen)  Fuel Cells (energy/co-gen)  Hydro electric 18

Energy - Alternative/Renewable

Photo Courtesy DOE/NREL, Credit – Warren Gretz 19

Building Integrated Photovoltaics (BIPV) – Oberlin, OH

Oberlin College – Adam Joseph Lewis Center for Environmental Studies

20 Photos Courtesy of DOE/NREL, Credit – Robb Williamson

Solar Thermal

Jefferson County Jail, Golden, CO

Photos Courtesy of DOE/NREL, Credit – David Parsons 21

Energy – Considerations

Some Potential Issues Type and size Environmental exposures Proposed location of installation System certification & vendor track record Physical & health hazards Warranty – life cycle considerations Some Recommended Controls Determine demand & resource availability Confirm established track record within anticipated environment Possible need for structural analysis; safe access for service/maintenance Product/system certifications, as well as vendor experience/past work Implement safety and industrial hygiene controls (maintenance) Product disposed of at end of life 22

Green Materials/Products – Benefits (Wants)

• Low toxicity • Minimal emissions • Low-VOC assembly • Recycled content • Recyclable-reusable • Improved indoor air quality (IAQ) • Sustainable - Renewable • Durable • Healthfully maintained 23

Green

Materials/Products - Examples

• Fungi based insulation • Structurally insulated panels (SIP) • Hemp trim boards/insulation • Recycled concrete floors • Petroleum-based vs. Natural Fiber (e.g., wool) carpet.

• Cork/bamboo 24

Green

Materials/Products

S.I.P. - Foam Core & Recycled Wood Wall sections Foam Icynene Insulation (plastic based & sprayed on)

Photo Courtesy of DOE/NREL, Credit – U.S. DOE & Craig Miller Productions Photo Courtesy of DOE/NREL, Credit – Paul Norton 25

Considerations For

Green

Materials/Products

Some Potential Issues Some Recommended Controls Green does not always = green (“green washing”) Always evaluate a product’s greenness – avoid being “green washed” Green does not always = safe Ensure evaluation of traditional product safety concerns and controls New products & technologies - lack of standards, track record & certification Durability & proper installation (construction defect) Vendor/contractor experience with green products/materials Confirm established track record and certifications for intended use Review lab & real-world testing data Contractor w/ track record for specific products of interest Life cycle considerations Product disposal at end of life 26

Site Sustainability

• Site selection – mindful of location to be developed (environmentally sensitive; pre-existing infrastructure).

• Erosion control/management – quantity & quality (construction and non-construction) • Brown field redevelopment – rehabilitating damaged sites • Greenfield sites – habitat protection or restoration • Proximity to mass transit – assists in reducing pollution • Heat island effects – roof & non-roof design features • Bicycle racks/changing rooms – low or no-emission transit

Leaving no footprint, or improving the footprints left by others, for future generations.

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Considerations For Site Sustainability

Some Potential Issues Some Recommended Controls Higher costs if not considered early in project Pre-planning discussions and detailed design reviews Brownfield redevelopment – lack of scope for remediation Independent site assessment and detailed remediation plans Erosion control mgt. – Failure to meet requirements Habitat restoration Master plan should consider both quantity and quality – approvals Ensure site survey and inclusion in master plan for building Heat island effects Site survey plans for shade, vegetated roof and/or high reflectance covering, paving materials 28

Conservation – Focus On Water

• Low flush toilets/waterless urinals/occupant sensors • Low or no irrigation landscaping • Point of use hot water heating systems • Hot water recirculation systems • State of the art irrigation methods • Rain water capture and re-use • Greywater recovery/re-use systems 29

Considerations For Conservation – Focus On Water

Some Potential Issues Some Recommended Controls Lack of routine inspection and maintenance Establish both routine and PM inspection/maintenance for water efficiency systems Plant species can affect indoor air quality Proper planning and consultation for drought-resistant plants Failure to properly treat greywater, or using greywater in non-approved applications Ensure greywater system controls are established, and systems are routinely inspected/maintained 30

Indoor Environmental Quality

Green air is clean air (or should be):  Operable windows  CO2 monitors  Moisture control techniques (minimizing mold growth)  Advanced air filtration systems (pleated, electrostatic, HEPA)  Reduction of “off-gassing” via low or little emission adhesives, paints, stains, or products  High insulation factors (tight building) 31

Considerations For Improved Indoor Environmental Quality (IAQ)

Some Potential Issues Some Recommended Controls Lack of HVAC commissioning and calibration Operable windows New “low or little off-gassing” (low VOC) products/materials Verify HVAC systems are installed, calibrated and commissioned Full building air flush Appropriate rules concerning use, and follow-up with occupants Evaluate new materials for potential issues prior to selection & installation 32

Innovation And Design Certified

Green

/Vegetated Roof Coverings

Chicago City Hall: 22,000 sq. ft. roof-top garden for heat island reduction & rain water run-off

Photo Courtesy of DOE/NREL, Credit – Katrin Scholz-Barth 33

Green

Roofs

Travelers Building in St. Paul, MN

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Innovation And Design

Green

Vegetated Wall

Photo Courtesy of DOE/NREL, Credit – John Krigger, Saturn Resource.

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Innovation and Design Considerations for Vegetated Roofs/Walls

Some Potential Issues Some Recommended Controls Contractor experience – track record Weight of materials, growing medium, water, etc.

Waterproofing Plant selection and maintenance considerations Safety considerations Do-it-yourself kits (be careful) Confirm established & successful track record for intended project, certifications Structural analysis for roof load – safety factor for growth/materials Testing and water drainage is critical Selecting plants for the native environment (drought tolerant) Safety planned for intended use Defects associated with installation – water intrusion 36

Considerations For Contractors/Installers Of Green Technology/ Green Materials/Products Photovoltaic Module Installation-1997 Governor’s Mansion, Denver, CO Solar Hot Water Heater Panel Installation

Photo Courtesy DOE/NREL, Credit – David Parsons 37 Photo Courtesy DOE/NREL, Credit – Warren Getz

Wrap-up Considerations For

Green

Technology –

Green

Building

Some Potential Issues Some Recommended Controls Unfamiliarity with new materials and installation practices Product track record warranties Performance guarantees - project quality Possible additional hazards for workers and occupants associated with green technology Inadequate planning when going green Utilize factory trained and/or LEED qualified personnel Look for established track record for product and vendors - RESEARCH Ongoing communication/design reviews Implement safety and industrial hygiene controls Consider cost drivers early in project, affects on building value, replacement time 38

What Makes A Building A

Green

Building?

Energy Green materials/products Site sustainability Innovation & design Indoor environmental quality Conservation

There are many benefits to

Going Green

– if done correctly.

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Green

,

Greener

,

Greenest

!!!

THANKS FOR ATTENDING!!!

ANY QUESTIONS?

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