SustainableHousingin Mexico

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1 13 th Climate Technology Initiative Workshop SustainableHousingin Mexico Innovations for a climate friendly building sector National Housing Commission October, 2012

2 NAMA for sustainable housing in Mexico Mexican Housing NAMA Implementation 1 st supportednamatostartpiloting in2012 Startofinitiative:24April2011 The aim of NAMA is to supplement on-going initiatives for energyefficient housing. Objectives: 1. Extend penetration of basic efficiency standards to the entire new housing market in Mexico 2. Upgrade efficiency standards to more ambitious levels

3 Housing NAMA Implementation Housing NAMA Implementation 2012 Loan 160 mill EUR 10% Pilot Grant (extra cost) MRV Systems Charrettes Construction of new housing & workshops Pilot Projects New housing projects in 6 Mexican locations under the NAMA Protocol. implementation between 2012 and 2020 with KfW and IDB support, to build 35,708 houses. mitigation potential: 1,627 MtCO2 ina40yearlifespan New housing projects in Hermosillo Morelia and Guadalajara with support frombmu-giz. New housing projects in Aguascalientes, Cancún and Playa del Carmen by local housing, and Mexicali MRV System with support from Canada.

4 Aguascalientes Pilot Project Housing Performance Analysis, support form Canada Charrette, modeling, performance testing, control equipment, 10 research units and incremental costs for a minimum of 7 houses. $ 270,000 CAN dlls Urban Context Social Impact Study, support form Canada & CONAVI Strategy for low carbon homes, support form Canada Co-Benefits Study, support form Canada $ 275,000 CAN dlls Regulation improvement& Governance Proposal Community Charrettes : transportation, waste, water (Canada) $80,000 CAN dlls Energy Efficient Housing Best practices and design workshops (Canada, KfW/IDB) Efficient housing construction(canada& KfW/IDB) Performance monitoring(canada, KfW/IDB) $ 100,000 CAN dlls Aguascalientes Implementation 2012 Housing Urban Context Regulation Improvement & Governance Energy Efficient housing Grant 700,000 CAN dlls

5 Housing NAMA Implementation - Innovation International funds (public & private) Mexican new housing NAMA Direct & indirect mitigation measures MRV system Financing mechanism Required pilots Based on existing programmes and structures. Provide approaches already proven in practice to donor community (turn-key NAMAs). Saved tco 2 e & Co-benefits

6 Housing NAMA Implementation - Innovation

7 Housing NAMA Implementation - Innovation Different types of financing packages have been designed as examples of how international support could advance the NAMA. target support towards specific activities that align with their development priorities povides flexibility for regulators should they seek to increase the stringency of the program over time Pilot Projects Extremely hot dry Hot humid Extremely hot humid Temperate Temperate cold

8 Housing NAMA Penetration & Scaling up Pilot Projects Resullts for: Replicability Cost-Benefit Technologies and Measures Agreed MRV System Implementation: Phase 1. Penetration Phase2. Scalingup: More efficiency leves i. Accurate assessment of performance ii. Low cost optimization iii. Passive solutions iv. Technological optimization i. New technologies ii. Materials iii. Renewables i. Demo projects a. Passive House b. Net 0 c. Base Line Efficiency Low Carbon House

9 Designing a NAMA Protocol with DNV Protocol Design of compliance assessment of the GHG program mitigation in the housing sector with defined international standards: Compliance Assessment of the GHG Mitigation Actions Program. Issuance of Certificate of Sustainable Housing Program under the NAMA housing framework. Protocol Design for the NAMA Housing Program Certification

10 Sustainable Public Policy Financing Granted Financing granted: 6,743,532 (2007- July 2012) 2012 actions: 67% of 1 million (July 2012) Green Mortgages: 1 million green credits (2009 July 2012) + subsidies Year Year Year July Accumulated Green Mortgage 120, , , , ,343 w/ Subsidy 77,287 93,538 86,896 37, ,456 % subsidy 64% 55% 23% 16% 35% HOUSING REGULATION AND SUSTAINABLE CRITERIA Housing Law Art. 73 SEDESOL Green Mortgage subsidy Housing Building Code Redensification Guide ROP promoting verticality ROP location facilities density sustainability URBAN ROP = New Urban sustainability measures

11 Public Policy Sustainable Strategy SCALING UP Ésta es tu casa 295,456 subsidies Green Mortgage 910,343 green credits DUIS 8 certified, 18 in process: 312,684 new units 9,242 hectares Urban NAMA Investment in efficient infrastructure Housing NAMA Penetration Fovissste, SHF and upscale PoA Generate CER s from Green Mortages Grading System ROP 2012

12 Transition to a sustainable urban scale: ROP 2012 Strategy directed to strengthen Municipal and State legislation in order to promote Smart city growth. L3 Grading System ROP 2012 Optimum use of existing infrastructure Reclaiming of urban voids Density increase DIMENSION VARIABLES % LOCATION Polygons: L1, L2, L3 30 Health Facilities FACILITIES Kinder garden Elementary school Junior high school 25 Housing typolgy REDENSIFICATION Density Habitable area 23 Open areas facilities COMPETITIVENESS Public transport Shared sustainable energy technologies 22 L1 L2 TOTAL 1000 points 100% + Mandatory Basic Energy technologies

13 Implementation Results: ROP 2012 Of thewholehouses(gradedand georeferenced): 2% correspond toduis = S1 5.1% obtains1 68.4% obtain S2 23.8% obtain S3 DUIS S1 S2 S3 SS Viviendas Total 1,437 3,560 47,994 16, ,340 In process: 216,796 houses Houses Houses Source: CONAVI/ RUV (July 2012) Verified grading

14 Grading Performance: ROP 2012 FACILITIES Health Center Kinder Junior-High Highschool Houses Most are rating in schools, transportation and green areas facilities REDENSIFICATION Density area Housing typology Habitable area Houses Challenge: To control growth of urban sprawl, promote densification and greater implementation of eco-technologies scored not scored COMPETITIVENESS Open areas facilities Public transport Eco-technologies Houses Source: CONAVI/ RUV

15 Transition to a sustainable urban scale: ROP 2013 Grading System ROP Additional Scoring

16 Clean Development Mechanism, POA Anticipatedsale of future CERs

17 Multilateral Sustainable Committee Objective: Working together toward a common goal to enrich, enhance and expand existing and future programs and schemes of the housing sector like: Green Mortgage, DUIS, POA, Housing and Urban NAMAs, standardization of rules, indicators, energy simulation tools, CONAVI Basic Package and Operating Rules, NAMA database, housing qualification and MRV system.

18 Urban NAMA - Designing Sustainable Communities Annual Emissions Intensity per New Urban Home, Waste Housing Water Public Lighting 4.79 tco 2 e / Yr 4.56 tco 2 e / Yr 0.23 tco 2 e / Yr 0.32 tco 2 e / Yr Urban & Rural Population in Less Developed Countries Emissions Pathways for New Urban Developments:

19 Urban NAMA The Urban NAMA covers community scale mitigation actions applied for new, green field residential communities across Mexico To reduce demand for delivered services, To improve the emissions efficiency of delivered services. Urban Sector Coverage Umbrella Concept Total energy Fuel consumption Water consumption at the community level

20 Urban NAMA Operational Overview Develop economic instruments and structures to support sustainable investments Establish performance based payments implement payments for environmental services that can be used to generate new revenue streams basedonthesaleofcarboncredits these revenue streams can then be leveraged to access commercially available funding

21 Urban NAMA Financial Overview Financial Overview

22 NAMA Attributes and Approach for Emissions Quantification Sector NAMA Attribute Examples of Applicable Mitigation Technologies New Housing Electricity Generation & Consumption Solar PV, micro-wind, fuel cells, micro combined heat and power (CHP), high efficiency lighting (e.g. CFLs, LEDs etc.), High efficiency appliances (e.g. televisions, refrigerators, air conditioners, computers etc.), ground source heat pumps, solar thermal heating, biomass thermal heating, demand side management techniques (e.g. occupancy sensors for lighting, heating, ventilation and cooling, cut off switches for parasitic power etc.), smart meters Gas Consumption High efficiency boilers, high efficiency gas appliances (e.g. cooking stoves, heaters etc.) Public Lighting Public Water & Sewer Public Solid Waste Public Power Water Consumption Sewage Generation Waste Generation Electricity Generation & Consumption Electricity Generation & Consumption Electricity Generation & Consumption Gas Consumption (includes fuels for transportation) Electricity Generation & Consumption Low pressure shower heads, rain water collection systems (for water reclamation), smart meters Low flush toilets Waste sorting bins Solar PV, micro-wind, high efficiency battery chargers, high efficiency lighting (e.g. CFLs, LEDs etc.), sunlight sensors On site power generation (e.g. solar, wind, CHP, biogas) at water and sewage treatment plants, high efficiency heating and cooling systems (at the facility), conduit hydropower, high efficiency pumps and compressors, solar desalination (where thermal desalination technologies used), flow metering equipment on water transmission and distribution lines (to detect leakage), high efficiency/throughput membranes (for various types of purification systems) On site power generation (e.g. solar, wind, CHP, biogas), high efficiency heating and cooling systems (at sorting, incineration, landfill and recycling facilities), municipal solid waste (MSW) power generation, land fill gas power generation Natural gas and alternate fuel vehicles Community scale power generation (from district CHP, large solar PV, wind, fuel cells etc.), smart meters, high efficiency transmission and distribution systems, automation and control systems for on demand power dispatch

23 UrbanNAMA Nextsteps Review and Finalize NAMA Design Define program scope and identify pilot opportunities Evaluate technical opportunities and provide context Review approaches and market instruments utilized by the sector Develop Analytical Parameters Define key parameters and boundaries Assess parameter values Compare technologies and target areas Evaluate & Prioritize Target areas Establish baseline and reference levels Evaluate mitigations options & Develop technology packages Calculate reduction potential Capacity Building Develop operational structures & define roles Implement MRV & data management systems Develop financial structures Implementation Develop implementation strategy and provide budget Gather funds and implement pilot activities Institute training and certification 23

24 Urban NAMA Pilot Implementation Reference Levels vs. Crediting Baseline Potential Approaches to Reference Level Quantification CASE I CASE II CASE III Water and sewage metering Electricity metering Gas metering Waste metering

25 Conclusions and Further Work NAMA development activities have advanced quickly in the months before COP17 Involvement of the private sector, and where possible public interventions should aim to mobilize and leverage private sector investments. Moving trough an Urban Vision Control growth of urban sprawl, promoting densification and greater implementation of eco-technologies Further design of customizing technology larger packages that can be applied across urban environments in the country Replicate pilots in large scale Create a training and certification office to support a national Urban NAMA Robust information on (mitigation) impacts must be balanced with a flexible MRV framework which does not limit the scope of NAMAs and the projects finance. Transcending government administrations

26 Conclusions and Further Work Vivienda y Entorno Sustentable A.C. President: Dr. Mario Molina Public-private organization that aims to strengthen a housing development scheme to 2030 focused on the three pillars of sustainability. March 29, Signing of joint declaration to strengthen the housing sustainability through modifications of policies and practices, for the efficient use of energy and natural resources, social welfare and raise the estate of Mexican families Housing Sustainability Index(HSI) Empowerment for transcending government administrations

27 Thank you! Tomasz Kotecki

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