2012 RPIC Real Property National Workshop Moving Toward Net Zero Energy: Ideas on how to get there Presented By Suzanne Wiltshire
Suzanne Wiltshire Bio Suzanne is Golder s Geothermal Technology Leader. Her clients include utilities, municipalities, institutions and Private developers in Canada and the U.S. Her work encompasses technical and financial feasibility, building energy efficiency design, geothermal system design, engineering and construction, and portfolio sustainability. She has developed innovative third party ownership and investment agreements, engaging partners from both public and private sectors. She currently serves as President of the Ontario Geothermal Association (OGA). 2-Nov-12 2
Presentation Key Points Energy supply, reliability, and cost continue to concern the real property community. Net Zero thinking is becoming the new benchmark / imperative. Rethinking your energy systems and planning for the future will be key to protecting your real estate assets for their long term viability. Suzanne will cover: Renewable energy sources highlighting geoexchange technology and the economics of why it makes sense in new construction and in select building retrofit projects. Pre-existing building and site conditions to look for and key steps in project management that can make or break your budget Several case examples of projects that will illustrate solutions to design, construction and financing issues. 2-Nov-12 3
Why Use Geothermal / Renewable Energy? Clean, natural, unlimited Everywhere Free Heating and cooling Available all the time, every day, winter and summer Saves electricity Saves money Saves the environment Easy to install No fossil fuels, no combustion No Green House Gas Emissions Systems can last 50 to 100 years and longer 2-Nov-12 4
Energy Quirks Energy demand has peaks Energy peak supply needs to be available when needed More capacity means more investment Energy storage is vital Issue is not where to get energy Issue is how to pay for energy - peak capacity at the ready, with less than peak consumption? 2-Nov-12 5
Energy Infrastructure Has Costs Grids, pipelines and power plants cost: Money Environment Land use Waste 2-Nov-12 6
2030 is NOW Net Zero new construction by 2030? - consume no energy on a net annual basis Step 1: reduce energy demand -air tight building, high U-value walls, roofs, windows & doors, high efficiency lighting and appliances Step 2: eliminate fossil fuels passive and active solar heating, ground source heat pumps Step 3: solar PV, wind, bio-fuels, wood, for electricity 2-Nov-12 7
Constraints? Just a few Parking Toronto 1 space/unit underground, car sharing Sun exposure existing buildings shadow each other live upstairs, sleep downstairs Geo boreholes no space 8 ft. high drill rigs, angle drilling, lease adjacent land Capital cost now savings later green loans, renewable energy suppliers, long term ownership Design and construction coordination design build, design integration, experience 2-Nov-12 8
Geothermal Energy Where is it? Regardless of air temperature, from a depth of 2 metres below the surface, the temperature of the ground is relatively constant Typical ground temperatures in Toronto are 10 to 12 C By installing HDPE loops into bore holes, water (ethanol or glycol solution) can be circulated; it is heated or cooled, depending on the entering water temperature Heat pumps use anti-freeze to condense or evaporate and augment energy output January April July October Summer Winter 25 C -10 C 11 C 2-Nov-12 9
Horizontal Geothermal System If land area is available, geothermal loops can be buried under a field or lawn 1.5 to 2 metres below the ground surface. Urban school yards, sports fields and parks can produce significant capacity Land area of a little less than 100 m 2 is required for each ton of heating and cooling 2-Nov-12 10
Vertical Geothermal System Geothermal loops are installed in bore holes drilled 180 metres deep Toronto shale geology produces approximately 3 tons of heating/cooling per bore hole OBC (2012) new construction buildings require approximately 1 ton of heating/ cooling per 1000 sq. ft of occupied space 2-Nov-12 11
Geothermal Heating in Winter 7 C 11 C 11 C 11 C One or many bore holes are drilled into the ground, up to 180 metres deep A continuous geothermal loop is inserted to the bottom of the bore hole and back up to the surface The geothermal loops are filled with water, connected in parallel and brought into the building basement where they are connected to a heat pump Heat pumps extract heat from the warm geothermal fluid, compress it to a higher temperature and send it into the building 2-Nov-12 12
Geothermal Cooling in Summer 18 C 11 F 11 F 11 F In summer, the same bore holes absorb heat from the building, providing cooling The same heat pumps reverse the process, to condense heat from the building and send it to the borefield Bore holes are designed to either act independently, each producing the full capacity of heating and cooling required, or they are designed to act as a battery, decreasing the ground s temperature in winter and increasing it in summer. 2-Nov-12 13
Sizing Thermal Response Test Fluid is heated and circulated in a geothermal well under controlled conditions with temperatures logged. Température ( C) 22 20 18 16 Valeurs expérimentales Modèle 14 12 Graphical 10 10 4 10 5 10 6 Temps (secondes) 22 Valeurs expérimentales Modèle 20 Température ( C) 18 16 14 12 Analytical 10-0.5 0 0.5 1 1.5 2 2.5 3 3.5 Temps (secondes) x 10 5 35 30 T1 - LWT - 0m T2-61m T3-122m T4-183m T5-61m T6 - EWT - 0m 25 Température ( C) 20 15 The ground thermal parameters will affect the size of the overall system 10 Numerical 5 0 1 2 3 4 5 6 Temps (secondes) x 10 5 2-Nov-12 14 14
Geothermal Borefield Balance Sizing a closed-loop system consists of evaluating the number of wells required based on: Thermal conductivity of geological medium Heat pump technical specifications (EWT & COP) Thermal loads of the building (8760 hours) Well depth and spacing Desired thermal interference between the boreholes 40 Température du fluide caloporteur a l'entrée de la PAC 35 30 25 Température (ºC) 20 15 10 5 Modelling of the heat carrier fluid temperature with a Golder 3D model 0-5 0 0.5 1 1.5 2 2.5 3 3.5 4 4.5 Heure x 10 4 Modelling heat pump entering water temperature (EWT) for 5 years with a Golder analytical model 2-Nov-12 15
Renewable Energy Building Conversion 27 storey 320,000 sq. ft. multi-res condo could save 760 tonnes of CO 2 emissions per year Energy Use in MNEBC Multi- Residential Building Lighting 10% Auxiliary 9% Hot Water Heating 23% Natural Gas 74% Energy Use in Renewable Energy Multi- Residential Building Space Cooling 7% Electricity 26% Geothermal Energy 65% PV Solar 1% Solar Hot Water Heating 11% Space Heating 4% Space Cooling 4% Lighting 10% Auxiliary 5% Renewable Energy 77% Electricity 23% Space Heating 51% 74% NG energy became 77% renewable energy Total annual electricity consumption 1% less Energy Savings (OBC) ~ 40% 2-Nov-12 16
Comparative Returns Internal Rates of Return 1. Geothermal -12.4% 2. Solar Air Heating -10.9% 3. Solar Water Heating - 5.9% 4. Wind 3.6% 5. PV 1.5% Payback Period 1. Geothermal - 7.2 yrs 2. Solar Air Heating 8 yrs 3. Solar Water Heating - 11.5 yrs 4. Wind 13.3 yrs 5. PV 16.9 yrs Source: (U of T, TRCA 2011) 2-Nov-12 17
Comparative O&M Costs Geothermal systems have no combustion and are not exposed to the weather Source: (U of T, TRCA 2011) 2-Nov-12 18
Annual Costs - NG vs. Geo natural gas fuel expense is perpetual, with no price certainty GSHP annual electricity consumption is more for heating but less for cooling producing net annual savings GSHP annual maintenance is 60% less GSHP life > NG furnace, AC equipment Electricity use in multi-res building conventional heating conventional cooling geo heating and cooling 2-Nov-12 19
Economics of Geothermal Capital Cost Annual Cost Capital Cost Annual Cost Total IRR Yr 1 Yr1 Payback Yr 20 Yr20 Payback 40 year LCC 40 y @ 10% E H / EL C $ 3,000 $ 3,252 $ 4,458 $ 4,832 $ 211,066 NG H / EL C $ 6,000 $ 1,574 $ 8,916 $ 2,339 $ 113,449 GEO H / GEO C $ 12,000 $ 510 5.6 $ 4,458 $ 757 (2.8) $ 48,358 10.1% GEO/SOL H / GEO C $ 14,000 $ 451 7.1 $ 7,430 $ 670 (0.9) $ 49,672 8.8% *EL $0.13/kWh, NG $0.26/m3, Infl a ti on 2% Cost of renewable energy equipment is up front, savings take time Building owner/users (TCHC, schools, municipal, corporations) recover cash directly Building developers (condominiums, landlords) must recover cash through increased prices or higher rent, or can transfer liability to green loan or third party Renewable Energy Supplier 2-Nov-12 20
Design Integration Architectural Design Mechanical Design Geothermal Design Geothermal systems can save 40% energy or more Geothermal mechanical design integration is essential Geothermal architectural integration can create valuable building space 2-Nov-12 21
Construction Cycle Considerations Geothermal systems are similar to other construction projects, BUT: Design Pre- Construction Construction Operations Design Integration Thermal Response Test Drilling & Horizontal Tie-in Continuous Monitoring 2-Nov-12 22
Complete Design Integration - Walden Public School, Lively, ON Design build process started with given USE and BUDGET Architect designed spaces for multiple uses Energy efficiency was second principal of design orientation, lighting, insulation, ventilation if it saved energy, it was in. Goal was carbon neutral with the same budget tradeoffs required but they got there! 2-Nov-12 23
Walden Case Study Public - Achieving School - Geothermal Carbon Neutral Energy integrated with Solar Heat, Solar Electricity and Wind Electricity Energy source design integration 1. energy recovery ventilation 2. increased insulation 3. geothermal radiant floor heating 4. solar hot water tied to geothermal system 5. instant electric hot water Total electricity consumption reduced to 5 kwh/sq. ft. 210,000 kwh/yr. Conventional building energy costs of $1.27/sq. ft. reduced to $.60/sq. ft. Geothermal provides 100% heating, slab cooling; borefield is replenished by solar thermal energy Solar PV on roof > 200,000 kwh/yr, wind turbine > 34,000 kwh/yr 2-Nov-12 24
Walden Public School Geothermal W/W heat pumps provide radiant heating, efficiently Central geothermal pumping station Geothermal headers W/W heat pumps 2-Nov-12 25
Economics of New Construction No outdoor compressors, cooling towers, large boilers Reduced roof loading More roof top amenity space patios, pools Combustible construction Smaller mechanical maintenance area (more parking) Fewer suite bulkheads, if Heat Pump is placed centrally Fewer more costly green measures required to meet LEED or other Easier municipal approval Reduced capital cost (if Green Loan or 3 rd party Energy Supplier) Green marketing Flexibility to use NG for peak loads to reduce geothermal size Scalable can be built incrementally with multi-phase projects Emergency back up is power, not natural gas 2-Nov-12 26
Strata Condominium All Geothermal Energy Strata condominium, Burlington, Ontario 21 storey high rise, 186 suites geothermal bore field is entirely under the building 220 tons of geothermal energy supplies 100% heating/cooling penthouse is a recreational pool and spa, where noisy mechanical equipment would normally be required 2-Nov-12 27
Ironstone Condominium, Burlington, ON 210 suite ultra-modern urban condo No HVAC roof equipment created space for roof top gardens and patios Construction began July 2011 2-Nov-12 28
Geothermal System Construction Coordination required on large complex construction sites Installations beneath buildings drilling can be done from the surface before excavation approximately 1 borehole/day per rig Horizontal tie-ins must coordinate with drainage and footings 2-Nov-12 29
Springdale Professional Centre Medical office Condominium, 120,000 sq. ft., occupied 2009 100% geothermal heating and cooling 355 ton capacity 28 kw PV solar system to light common areas sidewalk and ramp snow melt assist, heated underground parking 1,081 tons of CO 2 avoided = 281 cars removed 30 year Renewable Energy Supply Agreement - est. $17 mil. savings 2-Nov-12 30
Springdale Drilling from the Surface Three rigs drilled 96 wells, 380 deep Drilling from the surface, prior to excavation saved construction time and money Loops are HDPE, CSA C-448 standard, rated 160 psi, 55 year warranty Heated parking garage, snow melt assist for ramps, sidewalks, entrances 2-Nov-12 31
Springdale Construction P1 slab heating loop installation 2-Nov-12 32
Economics of Retrofit Construction Building overall architecture is fixed Building energy efficiency may be poor - the geothermal system will need to be relatively large Retrofit requires entire system to be low enthalpy, old equipment is not likely compatible residual value? If only HVAC retrofit, then interior access is difficult (costly or impossible) Geothermal requires interior hydronic piping, which may not exist Duct work and fan coils may not be compatible with low temperatures Landscaping remediation will be required after loop installation Disruption to occupants and building use restrictions Noise neighbours need to know what is going on Construction hours may be restricted Building CAD drawings may not exist 2-Nov-12 33
Brantford Collegiate Institute Retrofit High school in Brantford, ON Vertical borefield under sports fields Complete renovation Payback was under 4 years 2-Nov-12 34
Brownfield Remediation - Wayfare Remediated industrial brownfield on the shore of the St. Lawrence River in downtown Brockville 106 unit condominium building with indoor swimming pool Integrated geothermal, mechanical, electrical design: Test well drilling and TRT Granite at the surface, high pressure aquifer at 245 ft. depth Geothermal system sizing and design, to avoid Geothermal central plant mechanical design, building mechanical HVAC, plumbing, electrical, fire protection 2-Nov-12 35 2011 Golder Associates
Depleted Quarry to Energy Resource Open pit quarry is dewatered for 1 million sq. ft. redevelopment golf course, 7 condos, a hotel resort, vineyards, equestrian facilities Horizontal geothermal loops are laid in the quarry bed, prior to backfill. Quarry geothermal system can produce1200 tons of geothermal energy, 100% of development s heating and cooling demand. 2-Nov-12 36
Geothermal District Energy Systems A central bore field is installed in property which is owned by a third party or municipality such as a school yard or community park Each house or building is connected to a thermal grid 2-Nov-12 37
Homefield District Energy Concept Type of Residential Structure Single Family Detached House Single-Family Attached (Townhouse) Multi-family Residential Buildings Community Building Number 201 200 8 buildings (192 units total) 1 Total 594 2-Nov-12 38
Waldorf Community Energy Concept Main Distribution pipe length 7,965 ft. Secondary connection pipe spurs, total length 11,667 ft. Distance to Borefield A - 287 ft., Borefield B 2,351 ft. Borefield C 3,100 ft. 2-Nov-12 39
Whole Communities Use Geothermal Energy Gibsons, British Columbia, Canada All the buildings in a community can be connected to one huge geothermal system 2-Nov-12 40
Ball State University Geothermal System 1,230 boreholes 573 boreholes 4100 boreholes (originally 3600 were planned), 450 feet deep, 5 inches in diameter Three bore fields, under sports fields, parking lots and green spaces Two Central Energy Stations will supply 45 campus buildings spread across 731 acres Total cost is $65 - $70 million, annual savings are $2 million, useful life of the system is 50 years 1,800 boreholes Elimination of 85,000 tons of CO 2 emissions annually 2-Nov-12 41
Ball State University Geothermal System Heating provided at 140 F Cooling provided at 45 F Network of piping extends nearly 10 miles 2-Nov-12 42
Ball State University Geothermal System North Borefield Installation 2-Nov-12 43
Ball State University Geothermal System 2-Nov-12 44
Toronto Geothermal District Energy System? 2-Nov-12 45
Thank You Suzanne Wiltshire Golder Associates Ltd. 2390 Argentia Road Mississauga, ON swiltshire@golder.com Tel: 905-567-4444 www.golder.com