Approaches to baseline setting and MRV under the CDM

1. Approaches to baseline setting and MRV under the CDM Urban Methodologies for the Built Environment Workshop Bonn, Germany

2. Outline • Overview of methodologies in buildings • Methodological approaches • Suppressed demand • Concluding remarks

3. CDM methodologies in building energy efficiency

4. Methodological approaches: baseline setting & MRV • Scale • Large scale • Small scale • Scope • Individual end-uses • Whole building • Methodological approaches • Survey • Benchmarking • Modeling • Standardized default parameters

5. Methodological approaches: baseline setting and MRV • Survey • Benchmarking • Modeling • Standardized default parameters

6. Survey and benchmarking Similar buildings: • Located in the same municipality, state, province, county • Built & occupied within 5 years • Located in region with annual HDD/CDD in range 80% -120% • Similar socio-economic conditions • Income level, property prices/m2 (min. 3 socio-economic classes) • Comparable size (GFA +/- 50%) • Occupancy • Year-round residence – residential buildings • Operated on annual average min. 30hrs/week – commercial & public buildings

7. Survey and benchmarking Survey: • Sample size: statistically representative • Baseline: average performance Benchmarking: • Sample size: 20 buildings • Baseline: top 20% best performing buildings Emission reductions: • monitored difference between baseline & project buildings

8. Modeling Modeling requirements: • Validation: • IEA’s BESTEST protocol (Building Energy Simulation Test) • Calibration: • actual energy consumption of project buildings • first full year of project building operation • Documentation: software, input files (building & system characteristics, loads & operating schedules, weather data, etc.) • Simulation and calibration: • Skilled operator: min. 3 years of relevant experience, professional education and/or training

9. Modeling Baseline model: baseline energy consumption of buildings • Characteristics of baseline buildings • New: (1) sample 20 bldngs, top 20% best performing bldngs (2) interview with 5 construction companies/experts => building characteristics • Retrofit: pre-retrofit characteristics • Occupancy, control strategies, weather data - project buildings Project model: project building characteristics, actual consumption, occupancy, control strategies, weather data Emission reductions: modeled electrical & thermal energy savings multiplied by appropriate EFs

10. Standardized default parameters CFL lighting: • 3.5 hours - default operating hours Battery charged LED/ LED lighting: • 2 years – default lamp effective use life • 7 years - default lamp effective use life with quality proof • 0.092/tCO2 – default lamp emission factor for baseline Super efficient refrigerators • Deemed savings: • Baseline benchmark: energy consumption of A class refrigerator in the EU market • Project annual electricity consumption: manufacturer

11. Suppressed demand - min energy service to meet basic human needs Deemed to exist: • Rural areas in country with electrification rate below 20% • Animal dung – the most common fuel used in project area • LDCs & SIDs • Special Underdeveloped Zone* in a developing country • Zone, municipality, other administrative unit • More than 50% of population with income less than 2 USD/day (PPP) • GNI/capita in country is less than 3,000 USD & the population in the zone is among the 20% poorest in the poverty ranking in the country * “Guidelines for demonstrating additionality of microscale project activities”

12. Energypoverty in low-income residential buildings Source: OECD/IEA (2011)

13. Suppressed demand: standardized default parameters Rural electrification using renewable energy: • > 55k Wh of RES: 6.8tCO2/MWh • 55-250 kWh of RES: 1.3 tCO2/MWh • <250 kWh of RES: 1.0 tCO2/MWh

14. Suppressed demand: whole building based on survey Suppressed demand factor 1.20 => multiply baseline energy of targeted end-use (heating, cooking and/or electricity) • Sample size: 20 buildings • Located in the same municipality, built & occupied within 5 year • Located in region with annual HDD/CDD in range 80% -120% • Similar socio-economic conditions (Income level, property prices/m2) • Comparable size (GFA range from 50% to 150%) • Occupancy • Year-round residence – residential buildings • Operated on annual average min. 30hrs/week – commercial & public buildings

15. Suppressed demand: whole building using modeling Run model: 2 times generate baseline energy in each year of crediting period • Baseline building characteristics • T-settings & weather experienced by project buildings Run 1: Temperature settings • Specified in relevant building code • Healthy indoor temperatures recommended by WHO Run 2: Temperature settings • Project model observed in project building Baseline energy = MIN [Run 1; Run 2]

16. Concluding remarks CDM- well-tested tool box for MRV-ing emissions from buildings • Methodological approaches tailored to user needs • Individual end-uses • Whole building • Tested via application in a variety of context in developing countries • Reduced transaction costs for MRV • Targeting individual end uses • Using models and benchmarks • Providing utilization defaults • Provide methods to address specific needs of LDCs, SIDs, African countries and Underdeveloped Zones in developing countries • Continuously evolves and becomes more usable taking into account experience gained from application and international knowledge

17. Thank you for your attention!

18. Building codes K .Janda 2009