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Qingbin CuiAugust 4, 2011
Green Performance Contracting
On Highway Construction
Agenda
Introduction
Green Performance Contracting
Definition
State of Practice
Application Cases
Decision Model for Selecting Strategies
Conclusion and Recommendation
Did You Know?
Construction of a 1-km section of a typical two-lane highway
Requires 5.0 -7.0 x 106 Mega Joule of Energy
Generates 636 – 723 tons of waste
136 million tons of construction and demolition debris was generated annually in the US.
The construction Industry consumed 6% of total energy.
Greenhouse Gases Emissions From Construction
Sectors Data Date
GHG Emission (MMTCO2e)
% of US Emissions
Data Source
Construction Site Fossil Fuel Combustion Purchased Electricity
2002 131 100 31
1.7% EPA
Upstream – Material Manufacturing Cement Combustion related CO2
Cement Production related CO2
2001 76.9 35.5 41.4
1.1% EIA
Iron and steel 2002 20.2 0.3% EIA, USGS Limestone 2006 19.6 0.3% EIA
Construction – Life Cycle 2002 470 6.8% CMU-GDI Buildings 2002 2236 32.2% DOE
Transportation Construction Emissions
Top-down estimate Construction equipment population surveys
SIC Group 161 (highway / street construction) is 12%SIC Group 162 (includes bridge, tunnel, elevated highway) is 38%
CO2 emissions are 50 MMTONCO2e from fuel combustion
Bottom-up estimate One lane-mile of freeway Construction emits 500- 1200 tons
of CO2 U.S. added 32,300 lane-miles per year CO2 emissions are 16-38 MMTONCO2e
Emission Reduction: Nationwide Initiatives
EO 13514: 28% of direct emissions and 13% of indirect emissions 10 States (CA, CT, HA, ME, MD, MA, MN, NJ, OR, WA) adopted
emission reduction target legislations Another 13 States (AZ, CO, FL, IL, MI, MT, NH, NM, NY, RI, UT, VT,
VA) established emission reduction targets Emission Trading Scheme: RGGI, WCI, MGGA Smart, Green & Growing initiative in Maryland
Maryland Climate Action Plan MDOT Commitments
Reduce CO2 emissions by 25% by 2020
Reduce CO2 emissions from off-road transportation sources by at least 15% by 2020--- Collaboration with Contractors
Green Performance Contracting: A Definition
Any contract provisions, contracting methods, delivery strategies that help
i.reduce emissions and adapt to climate change
ii.benefits the environment
iii.improves the life of the public through a direct economic, ecological, or social benefit
Green Performance Contracting Strategies
Level I: Material Related StrategiesLevel II: Equipment and Energy Efficiency StrategiesLevel III: Green Life Cycle StrategiesLevel IV: Clean Energy Development
Green Performance Contracting (GPC) StrategiesLevel Strategy
I
L1-01 Reclaimed Asphalt Pavement (RAP)
L1-02 Other Material Recycling or Reusing
L1-03 Sustainable Material Treatment
L1-04 Material Waste Management
L1-05 Material Life-Cycle Management
II
L2-01 Equipment Retrofit Technology
L2-02 Engine Repower and Upgrade
L2-03 Idling Reduction
L2-04 Alternative Fuels
L2-05 LED Lighting
L2-06 Equipment Operation and Maintenance Management
L2-07 Equipment Selection and Vehicle Electrification
L2-08 Work Zone Traffic Management
L2-09 Employee Commuting Reduction
III
L3-01 Green Road Rating System
L3-02 Climate Impact Analyses
L3-03 Climate Adaptation Design
IVL4-01 Highway-related Solar Energy
L4-02 Highway-related Wind Turbine
GPC Card
NameDescriptionImplementationTechnological OptionsTechnological RequirementsGreen BenefitsBarriersSample ProvisionsProject Application
State of Practice
Implementation
Contract specification is the primary form of green contracting, although other forms have been successfully used in a few states. Other forms are also used in some states, bidding preference (AR), contract allowance (TX)
Green contracting can be incorporated into varied size of projects and different project delivery systems.
Primary Reasons
Some green contracting strategies are primarily cost-driven and easily integrated into contract specifications. However, higher levels of green contracting strategies may be driven by local green initiatives, mandates, or legislations.
Application Case: MassDOT Retrofitting Specification
Application Case: MassDOT Retrofitting Specification
Sample Equipment Standard Compliance Certification
MassDOT issues a compliance label assigning a tracking number to acceptable devices and uses random site checks to uphold the standards
Application Case: GreenLITES at NYSDOT
Green Highway Rating Systems
GreenLITES Greenroads I-LAST Endorsed State NY Not yet, pilot evaluation in
WA and OR IL
Certification Levels
Certified, Silver, Gold, Evergreen
Certified, Silver, Gold, Evergreen
Not a certification program, advisory in nature
Certification Requirement
Required for all PS&E submissions
Voluntary Voluntary
Evaluation Category
Sustainable Sites, Water Quality, Materials & Resources, Energy & Atmosphere, Innovation/Unlisted
Project Requirements, Environment & Water, Access & Equity, Construction Activities, Materials & Resources, Pavement Technologies, Custom Credit
Planning, Design. Environmental, Water Quality, Transportation, Lighting, Materials, Innovation.
Elements 158 50 150 Total Points 251 118 233 Minimum Certification Points (%)
15 32 NA
Info Source https://www.nysdot.gov/programs/greenlites
www.greenroads.us www.dot.il.gov/green/documents/I-LASTGuidebook.pdf
Application Case: ODOT Solar Highway
Project DataContractor: Portland General ElectricProject Size: 214 kW Period: Sept-Dec 2008Project Cost: $1.4 million GHG Reduction: 43 MT CO2e
Source of FundsOregon Business Energy Tax Credit Federal solar Investment Tax Credit Energy Trust of OregonAccelerated depreciation
Delivery of Solar Highway Project
Selection of GPC Strategies
Various emission reduction potential and cost Competitive or mutually exclusive Resource constraints
Determine Evaluation
Criteria
GPC Strategy
Scorecard
DEA Efficiency
Assessment
GPC Strategy Selection
Evaluation Criteria
Financial Consideration Technological Maturity Organizational Readiness Industrial and Public Acceptance Emission Reduction Potential Risk and Uncertainty Impact on Project Performance
Financial ConsiderationTechnological MaturityOrganizational ReadinessIndustrial and Public Acceptance
Emission Reduction PotentialRisk and UncertaintyImpact on Project Performance
Evaluation Method: Factors
Example: Emission Reduction Potential Issues should be considered include:
Emission reduction target Existing emission inventoryEmission type, source, and volumeLong term emission reduction due to GPC
strategies Emission reduction estimation method and
accuracyApplication condition, etc.
Score Financial
Consideration Technological
Maturity Organizational
Readiness
Industrial and Public Acceptance
Emission Reduction
Impact on Project
Performance Risks
1 Cost Effective/ significant benefits
Practiced by the Agency
Completely Prepared
Completely Acceptable
Great Extent
Highly Positive
Low Risk
2 Little or Negligible Effectiveness
Slightly Different Practice
Mostly Somewhat Acceptable
Much Somewhat Positive
Some Risks
3 Slightly Cost Ineffective
Practiced by Others
Somewhat Neutral Somewhat Negligible Risky
4 Cost Ineffective Limited Use by Others
Minimally Somewhat Concerned
Very Little Somewhat Negative
Very Risky
5 Highly Cost Ineffective
New Technology
Not At All Serious Problem
Not At All Highly Negative
High Risk
GPC Strategy Scorecard
Compare with othersMax Output at min Input Efficient Frontier Efficiency Score Strategy is efficient if 100%Otherwise, Not efficient
Input Output
Financial Consideration
Technical Implementation
Readiness
Organizational Readiness
Industrial and Public
Acceptance
GHG Reduction Efficiency
Impact on Project
PerformanceRisks
GPC Strategy Evaluation: Data Envelopment Analysis
Level Strategy Efficiency
I
L1-01 Reclaimed Asphalt Pavement (RAP) 100% L1-02 Other Material Recycle or Reuse 88% L1-03 Sustainable Material Treatment 85% L1-04 Material Waste Management 85% L1-05 Material Life Cycle Management 76%
II
L2-01 Equipment Retrofit Technology 100% L2-02 Engine Repower and Upgrade 91% L2-03 Idling Reduction 88% L2-04 Alternative Fuels 100% L2-05 LED Lighting 76% L2-06 Equipment Operation and Maintenance Management 82%
L2-07 Equipment Selection and Vehicle Electrification 73%
L2-08 Work Zone Traffic Management 64% L2-09 Employee Commuting Reduction 85%
III L3-01 Green Road Rating System 55% L3-02 Climate Impact Analyses 100% L3-03 Climate Adaptation Design 88%
IV L4-01 Highway-related Solar Energy 100% L4-02 Highway-related Wind Turbine 94%
• Strategies with higher scores are more efficient than other strategies.• Choosing Strategy Portfolio from efficient strategies could maximize the total performance.
GPC Strategy Efficiency Evaluation for MSHA
Conclusion
Going green at the project level: an increasing interest Although not defined before, Green Performance
Contracting has been used on highway Construction Could be in the form of
Contract specifications Incentive grants Process-oriented strategies
Agency wide green initiatives help the successful implementation
Conclusion
Selection of GPC strategies could be optimized by several criteria
Emission Reduction Potential Financial ConsiderationTechnological MaturityOrganizational ReadinessIndustrial and Public AcceptanceImpact on Project Performance
Recommendations
Small steps can lead to huge leap Five GPC strategies recommended to MSHA Establish green Initiatives and programs
Numerous challenges exist Establish protocol and best practices Develop shared vocabulary and guidance Towards Green Specifications
