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Large commercial and residential buildings must overcome various hurdles before implementing deep retrofits or capital projects that help achieve building decarbonization.



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titleDecentralized Systems and TenantEquipment


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Access to Occupied Spaces.


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Lease Concerns.


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Regulatory Limitations - Rent Stabilized Apartments

  1. The building owner is required to provide free heat and hot water.
  2. No mechanism to recover investment in new systems is necessary to achieve decarbonization.
  3. Buildings are capital constrained


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Split Incentives (tenants pays for energy).




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Con Edison Steam: assume district steam system will decarbonize:

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titlelearn more



High temperature renewable resources are limited and face hurdles:
1Deep Bore Geothermal
2Renewable Hydrogen
3Carbon Capture and Sequestration
4Biomethane
5Electric Boilers
6High-temperature thermal storage
7Hight-temperature industrial heat pumps
8Waste Heat Capture and Reuse
9Fission




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Barriers to Electrification:

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Utility Capacity Limitations:
1

Building Electric Capacity Upgrades

  • Electric Riser Capacity
  • Switchgear Expansion
  • New Service/Vault Expansion/Point-of-Entry Space Constraints

  • Capacity competition with other electrification needs: 

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    1. Space Heat and Cooling
    2. DHW
    3. Cooking
    4. Pumps and Motors


2

Local Network Electric Capacity Upgrades

  • Excess Distribution Facility Charges (EDF)
  • Contributions in Aid of Construction (CIAC)
3

Gas Utility Earnings Adjustment Mechanisms (EAM) focused on SystemPeak Demand Reductions

  • Partial Electrification concepts achieve deep decarbonization but do notnecessarily achieve peak gas demand reductions (debateable)
4

Total Connected Loads and Peak Demand drive need for capacityupgrades; demand reduction strategies do not obviate capacity limitationsunless the utility accepts the solution as a permanent demand/loadreduction strategy.

  • Battery Storage: 

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    1. Fire Danger
    2. Space Constraints
    3. Electri Distribution Limitations
    4. Structural Loads


  • Building Automation/BMS/Demand Response: 

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    1. Cost
    2. Integration Limitations; blackbox software
    3. Microgrid Development
      1. Cost
      2. Lack of Expertise


  • On-site Generation: 

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    1. Space Constraints
    2. Gas Use; zero carbon fuels availability is non-existent
    3. Structural Loads
    4. Pipe Infrastructure


5

Thermal Storage

  • Space Constrains
  • Structural Loads

  • Technology Limitations: 

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    1. Vacuum insulated storage tanks
    2. Phase change material (DHW, space heating)


6

Geothermal (ambient temperature), Deep Bore Geothermal (hightemperature) or Shared Loop District Energy Systems provide cooling andheating with lower peak demand than standard electric equipment

  • Building pipe riser limitations; need additional riser capacity: 

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    1. Building water loops are typically “top down” - cooling capacity istypically located at rooftop mechanical penthouses; cooling towersat roof.
      1. Some exceptions to this rule
    2. Space Constraints


  • Drilling Difficulty: 

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    1. Outdoor Space Constraints for Geothermal Wells
    2. Difficult permitting
    3. Mud and cuttings disposal
      1. Contaminated soil disposal
    4. Overhead Clearance Constraints for Drilling in Basements/Garages


  • Shared Loop/Thermal Utility Limitations: 

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    1. Requires entity that may operate in public ROWs and acrossproperty lines
    2. Utilities are limited by regulations for gas, steam or electric deliveryvs. shared loop media (ambient temperature water).
      1. Only utility entities can provide very long amortization periods
      2. Utilities are best suited to work amid crowded undergroundmunicipal ROWs.


  • Deep Bore Geothermal Limitations: 

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    1. Requires test drilling and geological assessment
    2. Seismic Risk
    3. Drilling equipment is very large - more akin to oil and gasdevelopment equipment
    4. Subsurface land rights and DEC restrictions


7

Other Energy Efficiency/Conservation Measures with proven/attractiveeconomics (these measures are limited by lack of capital or knowledge)

  • Lighting with Lighting Controls
  • High-efficiency electrically commutated motors (ECM)
  • Variable Frequency Drives (VFD) on pumps and motors
  • Retrocommissioning Tasks and Maintenance
8

Behavioral Modification

  • Staggered Work Scheduling
  • Telework

  • Submetering and Billing: potentially creates split incentive betweenlandlord and tenant: 

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    1. Water
    2. Electric
      1. Onerous regulatory compliance
    3. Heat and Cooling
      1. Rent stabilized builidings prohibit biling for heat
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