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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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Aura - Tab

title	Decentralized Systems and TenantEquipment

UI Steps

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UI Step
Access to Occupied Spaces.

UI Step
Lease Concerns.

UI Step

Regulatory Limitations - Rent Stabilized Apartments

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

UI Step
Split Incentives (tenants pays for energy).

Aura - Tab

title	Infrastructure

Aura - Panel

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High temperature renewable resources are limited and face hurdles:

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Deep Bore Geothermal
Renewable Hydrogen
Carbon Capture and Sequestration

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Biomethane
Electric Boilers
High-temperature thermal storage

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Hight-temperature industrial heat pumps
Waste Heat Capture and Reuse
Fission

Aura - Panel

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Utility Capacity Limitations:

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Building Electric Capacity Upgrades

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Capacity competition with other electrification needs:
- Space Heat and Cooling
- DHW
- Cooking
- Pumps and Motors

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

Local Network Electric Capacity Upgrades

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

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

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

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.

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Battery Storage:
- Fire Danger
- Space Constraints
- Electri Distribution Limitations
- Structural Loads

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Building Automation/BMS/Demand Response:
- Cost
- Integration Limitations; blackbox software
- Microgrid Development
  1. Cost
  2. Lack of Expertise

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On-site Generation:
- Space Constraints
- Gas Use; zero carbon fuels availability is non-existent
- Structural Loads
- Pipe Infrastructure

Thermal Storage

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Space Constrains
Structural Loads
Technology Limitations:
- Vacuum insulated storage tanks
- Phase change material (DHW, space heating)

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

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

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Drilling Difficulty:
- Outdoor Space Constraints for Geothermal Wells
- Difficult permitting
- Mud and cuttings disposal
  1. Contaminated soil disposal
- Overhead Clearance Constraints for Drilling in Basements/Garages

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Shared Loop/Thermal Utility Limitations:
- Requires entity that may operate in public ROWs and acrossproperty lines
- 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.

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Deep Bore Geothermal Limitations:
- Requires test drilling and geological assessment
- Seismic Risk
- Drilling equipment is very large - more akin to oil and gasdevelopment equipment
- Subsurface land rights and DEC restrictions

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

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

Behavioral Modification

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Staggered Work Scheduling
Telework
Submetering and Billing: potentially creates split incentive betweenlandlord and tenant:
- Water
- Electric
  1. Onerous regulatory compliance
- Heat and Cooling
  1. Rent stabilized builidings prohibit biling for heat

Aura - Tab

title	Facade and Windows

UI Steps

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UI Step
Work must be completed at the end of facade/window useful life; very long usefullife

UI Step
Building Code

UI Step
Glazing Reduction at odds with aesthetic/marketability concerns

UI Step
Difficult installing with occupied spaces

UI Step

Reduce Local Law 11 recurring cost via overcladding

Aesthetic Concerns
At odds with historic preservation
Capital intensive
Lot Line Limitations

UI Step

Technology Limitations

Need higher R-value/inch for thinner wall assemblie:
- Vacuum insulated panels
- Aerogel panels/batts
- Zero-GWP blowing agents for closed cell spray foam (nitrogen blowingagent needs to be more widely adopted)

Aura - Tab

title	Ventilation

UI Steps

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UI Step

Energy Recovery Ventilation (ERV)

Space Constraints
System Tie-in point accessibility/feasibility

UI Step

Rooftop Supply Air (Reznor) Unit Alternatives

Heat Pump Alternatives to eliminate resistance heat
Combine with ERV

UI Step

HVAC Load Reduction (HLR) Technology

Vent or Capture Exhaust Gases
Space Constraints
System Tie-in point accessibility/feasibility

UI Step
Central vs. Decentralized Ventilation Systems

UI Step

Direct Outside Air System (DOAS)

Modular Perimeter Ducted Air Heat Pumps:
- Competition for Leasable Space
- Space Constraints

UI Step

Ventilation Points-of-Entry

Aesthetic Concerns
Lot Line Facades/Building Setbacks
Competition with Leasable Space
Space Constraints

Aura - Tab

title	Heat Pump Limitations

UI Steps

size	small

UI Step

Variable Refrigerant Flow (VRF)

Fire and Life Safety concerns over volume of refrigerant gas located withinoccupied spaces.

UI Step
Regulatory Risk from new refrigerant policies

UI Step
PTAC and VTAC

UI Step
Ducted Supply/Exhaust Air Source Heat Pumps

UI Step

Domestic Hot Water

Central DHW Systems:
- Limited domestic production
- Performance not confirmed by independent third-parties
- More demonstration projects needed
Decentralized DHW Systems

UI Step

More open source interconnection between devices/interoperability is needed toachieve energy distribution flexibility and capacity expansion:

air source that has a manifold connection to interconnect with water source orrefrigerant gas distribution
interconnectivity/simplified heat exchange between refrigerants/water/air, etc.
Other optionality and add-ons

Aura - Tab

title	Crossover Device or “Magic Box”Technology

Info
multi-purpose technology for heating, cooling, heat exchange and ventilation, filtration,and/or domestic hot water

UI Steps

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UI Step
Domestic production and supply chain is limited

UI Step
Small players operating in this space

UI Step

Technology is not tested over long operational periods

Daikin, Nilan, Zehnder, Drexel und Weiss, Minotair, Build Equinox, Clivet

Aura - Tab

title	Zero Carbon Fuels Limitations

UI Steps

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UI Step
Green Hydrogen

UI Step
Renewable Natural Gas

Aura - Tab

title	Low-carbon Fuels

UI Steps

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UI Step
Biofuel

UI Step
Biomethane

Aura - Tab

title	NYS-focused Carbon Offset MarketLimitations

Aura - Tab

title	Renewable Energy Procurement Limitations

UI Steps

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UI Step

REC Purchasing

NYSERDA monopolizes REC purchasing from renewable energy projects

Aura - Tab

title	Pending Carbon Trading ProgramsLimitations

UI Steps

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UI Step
Deployment timeline is highly uncertain

UI Step
Price per ton of carbon is highly uncertain and will likely be volatile/low based onprevious emissions trading scheme outcomes

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Versions Compared

Old Version 20

New Version 21

Key

High temperature renewable resources are limited and face hurdles:

Utility Capacity Limitations:

Local Network Electric Capacity Upgrades

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

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.

Thermal Storage

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

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

Behavioral Modification