Will Your Firm Lead on Sustainable Leased Space?

April 21st, 2017

This Earth Day your firm has an opportunity to join world-leading firms in declaring support for six simple principles that advance greater sustainability in leased space.  All too often firms claim that because they lease most  – or all – of their space, they cannot lead in the move to more sustainable real estate.  And then landlords claim that the best tenants may not care about more sustainable and healthier space. 

More than half dozen world-leading firms have had enough of this splitting of accountability and have come together to lead.  They are also extending an offer to other corporate tenants to join them in publicly endorsing the linked Sustainable Tenants’ Leasing Principles.  These six simple principles listed below all help corporate tenants advance their own commitment to sustainable business through urging landlords to offer sustainable options and relevant data in a timely manner.   

sixslprinciples

This is an effort that will directly benefit your firm as it increases your firms negotiating power when it seeks more sustainable and healthy real estate and energy – especially in smaller leased space around the world. Some of the world’s fastest growing and most sought after corporate tenants have already committed to the attached including Akamai, Anthem, Intuit, Lenovo, Oracle, Pegasystems, Salesforce and Teradyne.  Your firm could join them as original signers of the Sustainable Tenants’ Leasing Principles if your firm can commit to supporting the Sustainable Tenants’ Leasing Principles over the 30 day “Earth Month” beginning April 22nd.

Sustainability Roundtable Inc. (SR Inc) Member-clients requested that the linked Sustainable Tenants’ Leasing Principles be created to build on the success of the Corporate Renewable Energy Buyers’ Principles and the Corporate Colocation & Cloud Buyers’ Principles (which now regularly appear referenced in RFPs issued by top corporate buyers the world over).  Consequently, SR Inc created the attached with guidance from Patrick Flynn, Senior Director of Sustainability at Salesforce (who helped lead on the creation of the Corporate Colocation & Cloud Buyers’ Principles).  Signing companies, however, need not be SR Inc Members and absolutely no costs or obligations are required.  Indeed, all sustainability conscious commercial tenants are encouraged to sign onto this simple but important statement of shared principles. 

Pro Bono Service:  If your company does join these world leading companies as an original signer of the Sustainable Tenants’ Leasing Principles before May 23rd 2017,  SR Inc will donate to your firm on a pro bono – zero cost – basis, SR Inc’s proprietary, editable, Sustainable Leasing Strategy Playbook developed with leading Member-clients over seven plus years, featuring actionable Executive Guidance & Tools for Site Selection, RFPs (including negotiating leverage matrix), LOIs, Lease Language & Work Letter (for tenant build-out). 

The companies signing the Sustainable Tenants’ Leasing Principles look forward to the prospect of your firm joining them to send a needed and clear signal to a fragment, multi-trillion dollar, landlord market about the fact the best corporate tenants do care about the need to move to sustainably healthy workplaces.  Don’t hesitate to reach out to me or Brittany Doherty, Program Director of SR Inc’s Sustainable Business & Enterprise Roundtable, if you think that your firm may want to lead in this simple, highly efficient and effective manner this Earth Month.

 

 

JBJim Boyle is CEO & Chairman of Sustainability Roundtable, Inc. For nearly eight years, Jim has led full-time teams of diverse experts assisting world-leading corporations, real estate owners, and federal agencies in their move to greater sustainability. He has led in developing SR Inc’s confidential, industry specific, annual management assessment and recommendation process for more sustainable operations and real estate that is compatible with major public standards globally. Further, he has directed the development of hundreds of pieces of SR Inc original Executive Guidance & Tools and led in the creation of SR Inc’s Renewable Energy Procurement Services (REPS) practice, which represents top corporate off-takers across the U.S. and internationally.  Before founding SR Inc, Mr. Boyle advised fast growth technology firms, private equity firms, and institutional investors as an adviser on real estate strategy and implementation, and before that, as a large law firm attorney assisting corporate and investment clients on complex real estate and environmental compliance-related issues. Jim is a graduate of Middlebury College and Boston College Law School, who early in his career served as a federal law clerk and as an aide to John F. Kerry in the U. S. Senate.

BDBrittany Doherty, Program Director joined SR Inc at the start of 2015. Brittany has two years of experience managing and writing Sustainability Reports for the Town of Dartmouth in accordance with the comprehensive, credible, and widely used standard, the Global Report Initiative (GRI). Brittany graduated with a B.S in Organizational Behavior Management & Sustainability from the University of Massachusetts-Dartmouth, while actively developing a variety of sustainability initiatives for the university. Brittany served as the President of Net Impact at her university for three years, was a member of the Fair Labor Association Student Committee for two years, and also launched a pilot-teaching-program to integrate Sustainability into the global network of Junior Achievement. While Brittany was attending graduate school, earning a certificate in Environmental Policy, she worked as an Analyst for the Town of Dartmouth, assisting in the advancement of the Town’s economic, environmental and social policies. Outside of her work at SR Inc, Brittany has volunteered on the Sustainable Belmont Committee and assisted in the Town’s GHG Inventory project, as part of the Climate Action Plan. She also served as a valuable member for the Belmont Solar Campaign (BSC).

Selling Your CFO on Large Scale Off-site Renewables

April 21st, 2017

During a recent multi-member discussion on virtual Power Purchase Agreements or “Contracts for Differences” (CFDs), David Osborn, SR Inc COO & Senior Advisor, discussed key learnings from Member experience with this deal structure to date, and specifically on making the case for CFDs internally. Patrick Sullivan, NRG’s Vice President of Development, provided technical detail on this financial transaction structure, and Nicola Peill-Moelter, Akamai’s Senior Director of Environmental Sustainability, shared her experience doing CFDs at Akamai.

Many Sustainability Roundtable Inc. (SR Inc) Member-Clients were years ahead of the curve when they made renewable energy a leading element of their companies’ enterprise sustainability strategies (as has been regularly reported on this blog – for instance, see A Revolution Towards Renewable Energy Portfolio-wide). Today, 89 companies have joined the RE100, committing to powering 100% of their operations with renewable energy. These companies (and an ever-growing number of others) recognize that renewable energy is a necessary component of a sound energy strategy, but beyond that, they view it as an important component of a financial strategy that produces significant savings and mitigates energy risk.

As renewable energy technologies and prices have improved, so have the transaction structures. While SR Inc has long been advising Member-Clients on onsite renewable energy procurement, the concept of Virtual Power Purchase Agreements (vPPAs) – and more specifically, Contracts for Differences (CFDs) has more recently emerged as a transformative force in the U.S. electricity market. CFDs are also transforming a growing number of SR Inc Member-Clients’ sustainability programs, as they create a financially advantageous path to achieve goals such as powering global operations with 100% renewable energy or achieving carbon neutrality.

The rise in C&I purchase of renewable energy is driven in part by companies’ renewable energy/carbon reduction goals, and is enabled largely by CFDs.

The rise in C&I purchase of renewable energy is driven in part by companies’ renewable energy/carbon reduction goals, and is enabled largely by CFDs. (click to enlarge)

Companies opt to do vPPAs over traditional PPAs when they want to procure renewable energy but cannot do renewable energy onsite, or when they do not pay a utility for their electricity (i.e., they pay a landlord or colo). As the majority of SR Inc Member-Clients’ real estate portfolios are in leased space, they have become increasingly interested in this transaction structure, and more specifically, how to sell the deal to the CFO. During a recent multi-member discussion, David Osborn, SR Inc COO & Senior Advisor, addressed this very topic, discussing key learnings from Member experience with this deal structure to date, and specifically on making the case for CFDs internally – drawn from SR Inc’s assistance advising dozens of Member-Clients one-on-one.

Highlights from those learnings are summarized:

  1. Develop a renewable energy strategy for your entire portfolio, including leased space – Off-site deals for energy consumed in leased space are available and you can win a meaningfully better deal in 2017 than in 2016.
  2. Act to integrate renewable energy into your corporate sustainability strategy; waiting will risk a buyer favorable market – Very low interest rates, 30% federal tax credits and fierce supplier competition are creating value opportunities that are time sensitive.
  3. On owned sites where you pay the electricity bill, onsite PPAs or Community Solar could drive year one savings in several US markets – Examine your U.S. portfolio for sites where: (a) changing regulations are favorable; (b) you are paying $.07/kWh+; (c) your sites enable solar; or (d) community renewable energy is available; or (e) the relevant utility offers a “green tariff” to corporates.
  4. For sites that are leased or otherwise incompatible for renewable energy, consider offsite options – If you are able to procure renewable energy from the same utility district as your demand, it can provide both high-quality bundled RECS and a robust hedge against electricity price risk (via a Contract for Differences) if not grid proximate, it can still provide a financial hedge and high quality RECS.
  5. As the market has matured, responsible corporate procurement requires a managed, auditable, procurement process – With dozens of deeply experienced, well financed, well referenced corporate suppliers and scores of interacting transactional, technological and site based options: responsible corporate procurement of renewable energy solutions require a comprehensive, auditable, process.
  6. Corporate off-takers should engage a strategic advisor to help manage their renewable energy procurement – Experienced corporate off-takers develop a blended internal/external team with deep experience in both renewable and conventional energy and with outside advisors compensated by the corporate off-taker and/or any winning suppliers for a transparent, optimally RFP disclosed, market-based fee.
  7. Integrate storage technology into your renewable energy strategy – Storage technology advancements, rapidly decreasing costs, and changing grid tariff structures virtually necessitate including storage capability as part of onsite and offsite renewable energy strategies.
  8. Examine opportunities for aggregated procurement of offsite renewable energy – Member-Clients are increasingly interested in aggregated procurement of renewable energy to improve economic terms, reduce transaction costs and further de-risk procurement.
  9. Engage the CFO – Develop a team, plan and current market-tested data to engage the CFO six (6) to nine (9) months before procurement to demonstrate why a renewable energy strategy and implementing transactions provide a superior, risk-adjusted opportunity.
Vice President, Renewables Development at NRG Energy

Patrick Sullivan, Vice President, Renewables Development at NRG Energy

Patrick Sullivan, Vice President of Renewables Development at NRG, a SR Inc Premier Thought Leader, provided a detailed explanation of the vPPA/CFD transaction structure that has transformed so many Corporate Sustainability Programs. He noted that corporate customers are increasingly seeking offsite PPAs as the levelized cost of solar and wind energy has dropped significantly in the past ten years, often to a level competitive with the cheapest form of energy available from the grid. Virtual PPAs produce many of the benefits of a more traditional PPA with no capital expenditure required by the customer.  Importantly, vPPAs enable “additionality” by creating a long-term financial contract to support the development and construction of new renewable generation facilities.   Like a traditional PPA, vPPAs produce Renewable Energy Certificates (RECs) that the buyer can retire to claim emissions reductions and help achieve corporate sustainability goals. Although a vPPA is financial in nature and bears no direct relationship to the actual electricity consumption of the offtaker, it does serve as a long-term hedge against energy price volatility, acting to offset retail energy price fluctuations and reducing a buyer’s exposure to volatile fuel prices over the long-term.

NRG_CFDs

These types of contracts differ from a physical or traditional PPA, in that in a traditional PPA, the corporate offtaker physically takes title to the electricity from the system and pays the system provider an agreed upon PPA price over the term of the multi-year contract. Rather than being strictly a financial hedge, a traditional PPA is an energy hedge applied to the offtaker’s load or monetized in the market.

Member Executive – Nicola Peill-Moelter, Senior Director of Environmental Sustainability at Akamai Technologies, described how the Akamai team built the business case for CFDs internally, and specifically how they presented the opportunity to the company’s CFO. Akamai, a global Content Delivery Network service, has grown rapidly, with a 20x increase in peak traffic since 2009, while carbon increased only two-fold over the same period. Renewable energy is a key to this decoupling of business growth from energy consumption and carbon emissions.

Nicola Peill-Moelter, Senior Director of Environmental Sustainability at Akamai Technologies

Nicola Peill-Moelter, Senior Director of Environmental Sustainability at Akamai Technologies

The challenge for Akamai, like many companies, is that its office and network operations are highly-distributed globally with low power demand in each; and the facilities are leased, so in most cases Akamai pays the landlord (versus the utility) for electricity. This common set of circumstances means that a CFD is the only suitable option for procuring renewable energy in the form of bundled RECs. Furthermore, because CFDs (unlike PPAs) expose the buyer to electricity pricing volatility, the business case must be stronger, and not strictly tied to potential lower electricity costs which may be a weak argument for distributed, outsourced operations.

Akamai recently announced a 2020 goal to reduce greenhouse gas emissions by 40% from 2015 levels, which hinges on a second goal to power 50% of global network operations from renewable energy. In order to get buy-in from the C-Suite for these goals, Nicola and team had to build the business case for renewable energy, which boiled down to 4 key questions:

  1. Why are we doing this?
  2. How will we achieve these goals?
  3. How much will it cost?
  4. Are the risks acceptable and manageable?

To ensure the initiative’s success, Nicola identified key players and ensured she had a strong renewable energy strategy team in place. She recommended that such a team consist of a:

  1. Sustainability champion: a strong influencer who instigates and leads the project/strategy with the goal of reducing carbon emissions but who can also build a strong business case
  2. Executive champion: an executive who fully supports the project/strategy; ideally the executive whose division is responsible for a major portion of the company’s energy consumption and carbon emissions
  3. Renewable energy consultant: a subject matter expert who helps develop the strategy and is compensated for the best outcome for your company

Other players who played a key role and ultimately needed to be involved in making a deal possible included Executive Management, the CEO and CFO, a treasurer, and a support team including representatives from legal and accounting and outside legal and accounting consultants with expertise in renewable energy.Akamai_sellingtheCFO

The business case for a CFD should go beyond potential electricity cost savings. A core part of the business case may include the strong trend of growing consumer concern about climate change, and corporations setting renewable energy goals and strengthening supplier sustainability requirements. Of course, when pitching to the C-suite, Nicola stressed the importance of speaking in terms they understand – “competitive value”, “competitive differentiation”, “product features”, and “market trends” – to tell a story compelling to the audience. She also made the case for the “why” in a way that resonated with top decision makers: customer demand. With 89 companies and counting committed to 100% renewable energy via the RE100, and investors applying similar pressure, companies like Akamai need to display their commitment to provide clean-powered services (products) in order to remain competitive.

A compelling business case garners buy-in from the CEO and most of the executive team. But ultimately, they look to the CFO to give her/his blessing before signing off. It’s easy for the CFO to say “No.” That support comes with a trusted relationship between the CFO and the sustainability champion; demonstration of a well-thought out procurement strategy; well-vetted financials; and an assessment of and mitigation plan for the risks.

To achieve its 2020 goal to power 50% of global network operations with renewable energy, Akamai used a CFD structure. Following is Nicola’s explanation of the deal:

“Thanks to finance innovation, a long-term CFD with a renewable energy-project developer is a viable procurement mechanism that aligns with our principles. We agree to act as the long-term energy “off-taker” at a fixed price, called the strike price. With this commitment in hand, the developer can secure funding for a project that will generate electricity commensurate with our annual energy usage in that power market. Once the project is up and running, the electricity is sold into the wholesale market, with the difference between the strike and market prices flowing to us as a debit or credit, along with the credits for the renewable energy generated (bundled RECs) which are subsequently retired.”

Akamai_CFDs

SR Inc has been pleased to advise many Member-Clients leading the historically important embrace of renewable energy technologies world-wide. SR Inc recommends that companies avoid committing to energy-related transactions until they have systematically examined opportunities for renewable energy procurement portfolio-wide. Specifically, SR Inc looks forward to working with dozens of leading Member-Client companies to define management best practices in developing a portfolio-wide strategy for integrating diverse and complimentary advanced energy systems and transactions to help meet individual and aggregated needs for procurement of more sustainable energy.

The slide presentation accompanying the Symposium summarized in this blog are available in SR Inc’s Member-only Digital Library here.

Select Relevant SBER Executive Guidance & Tools:

kwall_linkedin_pic-1 (2)As a Senior Manager of Research & Consulting at SR Inc, Kelsey Wallace supports research, development and implementation of enterprise sustainability strategies for companies that recognize the business imperative of more sustainable operations in the face of climate change and an increasingly resource-constrained world. Prior to joining Sustainability Roundtable, Inc., Kelsey worked for an environmental/engineering consulting firm where she supported clients including  the U.S. Environmental Protection Agency and the U.S. Green Buildings Council to promote sustainable buildings, clean energy, and safe drinking water. Kelsey also devoted a year to national service with the AmeriCorps National Civilian Community Corps, where she worked on team-based conservation and community development projects throughout the Southwest United States. Kelsey has her B.A. in Environmental Studies from Connecticut College.

Global, National, State & Municipal 100% Renewable Energy Commitments

March 16th, 2017

As leading enterprises make dramatic transitions toward renewable energy throughout their portfolios, global, national, state and municipal commitments are acting to push for 100% renewable energy. Our previous blogs, A Revolution Towards Renewable Energy Portfolio-wide (January 9, 2017 updateApril 26, 2016 update) and Innovators for a Clean Energy Future reflect the importance of technical, market and regulatory change in corporate renewable energy portfolios. Nearly a dozen SR Inc SBER Charter Members have joined RE100, a collaborative, global initiative of influential businesses committed to a public goal to procure 100% of their electricity from renewable sources by a specified year. As SR Inc helps Member-clients set company goals, many have requested an outline of public sector commitments – especially those affecting the utilities. Consequently, we drafted the below blog to highlight global, national, state and municipal commitments which are helping to set the public sector context for the renewable energy revolution.

Global Renewable Energy Commitments

In Paris in December 2015, the U.N.’s 21st Conference of Parties brought widespread agreement by all the governments of the world on goals, metrics and reporting to avoid the most catastrophic effects of climate change. Under the Paris Agreement, countries agreed to hold the increase in global average temperature to well below 2 degrees C (3.6 degrees F), pursue efforts to limit the increase to 1.5 degrees C (2.7 degrees F), and achieve net-zero emissions in the second half of this century. The G20 could advance this global climate action by making further progress on the topic of fossil fuel subsidy reform. The G20 have agreed to phase out inefficient fossil fuel subsidies that encourage wasteful consumption over the “medium term”. Related, a Boston-based nonprofit organization, Ceres created the “Clean Trillion” investment campaign, a clarion call to invest more than $1 trillion per year in clean energy through 2050. Meeting the Clean Trillion goal will be an immense challenge, but it’s achievable if businesses, investors and policymakers join forces.

National Renewable Energy Commitments

Germany

Germany is well recognized as an international leader in renewable energy. The Energiewende (German for energy transition) is the transition by Germany to a low carbon, environmentally sound, reliable and affordable energy supply. Hermann Scheer, who was a member of the German Parliament for three decades, was a driving force in making Germany a world leader in renewable energy. Scheer was the main architect of Germany’s pioneering Renewable Energy Act, which set up a system of incentives paid for by utilities to encourage hundreds of thousands of home owners and investors to build solar and wind power systems. Scheer, named as one of Time Magazine’s five “heroes for the green century” in 2002, won the Alternative Nobel Prize in 1999 for his commitment to renewable energy. Visit Hermann Scheer’s website for his complete bio.

  • Germany has promised to transform its electricity supply to 100% renewable energy by 2050.
  • Germany aims to cut GHG emissions by 40% by 2020 and up to 95% in 2050, over a 1990 base year.
  • On December 26, 2015, German renewable energy met 81% of the nation’s energy demand.
  • Annually, Germany generates about 30% of its electricity from renewables.
  • By 2022, all 17 of Germany’s nuclear plants will be closed.
  • Polls reveal citizens’ support for Energiewende from a study by the Universities of Stuttgart and Münster in cooperation with Fraunhofer ISI and ISE. Key phrasing for measuring citizens’ 2016 support for Energiewende: “The Energiewende is…”
    • Very Important: 57%
    • Important: 36%
    • Less Important: 5%
    • Not at all Important: 1%

Denmark

Denmark’s goal is to achieve 100% renewable power and heat by 2035 and 100% renewable energy in all sectors by 2050.

  • Denmark already achieved moments of 100% + renewable energy attributed to its excellent – and similar to Massachusetts – offshore wind resources. Denmark’s population is 5,690,750 (2016) while Massachusetts’ population is 6,811,779 (2016).
  • The Danish Government’s plan “Our Energy” is based on the previous government’s Energy Strategy 2050, but raises the bar higher.
  • The long-term goal of the plan is to implement an energy and transport network that relies solely on renewable energy sources.
  • By 2020, the initiatives will lead to extensive reductions in energy consumption, making it possible for half of the country’s electricity consumption to be covered by wind power.
  • Coal is to be phased out of Danish power plants by 2030.
  • Denmark’s 2015 GDP was $295.09 billion (World Bank).

Costa Rica

Costa Rica’s goal is to achieve 100% renewable energy (no target given), with an additional goal of carbon neutrality by 2021.

  • In 2015, the nation had achieved supplying 99% of electricity demand with renewable sources, approximately 80% of which was by hydropower. The previous year, renewables covered about 90% of demand as electricity generation in Costa Rica broke down by source to:
    • Hydropower (including pumped storage): 6717 GWh (IEA) / 65.75% (Natl.  Energy Plan VII)
    • Geothermal: 1538 GWh (IEA) / 15.06% (Natl. Energy Plan VII)
    • Oil: 1043 GWh (IEA) / 10.21% (Natl. Energy Plan VII)
    • Wind: 735 GWh (IEA) / 6% (Natl. Energy Plan VII)
    • Bioenergy: 181 GWh (IEA) / 2.96% (Natl. Energy Plan VII)
    • Solar PV: 3 GWh (IEA) / .02% (Natl. Energy Plan VII)
  • The population of Costa Rica is 4,857,218 (2016).
  • Costa Rica’s 2015 GDP was $54.137 billion (World Bank).

United States

100% Clean & Renewable Energy Resolution by 2050 (Markey and Merkley)

On December 7, 2016, Senators Edward J. Markey (D-Mass.) and Jeff Merkley (D-Oreg.) introduced a Senate Resolution calling for generating 100% of the electricity consumed in the United States from clean and renewable energy resources by 2050. The resolution highlights the following goals:

  • Supports a national goal of phasing out fossil fuel emissions and, by 2050, generating 100% of the electricity consumed in the United States from clean energy resources, such as solar, wind, geothermal, and other renewable resources; and
  • Supports policies to achieve that goal that will—
    • Create jobs for all individuals, especially in communities with high rates of unemployment or underemployment, and build a sustainable economy; and
    • Ensure universal access to clean energy for all homes and businesses in the United States, including for moderate- and low-income families.
  • Res.632 Co-sponsors:
    • Senator Jeff Merkley (D-OR)
    • Senator Benjamin L. Cardin (D-MD)
    • Senator Brian Schatz (D-HI)
    • Senator Bernard Sanders (I-VT)
    • Senator Mazie K. Hirono (D-HI)
    • Senator Al Franken (D-MN)
    • Senator Elizabeth Warren (D-MA)

State Renewable Energy Commitments

Massachusetts

In 2017, State Representative Sean Garballey (D-Arlington), State Representative Marjorie Decker (D-Cambridge), and State Senator Jamie Eldridge (D-Acton) filed a bill that would commit Massachusetts to obtain 100% of its energy from clean, renewable sources like solar and wind.

  • An Act to transition Massachusetts to 100% Renewable Energy (HD.3357) would require the state to achieve 100% renewable electricity generation by 2035, and Bill SD 1932 phases out the use of fossil fuels across all sectors, including heating and transportation, by 2050.
  • The bill supplements an already concerted effort by Massachusetts to pursue a low-carbon economy– the Massachusetts Global Warming Solutions Act which requires the state to reduce greenhouse gas emissions 80% from 1990 levels by 2050.
  • The bill has been co-sponsored by 53 Massachusetts lawmakers in the House and Senate.

California

Two years ago, California pushed through a law requiring the state to generate half of its electricity from renewable sources by 2030. However, in February 2017, California Senate leader Kevin de León increased the percentage and introduced legislation (SB 584) that, if approved, would require the state to source 100% of its electricity from renewables by 2045.

Timeline of CA Renewables Portfolio Standard:

  • 2002: Senate Bill 1078 establishes the RPS program, requiring 20% of retail sales from renewable energy by 2017.
  • 2003: Energy Action Plan I accelerated the 20% deadline to 2010.
  • 2005: Energy Action Plan II recommends a further goal of 33% by 2020.
  • 2006: Senate Bill 107 codified the accelerated 20% by 2010 deadline into law.
  • 2008: Governor Schwarzenegger issues Executive Order S-14-08 requiring 33% renewables by 2020.
  • 2009: Governor Schwarzenegger issues Executive Order S-21-09 directing the California Air Resources Board, under its AB 32 authority, to adopt regulations by July 31, 2010, consistent with the 33% renewable energy target established in Executive Order S-14-08.
  • 2011: Senate Bill X1-2, signed by Gov. Edmund G. Brown, Jr., codifies 33% by 2020 RPS.
  • 2015: Senate Bill 350, signed by Gov. Edmund G. Brown, Jr. codifies 50% by 2030 RPS.

New York

In 2014, Governor Andrew M. Cuomo launched New York’s signature energy policy, Reforming the Energy Vision (REV), mandating that the state get 50% of its electricity from renewable sources by 2030. REV aims to build an integrated energy network able to harness the combined benefits of the central grid with clean, locally generated power.

  • Gov. Andrew Cuomo has plans to cut carbon pollution in New York by 40% by 2030 and 80% by 2050.
  • He has pledged to add 150,000 solar panels and 300 wind turbines around the state.
  • In its initial phase, utilities and other energy suppliers will be required to procure and phase in new renewable power resources starting with 26.31% of the state’s total electricity load in 2017 and grow to 30.54% of the statewide total in 2021.
  • Nearly 23% of New York’s electric power today comes from a variety of renewable sources, mainly hydroelectric with significant contributions from wind, biomass and solar resources.

Hawaii

Gov. David Ige signed into law a bill (HB623) regarding Hawaii’s commitment to clean energy by directing the state’s utilities to generate 100% of their electricity sales from renewable energy resources by 2045. Under Hawaii’s Renewable Portfolio Standard (RPS), each electric utility company that sells electricity for consumption in Hawaii must establish the following percentages of renewable electrical energy sales:

  • 10% of its net electricity sales by December 31, 2010
  • 15% of its net electricity sales by December 31, 2015
  • 30% of its net electricity sales by December 31, 2020
  • 40% of its net electricity sales by December 31, 2030
  • 70% of its net electricity sales by December 31, 2040
  • 100% of its net electricity sales by December 31, 2045

Municipal Renewable Energy Commitments

  • Aspen, Colorado commits to 100% Renewable Electricity at Aspen Electric (municipality) by 2015:
    • As of 2015, Aspen achieved 100% renewable power.
  • Burlington, Vermont commits to owning or contracting with renewable power generation facilities to cover the equivalent of 100% of electricity demand citywide:
    • In September 2014, the Burlington Electric Department reached its aim to own or purchase enough power generated by renewables to cover the equivalent of 100% of the demand citywide.
  • Columbia, Maryland announced in 2015 it would offset 100% of its energy use from renewable sources and signed a 20-year power purchase agreement with SunEdison:
    • Columbia is now powered by 100% renewable electricity – a mix of 75% wind and 25% solar.
  • Greensburg, Kansas commits to 100% renewable power, including electricity, as part of a master sustainability plan:
    • The Greensburg Wind Farm, which was built as part of the master plan, produces enough electricity to power every home, business, and municipal building in the town and surrounding area.
  • San Diego, California set a goal to achieve 100% renewable electricity community-wide by 2035:
    • In September 2014, Mayor Kevin Faulconer (R-San Diego) presented his Climate Action Plan, which includes among other provisions, a target of reaching 100% renewable power for all of San Diego’s homes and businesses by 2035, with an emphasis on using local resources. After a year of state-mandated environmental review, the Climate Action Plan, which received broad, multi-stakeholder, bipartisan support, was officially adopted by the City Council on December 15, 2015.
  • Additional cities who have pledged 100% renewable energy: Del Mar, California, East Hampton, New York, Georgetown, Texas, Grand Rapids, Michigan, Lancaster, California, Moab, Utah, Nassau, New York, Palo Alto, California, Park City, Utah, Pueblo, Colorado, Rochester, Minnesota, Salt Lake City, Utah, San Francisco, California, San Jose, California, Santa Monica, California, Taos, New Mexico.
  • 17 cities and towns in Massachusetts have set ambitious goals to promote clean energy and to reduce their energy usage.

 

Select Relevant SBER Executive Guidance & Tools:

 

BD

Brittany Doherty, Program Director joined SR Inc at the start of 2015. Brittany has two years of experience managing and writing Sustainability Reports for the Town of Dartmouth in accordance with the comprehensive, credible, and widely used standard, the Global Report Initiative (GRI). Brittany graduated with a B.S in Organizational Behavior Management & Sustainability from the University of Massachusetts-Dartmouth, while actively developing a variety of sustainability initiatives for the university. Brittany served as the President of Net Impact at her university for three years, was a member of the Fair Labor Association Student Committee for two years, and also launched a pilot-teaching-program to integrate Sustainability into the global network of Junior Achievement. While Brittany was attending graduate school, earning a certificate in Environmental Policy, she worked as an Analyst for the Town of Dartmouth, assisting in the advancement of the Town’s economic, environmental, and social policies. Outside of her work at SR Inc, Brittany has volunteered on the Sustainable Belmont Committee and assisted in the Town’s GHG Inventory project, as part of the Climate Action Plan. She also served as a valuable member for the Belmont Solar Campaign (BSC).

Corporate Sustainability Growth Driven By Financial Impact

February 28th, 2017

Corporate Sustainability is defined as “a more strategic approach to business innovation and optimization in a world of rising resource constraints” (based upon the Dow Jones Sustainability Index (DJSI) definition – see our blog, An Unprecedented Opportunity & Moment for CRE). As such, it is no surprise that Corporate Sustainability is now a mainstream management strategy framework among large companies, public and private:

  • 43% of the Fortune 500 have set and reported Corporate Sustainability targets, including over half the Fortune 100
  • The Fortune 100 alone has reduced enough carbon impact equivalent to taking 15 coal-fired power plants out of commission
  • 87 companies have committed publicly to go to 100% renewable energy; some have already accomplished this goal and others are close
  • In 2016, solar and wind alone accounted for about 65% of new electrical capacity here in the US
  • 93% of CEO’s surveyed by Accenture think sustainability issues will be “key to their future business success”…
  • …and 63% of CEO’s surveyed in 2013 believed that Corporate Sustainability would “transform their industries within the next 5 years” – that puts this movement on par with the Internet, Business Process Resdesign, and the Total Quality Movement
  • 80% of institutional investors care about a company’s sustainability efforts, according to a 2016 MIT Sloan Business School and Boston Consulting Group study
  • Case studies abound within the thousands of companies, organizations, countries and regions that report to the Carbon Disclosure Project[1] (CDP) and Global Reporting Initiative[2] (GRI)

For those awake to this opportunity, most of the above is not really news, but rather a continuation of a megatrend that has been building steam for years. However, as an “approach to business”, what is remarkably NOT often reported is the financial impact of pursuing this management approach to business. We are not talking about the payback on LED investment, or the ROI for installing a solar array, or even the business case for LEED or BREAM certification for a building. Rather, we are referring to the investible business case for integrating Corporate Sustainability into how an enterprise operates, replete with cost efficiency, process/product/service design, talent attraction and retention, customer acquisition, retention and spend share, investor risk/return assessment and future regulator risk impact.

This lack of communication may reflect that companies may not fully understand the business case and impact of bringing this management approach to their business strategy and operations. At least in part as a result of this lack of broad financial impact communication, there is still a longstanding perspective – far more prevalent outside of our clients than within – that Corporate Sustainability is just “the right thing to do”, but that it “costs money”.  It also may help explain why only 31% of middle managers (who largely are responsible for implementation) believe that investors care about Corporate Sustainability (when in fact more than 80% of investors do) (same Sloan Business School and Boston Consulting Group study). This gap is furthered likely by one side of the national political news these days which mirrors this perception that “it is a drag on our economy”.

So, why is it that all of these leading corporations are putting so much behind their corporate sustainability efforts?  Are they doing this to hurt their shareholders returns? Are they doing this to weaken their competitive cost structures? Are they doing this because those burdensome regulations are forcing them to (show me the regulation requiring commitment to 100% renewable energy)? Anyone who is in business today knows that the answer to all the above is “not a chance”. While many examples exist today of the financial impact from Corporate Sustainability, we share what should catch the attention of corporate executives and managers:

  • Bloomberg – Demonstrating $25.5 million in savings in 2015 on the way to achieving a 2020 goal for $100 million in cost savings
  • SAP – Sharing an integrated reporting model in which, for example, each 1% improvement in 3 key metrics often impacted by Corporate Sustainability programs drives 3% operating profit lift
  • Harvard Business School Study – Quantifying incremental 7-9% shareholder value growth for companies performing strongly on “Material” ESG drivers.

Companies are about sustained shareholder value and profit growth, and any strategy they implement is going to need to accomplish that.  The Corporate Sustainability growth highlighted above is driven by sustained financial impact far more than by simply being “the right thing to do.”

[1] Today some 5,800 companies, representing close to 60% of global market capitalization, disclose through CDP.

[2] The GRI Disclosure Database contains 2,261 GRI reports for 2016; GRI reports include a GRI Content Index and do not include GRI reports that reference the guidelines but do not include a GRI Content Index (“GRI-referenced reports”) or those sustainability reports that do not reference GRI Guidelines.

 

 

David Osborn, COO, SR Inc

David Osborn, COO, SR Inc

David Osborn is an accomplished corporate sustainability advisor serving dozens of SR Inc’s Fortune 500 and mid-sized client companies as they drive significant operational efficiencies and better align with talent, customers, investors, and regulators through corporate sustainability strategy. From his career in business consulting and executive leadership, David brings to SR Inc over 25 years of experience in building professional services and technology-driven businesses serving a broad range of client industries. David graduated from Dartmouth College where his studies concentrated in Economics and Geology. He received numerous academic honors highlighted by a citation in mathematics from the then college President, John G Kemeny. After IT systems experiences at Arthur Anderson (now Accenture) and Wang Labs, David graduated from Northwestern’s Kellogg Graduate School of Management with honors, a member of the Beta Gamma Sigma Honor Society and in the top 3% of his class.

After receiving his MBA, David cut his teeth at Bain & Company in their Boston office and then progressed up to Managing Partner at Booz, Allen & Hamilton (BAH) where he was ultimately elected by his Partners to head their Australasian business. After helping to grow that business from a very early stage to a staff of more than 100, David returned to the US to head BAH’s Retail Financial Services practice in North America. After a few years back in the US market, David transitioned out of his highly successful consulting career and served as Managing Partner / EVP at two innovative business service companies: the first a 150 employee, VC-backed innovative technology services provider in Boston, and the second a high-end, 200+ employee proprietary marketing services provider located in Princeton and New York. In both companies, David led over 200% growth within 2-3 years while substantially building the companies’ delivery teams and capabilities.

Scoring Corporate Sustainability Financial Impact

February 27th, 2017

In our Membership-based Strategic Advisory & Support Service at Sustainability Roundtable, Inc (SR Inc), we have the privilege of working with dozens of companies, many in the Fortune 500, and we communicate with scores of others all year long. Among our leading clients, we share one example of how companies are scoring the financial impact of their Corporate Sustainability program as a business strategy.  Bloomberg, named our Corporate Leader of the Year in both 2013 and 2016, has made their Corporate Sustainability strategy investible by demonstrating the financial gains over years of incorporating Corporate Sustainability into their annual budgeting. To underscore that achievement, Bloomberg (a private company) publicly reports their cost savings and has set a 2020 corporate goal for cost savings. Bloomberg’s goal is to achieve $100 million in cost savings by 2020 and has reported that they saved $25.5 million in 2015. Notably, hand in hand with these financial gains, they also report that they have reduced carbon emissions by 35% from a 2007 extrapolated baseline and absolute emissions by 11% despite approximately doubling in size since 2007.

There are three interdependent dimensions to Bloomberg’s approach that we find particularly impressive and repeatable by other companies:

  1. They track detailed project-level savings over multiple years to account for how efficiencies have improved the business performance as the company grows. Much more common are individual project business cases that are approved (or not) at a point in time given very reasonable assumptions at the time.
  2. They aggregate a set of projects under a single overall strategy with a common theme – “The focus of Corporate Sustainability strategy drove us to invest in all these projects.”

    Jason Shulman, Global Head of Sustainable Operations, Bloomberg

    Jason Shulman, Global Head of Sustainable Operations, Bloomberg

  3. The CFO approves investments in the strategy – not the individual projects. This has been accomplished by enabling the finance function to “audit the Corporate Sustainability books,” helping to gain CFO buy-in.  Not all projects, looked at on a stand-alone basis, have an immediate positive return, but Bloomberg incorporates them to bolster implementation of the overall program.

The chart below was part of a presentation by Bloomberg’s Jason Shulman to many of our client executives at SR Inc’s Summit for Sustainable Operations V in December in Washington DC. The first graph depicts the overall savings achieved since a 2007 baseline, with a breakdown of Capex and Opex savings within their Facilities budget targeted for an audience of leading Corporate Real Estate (CRE) and Sustainability executives.

Total 2008-2015 Portfolio-wide Project Savings/Cost Avoidance by Project Type

graph

The second graphic shows the impressive emissions reduction achieved hand-in-hand with the expense savings.

graph2

We consider this highlighted example as among best practice approaches in particular because it has materially changed the way Bloomberg invests in its company.  Jason also explained how this investment grows as upper management – as well as implementing operating departments – increasingly buy-in to the strategy because of the proven good-for-business track record.  Additionally, in the “war for talent”, being able to speak credibly to the full triple bottom-line impact of Corporate Sustainability favorably impacts Bloomberg’s ability to attract and retain talent.

Unsurprisingly, this approach is now of interest to other Member Executives, and SR Inc will examine this approach further in 2017 along with other promising approaches tied to more integrated reporting. SAP serves as one of those examples that also quantifies the impact on operating profit from drivers often impacted by Corporate Sustainability programs like talent retention, SAP’s own Health & Culture index and employee engagement improvements.  (See my relevant tweet on this from January.)

Bringing the financial and shareholder value impact (see prior SR Inc blog on Harvard Business School’s study showing 7-9% shareholder growth impact from strong Environmental, Social & Governance (ESG) performance, particularly on “Material” ESG drivers – Corporate Sustainability Shareholder Value Impact) to the C-Suite will serve this megatrend well.  While the largest corporations have done a great deal, we are still in the early days of this change. The Paris Accord, signed by 196 countries in December 2015, demonstrates governmental leadership buy-in.  However, to get the job done will require businesses globally to be a (if not THE) primary driver of implementation. To make that happen, companies need to understand the full business case and performance benefits of aligning their strategy and operations with the ever-growing resource efficiency, social and governance demands of customers, competitors, talent and investors within the bounds established by regulators.

 

DavidO

David Osborn, COO, SR Inc

David Osborn is an accomplished corporate sustainability advisor serving dozens of SR Inc’s Fortune 500 and mid-sized client companies as they drive significant operational efficiencies and better align with talent, customers, investors, and regulators through corporate sustainability strategy. From his career in business consulting and executive leadership, David brings to SR Inc over 25 years of experience in building professional services and technology-driven businesses serving a broad range of client industries. David graduated from Dartmouth College where his studies concentrated in Economics and Geology. He received numerous academic honors highlighted by a citation in mathematics from the then college President John G. Kemeny. After IT systems experiences at Arthur Anderson (now Accenture) and Wang Labs, David graduated from Northwestern’s Kellogg Graduate School of Management with honors, a member of the Beta Gamma Sigma Honor Society and in the top 3% of his class.

After receiving his MBA, David cut his teeth at Bain & Company in their Boston office and then progressed up to Managing Partner at Booz, Allen & Hamilton (BAH) where he was ultimately elected by his Partners to head their Australasian business. After helping to grow that business from a very early stage to a staff of more than 100, David returned to the US to head BAH’s Retail Financial Services practice in North America. After a few years back in the US market, David transitioned out of his highly successful consulting career and served as Managing Partner / EVP at two innovative business service companies: the first a 150 employee, VC-backed innovative technology services provider in Boston, and the second a high-end, 200+ employee proprietary marketing services provider located in Princeton and New York. In both companies, David led over 200% growth within 2-3 years while substantially building the companies’ delivery teams and capabilities.

IoT Enabling the Move from Cost Management to Sustainable Value Creation

January 20th, 2017

Under the theme of “Regenerative Operations by 2030,” Sustainability Roundtable, Inc’s (SR Inc’s) Summit for Sustainable Operations V – held in December in DC  – focused on helping Member Executives move corporate operations and real estate from cost center management to sustainable value center creation advancing  C-Suite priorities (e.g. talent engagement, business process redesign). One inflecting change that enables this change in the role of operations and real estate is deployment of the Internet of Things (IoT), which provides improving insights into utilization, collaboration and productivity.    Through-out the Summit it became clear that the unprecedented ability to capture, manage, analyze and act on data enabled by the automatically interacting and adapting systems of the IoT is beginning to transform Member Executives perception of the possible; and, specifically, how they can move from a focus on managing costs within a building-centered framework to leading people in a software defined framework towards sustainable value creation in an increasingly transparent, global and resourced constraints world.

SR Inc’s Senior Consulting Advisor & COO, David Osborn, kicked off the session on IoT with a number of recommendations for real estate and operating executives to consider with regard to IoT deployment, as drawn from SR Inc’s ongoing work with Member-Clients who have experience sourcing and deploying IoT solutions. David’s priority guidance based upon best practices from SR Inc’s leading Member-Clients follows:

  1. Despite all the supply-side hype, IoT deployment opportunity is in fact not about “Whether”, but about “Where (First)”, “How” and “When”
  2. Use a people-centric approach and engage the workforce from an early stage – as you deploy, they will add value on how to impact the “$300/SF” in $3/SF – $30/SF – $300/SF (i.e. utilities, rent and talent respectively)
  3. Plan first for portfolio-wide visibility (leased and owned), but be selective on deploying deeper integration (control) where operational value can be captured
  4. Best practice is blueprinting a scalable “work smarter” approach with savings first from budget and progressing to earning strategy re-investment…
  5. …and while quick impact is likely necessary, plan for capturing the majority of opportunities over years – you likely need to get going now to be competitive in ~3 years
  6. While achieving “cost of occupancy” savings is job #1 today, the bigger opportunity is an approach that comprehends and targets workforce productivity
  7. Security is tantamount and solvable, but do not assume that providers have this covered or can meet your standards
  8. Pinpoint precisely what CRE executives need to know in 2017 to best manage this high potential enabling strategy

Ali Ahmed, Founder, Green Strategies LLC (former Global Energy & Sustainability Lead at Cisco)

aliahmed

Ali Ahmed, Founder & Principle of Green Strategies LLC, which has partnered with SR Inc to assist Member-Clients

Following David’s introduction, Ali Ahmed – whom SR Inc served during his six years as Senior Manager of Global Energy Management and Sustainability at Cisco and who now partners with SR Inc through his Green Strategies LLC to assist Member-Clients – provided an overview of the current state for IoT in CRE and the opportunities it can provide to companies. Ali pointed out that the hurdles companies have historically faced in IoT are systematically being overcome, as technology and security systems become increasingly sophisticated while prices drop rapidly, meaning IoT installations are becoming increasingly decoupled from major building renovations. Ali reflected on the fact that, in the war for talent among leading global companies, IoT can enable companies to create agile work environments and connect with their employees through addressing safety and wellness concerns as soon as they arise, helping boost employee satisfaction and productivity. Still, Ali advised that, as increasingly more data becomes available, it is important to stay open to serendipity and the possibility for unexpected data sets to correlate while still being able to distinguish real and useful data trends from “noise.” Further, Ali stressed that security and privacy concerns remain of the utmost importance when evaluating potential solutions.

Amy Aves

Amy Aves, Senior Director of Global Real Estate Operations, Oracle

Amy Aves, Senior Director of Global Real Estate Operations, Oracle

Amy Aves, Senior Director of Global Real Estate Operations at SBER Charter Member Oracle, followed Ali’s remarks with an overview of the challenges Oracle has faced in implementing IoT solutions for its real estate and operations. Amy’s experience at Oracle corroborated Ali’s point regarding security concerns of IoT-enabled workplaces. With extremely strict security protocols, Oracle currently has approximately 60 projects in the pipeline awaiting security review and outsources technology solutions as little as possible. Amy is helping lead Oracle in leveraging the success of IoT deployment at its headquarters to install similar solutions at other owned sites (~40% of Oracle’s total square footage). Amy’s team is also driving efforts to track each new device that is installed as an asset so that there is a comprehensive inventory of all connected devices enterprise-wide. The rapid rate at which Oracle acquires companies proves to be a key challenge to its strict security protocols, as acquisitions typically have looser security standards than Oracle, and the security team is tasked with doing a lengthy security review of all these solutions as they are brought into the portfolio or replaced with an Oracle-approved (or in-house) solution. Amy concluded that Oracle recognizes the need for a portfolio-wide strategy to fully capture the sustainability benefits of total IoT integration and effectively avoid security risks.

Clayton Mitchell, Executive Director, Facilities Management, Kaiser Permanente

claytonmitchell

Clayton Mitchell, Executive Director, Facilities Management, Kaiser Permanente

Clayton Mitchell, an Executive Director at SBER Charter Member Kaiser Permanente, wrapped-up the session by discussing how he and his team helped successfully create and scale a program for IoT deployment. This successful program was founded on achieving savings first and “earning” the right for re-investment from the CFO. This approach was highlighted when Mitch rejected an initial offer of $3 million in up-front capital for energy efficiency projects from the CFO. He did this by first acknowledging that the CO region, which he oversaw, had significant troubles with alignment and resource allocation, but that a Building Automation System was in place, helping to form the beginnings of a vision for the region. Clayton and team identified five strategic imperatives to align relevant parties and priorities before spending any capital:

  1. Resource allocation (capital versus maintenance)
  2. Workforce development: focus on the kind of talent needed: best decisions on sustainability and efficiency come from the facility manager level – important to consider how the tool can help the person actually doing the work to take the site to the next level of success and productivity
  3. Sustainability: consider and weight its importance to continuity of operations, community benefit (an imperative in new client/prospect introductions
  4. Big data: gain portfolio-wide data visibility followed by targeted ROI-based investments in deeper systems integration
  5. Space/asset management: better leverage the existing real estate to improve staff experience while reducing costs (Kaiser has significantly improved space utilization through its alternative workplace program that leverages flexible workplaces to be more collaborative while integrating WELL standards to create healthier environments

As the CO region approached company and industry-best practice performance levels across virtually all facility metrics, Mitch is now leading his team in implementing similar best practices across the Mid-Atlantic region and California to the significant financial and sustainability benefit of the company.

SR Inc looks forward to continuing working with Member-Clients in 2017 to deepen the business case for a connected, sustainably healthy workplace that can help industry leaders and laggards alike make important strides towards low-impact, no-impact and ultimately regenerative portfolios in the coming decade.

The slides from the Summit for Sustainable Operations V can be found on SR Inc’s Digital Library here. Additional select relevant Executive Guidance from our Digital Library can be found below.

Select Relevant SBER Executive Guidance & Tools:

Advisories:

Briefings:

Presentations:

Reports:

 

kwall_linkedin_pic-1 (2)As a Senior Manager of Research & Consulting at SR Inc, Kelsey Wallace supports research, development and implementation of enterprise sustainability strategies for companies that recognize the business imperative of more sustainable operations in the face of climate change and an increasingly resource-constrained world. Prior to joining Sustainability Roundtable, Inc., Kelsey worked for an environmental/engineering consulting firm where she supported clients including  the U.S. Environmental Protection Agency and the U.S. Green Buildings Council to promote sustainable buildings, clean energy, and safe drinking water. Kelsey also devoted a year to national service with the AmeriCorps National Civilian Community Corps, where she worked on team-based conservation and community development projects throughout the Southwest United States. Kelsey has her B.A. in Environmental Studies from Connecticut College.

A Revolution Towards Renewable Energy Portfolio-wide

January 9th, 2017

Sustainability Roundtable Inc.’s (SR Inc) Summit For Sustainable Operations V was held in Washington DC on December 7th and 8th. Member Executives of SR Inc’s Sustainable Business & Enterprise Roundtable (SBER) examined three mutually reinforcing “revolutions” making the Summit’s audacious theme “Regenerative Operations by 2030” plausible. Before the holidays, this blog discussed the Sustainably Healthy Workplace revolution, which emphasizes a renewed management focus on the human health impacts of real estate and operations. A second revolution examined at the Summit was the dramatic transition large enterprises are making towards renewable energy throughout their portfolios – across geographies, industries and sectors. Specifically, we examined the accelerating technical, market and regulatory change prompting most SBER Member-Clients to refrain from substantial energy transactions without first seeking to systematically consider alternative energy solutions and how these solutions can be integrated into their energy strategies.

corporate-re-purchases

Figure 1. Corporate Renewable Energy Purchases. Source: Lazard LCOE data https://www.lazard.com/media/2390/lazards-levelized-cost-of-energy-analysis-90.pdf

Roger Freeman is a member of SR Inc’s Advisory Board who has led at the intersection of renewable energy development, procurement, financing, law and regulation for more than two decades. Mr. Freeman is a Principal Adviser in SR Inc’s Renewable Energy Procurement Services (“REPS’) and assists in advising SBER Member-Clients on incorporating alternative energy solutions into their energy strategies.  At the Summit, Mr. Freeman illuminated the dramatic technical, market and regulatory change prompting corporate decision-makers to act timely on alternative energy solutions. He explained how Member-Clients have, in many instances, embraced portfolio-wide renewable energy as a defining feature of their enterprise-wide commitment to sustainability. In fact, more than a dozen Member-Clients have joined scores of companies who have publicly committed to 100% renewable energy. Roger shared how many Member-Clients have recognized that, for a growing number of energy users, both on- and off-site renewable energy can be justified on the basis of risk and cost management, without recourse to reputational benefits. Since Member-Clients have found that both on- and off-site renewable energy provides meaningful reputational benefit among employees, customers, investors and regulators, the fact that many are now also convinced of renewable energy’s merit for risk and cost management purposes has made the scaling adoption of renewable energy inevitable.

This is unmistakably part of a larger trend beyond SBER extraordinary Member-Client companies.  More than 80 global corporations have publicly announced their commitment to powering all of their global operations with 100% renewable energy. Meanwhile, in the U.S., the important Federal Investment Tax (for solar development) and Production Tax Credits (for wind development) will both decline before the 2020 elections and are unlikely to be restored or renewed under the incoming administration.

re-incentives

Figure 2. Renewable energy incentives. Source: energy.gov: https://energy.gov/savings/business-energy-investment-tax-credit-itc, https://energy.gov/savings/renewable-electricity-production-tax-credit-ptc

Consequently, Mr, Freeman reported that Member-Clients are acting to realize three time sensitive advantages for procuring renewable energy:  (a) advancing towards their Greenhouse Gas (GHG) reduction goals; (b) achieving cost savings against expected conventional prices; and (c) creating long-term energy price hedges through scaled off-site transactions.  He summarized how SBER Member-Clients have seized the best renewable energy opportunities available to them through a 4-step process:

  1. Develop an energy procurement strategy educated to the technical, market and regulatory change reshaping local and global energy markets and aligned with enterprise sustainability goals
  2. Prioritize markets with increasing conventional energy price risk and renewable energy opportunities
  3. Quantify on-site and off-site opportunities through a managed, multi-stage RFI/RFP process drawing from dozens of qualified and referenced providers scored in all relevant respects
  4. Explicate “Best and Final” financial proposals that advance a multi-year strategy through comprehensive Letters of Intent (LOI) detailing price supporting “most favored nation” terms.

Mr. Freeman then detailed leading Member-Client management best practices in building enduring success with a smart portfolio-wide energy strategy:

  • Take a portfolio approach, increasing scale to maximize efficiencies and savings
  • Engage facilities/regions early to ensure buy-in and understanding of the process
  • Ensure C-level and business unit support to maintain momentum, accountability and organizational buy-in
  • Identify a primary point of contact to drive deals forward with all internal functions (e.g. legal, finance, accounting)
  • Develop transparency and open communication internally and with project partners including multi-stakeholder pacing meetings
  • Engage expert resources early to avoid false starts and minimize risks to the enterprise and sponsoring executives
4options

Figure 3. Market trends. Primary factors leading to increased solar adoption. Sources: Wall Street research, GTM/SEIA 2015, EIA, and Deloitte (December 2015).

By employing these best practices, Mr. Freeman concluded that Member-Clients in higher-priced electricity markets and U.S. jurisdictions favorable to onsite solar, who have appropriate controlled sites and are willing to sign 15 to 25-year Power Purchase Agreements (PPAs), can expect to see significant energy savings on solar power compared with current conventional energy spend.  SR Inc has advised Member-clients with multiple relevant sites who drive PPA deals winning them six figure savings in year one and millions in savings over 15 or 20 year terms even while retaining valuable RECS to win GHG reduction credit.

As the representative of top corporate off-takers, SR Inc has worked with dozens of leading alternative energy suppliers.  One provider across solution categories which is regularly selected by SBER Member-Clients for competitive bids managed by SR Inc (or others) is NRG.   Consequently, SR Inc has been pleased to partner with NRG Energy, Inc. as a SBER Premier Thought Leader to help Member-Clients understand,  in greater detail, the opportunities and challenges inherent in our new energy reality.

kevinprince

Kevin Prince, Sr. Director, C&I Renewable Energy Development, NRG Energy, Inc.

To assist SBER Member-Clients as a Premier Thought Leader, NRG’s Kevin Prince, Senior Director of Commercial & Industrial Renewable Energy Development, provided an overview of renewable energy procurement types, highlighting the differences between onsite, wholesale, and community solar purchases in terms of type, term, land requirement, size, additionality, and RECs. He also summarized the risks and benefits of partnering with different financing entities, ranging from sophisticated companies to much smaller and more informal finance partners. Kevin then provided a pros and cons comparison of the three procurement options. Mr. Prince concluded with a discussion of the “three R’s of solar” – rates, regulatory incentives, and resource – and the key factors one must consider when making strategic decisions about solar.

figure4

Figure 4. Market trends. Source: NRG Energy, Inc.

Following this presentation, Sean Kinghorn, Senior Sustainability Program Manager at Intuit, discussed how he helped lead the global software provider in implementing many of the best practices Roger and Kevin introduced. Sean provided insight into how he created needed and unusual success for renewable energy procurement in leased space, and specifically, how he did it through a single, relatively short term (i.e. 8 year), Power Purchase Agreement that aggregated the demand of multiple leased sites at Intuit’s Headquarters. Consistent with Intuit’s corporate commitment to ‘Be Bold” and “Delight the Customer,” Sean pioneered renewable energy for leased space to delight his internal customers, who are the business unit leaders and talent the rapidly growing company needs to recruit and retain. Consistent with Intuit’s commitment to sustainability, Sean noted that the physics of climate change remain indifferent to the business case for emissions reduction. With targets for a 50% reduction in Scope 1, 2 and 3 emissions by 2025 and 80% by 2050 (from 2012 levels), Intuit must take bold action, including achieving its goal for 100% renewable energy by 2030. Intuit’s success serves as a strong case for setting bold, multiple bottom-line targets and innovating to meet or exceed them to manifest corporate leadership aligned with science.

brunosarda

Bruno Sarda, Vice President, Sustainability, NRG Energy, Inc.

NRG’s Vice President of Sustainability, Bruno Sarda, concluded the Summit’s renewable energy track, discussing the role NRG sees for itself in creating a sustainable energy future and the opportunities for partnerships that can provide mutual benefit to all those interested in advancing renewable energy. In addition to science-based carbon emissions reduction targets of its own, NRG aims to help customers with their sustainability goals through advising on and making available solutions for renewable energy, demand response, load reduction and a number of other initiatives. Through collaborative and strategic partnerships, NRG hopes to achieve its vision for a “sustainable energy future that provides reliable, cleaner power that enhances people’s lives and delivers value to stakeholders.” SR Inc is pleased to be one of these partners and looks forward to continuing to advise and empower Member Executives to move from “managing costs” to “sustainable leadership” that creates enduring business value in an increasingly global and resource constrained economy, so that by 2030, the idea of regenerative corporate operations will be a matter of course in the more sustainable economy SBER Member-Clients are helping to create now.

The slides from the Summit for Sustainable Operations V can be found on SR Inc’s Digital Library here. Additional select relevant Executive Guidance from our Digital Library can be found below.

Select Relevant SBER Executive Guidance & Tools:

 

kwall_linkedin_pic-1 (2)As a Senior Manager of Research & Consulting at SR Inc, Kelsey Wallace supports research, development and implementation of enterprise sustainability strategies for companies that recognize the business imperative of more sustainable operations in the face of climate change and an increasingly resource-constrained world. Prior to joining Sustainability Roundtable, Inc., Kelsey worked for an environmental/engineering consulting firm where she supported clients including  the U.S. Environmental Protection Agency and the U.S. Green Buildings Council to promote sustainable buildings, clean energy, and safe drinking water. Kelsey also devoted a year to national service with the AmeriCorps National Civilian Community Corps, where she worked on team-based conservation and community development projects throughout the Southwest United States. Kelsey has her B.A. in Environmental Studies from Connecticut College.

A Revolution Towards Sustainably Healthy Workplaces Portfolio-wide

December 21st, 2016

Sustainability Roundtable, Inc.’s (SR Inc.’s) Summit for Sustainable Operations V, held at the St. Regis Hotel in Washington DC on December 7th & 8th, examined several topics relating to the overarching theme of “Regenerative Operations by 2030,” including portfolio-wide management best practices that companies are employing to turn this goal, which previously seemed too audacious even for industry leaders, into an achievable one. One such topic, which has captured increasing attention from Member-Clients in recent months and years, is the strategic and enduring value that Sustainably Healthy Workplaces can create for an enterprise.

Peter Crawley, Director of Research & Consulting at Sustainability Roundtable, Inc. framed the morning session on Sustainably Healthy Workplaces (SHW) by sharing key findings from work on SHW programs with SR Inc. member clients over the past year. He reminded attendees that successful programs should be focused on enhancing worker health, productivity and job satisfaction because typical personnel costs are 10x space costs and 100x energy costs. Therefore, improvements in worker productivity have direct and significant impacts on a company’s bottom-line and drive the business case for SHW.

This financial ratio also supports another key learning: successful SHW initiatives need to be human-centered in terms of design, implementation and outcomes. Initiatives that are primarily driven, for example, by technology or rent savings, may actually have adverse financial and organizational consequences if they negatively impact worker productivity, health or job satisfaction.

andrew-green

Andrew Green, Environmental Sustainability Office Lead, Capital One

Understanding and leveraging the impact of SHW programs on worker productivity also moves the Corporate Real Estate (CRE) function from treatment by the C-suite as a “cost center” to that of a “value creator”. Peter pointed out that Millennials are approaching 50% of the workforce and have the skill sets that companies need to be competitive. Attracting and retaining Millennials requires healthy workplaces and strong corporate sustainability goals and programs.

Andrew Green, Manager, Environmental Sustainability Office, Capital One

SHW is a sub-frame of enterprise-wide sustainability and the two strategies should be aligned. It follows, therefore, that effective SHW programs require effective cross-departmental teams, such as collaborations between Human Resources, Technology, Space Planning and Sustainability. Andrew Green, Manager of the Environmental Sustainability Office at Capital One, focused his presentation on best practice governance protocols to assure cross-departmental collaboration and effectiveness. He recommended alignment of organizational structures and reporting hierarchies, as well as goal and budgeting alignments. He also recommended formalizing regular interdepartmental meetings and open data and credit sharing.

hakon-mattson_award

Hakon Mattson, Anthem CRE Director – pictured with Jim Boyle (left) and Paul Hawken (right) – received SBER’s Outstanding Corporate Executive Award for 2016

Hakon Mattson, Director, CRE Sustainability, Anthem, Inc.

Presenter Hakon Mattson shared recommendations on identifying metrics and developing scorecards for an effective portfolio-wide SHW program. Working with SR Inc., he created a checklist of 8 areas to baseline a portfolio of buildings for worker health impacts: Air, Comfort, Fitness, Light, Mind, Nourishment and Security. He pointed out that relevant data could be sourced from CRE, Human Resources, IT and other departments, but that it is a challenge to precisely correlate workplace environmental conditions with specific health outcomes.

Deidre Buzzetto, Director of International Real Estate Workplace Solutions, Lenovo

Deidre Buzzetto shared her approach to capturing relevant SHW data and integrating it into workplace design guidelines. She recommended multiple research methods, including occupant surveys, behavioral observation by experts, and real time space monitoring and utilization analysis via wireless technologies. Deidre shared her findings that building healthy workplaces, characterized by open floor plans and strategic combinations of private and shared spaces aimed at increasing collaboration and productivity, have reduced overall cost of occupancy per employee.

deidre

Deidre Buzzetto, Director of International Real Estate Workplace Solutions, Lenovo

Conclusion

Looking to the future, all the speakers pointed-out the need for more research and targeted data collection related to measuring the impacts of healthy work environments on worker productivity and job satisfaction. Advances in workplace IOT technologies, including wearable devices, supply great promise for better data and new metrics (such as Health Performance Indicators) to clarify the impacts of workplace environments on worker health and productivity.

SR Inc looks forward to working with Member-Clients in the New Year to develop, deepen and design the business case for SHW in a manner that can be configured for any industry, market or building type to continue empowering our Member-Clients’ impressive, human-focused leadership in sustainability as we work together to help define and achieve enduring leadership in corporate real estate and operations globally.

The slide presentations from this session can be found on SR Inc’s Digital Library here: A Revolution Towards Sustainably Healthy Workplaces Portfolio-wide

Select Relevant SBER Executive Guidance & Tools:

1_Crawley-Peter-150x150Peter Crawley, Director of Research & Consulting at SR Inc since January 2015, has led at the intersection of strategic consulting, real estate and sustainability for more than 15 years, serving as the principal advisor to top real estate owners and scores of  operating companies.  Peter has helped the executive teams at these enterprises develop and implement highly profitable Sustainability Strategies.  Prior to joining SR Inc, Peter served as the Director of Sustainability Services at the environmental engineering firm EBI Consulting, as well as Director of the Sustainable Business Leader Program of MA.  He has also taught on Sustainability, Leadership, and Corporate Social Responsibility as an adjunct professor at Boston College’s Carroll School of Business.

Peter is LEED accredited and has deep experience working on energy efficiency issues, product life cycle improvements, and greenhouse gas measurement, reduction, and reporting. He has worked on numerous LEED certification and high-performance building projects, and designed and implemented company-wide behavioral change programs to advance sustainability goals and enhance employee engagement.

Peter received his BA from Amherst College, his MS in Real Estate from Columbia University and his MA in Sustainability & Environmental Management from Harvard University.

Aligning Business with Life: Summit For Sustainable Operations V

December 19th, 2016

Sustainability Roundtable Inc. (SR Inc) was pleased to host the Summit For Sustainable Operations V in DC on December 7th & 8th. For more than seven years, SR Inc has worked with over 75 leading enterprises on a multi-year basis to help them accelerate their move to more sustainable operations. In DC, SR Inc’s full-time team was glad to share some of what Member-Clients have learned about driving sustainable high-performance through-out large (oftentimes global) enterprises.

As CEO & Founder of SR Inc, I want to extend a special thanks to Sustainable Business & Enterprise Roundtable (SBER) Member-Clients who worked with our SR Inc team to define, detail and present portfolio-wide management best practices including Anthem, Bloomberg, Capital One, Cisco, Intuit, Kaiser Permanente, Lenovo, NIH, and Oracle as well as to our special guests from the EPA, U.S. Dept. of Energy and U.S. Senate.

From an unforgettable morning keynote from Paul Hawken – who has done so much to envision, inspire and lead the global sustainable business movement – through to the examination of three mutually reinforcing revolutions in Healthy Workplaces, Renewable Energy and the Internet of Things (IoT) in Sustainable Operations – Summit V changed participants understanding of what is possible. Indeed, more than a few participants observed that before the Summit the theme of “Regenerative Operations by 2030” (i.e., operations that profitably contribute more to our health and ecology than degrade them) seemed an audacious aspiration, but following the Summit, it seemed an eminently attainable goal.

A DC Dinner Guest:

markey_edited

Senator Markey addresses Summit guests during dinner at the St. Regis Hotel in Washington DC.

The Summit began the night prior.  At the dinner preceding the Summit, Senator Edward Markey of Massachusetts (author of the Markey/Waxman Cap & Trade Bill that passed the House in 2009) joined us and announced that earlier in the day he had joined Senator Merkley of Oregon to introduce a Resolution in the Senate supporting a transition to 100% clean, renewable energy. That resolution has attracted  multiple Co-sponsors in the Senate and corresponds to a parallel resolution in the House with 60 Sponsors. Both resolutions build on the work of Mark Jacobson, Director of the Atmosphere & Energy Program at Stanford, and his team’s documenting of the feasibility of 100% renewable energy in each of the 50 states and in the U.S. as a whole – a body of research that has captivated the attention of several Member-Clients with public goals to power 100% of their operations with renewable energy.

An Inspirational Call to “Align Business with Life”:

The Summit itself began with Paul Hawken’s personal and compelling talk about his remarkable Project Drawdown (and related publication coming in April).  Project Drawdown has attracted the C-Level support of leading SBER Member-clients and demanded Paul’s attention for multiple years. Paul has led in enlisting hundreds of top scientists, researchers and sustainability strategist to rigorously quantify what combinations of technologies and approaches can most help drawdown carbon from our atmosphere. Project Drawdown amounts to no less than the first plan to solve climate change (as opposed to “just” avoiding an increase in global mean temperature above 1.5 C). Consequently, through both exposition and example, Paul helped SBER Members understand that we can move from “managing to avoid the bad” to “leading towards the good,” and that we can lead towards both profit and the drawdown of carbon in our atmosphere if we “lead fearlessly to align business with life.”

Three Mutually Reinforcing Revolutions:

Moving from “managing to avoid the bad” (e.g. unneeded costs and fugitive carbon) to “leading to align business with life” became a theme of the Summit as we examined three distinct, mutually reinforcing revolutions in corporate operations. The 1st revolution is a change of leaders’ focus from managing buildings and spaces to leading people towards “Sustainably Healthy Workplaces” portfolio-wide. The 2nd revolution is driven by the inflecting adoption of Renewable Energy Portfolio-wide that increasingly powers businesses in a manner aligned with life. The 3rd revolution is the IoT in Operations that is making it possible to measure and manage in a human-centric – as opposed to building and space-centric – manner.

jason-shulman_award_edited-min

SR Inc’s Jim Boyle presents Bloomberg with the Sustainable Business & Enterprise Roundtable award for Outstanding Corporate Leader o 2016

A Breakthrough Accounting for More Sustainable Operations:

Before we examined these three revolutions, we moved from the conceptual to the impressively practical with Jason
Shulman, Global Head of Sustainable Operations at Bloomberg
.  It was my pleasure to set precedent and recognize Bloomberg LP as the SBER’s first repeat Outstanding Corporate Leader of the Year for Bloomberg’s exceptional leadership in SR Inc’s scoring of Sustainable Operations.

Jason shared the details regarding how Bloomberg has moved to top leadership in more sustainable business (including ever more Class A, LEED Certified, office space and renewable energy) while scoring and reporting tens of millions of dollars saved due to their careful, portfolio-wide, growth adjusted, accounting. We highlighted Bloomberg’s approach to scoring and reporting sustainable savings as our Featured Management Best Practice because it is a tested, breakthrough, approach for accounting for the full benefit of more sustainable operations our every SBER Member-client should understand.

An Exceptional Individual Executive:

amy-aves-2_edited-min

Amy Aves of Oracle discusses how IoT applications in Oracle’s operations have helped drive progress in the company’s sustainability program

In addition to recognizing Bloomberg as a company, I also had the pleasure of recognizing Hakon Mattson, CRE Director, Energy & Sustainability at Anthem as the SBER Outstanding Corporate Executive of 2016. Hakon demonstrated why, when he explained how he has established and driven a Sustainably Healthy Workplace program at Anthem that integrates human health related metrics as he seeks to lead tens of thousands in Anthem’s growing workforce towards a Sustainably Healthy Workplace.

Andrew Green, Manager, Environmental Sustainability at Capital One also made a vitally important contribution in explaining the critical element of cross departmental coordination to advance Capital One’s world-class initiatives in healthy workplaces for its rapidly growing workforce. Diedre Buzzetto, Director of International Real Estate at Lenovo, joined Hakon and Andrew to help bring home the fact that the movement to dynamic, human centered, workplace leadership transcends industries and borders world-wide.

Then, Sean Kinghorn, Senior Sustainability Program Manager at Intuit, (and SBER Outstanding Executive of 2015) explained how he had innovated to create a single compelling, 8 year term PPA for renewable energy for multi-site, leased space. Amy Aves, Senior Director of Global Real Estate Operations at Oracle and Clayton Mitchell, Executive Director of Facilities Services at Kaiser Permanente, explained how the plummeting costs and rising functionality of the IoT for Operations was enabling them to advance human – as opposed to building – focused leadership through superior insight into utilization and even individual employee preferences and behavior change.

Public Leadership & Brilliance at Lunch:

At lunch, we were not only treated to the insights of David Freidman, Acting Assistant Secretary at the Dept. of Energy’s Office of Energy Efficiency & Renewable Energy about the inflecting change in renewable energy, energy storage and EVs, but we also had the special benefit of Salesforce’s Director of Sustainability Patrick Flynn sharing a developed version of his TEDx Talk on “Mankind’s Biggest Machine” and, specifically, what executives could do through the CoLo Buyers’ Principles to advance towards a “global information machine” that was – to insert a phrase – better aligned with life. Following lunch, Jean Lupinacci, Chief of the Energy Star, Commercial & Industrial Branch of the EPA reviewed the voluntary program’s remarkable growth and new services.  Kenny Floyd, Director at the Division of Environmental Protection of the National Institutes of Health (NIH)demonstrated how the NIH has led by example for years in aligning its campus, buildings and behavior with human health.

patrick-flynn_edited

Salesforce’s Patrick Flynn delivers a focused version of his TEDx Talk on “the greatest machine humankind will ever build.”

That all set the stage for our brief and focused afternoon “Base Camp Huddles” on how best SBER Member Executives could ascend from being perceived as managing cost centers to creating strategic and enduring value for their enterprises – especially in regard to their move to Sustainably Healthy Workplaces and Renewable Energy Portfolio-wide. In both instances, Member Executives confirmed what we have regularly heard one-on-one. Namely, they want decision support on the enabling IoT solutions and configurable business cases that are industry, market, building type and space use -specific for Sustainably Healthy Workplaces and Renewable Energy Portfolio-wide.

Fortunately, SR Inc has partnered with NRG and Delos (which sponsors the Well Building Standard) to develop rigorous, science based SBER Executive Guidance & Decision Tools in 2017 to help executives profitably move towards Sustainably Healthy Workplaces and renewable energy-powered portfolios.  NRG Vice President of Sustainability Bruno Sarda presented at the Summit to share NRG’s broad ranging initiatives and interest in partnering with top companies to leverage its unique capabilities as one of the country’s largest energy companies to help shape the future of more sustainable business.

Consequently, following the holidays, SBER Charter Members will examine and refine the SBER proposed Chartered Agenda 2017 reflecting our proposed deliverables and meeting formats and calendar. We will finalize that Charter and our 2017 calendar through our Charter Agenda 2017 Webinar February 16th from 2-3pm ET.

Conclusion:

As post-meeting surveys reveal, several who participated in the Summit for Sustainable Operations V have taken to heart Paul Hawken’s invitation to: “fearlessly lead to align business with life.” There is no business case for degrading living systems in ever more transparent markets. However, in highly imperfect markets, aligning growing business profit “with life” requires exceptional, human focused leadership. For this reason, SBER Member Executives’ time and leadership are especially appreciated as we all work together to help define and achieve enduring leadership in global corporate real estate and operations in a breakthrough 2017.

 

1Jim Boyle is CEO & Chairman of Sustainability Roundtable, Inc. For nearly eight years, Jim has led full-time teams of diverse experts assisting world-leading corporations, real estate owners, and federal agencies in their move to greater sustainability. He has led in developing SR Inc’s confidential, industry specific, annual management assessment and recommendation process for more sustainable operations and real estate that is compatible with major public standards globally. Further, he has directed the development of hundreds of pieces of SR Inc original Executive Guidance & Tools and led in the creation of SR Inc’s Renewable Energy Procurement Services (REPS) practice, which represents top corporate off-takers across the U.S. and internationally.  Before founding SR Inc, Mr. Boyle advised fast growth technology firms, private equity firms, and institutional investors as an adviser on real estate strategy and implementation, and before that, as a large law firm attorney assisting corporate and investment clients on complex real estate and environmental compliance-related issues. Jim is a graduate of Middlebury College and Boston College Law School, who early in his career served as a federal law clerk and as an aide to John F. Kerry in the U. S. Senate.

Summit For Sustainable Operations V; Regenerative Operations By 2030

November 21st, 2016

SR Inc is pleased to host the Summit for Sustainable Operations V December 7th & 8th at the St Regis in DC.

Click here to view the announcement.

Paul Hawken, Global Thought Leader Author of Natural Capitalism and Ecology of Commerce Keynote, Summit for Sustainable Operations V

Paul Hawken, Global Thought Leader, Author of Natural Capitalism & Ecology of Commerce
Keynote

Sustainability Roundtable Inc.’s (“SR Inc”) market-based approach to more sustainable operations has never seemed more important.

SR Inc’s invitation only Summit is the premiere conference for executives who set the agenda for more sustainable corporate real estate and operations.  In an intimate and interactive setting, it will once again feature global thought leaders, national public sectors leaders and scores of companies leading the move to more sustainable high-performance.

Participants will learn from SR Inc’s original, authoritative, Executive Guidance & Tools developed through more than seven years assisting companies leading the global move to more sustainable operations. Moreover, participants will learn directly from leaders such as:

  • Anthem speaking about advancing Sustainably Healthy Workplaces
  • Bloomberg speaking about how to score and report millions in sustainable savings while growing rapidly
  • Cisco about the Internet of Things enabling sustainable operations and
  • Salesforce about how companies in 100% leased space can help accelerate the Renewable Energy Revolution

    Patrick Flynn, Director of Sustainability, Salesforce Speaker on "biggest machine ever" and work with SR Inc's Strategic Advisory Team

    Patrick Flynn, Director of Sustainability, Salesforce
    Speaker on “biggest machine ever” and work with SR Inc’s Strategic Advisory Team

Click here to view the recently expanded speaker’s list.  Participants be joined again by top relevant executives at the U.S. EPA and U.S. Dept. of Energy Office of Energy Efficiency & Renewable Energy. 

Three Mutually Reinforcing Revolutions:

The Summit’s specific focus is on what those setting the agenda for corporate real estate and operations need to know to move to more sustainable high-performance in 2017. Three mutually reinforcing revolutions will be examined that, together, are transforming what is profitable in corporate operations.

1st revolution is one of focus; a new generation of fast growing, global, corporations is waging a war for discerning knowledge worker talent – and these workers demand operating strategies focused on human health & productivity.

2nd revolution is the explosion of data and mutually adaptive technologies known as the Internet of Things (“IoT”) which enables most all items to be measured and therefore begs the question: what should be managed?

3rd revolution is renewable energy that is actually a set of globally scaled technologies that are iterating and undergoing step changes in efficiency as they drive exponential adoption curves across the world and encourage enterprises of all types to consider the possibility of Net Zero Greenhouse Gas (“GHG”) emissions.

From Containing Costs to Creating Value:

Jean Lupinacci, Chief, ENERGY STAR Commercial and Industrial Branch, EPA

Jean Lupinacci, Chief, ENERGY STAR Commercial and Industrial Branch, EPA

These three revolutions (i.e. Healthier Workplaces, the IoT and Renewable Energy) make it possible to imagine a move to corporate real estate and operations that are, by 2030, not polluting and health degrading by design but are, instead, designed to help profitably regenerate our global ecology and personal health.

For more than seven years SR Inc’s SBER service has examined these three accelerating revolutions and what practical corporate real estate and sustainability executives have been doing to profit from them. Alongside leading experts and many of these corporate leaders, participants will be provided actionable SR Inc Executive Guidance & Tools and examine what they need to know about relevant technical, market based and regulatory change. All to help them profit from these three related revolutions as they help move real estate and operations from a perceived cost center to a sustainable value creator.

Request an Invitation: 

Interested operating and sustainability executives should request an invitation to SR Inc’s Summit in D.C.  Participants gather as revolutions towards Healthier Workplaces, The IOT and Renewable Energy are beginning to transform corporate operations. Items that seemed impossible only a 24 months ago – such as 100% renewable energy and workplaces that help make you healthier – are beginning to emerge as best practices. Best practices that SR Inc can guide you in through its provided, authoritative and actionable Executive Guidance and Tools available nowhere else.

Interested executives should contact SR Inc Sustainable Business & Enterprise Roundtable, Program Manager, Brittany Doherty at: brittanydoherty@sustainround.com, 617-682-3630

rvo