1. Presentation to the Portfolio Committee on Public Works 11 August 2015 GREEN BUILDING PROGRAMME PROPERTY MANAGEMENT TRADING ENTITY

2. 2 Purpose of the Presentation Introduction Background and History Green Building Framework Previous Projects and Achievements Current Projects and Achievements Draft Green Building Policy Strategic Plan and APP National and Provincial Government Cooperation Plans Going Forward Conclusion Presentation Outline Green Building Framework DPW Portfolio Committee

3. 3 To apprise the DPW Portfolio Committee on: o Green Building Programme o Framework and o Draft Policy To Report on Past and Present Achievements National and Provincial Cooperation and To Indicate Current Plans Purpose of the Presentation Green Building Framework DPW Portfolio Committee

4. 4 Introduction Kyoto Protocol to the United Framework Convention 1997 Obligates developed countries to reduce greenhouse gas(GHG) Emissions Developed countries seen as primarily responsible for the current high levels of GHG emissions The Protocol is designed to also assist developing countries in adapting to the negative effects of climate change South Africa DEA - Published the National Climate Change Response White Paper – commits to reduce its GHG emissions to 34% in 2020 and 42% in 2025 DOE – National Energy Efficiency Strategy by the Department of Energy DPW – Green Building Framework by the Department of Public Works DPW Green Building Policy Addressing Built Environment sector direct influence on: greenhouse gas emissions, energy consumption, water consumption and waste generation. 4 Green Building Framework DPW Portfolio Committee “ The Department of Public Works has been instructed to ensure that all Government buildings are energy efficient” – President of the Republic of South Africa, Hon J.G Zuma, SONA 2015

5. 5 Background and History The Hon. Minister of Public Works launched the Department’s Green Building Framework in December 2011 during COP17; South Africa is a central authority on green building particularly on its property portfolio; South Africa is a co-signatory to international agreements which embrace sustainable human settlements; The framework was a product of two research papers commissioned by DPW and developed by the CSIR: -International Review on Sustainable Building, and -National Imperatives to be addressed through Sustainable Building. Green Building Framework DPW Portfolio Committee

6. 6 Background and History The framework shall be implemented through a Built Environment Green Economy Programme (BEGEP) encompassing: o Sustainable Building o Rating Tool o Energy Efficiency and Water Efficiency o Sustainable Waste o Social-cohesion Interventions o Building Retrofitting, and o Eco-labeling of Building Processes and Materials. Green Building Framework DPW Portfolio Committee

7. GREEN BUILDING FRAMEWORK PROPERTY MANAGEMENT TRADING ENTITY

8. 8 Objectives of the Framework To proactively inform and support development of green building plans and programmes; To identify opportunities and threats to green building; To identify key strategic areas to meet national requirements; To integrate and consolidate principles of green building across areas regions and sectors; To focus on enhancement of human settlements and social cohesion and To integrate the concept of green building into immovable asset formation in South Africa. Green Building Framework DPW Portfolio Committee

9. 9 How the Framework will be Used To be used by all organs of state; Progressive refinement of policies, programmes and action plans; Development of National Green Building Indicators; Set National Green Building Standards and Guidelines; Introduce Green Building skills development and training programmes and Enhance research and development of capacity on Green Building. Green Building Framework DPW Portfolio Committee

10. PREVIOUS GREEN BUILDING PROJECTS AND ACHIEVEMENTS PROPERTY MANAGEMENT TRADING ENTITY

11. 11 Achievements on Previous Shared Energy Contracts Green Building Framework DPW Portfolio Committee From 1997 NDPW implemented shared energy contracts in 4 Regions with shared ratio Pretoria 50:50, Cape Town 60:40 Johannesburg, Bloemfontein 60:40. Region ActivityKwh SavedRand Value Saved Pretoria 2003 to 2010 The energy audit and retrofit on approximately 104 sites. 1,147,608kw/hR311,973,659 Pretoria 2010 to 2020The contract was extended101,770,824kw/hR36,203,787.00 Johannesburg 2000 to 2010 24 sites comprising of 600 buildings with the subsequent energy savings 108,641,210.00kw/hR 46,629,107.00 Bloemfontein 2003 to 2010 Energy audits on 15 sites comprising of 375 buildings 55,973,806 kw/h R 26,372,777.28 Cape Town 1997 to 2009Energy audits on 39 sites269,502,386 KwhR 45,582,418.00 Cape Town 2011 to dateA new contract was awarded in 20111,997,673kw/hR7,116,241.51.

12. 12  2008/9 allocation R20m Retrofitting measures implemented in Pretoria Regional Office – covered 22 sites comprising of 1,981 buildings;  Project was completed in March 2009 on budget with an annual saving of R4.9m;  The project was on lighting retrofits of 53,026 luminaries (T5) in 1,981 buildings in Pretoria Area which saved 3,177.66KW;  2009/10 allocation of R35m for retrofitting 17 sites comprising of 1206 buildings including Union Building with total power saving of 3,473.30kw/h, annual saving of R8,202,161.64 and  2010/11 and 2011/12 allocation of R75m and R70m respectively and transferred to IDT, for energy efficiency projects. National Treasury Allocations Green Building Framework DPW Portfolio Committee

13. 13 Programme Background: DPW appointed the Independent Development Trust (IDT) to implement the Energy Efficiency Programme (EEP); The programme was aimed at reducing the electricity consumption at selected DPW facilities through a targeted energy efficiency intervention; DPW identified 120 facilities as follows: Eastern Cape (60), Mpumalanga (30) and Northern Cape (30)] The programme was undertaken over two financial years i.e. FY 2010/2011 and FY 2011/2012. Scope of Works: o The energy efficiency intervention focused primarily on lighting and remote metering at various state- owned facilities. Projects Implemented through IDT Green Building Framework DPW Portfolio Committee

14. 14 Annual Energy Savings per province Assumptions: 1. The hours of operation of each facility are different, for this programme the operational hours was kept at 12 hours per day, and 365 days was used to determine the Annual energy savings. 2. The rate/ tariff of 40c per kWh was used to calculate Annual Energy savings’ cost Achievements in EC, MP & NC under EEP Green Building Framework DPW Portfolio Committee

15. 15 Conclusion on Implemented Projects Some of the challenges encountered include the following: - Dedicated professional services unit with qualified electrical engineers aligned to size of portfolio; - Intensifying Monitoring and Evaluation - Partnership with DOE need to be instutionalised – MOU; - Engagement with Eskom Demand Management rebate programme whereby ESKOM funds 70% of the retrofit for commercial (public) buildings and DPW to pay in 30% for the total retrofit which will derive more benefit for state properties; - The energy efficiency initiatives were implemented successfully due to the remarkable commitment of all stakeholders; - The IDT has completed all programmes over the two financial years i.e. FY 2010/2011 and FY 2011/2012 and currently is not working on any further initiatives in this regard as National Treasury Funding ended in 2011/12 Financial Year. Green Building Framework DPW Portfolio Committee

16. CURRENT GREEN BUILDING PROJECTS AND ACHIEVEMENTS PROPERTY MANAGEMENT TRADING ENTITY

17. 17 Shared Energy Savings Contracts at DPW Shared Energy Savings Contracts is an international model of Energy Performance Contracting where a private investor installs, at own risk, technology to achieve energy savings in client buildings. Return on investment is realised through sharing in achieved energy savings; DPW has current Shared Energy Savings Contracts established in 2008 and 2010 in 5 Regions namely Durban, Mmabatho, Polokwane, Pretoria, and Cape Town; A number of technology retrofits have been effected through the contracts, with energy consumption savings achieved; As part of scaling-up energy efficiency new Shared Energy Savings Contracts have been implemented in six Regions which did not have contracts in place. These are Johannesburg, Mthatha, Nelspruit, Bloemfontein, Kimberly, and Port Elizabeth; In improving from old contracts, the new contractors will have a Service Level Agreement (SLA) signed with DPW. An SLA will also be entered into with old contractors; The SLA will ensure that independent Monitoring and Verification (M&V) of reported savings and project implementation; There is a need of improving technology mobilisation in order to specify the types of technology needed; Green Building Framework DPW Portfolio Committee

18. 18 Interventions at Parliament Buildings 90 Plain Street started on 11 March 2014 final handover 11 March 2015; Parliament Marks Building 2 Feb 2015 Handover on 19 June 2015; Parliament 120 Plein street parking 4 March 2015 Handover on 14 July 2015 Tuinhuis 13 March 2015 Handover 13 July 2015 Green Building Framework DPW Portfolio Committee

19. 19  The Department of Public Works will be undertaking an independent Monitoring and Verification of new shared energy savings contracts as part of the Service Level Agreement.  Initial sample of Monitoring and Verification have been undertaken in the following building: Pretoria ; Durban and Cape Town, the result indicated that : a) Savings have been achieved in the sample buildings and b) There is a risk of lack of on-going independent monitoring and verification of invoicing from Municipalities and reported energy savings.  DPW will be undertaking a full independent M and V exercise on all old energy savings contracts;  M and V is expected to provide skills development and Job opportunities to young people and unemployed graduates as this process will be part of the National – Provincial Implementation plan Independent Monitoring and Verification (M &V) of Energy Savings Contracts Green Building Framework DPW Portfolio Committee

20. 20 Achievements from April 2011 to March 2014 Green Building Framework DPW Portfolio Committee Audited/ Actual Performance/ Achievements 2011/122012/132013/14 122,768,298.4 kilowatt-hour ( kwh) reduction in usage achieved on energy consumption 172,529,811.4 kilowatt-hour ( kwh) reduction in usage achieved on energy consumption 188,833,980.4 kilowatt-hour ( kwh) reduction in usage achieved on energy consumption 2,113,164 kilolitre- (kl) reduction in usage achieved on water consumption 517,463 kilolitre- (kl) reduction in usage achieved on water consumption 1,328,627 kilolitre- (kl) reduction in usage achieved on water consumption

21. 21 Achieved Interventions to Date Green Building Framework DPW Portfolio Committee Finalisation of an international best practice tool – Energy Performance Certificates (EPC); Shared Water Savings contract in the biggest Region, Pretoria, realising R300 Million water savings over the past 10 years; The DoE/DPW Target Monitoring System being developed – has contributed to initial installation of 100 Smart Meters in buildings belonging to DPW and Provinces. Installation of 200 is underway; National Energy Efficiency Strategy will provide for uniform targeted setting and reporting on Energy Efficiency and Initial training of DPW and Provincial officials (Introduction to Energy Efficiency) through V-NAMA initiative, targeting Energy Efficiency in National, Provincial, and Local Government buildings.

22. DRAFT GREEN BUILDING POLICY PROPERTY MANAGEMENT TRADING ENTITY

23. 23 Policy Content Introduction Background and Context; Policy Application; Benefits and Outcomes; Policy Objectives; Policy Principles and Policy Review. Green Building Framework DPW Portfolio Committee

24. 24 Policy Background and Context Sustainable Development integration of social, economic and environmental factors to ensure that development serves present and future generations.” Water, Energy and Food nexus; Green Economy results in “improved human well-being and social equity, significantly reducing environmental risks and ecological scarcities” Green Building building structure and construction that is environmentally responsible and resource friendly ; Green Precincts - focus on strategic location linkages and land-use –reducing car travel and more efficient energy and water use and Sustainable Buildings associated with sustainable building and construction. Green Building Framework DPW Portfolio Committee

25. 25 Policy Objectives Guidelines on the implementation; Steps to transition to a low carbon economy; Implementation of energy efficiency programmes; Provide parameters for the planning and design of green building programmes; Transitioning to a climate resistant and low carbon economy; Contribute to the global effort to stabilise against greenhouse emission and Dematerialising the economy and promotion of air quality. Green Building Framework DPW Portfolio Committee

26. 26 Policy Principles DPW to provide leadership; Development to be on Brownfield rather than Greenfield; Phasing out of inefficient lighting – T12 Fluorescent; Display of Energy, Water and Waste Performance Certificates on Government Buildings and Green Building Rating Tool. Green Building Framework DPW Portfolio Committee

27. 27 Retrofitting of buildings; Energy, Water and Waste Management Plans; Eco-Labelling of building materials; Green Procurement and National Building Regulations. Green Building Framework DPW Portfolio Committee Policy Guidelines

28. 28 Reduction of costs; Retrofitting of existing infrastructure; Improvement of climate change adaptation and mitigation strategies; Proactive development of plans and programmes; Integration of the principles of green building across the entire property portfolio under the custodianship of DPW; Focus on maintenance and enhancement of a chosen level of environmental and social quality and Promotion of black economic empowerment and job creation. Green Building Framework DPW Portfolio Committee Expected Benefits and Outcomes of the Policy

29. 29 Monitoring and evaluation of this Policy will be undertaken by a Joint Committee established through DPW and will draw on formal and structured inputs from: DPW Facilities Management, Asset Management, Professional Services and Regional Offices; Department of Energy; Department of Environmental Affairs; Department of Water and Sanitation; Agreement South Africa; Construction Industry Development Board; CSIR and The South African Bureau of Standards. Green Building Framework DPW Portfolio Committee Policy Review

30. 30 Policy presented to MINMEC; Consultation with Client Departments and Provincial DPW Departments; Incorporation of inputs and Project Plan toward approval. Green Building Framework DPW Portfolio Committee Policy Drafting Status

31. GREEN BUILDING PROGRAMME Strategic Plan and APP PROPERTY MANAGEMENT TRADING ENTITY

32. 32 Strategic ObjectiveStrategic Plan (5 year target) 6.1.A SCHEDULED MAINTENANCE & SHERQ MANAGEMENT To ensure the scheduled maintenance of freehold property 15000 identified buildings with Facilities Management contracts in place 11 Building Management Systems installed To ensure energy and water efficiency in freehold property 1,628,500,000 kilowatt-hour (Kwh) reduction in usage achieved on energy consumption 23,843,634 kilolitre -(kl) reduction in usage achieved on water consumption PROGRAMME 6: PMTE FACILITIES MANAGEMENT SERVICES Strategic Objectives and Strategic Plan Targets Green Building Framework DPW Portfolio Committee

33. 33 Programme 6: Strategic Objective Annual Targets for 2015/16 – 2017/18 Table 26: Programme 6 Strategic Objective Annual Targets for 2015/16 -2017/18 Green Building Framework DPW Portfolio Committee Strategic Objective Strategic Plan( 5 Year target) Audited/ Actual Performance/ AchievementsEstimated Performance 2014/15 Medium Term Targets 2011/122012/132013/142015/162016/172017/18 1. To ensure energy and water efficiency in freehold property 1, 628,500,000 kilowatt- hour ( kwh) reduction in usage achieved on energy consumption 122,768,298.4172,529,811.4188,833,980.4190,000,000220,000,000250,000,000350,000,000 23,843,634 kilolitre- (kl) reduction in usage achieved on water consumption 2,113,164517,4631,328,6273,550,4803,905,5284,296,0804,725,688

34. 34 PROGRAMME 6: PMTE FACILITIES MANAGEMENT SERVICES Performance indicators and annual targets for 2015/16 -2017/18 Green Building Framework DPW Portfolio Committee Performance IndicatorMedium-Term Targets 2015/162016/172017/18 6.1.A & BSCHEDULED MAINTENANCE & SHERQ MANAGEMENT / UNSCHEDULED MAINTENANCE 1. Reduction in kilowatt-hour (Kwh) usage achieved on energy consumption 220,000,000250,000,000350,000,000 2.Reduction in kilolitre -(kl) usage achieved on water consumption 3,905,5284,296,0804,725,688

35. National and Provincial Cooperation PROPERTY MANAGEMENT TRADING ENTITY

36. 36 BACKGROUND ON CO-OPERATION WITH STAKEHOLDERS Green Building Framework DPW Portfolio Committee A cooperation agreement on technical support on Energy Efficiency between DPW and DoE was entered into in 2008/9; An amendment to include the Department of Environmental Affairs an establish a tripartite MOU is currently going signing by the three Departments – to provide for support in all Green Building subsets; MOU to support implementation of Green Building Framework launched in 2011, and finalisation of National/Provincial Green Building Policy with Implementation Framework – to be finalised by August 2015 following a MINMEC directive; A DPW Implementation Plan 2015/16 on Scaling-up Green building has been developed and Implementation of Green Building subsets shall involve Provincial spheres of Government through a Cooperation Framework 2015/16 and beyond which entails a 5 Point Plan – drawing from lessons learnt at DPW level.

37. 37 Prescripts, Standards and Interventions – Through DPW/DoE/DEA Cooperation Green Building Framework DPW Portfolio Committee InterventionsStatusApplication Green Building FrameworkFinalised December 2011DPW Vertically inclined- National Appropriate Mitigation Actions (V- NAMA) Pilot Business Case-in Response to Second Call of UNEP application Finalised July 2014National, Provincial, and Local Government pilot project Energy Performance Certificates (EPC)Finalised February 2015Public Buildings – National and Provincial National Climate Change and Energy Efficiency StrategyFinalised April 2015Public Buildings - National and Provincial Energy Efficiency Policy Mapping – create alignmentFinalised May 2015National 1 st Phase of Target Monitoring System (Energy Efficiency) – tracking effect of National Energy Efficiency Strategy- public buildings Finalised June 2015Public Buildings – National and Provincial EPC Pilot Implementation PlanFinalised July 2015National. To be presented for Provincial consideration Smart Meter Installation on 300 pilot buildings CurrentPublic Buildings – National and Provincial Energy Audits – Baseline Determination for pilot Public Buildings –188 for phase 1, 150 buildings; Energy Audits by Shared Energy Savings Contractors Current Public Buildings – National and Provincial Energy Shared Savings ContractsCommenced January 2015 National - To be presented for Provincial consideration

38. 38 1. Identification of pilot projects on the Green Building various subsets; 2. Development of an Implementation Plan for pilot projects and policy; 3. Setting Institutional arrangements; 4. Formalisation of uniform Reporting processes and setting a dashboard and 5. Assessment of Government prescripts and programmes for uniform implementation. Guidance and oversight of implementation provided at MINMEC level. National/Provincial Cooperation Framework – 5 Point Green Building Plan Green Building Framework DPW Portfolio Committee

39. 39 Plans Going Forward Pilot projects and long-term interventions on various subsets Green Building Framework DPW Portfolio Committee One pilot per Province/Region per subset i.e. Energy, Water, Waste, Management and Indigenous Knowledge Systems (IKS); Proposal to be submitted by 15 August 2015; Projects under the various subsets shall be clearly identified and agreed upon in guiding Provinces/Regions in Identifying pilot projects; Target setting for public buildings for National Energy Efficiency Strategy 2015-2030 and Institutional Capacity Assessment in DPW Regions.

40. 40 …. Plans Going Forward (Continued) - Technology Mobilisation Green Building Framework DPW Portfolio Committee Energy ManagementWater ManagementWaste ManagementIKS Efficient Light Bulbs – as retrofitting mechanism and Procurement Directive; Motion sensors; Smart Metering Use of telematics and Building Information Model for reporting Implement Shared Water Savings Contracts; Geyser timers, energy; Water efficiency technologies Implementation of Treasury directive on recovery of white paper for recycling; Planting sustainable indigenous plants; Setting uniform reporting in Kilowatt/hour and Rand value Saving; Uniform reporting dashboard Independent Monitoring & Verification (M&V) for Shared Energy Contracts Rollout of Energy Performance Certificate (EPC) Standard Sensors for control (taps, toilets, etc), sprinkler irrigation and other water efficiency technologies; Setting uniform reporting in Kilo litre hour and Rand value Saving Independent Monitoring & Verification (M&V) for Shared Water Contracts; Development of Standard for Water Performance Certificate (WPC) Earth friendly cleaning materials and furniture from sustainable sources; Rainwater harvesting, Awareness campaigns, Institutional Capacity Assessment Awareness campaigns, Institutional Capacity Assessment Awareness campaigns, Institutional Capacity Assessment Awareness campaigns,

41. 41 ….Plans Going Forward (Continued) - Technology Mobilisation Green Building Framework DPW Portfolio Committee Energy ManagementWater ManagementWaste Management IKS Waste-to-Energy (i.e. Correctional Facilities) Solar rooftops Water demand management Water leak detection, Waste separation for recycling; Colour-coded bins in Government buildings to separate waste Rooftop/ vertical gardens DPW target of 220,000,000 Kwh savings, and 2015/16 financial year 1,628,500,000 kilowatt- hour (Kwh) reduction in usage over next 5 years DPW target of 3,900,000 kiloliter saving on water for the 2015/16 financial year 23,843,634 kilolitre -(kl) reduction in usage over next 5 years Target: 3 sites per Region for 2015/16 Target: 1 Building per Region for 2015/16

42. 42 CONCLUSION Green Building Framework DPW Portfolio Committee Approval Process for the Draft Green Building Policy; Finalisation of a Sector Plan; Undertaking Projects with DoE and DEA; International Cooperation and Delivery on APP Commitments.

43. THANK YOU