A lot has been said about the importance of ESG and how critical it is in real estate’s journey to net zero, however a shiny new development that ticks all the boxes is not always viable especially in a cost-constrained market. With this in mind, can you still reach your sustainability goals without undertaking a major capital project? 

The short answer is yes. Easy wins can be applied to existing buildings that can make a significant difference while decision making is put on hold in the short term. 

While new or heavily refurbished buildings tend to be seen as the most ‘ESG friendly’ due to their sustainability accreditations, there will be a shift in mindset as the market comes to better understand whole life carbon implications. This will mean smaller interventions with less of an embodied carbon impact will be seen as favourable.

So, when looking at cost effective interventions what potential changes should you consider? 

Metering – this is a low cost improvement that can be retrofitted in to existing buildings to gather invaluable data on in-use building performance. This can link into a Building Management System (BMS) to allow for better visibility and reporting of energy consumption for both landlords and tenants. Quite simply, if you cannot measure it, you cannot reduce it. 

BMS systems - upgrading your building’s BMS system can help to monitor occupancy, air quality and even predict the weather to allow for optimisation of the engineering system operation. Regular ‘Energy Optimisation Audits’ can be used to identify trends and areas for improvement to continually drive down energy consumption. 

Lighting – LED lighting replacements are possible at differing price points, depending on scale and specification. The payback duration on these upgrades can be worthwhile due to the current high cost of energy. Looking at existing controls, there are low cost solutions such as PIR sensors, that work by detecting presence, daylight linking and dimming, which all help to keep costs down.

Mechanical efficiencies – undertaking maintenance and remedial actions on an ongoing basis means that energy savings of up to 20 per cent can be achieved by simply making sure things work as they should. Even for more carbon efficient technologies such as heat pumps, studies have found that major losses can occur if they are poorly commissioned and maintained. This can result in them operating no better than a gas boiler alternative. 

Gas – using gas is increasingly penalised in EPC modelling, but this isn’t necessarily a quick or easy fix. Instead, all smaller upgrade works should consider an overall ‘de-gassing’ strategy so that when more significant changes are due the building is ready to be moved to an all-electric system.

Renewable energy – again, this may not be the cheapest or easiest to implement. However, the most economical choice would be the installation of photovoltaic (PV) panels. As with LED lighting, this can help alleviate the high cost of current energy prices when executed well. 

Fabric – there can be easy wins around thermal bridging, especially in uninsulated areas, but even these works can be disruptive and costly. Factoring thermal upgrades into any Planned Maintenance Programme (PMP) should help to realise thermal improvements that drive down energy consumption. 

With many value engineering their projects to keep prices down, there’s no reason why ESG should face the chopping block. In the short-term there are relatively cost-effective solutions that can make all the difference on the road to net zero.

Further information

Contact Chris Skinner or Ben Flanagan

Building & Project Consultancy