Building Optimization and Commissioning Services: A · PDF fileBuilding Optimization and...

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Building Optimization and Commissioning Services: A Market Analysis and ForecastNational Conference on Building Commissioning

May 8, 2013

Bob GohnSenior Research Director©2013 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc.

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2 ©2013 Navigant Consulting, Inc. All rights reserved.

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» Report published 4Q 2012» Global perspective» Four commissioning areas

› Initial commissioning › Recommissioning› Retrocommissioning› Continuous Commissioning

» Market, technology, forecast

Building Optimizationand Commissioning Services


Definition: Total Building Commissioning

7

“[The] systematic process of assuring by verification and documentation, from the design phase to a minimum of 1 year after construction, that all

facility systems perform interactively in accordance with the design documentation and intent, and in accordance with the owner’s operational

needs, including preparation of operation personnel.”

(Source: Navigant Research)


(Source: National Conference on Building Commissioning)

©2013 Navigant Consulting, Inc. All rights reserved.

» Recommissioning› Commissioning a building previously commissioned› Ideally repeated every 5 to 10 years (but often repeated never)› Target initial design specifications modified by operating experience

» Retrocommissioning› Measure and optimize system operation in a building never previously Cx› Target efficiency improvements after operational assessment / audit

» Continuous Commissioning› Managed service leveraging software and systems to provide real-time fault

detection, diagnostics, and optimization services› Often included with broader building energy management systems (BEMSs) and

associated services

Re-, Retro-, and Continuous Cx Services


Cx and Optimization Service Provider Ecosystem

9

Engineering Services

Companies

Building Equipment

OEMsConstruction Companies

Real Estate Management Companies



IT Developers and System Integrators

(BEMS)

Local Independent Cx Professionals / Firms

Market Drivers: Green / EE Building Certification

10

» LEED System› Prerequisites and voluntary points› New M&V requirements

» Regulations based on LEED› Federal, state, and local regulations› Public sector projects

-

100

200

300

400

500

600

700

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

(SF

Mill

ions

)

LEED NC

LEED EB

LEED CI

LEED CS

LEED for Schools

LEED Retail

Other (ND, H)

(Source: Green Building Certification Institute)

Annual LEED Certified Space by Category, World Markets: 2000-2011


Other Cx Market Drivers

11

ASHRAE Code Stringency» Increasing Cx awareness› Especially retro-Cx for EE

» Stricter energy codes› ASHRAE, IECC, IgCC

» Increasing green construction cost / value concerns

» Perception of rising energy costs

» Sustainability initiatives » BEMS adoption and real-time

building monitoring» Utility DSM and EE programs



» Lack of full industry familiarity or belief in Cx benefits› First cost versus lifecycle cost / benefit tradeoffs

» Lack of qualified service providers (globally)› Localized shortages of experienced engineers› Required knowledge of local regulations and practices

» Misaligned incentives› Builder / owner / operator / occupier motivations in new construction› Split incentives inherent in net-leases

» Inconsistent regulatory environment› Very local regulations – focused more on construction than operations

Market Inhibitors


Global Demand Dynamics

13

Active and maturing Cx demand

Incentives likely to drive Cx demand(Source: Navigant Research)


» North America is and will remain the largest market (~48% of total), but Asia Pacific is the fastest growing region (nearly 12% CAGR 2012-2020)

Commissioning Services Global Forecast

14

$-

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

$4,000

$4,500

$5,000

2012 2013 2014 2015 2016 2017 2018 2019 2020

($ M

illio

ns)

North America

Europe

Asia Pacific

Latin America

Middle East/Africa

Commissioning Services Revenue by Region, World Markets: 2012-2020



Optimization and Cx Services Evolution

15

Planning ImplementationInvestigation(Re-/Retro-Cx)

Design(Cx)

Hand-off OngoingProcesses

Heating Cooling Hot Water Controls Lighting Water ElectricalSystems

LocalGeneration Envelope

IndividualCustomProjects

StandardizedProcesses

New Enabling Technologies

• Building information modeling• BEMS, cloud-based analytics

Managed Services



Building Information Modeling Integration

16

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BIM Project Team Interaction

» Integrated representation of building systems design and operational goals

» Clear collection of design intent and associated parameters

» Increasing opportunity for operational simulations, including energy performance

» Opportunity to simplify Cx processes, especially in planning and design phases

» Cx spending mix shift to higher level content?


» IT-based monitoring and control systems that provide information on the performance of all or some of a building’s infrastructure (envelope, HVAC, lighting, plug load, water use, occupancy, and other critical resources)

Building Energy Management Definition

17


BEMS Application Evolution



Diversity of BEMS Approaches

18



BEMS Technology Landscape


» BEMSs implemented at the enterprise level and/or within the cloud promise continuous Cx

» Frequent and automated monitoring of a system’s performance may displace parts of the traditional recommissioning process

BEMSs and Continuous Commissioning

19




» Potential to transform the recommissioning process› From periodic audits to micro-improvements and adjustments› Goals include automatic fault detection and diagnostics, as well as real-time

reporting / advising» Continuous Cx as a built-in feature of BEMSs and services

› Not a separate service but a function of broader services› Vendors already merging such services with BEMS offerings

» BEMS software and services market growing but remains fluid and segmented› Solution breadth versus depth varies widely

» Tool enabling deep energy optimization and consulting services

Implications of BEMSs on Cx Services


» Led by new construction Cx, but RCx to grow slightly faster» Continuous Cx to grow fastest at a more than 31% CAGR between 2012 and

2020

North American Cx Services Market

21


Commissioning Services Revenue by Service Type, North America: 2012-2020



» Education represents largest segment (approximately 1/3 of total market)» Retail second largest segment with similar growth rates

North American Cx Services Market

22


Commissioning Services Revenue by Building Type, North America: 2012-2020



» Optimization and Cx services market is robust – global and North American CAGR exceeding 8.5% (2012-2020)› Driven by increasing EE certification adoption and expanding local efficiency

codes› Traditional inhibitors of awareness and incentive misalignment remain challenges

» Emerging smart buildings technologies offer transformative opportunities› Building information modeling› Building energy management systems

» Need for skilled Cx providers to remain strong

Summary


24

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