HOW TO POWER BUILDINGS FOR NET-ZERO FUTURE

MOVE FROM STRATEGY TO ACTION STEP 03

With a baseline and audit complete, and a budget in hand, the next step is to move toward implementation. First, start by reviewing your capital works process and timelines for your building, particularly the remaining life on any fossil-fuel powered equipment that will be replaced. A gas boiler with a few years of useful life may not need to be replaced immediately, unless you are under time pressure to accelerate your progress. By planning a year or so ahead, you can phase capital expenditure over time, avoid big spikes in costs, and minimize disruption to tenants or other building projects. Think as well about the physical elements of executing these projects – how will the old equipment be removed from site and will the new equipment go into the same location? Do you need to plan for road shutdowns, or notification

of tenants? Often it makes sense to replace boilers during the summer when there is less need for heating. Replacing gas equipment that is used for cooking or other ongoing needs may need to be planned differently. Depending on the scale of these changes, it may require investigation of not just fossil fuel using equipment like gas boilers, but wider considerations of electrical infrastructure or electricity supply arrangements. Does the current electrical switchboard have capacity for the new equipment? Does your electricity contract include peak demand charges, and how will these be impacted by the changes you are making? The benefit of starting early is you have time to work through these issues and come up with a simple and practical solution.

EASE OF IMPLEMENTATION Which assets are high-performing and could benefit quickly from low-cost interventions?

RETURN ON INVESTMENT

GRID AND UTILITY INTERFACE

Which properties offer the best payback through energy savings, valuation uplift or avoided regulatory penalties?

Are there constraints in grid capacity or upgrade timelines that may delay implementation in certain regions?

TENANT AND LEASE CONSIDERATIONS Which buildings have cooperative tenants or lease structures that enable upgrades with minimal disruption?

LIFECYCLE ALIGNMENT

RESILIENCE Which properties would benefit from increased operational continuity or on-site energy flexibility through electrification?

Are there buildings where major plant or HVAC systems are already nearing end-of-life, creating a natural entry point?

The limits to electrification: Some fuel uses are harder to address. For example, diesel-powered fire and life safety systems are required under certain building codes—this is not the ideal starting point for your electrification journey and may need to be revisited down the track.

Overcome inertia: Don’t assume that a like-for-like replacement is the best route - with plant lasting 20 years, review your options now to prepare for the future.

RETURN