Commercial Energy Benchmarking Program

Building Energy Benchmarking Program

The City is developing a Building Energy Benchmarking Program to help building owners better understand how their buildings use energy and identify opportunities to improve efficiency, reduce operating costs, and reduce greenhouse gas emissions.

Energy benchmarking is a way to measure and track a building’s energy use over time. It also allows owners to compare a building’s performance with similar properties and identify opportunities to reduce energy waste and improve building performance.

Who Would Be Required to Benchmark?

Under the proposed program, existing commercial, multifamily, and other buildings between 10,000 and 49,999 square feet would generally be required to benchmark and report their energy use to the City.

Certain properties would be excluded, including:

• Single-family homes, duplexes, and triplexes.

• Certain residential properties with individually owned dwelling units and separate HVAC and water-heating systems.

• Buildings that are being demolished.

• Buildings owned by the state or federal government.

The City will provide additional information to help property owners determine whether their building is covered by the program.

What Would Building Owners Need to Do?

Owners of covered buildings would be responsible for benchmarking the entire building's energy use, including energy associated with separately metered tenant spaces.

Building owners would:

1. Create or maintain a building profile in ENERGY STAR Portfolio Manager, a free online energy benchmarking tool.

2. Collect whole-building energy data for electricity, natural gas, and other applicable energy sources.

3. Enter or obtain energy data for all utility accounts associated with the property, including separately metered tenant spaces.

4. Submit the required benchmarking information to the City each year.

5. Maintain energy consumption records for the required record-retention period.

The information reported may include the building's Energy Use Intensity (EUI), ENERGY STAR score when available, greenhouse gas emissions, and other basic information necessary to evaluate building energy performance.

What Is ENERGY STAR Portfolio Manager?

ENERGY STAR Portfolio Manager is an online benchmarking tool used to measure and track building energy use and greenhouse gas emissions. It can also compare the performance of eligible buildings with similar properties while accounting for factors such as weather, building size, location, and operating characteristics.

Benchmarking does not, by itself, require a building owner to make energy-efficiency improvements or replace equipment. The proposed program focuses on measuring, understanding, and reporting building energy performance.

What If My Building is Required to Report to the State?

The proposed program is designed to minimize duplicate reporting. If a building is subject to both City and State of Colorado benchmarking requirements, the owner would follow the State's reporting schedule and add the City as an additional reporting entity when submitting information through the benchmarking tool.

What About Tenant Utility Accounts?

Benchmarking is intended to represent the energy performance of the whole building, not just common areas or utility accounts controlled directly by the owner.

For separately metered tenant spaces, owners would obtain whole-building energy information from the utility when that service is available. If the utility cannot provide the information, owners would be expected to make reasonable efforts to obtain the necessary information from tenants.

Are Waivers or Extensions Available?

The proposed program provides a process for requesting certain waivers or extensions. Examples include buildings that were substantially unoccupied because of renovation, buildings without a certificate of occupancy during the reporting year, and certain qualifying financial hardships. Requests would need to be submitted in advance and supported by appropriate documentation.

Why Is the City Considering Benchmarking?

Buildings can vary significantly in how efficiently they use energy. Benchmarking gives owners reliable information about their building's performance and can help identify opportunities to:

• Reduce wasted energy and operating expenses.

• Identify buildings that may benefit most from efficiency improvements.

• Track the results of improvements over time.

• Better understand and plan for future building investments.

• Reduce greenhouse gas emissions and support community energy and climate goals.

The proposed program is intended to make building energy performance more visible and understandable while giving building owners information they can use to make their own operational and investment decisions.

When Would the Requirements Begin?

The City's program schedule and first reporting deadline have not yet been finalized. The model ordinance recommends providing building owners sufficient time between adoption and the first reporting requirement so that owners can receive notice, learn how to use the benchmarking system, and access available assistance.

The City will provide additional information about covered buildings, reporting deadlines, ENERGY STAR Portfolio Manager, utility data access, training opportunities, and technical assistance before reporting begins.

What Building Owners Can Do Now

Building owners do not need to wait for the program to begin to start benchmarking. Owners can become familiar with ENERGY STAR Portfolio Manager, identify the utility meters and accounts serving their property, and begin reviewing their building's historical energy use.

More information, training, and assistance will be provided as the City develops the program.