The Leader - January/February 2008 - (Page 49) m e e t i NG th e ca r B oN ch a lleN Ge: the ro le o F co mme rci al re al e s tate o W Ne rs , Us e rs & maNaG e rs ing practices and the sometimes limited availability of climate-friendly technologies as obstacles to bringing greenhouse gas emission-reducing technologies into general use. Despite these challenges, numerous builders, corporations and both public and private building owners are driving the implementation of carbon-reducing building practices in new commercial development, and are investigating ways to make improvements in older properties. The industry has witnessed admirable steps taken to optimize energy efficiency in buildings and there are numerous models for others to emulate. Many of the voluntary and mandatory building code measures are focused on the U.S. Green Building Council’s Leadership in Energy and Environmental Design designation. LEED is currently the most widely recognized standard for building climatefriendly structures. Nevertheless, as we approach the end of the first decade of the 21st century, a continued search for more proactive measures will be essential. Considering the attention the global warming issue has received among public welfare organizations, policymakers and the media, it is now reasonable to expect that building owners and managers should, and may even be required to, implement strategies that reduce their organization’s carbon footprint. is ‘carBoN NeUtralitY’ Good eNoUGh? Becoming “carbon neutral” means that an enterprise has neutralized the effect of its greenhouse gas emissions, so that its enterprise-wide activities no longer contribute to global warming. An alternative to carbon neutrality is carbon reduction, which describes the effort of an enterprise to reduce its future carbon emissions to an earlier volume – for example, proposing that 2015 emissions equal emission levels of 1995. The most direct way of reducing carbon emissions is by using less carbon-based energy. Any effort to reduce the consumption of carbon-based electricity, natural gas and refined crude oil products (gasoline, heating fuels) contributes directly to carbon reduction. Carbon offsets are another means of achieving an organization’s carbon reduction goals through more indirect means. For example, planting trees on land which would otherwise have been treeless or supporting the development of a wind turbine which would not have otherwise been installed are considered carbon offsets. There is a global marketplace for carbon offsets and a system of verification which ensures that the offset paid for is really happening and cannot be sold to anyone else. Through regulation, governments around the world are stimulating development of market mechanisms for those that are capable of reducing their greenhouse gas emissions and those that are not. Known as “cap and trade” structures, emissions trading structures are one of the policy instruments available for reducing greenhouse gases. Stimulated by the Clean Air Act in the 1990s, the Chicago Climate Exchange opened in 2003 as the world’s first voluntary greenhouse gas reduction and credit trading platform. This was followed by a wave of regional and state-initiated carbon allowance trading platforms. The emergence of these carbon trading and emission offset markets means that in the future CO2 emissions may be considered both a corporate asset and a corporate liability. actioNs to shriNk YoUr carBoN FootpriNt n n n n n n Reduce fossil fuel consumption or switch to a lower carbon fuel Reduce electricity consumption Purchase “zero carbon” energy such as solar or wind Invest in carbon offsets Reduce business travel Encourage employee use of public transportation or carpools keepiNG aN eYe oN the reGUlatorY laNdscape Because of increased attention by capital markets and numerous initiatives to reduce greenhouse gas emissions at local, state and regional levels, there’s a growing awareness of impending carbon regulation by U.S. business interests. Most often this attention is directed at the sources of direct consumption of While this is a responsible reaction to a global issue, it is also a means by which to uncover new business opportunities and cost savings, positioning the organization for future success. 2 0 0 8 the le ade r 49 J aN Ua rY / F e B rUa r Y
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