2025 Carbon Neutrality Planning Framework

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carbon neutrality initiative2025 Carbon NeutralityPlanning FrameworkA report to inform greenhouse gasemission reduction strategiesDecember 2016 (minor update August 2017)Physical and Environmental PlanningOffice of Sustainability and Energy

DRAFTUC University of CaliforniaCarbon Neutrality InitiativeUC, a national leader in sustainability, has pledged to become carbon neutral by2025, becoming the first major university to accomplish this achievement.Global climate disruption is impacting the planet in ways never experienced in humanhistory. Warmer temperatures are contributing to changing weather patterns that causemore intense storms and heavier rainfall in some places, while elsewhere drought isparching the land. Glaciers are melting at an accelerated rate and oceans are rising.The overwhelming scientific consensus is that climate change is being driven by therelease of carbon dioxide into the atmosphere, primarily from the burning of fossilfuels.The University of California has responded to this growing environmental crisis withdirect action aimed at ending its reliance on fossil fuels. In November 2013, PresidentJanet Napolitano announced the Carbon Neutrality Initiative, which commits UC toemitting net zero greenhouse gases from its buildings and vehicle fleet by 2025,something no other major university system has done.The initiative builds on UC's pioneering work on climate research and furthers itsleadership on sustainable business practices. UC is improving its energy efficiency,developing new sources of renewable energy and enacting a range of related strategiesto cut carbon emissions.(UCOP website, retrieved Dec. 2016)Page 1

Table of ContentsPURPOSE . 3INTRODUCTION . 5Primary carbon reduction strategies . 6What this framework does not include . 6Main challenges in reaching carbon neutrality . 7Opportunities for achieving carbon neutrality . 7BACKGROUND . 9Highlights of Berkeley’s Climate Action Program to Date. 10UC Office of the President’s Energy Strategies. 11GREENHOUSE GAS EMISSIONS & ENERGY SUPPLY PROFILE . 13Berkeley’s emissions profile to date . 13Berkeley’s energy source profile and usage for scopes 1 & 2 . 14Berkeley’s growth and operational changes through 2025 . 16Major change to electricity supply for main campus in 2017. 16Potential impacts to 1990 baseline emissions. 16Projected scope 1and 2, non-mitigated emissions and energy use: 2017-2025 . 17Summary of Berkeley’s energy and emissions profile out to 2025. 19EMISSIONS REDUCTIONS STRATEGIES: 2017-2025 . 20STRATEGY A: Expanding use of low and non-carbon energy supply in facilities . 20STRATEGY B: Energy use reduction through efficiency projects and behavior change . 24STRATEGY C: Curbing growth related emissions through green building practices and improved spaceutilization . 25STRATEGY D: Increasing efficiency and alternative fuel use in the vehicle fleet . 26STRATEGY E: Refrigerants and other sources . 26STRATEGY F: Carbon offset mechanisms . 27SUMMARY TABLE: carbon reduction strategy potential. 29EMISSION REDUCTION OPPORTUNITIES FOR THE FUTURE . 30SUMMARY . 33ACKNOWLEDGEMENTS . 34Page 2

PURPOSEIn the fall of 2013 UC President Napolitano announced thatUC Carbon Policythe UC System will be carbon neutral from building energyThe UC policy on SustainablePractices calls for net-zerogreenhouse gas emissions, carbonneutrality, from scope 1 and 2emissions by 2025 and from scope3 emissions by 2050 or sooner.use and fleet vehicles use by the end of year 2025. Thisgoal encompasses all the greenhouse gas (GHG) emissionsfrom scope 1 direct emissions and scope 2 emissions frompurchased energy. Scope 3 emissions include thoseemissions associated with the commute, business air travel,and other sources that are included in the GHG profile;these emissions have a current neutrality target of 2050.The policy also has an interim goalof 1990 emission levels by 2020for scopes 1, 2 and 3.The UC system is in an extensive planning phase for the carbon neutrality goal. UC Office of thePresident (UCOP) is preparing a carbon neutrality initiative strategic plan and in support of this each ofthe UC campuses are developing campus level carbon plan updates. Together these planning effortsintend to create roadmap to reaching the carbon neutrality goal, one that is reflective of each campusesunique circumstance and identifies joint system-wide efforts and opportunities. At Berkeley, thePhysical and Environmental Planning office (PEP) and the Office of Sustainability and Energy areleading the campus carbon neutrality planning effort and have prepared this document to meet the firstrequested milestone from UCOP. This framework focuses on the carbon sources included in the 2025neutrality goal and provides baseline energy and emissions data, identifies operational challenges andopportunities, and describes primary emissions reduction approaches. Using this framework, PEP andSustainability will work with various stakeholders to develop more detailed strategies for reducingbuilding and fleet emissions. To round out the Berkeley carbon planning effort at a later date, thecampus will expand the planning process to include other carbon emissions sources of importance tothe campus but outside of the 2025 goal, including scope 3 emissions sources and other related topicslike adaptation and resiliency.Reasoning for a phased planning effort at BerkeleyBerkeley is taking a phased approach to the carbon initiative planning for two reasons.First, a major part of Berkeley’s energy operations and electricity sourcing is changing and the fullimpact of this shift is still being determined. In 2017, in addition to steam energy, the campus willbegin to use electricity from the on-site natural gas cogeneration plant instead of procuring the maincampus power from the local utility. This change will also modify how we procure natural gas to runPage 3

the plant, increases energy emissions by about 30%, and alters the campus approach to carbonreduction efforts in the short and longer-term. Second, carbon neutrality planning at Berkeley requirescampus engagement at all levels. In the next year new people will be in key leadership positionsincluding in the Berkeley Chancellor role. It is important that the planning includes these new decisionmakers. In time, the campus will have more information and new stakeholders to help plan andimplement for net-zero emissions.Page 4

INTRODUCTIONThis framework provides an overview of Berkeley’s greenhouse gas emissions (GHG) profileover the next eight years and offers early guidance for Berkeley’s path to carbon neutrality inscopes 1 and 2 per the UC 2025 goal. Expanding on Berkeley’s early success in GHGreductions from campus operations, this framework identifies the opportunities, challenges,and high-level strategy approaches the campus can undertake to both reduce and decarbonize building and fleet energy use. It will inform more detailed, future planning work tosupport the UC systemwide carbon neutrality initiative.For Berkeley to get to net-zero carbon emissions from building and fleet energy use and meet thetarget, campus emissions will need to be reduced by about 150,000 tons. This reduction represents80% of Berkeley’s carbon emissions. The remaining 20% of Berkeley’s emissions outside of the2025 goal are associated with the campus commute, business air travel, waste, and water.Berkeley’s needed emissions reduction to achieve the goalBerkeley’s scope 1 and 2 carbon emissions are primarily associated with the energy used in buildingsincluding electrical power and steam and natural gas used to heat and for lab processes. Emissions fromthe campus fleet and other small sources account for less than 2% of the emissions in these scopes.With expected campus square footage growth in the next decade, these emissions are expected to riseby 2% by year 2025 without mitigation. Berkeley has some programs underway to reduce carbonemissions but these efficiency and renewable energy supply efforts will simply curb this expectedgrowth. Bolder reduction strategies and new funding sources are required if carbon neutrality is to bePage 5

achieved. This framework intends to help build this more robust effort by providing baseline data,identifying enabling factors, and outlining strategies.Primary carbon reduction strategiesThe framework includes a high-level overview of reduction strategies underway in some formon campus or at the system wide level. These strategies reflect what conceivably achievablebetween now and 2025. These include expanding the use of low and non-carbon energy supplyfor power and thermal needs, reducing energy use through building efficiency and behaviorchange, curbing growth-related emissions through improved green building and spaceutilization, increasing the alternative fuel fleet, and how to utilize carbon offset mechanisms. Acombination of these strategies, with a particular focus on energy supply, will be the basis of acarbon reduction program in the near-term. Looking beyond 2025 is also necessary, as carbonneutrality needs to be sustainable in the years following the target date. Expanded considerationof the main campus energy options, emerging technologies, creative financing mechanisms, andmore is part of a longer-term strategy.What this framework does not include: Preferred GHG reduction scenarios or financial analyses. UCOP is developing adashboard tool to help with this kind of scenario analysis, making it practical to wait untilthe systemwide tool is operational. Berkeley will develop a more specific set ofstrategies with financial analysis during the next year. A specific strategy for Cap and Trade compliance. Berkeley opted into Cap and Trade in2015 in order to be eligible for the transition allowances provided to UC campuses. Thiswas a preemptive measure assuming a large portion of the Berkeley’s emissions wouldfall under carbon regulation. While Cap and Trade compliance requires some strategiessimilar to those presented to meet UC carbon neutrality goal, it has requirements betteraddressed outside of this framework. Emissions associated with future growth at the Richmond Field Station. This satelliteproperty has its own planning track and greenhouse gas emissions associated with it willbe accounted for separately as it develops. Planning or analysis of scope 3 emissions. Expanded metrics and discussion on carbonreduction strategies for commute, business air travel, waste and water, related academicsPage 6

and research, procurement, resiliency and adaptation, and lifecycle will be considered infuture planning phases.Main challenges in reaching carbon neutrality include the following. They are shared for contextand to note for later planning efforts. Financial constraints and debt capacity that make it difficult to plan and obligate for energyrelated capital projects and programs. Relatively low cost of electricity, steam, and natural gas make new and less testedrenewable energy options less financially competitive. Berkeley is the oldest UC campus with buildings varying in age from the 1870s to 2016and in type from classroom and office buildings to specialized science laboratories. Thecampus’ deferred maintenance and capital renewal needs are widespread and implementingdeep energy efficiency projects across this portfolio is complex. The campus natural gas cogeneration plant and steam distribution system is old, and systemcomponents are inefficient. To upgrade and/or replace the energy delivery system for themain campus is multifaceted capital initiative. Berkeley is a compact urban campus and is space and land constrained limiting locationsavailable for on-site renewable energy installations.Opportunities for achieving carbon neutrality. While there challenges, there are also complimentaryprospects. These conceptual ideas are introduced for consideration in the future planning efforts. Developing more innovative business partnerships and financing mechanisms that canaccelerate energy and carbon management projects. An example is Berkeley’s powerpurchase agreement arrangement that provided a way for the campus to install onemegawatt of solar panels with no local capital funding expense. As the main campus cogeneration plant and system is aging, there is a time-sensitive needto identify new opportunities for Berkeley to improve the energy delivery system andconsider alternative fuel sources for the main campus. When UC renewable energy programs for electricity and biogas are fully realized, andwith greater access to these supply programs, Berkeley could affordably reduce asignificant amount of the emissions needed to get to carbon neutrality. Due to a relatively small amount of new building space planned in the next decade, and byfinding strategic ways to improve existing space use, Berkeley has options for reducingper capita emissions and net-zero energy growth.Page 7

Berkeley’s compact and urban setting offers ways for the campus to collaborate with thecity and region on issues of mutual concern like vehicle electrification networks andcommunity choice electricity procurement programs.Berkeley has an early track record of achievement in implementing climate action strategies,evidenced by meeting an initial greenhouse gas emissions reduction target two years ahead ofschedule and by reducing campus emissions to levels lower than they were 25 years ago. With thisexperience Berkeley is well positioned to innovate in this next stage of climate action.Page 8

BACKGROUNDThe University of California has adopted policies to aggressively reduce greenhouse gases generated asa result of University operational activities.1. By 2020: Reduce scope 1, 2 and 3 emissions to 1990 levels, per UC Policy and in compliance withCalifornia AB 32, the CaliforniaGlobal Warming Solutions Act.Berkeley met this goal in 2012, twoyears ahead of the campus’ goal andeight years ahead the UC goal.2. Carbon Neutrality 2025: Net-zeroemissions from scope 1 and 2emissions. For Berkeley thisrepresents an 80% reduction of overallemissions.3. Carbon Neutrality 2050: Net-zeroemissions from scope 3 emissions. The remaining 20% of Berkeley’s emissions are primarilyassociation with transportation.For UC to reach carbon neutrality from building and fleet energy use (scopes 1 direct emissions andscope 2 indirect emissions) the system as a whole will be required to reduce annual carbon emissionsby 1.2 million tons. Even as one ofthe largest campuses in terms ofpopulation, Berkeley’s emissionsaccount for only 12% the UCsystemwide reduction required toreach carbon neutrality. Relative tothe other large UC campuses BerkeleyMetric Tons CO2eUC System scope 1 & 2emissions by campus250,000200,000150,000100,00050,000-releases significantly fewer emissions,largely due to not having a medicalcenter.Page 9

Highlights of Berkeley’s Climate Action Program to DateBerkeley has more than a decade of climate action experience that has been supported by the CalClimate Action Partnership (CalCAP), a collaboration of administration, staff, and students advisingon reducing greenhouse gas emissions. The early work of CalCAP was foundational and continuestoday through management by the Office of Sustainability and Energy and the Physical andEnvironmental Planning office. Berkeley’s carbon management program includes on-going climateaction evaluation and planning, annual greenhouse gas emissions inventories, student and facultyengagement, implementation of emissions reduction projects, and collaborative efforts with other UCcampuses and organizations.Berkeley’s general approach to reducing emissions has been to make cost-effective efficiencyinvestments on campus first, to add renewable energy supply when feasible, and to consider optionssuch as carbon offsets or renewable energy certificates to close gaps. This strategy, along with thecampus’ utility provider providing less carbon intensive electricity as part of its state renewableportfolio standard mandate, has brought Berkeley’s emissions to 1990 levels even though the campushas grown in square footage in this same period.Berkeley’s accomplishments related to reducing Scope 1 and 2 impacts to date include: Energy intensity per square foot has been reduced by 15% since 1990, while actual buildingspace has grown. In the last decade Berkeley has addedsixteen (16) LEED certified buildingprojects with energy reduction features,representing over 10% of the totalsquare footage. Since 2008 Berkeley has implementedenergy efficiency measures that havereduced carbon emission by 15,000 tons. Today, 35% of the Berkeley vehicle fleet is green, either hybrid or powered by alternative fuels. In 2015, solar power was added at five campus locations and four more on-site solarinstallations are in planning.Berkeley faculty, staff and students are also actively engaged in the UC carbon neutrality initiative. In2015 Berkeley spearheaded the UC systemwide Cool Campus Challenge, engaging 20,000 UCPage 10

community members in carbon saving actions on campuses, and a number of Berkeley facultycontributed to Bending the Curve, an international report on ten scalable solutions to climate change.UC Office of the President’s Energy StrategiesUC Office of the President and the UCOP Energy and Sustainability Unit are focusing on the strategiesto support the 2025 carbon neutrality goal. To support this one decision-making board and oneadvisory council have been established to guide this effort and Berkeley is represented in these groups: Energy Services Governing Board oversees the op

2025 Carbon Neutrality Planning Framework. A report to inform greenhouse gas emission reduction strategies. December 2016 (minor update August 2017) Physical and Environmental Planning Office of Sustainability and Energy. carbon neutrality initiative

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