By Michael Logue

“Green building”, “sustainable development”, “carbon friendly”, “carbon footprint”, “environmental accounting” are all terms that have exploded across the trade press and mass media since the UN Environmental Programme’s Intergovernmental Panel on Climate Change unequivocal announcement in 2007 that global warming is occurring, and that it has an anthropogenic (human caused) component.  Regardless of your scientific or political beliefs, the marketplace (customers, clients, and probably very soon, regulatory agencies) is clamoring for ways to demonstrate that the impacts of our most common, every day commercial and retail practices – merchandise displays, parking lot maintenance, lighting – on the world’s highly interconnected climate and associated ecosystem have been considered and minimized.

"Going green is now an endeavor that is appreciated by developers, owners and tenants to the point where we have seen change in the marketplace for the desire for green buildings." ~ Glenn Annecchino, Regional Property Manager, Ivy Realty Services LLC.

For the purposes of this article, we have grouped all of these terms together under the heading of “going green” which we broadly define as the judicious use of natural capital, the earth’s resources (water, minerals, air, land, etc.), in a way that can not only provides an acceptable, quality of life for all individuals on a global basis, but also can be maintained indefinitely.  What it really means for those of us in the work-a-day, trying-to-earn-a-living world is that a new way of doing business is fast approaching; and that if you do not realize it and prepare for it, your competitors will.  But these changes do not have to be dramatic and immediate; they can be gradually incorporated into your business activities with minimal financial or operating disruptions.  And the good news is that, if properly and realistically implemented, they often can have real economic benefits.  The first step in “going green” is to examine in a rigorous and precise manner the potential impacts your current business activities may be having on the environment. 

A benchmarking process, referred to as “Green Audit” is quick, inexpensive, and focused on providing you a snapshot of your facility’s environmental and carbon footprint.  One of its most important end products is a set of recommendations intended to describe solutions to minimize the environmental/carbon impact of your business.  Often these recommendations translate directly to long and short term cost savings through improved efficiencies in your current business practices.

The audit is performed by an environmental or engineering professional, usually with a background in architecture or facility operations, who will walk through the building and observe the routine functions of your business.  During the review, the professional will look into such environmentally connected issues as energy usage, waste generated, make-up of building system components, water usage, and other business specific practices.  In most cases, each of the environmental impacts of these facility operations can be reduced (i.e., made more “green”) often with only modest changes that do not require significant capital outlay.  For example, changing how you store and apply road salt can reduce total usage as well as impacts to landscaping and nearby drainage areas.  Other changes, such as major modifications or upgrades to HVAC systems are very costly and either may not be practical or may need to be phased in over a period of time. 

An effective green audit process will offer a choice of recommendations for each real or potential identified “green” issue, estimate costs and timing required to implement, clearly present the environmental or carbon benefits, and establish a realistic return-on-investment timetable.  Underlying a green audit is the basic premise that it does no one any good to implement environmentally friendly business solutions that ultimately are not sound and justifiable financial practices.  In some cases, the green audit can also help quantify the enhanced value of the property or facility as recommendations are implemented. 

Deliverables from the "green audit" come primarily in two forms, both of which are "green".  The first describes how implementation of proposed recommendations will save money both in the short and long term.  The small and relatively easy changes will result in significant short term savings, while larger scale upgrades typically will require longer pay-back periods.  Because of this balancing act, it is important that you weigh the investment your company is able and willing to make, since certain changes may take years before a return is realized.  The second “green” deliverable is the degree to which changes have improved the environment.  One way this is presented is to determine the building or facility’s current "carbon footprint" both before the audit and as recommendations are implemented.  A carbon footprint is a measurement of how much carbon dioxide (or CO2 – a greenhouse gas and is a key causative factor in global warming) is released into the air from an associated business activity such as burning oil to heat a building or cutting the grass with gasoline mower.  Once that number is calculated, improvements or reductions can be implemented and recommendations can be measured.

LEED certification (Leadership in Energy and Environmental Design) of your building also can be the end result of a "green audit", although this is certification is much more difficult, time consuming, and expensive to obtain and maintain.  This nationally recognized certification by the U.S. Green Building Council is given to businesses who have met certain stringent criteria as a "green building".

As with any business decision, the choice to “go green” is be driven largely by economic advantages and the demands of your customers.  However, the first step is data acquisition: the compilation of a practical and facility specific plans that benchmark costs, schedules, and impacts to staffing and operational procedures from current baseline conditions.  As we have described, this benchmarking process must include all aspects of store, mall, or facility operations, from receiving to traffic flow, to HVAC operation.  The hidden value often associated with going green, lower energy bills, improved community perception, and enhanced leasehold value should not be overlooked.  A thoughtful and inclusive auditing or benchmarking program can connect an estimated dollar amount to each of these, and many other, softer or intangible (but real) marketplace considerations. 

A green audit program or benchmarking process can be conducted over a few weeks and its results quantified in a manner that is consistent with any number of budgetary or cost tracking systems, with ROI’s (return on investment) calculated and presented in accordance with the facility’s general accounting practices.  Finally, in the absence of strong Federal or State leadership on issues related to global climate change and ecological sustainability, a grass-roots movement has developed among people ranging from those with very modest means to the very affluent who view these issues as vitally important for themselves, their children, and their grandchildren.  A decision to go green, therefore, allows your mall or retail store to stay in touch with these important market-makers, realize significant economic gains (both in the short and long term), and may actually help, albeit in a small way, to make the world a better place.  Not too bad an accomplishment for a day’s work.

Mr. Logue is an Environmental Scientist with EWMA’s Headquarters Office in Parsippany, NJ.  He specializes in environmental assessments and remediation.  For additional information or to discuss your concerns please contact Mr. Logue at 800-969-3159 ext. 130 or Michael.Logue@ewma.com.