To learn about what Compliance Monitoring is, please see here.
The Compliance Monitoring tool assesses which of buildings in a portfolio are subject to Local Law 97 and the carbon thresholds they’re subject to based on their size and use type.
Based on the energy usage captured in Measurabl, it calculates those buildings' historical carbon performance using NYC emissions factors and projects their future performance. It then aggregates the carbon thresholds and performance of each building in a visualization that demonstrates how your overall carbon performance is predicted to intersect with the imposed thresholds. It also calculates the fines that would be accrued if the portfolio performs as projected.
NOTE: Compliance Monitoring’s data aggregation and estimation methodologies are designed to provide broad, high-level risk estimations. The accuracy of predictions and estimations is contingent on the accuracy of the data entered in Measurabl, and trajectories may vary as the law and mitigation strategies evolve. Projections are not guaranteed to be accurate and should not be considered legal advice.
How does Compliance Monitoring determine buildings' emissions thresholds?
- Emissions thresholds are determined based on the building’s use type. The tool implies the building’s NYC occupancy group (and therefore emissions thresholds) based on the primary use type of the building set in Measurabl. The following table describes how Measurabl’s use types translate to NYC’s occupancy groups. Learn more about the NYC occupancy groups on UpCodes.
HOW MEASURABL USE TYPES TRANSLATE TO NYC OCCUPANCY GROUPS
Which years of usage data are used to draw projections?
Compliance Monitoring analyzes buildings' usage data from 3 most recent calendar years. The tool uses a 6-month buffer to ensure you have ample time to complete data collection for the most recent completed calendar year before that year begins being included in the analysis.
Example:
- In January-June 2022, the years included are 2018, 2019, and 2020, giving customers time to complete 2021 data before it gets included in the analysis.
- In July-December 2022, the years included are 2019, 2020, and 2021.
How are buildings' emissions calculated?
- A building’s emissions are calculated based on the amounts of various fuels the building consumes—grid electricity, natural gas, district steam, etc. Compliance Monitoring uses the emissions factors defined in the text of NY Local Law 97. For any fuels captured that do not have factors specified by Local Law 97, the EPA's ENERGY STAR factors are used.
- Any fully-renewable energy consumed by a building is excluded from analysis.
- Partially-renewable energy usage is prorated by the percentage of the usage that was not renewable.
|
Fuel Type |
Emission Factor |
|
Grid Electricity |
0.000288962 tCO2e/kWh |
|
Natural Gas |
0.00005311 tCO2e/kBtu |
|
Fuel Oil #1 |
0.00007350 tCO2e/kBtu |
|
Fuel Oil #2 |
0.00007421 tCO2e/kBtu |
|
Fuel Oil #4 |
0.00007529 tCO2e/kBtu |
|
Fuel Oils #5 and #6 |
0.00007535 tCO2e/kBtu |
|
District Steam |
0.00004493 tCO2e/kBtu |
|
District Hot Water |
0.00006640 tCO2e/kBtu |
|
District Chilled Water - Electric Driven Chiller |
0.00005270 tCO2e/kBtu |
|
District Chilled Water - Absorption Chiller using Natural Gas |
0.00007389 tCO2e/kBtu |
|
District Chilled Water - Engine-Driven Chiller Natural Gas |
0.00004931 tCO2e/kBtu |
|
Propane |
0.00006425 tCO2e/kBtu |
|
Diesel Oil |
0.00007421 tCO2e/kBtu |
|
Kerosene |
0.00007769 tCO2e/kBtu |
|
Coal (anthracite) |
0.00010444 tCO2e/kBtu |
|
Coal (bituminous) |
0.00009403 tCO2e/kBtu |
|
Coke |
0.00011442 tCO2e/kBtu |
How are fines calculated?
- Each building has an annual emissions limit, which varies depending on the use type. If a building is projected to exceed its limit, the fine is $268 per metric ton of CO2 above the limit. Fines are adjusted based on any mitigation recommendations the customer has applied to the projection. By default there are no mitigations or improvements applied, and buildings are assumed to continue at their current level of emissions for the next 10 years.
How do RECs work?
- Our model assumes that RECs can be used to offset electricity usage—purchasing a 1 MWh REC reduces a building's consumed electricity by 1 MWh, and consequently reduces its projected emissions and related fines.
How do greenhouse gas offsets work?
- Greenhouse gas offsets can be used to directly offset up to 10% of each building's annual emissions limit. There are currently no restrictions on what type of offsets can be purchased, but this is subject to change when the city releases new rules. Estimated prices are based on a recent average market price.
How does carbon trading work?
- Carbon trading is not yet included in the text of NY Local Law 97, but NYC has been studying the issue and the law may be updated in the near future. Compliance Monitoring includes both internal and external trading.
- Internal trading refers to buildings within an owner's portfolio “sharing” emissions savings with each other. e.g. If one building is under the emissions limit, the owner could apply that emissions credit to another building that is over the limit. This is a speculative tool—there is no guarantee such a program will be finalized.
- External trading refers to an open carbon marketplace, where building owners could buy carbon generated and sold by other entities. Such a program can take many forms, and the price of a ton of CO2 would depend on many details—how carbon credits are generated, who can sell them, how many can be applied to a building, etc. The price used in Compliance Monitoring is entirely speculative and subject to substantial change or removal if carbon trading is not added to NY Local Law 97.
Feel free to reach out to our support team with any questions!