How would we measure and pay for such performance contracts?
There are many ways of tailoring performance contracting to given situations. If auditing and
reporting on the annual energy and water consumption of all buildings were required, governments
would be better placed to create appropriate eco-retrofitting programmes. There are already many
precedents for building audits. We have noted that in the UK required all commercial buildings to
report on annual energy use.
62
The ABGR and NABERS rating schemes in Australia provide templates
for measuring some of the performance issues of existing buildings.
63
Performance contracting
MINIMALIST
AUTONOMOUS
ECO-VILLAGE
ECO-RETROFITS
41
The Case for Eco-retrofitting
requires targets relative to a standard benchmark, and an independent measurement of operational
performance. In minimalist retrofits, the benchmark could simply be the ‘previous’ operational
performance as indicated by the energy and water bills. In this case, the performance contractor
can recover the difference between the previous higher energy bill and subsequent lower bill. To
move towards net Positive Development, however, we would need to weigh in the benefits of adding
value to the public estate, in relation to the costs of inaction – not just improvements relative to
‘standard’ buildings [Box 44]. The benchmark for eco-retrofitting projects should therefore be
a ‘sustainability standard’ – net positive improvements over pre-development ecological, as well
as social and economic, conditions. How cities and buildings could contribute to the ecological,
social and economic viability of the surrounding area will be explored in following chapters.
So how would we start to go about making Positive Development happen?
We have seen that eco-retrofitting, if done properly, could solve many environmental problems
at no extra cost. In some cases, it could be profitable for all interests. There are many systems
impediments, however [Box 7]. In this chapter we have focused on building delivery systems,
such as conventional tendering and designer selection processes, that can conflict with eco-logical
design goals. Simple institutional mechanisms for overcoming impediments to eco-retrofitting
have been proposed in the literature, such as partnering, quality-based selection and performance
contracting. What is now called the ‘third sector’ (businesses that recycle their profits into public
good projects), new forms of public–private+community partnerships and cooperatives, have
some potential to generate demonstrations of Positive Development. However, we need to go
further and create mechanisms at government, community and industry levels that can roll
over the financial savings from eco-retrofitting projects into other net positive projects. First,
however, we need to be aware of the systemic biases against sustainable development that occur
at the levels of design criteria, tools and methods, and management (in assessment and reporting
processes), and at intellectual and paradigmatic levels. In all these areas, we need to move from
a managerial to a design orientation. In the next chapter, we will explore some ideological biases
in urban planning and design that currently stand in the way of the transition to net Positive
Development.
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