Treatment of District or

CampusThermal Energy in LEED

V2 and LEED 2009 Design &
Construction

User Guide

Contents

Purpose
Overview
USBGC Rationale
Application of EA Prereqs and Credits
CHP Guidance

Purpose
The USGBC created the District Energy
Systems (DES) Guidance document to
provide a framework to properly account
for the impact of district energy systems
within the LEED program. Primarily these
are cooling and heating utilities, but also
include electricity from a Combined Heat
and Power system.

Overview
The USGBC guidance document accounts
for DES under the Energy and
Atmosphere credit category of the rating
system.

USGBC Rationale
USGBC does not want to penalize a
project connected to a DES on the LEED
Program; therefore, the prerequisite
requirements for energy performance and
commissioning are independent of the
DES facilities (much like an electric
utility).

Exception
This philosophy does not, however, apply
to the prerequisite for non-CFC
refrigerants. The LEED Rating Systems
encourage the accelerated removal of
environmentally destructive products and
inefficient systems. Therefore, the
requirements of EA P3, Fundamental
Refrigerant Management must still be
met.

EA Prerequisites & Associated

Credits
Prereq 1 & Credit 3: Fundamental &
Enhanced Commissioning
Prereq 2 & Credit 1: Energy Performance
Prereq 3 & Credit 4: Refrigerant
Management

Prerequisite #1
Fundamental Commissioning of
the Building Energy Systems

Goals & Application Prereq #1

Fundamental Commissioning:
The upstream equipment, defined as the
district energy plant and distribution, does
NOT have to be commissioned.
The downstream equipment, defined as the
building tertiary pump, heat exchanger,
condensate pump, etc., does have to be
commissioned per the prerequisite
requirements.

Credit #3
Enhanced Commissioning

Goals & Application Credit #3

Enhanced Commissioning:
The upstream equipment, defined as the
district energy plant and distribution, MUST
be commissioned if the building is of
significant size.

Credit #3 FAQs
What DES Systems must be commissioned? Only
applies to services used by the project building. (i.e.
Chilled Water)
To what level should new DES systems be
commissioned? Follow the same commissioning
requirements as the building.
What about existing DES systems: Follow the
commissioning requirements of LEED for existing
buildings.
Are their options to commissioning the plant? Yes,
Existing DE systems may meet this requirement by
showing proof of maintenance and efficiency
monitoring programs.

Prerequisite #2
Minimum Energy Performance

Goal Prereq #2
Minimum Energy Performance:
Goal: Verify the proposed buildings annual
energy use is below a maximum target.
For energy modeling, this is referred to as
Option1 - Building Stand-Alone Scenario.

Prereq #2 Definitions
Proposed
Building:

Baseline
Building:

The design of
the building
pursuing LEED
Certification.

Identical except
designed to
meet minimum
ASHRAE 90.1
guidelines.

ASHRAE 90.1, Appendix G was created to provide the

method for accounting for % energy savings over the
minimum ASHRAE 90.1 requirements.

Option1 Model
Inputs

Output

Virtual Chilled Water

Rate ($ / year)
Virtual Steam or
Proposed
Heating Hot Water
Building
Rate ($ / year)
Other Utilities
($/year)

Other Utilities
($/year)

$ per year
for total
energy use

Proposed Building $
X
100 * 1
Baseline
Building
$

Virtual Chilled Water

Rate ($ / year)
Virtual Steam or
Heating Hot Water
Rate ($ / year)

Result

Baseline
Building

$ per year
for total
energy use

LEED
Version

Target

2.2

14%

2009

10%

Important Option 1 Definitions

Utility Rate Structure: The tariff for the utility at
the building (electric, gas, etc.) If the building
does not have a tariff for the utility, use the
DESs tariff for the utility.
Virtual Utility Rate: The average rate for the
utility based on the buildings loading. The
average rate combines usage, demand,
seasonal rates, etc.
Virtual DES Rate: The approximated rate for the
utility at the DES. This rate is intended to
remove loaded costs, such as plant operation &
maintenance, debt service, etc.

OPTION 1 VIRTUAL DES RATE

CALCULATION

Buildings
DES Rate
Structure

Baseline &
Proposed
Building

Virtual
Utility Rate

Virtual DES
Rate
Apply
Formulas
on page 14
of the main
guide

Option 1 Virtual Rate Calc

Example
If the buildings tariff for electricity is 0.05 $/KWh
with a 25 $/KW demand charge, and the model
estimates the building will use one million
KWh/year with a peak for 1,000 KW, then:

Annual Usage Cost: $50,000

Annual Demand Cost: $25,000
Total Cost: $75,000
Virtual Electric Cost: $75,000/1,000,000 KWh
Virtual Electric Cost: 0.075 $/KWh

DES Rate Formula

Units of $/ton-hour = Virtual Electric Rate * 0.85
Virtual DES CHW Rate = 0.064 $/ton-hour

Option1 FAQs
Does a modeler have to run an Option 1 model?
No, if you can meet the floor point requirements
under Option 2 (see slide # 28)
What info does a modeler need from the DES to
run an Option 1 model? Only the rate structure
charged to the building owner for the utility sold.
Can I meet the Pre-requisite Energy
Requirement with only an Option 1 Model? Yes
Can I earn points for optimizing energy with an
Option 1 Model? Yes, up to a certain cap. (see
slide # 28)

Credit #1
Optimize Energy Performance

Goals & Application Credit #1

Optimize Energy Performance:

Goal: Demonstrate energy performance
greater than required by the pre-requisite.
For energy modeling, this is referred to as
Option 2 Aggregate Building/DES Scenario.
Compare Option1 and Option 2 results to
determine points earned. Note: YOU CAN
USE EITHER OPTION TO MEET BOTH PREREC.3 & CREDIT 1

LEED Version 2009

Option 2 Model
Virtual DES-equivalent Plant
Proposed
Building

$ per year
for total
energy use

%
Improvement

Points Earned

12%

16%

20%

24%

28%

32%

11

36%

13

40%

15

44%

17

48%

19

Proposed Building $ Percentage

=
100 * 1
Baseline Building $ Improvement

On-Site Equipment per ASHRAE 90.1 - 2004

Baseline
Building

$ per year
for total
energy use

LEED Version 2.2

%
Improvement

Points Earned

10.5%

14%

17.5%

21%

24.5%

28%

31.5%

35%

38.5%

42%

10

Option 2 Baseline Building

Energy rates
based on
actual building
utility rates

Baseline
Building

$ per year
for total
energy use

Notes:
All energy equipment types (waterside and airside) are based on ASHRAE
90.1, Appendix G, Table 3.

Option 2 Proposed Building & Virtual

On-Site DES-Equivalent Plant
Virtual On-Site DESequivalent Plant
Energy rates
based on
actual building
utility rates and
not the DES
plants rates.

Proposed
Building

$ per year
for total
energy use

Note:
All upstream DES equipment is included (chillers, towers, pumps,
boilers, etc).

Option 2 Virtual On-Site DESEquivalent Plant Efficiency Calculation

Distribution Piping
Actual DES-Plant
Proposed
Building

Energy Input
(Gas, Oil,
Electric, etc.)

Energy Received
Virtual On-Site
Plant Efficiency

Energy Received at the Building

=
Energy Input into the Plant

Option 2 Virtual On-Site DESEquivalent Plant Efficiency

Heating Hot Water Example
Actual DES-Plant
Energy
Input

Proposed
Building

(Gas, Oil,
Electric,
etc.)
Energy Received

Natural Gas @
$7
1,000,000 BTUs

Boiler Efficiency

loss
15 %

Pump Energy

loss
1%

Distribution Heat

loss
8%

Natural Gas @

$8.78
1,000,000 BTUs

Option 1 & 2 Point Limitations

Points available
in Rating System

DES Option 1
points cap*

DES Option 2
points floor**

LEED-NC

10

LEED Schools

10

LEED CS

LEED v2.x

LEED CI

N/A (see Appx. A in Main Guide)

LEED v2009
LEED-NC

19

10

LEED-NC Retail

19

10

LEED Schools

19

10

21

12

24

12

LEED CS***
LEED
Healthcare****
LEED CI

N/A (see Appx. A in Main Guide)

LEED CI Retail

N/A (see Appx. A in Main Guide)

Option 2 FAQs
What if the DES uses a energy source, such as
fuel oil, in which the building does not have a
rate? In this case, use the DES rate for that
energy source.
What methods can be used for determining the
overall DES efficiency?
Measurement of actual system efficiency.
Computer Modeling of the System.
Default values provided by USGBC.

Prerequisite #3
Fundamental Refrigerant
Management

Goals & Application Prereq #3

Goal: No CFCs
Application Options
1. Dont use CFC refrigerants anywhere in the
DES.
2. Phase out all existing CFC refrigerants
within a 5 year timeline.
3. Phase-out not required if not economically
feasible and leakage is controlled.

R-11

R-12

Credit #4
Enhanced Refrigerant
Management

Goals & Application Credit #4

Enhanced Refrigerant Management:
Goal: Credit is obtained by showing that the
refrigerants and equipment used by the DES
reduce ozone depletion (ODP) and global
warming (GWP).

Other EA Credits
Credit #2: On-site Renewable Energy
Credit #5: Measurement & Verification
Credit #6: Green Power

Credit #2
On-Site Renewable Energy

Goals & Application Credit #2

On-site Renewable Energy:

Goal: Renewable energy used in the DES can count

for the project building.
Renewable energy contribution to the building must
consider the:

A: Fraction of the annual DES thermal energy source

provided by qualifying renewable sources.
B: Fraction of the project buildings annual energy
consumption that is supplied by the DES thermal energy
source.

A x B = % of Buildings Renewable Energy from the DES

On-Site Renewable Energy

Credit 2 Eligible Renewables
Photovoltaic Systems

Untreated Wood Waste

Wind Energy Systems

Agricultural crops or waste

Solar Thermal Systems

Animal waste & other organic waste

Biofuel-based electrical
Geothermal Htg. Systems
Low-impact hydroelectric
Wave & Tidal power
Landfill Gas

On-Site Renewable Energy

Credit Ineligible Systems
Wood coated with paints, plastics, or formica
Ground Source Heat Pumps
Combustion of municipal solid waste
Forestry biomass waste other than mill
residue
Treated wood

Credit 2 FAQs
Do I have to run an Option 2 model to use this
credit? Yes, Option 2 is required to determine
the buildings total energy use.
How do I account for the cost of renewable
energy as a fuel in modeling? All qualified
renewable energy is considered FREE in the
model.
What if the DES generates both chilled water
and steam from renewable sources? Run the
formula for each utility provided and sum the
results.

Credit #5
Measurement & Verification

Goals & Application Credit #5

Measurement and Verification:
The downstream equipment, defined as the building
tertiary pump, heat exchanger, condensate pump,
etc., does have to be provided with M&V.
The upstream equipment, defined as the district
energy plant and distribution, has to include M&V to
the extent that the DES efficiency claimed in EAc1
can be verified.
Energy delivered to the building from the DES must
be metered.

Credit #6
Green Power

Goals & Application Credit #6

Green Power: Provision gives DES the ability to
pass along purchased green power to
connected buildings.
Rules apply in the same manner as Renewable
Energy, Credit #2.

Option 2 Guidance for Combined

Heat and Power (CHP) In DES

Option 2 for CHP

QFUEL

Turbine

Generator

WE

QTH

QFUEL Sum of all fuel used by the CHP.

WE Net useful Electrical Power, produced by the CHP.
QTH Net useful Thermal Output, produced by the CHP.

Reference: http://www.epa.gov/chp/basic/methods.html

CHP Efficiency Calculations

Turbine

QFUEL

Generator

WE

QTH

ELECTRIC

WE
=
Q FUEL

THERMAL

Q TH
=
QFUEL
TOTAL =

W E + Q TH
Q FUEL

Option 2 Proposed Building & Virtual

On-Site DES-Equivalent Plant
with CHP
Virtual On-Site DES-equivalent Plant
Energy rates
based on
actual
QFUEL
building
utility rates
and not the
DES plants
rates.

WE
QTH

Proposed
Building

$ per year
for total
energy use.

Option 2 Virtual On-Site DESEquivalent Plant Efficiency Calculation

Scaled Version of Actual DES-Plant

Thermal Distribution Piping

Useful Thermal Energy
Received, QTH

QFUEL

Proposed
Building

Energy
Input

Useful Electrical
Energy Received, WE

Electrical Distribution
Virtual On-Site Plant
Thermal Efficiency = THERMAL* (1 - % Distribution Loss) =

Energy Received at the Building

Energy Input into the Plant

Option 2 Proposed Building

Model Application
The $ per year for total energy use must include
the % of QFUEL associated with QTH used by
the building.
WE does not have to come directly from the
plant, but may be delivered via the grid.
However, total WE delivered shall be directly
associated with total QTH delivered to the
Proposed Building.
QTH and WE used annually by the proposed
building shall be considered free in the model.

Option 2 Proposed Building

Model Application
First, run the model as if QTH is provided by a
boiler with Efficiency = THERMAL and all electricity
provided by the grid. Determine $ per year for
total energy use.
Second, determine total annual electricity, WE,
associated with total annual thermal delivered,
QTH.
Deduct the cost of the total annual electricity,
WE, from the $ per year for the total energy use.
If total annual electricity is less than WE, apply
the cost of the difference to the Base Blg. Model.

This guide was prepared by the

International District Energy Association
(www.districtenergy.org). The US Green
Building Council participated in the
creation of this guide.
For specific questions, contact Tim Griffin at
tgriffin@rmf.com