Date
Inquiry

Please advise on the viability of the following Innovation and Design Process credit: Intent The intent of this Innovation Credit is to reduce the greenhouse gas (GHG) impact of building materials and products, and increase the market demand for climate neutral products and materials. Products and materials are climate neutral when there is zero net greenhouse gases (GHG), such as CO2, from the entire life cycle of the product. The manufacturer calculates the total GHG impact utilizing life cycle analysis and then obtains carbon emission reduction credits (ERCs) such as through green power off-set purchases or carbon sequestration projects. The offsets must equal or exceed the GHG produced during extraction, processing, manufacture, transport and end use of a product, and be certified by a recognized third party using sound scientific and accounting principles. Climate neutral products must also deliver climate benefits "above and beyond" the standard version of these building materials, thus making them distinct and separable from all other sustainability features that these materials might also possess, such as recycled content. The development of market demand for climate neutral products provides several environmental benefits: Reduce the GHG impact of building materials, and thus address the embedded climate impacts inherent in a building or interior fit-up materials. Support USGBC\'s desire to move towards a more life-cycle based approach. Reward proactive suppliers who take a climate leadership position with their products. Ensure that climate benefits can be delivered on a credible, measurable and transparent basis. Support the emerging market for carbon and other GHG trading. Requirements Specify 5% of the project\'s total material value with products or materials, which are third party certified as climate neutral. Submittals Provide a spreadsheet indicating the total material value of the project, including furniture and list each climate neutral material or product, indicating its material value in dollars, manufacturer and third-party certification. Calculate the percentage content of the climate neutral products and materials in relationship to the overall project material value. For products in which a portion of the total product is certified climate neutral, the calculation is based on the percentage of the climate neutral material in relationship to the total material or product cost. The percentage of climate neutral products must be greater than or equal to 5% of the total project value. See formula below: Total climate neutral material value ($) / Total project material value ($) = Project percentage of climate neutral materials (%) Provide cut sheets or other documentation demonstrating climate neutral compliance for each product. Potential Technologies & Strategies Research and specify products and materials that are climate neutral and have third party life cycle analysis and certification, which has determined that there is no net addition of greenhouse gases CO2, from their from their extraction, processing, manufacture and end use. Establish a project goal for climate neutral products and identify suppliers that can achieve this goal. Select products, which met all other project performance criteria including other environmental benefits, such as recycled content, distance from project site to place of manufacturer and extraction, VOC content and other measurable criteria. Supporting Documentation This innovation credit recognizes that tools are becoming available to more clearly state the environmental benefits of product and materials which offer a climate neutral stance in regard to greenhouse gas impact. For the purposes of this credit climate neutral products and materials are climate neutral when there is no net addition of greenhouse gases, such as CO2, from their extraction, processing and/or manufacture, or the manufacturer has purchased carbon or other greenhouse gas offsets such as through green power purchases. The Climate Neutral Network (www.climateneutral.com) is an independent non-profit organization which certifies climate neutrality under its Climate Cool brand mark for products, materials, processes and enterprises. The process of certification is rigorous, quantitative and based on established, clearly stated and repeatable standards and principles, similar to the rigor of the Greenguard and Forest Stewardship Council, although with a difference emphasis. Based on the particular products and/or amount of material specified, manufacturers can calculate the amount of CO2 permanently retired by the specific use of a Climate Cool product or material. The achievement threshold for this proposed innovation credit is 5% of total project material cost. Given the current limited amount of climate neutral products available on the market, this threshold is significant in that to achieve this level a designer will need to seek out and consciously choose these products and materials over their non-climate neutral counterparts. This threshold is the same as the current LEED-CI threshold for rapidly renewable materials, which currently represent a similar sized share of the building material market.

Ruling

NOTE: This CIR and ruling can apply to projects registered in other rating systems other than LEED-CI. Your innovation credit proposal for use of climate neutral products is acceptable provided that: 1. Each third-party certifier of climate neutral products is a reputable, independent entity. An example of a climate neutral product certifier is the Climate Neutral Network. Purchases from carbon offset retail programs must be of the quality explained in Appendix A, below. Any credible environmental claim certifier can utilize the path described in Appendix B to certify climate neutral products. 2. The product\'s entire line of supply and manufacture must be climate neutral. It is not sufficient that a manufacturer purchase offsets solely for the units that are purchased and installed in a specific building; the continuous process that enables a specific product\'s availability to the market must be climate neutral. Minor variables such as color choices do not constitute a separate product. As already stated in your proposal, the full lifecycle of the products needs to be addressed and the products must also deliver climate benefits "above and beyond" the standard version of these building materials, making them distinct and separable from other sustainability features that these materials might also possess, such as recycled content. To demonstrate a product\'s climate neutral status, include in your submittals the certifier\'s verification of climate neutral product status with a summary of the carbon footprint formulation and means used to achieve climate neutral status. Include a copy of the inventory summary used by the USEPA Climate Leaders program. USGBC recognizes that this is a rapidly evolving field and so this ruling may not have long standing as a precedent for other requests. The ruling will be revised as the standards of quality and certification advance. ----------------------------- APPENDIX A There must be a 100% offset of Scope 1, 2 and 3 emissions.* The following is acceptable for Scope 1 and 3 emissions*: Emission reduction ("ERs") offsets must be generated from acceptable project categories which must be independently verified by a recognized verification entity. The manufacturer must provide full disclosure on the type of emission reduction offsets applied. Allowances should be excluded as should any "business as usual" ERs where additionality is questionable. Acceptable offsets are as follows: 1. Any project that is determined to be an eligible Clean Development Mechanism (CDM) provided by article 12 of the Kyoto Protocol. 2. Any project sanctioned by a U.S. State, group of U.S. States (e.g., RGGI), or the Federal Government, where the carbon reduction is assigned or otherwise stated. 3. Any project that is verified and registered as a Gold Standard project (www.cdmgoldstandard.org). 4. Any approved Joint Implementation (JI) project as provided by article 6 of the Kyoto Protocol. 5. Any approved European Union Emission Trading Scheme (EU ETS) project. 6. Any project that is verified to meet the Voluntary Carbon Standard (www.v-c-s.org). 7. Carbon offsets certified by Center for Resource Solutions (www.green-e.org) or Environmental Resources Trust (www.ert.net). 8. California Climate Registry carbon credits or offsets. 9. All types of offset projects are allowed except for HFC-23 destruction. 10. Acceptable offsets from a demonstrated equivalent (for guidance on showing equivalency, see LEED-EB EAc2 credit ruling from May 2006). The following is acceptable for Scope 2 emissions,* considered indirect electricity emissions: Any direct offsets acceptable for offsetting Scope 1 emissions as well as renewable energy certificates (RECs) certified by Center for Resource Solutions\' Green-e program, Environmental Resources Trust\'s EcoPower program, or demonstrated equivalent (for guidance on showing equivalency, see LEED-EB EAc2 credit ruling from May 2006). -------------------------------- APPENDIX B An environmental claim certifier can use robust and verifiable internationally accepted standards to classify a product as carbon neutral. Use ISO 1404x series of standards for life cycle assessment (LCA) as necessary to formulate the product\'s carbon footprint. Use guidance from USEPA Climate Leaders program, the WRI/WBCSD Greenhouse Gas Protocol, or ISO 14064** as needed for accounting and reporting of emissions and offsets. Complete a copy of the inventory summary used by the US EPA Climate Leaders program. Account for the complete lifecycle (including the product\'s anticipated lifespan). The product\'s entire line of supply and manufacture must be climate neutral. It is not sufficient that a manufacturer purchase offsets solely for the units that are purchased and installed in a specific building; the continuous process that enables a specific product\'s availability to the market must be climate neutral. Minor variables such as color choices do not constitute a separate product. Once this inventory of the product\'s carbon footprint is completed, there must be a 100% offset of Scope 1, 2 and 3 emissions.* The following is acceptable for Scope 1 and 3 emissions*: Emission reduction ("ER") offsets must be generated from acceptable project categories which must be independently verified by a recognized verification entity. The manufacturer must provide full disclosure on the type of emission reduction offsets applied. Allowances should be excluded as should any "business as usual" ERs where additionality is questionable. Acceptable offsets are as follows: 1. Any project that is determined to be an eligible Clean Development Mechanism (CDM) provided by article 12 of the Kyoto protocol. 2. Any project sanctioned by a U.S. State, group of U.S. States (e.g., RGGI), or the Federal Government, where the carbon reduction is assigned or otherwise stated. 3. Any project that is verified and registered as a Gold Standard project (www.cdmgoldstandard.org). 4. Any approved Joint Implementation (JI) project as provided by article 6 of the Kyoto Protocol. 5. Any approved European Union Emission Trading Scheme (EU ETS) project. 6. Any project that is verified to meet the Voluntary Carbon Standard (www.v-c-s.org). 7. Carbon offsets certified by Center for Resource Solutions (www.green-e.org) or Environmental Resources Trust (www.ert.net). 8. California Climate Registry carbon credits or offsets (www.climateregistry.org). 9. All types of offset projects are allowed except for HFC-23 destruction. 10. Acceptable offsets from a demonstrated equivalent (for guidance on showing equivalency, see LEED-EB EAc2 credit ruling from May 2006). The following is acceptable for Scope 2 emissions,* considered indirect electricity emissions: Any direct offsets acceptable for offsetting Scope 1 emissions as well as renewable energy certificates (RECs) certified by Center for Resource Solutions\' Green-e program, Environmental Resources Trust\'s EcoPower program, or demonstrated equivalent (for guidance on showing equivalency, see LEED-EB EAc2 credit ruling from May 2006). SUBMITTALS: Submit the certifier\'s verification of climate neutral product status with a summary of the carbon footprint formulation and means used to achieve climate neutral status. Include a copy of the inventory summary used by the USEPA Climate Leaders program. ------------------------------------------------ * DEFINITIONS: (Source: WRI/WBCSD GHG Protocol. See the GHG Protocol for expanded definitions.) Scope 1 emissions: Emissions from sources under direct control, i.e. at premises under your control or in your vehicle fleet, etc. Scope 2 emissions: Emissions from electricity that is generated elsewhere (i.e., independently, off-site). Scope 3 emissions: Other indirect emissions that are not from owned emission sources, e.g. from the related supply chain, business travel, transportation of purchased fuels, and use of sold products and services. ------------------------------------------------ ** REFERENCED STANDARDS

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