Energy Reduction and Management Strategy

Electricity constitutes a significant proportion of CDL’s operational expenditure. It impacts the total amount of Scope 2 emissions released through our business activities. CDL places great emphasis on cost-effectively improving our energy performance to reduce carbon emissions and energy intensities. With this priority in mind, we were the first developer in Singapore to achieve the ISO 50001 energy management system certification for asset management in 2014. We have since continued to set energy reduction targets for our managed properties in Singapore, while continually improving their energy performance through careful review and implementation of energy management plans.

Our current targets aim to reduce energy use intensity1 by 45% from 2007 levels for office and industrial
buildings, and 18% from 2010 levels for retail buildings, by 2030. We surpassed both targets, with a performance of 48% and 30% reduction respectively. CDL will update our energy targets for our managed buildings and corporate office to follow suit as we review our SBTi validated carbon targets to align with a 1.5°C warmer scenario-compliant business model.

We monitor and drive energy efficiency and reduction improvements through target and performance tracking for development projects. Our current targets are to achieve an energy use intensity of 95 kWh/m2 or less by 2030, with an interim target of 105 kWh/m2 or less in 2020, for completed projects that have obtained TOP in the reporting year. In 2020, the energy use intensity of completed projects was 82.12 kWh/m2, surpassing our target. For all active construction sites in 2020, the energy use intensity was 108 kWh/m2.

Due to COVID-19, all construction projects were halted for four to five months during Circuit Breaker.
Subsequently, when Circuit Breaker ended, work progress was slow. During this time, energy was still
used to maintain the construction projects. As energy use intensity is based on energy used per constructed area for that year, these disruptions contributed to higher annual energy use intensity in 2020.

1 Energy use intensity is for purchased electricity, as base year levels were calculated using purchased electricity only.

Lifecycle Approach of Energy Management

We take a holistic view towards energy reduction by adopting measures across the various stages of a building’s lifecycle—from design and construction to operation of the asset. Each business unit adheres to the following guidelines that detail the strategic initiatives, performance standards, and specific requirements relating to energy efficiency and climate mitigation measures.

Stage in Project Lifecycle KEY ENERGY MANAGEMENT INITIATIVES Benefits
Design Incorporate passive design strategies that reduce solar heat gain through the design of building form, envelope and orientation Reduce electricity consumption and cooling cost
Increase building greenery on roof and façade to reduce urban heat gain
Increase natural ventilation to increase passive cooling and reduce heat gain
Maximise natural lighting Reduce electricity consumption and cost
Using energy-efficient lightings such as LEDs in all common areas
Incorporating energy efficient home appliances in building units
Incorporate solar panels such as BIPV systems in common areas, where applicable Reduce reliance on the grid and lower carbon emissions
Construction Use electricity directly from the power grid supply to reduce reliance on diesel generators Reduce emission levels of carbon, sulphur oxides, nitrogen oxides and particulates
Operation of Assets Identify high energy consumption installations and their respective energy management opportunities, e.g. chiller upgrading or lift modernisation Reduce electricity consumption and cost
Install sub-metering system to provide data granularity and identify energy management opportunities Enhance the monitoring and control of building management equipment (e.g. heating ventilation and air conditioning, lifts) to reduce energy use
Leverage advanced management systems to enhance building performance, e.g. Energy Management System to optimise chiller efficiency and Building Management System to control key equipment in buildings
Generate on-site renewable energy, where possible, through installation of PV and BIPV panels Reduce reliance on fossil fuel; lower carbon emissions

Energy Reduction Initiatives

Since 2004, CDL has retrofitted all our managed buildings by upgrading chiller plants, introducing motion sensors, installing energy-efficient lighting, and recladding facades. Implementation of new energy saving initiatives were postponed in 2020 due to COVID-19. However, our efforts from previous initiatives since 2012 continued to yield an estimated annual energy savings of around 16.1 million kWh, equivalent to more than $3.8 million of cost savings. We have also incorporated climate-resilient design and installations, such as green roofs and vertical green walls, into our investment properties to reduce heat gain and mitigate the urban heat island effect.

Since 2014, we have been implementing our Green Lease Partnership Programme to engage and encourage tenants to adopt energy conservation measures. We have maintained a 100% programme participation rate for our retail and office tenants in 2020. As part of the programme, CDL’s building managers guide tenants on “greening” their offices by providing advice on indoor greenery and energy and water conservation measures. In partnership with Tuas Power, we introduced the automated meter reading portal initiative in 2014 for our tenants to monitor their electricity use on a near real-time basis. This empowers our tenants to keep tabs on their individual units’ energy consumption and formulate initiatives to achieve energy savings. Over the years, we have also actively engaged tenants in CDL’s sustainability outreach efforts, such as World Green Building Week 2020, to raise awareness and promote green practices.

Energy Efficiency and Reduction Performance

As part of our ISO 14001 and ISO 50001 environmental and energy management systems, CDL has been tracking and reporting our environmental performance against our energy targets since 2007. We regularly review the energy reduction and efficiency plans for all our properties and introduce initiatives where areas for improvement are identified. For instance, plans are underway to incorporate more advanced energy efficient air handling units and upgrade instrumentation at selected properties.

TOTAL ENERGY USAGE OF CDL’S OPERATIONS IN SINGAPORE (MWh)

Note: Electricity consumption attributed to renewable sources from the purchase of RECs has been excluded from purchased electricity to avoid double counting.

 
ENERGY USAGE AND INTENSITY OF CDL’S OPERATIONS IN SINGAPORE

Note: Purchased electricity intensity here includes the electricity consumption attributed to renewable sources from the purchase of RECs.

 
TOTAL ENERGY USAGE OF CDL’S OPERATIONS IN SINGAPORE AND SIX KEY SUBSIDIARIES (MWh)

To align with our reporting scope for GHG emissions, CDL also reports on the energy data of our subsidiaries. The tracking and reporting of our subsidiaries’ energy data not only ensures greater disclosure and accountability, but also enables the Group to better manage energy usage as a whole.

Notes
From 2018, energy from fuel consumption has been included in the data reported.
* Data represents Le Grove’s office only. Le Grove Serviced Residences was closed for renovation from December 2016 to July 2018.
** Operations of Ingensys was added upon acquisition by CBM in 2019.