Boston Properties BXP
Industry: Commercial Real Estate
No. of Sites: 102
Total Annual Savings: $565,000 in Energy Efficiency Savings, 10% decrease in Energy Intensity
Boston Properties (BXP), Inc., a self-administered and self-managed real estate investment trust (REIT), is one of the largest owners, managers, and developers of first-class office properties in the United States, with significant presence in five markets: Boston, Los Angeles, New York, San Francisco, and Washington, DC.
In 2016, BXP exceeded its publicly announced goals to reduce energy use intensity 15% and greenhouse gas emissions intensity 20% below a 2008 base year.
With objectives of reducing energy costs while also fulfilling their sustainability commitments, BXP faced a diverse set of challenges. Reducing costs through energy management would require the tools to navigate the complexities of energy procurement and utility bill management across a large portfolio of properties located in several different regions across the US.
Meanwhile, BXP needed to meet the energy and emissions goals the company had set to align with the expectations for sustainability among customers, investors, and in the communities where they operate. This would require not only the tools to identify opportunities to improve energy efficiency and reduce costs, but also enhanced capabilities for managing energy data.
“Our commitment to participate in industry-wide programs, benchmarks, and surveys has elevated the need to rationalize an inefficient process of preparing data that can often be highly manual and spreadsheet-intensive,” says Jim Whalen, Senior Vice President and Chief Information Officer at Boston Properties. “It’s both a data and business process challenge to improve the accuracy of this information, and to normalize it across different building types and different practices.”
Centralized Data to Improve Efficiency and Reporting
BXP uses EnerNOC’s platform to access both site-specific and portfolio-wide energy data. Interval data visibility and high-level data analytics provide BXP’s management teams with increased building energy performance transparency. EnerNOC’s project management tools automatically provide recommended actions to improve energy efficiency, projected savings in both financial and energy terms, and collaboration tools to coordinate efforts when implementing these measures.
These capabilities enable BXP to ensure site-level staff have the information they need to implement energy efficiency measures, while also providing high-level visibility of how the company’s energy performance is trending across the portfolio.
Strategic Approach to Energy Procurement
BXP relies on EnerNOC’s energy procurement services to secure the best available pricing and terms for energy supply contracts in several of their largest markets.
EnerNOC drives multiple suppliers to submit competing offers for energy supply contracts for select BXP buildings. In turn, suppliers offer increasingly favorable prices and terms in order to win the contracts, leaving the company with the best possible offer available to them. Altogether, BXP has avoided $1.8M in energy costs across properties in three regions as of 2016.
Processing and Auditing Utility Bills for Accuracy
With utility bills for more than 160 sites dispersed across different regions, it can be difficult to ensure all bills are accurate and paid on time. BXP needed a solution to automate the auditing and processing of their utility bills to avoid paying for errant charges or late fees.
EnerNOC manages nearly 10,000 utility bills across 939 active accounts for BXP, using its auditing and processing systems to help the company avoid unnecessary costs by identifying incorrect charges and preventing late fees.
Additionally, EnerNOC’s platform provides a central location to improve the quality and completeness of energy efficiency data for reporting to industry standards like ENERGY STAR and GRESB. Utility bill data from BXP buildings is integrated directly with ENERGY STAR’s Portfolio Manager for automated data uploads, removing the burden of manual reporting from staff throughout the organization while providing the company confidence that the data they’re reporting is accurate and up-to-date.
Through the partnership with EnerNOC, BXP has improved its properties’ financial performance, increased productivity of its staff, and made it easier to achieve their sustainability goals.
With EnerNOC’s software deployed at 102 sites across its portfolio, BXP implemented energy efficiency measures that achieved approximately $565K in savings in 2016. Additionally, the company has used interval data to generate $2.6M in revenue through demand response since 2011, and has implemented a strategic approach to energy procurement that has resulted in $1.8M in avoided costs as of 2016.
In addition to the financial impact, BXP has exceeded its 2020 targets for reducing energy and greenhouse gas emissions intensities. In 2016, the company measured a 19.8% decrease in energy use intensity and a 31.5% reduction in greenhouse gas emissions intensity below a 2008 base year. With EnerNOC’s energy intelligence software as a major component of its strategy, BXP has reduced energy use intensity by 10% and greenhouse gas emissions intensity 26.7% from during the 2016 calendar year.