Case Study: Dynacité pilot - SHELTER Project

Short Description

Dynacité aims to involve in a more cooperative way the all stakeholders from the design and all along the renovation process, to the maintenance of the dwellings. This cooperation model will allow implementing time and cost-effective renovations, and guaranteeing the energy performance after renovation.

Dynacité will implement the cooperation model inspired by the integrated design. Within this methodology, it aims to guarantee a high level of energy performance after renovation, during a five years contract, to ensure a reduction in energy charges for the tenants. The call for tenders is expected to be launched in October 2011.

If the implemented model meets the aims with the expected targets and savings, Dynacité will reproduce it in the future for the energy renovation of its housing stock (Dynacité renovates 2% of its existing housing stock every year, about 500 dwellings a year).

Key Elements

Certification

We want to guarantee the theoretical expected energy performance certification after renovation (B level of the French energy performance certificate, corresponding to a 90 kWh/m2/year of primary energy consumption for heating and hot water supply).

Project Management

In this project, we work in a different methodology than before. We have here a project team, which bring together all stakeholders of the project and involved employees. This project team will allow discussing on all aspect of the renovation (especially energy performance) at the earlier stage of the project, so as to better manage the quality of the energy renovation. After this, we also expect a better quality control (monitoring performance of technologies/ monitoring quality of services).

Work with Residents

In this project, according to the willpower of the tender, we expect to provide good energy advices, by giving dwelling manuals to our tenants, or working with them to better monitor the energy performance.

Funding

All renovation projects are financially planned. The French government, represented by the regional council, gave a subsidy. Dynacité will also ask for subsidy with Energy Performance Certificate. Finally, the “Conseil Général”, also representing the French government, will give subsidies for the renovation of old buildings. The remains will be covered by low rate loans from the Caisse des Dépots. In this project, Dynacité will also try to split the cost of the renovation between the residents and its own (called “3eme ligne de quittance” in French).

Partnership Working

We expect to have a project team for implementing a co-operation with energy suppliers, working with external energy experts/consultancies, building companies.

Thermal Insulation

Polystyrene panels (StoTherm) of 70mm thick or more will be installed for providing an external insulation, coated with thin layers of paintings. Rock wool or other insulation material on the roof.

Windows and Shading

Windows with PVC frame and double paned glazing expected  Uwindow = 1,5 W/m2.K

Ventilation

Humidity-sensitive mechanical ventilation, with extractors on the roof.

Heating and Hot Water

Installation of an energy efficient boiler (with gas), central heating and hot water systems, control systems, better hydraulic balancing, measurement of energy for heating and hot water, and water consumed in each dwelling.

Main Results

Lessons learned

The implementation of the pilot project is on-going, so impacts of implementation of alternatives in terms of real energy savings will be difficult to evaluate. We are sure to reduce costs corresponding to energy supply and maintenance, because the chosen consortium has engaged on a 42,5% reduction of consumption, compared to the initial situation.

In terms of costs, the implementation of the pilot project shows that differences are not so important compared to a usual projects. Conception and construction costs are similar. The difference is on the indirect cost, related to addition of time and resources dedicated for administrative actions. We usually take less time internally at Dynacité to work on tendering documents. Here, 3 employees have worked deeper on the project and the analysis of the offers, and we encounter more indirect internal costs. This is difficult to quantify, but we are just conscious that this implies more time internally to work on documents for DBM contract.

An impact easy to point in terms of costs is the price of energy we buy to the maintenance company for the DBM contract, compared to the usual exploitation-maintenance costs.

Usually, Dynacité has a global contract for the maintenance/exploitation of all heating systems (representing 4 contracts on more than 3500 dwellings). Because of the amount of energy consumption, Dynacité benefits from low costs in terms of unit energy prices. By having a small contract for one building, the scale of energy consumption is smaller, and the unit price of energy is higher for the pilot project. The difference between unit prices of energy is more than 10%, disfavouring the pilot project. This difference is compensated by the guarantee on energy performance, but if we multiply projects with DBM contracts, this will modify our global maintenance/exploitation prices compared to the actual situation.

In terms of time, Dynacité expect to save 3 months in delays, compared to usual projects. The time saved is due to the reduction of tendering. Even though we take more time internally to define the DBM contract, we only have one tendering to follow. In a DBB, we have to tender at first architects/technical advisor, then to tender construction companies.

Tendering a DBM allows us to “combine” delays and to continue to finalize the program of requirements while tendering consortia.

Future possible improvements and replication:
Within the implementation of the pilot project, Dynacité has identified some possible solutions to improve the design-construction-maintenance contract. Indeed, because we are involving all stakeholders at the early stage, it is important to know our needs, and clearly define the program of requirements, diagnostics and objectives of the project. This implies more time and resources internally, but this may be reduced in the replication, due to experience.

A DBM contract for energy renovation is very specific. We think replication is possible if projects concern buildings with a certain number of dwellings, to reduce the share of conception and engineering costs in the overall operation costs. Based on the experience of the pilot project, it seems that such contracts would be more cost effective while renovating buildings or groups of buildings with 50 dwellings or more. Based on the experience of the pilot project, Dynacité has identified some points to improve. First, at a national level, we think it is important to help small enterprises tendering in DBM contracts, by favouring consortia and training of professionals. Second, we think it is important, for energy performance objective, to use technical criteria related to energy performance engagement for a better assessment of the offers.

We think it is very important to support Social Housing Organisations financially, for energy renovation of buildings. Dynacité invests more than 20 k€ per dwelling to improve the energy performance of buildings. But reductions of energy charges impact the tenants. By implementing an energy savings guarantee, we are sure to reach a certain level of energy performance. This enable us to ask for a share of costs savings between us and our tenants, with a system like the “Green Deal”, called “3ème ligne de quittance” in France.

Dynacité is also used to ask for European Regional Development Fund (ERDF): we think it is important to increase the amount given by Europe for energy renovation of dwellings, and facilitate access for SHOs to ERDF, with easier procedures to apply for. Level of subsidies could also be increased if the energy savings are guaranteed for the tenants.

Finally, we propose to develop possibilities of asking for energy savings certificates while implementing energy performance contracts. This kind of measure is supported by the new Directive on energy efficiency.

Additional Information

Contact:

Galiègue Yves
Dynacité
E-mail: y.galiegue@dynacite.fr
Phone: +33 (0)4 74 14 10 68