25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Nike, Inc. Climate Neutrality 1 | Hosted and Sponsored by Nike Corporate Headquarters 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Energy + Carbon Energy Footprint Increasing costs Supply shortages Carbon Footprint Corporate Responsibility Future cost of carbon Result in coupled but competing goals Energy – reduced operating costs Carbon – increased operating costs 2 | Hosted and Sponsored by Nike Corporate Headquarters 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Energy + Carbon Nike Facilities Pursuing energy efficiency since 1987 (T8s, VFDs, RCx, HP T8) Pursuing carbon reductions since 2001 WWF Agreement Energy Type * Energy Use = Carbon Footprint Carbon factor * kWh = tCO2 3 | Hosted and Sponsored by Nike Corporate Headquarters 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Supply (power plants) •Intensity of carbon •Centralized vs. distributed 4 | Demand (buildings, homes, factories) •Amount of energy •Centralized vs. distributed Hosted and Sponsored by Nike Corporate Headquarters 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Energy + Carbon 5 | Hosted and Sponsored by Nike Corporate Headquarters 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century International Energy Agency Energy Technology/Policy Scenarios 6 | Hosted and Sponsored by Nike Corporate Headquarters 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Energy + Carbon 7 | Hosted and Sponsored by Nike Corporate Headquarters 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Nike’s Total CO2 Emissions WHERE WE WORK (2005) MOVING PEOPLE 6% MOVING PRODUCT (Logistics to first point of distribution 25% (2005) 2% (2005 baseline) MAKING PRODUCT Apparel contracted manufacturing 8% (2005 baseline) MAKING PRODUCT (Footwear contracted manufacturing) 59% Nike Brand – carbon neutral by 2011 (2005 baseline) Nike, Inc. – carbon neutral by 2015 Logistics – 30% reduction by 2020 Footwear - tbd 8 | Hosted and Sponsored by Nike Corporate Headquarters Nike Progress to Date WWF Commitment: Reduce CO2 13% below 1998 levels by 2005. Achieved 18% reduction from energy efficiency and renewable energy credit purchases. Utilize portion of energy cost savings to fund REC purchases. FACILITY AND TRAVEL CO 2 SUM M ARY G reen Power Total Facilities G HG TCO 2 12,364 0 85,791 12,585 2000 90,152 2001 Facility Electricity TCO 2 Travel TCO 2 Travel O ffset TCO 2 BETC Projects TCO 2 Total travel TCO 2 Facility G as TCO 2 TO TAL CO 2 1998 84,597 96,961 30,177 0 0 30,177 127,138 1999 (450) 97,926 29,648 0 0 29,648 127,575 13,157 (771) 102,539 30,618 (4,341) 0 26,277 128,816 87,895 12,610 (771) 99,734 30,234 (5,067) 0 25,167 124,901 2002 89,269 12,493 (846) 100,916 36,283 0 (15,331) 20,952 121,868 2003 89,234 12,370 (3,637) 97,966 38,109 0 (46,263) (8,154) 89,812 2004 86,212 10,740 (8,259) 88,693 50,795 (4,000) (15,040) 31,755 120,448 2005 84,409 10,750 (17,475) 77,684 47,754 (8,143) (13,299) 26,312 103,996 YEAR G O AL 96,961 110,610 Energy Portfolio & Sustainable Design Value Matrix: Approaches to Energy Reduction Energy Efficient Retro-fits Integrated Sustainable Design ROI Onsite Renewable Energy Carbon Offsets Carbon Volume Renewable Energy Credits Energy Portfolio & Sustainable Design Value Matrix: Approaches to Energy Reduction Energy Efficient Retro-fits Integrated Sustainable Design ROI Onsite Renewable Energy Carbon Offsets Renewable Energy Credits Carbon Volume Value Matrix: Adoption phases (energy portfolio) 1. Integrate sustainable design into site master plan 2. Integrate sustainable design into building conceptual design 3. Audit all facilities for energy efficiency opportunities 4. Develop energy efficient upgrade/replacement program 5. Purchase RECs or offsets 6. Install onsite renewable energy systems Nike Awards + Certifications Carbon Programs (Nike, Inc.): •Climate Counts – highest rated company globally Energy Efficiency (Nike WHQ) •USGBC LEED-EB Gold (1 building) •US EPA EnergyStar (4 buildings) Renewable Energy (Nike WHQ) •US EPA Green Power Partnership Leadership Group •US EPA Green Power Partnership Top 25 purchaser Nike Upcoming Projects Sustainable Design •Child Development Center (LEED-NC) •Houston Factory Store (LEED-CI Portfolio) •Northridge Distribution Center (LEED-NC) Carbon Programs: •Carbon Neutrality - 2011 Energy Efficiency: •Global Energy Challenge Renewable Energy •Child Development Center •Sports & Fitness Center 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Green power purchases increased from 1% in 2002 to 56% 2007 • • Onsite: European Distribution Center– hosts six 1.5 Megawatt wind turbines. (blades = 39 meters) – turbines produce power equal to total Distribution Center electricity usage Photovoltaic panels to supply 10% of electricity to the Portland Airport Factory Store Thin film solar supplies 14% of electricity to new child development center on campus. Hybrid solar electric/thermal system to supply 5% of energy to the Lance Armstrong Sports and Fitness center Grid Based Green Power: European Headquarters purchases 100% renewable power (since 2003) and utilizes ground source heat pumps to heat/cool the facility World Headquarters purchases renewable energy credits equivalent to 100% electricity usage US Based Distribution Centers purchase renewable energy credits equivalent to 100% electricity usage • • • • • • • 14 | Hosted and Sponsored by Nike Corporate Headquarters Nike – Sustainable Portfolio Produces > 100% of electricity consumed by facility Took > 5 years to permit and develop Nike – Sustainable Portfolio Payback: Before incentives: 67 years After incentives: 6 years Produces 14% of electricity consumed by facility Part of a LEED-NC certification (submitting 58 points) Utilized local roofing contractor for turn-key solar installation 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Produces 7% of electricity consumed by facility Produces electricity + hot water System tracks movement of sun to maximize energy production 17 | Hosted and Sponsored by Nike Corporate Headquarters 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Innovate for a better world. 18 | Hosted and Sponsored by Nike Corporate Headquarters 25 Years of Chapter History Solar Integration Strategy 2008 Symposium Facilities Management for the 21st Century Energy + Carbon Building energy use 19 | Hosted and Sponsored by Nike Corporate Headquarters