Save Money with Canada’s Green Buildings Strategy

With the growing urgency of climate change, Canada has taken bold steps with its Green Buildings Strategy (CGBS) to decarbonize the construction sector by 2050. Buildings account for about 13% of the country’s greenhouse gas (GHG) emissions, making their transformation critical to achieving national climate goals. The CGBS strategy emphasizes deep retrofits, the use of low-carbon materials, and the elimination of oil-based heating systems to position Canada’s building industry toward a zero-carbon future. 

What is the Canada Green Buildings Strategy?

Introduced in July 2024, the Canada Green Buildings Strategy focuses on both operational emissions (emissions from energy use in buildings) and embodied carbon (emissions produced during the manufacture, transportation, and installation of building materials). This strategy builds on the country’s 2030 Emissions Reduction Plan, which aims to cut GHG emissions by 40-45% from 2005 levels.

Key Components of the Strategy:

1. Deep Retrofits: Modernizing existing buildings to enhance energy efficiency and reduce operational emissions.
2. Low-Carbon Materials: Encouraging the use of sustainable building materials to lower embodied carbon.
3. Phasing Out Oil Heating Systems: Replacing oil-based heating systems with efficient solutions like heat pumps.

The CGBS aligns with the Greening Government Strategy, which targets the decarbonization of over 34,000 government buildings across Canada.

“Energy efficiency means cost savings for Canadians. At a time when we are facing challenges with affordability and climate change, this plan meets Canadians where they are at and delivers the action they need.”  

— Jonathan Wilkinson, Minister of Energy and Natural Resources

Deep Retrofits: Decarbonizing Existing Buildings

Older buildings account for a substantial portion of Canada's carbon emissions. Retrofitting these structures to improve their energy efficiency is a cornerstone of the Canada Green Buildings Strategy.

What is a Deep Retrofit?

A deep retrofit refers to a comprehensive upgrade that improves a building's insulation, heating, cooling, and energy management systems. These retrofits aim to reduce energy consumption by up to 50%, making buildings more efficient and cutting utility costs. Specific upgrades might include:

• Upgrading insulation to enhance thermal performance.
• Replacing windows with energy-efficient models to reduce heat loss.
• Modernizing HVAC systems with more efficient technologies like heat pumps.

In addition to the cost savings, deep retrofits contribute significantly to reducing Canada’s carbon footprint.

“Deep retrofits are vital for achieving Canada's net-zero goals by 2050. They provide significant energy savings while reducing emissions.”  

— Thomas Mueller, President of the Canada Green Building Council (CaGBC)

Deep Retrofit Accelerator Initiative

The Deep Retrofit Accelerator Initiative, a key part of the CGBS, offers financial and technical support to property owners looking to implement large-scale deep retrofits. This program enables widespread renovations that not only improve building performance but also deliver long-term savings.

Quick Wins for Homeowners

While deep retrofits provide significant long-term energy savings, homeowners can start small with quick, cost-effective upgrades. Here are a few easy, budget-friendly changes that homeowners can implement to begin lowering energy bills and reducing emissions:

• Install LED Lighting: Swapping out incandescent bulbs for LED lights can reduce lighting energy use by up to 75%.
• Use a Smart Thermostat: Smart thermostats optimize heating and cooling schedules, leading to 10-12% savings on heating and up to 15% on cooling costs.
• Seal Windows and Doors: Using caulking or weatherstripping can prevent drafts and heat loss, improving your home’s efficiency with minimal cost and effort.
• Upgrade to Low-Flow Fixtures: Installing low-flow faucets and showerheads can reduce water usage and lower energy bills for water heating.

These small steps are a great entry point for homeowners looking to cut down on energy usage and save on utility bills, while working toward larger retrofits in the future.

Case Study: Humber College’s NX Building Retrofit (Toronto)

A leading example of a successful deep retrofit is Humber College’s NX Building in Toronto. This retrofit project, part of Humber's commitment to achieving net-zero emissions by 2050, involved significant upgrades, including:

• High-efficiency HVAC systems to reduce energy use.
• LED lighting for improved energy performance.
• Building envelope improvements like advanced insulation and window systems.
• Solar panels installed on the roof to generate renewable energy onsite.

This retrofit reduced energy consumption by approximately 70%, significantly lowering operational costs while advancing sustainability goals.

Adopting Low-Carbon Materials in New Construction

The embodied carbon of building materials like steel and concrete makes the construction process itself a large contributor to GHG emissions. The Canada Green Buildings Strategy promotes the use of low-carbon materials in both new construction and renovations to reduce environmental impact.

Examples of Low-Carbon Materials:

1. Recycled Steel: Reduces emissions by using less energy compared to the production of new steel, while maintaining the strength needed for modern buildings.
2. Low-Carbon Concrete: Uses less cement or incorporates recycled materials, which significantly reduces embodied carbon.
3. Wood and Bio-Based Materials: Materials like cross-laminated timber (CLT) provide a renewable alternative with a much smaller carbon footprint compared to traditional materials.

By incorporating these materials into building designs, architects and builders can contribute to reducing the carbon intensity of the construction process.

Buy Clean Measures

The Buy Clean measures are a crucial aspect of the Canada Green Buildings Strategy, designed to reduce the environmental impact of building materials used in public infrastructure projects. These measures prioritize low-carbon, sustainably sourced materials for all public projects, creating a ripple effect throughout the construction industry.

How Buy Clean Works:

• Environmental Product Declarations (EPDs): Materials used in public infrastructure projects are now required to have Environmental Product Declarations, which provide transparent information on the environmental impact of building products throughout their lifecycle. This includes data on the carbon footprint of materials like concrete, steel, and glass.
• Low-Carbon Procurement: The government is actively encouraging the procurement of materials like recycled steel and low-carbon concrete to lower the carbon intensity of public infrastructure.

Impacts for Architects and Builders:

• For architects, these measures offer a blueprint for specifying low-carbon materials in their designs, helping them meet sustainability standards.
• Builders benefit from understanding the material requirements for government projects, positioning themselves as leaders in sustainable construction by adopting low-carbon materials in both public and private projects.

Certifications and Standards:

• LEED and BREEAM certifications are two prominent benchmarks that align with Buy Clean objectives, allowing architects and developers to achieve recognized sustainability standards while contributing to Canada’s long-term climate goals.

These measures promote a more sustainable supply chain by encouraging innovation in green building technologies, and they are driving the construction industry to adopt lower-carbon alternatives.

Case Study: evolv1 Zero-Carbon Building (Waterloo, Ontario)

The evolv1 building in Waterloo is a prime example of low-carbon construction done right. This LEED Platinum-certified office space incorporates:

• Solar energy to power its operations.
• Geothermal heating to regulate building temperatures year-round.
• Sustainable building materials like recycled steel and timber to minimize embodied carbon.

The evolv1 building demonstrates how new constructions can meet Canada’s ambitious sustainability goals while maintaining both functionality and aesthetic appeal.

Phasing Out Oil Heating Systems and Embracing Heat Pumps

Oil-based heating systems contribute significantly to the operational emissions of buildings. The Canada Green Buildings Strategy includes a commitment to phase out oil heating systems by 2028, replacing them with more efficient alternatives like heat pumps.

Why Heat Pumps?

Heat pumps are energy-efficient systems capable of both heating and cooling. Unlike traditional systems, which generate heat, heat pumps transfer heat, resulting in lower energy use and reduced carbon emissions. They are particularly well-suited for Canada’s climate, offering consistent performance even in cold temperatures.

Incentives for Heat Pumps

To encourage the widespread adoption of heat pumps, the CGBS offers financial incentives for homeowners and builders to integrate these systems into both new constructions and retrofits. These incentives help reduce the upfront costs, making energy-efficient heating systems more accessible.

Though the Canada Greener Homes Grant has ended, it helped thousands of Canadians reduce their carbon footprints and energy costs through home retrofits. 

• Over 1 million homes were retrofitted, leading to significant energy savings.
• Homeowners who participated saw 15-30% reductions in energy bills.
• The program saved Canadian homeowners a combined total of $49 million in energy costs.

Economic and Environmental Benefits of the Green Buildings Strategy

The Canada Green Buildings Strategy offers substantial economic and environmental benefits:

Economic Benefits:

• Job Creation: The strategy is expected to generate significant numbers of green jobs in the construction, retrofitting, and manufacturing sectors.
• Cost Savings: Energy-efficient buildings cost less to operate, benefiting both businesses and homeowners by reducing utility expenses.
• Increased Property Values: Properties with energy-efficient upgrades and sustainable materials tend to have higher resale values.

Environmental Benefits:

• Reduced Greenhouse Gas Emissions: By focusing on both operational and embodied carbon, the CGBS helps Canada meet its 2050 net-zero emissions goal.
• Improved Air Quality: Reduced emissions improve public health by enhancing air quality and lowering pollution-related health issues.
• Climate Resilience: Energy-efficient buildings are more resilient to extreme weather events, which are becoming more frequent due to climate change.

Challenges and Criticisms of the Strategy

Despite its ambitious goals, the Canada Green Buildings Strategy faces some criticisms:

1. Lack of a detailed roadmap for short- and medium-term milestones could slow progress.
2. Insufficient support for large-scale buildings, which face unique challenges in decarbonization.
3. Access to Data: Some building owners may find it difficult to access the data necessary to plan effective energy-efficiency improvements.

The Future of Canada’s Green Building Sector

The Canada Green Buildings Strategy is a transformative approach to reducing the carbon footprint of the construction sector. By focusing on deep retrofits, low-carbon materials, and energy-efficient heating systems, the strategy puts Canada on the path to achieving its 2050 net-zero goals. While challenges remain, the long-term benefits for the environment, economy, and public health are clear.

For homeowners, builders, and developers looking to adopt sustainable practices, now is the time to explore government incentives and programs. Learn more about how the Canada Green Buildings Strategy can help you save on energy costs and contribute to a sustainable future. Visit the official Canada Green Buildings Strategy page to learn more.