PGIM Real Estate
At a Glance
Industry
Real Estate
Project Types
Commercial Energy Efficiency, Data Analysis, Financial Evaluation and Planning, Industrial Energy Efficiency, Sustainability and Energy Management Strategy
Year
2018
Location
Madison, NJ
Summary
Alejandro Delmar helped PGIM Real Estate advance its sustainability goals by creating new strategies, targeting incentives and improving sustainability reporting.
Goals
PGIM Real Estate, a global manager of real estate equity, debt, securities and specialized strategies enlisted EDF Climate Corps fellow Alejandro Delmar to help advance its sustainability goals by creating cost efficient, portfolio-wide energy efficiency strategies, identifying appropriate energy efficiency utilities incentives and improving their global real estate sustainability reporting process.
Solutions
Delmar assisted PGIM Real Estate in advancing its sustainability goals by focusing on four key initiatives:
- Scaling Energy Efficiency - He analyzed sustainability and financial data from multiple data management systems to identify appropriate energy efficiency retro-commissioning and retrofit improvements.
- Aligning to Energy Efficiency Utilities Incentives - He researched sixty U.S. Utility company’s incentive programs and identified the most appropriate opportunities for each of PGIM’s top 25% energy consuming properties.
- Pay-for-Performance Mechanisms & Green Valuations - He evaluated how and where Efficiency-as-a-service or Energy Savings Performance Contracts (ESPC) could be used, as a flexible off-balance sheet solution to finance energy efficiency projects.
- Global sustainability reporting: He assessed the company’s current reporting process to the Global Real Estate Sustainability Benchmark (GRESB). To improve quality of their reports, he identified and corrected data quality issues in their Measurabl software database. Additionally, he performed a sustainability policy gap analysis, to recommend improvements for each of the funds reported to GRESB.
Potential Impact
If adopted, Delmar’s recommended incentive programs, when fully implemented, could represent an overall potential 16% reduction in annual energy consumption and 18% reduction in energy utility bills. As a result of his improvements to the company’s reporting process, PGIM’s sustainability team is better positioned with regard to their GRESB assessment. Additionally, the time and effort required to submit the GRESB survey was reduced, helping to improve the scores for each fund and identify next steps to improving sustainability disclosure.