Four LC3 Centres are off and running as they drive forward a critical opportunity that cuts emissions especially in multi-family housing, creates jobs and boosts community resilience.
In cities across Canada, government, academic, non-profits and the private sector are working to crack a key urban emissions challenge: reducing the energy demand of our built environment. Architect Carl Elefante famously noted the “greenest building is the one already standing.” In other words, the best path to greener buildings starts with retrofitting the ones we already have.
The retrofit opportunity is not to be underestimated — Canada’s building stock accounts for approximately 18 per cent of Canadian emissions. Improving the energy performance of buildings also reduces operating costs, creates local jobs and improves community resilience to extreme weather. According to the Canadian Home Builders’ Association, home retrofits and repairs create over 850,000 jobs and $100B in investments annually. Energy retrofits can also reduce dependence on conventional energy supplies, shielding owners from exposure to volatile price fluctuations. And weatherization improvements, adequate ventilation and air filtration associated with retrofits can improve indoor air quality and reduce the vulnerability of occupants to extreme weather events, including forest fires.
While retrofitting—even to “deep” levels targeting reductions in energy use of 70% or more—is feasible with current technology, the retrofit agenda has not yet achieved its full potential.
In response, Natural Resources Canada launched the Deep Retrofit Accelerator Initiative (DRAI) in February of 2023, a $185.5M program designed to help increase the pace and scale of this work. DRAI provided funding for activities needed to support mass-scale retrofits in Canadian cities—activities that are closely aligned with the unique capacities of LC3 such as capacity building, knowledge development and mobilization, and convening of key actors and policy advocacy. Of the 13 organizations selected for the first round of DRAI funding, three were LC3 Centres, while a fourth LC3 centre is a key collaborator with the local recipient, ReCover Inititiative.
Managing $50M in actions designed to unlock results
LC3 teams are grateful for the opportunity to deliver on the critically important DRAI program goals of supporting practical local engagement and gathering lessons, insights and experience to help crack the deep retrofit code. Together, LC3 Centres and their partners are delivering over $50M in support to build retrofit acceleration over the next three years, and their programs are well on their way.
In British Columbia, the BC Retrofit Accelerator, delivered by the Zero Emissions Innovation Centre (ZEIC), is focusing its efforts on larger existing residential and commercial buildings across the province. This program is working on a “zero over time” model, strategically optimizing the timing of retrofits to line up with major building repair or replacement needs, creating a plan for every building to get to net-zero over time.
The Alberta Ecotrust Retrofit Accelerator [albertaecotrust.com], delivered by the Alberta Ecotrust Foundation, offers free coaching services to help building owners and managers make deep retrofit upgrades to their buildings. The program supports multi-unit residential buildings, commercial buildings, and MUSH (municipal, universities, schools and hospitals) buildings across the province. In collaboration with several local organizations, the program provides a range of supports previously missing from Alberta’s retrofit market, helping to strengthen business cases and financing tools that drive demand for building retrofits.
The Atmospheric Fund Retrofit Accelerator is focused on multi-family buildings including social housing, market rentals and condominiums in the Greater Toronto and Hamilton Area. The program’s approach will support collaborative engagement of building residents and will help advance retrofits through to measurement, commissioning and optimization of building performance.
The Halifax Climate Investment, Innovation and Impact Fund (HCi3) is supporting the ReCover Initiative’s Deep Retrofit Accelerator, which is working with multi-family housing: commercial, municipal and institutional buildings; and Indigenous housing throughout Atlantic Canada. HCi3’s role is to increase the understanding and access to financing options for building owners.
Adopting the “concierge service” approach
Just like that helpful person behind the desk of your hotel, ready to offer advice to make your trip excursions seamless and fun, LC3 teams are working hard to make the retrofit process as easy and beneficial as possible for building owners. At the heart of each program is an expert team offering a suite of guidance and support to help building owners throughout their retrofit journey. A bundled “concierge service” guides building owners from identifying needs to implementing retrofits by offering planning, coaching and coordination, and implementation support tailored to their specific needs.
In parallel to their “concierge service” offerings, LC3-supported Retrofit Accelerators are also working to confirm the business case for deep retrofits and increase the availability of funding programs and financial product offerings. This includes working to commission research, mobilize financing knowledge and engaging private sector actors who have the potential to help unlock systemic financing barriers hindering retrofit scale-up.
Amplifying lessons learned
With building retrofits remaining a key focus area for the LC3 Network, the LC3 Accelerators are helping to generate a significant body of findings regarding the efficacy of the concierge service approach, opportunities to equitably share the benefits of retrofit action, the needs and attitudes of building owners in multiple building sectors, as well as insights to help lenders find greater confidence in the value and profitability of the retrofit opportunity. Some of the programs are also making significant investments in industry capacity building, market transformation, and research tools.
LC3 Centres are already engaging 49 local partners to help systematically remove the obstacles to retrofits experienced by building owners and to advance the local economic development and other community benefits associated with this work. Along with other DRAI-funded parties who are collaborating as a group, LC3 Centres are participating in a variety of local and national committees to share their learnings so that the resulting patterns and innovations can inform and strengthen retrofit policy, finance and even local supply chain development.
While some may say that retrofits are an unglamorous enterprise, we are watching with anticipation as this local work is synthesized in ways that strengthen national policy and investment practices. The LC3 Network will be sharing results in the coming months, showcasing local players and case studies.