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Improving Energy Performance in Canada – Report to Parliament Under the Energy Efficiency Act - 2003-2004

Chapter 4: Housing

Energy Use and Greenhouse Gas Emissions

The residential sector includes four major types of dwellings: single detached, single attached, apartments and mobile homes. Energy is used in dwellings for space heating and cooling, heating water, and operating appliances, electronic equipment and lights. This sector accounts for 17 percent (1399 petajoules) of secondary energy use and 15.6 percent (75 megatonnes) of greenhouse gas (GHG) emissions.

Most dwellings in Canada are single detached houses, followed by apartments, single attached dwellings and mobile homes (see Figure 4-1). Because single detached and attached houses predominate, most Natural Resources Canada (NRCan) residential building programs focus on these types of dwellings.

Space and water heating make up 81 percent of residential energy use, followed by the shares devoted to operating appliances, lighting and space cooling (see Figure 4-2).

Between 1990 and 2002, residential energy use increased by 8.6 percent, or 110 petajoules (from 1289 to 1399 petajoules). From 1990 to 2002, GHG emissions from the residential sector increased by 8.4 percent. GHG intensity changed little because fuel switching towards less GHG-intensive fuels offset an increase in the GHG intensity of electricity production over the period.

Four main factors tended to influence residential energy use – activity, weather, structure and energy efficiency:

• activity – the increase in the number of households and the size of dwellings (the principal measures of residential activity) increased energy use by 23.4 percent (302 petajoules)
• weather – a colder winter and a warmer summer in 2002 compared with 1990 led to an increase in space-conditioning requirement; this increased energy use by 1.7 percent (21 petajoules)
• structure – the percentage shares of energy end-uses changed over the period such that they increased energy use by 3.2 percent (42 petajoules)
• energy efficiency – improvements in energy efficiency decreased energy use by 19.8 percent (255 petajoules)

Growth in residential energy use was driven in large part by growth in activity. This increase was partially offset by significant improvements in energy efficiency. Structural changes had a minor impact on residential energy use.

The change in overall residential energy use from the years 1990 to 2002, as well as the estimated energy savings due to energy efficiency, is shown in Figure 4-3. Figures 4-4 and 4-5 show how energy consumption differs for houses built to different standards and in different periods, reflecting improvements in building construction.

NRCan delivers initiatives to increase energy efficiency in the following residential sub-sectors:

• new houses
• existing houses
• residential equipment

New Houses: R-2000 Standard and EnerGuide for (New) Houses

Objective: To increase market adoption of energy-efficient new houses by promoting changes in construction practices and by labelling houses for energy performance.

The R-2000 Standard is a voluntary technical performance standard that encourages Canadian builders to build, and Canadian consumers to purchase, houses that are more energy efficient and environmentally responsible than is required by current Canadian building codes. NRCan trains and licenses R-2000 homebuilders and other professionals in R-2000 Standard construction techniques and practices, and provides third-party quality assurance by testing and certifying R-2000 homes.

EnerGuide for (New) Houses is an energy-performance rating and labelling scheme designed to encourage the industry to build, and consumers to purchase, more energy-efficient houses. The EnerGuide for Houses (EGH) scheme is based on the R-2000 Standard and training, and it targets large-volume, mass-market builders.

Key 2003-2004 Achievements

• Over 1000 industry professionals received training in R-2000 construction techniques and the sizing and installation of high-efficiency heating and ventilation systems.
• EnerGuide for (New) Houses rating scheme was launched and has been chosen for inclusion in Built Green^TM Alberta and Manitoba Power Smart house initiatives.
• Successfully launched the Building Canada initiative, aimed at recruiting and training key, very large-volume builders to construct and EGH-label energy-efficient houses.

For more information:
oee.nrcan.gc.ca/r-2000/english/index.cfm

R-2000 is an official mark of Natural Resources Canada.

New Houses: Super E^TM Program

Objective: To build capacity for exporting energy-efficient, durable and environmentally friendly Canadian housing technology to foreign markets.

The Super E^TM House Program is a strategic housing export initiative delivered by NRCan as part of the Team Canada export strategy. The program adapts internationally leading Canadian energy efficiency standards to foreign markets and identifies appropriate technologies for them, to create unique market opportunities for Canadian housing technology companies. Launched in 1998, the Super E House Program has facilitated partnerships between Canadian builders and their foreign counterparts to increase market penetration of Canadian energy-efficient technologies internationally.

The Super E U.K. program is financed by the CANMET Energy Technology Centre (CETC), the Canada Mortgage and Housing Corporation (CMHC) and the Canadian Forest Service (CFS). The Super E Japanese program is financed by CETC and CMHC. In both cases, there is strong support from the Department of Foreign Affairs and International Trade (now divided into Foreign Affairs Canada and International Trade Canada). The Super E U.K. Industry Consortium now comprises 11 Canadian and 15 U.K./Irish companies, and the Super E Japan program comprises 13 Canadian companies and 25 Japanese partners.

The Super E U.K. program has registered 92 units completed, generating $9.2 million of revenue to Canadian companies with confirmed Super E orders of 43 additional units valuing at $4.3 million. The Super E Japan program has registered 91 units completed, generating $7 million of revenue to Canadian companies. In both countries, Super E is now established as high quality housing uniquely available from Canada and its exporters.

Key 2003-2004 Achievements

• Established a not-for-profit organization, the Energy Efficient Exporters Alliance, to administer and represent industry interests for the Super E House Program.
• Secured major funding until 2007 from the CFS through the Canada Wood Export Program to continue to promote and develop the market in the U.K. for Super E.
• Signed new Super E agreements and house openings in London, U.K., presided over by CMHC Secretary of State.
• Secured a Super E Project in China (by CMHC).

For more information:
nrcan.gc.ca/es/etb/cetc/cetc01/htmldocs/programs_bg_e.html

Super E is an official mark of Her Majesty the Queen in Right of Canada as represented by the Minister of Natural Resources.

Existing Houses: EnerGuide for Houses and Retrofit Incentives

Objective: To encourage Canadians to improve the energy efficiency of their homes.

EnerGuide for Houses (EGH) provides Canadian home-owners with personalized expert advice on how to best improve the energy performance of their houses, especially when undertaking renovation and maintenance projects. Under EGH, a retrofit incentive was officially launched in October 2003. Homeowners can now qualify for a non-taxable grant, which represents about 10 to 20 percent of their expenditures, when they retrofit their homes. The grant is based on the differential improvement in the house's energy rating, as measured by a pre- and post-renovation EGH energy evaluation.

Key 2003-2004 Achievements

• Over 48 000 houses evaluated and labelled.
• Issued 2145 grants, totalling $1.3 million. These grants were paid to homeowners between the October 2003 launch and the end of the fiscal year. Grants are currently being paid in under 60 days.
• Reduced energy consumption by between 20 and 38 percent in post-retrofit homes; grant recipients reduced carbon dioxide (CO₂) by an average of 4 tonnes per year, per house.

For more information:
oee.nrcan.gc.ca/houses-maisons/english/choice.cfm

Residential Equipment: Energy Efficiency Standards and Regulations

Objective: To eliminate the less energy-efficient models of energy-using equipment from the market through minimum performance regulations under the Energy Efficiency Act.

The Energy Efficiency Regulations incorporate national consensus performance standards that include testing procedures to determine the energy performance of the equipment. They prohibit imports of, or interprovincial trade in, prescribed products that fail to meet minimum energy-performance levels and labelling requirements.

Key 2003-2004 Achievements

• Pre-published eighth amendment to the Energy Efficiency Regulations to increase the minimum energy performance standards in the residential sector for clothes washers and gas-fired and electric storage water heaters. Estimated reductions in CO₂ emissions in the residential sector from this amendment are shown in Figure 4-10.
• The cumulative annual reductions in CO₂ emissions resulting from the aggregate energy savings attributable to the eighth amendment to the Energy Efficiency Regulations in the residential sector are estimated to be approximately 0.17 megatonnes in the year 2005 and 3.44 megatonnes in the year 2020.

For more information:
oee.nrcan.gc.ca/regulations

Residential Equipment: Labelling and Promotion

Objective: To promote the production, purchase and use of more energy-efficient equipment.

The Labelling and Promotion Initiative consists of labelling, rating and promotional activities that encourage manufacturers to produce, and consumers to purchase, more efficient energy-using equipment. The initiative consists of EnerGuide for Equipment, which provides comparative information on the energy performance of major household appliances as well as heating, ventilating and air-conditioning (HVAC) equipment, and the administration in Canada of the international ENERGY STAR^® label, which allows the consumer to identify the most energy-efficient products available based on a standard set of criteria. Activities range from ensuring that ENERGY STAR^® products are well-identified and available for Canadians to buy, to promoting the symbol in catalogues and Web sites, to developing specific initiatives around ENERGY STAR^® qualified products.

Key 2003-2004 Achievements

• Newspaper articles featuring EnerGuide had the second largest pick-up in national and community newspapers.
• Implemented Canada-specific ENERGY STAR^® criteria for windows and sliding glass doors sold in Canada.
• Recruited over 140 organizations to participate in and promote ENERGY STAR^® in Canada. Many retailers across Canada, including Sears Canada Inc., the Hudson's Bay Company and The Home Depot, Inc. have featured ENERGY STAR^® products in their flyers. Specifically, Home Depot has organized retail activities promoting its ENERGY STAR^® qualified products, entitled "EnergyWise – Au Courant."
• Use of the ENERGY STAR^® high efficiency levels by provinces and utilities as the qualifying level for rebates and incentives. Specifically, Saskatchewan and Ontario have used ENERGY STAR^® to qualify high efficiency appliances for provincial sales tax rebates.
• Many gas utilities – Terasen Inc. in British Columbia, SaskEnergy Incorporated in Saskatchewan, Union Gas Limited and Enbridge Gas Distribution in Ontario, Heritage Gas Limited in Nova Scotia and Enbridge Gas New Brunswick in New Brunswick – have specified the ENERGY STAR^® high efficiency level for incentives for gas furnaces and boilers. Climate Change Central in Alberta also used the ENERGY STAR^® levels to qualify for rebates on high efficiency gas furnaces and boilers. In all, approximately 18 000 new gas furnaces and boilers qualifying for ENERGY STAR^® have included incentives or rebates from these programs across Canada. Projects with Terasen and Union Gas have additionally included a rebate to encourage the installation of high efficiency gas furnaces with variable speed, high efficiency fan motors, which addresses the electricity consumption portion of these appliances. SaskEnergy has set up an ENERGY STAR® Loan Program where consumers who purchase ENERGY STAR^® qualified gas heating systems would get zero percent financing. The province of New Brunswick announced that government procurement practices include specifying ENERGY STAR^® qualified products where feasible and practical.

For more information:
energuide.gc.ca
or
oee.nrcan.gc.ca/equipment/
or
energystar.gc.ca

Residential Equipment: Housing Energy Technology Program

Objective: To accelerate the development and market adoption of energy-efficient housing technologies.

Working in partnership with associations, government and industry, the CANMET Energy Technology Centre (CETC) manages this program to develop and deploy highly specialized solutions that help reduce, in a cost-effective manner, the energy consumption and GHG emissions of Canadian houses. Progress to date includes the identification, accelerated development and broader deployment of a number of promising technologies, such as advanced integrated mechanical systems (now trademarked eKOCOMFORT^TM) and electronically commutated motors.

In whole house design, the development and technical support of the R-2000 Standard has led to extensive technology development and deployment throughout the housing sector. Through its associated Building Energy Simulation Program, CETC's software tools are widely used to assess the energy use in a home. CETC also develops more energy-efficient frames for windows and is a lead managing agency for the Canadian Centre for Housing Technology (CCHT), an advanced testing facility for assessing whole-house impacts of emerging technologies.

Key 2003-2004 Achievements

• Signed an agreement with a leading Canadian fuel cell developer to test a beta residential fuel cell in a joint project at CCHT. This will be the first residential fuel cell installation in Canada.
• Tested and assessed a distributed generation combined heat and power (CHP) system based on a Stirling engine that was integrated into the heating and electrical systems at CCHT. The system showed good potential for Canadian housing and will be further investigated in 2004-2005.
• Continued to work with the Canadian Standards Association (CSA) to develop a new residential integrated mechanical systems standard based on the test protocol developed by CETC for the eKOCOMFORT consortium. The Standard will enable the efficiency of integrated products to be recognized and certified.

For more information:
nrcan.gc.ca/es/etb/cetc/cetc01/htmldocs/programs_bg_e.html

eKOCOMFORT is a Trademark of Her Majesty the Queen in Right of Canada as represented by the Minister of Natural Resources.