JANUARY 2010

w w w.mgbc.org.my
warta MGBC
M alaysia Green Building Confederation
WMGBC 0001/01/2010
events >>

FEBRUARY
editorial >>
Repeat Session-
Incentives & Benefits Going
Green By GBIsb
A NEW GREEN RENAISSANCE
10 Febuary 2010
Wednesday 3pm - 5.30pm
Function Room, PAM Centre With the coming of the year 2010 and the year of the Tiger , it is only apt
that we launch our newsletter to mark the new beginning for Malaysia
Repeat Session- Green Building Confederation (MGBC). As you may well know MGBC is
Incentives & Benefits Going Malaysia’s own Green Building Organisation which is a part of the World
Green By GBIsb Green Building Council (WorldGBC), which we hope to join the ranks of
24 Febuary 2010 Wednesday others such established GBCs such as the USGBC, UKGBC, GBCA and
3pm - 5.30pm Function Room, such.
PAM Centre
Though 2010 , in the global context, opened to the lack lustre
MARCH performance of the Copenhagen 2010 Climate Change Summit
(COP10) and divided support from the world leaders but Malaysia has
MGBC 2010 witnessed our Prime Minister made pledges for credible cuts to our
Annual General Meeting Carbon emissions. A truly brave and hopeful gesture among the nations
6 March 2010 of the World. With buildings and construction contributing approximately
Saturday 9 am - 12.30pm 40% of our carbon emissions it is very timely that we have launched
Sime Darby Convention Centre, Malaysia’s own Green Building rating tool in 2009. Following this impetus
Bukit Kiara, KL. there is a huge momentum for the launch of the MGBC in March of this
year.
MGBC Official Launch
10 March 2010 You too can support MGBC by participating in the organisation. Warta
Wednesday 9 am - 12.30pm
MGBC welcomes contribution from members who would like to share
Sime Darby Convention Centre,
Bukit Kiara, KL. their writings in the form of articles and research papers. We hope that
many more will support the green building effort in Malaysia and bring
Repeat Session- about a new green renaissance.
Incentives & Benefits Going
Green By GBIsb AR SARLY ADRE SARKUM
10 March 2010 Chief Editor &
Wednesday 3pm - 5.30pm Chairman of Marketing Media and Publishing Committee
Function Room, PAM Centre

Repeat Session-
Incentives & Benefits Going membership >>
Green By GBIsb
24 March 2010 As of 30th January 2010, MGBC member breakdown is as follows:
Wednesday 3pm - 5.30pm
Function Room, PAM Centre Professional Members - 67
Corporate Members - 35
Associate Members - 7
Academic Members - 5
Institutional Confederation Partners - 7
Industry Confederation Partners - 14
Student Members - 1
warta MGBC - January 2010 - page 1
Article >>
GREEN BUILDING PROJECTS –
WHAT FEES TO CHARGE FOR GBI SERVICES?
IR. CHEN THIAM LEONG

they are increasing in numbers) deteriorated to ‘bread and butter’

will appreciate paying a fee or ‘cut and paste’ outputs.
commensurate with the expertise
and service rendered. Others The need for the industry to wake
(which unfortunately comprise the up to a new mindset is absolutely
majority) will likely opt for green- crucial if we want to realize our
washing as all they are interested green building agenda. The GBI
in, is chasing for green points so has been conceived to address
that their projects are perceived prevalent local bad habits by
not to be left behind (and more requiring Commissioning Specialists
importantly qualify for the 10th MP to provide Enhanced and Post
Introduction Incentive scheme). This sad state Commissioning services, conduct
of affair is of course a two-way Verification of Performance, and
One of the most persistently asked shortcoming, duly abetted by those plan for Sustainable Maintenance
questions by GBI Facilitators (during professionals who are in the game - without which EE and truly Green
their 3-day training workshop) has for its financial returns only, with Buildings will not materialize. It is
always been – What fees to charge professionalism (and passion) a very time for the professionals to say
for GBI building projects? distant second. As for government NO if they are not going to be
agencies that pay the full fees remunerated for the additional
The GBI Accreditation Panel but fail to receive the full service services to be rendered and which
(GBIAP), had at the onset of - the problem of its mismatched will benefit the project immensely.
developing the GBI, preferred procurement policy is another story Developers who are unwilling to
not to set any scale of fees for for some other time. pay have the option of continuing
rendering GBI Facilitator services to build their preferred low quality
but rather to let the market find its development.
own level. After all, LEED and Green You do have a choice
Mark systems have already come
ashore and the respective fees for Since the launch of GBI in May Be competitive and profitable
LEED Accredited Professional and 2009, the author has received
Green Mark Manager services are numerous cynical feedbacks that Meanwhile, how can design firms
also left to the market forces. the introduction of GBI has caused make green design profitable in
consultants to do extra work with an extremely competitive market?
However, following relentless no additional remuneration. The Green building projects can
requests, GBIAP had advised claim that certain developers generate additional revenue and
that as a broad guide, the GBI forced them to do it and they have incomes if firms are willing to adapt.
Facilitator (GBIF) fees would be no choice, is akin to the failure One key to profitability is to know
about 10 times the GBI registration of Energy Efficient (EE) designs to how to set fees for green projects.
fees depending on the project take off hitherto, when engineering
size and rating level sought. consultant’s fees are based on a Fee arrangements for green
That this guide will probably be percentage of the engineering build¬ing projects recognize
superfluous knowing the attitude of installation costs where the more the shift, for example, of the
(majority) local developers should you do will mean the less you get. M&E engineer’s role as part of
not be surprising. It is no secret The simple examples would be an integrated design team. This
that local developers had never designing for natural ventilation higher degree of integration during
subscribed to the mandatory scale or natural lighting where the M&E the con¬ceptual design stage
of fees imposed by the respective consultant gets no fees (or reduced demands active involvement from
Professional Boards. Therefore, fees). That EE designs have not all participants. The challenge for
the reality would be that they been promoted is therefore not M&E design firms is to maintain full
will continue to pay peanuts for surprising due to the disincentive participation from the architect,
monkeys whenever they can. to spend on time consuming EE owner, and others and still remain
Only the serious developers (and designs. Thus over the years, the profitable.
majority of our local designs have

page 2 - warta MGBC - January 2010

As the green building industry design team is experienced with Project Understanding
rap¬idly moves towards the green buildings then the GBIF
mainstream of design, the fees can correspondingly be The first step in evaluating an
challenge for firms not currently lowered. It must be appreciated op¬portunity is to conduct a basic
involved in designing green that proper and full GBIF services go/no-go decision process. Factors
buildings is to adapt to maintain commence at the onset of design such as the relationship with the
market share. Firms need to gain through construction (during which client, market sector and workload
the experience and expertise to stringent monitoring is required) are elements considered. Try to
contribute to efficiently design right till 12 months after the project work with design teams that have
green buildings. A consultant with completion, to provide verification demonstrated an ability to be
a demon¬strated expertise in for final GBI certification. efficient and hence, profitable
green design often will receive the in traditional and green projects.
commission based on the value Therefore, contrary to certain Endeavour to work repeatedly
brought to the team. naïve comments from the market, with the same team so that as the
it is not a simple ‘non technical’ number of completed projects
To overcome the modus operandi administrative service. Of course, increase, the whole team becomes
of the local consulting practice, similar to conventional consultancy more efficient and profitable.
it will be prudent to provide services, the range of GBIF expertise
GBI Facilitator (GBIF) services can also vary substantially, and it Green design for some types of
separately from the conventional is for the discerning developers to proj¬ects may present particular
M&E scope (or architectural choose smartly and in accordance challenges. Institutional projects
scope depending on who wants with their affordability and/or generally are the easiest to design
to provide GBIF services). If the priority. green because the own¬ers

Table 1: Recommended GBIF Scale of Fees (New Construction)

Notes
Recommended Fees exclude Optional Services such as;

1) Commissioning Specialist services at onset of project until GBI Verification Assessment;

2) Post Occupancy verification and re-commissioning to suit tenancy fit-outs;
3) Detail energy modelling based on dynamic hourly analysis for GBI Gold and Platinum;
4) Daylight simulation modelling;
5) CFD modeling

In a nut shell, the above tabulated fees are applicable to provision of basic GBIF services for;

OTTV and RTTV analysis

Static Energy Analysis
Running Charettes (limited to 3 sessions)
Develop design with design team and advice on ‘green’ costs
2 reports, one for each stage (concept and detail design)
Review of tender design and documentation
Site briefing, documentation and monitoring
Building User Manual Documentation
Buiding occupant survey
All works pertaining to submission to GBI
warta MGBC - January 2010 - page 3
invariably consider the big picture high performance envelope will
through life-cycle analysis. Market Institutional (and hopefully in future, yield a building with significantly
driven projects are generally the governmental) clients often dictate smaller mechanical/electrical
most challenging because the green build¬ing certification for systems than conventional designs.
bud¬gets are set razor thin and their projects. Owners strongly The mechanical/electrical cost
additional construction funds committed to the process or those savings are transferred into the
required for green features that who have previously developed high performance envelope and
increase quality, are often a green buildings understand that passive environmental systems. It
struggle to obtain. full fees and the provision of key is hence, not uncommon in green
additional services (including GBIF) buildings for HVAC initial costs to be
Projects with short design time are required to ensure success. reduced by as much as 30% to 40%
frames such as design-build projects of conventional systems and for
or developer driven commercial Beware of architects and the buildings to consume half the
projects complicate the integrated consultants chasing green projects energy of their con¬temporaries.
design process. Projects with with cut-rate fees, as you may get Basing fees on projected or actual
compressed design cycles tend to dragged into a low fee project M&E construction costs cannot
have decisions based on first cost unwittingly. Only reduce fees support the level of design effort
rather than long-term value. Fees with good justification such as a to attain these results. It is strongly
should allow for additional life cycle reduction in scope (but which must encouraged that M&E fees be
costing exercises to justify green be within the realm of the law). A based on the total construction
choices. knowledgeable client or owner cost for green buildings and even
recognizes that teams require for conventional buildings.
reasonable fees to deliver high
Experienced / Inexperienced value. Apart from the ‘unreasonable’
Design Team Members owner, inexperienced architects
may also ask or expect an
The architect’s green design Setting the Fee experienced M&E consultant
experience (or the lack of) impacts to help lead the team along
the level of effort to reach the For the M&E consultant, the most the sustainable design path
final design. Experienced green important principle in setting his and possibly even facilitate
architects know many of the viable design fees for green buildings (and the GBI charrettes. Under such
green strategies for particular most would argue for conventional circumstances, the M&E consultant
building types and avoid common projects as well) is not to base should learn to say NO and
mistakes that can cause delays the fee on the M&E construction suggest for a GBIF to be appointed
when examining options. If the cost. This is because, energy separately.
architect is inexperienced, then modeling input (additionally carried
the GBIF (together with other out by the GBIF) early during With the GBI offering credit points
design team members) will have the concept and sche¬matic for a Commissioning Specialist,
to provide a higher degree of design process, optimal building there will likely be debate as to
leadership. massing and orienta¬tion, and a who should do this enhanced
commissioning scope. For those
consultants that market this service,
it is a valuable source of revenue
and an excellent way to cement
a permanent relationship with
the owner. Align your scope of
work with the owner’s wish and
certification requirements and
determine the effort involved.

Example

A good way to illustrate how to

charge for GBIF services is by an
example. Some consultants (or
owners) may feel that some of
the ser¬vices highlighted in the
example as additional services
should be part of the base M&E
fees. If this is the case, then the M&E
Above: Actual GBI Plaque for certified buildings fees should certainly be increased

page 4 - warta MGBC - January 2010

to include them. It is important to advise on construction methods in If GBI Gold or Platinum is targeted,
make sure that the services are line with GBI requirements. Monitor then Dynamic Energy simulation
identified and covered by the fees. construction site activities and needs to be conducted and are
document for compliance with GBI. separately chargeable at up to
The project is a high rise office Assist and Advise on Testing and RM50,000 per simulation. Should
tower with a GFA (excluding Commissioning needs. Lead credit points for Commissioning
car park) of 45,000 m2. The GBI Design Team to prepare Building Specialist be desired, such an
registration fee is RM32,000 (Note User Manual for GBI Completion appointment shall be separate
that this fee is inclusive of Design Assessment. Upon completion with additional fee in the range
Assessment and Completion & of construction, lead Design of RM200,000 to RM300,000
Verification Assessment by the Team and Contractor to prepare depending on the experience of
GBI Certifier). The approximate submittals for GBI Certifier to the Design Team members and the
construction cost is RM120m. conduct Completion Assessment. full scope of works.

GBI Completion & Verification

GBI Facilitator Scope of Services: Assessment (CVA) Conclusion
Within 12 months after Completion
or upon 50% tenancy occupation, It is the author’s fervent hope
Charrettes whichever is the earlier, lead that those opting to provide GBIF
Provide facilitation of three Design Team to collate all Energy services will do so professionally,
sustainable design charrettes, consumption records and conduct and not go fee-washing with
(involving at least 2 staff). Tenant Comfort Survey, for green-washing deliverables.
The number of charrettes can vary submission to GBI Certifier to verify Deal with serious building owners
from project to project. Multiple building performance for issuance who appreciate the value for
charrettes are common with of final GBI certification. money to engage GBIF services.
institutional clients. Collectively and in general, the
GBI Appeal Application professionals have short-changed
Basic Building Envelope Analysis If the provisional GBI rating or themselves in the past, opting to
and BEI calculations final GBI rating accorded is not give fee discounts rather than
Conduct preliminary energy satisfactory, and the owner wish to provide better valued services. It is
studies that include shape analysis, file an appeal, then lead the Design time we change our mindset and
building orientation, envelope Team to document the justification help ourselves to do justice to our
optimization and system selection of the appeal. professionalism.
with simple life-cycle analysis on
limited options. The basic energy Proposed GBIF Fees Acknowledgement
analysis generally is whole building The proposed fees would be in the
analysis but with a large number of range of RM300,000 to RM350,000 This article incorporates extensively,
general assumptions. It determines (refer Tables 1 & 2) depending on contents from the paper on “Setting
building energy use of various the green experience of the Design Fees for Profitable Green Building
Projects” by Tim McGinn, P.Eng.,
system or envelope components Team members and the level of GBI
Member ASHRAE
using parametric analysis so that rating desired.
individual components can be
optimized. Use manual calculations
or static simulation software for
GBI Certified or Silver rating, and
separate subsequent dynamic
simulation software for GBI Gold or
Platinum rating.

GBI Design Assessment (DA)

Lead Design Team in submission to
GBI to for GBI Design Assessment
to obtain provisional GBI rating,
including presentation and
attending review sessions with the
designated GBI Certifier.

GBI Construction Monitoring

Assist Design Team to brief
Construction Team on GBI
rating requirements during the
construction process. Assist and Above: The GEO building, certified under GBI on 24th July 2009.

warta MGBC - January 2010 - page 5

Annoucement >>

page 6 - warta MGBC - January 2010