This blog provides an overview of the changes made to the 2023 GRESB Real Estate Reference Guide. For more information on ESG and GRESB, please visit the previous blog “How can NGBS Green Bolster Your ESG Efforts?”
Each year, the GRESB Foundation makes changes to the annual Real Estate Reference Guide based on priority topics identified and input received from GRESB members. The GRESB portal opens on April 1st of each year, shortly after the annual reference guide is released. GRESB participants have until July 1st to submit their ESG data and their responses to the GRESB Reference Guide. Benchmark results and scores are available on October 1st.
For the 2023 GRESB Real Estate Reference Guide, three main priority topics were identified and incorporated in the general changes: Net Zero Energy; DEI (Diversity, Equity, and Inclusion); and Embodied Carbon. Since the Net Zero Energy changes align closely with NGBS Green Certifications, specifically the NGBS Green +NET ZERO ENERGY certification, this blog will only provide an overview of the Net Zero Energy changes.
In the 2022 GRESB Reference Guide, Net Zero was incorporated in only one indicator, DEN2.2 Net Zero Carbon Design and Standards. The 2023 GRESB Reference Guide incorporated Net Zero additions to three key sections: (1) Policy; (2) Commitments; and (3) Targets. The specific changes can be found below:
1. Change to GRESB Indicator: PO1 Policy on Environmental Issues
The first major change was for indicator PO1. The question “Does the entity have a policy to address Net Zero?” was added as a new section in the response options. This new question is worth 1/3 of the points for indicator PO1, or 0.5 overall.
2. Change to GRESB Indicator: LE1 ESG Leadership Commitments
The second major change was for indicator LE1. An entire sub-section called “Net Zero Commitments” was added and lists many different frameworks that address achieving Net Zero Energy. This indicator is not scored and used only for reporting purposes.
3. Change to GRESB Indicator: T1.2 Net Zero Targets(s)
The third major Net Zero change was to indicator T1.2. This change allows participants to report their specific GHG reduction targets and record if they are aligned with Net Zero Energy. A new table was created for this indicator that asks participants for specific information on their reduction targets, see above. This indicator is not scored for points.
Using NGBS Green+ NET ZERO ENERGY
The NGBS Green+ NET ZERO ENERGY certification can validate your energy efficiency and renewable energy goals and help you gain two points within the GRESB Scoring Document.
As outlined in the NGBS-GRESB Crosswalk, receiving the NGBS Green+ NET ZERO ENERGY certification can fulfill GRESB indicator DEN2.2 Net Zero Carbon Design and Standards. It can also help builders and developers with the new Net Zero Energy additions to the 2023 GRESB Reference Guide. These indicators cannot be fulfilled solely by the NGBS Green + NET ZERO ENERGY certification but it can supplement company’s Net Zero policies and commitments. Companies can use the certification as third-party verification of their Net Zero commitments and adherence to their targets.
To learn more about the NGBS Green + NET ZERO ENERGY Certification, see the NGBS Green+ Compliance Handbook.
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