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Improving operating efficiencies

Getting the best out of a property portfolio includes finding ways to effectively reduce operating costs and energy use, while maintaining agreed service levels.

Collecting performance and cost data

Establish a base of information for each site within the agency’s property portfolio, defining:

  • what service providers are doing on each site
  • how often they are doing it, and
  • what it costs.

Use this information, along with data related to the cost of maintaining and operating facilities, to build an overview of where cost efficiencies could be improved.

Facilities management planning

 

You can use the Government Property Portal to log and track corrective and preventative maintenance requirements.

Government Property Portal

Using All-of-Government contracts

We strongly recommend using any All-of-Government or Common Capability contracts that are available for the services required. These have been set up to ensure cost savings across government.

Property contracts – New Zealand Government Procurement and Property

Property procurement

Managing contractors

Ensure all facilities management contractors are appropriately performance managed against agreed key performance indicators.

We recommend using a common methodology for scoring essential areas, including:

  • competency
  • insurance
  • safeguarding
  • solvency
  • health and safety
  • sustainability
  • performance.

Outsourcing facilities management services

Managing energy consumption

Cabinet expects agencies to adopt cost effective options for managing and reducing their energy consumption.

To do this, you'll need a clear understanding of the current energy use at each tenancy.

Collect data

For each tenancy site your agency uses:

  • establish energy use in both consumption and dollar terms for the past 12 months
  • where cost effective, complete site audits to identify and document the services, activities and equipment that contribute to energy consumption
  • audit invoices to confirm that tariffs, charges, etc are correct
  • use All-of-Government contracts where available, or aim to transition to them when possible.

Electricity contract – New Zealand Government Procurement

Reticulated gas contract – New Zealand Government Procurement

Check metering

Ensure site metering is correct. Metering should reflect the size and expected tenancy of a site, with the flexibility for separate future floor-by-floor tenancies.

For a standalone tenancy, the electricity should all be powered through a single meter. The one meter should be a time-of-use meter, that can analyse:

  • half hourly power use, and
  • downstream (where the electricity is going to).

For multi-tenanted buildings there should be:

  • one time-of-use meter ‘at the gate’ that all tenants can access data from
  • one downstream time-of-use meter for central power, and
  • one downstream check meter for each floor (either a time-of-use meter or a non-time-of-use meter).

Where there are multiple tenancies per floor or the tenancy has its own HVAC units, further sub-metering may be needed. NABERSNZ (The National Australian Built Environment Rating System as adapted for New Zealand) has more guidance on what metering you might need for your situation.

Rules and documents for Accredited Assessors – NABERSNZ

Develop an action plan

Using the data you've gathered, develop a plan of actions to take to reduce energy use.

Assign responsibility for the plan and reporting to an appropriate member of staff. If multiple sites are involved, energy usage accountability should be managed centrally.

Communicate the situation to all staff – outline the agreed strategies and how staff will need to use the space, expected outcomes and how their efforts will contribute to these outcomes.

Provide an annual report back to senior managers updating them on progress across the portfolio. This report should highlight individual performance across all sites.

For more detailed information about improving the energy efficiency of buildings and getting a NABERSNZ rating, read our information on energy efficient buildings.

Energy efficiency standards

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