Defining ‘Extraction’ in LEED v4

by Jonathan McGaha | September 1, 2014 12:00 am

This month, I received a great question from one of our readers who explained that his company is trying to be a responsible member of the supply chain by updating a number of internal policies and documents to ensure maximization of the organization’s LEED contribution. However, they are struggling to define some of the terminology used in LEED v4, especially when it comes to extraction.

His question is: “I was wondering if you could steer me in the right direction or provide guidance as to where I may be able to go to seek clarity on the definition of extraction, and how it relates to steel product manufacturing?”

LEED v4 is very new, so there is not a lot of precedent out there to base an answer. A qualified answer is the best we can offer in this situation. The LEED reference guide is always the first and the best place to go to find information regarding definitions and the use of terms. The LEED reference guide does provide some guidance in this particular situation. There have also been LEED Interpretations written addressing the issue of extraction point.

Extraction Point

The term extraction is used to define or locate where the raw goods used to produce a product come from. Ideally, you could track the origins of your materials used on a project all the way back to their sources. However, seldom are projects ideal. In most cases, a team must rely on the information provided from manufacturers within their supply chain. This is why the definition of extraction point for a product that has multiple steps within the manufacturing process can become confusing.

I find the most effective way to examine this situation is with an example. Let’s say I am working on a project located in St. Louis. A portion of the contract will be used to furnish and install lightweight structural steel, and I place my order with a local fabricator in Washington Park, Ill. The steel fabricator (my supplier) purchases its raw steel shapes from a mini-mill located in Warrenton, Mo. The mini-mill uses scrap metal from a variety of sources as the raw material for melting and forming the structural members. The fabricator is located 15 miles from my project, and the mini-mill is located 45 miles from the fabricator.

In this case, the extraction point (one step back from the fabricator) is within the allotted distance, so this product has been extracted, manufactured and used on all project components within 100 miles of each other. Now, let’s say that the steel package is worth $10,000 (material only, no labor to unload or erect). When calculating for LEED, the contribution would be
$20,000 or two times the value of the steel.

If any of these locations were outside the specified distance, then the individual component costs would be examined, and from there, the extraction point for each component would be calculated. Once the cost, extraction and manufacturing point for each component are known, the contribution of the product in total can be calculated.

So, where is the extraction point defined by LEED in this example? Well, it depends on who is looking to document the credit.

As another example, a contractor is required to furnish and install miscellaneous metals and buys material from a fabricator performing rollforming. The fabricator purchases raw coil from an offshore manufacturer. That offshore manufacturer has its own mini-mill, and can purchase scrap from various sources.

If the contractor is documenting the credit, he looks back one step past his purchase. The order would go contractor to fabricator to coatings specialist to coil manufacturer and finally, to mini-mill. In the case above, the contractor would ask the fabricator where the product was extracted and would go one step back, which would be the coatings specialist of the uncoated raw coil. One step back from the fabricator who rollforms would be the entity responsible for furnishing the raw steel coil to the coatings specialist.

If the supplier responsible for coating the raw steel was asked to document the credit, he or she would need to go back a step in the material chain-to the manufacturer who made the coil. That manufacturer would need to know where its scrap came from. Since they cannot identify all the various locations where the scrap was generated, it would be unlikely that you would be able to document the credit. Even if the mini-mill could identify where the scrap came from, the location is offshore so the material cost would not apply as a contribution, which means you still have to include the cost of this material in your LEED calculations.

I have been involved in two projects where we have used the definition of extraction point to be one step back from the manufacturer. This definition is also supported by LEED Interpretation, which you can find if you are a member of a team that is seeking certification for a project.

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Thomas Taylor, a 30-year veteran of the construction industry and noted expert on sustainability, is the general manager of St. Louis-based Vertegy. His book, “Guide to LEED 2009: Estimating and Preconstruction Strategies,” provides step-by-step information about the LEED 2009 for New Construction process. To learn more about Vertegy or Thomas’ book, visit www.vertegyconsultants.com[1] for more information.

Source URL: https://www.metalarchitecture.com/articles/defining-extraction-in-leed-v4/

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