The data was part of a report to CalPERS' investment committee that summarized all of the pension fund's environmental initiatives, which cover not only real estate but also private equity, public companies and inflation-linked asset groups. "This assessment shows initial signs of real progress," said George Diehr, Chair of the Investment Committee.

Compared with 2006, the CalPERS Energy Efficiency Plan showed the reduction in electricity and natural gas based on its core investment partners' response to a survey. CalPERS' environmental plan was set up in 2005 and is designed to reduce energy use by 20% by 2009, while also achieving risk-adjusted returns.

CalPERS says its partners adopted such conservation measures as the installation of low-flow or sensor-operated fixtures, recycling programs, and mitigating and treating storm water runoff. One partner, the Hines Green Development fund, created in 2006 with CalPERS' $225-million equity commitment, now has about $725 million in gross assets for development projects that involve high performance sustainable office buildings.