Delaware EEAC Goal Setting and Program Development Process EEAC - PowerPoint PPT Presentation

Delaware EEAC Goal Setting and Program Development Process EEAC Council Meeting – March 11, 2015

Electric Savings Trajectory Comparison Electric Program Savings 3.0% 2.5% 2.0% Percent of Retail Sales 1.5% 1.0% 0.5% 0.0% Baseline PY 1 PY2 PY3 PY4 PY5 PY6 Delaware Rhode Island Massachusetts 2

Gas Program Savings Trajectory Comparison Gas Program Savings 1.4% 1.2% 1.0% Percent of Retail Sales 0.8% 0.6% 0.4% 0.2% 0.0% Baseline PY 1 PY2 PY3 PY4 PY5 PY6 Delaware Rhode Island Massachusetts 3

Considerations in Setting Goals Initially framed and negotiated as relative savings – savings as percentage of retail sales Savings percentages translated to AEP-specific goals in physical energy units – kWh, therms Other goals may be desirable – Lifetime savings, rather than annual – Dollar benefits, the economic value of the savings – Net benefits, the economic value net of program costs Goals can be framed as individual annual goals and a three- year cumulative goal 4

Evolution of Potential Portfolio Program Mix At 0.4% of At 1.4% of retail load retail load 5

Program Candidates Received - Residential Market Residential Program Candidates Description segment   New Green 4 Green Performance-based rebate program payable to Construction participating builders   Home Energy Home Performance with Energy Existing home audit and direct install measures; Star rebates and financing for weatherization measures Services   Home Performance w/ E* - Same as above with income eligibility requirement Moderate Income  Existing home energy survey and direct install  Quick Home Energy Checkup program, customer education   Multiple Family Housing Incentive Prescriptive and custom rebate option for owners; Multifamily customer education for occupants  Quick Home Energy Checkup –  multifamily units Existing rental unit direct install program, customer education   Residential Lighting and Appliance Rebates Point-of-purchase rebates (instant rebates and/or Products buydowns)  Residential Appliance Recycling  Rebates for pick-up/recycling of second Refrigerators/freezers   Multiple Family Housing Incentive Prescriptive and custom rebate option for owners; Low Income customer education for occupants Services  Community-Based Quick Energy  Audit / Home Energy Advisor Existing home energy survey and direct install program, customer education – Low & moderate  Smart Energy Neighborhood income neighborhoods Centers concept  Central coordination of outreach and delivery of  Low-income rebates/grant community-based energy services  Supplement to efforts of entities delivering federal DOE WAP and LIHEAP Weatherization services   Behavioral Behavioral savings program Customer bill insert messaging 6

Program Candidates Received - C&I Market C&I Program Candidates Description segment   Prescriptive/Custom incentive Design support and incentives for new construction C&I Lost program and renovation in commercial, industrial and Opportunity institutional buildings   Energy Assessments for Non- Subsidized energy audits providing recommended Small Business profits, business, and local ECMs, estimate cost/savings and payback periods Retrofit  governments Energy audit and direct install for targeted small  Small Business Energy Solutions businesses   Energy Efficiency Investment Prescriptive/Custom incentive program also applies  Fund Targeted audits, education, grants and financing for  Faith Efficiencies Program – Audit houses of worship & Education Programs for Houses of Worship   Prescriptive/Custom incentive Technical assistance and rebates for energy Large Business program upgrades Retrofit   Energy Assessments for non- Subsidized energy audits providing recommended profits, business, and local ECMs, estimate cost/savings and payback periods  governments Low/no cost optimization of operating  Retro-commissioning program equipment/systems   Energy Efficiency Investment Prescriptive/Custom incentive program  Fund Dedicated outreach and service coordination support  Account management services for for businesses large commercial and industrial customers 7

Summary and Next Steps Proposed savings goals are feasible and cost-effective Programs suggested by stakeholders and Consultants represent a comprehensive portfolio Several programs can be implemented in the near-term to begin progress towards goals Come to agreement on goals Select initial set of programs and delivery method Develop program budgets to achieve goals with selected programs 8

Mike Guerard and Eric Belliveau Optimal Energy, Inc. 10600 Route 116, Suite 3 Hinesburg, VT 05461 802-482-5600