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HomeMy WebLinkAbout13 Energy Savings Agenda Item # 13 Pub i Utility District rn WORKSHOP To: Board of Directors From: Steven Poncelet Date: March 17, 2010 Subject: Discussion of the Progress in Energy Savings 1. WHY THIS MATTER IS BEFORE THE BOARD The Board plays a key role in the District's conservation and energy efficiency programs through goal setting, budgetary approval, and critical feedback on the programs. This item is an informational review of the District's 2009 Evaluation, Measurement, & Verification (EM&V) results. 2. HISTORY The District continues to make significant investments in the Conservation Department and our energy efficiency programs and remains a leader in energy efficiency program results. As part of the District's regulatory reporting through the Northern California Power Agency (NCPA), the Conservation Department is required to perform an EM&V study on the FY09 energy efficiency program results and to project results for FY10. The District's results are then aggregated with all of public power in California into one report submitted jointly with the California Municipal Utilities Association (CMUA). This consolidated report is due each year on March 15th. 3. NEW INFORMATION The EM&V report for FY09 program results, the FY10 program projections, and an executive summary have been completed and submitted to NCPA as part of our California Energy Commission (CEC) SB1037/AB2021 reporting requirements. The executive summary is included as Attachment 1 and gives the overall results of the District's energy efficiency programs, a description of our current key activities, and a summary of the District's program offerings. NCPA is compiling this information, along with information from all of the Publicly Owned Utilities (POU's), into a final report that is due to the CEC on March 15th. Final FY09 results for the Conservation Department include spending -4.5% of retail sales on public benefit and energy efficiency programs resulting in first-year reduced energy usage of almost 2.5% for the FY09 programs (first-year net annual kWh savings of 3,575,636 kWh, net life cycle kWh savings of 34,528,706 kWh, net peak kW savings of 898 kW, and a TRC of 5.06). To put these results in perspective, the District is in the top five of all electric utilities in California when measured by percent load reduction and for cost-effectiveness of programs. When the life cycle energy savings are divided by the FY09 cost to the District to deliver these programs (direct measure costs plus fully loaded labor), the result is a cost to the customer of 1.9 cents/kWh (which is a fraction of the District's purchase power costs and over 80% lower than the cost to the customer to use energy). A review of the FY09 EM&V results gives the Board an opportunity to evaluate the design, implementation, and cost effectiveness of the Conservation Department's energy efficiency programs. 4. FISCAL IMPACT There is no fiscal impact associated with this workshop item. 5. RECOMMENDATION Receive this report and provide comment and direction. Steven F�oncelet Michael D. Holley Public Information & Conservation Manager General Manager Attachment 1 TRUCKEE DONNER PUBLIC UTILITY DISTRICT Public Utility District • Established in 1927 • 13,154 customers,88 percent are residential • TDPUD projects an average growth rate of 1 percent per year,for the next 10 years • 2009 Peak demand—35.9 megawatts(winter peaking) • 2009 Energy Use—146.9 gigawatt-hours TDPUD Energy Efficiency Program Highlights • In 2009,the Truckee Donner Public Utility District(TDPUD)continued to make significant investments in our Public Benefits and energy efficiency programs. This includes increasing Public Benefit and energy efficiency spending to—4.5%of gross electric sales in calendar year 2009 with a calendar year 2010 budget of—4.5%of gross electric sales. In 2009,the TDPUD's energy efficiency results included a first year energy savings of almost 2.5%of gross electric sales with a TRC of over 5. • In 2009,the TDPUD developed 7 new energy efficiency programs (for a total of 16)that expanded our offerings to businesses and income qualified customers and continued to serve our residential base. The TDPUD targeted the most cost-effective programs and partnered with local agencies, businesses,and community groups to effectively implement programs. The TDPUD is seeing increasing acceptance of the economic and community benefits of energy efficiency investments. • The economic crisis during 2009 had a major impact on our energy efficiency programs as customers struggled to make ends meet. On the positive side,the TDPUD's 'save energy,save money' message had much more traction with our customers. However,the customer's ability to make the investments necessary to implement cost effective energy efficiency projects was diminished. This was particularly true with our commercial and small business customers. To address this,the TDPUD focused on direct-install and give-a-way programs. The American Recovery and Reinvestment Act of 2009(ARRA)was one opportunity to address the economic crisis but, due to the design and implementation of the stimulus money,the TDPUD was precluded from participating in a meaningful way. This was due to the fact that the majority of the money was distributed to cities and counties(of which the TDPUD is neither)and the competitive opportunities through the California Energy Commission's State Energy Program and the Department of Energy were not designed for smaller utilities grant applications. • The TDPUD updated our 10-year energy efficiency targets in early 2010 as part of the SB1037/AB 2021 requirement. For the period from 2011 through 2020,the new energy savings target is: 19,880 MWh (-1.1% per year). This is a significant increase from the first energy 190 savings targets, established in 2007,of 10,1014MWh (^.67%per year). The new aggressive targets take into account the TDPUD's strong past energy efficiency results. However,the new targets also recognize that past results were heavily influenced by lighting programs which the TDPUD is beginning to saturate and which, unfortunately, are being unfairly discounted by the regulatory bodies. 2009 Highlights Include: • Implemented programs with the potential to reduce electric usage by almost 2.5% in the first year. The District was able to achieve this performance through a combination of cost-effective measures(mostly lighting), effective program management, and leveraging the District's position within the community. • Created an Evaluation, Measurement, &Verification (EM&V) Plan for calendar year 2009 programs and completed the final EM&V report within 2-months of calendar year 2009 end. The EM&V report concluded: Net Annual kWh Savings of 3,575,636 kWh, Net Lifecycle kWh Savings of 34,528,706 kWh, Net Peak kW Savings of 898 kW,and a TRC of 5.06. • Effectively delivered programs for a cost of less than one quarter of the District's power purchase costs and a fraction of the customer's rate. • Developed a new income qualified program, Energy Saving Program (ESP),targeting residential energy efficiency and weatherization measures. This innovative new program provided a one- time bill credit for the customers largest bill in the last 12-months (up to$200) but also required that the customer participate in a free energy survey of their home and that they agree to install energy conservation measures provided for free at the time of the survey(CFL's, piping/water heater insulation, door sweeps, etc.). To implement the program,the TDPUD partnered with a local non-profit(Family Resource Center)to do the outreach and qualification for the program and worked with the Sierra Green Building Association (SIGBA)to conduct the residential energy surveys. ESP was very successful in providing immediate assistance during the economic crisis, enabled the customer to reduce energy usage over time, and strengthened the TDPUD's relationship with our low-income customers and the overall community. • Significant investments in community outreach, communications, and marketing are tapping increasing interest in energy efficiency programs. As an example,the TDPUD's recent LED (Light Emitting Diode) Holiday Light Program achieved—6 percent customer participation over a 4- week period and all of the customers came to the TDPUD office where they were educated, provided with free CFL's,and given information on other energy efficiency opportunities. 2009 Commercial Customer Programs • 'Keep Your Cool' Commercial Refrigeration Program: This direct-install program was developed by the Northern California Power Agency(NCPA)for their member utilities and targets cost- effective commercial refrigeration measures(door gaskets and closers). This program was oversubscribed in the first-round and the TDPUD added additional budget to this program in 2009 to meet robust customer demand. 191 • Commercial LED Exit Sign Retrofit Program: This direct-install program was developed by the TDPUD to retrofit existing incandescent and fluorescent exit signs using high-efficiency LED exit sign retrofit kits. The combination of low retrofit cost and ease of installation created a very cost effective program. • Commercial Energy Audits: TDPUD offers free on-site energy audits conducted by a TDPUD Energy Specialist for commercial customers that provide specific recommendations on cost- effective energy improvements to manage and reduce energy use and load. • Commercial Energy Conservation Rebate Program: TDPUD provides a comprehensive commercial energy efficiency incentive program;focusing on peak load reduction and energy savings.Generous rebates and technical support are available to commercial customers to promote the installation of energy efficiency measures.This includes an appliance efficiency program for clothes washers, dishwashers and refrigerators;a building efficiency program that includes building envelope and forced-air distribution system leak testing and mitigation; a lighting efficiency program that includes any and all high efficiency lighting measures;space heating system efficiency program including ground source heat pumps and a water heating efficiency program including the purchase of energy efficient electric water heaters and solar water heater tanks. • Solar PV Program: TDPUD offers financial incentives to commercial customers who incorporate solar PV technologies into their businesses (SB-1). This program is fully subscribed into 2011. 2009 Business Partnership Programs(Green Partners) • Retail:TDPUD encourage restaurants to install energy-efficient lighting and other energy efficiency measures. The District also works with and encourages local hardware and grocery stores to market,sell and install energy-efficient products and services. • Restaurant: Encourage restaurants to install energy-efficient lighting,cooking, dishwashing, and heating,ventilation and air conditioning equipment. • Hospitality: Encourage hotels, motels,and resorts to implement LEED design principles and energy-efficient lighting,controls, HVAC,water heating, pool/spa, restaurant, renewable energy and green building technologies. 2009 Residential Customer Programs • Developed a new income qualified program, Energy Saving Program (ESP),targeting residential energy efficiency and weatherization measures(see 2009 Highlights above). • Residential Green Partners: This new 2009 program was focused primarily on screw-in lighting with a goal to determine which types of lighting(beyond standard spiral 60-watt equivalent CFL's)are used most in our community and to provide free samples of this lighting for our customers. Based on data from over 300 customers and over 3000 screw-in lights (over 20 types ranging from can lights to globes to flame tips to outdoor lights to dimmables). Based on the data collected,the TDPUD is now handing out, in addition to 12-packs of 60-watt equivalent CFL's,the following lights: 40-watt equivalent globes (G25's),50-watt equivalent R20's, 65-watt equivalent floods (R30's), 65-watt equivalent dimmable floods (DR30's),90-watt equivalent 192 outdoor floods (PAR30's), and 100-watt equivalent CFL's. This program is in addition to the rebate program that the TDPUD has for high-efficiency lighting. • Portable/Take Home Energy Meters: Using the'Kill-A-Watt' portable energy meters,this new 2009 program allows customers to sign out a watt meter for a 2-week period to measure the energy use of their residential plug loads (from refrigerators to electronics). The TDPUD then helps the customer understand the data and identify cost-effective energy efficiency opportunities. • Residential Energy Audits: TDPUD offers free on-site energy audits,conducted by a TDPUD Energy Specialist,that provide specific recommendations on cost-effective energy improvements to manage and reduce energy load and provided savings. • Residential Energy Conservation Rebate Program: TDPUD provides a comprehensive residential energy efficiency incentive program,focusing on peak load reduction and energy savings. Generous rebates and technical support are available to residential customers to promote the installation of energy efficiency measures.This includes an appliance efficiency program for clothes washers, dishwashers and refrigerators; building efficiency program includes building envelope and forced-air distribution system leak testing and mitigation; residential CFL's efficiency program including a multi-family unit CFL light bulb give away;space heating system efficiency program includes ground source heat pumps and the water heating efficiency program includes the purchase of energy efficient electric water heaters and solar water heater tanks. • Low-Income Weatherization: In addition to the new ESP program described above in the 2009 highlights,the TDPUD provides home energy weatherization services to low-income residential customers along with targeting this customer base for lighting and other give-a-ways by working with local non-profits and agencies. • Solar PV Program: TDPUD offers financial incentives to residential customers who incorporate solar PV technologies into their homes (SB-1). This program is fully subscribed into 2011. 2009 Community Programs • Energy Conservation & Efficiency Workshops:TDPUD staff offered numerous energy conservation and efficiency seminars and workshops in 2009. • Million CFL Program:The Million CFL program is a 10-year program starting in 2008 designed to provide incentives and CFL give-a-ways that will result in significant lighting efficiency savings. All CFL give-a-ways are done face-to-face allowing for education of the customer and promotion of other programs. • LED Holiday Light Swap Program:The District began an LED (light emitting diode) Holiday Light swap program in 2007.The program involves giving District customers up to three strands of LED holiday lights in exchange for their old inefficient holiday lighting. In 2009,this cost- effective program served —6%of our customer base in a 4-week period. In additional, all of these customers visited our Conservation Department to participate in the program where the TDPUD educated them on the many other energy savings opportunities and handed out free CFL's. 193 • Green Building Education/Installer:TDPUD has partnered with the local Sierra Green Building Association and the Town of Truckee Green Building Committee to design and implement green building education and training programs for the Truckee-Tahoe communities. • Green Buildings Tour:TDPUD works with the Sierra Green Building Association and local groups to provide tours of buildings in the community that incorporate green building design features. 2009 Education Programs-Public Schools&Community: • Energy Education: A TDPUD personnel gives presentations on energy topics to local schools each year. • "Living Wise" Resource Efficiency Program: TDPUD collaborates with the 6th grade staff at the local middle school to provide the curriculum and resources for the"Living Wise" Resource Efficiency program. • Green Building Symposium:TDPUD helps organize and conducts a presentation at the Truckee Home Show's Green Building Symposium. 2009 TDPUD Website The TDPUD continues to improve our website and conservation/energy efficiency pages that are an on- line resources to our customers regarding programs, rebates,application information,and local resources. The TDPUD is going to upgrade its website in 2010 with a Power of Conservation focus and an on-line energy efficiency competition. There will be many new enhancements added to the website that will go a long way in promoting energy efficiency, conservation and renewables. 2009 TDPUD Demand Reduction Programs The TDPUD does not currently have any demand reduction programs in place since there is very little air conditioning load and the TDPUD high demand time is winter. However, many of our energy efficiency programs address our unique load profile. 2009 TDPUD Water Conservation Programs: The TDPUD serves both water and electric power services to our customers. In fact,the TDPUD's largest electric customer is the TDPUD Water Department and we fully understand the links between water conservation and energy savings for both ourselves and our customers. Current water conservation programs include: • TDPUD Water Wise Demonstration Garden:TDPUD began installing residential water meters in 2009 and will begin billing water by usage in 2010. For many customers,water usage is driven by landscaping and irrigation. To help our customers manage their irrigation use,TDPUD developed a water wise demonstration garden at our main headquarters to educate our customers on techniques to maintain beautiful landscaping and save water. The garden includes almost 100 native and drought tolerant plants along replacing our traditional lawn with a variety of native bunch grasses that can use 80% less water. 194 • Commercial Water Conservation Rebate Program:TDPUD offers rebates to commercial customers for the installation of water-saving measures including water-efficient clothes washers. Additional water-efficient investments including low-flush toilets;waterless urinals and other water saving devices may soon be eligible for this rebate. • Residential Water Conservation Rebate Program:TDPUD offers financial rebates to residential customers for the installation of water-saving measures including water-efficient clothes washers. TDPUD also hands out for free low-flow showerheads and sink aerators. New for 2009 was a Customer Leak Repair Rebate Program that incents customers to repair leaks on the customer-side of the meter. Additional water-efficient investments including low-flush toilets and other water saving devices will soon be eligible for this rebate. Landscape Water Conservation Workshops:TDPUD partnered with local nurseries to conduct landscape water conservation workshops for the community. 195 TRUCKEE DONNER PUBLIC UTILITY DISTRICT Time Period for Reporting Data:Calendar year ending 12/31/2009 Truckee Donner Public Utility District Resource Savings Summary Net Lifecycle Cost Summary GHG Utility Utility Utility Mktg, Program Sector Net Demand Net Peak kW Net Annual Net Lifecycle Reductions Incentives Cost Direct Install EM&V,and Total Utility Cost (Used in CEC Report) Category Savings(kW) Savings kWh Savings kWh savings (Tons) ($) Cost($) Admin Cost($) ($) Appliances Res Clothes Washers 23 23 54,622 546,224 302 $ 23,883 $ 3,700 $ 27,584 HVAC Res Cooling Appliances Res Dishwashers 3 3 8,892 115,596 64 $ 15,180 $ 798 $ 15,978 Cons Elect's Res Electronics HVAC Res Heating Lighting Res Lighting 2,795 491 1,757,506 15,082,697 8,052 $ 97,860 $ 104,403 $ 202,263 Pool Pump Res Pool Pump Refrigeration Res Refrigeration 9 9 57,362 1,032,516 560 $ 22,407 $ 3,732 $ 26,139 HVAC Res Shell 9 9 3,611 63,988 36 $ 5,932 $ 660 $ 6,591 Water Heating Res Water Heating 25 25 68,973 794,600 434 $ 7,875 $ 15,503 $ 23,378 Comprehen Res Comprehensive Process Non-Res Cooking HVAC Non-Res Cooling HVAC Non-Res Heating Lighting Non-Res Lighting 337 337 1,559,519 16,371,876 9,054 $ 99,181 $ 89,234 $ 188,415 Process Non-Res Motors Process Non-Res Pumps Refrigeration Non-Res Refrigeration 8 65,151 521,210 275 $ 46,150 $ 40,865 $ 87,015 HVAC Non-Res Shell Process Non Res Process Comprehen Non Res Comprehensive Other Other SubTotal 1 3,210 898 3,575,636 34,528,706 18,7761$ 318,467 $ 258,8961$ 577,363 T&D IT&D Total 1 3,210 898 3,575,636 34,528,706 18,7761$ 318,467 $ 258,896 $ 577,363 EE Program Portfolio TRC Test 5.06 Excluding T&D Time Period for Forecast Data:Calendar year ending 12/31/2010 Truckee Donner Public Utility District Resource Savings SummM Cost Summary Net Lifecycle GHG Utility Utility Utility Mktg, Program Sector Net Demand Net Peak kW Net Annual Net Lifecycle Reductions Incentives Cost Direct Install EM&V,and Total Utility Cost Used in CEC Report Cate ory Savings kW Savings kWh Savings kWh savings (Tons) $ Cost$ Admin Cost$ $ Appliances Res Clothes Washers 19 19 45,760 457,600 253 $ 20,240 $ 3,640 $ 23,880 HVAC Res Cooling 120 3,000 2 $ 3,000 $ 3,000 Appliances Res Dishwashers 3 4 8,640 112,320 62 $ 15,180 $ 917 $ 16,097 Cons Elect's Res Electronics HVAC Res Heating Lighting Res Lighting 2,250 496 1,653,183 14,654,517 7,823 $ 84,454 $ 104,403 $ 188,857 Pool Pump Res Pool Pump Refrigeration Res Refrigeration 9 9 54,306 977,508 530 $ 23,115 $ 3,674 $ 26,789 HVAC Res Shell 18 18 6,831 113,467 64 $ 12,802 $ 660 $ 13,461 Water Heating Res Water Heating 54 54 71,495 1,072,425 604 $ 17,456 $ 15,503 $ 32,959 Comprehen Res Comprehensive Process Non-Res Cooking HVAC Non-Res Cooling HVAC Non-Res Heating Lighting Non-Res Lighting 229 229 1,121,062 12,390,806 6,836 $ 96,849 $ 89,234 $ 186,084 Process Non-Res Motors Process Non-Res Pumps Refrigeration Non-Res Refrigeration 9 70,363 562,906 297 $ 49,842 $ 40,865 $ 90,707 HVAC Non-Res Shell Process Non Res Process Comprehen Non Res Comprehensive Other Other SubTotal 1 2,590 828 3,031,760 30,344,549 16,4721$ 322,938 $ 258,896 $ 581,834 T&D IT&D Total 1 2,590 828 3,031,760 30,344,549 16,4721$ 322,938 $ 258,896 $ 581,834 EE Program Portfolio TRC Test 4.31 Excluding T&D 196