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Panel 2: Utility Presentation


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Presentation by Mark Rooney, Energy Efficiency Sales Representative, NSTAR; Matthew Foran, Commercial Sales Leader, MA South, National Grid; Elizabeth Cellucci, Director, Energy Efficiency, Columbia Gas. "What efficiency programs are available for municipal projects, and how do the utilities work with a community with an ESCO partner?"

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Panel 2: Utility Presentation

  1. 1. Gas and Electric Energy Efficiency Programs and Services for Municipal Customers November 15, 2012 Matthew Foran, National Grid Elizabeth Cellucci, Columbia Gas of Massachusetts Mark Rooney, NSTAR
  2. 2. Background• Green Communities Act, July 2, 2008: to promote enhanced gas & electric energy efficiency throughout the Commonwealth – Program Administrators develop statewide energy efficiency plan – Streamlined contracting process that allows cities and towns to sole-source efficiency projects to a PA, or the PA’s delivery contractors, if the total work is less than $100,000.• Three Year Plan providing for acquisition of all available cost effective energy efficiency – Aggressive, unprecedented savings goals – Gas/electric program integration and seamless delivery – Focus on going “deeper” (more comprehensive) in buildings; and “broader” (more customers participating) 2
  3. 3. Who is Mass Save®Mass Save® is a brand sponsored by Massachusetts’gas and electric utilities and energy efficiencyservice providers
  4. 4. Massachusetts EE ProgramsObjectives• Provide incentives to customers to reduce the cost of improving the efficiency of their equipment and their facilities• Offer technical assistance to customers, contractors, vendors, etc. to identify and evaluate energy efficiency opportunities• Massachusetts PAs working collaboratively to provide comprehensive solutions through consistent EE programs
  5. 5. Massachusetts EE Programs• Small Business (Direct Install)– Available to customers < 300 kW– Limited menu of simple ECMs•Large Commercial (LCI) Programs– #1: LCI New Construction & Major Renovation– #2: LCI Retrofit– Prescriptive Incentives & Custom Incentives– Technical Assistance– Promote comprehensiveness through focused initiatives within LCI programs
  6. 6. National Grid Small Business Program • Electric and Gas Direct Install (DI) Program • Provides free energy audit and a report of recommended energy efficiency improvements • The PA pays 70% of the cost of the installation of energy efficient equipment and customer pays the remaining 30% • Cost-cutting, efficient equipment available through DI includes: Electric Direct Install Measures Gas Direct Install Measures Lighting Upgrades High Efficiency Pre-Rinse Spray Valve (PRSV) LEDs Programmable Thermostats Occupancy Sensors Low Flow Shower Heads (LFSH) Programmable Thermostats Faucet Aerators Walk-in Cooler Efficiency Measures Pipe Insulation Duct Insulation Indoor Boiler Reset Controls
  7. 7. Large Business ProgramsLCI New Construction & Major Renovation  Targets new construction, major renovations and equipment replacement  Promotes selection and installation of higher efficiency equipment and systems  Promotes comprehensive and optimized systems during design phase  Custom Incentives up to 75% of incremental costsLCI Retrofit  Incentives for replacing existing equipment or systems  Custom Incentives up to 50% of project costs
  8. 8. Large Business ProgramsPrescriptive Approach  Predetermined incentive amounts for individual efficiency measures (e.g. Lighting, Motors, VFD, HVAC, Boilers, Air Compressors)  Required Eligibility Requirements available on ApplicationsCustom Approach  For unique projects and equipment  Project requires engineering evaluation of costs and savings  Incentives are based on % of actual costs  Projects must pass a Benefit/Cost Ratio (BCR) to determine eligibility for incentivesTechnical Assistance  In-depth engineering analysis  Service Provided by Independent Consultants – customer or PA selected  National Grid will typically share the cost 50-50
  9. 9. National Grid Municipal Segment Pilot - 2012• Pilot program initiated in mid-2012• Working with three (3) NGRID project installation vendors by territory in MA to promote Whole Building Approach (comprehensive EE)• Focus is on streamlining the project scoping process and implementation phase• More formal program for 2013
  10. 10. Columbia Gas GuidelinesBusiness Size What You Will Receive Priorities Incentive Amount Overview 2008 Potential Small Business/Municipal • A walk through • 50% of the installed costBuilding evaluation or plans up to $50,000 per master• < 40,000 therms per year analysis meter • An evaluation report with recommendations and potential savingsMedium to Large Business/ • A walk through • 50% of the installed costMunicipal Building(s) evaluation up to $100,000 per master• > 40,000 therms per year • If a comprehensive meter energy evaluation and scoping study is required, CMA will pay 50% of the cost up to $7,500 10
  11. 11. NStar Municipal Program• 13 Preferred Vendors• Selected through Procurement Process (early 2012) – 29 Expressions of Interest – 19 Bids Submitted – 13 Vendors selected – Cost Plus negotiated and signed with each vendor for Electical and Mechanical – 3 Year Contract (April 2012 – April 2015)
  12. 12. NStar Preferred Municipal Vendors• AECOM Energy• Atlantic Energy Solutions• Hobart Energy Services• Horizon Energy Solutions• Lime Energy• National Resource Management (NRM)• Northern Energy Services• NXEGEN• Prism Energy Service• Rise Engineering• SourceONe• TNT Energy• World Energy
  13. 13. NStar Municipal Program: How it Works• Meet with NStar Sales Executive• Assessment Scheduled and Performed• Municipality and Vendor Complete and submit Proposal and Application Forms to NStar• NStar Engineer evaluates and qualifies ECM’s• Incentive Pre-Approval Letter issued• Implementation Phase Begins• Upon Completion….Post installation verification• Incentive Issued
  14. 14. NSTAR Municipal Program: Non-Preferred Vendors• Custom Application – Municipality and selected Vendor contact and work with NStar from start to finish• Prescriptive Application – Municipality and/or Vendor submits Prescriptive Applications as equipment is installed
  15. 15. Contacts / Applications for Municipalities• Mark Rooney, Energy Efficiency Sales Executive – – 781-441-3416• Steve Grattan, Municipal Program Manager – – 781-441-8243• Commercial Programs: 800-787-1706 or efficiency@nationalgrid.comSmall Business Program: 800-332-3333, or sign up online at Giguere, Manager of Commercial and Industrial Programs, 413.784.2142
  16. 16. Working with ESCOs• Bring PA onboard at conceptual stage – Ensures “A Meeting of Minds” on potential EE program rebate incentives & other offerings among all stakeholders. – Obtain utility input on additional cost-effective ECMs to incorporate into the project• Without early collaboration with PA, ESCOs may only propose ECMs which detail a breakout of utility prescriptive incentives• After Muni & ESCO finalize ECM performance contract, then ESCO provides all detailed transparent energy calculations to the utility representative and technical consultants for review• After this technical review, project incentive may increase by combining all prescriptive ECMs with custom ECMs into a single, comprehensive offer.• NOTE: The PAs are “vendor neutral” - ECMs are evaluated and incentives calculated on their energy-saving merits.