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Creating A Greener Energy Future For the Commonwealth




                   DOER Report

                       Frank Gorke, DOER
                          April 12, 2010
                    frank.gorke@state.ma.us
                          617.626.7352
                       www.mass.gov/doer
DOER Mission
• Creating a Greener Energy Future for the
              Commonwealth




             Creating A Greener Energy Future For the Commonwealth
Clean Energy Activity
•   GWSA
•   GCA
•   IOU EE Programs
•   RPS
•   AEPS
•   Energy Codes
•   GCD
•   ZNEB
•   RGGI
•   MA CEC
•   ARRA
•   GCD
                      Creating A Greener Energy Future For the Commonwealth
Clean Energy Activity
•   Global Warming Solutions Act
•   Green Communities Act
•   IOU Energy Efficiency Programs
•   Renewable Portfolio Standard
•   Alternative Energy Portfolio Standard
•   Building Energy Codes
•   Green Communities Division
•   Zero Net Energy Buildings
•   Regional Greenhouse Gas Initiative
•   MA Clean Energy Center
•   American Recovery and Reinvestment Act
•   Green Communities Division
                     Creating A Greener Energy Future For the Commonwealth
ARRA – Highlights
• High Performance Building Grants
• 98 grants in process to cities and towns
  statewide
• Enterprise Energy Management System
• State facilities
• Solar PV Investments



                Creating A Greener Energy Future For the Commonwealth
Nation-Leading Energy Efficiency Plans
    • Green Communities Act (2008)
       Capture all cost effective energy efficiency
    • Energy Efficiency Advisory Council (EEAC)
        25 public meetings
        Commissioner Phil Giudice as Chair
        11 voting members
            Business, industry and environmental groups, residential energy users, state
             environmental and economic development officials, the Attorney General
        Program Administrators

    • EEAC unanimously approves plans (10/09)
    • DPU approves plans (1/10)


6
                           Creating A Greener Energy Future For the Commonwealth
Three-Year Energy Efficiency Plans
    Green Communities Act (July 2008) promotes
    enhanced gas and electric energy efficiency
    throughout the Commonwealth
    •Program Administrators developed state-wide Three Year Plans
    providing for acquisition of all available cost effective energy efficiency
    The Three Year Plan reflects:
    •Aggressive – unprecedented – savings goals
    •A construct for gas/electric program integration and seamless delivery
    across Program Administrators
    •A commitment to go “deeper” (more comprehensive) in buildings; as
    well as “broader” (more customers)




7
                          Creating A Greener Energy Future For the Commonwealth
Three-Year Plan: Benefits at a Glance
About 3x the annual savings over 2008
Electric
   • 2.4M Residential, Low Income, and Commercial participants over
     3 years
   • Investment of $1.3B over 3 years
   • 30,000 GWh savings over the lifetime of the measures
   • Efficiency represents 2.4% of sales in 2012
Gas
   • 920,000 Residential, Low Income and Commercial participants
     over 3 years
   • Investment of $483M over 3 years
   • 897M therm savings over the lifetime of the measures
   • Efficiency represents 1.15% of sales in 2012

                   Creating A Greener Energy Future For the Commonwealth
9
    Creating A Greener Energy Future For the Commonwealth
First Fuel
     • Making efficiency our “first fuel” puts the least
       cost, lowest impact option front and center to
       meet our energy needs.

     • The energy savings projected for 2010–2012 will
       put us on track to meet around 30% of our
       anticipated energy needs through energy
       efficiency by 2020.




10
                    Creating A Greener Energy Future For the Commonwealth
Challenges of Delivering Plan
     • Reach more electric and gas customers
     • Achieve more extensive savings
           There is much to do beyond lighting and appliances
     • Create willingness to invest

      Amid constrained economic times




11
                         Creating A Greener Energy Future For the Commonwealth
Role of RGGI
     • MA auctions about 100% of the carbon
       allowances
     • 80% of the funds are dedicated to EE through the
       efficiency plans operated by Program
       Administrators as specified in the GCA
     • 20% dedicated to EE and RE or other related
       purposes as specified in the GCA
     • 2009 Auctions: $50+million



12
                   Creating A Greener Energy Future For the Commonwealth
Multifamily Housing Program
     •   ID’d as a hard to reach market in 3 year plan process
     •   Participants will initiate a request for all program services through
         one party, without the need to directly contact multiple program
         administrators or multiple parties within the same program
         administrator. Throughout the project life cycle, the participant will
         have access to a single point-of contact that will facilitate all
         programmatic communication and coordination.
     •   Eligibility for program measures and services will be based on cost-
         effectiveness and will not be restricted by the rate class associated
         with the meter(s) for the facility.
     •   The program is structured to ensure that participants are provided
         with a whole-building, fully integrated offering targeting both gas and
         electric end-uses.
     •   Key role: Multifamily Market Integrator


13
                           Creating A Greener Energy Future For the Commonwealth
DOER’s Resources
     • Department of Energy Resources (DOER) Website
         Energy Efficiency in Massachusetts: Our First
          Fuel
         Case Studies


         www.mass.gov/doer
         www.mass.gov/energy/efficiency
         http://bit.ly/EE4BIZ




14
                    Creating A Greener Energy Future For the Commonwealth
Customer’s Portal to Improve Operations
The business process can be divided into six major phases

Process for Prescriptive and Custom Deployment

                     Application/     Customer         Installation/    Verification/
     Marketing                        & PA                                                 Payment
                     Negotiation                       Inspection       Post-inspection
                                      Approvals

  Marketing   Retrofit/         TA vendors        Work with         Follow            Payment
                 New Construction Prescriptive        Contractors        Post-             Approval
  Personal
                                   Lighting           & Suppliers        inspection
  Contact       Walk Through
                                                                         Guides
                  Facility        Technical
                                   Assistance-                          Confirm
                Analyze
                                   Custom                                Compliance
                 all Energy Uses
                                   Analysis                              with Minimum
                 and Assessment
                                                                         Requirements
                                  Engage
                                                                         Document
                                   Engineering/
                                   Architectural
                                   Services



                                 Creating A Greener Energy Future For the Commonwealth

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Frank Gorke, Massachusetts Department of Energy Resources

  • 1. Creating A Greener Energy Future For the Commonwealth DOER Report Frank Gorke, DOER April 12, 2010 frank.gorke@state.ma.us 617.626.7352 www.mass.gov/doer
  • 2. DOER Mission • Creating a Greener Energy Future for the Commonwealth Creating A Greener Energy Future For the Commonwealth
  • 3. Clean Energy Activity • GWSA • GCA • IOU EE Programs • RPS • AEPS • Energy Codes • GCD • ZNEB • RGGI • MA CEC • ARRA • GCD Creating A Greener Energy Future For the Commonwealth
  • 4. Clean Energy Activity • Global Warming Solutions Act • Green Communities Act • IOU Energy Efficiency Programs • Renewable Portfolio Standard • Alternative Energy Portfolio Standard • Building Energy Codes • Green Communities Division • Zero Net Energy Buildings • Regional Greenhouse Gas Initiative • MA Clean Energy Center • American Recovery and Reinvestment Act • Green Communities Division Creating A Greener Energy Future For the Commonwealth
  • 5. ARRA – Highlights • High Performance Building Grants • 98 grants in process to cities and towns statewide • Enterprise Energy Management System • State facilities • Solar PV Investments Creating A Greener Energy Future For the Commonwealth
  • 6. Nation-Leading Energy Efficiency Plans • Green Communities Act (2008) Capture all cost effective energy efficiency • Energy Efficiency Advisory Council (EEAC)  25 public meetings  Commissioner Phil Giudice as Chair  11 voting members  Business, industry and environmental groups, residential energy users, state environmental and economic development officials, the Attorney General  Program Administrators • EEAC unanimously approves plans (10/09) • DPU approves plans (1/10) 6 Creating A Greener Energy Future For the Commonwealth
  • 7. Three-Year Energy Efficiency Plans Green Communities Act (July 2008) promotes enhanced gas and electric energy efficiency throughout the Commonwealth •Program Administrators developed state-wide Three Year Plans providing for acquisition of all available cost effective energy efficiency The Three Year Plan reflects: •Aggressive – unprecedented – savings goals •A construct for gas/electric program integration and seamless delivery across Program Administrators •A commitment to go “deeper” (more comprehensive) in buildings; as well as “broader” (more customers) 7 Creating A Greener Energy Future For the Commonwealth
  • 8. Three-Year Plan: Benefits at a Glance About 3x the annual savings over 2008 Electric • 2.4M Residential, Low Income, and Commercial participants over 3 years • Investment of $1.3B over 3 years • 30,000 GWh savings over the lifetime of the measures • Efficiency represents 2.4% of sales in 2012 Gas • 920,000 Residential, Low Income and Commercial participants over 3 years • Investment of $483M over 3 years • 897M therm savings over the lifetime of the measures • Efficiency represents 1.15% of sales in 2012 Creating A Greener Energy Future For the Commonwealth
  • 9. 9 Creating A Greener Energy Future For the Commonwealth
  • 10. First Fuel • Making efficiency our “first fuel” puts the least cost, lowest impact option front and center to meet our energy needs. • The energy savings projected for 2010–2012 will put us on track to meet around 30% of our anticipated energy needs through energy efficiency by 2020. 10 Creating A Greener Energy Future For the Commonwealth
  • 11. Challenges of Delivering Plan • Reach more electric and gas customers • Achieve more extensive savings  There is much to do beyond lighting and appliances • Create willingness to invest  Amid constrained economic times 11 Creating A Greener Energy Future For the Commonwealth
  • 12. Role of RGGI • MA auctions about 100% of the carbon allowances • 80% of the funds are dedicated to EE through the efficiency plans operated by Program Administrators as specified in the GCA • 20% dedicated to EE and RE or other related purposes as specified in the GCA • 2009 Auctions: $50+million 12 Creating A Greener Energy Future For the Commonwealth
  • 13. Multifamily Housing Program • ID’d as a hard to reach market in 3 year plan process • Participants will initiate a request for all program services through one party, without the need to directly contact multiple program administrators or multiple parties within the same program administrator. Throughout the project life cycle, the participant will have access to a single point-of contact that will facilitate all programmatic communication and coordination. • Eligibility for program measures and services will be based on cost- effectiveness and will not be restricted by the rate class associated with the meter(s) for the facility. • The program is structured to ensure that participants are provided with a whole-building, fully integrated offering targeting both gas and electric end-uses. • Key role: Multifamily Market Integrator 13 Creating A Greener Energy Future For the Commonwealth
  • 14. DOER’s Resources • Department of Energy Resources (DOER) Website  Energy Efficiency in Massachusetts: Our First Fuel  Case Studies  www.mass.gov/doer  www.mass.gov/energy/efficiency  http://bit.ly/EE4BIZ 14 Creating A Greener Energy Future For the Commonwealth
  • 15. Customer’s Portal to Improve Operations The business process can be divided into six major phases Process for Prescriptive and Custom Deployment Application/ Customer Installation/ Verification/ Marketing & PA Payment Negotiation Inspection Post-inspection Approvals  Marketing Retrofit/  TA vendors  Work with  Follow  Payment New Construction Prescriptive Contractors Post- Approval  Personal Lighting & Suppliers inspection Contact  Walk Through Guides Facility  Technical Assistance-  Confirm  Analyze Custom Compliance all Energy Uses Analysis with Minimum and Assessment Requirements  Engage Document Engineering/ Architectural Services Creating A Greener Energy Future For the Commonwealth