The document outlines six tips for developing outstanding small commercial behavioral energy efficiency programs. The tips address challenges such as the diversity of the small business customer base, busy business owners with long work hours, low priority of energy costs, split incentives between landlords and tenants, constraints of franchising, and challenges measuring and verifying savings. Solutions proposed include segmenting customers, reducing engagement barriers, framing energy waste as a priority, engaging both landlords and tenants, recognizing franchise constraints, and employing statistical measurement and verification. The document aims to help achieve efficiency targets and increase customer satisfaction through personalized low-cost engagement.
Pulse energy webinar, how to set up a utility conservation programPulse Energy
Energy savings from utility conservation programs can help you reduce the costs and uncertainty of the open energy market, comply with government mandates, and help your utility show its commitment to sustainability.
Carol Suhan, PowerSense Service Manager for FortisBC, presented this informative webinar on creating and implementing an energy conservation program for your utility's commercial and institutional clients.
Carol played a key role in designing and implementing the PowerSense conservation program that she now manages at FortisBC, an energy utility with 1.1 million electricity and natural gas customers. Her presentation
- outlines the benefits of a conservation program for commercial and institutional ratepayers
- explains how she and her team went about creating the program
- points out what you should look out for when creating your own program
Pulse webinar: Energy Managers, Carve out Your Niche, June 2011Pulse Energy
Many organizations are bringing aboard energy managers as a result of rising energy costs and greenhouse gas reduction targets. New energy managers are tasked with developing protocols themselves, and ensuring energy efficiency becomes the norm within their organizations.
View this free, informative webinar featuring Craig Handley, Energy Manager, to learn how he navigated the challenges of being a new energy manager at RMIT University to cut energy use by 15%. Craig will:
- share his approach to creating an energy management plan and getting buy-in
- provide you with tips for embedding energy management into organizational culture
- describe two key initiatives that helped reduce energy use on campus
Pulse energy webinar, how to set up a utility conservation programPulse Energy
Energy savings from utility conservation programs can help you reduce the costs and uncertainty of the open energy market, comply with government mandates, and help your utility show its commitment to sustainability.
Carol Suhan, PowerSense Service Manager for FortisBC, presented this informative webinar on creating and implementing an energy conservation program for your utility's commercial and institutional clients.
Carol played a key role in designing and implementing the PowerSense conservation program that she now manages at FortisBC, an energy utility with 1.1 million electricity and natural gas customers. Her presentation
- outlines the benefits of a conservation program for commercial and institutional ratepayers
- explains how she and her team went about creating the program
- points out what you should look out for when creating your own program
Pulse webinar: Energy Managers, Carve out Your Niche, June 2011Pulse Energy
Many organizations are bringing aboard energy managers as a result of rising energy costs and greenhouse gas reduction targets. New energy managers are tasked with developing protocols themselves, and ensuring energy efficiency becomes the norm within their organizations.
View this free, informative webinar featuring Craig Handley, Energy Manager, to learn how he navigated the challenges of being a new energy manager at RMIT University to cut energy use by 15%. Craig will:
- share his approach to creating an energy management plan and getting buy-in
- provide you with tips for embedding energy management into organizational culture
- describe two key initiatives that helped reduce energy use on campus
Mexico Energy Partners, Kijana Mack, DirectorKijana Mack
Mexico Energy Partners was formed by a group of seasoned energy professionals with a deep network of global contacts in electricity markets, project finance, renewable energy and industrial technologies. We have over 15 years of experience and maintain strong relationships with developers, contractors, government authorities and local communities.
https://www.mexicoenergypartners.com/
The water and energy conservation industry is an ever changing one. This presentation reviews current trends and how AM Conservation Group is adapting to keep up with the trends and produce innovative products.
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Energy management for building owners and managersNate Kessman
Get the energy conversation off of price and onto value. This presentation covers six core components of an energy management strategy for real estate professionals.
Energy Efficiency
“Aims to Gain the Maximum results or effects from each unit of energy used and is about obtaining the same outcomes through using less energy”
IEMA & Go Green South West Seminar: Sustainable Sourcing workshop with Enviro...Go Green
For the IEMA & Go Green South West Seminar: Innovation in 2015 European Green Capital, Melanie and Sally, sustainable procurement specialists from the Environment Agency delivered an informative workshop about the steps needed to take in order to improve your organisation''s sustainable procurement policies.
Mexico Energy Partners, Kijana Mack, DirectorKijana Mack
Mexico Energy Partners was formed by a group of seasoned energy professionals with a deep network of global contacts in electricity markets, project finance, renewable energy and industrial technologies. We have over 15 years of experience and maintain strong relationships with developers, contractors, government authorities and local communities.
https://www.mexicoenergypartners.com/
The water and energy conservation industry is an ever changing one. This presentation reviews current trends and how AM Conservation Group is adapting to keep up with the trends and produce innovative products.
Trials and Tribulations of Getting into Energy ManagementEMEX
As someone who has come out of doing their Masters in 2014 with very little experience this lecture will talk about the challenges faced on getting to where I wanted to be in energy management at the age of 25 and how I got there. It will involve the problems I faced initially getting employed, the several jobs loosely affiliated with what I wanted to do, and the unpaid internship undertaken during my Masters which helped me get to where I am happy. It will also be used to prove you don’t have to come from an Oxbridge university, and can come from anywhere to reach ambitious goals.
Energy management for building owners and managersNate Kessman
Get the energy conversation off of price and onto value. This presentation covers six core components of an energy management strategy for real estate professionals.
Energy Efficiency
“Aims to Gain the Maximum results or effects from each unit of energy used and is about obtaining the same outcomes through using less energy”
IEMA & Go Green South West Seminar: Sustainable Sourcing workshop with Enviro...Go Green
For the IEMA & Go Green South West Seminar: Innovation in 2015 European Green Capital, Melanie and Sally, sustainable procurement specialists from the Environment Agency delivered an informative workshop about the steps needed to take in order to improve your organisation''s sustainable procurement policies.
Taking Stock – 40 years of Industrial Energy AuditsLeonardo ENERGY
Industrial energy audits were amongst the first energy efficiency policy measures developed in response to the oil shocks of the 1970s. Since then they have become enormously popular in industrialised economies. In the EU they are mandatory for large organisations under the EU Energy Efficiency Directive. Developing countries are considering them as they scale up their own climate programmes.
So interest in audits can only grow. But, from a policy-maker’s perspective, do they work? How do they work? How could they work for me? Certainly, in principle, audits are extremely important because they get to the heart of how a company uses energy. But after 40 years, the scientific literature on audits is large and complex and difficult for the non-specialist policy-maker to wade though.
This webinar tell the story of audits in a way designed to cut through this complexity. It recounts the history of audits and sets out why they are important. It sets out some of the main features of successful audit programmes, and, from the practical experience of the speaker, how to go about putting one together. It then considers the main problems with audits and how these can be addressed. Finally the talk will look ahead to see how audits might evolve in the near future.
Taking Stock – 40 years of Industrial Energy Audits Leonardo ENERGY
Industrial energy audits were amongst the first energy efficiency policy measures developed in response to the oil shocks of the 1970s. Since then they have become enormously popular in industrialised economies. In the EU they are mandatory for large organisations under the EU Energy Efficiency Directive. Developing countries are considering them as they scale up their own climate programmes.
So interest in audits can only grow. But, from a policy-maker’s perspective, do they work? How do they work? How could they work for me? Certainly, in principle, audits are extremely important because they get to the heart of how a company uses energy. But after 40 years, the scientific literature on audits is large and complex and difficult for the non-specialist policy-maker to wade though.
This webinar tell the story of audits in a way designed to cut through this complexity. It recounts the history of audits and sets out why they are important. It sets out some of the main features of successful audit programmes, and, from the practical experience of the speaker, how to go about putting one together. It then considers the main problems with audits and how these can be addressed. Finally the talk will look ahead to see how audits might evolve in the near future.
Zafin regional CEO: Using Technology to Drive Earnings GrowthZafin
In his presentation to Sibos 2014 delegates in Boston on September 29, 2014, John Kohari, CEO – Americas at Zafin, discussed how the Product and Pricing Lifecycle Management (PPLM) approach to augmenting existing systems delivers sustainable revenue generation for financial institutions.
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* Efficiency: Have the objectives been achieved at lowest cost?
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The presentation will give you knowledge and practical examples for 7 key analytic elements of policy measure and energy efficiency programme evaluations:
* Policy measure theory used in the programme.
* Specification of indicators for the success of a measure.
* The baselines for the selected indicators.
* Assessment of outputs and outcomes.
* Assessment of energy savings and emissions reductions and other relevant impacts.
* The calculation of costs, cost-efficiency and cost-effectiveness.
* The level of evaluation effort.
Utility megatrends and contact center transformationsGridgal
The traditional utility business model is undergoing profound transformations. How will these changes impact Utility Contact Centers? Learn about the impacts and how to leverage them to your utility's advantage.
Decision Analytics: Revealing Customer Preferences and BehaviorsLarry Boyer
This presentation was given at the World Economic Outlook Conference on 22 October 2009 as an introduction to decision analytics and predictive modeling and how it could be applied predicting the decisions of individuals, rather than aggregates, of people. This was before the days of Big Data and Hadoop so the possibilities are even greater today.
Of particular note in this presentation are the slides illustrating the additional power of adding local economic information to an analysis rather than relaying on more aggregate economic information. Small scale, local changes in the economy will influence consumer behavior and it's important to know that when launch products and setting prices, for instance.
Please share your comments.
Impact evaluation of Energy Efficiency and DSM programmesLeonardo ENERGY
The presentation starts combing the well known input-output-impact chain within a preferred evaluation framework dealing with the evaluation questions:
* Effectiveness: To what extents have the expected objectives been achieved?
* Efficiency: Have the objectives been achieved at lowest cost?
* Utility & Sustainability: Do the expected effects contribute to a net increase in energy efficiency and sustainability?
The presentation will give you knowledge and practical examples for 7 key analytic elements of policy measure and energy efficiency programme evaluations:
* Policy measure theory used in the programme.
* Specification of indicators for the success of a measure.
* The baselines for the selected indicators.
* Assessment of outputs and outcomes.
* Assessment of energy savings and emissions reductions and other relevant impacts.
* The calculation of costs, cost-efficiency and cost-effectiveness.
* The level of evaluation effort.
These 7 key elements will be elaborated for several programmes, based on practical experiences from all over the world including:
* Building codes
* General information, labelling and information centres
* Price reducing policies
* Taxation systems
* Voluntary agreements
The presentation will be finalised with a overview on recent development, among others: Increasing harmonisation and standardisation of energy savings calculations, impact evaluation of behavioural programmes and evaluation of packages of programmes.
The presentation is based on work within the IEA DSM Agreement resulting in an evaluation guidebook, based on national case studies and on national end international experiences.
Introduction to Process Thinking (for Energy company)
Note: images obtained from Google images, and content obtained from Appian website, Gartner and YouTube
Although Big Data is changing enterprise data architecture models, support for Big Data extends beyond the walls of IT. The most successful companies are focused on building strong business cases for Big Data to drive support, adoption and funding though the enterprise.
This webinar investigated the two perspectives in constructing a business case for Big Data as well as how to create a compelling business case for Big Data success.
During this webinar, we covered:
-Challenges Creating Business Cases for Big Data
-Two perspectives for building Big Data business-cases
-Building the business-focused case and getting to monetized benefits
-Fortifying your business case with IT-benefits
In this webinar, experts shared tools and research relevant to fashion companies seeking to address their environmental impacts.
Learn more: https://www.wri.org/events/2019/07/accelerated-ambition-wri-resources-apparel-companies
Similar to Six tips for outstanding small commercial programs (20)
James Smith, Pulse Energy’s Building Automation System (BAS) expert, presented this informative webinar on how you can identify and fix five common sources of energy waste in Heating, Ventilating, and Air Conditioning (HVAC) systems.
James is a factory trained controls technician with over 18 years of hands-on experience installing and servicing HVAC automation systems for Siemens Building Technologies and Johnson Controls in office towers, universities and hospitals. During the webinar he:
- presented five common sources of energy waste in these important building systems
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How well do your building's occupants work with you to reduce energy consumption? Energy reduction contests and competitions are very successful at generating building occupant awareness and engagement that lead to energy savings and a positive change in mindset toward energy conservation measures.
This free, informative webinar on engaging building occupants in energy reduction featured Owen Rogers, Pulse Energy's Competitions Lead. Owen used his experience in organizing occupant engagement initiatives for Pulse Energy's clients to:
- provide insights into competitions that have reduced energy use by up to 16%
- explain how competitions make building occupants more receptive to further energy conservation measures
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- offer specific tips to make your occupant awareness and engagement initiative successful
Pulse Energy Webinar - Strategies for Reducing Energy Use on CampusPulse Energy
Are you charged with reducing energy consumption and greenhouse gases on your campus? View this webinar to learn how two top universities are meeting this challenge by reducing building energy use.
This webinar featured Jerome Conraud, McGill's Energy Manager, Utilities & Energy Management, and John Metras, University of British Columbia's Managing Director of Infrastructure Development and their presentation of:
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Pulse Energy Webinar: Sustainability in CitiesPulse Energy
City governments are committed to reducing their greenhouse gas emissions to lead by example in their communities. Creating and following a practical sustainability plan that has significant impact is key to successfully reducing energy use.
This webinar featured Sadhu Johnston, Vancouver's Deputy City Manager, as learn about the initiatives that Vancouver is taking to become the world's greenest city by 2020. Sadhu will share with you:
* How the City reduced municipal operations' energy use by 24%
* The City's strategy for improving the energy performance of over 1,000,000 square feet of its buildings
* Specific tips on how you can implement building energy management for sustainability
Sadhu is the former Chief Environmental Officer of the City of Chicago, where he helped the City identify key sustainability issues and implemented programs that put the Chicago on the road to being one of the greenest cities in North America. As Deputy City Manager, Sadhu is leading Vancouver towards its goal of becoming the world's greenest city by 2020. Register now to reserve your spot and the opportunity to ask questions about municipal sustainability to a recognized leader in the field.
Pulse energy webinar, energy managers carve out your nichePulse Energy
Many organizations are bringing aboard energy managers as a result of rising energy costs and greenhouse gas reduction targets. New energy managers are tasked with developing protocols themselves, and ensuring energy efficiency becomes the norm within their organizations.
This informative webinar featured Craig Handley, Energy Management Engineer, who explained how he navigated the challenges of being a new energy manager at RMIT University to cut energy use by 15%.
In his presentation, Craig:
* shared his approach to creating an energy management plan and getting buy-in
* provided tips for embedding energy management into organizational culture
* suggested how existing facilities and management teams can ensure the success of this new role
Cut Energy Use by Engaging Building Occupants in Energy Reduction ContestsPulse Energy
This webinar on energy reduction contests was presented by Pulse Energy and Michael Driedger, Sustainable Buildings Advisor for Busby, Perkins & Will, an architecture and planning firm known for its commitment to sustainability and green building design. Michael shared how a recent inter-office competition reduced energy use by 16.5% in seven Perkins & Will offices across North America.
Michael’s presentation included:
• insights into setting up a successful energy reduction competition
• plans to make the savings generated by the competition persistent
• an explanation of the role of real-time energy displays in the competition
The Role of EMIS in BCHydro's Continuous Optimization Program and BeyondPulse Energy
Join Pulse Energy's Bruce Herzer and Capilano University's Susan Doig to learn about BC Hydro's Continuous Optimization program and the role EMIS plays in contributing to its success.
Learn about how the University of British Columbia reduced their energy consumption through their ecotrek program and a variety of other initiatives. Find out how the use of the Pulse energy management system allowed UBC to increase these savings and measure the impact of their investment.
Power Factor: what it is, how to measure it and how to improve it to reduce u...Pulse Energy
Low power factor is expensive and inefficient. Energy utility companies often charge additional fees to large commercial, institutional, and industrial clients when their power factor drops below 0.95. Understanding power factor and knowing how to measure it and improve it generates significant energy savings for very little cost.
Mike Wrinch, P. Eng. presented an informative 45 minute webinar on understanding, measuring, and improving power factor to reduce energy bills in buildings and facilities. Mike’s presentation included:
* An explanation of power factor and how it affects energy bills and electric systems' distribution capacity
* An overview of the hardware and software needed to measure the power factor in buildings
* Solutions to improve a building’s power factor
How to optimize ddc systems to save energy in hospitalsPulse Energy
Hospitals and health care facilities are under increasing pressure to save costs by improving their energy performance. Implementing a plan to check, correct, and optimize their facility Direct Digital Control (DDC) systems can generate significant energy savings for very little cost.
This webinar, presented by Pulse Energy and Nancy Myers, Energy Manager for the Vancouver Island Health Authority (VIHA), was on generating savings in health care facilities DDC system optimization. Nancy’s presentation covered:
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Occupant Engagement and Energy Awareness in BuildingsPulse Energy
An informative webinar on engaging building occupants in programs that bring immediate and significant energy savings. The webinar was based on a paper on occupant engagement that the presenter co-authored and helped present at the 2010 ACEEE Summer Study on Energy Efficiency in Buildings in August 2010. It includes a case study on occupant engagement measures that achieved a 12% energy savings in part of a 150,000 sq ft office building, as well as:
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David Helliwell and John Metras, University of British Columbia’s Managing Director of Infrastructure Development presented a 45 minute webinar on reducing energy consumption on campus.
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John Metras was the Director of Operations for UBC when the university implemented its $35M ECOTrek project that involved rebuilding and retrofitting the infrastructure of nearly 300 buildings, and which led to a 23% reduction in campus energy consumption and a 15% reduction in greenhouse gas emissions.
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Reduce Building Energy Use Through Occupant EngagementPulse Energy
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Pulse Energy Measurement And Verification Webinar SlidesPulse Energy
Measurement and verification for utility energy efficiency programs. Pulse Energy was joined by BC Hydro's Graham Henderson to discuss the Continuous Optimization Program that Graham manages for BC Hydro and the Measurement and Verification that Pulse Energy provides for the program
2. 1
Our background and approach
Six tips: challenges and solutions
• Split incentives
• Diversity of the customer base
• Busy customers
• Energy costs not being a priority
• Franchising dynamics
• Measuring and verifying savings
Q&A
Today’s agenda
6. 5
SME market: 93% of commercial accounts
Source: EIA CBECS Database.
7%
Large Commercial (> 500 MWh/yr)
Small-Medium Business (< 500 MWh/yr)
93%
7. 6
Goal: Achieve efficiency targets and increase customer satisfaction
• Give SMEs valuable insight into their consumption
• Cover a wide audience through personalized, low cost engagement
• Use multiple channels to break through the noise
• Apply our deep knowledge of the commercial sector
Our approach
11. 10
Diversity: Solution
• Segmentation by more than 150 4-digit
NAICS categories
• Additional sub-categorization by size and
type
• Targeted messaging that aligns with
organization’s operating goals
Segment and sub-categorize for targeted communications
12. 11
Busy customers: Challenge
• 63% work more than 40
hours per week
• 10% work more than 70
hours per week
Source: 2011 Small Business Review, Manta.com
Small business owners work long hours
13. 12
• Push-based communication
• Focus on low effort, high value steps
• Respect seasonal trends
• Focus on measures that do not impact
core business (e.g. out-of-hours
consumption)
Busy customers: Solution
Reduce barriers to engagement
14. 13
Energy costs not a priority: Challenge
Source: Characterization and Analysis of Small Business Energy Costs, sba.gov, 2008.
Business
Category
Energy Costs
as % of Revenue
441 - Motor Vehicle & Parts Dealers 0.3%
443 - Electronics & Appliance Stores 0.6%
445 - Food & Beverage Stores 2.1%
451 - Sporting Goods, Hobby, Book, & Music Stores 0.8%
541 - Professional, Scientific, & Technical Services 0.1%
Energy costs are perceived as a cost of doing business
15. 14
• Connect energy costs to profit margin
• Frame issue in terms of “energy waste”
• Apply behavioral psychology and
behavioral economic models
• Leverage normative comparisons, peer
recognition and competition
Energy costs not a priority: Solution
Motivate by framing the issue
16. 15
Split incentives: Challenge
Source: Quantifying the Effects of Market Failures in the End-Use of Energy, OECD/IEA, 2006.
Can Choose
Technology
Cannot Choose
Technology
Direct energy payment No problem
Efficiency problem
(net lease)
Indirect energy payment
Usage and
efficiency problem
(gross lease)
Usage problem
(gross lease)
Up to 90% of commercial leased spaces face split incentive barriers
18. 17
Franchising: Challenge
• Corporate policies may restrict
operating procedures and types
of retrofits that can be performed
Over 900,000 US businesses are franchises
Source: International Franchise Association
19. 18
Franchising: Solution
• Focus on non-customer facing
areas
• Recognize common corporate
policies
• Opportunity as owners want to
benchmark their businesses
against similar franchises
• Support for multi-site accounts
Recognize where the opportunities lie
20. 19
Large behavioral programs rule out common M&V methods
Measurement and verification: Challenge
• Costs of conducting energy audits for the
entire segment is prohibitive
• Individual business baselines are too
variable
21. 20
Measurement and verification: Solution
• Apply experimental design to
large SME population
• Use an opt-out program
• Cluster accounts with similar
temporal variance
Employ statistical M&V approach to track savings
22. 21
• Segment and sub-categorize for targeted communications
• Reduce barriers to engagement
• Motivate by framing the issue
• Engage both landlords and tenants
• Recognize where the opportunities lie in franchises
• Employ statistical M&V approach to track savings
Key takeaways
23. 22
For further questions or to arrange a demo,
please contact us at:
Pulse Energy
• Phone: (877) 331-0530
• Email: info@pulseenergy.com
Thank you!
Meet up with us at…
AESP National Conference, Orlando, Jan 28-31
EUEC, Phoenix, Jan 28-30
DistribuTECH, San Diego, Jan 29-31
Tech Advantage, New Orleans, Feb 19-20
Editor's Notes
This is roughly the same split for if you look at buildings that use 500,000kW annual consumption.
Owen is our product lead for Pulse Check, and has overseen We just sent an invitation out to 2500 of utility SMB customers in BC.
(It was all of their small commercial with email) – they will receive Pulse Check.
Will deploy to California 15,000, with a similar size control group.
Ladies he’s taken.
First deployment was last July. Customers on system for seven months.
There is an emerging interest in behavioural EE programs
This is where a lot of innovation is occurring in the field.
We believe they have outstanding potential but they need to be correctly engaged.
Going through some of the challenges we’ve identified
Key learning: what works for large commercial does not work for small
One main obstacle is the diversity of different types of businesses
Key: Not just different in end use, but also the underlying barriers to adopting different measures – what resonates with different businesses and organizations within the sector.
Study after study has shown that appropriately targeted messaging will increase success.
Unlike large commercial where someone has responsibility for energy management, in SMEs each business typically takes care of itself, so you’re engaging with a customer who does not have a detailed understanding of energy consumption, but we still want to engage them in conservation.
In large commercial you can engage with a common language of energy use. For SME, it’s communicating relative to their business goals.
Industry surveys have generally lumped customers together by end use
Image sources: Wikimedia commons, purchased iStock
From our experience what’s used is classification schemes such as NAICS or SIC. It’s a good place to start.
We’ve found from engaging SMEs is that for some cases, you need more granularity to get at the true patterns of consumption and adoption and thus appropriate messages.
So we do additional subcategorization by size – we use a scheme built on top of NAICS that allows for additional flexibility. Some utilities use a six-digit version of the NAICS code, but this doesn’t always conform with NAICS.
We try to correlate the data with other data sources.
Nice: NAICS offers a hierarchical approach to categorization. It can be helpful to roll up customers based on patterns of consumption, not just an industry categorization scheme.
NAICS is a great starting point but don’t tie yourself to NAICS.
To target within the restaurant vertical, there are 2 primary and 4
Challenge here is around engaging this segment in terms of trying to respect their extremely busy schedules and energy consumption is not top of mind or highest priority.
So, We need to ensure engagement around conservation is as easy as possible. So it needs to be clear to them what the benefits are.
We know that engaged customers are more satisfied with their utilities, but you have only a limited amount of time to engage with that.
Image source: wikimedia commons
Key idea: Reach customers where they are without imposing additional burdens on them to engage.
So push based is the way to go.
Convenience
We recommend a multi-channel approach. Lead with an easy to adopt approach with paper based, email is an option, and engage within amobile platform. The platforms need to be engaged appropriately. Consistent messaging is important.
Provide simple things for customers to do in order to start engaging in conservation.
e.g. Point them at a rebate that you know is relevant to their business.
Energy costs are not a significant cost business operations. So a focus on cost savings may not be sufficient to get their interest.
So, in this table we see 5 different 3-digit NAICS categories and % of revenue that is consumed by energy costs.
So even a 2% reduction in consumption of 1% is a small number for an individual business, though in aggregate it’s valuable for the utility.
Key idea is to leverage other mechanisms that may supplement or enhance the cost savings associated with conservation measures.
So, equate the savings in terms of bottom line savings for a business by applying the impact on gross margin (part of estimated business expenses).
As well, we focus on other motivators beyond cost savings such as competitiveness and social pressure – normative comparisons to efficiency businesses. Providing competition based motivators such as leaderboards or ranking boards relative to similar businesses.
Another technique is to frame consumption in terms of waste and loss.
Behavioural psych research talks about this as more motivating. Helps them visualize money evaporating from their account.
Waste is value neutral, liberal or conservatives don’t like it.
Describe these books – NEEA also has a good study guide on messaging.
One of the most significant barriers to improved energy efficiency
Significant chunk face split incentive barriers. An account has little control over their consumption or cannot choose the technology they’re using at their site because they don’t own the space.
This table helps us categorize these types of barriers.
So customers who pay directly and can choose tech can take action with no barriers.
Describe the quadrants…
Visual?
For any given system, installation, or piece of equipment, responsibility for capital expense and benefit of savings should reside
with the same entity.
To the extent feasible, both consumption and demand for resources throughout the Building should be measurable and
transparent to both Landlord and Tenant.
We try where possible to target both the landlord and the tenant, on what they can both impact.
Focus on fostering communication and mutual benefit.
Problem: Utility has contact info for one.
We identify this when the billing and premise address are different. So we can provide targeting to each type of address. That’s with a focus on print reports.
So that customer would receive a different message if they are the bill payer of occupier of the premise. Occupier would get more behavioural recommendation, bill payer would generally get more retrofit related measures (assuming we can identify they are the landlord).
Report also encourages communication. Landlords really only do retrofits as part of initial lease negotiation to attract the tenant who has certain space requirements. After that the landlords rarely act, so to target both we are focusing on providing info around the lease negotiation process so that EE is taken into account. So landlord considers EE as value to prospective tennant; tenant will ask about EE.
This is the core idea with green leasing.
Image source: Wikimedia commons.
Targeting verticals with large chains, corporate policies may restrict what technologies can be installed, or using certain approved suppliers who don’t have the range of technologies that will help with EE.
So effectively these businesses have less flexibility to take action.
There are savings opportunities here if you recognize them.
Target ECMs appropriately – focus on non-customer facing areas – storerooms, back office, kitchen, etc. Owners typically have more flexibility to design those areas as appropriate.
In some ways these scenarios are attractive when an owner owns multiple sites and has greater incentive, visibility to more opportunities for savings.
So we recognize this within our solutions.
Finally, M&V for savings for EE programs being rolled out.
The cost of auditing all these individual sites is prohibitive -- Deemed or measure by measure retrofits are too expensive.
We the leaders in whole building M&V but we recognize this is not suitable for programs of this scale.
Building accurate baselines across such a large and heterogeneous customer base is expensive and labor intensive. And we see much greater variability in patterns of consumption which make it difficult to build whole building baselines.
Seasonal variations correlate with economic variability, but you don’t see these seasonal effects
A control and delivery group.
A lot depends on the temporal variance within the SME customer base. You can stratify such that this variance is
This way you can see 1-2% across the population as a whole – the signal is distinguishable from the noise.
Know your customer through detailed market segmentation (segmentation by end use is insufficient)
Use push-based communication to reach customers
Foster engagement through behavioural science – Apply behavioural science to motivate engagement
Understand their barriers to energy conservation – Provide tools to overcome barriers to adoption
Select appropriate behaviours and measures
Employ statistical M&V approaches to track savings
Use targeted and appropriate messaging (respect, waste)
Recognize and reward engagment
If you’d like to discuss further or a demo please contact us at. A number of different ways this can be configured to meet regulated EE reqts like TRC, or others using to reduce customer churn.