RenovateAmericaBi-AnnualReport

Transcription

1 RenovatemericaBi-nnualReport California HEROProgram SelectProgram ac vitybetween July1,2017andDecember31,2017. Copyright Renovatemerica2018 lrightsreserved. Page 1

2 TableofContents Introduc on Execu vesummary SummaryReport sesmentorigina ons ProductCategoriesFinanced EconomicBenefits DefaultedandsesmentsinCalifornia gedistribu onofhomeowners ppendix: Overview of Methodology Copyright Renovatemerica2018 lrightsreserved. Page 2

3 1.0 Introduc on California s Senate Bill 242 (SB 242) contains data-repor ng requirements for administrators of PCE programs. Data repor ng provides transparency that is cri cal to be er understanding the PCE product, how PCE operates in the home improvement industry, as well as the benefits of PCE programs. SB 242 requires PCE administrators to publicly report biannually topics such as the performance of PCE, the environmental benefits of PCE, the demographics of PCE borrowers by city, state, zip code, county and age. Specifically, requirements include: number of, aggregate amount, average amount of PCE assessments by city, county, ZIP; category, percentage, number, and dollar amount of PCE improvements (energy, water, etc.) by city, county and zip code; average and median amount of PCE assessments, by city, county and zip code; total amount of delinquencies/defaults; number and dates of missed payments a ributed to delinquencies/defaults; delinquencies and defaults broken down by city, county and zip code; for defaults specifically, the total number, percentage of total PCE by zip code, and years of default for each property; es mated energy/water savings, renewable produc on, jobs created, and GHG reduc on; and the number and percentage of property owners over 60 by city, county and zip code. This report is produced by Renovate merica, the administrator of HERO. It is a compila on of HERO ac vity across the state of California during the period of July 1, December 31, Informa on contained in this report is based on es ma ons. 2.0 Execu ve Summary During the period of July 1, 2017 to December 31, 2017, Renovate merica s HERO Property ssessed Clean Energy program financed nearly $346 million in home improvements across 14,350 assessments in the State of California. Nearly 75% of the assessments covered energy-efficiency improvements that are projected to save homeowners over $180 million on their u lity bills over the expected life me of the products installed. Over 11,600 of the more than 19,000 energy-efficiency assessments involved equipment that exceeds the enhanced energy-efficiency standards of the federal Energy Star program. For example, to qualify for the Energy Star label, central air-condi oning units must carry a minimum seasonal energy-efficiency ra o (SEER) ra ng of at least 15. The average SEER ra ng for central air condi oning units installed using HERO financing during the repor ng period was over 16. Nearly a quarter of the assessments funded renewable-energy improvements such as roo op solar PV systems that are projected to save homeowners over $223 million on electricity bills during the expected life me of the products installed. More than 1,600 water-saving improvements were installed using HERO financing, which are projected to save over 1.67 billion gallons of water over the expected life me of the products installed. This is equivalent to the amount of water that would fill over 2,500 Olympic-sized swimming pools. The HERO-financed improvements during the repor ng period are projected to reduce carbon emissions by over 542,000 tons over the life me of the products installed. This is equivalent to taking over 105,000 cars off the road for a year. The home-improvement ac vity spurred by HERO financing during this period helped create an es mated 3,116 jobs and generated more than $533 million in economic impact across the state. Copyright Renovate merica 2018 ll rights reserved. Page 3

4 3.0SummaryReport 3.1sesmentOrigina ons Totalsesments Totalmount Financed veragetotal mountfinanced MedianTotal mountfinanced Totalnnual sesment veragennual sesment Mediannnual sesment 14,350 $345,939,905 $24,107 $20,138 $38,441,128 $2,679 $2, ProductCategoriesFinanced[1] Energy Efficiency Renewable Energy Water Efficiency Seismic Improvement %oftotalsesments 74.29% 24.67% 7.45% 0.00% %ofimprovementtotalfinanced 62.34% 31.19% 6.47% 0.00% 3.2.1ProductTypeEfficiency[2] ProductType verageefficiencyra ng HEROMinimum EligibilityRequirement irsealing Reduc ontarget BPI,EnergyStarorSHRE62.2Compliant irsourceheatpump 16.06SEER >=14SEER cinsula on 40.44R-Value >=30R-Value BiomasFurnace 63.00Efficiency% EPCer fied CentralirCondi oner 16.16SEER >=14SEER CoolRoof-Prescrip ve 0.24gedSolarReflectance gedsolarreflectance:0.15(steep);0.5(low) DuctReplacement 6.98R-Value >=6R-Value ElectricHeatPumpWaterHeater 3.01EnergyFactor(EF) >=2.0EF Evapora vecooler irFlow(CFM) CECpproved ExteriorDoors 0.27U-Factor U-Factor:ny(Opaque);ny(<=1/2-Lite);<=0.32(>1/2-Lite) ExteriorWindows 0.27U-Factor <=0.32U-Factor Furnace 84.46FUE(%) Oil:FUE>=83%;Gas:FUE>=80% GasTanklesWaterHeater 0.95EnergyFactor(EF) >=0.9EF High-EfficiencyFaucets 1.50GPM <=1.5GPM High-EfficiencyShowerhead 2.00GPM <=2.0GPM High-EfficiencyToiletFixtures 1.28GPF <=1.28GPF Mini-SplitirCondi oner 18.68SEER >=14SEER Mini-SplitHeatPump 19.29SEER >=14SEER NaturalGasStorageWaterHeater 0.69EnergyFactor(EF) >=0.67EF SkylightsandTubularDayligh ngdevi.0.40u-factor <=0.58U-Factor UnderFloorInsula on 19.93R-Value >=19R-Value WalInsula on 16.12R-Value >=13R-Value Copyright Renovatemerica2018 lrightsreserved. Page 4

5 3.2.2 Energy Efficiency[3] Improvements Energy Star Other Grand Total 11,686 7,583 19,269 Est. nnual Energy Savings 58,479,112 kwh 23,288,713 kwh 81,767,825 kwh Est. Life me Energy Savings 942,544,027 kwh 426,281,042 kwh 1,368,825,069 kwh Est. nnual Energy Bill Savings $5,211,256 $1,890,978 $7,102,234 Est. Life me Energy Bill Savings $124,380,497 $55,892,626 $180,273, Water Efficiency[4] Improvements WaterSense Other Grand Total 234 1,408 1,642 Est. nnual Water Savings 2,509,475 gal 93,025,525 gal 95,535,000 gal Est. Life me Water Savings 49,982,750 gal 1,627,247,800 gal 1,677,230,550 gal Est. nnual Water Bill Savings $11,293 $419,031 $430,324 Est. Life me Water Bill Savings $601,968 $16,218,607 $16,820, Renewable Energy[5] Improvements verage Solar PV System Size Median Solar PV System Size Est. nnual Energy Produced Est. nnual Energy Bill Savings Est. Life me Energy Bill Savings 7, kw 5.8 kw 33,730,231 kwh $8,308,131 $223,344, Greenhouse Gas[6] 3.3 Economic Benefits[7] Est. nnual Emission Reduc on Est. Life me Emission Reduc on Est. Jobs Created Est. Economic Impact 30,047 tons CO2 542,054 tons CO2 3,116 $533,850,695 Copyright Renovate merica 2018 ll rights reserved. Page 5

6 3.4 Defaulted & ssessments[8] Defaulted ssessments Tax Year Repor ng Start Date (pprox. July 1, 2017) Defaulted ssessments 25 Defaulted Rate 0.33% Defaulted mount $76,544 Repor ng End Date (pprox. December 31, 2017) Defaulted ssessments 17 Defaulted Rate 0.23% Defaulted mount $61, % $1,990, % $774,924 ssessments Tax Year Repor ng Start Date (pprox. July 1, 2017) ssessments Delinquency Rate mount Repor ng End Date (pprox. December 31, 2017) ssessments Delinquency Rate mount N/ 0 N/ N/ 1, % $2,862,157 Delinquencies refer to late payments during a given tax year. t the end of the tax year, property tax bills that are s ll delinquent are considered to be in default. Delinquency rates are typically higher than default rates, because property owners whose tax payments are delinquent o en make late payments prior to the point at which a default occurs. For example, property-tax tracking provider Lereta reported property-tax delinquency rates in California of 3.0%, 2.5% and 3.3% in 2013, 2014 and 2015, respec vely. By comparison, the California State Controller reported property-tax default rates in California of 1.6%, 1.3% and 1.2% in 2012/2013, 2013/2014 and 2014/2015, respec vely. Similarly, delinquency rates and default rates each tend to decline over me as back taxes are paid. 3.5 ge Distribu on of Homeowners[9] Census HERO 23.3% 25.2% 23.4% 24.4% 21.1% 16.2% 16.2% 14.8% 7.6% 8.9% 9.0% 4.3% 3.8% 0.6% 0.2% 0.9% HERO data represent all homeowners who financed an assessment within the repor ng period and par cipa ng communi es. Census data are based on the year merican Community Survey and represent the en re state of California. Copyright Renovate merica 2018 ll rights reserved. Page 6

7 ppendix: Overview of Methodology for Calcula ng HERO Impacts 1 % of Total ssessments column sums to over 100% because some assessments fall into mul ple Improvement Categories. 2 The Product Type Efficiency table reflects only product types with defined efficiency ra ngs. 3 Energy savings and u lity bill savings es mates are modeled for each home energy efficiency improvement project using calcula on methodologies derived primarily from the U.S. Department of Energy (DOE) and the U.S. Energy Informa on dministra on. Savings es mates are customized to each project based on various inputs that are either specific to the property or predicted based on analysis of public survey data (including the California Energy Commission Residen al ppliance Satura on Survey (RSS), U.S. EI Residen al Energy Consump on Survey (RECS), and the U.S. Census Bureau merican Community Housing Survey), including: Climate Zone; Year Built; Condi oned Square Footage; Number of Occupants; Number of Stories; Roof Type; Wall/Floor/ c Insula on Levels; ir Leakage Levels; Window & Door Types; Hea ng & Cooling Type/Efficiency; Duct Insula on/leakage Level; Water Hea ng Type/Efficiency; U lity Retail Electric Rates; Historical Electric Rate Infla on; U lity Retail Natural Gas Rates; Historical Natural Gas Rate Infla on; Product Lifespan. 4 Water savings and u lity bills savings es mates are modeled for each indoor and outdoor water improvement project using calcula on methodologies derived primarily from the U.S. Environmental Protec on gency WaterSense program, California Department of Water Resources, and the California Ins tute for Public Policy. Savings es mates are customized to each project based on various inputs that are specific to each project, including: Property Loca on; Home Vintage; Number of Fixtures Replaced; rea of Lawn Replaced; U lity Retail Water Rate; Historical Electric Rate Infla on; Product Lifespan. 5 Renewable energy genera on and u lity bill savings es mates are modeled for each solar photovoltaic installa on project using calcula on methodologies derived from the Na onal Renewable Energy Laboratory s PV Wa s Calculator. Savings es mates are customized to each project based on the various inputs that are specific to each project, including: Property Loca on; System Size; Moun ng Type; Module Type/Efficiency; Inverter Type/Efficiency; U lity Retail Electric Rates; Historical Electric Rate Infla on; Product Lifespan. 6 Greenhouse gas (GHG) emission reduc ons are es mated for the resul ng energy savings of energy efficiency and renewable energy projects using calcula on methodologies derived from the U.S. Environmental Protec on gency s egrid Power Profiler and GHG Equivalency Calculator tools. Savings es mates are customized to each project based on the following model inputs that are specific to the project: Property Loca on; Electric kwh Savings/Genera on; Natural Gas Therms Savings; Product Lifespan. 7 The es mates of the number of jobs created and overall economic impact are derived by applying RIMS II mul pliers for the residen al home improvement industry to the total funded amount. RIMS II (Regional Input-Output Modeling System) is a regional economic model developed by the Bureau of Economic nalysis. The model is used to measure the regional impact of industry-specific economic ac vity. 8 Delinquency and default data provided in this report were obtained by David Taussig & ssociates from publicly available sources. These data reflect delinquencies and defaults as of the approximate start and end dates of the repor ng period, which runs from July 1, 2017 through December 31, 2017, and correspond to assessments originated between March 2015 and pril 2017, the en re historical period for which HERO data are available. s reflected in this report, delinquent refers to an assessment installment that has not been paid by December 10 or pril 10, as applicable, and default refers to one or more assessment installments that have not been paid by June 30. Delinquency and default data contained in the Summary Report sec on include HERO assessments across all public agencies par cipa ng in HERO statewide. 9 During the repor ng period, 5,191 property owners over the age of 60 obtained HERO financing statewide. Copyright Renovate merica 2018 ll rights reserved. Page 7