Policy making and Australian Standards

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Karen Walters
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1 Policy making and Australian Standards Emma Jacobs, Senior Policy Officer, Energy Efficiency 9/08/2016 1

2 Victorian Energy Efficiency Target (VEET) Scheme Today and tomorrow VIPAC Engineers and Scientists Information Evening Melbourne, 9 August 2016 Rod Woolley, Manager VEET Essential Services Commission (C/16/16491)

3 Talking points VEET scheme can: reduce the cost of energy efficiency upgrades (but by how much?) Allow you to access other EE incentives (but how and under what conditions?)

4 How the scheme works Consumers engage third party to replace inefficient products with energy efficient products Energy saved is converted to greenhouse gas savings GHG savings are converted to certificates (VEECs) Certificates are sold and traded, creating market that determines their value

5 Calculating the incentive Size of the incentive? It depends on nature of the upgrade (quantity of energy savings) value of VEECs at the time portion of that value that installation company decides to pass through to consumer

6 Many eligible activities

7 Current main activities Downlights replacing 12v (21C,D) 18% Reflector Lamps (21B) 2% LEDs/CFLs (21A) 9% VEEC Creation - previous 4 weeks GU10 replacing 240v (21E) 4% Non-lighting activities 6% Commercial Lighting 61%

8 So far More than 35m VEECs have been created over past seven years since scheme commenced in 2009 Energy activities have been carried out in nearly two million Victorian premises (residential and commercial) Scheme targets will gradually increase over next five years to reach 6.5mT/yr GHG abatement by 2020

9 Space heating and cooling Wide range of space heating and cooling activities (refer VEET Regulations): HE ducted gas heater (Sch.20) and HE ducted gas heater replacing ducted gas heater (Sch.5) HE ducted gas heater replacing central electric resistance heater (Sch.6) HE ducted air-to-air heat pump replacing ducted air-to-air heat pump (Sch.7) HE ducted air-to-air heat pump replacing central electric resistance heater (Sch.8) Gas or liquefied petroleum gas space heater (Sch.9) Space air-to-air heat pump (Sch.10) Replace refrigerative air conditioner with ducted evaporative cooler (Sch.23) Replace gas heating ductwork (Sch.28)

10 Commercial lighting Commercial lighting upgrades are eligible to create certificates (Schedule 34) Variety of different upgrades are eligible, including: T8 linear fluoro Downlights High bays T5 linear fluoro Linear LED LED replacement T5 high bays LED Induction + 36 other eligible energy efficient activities

11 Calculating the incentive Some basic examples Existing lighting Qty Upgraded lighting Qty 36W T8 linear fluoro luminaires (magnetic ballasts) W T5 linear fluoro luminaires (electronic ballasts) VEECs (approx) VEEC value (assumed) Incentive AP trades VEECs in return for $$ $15 $750 (minus AP fee) 50W halogen downlights (electronic ballasts) W LED downlights (with new LED drivers) $15 $1,200 (minus AP fee) 400W metal halide high bays (electronic ballasts) W LED high bays $15 $9,750 (minus AP fee)

12 Other commercial activities Other activities that may be applicable for industry include: Water heaters (Schedules 1-4) High efficiency motors (Schedule 31) Refrigeration fan motors (Schedule 33) Low flow trigger nozzles (Schedule 35)

13 Accessing the incentive Finding an accredited company Essential Services Commission approves energy efficiency companies that can create certificates Listed on Participants Register of VEET website (eg, search under Schedule 34 Lighting Upgrade)

14 Important considerations Industry experience of accredited companies varies Product performance varies Different companies are approved to install different products Portion of VEEC value that accredited companies pass through varies Clients should undertake appropriate due diligence

15 What s coming Project based activities (PBA) much more efficient from business viewpoint Range of PBA methodologies to suit various treatments Changes to options to include large energy users (EREP)

16 Policy context Premier and Minister for Energy, Environment and Climate Change announced net zero emissions by 2050 Statutory interim targets and five-year strategies VEET is important tool to achieve interim targets

17 Where to go for help Useful resources VEET website: Policy department website: Victorian Government SwitchOn website: Energy Saver Incentive

The White Certificate Scheme in New South Wales, Australia

The White Certificate Scheme in New South Wales, Australia Dr David Crossley Managing Director Energy Futures Australia Pty Ltd IEA Demand Side Management Programme Task 14 Workshop on White Certificates