PGW EnergySense Commercial & Industrial Efficiency Programs. Philadelphia Preservation Through Energy Efficiency Roadshow April 3, 2014

Transcription

1 PGW EnergySense Commercial & Industrial Efficiency Programs Philadelphia Preservation Through Energy Efficiency Roadshow April 3, 2014

2 EnergySense Portfolio Overview 5 year portfolio approved in 2010 through 2015 Revised Low-Income program and six market-rate programs Residential Equipment Rebates Up $2,000 for heating equipment Home Rebates Discounted $150 energy assessments Up to $3,500 in rebates Construction Grants Up to $750 for new construction Commercial, Industrial & Multi-Family Equipment Rebates Up to $8,400 for heating and cooking equipment Building Grants Up to $75,000 for improvements Construction Grants Up to $60,000 for design upgrades beyond code 2

3 High-Efficiency Heating Equipment PRESCRIPTIVE REBATES 3

4 Efficient Equipment Rebate Overview Prescriptive rebates cover part of the extra (often prohibitive) cost of the high-efficiency equipment Extra Cost For Efficient Equipment 80% Covered By PGW Base Cost For Standard Equipment 4

5 High Efficiency Equipment Rebates Rebates available to all eligible customers Rebate quantities scaled-up for large projects Equipment Type Residential Heating Equipment Commercial Heating Equipment (300 2,500 MBH) Rebates Boilers 94% AFUE: $2,000 Furnaces 94% AFUE: $500 Programmable T-Stats: $30 85% Et: up to $6,300 90% Et: up to $8,400 Commercial Cooking Equipment ENERGY STAR kitchen equipment: $25 - $1,200 5

6 Large Apartment Building Efficient Boiler Rebate Example Project: Install two 550,000 btu boilers Standard Boiler Efficient Boiler Base - Project Cost $18,500 $18,500 Efficient - Extra Cost $0 + $9,000 Rebate from PGW $0 - $7,200 Total Cost $18,500 $20,300 Annual Savings ($) $0 $1,294 Payback of Extra Cost years 6

7 Application Process 1. Design a project with eligible equipment, and complete the installation 2. Download an application from 3. Mail-in completed application along with required documents a) AHRI certificate, available at b) Itemized invoice including proof of payment 4. Checks arrive in 6-8 weeks 7

8 Commercial and Industrial Customer CUSTOMIZED GRANTS 8

9 Efficient Building Grants Program Overview Grants for existing buildings for comprehensive energy efficiency upgrades Up to $75,000 available per-project Grants cover up to 33% of the incremental project cost, but not to exceed the value of gas savings All energy conservation measures are eligible Only for bundled general service (GS) rate customers 9

10 Efficient Building Grants Apartment Building 20-unit, 60 year-old apartment building Systems that must be replaced Central domestic hot water heater In-unit furnaces (21) Additional Measures to Save Energy Programmable thermostats DHW Pipe insulation; ductwork sealing Low-flow faucets & showerheads Blown-in roof insulation 10

11 Efficient Building Grants Example Project Basic Project Comprehensive Project Project Cost $30,691 $30,691 Efficient Project Extra Cost $0 + $31,157 Grant from PGW $0 - $20,227 Total Project Cost $30,691 $41,621 Annual Savings ($) $0 $10,111 Payback of Extra Cost 0.0 years 1.04 years 11

12 Efficient Building Grants Application Process 1. Submit application available at before the project begins 2. Submit detailed information about project plans 3. Meet with PGW s savings verification team 4. Complete construction and submit final documentation to schedule an inspection 12

13 Efficient Construction Grants Program Overview Project grants for the new construction and gut rehab markets. Commercial, Industrial & Multi-Family: Up to $60,000 per property, based on the volume of gas conserved Gas Usage Below Code Incentive Per First-Year MMBtu Saved 10% to 19% $ % to 29% $ %+ $40.00 Single-Family Residential: $750 for homes built to conserve gas at 20% or more below code $1,250 or $2,750 per-home with 94% AFUE furnace or boiler, respectively 13

14 Efficient Construction Grants Apartment Building Example Gut-rehab of a 28 unit building Additional Measures to Save Energy High efficiency furnaces Small solar thermal pre-heat system High-efficiency DHW storage heaters Increased insulation over baseline Savings Achieved: 20.1% 14

15 Efficient Construction Grants Apartment Building Payback Example Extra Cost of Efficient Designs $48,550 Grant from PGW - $27,210 Total Project Cost $21,340 Annual Savings ($) $11,094 Comprehensive Project Payback of Extra Cost 1.9 years 15

16 Efficient Construction Grants Application Process 1. Submit an application available at 2. Complete a data collection form with detailed project information about energy usage 3. Submit final documentation and schedule a site inspection 4. If project meets savings requirements, a grant will be awarded, and paid at the end of the project 16

17 PGW EnergySense RECAP 17

18 EnergySense Efficiency Rebates and Grants for Projects of All Sizes Equipment Rebates Up to $8,400 for commercial-sized boilers $2,000 or $500 for residential-sized boilers and furnaces Up to $1,200 for food service equipment Project Grants Up to $60,000 for commercial new construction or gut-rehabs Up to $75,000 for existing building upgrades Home Rebates Up to $3,500 based on energy saved 18

19 Thank You Jon David Energy Efficiency Program Analyst (215)

20 PECO Smart Multifamily Solutions Energy Efficiency Program April 3, 2014

21 PECO Electric and natural gas utility serving the greater Philadelphia area for more than 100 years 1.6M electric customers; 8,983 megawatt peak load 500K gas customers 2,100 square miles service territory Subsidiary of Exelon Corporation 21

22 PECO s suite of energy efficiency and demand response programs developed to comply with PA Act 129 Regulation requiring seven largest electric distribution companies in Pennsylvania to comply with mandated electric energy saving and demand reduction targets PECO successfully met its Phase I goals of 3% energy savings and 4.5% reduction in peak demand Phase II began June 1, 2013 and runs through May 31, 2016 PECO s energy reduction target is 2.9% or 1,126 GWh Phase II does not have a mandate for demand response 22

23 PECO s Phase 2 plan achieves a balanced portfolio of programs responding to customer interests and market trends Residential Programs Commercial Programs PECO Smart Home Rebates PECO Smart Appliance Recycling Low Income Energy Efficiency (LEEP) PECO Smart Builder Rebates Builders Program New Home Construction PECO Smart House Call Energy assessments/audits PECO Smart Usage Profile High energy users PECO Smart Energy Saver School energy efficiency education Existing Existing Existing New New New New PECO Smart Equipment Incentives (C&I customers, existing buildings) PECO Smart Equipment Incentives (GNI customers, existing buildings) PECO Smart Construction Incentives (New commercial construction and major rehabs) PECO Smart Business Solutions (Small business direct install) PECO Smart Multifamily Solutions PECO Smart On Site (Combined heat and power systems) Existing Existing Existing New New New 23

24 PECO Smart Multifamily Solutions Program offers energy efficiency upgrades and incentives to multifamily buildings with four or more units Two main participation channels for the program regardless of metering configuration Free direct installation of low-cost measures for multifamily residents Prescriptive incentives for installation of high-efficiency equipment that address common area or whole building improvements Property receives free energy assessment of common areas including a detailed report of potential energy savings and investment paybacks 24

25 Free comprehensive energy assessment of common area and whole building systems Identify opportunities for energy efficient upgrades and direct install (DI) projects Focus on common area lighting and electrically powered mechanical systems Inspect sample tenant spaces to estimate DI requirements 25

26 Detailed Energy Assessment Report of savings from energy efficiency upgrades and direct install projects Outlines project paybacks to help prioritize investments Includes details on potential rebates for qualified equipment upgrades Provide customers key information needed to solicit contractor bids to complete energy efficiency retrofits 26

27 Direct installation of energy saving measures in common areas and resident units Energy Star CFL s Low Flow High Pressure Showerhead* Bathroom and Faucet Aerators* Program provides tenant notification material to property manager for distribution and posting Leave behind educational material for residents on energy efficiency and installed products Installers must be accompanied by member of building staff for access to tenant spaces * Electric hot water heating only 27

28 Incentives for installation of qualified common area retrofits including lighting and HVAC upgrades Energy advisor serves as single point of contact for customer throughout project lifecycle Help interpret assessment priorities and payback periods for projects Assist customer or trade ally in (pre)application process 28

29 Example Property 100 unit multifamily building, residentially metered Direct Installation potential per apartment: 2 x 13Watt CFLs 3 x 18 Watt CFLs 2 x faucet aerators 262kWh/Apart. x 100 Apart. = 26,200 kwh $3,390 Annual Savings T12 to T8 hallway lighting retrofit (30 fixtures) 280kWh/Fixture x 30 Fixtures = 8,410kWh = $841 Annual Savings < 3yr payback with incentives Incandescent to LED exit sign retrofit (15 signs) 131kWh/Sign x 15 Signs = 1,965kWh = $216 Annual Savings Incentives up to 50% of incremental cost of new signage 29

30 Success to Date 91 Buildings 2,630 residentially metered units 3,303 master-metered units 44 common area projects Helped customers save 2,400 MWH $250,000+ Annual Savings Local Housing Authorities Senior Care facilities Non-profit facilities Properties include: Campus Housing Property management firms Independent landlords 30

31 THANK YOU! 31

32 Leveraging Local Programs & Resources: Utility Programs, & Other Local Partnerships Rachael P Fredericks Program Manager PSE&G Energy Services PSE&G Newark New Jersey Rachael.fredericks@pseg.com

33 PSE&G s Multi Family Program Why the program works: PSE&G handles Projects soup to nuts. Components include: IGA, design and assistance with bidding, inspections, construction admin & proper commissioning. These costs are rolled into the Project presentation to the customer. All energy efficiency opportunities are assessed individually that meet a 15 year or better simple payback. IGA provides information about site energy consumption and baseline as it relates to tenant and common areas. Program takes all measures and presents as one Project. Tenant and Customer/ common meter opportunities/ deep retrofit opportunities PSE&G buys down the project by 7 years no less than 2 years for the customer with a permanent incentive. Most projects customers are paying 30% of the total cost. All construction costs are paid up front in progress payments. 30% in beginning, mid payments based on progress up to 80% of total contracts with 20% held until the project has been fully commissioned and verified. Customer does not pay anything until the Project is closed. Customer share is then repaid at a 5 or a 10 year term on their electric or gas bill at 0 % Most attractive elements: Deeper retrofit opportunities when all opportunities at the site meeting 15 year or better are considered. Customer works with PSE&G as trusted advisor as to EE investment NO $ out of pocket during participation Program finances project costs; Customer repays share of costs at 0% interest on customers utility bill over a period of 5 years

34 PSE&G s Multi Family Program Multi-Family Ext. Cost Benefit Analysis Date: 1/3/2014 Item Measure Description Measure Cost ($) Measure Savings ($) 1 Thermostatic Controls $240,791 $36,556 2 Insulation of steam DHW- pipes and tanks $81,990 $56,592 4 DHW heater Improvements $84,399 $15,938 5 Basement steam trap repair $38,685 $1,490 6 Optimize boiler efficiency $99,442 $9,678 7 CFLs in apartments $2,995 $2, gpm showerhead, aerators $3,996 $12,303 9 Energy Star Fridges $48,171 $4,413 Common area & kitchen T8 fixture, lamp and ballast upgrade. CFL replacement in 10 stairwells. LED EXIT signs. $184,574 $18,818 LED & T8 fixture, lamp and ballast upgrade 11 for exterior lighting. $29,347 $3,603 LED parking fixtures with integral photocells. 12 Induction spotlights. $15,250 $2, EC motors for rooftop fan assemblies $40,125 $9,212 Project Payback (yrs) PSE&G Buydown ($) Customer Total Share ($) Customer Monthly Payment ($) Project Total $869,765 $173, $523,560 $346,205 $5,770 CUSTOMER SUMMARY TABLE Customer Payback from Savings 2.0 years Payment Summary Measure Savings $173,102 1st payment $219, Annual Loan Repayment $69,241 2nd Payment $365, Annual Net Cash Flow $103,861 3rd Payment $146, MONTHLY CASH FLOW $8,655 Total $730,460

35 Leveraging Local Programs & Resources Preservation Through Energy Efficiency April 3, 2014 Michael Bodaken National Housing Trust

36 About the National Housing Trust NHT protects and improves existing affordable rental homes so that low income individuals and families can live in quality neighborhoods with access to opportunities. S ADVOCACY REAL ESTATE DEVELOPMENT LENDING National Housing Trust pg 36

37 Utility costs present the best opportunity to reduce operating expenses and help sustain affordable housing. G,, $ G $ National Housing Trust pg 37

38 Collaboration between housing and utility stakeholders can overcome barriers to reducing energy use in multifamily housing. Current Situation Potential Future Energy efficiency measures not likely to be found in multifamily rentals. High energy costs make it difficult to sustain affordable rental housing. Utilities and ratepayers do not realize the benefits of reduced energy use. Multifamily rentals have energy efficiency measures at the same rate as other types of housing. Lower operating expenses help to preserve affordable rental housing. Reduction in energy use helps utilities achieve their energy savings goals. National Housing Trust pg 38

39 Program Spending (Billion $) Utility spending on energy efficiency is expected to double over the next 10 years. 16 Electricity Programs Natural Gas Programs G, Projected Spending, $ $ G $0.9 $ $0.3 $3.4 $2.2 $1.0 $1.4 $1.3 $5.9 $ * 2011* 2025** National Housing Trust pg 39

40 Significant opportunity to better serve the multifamily market. Utility spending on targeted multifamily programs relative to housing markets Multifamily Share of Utility Spending on Residential Energy Efficiency Multifamily Share of Housing Market 40% 30% 20% 10% 0% 4 0 Austin Seattle Detroit Chicago Los Angeles New York Houston Salt Lake City San Diego Phoenix Dallas Honolulu National Housing Trust pg 40

41 NHT and partners will target up to 12 states to deeply engage with utilities to advance efficiency programs for affordable multifamily. Objectives: 1. Build an effective national network among efficiency and affordable housing champions 2. Facilitate stakeholder engagement to increase utility funding for affordable multifamily housing 3. Expand and improve utility efficiency programs to benefit low-income 4. Engage building owners to grow demand for enhanced utility programs Target states: California New York Illinois Maryland Michigan Minnesota Pennsylvania Missouri Rhode Island National Housing Trust pg 41

42 Pennsylvania: PUC guidance leads to streamlined multifamily programs. Actions: Multiple convenings identified barriers Partnered with Penn. Utility Law Project and state housing finance agency Urged the PUC to incent utilities to develop programs Outcomes: Commission agreed that the multifamily has been underserved Utilities must obtain 10% of consumption reduction requirements from government/nonprofit institutions Properties w/ use restrictions qualify (incl. for-profit owned properties) Commission encouraged coordination with PHFA National Housing Trust pg 42

43 Electric utilities have launched their Phase II Act 129 plans w/ multifamily programs. Utility Program PECO Smart Multi-Family Solutions Program PPL Master Metered Low- Income MF Housing Program W Penn Power; Penn Power; Penelec; Met-Ed Overview of Program Services Prescriptive incentives for high-efficiency equipment; direct install of low cost measures Audit; Replacement of inefficient refrigerators; Direct installation, financial incentives, and rebates Audit w/ direct install measures; provides incentive for comprehensive measures Duquesne Light Multifamily Housing Retrofit Program Energy efficiency audits,, Integrates cofunding, performance contracting, grant funding and available financing options. National Housing Trust pg 43

44 NHTCDF Financing for Green Preservation Green Loan Fund Below market fixed interest rate: 4-5% Loan size of up to $150,000 Term: up to 5 years Origination fee: 1.5% Green Requirements Green consultant Green standard such as Enterprise Green Communities, Earthcraft, etc For more information: Contact Josh Earn: jearn@nhtinc.org or x134 National Housing Trust pg 44

45 For more information: Michael Bodaken National Housing Trust c w (202) x111 National Housing Trust pg 45