AC Distributor Program Oncor

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1 Program Synopsis Program goal is to increase the installation of high efficiency air conditioners in the new and replacement residential and small commercial market in order to reduce summer peak demand for electricity in the service territory. This program is available to distributors only. Installation locations must receive electric distribution service by. Units less than 5.5 tons must be ARI qualified with a minimum 13 SEER. Units 5.5 to 20 tons must comply with ASHRAE 90.1 with a minimum 10 EER. A qualified load calculation is required for each installation.end use customers must be informed of the program and be aware that an onsite inspection of the installation may occur.incentives are paid through participating distributors and dealers. End use customers are not eligible to receive direct payment from. Program Type Incentive PrescriptiveRebates CustomIncentivesSPC BillCreditsRateDiscounts Services DirectInstallation FinancingLoansLeasing FreeMeasures InHousePlusSubs IncentiveOther Information and Training GeneralEducation MailAudit TelephoneAudit OnSiteAudit OnLineAudit DesignAssistance FeasibilityStudies EndUserTraining TradeAllyTraining Program Focus Primary Market Events Targeted AllMarketEventsTargeted NewConstructionRenovation ExistingConstructionAll ExistingConstructionRetrofit ExistingConstructionNaturalReplac ExistingConstructionEarlyRetire Residential End User Target Markets ResidentialALL SingleFamily MultiFamily MobileHome - 1

2 LowIncome ResOther Commercial/Industrial End User Markets Commercial All Offices Retail Restaurant Public (govt.) Facilities Grocery Store Health Care Education Lodging (Hotels/Motels) Warehouses Industrial All Other Market Barriers End User Supply Side Information or Search Costs Performance Uncertainties Asymmetric Information and Opportunism Hassle or Transaction Costs Hidden Costs Misplaced or Split Incentives Product or Service Unavailability Externalities Non-Externality Pricing Inseparability of Product Features Access to Financing - 2

3 Bounded Rationality Organizational Practices or Customs Irreversibility Other End User Other Supply Side Customer Sizes Targeted (C/I only) VerySmall Small Medium Large Supply Side Actors Targeted SupplySideActorNotProgFocus AorEFirms Manufacturers Realtors Developers Builders Contractors TradeAssociations WholesalersDistributors Retailers EnergyServiceCompanies NonProfitNotForProfitGroups Govt Other Types of measure/end use technologies ALL MEASURES HVAC High Efficiency DX/HP High Efficiency Chillers High Efficiency Room/Terminal Economizers Control Systems Variable Speed Drives Occupancy Sensors Lighting Compact Fluorescents Electronic Ballasts Reflector Systems Efficient Fluorescent Lamps (T-8, T-5, etc.) Lighting Controls Occupancy Sensors High Intensity Discharge - 3

4 Duct Sealing and Balancing Equipment Testing/Tune-up Commissioning Retro-commissioning Space Heating Heat Pump Water Heating Load Control (Cycling) High Efficiency Insulation Blankets Low-Flow Showerheads Low-Flow Aerators Solar Assisted Motors High Efficiency Variable Speed Drives Industrial Process Compressed Air Motors Pumps Day lighting Applicances Refrigerators Dish Washers Clothes Washers Clothes Dryers Office Equipment Plug Load Building Envelope Insulation Infiltration Control Glazing and Glazing Control Windows Refrigeration High Efficiency Controls Variable Speed Compressors Multi-Stage Compressors - 4

5 Commissioning Other (specify) Program Context Program is mature as of At this point, there is increasing pressure is on non-participating distributors to participate.program goals and incentive levels have been relatively constant. Public Utility Commission of Texas has maintained consistent strategy for energy efficiency over the last three years but the PUCT has made three basic changes to program template, based on input from stakeholders: (1) Removal of requirement to return load calculation reduced paperwork and increased participation; (2) the ability to contract directly with dealers provides more incentive for distributors to keep involved with the program; (3) allow all 13 SEER units, not just those on the ENERGY STAR list. This increased the number of units that were eligible Program Components Program Management Program Manager reports to Energy Efficiency Manager. The Program Manager is responsible for most program impementation functions. Outside consultants not used. In addition to the Program Manager there is part-time administrative and on-site inspection staff. Implementing Organization Utility Nonprofit Govt Private IOOther Implementation Structure InHouse TurnkeyContractor InHouseAndSubcontractors Other Reporting and Tracking Internet-based database for program reporting. Distributors input information directly. System tracks customer sites, unit installations, equipment SEER values, tons, energy savings, incentives per unit. Reports generated from the database are used to track distributor performance, and annual program performance for program year to-date. Can use these reports to identify distributors who are over and under-performing, and do follow-ups Prior to this, distributors input data onto Excel spreadsheet and ed to. Distributors can now access and submit reports much more easily. System streamlines program administration. Verification and Quality Control Verification is a multi-step procedure: (1) verify all units are ENERGY STAR and/or meet ARI SEER requirements; (2) verify location is within service territory; (3) verify actual installation via on-site inspection, telephone survey, or mail-back response cards. Failure rates of individual dealers are monitored, abnormal failure rates have resulted in various administrative actions, - 5

6 including dropping dealers from the program. Participation Process Distributors must meet the program template requirements. They must complete on-line application, sign an agreement with, provide a deposit, commit to a certain number of installations, provide information (on-line and hard copy) about installations, and maintain installation records for 3 years Outreach, Marketing and Advertising Identifying potential distributors and setting up face-to-face meetings. Also attend the distributor's dealer meetings. No mass market media communications are required for this program. Installation and Delivery Program provides graduated set of incentives for AC equipment 13 SEER and over. Initially, the program's incentives varied based on SEER and tonnage. Now the incentives are bases solely upon SEER, in order to discourage oversizing. Program Evaluation Initial baseline study was performed to establish a baseline SEER value for service territory. Program receives ongoing feedback regarding program performance and process from participants and related stakeholders. An evaluation of the is currently being conducted. Its purpose is to evaluate the differences in sales and installation practices between participating and non-participating dealers, in order to determine the market effects of the program. Changes to the program in future years may result from this study. Quantitative Data Program Year: Jan 1, 2003 to Nov 30, 2003 Participation rate is available Cost Breakdown is available Net Savings Breakdown is available Net-to-Gross is available Total Resource Cost Data is available Quantative Data Summary: Program is currently undergoing evaluation. Costs and impacts are from program tracking system - 6

7 List Of Key Sources Contact Information Name Title Company Phone Jerry Adams Senior Program Manager (214) Ext. - 7

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