Rocky Mountain Power s Planned Changes to the Home Energy Savings Program in Idaho February 2017

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Rocky Mountain Power s Planned Changes to the Home Energy Savings Program in Idaho February 2017 PacifiCorp (Company) is planning to make modifications to the Home Energy Savings program (HES Program) for residential customer energy efficiency, which is offered through Schedule 118. The HES Program offers incentives and services for residential energy efficiency projects. The proposed changes are designed to improve customer participation, comply with changes to codes and standards, and align incentives with changing measure costs and savings estimates. Consistent with the change process for the HES Program, approved in Order 29976 in Case No. PAC-E-05-10, and summarized in the tariff Provision of Service No. 5: All changes will occur with a minimum of 45 days notice, be prominently displayed as a change, include a minimum 45 day grace period for processing prior offers (except for manufacturer buy-down incentive delivery) and be communicated at least once to retailers who have participated within the last year. After receiving and addressing comments from the Idaho Public Utilities Commission staff ( IPUC Staff ) the proposed changes to the HES Program will be posted on the HES Program website 1 45-days prior to becoming effective and implemented. Background The HES Program within the Company s Idaho service area was launched on May 31, 2006. The HES Program offered appliance products, HVAC services, and envelope measures by postpurchase mail-in, and CFLs through incentives to mid-market manufacturers. The last changes made to the HES Program were implemented January 30, 2016 to adjust incentive levels, add/change/remove measure offerings, revise qualifications for offerings, and incorporate up to incentive levels. Description of Planned Home Energy Savings Changes The Company proposes to add Heat Pump Water Heater (HPWH) units rated above Tier 2 as eligible for the current Tier 2 incentive for HPWH units. Customers have inquired about eligibility of units rated above Tier 2, and the Company is proposing to add them to the HES Program to accommodate customers desiring to purchase higher efficient HPWH units. The same amount of savings will be deemed for Tier 2 units and units more efficient than Tier 2, however with the additional applications anticipated for this measure with the inclusion of units rated higher than Tier 2, the Company is forecasting to achieve slightly higher overall savings for this measure. On June 17, 2016, the Company issued a 45-day notice to stop offering energy savings kits as part of the HES Program to better align with savings targets established for 2016. It is proposed to start offering energy savings kits again to align with the savings targets established for 2017. 1 http://www.homeenergysavings.net/idaho Planned Changes to Home Energy Savings Program in Idaho Effective March 30, 2017 Page 1 of 3

LED technology has become the predominant lighting technology in energy efficiency projects, and it is anticipated for this trend to continue. Long lamp life (30,000 hrs+), reduced lifetime maintenance costs, absence of hazardous materials (i.e. mercury), controllability, and higher efficacy (lumens/watt) and decreasing costs relative to traditional technologies have contributed to a shift toward using LED products. To address the continuing and rapid shift to more efficient LED technologies, it is proposed to remove all CFL offerings from the HES Program and only keep LED options. CFL options will also be removed from the current mail-by-request energy savings kits offering. The HES Program changes to be implemented are summarized in Table 1 below and also included in Exhibits 1 and 2. Measure changes are tracked in the Company s Technical Reference Library (TRL). The TRL contains measure-level savings data such as incremental cost, measure life, baseline assumptions and sources used for reporting of energy savings. Cost-Effectiveness The changes presented in Table 1 below and shown in Exhibits 1 and 2 are not anticipated to materially affect cost-effectiveness for the HES Program. Exhibits Provided Exhibit 1 - Idaho HES Incentive Tables Planned Exhibit 2 - Idaho HES Incentive Tables Redlined Changes Planned Changes to Home Energy Savings Program in Idaho Effective March 30, 2017 Page 2 of 3

Table 1 Program Modifications Measure Name Heat Pump Water Heater CFLs General Purpose (Spiral) CFLs Specialty CFL Fixture Description of Change Type of Change: Add incentive Tier Reason for Change: To provide incentives for customers wanting to purchase efficient units above Tier 2. Type of Change: Remove incentive Reason for Change: Outdated technology. LEDs are the predominantly used lighting technology. Type of Change: Remove incentive Reason for Change: Outdated technology. LEDs are the predominantly used lighting technology. Type of Change: Remove incentive Reason for Change: Outdated technology. LEDs are the predominantly used lighting technology. Measure Summary Current (unchanged): NEEA Northern Climate Specification Current Maximum Incentive Amount: Tier 1 - $600 Tier 2 - $700 Revised Incentive: Tier 1 - $600 (unchanged) Tier 2 and above - $700 Current : ENERGY STAR qualified. See list on program website. Current Maximum Incentive Amount: $3.00 Revised Incentive: $0.00 (offering removed) Current : ENERGY STAR qualified. See list on program website. Current Maximum Incentive Amount: $4.00 Revised Incentive: $0.00 (offering removed) Current : ENERGY STAR qualified, torchiere or portable do not qualify. Current Maximum Incentive Amount: $10.00 Revised Incentive: $0.00 (offering removed) Planned Changes to Home Energy Savings Program in Idaho Effective March 30, 2017 Page 3 of 3

EXHIBIT 1 Idaho Home Energy Savings Incentive Program Current Offerings with Proposed Changes to Measures, Incentives, and This document includes the following three sections: Definitions of terms used in program documents Incentives General Information Incentive tables Definitions Customer: Any party who has applied for, been accepted and receives service at the real property, or is the electricity user at the real property. Energy Efficiency Incentive: Payments of money made by Company to Owner or Customer or other approved party for installation of an Energy Efficiency Measure pursuant to an approved Energy Efficiency Incentive Application. Energy Efficiency Incentive Application: An application submitted by Owner or Customer to Rocky Mountain Power for Energy Efficiency Incentives. Energy Efficiency Measure (EEM): A permanently installed measure which can improve the efficiency of the Customer's electric energy use. New Home: A newly constructed residence. Mid-Market: An approved third party (typically a contractor, manufacturer, or retailer) who installs Energy Efficiency Measures at the real property or sells Energy Efficiency Measures. Owner: The person who has both legal and beneficial title to the real property, and is the mortgager under a duly recorded mortgage of real property, the trustor under a duly recorded deed of trust. Prescriptive incentives Maximum per unit incentives are listed in the program incentive tables for specific Energy Efficiency Measures (EEMs). Incentives are subject to change and current incentives can be found at http://www.homeenergysavings.net/idaho. Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017 Page 1 of 8

Clothes Washer Evaporative Cooler Room Air Conditioner Heat Pump Water Heater Advanced Power Strips Smart Thermostat Appliance Incentive Table CEE Tier 2 and above, see list on program website. Homes equipped with gas domestic water heating and gas dryer do not qualify for the incentive. See additional installation requirements on program website. Larger equipment must be a new install. Replacement of existing unit does not qualify. Customers may self-install. ENERGY STAR, see list on program website Customer/Mid-Market Incentive $50 2,000 3,499 CFM - $75 >3,499 CFM - $150 $20 NEEA Northern Climate Specification Tier 1 - $600 Tier 2 and above - $700 Power strip must have occupancy, infrared, or load-sensor and automatically shut off the plug loads $60 when no motion or reduced load is detected for a period of time Wi-Fi enabled, programmable, online dashboard and/or mobile device app, occupancy sensor.occupancy sensing units must be enabled. Only electrically heated homes are eligible for an incentive. Customers may self-install unit. $100 Notes for appliance incentives: EF = Energy Factor MEF = Modified Energy Factor CEE = Consortium for Energy Efficiency CFM = Cubic Feet per Minute Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017 Page 2 of 8

Insulation Attic Insulation Floor Insulation Wall Windows Notes for weatherization incentive table: Weatherization Incentive Table Pre-existing < R-11. Final insulation minimum of R-49. Only electrically heated homes are eligible. See additional installation requirements on program website. Customers may selfinstall. Pre-existing < R-11. Final insulation minimum of R-30. Electrically heated homes only. See additional installation requirements on program website. Customers may self-install. No existing insulation. Final insulation minimum of R-13, or fill cavity. See additional installation requirements on program website. Only electrically heated homes are eligible for incentive. Electrically heated homes only. See additional installation requirements on program website. Customers may selfinstall. Customer/Mid-Market Incentive $0.50/sf. for electrically heated home $0.50/sf. for electrically heated home $0.65/sf. for electrically heated home Tier 1- U-factor of 0.30 or lower- $1.00/sf for electrically heated home Tier 2- U-factor of 0.22 or lower- $3.00/sf for electrically heated home 1. For Windows, homes must be heated with electric heating (forced air furnace, heat pump or zonal heating) system serving at least 80% of the home s conditioned floor area in order to qualify. 2. For Insulation Attic, Wall, and Floor, homes must have electric heating (forced air furnace, heat pump or zonal heating) system serving at least 80% of the home s conditioned floor area in order to qualify. R-Value = Thermal resistance of a material U-Factor = Inverse of R-value used to measure the amount of heat transmitting through a square foot of material Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017 Page 3 of 8

Central Air Conditioner Duct Sealing and Insulation Duct Sealing Only Pre-Insulated Ducts Heat Pump Upgrade to 9.0 HSPF with Best Practices Installation and Proper Sizing Heat Pump Conversion to 8.5 HSPF with Best Practices Installation and Proper Sizing Tier 1 HVAC Incentive Table Equipment must be 15+ SEER/12.5 EER. Equipment must be installed by a participating program trade ally. See additional installation requirements on program website. Minimum of 10 feet exposed duct work in unconditioned space, Pre-existing duct insulation must be R-2 or less and duct work must be insulated to R-8 or greater with all physically accessible duct work in unconditioned space sealed and insulated according to specifications in the HVAC trade ally program manual. Home must have a ducted electric heating system or heat pump serving 80% of the home s conditioned floor area. Pre-existing insulation level must be R-2 or greater, require a minimum of 10 feet of ducts in unconditioned space. All physically accessible ducts located outside conditioned space must be sealed according to specifications in the HVAC trade ally program manual. Home must have a ducted electric heating system or a heat pump serving 80% of the home s conditioned floor area. For upgrade of existing heat pump to new high efficiency heat pump. New heat pump must be 9.0 HSPF with recommended Best Practices Installation & Proper Sizing. The equipment must be installed by a Qualified trade ally and recommended Best Practices Installation and Proper Sizing requirements must be met as outlined in the HVAC trade ally program manual. Must replace a permanently installed electric resistance heat system (i.e. electric baseboard, ceiling/wall heater or an electric forced air furnace). New heat pump must be 8.5 HSPF heat pump with required Best Practices Installation & Proper Sizing. The equipment must be installed by a Qualified trade ally and recommended Best Practices Installation and Proper Sizing requirements must be met as outlined in the HVAC trade ally program manual. Customer/ Mid-Market Incentive $100 $450 $250 $500 $750 Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017 Page 4 of 8

Heat Pump Conversion to 9.0 HSPF with Best Practices Installation and Proper Sizing Tier 2 Heat Pump Best Practices Installation and Proper Sizing Ductless Heat Pump 95% Gas Furnace Equipped w/ ECM Blower Motor Must replace a permanently installed electric resistance heat system (i.e. electric baseboard, ceiling/wall heater or an electric forced air furnace). New heat pump must be 9.0 HSPF heat pump with required Best Practices Installation & Proper Sizing. The equipment must be installed by a Qualified trade ally and recommended Best Practices Installation and Proper Sizing requirements must be met as outlined in the HVAC trade ally program manual. Measure is available to all new heat pump installations with minimum 8.2 HSPF (or current federal standard) and no greater than 8.9 HSPF. Measurecannot be combined with Heat Pump Upgrade as this service is already a requirement for that measure. Must be installed by a Qualified program contractor. The sizing and installation of the equipment must meet program requirements as outlined in the HVAC trade ally program manual. New heat pump must be 9+ HSPF, 16+ SEER with an inverter driven outdoor compressor unit and a variable speed fan for indoor blower and be fully ductless. Single and multi-head units qualify. Existing heating system must be a permanently installed electric resistance system (i.e. electric baseboard, ceiling/wall heater or an electric forced air furnace) and must serve at least 80% of the home s conditioned floor area. This measure is not offered to customers replacing an existing air source heat pump, and is limited to one unit per residence. 95% AFUE gas furnace equipped with an ECM in houses with central air conditioning, Combined supply and return static pressure needs to be between 0.35-0.65 wci (87-162 pa) when installed. Home must be electrically cooled (central air conditioner serving at least 80% of the home s conditioned floor area) to qualify. The job must be performed by a program participating trade ally to program requirements as outlined in the HVAC trade ally program manual.. Customer/ Mid-Market Incentive $850 $250 $800 $250 Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017 Page 5 of 8

Ground Source Heat Pump Upgrade from Air Source Heat Pump (ASHP) Ground Source Heat Pump Conversion from Forced Air Furnace Whole Home Upgrade Package Manufactured Homes Duct Sealing ENERGY STAR rated geothermal heat pump 3.6 COP and 16.2 EER open or closed loop system. This measure is not available to homes already equipped with a geothermal system, but rather for the upgrade from an air source heat pump. The equipment must be installed by a participating trade ally and meet requirements as outlined in the HVAC trade ally program manual. For replacement of current permanently installed electric resistance heating system with a new ENERGY STAR rated geothermal heat pump 3.6 COP and 16.2 EER open or closed loop system. The equipment must be installed by a participating trade ally and meet requirements as outlined in the HVAC trade ally program manual. Install all of the following per Program requirements: Electrically heated homes: Heat Pump Conversion with Best Practices for Installation and Proper Sizing Tier 2, or Heat Pump Upgrade with Best Practices for Installation and Proper Sizing, or Ductless Heat Pump Duct Sealing & Insulation Attic Insulation Incentive will vary based on type and quantity of measures installed. Must have ducted electric heating system serving at least 80% of the home s floor area. Existing insulation should only be removed if it is being replaced. Customer/ Mid-Market Incentive $2,000 $3,000 $1,000 $750 Notes for HVAC incentive table: CAC = Central Air Conditioner SEER = Seasonal Energy Efficiency Ratio EER = Energy Efficiency Ratio HSPF = Heating Seasonal Performance Factor HVAC = Heating, Ventilating and Air Conditioning TXV = Thermal Expansion Valve CFM = Cubic Feet per Minute AFUE = Annual Fuel Utilization Efficiency ECM = Electronically Commutated Motor Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017 Page 6 of 8

WCI = Water Column Inch PA = Pascal COP = Coefficient of Performance Measure LEDs (Light Emitting Diodes) - General LED Specialty LED Downlight LED Fixture Notes for lighting incentive table: Lighting Incentive Table ENERGY STAR qualified LED A- lamp lighting ENERGY STAR qualified LED specialty LEDs ENERGY STAR qualified LED downlights ENERGY STAR qualified, torchiere or portable do not qualify. $13.00 $9.00 $13.00 $10 Customer/Mid-Market Incentive 1. Reduced price LED offer may end early if entire LED allocation is sold. Measure Plumbing Incentive Table Customer/Mid-Market Incentive Low Flow Showerheads Unit Flow Rate 2.00 GPM $31 Low Flow Faucet Aerators Unit Flow Rate 1.50 GPM $5 Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017 Page 7 of 8

New Homes Heat Pumps New Homes Ductless Heat Pumps New Homes Heat Pump Water Heater New Homes Windows New Homes Whole Home Performance Path New High Performance Manufactured Homes New Manufactured Homes ENERGY STAR New Manufactured Homes Eco-rated Homes New Homes Incentive Table 9.0 HSPF and must meet Best Practices Installation & Proper Sizing requirements. Customer/Mid-Market Incentive $500 9.0 HSPF, single-head or multihead unit $1,300 Northern Climate Specification Qualified Install windows with a U-Factor 0.22 Primary heat source must be electric. To align with regional New Homes offerings, the Program will offer incentives to builders based on the new home s percentage improvement beyond prevailing state code, beginning at 15% better than code and increasing. The home s performance will be modeled and verified by an independent third-party and the models will be delivered to the program for final savings and incentives calculations. Additional details on Program website. Home must meet NEEAspecifications and receive high performance certification by incorporating energy-efficient enclosure design and construction, HVAC systems, water heating, lighting, and appliances. Home must receive ENERGY STAR certification by incorporating an energy-efficient building enclosure design, airdistribution system, and equipment. Home must receive Eco-rated certification by achieving efficiency metrics in energy, material, water, construction practice, and indoor air quality. $700 $3.00/sf. $5000 Note: Customers who use the performance path method are not eligible for standalone measures. $2,000 $1,000 $1,250 Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017 Page 8 of 8

EXHIBIT 2 Idaho Home Energy Savings Incentive Program Current Offerings with Proposed Changes to Measures, Incentives, and This document includes the following three sections: Definitions of terms used in program documents Incentives General Information Incentive tables Definitions Customer: Any party who has applied for, been accepted and receives service at the real property, or is the electricity user at the real property. Energy Efficiency Incentive: Payments of money made by Company to Owner or Customer or other approved party for installation of an Energy Efficiency Measure pursuant to an approved Energy Efficiency Incentive Application. Energy Efficiency Incentive Application: An application submitted by Owner or Customer to Rocky Mountain Power for Energy Efficiency Incentives. Energy Efficiency Measure (EEM): A permanently installed measure which can improve the efficiency of the Customer's electric energy use. New Home: A newly constructed residence. Mid-Market: An approved third party (typically a contractor, manufacturer, or retailer) who installs Energy Efficiency Measures at the real property or sells Energy Efficiency Measures. Owner: The person who has both legal and beneficial title to the real property, and is the mortgager under a duly recorded mortgage of real property, the trustor under a duly recorded deed of trust. Prescriptive incentives Maximum per unit incentives are listed in the program incentive tables for specific Energy Efficiency Measures (EEMs). Incentives are subject to change and current incentives can be found at http://www.homeenergysavings.net/idaho. Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017December 2015 Page 1 of 8

Clothes Washer Evaporative Cooler Room Air Conditioner Heat Pump Water Heater Advanced Power Strips Smart Thermostat Appliance Incentive Table CEE Tier 2 and above, see list on program website. Homes equipped with gas domestic water heating and gas dryer do not qualify for the incentive. See additional installation requirements on program website. Larger equipment must be a new install. Replacement of existing unit does not qualify. Customers may self-install. ENERGY STAR, see list on program website Customer/Mid-Market Incentive $50 2,000 3,499 CFM - $75 >3,499 CFM - $150 $20 NEEA Northern Climate Specification Tier 1 - $600 Tier 2 and above - $700 Power strip must have occupancy, infrared, or load-sensor and automatically shut off the plug loads $60 when no motion or reduced load is detected for a period of time Wi-Fi enabled, programmable, online dashboard and/or mobile device app, occupancy sensor.occupancy sensing units must be enabled. Only electrically heated homes are eligible for an incentive. Customers may self-install unit. $100 Notes for appliance incentives: EF = Energy Factor MEF = Modified Energy Factor CEE = Consortium for Energy Efficiency CFM = Cubic Feet per Minute Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017December 2015 Page 2 of 8

Insulation Attic Insulation Floor Insulation Wall Windows Notes for weatherization incentive table: Weatherization Incentive Table Pre-existing < R-11. Final insulation minimum of R-49. Only electrically heated homes are eligible. See additional installation requirements on program website. Customers may selfinstall. Pre-existing < R-11. Final insulation minimum of R-30. Electrically heated homes only. See additional installation requirements on program website. Customers may self-install. No existing insulation. Final insulation minimum of R-13, or fill cavity. See additional installation requirements on program website. Only electrically heated homes are eligible for incentive. Electrically heated homes only. See additional installation requirements on program website. Customers may selfinstall. Customer/Mid-Market Incentive $0.50/sf. for electrically heated home $0.50/sf. for electrically heated home $0.65/sf. for electrically heated home Tier 1- U-factor of 0.30 or lower- $1.00/sf for electrically heated home Tier 2- U-factor of 0.22 or lower- $3.00/sf for electrically heated home 1. For Windows, homes must be heated with electric heating (forced air furnace, heat pump or zonal heating) system serving at least 80% of the home s conditioned floor area in order to qualify. 2. For Insulation Attic, Wall, and Floor, homes must have electric heating (forced air furnace, heat pump or zonal heating) system serving at least 80% of the home s conditioned floor area in order to qualify. R-Value = Thermal resistance of a material U-Factor = Inverse of R-value used to measure the amount of heat transmitting through a square foot of material Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017December 2015 Page 3 of 8

Central Air Conditioner Duct Sealing and Insulation Duct Sealing Only Pre-Insulated Ducts Heat Pump Upgrade to 9.0 HSPF with Best Practices Installation and Proper Sizing Heat Pump Conversion to 8.5 HSPF with Best Practices Installation and Proper Sizing Tier 1 HVAC Incentive Table Equipment must be 15+ SEER/12.5 EER. Equipment must be installed by a participating program trade ally. See additional installation requirements on program website. Minimum of 10 feet exposed duct work in unconditioned space, Pre-existing duct insulation must be R-2 or less and duct work must be insulated to R-8 or greater with all physically accessible duct work in unconditioned space sealed and insulated according to specifications in the HVAC trade ally program manual. Home must have a ducted electric heating system or heat pump serving 80% of the home s conditioned floor area. Pre-existing insulation level must be R-2 or greater, require a minimum of 10 feet of ducts in unconditioned space. All physically accessible ducts located outside conditioned space must be sealed according to specifications in the HVAC trade ally program manual. Home must have a ducted electric heating system or a heat pump serving 80% of the home s conditioned floor area. For upgrade of existing heat pump to new high efficiency heat pump. New heat pump must be 9.0 HSPF with recommended Best Practices Installation & Proper Sizing. The equipment must be installed by a Qualified trade ally and recommended Best Practices Installation and Proper Sizing requirements must be met as outlined in the HVAC trade ally program manual. Must replace a permanently installed electric resistance heat system (i.e. electric baseboard, ceiling/wall heater or an electric forced air furnace). New heat pump must be 8.5 HSPF heat pump with required Best Practices Installation & Proper Sizing. The equipment must be installed by a Qualified trade ally and recommended Best Practices Installation and Proper Sizing requirements must be met as outlined in the HVAC trade ally program manual. Customer/ Mid-Market Incentive $100 $450 $250 $500 $750 Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017December 2015 Page 4 of 8

Heat Pump Conversion to 9.0 HSPF with Best Practices Installation and Proper Sizing Tier 2 Heat Pump Best Practices Installation and Proper Sizing Ductless Heat Pump 95% Gas Furnace Equipped w/ ECM Blower Motor Must replace a permanently installed electric resistance heat system (i.e. electric baseboard, ceiling/wall heater or an electric forced air furnace). New heat pump must be 9.0 HSPF heat pump with required Best Practices Installation & Proper Sizing. The equipment must be installed by a Qualified trade ally and recommended Best Practices Installation and Proper Sizing requirements must be met as outlined in the HVAC trade ally program manual. Measure is available to all new heat pump installations with minimum 8.2 HSPF (or current federal standard) and no greater than 8.9 HSPF. Measurecannot be combined with Heat Pump Upgrade as this service is already a requirement for that measure. Must be installed by a Qualified program contractor. The sizing and installation of the equipment must meet program requirements as outlined in the HVAC trade ally program manual. New heat pump must be 9+ HSPF, 16+ SEER with an inverter driven outdoor compressor unit and a variable speed fan for indoor blower and be fully ductless. Single and multi-head units qualify. Existing heating system must be a permanently installed electric resistance system (i.e. electric baseboard, ceiling/wall heater or an electric forced air furnace) and must serve at least 80% of the home s conditioned floor area. This measure is not offered to customers replacing an existing air source heat pump, and is limited to one unit per residence. 95% AFUE gas furnace equipped with an ECM in houses with central air conditioning, Combined supply and return static pressure needs to be between 0.35-0.65 wci (87-162 pa) when installed. Home must be electrically cooled (central air conditioner serving at least 80% of the home s conditioned floor area) to qualify. The job must be performed by a program participating trade ally to program requirements as outlined in the HVAC trade ally program manual.. Customer/ Mid-Market Incentive $850 $250 $800 $250 Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017December 2015 Page 5 of 8

Ground Source Heat Pump Upgrade from Air Source Heat Pump (ASHP) Ground Source Heat Pump Conversion from Forced Air Furnace Whole Home Upgrade Package Manufactured Homes Duct Sealing ENERGY STAR rated geothermal heat pump 3.6 COP and 16.2 EER open or closed loop system. This measure is not available to homes already equipped with a geothermal system, but rather for the upgrade from an air source heat pump. The equipment must be installed by a participating trade ally and meet requirements as outlined in the HVAC trade ally program manual. For replacement of current permanently installed electric resistance heating system with a new ENERGY STAR rated geothermal heat pump 3.6 COP and 16.2 EER open or closed loop system. The equipment must be installed by a participating trade ally and meet requirements as outlined in the HVAC trade ally program manual. Install all of the following per Program requirements: Electrically heated homes: Heat Pump Conversion with Best Practices for Installation and Proper Sizing Tier 2, or Heat Pump Upgrade with Best Practices for Installation and Proper Sizing, or Ductless Heat Pump Duct Sealing & Insulation Attic Insulation Incentive will vary based on type and quantity of measures installed. Must have ducted electric heating system serving at least 80% of the home s floor area. Existing insulation should only be removed if it is being replaced. Customer/ Mid-Market Incentive $2,000 $3,000 $1,000 $750 Notes for HVAC incentive table: CAC = Central Air Conditioner SEER = Seasonal Energy Efficiency Ratio EER = Energy Efficiency Ratio HSPF = Heating Seasonal Performance Factor HVAC = Heating, Ventilating and Air Conditioning TXV = Thermal Expansion Valve CFM = Cubic Feet per Minute AFUE = Annual Fuel Utilization Efficiency ECM = Electronically Commutated Motor Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017December 2015 Page 6 of 8

WCI = Water Column Inch PA = Pascal COP = Coefficient of Performance Measure CFLs-General Purpose (Spiral) CFLs-Specialty LEDs (Light Emitting Diodes) - General LED Specialty LED Downlight CFL Fixture LED Fixture Notes for lighting incentive table: Lighting Incentive Table ENERGY STAR qualified. See list on program website. ENERGY STAR qualified. See list on program website. ENERGY STAR qualified LED A- lamp lighting ENERGY STAR qualified LED specialty LEDs ENERGY STAR qualified LED downlights ENERGY STAR qualified, torchiere or portable do not qualify. ENERGY STAR qualified, torchiere or portable do not qualify. $3.00 $4.00 $13.00 $9.00 $13.00 $10 $10 Customer/Mid-Market Incentive 1. Reduced price CFL/LED offer may end early if entire CFL/LED allocation is sold. Measure Plumbing Incentive Table Customer/Mid-Market Incentive Low Flow Showerheads Unit Flow Rate 2.00 GPM $31 Low Flow Faucet Aerators Unit Flow Rate 1.50 GPM $5 Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017December 2015 Page 7 of 8

New Homes Heat Pumps New Homes Ductless Heat Pumps New Homes Heat Pump Water Heater New Homes Windows New Homes Whole Home Performance Path New High Performance Manufactured Homes New Manufactured Homes ENERGY STAR New Manufactured Homes Eco-rated Homes New Homes Incentive Table 9.0 HSPF and must meet Best Practices Installation & Proper Sizing requirements. Customer/Mid-Market Incentive $500 9.0 HSPF, single-head or multihead unit $1,300 Northern Climate Specification Qualified Install windows with a U-Factor 0.22 Primary heat source must be electric. To align with regional New Homes offerings, the Program will offer incentives to builders based on the new home s percentage improvement beyond prevailing state code, beginning at 15% better than code and increasing. The home s performance will be modeled and verified by an independent third-party and the models will be delivered to the program for final savings and incentives calculations. Additional details on Program website. Home must meet NEEAspecifications and receive high performance certification by incorporating energy-efficient enclosure design and construction, HVAC systems, water heating, lighting, and appliances. Home must receive ENERGY STAR certification by incorporating an energy-efficient building enclosure design, airdistribution system, and equipment. Home must receive Eco-rated certification by achieving efficiency metrics in energy, material, water, construction practice, and indoor air quality. $700 $3.00/sf. $5000 Note: Customers who use the performance path method are not eligible for standalone measures. $2,000 $1,000 $1,250 Exhibit 1 - Idaho HES Program Incentive Tables Effective March 30, 2017December 2015 Page 8 of 8