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May 21, noon CDT

Go beyond weatherization kits and compact fluorescent light bulbs!

Too often, utility programs to help low-income customers begin and end with the tried-and-true measures. The Clean Energy Ambassadors  free Lunchtime webinar for May highlights innovative energy-efficiency programs that can really make a difference on your low-income customers’ utility bills.

Join your utility colleagues online the third Tuesday of each month from 12-1 p.m. Central time. The Lunchtime Webinar Series offers candid, informal discussions that address the needs of consumer-owned power providers and their rate payers. Visit Clean Energy Ambassadors to register for this free event and to see the full line-up of CEA services and events. If you have any questions please contact Anthony Cutler at 406-969-1040.

The difficult task of explaining load management to someone outside the utility industry is one you have to tackle if your utility plans to market a peak-shaving, demand response program to customers. A recent article in Energy Pulse , by Energy Consultant Sarah Battaglia of Energy Curtailment Specialists, Inc.  , makes it a little easier. Battaglia’s list of Top 10 questions about demand response programs speaks to the customer’s concerns, but utilities should pay attention to her answers.

Demand response is a tried-and-true measure to most utility professionals but your customers may not be familiar with it. Before large key accounts enroll in a program, they need to understand how the strategy helps the utility—and helps them—including how their businesses might be affected by brownouts or blackouts. They will want to know when and how often events occur, who will notify the company and how, what kind of hardware they need and who pays for it and installs it. Member services representatives should be prepared to offer customers different ways to curtail their energy use based on the type of business.

Utility programs are more likely to succeed when you look at your services through the customers’ eyes and treat them like partners, rather than passive receivers. This article provides insight into the business owners’ point of view and can help program managers be ready with straightforward explanations that will earn the customer’s participation and trust.

Western congratulates  Southeast Electric Cooperative  for earning the Community Service Award-Youth Division from the National Rural Electric Cooperative Association  (NRECA). Earlier this year, the Montana cooperative helped to coach a team of students from Carter County, Mont., to victory in America’s Home Energy Education Challenge .

Karen Kreitel and Marlene Waterland of Southeast Electric Cooperative with NRECA CEO Glenn English and NRECA President Mike Guidry. (Photo by Southeast Electric Cooperative)

The national student competition encourages students and their families to start saving money by saving energy.  The judges, who are science teachers, evaluated entries based on the inclusion of multiple schools, student participation, energy savings and a final report.  At least 94 schools and 120,000 students participated nationwide.

In June, Energy Services Bulletin reported on the Carter County School District’s triumph in the competition. Southeast Member Services Representative Marlene Waterland worked with five schools in the co-op’s territory to help them with their energy saving plans. Educational displays she borrowed from Western’s Equipment Loan Program helped to demonstrate concepts about energy use to third- through eighth-graders. 

The Carter County team – Alzada Elementary School, Carter County High School, Ekalaka Elementary School (K-8th grade), Hammond School (K-8th grade) and Hawks Home School – won the national competition by successfully reducing their home energy use by 3.4 percent. Montana Electric Cooperatives Inc.   submitted that program to NRECA for national consideration.

Waterland accepted the award at the 12th annual TechAdvantage Expo Feb. 20. NRECA CEO Glenn English praised the small rural utility, noting, ”Southeast Electric Cooperative has shown what it means to be a cooperative by engaging with the community – from age 5 on up – and finding new ways to improve the quality of life for their consumer members.”

New technologies and innovative program designs are combining to create energy-efficiency programs that can meet the aggressive saving targets many states are setting, according to a new report from the American Council for an Energy-Efficient Economy  (ACEEE).

Frontiers of Energy Efficiency: Next Generation Programs Reach for High Energy Savings finds that these next-generation technologies and programs can potentially achieve and sustain savings as high as 27 percent of forecasted electricity use and 19 percent of forecasted natural gas use by 2030. “As our report shows, new technologies and practices plus new program approaches unlock further opportunities to achieve large energy savings,” said Dan York, ACEEE utilities program director, and lead-author of the report.

Energy-efficiency programs for utility customers have been in place for over three decades in many areas in the United States. In the last 10 years, policies establishing high, specific energy savings targets have contributed to significant growth of these programs. For example, increasingly stringent building codes and energy-efficiency standards for appliances and other technologies are moving baselines for energy-efficiency performance higher.

The challenge facing these programs over the next two decades is to continue to achieve and sustain high savings levels. Certain types of programs in particular are having difficulty achieving high participation rates. The report profiles technologies and programs that offer an answer to these concerns.

While savings opportunities exist for all types of customers, the report finds some of the greatest potential exists for renovations and retrofits of homes and commercial buildings. Lighting also remains a large source of energy savings along with building mechanical systems and a variety of electronics.

Reaching more customers is another direction for next generation programs. Better data analytics improve understanding of more narrowly defined customer segments, enabling program administrators to focus incentives and marketing. Programs serving historically hard-to-reach customers, such as multifamily housing residents and manufactured home owners, are finding more success.

Another clear trend across program portfolios is an emphasis on better understanding customer behavior and motivations. Utilities are using such insights to design programs that engage greater numbers of customers to take actions that save energy.

The report examines a total of 22 different program types and concepts, from residential lighting to commercial buildings to industrial processes, along with a wide range of energy-efficiency technologies, including light-emitting diode (LED) lighting; high-efficiency heating, ventilation, and air-conditioning (HVAC) equipment; and combined heat and power (CHP) systems. The authors interviewed a large number of experts on customer programs and technologies, and collected numerous examples of these leading principles and practices in action.

Maggie Molina, ACEEE state policy senior manager and report co-author, called the report a valuable resource for utilities looking to help consumers save money by using less energy. “With a wealth of information on the leading edge of program designs and energy-efficiency technologies, this report shows that program designers have an increasing number of options to achieve greater energy efficiency,” she said. Source: American Council for an Energy Efficient Economy, 1/9/13

[Editor's note: This story was originally published in the January 2013 issue of Energy Services Bulletin.]

 Holy Cross Energy recently chose Mary Wiener, a former energy advisor with Boulder County EnergySmart, to head up its energy-efficiency program. Throughout the year, Energy Services Bulletin will follow Wiener in her first utility job, as she develops programs to reduce members’ energy use and reach Holy Cross’s ambitious goals.

Reinventing savings
Utilities with established energy-efficiency programs must perform a balancing act. On one hand, offerings and strategies must be updated to reflect changes in technology, fuel prices and load and market conditions. On the other, few consumers have the time or inclination to follow an ever-changing menu of rebates and incentives.

Holy Cross’s carbon reduction program has successfully walked the tightrope since the Glenwood Springs, Colo.-based cooperative introduced it eight years ago. In the fall of 2012, Wiener joined the utility as its first energy-efficiency program administrator to take the program through its next evolution. “People are familiar with WE CARE, but the rebates are changing,” she explained. “We’re relaunching the program Jan. 2 with a new marketing plan and logo specifically to communicate those changes to our customers.”

The biggest change in Holy Cross’s program is its focus on the commercial sector. The utility’s plan to save 33,039 megawatt-hours (MWh) over five years is committing 60 percent of the WE CARE funding to an energy efficiency portfolio, and two-thirds of the portfolio funding to commercial programs.

Holy Cross will continue to offer incentives to help residential customers make their homes more comfortable and efficient, but the commercial sector uses far more energy. “Recreation and tourism are the biggest industries in the Roaring Fork and Vail valleys, and ski resorts are Holy Cross’s biggest customers,” Wiener pointed out. “If we are going to reach our goal of 6,600 megawatts of incremental savings annually, we have to reduce the biggest load.”

Opportunities in every business
The program takes aim at those customers with rebates for refrigeration, motor and lighting upgrades. “Lighting is a great place for businesses to reduce energy use, and it opens doors to talk about other improvements because it’s everywhere,” notes Wiener. “Ski resorts, hotels and restaurants may call about lighting upgrades, but learn that upgrading to more efficient motors or refrigeration systems offers even more savings.”

Motor loads may not be as obvious to a hospitality business as lighting, but they are just as important to saving energy. Improving motor efficiency in water treatment systems, air handlers, agricultural pumps and even cooling equipment could give Holy Cross a big push toward its goal. Coming from Colorado’s Front Range, and EnergySmart’s generous rebate for rooftop cooling units, Wiener learned that air conditioning in the mountains in the summer is a bigger load than most people realize.

One issue that is the same on either side of the Continental Divide is that commercial lighting has plenty of room for improvement. Wiener recalled that about 90 percent of the rebates EnergySmart paid out were for efficient lighting upgrades. Lighting became her specialty, and she has applied that expertise to developing more sophisticated incentives for Holy Cross. “Customers can still get rebates for LEDs and controls, but the rebates are for watts saved, rather than one-for-one lamp replacement,” she explained.

Wiener added that her experience is also helpful when dealing with contractors. “I can look at quotes and suggest different solutions,” she said. “Sometimes, contractors need a little push to think outside the box; for example, using low-wattage 28-watt T8s instead of 32-watt units.”

Unique residential challenge
Wiener admits to being less familiar with residential efficiency, but is learning fast from Holy Cross Energy Auditor Eileen Wysocki. Holy Cross offers residential customers complimentary walk-through audits with an infrared camera, and she has joined Wysocki on several occasions. The audits will continue to be part of Holy Cross’s residential efficiency program.

Even if she had more residential experience, Wiener would be encountering a different challenge in Holy Cross’s territory—the large, second-home property. Unlike primary residences on the Front Range, these homes sit unoccupied for long periods. With multiple refrigerators and freezers, entertainment systems, heating and cooling systems, spas, incandescent lighting, heat tape and snowmelt systems, these homes can use more energy than a small business. “It takes more than an understanding of building science to reduce the energy use in big vacation homes,” Wiener acknowledged. “We are actively working with property managers and homeowners to help minimize energy use in these homes when they are unoccupied.”

Ropes to learn
Wiener has set some other goals for the next year, both personally and professionally. Because she is new to the Roaring Fork Valley, as well as to the utility industry, she plans to get acquainted with as many businesses as possible. “Holy Cross has a reputation as a utility that cares about its customers, and I’m going to build on that,” she said.

Another priority is to make it as easy as possible for customers to submit rebate paperwork for prescriptive measures, or to design their own custom efficiency packages. “We’re in the market to buy ‘negawatts’— or more simply, we are paying for energy savings,” she said. “If they are already making the effort to reduce their energy load, they should be rewarded for their efforts.”

The biggest hurdle for Wiener, however, is just getting the word out and hitting Holy Cross’s goal. Western wishes Mary Wiener and Holy Cross good luck with the new energy-efficiency program and looks forward to following their progress.

The Minnesota Department of Commerce is seeking utilities with convenience store customers to participate in a pilot project funded by its Conservation Applied Research and Development (CARD) grant . The CARD grant program identifies new technologies, strategies and program approaches that help utilities to achieve the annual state energy conservation goal of 1.5 percent. 

The Convenience Store Energy Efficiency CARD grant pilot project focuses on optimizing the performance of existing equipment, lighting, motors, air infiltration and controls, rather than major equipment replacements. Any convenience store with older equipment could benefit from this pilot project.

Michaels Energy  received the first award in March 2012, and has completed audits on four primary sites. The audits showed opportunities to reduce annual operating costs by 15 to 17 percent per site. The results are being used to develop a template for delivering services in another 46 Minnesota convenience stores. So far, only 20 additional sites have signed on to the project, so the end date for the grant has been extended.

Please contact Ralph Dickinson of Michaels Energy at 651-900-4710 if you have Minnesota convenience store customers that could participate in this pilot. Pilot sites served by municipal utilities are particularly sought, as the grant specifically aims to help municipals stretch limited resources and address a customer type that can be difficult to impact.

The Shelton Group  sustainability consultants are launching a new energy-efficiency marketing optimization platform called Do 5 Things. 

The idea behind the platform is that Americans who make five or more improvements to their homes are more likely to report their bills went down. On the other hand, people who self-report making three or fewer energy-efficiency improvements also report that their energy consumption and utility costs remain constant or, worse, go up. This phenomenon has resulted in growing apathy toward energy efficiency among consumers, coupled with increasing anger toward power providers. Consumers feel that the energy-saving improvements they made haven’t delivered as promised, and they aren’t interested in investing more time, effort and money in efficiency. 

Do 5 Things combines aspects of market segmentation, behavior change and consumer perceptions to increase rebate redemption and encourage people to adopt energy-conserving behaviors. From years of experience doing consumer segmentation in the energy field, the Shelton Group has gained a thorough understanding of key customer segments, their motivations and their barriers.   

Do 5 Things could provide utilities with a valuable tool for load management. Visit the site and share your thoughts with us in the comment section. Source: The Shelton Group, 10/25/12

Western was one of 17 organizations presented a “Partners in Conservation” award by the Deputy Secretary of the Interior at a ceremony on Oct. 18 in Washington D.C., for participation in the Colorado River Basin Water Supply and Demand Study.

The Colorado River Basin Water Supply and Demand Study is a joint effort among more than 70 Federal and state agencies, Native American tribes, environmental groups and other organizations to establish a common foundation for resolving future water supply and demand imbalances. According to Interior, it is the largest, most comprehensive basin-wide analysis ever undertaken and will serve as a model for watershed planning and planning for future growth and climate change near the Colorado River. Read more in Western’ Connections blog.

The coming week offers many educational opportunities for Energy Services professionals. Here are some of the highlights:

• Sustainable Energy Use in the Hotel Industry
  August 21, 11:00 a.m.-12:00 pm MDT
  The U.S. Environmental Protection Agency’s Green Power Partnership (GPP) hosts a webinar featuring information about sustainability in the hotel industry, including success stories from two EPA Green Power Partners that have incorporated green power into their sustainability initiatives, as well as support available to hotels that want to go green. Utilities that serve resort areas might recommend this webinar to large key accounts. Register now!  

• LED Parking and Area Lighting
  August 22, 1-2:00 p.m. MDT
  This webinar, the first in a series on emerging energy-efficiency technologies, explores the benefits, issues and current state of high-efficiency lighting technology. The presentations will include case studies and related energy-saving advances in lighting. Register here.  

• Maximizing Building Envelops for Cooler Environments
  August 23, 11:00 a.m. MST
  The Southwest Energy Efficiency Project (SWEEP) and the Western Cooling Efficiency Center (WCEC) are hosting this energy-efficient cooling information webinar. Efficient air conditioning can only do so much to improve the comfort and reduce energy consumption. This webinar will cover cooling efficiency measures that focus on the building shell. Reserve your webinar seat.  

• Craft-Brewing Energy Efficiency
  August 23, 1:00 p.m. MDT
  The popularity of microbrew beer is growing across the country and especially in the West. Discover practical ways your brewer customers can incorporate energy efficiency into their brewing process and reconnect ancient arts with today’s aspirations for Sustainable Brew. Register today.  

Electric utility groups are applauding the Energy Department’s (DOE) decision to reconsider a rule it issued last year that would limit the size of residential water heaters manufactured after April 2015.

In April 2010, the DOE Office of Energy Efficiency issued a final rule on energy conservation standards for residential water heaters. Electric utility groups feared the rule would interfere with demand-response programs in which consumers allow their utilities to control their water heater’s cycling based on grid conditions.

On June 6, DOE issued a request for information seeking comments on how the rule would affect utility programs that use high-storage-volume (above 55 gallons) electric storage water heaters to reduce peak electricity demand.

The American Public Power Association (APPA) , National Rural Electric Cooperative Association (NRECA) , PJM Interconnection  and the Steffes Corp.  issued a statement June 12 applauding the DOE’s move to request more information on this issue.

“APPA is pleased that the Department of Energy has taken this important first step toward relieving the 2010 constraints imposed on electric water heaters in utility demand-response programs,” said President and CEO Mark Crisson. “Large-volume electric water heaters provide an environmentally friendly and cost effective means for utilities to improve overall system efficiency.”

NRECA CEO Glenn English concurred, noting that electric co-ops have relied on the energy storage capacity of residential water heaters to help manage demand on their distribution systems.

DOE will accept comments through July 13. Information on submitting comments can be found in the RFI. APPA encourages its members that have water heater programs to submit information. Read more.