1
3rd Quarter 2010
Connecticut Energy Efficiency Fund
Commercial & Industrial Program Update
Presented by:
Connecticut Light & Power/
United Illuminating
2









Energy Efficiency Fund
Commercial & Industrial 2010 Electric and Gas Program
Budgets/Caps
American Reinvestment & Recovery Act
Commercial & Industrial 2010 Electric and Gas Programs
LEDs
Looking Ahead to 2011
Important Reminders
Contacts
Questions
3



Energy Efficiency Fund was created in 1998 by CT State
Legislature
Energy efficiency is a valuable resource for Connecticut, it:
◦ Reduces air pollutants and greenhouse gases
◦ Creates monetary savings for customers
◦ Reduces need for more energy generation
◦ Creates jobs
Money for programs comes from electric and natural gas
utility customers
◦ Electric customers pay 3 mils per kilowatt-hour
◦ Natural gas programs are funded through gas utility bills
and approved by the Department of Public Utility Control
 Programs are for firm gas customers only
4
Incentive Budget






CL&P
UI
YGS
CNG
SCG
$31,906,000
$10,191,105
$ 2,503,132
$ 1,120,746
$ 1,064,104
Percent Committed
~
~
~
~
~
75%
100%
90%
99%
95%
Money for programs comes primarily from electric and natural gas utility customers
◦ Electric customers pay three mils per kilowatt-hour
◦ Natural gas programs** are funded through gas utility bills
◦ Other Revenue Sources



Regional Greenhouse Gas Initiative (RGGI)
Forward Capacity Market (FCM)
American Recovery & Reinvestment Act (ARRA)
** Programs are for firm gas customers only
5
08/31/2010
Goal
203
475
42.74%
Total First Year KWH
3,889,247
9,250,981
42.04%
Total Lifetime KWH
48,787,000
109,193,000
44.68%
Summer Peak Annual
680
1,452
46.83%
Total Incentives Paid*
$2,525,237
$2,382,299
106%
# Projects
* includes committed dollars
6
08/31/2010
Goal
768
1,107
69.38%
Total First Year KWH
14,251,100
30,575,827
46.61%
Total Lifetime KWH
173,535,438
372,521,761
46.58%
Summer Peak Annual
2,414
5,402
44.69%
Total Incentives Paid
$3,860,878
$7,916,000
48.77%
# Projects
7
08/31/2010
# Unique Customers
Revised Goal
254
Total Annual KWH
5,635,654
11,574,000
48.69%
Total Lifetime KWH
66,296,383
145,913,000
45.44%
Summer Annual KW
1,292
2,450
52.72%
Total Incentives Paid
$2,024,568
$3,932,329
51.49%
8
$300K
Incentive Cap for each meter per year
AND
$750K per year Per Federal Tax ID
Based
on available budget and timing, Caps may be exceeded.
◦Contact your Utility Representative regarding large projects with the
potential to exceed these cap levels
The
Incentive Cap does not apply to natural gas projects
◦Natural Gas projects in excess $100,000 require DPUC funding approval
(~30 day approval process).
9

ARRA Grant from Connecticut’s Office of Policy
Management for the Energy Opportunities & Equipment
Replacement
◦ Funding is targeted to all fuels
◦ Initial focus Fuel Oil, Propane & Non-firm Natural Gas

Additional requirements:
◦ Davis-Bacon
 Prevailing Wage
 Reporting (Weekly)
◦ Buy American
 Public Projects
10
New Construction,
Major Renovation &
Equipment
Replacement
Operations &
Maintenance
Projects
Retrofit
Projects &
Small
Business
11
Energy Conscious Blueprint Program (ECB)


2010 - Covers up to 95% of the incremental cost of installing measures
2011 – Custom Measures incentive structures will be modified
Energy Opportunities Program (EO)


2010 - Covers up to 40% of the installed cost
2011 – Measures value cap structure will be modified
Rebate Programs
◦ Lighting Express
◦ Motor-up (Will be eliminated in 2011)
◦ Cool Choice
Operations & Maintenance (O&M)

O&M Services and Retro Commissioning



Covers up to 40% of the installed cost
2011 - Increased focus on Retro-Commissioning
Business Sustainability Challenge
12
Process Reengineering for Increased Manufacturing
Efficiency (PRIME)


100% of the cost for the first 2 events
50% of the cost for the 3rd & 4th events
Small Business Energy Advantage Program (SBEA)
◦ CL&P < 200 kW / UI < 150 kW average monthly demand
are eligible
2011 – UI proposing going to 200 kW
◦ Pre-approved list of contractors
◦ 0% financing for qualifying customers
◦ On-the-bill financing available
13





T12 /HID Targeted Replacements
LED / Induction Lighting
Comprehensive Approach
Energy Management Systems
Financing
14


Incentives of up to 50% of the installed cost for the retrofit or
replacement of T-12 and/or HID lighting fixtures completed
in 2010. T-12 HID fixtures must be replaced with fluorescent
(T-8 or better), induction or qualifying solid state
technologies.
Quantity of T-12/HID fixtures included in the project must
exceed 50% of the overall fixtures being retrofitted or
replaced and Lighting Power Density (watts/sq. ft.) must
surpass code by at least 15%.
15
FINANCING


T-12 and/or HID retrofit or replacement projects completed
in 2010 are eligible for a 2.99% interest on the first $100,000
with a maximum 2 year term.
2.99% financing also offered for projects with additional nonlighting measures. T-12/HID portion of the project must be
> 50% of the project’s energy savings.
16



To encourage and promote emerging
technologies, an incentive of up to 50% is
offered for installation of qualified solid state
lighting (LED) and induction lighting
technologies
This higher incentive will only be applied to
qualifying LED and induction lighting
technologies
2011 – Regardless of incentive structure,
LEDs must be “qualified” to receive incentives
17
CL&P and UI have clustered LED categories into
groups (A-C) to establish CEEF Incentive eligibility:

Group A – Energy Star® List for LED Products
◦
◦
◦
◦
Recessed, surface and pendant-mounted down luminaries
Under-cabinet shelf-mounted task luminaries
Wall wash luminaries
Bollards
Only Group A luminaries identified on the Energy Star® List will be
eligible for CEEF program incentives.
http://www.energystar.gov/index.cfm?fuseaction=ssl.display_produ
cts_com_pdf
18

Group B – DesignLights™ Consortium
◦
◦
◦
◦
◦
◦
◦


(NEEP)
Outdoor Pole/Arm-Mounted Area and Roadway Luminaries
Outdoor Pole/Arm-Mounted Decorative Luminaries
Outdoor Wall-Mounted Area Luminaries
Parking Garage Luminaries
Track or Mono-point Directional Lighting Luminaries
Refrigerated Case Luminaries (not eligible for 50% incentive)
Display Case Luminaries
All Group B products must be submitted to, and approved by, Design Light
Consortium to qualify for CEFF program incentives.
The technical requirements for Group B luminaries can be found at:
http://designlights.org/solidstate.manufacturer.requirements.php
19

Group C – LED Lamp Requirements

The technical requirements for qualifying Group C products
are provided by CL&P/UI.

All LED products will be reviewed on per project basis.
◦ Outdoor Pole/Arm-Mounted Area and Roadway Lamp
retrofit
◦ Outdoor Pole/Arm-Mounted Decorative Lamp retrofit
◦ Outdoor Wall-Mounted Area Lamp retrofit
◦ Parking Garage Lamp retrofit
◦ Omnidirectional: A, BT, P, PS, S, T
◦ Decorative: B, BA, C, CA, DC, F, G
◦ Directional: BR, ER, K, MR, PAR, R
◦ Non-standard
20








Efficacy
Minimum Light Output
LM-79 (Approved NVLAP Accredited Lab)
CRI
Manufacture Warranty
CCT
Lumen Maintenance
Power Factor
21
22
23
◦ A Comprehensive project must meet the following
criteria:
 Must have energy savings from at least two electric
end uses and at least two measures
 At least 15 percent of the value of the project’s electric
energy savings and peak summer demand reduction
must be in a non-lighting end use (based on $0.50 per
annual kWh and $700.00 per kW)
 No one measure can have 85 percent or greater of the
value of the project’s energy savings and peak summer
demand reduction (based on $0.50 per annual kWh
and $700 per kW).
24

Must have energy savings from at least two electric
end uses and at least two measures

Incentive is the lesser of:

Additional comprehensive incentives for firm gas
customers:
◦ 50% installed cost (electric portion only)
◦ Buy-down of project to two year payback based on customer
electric metered savings
◦ Energy savings caps of up to $0.50/annual kWh +
$700/summer peak kW combined
◦ 10% added to all qualifying gas measures (unless capped at
Utility energy savings caps)

2011 – Energy Savings Caps being re-evaluated
25


Existing EMS may be upgraded or replaced
regardless of system age (excludes
pneumatics)
For qualifying projects, the incentives will be
calculated based on the lesser of:
◦ 40% of the installed cost
◦ $500 per point (total system points impacted)
◦ Avoided energy cost (one year) - up to
$0.30/Annual kWh and $700/ summer peak kW
combined

2011 – Energy Savings Caps being re-evaluated
26

Municipal & Small Business
◦
◦
◦
◦
◦

0% interest loans to municipalities
On-bill financing
Utilities provide the funding source
Maximum loan amount of $100,000
Maximum loan term - three years (UI - 4 years)
Small Commercial & Industrial
Low Interest Loan (7%)
Average monthly demand > than 10 kW and < 350 kW over the past year
In business at least three years
Qualify via third-party lender’s business credit review process (starts with
the loan application process)
◦ Loan amount between $2,000 and $250,000 providing interest subsidies
on the first $100,000
◦ Maximum loan term not to exceed five years
◦
◦
◦
◦

2011 – Continued Evaluation and Exploration of Financing
Alternatives
27
◦ Energy-efficient Commercial Buildings Tax Deduction
◦ Renewable-energy Tax Credits and Grants
◦ Qualifying Advanced Energy Project Investment Tax Credit
◦ More Info:





www.dsireusa.org
www.energytaxincentives.org/business
www.irs.gov/irb/2006-26_IRB/ar11.html
www.energytaxsavers.com
www.treas.gov/recovery
28



Plan to be filed October 1, 2010
New rules effective January 1, 2011
Highlights
◦ New Transparent Measure Value Caps (under
development)
 Cents/kWh
 Dollars/kW
◦ New Construction
 Prescriptive Incentives
 Whole Building Approach
 LEED/Green Globes, etc.

Early 2011 Program Roll Out
29

October
◦ Compressed Air Challenge 1
◦ Water Source Heat Pumps (2 days)
◦ Energy Code Training

November
◦ Compressed Air Challenge 2 (2 days)
◦ Lighting Controls
Check CL&P/UI Web Site Events Calendars for Updates/Registration
30







3% & 5% Comprehensive Contractor Incentive
◦ Ends November 30, 2010
Contact us early
Letter of Agreement(s) must be signed prior to the
purchasing energy-efficient measures (except rebates)
Agreement Milestone Dates
Project Scope Changes
Project Close-Out Documentation
◦ Invoices, Permits, etc.
Residential - HES
31











CL&P / Yankee Gas Account Executives
New Construction (ECB): Lomont White (860) 665-3790
Retrofit (EO): John Matchett (860) 665-3054
O&M/RCx: Dave McIntosh (203) 352-5457
PRIME: Rich Asselin (860) 665-3292
Natural Gas Programs: Rich Asselin (860) 665-3292
Financing: Randy Vagnini (860) 832-4753
Small Business: Randy Vagnini (860) 832-4753
Cool Choice/Motor Up Rebates: Dave Hayward (860) 6653386
Express Lighting Rebates: Dave Hayward (860) 665-3386
Residential Programs: Joe Swift (860) 832-4936
CT Energy Information: 877-WISE USE (877-947-3873)
32












UI Account Managers
New Construction (ECB): Roy W. Haller (203) 499-2025
Cool Choice: Michelle LeMoine (203) 499-5828
MotorUp: Michelle LeMoine (203) 499-5828
Retrofit (EO): Roy W. Haller (203) 499-2025
Express Lighting: Michelle LeMoine (203) 499-5828
Small Business: Dennis O’Connor (203) 499-3715
Financing: Roy W. Haller (203) 499-2025
O&M Services: Marissa Westbrook (203) 499-3314
Load Response: Rick Rosa (203) 499-2632
Residential Programs: Chris Ehlert (203) 499-2965
Natural Gas Programs: Roy W. Haller (203) 499-2025
33







CEEF/DPUC
CL&P
UI
Yankee Gas
CNG
SCG
CCEF
www.CTEnergyInfo.com
www.cl-p.com
www.uinet.com
www.yankeegas.com
www.cngcorp.com
www.soconngas.com
www.ctcleanenergy.com
34
QUESTIONS???
35