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EXECUTIVE SUMMARY

Bonneville Power Administration’s Energy Smart Design (ESD) provides design assistance and incentives for installation of energy efficiency measures in new and existing commercial buildings. Perhaps the most exciting aspect of ESD is its dynamic evolution from a somewhat limited program to a comprehensive system for promoting and garnering energy savings. This profile aims to capture the progress made by BPA in adapting program parameters to maximize the effectiveness of ESD.

ESD began in 1988 strictly as a design assistance program. BPA’s evaluations identified the need to incorporate financial incentives into the program to increase the uptake of measures identified through design assistance. Therefore, an Optional Services (OS) component was added in 1990 to provide rebates. In October, 1992, a second evolution of the program took place and what BPA calls the "Long Term ESD" program began.

ESD’s mechanism for customer participation is simple. A scoping meeting is held to review the project and explore design alternatives. The utility team and client agree on a list of measures to be examined to determine their effectiveness. Measures are analyzed using modelling, or less complex procedures such as manual calculations, or selection from a rebate list or a prescriptive path manual. Note that the client is not required to accept any of the recommended measures.

The range of conservation measures analyzed for any ESD project is a function of the building type and size. It is common to examine alternate HVAC systems, more efficient lighting, the use of more efficient glazings, as well as building shell thermal improvements. In some cases, such as restaurants and laundries, less common measures such as heat recovery systems are analyzed. Eligibility for rebates under OS is determined and the client may proceed with installation of recommended energy conservation measures and receive incentives.

Savings attributable to ESD were quite small in the first years of the program but with the implementation of OS, savings increased significantly. After just two quarters of the fiscal year 1991-92, estimated annual savings nearly doubled to 22.4 GWh. Through March 31, 1992, projects completed under ESD accumulated 37.6 GWh in annual energy savings and 4.29 aMW in annual demand savings.[R#18]

BPA has spent a total of $5.6 million on ESD since the program’s inception. Even though OS was not implemented until 1991, the total expenditures on OS incentives, at $2.6 million, has already exceeded BPA expenditures on design assistance services, at $2.4 million. At a 5% discount rate, the cost of saved energy for ESD in the first half of the 1991-92 fiscal year was a very respectable 1.36 ¢/kWh.

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EXECUTIVE SUMMARY

Each year over 300,000 horsepower (HP) of 3-phase integral electric motors are purchased by British Columbia Hydro (BCH) customers, including standard and high-efficiency motors. The goal of the High-Efficiency Motors Program has been to transform the market in the province and to make sure that most if not all of these motor sales are high-efficiency motors. Given the low electricity costs in British Columbia, many B.C. Hydro customers have opted to pay the low initial costs of standard efficiency motors despite the lifecycle benefits of high-efficiency motors. Overcoming this barrier, has been the essence of the High-Efficiency Motors Program.

B.C. Hydro launched the Energy-Efficient Motors Program in 1988 and in 1989 it became a full-scale Power Smart initiative with rebates for participating customers. In 1990, a vendor incentive was added to further encourage stocking and sales of high-efficiency motors. In 1990, a Buy-Back option was added to accelerate the change out of the installed stock of standard motors. For participants in the program incentives are offered in the form of rebates of $293 ($350 Canadian) per kW saved. Another $59/kW ($70 Canadian) is offered to distributors under the vendor incentive.

One of the difficulties of implementing a motors program is that motors are sold in three ways, through direct sales, whereby the motor manufacturers' representatives contact and sell large orders to industries directly; through Original Equipment Manufacturers (OEMs) which embed motors in equipment; and by local distributors, or what are commonly called vendors in this profile. B.C. Hydro has been successful at implementing change in all three areas, with particular success in swaying the incorporation of high-efficiency motors in OEM equipment, a most difficult challenge. Six of the ten major motor vendors in the province sell motors to OEMs and these large vendors suggest that 18% of their sales volume is to OEMs, and 63% of that is high-efficiency motors.

The total costs for the program over the 3.25 years in study are $4,080,800. As of December 1991 the program resulted in total annual savings of 47.0 GWh. Note that the program's annual savings have been increasing from 11 GWh in 1989 to 15 GWh in 1990 to 21 GWh in 1991. In terms of peak capacity BCH estimates that the program's net savings are 6.6 MW.But perhaps more important than the overall savings and costs, is the basic fact that the High-Efficiency Motors Program has effectively transformed the motors market in British Columbia. As this profile documents, the province has experienced a dramatic turnaround in the percentage of high-efficiency motors sold in a mere four years. This has clearly been a function of increased awareness and properly calculated incentives strategically placed for maximum effectiveness.

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EXECUTIVE SUMMARY

Burlington Electric Department (BED) is currently engaged in the pioneering DSM practice of promoting the cost effective substitution of alternate fuels for electricity. Three discrete BED projects are presented in this profile as the Heat Exchange Program. The program includes 1) a DOE pilot fuel switching program that resulted in the conversions of 44 residences to natural gas space heating using direct vent gas-fired space heaters; 2) a fuel switching project at the Northgate Housing complex that resulted in conversions of 336 units ; and 3) the full-scale fuel switching program that is currently active in Burlington.

In March of 1990 Burlington’s voters overwhelmingly approved a $11.3 million bond for conservation and DSM programs knowing it would raise rates by 4% to pay for it. As a result of the publicity surrounding the bond issue, over 1,000 buildings were signed up to participate in the Heat Exchange program even before it had begun!

Heat Exchange begins with a free energy audit conducted by a contractor and a BED energy services specialist. After the audit, a report is sent to the customer outlining cost effective measures to be implemented and their prices and projected annual savings. A summary of weatherization work, if necessary, required to meet BED minimum standards is also provided. There are two forms of financing available: a loan or a cash rebate. If the customer finances the work with a loan from BED, BED oversees the work. If the customer finances the project independently to receive the rebate, the customer is responsible for work arrangements and payment of the contractors.

Space heaters comprise 54% of the heating units installed as a result of the Heat Exchange program, while central heating systems make up the other 46%. A strong majority (66%) of the domestic hot water units installed are integrated systems. Most of the weatherization measures involved as part of Heat Exchange are in the form of air sealing. To date, BED’s Heat Exchange program has accounted for total annual energy savings of 7,952 MWh and 1.9 MW.

Out of an eligible population of 2,336 homes with electric space heat, 753 housing units have completed Heat Exchange conversions. Thus the program’s participation rate to date has been 32%. BED projects that 61% of customers with primary electric space heat and 50% of customers with electric water heaters will fuel switch over the 5-8 year life of the program.

Since the program’s inception BED has spent a total of $825,799 on the Heat Exchange program, while its customers have spent more than $2,570,000 on installation costs. Thus BED has paid 24% of the societal cost of the program to date resulting in an admirably low cost of saved energy, calculated at a 5% real discount rate, of 1.24 ¢/kWh.

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EXECUTIVE SUMMARY

The Western Area Power Administration (Western) Pump Testing and Irrigation Efficiency program promotes state-of-the-art methods for improving irrigation pump efficiency by providing pump tests and recommending efficiency improvements. The educational component of the program is perhaps its strongest, as WAPA provides irrigation efficiency analyses and recommends appropriate techniques for reducing the amount of water that must be pumped, and thus the demands upon the irrigation pumps, while still providing crops with sufficient water.

In 1986, funding for a formal pump testing and irrigation efficiency program run by the Colorado State Soil Conservation Board (CSSCB) was provided by WAPA and the Colorado Office of Energy Conservation. The Energy Conservation for Colorado Agriculture (ECCA) office was opened in 1987 to facilitate the interaction of diverse groups funding and participating in the program and to operate the program, with Mr. Carrol Hamon serving as its coordinator. The objective of the office was to promote agricultural energy conservation through an irrigation efficiency program, pump testing, field demonstrations, workshops, seminars, newsletters, and articles.

The program is actually implemented by three pump-testing teams who travel to farms to perform the irrigation pump tests. Pump tests determine well water levels during pumping, pumping rates, discharge pressure, pump and engine speed, and energy use. Any abnormal well conditions are also noted. The results of the pump test inform the farmer whether the pump needs to be adjusted, rebuilt, or replaced. If a pivot sprinkler system is in use, a pivot evaluation, including both a visual evaluation and an evaluation using a series of calibrated bottles spaced equidistant to the pivot, is performed after the pump test. Then the pump test team recommends whether the farmer should consider changing to medium or low pressure irrigation systems. Farmers are introduced to irrigation scheduling techniques and the team often installs gypsum blocks in the field and shows the farmers how to get weekly readings for soil moisture.

In addition to energy savings, the program’s total water savings to date are 56,344 acre feet. A total of 1,749 wells have been tested during the course of the pump testing program, over 300 farms have used gypsum blocks to help with irrigation scheduling as a result of the program, and approximately 250 Low Energy Precision Application systems have been installed.

One of the most interesting lessons learned is that a program involving many diverse groups can indeed be successful. Federal, state, and local government agencies as well as utilities, commercial irrigation companies, farmers, and a university have all been involved. Furthermore, the program includes technologies which range from measurements of the actual need for water, to its most efficient delivery. Finally, this program has shown that farmers are willing to invest money in energy-efficient technologies once they are convinced of the potential for significant savings.

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