Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed:...

45
Date Filed: May 24, 2019 2019 Quarter One Activity for the period January 1 to March 31, 2019 Efficiency Nova Scotia is a franchise awarded by the Province of Nova Scotia to EfficiencyOne, an independent not-for-profit corporation. The franchise was created to help Nova Scotians reduce their energy consumption and improve their energy efficiency and conservation at home and at work. Q1 Demand Side Management Report

Transcript of Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed:...

Page 1: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Date Filed: May 24, 2019

2019 Quarter One Activity for the period January 1 to March 31, 2019

Efficiency Nova Scotia is a franchise awarded by the Province of Nova Scotia to EfficiencyOne, an

independent not-for-profit corporation. The franchise was created to help Nova Scotians reduce

their energy consumption and improve their energy efficiency and conservation at home and at

work.

Q1 Demand Side Management Report

Page 2: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 i

TABLE OF CONTENTS

1. SUMMARY................................................................................................................................ 1

2. QUARTERLY HIGHLIGHTS & 2019 MID-COURSE ADJUSTMENT ............................................... 2

3. RESIDENTIAL SECTOR HIGHLIGHTS .......................................................................................... 9

Efficient Product Rebates (Residential).......................................................................... 10

Existing Residential ......................................................................................................... 12

New Residential .............................................................................................................. 15

4. BUSINESS, NON-PROFIT AND INSTITUTIONAL (BNI) SECTOR HIGHLIGHTS ........................... 17

Efficient Products Rebates (BNI) .................................................................................... 18

Custom Incentives .......................................................................................................... 19

Direct Installation ........................................................................................................... 21

5. LOW-INCOME HIGHLIGHTS ................................................................................................... 23

6. ENABLING STRATEGIES .......................................................................................................... 24

Education and Outreach ................................................................................................ 24

Development and Research ........................................................................................... 25

Other Enabling Strategies .............................................................................................. 26

7. CONCLUSION ......................................................................................................................... 29

Page 3: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 ii

LIST OF TABLES Table 1: 2019 Approved Plan, Mid-Course Adjustments and Q1 Results ...................................... 3

Table 2: Participation Rates ............................................................................................................ 4

Table 3: Unit Cost ............................................................................................................................ 5

Table 4: 2019 Q1 Programs Rate Class Allocations ........................................................................ 6

Table 5: 2019 Year-to Date Residential Results ............................................................................ 10

Table 6: EPR Rate Class Results (Residential) ............................................................................... 11

Table 7: Existing Residential Rate Class Results ............................................................................ 13

Table 8: New Residential Rate Class Results ................................................................................. 16

Table 9: Year-to-Date BNI Results ................................................................................................. 18

Table 10: EPR (BNI) Rate Class Results .......................................................................................... 19

Table 11: Custom Incentives Rate Class Results ........................................................................... 20

Table 12: Direct Installation Rate Class Results ............................................................................ 22

Table 13: Low-Income Results ...................................................................................................... 23

LIST OF FIGURES

Figure 1: 2019 Year-to-Date DSM Expenditures ............................................................................. 7

Figure 2: 2019 Year-to-Date and Planned DSM Program Results (Residential) ............................. 9

Figure 3: 2019 Year-to Date and Planned DSM Program Results (BNI) ........................................ 17

ATTACHMENTS

Attachment 1: Update on 2018 Evaluation and Verification Recommendations

Page 4: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 iii

This page is intentionally blank.

Page 5: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 1 of 29

1. SUMMARY 1

2

In the first quarter (Q1) of 2019, the Efficiency Nova Scotia (ENS) franchise, operated by 3

EfficiencyOne (E1), achieved 23.6 GWh of net incremental energy savings and 5.6 MW of net peak 4

demand savings with an expenditure of $6.8 million. These results are consistent with past years 5

and seasonal trends. As in prior years, several initiatives, such as the Instant Savings in-store 6

campaigns, are planned for launch after Q1. 7

8

With these Q1 results, E1 expects to achieve the Nova Scotia Utility and Review Board (NSUARB) 9

approved 2019 Demand Side Management (DSM) Plan net savings targets, at the generator, of 10

127.2 GWh and 20.2 MW within the approved investment amount of $34.1 million.1 11

1This number is provided to one decimal place. The NSUARB approved a DSM Plan for 2019 in the amount of $34.05 million. See M08604, The Public Utilities Act and An Application by EfficiencyOne for Approval of a Supply Agreement for Electricity Efficiency and Conservation Activities between EfficiencyOne and Nova Scotia Power Incorporated, and the establishment of a final agreement between the Parties, including approval of EfficiencyOne’s 2019 Demand Side Management Resource Plan [NSUARB Order], [23 July 2018].

Page 6: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 2 of 29

2. QUARTERLY HIGHLIGHTS & 2019 MID-COURSE ADJUSTMENT 1

2

E1’s 2019 DSM Resource Plan as filed and approved by the NSUARB, the 2019 Mid-Course 3

Adjustments (MCAs), and Q1 results are presented in Table 1, below. Program participation and unit 4

cost data are presented in Table 2 and Table 3, below respectively. 5

6

In accordance with the 2019 DSM Resource Plan2 and the Standardized Filing Framework3, E1 7

provides explanations of substantial changes, defined as variance in energy savings or investment of 8

25 percent or more at a program level4. With E1 setting 2019 mid-course adjusted targets in Q1, 9

there are no reported variances in energy savings or investment at the program level for the 2019 Q1 10

results as compared to the 2019 mid-course adjusted targets. 11

12

In relation to E1’s commitment on MCAs as outlined in the 2019 DSM Resource Plan, E1 will provide 13

explanations of substantial changes, defined as variances in energy savings or investment of 25 14

percent or more at a program level.5 The Q1 report outlines and discusses the substantial variances 15

from the 2019 MCAs to the 2019 Plan as filed for the following programs: 16

• Efficient Product Rebates (Residential); and 17

• New Residential. 18

2 See M08604, The Public Utilities Act and An Application by EfficiencyOne for Approval of a Supply Agreement for Electricity Efficiency and Conservation Activities between EfficiencyOne and Nova Scotia Power Incorporated, and the establishment of a final agreement between the Parties, including approval of EfficiencyOne’s 2019 Demand Side Management Resource Plan, page 82 of PDF [Section 2.5.1 Quarterly Reporting, E1 Evidence, Page 11]. 3 See M07543, NSUARB, Board Letter re. provide clarity on achieving consensus on outstanding issues [13 September 2016]. The Standardized Filing Framework (Appendix 1 of the Consensus Agreement) filed with the NSUARB on July 20, 2016, outlines standard DSM information items and was signed by EfficiencyOne, NS Power, the Consumer Advocate, the Small Business Advocate, the Industrial Group, the Municipal Electric Utilities of Nova Scotia, the Affordable Energy Coalition, the Ecology Action Centre. 4 Appendix A, Section 5 (d) of the Standardized Filing Framework states that “EfficiencyOne will provide explanations of substantial changes, defined as variance in energy savings or investment of 25 percent or more at a program level.” 5 See M08604, The Public Utilities Act and An Application by EfficiencyOne for Approval of a Supply Agreement for Electricity Efficiency and Conservation Activities between EfficiencyOne and Nova Scotia Power Incorporated, and the establishment of a final agreement between the Parties, including approval of EfficiencyOne’s 2019 Demand Side Management Resource Plan, page 84 of PDF [Evidence, Section 2.5.3, Page 13].

Page 7: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 3 of 29

Table 1: 2019 Approved Plan, Mid-Course Adjustments and Q1 Results 1

Numbers may not sum due to rounding. Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. Expenditure amounts are unaudited. 2 1 Green denotes an anticipated variance of less than 10% below the planned annual energy savings, yellow denotes an anticipated variance of 10% to 25% below the planned annual energy savings, 3 and red denotes an anticipated variance of greater than 25% below the planned annual energy savings. For more information on these variances, please refer to the relevant program description 4 sections of this report. 5 2 Reflects tracked and estimated participation by low-income customers; numbers are included in the overall Efficient Product Rebates (Residential and BNI), Existing Residential, Custom Incentives, 6 and Direct Installation programs. 7 3 EMIS and SEM do not claim any net peak demand savings until year-end when sufficient data is available. 8

Q1 YTD Q1 YTD Q1 YTD Q1 YTD

Efficient Product Rebates 14.9 132.9 1.5 3.5 17.3 145.8 2.1 3.7 0.8 0.8 7.6 7.6 0.2 0.2 0.5 0.5Instant Savings 12.6 115.9 1.2 2.4 14.5 125.2 1.7 2.3 0.3 0.3 4.3 4.3 0.1 0.1 0.3 0.3Appliance Retirement 2.3 17.0 0.3 1.1 2.8 20.6 0.4 1.4 0.5 0.5 3.3 3.3 0.1 0.1 0.2 0.2

Existing Residential 31.0 422.2 7.0 8.6 26.5 360.3 8.5 7.2 6.5 6.5 92.3 92.3 2.2 2.2 1.6 1.6Home Energy Assessment 9.4 187.0 2.4 3.0 7.5 150.0 2.1 2.4 1.7 1.7 34.7 34.7 0.5 0.5 0.5 0.5Green Heat 4.8 86.9 2.7 1.7 5.0 90.2 4.8 1.3 1.6 1.6 28.4 28.4 1.3 1.3 0.3 0.3Efficient Product Installation 16.9 148.3 2.0 4.0 13.7 115.4 1.6 2.9 3.1 3.1 26.2 26.2 0.4 0.4 0.6 0.6

First Nations Home Energy Efficiency Pilot 0.3 4.7 0.1 0.6 0.2 0.2 3.1 3.1 0.0 0.0 0.2 0.2

New Residential 5.3 157.5 1.6 2.2 5.0 150.2 1.4 2.8 1.0 1.0 31.3 31.3 0.3 0.3 0.5 0.5

New Home Construction 5.3 157.5 1.6 2.2 5.0 150.2 1.4 2.8 1.0 1.0 31.3 31.3 0.3 0.3 0.5 0.5

Residential Subtotal 51.2 712.6 10.0 14.2 48.8 656.3 12.0 13.7 8.4 8.4 131.3 131.3 2.6 2.6 2.7 2.7

Low Income2 5.8 50.6 0.7 1.9 1.1 1.1 9.1 9.1 0.1 0.1 0.3 0.3

Efficient Product Rebates 32.5 380.3 5.1 5.2 39.5 447.0 5.9 6.3 10.0 10.0 129.3 129.3 1.8 1.8 1.5 1.5Business Energy Rebates 32.5 380.3 5.1 5.2 39.5 447.0 5.9 6.3 10.0 10.0 129.3 129.3 1.8 1.8 1.5 1.5

Custom Incentives 34.3 427.2 3.6 6.1 28.5 345.8 2.9 5.6 2.9 2.9 39.4 39.4 0.3 0.3 0.9 0.9Custom 30.1 414.8 3.2 5.3 25.0 336.3 2.6 4.9 2.9 2.9 39.5 39.5 0.3 0.3 0.8 0.8

Energy Management Information Systems3 1.8 5.1 0.2 0.3 1.3 2.9 0.0 0.2 0.1 0.1 0.3 0.3 0.0 0.0 0.0 0.0

Strategic Energy Management3 2.5 7.3 0.3 0.5 2.2 6.6 0.3 0.5 -0.1 -0.1 -0.4 -0.4 0.0 0.0 0.1 0.1

Direct Installation 9.3 118.4 1.5 4.1 10.5 130.8 1.6 4.6 2.4 2.4 38.8 38.8 0.9 0.9 0.9 0.9Small Business Energy Solutions 9.3 118.4 1.5 4.1 10.5 130.8 1.6 4.6 2.4 2.4 38.8 38.8 0.9 0.9 0.9 0.9

BNI Subtotal 76.1 925.8 10.2 15.4 78.5 923.6 10.4 16.5 15.2 15.2 207.5 207.5 2.9 2.9 3.3 3.3

Low Income2 - - - - 3.3 40.3 0.5 1.4 0.5 0.5 6.6 6.6 0.1 0.1 0.1 0.1

Programs subtotal 127.2 1,638.4 20.2 29.6 127.2 1,579.9 22.5 30.2 23.6 23.6 338.8 338.8 5.6 5.6 5.9 5.9Enabling Strategies - - - 4.5 - - - 3.9 - - - - - - 0.9 0.9

Total 127.2 1,638.4 20.2 34.1 127.2 1,579.9 22.5 34.1 23.6 23.6 338.8 338.8 5.6 5.6 6.8 6.8

First-Year

Energy

Savings

(GWh)

Budget

($ million)

Program

Status1

First-Year

Energy

Savings

(GWh)

Peak

Demand

Savings

(MW)

Budget

($ million)

2019 Plan as Filed 2019 Mid-Course Adjustment

Lifetime

Energy

Savings

(GWh)

Lifetime

Energy

Savings

(GWh)

Peak

Demand

Savings

(MW)

2019 Results

First-Year Energy

Savings

(GWh)

Lifetime Energy

Savings

(GWh)

Peak Demand Savings

(MW)

Expenditures

($ million)

Re

sid

en

tial

Bu

sin

ess

, No

n-P

rofi

t an

d

Inst

itu

tio

nal

(B

NI)

Tota

ls

Page 8: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 4 of 29

Table 2: Participation Rates 1

1 “Participation Unit” refers to completed projects/homes. 2 2 “Participation Unit” refers to Custom projects where savings have been claimed for the YTD. 3 3 Each participating EMIS and SEM project is counted once for the year, although participation in the program component is ongoing and most facilities 4 generate savings every month. 5

2019 Q1 Participation Unit

Efficient Product Rebates

Instant Savings 3,342 Units rebated

Appliance Retirement 880 Units rebated

Existing Residential

Home Energy Assessment1 238 Housing units

Green Heat1 660 Housing units

Efficient Product Installation1 2,562 Housing units

First Nations Home Energy Efficiency Pilot1 36 Housing units

New Residential

New Home Construction 155 Participants

Efficient Product Rebates

Business Energy Rebates - Mail-In 17,590 Units rebated

Business Energy Rebates - Instant 33,971 Units rebated

Custom Incentives

Custom2 15 Projects

Energy Management Information Systems3 1 Participants

Strategic Energy Management3 5 Participants

Direct Installation

Small Business Energy Solutions 138 Projects

Res

iden

tial

Bu

sin

ess,

No

n-P

rofi

t an

d

Inst

itu

tio

nal

(B

NI)

Participation rates

Page 9: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 5 of 29

Table 3: Unit Cost 1

2 First-year unit cost is provided to two decimal places due to the relative magnitude of the figures. EfficiencyOne will provide comments on unit cost 3 variances (Mid-course adjusted unit costs compared to 2019 Plan as filed) of 25% or more. For more information on these variances, please refer to the 4 relevant program description sections of this report. Unit costs are calculated using energy and demand savings at the generator, net of free-ridership 5 and spillover, and using unaudited expenditure amounts. 6 *Reflects tracked and estimated participation by low-income customers; numbers are included in the overall Efficient Product Rebates (Residential and 7 BNI), Existing Residential, Custom Incentives, and Direct Installation programs. 8 1Green denotes an anticipated variance of less than 10% below the 2019 mid-course adjusted unit cost, yellow denotes an anticipated variance of 10% 9 to 25% below the 2019 mid-course adjusted unit cost, and red denotes an anticipated variance of greater than 25% below the 2019 mid-course adjusted 10 unit cost. For more information on these variances, please refer to the relevant program description sections of this report. 11

2019 Plan as Filed 2019 Mid-Course

Adjustment 2019 Actual YTD Program Status

1

Efficient Product Rebates 0.23 0.21 0.68

Instant Savings

Appliance Retirement

Existing Residential 0.28 0.27 0.24

Home Energy Assessment

Green Heat

Efficient Product Installation

First Nations Home Energy Efficiency Pilot

New Residential 0.41 0.55 0.50

New Home Construction

Residential Subtotal 0.28 0.28 0.32

Low Income* - 0.33 0.23

Efficient Product Rebates 0.16 0.16 0.15

Business Energy Rebates - Mail-In

Business Energy Rebates - Instant Rebates

Custom Incentives 0.18 0.20 0.31

Custom

Energy Management Information Systems

Strategic Energy Management

Direct Installation 0.44 0.44 0.40

Small Business Energy Solutions

BNI Subtotal 0.20 0.21 0.22

Low Income* - 0.41 0.14

Programs Total 0.23 0.24 0.25

Enabling Strategies - - -

Total 0.27 0.27 0.29

First-Year Unit Cost

($/kWh)R

esid

enti

alTo

tal

Bu

sin

ess,

No

n-P

rofi

t an

d

Inst

itu

tio

nal

(B

NI)

Page 10: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 6 of 29

E1 remains committed to reporting on rate class expenditures while ensuring it achieves its planned 1

overall energy savings within its approved investment amount. Table 4 provides a breakdown by rate 2

class of the planned mid-course adjusted expenditures compared to the year-to-date rate class 3

expenditures. 4

5

Table 4: 2019 Q1 Programs Rate Class Allocations 6

Rate Class Planned 2019 Expenditures*

($ million)

Actual 2019 Expenditures - YTD

($ million)

YTD Expenditures as Percent of Full-Year

Plan

Residential/Charitable (2,3,4) 16.2 3.2 20%

Small General (10) 2.0 0.4 19%

General Demand (11) 10.2 2.2 21%

Large General (12) 1.5 0.4 26%

Small Industrial (21) 1.1 0.1 13%

Medium Industrial (22) 1.1 0.2 21%

Large Industrial (23, 25) 1.1 0.2 15%

Municipal (24) 0.9 0.1 10%

Unmetered (999) 0.0 0.0 0%

Total 34.1 6.8 20%

Numbers may not sum due to rounding. Expenditure amounts are unaudited. 7 * "Planned 2019 Expenditures” refers to the planned annual mid-course adjusted amount. 8

Page 11: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 7 of 29

Figure 1 below presents a year-to-date breakdown, by category, of E1’s DSM expenditures. 1

Figure 1: 2019 Year-to-Date DSM Expenditures 2

Expenditure amounts are unaudited and rounded to the nearest thousand. 3

Page 12: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 8 of 29

During Q1, E1 continued working on a number of pilot projects within both the Residential and 1

Business, Non-Profit and Institutional (BNI) sectors to build a diverse program and measure portfolio 2

that responds to market needs. These initiatives were designed based on E1’s expertise in delivering 3

DSM electricity-efficiency activities in Nova Scotia. 4

5

The 2019 DSM Resource Plan includes increased demand reduction through the Locational DSM pilot 6

developed by E1 in collaboration with Nova Scotia Power (NS Power). The importance of including 7

peak demand reduction as part of the 2019 DSM Plan is due to continued firm demand growth in 8

Nova Scotia over the past number of years. In Q1, E1 continued developing preliminary pilot designs 9

for the Locational DSM pilot and its implementation timeline. The Locational DSM pilot will explore 10

options to reduce both facility peak demand (where applicable) and NS Power system peak demand. 11

The pilot is expected to encompass program components across both the Residential and BNI sectors. 12

An update on final pilot design is expected to be shared with stakeholders in Q2 and E1 is working 13

towards the launch of the pilot in Q3 of 2019. 14

15

Q1 results for the First Nations Home Energy Efficiency Pilot and the Affordable Multifamily Housing 16

Pilot are provided in the relevant program section below. 17

Page 13: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 9 of 29

3. RESIDENTIAL SECTOR HIGHLIGHTS 1

2

The Residential sector achieved 8.4 GWh of net incremental energy savings and 2.6 MW of net peak 3

demand savings in Q1. Based on these results and past trends, EfficiencyOne expects to achieve its 4

2019 mid-course adjusted planned Residential savings of 48.8 GWh and 12 MW, as shown in Figure 5

2, below. 6

7

The Residential sector consists of the following programs: 8

• Efficient Product Rebates; 9

• Existing Residential; and 10

• New Residential. 11

12

Figure 2: 2019 Year-to-Date and Planned DSM Program Results (Residential) 13

14 Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. 15 *“Planned 2019 Savings” refers to the planned annual mid-course adjusted savings. 16

17

Table 5: 2019 Year-to Date Residential Results below provides tracked Q1 and year-to-date 18

Residential net incremental energy savings, net peak demand savings, and expenditures for 19

comparison with the annual mid-course adjusted amounts. 20

8.4 GWh2.6 MW

48.8 GWh 12 MW

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Per

cen

tage

of

Pla

nn

ed S

avi

ngs

Energy Savings Peak Demand Savings

Year-to-Date

Results

Planned

2019

Savings*

Page 14: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 10 of 29

Table 5: 2019 Year-to Date Residential Results 1

Residential Results

Q1 Annual Planned Amount*

Energy Savings (GWh) 8.4 48.8

Demand Savings (MW) 2.6 12.0

Expenditures ($M) 2.7 13.7

First-Year Unit Cost ($/kWh) 0.32 0.28

Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. Expenditure amounts are unaudited. 2 *“Annual Planned Amount” refers to the planned annual mid-course adjusted amount. 3

4

Efficient Product Rebates (Residential) 5

6

The Residential Efficient Product Rebates (EPR) program consists of two program components: 7

• Instant Savings; and 8

• Appliance Retirement. 9

10

The 2019 EPR program has mid-course adjusted planned net incremental energy and net peak 11

demand savings of 17.3 GWh and 2.1 MW respectively, with a corresponding investment of $3.7 12

million compared to the original approved Plan amounts of 14.9 GWh, 1.5 MW, and $3.5 million, 13

respectively. The mid-course adjusted unit cost for EPR is $0.21/kWh. 14

15

The change from the original approved Plan for net peak demand savings in EPR can be attributed to 16

the continued success of Instant Savings as observed in 2018 and Q1 2019. Changes made to the 17

measure-mix within the Instant Savings program component are contributing factors to the increase 18

in mid-course adjusted demand savings. For example, dehumidifiers have a high demand factor 19

relative to other Instant Savings products. Following the pilot of a new Indoor Air Quality category in 20

2017, ENERGY STAR® certified air purifiers and dehumidifiers were added to the existing Instant 21

Savings measures offered to consumers as year-round products in Q2 of 2018. In addition, energy 22

and demand savings estimation methodologies used for the mid-course adjustment for EPR are more 23

current than those used to create the 2019 Plan filing, reflecting the latest 2018 program evaluation 24

results. 25

Page 15: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 11 of 29

In Q1 of 2019, EPR achieved 0.8 GWh of net incremental energy savings and 0.2 MW of net peak 1

demand savings with a unit cost of $0.68/kWh. Based on these results and past trends, E1 expects 2

that EPR will meet its mid-course adjusted planned savings and its mid-course adjusted unit cost as a 3

result of the spring and fall Instant Savings Campaigns in Q2 and Q4, respectively. 4

5

A breakdown of net incremental energy and net peak demand savings, expenditures, and 6

participation by rate class for EPR is presented in Table 6, below. 7

8

Table 6: EPR Rate Class Results (Residential) 9

Residential Efficient Product Rebates

(2019 YTD)

First-Year Energy Savings (GWh)

Lifetime Energy Savings (GWh)

Peak Demand Savings (MW)

Expenditures ($ thousand)

Units Rebated (#)

Residential/Charitable (2,3,4) 0.8 7.4 0.2 534 4,115

Small General (10)* 0.0 0.1 0.0 3 20

General Demand (11)* 0.0 0.1 0.0 3 14

Large General (12)* 0.0 0.0 0.0 0 0

Small Industrial (21)* 0.0 0.0 0.0 0 1

Medium Industrial (22)* 0.0 0.0 0.0 0 1

Large Industrial (23, 25)* 0.0 0.0 0.0 0 0

Municipal (24) 0.0 0.1 0.0 8 71

Unmetered (999) 0.0 0.0 0.0 0 0

Total 0.8 7.6 0.2 549 4,222

Numbers may not sum due to rounding. Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. 10 Expenditure amounts are unaudited. 11 Residential Efficient Product Rebates includes the Appliance Retirement and Instant Savings program components. Appliance Retirement includes 12 appliance replacements delivered through the HomeWarming service. 13 *The Appliance Retirement program component collects eligible residential appliances from BNI customers (e.g., rental apartment buildings, 14 condominium buildings, and community groups in commercial rate classes), in addition to residential customers. 15

16

Instant Savings 17

Instant Savings provides point-of-sale discounts to retail customers. In Q1, Instant Savings achieved 18

0.3 GWh of net incremental energy savings and 0.1 MW of net peak demand savings. 19

20

In Q1, E1 prepared for the spring Instant Savings campaign, scheduled to be in market from April 5, 21

2019 to May 19, 2019 and rebated 3,342 units. In 2018, E1 made the decision to no longer offer 22

Instant Savings rebates on A-Series (LEDs), which came into effect the first quarter of 2019. To 23

diversify its portfolio, products such as high efficiency showerheads, variable speed pool pumps and 24

Page 16: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 12 of 29

hybrid heat pump hot water heaters were added to the existing Instant Savings measures offered to 1

consumers in Q1 of 2019. A marketing refresh of signage in stores took place in Q1 for stores that 2

carry year-round rebated products. 3

4

Appliance Retirement 5

Appliance Retirement contributed 0.5 GWh of net incremental energy savings and 0.1 MW of net 6

peak demand savings in Q1 through the retirement of 880 appliances, with 106 appliances replaced 7

for low-income participants. A marketing campaign took place in Q1 for Appliance Retirement and 8

included digital and social media. 9

10

Existing Residential 11

12

The Existing Residential program consists of the following program components: 13

• Home Energy Assessment (HEA); 14

• Green Heat; 15

• Efficient Product Installation (EPI); and 16

• First Nations Home Energy Efficiency Pilot. 17

18

The 2019 Existing Residential program has mid-course adjusted planned net incremental energy and 19

net peak demand savings of 26.5 GWh and 8.5 MW respectively, with a corresponding investment of 20

$7.2 million compared to the original approved Plan amounts of 31 GWh, 7 MW, and $8.6 million, 21

respectively. 22

23

In Q1 of 2019, Existing Residential achieved 6.5 GWh of net incremental energy savings and 2.2 MW 24

of net peak demand savings. The 2019 Q1 unit cost for the Existing Residential program was 25

$0.24/kWh. Based on these results and past trends, E1 expects that the Existing Residential program 26

will achieve its mid-course adjusted planned savings for 2019 in addition to its mid-course adjusted 27

unit cost. A breakdown of net incremental energy and net peak demand savings, expenditures, and 28

participation by rate class for Existing Residential is presented in Table 7, below. 29

Page 17: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 13 of 29

Table 7: Existing Residential Rate Class Results 1

Existing Residential (2019 YTD)

First-Year Energy Savings (GWh)

Lifetime Energy Savings

(GWh)

Peak Demand Savings (MW)

Expenditures ($ thousand)

Housing Units (#)*

Residential/Charitable (2,3,4) 6.5 91.2 2.1 1,576 3,443

Small General (10) 0.0 0.1 0.0 1 1

General Demand (11) 0.0 0.0 0.0 0 0

Large General (12) 0.0 0.0 0.0 0 0

Small Industrial (21) 0.0 0.0 0.0 0 0

Medium Industrial (22) 0.0 0.0 0.0 0 0

Large Industrial (23, 25) 0.0 0.0 0.0 0 0

Municipal (24) 0.1 1.1 0.0 14 52

Unmetered (999) 0.0 0.0 0.0 0 0

Total 6.5 92.3 2.2 1,591 3,496

Numbers may not sum due to rounding. Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. 2 Expenditure amounts are unaudited. 3 Existing Residential includes the Home Energy Assessment, Green Heat, and Efficient Product Installation program components and the First Nations 4 Home Energy Efficiency Pilot. 5 The Home Energy Assessment program component is mainly comprised of homes heated by electricity. As participating homes heated primarily by non-6 electric fuels generate a small amount of electricity savings, they receive a small amount of DSM funding and are counted here. 7 *Includes apartments. 8

9

Home Energy Assessment 10

In Q1, HEA achieved 1.7 GWh of net incremental energy savings and 0.5 MW of net peak demand 11

savings, through the retrofit of 238 homes. 12

13

Marketing efforts in Q1 for HEA included a media campaign (digital, social/display, billboard and 14

television) and the February Switch Newsletter. 15

16

Green Heat 17

In Q1, Green Heat achieved 1.6 GWh of net incremental energy savings and 1.3 MW of net peak 18

demand savings. Q1 saw 660 participants in Green Heat. 19

20

Marketing efforts for Green Heat in Q1 focused on developing a new online rebate application form 21

to simplify and streamline the application process for customers. It is anticipated that the new online 22

form will be available in Q3. 23

Page 18: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 14 of 29

Efficient Product Installation 1

In Q1, EPI achieved 3.1 GWh of net incremental energy savings and 0.4 MW of net peak demand 2

savings through the direct installation of low-cost energy-efficient measures in 2,562 homes, of which 3

approximately 769 self-identify as low-income households. 4

5

Marketing efforts for EPI in Q1 included social media efforts, profile in the monthly Switch 6

newsletters, and a media campaign promoting a free clothes drying rack. 7

8

First Nations Home Energy Efficiency Pilot 9

In Q1, the First Nations Home Energy Efficiency Pilot achieved 0.2 GWh of net incremental energy 10

savings and 0 MW of net peak demand savings. Energy-efficient upgrades were completed for 36 on-11

reserve, Band-owned homes, in 10 First Nations communities. 12

13

Launched in 2018, this pilot is primarily funded by the Province of Nova Scotia with the DSM-funded 14

portion of the pilot seeking to deliver significant electrical energy savings primarily through building 15

envelope and efficient heating, ventilation and air conditioning (HVAC) upgrades in all 13 First Nations 16

communities in Nova Scotia. Work will continue in 2019 on this pilot with the next round of 17

participants anticipated to begin completing projects starting in Q3. 18

Page 19: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 15 of 29

New Residential 1

2

The 2019 New Residential program, marketed as New Home Construction (NHC), has mid-course 3

adjusted planned net incremental energy and net peak demand savings of 5 GWh and 1.4 MW 4

respectively, with a corresponding investment of $2.8 million compared to the original approved Plan 5

amounts of 5.3 GWh, 1.6 MW, and $2.2 million, respectively. 6

7

The change in mid-course adjusted expenditures for NHC for 2019, as compared to the original 8

approved Plan as filed, is primarily the result of a change to the incentive structure in December 2018 9

to include a new incentive level for high performance homes. It is expected that this change will assist 10

in meeting savings targets and drive program participation. 11

12

The change in mid-course adjusted unit cost for NHC for 2019 of $0.55/kWh as compared to the 13

original approved Plan as filed ($0.41/kWh), is primarily the result of adding the higher tier of 14

incentives for the building of high performance homes. A second contributing factor is the increasing 15

number of small homes participating in the NHC program. The energy savings potential is smaller in 16

small homes, resulting in a higher unit cost for these homes. 17

18

In Q1, NHC achieved 1.0 GWh of net incremental energy savings and 0.3 MW of net peak demand 19

savings, as a result of 155 completions. The 2019 Q1 unit cost for New Residential is $0.50/kWh. 20

Marketing efforts for NHC in Q1 included print advertising in the REAL Home Show inserts. 21

22

E1 expects that NHC will meet its mid-course adjusted planned savings in addition to its mid-course 23

adjusted unit cost. 24

25

A breakdown of net incremental energy and net peak demand savings, expenditures, and 26

participation by rate class for New Residential is presented in Table 8, below. 27

Page 20: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 16 of 29

Table 8: New Residential Rate Class Results 1

New Residential (2019 YTD)

First-Year Energy Savings

(GWh)

Lifetime Energy Savings

(GWh)

Peak Demand Savings (MW)

Expenditures ($ thousand)

Participants (#)

Residential/Charitable (2,3,4) 1.0 30.8 0.3 518 153

Small General (10) 0.0 0.0 0.0 0 0

General Demand (11) 0.0 0.0 0.0 0 0

Large General (12) 0.0 0.0 0.0 0 0

Small Industrial (21) 0.0 0.0 0.0 0 0

Medium Industrial (22) 0.0 0.0 0.0 0 0

Large Industrial (23, 25) 0.0 0.0 0.0 0 0

Municipal (24) 0.0 0.5 0.0 3 2

Unmetered (999) 0.0 0.0 0.0 0 0

Total 1.0 31.3 0.3 521 155

Numbers may not sum due to rounding. Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. 2 Expenditure amounts are unaudited. Expenditure amounts are unaudited. 3 New Residential includes the New Home Construction program component. 4

Page 21: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 17 of 29

4. BUSINESS, NON-PROFIT AND INSTITUTIONAL (BNI) SECTOR HIGHLIGHTS 1

2

The BNI sector achieved 15.2 GWh of net incremental energy savings and 2.9 MW of net peak demand 3

savings in Q1. Based on these results and past trends, EfficiencyOne expects to achieve its 2019 mid-4

course adjusted planned savings of 78.5 GWh and 10.4 MW, as shown in Figure 3, below. 5

6

The 2019 BNI sector consists of the following programs: 7

• Efficient Product Rebates; 8

• Custom Incentives; and 9

• Direct Installation. 10

11

Figure 3: 2019 Year-to Date and Planned DSM Program Results (BNI) 12

13 Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. 14 “Planned 2019 Savings” refers to the planned annual mid-course adjusted savings. 15

15.2 GWh

2.9 MW

78.5 GWh 10.4 MW

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Pe

rce

nta

ge o

f Pla

nn

ed

Sav

ings

Energy Savings Peak Demand Savings

Year-to-DateResults

Planned 2019Savings

Page 22: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 18 of 29

Table 9 provides tracked Q1 BNI net incremental energy savings, net peak demand savings and 1

expenditures for comparison with the annual mid-course adjusted amounts. 2

3

Table 9: Year-to-Date BNI Results 4

Business, Non-profit and Institutional Results

Q1 Annual Planned Amount*

Energy Savings (GWh) 15.2 78.5

Demand Savings (MW) 2.9 10.4

Expenditures ($M) 3.3 16.5

First-Year Unit Cost ($/kWh) 0.22 0.21

Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. Expenditure amounts are unaudited. 5 *“Annual Planned Amount” refers to the planned annual mid-course adjusted amount. 6

7

Marketing efforts spanning the BNI sector in Q1 of 2019 were targeted towards the following market 8

sectors: 9

• Small Businesses; 10

• Retail; 11

• Commercial Buildings; and 12

• Hospitality. 13

14

Marketing activities in Q1 related to the above-listed market sectors included print and digital 15

campaigns, delivering presentations in partnership with various Chambers of Commerce, and 16

participating in events across Nova Scotia to build awareness of BNI program offerings. 17

Efficient Products Rebates (BNI) 18

19

The 2019 BNI Efficient Product Rebates (EPR) program, marketed as Business Energy Rebates (BER), 20

has mid-course adjusted planned net incremental energy and net peak demand savings of 39.5 GWh 21

and 5.9 MW respectively, with a corresponding investment of $6.3 million compared to the original 22

approved Plan amounts of 32.5 GWh, 5.1 MW, and $5.2 million, respectively. 23

Page 23: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 19 of 29

In Q1, BER achieved 10.0 GWh of net incremental energy savings and 1.8 MW of net peak demand 1

savings from the sale of over 51,000 products through its Mail-in and Instant Rebates services. The 2

2019 Q1 unit cost for Efficient Product Rebates (BNI) is $0.15/kWh. Based on these results and past 3

trends, E1 anticipates that BER will meet its 2019 planned mid-course adjusted savings in addition to 4

its mid-course adjusted unit cost. 5

6

A breakdown of net incremental energy and net peak demand savings, expenditures, and 7

participation by rate class for BNI EPR is presented in Table 10, below. 8

9

Table 10: EPR (BNI) Rate Class Results 10

BNI Efficient Product Rebates (2019 YTD)

First-Year Energy Savings (GWh)

Lifetime Energy Savings (GWh)

Peak Demand Savings (MW)

Expenditures ($ thousand)

Units Rebated (#)

Residential/Charitable (2,3,4)* 0.6 8.9 0.1 87 2,813

Small General (10) 0.8 11.5 0.1 128 3,606

General Demand (11) 6.9 86.1 1.3 970 35,417

Large General (12) 0.8 11.5 0.1 131 5,910

Small Industrial (21) 0.2 2.5 0.0 27 865

Medium Industrial (22) 0.5 5.8 0.1 62 2,241

Large Industrial (23, 25) 0.2 2.1 0.0 39 489

Municipal (24) 0.1 0.9 0.0 9 221

Unmetered (999) 0.0 0.0 0.0 0 0

Total 10.0 129.3 1.8 1,453 51,561

Numbers may not sum due to rounding. Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. 11 Expenditure amounts are unaudited. 12 BNI Efficient Product Rebates includes the BER program component. 13 *EPR (BNI) includes some residential customers as eligible participants (e.g., farms, community groups in charitable rate classes, rental apartment 14 buildings, and condominium buildings). 15

Custom Incentives 16

17

The Custom Incentives program consists of the following program components: 18

• Custom; 19

• Energy Management Information Systems (EMIS); and 20

• Strategic Energy Management (SEM). 21

Page 24: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 20 of 29

The 2019 Custom Incentives program has mid-course adjusted planned net incremental energy and 1

net peak demand savings of 28.5 GWh and 2.9 MW respectively, with a corresponding investment of 2

$5.6 million compared to the original approved Plan amounts of 34.3 GWh, 3.6 MW, and $6.1 million, 3

respectively. 4

5

In Q1, Custom Incentives achieved net incremental energy savings of 2.9 GWh and net peak demand 6

savings of 0.3 MW. The 2019 Q1 unit cost for Custom Incentives is $0.31/kWh . E1 anticipates that 7

the Custom Incentives program will meet its 2019 planned mid-course adjusted savings in addition 8

to its mid-course adjusted unit cost. 9

10

A breakdown of net incremental energy and net peak demand savings, expenditures, and 11

participation by rate class for Custom Incentives is presented in Table 11, below. 12

13

Table 11: Custom Incentives Rate Class Results 14

Custom Incentives (2019 YTD)

First-Year Energy Savings (GWh)

Lifetime Energy Savings (GWh)

Peak Demand Savings (MW)

Expenditures ($ thousand)

Projects (#)

Residential/Charitable (2,3,4)* 0.1 1.9 0.0 33 3

Small General (10) 0.1 2.0 0.0 36 2

General Demand (11) 1.2 16.6 0.1 267 4

Large General (12) 0.4 5.8 0.1 202 2

Small Industrial (21) 0.5 7.2 0.0 76 1

Medium Industrial (22) 0.2 3.1 0.1 150 5

Large Industrial (23, 25) 0.2 2.3 0.1 106 3

Municipal (24) 0.0 0.5 0.0 24 1

Unmetered (999) 0.0 0.0 0.0 0 0

Total 2.9 39.4 0.3 893 21

Numbers may not sum due to rounding. Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. 15 Expenditure amounts are unaudited. 16 Custom Incentives includes the Custom, EMIS, and SEM program components. EMIS and SEM participants are each counted once, but their participation 17 is ongoing throughout the year. 18 *Custom Incentives includes some residential customers as eligible participants (e.g., farms, community groups on charitable rate codes, rental 19 apartment buildings, and condominium buildings). 20

Page 25: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 21 of 29

Custom 1

The Custom component of the Custom Incentives program achieved 2.9 GWh of net incremental 2

energy savings and 0.3 MW of net peak demand savings in Q1. 3

4

Custom consists of three separate services: Retrofit; Building Optimization; and New Construction. 5

These services saw 12, 2, and 1 project(s) initiated in Q1 respectively. The retrofit projects covered 6

a variety of measures: refrigeration control, pumping control, compressed air optimization, building 7

envelope upgrades, ventilation system retrofits, specialty lighting, a high speed freezer door, and 8

refrigeration equipment upgrades. 9

10

EMIS 11

In Q1, EMIS achieved 0.1 GWh of net incremental energy savings and 0.0 MW of net peak demand 12

savings. E1 supported one participant in EMIS in Q1. 13

SEM 14

E1 continued to support five participants in SEM. In Q1, SEM is reporting negative net incremental 15

energy savings of -0.1 and 0.0 MW of net peak demand savings. The negative year-to-date savings 16

for SEM is a result of several factors: 17

• adjustments to the 2019 baseline for two customers; 18

• a reported decrease in performance for one participant, which is currently being assessed; 19

and, 20

• incomplete energy savings data from one participant, which is expected to be resolved in Q2. 21

22

Mitigating actions include working with participants to establish new baselines and identifying new 23

savings opportunities. 24

25

Direct Installation 26

27

The 2019 Direct Installation program, marketed as Small Business Energy Solutions (SBES), has mid-28

course adjusted planned net incremental energy and net peak demand savings of 10.5 GWh and 1.6 29

Page 26: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 22 of 29

MW respectively, with a corresponding investment of $4.6 million compared to the original approved 1

Plan amounts of 9.3 GWh, 1.5 MW, and $4.1 million, respectively. 2

3

SBES achieved 2.4 GWh of net incremental energy savings and 0.9 MW of net peak demand savings 4

in Q1, with energy-efficient measures installed in 138 facilities. The 2019 Q1 unit cost for Direct 5

Installation is $0.40/kWh. 6

7

In Q1, the SBES Affordable Multifamily Housing Pilot continued. This pilot was launched in 2016 with 8

adjustments to the pilot incentive structure following engagement with participants and relevant 9

stakeholders in Q3 of 2018. The pilot provides energy audits and energy-efficient upgrades to 10

affordable housing owners. There were no project completions for the pilot in Q1; therefore, no 11

savings are reported for Q1. 12

13

A breakdown of net incremental energy and net peak demand savings, expenditures, and 14

participation by rate class for Direct Installation is presented in Table 12, below. 15

16

Table 12: Direct Installation Rate Class Results 17

BNI Direct Installation (2019 YTD)

First-Year Energy Savings (GWh)

Lifetime Energy Savings (GWh)

Peak Demand Savings (MW)

Expenditures ($ thousand)

Projects (#)

Residential/Charitable (2,3,4) 0.2 3.3 0.0 68 12

Small General (10) 0.4 5.5 0.1 156 50

General Demand (11) 1.7 28.6 0.7 678 66

Large General (12) 0.0 0.0 0.0 0 0

Small Industrial (21) 0.1 0.8 0.0 25 5

Medium Industrial (22) 0.0 0.0 0.0 0 0

Large Industrial (23, 25) 0.0 0.0 0.0 0 0

Municipal (24) 0.0 0.6 0.0 18 5

Unmetered (999) 0.0 0.0 0.0 0 0

Total 2.4 38.8 0.9 944 138

Numbers may not sum due to rounding. Energy and demand savings are calculated at the generator and are net of free-ridership and spillover. 18 Expenditure amounts are unaudited. 19 Direct Installation includes the Small Business Energy Solutions program component. 20

Page 27: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 23 of 29

5. LOW-INCOME HIGHLIGHTS 1

2

Within the Residential and BNI results highlighted in Table 13, E1 supported the following work for 3

low-income Nova Scotians in Q1 (based on direct information where provided or demographic data): 4

• 769 low-income Nova Scotians received free installation of low-cost energy efficiency 5

measures through the Efficient Product Installation program component; 6

• 106 low-income participants received rebates to replace or retire old, inefficient appliances; 7

• 1,467 units were sold or replaced through the Residential and BNI Efficient Product Rebates 8

programs, via the Residential Instant Savings program component and the BNI Business 9

Energy Rebates (Instant Rebates service) program component; and 10

• 36 participants in the First Nations Home Energy Efficiency Pilot. 11

12

Table 13: Low-Income Results 13

Low Income Participation - 2019 Actual

First-Year Energy Savings (GWh)

Lifetime Energy Savings (GWh)

Demand Savings (MW)

Investment ($ million)

Participation (#)

Q1 Q1 Q1 Q1 Q1 Participation Unit

1.6 15.7 0.2 0.3

769 106

1,467 29

0 36

Efficient Product Installation housing units Appliances retired or replaced1 Efficient products rebated2 Apartment buildings retrofitted3 Low income apartment buildings audited4 First Nations housing units5

Includes estimates of low-income participation in program components where income is not disclosed. Energy and demand savings are calculated at 14 the generator and are net of free-ridership and spillover. Expenditure amounts are unaudited. 15 1 Includes appliance replacements delivered through the HomeWarming service. 16 2 Includes both Instant Savings and BER (Instant Rebates) program component participation. 17 3 Apartment building count is a total which includes some low income and some non-low income tenants; savings are estimated for only the low income 18 portion of tenants. These buildings were rebated through the BER (Mail-In), Custom and SBES program components. 19 4 Audits were done through the Affordable Multifamily Housing Pilot. 20 5 Reflects all homes participating in the First Nations Home Energy Efficiency Pilot. 21

Page 28: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 24 of 29

6. ENABLING STRATEGIES 1

2

Enabling Strategies continued to play an important role in enabling energy-efficiency programs and 3

services to achieve savings in Q1. There are three categories of Enabling Strategies: 4

• Education and Outreach; 5

• Development and Research; and 6

• Other Enabling Strategies. 7

8

Education and Outreach 9

10

ENS received 24 media mentions in Q1 of 2019, and engagement and reach across all social media 11

platforms remained strong. By the close of the first quarter, ENS had 45,812 Facebook “likes”, 5,476 12

Twitter followers, and 1,061 Instagram followers, representing increases over 2018 for these metrics. 13

14

Q1 Education and Outreach initiatives included the following: 15

• participation in a variety of home and trade-shows including: 16

o The REAL Home Show in Halifax from March 1-3, 2019; 17

o Pictou County Home Show in New Glasgow from March 22-24, 2019; and 18

o The Ideal Home Show in Halifax from March 29-31, 2019. 19

• the completion of 15 energy efficiency workshops across the province, delivered by the 20

Canadian Home Builder’s Association. A total of 87 homebuilders, contractors and trade 21

workers attended the full-day workshops, on energy efficient building techniques. 22

• participation in a variety of community outreach events across the province including: 23

o Atlantic First Nations Housing Capacity Building Session in Dartmouth; 24

o Information session with MP Sean Fraser’s constituency office in New Glasgow; 25

o Royal Bank Real Estate event in Kentville; 26

o Nova Scotia Gaming Corporation Lunch and Learn in Halifax; 27

o Draft-proofing workshop on Global TV on January 28, 2019; and 28

o Energy Advisor guest on CBC’s Maritime Noon on February 8, 2019. 29

• the release of The Switch Residential and BNI e-newsletters; and 30

Page 29: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 25 of 29

• the completion of over 180 Green Schools engagements, both in-person and virtual, with 1

approximately 3,250 students. Seventy percent of schools in Nova Scotia are now 2

participating in Green Schools.6 During the winter semester, five schools participated in a 3

new pilot project, the Watts Off! Energy Challenge, to encourage the adoption of energy 4

efficient behaviours in school communities through weekly challenges and healthy 5

competition. 6

7

Development and Research 8

9

Q1 Development and Research activities focused largely on the following initiatives: 10

• tracking quality assurance, participant satisfaction, and other attitudinal metrics among the 11

general population of Nova Scotia households to help E1 respond to changing market 12

conditions; 13

• analyzing top performing participants for the HEA program component to gain insights into 14

these homes and how to perform targeted marketing to attract more of these types of homes 15

into the program. The analysis determined the majority of these homes were either 16

purchased or sold recently and many underwent a large renovation, suggesting real estate 17

listings are a good target market for the HEA program component; and 18

• employing analytics and building two predictive models for the Appliance Retirement and

Residential Direct Install programs, respectively, to enhance the effectiveness of marketing

and outreach efforts.

Green Schools Nova Scotia is an ENS initiative to enhance environmental sustainability in Nova Scotia’s schools.

Page 30: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 26 of 29

EfficiencyOne began receiving NS Power customer usage data following the NSUARB’s decision on 1

November 15, 2017 to approve E1’s application to obtain certain elements of NS Power’s customer 2

usage data.7 NS Power customers are able to opt-out of receiving targeted DSM promotional 3

materials from ENS. In E1’s reply submission on its Application for Data (M08113), EfficiencyOne 4

proposed that for the year following the initial transfer of data from NS Power, it would update the 5

NSUARB via its quarterly reports in relation to the number of opt-outs E1 has received as a result of 6

its Application. 8 Zero opt-outs were received from NS Power customers in Q1 of 2019. Since the 7

initial transfer to data from NS Power to E1, the total number of NS Power customers who had 8

requested to be placed on ENS’s “do not contact” list was 431 at the end of 2018. This number 9

equates to a 0.3 percent opt-out rate. 10

11

Other Enabling Strategies 12

13

In Q1, other Enabling Strategies initiatives related to: 14

• Capacity Building; 15

• Working with Governments; and 16

• Regulatory Affairs. 17

18

Capacity Building 19

E1 continues to support and grow the energy-efficiency industry in Nova Scotia through its Efficiency 20

Trade Network (ETN) which, through education and engagement, aims to: 21

• drive energy savings and increase participation in ENS programs and services; 22

• build industry capacity for energy-efficiency work in Nova Scotia; and 23

• deliver value to its members. 24

7 M08113, NSUARB Decision, The Public Utilities Act and An Application by EfficiencyOne for determination that Nova Scotia Power Inc. is required to provide EfficiencyOne, pursuant to Section 79K of the Public Utilities Act, RSNS 1989, C. 380, as amended, with Names and Emails and Customer Usage Data on a monthly basis [15 November 2017], [2017 NSUARB 174].8 EfficiencyOne received the first transfer of data from NS Power on January 4, 2018.

Page 31: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 27 of 29

Activities related to the ETN in Q1 included: 1

• the release of the February issue of The Network News, the ETN’s bi-monthly newsletter; and 2

• hosting a Reverse Trade Show on February 21 in Halifax with over 30 members in attendance. 3

The Reverse Trade Show was designed to give trade members the opportunity to speak with 4

large customers about upcoming project opportunities, new energy efficiency technologies 5

and networking with industry professionals. 6

7

Working with Governments 8

In Q1 of 2019, E1 continued to support the development of national energy efficiency standards in 9

progress as well as several new standards through the Canadian Standards Association’s (CSA) 10

Steering Committee on Performance Energy Efficiency and Renewables and Strategic Resource Force 11

committee. In Q1, E1 confirmed participation in a CSA technical sub-committee on the development 12

of standards relating to retro-commissioning of commercial and industrial buildings. In addition, E1 13

filed the Codes and Standards evaluation report at the end of Q1 in 2019, representing E1’s ongoing 14

monitoring of the impact of new codes and standards in the Nova Scotia marketplace. 15

16

Regulatory Affairs 17

In the first quarter of 2019, Regulatory Affairs activities included: 18

• Developing and filing E1’s 2020-2022 DSM Resource Plan Application, holding one-on-one 19

meetings with stakeholders, and hosting a Technical Conference on February 20, 2019 to 20

discuss the 2020-2022 DSM Resource Plan; 21

• Filing E1’s response to Information Requests posed by NS Power in relation the 2020-2022 22

DSM Resource Plan regulatory process; 23

• Developing and filing of ENS’s 2018 Evaluation Reports and the 2018 DSM Annual Progress 24

Report; 25

• Stakeholder engagement including providing updates and inviting comments on the 26

following: 27

o modelling plan and assumptions for the 2019 DSM Potential Study; 28

o proposed enhancements to E1’s Rate and Bill Impact model and report; and 29

Page 32: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 28 of 29

o comments relating to preliminary program designs for the Locational DSM Pilot and 1

its implementation timeline. 2

• Addressing evaluation and verification recommendations. For an update on the 2018 3

Evaluation and Verification Recommendations, please see Attachment 1. 4

Page 33: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

EfficiencyOne Q1 2019 Demand Side Management Report

Date Filed: May 24, 2019 Page 29 of 29

7. CONCLUSION 1

2

EfficiencyOne, through the operation of the Efficiency Nova Scotia franchise, saw a productive first 3

quarter with a variety of activities building momentum for the year. With programs and services 4

underway, Education and Outreach initiatives focused on increasing awareness of, and participation 5

in, ENS programs. 6

7

E1 continues to offer a diverse range of programs and services that capture a variety of market 8

segments in a cost-effective manner. A variety of ongoing pilots aims to ensure E1 continues to 9

diversify its program offerings to respond to market needs and continues to deliver effective 10

electricity-efficiency activities in Nova Scotia. 11

Page 34: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Attachment 1

2018 Evaluation and Verification Recommendations

Table 1: Update on Implementation of 2018 Evaluation Recommendations

Table 2: Update on Implementation of 2018 Verification Recommendations

Page 35: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Evaluation Recommendations

Attachment 1, Update on Implementation of 2018 Evaluation Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 1 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

Continue to perform the metering activity and ensure the metering protocol is followed. In the 2017 evaluation, the Evaluator recommended continuing the metering activity to increase the sample size of each age category and lower margins of error of measured appliance consumption. ENS continued the metering activity in 2018, although in-depth analysis indicated that the metered consumption data were inconsistent and could not be used as is. The Evaluator therefore recommends continuing the metering activities in 2019. Moreover, the metering protocol should be closely followed to ensure that the obtained data provide accurate results, notably by ensuring that metering is conducted in a room with controlled temperature.

2018 Aret-R1 In Progress E1 agrees with this recommendation. E1 anticipates the Evaluation Consultant will perform the metering activity as part of their evaluation activities in 2019.

2019

Develop and implement a protocol on the heat gun usage process. The Evaluator recommends that ENS formalize the heat gun usage process by developing a protocol for its use. The protocol should describe the appliances to be accepted or rejected based on the metered temperature and the data to be tracked. This protocol would ensure that all non-working appliances, i.e. appliances with inside temperature below target values, are properly identified, tracked, and excluded from the metering sample as well as program results.

2018 Aret-R2 In Progress E1 agrees with this recommendation. E1 has updated the current metering protocol to include heat gun usage for acceptance or rejection of retired appliances. E1 has also integrated the updated protocol into the service delivery agents scope of practice, for consistency. E1 expects the Evaluation Consultant will review the updated protocol.

2019

Perform a socket study through on-site visits to document energy savings potential related to lighting. Market data point to higher penetration rates of LED lamps and fixtures in Nova Scotia homes. To document the remaining energy savings potential related to lighting in existing homes, the Evaluator recommends conducting a socket study in Nova Scotia homes. The socket study, conducted through on-site visits, should serve to collect information such as the number and type of lamps installed in homes. This study would be helpful for all program components that offer residential lighting measures by providing insights on the current state of lighting market.

2018 Instant - R1 Deferred E1 agrees with this recommendation. E1 is currently reviewing this recommendation as part of the larger evaluation activities for 2020-2022.

Q1 2020

Page 36: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Evaluation Recommendations

Attachment 1, Update on Implementation of 2018 Evaluation Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 2 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

Continue monitoring LED market indicators. Despite the removal of A type lamps from the Instant Savings offering as of 2019, the Evaluator recommends continuing to monitor the evolution of all LED lamps. Market indicators such as the market shares and prices of lighting technologies should still be collected to understand the changes occurring in the market after A-type lamps are removed. Monitoring market indicators would also help with remaining current on the overall state of the lighting market, which is in a period of change.

2018 Instant - R2 In Progress E1 agrees with this recommendation. E1 will collaborate with the Evaluation Consultant to ensure market indicators are included in the 2019 DSM Evaluation.

2020

Conduct a billing analysis to review the overestimation ratio when a sufficient participant sample becomes available. The billing analysis conducted in 2018 was initially aimed at estimating a new overestimation ratio for the new version of HOT2000, although it revealed that the space heating systems in place, particularly heat pumps, had a much more significant impact on the overestimation than the difference between the versions of HOT2000 that are used. Moreover, the Evaluator believes that further analyses should be conducted to evaluate the impact of the different HOT2000 versions on the overestimation ratio and confirm whether there is no significant difference on the overestimation ratio established for the D and E assessment periods. The Evaluator believes that version 11 of HOT2000 will progressively be used more in upcoming years and will enable conducting a billing analysis on a sample of participants large enough to consider: (1) D assessments and E assessments; (2) the various versions of HOT2000 (i.e. versions 11.3; 11.4; 11.5); and (3) evaluate the impact of the different heating systems in place, including the presence of wood or pellet stoves. Since overestimations significantly impact HEA net energy and peak demand savings, the Evaluator recommends conducting a billing analysis when a large enough participant sample becomes available.

2018 HEA - R1 Deferred E1 agrees with this recommendation and has consulted with the Evaluation Consultant. E1 does not expect a sufficient sample of version 11 HOT2000 participants will be available until 2020, based on current participation. Therefore, E1 suggests deferring this recommendation until 2020.

To be implemented in a future year

Page 37: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Evaluation Recommendations

Attachment 1, Update on Implementation of 2018 Evaluation Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 3 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

Share evaluation findings with the EAs to ensure sustained quality simulations. As part of the 10 HEA on-site visits and HOT2000 simulation reviews, the Evaluator noted that significant improvements have been achieved in both the quantity of measurements and the accuracy of collected data since the last review in 2016. In 2018, the Evaluator found that EAs performed well in recording household energy component data and complied with the new EnerGuide requirements. While reviewing project files, the Evaluator noted some recurrent mistakes in the HOT2000 simulations (see Subsection 3.1). The Evaluator recommends sharing feedback on the improved accuracy of data collection and aspects of the project review process that could be improved with EAs to continue working toward higher quality simulations.

2018 HEA - R2 In Progress E1 agrees with this recommendation. E1 will provide feedback to the Service Organizations on the improved accuracy of data collection and aspects of the project review process that could be improved.

2019

Improve the accuracy of the information in the tracking sheet. While reviewing the data for the ducted ASHP billing analysis, the Evaluator noticed that the information on primary and secondary heating systems found in the tracking sheet was unreliable. Two reasons were identified for this issue: 2017 participants considered in the billing analysis used a previous version of the application form, which did not clearly identify which system (new or old) was being described. There were also numerous data entry errors between the application form and the tracking sheet. The information on heating systems is essential to the billing analyses and, now that the program is available to both electrically and non-electrically heated households, to identify whether each participant should receive funding from the DSM program or the PNS program. In addition, The Evaluator found that the technical characteristics (such as heating capacity) of some heat pumps were not consistent with the values found in the reference measures list. The Evaluator therefore recommends improving the quality assurance processes for the Green Heat tracking sheet.

2018 GH - R1 In Progress E1 agrees with this recommendation. E1 will perform a quality assurance check on tracked data to ensure that the primary heating systems identified on the application forms match the Green Heat tracking sheet. E1 will also perform a quality assurance check on the accuracy of heating capacities recorded in the Green Heat tracking sheet for heat pumps.

2019

Page 38: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Evaluation Recommendations

Attachment 1, Update on Implementation of 2018 Evaluation Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 4 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

Monitor barriers to the adoption of high-efficiency MSHPs to adapt the program component offer and strategy. The market indicators presented in the Market Evolution section of this report reveal the growing popularity of MSHPs in the Nova Scotia market. Results also indicate that the rebate is less and less important in fostering the MSHPs market: › Most participants had already made the decision to install a MSHP before hearing about Green Heat › Concerns expressed by participants before choosing their equipment related more to performance (reliability, capacity, energy savings) than cost › Incented MSHPs comprise a relatively small portion of the eligible MSHP systems installed annually › Distributors mentioned that the market is growing due to factors external to Green Heat, notably the maturity of the technology, increased need and desire for air-conditioning, and the growing proportion of old MSHPs that need to be replaced › The rebate offered by the program component represents a small proportion of the retail cost, and the incremental cost difference between standard MSHPs versus high-efficiency Green Heat eligible MSHPs is relatively low That being said, Evaluation results highlight that Green Heat still had some influence on the efficiency level of MSHPs purchased in 2018. In that context, the Evaluator suggests that ENS continue incenting high-efficiency MSHP models in the short term, while planning on a longer-term shift in the intervention strategy away from a rebate-driven approach. ENS should monitor barriers to high-efficiency MSHPs to understand if interventions are still useful, and if so, identify the best ways to influence the market, particularly those segments with lower penetration rates of high-efficiency MSHPs.

2018 GH - R2 In Progress E1 agrees with this recommendation. E1 will continue to incent high-efficiency MSHP models as per the recommendation. E1 anticipates that the Evaluation Consultant will continue monitoring market indicators, will perform a benchmarking study, and will investigate barriers to install high-efficiency MSHPs.

2020

Better inform participants about thermostatic shower valves. In 2018, ENS expanded EPI product offerings by including thermostatic shower valves. The evaluation revealed a moderate satisfaction level with this new product. Due to the novelty of this product, the Evaluator recommends that ENS continue working with service providers to deliver high-quality information to participants regarding thermostatic shower valves. The information can be shared verbally upon installation or a pamphlet can be left behind. Experience demonstrates that improving product information can help lower product removal. It can also improve satisfaction levels since participants value receiving information about the products installed.

2018 EPI - R1 In Progress E1 agrees with this recommendation. E1 anticipates developing a leave-behind booklet for participants that lists all Efficient Product installation measures. This booklet will also list warranty information and frequently asked questions.

2019

Page 39: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Evaluation Recommendations

Attachment 1, Update on Implementation of 2018 Evaluation Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 5 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

Increase support and guidance to builders by further involving DAs and EAs in the NHC participation process. As evidenced by the process evaluation, DAs and EAs are valuable partners in new home construction programs and their involvement in projects can be a key factor in project success and builder satisfaction. They have the knowledge and expertise to, among other things, assist builders with registration and offer technical assistance during construction, such as measure suggestions and on-site verifications of measure installations. ENS should review the NHC participation process and identify areas where DAs and EAs can be further involved. While the Evaluator believes that EAs and DAs are also key allies in the recruitment of new builders, achieving the goal of generating more projects under NHC must first involve an assessment of current processes to ensure they are in line with builder expectations and needs.

2018 NHC - R1 In Progress E1 agrees with this recommendation. E1 will review the NHC participation process and ask DAs to outline the builder participation process in NHC. EAs are already heavily involved with participants. (i.e., EAs manage registration into NHC, provide technical guidance and support throughout the entire process), although E1 will assess if current processes are in line with builder expectations and consider making improvements.

2020

Be flexible, as much as possible, with timeline requirements that may be difficult for builders to meet. Interviews with other program administrators revealed that flexibility with builders is key to program success. For example, providing exceptions to the requirement to register within 30 days of receiving a building permit and offering extensions to builders that need more than 12 months to complete a project are important to builders and can be a deal breaker for certain builders.

2018 NHC - R2 In Progress E1 agrees with this recommendation. E1 currently evaluates registrations on a case by case basis for homes that are passed the 30-day timeline, typically allowing homes to register unless they are too far along in the build process that E1 cannot effectively impact the build. E1 already offers extensions to builders that require more than 12 months to complete a project.

2019

Share evaluation findings with the EAs to ensure sustained quality simulations and that all required documentation is included in participant files. As part of the 10 NHC on site visits and HOT2000 simulation reviews, the Evaluator noted that improvements had been achieved in the accuracy of simulations since the last review in 2016. Conversely, the Evaluator identified errors affecting the energy consumption in each file reviewed. Moreover, the Evaluator noted that building plans or as-built reports, containing the characteristics of each house component, were still missing for the majority of the files reviewed despite the recommendation made in the 2016 Evaluation Report to ensure that all required documentation be included in participant files. These findings should be shared with the EAs to continue working toward higher quality simulations, and particular effort should be invested in investigating concrete solutions on how all the required documentation could be included in the participant files.

2018 NHC - R3 In Progress E1 agrees with this recommendation. E1 will provide feedback to the Service Organizations on the improved accuracy of simulations. E1 will work with the EAs to ensure that building plans and as-built reports are available for all completed projects.

2019

Page 40: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Evaluation Recommendations

Attachment 1, Update on Implementation of 2018 Evaluation Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 6 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

Conduct a billing analysis to review ORs when a sufficient NHC participant sample becomes available. The current ORs used for NHC were obtained from a billing analysis of Home Energy Assessment (HEA) participant data. In past years, no billing analyses were conducted with NHC participants since only a few participants had their as-built energy consumption value available. The HEA billing analysis conducted in 2018 was initially aimed at estimating an OR for the new version of HOT2000, although it revealed that the space heating systems in place, particularly heat pumps, had a much more significant impact on the OR than the difference between the versions of HOT2000 that are used. Since more NHC projects will be completed under the HOT2000 version 11 rating system in upcoming years, the Evaluator recommends conducting a billing analysis specific to NHC participants when a large enough sample becomes available to both consider the various versions of HOT2000 (i.e. versions 11.3; 11.4; 11.5) and evaluate the impact of the different heating systems in place.

2018 NHC - R4 Deferred E1 agrees with this recommendation and has consulted with the Evaluator. E1 does not expect a sufficient sample of version 11 HOT2000 participants will be available until 2020, based on current participation.

To be implemented in a future year

Ensure the tracked savings are accurate. Prior to reviewing the gross savings calculations, the Evaluator identified several issues in the 2018 tracking sheet, including with values that had been entered manually. The Evaluator reviewed all the formulas used for the tracked savings calculations and when revisions were required, the Evaluator shared the revisions with ENS. For future years, the Evaluator recommends that ENS apply these formulas to track NHC savings and ensure they are consistently applied to all participants in the tracking sheet.

2018 NHC - R5 In Progress E1 agrees with this recommendation. E1 will perform a quality assurance check on accuracy and consistency in the New Home Construction tracking sheet prior to submitting to the Evaluation Consultant.

2020

Review BER logic model and eligibility criteria to ensure that the intended projects and participants go through each service. As evidenced by the process evaluation, no project types are exclusive to either service and many sold measures overlap the two services. Despite these similarities, the Evaluator also found that a significant proportion of Instant Rebates measures are installed in residential applications that would not be eligible for a Mail-in incentive. A review of the logic model and eligibility criteria would clarify the purpose of the similarities and differences between the two services and realign BER design in relation to its objectives. This review would result in a better definition of target participants and measures, which would in turn improve BER performance as well as the accuracy of the performance and savings assessment.

2018 BER - R1 In Progress E1 agrees with this recommendation. E1 anticipates that the Evaluation Consultant will review the logic model and eligibility criteria in order to better align the two paths to their objectives.

2019

Page 41: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Evaluation Recommendations

Attachment 1, Update on Implementation of 2018 Evaluation Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 7 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

Implement a system that enables connecting Instant Rebates sales data to participants. While ENS implemented the Evaluator’s past recommendations to improve Instant Rebates participant tracking, the information to fully capture the actual Instant Rebates market is still fairly limited, rendering it challenging to adjust savings assumptions to represent average conditions. One challenge, in particular, is clearly knowing whether Instant Rebates measures were purchased by contractors or end users and how many units were purchased by each of these types of participants. The Evaluator recommends that ENS implement a system that allows tracking sales and linking them to participating individuals. This would enable the Evaluator to collect more specific data from these individuals and gain a better sense of what their sales represent compared to overall service sales.

2018 BER - R2 In Progress E1 agrees with this recommendation. E1 will require distributors to provide more information for sales that are occurring to contractors. E1 is also redesigning the reporting process for Instant Rebates to allow for tracking of end-user or contractor information.

2019

Investigate ways to liaise more clients with non-lighting contractors. Contractors are key players in achieving the goal of implementing more non-lighting measures through BER and ENS programs overall. Fewer interviewed participants have go to non lighting contractors than lighting contractors for potential projects. The Evaluator recommends findings ways to connect participants to non-lighting contactors and training the latter to further promote non-lighting projects.

2018 BER - R3 In Progress E1 agrees with this recommendation. E1 will collaborate with the ETN Manager on how to bridge the gap between contractors and participants installing non-lighting measures, and how to offer training for non-lighting contractors.

2019

Analyze the incentive levels for non-lighting measures with a higher payback period. Meeting company payback thresholds remains a key barrier to implementing non lighting measures among participants. The Evaluator recommends that ENS assess possible ways of pushing more participants toward non lighting measures that typically have longer payback periods. While actively promoting the energy and non energy benefits of measures might be enough to push some participants to implement non lighting measures, for other participants whose companies require specific payback thresholds before any energy efficiency project is approved, an ENS review of incentive levels for at least a few high potential measures might be needed.

2018 BER - R4 In Progress E1 agrees with this recommendation. E1 will review current incentive levels for a few non-lighting measures.

2019

Page 42: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Evaluation Recommendations

Attachment 1, Update on Implementation of 2018 Evaluation Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 8 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

Improve communication to SPs and participants about the various New Construction steps and corresponding service requirements. As previously mentioned, the key aspect of New Construction mentioned as problematic by participants and SPs is the lack of clear communication about service steps and requirements, with one SP mentioning not understanding the base case against which efficient designs need to be assessed. Additionally, there is a perception that projects cannot fit within the New Construction service timeline, which pushes some clients away from the service according to SPs. Clearer and sustained information about New Construction is recommended. Improved communication should include a clear and concise process chart, along with detailed checklists of what is required at each step of the participation process as well as timelines to complete each step. Clearer directions on the appropriate modelling approach would also reduce adjustments made to tracked savings and improve the quality of energy models. Given the small number of completed projects each year, the Evaluator encourages as much as possible a personalized follow-up approach and regular check-ins on projects to ensure that they progress how they should.

2018 Custom - R1 In Progress E1 agrees with this recommendation. E1 will continue to update the New Construction process guide to reflect current requirements for the program (last updated in January 2019). E1 will review the program timelines and make revisions to ensure customers do not feel limited by the time requirements. A process chart was developed by E1 in 2018 and will be refined as required. E1 will also develop checklists to accompany the various steps.

2020

Further engage new and existing SPs and make them stronger advocates for New Construction. Interviewed SPs often could not accurately recall their membership status with ENS ETN, an indication of limited involvement with ENS. In addition, the relative lack of modellers, architects and general contractors in ETN suggests that there is an opportunity to engage those parties more in the service. Having more professionals in ETN would allow ENS another communication channel to reach these professionals and share information about New Construction. Recruiting modellers, architects and general contractors and making the service more top-of-mind could be particularly important to expanding New Construction participation because such professionals are typically involved in the early stages of construction projects and may influence decisions to participate in the service. ENS could also engage with new trade associations and enhance relationships with associations they already know. This would serve to reinforce the service ENS offers to professionals. Reaching out to trade associations should not be limited to Nova Scotia because some SPs come from other provinces to work on projects.

2018 Custom - R2 In Progress E1 agrees with this recommendation. E1 is working to engage professionals (i.e.. Architects, engineers) through training, events and engagement opportunities that suit the needs of these professionals. Some tactics to getting more professionals on the ETN directory include promoting their specialties through our online directory so that contractors can scope out potential work opportunities, hosting training sessions tailored to their specific needs through the network or providing leads and working directly with our business development managers. Since November 2018, E1 has made connections with CANS NS, Halifax Chamber of Commerce, QUEST, ASHRAE, CanSIA, Architects NS, Engineers NS, and CaGBC in hopes to meet industry professionals and have them involved in the ETN and Efficiency NS programs.

2019

Page 43: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Evaluation Recommendations

Attachment 1, Update on Implementation of 2018 Evaluation Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 9 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

Review program delivery to improve participant understanding and mastery of energy performance tracking. Despite being satisfied with EMIS and SEM, many participants in both program components mentioned feeling they need more assistance with ongoing analysis and they lack resources to continue tracking and maintaining facility energy consumption levels on their own. Another indication of high dependence on service providers is that one 2017 EMIS participant stopped producing monthly reports for the second half of 2017 because the service provider could no longer remotely access their energy management information system. Furthermore, many SEM participants do not anticipate continuing their energy management efforts, particularly in terms of tracking energy performance, without the support of a service provider. The Evaluator believes that these examples indicate that EMIS and SEM participants heavily rely on their service providers to maintain their efforts and that the program components do not achieve the full potential of changing energy management practices. Therefore, it is recommended that EMIS and SEM delivery methods be reviewed to better equip participants to understand and fully master energy performance tracking methods. In addition to increasing the persistency of savings, this is also likely to improve participant satisfaction with EMIS and SEM since participants would feel less overwhelmed by the amount and complexity of the data provided to them through EMIS or SEM.

2018 EMIS & SEM - R1

Deferred E1 agrees with this recommendation. E1 anticipates the Evaluation Consultant will perform a participant survey to identify if there are issues or barriers for completed participants maintaining their reporting after the service provider is no longer involved.

To be implemented in a future year

Monitor the market evolution for lighting products that were recently removed from ENS offerings. The recent changes to lighting product eligibility in Instant Savings and Business Energy Rebates are likely to have a major impact on the savings achieved by those program components and the portfolio as a whole. While market evolution data were collected in previous years and used to support the decision to modify ENS offerings, the impact of ceasing interventions in a market is never fully known. The Evaluator recommends that ENS collect data and track market evolution in a timely manner in upcoming months to allow for quick adjustments if the market does not evolve as expected. This data may be collected through sales figures from participating retailers and distributors or other market research strategies such as interviews with market actors.

2018-CR-R1 In Progress E1 agrees with this recommendation. E1 anticipates the Evaluation Consultant will comment on market evolution in the Business Energy Rebates and Instant Savings evaluation reports. E1 will continue to collect sales figures for Instant Savings and will strive to collect more information from distributors for Business Energy Rebates.

2019

Page 44: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Verification Recommendations

Attachment 1, Update on Implementation of 2018 Verification Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 10 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

All 2018 evaluations conducted by Econoler are within accepted industry frameworks and evaluation standards.

Finding 2018 SVF-1 n/a n/a n/a

The Savings Verification study recommends acceptance of the 2018 evaluation results for energy savings and for demand-reduction for all programs.

Recommendation 2018 SVR-1

n/a n/a n/a

The Savings Verification study recommends increase in the level of effort in process evaluation for the next evaluation to include participant observation by the process evaluator of one or two program components and development of a full process evaluation report.

Recommendation 2018 SVR-2

In Progress E1 agrees with this recommendation. E1 is currently working with the Evaluation Consultant to develop a 2019 Evaluation Plan. This development process will occur during the second quarter of 2019 to ensure E1 is able to use feedback from the previous year’s evaluation to inform resource allocation for the subsequent year’s evaluations. E1 anticipates the Evaluation Consultant will perform 2-4 process evaluations in 2019. If funds allow, E1 will have the Evaluation Consultant dig deeper into programs to try and identify issues that are not clearly apparent. E1 will share the 2019 Evaluation Plan with the DSM Advisory Group in the fall of 2019, alongside a rationale that details why certain program components will undergo a process evaluation.

2020

In the Appendix or in the text of the next New Residential Homes evaluation, explain the concepts of expected useful life (EUL) and savings weighted measure life for the program. Show the derivation of the 30-year estimate used in the calculation of lifetime energy savings. Also calculate a separate EUL estimate for the Passive House pilot homes.

Recommendation 2018 NHC-SVR-3

In Progress E1 agrees with this recommendation. The Evaluation Consultant will include an explanation of Effective Useful Life (EUL), and savings weighted measure life in the 2019 New Residential Evaluation Report. However, the Evaluation Consultant has already provided the derivation of the 30-year estimate used in the calculation of lifetime energy savings for NHC in the 2017 New Residential Evaluation Report. The Evaluation Consultant has also already performed a review of the EUL used for the Passive House Pilot in the 2017 New Residential Evaluation Report.

2020

Page 45: Q1 Demand Side Management Report · EfficiencyOne Q1 2019 Demand Side Management Report Date Filed: May 24, 2019 Page 1 of 29 1 1. SUMMARY 2 3 In the first quarter (Q1) of 2019, the

Update on Implementation of 2018 Verification Recommendations

Attachment 1, Update on Implementation of 2018 Verification Recommendations EfficiencyOne – 2019 Q1 DSM Report

Date Filed: May 24, 2019 Page 11 of 11

Attachment 1

Recommendation Text Source Status Comments Expected Completion Date

It can be observed that a well-built house itself can easily last 100 or 200 years, while components of the house such as appliances, shingles and windows require periodic replacement. Also, maintenance requirements are typically not conceptualized and included in DSM programs. Consider and report on the possibility of improving EUL (a) by taking maintenance requirements into account and (b) explain if a materials science or engineering approach to quality and longevity of components could improve EUL at reasonable cost.

Recommendation 2018 NHC-SVR-4

Not Recommended for Action

E1 appreciates this recommendation, although E1 does not currently have resources allocated to perform the research required to improve the EUL methodology. E1 will work with the Evaluation Consultant to keep up to date on development in this area and will apply any relevant changes to the EUL methodology as it becomes available.

N/A

When three of six cases are examined and there are modeling and/or calculation errors in each examined case, the evaluator should examine the remaining cases also. Errors should trigger additional examinations.

Recommendation 2018 Custom-SVR-5

In Progress E1 agrees with this recommendation. Planning and resource allocation is performed in the spring/fall of 2019. E1 and the Evaluation Consultant will create a Scope of Work (SOW) that identifies the number of site visits to be performed (based on expected program participation). E1 will ensure that the SOW outlines site-visits for all Building Optimization and New Construction projects, as past results indicate that there could be errors in modeling and/or calculation errors. E1 will also introduce a staged site-visit approach, whereby half (or more) of the site visits will occur in November and the remaining site visits will occur in mid-January, which will ensure that all projects can be visited and reviewed, even those completed at the very end of the year.

2020

For SEM and EMIS, experiment with provision of a circuit rider to maintain contact and occasional sociotechnical engagement projects to help maintain technologies and self- and corporate discipline when the service provider is no longer available to a project. A pragmatic rule of thumb is that changes stay in place if they can be maintained for over five years and through at least one change of lead personnel.

Recommendation 2018 SEM/EMIS-SVR-6

Deferred E1 agrees with this recommendation. E1 anticipates that a process evaluation will occur in 2020 for EMIS and SEM. Through the process evaluation the Evaluation Consultant will consider including questions to assess the effectiveness of knowledge transfer to participants and ongoing support they may require following engagement with the Service Provider.

To be implemented in a future year