Tips and Tricks for Benchmarking DSM Measures, Programs, and Portfolios

Transcription

1 Tips and Tricks for Benchmarking DSM Measures, Programs, and Portfolios Rachel Reiss Buckley Senior Director, E Source Web conference December 6, 2018

2 Today s agenda Overview of using E Source for benchmarking Portfolio benchmarking Measure benchmarking Program benchmarking Budget benchmarking Program metrics Next steps 2018 E Source 2

3 Today s speakers Rachel Reiss Buckley Senior Director Customer Energy Solutions Kate Merson Director Customer Energy Solutions Liza Minor Data Analyst Customer Energy Solutions 2018 E Source 3

4 Why benchmark? I want to make sure our portfolio is on par with our peer utilities portfolios. Plus, my superiors like having insights about how we compare. DSM executive 2018 E Source 4

5 Why benchmark? Regulator I want to make sure that the programs we approve: Are in the best interest of ratepayers Keep up with the industry Produce the most benefits for the least cost 2018 E Source 5

6 Why benchmark? I m focused on continuously improving the program I oversee and want to make sure I m not missing any opportunities for more savings. Program manager 2018 E Source 6

7 DSM benchmarking with E Source Self-service Syndicated, semicustom Service bureau Technology Assessment Service Demand-Side Management Service 2018 E Source 7

8 DSM benchmarking with E Source Deep Depth Shallow Hours Weeks Months Time frame 2018 E Source 8

9 Self-service with DSM Insights E Source 9

10 DSM Insights contents Utility profile Impacts Spending Costeffectiveness Evaluation Customer counts Sales AMI penetration kw, kwh, therm Plan versus actual Plan and actual Per program Budget breakdown Benefitcost ratios $/kw, kwh, therm Net-togross/ attribution Realization 2018 E Source 10

11 Self-service with Measure Insights Compiles TRM DATA into a structured online database of measure-specific assumptions and inputs to base DSM program calculations on 2018 E Source 11

12 The Demand-Side Management Service helps you by Benchmarking and analyzing programs and portfolios Answering your questions Facilitating networks and discussion among utility peers 2018 E Source 12

13 The Technology Assessment Service provides 2018 E Source 13

14 E Source DSM services Service Technology Assessment Service Description Assesses market and savings potential of DSM and distributed energy resource (DER) measures Example What savings can we expect from HPWHs? Is the market ready? Demand-Side Management Service Optimizes program design, implementation, and evaluation How does our program compare to others? What are best practices to achieve savings? Residential & Business Marketing Services Drives deeper participation through customerfocused marketing Which customers should we target? What marketing tactics work? 2018 E Source 14

15 E Source research services Technology Assessment Service Identify and vet emerging technologies Assess the market readiness of DSM and DER technologies Assess the technical potential of DSM and DER measures Optimize the productdevelopment process Identify gaps in measure-level offerings via tech roadmapping Demand-Side Management Service Identify portfolio and program gaps via benchmarking data Optimize program design and validate program changes Enhance program-implementation strategies Develop RFPs and select highperforming vendors Justify regulatory and policy decisions Identify emerging program designs 2018 E Source 15

16 Ask E Source Research on demand Custom research Expert access 3,000+ answered annually 2018 E Source 16

17 E Source DSM consulting solutions Innovation beyond current offerings 1 2 Insight into evolving competitive business models 3 Development of portfolio-gap analysis 4 5 Holistic visibility into peer utilities programs Deep understanding of the utility residential and commercial customer landscape 2018 E Source 17

18 DSM gap analysis consulting Comprehensive market scan of DSM portfolios, programs, and technologies Comparison against peers and leaders Exclusive insights into lessons learned from best-in-class peers Market-level data to inform customer-centric programs Compare yourself to others by tapping into E Source s benchmarking capabilities, identify top performers and what they are doing well, and learn what can be implemented in your territory. Benchmarking can include a variety of performance metrics: savings, participation, costeffectiveness, budgets/spending, meeting goals, etc E Source 18

19 Portfolio benchmarking 2018 E Source 19

20 $ dashboard in DSM Insights E Source (DSM Insights) 2018 E Source 20

21 DSMi+EIA dashboard TIPS This dashboard combines data from EIA Form 861 and annual report information found in DSM Insights to show benchmarking analytics. E Source (DSM Insights) 2018 E Source 21

22 Industry spending, E Source 22

23 State policy and spending trends Increases New York Missouri Virginia Illinois California New Jersey Decreases Iowa Kentucky Arizona 2018 E Source 23

24 Average spending change by utility Increase by more than 100% 12 Increase by 90% to 100% 3 Increase by 70% to 80% 6 Percentage change Increase by 50% to 60% Increase by 30% to 40% Increase by 10% to 20% Decrease by 10% to 20% Decrease by 30% to 40% Decrease by 50% to 60% 5 Decrease by 70% to 80% Number of program administrators Base: n = 119. E Source (DSM Insights) 2018 E Source 24

25 What are the most consecutive years a utility has achieved 2% energy savings with DSM/energy efficiency? Top 10 IOUs that have consecutive years with savings greater than 2% MWh sales National Grid (RI) Eversource (MA - Western Massachusetts Electric) National Grid (MA) Unitil (MA) 4 Utility Eversource (MA - NSTAR) Otter Tail Power Co. (MN) 3 4 ComEd (IL) Southern California Edison (CA) SDG&E (CA) Pacific Gas and Electric Co. (CA) Number of years E Source 2018 E Source 25

26 Which utilities achieved the highest DSM/energy-efficiency savings in the past 10 years (by % sales)? 5.0% 4.0% 3.0% 2.0% 1.0% Average savings as percentage of sales (MWh) among top 10 investor-owned utilities, % E Source Top 5 Average % Eversource (MA) 2.8% National Grid (MA) 2.2% Eversource (MA WMECo) 2.0% National Grid (RI) 1.8% PG&E (CA) 1.7% Among IOUs, Eversource (NSTAR) in Massachusetts has had the highest average savings as a percentage of sales (2.8%); its energy-efficiency reporting only goes back to 2014, having achieved more than 2% savings in each of the past four years. National Grid in MA and Eversource (WMECo), also in MA are the only two other utilities to average more than 2% over the period of years reported from 2006 to E Source 26

27 What utilities achieved the highest DSM/ energy-efficiency savings in the past 10 years (by % sales)? 3% Average savings as a percentage of sales (MWh) among top 10 IOUs, Percentage of sales 2% 1% 0% E Source Since 2010, the average percentage of sales (MWh) achieved by the top 10 utilities (ranked by savings as percentage of sales) has grown from 1.5% in 2015 to 2.6% in This represents an increase of close to 70% in the average percentage of sales saved over seven years E Source 27

28 Top 10: Savings as percentage of sales achieved each year from Eversource (MA - WMECo) 3.8% National Grid (RI) 3.5% National Grid (MA) 2.9% Eversource (MA - NSTAR) 2.6% Unitil (MA) 2.1% Otter Tail Power Co. (MN) 2.0% ComEd (IL) 1.9% Delmarva Power (MD) 1.8% Pepco (MD) 1.8% Pacific Gas ad Electric Co. (CA) 1.8% Grand total 2.4% 2016 Duke Energy Carolinas (SC) 4.3% National Grid (MA) 3.8% Eversource (MA - WMECo) 3.3% National Grid (RI) 3.1% Eversource (MA - NSTAR) 3.0% Otter Tail Power Co. (MN) 2.2% Public Service of New Hampshire (NH) 2.1% Unitil (MA) 2.1% UniSource Energy Services (AZ) 2.0% ComEd (IL) 2.0% Grand total 2.8% National Grid (MA) 3.6% National Grid (RI) 3.3% Eversource (MA - WMECo) 3.3% Eversource (MA - NSTAR) 2.9% Unitil (MA) 2.1% Otter Tail Power Co. (MN) 2.0% UniSource Energy Services (AZ) 2.0% Tucson Electric Power (AZ) 1.9% ComEd (IL) 1.7% SDG&E (CA) 1.7% Grand total 2.4% 2017 National Grid (MA) 4.1% National Grid (RI) 3.5% ComEd (IL) 3.3% Eversource (MA - NSTAR) 2.8% SDG&E (CA) 2.5% KCP&L (MO) 2.1% Xcel Energy (MN) 2.1% United Illuminating (CT) 1.8% KCP&L GMO (MO) 1.8% Pacific Gas and Electric Co. (CA) 1.8% Grand total 2.6% 2018 E Source 28

29 What utilities had the highest DSM/energyefficiency savings (MWh) in the past 10 years? Top 10 IOUs average reported (incremental) MWh savings, Pacific Gas and Electric Co. (CA) 1,493,525 Southern California Edison (CA) ComEd (IL) 1,191,816 1,160,787 DTE Energy (MI) Eversource (MA - NSTAR) Duke Energy (NC) AEP Ohio (OH) National Grid (MA) Xcel Energy (MN) PPL Electric Utilities (PA) Note: MWh = megawatt-hours. 628, , , , , , , , , , ,000 1,000,000 1,200,000 1,400,000 1,600,000 Average reported first-year savings (MWh) E Source 2018 E Source 29

30 Measure benchmarking 2018 E Source 30

31 TRM Coverage dashboard in Measure Insights View measures across jurisdictions to determine: Most common (benchmarking) Least popular (new opportunities) First time ever compiled in the industry 2018 E Source 31

32 TRM Values dashboard in Measure Insights E Source (Measure Insights) 2018 E Source 32

33 Benchmarking smart thermostat savings Notes: kwh = kilowatt-hours; TRM = technical reference manual. E Source 2018 E Source 33

34 Benchmarking measure life Note: TRM = technical reference manual. E Source (Measure Insights) 2018 E Source 34

35 Custom measure benchmarking Objectives Look for measures not included in a specific TRM Measures and metrics Compare the inputs of a specific measure across multiple TRMs Realization rate Effective useful life Energy savings 2018 E Source 35

36 Advanced power strips benchmarking 2018 E Source 36

37 Program benchmarking 2018 E Source 37

38 Benchmark My Program Redesigned user experience makes it even easier to pull data from one report instead of having to go to multiple dashboards to find your answer. See all metrics for a program category in a single report E Source 38

39 School kit program benchmark Findings: Typically offered to receptive 4th through 8th grade students Utility brand recognition, reaches underserved communities, crosspromote programs Smart strips, LEDs, showerheads, and aerators have highest savings Smart strips and LEDs are new editions (high installation rate of plugin measures) Recommendations: opt-out program, focus on measures with high installation rates, give rewards, and use gamification 2018 E Source 39

40 Most common measures in school kits School kit measure Frequency Showerhead 22 LEDs 20 Kitchen faucet aerator 19 Bathroom faucet aerator 16 Digital thermometer 9 Water flow rate test bag 9 LED night light 8 Shower timer 7 Smart power strip E Source 40

41 Other program benchmarks to check out Direct Load Control Program Benchmark Best-in-Class Residential DSM Programs Best-in-Class Commercial DSM Programs 2018 E Source 41

42 Low-income program market scan Common utility offerings Weatherization programs with standard measures Implemented by contractors/service agencies Embedded or associated programs that perform health and safety checks or repairs to enable energy efficiency Energy bill assistance Source: istock 2018 E Source 42

43 Low-income program market scan Unique utility offerings Duke: NES Program ACE Energy: Using technology for customer education SMUD: Low-income prioritization (4 groups) PSE: Explores methods for additional measures/structures Source: istock 2018 E Source 43

44 Other noteworthy aspects SMUD: Using smart meter data to develop a unit-specific bundle of measures to offer the customer PSE: Cost-effectiveness requirement SMUD, PSE, Duke: More utilities now including or piloting energyefficiency programs for manufactured homes Source: istock 2018 E Source 44

45 Budget benchmarking 2018 E Source 45

46 Budget Details dashboard in DSM Insights Across multiple administrators For one portfolio 2018 E Source 46

47 Average marketing spending across the industry Planned utility DSM marketing spending as a percentage of total budget, Average spending as percentage of budget Base: n = 105. E Source (DSM Insights) 2018 E Source 47

48 How much do utilities spend on evaluation? The answer is 2% E Source 48

49 Program metrics 2018 E Source 49

50 EM&V dashboard in DSM Insights E Source (DSM Insights) 2018 E Source 50

51 Top commercial custom programs based on net-to-gross (NTG) ratio 2018 E Source 51

52 Searchable database featuring impact and process evaluations for energy-efficiency and demand-response programs from utilities across the US and Canada, organized by geography, date, author, administrator, and implementer E Source 52

53 DSM benchmarking with E Source Self-service Syndicated, semicustom Service bureau Technology Assessment Service Demand-Side Management Service 2018 E Source 53

54 Next steps Log into DSM Insights and Measure Insights. Let us know if you need training. Submit an Ask E Source request. Search the research library. Set up time to talk with us. Make sure you re signed up for weekly alerts and monthly newsletters E Source 54

55 Coming soon Programs Market trends in low-income DSM State of the upstream / midstream portfolio DSM tracking systems Shifts in DSM organizational structures 2018 E Source 55

56 DSM Peer Sharing Calls Topics Covered New-construction programs Trade allies Small business programs Gas DSM programs Multifamily programs Behavioral programs Strategic energy management Electric vehicles Smart thermostats Midstream programs Setting rebate levels Low-income programs Customer experience Contact center services Paperless billing adoption Smart home working group 2018 E Source 56

57 We d love to work closely with you! Rachel Reiss Buckley Senior Director Customer Energy Solutions rachel_buckley@esource.com Kate Merson Director Customer Energy Solutions kate_merson@esource.com Liza Minor Data Analyst Customer Energy Solutions liza_minor@esource.com You're free to share this document in its entirety inside your company. If you'd like to quote or use our material outside of your business, please contact us at customer_service@esource.com or ESOURCE ( ) E Source 57