Assessing Electric Utility Incentives and Support

Fred Yebra, P.E.Energy EngineerState Energy Conservation OfficeJuly 28, 2015

Presentation to the Association of Energy

Engineers (AEE)by

PUCT Substantive Rule 25.181

• Requires utilities to offer energy efficiency cash incentive programs to utility customers

• In 2013, goal increased to 30% of annual electric load growth for energy efficiency savings

• Rule allows cost recovery for energy efficiency in rates

2014 Energy Efficiency Budgets by TDUs

• $143 Million budgeted for energy efficiency

• Only $131 Million was spent in 2014

• A total of 541,000 Mega-watt-hours saved is equivalent to: 373,047 metric tons of CO2

Electric power for 51,303 homes for one year

890 Million vehicle miles traveled, or

2,000 railcars worth of coal burned

Energy Efficiency Utility Incentives

• Building envelope improvements like insulation, roofing, weatherization, etc.

• Energy efficient motors, HVAC equipment, high efficiency lighting (LEDs, CFLs)

• Retro-commissioning, PV systems, peak load management

• Most utilities offer technical assistance to help identify and evaluate opportunities

Energy Efficiency Utility Incentives

• Rebates help pay down a portion of the retrofit measures installed costs

• Rebates paid based on energy $/kWh-saved or peak demand $ per kW-reduced

• Rebate payments range from 20% to 40% of project installed costs

• Cash Incentives can be combined with other funding to improve project payback

Texas Electric Cooperatives and Municipal Utilities

• Some utilities offer cash incentives for energy efficiency improvements

• Before installing EE projects contact the utility rep

• Link to TDUs to find your representative:http://www.texasefficiency.com/index.php/utility-

programs/eligibility

• Link to Municipal Utilities and Electric Cooperatives:

www.dsireusa.org

www.opuc.texas.gov/energyefficiency.html

For questions contact:

Fred Yebra, P.E.State Energy Conservation OfficeFred.yebra@cpa.texas.gov512-475-0753