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New Incentives for Combined Heat & Power in Ohio:
How One Utility is Setting the Bar
Webinar Agenda:1. Welcome & Background
2. Dayton Power & Light CHP Program3. Q & A
4. Ohio Policy Update
June 24, 2015
Today’s Speakers
Trish Demeter – Ohio Environmental Council, Facilitator of Ohio Coalition for CHP
Stefanie Campbell, Nick Redlin and Lyle Garrison – Dayton Power & Light (DP&L)
Ohio Senate Bill 315 Governor Kasich’s 21st Century Energy
Initiative, enacted in 2012
Allowed Combined Heat and Power (CHP) and Waste Energy Recovery (WER) to qualify as energy efficiency resources under state efficiency standard (EERS)
DP&L is first utility to launch CHP-specific incentive
Ohio Policy Update Ohio Senate Bill 310 suspended
efficiency % benchmarks, but utilities could choose to continue offering current programs
“Energy Mandates” Study Committee Report Due September 30, 2015
Legislation expected to be enacted before end of 2016
DP&L Energy Efficiency Programs
The Dayton Power & Light CompanyStefanie Campbell, Energy Efficiency ManagerLyle Garrison, Program ManagerNicholas Redlin, Program Manager
6www.dpandl.com
SB221: Investor owned utilities required to meet efficiency goals• Reduce energy 22% by 2025
SB310: Efficiency goals “frozen” for two years. Utilities given a choice: • Continue existing portfolio plan, with no modifications, through 2016
• File an amended plan, subject to PUCO approval
DP&L chose to continue our existing portfolio plan• More certainty for DP&L, our partners and our customers
• Continue to assess changing landscape
DP&L Energy Efficiency Goals
7www.dpandl.com
2009 2010 2011 2012 2013 2014 2015 2016 20170
200,000
400,000
600,000
800,000
1,000,000
1,200,000
115,279
294,485
474,071
660,597
864,088
1,035,633
43,919
115,637
214,337
325,476
449,757
587,019
723,458
859,077
993,883
Actual
SB 221 Targets
0.30% 0.50% 0.70% 0.80% 0.90% 1.00% 1.00% 1.00% 1.00%
DP&L Energy Efficiency Performance
8www.dpandl.com
PrescriptiveLighting
HVAC
Motors & Drives
Air Compressors
Other
CustomLighting
HVAC
Other
New Construction
Business Audits
DP&L Business Programs
9www.dpandl.com
• Per SB 310 (SB 315)“For the purposes of waste energy recovery or combined heat and power systems, an electric distribution utility shall not apply more than the total annual percentage of the electric distribution utility’s industrial-customer load, relative to the electric distribution utility’s total load, to the annual energy savings requirement.”
• Total retail sales 13,829,968 MWh• Industrial makes up 25.2% of total • Energy Savings Requirement is 1% Annually
DP&L CHP Limit
Total Retail Sales
13,829,968 MWh
Energy Savings Requirement (1%)
138,230 MWh
CHP Limit
(25.2% Ind load)34,851 MWh
~4 MW annual
capacity
10www.dpandl.com
CHP Workshop
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• Custom Rebate Program• $0.08 per kWh Generated
• kWh rebate paid at 6 and 12 months after completion
• $100 per kW Capacity• kW rebate paid at project completion
• Limited to 50% of project cost• Rebates will be capped at $500,000 per account• Rebate incentive is paid to the customer• For projects over 500 kW, DP&L will work with
customers to determine custom incentive structure
CHP Incentive Structure
12www.dpandl.com
CHP Incentive Requirements
• Apply through Custom Program
• “Other” technologies
• Pre-Approval is required
• Must be installed in the DP&L territory
• Overall system efficiency must meet or exceed 70% LHV
• Must be a 7 year or less simple payback
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DP&L Energy Audit Program provides up to $10,000 to subsidize the cost of a CHP Feasibility Study to encourage the implementation of CHP projects.
Feasibility Study
Rebate to Follow the Business Audit Program
• DP&L will reimburse 50% up front after the study is completed
• The remaining 50% will be reimbursed when the CHP project is implemented
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• Application online• www.dpandl.com/CHP
• Need Help? Contact DP&L • [email protected]
Submitting Application
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• Interconnection: physical connection of the Applicant’s facilities to the Company’s distribution system
• Application (DPandL.com/environment)• Engineering review for safety & reliability, as well as
customer needs (i.e., usage)• Technical requirements• Reviewed within 30 days• Nominal fee
Interconnection Process at DP&L
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Interconnection Process
1. APPLICATION• Typically approved within 30 days• Equipment installation should follow approval
2. AGREEMENT• Formal agreement to document interconnection
3. NET METER• Utility installs net meter to accurately measure energy used as
well as excess energy put back on the grid.
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• Net Metering is the difference between energy used and excess electricity generated that is put back on the grid • Offset part or all of their “electricity needs”• Billing based on net usage in the month
• Qualifying installations include renewable or advanced technology (incl. micro-turbines)
What is Net Metering?
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Stefanie CampbellManager EE Programs
Lyle GarrisonEE Program Manager
Nicholas RedlinEE Program Manager
Contact Information
Questions?
Please Type Your Question into the GoToMeeting Chat Box
Thank You!
Trish DemeterManaging Director, Energy &
Clean Air [email protected]
@tademeter614-487-5829
