Silos of Excellence: Effectively Integrating the DSM Organization for Seamless EE and DR Program Delivery

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Presented at the 2013 ACEEE National Conference on Energy Efficiency as a Resource Silos of Excellence: Effectively Integrating the DSM Organization for Seamless EE and DR Program Delivery Presented by: Nancy Jenkins Matt Klosinski (on behalf of Mark Martinez) Nancy Jenkins, Matt Klosinski September 23, 2013

INTEGRATED DEMAND SIDE MANAGEMENT OVERVIEW

Silos of Excellence IDSM Overview 3 Driven by Policy For the 2009-2011 EE and DR proceedings, the California Public Utilities Commission (CPUC) provided the following guidance: IDSM programs involving the use of demand response funds should be clearly indicated in both energy efficiency and demand response applications.

Silos of Excellence IDSM Overview 4 Developing Priorities The CPUC also set out an order of priority for Integrated Demand Side Management (IDSM) activities: 1. Comprehensive and coordinated marketing, packaging and delivery 2. Operation improvements 3. Optimization

5 How the IDSM Process Works EE DR DG IDSM Integrated Synchronize d Coordinated

IDSM IMPLEMENTATION: PILOTS

7 DR IDSM Pilots and Programs Purpose The 2009-2011 EE and DR applications included IDSM pilots and activities to enable DR for inclusion into existing EE programs. DR IDSM existing programs include incentive options that promote higher levels of DR integration within the boundaries established by existing programs. The DR IDSM pilots test and identify best practices for integrating DR with the existing EE programs.

8 Pilot Examples New Construction Residential and Commercial Integration with Edison SmartConnect and HAN Zero Net integration with Renewables Whole building approach with statewide outreach USGBC LEED pilot and Savings by Design Technology Resource Incubator (TRIO) Find, fund, and field test IDSM technologies Outreach and awareness to the investor community Workforce Education and Training (WE&T) Smart Students, LivingWise, Green Campus, Peak Education and awareness of DR programs and rates

9 Program Examples DR Energy Leader Partnership Actively participates with the CEES Energy Leader Partnership program to create awareness of DR and to increase enrollment in DR programs at the local government level IDSM Marketing Enables customers to become smart energy users by engaging them in relevant IDSM solutions, such as EE, DR, renewables, and income-qualified solutions Federal Power Partnership Integrated outreach efforts designed to provide awareness, education, training, workshops, and expert services to support the adoption of IDSM measures in the federal sector

ENERGY LEADER PARTNERSHIP PROGRAM: LOCAL GOVERNMENTS AT THE FOREFRONT OF IDSM

11 Leading by Example Local governments are in the unique position of being both energy users and energy use influencers. Historically, local governments have participated much less in SCE s EE and DR programs relative to other commercial customers. Local governments can also leverage their authority and roles to both require and motivate EE and DR in their communities.

12 Local Government Barriers The public sector faces numerous challenges when it comes to IDSM leadership: Funding Technical Expertise People/Time Constraints Competing Priorities

13 Energy Leader Model Keys to Success Staged approach, with goals commensurate with local government Education/awareness is foundational Increased incentives above core program participants overcome financial barriers Technical support to identify and explain EE and DR opportunities Technical support to assist in implementation of EE/DR Support in application process and reporting address staff constraints Rewarding leadership Pay for performance increased incentives Recognition among peers

14 Energy Leader Model The Way It Works

15 The Energy Leader Model Promotes IDSM Integration Partners complete EE and DR tier level activities to advance

16 Energy Leader Model Valued Partner Make a commitment to energy and demand goals Enroll in California s Flex Alert Program

17 Energy Leader Model Silver Partner Reduce Energy Use in municipal facilities by 5% Demonstrate a long-term commitment by initiating an Energy Action Plan DR Distribute Energy Solutions brochure to partner employees DR Enroll one eligible facility in a demand response program and develop an event curtailment plan for a participating facility

18 Energy Leader Model Gold Partner Reduce energy use in municipal facilities by 10% Complete Energy Action Plan DR Enroll 25% of eligible facilities in DR programs and develop event curtailment plan(s) for participating facilities DR Conduct one co-branded DR awareness item from Marketing and Outreach Menu

19 Energy Leader Model Platinum Partner Reduce energy use in municipal facilities by 20% Implement Energy Action Plan DR Enroll one eligible service account into one of SCE s automated DR programs and reduce load with automated controls DR Enroll 50% of eligible facilities in DR programs and develop event curtailment plan for participating facilities DR Conduct one additional co-branded DR awareness item from marketing and outreach menu

20 Recognition Energy Leader Plaques

22 What s Next for IDSM? Build on existing success and drive improvements Continue to develop and identify IDSM pilot opportunities Focus on WE&T and other emerging educational programs Enhance regulatory IDSM statewide coordination Expand existing DR IDSM program activities Integrated IDSM Marketing IDSM Energy On-Site Customer Audits Energy Leader Partnership Institutional Government Partnership Food Processing and Third Parties (new) Examine avenues for IDSM innovation IDSM for third parties and complex systems integration IDSM upstream market opportunities

23 SCE s vision for both the Mandated and Preferred Program Plans is centered on an unprecedented level of IDSM, designed to transform the way customers understand, use, and manage their energy usage.