20141001PAC to Staff Attach 2.1.pdf

2010
Idaho Cost Effectiveness

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
1 of 16
Page 2 of 16

Table of Contents
Portfolio and Sector Level Cost Effectiveness ............................................................................... 3
Irrigation Load Control ................................................................................................................... 5
Home Energy Savers....................................................................................................................... 6
Refrigerator Recycling (See ya later, refrigerator®) ...................................................................... 8
Low Income .................................................................................................................................. 10
Agricultural Energy Services (Irrigation Energy Savers) ............................................................. 11
Energy FinAnswer ........................................................................................................................ 13
FinAnswer Express ....................................................................................................................... 15

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
2 of 16
Page 3 of 16

Portfolio and Sector Level Cost Effectiveness
The tables below present the cost-effectiveness analysis for the Idaho Energy Efficiency Portfolio based
on 2010 costs and savings estimates. The Utility discount rate is from the 2008 PacifiCorp Integrated
Resource Plan. Individual program cost-effectiveness follows the portfolio views.
The energy-efficiency portfolio is cost-effective from all perspectives except RIM.
Table 1: Common Inputs
Parameter Value
Discount Rate 7.40%
Residential Line Loss 9.96%
Commercial Line Loss 9.33%
Industrial Line Loss 9.06%
Residential Energy Rate ($/kWh) $0.0848
Commercial Energy Rate ($/kWh) $0.0715
Industrial Energy Rate ($/kWh) $0.0527
Table 2: 2010 Total Portfolio including Load Control

Levelized $/kWh Costs Benefits Net Benefits
Benefit/Cost
Ratio
Total Resource Cost Test (PTRC) + Conservation Adder NA $8,192,802 $21,409,860 $13,217,058 2.613
Total Resource Cost Test (TRC) No Adder NA $8,192,802 $19,463,509 $11,270,707 2.376
Utility Cost Test (UCT) NA $15,615,246 $19,463,509 $3,848,263 1.246
Rate Impact Test (RIM) $21,306,792 $19,463,509 ($1,843,283) 0.913
Participant Cost Test (PCT) $2,181,898 $15,295,888 $13,113,990 7.010
Lifecycle Revenue Impacts ($/kWh) NA

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
3 of 16
Page 4 of 16

Table 3: 2010 Total Portfolio excluding Load Control

Levelized $/kWh Costs Benefits Net Benefits
Benefit/Cost
Ratio
Total Resource Cost Test (PTRC) + Conservation Adder 0.0521 $3,909,409 $7,731,899 $3,822,490 1.978
Total Resource Cost Test (TRC) No Adder 0.0521 $3,909,409 $7,028,999 $3,119,590 1.798
Utility Cost Test (UCT) 0.0431 $3,231,172 $7,028,999 $3,797,827 2.175
Rate Impact Test (RIM) $8,922,718 $7,028,999 ($1,893,719) 0.788
Participant Cost Test (PCT) $2,181,898 $7,195,207 $5,013,309 3.298
Lifecycle Revenue Impacts ($/kWh) $0.0000417229
Table 4: 2010 C&I Energy Efficiency Portfolio

Levelized $/kWh Costs Benefits Net Benefits Benefit/Cost Ratio
Total Resource Cost Test (PTRC) + Conservation Adder 0.0513 $2,242,052 $4,190,015 $1,947,963 1.869
Total Resource Cost Test (TRC) No Adder 0.0513 $2,242,052 $3,809,104 $1,567,053 1.699
Utility Cost Test (UCT) 0.0373 $1,626,686 $3,809,104 $2,182,418 2.342
Rate Impact Test (RIM) $4,428,646 $3,809,104 ($619,541) 0.860
Participant Cost Test (PCT) $1,266,986 $3,453,580 $2,186,594 2.726
Lifecycle Revenue Impacts ($/kWh) $0.0000256276

Table 5: 2010 Residential Energy Efficiency Portfolio

Levelized $/kWh Costs Benefits Net Benefits
Benefit/Cost Ratio
Total Resource Cost Test (PTRC) + Conservation Adder 0.0532 $1,667,357 $3,541,885 $1,874,527 2.124
Total Resource Cost Test (TRC) No Adder 0.0532 $1,667,357 $3,219,895 $1,552,538 1.931
Utility Cost Test (UCT) 0.0512 $1,604,486 $3,219,895 $1,615,409 2.007
Rate Impact Test (RIM) $4,494,073 $3,219,895 ($1,274,178) 0.716
Participant Cost Test (PCT) $914,912 $3,741,628 $2,826,715 4.090
Lifecycle Revenue Impacts ($/kWh) $0.0000600654

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
4 of 16
Page 5 of 16

Irrigation Load Control

The tables below present the cost effectiveness findings of the Idaho Irrigation Load Control program
based on 2010 costs and savings estimates. The Utility discount rate is from the 2008 PacifiCorp
Integrated Resource Plan.
Cost effectiveness was tested using $73.09/kW. Table 1 lists modeling inputs.
The program is cost effective from all perspectives.
Table 1: Irrigation Load Control Inputs
Parameter Value
Discount Rate 7.4%
Line Loss – Irrigation 9.06%
Table 2: Irrigation Load Control Annual Program Costs and Savings
2010
Costs
Program Management $4,283,393
Incentive credits $8,100,681
Total program costs $12,384,074

Avoided Cost Benefits
Total avoided MW all days 156,000
Value- $/MW $73.09
Line Loss 9.06%
MW avoided with losses 170,126
Total value of Avoided kW $12,434,509

Table 4: Avoided Capacity @ $73.09/kW
All Measures
Levelized $/kWh Costs Benefits Net Benefits Benefit/Cost Ratio
Total Resource Cost Test (PTRC) + Conservation Adder $4,283,393 $13,677,960 $9,394,567 3.19
Total Resource Cost Test (TRC) No Adder $4,283,393 $12,434,509 $8,151,116 2.90
Utility Cost Test (UCT) $12,384,074 $12,434,509 $50,435 1.00
Rate Impact Test (RIM) $12,384,074 $12,434,509 $50,435 1.00
Participant Cost Test (PCT) $0 $8,100,681 $8,100,681 NA
Lifecycle Revenue Impacts ($/kWh)
Discounted Participant Payback (years)
ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
5 of 16
Page 6 of 16

Home Energy Savers

The tables below present the cost-effectiveness findings of the Idaho Home Energy Savings program
based on 2010 costs and savings estimates. The Utility discount rate is from the 2008 PacifiCorp
Integrated Resource Plan.
Cost-effectiveness was tested using the 2008 IRP 46% east residential whole house load factor
decrement. Table 1 lists modeling inputs.
The program is cost-effective from the TRC, UCT and PCT perspectives. The benefit/cost ratio for the
RIM test is less than 1, indicating the program will have an upward influence on rates.
Table 6: Home Energy Savings Inputs
Parameter Value
Discount Rate 7.4%
Line Loss 9.96%
Residential Energy Rate ($/kWh) $0.0848

Table 7: Home Energy Savings Annual Program Costs and Savings
Program Management and Administration Other Program Costs Incentives Total Utility Costs Net Participant Incremental Cost
Lighting $11,157 $4,835 $30,199 $46,191 $73,967
Appliance $53,211 $23,058 $151,920 $228,190 $303,251
Home Improvement $267,332 $115,844 $621,307 $1,004,483 $482,370
HVAC $820 $355 $24,975 $26,150 $40,164
Total $332,520 $144,093 $828,401 $1,305,014 $899,752
Table 8: Home Energy Savings Savings by Measure Type
Gross kWh Savings Realization Rate Adjusted Gross Savings
Net to Gross Percentage Net kWh Savings Measure Life
Lighting 888,561 100% 888,561 82% 726,843 5.0
Appliance 404,366 99% 400,323 82% 327,464 14.0
Home Improvement 2,031,526 88% 1,787,743 82% 1,462,374 30.0
HVAC 6,231 99% 6,169 82% 5,046 14.0
Total 3,330,684 3,082,795 2,521,727

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
6 of 16
Page 7 of 16

Table 9: IRP 46% Load Factor Decrement
All Measures AC: IRP 46% LF Decrement
Levelized $/kWh Costs Benefits Net Benefits
Benefit/Cost
Ratio
Total Resource Cost Test (PTRC) + Conservation Adder 0.0501 $1,378,383 $3,247,361 $1,868,978 2.356
Total Resource Cost Test (TRC) No Adder 0.0501 $1,378,383 $2,952,147 $1,573,763 2.142
Utility Cost Test (UCT) 0.0475 $1,305,013 $2,952,147 $1,647,134 2.262
Rate Impact Test (RIM) $3,869,975 $2,952,147 ($917,829) 0.763
Participant Cost Test (PCT) $901,771 $3,393,363 $2,491,592 3.763
Lifecycle Revenue Impacts ($/kWh) $0.0001034536
Discounted Participant Payback (yea 6.00

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
7 of 16
Page 8 of 16

Refrigerator Recycling (See ya later, refrigerator®)

The tables below present the cost-effectiveness findings of the Idaho See-Ya-Later Refrigerator program
based on 2010 costs and savings estimates. The Utility discount rate is from the 2008 PacifiCorp
Integrated Resource Plan.
Cost-effectiveness was tested using the 2008 IRP 46% east residential whole house load factor
decrement. Table 1 lists modeling inputs.
The program is cost-effective from the TRC, UCT and PCT perspectives. The benefit/cost ratio for the
RIM test is less than 1, indicating the program will have an upward influence on rates.
Table 10: See-Ya-Later Inputs
Parameter Value
Discount Rate 7.4%
Line Loss 9.96%
Residential Energy Rate ($/kWh) $0.0848

Table 11: See-Ya-Later Annual Program Costs and Savings
Program Management and Administration Utility Admin Evaluation Incentives Total Utility Costs Net Participant Incremental Cost
Refrigerators $67,927 $6,386 $24,902 $18,870 $118,084 $10,756
Freezers $23,762 $2,234 $8,711 $4,770 $39,477 $2,385
Kits $5,641 $530 $2,068 $0 $8,240 $0
Total $97,330 $9,150 $35,681 $23,640 $165,801 $13,141
Table 12: See-Ya-Later
Savings by Measure Type
Gross kWh Savings Realization Rate Adjusted Gross Savings
Net to Gross Percentage Net kWh Savings Measure Life
Refrigerators 722,721 100% 722,721 57% 411,951 5.00
Freezers 252,825 100% 252,825 50% 126,413 5.00
Kits 60,021 100% 60,021 63% 37,813 6.60
Total 1,035,567 1,035,567 576,177

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
8 of 16
Page 9 of 16

Table 13: IRP 46% Load Factor Decrement
All Measures AC: IRP 46% LF Decrement
Levelized $/kWh Costs Benefits Net Benefits
Benefit/Cost
Ratio
Total Resource Cost Test (PTRC) + Conservation Adder 0.0551 $155,302 $196,938 $41,636 1.268
Total Resource Cost Test (TRC) No Adder 0.0551 $155,302 $179,035 $23,733 1.153
Utility Cost Test (UCT) 0.0589 $165,801 $179,035 $13,234 1.080
Rate Impact Test (RIM) $393,780 $179,035 ($214,746) 0.455
Participant Cost Test (PCT) $13,141 $251,619 $238,479 19.148
Lifecycle Revenue Impacts ($/kWh) $0.0000720417
Discounted Participant Payback (years) 0.27

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
9 of 16
Page 10 of 16

Low Income

The tables below present the cost-effectiveness findings of the Idaho Low Income Weatherization
program based on 2010 costs and savings estimates. The Utility discount rate is from the 2008
PacifiCorp Integrated Resource Plan.
Cost-effectiveness was tested using the 2008 IRP 46% east residential whole house load factor
decrement. Table 1 lists modeling inputs.
The program is not cost-effective from any perspective. The benefit/cost ratio for the RIM test is less
than 1, indicating the program will have an upward influence on rates.
Table 1: Low Income Weatherization Inputs
Parameter Value
Discount Rate 7.4%
Line Loss 9.96%
Residential Energy Rate ($/kWh) $0.0848
Table 2: Low Income Weatherization
Annual Program Costs and Savings
Utility Admin Administration Evaluation Incentives Total Utility Costs Net Participant Incremental Cost
Low Income weatherization $9,596 $97,513 $26,563 $0 $133,673 $0
Table 3: Low Income Weatherization
Savings by Measure Type
Gross kWh Savings Realization Rate Adjusted Gross Savings
Net to Gross Percentage Net kWh Savings Measure Life
Low Income weatherization 71,346 100% 71,346 100% 71,346 30.00

Table 4: IRP 46% Load Factor Decrement
All Measures AC: IRP 46% LF Decrement
Levelized $/kWh Costs Benefits Net Benefits
Benefit/Cost
Ratio
Total Resource Cost Test (PTRC) + Conservation Adder 0.1330 $133,672 $97,585 ($36,087) 0.730
Total Resource Cost Test (TRC) No Adder 0.1330 $133,672 $88,714 ($44,958) 0.664
Utility Cost Test (UCT) 0.1330 $133,672 $88,714 ($44,958) 0.664
Rate Impact Test (RIM) $230,317 $88,714 ($141,603) 0.385
Participant Cost Test (PCT) $0 $96,645 $96,645 NA
Lifecycle Revenue Impacts ($/kWh) $0.0000151278
Discounted Participant Payback (years) NA
ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
10 of 16
Page 11 of 16

Agricultural Energy Services (Irrigation Energy Savers)

The tables below present the cost-effectiveness findings of the Idaho Agriculture program based on
2010 costs and savings estimates. The Utility discount rate is from the 2008 PacifiCorp Integrated
Resource Plan.
Cost-effectiveness was tested using the 2008 IRP 16% east system commercial cooling load factor
decrement. Table 1 lists modeling inputs.
The program is cost-effective from the TRC, UCT, and PCT perspectives. The benefit/cost ratio for the
RIM test is less than 1, indicating the program will have an upward influence on rates.
Table 1: Agriculture Inputs
Parameter Value
Discount Rate 7.40%
Commercial Line Loss 9.33%
Industrial Line Loss 9.06%
Commercial Energy Rate ($/kWh) $0.0715
Industrial Energy Rate ($/kWh) $0.0527
ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
11 of 16
Page 12 of 16

Table 2: Agriculture Annual Program Costs and Savings
Engineering Costs Utility Admin Administration Evaluation Incentives Total Utility Costs Net Participant Incremental Cost
Nozzles and Gaskets $106,008 $24,774 $95,093 $28,708 $146,770 $401,353 $201,169
System Upgrade $54,758 $12,797 $49,119 $14,829 $104,154 $235,657 $211,776
Total $160,765 $37,571 $144,212 $43,537 $250,924 $637,009 $412,945
Table 3: Agriculture Savings by Measure Type
Gross kWh Savings Realization Rate Adjusted Gross Savings
Net to Gross Percentage Net kWh Savings Measure Life
Nozzles and Gaskets 1,658,488 100% 1,658,488 74% 1,218,989 5.00
System Upgrade 856,681 100% 856,681 74% 629,661 7.00
Total 2,515,169 2,515,169 1,848,649

Table 4: IRP 16% Commercial Cooling Load Factor Decrement
All Measures AC: IRP 16% Commercial Cooling
Levelized $/kWh Costs Benefits Net Benefits Benefit/Cost Ratio
Total Resource Cost Test (PTRC) + Conservation Adder 0.0825 $796,222 $933,430 $137,208 1.172
Total Resource Cost Test (TRC) No Adder 0.0825 $796,222 $848,573 $52,351 1.066
Utility Cost Test (UCT) 0.0660 $637,010 $848,573 $211,563 1.332
Rate Impact Test (RIM) $1,129,637 $848,573 ($281,064) 0.751
Participant Cost Test (PCT) $410,136 $743,551 $333,415 1.813
Lifecycle Revenue Impacts ($/kWh) $0.0001243095
Discounted Participant Payback (years) 4.62

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
12 of 16
Page 13 of 16

Energy FinAnswer

The tables below present the cost-effectiveness findings of the Idaho Energy FinAnswer program based
on 2010 costs and savings estimates. The Utility discount rate is from the 2008 PacifiCorp Integrated
Resource Plan.
Cost-effectiveness was tested using the 2008 IRP 65% east system load factor decrement. Table 1 lists
modeling inputs.
The program is cost-effective from the TRC, UCT and PCT perspectives. The benefit/cost ratio for the
RIM test is less than 1, indicating the program will have an upward influence on rates.
Table 1: Energy FinAnswer Inputs
Parameter Value
Discount Rate 7.40%
Commercial Line Loss 9.33%
Industrial Line Loss 9.06%
Commercial Energy Rate ($/kWh) $0.0715
Industrial Energy Rate ($/kWh) $0.0527
Table 2: Energy FinAnswer Annual Program Costs and Savings
Evaluation Engineering Costs Utility Admin Administration Incentives Total Utility Costs Net Participant Incremental Cost
Commercial $30,990 $30,990 $5,903 $8,379 $0 $47,203 $0
Industrial $34,399 $34,399 $29,505 $8,402 $107,598 $321,983 $168,254
Total $65,388 $65,388 $35,408 $16,781 $107,598 $369,186 $168,254
Table 3: Energy FinAnswer
Savings by Measure Type
Gross kWh Savings Realization Rate Adjusted Gross Savings
Net to Gross Percentage Net kWh Savings Measure Life
Commercial 0 91% 0 75% 0 15
Industrial 1,475,439 91% 1,342,649 75% 1,006,987 15
Total 1,475,439 1,342,649 1,006,987
ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
13 of 16
Page 14 of 16

Table 4: IRP 65% Load Factor Decrement
All Measures AC: IRP 65% LF Decrement
Levelized $/kWh Costs Benefits Net Benefits Benefit/Cost Ratio
Total Resource Cost Test (PTRC) + Conservation Adder 0.0410 $429,842 $1,033,924 $604,082 2.405
Total Resource Cost Test (TRC) No Adder 0.0410 $429,842 $939,931 $510,089 2.187
Utility Cost Test (UCT) 0.0352 $369,186 $939,931 $570,745 2.546
Rate Impact Test (RIM) $955,008 $939,931 ($15,077) 0.984
Participant Cost Test (PCT) $168,254 $693,420 $525,167 4.121
Lifecycle Revenue Impacts ($/kWh) $0.0000008314
Discounted Participant Payback (years) 3.36

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
14 of 16
Page 15 of 16

FinAnswer Express

The tables below present the cost-effectiveness findings of the Idaho FinAnswer Express program based
on 2010 costs and savings estimates. The Utility discount rate is from the 2008 PacifiCorp Integrated
Resource Plan.
Cost-effectiveness was tested using the 2008 IRP 65% east system load factor decrement. Table 1 lists
modeling inputs.
The program is cost-effective from the TRC, UCT and PCT perspectives. The benefit/cost ratio for the
RIM test is less than 1, indicating the program will have an upward influence on rates.
Table 1: FinAnswer Express Inputs
Parameter Value
Discount Rate 7.40%
Commercial Line Loss 9.33%
Industrial Line Loss 9.06%
Commercial Energy Rate ($/kWh) $0.0715
Industrial Energy Rate ($/kWh) $0.0527
Table 2: FinAnswer Express Annual Program Costs and Savings
Evaluation Engineering Costs Utility Admin Administration Incentives Total Utility Costs Net Participant Incremental Cost
Commercial $44,036 $39,057 $31,109 $112,637 $286,639 $513,478 $676,227
Industrial $35,933 $14,317 $9,479 $40,824 $6,459 $107,012 $12,370
Total $79,968 $53,374 $40,588 $153,461 $293,098 $620,490 $688,596
Table 3: FinAnswer Express
Savings by Measure Type
Gross kWh Savings Realization Rate Adjusted Gross Savings
Net to Gross Percentage Net kWh Savings Measure Life
Commercial 3,454,427 96% 3,316,250 76% 2,520,350 12
Industrial 80,325 96% 77,112 76% 58,605 12
Total 3,534,752 3,393,362 2,578,955
ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
15 of 16
Page 16 of 16

Table 4: IRP 65% Load Factor Decrement
All Measures AC: IRP 65% LF Decrement
Levelized $/kWh Costs Benefits Net Benefits Benefit/Cost Ratio
Total Resource Cost Test (PTRC) + Conservation Adder 0.0431 $1,015,988 $2,222,661 $1,206,673 2.188
Total Resource Cost Test (TRC) No Adder 0.0431 $1,015,988 $2,020,601 $1,004,613 1.989
Utility Cost Test (UCT) 0.0264 $620,490 $2,020,601 $1,400,111 3.256
Rate Impact Test (RIM) $2,344,001 $2,020,601 ($323,400) 0.862
Participant Cost Test (PCT) $688,596 $2,016,609 $1,328,012 2.929
Lifecycle Revenue Impacts ($/kWh) $0.0000855886
Discounted Participant Payback (years) 4.04

ID PAC-E-14-07
IPUC 2 Attachment IPUC 2-1
16 of 16