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HomeMy WebLinkAbout20220909INT to Staff 16-21.pdf' -!i Preston N. Carter, ISB No. 8462 Givens Pursley LLP 601 W. Bannock St. Boise,Idaho 83702 Telephone: (208) 388-1200 Facsimile: (208) 388-l 300 prestoncarter@ gi venspursley.com Attorneys for lntermountain Gas Company BEFORE TIIE IDAHO PUBLIC UTILITIES COMII{ISSION - n'! / 41-' --L{: 1.: ,-' :--J IN TIIE MATTER OF TIIE APPLICATION OF INTERMOUNTAIN GAS COMPANY FOR A DETERMINATION OF 2021 ENERGY Etr'FICIENCY EXPENSES AS PRUDENTLY INCURRED CASE NO.INT.G-22.03 RESPONSE OF INTERMOUNTAIN GAS COMPAI\TY TO SECOND PRODUCTION REQUEST OF THE COMMISSION STAFF ) ) ) ) ) ) ) Intermountain Gas Company ("Intermountain", "Company"), in response to the Second Production Request of the Idaho Public Utilities Commission ("Commission") Staff to Intermountain Gas Company dated August 19, 2022, submits the information below. The requested documents will be provided under the terms of the Protective Agreement. REQUEST NO. 16: Please provide the criteria that will be used to select the proposed Conservation Potential Assessment ("CPA') study vendor. RESPONSE TO REQTIEST NO. 16: For the information requested, please see fiIe "CONFIDENTIAL PR#2_16 IGC Request for Proposal2023_CPA". This file is the request for proposal (RFP) the Company will distribute on September 12,2022.The RFP outlines the criteria on which CPA vendor proposals will be evaluated. Record Lori Blattner.?,0*-177-6015 Sponsor/Preparer:Kathv Wold.208-377-6128 Location: 555 S Cole Rd. Boise. D 83707 RsspoNsp oF INTERMoUNTAIN Ges Cotw.c.Ny ro SECoND PRopucuoN Rneussr oF THE Covnasslott Srerr - Pecn I REQUEST NO. 17: Please explain how the Company's internal Evaluation, Measurement, and Verification ("EM&V") will be used in development of the proposed 2023 CPA study as described in the Annual Report at 13. RESPONSE TO REQTTEST NO. 17: The Annual Report at 13 describes the database validation portion of the intemal EM&V study. This consisted of a series of checks that confirm that the data within the program tracking sheet are consistent with the Company's billing database as well as extemal data sets including Ada County Assessor parcel records and Home Energy Rating Scores (HERS) provided by RESNET. Consultants will likely use several of these data sets to evaluate local building trends, market barriers, and uptake rates, among other important contributing factors to the resulting CPA model. Additionally, the selected CPA consultant will be provided a copy of the official 2020Bl&.f.&V study conducted by ADM so those findings may be incorporated into the CPA analysis. Record Holder: Lori Blattner.208-377-6015 Sponsor/Preparer:Landon Barber. 208-377-6199 Location: 555 S Cole Rd. Boise. ID 83707 RsspoNsp oF INTERMoT.JNTATN Ges CorvpeNy ro SECoND PRooucrroN RseuEsr oF Tr{E CorrnrarssroN Srerr - Pacp 2 REQUEST NO. 18: Please indicate how many whole home incentive applications were initiated through the Ekotrope software compared to standard rebate applications. How many of these applications were successfully completed for the 2020 and 2021 program years? Additionally. please provide a comparison between the number application errors (i.e., non- qualifying home, incomplete applications. incorrect or missing information) from Ekotrope applications versus errors in applications from other avenues. RESPONSE TO REQUEST NO. 18: [n2020, the Whole Home rebate required the home to be Energy Star Certified with a HERS Index score of 75 or lower. The submission process consisted of a using an excel spreadsheet or the rebate form (paper or pdfl and is referred to as the conventional method. Ekotrope submission was not an option at this time. In 2020, there were 1,547 Whole Home rebates paid. Of those,l2%o required follow up due to incomplete information and l% did not qualify for the rebate. Program year 2021was a transition year in which the original Whole Home rebate was retired and the re-designed Whole Home rebate was implemented effective April l,202l.The Ekotrope submission process was implemented to facilitate submission and verification of the more detailed rebate requirements. Although the Company removed the HERS Index threshold of 75, a HERS rating is still required for the rebate because the HERS rating process verifies all energy performance targets required under the new Whole Home rebate: air change per hour, insulation rating, duct leakage and space heating equipment efficiencies. From April 2021 through December 2021, the Company received 263 Whole Home rebates: 52o/owere submitted viathe conventional method, and4SYo were received via Ekotrope. From the rebates submitted via conventional methods, 38% required follow up due to errors or incomplete information, while only 5%o of those submitted through Ekotrope required follow up. From January 2022 through lune2022, the Company has receivedTll Whole Home rebates: 5%o via conventional methods, and95%o via Ekotrope. Less than l% submitted through the Ekotrope process required any kind of follow up, while 8l% of rebates submitted through conventional methods required follow up action. Similarly, after accounting for duplicate submissions, less RrspoNss oF INTERMoLNTAIN Gns CovrpaNv ro SECoND PRooucroN REeUEST oF THE CovnatsstoN Srarr - Pacp 3 tban lo/o of Ekotope zubmissions did not quafiry @NQ) for the rebate, comparod to a 6% DNQ rate for those submitted via conventional methods. R€cord Holder: Lori Blatfirer.208-3774015 Kathv Wold.208-377-6128 Location:555 S Cole Rd,ID 83707 Rrspor.rsE oF INTERMoI NTATN Gls Cowaxy ro sEcoND PnooucuoN Rneussr or rrr ColrfivtrssroN Srnm - Pecg 4 REQUEST NO. 19: Supplement I at 5 lists the estimated therm savings for each rebate measure. Please provide the derivation and basis for each value (the therm savings per rebate). RESPONSE TO REQUEST NO. 19: The table below contains data found in the "Cost Engine" tab of "PR#l_l2021 UCT.xlsx". The majority of therm saving metrics are from the2019 CPA conducted by Dunsky Energy Consultants ("Dunsky"). Dunsky compiled a comprehensive list of potential program measures along with therm saving values and other underlying assumptions that they tailored to the Company's service territory. Some of the CPA figures came from the initial measure characterization file which are listed as Preliminary CPA Figure and the rest were extracted from the final model and are marked Dunslcy DEEP Model. The Whole Home measure therm savings come from the EM&V study and supplemental report produced for the Company by ADM Energy Consultants in2020. The Commercial High-Effrciency Condensing Boiler uses data from the DEEP Model that is then weighted based on the business types of the actual rebate recipients in the program Record Holder: Lori Blattner.208-377-601s Sponsor/Preparer:Landon Barber. 208-377-6199 Location: 555 S Cole Rd. Boise. tD 83707 RpspoNsp oF INTERMoUNTAIN Gas ColpeNy ro SECoND PRooucrroN RreuBsr oF THE CovrussloN Srerp - Pecp 5 REBAIE NAME SEGMET{T A'INUALTHERM SAVINGSPERUNIT ANNUALIHERM SAVIilGS SOURCE Whole Home Resldential 274 n20EM&V - ADM ImooctEvoluotion Combi Radiant Heat Svstem Residential 113 PreliminoN CPA Fioute 7096 Flreplace Residential 10 Dunskv DEEP Model Water Heater Residential 38 Preliminory CPA Fioure Residential 55 Dunskv DEEP ModelTankless water Heater Whole Home I Residential 161 nnEM&V - ADM New llomes Memo whole Home ll Residential tu nnEM&V - ADM New Homes Memo Fumace Residentlal 87 Dunskv DEEP Model Combi boiler Residential 155 Dunskv DEEP Model Boiler Residential 159 Dunslcy DEEP Model Residential 38 Preliminorv CPA FioureWater Heater Tankless I Residential 55 Dunskv DEEP Model Tankless ll Residential 58 Dunskv DEEP Model SmartThermostat Residential 44 Dunskv DEEP Model Condensinc Unit Heater Commercial ffi Dunskv DEEP Model Commercial t.2t2 Prelimindru CPA FlourcBoiler Reset Control Hlsh-Eff iciencv Condensi nr Boller Commercial 1.Gt6 Dunskv DEEP Model - Welohted Avo Frver Commercial $8 Dunskv DEEP Model Steamer Commerdal 1,03r Dunskv DEEP Model CommercialGriddle 76 Dunsl<y DEEP Model Commercial 53 Dunskv DEEP Model - Weidhted AvdESK REQUEST NO. 20: Annual Report at 12 discusses the Company's estimated therm savings for the 95% AFUE furnace rebate. The report states that this result (81 .l therms) is relative to a baseline 80%o AFUE fumace. Please provide the following: a. Please provide the underlying data, analysis, and reasoning for the 8l.l therm savings. b. Please provide the efficiencies of all the fgp!4g[ furnaces for 2021rebate customers. Please explain why the value of 87 therms is used for all the 2021 cost- effectiveness calculations RESPONSE TO REQITEST NO.20: a) Please see the file "PR#2_20 Internal EM&V - Furnace Impact Eval.xlsx". b) The following table shows the efficiencies of all the replaced furnaces for program year202l. RsspoNse oF INTERMoUNTATN Ges CotvpeNy ro SECoND PRooucrrou Rrquesr oF THE CourarssloN Srnrr -Pnop 6 c Prior Efficiency 50% AFUE 50% AFUE 55% AFUE 68% AFUE 7Oo/o AFUE 75% AFUE 78Yo AFUE 80% AFUE 85% AFUE 87% AFUE 88% AFUE 89% AFUE 90% AFUE 91% AFUE 92% AFUE 92.L% AFUE 93% AFUE 95% AFUE 96% AFUE 95.5% AFUE 97% AFUE 98% AFUE 99% AFUE Coal Electric oil New Construction (Blank) RsspoNss oF INTERMoT.TNTAIN Gas Cotwexv ro SECoND PtooucrroN Rpeuesr oF Trm Coutr,ttsstoN Srarr - Pacp 7 Program Year 2021 Fumace Count 2 5 5 I 9 2 4 438 4 3 2 1 346 7 32 1 6 32 53 1 3 3 32 1 2t 1 933 76t Total 2,704 The Company notes that a significant amount of prior furnace efficiency data has been unavailable due to the field being left blank on the rebate forms when they are submitted. In April of 2021the Company enacted several changes recommended by the 2020BM&V study that made the form more intuitive for applicants. As a result, blank responses in this field drastically reduced, as illustrated in the following graph. Accurate data on prior fumace effrciency will allow for more robust results in future baseline studies. 2021 BLANK RESPONSE RATE EXCLUDING NEW CONSTRUCTION 70.0% 60.0% s0.0% 40.0% 30.0% 20.0% 10.0% 0.o% JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC PROGRAM MONTH c) The annual savings per fumace estimate of 87 therms comes from the 2019 CPA study conducted for IGC by Dunsky. For all the measures examined in the CPA, Dunsky tailored the underlying measure assumptions to the IGC service territory based on factors including building code standards and regional climate. The Company's initial EM&V on the furnace rebate found widely disparate therm savings based on the method selected. In response, the Company implemented revisions to the furnace rebate based on recommendations from the EM&V in an effort to secure the therm saving forecast in the CPA. The baseline saving estimate of 8 I . I therms calculated in the 2021 interim EM&V provides strong evidence to support the continued use of the CPA figure. The Company will re- examine the fumace therm savings in the upcoming2D24 EM&V. I nri Elloffnar ?o*,-?17-60.15 Sponsor/Preparer: Landon Barber. 208-377-6199 Location:555 S Cole Rd Boi rD 83707 RpspoNss oF INTERMoUNTATN Gas ColraNy ro SECoND PRooucrroN REqursr oF THE CovnarssroN Srerr - Pecp 8 UF E.Uzoo- Ud YzIco Record Ho REQUEST NO.21: Annual Report at 3 discusses the Company's plans in the fall of 2022 to "post a Request For Proposal (RFP) for a CPA study, to update estimated therm savings and explore additional energy saving opportunities." Please provide confirmation that the RFP will be issued and provide a timeline for RFP issuance, receipt of proposals, determination of shortlist, award of final bid, and completion of study. RESPONSE TO REQTIEST NO.21: The Company will post an RFP for a CPA study on September 12,2022. See file *CONFIDENTIAL PR#2_l6IGC Request for Proposal2023_CPA" which includes a timeline for RFP issuance, receipt of proposals, determination of shortlist, award of final bid, and completion of study. Record Lori Blattner-208-777-6015 Sponsor/Preparer: Kathy Wold. 208-377-6128 Location: 555 S Cole Rd. Boise.ID 83707 RrspoNsr oF INTERMoLTNTAIN Gas Cotwarsv ro SECoND Pnooucflor{ Rreussr oF TT{E ColvmnsstoN Srerr - PeoB 9 DATED: S€ptember 9,2W2 GIVENS PI'RSLEY LLP 3?A/''b Pres0onN. Car,ter Atlomeys for Intermountaln Gas Company RrspONSr OF INTERMoI}NTAIN Gns Colpervy To SECoND PnooucnoN Rnqunsr or rr{E CoMlassroN Srarr - Plcn l0 CERTIFICATE OF SERVICE I certi$ that on September 9,2022, a true and correct copy of INTERMOTINTAIN GAS COMPANY'S RESPONSE TO SECOND PRODUCTION REQUEST OF TFIE COMMISSION STAFF was served upon all parties of record in this proceeding via electronic mail as indicated below: Commission Staff Jan Noriyuki, Commission Secretary Idaho Public Utilities Commission I l33l W. Chinden Blvd., Bldg. 8, Suite 201-A Boise,ID 83714 Chris Burdin Deputy Attorney General Idaho Public Utilities Commission 11331 W. Chinden Blvd., Bldg. 8, Suite 201-4 Boise,lD 83714 City of Boise Ed Jewell Deputy City Attorney Boise City Attomey's Office 150 N. Capitol Blvd Boise,ID 83701-0500 Wil Gehl Energy Program Manager Boise City Dept. of Public Works 150 N. Capitol Blvd. Boise,ID 83701-0500 Via Electronic Mail j an.noriyuki@puc. idaho.gov chris.burdin@puc.idaho.gov ej ewell@cityofboise.org bo i sec ityatto mey @city ofbo i se. org wgehl@cityofboise. org dnkBllM Lori Blattner RpspoNss or INrpRuoLrNTArN Gas Colreuv ro SECoND PRooucuoN Rrqursr oF THE CoMMrssroN Srerr - PacE I I