20180810Attachment 3.pdf

Attachment 3
2017 Idaho Annual Demand Side Management Report
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Idaho Energy Efficiency and
Peak Reduction Annual
Report
January l, 2017 - December 31, 2017
Issued April 24,2018
ROCKY MOUNTAIN
POWER
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Rocky Mountain Power Idaho Report Table of Contents
T.q.nI,r oF CoNTENTS
List of Abbreviations and Acronyms .................. ...........4
Regulatory Activities
DSM Expenditures...,
Energy Efficiency Programs..... ................ L3
Residential Programs
Home Energy Sovings Program.
Home Energy Reports Progrom.
Low lncome Weatherizotion Progrom
Peak Reduction Program
Communications, Outreach and Education
Evaluations..
7
9
15
16
19
27
25
34
36
42
Page 3 of 42
Non-Residential Energy Efficiency
Rocky Mountain Power Idaho Report Abbreviations and Acronyms
Lrsr on AnnRnvlq.TroNs AND AcRoNyMS
CFL
CAPAI
DSM
EICAP
GWh
HVAC
IDHW
IRP
kwh
LED
LIHEAP
MW
PCT
PTRC
RIM
SEICAA
TRC
UCT
VFD
Compact Fluorescent Lighting
Community Action Partnership Association of Idaho
Demand-Side Management
Eastern Idaho Community Action Plan
Gigawatt-hour
Heating, Ventilation and Air Conditioning
Idaho Department of Health and Welfare
Integrated Resource Plan
Kilowatt hour
Lighremitting Diode
Low Income Home Energy Assistance
Megawatt
Participant Cost Test
PacifiCorp Total Resource Cost Test with l0 percent adder
Ratepayer Impact Measure Test
South Eastern Idaho Community Action Agency
Total Resource Cost Test
Utility Cost Test
Variable Frequency Drive
Page 4 of 42
Rocky Mountain Power Idaho Report Executive Summary
ExrcurrvE SUMMARY
PacifiCorp dba Rocky Mountain Power ("Company") is a multi-jurisdictional electric utility
providing retail service to customers in California, Idaho, Oregon, Utah, Washington, and
Wyoming. Rocky Mountain Power serves approximately 76,000 customers in southeastern Idaho.
The Company, working in partnership with its retail customers and with the approval of the Idaho
Public Utilities Commission ("Commission"), acquires energy efficiency and peak reduction
resources as cost-effective alternatives to the acquisition ofsupply-side resources. These resources
assist the Company in efficiently addressing load growth and contribute to the Company's ability
to meet system peak requirements. Company energy efficiency and peak reduction programs
provide participating Idaho customers with tools that enable them to reduce or assist in the
management of their energy usage while reducing the overall costs to the Company's customers.
These resources are relied upon in resource planning as a least cost altemative to supply-side
resources.
This report provides details on program results, activities, expenditures, and the status of the
demand-side management ("DSM") Tariff Rider, Customer Efficiency Service Charge - Schedulel9l ("Schedule l9l") as of the reporting period from January l, 2017 through
December 31,2017. The Company, on behalf of its customers, invested $4.0 million in energy
efficiency resource acquisitions during the reporting period. The investment yielded
approximately 17.5 gigawatt-hours ("GWh") of first year savingsl and approximately 3.4
megawaffs ("MW") of capacity reduction from energy efficiency.2 Net benefits based on the
projected value of the energy efficiency program savings over the life of the individual measures
are estimated at $4.8 million.3
Pursuant to Commission Order No. 32196, the Commission ordered that the costs for the Idaho
Irrigation Load Control Program should be allocated across PacifiCorp's six-state system.
Therefore, these costs are not recovered through Schedule 191. However, additional information
on the Irrigation Load Control Program is provided later in this report.
The energy efficiency portfolio was cost effective based on four of five standard cost-effectiveness
tests for the reporting period. The ratepayer impact measure test was less than 1.0, indicating near-
term upward pressure was placed on the price per kilowatt-hour given a reduction in sales. Table
1 provides the cost-effectiveness of the energy efficiency portfolio.
I Reported savings at the generator. For line losses, see footnote 19.
2 See Energy Efficiency Section for explanation about the calculation ofcapacity contribution savings.
3 See Table 1 - Utility Cost Test Net Benefits.
Page 5 of 42
Rocky Mountain Power Idaho Report Executive Summary
Table I
Cost-effectiveness Energy Efficiency Portfolio (includes non-energy benefits)
Benefit/Cost Test Benefit/Cost Ratio Net Benefits
PacifiCorp Total Resource Cost Test plus 10 percent ("PTRC"1o 7.87 54,199,33L
Total Resource Cost Test ("TRC")5 1.7t S3,914,165
Utility Cost Test ("UCT")6 2.79 54,8r2,734
Participant Cost Test ("PCf"|'3.32 S9,2s4,483
Ratepayer lmpact Test ("RlM"1t o.67 (s4,4ss,s21)
Portfolio-level cost-effectiveness includes portfolio costs, such as the Potential Assessment and
DSM system database. Sector-level cost-effectiveness, reported in the Residential and Non-
Residential sections of this report, includes sector-specific evaluation, measurement and
verification ("EM&V") expenditures. The Company includes quantifiable non-energy benefits at
the portfolio and residential level, as well as the Home Energy Savings and Low Income
Weatherization program level. Appendix I provides 2017 cost-effectiveness performance.
4 The PTRC plus 10 percent includes a benefit adder to account for non-quantified environmental and non-
energy benefits of conservation resources over supply-side alternatives.
5 The TRC compares the total cost of a supply-side resource to the total cost of energy efficiency resources,
including costs paid by the customer in excess of the program incentives. The test is used to determine if
an energy efficiency program is cost effective from a total cost perspective.
6 The UCT compares the total cost incurred by the utility to the benefits associated with displacing or
deferring supply-side resources.
' The PCT compares the resource paid directly by participants to the savings realized by the participants.
8 The RIM examines the impact of energy efficiency on utility rates. Unlike supply-side investments, energy
efficiency programs reduce energy sales. Reduced energy sales lowers revenues putting upward pressure
on rates as the remaining fixed costs are spread over fewer kilowatt-hours.
Page 6 of 42
Rocky Mountain Power Idaho Report Regulatory Activities
Rncur-^lroRY AcTTvITIES
During the20l7 reporting period the Company filed a number of compliance and/or informational
reports, updates, notices, and requests with the Commission in support of Company DSM
programs. The following is a list of those activities:
On February 13, 2017, consistent with the flexible tariff process for the Home Energy
Savings Schedule I l8 and approved in Order No .29976, a notice of changes to the program
was posted on the program website,e 45 days prior to going into effect March 30,2017.
Program changes were designed to add a higher incentive tier for heat pump water heaters,
remove CFL offerings, and reinstate energy savings kits that had been previously
discontinued.
On February 17 ,2017 , the Company circulated the 2014-2015 wattsmart Business Program
Evaluation to Commission Staff.
On April 26,2017, the Company circulated the DSM balancing account report for the first
quarter of20l7.
On May l, 2017, pursuant to Order No. 29976, the Company submitted its 2016 Idaho
Energy Efficiency and Peak Reduction Annual Report.
On July 27, 2017, the Company circulated the DSM balancing account report for the
second quarter of2017.
On August 22,2017, the Company circulated the 2015-2016 Home Energy Reports
Program Evaluation to Commission Staff.
On September 18, 2017, the Company circulated the 2013-2015 Low Income
Weatherization Program Evaluation to Commission Staff.
On October 24,2017, the Company circulated the DSM balancing account report for the
third quarter of 2017.
On November 27 , 2017 , the Company filed Tariff Advice No. 17-01 to modifu Schedule
21, Low Income Weatherization Services. Tariff changes were designed to add ductless
heat pumps as an eligible measure to the program. Tariff changes went into effect
February l, 2018, pursuant to the consent agenda from the January 22,2018 Decision
Meeting.
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Rocky Mountain Power Idaho Report Regulatory Activities
On December 6, 2017, consistent with the flexible tariff processlo for the wattsmart
Business program approved in Order No. 32594, a notice of changes to the program was
posted on the program websitell 45 days prior to going into effect January 20,2018. Key
changes included restructuring lighting retrofit incentive offerings, adding prescriptive
irrigation incentives, simplification of the HVAC incentive table, adding advanced rooftop
control unit measures, adjusting cool roof measures, removing the sunset date for
commercial refrigerator and freezer measures, adding new midmarket lighting incentives,
and adjusting the small business direct offerings.
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On December ll,2017,the Company circulated the2015-2016 Home Energy Savings
Program Evaluation to Commission Staff.
Meetings with Idaho Public Utilities Commission Staff ("Idaho Staff')
The Company consulted with Idaho Staff throughout 2017, with formal presentations on the
following matters:
October 12.2017o Discussed the Company's 2016 Idaho Energy Efficiency and Peak Reduction Annual
Report;o Reviewed results from evaluations for the 2013-2015 Low Income Weatherization,
2014-2015 wattsmart Business, and20l5-2016 Home Energy Reports programs;
o Discussed Low Income Weatherizationcost-effectiveness;
o Discussed the Schedule 191 rate analysis and proposed adjustment recommendation;o Discussed upcoming changes to the waffsmart Business program to be implemented
through the 45-day flexible tariff process; ando Discussed the 2018 Idaho Strategic Plan including forecast savings and program strategies.
r0 See Direct Testimony of Nancy Goddard pp. 16-18 and Auachment C in Case No. PAC-E-I2-10.
11 https ://www.rockymountainpower.net/bus/se/idaho.html
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Page I of 42
Rocky Mountain Power Idaho Report DSM Expenditures
DSM ExpnxorruREs
In Case Number PAC-E-05-10, approved in Order No. 29976, the Commission allowed the
recovery of all DSM program costs through Schedule 191, with exception of the expenses
associated with the Irrigation Load Control Program.l2 Schedule l9l charges appear as a line item
on customer bills. The Company books eligible DSM program costs as incurred to the balancing
account.
Schedule l9l balancing account activity for 2017 is outlined in Table 2.
Table2
Schedule I 9l Balancing Account Activity
Month
Monthly
Program Costs -
Fixed Assets
Monthly Net
Accrued Costs Rate Recovery carrying
Charge
Accrual Basis
Accumulated
Balance
Cash Bais
Accumulated
Balance
Dec-16 S ]-94,942 s (76,84s)
Jan-77 s 31O,2s8 5 @6,487)s (3e7,238)s (1oo)s 61,382 s (163,92s)
Feb-17 s 236,383 S ra,ore s G42,42o)s (181)S (30,218)5 Q7o,t42l
Mar-17 5 268,s2s s Q9,7321 s (287,093)s (233)s (78,3s1)s (288,s43)
Apr-77 s 782,212 s 37,!43 s (260,7s0)5 Q73t S (120,019)S (367,3s4)
M'ay-17 $ 23s,6O4 s (16,83s)s (€22,87]-1 S (s+z)5 Q24,4671 S (4s4,963)
Jun-77 S 24s,610 s (3,s36)s (s79,s16)s (s18)5 $62,427)s (789,387)
Jul-17 5 426,968 S s,szs s (818,042)S (azr)s (948,342)S (1,181,281)
Aug-77 s 428,030 S so,+oo s (648,24s)s (1,076)s{.1,11.9,227',1 5 0,402,s721
Sep-17 S 393,321 S 44,723 s (s70,823)s (1,243)5(.1,2s3,2491 s (1,s81,317)
Oct-17 S 388,s71 s 2,932 s 829,796)s (1,2s3)s(1,1s2,836)s (1,s23,83s)
Nov-17 s 60,683 S tz9,6s4 s (323,103)s (1,379)s(1,326,981)s 0,787,6341
Dec-77 s 7e2,988 s (261,sss)S (330,407)5 $,2e7)5o,L27,zstl s (1,326,3sO)
2017 Totals s 3,969,5ss s (72,68s)s (s,21o,3o3)$ (8,756)
Column Explanations:
Monthly Program Costs: Monthly expenditures for all energy efficiency program activities.
Monthlv Net Accrued Costs: Monthly net change of program costs incurred during the period not
yet posted.
Rate Recovery: Revenue collected through Schedule 191.
Carr.vine Charee: Monthly "interest" charge based on "Cash Basis Accumulated Balance" of the
account. The current "interest rate" for the Accumulated Balance is 1 percent per year.
Cash Basis Accumulated Balance: A running total of account activities. A negative accumulative
balance means cumulative revenue exceeds cumulative expenditures; positive accumulative
balance means cumulative expenditures exceed cumulative revenue.
Accrual Basis Accumulative Balance: Current balance of account including accrued costs.
12 Commission Order No. 32196 in Case No. PAC-E-I0-07 ruled that costs associated with the Idaho trrigation Load
Conhol Program should be system allocated and not situs assigned to Idaho customers. The Commission
recommended the Company treat the benefits ofthe program as a system resource for cost recovery purposes.
Page9 of 42
Rocky Mountain Power ldaho Report Planning Process
Pr,,qxxrxc Pnocrss
Integrated Resource Plan
The Company develops a biennial integrated resource plan ("lRP") as a means of balancing cost,
risk, uncertainty, supply reliability/deliverability and long-run public policy goals.r3 The plan
presents a framework of future actions to ensure the Company continues to provide reliable,
reasonably priced service to customers. Energy efficiency and peak management opportunities are
incorporated into the IRP based on their availability, characteristics and costs.
PacifiCorp divides energy efficiency and peak management resources into four general classes
Class 1 DSM - Resources from fully dispatchable or scheduled firm capacity product
offerings/programs - After a customer agrees to participate in a Class I DSM program,
the timing and persistence of the load reduction is involuntary on their part within the
agreed upon limits and parameters of the program. Program examples include residential
and small commercial central air conditioner load control programs that are dispatchable,
and irrigation load management and interruptible or curtailment programs (which may be
dispatchable or scheduled firm, depending on the particular program design or event
noticing requirements).
Class 2 DSM - Resources from non-dispatchable, firm energy and capacity product
offerings/programs - Class 2 DSM programs are those for which sustainable energy and
related capacity savings are achieved through facilitation of technological advancements
in equipment, appliances, lighting and structures, or repeatable and predictable voluntary
actions on a customer's part to manage the energy use at their facility or home. Class 2
DSM programs generally provide financial or service incentives to customers to improve
the efficiency of existing or new customer-owned facilities through: (l) the installation of
more efficient equipment, such as lighting, motors, air conditioners, or appliances; (2)
upgrading building efficiency through improved insulation levels, windows, etc.; or (3)
behavioral modifications, such as strategic energy management efforts at business facilities
and home energy reports for residential customers. The savings endure (are considered
firm) over the life of the improvement or customer action. Program examples include
comprehensive commercial and industrial new and retrofit energy efficiency programs,
comprehensive home improvement retrofit programs, strategic energy management and
home energy reports.
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a Class 3 DSM - Resources from price responsive energy and capacity product
offerings/programs - Class 3 DSM programs seeks to achieve short-duration (hour by
hour) energy and capacity savings from actions taken by customers voluntarily, based on
a financial incentive or signal. As a result of their voluntary nature, participation tends to
be low and savings are less predictable, making Class 3 DSM resources less suitable to
13 Information on the Company's integrated resource planning process can be found at the following
address: htto ://www.pacificom.com/es/im.html
Page 10 of42
Rocky Mountain Power Idaho Report Planning Process
incorporate into resource planning, at least until their size and customer behavior profile
provide sufficient information for a reliable diversity result (predictable impact) for
modeling and planning purposes. Savings typically only endure for the duration of the
incentive offering and, in many cases, loads tend to be shifted rather than being avoided.
The impacts of Class 3 DSM resources may not be explicitly considered in the resource
planning process; however, they are captured naturally in long-term load growth patterns
and forecasts. Program examples include time-of-use pricing plans, critical peak pricing
plans, and inverted block tariff designs
Class 4 DsM-Non-incented behavioral-based savings achieved through broad
energy education and communication efforts - Class 4 DSM programs promote
reductions in energy or capacity usage through education. These efforts seek to help
customers better understand how to manage their energy usage through no-cost actions
such as conservative thermostat settings and tuming off appliances, equipment and lights
when not in use. The programs are also used to increase customer awareness of additional
actions they might take to save energy and the service and financial tools available to assist
them. Similar to Class 3 DSM resources, the impacts of Class 4 programs may not be
explicitly considered in the resource planning process;however, they are captured naturally
in long-term load growth pattems and forecasts. Program examples include Company
brochures with energy savings tips, customer newsletters focusing on energy efficiency,
case studies of customer energy efficiency projects, and public education campaigns.
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Class I and 2 DSM resources are included as resource options in the resource planning process.
Class 3 and 4 DSM actions are not considered explicitly in the resource planning process, however,
the impacts are captured naturally in long-term load growth patterns and forecasts.
As technical support for the IRP, the Company engages a third-party consultant to conduct a DSM
Potential Assessment ("Potential Assessment").14 The study primarily seeks to develop reliable
estimates of the magnitude, timing and cost of DSM resources likely available to PacifiCorp over
the 20-year planning horizon of the IRP. The main focus of the Potential Assessment is on
resources with sufficient reliability characteristics that are anticipated to be technically feasible
and considered achievable during the IRP's 20-year planning horizon. By definition, the estimated
achievable technical potential is the energy efficiency potential that may be achievable to acquire
during the 20-year planning horizon prior to cost-effectiveness screening.
Demand-side resources vary in their reliability, load reduction and persistence over time. Based
on the significant number of measures and resource options reviewed and evaluated in the Potential
Assessment, it is impractical to incorporate each as a stand-alone resource in the IRP. To address
this issue, Class 2 DSM measures and Class I DSM programs are bundled by cost for modeling
against competing supply-side resource options reducing the number of discrete resource options
the IRP must consider to a more manageable number.
la PacifiCorp's Demand-side Resource Potential Assessments can be found at
htto ://www. oacifi coro. com/es/dsm. htm L
Page ll of42
Rocky Mountain Power Idaho Report Planning Process
Cost-elfectiveness
The Company evaluates program implementation cost-effectiveness (both prospectively and
retrospectively) under a variety of tests to identifu the relative impact and/or value (e.g., near-term
rate impact, program value to participants, etc.) to customers and the Company.
Program cost-effectiveness is performed using a Company specific modeling tool, created by a
third party consultant. The tool is designed to incorporate PacifiCorp data and values such as
avoided costs, and generally follows the methodology specified in California's Standard Practice
Manual. The analysis assesses the costs and benefits of DSM resource programs from different
stakeholder perspectives, including participants and non-participants, based on four tests described
in the Standard Practice Manual (TRC, UCT, PCT and RIM) as well as an additional fifth test,
PTRC. The Company has historically emphasized the TRC test in its planning, evaluation and
reporting,however,pursuanttoCommissionOrderNo.33T66 issuedMay l8,2017,theCompany
was approved to emphasize the UCT over other tests.
Page 12 of 42
Rocky Mountain Power Idaho Report Energy Effi ciency Programs
Exnncv ErrrcroxcY PRocRAMS
Energy efficiency programs are offered to all major customer sectors: residential, commercial,
industrial and agricultural. The overall energy efficiency portfolio included five programs: Home
Energt Sovings - Schedule ll8, Low Income Weatherizotion - Schedule 21, Home Energt
Reports, and wattsmart Business - Schedule 140. Program savings and cost results for 2017 arc
provided in Table 3 below.rs
Table 3
Idaho Program Results for January 1,2017 - December 31,201716
Program kWh/Yr Savings
(at site)
kWh/Yr Savings
(at generator)
Program
Expenditures
Low lncome Weatherization 131,340 146,399 $ 248,486
Home Energy Reporting 3,055,279 3,4O5,597 s134,821
Home Energy Savings 2,L37,20t 2,392,253 s 477,t92
Total Residential s,323,820 5,934,250 $ 850,499
wattsmart Business 10,505,587 LL,579,948 52,s74,766
Total Energy Efficiency 15,830,507 L7,514,197 53,43s,264
Commercial & lndustrial Evaluation Costs s 133,439
Residential Evaluation Costs s 23s,892
Low lncome Energy Conservation Education s 25,000
Outreach & Communications s 190,748
Potential Study s 7,434
System Support S rr,rsE
Total System Benefit Expenditures - All Programs S 4,038,931
r5Active Idaho enerry efficiency measures are reported in Appendix 6. For a breakdown of program
expenditures by category, see Appendix 2.
16 The values at generation include line losses between the customer site and the generation source. The
Company's line losses by sector for 2017 are 17.47 percent for residential, 10.75 percent for commercial,
7.52 percent for industrial and I l 45 percent for irrigation.
Page 13 of 42
Rocky Mountain Power Idaho Report Energy Efficiency Programs
Estimated Pe ak C o ntrib utions from Energt Efficiency Programs
The Company estimates its capacity reduction during PacifiCorp's system peak period from the
2017 energy efficiency portfolio. An energy-to-capacity conversion factor, developed from Class
2 DSM selections in the 2015 IRP, is used to translate 2017 eneryy savings to estimated demand
reduction during the system peak. The use of this factor in the MW calculation assumes that the
energy efficiency resources acquired through the Company's programs have the same average load
profile as those energy efficiency resources selected in the 2015 IRP.
Table 4
Estimated Peak Contribution
Description Value
First year energy efficiency program MWh savings acquired during 2017 17,5t4
Conversion factor: Coincident MWMWh 0.000194
Estimated coincident peak MW contribution of 2017 ldaho energy efficiency acquisitions 3.40
Page 14 of 42
Rocky Mountain Power Idaho Report Residential Energy Efficiency
RrsrorxuAl PRocRAMS
The residential energy efficiency portfolio is comprised of three programs: Home Energt Savings,
Home Energt Report, and Low Income Weatherization. As shown in Table 5, the residential
portfolio was cost effective based on three of the five standard cost-effectiveness tests for the2017
reporting period. The UCT for the residential portfolio was below 1.0 and was mainly driven by
residential sector evaluation costs. In 2017 , the Company published evaluations for all three of its
residential programs. Table 3 shows the residential evaluation costs for 2017.
Table 5
Cost-effectiveness for Residential Portfolio (includes non-energy benefits)
Benefit/Cost
Test
Includes Evaluation Costs Excludes Evaluation Costs
Benefit/Cost
Ratio
Net Benefits Benefit/Cost
Ratio
Net Benefits
PTRC 1.16 s222,037 1.40 54s7,929
TRC 1.09 s128,700 1.32 s364,592
UCT 0.83 (s188,021)1.05 s47,87t
PCT 3.77 s2,L36,004 3.77 S2,136,004
RIM 0.33 (s1,862,911)0.36 (s1,627,018)
Total gross residential savings increased slightly when compared to 2016 performance, with the
largest savings being derived from the Home Energy Reports program. Information related to
individual program performance, program management and program infrastructure is provided on
the following pages.
Page 15 of 42
Rocky Mountain Power Idaho Report Residential Energy Effi ciency
Ho*to EtttnncY SAWNGS Pnoentu
The Home Energt Savings program provides incentives for more efficient products and services
installed or received by customers in new or existing homes, multi-family housing units or
manufactured homes for residential customers under Electric Service Schedules I or 36. Landlords
who own property where the tenant is billed under Electric Service Schedules 1 or 36 also qualifr
for the program. Program participation by measure category is provided in Table 6.
Table 6
Eligible Program Measures (Units)
Measure
Category
kWh/Yr
Savings
(@ Site)
Total
lncentive
Total
Quantity
Appliances 21,005 s7,300 76
Building Shell 72,475 s9,655 L7,L67 lsq. ftl
Energy Kits 34L,Ot6 s10,748 7,O77
HVAC 683,139 s94,840 231
Liehtine L,057,371 578,327 61,305
Water Heating 8,379 52,750 5
Whole Home 13,816 s12,ooo 4
Grand Total 2,137,zOL s215,514
The program passed all cost effective tests except the RIM as shown in Table 7.
Table 7
Cost-effectiveness for Home Energy Savings Program (includes non-energy benefits)
Benefit/Cost
Test
Benefit/Cost
Ratio
Net
Benefits
PTRC 1.47 5345,276
TRC 1.38 5277,904
UCT t.4L S196,520
PCt 2.86 S1,433,906
RIM 0.40 (s9s1,2s6)
Program savings increased in 2017 compared to 2016 and was primarily due to a significant
increase in LED lighting participation. In addition, the program replaced CFLs in energy kits to
LEDs and offered the kits at no charge to customers.
Page 16 of 42
Rocky Mountain Power Idaho Report Residential Energy Efficiency
Program Management
The program manager who is responsible for the Home Energt Savings program in ldaho is also
responsible for the program in Utah and Wyoming. For each program and in each state the program
manager is responsible for the cost-effectiveness of the program, identifying and contracting with
the program administrator through a competitive bid process, establishing and monitoring program
performance and compliance, and continually improving the program.
Program Administration
The Home Energt Swings program is administered by CLEAResult. CLEAResult is responsible
for the following:
o Retailer and trade ally engagement - CLEAResult identifies, recruits, supports and assists
retailers to increase the sale of energy efficient lighting, appliances and electronics.
CLEAResult enters into promotion agreements with each lighting manufacturer and
retailer for the promotion of discounted CFL and LED bulbs. The agreements include
specific retail locations, lighting products receiving incentives and not-to-exceed annual
budgets. Weatherization and HVAC trade allies engaged with the program are provided
with program materials, training, and regular updates.o Inspections - CLEAResult recruits and hires inspectors to verify on an on-going basis the
installation of measures. A summary of the inspection process is in Appendix 3.o Managing savings acquisition to targets within budget.o Continual improvement of program operations and customer satisfaction.o Incentive processing and call-center operations - CLEAResult receives all requests for
incentives, determines whether the applications are complete, works directly with
customers when information is incorrect and/or missing from the application and processes
the application for payment.
. Program specific customer communication and outreach A summary of the
communication and outreach conducted by CLEAResult on behalf of the Company is
outlined in the Communication, Outreach, and Education section of this report.
Infrastructure
The total number of retailers and trade allies participating in the program is currently 70. Detail of
participating retailers by delivery channel and measure type is available in Appendix 4.
Program Changes
The Home Energt Savings program made changes to existing measures in its flexible tariff filing.
The updated changes were made to beffer align with current market practices. The program also
added new offerings for tier 3 heat pump water heaters, retired CFLs, and began offering energy
kits at no cost to customers.
Page 17 of 42
Rocky Mountain Power Idaho Report Residential Energy Efficiency
Evaluation
A process and impact evaluation for program years 2015-2016 was completed and published in
2017 . Key findings include:
o Gross realization rate of 73 percenC
o Net-to-Gross of 72 percenL. High program satisfaction with the non-lighting participants at 98 percent;. Similar to the 2013 -2014 evaluation, the most commonly cited sources of program
awareness for non-lighting participants were retailers at 35 percent; ando Including non-energy benefits, the program over the two year period was cost effective from
the TRC perspective atl.47 and a UCT of 1.14.
A complete list of program evaluation recommendations and the Company's response is provided
in Appendix 8.
Page 18 of42
Rocky Mountain Power Idaho Report Residential Energy Efficiency
Horuo Er,tnnGY REPaRTS PRoGRAM
The Home Energ,t Reports program is a behavioral program designed to decrease participant
energy usage by providing comparative energy usage data for similar homes located in the same
geographical area. Additionally, the report provides the participant with information on how to
decrease their energy usage. Equipped with this information, participants can modify behavior
and/or make structural equipment, lighting or appliance modifications to reduce their overall
electric energy consumption.
The program achieved 3,055,279 kWh of savings at site in 2017. Program cost-effectiveness is
provided in Table 8.
Table 8
Cost-effectiveness for Home Energy Reports Program
Benefit/Cost
Test
Benefit/Cost
Ratio
Net
Benefits
PTRC 1.19 525,260
TRC 1.08 Sto,707
ucr 1.08 Sto,7o7
PCT N/A N/A
RIM 0.34 (s282,238)
Reports were initially provided to approximately 17,600 customers in December 2014. The
number of participant's decreases over time due to customer attrition related to general customer
churn (customer move-outs) and customers requesting to be removed from the program. Since
inception of the program, only I .39o/o of customers have requested to be removed from the
program. As of December 2017,there were 13,505 customers were active recipients of Home
Energy Reports. Ln2017,108 total customers opted out of the program.
All participating customers may request an electronic report delivered via email as well as access
to a web portal containing the same information about their usage provided in the report. In
addition, all Idaho residential customers (including non-participants) have access to the web portal
which contains other benefits such as a home energy audit tool, the ability for customers to update
their home profile (for more accurate comparisons), and suggestions on ways to save energy. There
were 58,488 paper reports and76,157 email reports delivered to residential customers in Idaho in
2017.
Prosram Management
The program manager who is responsible for the Home Energt Reports program in Idaho is also
responsible for the program in Utah and Wyoming as well as lruigation Load Control program in
Idaho and Utah and Cool Keeper program in Utah. For each program and in each state the program
manager is responsible for the cost-effectiveness of the program, identifying and contracting with
Page 19 of 42
Rocky Mountain Power Idaho Report Residential Energy Effi ciency
the program administrator through a competitive bid process, establishing and monitoring program
performance and compliance, and continually improving the program.
Program Administration
Oracle was responsible for the following:
o Selecting Qualifying Customers - Oracle conducted an analysis to identiff qualiffing
customers that are then randomly selected into the program's treatment (those who will
receive reports) and control groups (for measurement and verification).o Customer Comparison Analysis - Oracle performed statistical analysis to perform pattern
recognition in order to derive actionable insights to selected customers. Oracle used
information about customers' homes (e.g., size, heat type, home type) to find similar homes
for comparison.o Energy Report Delivery - By mail or email.. Web Portal Design and Support - Oracle operated and maintained a customer Web portal
for participants to visit for additional information about their energy usage and saving
opportunities.
The Home Energt Reports program administration contract expired on December 31, 2017. As a
result, the Company initiated a Request for Proposals on June 19,2017. Negotiations with a new
program administrator were underway during the end of the year, with the contract being fully
executed January 2, 2018.
Evaluation
A process and impact evaluation for program years 2015 -2016 was published in 2017. Key
findings include:
o Participants were slightly more likely than control customers to participate in other Rocky
Mountain Power energy efficiency programs.o The program was cost effective from all perspectives except the RIM.. Overall realization rate was 92Yo.o Both the participants and the control group reported high satisfaction with Rocky Mountain
Power (87%). Sixty-two percent of participants reported satisfaction with the program.
A complete list of program evaluation recommendations and the Company's response is provided
in Appendix 8.
Page20 of 42
The Home Energt Reports program was administered by Oracle. Oracle's software creates
individualized energy reports for utility customers that analyzes their energy usage and offers
recommendations on how to save energy and money by making small behavioral changes to their
energy consumption. The Company contracted with Oracle to provide energy savings, software
services, and printing and delivery of energy reports to customers.
Rocky Mountain Power Idaho Report Residential Energy Efficiency
Low lNco*tn Wn.l,rrunruzerroN PRoGRAM
The Low Income Weatherization program provides energy efficiency services through a
partnership between the Company and local non-profit agencies to residential customers who meet
income-eligible guidelines. Services are at no cost to the program participants.
In 2017 , the program achieved 131,340 kWh of savings at site and treated 60 homes. Total homes
treated as well as the type and frequency of specific energy efficiency measures installed in each
home is provided in Table 9. Rocky Mountain Power did not provide funding on all measures
listed as some were installed to reduce natural gas usage.
Table 9
Homes Receiving Specific Measures
Participation -Tota! f of Completed/Treated Homes 50
Number of Homes Receiving Specific Measures
Attic Ventilation 19
Ceiling lnsulation 26
CFL Bulbs 8
LED Light Bulbs 51
Duct lnsulation 19
Floor lnsulation 19
Furnace Repair 35
Furnace Replacements 22
Health & Safety Measures 60
lnfiltration 50
Refrigerators 29
Replacement Windows 48
Thermal Doors 45
Wall lnsulation 9
Water Heater Repair 39
Water Heater Replacement 2
Water Pipe lnsulation 58
The Low Income Weatherization program was cost effective from the PTRC and TRC, but failed
the UCT and RIM.17 Table l0 shows 2017 program cost-effectiveness.
I The Low Income Energy Conservation Education funding of $25,000 was excluded from the program
cost effectiveness, but is included in the residential sector and portfolio cost-effectiveness.
Page 2l of 42
Rocky Mountain Power Idaho Report Residential Energy Effi ciency
Table l0
Cost-effectiveness for Low Income Weatherization (includes non-energy benefits)
Benefit/Cost
Test
Benefit/Cost
Ratio
Net
Benefits
PTRC L.45 s172,394
TRC t.4L s100,981
UCT 0.46 (s134,357)
PCT N/A N/A
RIM 0.26 l$328,s24)
Program Management
The program manager who is responsible for the Low Income ll/eotherization program in Idaho is
also responsible for the program in California, Utah, Washington and Wyoming; energy assistance
programs in Idaho, California, Oregon, Utah, Washington and Wyoming; and bill discount
programs in California, Utah and Washington. The program manager is responsible for the cost-
effectiveness of the weatherization program in each state, partnerships and agreements in place
with local agencies that serve income eligible households, establishing and monitoring program
performance and compliance, and recommending changes in the terms and conditions set out in
the agency contracts and state specific tariffs.
Program Administration
The Company contracts with Eastern Idaho Community Action Partnership ("EICAP") and South
Eastern Idaho Community Action Agency ("SEICAA") to provide services. The two agencies
receive federal funds allocated to the Idaho Department of Health and Welfare ("IDHW") and
administered by the Community Action Partnership Association of ldaho ("CAPAI"). Energy
efficiency measures are installed in the homes of income eligible households throughout the
Company's service territory by EICAP and SEICAA. The Company is required to fund 85 percent
of the cost of approved measures, pursuant to Commission Order No. 32151. Agencies cover
remaining costs with the funding received by IDHW.
EICAP and SEICAA are responsible for the following
Income Verification - Agencies determine participant income eligibility based on CAPAI
guidelines. Household's interested in obtaining weatherization services apply through the
agencies. The current income guidelines can be viewed at CAPAI's website
htto ://www.capai.ore/wx
Energy Audit - Agencies use a United States Department of Energy approved audit tool to
determine the cost effective measures to install in the participant's homes (audit results
must indicate a savings to investment ratio of 1.0 or greater).
Installation of Measures - Agencies install the energy efficiency measures.
a
a
O
Page 22 of 42
Rocky Mountain Power Idaho Report Residential Energy Efficiency
Post Inspections - Agencies inspect 100 percent of completed homes. CAPAI also inspects
a random sample of homes. See Appendix 3 for the verification summary.
Billing Notification - Agencies are required to submit a billing to Company within 120
days after job completion. The agencies include a form indicating the measures installed
and associated cost on each completed home along with their invoice.
Low Income Energt Conservation Education
Commission Order No. 32788 authorized the Company to fund the Low Income Energt
Conservation Education with $25,000 annually. These education services are provided by EICAP
and SEICAA and target participants who receive Low Income Home Energy Assistance Program
("LIHEAP") funds. EICAP, SEICAA and the Company discussed the allocation of the annual
funding amount with the agencies determining the efficiency measures to distribute. EICAP
received $16,000 and SEICAA $9,000 for a total of $25,000 prior to the beginning of their
201712018 LIHEAP program year. While the conservation education activities do result in energy
savings, the savings are not considered when calculating the performance results of the Low
Income Weatherization program, other energy efficiency programs or portfolios results.l8
The agencies provided a conservation education curriculum to households and reported the
following activities and program specifics for 2017 in Table I l.
Table I I
20 I 7 Conservation Education Activities
EICAP sErccA
Annual Funds S16,000 s9,ooo
Expenditures s12,996 St6,t7B
Balance as of 72l3tlL7 s23,353 Sil,azz
Households served 22s 493
Distribution
EICAP purchased 450 kits in2017 totaling 912,996, and reported on the distribution of 75 of these
kits. The new kits include 2 LED bulbs, weather-stripping, a window insulation kit, a
refrigerator/freezer thermometer, 10 foam outlet gaskets, rope caulk, a surge protector/smart power
strip and a kitchen aerator. 2017 is the first year EICAP tracked kit distribution in their database.
In 2017, EICAP conducted community education courses and taught classes about conserving
energy and how to read and understand utility bills. Participants who were Rocky Mountain Power
customers received a kit.
a
O
18 Order No. 32788
Page23 of 42
Rocky Mountain Power Idaho Report Residential Energy Effi ciency
EICAP also distributed kits to Rocky Mountain Power clients who applied for LIHEAP. These
kits are not reflected in this report since they have not yet been entered in their database but will
be once the LIHEAP season ends and all applications are scanned.
Remaining kits inventory will be mailed out to Rocky Mountain Power customers in May 2018
along with tips and an invitation to apply for LIHEAP in November 2018. A portion of the
remaining funds will cover mailing costs and EICAP willcontinue to provide energy conservation
education. They currently have I 90 kits purchased in 20 I 6 and 37 5 kits purchas ed in 2017 in their
inventory.
SEICAA purchased 457 kits in2017 for $16,178 and257 households received one of these kits.
The kit included a smart power strip, 2 LED bulbs, rope caulk, l0 outlet gaskets, a window
insulation kit, weather-stripping and a thermometer. SEICCA staff also distributed measures
purchased prior to 2017 including shower timers, window kits, CFL bulbs, night lights, weather-
stripping tape, and conservation sockets.
SEICAA distributed the majority of their kit inventory purchased in 2015, with 154 measures (84
CFLs, 50 night lights and 20 conservation sockets) remaining in stock. A total of 327 of these
items were distributed to 216 households. They used 2016 and2017 funding to purchase new kits
that they began distributing in November 2017. After distributing 257 kits, 180 remain in their
inventory as of December 31,2017.
Table l2 provides information regarding the education offered by the agencies.
Additi onal tnformatiHo"'i l'orrrr,on by A genc ie s
EICAP SEICAA
Program Design Educate Rocky Mountain Power
customers about how to conserve
energy and understand their bill.
Reduce electricity usage and monthly bills for
participants of the LIHEAP program.
Target Audience Rocky Mountain Power customers
who receive energy assistance and
request energy conservation
education.
LIHEAP recipients who have not received
weatherization program services are a priority
Households can also be identified through
SEICAA's other programs.
How Company Funds
Were Used
Energy efficiency kits purchased.Purchased and distributed energy
conservation kits with funding received in
20LG and 20L7.
Program Benefits to
Participants
Households receive useful tips and
tools to help them save energy year
around but especially during the
winter months.
Households are educated on how they can
reduce kWh usage through behavioral changes
in addition to the energy savings benefits of
installing energy conservation measures they
receive during LIHEAP intake. All conservation
items are easy-to-install measures.
Page24 of 42
Rocky Mountain Power Idaho Report Residential Energy Effi ciency
Evaluation
A process and impact evaluation for program years 2013-2015 was completed and published in
2017 . Key findings include:
o Overall program realization rate of 90 percent;o Estimated savings is lower than the previous evaluation; ando The program was cost effective from the PTRC and TRC, but not the UCT and RIM.
A complete list of program evaluation recommendations and the Company's response is provided
in Appendix 8.
Page25 of 42
Rocky Mountain Power Idaho Report Non-Residential Energy Efficiency
Nox-RrsrDENTrAL Exrncy Errrcrrcxcy
The commercial, industrial and agricultural energy efficiency program portfolio is offered through
a single Non-Residential Energy Efficiency program called wattsmafi Business.
The wattsmart Business program is intended to maximize the efficient use of electricity for new
and existing non-residential customers through the installation of energy efficiency measures and
energy management protocols. Qualiffing measures include any measures which, when
implemented in an eligible facility, result in verifiable electric energy efficient improvements.
Total non-residential program gross savings decreased from 2016 program performance and was
driven by decreases in the commercial sector, particularly lighting.
Total incentives, savings and completed projects are provided in Table l3 by customer sector
Table 13
Savings by Sector
Sector Totalkwh/Yr
Savings
Total
lncentive Total Projects
Commercial 7,082,989 s1,055,169 282
lndustrial 2,O38,s79 s28s,742 22
lrrigation 1,385,119 S199,637 39
Grand Total 10,506,687 s1,539,949 343
Services offered through the wattsmart Business program include
Typical Upgrades: provides streamlined incentives for lighting, HVAC, compressed air
and other equipment upgrades that increase electrical energy efficiency and exceed code
requirements.
Small Business Direct lnstall: provides enhanced incentives for lighting retrofits installed
by a Rocky Mountain Power contractor at eligible small business customer facilities.
Custom Analysis: offers investment-grade energy analysis studies and recommendations
for more complex projects.
Energy Management: provides expert facility and process analysis to help lower energy
costs by optimizing customer's energy use.
Energy Project Manager Co-funding: available to customers who can commit to an annual
goal of completing projects resulting in a minimum of 1,000,000 kwh per year in energy
savings.
a
a
a
a
a
Total incentives and savings by measure category is provided in Table 14.
Page26 of 42
Rocky Mountain Power Idaho Report Non-Residential Energy Efficiency
Table 14
Savings by Measure Category
Measure Category kWh/Yr Savings
(@ slte;
Total
!ncentive
Total
Proiects
Additional Measures 48,92L S7,338 t
Building Shell 27,816 Srs,osz 3
Compressed Air 329,t95 549,379 3
Direct lnstall L,485,445 s429,s23 157
Energy Management 342,880 s5,858 t
Energy Project Mgr Co-Funding 567,772 2
Farm & Dairy 382,158 S54,315 6
Food Service Equipment L3,2L8 s5s0 7
HVAC gto,zLL 577,233 t6
lrrigation 1,t05,2L3 57s7,774 29
Lishtins 5,034,297 Sssz,+go 110
Motors 254,35L 536,4s7 t2
Refrigeration 57L,982 s85,094 2
Grand Total 10,505,687 S1,s39,948 343
The Non-Residential Portfolio was cost effective from all perspectives except the RIM. Program
performance results for 2017 are provided in Table l5 below.
Table 15
Co st-effectivene ss for Non-Residential Portfo I io
Benefit/Cost
Test
lncludes Portfolio Costs Excludes Portfolio Costs
Benefit/Cost
Ratio
Net Benefits Benefit/Cost
Ratio
Net Benefits
PTRC 2.22 54,786,629 2.30 54,920,069
TRC 2.O2 s3,gg4,goo 2.O9 54,128,239
UCT 2.92 Ss,210,091 3.08 Ss,343,s30
PCT 3.2L 57,LL8,479 3.21 s7,tt8,479
RIM 0.77 $2,383,27s\0.78 (s2,249,836)
Proqram Management
The program manager overseeing the business energy efficiency program activity in Idaho is also
responsible for the programs in Utah and Wyoming. For each state the program manager is
responsible for the management of the program administrators, cost-effectiveness, identifying and
contracting with the program administrators through a competitive bid process, program
marketing, achieving and monitoring program performance and compliance, and recommending
changes in the terms and conditions of the program.
Page27 of42
Rocky Mountain Power Idaho Report Non-Residential Energy Efficiency
Proeram Administration
The program is primarily administered through two delivery channels that are differentiated based
upon customer needs: contracted DSM delivery and internal DSM delivery. For customers with
high energy savings potential, the program offers Energy Project Manager Co-funding
administered through its intemal DSM delivery.
Controcted DSM Delivery
The Contracted DSM Delivery channel generally targets typical opportunities that serve small to
medium sized business customers and, to a lesser extent, large business customers. Administration
is provided through Company contracts with Nexant, Inc. ('oNexant"), Cascade Energy
("Cascade") and Willdan Energy Solutions ("Willdan"). Nexant and Cascade manage trade ally
coordination, training and application processing services for commercial measures and
industrial/agricultural measures respectively. Willdan manages the small business direct
installation offer.
Nexant and Cascade are responsible for the following:
o Trade ally engagement - includes identification, recruiting, training, supporting and
assisting trade allies to increase sales and installation of energy efficient equipment at
qualifying business customer facilities.o Incentive processing and administrative support - includes handling incoming inquiries as
assigned, processing incentive applications, developing and maintaining standardized
analysis tools, providing program design services, and evaluation and regulatory support
upon request.o Custom analysis and project facilitation for small/medium customer projects.o Managing savings acquisition to targets within budget.o Continual improvement of program operations and customer satisfaction.o Inspections - includes verifying on an on-going basis the installation of measures. A
summary of the inspection process is in Appendix 3.
Willdan is responsible for:
o Direct customer outreach, energy assessment, product supply, installation and inspection.o Incentive processing and administrative support - includes handling incoming inquiries as
assigned, processing incentive applications, developing and maintaining standardized
analysis tools, providing program design services, and evaluation and regulatory support
upon request.o Managing savings acquisition to targets within budget.o Continual improvement of program operations and customer satisfaction.
Internal DSM Delivery
Page28 of 42
Rocky Mountain Power Idaho Report Non-Residential Energy Efficiency
The Internal DSM Delivery channel targets large energy users who generally have multiple
opportunities for energy efficiency improvements, such as those that require complex custom
analysis. These large projects are administered by internal Company project managers and allows
for a single point of contact to assist customers with their various opportunities. In this delivery
channel, project managers are responsible for the following:
o Single point of contact for large customers to assist with their energy efficiency projects.
o Provide customer outreach and education of energy efficiency opportunities.o Facilitate custom energy efficiency analysis, quality assurance and verification of savings
through a pre-contracted group of engineering firms. (See Table 20 below.)o Manage engineering firms to ensure program compliance, quality of work and customer
satisfaction.o Manage wattsmart Business projects through the whole project lifecycle.
Infrastructure
Contracted DSM Delivery - Trade Ally Networks
To help increase and improve the supplier and installation contractor infrastructure for energy-
efficient equipment and services, the Company established and developed trade ally networks for
lighting, HVAC and motorsA/FDs. This work includes identifying and recruiting trade allies,
providing program and technical training and providing sales support on an ongoing basis. The
current list of trade allies who have applied and been approved as participating vendors are posted
on the Company website and is included as Appendix 5 to this report. In most cases, customers
are not required to select a vendor from these lists to receive an incentive.le
Since 2002, the Company's trade ally network grew into alarge, mature network of trade allies.
However, the performance of trade allies varied with regard to industry experience, quality of
workmanship, program knowledge and willingness to be a utility partner.
ln 2017 all trade allies were asked to re-apply under new program guidelines put in place to
encourage good market behavior. To improve trade ally network performance, a variety of actions
were taken. Minimum participation requirements were raised, including mandatory industry
trainings, proof of insurance, and proof of applicable licenses. Quarterly trade ally performance
scorecards were introduced to provide timely feedback and encourage trade allies to reach
"Premium" status. The following trade ally performance categories were established to align with
program objectives:
o Level of participation (project count and savings)o Customersatisfactiono Program satisfactiono Project submission quality
1e Customers receiving Small Business Lighting incentives do need to use an approved contractor that has
been selected from a competitive request for bid process.
Page29 of 42
Rocky Mountain Power Idaho Report Non-Residential Energy Efficiency
Experience/training
The Company also created a tiered network with associated incentives for top performing trade
allies to be designated as "premium", thus differentiating them from their peers. This offer was
launched in late 2017 and, being in its infancy, has yet to produce reportable data.
Contracted DSM Delivery - Small Business Direct Installation Offir
Program year 2017 was the first full operational year of the small business direct installation offer,
branded as"wottsmart Small Business Direct". The offering targets the small business customers
with an expedited lighting incentive and targets specific geographical locations with marketing
and outreach.ln 2017, the offer resulted in:
. 1,485,445 kwh installed directly at customer sites;o 6 cities served: Ammon, Idaho Falls, Iona, Montpelier, Preston, Rexburg;o 158 installed customer projects;o Average kWh per installed project: 9,461:.
o Average customer copay: $91 l;
o AveraBe customer incentive: 92,735.
In the first year of operating this program, it was discovered that there is a greater demand in rural
markets than originally expected, presenting an opportunity to extend the amount of time spent in
each location and limit the number of locations. Rural communities also produced higher eligible
customer participation rates (16%) than urban communities (7%).
Internal DSM Delivery
Given the diversity of the non-residential customers served by the Company, a pre-approved, pre-
contracted group of engineering firms are used to perform facility specific energy efficiency
analysis, quality assurance and verification services. Larger customers are managed by internal
project managers, while small/medium customers are outsourced directly to a qualified program
administration firm for custom analysis. Each customer's project is directly managed by one of
the Company's in-house project managers. The in-house team works directly with the customer or
through the appropriate Company regional business manager located in Idaho.
Table 16 lists the engineering firms under contract with the Company to provide energy efficiency
analysis for internal project managers.
Page 30 of 42
a
Rocky Mountain Power Idaho Report Non-Residential Energy Efficiency
Table 16
Engineering Firms
Engineering Firm Main Office Location
Brendle Group Fort Collins, CO
Cascade Energy Engineering Cedar Hills, UT
EMP2, lnc Richland, VA
Energy Resource lntegration, LLC Sausalito, CA
45ight Energy Boise, lD
ETC Group, lncorporated Salt Lake City, UT
Evergreen Consulting Group Beaverton, OR
kW Engineering, lnc.Salt Lake City, UT
Nexant, lncorporated Salt Lake City, UT
RM Energy Consulting Pleasant Grove, UT
Rick Rumsey, LLC Ammon, lD
Solarc Architecture & Engineering, lnc.Eugene, OR
Energt Management
Energy Management is a system of practices that creates reliable and persistent electric energy
savings through improved operations, maintenance and management practices in customer
facilities. Energy management can result in improved system operation, lower energy costs,
reduced maintenance and repair costs and extended equipment life, and improved occupant
comfort and productivity for tenants and employees. This program offering is being emphasized
by the utility and pushed out into the market in the coming year.
Energt Project Manager Co-Funding
The Energy Project Manager offering is a co-funded staff resource at a customer facility to develop
and manage energy projects. Customers can establish an annual energy savings goal and receive
Energy Project Manager Co-funding proportionate to that goal (subject to caps). To date, there is
one customer in Idaho who consistently participates in this offer due to their large size. Table 17
illustrates how Energy Project Manager's may be incented.
Page3lof42
Rocky Mountain Power Idaho Report Non-Residential Energy Efficiency
Table 17
Energy Project Manager Incentive Structure
Payment Structure Payment Amount Milestone
1 - lnitial payment
(optional)
1/3 of funding amount* (not to
exceed S25,000)
1. Customer selects an Energy
Project Manager.
2. Company & Customer work
together on Comprehensive Plan
for electric energy savings.
3. Customer signs the Energy
Project Manager Offer.
2 - Final payment SO.OZS per kWh of energy savings
achieved, to a maximum 100 percent
of approved Energy Project Manager
Salary and less the initial payment
L. At the end of performance period
as defined in the Energy Project
Manager Offer.
To summarize the wattsmart Business internal structure, Table l8 shows the delivery channel, its
targeted customer segment, provider(s), and the type of services.
Table 18
w attsmart B usiness Structure
Delivery Channel Tergeted Customer
Segment Providers Services
lnternal Delivery Commercial &
lndustrial
Outsourced
Engineers
Custom, typical, energy
management, energy
project manager co-
funding
Contracted Delivery
(Small Business Direct
lnstall, Trade Ally)
Small Businesses Willdan Typical
Commercial &
lndustrial Typical
Program Changes
In late 2017, the Company filed its 45-day notice for several program changes to commercial
HVAC and lighting and applications. Federal HVAC standards have experienced changes and
been redefined and thus the Consortium of Energy Efficiency updated their efficacy standard
matrix. The Company has also adopted these increased HVAC standards into our incentive
structure. Program changes were effective January 2018.
The Company also restructured its LED lighting offering. LED technology has become the
predominant lighting technology in energy efficiency projects, and that trend is anticipated to
Page 32 of 42
Nexant/Trade Allies
Rocky Mountain Power Idaho Report Non-Residential Energy Efficiency
continue. Long lamp life (30,000 hours*), reduced lifetime maintenance costs, absence of
hazardous materials (i.e. mercury), controllability, higher efficacy (lumens/watt) and decreasing
costs relative to traditional technologies have contributed to a shift toward using LED products
on most energy efficiency projects.
To address the continuing and rapid shift to more efficient LED technologies, the Company
revamped the form and value of lighting incentives listed in the lighting retrofits table on the
website20. The Company moved away from incenting lighting retrofits by fixture or bulb, and
lowered the incentive per kWh. In lieu of fixture based incentives or high $-per-kWh incentives
the Company has shifted the incentive structure to incent the installation of basic and advanced
controls in lighting retrofits. Incentives are still available for simple lighting retrofits, but have
been decreased unless customers install controls methodologies with their LEDs.
The Company also introduced prescriptive irrigation measures as well as a midstream lighting
program that will incent numerous lighting technologies at commercial lighting distributors to be
bought down at the point-of-purchase. As these new program offering were announced in late
2017 there is not yet reportable data.
Evaluation
The wattsmart Business program evaluation for program years 2014-2015 was performed in 2016
and published in early 2017.Key findings include:
o Overall realization rate of 103.5 percent and an overall net-to-gross of 82 percent.
o The program was cost effective from all perspectives except the RIM.o Participants in the small business lighting and typical upgrades reported higher satisfaction
levels than participants in the custom analysis.. High levels of participant satisfaction with small business lighting and typical upgrades with
work provided by their contractor or vendor. There was less satisfaction with the custom
participants.
A complete list of program evaluation recommendations and the Company's response is provided
in Appendix 8.
20 https://www.rockymountainpower.net/bus/se/idaho/ilfliehtinE/lightine-retrofits.html
Page 33 of 42
Rocky Mountain Power Idaho Report Peak Reduction Program
Ppnr RsoucrroN PRoGRAM
Peak Reduction programs assist the Company in balancing customer energy use during heavy peak
summer hours. Further, it assists in deferring the need for higher cost investments in delivery
infrastructure and generation resources that would otherwise be needed to serve those loads for a
select few hours each year. These programs help the Company maximize the efficiency of the
Company's existing electrical system and reduce costs for all customers.
Irrieation Load Control
The Irrigation Load Control program is offered to irrigation customers receiving electric service
on Schedule 10, Irrigation and Soil Drainage Pumping Power Service. Participants enrolled with
a third party administrator to allow the curtailment of their electricity usage in exchange for an
incentive. Customer incentives are based on a site's average available load during load control
program hours adjusted for the number of opt outs or non-participation. The program hours are
12pm to 8pm Mountain Time, Monday through Friday, and exclude holidays. For most
participants, their irrigation equipment is set up with a dispatchable two-way control system giving
the Company control of the equipment. Under this control option, participants are provided a day-
ahead notification of control events and have the choice to opt-out of a limited number of dispatch
events per season.
A summary of the program performance, participation and cost-effectiveness results for the
program period of May 29,2017 - August 18,2017 are provided in Tables 19 and20.
Table l9
Irrigation Load Control Program Performance
Total Enrolled MW (Gross - at Gen)247
Average Realized Load MW (at Gen)118
Maximum Realized Load MW (at Gen)
Participation Customers 196
Participation (Sites)1,337
Table 20
Cost-effectiveness for Irri gation Load Contro I
Benefit/Cost
Test
Benefit/Cost
Ratio
PTRC Pass
TRC Pass
UCT Pass
Pgr N/A
RIM Pass
Page34 of 42
168
Rocky Mountain Power Idaho Report Peak Reduction Program
Proqram Management
The program manager who is responsible for the lruigation Load Control program in Idaho is also
responsible for the lrrigation Load Control and Cool Keeper programs in Utah along with Home
Energt Report in Idaho, Utah and Wyoming. For each state the program manager is responsible
for managing the program administrator, the cost-effectiveness of the program, contracting with
program administrator through a competitive bid process, establishing and monitoring program
performance and compliance, and recommending changes to increase participation.
Program Administration
EnerNoc administers and manages the lrrigation Load Connol program through a pay-for-
performance structure and is responsible for all aspects of the program.
Load Control Events and Performance
There were five control events initiated in 2017. The date, time and estimated impact for each
event is provided in Table 21.
Table 21
Irrigation Load Control Events
Evaluation
No evaluation activities occurred during 2017
Date Event Event Times
Estimated Load
Reduction - ldaho at
Gen (MW)
June20,2Ot7 I 4pm-Spm MDT 762
June 22,20L7 2 4pm-8pm MDT 168
Julv 7,2077 3 3pm-7pm MDT 164
August 2,20L7 4 4pm-8pm MDT 56
August 28,20L7 5 3pm-7pm MDT 42
Page35 of 42
Rocky Mountain Power Idaho Report Communications, Outreach, and Education
CovrvruxrcATroNs, OurnnlcH AND Enuc.q.rroN
The Company uses earned media, customer communications, paid media, and program-specific
media to communicate the value of energy efficiency, provide information regarding low-cost, no-
cost energy efficiency measures and to educate customers on the availability of technical
assistance, services and incentives. The overall goal is to engage customers to reduce their energy
usage through behavioral changes as well as changes in equipment, appliances, and structures. The
Company calls this multi-faceted campaign "wattsmart" and shares a common theme: Rocky
Mountain Power wants to help you save money and energy.
C usto mer C o mmu nicatio ns
As part of the Company's regular communications to its customers, newsletters are delivered to
all customer classes that promote energy efficiency tips, programs and incentives. Bill inserts and
outer envelopes that feature energy efficiency messages are consistently used. The Company also
uses its website and social media, such as Twitter and Facebook, to communicate and engage
customers on DSM offers and incentives. Table 22 shows the communication source and the
frequency of the message.
Table22
Communication Source and Frequency
Communication Source Frequency of Message
Web: rockymountainpower.net/wattsmart a nd promoti ona I U RL
wattsmart.com link directly to the energy efficiency landing page.
Once there customers can self-select their state for specific
programs and incentives.
Messages rotate each month based on the
season
Twitter Weekly tweets
Facebook lnformation and tips posted 2-3 times per
week. Promoted posts and mobile ads are
also used where appropriate.
Vorces residential newsletter Newsletters are sent via bill insert and
email 5-6 times per year with energy
efficiency information
Home Energy Savings/wattsmart Starter Kit program inserts 2-3 per year
Energy lnsights newsletter to businesses and communities 1-2 per year
Page36 of 42
Rocky Mountain Power Idaho Report Communications, Outreach, and Education
Paid Medio/ watts mart Campaign
In 2017, the Company developed a new wattsmart advertising campaign to inform and educate
residential customers about the benefits energy efficiency contributes to the greater good in
addition to saving money. The overall paid media plan objective is to effectively reach our
customers through a multi-media mix that extends both reach and frequency. Tapping into all
resources with consistent messaging has been the Company's approach and will continue to be
refined.
Key strategies include:o Implement an advertising campaign that features wattsmart energy efficiency messaging
and connect it to benefits for Idaho.
o Promote customer conservation (behavioral changes) and increase participation and
savings through the Company's wattsmart DSM programs.
o Motivate customers in ldaho to reduce consumption independently or to do so by
participating in the Company's wattsmart DSM programs.
o Educate customers on how these programs can help them save money on their utility bills,
reduce energy consumption and to help Idaho thrive.o Demonstrate by example how business customers are saving energy and enjoying the
benefits of being wattsmart.
The audiences for these messages were prioritized as follows:o Residentialcustomerso Low-income customerso Small/mid-size business customerso Largecommercial/industrial customerso Retailers, contractors and trade allies
General Key Messages:o Using energy wisely at home and in your business saves you money, and it's good for Idaho
o Rocky Mountain Power is your energy partner
o We want to help you keep your costs down.
o We offer wattsmart programs and cash incentives to help you save money and
energy in your home or business.
o Being wattsmart is good for your wallet, and for Idaho, now and into the future.
To reach residential customers, the Company used TV, radio, social, and digital. Large-scale
typography along with beautiful scenic images of Idaho was combined with footage of people
taking smalls steps (changing lighting to LED lamps, adjusting smart thermostat setting) to save
energy and money and to make a big difference for Idaho and the environment, now and into the
future.
New creative was developed to target business customers and included TV, radio, print, social
media, and digital. An overlay of typography to punctuate key points was included in TV created
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Rocky Mountain Power Idaho Report Communications, Outreach, and Education
ads so messages resonate better when played on hand-held devices when the sound is muted. Ads
focused on case studies and highlighted business customers that saved energy and money by being
wattsmart. Ads geo-targeted by zip code were used on Facebook to reach small business customers
with time-sensitive messages to encourage lighting upgrades.
Table 23 outlines each communication channel and the overall impressions achieved in2017.
Table23
Communication Channels
The total number impressions for the wattsmart campaign were 6,819,020 impressions.
Residential Creative Links
TV. Being wattsmart is good. Idaho - 78 degrees (summer). Being wattsmart is good. Idaho - 68 degrees (autumn)
Radio. Being wattsmart is good. Idaho
Communication Channel Value to Communication Portfolio lmpressions to date
Television Television has the broadest reach and
works as the most effective media
channel.
ldaho Falls:
o 585,504residential impressions
o 731,880business impressions
Radio Given the cost relative to television,
radio builds on communications
delivered via television while
providing for increased frequency of
messaBes.
ldaho Falls:
o 305,280 residential
impressions381,600 business
impressions
Newspaper Supports broadcast messages and
guarantees coverage in areas harder
to reach with broadcast.
A total of 12 insertions targeting
business customers were provided
to:
o Jefferson Star/Shelley Pioneer
o ldaho State Journal
o ldaho Falls Post Register
o News-Examiner
o Preston Citizen
o Rexburg Standard Journal
o 133,632total impressions
Digital Display lnclude banner ads on local sites,
blogs, behavioral ad targeting, and
pay-per-click ad placements.
3,780,369tota1 impressions
lnternet Search (i.e. Google)20,622 total impressions 16,417 total impressions
Twitter (@RMP_ldaho)Tweets energy efficiency tips, Tweets
posted on a weekly basis
1,041 Twitter followers
Facebook
www.facebook.com/
rockvmou ntai n power.wattsma rt
Awareness regarding energy
efficiency tips and a location to share
information.
23,124 Facebook followers
Facebook advertising -884,338
total impressions
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Rocky Mountain Power Idaho Report Communications, Outreach, and Education
Social. Being wattsmart is good. Idaho
Onlineo Being waffsmart is Good" Helps. Better. Idahoo Being wattsmart is Good (digital storyboard)
Business Creative Links
TVo Maverik case study TV. The Smith Group case study TV
Radio. Maverik case study radioo The Smith Group case study radio
Print
a Maverik case study print The Smith Group case
Social Mediao Wattsmart Small Business Direct for Rexburgo wattsmart Small Business Direct video and Facebook ads to promote videoo Maverik case study Facebook
Onlineo Maverik case study digital/mobile. Maverik case study YouTubeo The Smith Group case study dieital
Program SpeciJic Communications
All energy efficiency program marketing and communications are under the wattsmart umbrella
to ensure a seamless transition from changing customer behavior to the actions they could take by
participating in specific programs. Separate marketing activities administered by and specific to
the programs ran in conjunction with the wattsmart campaign.
Page 39 of 42
Rocky Mountain Power Idaho Report Communications, Outreach, and Education
Home Energt Savings
Information on the Home Energt Savings program is communicated to customers,
retailers and trade allies through a variety of channels including bill inserts,
newsletters, emails, website and social media.
Any home can be a
Yyottsmart home
In September and October, the Company promoted free wattsmart Starter Kits
through a flyer to schools, a direct mail piece and an email to targeted Idaho
residents.
To help customers prepare for winter, the Company also distributed an email in
November that provided tips and links to smart thermostat and insulation incentives.
A summary of outreach is displayed inTable24
Table24
Home Energy Savings Communications
Communications Channel Number of
Customers
Kit flyer distributed through school program 1,250
Direct mail s00
Email - kits 5,699
Email - winter savings 24,525
Total 3L,974
Home Energt Reports program
The reports provide information about the household's energy use
compared to other similar households, and offer personalized energy-
saving tips. Customers can also login to the program website to access
tools including a progress tracker, bill comparison, home energy
assessment and more.
All p hM b do 6 ad$. fE{ffirt stff ltr
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In 2017, the Company included information in the reports to promote
energy efficiency and renewable energy choices.
w att smart Business pr o gr am
During 2017, communications reminded customers to inquire about
incentives for lighting, HVAC, compressed air, and other energy
efficiency measures. Radio and print ads featured case study examples
from program participants. Eblasts and digital search directed viewers to the Company's website.2l
I,{
2l www.parrsmart.com
Page 40 of 42
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Rocky Mountain Power Idaho Report Communications, Outreach, and Education
This was in addition to customer direct contact by Company project managers and regional
business managers, trade ally partners, articles in the Company newsletters, and content on the
Company website and on Facebook.
Emails informed customers about available incentives, including one targeted to reach
grocery/convenience stores. Customers were invited via email to a free webinar regarding a new
optional finance tool available for energy efficiency projects. One Idaho customer was recognized
as wattsmart Business Partner of the year, presented with a trophy and announced in a press
release.22
Promoted posts and a video focused on wattsmart Small Business Direct, a program specifically
designed to help small businesses upgrade to energy-efficient lighting, was created and promoted
in geo-targetedzip codes on Facebook.
The program's breakdown of impressions by media type is shown in Table 25.
Table 25
Impressions by Media Type
Communications Channel 20Lt
Radio 445,200
Print 138,557
Display 734,L27
Social 528,L14
Eblasts 1,866
Search 4,297
Energt Educotion in Schools
The Company offers a wattsmart Schools education program through the National Energy
Foundation ('NEF"). The program is designed to develop a culture of energy efficiency among
teachers, students, and families. The centerpiece is a series of one-hour presentations with hands-
on, large group activities for 4th grade students. Teachers are provided instructional materials for
use in their classrooms, and students are sent home with a Household Report Card to explore
energy use in their homes and to encourage efficient behaviors.
ln 2017 , NEF conducted presentations in Idaho schools in the fall. Between October 18 and
November 8,2017, the program met its outreach goals by completing 20 presentations to reach
1,420 students and 6l teachers with 90 percent of "Household Report Cards", which are used as
part of a home energy audit activity, completed and returned.
The Idaho NEF report is available as Appendix 7.
22 https://www.rockymountainpower.net/about/nr/nr20l7lBYU-Idaho-wattsmart-business-partner-
award.html
Page 4l of 42
Rocky Mountain Power Idaho Report Evaluations
Ev,tr,u.q.rloNs
Evaluations are performed by independent external evaluators to validate energy and demand
savings derived from the Company's energy efficiency programs. Industry best practices are
adopted by the Company with regards to principles of operation, methodologies, evaluation
methods, definitions of terms, and protocols including those outlined in the National Action Plan
for Energy Efficiency Program Impact Evaluation and the California Evaluation Framework
guides.
A component of the overall evaluation efforts is aimed at the reasonable verification of
installations of energy efficient measures through review of documentation, surveys and/or
ongoing onsite inspections.
Verification of the potential to achieve savings involves regular inspection and commissioning of
equipment. The Company engages in programmatic verification activities, including inspections,
quality assurance reviews, and tracking checks and balances as part of routine program
implementation and may rely upon these practices in the verification of installation information
for the purposes of savings verifications in advance of more formal impact evaluation results. A
summary of the inspection process is included in Appendix 3.
Evaluation, measurement and verification tasks are segregated within the Company organization
to ensure they are performed and managed by personnel who are not responsible for program
management.
Information on evaluation activities completed or in progress during 2017 is summarized in Table
26 below. Summaries of the recommendations are provided in Appendix 8. The evaluation report
is available at www.oacifi com.com/es/dsm/idaho.html.
Table26
Program Evaluations
Program Years Evaluated Evaluator Progress Status
Low I ncome Weatherization 2013 - 2015 Opinion Dynamics Completed
Home Energy Reports 20L5 -20L6 Navigant Completed
Home Energy Savings 20t5 -20L6 Cadmus Completed
wottsmart Business 20L4 -20L5 Cadmus Completed
wottsmart Business 20L6 -20L7 Cadmus ln Progress
lrrigation Load Control 20L6 -2017 AEG ln Progress
Page 42 of 42