IEA Roundtable on Energy Provider and Consumer Benefits

Background

This Roundtable is the third in the research phase of the IEA study on Capturing the Multiple Benefits of Energy Efficiency – a study which seeks to broaden the discussion of energy efficiency policy as part of wider economic and socioeconomic strategy. The IEA Energy Efficiency Unit began this study in 2012 by considering the many impacts delivered by energy efficiency, identifying 15 key benefits frequently cited in studies, which merit further investigation. An Insights paper published in May 2012 provides a preliminary assessment of this topic and these benefits.

The Energy Efficiency Unit is now running an in-depth study of five selected benefit areas:

• macro-economic benefits and jobs 
• health 
• energy provider and consumer benefits and
• industrial productivity and competitiveness
• public budget impacts

A series of expert round-table discussions focusing on each benefit category are guiding this work, in order to share experience, discuss issues and challenges, and identify and assemble good practice approaches for each benefit category. The Roundtable on the Energy Provider and Customer Impacts of Energy Efficiency featured sessions focused on issues and challenges of unleashing energy provider and consumer benefits through programme targeting; understanding and designing energy efficiency programmes that deliver multiple benefits at the system level – improved reliability, resource portfolio risk mitigation, and lower wholesale energy and capacity prices and sharing practical experience on incorporating the non-energy benefits into programme evaluation, helping to identify some best practise methods. This final session drew out practical advice to be channelled into the IEA publication which is the ultimate output of this project: the Handbook for Policymakers, Regulators and Evaluators.

 DAY 1 – October 15, 2013 

TIME

TOPIC

PRESENTERS

1:30pm

Welcome and workshop opening

Carol Buckley, Director General, Office of Energy Efficiency, Natural Resources Canada

1:45pm

Introduction to the IEA’s project on capturing the multiple benefits of energy efficiency

Grayson Heffner, Senior Energy Economist, International Energy Agency

Session 1.  Unleashing energy provider and consumer benefits through programme targeting: The extra benefits of energy efficiency for utilities and customers are most apparent when programmes are targeted – to defer capacity additions or reduce the costs of serving vulnerable customers. This session will highlight utility industry experience in capturing the multiple benefits of energy efficiency and discuss the issues associated with designing targeted programmes and evaluating non-energy benefits.

Moderator: Mitch Rosenberg, Senior Principal Consultant, KEMA 

2:00 - 3:25 pm

Targeting energy efficiency to realise network deferrals:

Rebecca Craft, Director of Energy Efficiency, Con Edison

Integrating customer demand management (CDM) into distribution operations

Chris Tyrrell, VP, Customer Care & Chief Conservation Officer, Toronto Hydro

Energy optimisation  and operational savings for utilities

Vicki Campbell, Director of Energy Efficiency Programmes, DTE Energy

Making sense of non-energy benefits: Results from the  Weatherization Assistance Programme

Bruce Tonn, President, Three3 and Senior Researcher, Oak Ridge National Lab

Consumer and provider benefits from low-income weatherisation: The Cincinnati experience

Jamie Drakos, Senior Associate, The Cadmus Group

3:25-3:45 pm                                                                      COFFEE BREAK

3:45 – 5:30 pm

Discussion:

• Estimating the network related benefits and  operational benefits including for customers
• Valuation for decision-making purposes of less tangible benefits such as customer satisfaction
• Integrating targeted energy efficiency into network planning and customer operations
• Mitigating regulatory and equity issues associated with programme targeting
• Planning ahead - designing programmes with non-energy benefits in mind

Discussants:

• Rebecca Craft
• Vicki Campbell
• Bruce Tonn
• Chris Tyrrell
• Jamie Drakos
• Shahana Samiullah, Manager, DSM Program Measurement and Evaluation Forecasting, Evaluation, and Portfolio Analysis, Southern California Edison

5:30  - 7:00 pm                                      RECEPTION HOSTED BY CEA AND CGA

8:15-9:00 am                                                      BREAKFAST HOSTED BY IEA

Session 2.  Portfolio, grid, environmental and market operations benefits from energy efficiency: This session will focus on understanding and designing energy efficiency programmes that deliver multiple benefits at the system level – improved reliability, resource portfolio risk mitigation, and lower wholesale energy and capacity prices.

Moderator: Eric Winkler, Demand Side Planning Strategy Leader, ISO-New England

9:00 -10:15 am

Realising the reliability and resource adequacy benefits of energy efficiency in power planning

Tom Eckman, Manager, Conservation Resources, Northwest Power Planning Council

Developing a national framework to unlock the reliability benefits of the connected home

Ed Wisniewski, Executive Director, Consortium for Energy Efficiency

Realising grid and other benefits  through conservation voltage reduction (CVR)

Nicholas Abi-Samra, Senior Vice President,

DNV KEMA

Wholesale price reduction benefits energy efficiency

Doug Hurley, Principal Associate, Energy Economics, Inc.

Valuing environmental benefits

Ken Colburn, Senior Associate, Regulatory Assistance Project (RAP), US

10:15 - 10:35am                                         COFFEE BREAK

10:35

12:00 noon

Discussion:

• Scale issues – what is the critical threshold for energy efficiency to have system impacts?
• Valuing risk mitigation
• Valuing reliability improvements
• Selecting energy efficiency measures to maximize system benefits
• Considering the impact of NEBs on business models in the utilities of the future

Discussants:

• Tom Eckman
• Ed Wisniewski
• Nicholas Abi-Samra
• Doug Hurley
• Ken Colburn
• Chuck Farmer, Ontario Power Authority
• Grayson Heffner, IEA

12:00– 1:45pm:                                                 LUNCH HOSTED BY CEA AND CGA

Session 3. Incorporating non-energy benefits into programme cost-effectiveness evaluation: This session will present practical experience on incorporating the non-energy benefits into programme evaluation, helping to identify some best practise methods. This session will draw out practical advice to be channelled into the IEA publication which is the ultimate output of this project: the Handbook for Policymakers, Regulators and Evaluators

Moderator: Bryan Gormley, Director, Policy, Economics and Information, Canadian Gas Association 

1:45  –

3:15 pm

Perspectives from 20 years  of evaluating energy efficiency’s non-energy benefits

Lisa Skumatz, Principal, Skumatz Economic Research Associates, Inc.

Including non-energy benefits in energy efficiency programme cost-effectiveness evaluation

Justin Brant, Senior Analyst, Electric Department, Massachusetts Dept. of Public Utilities

Aligning energy efficiency policy goals policy goals with cost-effectiveness tests via a new valuation framework

Jennifer Kallay, Senior Analyst, Synapse Energy Economics, Inc.

California’s experience in incorporating non-energy benefits into cost-effectiveness tests

Joy Morgenstern, Senior Regulatory Analyst, California Public Utilities Commission

Including gas energy efficiency  non-energy benefits in Total Resource Cost Test calculations

Sarah Smith, Energy Efficiency and Conservation Director, FortisBC

Incorporating non-energy benefits into cost-effectiveness evaluation in the Southwest of the US

Howard Geller, Executive Director, Southwest Energy Efficiency Project

 3:15 - 3:45pm    COFFEE BREAK

3 :45–
5:30 pm

Discussion:

• Are non-energy benefits large enough to justify the extra effort to estimate them?
• Proven methods and second-best options for quantifying or otherwise valuing NEBs
• Creating space for non-energy benefits within Standard Practice Methods
• Strategies for building credibility with regulators
• Messaging issues – how to adapt communication on NEBs to the interests of various stakeholders?
• What key messages should go into the IEA’s Multiple Benefits Handbook?

Discussants:

• Lisa Skumatz
• Justin Brant
• Jennifer Kallay
• Joy Morgenstern
• Sarah Smith
• Howard Geller
• Elaine Prause, Energy Trust Oregon
• Nina Campbell, Energy Policy Analyst, IEA

 5:30 pm              END OF WORKSHOP