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Cambridge Multifamily Energy Innovation Project

Cambridge Multifamily Energy Innovation Project. MIT Energy Efficiency Strategy Project. INTRODUCTION. PROJECT GOAL: ENERGY PROGRAM DESIGN FOR EXISTING MULTIFAMILY HOUSING TIMELINE FALL 2012 – BACKGROUND RESEARCH & CONCEPT DEVELOPMENT SPRING 2012 - PRACTICUM

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Cambridge Multifamily Energy Innovation Project

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  1. Cambridge Multifamily Energy Innovation Project MIT Energy Efficiency Strategy Project

  2. INTRODUCTION PROJECT GOAL: ENERGY PROGRAM DESIGN FOR EXISTING MULTIFAMILY HOUSING TIMELINE • FALL 2012 – BACKGROUND RESEARCH & CONCEPT DEVELOPMENT • SPRING 2012 - PRACTICUM • JUNE 2012 – DELIVERY OF DETAILED PROGRAM DESIGN

  3. PROGRAM COMPONENTS • ENERGY DISCLOSURE FOR ALL BUILDINGS • EXPLORE UPGRADE REQUIREMENTS • ENERGY MAP AND DISCLOSURE PLATFORM • COMMUNITY BASED MARKETING & ENDORSEMENT • INTEROPERABLE CUSTOMER RELATIONSHIP MANAGEMENT • ON UTILITY BILL FINANCING • COMPREHENSIVE SCOPE

  4. CURRENTLY… MassSAVE 1-4 (NSL) • OUTREACH • Cities • Community Groups • Utility advertising • CDC networks • Etc. MF Weatherization MF Market Integrator MF HVAC Fuel Switch LEAN (low income MF) Commercial MA Green Retrofit Initiative

  5. CURRENTLY… • MassSAVE • More comprehensive • HEAT Loan, NSL Loan, CEA loans • Good customer relationship (CRM) • LEAN & MA G.R.I • More comprehensive • Loan products • Good CRM • MF Programs • Disaggregated • HEAT Loan; limited applicability to MF • Poor CRM MassSAVE 1-4 (NSL) • OUTREACH • Cities • Community Groups • Utility advertising • CDC networks • Etc. MF Weatherization MF Market Integrator MF HVAC Fuel Switch LEAN (low income MF) Commercial MA Green Retrofit Initiative

  6. MARKET ANALYSIS

  7. THE STATE OF HOUSING IN CAMBRIDGE RENTALS ARE 65% OF MARKET 95% OF RENTALS ARE MULTI-UNIT 33% OF RENTALS ARE 2-4 UNIT 27% OF HOUSING UNITS ARE CONDOS STUDENTS ARE 27% OF ADULT POPULATION 53% OF RENTAL HOUSEHOLDERS ARE UNDER 35 OVER 60% OF RENTERS HAVE LIVED IN CURRENT HOME LESS THAN FIVE YEARS 52% OF RENTAL UNITS BUILT BEFORE 1940 13% OF RENTAL UNITS USE OIL HEATING HOUSING MARKET DOMINATED BY RENTALS YOUNG RENTAL DEMOGRAPHIC IN TRANSITION HOUSING STOCK PRIME FOR EFFICIENCY

  8. LOCAL BARRIERS TO EFFICIENCY MULTI-FAMILY HOUSING A HARD-TO-REACH MARKET IN ENERGY EFFICIENCY • SPLIT INCENTIVES AND THE “LANDLORD-TENANT PROBLEM” • TRADITIONAL ENERGY EFFICIENCY PROGRAMS HAVEN’T CRACKED THROUGH • DESPITE POTENTIAL FOR GREAT SAVINGS, A MARKET FAILURE LOCAL RENTAL HOUSING MARKET PRESENTS SPECIFIC DIFFICULTIES • NO COORDINATION AMONG MANY SMALL PROPERTY OWNERS • YOUNG, MOBILE RENTAL DEMOGRAPHIC • ADDITIONAL RULES FOR CONDOMINIUMS Creative Commons License, http://www.flickr.com/photos/bradywahl/3942246432/

  9. PROGRAM COMPONENT CONCEPTS

  10. DISCLOSURE & MANDATES ENERGY DISCLOSURE • SIGNAL INTENTION TO MANDATE DISCLOSURE FOR ALL PROPERTIES • OPT-OUT OPTION • AUTOMATED DATABASE POPULATION BY UTILITY (>2 UNITS?) ASSET DISCLOSURE • INCREASINGLY LOW-COST TOOLS TO: • RATE BUILDING EFFICIENCY • SUGGEST UPGRADE OPTIONS • CITY (AND PARTNERS) COULD ISSUE RFP FOR PROVISION OF TOOL & ONLINE PLATFORM FOR MF BUILDINGS UPGRADE MANDATE • ORGANIZE MULTI-GOVERNMENTAL, MULTI-STAKEHOLDER GROUP TO INVESTIGATE LOCAL GOVT. OPTIONS TO MANDATE COST-EFFECTIVE UPGRADES • ORDINANCE • STRETCH BUILDING CODE

  11. OUTREACH STRATEGY CERTIFICATION & RECOGNITION • OWNERS ASSOCIATIONS, CITY & OTHERS CERTIFY PARTICIPANTS • CERTIFY BUILDINGS, PROPERTY MANAGERS, ETC. • PROMOTE TO BROKERS USE DEADLINES • SPECIAL INCENTIVES • BULK PURCHASING COHORTS • LOOMING UPGRADE REQUIREMENT

  12. OUTREACH STRATEGY “REGISTERED MARKETERS” • ASK PROGRAM PARTICIPANTS WHO INFLUENCED THEIR PARTICIPATION AT END OF ENGAGEMENTS • PAY FOR PERFORMANCE – HOW MUCH IS A LEAD WORTH? ANY ORGANIZATION CAN BE A “REGISTERED MARKETER” COMMUNITY OUTREACH • PEER-TO-PEER, NEIGHBOR-TO-NEIGHBOR & CONTRACTOR-TO-CUSTOMER • SOLICIT COMMITMENT • MEETINGS BASED, WHERE POSSIBLE • PROPOSAL NEEDS TO BE VETTED BY TRUSTED NETWORKS

  13. FACILITATING DEEP GREEN RETROFITS MF DEEP UPGRADE CHALLENGES • MULTI-UNITS – REQUIRES RAPID UPGRADES, IDEALLY UNIT BY UNIT • VARIOUS HEATING SYSTEMS; DIFFERING UPGRADE OPPORTUNITIES • PREVALENCE OF OLDER MASONRY CONSTRUCTION TECHNICAL OPPORTUNITIES • EXPLORE SOLUTIONS TO MULTI-UNIT STEAM & HW HEATING • POTENTIAL FOR SUPER-INSULATIVE, THIN INTERIOR INSULATION PROGRAM ROLES • AGGREGATION & BULK PURCHASING • CAPITAL ASSET MANAGEMENT ASSISTANCE • ENERGY INFORMATION FEEDBACK

  14. DELIVERY VEHICLES EXTEND & EXPAND MA GREEN RETROFIT INITIATIVE • BLAH BLAH BLAH INTEGRATE INTO UTILITY PROGRAM PORTFOLIO • BLAH BLAH BLAH

  15. THANKS!

  16. http://www.city-data.com/neighborhood/Cambridgeport-Cambridge-MA.htmlhttp://www.city-data.com/neighborhood/Cambridgeport-Cambridge-MA.html

  17. Part 1: Introduction • Intro (Brendan) • Program components • Summary of existing MF programs • Summary of potential delivery vehicles • Market Analysis (Ryan) • Part 2: Recommendations and Considerations • Mandates and Disclosure Ordinances (Brendan) • Data Tools (Alexis) • Organizing Strategies and Marketing (Ryan) • Financing (Adi) • Deep Upgrades and Ongoing Engagement (Brendan) • Part 3: Conclusion • Potential Delivery Vehicles (Brendan)

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