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For National Association for State Community Services Programs Turning Carbon Savings from Residential Energy Efficiency Retrofits into a New Revenue Stream. Jo-Ann L. Choate, MaineHousing March 1, 2012. The Carbon Quantification Project Timeline. Develop weatherization methodology. 2008.
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For National Association for State Community Services ProgramsTurning Carbon Savings from Residential Energy Efficiency Retrofits into a New Revenue Stream Jo-Ann L. Choate, MaineHousing March 1, 2012
The Carbon Quantification ProjectTimeline Develop weatherization methodology 2008 2009 2010 2011 Weatherization methodology finalized Verify and sell carbon emission reductions
Carbon Quantification Project: Here’s How It Works CarbonEmissionReduction (ERs) Measured bya validatedmethodology Verified by an accreditedthird partyverifier Weatherize A Home Energy Data Repository Start Here Recorded ina CarbonRegistry Weatherize more homes ERs soldin the market Buyers Purchase ERs
Essential Steps to Carbon Savings Choose Category Choose Approach Calculate Emission Reductions Monitor Emission Reductions Prove Additionality Performance Standard
Four Eligible Categories • Category A: Whole house retrofit • Category B: Building envelope improvements • Category C: Appliance replacement • Category D: Mobile home replacement
Whole House • Category A: • Electric & fuel savings • Appliances • Central heating • Insulation • Air sealing • This category is not applicable in Maine under RGGI.
Building Envelope • Category B: • Fuel savings • Central heating • Insulation • Air sealing • The MaineHousing Project will use this category. Pictures of houses
Category C: • Electricity savings • Appliance Replacement • This category is not applicable in Maine under RGGI. Appliance Replacement
Category D: • Electricity & fuel savings • Only the fuel savings are eligible in Maine. Mobile Home Replacement
Essential Steps to Carbon Savings Choose Category Choose Approach Calculate Emission Reductions Monitor Emission Reductions Prove Additionality Performance Standard
Five Approaches to Calculate Emission Reductions • Adjusted consumption • Pre-and post-retrofit audit • Control group • Deemed savings • Mobile homes replacement
Categories Approaches Whole House Retrofit 1. Adjusted Consumption 2. Pre- and Post-retrofit audit Building Envelope 3. Control Group Appliance Replacement 4. Deemed Savings 1. Adjusted Consumption Mobile Home Replacement 3. Control Group 5. Mobile Home
Essential Steps to Carbon Savings Choose Category Choose Approach Calculate Emission Reductions Monitor Emissions Reductions Prove Additionality Performance Standard
Baseline: Energy consumed by a given dwelling for one year prior to project implementation. Emission reduction calculations are measured from the baseline. Baseline Fuel Consumption Calculated Emission Reductions Project Year Fuel Consumption
Emission reductions = y = Year i = Dwelling J = Fuel type I = # of Dwellings HDDCFy = Heating degree days correction factor Fb,i,j= Baseline consumption year prior Fp,y,i,j= Project consumption in year y following Calj= Calorific value of fuel FCO2,j = CO2 emissions factor of fuel Ly= Leakage
Essential Steps to Carbon Savings Choose Category Choose Approach Calculate Emission Reductions Monitor Emission Reductions Prove Additionality Performance Standard
Owners Wx Contractor Pre Retrofit Energy Audit Post Retrofit Energy Audit Prioritized WxTasks ECOS Detailed Work Order Energy Conservation Online System EDR Energy Data Repository Policy Guidance Detailed Reports Statistical Analysis
Essential Steps to Carbon Savings Choose Category Choose Approach Calculate Emission Reductions Monitor Emissions Reductions Prove Additionality Performance Standard
A Ton of CO2 must be Additional in order to be sold Additionality: But for the Project (that weatherizes homes) the energy savings would not have happened
The performance standard is a benchmark above which energy improvements in the home are not business as usual Performance Standard Benchmark Energy savings in NON-Weatherized Homes Energy savings in Weatherized Homes -4% -2% 0% 4% 15% 24% 50% Percent Savings
Benefits of Selling CO2 • Revenue for energy efficiency retrofits • Comprehensive, transparent, & verified data • Proof of public benefits • Managing projects • Tracking performance • Analysis and reports
Steps to Bring Carbon Savings to Market • Scope and Plan Project • Identify and Manage Carbon Data • Write Project Description • Validate Project Description • Verify Offsets • Register and Sell Offsets