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Residential Retrofit & ARRA

Residential Retrofit & ARRA. Ward Lenz, Director, Energy Office Energy Division – NC Department of Commerce 2010 NC Housing Finance Agency Conference September 17, 2010. Big Changes in the Last Year…. Moved SEO from Administration to Commerce Energy Division

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Residential Retrofit & ARRA

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  1. Residential Retrofit & ARRA Ward Lenz, Director, Energy Office Energy Division – NC Department of Commerce 2010 NC Housing Finance Agency Conference September 17, 2010

  2. Big Changes in the Last Year… • Moved SEO from Administration to Commerce Energy Division • Transfer of Weatherization Assistance Program from DHHS to Commerce Energy Division • Staff increase from 20 to more than 40 (and still hiring) • More levels of bureaucracy and oversight • New management

  3. …Same Old Goal • To ensure a sustainable energy future for the citizens of North Carolina. • Objectives: • Advance energy efficiency • Encourage growth and development in the state’s energy economy • Make NC a leader in the creation of green jobs Image: Center for American Progress. “Efficiency Works: Creating Good Jobs and New Markets Through Energy Efficiency.” September 2010.

  4. SEO Retrofit Programs • Sponsored programs: • Builders of Hope • E-Conservation • In-house programs: • Weatherization Assistance Program • Retrofit Initiative

  5. Weatherization (Wx) • Ten-fold increase in funding • FY 06/07/08: $12-million • FY 09/10/11: $131-million!!! • Four-fold increase in number of homes being improved (3,00014,000) • Increased average unit expenditure from $2,699 to $6,000 • Allows deeper retrofits resulting in even lower energy bills

  6. Wx Objectives • Health and Safety • Building Durability • Client Education and Comfort • Energy Savings

  7. Wx Progress to Date • Houses improved – More than 5,000 • Jobs created • Weatherization Assistance Program (Program administration and quality control) • Local agencies and installers • Energy saved • Average energy bill savings

  8. Retrofit Initiative • Economic development initiative to ensure retrofit market is self-sustaining after ARRA funding ends • Started with an award from the National Governors’ Association • Coordinates and leverages efforts from around the state, not just SEO run programs

  9. Goal: Transform the Market Before After

  10. How? • Collaboration • Open strategic planning process with as many stakeholders as possible • Working groups to discuss specific issues • Focus on infrastructure • Program Elements • Market Development • Business Development • Workforce Development • Quality Assurance

  11. Market Development • Will develop two new programs to supplement existing federal and utility incentive programs: • Existing Homes (Brand TBD, $7-million) Marketing and education/outreach, state-funded incentives, and contractor training • Loan Loss Reserve ($5-million) Encourage the financial industry to develop new loan products that make retrofits more affordable

  12. Business Development • Support and advance existing businesses in the retrofit sector • Retrain out-of-work new construction contractors on retrofit specific knowledge • Develop or modify tools to help new businesses enter the retrofit market

  13. Workforce Development • Create feeders that drive new professionals into well-defined career ladders • Provide training and certification programs that develop workers on these career ladders and increase the level of knowledge across the industry

  14. Quality Assurance • Assure customer satisfaction • Ensure all retrofit measures are installed properly • Measure and verify energy savings • Provide feedback for continuous improvement of all program areas

  15. Retrofit Initiative • Anticipated campaign launch: Dec 15 • Expect to retrofit 3,000-homes in CY2011 • Expect to train and place up to 1,000-persons in retrofit jobs • Will work with third-party administrator to implement

  16. Summary • Build the market • Communications, financing • Support the contractor base • Training, quality assurance • Exit gracefully?

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