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advancedenergy

www.advancedenergy.org. North American Energy Standards Board Business Practice Standard Carl L. Wilkins 919 857-9008 cwilkins@advancedenergy.org. Title of Request.

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advancedenergy

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  1. www.advancedenergy.org

  2. North American Energy Standards BoardBusiness Practice StandardCarl L. Wilkins919 857-9008cwilkins@advancedenergy.org

  3. Title of Request Standardized Method for Quantifying Benefits, Savings, Cost Avoidance and/or the Reduction in Energy Demand Derived from the Implementation of Demand Side Management and Energy Efficiency Programs

  4. Background • Advanced Energy history • 1980 non-profit serving utilities and customers in NC • Energy efficiency and renewables • Three IOU’s, NC cooperatives • Annual Report to the NC Utilities Commission • “What if we could easily quantify EE benefits and streamline the process for arriving at consensus?”

  5. Details of Request • Does a standardized method for quantifying the energy and demand impacts for a particular measure exist? (pre-program implementation) • Will the method be transparent and open to peer review? • The same questions apply to benefits as well • Can a set of standards bring clarity and reduce the amount of regulatory debate on the issue?

  6. Details of Request (cont’d) • Can all parties have confidence in the outcome of regulatory proceedings if there are standards for assessing the benefits of the EE/DSM options?

  7. Observation • Increasing energy costs, request for new base-load generation, climate change • Increased interest in utility EE and DSM • Regulators are asked to give strong consideration to supply-side versus demand-side options to mitigate need for future generation • Perception that energy efficiency is either overstated or underappreciated

  8. Observation (cont’d) • Regulatory proceedings have revived long standing debates around utility resource plans • This is not new ground (energy efficiency déjà vu) • “Middle ground” is hard fought • All sides suspect the other’s numbers and believability

  9. Observation (cont’d) • Standard cost effectiveness tests are used, but in the domain of the utility • The inputs to cost effectiveness test are standard, but sometimes perceived as subjective • The outputs of cost effectiveness tests are standard, but can vary based on assumptions

  10. The Challenge • Is this request legitimate, or misinformed observation? • Pre-program versus post-program evaluation? • Is this request unique, or in the purview of another organization (International Performance Measurement and Verification Protocol, NAPEE, etc.)? www.evo-world.org

  11. www.advancedenergy.org 919 857-9000 [phone] 919 832-2696 [fax] 909 Capability Drive, Suite 2100 Raleigh, NC 27606-3870

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