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California HVAC Program Strategy 2009-2011 IOU Program Overview CPUC HVAC Workshop June 24, 2009.

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Presentation on theme: "California HVAC Program Strategy 2009-2011 IOU Program Overview CPUC HVAC Workshop June 24, 2009."— Presentation transcript:

1 California HVAC Program Strategy IOU Program Overview CPUC HVAC Workshop June 24, 2009

2 California HVAC Program Strategy 2 AB 2021 “A revitalized HVAC industry will contribute to increased energy efficiency and reduced peak electricity use. California’s consumers will recognize and demand quality installations and maintenance services of cooling and heating systems that result in lower peak energy use, better comfort, higher reliability, and better indoor air quality…”

3 California HVAC Program Strategy 3 The Strategic Plan Section 6: Heating, Ventilation and Air Conditioning “The residential and small commercial HVAC industry will be transformed to ensure that technology, equipment, installation, and maintenance are of the highest quality to promote energy efficiency and peak load reduction in California’s climate.”

4 California HVAC Program Strategy 4 Strategic Planning Goals 1.Consistent and effective compliance, enforcement and verification of HVAC-related building and appliance standards. 2.Quality installation and maintenance becomes the industry and market norm. 3.Whole building design and construction practices fully integrate building performance objectives to reduce cooling and heating loads. 4.New climate-appropriate HVAC technologies (equipment and controls, including system diagnostics) are developed with accelerated market penetration. HVAC-related permits are obtained for 50 percent of installations by 2015 and 90+ percent by By 2020, 100 percent of systems are installed to quality standards and optimally maintained throughout their useful life. Integrated design and construction practices are standard practice by At least 15 percent of equipment shipments are optimized for California’s climate by 2015 and 70 percent by Goal Goal Results

5 California HVAC Program Strategy Statewide HVAC Program  Comprehensive statewide set of downstream, midstream and upstream strategies designed to ensure that: HVAC technology, equipment, installation, and maintenance are of the highest quality; Quality installation and maintenance practices are easily recognized and requested by customers; The HVAC value chain is educated and understands their involvement with energy efficiency and peak load reduction; and The above changes lead to sustained profitability for HVAC trade allies as the business model for installing and maintaining heating and cooling systems changes from a commodity-based to a value-added service business

6 California HVAC Program Strategy Statewide HVAC Program  Consists of seven parts: Core (over arching program description and implementation plan) Technologies & Diagnostics Advocacy HVAC Workforce Education & Training Energy Star Residential QI Commercial QI Residential QM & Commercial QM Development Upstream Equipment

7 California HVAC Program Strategy 7 Core Establishes “HVAC Program Management Team.” Establishes “Joint Program Management Team” consisting of IOU Program Managers from HVAC, Codes & Standards and Emerging Technologies. Establishes the “HVAC Industry Leadership Task Force.” An innovative, collaborative, coordinated effort to transform utility- administered HVAC efficiency programs:

8 HVAC Program Management Codes & Standards Program Management Emerging Technologies Program Management IOU Joint Program Management Team (Coordination of program activities) Western Cooling Efficiency Center Technology and Systems Diagnostics Advocacy ENERGY STAR Residential Quality Installation Residential and Commercial Quality Maintenance Upstream HVAC Equipment Incentives HVAC Workforce Education & Training Statewide Residential and Commercial HVAC Program Commercial Quality Installation Statewide Codes & Standards Program Statewide Emerging Technologies Program Statewide Workforce Education & Training Provide insight, guidance and prioritization of statewide HVAC efforts Manage program activities under direction from IOUs Provide management and oversight of all HVAC program activities Coordination and sharing of information/best practices EPA ENERGY STAR Provide program guidance and participation requirements Facilitate and act as a resource for implementation of Task Force activities Third-Party Programs Ensure consistent HVAC standards are implemented across 3P programs HVAC Industry Leadership Task Force California HVAC Program Strategy

9 9 Technologies & Diagnostics Advocacy Comprehensive technical and policy-based action that addresses HVAC’s critical role in achieving California’s “Zero Net Energy” goals

10 California HVAC Program Strategy 10 Technologies & Diagnostics Advocacy Key Activities »Establish partnership with Western Cooling Efficiency Center »Benchmark/prioritize in field diagnostics and maintenance approaches »Accelerate the market introduction of a range of advanced evaporative-based cooling technologies »Increase, optimize and maintain the energy and peak efficiency performance of vapor-compression– based cooling equipment »Stimulate market-based solutions to widespread adoption of FDD Comprehensive technical and policy-based action that addresses HVAC’s critical role in achieving California’s “Zero Net Energy” goals New climate-appropriate HVAC technologies (equipment and controls, including system diagnostics) are developed with accelerated market penetration.

11 California HVAC Program Strategy 11 HVAC Workforce Education & Training Dedicated effort that offers education and training opportunities targeted at all levels of the HVAC value chain

12 California HVAC Program Strategy 12 HVAC Workforce Education & Training Key Activities »Deliver consistent training on ANSI accredited Quality Installation (QI) and Quality Maintenance (QM) through industry training channels »Create profitable pathways for HVAC industry practitioners who wish to migrate from HVAC-only to “house as a system” services »Develop university level curriculum on whole-building design »Establish advanced HVAC training centers, building on a combination of IOU-managed centers, existing HVAC training infrastructure and the education community Dedicated effort that offers education and training opportunities targeted at all levels of the HVAC value chain Quality installation and maintenance becomes the industry and market norm Whole building design and construction practices fully integrate building performance objectives to reduce cooling and heating loads

13 California HVAC Program Strategy 13 Commercial Quality Installation Promote the design and installation of commercial systems per the appropriate industry standards (e.g. ACCA, SMACNA and ASHRAE)

14 California HVAC Program Strategy 14 Commercial Quality Installation Key Activities »Highlight importance of using minimum standards and encourage their use to size, select, install and commission new and replacement equipment »Raise the quality level of middle-tier contractors by setting minimum performance standards »Demonstrate the value to consumers of a properly designed and installed system »Demonstrate the value to contractors of a sustainable business model based on quality Promote the design and installation of commercial systems per the appropriate industry standards (e.g. ACCA, SMACNA and ASHRAE) Quality installation and maintenance becomes the industry and market norm Consistent and effective compliance, enforcement and verification of HVAC-related building and appliance standards.

15 California HVAC Program Strategy 15 ENERGY STAR® Residential Quality Installation Financial incentives to homeowners who have a system installed in accordance with ANSI/ACCA 5 QI-2007: HVAC Quality Installation Specification

16 California HVAC Program Strategy 16 ENERGY STAR® Residential Quality Installation Key Activities »Highlight importance of using minimum standards and encourage their use to size, select, install and commission new and replacement equipment »Raise the quality level of middle-tier contractors by setting minimum performance standards »Demonstrate the value to consumers of a properly designed and installed system »Demonstrate the value to contractors of a sustainable business model based on quality Financial incentives to homeowners who have a system installed in accordance with ANSI/ACCA 5 QI-2007: HVAC Quality Installation Specification Quality installation and maintenance becomes the industry and market norm Consistent and effective compliance, enforcement and verification of HVAC-related building and appliance standards.

17 California HVAC Program Strategy 17 Residential QM and Commercial QM In partnership with the HVAC industry, deploy two comprehensive O&M programs that improve system performance, capture savings and provide a high ROI to the end-user

18 California HVAC Program Strategy 18 Residential QM and Commercial QM Key Activities »Quantify energy savings benefits of “quality” and “premium” residential and commercial maintenance services »Evaluate feasibility of measures that improve system performance (i.e. TXV retrofits, economizers, DCV, portable FDD, ECM motors, etc.) »Demonstrate the value to consumers of a) properly maintained systems (per industry standards) and of b) new, but proven “premium” maintenance practice »Demonstrate the value to contractors of a sustainable business model based on quality and premium maintenance In partnership with the HVAC industry, deploy two comprehensive O&M programs that improve system performance, capture savings and provide a high ROI to the end-user Quality installation and maintenance becomes the industry and market norm

19 California HVAC Program Strategy 19 Upstream Equipment Influence distributor and manufacturer stocking and sales practices to increase the market share of energy efficient equipment

20 California HVAC Program Strategy 20 Upstream Equipment Key Activities »Influence contractor equipment specification choices by increasing the available stocking of high efficiency HVAC equipment »Create a regional coalition of utilities that adopt a consistent delivery approach for residential and commercial equipment incentives »Use program to influence manufacturer development and contractor stocking of equipment that performs optimally in California’s climate Influence distributor and manufacturer stocking and sales practices to increase the market share of energy efficient equipment New climate-appropriate HVAC technologies (equipment and controls, including system diagnostics) are developed with accelerated market penetration

21 California HVAC Program Strategy 21 Upstream Incentives


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