Low Income Programs - Hydro One Experience Ian Campbell Conservation and Demand Management Hydro One Networks

Low Income Programs: Private Residences Hydro One has been providing free retrofit programs for its low income customers since 2005 Home Energy Efficiency Grant Audits, basic measures such as CFLs, programmable thermostats, clothes racks, and extended measures such as upgraded insulation & air sealing With CMHC / NRCan - 2005 – 2006 With OPA 2006 Application for funding to OPA in 2008 First Nations Audits, basic (as above) and extended measures such as air sealing & upgraded insulation, EE appliances Chippewas of Georgina Island in 2006 6 communities in 2007

1. Hydro One Home Energy Efficiency Grant Hydro One/CMHC/NRCan agreement signed in 2005 – provided model for Energuide for Low Income Households (EGLIH) First agreement of its type in Canada Hydro One provided up to $3,000 for EE improvements for low income households with electric space heating Leveraged RRAP and Energuide for Houses frameworks for delivery 24 customers that were in the process before Energuide for Houses was cancelled in 2006 received free retrofits

Home Energy Efficiency Grant – Low Income Customers (pre EGLIH) (cont’d) $3,000 for energy efficiency initiatives for low income homeowners with electric space-heated homes Forgivable loan to customers to upgrade sub-standard housing to minimum health and safety standard Promoted Hydro One program, processed applications, screened for eligibility Home pre-and post energy audit free to customer (value $300-$500)

Home Energy Efficiency Grant – Low Income Customers (pre EGLIH) (cont’d) May 2006 – Energuide for Houses cancelled 46 applications had been received 30 had completed pre-audit 24 homes were retrofitted 177,000 annual kWh saved

2. Home Energy Efficiency Grant – Low Income Customers (post EGLIH) The OPA conducted a low income pilot in 2006-2007 Hydro One leveraged the OPA delivery structure to deliver a program to all its low income customers in areas that could be served by the OPA selected vendors Hydro One screened customers for electric space heating for vendor marketing, provided bill messages and directed customers with payment issues to the program The vendors screened customers for eligibility, conducted audits and coordinated installation of all basic and extended measures 259 Hydro One low income customers received retrofits

Home Energy Efficiency Grant – Low Income Customers (post EGLIH) (cont’d) Funded home audits and basic measures for all customers Provided capped funding for extended measures for non-Hydro One customers Provided funding for deeper extended measures than Conservation Bureau, but only for Hydro One customers Qualified customers, and oversaw audits & retrofits within contracted service territories across Ontario.

3. First Nations Pilot Provided education, basic EE measures & comprehensive retrofits Chippewas of Georgina Island 91 homes eligible Up to $3,000 per home

First Nations Pilot (cont’d) - Chippewas of Georgina Island Approach involved entire community at the same time – 3 phases Assessment, education and implementation of basic conservation measures - for all homes in the community (70) CFLs, low flow shower heads, programmable thermostats, pipe wrap 2. Energuide for Houses energy audit & installation of extended conservation measure – for electrically heated homes (15) furnaces & appliance replacement, weather sealing, insulation 3. Verification & Evaluation – resulted in 5% reduction in energy usage

4. First Nations and Energuide for Houses Pursued retrofits (similar to Georgina Island) of houses in FN communities, where A audits had been conducted before EnerGuide First Nations program was cancelled. 6 communities were identified with a significant number electrically heated homes, with previously completed A audits (indicating retrofits that could be justified by the TRC test, but on which the work had not been undertaken) Each community visited to complete the targeted retrofits While in the each community, other houses were identified that required basic and/or extended retrofit measures and they were completed while in the community 125 homes received basic and/or extended measures

5. Social Housing Program Partnership with Social Housing Services Corporation (SHSC) Other funding partners – NRCAN, OPA, Gas Companies $2.5 M funding from Hydro One Pilot stage in 2005 2 year program 2006-2007 5,040 homes participating in 112 buildings within Hydro One territory 22,000 measures installed Funded by Hydro One Dx Rates (MARR) Initial Projection was 4500 homes to be retrofitted. Hydro One exceeded target and retrofitted 5040.

Social Housing Program (cont’d) What was retrofitted and upgraded? In Suite Lighting Smart thermostats for in-suite heating/cooling (with instruction for residents) Upgrade of window AC Energy efficient refrigerators In Common areas Lighting HVAC upgrades and control Air Sealing and insulation upgrades Domestic hot water upgrades

Social Housing Program (cont’d) Incentive – $400 average per home + $50 for Training + $50 for Pre-audit = $500 per home Results – 1,400 kWh savings per home (15%) 83 million kWh lifecycle 722 kW

Lessons Learned Leverage existing channels Partnering with other organizations brings existing skills and knowledge to bear also avoids duplicate or counter-productive activities Utilize existing low income definitions used by social or govt. agencies Identifying, and thus marketing, to low income customers is difficult