Metropolitan Area Planning Council Clean Energy Division Presentation to the South Shore Coalition February 28, 2013

MAPC Clean Energy Division Staff Rebecca Davis Energy & Government Affairs Manager Helen Aki Clean Energy Program Coordinator Erin Brandt Energy Planner Ani Krishnan Energy Planner

MAPC Clean Energy Programs 1.Regional Energy Projects 2.Local Energy Action Program 3.Energy Technical Assistance

Regional Energy Projects 1.Energy Service Company (ESCO) Procurement  9/14 communities have signed audit agreements 2.Regional Solar Initiative  17 communities could get solar with no capital investment 3.LED Streetlight Purchasing Program  4 towns will save over $300k and 2 million kWh annually 4.Shared Energy Services  1 staff person hired to date Helping communities obtain lower pricing and better quality energy goods and services

Regional Energy Projects Everett Rockport Gloucester Beverly Topsfield Winthrop Norwell Weymouth Sharon Bedford Melrose Reading Woburn Medford Chelsea Arlington Belmont Weston Brookline Boxborough Hudson Marlborough Sudbury Wayland Framingham Natick Ashland Sherborn Medway MAPC Regional Projects ESCO Solar LED Shared-Energy Manager Multiple Projects Melrose ESCO Solar Chelsea ESCO LED Solar Arlington ESCO LED Shared-Energy Manager Wayland ESCO Solar Sherborn ESCO Solar

What is an ESCO and how does energy performance contracting work? ESPC = EMSA ESCOE nergy S ervices Co mpany ESPC E nergy S avings P erformance C ontract EMSA E nergy M anagement S ervices A greement Performance contracting is a mechanism for capital improvements and asset modernization. It’s more than just energy savings!

ESCO 101  Up to 20 year term  Guaranteed energy savings  ESCO identifies and installs project measures; monitors savings  Upfront investment in projects repaid through savings over term of contract  Annual savings must exceed debt services

ESCO Cash Flows 1)Town secures project financing  Common misconception: “the ESCO pays for the projects.” This is false. 2)ESCO is paid as projects are completed 3)Energy savings should exceed debt service  Important: keep utility line flat! 4)Savings are measured and verified 5)Actual savings reconciled against guarantees COSTS IGA breakage fee ($10-50k) Owner’s Agent fee ($10-50k) Financing for full EMSA (total project cost)

LED Streetlight Purchasing Program 1. Networking & Peer Learning  Informational roundtables  Vendor panels & demos  Other ideas as proposed 2. Information Clearinghouse  MMEG forum tool MMEG forum tool  Past projects & existing inventories  Model documents 3. Collective Procurement  State contract FAC76  Grouping Solicitations for Quotes

LED Streetlight Decision Process  Do you own your streetlights?  Currently, streetlight ownership is necessary  Who is your utility?  NSTAR, National Grid, and municipal utilities will have different incentives and tariff structures  Have you retrofitted other lights or conducted pilots?  Parking lots, ornamentals, flood lights, wallpacks  Community input is important  Have you completed a streetlight inventory & audit?  Compare utility data to installed lights  Consult with local stakeholders on classifications (i.e., areas of high pedestrian conflict)  Determine required lighting standards (IESNA RP-8) Communities should answer these questions individually before purchasing lights for a retrofit.

State Contract FAC76, Category 6  Selected vendors offer % discounts  Group orders can negotiate further  “Work in progress”  Actively seeking input from communities on additional products/manufacturers  Includes: street lighting, post-top fixtures, floodlights and wall-lighters

What is a solar EMS contract?  Package of services procured under one solicitation through 25A  Up to 20 year service agreement  NOT a public works contract!  Developer is responsible for:  PV system design, financing, installation  Taking advantage of tax incentives, etc  Operations, maintenance, system removal  System performance guarantee  Community is responsible for:  Long-term lease of public space  Purchase of PV electricity A solar EMS contract is a way for communities to benefit from local solar energy without upfront capital investment or the risks of system ownership, e.g. free solar!

Local Energy Action Program (LEAP)  Municipal energy baselining  Community energy profiling  Facilitating conversations between utilities and municipalities  Developing clean energy/efficiency programs for municipal utilities  Connecting municipalities to energy service vendors  Clean energy toolkits and best practices  Community outreach and visioning  Energy Plans Helping communities plan for community-wide clean energy efforts.

Local Energy Planning In Action Annual Commercial Energy Consumption in Stoughton Electricity 110 million kWh Natural Gas 4.8 million therms Fuel Oil 320 thousand gallons Stoughton Energy Consumption by Sectors (FY 2009)

Energy Technical Assistance  Green Communities application and designation  Revere & Beverly designated; received over $550k in grants  Energy grant writing and management  DOER municipal utility grant -$50k for demand response pilot  National Grid Community Initiative in Medford  Owner’s Agent Technical Assistance Grants - $12k to Chelsea  MassCEC Clean Energy Strategies Program  Mass Energy Insight Management  Established 13 municipal accounts (more than anyone else in state!) Helping communities successfully implement specific energy projects.

How can MAPC help your community? Let us know! Helen Aki, Clean Energy Program Coordinator Ani Krishnan, Energy Planner