1. EE&SE Board Update Prepared by: Goals Work Group 8 January 2010

2. 2 EE&SE Goal Work Group  Group’s Charge: Identify the key results- oriented actions and corresponding milestones, that if successfully implemented, will achieve the EE&SE Board’s Vision 2025. And secondarily, develop an “elevator speech” version of the vision.

3. 3 EE&SE Emissions Reduction Goal Buildings Electric To reduce overall emissions 20% below 1990 levels, the Buildings and Electric Sectors need to be 50% below.

4. 4 What We Need To Do  Building Sector Reduce energy consumption by 60% in all existing homes Reduce energy consumption by 60% in all existing homes Reduce energy consumption in existing commercial, industrial, and municipal buildings by 50% Reduce energy consumption in existing commercial, industrial, and municipal buildings by 50% Over time, all new buildings to use zero net energy Over time, all new buildings to use zero net energy  Electric Sector Reduce emissions associated with electricity production 10% below RGGI requirements Reduce emissions associated with electricity production 10% below RGGI requirements

5. 5 Buildings - What Will It Take?  Three Scenarios Studied Uniform (Climate Action Plan Assumption) Uniform (Climate Action Plan Assumption) Annual retrofits: 30k residences, 2.4k commercial, 145 industrial reducedAnnual retrofits: 30k residences, 2.4k commercial, 145 industrial reduced New Construction: 6.7k residences, 1050 commercialNew Construction: 6.7k residences, 1050 commercial Ramp-up Ramp-up Annual retrofits: residential - 5k  40k over 10 years then stays at 40k commercial – 1k first 3 years, 2k next 3 years, 3k thereafter industrial – 100 increases to 160 over 10 yearsAnnual retrofits: residential - 5k  40k over 10 years then stays at 40k commercial – 1k first 3 years, 2k next 3 years, 3k thereafter industrial – 100 increases to 160 over 10 years Delay Delay Do nothing for five yearsDo nothing for five years Ramp-up and complete all residential, commercial, and industrial in next 10 yearsRamp-up and complete all residential, commercial, and industrial in next 10 years  Summary Of Results Uniform and Ramp-up Scenarios Uniform and Ramp-up Scenarios Identical annual emissions in 2025Identical annual emissions in 2025 Building+Electric Sectors 37% below 1990 in 2025Building+Electric Sectors 37% below 1990 in 2025 Overall emissions from all sources 12.4% below 1990 vs. 20% goalOverall emissions from all sources 12.4% below 1990 vs. 20% goal Delay scenario Delay scenario 2025 emissions are 8.3% above Uniform and Ramp-up scenarios2025 emissions are 8.3% above Uniform and Ramp-up scenarios Overall emissions from all sources 6.8% below 1990 vs. 20% goalOverall emissions from all sources 6.8% below 1990 vs. 20% goal

6. 6 Electric Sector – Goal Alignment  RGGI Regional program - results based on total reductions in 10 states Regional program - results based on total reductions in 10 states Establishes a regional cap which is reduced 2.5% in 2015, 2016, 2017, and 2018 Establishes a regional cap which is reduced 2.5% in 2015, 2016, 2017, and 2018 Emission sources must reduce or purchase allowances from those who do reduce Emission sources must reduce or purchase allowances from those who do reduce Individual states can be higher or lower Individual states can be higher or lower  Climate Action Plan Assumes NH achieves 10% below RGGI average Assumes NH achieves 10% below RGGI average

7. 7 Carbon Emissions Sector Comparison 1990 to 2025 60% 33% 7% 55% 43% 2% 1990 2025

8. 8 Issues/Next Steps  Vision to reduce expenditures by 20% may not align with reducing emissions to 20% below 1990 levels.  Additional actions will be needed to reach 50% reductions in the Buildings and Electric Sectors  Next Steps Identify actionable items to support Electric Sector reductions Identify actionable items to support Electric Sector reductions “Drill down” all actions to include milestones, resource requirements, and supporting actions. “Drill down” all actions to include milestones, resource requirements, and supporting actions.