1. Assessing Electric Utility Incentives and Support Fred Yebra, P.E. Energy Engineer State Energy Conservation Office July 28, 2015 Presentation to the Association of Energy Engineers (AEE) by

2. PUCT Substantive Rule 25.181 Requires utilities to offer energy efficiency cash incentive programs to utility customers In 2013, goal increased to 30% of annual electric load growth for energy efficiency savings Rule allows cost recovery for energy efficiency in rates

3. 2014 Energy Efficiency Budgets by TDUs $143 Million budgeted for energy efficiency Only $131 Million was spent in 2014 A total of 541,000 Mega-watt-hours saved is equivalent to: 373,047 metric tons of CO2 Electric power for 51,303 homes for one year 890 Million vehicle miles traveled, or 2,000 railcars worth of coal burned

5. Energy Efficiency Utility Incentives Building envelope improvements like insulation, roofing, weatherization, etc. Energy efficient motors, HVAC equipment, high efficiency lighting (LEDs, CFLs) Retro-commissioning, PV systems, peak load management Most utilities offer technical assistance to help identify and evaluate opportunities

6. Energy Efficiency Utility Incentives Rebates help pay down a portion of the retrofit measures installed costs Rebates paid based on energy $/kWh-saved or peak demand $ per kW-reduced Rebate payments range from 20% to 40% of project installed costs Cash Incentives can be combined with other funding to improve project payback

7. Texas Electric Cooperatives and Municipal Utilities Some utilities offer cash incentives for energy efficiency improvements Before installing EE projects contact the utility rep Link to TDUs to find your representative: http://www.texasefficiency.com/index.php/utility- programs/eligibility http://www.texasefficiency.com/index.php/utility- programs/eligibility Link to Municipal Utilities and Electric Cooperatives: www.dsireusa.org www.opuc.texas.gov/energyefficiency.html

10. For questions contact: Fred Yebra, P.E. State Energy Conservation Office Fred.yebra@cpa.texas.gov 512-475-0753