July 12, 2022
Board of Directors Meeting
2 ENERGY EFFICIENCY
PROGRAM
July 12, 2022
AGENDA ITEM 9.2
AGENDA
1. Objectives
2. Background and timeline
3. Program Plan summary
4. Elect To Administer Pathway
5. Next Steps
6. Questions
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
OBJECTIVES
1. Present proposed Energy Efficiency Program
Plan requesting over $2 million in customer
program funding over 3 years
2. Obtain Board approval to submit the Program
Plan to the CPUC
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
BACKGROUND
● OCPA and The Energy Coalition (TEC) began
working on customer program development in
early 2021
● OPCA and TEC identified energy efficiency
program funding as an existing, available
resource for OCPA to implement locally
designed/run programs
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
BACKGROUND
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
NEXT STEPS – UPDATE
Previously presented at September Board Meeting
Energy Efficiency Programs
1. Further analysis to determine programs best fit for ETA (completed) - October - December 2021
2. Develop application for 1-3 programs for ETA (completed) - December - June 2022
3. Board approves of the final application for ETA (today)
4. Continued coordination with partners for co-funding opportunities (ongoing)
5. Develop application for all 7 programs for ATA (ongoing)
6. Board approves of the final application for ATA (2023) Other Energy Programs (eg EV, Solar, etc.)
1. Continue to explore additional funding pathways, such as Infrastructure Fund opportunities ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
TIMELINE
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
Seven Initial Programs
1. Three business/Industry
2. Two residential
3. One worker match and training program
4. One public agencies
Two Funding Pathways
1. Streamlined path (elect to administer)
○ capped budget and stringent requirements
2. Regular path (apply to administer)
○ no funding cap and more flexibility
Strategy:
Focus on one
program for
streamlined path
and then seek
funding for all
seven through
regular path
PROGRAM
PLAN
SUMMARY
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
PROGRAM PLAN AT A GLANCE
Name OC Power Savers
Target
Audience
Residential, with a focus on customers
in disadvantaged communities
Purpose
1) Provide tailored energy-saving
insights to OCPA residents
2) Offer rebates to make energy-efficient equipment more attainable ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
Why residential?
● Residential customers are over 80% of accounts by count ● Provide value to and help a large number of customers reduce consumption and cost
● Increase OCPA brand awareness
● Program can meet CPUC requirements
OC POWER SAVERS
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
Home Energy Report
● Provide energy insights and
comparisons to encourage behavior
change
● Promote opportunities for deeper
savings through available rebates
OC POWER SAVERS
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
Rebates for Energy-Efficient Equipment
● Application will aim to allow program
flexibility for types of energy
efficiency measures
● Submitting with electrification
measures: heat pump water heaters
and heat pump HVACs
OC POWER SAVERS
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
Marketing and Outreach
● Will be provided in 8 languages
○ English, Spanish, Vietnamese, Korean, Chinese, Tagalog, Japanese, Farsi
● Will collaborate industry partners
○ contractors, trade, CBOs, member agencies
● Will leverage the Home Energy Report as a
marketing tool
○ Will allow for targeting and promotion of rebates from OCPA or other relevant programs
OC POWER SAVERS
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
Target Customers
OC POWER SAVERS
Rebates Home Energy Report
●Available for all/any residential
OCPA customer
●Targets would be homeowners
●Potential additional incentive
for customers in disadvantaged
areas
●Residential OCPA customers
that are not master-metered
●Potential to prioritize
customers in disadvantaged
areas that are not on CARE
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
Program Impacts (over 3 years)
OC POWER SAVERS
ELECT TO
ADMINISTER
PATHWAY
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
ELECT TO ADMINISTER PATHWAY
In filing the ETA, OCPA will be the first CCA to:
● File an ETA application prior to complete launch (residential) ● File ETA application in SDG&E territory
● File ETA application by anyone in dual electric IOU territory ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
ETA FUNDING DETERMINATION
Background
● SB 790
○ Established the Elect to Administer (ETA) option in order to simplify the process for CCAs to access energy efficiency funding on behalf of their customers.
● D.14.01.033
○ Established a funding cap formula, which allows CCAs to claim the portion of their customers’ EE ratepayer dollars that were attributed to “local” programs.
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
ETA FUNDING DETERMINATION
Now
● IOUs have shifted programs from “local” to statewide and regional. 2022 local program budget is nearly 0%
● Therefore, if OCPA used the same methodology as previous ETA applications, program total budget would be ~$50,000
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
ETA FUNDING DETERMINATION
Solution
● Include non-IOU local programs such as RENs in the calculation Approach used
by other CCAs
New proposed
approach
3-Year ETA
Budget Max ~ $50,000 ~ $2 million
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
ETA: STAKEHOLDER COORDINATION
OCPA has conducted meetings with the following
parties to share the funding calculation approach:
● Ex Parte Meetings with Commissioners’ Houck and Shiroma ● CPUC Staff
● SoCalREN, SCE and SDG&E (also discussed cross-program collaboration opportunities)
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
ETA: APPLICATION
What it is /
What happens now
What it is not /
What comes later
●Funding request submitted to the
CPUC, which upon approval allows
OCPA to implement its own local
energy efficiency program
● Includes a three-year fixed program
budget cap
●Establishes the program type and
program plan (residential)
●Allows for other details (incentivized
measures, technologies) to be
flexible
●Determine how to proceed with
implementation
●Selection of software/platform
●Detailed outline of process and
specific incentivized
measures/technologies
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
ETA: APPLICATION
Benefits to OCPA
● Over $2 million in funds over 3 years
● Local control over energy efficiency program funds (as opposed to IOU-run programs)
● More visibility for OCPA
ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
ETA: APPLICATION
Other ETA Applicants
● East Bay Community Energy
● San Jose Clean Energy
● Clean Power SF
● Marin Clean Energy
● Redwood Coast Energy Authority
● Sonoma Clean Power
● Peninsula Clean Energy
● Lancaster Choice Energy (only SCE area ETA, submitted 2016) ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
NEXT STEPS
● OCPA Board approve the Program Plan for OC Power Savers (today)
● OCPA to file Advice Letter electing to administer the program (July)
● Continued coordination with partners for co-funding
opportunities (ongoing)
● Develop application for all 7 programs for ATA (ongoing) ● Board approves of the final application for ATA (2023) ITEM 9.2 – ENERGY EFFICIENCY PROGRAM
QUESTIONS?