Introduction

Best Practices in WAP/ Utility

Energy Efficiency Programs

In FY 2000, Economic Opportunity Studies, Inc. was awarded a grant to find and record elements of successful partnership programs combining utility-funded energy efficiency programs and Weatherization Assistance Program services. A series of group meetings and interviews resulted in the attached presentation of both successful program designs and of program problems in eleven states. Very specific issues related to the design of and rules for the programs and relationships. They are organized into seven categories:

- Audits & Diagnostics

- Goals and Performance Measurements, Including Costs and Benefits

- Quality Assurance and Growth Management

- Client Eligibility Criteria

- Timing

- Allowable Measures

- Management and Sharing of Client and Fiscal Data

The focus group discussions made it clear that conventional wisdom and past practice can lead to utility/WAP program designs that are counterproductive. This guide addresses the ‘Don’ts’ as well as the Best Practices, or ‘Do’s’. The abbreviated advice presented in the matrix is the result of several long stories. During FY 2002, EOS is prepared to share the stories with parties interested in design and policy issues and to provide referrals to the relevant project participants for peer-to-peer advice. A list of key participants appears as the last page of the matrix.

Using the Matrix of “Do’s and Don’ts” – Key Questions and Answers

Q # 1 Who should use the matrix?

· Current or potential program managers in local Weatherization agencies and in utility corporate offices who are considering the implementation, or the re-design, of a utility sponsored low-income energy efficiency program.

· State regulators or legislators with responsibility for design and/or oversight of Public Benefit Fund programs or similar significant utility low-income efficiency initiatives.

· Private sector contractors, ESCO’s, consultants, and evaluators who need to know why an initiative may have fallen short and what really works.

Q # 2 What is in it that I can use?

A The matrix shows simplified advice on very specific elements in the design of electric and gas utility programs that invest in energy efficiency in low-income housing. Its purpose is to alert those working on utility/WAP projects to a list of policy and management issues that have been important in the success or failure of recent utility programs managed by local DOE Weatherization agencies. It summarizes the advice of those who have years of experience in resolving those issues in eleven states.

Q # 3 Where can we get more detail on these points?

A This format only shows the program design issues to consider and the locations where they have been tested with either good or poor results. Once introduced to the issue or problem, program designers should try to get detailed information, including the context and history in which design element was tried. Many of the Weatherizers who have participated in the in-depth discussions that have kept this paper growing over two years have volunteered to speak to peers and colleagues who are considering new or changed programs. They are listed at the back of this paper. The staff at E.O.S. is also available to show details that emerged from the peer group meetings and interviews that informed this work. (Our web page will show changes and more contacts as this advice is updated throughout FY 2002.)

For more detail E–mail Meg Power the project manager at: .

Q # 4 Isn’t every state’s, and even every utility’s, situation different? Isn’t it hard to compare to these other programs?

A Of course! However, not really. Look at the number of states shown per issue or per piece of advice, and note that experiences and opinions were shared in very different places and in spite of their different programs.

Certain program problems are the same in many places:

v The structure, rules, and resources of the DOE/WAP

v The extreme poverty of those eligible and their consequent lack of capital for long term investment;

v The technological inputs to cost-effective efficiency investments;

v Good diagnostics;

v The evaluation of major space conditioning and appliance investments;

v The quality of materials and equipment needed;

v The types of consumption and expenditure data available to energy suppliers;

v The desire to make a program successful to the key stakeholders and the ratepayers at once.

All of these factors limit some possible activities and make others dramatically more promising.

Q # 5 What if I disagree, or what if I think you are missing a key program design element?

A Please e-mail EOS at once to be interviewed and recruited into our upcoming focus group meetings! This project continues with support from the U.S. Department of Energy Weatherization Assistance Program through FY 2002. More Weatherizers and utility programs are gaining experience every year; we need to include your judgments.