Consortium for Energy Efficiency

Overview of Commercial Water Heater Programs

Philip PicotteProgram AssociateFebruary 24, 2015ACEEE Hot Water Forum

2

Consortium for Energy Efficiency

* Source: CEE 2013 Annual Industry Report

117 members serve all or part of 45 states and seven provinces

81% of the $8.0B* total efficiency expenditures in 2013 were directed by members

2009 EPA Climate Protection Award recognized CEE members approach

CEE is a member-driven nonprofit, governed by a Board of Directors from member organizations

3

Supplemental project managed by CEE

Approach: educate contractors about 2015 NAECA standards and emphasize range of benefits of high efficiency water heaters

Adaptable resources: www.eswaterheaters.com

Sponsors:

4

Insight from the 2014 Commercial Gas Water Heating Program Summary

5

2014 Program Summary Scope

Efficiency program information for gas water heaters and related measures

Public information from 63 efficiency programs• Covering 32 US states and Canadian provinces

All programs were CEE members offering voluntary rebates or other incentives• Not an analytical study or evaluation of water heater

programs

6

Overview of Water Heating Measures for Commercial Customers

0%

20%

40%

60%

80%

100%

Comm.Storage

Res.Storage

Comm.Tankless

Res.Tankless

HeatPump Indirect

Boiler for DHW

Direct Contact

7

Overview of Storage Measures

65% of programs offered incentives for commercial-sized gas storage water heaters• Median efficiency level is 90% TE• Median rebate amount is $450 or $2 per MBtu/h

52% of programs offered incentives for residential-sized gas storage water heaters• Median efficiency level is 0.67 EF• Median rebate amount is $100

8

Commercial Storage Water HeatersRebate Levels by TE (%)

82 83 84 85 88 90 91 92 950

2

4

6

8

10

12

14

16

Rebate 2Rebate 1

Thermal Efficiency

Nu

mb

er

of

Pro

gra

ms

Tier 1 Tier 2

ES (*)

9

Residential Storage Water HeatersRebate Levels by EF

0.59 0.62 0.64 0.65 0.67 0.68 0.7 0.8 0.82 0.860

5

10

15

20

25

30

Rebate 3Rebate 2Rebate 1

Energy Factor

Nu

mb

er

of

Pro

gra

ms

ENERGY STAR

Tier 0 Tier 1 Tier 2

10

Overview of Tankless Measures

38% of programs offered incentives for commercial-sized gas tankless water heaters• Median efficiency level is 90% TE• Median rebate amount is $400 or $2 per MBtu/h

62% of programs offered incentives for residential-sized gas tankless water heaters• Median efficiency level is 0.82 EF• Median rebate amount is $500

11

Commercial Tankless Water HeatersRebate Levels by TE (%)

80 82 88 90 92 950

2

4

6

8

10

12

Rebate 2Rebate 1

Thermal Efficiency

Nu

mb

er

of

Pro

gra

ms

Tier 1 Tier 2

ES (*)

12

Residential Tankless Water HeatersRebate Levels by EF

0.82 0.85 0.9 0.94 0.950

5

10

15

20

25

30

35

Rebate 2Rebate 1

Energy Factor

Nu

mb

er

of

Pro

gra

ms

Tier 1

ENERGY STAR

13

Overview of Commercial Measures for Other Technologies

22% of programs offer measures for indirect water heaters

10% of programs offer measures for direct contact water heaters

10% of programs offer measures for boiler equipment used for DHW purposes

8% of programs offer measures for heat pump equipment• The program summary is limited to gas and dual-

fuel programs, and excludes electric-only utility programs

14

Overview of Related Measures

37% of programs offer rebates for gas laundry equipment in commercial settings• 19 programs rebate residential-sized equipment

(multifamily laundry rooms and laundromats)• 24 programs rebate commercial washer

measures, mostly for ozone systems

Additional water heating measures• Showerheads, faucet aerators, equipment tune-ups,

drainwater heat recovery, pool heaters, pool covers, and hot tub covers

15

Summary

Water Heater Type Median Efficiency

Level

Average Customer Rebate

Programs Offering

Rebate to Customers

Comm. Storage 88% TE $450 65%

Res. Storage 0.67 EF $100 52%

Comm. Tankless 90% TE $400 37%

Res. Tankless 0.82 EF $500 62%

Heat Pump 2.0 EF $500 8%

Indirect 85% AFUE $400 22%

Boiler for DWH 85% AFUE $1.50 / MBtuh 10%

Direct Contact 90% TE $1.10 - $2 / MBtuh 10%

For rebates of a fixed amount

16

A Couple of Final Thoughts

Commercial program customers range widely in business size and use of hot water

Unlike other categories of energy use, customer size and sophistication cannot predict water heating needs

Often, the smallest, most difficult customers to reach use the greatest amount of hot water• Food service and hospitality

The complete CEE Program Summary is available at www.cee1.org

17

Contact

Philip PicotteProgram Associate617-337-9271ppicotte@cee1.org