Control Devices

Andy Martin

Director Product Management

EnergyHub

Energy Efficiency of the Future: Implications of Technologies

Environmental Business Council – CT

Energy Efficiency Programs in CT

February 8, 2012

Andy Martin

Director, Product Management

martin@energyhub.com

AGENDA

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TWO-WAY CONNECTED THERMOSTAT PLATFORMS: THE HOTTEST EFFICIENCY TREND IN CONTROL DEVICES

EFFICIENCY & CUSTOMER BENEFITS • Remote control for consumers • Real-time feedback, normative comparisons, weather-based optimization • Real empirical results

DIRECT LOAD CONTROL (PEAK-TIME EFFICIENCY) • Growth in residential DLC • True load availability reporting • Real-time M&V from two-way connected thermostats

About EnergyHub

• Headquartered in Brooklyn, NY

• Recognized as a leading provider of next-gen DR and efficiency services

• Deployed in tens of thousands of homes and at utilities from coast to coast (including UI right here in Connecticut)

• Two product lines: – Home Base Energy

Management System for Home Area Networks (HAN)

– Mercury Smart Thermostat Platform

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It’s the Hottest Efficiency Trend in Control Devices

Two-Way Programmable Communicating Thermostats

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That’s Great, but…

• Many utilities and regulators have a question:

Can programmable thermostats actually deliver on their

energy efficiency promises?

Yes, when they’re combined with the right software platform

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Two-Way Connected Thermostat Platforms Offer

• Two-way communication

• Controls variety of residential HVAC technologies (usually not line voltage heat)

• Network-agnostic (Wi-Fi, ZigBee, Z-Wave)

• Remotely upgradable

• Supports price signals & messaging

• Available in stores – utilities don’t have to distribute/install thermostats!

• Consumer-centric management tools

• Web- and mobile-based control, alerts, scheduling, and feedback

• Utility branding (white label solution)

• Demand response functionality

• Flexible platforms designed to evolve with changing customer preferences and regulatory environments

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Connected Thermostat Cloud Software Platform

End Consumer also Gets Remote Control

Save with one-touch away button Manage multiple

locations

Real-time feedback on setpoint adjustments

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+3° change 9% to 12% increase in heating costs

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Normative comparisons

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Smart Optimization for Efficiency and Cost Savings

• Automatically changes temperature setpoints multiple times per day to optimize cost and system performance based on customer’s preferences

• Price protection • variable pricing-based

optimization

• adaptive pre-cooling for demand response events

• stage control for heat pumps

• Comfort protection • weather-based optimization to

meet comfort preferences

• set it and forget it

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Home Thermal Model

Temperature Alerts

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Using the Power of Big Data to Measure Efficiency

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Selected Energy Efficiency Results

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85% of Mercury users choose an EPA

recommended or better comfort setpoint

72% of Mercury powered thermostats have Day Time Setbacks

33% of Mercury powered thermostats

56% of U.S. programmable thermostats have Day Time Setbacks

53% on Hold (standard programmable thermostats)

Sources: LBNL 2009 and 2011, EIA and EnergyHub Inc.

vs.

vs.

7.2 GW reported residential DR

peak reduction

2009 2015

projected residential DR peak reduction

≈ 7 million homes ≈ 17 million homes (Source: FERC, 2010)

Thermostats Serve the Growing Residential DLC Market

• DLC programs have been in use since the 1960’s and grew massively over the past two decades

• Current estimates that between 7 and 9 million homes participate in some sort of DLC-based programs

• Estimated that approximately 2.4MM of these homes have programmable communicating thermostats

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Utility Demand Response Management Tool

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DLC Event Configuration

Utilities can specify which thermostat settings to adjust during a DLC event

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Event Reporting and Analytics

Real-time analysis of customer participation rates

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Event Notification

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Utilities and service providers can create custom email notifications including subject and email content

End users are notified of in-progress events on the web and mobile applications

What Two-Way Connected Thermostat Platforms Offer

• Highly detailed M&V including:

– Power before, during and after event

– User inputs on the thermostat, web, and mobile portals

– Low-level system event logs

• Opportunities for new program design like "pay to play" or ”override bank"

• Consumer benefits that outweigh the need for monthly/seasonal incentives

• Potential for new go-to-market strategy using retail distribution in Home Depot,

Lowe’s, etc.

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Control Peak Loads Improve Efficiency Redefine Relationship

Andy Martin Director, Product Management martin@energyhub.com