Louisiana’s 2030 Energy Efficiency Roadmap

R. Neal Elliott, Research Director

Briefing on ACEEE Report

June 2013

The American Council for an Energy-Efficient Economy (ACEEE)

• ACEEE is a nonprofit 501(c)(3) research organization that acts as a catalyst to advance energy efficiency policies, programs, technologies, investments & behaviors.

• Nearly 50 staff primarily engineers, researchers and policy analysts

• Focus on end-use efficiency in industry, buildings, utilities & transportation

• Other research in economic analysis; behavior; national, state & local policy.

• Funding:◦ Foundation Grants (60%)◦ Contract Work & Gov. Grants (25%)◦ Conferences and Publications (11%)◦ Contributions and Other (4%)

www.aceee.org

Why Efficiency? Our Least-Cost Resource

Source: Lazard 2012 for all except for EE, which is Molina 2013

Multiple Attributes of Energy Efficiency

- Least-COST resource for system planning

- Least-RISK resource for system planning

- Economic development in the form of local jobs

- Net energy bill savings

- Environmental benefits

Context

• ACEEE completed series of state EE potential studies over the past 6 years (e.g., Arkansas, North Carolina, South Carolina, Pennsylvania, Missouri, Florida, Texas, and ongoing in Mississippi)

• Potential studies are one tool in the tool-box for decision-makers interested in tapping into energy efficiency• Assess overall resource potential for cost-effective EE• Identify program potential by customer class

• Increasing interest in energy efficiency in South

Broad stakeholder support of EE

- Ohio Manufacturers Association worked with ACEEE to support EE rules

- High-level bipartisan interest from governors across the country: Mary Fallin (OK),Phil Bryant (MS), Deval Patrick (MA), John Kasich (OH), Rick Snyder (MI)

Efficiency Program & Policy Scenario Impacts in Louisiana

• 5% electricity savings by 2020, 16% by 2030; 3% natural gas savings by 2020, 12% by 2030

• Universal benefits of $4.2 billion in net energy bill savings to all consumers over the life of the measures

• Cost is modest:- Typical Residential customer—cost of $0.47 on avg

$103 monthly bill (1,000 kWh usage)- Typical Commercial customers—cost of $5.41 on avg

$1,188 monthly bill (12,500 kWh usage)• Job creation throughout the life of the program,

with 27,100 new jobs in place by 2030, $3 billion in net economic output, and increased state & local tax revenue of $114 million

Electricity Program and CHP Potential

-

20,000

40,000

60,000

80,000

100,000

120,000

2012 2014 2016 2018 2020 2022 2024 2026 2028 2030

Elec

tric

ity C

onsu

mpti

on (G

Wh)

Industrial EECommercial EEResidential EECHP - ExportCHP- Onsite IndustrialElectric Power Generation

EE: 16%

CHP: 12%

Example Residential Measures

Energy Star Refrigerator—5% savings at $0.03/kWh

Incremental cost ($40)

CFL—11% savings at $0.01/kWhIncremental cost ($0.56/bulb)

Business Electricity Savings Potential in 2030 by Program (6,658 GWh)

18%

16%

5%

9%15%

6%

22%

9%

Building Energy Codes

Lead by Example inGovernment Facilities

New Construction andCode Support

Small Commercial

Large Commercial Custom

Computer Efficiency &Plug Loads

Prescriptive Rebates &Upstream Incentives

Retrocommissioning

Example Commercial Measures

High efficiency chillers—cost $0.02/kWh

Incremental investment $9,900

Occupancy sensors for lighting—cost $0.01/kWh

Incremental investment $48

Residential Electricity Savings Potential in 2030 by Program (6,391 GWh)

10%

11%

5%3%

12%

10%17%

13%

7%

12%

Building Energy Codes

New Construction andCode Support Low-IncomeWeatherization Multi-Family

Home Retrofit

Retail Products

Lighting

Cooling and Heating

Water Heating

Enhanced Billing &Information Feedback

Thank you!

R. Neal Elliott, Ph.D., P.E.

Associate Director for Research

rnelliott@aceee.org

202-507-4032

Visit ACEEE on the Web:

www.aceee.org