For National Association for State Community Services Programs Turning Carbon Savings from Residential Energy Efficiency Retrofits into a New Revenue Stream.

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Presentation transcript:

For National Association for State Community Services Programs Turning Carbon Savings from Residential Energy Efficiency Retrofits into a New Revenue Stream Jo-Ann L. Choate, MaineHousing March 1, 2012

The Carbon Quantification Project Timeline Verify and sell carbon emission reductions Weatherization methodology finalized Develop weatherization methodology

Weatherize A Home Carbon Emission Reduction (ERs) Measured by a validated methodology Verified by an accredited third party verifier Recorded in a Carbon Registry ERs sold in the market Weatherize more homes Start Here Carbon Quantification Project: Heres How It Works Buyers Purchase ERs Energy Data Repository

Growth of the Carbon Market

Essential Steps to Carbon Savings

Choose Category Choose Approach Calculate Emission Reductions Monitor Emission Reductions Prove Additionality Performance Standard

Four Eligible Categories Category A: Whole house retrofit Category B: Building envelope improvements Category C: Appliance replacement Category D: Mobile home replacement

Category A: -Electric & fuel savings -Appliances -Central heating -Insulation -Air sealing -This category is not applicable in Maine under RGGI. Whole House

Pictures of houses C ategory B: -Fuel savings -Central heating -Insulation -Air sealing -The MaineHousing Project will use this category. Building Envelope

Category C: -Electricity savings -Appliance Replacement -This category is not applicable in Maine under RGGI. Appliance Replacement

Category D: -Electricity & fuel savings -Only the fuel savings are eligible in Maine. Mobile Home Replacement

Essential Steps to Carbon Savings Choose Category Choose Approach Calculate Emission Reductions Monitor Emission Reductions Prove Additionality Performance Standard

Five Approaches to Calculate Emission Reductions 1.Adjusted consumption 2.Pre-and post-retrofit audit 3.Control group 4.Deemed savings 5.Mobile homes replacement

CategoriesApproaches Whole House Retrofit Building Envelope Appliance Replacement Mobile Home Replacement 1. Adjusted Consumption 2. Pre- and Post-retrofit audit 3. Control Group 4. Deemed Savings 5. Mobile Home 1. Adjusted Consumption 3. Control Group

Essential Steps to Carbon Savings Choose Category Choose Approach Calculate Emission Reductions Monitor Emissions Reductions Prove Additionality Performance Standard

Baseline: Energy consumed by a given dwelling for one year prior to project implementation. Emission reduction calculations are measured from the baseline. Baseline Fuel Consumption Project Year Fuel Consumption Calculated Emission Reductions

y = Yeari = Dwelling J = Fuel typeI = # of Dwellings HDDCF y = Heating degree days correction factor F b,i,j = Baseline consumption year prior F p,y,i,j = Project consumption in year y following Cal j = Calorific value of fuel F CO2,j = CO 2 emissions factor of fuel L y = Leakage Emission reductions =

Essential Steps to Carbon Savings Choose Category Choose Approach Calculate Emission Reductions Monitor Emission Reductions Prove Additionality Performance Standard

Prioritized Wx Tasks Detailed Work Order Pre Retrofit Energy Audit OwnersWx Contractor Energy Conservation Online System ECOS Post Retrofit Energy Audit EDR Policy GuidanceDetailed Reports Statistical Analysis Energy Data Repository

Essential Steps to Carbon Savings Choose Category Choose Approach Calculate Emission Reductions Monitor Emissions Reductions Prove Additionality Performance Standard

A Ton of CO2 must be Additional in order to be sold Additionality: But for the Project (that weatherizes homes) the energy savings would not have happened

The performance standard is a benchmark above which energy improvements in the home are not business as usual Energy savings in NON- Weatherized Homes Energy savings in Weatherized Homes Percent Savings 0%-2%4%15%-4%24%50% Performance Standard Benchmark

Benefits of Selling CO2 1.Revenue for energy efficiency retrofits 2.Comprehensive, transparent, & verified data 1.Proof of public benefits 2.Managing projects 3.Tracking performance 4.Analysis and reports

Steps to Bring Carbon Savings to Market 1.Scope and Plan Project 2.Identify and Manage Carbon Data 3.Write Project Description 4.Validate Project Description 5.Verify Offsets 6.Register and Sell Offsets

Questions