B O N N E V I L L E P O W E R A D M I N I S T R A T I O N Direct Mail CFLs Ryan Firestone and Carrie Nelson August 30, 2011

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 2 Background  Prior to recent CFL updates, a single savings value was attributed to all delivery mechanisms  During CFL updates, savings were changed to be reflective of delivery mechanism  Only retail and direct install measures updated by the RTF  For programmatic tracking, measures listed in the PTR were and continue to be split out across other delivery channels, but retail savings assumptions were used  Direct mail  Non-requested  Requested  The RTF has requested that BPA bring the direct mail measure to the RTF for approval for its own savings value

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 3 Overview – Direct Mail CFLs  Objective Approval of CFL savings under direct mail delivery mechanisms, same as retail measure Separate kWh/lamp savings for standard and specialty CFLs  Data  Engineering  RTF approved residential CFL (2011) and residential specialty CFL (2010) analyses  Storage and Removal  BPA direct mail participant survey and literature review (2010)  Cost  Fluid Market Research direct mail program costs  Results and Proposal

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 4 BPA Lighting Report  In 2010, BPA contracted with RIA to provide a lighting assessment of Residential Direct Distribution CFLs  Objective - programmatic review of the distribution of CFLs to residential ratepayers through direct mail or direct-install activities.  Telephone surveys with 202 participants across seven utilities Final Report / Lighting Program Assessment: Residential Direct Distribution, June 15, 2010 Funded by Bonneville Power Administration, Prepared by Research Into Action, Inc.

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 5 Installation Rates of Direct Mail Bulbs  The table below is a summary of the weighted average installation rate, which varies depending on the number of bulbs shipped in the direct mailing  Weighted average of 60% Self-reported, mix of specialty and standard bulbs  Based on the results of the study, BPA is considering it best practice to limit the number of bulbs in a non-requested direct mail package to 4 bulbs.

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 6 Literature Review Final Report / Lighting Program Assessment: Residential Direct Distribution, June 15, 2010 Funded by Bonneville Power Administration, Prepared by Research Into Action, Inc.

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 7 Conclusion on Installation Rates for Direct Mail  For both specialty and standard CFLs, use installation rates consistent with retail bulbs (64%)  Recent research shows reported install rates: ~60%  Literature review install rates: ~70%  Current retail standard CFL install rate: 64%  Direct mail studies consistently show results that are not significantly different from this  Current retail specialty CFL install rate: 80%  Completed research does not distinguish between types

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 8 Cost Analysis  Program cost data from Fluid Market Research

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 9 Cost Analysis  Program cost data from Fluid Market Research

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N  Comparison of deemed and proposed parameters and results 10 Results

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 11 Proposal #1 – Standard CFLs  Accept direct mail delivery mechanism savings, using the following site savings de-rating factors for standard CFLs  Storage rate (36%)  Removal rate (4%)  Δwatts and hours-of-use parameters are the same as the deemed retail values.  Result: 15.0 kWh

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 12 Proposal #2 – Specialty CFLs  Accept provisional direct mail delivery mechanism savings, using the following site savings de-rating factors for specialty CFLs  Storage rate (36%)  Removal rate (4%)  Δwatts and hours of use parameters are the same as the deemed retail values.  Result: 14.5 kWh  Accept research plan for collecting data on specialty bulbs

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 13 Research Proposal for Specialty CFLs  Through participant phone surveys, collect the following information:  Number and type of specialty bulbs received  Number and type of specialty bulbs installed  Why bulbs were not installed  If non-installed bulbs were:  Placed in storage  Removed after installation  Disposed of  Planned future installation of specialty bulbs

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 14 Questions

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 15 Standard CFL – Measure Summary

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 16 Standard CFL – Measure Summary

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 17 Standard CFL – Measure Summary

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 18 Specialty CFL – Measure Summary

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 19 “I ____________move that the RTF approve the UES Measure for Direct Mail of Standard Compact Fluorescent Lamps to active status with a sunset date of December 31, 2013 ” Standard CFL Direct Mail Proposed Motion:

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 20 Specialty CFL – Measure Summary

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 21 Specialty CFL – Measure Summary

B O N N E V I L L E P O W E R A D M I N I S T R A T I O N 22 “I ____________move that the RTF approve the UES Measure for Non-Requested Direct Mail of Standard Compact Fluorescent Lamps to active status with a sunset date of December 31, 2013 ” Specialty CFL Direct Mail Proposed Motion: