1. State of Vermont Energy Stimulus Plan
April 3, 2009
David O’Brien
Vermont Public Service Department

2. Overview Clean Energy Development Fund Efficiency Vermont
This is not a comprehensive list of all the energy related components in the ARRA, but it highlights the areas where we feel Vermonters may be able to benefit the most from.

3. Clean Energy Development Fund
Small-Scale Renewable Energy Program
-874 systems installed (79 wind turbines, 347 solar PV & 448 solar hot water)
Clean Energy Development Fund Competitive Grants
-Over $7 million in grants awarded since 2007
(20 feasibility studies, 14 farm methane digesters, 7 co-gen systems, 12 solar PV systems, 5 hydro systems, and one wind system)
-Expect to receive approximately $24 million for SEP (including the portion from the EECBG)
-Bill directs these funds to be used for primarily existing EE and RE programs
-Some of the existing programs where we would expect to direct some of the funds include: CEDF and All-fuels

4. Efficiency Vermont Budgets for 2009-2011 2009 $25.5 M $1.0 M $ 26.5 M
Year
Electric Services and Initiatives
Unregulated Fossil Fuel Services and Initiatives
Total
2009
$25.5 M
$1.0 M
$ 26.5 M
2010
$28.9 M
$1.9 M
$30.7 M
2011
$33.1 M
$1.6 M
$34.7 M
Key 3-year Performance Goals
360,000 MWh
51.2 Summer MW
54.0 Winter MW
Public Service Board sets budgets to achieve all reasonably achievable cost-effective electric efficiency potential
Performance Goals Negotiated by PSB, VEIC, DPS – Unregulated Fuel Goal still to be finalized
EVT, on behalf of the State, participates in the Forward Capacity Market. Revenues from this market have been directed to fund Unregulated Fossil Fuel Services and Initiatives

5. EVT - Geotargeting $12.2 M per year directed to four Geotargeted Areas
To avoid otherwise necessary investments in T&D
Evaluation in 2009
-Expect to receive approximately $24 million for SEP (including the portion from the EECBG)
-Bill directs these funds to be used for primarily existing EE and RE programs
-Some of the existing programs where we would expect to direct some of the funds include: CEDF and All-fuels

6. EVT - Program Initiatives
Residential Initiatives:
Retail Efficient Products
Specialty CFLs and
LEDs
New Construction
Higher Tier EE Standard
Existing Homes HPwES
New - Unregulated Fuels Initiatives
Business Initiatives:
Tech Assistance to Design/Build Firms
Existing Facilities
Expanded Account Mgmt
Direct Install Lighting in GT Areas
Not expecting to see any increase in savings from New Construction markets due to economy, but we are still projecting increase in savings in existing facilities.
Residential Programs:
Will continue negotiated cooperative promotions with retailers and manufacturers
Savings will come less from Standard CFL’s due to Federal Standards phasing in in 2012.
Shift to Specialty CFL’s and LEDs
Business Programs:
Focus on Account Management to allow customized solutions geared to specific business needs of mid-size and large businesses
Includes technical assistance, financial incentives
Working with upstream partners in supply chain to ensure efficiency equipment and services are readily available to end uses.

7. New Initiatives & Opportunites
All Fuels Efficiency
Energy Efficiency and Conservation Block Grants
Energy Efficiency and Renewable Energy Tax Incentives
Smart Grid
Emphasize All-fuels program is beyond electric efficiency
Stakeholder meeting at the end of March to solicit ideas for SEP stimulus funds, particularly what should the outcomes be.

8. All Fuels Efficiency Provide energy efficiency upgrades to homeowners
Pursue the “sweet spot”, lower energy bills for consumers, lower carbon emissions and put contracting workforce back to work.
Emphasize All-fuels program is beyond electric efficiency
Stakeholder meeting at the end of March to solicit ideas for SEP stimulus funds, particularly what should the outcomes be.

9. Smart Grid
Empowers consumers to become active participants in their energy choices.
Transformation from a centralized network to one that is more consumer-interactive.
Enhanced electric delivery system, including generation, transmission, distribution and consumption.
Increases the possibilities of distributed generation, bringing generation closer to those it serves.
Provides two-way visibility and control of energy usage.
There will be $4.5 billion available nationally for the Smart Grid Investment Program.

10. Today's Central Utility Tomorrow's Distributed Utility?
EVs
Central Generation
Central Generation
Wind
Remote Loads
Genset PV
Fuel Cell
Battery
Customer Efficiency
Customers
Microturbine

11. Other Matters
In many respects recessionary conditions can help these efforts, availability of labor etc.
Meanwhile recessionary conditions worldwide have dampened energy prices to the benefit of consumers
Consumer advocates need to pay close attention to, and play a role in national cap and trade.
But we have to be mindful of the longer-term picture. Are we making good long term decisions? The resources that stimulus will underwrite remain uneconomic over the planning horizon.
There will be $4.5 billion available nationally for the Smart Grid Investment Program.