1. Embedded Energy Savings from California’s Water Pilot Programs Impact Evaluation Draft Results CPUC Webinar January 5, 2011 ECONorthwest1

2. Agenda 1.Introductions and Pilots background, context 2.Scope of Pilots and evaluation 3.General evaluation methods 4.Pilots findings 5.Recommendations 6.More information and comments 7.Questions 2

3. ECONorthwest Evaluation Firms Evaluation firms: ECONorthwest (prime contractor) SBW Consulting Aquacraft, Inc. Pacific Institute Eskinder Berhanu & Associates 3

4. ECONorthwest Background Previous study findings: CEC: 19% of state electricity production is for water-related uses Significant energy used to acquire, pump, treat and distribute water ( = “ embedded energy ” ) California Public Utilities Commission (CPUC) requests 4 largest investor owned energy utilities (IOUs) to develop Pilot programs to count potential embedded energy savings 4

5. ECONorthwest Water Energy Pilot Design Specifically: IOUs must partner with at least one large water provider Programs should be jointly funded Programs should: Conserve water; Use less energy-intensive water (e.g., gravity-fed, recycled versus groundwater or desalination); Make delivery and treatment systems more efficient 5

6. ECONorthwest Water Energy Pilot Programs 1. PG&E Large Commercial Customers 2. PG&E High Efficiency Toilets (HETs) 3. PG&E Emerging Technologies (SCADA upgrades) 4. SCE Leak Detection 5. SCE HETs 6. SCE Express Water Efficiency (pH Controllers, WBICs) 7. SDG&E Recycled Water Retrofits 8. SDG&E Managed Landscapes 9. SDG&E Large Commercial Customer Water/Energy Audits 6

7. ECONorthwest Timeline December 2007: CPUC approves Pilots designs June 2008: Evaluation Plan completed ( “ M&V ” ) July 2008: Pilots implementation begins June 30, 2009: Pilots scheduled to end December 31, 2009: Pilots end 7

8. ECONorthwest Water Energy Pilot Evaluation Overview Primary Elements of Evaluation: 1.Water savings measured for each Pilot program (may include multiple projects) 2.Embedded energy impacts for each program, based on water impacts Did not include evaluation of potential end user energy changes (e.g., to reuse/pump water on- site) 8

9. ECONorthwest Water Agency Data Collection Survey to collect water, wastewater “ flows ” and energy data, systems information Asked for hourly flows data - got mostly monthly Data processed with Study 2 Access dbase tool Calculates energy intensity (kWh/million gallons) by function (e.g., treatment, distribution) Average system-wide energy intensities calculated for this evaluation Multiplied by water savings of relevant projects 9

10. ECONorthwest Water Agency Data Collection Recycled water retrofit projects Need to know incremental (i.e. “tertiary”) energy needed to exceed regular wastewater treatment standards and distribute water Compare this energy used to energy saved from potable water supply 10

11. ECONorthwest Individual Pilot Programs 11

12. ECONorthwest Individual Pilot Programs Program funding is as budgeted, may not reflect actual costs Following slides show IOU energy savings only report includes total energy savings where available, but not comprehensive Cost-effectiveness not included in Pilot evaluation scope 12

13. ECONorthwest PG&E Large Commercial Customers Description and M&V PG&E partnered with EBMUD, retailers of SCWA and SCVWD Water audits and incentives offered to: Hospitality sector Food processors Others (wineries, schools, jails, etc.) Wide range of measures possible Multiple incentives cover portion of retrofit cost PG&E budget = $700,000 M&V: Pre-post metering of water use for each installed measure 13

14. ECONorthwest PG&E Large Commercial Customers Findings Evaluated sites (census) 7 hotels (ozone laundry) 4 others (efficient dishwasher, recycled water, toilet retrofits/timers) Water savings = 34 million gallons/yr. Wastewater savings = 16 million gallons/yr. IOU energy savings = 55,000 kWh/yr. Does not include energy savings from 2 recycled water projects, some water agencies 14

15. ECONorthwest PG&E Single Family HETs Description and M&V PG&E partnered with Santa Clara Valley Water District (SCVWD) Direct install program for low-income customers Multiple incentives cover entire cost of single- flush HETs Retrofit opportunities identified during home energy audits PG&E budget = $200,000 M&V: Direct pre-post metering of existing and new toilets 15

16. ECONorthwest PG&E Single Family HETs Findings 478 total HETs installed 27 homes evaluated with 40 HETs Water/wastewater savings = 5 million gallons/yr. Does not include changes in pre/post leakage Evaluation estimates savings could be increased about 20% if no leakage IOU energy savings = 14,000 kWh/yr. Does not include wastewater energy savings 16

17. ECONorthwest PG&E Emerging Technologies Description and M&V PG&E partners are EBMUD, San Jose Water Co. Contractors integrate real-time energy data into SCADA systems to improve operational decisions, pumping efficiency EBMUD: new screen displays for operators San Jose: New algorithm for automatic pumping Water agencies contributed staff time, data PG&E budget = $341,000 M&V: Pre-post analysis of energy controlling for flows/pressures, operator interviews 17

18. ECONorthwest PG&E Emerging Technologies Findings Goal = save energy directly, not water Both projects did integrate real-time energy Neither projects achieved IOU energy savings EBMUD - Operators had little time, flexibility to react to energy data on SCADA screen San Jose - pumping algorithm not implemented by end of Pilot 18

19. ECONorthwest SCE Multifamily HETs Description and M&V Partnership between SCE, MWD and member water agencies Only for low-income apartment tenants Multiple incentives cover entire cost of dual-flush HETs SCE budget = $200,000 M&V: Pre-post analysis of household water use with flow trace method Apartment unit metering Flushes distinguished from other water uses at household indoor meter 19

20. ECONorthwest SCE Multifamily HETs Findings 276 total HETs installed in 176 apartments 41 apartment units evaluated Water/wastewater savings = 1.3 million gallons/yr. Does not include changes in pre/post leakage Savings could be increased significantly by repairing large post-install leaks IOU energy savings = 5,800 kWh/yr. 20

21. ECONorthwest SCE Express Water Efficiency Description and M&V SCE partnership with MWD Rebates available for: pH controllers for cooling towers Weather based irrigation controllers (WBICs) for landscapes SCE budget = $133,000 pH M&V: Pre-post analysis of inflow makeup water, chemical mix, conductivity readings No WBICs installed through Pilot program 21

22. ECONorthwest SCE Express Water Efficiency Findings Participation = 1 customer, 3 pH controllers As found water/wastewater savings = 6.3 million gallons/yr. IOU energy savings = 9,400 kWh/yr. Wastewater energy only (retailer energy not provided) Water/energy savings inflated due to atypical pre/post operating procedures With proper maintenance, would likely be 25% of as found 22

23. ECONorthwest SCE Leak Detection Description and M&V SCE partnered with three water agencies Agencies received free, comprehensive audits: Authorized usage apparent water losses (metering/data problems, theft) real losses (leaks) Leaks identified and repaired in selected areas Economically justified (future) leak detection and pressure management also determined SCE budget = $300,000 M&V: Field observation of some leakage measurements 23

24. ECONorthwest SCE Leak Detection Findings 170 miles of distribution systems got leak detection and repairs Short-term water savings = 83 million gallons/yr. Short-term energy savings = 178,000 kWh/yr. Large potential long-term energy savings = 580,000 kWh/yr. (if agencies implement recommended leak detection campaigns). 24

25. ECONorthwest SDG&E Recycled Water Description and M&V SDG&E partnered with SDCWA Cost sharing for retrofits switching from potable water to recycled water Public agency roadsides, community parks Recycled water needs additional treatment beyond standard wastewater; reduces energy savings SDG&E budget = $250,000 M&V: Analysis of pre-project potable water usage from utility metering, normalized for ETo 25

26. ECONorthwest SDG&E Recycled Water Findings 6 total participant projects 4 sites evaluated Potable water savings = 31 million gallons/yr. Energy savings = 75,000 kWh/yr. For 3 evaluated sites Includes energy from all sources, not just IOU energy (San Diego data did not disaggregate IOU from other energy) 26

27. ECONorthwest SDG&E Managed Landscapes Description and M&V SDG&E partnered with SDCWA Installed “ smart ” weather-based controllers for aesthetic landscape irrigation - apartments, condominiums, university Required 4 + irrigated acres, 5 or less irrigation timers, separate indoor/outdoor meters SDG&E budget = $250,000 M&V: Pre-post analysis of utility outdoor water bills, adjusting for plantings changes 27

28. ECONorthwest SDG&E Managed Landscapes Findings 13 total participant sites 4 sites evaluated in detail Water savings = 52 million gallons/yr. for 13 sites IOU energy savings = 21,000 kWh/yr. Does not include potential savings for two retail water agencies (two projects) where data not obtained 28

29. ECONorthwest SDG&E Large Customer Audits - Description and M&V SDG&E partnered with SDCWA Combined water/energy audits offered to: Commercial, Industrial, Institutional large water users 9 sites got audits SDG&E budget = $496,000 M&V: Pre-post metering of all installed measures 29

30. ECONorthwest SDG&E Large Customer Audits - Findings 4 sites installed measures and evaluated Detention facility, biotech/R&D Flush timers, autoclave upgrades, reverse osmosis upgrades, boiler water reuse Water/wastewater savings = 82 million gallons/yr. IOU energy savings = 155,000 kWh/yr. No data/savings for one water agency/project 30

31. ECONorthwest Key Findings 1.Programs like SCE Leak Detection may offer high energy savings at relatively low cost 2.PG&E and SDG&E detention facility projects also generated high energy savings, and could be a future program focus 3.Recycled water projects can create large potable water savings, but more data needed on IOU energy in tertiary treatment 4.Other programs appear to have less potential, but additional cost-effectiveness research needed 31

32. ECONorthwest Overarching Recommendations 1.Systematically inform all agencies from which embedded energy data may be needed Include wastewater, recycled water agencies 2.Conduct more research on recycled water energy requirements and customer costs 3.Evaluate larger sample sizes (e.g., pH controllers, high efficiency dishwasher) 4.Include end use energy savings (+, -) in embedded energy assessments 32

33. ECONorthwest Program Specific Recommendations 1.Obtain hotel occupancy and/or laundry pounds data for ozone laundry systems Could not be obtained; would improve water/energy savings estimates 2.More research on pH controllers water savings Or draw from other studies with valid findings 3.SCADA improvement projects Ensure policies, operating conditions and staffing allow for behavioral/system changes 33

34. ECONorthwest Program Specific Recommendations 4.High Efficiency Toilets: Also meter non-retrofit toilets, to see if/how usage changes Do in-home verification if Flow Trace method used, to identify maladjusted from non-replaced toilets Collect more occupancy data, for extrapolation Do not rely on manufacturer flush ratings 5.Leak Detection – verify repairs if savings will be claimed Not done completely for this evaluation 34

35. ECONorthwest More Information and Comments 1.Report available at: http://www.cpuc.ca.gov/PUC/energy/Energy+Eff iciency/EM+and+V/index.htm http://www.cpuc.ca.gov/PUC/energy/Energy+Eff iciency/EM+and+V/index.htm 2.To submit comments: www.energydataweb.com/cpuc, click on topic “Embedded Energy in Water Pilot EM&V” www.energydataweb.com/cpuc 3.Comments extended to 1/14/11 35