1. Conservation Working Group
LEAP
Conservation Working Group
June 25th, 2009

2. Agenda
Union Gas Overview
Helping Homes Conserve
Weatherization

3. Union Gas – Who We Are
With more than 37,000 miles of distribution lines, Union Gas has provided safe, reliable service to 1.3 million residential, commercial and industrial customers in 400 communities throughout Ontario for close to 100 years
More than 150 billion cubic feet of gas storage at Dawn, the largest storage facility in Canada
Union Gas’ storage and transportation assets are an important link in the movement of natural gas from all major North American supply basins to central Canadian and North Eastern U.S. markets

4. Union Gas Service Territory

5. DSM at Union Gas Actively engaged in DSM since 1997
From 1997 through to the end of 2008, Union’s DSM activities have reduced customer demand for natural gas by more than 500 million m3 5 5

6. Helping Homes Conserve – Background
In the fall of 2006 we developed and launched our first low-income program
Success was limited due to issues locating and communicating with low-income customers
Barriers were assessed and in 2007 a door-to-door strategy was launched which proved successful

7. Helping Homes Conserve – Program Offer
Professional installation of energy efficient showerheads, pipe wrap, kitchen/bathroom aerators and programmable thermostats in low-income customer’s homes at no cost to the customer
Program offered in Hamilton, Windsor, Sudbury, North Bay, London, Brantford and Cornwall
Target of 10,000 showerheads, aerators and pipe wrap and 7,500 programmable thermostats

8. Helping Homes Conserve - Target Audience
Customers who have an income which is at 125% or below Statistics Canada’s pre-tax, post-transfer Low-Income Cut-Off (LICO)
Must pay their own energy bills
Must reside in a residential building

9. Helping Homes Conserve – Customer Identification
How did we identify our customers?
Purchased data through data mining company that identifies postal codes with a high propensity of low income customers
Data was analyzed and target lists were created

10. Helping Homes Conserve – Delivery to Market
Partnered with 3rd party contractor to perform installations by professional technicians
Technicians go door-to-door to addresses designated on our target lists
Identified customers will receive a direct mail package in the mail a few weeks prior to the blanketing
Direct Mail package will contain a letter explaining the technicians visit and a brochure outlining the program details
As a reminder, technician will drop a notification flyer at the customers door hours prior to their visit

11. Helping Homes Conserve – Delivery to Market
Technicians knock on doors asking if customers are interested in an installation
Customers have the option of booking an appointment with the technician
If a customer isn’t home, the technician will leave a “sorry-we-missed you” door-hanger instructing them to call our toll-free number to book an appointment
For tenants we require landlord permission to install a programmable thermostat

12. Helping Homes Conserve – Program Partners
Social Service Agency Partners
Hamilton
Housing Help Centre
Neighbour to Neighbour
Windsor
Downtown Mission
Sudbury
Red Cross of Sudbury – Housing Division
The Social Planning Council of Sudbury
London
Salvation Army
Currently working on developing relationships with agencies in new territories

13. Helping Homes Conserve – Education and Outreach
Education sessions held in partnership with our program partners
Low-cost and no-cost conservation tips
Providing customers with a “starter-kit” for home weatherization
Targeted education brochure

14. Low Income Weatherization - 2008 Hamilton Program
Weatherized 15 homes in “Keith Neighbourhood” (30 audits performed)
Customers will received a pre and post energy audit and building envelope upgrades including; attic/wall insulation and draft proofing
No cost to customer
Partnered with Environment Hamilton to recruit customers and Greensaver to deliver program

15. Low Income Weatherization – Retrofitted Homes

16. Low Income Weatherization - Program Saving Results
2008
Calculated gas savings of approx. 27,000 m3
Average of approx m3 savings per home
Calculated electricity savings of approx. 4,300 kWh
Average of approx. 300 kWh savings per home
Resulted in approx. $60,000 of TRC
2009
Audited 6 units
Average 530 m3 potential savings per home
Average 500 kWh potential savings per home

17. Low Income Weatherization - Cost Summary
2008
Spent approx. $10,000 on pre and post audits
Spent approx. $60,000 on retrofit costs
Spent approx. $40,000 on administrative costs
Total cost of approx. $110,000 to retrofit 15 homes ($7,300 per)
Results in less than $1 in TRC earned for every dollar spent
2009
Associated costs are proving to be less as the m3 savings are lower
Still earning less than $1 in TRC per dollar spent

18. Low Income Weatherization – Barriers
Extremely difficult to find candidates where the both the resident and the home qualify
TRC creates huge restrictions on which homes we can go into and what we can do once we’re in the home
Customers generally lack an understanding of the benefits of weatherization

19. Low Income Weatherization – Barriers
Very difficult to set expectations with customers – do not understand our “cost-effective” restrictions
Recruiting customers takes a lot of effort and resources – not an easy concept to sell “quickly”
Customers want their homes left in the same state it was prior to the upgrade (i.e. needs painting)

20. Walls After Insulation is Blown In

21. Low Income Weatherization – Lessons Learned
Large costs associated with implementation of the program with little TRC earnings – increased funding needed to administer program on a larger scale
TRC restricts us from going “deeper” in the home
Program does not take into account the “non-energy benefits” of this program, such as increased comfort in the home

22. Low Income Weatherization – Lessons Learned
Current audit does not take into account supplemental heating – i.e. electric space heaters, electric blankets, etc…
Significant resourcing is needed to recruit customers and to educate them on the program benefits
Customers who did participate in the program were very grateful and noted the improvement in their home comfort

23. Low Income DSM
Questions/Comments?