1. Incremental Cost Assessments & Duct Sealing Optimization Project Bobbi Wilhelm March 25, 2008

2. Three Studies with Regional Interest Market Cost Assessment of Residential Appliances, HVAC Systems, and Water Heating Equipment Cost Assessment of Commercial New Construction and Retrofit Efficiency Measures Residential Duct Sealing Program Optimization Study

3. Incremental Cost Assessment More reliable measure cost data for both high efficiency and standard equipment Better estimate of Incremental Costs Assist with cost-effectiveness calculations Help with measure funding calculations

4. Residential Cost Assessment Progress RFP sent in January; Proposal gathered March 5th Best practices for obtaining measure costs and recommended approach Interview plans and interview guides Conduct a market cost assessment of specific residential measures Conduct an assessment of contractor stock of efficient equipment Sample

5. Proposal: Residential Cost Assessment Best Practices Research instrument development and implementation for each source of cost data. Protocols for research activities, including surveys and the identification and use of secondary sources. Data quality and management including

6. Proposal: Residential Cost Assessment Incremental Cost & Stock Assessment Sample: 196 Contractors 12 Distributors 207 Retail Chains Cost Assessment Approach Simple Average by Measure Weighted Average by Measure Hedonic Price Model by Measure

7. Commercial Cost Assessment Request for Proposals Development of SOW is underway Identified a wish list of measures to be assessed Looking for partnering utilities to review SOW and assist with funding Finalize Scope by April 15

8. Duct Optimization Project Maximize energy savings and minimize costs Compare Thee Sealing procedures Duct Blaster test; sealing to PTCS protocol Duct Blaster test; sealing to 50% leak reduction Delta Q test; seal only high pressure leaks Obtain lost opportunity, cost, and savings Seal to current PTCS protocol (Duct Blaster) Current PSE Program – 50% leak reduction (Duct Blaster) Seal only high pressure leaks (Delta Q)

9. Duct Sealing Optimization Project Scope of Work Complete Field Work Begins this month Two Groups of homes; 20 homes each Group One: Tested with Duct Blaster and Delta Q Sealed to 50% leak reduction (Duct Blaster) Second Test Sealed to PTCS Final Test Group Two: Tested with Duct Blaster and Delta Q High Pressure leaks sealed (Delta Q) Second Test Sealed to PTCS Final Test

10. Regional Partnerships Incremental Cost Assessments: Bobbi Wilhelm, Puget Sound Energy 425-462-3432 bobette.wilhelm@pse.combobette.wilhelm@pse.com Duct Sealing Optimization Study: Bruce Manclark, Delta T 541-517-5779 brucemanclark@gorge.netbrucemanclark@gorge.net