Transcript State Incentives for Energy Efficiency Commercial and Industrial New Jersey Board of Public Utilities Office of Clean Energy Mona L.

State Incentives for Energy Efficiency
Commercial and Industrial
New Jersey Board of Public Utilities
Office of Clean Energy
Mona L. Mosser
Bureau of Energy Efficiency
Electric Discount and Energy
Competition Act of 1999
(EDECA)
 Eliminated traditional
retail monopolies
 Consumers can select an energy supplier
 Lower rates are expected over time due to
competition
 Immediate and increasing discounts
implemented
Energy Efficiency Energy
technologies can mean
buildings that are more:
 Energy
Efficient
 Reliable
 Cost-effective and
 Environmentally Friendly
Energy Efficiency Programs
Commercial and Industrial
 Marketed
as New Jersey SmartStart
Buildings, is the umbrella name for four
individual programs for targeted market
segments:
 Commercial New Construction
 Commercial Retrofit
 Abbott School
 Non-Abbott Schools
The programs are designed to:
– Capture lost opportunities for energy efficiency savings
that occur during customer-initiated construction events
(i.e., when customers normally construct buildings or
buy equipment).
– Achieve market transformation by helping customers,
designers and specifiers to make energy efficient
equipment specification, building /system design,
lighting design, and commissioning standard parts of
their business practices.
– Stimulate small commercial customer investments in
energy efficiency measures.
– Help facilitate effective implementation of New Jersey’s
new commercial code and future upgrades to that code.
Program Offerings and Customer Incentives

Prescriptive Efficiency Measure Rebates that
provide fixed incentives for energy efficiency
measures.

Custom Measure Incentives for more complex and
aggressive custom efficiency measures.

Multiple Measure Incentives for the installation
of multiple eligible gas and electric energy
efficiency measures (i.e., two or more of the
following equipment types – lighting equipment
and controls, unitary HVAC, chillers, electric and
gas space heating, gas water heating, motors,
and/or variable speed drives).
Program Offerings and Customer
Incentives (cont’d)

Technical Assistance and oversight to help
customers evaluate energy efficiency
options, utilize program offerings and
services, and effectively use performancecontracted services.
 Energy Code Technical Support, to assist
customer and trade ally understanding of
the requirements of the state’s new
commercial energy code.
Commercial New Construction
Program
 Incentives
for new construction projects are
available only for projects in State
designated “Smart Growth” area
 Design Incentives and Support, including
building simulation, to architects and
engineers to consider and use integrated
design approaches that provide additional,
synergistic energy savings.
Commercial Retrofit

Chiller Optimization
 Lighting Remodeling Design
 Compressed Air
 Financial incentives are provided for: a) the
technical studies on a cost shared basis and
b) for qualified equipment
Commercial Retrofit (cont’d)

Financial incentives are provided for:
– Technical studies on a cost shared basis and
– For qualified equipment.
Farm Facts

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Nationwide, the agricultural sector accounts for about three
percent of total electricity use
Energy expenses are a significant portion of the farm
budget, accounting for up to 10 percent of costs
Since operating margins, especially for small farms, are
typically well under 10 percent, energy costs can have an
impact on the survival of many small farms
Benefits of Energy Efficiency




Energy efficiency reduces consumption, which reduces
bills.
Reduces the need for costly electric grid upgrades, keeps
wholesale price of power down.
Energy efficiency promotes job creation.
Energy efficiency can reduce the high cost of renewable
energy.
August 14,2003 Blackout
Program Delivery

The C&I Program is currently delivered by the
State’s seven natural gas and electric utilities.
 In 2004, the C&I program manager(s) for each
of the program target segments will implement
the program consistent with:
program design
 program eligibility requirements
 equipment baselines and efficiency standards
 incentive levels, for both the core program
offerings and the specialized program paths

Areas of Focus

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Pumps
Motors
Lighting
HVAC
Operating Procedures
Green Energy
Billing Errors
ECO #8 Raritan Millstone High Lift #8 and #9
Pump and Motor Replacement and VFD
installation
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Economics (with VFD installation and
#14/#15 engine shut down savings from
ECO #24)
Implementation Costs $842,000
Annual Cost Savings $384,000
Simple Payback
2.2 years
Economics (with Pump and Motor
Replacement only)
Implementation Costs
$460,095
Annual Cost Savings
$110,000
Simple Payback
4.2 years
Lighting Retrofit

Implementation
Costs
 $21,160
 Annual Cost Savings
 $7,900
 Simple Payback
 2.7 years
 Conversion of old
T12 fixtures to T8
fixtures
Combined Heat &Power Program
On July 27, 2004 the New Jersey Board of Public Utilities
approved the funding level of $5 million for the Office of Clean
Energy’s Combined Heat and Power (CHP) Program
CHP INCENTIVE PROGRAM TECHNOLOGY AND INCENTIVE
LEVELS
Eligible Technology
Incentive($/Watt)
(Up To 1 MW)
Maximum % of
Project Cost
Minimum System Size
Level 1
Fuel cells operating on nonrenewable fuel
$2.50/W
40%
None
Level 2
Micro Turbines
Internal Combustion Engines
- Gas Turbines
$1.00/W
30%
None
Level 3
Heat Recovery or Other
Mechanical Recovery Electric
Generation Equipment
$0.50/W
30%
None
Contacts
[email protected]
www.bpu.state.nj.us
www.njcep.com
http://www.njsmartstartbuildings.com