Residential Energy Solutions Quick Start Program
Program Manual - November 2007
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PROGRAM OVERVIEW
“Quick Start” PROGRAMS TO REDUCE PEAK DEMAND LOAD
In September 2007, the Arkansas Public Service Commission (APSC) ordered all
investor-owned regulated utilities within Arkansas to offer energy-saving
programs to their customers. In Docket No 07-085-TF, Order No. 8, the APSC
approved the Entergy Arkansas, Inc. energy efficiency programs.
The first three years of the programs are called the “Quick Start” period.
During this time, Entergy Arkansas* is offering a variety of programs, which
are limited in nature, with the intention of gaining market knowledge and
preparing to potentially provide future programs to additional customers. As a
result, the programs are limited in scope, the funds available, and the number
of customers who may participate.
One of these approved Quick Start programs, the Residential Energy Solutions
Quick Start Program, is detailed below.
RESIDENTIAL ENERGY SOLUTIONS Quick Start PROGRAM OBJECTIVES
The Residential Energy Solutions Program is designed to help residential
customers understand and make energy efficiency improvements in their homes.
Customers can call a toll-free number to reach an energy efficiency solutions
representative who can direct the customer to the best energy efficiency
solution based on the customer’s need.
After a conversation with an energy efficiency solutions representative about
the efficiency of their home, the representative may guide the customer to a
list of energy solution tips, to an online tool to help them calculate
potential energy savings in their home, and for those residential customers
with potential savings opportunities and who are resolved to taking quick
action by investing their money in energy efficiency improvements, to a
walk-through assessment of their home.
Customers receiving an assessment will have indicated they are ready in the
next 45 days to make energy efficiency upgrades to their home and will have
been determined via the solutions representative phone conversation to have
sufficient savings opportunity to initiate the assessment. The program’s
energy efficiency upgrades first focus on making air duct efficiency
improvements to the home’s heating and cooling ducts systems. Assessments may
also explore and recommend, among other opportunities, upgrading incandescent
lighting with ENERGY STAR compact fluorescent bulbs, and making improvements
the home’s heating, ventilation and air-conditioning system (HVAC). To
motivate these customers to act quickly on the assessment recommendations, the
program will provide cash incentives to offset a portion of the upgrades if
customers act within the 45-day period after the assessment occurs.
To further support the customer’s quick response to upgrade opportunities
identified in the assessment, the program will provide a list of contractor
allies who have committed to promote high efficiency standards and can perform
the work in the required timeframe. These contractor allies will coordinate
with the program to accept incentive coupons from the customer to offset the
total cost of installation.
*Entergy Arkansas, Inc.
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PROGRAM ELIGIBILITY
All Entergy Arkansas residential customers are eligible for this program.
PROGRAM TARGET MARKETS
Although all residential customers are eligible, to help optimize limited
program resources and maximize results, customers in target markets will
receive information through the mail. Target markets will be based on kW
reduction opportunity from usage analysis and on information of geographical
transmission and distribution capacity constraints. The number of target
markets selected will vary in order to manage proper subscription to the
program based on the available budget and program objectives.
Non-targeted customers who call into the program will be granted the
opportunity to participate in the program but may experience longer lead times
for program resource availability.
NOTES
Entergy Arkansas will not directly market any energy efficiency-related
product or service to its customers. Entergy Arkansas makes no representation
of the benefits of any particular technology or energy efficiency measure
eligible for incentives under this program. The selection of an energy
efficiency measure is at the discretion of the individual customer.
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INCENTIVES
INCENTIVE BASIS
Funding in the form of “dollars-off” coupons will be available to pay for
identified and qualifying energy efficiency projects, primarily in the home’s
duct efficiency improvements.
INCENTIVE PRICING
The coupons will be based on identified and eligible energy efficiency
measures, primarily in the home’s duct efficiency improvements, and the
coupons will provide a total equivalent of $329/kW as determined by the
“deemed savings” calculations for the identified technology.
HOW ARE INCENTIVES PAID?
The program will provide incentive dollars-off coupons if an assessment
identifies qualifying energy efficiency upgrade opportunities. These coupons
are treated like cash and can be submitted to participating contractor allies
to offset a portion of the upgrade cost. The contractor then redeems the
coupons with the program administrator for reimbursement.
NOTES
Under no circumstances will Entergy Arkansas make a total incentive payment
more than 100 percent of the total cost of the energy efficiency project.
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PROJECT REQUIREMENTS
ELIGIBLE MEASURES
When a customer speaks with an Energy Efficiency Solutions Representative, the
following efficiency measures may be considered and discussed. Customers who
indicate a commitment to investing their money to upgrade their homes may be
eligible for dollars off coupons for the following measures:
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DUCT EFFICIENCY IMPROVEMENTS
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OTHER CONSIDERED MEASURES
a. Incandescent light bulb replacement to ENERGY STAR compact fluorescent
light bulbs
b. Improvements to your heating/cooling system (HVAC improvements)
c. Air sealing (Home Air Infiltration Reduction)
d. Ceiling insulation
To be eligible, measures must:
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Produce demand savings through an increase in energy efficiency;
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Produce a measurable and verifiable electric peak demand reduction during the
peak summer period (defined as between 11 a.m. and 9 p.m., Monday through
Friday, for the months of May through September, excluding holidays) and must
reduce electricity consumption;
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Have a useful life of at least 10 years; and
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Exceed minimum equipment efficiency standards.
EFFICIENCY STANDARDS
The energy efficiency upgrade measures in the section above are based on
deemed savings. Deemed savings measures, which are standardized savings values
or simple formulas for a wide range of measures in representative homes,
determine the basis for incentive payments. They indicate the amount of kW
“credit” an upgrade receives. The savings from these measures – based on the
“Residential Deemed Savings, Efficiency, and Installation Standards for
Arkansas Statewide QuickStart Programs“ – are on file with the Arkansas Public
Service Commission. Peak demand savings credit will be based only on
reductions that exceed Arkansas building codes.
INELIGIBLE MEASURES
Excluded from consideration in the program are the following measures which:
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Receive an incentive through other Entergy Arkansas energy efficiency programs;
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Involve fuel switching;
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Involve self-generation or cogeneration;
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Rely on changes in customer behavior;
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Require no investment; and
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Result in negative environmental or health effects.
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PARTICIPATION REQUIREMENTS
The Residential Energy Solutions Program involves a Program Administrator
consisting of Entergy Arkansas and its implementing contractor, CLEAResult
Consulting, Residential Entergy Arkansas retail electric customers, and
Program Contractor Allies.
PROGRAM ADMINISTRATOR
The Program Administrator’s responsibilities include:
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Promoting the program to customers in the selected markets;
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Providing customer assistance through the Energy Efficiency Solutions Center
to evaluate the customer’s energy usage opportunities and direct them to the
best energy efficiency solution;
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Scheduling assessments of customer’s homes for those customers who indicate
the willingness to invest in and implement the cost-effective opportunities
that may be identified in the assessment;
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Recruiting contractor allies and entering into agreements with them to promote
high energy efficiency standards and to perform the work to quality
specifications within the recommended time frame;
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Providing a list of contractor allies for the specified measures identified as
opportunities in the assessment*;
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Providing customers with incentive coupons with 45 day expiration dates,
treated like cash, to motivate customers to act quickly after the assessment;
and
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Reimbursing contractor allies accepting the program coupons.
RESIDENTIAL CUSTOMER
The customer’s responsibilities include:
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Calling the program Energy Efficiency Solutions Center to discuss their energy
needs to determine an appropriate energy solution for their situation after
receiving the program promotions mailing.
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For those customers who receive energy savings tips and/or recommendations
from the Energy Solutions Representative, making a best-effort commitment to
take action on the tips and recommendations.
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For those customers receiving assessments, making a best-effort commitment to
implementing cost-effective energy efficiency improvements to their homes
within 45 days of the assessment.
*Entergy Arkansas, Inc. does not guarantee or make any warranties or
representations regarding the services performed by any third parties,
including professionals provided by the program. Participating customers have
sole responsibility for reviewing and using the results or recommendations of
any services performed by such service providers.
CONTRACTOR ALLIES
The contractor Allies responsibilities include:
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Entering into agreements with the Program Administrator to promote high
efficiency standards and to perform the recommended work identified in the
assessment to quality specifications within the required timeframe;
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Accepting as cash the program’s “dollars off” coupons for the face value;
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Following up with the program to redeem the coupons with the Program
Administrator to be reimbursed for the coupon dollar value per the program
rules;
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For upgrades identified in assessments for which that contractor wins the
work, starting the project within 45 days of the assessment and completing the
upgrade within 120 days; and
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Completing the work by December 31 of that program year.
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PROGRAM PROCESS
The Residential Energy Solutions Program is designed to help residential
customers understand and make energy efficiency improvements. The program
process is as follows:
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Program information is sent to customers in selected markets.
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Customers who receive the information and wish to participate in the program
call the Energy Efficiency Solutions Center and speak to an Energy Solutions
Representative. The conversation will include questions about basic and
necessary customer information (e.g., customer name), information about the
customer’s home and its energy using systems, and the customer’s desire and
intent to invest in energy efficiency technologies in the near future.
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The Energy Solutions Representative evaluates the customer’s situation and
directs the customer to the best energy efficiency solution. Potential
solutions include a list of energy tips, an online tool to help them calculate
potential energy savings in their home, and a walk-through assessment
(Assessment) of their home for those residential customers with potential
savings opportunities and the desire to take quick action by investing their
money in energy efficiency improvements.
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Customers determined by the Energy Solutions Representative as having
qualifying energy efficiency upgrade opportunities in their homes and as
indicating a commitment to invest in identified energy efficiency measures
will be scheduled for an Assessment of their home at a date that meets the
schedule of the customer and the program.
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The program is not intended to simply provide an assessment and customer
education; it is intended to stimulate the installation of energy efficiency
upgrades. Therefore, customers that accept program-provided assessments will
be asked to exert their best efforts to complete viable projects in the 45 day
period after the assessment. These improvements first look to focus on duct
efficiency improvements, then explore other cost effective measures in the
home. To motivate these customers to act quickly on the assessment
recommendations, the program will provide cash incentives in the form of
coupons with 45-day expiration dates to offset a portion of the upgrades.
-
To further spur the customer to take quick action on the upgrade opportunities
identified in the assessment, the program will provide a list of contractor
allies who have committed to promote high energy efficiency standards and can
perform the work to quality specifications in the required timeframe. These
contractor allies will coordinate with the program to accept incentive coupons
from the customer to offset the total cost of installation. Customers should
note the incentive coupons cannot be used with contractors who have not allied
with the program.
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After upgrade work has been completed, the contractor allies submit the
coupons to the Program Administrator for reimbursement. The contractor will be
required to verify the completion of the project.
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Post upgrade home inspections will be conducted as needed on a periodic basis
to gather a statistically significant sample to confirm program result
PROGRAM PROCESS DIAGRAM
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PROGRAM ENROLLMENT
There is no formal enrollment process for the Residential Energy Solutions
Program.
To participate in the program, target market customers will call the Energy
Efficiency Solutions Center at 1-877-212-2420 and speak to an Energy Solutions
Representative. The Energy Solutions Representative assesses the customer’s
situation and directs the customer to the best energy efficiency solution.
Solutions include a list of energy tips, an online tool to help them calculate
potential energy savings in their home, and for those customers resolved to
taking quick action by investing their money in energy efficiency
improvements, the opportunity for an assessment of their home.
Non-target market customers who call into the program may be granted the
opportunity to participate in the program but may experience longer lead times
for program resource availability.
Should the program become oversubscribed, customers who requested home
assessments in 2008 and do not receive one will be the first to be scheduled
for assessments in the 2009 program year. Customers in target markets receive
preference over customers outside the target markets. Targeted customers will
receive preference for program funds should program funds reach their budgeted
maximum.
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FAQs
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Who is eligible for the program?
The Residential Energy Solutions
Quick Start Program is offered to all Entergy Arkansas residential customers.
To help optimize program resources and results, Entergy Arkansas markets will
be selected and customers in those markets will receive mail outreach.
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How does the program work?
Per the information sent to the
customers in the selected markets, customers call in to the Energy Efficiency
Solutions Center and speak to an Energy Solutions Representative who, through
conversation and questions about the customer’s home, can assess and direct
the customer to the best energy efficiency solution based on the their need.
The Energy Solutions Representative may guide the customer to energy solution
tips, to an online tool to help them calculate potential energy savings in
their home, and for those customers resolved to taking quick action by
investing their money in energy efficiency improvements, to the opportunity
for an assessment of their home.
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Which customers receive assessments?
Customers that receive an
assessment of their home have indicated they are ready to make energy
efficiency improvements to their home within 45 days after the assessment.
These improvements first look to focus on duct efficiency improvements, then
explore other cost effective measures in the home. To motivate these customers
to act quickly on the assessment recommendations, the program will provide
cash incentives to offset a portion of the upgrades if customers act within
the 45-day period after the assessment and complete upgrades within 120 days.
To further support the customer’s quick response to upgrade opportunities
identified in the assessment, the program will provide a list of contractor
allies who have committed to promote high energy efficiency standards and can
perform the work in the required timeframe. These contractor allies will
coordinate with the program to accept incentive coupons from the customer to
offset a portion of the installation cost.
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What does the program cost?
The participants (customers and the
contractor allies) pay nothing for the program support. Entergy Arkansas
provides all of the support for the program, and the financial investment any
participant makes are for the energy efficiency measures they have installed
in their own homes. The Residential Energy Solutions program administrator,
CLEAResult Consulting, does not have a financial interest in any of the energy
efficiency implementation services offered to the customers in the program.
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Who decides what energy efficiency technologies to install and who installs
them?
The customers are the sole determinant for what energy
efficiency measures they decide to implement and how they are implemented. For
energy efficiency upgrades, the program does not provide any installation of
energy efficiency measures. The program encourages the use of industry program
contractor allies who have agreed to the program conditions and to accept the
program coupons, but it does not require that customers do so. Customers
should note the incentive coupons cannot be used with contractors who have not
allied with the program.
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How contractors for eligible measures become a program ally?
Contractors
who would like to become a program contractor ally may call the Energy
Efficiency Solutions Hotline at 1-877-212-2420.
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What are the incentives?
The incentives for eligible energy
efficiency measures are based on $329/kW for demand reductions. The kW
reductions are based on “deemed savings” that have been submitted to the
Arkansas Public Service Commission
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PROGRAM CONTACTS
Entergy Arkansas Program Manager
Richard Smith
Entergy Arkansas
Program Implementation Contractor
CLEAResult Consulting
ProgramAdminEAI@clearesult.com
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