Residential Solutions Program

Program Manual - March 2009

QUICK LINKS

• PROGRAM OVERVIEW
• PROGRAM ELIGIBILITY
• INCENTIVES
• PROJECT REQUIREMENTS
• PARTICIPATION REQUIREMENTS
• PROGRAM PROCESS
• PROGRAM ENROLLMENT
• FAQS
• PROGRAM CONTACTS

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PROGRAM OVERVIEW

PROGRAMS TO IMPLEMENT ENERGY EFFICIENCY

To continue its contributions as a corporate citizen of the City of New Orleans, Entergy New Orleans, Inc. (ENO) is creating sustainable energy efficiency programs and investing in the city’s energy efficiency infrastructure to continue to help revitalize the City. In the face of continued rebuilding and a recovering local economy, the suite of energy efficiency programs will benefit ENO’s customers by bolstering their understanding of energy efficiency, increasing the adoption of energy efficiency measures and practices, improving energy affordability for residents and business owners, and adding new jobs that contribute to the economic betterment of the community. Through a combination of building program infrastructure and providing technical support and cash incentives, these programs will make available the services, educate the community, and motivate ENO’s customers to take action and implement energy efficiency projects.

Entergy New Orleans is offering this variety of programs with the intention of beginning to build the energy efficiency market quickly, gaining market knowledge, and preparing to potentially provide future programs to additional customers. As a result, the programs, the funds available, and the number of customers who may participate are limited in scope in this first year.

In 2009, Entergy New Orleans will be offering the following five energy efficiency programs:

• Residential Solutions Program
• Small Commercial & Industrial Solutions Program
• Large Commercial & Industrial Solutions Program
• Residential Market Transformation Program
• Hard to Reach Standard Offer Program

RESIDENTIAL SOLUTIONS PROGRAM OBJECTIVES

The Residential Energy Solutions Program is designed to help residential customers understand and make energy efficiency improvements in their homes.

This program provides ENO residential customers with educational information about and cash incentives for installing eligible energy efficiency home improvements via a partnering energy services provider network (partnering contractors). The program also provides training to the partnering contractors to ensure they can deliver the program’s energy efficient products and services to the program’s Best Practices standards.

*Entergy New Orleans, Inc.

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PROGRAM ELIGIBILITY

All Entergy New Orleans residential customers living in Orleans Parish are eligible for this program.

All energy consultant, insulation, duct sealing, air infiltration, and heating, ventilation, and air conditioning contractors that serve Entergy New Orleans customers are eligible to apply to participate in this program. Contractors that wish to participate must enter into a program partnering agreement that specifies the partnering contractor program eligibility and program requirements.

ENO Customers or contractors that are interested in participating in the program may call the Energy Efficiency Solutions Center at 1-866-721-0249, Monday – Friday, 8:00 a.m. – 5:00 p.m.

ENO Customers may also directly contact the partnering contractors in the program to request information about the program incentives and services.

PROGRAM TARGET MARKETING

All residential customers are eligible to participate in the Residential Solutions Program. The program will maximize participation and energy saving results by initiating targeted marketing efforts in residential neighborhoods that will capitalize on energy reduction opportunities based on usage analysis, building stock, and 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.

NOTES

Entergy New Orleans will not directly market any energy efficiency-related product or service to its customers. Entergy New Orleans 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

Funding in the form of “dollars-off” rebates are available to pay for identified and eligible energy efficiency improvement projects in customer’s homes when the work is performed via the program’s partnering contractor network.

In addition, customers who pay for an assessment using the program’s partnering contractor home assessment network can have a portion or all of the assessment cost reimbursed if they perform the eligible improvements that were recommended in the assessment.

INCENTIVE PRICING

• Rebate amounts are calculated on site by the program’s partnering contractors.
• The rebate amount is $300 per kW saved.
• The rebates are based on identified and eligible energy efficiency measures, with the kW savings for the identified technology determined by the New Orleans “deemed savings” calculations on file with Entergy New Orleans.
• Assessment reimbursements are $100 per assessment, applicable only if the customer performs any of the eligible improvements that were recommended in the assessment.

HOW ARE INCENTIVES PAID?

• An ENO customer purchases an energy assessment from an energy consultant on the program’s partnering contractor list. The energy consultant performs a home assessment, identifies qualifying energy efficiency improvement opportunities, and issues rebate vouchers for those opportunities. The energy consultant also issues a $100 reimbursement incentive that will be reimbursed if the customer acts on any of the eligible improvement opportunities. Rebates can be redeemed when the work is performed by program partnering contractors. Partnering contractors will discount both the rebates and the reimbursement incentive directly from the customer’s invoice for the improvement work.
• An ENO customer directly contacts and has a qualifying energy efficiency improvement opportunity performed by a program trained partnering contractor. The partnering contractor provides the rebate to the customer directly off the invoice of the improvement work.
• The contractor completes a rebate form, submits it to the program with an invoice, and is reimbursed for the incentives after the work is evaluated and approved.

NON-CASH INCENTIVES

Non-cash incentives are services that the program provides directly to the marketplace that overcome technical and informational barriers that inhibit energy efficiency projects from implementation. Non-cash incentives include training of partnering contractors, technical support to assess and quantify upgrade opportunities, continued education and communications on technologies, and education on understanding the investment value of energy efficiency projects

NOTES

Under no circumstances will Entergy New Orleans 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

1. Eligible Measures:

• Air Duct Improvements (Duct Sealing and Replacement)
• Ceiling insulation
• Home Sealing (Air Infiltration Reduction)
• Electric Heating/Cooling system replacements (HVAC Replacements)

2. Eligible, Measures Must:

• Produce demand savings through an increase in energy efficiency;
• 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;
• Have a useful life of at least 10 years; and
• Exceed minimum equipment efficiency standards

EFFICIENCY STANDARDS

The calculated energy savings for 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 building types, determine the basis for incentive payments. They indicate the amount of kW “credit” an upgrade receives. The savings from these measures are based on the “New Orleans Deemed Savings Program Report - Residential Measures.

INELIGIBLE MEASURES

Excluded from consideration in the program are the following measures which:

• Receive an incentive through other energy efficiency programs offered by Entergy New Orleans;
• Involve fuel switching;
• Involve self-generation or cogeneration;
• Rely on changes in customer behavior;
• Require no investment; and
• Result in negative environmental or health effects.

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PARTICIPATION REQUIREMENTS

PROGRAM ADMINISTRATOR

The Program Administrator’s (CLEAResult Consulting) responsibilities include::

• Promoting the program to customers;
• Providing customer assistance through the Residential Solutions Center to evaluate the customer's energy usage opportunities and direct them to the best energy efficiency solution;
• Recommending customers willing to invest in and implement cost-effective energy efficiency improvement opportunities to the program's list of partnering contractors so that opportunities within the customer's home can be identified, offered rebates, and implemented
• Recruiting contractors to partner with the program by entering into a program agreement to promote and implement high energy efficiency improvements per the program's "Partnering Agreement" and "Best Practices" guidelines;
• Training partnering contractors on the program's Best Practices and appropriate installation methods for eligible measures and on issuing self-generated, point of sale rebates to encourage these customers to install more efficient improvements;
• Providing partnering contractors field guidance to reinforce and answer questions from training;
• Work with partnering contractors to market and message to their customer base the incentives available for their products and services that are eligible for incentives;
• Providing quality assurance of implemented projects to ensure program best Practices and program rules are followed;
• Processing rebates and reimbursing partnering contractors for approved program rebates.

The Program Administrator will help to match customers and partnering contractors with industry technical resources, financing organizations, publicly available funds, and information clearinghouses to overcome implementation obstacles.

RESIDENTIAL COMMERCIAL CUSTOMER

The customer’s responsibilities include:

• Calling the program Energy Efficiency Solutions Center to discuss the program, their energy needs, and to determine an appropriate energy solution for their situation.
• 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.
• For those customers willing to invest in energy efficiency opportunities for their home and identified as having high potential for cost effective improvement opportunities, following up with program partnering contractors to receive an assessment, have opportunities evaluated, and use the program offered rebates to assist paying for the improvements
• The customers are the sole determinant for what energy efficiency improvements they decide to implement and how they are implemented. Customers are also the sole determinant of which partnering contractor they select to install improvements.

PARTNERING CONTRACTORS*

The partnering contractor responsibilities include:

• Entering into a partnering agreement with the Program Administrator which describes the program rules and guidelines, including agreeing to perform work to the program’s Best Practices energy efficiency standards;
• Responding quickly to calls from ENO customers inquiring about and wanting to use the services of the program,
• Marketing and messaging to their customer base the incentives available for their products and services that are eligible for program incentives;
• Learning and issuing on-site program rebates to customers for eligible energy efficiency opportunities;
• Allow for staff training by the program to perform work to the program Best Practices;
• Redeeming program rebate forms to Program Administrator for reimbursement;

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PROGRAM PROCESS

• Program is promoted to ENO residential customers.
• Customers who receive the information and wish to participate in the program either call a partnering contractor directly or 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, rate class), information about the customer’s facility and its energy using systems, and the customer’s ability and intent to invest in energy efficiency improvements in the near future.
• The Energy Solutions Representative evaluates 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 the opportunity for an assessment of their home.
• Customers, determined by the Energy Solutions Representative as having energy efficiency upgrade opportunities in their home and as indicating a commitment to investing in identified energy efficiency improvements, are directed to partnering contractors so they can schedule an appointment to have their opportunities evaluated and have incentives issued for eligible improvement work.
• The program is intended to stimulate the installation of energy efficiency improvements. Therefore, customers that pay for assessments performed by energy consultant may receive $100 reimbursement for the assessment if they implement any of the eligible improvements.
• Once a customer’s improvement work is completed, the partnering contractor applies the rebate to the customer invoice and completes a rebate form with complete information to the Program Administrator for reimbursement. The program will review and approve the partnering contractor submission and reimburse the contractor for rebates granted to the customer.
• Post improvement home inspections will be conducted as needed to gather a statistically significant sample to confirm program results and quality.

PROGRAM PROCESS DIAGRAM

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PROGRAM ENROLLMENT

There is no formal enrollment process for the Residential Solutions Program.  To participate in the program, customers either call a partnering contractor directly to schedule an evaluation of energy efficiency opportunities in their facility or may call the Energy Efficiency Solutions Center at 1-866-721-0249, Monday – Friday, 8:00 a.m. – 5:00 p.m. and speak to an Energy Solutions Representative.

Rebate will be offered on a first come, first serve basis will incentive funds last. Should the program become oversubscribed, customers will be put on a waiting list until further funding is available.

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PROGRAM CONTACTS

Program Implementation Contractor

CLEAResult Consulting
ProgramAdminENO@clearesult.com