Eric Stern, CLEAResult ConsultingOct. 14, 2010

Bundling Audits and Efficiency:A Presentation of Oklahoma Gas & Electric’s

New Home Energy Efficiency Program

The 2010 Colorado Utility ExchangeAspen, Colorado

Today’s Focus

Bundle Audits with Efficiency Measure Installations

Use Technology to Tighten Program Processes

Make Business-Value Propositions to Trade Partners

Focus Entirely on Customer Service During the Audit

Know Your Customers

Simple Has A Role

Streamline Program At Every Turn to Get to Installations

Eliminate All Extra Customer Steps & Potential to Drop Off

Think Big (Volume), When Planning Residential Efforts

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Our Agenda

The Home Energy Efficiency Program (HEEP)

Program Objectives/Goals

Program Strategy

Program Implementation Details

Program Results

Program Ideas to Share

Open Discussion/Q&A

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Program Objectives

Ambitious 3-Year Participation Program Goals (2010-2012)

30,000 Low Cost Customer Education/Clip-board Audits

Homes Must Be Built Pre-2000

Customer Out-Of Pocket Max is $50

20,100 A/C Tune-Ups

Completed by Local HVAC Contractors

FREE For Customers

20,100 Duct Repairs

Completed by Local HVAC Contractors

FREE For Customers

4,500 Appliance Rebates

For Customers with No Central A/C

$50 Rebate For Customers Purchasing From Local Retailers

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Program Objectives II

Program Must to Deliver 3 Year Energy Savings:

Roughly 0.16 kW/home = (9,850 kW/61,425 participants)

OCC Deemed Savings Varies Widely By Climate Zone, Measure, etc

AC Tune = ~0.2 to 0.4 kW

Duct Repair = ~0.4 to 0.8 kW

Appliances (Window AC, Refrig, Freezer) = Minimal

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Program Year Cumulative MW Peak Reduction

Cumulative MWh Energy Savings

2010 3.28 4.649

2011 6.57 9,298

2012 9.85 13.947

The Approach

Bundle All Measures Into Single Offering for $50

Convert 67% of Audits to A/C Tune-Up Installs

Focus on Providing Exceptional Customer Service/Education

Listen to Customers, Provide Simple & Focused Next Steps To Drive Desired Action

Streamline All Points of Contact, Reduce Hassles

Utilize Technology At Every Opportunity

Ramp Up Program Quickly

Energy Audits

Pilot Month = 200

Month 1 = 400

Monthly Throughout = 1200 –

1400/month

A/C Tunes & Duct Repairs (Done Together Now)

Month 1 = 250

May to October = ~2,000/Month

Engage Local HVAC With Volume Proposition

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Putting Ideas into Action

June & July 2010

Approval to Establish Program

Develop Audit and Report

Finalize All Program Processes, Technology, Forms, etc.

Establish Call Center Team

Recruit/Train HVAC Contractors

August 2010

Launch and Implement Pilot for OG&E Employees

Identify Opportunities to Streamline

September 2010

Full Program Launch to OG&E Customers

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Introducing the “HEEP”8

Call Center

Fully Staffed/Trained HEEP Call Center

Support All Inbound Calls

Toll FREE Number

Open 5 Days Week From 7 AM to 7 PM

Answer All Calls in 45 Seconds

Support All Outbound Calls

Return Business Response Cards

Email Inquires From OG&E Website

Explain “Bundled”

Audit/AC Tune/Duct Repair Process Up Front

Set Customer Expectations NOW

Provide All HEEP Program Information

Conduct Customer Eligibility

Conduct Customer Validation

Accept Customer Payment

Complete Customer/Auditor Scheduling

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Call Center Real Time View10

Call Center Trained Reps11

Call Center Validation12

Call Center Eligibility13

Call Center Scheduling14

Tablet Audits

Conducted by Home Energy Specialist (HES)

Uniform, Badge, Booties, Arrive 5 Minutes Early

Paperless –

Use Tablet Computers

60 Minute Visual, 30 Minute Customer Debrief

Exceptional Customer Service Is The Focus

Pre-Interview is Vital

Answer ALL Customer Questions

Use Caution to Not Overwhelm Customer

If Requested Get Into Details

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Paperless Audit Process

Customer Reports

Printed While in Home

SIMPLE –

5 Pages

Benchmark Energy Use

Reviewed w/ Customer

Top 5 Opportunities

DIY Kits for Customers

Discuss Next Steps

AC Tune/Duct Repair

Appliance Program

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OG&E HEEP DIY Kits

Simple Customer Report18

Simple Customer Report19

Simple Customer Report20

Simple Customer Report21

Scheduling Contractors

HVAC Contractor Assigned Once Audit Completed

Round Robin Format, (Based on Zips/Crews)

Leverages Existing Relationships When Possible

HVAC Contractor Notified By Email

Must Contact Customer Within 3-Days or Is Re-Assigned

May Schedule/Reschedule As Desired

HVAC Contractor Enters Appointment Time In System

Program Monitors Contractor Participation

Focus on Working with Engaged Partners

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Scheduling Contractors23

Scheduling Contractors24

Scheduling Contractors25

Scheduling Contractors26

A/C Tunes & Duct Repairs27

Very Structured Protocol Required

Customer Service

Safety Service

Operational Service

Efficiency Services

Documentation Services

Itemized/Fixed Pricing for Specific Services

$75 –

A/C Tune Up

$125 –

Evap. Coil & Blower Cleaning

$125 –

Plenum & Return Sealing

$25 –

Duct Repair

A/C Tunes & Duct Repairs

Combustion Safety Required

Prior to Duct Repair Work/After Completing Repairs

CST is Provided to All Contractors by Program

Contractor Encouraged to Sell Repair Services

Contractor Encouraged to Sell Replacement Services

Contractor Submits Paperwork for Payment

Once All Work Is Completed

Detailed List of Data Points Required

Good HVAC Contractor Crew Could Do 3 Jobs/Day

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Rebates & Coupons

Customer Appliance Rebates

Processed Weekly by CLEAResult

Data Logged into System

Customer Rebate Form Scanned in As Attachment

Contractor Coupons

Contractors Paid Every Friday (Check) by CLEAResult

Forms Are Double-Checks for Errors

Contractors Contacted If Missing Information

Data Logged into System

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HVAC Partnerships

Contractor Participation Agreement Required

Follow Scheduling Rules

Attend Required Training

Schedule Rules Are Key

Enroll In QA/QC Program

Soft-Sell

Work With Those That Want to Work With You

Engage 30+ Local Companies

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HVAC Partnerships

The Value Proposition!

Puts Company In Front of 1,000’s of Customers

Should Be Able to Sell Significant Number of Replacement Jobs Over Time

Focus on the LONG TERM Relationship with Customers

Aligns Your Services With Both:

OG&E Program Messaging

Energy Auditor Findings

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Program Tracking

Access to Real Time Data Is Imperative!

OG&E Managers and CLEAResult Program Team

Run Reports To:

Determine Marketing Campaign Effectiveness

Assess Auditor Performance

Track AC Tune-Up and Duct Repair Close Rates

Ensure Data Integrity

Implement QA Effort

Measure Real-time kW/kWh Savings

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Real Time Data & Reports33

Real Time Data & Reports34

Real Time Data & Reports35

Early Results

Up and Running Quickly

6 Full Time Home Energy Specialists Doing Audits

5 HVAC Partners Providing A/C Tunes & Duct Repairs

First 30 Days

Call Center Handling ~200 Calls + 100 Emails per Week

510 Audits Completed/Scheduled

222 A/C Tune & Duct Repairs Completed/Scheduled

Next 60 Days

Add 10 HES For Audits

Add 25 HVAC Partners

Ramp Up to Full Program Volume

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In Summary

There May Be Applications For a Checklist Audit

Streamline Everything for Customers

Payment, Scheduling, Audit Process, Installations, etc.

Make Business Pitch to Contractors

High Volume, Low Cost Can Indeed Be Desirable

Align Locally at Every Turn

Local Government Programs, etc.

Support, Support & More On-the-Ground Support!

Every Partner Needs Daily, Weekly, Monthly Touches

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Discussion38

Eric SternDirector, Mountain ProgramsCLEAResult Consultingestern@CLEAResult.com(303) 929-0743