cpg/lowell - city of lowell proposal to serve as mass save...

LOWELL Alive. Unique. Inspiring.

City of Lowell Three-Year Energy Efficiency Plan2019-2021

September 14, 2018

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Table of ContentsSection 1: Lowell as a Program Administrator............................................................................................2

Section 2: Why Should Lowell Augment Energy Efficiency Programming?.................................................3

2.1. Lowell is Different.............................................................................................................................3

2.2. The City is the Best Program Delivery Agent for Lowell....................................................................4

2.3. The City is Not New to Developing and Overseeing Energy Efficiency Initiatives.............................5

2.4. The City Has Proven Experience Engaging Ethnically Diverse and Low-Income People....................6

Section 3: Barriers to Lowell’s Full and Equitable Participation in Mass Save®...........................................7

3.1. Barrier: Language.............................................................................................................................7

3.2. Barrier: Technical Expertise Among Small Multifamily Building Owners.........................................7

3.3. Barrier: Ability to Pay.......................................................................................................................8

Section 4: The Proposed Approach..............................................................................................................8

4.1. Residential Coordinated Delivery Program Enhancements..............................................................8

4.2. Low-Income Single-Family & Multifamily Program Enhancements................................................10

4.3. Community Energy Campaigns to Drive Participation in Hard-to-Reach Communities..................11

4.4. Residential Behavior Program........................................................................................................12

4.5. Strategic Energy Management for Large Public Institutions...........................................................14

4.6. Workforce Development................................................................................................................14

4.7. Demonstrations..............................................................................................................................15

4.8. Other Programs and Statewide Coordination.................................................................................15

Section 5: Budgeted Costs and Savings.....................................................................................................16

Section 6: Roles........................................................................................................................................17

Section 7: Conclusion................................................................................................................................17

Section 8: City of Lowell Point of Contact.................................................................................................18

Appendix A: Analysis of Mass Save® Investments in Lowell 2013-2015....................................................19

Appendix B: Budget and Savings Methodology.........................................................................................21

Appendix C: Lowell 2019-2021 Plan Tables, Electric..................................................................................27

Attachment 1: City of Lowell Energy Efficiency Program Administrator Resolution..................................37

LOWELL Alive. Unique. Inspiring. Page 1 {W6874154.2}

Section 1: Lowell as a Program Administrator

The City of Lowell (City) has a long history of thinking deeply about the needs of our residents, businesses, and industries and delivering creative, ambitious, and impactful outcomes that leverage and enhance existing programs and initiatives to the benefit of our City. We have multiple sustainability, energy efficiency, and renewable energy initiatives underway (or already completed) under the City’s leadership. Building upon our momentum and our legacy of success, in April of 2018, our City Council unanimously voted (with one member absent) to “authorize the City Manager to initiate the process to amend its municipal aggregation plan so as to become responsible for the design and implementation of energy efficiency programs.”1 In taking this step, the City Council’s aim was for the City to overcome the very real obstacles that our unique community of approximately 110,000 residents and businesses face when attempting to decrease their energy use and energy costs. The City Council also intended for Lowell to act as a leader in the Commonwealth, sharing lessons learned from this community-based approach with other program administrators and stakeholders to help Massachusetts maintain its national leadership in energy efficiency and reach its ambitious energy and environmental goals.

This energy efficiency plan outlines the City’s commitment to serve as Program Administrator (PA) for electric energy efficiency for Lowell. It describes the experience and resources the City will draw on to engage its hard-to-reach residents in energy efficiency initiatives, and provides an overview of the City’s planned energy efficiency program enhancements. In serving as the electric efficiency Program Administrator for Lowell, the City seeks to work collaboratively with the Massachusetts Department of Energy Resources (DOER), Massachusetts Energy Efficiency Advisory Council (EEAC), National Grid, the Low-Income Energy Affordability Network (LEAN), and a range of implementation contractors currently delivering Mass Save® programs to:

Leverage and enhance the existing programs in innovative and community-centered ways that increase participation by Lowell residents, businesses, and industries in ratepayer-funded energy efficiency programs

Improve the design and delivery of the programs so they are tailored to the specific demographics of Lowell with new and creative approaches that increase penetration for low-income residents, multifamily renters, and those for whom English is a second language

Enhance participation of large institutions by providing enhanced incentives to help them achieve energy and climate change-related goals and metrics

Create a “green collar” workforce development program that brings training and empowerment opportunities to local businesses and workers and enhances the delivery of efficiency programs by allowing neighbors to help neighbors

Deploy existing resources and networks available to us as a City to enhance energy efficiency outcomes and enable the cost-effective implementation of comprehensive programs and measures

Ensure that Lowell ratepayer funds provide measurable and equitable benefits for Lowell

Lowell is the nation’s first successfully planned industrial community, with a long history of innovation and optimization of community, state, and federal resources for the betterment of our residents, businesses, and industries. The City is a diverse urban community initially built around the extensive

1 Lowell City Council, Energy Efficiency Program Administrator Resolution, April 24, 2018. The executed resolution is presented in Attachment 1 of this proposal.


industrial mill complexes along the Merrimack River. Although the mills have been repurposed since its founding, they stand as a link to the City’s history of innovation and utilization of community resources. The City intends to bring this same spirit to the role of energy efficiency Program Administrator for the upcoming Mass Save® program being developed for 2019-2021.

Since its founding, Lowell has been ethnically diverse, a tradition that continues to this day. From the Irish fleeing the potato famine to the Cambodian immigrants of today, a promise of a better life has brought people here for nearly 200 years. A strong motivator for Lowell’s plan to become the Program Administrator for Mass Save® programs in our City is to help fulfill this promise by enhancing the design and delivery of the programs to ensure they reach and serve the diverse populations of Lowell.

Section 2: Why Should Lowell Augment Energy Efficiency Programming?

There are several reasons that Lowell is convinced that it—rather than the existing Program Administrators (PAs)—can better design and deliver energy efficiency programs in our community.

1. Lowell is different from other communities in the Commonwealth.2. The City is the best agent to deliver programs that conform to the priorities established for Mass

Save® program planning and implementation during 2019-2021.3. The City has the necessary experience running efficiency and sustainability programming and

complementary housing programs.4. The City has proven experience engaging its ethnically diverse and low-income residential

population.

2.1. Lowell is Different

The demographics of the City are fundamentally different than those from the Commonwealth of Massachusetts on many dimensions that affect the delivery of efficiency programs.

The poverty rate in Lowell is nearly twice the rate in Massachusetts statewide: 19.6% versus 10.4%.

Per capita income in Lowell is 37% lower than per capita income in Massachusetts: $24,946 versus $39,771.

Median household income in Lowell is 26% lower than median household income in Massachusetts: $55,383 versus $75,297.

Compared to Massachusetts, nearly twice as many residents in Lowell speak a language other than English at home: 43.7% versus 23.7%.

The rate of residents born outside of the US is 68% higher in Lowell compared to Massachusetts: 27.8% versus 16.5%.

The percentage of non-white residents of Lowell is twice that of Massachusetts: 41.2% versus 20.7%.2

Each of those demographic characteristics tend to make the population of residents harder to reach through traditional energy efficiency program approaches. In fact, the Commonwealth has been

2 American Community Survey (DP05, 2012-2016), and Census Reporter.


discussing how best to serve hard-to-reach populations in the planning process for the 2019-2021 statewide energy efficiency plan. Multiple EEAC workshops have included discussion on devoting extra effort toward the hard-to-reach populations in 2019-2021.3 While we support that direction, we contend that the City’s specific population demographics call for higher levels of knowledge, engagement, and trust than can be offered through standardized statewide offerings.

In addition, housing characteristics in Lowell are significantly different from those of Massachusetts.

The percent of residents who rent in Lowell is more than 50% higher than in Massachusetts: 58% versus 38%.

The percent of multifamily homes of 5 or more units is 70% higher in Lowell than in Massachusetts: 36% versus 21%.

The percent of small multifamily (2-4 units) in Lowell is significantly higher than in Massachusetts: 27% versus 21%.

The percent of single-family units in Lowell is significantly different from Massachusetts as a whole: 37% versus 58%.

The difficulties of reaching multifamily buildings and rental properties with statewide programming make this sector another hard-to-reach one. Both population demographics and housing characteristics combine to make Lowell residents and businesses extremely difficult to serve with a standardized statewide offer.

2.2. The City is the Best Program Delivery Agent for Lowell

The City is well- positioned to take on energy efficiency program delivery and to respond to the challenges that our demographics present to traditional statewide programming. The City government has an unparalleled understanding of our local strengths and weaknesses, and with that can provide programming that reaches our underserved and hard-to-reach residents and businesses. In doing so, the City can also provide models of program delivery that can later be implemented statewide in other hard-to-reach communities. By moving to local delivery of service, the City provides the following advantages:

Best understanding of the local conditions Trusted status among many of the hard-to-reach demographic groups Ability to leverage other City initiatives, particularly in the housing department, and build on our

existing sustainability platform

Importantly, the City does not intend wholesale replacement of statewide programming. We understand the benefits to the market and the Commonwealth of having a platform of consistent statewide programming. We also recognize the critical role that LEAN plays in developing and delivering high quality services to low-income people throughout the Commonwealth. We do not intend to disrupt that effort but will seek to provide additional resources to and emphasis on the good work they do.

What the City will do is leverage our established, trusted relationships with local groups to provide new outreach and implementation platforms that drive more participation in Mass Save® programs. The ability to implement traditional “housing” and “energy efficiency” programs on a complementary and

3 See, e.g., EEAC Workshop #2 briefing document, presentation, and meeting summary, October 24, 2017 (http://ma-eeac.org/october-24-residential-planning-workshop-2/).


coordinated basis is expected to secure substantial and comprehensive savings while also increasing cost-effectiveness. We will also bring the benefits of statewide programming to a local level in terms of workforce development and local economic multiplier effects. This will take nothing away from the Commonwealth, but rather will provide a new tool for program implementation that is designed to respond to local conditions. We believe this sort of targeted complementary approach is the best way for Massachusetts to maintain its position as a national leader in energy efficiency programming.

2.3. The City is Not New to Developing and Overseeing Energy Efficiency Initiatives

The City has been leading the development and implementation of energy efficiency and renewable energy initiatives for a decade, with substantial success and demonstrated positive outcomes resulting from our leadership. For example, the City has achieved the following:

Invested in a technical energy audit of 48 municipal buildings. (2008) Completed 28 energy conservation measure (ECM) projects based on results of that audit as

part of a $21 million ESCO project. At the time, this was the largest ESCO project in the Commonwealth. Cumulatively, this project has resulted in savings of over 17 million kWh of electricity, 2.4 million therms of natural gas, and 62,347 metric tons CO2 equivalent since the baseline year. (2010)

Achieved designation as one of the first Green Communities. Thus far, the City has reduced its energy use 16.3% since its baseline year. (2010)

Implemented a program to reduce the Downtown Historic District’s carbon footprint, create jobs, promote multi-stakeholder partnerships, and establish a sustainable and replicable model for energy efficiency projects in historic buildings, using $5 million in “seed” money from the Better Buildings Neighborhood Program of the U.S. Department of Energy. This resulted in energy savings of 22,869 MMBTu from 31 projects. (2010-2013)

Installed 9.4 MW of solar capacity. These installations have generated over 39.7 million kWh of renewable energy. (2012-2014)

Received Massachusetts Department of Energy Resources (DOER) Municipal Leading by Example award. (2012)

Adopted the Sustainable Lowell 2025 Master Plan. As part of this plan, the City included a stated objective of implementing a municipal program to promote energy efficiency utilizing ratepayer funds. (2013)

Began a municipal aggregation program, which was the first carbon neutral power supply procured in the Commonwealth. Since its inception, this program has saved residents over $1.7 million compared to Basic Service. (2014)

Committed to the Best Practice of Maximizing Energy Efficiency and Renewable Energy Opportunities as part of the Governor’s Community Compact. (2016)

Participated in the National Grid Community Initiative that resulted in a measurable increase in participation in existing energy efficiency programs. (2016)

Developed and adopted a resolution by the City Council to move toward 100% renewable energy. (2017)

Retrofit over 6,000 streetlights, as well as decorative fixtures throughout the City. This retrofit is anticipated to save over 2.3 million kWh. (2017)

Became one of only six Gold level SolSmart designated communities in the Commonwealth. This designation recognizes measurable steps the City has taken to make it faster, cheaper, and easier to install solar energy. (2018)


2.4. The City Has Proven Experience Engaging Ethnically Diverse and Low-Income People

The City has extensive and proven experience successfully reaching, engaging with, and serving our ethnically diverse and low-income community. We have effective working relationships with key non-profit organizations and for-profit corporations engaged in our community across a wide variety of issues. We engage daily in partnerships with local, county, and state entities. Examples of our partners in affordable housing are provided below.

Alternative House Boott Mills East LP Caleb Foundation Coalition for a Better Acre Community Teamwork, Inc. D'ouville Senior Care Center House of Hope, Inc. Lowell Transitional Living Nason Property Management, LLC Pathfinder Redwood Terrace Residents First Development Corporation

The City also partners with many community and cultural groups to support their missions either financially or through support of City services. Examples include:

Acre Family Child Care ACTION Boys & Girls Club Brazilian Festival Brush Art Gallery and Studios Cambodian Mutual Assistance Association Clemente Park Committee Coalition for a Better Acre Cultural Organization of Lowell DIY Lowell Girls, Inc. of Greater Lowell Greater Merrimack Valley Convention and Visitors Bureau Greek Festival Habitat for Humanity Hellenic Culture and Heritage Society Kiwanis Club of Lowell Lowell Celebrates Kerouac Lowell Festival Foundation (Lowell Folk Festival; the City is a partner organization) Lowell Heritage Partnership Lowell Historical Society Lowell National Historical Park Merrimack Repertory Theatre


Mill City Grows Puerto Rican Festival Southeast Asian Water Festival University of Massachusetts at Lowell (UMass Lowell) Whistler House Museum of Art

As Program Administrator, the City will engage many of these organizations meaningfully in delivering energy efficiency solutions to Lowell residents and businesses.

Section 3: Barriers to Lowell’s Full and Equitable Participation in Mass Save®

A variety of barriers exist to the full and equitable participation by City residents, businesses, and industries in Mass Save® statewide offerings. These are discussed below, followed by high-level descriptions of the approaches planned by the City for addressing these barriers through its role as energy efficiency Program Administrator.

3.1. Barrier: Language

For an estimated 29% of Lowell residents, English is not their first language. Outreach materials and outreach case workers fluent in Spanish (13% native speakers), Mon-Khmer Cambodian (11% native speakers), and Portuguese (5% native speakers) are needed to address residents needs and encourage their adoption of energy efficiency. And it is not just a matter of translation services. Rather, developing a local outreach workforce that includes native speakers in each of the languages would mean that trusted local staff could meet residents in their own communities, using their own language. This also will become as a workforce development opportunity for local residents.

3.2. Barrier: Technical Expertise Among Small Multifamily Building Owners

More than 30% of residential units in Lowell are in small multifamily buildings (2-9 units). Small multifamily buildings are often owned and operated by small-time “investors” who do not operate as landlords as a full-time endeavor, and therefore have very limited time and attention. Development of an augmented outreach and technical assistance service specifically for this class of building owners could result in more of them taking advantage of the programs offered at the statewide level. The City currently runs a suite of housing development and rehabilitation programs that, if pursued on a comprehensive and complementary basis, should secure substantial benefits and savings. This service could also be a good “feeder” of information to Mass Save® on what the needs of these building owners are and how to build more effective programs not just for Lowell residents but for the wider number of small rental apartment buildings in the Commonwealth.

3.3. Barrier: Ability to Pay

57% of renters in Lowell are over-burdened by their housing costs, paying more than 30% of their income for housing. There are several potential solutions to this barrier. One solution is a customized program that combines direct installation of individual measures in these units, combined with a


behavioral-focused program that provides prompts to reduce energy use even further, leading to reduced monthly housing and energy costs. It could also become a model for other jurisdictions in the Commonwealth with large numbers of renters, especially in small multifamily buildings. Another solution is a tailored financing program specifically oriented to small multifamily building owners. This kind of financing program, especially when combined with technical assistance, could provide the resources needed for efficient equipment replacements.

Section 4: The Proposed Approach

We begin this section by stating that the suite of programs offered statewide in Massachusetts, including the programs serving low-income people and multifamily buildings, is considered one of the best in the country. The City seeks to enhance—not replace—those programs so that they better serve our City’s residents and businesses. Rather than proposing wholesale replacement of the existing portfolio of programs, Lowell instead intends to ensure the existing programs are appropriately tailored to our unique, underserved, and hard-to-reach population.

We will pay particularly close attention to increasing participation of renters and small multifamily building owners (2-9 units) in our City and will integrate grassroots-led community energy campaigns and workforce development approaches that create new avenues for Lowell residents, property owners, and businesses to fully participate in Mass Save® offerings. These activities will be supplemented by enhanced residential offerings, including new behavioral savings and active demand management approaches, a strategic energy management program that helps Lowell’s major institutions and industries lead by example and achieve important energy cost reductions, and a partnership with UMass Lowell to learn about battery storage technologies, costs, and applications. The City strives to meet the stated goals of the EEAC and the Department of Public Utilities (Department) in developing these plans, which are critical to the long-term economic and environmental prosperity of the Commonwealth.

4.1. Residential Coordinated Delivery Program Enhancements

With the differences in Lowell’s demographics and housing characteristics comes the need to improve participation in both single-family and multifamily retrofit programs. The comparatively high percentage of small multifamily properties in the City makes that sector an ideal place to pilot new strategies to reaching building owners and identify the benefits that will drive them to upgrade their buildings. Putting the variety of incentives available to owners and renters into packages that are easy to understand and economically compelling, especially for the underserved moderate-income population (60-80% AMI), will help to bring more projects to completion. A strong connection with the workforce development program (see below) will create opportunities for weatherization providers to hire and train community members who have the same backgrounds as the owners of these buildings. The City’s strong track record of working with Lowell’s many neighborhood associations and small and large rental property owners, along with its long-standing job training and housing programs, position us well to identify needed improvements to programming as a result of our strong connections throughout the community.

The City has also engaged in planning discussions with experts at LEAN to identify opportunities for collaboration. The City is encouraged by this opportunity and believes this enhanced collaboration would not only benefit Lowell but could serve as a “pilot” for certain measures. The City expects to


report on the results of these preliminary planning discussions in its final submission to the Department in October.

Single-Family Enhancements

The City will take a different approach to the Home Energy Services (HES) program which is intended to support increased participation for market-rate and moderate-income residents while delivering cost-effective energy savings. The changes to the City’s approach begin with the home energy assessment. We will continue to offer this as a free service to single-family (up to 4-unit buildings) owners and renters, but instead of a fully modeled energy audit it will focus on:

Visual identification of weatherization improvements Direct installation of energy efficiency materials Marketing packages of weatherization improvements designed to meet the customer’s needs

The City intends to directly oversee implementers delivering single-family HES and provide a single project point of contact to contractors delivering multifamily retrofits. This will ensure that Lowell has more direct influence on services and outcomes. It will also enable coordinating with local partners for outreach campaigns. For example, we envision training local residents, who are sensitive to the language and culture of occupants, to conduct home energy assessments in partnership with local weatherization service providers like Community Teamwork, Inc. (CTI). This will provide valuable job training and workforce development while establishing connections to local employers. The gains that the City makes in enhancing the workforce in such culturally sensitive ways will be shared with other PAs, leading to increased service delivery to hard-to-reach households at the statewide level. We describe these efforts in greater detail in the Community Energy Campaign and Workforce Development sections, below.

The program will also design packages of improvements based on the energy efficiency opportunities discovered, the specific needs of the building owner, and the incentives and financing available through Mass Save® and the Massachusetts Clean Energy Center (MassCEC), such as those that are available for renters, moderate-income homeowners, and owners of 2-4 unit apartment buildings. Packages will include free air sealing and rebates on insulation based on income level (as currently offered by HES), as well as the appropriate combination of HVAC improvements for the home – emphasizing wherever possible the installation of heat pumps to offset electric resistance or fossil fuel space heating, as directed by the Green Communities Act and the Global Warming Solutions Act. Heat pump water heaters will also be assessed for both their energy savings and demand management potential. The City will directly engage with local financing institutions providing the HEAT loan to ensure seamless integration of financing solutions into the packages designed for this program.

The City was recently awarded a grant from MassCEC to market the Solarize Mass Plus program and will be engaging community members through February 2019 on pairing solar PV installations with air source heat pumps. Initial surveys conducted by the City indicate that, for most residents, air source heat pumps are not well understood as a heating and cooling alternative. The City will utilize its engagement of the community through Solarize Mass Plus to educate residents and identify opportunities which could be supported by Mass Save®.

Multifamily Enhancements


One-third of Lowell’s residential units are small multifamily buildings (below 10 units). These units are often individually metered, so residents are responsible for their own energy bills, but may have centralized systems for water heating and space heating and cooling. Some of the approaches identified in the single-family section may also apply here – such as our modified approach to the home energy assessment and design of cost effective packages of improvements. Lowell will continue to work with the LEAN network to provide efficiency services for these buildings and will collaborate on the best ways to serve the Lowell community, including adding new measures and services where appropriate. For example, residents of these buildings are a primary target of the Enhanced Connected Thermostat Initiative and Active Demand Management Pilot described below. They also may be good candidates for ductless mini-split units if they currently cool with window AC units (both to offset heating load as well as provide more energy efficient cooling).

4.2. Low-Income Single-Family & Multifamily Program Enhancements

The City intends to continue working with the LEAN network, which has been successfully providing services to low-income single-family and multifamily households across the state for many years. In Lowell, CTI has been the local provider of weatherization services and the City has extensive experience working with them. The City’s goal will be to collaborate with CTI on ways to increase program participation among low-income renters and non-English speaking residents and increase the level of resources available to provide energy efficiency services.

The City will also tap into the decades of experience it has in administering housing rehabilitation programs to identify how those program strategies and resources could be utilized to bolster energy efficiency programming. For example:

The City offers technical and financial assistance in the form of zero interest loans to both homeowners and rental property owners to conduct major renovations and/or mitigate significant health and safety issues. The City would look for opportunities to coordinate energy efficiency upgrades with the rehabilitation projects and potentially be able to roll the balance of project costs that aren’t rebated into the zero-interest loan.

The City offers a first-time home buyer program which provides low-moderate income residents the necessary training and financial assistance to become homeowners. This is also structured as a zero-interest loan payable only when the property is sold. This program could also be paired with Mass Save® program offerings to ensure that these new homeowners aren’t saddled with high energy costs.

The City has a working relationship with the Lowell Housing Authority (LHA) that administers the Department of Housing and Urban Developments Section 8 mobile voucher program, this program is taken advantage of by a significant number of multifamily owners that accept these vouchers as rental payment. The City would work with the LHA to approach these landlords for energy conservation measures.

Programs implemented by the City to assist low-moderate income residents are important resources that should be better connected to Mass Save® programming. Doing so will improve outcomes for the people and housing providers which both Mass Save® and the City are intending to serve. This is yet another example of an area where we expect to be able to share strategies and lessons learned with other municipalities and PAs in the Commonwealth.


4.3. Community Energy Campaigns to Drive Participation in Hard-to-Reach Communities

With so many Lowell residents and businesses falling into the hard-to-reach category, the City has been underserved, and a concentrated community energy campaign will be mobilized to ramp up usage of statewide efficiency offerings and inform the design and implementation of new approaches for Mass Save®.

One important demographic that these campaigns will aim to better engage are renters. The City has 50% more renters than the statewide average, with over half of its population renting rather than owning homes. Furthermore, 57% of Lowell’s rental population pays more than 30% of their income to housing costs. Rental populations have been a challenge for energy efficiency programs to serve for decades because of split incentives,4 and the Mass Save® programs have attempted to address this by offering free energy assessments and direct installation of low cost materials, significant incentives on insulation and air sealing which in some instances fully pay for these measures, and affordable financing options for the balance of the project cost. Even with this level of incentives, Mass Save® programming has not been able to effectively engage this population. We believe this is because the current approaches have not broken through the non-financial barriers to participation such as cultural and language barriers and lack of knowledge of and connections with key local stakeholders who must be engaged for program recruitment to be successful. Other non-financial barriers include lack of convenience or time to participate, as identified by the EEAC and program administrators in their review of moderate-income programming earlier this year.5

With outreach strategies specifically designed for Lowell’s various communities, partnering with the neighborhood associations and community-based organizations, and incorporating proven engagement strategies that have been tried and tested for efficiency programs, the campaign will reach and engage much larger percentages of previously unserved residents and business owners. Neighbors will share their positive experiences with each other and trust for the programs and their beneficial impacts will grow.

The City will develop and launch community energy campaigns in areas with high energy use and high penetrations of low-income households and renters. Prior to the launch of a campaign, the City will engage the appropriate local stakeholders. These stakeholders will help design the outreach strategies and the City will leverage the stakeholders’ relationships to create a buzz that will improve campaign 4 Split incentives refer to the fact that owners of multifamily properties lack the incentive to invest in energy efficiency since they typically don’t pay the energy bills and renters lack incentive to invest because they don’t own the property and may not live in it long enough to justify the expense.5 http://ma-eeac.org/wordpress/wp-content/uploads/New-data-to-inform-moderate-income-market-v10Final.pdf


Example of Potential Approach The Coalition for a Better Acre (CBA) provides development and financing resources to support the revitalization of the “Acre” and “Lower Highlands” communities of Lowell. The CBA was formed in the 1890s and maintains a portfolio of 476 rental units. The CBA and the City have partnered for decades on a variety of redevelopment projects. The CBA describes Lowell’s neighborhoods as “Neighbors know neighbors. People say hello to one another.”

The City will work with the CBA and the various neighborhood associations to develop a local energy campaign that offers direct installation of energy efficiency products and enrollment in energy efficiency programming. The City will develop partnerships with local air sealing, insulation, and HVAC contractors to explore potential special pricing options for bulk recruitment of customers. It will also work with the CBA to perform outreach to rental property owners to both inform them of the coming campaign and special pricing details and create a sense of urgency to take advantage of the opportunities to improve their properties for deeply discounted rates.

http://ma-eeac.org/wordpress/wp-content/uploads/New-data-to-inform-moderate-income-market-v10Final.pdf

results. For many programs, residents will be directed to appropriate Mass Save® programs and services administered by the City of Lowell. Some of these programs may utilize the implementation contractors that are currently part of Mass Save® programming, and some will utilize local residents trained through workforce development opportunities (see section 4.5). Outreach strategies will be designed and implemented by community members. The first step will be to engage stakeholder groups as true partners in developing the work plan.

Lowell has a network of active neighborhood associations that are trusted messengers essential to the success of such a grassroots campaign. Furthermore, the City has experience partnering with many of the affordable housing providers and developers and will leverage those partnerships to generate buzz and create scale. Community leaders and representatives of each underserved group (whether based on income, language, culture, ethnicity, housing type) will be engaged to understand their unique barriers, tailor messages to the community, and identify key communication channels and events to reach different groups in the City.

Outreach will be conducted in more languages than have been used by Mass Save® programs to date and will be delivered by members of the local community wherever possible. When collateral materials are developed in other languages, they will be routinely shared with the other PAs in the Commonwealth to ensure that Lowell’s investment has the widest statewide payoff possible. Community members who are native speakers of Spanish, Portuguese, and Khmer will be hired and trained in efficiency techniques and programs, and will reach out to their communities by:

Leading community-based marketing and outreach efforts Staffing a Lowell-based resource center to provide referrals to Mass Save® programs Conducting or partnering with current vendors to deliver on-site energy assessments for

market-rate and low-income single-family, multifamily, and small business programs

As Program Administrator, Lowell will also partner with and provide additional resources (grants, technical expertise, etc.) to community-based organizations and nonprofits that serve Lowell. Other efficiency programs around the country have shown this as an effective strategy to garner participation by hard-to-reach residents.

4.4. Residential Behavior Program

In the 2016-2018 period, each Massachusetts PA administered its own Residential Behavioral/Feedback initiative. Most PAs have separately engaged with implementation vendors to deliver Home Energy Reports to customers in both paper and email forms. Home Energy Reports are a longstanding and proven approach to deliver residential behavior savings. Lowell will explore opportunities to continue this offering in collaboration with other PAs, potentially as part of a streamlined process to engage a joint statewide implementation vendor, while at the same time investigating new behavioral approaches that may contribute better savings and even active demand management for the City.

Such designs could include elements and insights from:

Behavior savings for renters. Low-income renters often face high energy costs but are challenging to serve through typical efficiency programs that rely on installing measures. Lowell will explore a collaboration with affordable housing partners to offer an innovative behavior program to low-income renters living in multifamily buildings. Using a randomized


encouragement design to quantify savings, this program will incorporate a carefully layered approach that combines commitments and feedback to influence renters’ energy use. Initial results from a Vermont pilot are promising, with residents who committed to save energy in the pilot program and a replication of the pilot saving 7-8% compared to the non-committed group.

Next-generation home energy management systems (HEMS). An emerging class of HEMS combine high-resolution energy measurements with machine learning and edge computing, opening up new opportunities for end-use disaggregation, providing more relevant real-time feedback to homeowners and renters. These next-generation HEMS offer a suite of capabilities (very high sampling rates, real-time low-latency feedback, and consumer-focused applications and engagement strategies) that can be harnessed for precise, cost-effective energy efficiency and demand response. Lowell will test the potential for this emerging class of products to drive deep and persistent behavior savings, potentially over 5% of whole-house electric savings, through higher quality information and feedback that is more relevant, specific, and actionable than previous products and programs.

Enhanced connected thermostat initiative. Most thermostat programs only capture energy savings based on the savings produced by the device itself. There is growing evidence that connected thermostats are effective channels for both identifying additional savings opportunities and supporting more real-time and ongoing customer engagement. However, the ability to act on these opportunities requires innovations in program design and delivery to identify the best ways to bring value to customers through these devices. We believe that significantly more value can be derived from connected devices. Beyond the savings generated by the “widget”, smart thermostat data can provide insights into behavioral interventions that may produce additional savings, as well as reduce and/or shift demand to meet the changing demands of the grid. For this initiative, the City will engage thermostat providers that offer lower pricing for low-income programs6 and effectively waive customer costs for participation in enhanced data-driven programs for certain connected thermostats.

Residential active demand management pilot. HEMS and connected thermostats (see above) can enable and accelerate participation in a community-wide active demand management pilot. The pilot will be framed in the general community interest, focusing on collective benefits and savings rather than individual savings. This aligns the values of the community with active demand management, providing a compelling line of engagement for community participation and impact with authenticity. With messaging and feedback themes developed, delivered, and amplified by local organizations, the pilot would leverage innovative, pro-social incentive models that would generate contributions to community causes paid out of the economic savings of the campaign.7 HEMs and connected thermostats will facilitate automatic responses, data-driven insights, and contribute to measurement and verification analysis that informs pilot operation, results, and potential for scale and replication beyond Lowell and across the Commonwealth.

6 Nest has recently launched products and pricing specifically for low-income programs: https://nestpowerproject.withgoogle.com/, and we are aware of other thermostat providers that are taking a similar approach.7 This approach was taken by Burlington Electric Department in Burlington, VT this summer and the results are compelling: https://www.burlingtonelectric.com/peak.


https://www.burlingtonelectric.com/peak

https://nestpowerproject.withgoogle.com/

4.5. Strategic Energy Management for Large Public Institutions

Lowell will offer a “lead by example” Strategic Energy Management (SEM) initiative designed to comprehensively engage its large public institutions in energy efficiency. Starting with two of the city’s largest and highest profile public institutions, the City’s municipal government and UMass Lowell, SEM will serve as a holistic framework to improve energy management and planning at all levels – facilities, capital investments, operations and control systems, and staff and student engagement.

The pillars of an effective SEM program are commitment, planning, and engagement. First, the SEM program will seek to work with key leaders and managers at these institutions to strengthen their energy policies, building on the strong commitments that both the City and the University have made to sustainability. Next, the program will work with the City and UMass Lowell to conduct an energy management assessment to review current energy management practices and identify opportunities for improvement. This will inform development of a long-term roadmap to improve energy management practices and plan for capital investments. Finally, the program will engage staff and students in implementing energy management systems and plans. For example, facilities staff will participate in opportunity assessments or “treasure hunts” to find untapped opportunities for energy savings. The SEM program will engage students in energy-savings initiatives in the Lowell Public Schools and the University, and in the broader community.

The SEM program will also help participating public institutions put in place the infrastructure to support energy management over the long term. Key elements of this infrastructure include:

Energy management information systems (EMIS) that provide actionable insight into energy usage across the entire portfolio of buildings

Revolving loan funds to support ongoing investments in energy efficiency Energy management staff to serve as internal champions and sustain the commitment to energy

savings

The SEM program will be designed to layer onto the standard incentives available to large institutions under Mass Save®, with a focus on supporting EMIS installation, enhanced technical assistance, and potentially enhanced incentives for energy savings from operational and behavioral changes.

4.6. Workforce Development

The Mass Save® programs have undoubtedly created thousands of jobs in the last several years because of the investments in energy efficiency. However, the programs have missed the opportunity to tap into the network of job training and workforce development programs happening at the local level. This is perhaps unsurprising as the program administrators’ goals are largely tied to meeting their energy savings targets as opposed to supporting local job training efforts.

Engagement and empowerment of local communities like Lowell is a chance to tie these threads together to achieve better results and increase the overall impact of the energy efficiency surcharge. Lowell has workforce development activities underway and sees tremendous advantages to connecting them to the green jobs opportunities that are created by the Mass Save® programs.


Lowell will develop its own workforce development program that will utilize the resources available in our community to amplify the effects of Mass Save® as a job creator. The City will hire and train residents with interests in efficiency programming and with multiple languages and deep community roots. The residents will serve as the “ground force” for community outreach and engagement efforts. Lowell will also partner with local workforce development institutions to train people to conduct the direct installation of energy efficiency materials and assessment of energy savings opportunities. This workforce will be utilized during the community energy campaigns and partnered with local air sealing, insulation, and HVAC contractors to provide additional services, as well as build relationships which could lead to future job opportunities for trainees. Examples of institutions that Lowell will engage in this effort include the Greater Lowell Technical High School, the Career Center of Lowell, Community Teamwork’s YouthBuild program, and UMass Lowell.

Workforce development efforts will focus on partnering with existing Mass Save® vendors and will showcase the benefits of having a multilingual efficiency workforce. This will benefit not just Lowell and its residents, but also businesses throughout the Commonwealth that are trying to reach more deeply into non-English language and immigrant communities. Such resources and any training materials developed will be shared with other PAs to foster more effective outreach and engagement in other communities throughout the Commonwealth.

4.7. Demonstrations

To support development and refinement of energy efficiency offerings that best support residents and businesses, Lowell plans to allocate energy efficiency funding for demonstration projects starting in 2020, after deploying core programs in 2019. Such demonstrations will be used to test emerging technologies for inclusion in standard program offerings, as well as innovative program models that may more effectively engage Lowell’s underserved populations, such as renters and moderate-income households.

We are already aware of one potential demonstration project involving UMass Lowell and are beginning conversations with them about ways we might work together. The project would utilize a $1 million grant awarded by the State to develop a battery technology center. The City is interested in partnering with UMass Lowell in the development of its battery technology center in order to learn more about the various technologies, costs, and applications. One area Lowell is particularly interested in investigating is how solar plus storage could be integrated with energy efficiency programming to create more resilient communities and support better load management. The City and UMass Lowell will then share their findings with the other PAs and potentially other universities or other institutions where battery storage may be applicable.

4.8. Other Programs and Statewide Coordination

Lowell’s energy efficiency plan focuses on leveraging community resources and relationships to improve service to the City’s hard-to-reach populations. To meet this goal, Lowell identified certain programs, such as Home Energy Services and Behavior Initiatives, where there are opportunities to enhance program offerings in ways that will more effectively serve local residents. To maximize resources for these targeted programs, Lowell understands that it will need to look for opportunities to streamline delivery of other programs, particularly mass-market programs that do not need Lowell-specific enhancements.


Lowell will seek to leverage the strong statewide service delivery infrastructure for these mass-market programs, such as Residential Products (e.g., HVAC rebates, consumer products sold at retail, etc.) and Commercial Upstream Lighting. For these programs, there is a strong benefit to engaging retailers and wholesale distributors in a coordinated and consistent manner across the Commonwealth. The City will explore options to partner with the other PAs to administer these programs, and to participate in joint solicitations for statewide implementation vendors. The City will also look for opportunities to collaborate with other PAs to hire statewide implementation vendors for other programs not needing Lowell-specific enhancements, such as Residential New Construction and Small Business direct installation.

Notably, we expect that Lowell’s community outreach campaign will increase participation by Lowell residents and businesses in other Mass Save® programs, such as the mass-market and upstream programs, as well as National Grid’s natural gas energy efficiency programs.

Section 5: Budgeted Costs and Savings

As previously noted, in the first three-year period, much of Lowell’s efficiency portfolio will tie directly to statewide programming. The City intends to be a strong and collaborative partner in the statewide approach in Massachusetts and to drive more participation in Mass Save® offerings through enhanced community engagement, marketing, and outreach efforts. With this in mind, for the initial projections for 2019-2021 electric efficiency program investments and savings in the City, the statewide assumptions and savings calculations are used, scaled to the budget derived for Lowell.

For the purposes of developing these initial estimates of budget and savings, the City relied on the best information made available to us and then made reasonable assumptions to fill information gaps. The City understands that budgets for other PAs are currently under development for the 2019-2021 period based on potential studies that define cost-effective savings for the individual PA jurisdictions and has requested to be included in those PA discussions; however, we have not been granted access to planning materials beyond what is publicly available. The City expects to continue iterating on our plans and budgets in advance of submission of final plans on October 31st, and that the numbers below will be adjusted to reflect expected or projected 2019-2021 figures once those are made available. We look forward to working with National Grid and the other PAs to align our planned budgets and savings with the statewide energy efficiency plan, with the goal of making Lowell’s plan part of the statewide plan filing.

Appendix B summarizes the methodology the City used to develop budgets and savings for 2019-2021 energy efficiency programs. Appendix C provides detailed data tables summarizing program budgets, savings, cost-effectiveness, total benefits, and greenhouse gas (GHG) reductions.

1 shows the 2019-2021 savings, benefits, and budgets associated with the programs described in this electric efficiency plan. Energy savings are presented in MMBtu, consistent with the Energy Optimization approach taken in the draft statewide energy efficiency plan. Converting electric and fuel savings from the City’s programs to MMBtus supports a more holistic perspective, in the context of fuel switching to heat pumps and other tradeoffs.


Table 1: Lowell savings, budgets, and benefits (2019-2021)

2019 2020 2021 2019-2021

Lifetime Savings (MMBTU) 571,484 558,320 546,739 1,676,543

Annual Savings(MMBTU) 53,215 52,003 51,075 156,293

Summer Peak Demand Reduction

(kW)2,873 3,322 3,949 10,144

Budget ($) $8,324,984 $8,369,767 $8,403,789 $25,098,540

Benefits ($) $24,412,134 $24,292,346 $24,449,393 $73,153,873

Electric savings as a percentage of annual retail sales is another important lens to view the depth of savings obtained in this plan. While forecasted 2019 electricity consumption for Lowell was not available, considering these savings relative to 2017 electric usage provides a high-level estimate of savings levels, as shown below in Table 2.

Table 2: Electric savings as a percentage of annual retail sales

Electricity Usage (2017 MWh)

Estimated Savings (2019 MWh)

Savings Percentage

Residential 174,917 3,063 1.8%

Income Eligible 50,427 710 1.4%

C&I 426,581 11,823 2.8%

Total 651,924 15,596 2.4%

Section 6: Roles

The City plans on hiring a fulltime Energy Efficiency Administrator to direct and oversee the City’s role as Program Administrator. The Energy Efficiency Administrator would oversee all program design and delivery activities, and would represent the City in its role as Program Administrator for all EEAC meetings and any hearings related to Mass Save® at the DPU or DOER.

Section 7: Conclusion

Lowell seeks to work collaboratively with the Massachusetts Division of Energy Resources, the Energy Efficiency Advisory Council, National Grid, the Low-Income Energy Affordability Network, and other stakeholders to design and implement an energy efficiency portfolio that provides enhanced services to


underserved and hard-to-reach populations and bolsters Massachusetts’ position as a national leader in energy efficiency. The City will build on the strong foundation of Mass Save® efficiency programs and align with statewide programs wherever possible, particularly for mass-market and upstream/midstream programs.

Lowell is open to a range of administrative and contractual structures that achieve the City’s goal of enhanced services and outreach to underserved community members. We look forward to engaging collaboratively with DOER, EEAC, National Grid, and other key stakeholders during the coming months, as the City finalizes the energy efficiency plan for 2019-2021.

Section 8: City of Lowell Point of Contact

Phil Ferreira, Director of Housing and Energy Programs, of the City of Lowell Department of Planning and Development will serve as the Point of Contact for the City of Lowell for any inquiries concerning Lowell’s plan to become the Program Administrator for the delivery of Mass Save® to the City of Lowell during the 2019-2021 program period. Phil can be reached at 978-674-1410 or [email protected].


Appendix A: Analysis of Mass Save® Investments in Lowell 2013-2015

An analysis of publicly available data from www.masssavedata.com provides a picture of underservice for those years for which City-level data are available. Data for electric use, savings, and incentives for each of 2013, 2014, and 2015 at the City and Commonwealth level were compiled in order to compare statewide data with City-level data. Results are presented in Table 1.

Table 1: Electricity usage, savings, and incentives for Lowell and Massachusetts, 2013-2015, by major customer class.

2015 2014 2013 2015 2014 2013Residential and Low-Income

Annual MWh Usage 236,866 236,757 216,553 16,974,079 16,170,299 15,957,415Annual MWh Savings 8,780 10,971 5,609 631,034 681,858 622,230Electric Incentives $2,668,857 $2,569,129 $1,196,794 $199,435,714 $180,358,822 $141,864,749

Commercial & Industrial Annual MWh Usage 381,723 363,137 378,760 27,131,177 26,865,544 27,651,947Annual MWh Savings 8,229 7,163 8,527 917,127 751,485 665,557Electric Incentives $1,862,190 $2,027,986 $1,672,100 $224,328,302 $174,535,004 $155,515,664

Massachusetts Lowell

These data were then used to calculate and review simple ratios to determine what percent of the statewide pool Lowell represented for each variable, with the following results, year-by-year and for a three-year average. Results are presented in Table 2.

Table 2: Electricity usage, savings, and incentives in Lowell, as a percentage of total for Massachusetts, 2013-2015.

Lowell as Percent of Massachusetts2015 2014 2013 3-Yr Avg

Residential and Low-IncomeAnnual MWh Usage 1.40% 1.46% 1.36% 1.41%Annual MWh Savings 1.39% 1.60% 0.90% 1.31%Electric Incentives 1.34% 1.42% 0.84% 1.23%

Commercial & IndustrialAnnual MWh Usage 1.41% 1.35% 1.37% 1.38%Annual MWh Savings 0.90% 0.95% 1.28% 1.02%Electric Incentives 0.83% 1.16% 1.08% 1.00%

Over the three years analyzed, Lowell’s residential electric usage was 1.41% of the Commonwealth’s total, yet electric savings were only at 1.31% and the investment of electric incentives was only 1.23%. The cost of underinvestment to the C&I sector appears to be even larger. While Lowell’s C&I electric usage was 1.38% of the Commonwealth’s, the investment of electric incentives was only at 1% of the statewide total, with electric savings that were commensurate with the investment.

Such underinvestment, especially in the residential sector, can be considered even more profound given the hard-to-reach nature of Lowell demographics articulated above. If anything, given the population


http://www.masssavedata.com/

demographics, the City would expect that the incentives provided to Lowell would be greater than proportional. This points to the need for additional attention, statewide and locally, to these underserved markets.

An analysis was also done to assess what savings and investment might have resulted if such were done in proportion to electric usage, with the following results:

Table 3: Assumed electric savings and incentives for Lowell, if proportional to electricity usage, 2013-2015.

Residential and Low-Income 2015 2014 2013Annual MWh Savings 8,806 9,983 8,444 Electric Incentives 2,783,040$ 2,640,719$ 1,925,201$

Commercial & IndustrialAnnual MWh Savings 12,904 10,158 9,116 Electric Incentives 3,156,195$ 2,359,160$ 2,130,161$

Finally, the sum total of under-investment over the three-year period was calculated. Based on the analysis, it was determined that Lowell was underserved by more than 10,000 MWh in savings and $3 million in incentive investment (Table 4).

Table 4: Calculated difference in electricity savings and incentives between proportional allocation and actual allocation, 2013-2015.

2015 2014 2013MWh Savings 4,725 2,040 3,424 Electric Incentives (Res & LI) 117,148.96$ 74,724.86$ 728,407.36$ Electric Incentives (C&I) 1,294,004.53$ 331,174.04$ 458,061.50$ Annual Electric Incentive Gap 1,411,153.49$ 405,898.90$ 1,186,468.86$ Total Three-Year Incentive Gap 3,003,521.24$


Appendix B: Budget and Savings Methodology

B.1 Estimated Electrical Efficiency Resources, Baseline for Total BudgetThe City of Lowell requested from National Grid data on electric use by customer class for 2017 for all of Lowell, in order to estimate the percent of total annual statewide electric energy consumption that Lowell represents. Table 1Error: Reference source not found below uses the data provided by National Grid and 2017 forecasted statewide sales (from Mass Save® Data) to estimate energy consumption by Lowell as a percentage of the statewide total by sector. As shown here, overall electric energy use in Lowell represents approximately 1.39 percent of the total electric energy used in Massachusetts.

Table 1: 2017 Electric energy usage by customer class, Lowell as compared to Massachusetts

Lowell(MWh)

Statewide*(MWh)

Lowell Usage as % of Statewide

Residential 174,917 15,523,733 1.13%

Income Eligible 50,427 2,153,913 2.34%

C&I 426,581 29,159,485 1.46%

Total 651,924 46,837,131 1.39%

*Statewide figures reflect Forecasted Sales for 2017, Mass Save® Data

These percentages were then used to approximate an overall budget for Lowell’s electric efficiency programs. Using the Total Program Administrator Budget figures submitted on April 30, 2018 (revised May 2) in the 2019-2021 Electric Statewide Plan Tables, the City applied these percentages by sector to approximate a budget in proportion to the statewide budget. As shown in Table 2 below, the total three-year total program administrator budget for Lowell as estimated using this method is $25,098,540.

Table 2: Estimated Lowell Total Program Administrator Budget, 2019-2021

Lowell Usage as % of State

Statewide Total Program Administrator Budget

(2019-2021)

Estimated Lowell Total Program Administrator Budget

(2019-2021)

Residential 1.13% $669,335,647 $7,541,871

Income Eligible 2.34% $215,011,279 $5,033,802

C&I 1.46% $856,017,247 $12,522,867

Total 1.39% $1,740,364,173 $25,098,540


B.2 Sector Level AllocationTable 3 below shows the 2019-2021 draft statewide budgets for electric energy efficiency as broken down by sector; this reflects approximately 38.5 percent spending on Residential, 12.4 percent on Income Eligible, and 49.2 percent on C&I.

Table 3: Statewide budget by sector

Statewide Total Program Administrator Budget

(2019-2021) Percent

Residential $669,335,647 38.5%

Income Eligible $215,011,279 12.4%

C&I $856,017,247 49.2%

Total $1,740,364,173

While the sector level budget allocation above was used to determine Lowell’s proportional share of the overall statewide budget, this is not the method used to allocate Lowell’s spending by sector. It is the City’s understanding that spending by sector is to be allocated based on kWh usage by each sector. Therefore, the City’s total budget, as estimated as a proportion of the statewide budget, was then allocated to sectors based on the usage by sector specifically in Lowell, as shown below in Table 4.

Table 4: Budget allocated by sector, Lowell

Lowell(MWh)

Sector Proportion of Total Usage, Lowell

Budget Allocated by Sector Usage, Lowell

Residential 174,917 26.83% $6,734,147

Income Eligible 50,427 7.74% $1,941,397

C&I 426,581 65.43% $16,422,996

Total 651,924 $25,098,540

Additionally, the City learned that Massachusetts requires a minimum of 10 percent spending in the Income Eligible sector. To accomplish this, we reallocated 10 percent of spending in both the C&I and Residential sectors to the Income Eligible sector, as shown below in Table 5Error: Reference source notfound. These figures represent the City’s draft Program Administrator Budget by Sector for the 2019-2021 three-year electric efficiency plans. As compared to the statewide plans, Table 6Error: Referencesource not found shows Lowell’s draft budgets allocate a smaller proportion to Residential (24.1% to the statewide 38.5%), a larger share to Income Eligible (17.0% in Lowell to 12.4% statewide), and a larger proportion to C&I (58.9% to the statewide 49.2%).


Table 5: Lowell 2019-2021 Program Administrator Budget by sector

Budget Allocated by Sector Usage, Lowell

Income Eligible Spending Adjustment

Total 2019-2021 Program Administrator Budget,

by Sector, Lowell

Residential $6,734,147 ($673,415) $6,060,732

Income Eligible $1,941,397 $2,315,714 $4,257,111

C&I $16,422,996 ($1,642,300) $14,780,697

Total $25,098,540 $25,098,540

Table 6: Sector level budget breakdown, 2019-2021

Statewide Sector Budget Percent

Lowell Sector Budget Percent

Residential 38.5% 24.1%

Income Eligible 12.4% 17.0%

C&I 49.2% 58.9%

B.3 Allocation to Program Cost CategoriesWe allocated these resources across six efficiency cost categories that are listed in the Massachusetts Statewide Plan—Program Planning and Administration; Marketing and Advertising; Participant Incentive; Sales, Technical Assistance & Training; Evaluation and Market Research; and Performance Incentive. The allocation of resources across cost categories in the Statewide Plan is characterized below in Table 7.

To allocate resources to these cost categories for Lowell, first the statewide allocations were considered. Based on this, the main areas in which spending was adjusted were Program Planning and Administration, Marketing and Advertising, and Performance Incentive. The Performance Incentive amount is set to zero, as the City wants all resources devoted to programming. Eliminating this allows for a greater share of the budget to be allocated to Program Planning and Administration and Marketing and Advertising. Marketing is expected to be higher than the statewide efforts given that concentrated consumer outreach is specifically targeted to hard-to-reach customers, and that will take additional resources.

Based on the expected greater costs of reaching hard-to-reach customers, Lowell determined allocation of spending across cost categories as shown below in Table 7. The total draft Program Administrator Budget (as determined using the methods described above) was then allocated based on these percentages.


Table 7: Resource allocation by cost category, 2019-2021

Statewide Spending, 2019-2021

Spending Allocation,2019-2021

Lowell Allocation,2019-2021

Lowell Spending, 2019-2021

Program Planning and Administration

$99,193,275 5.7% 10.0% $2,509,854

Marketing and Advertising

$51,570,268 3.0% 5.0% $1,254,927

Participant Incentive $1,178,226,403 67.7% 70.0% $17,568,978

Sales, Technical Assistance & Training

$259,590,002 14.9% 12.0% $3,011,825

Evaluation and Market Research

$49,439,639 2.8% 3.0% $752,956

Performance Incentive

$102,344,587 5.9% 0.0% $0

Total $1,740,364,173 $25,098,540


B.4 Initiative Level Allocation within SectorsNext, to estimate initiative level spending in Lowell, the breakdown of the draft Program Administrator Budget by cost category was overlaid with the breakdown of budget by sector. Table 8Error: Referencesource not found shows the City’s proposed spending by sector and cost category that will be used to ultimately determine initiative level spending. Table 8: Lowell spending by sector and cost category, 2019-2021

ResidentialIncome Eligible

C&I Total


$606,073 $425,711 $1,478,070 $2,509,854


$303,037 $212,856 $739,035 $1,254,927

Participant Incentive $4,242,513 $2,979,978 $10,346,488 $17,568,978


$727,288 $510,853 $1,773,684 $3,011,825


$181,822 $127,713 $443,421 $752,956


$0 $0 $0 $0

Total $6,060,732 $4,257,111 $14,780,697 $25,098,540

Finally, to allocate spending to specific initiatives within sectors and within cost categories, the ratios presented in the statewide budget tables were used and applied to the Lowell figures derived above. For example, if in the statewide budget, 6 percent of the Residential spending on Program Planning and Administration was used for “A1a – Residential New Homes & Renovations”, then for Lowell, 6 percent of the $606,073 for Residential Program Planning and Administration was also allocated for “A1a – Residential New Homes & Renovations”. These calculations were done for every initiative within each sector and for each cost category to estimate the initiative level spending incorporated into Lowell’s plans.

The methods described above for deriving initiative-level spending have been shown for the overall 2019-2021 plan, but it should be noted that the methods were applied to each year within the three-year plan individually as well. Complete budget tables for each year and for 2019-2021, showing the full initiative level breakdown, are included in Appendix B.

B.5 Methods for Developing Lowell Specific Savings and Benefits TablesTo generate estimates of cost-effectiveness, benefits, and savings, the City utilized the Statewide Electric Plan tables included in the April 30, 2018 submission (2019-2021-Plan-Tables_April_ELECTRIC_Statewide-5.2.18.xlsx).


Beginning with the Master Data tab, Lowell was added as a “Program Administrator”. The six columns pertaining to spending (Program Planning and Administration; Marketing and Advertising; Participant Incentive; Sales, Technical Assistance & Training; Evaluation and Market Research; and Performance Incentive) were filled in for each year and for each initiative using the budget estimates derived using the methods described above. Next, a scaling factor was calculated to represent the percentage of the total statewide budget that was allocated to each initiative. This scaling factor was then used in conjunction with the statewide values to scale all other values for Lowell. For example, if Lowell allocated 0.95 percent spending to “A1a – Residential New Homes & Renovations” as compared to the statewide amount, then 0.95 percent of the statewide value for “Net Summer Capacity” was allocated to Lowell. These calculations were performed for all variables where scaling from statewide values was appropriate; variables that were calculations of other variables were left as the existing calculation.

All pivot tables on the subsequent tabs (Budget, Cost-Effectiveness, Benefits, Savings, and GHG) were then automatically populated when selecting Lowell as the Program Administrator. All tables are included here in Appendix C.


Appendix C: Lowell 2019-2021 Plan Tables, Electric

IV.C. Program Administrator Budgets1. Summary TableLowell Electric



Participant Incentive



Total Program Costs

A - Residential 201,030 100,515 1,407,207 241,236 60,309 2,010,296 - 2,010,296 A1 - Residential New Buildings 12,488 1,731 106,252 8,493 - 128,964 - 128,964

A1a - Residential New Homes & Renovations 12,488 1,731 106,252 8,493 - 128,964 - 128,964 A2 - Residential Existing Buildings 148,698 76,490 1,136,074 212,879 - 1,574,140 - 1,574,140

A2a - Residential Coordinated Delivery 80,500 19,394 709,965 76,329 - 886,188 - 886,188 A2b - Residential Conservation Services (RCS) 20,968 8,519 - 85,754 - 115,240 - 115,240 A2c - Residential Retail 38,744 47,102 364,949 30,297 - 481,092 - 481,092 A2d - Residential Behavior & Active Demand Reduction 8,486 1,475 61,159 20,499 - 91,619 - 91,619

A3 - Residential Hard-to-Measure 39,843 22,294 164,882 19,864 60,309 307,192 - 307,192 A3a - Residential Statewide Marketing - 11,147 - - - 11,147 - 11,147 A3b - Residential Statewide Database 2,556 - - - - 2,556 - 2,556 A3c - Residential DOER Assessment 28,940 - - - - 28,940 - 28,940 A3d - Residential EEAC Consultants 1,136 - - - - 1,136 - 1,136 A3e - Residential Sponsorships & Subscriptions 2,042 169 - 133 10 2,354 - 2,354 A3f - Residential HEAT Loan 2,342 1,485 160,892 11,146 - 175,865 - 175,865 A3g - Residential Workforce Development - - - 781 - 781 - 781 A3h - Residential R&D and Demonstration 92 169 3,990 2,188 - 6,440 - 6,440 A3i - Residential Education 2,735 9,325 - 5,615 - 17,675 - 17,675 A3j - Residential Evaluation and Market Research - - - - 60,299 60,299 - 60,299

B - Income Eligible 141,205 70,602 988,435 169,446 42,361 1,412,050 - 1,412,050 B1 - Income Eligible Existing Buildings 108,292 45,245 988,435 169,000 - 1,310,971 - 1,310,971

B1a - Income El igible Coordinated Delivery 108,292 45,245 988,435 169,000 - 1,310,971 - 1,310,971 B2 - Income Eligible Hard-to-Measure 32,913 25,357 - 446 42,361 101,078 - 101,078

B2a - Income El igible Statewide Marketing - 25,074 - - - 25,074 - 25,074 B2b - Income El igible Statewide Database 1,496 - - - - 1,496 - 1,496 B2c - Income El igible DOER Assessment 16,666 - - - - 16,666 - 16,666 B2d - Income El igible Energy Affordabil ity Network 13,608 - - - - 13,608 - 13,608 B2e - Income El igible Sponsorships & Subscriptions 1,143 284 - 106 9 1,541 - 1,541 B2f - Income El igible Evaluation and Market Research - - - - 42,353 42,353 - 42,353 B2g - Income El igible Workforce Development - - - 340 - 340 - 340

C - Commercial & Industrial 490,264 245,132 3,431,847 588,317 147,079 4,902,639 - 4,902,639 C1 - C&I New Buildings 36,755 28,657 223,598 113,884 - 402,894 - 402,894

C1a - C&I New Buildings & Major Renovations 36,755 28,657 223,598 113,884 - 402,894 - 402,894 C2 - C&I Existing Buildings 396,410 146,907 3,203,234 457,659 - 4,204,209 - 4,204,209

C2a - C&I Exi sting Building Retrofit 318,548 128,545 2,630,185 356,667 - 3,433,945 - 3,433,945 C2b - C&I New & Replacement Equipment 66,178 15,627 535,105 86,187 - 703,097 - 703,097 C2c - C&I Active Demand Reduction 11,685 2,735 37,944 14,804 - 67,167 - 67,167

C3 - C&I Hard-to-Measure 57,098 69,568 5,015 16,774 147,079 295,536 - 295,536 C3a - C&I Statewide Marketing - 59,917 - - - 59,917 - 59,917 C3b - C&I Statewide Database 4,161 - - - - 4,161 - 4,161 C3c - C&I DOER Assessment 46,073 - - - - 46,073 - 46,073 C3d - C&I EEAC Consul tants 1,666 - - - - 1,666 - 1,666 C3e - C&I Sponsorships & Subscriptions 5,168 1,572 - 499 27 7,266 - 7,266 C3f - C&I Workforce Development - 299 - 5,682 - 5,981 - 5,981 C3g - C&I R&D and Demonstration 30 7,781 5,015 10,593 - 23,420 - 23,420 C3h - C&I Evaluation and Market Research - - - - 147,052 147,052 - 147,052

Grand Total 832,498 416,249 5,827,489 998,998 249,750 8,324,984 - 8,324,984

2019 Program Administrator Budget

ProgramProgram Costs Performance

Incentive

Total Program Administrator

Budget








Total Program Costs




A3 - Residential Hard-to-Measure 40,220 24,913 181,459 20,239 60,633 327,465 - 327,465 A3a - Residential Statewide Marketing - 10,887 - - - 10,887 - 10,887 A3b - Residential Statewide Database 2,585 - - - - 2,585 - 2,585 A3c - Residential DOER Assessment 29,429 - - - - 29,429 - 29,429 A3d - Residential EEAC Consultants 1,144 - - - - 1,144 - 1,144 A3e - Residential Sponsorships & Subscriptions 2,060 165 - 131 10 2,366 - 2,366 A3f - Residential HEAT Loan 2,180 1,429 175,368 11,218 - 190,195 - 190,195 A3g - Residential Workforce Development - - - 784 - 784 - 784 A3h - Residential R&D and Demonstration 96 3,192 6,092 2,364 - 11,743 - 11,743 A3i - Residential Education 2,727 9,240 - 5,742 - 17,709 - 17,709 A3j - Residential Evaluation and Market Research - - - - 60,623 60,623 - 60,623








Grand Total 836,977 418,488 5,858,837 1,004,372 251,093 8,369,767 - 8,369,767



Incentive


Budget








Total Program Costs

A - Residential 202,933 101,466 1,420,528 243,519 60,880 2,029,326 - 2,029,326 A1 - Residential New Buildings 13,011 666 119,428 8,856 - 141,960 - 141,960

A1a - Residential New Homes & Renovations 13,011 666 119,428 8,856 - 141,960 - 141,960 A2 - Residential Existing Buildings 149,511 76,331 1,111,419 214,418 - 1,551,680 - 1,551,680


A3 - Residential Hard-to-Measure 40,411 24,470 189,681 20,245 60,880 335,686 - 335,686 A3a - Residential Statewide Marketing - 11,315 - - - 11,315 - 11,315 A3b - Residential Statewide Database 2,561 - - - - 2,561 - 2,561 A3c - Residential DOER Assessment 29,586 - - - - 29,586 - 29,586 A3d - Residential EEAC Consultants 1,137 - - - - 1,137 - 1,137 A3e - Residential Sponsorships & Subscriptions 2,054 169 - 130 10 2,362 - 2,362 A3f - Residential HEAT Loan 2,208 1,465 187,137 11,316 - 202,125 - 202,125 A3g - Residential Workforce Development - - - 786 - 786 - 786 A3h - Residential R&D and Demonstration 98 1,885 2,544 2,147 - 6,673 - 6,673 A3i - Residential Education 2,766 9,637 - 5,867 - 18,269 - 18,269 A3j - Residential Evaluation and Market Research - - - - 60,870 60,870 - 60,870








Grand Total 840,379 420,189 5,882,652 1,008,455 252,114 8,403,789 - 8,403,789



Incentive


Budget








Total Program Costs



A2a - Residential Coordinated Delivery 239,216 57,244 2,148,568 229,369 - 2,674,396 - 2,674,396 A2b - Residential Conservation Services (RCS) 63,034 25,377 - 256,089 - 344,500 - 344,500 A2c - Residential Retail 109,748 139,603 955,051 91,483 - 1,295,885 - 1,295,885 A2d - Residential Behavior & Active Demand Reduction 35,417 5,098 264,841 63,952 - 369,308 - 369,308

A3 - Residential Hard-to-Measure 120,474 71,677 536,022 60,348 181,822 970,343 - 970,343 A3a - Residential Statewide Marketing - 33,349 - - - 33,349 - 33,349 A3b - Residential Statewide Database 7,703 - - - - 7,703 - 7,703 A3c - Residential DOER Assessment 87,955 - - - - 87,955 - 87,955 A3d - Residential EEAC Consultants 3,416 - - - - 3,416 - 3,416 A3e - Residential Sponsorships & Subscriptions 6,156 502 - 394 30 7,082 - 7,082 A3f - Residential HEAT Loan 6,730 4,379 523,397 33,681 - 568,186 - 568,186 A3g - Residential Workforce Development - - - 2,351 - 2,351 - 2,351 A3h - Residential R&D and Demonstration 286 5,246 12,625 6,699 - 24,856 - 24,856 A3i - Residential Education 8,228 28,201 - 17,224 - 53,653 - 53,653 A3j - Residential Evaluation and Market Research - - - - 181,792 181,792 - 181,792

B - Income Eligible 425,711 212,856 2,979,978 510,853 127,713 4,257,111 - 4,257,111 B1 - Income Eligible Existing Buildings 327,694 135,576 2,979,978 509,500 - 3,952,748 - 3,952,748

B1a - Income El igible Coordinated Delivery 327,694 135,576 2,979,978 509,500 - 3,952,748 - 3,952,748 B2 - Income Eligible Hard-to-Measure 98,017 77,279 - 1,353 127,713 304,363 - 304,363

B2a - Income El igible Statewide Marketing - 76,429 - - - 76,429 - 76,429 B2b - Income El igible Statewide Database 4,424 - - - - 4,424 - 4,424 B2c - Income El igible DOER Assessment 50,324 - - - - 50,324 - 50,324 B2d - Income El igible Energy Affordabil ity Network 39,837 - - - - 39,837 - 39,837 B2e - Income El igible Sponsorships & Subscriptions 3,432 850 - 333 26 4,641 - 4,641 B2f - Income El igible Evaluation and Market Research - - - - 127,687 127,687 - 127,687 B2g - Income El igible Workforce Development - - - 1,020 - 1,020 - 1,020

C - Commercial & Industrial 1,478,070 739,035 10,346,488 1,773,684 443,421 14,780,697 - 14,780,697 C1 - C&I New Buildings 109,195 84,472 638,009 330,407 - 1,162,083 - 1,162,083

C1a - C&I New Buildings & Major Renovations 109,195 84,472 638,009 330,407 - 1,162,083 - 1,162,083 C2 - C&I Existing Buildings 1,199,226 443,433 9,693,910 1,396,953 - 12,733,522 - 12,733,522

C2a - C&I Exi sting Building Retrofit 934,398 379,695 7,800,292 1,034,827 - 10,149,212 - 10,149,212 C2b - C&I New & Replacement Equipment 193,993 46,129 1,595,589 251,143 - 2,086,854 - 2,086,854 C2c - C&I Active Demand Reduction 70,835 17,609 298,029 110,983 - 497,456 - 497,456

C3 - C&I Hard-to-Measure 169,649 211,130 14,568 46,323 443,421 885,091 - 885,091 C3a - C&I Statewide Marketing - 180,138 - - - 180,138 - 180,138 C3b - C&I Statewide Database 12,183 - - - - 12,183 - 12,183 C3c - C&I DOER Assessment 137,301 - - - - 137,301 - 137,301 C3d - C&I EEAC Consul tants 4,779 - - - - 4,779 - 4,779 C3e - C&I Sponsorships & Subscriptions 15,296 4,697 - 1,501 83 21,576 - 21,576 C3f - C&I Workforce Development - 873 - 16,319 - 17,192 - 17,192 C3g - C&I R&D and Demonstration 90 25,423 14,568 28,503 - 68,584 - 68,584 C3h - C&I Evaluation and Market Research - - - - 443,338 443,338 - 443,338

Grand Total 2,509,854 1,254,927 17,568,978 3,011,825 752,956 25,098,540 - 25,098,540

2019-2021 Program Administrator Budget


Incentive


Budget


IV.D. Cost-Effectiveness1. Summary TableLowell Electric

Total Program Costs


Participant Costs

Total TRC Test Costs

A - Residential 1.88 2,195,219 4,700,736 2,010,296 - 495,220 2,505,516 A1 - Residential New Buildings 2.01 410,479 815,462 128,964 - 276,019 404,983

A1a - Residential New Homes & Renovations 2.01 410,479 815,462 128,964 - 276,019 404,983 A2 - Residential Existing Buildings 2.17 2,091,933 3,885,274 1,574,140 - 219,201 1,793,341

A2a - Residential Coordinated Delivery 2.73 1,765,680 2,785,307 886,188 - 133,439 1,019,627 A2b - Residential Conservation Services (RCS) 0.00 -115,240 0 115,240 - - 115,240 A2c - Residential Retail 1.68 384,875 951,116 481,092 - 85,148 566,241 A2d - Residential Behavior & Active Demand Reduction 1.61 56,618 148,851 91,619 - 614 92,233

A3 - Residential Hard-to-Measure 0.00 -307,192 0 307,192 - - 307,192 B - Income Eligible 1.81 1,141,558 2,553,608 1,412,050 - - 1,412,050

B1 - Income Eligible Existing Buildings 1.95 1,242,637 2,553,608 1,310,971 - - 1,310,971 B1a - Income Eligible Coordinated Delivery 1.95 1,242,637 2,553,608 1,310,971 - - 1,310,971

B2 - Income Eligible Hard-to-Measure 0.00 -101,078 0 101,078 - - 101,078 C - Commercial & Industrial 2.26 9,550,137 17,157,791 4,902,639 - 2,705,015 7,607,654

C1 - C&I New Buildings 2.46 706,397 1,191,780 402,894 - 82,489 485,383 C1a - C&I New Buildings & Major Renovations 2.46 706,397 1,191,780 402,894 - 82,489 485,383

C2 - C&I Existing Buildings 2.34 9,139,276 15,966,011 4,204,209 - 2,622,526 6,826,735 C2a - C&I Existing Building Retrofit 2.19 6,808,256 12,533,106 3,433,945 - 2,290,906 5,724,850 C2b - C&I New & Replacement Equipment 3.20 2,271,011 3,304,300 703,097 - 330,192 1,033,289 C2c - C&I Active Demand Reduction 1.87 60,009 128,604 67,167 - 1,428 68,595

C3 - C&I Hard-to-Measure 0.00 -295,536 0 295,536 - - 295,536 Grand Total 2.12 12,886,915 24,412,134 8,324,984 - 3,200,235 11,525,219

2019 Total Resource Cost Test (2019$)CostsBenefit-Cost

RatioNet Benefits

Total TRC Test Benefits

Program


Total Program Costs


Participant Costs




A2a - Residential Coordinated Delivery 2.76 1,818,301 2,849,761 869,625 - 161,834 1,031,460 A2b - Residential Conservation Services (RCS) 0.00 -111,808 0 111,808 - - 111,808 A2c - Residential Retail 1.73 376,107 893,208 409,164 - 107,937 517,101 A2d - Residential Behavior & Active Demand Reduction 2.28 207,516 369,343 132,190 - 29,637 161,827




C1 - C&I New Buildings 2.28 555,361 988,269 361,196 - 71,711 432,908 C1a - C&I New Buildings & Major Renovations 2.28 555,361 988,269 361,196 - 71,711 432,908

C2 - C&I Existing Buildings 2.36 9,112,592 15,789,174 4,166,934 - 2,509,649 6,676,583 C2a - C&I Existing Building Retrofit 2.21 6,708,154 12,263,901 3,302,728 - 2,253,019 5,555,747 C2b - C&I New & Replacement Equipment 3.53 2,341,930 3,268,627 676,711 - 249,985 926,696 C2c - C&I Active Demand Reduction 1.32 62,507 256,647 187,495 - 6,645 194,140


2020 Total Resource Cost Test (2019$)

ProgramBenefit-Cost

RatioNet Benefits


Costs



Total Program Costs


Participant Costs




A2a - Residential Coordinated Delivery 2.77 1,807,096 2,827,518 857,878 - 162,545 1,020,423 A2b - Residential Conservation Services (RCS) 0.00 -109,676 0 109,676 - - 109,676 A2c - Residential Retail 1.92 452,048 945,110 378,263 - 114,799 493,062 A2d - Residential Behavior & Active Demand Reduction 2.35 223,284 389,268 136,006 - 29,978 165,984




C1 - C&I New Buildings 2.28 562,264 1,000,250 372,038 - 65,948 437,986 C1a - C&I New Buildings & Major Renovations 2.28 562,264 1,000,250 372,038 - 65,948 437,986

C2 - C&I Existing Buildings 2.44 9,350,044 15,840,783 4,073,265 - 2,417,475 6,490,739 C2a - C&I Existing Building Retrofit 2.27 6,793,776 12,144,512 3,185,416 - 2,165,319 5,350,735 C2b - C&I New & Replacement Equipment 3.66 2,406,706 3,312,635 660,157 - 245,772 905,929 C2c - C&I Active Demand Reduction 1.64 149,561 383,637 227,691 - 6,384 234,076


2021 Total Resource Cost Test (2019$)

ProgramBenefit-Cost

RatioNet Benefits


Costs


Total Program Costs


Participant Costs


A - Residential 1.95 7,193,439 14,790,121 5,923,352 - 1,673,330 7,596,682 A1 - Residential New Buildings 2.11 1,386,412 2,630,638 396,827 - 847,399 1,244,226

A1a - Residential New Homes & Renovations 2.11 1,386,412 2,630,638 396,827 - 847,399 1,244,226 A2 - Residential Existing Buildings 2.25 6,754,801 12,159,483 4,578,751 - 825,931 5,404,682

A2a - Residential Coordinated Delivery 2.76 5,391,077 8,462,586 2,613,691 - 457,818 3,071,509 A2b - Residential Conservation Services (RCS) 0.00 -336,724 0 336,724 - - 336,724 A2c - Residential Retail 1.77 1,213,030 2,789,433 1,268,519 - 307,885 1,576,404 A2d - Residential Behavior & Active Demand Reduction 2.16 487,418 907,463 359,816 - 60,229 420,045




C1 - C&I New Buildings 2.34 1,824,021 3,180,299 1,136,128 - 220,149 1,356,277 C1a - C&I New Buildings & Major Renovations 2.34 1,824,021 3,180,299 1,136,128 - 220,149 1,356,277

C2 - C&I Existing Buildings 2.38 27,601,911 47,595,968 12,444,407 - 7,549,650 19,994,057 C2a - C&I Existing Building Retrofit 2.22 20,310,186 36,941,518 9,922,088 - 6,709,244 16,631,332 C2b - C&I New & Replacement Equipment 3.45 7,019,647 9,885,561 2,039,965 - 825,949 2,865,914 C2c - C&I Active Demand Reduction 1.55 272,078 768,888 482,354 - 14,457 496,810


2019-2021 Total Resource Cost Test (2019$)

ProgramBenefit-Cost

RatioNet Benefits


Costs


IV.D Cost-Effectiveness3.1.i. Benefits Summary TableLowell Electric

A - Residential 2,331,893 (38,813) 1,929,986 477,670 4,700,736 A1 - Residential New Buildings 419,408 (3,256) 353,447 45,862 815,462

A1a - Residential New Homes & Renovations 419,408 (3,256) 353,447 45,862 815,462 A2 - Residential Existing Buildings 1,912,485 (35,557) 1,576,540 431,807 3,885,274

A2a - Residential Coordinated Delivery 668,177 45,064 1,716,190 355,876 2,785,307 A2b - Residential Conservation Services (RCS) - - - - - A2c - Residential Retail 1,095,456 (80,622) (139,650) 75,931 951,116 A2d - Residential Behavior & Active Demand Reduction 148,851 - - - 148,851

B - Income Eligible 849,456 7,983 734,765 961,403 2,553,608 B1 - Income Eligible Existing Buildings 849,456 7,983 734,765 961,403 2,553,608

B1a - Income Eligible Coordinated Delivery 849,456 7,983 734,765 961,403 2,553,608 C - Commercial & Industrial 16,012,117 (1,253,308) (378,753) 2,777,735 17,157,791

C1 - C&I New Buildings 1,371,384 (179,427) (45,876) 45,699 1,191,780 C1a - C&I New Buildings & Major Renovations 1,371,384 (179,427) (45,876) 45,699 1,191,780

C2 - C&I Existing Buildings 14,640,734 (1,073,881) (332,877) 2,732,036 15,966,011 C2a - C&I Existing Building Retrofit 11,245,632 (1,061,567) (337,081) 2,686,122 12,533,106 C2b - C&I New & Replacement Equipment 3,266,497 (12,314) 4,204 45,913 3,304,300 C2c - C&I Active Demand Reduction 128,604 - - - 128,604

Grand Total 19,193,466 (1,284,138) 2,285,999 4,216,808 24,412,134

2019 Total Benefits

ProgramNon-Energy Impacts

Total BenefitsOther Resources (Oil, Propane,

Water)

Electric (Capacity and Energy)

Natural Gas


A - Residential 2,484,469 (24,397) 2,057,910 474,793 4,992,775 A1 - Residential New Buildings 442,946 (2,769) 391,604 48,682 880,463

A1a - Residential New Homes & Renovations 442,946 (2,769) 391,604 48,682 880,463 A2 - Residential Existing Buildings 2,041,523 (21,628) 1,666,305 426,111 4,112,312

A2a - Residential Coordinated Delivery 649,904 47,858 1,792,991 359,007 2,849,761 A2b - Residential Conservation Services (RCS) - - - - - A2c - Residential Retail 1,022,276 (69,486) (126,686) 67,104 893,208 A2d - Residential Behavior & Active Demand Reduction 369,343 - - - 369,343



C1 - C&I New Buildings 967,112 (11,848) (46,460) 79,464 988,269 C1a - C&I New Buildings & Major Renovations 967,112 (11,848) (46,460) 79,464 988,269


Grand Total 18,951,517 (1,234,705) 2,432,070 4,143,464 24,292,346

2020 Total Benefits

ProgramElectric (Capacity

and Energy)Natural Gas

Other Resources (Oil, Propane,

Water)

Non-Energy Impacts

Total Benefits



A - Residential 2,399,374 28,072 2,215,097 454,068 5,096,611 A1 - Residential New Buildings 457,465 (1,810) 428,047 51,011 934,714

A1a - Residential New Homes & Renovations 457,465 (1,810) 428,047 51,011 934,714 A2 - Residential Existing Buildings 1,941,909 29,882 1,787,049 403,057 4,161,897

A2a - Residential Coordinated Delivery 613,672 50,211 1,818,502 345,133 2,827,518 A2b - Residential Conservation Services (RCS) - - - - - A2c - Residential Retail 938,969 (20,329) (31,452) 57,923 945,110 A2d - Residential Behavior & Active Demand Reduction 389,268 - - - 389,268





Grand Total 18,778,029 (1,082,935) 2,578,729 4,175,571 24,449,393

2021 Total Benefits




Water)

Non-Energy Impacts

Total Benefits


A - Residential 7,215,736 (35,138) 6,202,992 1,406,531 14,790,121 A1 - Residential New Buildings 1,319,819 (7,835) 1,173,098 145,556 2,630,638

A1a - Residential New Homes & Renovations 1,319,819 (7,835) 1,173,098 145,556 2,630,638 A2 - Residential Existing Buildings 5,895,917 (27,303) 5,029,894 1,260,975 12,159,483

A2a - Residential Coordinated Delivery 1,931,753 143,134 5,327,683 1,060,017 8,462,586 A2b - Residential Conservation Services (RCS) - - - - - A2c - Residential Retail 3,056,701 (170,437) (297,788) 200,958 2,789,433 A2d - Residential Behavior & Active Demand Reduction 907,463 - - - 907,463

B - Income Eligible 2,438,017 23,532 2,255,349 2,870,588 7,587,486 B1 - Income Eligible Existing Buildings 2,438,017 23,532 2,255,349 2,870,588 7,587,486

B1a - Income Eligible Coordinated Delivery 2,438,017 23,532 2,255,349 2,870,588 7,587,486 C - Commercial & Industrial 47,269,259 (3,590,172) (1,161,544) 8,258,724 50,776,267


C2 - C&I Existing Buildings 43,927,598 (3,380,592) (995,816) 8,044,778 47,595,968 C2a - C&I Existing Building Retrofit 33,442,644 (3,344,894) (1,006,769) 7,850,537 36,941,518 C2b - C&I New & Replacement Equipment 9,716,066 (35,698) 10,953 194,241 9,885,561 C2c - C&I Active Demand Reduction 768,888 - - - 768,888

Grand Total 56,923,012 (3,601,779) 7,296,797 12,535,842 73,153,873

2019-2021 Total Benefits




Water)

Non-Energy Impacts

Total Benefits


IV.D. Cost-Effectiveness3.2.i. Savings Summary TableLowell Electric

Summer Winter Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual LifetimeA - Residential 527 581 3,063 16,419 10,451 56,022 (1,058) (2,419) 2,758 59,264 618 15,673 655,870 4,786,269 12,770 128,540

A1 - Residential New Buildings 52 28 123 1,739 421 5,935 (54) (259) 51 1,721 390 9,620 - - 808 17,017 A1a - Residential New Homes & Renovations 52 28 123 1,739 421 5,935 (54) (259) 51 1,721 390 9,620 - - 808 17,017

A2 - Residential Existing Buildings 475 552 2,940 14,680 10,030 50,087 (1,004) (2,160) 2,707 57,543 229 6,053 655,870 4,786,269 11,962 111,523 A2a - Residential Coordinated Delivery 96 117 563 4,786 1,922 16,328 215 4,454 3,449 61,550 419 7,073 634,415 4,636,091 6,005 89,405 A2b - Residential Conservation Services (RCS) - - - - - - - - - - - - - - - - A2c - Residential Retail 174 220 1,368 8,887 4,669 30,322 (1,219) (6,614) (743) (4,007) (190) (1,020) 21,454 150,179 2,518 18,681 A2d - Residential Behavior & Active Demand Reduction 206 215 1,008 1,007 3,439 3,437 - - - - - - - - 3,439 3,437

B - Income Eligible 107 180 710 6,805 2,424 23,220 76 1,012 1,380 27,337 115 2,235 188,403 1,846,994 3,995 53,803 B1 - Income Eligible Existing Buildings 107 180 710 6,805 2,424 23,220 76 1,012 1,380 27,337 115 2,235 188,403 1,846,994 3,995 53,803

B1a - Income Eligible Coordinated Delivery 107 180 710 6,805 2,424 23,220 76 1,012 1,380 27,337 115 2,235 188,403 1,846,994 3,995 53,803 C - Commercial & Industrial 2,239 1,256 11,823 144,268 40,340 492,241 (7,839) (130,283) (2,003) (22,482) - - 104,579 1,815,396 30,498 339,476

C1 - C&I New Buildings 112 93 752 11,745 2,565 40,074 (1,116) (18,634) (186) (2,477) - - - - 1,263 18,963 C1a - C&I New Buildings & Major Renovations 112 93 752 11,745 2,565 40,074 (1,116) (18,634) (186) (2,477) - - - - 1,263 18,963

C2 - C&I Existing Buildings 2,127 1,163 11,071 132,523 37,775 452,167 (6,723) (111,650) (1,818) (20,005) - - 104,579 1,815,396 29,235 320,513 C2a - C&I Existing Building Retrofit 870 880 8,270 103,512 28,218 353,184 (6,574) (110,543) (1,691) (18,639) - - 223 2,134 19,953 224,002 C2b - C&I New & Replacement Equipment 382 283 2,801 29,012 9,558 98,989 (149) (1,106) (126) (1,366) - - 104,356 1,813,262 9,283 96,516 C2c - C&I Active Demand Reduction 875 - (0) (1) (1) (5) - - - - - - - - (1) (5)

Grand Total 2,873 2,017 15,596 167,492 53,215 571,484 (8,821) (131,690) 2,135 64,119 734 17,908 948,852 8,448,659 47,262 521,820

2019 Net Savings

Program Annual Capacity (kW) Electric Energy (MWh) Propane (MMBTU)Oil (MMBTU)MMBTUTotal SavingsMMBTU

ElectricElectric Energy (MMBTU)

Deliverable FuelsWater (Gallons)

OtherNatural Gas


Summer Winter Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual LifetimeA - Residential 593 599 2,996 15,719 10,222 53,634 (876) (1,215) 2,883 60,855 696 16,952 689,960 5,044,383 12,924 130,226


A2 - Residential Existing Buildings 539 570 2,875 13,915 9,809 47,477 (830) (993) 2,820 58,941 272 6,506 689,960 5,044,383 12,071 111,931 A2a - Residential Coordinated Delivery 92 114 512 4,553 1,748 15,534 231 4,768 3,466 62,432 437 7,393 667,588 4,887,775 5,882 90,126 A2b - Residential Conservation Services (RCS) - - - - - - - - - - - - - - - - A2c - Residential Retail 159 200 1,241 8,268 4,234 28,211 (1,060) (5,761) (646) (3,491) (165) (886) 22,373 156,608 2,361 18,073 A2d - Residential Behavior & Active Demand Reduction 288 257 1,122 1,094 3,828 3,731 - - - - - - - - 3,828 3,731



C1 - C&I New Buildings 67 59 594 9,131 2,028 31,156 (91) (1,209) (182) (2,427) - - - - 1,755 27,520 C1a - C&I New Buildings & Major Renovations 67 59 594 9,131 2,028 31,156 (91) (1,209) (182) (2,427) - - - - 1,755 27,520

C2 - C&I Existing Buildings 2,563 1,136 10,951 132,053 37,364 450,564 (7,438) (126,658) (1,754) (19,287) - - 102,267 1,769,021 28,172 304,619 C2a - C&I Existing Building Retrofit 848 857 8,191 103,451 27,948 352,975 (7,292) (125,570) (1,628) (17,923) - - 218 2,082 19,028 209,481 C2b - C&I New & Replacement Equipment 377 279 2,760 28,609 9,419 97,613 (146) (1,088) (126) (1,364) - - 102,050 1,766,939 9,146 95,162 C2c - C&I Active Demand Reduction 1,338 - (1) (7) (2) (24) - - - - - - - - (2) (24)

Grand Total 3,322 1,985 15,241 163,634 52,003 558,320 (8,330) (128,071) 2,324 66,401 811 19,184 982,890 8,691,120 46,809 515,834

2020 Net SavingsDeliverable Fuels Other

MMBTUElectric Energy (MMBTU) Propane (MMBTU)Natural Gas Total Savings

Annual Capacity (kW) Electric Energy (MWh) MMBTU Oil (MMBTU) Water (Gallons)ProgramElectric


Summer Winter Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual LifetimeA - Residential 596 582 2,851 14,740 9,729 50,292 (99) 3,176 3,229 62,487 863 18,623 714,176 5,230,378 13,722 134,577


A2 - Residential Existing Buildings 541 554 2,735 12,935 9,330 44,134 (60) 3,318 3,155 60,372 407 7,419 714,176 5,230,378 12,832 115,243 A2a - Residential Coordinated Delivery 88 106 466 4,183 1,589 14,271 248 5,080 3,344 61,434 454 7,678 691,079 5,068,701 5,635 88,463 A2b - Residential Conservation Services (RCS) - - - - - - - - - - - - - - - - A2c - Residential Retail 143 179 1,107 7,620 3,777 25,998 (308) (1,761) (190) (1,062) (47) (259) 23,097 161,677 3,232 22,916 A2d - Residential Behavior & Active Demand Reduction 310 269 1,162 1,133 3,965 3,865 - - - - - - - - 3,965 3,865



C1 - C&I New Buildings 67 59 613 9,507 2,092 32,438 (157) (1,888) (310) (3,754) - - - - 1,625 26,796 C1a - C&I New Buildings & Major Renovations 67 59 613 9,507 2,092 32,438 (157) (1,888) (310) (3,754) - - - - 1,625 26,796

C2 - C&I Existing Buildings 3,189 1,109 10,816 129,485 36,903 441,802 (6,943) (116,889) (1,744) (19,106) - - 101,078 1,746,401 28,216 305,807 C2a - C&I Existing Building Retrofit 837 846 8,023 100,891 27,375 344,241 (6,794) (115,893) (1,612) (17,739) - - 215 2,058 18,968 210,609 C2b - C&I New & Replacement Equipment 363 264 2,793 28,601 9,530 97,585 (148) (997) (132) (1,367) - - 100,862 1,744,343 9,251 95,221 C2c - C&I Active Demand Reduction 1,990 - (1) (7) (2) (24) - - - - - - - - (2) (24)

Grand Total 3,949 1,937 14,969 160,240 51,075 546,739 (7,123) (114,592) 2,560 67,066 982 20,916 1,005,829 8,853,641 47,494 520,130

OtherWater (Gallons) MMBTU

Total SavingsMMBTU Oil (MMBTU) Propane (MMBTU)

Natural Gas2021 Net Savings

Deliverable FuelsProgram

ElectricAnnual Capacity (kW) Electric Energy (MWh) Electric Energy (MMBTU)


Summer Winter Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual Lifetime Annual LifetimeA - Residential 1,716 1,762 8,910 46,878 30,402 159,947 (2,034) (458) 8,870 182,606 2,178 51,248 2,060,006 15,061,030 39,416 393,343

A1 - Residential New Buildings 160 85 361 5,349 1,232 18,250 (139) (623) 189 5,750 1,270 31,270 - - 2,552 54,646 A1a - Residential New Homes & Renovations 160 85 361 5,349 1,232 18,250 (139) (623) 189 5,750 1,270 31,270 - - 2,552 54,646

A2 - Residential Existing Buildings 1,556 1,677 8,549 41,529 29,170 141,698 (1,894) 165 8,681 176,856 907 19,978 2,060,006 15,061,030 36,864 338,697 A2a - Residential Coordinated Delivery 276 337 1,541 13,521 5,259 46,134 693 14,301 10,260 185,416 1,310 22,143 1,993,082 14,592,566 17,522 267,994 A2b - Residential Conservation Services (RCS) - - - - - - - - - - - - - - - - A2c - Residential Retail 476 599 3,716 24,775 12,680 84,531 (2,588) (14,136) (1,578) (8,560) (403) (2,165) 66,923 468,464 8,111 59,670 A2d - Residential Behavior & Active Demand Reduction 804 741 3,292 3,234 11,231 11,033 - - - - - - - - 11,231 11,033

B - Income Eligible 303 559 2,099 20,045 7,163 68,395 228 3,032 4,142 82,037 349 6,760 569,641 5,601,572 11,883 160,223 B1 - Income Eligible Existing Buildings 303 559 2,099 20,045 7,163 68,395 228 3,032 4,142 82,037 349 6,760 569,641 5,601,572 11,883 160,223

B1a - Income Eligible Coordinated Delivery 303 559 2,099 20,045 7,163 68,395 228 3,032 4,142 82,037 349 6,760 569,641 5,601,572 11,883 160,223 C - Commercial & Industrial 8,125 3,619 34,797 424,443 118,728 1,448,201 (22,467) (376,927) (5,993) (67,057) - - 307,924 5,330,817 90,267 1,004,217

C1 - C&I New Buildings 245 210 1,959 30,383 6,686 103,668 (1,364) (21,730) (678) (8,658) - - - - 4,644 73,279 C1a - C&I New Buildings & Major Renovations 245 210 1,959 30,383 6,686 103,668 (1,364) (21,730) (678) (8,658) - - - - 4,644 73,279

C2 - C&I Existing Buildings 7,879 3,408 32,838 394,060 112,042 1,344,533 (21,104) (355,197) (5,315) (58,399) - - 307,924 5,330,817 85,623 930,938 C2a - C&I Existing Building Retrofit 2,555 2,583 24,484 307,854 83,540 1,050,399 (20,660) (352,006) (4,932) (54,301) - - 656 6,273 57,949 644,092 C2b - C&I New & Replacement Equipment 1,122 825 8,355 86,221 28,507 294,187 (444) (3,190) (384) (4,097) - - 307,268 5,324,544 27,680 286,899 C2c - C&I Active Demand Reduction 4,203 - (2) (15) (5) (53) - - - - - - - - (5) (53)

Grand Total 10,144 5,939 45,807 491,367 156,293 1,676,543 (24,273) (374,353) 7,019 197,586 2,527 58,008 2,937,571 25,993,419 141,566 1,557,784

2019-2021 Net SavingsDeliverable Fuels OtherNatural Gas

MMBTUProgramElectric Total Savings

Annual Capacity (kW) Electric Energy (MWh) Electric Energy (MMBTU) MMBTU Oil (MMBTU) Propane (MMBTU) Water (Gallons)


VII. AppendixGHG reductions are provided for information purposes only. They are not included in the TRC test.Lowell Electric

Electric Energy Natural Gas Oil (MWh) (Therm) (MMBTU)

A - Residential 5,179 (30,128) 1,443 1.0 0.5 1,992 B - Income Eligible 710 760 1,380 0.1 0.1 397 C - Commercial & Industrial 12,738 (85,472) (2,187) 2.4 1.1 4,369 Grand Total 18,628 (114,841) 635 3.5 1.7 6,758


A - Residential 5,012 (27,434) 1,607 0.9 0.5 1,954 B - Income Eligible 700 759 1,377 0.1 0.1 393 C - Commercial & Industrial 12,429 (81,167) (2,113) 2.3 1.1 4,277 Grand Total 18,141 (107,842) 871 3.4 1.6 6,625


A - Residential 4,726 (9,666) 2,704 0.9 0.4 2,034 B - Income Eligible 689 759 1,386 0.1 0.1 389 C - Commercial & Industrial 12,310 (76,788) (2,296) 2.3 1.1 4,241 Grand Total 17,725 (85,695) 1,794 3.3 1.6 6,664


A - Residential 14,918 (67,228) 5,754 2.8 1.3 5,980 B - Income Eligible 2,099 2,278 4,142 0.4 0.2 1,179 C - Commercial & Industrial 37,477 (243,427) (6,596) 7.0 3.4 12,887 Grand Total 54,494 (308,378) 3,300 10.1 4.9 20,046

CO2

2021 Greenhouse Gas Reductions

SectorAnnual Emissions Reductions (Short Tons)

NOX SO2 CO2

Adjusted Gross Annual Savings

Adjusted Gross Annual Savings Annual Emissions Reductions (Short Tons)

NOX SO2 CO2


SectorAnnual Emissions Reductions (Short Tons)Adjusted Gross Annual Savings

NOX SO2 CO2


SectorAnnual Emissions Reductions (Short Tons)

NOX SO2

2019-2021 Greenhouse Gas Reductions

Sector

Adjusted Gross Annual Savings


Attachment 1: City of Lowell Energy Efficiency Program Administrator Resolution


cpg/lowell - city of lowell proposal to serve as mass save...

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