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Building Bridges to Net Zero
Financial Benefits of Using National Grid EE Programs
Louis RizzoLead Program Manager
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National Grid: Company Overview
National Grid: Company Overview
National Grid has become a trusted partner by helping companies optimize their energy investment to support their specific business goals.
Serving multifamily, commercial, industrial, and residential customers for over 150 years.
Our award-winning energy efficiency program and dedicated staff have helped thousands of customers reduce energy expenses and achieve rapid ROI on capital improvements.
Total customers
3.4 million gas customers in New York, Massachusetts and Rhode Island 3.3 million electric customers in Massachusetts, New York (Upstate NY)
and Rhode Island
NYC & LI Gas Service Area: Brooklyn, Staten Island,3/4 of Queens, Nassau Co and Suffolk Co
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Energy Initiative – NY
National Grid’s Programs were created through the states Energy Efficiency Portfolio Standard (EEPS)
Designed to reduce thermal and electricity usage in the state by 15% by 2015
Goal originally proposed by Elliott Spitzer; supported today by Governor Cuomo
January 2009, the state Public Service Commission approved the EEPS funded through the SBC charge and in November 2011 second round of funding call EEPS II were approved
Around November 2016, a new set of energy efficiency program will be approved state wide called REV (Reforming the Energy Vision) that is expected to change NYS Utilizes and NYSERDA’s roll in the market
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Wise investments in energy efficiency can quickly generate full ROI and reduce spending significantly over time.
Maximize energy performance for better results and lower costs
Lower energy bills
Reduce carbon footprint
Provide a safer, healthier, more comfortable environment for tenants
Energy efficiency benefits
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National Grid Program OverviewOur Programs are designed to provide solutions for multifamily and commercial businesses to save money, improve energy performance, and reduce greenhouse gas emissions by
Providing financial incentives to offset the cost of replacing or retrofitting inefficient equipment or other energy improvement measures
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Multifamily program resultsAt the end of 2013, we implemented major operational and marketing changes to our multifamily programs.
Reallocated existing workforce Added new measures Hired a Direct Install implementation vendor
(AEA) Developed a custom express screening model
for EMS systems Developed boiler tune-up pilot program redesigned our marketing outreach Developed a partnership with Con Edison on
multifamily program
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Multifamily Partnership NGRID and Con Edison coordinate both of our in-unit direct
install programs via the same vendor, AEA. Benefits of in-unit collaboration:
– Opportunity to present a comprehensive electric & gas programs (in overlapping regions)
– Owners benefit directly from gas measures– Tenants benefit directly from electric measures– Marketing collaboration efficiencies– Customer confusion is minimized– One stop approach is easier for customers
Over 7,000 coordinated apartment projects have been completed so far.
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Multifamily Direct Install Program Installation of free high efficiency water and heating saving measures ($250 to $600 Value per apartment). Who is eligible?
– 5 to 75 units in New York City – 5 to 50 units on Long Island and the Far Rockaway Peninsula Must be on a firm multifamily gas heating rates
Free installation of high efficiency measures Include: – Kitchen Faucet Aerators - 1.50 GPM* – Bathroom Faucet Aerators - 1 GPM* – Restricted Flow Showerheads 1.75 GPM* – Thermostatic Radiator Valves ( Added in 2015)
*Gallons Per minute
Implementation Vendor: Association for Energy Affordability, Inc. (AEA)
Program excludes temperature controlled (TC) and interruptible gas heating rate customers.
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National Grid Prescriptive Measures
Boilers/ Furnaces / Water Heating
Insulation: Roof, Attic and Pipe (Fiberglass, Cellulose, Spray
Foam)
Controls
Steam traps
Thermostatic Radiator Valves ( New Measure added In
2015)
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Gas Custom ProgramTailored to a customer’s unique needs, custom gas incentives are offered to help customers target energy efficient opportunities.
Custom projects are generally defined as anything that is not prescriptive and has opportunity for significant energy savings
In general, both building system applications and other therm saving applications
Custom incentives will be the lesser of either:
Up to 50% of the installed costs Maximum incentives available, $250,000 A buy-down of equipment costs that passes our screening
model
Some Examples include:
Combustion Controls
Energy Management System
Thermal Blanket Insulation
Heat Recovery
Stack Economizers
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National Grid Boiler Tune Up Pilot Program
In the Q3 of 2014 we developed a pilot boiler tune-up program for eligible NYC National Grid firm gas customers:
Customers that participated in this pilot program were required use one of our per-authorized contractors
Eligible equipment: ‒ Firetube and watertube boilers with 4,200 MBH input rating and up without parallel
positioning or oxygen trim controls‒ Boilers must perform according to program guidelines ‒ Customer cost $0
In 2015 completed around 65 boiler Tune-ups and 40 currently pending. Pilot Program Achieved Savings – around 250,000 therms Incentive payments to contractors - $1,000 first boiler and $500 for each additional boiler
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Multifamily Measure Trends Over the last three years we have seen strong growth tends in certain measures in multifamily market:
Energy Management System with apartment sensors and remote monitoring
Thermostatic Radiator Valves
Water saving measures
Condensing water heaters
Lighting replacements
Combine Heat and Power (CHP) systems – 100 unit + buildings
Weatherization Measures
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Douglas Elliman Property Management
Their properties consists of 38 residential buildings built in the early1920s containing about 1,500 individual apartment units and 38 differentboiler rooms.
Douglas Elliman decided to proceed with a pilot and installed energymanagement systems (EMS) on eight of their buildings. The newcontrols allow Douglas Elliman to monitor boilers and heat levelsremotely and identify and resolve heat level issues promptly.
The management company also participated in National Grid DirectInstall program and is now install EMS controls on it remaining buildings.
EMS Project Summary
EMS Total Cost: $7,250 x 8 boilers: $58,000National Grid Incentive: $26,000Cost to Customer : $32,000Annual Therm Savings: 15,000 ThmsProject Payback: About 2.2 yrs
National Gird Direct Install program
Total Customer Cost : $0National Grid Incentive: All Free Measures
High-efficiency showerhead—1.5 gpm* High-efficiency kitchen faucet aerator—1.5 gpm* High-efficiency bathroom faucet aerator—1.0 gpm* Thermostatic radiator valves (TRVs)—1.5 gpm*
Total Annual Therm Saving 46,577 (25 Buildings)Water Savings: Around 20% per building
*Gallon per minute
Douglas Elliman manages properties in theSunnyside and Woodside sections of Queens,N.Y. A portion of their portfolio includes a set ofresidential multifamily buildings that have beenowned by one family for over 50 years.
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Marketing CampaignsNational Grid Marketing Campaigns
Behavioral Social Media Events Digital & print Advertising
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What is a behavioral email campaign?
Deliver an initial content-marketing email to an entire segment of customers Track behaviors of each prospect or customer
– Opening (or not opening) an email– Clicking on a link or article
Send a follow-up email based on content engagement– Offer recommendations – Request reviews of services– Cross selling
…Using dynamic personalization
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Why we’re using this approach
To turn attention into action Boosts content relevance.
– Not just talking to an industry or demographic, but to people who have demonstrated interest in a specific topic
Greater engagement Supports targeting in other channels (phone, direct mail, etc.) Made even more effective with dynamic personalization
– “From” the account manager – Region-specific links to rebates
Helps prioritize “sales-ready” leads, which are starting to increase sales
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Behavioral Email Campaign InitiativeA monthly primary email containing articles will be sent to all large customers from April through November. Content/segments determined quarterly by a cross-functional team including
marketing, sales, program strategy and program implementation Links to applicable webinars and case studies as appropriate4
Up to two follow up emails per month are sent to customers, based on whether and how they engage with the primary email.
Initial Results Increased opens – up to two times the rate of the initial email. Decreased “disengagement” – behavioral targeting can reduce email unsubscribes
by up to 40% and spam complaints by a third.
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Behavioral Email Campaign: ExampleInitial email
Follow-up emails
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Behavioral Email Campaign ResultsSubject Line Sent Delivery Rate Delivery Rate
Benchmark Open Rate Open Rate Benchmark
NYC_April_Primary_EmailEnergy efficiency benefits beyond a lower bill.
5/1/2015 97.69% 88.65% 18.73% 14.94%
NYC_April_Followup_Email1Improve your sustainability while lowering your bill.
5/8/2015 100.00% 88.65% 23.53% 14.94%
NYC_April_Followup_Email2 Looking into green building certification? 5/11/2015 100.00% 88.65% 11.11% 14.94%
NYC_May_Primary_Email Direct Install: Saving water made easy 5/22/2015 92.07% 88.65% 19.61% 14.94%
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Social Media Social Media has grown into a major market over the last ten years NorthCutt consulting group - subscriber study:
– Facebook – One billion +– Twitter – 500 million– Google+ – 400 million– Weibo – 300 million– RenRen – 250 million
Growing Social Media site based on NorthCutt:‒ Tumblr – up to four times‒ Flickr – up to three times‒ LinkedIn – up to two times‒ Myspace – up to two times
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National Grid has been seeing steady annual growth in subscribers/followers with our social media sites
May 31, 2015 - 100,000 Subscribers/Followers
Within the next 5 years we are forecasting to have over 600K subscribers/followers with our social media sites
74%
25%
1%
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Event Outreach Annual local Events: Annually we participant or host around 200+
events every year
Events & Social Media: Combining community event with social media has been a great way for National Grid to increase its brand awareness
Benefits Pros:
Great Local community awareness
Networking
Cons: ‒ High Costs
‒ Limited Exposure
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Contact Information
Residential, Commercial and Multifamily Rebate Programs
– Prescriptive - 1-877-316-9491
– Custom - 1-800-843-3636
Web Links
– www.ngrid.com/nycbiz
Contact Email:
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Thank You