CPUC / IOU Zero Net Energy Building Activities:Setting the Stage

Energy Commission 2015 IEPR Workshop

May 18, 2015

Cathleen Fogel, Ph.D.

Energy Efficiency Branch

California Public Utilities Commission

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California’s ZNE Building Goals

• All new residential construction and all new commercial construction in California will be zero net energy by 2020 and 2030, respectively

• 50% of existing commercial buildings will be retrofit to ZNE by 2030 • All new state buildings and major renovations shall be ZNE (2025) 50% of existing state-owned building area by 2025 shall be ZNE• IOUs shall launch and ramp a ZNE K-12 Schools and Community

College Pilot Program in 2015-18

• IBEW Zero Net

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DPR Construction San Diego Corporate Office , Chip Fox, DG&E, renovation

IBEW ZNE Center, San Leandro, renovation

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ZNE Commercial Action Plan “Champions”California Energy Efficiency Strategic Plan (2008)

IOU Programs Supporting ZNE Buildings

• Codes & Standards• Emerging Tech • California Advanced

Home / Savings By Design

• “Reach” Building Code Support for Local Govts

• Workforce training & outreach

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DPR Construction San Diego Corporate Office , Chip Fox, DG&E

One Sky Homes Cottle House in San Jose, Allen Gilliand

RESIDENTIAL NEW CONSTRUCTION

CPUC and IOU Zero Net Energy Programs and Activities

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California Advanced Home Program: Moving Beyond Percentage Above Title 24

CAHP: Single Family• $300 for program entry CAHP Score of 84• $100 for each point up to 75• $200 for each point thereafter

CAHP: Multifamily Low-Rise

• $150 for program entry CAHP Score of 84• $50 for each point up to 75• $100 for each point thereafter

$-

$500.00

$1,000.00

$1,500.00

$2,000.00

$2,500.00

$3,000.00

$3,500.00

$4,000.00

$4,500.00

$5,000.00

CAHP Incentive Structure (per unit)

CAHP Score

CA

HP

In

cen

tive

2013 Code Home

2013 20% Home

2015 Code Readiness InitiativeIOU Support

• High Performance Attics and Ducts in Conditioned Space:

Get the ducts out of hot, hot space• High R-value Walls (≤ 0.050 assembly U-Factor)• Dedicated design and construction assistance • Builder Commitment

• Post-occupancy monitoring • Case studies

• Financial Support• Leverage CAHP incentives• Per project incentives ~ About $15,000 per key measure

• Rollout• 3 builders each, PG&E/ SCE by mid-2016; 25 lots/builder

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IOU ZNE Pilot Projects

ABC Home, SCE supported. Photo: SCE

Honda House, PG&E Supported, Photo: Davis Energy Group (2014) De Young ZNE Home, PG&E supported, Photo: Rob Hammon 2014

KB Home Zero House, SDG&E Supported. Photo: Ken Hilligoss

What is Current ZNE Residential Home Market Size?

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Approximately 1,100 ZNE-type homesMostly near ZNE, but includes 16 ZNEAbout 0.2-0.4% of market since 2006, but ~1% in 2014

ZNE-type = 30%> Title 24 (all)

Who is pursuing ZNE?• 50+ builders have

constructed ZNE-type homes in 130 CA cities

Sacramento area

Sonoma / Napa

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C A|

Energy Efficiency Strategic Plan

New Residential Zero Net Energy Action Plan 2014-2020

June 2015

California Energy Commission

Efficiency Division

California Public Utilities Commission

Energy Division

Release date June 9, 2015Launch Workshop at the CPUC

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Overall Critical Path

NON-RESIDENTIAL BUILDINGS

CPUC and IOU Zero Net Energy Programs and Activities

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Prop. 39 K-12 Schools and Community College Initiative

Five Elements to the Pilot- Target of 13-18 demo buildingsElement 1: IOU ZNE Demonstration School Retrofits

Element 2: Training Outreach and Recognition

Element 3: Institutional Training

Element 4: Codes and Standards

Element 5: Production Program Development

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The ZNE Pilot will provide:

• Design assistance• Trainings on how to socialize

the ZNE concept with stakeholders (e.g. parents, teachers, students, board members)

• Ongoing commissioning and construction inspection

• Training on how to maintain ZNE operations

• Monitoring, verification

And the ZNE Pilot will require:

Written commitment to the PilotA willingness to design and retrofit a ZNE buildingA healthy budget A willingness to share experiences with other interested schools

Prop 39 Allocation

School District Funds

Pilot In-Kind

Services

A Mixture of Funding Sources

Per Utility (Under development):

PG&E 5-7

SCE/SoCalGas 5-7

SDG&E 3-4

Total 13-18

Per School Type:

CCC 3-5

K-12 10-13

Total 13-18

Number of Demonstration Projects

• Prop39@EnergyDesignResources.com

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IOUs Support* for ZNE Buildings since 2008

(design support, energy modeling, financial incentives)

Just 213 ZNE Bldgs are Known in the U.S. ; CA = 40%

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IOU Supported ZNE or ZNE-Ready Bldgs:Energy Use Per Sq Foot is falling

Source: ED Data request Sept 2014; IOU self reported data

Challenges: Savings By Design Participation Rates Could Improve…

  2006 2007 2008 2009 2010 2011 2012

PG&E Participation Rate 11% 15% 13% 34% 15% 6% 3%

SDG&E Participation Rate 6% 16% 16% 12% 26% 5% 41%

SCE Participation Rate 14% 12% 14% 15% 16% 12% 9%

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Source: Savings By Design Market Potentials, Characterization and Best Practices Enhanced Participation Study, p. 2. www.calmac.org Study ID: SCE0357.01

Additional Challenges: 50% free-ridership, energy modeling

ZNE Recognition & Verification

www.newbuildings.org/zne-communications-toolkit

Supporting Early Adopters

Support for Schools, Local Governments, Higher Ed & State Agencies

ZNE Trainings

ZNE Tours

Planning Tools

Peer Learning

ZNE Early Adopters Leadership Trainings

NEW RESEARCH AREAS CPUC and IOU Zero Net Energy Programs and Activities

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Distribution Planning and ZNE Bldgs • Distribution Resource Planning Proceeding (R. 14-08-013)

– Integration capacity Analysis– Locational Value Analysis– Optimal locational benefit analysis– Distributed Energy Resources growth scenarios

1. IEPR “Trajectory” case

2. IEPR “High Growth” case

3. Very high potential growth, including ZNE Title 24 (and much more)

• CPUC Customer Distributed Energy Resources Grid Integration Study (launching 2015)

- What are the expected costs and benefits to the transmission and distribution system of requiring all new homes to be ZNE by 2020, or later?

• CPUC will adopt NEM successor tariff by end of 2015 (R.14-07-002) 25

ZNE Compliance Options for Offsite Renewables

• Proposed research on community-scale distributed energy resources for residential and commercial customers:

• Permitting requirements • Tariff frameworks • Least cost options• Potential grid impacts• Case studies

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Can community-scale DERs sited close to substation of a development feeder help mitigate the grid impacts of development’s new load, while alleviating need for onsite DERs?

How might new IOU “Green Option” (PG&E” Community Solar tariffs support ZNE goals?

Pacific Coast Action Plan on Climate and Energy (2013): Zero Net Energy Focus

• Invest in clean energy and climate-resilient infrastructure “Transform market for EE and lead the way to “net zero” buildings:”

• Develop Joint Codes and Standards Roadmap to ZNE

• Joint comments on DOE Definitions of Zero Energy Buildings– Recommended a “ZNE Loading Order:”

1. Deep energy efficiency, best practices for highly efficient buildings

2. On-site Renewables

3. Community Solar Systems

4. Certified RECs

• CA, OR, WA and British Columbia

•

27Exploratorium | San Francisco, CA

IOU Plug Loads Research (2014-16)

• Miscellaneous Energy Loads• Phase I:

– Best estimates of MEL energy consumption, gaps

– Literature review of non-intrusive load monitoring methods

• Phase II:– Models?– Ideal sample size and time frame

for future predictive model? • Phase III:

– Develop and test statistical models

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Closing Thoughts: Transform the Market

• Need to engage and scale efforts of Early Adopters – Reduce first costs; work closely with suppliers and builders – ZNE homes subdivision pilots ; expand High Performance Walls/ Attics – Savings By Design: aim at reducing EUIs

• Early Adopter cohort support? – Greater awareness, education and training in both sectors

• ZNE Building Recognition and Case Studies

• Update of ZNE building definition / goal to accommodate off-site renewables when needed is welcome

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Thank you!

Cathleen Fogel, Ph.D.

Senior Analyst

Energy Efficiency Branch

California Public Utilities Commission

cathleen.fogel@cpuc.ca.gov

(415) 703-1809

http://www.cpuc.ca.gov/puc/

http://www.cpuc.ca.gov/PUC/energy/Energy+Efficiency/Zero+Net+Energy+Buildings.htm

http://www.californiaznehomes.com

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EXTRA SLIDESCPUC and IOU Zero Net Energy Programs and Activities

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IOUs Support* for ZNE Buildings since 2008

(design support, energy modeling, financial incentives)

Just 213 ZNE Bldgs are Known in the U.S. ; CA = 40%

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IOUs Support* for ZNE Buildings since 2008

(design support, energy modeling, financial incentives)

Just 213 ZNE Bldgs are Known in the U.S. ; CA = 40%

IOU New Construction Programs Summary Statistics

January 2010 – May 2015

34Source: 2010-12 EM&V Report; EE Stats, May 13, 2015

Total New Construction Evaluated Savings/ Expenditures

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5.1 percent of total portfolio expenditures 4 and 4.4 percent of gross portfolio energy and demand savings 2.4 and 3.6 percent of net portfolio energy and demand savings

New Construction

Expenditures Energy Savings Emissions Cost Effectiveness

    Million ($) Electric (GWh) Demand (MW) Natural Gas

(MM Therms)CO2

(Tons)TRC

ReportedGross 129 301 77 5.0 203 Residential: .40-.90

Net   221 54 3.4 147 Commercial: 1.27 - 2.53

EvaluatedGross   220 57 5.6 160 Residential: .40-.90

Net   119 30 3.1 87 Commercial: 1.06 - 1.44

Percent Evaluated

Gross   95.0% 79.8% 61.3%    

Net   96.1% 84.3% 67.2%    

Source: 2010-12 EM&V Report

SW NC/ZNE Programs & Pilots: Evaluated Savings, $$, TRC

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ProgramID ProgramName Net_kW_Eval TRC_Eval Total ExpendituresPGE21042 Savings By Design 5,281 1.21 32,999,144PGE2112 Zero Net Pilots 0 0.00 4,337,375SCE-SW-005A Savings By Design 11,287 1.44 31,975,362SCG3625 Savings By Design 0 1.06 1,106,199SDGE3118 Savings By Design 5,290 1.12 17,048,130PGE2176 California New Homes Multifamily 1,771 0.90 6,488,351SCE-SW-005B California Advanced Homes 2,013 0.40 7,840,781SCG3626 Residential New Construction 1,556 0.40 9,820,559SDGE3160 Residential New Construction 637 0.40 4,136,102PGE21041 Residential New Construction 2,483 0.48 12,860,676SCE-TP-034 Sustainable Communities 0 0.00 2,991,161SCG3645 Local Sustainable Communities 0 0.00 139,939SDGE3138 Local Sustainable Communities 0 0.00 140,261

30,318 131,884,039Source: 2010-12 EM&V Report