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2014 Hard-to-ReachStandard Offer Program
October 23, 2013
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Where in Texas?AEP is offering the Hard-to-
Reach Standard Offer Program (HTR SOP) through its Texas distribution companies which include AEP Texas Central Company (TCC), AEP Texas North Company (TNC) and Southwestern Electric Power Company (SWEPCO)
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HTR Successes
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10001500200025003000350040004500
TCC TNC SWEPCO
2010201120122013
2013 YTD• TCC – 1,830 Customers Served; 4,071 total installations• TNC - 274 Customers Served; 629 total installations• SWEPCO – 1,314 Customers Served; 2,299 total installations
Lower Budgets impact # of Customers Served2013 numbers are from incentive reports processed/paid through the 3rd quarter.
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HTR Successes (continued)TCC: 12 Counties traditionally Underserved experienced measure
installations in 2013 Program goals met after first month of program opening
TNC: YTD savings achieved: 233 kW 704,398 kWh 2013 Program Goal: 240 kW 653,561 kWh SWEPCO: 3 Counties traditionally Underserved experienced measure
installations in 2013
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2014 HTR SOP Summary
Incentives Paid for kW and kWh savings Internet Application and Reporting HCA, Income Eligibility Form and Customer
Education Material Small Projects
No minimum project size Reserve funds for 30 days
Multi-Family Reserve up to $ 25,000 at a time
Single-Family Reserve up to $5,000 at a time
2014 KEY CHANGES Project Sponsors must carry all statutorily required insurance The 2014 HTR SOP shall utilize the deemed savings values contained in
the State of Texas Technical Reference Manual (TRM), unless thePUCT indicates otherwise
Residential dwellings or additions completed after January 1, 2012 donot qualify for the program
Home Energy Rater (HERs) or Building Performance Institute (BPI)individual required to be on staff for any Project Sponsor performingduct efficiency and/or air infiltration measures. HERs or BPIindividual required to be listed on Project Sponsor application
Underserved Counties for TNC and SWEPCO have been revised for 2014 A new field to report “# of bedrooms” has been added as a required
field on the customer input form Customer-level document upload feature added to database
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CONTINUING IN 2014 Blower-door testing shall occur immediately prior to the installation of any
air infiltration measures at every site. Post-installation testing shall occur immediately following the installation of air infiltration measures at every site
Pre- and post-retrofit duct pressurization testing shall be performed at every site by Project Sponsors implementing the duct efficiency measure to verify and record leakage sealed
Work schedules required for Project Sponsors completing duct efficiencyand infiltration measures in Single Family projects
Project Sponsors must provide a work schedule for Multi-Family projectsseven (7) days prior to measure installation
Incentive Reports may no longer be submitted the 1st 15 days of eachmonth
All installations must be submitted on an Incentive Report within 45 days ofthe installation
All host customers must be supplied approved customer education material Changes to the Host Customer Agreement and Acknowledgement Form to
include all Pre and Post CFM readings for Duct Efficiency and Air Infiltrationmeasures and “R” Value of Existing Ceiling Insulation
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CONTINUING IN 2014 (continued) CFL measure not eligible in SWEPCO HTR SOP All ceiling insulation installations must affirm that an insulation
installation certificate was permanently affixed near the attic opening An updated duct tool spreadsheet has been added to the database Failure to complete prescriptive requirements will result in a total
Measure failure regardless of the CFM reading Homes cooled with window air conditioning units exclusively must be
reported as “gas” heat. Electric space heaters are considered “plug-in”load and do not make the home eligible for electric heating type in thisprogram (Air Infiltration and Ceiling Insulation measures)
The air infiltration Deemed Savings include an upper limit of 4 CFM50 persquare foot of house floor area pre-retrofit infiltration rate and this limitwill be enforced
All use of marketing, including social media, must be approved by AEP Different incentive rate for historically underserved measures Different incentive rate for projects targeting historically underserved
counties
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HTR SOP INCENTIVE BUDGETS
Budget Limit per PS
TCC $ 953,417 $ 75,000
TNC $ 162,719 $ 50,000
SWEPCO $ 562,360 $100,000
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How Do I Participate? Review Program Manual
Review SOP Agreement
Complete and review on-line application
Submit application via internet
If applicable, send testing procedures within 24 hours of
submitting application
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What Happens Next?
Applications will be reviewed based on receipt ofall required information
Once eligibility has been verified and applicationpre-approved, enter into a agreement with AEP toinstall eligible Measures
Refer to Program Manual for additional information
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Project Sponsor Requirements
A Project Sponsor must have: Adequate insurance (mailed or e-mailed directly to
appropriate Program Administrator by insuranceagency)
All appropriate licenses References Evidence of technical and managerial capabilities and
experience AEP approved customer education material to be
distributed to all host customers
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Incentive Payments & Example
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Incentive Payment Structure Four levels, to encourage Project Sponsors: Installing Standard Single-Family dwelling Measures Installing Standard Multi-Family dwelling Measures Installing historically Underserved Measures Installing Measures in certain historically
Underserved CountieskW kWh
Standard Single-Family $360 $0.11Standard Multi-Family $325 $0.10Underserved Measures $400 $0.13Underserved Counties $440 $0.15
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Incentive Payment Limits
Load Factor Caps:
For all combined kW and kWh incentivepayments, incentive is limited to:
$920 per kW
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Incentive Payment ExampleInstall Measures in Single-Family dwellings resulting in savings of:
48 kW 120,000 kWh
Standard Single-Family Incentive Rate:
$360/kW $0.11/kWh
Total Incentive Payment: $30,480(before any limits)
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Underserved Counties - TCCATASCOSA EDWARDS KINNEY UVALDE
BEE FRIO LA SALLE VAL VERDE
BROOKS GOLIAD LIVE OAK WHARTON
CALDWELL GONZALES MAVERICK WILSON
COLORADO GUADALUPE MCMULLEN ZAPATA
DE WITT JACKSON MEDINA ZAVALA
DIMMIT JIM WELLS REAL
DUVAL KENEDY REFUGIO
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Underserved Counties - TNC
BRISCOE COTTLE DICKENS
FOARD HALL HARDEMAN
KENT KING KNOX
MOTLEY STONEWALL
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Underserved Counties - SWEPCO
CHILDRESS FRANKLIN HOPKINS
RED RIVER SMITH UPSHER
VAN ZANDT WHEELER WOOD
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Application Process
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Create Application
Register on Program website
Complete Project Sponsor Details
Sponsor Profile
Subcontractor Information
Project Description
Qualification Documents
Insurance Information
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Application Schedule
1st Day to register October 24, 2013
Submit applications December 3, 2013
Implementation begins February 4, 2014
Must have approved application status
Must have 2014 HCA’s
Must have a budget reservation
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Multi-Family Projects
Site
Measures
Work Schedule
Duct Description
Individually-metered
$25,000 Budget ReservationProgram Administrator can increase reservations for
completion of project per funding availability
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Identify Project Opportunities
Verify customer eligibility Original customer signature and date on
Income Eligibility Form Original customer signature and date on Host
Customer Agreement & Acknowledgement(HCA) form
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Install Measures Reserve funds via internet Install Measures Original customer signature and date HCA
form to verify completion If applicable, supply pre and post CFM readings
and “R” Value of Existing Ceiling Insulation onHCA.
Provide customer with Approved EducationalMaterials
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Reporting
Monthly reporting via internetInaccurate reporting results in failures
Un-submitted Measure installations over 45days old will lock out reservations feature
AEP will process inspection-adjusted IncentiveReports within 45 days under normalcircumstances
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Installation Inspections Random sample of Measure installations Verify that number of installed Measures equals
number of reported Measures Verify Measure is installed and capable of
performing its intended function (10 yr measurelife expectancy)
Verify that Measures qualify and thatinstallation standards were followed
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2013 Program Issues Inaccurate pre assessments, i.e. incorrect levels of existing ceiling
insulation reported, incorrect heating type reported Failure to perform pre-retrofit installation blower-door and duct
blaster tests Failure to perform post-installation blower-door and duct blaster
tests HCA’s and Installations done prior to application approval Submitting incomplete forms (HCA, income eligibility forms) Failure to complete daily work schedule Multi-Family/Single-Family reservations (only one open at a time) Use of unapproved marketing material. All marketing material
must be approved, including social media Failure to report measure installation within 45 days of the
installation date
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2013 Program Issues (continued) Door weather-stripping; customer(s) must be able to close and shut
door(s) with minimum effort after installation CFLs installed in non-common areas (e.g, closets, pantries) Customer educational material not being supplied Must inform customer of inspection possibility
Provide best daytime contact phone #’s Measures installed should provide an expected life of at least 10
yrs with the exception of CFLs. The following are deemedunacceptable Taping attic access doors and filter access panels Plumbing penetrations not covered effectively or with non-rigid
material Supply registers not removed to be sealed nor serviced from
attic space Caulking reported but not found in rooms specified (door
frames, baseboards, windows)
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Program Website
Refer to www.aepHTRsop.com for: SOP schedule Latest program announcements Available funding FAQ’s Program Manual Program contact information
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AEP Contact Information
TCC – Vee StraussPhone: 361.574.2252E-mail: [email protected]
TNC – Steve MutisoPhone: 325.674.7287E-mail: [email protected]
SWEPCO – Jeff ThigpenPhone: 318.673.3372E-mail: [email protected]
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Comments and Questions……………….