Consultant Team presentation on Q2 Results

CONSULTANT TEAM

PRESENTATION ON Q2 2020

►Sept 16, 2020

www.ma-eeac.org Consultant Presentation on Q2 2020 Report

INTRODUCTION

►Presentation takes a closer look at Q2 progress, in particular findings from KPI data

►High level takeaways− Despite challenges of COVID, Q2 program participation as

a percent of plan was strong

− Midway through the year overall savings tracking lower as a % of annual planned savings compared to 2019• Oil and propane savings were higher as a % of annual planned

savings• Q2 Residential savings are lagging behind Q1 2020 and Q2

2019, but not by a huge amount.• C&I and Income eligible particularly behind

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PORTFOLIO

| 3


PORTFOLIO PARTICIPATION

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►Overall participation in Q2 2020 higher as a % of annual planned savings compared to Q2 2019

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

2019 2020 2019 2020

Q1 Q2

Total Portfolio Participants - % of Annual Plan

Portfolio

Residential

Income Eligible

Commerical & Industrial


LIFETIME SAVINGS – PORTFOLIO

WIDE (ALL FUEL SITE MMBTU)

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0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

2019 2020 2019 2020

Q1 Q2

Total Portfolio Lifetime Savings - % of Annual Plan

Portfolio

Residential

Income Eligible


►All fuels portfolio savings in Q2 2020 lower as a % of annual planned savings compared to Q2 2019− Residential slightly higher in Q2 2020 compared to 2019


LIFETIME SAVINGS – ELECTRIC

(MWH)

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0%

10%

20%

30%

40%

50%

60%

2019 2020 2019 2020

Q1 Q2

Electric Portfolio Lifetime Savings - % of Annual Plan

Portfolio Residential Income Eligible Commerical & Industrial


LIFETIME SAVINGS – GAS

(THERMS)

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0%

10%

20%

30%

40%

50%

60%

70%

80%

2019 2020 2019 2020

Q1 Q2

Gas Portfolio Lifetime Savings - % of Annual Plan



LIFETIME SAVINGS – OIL AND

PROPANE MMBTU

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►Oil and propane savings in Q2 2020 higher as a % of annual planned savings compared to Q2 2019− Driven by residential savings

0%

10%

20%

30%

40%

50%

60%

2019 2020 2019 2020

Q1 Q2

Total Portfolio Oil and Propane Savings - % of Annual Plan

Portfolio

Residential

Income Eligible



RESIDENTIAL AND INCOME

ELIGIBLE

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RES ELECTRIC SAVINGS BY END

USE Q1 VS Q2 2020

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0

100,000

200,000

300,000

400,000

500,000

600,000

Q1 2020 Q2 2020

Life

tim

e El

ectr

ic S

avin

gs (

MW

h)

Lifetime Residential Electric Savings

Hot Water

HVAC

Envelope

Process

Behavior

Lighting


RES ELECTRIC SAVINGS BY END

USE 2019 YTD VS 2020 YTD

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0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

Q2 2019 Q2 2020

Life

tim

e El

ectr

ic S

avin

gs (

MW

h)

Q2 YTD Lifetime Residential Electric Savings

Hot Water

Process

Refrigeration

Envelope

Behavior

HVAC

Lighting


RES GAS SAVINGS BY END USE

Q1 VS Q2 2020

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0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

Q1 2020 Q2 2020

Life

tim

e G

as S

avin

gs (

MM

Btu

)

Lifetime Residential Gas Savings

Hot Water

Behavior

Envelope

HVAC


RES GAS SAVINGS BY END USE

2019 YTD VS 2020 YTD

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0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

14,000,000

Q2 2019 Q2 2020

Life

tim

e G

as S

avin

gs (

MM

Btu

)

Q2 YTD Residential Gas Savings

Hot Water

Behavior

HVAC

Envelope


RESIDENTIAL AND INCOME ELIGIBLE

HEAT PUMPS

Heat Pump Unit Type Description2019

Evaluated 2020 YTD

Residential

Lost Opportunity Efficiency upgrade of assumed baseline heat pump 8,276 2,346

Energy Optimization Displacement of electric resistance space heat 1,001 581

Fuel Switching Displacement of oil or propane 2,372 1,380

Total 11,649 4,307

Income Eligible

Lost Opportunity Efficiency upgrade of assumed baseline heat pump 0 0

Energy Optimization Displacement of electric resistance space heat 658 42

Fuel Switching Displacement of oil or propane 2 1

Total 660 43

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MODERATE INCOME PARTICIPATION

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0

100

200

300

400

500

600

Q2 2019 Q4 2019 Q2 2020

Moderate Income Participation

Moderate Income Applicants Applicants that resulted in Wx

Unique Home Energy Assessments (all res, electric and

gas)

Q2 2019 56,250

Q4 2019 55,541

Q2 2020 30,836


RESIDENTIAL & INCOME ELIGIBLE

TAKEAWAYS

►Residential savings have decreased significantly in Q2 this year as compared to Q1; the decrease in savings is proportionately lower when viewed YTD 2020 vs. 2019

►The decrease in residential electric savings in 2020 has been mitigated by a large increase in lighting savings

►An increase in gas HVAC savings in Q2 has made up for some of the reduction in gas envelope savings

►Heat pump results in 2020 vary by measure type and sector—Low Income Sector activity is down most dramatically

►Already low moderate income participation numbers are even lower in 2020 | 16


COMMERCIAL & INDUSTRIAL

| 17


KPI #4 PROPORTION OF LIGHTING

PROJECTS WITH CONTROLS

►Largest volume of projects go through Upstream, which delivers least amount of controls

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0

5,000

10,000

15,000

20,000

25,000

Q3 2019 Q4 2019 Q1 2020 Q2 2020

Pro

ject

s

Upstream Lighting Projects

Without Controls With Controls

Note: before Q3 2019, data was not reported by pathway by PAs


KPI #4 PROPORTION OF LIGHTING

PROJECTS WITH CONTROLS

►Custom retrofit and new construction deliver more controls, but for far fewer projects than Upstream

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0

50

100

150

200

250

300

Q3 2019 Q4 2019 Q1 2020 Q2 2020

New Buildings & Major Renovations Lighting Projects


0

500

1,000

1,500

2,000

2,500

Q3 2019 Q4 2019 Q1 2020 Q2 2020

Pro

ject

s

Existing Building Retrofit Lighting Projects


Note: before Q3 2019, data was not reported by pathway by PAs


KPI #5 CUSTOM HVAC SAVINGS

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PA

2020 Q2 YTD Custom HVAC

Savings (MWh)

2020 Plan Custom HVAC

Savings (MWh)

YTD % Achieved

CLC 764 7,932 10%

Eversource 44,500 507,791 9%

National Grid 12,148 177,314 7%

Unitil - 5,808 0%

Electric Gas

PA

2020 Q2 YTDCustom HVAC

Savings (Therms)

2020 PlanCustom HVAC

Savings (Therms)

YTD % Achieved

Berkshire 226,345 596,680 38%

CMA 1,134,487 20,472,219 6%

Eversource 782,836 25,620,702 3%

Liberty - 648,084 0%

National Grid 4,088,771 16,630,901 25%

Unitil - 558,952 0%

► Less Custom HVAC savings than planned for both electric and gas

► HVAC is most important area of savings in post-lighting world


KPI #6 SMALL BUSINESS

TURNKEY COMPREHENSIVENESS

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► 89% of electric savings delivered through the Small Business Turnkey

program during this planning cycle has come from lighting

− This program technically also offers HVAC, refrigeration and motors/drives measures

-

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020

MW

h

Small Business Turnkey Electric Savings (MWh)

Statewide - Non Lighting

Statewide - Lighting


KPI #6 SMALL BUSINESS

TURNKEY COMPREHENSIVENESS

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► 56% of gas savings delivered through the Small Business Turnkey program

during this planning cycle has come from aerators

− Gas side is more promising: opportunity for air sealing, pipe insulation, steam traps, etc.

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020

Ther

ms

Small Business Turnkey Gas Savings (Therms)

Statewide - Non Aerator

Statewide - Aerator


STREETLIGHTING LED

CONVERSIONS ►63% of streetlights converted to LED statewide

►Big opportunity for remaining lamps, but not without challenges

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Lamp Type

Company Owned Customer Owned

Number of Lamps % of Total Lamps Number of Lamps % of Total Lamps

High Pressure Sodium

48,305 58% 77,624 24%

Incandescent / Other

1,369 2% 4,151 1%

LED 17,670 21% 236,306 74%

Mercury Vapor / Metal Halide

16,135 19% 3,322 1%


C&I HEAT PUMP PROGRESS

TOWARDS TERM SHEET GOAL

►Roughly 10% achievement of term sheet goal for C&I heat pumps at 50% through the 3-year plan− Incomplete info on custom retrofit, new construction and

newly launched prescriptive EO offer (may be included in Q4 2020)

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System Type# of Units to Date

(2019 + Q1&2 2020)2019-2021 Term

Sheet Goal

Mini Split HP - Upstream 388

Central HP - Upstream 1,488

Fuel Switching - Retrofit 4

Total 1,880 17,980


C&I TAKEAWAYS

►Still low lighting controls adoption, especially for largest volume pathway (Upstream)

► Custom HVAC savings not delivering as planned− Gas doing marginally better than electric

►Small business program still dominated by lighting despite other measures being offered

►Streetlight LED conversion opportunities still out there for 2020/2021

►C&I far behind on heat pump goal committed to in term sheet− Possible under-reporting but unlikely enough to fill gap

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THANK YOU

Questions?

►June 17, 2020


APPENDIX

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BENEFITS – PORTFOLIO WIDE

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0%

5%

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30%

35%

40%

45%

50%

2019 2020 2019 2020

Q1 Q2

Total Portfolio Benefits - % of Annual Plan



SPENDING – PORTFOLIO WIDE

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0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

2019 2020 2019 2020

Q1 Q2

Total Portfolio Spending - % of Annual Plan



LIFETIME SAVINGS – ELECTRIC

PROGRAMS

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0%

10%

20%

30%

40%

50%

60%

2019 2020 2019 2020

Q1 Q2

Electric Portfolio Lifetime Savings - % of Annual Plan



BENEFITS – ELECTRIC

PROGRAMS

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0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

2019 2020 2019 2020

Q1 Q2

Electric Portfolio Benefits - % of Annual Plan



SPENDING – ELECTRIC

PROGRAMS

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0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

2019 2020 2019 2020

Q1 Q2

Electric Portfolio Spending - % of Annual Plan



LIFETIME SAVINGS – GAS

PROGRAMS

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0%

10%

20%

30%

40%

50%

60%

70%

80%

2019 2020 2019 2020

Q1 Q2

Gas Portfolio Lifetime Savings - % of Annual Plan



BENEFITS – GAS PROGRAMS

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0%

10%

20%

30%

40%

50%

60%

2019 2020 2019 2020

Q1 Q2

Gas Portfolio Benefits - % of Annual Plan



SPENDING – GAS PROGRAMS

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0%

10%

20%

30%

40%

50%

60%

2019 2020 2019 2020

Q1 Q2

Gas Portfolio Spending - % of Annual Plan


Documents

Consultant Team presentation on Q2 Results