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For National Association for State Community Services Programs
Turning Carbon Savings from Residential Energy Efficiency Retrofits into a New Revenue
Stream
Jo-Ann L. Choate, MaineHousing
March 1, 2012
The Carbon Quantification Project Timeline
Verify and sell
carbon emission reduction
s
Weatherization
methodology finalized
Develop weatherizati
on methodolog
y 2011
2010
2009
2008
Weatherize A Home
CarbonEmissionReduction
(ERs)
Measured bya validated
methodology
Verified by an accredited
third partyverifier
Recorded ina CarbonRegistry
ERs soldin the market
Weatherizemore homes
Start Here
Carbon Quantification Project: Here’s How It Works
Buyers Purchase ERs
Energy Data Repository
Growth of the Carbon Market
Essential Steps to Carbon Savings
Essential Steps to Carbon Savings
Choose Category
Choose Approach
Calculate Emission Reductions
Monitor Emission Reductions
Prove Additionality
• Performance Standard
Four Eligible Categories
Category A: Whole house retrofit
Category B: Building envelope improvements
Category C: Appliance replacement
Category D: Mobile home replacement
Category A:
- Electric & fuel savings
- Appliances- Central heating- Insulation - Air sealing
- This category is not applicable in Maine under RGGI.
Whole House
Pictures of houses
Category B:
- Fuel savings- Central heating- Insulation - Air sealing
- The MaineHousing Project will use this category.
Building Envelope
Category C:
- Electricity savings- Appliance
Replacement
- This category is not applicable in Maine under RGGI.
Appliance Replacement
Category D:
- Electricity & fuel savings
- Only the fuel savings are eligible in Maine.
Mobile Home Replacement
Essential Steps to Carbon Savings
Choose Category
Choose Approach
Calculate Emission Reductions
Monitor Emission Reductions
Prove Additionality
• Performance Standard
Five Approaches to Calculate Emission Reductions
1. Adjusted consumption
2. Pre-and post-retrofit audit
3. Control group
4. Deemed savings
5. Mobile homes replacement
Categories ApproachesWhole House Retrofit
Building Envelope
Appliance Replacement
Mobile Home Replacement
1. Adjusted Consumption
2. Pre- and Post-retrofit audit
3. Control Group
4. Deemed Savings
5. Mobile Home
1. Adjusted Consumption
3. Control Group
Essential Steps to Carbon Savings
Choose Category
Choose Approach
Calculate Emission Reductions
Monitor Emissions Reductions
Prove Additionality
• Performance Standard
Baseline: Energy consumed by a given dwelling for one year prior to project implementation. Emission reduction
calculations are measured from the baseline.
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 20190
20
40
60
80
100
120
140
160
Year
Fu
el C
on
su
mp
tio
n (
MB
TU
)
Baseline Fuel Consumption
Project Year Fuel Consumption
Calculated Emission
Reductions
y = Year i = DwellingJ = Fuel type I = # of Dwellings
HDDCFy = Heating degree days correction factorFb,i,j = Baseline consumption year priorFp,y,i,j = Project consumption in year y followingCalj = Calorific value of fuelFCO2,j = CO2 emissions factor of fuelLy = Leakage
Emission reductions =
Essential Steps to Carbon Savings
Choose Category
Choose Approach
Calculate Emission Reductions
Monitor Emission Reductions
Prove Additionality
• Performance Standard
Prioritized Wx Tasks Detaile
d Work OrderPre Retrofit
Energy Audit
Owners Wx Contractor
EnergyConservation
OnlineSystem
ECOS Post Retrofit Energy Audit
EDR
Policy Guidance Detailed Reports Statistical Analysis
Energy Data Repository
Essential Steps to Carbon Savings
Choose Category
Choose Approach
Calculate Emission Reductions
Monitor Emissions Reductions
Prove Additionality
• Performance Standard
A Ton of CO2 must be Additional in order to be sold
Additionality:
But for the Project (that weatherizes homes) the energy
savings would not have happened
The performance standard is a benchmark above which energy improvements in the
home are not business as usual
Energy savings in NON-Weatherized Homes
Energy savings in Weatherized Homes
Percent Savings
0%-2% 4% 15%-4% 24% 50%
Performance Standard Benchmark
Benefits of Selling CO2
1. Revenue for energy efficiency retrofits
2. Comprehensive, transparent, & verified data
1. Proof of public benefits
2. Managing projects
3. Tracking performance
4. Analysis and reports
Steps to Bring Carbon Savings to Market
1. Scope and Plan Project
2. Identify and Manage Carbon Data
3. Write Project Description
4. Validate Project Description
5. Verify Offsets
6. Register and Sell Offsets
Questions