Program Name or Ancillary Text eere.energy.gov

Update on Progress: Weatherization and Intergovernmental Program

STEAB Meeting June 8, 2011

LeAnn M. Oliver Weatherization and

Intergovernmental Program

Weatherization Assistance Program 2

WIP Recovery Act Spending

Cumulative Payments

Target for June ($ million)

Cumulative Payments

to Date ($ million)

Percent of 50% Spend

Goal Reached

WAP 3,371.7 2,915.8 86%

SEP 1,753.7 1333.7 76%

EECBG 1,468.4 1109.1 76%

WIP Total 6,593.8 5,358.6 81%

June 2011 – 50% Spend Goal

Total Recovery Act Spending Cumulative Payments

Target ($ million)

Cumulative Payments

to Date ($ million)

Percent of Total Goal

Reached

WAP 4,975.0 2,915.8 58.6%

SEP 3.084.5 1333.7 43.2%

EECBG 2.803.2 1109.1 39.6%

WIP Total 10,862.7 5,358.6 49.3%

Weatherization Assistance Program 3

$0

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

Weatherization

Assistance

Grants

State

Energy

Program

Other: Int’l Renewable

Energy Program,

Tribal Energy

Activities,

Renewable Energy Production Incentive*

* IREP for FY07 and FY09; REPI For FY07, FY08, FY09

WIP Funding History ($ 1,000)

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

$12,000,000

$14,000,000

FY 09 ARRA

Energy Appliance Rebate Program

Energy Efficient and Conservation Block

State Energy Program

Weatherization Assistance Grants

Weatherization Assistance Program 4

Energy Efficiency Conservation Block Grants (EECBG) - Investments By Activity Type

$-

$500,000,000.00

$1,000,000,000.00

$1,500,000,000.00

$2,000,000,000.00

$2,500,000,000.00

$3,000,000,000.00

Energy Efficiency Retrofits

Financial Incentive Program

Buildings and Facilities

Outdoor Lighting

Onsite Renewable Technology

Energy Efficiency and ConservationStrategy

Transportation

Other

Technical Consultant Services

Residential and Commercial Buildingsand Audits

Energy Distribution

Material Conservation Program

Weatherization Assistance Program 5

Majority of Funds for Capital Equipment Investments with Immediate Benefits

Smaller but Important Investments in Shifting Local Approach to Energy

EECBG: Making Investments for Today and the Future

94

110

$206

$224

$492

$1,112

0 500 1000 1500

Financial Incentives forEE

Government, SchoolProcurement

Renewable EnergyMarket Development

Transportation

Loans and Grants

Building Retrofits

Investment Amount (M)

$8

$17

$46

$83

$89

$0 $50 $100

EE Rating and labeling

Codes and Standards

Workshops, Trainingand Education

Clean Energy Policy

Building Audits

Investment Amount (M)

Note: Not representative of 100% of funds

Weatherization Assistance Program 6

EECBG - Impact

• Creating jobs in local clean energy – EECBG is the top 25 job-creating program on Recovery.gov

• Injecting stimulus into to communities where over 225 million Americans live and work

• 4,494 direct jobs last quarter

(Jan-Mar 2011)

Weatherization Assistance Program 7

EECBG - Impact

Driving the adoption of energy efficiency by state and local governments:

• Energy upgrades in 17,600 buildings totaling approximately 150 M square feet

• 219,000 energy-efficient streetlights and traffic signals installed

• Nearly 8,000 energy efficient loans and grants valued at approximately $400M

Data reported by EECBG recipients; cumulative through 3/31/11

Weatherization Assistance Program 8

$3.1 billion in funding • Allocated using the Base program formula • No cost match required, unlike Base program • Leveraging additional private capital (provisionally estimated in excess of $1 billion)

State Energy Program (SEP) ARRA Funding Overview

Buildings 50%

Electric Power and Renewable Energy

30%

Energy Education 3%

Industry 9%

Policy, Planning and Energy Security

5% Transportation

3%

Weatherization Assistance Program 9

Creating a market for efficiency in the built environment

Agricultural 1%

Commercial 20%

Industrial 10%

Public 53%

Residential 16%

• Retrofits are the largest activity within the $1.5 billion SEP ARRA buildings market.

• Retrofits, nearly $1.3 billion of them in total, take place in many economic sectors .

Agricultural $ 13,035,446

Commercial $ 129,725,950

Industrial $ 147,426,749

Public $ 766,570,418

Residential $ 226,423,309

Total $ 1,283,181,872

Retrofits by sector

Weatherization Assistance Program 10

Performance Contracting

5%

Qualified Energy Conservation Bonds

less than 1%

Loan Loss Reserves

9%

Low Interest Loans 1%

Revolving Loan Funds 85%

$759 MM (25%)

of SEP ARRA Funds

Focus on Financing

Financing mechanisms give States the ability to create sustainable programs that can generate energy savings, jobs, and economic development beyond the Recovery Act

period.

Weatherization Assistance Program 11

Impacts of SEP ARRA

Selected ARRA achievements through

Spring 2011:

• 165 million square feet of building space

retrofitted to increase energy efficiency.

• $290 million in loans made for energy-

efficiency and renewable-energy projects.

• 452 MW of solar photovoltaic capacity

installed.

• 118,000 Americans trained in energy-

efficiency and/or renewable-energy issues.

Weatherization Assistance Program 12

Advanced Batteries in Wisconsin: ZBB Energy $1.3 MM from State Energy Program

Tripling flow battery manufacturing capacity

10 jobs retained, 80 expected to be created

Coordination of grant applications in the Seattle area

$90,000 in seed money from King County

Counties and cities working together to ensure regional distribution of charging stations

Regional Cooperation in Washington: EV Charging Stations

Energy Enhances Lives

Weatherization Assistance Program 13

The largest residential energy efficiency program in the nation, providing weatherization services to low-income families:

– Low-income households typically spend 14.4% of their total income on energy vs. 3.3% for other households

– 58 ARRA Grantees contract with 1,007 local sub-grantees to deliver services to single-family, multi-family, and mobile homes

A federally-funded, state-administered, locally-operated grant program:

– WAP received $5 billion dollars under ARRA – $29 million in ARRA funds to establish 26 new Weatherization Training Centers (WTC) & supplement 8 existing centers.

Weatherization Assistance Program (WAP)

Weatherization Assistance Program 14

Weatherization – Potential

6.9M Homes Weatherized

38M Eligible

Current Eligible

Households

Clients Served

• More than 100,000 homes weatherized annually with regularly appropriated DOE funds*

• 275,000 weatherized using ARRA funds in 2010 alone • Nearly 600,000 will be weatherized during Recovery Act period

* Since 2002

Weatherization Assistance Program 15

Innovative Programs

• $30 million in FY2010 to increase the leverage of Federal funding through partnerships with traditional and/or nontraditional service providers

• 16 selections include:

– Financing programs

– Workforce development and volunteer approaches

– Green and healthy homes

– New technologies

– Behavior interventions

Sustainable Energy Resource For Consumer Grants

• $90 million in grants to 27 states, 100 local agencies

• Expands funding for materials, benefits, and renewable and domestic energy technologies not currently covered under WAP including:

– Solar hot water, solar PV, solar home heat, high-efficiency hot water heating (tank-less heat pump), residential wind, cool roofs, in-home devices, innovative foam insulation

New Activities for WAP in 2010-11

Weatherization Assistance Program 16

WAP - Leveraging Partnerships and Expanding Resources

Leveraging and Expanding Partnerships:

– 31 states leverage utility funds each year

– $140 million - $210 million leveraged annually since 2005 from private sources

– $350 million - $500 million leveraged annually from federal and non-federal sources since 2005 (e.g. LIHEAP funds from HHS)

Training crews and contractors to become part of a broader workforce:

– DOE partnering with HUD, EPA, CDC, & HHS on new Healthy Homes initiative - Local crews receiving training in LEAD to look health issues.

– Agencies performing HUD projects and Ag rural housing rehabilitation

– National Residential Retrofit Guidelines:

• Creating standard work specifications/ assisting training providers in developing consistent course content

• Increasing workforce mobility: Laying a foundation for worker certification and training program accreditation architecture

• Building confidence among consumers

Weatherization Assistance Program 17

Monitoring WIP’s Investments

WAP • Desktop, Onsite

and Follow-up Reviews

• Based on the value of the grant

SEP • Minimum two

annual visits to each of the 56 SEP Grantees

• Validate records keeping, policies, processes, and sub-recipient monitoring

EECBG • Project Officers

have conducted a total of 533 onsite visits, which is 5% ahead of schedule

Weatherization Assistance Program 18

Mission

Identify leading grantees, outline best practices and promote the adoption of sustainable models

Best Practices • Leading by example • Financing strategies • Policy/codes/regulations • Outreach and coalition building

Recognizing themes • Consumer savings through energy efficiency • Education and workforce development • Improvements in public infrastructure • Supporting small businesses, American

manufacturing & retooling • Saving taxpayer dollars through efficiencies in

govt., commercial & residential buildings

Best Practices Campaign

Weatherization Assistance Program 19

WIP FY11 Budget & FY12 Request

Weatherization and

Intergovernmental FY 2011

($ million)

FY 2012

Request ($ million)

Weatherization Assistance

Program (WAP) 171.0 320.0

WAP Technical Assistance 3.3

State Energy Program (SEP)

Formula 39.0 63.8

SEP Competitive 5.0

SEP Technical Assistance 6.0

Tribal Energy Program (TEP) 7.0 10.0

Total 231.3 393.8

Weatherization Assistance Program 20

Weatherization and Intergovernmental

Program

WAP

EECBG SEP