Estimating the Potential for Cost Effective Electric Energy and Peak Demand Savings in Connecticut

Tom Rooney and Richard Spellman, GDS Associates, Inc.
Mike Rufo, Quantum Consulting
Jeff Schlegel, Connecticut Energy Conservation Management Board Consultant

Keywords

Abstract

This paper presents estimates of the maximum achievable cost effective potential for electric energy and peak demand savings from energy efficiency measures in the geographic region of Connecticut served by United Illuminating (UI) and Connecticut Light and Power Company (CL&P) for the ten year period from 2003 through 2012. The results of the study showed that there is a significant savings potential in Connecticut for the implementation of additional and long-lasting cost effective energy efficiency measures. The net present value savings to ratepayers in Connecticut is $1.8 billion if the maximum achievable cost effective potential is captured by CL&P’s and UI’s programs over the next decade. In addition, there are significant reductions in emissions from power plants in the State and there are other significant non-energy benefits.

This paper presents the detailed sector-level results of the study, including: 1) energy efficiency supply curves; 2) energy savings potential broken down by measure type (i.e., early replacement, retrofit, and replace-on-burnout) and end-use category; and 3) benefit/cost ratios. In addition, the paper describes, in step-by-step fashion, the methodologies used in estimating technical potential, maximum achievable potential and maximum achievable cost effective potential for each sector (residential, commercial, industrial). Finally, the paper discusses the valuable lessons learned through the process of completing this study, including insights for others considering similar efforts. The paper also provides suggestions for preliminary assessments and data collection to be conducted prior to embarking on energy efficiency potential studies. One unique aspect of this study which confounded an already challenging project was the re-allocation of the State’s energy efficiency funds by the Governor and State legislature in order to address statewide funding deficits, which resulted in immediate layoffs of utility personnel who were critical to the project. The paper will conclude with comparisons of Connecticut efficiency potential to results of recent studies for other states.