Xcel Energy Inc. · NASDAQ:XEL

Xcel Energy — Corporate Update (May 2010)

59 slides from Xcel Energy's corporate update, May 13, 2010

  1. Slide 1: Xcel Energy Colorado DSM Roundtable Discussion

    Xcel Energy Colorado DSM Roundtable Discussion May 13, 2010 1:00pm to 4:15pm TSB Basement Room 019

  2. Slide 2: Welcome and Introductions

    Welcome and Introductions Contact Info: Suzanne Doyle Manager, DSM Regulatory Strategy & Planning Office Phone: 612-330-5518 Cell Phone: 612-599-5785 E-mail: Suzanne.Doyle@xcelenergy.com

  3. Slide 3: Agenda

    Agenda 1:00 – 1:05 Welcome, Introductions (Doyle) 1:05 – 1:45 Regulatory Updates (Doyle/Sundin) 1:45 – 2:30 DSM Program Highlights (Narog/White) 2:30 – 2:45 Break 2:45 – 3:15 Product Development Update (Spargo) 3:15 – 3:45 Low-Income Energy Efficiency - Lessons & Successes (Jennifer Gremmert, EOC) 3

  4. Slide 4: Regulatory Updates

    Regulatory Updates Presented by: Suzanne Doyle Compliance Complianceinformation informationisisavailable available at atXcel XcelEnergy’s Energy’sDSM DSMWebsite: Website: http://www.xcelenergy.com/Colorado/Company/About_Energy_ http://www.xcelenergy.com/Colorado/Company/About_Energy_ and_Rates/Deman

  5. Slide 5: 2010 60-Day Notices

    2010 60-Day Notices † February 8, 2010 ‹ AC Tune-Up Pilot ‹ Standard Offer † May 3, 2010 ‹ Boiler Efficiency ‹ Cooling Efficiency ‹ Furnace Efficiency ‹ High Efficiency Air Conditioning ‹ Home Lighting & Recycling ‹ New Construction – Energy Design Assistance † May 7, 2010 ‹ Lighting Efficiency 5

  6. Slide 6: 2010 60-Day Notices

    2010 60-Day Notices † Summer 2010 ‹ Energy Star New Homes Modifications ‹ Energy Star Retailer Modifications ‹ Energy Feedback Pilot (currently under evaluation) 6

  7. Slide 7: Recent Filings

    Recent Filings ƒ April 5, 2010 – 2009 Annual Status Report ƒ May 7, 2010 – Motion to Alter or Amend Decision Nos. C08- 0560 and C08-0769 - Extend 2009/10 Plan and Minor Modifications to Electric Incentive Mechanism ƒ May 14, 2010 - Written Quarterly Update of programs status, energy, demand, and exp

  8. Slide 8: Upcoming Filings

    Upcoming Filings ƒ 2011 DSM Plan (Electric & Gas) – † June 2010 – DSM Strategic Issues Application † July 1, 2010 – 2011 DSM Plan ƒ 2010 DSM Annual Report (Electric & Gas) † April 1, 2011 – Status Report, 2010 Incentive Request, M&V Report ƒ 2012/2013 DSM Plan (Electric & Gas) † July 2011 – Biennial

  9. Slide 9: Filing Details

    Filing Details ƒ May 7, 2010 – Motion to Alter or Amend Decision Nos. C08-0560 and C08-0769 † One year Plan (for 2011 instead of biennium) to be filed July 2010 † Bifurcated Filing – separate strategic issues from 2011 Plan † 2010 Incentive Modification (Cap on Spend) 9

  10. Slide 10: 2011 DSM Plan – Avoided Gas Costs

    2011 DSM Plan – Avoided Gas Costs 1) The definition and nomenclature of what we currently call a "program" will be changed to "product". 2) The definition and nomenclature of what we currently call a "segment" will be changed to "program". This will effect both electric and gas and thus there will b

  11. Slide 11: Strategic Issues Application

    Strategic Issues Application ƒ June 2010 Filing † Commission Order and ARRR Order from 07A-420E directed (or encouraged) PSCo to address the following issues in the next Plan to be filed in 2010: ‹ Electric Financial Incentive Mechanism ‹ Updated DSM Market Assessment (by ERP filing in 2011) – Elect

  12. Slide 12: DSM Program Highlights

    DSM Program Highlights Presented By: Peter Narog Shawn White

  13. Slide 13: Q1 2010 DSM Achievements

    Q1 2010 DSM Achievements ƒ Electric YE Goals: 67 MW, 237 GWh, $63.6M ƒ Electric Achievements: 8.8 MW, 50.6 GWh, $7.9M ƒ Gas YE Goals: 402,808 Dth, $16.5M ƒ Gas Achievements: 62,273 Dth, $2.5M 13

  14. Slide 14: Residential and Low-Income Program Highlights

    Residential and Low-Income Program Highlights

  15. Slide 15: Home Lighting

    Home Lighting ƒ Mark-down promotion began 2/1/10, continuing into early summer. ƒ Retailers: Ace Hardware, Albertsons, Costco, Home Depot, Lowes, McGuckins, King Soopers, Sam’s Club, Walmart ƒ Some stores still continuing to sell through their allotment of CFLs. Costco and Home Depot have finished.

  16. Slide 16: High Efficiency AC - Tune Up Pilot

    High Efficiency AC - Tune Up Pilot ƒ Pilot in 2010, to be evaluated at end of cooling season ƒ Targets customers with existing AC units 5 years or older and have not been serviced ƒ Participating HVAC contractors will market to their customers † Xcel Energy created marketing materials for contractor

  17. Slide 17: Saver's Switch

    Saver’s Switch ƒ Nearly 120,000 switches deployed in service ƒ 2010 goal: 19,500 switches for incremental peak load reduction of 22 MW ƒ Q1 Achievement: Finished quarter with 2,400 signups † Limited activity during winter months 17

  18. Slide 18: Business Energy Efficiency Program Highlights

    Business Energy Efficiency Program Highlights

  19. Slide 19: Business Program Highlights

    Business Program Highlights ƒ Good Results in Recommissioning ‹ 2.03 Gen GWh; 39% of goal; 1,853 Dth; 89% of goal ‹ 49 studies in process, 65 more approved for implementation ƒ Boiler Efficiency ‹ 9,001 Dth, 28% of goal; pipeline of projects implementing ‹ Increased vendor/distributor education and

  20. Slide 20: 60-day Filings

    60-day Filings ƒ Boiler Efficiency † New prescriptive rebates proposed for boiler replacement, commercial hot water heaters and pipe insulation † Updated policy and technical assumptions ƒ Cooling Efficiency † Net-to-gross factor adjusted per 2009 impact evaluation ƒ Furnace Efficiency † program cor

  21. Slide 21: 60-day Filings (cont.)

    60-day Filings (cont.) ƒ Lighting Efficiency † Prescriptive LED Lighting proposed † Updated technical assumptions for grocery/big box retailers ƒ New Construction – Energy Design Assistance † Net-to-gross factor adjusted per 2009 impact evaluation † Suggestions for additional program improvements an

  22. Slide 22: Break

    (2) Xcel Energy’ Break

  23. Slide 23: DSM Product Development Update

    DSM Product Development Update Presented by: George Spargo DSM DSMWebsite Websiteprovides providesprogram programidea ideasubmission submissionforms formsat: at: http://www.xcelenergy.com/Colorado/Company/About_Energy_and_Ra http://www.xcelenergy.com/Colorado/Company/About_Energy_and_Ra tes/DemandSi

  24. Slide 24: Product Development Team

    Product Development Team ƒ George Spargo – Manager – 612-330-6036 ƒ Anne Kraft – Commercial Segment – 612-330-7582 ƒ Pat Goggin – Industrial Segment – 303-294-2370 ƒ Nathan Huso – Residential Segment – 612-330-2812 24

  25. Slide 25: 60-Day Notice for New Products

    60-Day Notice for New Products ƒ New Boiler Efficiency products (5/3/10) † Replacement hot water boilers – higher rebates for replacing working boilers less than 25 years old; replacement must be a condensing unit † Commercial hot water heaters – greater than 175,000 Btuh; includes condensing tankle

  26. Slide 26: 60-Day Notice for New Products

    60-Day Notice for New Products ƒ New Business LED lighting products (5/7/10) † Interior pin-based or screw-in lamps † Interior downlight fixtures † Exterior store canopy or soffit lighting † Refrigerated case lighting † Launch – June 2010 26

  27. Slide 27: 60-Day Notice for New Products

    60-Day Notice for New Products ƒ Residential AC early replacement/retirement (5/3/10) † Measure added to CO HEAC to replace SEER 12 and below † All installations must have Quality Install. † Develop Contractor communications/Marketing Materials † Review and modify HEAC infrastructure as needed † Lau

  28. Slide 28: 60-Day Notice for Modified Products

    60-Day Notice for Modified Products (Summer 2010) ƒ Energy Star New Homes † Updating Technical Assumptions † Addressing Cost/Benefit Issues ƒ Energy Star Retailer ƒ Updating Technical Assumptions ƒ New Energy Star 4.1 & 5.1 Televisions ƒ Focusing on Retailer incentives ƒ Energy Feedback Pilot – curr

  29. Slide 29: New Products for 2011 Plan

    New Products for 2011 Plan ƒ All 60 Day Notices to date ƒ Commercial Advanced Evaporative Coolers 29

  30. Slide 30: Products still being evaluated for filings

    Products still being evaluated for filings ƒ Residential Energy Feedback Pilot for 2011 and 60 Day Notice for 2010 ƒ Residential Heat Pump Water Heater for 2011 ƒ Residential Ground-Source Heat Pump for 2011 (for customers with electric space heating) 30

  31. Slide 31: Products that won't be launched

    Products that won’t be launched ƒ Low and High-Pressure Steam Boilers* ƒ Commercial Ground-source Heat Pumps* ƒ LED Parking Garage Lighting** ƒ LED Signage** *Product MTRC did not pass **More information needs to be gathered for proper analysis 31

  32. Slide 32: Product Ideas from Roundtable

    Product Ideas from Roundtable ƒ Whole house ventilation fans - Ryan Starr, Colorado Home Cooling 32

  33. Slide 33: Whole House Ventilation Fans

    Whole House Ventilation Fans ƒ Used in climates with large day and night time temperature swings to reduce air conditioner use. ƒ Multiple California utilities have prescriptive rebates ranging from $75 to $250 per unit. ƒ Fan runs when outside temp is below AC set point. ƒ Typical unit is 1,000 CFM

  34. Slide 34: Whole House Ventilation Fans - Economics

    Whole House Ventilation Fans- Economics ƒ 10 year life ƒ Installed costs: $750-$1,650 † New suggested costs $1,100-$1,200 ƒ $0.10/kWh customer savings ($79/year) ƒ Customer simple payback = $750 / $79 => 9.5 yr ƒ MTRC using most optimistic numbers (highest savings and lowest costs) = 0.29 ƒ Next Ste

  35. Slide 35: Low-Income Energy Efficiency Lessons & Successes

    Low-Income Energy Efficiency Lessons & Successes Presented by: Jennifer Gremmert Energy Outreach Colorado

  36. Slide 36: Low-Income Energy Efficiency Lessons and Successes

    Xcel Energy DSM Roundtable Presentation Low‐Income Energy Efficiency Lessons and Successes Helping all Coloradans afford home energy. 36

  37. Slide 37: Agenda

    Agenda • Overview of Energy Outreach Colorado • Energy Efficiency Programs – Multi‐Family Energy Efficiency for Affordable Housing – Nonprofit Energy Efficiency Program (NEEP) • Process for achieving Xcel Energy DSM Goals • Success Stories • Challenges • Questions 37

  38. Slide 38: Energy Outreach Colorado

    Energy Outreach Colorado • Energy Bill Assistance Programs – Provide funding to LEAP (Nov – April) – Fund 130 Emergency Assistance Organizations statewide (year‐round funding) • Energy Efficiency Programs for Affordable Housing and Nonprofits serving low‐income families • Advocate for Affordable Ene

  39. Slide 39: Affordable Multi-Family Efficiency

    Affordable Multi‐Family Efficiency • Two options in Colorado – Centrally Heating Buildings ‐ EOC – Individually Heated Units – GEO Weatherization • EOC has the statewide contract for Multi‐ Family Weatherization from GEO • DOE defines MF as 5+ units with central heat • EOC uses subcontractor model •

  40. Slide 40: Multi-Family Weatherization Process

    Multi‐Family Weatherization Process • Competitive Application Process • Site Visit and eligibility audit • Committee Review • Energy Audit • Procurement Process • Installation • Final Inspection • Everything tracked in web‐based database 40

  41. Slide 41: Xcel Energy DSM Process

    Xcel Energy DSM Process • Application review to determine which projects fit guidelines • Conduct energy audit; engineer review, and collect bids – EOC currently using Xcel Energy approved auditors • Submit project to Xcel Energy engineers • They determine “rebate” or “reimbursement” amount and asso

  42. Slide 42: Xcel Energy 2009 Multi-Family DSM Projects

    Xcel Energy 2009 Multi‐Family DSM Projects • Fort Collins Housing Authority • Littleton Housing Authority • Loveland Housing Authority • Mile High Youth Corps Direct Install Program • $576K total spent on 2,700 units • 2009 Projected Savings, from EOC estimates: – 1.2 M kWh – 1,100 kW – 12,000 Dth 4

  43. Slide 43: Xcel Energy 2010 Multi-Family DSM Projects

    Xcel Energy 2010 Multi‐Family DSM Projects • Mile High Youth Corps Direct Install Program – 3,000 units already completed – CFLs, showerheads and aerators • 2010 Projected Savings – 1.5M kWh – 1,500 kW – 8,200 Dth • Working to get approvals on: – Loveland Housing Authority ‐ 1,300 Dth potential – Ag

  44. Slide 44: Non-Profit Energy Efficiency Program

    Non‐ Profit Energy Efficiency Program 44

  45. Slide 45: NEEP History

    NEEP History • Identified need in 2005 for efficiency in nonprofit organizations as a result of rising energy costs • Pilot conducted in 2006 and 2007 • $160,000 raised through various foundations • Held workshops with Xcel Energy and GEO • Received funding from The City of Denver as a result of the

  46. Slide 46: 2009 Xcel Energy NEEP DSM Recipients

    2009 Xcel Energy NEEP DSM Recipients 20 projects completed Denver Children's Advocacy Center 46

  47. Slide 47: 2010 Xcel Energy NEEP DSM Projects

    2010 Xcel Energy NEEP DSM Projects Projected to be completed Center of Independence Cooperating Ministries Almost Home, Inc Washington Street Community Center Community Ministry of SW Denver Arapahoe House 47 Urban Land Conservancy

  48. Slide 48: NEEP Process for Achieving Xcel Energy DSM Goals

    NEEP Process for Achieving Xcel Energy DSM Goals • Similar process to Multi‐Family Program • In Denver, we are able to leverage City of Denver funds to complete projects • EOC raises other private funds to complete projects when the full cost of the project is not reimbursed or is outside Denver • W

  49. Slide 49: Xcel Energy 2009 NEEP DSM Projects

    Xcel Energy 2009 NEEP DSM Projects • $805K total spent on 20 projects • Xcel Energy ‐ $309K • Leveraged ‐ $496K – City of Denver and other funders • 2009 Projected Savings for Xcel Energy: – 185,000 kWh – 87 kW – 948 Dth – Some additional savings to be counted in 2010 49

  50. Slide 50: Xcel Energy 2010 NEEP DSM Projects

    Xcel Energy 2010 NEEP DSM Projects • $1.5M projected total spent on 25 projects • Xcel Energy DSM funding ‐ $540K+ • Leveraged ‐ $960K – City of Denver and other funders • 2010 Projected Savings: – 546K kWh – 175 kW – 5,800 Dth 50

  51. Slide 51: Association for Senior Citizens

    Association for Senior Citizens “The staff complaints regarding comfort are something of the past for us now and this due to the addition of a new boiler, insulation, and door to the food bank plus other upgrades” 51

  52. Slide 52: St. Francis Center

    St. Francis Center “It brought to our Center a greater awareness of energy/conservation issues and it improved our Center’s HVAC systems as well as other areas where we were wasting valuable resources” 52

  53. Slide 53: La Puente

    La Puente c e rt a i n ly r g y b i l l has “Our ene n, and with this w gone do e be t te r a b l e to w e a r for savings h e a lth y ) f o o d rc h a se ( f u l l y g et p u n d h op e l ie s , a of our fami u g h the i r t i m e h ro them t need” 53

  54. Slide 54: Challenges

    Challenges • High efficiency measures not passing the TRC due to the high cost of measures and the low cost of natural gas. • Incremental cost option is challenging for EOC – none of these projects would happen without our intervention and so all measures need to consider the savings from where they

  55. Slide 55: Savings left on the Table

    Savings left on the Table • We believe that the following energy savings were not realized due to the current process that is in place: • Multi‐Family DSM 2009 – Four projects denied – 1,645 Dth; $127K in expenses • NEEP DSM 2009; Achieved savings through leveraging but not realized by Xcel Energy –

  56. Slide 56: Options

    Options • Recognizing that Xcel Energy has to be prudent with rate payer funds, but also, • Recognizing that no measures would be completed in most of these Multi‐Family Affordable units or Nonprofits without these programs in place, and recognizing that • Special considerations have been placed in

  57. Slide 57: Options

    Options • EOC would like to consider: – Continue pursuing options for leveraging funding and providing the savings to Xcel Energy – Cost sharing—somewhere between incremental cost and full cost so that TRC is met – Reviewing the TRC requirements for low‐income programs over next few years – Pull low

  58. Slide 58: Questions?

    Questions? Jennifer Gremmert jgremmert@energyoutreach.org 303‐226‐5052 58

  59. Slide 59: Open Discussion/Wrap-Up

    Open Discussion/Wrap-Up Upcoming UpcomingRoundtable RoundtableSchedule: Schedule: Q3: Q3:August August18, 18,2010 2010 Q4: Q4:November November17, 17,2010 2010

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