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5.1 ERMUSR 01-10-2017 Elk River Municipal UttlhtieS UTILITIES COMMISSION MEETING TO: FROM: Elk River Municipal Utilities Commission Tom Sagstetter—Conservation and Key Accounts John Dietz—Chair Manager Al Nadeau—Vice Chair Daryl Thompson—Trustee MEETING DATE: AGENDA ITEM NUMBER: January 10, 2017 5.1 SUBJECT: 2017 Conservation Improvement Programs and Water Sense Rebates BACKGROUND: In 2017 ERMU will again offer dozens of incentives to residential and commercial customers. These rebates will be provided to customers purchasing efficient electric and water equipment. Included, is ERMU Policy—T.2 Conservation Improvement Programs which has been revised to reflect the programs that are currently being offered. In 2017 ERMU is required to spend a minimum of$386,000 on electric conservation programs with a total equivalent energy savings goal of over 3.8 million kWh. For 2017 approximately 2.5 million kWh should be achieved from the customer side of the meter with the remaining 1.3 million coming from the ERMU distribution side. For the water utility there are no spending requirements or savings goal, but the Minnesota Department of Natural Resources and Minnesota Department of Health strongly encourage all utilities to offer programs to conserve water for future generations. DISCUSSION: The most significant changes occurred in the water utility with the addition of rebates for toilets, dishwashers, and water faucets. In 2017 the water conservation programs will have a separate rebate form for water saving equipment; attached is the new WaterSense®rebate form. The water utility budgeted $5,000 for water efficiency rebates. On the electric side there were no new programs added, but there is going to be more marketing emphasis put of the electric vehicle charging program rebate that began in 2016. The electric conservation programs are off to a very good start based on commercial rebates that were submitted after November 15th, or carried over from 2016. There are a number of new projects that will be large contributors to energy savings in 2017. Attached are the updated Energy Star Appliance Rebate Application, LED Light Rebate, CFL Rebate, and new Water Sense Rebate Application. EI tUNEIEI 81 Page 1 of 2 NATURE Reliable Rblic Power Provider POWERED T o SERVE 107 ACTION REQUESTED: Staff recommends approval of the revised ERMU Policy - T.2 Conservation Improvement Programs. ATTACHMENTS: • Revised ERMU Policy—T.2—Conservation Improvement Programs • Energy Star Appliance Rebate Application • LED Light Rebate • CFL Rebate • Water Sense Rebate Application P / WEAEI 11 ® Page 2 of 2 NATURE Reliable Public Power Provider POWERED T O S ERY E 108 ,\•.L/,, Elk River -....-_ Municipal Utilities T.2—Conservation Improvement Programs 1.0 Programs Elk River Municipal Utilities offers several Ceonservation Ii•mprovement-(- )Pprograms (CIP) for our customers. Below is a list of all of the{CIP4 programs ERMU offers: • Cycled AC • A/C Tune-Up • Energy Star Appliance Rebates • Energy Management Off Peak Programs • Dispersed Generation(Moratorium) • Project Conserve • Wind Power Purchase • Smart Irrigation • Water Conservation Rebates • Commercial Irrigation Conservation Program • Commercial Lighting • Commercial HVAC Rebates • Motor Rebates (Replacement Only) • Whole Building Rebates (Engineering and Design Assistance) • Compressed Air • Chillers • Variable Frequency Drives • Custom 109 rJ 13069 Orono Pkwy e _ P.O. Box 430 vv Elly RiVCr Elk River, MN 55330 ENERGY STAR Municipal Utilities 763-441-2020 2017 Out With The Old, In With The New Appliances that are ENERGY STAR® rated save you money in two ways; they use less energy and they may qualify for rebates from Elk River Municipal Utilities. ENERGY STAR® appliances may cost a little more, but the additional costs are quickly paid for with energy savings and rebates from ERMU. Look for products with the ENERGY STAR® logo to assure all your electric appliances are energy efficient and ENERGY STAR® certified. How to Apply: 1. Contact the office at 763-441-2020 to make sure 5. Model numbers and manufacturer funds are available, as they are limited. section must be completed. 2. Select qualifying equipment. 6. Mail application(s) to ERMU 3. Complete this application, including copies of all 4. For HVAC rebates, check if your contractor is a invoices/receipts. You can also registered contactor on our website at submit your application at www.elkriverutilities.com. Have the contractor www.elkriverutilities.com. complete the Technical Specs Form (your 7. ERMU will credit your electric bill contractor can contact us for a copy). for the dollar amount of the rebate. **Note-Rebates are issued only to residential electric customers of Elk River Municipal Utilities** Please include this portion completed on BOTH SIDES plus a copy of your receipt..1/C and ASHP rebates will need an additional form Please cut here APPLIANCE PURCHASED 2017 REBATE APPLIANCE PURCHASED 2017 REBATE O 14.5 to 14.9 SEER Central AC =$50 0 New Furnace with ECM =$100 O 15 to 15.9 SEER Central AC =$75 0 Furnace Motor Replacement(ECM) =$50 O 16 or higher SEER Central AC =$100 0 Dehumidifier =$25 O 14.5 to 14.9 SEER ASHP =$480 0 Refrigerator or Freezer w/Recycling =$75 O 15.0 to 15.9 SEER ASHP =$580 (refrig. 14 cubic feet or larger) ❑ 16 SEER higher ASHP =$630 ❑ Refrigerator or Freezer Harvest =$75 (Must be working) O Ductless ASHP(Delivered Fuels/Primary) =$300/$500 0 Heat Pump Water Heater 50 gal./80 gal. =$300/$350 O Geothermal Heat Pump =$400/ton (2.0 E.F. or higher) ❑ Pool Pump—Variable Speed with E.F.>_3.8 =$200 110 Why should I participate and how much can I save? Energy Efficient equipment has three key benefits: ■ 1. Conserves natural resources by using less energy and water. W 2. Reduces long-term utility rates. it WI �l� i tov 3. Uses less energy thereby reducing your energy costs. Savings will vary by usage: u u 1. ENERGY STAR® refrigerators average 20% less energy use. 2. Proper installation of HVAC systems or CAC-ASHPs saves 20-40% of operating costs. 3. The higher the SEER for A/C units and air source heat pumps, the less it costs to operate. Important Rebate Requirements Air Conditioners: Must be installed by a Qualified Installer (see ERMU website for list of qualified contractors).All rebate requests must be accompanied by this Rebate Application, invoice,AHRI certificate and a Technical Specs application that the installer completes. Heat Pumps:Air source heat pump rebates also vary depending on SEER.A Ductless ASHP with a SEER of 16 or higher is $300 if the house is heated with natural gas,propane or fuel oil.The house must be considered all electric to qualify for the $500 rebate. Geo-thermal heat pumps are $400 per ton if they are closed loop. No rebates for open loop systems. CHECK FOR OFF-PEAK PROGRAM AVAILABILITY. Refrigerators and Freezers: Energy Star refrigerators and freezers qualify for a$75 rebate from ERMU ONLY if you recycle your old workin unit. New refrigerators or freezers purchased without recycling are no longer eligible for a rebat�our receipt must state that the old one was recycled.) Harvest Program: If you have an old refrigerator or freezer ERMU will pay you $75 to recycle it.You cannot combine this rebate with the new refrigerator/freezer purchase and the refrigerator or freezer must be working at time of recycling. Does not qualify if unit is donated or sold. Recycled only and must provide receipt. Heat Pump Water Heaters : 50 ($300) or 80 ($350) gallons qualify for rebate. 2.0 E.F. or higher. 80 gallon heat pump water heater does not have to participate in storage program to qualify for rebate. Furnace Fan Motors: Must be installed by Qualified Installer and must provide invoice and AHRI certificate. Please cut here < Please include this portion completed on both sides plus a copy of['our receipt. Customer Information Appliance Information Must Be Completed by HVAC Contractor Appliance Type Dealer Namc Name Make HVAC Contractor QI# ERMU Acct# Model Energy Star Rated? ❑Yes ❑No Salesperson Address Size (Tons, BTUs, cu. ft.) Size (Tons, BTUs) Date Purchased Phone# Phone# Installed Address 111 Elk River . Light e ate Municipal Utilities 13069 Orono Pkwy ,_, PO Box 430 What is an ENERGY STAR® Qualified LED Light? Elk River,MN 55330 • LED is short for Light Emitting Diode (LED). 763-441-2020 • Creates light by the movement of electrons through a semiconductor. • Very durable with no filaments to break or burnout; can handle jarring or bumping. • Comes with a minimum 3-year warranty. • Can last 35-50 times longer than an incandescent bulb (35,000-50,000 hours). -8' ENERGY STAR What are the benefits of ENERGY STAR® Qualified LED Lights? • A 75 Watt LED equivalent dimmable spot light can save you approximately$380 over its lifetime; an incandescent will cost you $520 and the LED will cost you $140. • LEDs produce very little heat and are usually cool to the touch. • Great for hard to reach vaulted ceilings or outdoor fixtures. • Easy disposal! There is no mercury,the lamp can be simply discarded in your garbage. • LEDs operate great in cold conditions (-30° F). • Uses at least 75%less energy than an incandescent. • Reduces cooling costs in warm months. • LEDs are instantly at full output of light(no warm up time). • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •• • • SAVE $3.00 is ; ; SAVE $3.00 • • f • • ON ENERGY STAR LED BULBS = • • ON ENERGY STAR LED BULBS ` • • "� • • This coupon is not redeemable for cash,but may be used for up to • • This coupon is not redeemable for cash,but may be used for up to • $3 off the purchase price of LED bulbs between January 1,2017 and December 10,2017 at the • $3 off the purchase price of LED bulbs between January 1,2017 and December 10,2017 at the • following Elk River stores:Cub Foods,Home Depot,Menard's,Wal-Mart,or Batteries+Bulbs. • • • following Elk River stores:Cub Foods,Home Depot,Menard's,Wal-Mart,or Batteries+Bulbs. • Customer may use one coupon per pack of LED bulbs. • •• Customer may use one coupon per pack of LED bulbs. • • Validation requires customer to complete the back o• f this • • Validation requires customer to complete the back of this • ElkRiver` • coupon.Cashier,please initial here Municipal Utilities.• upon.Cashier,please initial here E1kRivcr • l • Municipal Utilities• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •• •• •• •• •• •• •• •• •• •• •• •• •• •• •• •• •• •• •• •• •• •• •• • •• • • SAVE $3.00 T •• : SAVE $3.00 • • • • • ON ENERGY STAR LED BULBS „� • • ON ENERGY STAR LED BULBS = • • This coupon is not redeemable for cash,but may be used for up to • • • This coupon is not redeemable for cash,but may be used for up to • $3 off the purchase price of LED bulbs between January 1,2017 and December 10,2017 at the • • $3 off the purchase price of LED bulbs between January 1,2017 and December 10,2017 at the • following Elk River stores:Cub Foods,Home Depot,Menard's,Wal-Mart,or Batteries+Bulks. • • following Elk River stores:Cub Foods,Home Depot,Menard's,Wal-Mart,or Batteries+Bulbs. • Customer may use one coupon per pack of LED bulbs. • • • Customer may use one coupon per pack of LED bulbs. • • Validation requires customer to complete the back of this • •• Validation requires customer to complete the back of this • • coupon.Cashier,please initial here • Elk River- • • coupon.Cashier,please initial here • E1kith, � . • • Municipal Utilities• • Municipal Utilities • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 112 What is the difference between a standard bulb and an LED Incandescent LED 40 watt is equivalent to 4-5 watt s 60 watt is equivalent to 6-8 watt 75 watt is equivalent to 9-15 watt i Ai ,, 100 watt is equivalent to 16-20 watt 150 watt is equivalent to 25-28 watt Visit www.energystar.gov and click on ENERGY STAR® Products to find the most current list of qualified products or check with local retailers. Products must have the ENERGY STAR®logo on the package rillii7A7 to receive the $3.00 rebate per package from ERMU.Coupons valid ue `U for Elk River Municipal Utilities electric customers only. ENERGY STAR . • • • . • • . . . . • • • • • • . . . • • • • • • • • • • • • • • • • • • • • • • • • • • • **Please complete this side for coupon to be valid** • • **Please complete this side for coupon to be valid** • • • S • • Your Name • • Your Name • • • • • • Address • • Address • • • Phone Number Phone Number • • • • Store Name • • Store Name • • • • • • Address • • Address • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • **Please complete this side for coupon to be valid** • • **Please complete this side for coupon to be valid** • • • • • • Your Name • • Your Name • • Address • Address • • Phone Number • • Phone Number • • • • • • Store Name • • Store Name • • • • • • Address • • Address • • • • • • • • • • • • • • • • • • • • • • • • • • . • • • • • • • • • • • • . • • • • • • • • • • • • • • • 113 Compact Fluorescent Elk River Municipal Utilities LLampRebate13069 Orono Pkwy PO Box 430 Elk River,MN 55330 763-441-2020 What is an incandescent bulb? • Inefficient use of energy!Only 5%is used to produce light.95%of the energy produces heat. • A light source that lasts for approximately 1,000 hours.Replacing a 75-watt incandescent bulb with a 20-watt What is an Energy Star® Compact Fluorescent Lamp (CFL) and how is it different from an incandescent bulb? • Energy Star CFL is a CFL that meets the Environmental Protection Agency(EPA) standard for superior energy efficiency r', • A CFL uses only 25%of the energy that a traditional incandescent bulb uses. -8 - • These bulbs can last 7 to 10 times longer than an incandescent. ENERGY STAR • All fluorescent lamps contain small amounts of mercury,so they must be disposed of properly. ERMU offers coupons for CFL recycling. For more information on how and where to recycle items,visit: WWW.EARTH911.COM.Go to www.energystar.gov to learn more details about ENERGY STAR lighting and other energy saving products. **NOTE:You MAY WANT TO CONSIDER PURCHASING LED LIGHTS.LED LIGHTS CONSUME 1/6 OF THE ENERGY OF AN INCANDESCENT,CONTAIN NO MERCURY,LAST 36,000+ HOURS,AND CAN BE DISPOSED OF AS NORMAL GARBAGE.LEDs ARE BEST FOR COOL TEMPERATURES,SUCH AS LIGHTS OUTSIDE THE HOME.** • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • : SAVE $ `I .00 : : SAVE $ 1 .00 : • • • ON CFL LIGHT BULBS • ON CFL LIGHT BULBS • • .'• .� �x • • '_ • • This coupon is not redeemable for cash,but may be used for up to$1 off the •purchase price of CFL bulbs • • This coupon is not redeemable for cash,but may be used for up to$1 off the purchase price of CFL bulbs • • between January 1,2017 and December 10,2017 at the following Elk River stores:Cub Foods,Home • • between January 1,2017 and December 10,2017 at the following Elk River stores:Cub Foods,Home • • Depot,Menard's,Wal-Mart,or Batteries+Bulbs.Customer may use one coupon per pack of CFL bulbs. • • Depot,Menard's,Wal-Mart,or Batteries+Bulbs.Customer may use one coupon per pack of CFL bulbs. • • Validation requires customer to complete the back of this coupon. • • Validation requires customer to complete the back of this coupon. • • Cashier, lease initial here • • Cashier,please initial here • P Elk R1ver• Elk • Municipal Utilities • • Municipal Utilities• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • : SAVE $ 1 .00 , : : SAVE $ 1 .00 i , : • • • • • ON CFL LIGHT BULBS ,,,, • • ON CFL LIGHT BULBS Iei:a�� • • • • • • This coupon is not redeemable for cash,but may be used for up to$1 off the purchase price of CFL bulbs • • This coupon is not redeemable for cash,but may be used for up to$1 off the purchase price of CFL bulbs • • between January 1,2017 and December 10,2017 at the following Elk River stores:Cub Foods,Home • • between January 1,2017 and December 10,2017 at the following Elk River stores:Cub Foods,Home • • Depot Menard's,Wal-Mart or Batteries+Bulbs.Customer may use one coupon per pack of CFL bulbs. • • Depot,Menard's,Wal-Mart,or Batteries+Bulbs.Customer may use one coupon per pack of CFL bulbs. • • Validation requires customer to complete the back of this coupon. •• • Validation requires customer to complete the back of this coupon. {y'g��. • .,it ▪ Cashier,please initial here Elk Rive' J • • Cashier,please initial here EkR1Ver • • Munidpal Utilities • • MunicipalUtilities• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 114 How do CFLs compare to an incandescent CFL Selection and Proper Use .�� Incandescent CFL N , `�' h•` Always screw and unscrew the bulb from the base if y w 40 watt is equivalent to 10 watt M y possible(not the glass). y w• Never forcefully twist the CFL into a light socket. N% 60 watt is equivalent to 13-15 watt ; h ; • CFL5 should be paired with compatible timer or dimmer ; 75 watt is equivalent to 18-20 watt ; switches. Incompatible switches may cause early 4 4 w w expiration of CFL5. y 100 watt is equivalent to 23-26 watt k M• CFLs are most effective in fixtures or in areas inside the • 150 watt is equivalent to 40-42 watt w M home where lights are left on for periods longer than 15 minutes to several hours at a time. • 200 watt is ectuivalent to, 55-68 watt:` Color Temperature What is color temperature and how does it affect me? Degrees Kelvin • Color temperature is a description of the warmth or coolness of a light source.Certain temperatures are better for specific activities.The 6000 temperature is measured in Degrees Kelvin and can be found on the 5800 5600 package. 5400 5200 • A color temperature of 2700-3600 K,which is considered a"warm" Metal Halide----- 5000 -----Daylight 4800 temperature,is generally recommended for most indoor applications 4600 4400 ----Cool White with low light intensity. It accentuates skin tones and color and gives an 4200 4000 inviting and relaxing tone to the room. 3800 33400 • A color temperature of 3600-5500 K,which is considered a"cool" 3200 temperature,is best for visual tasks because it produces a higher Halogen------ 3000 --Warm White 2800 contrast than warm light.This temperature is a bright,bluish light Incandescent-- '0 ' ,a, similar to natural outdoor light. High Pressure Sodium • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • *'Please complete this side for coupon to be valid' • • **Please complete this side for coupon to be valid*` • • • • • • Your Name • • Your Name • • Address • • Address• • • Phone Number • • Phone Number • • • • • • Store Name • • Store Name • • • • • • Address • • Address • • • •Phone Number • Phone Number • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • **Please complete this side for coupon to be valid** • • **Please complete this side for coupon to be valid** • • • • • • Your Name • • Your Name • Address Address • Phone Number • • Phone Number • • • • • • Store Name • • Store Name • • • • Address Addr• ess• • • Phone Number • • Phone Number • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 115 , ` II 1 . isi2017 7 ) Elk River Water Conservation Rebates Municipal Utilities Elk River Municipal Utilities offers rebates for water efficient appliances and Smart Irrigation Controllers in an effort to conserve water. Items must be Energy Star° or WaterSense° rated to qualify. All rebates are given as a credit on utility bills. Customers must have ERMU water service to qualify. Clothes Washers: Smart Controllers: • Must be Energy Star° rated and have a water factor of 5.5 or less to ualify • Must have WaterSense®label G' • Linked local weather via Internet, weath- Dishwashers: er station, or an ET water server • Must be Energy Star° rated (WeatherTRAK ET etc.) Toilets: • Customers with in-ground irrigation Must have WaterSense°label systems eligible to receive rebate of up to • (1.28 gallon per flush or less) 50 %, not to exceed$250 of approved Smart Irrigation System Controller. Faucets: • Must have WaterSense°label Rebate Application 13069 Orono Pkwy PO Box 430 Return with copy of invoice/receipt Elk River,MN 55330 Name Address: 0 $25 -Clothes Washer<_ 5.5 water factor Account #: 0 $25 -Dishwasher Appliance Description: 0 $10 -Water Efficient Faucet Model #: 0 $25 -Low Flow Toilet ❑ Energy Star® or 0 WaterSense° 0 50 % up to $250 Smart Irrigation Controller *Rebates offered only while funds are available. Call 763-441-2020 to see if funds are available. illioj 116 ,. , jyr t THE FACTS ON LEAKS 4r A leaky faucet dripping at the rate of one drip per second can II waste more than , 1 0 3,000 gallons percent of homes have per year . leaks that waste 90 gallons or more per day a ;111111411111111S ..- Did you know. ,r - .i, ., ' ,,,, Minor water leaks account for more than A shower leaking at ., v_ �- ,r , 411t1t14' lODrips j ,, .: , � ' per minute wastes trillon gallons more than of wasted water each year and 500 is equal to annual household water use in gallons per year _, 4/4 1 REPAIR leaks by checking faucet washers and gaskets for wear and replacing them if necessary million homes 311111111111C n Replace old toilets Homeowners with WaterSense labeled look f o r ''l i'1 'gli':l: '' models&save can save " l /- #c,erSe K a 1 ' . P4 • iiiis, ro IC Ilr ,....eo. 1 3,000 10 percent on their water @°fs EPA G�\. * gallons of water savings bills ,• `` for the average family •. ``rt i&EPA epa.gov/watersense , 117