Residential Energy Solutions Program

Program Manual

QUICK LINKS

• PROGRAM OVERVIEW
• PROGRAM ELIGIBILITY
• INCENTIVES
• PROJECT REQUIREMENTS
• PARTICIPATION REQUIREMENTS
• PROGRAM PROCESS
• PROGRAM ENROLLMENT
• FAQS
• PROGRAM CONTACTS

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PROGRAM OVERVIEW

PROGRAMS TO REDUCE PEAK DEMAND LOAD

RESIDENTIAL ENERGY SOLUTIONS PROGRAM OBJECTIVES

The Residential Energy Solutions Program is designed to help residential customers understand and make energy efficiency improvements in their homes. Customers can call a toll-free number to reach an Energy Efficiency Solutions Representative who can direct the customer to the best energy efficiency solution based on the customer’s need.

After a conversation with an Energy Efficiency Solutions Representative about the efficiency of their home, the representative may guide the customer to a list of energy solution tips, to an online tool to help them calculate potential energy savings in their home, and for those residential customers with potential savings opportunities and who are resolved to take quick action by investing their money in energy efficiency improvements, to a walk-through assessment of their home.

Customers receiving an assessment will have indicated they are ready in the next 60 days to make energy efficiency upgrades to their home and will have been determined via the solutions representative phone conversation to have sufficient savings opportunity to initiate the assessment. The program’s energy efficiency upgrades focus on sealing the home’s air ducts, increasing the home’s R-value in the attic and walls, reducing the home’s air  infiltration rate, and replacing air conditioners and heat pumps with Energy Star® or higher efficiency ratings. To motivate these customers to act quickly on the assessment recommendations, the program will provide cash incentives to offset a portion of the upgrades if customers act within the 60-day period after the assessment occurs.

To further support the customer’s quick response to upgrade opportunities identified in the assessment, the program will provide a list of participating contractors who have committed to promote high efficiency standards and can perform the work in the required timeframe. These participating contractors will coordinate with the program to accept incentive coupons from the customer to offset the total cost of installation.

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PROGRAM ELIGIBILITY

All Entergy Arkansas residential customers are eligible for this program.

Entergy Arkansas will not directly market any energy efficiency-related product or service to its customers. Entergy Arkansas makes no representation of the benefits of any particular technology or energy efficiency measure eligible for incentives under this program. The selection of an energy efficiency measure is at the discretion of the individual customer.

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INCENTIVES

INCENTIVE BASIS

Funding in the form of “dollars-off” coupons will be available to pay for qualifying energy efficiency projects.

INCENTIVE PRICING

The coupons will be based on eligible energy efficiency measures, primarily in the home’s duct efficiency improvements, and the coupons will provide a total equivalent of $329/kW as determined by the “deemed savings” calculations for the identified technology.

HOW ARE INCENTIVES PAID?

The program will provide incentive dollars-off coupons if an assessment identifies qualifying energy efficiency upgrade opportunities. These coupons are treated like cash and can be submitted to participating contractors to offset a portion of the upgrade cost. The contractor then redeems the coupons with the program administrator for reimbursement.

NOTES

Under no circumstances will Entergy Arkansas make a total incentive payment more than 100 percent of the total cost of the energy efficiency project.

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PROJECT REQUIREMENTS

ELIGIBLE MEASURES

When a customer speaks with an Energy Efficiency Solutions Representative, the following efficiency measures may be considered and discussed. Customers who indicate a commitment to investing their money to upgrade their homes may be eligible for dollars off coupons for the following measures:

1. Duct Efficiency Improvements (Duct sealing)
2. Replacing air conditioners and heat pumps with Energy Star® or higher efficiency ratings
3. Ceiling and Wall Insulation upgrades
4. Air sealing (Home Air Infiltration Reduction)
5. Incandescent light bulb replacement to ENERGY STAR compact fluorescent light bulbs
6. Ceiling and wall insulation

To be eligible, measures must:

• Produce demand savings through an increase in energy efficiency;
• Produce a measurable and verifiable electric peak demand reduction during the peak summer period (defined as between 11 a.m. and 9 p.m., Monday through Friday, for the months of May through September, excluding holidays) and must reduce electricity consumption;
• Have a useful life of at least 10 years; and
• Exceed minimum equipment efficiency standards.

EFFICIENCY STANDARDS

The energy efficiency upgrade measures in the section above are based on deemed savings. Deemed savings measures, which are standardized savings values or simple formulas for a wide range of measures in representative homes, determine the basis for incentive payments. They indicate the amount of kW “credit” an upgrade receives. The savings from these measures – based on the “Residential Deemed Savings, Efficiency, and Installation Standards for Arkansas Statewide Programs“ – are on file with the Arkansas Public Service Commission. Peak demand savings credit will be based only on reductions that exceed Arkansas building codes.

INELIGIBLE MEASURES

Excluded from consideration in the program are the following measures which:

• Receive an incentive through other Entergy Arkansas energy efficiency programs;
• Involve fuel switching (an incentivized change from one fuel type to another i.e. gas to electric;
• Involve self-generation or cogeneration;
• Rely on changes in customer behavior;
• Require no investment; and
• Result in negative environmental or health effects.

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PARTICIPATION REQUIREMENTS

PROGRAM ADMINISTRATOR

The Residential Energy Solutions Program involves a Program Administrator consisting of Entergy Arkansas and its implementing contractor, CLEAResult, Residential Entergy Arkansas retail electric customers, and Program participating contractors.

The Program Administrator’s responsibilities include:

1. Promoting the program to customers in the selected markets;
2. Providing customer assistance through the Energy Efficiency Solutions Center to evaluate the customer’s energy usage opportunities and direct them to the best energy efficiency solution;
3. Scheduling assessments of customer’s homes for those customers who indicate the willingness to invest in and implement the cost-effective opportunities that may be identified in the assessment;
4. Recruiting participating contractors and entering into agreements with them to promote high energy efficiency standards and to perform the work to quality specifications within the recommended time frame;
5. Providing a list of participating contractors for the specified measures identified as opportunities in the assessment*;
6. Providing customers with incentive coupons with 60 day expiration dates, treated like cash, to motivate customers to act quickly after the assessment; and
7. Reimbursing participating contractors accepting the program coupons.

RESIDENTIAL CUSTOMER

The customer’s responsibilities include:

• Calling the program Energy Efficiency Solutions Center to discuss their energy needs to determine an appropriate energy solution for their situation after receiving the program promotions mailing.
• For those customers who receive energy savings tips and/or recommendations from the Energy Solutions Representative, making a best-effort commitment to take action on the tips and recommendations.
• For those customers receiving assessments, making a best-effort commitment to implementing cost-effective energy efficiency improvements to their homes within 60 days of the assessment.

Please Note: The selection of a Participating Company to perform the work is the sole decision of the property owner or authorized lessee/occupant. Inclusion of a Participating Company to perform work does not represent an endorsement by Entergy Arkansas, Inc., or CLEAResult of any product, individual, or company. Work performed by Participating Companies is not guaranteed or subject to any warranty, either expressed or implied, by either Entergy Arkansas, Inc. or CLEAResult. Neither Entergy Arkansas, Inc. nor CLEAResult make any guarantee or any other representation as to the quality, cost, or provided effectiveness of the products provided or work performed by any Participating Company or by its employees, subcontractors or suppliers.

PARTICIPATING CONTRACTORS

The participating contractors responsibilities include:

• Entering into agreements with the Program Administrator to promote high efficiency standards and to perform the recommended work identified in the assessment to quality specifications within the required timeframe;
• Accepting as cash the program’s “dollars off” coupons for the face value;
• Following up with the program to redeem the coupons with the Program Administrator to be reimbursed for the coupon dollar value per the program rules;

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The Residential Energy Solutions Program is designed to help residential customers understand and make energy efficiency improvements. The program process is as follows:

1. Program information is sent to customers.
2. Customers who receive the information and wish to participate in the program call the Energy Efficiency Solutions Center and speak to an Energy Solutions Representative. The conversation will include questions about basic and necessary customer information (e.g., customer name), information about the customer’s home and its energy using systems, and the customer’s desire and intent to invest in energy efficiency technologies in the near future.
3. The Energy Solutions Representative evaluates the customer’s situation and directs the customer to the best energy efficiency solution. Potential solutions include a list of energy tips, an online tool to help them calculate potential energy savings in their home, and a walk-through assessment (Assessment) of their home for those residential customers with potential savings opportunities and the desire to take quick action by investing their money in energy efficiency improvements.
4. Customers determined by the Energy Solutions Representative as having qualifying energy efficiency upgrade opportunities in their homes and as indicating a commitment to invest in identified energy efficiency measures will be scheduled for an Assessment of their home at a date that meets the schedule of the customer and the program.
5. The program is not intended to simply provide an assessment and customer education; it is intended to stimulate the installation of energy efficiency upgrades. Therefore, customers that accept program-provided assessments will be asked to exert their best efforts to complete viable projects in the 60 day period after the assessment. These improvements first look to focus on duct efficiency improvements, then explore other cost effective measures in the home. To motivate these customers to act quickly on the assessment recommendations, the program will provide cash incentives in the form of coupons with 60-day expiration dates to offset a portion of the upgrades.
6. To further spur the customer to take quick action on the upgrade opportunities identified in the assessment, the program will provide a list of participating contractors who have committed to promote high energy efficiency standards and can perform the work to quality specifications in the required timeframe. These participating contractors will coordinate with the program to accept incentive coupons from the customer to offset the total cost of installation. Customers should note that the incentive coupons cannot be used with contractors who have not allied with the program.

After upgrade work has been completed, the participating contractors submit the coupons to the Program Administrator for reimbursement. The contractor will be required to verify the completion of the project.

Post upgrade home inspections will be conducted as needed on a periodic basis to gather a statistically significant sample to confirm program result.

PROGRAM PROCESS DIAGRAM

Click here for a PDF version of the Program Process Diagram.

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PROGRAM ENROLLMENT

There is no formal enrollment process for the Residential Energy Solutions Program.

To participate in the program, target market customers will call the Energy Efficiency Solutions Center at 1-877-212-2420 and speak to an Energy Solutions Representative. The Energy Solutions Representative assesses the customer’s situation and directs the customer to the best energy efficiency solution. Solutions include a list of energy tips, an online tool to help them calculate potential energy savings in their home, and for those customers resolved to take quick action by investing their money in energy efficiency improvements, the opportunity for an assessment of their home.

All energy consultants/auditors, insulation, duct sealing, air infiltration, and heating, ventilation, and air conditioning contractors that serve Entergy Arkansas customers are eligible to participate in this program. Contractors that wish to participate must enter into a program agreement that specifies the contractor program eligibility and program requirements.

Should the program become oversubscribed, customers who requested home assessments in 2011 and do not receive one will be the first to be scheduled for assessments in the 2012 program year.

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FAQs

1. Who is eligible for the program?
   The Residential Energy Solutions Program is offered to all Entergy Arkansas residential customers.

2. How does the program work?
   Customers call in to the Energy Efficiency Solutions Center and speak to an Energy Solutions Representative who, through conversation and questions about the customer’s home, can assess and direct the customer to the best energy efficiency solution based on the their need.
   
   The Energy Solutions Representative may guide the customer to energy solution tips, to an online tool to help them calculate potential energy savings in their home, and for those customers resolved to take quick action by investing their money in energy efficiency improvements, to the opportunity for an assessment of their home.

3. Which customers receive assessments?
   Customers that receive an assessment of their home have indicated they are ready to make energy efficiency improvements to their home within 60 days after the assessment. To motivate these customers to act quickly on the assessment recommendations, the program will provide cash incentives to offset a portion of the upgrades if customers act within the 60-day period after the assessment.
   
   To further support the customer’s quick response to upgrade opportunities identified in the assessment, the program will provide a list of participating contractors who have committed to promote high energy efficiency standards and can perform the work in the required timeframe. These participating contractors will coordinate with the program to accept incentive coupons from the customer to offset a portion of the installation cost.

4. What does the program cost?
   The participants (customers and the participating contractors) pay nothing for the program support. Entergy Arkansas provides all program support, and the financial investment any participant makes are for the energy efficiency measures they have installed in their own homes. The Residential Energy Solutions program administrator, CLEAResult, does not have a financial interest in any of the energy efficiency implementation services offered to the customers in the program.

5. Who decides what energy efficiency technologies to install and who installs them?
   The customers are the sole determinant for what energy efficiency measures they decide to implement and how they are implemented. For energy efficiency upgrades, the program does not provide any installation of energy efficiency measures. The program encourages the use of industry program participating contractors who have agreed to the program conditions and to accept the program coupons, but it does not require that customers do so. Customers should note the incentive coupons cannot be used with contractors who have not partnered with the program.

6. How contractors for eligible measures become a partner?
   Contractors who would like to become a participating program contractor may call the Energy Efficiency Solutions Hotline at 1-877-212-2420.

7. What are the incentives?
   The incentives for eligible energy efficiency measures are based on $329/kW for demand reductions. The kW reductions are based on “deemed savings” that have been submitted to the Arkansas Public Service Commission.

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PROGRAM CONTACTS

Entergy Arkansas Program Manager

Richard Smith
Entergy Arkansas

Program Implementation Contractor

CLEAResult Consulting
ProgramAdminEAI@clearesult.com