Energy Efficiency improvement Scheme Stakeholder Forum · 9/3/2015 · • Limiting global warming to ~2. o. C requires limiting aggregate global CO. 2-e emissions to 1000 Gt from

Energy Efficiency improvement Scheme

Stakeholder Forum

3 September 2015

Sustainability and Climate Change

Environment and Planning Directorate

Sean Rooney

EEIS Administrator & Executive Director

Overview of today When What Where

9.30 EEIS and ACT Government Climate Change Strategies

Gold Room

9.45am Changes to the Scheme Gold Room

10.30am Morning Tea

11am Harmonisation with other jurisdictions Gold Room

11.30am Implementing the improvements Gold Room

12noon – 1.30pm

Lunch and ActSmart Business Sustainability Expo AIS Arena

Afternoon Interactive Workshops to discuss the future of the scheme

Gold Room, Studios 1 and 2

3.30 – 3.45pm

Afternoon Tea

3.45 Report back from workshops Gold Room

4.30pm Evaluation and Close

Energy Efficiency Improvement Scheme Aims

• Encourage the efficient use of electricity and gas;

• Reduce greenhouse gas emissions associated with stationary energy use in the Territory;

• Reduce household and business energy costs; and

• Increase opportunities for vulnerable households to lower energy use and costs.

–

–

Photo used with permission from ActewAGL

Energy Efficiency Improvement Scheme

• Established under the Energy Efficiency (Cost of Living) Improvement Act 2012

• ΄Μ̯̽͋ν ̯ ι͋θϢΊι͋͋Σχ ΪΣ ·ΑΊ͋ι 1͛ ͋Μ͋̽χιΊ̽Ίχϴ ι͋χ̯ΊΜ͋ιν χΪ

undertake activities to achieve an energy savings target

– Measured in CO2-e

Also a priority household

sub-target (20%)

̯ΜΜ͋ι ·ΑΊ͋ι 2͛ ·͋χ̯ΊΜ͋ιν ̯̽Σ ζ̯ϴ a contribution fee or undertake activities

Extension of the scheme EEIS reviewed in 2014

Amendment bill to extend the scheme to 2020 was passed on 4 August 2015.

Key changes in the future include: increase the notice time given to retailers when increasing future compliance year targets;

harmonisation and recognition of abatement created in the ACT under other interstate schemes;

̯ΜΜΪϮ ·̯ζζιΪϭ͇͋ ̯̼̯χ͋͋Σχ ζιΪϭΊ͇͋ιν͛ χΪ ϢΣ͇͋ιχ̯Ι͋ EE͜ activities and create abatement that may be purchased by retailers.

POLICY CONTEXT

Source: Australian Academy of Science

Policy Background • Limiting global warming to

~2oC requires limiting aggregate global CO2-e emissions to 1000 Gt from 2000 to 2050

• This is an allowance of around 2 to 3 tonnes per human per annum to 2050

• IPCC recommended advanced economies cut emissions by 40% by 2020

• Carbon neutral by 2060

Most ambitious targets in Australia

Mitigation Adaptation Renewables Reduced energy consumption

The Climate Change and Greenhouse Gas Reduction Act 2010 mandates:

• 40% below 1990 emission levels by 2020

• 80% below 1990 emissions levels by 2050

• Carbon neutral by 2060

• Peaking per capita emissions by 2013

• 90% renewable electricity supply by 2020

Climate change – AP2

http://www.environment.act.gov.au/climate_change/ap2

ACT Greenhouse Gas Inventory

• Emissions per person in ACT now 5,000 lower than in 1990 (per person peak

emissions target achieved) 4,500

4,000 • ACT emissions fell by 8% between 2011-12 and 2013-14. 3,500

3,000 • Majority of emissions savings come

2,000

2,500 kt C

O2-e

from electricity sector

– Increasing building and appliance

efficiency 1,500

– Increasing renewable electricity 1,000

• ACT Greenhouse Gas Inventory will 500 now be released 3 months after the 0 end of each financial year.

Complementary Actsmart programs

The ActSmart Business programs assist businesses and event organisers to put efficiency measures in place to reduce energy, water and waste.

ActSmart Household programs help residents save money, reduce emissions and live sustainably.

ActSmart Schools program supports implementation of sustainable management practices into everyday operations focusing in the areas of water, waste, energy, biodiversity and curriculum.

Take Home Messages

• ACT is a national/international leader

• Our leadership is delivering results across the triple bottom line in the ACT

• Collaboration and innovation

delivers

• Evidence – Action – Results (and repeat)

• All in this together

THANK YOU

Sean Rooney

[email protected]


Stakeholder Forum

3 September 2015

Megan Ward

Senior Policy Officer

Energy and Waste Policy


Background

4500

(!)

C5 u liJ c c 0 ...., 0

~

1500

• Renewable energy

• Reduced landfil l emissions

• Transport fuel savings

Non-residentia l energy efficiency

• Residential energy efficiency 2020 emissions target

-+-~~~~-r--~~~----..--~~~~~~~~~~~~~~~~~~~~~~~

2013 2014 2015 2016 2017 2018 2019 2020

Meeting the 2020 GHG reduction target

Why energy efficiency?

• Helps people reduce their energy use or get more out of the energy they do use.

• Provides a buffer against higher energy prices in the future.

• Delays the need to invest in new infrastructure to meet higher

•

͋Σ͋ιͽϴ ͇̯͋Σ͇ν ̯ν χ·͋ Α͋ ιιΊχΪιϴ ν͛ ζΪζϢΜ̯χΊΪΣ ͽιΪϮν΅

Reduces the investment required in new renewables.

How the EEIS works

Amount of activity Type of activity

worth more than

Government

Energy retailer - apply target to individual sales and undertake activities

Target (for all of ACT) Eligible activities

Community

Retailer funded implementation

Repaid through energy bills

Community savings Incentive for innovative low-cost

implementation delivery costs

Why the EEIS?

• Market-based schemes have greater reach

• Efficiencies of tapping into existing markets and business processes

• Has been highly successful and cost-effective to-date

Image courtesy of ActewAGL

Extending the EEIS to 2020

2014 Review

• Considered the operation of the Scheme since it started on 1 Jan 2013

– The Good

– The Bad

– The Future

Overall household participant satisfaction How would you rate your overall experience ? (n=516)

50%

40%

30%

20%

10%

0%

Mean satisfaction= 4.22 (1-5 scale)

45% 38%

12% 2%

3%

Very poor Poor Fair Good Very good

Contributing to Additional Energy Efficiency? If these products were not available to you through the scheme, how likely is it

that you would have purchased them anyway within the next 12 months? (n=516)

40%

30%

20%

10%

0%

31%

21%19% 19%

10%

Very unlikely Unlikely Possible/neutral Likely Very likely

Encouraging Further Energy Efficiency?

Did the energy saving products you received lead you to

undertake extra energy saving activities?

(n=516)

Yes 26%

No 70%

Unsure 4%

Household Bill Savings

Activity 2013 + Quarter 1 2014

Fuel

Estimated household energy savings (MWh/GJ)

NPV cost savings $/ participating household

Affixing door seals

Electricity 0.4 63.62

Gas 0.47 82.34

Lighting upgrades Electricity 2.81 1,020.19

Installing Standby Power Controllers

Electricity 0.79 814.13

Fridge and Freezer removal Electricity 0.75 866.50

Total 1,613.76

Versus costs to households of: • $28 on average per household in 2013-14 • $37 on average per household in 2014-15

Review Recommendations

• Extend the EEIS beyond 2015

• Provide longer term certainty for participants

• Consider impact of 90% Renewable Energy Target

• Continue contribution fee option for tier 2 retailers

•

•

• Formalise collaboration with other schemes

• Enhance data collection

• Continue to implement complementary education and awareness programs

Invest tier 2 retailer contribution fee towards energy efficiency improvements

Regular review of activities and activity factors

Extending the EEIS: key considerations

First:

• Impact of increasing renewable energy in ACT?

– Ρ·̯χ ·͋χιΊ̽͛

• Developments in other schemes

• Opportunities to improve?

Then:

• Where to set the targets

– What are the impacts?

• What activities remain

Consultation on extension

• Support for continuing the EEIS

– At the same level of ambition

• Maintain the priority household target

– Balance costs

– Continue to complement with other Government programs

• Seek greater alignment with other schemes

• Include new activities and increase opportunities for third-parties to participate

– Ensure appropriate administrative arrangements and stakeholder assurances

Modelling the EEIS to 2020: Impact of the !CT’s 90% Renewable Target

90% renewable energy target will deliver

about 73% of the 40%-by-2020 GHG reduction

FRV’s Royalla Solar Farm

ACT renewables

Mugga Lane Solar Park (13 MW)

OneSun Capital Solar Farm (10 MW)

Ararat Wind Farm, Vic (80.5 MW)

Coonooer Bridge Wind Farm, Vic (19.4 MW)

Hornsdale Wind Farm, SA (100 MW)

Impact on ACT Electricity Emissions Factor

0.250 Em

issi

on

s Fa

cto

r (t

CO

2e

/GJ)

0.000

0.050

0.100

0.150

0.200

Electricity

Natural Gas

20

16

20

17

20

18

20

19

20

20

20

21

20

22

20

23

20

24

20

25

20

26

20

27

20

28

20

29

20

30

Practical impact

Saving 1MWh electricity in the ACT in:

– 2013 : 0.79 t CO2-e

– 2016 : 0.74 t CO2-e

– 2020 : 0.09 t CO2-e

Lifetime savings from changing 1 light in:

– 2013: 0.4 t CO2-e

– 2016: 0.31 t CO2-e

– 2020: 0.04 t CO2-e

Is the GHG metric still appropriate?

• Simplest method, understood by industry

• B̯Μ̯Σ̽͋ν GΪϭ͋ιΣ͋Σχ ν͛ Ϊ̼Ζ͋̽χΊϭ͋ν΄

– Reducing emissions

– Saving electricity and gas

– Cost savings in households and businesses

• Can reflect increasing GHG benefit of saving gas/going electric

• Ability to determine included activities and targeted NPV of scheme provides opportunity to consider costs and benefits associated with activities

Outcome

Model updated to reflect rapidly declining Emissions Factor

All key parameters of the EEIS updated to reflect this change

Dramatically changes the incentives

Modelling the EEIS to 2020: Setting new targets

Model Inputs

Measures (costs, savings, lifetime and potential)

Emission factors

Customer electricity pricmg

Incentive price

Priority housing target

Wholesale electricrty cost

AddrtJonal costs MWh

Financial Parameters

Electricity, gas, wood savings & ktC02e savmgs

Model Outputs

-----------7Greenhouse gas abatement (kt C02e)

Cost per tC02e abatement

Modelling the Scheme

Modelling measure uptake

Consumer incentive

Cost of measure

Payback =Annual energy saving -( )÷

Annual uptake rate

Payback threshold

Payback =

Pool of opportunity

Annual uptake rate

Maximum limit on uptake

< × = Measures adopted

Modelled outcomes

0

100

200

300

400

500

600

700

$0

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

$70,000

CO

2 -e

ab

ated

('0

00

to

nn

es)

NP

V (

$'0

00

)

0 100 200 300 400 500 600

Maximum Incentive ($)

NPV ($'000) ktCO2e abated Linear (NPV ($'000))

Comparing 2015 and 2016 - 2020

Cost to Average

Lifetime Electricity Tier 1 Tier 2 Energy Bill Pass-

CO2-e Saved Retailer Contributions Savings NPV Gas Saved through

Target ($M/yr) (kT/ year) (MWh/yr) (GJ/yr) ($/MWh) ($M/yr) ($M/yr)

2015 14% $14 296 353,210 929,553 $4.90 $10.9 $4.4

20168.6% $8 103 280,249 1,162,517 $3.95 $8.2 $3.8

2020

Key parameters

Instrument New Value Period

Energy Savings Target 8.6% (each year) 2016 to 2020

Priority Household Target 20% (each year) 2016

Emissions Multiplier 0.4 2016 to 2020

Energy Savings Contribution (Tier 2 Retailer) $116/tonne CO2-e 2016 to 2020

Shortfall Penalty (non-compliant Retailers) $300/tonne CO2-e 2016 to 2020

Modelled Activities

• Decommiss on ducted gas heater and

install Hl: equivalent • I 1st?. II insulati 1g gac; ht>ji f ng ductwork

• SME- Small office - liehthg

• SME Industrial - Lig·1ting

• Replace an ex'st 'ng nowe· ·ose with a low flow shower rose

• SME- Small trade - L'ght'ng

• SME- Sma ll office - Water Hea t ing

• SME Hospi t

ACT Eco nomy Marginal Abatement Cost ($/ t COz·e )

w lJl

w 0

,z, Lr

..:., 0

..:..:.., ..:.. :::> ' l.11 0 0

0 0

0 0

0 0

0 0

0 0

0 D

0 0

l?E>tire~ E'l)tOfp

rE>,~Stv,l";, orE>fr.·

"CfuS'fr: 1 ftE>riJf ' Or

(.; u'>Jlls:OttrdCf.

!::lrE>s,d.

E'f)ft°q1/( Stv,t_ Whr,~

s,,,a/f 8 Of~c

(> - Iv f.for tiJt. E>r fiJ .'!J ,,,,,... '"c

)>"'ro"s~l". It. 7 q"'" E>'>tsOsl:Jib,. "'lfy.

s-11, .,,(>,..!)~·(· CD s1vrl";, ~'w!Je :::ll)(/(J

S'fr;~I. Li-_ rT n 0sll.-rl"1t,ct ""''" , , ,,,

lldsh l:'

r a,,C/'I.

"sr

• Uper2de residential lie1t ing

• Repl

• SM [ - Smal office - Lighting

• SME Industrial - L"gl"ting

• SME- Srna I office - Water -le.ot ine

• SME Sma I trade - Ligntirg

• SME- Hospita ity - Light ing

• SME- Srnal I tcade - Refrigerat ion

• SME Industrial Water Heating

• s ME- Hosoitality - Refrigeration SME 1'1dustri;i l - Pu mps

• ~Ml: Industrial - Air Compressors

SME – number of instances

Changes to the legislation

Overview of changes to Act

Energy Efficiency (Cost of Living) Improvement Act 2012

• Continue to 2020 by providing new compliance periods

• Provides opportunities for:

–

–

Third-ζ̯ιχϴ ζ̯ιχΊ̽Ίζ̯χΊΪΣ (·̯ζζιΪϭ͇͋ ̯̼̯χ͋͋Σχ ζιΪϭΊ͇͋ιν͛)

·͋̽ΪͽΣΊχΊΪΣ Ϊ͕ ·Ϊχ·͋ι ΖϢιΊν͇Ί̽χΊΪΣ̯Μ ν̽·͋͋ν͛

Activities undertaken in the ACT in accordance with other – scheme requirements

• Administrator to develop codes to support implementation

Changes continued…

• Increase the notice time given to Retailers when increasing future compliance year targets

• Clarify Tier 2 to Tier 1 status transition

• Changes the mechanism for changing the shortfall penalty rate

• ·͋ζΜ̯͇̽͋ χ͋ι ·͋ ΊννΊΪΣν ͕̯̽χΪι͛ ϮΊχ· ·͋ ΊννΊΪΣν ϢΜχΊζΜΊ͋ι͛

Questions?


Stakeholder Forum

3 September 2015

Liam Ryan

Principal Policy Officer

NSW Energy Saving Scheme

Office of Environment and Heritage

Liam Ryan

Principal Policy Officer, NSW Office of Environment and Heritage

EEIS Stakeholder forum

Interstate collaboration

on energy efficiency

Outline

• About the NSW Energy Savings Scheme

• Upcoming reforms to the NSW scheme

• Collaboration on energy efficiency schemes

• Potential opportunities for the ACT and NSW

EEIS STAKEHOLDER FORUM, 3 SEPTEMBER 2015 53

About the NSW Energy Savings Scheme

• Annual energy savings targets on energy retailers

• Accredited businesses create certificates for energy savings &

trade with energy retailers

• Largest NSW energy efficiency program

• Since 2009, the scheme has supported projects that will save

12,000 GWh of electricity and $1.7

billion off bills over the next

decade


Upcoming reforms to the NSW Energy Savings Scheme

• NSW Government has announced expansion to gas from 2016 and

extension to 2025

• Final position on reforms expected soon

• Commitment to annual updates to the ESS Rule starting with a call

for ideas in Q1 each year

• Current focus of updates to Rule is on expanding to gas


Why collaborate on energy efficiency?

• Consistent administrative processes can reduce costs for

service providers and retailers

operating across jurisdictions.

• Collaboration on methods can expand energy savings

opportunities and make them

cheaper for everyone through

economies of scale.

• Stakeholders have consistently encouraged greater harmonisation

across jurisdictions.

“A robust national market for energy

efficiency could help NSW energy

consumers save money on bills. The

NSW government will work with other

jurisdictions to harmonise energy

efficiency trading schemes.”

NSW Energy Efficiency Action Plan,

page 6


Collaboration in the past

• ACT based its eligible activities on the Victorian scheme

• NSW expanded residential activities, aligned compliance

timeframes and recognised products

accepted in Vic

• Victoria introduced commercial lighting and aligned administrative

processes

• South Australia using NSW commercial lighting tool and has

aligned activity requirements with

best practice across jurisdictions


Current collaboration priorities

• ACT is working to establish systems to recognise activities

from other jurisdictions

• NSW is expanding its scheme to gas, and investigating reforms to

residential retrofit activities

• Victoria is investigating new methods for commercial and

industrial activities


Unique opportunity for NSW and the ACT

• The ACT Minister now has the power to approve an ‘interstate

scheme’ and allow activities from another jurisdiction to be eligible.

• The NSW Minister has the power to approve a ‘corresponding scheme’ and enable the ESS to credit savings in another

jurisdiction.

• So we have a legislative framework but… We still need to

identify how this could work in

practice.


Lessons from GGAS for NSW and the ACT

• The NSW Greenhouse Gas Reduction Scheme (GGAS) ran from 2003 to 2012

• The ESS is built on GGAS including many of IPART’s administrative systems

• GGAS covered both the ACT and NSW

• Retailers and service providers used the same framework across jurisdictions

• So the scheme administrator, energy retailers and service providers all have

experience with an integrated scheme.


Summary

• The NSW Energy Savings Scheme is a success and the NSW Government has committed to enhancing it.

• The NSW Government supports interstate collaboration on energy efficiency schemes with the goal of a national energy efficiency market.

• All jurisdictions with energy efficiency schemes are working together to better align eligible activities and administrative processes.

• NSW and ACT have a unique opportunity to reduce costs for service providers and retailers and help consumers save money on bills.



Stakeholder Forum

3 September 2015

Antonia Harmer

Manager – Energy Efficiency Improvement Scheme

Sustainability and Climate Change


Presentation Overview Achievements to date

What the changes mean for you?

Obligations, compliance and reporting

Eligible activities and new abatement values

Complementary programs and referral pathways

Opportunities to shape the future of the scheme

Key challenges to consider: 1. What other activities could be included?

2. How could the scheme align and best integrate with other schemes?

3. How can we continue helping priority households reduce energy costs?

4. How can we reach the business sector?

Targets and results 2013 - 2015

80000

70000

60000

50000

40000

30000

20000

10000

0

Over 53,000 households have participated in the scheme to date (including 14,000 priority households)

Total household Non-Priority Houses target = 70,000 Priority Houses

Priority household target = 25% of abatement

2013 to 2014 cumulative to 2015 Q1 cumulative

EEIS cumulative progress towards abatement targets

700,000

600,000

~ 500,000 0 u ..... -= 400,000 c GI

E !! 300,000 "' ..Q

Achievements Energy savings in over 53,000 Canberra households

14,000 of these were priority households

$1,600 average lifetime savings, or $318 per year

570,000 energy savings items, including over 90,000 LEDs installed

465,000 incandescent light globes replaced,

10 tonnes of old, inefficient lights recycled

470,000 tCO2-e saved

43,000 door seals installed

85,000 standby power controllers installed

1,500 old, inefficient refrigerators and freezers degassed & recycled.

35 FTE private sector jobs created, including 11 electricians.

Harmonisation and

Jurisdictional comparison

ACT - EEIS NSW - ESS Victoria - VEET South Australia - REES

Not certificate based Certificate based Certificate based Not certificate based

Household focus, extended to SMEs. 20% priority household target

Business and industry focus - Now expanding to residential

Household and business

Household and business 35% low-income household target

Pre-deemed abatement

Range of abatement measurement methodologies



Extended to 2020 Running to 2025 Extended to 2030 Running to 2020

Key changes to the scheme

Increase the notice time given to retailers when increasing future compliance year targets;

Interested?

!ΜΜΪϮ ·̯ζζιΪϭ͇͋ ̯̼̯χ͋͋Σχ ζιΪϭΊ͇͋ιν͛ χΪ undertake EEIS activities and create abatement

that may be purchased by retailers.

Allow the recognition of abatement created in the ACT under other interstate schemes.

Find out more at this ̯͕χ͋ιΣΪΪΣ ν͛ workshops

Enabling legislation Energy Efficiency (Cost of Living) Improvement Act 2012 (the Act)

New legislation effective from 1 January 2016

• Amendments

• Emissions Multiplier

• Energy Savings Contribution (for Tier 2 retailers)

• Energy Savings Target

• Priority Household Target

• Shortfall Penalty

• Eligible Activities Determination

• Record Keeping and Reporting Code of Practice

• Eligible Activities Code of Practice

Ongoing Consultation and Review

Retailer Obligations - Targets

• All retailers authorised under the National Energy Retail Law (NERL) to sell electricity to premises in the ACT for consumption are obligated under the Act

• Retailer's Energy Savings Obligation (RESO) calculated based on sales to ACT customers:

• Priority household target applied to Energy Savings Obligation

RESO = EST x (electricity sales x emissions multiplier) = Tonnes CO2-e

Meeting the RESO – Eligible Activities

• Minister determines the activities that are eligible under the EEIS (eligible activities) and the abatement factor a retailer will get for undertaking the activity.

• Basic product and installation requirements outlined with activity as determined by the Minister.

• Additional requirements for undertaking and recording activities set by the Administrator under Codes of Practice.

• Retailer undertakes enough activities so the abatement adds to meet their RESO.

• All prescribed activity requirements must be complied with for a retailer to claim the abatement for the activity to count towards the target.

Meeting the RESO – Other methods

• Tier 1 retailers may also acquire abatement factors from eligible activities undertaken by another retailer.

• The Administrator must approve the acquisition.

• Tier 2 retailers may also acquire abatement factors, or pay an energy savings contribution.

• A combination of methods may be used to achieve the RESO

Undertaking Eligible Activities

Eligible Activities A list of activities eligible under the Scheme is determined by the Minister

Most activities are based on VEET measures

• Activities are grouped in to 5 areas:

– Residential building envelope activities o E.g. building sealing, thermally efficient windows

– Residential space heating and cooling activities o E.g. Replacing an electric/gas heater with high efficiency ducted

gas heating

– Residential hot water service activities o E.g. replacing an electric resistance water heater, improving

fixture outlets

– Residential lighting activities

– Residential appliance activities o E.g. installing standby power controllers, purchase of high

efficiency appliances

Prior to undertaking activ it ies

• Lodge with Administrator prior to undertaking any activities

If undertaking activit ies

• Keep on record and provide to Administrator as requested

• Provide to Adm inistrator within 15 working days after each quarter

Following the end of a compliance year

• Provide to the Administrator within 3 months of the end of a compliance period

Legislated Requirements

Other relevant legislation

– Building Act 2004

– Construction Occupations (Licensing) Act 2004

– Dangerous Substances Act 2004

– Electricity Safety Act 1971

– Environment Protection Act 1997

– Fair Trading Act (Australian Consumer Law) Act 1992

All activities must be undertaken in accordance with the relevant codes of practice.

• Eligible Activities, Record Keeping and Reporting Code of Practice

Interested?

2.30pm Keeping it

Safe Workshop

– Gas Safety Act 2000

– Water and Sewerage Act 2000

– Work Health and Safety Act 2011

– Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 (Commonwealth)

– Competition and Consumer Act 2010 (Commonwealth)

– Australian Standards

Serious offences and penalties may apply for a breach of legislation.

Completion of Activities

• Activities are taken to be completed only when all prescribed activity requirements for the activity are completed.

• This can include:

– disposal of waste products

– completion and lodgement of any statutory certification

– completing the activity record form and activity certification

– completion of any statutory inspections

• Retailers will need to manage activities that may have delayed completion at the end of a compliance period.

• Only activities completed within a compliance period will count towards that compliance period.

Auditing and Compliance

Draft Eligible Activities – what’s different?

• The proposed discussion draft of the Energy Efficiency (Cost of Living) Improvement (Eligible Activities) Determination 2015 (No 2)

The key changes include:

•

activity.

• Activities that involved switching from electric to gas heating have been deleted, because gas heating will have more GHG emissions than efficient electric heating as ACT approaches the 90 per cent renewable energy target – negative value.

All abatement values are significantly lower because more renewable energy reduces GHG emissions saved by each

Proposed New Eligible Activities

Four new activities are included:

• electric boosted solar hot water system

• three high efficiency space air-to-air heat pumps

A restriction has been removed which disallowed abatement for efficient electric heating systems in areas with reticulated gas.

Refer to summary

Image sources:

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https://upload.wikimedia.org/w

ikipedia/commons/e/ef/Solar_h

ot_water_service.JPG

https://en.wikipedia.org/wiki/User:Kristoferbhttp://en.wikipedia.org/https://upload.wikimedia.org/wikipedia/commons/e/ef/Solar_hot_water_service.JPGhttps://upload.wikimedia.org/wikipedia/commons/e/ef/Solar_hot_water_service.JPGhttps://upload.wikimedia.org/wikipedia/commons/e/ef/Solar_hot_water_service.JPG

New Activities and Methods • 2 pathways:

– Minister determined (new activities)

– By applications

• Activities by application:

Interested?

– ΑΪ͇̯ϴ ν͛ ϮΪιΙν·Ϊζ ̯Σ͇ ͋ϭ̯ΜϢ̯χΊΪΣ ͕Ϊι

– Written submissions supported by evidence due 18/9/15

– Technical working groups

– Consultation and prioritisation

– Ongoing feedback welcome

1.30pm Eligible

Activities

Workshop

Develop Activity, product and installation requirements

Develop auditing and compliance framework

Method Development Process • Consider applications and prioritise activities for inclusion

• Obtain Minister approval to proceed

• Consult stakeholders and other jurisdictions

• Develop methodology and calculate abatement

•

• Develop Codes of Practice, record and reporting requirements

•

• Draft legislation

• Minister approval and legislation tabled

• Compliance planning, training, registration of approved abatement providers and implementation

Theory into practice

Worked example

Image from: 401kcalculator.org

• Annual Electricity Sales (ES) = 100,000 MWh

• Energy Savings Target (EST) = 8.6%

• Emissions Multiplier (EM) = 0.4

• Retailer Energy Savings Obligation (RESO) = EST x ES x EM

= 0.086 x 100,000 x 0.4

= 3,440 tonnes of CO2-e

• Energy Savings Contribution (ESC) = $116 x RESO

• Energy Savings Contribution = $399,040

http://401kcalculator.org/

$

Worked example continued • Energy Savings Contribution

= $399,040

• Tier 2 retailers have the option of delivering abatement instead of paying the Energy Savings Contribution.

• For every tonne of abatement delivered, the Energy Savings Contribution reduces by $116

How this might work..... Six hypothetical calculations for achieving an Energy Savings Target of

3,440 tonnes of CO2-e

Activity Abatement # Widgets for 3,440 tCO2e

1.2.1b Seal an existing exhaust fan 0.4171 8247

3.3 Replace an existing shower fixture outlet with a low flow shower fixture outlet

0.6976 4,931

1.6 Install window pelmets and window coverings 0.1813 18,974

2.1b Replace a ducted gas space heater with a high 13.08 263 efficiency ducted gas space heater. 18.1-28kW, 5.5 stars

2.5b Install high efficiency space air-to-air heat pump. 9.64 357 Medium, 5+ stars

3.1.2 Decommission and replace large electric 7.16 480 resistance water heater with electric boosted solar hot water system

Complementary programs and

referral pathways

EEIS

http://www.see-change.org.au/http://conservationcouncil.org.au/

Your Choice – shaping the future of the scheme When Workshops Where

1.30pm Working across jurisdictions Gold Room

1.30pm Tier 2 retailers Studio 1

1.30pm Eligible Activities Studio 2

1.30pm ΄̯ιχΊ̽Ίζ̯Σχν͛ Ί͇̯͋ν Gold Room

2.30pm Calculating and trading abatement Gold Room

2.30pm Registering abatement providers Studio 1

2.30pm Keeping it safe Studio 2

2.30pm ΄̯ιχΊ̽Ίζ̯Σχν͛ ideas Gold Room

3.30 pm Afternoon Tea

3.45pm Report back from workshops Gold Room

4.30pm Evaluation and Close

Lunch at the AIS Arena

Please come back and participate in the workshops at 1.30pm

Structure BookmarksEEIS Administrator & Executive Director Energy Efficiency Improvement Scheme Artifact2,000 2,500 kt CO2-e ActSmart Household programs help residents save money, reduce emissions and live sustainably. ArtifactArtifact͋Σ͋ιͽϴ ͇̯͋Σ͇ν ̯ν χ·͋ Α͋ιιΊχΪιϴ͛ν ζΪζϢΜ̯χΊΪΣ ͽιΪϮν΅ Reduces the investment required in new renewables. ArtifactArtifactInvest tier 2 retailer contribution fee towards energy efficiency improvements Regular review of activities and activity factors ArtifactPriority Household Target 20% (each year) 2016 Emissions Multiplier 0.4 2016 to 2020 Third-ζ̯ιχϴ ζ̯ιχΊ̽Ίζ̯χΊΪΣ (·̯ζζιΪϭ͇͋ ̯̼̯χ͋͋Σχ ζιΪϭΊ͇͋ιν͛) ·͋̽ΪͽΣΊχΊΪΣ Ϊ͕ ·Ϊχ·͋ι ΖϢιΊν͇Ί̽χΊΪΣ̯Μ ν̽·͋͋ν͛ Activities undertaken in the ACT in accordance with other Antonia Harmer Complementary programs and referral pathways Opportunities to shape the future of the scheme Interested? Find out more at this ̯͕χ͋ιΣΪΪΣ͛ν workshops ArtifactArtifactOther relevant legislation – Building Act 2004 – Construction Occupations (Licensing) Act 2004 – Dangerous Substances Act 2004 – Electricity Safety Act 1971 – Environment Protection Act 1997 – Fair Trading Act (Australian Consumer Law) Act 1992 All activities must be undertaken in accordance with the relevant codes of practice. • Eligible Activities, Record Keeping and Reporting Code of Practice Interested? 2.30pm Keeping it Safe Workshop All abatement values are significantly lower because more renewable energy reduces GHG emissions saved by each Interested? 1.30pm Eligible Activities Workshop Develop Activity, product and installation requirements Develop auditing and compliance framework Artifact

Energy Efficiency improvement Scheme Stakeholder Forum · 9/3/2015 · • Limiting global warming to ~2. o. C requires limiting aggregate global CO. 2-e emissions to 1000 Gt from

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