Opening up the Clean Energy Floodgates in Massachusetts? Restructuring Roundtable

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Opening up the Clean Energy Floodgates in
Massachusetts? Restructuring Roundtable

• September 12, 2008

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Utilities play a vital role in reaching a solution
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NSTAR has a three pronged strategy to respond to
GCA

• Energy Efficiency
• Renewable resources
• Pilot smart grid

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We are excited about rapidly expanding EE

• Comprehensive, integrated program offerings
• Deeper market penetration
• Additional new technology offerings

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Programs ripe for quick ramp up

• Existing programs with infrastructure in place
• Large market opportunity
• Limited technical issues
• High benefit cost ratios

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Multi-Family

• Targets multi-family facilities with five or more
  units
• Comprehensive, whole-house approach
• Financial incentives, up to 75 discount on the
  installation of major measures

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Small Business

• Still much more to do with NSTAR current SBS
  program
• Direct install program
• Targets customers avg demand less than 200 kW
• Cash incentives to customers 70-80 range
• Increase comprehensiveness targeting 10 more
  efficiency per customer
• Only 1 in 5 eligible customers has participated
  in the CI SBS Direct Install program
• Super T8 fixtures can use 17 less than standard
  fixtures, but penetration is less than 10

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We are redesigning our approach to increase
penetration.
One for One replacements
System based programs
Integrated programs
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NSTAR Green provides basic service customers with
a renewable energy choice

• Offers 50 and 100 option
• Wind energy supplied via 10 year contracts
• Over 3,300 customers enrolled

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NSTARs plays a vital role in the retail PV value
chain
Simplified PV Value Chain
Customer
Project Development
Distribution, Integration and Installation
Component Manufacturing
Raw Material
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Lead Generation
Screening
Site Assessment
Preliminary Project Development
Engineering / Design
Financing
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CAPABILITIES DEVELOPED UNDER EE PROGRAM
Existing
Require Development
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NSTAR is a leader in integrating Smart Grid
technologies

• Distribution and substation automation
• SCADA Systems
• Outage Management System
• Automated Meter Reading

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Our smart meter pilot will build understanding of
a fully integrated grid.
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There are challenges with rapid program expansion.

• Design cost effective new programs
• Build workforce to develop and deliver programs
• Implement new delivery mechanisms and outreach
• Secure and train additional vendors
• Develop new partnerships to communicate to
  marketplace
• Increase RD and new product development
• Ensure quality delivery

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Marshfield Energy Challenge Integrated Energy
Efficiency, Demand Response and Renewables

• Energy Efficiency
• Smart Thermostats
• Photovoltaic (PV)

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NSTAR is ready to delivery energy solutions to
customers
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Massachusetts is a national leader with respect
to energy.

• Legislators and DPU have made critical steps to
  move MA in right direction
• These steps extend existing nationally recognized
  EE efforts
• Now to implementation Utility collaboration
  with all parties is the key