Welcome to FUPWG!

Fall 2008

Be Present and ParticipatePlease turn off cell phones, blackberries and laptops• We will have lots of breaks for you• If you really need to take a call or use

your blackberry please step outside

Remember to say thanks to Lindsey and Kevin

Ground Rules

DC 17

MD 8

VA 31

Fall 2008 Attendance

*Map current as of 11/11/08

Logistics• Today’s agenda is very Packed

– Networking is important but,– Lets try to regroup on time

• Lunch – Williamsburg Ballroom• Dinner

– Anybody not going let Susan know– We need meet in the lobby at 6:30! We are

walking to James Shield’s Tavern– Wear a good coat and comfortable shoes!

• Presentations posted on FUPWG website

FEMP Activities Update

New Cover! • No longer the “UGLY Pink Book”

• Subgroup members to take copy for mark-up

• Copies now available for review

• We still need a cover photo

UESC Enabling Documents Update

Interim Version Additions:• Legislation and Executive actions –

– Energy and Independence and Security Act of 2007, – National Defense Authorization Act of 2007– Executive Order 13423– Emergency Economic Stabilization Act of 2008

• Legal opinions –– Retention of Rebates

• Agency guidance –– White House Letter – Promoting ESPC and UESC in Federal

Government– DoD’s UESC Guidance Memorandum– Performance Assurance for Multi-Year Contracts– Procuring Energy Services with the GSA Areawide Contract– Lessons Learned for UESCs

Enabling Documents Additions (continued):

• Sample Documents– Basic Ordering Agreement– Site Specific Contract– Statement of Work– Assignment of Claims– Utility-ESCO Agreement

• Helpful Hyperlinks– Choosing a Financing Vehicle for Energy Efficiency Projects– Measurement and Verification

• Interactive Electronic Version• Introducing FEMP’s Virtual Center of UESC Expertise!

– DOE’s Team – Key Agency Contacts (DoD and Civilian)– Key Utility Contacts

www.eere.energy.gov/femp/pdfs/28792.pdf

Section 103(a) Extension of Energy Credit • Extended Investment tax credits through

December 31, 2016• Applicable to:

– Energy Efficiency –– Combined Heat & Power Systems– Solar Energy Systems

• Allows Public Utilities to use Investment Tax Credits

• Effective February 12, 2008

Emergency Economic Stabilization Act of 2008

1010

EISA Sect. 432: Guidance Update

• Guidelines on designating energy managers and criteria for covered facilities and evaluations (audits) – The first set of guidelines and criteria has been cleared by the Office

of Management and Budget and will soon be released. – agencies identifying their “covered facilities” and assigned energy

managers and reporting them to DOE as part of their January data submission

• Web-based tracking system– Working group meeting convened 7 Oct 2008; framed initial

requirements/structure– Considering FedCenter.gov as platform

• Guidelines for project implementation and follow-up – Working groups convened 16 Oct 2008 and 13 Nov 2008– Guidelines under development

• Selection of benchmarking system (Energy Star) or develop another – Convene working group week of Dec 1

DOE/DOI Energy SmartPARKS • MOU signed between

DOE/DOI/NPS, press release just issued this week announcing this initiative

• Great Smoky Mountains National Park meeting with TVA and FEMP this week; technical assistance underway

• Upcoming meeting with San Francisco area parks and PG&E

• Assistance also being offered at Independence Hall in Philadelphia, Cape Lookout in NC and more!

UESC Training

• Great session yesterday here in Williamsburg

• Next classroom workshop will be in the 2nd Quarter of the FY in San Francisco

• Next Alternative Financing Options Webinars (with UESC segment)– Wednesday, Dec. 17th 11am to 2pm

EST– Wednesday, Feb. 4th 11am to 2pm

EST

• Watch the FEMP Website for registration information and more details

FUPWG Special Sessions

• Energy Lawyers and Contracting Officers Working Group– Stemming from organization developed at GovEnergy 2008 – Led by Danny Gore of FERC– Working together to find solutions for legal/contracting issues

associated with federal/utility partnerships– Focus in Phoenix was determining interest, broad discussion

of many issues– Thursday afternoon meeting will focus on utility rebates and

incentives– Anyone interested is welcome to attend

• Utility-Agency Connection Session

Hawaii Clean Energy Initiative Update

• HCEI Goal is 70% Clean Energy by 2030

• 40% from Renewable Energy Resources

• 30% Energy Efficiency (includes transportation)

• State of Hawaii and DOE MOU signed

• State of Hawaii and HECO agreement reached• Inter-Island Cable & 40% RE generation by 2030

• Advanced Metering & Feed In Tariffs

FY09 DOE Commitment

• Provide technical support to enable success• Multi-million / multi-year technical assistance

FEMP Hawaii Assistance

Training FY08 & FY09• EERE Assessment Training (Sec 432)• EISA/EO requirements, guidance, strategies• Sustainable/EE Design • Project financing (ESPC, UESC, PPA)Direct Project Support• Aggregated RE Purchases• Army – new construction optimize LCC effective EERE

targets C2F• USCG – NZEI Admiral’s Quarters & PV feasibility • Multiple new project requests (DOD, USCG, NPS)• If you have a need for assistance now would be a good

time to ask

– Why Is It Important?No legislative mandate to provide UESC project detailsFEMP collects project-level data on a voluntary basis from both utilities and agency partners

To demonstrate growth and viability of UESC’s as a major financing VehicleIncrease the Government’s understanding of the investments required to meet energy efficiency goals

Not all projects are reported, or full details not available. Numbers are conservative

PLEASE HELP US IMPROVE OUR DATA!

UESC Data Collection

$0

$500

$1,000

$1,500

$2,000

$2,500

Jan-

93

Jan-

94

Jan-

95

Jan-

96

Jan-

97

Jan-

98

Jan-

99

Jan-

00

Jan-

01

Jan-

02

Jan-

03

Jan-

04

Jan-

05

Jan-

06

Jan-

07

Jan-

08

$Mill

ion

Award Date

UESC Project Total Capital InvestmentRate of change over time

Total Capital Investment Private Sector Investment Federal Sector Investment

Notes:Investment is based on projects' capital cost.Data was last edited on 10/30/2008 and is subject to change.

Attendance

Total Attendance: 2462

State and Local2% NGO 2%National Labs

3%

Civilian23%

Defense28%

Private42%

2008 Attendance 2,5002008 Exhibit hall sold out

210 10X10 booths2009 Exhibit hall 60%+- sold outPotential tracks

Project financingContractingSustainabilityEnergy SecurityRenewable EnergyTechnologies

Planning Committee still accepting topic recommendations

Spring FUPWG 2009!May 5-6, 2009

Biloxi, MississippiBeau Rivage Hotel

Hosted by:

*Now Accepting Topic Recommendations*

Random Facts From Draft 2007 Report to Congress

22

Goal-Subject Buildings

32.2%

Other Mobility60.2%

Excluded Facilities3.5%

Fleet Vehicles4.1%

The Federal Government consumes 1.6% of the Nation’s total energy use, or $17.4 billion in annual energy costs The Federal Government consumes 1.6% of the Nation’s total energy use, or $17.4 billion in annual energy costs

Building Energy Cost by Type:*

Electricity = 49%Natural Gas = 33%Fuel Oil = 7%Coal = 5%Other = 5%

Mobility Energy Cost by Type:

Jet Fuel = 65%Navy Special = 14%Diesel = 14% Auto Gas = 7%Other = 1%

*The Federal Government operates over 500,000 facilities (3 billion sq ft)

US Federal Footprint

23

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

Arm

y*

USA

F*

Nav

y*

USP

S

DO

E VA

GSA

DO

J

HH

S

NA

SA

DO

D O

ther

*

DO

I

DH

S

USD

A

DO

L

DO

C

TRSY TV

A

EPA

DO

T

NA

RA

Stat

e

Federal Facility Energy Use by Agency in FY07

80% 20%

billion Btu/yr (FY2007)

Excluded BuildingsGoal Buildings

Data from FY 2007 Energy Management Report with *DOD components proportioned based on 2006 data

24Energy intensity shown does not account for credit received for renewable energy purchases.

Energy Intensity of Goal-Subject Buildings by Agency, FY07

61,153

71,427

73,185

74,011

74,512

89,121

89,270

96,559

97,948

99,671

108,383

110,379

116,150

117,613

150,907

152,870

166,018

199,497

199,593

230,194

239,558

313,512

315,867

0 50,000 100,000 150,000 200,000 250,000 300,000 350,000

TVA

HUD

Interior

USDA

GSA

State

USPS

DOT

DHS

RRB

DOD

DOL

SSA

All Agencies

Archives

DOC

Treasury

NASA

VA

DOE

Justice

HHS

EPA

Btu per Gross Square Foot

250% 3% 6% 9% 12% 15% 18% 21% 24% 27% 30%

RRB

SSA

TVA

VA

DOL

GSA

DOD

Total Gov't

TRSY

USPS

DOE

DOJ

HUD

NASA

ST

USDA

NARA

DHS

HHS

DOT

DOC

DOI

EPA

Age

ncy

FY 2007 Btu/Square Foot Reduction from FY 2003

% Reduction in Btu/Sq.Ft. 2003-2007

Addt'l Reduction w/ RE Purchase& Source Energy Credits

16.2%

63.8%

23.4%

22.3%

21.9%

20.5%19.1%

18.7%

18.2%

17.9%

17.6%

17.3%

17.2

12.1%

11.0%

10.1%

9.4%

8.3%

7.6%

7.4%

6.9%

5.8%

12.4%

Agency Progress Toward Energy Intensity Reduction Goal in FY07

26

History of Renewable Goal Performance 2000 - 2007

0%

1%

2%

3%

4%

5%

6%

7%

8%

2000 2001 2002 2003 2004 2005 2006 2007

Perc

enta

ge o

f Fac

ility

Ele

ctric

ity U

se

On-Site Generation RE Purchases New Renewable Electricity Bonus, From Federal or Indian Land Eligible Old Renewable Electricity Non-Electric Renewable Energy

Goal for 2005, 20062.5%

Goal for 2007- 20093.0%

Goal for 2010- 20125.0%

Goal for 2013 forward7.5%

0.15% 0.26%0.53%

1.60%

2.78%

6.93% 6.90%6.64%

270% 10% 20%

USPS

Justice

SSA

HHS

State

Labor

HUD

Commerce

VA

NASA

TVA

DOT

DHS

RRB

DOE

Treasury

Archives

Total Government

DOD

GSA

USDA

Interior

EPA

Age

ncy

Renewable Electric Energy as a % of Electricity Use

New RE (including Bonus for REfrom Federal or Indian Land)

Eligible Old RE

3.8%

153.5%

18.2%

10.5%

7.8%

5.5%

4.9%

4.7%

4.6%

4.3%

4.0%

4.0%

4.0%

3.4%

3.0%

3.0%

3.0%

2.2%

1.9%

0.7%

0.3%

0.04%

3.5%

3% 5% 7.5%

Agency Progress Toward Renewable Energy Goal in FY07

28

Energy Costs & Efficiency Investment per Square Foot, 2007

$0.00

$1.00

$2.00

$3.00

$4.00

$5.00

$6.00

EPAHHSDOTNASA

Smithso

nian

Treasu

ryCom

merce

State

DOEArch

ives VA

Labo

rSSA

Justi

ceHUDDHS

All Age

ncies GSA

USPSDOD

Interi

orRRBUSDA

TVA

FY07 Energy Costs/Square Foot

FY07 Investment/Square Foot

29

Investment in Facility Energy Efficiency 2003 - 2007

$169 $181$291 $281

$335$122 $54

$92 $70

$139

$429$123

$314$166

$36

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

2003 2004 2005 2006 2007Fiscal Year

Mill

ions

Direct Appropriations UESC ESPC

$271

$505

$666

Estimated Annual Investment Required in Remaining Years of Goal Period to Meet EO/EISA 30% Goal in 2015: $1.1B

(ESPC Hiatus)

$720$640

Contact Information:David McAndrew

David.McAndrew@hq.doe.gov

http://www1.eere.energy.gov/femp/