IEA Implementing Agreement

IEA Implementing Agreement

Demand-Side Management

Technologies and Programmes

THIRTY FOURTH

EXECUTIVE COMMITTEE

MEETING

PRE–MEETING

DOCUMENT (PMD)

21 – 23 October, 2009

Chester, United Kingdom

Thirty Fourth Executive Committee Meeting

21 – 23 October, 2009, Chester, United Kingdom

INDEX

DOCUMENT

PAGE

CURRENT TASKS – LOAD SHAPE CLUSTER

*to be distributed separately

MATTERS FOR THE EXECUTIVE COMMITTEE

EXTENSIONS OF WORK AND NEW WORK

• Motivation for the proposed work (what issues does it tackle?) what is it trying to achieve? Who is the

• Objectives;
• Approach to accomplishing the proposed work;
• Deliverables – (what will be delivered? What will you do with it to get it adopted?)
• Dissemination plan – what will need to be done to get the results adopted? Who will do it?
• Required resources

1. Decide to initiate the new Task based on work done to date.
2. Decide to initiate the Task Definition for a new Task. Interested countries must be prepared to assign the appropriate expert(s) to participate in that process.
3. Decide that additional work is needed on the concept paper. Interested countries must be prepared themselves, or to assign the appropriate Experts to help further develop the concept.
4. Decide to pursue the subject in co-operation with other parties within the IEA or elsewhere
5. Rejection (or moth-balling)

Concept paper: Energy Efficiency Portfolio Standards – Document B

Discuss the issues, give guidance for the process and decide to initiate the Task Definition for a new Task (Decision Type 2)

Concept paper: Standardisation of Energy Savings Calculations - Attachment F

Discuss the issues, give guidance for the process and to decide to initiate the Task Definition for a new Task (Decision Type 2)

Task XVII - Integration of Demand Side Management, Distributed Generation, Renewable Energy Sources and Energy Storages – Task Status Report – Document C

Approve the Task Status Report, declare Phase 2 of the Task to be put in force with the revised Task extension plan, including the additional module proposed by Australia (Version 3.0 of the Task extension).

Task XIX - Micro Demand Response and Energy Saving, Task Status Report

Document D

Approve the Task Status Report

Task XVI – Competitive Energy Services – Task Status Report – Document E

Approve the Task Status Report

Task XVIII – DSM and Climate Change, Task Status Report, Document F

Approve the Task Status Report

Task XXI – Standardisation of Energy Savings Calculations – Task Status Report- Document G

Approve the Task Status Report

Task XX - Branding of Energy Efficiency – Document H

Approve the Task Status Report, declare Task XX to be in force and elicit further support for the Task.

Programme Visibility Report – Document I

Approve the Programme Visibility Report

Future of the DSM Programme – Document J

At the 33rd meeting the DSM ExCo brainstormed over problems and possible solutions to enhance the future work of the DSM-Programme. Based on observations and a SWOT-analysis some suggestions were made on the issues of:

1. Project Guidance

2. Communication Development

3. Dissemination and knowledge management

This Paper is submitted to the IEA DSM IA EXCO meeting in Chester with a request for the EXCO to:

Discuss the issues and to give guidance for the future process.

Financial Report 2009 and proposed Budget 2010 – Document K – Attachment D

Approve the Financial Report 2009 and approve the proposed Budget 2010

Handling of the DSM account and finances – Document L

To be distributed later

DOCUMENT A

IEA Demand-Side Management Programme Thirty Fourth Executive Committee Meeting

21 – 23 October, 2009, Chester, United Kingdom

AGENDA

Wednesday 21 October, 2009

13:00 – 18:00WORKSHOP:

18:00 – 20:00OPERATING AGENTS MEETING

Thursday 22 October 2009

09:00-11:30

1. GENERAL BUSINESS/WELCOME

1a.Welcome – Hans Nilsson

1b.ExCo approval of the AgendaDOC A

1c.ExCo approval of the Thirty ATT A

Third ExCo meeting Minutes

1d.Status of the Implementing Agreement

1e.IEA Relations

- Secretariat newsATT E

- Contacts with possible sponsors

(Eurelectric, Edison Electric Institute,

ICLEI, NDRC, RAP The Regulatory

Assistance Project), Hans Nilsson

- IA relations

Storage, 4E

1f. -External contacts

1g. Operating Agent meeting report

12:00 – 13:00Lunch

• Motivation for the proposed work (what issues does it tackle?) what is it trying to achieve? Who is the target audience?;
• Objectives;
• Approach to accomplishing the proposed work;
• Deliverables – (what will be delivered? What will you do with it to get it adopted?)
• Dissemination plan – what will need to be done to get the results adopted? Who will do it?
• Required resources

1. Decide to initiate the new Task based on work done to date.
2. Decide to initiate the Task Definition for a new Task. Interested countries must be prepared to assign the appropriate expert(s) to participate in that process.
3. Decide that additional work is needed on the concept paper. Interested countries must be prepared themselves, or to assign the appropriate Experts to help further develop the concept.
4. Decide to pursue the subject in co-operation with other parties within the IEA or elsewhere
5. Rejection (or moth-balling)

13:00 – after lunch 2.EXTENSION OF WORK AND NEW WORK

2a.Energy Efficiency Portfolio StandardsDOC B

Balawant Joshi, ABPSInfra, India

2b.Standardization of the calculations of the additional ATT F

effects induced by DSM on the global energy efficiency,

via Electric Systems – A concept paper

Carmen Rodriguez, Susanan Banares, Red Electrica, Spain

14:30 – 15:00Coffee break

15:00 –3. CURRENT TASKS – LOAD SHAPE CLUSTER

after coffee break

3a. Task XVII –Integration of DSM with other

Distributed Energy Resources – Phase 2 DOC C

Seppo Kärkkäinen, VTT, Finland

3b.Task XIX – Micro Demand Response and Energy Saving, DOC D

Task Status Report – Linda Hull, EA Technology,

United Kingdom

4.CURRENT TASKS – LOAD LEVEL CLUSTER

4a. Task XVI – Competitive Energy Services- Task Status Report DOC E

– Jan W. Bleyl; Graz Energy Agency

4b.Task XVIII – DSM and Climate Change, Task Status ReportDOC F

David Crossley, Energy Futures Australia, Australia

4c.Task XXI – Standardisation of Energy Efficiency CalculationsDOC G Task Status Report – Harry Vreuls, SenterNovem, Netherlands

4d.Task XX – Branding of Energy Efficiency Services, DOC H

Task Status Report, Balawant Joshi, ABPSInfra, India

18.00ADJOURN

19:30Hosted dinner

Friday 23rd October, 2009

08:305.PROGRAMME VISIBILITY

5a.Programme Visibility ReportDOC I

Paul Davidson

10:00 – 10:30Coffee break

After coffee break

1. FUTURE OF THE DSM PROGRAMME –DOC J

Presentation on results from workshop in Vienna and suggestions for improvements

1. Project Guidance

2. Communication Development

3. Dissemination and knowledge management

Rob Kool and Hans Nilsson

12:00 – 13:00Lunch

13:00 – after lunch7.ADMINISTRATIVE MATTERS

7a.Financial Report 2009 and proposed budget 2010DOC K

Rob KoolandATT D

7b. Status of Common Fund payments – Rob KoolDOC K

7c.Proposal: Handling of DSM account and financesDOC L *

Hans Nilsson and Rob Kool

7d.ExCo approval of plans for the Thirty Fifth ExCo meeting

7e.Plans for the Thirty Sixth ExCo meeting

7f.Other issues

ADJOURN

*To be distributed later

APPENDIX TO THE AGENDA

Concept and Task Definition Papers.[1]

Before a new Task is starting the concept has to be defined and presented in order to attain the interest of possible participants.

Concept and Task Definition paper checklist

The draft Concept Paper should present the motivation, objectives, approach, and expectations/results of the proposed Task and explain the relationship of the proposed new work to the Executive Committee’s strategic plan and/or other IEA programmes or policy statements. Overlap with other Implementing Agreements has to be checked. The proposing (Executive Committee) member will identify a Task Organiser and is encouraged to bring that person to the meeting where the draft Task Concept Paper is to be discussed.

An experts meeting should define the work in details and terms of work plan, resources and dissemination

1

PHASE 1: IDENTIFY NEW ACTIVITIES

1

Resulting in a CONCEPT PAPER (2-5 pages) containing

CMotivation

1

CObjectives

1

CApproach

1

CExpectations/Results

PHASE 2: DEFINE NEW ACTIVITIES

1

Requiring an EXPERTS MEETING to propose

1

CTask Work Plan

Resource needs: Task or cost sharing

1

CDissemination, Task Information Plan

1

CONTENTS OF PROPOSAL FOR NEW WORK.

The document that will propose the new work to the ExCo could be organised and have the contents as follows:

1. Background and motivation
2. Objectives
3. Issues for the new work (scope)
4. Structure (sub-tasks)
5. Management (responsibilities of the Operating Agent, Sub-task leaders and Experts)
6. Deliverables (for whom, target groups)
7. Time Schedule and milestones
8. Funding and Commitments (Resources needed)
9. Meetings plan
10. Information activities
11. Co-operation with other Ias, the Secretariat and other interested parties
12. Country contributions to funding and tasks

Annexes: Detailed description of sub-task

Ad Agenda 2a (34th meeting of the IEA DSM-Programme)

DOCUMENT B

Energy Efficiency Portfolio Standards

Concept paper

This Concept Paper is submitted to the IEA DSM IA EXCO meeting in Chester with a request for the EXCO to:

Discuss the issues, give guidance for the process and to decide to initiate the Task Definition for a new Task. (Decision Type 2)

______

International Energy Agency

Implementing Agreement on Technologies

and Programmes for Demand Side Management

______

Proposed Task

Energy Efficiency Portfolio Standards

Concept Note

From ExCo meeting in Vienna, Austria, April, 2009

Prepared by:

Balawant Joshi

Director

ABPS Infrastructure Private Limited

703/704, The Avenue,

Opp The Leela, Intl Airport Road

Andheri (East), Mumbai – 400 059

India

Ph: +91 22 2825 0050

Fax: +91 22 2825 0051

Email:

Background

Energy Efficiency is continually being acknowledged as an important tool to address the issue of climate change by reduction in greenhouse gases (GHG) emissions. The fourth assessment report of IPCC Working Group III on Mitigation of Climate Change identified lowering of the energy intensity of economic activity through increases in the efficiency of vehicles, buildings, appliances, and industrial processes as one of the three pillars of mitigation strategies. The report assesses global potential to reduce approximately 29% of the projected baseline emissions by 2020. This can be cost-effectively achieved in the residential and commercial sectors by improving energy efficiency in new and existing buildings (IPCC 2007).

As a result, many countries have set policy targets for reducing emissions and have identified energy efficiency as one of the measures along with coordinated efforts to secure funding arrangement for these programmes. In 2008, the European Commission set a policy target of "20 20 by 2020". The policy sets the target reduction of at least 20% in (GHG) by 2020. Energy efficiency is identified as one of the key pillar in achieving a 20% reduction in GHG emissions. This objective corresponds to achieving approximately 1.5% of real energy savings per year up to 2020. If the policy is successful, this would mean that by 2020, the EU would use approximately 13% less energy than today, saving EUR 100 billion and around 780 million tonnes of CO2 each year, which is around 20% of the current emissions.

Most recently, President Barack Obama of the USA, in his Economic Stimulus Package to boost the US economy has announced a major investment plan centred on creation of new energy infrastructure and more energy efficient buildings. He urged Congress to support a raft of measures that includes a commitment to improve the energy efficiency of 75% of federal buildings and two million homes. The proposed investment plan envisages pumping of funds for implementing energy efficiency measures, tax incentives to boost energy efficiency development, and improvement of energy performance of public housing among others. In the US, it is estimated that up to 20% of the nation’s energy demand, or about half of the expected demand growth could be met through energy efficiency measures (EPA 2006).

Motivation

To achieve these targets for energy efficiency, the countries have introduced various policies and programmes targeting different sectors such as appliances, buildings, industries, etc. These policies include wide range of instruments such as regulatory directives, voluntary agreements, incentives or subsidies, financing options, education and outreach, etc. For instance, in India, various efforts like Energy Conservation Act, Comprehensive Standards and Labelling Program for Appliances, National level Agricultural & Municipal Demand Side Management Programmes, National level Certification program for Energy Auditors and Energy Managers through Examination, Energy Conservation Awards, Energy Conservation Building Code and National Action Plan on Climate Change have been initiated by the Government. Several State Electricity Regulatory Commissions have also expressed their commitment to the cause of energy efficiency, energy conservation and demand side management and have undertaken several measures to encourage consumers to reduce their demand during certain periods through tariff proclamations such as load management charge and power factor rebate and incentives and time of day tariff. However, these are being implemented through varied channels and collective impact of these measures is not known.

Similarly, in many other countries, such programmes have evolved over a period of time to cater to needs as and when these arise. As a result, these programmes tend to have their own objectives and implementation mechanisms. While a number of these programmes have been successful in realising their objectives, in the absence of unified approach, their full potential is often not realised. Further, as these programmes respond to their own incentive mechanisms and subsequently adhere to their own monitoring and verification protocols, it is difficult to quantify total energy efficiency savings, which is crucial from the Government’s perspective. In order to overcome the existing barriers for energy efficiency programmes and realise its true potential, it is important that a coherent approach that encompasses all the efforts to implement these measures, is undertaken.

Similar problems were faced by the renewable energy sector in 1980’s when plethora of instruments were used to promote various renewable energy technologies. At times, these incentives created unintended and undesirable consequences. However, over the last two decades, several of these measures have been dropped. Today, ‘Feed-in Tariff’ and ‘Renewable Portfolio Standard’ are the two most widely used instruments for promotion of renewable energy across the world. While ‘Feed-in Tariff’ provides fixed tariff for electricity generation from a particular renewable energy technology, ‘Renewable Portfolio Standard’ (RPS) is a market based instrument, which promotes renewable energy generation from the most economical sources of generation.

Taking lead from the concept of RPS, several States in the United States of America (USA) and a few European countries have adopted Energy Efficiency Portfolio Standards (EEPS) like programmes as a part of their efforts to mobilise energy efficiency improvements. These programmes provide a market based instrument to utilities to achieve defined target for energy savings.

While these programmes have gained momentum in the recent past, wide differences exists in their design and implementation. As a result, these programmes have also met with varying degree of success. Further, there exists tremendous potential for implementation of such programmes in many participating countries. However, it is necessary to study and analyse implementations of EEPS like programmes and develop Best Practices Guide for Design, Development, Implementation and Monitoring of EEPS like programmes.

Objective

The primary objective of this task is ‘Development of Best Practices Guide for Design, Development, Implementation and Monitoring of Energy Efficiency Portfolio Standards’

Approach

The task is proposed to be divided into six sub-tasks as defined below:

Sub Task I:Analysis of various approaches to promote EE and their relative efficacy

Sub Task II: Development of best practices in design of EEPS

Sub Task III: Inter-linkage between various schemes

Sub Task IV: Best practices for monitoring and verification

Sub Task V: Review of implementation mechanism of EEPS

Sub Task VI: Communication and Outreach