South Jersey Gas Home Performance Program Evaluation Overview

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Overview of South Jersey Gas's Home Performance Program presented at the AESP National Conference #AESP18. The program includes energy efficiency initiatives, evaluation findings, regulatory approach, goals, marketing strategies, and evaluation methods. Focus on increasing energy efficiency opportunities, promoting NJCEP offerings, raising awareness of whole-house approach, and enhancing efficient appliances. Marketing efforts include contractor-focused outreach and various engagement strategies. Evaluation involves data analysis, participant interviews, impact analysis, and non-energy benefits assessment regarding Home Performance with Energy Star (HPwES) measures.

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South Jersey Gas Home Performance Program & Evaluation Bruce Grossman, South Jersey Gas Jacqueline Berger, APPRISE AESP NATIONAL CONFERENCE - #AESP18

Presentation Overview SJG Energy Efficiency Programs SJG Home Performance Program Key SJG Home Performance Evaluation Findings Summary and Recommendations AESP NATIONAL CONFERENCE - #AESP18

SJGs Approach Regulatory Partners Must Approve Program & Regulatory Policies Have Significant Impacts Accommodate Potential Health and Safety Issues Design Prudent Financing that Drives Savings & Stimulates Measure Implementation Contractors are Critical for EE Promotion. Contractor Success Means Program Success. AESP NATIONAL CONFERENCE - #AESP18

SJG EE Program Goals Increase energy efficiency opportunities for customers Promote and enhance the use of the NJCEP offerings Raise awareness of the whole house approach to EE Increase awareness of efficient appliances & measures Increase NJ employment in energy efficiency AESP NATIONAL CONFERENCE - #AESP18

SJG Marketing & Participation SJG Outreach & Marketing Contractor Focused Primary source of customer information Surround Sound Digital, print, radio, outdoor Grass roots local community events Presentations rotaries, chambers of commerce, small business associations Test and Learn Approach Shift advertising to what has been successful HPwES Loan Participation 585 321 390 267 640 1,168 Year 2010 2011 2012 2013 2014 2015 2010-2015 3,371 AESP NATIONAL CONFERENCE - #AESP18

SJG Evaluation Overview Program Data Analysis Participant In-Depth Interviews Contractor In-Depth Interviews Usage Impact Analysis Background Research Participant Surveys Non-Energy Benefits AESP NATIONAL CONFERENCE - #AESP18

SJG HPwES Measures Year Number of Jobs Gas Furnace Gas Boiler Central A/C Unit Gas Domestic Hot Water Heater Air Sealing Attic/Floor Insulation Attic/Wall Insulation Basement/Wall Insulation Ceiling Insulation Custom Insulation Custom Safety Measure 2010 585 89% 8% 62% 76% 17% 58% 14% 6% 2% 7% 17% 2011 321 90% 7% 69% 85% 89% 75% 21% 5% 2% 3% 28% 2012 390 92% 6% 77% 87% 99% 76% 19% 6% 1% 5% 27% 2013 267 81% 13% 68% 78% 99% 70% 27% 9% 1% 4% 37% 2014 640 91% 6% 70% 85% 100% 85% 20% 7% 6% 3% 64% 2015 1,168 91% 7% 71% 83% 100% 83% 16% 4% 11% 6% 58% AESP NATIONAL CONFERENCE - #AESP18

SJG HPwES Participation HPwES Primary Installation Reason 100% 90% 80% 70% 60% 49% 50% 40% 30% 19% 20% 9% 6% 10% 4% 4% 0% Old Equipment Reduce Energy Bills Converting to Natural Gas Financing Improve Upgrading Equipment Energy Efficiency AESP NATIONAL CONFERENCE - #AESP18

SJG HPwES Measures Did you install all, most, or some of the measures that were recommended in the assessment? 100% 90% 83% 80% 70% 60% 50% 40% 30% 20% 9% 10% 2% 0% All Most Some AESP NATIONAL CONFERENCE - #AESP18

SJG HPwES Influence Would Have Moved Forward With ALL Energy Efficiency Improvements if the SJG 0% Loan Was Not Available 100% 90% 82% 80% 70% 60% 50% 40% 30% 20% 13% 10% 5% 0% Yes No Don't Know AESP NATIONAL CONFERENCE - #AESP18

SJG HPwES Savings Treatment Matched Comparison Net Savings ccf Savings ccf Savings # # ccf % Pre Post ccf % Pre Post ccf % 318*** 866 118***11.9% 201*** 646 982 664 32.4% 646 984 20.4% Raw Degree Day 194*** -13*** -1.5% 206*** 646 869 675 22.3% 646 859 871 23.8% 184*** -21*** -2.4% 205*** 628 865 680 21.3% 628 869 889 23.7% PRISM AESP NATIONAL CONFERENCE - #AESP18

SJG HPwES Contractor Savings Savings by Contractor 300 250 225 223 221 206 204 195 200 Net Savings (ccf) 144 150 135 100 50 0 A E D B Other F C All Contractor AESP NATIONAL CONFERENCE - #AESP18

SJG HPwES Contractor Savings Treatment Matched Comparison Group Average Project Cost Net Savings Savings ccf 211***23.7% 281 198***23.7% 131***17.6% 205***22.7% 178***20.4% 139***16.0% Savings ccf -14** -6 -3 -16 -45* -5 Contractor Obs Pre Post Obs Pre Post % % ccf % 225*** 204*** 135*** 221*** 223*** 144*** 281 98 50 47 34 20 A B C D E F Other Contractors All 890 834 746 901 872 871 678 637 615 696 694 732 883 806 742 882 875 864 897 812 745 898 920 869 -1.6% -0.7% -0.4% -1.9% -5.1% -0.5% 25.3% $14,756 24.4% $17,697 18.0% $14,839 24.5% $15,743 25.5% $15,698 16.5% $17,190 98 50 47 34 20 184***20.8% 116 195*** 116 887 702 879 890 -11 -1.2% 22.0% $15,595 194***22.3% 646 -13***-1.5% 206*** 646 859 675 859 871 23.8% $15,556 AESP NATIONAL CONFERENCE - #AESP18

SJG HPwES Recommendations Continue contractor outreach Most important information source for participants Assess Energy Finance Solutions loan process improvements Most common participant recommendation Collect data to assess magnitude of health and safety impact AESP NATIONAL CONFERENCE - #AESP18

SJG HPwES Continuation Other Non- Energy Benefits Increased Investments in Energy Efficiency High Natural Gas Savings Continue SJG Programs if Funding is Available AESP NATIONAL CONFERENCE - #AESP18