Using M&V Data to Target High-Potential Opportunities and Program Savings

Lucy Neiman, ERS, for Zondits

The International Energy Program Evaluation Conference (IEPEC) will be held August 7‒10 in Baltimore, MD, with presentations and workshops focusing on the topic “Making Ambitious Reductions Real: Accurate and Actionable Evaluation.” On Thursday, August 10, Amaury De La Cruz of Con Edison and Lucy Neiman of ERS will present a joint paper entitled “Innovative Uses for M&V Data; Focusing the Sales Team,” which describes some novel uses of measurement and verification (M&V) data to target high-potential opportunities for program savings and to improve overall program performance.

With its 2016 rate case filing, Consolidated Edison Company of New York (Con Edison) has committed to significant increases in energy efficiency (EE) and peak demand reduction (DR) goals over 3 years. To meet these increased goals, the company must be more selective in targeting efficiency and peak reduction programs toward market areas and customers representing the greatest potential for savings. As contrasted with traditional market potential studies that follow a broad research-based approach, this paper and presentation will describe a more granular approach to market potential based on a measurement and verification (M&V) study. The method identifies high potential areas and customers for future EE and targeted DR programs and characterizes potential energy savings and demand reductions from program implementation in these areas.

Using demographic and customer profile data collected during M&V site visits for Con Edison’s Brooklyn Queens Demand Management (BQDM) program, the team categorized metered data to predict results and focus the marketing/sales team on high-potential customers and measures. The approach positions M&V as a sales tool, providing quarterly recommendations on customers who are:

  1. More inclined to install efficiency measures based on operating hours or business type
  2. Most likely to deliver energy and demand reductions at peak hours
  3. More likely to participate in programs if offerings are slightly altered, such as incentivizing specialized lighting upgrades for restaurants

Other jurisdictions may benefit from this approach to augment and refine traditional market potential studies and provide programs with detailed information on where and when energy is being used.