Entergy Arkansas, Inc. 2015 Home Energy Solutions Program Manual
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Entergy Arkansas, Inc. 2015 Home Energy Solutions Program Manual PREPARED BY: CLEAResult 1 Allied Dr. Suite 1600 Little Rock, AR 72202 Contact: Jeremy Townsend Phone: 501-265-0249 Email: jtownsend@clearesult.com Revision Date: 1/12/2015
TABLE OF CONTENTS PROGRAM OVERVIEW ........................................................................................................... 2 Program Description.......................................................................................................................2 Program Objectives ........................................................................................................................2 Program Contact ............................................................................................................................2 Program Roles & Responsibilities ....................................................................................................2 Program Eligibility ................................................................................................................. 4 Customer Eligibility ........................................................................................................................4 Program Incentives................................................................................................................ 6 Tier 1 and Tier 2 Evaluations ...........................................................................................................6 Contractor Installed Measures ............................................................................................. 10 Non-Cash Benefits ........................................................................................................................ 13 Incentive Basis ............................................................................................................................. 15 Project Coupon Requirements ...................................................................................................... 15 Project Application Process .......................................................................................................... 16 Participation Process ........................................................................................................... 17 Disclaimers .......................................................................................................................... 19 CUSTOMER Frequently Asked Questions (FAQs)................................................................... 20 i
PROGRAM OVERVIEW Program Description The Entergy Arkansas, Inc. portfolio of Home Energy Efficiency Programs includes incentives and energy-saving opportunities Home Energy Solutions Key Concepts for Entergy Arkansas’ residential customers. The Home Energy Solutions (HES) Program (Program) offers many opportunities to participate for owners and renters of homes in Entergy Arkansas’ Market Transformation, Education, service territory. Incentives, Energy Savings, Comfort The Home Energy Solutions Program will help homeowners achieve electricity savings by consulting with participating Home Energy Consultants and contractors. Participating Contractors will help residential customers analyze their energy use, identify energy efficiency improvement projects and install low-cost, energy-saving measures at home. Residential customers will receive incentives for Home Energy Assessments and eligible energy efficiency measures that are installed in their home. Program Objectives Achieve cost-effective electricity savings by working with participating Home Energy Consultants and contractors. Help Entergy Arkansas homeowners understand how efficiently/inefficiently they are using energy, identify opportunities for energy savings specific to their home and prioritize a wide range of energy efficiency measures. Educate residential customers on the following elements so they can begin saving energy and money immediately: o Home energy efficiency opportunities. o Energy and cost-savings measures available for the home. o Access to qualified vendors and installers. o Incentives to pay for energy efficiency opportunities, purchase and installation. o Educate homeowners about professional energy efficiency contractors. Necessary training and certification of contractors capable of providing home energy efficiency services in the market. Development of educational and supporting services for customers and contractors to promote the implementation of energy efficiency measures. Program Contact Energy Efficiency Solutions Center (EESC) 1-877-212-2420 Program Roles & Responsibilities Program Sponsor (Entergy Arkansas, Inc.): Provide customer database to verify the eligibility of Program participants. Provide the customer incentives for the Program. 2
Oversee CLEAResult. CLEAResult: Plan and design the Program. Market the Program to customers and contractors. Approve customer eligibility and enrollment. Recruit, train and mentor participating contractors. Maintain an Energy Efficiency Solutions Center (EESC). Process qualifying Program coupons. Maintain a database of all necessary Program information. Conduct Program quality control and quality assurance activities. Program Participant (Customer): Provide the EESC with the necessary home information (size, age, etc.) and 12 months of utility bill history (if needed) to properly assess savings potential. Use incentives, rebates and coupons within six months of issue date (if applicable). Choose a Participating Contractor from the approved contractor list to install eligible energy efficiency measures in the home. Allow CLEAResult to access the home to verify installed measures (where applicable). Participating Contractor (Contractor): Respond to customer requests for energy efficiency information and services in a professional and timely manner. Perform all energy efficiency work to the required standards of the Program. Participating Home Energy Consultant: Conduct home energy surveys and assessments. Perform all energy efficiency work to the required standards of the Program, including direct installation of energy efficiency measures. Educate customers on energy efficiency upgrades. Refer customers to appropriate Entergy Arkansas energy efficiency programs and participating contractors. Install eligible energy efficiency measures to the required standards of the Program and submit appropriate documentation to CLEAResult with each coupon. Program Changes The Home Energy Solutions Program was developed from the success of the 2007 QuickStart Program. The Program has evolved to include the following changes: The $100/$200 incentive bonus for a tier 2 Assessment after two or more measures are installed has been removed from the program. The initial $150/$300 based on the square footage of the home will remain. 3
PROGRAM ELIGIBILITY Customer Eligibility To participate in the Program, the customer: Must be a residential customer of Entergy Arkansas with a valid account number. Must live in a single-family home or a multifamily unit of four units or fewer (renters and owners eligible). Must live in a home that is a minimum of one year old. Program requires that customers have a central heat and air conditioning (AC) unit installed at the time of the work to be eligible for any measures. Home Energy Consultant (HEC) Eligibility To participate in the Program as an HEC, a contractor must sign the HEC Agreement, attend all required classroom, on-site and in-field training, and meet all qualifications and standards for eligibility listed below. HECs may continue as part of the Program as long as they maintain compliance with all Program requirements, achieve satisfactory customer satisfaction and meet quality assurance and verification standards. To remain an eligible participant in the Program, an HEC must complete a minimum of three (3) coupons per quarter. If, at the end of the quarter, the minimum requirement has not been met, then the company will be removed from the list of eligible contractors on Entergy Arkansas’ website. If, at the end of two (2) consecutive quarters, the minimum requirement has not been met, then the company will be removed from the Program. Follow-up training will be provided as needed to ensure HEC proficiency. Contractors will not be listed as an HEC on the Program’s website until they demonstrate proficiency in the skills required to be an HEC in the Program. Details on the training, tools and performance are listed below: Certification Requirement Certification as either a BPI-BA or a RESNET Home Energy Rater is required. If an HEC, for any reason, no longer employs an individual with the certification, the contractor has 30 days to either: o Employ an individual with the proper certifications o Have a current employee complete the required course(s) to gain certification If no course is offered within the 30-day grace period, this grace period will be extended to the date of the next available course Tools HECs are required to own, use and maintain the following tools (not all tools are required for every evaluation): o Blower door. o Duct blaster. o Combustion safety test tools. o Ladder and assorted hand tools. o Energy modeling software, provided by the Program (see HEC Agreement for further details) 4
HECs are required to adhere to the manufacturer’s calibration requirements included with each tool. Quality Performance An HEC, upon request from CLEAResult and at no additional cost to the customer, will be required to make reasonable repairs or corrections to work that the HEC has performed that does not meet Program standards. The repairs or corrections must be completed within the time frame specified by CLEAResult. HECs that have performed work that is not satisfactory must also agree to take steps to ensure future work will comply with Program standards. Participating Contractor Eligibility Contractors of various trades that meet all Program qualifications and standards (listed below) are eligible to participate in the Program. Contractors may continue as a part of the Program as long as they maintain compliance with all Program requirements, achieve satisfactory customer satisfaction and pass quality control inspections and validations. To remain an eligible participant in the Program, a Participating Contractor must complete a minimum of three (3) coupons per quarter. If, at the end of the quarter, the minimum requirement has not been met, then the company will be removed from the list of eligible contractors on Entergy Arkansas’ website. If, at the end of two (2) consecutive quarters, the minimum requirement has not been met, then the company will be removed from the Program. To participate, contractors must sign Participating Contractor Agreements and attend all required classroom, on-site and in-field training to comply with guidelines set forth in this manual. Follow-up training will be provided as needed to ensure participating contractor proficiency. Contractors will not be listed on the Program’s website as a Participating Contractor until they demonstrate proficiency in the skills required to be a Participating Contractor in the Program. Details on Participating Contractor training, tools and performance are listed below: Certification Requirement Understanding of basic building science principles. By January 1, 2013, all HVAC, duct sealing, and air sealing contractors will be required to have at least one of these certifications: BPI-BA (Building Analyst) or be a RESNET Home Energy Rater. Contractors that install ceiling insulation ONLY can substitute the Attic Prep & Air Sealing certification offered by Pulaski Technical College or the BPI Building Science Principles Certificate of Knowledge. If a Participating Contractor, for any reason, no longer employs an individual with the certification, the contractor has 30 days to either: o Hire an individual with the proper certifications o Have a current employee complete the required course(s) to gain certification If no course is offered within the 30-day grace period, this grace period will be extended to the date of the next available course Tools Participating contractors must own, use and maintain all tools necessary for all energy efficiency measures to be installed to manufacturer specifications. HECs are required to adhere to the manufacturer’s calibration requirements included with each tool. Quality Performance A participating contractor, upon request from CLEAResult and at no additional cost to the customer, will be required to make reasonable repairs or corrections to work that the Contractor has performed that does not meet Program standards. The repairs or corrections must to be completed within the time frame specified by CLEAResult. 5
Participating Contractors that have performed work that is not satisfactory must also agree to take steps to ensure that future work will comply with Program standards. Ensure that future work will comply with Program standards. PROGRAM INCENTIVES Tier 1 and Tier 2 Evaluations Energy Survey (Tier 1) HEC completes a walk-through inspection, identifies eligible direct install opportunities, secures customer’s permission to direct install equipment at time of inspection and produces a written report based on visual inspection. This option gives the customer as much information as possible without the in-depth diagnostic testing provided by the Tier 2 Assessment. Customers do not receive coupons for additional measures after completion of the Energy Survey, but they can contact Participating Contractors to receive them. The HEC can provide customers an option to upgrade to a Tier 2 Assessment, particularly in cases where customers are strong candidates to implement additional energy savings measures under the Program. All customers that meet Program eligibility criteria are qualified to receive the Tier 1 Energy Survey. Energy Assessment (Tier 2) In addition to all of the components of the Tier 1 Survey, HEC also will perform diagnostic testing and provide calculated energy savings including investment payback and a list of prioritized recommendations and will generate any eligible measure coupons. Measure coupons are a cash incentive to help cover the incremental cost of an energy efficiency upgrade. Customers have six months from the date the coupon is issued to have the measure installed and redeem their coupon. The incentive budget for each year under the Program is limited, and rebates and measure coupons will be paid to all eligible and qualifying coupons until the Program ends or the then current incentive budget is exhausted. Therefore, the availability to customers of rebates and/or measure coupons cannot be guaranteed. Tier 2 Assessment Qualification Take the highest summer electric bill in dollars and divide it by the actual conditioned square footage of the home; this will determine the cost per square foot. Then, find where the customer is on the Home Efficiency Meter. If the energy costs are $.10 or more per square foot, the home qualifies for a Tier 2 Assessment. 6
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Home Energy Evaluations Comparison Matrix Tier 2 Measure Tier 1 Survey Assessment Direct Install Devices1 Walk-Through Inspection2 Blower-Door Test3 Duct Blaster Test4 Combustion Safety Education5 Walk-Through Report6 Tier 2 Report7 Program Coupons Issued8 Notes: 1. Direct Install Devices: See “Non-Cash Benefits” (next section). a. 60 Watt equivalent compact fluorescent light bulbs (Up to 6) b. 1.6 gpm low flow showerheads (Up to 1) c. 1.5 gpm faucet aerators d. Pipe insulation – minimum insulation thickness of ¾ inch; six (6) feet e. Water heater wrap f. Smart power strips (1) 2. Walk-Through Inspection: An HEC will conduct a thorough inspection of the home, equipment and appliances, and will interview the homeowner to determine lifestyle and other practices as they pertain to home energy use. Using industry standard energy auditing inspection practices, the HEC will inspect and record the condition of: a. Ceiling, walls, floors, doors, windows, openings, and ventilation i. Ceiling inspection involves gaining access to the attic and determining the type of insulation present, analyzing issues that will degrade the effective R-value of the insulation, and estimating the existing R-value (see BPI R-value chart on back of ceiling insulation coupon). b. HVAC equipment and systems in order to estimate the efficiency of existing HVAC equipment. c. Kitchen and laundry appliances d. Lighting 3. Blower-Door Test: Determine the leakage rate of the home at CFM50 and, where possible, identify the source(s) of the leakage. 4. Duct Blaster Test: Determine he leakage rate of the duct system at CFM25 and, using a pressure pan, identify the source(s) of the leakage. 5. Combustion Safety Education: The HEC will discuss combustion safety issues with the homeowner when relevant. 6. Tier 1 Report: Visual inspections and analysis in addition to providing recommendations and Participating Contractor list. Based on the inspections, the HEC may recommend that the customer upgrade to Tier 2 to be eligible for Program coupons and bonuses for implementing multiple measures. 7. Tier 2 Report: Tier 1 Report plus savings potential and coupons issued based on the testing results. 8. Coupon Issuance: When a customer chooses to have a Tier2 Assessment performed through the Program, the HEC will identify efficiency improvement opportunities within the qualifying measures (see the “Program Incentives” section for detailed information on the measures). The customer will then be provided a coupon (or coupons) for dollars-off savings on the implementation costs of the identified improvements and a list of participating contractors who can offer and accept the incentive coupons. Tier 1 Surveys are not eligible for the issuance of coupons beyond the Survey incentive amount. 8
Home Energy Survey and Assessment Incentives This list describes the incentives and rebates that are available to eligible customers in the Program: Incentive Measure Incentive Details Amount Measure Description Walk-through Survey, direct install devices, visual inspection report (measure coupons may not be Call EESC or contact HEC directly (see $75 deducted from generated at this level). This option gives the customer Tier 1-Survey website contractor list) survey invoice as much information as possible without the in-depth diagnostic testing provided by the Tier 2 Assessment. To qualify for the bonus, the customer $75 sent to If as a result of the Tier 1 Survey, the customer installs must: customer after two or more approved measures within six months of the Tier 1-Survey Complete a Survey verification of survey date, they will receive an additional rebate of up Bonus Install two or more measures (duct installation of 2 or to $75. It is expected that this bonus will cover most, if or air sealing, ceiling insulation, more measures. not all, of the survey cost. A/C or heat pump replacement) Includes: walk-through inspection, direct install devices, ≤750 SQ. ft. $150 diagnostic testing, detailed report featuring visual >750 SQ. ft. $300 inspection results, diagnostic testing analysis; Tier 2- Call EESC or contact HEC directly (see calculation of energy savings including investment Assessment website contractor list) (deducted from assessment payback, prioritization recommendations, and invoice). generation of eligible measure coupons. 9
CONTRACTOR INSTALLED MEASURES This list describes the measure coupons and rebates that are available to eligible customers in the Program (see Measure Standards for full description and requirements): Measure Measure Coupon Details Measure Coupon Amount Measure Description You need insulation in your home to provide resistance Ceiling Insulation In order to determine Up to $.23/SQ Ft to heat flow. The more heat flow resistance the eligibility and receive a deducted from insulation provides, the lower the heating and cooling coupon (choose one): Participating costs. Contractor’s invoice. Complete a Tier 2 Assessment Heat flows naturally from a warmer to a cooler space. In Contact a Participating the winter, this heat flow moves directly from all heated Contractor directly (see living spaces to adjacent unheated attics, garages, website contractor list). basements, and even to the outdoors. Heat flow can also move indirectly through interior ceilings, walls and Incentive value is based on: floors—wherever there is a difference in temperature. Existing R-value During the cooling season, heat flows from the SQ Ft of ceiling insulated outdoors to the interior of a house. To maintain comfort, the heat lost in the winter must be replaced by the heating system and the heat gained in the summer must be removed by the cooling system. Properly insulating the home will decrease this heat flow by providing an effective resistance to the flow of heat. Insulation's resistance to heat flow is measured or rated in terms of its thermal resistance or R-value. In Arkansas, the Department of Energy suggests a ceiling insulation level of R-38. Air leakage, or infiltration, occurs when outside air Air Sealing In order to determine $.20/CFM50 reduction enters a house uncontrollably through cracks and eligibility and receive coupon, deducted from openings. Proper sealing of such cracks and openings customer must choose one: Participating in the home can significantly reduce heating and Contractor’s invoice. Complete a Tier 2 cooling costs, improve building durability, and create a assessment healthier indoor environment. Contact a participating contractor directly (see It is unwise to rely on air leakage for ventilation website contractor list) because it can't be controlled. During cold or windy weather, too much air may enter the house. When it's Incentive value is based on: warmer and less windy, not enough air may enter. Air Difference between Pre- infiltration also can contribute to problems with and Post-blower door moisture control. Moldy and dusty air can enter a leaky @CFM50 whole-house house through such areas as attics or foundations. This leakage rate. air in the house can cause health problems. The recommended strategy in both new and old homes is to reduce air leakage as much as possible and to provide controlled ventilation as needed. Ceiling Insulation To qualify for the bonus Up to $.22/SQ Ft Insulating the ceiling without air sealing first can Upgrade Bundling (complete both): in addition to base degrade the R-value of the insulation. This bonus is Bonus incentive rate, deducted Install the ceiling intended to encourage the two measures be installed from Participating insulation measure together to capture more savings and increase the Contractor’s invoice. Install the air sealing customer benefit. measure 10
The Department of Energy reports that an average of 30 Duct Sealing In order to determine Determined after final percent of a forced air system’s energy can be lost eligibility and receive coupon, leakage rate is known; through leaky ducts. Ducts often run through customer must choose one: deducted from unconditioned space. Air that has been heated or Participating Complete a Tier 2 cooled is lost through holes and leaks in the ductwork, Contractor’s invoice. Assessment lowering efficiency and increasing costs. Contact a participating contractor directly (see There are also health benefits of duct sealing. Fumes website contractor list) from household and garden chemicals, insulation particles, and dust can enter the duct system, Incentive value is based on: aggravating asthma and allergy problems. Sealing Difference between Pre- ducts can help improve indoor air quality by reducing and Post-duct the risk of pollutants entering ducts and circulating pressurization test through the home. @CFM25 duct leakage rate Calculated energy savings Today's best air conditioners use 30–50 percent less A/C Replacement In order to determine Up to $593/unit; energy to produce the same amount of cooling as air eligibility and receive coupon, deducted from conditioners made in the mid-1970s. Even if an air customer must choose one: Participating conditioner is only 10 years old, a customer may save Contractor’s invoice. Complete a Tier 2 20–40 percent on cooling energy costs by replacing it Assessment with a newer, more efficient model. Contact a participating Contractor directly (see Proper sizing and installation are key elements in website contractor list) determining air conditioner efficiency. Too large a unit will not adequately remove humidity. Too small a unit Incentive value is based on: will not be able to attain a comfortable temperature on Tonnage of replacement the hottest days. Improper unit location, lack of appliance insulation, and improper duct installation can greatly SEER of replacement diminish efficiency. appliance Sometimes a contractor may suggest only replacing the outdoor condenser with a modern, high-efficiency unit. It is extremely important that the new condenser is properly matched to the indoor evaporator coil. However, considering recent changes in refrigerants and air conditioning designs, it might be wiser in some circumstances to replace the entire system. Central air conditioners are rated according to their Seasonal Energy Efficiency Ratio (SEER). SEER indicates the relative amount of energy needed to provide a specific cooling output. Many older systems have SEER ratings of 6 or less. The minimum SEER allowed today for an ENERGY STAR unit is 14.5, but customers should consider using air conditioning equipment with higher SEER ratings for greater savings. A/C Bundle Bonus To qualify, customer must 2x A/C replacement See A/C Replacement and Duct Sealing Measures complete both: coupon value; deducted above. from the Participating Install the A/C Contractor’s invoice. replacement measure Install the duct sealing measure Because they move heat rather than generate heat, heat Heat Pump Replacement In order to determine Up to $809/unit; pumps can provide up to 4 times the amount of energy eligibility and receive coupon, deducted from they consume. The most common type of heat pump is 11
customer must choose one: Participating the air-source heat pump, which transfers heat between Contractor’s invoice. the house and outside air. For customers that heat with Complete an assessment electricity, a heat pump can trim the amount of Contact a participating electricity used for heating by as much as 30–40 contractor directly (see percent. High-efficiency heat pumps also dehumidify website contractor list) better than standard heat pumps, resulting in less Incentive value is based on: energy usage and more cooling comfort in summer months. Every residential heat pump sold in this Tonnage of replacement country has an Energy Guide Label, which features the appliance heat pump's heating and cooling efficiency SEER of replacement performance rating, comparing it to other available appliance makes and models. Heating efficiency for air-source electric heat pumps is indicated by the Heating Season Performance Factor (HSPF). ENERGY STAR® air-source electric heat pumps have an HSPF of 8.2 or greater. Cooling efficiency is indicated by the seasonal energy efficiency ratio (SEER). Replacing a 1970s vintage central heat pump (SEER = 6) with a new unit (SEER=12) will cut air-conditioning costs in half. ENERGY STAR air- source electric heat pumps have a SEER of 14.5 or greater. In warmer climates, SEER is more important than HSPF, in colder climates, focus on getting the highest HSPF feasible. Heat Pump Bundle Bonus To qualify, customer must See heat pump replacement and duct ceiling measures complete both: 2x HP replacement above. coupon value; deducted Install the heat pump from the Participating replacement measure Contractor’s invoice. Install the duct sealing measure Replacement Air Handler To determine eligibility and $150/unit deducted from Electronically Commutated Motors (ECMs) offer several with ECM receive coupon, customer contractor’s invoice advantages over the typical single stage (speed) must choose one: motors that are installed in HVAC systems today. Complete a Tier 2 More energy efficient assessment Variable speeds Contact a participating Quieter contractor directly (see website contractor list) Incentive value based on: The savings between a comparable non-ECM equipped system and that of the replacement system with an ECM. Rebate only available when ECM is installed with a full system replacement, retrofits of the fan only are not eligible. 12
Customer Savings Bonus To qualify for the bonus, $200 rebate sent to The Customer Savings Bonus 1 further rewards 1 customer must complete all: customer upon measure customers that have had a Tier 2 Assessment completed verification. Complete a Tier 2 and implemented enough of the recommended assessment measures to achieve significant energy savings. Complete 4 measures including the evaluation Note: If the total amount the customer spends does not exceed the total amount of the incentives received, then any eligible savings bonus will be paid to the primary installing contactor. Please see the Section titled “Incentive Payment Process” for more details. Customer Savings Bonus To qualify for the bonus, $400 rebate sent to Customer Savings Bonus 2 further rewards customers 2 customer must complete all: customer upon measure that have had a Tier 2 Assessment completed and verification. Complete a Tier 2 implemented enough of the recommended measures to assessment achieve significant energy savings. Complete at least 5 measures including the Note: If the total amount the customer spends does not evaluation exceed the total amount of the incentives received, then any eligible savings bonus will be paid to the primary installing contactor. Please see the Section titled “Incentive Payment Process” for more details. Non-Cash Benefits During both the Survey and Assessment, the HEC will install energy-saving devices where appropriate and with customer permission. These devices, valued at up to $125, will instantly save energy and money if properly installed and used and will be installed for free. All evaluation customers are eligible for these devices: Compact Fluorescent Light Bulbs (CFLs), 60 Watt equivalent (up to six). Smart Power Strip (one). Evaluation customers with electric hot water heaters are eligible for these devices: Faucet aerators. Low-flow showerhead (one). Water heater wrap. Water heater pipe insulation. *Note: Actual items installed may differ from the images below 13
Compact Fluorescent Light Bulbs (CFLs) A qualified Compact Fluorescent Light bulb (CFL) will save about $30 over its lifetime and will normally pay for itself in about six months. CFLs produce light differently than incandescent bulbs. In an incandescent, an electric current runs through a wire filament and heats the filament until it starts to glow. In a CFL, an electric current is driven through a tube containing gas. This generates invisible ultraviolet light that excites a fluorescent coating (called phosphor) on the inside of the tube, which then emits visible light. CFLs use about 75 percent less energy than incandescent bulbs. A CFL ballast helps "kick start" the CFL and then regulates the current once the electricity starts flowing. Older CFLs used large and heavy magnetic ballasts that sometimes caused a buzzing noise. Most CFLs now use electronic ballasts, which do not buzz or hum. CFLs contain extremely low levels of toxic substances and must be disposed of in a responsible manner. Most big box home improvement stores, and some other merchants, offer this disposal service free of charge. Low-Flow Showerheads In an average home, the shower accounts for about 22 percent of total water use. For maximum water efficiency, a showerhead with a flow rate of less than 2.5 GPM should be used. Before 1992, showerheads had flow rates of as high as 5.5 GPM. Therefore fixtures that pre-date 1992 use much more hot water than more modern models. Aerators Similar to the savings you get with low-flow showerheads; low-flow aerators reduce the amount of water used in older faucets. Pipe Insulation Pipe insulation retains heat in pipes. The first six feet of pipe coming out of a hot water heater allow heat to escape. Insulating this critical section will help save heat and energy used by the hot water heater. Electric Water Heater Wrap 14
With any water heating system that requires a storage tank, some of the heated water will be unused. And this unused water will eventually require reheating for future use. This costly energy waste is referred to as standby heat loss, and it can account for up to 20 percent of your total water heating costs. The majority of heat loss occurs through the steel walls of the tank as well as the hot water pipes. With systems that use storage tanks, avoiding or eliminating all standby heat loss is all but impossible. However, the additional insulation provided from a hot water heater blanket can significantly reduce standby heat loss. If adding a wrap conflicts with the manufacturer’s warranty the HEC will not be permitted to install it. Smart Power Strip Reduce plug-load energy use by replacing standard power strips with smart strips. A smart strip has the ability to disconnect specific switched outlets automatically by monitoring the power draw of a control load plugged into the same strip. All appliances plugged into the switched outlets can be turned off when the power draw of the control load is reduced below a certain adjustable threshold. By turning off such appliances completely, the standby plug- loads of all controlled devices can be eliminated, resulting in energy savings. Incentive Basis Arkansas Deemed Savings are used to determine energy savings for the Program. Deemed savings are standardized savings values or simple formulas for a range of measures in representative building types. This approach is suitable for a variety of projects where energy savings may be estimated to a reasonable degree of accuracy without additional Measurement and Verification (M&V). Variables such as operating hours and energy consumption of existing equipment are assumed in these cases according to previously gathered field data. Project Coupon Requirements The Participating Contractor is responsible for meeting all of the submission requirements for an eligible coupon/rebate to be processed and paid. A coupon is deemed eligible if it is: o Complete, containing all indicated signatures and other necessary information. o Legible. o Submitted prior to its expiration date. o Submitted with a verified Entergy Arkansas account number. o Submitted with all necessary accompanying documents. 15
Project Coupon Process Upon receipt of a signed coupon, the Program Implementer will review the coupon for completeness and eligibility, and then process the coupon for distribution to the Participating Contractor. If oversubscription to the program should occur, Contractors will be placed on a waiting list in the order that the project coupons were received. Contractors on the waiting list may be able to reserve incentive funding for the current program year if projects are cancelled and funds become available. Otherwise, they may be eligible to reserve funding through the next program year. Cash incentives are subject to availability and incentives are offered on a first come, first served basis with no guarantee of availability to all customers. Coupons for incentives must be sent within 60 days of the measure completion date. Incentive Payment Process Contractor Overview Incentives are paid to the Contractor and represented as a discount on the final invoice presented to customers. The Program Implementer requires that coupons are submitted within 60 days of work completion. The Program Implementer will make all possible efforts to reimburse the contractor as soon as the completed coupon is received. If coupons are received after 60 days, service providers are required to contact the Program Implementer to request a waiver due to their late submission. Program Management will make the final decision whether to accept or deny late submissions. Contractors are encouraged to submit their coupons as soon as possible to shorten processing time and to be sensitive of funding forecasting which may determine the availability of program incentive funds. The Program Implementer will make all possible communication to service providers if incentive amounts change or if the program is ending before the official ending date. Notice will be given at least 10 days before any changes are made. Coupons and Rebates Participating contractors are responsible for meeting all of the submission requirements for an eligible coupon/rebate to be processed and paid. A coupon is deemed eligible if it is: o Complete, containing all indicated signatures and other necessary information. o Legible. o Submitted prior to its expiration date and within 60 days of work completion. o Submitted with a verified Entergy Arkansas account number. o Submitted with all necessary accompanying documents. A rebate is deemed eligible if it is determined by CLEAResult that all qualifications have been met for a specific bonus. The total of the incentives paid to the customer cannot exceed the overall amount of the measure(s) paid by the customer. o If the total amount the customer spends does not exceed the total amount of the incentives received, then any eligible savings bonus will be paid to the primary installing contactor. 16
CLEAResult will make every effort to pay qualified coupons to the contractor within 30 days of submittal, assuming the submission requirements are found to have been met (as detailed above). CLEAResult will make every effort to pay qualified rebates and bonuses (to contractor or customer) within 60 days of submittal or eligibility. Limits on Participation Once the budget for a Program year is expended, a waiting list will be established for Program participation in the following Program year. At present, it is anticipated that there will be no waiting list for 2015 or beyond, because the Program is scheduled to terminate at the end of 2014. PARTICIPATION PROCESS Overall Program Process Customers can receive information regarding the Program three different ways: 1. Call the Energy Efficiency Solutions Center (EESC), 2. Visit Entergy’s website, or 3. Talk with their local Participating Contractor who can identify opportunities for energy efficiency upgrades in the home and issue coupons. 17
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DISCLAIMERS Entergy Arkansas, Inc. and/or CLEAResult The selection of a Participating Contractor to perform work is the sole decision of the property owner, customer, and/or authorized lessee/occupant. Inclusion of a contractor in the Participating Contractor list for the Program does not constitute an endorsement by Entergy Arkansas, Inc., or CLEAResult of any product, individual, or company. Work performed by participating contractors is not guaranteed or subject to any representation or warranty, either expressed or implied or otherwise, by either Entergy Arkansas, Inc. or CLEAResult. Neither Entergy Arkansas, Inc. nor CLEAResult makes any guarantee or any other representation or warranty, expressed or implied or otherwise, as to the quality, cost, or effectiveness of any product(s) provided or work(s) performed by any Participating Contractor or by any such Participating Contractor’s employees, subcontractors or suppliers. Energy efficiency gains are subject to a number of variable conditions and circumstances. While it is not the intent of the Program to achieve energy efficiencies, Entergy Arkansas, Inc. nor CLEAResult guarantees or warrants that any specific energy efficiency gains will be achieved for a particular customer under the Program. Participating Contractors Each Participating Contractor shall, to the fullest extent allowed by applicable law, indemnify, protect and hold harmless CLEAResult, Entergy Arkansas, Inc., their affiliates, their contractors and each of their officers, directors, control persons, employees, agents and representatives (all of the foregoing being herein referred to, individually and collectively, as the “Indemnities”) from and against any and all losses, damages, claims, liabilities, costs and expenses (including attorney’s fees) that may be imposed on, incurred by, or asserted against the Indemnities or any of them by any party or parties (including, without limitation, a governmental entity), caused by, arising from, relating to or in connection with, in whole or in part, directly or indirectly: (a) such Participating Contractor’s breach of any provision of this Agreement (b) such Participating Contractor’s act or omission that results directly or indirectly in any property damage, personal injury or death in connection with the performance of any work by such Participating Contractor, (c) any violation of law by such Participating Contractor or (d) the treatment, storage, disposal, handling, transportation, release, spillage or leakage by such Participating Contractor of any hazardous substance in any form. THIS INDEMNITY SHALL APPLY EVEN IN THE EVENT OF THE CONCURRENT NEGLIGENCE, ACTIVE OR PASSIVE, OF ANY OR ALL INDEMNITEES. Indemnities, respectively, at their option exercisable by written notice to such Participating Contractor, may require such Participating Contractor to defend any or all suits or claims concerning the foregoing. 19
CUSTOMER FREQUENTLY ASKED QUESTIONS (FAQS) Q. Why Do I Need an Energy Evaluation (Survey or Assessment)? A. There is a long list of potential benefits including: Saving money on your energy bills. Increasing your comfort. Identifying which program measures will benefit your home the most. Increasing your home’s resale value. Improving your home’s marketability. Uncovering hidden problems. Improving the environment. Taking advantage of available incentives. Receiving a return on energy efficiency investments. Q. Why is a Tier 2 Assessment Better than a Tier 1 Survey? A. Tier 2 includes diagnostic testing and modeling of issues specific to your home as well as providing measure coupons. With this information, more accurate savings calculations and recommendations for improvements can be made, and your HEC can determine the correct order in which to install the measures. A Tier 1 Survey can only provide information based on a visual inspection, and coupons cannot be generated. You also will not be eligible to receive savings bonuses for installed measures. Q. Why Must I Call the EESC First? Can’t I Just Call my Contractor? A. You may go directly through your contractor provided they are on our list of participating contractors. If your contractor is not on the list, encourage them to call us to discuss how they may become a Participating Contractor. If you choose to go directly through your contractor, you will miss out on getting a Survey or Assessment and the associated rebates as well as the direct install devices that go with them. Q. What Can I Do to Prepare for my Survey or Assessment? A. Make a list of any existing problems such as condensation and uncomfortable or drafty rooms. Have copies or a summary of the home's yearly energy bills. (You can call Entergy Arkansas at 1-800-ENTERGY (368-3749) or sign in to MyAccount on Entergy Arkansas’ website to request these documents.) HECs use this information to establish what to look for during the evaluation. The HEC first examines the outside of the home to determine the size of the house and its features (e.g., wall area, number and size of windows). The HEC will then analyze the residents' behavior: Is anyone home during working hours? What is the average thermostat setting for summer and winter? How many occupants are in the home? Is every room in use? Do any occupants have allergy problems? Are there any moisture or mold problems in the home? 20
Your answers may help uncover some simple ways to reduce your household's energy consumption. Walk through your home with the HECs as they work, and ask questions. Q. Who is Eligible for the Program? A. The Home Energy Solutions Program is offered to all qualifying Entergy Arkansas residential customers, assuming they meet the following requirements: 1. They are a residential customer of Entergy Arkansas with a valid account number, 2. They live in a single-family home or a multifamily unit of four units or fewer (renters and owners eligible), 3. They live in a home that is a minimum of one year old (Home Energy Consultant [HEC] Eligibility), and 4. Program requires that customers have central heat and air conditioning (AC) to be eligible for any measures Q. What Does the Program Cost? A. The participants (customers and participating contractors) pay nothing for the Program support. Entergy Arkansas provides all Program support, and the financial investment(s) any participant makes are for the Survey or Assessment and for energy efficiency measures (other than those provided free of charge) installed in their own homes. Q. Who Decides What Energy efficiency Technologies to Install and Who Installs Them? A. The customers are the sole determinant for what energy efficiency measures they decide to implement and how they are implemented. Customers should note the incentive coupons cannot be used with contractors who are not participants with the program. Q. How can a Contractor Become a Program Participant? A. Contractors who would like to become participating contractors may call the Program at 501-265-0249. 21
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