IEA Implementing Agreement

IEA Implementing Agreement Demand-Side Management Technologies and Programmes

THIRTY SECOND EXECUTIVE COMMITTEE MEETING

PRE–MEETING DOCUMENT (PMD)

22- 24 October, 2008 Milan, Italy

1 Thirty Second Executive Committee Meeting 22 – 24 October, 2008, Milan, Italy

INDEX DOCUMENT PAGE GENERAL BUSINESS/WELCOME - Matters for the Executive Committee 3 - 5 Agenda DOCUMENT A 6 - 13 Minutes from the Thirty First Executive Committee meeting ATTACHMENT - A EXTENSION OF WORK AND NEW WORK Standardisation of Energy Efficiency Calculations DOCUMENT B 14 - 27 Branding of Energy Efficiency Services DOCUMENT C 28 - 35 Micro Demand Response and Energy Saving DOCUMENT D 36 - 53 Utility Carbon Offset Toolkit DOCUMENT E 54 - 57 CURRENT TASKS – LOAD SHAPE CLUSTER Task XVII – Integration of Demand Side Management, Distributed DOCUMENT F 58 - 64 Generation, Renewable Energy Sources and Energy Storages Task XV – Network Driven DSM DOCUMENT G 65 - 71 CURRENT TASKS – LOAD LEVEL CLUSTER Task XVI – Competitive Energy Services – Task Status Report DOCUMENT H 72 - 93 Task XVIII – DSM and Climate Change DOCUMENT I 94 - 105 PROGRAMME VISIBILITY DOCUMENT K 106 - 109 Programme Visibility Report FUTURE OF THE DSM PROGRAMME – SPECIAL SESSION ADMINISTRATIVE MATTERS 2008 Financial Report and proposed Budget 2009 DOCUMENT L 110 - 114 Status of Common Fund payments DOCUMENT N - Election of Chairman 115

ATTACHMENTS

Minutes from Thirty First ExCo meeting, New Delhi, India A 116 - 136 Executive Committee and Operating Agent participant lists B 137 - 147 Glossary C 148 - 149 Task XVI Mid Term Evaluation D Pdf addition Status of the Common Fund Account – Millers Report E -pdf addition

2 MATTERS FOR THE EXECUTIVE COMMITTEE

EXTENSIONS OF WORK AND NEW WORK

The delegates are URGED to prepare their responses to these presentations carefully and primarily by contacting the possible stakeholders before the meeting. The format for these proposed New Tasks will be a brief presentation that focuses on the:  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

The proposed New Tasks discussion will aim at one of the following decisions: 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)

SEE APPENDIX TO THE AGENDA

Standardisation of Energy Efficiency Calculations

The concept paper is submitted to the IEA DSM ExCo meeting in Milan with a request for the ExCo to:

Decide to initiate the new Task as Task XXI and invite countries to participate

Branding of Energy Efficiency

Assess the participation and to declare the Task to be put into force

3 Micro Demand Response and Energy Saving

Utility Carbon Offset Toolkit

The document is submitted to the IEA DSM ExCo meeting in Milan with a request for the ExCo to:

Discuss the issues, give guidance for the process and 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

The Task Status Report is submitted to the IEA DSM ExCo meeting with a request for the ExCo to:

Approve the Task Status Report Decide that the Final Report should be made public Decide to extend the Task according to a report that will be made available before the meeting

Task XV - Network Driven DSM – Task Status Report

The Task Status Report is submitted to the IEA DSM ExCo meeting in Milan with a request for the ExCo to:

Approve the distribution of the Task XV Research Report no5: The Role of Load Control and Smart Metering in Supporting Electricity Networks.

Task XVI - Competitive Energy Services – Task Status Report

Approve the Task Status Report Discuss and decide upon an extension as proposed for a period of 3 years starting July 2009 and ending in June 2012.

Task XVIII – DSM and Climate Change

Approve the Task Status Report Note that the shortfall of the Australian contribution will be covered and not affect the other participating countries 4 Programme Visibility

The report is submitted to the IEA DSM ExCo meeting in Milan with a request for the ExCo to:

Approve the Status Report Give feed-back on the issues

2008 Financial Report and proposed Budget 2009

The report is submitted to the IEA DSM ExCo meeting in Milan with a request for the ExCo to:

Approve the Financial Report for 2008 Approve the proposed Budget for 2009

Election of Chairman

5 IEA Demand-Side Management Programme Thirty Second Executive Committee Meeting 22 – 24 October, 2008, Milan, Italy AGENDA

Wednesday 22nd October, 2008 09:00 – 17:00

WORKSHOP: “White Certificates: the Italian experiences gained in Regulation, Monitoring & Verification and Electricity Market contexts” CESI Ricerca, Milan, Italy

18:00 – 20:00 OPERATING AGENTS MEETING

Thursday 23rd October, 2008 09:00-11:30 (incl 30 min coffee break) 1. GENERAL BUSINESS/WELCOME

1a. Welcome – Hans Nilsson 1b. ExCo approval of the Agenda DOC A 1c. ExCo approval of the Thirty ATT A First ExCo meeting Minutes 1d. Status of the Implementing Agreement 1e. IEA Relations - Secretariat news - Contacts with possible sponsors (Eurelectric, Edison Electric INSTITUTE, Schneider), Hans Nilsson - NEET activities (Russia) Paul Davidson - Meetings and workshops (CERT); Hans Nilsson, - IA relations 1f - External contacts - Other contacts with NMC (UAE, China)

1g. Operating Agent meeting report

1h. Website update Solstice, United Kingdom

6 12:00 – 13:00 Lunch

13:00 -18.00 2. EXTENSION OF WORK AND NEW WORK

The delegates are URGED to prepare their responses to these presentations carefully and primarily by contacting the possible stakeholders before the meeting. The format for these proposed New Tasks will be a brief presentation that focuses on the:  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

The proposed New Tasks discussion will aim at one of the following decisions: 6. Decide to initiate the new Task based on work done to date. 7. 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. 8. 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. 9. Decide to pursue the subject in co-operation with other parties within the IEA or elsewhere 10. Rejection (or moth-balling) SEE APPENDIX TO THE AGENDA

2a. Standardisation of Energy Efficiency Calculations DOC B Harry Vreuls, SenterNovem, Netherlands

2b. Branding of Energy Efficiency Services DOC C Balawant Joshi, India

2c. Micro Demand Response and Energy Saving DOC D Barry Watson, EA Technology, United Kingdom

14:30 – 15:00 Coffee break

15:00 – 16:00 2d. Utility Carbon Offset Toolkit DOC E Pete Scarpelli, RETX, A business unit of Schneider, United States

2e. Smart Systems ( Meters, communications, appliances, etc) Presentation of Scoping paper

7 16:00 – 17:00 3. CURRENT TASKS – LOAD SHAPE CLUSTER

3a. Task XVII –Integration of DSM with other Distributed Energy Resources -Task Status Report DOC G Seppo Kärkkäinen, VTT, Finland

3b. Task XV – Network Driven DSM Task Status Report– David Crossley DOC H

17:00 – 18:00 4. CURRENT TASKS – LOAD LEVEL CLUSTER

4a. Task XVI – Competitive Energy Services DOC I Task Status Report – Jan W. Bleyl; Graz Energy Agency

4b. Task XVIII – DSM and Climate Change DOC J David Crossley, Energy Futures Australia, Australia

18.00 ADJOURN

19:30 Hosted dinner

8 Friday 24th October, 2008

08:30 – 09:15 5. PROGRAMME VISIBILITY

5a. Programme Visibility Report DOC K Paul Davidson

09:15 – 12:00 6. FUTURE OF THE DSM PROGRAMME – SPECIAL SESSION Break out sessions

The following sessions are in preparation based on the list in the Delhi Minutes:

a) Item 2(a+b); Sweden Smart systems (Taking into account the Spanish offer to write a scoping paper)

Smart meters (remote response capability) Study smart technologies to advance DSM/EE, including communication technologies. Problem - improved billing and metering with feedback needed; direct load control needed; need communication capabilities for LV systems (for management; need techniques and protocols for information exchange); how to reduce demand by telling customers what it really costs; need hourly metering; are smart meters smart enough and linked to time of use rates; use of interval metering Objective – To review broad field of metering and recommend best ways to use meters to reduce demand and level peaks Approach – New Task Smart meters in Energy Services

b) Item 5: India Portfolio development - Impact study Study how economies can reduce electricity growth by 10 or 20 percent in 10 years by energy efficiency and DSM measures. How can governments put up targets and meet them?

c) Item 6: Denmark and India Models and initiatives for boosting technologies Aggregated Procurements, Dynamic top-focused standards, Clearinghouses for programmes and projects e.g. CDM/JI relate

d) Item 22: New Zealand (not present) Planning tools

e) Item 37: Austria District Heating networks

f) Item 38: Spain Product definitions 9 10:00 – 10:30 Coffee break

10:30 – 12.00 Continuation of Break –Out Sessions

12:00 – 13:00 Lunch

13:00 – 14:00 7. ADMINISTRATIVE MATTERS

7a. 2008 Financial Report and proposed Budget 2009 DOC L 7b. Status of Common Fund payments – Harry Schaap DOC M 7c. ExCo approval of plans for the Thirty Third ExCo meeting 7d. Plans for the Thirty Fourth ExCo meeting 7e. Election of Chair and nomination of Vice Chairs DOC N 7f. Other issues

ADJOURN

10 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 PHASE 1: IDENTIFY NEW ACTIVITIES Resulting in a CONCEPT PAPER (2-5 pages) containing C Motivation C Objectives C Approach C Expectations/Results

PHASE 2: DEFINE NEW ACTIVITIES Requiring an EXPERTS MEETING to propose C Task Work Plan  Resource needs: Task or cost sharing C Dissemination, Task Information Plan

1 This description is based on the Policies and Procedures Guidelines for the DSM Implementing Agreement. 11 ------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

13 Ad Agenda 2a (32nd meeting of the IEA DSM-Programme)

DOCUMENT B

Standardisation of Energy Savings Calculations

Status Report

This Status Report is submitted to the IEA DSM IA EXCO meeting in Milan with a request for the EXCO to:

Decide to initiate the new Task as Task XXI and invite countries to participate

14 IEA Implementing Agreement on Demand-Side Management Technologies and Programmes

Status Report

Prepared by: Harry Vreuls, SenterNovem

15 Task Organising Meeting

At the EXCO meeting New Delhi, April 2009 a concept paper on “Standardisation of Energy Efficiency Calculations was presented and got support from several countries within the EU and outside. The foreseen Operating Agent (Harry Vreuls, SenterNovem) was asked to prepare a draft work plan and to organise a Task Organising meeting with experts from all interested countries to discuss and finalise the work plan for the Task.

The EXCO delegates were contacted to nominate experts for the Task Organising meeting. Although not many experts were nominated before the summer period, it was researched to organise this meeting related to the ACEEE summer study on EE in Buildings 17-22 August, but without success. Also it was not possible to organise a meeting in September. The OA decided to organise the meeting prior to the workshop in Milan on Tuesday 22 October. This will also give experts the opportunity to attend the workshop on White Certificates as well as interested EXCO delegates to attend the Task Organising meeting.

An updated draft Task work plan is prepared to be discussed at the meeting on 22nd October. This version holds also the budget of € 335.000. Based on the participation by 8 countries, an equal share contribution would be € 41,875.

During the EXCO meeting the results from the Task Organising meeting will be presented.

Interested countries

At the EXCO meeting in April 2009 the following countries indicated interest: 1. Austria 2. Denmark 3. France 4. Netherlands 5. Korea 6. Spain 7. Sweden 8. USA

In the period since the EXCO meeting the OA also give special attention to countries that were not represented at the meeting. This resulted in interest from Canada. Also the new EXCO delegate from Norway showed some interest.

Contacts were used to improve attention for this subject from Australian governmental organisations, but for the time being not with success. Also South African organisations were contacted. This resulted in interest from Cef to attend the meeting.

To resume, at least 10 countries are interested and 8 nominated an expert for the Task Organising phase.

16 Items for the EXCO

1. To approve the status report; 2. To decide to start Task XXI: Standardisation of Energy Savings Calculations

Draft work plan To be discussed at the Task Organising Meeting Tuesday 22 October 2008 Milan

Prepared by: Harry Vreuls, SenterNovem

Version 17 September 2008

Harry Vreuls SenterNovem PO box 17 6130 AA Sittard The Netherlands Phone + 31 46 4202258 E-mail [email protected]

18 Table of content

1. Introduction...... 20 2. Motivation...... 21 3. Objective...... 22 4. Approach...... 22 SUBTASK 1: EXISTING ENERGY SAVINGS CALCULATION (ESC) STANDARDS AND STANDARDS UNDER DEVELOPMENT23 SUBTASK 2: BASIC CONCEPTS, RULES AND SYSTEMS FOR ESC STANDARDS...... 23 SUBTASK 3: POTENTIAL FOR CONTINUE DEVELOPMENT AND MAINTENANCE OF ESC STANDARDS...... 25 SUBTASK 4: COMMUNICATION AND INFORMATION...... 25 5. Timetable...... 26 6. Costs...... 26 7. Task information plan...... 26 Selected references...... 27

19 Introduction

In October 2006 in Maastricht, the EXCO delegates discussed the Action plan for the IEA DSM-programme, including the EU Directive on Energy Efficiency and Energy Services (ESD) in relation to evaluation. At the meeting October 2008 in Brussels the EXCO decided that a concept paper on “Standardisation of Energy Efficiency Calculations” should be developed. This paper was presented at the EXCO meeting in April 2009 and got support from several countries within the EU and outside. The foreseen Operating Agent (Harry Vreuls, SenterNovem) was asked to prepare a draft work plan and to organise a Task Organising meeting with experts from all interested countries to discuss and finalise the work plan for the Task.

The European Commission is developing a harmonised top-down and bottom-up reporting system on energy efficiency improvements and energy savings. A consortium of 21 institutes is assisting the European Commission in developing these harmonised evaluation method in a project called EMEEES (Evaluation and Monitoring for the EU Directive on Energy End-Use Efficiency and Energy Services; www.evaluate-energy-savings.eu ). The (main interim) results from this project will be presented at a workshop in Brussels, 15 October 2008. In the reporting system the EC wants the bottom up reporting to become more and more important. In the first step the harmonised bottom-up model should cover a level between 20 and 30 % of the annual final inland energy consumption and should be used for the first national reports by June 2011. Until January 2012, the Commission continues to develop this harmonised bottom-up model, which shall cover significantly higher level energy consumption for the reporting by June 2014.

The European Committee for Standardization (CEN) is working on standardisation for energy efficiency and savings calculations. This resulted in the CWA 27 report, an advice for energy savings lifetime, and a project plan for the Taskforce 190 “Energy efficiency and savings calculation. At the moment the work is ongoing within two working groups of this Taskforce. The bottom up working group decides to concentrate the standardisation on the level of “systems” and to start with drafting a standard for energy efficiency and savings calculations for buildings. A draft is foreseen in the first half of the year 2009.

In the USA there are a lot of ongoing evaluation activities. Also the International Performance Measurement and Verification Protocol (IPMVP)was developed and updated with major input for the USA. Several evaluation guidebooks include energy savings calculation and the evaluation of savings and the impact of public programmes on these savings. E.g. EPA Model, Energy Efficiency Program Impact Evaluation Guide and work by the California Public Utilities Commission (CPUC) and the National Action Plan for Energy Efficiency Program Evaluation Guide. We would like to refer to actions taken and planned by the North American Energy Standards Board (NAESB) and Canena.

During some time effort are taken to move toward the harmonisation of compliance procedures, particularly with regarding to testing activities. This should increase the ease of comparisons between jurisdictions regarding the comparative performance of individual actors and policy measures. This idea has been suggested by the Collaborative Labelling and Appliance Standards Program (CLASP) and is being considered by the International CFL Harmonisation Initiative. The Exco discussed work in this field (2003-2004) as a potential task XII “Energy Standards” targeting to standards that apply to energy-using appliances, equipment

20 and systems and allied activities of APEC Energy Stands Information System (ESIS). But the Exco decided not to start this task. The proposed new task should investigate if any ore some of the elements can be included in this new task.

The IEA organised 28-29 February 2008 in Paris a workshop “Meeting energy efficiency goals: enhancing compliance, monitoring & evaluation”. The ideas for a new Task within the IEA DSM Agreement were presented in combination with the results from Task I, subtask 9, The IEA DSM evaluation guidebook. The results of the workshop included also opportunities for evaluation, one is clearly linked to this task: “Common methodologies would also be useful. This could include a framework with different options, practices in evaluation costing, the identification of which sectors to evaluate, appropriate discount rates, co-benefits for inclusion, how to treat additionality, attribution, baseline determination and assumptions documentation, among others” and Common terminology could similarly be used” (from the chairman report)

Motivation

Many policies and measures for improving energy efficiency now exist and continue to improve, both of a voluntary and mandatory nature, The continued development of this field of policy reflects growing acceptance of the importance of such measures in seeking to reduce carbon dioxide emissions, minimise the cost of energy services, enhance energy security and address wider environmental concerns. Estimations as to projected energy savings, emissions reductions or financial gains from energy efficiency measures are now common place. Recent examples include the November 2007 report of the United States (US) National Action Plan for Energy Efficiency Leadership Group, the European Union (EU) Energy Efficiency Action Plan, which anticipates that if energy consumption is cut by 20% by 2020, the Fourth Assessment Report (2007) of the Intergovernmental Panel on Climate Change (IPCC), which concludes that energy efficiency measures will play a key role in mitigating the human-induced effects of climate change across many of its scenarios, for most regions and timescales .

Evaluation is an essential component of any compliance process and an essential aspect of sound policy implementation more broadly. Evaluation plays a key role in helping to determine whether energy efficiency policy has met its goals. Some compelling reasons to evaluate energy efficiency programmes are::  Ex-ante analysis of energy efficiency policy options can help to ensure that the most appropriate policies are selected.  Evaluation during policy implementation allows policy makers to address policy design problems along the way and for updates to the policy measure to be made as necessary.  Ex-post analysis of energy efficiency policies allows for an assessment of whether a measure has achieved its intended objectives or not, how and why, and thus can enhance learning from the effectiveness or otherwise of past measures.  Evaluation is essential for verifying tradable units of energy conservation, such as in White Certificate Trading programmes and government commitments to reduce greenhouse gas emissions.

How the ex-post energy savings calculations are conducted are the most important element for the quantitative evaluation of the energy savings impacts of policies and measures. Within the EU the ESD is a new stimulus to harmonise bottom-up monitoring and (in a later phase)

21 evaluation work within the 27 Member States. In the near future European standards for energy savings will become available. But also in other countries and regions work is ongoing in this field. A broader agreement on the basic concepts, rules and system borders in IEA member states can stimulate the development of these standards on one hand and ensure global (maybe world-wide) comparability of standards for energy saving calculation on the other.

The experiences from the EU standardisation process show that most energy experts are not common with the rules on standardisation. But also that the main conducted work for standardisation is on a detailed level of appliances or components. Standardisation on a energy efficiency improvement and energy savings should start with more common understanding within the energy expert. Only if there is already a common ground on terms and definition within energy experts a next step in more official standardisation under the umbrella ot the ISO could have a reasonable chance to result in a set of standards.

Objective

The proposed objectives for the Task are:  To identify national and regional existing energy saving calculation (ESC) standards and standards under development;  To identify what basic concepts, calculation rules and systems are in use in these ESC standards  To identify how and why these standards are or will be used in reporting on energy efficiency improvements, energy savings and impact evaluations for policies and measures  To identify what organisations are responsible for the maintenance and future development of these standards and conditions to do such a work  To explore to what extent the basic concepts, calculation rules and systems could be organised in such a way that (inter)national organisation can use these to improve international comparison (ahead of implementation of new standards)  To explore how these standards can improve international comparable evaluation of policies and measures  To provide comments to ESC standards under development.

Approach

The actual research work will be carried out by a combination of the country experts, the Operating Agent and inputs for (experts involved in) standardisation bodies. In general the experts are responsible for identifying and obtaining information on ESC standards in their countries. The Operating Agent is responsible for mobilising inputs and comments from standardisation bodies, analysing and drawing conclusions for the information provided by the experts.

During the Task Organising meeting the advantages of organising two regional workshops to mobilise input for standardisation bodies will be discussed.

22 The Work plan for Standardisation of Energy Efficiency Calculations will comprise four subtasks: o Subtask 1: Existing energy savings calculation (ESC) standards and standards under development including barriers for (inter)national standardisation o Subtask 2: Basic concept, rules and systems for ESC standards o Subtask 3: Potential for continue development and maintenance of ESC standards o Subtask 4: Communication and information

While the first subtask concentrates on the existing situation and barriers, most of the information for subtask 2 will be collected in the first subtask. The third subtask needs the input from the first two and additional input from (inter)national standardisation bodies.

Subtask 1: Existing energy savings calculation (ESC) standards and standards under development Subtask objective To identify national and regional existing energy saving calculation (ESC) standards and standards under development

Subtask Deliverable A report summarising the national and regional (international) ESC standards, specified for existing standards and standards under development

Work to be carried out The country experts will identify national standards and indicate regional standards. The information collected will include details about the objective of the standards, the concepts used, the rules for energy savings calculations, the use of databases and models, the systems, the legal status of the standards and the status. The country expert also identifies what barriers exist for transforming energy savings calculations into agreed standards. As far as possible these barriers will be researched for different parties (governmental organisations, producers, consumers, scientific groups).

The Operating Agent will ensure (in co-operating with the participating national experts) that the international standards will be included. He will include experiences from other Tasks within the IEA DSM Agreement, especially from Task XIV White certificates and Task I, Evaluation guidebook. He will also take care of knowledge development in other IEA Implementing agreement, especially the ECBCS where new work is under development for “Global Building Energy Consumption Data Benchmarking” (continued discussion at the June 2008 ECBCS ExCo Meeting)

Once all the information is collected, the Operating Agent will summarise the results and draw conclusions about the ESC practise, standards and barriers to realise standards. The draft report will be discussed and/or commented by the country experts.

Subtask 2: Basic concepts, rules and systems for ESC standards Subtask objective To identify what basic concepts, calculation rules and systems are in use in ESC and how these are transformable to (draft) standards.

23 Also for existing standards or standards under preparation to identify how and why these standards are or will be used in impact evaluation for policies and measures. To provide comments to organisations those have draft ESC standards or standards under development.

Subtask Deliverable A report summarising the basic concepts, calculation rules and systems and an advise what elements could be used to develop and agree on national and regional (international) ESC standards. Also an overview will be presented on how these standards could help to make international energy savings data more comparable and more harmonised in the future.

A report on the comments to and experiences with commenting on draft ESC standards, including reactions from the standardization organisations on comments and their views on identified barriers (from subtask 1).

Work to be carried out By the end of the year 2009 a draft for harmonised bottom up evaluation methods is expected for the EU that countries might use for reporting the progress in National Energy Efficiency Action Plans. Some new elements will be: 1. 3 levels of harmonised evaluation methods (in line with the IPCC approach in so called TIER and the level of efforts in the IEA DSM evaluation guidebook) 2. energy savings lifetime to be used in calculating energy savings; 3. harmonisation at the level of systems (e.g. buildings)

By the first half of the year 2009 also a draft CEN standard for bottom-up and top-down energy savings calculations will be available for comments. The work undertaken in Subtask 1 will result in information on ongoing work for drafting national and regional standards outside Europe.

The Operating Agent will draft discussion papers on the basic concepts, calculation rules and systems, to be discussed by the experts and on international workshops. The experts will comment of the draft reports, especially for the opportunities to implement the common elements in the national and regional standards for energy savings calculations. The experts will report on the (potential) usefulness of the three level approach and the harmonisation of energy savings lifetime.

The Operating Agent will draft comments on regional standards while the country experts will do this for the national standards. The Operating Agent will be responsible for organising the process of discussion on these drafts (using a restricted section of the IEA DSM Website) and the co-ordination of the reactions to and from the standardisation organisations.

The Operating Agent will consult the international standardisation organisations will the country experts will do this for the national standardisation bodies. The Operating Agent is responsible for the co-ordination of these consultations and to include these in the (draft) reports.

24 Subtask 3: Potential for continue development and maintenance of ESC standards Subtask objective To identify what organisations will be the main actor to continue the development, the maintenance and future development of these standards. To explore to what extent the basic concepts, calculation rules and systems could be organised in such a way that (inter)national standards organisation can use these to improve international comparability. To explore how these standards can ease international more comparable evaluations of policies and measures.

Subtask Deliverable Report on roadmaps along which ESC standards could be further development, taken into account the working processes of responsible standardisation organisations, but given more attention to international comparability. The report will also deal with the improved use of the ESC standards in evaluation of policies and measures.

Work to be carried out The country experts will research, using the (draft) reports from subtask 1 and 2, the (inter)national organisations responsible for the further development of the results of the IEA work into official ESC standards, the working processes and the planning. The will also report on the (expected) use of existing and future ESC standards in evaluation of policies and measures and meta-evaluation and/or reports. The Operating Agent will combine the country reports and organise the communication with the international standardisation organisation. If there is added value one or two regional workshop could be organised. The Operating Agent will draft the conclusions and recommendations for maintenance of ESC standards and after discussion with country experts and relevant market parties, integrate the two drafts into one report.

Subtask 4: Communication and information Subtask objective The inform experts and inform and engage stakeholders and communicate the ongoing work in the Task on ESC standards

Subtask Deliverable  Task leaflet and newsletters  At least one presentation on a relevant international conference  Regional workshops on ESC standards  Status reports and final reports to the EXCO  Participating in relevant workshop related to the EXCO meetings  Contributions to the IEA DSM Annual reports and spot lights

25 Timetable

April 2008 EXCO Approval of the concept paper October 2008: Task Organising meeting October 2008: EXCO Approval of the Task Work plan February 2009- April 2011: Task work, Subtasks 1-4

Costs The breakdown of the Operating Agent’s budget is as shown in the following table.

Manpower Budget Subtasks (€) (€) Total (€)

1: Existing energy savings calculation (ESC) standards and standards under development including barriers for (inter)national standardisation 62000 6000 68000 2: Basic concept, rules and systems for ESC standards 89000 5000 94000 3: Potential for continue development and maintenance of ESC standards 67000 18000 85000 4: Communication and information 45000 43000 88000 TOTAL 263000 72000 335000

The expert’s time depends on the country specific situation. E.g. EU countries of that experts already participated in EU projects like CEN Workshop Agreement on Energy Savings Lifetime, CEN Taskforce 190 on Energy Savings Calculations and the EMEEES on methods for reporting ESD will need less time. For subtask 1 and 2 it is estimated that each will need about 5-6 men week and subtask 3 about 4-5 men week. In total it will be about 10 men week. Additional are the travel cost for meetings. For each subtask 2 meetings are scheduled.

Task information plan

The Task will result in 3 reports and a final management report. Additional at the start and end of the project a leaflet will be produced. Additional 4 numbers of news letter will be produced that will be distributed electronic by the Operating Agent and country experts and copies will be distributed by relevant conferences and workshops.

The Operating Agent will present (at least) at one conference the (interim) results of the Task during the Task and at one conference within a year after the Task is finalised.

The reports from the subtasks will be available at the Website for the IEA DSM Agreement.

26 Selected references

Canena, (Council for Harmonization of Electro technical Standards of the Nations of the Americas), Annual report 2006, January 2007

Cappozza, A. Market mechanism for white certificates trading, Task XIV Final report, based on national and international studies and experiences, June 2006

CEN, Project plan BT Taskforce 190, Energy Efficiency and savings calculations,

European Commission, The Directive on energy end-use efficiency and energy services, 2006/32/EC

IEA ECBCS ExCo Minutes of 62nd Meeting 15 - 16 November 2007

Owen Manley, AEEMA & Energy Efficiency, presentation at Standby Power Conference Canberra, 7th November 2006 du Pont, Peter, Danish Energy Management A/S, Progress and Promise, Regional Efforts on Cooperation and Harmonization of Energy-Efficiency Standards in Asia, Presentation at National Appliance & Equipment Energy Efficiency Committee, 27 April 2005

Pool, F, Task XII, energy standards, IEA DSM Exco Pre Meeting Documents, October 2004

Skumatz, L. Updated Measure Lifetime Estimates: EULs Based on 10 Years of Studies, paper presented at the IEPEC 2007

Vreuls, H. Evaluation Guidebook IEA DSM, October 2005

Model Energy Efficiency Program Impact Evaluation Guide, a resource of the national action plan for energy efficiency, November 2007, EPA

27 AD AGENDA 2B (32ND MEETING OF THE IEA DSM-PROGRAMME)

DOCUMENT C

Task XX: BRANDING OF ENERGY EFFICIENCY

Status of Participation Report

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

28 ______

INTERNATIONAL ENERGY AGENCY

IMPLEMENTING AGREEMENT ON TECHNOLOGIES AND PROGRAMMES FOR DEMAND SIDE MANAGEMENT

TASK XX: BRANDING OF ENERGY EFFICIENCY ______

TASK STATUS REPORT

Mr. Balawant Joshi Operating Agent ABPS Infrastructure Private Limited

Prepared for IEA DSM Programme

September 21, 2008

ABPS Infrastructure Private Limited 703/704, The Avenue, Opp The Leela, Intl Airport Road Andheri (East), Mumbai – 400 069 India

Ph: +91 22 2825 0050

29 Fax: +91 22 2825 0051 Email:[email protected]

30 Table of Contents

1...... Introduction ...... 31 2...... Summary of Objectives and Subtasks ...... 31 2.1 OBJECTIVES...... 31 2.2 SUBTASKS...... 32 3...... Work Plan ...... 33 4...... Major Accomplishments Since April 2008 ...... 34 5...... Work Plan for the Period January 2009 to December 2010 ...... 35 6...... Expert Meeting ...... 35 7...... Financial Report ...... 35 8...... Issues to be considered by the Executive Committee ...... 35

31 Introduction “ Branding of Energy Efficiency” was first identified as an area for new work at April 2006 Executive Committee (ExCo) meeting in Copenhagen. At its April 2007 meeting in Seoul, the ExCo agreed that Concept Paper for a Branding of Energy Efficiency Task should be prepared. The Concept Paper on “Branding of Energy Efficiency” was presented during Executive Committee held in Brugge in October 2007. At that meeting, ten countries indicated their interest in participating: Australia, Austria, Belgium, Finland, France, India, Korea, Spain, United Kingdom and United States of America. Further, the Executive Committee decided that Balawant Joshi should take the proposal to a Task Definition stage and present a work plan at the next Executive Committee meeting.

The Task Definition meeting was held on April 01, 2008 at India and Finland, France, India, Sweden and the United Kingdom attended the meeting. Prospective participants made several suggestions related to the proposed time frame of the Branding of Energy Efficiency Task and suggested that task should be divided into two parts and run for a longer period. These changes were included in the presentation made on April 04, 2008 to the ExCo meeting in the New Delhi, India. It was also decided to identify suitable person as Co-operating Agent, specialised in the filed of marketing / branding for the task.

At the India ExCo meeting, Denmark, India, Spain and United States declared a positive interest in a Branding of Energy Efficiency Task and Austria, Finland, France, New Zealand, Sweden and United Kingdom were prepared to give the Task further considerations.

Summary of Objectives and Subtasks

Objectives The Primary Objective of this Task would be to ‘Develop cogent and comprehensive framework for promotion of branding of energy efficiency in electricity markets at different level of maturity’. Apart from the above mentioned main objective, need for research in the following areas was felt to be immediate:  To identify knowledge and attitude of private households in developing electricity markets;  To identify best practices in definition of suppliers of energy efficiency products and services;

32  To identify the potential for energy efficiency products and services in other energy consuming sectors such as agriculture, industrial and commercial, etc.;  To identify the potential for programmatic approach towards energy efficiency; and  To identify the barriers to branding of energy efficiency;

Subtasks Subtask 1: Energy Efficiency Offerings Analysis

Subtask Objective To develop the comprehensive Energy Efficiency Branding Framework which may help to demonstrates a strong relationship among potential avenues such as Products, Services, Programs and Services for development of successful branding concepts.

Subtask Deliverables A report summarising the energy efficiency product analysis and important aspects of energy efficiency value chain.

Subtask 2: Energy Efficiency Consumer Analysis

Subtask Objective To carry out survey of consumers in all participating countries for products and services and to collect data on consumers’ attitude towards the products and services which suppliers can provide in the market.

Subtask Deliverables A report summarising the list of possible products and services most suitable for branding based on the market segment from the consumers’ perspective.

Subtask 3: Assessment of relationship between EE products pricing and maturity of electricity market

Subtask Objective To identify the relationship between the product offerings and maturity of the electricity market and to develop statistical models for determination of relationship between electricity price and energy efficiency pricing;

Subtask Deliverables

33 This subtask summarise relationship between EE products pricing and maturity of electricity market and also between electricity price and energy efficiency pricing.

Subtask 4: Review of Branding Strategies in similar areas

Subtask Objective To identify the products and services, similar in nature to “energy efficiency” and learns from the strategies deployed by them during early period of their life cycle.

Subtask Deliverables This subtask summarise the branding strategies deployed by the products and services similar in nature to energy efficiency based on the carried out research in the various participating countries.

Subtask 5: Identification of ‘Best Practice in Branding EE’

Subtask Objective To identify Case Studies and develop best practices in branding of energy efficiency in four aspects such as Products, Services, Programmes and Companies and to identify role of institutional structures and government support in development of successful branding strategies.

Subtask Deliverables This report summarise best practices in branding of energy efficiency in four aspects (Products, Services, Programs and Companies)

Work Plan Subtask 1: Energy Efficiency Offerings Analysis The Country Expert will carry out survey of energy efficiency products and services in their respective countries to identify the products categories offering EE attributes, assessing technological maturity of the existing EE products, identifying best practice in definition of products and services, identifying other aspects amenable to energy efficiency, identifying services / programmes serving EE attributes, identifying barriers experience in successful branding effort and also identifying special needs of developing countries. Once all the information is collected, the Operating Agent will summarise the results of energy efficiency product analysis and important aspects of energy efficiency value chain.

34 Subtask 2: Energy Efficiency Consumer Analysis The Country Expert will carry out survey of consumers specifically for products and services identified in the Subtask 1 by utilising appropriate methodologies such as socio cultural value maps, cognitive information processing and emotion driven choices to collect data on consumers’ attitude towards the products and services. The Country Experts in consultation with the Operating Agent will undertake the following activities: identify attitudes and behaviour of the consumers towards various aspects of energy efficiency, establish preferences for range of products and services, identify socio-cultural issues in selection of products and services and understand the pre-requisites for successful branding. Once all information is collected, the Operating Agent will identify products and services most suitable for branding in that particular market from the consumers’ perspective. While some countries have expressed necessity of primary surveys, such surveys are not envisaged at this point of time.

Subtask 3: Assessment of relationship between EE products pricing and maturity of electricity market A survey and analysis of market place for energy efficiency products and services in all countries participating in this Task would be undertaken by the Operating Agent with the help of the Country Experts. Based on the results of survey and analysis, the Operating Agent will identify the relationship between the product offerings and maturity of the electricity market and also develop statistical models for determination of relationship between electricity price and energy efficiency pricing. The Operating Agent will also test the applicability of the findings of this study to non-electricity energy segments.

Subtask 4: Review of Branding Strategies in similar areas The Country Expert along with the Operating Agent and Co-operating Agent (Specialist in Branding) will carry out research for identification of products and services which is similar in nature to energy efficiency. They will also carry out survey to identify the branding strategies deployed by similar products and services during early period of their life cycle.

Subtask 5: Identification of ‘Best Practice in Branding EE’ A survey of successful efforts in branding of energy efficiency in the participating countries as well as other countries will be undertaken the Operating Agent with the help of the Co- operating Agent and Country Experts. The Country Expert in consultation with the Operating Agent will undertake the following activities for the development of best practices in branding of energy efficiency in four aspects: development of case studies for successful branding effort, synthesize information collected during subtask-I & II, understand business enablers for

35 branding, identify best practice in each of the four key aspects of branding of energy efficiency, identify inter linkages for different aspects of branding and identify role of institutional structures and government support in development of successful branding.

Major Accomplishments Since April 2008 Establishment of the Task XX Website: The Operating Agent established a Task XX section as part of the IEA DSM website. The section outlines the objectives and work plan and invites participation in the Task.

Participants in Task XX: The Operating Agent has followed up the countries that, at the India meeting, expressed interest in participating in Task XX. At the time of writing, the following counties have confirmed or expressed strong interest in participating in the Task XX, yet to appoint Country Expert: India Confirmed Denmark Confirmed Spain Confirmed United States Confirmed Finland Confirmed

While the abovementioned countries have confirmed participation, Country Experts are yet to be nominated.

Work Plan for the Period January 2009 to December 2010 Ideally, five participants are required to make the Task viable. It is proposed to commence the task in January 2009 and complete the same in 24 months thereafter.

Expert Meeting Since Task XX is not yet in force and likely to commence from January 2009, no Experts meeting have been planned. Meeting has been proposed on October 21, 2008 at Milan to discuss the Way Forward on the task. All Executive Members are requested to attend the Meeting.

36 Financial Report Since Task XX is not yet in force, there have been no receipts or expenditure in relation to the Task. No payment has been made to the Operating Agent for his work on the development of the Task.

Issues to be considered by the Executive Committee The ExCo is requested to determine whether Task XX should be declared to be in force.

37 AD AGENDA 2C (32ND MEETING OF THE IEA DSM-PROGRAMME)

DOCUMENT D

Task XIX: Micro Demand Response and Energy Saving

Status of Participation Report

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

38 IEA - DSM - Task XIX Status of Participation Report

Contents

1. Background 2. Task Aims and Objectives 3. Objectives for the last 6 months 4. Progress against objectives 5. Objectives for next 6 months 6. Finance 7. Expert Meetings

Appendix 1

Report prepared by B.D.Watson EA Technology Operating Agent IEA DSM Task XIX September 2008

39 1. Background Energy plays a central role in each of our everyday lives. We use electricity for lighting our homes and offices, for powering our refrigerators, ovens, televisions and computers. For most of the time we don’t even think about the energy we use; it’s simply there allowing us to carry on with our everyday activities. However, our use of energy has significant impacts on the environment and global warming.

The domestic and SME sectors alone consume up to 50% of the electricity generated in developed countries, and are good targets for the implementation of energy saving measures. However, there are other reasons to focus on these sectors.

The generation of and demand for electricity must be kept in balance at all times. Conventionally this is achieved by managing the output generators. However, increasingly the Demand Side is being actively managed to help achieve both actual and financial system balance. Participation in the balancing and reserve markets by those demanding energy can help to improve overall system balance, reducing the peak generation capacity and spinning reserve, and helping to exploit the full potential of wind generation, particularly in off-peak times.

In the case of domestic and SME customers, to achieve these benefits it is necessary to influence millions of micro loads. Recent work under IEA DSM Task XI, Time of Use Pricing and Energy Use for Demand Management Delivery, showed that small customers could provide useful Demand Side services through a combination of End Use Monitoring and Feedback (EUMF), Time of Use (TOU) pricing and Demand Side Bidding (DSB). All have the potential to deliver valuable demand profile change and financial benefits. The work demonstrated that relatively small amounts of demand flexibility can have large benefits in reducing peak capacity requirements.

2. Task Aims and Objectives

Task XIX - scope of work (see Appendix 1) The aim of the proposed new Task is to take the results of Task XI a stage further by quantifying the costs, benefits and business viability of Demand Reduction (DR) through the use of EUMF, TOU and DSB with domestic and SME customers. It is envisaged that the provision of DR services to these markets will create new business opportunities for Energy Saving Service Providers and/or Demand Aggregators (ESSPs)/DAGs).

The Task will be split into 6 sub-tasks:

. DR and Energy Saving Products - Define DR parameters required by System Operator, Energy Suppliers and Balance Responsible Parties - Determine Energy savings from DR and EUMF products

40 . DR and Energy Saving Delivery Mechanisms - Define mechanisms for motivating and delivering energy savings by residential and SME customers (disaggregated demand information, TOU pricing, remote switching, DSB and customer interviews) - Define “smart” metering, disaggregated data and control mechanisms for motivating and delivering demand shifting by residential and SME customers (metering, switching, pricing, EUMF)

. End Use Demand Changes - Identify specific demands which could be influenced by the demand change motivating mechanisms defined above - Identify what demand changes may be possible as a result of applying the motivators to SME end uses - Identify what demand changes may be possible as a result of applying the motivators to residential customer end uses - Outline technical architectures for collecting and estimating end use demand information and delivering control motivators to change demand.

. SME Customer Costs and Benefits - Determine ESSP/DAG costs and benefits for delivering Energy Saving and Demand Shift services for SME customers using disaggregated demand information, metering and control - Determine ESSP/DAG implementation methodologies for delivering benefits and viable businesses - Estimate energy savings

. Residential Customer Costs and Benefits - Determine ESSP/DAG costs and benefits for delivering Energy Saving and Demand Shift services for residential customers using disaggregated demand information, metering and control - Determine ESSP/DAG implementation methodologies for delivering benefits and viable businesses - Estimate energy savings

. Business Case Estimation - Determine customer financial instruments and reward mechanisms to achieve commercially viable ESSP/DAG businesses delivering CO2 savings and equivalent, network and generation capacity provision, by modifying demands of residential and SME customers - Quantify the potential for DR and energy saving measures to be accredited for meeting Government, Regulator and Supplier energy saving targets (White Certificates, CERT, etc) and obtaining financial support. - Compare overall costs and benefits

41 3. Objectives for the last 6 months

 Recruit International Participators  Recruit UK Participators

4. Progress against objectives

Eleven countries expressed an initial interest in participating in Task XIX when discussed at the Oct-2007 and Apr-2008 ExCo meetings and regular dialogue has been maintained.

The Status of Participation report is split into two sections:

 Countries that have confirmed their commitment  Countries that are still considering participation

Country Status France Received signed letter India Participation confirmed by email (awaiting return of formal letter). Spain Received signed letter Ongoing dialogue with BERR, DEFRA, Energy Suppliers and Device United Kingdom Manufacturer. It is anticipated that a UK Expert’s team of at least four participators will be formed.

Country Status Australia Still some interest. Dialogue with Government ongoing Austria Still some interest. Dialogue ongoing Finland Still some interest. Dialogue ongoing Greece Interested. New representative still considering participation Norway Interested. New representative still considering participation Sweden Still some interest. Dialogue ongoing with possible stakeholders

5. Objectives for next 6 months

 Confirm International Participators  Confirm UK Participators  Finalise support and funding for Task XIX  Start the Task

42 6. Finance

The Task proposal has been developed and costed, see appendix 1. The budget has been set based upon eight Participants, (although the Task can still proceed with five Participants and a reduced programme-of-work), and it is anticipated that further commitment will be made by a number of counties either before or at the October ExCo meeting and that the project can then commence soon after

7. Expert Meetings

The plan is to hold 4 Expert meetings, dates and locations to be advised in due course once the Task is underway.

43 Appendix 1

IEA Implementing Agreement on Demand Side Management Technologies and Programmes

Task XIX

Micro Demand Response and Energy Saving

Operating Agent (Designate):- EA Technology Capenhurst Technology Park Capenhurst Chester CH1 6ES United Kingdom (J.R.Formby and J.N.Baker) Issue 1.0 April 2008

44 1 Introduction

Energy plays a central role in each of our everyday lives. We use electricity for lighting our homes and offices, for powering our fridges, ovens, televisions and computers. For most of the time we do not even think about it, it is simply there to enable us to carry on with our normal activities. However, our use of energy impacts on our environment and contributes to global warming.

The domestic and SME sectors consume up to 50% of electricity in developed countries and are attractive for the implementation of energy saving measures based on providing customers with information and also automatic/remote switching of demand.

The results are delivered from influencing millions of micro loads to save energy in the customer premises and a fast response to price and control signals from the energy markets or system services markets.

To approach consumers to integrate their energy use in a complex net of energy optimisation is a new and expensive task. Any approach should simultaneously attack all the opportunities for customers to save money and volunteer environmentally friendly behaviour2.

Greater participation of the demand side is a very important mechanism for addressing the issues of improving overall system balance and increasing the utilisation of wind generation capacity. If end use demand can be reduced and profile shape changed for smaller and SME customers in response to financial and other stimuli, it can be used to reduce peak generation capacity and spinning reserve, enable demand participation in balancing and reserve markets and the full potential for wind generation to be exploited, particularly in off-peak times. It can also save energy and CO2 as well as money for customers.

With the growth of embedded generation, there are also strong financial motivators for local areas to become “self-balancing” in terms of local demand and local generation.

2 Background

2.1 End Use Monitoring and Feedback (EUMF)

One of the ways in which customer motivation to save energy can be developed is by identifying and presenting to customers a breakdown of their individual end uses of energy, its cost and environmental impact.

Feeding back disaggregated energy end use information to smaller customers using a range of methodologies has been shown to motivate energy savings of the order of 10%. A survey in 2 ZIVIS Project (“Lend your computer to the science”) in the Spanish county of Zaragoza, where 7% of the county internet navigators have permitted the European Science Supercomputer Mare Nostrum to use their personal computers’ calculation capacity when its owner doesn’t need it. This process has advanced the work programme by 1 year.

45 one country showed that 70% of smaller customers were prepared to make changes to save energy if they were advised how to do it and it involved little inconvenience. Monetary savings resulting from the application of EUMF to direct electric heating customers have been estimated to be worth €100 per year per customer. Direct measurement of specific customer end uses of energy on a continuous basis is probably too expensive for wide scale application to smaller customers. Estimates of the costs of face-to-face and Internet interviews with customers to collect data and feedback end use information and advice show this to be an attractive option. EUMF motivator messages have also been shown to encourage customers to replace energy inefficient end uses with efficient ones.

2.2 Time of Use Pricing (TOU)

Time of Use electricity pricing is another mechanism for encouraging energy demand and profile shape change. This is already a normal pricing, billing and settlement mechanism for larger customers. Mobilising customer demand changes and shifting energy use to different time periods has the potential to save energy and money for customers as well as system capacity. The financial savings result from customers taking advantage of lower price energy at non-peak times through tariffs and other more dynamic measures offered by Suppliers. Energy and CO2 savings can result from reduced system losses, the extent of the savings being determined by the generation mix in different countries.

IEA, DSM, Task XI, Subtask 2 estimated the financial viability of implementing different TOU and Dynamic TOU pricing regimes by equating reliable and flexible demand shift, including operation of embedded generation, with scheduled generation, transmission and distribution network construction costs. In order to do this, the study estimated the costs of implementing TOU pricing régimes per kW of demand shift as well as the costs of new supply side construction.

The study identified that thermostat reductions of direct space and water heating and air conditioning for a few hours per year are able to make significant contributions to reducing system peak demands. It also identified that small scale micro generation could easily be controlled on the basis of TOU pricing to reduce unscheduled peak demands. Results of field trials of dynamic pricing identified that automatic intervention is preferred by customers for shifting demand, rather than requiring manual actions.

2.3 Demand Side Bidding (DSB)

Demand Side Bidding is a mechanism enabling the demand side of electricity markets to participate directly in energy trading. Micro DR Demand Aggregators (DAG) deliver demand changes at customer premises and these benefit System Operators, Suppliers and customers. DSB allows demand changes to be predicted, made to happen on a reliable basis, be validated and built into schedules as alternatives to generation in meeting system demand and offsetting wind generation intermittency.

46 Examples of DSB products are illustrated below.

Product 1  Consumption is reduced instantaneously and recovered in half an hour. 1000h a year, 5 times a day. Guaranteed (house fridge), iced food (SME).  Variants: 1 hour duration aggregating consumer responses, 300 a year.  System: Secondary reserve in the demand side, emergency reserve.

Product 2  Consumption is reduced, 1 hour notice and recovered in half an hour. 1000h a year, in the night valley period, once a day. Guaranteed (house fridge), iced food (SME), heaters. In the previous hour pre-cooling or pre-heated.  System: Reserve for deviation of wind production from programmed generation.

2.4 Provision of Demand Response and Energy Saving Services to Smaller Customers

The provision of Demand Response (DR) and energy saving services to smaller and SME customers, in terms of demand disaggregation information and “smart” metering and controls, offers opportunities to Energy Saving Service Providers(ESSPs)/DAGs for potentially profitable business. The business model is likely to be different to that of Energy Services Companies (ESCOs) and based on delivering services to millions of micro loads and customers rather than hundreds or thousands. A very low cost of service will be a requirement of ESSP/DAG businesses.

2.5 Task XI, Time of Use Pricing and Energy Use for Demand Management Delivery

Conclusion of the previous Task XI work, mid-2007, showed that EUMF, TOU pricing and DSB all have the potential to deliver valuable demand profile change and financial benefits. The work demonstrated that relatively small amounts of demand flexibility can have large benefits in reducing peak capacity requirements.

The basis for an extension of this work, via a new Task (Task XIX), was therefore proposed at the October 2007 DSM ExCo meeting, held in Brugge, Belgium. Eleven candidate participants indicated interest in this proposed activity and it was therefore agreed to develop the basis for the work programme, via a dedicated Task Definition Meeting.

2.6 The Task Definition Meeting, EA Technology, Capenhurst, Chester, UK, 23rd-24th January 2008

EA Technology therefore convened a Task Definition Meeting, at its Capenhurst offices, 23rd- 24th January 2008. Representatives and experts participated from four countries and received keynote addresses from National Grid (UK) and Defra (UK). They then discussed the essence of the proposed new Task, with detailed consideration being given to the content of each of the proposed work packages (or subtasks). The conclusion of the workshop, provided a clear steer for the development of the new Task, as embodied in the present paper.

47 2.7 Task XIX

The proposed Task XIX will define DR and energy saving products and how to actually deliver them into the residential and SME markets on a commercial basis using ESSP/DAG businesses. Funding mechanisms and the provision of information and controls infrastructure will be studied and evaluated. The potential for these measures to be accredited for financial support by Governments and Regulators, (White Certificates, EEC/CERT, etc) will also be evaluated. Accreditation to enable Suppliers to include DR measures towards meeting their energy saving targets is an important consideration and will also be evaluated.

Proposed ESSP/DAG business tasks are expected to include the following:-

 identify potential customers and develop DR data base  recruit DR customers and energy end uses to be managed  develop the demand switching schedules into System Operator, specified products  conduct face to face energy advisor interviews and demand modelling with customers  contracts and settlement mechanisms  negotiate accreditation for energy savings  funding and grants management  micro generation advice/promotion/management  end use remote diagnostics/leasing  manage DR payments (customer/System Operator/Supplier)  aggregate DR customer groups  finance/install DR control infrastructure  advise on DR enabled end uses  advise customers on tariffs  micro loads local control dispatch and metered energy saving accounting system

3 Aim and Objectives

The aim of Task XIX is to investigate the implementation of TOU pricing, remote/automatic demand switching and energy end use monitoring for SME and residential customers so as to quantify the costs, benefits and business viability of such measures from the System Operator, Demand Balancing and energy saving perspectives.

Specific objectives of Task XIX are to:-

 Define DR and Energy Saving products to meet System Operator, Supplier, Government and Customer requirements;  Identify, develop and define packages of DR and energy saving service products for residential and SME customers, based on EUMF, TOU pricing and demand control to meet the above requirements;  Develop mechanisms to deliver DR and energy saving service products;  Evaluate how ESSP/DAG businesses can provide DR and energy saving service products for residential and SME customers;

48  Develop ESSP/DAG routes to market for residential and SME customers;  Make an overall assessment of common ground and technologies to be shared with smart metering infrastructure;  Estimate incremental costs of implementation of product delivery systems  Quantify the business case for the provision of DR and Energy Saving products.

4 Benefits

Participation in Task XIX will enable Task Participants to:-

 understand the advantages and disadvantages of TOU pricing, Demand Response and demand disaggregation and feedback for residential and SME customers in competitive energy markets;  gain an independent view of technology and benefits available for TOU pricing and demand disaggregation  quantify the value and technologies for end use monitoring and feedback, Time of Use Pricing and DR to customers and its potential for achieving DSM objectives;  develop national policies to encourage time of use metering, pricing and demand disaggregation within competitive energy markets;  understand the role of demand side participation in energy markets through the use of DSB/DR programmes and mechanisms;  quantify the need for time of use metering or developed profile metering in order to validate DSB/DR implementation;  quantify infrastructure needs for alternative load control options and savings calculations;  understand the contribution that Dynamic DR can have on the improving the utilisation of wind generation capacity.

5 Programme of Subtasks

5.1 Subtask 1 (DR and Energy Saving Products)

 Define DR parameters required by SO, Suppliers and Balance Responsible Parties (volume, shape and timescales)  Determine Energy savings (volume, sustainability) from DR and EUMF products  Write report chapters

5.2 Subtask 2 (End Use Demand Changes)

 Identify specific demands which could be influenced by the demand change motivating mechanisms in Subtask 3  Identify what demand changes may be possible as a result of applying the motivators to SME end uses  Identify what demand changes may be possible as a result of applying the motivators to residential customer end uses

49  Outline technical architectures for collecting and estimating end use demand information and delivering control motivators to change demand.  Write report chapters

5.3 Subtask 3 (DR and Energy Saving Delivery Mechanisms)

 Define mechanisms for motivating and delivering energy savings by residential and SME customers (disaggregated demand information, TOU pricing, remote switching, DSB and customer interviews)  Define “smart” metering, disaggregated data and control mechanisms for motivating and delivering demand shifting by residential and SME customers (metering, switching, pricing, EUMF)  Write report chapters

5.4 Subtask 4 (SME Customer Costs and Benefits)

 Determine ESSP/DAG costs and benefits for delivering Energy Saving and Demand Shift services for SME customers using disaggregated demand information, metering and control  Determine ESSP/DAG implementation methodologies for delivering benefits and viable businesses  Estimate energy savings  Write report chapters

5.5 Subtask 5 (Residential Customer Costs and Benefits)

 Determine ESSP/DAG costs and benefits for delivering Energy Saving and Demand Shift services for residential customers using disaggregated demand information, metering and control  Determine ESSP/DAG implementation methodologies for delivering benefits and viable businesses  Estimate energy savings  Write report chapters

5.6 Subtask 6 (Business Case Estimation)

 Determine customer financial instruments and reward mechanisms to achieve commercially viable ESSP/DAG businesses delivering CO2 savings and equivalent, network and generation capacity provision, by modifying demands of residential and SME customers  Quantify the potential for DR and energy saving measures to be accredited for meeting Government, Regulator and Supplier energy saving targets (White Certificates, EEC/CERT, etc) and obtaining financial support.  Compare overall costs and benefits  Write report chapters

50 6 Deliverables

The principal deliverables associated with Task XIX are one or more reports, addressing:-

 Definition of requirements for Micro DR and Energy Saving Products  Analysis of End Use Demand Changes for delivery of DR and Energy Saving  Analysis of DR and Energy Saving Delivery mechanisms and Technologies  Costs and Benefits for SME Customer DR and Energy Saving  Costs and Benefits for residential Customer DR and Energy Saving  Business case assessment of the provision of DR and Energy saving products for SME and residential Customers  Regulator and energy policy overview

It is anticipated that Task XIX will require 15 months to complete.

7 Work Schedule

Task XIX, subtasks 1 to 6 will be implemented over a 15 month time period, commencing at such time as five participants are able to commit to the Task3. For initial planning purposes a 1st July 2008 commencement is assumed.

The programme-of-work, subtasks and other activities within the Task shall be performed in accordance with the Gantt chart shown below.

3 Refer to section 9 for further information on participant base and budgetary implications.

51 Months

9 9 9 8 0 0 9 8 0 0 0 0 0 0 0 0 2 2 0 0

l 2 2 y i t

l y r t c l n u c p u a J O A J O J 0 3 6 9 12 15

Subtask 1

Subtask 2

Subtask 3

Subtask 4

Subtask 5

Subtask 6

Experts’ Meetings

8 Rights and Obligations

The principal results and outputs from the Task XIX programme-of-work will remain confidential to the Task XIX Participants for a period of not less than 12 months after the completion of the Task, unless all the Participants agree to an earlier release of information.

The Task will also be required to produce an executive overview report of its activities, not containing any sensitive information or data, and which is suitable for publication in the public domain.

Although the Task XIX programme-of-work, as described herein, is not anticipated to lead to the development of any new Intellectual Property (IP), the ownership and commercial exploitation of any IP which may be produced shall be established by the unanimous vote of the DSM Executive Committee, consistent with the IEA DSM Implementing Agreement.

52 Obligations on the Operating Agent

The Task XIX Operating Agent will be responsible for the overall management and delivery of the Task XIX work programme and will work closely with the individual Participants, such as to ensure the effective and expedient delivery of its objectives. It will discharge its duties via the organisation and delivery of a programme of Experts’ Meetings and via specific further activities, as may be required. The Operating Agent will submit regular six monthly reports to the DSM ExCo and will implement the decisions of the DSM ExCo.

The Operating Agent will be specifically responsible for:-

 the establishment of a co-ordinated framework for defining the country information required and for collecting and collating the information sent in by the National Experts;  actively engaging with the network of National Experts, by means of the programme of Experts’ Meetings described above and via supplementary one to one dialogue, in order to elicit the necessary information required for the satisfactory completion of the Task;  deducing interim results for review by Experts; and  the production of the Task deliverables, as described in section 6 above.

Obligations on the Participating Countries

Each participating country within Task XIX shall be required to nominate a National Expert (or otherwise known as “Expert”). Experts will be expected to have a good working knowledge of metering, pricing, market operation, SME and residential customer behaviour and statistics, service and energy use statistics, system operation, Supplier contract balancing and energy saving accreditation.

Each National Expert will be required to:-

 Provide the Task XIX Operating Agent with a National Participation Letter, indicating their commitment to the Task. The collective set of National Participation Letters will represent the National Participation Plan;  Attend and participate in the programme of Experts’ Meetings, to be organised by the Operating Agent in the discharge of its obligations;  Support the Operating Agent in the discharge of its obligations via the timely and appropriate provision of information, data and other material, as may reasonably be required to service the requirements of the programme-of-work, as described in section 5 above;  Take the lead responsibility on an individual national basis in relation to the sourcing and collation of any information inputs that may reasonably be required to service the requirements of the Task;  Organise individual national workshops in support of the programme of Experts’ Meetings organised by the Operating Agent; and  Take the lead responsibility on an individual national basis for the dissemination of the outputs from the Task.

53 9 Budgets

The performance of Task XIX will require a combination of financial and in-kind contributions, as described below.

9.1 Operating Agent Costs (Euro)

The breakdown of the Operating Agent’s budget is as shown in table 9.1, below.

Table 9.1: Operating Agent Budgetary Breakdown

Subtask/activity Manpower (€) T&S(€) Totals(€) 1. DR & Energy Saving Products 45,875 45,875 2. End User Demand Changes 54,895 54,895 3. Delivery Mechanisms 39,025 39,025 4. SME Costs/Benefits 41,640 41,640 5. Residential Costs/Benefits 41,640 41,640 6. Business Case Estimation 42,825 42,825 Project management, ExCo liaison & reporting 48,795 48,795 Travel & subsistence (T&S) 23,150 23,150 Totals: 314,695 23,150 337,845

Task XIX will be funded on an equal Cost Share basis between all the Participants.

Whilst eleven countries and Sponsors4 expressed interest in participating in Task XIX at the October 2007 ExCo meeting, a Cost Share based on eight countries/Sponsors formally committing to the Task has been assumed for initial budgeting purposes.

A financial contribution of €42,231 per Participant is required, based upon eight Participants, payable over the 15 months of Task XIX.

In the event of more than eight Participants, the financial contribution per Participant will be based on the total Operating Agent’s budget of €337,845, divided pro-rata by the number of Participants.

In the event of less than eight Participants, the individual Participant financial contributions shall be maintained at €42,231 per Participant and a reduced programme-of-work shall be agreed accordingly, subject only to a minimum of five Participants supporting the Task.

9.2 Task Participants

The Task Participants will be expected to support National Expert participation at a minimum level of 8 person-weeks per participating country, over the 15 months of Task XIX. Multiple Experts may be assigned, as appropriate.

4 Namely Australia, Austria, Belgium, Denmark, Finland, France, Netherlands, Spain, United Kingdom, Schneider Electric and Facility Solutions

54 All Participants will be required to provide National Expert representation and contribution to the Experts’ meetings, to be held throughout the discharge of Task XIX. Travel and subsistence costs for these meetings shall be the responsibility of the Task Participants.

9.3 Budgetary Overview

Table 9.2 below provides a budgetary overview of the contributions required from the Task Participants, for the delivery of Task XIX, based upon the assumption of a 1 st July 2008 commencement.

Table 9.2: Summary of Task XIX Financial and National Expert Contributions Required per Task Participant

Role/Activity Financial/manpower provision July to Dec. 2008 Jan. to Sept. 2009 Task XIX Operating Agency €17,231 €25,000 Task XIX National Expert 4 person weeks 4 person weeks Contribution

1. Financial contributions above relate to cost share based on eight Participants.

2. In the event of more than eight Participants, the financial contribution per Participant will be reduced accordingly and will be based on the total Operating Agent’s budget of €337,845, divided by the number of Participants.

3. In the event of less than eight Participants, the individual Participant financial contributions shall be maintained at €42,231 per Participant and a reduced programme- of-work shall be agreed, subject only to a minimum of five Participants supporting the Task.

55 Ad Agenda 2d (32nd meeting of the IEA DSM-Programme)

DOCUMENT E

THE UTILITY CARBON OFFSET TOOLKIT

Draft Concept paper

This Concept Paper is submitted to the IEA DSM IA EXCO meeting in Milan 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)

56 THE UTILITY CARBON OFFSET TOOLKIT A NEW TASK CONCEPT PAPER

Revision to a previous concept paper titled “Investigating Retail Carbon Offset Programs”, submitted March 2008

Submitted by: Ross Malme, Schneider Electric & Task XIII OA

October 2008 ExCo Meeting

Motivation:

As requested at the ExCo’s Delhi meeting, we offer the following as an update to our original carbon offset task concept paper. The update focuses on creating a toolkit for the electric power industry.

This new task will investigate how energy companies are incorporating carbon offsets into their DSM strategies and offer strategies for others to follow.

Schneider Electric expects that the Carbon Offset marketplace may parallel the experience of the Demand Response market. It is likely that the wholesale market will develop financial products and rules that will ultimately need to be driven down to the consumer level, whether through embedded cost or through discrete product sales. However, the industry is still in the infant stage and multiple business strategies are still being tested.

For example, utilities may be required to offset their power generation portfolios. Utilities can do this by rate basing the cost of carbon offsets or could it also be done by promoting and incorporating carbon offsets into their DSM strategies, just as they have done with demand response. Both models are being done today.

Concept:

Carbon trading has become a normal, accepted practice at the wholesale level in many markets around the world. This is especially true in Europe and there is a growing sense of inevitability in the United States.

As was the case with demand response, once the wholesale market is established, businesses begin to develop retail products. Energy commodity suppliers (e.g. utilities, delivery service companies, and energy service companies) have begun offering its customers the ability to purchase carbon offsets in conjunction with the purchase of the actual commodity.

This new Task will provide a toolkit for utilities to use as they develop carbon offset strategies. The tool kit will include things such as identification of the business models used to promote

57 carbon offset products, carbon offset product design, pricing mechanisms, and consumer adoption motivations.

For the purpose of this Task, retail carbon offset products will be defined as those products being offered by traditional energy suppliers to end use consumers (e.g. utilities, energy services companies, and energy delivery companies).

Objectives:

 Identify and classify business models used to sell carbon offset products.  Identify and classify ways the electric industry uses carbon offset products as part of their overall DSM strategy  Identify consumer motivations for purchasing retail carbon offset products.  Develop a list of retail carbon offset product best practices

Approach:

This task will create a toolkit of reference materials intended to be used by utility personnel (i.e. carbon offset product manager). The toolkit will provide information transfer on best practices and business strategies in using carbon offsets.

The work will be done by interviews, case studies, seminars, and general research. The participating Country Experts will review all materials and determine which activities should be highlighted.

Potential Subtasks:

The actual subtask list would be developed in conjunction with the Country Experts participating in the task. Therefore, this list is subject to change.

Subtask A: General review of current carbon rules in each country

Subtask B: Identify & classify retail carbon offset products

Subtask C: Interview utilities to identify how they are using carbon offset products to support their business and regulatory requirements.

Subtask D: Methods for pricing retail carbon offset products

Subtask E: Interview consumers to understand motivations for purchasing carbon offset products

Subtask F: Develop a list of best practices, with case studies, related to the marketing and selling of retail carbon offset products.

58 Expectations:

The fastest way to generate knowledge transfer is to identify what companies are doing well, and then share their stories by way of reports, case studies and seminars. This task will:

1. Interview carbon offset product managers worldwide to identify what works. 2. Identify consumer motives for purchasing carbon offsets. 3. Collect and catalog carbon offset marketing techniques and collateral for others to review. 4. Coordinate in-country educational seminars in conjunction with Expert Meetings to share information with interested parties. 5. Review market mechanisms developed specifically for carbon trading. 6. Develop a training guide to educate new carbon offset product managers on proven strategies.

Next Step:

Schneider Electric requests approval from the ExCo to schedule a Country Expert Meeting to further develop this proposal. Schneider Electric would host the Country Expert meeting at one of its European offices (likely in Paris) in January or February 2009. The Country Experts attending the meeting will fully develop the work plan and budget to be considered at the ExCo’s next meeting.

59 Ad Agenda 3a

DOCUMENT F

Task XVII:

Integration of Demand Side Management, Distributed Generation, Renewable Energy Sources and Energy Storages Task Status Report

This Task Status Report is submitted to the IEA DSM IA EXCO meeting in Milan with a request for the EXCO to: * Approve the Task Status Report * Decide that the Final report should be made public * Decide to extend the Task according to a report that will be made available before the meeting

60 61 INTERNATIONAL ENERGY AGENCY

Task XVII: Integration of Demand Side Management, Distributed Generation, Renewable Energy Sources and Energy Storages

Task Status Report

September 2008

Seppo Kärkkainen Operating Agent VTT Finland [email protected]

Prepared for the EXCO meeting in Milan October 23-24, 2008

62 INTRODUCTION At the Executive Committee meeting in April 2006 in Copenhagen the executive committee members:  unanimously approved the initiation of the Task and nominated Seppo Kärkkäinen as the Operating Agent. The Task was given number XVII;  decided that the Task Definition Phase may include a negotiation procedure and  decided that an Experts meeting (workshop) should be held in September 2006. The negotiation phase took clearly more time than originally planned. Finally, the Task definition and legal annex were finalised in August 2007 and the Task started in September/October 2008.

SUMMARY OF OBJECTIVES AND SUBTASKS

Objectives

The main objective of the proposed Task is to study how to achieve the optimal integration of flexible demand (Demand Response, Demand Side Management) with Distributed Generation, energy storages and Smart Grids, and thus increase the value of Demand Response, Demand Side Management and Distributed Generation and decrease problems caused by intermittent distributed generation (mainly based on RES) in the physical electricity systems and at the electricity market. The Task deals with integration aspects both at local (distribution network and customer) level and at transmission system level where large wind farms are connected. Thus the integration means in this connection  how to optimally integrate and combine Demand Response and Energy Efficiency technologies with Distributed Generation, Storage and Smart Grids technologies, at different network levels (low, medium and high voltage)

 and how to combine the above mentioned technologies to ideally support the electricity networks and electricity market

The Task will provide the integration based solutions and examples on successful best practices to the problems defined above to the different stakeholders.

Approach

The first step in the Task is to carry out a scope study collecting information from the existing IEA Agreements, participating countries and other sources (research programmes, field experience, information collected through Cigre working groups, etc), analyse the information on the basis of the above mentioned objectives and synthesize the information to define the more detailed needs for the further work. On the basis of the collected information a systematic analysis is carried out to produce the state of the art to the integrated approach of the utilisation of Demand Response and Energy Efficiency in combination with other DER aspects and barriers related to it and to define the detailed further work. Also the first set of best practices are produced. This kind of approach presumes the co-operation between different IAs related to DG, storages, DSM and networks. Experts are needed from each area. Especially information exchange and coordination with Wind and ENARD is organised, and possibility to have common workshop is considered. At the end of the scope study a workshop with the stakeholders will be arranged to get feedback and inputs from outside to the conclusion and the definition for the future work.

Subtasks of the scope study

The first stage of the Task (the scope study) includes the following subtasks Subtask 1: Information collection on the characteristics of different types of DER in the integrated solutions The information to be collected and analysed is dealing with integrated solutions where energy efficiency/demand response is combined (or seen possible to combine) with at least one of the following technologies: distributed generation, energy storage or smart grid technology aspects (e.g. controllable On Load Tap Changer - OLTC). The exact definition of DG will be defined, but it includes both low and medium voltage level generation as well as large aggregated generation of small units at transmission system level (like wind farms). The information is collected both by the OA and country experts based on research, pilot projects, demonstrations and other experiences. The information is collected from the different voltage levels. OA prepares a list of projects/public sources on the available information and prepares a draft of questionnaire to country experts. This is discussed at the first expert meeting and agreed how country experts proceed with the information collection. The exact form of the information collection will be defined at the first expert meeting, but information to be collected include at least  technical information on the integrated use of DER (minimum requirement is DR or DSM in combination with one of the following technologies: DG, storages, Smart Grid Technologies)

 penetration levels of technologies

 market conditions

 economy

 impacts on different voltage and system levels

.Subtask 2: Analysis of the information collected and preliminary conclusions (state of the art) On the basis of the collected information a draft synthesis report and preliminary conclusions are written down including 1. State of the art of integration of DER at customer, network, system and market level; pilot and research projects and actual applications

2. Why the integration is useful and what impacts it has (technical, market)

64 3. Preliminary conclusions on improvements needed to enhance the integration

4. Preparation of the workshop

The draft analysis and preparation of the workshop is done by OA with the assistance of country experts

Subtask 3: Feedback from the stakeholders: Workshop An open workshop is arranged with stakeholders with the objectives 1. To collect additional information from the invited speakers

2. To get feedback on the preliminary conclusions

3. To get inputs for the future work

OA produces the workshop proceeding with the conclusions

Subtask 4: Final conclusions and the detailed definition of the further work As a result of the previous subtask the final products of the scope study are produced including 1. The updated synthesis report with conclusions and first set of best practices

2. Detailed work plan for the additional work

The first product is mainly produced by OA with the assistance of country experts. The work plan is produced by the expert group with OA

TIME SCHEDULE AND ESTIMATED RESOURCES NEEDED

Time schedule

The duration of the first phase of the Task is about 13 months starting September 1, 2007, and being finished October 1, 2008. The detailed schedule is as follows:

65 III/IV 2007 IV/IV 2007 I/IV 2008 II/IV 2008 III/IV 2008 Subtask 1 Preparation of information collection 1. expert meeting Information collection by experts and OA

Subtask 2 State of the art of the integration Imapacts of the integration Preliminary conclusions 2. expert meeting Workshop preparation

Subtask 3 Workshop Workshop documentation

Subtask 4 Synthesis report Work plan for the future work 3. expert meeting

Operating Agent Personnel costs 75000 € Travels 3000 € Workshop 5000 € Total 83000 €

Country experts

Estimated inputs from country experts is about 6 person-weeks

ACCOMPLISHMENTS SINCE FEBRUARY 2008 In February 2008 there were 6 participating countries: Finland, Italy, Korea, Netherlands, Spain and USA. Austria joined the Task officially in June, 2008, although Austrian expert started the work already in April, 2008. Second expert meeting was arranged in Washington 11-12 March 2008. 16 experts and OA representatives participated in the meeting. From USA there were 7 experts. Public workshop was arranged in Petten , the Netherlands, June 9, followed by the third expert meeting 10th of June. In the workshop there were 20 participants and in expert meeting 10 experts and OA representatives. Fourth and final expert meeting was arranged in Seoul, Korea 10-11 September 2008. A national workshop “Today and tomorrow for DER” was arranged day before expert meeting 9th of September.

Country expert work The experts have produced three kinds of documents:  Questionnaire: dealing with market, policy and resource questions related to DER

66  Country description: documents of each country as annex to state of the art report have been produced.  Case studies: descriptions of national case studies/pilots/research projects  Operating Agent has  produced several drafts of the state of the art report  collected case studies from the other countries outside the participating countries  organized expert meetings and workshops with the local experts and documented the results  Status of the final outputs of the first phase of the Task as in the mid September Subtask 1:  Questionnaires of six counties are collected  Country reports of six participating countries are collected  More than 50 case studies/pilots/research projects are collected and documented All the above information is in the secure side of the IEADSM-website and can be used by the participating countries

Subtask 2:  Draft of the synthesis report was delivered to the participants of the public workshop

Subtask 3:  The presentations and summary of the public workshop are available in the public side of the IEADSM-website inside Task XVII

Subtask 4:  Fourth draft of the synthesis report was delivered before the Seoul expert meeting including the main report and Annex report (with country descriptions and description of analysis tools and methods and with the list of case studies)  During the expert meeting a list of future activities was produced

WORK PLAN FOR THE NEXT 6 MONTHS  Final draft of the synthesis report will be produced by the end of September 2008  A proposal to the extension of the Task will be produced to the comments of experts by the end of September  The final version of the proposal will be delivered to EXCO 1-2 weeks before the Milan EXCO meeting

67 MATTERS FOR THE EXECUTIVE COMMITTEE  Publicity of the results: it is proposed that the final report (Synthesis report with the Annex report) is public. All the other information (questionnaires, case studies) are in the secure side of IEADSM website in the use of present and new partners of the Task  The extension of the Task will be accepted (the proposal will be delivered before the EXCO meeting)

68 Ad Agenda 3b (32nd meeting of the IEA DSM-Programme)

DOCUMENT G

Task XV: Network-Driven DSM

Task Status Report

The IEA DSM IA EXCO meeting in Milan is requested to approve the Task Status Report and the distribution of its Research Report No 5.

69 INTERNATIONAL ENERGY AGENCY

Task XV: Network-Driven DSM

Task Status Report

Dr David J Crossley Operating Agent Energy Futures Australia Pty Ltd

Prepared for IEA DSM PROGRAMME

19 September 2008

Energy Futures Australia Pty Ltd 11 Binya Close Hornsby Heights NSW 2077 Australia Phone: + 61 2 9477 7885 Mobile: + 61 411 467 982 Fax: + 61 2 9477 7503 Email: [email protected] Website: http://www.efa.com.au

70 CONTENTS

1. INTRODUCTION...... 68 2. SUMMARY OF TASK XV EXTENSION OBJECTIVE AND SUBTASK 68 2.1 Objective...... 68 2.2 Subtask...... 68 3. WORK PLAN...... 68 3.1 Subtask 1...... 68 3.2 Subtasks 2, 3 and 4...... 68 3.3 Subtask 5...... 69 3.4 Subtask 6...... 69 4. MAJOR ACCOMPLISHMENTS SINCE APRIL 2008...... 69 5. WORK PLAN FROM OCTOBER 2008...... 70 6. EXPERTS MEETING...... 70 7. FINANCIAL REPORT...... 70 7.1 Receipts...... 70 7.2 Expenditure...... 70 8. ISSUES TO BE CONSIDERED BY THE EXECUTIVE COMMITTEE...71

67 1. INTRODUCTION The original work plan for Task XV has been completed and a Final Task Management Report was presented at the IEADSM Executive Committee meeting in April 2007. This Task Status Report is concerned with the Task XV extension approved by the Executive Committee on 18 April 2007.

2. SUMMARY OF TASK XV EXTENSION OBJECTIVE AND SUBTASK 2.1 Objective The objective of the Task XV extension, as approved at the April 2007 Executive Committee meeting, is as follows:  to investigate in detail the role of load control and smart metering in achieving network- related objectives. 2.2 Subtask The Task XV extension adds one more Subtask to the existing five Subtasks of Task XV: Subtask 6: Role of Load Control and Smart Metering in Achieving Network- related Objectives Subtask Objective To investigate in detail the role of load control and smart metering in achieving network- related objectives. Subtask Deliverables A report summarising ways in which load control and smart metering can be effectively utilised to achieving network-related objectives.

3. WORK PLAN The work plan for the Task XV extension includes additional work on the existing subtasks plus new work on Subtask 6. 3.1 Subtask 1 Subtask 1 completed a world-wide survey of network-driven DSM projects and the results of the survey are included in an on-line database of 45 detailed case studies. In the Task XV extension, each new participating country will be provided with a copy of the Subtask 1 report and with access to the on-line database. The Operating Agent will research not less than five new case studies of load control and smart metering projects and add them to the on-line case studies database. 3.2 Subtasks 2, 3 and 4 These Subtasks completed the following areas of work:  Subtask 2 carried out the assessment and development of network-driven DSM measures;  Subtask 3 reviewed the incorporation of DSM measures into network planning; and

68  Subtask 4 investigated the evaluation and acquisition of network-driven DSM resources. In the Task XV extension, the reports from each of these subtasks will be provided to the new participating countries. The reports will be reviewed by the Operating Agent and the new participants to determine what information from each of the new participants should be added to the reports. 3.3 Subtask 5 Subtask 5 prepares and circulates a Task XV newsletter. In the Task XV extension, the Operating Agent will prepare and circulate two further editions of the newsletter. 3.4 Subtask 6 The objective of this new Subtask is to investigate in detail the role of load control and smart metering in achieving network-related objectives. The work of Subtask 6 will be carried out through three Activities. Activity 6-1: Load Control and Smart Metering Technologies This Activity will carry out a survey of currently available load control and smart metering technologies, focussing on the functionalities and capabilities of load control and smart metering devices that can be used to achieve network-related objectives. Activity 6-2: Load Control and Smart Metering Projects This Activity will review the load control and smart metering projects included in the Task XV case studies database to identify the factors that contribute to making such projects effective. Activity 6-3: Best Practices in the Use of Load Control and Smart Metering This Activity will identify best practices in the use of load control and smart metering to achieve network-related objectives.

4. MAJOR ACCOMPLISHMENTS SINCE MARCH 2008 Following are the major accomplishments in the Task XV extension over the last six months.  Expansion of the Case Studies Database. The case studies database was expanded by the inclusion of an additional 19 case studies (the target was five). The new case studies were from: Australia (3), Canada (1), India (9), New Zealand (2), United Kingdom (2) and the United States (2). This brings the database total to 64 detailed case studies of network- driven DSM projects from 13 different countries.  New Report. By the time of this ExCo meeting, the Operating Agent will have completed a new report Task XV Research Report No 5: The Role of Load Control and Smart Metering in Supporting Electricity Networks. This report is scheduled for balloting at this ExCo meeting.  Second Editions of Existing Reports. By the time of this ExCo meeting, the Operating Agent will have completed second editions of the four existing Task XV reports by adding material supplied by the Country Experts from the ‘new’ participating countries: India, New Zealand and South Africa.

69 5. WORK PLAN FROM OCTOBER 2008 Nil – the Task XV extension will be completed by the time of this ExCo meeting.

6. EXPERTS MEETING Nil.

7. FINANCIAL REPORT 7.1 Receipts As at 19 September 2008, full financial contributions have been received from all the ‘new’ participating countries: India and New Zealand and South Africa. 7.2 Expenditure Table 1 details the expenditure incurred from the commencement of the Task XV extension to 19 September 2008. Labour is charged in euros and converted to Australian dollars at the exchange rate applicable on the date of invoice payment. Other expenses are charged in the original currency in which the expense was incurred and converted to Australian dollars at the exchange rate applicable on the date of invoice payment. To produce this statement, the Australian dollar amounts were converted back to euros at the exchange rates applicable on 19 September 2008. Consequently there are some minor discrepancies compared with the original currency amounts. These discrepancies are caused by movements in exchange rates since the invoices were paid.

Table 1. Expenditure on Task XV Extension Expense Item AUD EUR Labour 93,186.90 53,261.59 Travel 9,624.26 5,499.59 *Internet services 12,008.15 6,861.82 Bank charges 150.00 85.68 Total 114,969.31 65,708.68

The expenditure to 19 September 2008 of EUR 65,708.68 is 87% of the EUR 75,300 budget for the Task XV extension. By the time of the ExCo meeting, the budget for the Task XV extension will be fully expended. * Note that the expenditure on internet services covers payment to the IEADSM webmaster for his work in establishing the Task XV databases on the new IEADSM website. This expenditure was unexpected and was not included in the budget for the Task XV extension.

70 8. ISSUES TO BE CONSIDERED BY THE EXECUTIVE COMMITTEE The ExCo members from participating countries are requested to approve the distribution of the following report: Task XV Research Report No 5: The Role of Load Control and Smart Metering in Supporting Electricity Networks.

71 Ad Agenda 4a

DOCUMENT H

Task XVI

Competitive Energy Services (Energy-Contracting, ESCo Services)

Task Status Report

This Task Status Report is submitted to the IEA DSM IA EXCO meeting in Milan with a request for the EXCO to: * Approve the task status report * Discuss and decide upon an extension as proposed for a period of 3 years starting in July 2009 and ending in June 2012

Task XVI: Competitive Energy Services (Energy-Contracting, ESCo Services)

Task Status Report

Jan W. Bleyl Operating Agent Graz Energy Agency Ltd Austria

Pertti Koski Co-operating Agent Motiva Oy Finland

Prepared for the ExCo meeting in Milan October 23rd-24 th, 2008

73 Introduction, Summary of Objectives and Subtasks Introduction The success of further increasing energy efficiency in all sectors of consumption will play a vital role in coping with the challenges of our common energy future. Avoiding energy consumption by increasing end-use efficiency, is a highly effective way to meet all three key targets of energy policies: security of supply, affordable costs of energy services and environmental soundness. Energy Services (ES) - also labelled as Energy-Contracting or ESCo Services- are a well proven instrument to implement energy efficiency measures such as lighting, HVAC or comprehensive refurbishment of buildings. An Energy Service Company (ESCO) takes over the technical and economical implementation and operation risks and has to guarantee for the savings and overall results. Over the whole contract term. ES are also well suited to implement innovative and renewable energy systems. Energy services are an expanding business throughout the world contributing to the improvement of energy efficiency, control of energy costs and reduction of greenhouse gas emissions. The concepts of offering these services can get various forms resulting in diverse contract models and financing arrangements. The basic feature is guarantee of energy savings and/or cost savings by the energy service company to the client. Energy service activities have been started in different segments of energy consumption in different countries, even though the building sector is common to most of them. White areas on the market map are gradually being covered by existing and new enterprises. Task XVI ´Competitive Energy Services´ serves as a forum for the representatives of the participating countries to exchange information and experience of the different aspects of the energy service business, including the public sector actors, and giving that way incentives to the advancement of activity in this area.

Objectives The objectives of Task XVI are as follows: 1. To initiate and support country specific activities for developing the market for competitive energy services (with a focus on individually selected market segments) 2. To initiate and establish an IEA DSM Energy Services Expert Platform 3. To design, elaborate and test innovative energy services and financing models (published in a series of manuals) 4. To position the expert platform as a competence centre for energy services for international dissemination and assistance services (e.g. coaching, training courses)

Expected Results The benefits for the participating countries and for the DSM agreement will be:  Enlarging the market for energy services  Participation in the IEA DSM energy services expert platform and communicating with external stakeholders

74  Mutual feedback, coaching and experience exchange for country specific market development activities (NIA’s)  Know-how and capacity building on innovative and competitive energy services and financing models from the Think Tank  EU countries can prepare for the EU-directive on “energy end-use efficiency and energy services” and help closing the gap between policy targets and the “real world”  Task XVI will play an active role in the international dissemination of competitive ES and offer assistance services for the market development in other countries  Developing business opportunities for internationally acting ESCOs  Contributions to an IEA DSM competence centre

Structure of the Work The Task XVI Work Plan consists of four main components: 1. IEA DSM energy services expert platform (ES-platform, subtask 3) 2. Innovative and competitive energy services think tank (think tank, subtask 4) 3. National implementing activities (NIAs, subtask 5) 4. International dissemination activities (subtask 6) The following scheme illustrates the general structure and workflow of the proposed Task: Subtask 1: Review and evaluation of the previous Task X work

1. Review + evaluation of previous Task X work

2. NIAs – first drafts

3. IEA DSM ES-platform kick off + WS 4.Think Tank 5.NIAs: (Innovative •Capacity schemes): building •Financing •market •Comprehen- development sive refur- 6. Int. Dissemination bishment •Coop. with REEP, CTI 3. IEA DSM ES–platform •conferences, WS meetings + WS •project coaching •national •… •Quality target groups Standards •model •… projects 3. IEA DSM ES-platform •… Summary Conference

Subtask 2: National implementation activities – first drafts Subtask 3: IEA DSM energy services expert platform Subtask 4: Innovative and competitive energy services Think Tank Subtask 5: National implementation activities (NIA’S) Subtask 6: International dissemination

75 A more detailed description of the above organisational structure and subtasks can be obtained from the Task Work Plan (exerts printed in the 2006 Annual Report).

Accomplishments since April 2008 During the last 6 month period the following accomplishments were achieved:  Japan will continue its participation in the implementing agreement and Task XVI. Japan has nominated Mr. Takeshi Matsumura, General Manager at Japan Facility Solutions (JFS) as new country expert, replacing Jun Kawana, who has left JFS with a new assignment at JFS’ mother company TEPCO.  Subtask 3: The National Experts of Task XVI will hold two meetings in 2008. In connection with these meetings Think Tank sessions and 2 external stakeholder workshops are organized: 1. The 5th meeting was held in Delhi, India, March 31st - April 1st, 2008. The workshop with Indian stakeholders was attended by representatives from the Bureau of Energy Efficiency and representatives of ESCO’s in India, in addition to the Experts of T16. The main topics in the program was setting baselines and financing. 2. The 6th platform meeting is currently being organized and will be take place in Brussels, Belgium, November 11th and 12th, 2008 including a half national stakeholder workshop. On November 13th and 14th the Energy Forum will take place in Brussels, with Task XVI contribution on innovative financing schemes  Subtask 4: Think Tank has worked on the following topics: 3. Integration of Demand Side Measures into Energy Supply Contracting models. Material for a concrete model project has been elaborated and will be tested within a Styrian pool of public service buildings (consisting of schools, office buildings and a seminar house) in the framework of a Europeanwide public tendering process. 4. Research and preparation for a presentation on (public) procurement of energy service to be discussed at the next platform meeting in Brussels. 5. The financing manual has been published on the internet and can be downloaded from the public Task XVI website (http://dsm.iea.org/ViewTask.aspx?ID=16&Task=16&Sort=0)  Subtask 5 National Implementation Activities is a continuous activity in the Task which has set a format to be followed by the Experts: The Experts’ presentations in the meetings provided information of the national activities during the previous periods and of plans for the coming period. Items dealt with on the basis of the presentations included overcoming barriers in capturing clients, entering new market segments, arranging financing, providing sufficient information to the potential ES-clients, collecting and presenting information on project cases and carrying out energy audits.

76  Subtask 6 International Dissemination: 6. Presentations were given at the international “Advances in Energy Studies” conference in Graz and a one day national seminar on Energy Contracting in Vienna for potential new ESCo customers. 7. One public stakeholder workshop was organized in India another is being prepared for Brussels (see subtask 3)

Work plan for the next 6 Months During the next reporting period, the following activities will be carried out:  Subtasks 3 and 5. The National Experts will have one meeting in 2008, which is scheduled to be in Brussels on November 11-12. In the first half of 2009 one final meeting will be held, the venue will be decided in the meeting in Brussels. 8. Implementation of national action plans will be dealt with by the experts in these meetings. 9. Internal and external Think Tank sessions will be organized in connection with both of those meetings, with representatives of the national stakeholders invited to participate.  Subtask 4: Officially subtask 4 activities will be terminated by the end of 2008. Nevertheless in view of some urgent topics and assuming, that the proposed extension of Task XVI will be granted, work on selected topics will be continued: 10. (Public) procurement of energy service, comparison of in house and energy contracting services, functional versus detailed description of services 11. “ Integration of Demand Side Measures into Energy Supply Contracting Models”  Subtask 5: Implementation of the National Activity Plans will be followed up and exchange of information and experiences between the Experts will take place.”  Subtask 6: Presentations at various national and international conferences and seminars are planned, e.g. preparation for a publication on integration of demand side measures into Energy Supply Contracting (Integrated Energy Contracting) for presentation at the ECEEE ’09, a public stakeholder seminar in Brussels and presentation on innovative financing options at the Energy Forum in Brussels are planned. Also a publication of the Task XVI financing manual is under consideration in cooperation with the Brussels based energymag.

At their last meeting in Delhi, the participants have taken a unanimous decision to apply for an extension of Task XVI. The operating agent is currently preparing an extension to the existing task work plan to be presented to the ExCo in Milan with a request for approval, financing and assignment/confirmation of experts. The extension proposal is attached to this document.

77 Project Time Table The Task project timetable is shown below. Task XVI Timetable (as of September 2008) Current Status Project prep.  Project start '06 2007 2008 2009 Subtasks Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 1. Review of previous Task X work 2. National implementation activities - first drafts 3. IEA DSM Energy Services expert platform Expert Meetings / Workshops 4. Energy Services and Financing Think Tank Publications / Manuals 5. National Implementation Activities 6. Intern. Dissemination 7. Management & Reporting

Task XVI-Event

ExCo, annual and EoT Reporting Time-wise we have spent 26 month out of 36 month project duration. So far no significant delays have occurred and all scheduled events and reporting targets have been met.

Financial Report The second annual financial contributions have been received according to the plan. TASK XVI BUDGET AND COST CUMULATION BY ITEM (as of August 2008) Subtask Total Cumulative % spent Remaining budget spending € € € Personnel costs

1. Task X Review 15.000 15.000 100% 0

st 2. NIAs - 1 drafts 6.000 6.000 100% 0

3. Expert Platform 52.500 26.261 50% 26.239

4. Think Tank 84.000 70.346 84% 13.654

5. NIAs - Final 22.500 13.298 59% 9.202

6. Int´l dissemination 22.000 14.336 65% 7.664

7. Mgmt&reporting 54.000 39.500 73% 14.500

Subtotal 256.000 184.741 72% 71.259

Travel costs 28.000 14.766 53% 13.234

Printing&other 12.000 5.750 48% 6.250

Total 296.000 205.257 69% 90.743

After 26 month (out of 36 month project duration) 69 % of the budget has been spent.

IEA-DSM TASK XVI: ”Competitive Energy Services” (Energy-Contracting, ESCo Services)

Extension of Task Work Plan

22/09/2008

Presented by: Jan W. Bleyl, Boris Papousek Graz Energy Agency, Austria Seppo Silvonen, Pertti Koski, Motiva, Finland

79 Table of Contents

1. Background and Motivation 80 2. Objectives of Task XVI 82 3. Expectations and Results 82 4. Structure of the Work, Subtasks and Task Information Plan 83 4.1 IEA-DSM Energy Services Expert Platform (subtask 3) 84 4.2 Innovative and Competitive Energy Contracting Models and Support Tools Think Tank (subtask 4) 85 4.3 National Implementation Activities (subtask 5) 87 4.4 International Dissemination (subtask 6) 87 4.5 Management and Reporting (subtask 7) 88 5. Management and Responsibilities 89 6. Schedule of Task XVI-extension 91 7. Resources and Budget of Task XVI-extension 91

Background and Motivation

Towards the energy policy targets The success of further increasing energy efficiency in all sectors of consumption plays a vital role in coping with the challenges of our common energy future. Avoiding energy consumption by increasing end-use efficiency is a highly effective way to meet all three key targets of energy policies: Security of supply, affordable costs of energy services and environmental soundness. Energy Efficiency has finally found its way up on the political agendas over the course of the last few years. Worldwide, concrete saving targets have been declared (like the EU strategy “20-20-20 by 2020” concluded by the EU heads of state at their 2007 summit. But what are the appropriate instruments to bring energy efficiency to the customer? Now and for the foreseeable future there is an urgent need to conclude and support all suitable political, regulatory and market based instruments for the implementation of Energy Efficiency and Renewables. This is where the Task XVI extension wants to pay it’s contribution.

Win-win-win through Energy Contracting Energy Contracting - also labelled as ESCo or Energy Service (ES) – is a many times proven DSM instrument to implement energy efficiency measures for lighting, heating, ventilation and air-conditioning (HVAC-technologies) or even comprehensive refurbishment of buildings. An Energy Service Company (ESCo) takes over the technical and commercial implementation and operation risks and has to guarantee for it’s cost and results. ES are also well suited to implement innovative energy technologies and renewable energy systems. The ESCo industry is an expanding business throughout the world contributing to the improvement of energy efficiency, control of energy costs and reduction of greenhouse gas and other emissions. The models of offering these services can get various forms like Energy Supply Contracting (ESC) or Energy Performance Contracting (EPC) resulting in diverse contract models and financing arrangements. The basic features are summarized in the following definition:

Energy Contracting is a comprehensive energy service product to improve energy performance and cost efficiency of buildings or production facilities sustainably. An Energy Service Company (ESCo) implements a modular efficiency package (consisting of planning, building, operation & maintenance, optimization, fuel purchase, (co-)financing, user motivation), takes over technical as well as commercial implementation and operation risks and provides guarantees for it's cost and results. Over the whole project term of typically 5 to 15 years (Definition after Bleyl 20085).

If designed and implemented properly, energy contracting creates a win-win-win-situation: Guaranteed and long term energy and cost savings for the facility owner, a business opportunity for energy service companies (ESCOs) and less emissions into the environment.

Issues for the extension of Task XVI Energy contracting activities have been started in different segments of energy consumption in different countries. White areas on the market map are gradually being covered by existing and new enterprises. Nevertheless Energy Contracting still is a complex product, which can not be sold or procured easily in the markets. As it is the case with energy efficiency in general. In many other countries markets are still immature and in a developing stage. There are many reasons to take the work of Task XVI further on the way towards developed energy service markets: - The Task XVI Energy Services Expert Platform has worked successfully over the last three years. The platform will continue to serve the country experts exchange and networking, to support national implementation activities and communication with their stakeholders and to provide access to innovative and competitive Energy service models and tools from the Think Tank. - The participants have taken a unanimous decision at their last meeting in Delhi to apply for an extension of their work. Also the midterm evaluation of Task XVI had a clear positive outcome. - National implementation activities of energy efficiency implementation still face numerous obstacles. As indicated earlier: There is an urgent need to support all suitable political, regulatory and market based instruments for the implementation of Energy Efficiency and Renewables. This is where the Task XVI extension wants to pay it’s contribution. Realized energy supply contracting projects typically achieve 15-20 % efficiency improvements on the supply side. Energy performance contracting projects have realized efficiency gains of 20-30 % and the integrated contracting

approach or comprehensive refurbishment model achieves 30 to 50%. CO2-Emission reductions are in many cases above 50 % because of a change of energy carriers to lower carbon content or renewables. - Energy contracting models focus on implementation of any existing or innovative energy efficiency and renewable energy technology with the energy-contracting model. Energy contracting models have an interdisciplinary approach incorporating many aspects of the implementation process, such as economical, financing, organizational, legal and technological issues in order to achieve guaranteed performance and results of the efficiency technology deployed. Further research is needed in a number fields on the way to more competitive energy service products and market development, which are listed in the Think Tank description (subtask 4), e.g.

5 Bleyl, Jan W. 2008, “Energy Contracting” to Achieve Energy Efficiency and Renewables using Comprehensive Refurbishment of Buildings as an example, in: Urban Energy Transition, Elsevier 2008

81 integrating demand side efficiency measures into supply contracting models or tools for (public) procurement of energy services. - The Task has to keep its goal to take a product oriented approach; meaning that the knowledge gathered should be transformed in concrete products (publications, financing and calculation tools but also innovative ESCo products). - Task XVI has received considerable interest in its previous work, expressed in a number of invitations to conferences and workshops to more than ten IEA as well as non IEA countries or a book contribution on “Urban Energy Transition”. Also the task work itself benefits from feedback on its publications. This international dissemination activity of IEA DSM work should be taken further and will also enhance the visibility of the DSM programme as a whole.

The ExCo has invited the Task XVI operating agent to prepare an extension proposal for its next meeting in Milan. This Task XVI extension plan is submitted to the ExCo with a request for approval, financing and assignment/confirmation of experts. Participation in the Task XVI-extension is open to a limited number of one or two new participating countries.

Objectives of Task XVI

In order to contribute to the development and implementation of innovative and competitive energy services the objectives of IEA dsm Task XVI-extension are, in continuation of the general task objectives: 1. To continue the IEA DSM Energy Services Expert Platform 2. To support and follow up country specific activities to implement energy services in the market with a focus on selected market segments 3. To design, elaborate and test innovative energy contracting and financing models and publish them 4. To position the expert platform as a competence centre for energy services for international dissemination and assistance services (e.g. coaching, training courses, publications) in the field of energy contracting and to contribute to an “IEA DSM Centre of Excellence”

Expectations and Results

The benefits for the participating countries and for the DSM agreement will be:  Enlarging the market for Energy Contracting/Services  Participation in the IEA DSM Energy Services Expert Platform and communicating with external stakeholders  Mutual feedback, coaching and experience exchange for country specific market development activities (NIA’s)  Know-how and capacity building on innovative and competitive energy contracting and financing models and support tools from the Think Tank

82  Demanding the OA to prepare selected energy contracting issues of interest  EU countries can contribute to the implementation of the EU-directive on “energy end-use efficiency and energy services” and help closing the gap between policy targets and the “real world”. Non-European countries may profit from this experience as well.  Task XVI plays an active role in the international dissemination of competitive ES and offers assistance services for the market development in other countries  Contributions to an IEA DSM competence centre  Developing business opportunities for internationally acting ESCOs

Structure of the Work, Subtasks and Task Information Plan

The proposed Task XVI Work Plan extension will continue to work with its well established structure, consisting of four main components: 1. IEA DSM Energy Services Expert Platform (ES-Platform, subtask 3) 2. Innovative and competitive energy contracting think tank (Think Tank, subtask 4) 3. National implementing activities (NIAs, subtask 5) 4. International dissemination activities (subtask 6)

The following scheme illustrates the general structure and workflow of the task extension:

In the left pillar, the national implementing activities (NIAs), focused market development and capacity building activities take place in the participating country. In the other pillar, the

Figure 1: Task XVI-extension: Structure of Subtasks

“think tank”, the experts will follow new developments and elaborate innovative energy service models according to their needs.

83 The IEA DSM Energy Services Expert Platform (ES platform) serves as the link between the two pillars, as the communication tool internally and externally and as the starting point for developing services like coaching and training for the outside world (towards a “Centre of Excellence”).

The results of Task XVI are disseminated in a series of stakeholder workshops, presentations at conferences, workshops and with publications. Additionally co-operations with international organisations and assistance services shall be offered. Subtasks one and two of the original task work plan are accomplished and need no extensions keeping the original subtask numbering. Activities and tasks of the above organisational structure are explained in the following subtask descriptions. The essence of the work in Task XVI is in collecting, processing and transmitting information. Each one of the subtasks deals with information related to the topic of energy services, in the sense of improving energy efficiency. The common goal of the task information activities is to create the basis for the expert platform and produce substance for the Centre of Excellence. These will again disseminate the information to the market actors. Besides providing information about the results of the task in general, some of the subtasks have dissemination and communication as explicit objectives (ES platform, National Implementation Activities, International Dissemination), as stated in the detailed following subtask descriptions.

4.1 IEA-DSM Energy Services Expert Platform (subtask 3) The platform is the internal and external communicative heart of the task activities, as illustrated in Figure 1. It consists of all country experts (CE) and the operating agents (OA and Co-OA).

The platform will host the internal experts meetings as well as public stakeholder workshops, open to our target groups. Results and material of the meetings will be filed in the IEA DSM Task XVI homepage.

Meetings will be called on demand (roughly on a twice a year schedule) in order to follow up, present and discuss progress of the National Implementation Activities (subtask 5) and to report on the results of the energy service think tank (subtask 4).

There will be a series of stakeholder workshops performed in conjunction with each project meeting to discuss energy contracting topics relevant to the host country of the meeting and to present and disseminate results of Task XVI. The workshops are open to guests from ES stakeholder organisations like real estate owners, ESCos, financing institutions and project developers like energy agencies who will be invited by the CEs hosting the workshop.

The platform also serves as an expert pool to provide assistant and coaching services between the task members as well as to external advice seekers. It will communicate with potential interested parties, disseminate material, participate in workshops and put publications on the Internet as information resource.

84 Activities: 1. Organisation & preparation of six expert meetings and stakeholder workshops (Co-OA with host countries) 1. Meetings: Networking, presentation of national implementation activities progress and problems, coaching and feedback, exchange of information (Co-OA) 2. Internal Workshops: Presentations and discussion of results from think tank (OA) 3. Stakeholder Workshops: Discussion of relevant energy contracting topics and presentation of results of Task XVI (Host country expert with OA) 4. Assistance and coaching for all stages of project development and implementation (OA, Co-OA, CE) 5. Information and communication activities, contacts to interested parties, participation in workshops (OA, Co-OA, CE)

Deliverables: Minutes and presentations from platform meetings and workshops

4.2 Innovative and Competitive Energy Contracting Models and Support Tools Think Tank (subtask 4) Energy contracting incorporates many aspects of the implementation process, such as economical, financing, organizational, legal and technological issues in order to achieve guaranteed performance and results of the efficiency technology deployed. The objective of this subtask is to further develop and document innovative and competitive energy contracting models and issues. Also the development and application of calculation tools, e.g. for comparison of different ESCo offers and in house implementation cost including non-monetary criteria, is an important issue to support the regular work of the CE’s. From the perspective of the participating countries, the purpose of the Think Tank is to serve them with know-how, which they may use and adopt in their national implementation activities. They can also demand the OA to prepare selected energy contracting issues of interest for them. And they can profit from the (documented) experience and lessons learned of the Task XVI partners. The preliminary selection of Think Tank topics for this task extension is:  Extending the Energy Supply Contracting model to incorporate energy efficiency measures on the demand side of buildings or production processes (Integral Energy Contracting)  (Public) Procurement of Energy services: A guide how to purchase energy services

Additional topics of interest are:  Reviews and analyses of the impact of the ‘Energy Services Directive’ in the participating EU-countries (the outcome of this will be helpful to the non-EU participants, as well)  Comprehensive refurbishment of buildings (extension): improved comfort levels, verification of efficiency without baselines …

85  Calculation tool for comparison of different ESCOs offers and in house solutions  Calculation tool for comparison of non-monetary awarding criteria in ESCo competitions, e.g. quality of equipment or emission levels  Innovative financing models (continuation)  Instruments for developing the market: Simplified and standardized procedures and products, communicating and educating the customers …  Database of good practice energy contracting projects  (Simplified) measurement, monitoring and verification. Lessons learned from real world projects, IPMVP and EMEEES  Solar thermal energy contracting models  Quality standards and quality assurance instruments for energy services  Integrating the energy contracting concept into facility management services, e.g. for commercial sector buildings  Integration of EPC principles into single transversal measures (an individual measure like window films applied to multiple buildings (Belgium proposal)  Role and need of national or regional ESCo associations (Belgium proposal)  Additional topics may be proposed by the country experts

The participating country experts will make the final selection of Think Tank topics after the start of the task extension. Depending on the number of participating countries and resources available more topics can be elaborated.

The items will be dealt with in a three-stage process: Preliminary manuals, publications or calculation tools will be worked out, presented and discussed at the internal and external ES- platform workshops. Based on feed back, testing and national experiences the manuals, publications or calculation tools will be finalised. Optionally, the results may be adapted to specific national frameworks and translated into the country language for wider dissemination.

The results of the Think Tank work are documented in manuals or publications. These are practically oriented reports addressed to ESCOs, project developers, consultants, energy efficiency experts and interested clients and are meant to serve as guidelines for implementation.

Activities: 1. Preparation of four draft manuals, publications or calculation tools (3 x OA, 1 x Co-OA with input form selected CE) 2. Presentation and discussion of results with country experts at internal and external meeting workshops and other forums (3 OA, 1 Co-OA) 3. Optional: Country experts are invited to discuss and test the results in their respective national backgrounds and stakeholders. Models may be

86 adopted for use in their own countries. Feedback of experiences to Task XVI (CE) 4. Delivery of four final manuals/publications/calculation tools (3 x OA, 1 x Co-OA)

Deliverables: Four manuals, publications or calculation tools on innovative energy contracting topics 4.3 National Implementation Activities (subtask 5) All participating countries will continue to conduct national implementing activities in order to bring energy efficiency through energy contracting closer to their respective markets and customers.

The design of the national activities will vary, depending on the country specific market situation for energy efficiency (from “reinforcing the basics, capacity building to specific market segment development activities and model projects). Already ongoing national activities can be integrated into this national work package.

The platform will support the CE with the design and implementation of the NIAs. CE’s can receive coaching and support from platform members for their individual implementation activities and will benefit from the international information and lessons learned exchange. National implementation will also profit from the elaboration of energy contracting issues selected by the CE’s and prepared by the operation agent in the framework of the Think Tank. In addition, country experts are invited to discuss and test the results from the Think Tank in their respective national backgrounds and with national stakeholders. The innovative models and tools may be adopted to the respective national framework for application in their own countries.

Activities: 1. Organisation and management of NIA sessions and reporting (Co-OA) 2. Provision of templates and tools for NIA reporting and follow up (Co-OA) 3. Coaching and input for NIA’s (Co-OA and OA)

Deliverables: National reports on implementation activities 4.4 International Dissemination (subtask 6) The results of the Think Tank and Task XVI other subtasks will be discussed and disseminated internationally through presentations and publications. Annually, at least three contributions at relevant conferences and workshops are planned.

Six stakeholder workshops are planned in conjunction with each project meeting to discuss energy contracting topics relevant to host country of the meeting and to present and disseminate results of Task XVI. The workshops are open to guests from ES stakeholder organisations like real estate owners, ESCos, financing institutions and project developers like energy agencies who will be invited by the CEs hosting the workshop.

The IEA DSM ES-platform is also designed to serve as a competence centre and contribute to an IEA DSM “Centre of Excellence”. As a potential partner to international financing institutions, ESCos, climate change facilities, JI/CDM bodies, international associations and networks (REEEP, CTI etc.) it intends to offer expertise, support and further services. These

87 possibilities will be further explored during the task in partnership with the organisations mentioned.

The possibility to use telephone conferences for seminars has been applied successfully in the past (e.g. in cooperation with BASE for a financing workshop with more than 20 international participants) and will be offered again.

Activities: 5. Minimum of three Task XVI international presentations per year on innovative energy contracting issues (OA) 6. Minimum of three publications of Task XVI results in relevant proceedings, journals or book contributions (OA) 7. Six national stakeholder workshops: Discussion of relevant energy contracting topics and presentation of results of Task XVI (Host country expert with OA) 8. Initiating joint projects and services with international organisations and further IEA and non IEA countries (OA) 9. Offering assistance and coaching for project development and implementation as well as expertise for seminars and workshops organised by other actors (OA)

Deliverables: Six task status reports on activities carried out. Selected presentations and publications on Task XVI homepage 4.5 Management and Reporting (subtask 7) The Operating Agent (OA) will ensure project progress according to the timetable, deliverables, milestones and expected results and the professional, result-oriented implementation of the project in close collaboration with the Co-Operating Agent (see below) and the country experts. The OA is also responsible for all reporting to the DSM EXCO.

Activities: 1. Overall project organisation and management (OA) 2. Task Status reports (OA with input from Co-OA) 3. Annual reports (OA with input from Co-OA) 4. End of Term report, if applicable (OA with input from Co-OA) 5. Participation in IEA DSM EXCO meetings (OA) 6. Final report and task management report (OA with input from Co-OA) 7. Task flyers – at the start and at the conclusion of the project (OA) 8. Communication with related IEA tasks and other projects (OA, Co-OA)

Deliverables: Six half yearly Task Status reports Three annual reports One End of term report (if applicable) One Final report (compilation of subtask deliverables)

88 Task management report Two Task flyers

Management and Responsibilities

It is proposed that the cooperation of the Operating Agent and the Co-Operating Agent is continued, sharing the responsibilities of this task with respect to the subtasks as follows:  The Operating Agent (OA) is responsible for subtasks 4, 6 and 7 (Think Tank, International dissemination and Management and Reporting)  The Co-Operating Agent (Co-OA) is responsible for subtasks 3 and 5 (Energy contracting experts platform and National implementation activities) A further detailing of responsibilities is indicated in the detailed subtask descriptions. The sharing of responsibilities also includes that the OA and Co-OA will act as subtask leaders for the respective subtasks. The participating countries will assign capable experts (CE) to Task XVI as country experts. The Operating Agent (OA) is responsible for the overall performance, time schedule, information transfer, reporting, etc. of Task XVI following the Procedural Guidelines for the IEA DSM Programme. The responsibilities of the OA include: a) Taking care of the overall management of the task, including co-ordination, liaison between the Subtasks, flow of information between the participants and communication with the Executive Committee; b) Providing a task status report to each ExCo meeting, the Final Report and the Task Management Report; c) Distributing the results of the work; d) In his role as Subtask Leader he/she is responsible for the quality and the management of the work to be performed under the subtasks 4,6 and 7; including the preparing, editing, and organising of subtask reports, providing status reports on the progress made and convening and leading subtask meetings as required. e) Performing additional services and actions as may be decided by the ExCo if provided with appropriate resources; f) Maintaining contacts with work related to this Task going on in other Implementing Agreements or in other international organisations; Organizing other meetings as presented in the work plan;

The Co-Operating Agent’s (Co-OA) responsibilities include: a) In his role as Subtask Leader he/she is responsible for the quality and the management of the work to be performed under the subtasks 3 and 5; including preparing, editing, and organising of subtask reports, providing status reports on the progress made and convening and leading subtask meetings as required;

89 b) Chairing the Task meetings and setting the agenda (in consultation with OA). Assistance at each meeting will be provided by the participant from the country hosting the meeting; c) Assisting the OA in preparing the detailed WP (including the budget); d) Assisting in the co-ordination of the Task work and advising the OA on the performance of the Task extension; e) Assisting the OA in disseminating the task results and undertaking appropriate activities on his own.

Each participating country expert (CE) a) Is responsible for his respective national implementation activities (subtask 5); a) Will provide the subtask leaders (OA and Co-OA) with detailed reports on the results of the work carried out and all relevant information and data; b) Gives the best possible contribution to the content and reviewing of the draft reports of the Task and the Subtasks (publications, manuals and tools of subtask 4, final report, task management report, training material) c) Will organise one expert meeting and one stakeholder workshop in his/her home country over the course of the task; d) Helps the OA and Co-OA in disseminating the results of the work.

Proposals for the Operating Agent duties: Jan W. Bleyl from Graz Energy Agency, Austria, is offering to continue to serve as Operating Agent. Seppo Silvonen or Pertti Koski from Motiva Oy, Finland, is offering to continue to serve as Co-Operating Agent.

90 Schedule of Task XVI-extension

It is intended to seamlessly continue with the activities of the Task XVI (provided approval of the EXCo and the commitment of the participating countries to the Task XVI extension) according to the following general time frame:

Figure 2: Task XVI-extension schedule The Task XVI extension is planned for a period of 3 years starting in July 2009 and ending in June 2012.

Resources and Budget of Task XVI-extension

In comparison to the initial Task XVI budget, the total budget could be reduced by approximately 15 %, resulting in decreased cost shares for the participating countries. The Operating Agent budget for the Competitive Energy Services Task is denominated in Euros. A breakdown of costs between the subtasks is shown in the following table based on five participating countries:

91 Subtasks Days Costs [€] Personal costs: 3 IEA DSM Energy Services Expert Platform 66 52.800 4 Energy Services and Financing Think Tank 100 80.000 5 National Implementation Activities 18 14.400 6 International Dissemination 27 21.600 7 Management & Reporting 65 52.000 Personal costs subtotal: 276 220.800

Travel OA and Co-OA: 28.000 Other cost: 9.000

Costs total: 257.800 Costs per year (for 3 yrs) 85.933 Figure 3: Task XVI cost sharing budget (5 participants)

The OA budget will be shared according to the task and responsibility sharing between OA and Co-OA (see description of subtasks): Operating Agent: 176.300,- € Co-Operating Agent: 81.500,- € Budgets may be shifted in mutual agreement between operating and co-operating agent.

Cost sharing: Countries participating Country contributions per year (for 3 yrs) 5 6 Each country participating (including OA and Co-OA) 14.000 13.000 Add. contribution OA and Co-OA countries (Aut, Fin) 15.933 11.933 Sum per year 85.933 89.933 Figure 4: Task XVI cost sharing table

With every additional country, the cost share for each partner is further reduced by 500,- €/year.

Austria and Finland, as the countries providing the OA and Co-OA, will contribute with a substantially higher share to the OA budget. This additional contribution is shared according to the respective budget shares: Austria 68%, Finland 32 %. The additional resources available with more participants will, in accordance with the countries participating, be used for additional information activities, further elaborations in the think tank and for the higher expenses for managing the Task.

92 Task sharing: In addition to the cost sharing to the OA budget, each country will be required: - to provide expert time of approx. 1-2 person-months a year - to attend six meetings/workshops of the ES-platform and prepare for it - to host a meeting/workshop during the lifetime of the task-extension, plus - to carry out the national implementing activities inside the country. Participation may partly involve funding already allocated to a national activity, which falls substantially within the scope of work to be performed under this Task.

93 Ad Agenda 4b (32nd meeting of the IEA DSM-Programme)

DOCUMENT I

Task XVIII: DSM and Climate Change

Task Status Report

The IEA DSM IA EXCO meeting in Milan is requested to approve the Task Status Report and to note that the shortfall of the Australian contribution will be covered and not affect the other participating countries.

Task XVIII: DSM and Climate Change

DOCUMENT I

Task Status Report

Dr David J Crossley Operating Agent Energy Futures Australia Pty Ltd

Prepared for IEA DSM PROGRAMME

20 September 2008

Energy Futures Australia Pty Ltd 11 Binya Close Hornsby Heights NSW 2077 Australia Phone: + 61 2 9477 7885 Mobile: + 61 411 467 982 Fax: + 61 2 9477 7503 Email: [email protected] Website: http://www.efa.com.au

95 CONTENTS

1. INTRODUCTION...... 97 2. SUMMARY OF OBJECTIVES AND SUBTASKS...... 97 2.1 Objectives...... 97 2.2 Subtasks...... 98 3. WORK PLAN...... 99 4. MAJOR ACCOMPLISHMENTS SINCE APRIL 2008...... 100 5. WORK PLAN FOR THE PERIOD OCTOBER 2008 TO APRIL 2009...100 5.1 Timetable...... 100 5.2 Work Plan...... 104 6. EXPERTS MEETINGS...... 104 7. FINANCIAL REPORT...... 104 7.1 Receipts...... 104 7.2 Expenditure...... 104 8. ISSUES TO BE CONSIDERED BY THE EXECUTIVE COMMITTEE.105

96 1. INTRODUCTION DSM and climate change was first identified as an area for new work at the April 2006 ExCo meeting in Copenhagen. At its October 2006 meeting in Maastricht, the ExCo agreed that a Concept Paper for a DSM and Climate Change Task should be prepared. At that meeting, seven countries indicated that they may be interested in participating: Australia, Belgium, Ireland, Korea, South Africa, United Kingdom and the United States. At the April 2007 meeting in Seoul, the ExCo requested revisions to the Concept Paper and agreed that a Task Definition meeting should be held. The Task Definition meeting was held on 9 October 2007 in Brugge, Belgium. Four countries attended: Australia, Belgium, France and Spain, with India attending as an observer. Prospective participants made several suggestions for modifying the design of the DSM and Climate Change Task. These changes were included in the presentation made on 11 October 2007 to the ExCo meeting in Brugge. At the Brugge ExCo meeting, Australia, France, Finland and Spain declared a positive interest in a DSM and Climate Change Task and Austria, Belgium, Denmark, India, Korea and the United States were prepared to give the Task further consideration. The Executive Committee members then unanimously decided to initiate the work on DSM and climate change as IEADSM Task XVIII and stated that the Operating Agent David Crossley should continue to seek support for further participation in the Task. At the ExCo meeting in New Delhi in April 2008, Australia, France, India and Spain committed to participate in Task XVIII and the ExCo declared the Task to be in force.

2. SUMMARY OF OBJECTIVES AND SUBTASKS 2.1 Objectives The objectives for Task XVIII: DSM and Climate Change are:  to identify circumstances in which DSM may mitigate GHG emissions and in which emissions mitigation programs may deliver benefits to the electricity system;  to identify the principles involved in methodologies for assessing the GHG emissions reductions available from specific DSM measures;  to identify ways in which DSM programs can be modified so they contribute to mitigating GHG emissions;  to identify ways in which GHG emissions mitigation programs can be modified so they deliver benefits to electricity systems;  to identify opportunities for funding DSM programs with revenue from trading GHG emission reductions;  to explore whether use time of use pricing can be used to achieve mitigation of GHG emissions;  to identify and engage stakeholders and communicate and disseminate information about DSM as a resource and as a mechanism for mitigating GHG emissions.

97 2.2 Subtasks Subtask 1: Interactions between DSM and Climate Change Subtask Objective To identify circumstances in which DSM may help to mitigate GHG emissions and situations in which DSM may contribute to increasing emissions. Subtask Deliverable A report summarising the interactions between DSM and climate change. Subtask 2: Principles for Assessing Emissions Reductions from DSM Measures Subtask Objective To identify the principles involved in methodologies for assessing the GHG emission reductions available from specific DSM measures. Subtask Deliverable A report summarising the principles involved in methodologies for assessing the GHG emission reductions available from specific DSM measures. Subtask 3: Mitigating Emissions and Delivering Electricity System Benefits Subtask Objectives To identify ways in which DSM programs can be modified so they contribute to mitigating GHG emissions. To identify ways in which GHG emission mitigation programs can be modified so they deliver benefits to electricity systems. Subtask Deliverable A report summarising the ways in which DSM programs and emission mitigation projects can be modified. Subtask 4: Fungibility of DSM and GHG Emissions Trading Subtask Objective To identify opportunities for funding DSM programs with revenue from trading GHG emission reductions. Subtask Deliverable Part of a report summarising the ways in which DSM programs can be funded with revenue from trading GHG emissions reductions (this report will also include the results from Subtask 5). Subtask 5: TOU Pricing and Emissions Mitigation Subtask Objective To explore whether time of use pricing can be used to achieve mitigation of GHG emissions. Subtask Deliverable Part of a report exploring whether time of use pricing can be used to achieve mitigation of GHG emissions (this report will also include the results from Subtask 4).

98 Subtask 6: Communicating Information about DSM and Climate Change Subtask Objective To identify and engage stakeholders and communicate and disseminate information about DSM as a resource and as a mechanism for mitigating GHG emissions. Subtask Deliverables  A Task Newsletter.  On-line database about DSM and climate change.  Regional workshops about DSM and climate change. 3. WORK PLAN Subtask 1: Interactions between DSM and Climate Change The country Experts will identify DSM projects in their countries in which DSM may have mitigated GHG emissions, and emissions mitigation projects which may have delivered benefits to the electricity system. The information collected about each project will include: details about: the objectives of the project; the DSM measures employed; the emissions mitigation measures employed; the market segments addressed; the regulatory regime under which the project was implemented, the cost of the project; and the impact of the project in terms of MW or MVA and GHG emissions reduced. As information about the projects is received, the Operating Agent will enter it into an on-line database. Once all the information is collected, the Operating Agent will summarise the results and draw conclusions about the interactions between DSM and climate change. Subtask 2: Principles for Assessing Emissions Reductions from DSM Measures The Operating Agent will examine existing carbon accounting methodologies to identify methods which could be adapted to assess the GHG emissions reductions available from specific DSM measures. The Operating Agent will then develop a set of principles for methodologies to assess emission reductions from DSM measures. These principles will be tested by calculating emission reductions from a range of actual DSM projects. Subtask 3: Mitigating Emissions and Delivering Electricity System Benefits The Operating Agent will examine the information about DSM and GHG emission mitigation projects in the database and draw conclusions about how the projects could be modified to maximise GHG emission reductions and deliver benefits to the electricity system while still achieving the original project objectives. Subtask 4: Fungibility of DSM and GHG Emissions Trading The term “fungibility” means interchangeability, particularly of one financial instrument with another based on identical terms. In this context, fungibility refers to the ability to trade any GHG emission reductions that are achieved through DSM programs. Such trading could occur through national and regional emissions trading schemes and possibly also through the two project-based mechanisms under the Kyoto Protocol, the Clean Development Mechanism and Joint Implementation. The Operating Agent will examine a number of emissions trading schemes and the Kyoto Protocol mechanisms, using input provided by country Experts, in order to assess the opportunities, benefits and threats involved in trading emission reductions achieved through DSM programs.

99 Subtask 5: TOU Pricing and Emissions Mitigation The Operating Agent, assisted by input from country Experts will examine the benefits and impacts of time of use pricing on greenhouse gas emissions and emissions abatement. The work will focus on sectors potentially affected by time-of-use pricing, and in particular the domestic sector and its challenges of peak electricity demand. Subtask 6: Communicating Information about DSM and Climate Change The Operating Agent will provide information about the progress of Task XVIII to the country Experts through a regular newsletter. The Operating Agent will establish and update an on-line database containing information about DSM and GHG emission mitigation projects. Twelve months after the conclusion of the project, public access will be provided to this database. During the Task, four regional workshops about DSM and climate change will be held; where possible these will be held in conjunction with Experts meetings.

4. MAJOR ACCOMPLISHMENTS SINCE APRIL 2008 During the period since April 2008, there was uncertainty about participation in Task XVIII by some organisations in Australia, and delays in receiving financial contributions from European participating countries because of the northern hemisphere summer holiday period. Consequently, a limited amount of work has been completed on Task XVIII. The Task XVIII work will commence in earnest at the first Experts meeting to be held on 20 October 2008 in Paris. Calculating the Greenhouse Impact of DSM Measures. The Operating Agent completed some preliminary work on calculating the greenhouse impact of DSM measures. A summary of this work was published in the June 2008 issue of the DSM Spotlight newsletter. The work demonstrated that the GHG emissions intensity of electricity supplied to end-users varies with the time of day, with the days of the week, and with the seasons. These variations are relatively small, but can be significant for facilities that use large quantities of electricity at particular times of the day (e.g., water supply pumping facilities), and/or on specific days of the week (e.g., sporting venues), and/or during certain times of the year (e.g., certain agricultural facilities such as cotton gins). Therefore, it is important that when DSM measures are implemented in these types of facilities, the emissions reductions attributed to the DSM measures should be calculated using time-variable emission indices.

5. WORK PLAN FOR THE PERIOD OCTOBER 2008 TO APRIL 2009 5.1 Timetable The revised timetable for Task XVIII is shown over the page.

100 TASK XVIII TIMETABLE

Subtasks 2008 2009 2010 Oct Nov Dec Jan Feb Mar Apr Ma Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr Ma Jun Jul Aug Sep y y 1 Interactions between DSM and Climate Change 2 Principles for Assessing Emissions Reductions from DSM Measures 3 Mitigating Emissions and Delivering Electricity System Benefits 4 Fungibility of DSM and GHG Emissions Trading

5 TOU Pricing and GHG Emissions Mitigation

6 Communicating Information about DSM and Climate Change

101 5.2 Work Plan The following work is planned to be carried out over the next six months. Subtask 1: Interactions between DSM and Climate Change  The country Experts will identify DSM projects in their countries in which DSM may have mitigated GHG emissions, and emissions mitigation projects which may have delivered benefits to the electricity system.  As information about the projects is received, the Operating Agent will enter it into an on- line database.  The Operating Agent will commence summarising the results of the projects and drawing conclusions about the interactions between DSM and climate change. Subtask 2: Principles for Assessing Emissions Reductions from DSM Measures  The Operating Agent will commence examining existing carbon accounting methodologies to identify methods which could be adapted to assess the GHG emissions reductions available from specific DSM measures. Subtask 6: Communicating Information about DSM and Climate Change  The Operating Agent will provide information about the progress of the Task XVIII to the country Experts through a regular newsletter.

6. EXPERTS MEETINGS The first Experts meeting for Task XVIII will be held on Monday 20 October 2008 in Paris. Results from the Experts meeting will be presented to this ExCo meeting.

7. FINANCIAL REPORT 7.1 Receipts As at 20 September 2008, the following financial contributions have been received:  Australia EUR 17,205 (see section 8 below)  India EUR 30,788 (one-half of the country financial contribution) France and Spain are making arrangements to pay their halves of the country financial contribution. 7.2 Expenditure Table 1 over the page details the expenditure incurred from the commencement of Task XVIII to 20 September 2008. Labour is charged in euros and converted to Australian dollars at the exchange rate applicable on the date of invoice payment. Other expenses are charged in the original currency in which the expense was incurred and converted to Australian dollars at the exchange rate applicable on the date of invoice payment.

104 To produce this statement, the Australian dollar amounts were converted back to euros at the exchange rates applicable on 20 September 2008. Consequently there are some minor discrepancies compared with the original currency amounts. These discrepancies are caused by movements in exchange rates since the invoices were paid.

Table 1. Expenditure on Task XVIII Expense Item AUD EUR Labour 9,189.40 5,283.84 Travel – – Bank charges 30.00 17.25 Total 9,219.60 5,301.09

The expenditure to 20 September 2008 of EUR 5,301.09 is 2% of the EUR 246,300 budget for Task XVIII.

8. ISSUES TO BE CONSIDERED BY THE EXECUTIVE COMMITTEE Since the last ExCo meeting in New Delhi, all but one of several organisations in Australia that said that they would participate in Task XVIII have withdrawn. The remaining organisation, Sustainability Victoria, has paid an amount calculated on the basis that a minimum of three other Australian organisations would participate. However, with only one participant, this sum does not cover Australia’s financial contribution to Task XVIII. Sustainability Victoria is unable to increase its payment to cover the whole of Australia’s contribution. The financial contribution for each country participating in Task XVIII is EUR 61,575 (25% of the total budget). Sustainability Victoria has paid EUR 17,205, leaving a shortfall of EUR 44,370 in Australia’s financial contribution. My company, Energy Futures Australia, is prepared to absorb this shortfall by reducing the Operating Agent consultancy fee from EUR 1,000 to EUR 800 per day. This will reduce the Operating Agent labour cost by EUR 44,000, ie equivalent to the shortfall in Australia’s financial contribution to Task XVIII. This solution requires no increase in the financial contributions from France, India and Spain. It also does not reduce the program of work for Task XVIII in any way, so the participating countries still get the full value that they have subscribed for. The ExCo is requested to note that the shortfall in Australia’s financial contribution to Task XVIII will be covered by a reduction in the Operating Agent consultancy fee.

105 Ad Agenda 5a (32nd meeting of the IEA DSM-Programme)

DOCUMENT K

Visibility Committee

Status Report

This Task Status Report is submitted to the IEA DSM IA EXCO meeting in Milan with a request for the EXCO to:

Approve the status report and give feed-back on the issues

106 IEA DSM PROGRAMME VISIBILITY COMMITTEE REPORT

Submitted by Paul Davidson, Chairman September 2008

ANNUAL REPORT

The 2008 Annual Report will be prepared, as usual, by Anne Bengtson, the Operating Agents, and the Chairman. It will be distributed electronically at the end of January 2009 and about 350 copies of the printed version should be ready for distribution later in March. Anne will ask for contributions from Operating Agents later in the year.

Issues

There are no issues at this time, but suggestions to the Chairman on a theme for his report would be welcome – as would any other thoughts on format or content.

WEBSITE Accomplishments Since Oct O8

Since our last report the principal activities have been the maintenance and support of the online resource (ensuring server availability, security and daily data back-up) and general support and liaison with operating agents, assisting with the utilisation of the various facilities and functions.

During this time there have been zero hours of server down time-time when resource was unavailable. A total of five security updates have been applied and data has been successfully backed-up each day without problem or exception. No security breaches were reported during this time.

Since launch the site has received approximately 180,000 visits, leading to over 380,000 individual page visits. This gives a total of approximately 60,000 visits, with approximately 130,000 individual page visits since our last report. The median visits per day during this time was approximately 330.

A breakdown of activity is summarised in the table below.

Hits Total Hits 567,323 Normal Hits 340,482 Spider Hits 134,739 Stolen Object Hits 92,102 Average Hits per Day 2,070 Average Hits per Visit 5.43 Cached Requests 65,156 Failed Requests 33,429 Page Views Total Page Views 225,761 Average Page Views per Day 823 Average Page Views per Visit 2.16

107 Unique Page Views 95,322 Visits Total Visits 104,543 Normal Visits 60,036 Spider Visits 27,831 Stolen Object Visits 16,676

Ad-Hoc Development In addition to routine support activities a total of 9 ad-hoc development tasks have been undertaken and completed, including the creation of pages for two new tasks (XIX and XX), listed below:

 Provide Task Experts with the ability to specify the order of task publications

 Provision of document and task level statistics  Task map, showing which are completed and which are current:  “Remember Me” function:

 Update User Guide:

 Register new domain www.iea-dsm.org:

 Convert public site to run from www.ieadsm.org:

 Creation of Task XIX:

 Creation of Task XX :

THE NEXT SIX MONTHS Currently no additional tasks have been highlighted or scheduled for the next period. It is therefore anticipated that our principal activities will be the standard webmaster duties including general user and ad-hoc support, hosting, security updates and data back-up. This will include attendance at the ExCo meeting in October.

Issues

We would welcome feedback on these developments, and suggestions for more. All ExCo and OA to note and use new web address.

108 SPOTLIGHT NEWSLETTER

The latest newsletter (Issue 31, June 2008) was electronically distributed and posted on the DSM web site in July. Articles in this issue included: . Energy Efficiency Needs to be Commoditised – by the Chairman . Task XIX – Micro Demand response and Energy Saving . Task XX – Branding Energy Efficiency . The Greenhouse Impact of DSM Measures . Standardisation of Energy Savings Calculations

The next issue of the Spotlight will be distributed in January 2009. As always, contributions and suggestions for articles are welcome. The deadline for articles to be sent to Pam Murphy for the next issue is 30 November 2008.

Issues

ExCo suggestions on Spotlight articles are always welcome.

OTHER AVENUES TO VISIBILITY

In addition to the conventional routes described above, plus the Programme Brochure, we should always be on the look out for ways to publicise the work of the Agreement in general and of individual tasks in particular. This can be achieved through articles in the relevant press, through presentations at seminars and conferences and through any other means which occur to ExCo members, operating agents or Task Experts.

One route is through the IEA itself, and we contribute regularly to the e-news bulletin issued by the secretariat.

Issues

Any ideas are always welcome – but we hope that individual members of the IEA-DSM family will take their own actions. Please copy any articles, conference notices, etc to the VC chair.

BUDGET AND EXPENDITURE

Web Expenses During Quarters (Oct – Dec 07, Jan – Mar 08, Apr – Jun 08)

Hosting, data back-up and server provision: 1022 USD General project management, support and liaison: 3766 USD Ad-Hoc Development (20 days) 7174 USD TOTAL 11962 USD

Other figures to follow.

109 Ad Agenda 7a

DOCUMENT L

Financial matters

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

Approve the financial report and the budget for 2009

110 Financial Report 29 September 2008

The budget for the year 2008 and expenses to date is shown below in US dollars:

Category Budget 2008 Expenses 2008 (01-09) ExCo Support (Labour 83 000 60 824 and Travel) ExCo Communications 1 000 - ExCo Reseve Fund 6 000 1 300 Information Activities 54 000 38 154

Annual Report 17 000 12 447 Spotlight Newsletters 13 000 9 596 Programme Website 20 000 11 963 Programme Brochure - Task Flyers 4 000 4 149

TOTAL 144 000 100 278

STATUS OF PAYMENTS

2008 NOT YET PAID Belgium Greece Korea New Zealand Norway Spain Sweden

111 Proposed Budget for 2009

The proposed budget for the year 2009 is shown below in US dollars:

Category Budget 2008 Budget 2009 ExCo Support (Labour 83 000 and Travel) 85000 ExCo Communications 1 000 1000 ExCo Reseve Fund 6 000 6000 Information Activities 54 000 62000

Annual Report 17 000 17000 Spotlight Newsletters 13 000 15000 Programme Website 20 000 20000 Programme Brochure - 5000 Task Flyers 4 000 5000

TOTAL 144 000 154 000

Comments

The 2008 budget was based on 18 countries at $8,000 per country. Since then New Zealand has joined the Programme. Even if the budget will be somewhat under-balanced our overall balance will be able to absorb a small deficit.

The ExCo Reserve Fund will remain by $6,000 to cover special assignments, such as the IEA NEET-activities.

The USD has been weak for some time and quite a proportion of the expenditure is in the Euro-area, which means that productivity gains can easily be off-set by changes in currency- rates.

The Annual Report budget is proposed to remain on $17,000 to allow for e.g. some pages in color and for the preparation of a special reports on how DSM evolves globally.

The Spotlight Newsletter budget is proposed to increase somewhat. This would allow three issues to be produced and will allow the editor to attend one ExCo meeting.

The Web Site budget is proposed to remain at the same level as that will allow routine updates to the web site and continued maintenance of the site. This budget will also allow the webmaster to attend one ExCo meeting.

The budget category Programme brochures is re-introduced to allow that we are able to target the special interests of new stakeholders both countries and sponsors but also to develop task- results to allow non-specialists to learn about our achievements.

As Task flyers are an essential aspect of the Programme brochure, $5,000 is budgeted to support the design of new Task flyers.

Balance of payments (USD)

Opening balance 2008 111 542

Common Fund contributions 111 927 Interest income 1 082 Total income 113 009

Bank charges 296 Accounting charges 1 800 Morse and Associates 33 191 Leading Technology 51 728 Building Research and Development 1 300 Solstice 11 963 Total expenditure (to date) 100 278

Closing Balance 2009-09-29 124 273

113 DSM Common Fund Payments by Country and Year

COUNTRY 2006 2007 2008 Australia    Austria    Canada    Denmark    Belgium   Finland    France    Greece   India X   Italy    Japan    Korea   Netherlands    New Zealand X X Norway   Spain   Sweden   UK    US   

Payments into the DSM Common Fund 2006, 2007 and 2008

COUNTRY FOR 2006 FOR 2007 FOR 2008 Australia $8,000-1/18/06 $8,000-2/23/07 $7,975-3/17/08 Austria $7,980-3/22/06 $7,980-1/9/07 $7,980-1/31/08 Canada $8,000- 1/3/06 $8,000-2/20/07 $8,115 – 1/22/08 Denmark $8,000-12/23/05 $8,000-1/3/07 $7,980-2/14/08 Belgium $8,000-3/29/07 $8,000-6/25/07 Finland $8,000-1/13/06 $8,000-1/25/07 $8,000-2/7/08 France $7,975- 6/5/06 $8.000 $7,975 Greece $8,000 $8,000 India --- $7,980-11/13/07 $7,980 - 29/7/08 Italy $7,935 – 8/25/06 $7,971-3/29/08 $7,971 – 2/29/08 Japan $5,640-1/27/06 $8,000-12/27/06 $8,000 – 1/26/08 Korea $8,000-11/9/06 $8,000-11/7/07 Netherlands $7,992-6/9/06 $7,992-5/18/07 $8,035-12/4/07 New Zealand ------Norway $7,980-12/9/05 $7,980-4/2/07 Spain $7,985 – 5/5/06 $7,970-6/19/07 Sweden $8,000 – 11/7/06 $7,980-10/11/07 UK 7,980- 1/25/06 $7,980-1/17/07 $7,980-3/5/08 US $8,000-4/29/06 $8,000-11/19/07 $8,000-11/19/07 France 2003 paid 9 June 05

114 Ad Agenda 7e

Ballots were sent out in July – with response deadline 22 August.

5 countries responded – all 5 countries nominated Hans Nilsson as Chairman

---000---

PROCEDURE FOR THE ELECTION OF CHAIR AND VICE-CHAIRS Chair Elections shall be held for the Chair every two years, during the second ExCo meeting of the year.  Any ExCo member is eligible to be elected Chair  The requirements to serve as Chair are (1) able to spend the necessary time to plan the ExCo meetings, to respond to numerous requests from the Secretariat and elsewhere, and to provide the vision and leadership that the Programme requires; (2) broad knowledge of DSM and EE; and (3) a known ability to manage meetings.  Nominations will be sent to the ExSec at least two months prior to the ExCo meeting, the ExSec will provide a specific deadline  The ExSec will confirm the willingness of each proposed person to be nominated and to serve for a two-year term, if elected.  The list of nominees will be included in the PMD  If more than one name is listed, each candidate will be asked to provide a one-page description of the challenge facing the Programme and how he or she plan to address them.  Elections will be held at the end of the Second ExCo meeting of the year. Only those present may vote. Abstentions are allowed. ExCo members not present may send their vote, in advance of the start of the ExCo meeting to the ExSec and those votes will be counted.  If there is more than one candidate, a secret ballot will be used and the ExSec will tally the votes and report the results.  A majority is required to be elected.  In case of a tie, a second vote will be held among those present and repeated until a winner emerges.  The Chairman will be elected for a two-year term.  The Chair may be elected for as many terms as the ExCo decides. If the ExCo is unhappy with the Chairman they must nominate someone who must win with a simple majority.

Vice Chair  The ExCo shall have two VC whose role is to assist the Chair.  The Chair will propose each and the ExCo will, by simple majority, approve each or not.  If not approved, the VC candidate or candidates will be asked to leave the room and the ExCo will hear the pros and cons for each person.  A second vote will be made to gain approval.  If that fails, the Chair will be required to offer an alternate name or names.  When a Chair steps down or is not re-elected, the VC term expires and after a new Chair is elected, he or she will propose new VC for ExCo approval.

115 ATTACHMENT A

IEA Implementing Agreement Demand-Side Management Technologies and Programmes

THIRTY FIRST EXECUTIVE COMMITTEE MEETING

MINUTES

3 – 4 April, 2008 New Delhi, India

116 THIRTY FIRST EXECUTIVE COMMITTEE MEETING MINUTES 3 – 4 April, New Delhi, India

Index Page

1. GENERAL BUSINESS Welcome 4 Adoption of the Agenda 4 Approval of Minutes from the Thirtieth Executive Committee meeting 4 Status of the Agreement 4 - 5 IEA Secretariat News 6 Report from BCG meetings and workshops 6 - 7 New Implementing Agreement on “Deployment of Efficient Electrical 7 End-Use Equipment and Appliances” Contacts with possible Sponsors 7 Operating Agents meeting 7

2. EXTENSION OF WORK AND NEW WORK Micro Demand Response and Energy Saving 7 - 9 Branding of Energy Efficiency 9 - 10 Standardisation of Energy Efficiency Calculations 10 - 12 Smart Systems 12 Investigating Retail Carbon Offset Programs 12

3. CURRENT TASKS – LOAD SHAPE CLUSTER Task XVII – Integration of Demand Side Management 12 - 13 Energy Efficiency, Distributed Generation and Renewable Energy Sources

Task XV – Network Driven DSM 13 - 14 Task XIII – Portal Management Continuation 14 - 15

4. CURRENT TASKS – LOAD LEVEL CLUSTER Task XVI – Competitive Energy Services 15 - 16 Task XVIII – DSM and Climate Change 17

5. PROGRAMME VISIBILITY Programme Visibility Report 18 Annual Report 18 Spotlight 18 Programme Brochure 18 Website 19 Task Flyers 19

6. FUTURE OF THE DSM PROGRAMME 7. – SPECIAL SESSION 19 - 20

8. ADMINISTRATIVE MATTERS

2008 Financial Report 20 Common Fund Payments 21 Election of Chairman and Vice Chairmen 21 Resignation of Advisor Fred Morse 21 Plans for the Thirty Second Executive Committee meeting 21 Plans for the Thirty Third Executive Committee meeting 21

117 9. OTHER MATTERS 22

ACTION ITEM LIST 23 - 25

ATTACHMENTS Attachment A Executive Committee members and Operating Agents list Attachment B Agenda Attachment C Glossary Attachment D Matrix “Country selections and rankings” Attachment E Declaration – International Partnership for Energy Efficiency Cooperation (IPEEC)

118 MINUTES FROM THE THIRTY FIRST EXECUTIVE COMMITTEE MEETING OF THE IEA DEMAND-SIDE MANAGEMENT PROGRAMME 3 – 4 April, 2008, New Delhi, India

1. GENERAL BUSINESS

Welcome

The meeting was opened by Executive Committee Chairman Hans Nilsson and Dr. Ajay Mathur and Mr. Saurabh Kumar welcomed the participants on behalf of the Bureau of Energy Efficiency (BEE), the host organisation for the meeting. Hans Nilsson welcomed Mr. Kie-tae Nam, KEMCO, Korea and Magnus Hindsberger, Transpower, New Zealand, who represented Mike Sim, Energy Efficiency and Conservation Authority. Beatriz Gomez represented Spain in place of Susana Banares, David Crossley represented Australia in place of Harry Schaap, and Hans Nilsson represented Sweden in place of Carlos Lopes. The participants are listed in Attachment (A).

Pre-Meeting Information

Anne Bengtson, the Executive Secretary, provided via e-mail, a document containing material associated with the Executive Committee meeting. This document will be referred to throughout these Minutes as the Pre- Meeting Document (PMD).

Adoption of the Agenda

The Agenda was reviewed and approved as shown in Attachment (B).

Approval of the Minutes from the Thirtieth Executive Committee Meeting

The Minutes from the Thirtieth Executive Committee Meeting were approved without changes.

Addition of a glossary to the Minutes

The Executive Committee members decided to add a glossary to all future Minutes, to explain the numerous abbreviations of IAs, organisations and working groups. See Attachment C.

Status of the Agreement

Hans Nilsson, informed the Executive Committee members that New Zealand has joined the Implementing Agreement on 11 December, 2007. The Contracting Party is the Energy Efficiency and Conservation Authority, New Zealand.

South Africa is still in the process of formalising their participation and has so far written a formal letter to the IEA Secretariat stating that they would like to join the DSM IA.

In the past six months the following Executive Committee members have been nominated to replace former ExCo members: (1) Kamilla Thingvad, Dansk Energi, Denmark, to replace Michael Iven; (2) Jonas Wolff, TEKES, Finland, to replace Jarkko Piirto; and (3) Carlos Lopes, Swedish Energy Agency, Sweden, to replace Egil Öfverholm. The change of Contracting Party for Italy is now legally CesiRicerca.

The Executive Committee members unanimously approved a resolution to invite Schneider Electric, Edison Electric Institute, Eurelectric and Electrolux to participate as Sponsors in the DSM Programme with the following wording:

The DSM Executive Committee unanimously:

119 (1) RESOLVED that Schneider Electric, Edison Electric Institute, Eurelectric and Electrolux be invited to join the Implementing Agreement for Co-operation on Technologies and Programmes for Demand- Side Management on the terms as set out below:

If one or more of Schneider Electric, Edison Electric Institute, Eurelectric and Electrolux join the DSM Implementing Agreement, they will: a) have no greater rights or benefits than Contracting Parties from OECD nonmember countries. No representative of Schneider Electric, Edison Electric Institute, Eurelectric or Electrolux may be designated as Chair or Vice-Chair of the IA, nor vote on the accession of new Sponsors or Contracting Parties or on the election of existing Sponsors or Contracting Parties; b) pay an annual fee of USD 8,000 to the Common Fund; c) be recognised as a Sponsor from the date Schneider Electric, Edison Electric Institute, Eurelectric or Electrolux signs the DSM IA; d) be entitled to send a representative and an alternate representative to the twice-yearly Executive Committee meetings of the Implementing Agreement for Co-operation on Technologies and Programmes for Demand-Side Management; e) have a full single vote in the Executive Committee, equal to that of a Contracting Party on matters pertaining to the Implementing Agreement for Co-operation on Technologies and Programmes for Demand-Side Management Programme of Work. This will enable Schneider Electric, Edison Electric Institute, Eurelectric or Electrolux to make proposals for the work Programme, participate in the voting on all topics and all other matters excepting those items defined in item a) above; and

(2) RESOLVED that Hans Nilsson, Chairman of the DSM Executive Committee, will expedite and finalise the formal procedures of membership on behalf of the Executive Committee.

Hans Nilsson stated that the IEA requires that all countries invited to participate in the DSM Implementing Agreement be formally invited and recorded in the Minutes on a regular basis. The Executive Committee members therefore renewed their unanimous approval to invite China and Brazil to join the DSM IA. During the past six months the United Arab Emirates (UAE) has shown interest in the DSM IA. The Executive Committee members therefore also voted unanimously to invite UAE, or any entity it may designate to join the DSM IA as a Contracting Party..

Paul Davidson made a well received presentation of the End of Term Report and Future Strategy of the DSM Programme to the IEA End Use Working Party (EUWP). Hans Nilsson will present the End of Term Report and Future Strategy to the CERT in June 2008.

Hans Nilsson has been invited by Schneider Electric to present the DSM Programme.

IEA Secretariat News

Carrie Pottinger, IEA Secretariat, Paris, informed DSM Programme participants of a high-level Implementing Agreement, the International Partnership on Energy Efficiency Co-operation (IPEEC). The aim of this joint EC, Japan and the United States initiative is to provide a forum for policymakers to discuss energy efficiency issues such as harmonisation of standards. The IPEEC will be working very closely and consulting with existing international initiatives in this area, particularly the energy-efficiency and conservation-related Implementing Agreements. IPEEC will provide an opportunity for messages from the IAs to be carried to the appropriate high- level policymakers in the area of energy efficiency (see Attachment E).

Carrie Pottinger also reported that the second edition of Energy Technology Perspectives (ETP) will be published in June 2008. The ETP publication is based on technology scenarios to 2050. A list of key

120 technologies that will reduce CO2 emissions are outlined as well as roadmaps, or advice, on the steps required to ensure deployment of these technologies. The ETP team consulted many IAs for comments on the draft of the publication. Carrie Pottinger asked for feedback from the DSM programme on whether they were satisfied with this process.

Carrie Pottinger reported on the special IEA Committee Week which was held in December 2007. All IEA committee meetings were held during the same week to allow experts from India and China to attend and witness first-hand what the IEA does and to present what they are doing. This is an important first step in establishing a continuing dialogue with these two countries. The IEA Governing Board decided to allow Plus Five countries to attend IEA Committee meetings on a regular basis (although they are not considered IEA member countries).

Carrie Pottinger also informed the Executive Committee members that NEEET will arrange a workshop on “Sustainable Rural Energisation in the Major Energy Economies” on 28-29 May, 2008 at the IEA.

Report from BCG meetings and workshops

Paul Davidson reported on the latest Buildings Co-ordination Group (BCG) meeting. The BCG involves the seven original buildings-related Implementing Agreements in the IEA, which are: Energy Conservation in Buildings and Community Systems (ECBCS), Energy Storage (ECES), Heat Pump Centre (HPC), Solar Heating and Cooling (SHC), District Heating and Cooling (DHC), Demand Side Management (DSM) and Photovoltaic Power Systems (PVPS), plus the new 4E. The Chairmen of the building related Implementing Agreements meet once a year to exchange information, interact with the IEA Secretariat and discuss how to deal with common issues and explore possibilities for co-operation.

In January 2008, in connection with the BCG meeting, a buildings co-ordination workshop meeting was held in Paris, at which most of the Implementing Agreements which have relevance to buildings were present. Presentation were also made by various representatives from the IEA Secretariat related to issues they are working on at present and which are of relevance to buildings. A number of the presentations such as on lighting and buildings will be coming out as part of the IEA - Energy Technology Perspectives (ETP) publication.

It was decided that the presentations from the IEA workshop will be made available on the DSM Executive Committee secure area as soon as possible.

Carrie Pottinger informed the Executive Committee that the Transport -related Implementing Agreements are trying to form a working group, similar to the BCG.

DECISION: Presentations from the IEA workshop will be made available on the DSM Executive Committee secure area as soon as possible.

ACTION: The Executive Secretary will upload the presentations onto the DSM website in the Executive Committee secure area as soon as they are available.

New Implementing Agreement on “Deployment of Efficient Electrical End-Use Equipment and Appliances

The interim Chairman of the new Implementing Agreement on Deployment of Efficient Electrical End-Use Equipment, Ture Hammar, Dansk Energi, Denmark, made a presentation of the new IA’s Strategy and Programme. The Strategic Plan for 4E and their Draft Programme of Work are included in Attachment A in the Pre-Meeting Document.

After the presentation discussions took place and general member comments were that the new Implementing Agreement’s aim is to work on product performance issues rather than deployment (which is the DSM perspective). However, there are a few issues that come close to DSM Programme work and which need to be discussed in the future e.g. to work on retail-related issues and behavioural aspects.

121 For more information about the new Implementing Agreement on Deployment of Efficient Electrical End-Use Equipment visit their website at: www.iea-4e.org

Contacts with possible Sponsors

The Chairman informed the Executive Committee members that contacts have been made with Electrolux and Eurelectric during the past six months.

Operating Agents Meeting

The Operating Agents meeting was held on 2 April, 2008. The Chairman, one Vice Chairman, the Executive Committee Secretary and all of the Operating Agents, were present.

2. EXTENSION OF WORK AND NEW WORK

Micro Demand Response and Energy Saving

A Task proposal for a new Task on Micro Demand Response and Energy Saving was provided on pages 14 – 33 in the Pre-Meeting Document and was presented by Richard Formby, EA Technology, the United Kingdom.

Richard Formby started his presentation by stating that many countries are concerned that liberalised markets may not deliver adequate peak electricity generation and network capacity. The residential and SME sectors consume up to 50% of generated electricity in developed countries and are very attractive for the implementation of energy saving measures. Three mechanisms, by which smaller customers can save energy and assist system security are: (1) End Use Monitoring and Feedback (EUMF); (2) Time of Use (TOU) and Dynamic TOU pricing; and (3) Demand Side Bidding (DSB). These three mechanisms have been developed and evaluated in Task XI.

The aim of the new Task on Micro Demand Response and Energy Saving is to investigate the commercial implementation of TOU pricing, remote/automatic demand switching and energy use monitoring and feedback for SME and residential customers. This investigation is necessary in order to quantify the costs, benefits and business viability of such measures from the System Operator, Supplier, Demand Balancing and energy saving perspectives. The Task will address the issues of how to actually deliver and implement Demand Response (DR) and Energy Saving services into the residential and SME markets on a commercial basis using Energy Saving Service Provider/Demand Aggregator (ESSP/DAG) businesses.

Objectives of the Task are: (1) to define the demand response and energy saving products required by system operators, suppliers and governments; (2) identify, develop and define packages of demand response and energy saving service products for residential and SME customers, based on EUMF, TUO pricing and demand control to meet requirements; (3) evaluate mechanisms to deliver demand response and energy saving service products; (4) evaluate how ESSP/DAG businesses can provide DR and energy saving service products for residential and SME customers; (5) develop ESSP/DAG routes to market for residential and SME customers; (6) make an overall assessment of common ground and technologies to be shared with smart metering infrastructure; (7) estimate incremental costs of implementation of product delivery systems; and (8) quantify the business case for the provision of demand response and energy saving products.

During the past six months a Task definition meeting has been held on 23-24 January, in Chester, United Kingdom, to develop the Task proposal. At this meeting representatives and Experts from four countries, agreed to recommend that the work should be carried out as a new Task rather than a subtask of Task XI.

Objectives for the next six months to October 2008, include finalising support and funding for the new Task. The Task will then commence work on: (1) defining requirements for Micro Demand Response and Energy Saving Products; (2) analysing End Use Demand Changes for delivery of Demand Response and Energy Saving; (3) analysing Demand Response and Energy Saving Delivery mechanisms and technologies; (4) quantifying the costs and benefits for SME customer demand response and energy saving; and (5) quantifying the costs and benefits for residential customer demand response and energy saving.

122 In the six months from October 2008 (and contingent upon the necessary support for Task XIX) one Experts meeting and a workshop (brainstorming session) will be held to collect country information and ideas on the above topics. The Task will consist of six subtasks: (1) DR and Energy Saving Products; (2) End Use Demand Changes; (3) DR and Energy Saving Delivery Mechanisms; (4) SME Customer Costs and Benefits; (5) Residential Customer Costs and Benefits; and (6) Business Case Estimation.

The Executive Committee members were asked to state their interest in participating in the Task and the outcome was:

Country Decision Country Decision Australia Maybe Japan Not present Austria Maybe Korea No Belgium No Netherlands No Canada Not present New Zealand No Denmark Maybe Norway Not present Finland Maybe Spain Yes France Maybe Sweden Maybe Greece Not present United Kingdom Yes India Yes United States No Italy Not present

Richard Formby reminded the Executive Committee that Schneider Electric has shown a positive interest in the Task at the Executive Committee meeting in Brugge, Belgium.

The Executive Committee members decided to initiate the new Task and the Task was given number XIX. When the Task has sufficient support the Task will be declared to be in force at the Executive Committee meeting in Milan. Richard Formby pointed out that EA Technology will be the Operating Agent Designate (i.e. one Operating Agent) and that John Baker and Richard Formby will work to together in discharging the role of Operating Agent.

David Crossley pointed out that work on load control and smart metering in Task XV will be completed in a couple of months as well as the online database with direct load control and metering products, and suggested that this work be made available to Task XIX experts prior to the public. The Executive Committee members decided “per capsulam”, (subject to New Zealand acceptance), that the results from Task XV should be made available, prior to the public, to Task XIX signatories and be used by them as input for work in Task XIX.

DECISION: - Initiate Task XIX Micro Demand Response and Energy Saving. - Executive Committee members decided “per capsulam”, (subject to New Zealand acceptance), that the results from Task XV should be made available, prior to the public, to Task XIX signatories.

ACTION: - Richard Formby should continue to seek support for participation in the Task. - David Crossley should make Task XV results available to Task XIX upon completion.

Branding of Energy Efficiency

A concept paper for a new Task on Branding of Energy Efficiency was provided on pages 34 – 42 in the Pre- Meeting Document and was presented by Balawant Joshi, ABPS Infrastructure Private Ltd., India.

Balawant Joshi informed the Executive Committee that ten countries showed interest in the Task when it was first presented in Brugge. A Task Definition meeting was held on 1 April, 2008, and Finland, France, India, Sweden and the United Kingdom attended the meeting. The definitions of the proposed Subtasks were discussed during the Task Definition meeting and Balawant Joshi presented the modified work plan based on the feed-back received during that meeting.

Balawant Joshi reminded the Executive Committee members of the primary motivation behind undertaking “Branding of Energy Efficiency Services” as a Task, namely: (1) to understand the reasons for absence of energy

123 efficiency brands; and (2) to develop a suitable framework for development of strategies for successful branding of energy efficiency.

Balawant Joshi said that the proposed Task warrants analysis at three levels: (1) products and services; (2) consumers; and (3) at a strategic level for development of solutions. Three Subtasks are suggested:  Subtask I: Energy Efficiency Offerings Analysis  Subtask II: Energy Efficiency Consumer Analysis  Subtask III: Strategic Analysis (to develop branding strategy)

Likely areas of research will include: (1) knowledge and attitude of consumers in the developed as well as developing electricity markets; (2) capability of energy efficiency suppliers in the market; (3) best practices in definition of suppliers of energy efficient products and services; (4) potential for energy efficiency products and services in other energy consuming sectors such as agricultural, industrial and commercial, etc.; (5) potential for a programmatic approach towards energy efficiency; and (6) barriers to branding of energy efficiency.

The results of the proposed work will: (1) develop significant understanding of barriers associated with branding of energy efficiency; (2) identify appropriate strategies to overcome those barriers; and (3) develop a suitable framework for development of strategies for successful branding of energy efficiency.

Balawant Joshi informed the Executive Committee that a process to identify a co-operating agent, who is expected to be an expert in branding, has been initiated. The initial time frame for the Task is 24 months, though members think it is unlikely that the Task will be able to be completed within that time frame. It was suggested that the Task be divided into two parts, and run for a longer time period.

The Executive Committee members were asked to state their interest in participating in the Task and the outcome was:

Country Decision Country Decision Australia No Japan Not present Austria Maybe Korea No Belgium Not Present Netherlands No Canada Not Present New Zealand Maybe Denmark Yes Norway Not present Finland Maybe Spain Yes France Maybe Sweden Maybe Greece Not present United Kingdom Maybe India Yes United States Yes Italy Not present

The Executive Committee members decided to initiate the new Task and the Task was given number XX. When the Task has sufficient support the Task will be declared to be in force at the Executive Committee meeting in Milan.

DECISION: - Initiate Task XX Branding of Energy Efficiency

ACTION: - Balawant Joshi should continue to seek support for participation in the Task. -

Standardisation of Energy Efficiency Calculations

A concept paper for a new Task on Standardisation of Energy Efficiency Calculations was provided on pages 43 – 52 in the Pre-Meeting Document and was presented by Harry Vreuls, SenterNovem, Netherlands.

Harry Vreuls started his presentation by informing the Executive Committee of on -going work within Europe and on-going international work related to standardisation and evaluation.

124 Harry Vreuls said that the motives to conduct a Task on Standardisation of energy efficiency calculations are the existence of many policies and measures for improving energy efficiency which continue to improve, both of a voluntary and mandatory nature. The continued development of this field of policy reflects growing acceptance of the importance of such measures in seeking to reduce carbon dioxide emissions, minimise the cost of energy services, enhance energy security and address wider environmental concerns. Evaluation is an essential component of any compliance process as an essential aspect of sound policy implementation more broadly. Evaluation plays a key role in helping to determine whether energy efficiency policy has met its goals.

The objectives of the proposed Task include: (1) identifying national and regional existing energy saving calculation (ESC) standards and standards under development; (2)identifying what basic concept, calculation rules and systems are in use in ESC standards; (3) identifying how and why these standards are or will be used in impact evaluation for policies and measures; (4) identifying what organisations are responsible for the maintenance and future development of these standards; (5) exploring to what extent the basic concepts, calculation rules and systems can be organised so that (inter)national standards organisations can use these to improve international comparison; (6) exploring how these standards can improve international comparable evaluation of policies and measures; and (7) providing comments to ESC standards under development.

The Task will consist of four Subtasks:  Subtask I: Existing energy savings calculation (ESC) standards and standards under development  Subtask II: Basic concept, rules and systems for ESC standards  Subtask III: Maintenance of ESC standards  Subtask IV: Communication and information

The Task will results in 3 reports and a final management report. A project leaflet will be produced at the start and end of the project. Four newsletters will be produced and distributed electronically. The Task would be able to start no earlier than April 2009.

The Executive Committee members were asked to state their interest in sending an Expert to a Task Definition meeting. The outcome was:

Country Decision Country Decision Australia No Japan Not present Austria Yes Korea Yes Belgium Not Present Netherlands Yes Canada Not Present New Zealand No Denmark Yes Norway Not present Finland No Spain Yes France Yes Sweden Yes Greece Not present United Kingdom No India No United States Yes Italy Not present

The Executive Committee members decided that Harry Vreuls should take the proposal to the Task Definition stage and present a work plan at the next Executive Committee meeting in Milan.

The Executive Committee members emphasised that this Task must be truly global to add value and would require participation from more than one continent. It was noted that the Task ought to be of significant interest for the “high level group” that Carrie Pottinger mentioned earlier.

DECISION: - Harry Vreuls should take the Task proposal to the Task Definition stage.

ACTION: - Harry Vreuls should arrange a Task Definition meeting in the next six months and present a work plan at the next Executive Committee meeting in Milan.

125 Smart Systems

Beatriz Gomes informed the Executive Committee members that Red Eléctrica de Espana has re-oriented their commitment of developing a new concept paper on smart systems, to a more comprehensive Task titled “DSM path to renewable intensive and smart electricity systems. Horizon 2050”. Smart systems is a mature option already in the market and has been discussed and studied in at least three Tasks of the DSM Programme.

Beatriz Gomez said that the new Task will analyse the validity of the current DSM analysis and what factors could change it, or induce the emergence of new DSM developments. The Task should get assessment and quantitative data from transmission system operators, network security analysers and system planning assessors, among other experts.

Spain volunteered to prepare a scoping paper on the topic, from which Tasks can be better defined and derived. Beatriz welcomed any other countries interested in developing the scoping paper together with Spain. The scoping paper will be presented at the next Executive Committee meeting in Milan.

Investigating Retail Carbon Offset Programs

A concept paper for a new Task on Investigating Retail Carbon Offset Programs was provided on pages 53 – 59 in the Pre-Meeting Document, by Ross Malme, RETX, who did not attend the meeting.

The submitted concept paper was briefly discussed and generally perceived as being insufficient for a decision. There are already several carbon offset programs and to the extent an investigation should be relevant for the DSM Programme the paper should be focussed on the application in “the utility sector”. The paper at present, does not make this distinction and does not convincingly show the added value of such a Task. The Executive Committee members are ready to consider the concept paper again, if the paper has a strong, precise and explicit focus on utility activities.

ACTION: - Ross Malme should revise the concept paper on Investigating Retail Carbon Offset Programs, with a focus on “the utility sector”, and present to the Executive Committee members at the Milan meeting. -

3. CURRENT TASKS – LOAD SHAPE CLUSTER

Task XVII - Integration of Demand Side Management Energy Efficiency, Distributed Generation and Renewable Energy Sources

Task XVII - Integration of Demand Side Management Energy Efficiency, Distributed Generation and Renewable Energy Sources was provided on pages 60 – 66 in the Pre-Meeting Document and was presented by Seppo Kärkkäinen, VTT, Finland.

Seppo Kärkkäinen started his presentation by pointing out that Task XVII has taken more time than originally planned to commence. The work in practice started in October 2007. Italy joined in November 2007, so the Task now has 6 participating countries. Austria has declared that they are interested in joining the Task. Two experts meetings have been held in the past six months, in Madrid in November 2007, and in Washington D.C. in March 2008.

In the past six months work carried out includes: (1) completing a questionnaire on distributed generation, renewables and energy storage (using the Task XIII questionnaire); (2) completing country documents for each country from which a state-of-the-art report will be produced; and (3) reporting of case studies (existing best practices and existing pilot projects) from country experts. The Operating Agent has collected literature references, information about ongoing activities and technologies related to integration.

In the next six months: (1) a draft of the state-of-the-art report will be produced and distributed for comments by the Task experts; (2) a second version of the state-of-the-art report will be produced by the Operating Agent for the stakeholder workshop; (3) a stakeholder workshop will be arranged in the Netherlands, 9 July; (4) a final

126 experts meeting will take place in Korea 9 -10 September; and (5) a final report with proposed new work will be produced in September 2008. At the Experts meeting in Korea a detailed plan for additional work will be proposed according to the original plan.

Seppo Kärkkäinen stated that the Task has a broad and growing spectrum of co-ordination with other Implementing Agreements.

DECISION:

The Executive Committee members:  approved the Task Status Report

Task XV - Network-Driven DSM

The Task Status Report for Task XV on Network-Driven DSM was provided on pages 67 - 73 in the Pre- Meeting Document and was presented by David Crossley, Energy Futures Australia.

David Crossley started his presentation by stating that the original work plan for Task XV has been completed and a final Task Management Report has been presented. At the Executive Committee meeting in April 2007 the Executive Committee members approved an extension of Task XV. There are two purposes for the extension, first to enable new members, India, New Zealand and South Africa to access and contribute to the already completed work, and second to carry out an additional Subtask on load control and smart metering for electricity networks.

Work completed in the past six months includes: (1) revision of the Case Studies Database; (2) publication of Reports and Database; (3) a workshop on Task XV for representatives of the New Zealand electricity industry; (4) commenced work on research report no 5 “The Role of Load Control and Smart Metering in Supporting Electricity Networks”; and (5) country experts from India, New Zealand and South Africa continued reviewing the first editions of the initial four Task XV research reports.

During the next six months the following work will be performed: (1) complete not less than five new case studies of load control and smart metering projects and add them to the on-line case studies database; (2) incorporate information from each of the new participating countries into second editions of the existing Task XV Research Reports; (3) publish another edition of the Task XV newsletter; (4) add more descriptions of load control and smart metering technology products to the on-line database; and (5) complete Task XV Research Report No5: “The Role of Load Control and Smart Metering in Supporting Electricity Networks”.

David Crossley reported that work is at present behind schedule, the reason being that it has taken a bit longer for the country experts of the new participating countries to complete work on the case studies and new material to be included in the already existing Research Reports. David Crossley therefore asked the Executive Committee members for a no-cost extension till October 2008.

The Executive Committee members approved a no-cost extension till October 2008.

Further, David Crossley asked the Executive Committee to approve making Task XV material available to Task XIX prior to the agreed 12 month expiry date. The Executive Committee decided “per capsulam” (subject to New Zealand acceptance) that the results should be made available, prior to the public, for Task XIX participants.

DECISION:

The participating Executive Committee members:  Approved the Task Status Report  Approved a no-cost extension till October 2008.  Approved “per capsulam” (subject to New Zealand acceptance) that the results of Task XV be made available, prior to the public, for Task XIX participants.

127 ACTION:

 New Zealand should inform David of their acceptance of the proposal to make the Task XV material available and thereafter;  David Crossley should provide Task XIX participants with access to Task XV results as soon as they are available.

Portal Management Continuation Task XIII

The Task Status Report for Portal Management Continuation was provided on pages 74 - 75 in the Pre-Meeting Document.

At the Executive Committee meeting in October 2006, in Maastricht, Netherlands, the members approved the Portal Management Continuation in accordance with the fee schedule below. The Executive Committee members noted that the fee schedule was unclear concerning if fees are proposed for participating countries, which would not be in keeping with the normal IEA policy and felt that a clarification should be added about future availability of material for the participating countries (free of charge except for printing costs for work done under Task XIII), and possible release to non-participants after the normal 12 month embargo.

Larry Mansueti and Paul Davidson provided a written clarification at the Executive Committee meeting in Brugge, (see Pre-Meeting Document page 75 ) and it was decided that the Executive Committee would revisit this decision at the April 2008 meeting.

Larry Mansueti, who did not attend the meeting, submitted a paper after discussions with the Task XIII Operating Agent. The former written clarification provided in Brugge, was altered to read as follows:

(1)The work will be posted on the IEA DSM programmes website, with reference for more information to the Operating Agent’s password protected website for the Task. Non-participating countries will now also have access to the work through the IEA DSM Programme website. The Operating Agent can charge reasonable fees to cover printing costs for hard copy versions of any product;

(2) The Operating Agent can charge fees to anyone, including Participating Countries, for any new work beyond that performed under Task XIII;

(3) The Visibility Committee will continue to promote the results of Task XIII

The Chairman was tasked to check if all the information has been made available in the format that the participants reasonably could expect.

Executive Committee members mentioned that the DSM Programme still has a “market advantage” as a provider of comprehensive information on DR technology and its application, but that it would require some effort to maintain such a position.

ACTION: - Chairman will check if all the information has been made available in the format that the participants could reasonably expect. .

128 4. CURRENT TASKS – LOAD LEVEL CLUSTER

Task XVI - Competitive Energy Services

The Task Status Report for Competitive Energy Services was provided on pages 76 - 83 in the Pre-Meeting Document and was presented by Jan Bleyl, Graz Energy Agency Ltd., Austria

Jan Bleyl pointed out the objectives of Task XVI: (1) to initiate and support country specific activities for developing the market for competitive energy services, focussing on individually selected market segments; (2) to initiate and establish an IEA DSM Energy Services Expert Platform; (3) to design, elaborate and test innovative energy services and financing models which will be published in a series of manuals; and (4) to position the Expert Platform as a competence centre for energy services for international dissemination and assistance services e.g. coaching, training courses etc.

During the past six months two expert platform meetings have been held in Deventer, Netherlands in October 2007 and in Delhi April 2008. The Think Tank (Subtask 4) had been very active in the past six months and has worked on the following topics: (1) comprehensive refurbishment of buildings with energy-contracting; (2) integration of demand side measures into energy supply contracting models; (3) opportunity cost tool for preparation and rough analysis of DSM projects to demonstrate energy costs, saving potentials and present values of future energy cost savings; and (4) comparison of financing options for energy-contracting.

National implementation activities (Subtask 5) is a continuing activity in the Task, and experts’ presentations have provided information on national activities during the period and plans for the future. Items dealt with in these presentations include: (1) overcoming barriers in capturing clients; (2) entering new market segments; (3) arranging financing; (4) providing sufficient information to the potential ES-clients; (5) collecting and presenting information on project cases; and (6) carrying out energy audits.

Work in the next six months will include: (1) further integration of India into the Task work; (2) hold a national experts meeting in November; and (3) the Think Tank will continue with these topics: (a) innovative financing options for energy services – publishing of a manual; (b) integration of demand side measures into energy supply contracting models with be dealt with more in depth and result in a publication. International dissemination of information (Subtask 6) will continue and presentations at various conferences and seminars will take place. A publication on Advances in Energy Studies ’08 is planned. Experts will continue to follow up national activity plans and exchange information and experiences with each other.

Jan Bleyl informed the Executive Committee members that Task XVI has made a contribution to a publication called “Urban Energy Transition”. The Executive Committee members were interested in the article provided by Task XVI, and asked Jan Bleyl to make inquiries whether the article could be made available on the DSM Task XVI webpage. Jan Bleyl also mentioned that the Task has produced a manual, which is a comprehensive manual on comparison and evaluation of financing options for energy contracting projects. This manual will be available on the Task webpage.

Jan Bleyl requested the Executive Committee to approve that all material produced in the Task be available publicly as soon as it is produced (and approved by the Experts)

Jan Bleyl informed the Executive Committee members that opportunities for further work have been identified by the Task XVI experts. Jan Bleyl requested the Executive Committee members to contact their experts to discuss priorities for an extension to the Task, and come prepared to discuss an extension at the next Executive Committee meeting in Milan.

In the past six months a mid-term evaluation has been conducted for Task XVI. The evaluation had a 100% response rate. The evaluation was not available at the meeting due to computer problems and the Executive Secretary was requested to send the result out to Executive Committee members as soon as possible.

DECISION: The Executive Committee:  approved the Task Status Report  approved making all Task material available on the Task webpage as it is produced (and approved

129 by Experts)

ACTION: - Jan Bleyl should make inquiries whether the Task XVI contribution/article in the “Urban Energy Transition” can be made available on the DSM Task XVI webpage. - Executive Committee members should contact their experts and discuss and extension of work in Task XVI - Anne Bengtson should distribute the Task XVI Mid-Term Evaluation to Executive Committee members as soon as possible.

DSM and Climate Change

David Crossley started his presentation by reminding the Executive Committee members that the topic of DSM and Climate Change was identified as a possible new area of work at the April 2006 Executive Committee meeting in Copenhagen. A Task Definition meeting was held in Brugge, October, 2007, and various suggestions for modifying the design of the DSM and Climate Change Task were incorporated and presented to the Executive Committee members in Brugge. The time table has been increased from 18 months to 24 months.

The objectives of the Task are to: (1) identify circumstances in which DSM may mitigate GHG emissions and in which emissions mitigation programs may deliver benefits to the electricity system; (2) identify the principles involved in methodologies for assessing the GHG emissions reductions available from specific DSM measures; (3) identify ways in which DSM programs can be modified so they contribute to mitigating GHG emissions; (4) identify ways in which GHG emissions mitigation programs can be modified so they deliver benefits to electricity systems; (5) identify opportunities for funding DSM programs with revenue from trading GHG emission reductions; (6) explore whether time of use pricing can be used to achieve mitigation of GHG emissions; and (7) identify and engage stakeholders and communicate and disseminate information about DSM as a resource and as a mechanism for mitigating emissions.

The Task will initially consist of six Subtasks: Subtask 1 - Interactions between DSM and Climate Change; Subtask 2 – Principles for Assessing Emissions Reductions from DSM Measures; Subtask 3 – Mitigating Emissions and Delivering Electricity System Benefits; Subtask 4 – Fungibility of DSM and GHG Emissions Trading; Subtask 5 – TOU Pricing and Emissions Mitigation; and Subtask 6 – Communicating Information about DSM and Climate Change.

Major accomplishments in the past six months include: (1) development of the Task XVIII Legal Annex; (2) establishment of the Task XVIII website; (3) the Operating Agent attending the Energy Efficiency Global Forum and discussing participation in Task XVIII with several parties, including the World Bank; and (4) the Operating Agent following up participation by countries.

David Crossley informed the Executive Committee members that Australia, France, India and Spain are at present committed to participate in Task XVIII.

Discussions related to priorities revealed that other countries have shown an interest in the Task (e.g. Sweden) and that further countries could have an interest due to prominent roles in the development of climate measures (e.g. Denmark)

The Executive Committee members unanimously declared Task XVIII to be in force.

DECISION:

The participating Executive Committee members:  approved the Task Status Report  unanimously declared Task XVIII to be in force

130 5. PROGRAMME VISIBILITY

Programme Visibility Report

The Programme Visibility Report was provided on pages 92 - 94 in the Pre-Meeting Document and was presented by Hans Nilsson in the absence of Paul Davidson, Chairman of the Visibility Committee.

Hans Nilsson reminded the Executive Committee members that the members of the Visibility Committee are the Chairman, Hans Nilsson; the Vice Chair Paul Davidson; the Executive Committee representative Harry Vreuls, the Webmaster, Dave Cattermole; the Spotlight Newsletter Editor; Pam Murphy, the Executive Secretary, Anne Bengtson and the Operating Agent representative David Crossley. The Visibility Committee members present in New Delhi did not meet prior to the Executive Committee meeting.

Annual Report

The 2007 Annual Report was prepared by Anne Bengtson, the Operating Agents, and the Chairman. The report was distributed electronically in January 2008 and approximately 350 copies of the printed version will be ready for distribution in March. In addition to the colour cover, the 2007 report contains some colour pages.

Spotlight

The 30th issue of the DSM Spotlight Newsletter was distributed electronically in December, 2007, as well as posted on the IEA DSM website. Executive Committee members were reminded that the Spotlight Newsletter is designed to be printed off the website and distributed widely.

Article topics in the 30th Spotlight issue were:  DSM on the Rise – by the Chairman  Task XVI – Innovative Finance Options  Smart Metering – a review of the Brugge workshop  India – Developing a National Roadmap  Task XI – New Publications  New Zealand – position report on our newest member  A summary of new work  The next issue of the Spotlight Newsletter will be distributed in July 2008.

The Executive Committee members were encouraged to suggest topics for Spotlight articles and provide input for those articles. Hans Nilsson pointed out that we still have to improve our flow of news to stakeholders and interested parties outside the DSM Programme. The next issue of the Spotlight will be distributed in July 2008.

ACTION:

Suggest topics for Spotlight Newsletter articles and provide input for those articles

Program Brochure

The DSM Brochure is the DSM Programme’s main PR document and is designed to last 3-5 years. The brochure has been available for about 2 years. The brochure is now being used in various forums, with great success. The brochure is designed as a folder so that Executive Committee members and Operating Agents can add inserts as appropriate.

Website

One key change in the past six months has been to move the “official” site address to www.ieadsm.org. Users entering the old address (www.iea-dsm.org) will be redirected. Among other benefits, this change makes it easier for members of the IEA Secretariat to access pages. In future all references should be made to the new address.

131 During the past six months, apart from routine hosting and maintenance activities, a set of development improvements have been completed in January 2008. These include:

 Showing Tasks in a “Task Map” on the main Tasks and Projects page, which displays Tasks as Completed or Current and allows direct access from there  Allowing Operating Agents to specify the order in which publications are made visible to the public user  Providing Operating Agents with a facility to monitor Task level visitor activity  Adding a “remember me” function on login  Updating the User Guide to reflect these changes

In addition, the webmaster created a new Task area for Task XVIII – DSM and Climate Change and helped David Crossley make case studies available to the public for Task XV.

Task Flyers

All Tasks except Task XVIII now have up to date flyers available. All Operating Agents should keep their flyers under review and revise as necessary through Pam Murphy.

DECISION:

The Visibility Committee Report was:  unanimously approved by the Executive Committee members

6. FUTURE OF THE DSM PROGRAMME – SPECIAL SESSION

The Future of the DSM Programme – Special Session was presented and conducted by Hans Nilsson and was provided on pages 95 - 101 of the Pre-Meeting Document. The material consists of two documents: (1) IEA DSM Programme priorities for new work (the SenterNovem analysis of the Maastricht workshop); and (2) IEA DSM Programme Task Participation Requirements.

General and structure

The Executive Committee members agreed that the Action Plan should continue to be an active document and forum to follow and develop the work and to improve dissemination of the Programme’s results.

At the New Delhi meeting these lists were revisited to determine which of the items have the highest priority today in member countries and who is willing to take an initiative to push the topics forward. The Executive Committee members were asked to do the following four things based on the material provided in the two above mentioned documents:

 Select 5 items from the lists that your country finds most important  Prioritise your vote on a scale from 5 (most important) to 1 (least important)  Be prepared to tell which of the chosen items your country would be able to provide an Operating Agent for – this does not have to be for your highest priority, if you think another country has more expertise in that area  Be prepared to state your opinion and motivate your choices

During the Special Session all countries presented their selections from the list of suggestions, drawn up by earlier meetings and prioritised their choices for new work.

Based on the matrix “Country Selections and Rankings (1 to 5, higher is more important) (see Attachment D), the following observations were made:

132  Smart Systems rank very high and may result in several Tasks. The Spanish offer to develop a scoping paper was welcomed;  There was almost equal prioritisation between several other items and there are also important dependencies between many of the topics;  Portfolio development (#5) has a high ranking and India is prepared to take the lead in developing a concept paper on this topic;  Networking and reinforcement of promotions (#8) has a high interest and several of the presenters stressed the municipality component. There could however also be links to the newly initiated Task XX. This could also be linked to #6 (Boosting technologies) and # 10 (Lighting). Denmark together with India are prepared to give this issue further consideration;  Bottom-up evaluation (#14) has a high score, but might be covered by the new concept paper on calculations;  Distributed Generation (#29) may be covered by the additional work in Task XVII;  Work on Rate Design (#9), Market Design (#1) and Planning Tools (#22) might be combined as they are different sides of the same coin and have a high score when considered together; and  The Spanish proposal to work on product definitions and the Austrian proposal to look closer at applications of DSM in District heating (somewhat related to Task XVII) are both interesting.

7. ADMINISTRATIVE MATTERS

2008 Financial Report

The Financial Report for 2008 was presented by Hans Nilsson in the absence of Harry Schaap, Chairman of the Financial Committee. A status report from Accountax Enterprises for the period 3 March 2007 to 3 March 2008 was provided as Attachment C and an up to date Common Fund payments list was provided on page 107 in the Pre-Meeting Document.

Common Fund Payments

Hans Nilsson made a presentation on the Financial Status of the Common Fund. Several countries have not paid their 2008 invoices but no problems are foreseen in receiving these funds, aside from Greece who has not paid the Common Fund since 2005, and has outstanding payments for 2006, 2007 and 2008. The Executive Secretary will continue to send out monthly reminders to those failing to pay, until payments are received.

Election of Chairman and Vice Chairman

The Executive Committee members were asked to submit nominations in accordance with the rules set out in Document Q, pages 108 – 109 in the Pre-meeting Document. These nominations should be sent to the Executive Committee Secretary, Anne Bengtson, no later than 22 August, 2008.

Resignation of Advisor Fred Morse

The Executive Committee members noted with regret that Fred Morse, Morse Associates Inc. has asked to resign due to other commitments. The members expressed their deeply felt gratitude to Fred for his invaluable services and assistance in navigating us through the many difficult situations that we have faced throughout the years.

A discussion about the future and the possible need for new assistance took place and it was concluded that such assistance might be needed, but there is “only one Fred”.

The Executive Committee decided that Pam Murphy will continue to work through Morse Associates, Inc. to produce the DSM Spotlight Newsletter.

DECISION: The Executive Committee members unanimously:  approved the Financial Report for 2008  approved the ex-gratia payment to the Executive Secretary, which has been voted and approved

133 unanimously by the Executive Committee members through a ballot in the past six months  approved that Pam Murphy will continue to work through Morse Associates to produce the DSM Spotlight Newsletter

ACTION:

Executive Committee members should send their nominations to Anne Bengtson no later than 22 August, 2008.

Plans for the Thirty Second Executive Committee meeting

Antonio Capozza, CesiRicerca, offered to host the Thirty Second Executive Committee meeting in Milan, on 22- 24 October, 2008.

Plans for the Thirty Third Executive Committee meeting

Boris Papousek, Graz Energy Agency, offered to host the Thirty Third Executive Committee meeting in Vienna or in the surroundings of Vienna, on 16 – 17 April or 23-24 April, 2009.

10. OTHER MATTERS

The Executive Committee members were encouraged to make contacts with relevant national representatives in other Implementing Agreements.

Hans Nilsson thanked Dr. Ajay Mathur and Mr. Saurabh Kumar on behalf of the Executive Committee, for the excellent meeting arrangements and adjourned the meeting.

134 ACTION ITEMS RESULTING FROM THE THIRTY FIRST EXECUTIVE COMMITTEE MEETING OF THE IEA DSM PROGRAMME 3 – 4 April, 2008, New Delhi, India

WHO ACTION WHEN

Greece Pay Common Fund invoice for 2006 DONE

Greece Pay Common Fund invoice for 2007 DONE France

Canada Pay Common Fund invoice for 2008 DONE Belgium France Canada, France, Japan, India, Italy have paid their 2008 Greece CF invoice India Italy Belgium, Greece, Korea, Norway, Spain and Sweden have NOT DONE Japan NOT paid their CF invoice Korea Norway Spain Sweden

Anne Bengtson Send monthly reminders to countries to pay their Ongoing invoice(s) to the Common Fund

Operating Send papers that have been presented at conferences and Ongoing Agents seminars to ExCo members and put on the website

Anne Bengtson Upload presentations from the January 2008 BCG DONE workshop/meeting

Richard Continue to seek support for Task XIX DONE Formby

New Zealand Inform David Crossley – OA Task XV of their acceptance DONE to make Task XV available to Task XIX

David Crossley Make Task XV results/case studies available to Task XIX ASAP participants upon completion

Balawant Joshi Continue to seek support for Task XX DONE

Harry Vreuls Arrange a Task Definition meeting on “Standardisation of DONE Energy Efficiency Calculations

Hans Nilsson Check if all the information has been made available from DONE Task XIII on the DSM website Jan Bleyl Make inquiries as to whether the Task XVI contribution/article in the “Urban Energy Transition” can NOT DONE be made available on the DSM Task XVI webpage.

ExCo members Contact their Experts in Task XVI and discuss an DONE extension of work in Task XVI

Anne Bengtson Distribute the Task XVI Mid-Term Evaluations to DONE Executive Committee members

135 ExCo members Suggest topics for the Spotlight Newsletter DONE Anne Bengtson Update and distribute Policy & Procedures Guidelines DONE

Pam Murphy Distribute 31st issue of the IEA DSM Spotlight DONE Newsletter

Anne Bengtson Send nominations for Chair to Anne Bengtson no later DONE ExCo members than 22 August 2008 Antonio Capozza Prepare administrative details for the Thirty Second DONE Anne Bengtson Executive Committee Meeting Ross Malme Revise the Concept Paper on “Investigating Retail Carbon Offset programs”, with a focus on the “utility sector” and 19 September present to ExCo in Milan (send to Anne Bengtson for 2008 inclusion in the Pre-Meeting Document (PMD) ).

John Baker Prepare a Task Status Report for Task XIX– Micro 19 September Richard Demand Response and send to Anne Bengtson for 2008 Formby inclusion in the Pre-Meeting Document

Jan W Bleyl Prepare a Task Status Report for Task XVI – Competitive 19 September Pertti Koski Energy Services and send to Anne Bengtson for inclusion 2008 in the Pre-Meeting Document

David Crossley Prepare a Task Status Report for Task XV Network- 19 September Driven DSM and send to Anne Bengtson for inclusion in 2008 the Pre-Meeting Document

David Crossley Prepare a Task Status Report for Task XVIII on DSM and 19 September Climate Change and send to Anne Bengtson for inclusion 2008 in the Pre-Meeting Document

Harry Vreuls Prepare a work plan for a Task on Standardisation of 19 September Energy Efficiency Calculations and send to Anne 2008 Bengtson for inclusion in the Pre-Meeting Document

WHO ACTION WHEN Seppo Prepare a Task Status report for Task XVII - Integration Kärkkäinen of DSM, EE, DG and Renewable Energy Sources, and 19 September send to Anne Bengtson for inclusion in the Pre-Meeting 2008 Document

Balawant Joshi Prepare a Task Status Report on Task XX “Branding of 19 September Energy Efficiency” and send to Anne Bengtson for 2008 inclusion in the Pre-Meeting Document

Harry Schaap Prepare Financial report for 2008 and proposed budget 19 September 2009 and send to Anne Bengtson for inclusion in the 2008 Pre-Meeting Document

Paul Davidson Prepare Visibility Committee Report and send to Anne 19 September Bengtson for inclusion in the Pre-Meeting Document 2008

Operating Prepare Task Information Plans and include in each 19 September Agents Task Status Report. 2008 Anne Bengtson E-mail pdf file of Pre-meeting Document for the Thirty 1 October Second Executive Committee meeting to the Executive 2008 Committee members and Operating Agents.

136 137 ATTACHMENT B

Executive Committee Members IEA DSM Technologies and Programmes Participants at the ExCo meeting 3 -4 April, 2008, New Delhi

Chairman Mr. Hans Nilsson* Grubbensringen 11 112 69 Stockholm Sweden Telephone: (46) 8 650 6733 E-mail: [email protected]

Vice Chairman Dr. Paul Davidson* Director Sustainable Energy Centre Building Research Establishment (BRE) Garston Watford WD25 9XX Telephone: (44) 1923 664437 Telefax: (44) 1923 664087 E-mail: [email protected]

Vice Chairman Dr. Harry Schaap P.O. Box 5003, Alphington Victoria, Australia, 3078 Telephone: (61) 3 9499 4249 Mobile: (61) 413 623 043 E-mail: [email protected]

AUSTRALIA Dr. Harry Schaap P.O. Box 5003, Alphington Victoria, Australia, 3078 Telephone: (61) 3 9499 4249 Mobile: (61) 413 623 043 E-mail: [email protected]

AUSTRIA Mr. Boris Papousek* Grazer Energieagentur GES.m.b.H Kaiserfeldgasse 13/1 A-8010 Graz Telephone: (43) 316 811 848-0 Telefax: (43) 316 811 848-9 E-mail: [email protected]

138 BELGIUM

Mr. Christian Ferdinand Ministry of Economic Affairs North Gate III – Bd du Roi Albert II, 16 B-1000 Brussels Telephone: (32) 2 277 7545 (32) 2 277 8188 Telefax: (32) 2 277 5202 E-mail: [email protected]

Dr. Georges Liébecq ECONOTEC Consultants Quai de la Boverie, 25 4020 LIEGE Telephone: (32) 4 349 5618 Telefax: (32) 4 349 5610 E-mail : [email protected]

CANADA Mr. Tim McIntosh Senior Economist Office of Energy Efficiency Natural Resources Canada 580 Booth Street Ottawa, Ontario, K1A 0E4 Telephone: (1) 613 943 2396 Telefax: (1) 613 947 4120 E-mail: [email protected]

Ms. Malikka Nanduri Office of Energy Efficiency Natural Resources Canada 580 Booth Street Ottawa, Ontario, K1A 0E4 Telephone: (1) 613 943 2396 Telefax: (1) 613 947 4120 E-mail: [email protected]

DENMARK Mr. Finn Møller Godtfredsen* Danish Energy Authority Amaliegade 44 1256 Copenhagen K Telephone: (45) 33 927818 Telefax: (45) 33 114743 E-mail: [email protected]

Ms. Kamilla Thingvad Dansk Energi Rosenørns Allé 9 DK 1970 Frederiksberg C Telephone: (45) 35 300 439 Mobile: (45) 22 750 439 E-mail: [email protected]

139 FINLAND Mr. Jonas Wolff Senior Technology Adviser TEKES P.O. Box 69 00101 Helsinki Telephone: (358) 1060 55874 Telefax: (358) 1060 55905 E-mail: [email protected]

Mr. Seppo Kärkkäinen* VTT Technical Research Centre of Finland VTT Processes Tekniikantie 4C P.O. Box 1606 FIN-02044 Espoo Telephone: (358) 20 722 6406 Telefax: (358) 20 722 7026 Mobile: (358) 50 555 1207 E-mail: [email protected]

FRANCE

Mr. Robert Angioletti* (no longer ExCo member after 19 September 2008) Head of the DMSEE Dept. ADEME 500 route de Lucioles 05650 Valbonne France Telephone : (33) 4 93957931 Telefax : (33) 4 93653196 E-mail : [email protected]

GREECE Ms. G. Gidakou Ministry of Development Energy Savings Directorate Messogion Av. 119, GR-101 92 Athens Telephone: (30) 210 748 8948 Telefax: (30) 310 696 9448 E-mail: [email protected]

Mr. A. Zacharopoulos Ministry of Development Energy Savings Directorate Messogion Av. 119 GR-101 92 Athens Telephone: (30) 210 748 8948 Telefax: (30) 310 696 9448 E-mail: [email protected]

140 INDIA Dr. Ajay Mathur* Director General Bureau of Energy Efficiency Government of India, Ministry of Power NBCC Towers, Hall No. IV, 2nd floor, 15, Bhikaji Cama Place, New Delhi -110066 Telephone: (91) 11 2617 8316 Telefax: (91) 11 2617 8328 E-mail: [email protected] http://www.bee-india.nic.in

Mr. Saurabh Kumar* Secretary Bureau of Energy Efficiency Government of India, Ministry of Power NBCC Towers, Hall No. IV, 2nd floor, 15, Bhikaji Cama Place, New Delhi -110066 Telephone (91) 11 2617 9699 Telefax: (91) 11 2617 8328 E-mail: [email protected]

Mr. Devender Singh* Joint Secretary Ministry of Power 415, Shram Shakti Bhawan, Rafi Marg , New Delhi – 110001 Telephone: (91) 11 237 10199 Telefax: (91) 11 237 17519 E-mail: [email protected]

ITALY Mr. Walter Bruno Grattieri CESI RICERCA SpA Economia del Sistema Elettrico Power System Economics Via Rubattino, 54, 20134 Milano Telephone: (39) 02 3992 5714 Telefax: (39) 02 3992 5597 E-mail [email protected] http://www.cesiricerca.it

Dr. Antonio Capozza CESI RICERCA SpA Economia del Sistema Elettrico Power System Economics Via Rubattino, 54 20134 Milano Telephone: (39) 02 3992 5016 Telefax: (39) 02 3992 5597 E-mail [email protected] http://www.cesiricerca.it

141 JAPAN SPONSORS

Mr. Hirokazu Tanaka (from June 18, 2008) President and CEO Japan Facility Solutions (JFS) 1-15 Kagurazaka, Kagurazaka – 1 Chome Building 2F Shinjuku-ku, Tokyo, Japan 162-0825 Telephone: (81) 3 5229 2917 Telefax: (81) 3 5229 2912 E-mail: [email protected]

Mr. Takeshi Matsumura (from June 18, 2008) General Manager Sales & Planning Department Japan Facility Solutions, Inc (JFC) 1-15 Kagurazaka, Kagurazaka – 1 Chome Building 2F Shinjuku-ku, Tokyo, Japan 162-0825 Telephone: (81) 3 5229 2922 Telefax: (81) 3 5229 2912 E-mail: [email protected]

Mr. Takahito Komine (until June17, 2008) President and C.E.O. Japan Facility Solutions, Inc (JFC) 1-15 Kagurazaka, Kagurazaka – 1 Chome Building 2F Shinjuku-ku, Tokyo, Japan 162-0825 Telephone: (81) 3 5229 2917 Telefax: (81) 3 5229 2912 E-mail: [email protected]

Mr. Jun Kawana ( until June 17, 2008) General Manager Planning & Marketing Department Japan Facility Solutions, Inc. (JFS) 1-15 Kagurazaka, Kagurazaka – 1 Chome Building 2F Shinjuku-ku, Tokyo, Japan 162-0825 Telephone: (81) 3 5229 2922 Telefax: (81) 3 5229 2912 E-mail: [email protected]

CONTACT FROM JAPAN Mr. Tetsuya Maekawa Head, Energy Solution Centre Tokyo Electric Power Company 1-1-3, Uchisaiwai-cho, Chiyoda-ku Tokyo 100-8560 Japan Telephone: (81) E-mail: [email protected]

REPUBLIC OF KOREA Mr. Sang-Kug Im* The Korea Energy Management Corporation 1157, Pungdukchun, Suji, Yongin, Kyunggi, 449-994 Telefax: (82) 31 260 4459 E-mail: [email protected]

142 Mr. Hak-do Kim Ministry of Commerce Industry and Energy (MOCIE) 1 Joongand-dong, Gwachoen 51 Gyunngi, 427 – 723 Telephone: (82) 2 110 5421 Telefax: (82) 2 504 5001 E-mail: [email protected]

Dr. Sung Chul Shin Senior Researcher R&D Policy Research Division Korea Institute of Energy Research 71-2 Jang-dong, Yuseong-gu, Daejeon 305-343 Korea Telephone: (82) 42 860 3257, 3090 Telefax: (82) 42 860 3097 E-mail: [email protected]

Mr. Ki-tae Nam* Korea Energy Management Corporation (KEMCO) Demand Side Management Department 1157, Pungdukchun, Suji, Yongin, Kyunggi, 449-994 Korea Telephone: (82) 31 260 4420 Telefax: (82) 31 260 4409 E-mail: [email protected]

NETHERLANDS Mr. Rob Kool* Manager Int. Sustainable Development SenterNovem Catharijnesingel 59 P.O. Box 8242 3503 RE Utrecht Telephone: (31) 302 393503 Telefax: (31) 302 316 491 E-mail: r.kool@senternovem@nl

Mr. Harry Vreuls* SenterNovem Swentiboldstraat 21 P.O. Box 17 6130 AA Sittard The Netherlands Telephone: (31) 46 4202 258 Telefax: (31) 46 4528 260 E-mail: [email protected]

NEW ZEALAND Mr. Steve Torrens Policy Analyst Electricity and Gas Energy Efficiency and Conservation Authority Level 1, 44 The Terrace P.O. Box 388 Wellington Telephone: (64) 495 8264 Telefax: (64) 4 499 5330 E-mail: [email protected]

143 Mr. Robert Tromop Manager Monitoring and Technical Energy Efficiency and Conservation Authority Level 1, 44 The Terrace P.O. Box 388 Wellington Telephone: (64) 470 2213 Telefax: (64) 4 499 5330 E-mail:

Mr. Magnus Hindsberger* Senior Economic Advisor Transpower New Zealand Ltd. Transpower Hourse, 96 The Terrace P.O. Box 1021 Wellington Telephone: (64) 4 495 7051 Telefax: (64) 4 494 6779 E-mail: [email protected]

NORWAY Mr. Even Bjørnstad Enova SF Abelsgate 5 N-7030 Trondheim Telephone: (47) 73 19 04 75 Mobile: (47) 99 638218 Telefax: (47) 73 19 04 31 E-mail: [email protected]

SPAIN Ms. Carmen Rodriguez Villagarcia DSM Department Manager Red Eléctrica de Espana Plaza de los Gaitanes 177 La Moraleja 28109 Madrid Telephone: (34) 91-650 8500/2012 Telefax: (34) 91 650 4542/7677 E-mail: [email protected]

Ms. Susana Bañares RED Eléctrica de España Plaza del Conde de los Gaitanes, 177 La Moraleja 28109 Alcobendas, Madrid Telephone: (34) 91 659 99 35 Telefax: (34) 91 650 4542 E-mail: [email protected]

Ms. Beatriz Gómez* Red Eléctrica Internacional Paseo del Conde de los Gaitanes, 177 Alcobendas, 28109 Madrid Telephone: (34) 91 650 2012 ext. 2422 Telefax: (34) 91 728 6356 E-mail: [email protected]

144 SWEDEN Mr. Hans Nilsson* Grubbensringen 11 112 69 Stockholm Telephone: (46) 8 650 6733 E-mail: [email protected]

Mr. Carlos Lopes Energimyndigheten (STEM) Box 310 S-631 04 Eskilstuna Telephone: (46) 16 544 2000 Telefax: (46) 16 544 2260 E-mail: [email protected]

UNITED KINGDOM Mr. Tom Bastin DEFRA – Department for Environment, Food & Rural Affairs Room 6/H11, Ashdown House 123 Victoria Street, London, SW1E 6DE Telephone: (44) 207 082 8719 Telefax: (44) 207 082 8992 E-mail: [email protected]

Dr. Paul Davidson* Director Sustainable Energy Centre Building Research Establishment (BRE) Garston, Watford WD25 9XX Telephone: (44) 1923 664437 Telefax: (44) 1923 664087 E-mail: [email protected]

UNITED STATES Mr. Larry Mansueti Director, State and Regional Assistance Office of Electricity Delivery and Energy Reliability U.S. Department of Energy 1000 Independence Ave. SW, Washington D.C. 20585 Telephone: (1) 202 586 2588 Telefax: (1) 202 586 5860 E-mail: [email protected]

ADVISOR TO EXCO Position is vacant

WEBMASTER Mr. Fergus Rolfe Solstice Associates Limited 1 Market Place Hadleigh Suffolk IP7 5DL United Kingdom Telephone: (44) 1473 820040 E-mail: [email protected] E-mail: [email protected]

145 IEA SECRETARIAT Ms. Carrie Pottinger* International Energy Agency Office of Energy Conservation and Efficiency Division 9 rue de la Fédération 75739 Paris Cedex 15 Telephone: (33) 40 576761 Telefax: (33) 40 576759 E-mail: [email protected]

SPOTLIGHT/NEWSLETTER EDITOR Ms. Pamela Murphy Morse Associates Inc. 9131 S.Lake Shore Dr. Cedar, MI 49621 United States Telephone: (1) 231 228 7016 Telefax: (1) 231 228 7016 E-mail: [email protected]

CHAIRMAN and EXECUTIVE COMMITTEE SECRETARY Ms. Anne Bengtson* Scandinavian Tuff Traders AB Box 47096, 100 74 Stockholm Home: Liljeholmstorget 18-4tr, 117 61 Stockholm Sweden Telephone: (46) 8 510 50830 Telefax: (46) 8 510 50830 E-mail: [email protected]

OTHER ATTENDEES Mr. Ture Hammar* Danish Energy Authority Amaliegade 44 DK-1256 Copenhagen Denmark Telephone: 45 3392 6865 E-Mail: [email protected]

146 IEA DSM Implementing Agreement on Demand Side Management Technologies and Programmes - Operating Agents * Participated at the ExCo meeting in New Delhi, India – 3 - 4 April, 2008.

Task XV – Network Driven DSM Operating Agent

Dr. David Crossley* Energy Future Australia Pty. Ltd. 11 Binya Close Hornsby Heights NSW 2077 Australia Telephone: (61) 2 9477 7885 Telefax: (61) 2 9477 7503 Mobile: (61) 411 467 982 E-mail: [email protected] [email protected]

Task XVI – Energy Performance Contracting - Competitive Energy Services Operating Agent

Mr. Jan W. Bleyl* Graz Energy Agency Kaiserfeldgasse 13/1 A-8010 Graz Austria Telephone: (43) 316 811848 -20 Telefax: (43) 316 811848 – 9 Mobile: (43) 650 799 2820 E-mail: [email protected]

Co-operating Agent

Mr. Pertti Koski Motiva Oy P.O. Box 489 00101 Helsinki Finland Telephone: (358) 9 856531-00 E-Mail: [email protected]

Task XVII – Integration of Demand Side Management, Distributed Generation, Renewable Energy Sources and Energy Storages Operating Agent

Mr. Seppo Kärkkäinen* VTT Technical Research Centre of Finland VTT Processes Tekniikantie 4C P.O. Box 1606 FIN-02044 Espoo Telephone: (358) 9-456 6406 Telefax: (358) 9-456 6538 E-mail: [email protected]

147 TASK XVIII – Demand Side Management and Climate Change Operating Agent

Dr. David Crossley* Energy Future Australia Pty. Ltd. 11 Binya Close Hornsby Heights NSW 2077 Australia Telephone: (61) 2 9477 7885 Telefax: (61) 2 9477 7503 Mobile: (61) 411 467 982 E-Mail: [email protected]

TASK XIX – Micro Demand Response and Energy Saving Operating Agent

Mr. Barry Watson Business Development Manager EA Technology Ltd. New Energy Technologies Team Capenhurst technology Park Capenhurst, Chester CH1 6ES Telephone: (44) 0151 347 2369 Mobile: (44) 07894 392832 Telefax: (44) 151 347 2406 E-mail: [email protected] www.eatechnology.com

Mr. John Baker E.A. Technology Ltd. Capenhurst Chester, CH1 6ES United Kingdom Telephone: (44) 151 347 2462 Telefax: (44) 151 347 2406 E-Mail: [email protected]

Mr. J.R. Formby* Technology Group Manager E.A. Technology Capenhurst, Chester CH1 6ES United Kingdom Telephone: (44) 151 347 2318 (44) 151 339 4181 Telefax: (44) 151 347 2406 E-Mail: [email protected]

Task XX - Branding of Energy Efficiency Services

Mr. Balawant Joshi* ABPS Infrastructure Private Limited 703/704, The Avenue Opp. the Leela Intl Airport Road Andheri (East), Mumbai – 400 069 India Telephone: (91) 22 2825 0050 Telefax: (91) 22 2825 0051 E-Mail: [email protected]

148 ATTACHMENT C Glossary

Abbreviation Explanation

APEC Asia-Pacific Economic Cooperation

BCG Buildings Co-ordination Group (consists of 7 Implementing Agreements)

CERT Committee on Energy Research and Technology in the IEA

CIGRE International Council on Large Electric Systems

CTI Implementing Agreement on Climate Technology Initiative

DHC Implementing Agreement on District Heating and Cooling

DSM Implementing Agreement on Demand-Side Management

EC European Commission

ECEEE European Council for an Energy Efficient Economy

ECES Implementing Agreement on Energy Storage

EEWP Energy Efficiency Working Party in the IEA

ENARD Electricity Networks Analysis, Research & Development

EOT End of Term

ESD Energy Services Directive in the European Commission

ETE Energy Technology Essentials (3-4 page briefs)

ETSO European Transmission System Operators

EU European Union

EUWP End-Use Working Party in the IEA

FBF Implementing Agreement on Future Buildings Forum

GHG Green House Gas

HPC Implementing Agreement on Heat Pump Centre

IEA International Energy Agency

IPCC Intergovernmental Panel on Climate Change

JFS Japan Facility Solutions (Japanese Sponsors participating in Task XVI)

KIER Korea Institute of Energy Research

149 NEET New and Emerging Environmental Technologies (IEA networking project - Gleneagles G8)

NRDC National Development and Reform Commission, China

PMD Pre-Meeting Document

PVPS Implementing Agreement on Photovoltaic Power Systems

REEEP Renewable Energy and Energy Efficiency Partnership

SANERI South African National Energy Research Institute

SHC Implementing Agreement on Solar Heating and Cooling

150 ATTACHMENT D

Task XVI

Competitive Energy Services (Energy-Contracting, ESCo Services)

Midterm Evaluation

This Midterm evaluation is submitted to the IEA DSM IA EXCO meeting in Milan with a request for the EXCO to:

Note the result and to take necessary action on the recommendations.

In summary, the Task is well developed and well managed. Stakeholders are highly satisfied. There are only minor opportunities for improvement. These are:  Achievement goals related to the Task’s objectives could be a little better stated,  It may be desirable to set out some shorter term milestones to provide a somewhat better emphasis on the goals,  Some clarity about industry engagement in the Task may be helpful,  Only a very slight improvement in Task management would be needed in order to increase greater overall interest in the Task