Path to Energy Savings & Solar

02.10.10 Path to Energy Savings & Solar Existing Residential and Small Commercial

2 Goals of this Webinar Provide the tools and inform you of the steps you should take before and after installing solar to maximize your investment and reduce your carbon footprint.

PG&E Delivery Mix Integrated Approach The Full Energy Picture Before Going Solar Energy Conservation Energy Efficiency Case Study Going Solar After Solar Resources Agenda 3

PG&E s Projected 2009 Electric Delivery Mix 4

We re committed to Energy Efficiency PG&E has saved more than 155 million MWh and 12.5 billion therms from installed energy efficiency measures, which is the equivalent of powering over 23.5 million homes with electricity and heating 25 million homes with natural gas 5

PG&E s Integrated Approach Energy Efficiency Reduce Energy Use Climate Smart Neutralize Energy Use Renewable Power Supply Solar & Wind 6

The Full Energy Picture: Loading Order 1. Energy Conservation (No Cost) -Changing usage patterns to reduce energy consumption 2. Energy Efficiency (Low Cost) -Using less energy without changing patterns 3. Energy from Renewable s (Investment) -Energy generated from natural resources (Solar, Wind, etc) 4. Carbon Offsets -Programs that allow individuals to reduce their impact on climate change 7

Why Energy Efficiency Before Solar? Bigger Bang for your Buck Less usage = smaller energy bills Cheap, easy, and less destructive to implement than other methods of energy Less usage smaller solar system needed lower cost Energy Audit Required to Participate in CSI Program Educate yourself and your customers Analyze usage Learn what to do Contractor Competitive advantage 8

Before Solar 9

Take an Energy Efficiency Audit Energy Audit: SmartEnergy Analyzer Create a profile of your home and appliances Identify how much energy and money you can save Create a customized energy plan www.pge.com/energyanalyzer 10

Step 1. Conservation Practices (No-Cost) Keep your thermostat at 68 degrees in the winter and 78 degrees in the summer (health permitting) Adjust thermostat up/down when you leave home or go to bed Lower your water heater s thermostat to 120 degrees F Only run full dishwashers and loads of laundry Turn off the water when brushing teeth, washing dishes, etc. Take shorter showers 11

Step 1 (con t). Conservation Practices (Low Cost) Install faucet aerators, ultra-low flow toilets and showerheads Install irrigation controllers or, even better, droughttolerant landscaping 12

Step 2. Strive For High Efficiency (Low-Cost) Replace regular light bulbs with Compact Fluorescent Lamps (CFLs) CFLs lasts up to 10 times longer and use up to 75% less energy than regular bulbs Look for the PG&E sticker and save! Dispose of burned out bulbs properly by visiting Earth911.org to find a recycling facility 13

Step 3. Strive For Higher Efficiency (Investment) Buy high efficiency appliances (i.e., clothes washers, dishwashers, water heaters) These appliances use 10% to 50% less energy than standard appliances Look for the ENERGY STAR Weatherize your home Insulate your attic and your walls We offer Rebates! 14

PG&E Offers a Variety of Rebates Residential High-Efficiency Clothes Washers ENERGY STAR Dishwashers ENERGY STAR Room Air Conditioner Electric Storage Water Heaters Natural Gas Storage Water Heater Attic and Wall Insulation Cool Roof Low/Steep Slope Whole House Fan 92% & 94% AFUE Central Natural Gas Furnace Variable Speed Motor (VSM) Air Handler System Variable and 2-Speed Swimming Pool Pump and Motor 15

PG&E Offers a Variety of Rebates Business Agricultural Products Appliances and General Improvement Food Service Heating, Ventilation and Air Conditioning (HVAC) Lighting Refrigeration Boilers and Water Heating Business Computing 16

17 Case Study: How Does EE Effect Solar System Size and Cost? Lighting Air-Conditioning and Duct Sealing Refrigeration Phantom Loads Pool Pumps

18 Device Typical Single Family California Home* 6,992 total kwh/year % of home electricity Annual kwh for each device Interior/Exterior Lighting 22.5% 1572 Central Air / Ventilation 18.2% 1276 Misc. 12.3% 858 Refrigerator 11.8% 824 Clothes Dryer 10.2% 713 Computer 8.3% 578 TV 7.4% 519 Range Oven 4.3% 301 Microwave 2.0% 140 Clothes Washer 1.8% 127 Dish Washer 1.2% 84 *RASS, PG&E, and DEER

19 Opportunities for Savings kwh Savings by Measure 700 600 500 400 300 200 100 0 Lighting Air Conditioning/ ventilation Refrigerator Phantom Loads Duct Sealing

20 Large Single Family California Home with Pool Pump Device Pool Pump Central Air / Ventilation Interior/ Exterior Lighting 2nd Refrigerator Miscellaneous Main Refrigerator Clothes Dryer Computer TV Range Oven Microwave Clothes Washer Dish Washer 12,216 % of home electricity 24.2% 15.8% 14.8% 10.2% 8.1% 6.7% 5.8% 4.7% 4.2% 2.5% 1.1% 1.0% 0.7% total kwh/year Annual kwh for each device 2959 1931 1808 1245 987 824 713 578 519 301 140 127 84

21 Opportunities for Savings kwh Savings per Measure (Large Home) 2500 2000 1500 1000 500 0 Pool Pump Refrigerator Air Conditioning/ ventilation Lighting Phantom Loads Duct Sealing

Lighting 22

23 Lighting: Effect on Solar Replacing 60% of CFL applicable screw-base sockets in PG&E homes with CFLs Large Home Lighting (kwh) $91 = cost to implement measure 1117 691 Energy Savings New Consumption 691 kwh/yr. saved = 433 Watt reduction on PV system size ($2,293) reduction in upfront PV system cost Benefit/Cost Ratio 25 : 1 2.1 Panel Reduction (210 watt)

Air Conditioning & Duct Sealing 24

25 A/C and Duct Sealing: Effect on Solar Upgrading A/C unit from SEER 10 to EnergyStar (SEER 14.5) and sealing ducts to reduce leak from 19% to 12% $ 4,201 = cost to implement measure New 5 Ton A/C and Duct Sealing 708 kwh/yr. saved =293 Watt reduction on PV system size 1223 708 Energy Savings New Consumption ($2,349) reduction in upfront PV system cost Benefit to Cost ratio: 0.56 : 1 2.1 Panel Reduction (210 watt) Other Intangible Benefits: Peak load reduction Smart A/C program

Refrigerator Replacement 26

27 Refrigeration: Effect on Solar Replacing an existing refrigerator with a new EnergyStar unit 1205 Main and 2nd Refrigerator (kwh) 864 Energy Savings New Consumption $1,145 = cost to implement measure 864 kwh/yr. saved = 542 Watt reduction on PV system size ($2,867) reduction in upfront PV system cost Benefit to Cost ratio 2.5 : 1 2.6 Panel (210 watt)

Phantom Loads 28

29 Phantom Loads CEC TV, Computers, and other entertainment make up 91% of plug loads, and 22% of that is attributed to Phantom Loads, aka Standby Power

30 Conservation and Reducing Phantom Loads: Effect on Solar Utilizing power strips and unplugging electronics/small appliances not in use Home Electronic Consumption after EE (kwh) 230 Energy Savings New Consumption $68 = cost to implement measure 300 kwh/yr. saved = 188 Watt reduction on PV system size ($996) reduction in upfront system cost 1854 Benefit to Cost ratio: 11 : 1 0.9 Panel Reduction (210 watt)

31 Pool Pump Replacement

32 Pool Pump: Effect on Solar Replacing a single speed pump with a variable speed pump Pool Pum p (kwh) 539 $1,457 = cost to implement measure 2420 Energy Savings New Consumption 1736 kwh/yr. saved = 1,517 Watt reduction on PV size ($8,029) reduction in up front system cost Benefit to Cost ratio: 5.5 : 1 7.2 Panel Reduction (210 watt)

33 Case Study: Savings & Payback

Typical Single Family California Home* After EE 5,280 total kwh Device % of home electricity Annual kwh for each device Interior/Exterior Lighting 18.4% 970 Central Air / Ventilation 15.3% 809 Misc. 14.4% 758 Refrigerator 13.5% 381 Clothes Dryer 10% 713 Computer 8.9% 528 TV 7.2% 469 Range Oven 2.7% 301 Microwave 2.7% 140 Clothes Washer 2.4% 127 Dish Washer 1.6% 84 *RASS, PG&E, and DEER 34 1,712 kwh Saved (4,9013 kwh Saved with Large Home)

PG&E Bill of Typical Customer 35 Avg. baseline allowance per day: 14 Avg. billing days for month: 30 Avg. usage per month: 583 kwh Rate Tiers Tier Usage (kwh) Charge/kWh Amount 0 to 100% of Baseline ($0.115) 420.00 $0.11531 $48.43 101 to 130% of Baseline($0.13) 126.00 $0.13109 $16.52 131 to 200% of Baseline ($0.26) 37.00 $0.25974 $9.61 Total 583 $74.56 Average cost per kwh: $0.1279 How EE and Solar Effect a Typical Customer's Bill Typical PG&E Home Savings: Energy Efficiency 143 kwh/mo. kwh 346 Solar $63.48/mo. Out of Pocket 20 74 106 37 Tier 1 ($.115) Tier 2 ($0.131) Tier 3 ($0.259)

36 Typical PG&E Home: PV System Cost and Payback Size and Cost of Solar Before EE (3.5 kw) Cost of Implementing EE Size and Cost of Solar After EE (2.6 kw) Total Combined Cost $ 18,518* $ 4,246 $ 13, 756 $ 18,002* ~ 23 years ~ 13 years ~ 25 years ~ 21 years Typical PG&E Home Total Upfront Savings: $516 4.3 Panel Reduction *($9/watt)-CSI Incentive -30% Federal Tax

PG&E Bill of Large Solar Customer 37 Avg. baseline allowance per day: 14 Avg. billing days for month: 30 Avg. usage per month: 1018 kwh Rate Tiers Tier Usage (kwh) Charge/kWh Amount 0 to 100% of Baseline ($0.115) 420.00 $0.11531 $48.43 101 to 130% of Baseline($0.13) 126.00 $0.13109 $16.52 131 to 200% of Baseline ($0.26) 294.00 $0.25974 $76.36 201 to 300% of Baseline 178.00 $0.37866 $67.40 Total 1018 $208.71 Average cost per kwh: $0.2050 Large Solar PG&E Home Savings: kwh 450 400 350 300 250 200 289 How EE and Solar Effect a Large Home Customer's Bill 63 Energy Efficiency Solar 409kWh/mo. $193.74/mo. 150 100 50 131 126 231 178 Out of Pocket 0 0 to 100% of Baseline ($0.115) 101 to 130% of Baseline($0.13) 131 to 200% of Baseline ($0.26) 201 to 300% of Baseline

38 Large Solar PG&E Home: PV System Cost and Payback Size and Cost of Solar Before EE (6.1 kw) Cost of Implementing EE Size and Cost of Solar After EE (3.6 kw) Total Combined Cost $ 34,898* $ 6,962 $ 19, 047 $ 26,009* ~ 15 years ~4 years ~ 22 years ~ 10 years Large Solar PG&E Home Total Upfront Savings: $8,889 11.9 Panel Reduction *($9/watt)-CSI Incentive -30% Federal Tax

Going Solar 39

Go Solar Do your research: Roof conditions Shading and direction of roof Obtain bids from a minimum of 3 contractors How much usage to be offset (size of system) 40

Go Solar Reduce Costs California Solar Initiative 10 year program (2007-2017) Must be in Investor Owned Utility (IOU) territory Residential Retrofit, Non-Residential retrofit/new construction Federal Tax Credit 30% of net cost Extended through 2016 Net Energy Metering Meter keeps track of debits/credits Buy and sell at the going rate Cannot make a profit 41

After Solar 42

Maximize your Rate Schedule E-6 Time Periods Time of Use 43

Maximize your Rate Schedule Time of Use Rates 35 Credit Cents per Kwh 30 25 20 15 Use Credit Use Credit 10 5 0 1 2 3 4 5 6 7 8 9 101112131415161718192021222324 Hours of the Day Buying low and selling high adds value. 44

Continue Conservation and Energy Efficiency Practices Maximize your systems production Solar is not an excuse to neglect conservation and efficiency Environmentally friendly Consider your Carbon Footprint Regular maintenance on your system 45

Reducing your Carbon Footprint: ClimateSmart 46

47 Questions and Answers

Energy Efficiency Resources Rebates: www.pge.com/rebates Residential: 1-800-933-9555 www.pge.com/myhome/saveenergymoney Commercial: 1-800-468-4743 www.pge.com/mybusiness/energysavingsrebates Large Commercial: Contact your assigned PG&E Account Manger or Representative Energy Savings Calculator http://www.pge.com/myhome/saveenergymoney/resources/appliancecal culator/index.shtml Energy Audit: www.pge.com/energyanalyzer 48

Solar Resourses Solar Customer Service Center: 1-877-743-4112 www.pge.com/solar California Solar Initiative: Solar@pge.com www.pge.com/csi Net Energy metering: Gen@pge.com www.pge.com/nem Solar Classes: www.pge.com/solareducation www.pge.com/solarclasses 49