National Solar Schools Program

Transcription

1 National Solar Schools Program Evaluation Report November 2013 grosvenor management consulting a level 7 15 london circuit canberra act 2601 t (02) abn e grosvenor@grosvenor.com.au w grosvenor.com.au

2 Table of contents Table of figures... 5 Table of tables... 7 List of abbreviations Executive Summary Introduction Input and design Process and implementation Achievements against the NSSP objectives (impacts and outcomes) Value for money Sustainability Implications for the future Recommendations Introduction Background Scope and objectives The National Solar Schools Program Approach and method Evaluation resources Evaluation limitations Structure of the evaluation report PART A Input & Design Funding Approach Department of Resources Energy and Tourism grosvenor management consulting 2

3 5.1 Conclusions - funding approach PART B Process & Implementation NSSP implementation Roles and responsibilities of the NPA Conclusions NSSP implementation Performance against milestones Performance milestones Performance against each milestone Delays and challenges in completing projects Conclusions performance against milestones PART C Impacts & Outcomes Achievement of NSSP objectives Energy efficiency & renewable energy Rainwater Conclusions - rainwater Educational Benefits Conclusions educational benefits Supporting industry growth Value for money Conclusions value for money Sustainability of NSSP Achieving behavioural change Maintenance of PV systems Conclusions sustainability Department of Resources Energy and Tourism grosvenor management consulting 3

4 11 Implications for the future Recommendations Attachment A: NSSP Review Terms of Reference Attachment B: Activities undertaken by DRET following the interim evaluation Attachment C: Further information Attachment D: National Partnership Agreement Attachment E: Evaluation design and methodology Attachment F: Related programs implemented by the States and Territories References Department of Resources Energy and Tourism grosvenor management consulting 4

5 Table of figures Figure 1: NSSP timeline Figure 2: Number of survey responses Figure 3: Project completion time for non-government schools Figure 4: Systems installed by state and sector Figure 5: Geographical distribution of installed PV systems Figure 6: PV electricity generated by QLD schools in FY Figure 7: Performance of NSW PV systems versus CER Zone 3 estimates Figure 8: Size of systems installed Figure 9: Cost per Watt of NSSP systems installed by year Figure 10: Average kw of PV installation by state/territory for government schools and non-government sector Figure 11: Range in cost of systems Figure 12: Cost of abatement as compared to benchmarks Figure 13: Total and imported energy consumption median per NSSP QLD school Figure 14: Students enrolled and floor area Figure 15: Median energy intensity of QLD schools Figure 16: Percentage of NSSP schools installing rain water tanks Figure 17: Average rainfall, tank capacity, roof area and harvesting potential per school Figure 18: Purposes for which rainwater tanks were connected Figure 19: Collaborations and associated behavioural change Figure 20: Schools incorporating DCSVS data into lessons plans (by funding year) Figure 21: NSSP installed PV capacity as a proportion of total market installed capacity Figure 22: Commonwealth, state/territory and non-government financial contributions Department of Resources Energy and Tourism grosvenor management consulting 5

6 Figure 23: Pathway from NSSP inputs to outcomes Figure 24: Behavioural change as a result of the NSSP Figure 25: Implementation of maintenance plan (by sector) Figure 26: Evaluation design Department of Resources Energy and Tourism grosvenor management consulting 6

7 Table of tables Table 1: Implementation approach by states and territories Table 2: Energy generation systems installed Table 3: Types of energy generation systems installed Table 4: Capacity of PV systems installed (kw) Table 5: Electricity displaced (MWh) by year Table 6: Theoretical annual electricity generation from PV systems installed (MWh) Table 7: Performance of systems in SA and WA Table 8: May 2012 Audit findings of DCSVS operation Table 9: Industry standard price (AU$/W) for solar panels Table 10: Australian trends in typical system prices for grid applications up to 5 kwp compared to NSSP PV system prices paid (AU$ ex GST) Table 11: NSSP schools installing energy efficiency items Table 12: Number of schools installing energy efficiency items by type Table 13: Energy efficient lighting expenditure and quantity installed Table 14: Rainwater tank installations by state, sector and year Table 15: Average rainfall, installed tank capacity, roof area and harvesting potential by state and sector Table 16: Cost per litre of tanks installed Table 17: Key findings of the interim evaluations of the NSSP Table 18: NSSP installers as a proportion of industry providers Table 19: Key findings of the interim evaluations of the NSSP Table 20: Approved projects by state and sector Department of Resources Energy and Tourism grosvenor management consulting 7

8 List of abbreviations ABS Australian Bureau of Statistics ACT Australian Capital Territory AuSSI Australian Sustainable Schools Initiative Black data Net energy consumed from the grid CEC Clean Energy Council CER Clean Energy Regulator COAG - Council of Australian Governments DCCEE Department of Climate Change and Energy Efficiency DCSVS Data Collection Storage and Visualisation System DEEWR Department of Education, Employment and Workplace Relations DRET Department of Resources, Energy and Tourism Green data Renewable energy generated IPART Independent Pricing and Regulatory Tribunal of New South Wales kw / MW Kilowatt / Megawatt, a unit of power kwh / MWh Kilowatt hour / Megawatt hour, a unit of energy KWp / MWp- the peak (nameplate) output power in kilowatts / megawatts NAPLAN National Assessment Program Literacy and Numeracy NPA National Partnership Agreement NSSP National Solar Schools Program NSW New South Wales NT Northern Territory PM&C Department of Prime Minister and Cabinet PV Photovoltaic QLD Queensland SA South Australia SEWPaC Department of Sustainability, Environment, Water, Population and Communities SHW Solar Hot Water STC Small-scale Technology Certificate TAS Tasmania VIC Victoria WA Western Australia Department of Resources Energy and Tourism grosvenor management consulting 8

9 N S S P O B J E C T I V E S 1 Executive Summary 1.1 Introduction This report documents the final evaluation of the National Solar Schools Program (NSSP). The NSSP is part of the Australian Government s 2007 Solar Schools Solar Homes election commitment. The NSSP commenced on 1 July 2008, and closed on 30 June The NSSP offered eligible primary and secondary schools the opportunity to compete for grants of up to $50,000, to install solar and other renewable systems, rainwater tanks and a range of energy efficiency measures. The stated objectives of the NSSP were to: allow schools to: generate their own electricity from renewable sources improve their energy efficiency and reduce their energy consumption adapt to climate change by making use of rainwater collected from school roofs provide educational benefits for school students and their communities support the growth of the renewable energy industry. Key statistics for the program include: $217 million Commonwealth funding 2008/ /13 8,300 schools registered (88% of all Australian schools) 5,300 schools awarded a grant (56% of all Australian schools) 4,897 photo voltaic (PV) systems funded (92% of NSSP projects) 279 other renewable energy systems funded 33,082 kw of PV system capacity funded equivalent to 2.4% of school consumption and meeting needs of 6,075 homes $ per tonne of Carbon emissions offset for PV systems 1,559 separately funded energy efficiency projects 61,063 litres rain water tank capacity funded 2,640 ML of theoretical rain water harvesting potential Department of Resources Energy and Tourism grosvenor management consulting 9

10 This report evaluated the NSSP against the program design, the management of the program, and importantly, the outcomes achieved against the stated objectives as represented in the following diagram. Input & Design Process & Implementation Impacts & Outcomes How appropriate was the NPA funding mechanisms (performance milestones and associated payments) for achieving the objectives? How appropriate was the maximum amount of funding for each school? How appropriate was the annual funding allocations for each state and territory, introduced in July 2010? How appropriate were the eligible items that schools could install? How effective was the program implementation in respect to its stated objectives? What were the key challenges and successes in the implementation of the NSSP? To what extent have DCCEE and the States fulfilled their roles and responsibilities under the NPA? Are approved project items in proportion to the funding obtained? Has value for money in delivering the objectives been achieved? Have project milestones been achieved and if not, why? To what extent have NSSP objectives been achieved, including allowing schools to: - Improve energy efficiency and reduce energy consumption - Generate own electricity from renewable sources - Adapt to climate change by making use of rainwater collected from school roofs - Provide education benefits for school students and their communities - Support the growth of the renewable energy industry? Is there still a need or priority for Commonwealth and State Government activity and/or collaboration in this policy area? The evaluation considered information sourced from: stakeholder interviews including state and territory government agencies responsible for the implementation of the Program within government schools a survey of NSSP funded schools data collected by NSSP selected case studies 1 1 Conducted by staff within DRET. Department of Resources Energy and Tourism grosvenor management consulting 10

11 1.2 Input and design The Program was initially established within the (former) Commonwealth Department of Environment, Water, Heritage and the Arts, transferred to the (former) Department of Climate Change and Energy Efficiency (DCCEE), and then transferred to the Department of Resources, Energy and Tourism (DRET) since the winding up of DCCEE in The program was initially a demand based program which faced oversubscription in While the move to a competitive, merit-based selection arrangement was a positive and effective development, the Program may have benefitted from such a model being in place from the outset in the event demand exceeded available funding. The funding model for government schools with states and territories under the National Partnership Agreement (NPA) was consistent with the typical approach of other programs funded by the Commonwealth and implemented by the states and territories under the Federal Financial Relations Act. The funding model for non-government schools was a grant model and may have benefited from a payment model where part of the payment was withheld until successful completion as is recommended in the ANAO s Better Practice Guide to Administration of Grants. The amount of the grant for each school 4 was generally seen as adequate by most stakeholders. The amount enabled schools to install adequate sized systems, with system sizes increasing as costs of PV systems reduced across the period of the NSSP. With the exception of ACT and QLD government schools, very little additional funding was invested by the school or state/territory to top up project funds. Concerns were raised by many states/territories about the lack of funding for administrative and ongoing maintenance costs; however, it is reasonable to expect that the states/territories make some contribution, particularly given most would have benefited from reduced energy and water costs. 2 The term DRET is used throughout this report to refer to the Department administering the NSSP. 3 NSSP applications exceeded available funding. The program had to be temporarily suspended to enable changes to be put in place, including the merit based competitive process and additional arrangements with the states and territories. 4 $50,000 although some states and territories elected to reduce the funding per school during the Program so that more schools could be funded. Department of Resources Energy and Tourism grosvenor management consulting 11

12 1.3 Process and implementation The NSSP was implemented within the context of many existing and prior state and territory policies and programs. The states and territories also took very different approaches to implementing NSSP. The flexibility afforded under the NSSP was appropriate to accommodate the differences between states and territories, including ensuring alignment with their existing program and education models. However, the differences created some challenges, notably in achieving consistency in data capture, timing to implement projects, and consistency in implementation within the curriculum of government schools. The flexibility also afforded to schools to apply for a range of eligible items allowed for schools to address their varying needs. However, initial consultation with the states and territories about the type of eligible energy efficiency items would have further assisted in meeting the local design requirements and climatic conditions. The NSSP led to the development of a range of practical resources (factsheets/case studies). Some schools and stakeholders raised issues with the program guidelines and supporting material. However, 80% of schools who responded to the survey indicated program guidelines and supporting material were useful and easy to understand. The website was particularly mentioned as a valuable source of information. Similar programs should seek to make these resources available as early as possible, ideally from the onset of the program. All states and territories met milestones I III under the NPA. There were a range of factors that led to delays in finalising projects, primarily relating to delays in agreeing the NPA, installation issues for PV systems including ensuring a fully operational DCSVS 5 (refer further detail in 1.4 below). This also meant that many states and territories struggled to meet the planned due dates for milestone IV under the NPA 6. While some issues were raised with regard to the clarity in roles and responsibilities between DRET and the states and territories under the NPA, generally it was found that the roles and responsibilities were appropriate and clear. Improvements were made to various guidance material during the NSSP to improve the understanding of the roles and expectations of states/territories and schools. 5 The DCSVS is the technical term used by the NSSP to describe the data monitoring system, which displays green data (electricity generated from the solar PV system) and black data (electricity consumed by the school). 6 Only NSW and WA met the expected due date for milestone IV in 2011/12. Department of Resources Energy and Tourism grosvenor management consulting 12

13 1.4 Achievements against the NSSP objectives (impacts and outcomes) There have been significant achievements against the NSSP objectives. The evaluation has also identified some lessons learned that might inform future policy considerations and actions by the Australian Government and states and territories. These are summarised below. Achievements Lessons learned Generate electricity from renewable sources, improve energy efficiency and reduce energy consumption 4,897 PV systems funded (91% of NSSP schools and 94.5% of renewable energy systems funded) 279 other renewable energy systems funded 33,082 kw of PV capacity funded 44,354 MWh theoretical electricity generated per annum by PV systems 1,250 MWh electricity displaced by solar hot water and heat pumps PV meeting 2.4% of school needs PV electricity equivalent to meeting needs of 6,075 homes PV electricity estimated at 1.62% of total Australian PV generation Performance of PV systems largely in line with CER deemed estimates Costs of PV systems in line with industry benchmarks, with small premium appearing to reflect purchase of higher quality components Cost of abatement for PV systems well below equivalent solar programs 1,559 energy efficient projects Estimated 225,640 lights replaced Not all PV systems operating at expected performance 7 Many DCSVS systems are not reporting both green (PV electricity generated) and black (electricity consumed) data, which could impact educational and behavioural change outcomes. Action is progressively being taken to address DCSVS reporting issues 8.Changes were made to guidance material to incentivise completion including fully operational DCSVS Many non-government schools and some states and territories capitalised on significant reduction in PV system prices to install larger capacity systems than was approved in their NSSP application 7 25 systems were referred to state and territories for investigation. 8 The DCSVS sample data indicates that approximately 20% of schools do not have a fully operational DCSVS. Department of Resources Energy and Tourism grosvenor management consulting 13

14 Achievements with energy efficient lights, estimated at reducing electricity consumption by an estimated 10,541 MWh, accounting for 0.9% of school consumption for those schools While floor space of schools increased across NSSP, energy efficiency improved measured in reductions in median energy intensity Lessons learned Adapt to climate change by making use of rainwater collected from school roofs 5,310 rain water tanks funded 424,932 litres of capacity 2,640 ML of rain harvesting potential Evidence suggests that more than half of installations are using rain water collected for purposes other than small scale irrigation Some states and territories maximised water harvesting potential by maximising tank capacity and area of roof connected to tanks Greater use of water for purposes other than small-scale irrigation reduces water loss Greater focus could have been placed on water efficiency by including water saving measures such as dual flush toilets as an eligible item and providing educational resources on water saving initiatives Some states and territories took the opportunity to include water, in addition to energy, when implementing the DCSVS product in their schools (ACT, NSW). Including the requirement for the DCSVS to monitor water consumption, in addition to energy, may have contributed to reductions in water consumption Provide educational benefits for school students and their communities Program integrated into other state/territory and federal (e.g. Challenges in achieving consistent and widespread adoption of Department of Resources Energy and Tourism grosvenor management consulting 14

15 Achievements AuSSI) environmental education initiatives, enhancing educational benefits Many schools implementing renewable energy/energy efficiency into lessons plans, leveraging DCSVS and practical hands on learning. Many believed this was the most important benefit of the NSSP Many educational materials developed by states/territories, DRET and industry Instances where educational materials leveraged the resources, knowledge and experience of PV suppliers Significant amount of promotion occurred within communities around the launch of NSSP school projects Evidence that the NSSP led to change in behaviour amongst students and staff Lessons learned sustainability in lesson plans of schools 9 Need to ensure personnel responsible for NSSP at a state/territory level collaborate with those responsible for curriculum development Monitoring, collection and utilisation of DCSVS data was key in driving as well as measuring the effects of behavioural change and facilitating the educational activities Uptake at a school level is heavily dependent on: - maintaining momentum when delays in installation are being experienced - quality of educational materials provided and staff resources to embed in lesson plans - turnover in staff responsible for NSSP and knowledge transfer - competing priorities overtake NSSP - ensuring DCSVS is fully operational and utilised - technical understanding of teachers/staff responsible for NSSP, ensuring support and training is provided Support the growth of the renewable energy industry` >$255 million including NSSP funds and co-contributions Represented between 0.56% and 7.44% of installed Australian capacity between NSSP utilised between 3-14% of industry installers across Panel arrangements provided administrative benefits and consistency in installation standards to states and territories, however, they did contribute to the low proportion of industry installers participating in the Program 9 Sustainability is now incorporated as a cross-curriculum priority in the Australian Curriculum with, in particular, solar power forming part of the science and history education syllabus. The Sustainability Curriculum Framework was established in 2010 and is expected to improve consistency and adoption. Department of Resources Energy and Tourism grosvenor management consulting 15

16 Achievements Represented a much larger proportion of mid-range (>2kW) market Provided valuable experience in roof installations for mid-range market, including insights to resolving a range of technical issues First ever official on roof inspections led to development of inspection checklist which has now been adopted across the industry Two new products/services developed, including further development of data monitoring and visualisation products and services Lessons learned Overall, the Program has made identifiable, and in some cases, significant contributions towards the achievement of the NSSP objectives. Department of Resources Energy and Tourism grosvenor management consulting 16

17 1.5 Value for money The costs of PV systems funded were largely in line with industry benchmarks, but slightly above industry prices in the most recent years 10. Analysis suggests that NSSP projects used better quality systems than industry norms which should translate to better performance and reliability, and a longer life. The cost of abatement for funding PV systems in $ per tonne of carbon emission offset ($ / t CO 2 -e) was at the lower end of schemes and programs subsidising small scale solar and renewable energy 11. NSSP funded PV system, $196 Combined SRET and Feed In Tariffs, $177-$497 Small scale component Renewable Energy Target (SRET) $152-$ [A$/t CO2] The competitive grant process and criteria ensured funding was directed towards the projects delivering best value within each state/territory. Most states and territories put in place state wide contracts and preferred supplier arrangements using competitive processes. These arrangements typically included installation, warranty and maintenance standards to obtain consistency in quality outcomes. The lessons learned documented earlier and following had some impact on the achievement of value for money. These included the challenges in getting the DCSVS reporting black and green data and the opportunities to improve the embedding of sustainability/energy into lesson plans of schools. 10 It should be noted that the NSSP PV cost included the cost to install the DCSVS. 11 At the lower end or below the cost of small scale solar and renewable energy generation, for example, the Solar Homes and Communities Program and that delivered by the Small Scale component of the Renewable Energy Target (SRET) and state based feed in tariffs. Sources: Productivity Commission, Carbon Emission Policies in Key Economies: Research Report, May 2011; Carbon Emission Policies in Key Economies: Responses to Feedback on Certain Estimates for Australia: Supplementary Research Report, December Department of Resources Energy and Tourism grosvenor management consulting 17

18 1.6 Sustainability NSSP has funded a range of systems and items that will continue to deliver benefits well into the future. For example, PV systems can have a useful life of up to 30 years. These systems and items, and the supporting program material, will continue to deliver: reduced energy being imported from the grid reduced energy consumption reduced reliance on mains water infrastructure and materials for teaching students about climate change flow on impacts in behavioural change experience for the industry in mid-range PV system installations, and data monitoring and visualisation systems To ensure these ongoing benefits are maximised, a range of areas may require further action: continued effort to engender commitment from more schools to embed sustainability into lesson plans encouraging greater adoption and integration with AuSSI across NSSP schools continuation of efforts by DRET, states and territories to resolve outstanding issues on DCSVS not fully operational, including reporting black and green energy data maintenance strategies and plans will need to be finalised by some states to ensure the systems installed achieve expected useful life and performance To ensure the above is achieved, and with the closure of the Program, consideration will need to be given to the ongoing role of the Australian Government (if any). However, much of the residual responsibility for the above now rests with the states and territories. Department of Resources Energy and Tourism grosvenor management consulting 18

19 1.7 Implications for the future The achievements and lessons learned are summarised in Section 11. This includes any potential improvement opportunities to the service delivery model for future program development. Some pertinent points in addition to those covered in 1.4 above include: The installation of a visible asset, such as solar panels and water tanks, provided the impetus for awareness raising activities that extended beyond the students to staff and the wider community. This highlights that funding of physical infrastructure can have benefits beyond programs involving a focus purely on education and awareness raising. Monitoring, collection and utilisation of DCSVS data was key in driving as well as measuring the effects of behavioural change and facilitating the educational activities Quality and consistency of data collected is important to inform whether the Program s objectives have been achieved. This could have been improved, particularly collection of electricity consumption data pre and post implementation. Development and implementation of a Monitoring and Evaluation Framework at the start of the program would have further assisted with the establishment of a credible baseline data and in measuring the impacts attributable to the NSSP. Evaluation activities by individual state government agencies would have further supported the evaluation efforts on a national level. While NSSP expenditure and PV systems installed only represented a small proportion of the market, the typical size of NSSP PV installations (ie. larger than residential) provided new learnings and experience, as well as new products, which will help to further develop the mid-range PV sector. This indicates the value of government programs such as this targeting a less mature industry segment to stimulate growth. The NSSP provided an opportunity for federal and state/territory government collaboration and as such a forum for exchanging experiences and lessons learned in the area of climate change adaptation and renewable energy policy, including as it relates to school education. Department of Resources Energy and Tourism grosvenor management consulting 19

20 1.8 Recommendations The following recommendations have been made to ensure the sustainability of NSSP outcomes. 1. States and territories actively pursue and implement a maintenance plan/strategy to ensure the longevity of the installed systems/items and to maximise the return on the investment made 2. States and territories encourage and support regional and national networking of NSSP government schools, in collaboration with other sustainability partners, to enhance communication and assistance between schools to maximise program outcomes. 3. States and territories continue to lead efforts to embed energy and water efficiency into school curriculum 4. DRET continue to host the educational resources for schools on their website or alternatively make them available through alternative channels. For example, in Scootle. 5. DRET together with the states and territories continue to work to resolve the issues with the operation of DCSVS, ensuring green and black energy data is reported 6. Given smart meter products, such as the DCSVS, are now available and being utilised as a result of the NSSP, the option of including a module on data monitoring systems in the training of accredited installers by the Clean Energy Council should be explored by DRET. 7. DRET together with the states and territories consider the development and implementation of an ongoing monitoring, reporting and evaluation approach to ensure the outcomes achieved through the NSSP project are kept alive and continue to be progressed. Promoting the regular collection of data and information on the schools impacts and outcomes, including cross school, jurisdiction and sector benchmarking, should form part of these activities. The data collected should be consistent across Australia and provided to each school as feedback on performance. 8. To ensure the technical aspects of the NSSP project are understood, states and territories and non-government schools should consider professional development for teachers/school staff. Consideration needs to be given to the resources and approach required to appropriately manage the items installed. Department of Resources Energy and Tourism grosvenor management consulting 20

21 2 Introduction 2.1 Background The Commonwealth, represented by the Department of Climate Change and Energy Efficiency (DCCEE) at that time, engaged Grosvenor Management Consulting (Grosvenor) to undertake a review of the National Solar Schools Program (NSSP). Following the Machinery of Government change in March 2013, responsibilities for Energy Efficiency matters (including the NSSP) moved to Minister Gray, and staff associated with these functions merged with the current Department of Resources, Energy and Tourism (DRET). The use of DRET throughout this report includes reference to the former DCCEE. In December 2011, an independent interim evaluation of the NSSP was conducted with a focus on the evaluation of the Program against its stated objectives. The objectives of the NSSP are to: allow schools to: generate their own electricity from renewable sources improve their energy efficiency and reduce their energy consumption adapt to climate change by making use of rainwater collected from school roofs provide educational benefits for school students and their communities support the growth of the renewable energy industry. With the Program coming to a close in June 2013, the purpose of this final evaluation is to assess the effectiveness, efficiency and appropriateness of the NSSP in achieving its stated objectives and to analyse any lessons learned in order to inform future policy and program development. This includes evaluating the National Partnership Agreement on National Solar Schools Program (NPA) (delivery mechanism for government school projects), as well as analysing the non-government school component of the NSSP, managed directly by the Commonwealth. Department of Resources Energy and Tourism grosvenor management consulting 21

22 2.2 Scope and objectives The overall objective of the final evaluation is to assess the effectiveness, efficiency and appropriateness of the NSSP. The evaluation s objective will be met through an analysis of the Program s funding approach and implementation activities of the Commonwealth and the States & Territories. Particular emphasis will be given to examining the extent to which NSSP achieved its policy objectives, taking into account the results of the interim evaluation. Relevant parts of the NSSP review s Terms of Reference can be found at Attachment A of this report. This report brings together the quantitative and qualitative analyses that commenced in March 2013 and concluded with the delivery of this report in June The evaluation included an analysis of the outcomes of all NSSP funding rounds. For the final 2012/13 funding round, it was assumed that all items approved will be installed. Evaluation approaches and outcomes of the NSSP interim evaluation were utilised for the final evaluation of the Program, where appropriate. In addition, at the time of the interim evaluation, the Australian National Audit Office (ANAO) undertook an independent performance audit of the Program and its operations. This included an assessment of the effectiveness of the design and the administrative arrangements. As a result, findings, conclusions and recommendations of the final evaluation make reference to the NSSP interim evaluation report as well as the ANAO s Audit Report No Management of the National Solar Schools Program. The outcomes of the evaluation activities will be key determinants for the need or priority of continued Commonwealth and State Government activities and collaboration in this policy area. Interim report The NSSP interim evaluation, conducted between October 2011 and February 2012, provided a number of conclusions and recommendations about the Program and its ongoing effectiveness. DRET undertook various activities to address the recommendations within the report in order to maximise the benefits achieved through the Program. Details of the activities undertaken by DRET following the interim evaluation are outlined in Attachment B. Department of Resources Energy and Tourism grosvenor management consulting 22

23 ANAO performance audit The ANAO performance audit assessed the Program s establishment, implementation and administration against relevant policy and legislative requirements, and the progress towards achieving the NSSP objectives. Despite having identified a number of shortcomings in the design of the Program and the available data, the ANAO audit confirmed the Program s achievements in meeting its objectives. In addition, the audit concluded that the 2010/11 and 2011/12 funding rounds were well designed and effectively implemented. The ANAO made two recommendations: Recommendation 1 sought refinements to the content of future NSSP guidelines Recommendation 2 focused on clearly identifying, in program documentation and advice to decision-makers, the relationship between the application scores and the assessment of proposals with respect to efficient, effective and economical use of public money. DRET agreed with both recommendations and took according actions. 2.3 The National Solar Schools Program Overview of the program The NSSP is part of the Government s 2007 Solar Schools Solar Homes election commitment. It replaced the Green Vouchers for Schools Program and the schools component of the Photovoltaic Rebate Program. The NSSP commenced on 1 July 2008, and closed on 30 June 2013, two years earlier than initially planned. Savings generated were reinvested in new proposals to move Australia to a clean energy future, a Commonwealth initiative seeking to cut pollution and drive investment in clean energy sources (including solar and wind) 12. The funding round was the last opportunity for schools to apply for funding. 12 Refer to for further information. Department of Resources Energy and Tourism grosvenor management consulting 23

24 The NSSP offered eligible primary and secondary schools the opportunity to compete for grants of up to $50,000, to install solar and other renewable power systems, solar hot water systems, rainwater tanks and a range of energy efficiency measures. NSSP uptake According to the latest data provided by DRET over 8,300 schools (88% of all schools) registered to participate in the Program. Over the life of the Program more than 5,300 schools have been awarded a grant (56% of all schools) 13, totalling more than $217 million in funding. Table 20 in Attachment C provides a summary of approved projects by state and sector. In 2012, according to the ABS, there were 9,427 schools in Australia. This included approximately 6,693 government (71%), 1,716 catholic (18.2%) and 1,018 independent schools (10.8%). 14 Timings of NSSP activities Since its inception, the NSSP has been subject to a number of evaluation and audit activities and government reviews. The timeline below shows the key events and decisions throughout the life of the NSSP. 24 JAN 2012 Grants announced 20 AUG 2010 Applications close 15 JUL 2010 Applications open 15 DEC 2010 Grants announced OCT 2009 JUL 2010 Grants temporarily suspended due to Funding round 2010/11 program oversubscription 1 AUG 2011 Applications open 30 SEP 2011 Applications close Funding round 2011/12 13 FEB 2012 Applications 30 AUG 2012 open Grants announced 18 MAY 2012 Applications close Funding round 2012/13 30 JUN 2013 NSSP concludes YEAR I FY2008/09 YEAR II FY2009/10 YEAR III FY2010/11 YEAR IV FY2011/12 YEAR V FY2012/13 1 JUN 2008 NSSP commences MAR 2010 NSSP transitioned to DCCEE 15 JUL 2010 Program reopens as competitive based program AUG 2011 NPA commences FEB 2012 Interim evaluation complete MAY 2011 Program funding reduced and program to close two years earlier on 30/06/2013 JUN 2012 ANAO NSSP Audit report MAR 2013 NSSP transitioned to DRET JUN 2013 NSSP final evaluation report Figure 1: NSSP timeline The ABS values involve all schools including those that are not eligible for NSSP funding (e.g. other special school). Department of Resources Energy and Tourism grosvenor management consulting 24

25 Changes to the NSSP The NSSP commenced as a demand driven program where schools were able to submit a claim and were awarded funding if they met the eligibility requirements of the Program. The NSSP was over-subscribed in 2009/10 which led to the temporary suspension of the Program in October The Program re-opened as a competitive merit-based program on 15 July 2010 and the funding was capped for each financial year at a level aligned with the jurisdiction s share of funding to manage demand. Under the revised process, schools were required to apply in annual funding rounds and compete for funding based on three criteria including value for money, environmental benefits and educational benefits. To address potential duplication, schools that were approved to receive funding for solar power systems under any other Australian Government program since the NSSP commenced on 1 July 2008 were only able to apply for a grant of up to $15,000 for the installation of eligible items. 15 In addition, the Cabinet agreed to the establishment of a NPA with the states and territories to improve the delivery of the NSSP to eligible government schools. 16 As part of the Budget (10 May 2011), the Government announced that the NSSP would close on 30 June 2013, and has two remaining funding rounds. Savings generated ($156.4 million) were reinvested in new proposals to move Australia to a clean energy future. Approximately $50 million in funding remained available under the program. The following changes came into effect from 1 July 2011: applications from schools located in remote or low socio-economic areas received additional assessment weighting to allow funding to be directed to the most disadvantaged schools multi-campus schools previously eligible for $100,000 had their eligibility amount reduced to up to $50,000, consistent with single campus schools. This allowed a greater number of schools to be funded under the NSSP in the final two years for government schools - state and territory government education authorities could request that the maximum grant amount available 15 For example, schools that were approved to receive solar panels through the Building the Education Revolution (BER) program were eligible for up to $15,000 of grant funding. 16 The NPA is required under the Federal Financial Framework agreed by the Council of Australian Governments (COAG) in Department of Resources Energy and Tourism grosvenor management consulting 25

26 to government schools in their jurisdiction be reduced to allow more schools to receive funding. Schools that were approved for NSSP grant funding prior to the 2011/12 funding round were not affected by these changes to the program. The National Partnership Agreement As part of the Program s re-design in July 2010, the Commonwealth required that the NSSP funding to government schools be delivered under the Council of Australian Government s NPA arrangements. 17 Prior to 2010, some state departments had a cooperative funding agreement in place with the administering Commonwealth Department, including VIC, NSW, SA, WA and QLD. Government schools could also apply directly to the NSSP through lodgement of a claim form, in the same way as non-government schools. The NPA was formalised between the Commonwealth of Australia and the states and territories, and commenced with the first jurisdiction to sign the agreement on 5 August The NPA applied from the funding round. The agreement outlines information relating to the implementation of NSSP, including: the roles and responsibilities of the Commonwealth, and the states and territories performance milestones and associated payments reporting, financial and governance arrangements. The NPA is included at Attachment D. The Commonwealth continued to directly manage non-government school projects. Successful non-government schools received their funding once an agreement had been put in place between DRET and the individual schools. 17 The NPA is available at: 18 ACT was the first jurisdiction to sign the NPA in 5 August 2011 with the last, VIC, agreeing to the NPA four months later on 28 November Department of Resources Energy and Tourism grosvenor management consulting 26

27 Application and assessment The NSSP Guidelines (July 2011) 19 together with the National Solar Schools Administrative Arrangements 20 and Application Form Instructions provided information on the assessment process to assist schools in preparing a NSSP application. Applications were scored against the assessment criteria and ranked from highest to lowest. Funding was then approved based on the established rankings until the funding allocation for each state and sector was fully committed. In instances where the number of applications exceeded the funding available, those schools were ranked (highest to lowest) and included in a reserve list. For further information refer to Governance of the NSSP Until March 2010, the Department of the Environment, Water, Heritage and the Arts 21 was responsible for the management and governance of the NSSP. Subsequently in 2010, DCCEE together with respective education departments of the states and territories, managed the administration of the Program 22. DRET has the following role: assessment of non-government school applications management of all grants for non-government schools communication of opening and closing dates for each annual round and announcement of successful school applications provision of funding to the states and territories upon achievement of performance milestones 19 The National Solar Schools Program Guidelines July 2011 set out the policy parameters for the merit assessment process AdministrativeArrangements PDF.pdf 21 Now being referred to as the Department of Sustainability, Environment, Water, Population and Communities (SEWPaC). 22 Following the Machinery of Government change in March 2013, responsibilities for Energy Efficiency matters (including the NSSP) moved to Minister Gray, and staff associated with these functions merged with the current Department of Resources, Energy and Tourism (DRET). Department of Resources Energy and Tourism grosvenor management consulting 27

28 all aspects of program management (including developing and maintaining guidelines, development and maintenance of the NSSP grants management system, approving project variations and managing risk through implementation of a compliance plan). State/territory governments are responsible for the management and delivery of NSSP government school projects. This involved the assessment of government school applications for their jurisdiction and managing delivery of projects in accordance with the NPA. Department of Resources Energy and Tourism grosvenor management consulting 28

29 3 Approach and method To support the evaluation activities of the NSSP, Grosvenor developed an Evaluation Strategy to provide guidance and a summary for the proposed evaluation approach. As part of the development of the Evaluation Strategy, interview guidelines and a survey was designed and any relevant documentation, such as NSSP guidelines and reports were reviewed and assessed. The Evaluation Strategy included: scope and objective of the evaluation key evaluation questions success criteria and key indicators key information and data sources required to assess success outline of the evaluation methods proposed to answer the identified evaluation questions. A graphical representation of the evaluation design, including evaluation questions, is provided at Attachment E of this report. The evaluation was undertaken between February and May Evaluation resources Findings, conclusions and recommendations for the evaluation report are based on the information collected and analysed from a number of sources and stakeholders (see Attachment C for details). In addition, case studies produced by DRET with government and non-government schools across Australia, both in text and video format, were also considered and incorporated, where appropriate, in this report. 23 Stakeholder consultations Information from a variety of key stakeholders was gathered through semistructured interviews to maximise the gathering of the information. A comprehensive set of interview questions was carefully developed that addressed the evaluation questions and also probed for the information each interviewee can uniquely provide. 23 These case studies are available on the Department s website at Department of Resources Energy and Tourism grosvenor management consulting 29

30 School survey A total of 745 schools participated in the NSSP final evaluation survey. Only complete responses (591) were considered as part of this evaluation of which 66.8% were government, 21% catholic and 12.2% independent schools. Figure 2 provides a breakdown of the number of schools in each sector and state/territory that completed the survey ACT NSW NT QLD SA TAS VIC WA Government Catholic Independent Figure 2: Number of survey responses The survey was conducted online and encompassed a mix of 33 close-ended questions with listed choice, dichotomous and open-ended questions. The latter was mainly utilised to gather information about the sustainability of the Program and to provide respondents with the opportunity to further elaborate on the ratings which they provided. 3.2 Evaluation limitations Despite the overall confidence in the methodology and tools utilised, the evaluation must be viewed in the light of the following constraints. Availability and quality of data Reporting on consumption data to measure reductions in energy consumption as a result of energy efficiency measures was one area where there was considerable inconsistencies in the quality and completeness of information provided to the Grosvenor evaluation team. This information was not collected in sufficient detail as part of the application or acquittal process and thus the NSSP relied on obtaining this information from states and territories for government schools (representing approximately 70% of all NSSP schools). The quality of data provided by states and territories varied and as a result limited the conclusions that could be drawn. Department of Resources Energy and Tourism grosvenor management consulting 30

31 WA and NT consumption data was not obtained in time to be included in the energy consumption analysis. Grosvenor cannot verify the accuracy of the data provided; however, quantitative and qualitative information has been triangulated to ensure the establishment of robust and tenable conclusions and recommendations. Attributing outcomes to the NSSP States and territories have implemented various other programs related to the subject of energy efficiency/renewable energy, as well as initiatives such as the Australian Sustainable Schools Initiative (AuSSI), a school-based environmental education program. As a result, the range of outcomes observed in NSSP schools and across jurisdictions will be, in some areas, indicative of achievements of the NSSP more generally, rather than achievements that can be directly attributed to the work of the NSSP. This means that the evaluation explored the contribution of the NSSP, where possible, as other programs also were working towards similar goals. Evaluating long-term impacts Evaluating long-term impacts and outcomes achieved as a result of the NSSP is beyond the ability and scope of this evaluation because of methodological limitations and the timings of the evaluation activities. For example, the realising of sustainable behavioural changes by individual schools and their assessment as part of this evaluation has proven to be challenging. Conclusions were drawn based on the activities and the effects NSSP has made throughout the lifetime of the Program. Department of Resources Energy and Tourism grosvenor management consulting 31

32 4 Structure of the evaluation report The final evaluation report consists of three main parts, aligned with the evaluation design. Each part contains a number of sections in accordance with the evaluation questions. Sections will draw upon the findings, conclusions and recommendations of the evaluation, incorporating the data analysis, information from stakeholder interviews, case studies and the results of the survey. The parts and relevant sections of the report are as follows: Part/section Part A Input & design Section 5 Funding approach Description Appropriateness of the funding mechanism Part B Process & implementation Section 6 NSSP implementation Section 7 Performance against milestones Part C Impacts & outcomes Section 8 Achievement of NSSP objectives Section 9 - Value for money Section 10 Sustainability Effectiveness of the NSSP implementation including realisation of roles and responsibilities under the NPA Achievement of performance milestones I-IV under the NPA Achievement of each NSSP objective: Energy efficiency & renewable energy - Objective 1 allow schools to generate their own electricity from renewable sources - Objective 2 allow schools to improve their energy efficiency and reduce their energy consumption Rainwater - Objective 3 - allow schools to adapt to climate change by making use of rainwater collected from school roofs Educational benefits There is some overlap between sections. - Objective 4 allow schools to provide educational benefits for school students and their communities Supporting industry growth - Objective 5 to support the growth of the renewable energy industry. Achievement of value for money Longevity of NSSP objectives and potential outcomes post-nssp Department of Resources Energy and Tourism grosvenor management consulting 32

33 PART A Input & Design This part of the report focuses on the findings in relation to the appropriateness of the funding mechanism for achieving the NSSP objectives. In particular, the evaluation examined the appropriateness of: annual funding rounds for each state and territory, introduced in July 2010 the maximum amount of funding for each school payments aligned with performance milestones in the NPA. Processes related to the assessment of applications were not assessed in detail in this report; however were reviewed as part of the ANAO audit. 5 Funding Approach Annual funding rounds Annual funding rounds were suitable and consistent with the approach of other grant programs From the funding round, at the commencement of each annual funding round, each year s total funding budget was allocated between the government and non-government sectors based on the proportion of eligible schools in each sector. Funding for government schools and non-government schools in each state and territory was then allocated on a similar proportion basis, taking into account any NSSP grants already awarded to schools in each state and territory. This allowed each state/territory (government and non-government sector) to receive its proportional share of funding over the life of the NSSP. An annual competitive funding round model was established for government and non-government schools in each state and territory. Schools competed for grants only within their state and sector. For example, New South Wales government schools only competed against other New South Wales government schools. This approach allowed funding to be proportionally distributed to schools across the country, ensuring that all states and territories (and sectors) benefited from the Program. Department of Resources Energy and Tourism grosvenor management consulting 33

34 Budget cuts to the Program reduced the funds available for the 2011/12 and 2012/13 funding rounds by $49.8 million. 24 This resulted in significantly fewer projects being able to be approved in the subsequent funding rounds. For example in the 2011/12 funding round, nearly 2,000 schools submitted applications totalling $64 million for the $25 million in funding that was available. Of those schools that applied for the NSSP grant, 787 were successful. This represented a 36% drop in the 2011/12 funding round compared to the previous year. Feedback from stakeholders suggested that annual funding rounds were suitable and consistent with the approach of other grant programs. However, some interviews believed that the decision-timeframes for approving applications caused various challenges. For example, by the time applications were approved and the project was able to commence, quotations in many cases were expired and/or the product (e.g. panels) was no longer available. States and schools had the flexibility to seek new quotes to account for this delay. The variation process required that any new quote that was submitted, delivered at least the outcome that was approved and therefore, the competitiveness of the application was not reduced. The most significant delay occurred in the 2010/11 funding round due to delays in agreeing the NPA, further detailed in Section 7.2 of this report. DRET believed that the period in which applications were assessed, approximately six weeks, was appropriate, as it provided assurance that applications were correctly assessed and the most meritorious applications in each state and sector were awarded funding. However, it is acknowledged that the announcement of successful schools was noticeably deferred, following the completion of the assessment process. For example, successful schools for the 2011/12 funding round were announced by the responsible Minister on 24 January 2012, almost four months after the application closing date. Similarly, the outcomes of the 2012/13 funding round were announced three months after the application closing date, on 30 August Four jurisdictions were affected by spring holidays in the 2011/12 funding round. 25 While this abbreviated the period in which schools could apply, it allowed approximately six weeks for the submission of applications. 24 $25mil for the 2011/12 funding round and $24.8mil for the 2012/13 funding round 25 Holidays TAS: 3 Sep 18 Sep 2011; QLD: 19 Sep 30 Sep 2011; NSW: 24 Sep 9 Oct Department of Resources Energy and Tourism grosvenor management consulting 34

35 State and territory education departments were responsible for all aspects of the project implementation for government schools with Commonwealth funding only provided for the on-grounds works. For that reason, most state/territory interviewees suggested that a NSSP administrative budget would have been of benefit to assist with the management and implementation of the Program. Education authorities struggled to provide sufficient support, as they were impacted by competing priorities from other programs and most notably cuts to their own agency s budget. Dedicated personnel were identified as a key success factor in enabling the achievement of the Program s outcomes, in particular in achieving the educational benefits. The majority of states/territories were able to provide as a minimum a parttime employee (three days a week) dedicated to the management and implementation of the NSSP with some additional assistance from other staff members of the department. However, stakeholders stated that greater financial assistance would have helped with the administration, promotion and reporting for the Program, as well as supplying educational support to ensure NSSP objectives are being achieved. Funding amount The maximum grant amount was considered appropriate The NSSP offered grants up to $50,000 for single campus schools and, prior to the 2011/12 funding round, up to $100,000 for eligible multi-campus schools to install solar power systems, rainwater tanks and range of renewable energy efficiency measures. Schools that planned to install less than 2kW or no solar power system were eligible to apply for up to $30,000 for the installation of eligible items. In addition, those schools that received Green Vouchers for Schools funding had this amount deducted from their NSSP grant. From the funding round onwards, schools that were approved to receive funding for solar power systems under the BER were eligible for up to $15,000 in NSSP funding. Department of Resources Energy and Tourism grosvenor management consulting 35

36 ACT, QLD, NSW and SA requested that the maximum grant amount for their government schools be reduced, following the reduction in budget announced in May ACT and QLD government schools were eligible to apply for maximum funding of $25,000. Similarly, NSW government schools are eligible to apply for up to $33,000; and SA government schools, $30,000. All stakeholders interviewed believed that the maximum grant funding amount was appropriate for schools to secure solar power systems (and/or other items) of sufficient size to have a positive impact on the school s environmental footprint and to educate students and the wider community about renewable energy and energy efficiency. As detailed in Section 8.1, the cost per kw for a solar power system decreased significantly over the duration of the Program. Those schools participating in later funding rounds were therefore able to purchase larger solar PV systems. The maximum amount of grant funding was not influenced by school size, therefore smaller schools experienced greater visible benefits in reducing their energy bills, in comparison to larger schools, who whilst achieving an offset in their electricity usage, generally did not notice a significant difference in their electricity bills. A third of all NSSP schools (government and non-government) received additional government and/or private funding over and above the maximum NSSP grant amount. The decision by some states to combine state funding with the NSSP funding increased benefits obtained by the school. Over the life of the NSSP, QLD, WA, ACT and VIC had programs in place that supplemented NSSP funds. Details of these programs can be found in Table 1 in Section 6 of this report. Payments aligned with performance milestones Under the NPA, states and territories obtained 50% of the annual funding amount up front upon the provision of a list of approved government school projects for the funding round, and the remaining 50% of funding, once all approved projects in the state and territory were completed. Once the milestone was achieved, payments were scheduled with the Treasury, who made payments to the states and territories on the 7 th day of each month. Department of Resources Energy and Tourism grosvenor management consulting 36

37 The 50/50 payment model attached to the performance milestones represented the most contentious element of the funding approach. State and territory education representatives reported that the approach was not practical, causing additional financial and administrative burden to the state and territory government agencies. While many stakeholders felt that the approach should have been identical to the non-government payment model, detailed below, the milestone payments were consistent with the agreed NPA framework. During NPA negotiations, administrative reporting for states and territories was reduced and the value for the first payment increased. In addition, it is the Commonwealth s view that states/territories were in an appropriate position to effectively manage the cash flow and meet the costs associated with the implementation of NSSP projects. In contrast, non-government school grants were directly administered by the Commonwealth. One-off grant payments were made by DRET to respective non-government schools, once a funding agreement was signed. The funding agreement required non-government schools to complete the project within a specified time period and included reporting requirements during and upon completion of NSSP projects. A range of controls allowed the Commonwealth to recover any funds if necessary in the event the funding agreement with the school was breached. However, it should be noted that his approach was not aligned with the principles of the ANAO s Better Practice Guide Administration of Grant (May 2002). 26 The guide outlines that it is good practice to retain a portion of the grant funds until the recipient has completed and fully acquitted the project as this provides an incentive for funding recipients to comply will all obligations set down in the funding agreement. It can be argued that a model for non-government schools closer aligned to the ANAO s Better Practice Guide would have been more appropriate for the management of the NSSP Department of Resources Energy and Tourism grosvenor management consulting 37

38 5.1 Conclusions - funding approach As expected the budget reduction in May 2011 resulted in not all schools being able to benefit from the NSSP. However, the move from a demanddriven grant program to a competitive, merit-based selection arrangement was a positive and effective development. The design of the program could have considered a merit based model from the outset to account for the possibility that demand exceeded funds available in a given financial year. The annual allocation of funds allowed each state and territory (and sector) to receive a proportional share of funding over the life of the Program. While prolonged timeframes for announcing successful applications caused a variety of challenges, the guidelines provided the flexibility for new quotes to be sourced. The maximum NSSP grant amount per school was sufficient in that schools were able to install PV systems and other energy efficiency items that resulted in a reduction of the schools environmental footprint. Where NSSP funding was supplemented by state/territory or school contributions, greater benefits were achieved. Smaller schools noticed a more visible impact on their electricity bills, whilst larger schools with significant energy consumption did not notice a material change. While the states and territories raised concerns about the lack of funding of administration, it is not unreasonable to expect that some contribution should be made by the states and territories, particularly given the potential for a reduction in energy and water costs and the benefits obtained for government schools. Department of Resources Energy and Tourism grosvenor management consulting 38

39 PART B Process & Implementation Part B outlines the findings in relation to the effectiveness of the NSSP implementation in respect to the Program s stated objectives, considering: delivery of the NSSP by DRET, and the states and territories key challenges (barriers and/or delays) and successes realisation of roles and responsibilities by DRET and the states and territories achievement of NPA performance milestones I-IV. 6 NSSP implementation Different approaches to the NSSP delivery between states and territories The achievement of the NSSP objectives rested on the effective implementation by the Commonwealth, state and territory government agencies and schools. The Australian Government department with the policy responsibility, DRET (former DCCEE) played a central role to ensure the overall implementation was meeting the objectives of the Commonwealth. States and territories were responsible for the delivery of NSSP projects to government schools and had flexibility in their delivery approach, within the parameters of the NPA. States and territories applied different approaches to the delivery of the NSSP. This was in part due to prior and existing or parallel programs at a state level. These are further outlined in Attachment F. Table 1 summarises the different approaches to implement the NSSP in each state and territory. Table 1: Implementation approach by states and territories ACT ACT schools commenced lodging applications for NSSP in 2010/11 ACT chose to reduce the maximum grant amount for the remaining two rounds from $50,000 to $25,000 to enable more schools to receive funding NSSP funding was combined with funding from the ACT Solar Schools Program to install up to a 30kW PV system in each ACT school and secured a premium rate of a Feed in Tariff income that schools capture and invest into further ESD initiatives Department of Resources Energy and Tourism grosvenor management consulting 39

40 NSW QLD VIC ACT also included water and gas in their DCSVS ACT Education and Training provided support to schools in completing their NSSP application ACT established relationships with local universities to analyse the solar output ACT undertakes a sample of inspections of solar PV installations to confirm compliance with standards ACT delivers the projects on behalf of the schools, with all schools using the same data monitoring system to view energy generated from their solar PV system and energy consumed, allowing for comparison with other schools. This system also displays data on the schools water and gas usage. NSW entered into a co-operative funding agreement with the Commonwealth for 260 schools in 2009 For the final two rounds, NSW chose to reduce the maximum grant amount from $50,000 to $33,000 to enable more schools to receive funding NSW provided curriculum support including learning materials for NSSP schools and operated a panel arrangement of suppliers NSW schools were encouraged to use suppliers from the NSW panel NSW delivered NSSP projects on behalf of the schools The majority of NSW schools that installed a solar power system used the same data monitoring product to monitor the energy generated from the system and energy consumed by the school, allowing for comparison with other schools. This system also allows schools to view their water and gas usage. QLD implemented the NSSP in parallel with the state s $60 million Solar and Energy Efficiency Program which commenced in July 2008 and was completed in June Over the three years of the program, 2Kw solar systems, smart meters, and energy efficient lighting have been installed in over 1,200 Queensland state schools and Education Centres. Prior to 2010/11, quotes were managed through a supplier panel arrangement and all NSSP projects were delivered by the Department of Education, Training and Employment via a co-operative funding agreement with the Commonwealth. QLD established a panel arrangement for the 2010/11 and subsequent rounds; however, schools were responsible for sourcing quotes (from panel or alternative contractor) and for delivery of their projects. All QLD schools that installed solar PV installed the same data monitoring system to view energy generated from the system and consumed by the school. This also allows comparison with other schools. In VIC, 53 schools piloted the NSSP via a co-operative funding agreement with the Commonwealth with VIC managing NSSP projects on the Department of Resources Energy and Tourism grosvenor management consulting 40

41 government schools behalf. During this period, the majority of VIC government schools were funded directly by the NSSP through the claim process (2008/09 to 2009/10). Prior to 2010, schools that received NSSP funding, received an additional $5,000-15,000 from the Victorian Solar in Schools Program to be spent on on solar PV. The Victorian Solar in Schools Program included $5milliion over four years to support 500 schools and community building to install gridconnected PV systems, interactive energy monitoring systems and to develop educational materials on renewable energy and energy demand. Following the implementation of the NPA, all VIC government schools were responsible for managing their own project, with support from VIC Schools approved for a NSSP grant in 2010/11 were also eligible for a $5,000 grant for the development of educational material under the Victorian Solar in Schools Program. SA TAS SA entered into a co-operative funding agreement with the Commonwealth for 89 schools where SA managed the projects on the schools behalf Following the implementation the NPA, all SA government schools were able to manage their own project. Schools were encouraged to use the department s facility management contract to manage the project on their behalf; preferred contractors were engaged through a tender process conducted by facility management organisations In earlier funding rounds of the NSSP, TAS conducted a tender process for a sole provider to design, supply, install and maintain energy and rain water storage solutions under the NSSP. Tenderers were also required to propose and provide educational activities and materials, and, upon request, assist in the development of educational plans for renewable energy, energy efficiency and climate change. Following the implementation of the NPA, all TAS government schools were responsible for managing their own project with support from TAS Department of Education. WA NT WA entered into a co-operative funding agreement with the Commonwealth for 128 schools where WA managed the projects on the schools behalf WA Solar Schools Program supported the installation of solar power systems, contributing up to $12,500 (ex GST) for metropolitan schools and up to $13,000 (ex GST) for regional schools. The program ran until June WA government schools were encouraged to utilise suppliers from the established panel. WA delivered NSSP projects on behalf of government schools A sample of NSSP funded solar PV systems were inspected in cooperation with the School of Engineering and Energy at Murdoch University. Department of Resources Energy and Tourism grosvenor management consulting 41

42 NSSP projects of government schools were centrally managed by the NT Department of Education and Training NT established a preferred contractor panel State panels were established through a tender process, where potential installers and services providers were required to demonstrate their ability to effectively provide the services to government schools. In addition, minimum standards in the installation and quality of PV systems had to be met by panel applicants. Some surveyed government schools located in the jurisdictions with centrally established panels or suppliers stated that they would have liked to engage a local supplier. It was believed that some of the subsequent delays and issues experienced by schools with suppliers sourced from the panel could have been avoided. In addition, some survey respondents felt strongly about the missed opportunity to support local businesses. Nevertheless, the flexibility in the implementation provided by the Commonwealth enabled states and territories to adapt their approach to their specific policy environment and school governance system. Panel arrangements did allow states and territories to manage the quality of installations and future maintenance. Promotion and assistance provided in implementing NSSP projects Feedback varied in regards to the appropriateness of the support provided by the Commonwealth to non-government schools and by education authorities to their respective government schools. When asked to rate the assistance given in implementing the NSSP project, the majority of schools rated the support provided as good. Very helpful in organising approvals and guiding me through the application process (government school) The NSSP team were able to help in completing paper work and in discussing problems in interpreting information requirements (nongovernment school) Main reasons for providing fair or poor ratings were lack of communication and guidance provided before and/or after the system s installation as well as difficulties in understanding the formal acquittal process. Some of the terminology and requirements for sign off is difficult to understand for someone who is curriculum based. More support, easier and more user friendly guidelines Department of Resources Energy and Tourism grosvenor management consulting 42

43 However, some participating schools recognised that the support provided during application rounds was limited due to the high demand for assistance by schools. Over 80% of survey respondents believed that the Program guidelines and supporting material were useful and easy to understand. Those schools that encountered difficulties stated that guidelines were too complex and technical; indicating that additional support, for example, in form of professional development sessions or workshops would have been helpful. ACT AuSSI regularly undertook a professional development course for school staff in order to overcome this issue and familiarise school staff with the technical aspects of their energy efficiency/sustainability project 27. The workshop covered subjects such as: how to reduce energy consumption in schools overview of the capital works programs in ACT schools and impact of the Carbon Price on schools how to use a lux meter and infrared thermometer renewable energy teaching resources solar power systems for teaching and learning. In the past, the workshop also included an update on the NSSP from the National Coordinator and provided the opportunity for principals and teachers to ask questions. This initiative has been well received by ACT stakeholders. It is acknowledged that similar approaches in larger states with remote areas would have been more challenging to put into practice. 28 Implementation challenges and delays The implementation of NSSP projects were affected by a range of factors. These included changes in the initial timeframes arising from delays in finalising and signing the NPA, as well as practical delays on the ground. Challenges and delays led to frustrations by schools across the regions and sectors. 27 Energy efficiency in schools getting the most out of your solar power system conducted on 23 October The course will continue to be run by ACT AuSSI after the closure of the NSSP in collaboration with the local energy provider and other renewable energy experts. Department of Resources Energy and Tourism grosvenor management consulting 43

44 We were informed (about winning) the grant at the end of 2011 [...] but everything only got finished and started operating late April 2013 However, completion periods of over one year were the exception amongst government and non-government schools. Figure 3 below outlines that the majority of non-government schools completed their NSSP project for the 2010/11 and 2011/12 funding round within 12 months. 45% 40% 35% 30% 25% % 15% 75 10% 5% 0% On time (within 6 months) months 12 months 21 months 24 months More than 36 months Figure 3: Project completion time for non-government schools The SA Department of Education and Child Development faced challenges due to schools having autonomy for the management of their project and in many instances were unable to assist with the installation problems, as services providers needed to directly liaise with the school. Similarly, VIC faced challenges with the timely completion of projects due to the decentralised system with schools having autonomy for their own project as well as delays with electricity distributors connecting solar PV systems to the grid. Section 8 Performance against milestones explains further the various challenges and reasons for delays in relation to the implementation of NSSP projects. According to the survey and stakeholder consultations, despite the challenges and delays experienced with implementation at a government and school level (government and non-government sector), the Program was overall positively perceived. Identified outcomes and benefits are further provided in Part C: Impact and Outcomes of this report. Department of Resources Energy and Tourism grosvenor management consulting 44

45 6.1 Roles and responsibilities of the NPA NPA roles and responsibilities were fulfilled by all parties to the agreement The delivery of the NSSP was underpinned by governance structures and clear lines of accountability. The NPA detailed the individual and joint roles and responsibilities of the Commonwealth and state/territory government agencies in the administration of the Program (see Attachment D of this report). According to DRET, all states and territories fulfilled their roles and responsibilities under the NPA. The evaluation sought feedback from each jurisdiction regarding the appropriateness of the prescribed roles and responsibilities. The majority of states and territories believed that the reporting requirements of the NPA were straight forward and reasonable. However, state education departments reported a lack of clarity about the provision of particularly ad hoc data requirements, suggesting that the reporting of data should have been clearly defined in the NPA to manage expectations and avoid delays in responding to data requests. DRET noted that the states and territories were asked to provide data on energy consumption and energy generation, where available, as part of the agreed Terms of Reference for the final evaluation. Furthermore under the agreed compliance plan, state/territory education agencies had to submit a list of completed NSSP projects from which a sample was chosen for inspecting the compliance with Australian standards. States and territories were also required to report on the installation status of data monitoring systems, a mandatory requirement with the installation of a solar PV system. According to DRET, the reporting was necessary to confirm the completion of NSSP projects. As part of the NPA, states and territories were required to use the NSSP Web Application to assess applications and submit the list of approved schools, manage variations and submit the end of round report. All stakeholders stated that the NSSP Web Application was practical and user-friendly, highlighting improvements to the assessment process from earlier funding rounds under the CFA/Claims model. However, some felt that the application process was often an onerous task for schools, indicating that all applications should have been completed by the state/territory. This was considered inappropriate by the Commonwealth on the basis that the program is competitive based with all schools being eligible to apply. Department of Resources Energy and Tourism grosvenor management consulting 45

46 The provision of personnel and other resources to enable the administration of the Program varied between jurisdictions. Evidence suggested that generally less support was provided in the last funding round with the winding down of the Program and due to state/territory budget cuts. Qualitative feedback indicated that the specific roles and responsibilities of the Commonwealth were also satisfied, demonstrating the Australian Government s commitment to the NPA. 6.2 Conclusions NSSP implementation Overall, it can be concluded that the NSSP was well implemented. As indicated at 5.1, the over-subscription of the Program in the initial rounds could have been envisaged and the Program may have benefited from a merit based model to be in place from the outset in the event demand exceeded available budget in a financial year. However, the subsequent redesign of the Program and implementation of the NPA provided an effective and more structured approach. Use of the NSSP Web Application for schools to apply and for DRET and states and territories to administer the program proved effective. The NPA provided a certain amount of flexibility to the states and territories in their implementation approach, which was appropriate as each state/territory operated in different contexts and had pre-existing and/or parallel programs at a state level. However, this mixture of a prescribed as well as a flexible approach entailed some challenges for the Commonwealth and the state and territory government agencies. These were, for example, reflected in the lack of consistent evaluation data available. Greater prescription on consumption data to be retained over the duration of the program would have improved the consistency and ability to draw comparisons on energy efficiencies achieved across the states and territories. Survey responses highlighted that schools without the support from DRET and state government agencies would have been less likely to successfully and adequately implement their NSSP project. As a result, adequate support from the states/territories (to government schools) and the Commonwealth (to non-government schools) was of fundamental importance throughout all stages of the NSSP installation. Department of Resources Energy and Tourism grosvenor management consulting 46

47 7 Performance against milestones As part of the evaluation, Grosvenor assessed the performance of each state and territory against the project milestones as set out in the NPA. This section presents a summary of this assessment, along with some background information on the approach of each state and territory in managing the completion of projects as well as any challenges and delays that were experienced in finalising NSSP projects. 7.1 Performance milestones Pursuant to clause 17(h) of the NPA, states and territories agreed to meet four performance milestones. The completion of these milestones was linked to the payments made to each jurisdiction by the Commonwealth Treasury. 29 Performance milestone I-III required states and territories to provide a list of approved government school projects (within allocated budget) for the funding round to the Commonwealth, derived through applying the competitive merit assessment process. In return, states and territories obtained 50% of the annual funding up front to assist with the initial costs of progressing the NSSP projects. As part of the final milestone (IV), states and territories received the remaining 50% of funding once the Commonwealth accepted the end-of-funding round report, detailing the completion of 100% of approved projects. Approach to managing completion of projects States and territories were provided with the flexibility to determine their own arrangements to deliver government school projects including whether they considered it appropriate to enter into an agreement with schools, payment arrangements and acquittal processes to confirm that funds had been spent on approved items and to confirm project completion. The majority of states and territories aligned their acquittal process to that of the Commonwealth. QLD, NT, WA and VIC utilised the NSSP installation report, developed by DRET for the acquittal of non-government schools. WA, for example, also required schools to provide a Certificate of Practical Completion together with the provision of electrical drawings and photos of the installation. QLD government schools had to fill in and submit the Solar Buyer s Checklist, developed by the Clean Energy Council. 29 Refer to Attachment D for an overview of the performance milestones and associated payments. Department of Resources Energy and Tourism grosvenor management consulting 47

48 Jurisdictions that delivered the projects on the schools behalf followed their own acquittal process to ascertain the completion of school projects. The delivery approach (centralised delivery by the state or decentralised with delivery by the school) and external factors outside the control of states/territories and schools such as connection to the grid, all contributed to difficulties in meeting the expected due date for completion of all funding round projects. This is further outlined below. 7.2 Performance against each milestone States and territories had most difficulties in meeting milestone IV completing 100 % of projects in each annual funding round Performance against each milestone of the NPA varied between states and territories. Milestone I Milestone Funding round Due date Payment amount Approval of projects 2010/11 Agreement to the NPA, expected mid % of annual funding The process for drafting the NPA with representatives from states and territories, PM&C, Treasury and DCCEE commenced in August/September 2010 after the Program reopened on 15 July However, finalisation of the NPA was delayed due to potential changes to the Program which were announced in the May 2011 Budget. A revised draft NPA was issued for negotiations in late May ACT was the first jurisdiction to sign the NPA on 5 August 2011, with the last being VIC who agreed to the NPA four months later on 28 November Payments for Milestone I differed for each state and territory as it was dependant on the timing when the NPA was signed. The delays in reaching an agreement to the NPA significantly impacted the timings of the start and finish of projects, approved in the round, which subsequently caused delays with delivery of later round projects. Department of Resources Energy and Tourism grosvenor management consulting 48

49 Milestone II & III Milestone Funding round Due date Payment amount II - Provision of a list of approved projects for the Commonwealth III - Provision of a list of approved projects for the Commonwealth 2011/12 16 Nov % of annual funding 2012/13 2 Jul 2012 According to DRET, all states and territories received their payments for milestone II and III at the same time as it was based on the timeframes specified during the relevant assessment periods, outlined in the NPA. States and territories had approximately six weeks to complete milestone II with applications closing on 30 September States were required to use the NSSP Web Application to apply the merit assessment process to each application received from government schools in their state/territory in order to determine the most meritorious projects to receive funding within their allocated budget. This list of approved schools was then submitted to the Commonwealth for announcement. Similarly, states and territories had approximately six weeks to complete milestone III with applications closing on 18 May Milestone II and III were met by all states and territories by the due date. No problems or concerns were raised by stakeholders regarding the states and territories ability to meet Milestones II and III. Milestone IV Milestone Funding round Expected by Payment amount Acceptance by the Commonwealth of an endof-round report 2010/11 15 Jun % of annual funding 2011/12 15 Sep /13 15 Jun 2013 States and territories had difficulties with meeting the deadlines for milestone IV of the NPA. No state or territory met the 2010/11 expected due date for 10/11 projects due to delays in agreeing the NPA. Further, the delay in completing 10/11 projects had a cascading effect contributing to delays in completing subsequent round projects. Department of Resources Energy and Tourism grosvenor management consulting 49

50 No state and territory also met the 2011/12 expected due date for 11/12 projects Three of the eight states and territories were still working on the acquittal of 2010/11 projects past the planned expected due date for the second funding round (2011/12), noting that 100% of projects must be complete to achieve the milestone. At the time of writing the report, government projects for the final funding round were not yet due for completion. However during the stakeholder consultations, at least half of the state/territory government agencies anticipated that they would be unable to meet the expected due date (15 June 2013) and considered that September 2013 was a more realistic timeframe. The following sub-section expands on the specific challenges and reasons for delays experienced by states and territories in completing all funding round projects. 7.3 Delays and challenges in completing projects The extent of challenges and reasons for delays differed amongst states and territories. For example, variations required as a result of the effects of natural disasters in QLD, contributed to the delay of the state in meeting the original timeframes (milestone) for the 2010/11 funding round. Interviewees stated that resource constraints at a state/territory level were also a contributing factor in meeting the completion timeframes of NSSP projects. The prolonged completion of NSSP projects was also attributable to internal challenges and performance of individual schools. In VIC, schools submitted incomplete Solar Power Installation Reports, requiring follow up by the Department of Education and Early Childhood Development and inhibiting the completion process. Follow up was often required with schools and installers to ensure the data monitoring system (DCSVS) was operational. This appeared to be a common source for delays, particularly in instances where the installer was not fully aware of the data monitoring requirements or the school s IT person was not available to resolve technical issues. In addition, changes to the Installation Report template created some delays as often an old version of the report would be returned to the states and territories, which then required follow up to obtain additional information. Department of Resources Energy and Tourism grosvenor management consulting 50

51 Challenges and issues associated with installation and functionality of DCSVS were identified and outlined in the interim evaluation report. DRET subsequently undertook a range of activities to address these issues, summarised at Attachment B. The different delivery approaches also seemed to have impacted on the timing to complete projects. As mentioned in the previous section, approaches were either centralised (managed by the state/territory) or decentralised, where schools were responsible for implementation of their NSSP project. In the case of VIC, the decentralised approach hindered the State in completing the projects within the expected timeframes. On a school level, survey participants stated unforseen difficulties with the installation of PV systems contributed to the significant delays in completing NSSP projects. For example, government schools in NT and WA stated that it took two years or longer to complete the project due to issues with service providers. In the case of one government school in VIC, poor performance and lack of commitment by the PV installer led to continuing problems with the system and thus, affected the ability of the school to benefits from its NSSP project. Other contributing factors for the delays in completing NSSP projects included: service providers going out of business during the project period insufficient/unclear communication of expectations to government schools regarding their obligations on when projects needed to be completed lack of technical understanding and/or ownership by schools to monitor appropriate functioning of installed systems issues surrounding the connection to the grid (e.g. response from network providers) rain/bad weather conditions school holidays. Department of Resources Energy and Tourism grosvenor management consulting 51

52 7.4 Conclusions performance against milestones While the performance against each milestone of the NPA varied between jurisdictions, all states and territories met the agreed performance milestones I-III. Completing 100% of projects in each funding round was the most difficult milestone (milestone IV) for each state and territory. The flexibility provided for in the implementation of NSSP and delays in finalisation of the NPA, impacted on overall Program timelines. However, the primary causes for delays to the finalisation of milestone IV were a range of issues in being able to classify a PV installation as complete, including having an operational DCSVS. Many of these issues reflect issues with suppliers and installers, however, some of these could have been managed more tightly by all parties. Overall, only a small proportion of installations were being materially delayed with most installations complete within one year. While concerns were raised about the impact the delay in finalising all installations had on the payment of funding to states and territories, the funding model is in line with the NPA framework. The evaluation highlighted a variety of contributing factors for the delays in completing NSSP projects. In some cases the lack of a centralised implementation approach for the state/territory seemed to have impeded the completion of all relevant NSSP projects within the prescribed timeframe and thus, meeting milestone IV. While other contributing factors were beyond the control of schools and/or the government, close collaboration and support from state government agencies and/or DRET were critical in resolving the issues related to the completion of NSSP projects. Department of Resources Energy and Tourism grosvenor management consulting 52

53 PART C Impacts & Outcomes 8 Achievement of NSSP objectives 8.1 Energy efficiency & renewable energy This section of the report outlines the findings in accordance with objective 1 and 2 of the NSSP, which are to allow schools to: generate their own electricity from renewable sources improve their energy efficiency and reduce their energy consumption. Renewable energy systems installed and funded Overwhelming majority of systems installed were PV Table 2 below sets out the type of energy generation systems installed. Table 2: Energy generation systems installed 30 State NSSP funded schools PV installed Other renewable energy system installed ACT NSW 1,494 1, NT QLD 1,331 1, SA TAS VIC 1,128 1, WA Total 5,310 4, The overwhelming majority of systems installed were PV systems, accounting for 94.5% of renewable energy systems installed with 91% of all NSSP funded schools installing PV systems. Figure 4 below outlines the relative uptake of PV and other renewable energy systems by state and sector. As can be seen, Tasmania was the only state to have any significant uptake of other renewable energy technologies. 30 A number of QLD schools received NSSP funding twice. This was possible under the arrangements agreed with QLD. The total number of NSSP projects was 5,444. Department of Resources Energy and Tourism grosvenor management consulting 53

54 It also shows that NSW 31 and South Australian Government schools had a lower uptake of PV systems than for all other states and sectors. Figure 4: Systems installed by state and sector 31 There were a large number of government schools that installed PV systems under the BER. Department of Resources Energy and Tourism grosvenor management consulting 54

55 The map below shows the location and relative size of PV systems installed across Australia by postcode. Figure 5: Geographical distribution of installed PV systems Table 3 below identifies the types of renewable energy systems installed. Solar Hot Water (SHW) was the next most common system installed after PV but only accounted for 4% of NSSP funded schools. Table 3: Types of energy generation systems installed State Total other renewable energy systems SHW Heat Pump Wind Hydro ACT NSW NT QLD SA TAS VIC WA Total Department of Resources Energy and Tourism grosvenor management consulting 55

56 Electricity generated from renewable sources While a significant quantity of electricity was generated, it still only represented a small proportion of most school s total electricity consumption Table 4 below sets out the capacity (kw) of PV systems installed. Table 4: Capacity of PV systems funded (kw) State Sector ACT NSW NT QLD SA TAS VIC WA Sector total Government Non-Government Government 1, ,977 Non-Government 284 1,080 1, ,110 Government Non-Government Government 2, ,027 1,420 5,873 Non-Government ,758 Government ,300 Non-Government Government Non-Government Government 657 1,933 2, ,478 Non-Government ,065 Government ,975 Non-Government ,084 State total 1,042 8, ,631 2, ,543 4,059 Total Capacity 6,118 5,760 8,690 5,518 6,996 33,082 33,082 It has not been possible to estimate the electricity generated from the Wind and Hydro systems. Solar Hot Water and Heat Pumps generate heat energy, not electricity. However, an estimate of the electricity equivalent (MWh) of the energy generated by Solar Hot Water and Heat Pumps has been calculated in Table 5 below. Table 5: Electricity displaced (MWh) by year Total Electricity equivalent (MWh) ,250 Table 6 below sets out the estimated electricity produced (MWh) from PV systems in each year, and the total annual generation from systems installed across the Program. 32 Based on each STC issued displacing 1 MWh of electricity produced from non-renewable resources, and useful life of system being 15 years which aligns with the CER s deeming provisions. 33 Adjusted to remove extraneous figures. Department of Resources Energy and Tourism grosvenor management consulting 56

57 Table 6: Theoretical annual electricity generation from PV systems funded (MWh) 34 State Year Paid: Financial Year Ending Grand Total ACT ,440 NSW 1,818 1,616 2,876 2,317 2,601 11,228 NT ,133 QLD 3, ,868 1,767 2,421 10,625 SA ,812 TAS ,127 VIC 936 3,366 3,152 1,092 1,796 10,343 WA 1, ,492 1,240 1,100 5,645 Grand Total 8,330 7,435 11,552 7,529 9,508 44,354 The proportion of energy consumed by schools, which is met by onsite generated renewable energy, is a useful measure of the extent NSSP schools were able to generate electricity from their own renewable energy sources. Since July 2010, NSSP applicants were required to state the school s electricity consumption. This information was utilised to compare the school s consumption needs with the CER deemed solar electricity generated 35 based on the kw installed. Based on consumption data supplied by schools across , 2.4% of the total annual electricity needs of NSSP schools was being met by NSSP funded PV systems. This demonstrates that while a significant quantity of electricity was generated, it still only represented a small proportion of most school s total electricity consumption. The analysis shows that electricity generated from NSSP funded PV systems made some contribution to the electricity consumption requirements of schools, but the overall net reduction in the grid-supply of electricity was quite low. Detailed analysis in the interim evaluation indicated that the percentage contribution to a school s electricity needs is a factor not only of the size of PV system installed, but more particularly the size of school and its electricity consumption. NSSP funded PV systems were supplying a large proportion of a small number of smaller schools electricity needs. 34 The theoretical electricity generation is a predicted figure based on the capacity of each school s system, the CER postcode zone for the school and the expected performance of PV systems in that postcode zone. This calculation is based on that used by the CER for the purpose of awarding STCs for PV systems. 35 An analysis of QLD actual data for the interim report indicated that the estimated consumption data provided by schools was quite accurate. Department of Resources Energy and Tourism grosvenor management consulting 57

58 While the amount of electricity generated may appear to be small in proportion to most school s electricity needs, the total estimated PV electricity generation capacity to be installed from all funding rounds up to 2013 is MW with annual electricity generation estimated at GWh based on CER s deemed annual production for each zone 36. This would be equivalent to meeting the electricity consumption needs of 6,075 homes 37. It represents approximately 1.62% of total solar electricity generation in Australia 38. It should be noted that solar is only one small part of total renewable electricity generation in Australia. Performance of systems Performance of PV systems in line with expectations The performance of a PV system in terms of actual electricity generated based on installed capacity can vary for many reasons, including orientation to the sun, shading, local variances in annual solar radiation and other climatic variables. Performance can also vary due to accuracy of measuring equipment and/or quality of system components and installation. For example, this includes whether systems were flush-mounted with roof pitch or elevated for optimal orientation with the sun. Such small changes can account for a 7.3% reduction in performance, with the effect of flush-mount installations being even greater at lower latitudes. A comparison of actual performance of NSSP funded PV systems, where known, against the CER deemed production figures 39 identified that largely NSSP funded systems were performing at expected levels. The interim evaluation conducted further analysis on system performance of PV installations using DCSVS data obtained for the FY2010 from the QLD government. The analysis indicated that performance of systems installed in QLD was above the CER deemed Zone 3 median performance of 3.79 kwh/kwp/day. This is illustrated in Figure 6 below. 36 REC Zone 1: 1.622MWh/kWp/year; Zone 2: MWh/kWp/year; Zone 3: MWh/kWp/year; Zone 4: MWh/kWp/year. 37 Assuming 20kWh/day for an average household based on 3.6 kw per kw p installed. These were the figures used in the interim report. They may not reflect current industry benchmarks. 38 It has been estimated that 2,725,265 MWh of PV energy was generated in Australia across The CER expected performance is based on 30 year climatic averages. Department of Resources Energy and Tourism grosvenor management consulting 58

59 Figure 6: PV electricity generated by QLD schools in FY2010 Median system performance = kwh/kwp/day Upper quartile performance = kwh/kwp/day Lower quartile performance = kwh/kwp/day It should be noted that the tail end of performance typically drops away more steeply than the lead end as the lead end of performance is physically limited by technology and maximum available sunlight, while the tail end of performance is impacted mostly by installation location and quality. Downtime of systems from faults and other causes can also reduce system performance. As a result, a small proportion of systems are operating well below CER deemed performance. Whilst the interim evaluation identified that system performance in NSW was below the expected CER deemed performance, further investigation was completed post the report which concluded that performance was generally in line with the CER expected performance and consistent with performance of other systems installed in NSW (Median system performance of 3.68, as reported on PVoutput.org).The data for NSW has since been updated and is represented in Figure 7 below It should be noted that this analysis has removed months with partial readings where the system was not fully operational. It also excludes December 2011, a typically sunny month. As such the small difference from CER estimates may be due to seasonality bias in the data used. Department of Resources Energy and Tourism grosvenor management consulting 59

60 Figure 7: Performance of NSW PV systems versus CER Zone 3 estimates 41 Median system performance = 3.65kWh/kWp/day Upper quartile performance = 3.86 kwh/kwp/day Lower quartile performance = 3.34 kwh/kwp/day A small number of systems (15) were found to be performing below the expected level and were referred to NSW for investigation. NSW have reviewed each case and committed to rectification work where it is feasible to do so, e.g. tree lopping where panels are shaded. NSW advised that for some schools there are limited roof space options available which constrained the design and thus ability to achieve optimum output. 41 A range of data issues were identified following the interim evaluation which are resolved in the graph, however, manual cleansing of data has resulted in some seasonal bias. The figures were generated for all systems older than 12 months since their installation. Department of Resources Energy and Tourism grosvenor management consulting 60

61 Following the interim evaluation, detailed analysis was conducted by DRET on system performance for a sample of schools in SA and WA for schools where generation data was available. This analysis is summarised below. Table 7: Performance of systems in SA and WA Schools examined SA WA No. % No. % Number of schools performing better than expected 2 4% 0 0% Number of schools performing as expected 40 80% 35 95% Number of schools performing poorer than expected 8 16% 2 5% Totals % % As can be seen WA schools were largely performing as expected with explanations for the two schools performing below expectations. While SA had more systems underperforming, 84% of schools were still performing at or above expectations. Reasons for underperformance in the 8 schools could not be determined and were raised with SA. SA is reviewing the 8 systems that are underperforming to rectify where it is feasible to do so. Overall, the above analysis indicates that system performance can vary materially, and can vary between states. Quality of installation is a significant factor that can impact performance. Vigilance is also required post implementation to ensure all systems are performing as expected, including addressing downtime of the entire PV systems or monitoring systems. Installations of Data Collection, Storage and Visualisation System (DCSVS) Many DCSVS were not reporting green and black energy, potentially limiting educational and behavioural change outcomes A DCSVS 42 is a devise for measuring and monitoring electricity consumed by the school and electricity generated from a school s PV system. It can be an important tool in monitoring performance, facilitates educational activities and can aid in influencing further changes in behaviour around electricity consumed. A DCSVS was a mandatory requirement under the NSSP for schools which installed PV systems. A number of states and territories (NSW, ACT, QLD) 42 The DCSVS is the technical term used by the NSSP to describe the data monitoring system, which displays green data (electricity generated from the solar PV system) and black data (electricity consumed by the school). Department of Resources Energy and Tourism grosvenor management consulting 61

62 have implemented a preferred DCSVS product and required their schools to connect to this system. This allows those states/territories to have ongoing access to the DCSVS data for monitoring purposes and to assist schools in resolving issues. In July 2009 it became a requirement that the DCSVS report both green (solar electricity generated) and black (electricity consumed from the grid) energy data. Prior to this requirement systems installed were only required to report green data. The objective of reporting both was to improve the ability to monitor electricity consumed from the grid, and therefore carbon emissions offset, for use in education and promoting behavioural change. A transition period was implemented to allow states/territories, schools and suppliers/installers to adjust to the changed requirements. Following the findings of the interim evaluation, DRET initiated an audit of DCSVS operations in May ,393 schools were included in the audit. This data was sourced from DCSVS providers. Table 8 sets out the results of the audit. Table 8: May 2012 Audit findings of DCSVS operation. Status Number Percentage Total sample size 3,393 Unknown data not visible 1, % Number assessed 2, Working: Displays both back and green data 45 1,244 57% Partially working: Displays only black or green data % Not working % A significant proportion of DCSVS were not reporting green and black data, with many not working at all. Installations prior to Jul 2009 did not have to comply with the requirement for black data. The data analysed indicates that many 46 installations in the following year ( ) did not comply, most likely through a lack of awareness in the change of requirement. However, 43 Schools were allowed to use an intranet based DCSVS. The audit only looked at DCSVS systems where there was evidence that the data was hosted and displayed on a web portal. Many of the unknown may have had an active DCSVS but data could not be seen external to the school. 44 This sample included approximately 700 projects approved in and that were not acquitted at the time of the audit. 45 Or green data in the case of 2008/09 installed systems % partially working and 28% not working 47 The results are not directly comparable to the earlier audit, however, in excess of 80% of the sample were now reporting both green and black data. Department of Resources Energy and Tourism grosvenor management consulting 62

63 this does not account for the still relatively high proportion not reporting green data and the number not working at all. Analysis of DCSVS data has shown that the system can be displaying both green and black data but subsequently stops working. This can be caused by a range of issues, for example, an IT upgrade at the school that subsequently blocks access to the DCSVS web portal. The failure of systems to report data may be limiting the educational and behavioural change benefits (this is further addressed against the assessment of the educational objective in Section 8.3). Following the audit, DRET and the states and territories undertook a range of activities to assist schools in rectifying issues with their DCSVS, to ensure future projects had an operational DCSVS and to promote the use of the data to educate students about renewable energy and energy efficiency. This included: advising states that they need to ensure that the DCSVS was operational (where PV is installed) before marking project as complete. The final 50% instalment of funding under the NPA to the states and territories is payable upon completion of 100% of projects, including an operational DCSVS where a PV system is installed. DRET strengthening the acquittal process for future projects for nongovernment schools, requiring schools to provide evidence that the DCSVS was displaying green and black data including providing the DCSVS web portal link and a screen shot states and territories adopted similar acquittal processes with suppliers and schools, requiring evidence that the DCSVS was operational regular meetings with states and territories to work through causes of why systems were not working and agreed actions to resolve, with follow up with schools distributing factsheets to schools to promote the use of the DCSVS in achieving educational outcomes and information on how to resolve issues if their DCSVS was not working distributing an information booklet to all schools that included information on utilising the DCSVS data in lesson plans and how to resolve issues if the school is unable to access their data, referring to additional resources available on the NSSP website bulk to schools with completed projects where the DCSVS was not working or status unknown, to prompt schools to rectify, with Department of Resources Energy and Tourism grosvenor management consulting 63

64 DRET providing further assistance via phone to a large number of schools DRET and states and territories engaging with DCSVS providers to assist schools and installers in resolving DCSVS issues the providers for the most commonly used DCSVS products produced troubleshooting guides for publication on the NSSP website producing case studies (word and video format) to further promote the benefits of the DCSVS to prompt schools to take action to rectify problems DRET advised that a significant number of schools responded to the correspondence and have taken action to resolve their DCSVS issues. However, it is acknowledged that not all schools will have acted on the advice. The NSSP has provided the supporting documentation indicated above to enable schools to rectify issues and to promote the educational benefits. As a result of the changes to the acquittal process it is understood that all projects completed since the audit have an operational DCSVS. DRET has since further analysed DCSVS operation to monitor if there had been improvements since the 2012 audit. The results indicate that there has been a material improvement in the percentage of systems 47 reporting both green and black data. The states and territories and DRET continue to work with schools and suppliers to ensure that outstanding projects have an operational DCSVS. 47 The results are not directly comparable to the earlier audit, however, in excess of 80% of the sample were now reporting both green and black data. Department of Resources Energy and Tourism grosvenor management consulting 64

65 Size and costs of systems installed Size of PV systems installed increased across NSSP As was found in the interim evaluation, the average size of PV systems installed grew dramatically across the period of the Program. This is set out in Figure 8 below. Figure 8: Size of systems installed Cost of PV systems declined, including relative to other renewable energy systems The growth in size of systems installed is most likely to be attributed to the significant reduction in costs of PV systems across this period. This reflects the overall reduction in industry costs of PV corresponding with the growth in the market. This is represented in Figure 9 below. Department of Resources Energy and Tourism grosvenor management consulting 65

66 Figure 9: Cost per Watt of NSSP systems installed by year The above analysis shows that schools took advantage of the decline in prices, using the $50,000 grant to install ever increasing size of systems, with many schools even installing larger systems than was approved in their application for funding. As is demonstrated in Figure 10, this was particularly the case for non-government schools. As average system size installed grew, the relative cost per Watt also further improved due to the economies of scale associated with installing larger systems. Figure 9 also highlights the improvement in relative cost per Watt of PV systems versus other renewable energy systems. This justifies the much higher uptake of PV systems. Some states and sectors installed larger systems Further analysis of the data indicates that the non-government sector on average installed larger systems including taking greater advantage of the reduced PV system prices by having a much greater increase in size of installed PV system over the period of NSSP. Figure 10 below indicates the differential in average system size across the NSSP between state/territory government schools and the non-government sector. Department of Resources Energy and Tourism grosvenor management consulting 66

67 Figure 10: Average kw of PV installation by state/territory for government schools and non-government sector The differential in system size was in part a reflection of the approach adopted by various states and territories and the maximum grant amount that schools were eligible for over the life of the Program. For example: ACT installed more systems in later funding rounds, enabling it to take advantage of lower prices to install larger system sizes. Additional funding was also contributed by the ACT government. NSW, SA and QLD reduced the funding available to schools such that more schools could be funded, which meant only smaller system sizes could be installed 48 Prior to the 2011/12 funding round a larger proportion of nongovernment schools received a grant of up to $100,000 than government schools 49. The average value of NSSP grants for nongovernment schools was $52,481 compared to government schools of $37, This would have enabled larger PV systems to be installed contributing to the higher kw of PV installation in the non-government sector Some states tended to install larger systems than was approved in the government school s application, which particularly benefited those 48 NSW also had the largest number of schools eligible for reduced funding of $15,000 due to schools being approved to receive funding under BER non-government schools received up to $100,000, in comparison to 51 government schools. 50 ANAO Audit Report No /12 p.118. Department of Resources Energy and Tourism grosvenor management consulting 67

68 states where delays were experienced between application and receiving funding Cost of systems became more consistent As was found in the interim evaluation, there was a considerable range in cost per Watt for systems installed across Australia. However, not only did system costs reduce across the period of NSSP, the range in cost of systems reduced with costs becoming more consistent across the period of the NSSP. This is represented in Figure 11. Figure 11: Range in cost of systems Department of Resources Energy and Tourism grosvenor management consulting 68

69 Cost of PV systems generally consistent with industry benchmarks The comparison of costs paid for NSSP systems versus available industry benchmarks is a useful measure of the value for money achieved. The comparison of solar panel module costs versus industry benchmarks is presented below 51. Table 9: Industry standard price (AU$/W) for solar panels 52 Year Typical module price Best price NSSP median price (FY ending) The comparison of total PV system prices (ie. panels, inverters, frames, installation etc.) is included in Table 10 below. Table 10: Australian trends in typical system prices for grid applications up to 5 kwp 53 compared to NSSP PV system prices paid (AU$ ex GST) Year (calendar) $/W NSSP median PV system prices ($/W) (FY ending) The comparisons highlight that while panel and total system costs were largely in line with industry benchmarks, NSSP funded systems were slightly above typical prices in some years. For example, total system prices (Table 10) were slightly above benchmarks in the final two funding rounds. Investigations indicate that many of the component costs were above benchmarks, with a much higher proportion sourced from Europe as compared to the much higher proportion sourced from China in the wider market. This suggests that NSSP funded higher quality systems which will hopefully translate into better performance and reliability, and longer life. ANAO found that the cost of PV systems was comparable between government and non-government schools. For example, in the funding round, there was only around 3 % cost difference per kw in favour 51 A direct comparison is not available due to the industry benchmarks being based on a calendar year and NSSP data on financial year. Note that all prices are pre-stc discount. 52 Australian PV Association The Australian PV Association currently represents the most appropriate and reliable publicly available source consisting of companies, agencies, individuals and academics. 53 Australian PV Association Department of Resources Energy and Tourism grosvenor management consulting 69

70 of non-government schools, where government and non-government schools were planning to install 5 to 10 kw PV systems 54. Cost of abatement The cost of abatement is a useful measure in assessing cost effectiveness of NSSP. The cost of abatement measures the cost spent under the NSSP to offset each tonne of carbon that would have been consumed from nonrenewable sources. Again, it was only possible to measure the carbon offset through the installation of PV systems, which would have represented the bulk of the offset. It should be noted that not only does this analysis not take into account carbon offsets achieved through other renewable energy systems and energy efficiency items installed, but it also excludes any offsets achieved through reduction in energy consumption via education and changed behaviour. DRET conducted calculations on the cost of abatement in line with the approach taken for the interim evaluation report and DCCEE policy 55. The calculated total cumulative abatement of NSSP PV installations was 0.476Mt CO2-e over the useful lifetime of the PV systems, which is 1.6% of the abatement to be delivered by the Renewable Energy Target by 2020 (29.9 Mt CO2-e)11. Estimates provided by DRET have suggested that the resource cost of abatement for NSSP PV is in the vicinity of $196 per tonne carbon dioxide equivalent 56. A number of variables can have a significant impact on the calculated cost of abatement including the cost of electricity offset (cents/kwh), indexation of electricity prices, significant differences in feed in tariffs between states and territories, performance of the systems in terms of electricity generated, installation costs and useful life of the system. The analysis performed estimated a resource cost of abatement within the range of $104 -$359/tCO2-e. The large range highlights the sensitivity of the cost to the impact of the variables. However, the above estimates prepared by DRET appear to be very conservative, including when compared to the methodology used by the 54 ANAO Audit Report No p Estimating the cost of abatement, Framework and practical guidance. October 2011, DCCEE. 56 Dollars reported in terms of the base year Department of Resources Energy and Tourism grosvenor management consulting 70

71 Productivity Commission 57, and the actual cost of abatement may well be at the lower end. The NSSP s cost of abatement compares favourably with Productivity Commission benchmarks, which calculated the Australian small-scale PV offset emissions to be $ /tCO2-e. It also compares favourably to other small scale renewable energy programs. 58 The comparison to the cost of other similar carbon reduction policy measures involving small scale renewable energy is set out below using the Productivity Commission benchmarks. Figure 12: Cost of abatement as compared to benchmarks 59 As for the NSSP figures, these calculations ignore any flow on energy offsets such as education, behavioural change and industry development. 57 For example, the Productivity Commission in its document Carbon Emission Policies in Key Economies: Responses to Feedback on Certain Estimates for Australia (Supplementary Research Report, December 2011) acknowledged that useful life of PV systems may well be longer than the original estimate used of 20 years, utilising 30 years in the revised estimates. DRET has used years in its estimates, and 15 years for the Best estimate. 58 At the lower end or below the cost of small scale solar and renewable energy generation, for example, the Solar Homes and Communities Program and that delivered by the Small Scale component of the Renewable Energy Target (SRET) and state based feed in tariffs. 59 Sources: Productivity Commission, Carbon Emission Policies in Key Economies: Research Report, May 2011; Carbon Emission Policies in Key Economies: Responses to Feedback on Certain Estimates for Australia: Supplementary Research Report, December Department of Resources Energy and Tourism grosvenor management consulting 71

72 Energy efficiency systems installed and funded Table 11 below sets out the proportion of NSSP schools which installed energy efficiency items using NSSP funding. Table 11: NSSP schools installing energy efficiency items Financial Yr ending Grand Total NSSP schools 1,429 1,188 1, ,310 Energy Efficient items installed % Energy Efficient items installations ,559 26% 33% 35% 24% 21% 29% As can be seen, there has been a decline in the number and proportion of schools installing energy efficiency items in recent years. Further analysis has identified that in the initial years of NSSP, many schools applied for both PV and energy efficiency installations, while in more recent years there was a tendency to only apply for a PV installation OR the installation of energy efficiency items. Historically, energy efficiency items have been more likely to deliver better returns in terms of reductions in electricity consumed from the grid per dollar invested than PV systems. However, no conclusion can be drawn that more of the NSSP funding and projects could have been directed towards energy efficiency items. Schools may well have already implemented energy efficiency measures within their school prior to or independent of the NSSP, particularly given they are typically lower cost. Schools may well have sought to apply the NSSP funding towards PV systems to cover the more significant capital cost that otherwise could not be afforded. The significant reduction in the cost of PV systems may also have contributed to the trend to increasingly install PV systems. Department of Resources Energy and Tourism grosvenor management consulting 72

73 Table 12 below sets out what sorts of energy efficient items were installed using NSSP funding. Table 12: Number of schools installing energy efficiency items by type Financial Yr ending Grand Total NSSP $ Ceiling Fans ,222 Door Closers ,565 Draught Seals ,141 Energy Efficient Lighting External Window Fittings ,151 13,396, ,815 Insulation ,839 Sensors, timers, thermostats, etc ,540,329 Shade Awnings ,215,701 Sky Lights ,286 Solar Thermal ,151 Energy efficient lighting was the most popular energy efficiency item installed. Energy efficiency lighting accounted for 63% of NSSP expenditure on energy efficiency items. Note that insulation was removed from being an eligible item under the NSSP in the last three funding rounds. Table 13 sets out the expenditure on energy efficient lighting by year, and the actual number of lights installed, to replace existing lights, for the final three years (information on numbers of lights was not available for earlier years). An estimate of the total number of lights replaced has been generated using the average cost per light replacement for the final three years ($59.37/fitting). Table 13: Energy efficient lighting expenditure and quantity installed Grand Total Expenditure on Energy Efficient Lighting ($) Actual number of Lights Replaced Estimated number of lights replaced 2,579,125 3,384,713 4,322,110 1,554,597 1,556,310 13,396,855 69,992 29,406 25, ,640 Department of Resources Energy and Tourism grosvenor management consulting 73

74 Other findings from the data provided include: expenditure on energy efficient lighting reduced materially in 2012 South Australian non-government schools and West Australian government schools spent a significantly lower proportion on lighting but more money on sensors, timers and thermostats Queensland government schools spent significantly more on shade awnings NSSP funding applications and guidelines did not focus on any particular energy efficiency item as being preferable, which provided the flexibility for schools (and state/territory agencies) to make their own decisions about which energy efficiency items best met their needs, within the context of their own climate, facilities and past energy efficiency measures. Energy efficiencies and offsets Energy efficiency (intensity) of schools improved across the period of NSSP While electricity consumption of NSSP funded schools typically increased across the period of the NSSP, this increase would have been more significant if it were not for NSSP funded renewable energy systems installed 60. The electricity (kwh/year) imported grew at a lesser rate than total energy consumption. This is best illustrated by the data from QLD which is presented in Figure 13 below. The graph identifies the median electricity imported from the grid per school versus total electricity consumed, including electricity generated by NSSP funded systems. 60 Climatic variables have not been considered in terms of the impact on consumption. Department of Resources Energy and Tourism grosvenor management consulting 74

75 160, , , ,000 80,000 60,000 40,000 20, Median Consumption (Net Import) - kwh/year Median Consumption (Gross) - kwh/year Figure 13: Total and imported energy consumption median per NSSP QLD school Factors such as student numbers and size of school buildings impact on energy consumption. Size of schools, in particular, grew during NSSP, in part driven by other capital funding programs such as the Building the Education Revolution. Figure 14 demonstrates the increase in floor space of buildings across the period of NSSP funding for all states and territories. Figure 14: Total Australian students enrolled and floor area Department of Resources Energy and Tourism grosvenor management consulting 75

76 Median Net kwh/year/m2 Median Gross kwh/year/m2 Energy intensity, the average energy consumed per square metre (kwh/year/m 2 ) is the best measure of change in energy efficiency as it separates out increases in energy associated with increases in building size. Once again using data from QLD, Figure 15 demonstrates that there was a particular reduction in the median energy intensity reflecting that energy efficiency in QLD schools improved over the period of NSSP. This may have been contributed to by both the energy efficiency improvements resulting from NSSP funded projects, and from improvements in building energy efficiency from the new facilities which would more likely be using modern energy efficient designs and equipment. It may also have been impacted by changes in behaviour which may have been influenced by educational and awareness activities generated from NSSP and other similar programs Median Net kwh/year/m2 Median Gross kwh/year/m2 Figure 15: Median energy intensity of QLD schools Energy efficient lighting alone reduced electricity consumption by 0.9% As indicated in Table 14 earlier, NSSP funded an estimated 225,640 energy efficient lights. Prior analysis conducted for the interim evaluation 61 suggested that these can be expected to reduce energy consumption by an estimated kwh/year/fitting, which would equate to 10,541,941 kwh offset per annum. This equates to a 0.9% saving in electricity consumption for NSSP funded schools Conclusions energy efficiency and renewable energy NSSP funded a significant amount of renewable energy installations with a significant emphasis on PV systems, with 91% of NSSP funded schools 61 Calculated using QLD data. 62 Based on total consumption of 1,213,822,469 kwh per annum for all NSSP funded schools. Department of Resources Energy and Tourism grosvenor management consulting 76

77 installing PV systems. 33,082 kw of PV system capacity was installed with a further 1,250 kw for solar hot water and heat pump systems. The estimated electricity generation of systems installed to 2013 as 44,354 MWh which is estimated at representing 2.4% of those school s electricity consumption needs. A range of issues have been identified as impacting on performance of some PV systems. These issues are being further explored by relevant states. However, overall systems appear to be operating in line with expectations. A significant proportion of DCSVS were identified as not reporting both black and green energy data, which potentially limits the impact on educational outcomes and behavioural change. DRET and the states and territories have implemented a number of measures to address this issue for all PV installations in recent funding rounds, and are progressively working to address any systems still identified as not fully operational. The NSSP could have chosen to require schools to install one specific DCSVS product and have access to the central database to view performance of NSSP funded systems and provide alerts to schools if the system was not reporting green or black data. Whilst this would have provided a valuable dataset for program analysis and sharing with other institutions interested in PV installations, establishing an approved list of DCSVS providers allowed the data monitoring system market to develop and gave schools and states and territories the flexibility to choose a product that best met their needs. Those states who chose to require their schools to install a particular product and have ongoing access to data are well placed to maintain systems and maximise the benefits of systems installed. The energy efficiency measures installed have enabled schools to further reduce electricity consumption. Energy efficiency lighting, the most popular energy efficiency item installed, is estimated to have reduced electricity needs by 0.9%. Energy intensity, a measure of energy efficiency, of school facilities has been shown to have improved across the period of NSSP, with evidence to suggest that NSSP funded renewable energy systems and energy efficiency measures making some contribution to this. The cost of abatement of the Program compares favourably to other equivalent programs focussing on solar generation. Department of Resources Energy and Tourism grosvenor management consulting 77

78 8.2 Rainwater The following section outlines the findings against the NSSP objective 3 - allowing schools to adapt to climate change by making use of rainwater collected from school roofs. The key indicators used to assess NSSP schools adapting to climate change were: the uptake in the installation of rainwater tanks the degree to which rainwater collected was maximised through appropriate sizing and connection of the tanks the degree to which the schools reliance on mains water was reduced through the appropriate use of harvested rainwater. Rainwater tanks installed and funded Overall low uptake of rain water tank installations Table 14 below details the number of rain water tank (RWT) installations funded under NSSP. Table 14: Rainwater tank installations by state and sector Government Non-Government Total ACT NSW NT QLD SA TAS VIC WA Overall, there was a relatively low uptake of rainwater tanks by schools as compared to energy efficiency measures, particularly PV systems. It is possible, at least in part, that this is a factor of economics whereby the economic benefit of rain water tank installation is lower than that of PV due to the differential between energy and water costs. It could be argued that solar and energy related measures were inferred as being more of a focus of the NSSP which biased applications towards energy related projects. The NSSP guidelines encouraged schools to install solar PV systems, as schools were eligible for $50,000 if they installed at least 2 kw. Department of Resources Energy and Tourism grosvenor management consulting 78

79 If they chose to install less than 2 kw or other eligible items, schools were then only eligible for $30,000. In addition, this is likely to be a reflection of the differing policies and focus between the states and territories. For example, the ACT had implemented a program prior to NSSP installing rain water tanks at all government schools. Queensland had a similar program. A number of states also provided subsidies for installation in which schools would have been eligible to apply. Additionally, the Commonwealth Community Water Grants funded water tanks in schools. Such measures would have reduced demand for rain water tank installation funding under NSSP. Government schools installed more rainwater tanks than non-government schools Further analysis indicates that adoption levels for rainwater tank installations vary dramatically between state and sector. This is illustrated in the Figure 16 below. Figure 16: Percentage of NSSP schools installing rain water tanks Figure 16 highlights that overall government schools had a higher installation rate for rainwater tanks than non-government schools in many states. The level of uptake also varied materially between the states and territories for non-government schools. Department of Resources Energy and Tourism grosvenor management consulting 79

80 Rainwater harvested Amount of water harvested would improve by increasing area of roof collection, and an increased tank size will reduce water loss Rainwater harvested is a function of annual rainfall, installed tank capacity (litres) and surface area of roof connected to the rain water tank. It should be noted that timing of rainfall and consumption of water can impact on rain water harvested. For example, periods of low water consumption tend to correspond with high rainfall due to high use of water for irrigation purposes. As such, much of the theoretical rain water that could be harvested may well still be wasted via tanks filling beyond capacity in high rainfall and low water consumption periods with the balance often going down the drain. As such it is only possible to look at the correlation between rainfall, catchment size and tank capacity to test whether schools funded were maximising rain water harvested. Table 15 below sets out for each state and territories the litres of installed tank capacity, annual rainfall for locations where tanks were installed and the area of roof connected to the rain water tanks. It also details the theoretical, estimated rain water harvesting capacity in litres collected off the roof space from the annual rainfall 63. Table 15: Average rainfall, installed tank capacity, roof area and harvesting potential by state and sector 2 School State 3 Avg. Annual Water harvesting potential per school 4 Avg. 6 Avg. Tank Annual 5 Avg. Catchment Size Capacity Rainfall (sq meters) (L) (mm) 7 ACT , NSW , NT , , QLD , , SA , TAS , VIC , WA ,063 Figure 17 overleaf compares the above information as an average per school funded for rain water tank installations by state. 63 This amount is loss adjusted for losses in roof wetting and other forms of loss. Department of Resources Energy and Tourism grosvenor management consulting 80

81 Figure 17: Average rainfall, tank capacity, roof area and harvesting potential per school The graph demonstrates: NT, Qld and NSW achieved higher average water harvesting rates primarily through higher rainfalls QLD and NSW installed smaller capacity tanks but connected to larger areas of roof space, which in combination with higher rainfalls would likely translate to higher loss rates through overflow NT installed much larger average tank sizes which would minimise loss VIC still achieved very high water harvesting levels with a much lower annual rainfall by connecting to larger roof areas TAS installed the smallest average tank sizes which would increase their loss, and given the lower rainfall, connection to larger roof areas would have improved water harvesting potential SA primarily harvest less water due to having the lowest rainfall Department of Resources Energy and Tourism grosvenor management consulting 81

82 While the ACT installed very few tanks, their water harvesting potential was limited by connecting to smaller roof spaces in a location involving low rainfall WA s water harvesting potential was also limited by connecting the tanks to smaller roof areas. Overall, larger tank sizes will minimise loss through higher rainfall periods and maximise storage capacity. Connection to larger roof areas will maximise water harvesting, which will be particularly important in lower rainfall zones. The ability to connect to larger roof areas, and the justification for larger tanks attaching to this, is of course influenced by size of school, with small schools having less ability to connect to larger areas and justify larger tanks. The hypothetical water harvesting potential of the total NSSP funded installed tank capacity was approximately 6.5 of annual water consumption of those schools installing a rain water tank 64. Use of harvested rainwater Water loss would be reduced through use of water for purposes other than just small-scale irrigation As indicated above, while increasing the water harvesting potential is one measure of reducing the reliance on mains water, the other measure would be reducing the loss of harvested water through tanks overflowing. As indicated previously, where rainfall is seasonal, it makes sense that using harvested rain for small scale irrigation purposes during high rainfall periods will reduce loss. Using harvested rain for small scale irrigation only will obviously increase loss as irrigation will be occurring during low rainfall periods and rain harvesting will be occurring when no irrigation is required (tanks will overflow as they are full). Many might argue that irrigation in itself is not an appropriate use of water in a dry climate; however, it is not the remit of this evaluation to consider the appropriateness of the use of water. Figure 18 overleaf sets out the use of water by state for data collected by NSSP during the periods Consumption is based on estimates provided in funding applications. Department of Resources Energy and Tourism grosvenor management consulting 82

83 Figure 18: Purposes for which rainwater tanks were connected 65 Many schools where tanks were installed were not connected to mains water and therefore any water capture will aid in adapting to a dryer climate as it provides additional water harvesting and storage potential for all purposes. A significant proportion of schools still utilised their collected water for flushing toilets. Low connections for laundry use are likely to be a function of many schools not operating laundries. Low levels of connection for potable use will likely be a reflection of health policies and concerns. From the data provided it is not possible to accurately identify what proportion of schools are only using the rainwater tanks for small-scale irrigation purposes. From the survey responses received it would appear that more than a third, but less than half of the respondents have their rain water tanks connected for small-scale irrigation purposes only. Once schools which are not connected to mains water (ie. have no choice) are removed from the analysis, a higher proportion would only be using water from the rain water tanks for small-scale irrigation. Cost of installations The comparison of installation costs is provided in Table 16 overleaf. 65 Not connected to mains water. Department of Resources Energy and Tourism grosvenor management consulting 83

84 Table 16: Cost per litre of tanks installed School State Expenditure ($ ex GST) Installed Capacity (litres) $/tank Litre Government ACT 17,723 32, NSW 2,635,517 5,454, NT 101, , QLD 1,374,733 4,469, SA 1,107,811 4,869, TAS 116, , VIC 2,297,567 6,801, WA 1,535,330 6,035, Non- Government ACT 33, , NSW 1,131,689 2,555, NT 42, , QLD 816,528 1,649, SA 227, , TAS 41, , VIC 1,151,352 3,296, WA 181, , The above analysis shows that there was considerable difference in installation costs per litre. This may be attributed to a range of factors such as average tank size, number of tanks installed and area of roof space connected to the tank. It is not possible to draw further conclusions on cost comparisons between states and sectors Conclusions - rainwater NSSP funded just under 38 million litres of installed capacity and 2,640 ML of water harvesting potential. However, the actual amount of mains water offset will be influenced by water loss. While no conclusions can be drawn on the effectiveness of NSSP in minimising water loss the analysis does highlight that to further minimise loss and maximise mains water offset, NSSP, states and territories would need to have: maximised the area of roof to which tanks are connected ensured tank sizes are appropriate to both the roof catchment area and annual rainfall to maximise storage capacity maximised the use of water for purposes involving consumption during higher rainfall periods i.e. uses other than small scale irrigation. Department of Resources Energy and Tourism grosvenor management consulting 84

85 8.3 Educational Benefits One of the five key objectives of the NSSP is to allow schools to provide educational benefits for school students and their communities. Key findings of the final NSSP evaluation are by and large consistent with the findings of the interim evaluation. For the purpose of completion, key themes and associated findings of the interim evaluation are summarised below together with additional information ascertained through the final evaluation of the NSSP. Key outcomes and any new findings, identified through the final evaluation, in achieving the educational objective of the NSSP are explored following Table 17 below. Key findings of the interim evaluation The introduction of the NSSP contributed to a variety of educational initiatives in the form of changes to lesson plans and other activities to promote the NSSP at a school and state level. States and territories, individual schools, commercial PV installers/renewable energy providers as well as DRET contributed in different ways and to varying degrees to the achievement of educational benefits, demonstrated by the findings of the interim and final evaluations of the NSSP. The following table outlines the key findings of the interim evaluation and validation based on the evidence collected for the final evaluation. Table 17: Key findings of the interim evaluations of the NSSP Key message Interim evaluation Final evaluation States and territories Contribution of states and territories of fundamental importance for the realisation of educational benefits under the NSSP linked the NSSP with their own state-based energy efficiency and solar programs to leverage funds for the realisation of educational benefits drew on the resources, knowledge and experience of commercial PV service providers undertook a range of activities to launch and promote the NSSP, while the approach and extent of promotions varied Confirmed the program s connection to AuSSI was seen as beneficial in achieving educational benefits utilised the NSSP as a vehicle to promote the state s own climate change policies and Department of Resources Energy and Tourism grosvenor management consulting 85

86 Key message Interim evaluation Final evaluation programs plus related federal programs such as AuSSI. Key message Interim evaluation Final evaluation Schools Hands-on learning approach important for the understanding and promotion of climate change experienced both benefits and challenges in realising their educational gains with existing financial and human resources constraints undertook numerous events to raise awareness and promote the environmental and educational benefits being achieved through their NSSP project to students and their local community NSSP installations set a practical and tangible example, and were a contributing factor in raising awareness and promoting sustainability Confirmed the extent and type of promotional activities between schools varied, almost all schools conducted an event and/or placed an article in the local newspaper about their NSSP project summary of educational activities undertaken by schools are further outlined in the section following. Industry Support by industry importance for achieving educational benefits PV system installers in some states developed additional service offerings to assist schools in meeting the educational requirements of the NSSP smart meter devices and their associated tracking websites were geared towards educational outcomes Confirmed note: the assessment of the industry in relation to the achievement of educational benefits was limited in the Department of Resources Energy and Tourism grosvenor management consulting 86

87 Key message Interim evaluation Final evaluation DRET a number of non-government organisations provided assistance with ideas and resources for teaching activities on water and energy conservation final evaluation DCSVS data requirement key in achieving educational benefits for students and the wider community engaged in a variety of promotional events and activities including media coverage to promote the NSSP encouraged schools to conduct energy and water use efficiency audits which supported a greater awareness for the need of renewable energy sources and measures Confirmed additional educational activities and information provided by DRET following the interim evaluation are outlined in the section following. provided a variety of learning and teaching materials on the NSSP website, improving the understanding of school staff about the NSSP project Additional and supporting findings of the final evaluation Differences in educational outcomes for NSSP schools A central aim of the NSSP was to educate students and the wider community about renewable energy and the importance of conserving energy and water resources. Many stakeholders considered the educational aspect of the NSSP the real benefit and most important part of the program. The extent to which educational benefits were achieved varied amongst schools. When asking schools to describe their activities to teach students about renewable energy/energy efficiency, survey results showed that NSSP schools engaged in a range of educational activities. In line with the findings of the interim evaluation, educational activities included, amongst others: use of DCSVS data in lessons Department of Resources Energy and Tourism grosvenor management consulting 87

88 incorporation of environment and sustainability topics in science and geography teachings on solar and water conservation participation of the school in world environment day. Almost 50% of surveyed schools incorporate the subject of energy efficiency in their learning materials as a result of the NSSP. The NSSP was a great starting point for our school to develop a sustainability program. We now have a dedicated renewable energy program in our curriculum While in many cases, teachings about renewable energy/energy efficiency were primarily driven by the requirements of the national curriculum 66, other schools seized the opportunity presented through their NSSP project to engage in extra-curricular activities. For example in some schools student committees and clubs were established where students actively analysed data, identified alternative energy saving measures and then presented their findings back to the class. Through these clubs and committees, students, in contrast to teachers, promoted sustainability to their peers. Schools participating in the NSSP were also involved in a number of interschool competitions to increase the awareness of renewable energy sources and promote energy efficiency. For example, in WA schools took part in an area-based competition to be the school with the highest reduction in electricity consumption over a period of six weeks. In QLD a competition encouraged students to develop strategies to reduce water usage. The achievement of educational outcomes was clearly linked to the promotional activities as well as collaborations established to raise the profile of the NSSP project within the school and wider community. While the extent and type of promotional activities between schools varied, almost all schools who responded to the survey conducted an event and/or placed an article in their school s newsletter about the NSSP project Over 35% of schools who responded to the survey advised that, collaboration had taken place with the wider community, students parents or the states and territories. Many schools engaged with community partners such as the local council and involved parents in their NSSP project. 66 Sustainability is incorporated as a cross-curriculum priority in the Australian Curriculum with, in particular, solar power forming part of the science and history education syllabus. The Sustainability Curriculum Framework was established in Department of Resources Energy and Tourism grosvenor management consulting 88

89 Figure 19 identifies whether any collaboration took place with entities or people outside the schools and the level of behavioural change of students/teachers as a result of the NSSP project, as reported in survey responses. 100% 80% 60% 40% 20% 0% Yes - collaboration No - collaboration Noticeably changed Somewhat changed Not at all Figure 19: Collaborations and associated behavioural change Note: Responses indicating that the school did not know whether any collaboration had been undertaken or whether a behavioural change had occurred have been removed from this figure. Of those schools which reported no change in student behaviour as a result of the NSSP, 62% did not undertake any collaboration to promote their NSSP project. As this figure indicates, schools that conducted promotional activities and engaged parents and/or the wider community in their NSSP project were more likely to report behavioural changes. According to the survey, 6.3% of participating schools stated that the behaviour of staff and students noticeably changed, 62.4% of schools reported that it somewhat changed, and in 15.6% of cases the behaviour did not change at all. 67 Behavioural changes that have been achieved as a result of the NSSP are further explored in Section 10 of this report. Achieving educational outcomes takes continuous effort Throughout the survey responses it was evident that some schools were continuously updating and tailoring their lessons and sustainability plans to attract and maintain the interest of students. For example, a school in VIC indicated that it was continuously looking for new ways to involve students 67 A further 15.7% of surveyed schools responded that they did know whether a behavioural change had occurred. Department of Resources Energy and Tourism grosvenor management consulting 89

90 in environmental activities. Another school in NSW noted that it had adopted activity and experiment based projects to attract the interest of its teenage students. Our challenge will be to keep their interest and excitement and continuing the various programs we will be putting in place Sustainability and energy efficiency activities were often a focus for schools at the commencement of their NSSP project. However overtime, the interest and initial enthusiasm faded due to competing educational commitments. For example, one government school claimed that the state education department s increasing focus on the National Assessment Program Literacy and Numeracy (NAPLAN) and standardised testing results had pushed sustainability from the classroom. This meant that schools were prevented from incorporating energy efficiency into lessons due to time and resource constraints. The difficulty of being continuously committed was also demonstrated by those schools that encountered significant delays with their NSSP project installation. In those instances, schools reported that the momentum and motivation for the project was lost. In the scheme of all our other demands, requirements and obligations, this project is well down the list Declining commitment and student interest, and competing educational priorities created barriers to the achievement of the NSSP s educational objectives for many schools. This emphasises the continuous effort required by teachers and school staff to overcome these barriers and achieve the desired educational outcomes. DCSVS implementation in educational plans DCSVS data collection and usage remains a key contributing factor in achieving educational benefits To advance learning outcomes under the NSSP, schools were obliged under the NSSP to install a DCSVS with their solar power or renewable energy system. The installation of DCSVS was a key component for obtaining educational benefits, as it allowed schools to track their electricity generation and usage, including against other schools. The system s features assisted schools to develop an increased understanding of their energy management processes, and subsequently, through greater awareness, encouraged positive behaviours (further details in Section 10). Department of Resources Energy and Tourism grosvenor management consulting 90

91 The monitoring system shows the environmental benefits of the energy produced in a form that has more meaning, particularly for the student As smart meters varied in features and price, DRET developed a set of requirements and specifications to ensure consistency in the information collected by schools and to clarify the requirements for the meters. 68 In addition, DCSVS providers, states and territories and DRET developed DCSVS information products to assist schools in managing their DCSVS and utilising the data. This assisted teaching staff to integrate DCSVS data in lesson plans. Based on survey responses, 27.5% of schools, which monitored their DCSVS, displayed the data in a way which was accessible to their students and the wider community. For instance, some streamed DCSVS data directly onto a TV screen in the school s library to show its students and staff how much electricity their PV system had been generating and how much carbon had been offset. Another school in VIC displayed their DCSVS data on a screen in the foyer. While only 35% of survey respondents utilised the DCSVS data in their lessons plans, almost 50% of schools were planning to do so in the near future. One contributing factor in the lack of data usage was the technical issues that schools experienced relating to the set up and connection of the school s DCSVS. According to the survey, schools participating in earlier NSSP funding rounds were less likely to record both their electricity generated and consumed with their DCSVS compared to later funding rounds. This possibly contributed to the finding that the number of schools that did not utilise DCSVS in lessons plans was significantly higher of those schools that were funded in earlier funding rounds, illustrated in Figure 20 overleaf. 68 DRET developed the Data Collection, Storage and Visualisation Systems Requirements and Specifications and Data Collection, Storage and Visualisation System Approved Components List from which DCSVS components had to be sourced in order to be eligible under the NSSP. Department of Resources Energy and Tourism grosvenor management consulting 91

92 100% 90% 80% 70% 60% 50% 40% 30% 20% Yes Not yet, but planning to in the near future No 10% 0% 2008/ / / / /13 Figure 20: Schools incorporating DCSVS data into lessons plans (by funding year) The above figure also highlighted that the majority of schools in later funding rounds have yet to incorporate their DCSVS data in lesson plans and thus, are yet to receive the full educational benefits of the Program. Following the NSSP interim evaluation, DRET undertook a variety of actions to address the issues constraining the wider use of DCSVS data. Most recently, the Department developed text and video case studies and a customised information booklet, which all government and non-government schools received in May/June 2013, to further promote the benefits of the DCSVS and information on how to resolve technical issues, tailored by DCSVS product type. The information booklet has been tailored to each state/territory and contains information about: the school s NSSP project (includes prepopulated information from the NSSP database plus space for schools to add extra details such as warranty details), a section for schools to record electricity utility details, DCSVS details and history of school contacts involved in the project. a maintenance log for schools to record maintenance undertaken educational materials and other resources Department of Resources Energy and Tourism grosvenor management consulting 92

93 school case studies from schools across Australia on the benefits obtained from their solar schools project. factsheets (e.g. solar power system lifetime & warranties). Whilst the DCSVS factsheets were available and distributed to schools in October 2012, all interviewees acknowledged that earlier availability of the information booklet would have been of great benefit. Nevertheless, it can be argued that the information booklet together with text and video case studies of successful NSSP projects 69 will further assist in the promotion of educational benefits that can be obtained by schools through their DCSVS. This may also lead to more schools utilising their DCSVS data in class and encourage those schools with DCSVS functionality problems to take corrective actions. Sufficient support (in form of training and tools) is key in achieving educational benefits Some surveyed government and non-government schools reported a desire for a higher level of support throughout the NSSP. This entailed, for example, the provision of information about the Program and how it could be used to achieve educational benefits. Many survey respondents indicated that they did not have the technical expertise necessary to conduct and implement the NSSP project. As the onus was often on the individual teacher to implement sustainability education in the classroom, it was imperative that he or she had a firm grasp of the topic and the installed technology. Support in form of the development of classroom material and guidance documentation was provided, although to varying degrees, by the Commonwealth and the states and territories through the NSSP. For example, the NSW Department of Education and Training developed and distributed learning materials to its government schools. 70 The VIC Department of Education and Early Childhood Development, for instance, linked its Victorian Solar in Schools Initiative (VSiS) with the NSSP, providing additional educational materials on renewable energy and energy demand. In TAS, schools were able to obtain support in incorporating sustainability topics associated with the NSSP installation in their curriculum through the Sustainable Schools Support Service (SSSS). This included the development 69 Published in the NSSP website at 70 Further details can be found at Department of Resources Energy and Tourism grosvenor management consulting 93

94 of a DVD with recommended teaching resources and activities on water and energy conservation. DRET published a variety of educational resources including solar power and data monitoring system information on the NSSP website. The resource page on the NSSP website aims to make existing educational materials about renewable energy and energy/water efficiency more accessible by providing links to relevant databases such as Scootle 71. In addition, a number of survey respondents indicated that they had employed a specialist person in their school with the knowledge and capability to address subjects of energy efficiency and sustainability. We have appointed an outdoor teacher two days a week, who will use the information available to develop children s learning While it was difficult to ascertain through the survey response whether these positions were created as a result of the NSSP, it can be assumed that through these initiatives the educational outcomes of the NSSP were further enhanced. As would be expected, the use of DCSVS to monitor electricity consumption and generation was highly influenced by the school s understanding of the Program rules and guidelines. Of the schools which installed a PV system and found the rules easy to apply, 61% monitored their DCSVS data and 85% had used, or were planning to use, the data in lessons plans. Conversely, of those schools that did not understand the rules or found them difficult to apply, only 38% monitored their DCSVS data and 57% had or were planning to utilise the data in class. Another aspect of the school s ability to obtain the maximum benefits from their solar power system was the DCSVS product installed. Some DCSVS products included links to educational material in addition to the green and black data which improved the useability and understanding of the data being displayed. Some schools and jurisdictions, however, commented about the need to improve the user-friendliness of one of the DCSVS products, as it was difficult to navigate. Lack of collaboration between NSSP personnel and curriculum teams at a state level is a barrier for achieving educational outcomes As highlighted by the interim evaluation, state/territory departments engaged in a variety of educational initiatives including the development of teaching materials and guidelines to assist schools in meeting the education 71 Scootle is a database maintained by Education Services Australia and includes over 15,000 digital curriculum resources across a range of areas fir P-12 years. Department of Resources Energy and Tourism grosvenor management consulting 94

95 specific requirements of the NSSP grant application. Despite this, the final evaluation found that the extent to which state NSSP project officers collaborated with the states curriculum staff varied in each jurisdiction. For example in the ACT Department of Education and Training, the NSSP implementation team and curriculum area of the department worked closely together to prepare and integrate the learning materials into the school curriculum. In contrast, in other states/territories stakeholders felt that greater collaboration between the team within the state s department would have increased the uptake of the use of the DCSVS system. This could have been achieved through a greater championing of the integration of the DCSVS data into the school s learning programs and environmental management plans by the curriculum area. One jurisdiction stated that perhaps with an increased involvement of the curriculum team, schools would have better understood the core goals of the Program. Consequently, a decreased number of schools would have contacted the states and territories with queries, for example, relating to the financial impact of the Program and/or the installation of solar power systems. The above indicated that irrespective of the approach taken by the state/territory, ongoing collaboration is of fundamental importance for the successful implementation and realisation of the educational outcomes. Success factors in achieving educational benefits Based on the analysis presented above and the findings of the interim evaluation, the following success criteria/factors have been identified for the achievement of educational objectives of the Program: Achieving educational benefits - success factors Transfer of knowledge amongst school staff Educational materials provided by the states and territories/dret Technical understanding by school staff about the system installed Ongoing passion and extra-curricular activities (promotions) by schools Monitoring and usage of DCSVS data Department of Resources Energy and Tourism grosvenor management consulting 95

96 8.3.1 Conclusions educational benefits The findings have shown that the NSSP has had material impact in educating future generations about alternative energy sources and raising the awareness about climate change. While the educational outcomes for schools across Australia differed, schools showed a certain degree of enthusiasm and commitment to achieve educational benefits. This was demonstrated by schools implementing not only DCSVS data and/or environmental topics into lesson plans, but also conducting various extra-curricular or even intra-school activities. The achievement of educational outcomes was clearly linked to the promotional activities as well as collaborations established to raise the profile of the NSSP project within the school and wider community. In particular, promotional activities of the NSSP and collaborations with student s parents and the community partners were strongly associated with achieving behavioural changes amongst students and teachers. However, evidence from the survey suggests that some NSSP projects lost their momentum. As such, continuous attention and effort is required to ensure the NSSP project remains front of mind and is being utilised to achieve educational outcomes. In addition, the adequacy of support and guidance from DRET and the state and territory government agencies was critical to achieve the educational outcomes of the Program. In particular, addressing the apparent lack of understanding of the technical aspects of the PV installation represented a barrier for schools to engage in educational activities. DRET, in combination with states and territories and PV suppliers, implemented a number of measures to address these issues including working directly with schools and providing a range of guidance material and other information. The evaluation has shown that the requirement to install DCSVS remains a key factor in achieving the educational outcomes of the Program. The DCSVS data represented a primary source for demonstrating the practical applications and effects of renewable energy sources. It could be argued that the absence of a smart meter system, such as DCSVS, would have significantly reduced the overall benefits of the NSSP. Therefore, encouraging and supporting the continued collection and usage of DCSVS data is of fundamental importance for achieving educational as well as positive behavioural changes in the long-term. Based on the stakeholder consultations it can be concluded that the close collaboration between NSSP project officers and curriculum staff of states and territories improved not only the educational objectives, but also all of the NSSP objectives. Department of Resources Energy and Tourism grosvenor management consulting 96

97 There are some opportunities to further improve educational outcomes of the NSSP and ensure schools continue to benefit from their NSSP project in the future. These are detailed in Section 12 Recommendations. Department of Resources Energy and Tourism grosvenor management consulting 97

98 8.4 Supporting industry growth The final objective of the NSSP is the Program s support to the growth of the renewable energy industry. The key indicators used to assess NSSP support for industry growth were: NSSP s overall contribution to the market the level of installation activity and participation by industry whether the NSSP funding was further leveraged with other private and state/territory based investment whether industry obtained other benefits that were at least in part contributed to by NSSP. NSSP s contribution to the market Figure 21 below indicates NSSP funded PV capacity installed as a proportion of the entire market installations by year and state. The heat map shows the proportion of total PV capacity installed in each state/territory for that year. Market share details for other renewable energy systems were not available but represent a very small proportion of NSSP funded installations. Proportion of PV Market by Capacity Figure 21: NSSP installed PV capacity as a proportion of total market installed capacity Department of Resources Energy and Tourism grosvenor management consulting 98

99 Overall NSSP funded PV systems did not represent a significant proportion of total industry installations. This is not surprising given the significant growth in residential PV installations over the corresponding period. At certain points within certain states/territories it did represent a reasonable proportion of the market, such as QLD in The proportion represented by NSSP declined over time due to higher number of installations in earlier years, but more particularly, the rapid growth in industry installations. An important factor not considered in the above figure is that NSSP on average funded much larger systems than the average residential system installed. As such, NSSP funded PV systems would have represented a much larger percentage of the larger PV system market (eg. >5kW). The relevance of this is further explored in Section below. Conversely, NSSP would have represented a much smaller percentage of the total number of industry installations. Participation Industry participation can be measured in terms of: the proportion of installers who were involved in NSSP the impact this had on those involved in installations the origin of installed components. Table 18 below sets out the percentage of installers who participated in installing NSSP PV systems. Table 18: NSSP installers as a proportion of industry providers No. PV installations 1,384 1,140 1, No. of industry installers 72 1,619 3,081 4,487 4,484 N/A No. of NSSP installers % involved in NSSP installations 14% 12% 6% 3% N/A Across the period of NSSP, the number of installers in the industry increased dramatically corresponding with the rapid growth in the industry, particularly for residential installations. At the same time, the number of installers used for NSSP installations declined. 72 Source: CEC. Department of Resources Energy and Tourism grosvenor management consulting 99

100 Department of Resources Energy and Tourism grosvenor management consulting 100

101 This was partly contributed to by the reduced numbers of installations; however, the number of NSSP installers declined at a faster rate suggesting further concentration of suppliers occurred. This may have been influenced by states and territories rationalising the number of preferred suppliers used for government schools. The interim evaluation found that between 42%-53% of PV providers installed only one NSSP funded system between , and that approximately a quarter of these installers were responsible for 80% of the work. The manufacturers of solar panels and inverters are largely foreign companies. The NSSP funded PV installations utilised a range of manufacturers primarily from the standard countries of origin including Europe, India and other parts of Asia, most particularly China. The data indicates that a higher proportion of components was sourced from Europe than for the wider Australian market, indicating that NSSP installations on average used higher quality components. The tendering arrangements and supplier panels established by various states would have influenced this, as well as providing centrally negotiated warranty conditions for ongoing maintenance purposes. NSSP also provided incentives for schools to invest in the installation of additional solar panels and energy efficiency measures such as classroom movement sensors. Additional private and state/territory investment In total, in excess of $213 million was spent on renewable energy systems under the NSSP. The NSSP funding was further leveraged with varying levels of additional contributions from the states and territories. For example, the ACT government combined NSSP funding with ACT funds to install up to 30kW systems on each ACT school. In addition, many non-government schools contributed further amounts, presumably to install larger systems. Figure 22 overleaf illustrates the total funds contributed towards NSSP projects by the Commonwealth, the states and territories, and nongovernment schools. Department of Resources Energy and Tourism grosvenor management consulting 101

102 Overall, the non-commonwealth contribution remained relatively low for most states/territories and the non-government sector 73. This may in part be a reflection that the NSSP funding per school provided sufficient funds to install suitable systems. Figure 22: Commonwealth, state/territory and non-government financial contributions 73 Note that many states and territories invested significant amounts in their own renewable energy programs. Department of Resources Energy and Tourism grosvenor management consulting 102

103 Development of other benefits The interim evaluation identified a number of additional benefits to industry arising from the NSSP. These benefits continue to provide support for industry growth and are set out in Table 19 below. Table 19: Key findings of the interim evaluations of the NSSP Key message Interim evaluation Final evaluation NSSP provided support to the development of a market installing systems larger than residential systems NSSP only represented a small proportion of a rapidly growing market, dominated by residential installations NSSP provided industry with more extensive experience in larger, noncommercial system installations which may help further growth in that sector. Confirmed This market still represents a much smaller proportion of installations with NSSP accounting for a significant proportion. The mid-range market still represents a growth opportunity for industry with installations on commercial and community buildings NSSP compliance and inspection activities led to the identification and subsequent resolution of a range of technical issues DRET implemented various compliance and assurance activities, including the first official on-roof inspection of PV systems in Australia On-roof inspections highlighted a range of installation shortcomings that were previously less well understood and thus, contributed to identifying further improvements to PV systems and their installation Findings were also reported to states and territories responsible for electrical safety in their state/territory and to the CEC DRET developed a comprehensive inspection checklist, which is now being utilised by the state and territory governments as well as CEC, contributing to higher standards in the PV industry Confirmed These activities still represent important contributions to improving installation practices in industry DRET has engaged the Clean Energy Regulator to conduct inspections which has achieved efficiencies for the Commonwealth and consistency in reporting to state and territory regulators and the CEC Other technical and installations issues were also identified by schools Department of Resources Energy and Tourism grosvenor management consulting 103

104 Key message Interim evaluation Final evaluation and stakeholders that would have led to valuable lessons for installations of this size across all parts of Australia The issues detected provided the opportunity for rectification work and progress in the development of sound and appropriate technologies and installation practices. The level of compliance with Australian standards identified through the inspection program has continued to improve over time, demonstrating that action taken by regulators and industry is improving the quality of installations. PV installers/suppliers developed new products and services as a result of the NSSP, establishing an additional source of income Eco Community (and other providers) offered a new service by assisting schools in completing their NSSP application and provided support in the sourcing of quotations for PV and other renewable energy installations under the Program. NSSP s metering and educational requirements fostered further product development in Australia. The NSSP approved 20 DCSVS products for inclusion on the approved DCSVS list. Of those, 14 DCSVS product types were installed under the Program in over 4,800 schools. Confirmed NSSP was a primary driver of these new products which represent opportunities for expansion to other sectors Conclusions NSSP contributed towards industry growth in more ways than simply injecting funds into the industry. NSSP only represented a small proportion of the overall PV industry, and NSSP only used a small proportion of industry installers. However, when NSSP was established, much of the focus and growth in the PV industry was in the residential market. NSSP represented a more significant proportion of the mid-range sector involving larger PV systems than typically associated with the residential market. NSSP has provided a valuable experience, and helped to resolve many technical and installation issues in the mid-range sector. NSSP also led to improved inspection practices and helped develop a small number of niche products and services. Department of Resources Energy and Tourism grosvenor management consulting 104

105 9 Value for money In order to assess the efficiency of the delivery of the NSSP, the evaluation examined whether value for money in delivering the objectives of the Program had been achieved. Given the educational aspect of the NSSP, key findings, outlined in this section, consider not only the monetary elements of the Program but also intangible outcomes. In addition, the ANAO analysed the Program s value for money in relation to the assessment process of funding recipients 74 applied by DRET and the states and territories. As a result, it was decided to confine the analysis in this evaluation to the: cost of solar power installations cost of abatement (carbon emissions offset) other factors in achieving value for money educational and other flow on benefits for schools and the broader community. Cost of solar power installations and electricity consumption NSSP funded renewable energy systems and energy efficiency items has contributed to reducing the electricity consumed from the grid, which in turn would have reduced NSSP schools energy costs. The savings in electricity costs for SA government schools was impacted by demand tariffs, as solar is considered by the state network provider as an intermittent generation source and cannot guarantee a demand reduction. Essentially, the demand tariff payment is a payment for demand capacity should the generation fail. Some schools installing solar power systems that also have a demand capacity of greater than 100Amps are placed on a demand tariff. Schools with less than 100Amps capacity are also moved to a different tariff. Prices paid for items installed continue to reflect market/industry prices but were slightly above industry benchmarks in recent years. This appears to have been a reflection of installing better quality systems which should translate into better performance and reliability, and longer life. 74 Refer to the ANAO s Audit Report No Management of the National Solar Schools Program report Section 5: Progress Towards Program Objectives. Department of Resources Energy and Tourism grosvenor management consulting 105

106 Cost of abatement As indicated at section 8.1, it has only been possible to measure the offset in carbon emissions for PV installations. It is important to note that NSSP funded a small proportion of other renewable energy systems and a significant number of energy efficiency measures. In line with the objectives of NSSP, the Program also sought to achieve further reductions in energy consumed and therefore carbon emissions through education and behavioural change. The cost of carbon abatement achieved was calculated by DRET to be in the range of $ to $ tonnes of Carbon emitted ($ / t CO 2 -e), with the best estimate being $ t CO 2 -e. As indicated at section 8.1, this estimate is conservative and likely to be at the lower end of the range. This compares very favourably with the Productivity Commission s benchmarks from 2010 and other comparable programs (refer details at section 8.1). While costs of abatement for PV systems has steadily declined (improved) over recent years with the falling costs in PV systems, this benchmark analysis indicates NSSP has achieved very good value relative to other similar programs dominated by solar energy generation. Other factors in achieving value for money Panel arrangements and quality of installation contributing factors in achieving value for money A number of state/territory education departments established supplier panel arrangements for the installation procurement of NSSP solar power systems. In accordance with the ANAO audit report, the data analysis found that there were no discernible differences in the mean cost per kw spent by government schools compared to those states without a panel. State/territory education authorities indicated that the central team would be able to be a more informed buyer and that the supplier panels they established would provide the ability to ensure consistency in product and service for a large number of schools. 75 The evaluation also provided evidence that a commitment to achieving value for money was given a high priority throughout the duration of the Program, both from an accountability/assessment but also a performance management level. This is demonstrated, for example, by the continuous 75 Refer to ANAO report No.39 ( ) Management of the National Solar Schools Program, pg122. Department of Resources Energy and Tourism grosvenor management consulting 106

107 effort of the NSSP team (DRET) to understand and address the issues constraining the wider utilisation of DCSVS data. Educational and other flow on benefits Continuous educational activities important for achieving value for money in the long-term In addition to being part of the criteria for assessing NSSP grant applications and selecting suppliers, value for money for the taxpayer is also influenced by the ongoing benefits delivered in adapting to climate change. The latter was demonstrated by the educational benefits for schools as a result of the NSSP. Case studies and the survey revealed that the NSSP project stimulated great interest amongst the students and an improved outlook on protecting the environment. Despite this, outcomes, benefits and perceptions of the Program s worth varied amongst schools. A number of schools indicated that they felt that the NSSP project was of limited value. For example, one government school in NSW noted that the Program costs were too high, particularly around the system s maintenance; while another school noted that the project was too time-consuming. Department of Resources Energy and Tourism grosvenor management consulting 107

108 As outlined in Section 8.3, some NSSP participants experienced a number of challenges including delays and/or issues surrounding the installation of the funded system/item and thus in those cases, the Program had not yet generated the expected benefits for many schools. Nevertheless, evidence showed that with the resolution of the installation problems and issues, schools were anticipating to benefit from their NSSP project in the future. While many schools surveyed focused on cost savings when considering the benefits obtained through their participation in the NSSP, numerous schools highlighted the value of increased awareness about renewable energy and energy efficiency. Some survey respondents specifically felt that the increased awareness about achieving energy efficiency often provided more value than cost savings. Heritage College, Perth Approx 110 students 7.92kW solar power system Energy efficient lighting Increased solar power system to 10.2kW Reduced energy costs: The college noted a dramatic reduction in its energy bills as a result of the solar power installation with reductions of up to 41% of electricity used per day. Besides the educational benefits, the NSSP analysis has shown that value to the school was derived to varying degrees from: a reduction in energy costs (see case study on the right) a reduction in water usage increased recycling and reduced school waste use of rain water for school gardens and/or grounds, and care of animals. It should be noted that additional impacts and outcomes, resulting from the NSSP project, often only become visible in the long-term. This was particularly evident when schools were considering their students energy efficient behaviour. Some stakeholders acknowledged that significant behavioural changes would be unlikely to occur until the students were older. Department of Resources Energy and Tourism grosvenor management consulting 108

109 From this viewpoint, strengthening the school s capacity to continuously educate students about renewable energy and energy efficiency will further add to the achievement of value for money. 9.1 Conclusions value for money Within the context of a program funding smaller scale renewable energy and energy efficiency, NSSP has achieved very good value with costs of systems and the cost of abatement comparing favourably to available benchmarks. The comparative value for money of investing in alternate policy measures is not considered in this report. NSSP delivered other benefits beyond the direct carbon offset, most notably the educational benefits. While there remains room for improvement in fully incorporating energy efficiency into the curriculum of schools, there has been considerable uptake in education of students. Importantly, evidence suggests that there has already been reported change in behaviour of students and staff, and some impact on raising community awareness. Department of Resources Energy and Tourism grosvenor management consulting 109

110 10 Sustainability of NSSP This section of this report outlines the findings regarding the longevity of NSSP objectives and potential outcomes after the conclusion of the Program. Based on the analysis presented below, the potential for future Commonwealth and/or State Government activity and collaboration in this space will also be addressed Achieving behavioural change Ongoing educational effort and commitment by schools required to achieve sustainable behavioural change Achieving behavioural change is important for a sustainable energy future. Based on the consultations and survey responses, it can be argued that the adoption of a renewable energy source together with educational activities provided a starting point for changing the behaviour of individuals and organisations associated with the school. Stakeholders considered this instrument-and-learning-oriented approach as being a positive and unique feature of the Program, which is depicted in the following diagram: NSSP NSSP system/ item + Education (about energy efficiency and renewable energy) Increased awareness & incentive to change Behaviour change Energy efficiencies Sustainable future Inputs Effects and outcomes Figure 23: Pathway from NSSP inputs to outcomes Against this background, whilst it was difficult to evaluate which behaviour changes were sustainable in the absence of a longitudinal study of the NSSP participants, it was possible to indicate if and what changes occurred as a result of the Program. Figure 24 illustrates the survey respondents perception about the extent to which the behaviour of students and/or teachers has changed in relation to energy and water efficiency as a result of the school s NSSP project. Department of Resources Energy and Tourism grosvenor management consulting 110

111 Figure 24: Behavioural change as a result of the NSSP The above figure showed that 68% of schools stated that the behaviour of students and/or the school s teachers had noticeably or at least somewhat changed as a result of the NSSP. As previously highlighted by the interim evaluation, stakeholders stated that the visibility of solar panels and/or rain water tanks on the school s ground/roof was a contributing factor for promoting sustainability and renewable energy sources amongst students, parents and the wider community. Installations served as visible practical demonstrations of how to be energy efficient and reduce greenhouse gas emission. In addition, evidence suggested that the educational benefits accomplished by individual schools supported and enhanced the adoption of sustainable practices. Schools reported changes in the environmental awareness and behaviours of students, which adopted practical behaviours to reduce the energy use of the school. For example, a number of NSSP schools noted that students were increasingly turning off electrical appliances when they were not in the classroom and increasingly reported water waste (for instance, leaking taps). In some cases students also monitored the energy use of their peers and teachers, reminding them to adopt energy efficient behaviours such as turning off the lights. This implied that students took greater ownership of their actions and the usage of resources. Our school has embraced a sustainable culture and NSSP has been a major part of our program Department of Resources Energy and Tourism grosvenor management consulting 111

112 The opportunity to be involved [...] has brought great benefits so far and will ensure a long-term return to the school as well as the environment That the Program has become a basis for some schools to pursue other sustainability practices is further illustrated by the case study on the right. The case study also shows that bringing about behavioural change offers considerable potential for energy conservation. Effects of educational outcomes led in some instances to the installation of PV system by school staff on their own homes. In a case study of Bungwhal Public School, school staff stated that as a result of the exposure to the solar power system some staff approached the local supplier about installing systems at their homes. Victory Lutheran College (North East Victoria) Approx 600 students 9.1kW solar power system Energy efficient lighting, draught seals, sensors and timers Sustainable practices: As a result of NSSP the college has seen a reduction in its energy bills and a greater awareness of sustainable practices. This has resulted in: Greater student and staff discussion about further improvements More classes involved in sustainable practices and education Greater understanding of the reasons for sustainable practices Improved efficiency of classroom power usage including shutting down computers and turning off lights. Surveyed schools also reported increased assistance from parents with environmental activities of the school, including through the maintenance of school gardens and the implementation of additional environmental activities around the school. In addition, parents from a QLD government school monitored the DCSVS data as part of the schools maintenance plan. This resulted, according to stakeholders, to an increased environmental awareness and noticeable changes in the behaviour of student s parents at home. The short term changes have been most noticeable but importantly, the long term changes in relation to our behaviours are paramount Department of Resources Energy and Tourism grosvenor management consulting 112

113 While positive behavioural changes can be attributed to the activities of the NSSP project, the effects and impacts of other sustainability/environmental education programs should be also taken into account. Stakeholder feedback suggested that the Program s connection to AuSSI 76 was particularly seen as beneficial. The Australian Government s AuSSI program has a strong focus on sustainability and environmental educational benefits and offers a range of teaching materials and activities. The advantage of linking the NSSP to AuSSI was also recognised by DRET during the development of the NSSP in early 2008 as a way to support the achievement of long-term educational benefits for schools. This was due to the fact that schools participating in AuSSI would have access to useful resources for advancing the school s sustainability and would incorporate sustainability education in their lessons/educational activities. Furthermore, AuSSI does not replace other environmental or sustainability educational activities in schools, but rather the Program connects to and complements existing programs that are implemented within schools. Consequently since July 2010, DRET encouraged schools to participate in AuSSI through the allocation of additional points for their educational benefit criteria in the assessment of their NSSP application, if they were registered with AuSSI. In spite of this, NSSP data showed that only approximately 55% (2,968) of total schools funded registered with AuSSI at the time of their application to the NSSP. In addition, only a total of 3, schools across Australia are registered with AuSSI. This indicates that further promotion about participating in AuSSI would be of benefit, as it amplified the educational benefits of the NSSP. A key point acknowledged by stakeholders was that attaining lasting behavioural change and thus, energy efficiencies, takes time. Students find the learning activities engaging and consequently are learning from them. No doubt this will translate into changes in behaviour which may not become evident until later in life 76 AuSSI s vision is for all Australian schools and their communities to be sustainable, and aims to educate and encourage participation in environmentally sustainable practices. AuSSI involves experiences, improvements in a school s management of resources and facilities including energy, waste, water, biodiversity, landscape design, products and materials. Further information can be found on the AuSSI website 77 As at end of March This is approximately 35% of the total number of schools in Australia Department of Resources Energy and Tourism grosvenor management consulting 113

114 This underlined the importance of the sustainability of the NSSP system/item installed and the ongoing educational effort and commitment required by schools. Continuous data monitoring, collection and usage While understanding the impact and potential outcomes of the NSSP is often complex and challenging, the NSSP project together with the DCSVS provided the opportunity for schools and their communities to become more aware of their energy use. The monitoring system shows the environmental benefits of the energy produced in a form that has more meaning, particularly for the students The evaluation showed that DCSVS data provides a reinforcing factor to change the behaviour of students, teachers and people of the wider community. Through the monitoring system and the associated tracking websites, schools are able to see the impacts of their past behaviour and thus, the positive or negative consequences resulting from their actions through, for example, an increase or lowering of their energy consumption. DCSVS data collection has also benefited other programs and initiatives. CSIRO, for example, utilised the data collected from government schools in ACT for atmospheric monitoring activities. DCSVS data has therefore the potential to inform future government and academic programs and projects. To achieve continual and sustainable outcomes, NSSP schools must be able to clearly understand the impacts of their NSSP project and associated efforts. This highlights that it is of fundamental importance to continuously encourage schools to collect and utilise their energy generation and consumption data throughout the lifetime of their installed system. Future state and territory activities Following the closure of the NSSP, states and territories stated that they will now focus on enhancing the educational outcomes of the Program. The VIC Government will build on the existing AuSSI framework and provide one-off grant payments of up to $10,000 to schools to undertake energy audits and/or related energy saving activities, and to purchase energy efficient infrastructure. 78 This will give particularly those schools that were unable to obtain a NSSP grant the chance to install energy efficient items and engage in energy efficiency/sustainability education. 78 For more information refer to: Department of Resources Energy and Tourism grosvenor management consulting 114

115 In addition, stakeholders commented on the value of the state/territory government agencies playing facilitation role and providing a platform for NSSP schools to share information and their learnings. Overall, this indicated that the focus of the Program is now shifting to become an education program with support from the states and territories Maintenance of PV systems Views and approaches about maintenance of installed systems varied amongst states and territories PV systems are generally made from durable materials and arguably present a robust form of technology. A typical solar power system consists of a number of key parts with varying life expectancies including: PV modules (solar panels) inverter array frame others including meters, web box and temperature sensors. In addition to the quality of systems, different environmental and operational conditions impact the life of each of the above components. PV modules have a life expectancy of approximately 25 years, while inverters most likely need to be replaced after approximately 10 years. Schools that installed a solar power system during the first funding round of the NSSP in 2008 are therefore almost half-way through their inverter s expected working life. Other parts such as meters and temperature sensors have generally shorter warranty periods and as such, may need replacing during the lifetime of the solar power system. Maintenance of the installed system contributes to the sustainability and longevity of NSSP outcomes. States and territories, individual schools as well as DRET have addressed in different ways and to varying degrees the maintenance of PV systems, as demonstrated by the following findings. Department of Resources Energy and Tourism grosvenor management consulting 115

116 States & Territories Most states and territories identified the maintenance and subsequent replacement of NSSP funded systems as a key issue for the sustainability of the Program. While warranties to varying extent are provided by system installers, regular maintenance requirements and associated replacement of the system s components raised financial concerns. The majority of interviewees stated that the maintenance component should have formed part of the NSSP and its funding arrangement to ensure replacement costs are adequately covered. Nevertheless, all states and territories are planning to assist schools in their maintenance efforts of the NSSP installation; however, plans and strategies differed between the jurisdictions. For instance in NSW and SA, repairs and maintenance of the PV systems form part of existing Facilities Management contracts with government schools. ACT also had existing arrangements. This included a four year-maintenance and monitoring agreement with the installers of inverters. The maintenance activities and/or plans of other jurisdictions were still to be implemented. For example: VIC is planning to assign the responsibility to the regional offices, which will be made available to answer any queries regarding the maintenance of installed NSSP systems/items TAS is planning to contact schools and provide information about the upcoming maintenance/replacement requirements for inverters in NT, the aim is to tender for an annual maintenance contract of NSSP systems. The above implies that, with the exception of NSW, SA and ACT, maintenance and with it budgetary arrangements are still to be determined and put into action. Schools Over 70% of schools have implemented or are planning to implement a maintenance plan/strategy in the near future. Department of Resources Energy and Tourism grosvenor management consulting 116

117 Figure 25 shows the percentage of schools in each sector that have incorporated (yes), are planning to implement (not yet) or have not implemented (no) a maintenance plan of their PV system. 80% 60% 40% 20% 0% Government Catholic Independent Yes. Not yet, but planning to in the near future No Figure 25: Implementation of maintenance plan (by sector) Adoption of a maintenance plan was the lowest amongst government schools with 36% of schools were not planning to implement a plan. This is likely to have been influenced by the existing or planned maintenance activities by state/territory government agencies. Comparatively, only 13% of non-government schools are not planning to implement a plan (16% of catholic and 8% of independent schools). Maintenance approaches to enhance the lifetime of their installed system were either driven by state or, as in the majority of cases, by a school in collaboration with their installer. Regular maintenance activities conducted by the installer or another contractor included: regular cleaning of solar panels to reduce the effects of dust, particularly in areas with low average rainfall monitoring data from the PV system on tracking websites to highlight any anomalies or performance issues annual maintenance checks by installers or other contractors. However, a small proportion of surveyed schools which had implemented, or planned to implement a maintenance plan explained that they were confused about the ongoing maintenance requirements. One school indicated that they are uncertain of the maintenance requirements as they are no longer involved with the company which installed the system. Department of Resources Energy and Tourism grosvenor management consulting 117

118 One school highlighted that the costs associated with maintaining the system were prohibitively large, noting that annual servicing would cost more than the school saved as a result of the system. Despite this, some schools were budgeting for the systems future maintenance costs or funding maintenance through the school s council. The reliance on installers, electricians and contractors to service the system, as well as the lack of understanding about maintenance requirements (even in those schools which have implemented a plan) highlighted that schools require ongoing support to maintain their PV systems. DRET To inform and assist government and non-government schools with the maintenance requirements of their installed solar power system, DRET produced various specifications and guidelines under the NSSP. For example, fact sheets, contained in the NSSP Information Booklet, outline the system s lifetime and expected warranties together with contact details for further questions or concerns. In addition, schools were required to obtain performance warranties from the supplier for a minimum of ten-years for solar panels and at least a five year warranty for solar or heat pump hot water systems installations. Barriers to sustainability From the evaluation, the following barriers and challenges have been identified that need to be overcome in order to achieve sustainable and lasting outcomes from the NSSP: Sustainability barriers school s expectations and drivers to participate in the NSSP as being merely a cost-savings measure lack of staff interest and/or knowledge transfer within schools insufficient buy-in from principals insufficient financial resources and lack of time lack of ownership of the NSSP project and its associated system/items lack of knowledge/expertise by schools in terms of: - technical aspects of the NSSP project - agreements struck with installers/service providers. Department of Resources Energy and Tourism grosvenor management consulting 118

119 10.3 Conclusions sustainability In June 2013 the NSSP closed. However, schools as well as state and territory government agencies can and should continue to benefit from their NSSP installations and the associated educational activities. Aside from the renewable energy generated, encouraging and achieving changes in everyday behaviour among students, school staff and possibly the wider community to adjust to a more sustainable way of life will contribute to the sustainability of the Program. This is arguably the most significant outcome of the NSSP in the long-term. The sustainability of the Program faces a variety of challenges and barriers which need to be addressed and overcome. This includes, for example, offsetting the declining interest in some schools where delays in the implementation of their NSSP project were experienced. Given the closure of the Program at a national level, the states and territories play a critical role in ensuring that any barriers and challenges for government schools are overcome and that the momentum of the NSSP project is kept alive. The continuing uptake of AuSSI by NSSP schools together with the ongoing accessibility and updating of educational resources will assist with ensuring sustainable educational outcomes can be achieved. This includes resolving issues of DCSVS reporting for use in educational activities. As the installed systems and/or items come towards their end of warranties and lifetimes, states and territories and non-government schools will need to review their investment strategies to maximise the useful life of items installed. Department of Resources Energy and Tourism grosvenor management consulting 119

120 11 Implications for the future Based on the findings, analysis and conclusions of both the interim and this final evaluation of NSSP, the achievements and lessons learned against each NSSP component are summarised in the table below. This includes any potential improvement opportunities to the service delivery model for future program development. NSSP component Achievements and lessons learned The NSSP provided an opportunity for schools to reduce their environmental footprint and educate future generations about renewable energy and climate change The combination of installing a renewable energy system/energy efficiency item together with educational activities presented a key factor in achieving behavioural changes amongst students, parents and the wider community Monitoring, collection and utilisation of DCSVS data was key in driving as well as measuring the effects of behavioural change and facilitating the educational activities Objectives PV systems and rainwater tanks provided a highly visible and practical example of adapting to climate change which raised awareness across the school and wider community, with evidence that it resulted in the uptake of renewable energy systems by parents and school staff. This highlights that funding of physical infrastructure can have benefits beyond programs involving a focus purely on education and awareness raising The Program s connection to AuSSI, an environmental education program, enhanced the educational benefits of the NSSP While NSSP expenditure and PV systems installed only represented a small proportion of the market, the typical size of NSSP PV installations (ie. larger than residential) provided new learnings and experience, as well as new products, which will help to further develop the mid-range PV sector. This indicates the value of government programs such as this targeting a less mature industry segment to stimulate growth Implementation The flexibility to apply for a range of eligible items allowed for schools to address their varying needs. However, initial consultation with the states and territories about the type of eligible energy efficiency items would have further assisted in meeting the local design requirements and climatic conditions The flexibility afforded to the states and territories in applying NSSP to government schools in their state enabled them to combine the NSSP with local programs, further leveraging benefits of NSSP and state programs, including enhancing energy efficiency and Department of Resources Energy and Tourism grosvenor management consulting 120

121 NSSP component Achievements and lessons learned educational outcomes The formal agreements between the Commonwealth and the states and territories evolved, resulting in the NPA mid-way through the program. The evolving nature and timeframes taken to finalise the model and agreements via the NPA was a reflection in part of the flexibility afforded within the program as well as the inherent challenges of reaching agreement with multiple jurisdictions. However, the timelines and changes created challenges for all parties demonstrating the need to reach a model and agreement to provide clarity for all The NSSP led to the development of range of practical resources (factsheets/guidelines). Similar programs should seek to make these resources available as early as possible, ideally from the onset of the program The NSSP provided an opportunity for federal and state/territory government collaboration and as such a forum for exchanging experiences and lessons learned in the area of climate change adaptation and renewable energy policy, including as it relates to school education NSSP conducted an interim evaluation with many of the lessons incorporated into improvements to the program Monitoring & evaluation The evaluation demonstrated that the program has been relatively successful in achieving its objectives, and the results of the ANAO audit would suggest the NSSP was well administered in the context of results of other program audits Quality and consistency of data collected is important to inform whether the Program s objectives have been achieved Development and implementation at the commencement of the program of a Monitoring and Evaluation Framework would have further assisted with the establishment of a credible baseline data and in measuring the impacts attributable to the NSSP Evaluation activities by individual state government agencies would have further supported the evaluation efforts on a national level Department of Resources Energy and Tourism grosvenor management consulting 121

122 12 Recommendations Based on the findings and conclusions of this evaluation, the following recommendations have been made to ensure the sustainability of NSSP outcomes. 1. States and territories actively pursue and implement a maintenance plan/strategy to ensure the longevity of the installed systems/items and to maximise the return on the investment made 2. States and territories encourage and support regional and national networking of NSSP government schools, in collaboration with other sustainability partners, to enhance communication and assistance between schools to maximise program outcomes. 3. States and territories continue to lead efforts to embed energy and water efficiency into school curriculum 4. DRET continue to host the educational resources for schools on their website or alternatively make them available through alternative channels. For example, in Scootle. 5. DRET together with the states and territories continue to work to resolve the issues with the operation of DCSVS, ensuring green and black energy data is reported 6. Given smart meter products, such as the DCSVS, are now available and being utilised as a result of the NSSP, the option of including a module on data monitoring systems in the training of accredited installers by the Clean Energy Council should be explored by DRET. 7. DRET together with the states and territories consider the development and implementation of an ongoing monitoring, reporting and evaluation approach to ensure the outcomes achieved through the NSSP project are kept alive and continue to be progressed. Promoting the regular collection of data and information on the schools impacts and outcomes, including cross school, jurisdiction and sector benchmarking, should form part of these activities. The data collected should be consistent across Australia and provided to each school as feedback on performance. 8. To ensure the technical aspects of the NSSP project are understood, states and territories and non-government schools should consider professional development for teachers/school staff. Consideration needs to be given to the resources and approach required to appropriately manage the items installed. Department of Resources Energy and Tourism grosvenor management consulting 122

123 Attachment A: NSSP Review Terms of Reference The scope of this review includes: assessing the effectiveness of the NSSP in achieving the policy objectives (as defined in the NSSP guidelines and objective and outcomes defined in the NPA), including: the extent to which the policy objectives have been achieved the assessment of performance against project milestones in the NPA and reasons for any issues/delays the extent to which implementation arrangements assisted or hindered the achievement of policy objectives assessing the efficiency of the delivery of the NSSP program including: the extent to which the parties to the NPA fulfilled their agreed roles and responsibilities whether approved outputs (project items) that have been delivered commensurate with financial contributions paid if value for money in delivering the objectives has been achieved whether there have been barriers to implementation or delays, and if so how these have been managed assessing the appropriateness of the delivery of the NSSP program including: whether the funding mechanisms in the NPA were appropriate for achieving its objectives if there is still a need or priority for Commonwealth and State Government activity and/or collaboration in this policy area. Department of Resources Energy and Tourism grosvenor management consulting 123

124 Attachment B: Activities undertaken by DRET following the interim evaluation Performance of PV systems and DCSVS The interim report identified a number of discrepancies in the performance of PV systems. In responding to the conclusions in the report, NSSP conducted investigations into the causes of these discrepancies. This included analysis of a sample of installations in NSW which had not achieved expected levels of output to identify possible causes. Discussions were held with key stakeholders including the NSW Department of Education and CEC to address these issues. As a result of the investigations, it was determined that the PV systems were performing as expected, however, some issues had been identified as a result of shade on a small number of school s panels and some systems were not reporting full month data. Further analysis was conducted on a sample of systems installed in WA and SA, which supported the finding that largely systems were performing as expected. The small number of systems not performing at the expected level were referred to states and territories who have or are in the process of rectifying where it was feasible to do so. The interim report also recommended that NSSP should work with states and territories, and non-government schools, to understand and address any issues which were preventing, or limiting, the utilisation of DCSVS data. In addressing this recommendation, NSSP: changed the acquittal process for non-government schools and government school projects to ensure that the DCSVS was correctly installed for future projects undertook an audit to establish the number of projects where their DCSVS was not operating correctly corresponded with, and provided support to, non-government schools to address DCSVS issues worked with states and territories and suppliers to resolve issues. States engaging directly with suppliers and schools to address DCSVS issues for government school projects. Suppliers for the most commonly used DCSVS products produced troubleshooting guides for publication on the NSSP website. distributed DCSVS information to schools and used video case-studies to promote the benefits of DCSVS in the classroom Department of Resources Energy and Tourism grosvenor management consulting 124

125 engaged with the CEC regarding suggestions to include data monitoring system training in the installer accreditation program NSSP believes that the issues associated with the DCSVS have been significantly reduced as a result of the actions undertaken following the interim evaluation. DRET and states and territories are continuing to progress the acquittal of remaining projects, including resolution of outstanding DCSVS issues. Program benefits and benchmarking The interim report also made a number of recommendations around reinforcing behavioural changes, improving educational outcomes and promoting benchmarking of information. DRET, in consultation with state and territory education departments and AuSSI representatives, implemented the following activities: produced factsheets to assist schools in understanding their solar power system and data monitoring system (DCSVS) improved the accessibility of sustainability resources, such as educational material on energy and water, by making them available on the NSSP website and promoting to schools distributed a personalised information booklet to all NSSP schools to consolidate their project information and encourage further action to educate students about renewable energy and energy efficiency. Produced video case studies, published on website and promoted through correspondence to schools, state and territory authorities and Living Greener site, to communicate the benefits obtained by schools and encourage further action. Additional work with states and territories to obtain extensive consumption data for schools pre and post installation of their project. This was designed to measure the program objective to allow schools to improve their energy efficiency and reduced their energy consumption. Areas not addressed The interim report made additional recommendations about raising community awareness to generate behavioural changes, considering the merit of alternative technologies to PV (such as solar hot water systems) and potential funding for water efficiency measures and associated educational material. As the final funding round opened shortly after completion of the interim evaluation, a decision was taken not to implement or promote alternative and additional technologies. Additionally, while the educational benefits achieved by the NSSP in schools and the community were noted, Government investment in other programs such as Low Department of Resources Energy and Tourism grosvenor management consulting 125

126 Carbon Communities were identified as seeking to raise broader awareness and generate behavioural changes. Department of Resources Energy and Tourism grosvenor management consulting 126

127 Attachment C: Further information NSSP stakeholders Due to the nature of NSSP, numerous stakeholders have a direct, or indirect, role in the program. This particularly includes bodies and Government Departments with an educational or environmental focus. Key stakeholders include: State and territory education departments the Clean Energy Council (CEC) Department of Education, Employment and Workplace Relations (DEEWR) Department of Sustainability, Environment, Water, Population and Communities (SEWPaC) through the Australian Sustainable Schools Initiative (AuSSI) State and territory AuSSI representatives Clean Energy Regulator (CER) government and non-government schools. Meetings (either in person or via phone) were held with all stakeholders to obtain input to the final evaluation. Department of Resources Energy and Tourism grosvenor management consulting 127

128 Table 20: Approved projects by state and sector Sector Government Government Non-Government School State Application CFA Claim Total Application Claim Non-Government Total Grand Total Total ACT NSW ,494 NT QLD , ,331 SA TAS VIC ,128 WA Grand Total 2,238 1, , ,424 5,310 Department of Resources Energy and Tourism grosvenor management consulting 128

129 Attachment D: National Partnership Agreement Department of Resources Energy and Tourism grosvenor management consulting 129