New Jersey Clean Energy Programs. TRC, C&I Market Manager December 15, 2011

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1 New Jersey Clean Energy Programs TRC, C&I Market Manager December 15, 2011

2 NJCEP Overview NJ SmartStart Incentives Local Government Energy Audit P4P Direct Install

3 NJ SmartStart Programs New Construction, Rehab, and Retrofit Projects $500k cap (electric/gas) Incentives not rebates Most Popular - Equipment Replacement Projects Prescriptive Custom Electric and Gas Over $259 million available in 2012

4 Prescriptive Incentives Prequalified Technologies Electric Chillers Natural Gas Cooling Electric Unitary HVAC Systems & Controls Ground Source Heat Pumps Gas Heating Water Heating LED Lighting Variable Frequency Drives NEMA Premium Motors Prescriptive & Performance Lighting Lighting Controls Refrigeration Doors/Covers and Controls

5 Prescriptive Incentives T12 Retro/Replacement T12 to T8/T5 Incentives Under 250W for retrofit ($10/fixture) Under 250W de-lamp with reflector ($20/fixture) Under 250W for replacement ($25/fixture replaced) Over 250W ($50-$200/fixture replaced) Specific technology requirements for each retro/ replacement. Application forms are easy to complete.

6 Local Government Energy Audit The Local Government Energy Audit is available for: NJ Local Governments NJ State Colleges and Universities 501(c)(3) Non-profit Agencies Covering a wide range of building types, including: Offices, Town Halls, Police Stations, Fire Stations, Courtrooms, Schools, Community Centers, etc.

7 Local Government Energy Audit Participants select from a list of pre-qualified auditing firms Program subsidizes 100% of the audit cost $100,000 annual incentive cap Audit identifies cost-effective energy saving measures Renewables evaluated Many recommended measures eligible for additional NJCEP incentives Audit can serve as the initial step towards ESIP (schools)

8 Direct Install (DI) A turn-key, retrofit program designed to address the replacement of eligible lighting, HVAC and other inefficient operational equipment Buildings 100kW peak monthly demand eligible Proposed building demand 150kW for 2012 Provides incentives of up to 60% of the project cost Proposing increase to 70% for 2012 $50k/project cap in 2011, $75k for 2012, $250k entity cap NJCEP incentives are paid directly to the contractor Customer pays remaining 40%

9 Key DI Program Features Minimal customer investment Generous incentives and fast paybacks Each project starts with a detailed no-cost measure assessment by the participating contractor Average length of time for job completion, 2-4 months All permitting and disposal included 9

10 DI Participating Contractors Participating Contractors: Assigned by region Assist with applications/agreements Guide participants through program steps Fully trained by Market Manager Install cost effective customer approved measures Process all necessary paperwork Complete list of authorized PCs posted on njcleanenergy.com 10

11 Pay for Performance Program Comprehensive, whole-building approach to saving energy in existing or new facilities Goal is to reduce facility energy consumption by 15% or more Industrial customers may meet a minimum energy savings of 100,000 kwh, 350 MMBTU or 4% of total facility consumption, whichever is greater Relies on a network of Program Partners who provide technical services under direct contract to you 11

12 Eligibility Requirements Existing Building Located in New Jersey Annual peak monthly demand in excess of 100kW 100kW requirement waived for the following customer classes: Hospitals Non-profits Public universities/colleges Governmental entities Affordable multi-family housing 12

13 Pay for Performance Incentives Participants pay Partner fees Requests for incentives filed by Partner Paid directly to participants to improve the performance of their buildings Incentives up to $1million per gas/electric meter or up to $2 million total per project, assuming there is both gas and electric savings. Additional $1 million for CHP EDA financing available ($250k to $2.5 million/project)

14 P4P Existing Building Incentives 3 incentive payments. 1 st after approval of the Energy Reduction Plan 2 nd after installation of all energy efficiency measures 3 rd after a 1 year M&V period to verify savings projections.

15 Free Benchmarking Report Benchmarking assessments are designed to help you: Understand how energy is consumed and cost trends at each building See how building(s) compare to similar buildings using EPA Portfolio Manager Identify opportunities for improving operations, reducing costs, and participating in relevant Clean Energy incentive programs

16 For more information NJCleanEnergy.com/ssb (866) NJSMART Q & A

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