Energy-Efficiency Funds and Demand Response Programs, Washington

Updated July 2007

What public-purpose-funded energy efficiency programs are available in my state?

Washington has no public-purpose-funded energy efficiency programs.

What utility energy efficiency programs are available to me?

Seattle City Light offers a variety of energy efficiency programs for medium and small businesses through its Energy Smart Services initiative:

Free facility energy assessments are available to medium and large commercial customers in order to identify energy efficiency opportunities.
Financial incentives, based on annual kWh savings, are available to medium and large commercial customers for installing energy-efficient equipment, including lighting, HVAC, controls, motors, and custom measures. These incentives are available for both retrofit projects and new construction, and can cover up to 60% of the installation cost of the equipment.
For new construction projects, Seattle City and Light also offers partial funding for the design and installation of cost-effective conservation measures and building commissioning plans.
For small commercial customers, rebates for replacing inefficient lighting ($25-$65 per fixture) are available through the $mart Business Program. Any small business in Seattle City Light's service area that is on Rate Schedule ESMC or ESMS (formerly rates 31 and 56) and is not part of a chain, campus or institution is eligible for this program.
Seattle City Light offers $80 rebates to its customers on Vending Miser units. These devices reduce the energy consumption of cold drink vending machines by using an occupancy sensor to power down the lights and compressor. All rebates require an incentive contract of at least $500, and must be approved by City Light before installation.

Puget Sound Energy (PSE) offers a variety of energy efficiency programs that may interest federal customers:

Grants are available for up to 70% of the cost of lighting and HVAC upgrades at existing businesses.
Rebates are available for the installation of specific energy-saving equipment, including lighting and lighting controls, HVAC equipment, commercial kitchen and refrigeration equipment, and more.
PSE also provides funding and support to public agencies interested in hiring a Resource Conservation Manager to develop and implement a plan to manage electricity, gas, water/sewage, and solid waste costs. Typically, PSE pays 25% of the first year salary, and also provides a guarantee that resource savings will exceed the individual's salary over a period of three years.
PSE also offers a Direct Installation and Maintenance program, in which PSE's contractors install specific measures at little or no cost to the customer. Current offerings include free vending machine energy control devices, and maintenance services for rooftop HVAC units with economizers.

Avista Utilities offers Financial Incentives for electric efficiency, natural gas efficiency, and fuel-switching projects. For electric efficiency projects, incentives range from $0.04 to $0.08 per kWh saved during the first year of the project, with greater incentives provided to projects with longer payback periods. For gas, incentives range from $2.00 – 3.00 per therm. Incentives are capped at 50% of the project cost for electricity and 30% for natural gas.

PacifiCorp/Pacific Power offers two programs that federal facilities can take advantage of:

Washington Energy FinAnswer provides cash incentives for energy efficiency retrofits and new construction, equal to $0.12 per kWh of projected annual savings plus $50 per average monthly on-peak kW savings. Incentives are capped at 50% of the project cost. The program also incorporates a variety of engineering services, including facility energy analysis, detailed design assistance, competitive financing, commissioning, and post-installation savings verification.
Washington FinAnswer Express provides rebates for energy-efficient lighting, HVAC, and motor retrofits. The incentives depend on the equipment installed and are capped at 50 percent of measure costs.

Several Public Utility Districts (PUDs) and cities in Washington offer energy efficiency programs to their commercial customers. The following table lists the largest PUDs (winter peak demand > 1000 MW) along with the programs that are currently being offered.

Name of Public Utility District	Programs Offered
Snohomish County PUD No 1	Incentives and technical assistance are provided for commercial construction that incorporate qualifying energy-efficiency measures by working with customers early in the design phase of projects. For existing buildings, incentive funds are available that cover up to 70 percent of the project cost for installing energy-efficiency measures. Incentive rates for all energy-efficiency measures: $0.14 per kWh annual 1st year project savings. Cool Rebates are offered for making super-efficient refrigerators more affordable. Customers can also avail themselves of services such as energy information systems, benchmarking, and others from the PUD.
PUD No 1 of Clark County	Commercial Building Energy Assessment - a free service for identifying energy saving opportunities. Commercial/Industrial Lighting Incentive Program (CLIP) provides financial incentives (capped at $20,000) for building owners to improve the efficiency of their building's lighting. Energy Improvement Loans of up to $20,000 are available at 5% interest for up to 7 years for energy improvement investments. A $225 loan processing fee is charged for each loan.
City of Tacoma	Energy surveys are conducted to identify ways to reduce and better manage electrical power. Zero-interest loans are available for energy-efficient improvements to existing facilities. New construction or fuel switching projects are not eligible. The loan amount ranges from $1,000 to $500,000 or 70% of the project cost; whichever is less. The loan can be for 100% of the project costs if a project is $25,000 or less, or is for a 501(c)(3) or non-profit entity. Loans must be repaid in 5 years.
PUD No 1 of Cowlitz County	Financial incentives are provided to insulate and install more efficient lighting and motors. In 2005-2006, $3.0 million was disbursed for energy conservation programs (made available with credits provided by BPA conservation programs funded through utility rates).
PUD No 2 of Grant County	Financial incentives based on kWh savings are offered for any energy efficiency improvements in existing buildings. An incentive of 20 cents per one-year kWh savings and up to 60% of the cost of lighting retrofits is available. A 10-year loan at 4% for installing a qualifying heat pump is offered provided the facility currently has an electric resistance forced arc ducted heating system. Any added insulation that is cost-effective also needs to be installed and can be covered with loan funds. A free heat loss/energy efficiency analysis is available for existing commercial buildings. New commercial buildings that meet minimum non-residential energy code requirements for electric resistance heating or has installed a qualifying heat pump system as the primary heating and cooling system may qualify for an incentive.
PUD No 1 of Chelan County	The Resource$mart program pays for a portion (up to 75%) of the up-front cost to replace, retrofit, or newly install energy-efficient equipment.
PUD No 1 of Grays Harbor County	The non-residential energy conservation program provides rebates at the rate of $0.10 per annual kWh savings (up to 50% of project cost).
PUD No 1 of Lewis County	Incentives for energy efficiency services and installations (e.g., audits, lighting retrofits, etc.) for commercial customers are available on a case-by-case basis. This program is implemented as part of BPA's Conservation Rate Credit program.
PUD No 1 of Clallam County	Rebates are offered for energy-efficient lighting upgrades, insulation, windows, and heat pumps in commercial facilities.
PUD No 1 of Pend Oreille County	Design assistance, energy-saving ideas, and financial incentives are available for lowering the energy requirements of lighting, HVAC, and building envelope systems.
PUD No 3 of Mason County	Rebates are available for upgrading to higher efficiency lighting equipment.
City of Port Angeles (PDF 92 KB, 2 pp) Download Adobe Reader	Rebates are offered for improving energy efficiency through lighting retrofits and insulation upgrades in commercial buildings.

The Bonneville Power Administration (BPA) offers energy efficiency retrofits to federal agencies under its Federal Conservation Acquisition Program. In 2006, program funding was renewed through September 2009. Under this program, BPA identifies and implements energy-saving measures at federal facilities. Federal facilities located in "load following areas"—areas that are served 100% with BPA power—receive all design, engineering support services and contracting free of charge, as well as financial incentives. In addition a financing service is available to help federal agencies meet cost sharing requirements. Projects at sites served by utilities procuring only a portion of their power from BPA may still take advantage of BPA's services but must reimburse BPA for its costs. Interested federal agencies can contact Frank Brown (206-220-6774) for more information.

What load management/demand response options are available to me?

Puget Sound Energy offers the Voluntary Load Curtailment Service (PDF 135 KB, 5 pp), which provides credit to large customers for voluntarily reducing energy usage during peak periods. PSE notifies customers one day ahead of curtailment opportunities, indicating the curtailment period and the credit per kWh offered (equal to 50% of the current market price). To accept the offer, customers respond by pledging to curtail a specific load. Eligibility is limited to customers who can curtail at least 500 kW for a minimum of 1 hour. PSE's Personal Energy Management for Business program provides customers with nearly real-time access to hourly electricity consumption data for their facilities via the Internet.
Download Adobe Reader

Seattle City Light offers a dynamic pricing option, Variable Rate General Service, under which the peak and off-peak electricity charges for each day are defined based upon daily electricity market prices.

PacifiCorp/Pacific Power offers the Energy Exchange program, an internet-based, voluntary demand reduction program. PacifiCorp posts a price for each hour in which load reductions are needed, and customers may respond by pledging to curtail a specified amount of load. Participants are paid the posted price per unit of measured energy reduction in each hour of the curtailment. Eligibility is limited to customers with at least 1 MW of connected load.

BPA offers the Demand Exchange (DEMX) program, an internet-based, load reduction bidding program. Participants are alerted to hourly, one-day, and two-day price signals associated with peak load events and are able to post their willingness to participate at a price. While eligibility is limited to participants able to curtail and/or generate at least 1 MW, BPA assists customers with smaller loads to aggregate with other, similarly situated customers to meet this criterion.

What distributed energy resource options are available to me?

The Database of State Incentives for Renewable Energy (DSIRE) provides information on programs that offer incentives for renewable distributed generation. The following programs may of interest to federal customers:

Numerous public utility districs in Washington offer rebates and/or loans for solar water heating and/or photovoltaic installations. Consult the DSIRE site (above) for eligibility and terms for your location.
Using revenues generated from the sales of Green Tags, the Bonneville Environmental Foundation, a not-for-profit organization, accepts proposals for funding for renewable energy projects located in the Pacific Northwest. Any facility located in the Pacific Northwest (including Washington) may participate.

Are there energy efficiency programs sponsored by the state government?

For information on state-sponsored energy efficiency programs, contact the Energy Policy Division at the Department of Community, Trade and Economic Development.

What additional opportunities are available to me?

Pacific Northwest investor- and publicly-owned utilities, as well as public representatives, have banded together to offer energy efficiency market transformation initiatives under the auspices of the Northwest Energy Efficiency Alliance (NEEA), a non-profit organization. Federal customers should be aware of NEEA initiatives that could impact their facilities, such as commissioning of public buildings, building operator certification, efficient building practices, Lighting Design Lab, Northwest Energy Education Institute, Compressed Air Challenge, and Motor Drive Power.

Federal customers whose utilities have area-wide contracts with GSA and, by extension, all other federal agencies (e.g., Cascade Natural Gas, Clark Public Utilities, Washington Natural Gas), may take advantage of additional energy efficiency opportunities. Federal facilities should contact their account executive to determine the level of participation by their local utility.

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