Overview

Two, 2-4 family homes received solar panels installations that combined electric meters. Rental leases changed. Split incentive economics evaluated. Roof space “shared”. Affordability increased.

• Learn the process and legal permissions for combining electric meters.
• Identify a risk-mitigation pathway for a comprehensive, high performance retrofit home with landlords and renters.
• Explain applications and effort of energy modeling practices for residences.
• Name at least four benefits to deep electric retrofits.

John: community organizer, Quaker, urban farmer, reluctant landlord

John Humphries had a brief career in international irrigation management (trying to “save the world”), but dropped out of a PhD program and returned to US to work for social/political change “here at home”. He has been engaged in some flavor of community organizing for the last 25 years.

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Accomplishments

• Founding director/organizer of CT Roundtable on Climate and Jobs, with focus on dispelling the “jobs vs. environment” myth and bringing organized labor into the climate justice movement
• Organizing led to establishment of Governor’s Council on Climate Change; served as a member
• Campaign that won more aggressive state targets for emissions reduction and renewable energy
• Campaign that won state mandate for 2000 MW offshore wind by 2030

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Credentials (Ancient history)

• B.S and M.S degrees in civil engineering
• “ABD” in agricultural economics

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Mike: dad, husband, thinker, do-er

Michael S. Uhl is curious about our largest, most complex machine - the “Grid”. He has eleven years of experience as an energy engineer focused on facility energy management and distributed generation systems. He provided energy assessments and sustainable solutions to federal and commercial clients in more than six million square feet of space. He modeled over 100 microgrids across North America.

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Accomplishments

• Served as technical committee consultant for a Hawai’i utility on microgrid tariff docket.
• Led technical modelling for two community microgrid projects in New Jersey.
• Led technical and financial modelling for 12 community microgrid projects in New York State.
• Led technical and financial modelling and project development for manufacturing facility, with a total value of $35M.
• Lead Solution Engineer, AT&T Facilities Energy Improvement Program. Led energy savings performance contracting projects for AT&T facilities in excess of $6M in annual project revenue.
• Lead Engineer, Federal energy/water/sustainability audits for healthcare and national parks.
• Holds many professional certifications, including Certified Energy Manager (AEE), Certified Demand Side Manager (AEE), Certified Energy Manager International (AEE), LEED Accredited Professional (GBCI), and Building Analyst (Building Performance Institute).

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Credentials

• MS, Environmental Management, Johns Hopkins University
• BS, Mechanical Engineering, Penn State University

Residential 2-4 unit Properties in CT

and Energy-related Tenant/Landlord Issues

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18 October 2019

How can a business create conditions so the customer’s default decision is the best?

#ElectrifyEverything

Risk

Understanding the problems

Split Incentives, Utility legacy, Aged HVAC, Shared roof, Unknown energy data, Renter education

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Overwhelmed Customers, Perplexing Industry Jargon and Financials, Inadequate Tools, Distant or Indirect Impacts, Costs before Benefits

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John

Mike

Green Upgrades �for a 3-Family House

A Work in Progress

John Humphries

October 2019

House Specs

• Built: 1911
• Purchased: 2005
• Location: Hartford West End
• Owners on 1st floor; tenants on 2nd and 3rd
• 1200 sq ft (1st & 2nd); 900 sq ft (3rd)
• 2005 heating: gas boilers for 2nd & 3rd; oil boiler for 1st; 3 gas water heaters (tanks)
• 4 electric meters (each unit + owner)

Energy Upgrades

2006

2007

2008

2012 .

2016

2018

New gas boilers for 2nd & 3rd

DIY attic insulation

Replacement windows throughout

Energy audit; insulation in attic & exterior walls; wood-burning fireplace insert for 1st-floor

Solar panels & convert to single meter

Ductless mini-splits on 3rd floor (keeping gas boiler); “combi” gas boiler for 1st floor

9.66 kW solar installation

Installer: C-TEC

28 Panels: SunPower 345W

System Cost: $36,638

Customer Cost (after state/fed rebates): $22,445

Electric Upgrade: $5,192

Smart-E Loan (10 years @2.99%): $27,643

Combined meters

Solar by the Numbers

Solar with Heat Pumps*

• 3rd floor heat pumps installed in April 2018.
• July 2018 was our system’s highest monthly solar production.

• Bill savings for the month depends on the per kWh charge, but it would have been roughly $85-$100.
• Roughly 1/3 of savings attributable to increased solar production (and another chunk due to having one AC window unit on 2nd floor in 2017 but not in 2018).

Legal

Tenant Lease Impacts

It is illegal to sell tenants electricity (i.e., cannot bill them for consumption or link rent directly to consumption).

But it is legal to include utilities in the rent, and it is legal to adjust the rent in a new lease.

So for two months after solar installation, tenant received free electricity. But new lease had electricity included, with an increased rent.

Lease Language

UTILITIES. You will pay for the following utilities and services: Electricity, Air Conditioning, Telephone, Cable, Heat and Hot Water.

UTILITIES. You will pay for the following utilities and services: Telephone, Cable, Heat and Hot Water. Electricity charges are paid by us, and electricity is provided as part of the lease.

Guidance for Landlords Sharing the Sun (Mass CEC)

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Before:

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After:

Lease History

Monthly Solar

Loan Payment $287

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Avg Monthly Electric

Bill (5/18-4/19) $98

(for all 3 units)

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TOTAL $385

Where’s the LOVE*?

*Levelized Operational Value Exchange

Michael Uhl

October 2019

Learning by Doing

Mike asks for John’s advice.

• Solar with combined meters (3 to 1)
• LEDs, insulation, and airsealing (HES+)
• Mini-split heat pump
• Hybrid/heat pump water heater
• Electric stove
• EV Charger

Mike

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• Investor of two-family home
• Section 8 tenants existed
• Balanced view to “do right” by tenants, finances, & environment
• No (new) pets

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Doing by Sharing

“Jordan” asks for Mike’s advice & management.

• LEDs, insulation, and airsealing (HES+)
• Hybrid/heat pump water heater (2)
• Aeroseal ductwork
• Air source heat pumps (3+1)
• Window inserts
• Solar with combined meters (5 to 1)

“Jordan”

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• Aging-in-Place with spouse
• Health concerns limit disruption to interior spaces
• Limited income
• Balanced view to “do right” by tenants, finances, & environment
• Pet(s)

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Technical

“Measure Twice, Cut Once”

Maintenance

Obsolescence

Fixed Customer Fees

Marketable Features

Remote Property Visibility

Performance-Based Incentives

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Performance-Based Incentives

Energy Rating Indexes of Retrofit Progression

3D Energy Modeling: BEopt w/EnergyPlus: 4-Family Home

Electric Consumption History and Forecast (Cumulative): 4-Family Home

Cost

Gimme Gimme

Rent Increase Methodology for Solar (Sunny Cambridge)

Loans through Crowdfunding (Local v. National) & CT Banks

Cashflow analysis

>6%

All need Home Performance “Assembly Line”

Annual Utility Costs of Retrofit Progression: 4-Family Home

Risk

Rewards

Benefits & Resources

Health

Comfort

Flexibility

Safety

Affordability

Sustainability

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CT Green and Healthy Homes

Health Heroes for Homes

California Examples

Multi-family Examples

Economics of Electrification

#ElectrifyEverything and Home Performance 2.0

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Enabling Home and Grid Flexibility

RMI: The Economics of Electrifying Buildings 2018

Carbon Emissions of Retrofit Progression: 4-Family Home

More

Customers

Savings

Shared Goals

Predictable

Controllable

Know a “Jordan”?

Share the resources.

Asking better questions. Asking feedback. Inviting others to try. Open-sourcing solutions.

• How do we find more “Jordans”?
• What could scale these services?
• What limits the better default?
• Which renters might try ownership in this way?
• How could easy vendor access to utility data facilitate?

What’s Next

What is your first question?

Thanks for engaging!

Reach out

J. Humphries, Exec Dir/Lead Organizer

860.216.7972

john@ctclimateandjobs.org

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M. Uhl

system.smart.llc@gmail.com