CCW PACKET

COUNCIL COMMITTEE OF THE WHOLE AGENDA APRIL 11, 2017 - 6:00 P.M. CITY HALL COUNCIL CHAMBERS 15 LOOCKERMAN PLAZA - DOVER, DELAWARE PUBLIC COMMENTS ARE WELCOMED ON ANY ITEM AND WILL BE PERMITTED AT APPROPRIATE TIMES. WHEN POSSIBLE, PLEASE NOTIFY THE CITY CLERK (736-7008 OR E-MAIL AT CITYCLERK@DOVER.DE.US) SHOULD YOU WISH TO BE RECOGNIZED. UTILITY COMMITTEE AGENDA ADDITIONS/DELETIONS 1. PRESENTATION - ENERGY EFFICIENCY PROGRAM PROPOSAL BY DELAWARE MUNICIPAL ELECTRIC CORPORATION (DEMEC) 2. ADJOURNMENT OF UTILITY COMMITTEE MEETING ADJOURNMENT OF COUNCIL COMMITTEE OF THE WHOLE MEETING /TM S:\AGENDAS-MINUTES-PACKETS-PRESENTATIONS-ATT&EXH\COMMITTEE-AGENDAS\2017\04-11-2017 CCW AGENDA.WPD THE AGENDA ITEMS AS LISTED MAY NOT BE CONSIDERED IN SEQUENCE. PURSUANT TO 29 DEL. C. §10004(E )(2), THIS AGENDA IS SUBJECT TO CHANGE TO INCLUDE THE ADDITION OR THE DELETION OF ITEMS, INCLUDING EXECUTIVE SESSIONS, WHICH ARISE AT THE TIME OF THE MEETING.

Energy Efficiency Program Proposal for Dover, DE Randy Corbin, American Municipal Power, Inc. Dave Cawley, Efficiency Smart April 11, 2017 www.efficiencysmart.org

Overview • Energy efficiency program proposal • Benefits for the municipality and its customers • Program flexibility • Experience/reliability/guarantee • Key roles • Prospectus 2 www.efficiencysmart.org

Energy Efficiency Program in Brief • Product rebates • Engineering services • Account management • Community engagement • Marketing and promotions • Customer service • Performance tracking • Evaluation, measurement and verification 3 www.efficiencysmart.org

Key Benefits for Municipalities • Upgrade Municipal Facilities o LED streetlight conversion o Municipal Buildings o Water & Wastewater Treatment Plants • Aid in Local Economic Development o Business retention and attraction o Support businesses and contractors 4 www.efficiencysmart.org

Benefits for Municipal Electric Systems Enhance customer Reduce costs/verify results satisfaction • Cheaper than new power • Generate positive supply publicity • Reduces coincident peak • Energy awareness for • Reduces T&D charges community events • Defers T&D upgrades • Ability to bid capacity • Address high bills savings into PJM • Demonstrate sustainability 5 www.efficiencysmart.org

Key Benefits for Customers • Rebates, Incentives and Discounts • Technical Assistance • Objective Information • Account Management Services • Customer Call Center 6 www.efficiencysmart.org

Customized for Your Community Services • Community-specific savings targets • Ability to prioritize • Promotions to drive sales at local businesses • Participation in community events 7 www.efficiencysmart.org

Experience/Reliability/Guarantee • Completing 6 years, 54 municipalities served • Lifetime savings achieved o2.4 million MWh o27 MW peak demand o$200 million customer savings • Evaluation, measurement and verification oMeets national standards oQualified for PJM auction oHigh realization rates • Guarantee 70% of MWh savings target 8 www.efficiencysmart.org

Efficiency Smart = Proven Performance • AMP communities continuing “Efficiency Smart is one of the best tools I have for economic development. to ninth year of participation Its staff is responsive, diligent, and • New services continually works hard to save businesses in Bowling Green energy and money.” under development • Will help to leverage DE state - Suzanne Clark Exec. Director, Bowling programs for DEMEC Green Community members and their Development Foundation constituents 9 www.efficiencysmart.org

Roles 10 www.efficiencysmart.org

PROSPECTUS FOR ENERGY EFFICIENCY SERVICES FOR DOVER FROM EFFICIENCY SMART - APRIL 11, 2017 Profile Annual MWh Quantity of % of Annual Terms of Offer Sales1 Meters MWh Sales Information in this prospectus is provided by Efficiency Smart, a proposed Residential 211,178 19,918 28% program to provide energy efficiency services for DEMEC members, managed by American Municipal Power, Inc. (AMP), on behalf of DEMEC. The information provided in this prospectus does not constitute a legal document or an agreement Commercial 419,743 3,216 56% between the community and DEMEC. The pricing and estimated energy efficiency savings provided in this document are intended to be illustrative and indicative for the purpose of aiding the community understanding of the services that are Industrial 123,716 5 16% offered. Community information presented this document is based on information provided to DEMEC as of January, 2017. Communities that wish to obtain more information about Efficiency Smart Services are encouraged to visit the Efficiency Smart website, www.efficiencysmart.org or contact Scott Lynch, Other 0 0 0% CEM, Vice President, Asset Development Delaware Municipal Electric Corporation, Phone: 302-653-2733, slynch@demecinc.net Total 754,636 23,139 100% 1 MWh sales are based on annual DEMEC wholesale figures applied to percentage of retail MWh sales as reported by DEMEC member. www.efficiencysmart.org 11

Benefits & Costs for City of Dover Basic Comprehensive services to residential, Reduce electric wholesale MWH commercial, and industrial customers by 0.25% annually Annual MWh Savings 5,660 Lifetime MWh Savings 66,870 Lifetime Benefits $4,049,084 Average Life of Savings 11.8 years $0.90 per system retail MWh Unit Price annually Annual Cost $679,172 3-year Cost $2,037,517 Benefit to Cost Ratio 1.99 Levelized Cost per MWh $30.47 12 www.efficiencysmart.org

Thanks for Your Consideration Randy Corbin Assistant VP for Energy Efficiency American Municipal Power, Inc rcorbin@amppartners.org 614-540-0844 Dave Cawley Business Development Manager Efficiency Smart dcawley@efficiencysmart.org 877-889-3777 ext 7723 13 www.efficiencysmart.org