P&P 5 - Cost Effectiveness: Consumer, Contractor, & Utility Perspectives

Thursday, February 05, 2009  ·  10:20 AM - 11:50 AM

Many conservation funding and consumer installation decisions depend on someone’s financial criteria. Consumers, contractors, and utilities have different perspectives and financial drivers. Get an introduction to the basic math involved in various types of financial decisions, and an explanation of the more complicated perspective of utility planning financial criteria. Understanding cost-effectiveness issues helps utilities design and manage better programs and helps contractors sell the benefits of conservation and provide a profitable service.

By attending this session, participants will

1. Be able to calculate levelized costs, return on investment, simple payback, benefit cost ratios, and total resource cost (TRC), and understand how each one is used
2. Understand how utilities decide which conservation measures to support, and how much to pay as an incentive
3. See the context of how these issues come into play from a planning perspective, and also from an evaluation perspective

Keyword(s):

cost effectiveness, energy savings estimates, financial incentives, Integrated Resource Planning, payback, policy, program evaluation, resource planning, return on investment

Type: 90-Minute Breakout
Track: Policy & Program Issues
CEU: American Society of Home Inspectors (ASHI)   Residential Energy Services Network (RESNET)   National Association of Certified Home Inspectors (NACHI)   National Association of the Remodeling Industry (NARI)  

Course Presenter(s):

• David Baylon
• Jennifer Williamson

Course Document(s):

• P&P5_BaylonWilliamson