Direct Install Program – An energy efficiency program design strategy involving the direct installation of measures in customer premises by a contractor sponsored by the program. Such programs generally involve one-for-one replacement of existing equipment with more efficient equipment and may include a customer rebate. Financing is sometimes part of the program offering, to facilitate the customer’s contribution to the cost of the project; some programs also buy down the interest rate.
Effective Useful Life (EUL) – An estimate of the median number of years that efficiency measures installed under a program are still in place and operable.
End-Use Metering – The direct measuring of energy consumption or demand by specific end-use equipment, typically as part of load research studies or to measure the impacts of DSM programs.
Energy – The quantity characterizing the ability of a physical system to produce external activity. Energy exists in different forms transformable one into the other; examples are mechanical, electromagnetic, chemical, thermal, and nuclear energy.
Energy Conservation – Term used to reflect doing with less of a service in order to save energy. The term is often unintentionally used instead of energy efficiency.
Energy Efficiency – The use of less energy to provide the same or an improved level of service to the energy consumer; or the use of less energy to perform the same function.
Energy Efficiency Measure – An installed piece of equipment or system, or modification of equipment, systems, or operations on end-use customer facilities that reduces the total amount of electrical or gas energy and capacity that would otherwise have been needed to deliver an equivalent or improved level of end-use service.
Energy Savings – Reduction in electricity use (kWh) or in fossil fuel use in thermal unit(s).
Equipment Life – The number of years that a measure is installed and operates until failure.
Gross kW – Expected demand reduction based on a comparison of standard or replaced equipment, and equipment installed through an energy efficiency program.
Gross kWh – Expected kWh reduction based on a comparison of standard or replaced equipment, and equipment installed through an energy efficiency program.
Incentive – A financial strategy intended to encourage a change in behavior related to energy use. Incentives can take various forms. Customer incentives are commonly used in efficiency programs as rebates for individual measures or as buy-downs in more custom oriented projects. Performance or shareholder incentives are monies that are established in a planning period to encourage program administrators to attain specified levels of savings during the program year.
Kilowatt (kW) – A measure of the rate of power used during a preset time period (e.g. minutes, hours, days or months) equal to 1,000 watts. In the abbreviation, the W is capitalized because the unit was named to honor one of Scotland’s great inventors, James Watt, who coined the term “horsepower.”
Kilowatt-Hour (kWh) – A common unit of electric energy; one kilowatt-hour is numerically equal to 1,000 watts used for one hour.
Measure Life – The length of time that a measure is expected to be functional. Measure Life is a function of equipment life and measure persistence (not savings persistence):
1) Equipment Life means the number of years that a measure is installed and will operate until failure; 2) Measure Persistence takes into account business turnover, early retirement of installed equipment, and other reasons measures might be removed or discontinued. Measure Life is sometimes referred to as expected useful life (EUL).
Off-Peak Energy kWh Savings – The kWh reduction that occurs during a specified period of off-peak hours for energy savings (e.g. Monday-Friday, 9 pm to 8 am, and all day on weekends and holidays).
On-Peak Energy kWh Savings – The kWh reduction that occurs during a specified period of on-peak hours for energy savings. (e.g. Monday-Friday, 8 a.m. to 9 p.m. and except holidays).
Rebate Program – An energy efficiency program in which the program administrator offers a financial incentive for the installation of energy-efficient equipment.
Retrofit Program – An energy efficiency program that provides incentives, information and technical support to encourage customers to replace existing and operating equipment with more efficient equipment that provides the same function.
*Source: Northeast Energy Efficiency Partnerships, www.neep.org