Welcome to the first issue of Executive Edge. This exclusive quarterly e-mail provides utility executives with a first look at industry trends and perspectives that directly impact your business. For more than 20 years, E Source has been helping utilities with critical issues involving energy efficiency, customer satisfaction, program design, marketing, profitability, and sustainability.

Published: February 24, 2010
Bill LeBlanc

States and provinces across North America are being challenged to meet rapidly growing goals for energy efficiency, some targeting over 2 percent of total load per year. How can your utility reach these accelerated savings? E Source identified several methods that are being used by top utilities.

Stop the waste. An estimated $10 billion is wasted in the U.S. each year in commercial buildings, with the top culprits being leaky ducts, running lights, and heating or cooling unoccupied spaces. But through building commissioning (tuning up buildings to run properly), existing buildings can save an average of 16 percent of overall energy use, according to an exhaustive study conducted by Lawrence Berkeley National Laboratory. Even new construction showed 13 percent savings through commissioning. Commissioning savings come at a low cost and existing buildings average a payback of 1.1 years, yet very few utilities have strong commissioning programs.

Market like it matters. Utilities often fall short in program marketing, failing to use the best practices from other industries. Several key elements include:

• Simplifying programs. It may sound trivial, but utilities can drive added market acceptance by simplifying every facet of their programs. For example, National Grid has achieved more than 50 percent market penetration in the hard-to-reach small business market by streamlining implementation for customers.
• Segmenting the market. Marketing, messaging, and channels can be customized by segmenting customers for better results. Pacificorp nearly doubled its market penetration by targeting specific geodemographic segments for its green power program.
• Leveraging trade allies. The top utilities leverage trade allies for marketing through training, advertising, referral networks, and consistent program offerings.
• Advertising. Some utilities are hitting home runs with great ads. The best ads are simple, creative, eye-catching, and they direct the reader to action. One targeted ad from Xcel Energy regarding air-conditioning rebates increased web traffic by 89 percent in one month.

Now is the time to take advantage of these top methods for accelerating energy-efficiency savings! To learn more, you can download our short presentation (PDF).

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