Helping Michigan save energy. That’s our Promise. Consumers Energy Business Solutions Program 2013 Incentive Catalog Revised November 2012 Table of Contents Program Information 3 About This Program 3 Customer Eligibility 3 Program Effective Dates 3 Incentives 4 Incentive Caps And Limits 6 Project Requirements 7 Application Process 7 Incentive Specifications 9 Lighting 9 Electrical 19 Mechanical 28 Tune-Up/Maintenance 40 Kitchen, Refrigeration and Laundry 42 Envelope and Insulation 47 Custom 51 Program Application To Download an interactive application go to: ConsumersEnergy.com/mybusiness 3 11302012 About This Program Consumers Energy is offering a comprehensive set of incentive rebates as part of the Consumers Energy Business Solutions Program to facilitate the implementation of cost-effective energy efficiency improvements for business customers. An overview of the various program offerings is summarized below. The sections that follow provide detailed information on the actual incentives and specific program details related to each of the various offerings. All applicants are urged to download and review the Policies and Procedures Manual located online. Application forms for all programs are available on the Consumers Energy web site: ConsumersEnergy.com/mybusiness. Customer Eligibility The following rules pertain to customer eligibility for the Business Solutions Program: • Thisprogramisavailabletocommercialand/orindustrialcustomersofConsumersEnergy. Qualified incentives must be installed at facilities served by Consumers Energy, and projects must result in an improvement in energy efficiency. Equipment must meet the specifications as explained in this Catalog and also as set forth in the program application • Foreachsitetheremustbeatleastonemeterthatisonaneligiblerateschedule • Commonareasofmultifamilyormixed-usebuildingsareeligibleifonaneligiblerateschedule Program Effective Dates The Business Solutions Program offers incentives for the 2013 program year until funds are exhausted or until December 31, 2013, whichever comes first. All projects must be completed and Final Applications received no later than November 30, 2013, to be eligible for the 2013 program incentives. Need Help? Our team is ready to help you with any questions you may have. Call (877) 607-0737. To Download an interactive application go to: ConsumersEnergy.com/mybusiness 11302012 4 Incentives Prescriptive Incentives These Incentives are available for energy efficiency equipment upgrades and improvements including Lighting/Electrical, Mechanical, Kitchen/Refrigeration and Building Envelope. Incentives are paid based on the quantity, size and efficiency of the equipment. Incentives are provided for qualified equipment commonly installed in a retrofit or equipment replacement situation. Fulldetailsofthemeasures,incentiveamounts,andequipmentspecicationsaredetailedinthiscatalog. Custom Incentives These incentives are available to customers for less common or more complex energy saving measures installed in qualified retrofit and equipment replacement projects that are not covered by the prescriptive incentiveportionoftheprogram.Customincentivesarepaidbasedontherst-yearenergy(kWhorMCF) savings. Applicants have the option to apply for a custom incentive for projects that involve an integrated solution with both prescriptive and custom incentives. Custom incentives include measures that result in a reduction in electric and/or natural gas energy usage because of an improvement in system efficiency, i.e., a net decrease in energy use without a reduction in the level of service. Installing a lower wattage lamp in place of a higher wattage lamp of the same type will notqualifyforanincentive;however,shouldthelightingsystem(i.e.,lamp,ballastandxture)demon- strably improve the total lumens per watt delivered, an incentive will be considered. The applicant must provide sufficient back-up descriptive information, equipment performance data, operating assumptions, measurements and calculations to support the energy savings estimates. The decision as to whether or not an improvement is eligible for a custom incentive is within the sole discretion of Consumers Energy. The payback period for Custom Incentives has to be between one and eight years. The total calculated incentivecannotexceedhalfofthemeasurecost(asdescribedonpage6inCustomProjectIncentiveCaps). Payback period is calculated with the following equation: Simple Payback Period = Measure Cost (AnnualkWhSavedxElectricityRate)+ (AnnualMCFSavedxNaturalGasRate) * TheIncrementalMeasureCost(IMC)isthecostofimplementingameasure;lessanycoststhatwouldhavebeenincurredbytheapplicanttoachieve all of the project benefits, other than those resulting in the incented energy savings. The IMC can either be the incremental equipment cost or the full costofameasure;andisdeterminedbythecostbasis.Thecostbasisisderivedfrom(a)thetypeofmeasureintheapplication(retrot,replaceon burnout,ornew)and(b)whetherthemeasureisdisplacingexistingtechnology,beinginstalledinabsenceofanyexistingtechnology,orisanalternative toacompetingtechnology.Ingeneral,newconstructionandreplaceonburnoutmeasuresusetheincrementalequipmentcostastheIMC.Forretrot measures, the full cost is typically used as the IMC such as in the case where a customer installs a new technology such as an LED exit sign in place of an existing incandescent exit sign. To Download an interactive application go to: ConsumersEnergy.com/mybusiness 5 11302012 Custom Incentives (continued) Examples of custom projects include, but are not limited to, the following: • Processimprovements • Water-sideeconomizer • Processexhaustheatrecovery • Constantvolumetovariablevolumewater • Variable-speedcontrolonmotors(greaterthan250HP) • Envelope:windowlm • Upgradeofarefrigerationcompressor • Complexaircompressorimprovements • Tankinsulation Projects that are NOT eligible for an incentive include the following: • Fuelswitching(e.g.electrictogasorgastoelectric) • Changesinoperationaland/ormaintenancepracticesorsimplecontrolmodicationsnotinvolving capital costs • On-siteelectricitygeneration • Projectsthatinvolvepeak-shifting(andnotkWhsavings) • Projectsinvolvingrenewableenergy • T12LightingretrotstostandardT8uorescentlightingin4ftand8ftlamps To Download an interactive application go to: ConsumersEnergy.com/mybusiness 11302012 6 Incentive Caps And Limits Incentives are subject to limits in order to encourage equitable distribution of the funds among as many utility customers as possible. Incentive caps are annual, and are calculated based upon which program year the incentive is paid to the customer. Customer Limits The amount of incentives a facility or customer can receive is limited. A facility is defined as contiguous property for which a single customer is responsible for paying the Consumers Energy electricity and/or gasbill.Acustomerisdenedastheorganizationunderwhichthecompany(orcompanies)areownedor operated, regardless of who is responsible for paying the bill. Program year incentive limits are per facility for custom incentives as shown below. Prescriptive Incentives $150,000perfacility Custom Incentives 100percentofthecalculatedincentiveupto$150,000perfacility 50percentofthecalculatedincentiveabove$150,000perfacility Maximum $300,000 custom incentive per facility Customer Incentive Limit $750,000acrossallfacilitiespercustomer Large Gas Customers $100,000 per facility (>100,000 MCF/yr. usage) (Onlyappliestogasincentives) The incentive limits are based on actual payments per facility, and apply even if payments for some or all projects are paid to one or more contractors. A facility is defined as a continuous property for which a single customer is responsible for paying the Consumers Energy electricity and/or gas bill. A customer is defined as the organization under which the company(orcompanies)areownedoroperated,regardlessofwhoisresponsibleforpayingthebill. Prescriptive Incentive Caps The amount of a prescriptive incentive cannot exceed 100 percent of the cost of the project. Project costs may include the labor necessary to install the measure, and costs related with the disposal of the removed equipment. Internal labor costs may not be included in the total project cost. The Customer is responsible for providing sufficient documentation to validate the project costs. Custom Incentive Caps Forcustomprojects,projectincentivescannotexceed50percentofthetotalcustomprojectcostfor purchasing and installing energy efficiency measures. The project cap applies to the whole project. Internal customer labor costs cannot be included in the total project cost. Consumers Energy reserves the right to apply this cap to individual custom measures when measure costs are significantly higher than typical costs seen in this program. To Download an interactive application go to: ConsumersEnergy.com/mybusiness 7 11302012 Project Requirements The Business Solutions Program includes the following project requirements: • Projectsmustinvolveafacilityimprovementthatresultsinapermanentreductioninelectrical and/orgasenergyusage(kWhand/orMCF) • Anymeasuresinstalledatafacilitymustbesustainableandprovide100percentoftheenergy benefits as stated in the application for a period of five years or for the life of the product, whichever is less. If the customer ceases to be a delivery service customer of Consumers Energy or removes the equipment or systems at any time during the five-year period or the life of the product, the customer may be required to return a prorated amount of incentive funds to Consumers Energy • ConsumersEnergyreservestherighttoinspectproposedprojectspre-andpost-equipmentinstallation • TheBusinessSolutionsteamreservestherighttoinspectallprojectstoverifycompliancewith the program rules and verify the accuracy of project documentation. This may include pre and or post inspections, data collection, and interviews. The customer must allow access to records and installation sites for a period of three years after receipt of incentive payment *Maybeeligibleundertheself-directprogram,ifoverallBTU/hr.arereducedatthatfacility. Equipment Specifications This Catalog provides the equipment specifications for the measures eligible for incentives. Note: All equipment must be recycled/disposed of according to state, federal and local regulations. Information about the requirements for the State of Michigan can be found at the Michigan Department of Environmental Quality Web site: www.michigan.gov/deq/. Application Process The Application process is described in Section 1 of the Application which is available online at the Consumers Energy Web site, or at the back of this Catalog. If you have questions regarding the program or the Application please contact the program team at consumersenergybusinesssolutions@kema.com or(877)607-0737forassistance. To Download an interactive application go to: ConsumersEnergy.com/mybusiness 9 11302012 Lighting Light-Emitting Diode (LED) Retrofits All LED lamps, excluding exit signs, must be listed as an ap- provedproductfortheirspecicpurposebyENERGYSTAR® or the Design Lights Consortium. If the lamp is not approved by ENERGYSTARorDesignLightsConsortium,athird-partytesting reportgeneratedbyaUSDepartmentofEnergyCALiPERTesting Laboratory (refer to the following website for a list of approved laboratories: http://www1.eere.energy.gov/buildings/ssl/test_labs. html may be submitted for consideration. Testing must conform toIESNALM-79-08ElectricalandPhotometricMeasurementof Solid State Lighting Products. The report should include the fol- lowing information: a. Photometricmeasurement(i.e.,lightingoutputandefcacy) b. Colorimetryreport(i.e.,CCTandCRI) c. Electrical measurement (i.e., input voltage, current, power, powerfactor,etc.) In addition, the third-party test must verify that the lamps are in compliancewithbothIESNALM-79-08reportat0hoursand IESNALM-80-08reportat6,000hoursaftercontinuousoperation intheappropriateANSI/UL1598environment(useANSI/UL1574 fortracklightingsystems).TheLEDsthatdonotappearonthe “QualiedProducts”listofeitherENERGYSTARorDesignLights Consortium will be evaluated using the minimum performance criteriaintheappropriateproductcategoryfromeitherENERGY STAR or Design Lights Consortium for the following variable: Light outputinlumens,luminaireefcacy(LM/W),colorrenderingindex (CRI),correlatedcolortemperature(CCT),LEDlumenmaintenance at 6,000 hours, minimum warrant, and the manufacturer’s estimated lifetimeforL70(70percentlumenmaintenanceatendofusefullife). Description Incentive Unit LEDPARReplacingHalogenPAR $15.00 Lamp LEDMR16ReplacingHalogenMR16 $7.00 Lamp LED Replacing Incandescent A19 $15.00 Lamp LED Lamp Replacing Incandescent Lamp Requirements: • Availableforbothscrew-inorplug-instylebulbsusedas replacements for incandescent lamps in interior applications • Rebatesarebasedonthereplacementofincandescentlamps rated 20 to 100 watts • LampmustbeapprovedbyENERGYSTARormeetminimum ENERGYSTARrequirements To Download an interactive application go to: ConsumersEnergy.com/mybusiness 11302012 10 Lighting Compact Fluorescent Lights (CFL) TheseincentivesarenotavailableforCFLsdiscountedbyany utility company and purchased at retail stores participating in the CFLdiscountprogram.IncentivesforCFLspurchasedfromthose retailersareincludedinthediscountedprice.(DiscountedCFLs areidentiedatpointofpurchase). Description Incentive Unit CFL-Screw-In(30Worless) $2.00 Lamp CFL-Screw-In(31Wto115W) $5.00 Lamp CFL-Dimmableor3-Way $8.00 Lamp Screw-In CFL Lamps Requirements: • Screw-inCFLsmustmeetENERGYSTARcriteria • High-wattageCFLsmustreplaceexistingincandescentlamps • Dimmableor3-waymusthaveatleast45lumensperwatt • InteriorFixturesOnly • IncentiveisbasedonwattageofCFL Exit Signs, Retrofit or Replacement Description Incentive Unit LED, T1, or Electrolumicescent Exit Signs $12.50 Fixture LED, T1, or Electroluminescent Exit Signs Requirements: • High-efciencyexitsignmustreplaceorretrotanexisting incandescent exit sign • Electroluminescent,T1,andlight-emittingdiode(LED)exitsigns are eligible for this incentive • Non-electriedandremoteexitsignsarenoteligible • AllnewexitsignsorretrotexitsignsmustbeULorETLlisted, have a minimum lifetime of 10 years, and have input wattages upto2.5W/faceorupto5W/sign To Download an interactive application go to: ConsumersEnergy.com/mybusiness 11 11302012 Lighting Lighting Retrofits ForallLightingRetrots: • Manufacturer’sspecicationsheetmustaccompany theApplicationForm • Boththelampandballastmustmeetthespecicationsin order to qualify for an incentive • ForallHPandRWmeasures,thelampandballastretrot measures are based on the Consortium for Energy Efciency(CEE)high-performanceT8andreduced-wattage specication(www.cee1.org)andaresummarizedinTables 1 and 2 on this and the next page • AlistofqualiedHPandRWlampsandballastsmaybe found at www.cee1.org Standard Linear Fluorescent Retrofit Incentive Unit 2-FootT12toT8orT5(withballast) $3.00 Lamp 3-FootT12toT8orT5(withballast) $3.00 Lamp High-Performance (HP) and Reduced-Wattage (RW) Linear Fluorescent Retrofit Incentive Unit 4-FootT12toHPorRWT8(withballast) $5.00 Lamp 4-FootStandardT8toRWT8(lamponly) $0.75 Lamp 8-FootT12HOtoTwo(2)4-FootT8HPorRW $10.00 8-FootLamp Replaced Standard Linear Fluorescent Retrofit Requirements: • AvailableforreplacingexistingT12lampsandmagneticballasts withReducedWatt(RW)orHighPerformance(HP)T8orT5lamps and electronic ballasts • Thenewlampcolorrenderingindex(CRI)mustbeatleast80 • Theelectronicballastmustbehigh-frequency(atleast20kHz),UL listed, and warranted against defects for a minimum of five years • Ballastmusthaveapowerfactor(PF)atleast0.90 • Ballastsmusthavetotalharmonicdischarge(THD)upto32per- cent at full output High-Performance (HP) Linear Fluorescent Retrofit Requirements: • AvailableforreplacingexistingT12lampsandmagnetic ballastswithhigh-performanceT8lampsandelectronicballasts • ReplacementofexistingT8/T5lampsand/orxturesisnot eligible for this incentive • SeeTables1a-cforspecications Table 1a: High-Performance T8 and T5 Specifications Ballast Type Mean System Efficiency Instant Start Ballasts 90 or More Mean Lumens per Watt Programmed Rapid Start Ballasts 88orMoreMeanLumensperWatt Table 1b: Performance Specifications for Lamps Color Rendering Index (CRI) 80orMore Minimum Initial Lamp Lumens 3,100 or More Lumens * Lamp Life 24,000orMoreHours Lumen Maintenance or Minimum Mean Lumens 94%orMoreor 2900 or More Mean Lumens Table 1c: Performance Specifications for Ballasts BallastEfciencyFactor(BEF)=(BFx100)/BallastInputWatts Instant Start Ballast (BEF) Lamps Low BF ≤ 0.85 Norm 0.85 < BF ≤ 1.0 High BF ≥ 1.01 1 >3.08 > 3.11 NA 2 > 1.60 >1.58 >1.55 3 ≥1.04 ≥1.05 ≥1.04 4 ≥ 0.79 ≥0.80 ≥ 0.77 Programmed Rapid Start Ballast (BEF) 1 ≥2.84 ≥2.84 NA 2 ≥1.48 ≥1.47 ≥1.51 3 ≥ 0.97 ≥ 1.00 ≥ 1.00 4 ≥ 0.76 ≥0.75 ≥0.75 Ballast Frequency 20to33kHzoratLeast40kHz Power Factor At Least 0.90 Total Harmonic Distortion Upto20% * Forlampwithcolortemperaturesofatleast4,500k.2,950minimuminitial lamp lumens are allowed. [...]... 11302012 To Download an interactive application go to: ConsumersEnergy.com/mybusiness 36 Centralized Energy Management System (continued) Description Incentive Units $15.00 Ton Optimal Start/Stop on Air Handling Units $0.05 Square Foot $0.10 Square Foot Natural Gas Heat (Consumers Energy natural gas customers) $0.05 Square Foot Air Conditioning (Consumers Energy electric customers) $0.05 Square Foot Occupancy... application go to: ConsumersEnergy.com/mybusiness 32 Process Ventillation Reduction Incentive Units Process Heating Ventillation Reduction Description $1.50 CFM Laboratory Fume-Hood Ventilation Reduction $2.00 CFM 11302012 To Download an interactive application go to: ConsumersEnergy.com/mybusiness 33 Mechanical Manufacturing/Process Heating Ventilation Reduction (Pre-Notification Required) This incentive is... Centralized Energy Management System Description Incentive Units $0.40 Square Foot $0.27 Square Foot $0.13 Square Foot Hydronic HVAC Pump $0.04 Square Foot Critical Zone Supply Air Reset Control $20.00 Ton Mechanical Air Conditioning and Natural Gas Heat (Consumers Energy electric and natural gas customers) Energy Natural Gas Heat (Consumers Energy natural Management gas customers) System Air Conditioning (Consumers. .. injection molders are eligible for this incentive • Blankets must be installed on previously uninsulated barrels, per manufacturer recommendations • This incentive is available for Consumers Energy electric customers To Download an interactive application go to: ConsumersEnergy.com/mybusiness 23 Electrical Industrial Electric Electrical Power Management Measure Incentive Unit Intelligent Surge Protector... prescriptive incentive, but may be eligible for custom incentives • Utility-owned transformers are not eligible • Additional incremental incentives are also available for transformers exceeding the NEMA Premium efficiency values $30.25 11302012 To Download an interactive application go to: ConsumersEnergy.com/mybusiness 26 Electrical Hydronic Pumps Description Correct Sizing Hydronic Pumps Incentive Unit... this incentive • Measure applies to new systems or retrofitting existing equipment • A brushless DC motor, also known as an electically commutated motor (ECM) also qualifies for this incentive To Download an interactive application go to: ConsumersEnergy.com/mybusiness 19 Electrical Variable Frequency Drives Electrical Compressed Air Energy Audit (Pre-Notification Required) Description Compressed Air Energy. .. must be greater than one year and less than or equal to eight years to receive this incentive • The incentive cannot exceed 50 percent of the measure cost To Download an interactive application go to: ConsumersEnergy.com/mybusiness 17 Electrical Variable Frequency Drives Description VFD on HVAC Fans and HVAC Pumps Incentive Unit less than 100HP $60.00 HP 100HP or greater $40.00 HP $40.00 HP up to 50HP... Recovery Description Units $0.75 CFM Fixed-Plate Energy Recovery Unit Mechanical Incentive Enthalpy Wheel Energy Recovery Unit $0.50 CFM Enthalpy Wheel Energy Recovery Units (Pre-Notification Required) This incentive is available for integrating an enthalpy-based energy recovery (i.e., enthalpy wheels) to recover the waste energy out of exhaust air streams and to temper incoming makeup outside air streams... to: ConsumersEnergy.com/mybusiness 25 Electrical Transformers NEMA Premium Transformer (Single Phase) kVA Efficiency at 35% Load Base Incentive Incentive per 0.01% over NEMA 15 98.39% $60.00 $1.00 25 98.60% $100.00 $1.75 37.5 98.74% $150.00 $2.75 50 98.81% $150.00 $3.00 75 98.95% $225.00 $5.00 100 99.02% $300.00 $7.25 167 99.09% $340.00 $8.75 260 99.16% $500.00 $14.00 333 99.23% $670.00 $20.00 Base Incentive. .. Download an interactive application go to: ConsumersEnergy.com/mybusiness 22 Measure Battery Charger (New or replacement 3-phase, high frequency batery chargers for electric vehicles (i.e forklifts, Hi-Los, etc.)) Incentive Unit 1 Shift/Day $125.00 Unit 2 Shifts/Day $250.00 Unit Continuous $350.00 Unit Barrel Wrap Insulation - Injection Molding and Extruders (Consumers Energy Electric customers) $2.00 Ton . Michigan save energy. That’s our Promise. Consumers Energy Business Solutions Program 2013 Incentive Catalog Revised November 2012 Table of Contents Program Information 3 About This Program 3 Customer. the Consumers Energy Web site, or at the back of this Catalog. If you have questions regarding the program or the Application please contact the program team at consumersenergybusinesssolutions@kema.com. of the Consumers Energy Business Solutions Program to facilitate the implementation of cost-effective energy efficiency improvements for business customers. An overview of the various program