Metrics as a Tool to Adapt Program Activitiesin Response to Energy Markets and Policy

A systematic approach to program performance metrics provides an essential tool for performance tracking and the design and adaptation of energy efficiency programs. The BestPractices (BP) and Industrial Assessment Centers (IAC) sub-programs, under the U.S. Department of Energy’s Industrial Technologies Program (ITP), use established, peer reviewed methodologies and systems for performance measurement and planning. The BP/IAC approach has four key components: 1) Recordkeeping, 2) Methodology, 3) Reporting, and 4) Planning and Management Feedback. Through seamless integration and iteration, these key components comprise the foundation for creating metrics that are consistent, defensible, and a valuable tool for responding to policy requirements and fluctuating energy markets. The paper provides an overview of the four key metrics components, touching briefly on critical issues within each that in aggregate establish the success of the approach. Examples of elements of the first three components include characterization of baseline consumption and savings potential for IAC/BP participants, centralized and uniform collection of participant data, prioritization of quantifiable activities, and reporting consistency. The paper will reveal how performance metrics are used in planning IAC and BestPractices activities to help the U.S. manufacturing industry respond to high energy prices. Within the Industrial Technologies Program and within DOE’s portfolio of Energy Efficiency and Renewable Energy Programs, both IAC and BP are recognized for their high standard of performance metrics. The intent of the paper is to share this comprehensive approach with program stakeholders, program managers, and policymakers to demonstrate its value with respect to energy program design and implementation.