From: Morris L. Silver, Esq. [mlsilver@sover.net]
Sent: Friday, January 19, 2007 7:21 PM
To: PSB - Clerk; Bishop, Ann; McNamara, Ed; Ide, Robert; Allen, Riley;
Welch, Carole; Becker, John; Bruce Bentley; Hantz Presume; Blair
Hamilton; David Cawley; John Plunkett; Michael Wickenden; Adler, Aaron;
Ralph Roam
Subject: Southern Loop DSM Studies - Input to EEU Targeting
Implementation

Attachments: Commercial DI Lighting 01.10.06 (01-12-07).doc; Commercial
DI Refrigeration 01.10.06 (01-12-07).doc; Comparison Spreadsheet
01.17.06 (01-12-07).xls; Manchester Contest Outline 01.09.06
(01-12-07).doc; Manchester Draft DI Outline 01.09a.06 (01-12-07).doc;
Manchester Refrigerator replace draft 01.09.06 (01-12-07).doc; Street
Lighting (01-12-07).doc; Street Lighting 01.10.06 (01-12-07).doc;
SLoopTargetBudgets (01-11-07).xls

This transmittal provides supplemental information to help the Public Service Board, Department of Public Service and Efficiency Vermont develop a strategy for implementing targeted efficiency efforts in the Manchester/Southern Loop target area as provided for in the Order Re Geographic Targeting of Energy Efficiency Utility Funds, issued by the Board on January 8, 2007 (the “Order Re Geographic Targeting”).  In addition, this submission will serve as Central Vermont’s request to participate in the discussion regarding the design and implementation of targeted DSM in this area as well as in the Company’s St. Albans area, also selected for incremental efficiency activities pursuant to that Order.

The Manchester/Southern Loop target area, unlike the other three areas selected pursuant to the Order Re Geographic Targeting, has winter peak constraints and has been the subject of significant analysis including a public involvement process. Information on these planning efforts and related public involvement processes are available for review on the VELCO web page at
http://www.velco.com/Templates/default.asp?pageId=48 .

As a part of these efforts, DSM potential estimates and associated budgets have been developed for the Southern Loop and disaggregated into six sub-areas (West, Bromley, Stratton, East, Bennington, Brattleboro).
In the nomenclature of the targeting recommendation from the utilities that formed the basis for the Order Re Geographic Targeting, the bulls-eye is the West sub-area, the inner ring is the Bromley, Stratton and East sub areas, and the outer ring is composed of the Bennington and Brattleboro sub-areas. CVPS has also developed program designs specifically for the provision of targeted efficiency in  the Manchester area. The original intent of these programs was to piggyback on the Manchester lighting initiative and the design now could be extended to the bulls eye area. Those studies and referenced program designs are attached.

The Southern Loop DSM potential study includes a spreadsheet with capacity and energy targets as well as estimated efficiency program budgets. An additional spreadsheet is attached that illustrates the budgets in the bulls eye, inner and outer rings context. The outer ring provides much less value to the Company’s effort to defer line segments C and D described in the Company’s Southern Loop options table available at

http://www.velco.com/Files/Southern%20Loop/Station5.FourOptionsMatrix.Final.ppt.

Please note that this information has been provided to EVt/VEIC previously (except for the target budget spreadsheet) and is provided here to assure that the interested parties to the targeting goal setting efforts have the same information. CVPS staff members are available to assist in explaining the information and conducting additional analyses as necessary to facilitate this effort.

CVPS is very interested in understanding the targeting goals being adopted by the Board for EVt and needs to have this information in order coordinate the implementation of the Southern Loop non-transmission alternatives analysis for the resolution of Southern Loop reliability deficiencies. While Option 7 from the Southern Loop public involvement process (exclusive of the Coolidge Connector that is subject to on going NTA analysis) is the preliminary preferred option of the Community Working Group and is the option the Company has asked the ASC to consider, we are still reviewing all three options recommended by the CWG (7,2,4) with the entire Southern Loop Area Specific Collaborative in an effort to reach a consensus.  As noted, we are also working with VELCO to conduct continuing NTA analysis on the so-called “Coolidge Connector” which is a transmission line segment that would run from a new substation in West Dummerston to the Coolidge Substation and is currently the subject of an ongoing public involvement process.

Again, CVPS would very much like to participate with you and assist in the development of programs and targets for the areas in its service area that have been selected pursuant to the Order Re Geographic Targeting.  Your consideration of this request would be very much appreciated.

Should you have questions or difficulty with the attachments, please do not hesitate to contact us.

Subbmitted by,

Bruce Bentley and Morris Silver