SOLAR DEVELOPMENT COOPERATIVE
Lighting the Way With Creation's Original Remedy
June 15, 1998
RE:
Response to Attachment A - Page Two
Questions Regarding California Energy Commission
Renewables Technology Energy Consumer Education Program (RECE)
2. Identify/describe existing research data on consumer markets and product development, environmental preferences, demographics, etc. which either directly relates to or could be instructive for the renewable energy market and emerging technology development. Please provide documentation for market surveys and analysis which support specific CEC programs.
3. Yes, the Commission needs to do more research before deciding on consumer education direction. Most of the data is already available. The Commission needs to go through a documented analysis of decision-making processes using a variety of scenarios and then combine the most favorable. Don’t settle for the easy answer. That mistake was done in the Renewables Technology Program allocation. Use an old fashion method of listing the data, divide it into pros and cons according to each issue and agenda being determined. What and where can this consumer education fund impact the most people for the longest time? This decision-making process is important enough to take the time to reassess the Commission’s position and evaluate where they need to change direction, continue along a meaningful avenue and/or renew values. The most difficult problem in managing large transitions is taking the time to assess change, and renew commitment.
For your information, I have listed difficulties and solutions I have found during five years of market research and global policy development activities in an attempt to open my first ElectriCity® Design Studio w/BI-PV Product Showroom:
4. Based on existing market research and my own market observations, I find the following information barriers need to be overcome in order to foster a customer-driven market for renewable power or emerging technologies –basic consumer awareness about how electricity is generated, lack of information about what choices are available, concerns about verifying actual renewable purchases, reliability, cost, or other concerns?
5. Based on existing research and market observation, what education strategies are most effective on a limited budget?
6. First, define and organize the renewables technology industry into clearly defined categories:
Then qualify and quantify the consumer by type:
Create a matrix to organize criteria for decision-making:
| CONSUMERS | % US ELECTRICITY CONSUMED | PRESENT % DEMAND-SITE & DISTRIBUTED GENERATION | % ESTIMATE CONSUMER WILL EDUCATE OTHER CONSUMERS |
|---|---|---|---|
| | |||
The data for this matrix is not exact -it needs more research to be exact, but numbers are derived from known factors, it does give a realistic summary evaluation of known industry issues. This is only an exercise to provide an idea of how to take the data you already have and translate it into defined directions for the consumer education fund. I would do a consumer questionnaire to clarify any existing data -and answer other questions regarding the focus of the education itself. Include in the questionnaire and educational materials about renewables technology that will reach all consumer segments. Emphasize the importance of responding. Provide several websites to find out more about renewables. Cost if mailed by CPUC: $100,000
From the data generated, I would develop a data set of the primary energy producers to evaluate what they know, what they want to know and what would be the most economic way to educate this segment of consumers. This would be my first target audience, because they are, presently, most likely to be immediately responsive being in the midst of industry restructuring and consumer adjustment needs. They are also the most likely consumers to educate the largest segment of the remaining consumers. And finally, this group has the most resources combined with government energy audit programs and UDC education through new CPUC Rulemaking process to pay for educational activities. Thus, the primary cost would be organizational and for related printed materials. Some of these costs could be offset by funding from associated organizations like the UPVG. Although, it will likely cost the least, this will be the largest consumer education program. During this process, we will also clarify exactly what kinds of renewables technology is being produced and planned by PEP.
The second focus I would pursue is the residential consumer education primarily because they are the most likely to utilize small-scale building-integrated photovoltaics which is my primary technology market, and they have the most incentives for renewables technology. The residential consumer segment would include related industry research data from builders, mortgage bankers and appropriateness of each renewables technology for various geographic areas. After the initial questionnaire, this group would ideally respond to brochures -maybe printed by the local Chamber of Commerce for Community Renewables Technology Fairs that would probably be sponsored by the primary energy producers, local builders and the business community. Manufacturers and service industry professionals will be on hand to exhibit their products and services to communities. This could go on for a year or so, and be planned in coordination with the 50% buydown. We are at this stage completing the initial Phase I of PEP consumer education. They are now ready to try their new information out on other consumer markets, and a community fair would be ideal.
In this process, we have provided general brochures to commercial and industrial consumers. We have been tracking inquiries and phone calls through forms designed for this purpose. Several demonstration projects are going on around the state and 1% of our commercial consumers have already switched to green energy before we even begin their consumer education program. This consumer has the least incentives for renewables technology, except the fact they have bulk needs which will generate discounts and other incentives.
Thus far, we have spent a total of approximately $1 million dollars over a two year period. The Primary Energy Producers are investing more in renewables technology and our resources to serve the growing number renewables consumers is expanding at just a bit faster rate than the market. It is the year 2000, and we are ready for the Millennium push. We have prepared a variety of sponsored activities that are all discussed on the Oprah Winfrey Show in April during the American Power Conference 2000. A film documentary is getting ready to be released and several segments are shown during this interview. This program sets off a nationwide advent into the year 2003 when all states energy industries will become competitive. The California Energy Commission and the California Public Utilities Commission are leading the way nationally, and internationally as they establish this cooperative soft marketing approach to transform the energy industry.
In the meantime, a growing number of green energy providers are advertising the switch campaign. It has grown to huge proportions funded with moneys from competing companies. We have opened ten ElectriCity® Design Studios w/BI-PV Product Showrooms, and ten new BI-PV manufacturing plants have opened across the nation with three in California.
7. How should we phase in funding and education activities to maximize the effectiveness of an education campaign? Is it appropriate to hold back on a major portion of the funds until various methods of reaching the public have been tried and evaluated?
I want to emphasize, the public has been contacted time and time, again over the past twenty years. The energy industry is not ready for them. The RSVP renewables technology message has been heard loud and clear. The consumer is ready. The industry is not ready as data revealed to you, herein clearly illustrates. Do the research, yourself to be convinced. We must prepare the table for consumers, first. We must do our homework. Ask them what they know about renewables, and what they want from renewables technology. This data can be used for planning as well as for negotiating policy and sponsorship. Begin by educating the energy industry consumer before pursuing the residential and commercial markets. Phase I Residential will kick-off April 1999.
In the meantime, developer sponsored Public Service Announcements about renewables technology industry development opportunities with the $540 million dollar RTP from CEC and the Million Solar Rooftops By 2010 Program. Provide related numbers indicating who to call. These ads will be primarily directed to evening viewers -blue collar working professionals. They will also reach a large segment of residential and commercial consumers shown from 5 - 11 pm. Only pay for development of these clips, not for prime time air time. Get sponsors to fund airtime.
This is a summary schedule of how this program could come together.
Eileen M. Smith, M.Arch. Copyright © 1998 All Rights Reserved
Some Portions of Document & Programs Mentioned Herein Are
Protected By Copyright and Trademark At An Earlier Date
