Creating a Statewide Workforce Program Monterey, California September 4, 2014 Leveraging a National Initiative Overview National and State Context Role of EIEE Workforce Strategy Action Plan for California Integration into Sector Strategy Conclusions 2 National Initiative 20% energy reduction in commercial buildings by 2020 Reduce companies’ energy bills by $40M a year Save energy by reforming outdated incentives 3 The Need in California State Mandate: 50% of existing commercial buildings Zero Net Energy by 2030 Commercial Space: Built environment: 5 billion square feet statewide HVACR Performance: 42% of energy consumption in commercial buildings HVACR Workforce: 58,000 incumbent workers 2,000 job openings annually through 2016 4 HVACR – Heating, Ventilation, Air Conditioning, & Refrigeration Commercial Energy Efficiency Case Study: The Aventine Building in San Diego Investment of $750,000 Yielded: • $5.4M increase in building value • 40% reduction in annual utility expense savings • Under 3-year payback period • 611 metric ton reduction in CO2 • 886,509 kilowatt reduction in electricity usage • Reduced site energy use intensity to 25 (kBtu/sf) from 42 (kBtu/sf) • Reduced annual water consumption by 47% or 1,243,923 gallons 5 Market Adoption Barriers 6 California’s Workforce Challenge Workforce Required? 7 Mission: Increase energy efficiency market adoption rates to meet California’s mandates for commercial buildings Advisor: Principals: Carlos Santamaria Program Development Kevin O’Brien Technology Bill Stock Regulatory Jim Caldwell Workforce 8 Vision The Executive Institute’s Vision – Implement a realistic, yet attainable strategy of preparing the industry for AB 32 Zero Net Energy compliance • Create workforce programs and initiatives that provide a structure of “Zero Net Energy Readiness” • Enable the workforce and industry to be ready for and more easily adopt new skills and technologies • Resulting in significant on-going savings NOW - until the time emerging technologies cost effectively take us to ZNE levels 9 California Workforce Initiative 10 Workforce Gaps 11 Education & Training Gaps Misalignment with Industry Lack of Capacity Component vs System Focus Gaps in Standards Training Inconsistent Programs 12 Where to Focus? Value Chain Purchasers Building Owners and Managers Facilities Managers Energy Managers Specifiers Architects Engineers Sales Sales and Distribution Energy Auditors Installation Building Contractors Installers HVAC Technicians Sheet Metal Workers Permitting Building Inspectors Operations & Maintenance Building Operators Building Operations & Maintenance Contractors 13 HVAC Maintenance Technicians Strategic Positioning Building Operators • Address entire value chain • Inform investment decisions • Balance tenant needs & energy savings • Drive compliance & quality • Manage building as an integrated system • Oversee construction 14 Building Owner Perspective Current Focus: Fighting anti-business legislations Energy efficiency: Not a priority investment for most owners Need additional knowledge about: • Cost savings • Increased asset value • Regulatory factors - building code, utility rates, cap & trade • Contribution to regional economies Need greater confidence: • Return on investment • Compliance • Life cycle cost control What’s the workforce solution? 15 Job Task Analysis (JTA) Department of Energy (DOE) National Institute of Building Sciences (NIBS) Nationally, DOE Recognizes Need for Increased Skills in Energy Efficiency - Focused on Five Key “Energy-Related” jobs: 1. Building Energy Auditor 2. Building Commissioning Professional 3. Building Operations Professional * 4. Energy Manager 5. *Facilities Manager *Focus on Government Facilities and Federal Buildings Personnel Training Act 16 16 Job Task Analysis (JTA) Department of Energy (DOE) National Institute of Building Sciences (NIBS) WHY? • Improve quality and reduce confusion and uncertainty in commercial workforce training and certification programs • Accelerate energy savings, carbon reductions, and clean energy job creation 17 Job Task Analysis (JTA) Department of Energy (DOE) National Institute of Building Sciences (NIBS) Building Operator Job Task Analysis Support Investment Decisions HVACR Performance Analysis Investment Analysis Contractor Evaluation Manage Installation Project Management Quality Installation Initial Compliance Assure Energy Efficiency & Sustainability Whole Building Integration Quality Maintenance Ongoing Compliance Tenant Comfort 18 Life Cycle Management Ongoing Expense Reduction The Workforce Solution Priority Investment Educated Owners HVACR Performance Analysis Investment Analysis Contractor Evaluation --- Confidence Certified Contractors High Performance Building Operators Project Management Quality Installation Initial Compliance Increased Market Adoption Certified Workforce Sustainable Outcomes Whole Building Integration Quality Maintenance Ongoing Compliance Life Cycle Management Ongoing Expense Reduction 19 Success Factors for Statewide Strategy Programs that Accelerate: • Development of Zero Net Energy “Readiness” Knowledge and Skills • Industry-recognized credentials aligned with ZNE Readiness • Investment incentives for building owners and contractors • Energy Efficiency upgrade projects • Workforce development • Statewide alignment of education/training with industry needs • Regional collaborations to develop qualified workforce 20 Implementation Plan Phase 2 High Performance Building Operations Professional Phase 3 Develop Expansion Program Replication & Scaling Complete Pilot Training, Refine Curriculum Phase 1 Develop Pilot Program Complete Pilot Course Curriculum Define Program Framework & Cultivate Advisory Council 21 Overall Sector Strategy Engagement of Building Owners and Managers High Performance Building Operator Development Contractor Training & Certification Alignment of Education and Training Programs Regional Workforce Implementation Partnerships 22 Conclusions Requirements for Translating the National Initiative: • Alignment with state mandates • Savings Now Through “ZNE Readiness” Strategy • Strong local alliances & capable leadership • Capacity for replication and scaling Local Success Factors: • Commitment to AB 758 goals as the primary outcome • Market adoption as a workforce priority • Strategic occupational focus • Integration into sector strategy 23 Questions 24 Thank you Carlos Santamaria Principal Executive Institute for Energy Efficiency csantamaria@eieeconsulting.com Jim Caldwell Statewide Director & Sector Navigator Energy Efficiency & Utilities California Community Colleges jcaldwell@workforceincubator.org 25