Measurement & Verification

The purpose of measurement and verification (M&V) is to establish the potential of a project's measures to save demand and energy and to determine the actual savings produced by those measures.

The Residential and Small Commercial Standard Offer Program (Res/Com SOP) offers two measurement and verification (M&V) options that can be used for determining energy savings and incentive payments: Deemed Savings and Measured Savings.

• During the development of the Project Application, the Project Sponsor must specify which M&V option will be utilized.
• Once the M&V option is selected, the Project Sponsor must adhere to this process throughout the entire term of the Res/Com SOP Agreement.
  
  

DEEMED SAVINGS

This option provides pre-determined energy savings amounts for most of the common energy-efficiency measures. These deemed savings values have been approved by the PUCT.

This option allows for incentive payments that are more predictable and require fewer administrative resources.

Measured Savings

Simplified M&V - Lighting Retrofits 

Project Sponsors may use a variation of deemed savings for lighting retrofits. Under this approach, savings are based on engineering calculations using typical equipment characteristics and operating schedules developed for particular applications.

Other Measured Savings

The Measured Savings approach uses a high level of rigor; it involves the application of end-use metering, billing regression analysis, or computer simulation. This option may provide more accurate savings measurements, but will also add to both Project Sponsor's and to Entergy's administrative costs.

Project Sponsors selecting this option must submit an M&V plan with their Project Application.

All proposed M&V plans must be approved by Entergy before any measures may be installed.

If Entergy, in its sole judgment, determines that its own administrative costs would be substantially increased as a result of Project Sponsor's proposed M&V plan, it has the option of charging the Project Sponsor for these incremental administrative costs.

Entergy has developed general guidelines for the full M&V approaches, and project sponsors will need to adapt them to their specific projects. To view a guideline, simply click on a filename in the following table.

M&V Plan Requirements

The M&V plan describes the potential for the project to achieve demand and energy savings and describes the specific activities the project sponsor intends to perform to determine those savings.

In general, a project-specific M&V plan should:*

• Describe the project site and the project; include information on how the project saves energy and what key variables affect the realization of savings.
• Describe the M&V approach to be used.
• Indicate who will conduct the M&V activities and prepare the M&V analyses and documentation.
• Define the details of how calculations will be made. List analysis tools, such as DOE-2 computer simulations, and/or show the equations to be used. A complete "path" should be defined indicating how collected survey and metering/monitoring data will be used to calculate savings. All equations should be shown.
• Specify what metering equipment will be used, who will provide the equipment, its accuracy and calibration procedures. Include a metering schedule describing metering duration and when it will occur, and how data from the metering will be validated and reported. Include data formats. Electronic, formatted data read directly from a meter or data logger is recommended for any short- or long-term metering.
• Define what key assumptions will be made about significant variables or unknowns. For instance: "actual weather data will be used, rather than typical-year data," or "fan power will be metered for one full year for two of the six supply air systems." Describe any stipulations that will be made and the source of data for the stipulations.
• Define how any baseline adjustments will be made.
• Describe any sampling that will be used, why it is included, sample sizes, documentation on how sample sizes were selected, and information on how random sample points will be selected.
• Indicate how quality assurance will be maintained and replication confirmed. For instance: "The data being collected will be checked every month," or "to ensure sufficient accuracy, results will be subjected to third-party review by the ABC company."
• Project sponsors should work with Entergy to develop an M&V plan that is appropriate for their projects.

*1997 International Performance Measurement and Verification Protocol (IPMVP).