Identifying & Selling Energy Efficiency Projects with Wall Street Risk Management Analysis - Online
AEE Members receive $50 discount on this seminar. Use discount code "SEM50" during checkout. To become an AEE member Click Here.
NOTE: Seminar fees listed are per person for a single audio and video connection for individual use, and may not be shared with other users. All participants must individually pre-register for the desired course in order to participate. If you would like pricing information on multiple registrations for the same seminar, please contact: Terese Lavallee, phone 770-925-9633, email: terese@aeecen ter.org
This two-hour online seminar examines the process pin-pointing potentially overlooked and profitable energy efficiency investment opportunities, while effectively managing and avoiding associated risks.
AIA Learning Units Eligible
This course has been approved by AIA for continuing education credits. The AIA requires that its registered architect members earn 18 Learning Unit (LU) hours of continuing education credit annually (eight hours of which must be related to Health, Safety, and Welfare topics and four of those eight in Sustainable Design) to remain in good standing. Architectural boards in 40 states, 10 Canadian Provinces, and 19 countries have implemented mandatory continuing education (MCE) for re-licensure.
The Association of Energy Engineers is an approved training provider within the American Institute of Architects (AIA) Continuing Education Systems (CES) Registered Provider program.
You can participate in the seminar from your office, home, or anywhere you have access to the internet and a phone or VOIP. You'll have opportunities to interact with your instructor and colleagues in real time during the live two- hour teleconferencing session.
About the Seminar
Risk management incorporates weather, performance and other uncertainties in energy efficiency project analysis, identifying profitable low risk efficiency investments overlooked with traditional short payback criteria. This two-hour online seminar explains how to translate energy analysis and audit data into financial risk management results for presentation to CEOs, CFOs and other financial decision makers.
Traditional building energy efficiency investment analysis applies "best estimates" of program impacts, capital and installation costs, O&M costs and other factors to estimate expected investment returns. However, uncertainty over the actual value of these items, along with uncertainty over weather, future energy prices and other factors causes financial decision- makers to discount these “expected” results , requiring simple paybacks as short as one or one-and-a-half years.
The purpose of this course is to show how to avoid the “short-payback trap” by presenting decision-makes with financial analysis based on the widely-used Wall Street Value at Risk analysis process. This approach quantitatively combines engineering project information with important sources of uncertainty, predicting both returns and risks. This analysis puts energy efficiency and demand response investment evaluations on equal footing with other capital investments, facilitating the executive project approval process.
The instructor will review barriers to selling energy efficiency projects, energy efficiency (EE) and demand response (DR) financial analysis basics, discuss current EE and DR investment evaluation practices, review modern investment risk management fundamentals, and provide analysis examples. Risk management representations of IRR, NPV, ROI, cash flow, capitalization and greenhouse gas impacts will be presented. The course is designed to provide attendees with a thorough understanding of how to develop C-level key financial risk management performance measures based on EE and DR engineering analysis results to gain approval of energy-efficiency projects.
The following offering(s) of the Identifying Profitable Energy Efficiency Investments Online Seminar are currently scheduled. The program consists of one 2-hour teleconferencing session, for a total of 2 hours of instruction.
Times(Eastern time US)
11:00 am - 1:00 pm
Completion of the full 2-hour program is required to receive CEU and PDH Credit, and Course Certificate awarded by AEE.
The Identifying Profitable Energy Efficiency Investments Online Seminar will be presented in one 2-hour teleconferencing module, covering the following topics:
Barriers to Selling Energy Efficiency Projects
Energy Efficiency (EE) and Demand Response (DR) Financial Analysis Basics
- Time value of money, discounting, issues in evaluating financial streams
- Frequently used financial statistics including IRR, MIR, NPV, ROI, breakeven period, payback, etc.
Traditional EE and DR Financial Investment Evaluation Practices
Modern Quantitative Investment Risk Management Fundamentals
- Wall-street background and concepts
- Quantitative tools: Value at risk, expected shortfall analysis
Energy Budgets at Risk (EBaR) EE and DR Quantitative Investment Risk Analysis
- User inputs in EBaR risk analysis
- The EBaR risk analysis process
- Risk management representations of financial statistics,cash flow, capitalization, etc.
Case Study Applications: Evaluating EE/DR Investment Returns and Risks
- Lighting retrofits, retrocommissioning
- Chiller upgrades
- Evaluating returns and risks of individual and combined measures
- Options for reducing investment risks
Making the Case to financial decision- maker for EE/DR Investments with Management Financial Proposals
Your Realtime Program Instructor
JERRY JACKSON, Ph.D., an energy economist with over 35 years experience, is currently president of the consulting firm of Jackson Associates, as well as leader and research director of the Smart Grid Research Consortium. He has assisted hundreds of firms, both large and small, with energy efficiency, demand response investment, and distributed energy analyses. Dr. Jackson is also author of Energy Budgets at Risk (EBaR): A Risk Management Approach to Energy Purchase and Efficiency Choices (Wiley Finance). As creator of the EBaR risk management approach, he recently developed associated EBaR software. In addition, he holds a patent on the Market Analysis and Information System (MAISY) drill-down process, now licensed to Microsoft, Oracle, SAP and other software firms. Widely published in his fields of expertise, Dr. Jackson previously served as professor at Texas A&M University, chief of the Applied Research Division at the Georgia Tech Research Institute, and an economist at the Federal Reserve Bank of Chicago. He holds a Ph.D. in economics from the University of Florida.
Course Materials and Advance Preparations
The seminar fee covers registration for the two-hour program, seminar workbook (downloadable PDF format), course certificate, and teleconferencing services, including domestic phone charges. (International calls will have non-tollfree access.) Payment in full must be received prior to the start date of the seminar.
You will receive instructions, personal support, and a chance to test your teleconferencing connection in advance of the first session.
Enrollment in this realtime online seminar will be limited to 40 participants to ensure that each student has ample opportunity for interaction with instructors and other participants.