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2013 -2014 Energy Efficiency Programs <br />Local Government Partnership Program <br />Program Implementation Plan <br />LGPs using third party direct install programs will coordinate with third party direct install <br />contractors to determine which areas of the community should be the focus of the direct install <br />contractors marketing efforts. The direct install contracts will be coordinated with the LGPs by <br />establishing agreements between the contractors and the LGPs that specify which customers and <br />geographic areas each contractor is eligible to serve. This method provides a more orderly <br />approach to using the limited number of contractors to reach the widest population in the state in <br />a consistent manner. Each direct installation implementer will work with their assigned LGP to <br />develop a marketing strategy for their assigned LGP territory. Each LGP with Direct Install <br />element in their program will have a direct install budget that will augment the third party <br />contract funds. Each project implemented and coordinated within a LGP community will be <br />funded by the GP program and the associated savings will be allocated to the GP. <br />C3 — Technical Assistance <br />Technical assistance is available to LGPs to provide audits, engineering calculations, reports and <br />inspections. Additionally, partnerships will take a strategic market plan approach to address the <br />customers with the largest potential or the biggest need. These efforts will be conducted with <br />other third party and Core programs. <br />5 - Program Element Rationale and Expected Outcome — Element C Core Program <br />Coordination <br />a) Quantitative Baseline and Market Transformation Information <br />Market Transformation (MT) metrics proposed in Tables 3 and 4 are preliminary. The <br />proposed metrics are meant to initiate a collaborative effort to elaborate meaningful metrics <br />that will provide overall indicators of how markets as a whole are evolving. MT metrics <br />should neither be used for short-term analyses nor for specific program analyses; rather, <br />should focus on broad market segments. <br />Market transformation is embraced as an ideal end state resulting from the collective efforts <br />of the energy efficiency field, but differing understandings of both the MT process and the <br />successful end state have not yet converged. The CPUC defines the end state of MT as <br />"Long- lasting sustainable changes in the structure or functioning of a market achieved by <br />reducing barriers to the adoption of energy efficiency measures to the point where further <br />publicly - funded intervention is no longer appropriate in that specific market. "31 The Strategic <br />Plan recognizes that process of transformation is harder to define than its end state, and that <br />new programs are needed to support the continuous transformation of markets arotmd <br />successive generations of new technologies 32. <br />Market transformation programs differ from resource acquisition programs on 1) objectives, <br />2) geographical and 3) temporal dimensions, 4) baselines, 5) performance metrics, 6) <br />program delivery mechanisms, 7) target populations, 8) attribution of causal relationships, <br />and 9) market structures33. Markets are social institutions34, and transformation requires the <br />California Public Utilities Commission Decision, D.98 -04 -063, Appendix A. <br />California Public Utilities Commission (2008) California Long Terin Energy Efficiency Strategic Plan, p. 5. Available at <br />http: / /www.cal iforniaenergyefficiency,com /does /EEStrategiePlaapdf <br />" Peloza, J., and York, D. (1999). "Market Transformation: A Guide for Program Developers." Energy Center of Wisconsin. <br />Available at: http: / /www.ecw.org /ecwresults /189 -Lpdf <br />