Energy Efficiency Screening: Application of the TRC Test

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Presented January 2013

In January 2013, Tim Woolf discussed the application of the Total Resource Cost test in evaluating the cost-effectiveness of energy efficiency during an Energy Advocates Webinar. Most states use the TRC test to evaluate the cost effectiveness of energy efficiency programs; however, most states do not apply it properly, leading to a significant undervaluation of energy efficiency benefits. In this presentation, Mr. Woolf offers recommendations on when to use the TRC test versus other cost-effectiveness tests, and how to include reasonable estimates of "other program impacts," or OPIs, which are frequently unaccounted for.