Many states and utilities are looking for ways to address energy affordability when deciding whether and how utilities should invest in or support distributed energy resources (DERs). This multi-day course will describe how conducting a distributional equity analysis (DEA) can be used in conjunction with benefit-cost analyses (BCA) of DERs to provide a broader decision framework that considers key metrics – such as rate and bill impacts, participation, health and safety – and their impacts on underserved (e.g., low income) customers relative to all other customers. This training is geared towards evaluation practitioners, utilities, and stakeholders.
The course will rely largely on the US DOE guidance titled: Distributional Equity Analysis for Energy Efficiency and Other Distributed Energy Resources: A Practical Guide (May 2024).
The training will describe the difference between DEA and BCA, where BCA looks at whether a proposed investment will provide net benefits for all customers on average, while a DEA considers the distribution of costs and benefits for customers with different characteristics, such as low income populations, relative to other customers. Instructors will walk through the seven stages of conducting a DEA, share definitions of priority populations from across the country; describe examples of distributional equity metrics; provide an overview of geospatial tools that can be used to support DEAs; and provide data sources and opportunities to streamline the analysis. The course will also cover example applications of DER to two states, Washington and Illinois, and will illustrate how to combine DEA results with BCA results to inform decision-making.
After this course, students will be able to
- Define what equity means to themselves and their organizations.
- Compare and contrast the differences between DEA and BCA.
- Describe examples of distributional equity metrics.
- Explain how DEAs can be used to inform a variety of decisions to advance energy equity goals.
