Responsive Homes + Energy Behaviour Change

MIT House_n Research Consortium Review

MIT, Cambridge, MAJune 3, 2008

Your Information Source for Home & Building Automation

Ron ZimmerCABA President & CEO

CABA Board of Directors

1.1. Martin Cullum - Bell Canada - ChairmanMartin Cullum - Bell Canada - Chairman

2.2. Leo DelZotto - Tridel Corporation - Vice-ChairLeo DelZotto - Tridel Corporation - Vice-Chair

3.3. Roy Kolasa - Honeywell International - Vice-ChairRoy Kolasa - Honeywell International - Vice-Chair

4.4. Lari Anderson, BAE SystemsLari Anderson, BAE Systems

5.5. Brian Burch - Hewlett-Packard CompanyBrian Burch - Hewlett-Packard Company

6.6. Jonathan Cluts - Microsoft CorporationJonathan Cluts - Microsoft Corporation

7.7. Robert Frazier – IBMRobert Frazier – IBM

8.8. Shalabh Goel - Cisco Systems, Inc.Shalabh Goel - Cisco Systems, Inc.

9.9. Brad Haeberle - Siemens Building Technologies, Inc.Brad Haeberle - Siemens Building Technologies, Inc.

10.10. Ron Herbst – CB Richard EllisRon Herbst – CB Richard Ellis

11.11. Daniel Hogan - Panasonic Corporation of North AmericaDaniel Hogan - Panasonic Corporation of North America

12. Robert Huggard - Direct Energy12. Robert Huggard - Direct Energy

13. Jack Merrow, Leviton Manufacturing Co., Inc.13. Jack Merrow, Leviton Manufacturing Co., Inc.

14. Dr. Satyen Mukherjee - Philips14. Dr. Satyen Mukherjee - Philips

15. Steve Nguyen - Echelon Corporation15. Steve Nguyen - Echelon Corporation

16. Carol Priefert - Whirlpool Corporation16. Carol Priefert - Whirlpool Corporation

17. Gene Shedivy - Trane17. Gene Shedivy - Trane

18. Andrew Stroede - Panduit Corp.18. Andrew Stroede - Panduit Corp.

19. Ron Wilson - Vantage/Legrand19. Ron Wilson - Vantage/Legrand

20. Ron Zimmer - Continental Automated Buildings Association 20. Ron Zimmer - Continental Automated Buildings Association (CABA)(CABA)

CABA Board of Directors

CABA Vision

“The knowledge-based forum forindustry leaders who advance the use of technology and integrated systems in the global home and building industry.”

Internet Home Alliance Research Council (IHA-RC)

Advisory Board Members:

Affiliate Members:

Going Green ResearchProject Objectives

• Define what ‘green’ means to homeowners

• Identify the outcomes that homeowners want to achieve as they manage the energy resources within their home

• Identify the constraints that homeowners face when trying to make their homes more energy efficient

• Identify the outcomes that builders have in understanding and communicating ‘green’ options to home buyers

High

I spend my money and time to take action to preserve the environment, e.g., own/lease a hybrid car, do business with companies that promote green products, donate time and/or money to local and global environmental causes, etc.

Some

I consider preserving the environment an important issue but rarely use that has a factor in my purchase decisions, e.g., recycle newspapers and plastic bottles when it’s convenient and/or conserve resources such as water, energy and gasoline but will not spend the extra money on products such as a hybrid car, energy efficient appliances to replace current appliances that run fine or donate money to environmental causes.

LittleI consider preserving the environment an important issue but do not recycle paper and plastic, use alternative methods of transportation or engage in other environmental programs that are made available

Doubtful

I consider preserving the environment more of a popular trend and am doubtful that man can have a significant impact on the environment, such as cause or reverse global warming. I am skeptical of most of the information given about the subject

Ambivalent I have no thoughts or opinions about environmental issues

Going GreenSummary of Characteristics

Consumers are willing to pay 5-10% premium for green products provided they meet criteria such as:

1) the benefits exceed the product drawbacks2) the product has low maintenance and is reliable in its operation3) noticeable improvement in energy cost4) acceptable operating cost5) a payback period that aligns with the useful life of the product6) minimal upfront costs7) financial incentives

Going GreenSummary of Characteristics

Going GreenSummary of Characteristics

When managing energy in the home, there is substantial opportunity for value creation

Consumers see ‘Green’ along manyDimensions in addition to energy

Background• CABA's Internet Home Alliance Research Council (IHA-RC, formerly operating as the Internet Home

Alliance), conducted research studies in 2003 and 2005 to assess the state of the Connected Home Market among U.S. consumers.

• This ongoing research program is designed to investigate consumer attitudes and behaviors with regard to technology and the connected home within three distinct lifestyle domains, or ‘ecosystems’: Entertainment, Family and Career. Each ecosystem is associated with a set of activities and distinct consumer roles:

– The Entertainment ecosystem includes areas such as music, video and gaming; consumers operate within this sphere as participants in leisure activity.

– The Family ecosystem includes home systems, family communications, scheduling, health and fitness and community; consumers primarily act within their roles as family members and friends.

– The Career ecosystem consists of productivity, communications, scheduling, work skills and work / life balance; consumers act in their capacity as workers, and in some cases, as owners of businesses.

• IHA-RC members commissioned a new pulse of this study for 2008 to update their understanding of the market in the U.S., and to establish a baseline for Canada.

Objectives• The 2008 State of the Connected Home Market study is designed to:

– Assess North American consumer interest in, and adoption of, consumer technology products and services within the spheres of entertainment, family and career.

– Provide strategic direction for future research projects and pilots.– Facilitate member networking and recruitment.– Enhance the organization’s reputation as a thought leader in the connected home market.

State of the Connected Home Market Study

• The 2008 State of the Connected Home Market study focuses on changes that occurred since the market was last examined, in 2005. • North American economic and market conditions during the intervening period were expected to affect interest in connected home solutions. • These factors include growth in:

– Broadband adoption.– Wi-Fi adoption at home, and availability in public places.– Video gaming—including growing numbers of female and adult players.– Mobile entertainment devices and ‘converged’ devices – such as portable multimedia players and phones that play both music and video.– Online social networking.– On-demand content availability, both on the Internet and through traditional cable and satellite TV providers.– High-definition content availability.

• Another factor potentially driving interest in connected home technology is increased consumer concern about managing energy costs in light of steadily rising fuel prices.

Background and Objectives

Only a minority continue to find the connected home concept ‘very appealing.’ However, U.S. consumers are more neutral (less negative) about the idea now than they were in the past.

When asked about the appeal of the connected home concept (where independent systems are linked and centrally controlled), U.S. consumers are a bit more positive than their Canadian counterparts.

• Nearly one-fourth of U.S. online households consider the idea ‘definitely appealing,’ while only 14% of Canadians are so inclined.

The percentage of U.S. online households that consider the connected home concept to be ‘definitely appealing’ is essentially unchanged since 2005. However, fewer consider it unappealing now than did three years ago.

• This shift has occurred entirely among mass market consumers; primary market (lead adopter) consumers are unchanged in their enthusiasm for the concept.

Entertainment applications continue to garner the most interest, though mass market consumers are less interested now than in 2005. Interest in work productivity is up slightly.

While interest in media entertainment for the home continues to outpace other areas, the percentage in the U.S. who are ‘very interested’ has slipped from about two-fifths in 2005 to about one-third in 2008.

• This is due to a drop in interest among mass market consumers. Primary market consumers remain as interested now as in the past.

Less than one-sixth of online households are interested in the general idea of using technology to automate/control home systems or streamline household tasks.

• Nearly all with such an interest are primary market consumers.

In the U.S., about one-sixth are interested in improving remote work productivity, compared to about one-tenth in Canada.

• Interest in picked up slightly in the U.S. since 2005, driven by a small increase in the number of computer workers among online households.

0% 100%

% Who SayConnected

Home isVery

AppealingCanada 14%

U.S. 23%

Executive Summary Key Findings

New CABA Brand

Intelligent Buildings

Intelligent Buildings Roadmap Steering Committee

1.1. Cisco Systems, Inc.Cisco Systems, Inc.

2.2. Delta Controls Inc.Delta Controls Inc.

3.3. Direct Energy Direct Energy

4.4. HID CorporationHID Corporation

5.5. Honeywell InternationalHoneywell International

6.6. InfoComm International®InfoComm International®

7.7. Johnson Controls Ltd.Johnson Controls Ltd.

8.8. Lawrence Berkeley National Lawrence Berkeley National LaboratoryLaboratory

9.9. Lutron Electronics Co. Inc.Lutron Electronics Co. Inc.

10.10. Panduit Corp.Panduit Corp.

11.11. Siemens Building Technologies, Siemens Building Technologies, Inc.Inc.

12.12. The Watt Stopper/LegrandThe Watt Stopper/Legrand

13.13. TACTAC

14.14. TraneTrane

15.15. TridiumTridium

Intelligent Buildings Roadmap

May, 2007

http://www.caba.org/ibrm

FREE Executive Summary

AND THE SURVEY SAYS?

Buildings39%

Industry

33%

Transportation28%

Buildings use 71%of electricity

21%

18%18%

Why Buildings: Huge Opportunities

Residential

Heating 32%

Other 4%

WaterHeat 13%

Computers 1%

Cooling 10%

Refrigeration 9%

Lights 12%

Electronics 5%Wash 5% Cooking 5%

Source: 2004 Buildings Energy Databook with SEDS distributed to all end-uses

Commercial

Other 10%

Lights 28%

Heating16%Cooling

13%Water Heat 7%

Ventilation 7%

Cooking 2%Computers 3%

Office Equip 7%

Refrigeration 4%

CABA RESEARCH

CABA’s Intelligent & Integrated Buildings Council

• Towards Carbon Neutral Industrial Facilities • Convergence of Green and Intelligent Buildings

Towards Carbon Neutral Industrial Facilities

Participating organizations:

• Alerton • AMX Corporation • BAE Systems• Distech Controls Inc.• Eaton Corporation• Gridlogix, Inc.• RealFoundations

• RFArrays• Sloan Monitored Systems• Texas Instruments• Trane• Zurn Engineered Water Solutions

* Research completed by Carnegie Mellon University

Convergence of Green and Intelligent Buildings Research

Confirmed organizations:

• BAE Systems• Cisco Systems• CommScope• Delta Controls• Encelium• Global Environment Fund• Herman Miller• InfoComm International• Ortronics and The Watt Stopper/Legrand * Research to be completed by

Frost & Sullivan

• Johnson Controls• Natural Resources Canada• Panduit Corp.• Robinson Solutions• Sloan Monitored Systems• Trane• Tridel Corporation

YYoouurr IInnffoorrmmaattiioonn SSoouurrccee ffoorr HHoommee && BBuuiillddiinngg AAuuttoommaattiioonn

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