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building stock, but use 50%of the energy, a strategy that targets all large commercial buildings would use a participation rate of 50%. For one-time strategies such as equipment replacement or retrofits, participation rates are distributed equally across the implementation period selected for strategy adoption. For example, a participation rate of 15% for building retrofits from 2025-2040 would result in a 1%annual participation rate. For ongoing strategies such as behavior change or green power purchase, participation rates are assigned to each year of the designated implementation period. For example, a participation rate of 15%for behavior change from 2025- 2040 would result in a 15%annual participation rate. • Energy savings rate Energy savings rates are defined as the reduction in energy use from the BAU based upon the given strategy. Depending on the strategy, there may be separate energy savings rates for electricity versus natural gas. • Emissions factor Emissions factors refer to the emissions intensity of each unit of energy consumed, in tonnes of carbon dioxide equivalent per million British thermal unit (tCOZe/MMBtu). Since natural gas emission factors do not vary substantially over time, the emissions factor for natural gas remains constant at 0.05 tCO2e/MMBtu. `The emission intensity of electricity changes based on the primary energy used to generate the electricity. In this analysis, electricity supplied through the grid is assigned an emissions factor that changes over time based on the anticipated portfolio mix of each utility serving the community. In communities served by multiple utilities, their emissions factor is a weighted average and may be different for the commercial/industrial sector than it is for the residential sector based on the percentage of the total load met by each utility. Electricity supplied through renewable energy — whether from green power purchase or on -site renewables—are assigned an emissions factor of zero.7 While the BAU emissions factor is used to determine emissions savings for all efficiency strategies, the planned emissions factor is the starting point for decarbonization strategies. The planned emissions factor is the anticipated emissions factor of the grid, after applying the electric grid mix strategies. u Table GA and G3, Local Government Operations Protocol, for the Quantification and Reporting of Greenhouse Gas Emissions Inventories, Version 1.1, May 2010. 7 There is a risk of double -counting savings from renewable electricity if these savings are accounted for both within the utility's emissions factor and as a separate strategy. The emissions factors reported by Xcel Energy, for example, include the impact of W indsource customers on their grid average. Wedge Diagram Methodology I September 2017