Attn: Nora Gatchalian

The "Rebate Assistance" is part of CLEO's Implementation efforts. The media marketing (Newspaper, Radio & TV) and classroom training will be designed around existing Utility efficiency programs. Customers enrolling and participating in the education and training will receive Utility program summary in Chinese and will receive instructions or "Rebate Assistance" in completing these forms and participating in these programs. A toll free number will also support customers with filling up Rebate applications and provide simple phone audits. This is how CLEO's outreach efforts will intersect existing rebate programs.

    · A brief discussion on the energy audits. In your proposal, it is not clear what the outcome of the energy audits will be. What specific utility programs do you intend to translate for or recommend to the targeted communities?

CLEO will enroll 1200 residential and small business customers for Energy Efficiency education and training. 10% of them or 120 Customers will be provided with free energy audits. Chinese Energy Auditors will accompany the participants (60 residential and 60 small business customers) in performing an

Assessment of potential energy efficiency opportunities. The auditor will highlight the major energy users.

A written audit report will provide recommendations on managing energy usage and costs. The report will also include Utility programs and Rebates as applicable to residential and small commercial customers for that Program Year.

CLEO will translate all available Utility energy conservation programs for residential and small business customers for that program year. This includes but is not limited to Lighting, Heating and Cooling, Refrigeration, Appliances, and other applicable programs(Ref: SCE, and PG&E energy efficiency program web-sites as mentioned in CPUC Homepage). To create sustainability, our experienced Chinese faculty will provide classroom training, highlighting the technology and benefits of these programs.

    · Evidence that you are also in touch with and have the support of local organizations in San Francisco. CLEO is proposed to run in Los Angeles County in 2002 and in San Francisco in 2003. In your proposal, you provided letters of support and listed local organizations with whom you intend to partner. The same synergies are not evident in the PG&E/2003 part of your proposal.

Chinese Organizations in San Francisco are very enthused with the excellent value CLEO will bring to the Chinese Community. These organizations have extended their full support and have agreed to allow us use of their facilities for training and outreach. We have discussed our proposal and obtained excellent support from numerous local Chinese organizations in San Francisco. A few of them are:

`The Official Representative Association of Chinese in America'

In 2003, CLEO in San Francisco, will have the added benefit of our program experience in Los Angeles County for 2002. In fact the advantage of having an extra year to plan for CLEO in San Francisco, coupled with the learning experience in 2002, will ensure an efficient program implementation.

Thank you for providing us with the opportunity to respond. Please feel free to contact us if you need any further clarifications.

Sincerely,

Basu Mukherjee, P.E.

Vice President

Global Energy Services

Enclosures:

1. Support letter from Chinese Consolidated Benevolent Association

2. Support letter from Chinese Newcomers Service Center

Information Request Response Regarding:

The LightWash: An Efficiency Commercial Clothes Washer and Lighting Program,

Local Program Proposal

Table 2 Table 3

Table 4

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