?Great study out of ACEEE comparing state policies.
An EERS clearly produces more EE investment, more energy saved, and better cost savings per customer than an IRP. An IRP alone rarely produces much, although it can be helpful if it includes rate de-coupling and other incentives, especially if it helps utilities meet an EERS (some states have both).
Read more below.
JBK
________________________________ From: Mark Kresowik mark.kresowik@sierraclub.org Sent: Wednesday, December 17, 2014 2:36 PM To: Bill Price; Daniel Chiotos; James Kotcon; David Muhly; David W. Sturm Subject: Fwd: IRP vs. EERS: There's one clear winner among state energy efficiency policies
Interesting take from ACEEE
---------- Forwarded message ---------- From: "ACEEE News" <aceeenews@aceee.orgmailto:aceeenews@aceee.org> Date: Dec 16, 2014 11:42 AM Subject: IRP vs. EERS: There's one clear winner among state energy efficiency policies To: <mark.kresowik@sierraclub.orgmailto:mark.kresowik@sierraclub.org> Cc:
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ACEEE BLOG POST
Media Contact: Patrick Kiker
pkiker@aceee.orgmailto:pkiker@aceee.org, (202) 507-4043
IRP vs. EERS: There's one clear winner among state energy efficiency policies
By Martin Kushler, Senior Fellow
With Ohiohttp://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67YcysjSmVFhKnuYR24Fbt4wlgXjfxDDpIsRUgWXklCdy6Bijosh2SMkozbJ2V_D3xr8ml3itdO7v0uZaztr_uurkIC0WqSdVIwnnSPPG3RxkvILH_8VRBY1qCIyKDI9ol4VlBzGPBJn6XFSdro-fEcCcmV4RtdOpvCrxUE_RQ5J3pcBOHKVBW7FJnEtQ6W0BbIc3Q==&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw== and Indianahttp://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67Ycyr5BwlDUJsY1ePhhOq1lwkP3NjIo7Mw3V8zXbwiV3YQBz9GS6NGjmDkRZZdGmEyUXuZzWjb5ALPTXyCGj9AXK_yBn2c2imQ7dcPLrf2Ycqr6ZGcuS_-fjtkGPvnA7NalQHV0nWlV2NSg2ANRciKN7DuN_VL_BbzFF85PNqDPDZYHS2ZDtEMpkDt9ryfXepLv1A==&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw== having recently made major changes to their utility energy efficiency policy, and other states like Floridahttp://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67YcylbbmGtm-sztJqtEnI37GtVrG8KdJFfMQlEaqdAOjE1-4kYjhY2OzSx-lz605R4W3RYt8X_yky0t1J6ZTtkwBsBONRuCDbdEKrqfTASAQ29tld8L61RX9EbHwhvrGSCw6wXtnzqFBVWrvxXSs6OrsQmeLL7xukTZt0YFeLMyEn1dqtBVW6uYrp-UaSCR1h8Y1w==&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw== and Arizonahttp://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67Ycyr5BwlDUJsY1jIjQMcUiDSb4M2fNOhnpMrOs0_QkfP5x65LV4YSpcfxym3SVe3cvMj-ZwfyBZZGgkwkh85eHAu51MhZbeU5AF_C3vhcHqTtIfjFTjtyiJzcRnqXcH7NQjMfQ2TEWfcDHJyK3mCNXeUWJE0y6By1RBkTOcgXnToYT1HGouCl_z-mlryuPEKEUWg==&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw== considering it, this is an important time to review the evidence about the relative effectiveness of state policies designed to encourage cost-effective energy efficiency. States have embraced energy efficiency policies because the energy savings result in lower customer energy bills, investments in the local economy, improved reliability, and reduced emissions. But not all efficiency policies are equally effective at delivering results, so let's take a closer look at two commonly touted policies for achieving energy efficiency as a utility system resource: integrated resource planning (IRP) and energy efficiency resource standards (EERShttp://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67Ycyr5BwlDUJsY1EhVj3cfttAY92nhFCIsP7U3ffMwXsXeMVCyHZjcPlYk-pVrkVXG-opjjJsYPYxwpadK7BGTZrjLIMRi29Mj_ljnSlUOSNLbShvWDd5WURQjJkp1soh_GD6FIOIObsDEO&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw==).
ACEEE has examined the relationship between these two widely utilized state energy efficiency policies and their outcomes on efficiency. The two key indicators we used to measure performance are spending on energy efficiency programs ($ as a percent of utility revenues) and annual electricity savings achieved (kWhhttp://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67Ycyr5BwlDUJsY1N6wCf2ey-bbePsZN9bM7NIwCZHzvQ5WcHnFVG1asmbYR9SaDwclJjtok420nhcILLc12iXdpAQiYUUpYfjMy3Jng852VuRtouXIkKD6Of1Bs2-juAKvIr5weFPsAgxbS&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw== as a percent of annual sales). We drew upon data on customer-funded energy efficiency programs from the recently released ACEEE State Energy Efficiency Scorecardhttp://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67Ycyr5BwlDUJsY1X5F_VQt2RkLt59Dg0qAzhGsCXUwXbTx4TlrNl-4DCyCQ2fnKg7Vrtej65U126GLMtbVSXWE5yep5Mf6c7fBlYxk2t55d25mtI_JJHkjTKx5KR1ioMj4rdGXwvhtO_2gt&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw== and supplemented that data with information from Synapse and the Regulatory Assistance Project (RAP)http://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67Ycyr5BwlDUJsY1ulM6XgA6gKZUXbXMgm7tdhsBFwCEpfRWB_Z4Gi76uVo2UInvSaSNo-rsveLzo19l6Z3SBrdBC0h2FfPAu_Zste3OwNoPYpSOzuvXe8IDLww5xnaeR89jkVSdPC5rPQhM1MjeK6IXOqXjo6IsYMSA4Q==&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw==, and Pamela Morganhttp://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67Ycyr5BwlDUJsY15M6crATy8PSg3hJPBpYwaAd-xg6qGxW3pdEVWbx84vqGIotD0OKDD5wtFBsw10GlyTn82R6h81crUinkeJERUqhG2AwYckkB18l7IGtcEpGjHha2H1CSwFdC2o9ruyITP2u0CU6mAYDS-7lK0zCsxAQf3MmjsDzLVPIhBvgeYVE1CU-36z6i94SDfc__Eli87tkIydLXgR0=&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw==.
It is important to note that every state has a unique mix of circumstances and traditions, as well as a mix of particular individuals in leadership positions at utilities and state government. These factors influence the performance of energy efficiency policies in any particular state. Nevertheless, we believe it is instructive to look at how patterns of performance vary across many states under different policy conditions. These results will be presented and discussed in more detail in a report to be released early next year, but here are our top-line observations...
To continue reading the blog post, visit: http://aceee.org/blog/2014/12/irp-vs-eers-there-s-one-clear-winner-http://r20.rs6.net/tn.jsp?f=001isYeK1dbZTwih7-myTESlNExPgalEzWWNIhdn8-pHm4SS2ku67Ycyr5BwlDUJsY1RJq2bosD4s7M6DT9FTKAkGTumE_ngWBzZcirSIu3xNztM3pm2DmQVxvj51fUY_6TJKtgENUNGwSjhT6m86wX3rYp9TESasIIm6uOkAWFlB00YP4uHLVkoGov_d8YfrNDcXRFEApQE_Rn6HKW6M_JhOBP-WbmcfDUsuvz4UNd_xM=&c=zjHM96bQGS2XDhOsdZ30c5SET62ImfQDbzEEnv4okWa8mnvUut58Sw==&ch=Q_hldcYpAXYDq_YhThOjEL4KEVjbn8W2ra4txLyS02yz95akCRJNgw==
About ACEEE: The American Council for an Energy-Efficient Economy acts as a catalyst to advance energy efficiency policies, programs, technologies, investments, and behaviors. For information about ACEEE and its programs, publications, and conferences, visit aceee.orghttp://aceee.org.
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James Kotcon