Efficiency Coalition Follows Success
at PSC
by Mike Harman
Energy Efficient West Virginia (EEWV) formed its roots at the WV Public Service Commission (PSC) in March, 2009 as Appalachian Power Company was calling for a 43% increase in rates. WV-CAG responded to my appeal that energy efficiency and demand-side management incentives could be introduced in the rate case, based on feedback from Billy Jack Gregg, a former PSC consumer advocate.
According to the Appalachian Regional Commission, the amount of energy that could be saved by WV utilities was in the neighborhood of 20 to 30 percent of total energy sales. These figures are based on experience in a number of states with comprehensive programs and incentives to help residents as well as business and industrial customers save energy and save money.
Very capable legal representation was secured from Tom Rodd, of the Calwell Law Practice, and CAG filed a series of interventions over the next 15 months involving the two electric power giants. In each case, the PSC sided with us and ordered the companies to produce programs to help their customers achieve a modest level of energy savings.
This is a historic first for our state - the first time electric utilities have had to put resources into encouraging their customers to save energy, not use more of it!
These start-up programs will be helpful, but much more could be done with a stronger public policy and greater public support. This is the mission of EEWV-- to promote energy efficiency in every way, through policy analysis, public education, grassroots organizing, and networking with businesses, academics, and public officials. In West Virginia the climate is ripe for moving this particular agenda forward. EEWV is now meeting regularly and on the road to a more efficient energy future. Stay tuned!
Based on the Appalachian Regional Commission report, and other indicators, West Virginia has major potential to save energy at a cost-effective rate of only one to three cents per kilowatt hour, compared to a cost of future generation capacity at over ten cents.
Lighting is still the "low-hanging fruit," meaning that residents and businesses can more easily and quickly save energy through lighting upgrades than from any other measure. West Virginia has a higher than average proportion of industrial customers than most other states, and residential and business building stock is generally older and less efficient than that of other states.
While the WV PSC has shown a good level of interest in energy efficiency and demand-side management (EE/DSM), it is usually necessary to have strong enabling legislation that requires specific energy savings targets over time. West Virginia does not yet have such laws.
A big thank you to all those involved with EEWV. Energy efficiency is a crucially important step for reducing greenhouse gas emissions and a long overdue path for West Virginia utilities.
The is indeed an area where the West Virginia legislature can and should take further action.
