Demand side management already going
Monday’s approval of Demand Side Management rules for Oklahoma’s regulated utilities will bring about more permanent programs once the rules take effect in June.
Meanwhile, Oklahoma Gas and Electric Co. and Public Service Co. of Oklahoma already are operating Quick Start programs.
Public Service Co. expanded a weatherization effort for low-income residents’ homes, provided efficiency evaluations for state colleges and universities and give incentives to large commercial and industrial customers to replace lighting, chillers and motors or reduce power consumption in peak summer months. PSO’s program also encourages municipalities to replace traffic signal lights and home and small commercial builders to construct more energy-efficient structures.
Oklahoma Gas and Electric Co. gave incentives to lighting contractors to replace inefficient lighting in clients’ businesses and to residential customers to buy compact fluorescent lights, provided residential energy surveys, offered energy efficiency information to all customers through advertising, direct mail, bill inserts and through the company’s Web site, provided energy conservation kits to schools for teachers and their students, provided incentives for commercial and industrial customers to replace inefficient motors, and expanded its weatherization program for low income residents’ homes.
Commissioners approved the Demand Side Management program 2 to 1.
Chairman Jeff Cloud, who favored the program, said, “this will help us avoid having to build another power plant as quickly as we might have had to, otherwise. What we did today gives our utilities a roadmap to decide what programs to offer, and gives them an incentive to slow the growth in our power needs.”
Outgoing Commissioner Jim Roth, who favored the program, said, “We struck the right balance because it gives the customers an ability to be rewarded for every kilowatt hour of power they save, and gives the utilities an incentive to save power as well. Critics would say the program might cost a customer a dollar or two a month. But for customers who make changes, it potentially can save them $8 to $10 a month.”
Commissioner Bob Anthony voted against the program, saying utilities shouldn’t be compensated for lost revenues achieved through power savings. He also fought hard to limit costs on customers, cap what percentage of those costs could be administrative, and brought other minor changes to the rules. “Still, I compliment Chairman Cloud for getting this process accomplished. Hopefully, this program will result in considerable efficiency and savings for Oklahomans. Time will tell. I admit, I had reluctance about how fast to move forward.”
AARP Oklahoma weighs in …
AARP Oklahoma said Monday it was pleased the commission adopted the rule.
AARP, the Office of the Attorney General, environmental groups, the utilities and others have collaborated for over a year on this effort. Monday’s action addressed AARP’s top priorities for the new rules—keeping program costs to a minimum and ensuring low income households and renters have access to energy efficiency programs.
“It is very difficult for lower and fixed income households and renters to invest in energy efficiency measures, such as new refrigerators and insulation,” said Sean Voskuhl, AARP Oklahoma’s associate state director. “These rules will provide programs that reach all types of customers, allowing them to lower their energy usage and their energy.”
With energy prices on the rise, AARP has advocated for affordable, cost-effective energy efficiency programs that enable Oklahomans to lower their electric bills without sacrificing comfort, Voskuhl said.
According to the American Council for an Energy Efficient Economy,
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