Update on California?s Approach to Energy Efficiency

摘要

This paper provides an update on delivery mechanisms and financing ofCalifornia energy-efficiency programs. For several years, uncertainty has surrounded therole of utilities as program administrators and the role of third parties as programimplementers in California. This paper will summarize California Public UtilitiesCommission (CPUC) decisions regarding implementation mechanisms and funding.Interagency cooperation and increased local government involvement, including theemergence of regional energy offices, have become increasingly important in California.Additionally, the CPUC has encouraged local governments and investor-owned utilities(IOUs) to form energy-efficiency partnerships, and for 2004-2005 allocated $44.6million, nearly 10 percent of available funds, to this effort. This paper examines thesedevelopments, and compares and contrasts California?s approach to approaches in otherstates on third party involvement. Currently, California has a hybrid approach where theCPUC is acting as both an administrator and a policy making body, something that doesnot occur elsewhere.In 2002, California enacted a Community Choice Aggregation law that allowscities and counties to aggregate load within their jurisdictions and purchase energy fromnon-utilities. Community aggregators, rather than IOUs, can also administer energyefficiencyfunds. This paper provides an overview of what is permitted currently in termsof energy-efficiency for early adopters of community aggregation, and surveys howEnergy Service Providers (ESPs) are integrating energy-efficiency into their communityaggregation and direct access offerings. Currently, energy-efficiency does not appear tobe a high priority for ESPs, nor are customers seeking energy-efficiency services fromESPs.