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Oklahoma

 

Utility-Sector Policies

 

 

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Summary

Public Service Company of Oklahoma (PSO) has begun to implement energy efficiency programs, signaling a shift from virtually no activity to some modest efforts in the state. Results are still pending for the new efforts, which will be available soon. According to the Energy Information Administration, Oklahoma utilities spent $173,000 on energy efficiency in 2007, but did not report any MWh savings.

The Commission has also approved a shared savings program for PSO that allows for 1) an incentive of 25% of net savings for programs for which energy savings can be estimated and 2) an incentive of 15% of the costs for programs that do not produce savings such as educational or marketing programs.   


Customer Energy Efficiency Programs

Until very recently, there had been no customer energy efficiency programs available for electric or natural gas utility customers. The major investor-owned utility, Public Service Company of Oklahoma, offered no programs. A couple of small cooperative utilities reported modest spending.

In 2008, the Oklahoma Corporation Commission initiated a "Demand Programs Collaboration" to examine issues associated with the funding and provision of customer energy efficiency programs by the state's energy utilities. The Commission also approved in Cause 200700449, Order 555302 a portfolio of demand-side management programs proposed by PSO in accordance with a 2006 Commission order (Cause 200600285 Order 545168).

The proposal laid out a five-year plan and budget that estimated spending $3.95 million in 2008, ramping up to $6.25 million for the final three years. In its first year, the proposal planned to save 20,000 MWh. The programs included ENERGY STAR New Homes and Residential and Small Commercial Appliances Programs, as well as Large Commercial and Industrial Programs.

According to the Energy Information Administration, Oklahoma utilities did not report achieving any efficiency program savings in 2007.

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Program Funding

According to the Energy Information Administration, Oklahoma utilities spent $173,000 on energy efficiency in 2007, about 0.01% of total spending.

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Energy Efficiency Resource Standard

None in place or proposed.

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Decoupling

The Commission declined to adopt decoupling (termed a formula-based rate) in Cause 200600285, Order 545168 (October 2007) proposed by and for Public Service Co.  The Commission found, however, that the mechanism has merit and said it will re-examine the issue in the future if other parties wish to file proposals; revenue recovery mechanisms will be determined on a case-by-case basis.

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Reward Structures for Successful Energy Efficiency Programs

A shared savings program has been approved for PSO (Cause No. PUD 200700449; Order 555302) that allows for 1) an incentive of 25% of net savings for programs for which energy savings can be estimated and 2) an incentive of 15% of the costs for programs that do not produce savings such as educational or marketing programs.  

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Energy Efficiency as a Resource

No requirements or efforts that address energy efficiency as a system resource for planning or operation.

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Links:

Last Updated 10/19/2009

 

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For more information contact:
Dan York, Utilities Program Senior Research Associate
 
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