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Summary
The three investor-owned utilities in the state are required to file integrated resource plans with the Public Service Commission. Some of the utilities are incorporating demand side management and energy efficiency programs. Although such programs are not currently required of the utilities, any demand side management and energy efficiency programs must be reported to the Public Service Commission through the integrated resource plan.
The commission has recently approved a portfolio of energy efficiency programs for Duke Energy and experimental programs for Progress Energy Carolinas. South Carolina Gas and Electric will soon submit a ramped-up energy efficiency program. According to the Energy Information Administration, South Carolina electric utilities spent $8.9 million on energy efficiency in 2007, saving 13,416 MWh. |
| Customer Energy Efficiency Programs |
The investor-owned utilities operating in South Carolina have several existing DSM and energy efficiency programs. They also proposed additional programs to the South Carolina Public Service Commission in their recent resource planning filings. Duke Energy currently offers a number of energy efficiency programs such as its Residential Energy Star rates for new construction, Energy Efficiency Kits and Videos for Residential Customers, and Non-Residential Energy Assessment Program. Progress Energy Carolinas provides energy audits and loans to its customers and operates the “Save the Watts” program as a consumer information resource. Residential customers are eligible for discounts on the energy and demand portions of their electricity bills if their homes meet certain thermal efficiency standards that are significantly above the existing building codes and standards. SCG&E provides home energy audits for a $25 fee. The fee is reimbursed if the homeowner implements the suggested energy efficiency measures within 90 days. Financing for such projects may also be made available. Customers who upgrade their existing homes or build highly efficient new homes may also qualify for reduced electricity rates. According to the Energy Information Administration, South Carolina utilities reported efficiency program savings of 13,416 MWh in 2007.
Duke recently had a broad portfolio of energy efficiency programs and a cost recovery mechanisms approved by the commission (Docket 2009 166-E). Progress Energy Carolinas also recently had a portfolio of experimental commercial, industrial, and governmental energy efficiency programs approved (Docket 2009 190-E). South Carolina Gas and Electric (SCG&E) also plans to roll out an expanded set of energy efficiency programs soon.
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Funding for demand side management and energy efficiency programs is included in the utilities’ base rates. According to the Energy Information Administration, South Carolina utilities spent $8.9 million on energy efficiency in 2007.
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| Energy Efficiency Resource Standard |
Not in place.
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The Commission approved a lost revenue adjustment mechanism for Progress Energy Carolinas for a limited time as part of their cost recovery mechanism. This mechanism is set to expire in 2012. (Docket 200-251-E)
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| Reward Structures for Successful Energy Efficiency Programs |
Statute (Title 58, Chapter 37) stipulates that the Public Service Commission (PSC) may adopt procedures to encourage electric utilities to invest in cost-effective energy-efficient technologies and conservation programs. Procedures must provide incentives and cost recovery mechanisms for energy suppliers and distributors who invest in energy supply and end-use technologies that are cost-effective, are environmentally acceptable, and reduce energy consumption or demand.
The SC PSC recently approved Duke Energy for an avoided cost recovery mechanism (Docket 2007-358-E).
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| Energy Efficiency as a Resource |
The three investor-owned utilities in the state are required to file integrated resource plans with the Public Service Commission. Some of the utilities are incorporating DSM and energy efficiency programs, although such programs are not required in South Carolina. Progress Energy Carolinas and Duke Energy, for example, provide energy to both North Carolina and South Carolina and are subject to North Carolina’s combined renewable and energy efficiency portfolio standard. As a result, the DSM and energy efficiency programs required for North Carolina will probably have an effect on South Carolina customers.
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Last Updated
10/19/2009
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