Skip to content

State Energy Efficiency Policy Database

Idaho

#31

Related Publications & Documents

Related Items

Related External Links

Works to accelerate the adoption of energy-efficient products, technologies, and practices.

and/or...  
Compare 2 or more States



Summary

Idaho's investor-owned utilities administer energy efficiency programs with oversight from the Idaho Public Utilities Commission (PUC). In the past, Idaho has seen notable energy savings from efficiency programs, but recently spending on energy efficiency has diminished, leading to lower levels of savings. Energy efficiency programs are supported and supplemented by regional organizations, including the Bonneville Power Administration, the Northwest Energy Efficiency Alliance and the Northwest Power and Conservation Council. Idaho has not restructured its electric utility industry and there is no legislation requiring funding for energy efficiency programs.

In 2001, the PUC ordered Idaho Power to file a comprehensive DSM plan and to implement programs. In 2002, the PUC created an energy efficiency rider to fund these programs. In 2006, the PUC required Pacificorp (via operating companies in Idaho, Utah Power and Light and Rocky Mountain Power) to file and implement a comprehensive DSM plan. The state uses an integrated resource planning process.

The most recent budgets for energy efficiency programs and electricity and natural gas savings can be found in the State Spending and Savings Tables on the left.

Links:

Top of Page

November 8, 2013


Customer Energy Efficiency Programs

Idaho's investor-owned utilities administer and implement energy efficiency programs and are regulated by the Idaho Public Utilities Commission (PUC). Utilities recover the costs of offering programs via adjusting their rates and adding a tariff rider to customer bills. Idaho’s electric efficiency utility programs are not required by legislation.

In 1989, Regulatory Order 22299 required utilities to consider cost-effective energy efficiency measures for natural gas. Currently, Questar Gas offers several natural gas programs for customers. Low-income programs are administered by the Idaho Department of Health and Welfare.

The PUC requires utilities to file and implement demand-side management (DSM) plans. In 2001, the PUC ordered Idaho Power to file a comprehensive DSM plan and implement programs. In 2006, the PUC required Pacificorp (Utah Power and Light and Rocky Mountain Power) to file and implement a comprehensive DSM plan; the utility filed a new plan in 2009.

Idaho Power offers its largest customers an option to self-direct the 4.75% energy efficiency rider that appears on all customers’ bills.  Customers have three years to complete projects and have 100% of funds available to fund up to 100% of project costs.  Self-direct projects are subject to the same criteria as projects in other efficiency programs.  More information on large customer self-direct programs can be found in the ACEEE report, Follow the Leaders: Improving Large Customer Self-Direct Programs.

The most recent budgets for energy efficiency programs and electricity and natural gas savings can be found in the State Spending and Savings Tables on the left.

Links:

Top of Page

November 8, 2013


Energy Efficiency Resource Standards

There is currently no EERS in place.  

For more information on Energy Efficiency Resource Standards, click here.


Top of Page

August 9, 2013


Alternative Business Models

Idaho Power's decoupling mechanism, called a Fixed-Cost Adjustment (FCA), was designed to provide symmetry (a surcharge or credit) when fixed cost recovery per customer varies above or below a commission-established base. The FCA was first implemented on a pilot basis for a three-year period beginning January 1, 2007 and running through December 31, 2009. The pilot was extended for two years after that and made permanent on January 31, 2013 (See Order No. 32731 in Case No. IPC-E-11-19). The FCA applies to all residential and small commercial customers. The FCA also incorporates a 3% cap on annual increases and carries over unrecovered deferred costs to subsequent years. Rate increases and credits resulting from the FCA are distributed to residential and small general service customer classes equally on an energy use basis.


Top of Page

August 9, 2013


Reward Structures for Successful Energy Efficiency Programs

Idaho Power (IPC) was approved for a three-year pilot incentive program beginning in January 2007 and ending in December 2009. During the pilot, IPC received an incentive if the market share of homes constructed under the ENERGY STAR Homes Northwest program exceeded a target percentage of new homes constructed. IPC earned an incentive if the program exceeded the market share goal (7% in 2007, 9.8% in 2008, and 11.7% in 2009). Incentives were capped at 10% of program net benefits. Penalties were levied if IPC did not meet a minimum market share percentage. On March 11, 2009, IPC requested that the pilot be discontinued retroactively as of January 1, 2009 due to then-current economic conditions. Idaho Power requested an incentive, but the request was denied in 2013 (See Order No. 32766 in Case No. IPC-E-12-24).


Top of Page

August 9, 2013


Energy Efficiency as a Resource

Idaho's investor-owned utilities are required to prepare and file integrated resource plans (IRPs) that include comprehensive demand-side management plans. The Public Utilities Commission (PUC) prepares a statewide energy plan; in the most recent plan (2012), the PUC re-emphasized objectives from the 2007 plan, that when acquiring resources, Idaho and Idaho utilities should give priority to conservation, energy efficiency and demand response.


Top of Page

August 12, 2013


Evaluation, Measurement & Verification
  • Cost-effectiveness test(s) used: TRC, UCT, PCT, RIM
  • Uses a deemed savings database: no

The evaluation of ratepayer-funded energy efficiency programs in Idaho relies on regulatory orders. Evaluations are administered by both the utilities and the Idaho Public Utilities Commission. No rules or requirements are specified, but there is a January 2009 Memorandum of Understanding (MOU) among Commission Staff and the three electric Idaho investor-owned utilities. Evaluations for each of the utilities are conducted. Idaho uses four of the five classic benefit-cost tests identified in the California Standard Practice Manual. These are the Total Resource Cost (TRC), Utility/Programs Administrator (UCT), Participant (PCT), and Ratepayer Impact Measure (RIM). Idaho does not have a primary cost-effectiveness test that it relies upon. These benefit-cost tests are required for overall portfolio, total program, customer project, and individual measure level screening, with exceptions for low-income programs, pilots, and new technologies. Measure level screening has strictly applied tests.


Top of Page

August 9, 2013