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State Energy Efficiency Policy Database
South Carolina
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Promotes energy efficiency for a cleaner environment, a more prosperous economy, and a higher quality of life.
South Carolina Utility Policies
South Carolina has seen progress in energy efficiency efforts from its utilities over the past few years. The state's three investor-owned utilities, Duke Energy, Progress Energy Carolinas, and South Carolina Gas and Electric, all run energy efficiency programs. South Carolina's co-operative utilities also run an on-bill financing program.
South Carolina electric utilities saved approximately 45,642 MWh with their efficiency programs in 2009. The Consortium for Energy Efficiency reports 2010 electric utility energy efficiency program budgets totaling $12.3 million.
Reported budgets for energy efficiency programs for 2011, and electricity savings for 2010, are in the State Spending and Savings Tables.
For further reading, in March 2009, as part of the State Clean Energy Resource Project, ACEEE completed the report South Carolina's Energy Future: Minding its Efficiency Resources.
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March 28, 2013
South Carolina utilities reported efficiency program savings of approximately 45,642 MWh in 2009. The state's major IOUs have ramped up programs over the past three years, and the state's co-operative utilities also offer programs.
Programs run by Duke Energy and Progress Energy Carolinas have achieved greater savings at a lower cost than estimated initially. Duke has a goal of just under 2% cumulative savings during the 4-year modified “Save-a-Watt” pilot program term.
In a settlement agreement brokered between energy efficiency advocates and two merging utilities, Progress Energy Carolinas and Duke Energy Carolinas, the merging utilities agreed to new energy efficiency programs and targets between 2014-2018. The Settlement Agreement, signed in December 2011, sets an annual energy efficiency savings target of 1% of retail sales starting in 2015 and a 7% cumulative target over the 2014-2018 time period for each utility. Achievement of the target will require successful development, regulatory approval and implementation of energy efficiency programs.
South Carolina’s electric co-operatives offer customers an on-bill financing program that allows members to reduce the upfront cost of energy efficiency investments. Leveraging the cooperatives’ existing relationships with members, the program utilizes funds from USDAs Rural Economic Loans and Grants Program (REDLG) to offer loans to customers, which are paid back on utility bills. The loans are tied to utility bills and the building’s meter, removing split incentives for homeowners who do not wish to stay in their home for the life of the loan. Electric Cooperatives of South Carolina (ECSC) estimates the program will impact 185,000-195,000 homes. See ACEEE's latest report on on-bill financing for more information.
Reported budgets for energy efficiency programs for 2011, and electricity savings for 2010, are in the State Spending and Savings Tables.
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March 28, 2013
Funding for demand-side management and energy efficiency programs is included in the utilities’ base rates. The Consortium for Energy Efficiency reports 2010 electric utility energy efficiency program budgets totaling $12.3 million.
In April 2010, Senate Bill 1096 authorized electric cooperatives and municipal electric utilities to implement financing systems for energy efficiency improvements.
Reported budgets for energy efficiency programs for 2011 are in the State Spending and Savings Tables.
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March 28, 2013
There is currently no EERS in place. For more information on Energy Efficiency Resource Standards, click here.
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March 28, 2013
The Commission approved mechanisms that allow Duke and Progress Energy to adjust rates to recover lost revenue. In 2010 South Carolina Electric & Gas Company proposed a lost revenue recovery mechanism which was approved (Docket No. 2009-261-E and Docket 200-251-E). Lost revenues are estimated prospectively annually and are trued-up annually based on actual penetration rates and energy savings data.
Links:
- Public Service Commission of South Carolina docket search
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October 12, 2012
Progress Energy Carolina and South Carolina Electric & Gas Company have shared savings incentives based on the net present value of each program using the Utility Cost Test (Docket No. 2009-261-E). The PSC recently approved Duke Energy’s avoided cost recovery plan (Docket 2007-358-E).
The Public Service Commission (PSC) may adopt procedures to encourage electric utilities to invest in cost-effective energy-efficient technologies and conservation programs (NC Statute: Title 58, Chapter 37).
Links:
- Public Service Commission of South Carolina docket search
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March 28, 2013
South Carolina’s investor-owned utilities are required to file integrated resource plans with the Public Service Commission. Some of the utilities operate demand-side management and energy efficiency programs, although such programs are not required in South Carolina. Progress Energy Carolinas and Duke Energy 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 standards required for North Carolina will probably have an effect on South Carolina customers. South Carolina is considering legislation to set standards of its own.
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March 28, 2013
- Cost-effectiveness test(s) used: No data
- Uses a deemed savings database: no
The evaluation of ratepayer-funded energy efficiency programs in South Carolina relies on both regulatory orders (SC Code Ann. Section 58-37-30) and legislative mandates (SC PSC Docket # 09-226-E (Duke), SC PSC Docket # 09-261-E (SCE&G), SC PSC Docket # 08-251-E/09-191-E/10-161-E (Progress)). Evaluations are mainly administered by the South Carolina Public Service Commission and assisted by The South Carolina Office of Regulatory Staff. Statewide evaluations are conducted. There are no specific legal requirements for these evaluations in South Carolina. No information is available on the benefit-cost test(s) used for program evaluation.
Links:
- Authority: SC Code Ann. Section 58-37-30
- Authority:SC PSC Docket # 09-226-E (Duke)
- Authority:SC PSC Docket # 09-261-E (SCE&G)
- Authority:SC PSC Docket # 08-251-E/09-191-E/10-161-E (Progress)
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March 27, 2013