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Sustaining Utility Natural Gas Efficiency Programs in a Time of Low Gas Prices

October 13, 2020
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Although the low natural gas market prices of the last few years have created challenges for gas utility energy efficiency programs, these programs can still be cost-effective. This study examines the current status and future prospects of natural gas utility energy efficiency programs. We conduct a broad review of states’ natural gas efficiency results, as well as a closer examination of 10 leading states. The report cites several major national studies documenting portfolio savings results at a levelized cost of $0.40/therm or less, as well as 8 different state efficiency potential studies showing considerable remaining potential at similar costs. We identify and give examples of states with appropriate cost-effectiveness frameworks for natural gas energy efficiency, and we provide suggestions for program design modifications to help meet the challenges of lower gas prices.

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EE as a Utility Resource Efficiency Potential

Authors

martin kushler
Martin Kushler
Senior Fellow
Patti Witte
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