Md. Advocate Wants Tougher Energy-Efficiency Targets
Maryland’s Office of People’s Counsel is recommending that regulators set tougher energy-efficiency targets for the state’s utilities.

By Michael Brooks

Maryland’s Office of People’s Counsel is recommending that regulators set tougher energy-efficiency targets for the state’s utilities, which it says are winding down their efforts.

Utilities have largely met their goals under the 2008 EmPOWER Maryland Energy Efficiency Act, which requires them to reduce electricity usage and peak demand by 15% of 2007 levels by 2015.

That’s good news for environmentalists and consumers. But according to a report by the OPC’s consultant, Vermont Energy Investment Corp., that has led to a reluctance by the utilities to continue their energy-efficiency efforts beyond what is mandated.

“While their motivations for this fact may not all be similar, VEIC suspects that a primary driver is that the 15% goals set in the 2008 legislation have come to their natural conclusion, and the utilities have for the most part met those goals,” the OPC said in a letter to the Maryland Public Service Commission. “Without a clear goal established to take the place of the 2008 legislative goals, there is nothing compelling the utilities to expand their efforts.”

Based on VEIC’s report, the OPC is recommending that the PSC direct the five utilities identified by the legislation – Baltimore Gas and Electric, Delmarva Power & Light, PEPCO, Potomac Edison and the Southern Maryland Electric Cooperative – to achieve an average annual net savings rate of 2% of 2012 residential retail sales in its 2015-2017 plans.

According to the report, Delmarva, Potomac Edison and SMECO have already met their 2015 savings goals, while PEPCO is “on track” to meet its goal. BGE, which has by far the highest goal of 3.5 million MWh, has saved nearly 2 million MWh. (See DR at Home: EmPOWER Maryland.)

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