Efficiency First

California PUC Proposes $3.1 Billion Investment in Energy Efficiency

A budget proposal submitted recently by the California Public Utilities Commission calls for a statewide energy efficiency initiative designed to cut electricity and natural gas consumption over the next three years. If approved, the plan would allocate $3.1 billion of utility ratepayer funding to a dozen energy efficiency programs managed by the state’s utility companies.

According to a report in the San Francisco Chronicle, the plan would increase by nearly one-third the amount that Californians spend on energy efficiency measures, potentially saving as much power as the output from three power plants. The article goes on to say that while gas and electric customers (both residential and commercial) will foot the bill for the programs:

…the commission argues that the energy efficiency effort will actually save Californians money by reducing the number of power plants and power lines that need to be built.

For every dollar spent on efficiency, Californians should save $1.40 to $1.50, according to the commission. Those who volunteer for home retrofits or use rebates to buy energy-efficient appliances would also save by cutting their own energy use.

“Even if you don’t participate, overall the utility is going to be lowering its costs, and that’s going to be passed through to you as lower rates,” said Commissioner Dian Grueneich. “And if you want to participate, you’ll save even more.”

Read the San Francisco Chronicle report here:

www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2009/08/26/BUOR19E937.DTL

Download the California PUC proposal here:

http://docs.cpuc.ca.gov/efile/PD/106166.pdf