The effectivity efficiency of most main utilities within the Southeast lags far behind the remainder of the nation in ACEEE’s 2020 Utility Energy Efficiency Scorecard. The publication reinforces key findings from SACE’s current Energy Efficiency within the Southeast Annual Report, whereas offering precious nationwide context and detailed new knowledge on effectivity efficiency, packages, and coverage mechanisms.
Forest Bradley-Wright | March 20, 2020
SACE’s lately launched Energy Efficiency in the Southeast 2019 Annual Report exhibits how the South trails far behind different areas of the nation on annual energy effectivity financial savings. In reality, Duke within the Carolinas is the one utility in our area that’s even inside vary of the nationwide common, whereas most Southeastern utilities ship embarrassingly low ranges of effectivity financial savings for their prospects.
ACEEE’s Analysis Adds Key Data Insights and a National Perspective
Since its founding in 1980, the American Council for an Energy Efficient Economy (ACEEE) has been a useful useful resource for insightful evaluation and energy effectivity knowledge throughout a broad vary of topics. To put effectivity into context, ACEEE’s research has recognized overarching effectivity efficiency traits, financial impacts, coverage options, case research, and comparative benchmarks.
Last month, ACEEE launched its 2020 Utility Energy Efficiency Scorecard, a comparative rating of 52 main U.S. electrical utility corporations. The report offers precious nationwide context and knowledge evaluation that reveals what’s – and what’s not – working for effectivity within the area. ACEEE’s work provides to and reinforces key findings from SACE’s Energy Efficiency within the Southeast report, and contains some stunning outcomes.
The Southeast Trails Far Behind Other Regions of the Country
Between 2015 and 2018, the 52 main utilities in ACEEE’s utility scorecard elevated complete effectivity financial savings by 20%. This is sweet information for effectivity at massive, however it’s important to word that progress has been extremely uneven throughout particular person utilities.
Of the 52 utilities in ACEEE’s scorecard, eight have been additionally included in SACE’s 2019 EE Annual Report:
- Duke Energy Carolinas*
- Duke Energy Progress
- Georgia Power
- SCE&G / DESC
- Tampa Electric
- Duke Energy Florida
- Florida Power & Light
- Alabama Power
*Note: ACEEE listed DEC individually for North and South Carolina
Like SACE, ACEEE revealed that utilities within the Southeast have captured solely a fraction of the effectivity financial savings achieved in different components of the nation. Additionally, program buildings and enabling insurance policies for effectivity assets are far much less developed within the Southeast than in different jurisdictions.
When all three of ACEEE’s analysis standards – Program Performance, Program Offerings, and Enabling Mechanisms – are added collectively, the Southeast as a area captured solely 27% of accessible factors. This is much wanting the 64% and 52% of complete factors earned by the highest two areas, the West and Midwest. Even extra revealing, 7 out of the 10 worst performing utilities are positioned within the Southeast.
Laggards & Leaders: The Worst and Best Utilities within the Southeast
It comes as no shock that Florida Power & Light and Alabama Power posted the worst scores for all 52 utilities in ACEEE’s rating, adopted carefully by Duke Energy Florida, TECO, and SCE&G.
Alabama Power has no effectivity insurance policies or packages to converse of, explaining its final at school rating. Florida’s use of the deeply flawed Ratepayer Impact Measure take a look at to get rid of practically all value-efficient effectivity measures (no different state makes use of the RIM take a look at on this manner) helps clarify why FP&L was ranked on the very backside of the worst-performing utilities within the nation.
By distinction, Duke Carolinas, Duke Progress, and Georgia Power every carried out higher. These utilities have extra rigorous Commission oversight, extra lively stakeholder engagement, and obtain beneficiant monetary incentives for larger effectivity efficiency. In the previous 12 months, utility regulators in North Carolina and Georgia have positioned further energy effectivity necessities on Duke and Georgia Power for their future built-in useful resource planning proceedings, which will likely be one thing to watch within the coming years.
We have been most shocked by ACEEE’s comparatively low rating of Duke Energy Progress (DEP) in contrast to the leads to SACE’s personal Energy Efficiency within the Southeast Annual Report. In SACE’s report, DEP’s effectivity financial savings as a proportion of annual gross sales gave them a considerable lead over all non-Duke utilities within the Southeast. This benefit was largely blunted by the wide selection of further metrics ACEEE tracked of their utility scorecard.
As a outcome, DEP trailed far behind sister firm Duke Energy Carolinas (DEC) and was a lot nearer to Georgia Power and the Florida utilities on the ACEEE scorecard than we might have anticipated. While DEP had greater than 50% larger annual energy financial savings than Georgia Power, its scoring by ACEEE was solely half some extent larger for this metric and accounted for solely about 10% of the ultimate rating. In different phrases, this key metric in SACE’s evaluation was largely misplaced within the wash when mixed with the 19 different metrics in ACEEE’s rating system.
Flip Side of the Coin
ACEEE notes that “energy effectivity [is] a very precious instrument for greenhouse gasoline discount…particularly within the Southeast, the place there may be essentially the most potential for energy effectivity development primarily based on efficiency within the Scorecard.” Relatively low historic effectivity efficiency by Southeastern utilities truly presents an actual alternative, ought to further steps be taken to capitalize on the area’s untapped effectivity potential sooner or later. Put one other manner, from this far down, the one manner to go is up!
ACEEE’s 2020 Utility Scorecard reported on the next measures: Annual effectivity financial savings, annual spending, lifetime financial savings, efficiency in contrast to financial savings goal, residential energy assessments, value effectiveness, portfolio comprehensiveness, rising areas, low revenue packages, electrical automobiles, superior metering, knowledge entry, energy financial savings targets, buyer cost, demand prices, time of use, utility enterprise mannequin, EM&V, and useful resource planning.
This weblog is Part 4 within the sequence following the discharge of the Energy Efficiency in the Southeast 2019 Annual Report. To be taught extra in regards to the findings of the report: