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Indiana Office of Utility Consumer Counselor

OUCC > Featured Topics > Demand Side Management/Energy Efficiency Demand Side Management/Energy Efficiency

Indiana's five investor-owned electric utilities are offering five core energy efficiency programs under the Energizing Indiana initiative. Energizing Indiana - a statewide collaborative including the Indiana Office of Utility Consumer Counselor (OUCC), other consumer organizations, and utilities - was launched in 2012. By law, the initiative will conclude at the end of 2014 with some of its programs to be phased out in the coming weeks.

Ongoing proceedings

All Indiana investor owned electric utilities have requested Indiana Utility Regulatory Commission (IURC) approval to continue energy efficiency programs through 2015, with each utility managing its respective programs. The cases and their respective cause numbers are:

  • Duke Energy: IURC Cause No. 43955 DSM-02
  • Indiana Michigan Power (I&M): IURC Cause No. 44486  
  • IPL: IURC Cause No. 44497
  • NIPSCO: IURC Cause No. 44496 
  • Vectren: IURC Cause No. 44495

A settlement agreement in the Vectren case received IURC approval on October 15, 2014 and will save customers up to more than two million dollars in reduced incentives (as compared to the utility's original proposal).

NIPSCO's energy efficiency plan received IURC approval on November 12, 2014; the OUCC recommended approval.

A settlement agreement in the I&M case received IURC approval on December 3, 2014 and will save customers up to nearly 3.7 million dollars in reduced incentives (as compared to the utility's original proposal).

The IURC approved IPL's request on December 17, 2014.

A settlement agreement in the Duke Energy case is pending.

In addition, IURC Cause No. 44441 is the Commission’s investigation “into the implementation of Senate Enrolled Act 340 with respect to the opt out of an industrial customer from a regulated electric utility energy efficiency program and other related matters.” The Commission opened the case on June 30, 2014 and issued its final order on September 3, 2014.

To review filings in any of the cases, visit the IURC's electronic document system and enter the respective docket number.

Energy efficiency efforts are known in the utility industry and in regulatory cases as demand side management (DSM) programs.

 

Previous investigation

In an order issued on December 9, 2009, the Indiana Utility Regulatory Commission (IURC) concluded a five-year investigation of DSM programs throughout the state, their overall effectiveness, and ways to possibly improve them. Since then, the OUCC and other stakeholders have worked aggressively with the state's electric utilities to implement a consistent approach to energy efficiency.

 

Core programs

The IURC order (in Cause No. 42693) required all electric utilities under Commission jurisdiction to participate in the DSM efforts and achieve a two percent annual savings in total electric sales by 2019. Annual, incremental targets in the meantime were also established.

The five core programs required in the order are:

  • Residential lighting program (focusing on incentives for Energy Star-qualified lighting)

  • Home energy audit program (on-site, walk-through home energy audits with recommendations for reducing energy and installing low-cost efficiency measures - such as compact fluorescent light bulbs, low-flow showerheads, and draft shields for electric outlets - for customers who are interested)

  • Low income weatherization program (comprehensive energy efficiency upgrades for income-eligible homes)

  • Energy efficient schools program (energy efficiency kits and education for K-12 students, along with energy audits of school buildings)

  • Commercial and industrial program (including incentives for lighting, HVAC equipment, high-efficiency motors and other energy-saving technologies)

The programs have been offered under the Energizing Indiana brand since being launched on January 2, 2012.

While the participating utilities have been required to offer the core programs, customer participation is voluntary.

 

Oversight

Independent third-party administrators are overseeing the Energizing Indiana programs and measuring their effectiveness.

The OUCC and all other members of the DSM coordination committee established under the 2009 order developed two requests for proposals (RFPs) for consideration by the IURC - one for an independent third-party administrator to oversee and coordinate the core programs and a second RFP for a third party administrator to evaluate, measure and verify the programs offered by the utilities.

The coordination committee includes:

  • The OUCC
  • Citizens Action Coalition of Indiana (CAC)
  • Indiana Industrial Group
  • Duke Energy Indiana
  • Indiana Michigan Power (I&M)
  • Indiana Municipal Power Agency (IMPA)
  • Indianapolis Power & Light Co. (IPL)
  • Northern Indiana Public Service Company (NIPSCO)
  • Vectren Energy Delivery

This information will be updated as warranted.

12-17-14