4901:1-39-03 Program planning requirements.

(A) Assessment of potential. Prior to proposing its comprehensive energy efficiency and peak-demand reduction program portfolio plan, an electric utility shall conduct an assessment of potential energy savings and peak-demand reduction from adoption of energy efficiency and demand-response measures within its certified territory, which will be included in the electric utility's program portfolio filing pursuant to rule 4901:1-39-04 of the Administrative Code. An electric utility may collaborate with other electric utilities to co-fund or conduct such an assessment on a broader geographic basis than its certified territory. However, such an assessment must also disaggregate results on the basis of each electric utility's certified territory. Such assessment shall include, but not be limited to, the following:

(1) Analysis of technical potential. Each electric utility shall survey and characterize the energy-using capital stock located within its certified territory and quantify its actual and projected energy use and peak demand. Based upon the survey and characterization, the electric utility shall conduct an analysis of the technical potential for energy efficiency and peak-demand reduction obtainable from applying alternate measures.

(2) Analysis of economic potential. For each alternate measure identified in its assessment of technical potential, the electric utility shall conduct an assessment of cost-effectiveness using the total resource cost test.

(3) Analysis of achievable potential. For each alternate measure identified in its analysis of economic potential as cost-effective, the electric utility shall conduct an analysis of achievable potential. Such analysis shall consider the ability of the program design to overcome barriers to customer adoption, including, but not limited to, appropriate bundling of measures.

(4) For each measure considered, the electric utility shall describe all attributes relevant to assessing its value, including, but not limited to potential energy savings or peak-demand reduction, cost, and nonenergy benefits.

(B) Program design criteria. When developing programs for inclusion in its program portfolio plan, an electric utility shall consider the following criteria:

(1) Relative cost-effectiveness.

(2) Benefit to all members of a customer class, including nonparticipants.

(3) Potential for broad participation within the targeted customer class.

(4) Likely magnitude of aggregate energy savings or peak-demand reduction.

(5) Nonenergy benefits.

(6) Equity among customer classes.

(7) Relative advantages or disadvantages of energy efficiency and peak-demand reduction programs for the construction of new facilities, replacement of retiring capital stock, or retrofitting existing capital stock.

(8) Potential to integrate the proposed program with similar programs offered by other utilities, if such integration produces the most cost-effective result and is in the public interest.

(9) The degree to which a program bundles measures so as to avoid lost opportunities to attain energy savings or peak reductions that would not be cost-effective or would be less cost-effective if installed individually.

(10) The degree to which the program design engages the energy efficiency supply chain and leverages partners in program delivery.

(11) The degree to which the program successfully addresses market barriers or market failures.

(12) The degree to which the program leverages knowledge gained from existing program successes and failures.

(13) The degree to which the program promotes market transformation.

(C) Promising measures not selected. Each electric utility shall identify measures considered but not found to be cost-effective or achievable but show promise for future deployment. The electric utility shall identify potential actions that it could undertake to improve the measure's technical potential, economic potential, and achievable potential to enhance the likelihood that the measure would become cost-effective and reasonably achievable.

(D) The electric utility may seek to collaborate or consult with other utilities, regional and municipal governmental organizations, nonprofit organizations, businesses, and other stakeholders to develop programs meeting the requirements of this chapter.

Cite as Ohio Admin. Code 4901:1-39-03

Effective: 12/10/2009
R.C. 119.032 review dates: 09/30/2013
Promulgated Under: 111.15
Statutory Authority: 4905.04, 4905.06, 4928.02, 4928.66
Rule Amplifies: 4928.66