HB70: Energy conservation; establishes statewide goal of reducing consumption of electric energy.

HOUSE BILL NO. 70
Offered January 11, 2012
Prefiled December 19, 2011
A BILL to amend and reenact § 67-202.1 of the Code of Virginia and to amend the Code of Virginia by adding in Chapter 23 of Title 56 a section numbered 56-596.1, relating to energy efficiency standards; reports.
Patron-- Englin

Committee Referral Pending

Be it enacted by the General Assembly of Virginia:

1.  That § 67-202.1 of the Code of Virginia is amended and reenacted and that the Code of Virginia is amended by adding in Chapter 23 of Title 56 a section numbered 56-596.1 as follows:

§ 56-596.1. Energy efficiency standard.

The Commonwealth shall have a stated goal of reducing the consumption of electric energy by retail customers within the Commonwealth, through energy conservation and efficiency actions taken by government, electric utilities, and retail customers, by 2025 to a level that is 19 percent less than the quantity of electricity that would reasonably be projected to be consumed in the Commonwealth in 2025 in the absence of such actions. This goal is apportioned so that (i) five-nineteenths is attributable to energy performance improvements resulting from enhancements to the Uniform Statewide Building Code and appliance efficiency standards; (ii) one-nineteenth is attributable to improved energy performance of publicly owned buildings; (iii) two-nineteenths is attributable to energy performance improvements in the industrial sector; (iv) one-nineteenth is attributable to combined heat and power; and (v) ten-nineteenths is attributable to improved energy performance from a portfolio of cost-effective electric utility energy efficiency programs designed to reduce the consumption of electric energy by each utility's retail customers in the Commonwealth. Nothing in this section shall be construed to establish an upper limit on the amount of cost-effective energy efficiency programs that utilities may implement or the designated capacity of cost-effective energy efficiency programs for which the Commission may approve a rate adjustment clause under the provisions of subdivision A 5 c of § 56-585.1.

§ 67-202.1. Annual reporting by investor-owned public utilities.

Each investor-owned public utility providing electric service in the Commonwealth shall prepare an annual report disclosing its efforts to conserve energy, including but not limited to (i) its implementation of customer demand-side energy efficiency and demand response management programs and; (ii) efforts by the utility to improve efficiency and conserve energy in its internal operations pursuant to § 56-235.1; and (iii) the amount of electric energy consumption reduced, expressed in megawatt hours, through the utility's energy efficiency programs. Such report shall address the utility's progress towards achieving the electric energy consumption reduction goal provided for in clause (v) of § 56-596.1. The utility shall submit each annual report to the Division of Energy of the Department of Mines, Minerals and Energy by November 1 of each year, and the Division. The Department shall compile the reports of the utilities and information detailing progress in attaining the goals established in § 56-596.1 and submit the compilation to the Governor and the General Assembly as provided in the procedures of the Division of Legislative Automated Systems for the processing of legislative documents. The Department also shall post such reports on the agency's website.

2.  That each utility consumer services cooperative ("cooperative") organized or operated pursuant to Article 1 (§ 56-231.15 et seq.) of Chapter 9.1 of Title 56 of the Code of Virginia shall, on or before October 31, 2012, file with the State Corporation Commission ("Commission") an assessment of the statutory, regulatory, organizational, physical, contractual, financial, and market impediments to cooperative implementation of initiatives relating to dynamic rates, stand-by rates, interruptible rates, and rates for purchases of electricity generated from renewable sources. Each cooperative shall conduct its assessment and submit such assessment individually, collectively with one or more other cooperatives, or collectively through an association of cooperatives. The Commission shall review each assessment to evaluate its accuracy and completeness. On or before December 1, 2012, the Commission shall forward each assessment to the Governor and the General Assembly along with the Commission's evaluation of the accuracy and completeness of each report.