Investor-owned electric utilities; establishment of protocols for energy efficiency programs. (SB395)

Introduced By

Sen. Kenneth Alexander (D-Norfolk)

Progress

Introduced
Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law

Description

Investor-owned electric utilities; energy efficiency performance incentive. Authorizes investor-owned electric utilities to recover, as part of the cost recovery permitted for energy efficiency programs, a performance incentive. The amount of the performance incentive for a program varies based on the levelized cost of saved energy achieved by the utility. If the levelized cost of saved energy for the program is six cents per kilowatt hour or less, the performance incentive is an additional one percent of the actual costs for the utility to design, implement, and operate the program, excluding the margin that is recovered on operating expenses. The amount of the performance incentive increases as the levelized cost of saved energy for the program decreases, with the maximum incentive being an additional four percent of the actual costs for the program if the utility achieves a levelized cost of saved energy at or below three cents per kilowatt hour. The levelized cost of saved energy is calculated through a formula in which the product obtained by multiplying total program costs by a capital recovery factor is divided by the annual kilowatt hours saved in year three of the program. This performance incentive replaces a provision that authorized the State Corporation Commission (SCC) to allow an electric utility to recover revenue reductions related to energy efficiency programs to the extent that the SCC determines such revenue has not been recovered through margins from incremental off-system sales that are directly attributable to energy efficiency programs. The measure directs the Department of Mines, Minerals and Energy, in collaboration with the State Corporation Commission and utilizing a stakeholder process, to develop a standardized, independent protocol determined to measure, verify, and validate energy savings. Read the Bill »

Outcome

Bill Has Passed

History

DateAction
01/11/2016Prefiled and ordered printed; offered 01/13/16 16103759D
01/11/2016Referred to Committee on Commerce and Labor
01/11/2016Introduced bill reprinted 16103759D
01/26/2016Impact statement from DPB (SB395)
02/15/2016Committee substitute printed 16105546D-S1
02/15/2016Reported from Commerce and Labor with substitute (14-Y 1-N) (see vote tally)
02/16/2016Constitutional reading dispensed (38-Y 0-N) (see vote tally)
02/16/2016Read second time
02/16/2016Reading of substitute waived
02/16/2016Committee substitute agreed to 16105546D-S1
02/16/2016Engrossed by Senate - committee substitute SB395S1
02/16/2016Constitutional reading dispensed (37-Y 1-N) (see vote tally)
02/16/2016Passed Senate (31-Y 8-N) (see vote tally)
02/16/2016Reconsideration of passage agreed to by Senate (39-Y 0-N) (see vote tally)
02/16/2016Passed Senate (30-Y 9-N) (see vote tally)
02/18/2016Placed on Calendar
02/18/2016Read first time
02/18/2016Referred to Committee on Commerce and Labor
02/23/2016Reported from Commerce and Labor (16-Y 5-N) (see vote tally)
02/24/2016Read second time
02/24/2016Impact statement from DPB (SB395S1)
02/25/2016Read third time
02/25/2016Passed House (89-Y 8-N 2-N)
02/25/2016VOTE: PASSAGE (89-Y 8-N 2-A) (see vote tally)
02/26/2016Enrolled
02/26/2016Bill text as passed Senate and House (SB395ER)
02/26/2016Signed by Speaker
02/29/2016Signed by President
03/01/2016Enrolled Bill Communicated to Governor on 3/1/16
03/01/2016G Governor's Action Deadline Midnight, March 8, 2016
03/01/2016Impact statement from DPB (SB395ER)
03/07/2016G Approved by Governor-Chapter 255 (effective 7/1/16)

Video

This bill was discussed on the floor of the General Assembly. Below is all of the video that we have of that discussion, 3 clips in all, totaling 3 minutes.

Transcript

This is a transcript of the video clips in which this bill is discussed.



Del. Bill Howell (R-Fredericksburg): PASS BE RECORD THEIR VOTES AYE, THOSE OPPOSED NO. HAVE ALL THE SENATORS VOTED? ARE THE SENATORS READY TO VOTE? DO ANY SENATORS DESIRE TO CHANGE THEIR VOTE? THE CLERK WILL CLOSE THE ROLL.

[Unknown]: AYES 39, NOS 0. AYES 39, NOS 0. THE MOTION IS AGREED TO. THE SENATOR FROM NORFOLK. THANK YOU, MR. PRESIDENT. HAVING PREVIOUSLY EXPLAIN THE BILL, I MOVE THAT THE BILL PASS. THANK YOU, SENATOR. THE QUESTION IS SHALL SENATE BILL 395 PASS. ALL IN FAVOR OF THE MOTION WILL RECORD THEIR VOTES AYE, THOSE OPPOSED NO. ARE THE SENATORS READY TO VOTE? HAVE ALL THE SENATORS VOTED? DO ANY SENATORS DESIRE TO CHANGE THEIR VOTE? THE CLERK WILL CLOSE THE ROLL. AYES 30, NOS 9.


Del. Terry Kilgore (R-Gate City): WHICH IS MY BILL DEALING WITH ENERGY EFFICIENCY. THE ONLY DIFFERENCE IS IT ASKS THE STATE CORPORATION COMMISSION TO ESTABLISH A METHODOLOGY FOR ESTIMATING ANNUAL KILOWATTS SAVINGS AND A FORMULA TO CALCULATE THE COST TO SAVE ENERGY FOR THE ENERGY EFFICIENCY MEASURES. THIS ALSO WAS ADDED ON TO THE SENATE IN MY BILL. I HOPE IT WILL BE THE PLEASURE OF THE HOUSE TO PASS THE BILL.