Skip to main content

Xcel Energy, PG&E Among Utilities with Leading Energy Efficiency Programs

The American Council for an Energy Efficient Economy released its second survey of the country's best utility-based efficiency programs, finding that a handful of companies are significantly stepping up efforts to reduce their customers' energy usage.

In its second national review of utility companies' energy efficiency programs in the past five years, the American Council for an Energy Efficient Economy (ACEEE) found a significant growth in scope, scale and effectiveness of the programs.

The study profiles 63 programs that are models for best practices in ways to encourage companies and individuals to reduce their overall energy use, resulting in annual energy savings of 2,400 gigawatt hours of electricity use and over 125 million therms of natural gas.

ACEEE indentified several traits of successful efficiency programs, whether those programs were aimed at business or residential customers. The biggest overall trait is that these programs provide "consistent, reliable and cost-effective savings," in the words of the report. By making clear that improved efficiency results in steady cost savings, these programs provide a feedback loop resulting in ever-improved efficiency.

Whether the programs employed tried-and-true solutions like the federal government's Energy Star program or cutting edge programs targeted at previously overlooked sectors like agriculture or energy-intensive areas like data centers.

Another strategy of highly successful solutions include close and regular contact between customers and utility representatives, because those sustained relationships result in higher customer trust and confidence in the programs offered by utilities.

The report's authors also found that these types of programs are getting increasingly comprehensive, offering not just new technologies but training, technical assistance, marketing support and incentives to customers. These comprehensive programs cover the entire spectrum from conception to fulfillment on a range of applications, including lighting, appliances, heating and cooling and even covering the entire building envelope.

Another development noted by the report's authors is a trend toward state-wide programs, rather than piecemeal offerings from individual utilities or municipalities; states with successful broad-based programs include California, Connecticut, Iowa and Massachusetts.

California utility company Pacific Gas & Electric was honored for the develop of several exemplary programs, including for multi-sector or municipal partnerships and its program to encourage companies to replace their old and inefficient motors and HVAC systems. [The ACEEE has posted case studies of many of the exemplary programs; PG&E's HVAC case study is available for download at: http://aceee.org/pubs/u081/ci-motor-hvac.pdf.]

Minnesota-based utility Xcel Energy also received recognition for several programs, notably for promoting energy efficiency in new construction, and its commercial and industrial lighting programs.

Overall, ACEEE recognized scores of programs as either being exemplary or deserving of honorable mention across 20 categories, covering everything from new commercial construction to residential retrofits. The full report, "Compendium of Champions, " is available at http://aceee.org/press/u081pr.htm.

More on this topic