Regional Target

The Council recommends Bonneville and the regional utilities plan to acquire between 750 and 1,000 average megawatts of cost-effective energy efficiency by the end of 2027 and a minimum of 2,400 average megawatts by the end of 2041. This level of efficiency is cost-effective for meeting energy needs and is a low-risk approach to meeting adequacy needs by providing a hedge against reliance upon the availability of other resources at the time needed and supporting opportunities to unlock additional hydropower system flexibility. The addition of efficiency-based resources will also defer need for transmission and distribution system upgrades, reduce emissions, and support jurisdiction-specific decarbonization goals. Included in the target are cost-effective energy efficiency measures to meet these needs, and more on determining if a measure is cost-effective relative to the plan is provided in the cost-effectiveness methodology section.[1] In addition to the energy efficiency acquisition recommendation, other recommendations related to ensuring this efficiency is prudently acquired can be found here. The Model Conservation Standards and Surcharge Recommendation are found here.

We expect that most of the short-term savings will be via direct-funded utility programs, but this recommendation also includes efficiency accomplished through market transformation initiatives through NEEA, building codes, appliance standards, and natural market adoption. Regional support of all mechanisms is needed for long term achievement and continued availability of energy efficiency.

In order to achieve this overall goal, all utilities within the region will need deliver energy efficiency to their end-use customers. For utilities within urban centers, efficiency may be more readily accomplished given greater availability of contractors and suppliers of efficient products and easier access to a large and diverse number of customers. In contrast, utilities with a rural customer base (primarily residential and agricultural) have significant challenges implementing efficiency programs. These challenges are recognized, and Bonneville and/or other regional organizations such as NEEA should support these rural utilities in reaching efficiency goals.

Continued investment in NEEA and efficiency-related research and development is critical to achieve the long-term goals. To help ensure a robust efficiency infrastructure, work is needed all along the product adoption curve: continuing research into emerging technologies to introduce new efficiency opportunities, working with retailers and manufacturers to increase the availability of efficient products, encouraging acceptance by consumers, and securing savings by incorporating efficiency into building codes and appliance standards. NEEA and the utilities will need to be diligent in ensuring progress in all these facets of the market. As such, to help ensure that the necessary levels of cost-effective conservation are acquired, we recommend the region’s utilities:

  1. Maintain ratepayer-funded efficiency programs (utility direct programs and market transformation initiatives) at a funding level sufficient to achieve the 2027 goals.
  2. Continue to fund research and development on emerging technologies in an amount commensurate with 2020 levels or greater;
  3. Continue to fund regional market research, stock assessments, and related analysis in an amount commensurate with 2020 levels or greater;
  4. Support initiatives to enhance building codes and appliance standards, at both the state and federal governments.

[1] The cost-effectiveness methodology is determined based on the minimum of 750 aMW of energy efficiency by the end of 2027.