House Amendment 8349


PAG LIN




     1  1    Amend Senate File 2386, as passed by the Senate, as
     1  2 follows:
     1  3 #1.  Page 1, by striking lines 20 and 21 and
     1  4 inserting the following:
     1  5    <g.  Three individuals representing gas and
     1  6 electric public utilities within this state, comprised
     1  7 of one individual representing rural electric
     1  8 cooperatives, one individual representing municipal
     1  9 utilities, and one individual representing
     1 10 investor=owned utilities.>
     1 11 #2.  Page 3, by inserting after line 13 the
     1 12 following:
     1 13    <Sec.    .  Section 469.4, subsection 4, Code
     1 14 Supplement 2007, is amended by adding the following
     1 15 new paragraph:
     1 16    NEW PARAGRAPH.  m.  Perform a technical review of
     1 17 the maximum cost=effective potential for renewable
     1 18 energy generation by 2025, and formulate
     1 19 recommendations for developing that potential.>
     1 20 #3.  Page 4, by inserting after line 11 following:
     1 21    <Sec.    .  Section 476.6, subsection 16, Code
     1 22 Supplement 2007, is amended by adding the following
     1 23 new paragraphs:
     1 24    NEW PARAGRAPH.  bb.  (1)  Gas and electric
     1 25 utilities that are not required to be rate=regulated
     1 26 under this chapter shall assess potential energy and
     1 27 capacity savings available from actual and projected
     1 28 customer usage through cost=effective energy
     1 29 efficiency measures and programs, taking into
     1 30 consideration the utility service area's historic
     1 31 energy load, its projected demand, its customer base,
     1 32 and other relevant factors.  Each utility shall
     1 33 establish an energy efficiency goal based upon this
     1 34 assessment of potential and shall establish
     1 35 cost=effective energy efficiency programs designed to
     1 36 meet the energy efficiency goal.  Separate goals may
     1 37 be established for various customer groupings.
     1 38    (2)  Energy efficiency programs shall include
     1 39 activities conducted by a utility intended to enable
     1 40 or encourage customers to increase the amount of heat,
     1 41 light, cooling, motive power, or other forms of work
     1 42 performed per unit of energy used.  Energy efficiency
     1 43 programs include activities which lessen the amount of
     1 44 heating, cooling, or other forms of work which must be
     1 45 performed, including but not limited to energy studies
     1 46 or audits, general information, financial assistance,
     1 47 direct rebates to customers or vendors of
     1 48 energy=efficient products, research projects, direct
     1 49 installation by the utility of energy=efficient
     1 50 equipment, direct and indirect load control,
     2  1 time=of=use rates, tree planting programs, and hot
     2  2 water insulation distribution programs.
     2  3    (3)  Each utility shall commence the process of
     2  4 determining its cost=effective energy efficiency goal
     2  5 on or before July 1, 2008, shall provide a progress
     2  6 report to the board on or before January 1, 2009, and
     2  7 complete the process and submit a final report to the
     2  8 board on or before July 1, 2009.  The report shall
     2  9 include the utility's individualized cost=effective
     2 10 energy efficiency goal, a detailed description of the
     2 11 energy efficiency measures to be offered to meet the
     2 12 projected goal, a list of measures considered, and an
     2 13 estimate of projected costs.  Each utility shall
     2 14 include in its report the cost of achieving an energy
     2 15 efficiency goal equal to one and one=half percent of
     2 16 the utility's annual retail sales, calculated as an
     2 17 average of sales for the three previous years.
     2 18 Individual utilities or groups of utilities may
     2 19 collaborate in conducting the studies required
     2 20 hereunder and may file a joint report or reports with
     2 21 the board.  However, the board may require individual
     2 22 information from any utility, even if it participates
     2 23 in a joint report.
     2 24    (4)  On January 1 of each even=numbered year,
     2 25 commencing January 1, 2012, gas and electric utilities
     2 26 that are not required to be rate=regulated shall file
     2 27 a report with the board identifying their progress in
     2 28 meeting the energy efficiency goal and any updates or
     2 29 amendments to their energy efficiency plans and goals.
     2 30 Filings made pursuant to this paragraph "bb" shall be
     2 31 deemed to meet the filing requirements of section
     2 32 476.1A, subsection 7, and section 476.1B, subsection
     2 33 1, paragraph "l".
     2 34    NEW PARAGRAPH.  bbb.  (1)  The board shall evaluate
     2 35 the reports required to be filed pursuant to paragraph
     2 36 "b" by gas and electric utilities required to be
     2 37 rate=regulated, and shall submit a report summarizing
     2 38 the evaluation to the general assembly on or before
     2 39 January 1, 2009.
     2 40    (2)  The board shall evaluate the reports required
     2 41 to be filed pursuant to paragraph "bb" by gas and
     2 42 electric utilities that are not required to be
     2 43 rate=regulated, and shall submit a report summarizing
     2 44 the evaluation to the general assembly on or before
     2 45 January 1, 2011.
     2 46    (3)  The reports submitted by the board to the
     2 47 general assembly pursuant to this paragraph "bbb"
     2 48 shall include the goals established by each of the
     2 49 utilities.  The reports shall also include the
     2 50 projected costs of achieving the stated goals,
     3  1 potential rate impacts, and a description of the
     3  2 programs proposed by each utility.  Comparison of
     3  3 individual utilities or groups of utilities contained
     3  4 in the report may take into account differences in
     3  5 system characteristics, including but not limited to
     3  6 sales to various customer classes, age of facilities
     3  7 of new large customers, and heating fuel type.  The
     3  8 reports may contain recommendations concerning the
     3  9 achievability of certain intermediate and long=term
     3 10 energy efficiency goals based upon the results of the
     3 11 assessments submitted by the utilities.
     3 12    Sec.    .  NEW SECTION.  476.44A  TRADING OF
     3 13 CREDITS.
     3 14    The board may establish or participate in a program
     3 15 to track, record, and verify the trading of credits
     3 16 for electricity generated from alternative energy
     3 17 production facilities or renewable energy sources
     3 18 among electric generators, utilities, and other
     3 19 interested entities, within this state and with
     3 20 similar entities in other states.
     3 21    Sec.    .  ENERGY EFFICIENCY INTERIM STUDY
     3 22 COMMITTEE == CONSUMER FOCUS == REQUEST TO ESTABLISH.
     3 23 The legislative council is requested to establish an
     3 24 interim study committee to examine the existence and
     3 25 effectiveness of energy efficiency plans and programs
     3 26 implemented by gas and electric public utilities, with
     3 27 an emphasis on results achieved by current plans and
     3 28 programs from the demand, or customer, perspective,
     3 29 and to make recommendations for additional
     3 30 requirements applicable to energy efficiency plans and
     3 31 programs that would improve such results.  In
     3 32 conducting the study and developing recommendations,
     3 33 the committee shall consider testimony from the Iowa
     3 34 utilities board, rate and nonrate=regulated gas and
     3 35 electric utilities, the consumer advocate, state
     3 36 agencies involved with energy efficiency program
     3 37 administration, environmental groups and associations,
     3 38 and consumers.  The committee shall be composed of ten
     3 39 members, representing both political parties and both
     3 40 houses of the general assembly.  Five members shall be
     3 41 members of the senate, three of whom shall be
     3 42 appointed by the majority leader of the senate and two
     3 43 of whom shall be appointed by the minority leader of
     3 44 the senate.  The other five members shall be members
     3 45 of the house of representatives, three of whom shall
     3 46 be appointed by the speaker of the house of
     3 47 representatives, and two of whom shall be appointed by
     3 48 the minority leader of the house of representatives.
     3 49 The committee shall issue a report of its
     3 50 recommendations to the general assembly by January 15,
     4  1 2009.
     4  2    Sec.    .  EFFECTIVE DATE.  This Act, being deemed
     4  3 of immediate importance, takes effect upon enactment.>
     4  4 #4.  Title page, by striking lines 1 through 5 and
     4  5 inserting the following:  <An Act relating to energy
     4  6 efficiency by establishing a commission on energy
     4  7 efficiency standards and practices, providing for the
     4  8 reporting of energy efficiency results and savings by
     4  9 gas and electric public utilities, specifying
     4 10 procedures for assessing potential energy and capacity
     4 11 savings and developing energy efficiency goals by gas
     4 12 and electric utilities not subject to rate regulation,
     4 13 providing for the establishment or participation in a
     4 14 program to track, record, or verify the trading of
     4 15 credits for electricity generated from specified
     4 16 sources, and providing for the establishment of an
     4 17 interim study committee to conduct an examination of
     4 18 energy efficiency plans and programs with an emphasis
     4 19 on the demand or customer perspective, and providing
     4 20 an effective date.>
     4 21 #5.  By renumbering as necessary.
     4 22
     4 23
     4 24                               
     4 25 COMMITTEE ON COMMERCE
     4 26 PETERSEN of Polk, Chairperson
     4 27 SF 2386.202 82
     4 28 rn/rj/10676

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