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 -1-