Bill Text: IA SF450 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act relating to energy efficiency plan filing requirements for certain public utilities, and including effective date provisions.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2019-03-06 - Subcommittee: Chapman, Quirmbach, and R. Smith. S.J. 485. [SF450 Detail]
Download: Iowa-2019-SF450-Introduced.html
Senate
File
450
-
Introduced
SENATE
FILE
450
BY
CELSI
A
BILL
FOR
An
Act
relating
to
energy
efficiency
plan
filing
requirements
1
for
certain
public
utilities,
and
including
effective
date
2
provisions.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
TLSB
2660XS
(2)
88
gh/rn
S.F.
450
Section
1.
Section
476.1A,
subsection
1,
Code
2019,
is
1
amended
by
adding
the
following
new
paragraph:
2
NEW
PARAGRAPH
.
g.
Filing
energy
efficiency
plans
and
energy
3
efficiency
results
with
the
board.
The
energy
efficiency
plans
4
as
a
whole
shall
be
cost-effective.
The
board
may
permit
these
5
utilities
to
file
joint
plans.
The
board
shall
periodically
6
report
the
energy
efficiency
results
including
energy
savings
7
of
each
of
these
utilities
to
the
general
assembly.
The
board
8
may
waive
all
or
part
of
the
energy
efficiency
filing
and
9
review
requirements
for
electric
cooperative
corporations
and
10
associations
and
electric
public
utilities
which
demonstrate
11
superior
results
with
existing
energy
efficiency
efforts.
12
Sec.
2.
Section
476.1B,
subsection
1,
Code
2019,
is
amended
13
by
adding
the
following
new
paragraph:
14
NEW
PARAGRAPH
.
m.
Filing
energy
efficiency
plans
and
energy
15
efficiency
results
with
the
board.
The
energy
efficiency
plans
16
as
a
whole
shall
be
cost-effective.
The
board
may
permit
these
17
utilities
to
file
joint
plans.
The
board
shall
periodically
18
report
the
energy
efficiency
results
including
energy
savings
19
of
each
of
these
utilities
to
the
general
assembly.
20
Sec.
3.
Section
476.6,
subsection
15,
Code
2019,
is
amended
21
to
read
as
follows:
22
15.
Energy
efficiency
implementation,
cost
review,
and
cost
23
recovery.
24
a.
(1)
(a)
Electric
Gas
and
electric
utilities
required
25
to
be
rate-regulated
under
this
chapter
shall
file
five-year
26
energy
efficiency
plans
and
demand
response
plans
with
the
27
board.
Gas
utilities
required
to
be
rate-regulated
under
28
this
chapter
shall
file
five-year
energy
efficiency
plans
29
with
the
board.
An
energy
efficiency
plan
and
budget
or
a
30
demand
response
plan
and
budget
shall
include
a
range
of
energy
31
efficiency
or
demand
response
programs,
tailored
to
the
needs
32
of
all
customer
classes,
including
residential,
commercial,
33
and
industrial
customers,
for
energy
efficiency
opportunities.
34
The
plans
shall
include
programs
for
qualified
low-income
35
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persons
including
a
cooperative
program
with
any
community
1
action
agency
within
the
utility’s
service
area
to
implement
2
countywide
or
communitywide
energy
efficiency
programs
for
3
qualified
low-income
persons.
Rate-regulated
gas
and
electric
4
utilities
shall
utilize
Iowa
agencies
and
Iowa
contractors
to
5
the
maximum
extent
cost-effective
in
their
energy
efficiency
6
plans
or
demand
response
plans
filed
with
the
board.
7
(b)
The
board
shall
allow
a
customer
of
an
electric
utility
8
that
is
required
to
be
rate-regulated
to
request
an
exemption
9
from
participation
in
any
five-year
energy
efficiency
plan
10
offered
by
an
electric
utility
if
the
energy
efficiency
plan
11
and
demand
response
plan,
at
the
time
of
approval
by
the
board,
12
have
a
cumulative
rate-payer
impact
test
result
of
less
than
13
one.
Upon
receipt
of
a
request
for
exemption
submitted
by
14
a
customer,
the
electric
utility
shall
grant
the
exemption
15
and,
beginning
January
1
of
the
following
year,
the
customer
16
shall
no
longer
be
assessed
the
costs
of
the
plan
and
shall
be
17
prohibited
from
participating
in
any
program
included
in
such
18
plan
until
the
exemption
no
longer
applies,
as
determined
by
19
the
board.
20
(2)
Gas
and
electric
utilities
required
to
be
21
rate-regulated
under
this
chapter
may
request
an
energy
22
efficiency
plan
or
demand
response
plan
modification
during
the
23
course
of
a
five-year
plan.
A
modification
may
be
requested
24
due
to
changes
in
funding
as
a
result
of
public
utility
25
customers
requesting
exemptions
from
the
plan
or
for
any
other
26
reason
identified
by
the
gas
or
electric
utility.
The
board
27
shall
take
action
on
a
modification
request
made
by
a
gas
or
28
electric
utility
within
ninety
days
after
the
modification
29
request
is
filed.
If
the
board
fails
to
take
action
within
30
ninety
days
after
a
modification
request
is
filed,
the
31
modification
request
shall
be
deemed
approved.
32
(3)
The
board
shall
adopt
rules
pursuant
to
chapter
17A
33
establishing
reasonable
processes
and
procedures
for
utility
34
customers
from
any
customer
class
to
request
exemptions
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from
energy
efficiency
plans
that
meet
the
requirements
of
1
subparagraph
(1),
subparagraph
division
(b).
The
rules
adopted
2
by
the
board
shall
only
apply
to
electric
utilities
that
are
3
required
to
be
rate-regulated.
4
b.
A
gas
and
electric
utility
required
to
be
rate-regulated
5
under
this
chapter
shall
assess
potential
energy
and
capacity
6
savings
available
from
actual
and
projected
customer
usage
7
by
applying
commercially
available
technology
and
improved
8
operating
practices
to
energy-using
equipment
and
buildings.
9
The
utility
shall
submit
the
assessment
to
the
board.
Upon
10
receipt
of
the
assessment,
the
board
shall
consult
with
the
11
economic
development
authority
to
develop
specific
capacity
12
and
energy
savings
performance
standards
for
each
utility.
13
The
utility
shall
submit
an
energy
efficiency
plan
which
14
shall
include
economically
achievable
programs
designed
to
15
attain
these
energy
and
capacity
performance
standards.
The
16
board
shall
periodically
report
the
energy
efficiency
results
17
including
energy
savings
of
each
utility
to
the
general
18
assembly.
19
c.
(1)
The
board
shall
conduct
contested
case
proceedings
20
for
review
of
energy
efficiency
plans
,
demand
response
plans,
21
and
budgets
filed
by
gas
and
electric
utilities
required
to
be
22
rate-regulated
under
this
chapter
.
23
(2)
Notwithstanding
the
goals
developed
pursuant
to
24
paragraph
“b”
,
the
board
shall
not
require
a
gas
utility
to
25
adopt
an
energy
efficiency
plan
that
results
in
projected
26
cumulative
average
annual
costs
that
exceed
one
and
one-half
27
percent
of
the
gas
utility’s
expected
annual
Iowa
retail
rate
28
revenue
from
retail
customers
in
the
state,
shall
not
require
29
an
electric
utility
to
adopt
an
energy
efficiency
plan
that
30
results
in
projected
cumulative
average
annual
costs
that
31
exceed
two
percent
of
the
electric
utility’s
expected
annual
32
Iowa
retail
rate
revenue
from
retail
customers
in
the
state,
33
and
shall
not
require
an
electric
utility
to
adopt
a
demand
34
response
plan
that
results
in
projected
cumulative
average
35
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annual
costs
that
exceed
two
percent
of
the
electric
utility’s
1
expected
annual
Iowa
retail
rate
revenue
from
retail
customers
2
in
the
state.
For
purposes
of
determining
the
two
percent
3
threshold
amount,
the
board
shall
exclude
from
an
electric
4
utility’s
expected
annual
Iowa
retail
rate
revenue
the
revenues
5
expected
from
customers
that
have
received
exemptions
from
6
energy
efficiency
plans
pursuant
to
paragraph
“a”
.
This
7
subparagraph
shall
apply
to
energy
efficiency
plans
and
demand
8
response
plans
that
are
effective
on
or
after
January
1,
2019.
9
(3)
(2)
The
board
may
approve,
reject,
or
modify
the
plans
10
and
budgets.
Notwithstanding
the
provisions
of
section
17A.19,
11
subsection
5
,
in
an
application
for
judicial
review
of
the
12
board’s
decision
concerning
a
utility’s
energy
efficiency
plan
13
or
budget,
the
reviewing
court
shall
not
order
a
stay.
14
(4)
(3)
The
board
shall
approve,
reject,
or
may
modify
15
a
plan
filed
pursuant
to
this
subsection
no
later
than
March
16
31,
2019.
If
the
board
fails
to
approve,
reject,
or
modify
a
17
plan
filed
by
a
gas
or
electric
utility
on
or
before
such
date,
18
any
energy
efficiency
plan
or
budget
filed
by
the
a
gas
or
19
electric
utility
that
was
approved
by
the
board
prior
to
May
4,
20
2018,
shall
be
terminated.
The
board
shall
not
require
a
gas
21
or
electric
utility
to
implement
an
energy
efficiency
plan
or
22
demand
response
plan
that
does
not
the
effective
date
of
this
23
Act,
or
require
a
gas
or
electric
utility
to
file
a
new
energy
24
efficiency
plan
or
budget
on
or
after
the
effective
date
of
25
this
Act,
to
ensure
that
gas
and
electric
utilities
implement
26
energy
efficiency
plans
and
budgets
which
meet
the
requirements
27
of
this
subsection
.
28
(5)
(4)
Whenever
a
request
to
modify
an
approved
plan
or
29
budget
is
filed
subsequently
by
the
office
of
consumer
advocate
30
or
a
gas
or
electric
utility
required
to
be
rate-regulated
31
under
this
chapter
,
the
board
shall
promptly
initiate
a
formal
32
proceeding
if
the
board
determines
that
any
reasonable
ground
33
exists
for
investigating
the
request.
The
formal
proceeding
34
may
be
initiated
at
any
time
by
the
board
on
its
own
motion.
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Implementation
of
board-approved
plans
or
budgets
shall
1
be
considered
continuous
in
nature
and
shall
be
subject
to
2
investigation
at
any
time
by
the
board
or
the
office
of
the
3
consumer
advocate.
4
d.
Notice
to
customers
of
a
contested
case
proceeding
for
5
review
of
energy
efficiency
plans
,
demand
response
plans,
and
6
budgets
shall
be
in
a
manner
prescribed
by
the
board.
7
e.
(1)
A
gas
or
electric
utility
required
to
be
8
rate-regulated
under
this
chapter
may
recover,
through
an
9
automatic
adjustment
mechanism
filed
pursuant
to
subsection
8
,
10
over
a
period
not
to
exceed
the
term
of
the
plan,
the
costs
of
11
an
energy
efficiency
plan
or
demand
response
plan
approved
by
12
the
board
in
a
contested
case
proceeding
conducted
pursuant
to
13
paragraph
“c”
.
Customers
that
have
been
granted
exemptions
from
14
energy
efficiency
plans
pursuant
to
paragraph
“a”
,
shall
not
15
be
charged
for
recovery
of
energy
efficiency
costs
beginning
16
January
1
of
the
year
following
the
year
in
which
the
customer
17
was
granted
the
exemption.
18
(2)
The
board
shall
periodically
conduct
a
contested
case
19
proceeding
to
evaluate
the
reasonableness
and
prudence
of
the
20
utility’s
implementation
of
an
approved
energy
efficiency
21
or
demand
response
plan
and
budget.
If
a
utility
is
not
22
taking
all
reasonable
actions
to
cost-effectively
implement
23
an
approved
energy
efficiency
plan,
the
board
shall
not
allow
24
the
utility
to
recover
from
customers
costs
in
excess
of
those
25
costs
that
would
be
incurred
under
reasonable
and
prudent
26
implementation
and
shall
not
allow
the
utility
to
recover
27
future
costs
at
a
level
other
than
what
the
board
determines
28
to
be
reasonable
and
prudent.
If
the
result
of
a
contested
29
case
proceeding
is
a
judgment
against
a
utility,
that
utility’s
30
future
level
of
cost
recovery
shall
be
reduced
by
the
amount
31
by
which
the
programs
were
found
to
be
imprudently
conducted.
32
Beginning
January
1,
2019,
a
gas
or
electric
utility
shall
33
represent
energy
efficiency
and
demand
response
in
customer
34
billings
as
a
separate
cost
or
expense.
35
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f.
A
rate-regulated
utility
required
to
submit
an
energy
1
efficiency
plan
under
this
subsection
shall,
upon
the
request
2
of
a
state
agency
or
political
subdivision
to
which
it
provides
3
service,
provide
advice
and
assistance
regarding
measures
4
which
the
state
agency
or
political
subdivision
might
take
in
5
achieving
improved
energy
efficiency
results.
The
cooperation
6
shall
include
assistance
in
accessing
financial
assistance
for
7
energy
efficiency
measures.
8
Sec.
4.
Section
476.6,
Code
2019,
is
amended
by
adding
the
9
following
new
subsection:
10
NEW
SUBSECTION
.
16A.
Energy
efficiency
program
11
financing.
The
board
may
require
each
rate-regulated
gas
12
or
electric
public
utility
to
offer
qualified
customers
the
13
opportunity
to
enter
into
an
agreement
for
the
amount
of
14
moneys
reasonably
necessary
to
finance
cost-effective
energy
15
efficiency
improvements
to
the
qualified
customers’
residential
16
dwellings
or
businesses.
17
Sec.
5.
EFFECTIVE
DATE.
This
Act,
being
deemed
of
immediate
18
importance,
takes
effect
upon
enactment.
19
EXPLANATION
20
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
21
the
explanation’s
substance
by
the
members
of
the
general
assembly.
22
This
bill
modifies
energy
efficiency
plan
filing
23
requirements
for
certain
public
utilities.
24
Current
law
exempts
electric
public
utilities
with
fewer
25
than
10,000
customers,
electric
cooperative
corporations
and
26
associations,
and
municipally
owned
utilities
furnishing
gas
or
27
electricity
from
regulation
by
the
Iowa
utilities
board,
unless
28
otherwise
specified
in
law.
The
bill
requires
such
entities
to
29
file
energy
efficiency
plans
and
energy
efficiency
results
with
30
the
board,
as
described
in
the
bill.
31
Current
Code
section
476.6(15)
requires
rate-regulated
32
electric
utilities
to
file
five-year
energy
efficiency
plans
33
and
demand
response
plans
with
the
board,
and
rate-regulated
34
gas
utilities
to
file
five-year
energy
efficiency
plans
with
35
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the
board.
Current
law
allows
electric
utility
customers
to
1
request
exemptions
from
participation
in
energy
efficiency
2
plans
and
gas
and
electric
utilities
to
request
plan
3
modifications.
A
gas
utility
is
not
required
to
adopt
a
plan
4
that
results
in
projected
cumulative
average
annual
costs
5
that
exceed
one
and
one-half
percent
of
its
expected
annual
6
Iowa
retail
rate
revenue,
whereas
an
electric
utility
is
not
7
required
to
adopt
a
plan
that
results
in
projected
cumulative
8
average
annual
costs
that
exceed
2
percent
of
its
expected
9
annual
Iowa
retail
rate
revenue.
10
The
bill
removes
references
to
“five-year”
and
“demand
11
response
plans”
throughout
Code
section
476.6(15),
thereby
12
requiring
rate-regulated
gas
and
electric
utilities
to
file
13
energy
efficiency
plans
with
the
board,
as
described
in
the
14
bill.
The
bill
removes
provisions
allowing
electric
utility
15
customers
to
request
exemptions
from
participation
in
energy
16
efficiency
plans
and
gas
and
electric
utilities
to
request
plan
17
modifications.
The
bill
also
removes
provisions
which
limit
a
18
gas
or
electric
utility’s
plan
to
no
more
than
one
and
one-half
19
percent
or
2
percent
of
the
utility’s
expected
annual
Iowa
20
retail
rate
revenue,
as
applicable.
21
The
bill
allows
the
board
to
modify
any
energy
efficiency
22
plan
or
budget
approved
prior
to
the
effective
date
of
the
23
bill,
or
require
a
gas
or
electric
utility
to
file
a
new
energy
24
efficiency
plan
or
budget
on
or
after
such
date,
to
ensure
25
that
gas
and
electric
utilities
implement
energy
efficiency
26
plans
and
budgets
which
meet
the
requirements
of
the
bill.
The
27
bill
also
allows
the
office
of
consumer
advocate
to
request
to
28
modify
an
approved
energy
efficiency
plan
or
budget,
as
well
as
29
a
rate-regulated
gas
or
electric
utility.
30
The
bill
allows
the
board
to
require
each
rate-regulated
31
gas
or
electric
utility
to
offer
energy
efficiency
program
32
financing
to
qualified
customers,
as
described
in
the
bill.
33
The
bill
takes
effect
upon
enactment.
34
-7-
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2660XS
(2)
88
gh/rn
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7
