As a membership organization that includes utilities, businesses, advocates and government agencies, MEEA knows the power of collaboration. Time and again, we’ve seen first-hand that when diverse groups sit down at the table together, we’re able to harness our collective expertise and experience to find solutions that work for everyone.
And we’re not the only ones who think collaboration is a powerful tool. Several states in the Midwest currently convene collaborative groups to promote energy efficiency.
For the last century, utilities that provided safe, reliable and affordable service could be reasonably assured of their continued profitability as long as the demand for electricity continued climbing and competing outside pressures were minimized. However, in recent years, the model of hitching profits to increased infrastructure investment and greater sales is proving unsustainable in the long-term. Distributed energy resources and improved efficiency technologies are displacing increasing parts of the utility service, taking some of the revenues that go with it.
Property assessed clean energy (PACE) financing is off and running in the Midwest. PACE enables homeowners and commercial building owners to finance energy efficiency improvements through a special assessment on their property that is paid back through their tax bill. To date, there are 15 active PACE programs in the MEEA footprint. PACE-enabling legislation exists in Minnesota, Wisconsin, Michigan, Missouri, Kentucky, Ohio and Nebraska, and legislation in Illinois has passed both state legislative houses and is awaiting the governor’s signature.
On March 22, 2017, the Illinois Commerce Commission passed a resolution initiating the NextGrid Utility of the Future Study. NextGrid will be an 18-month collaborative process to explore the ways in which alternative utility regulatory models, advances in technology, and consumer preferences and engagement can shape the grid of the future. This initiative will build upon the 2011 Energy Infrastructure Modernization Act, the Illinois Statewide Smart Grid Collaborative and the recent Future Energy Jobs Act.
A year ago, the Clean Power Plan (CPP) – a federal rule aimed at curbing greenhouse gas emissions from existing fossil-fuel burning power plants – was in peak health. The rule had been finalized by the U.S. Environmental Protection Agency (EPA). Several states were on their way to preparing their initial plans for complying with the CPP. The EPA had begun gathering public input on draft documents that would supplement the rule, including the Clean Energy Incentive Program, Model Trading Rules and Evaluation, Measurement and Verification (EM&V) Guidance for Demand-Side Energy Efficiency. Despite the chill of winter, there was no lack of CPP-activity.
What a difference a year can make!
After more than two years of legislative proposals and negotiations, on Wednesday, December 7, Illinois Governor Bruce Rauner signed into law the Future Energy Jobs Bill (SB 2814). The bill, which contains support for renewable energy, nuclear energy and energy efficiency, was passed by the Illinois legislature on December 1, the last day of veto session, with bipartisan support and will take effect June 1, 2017.
As MEEA continues its efforts to make valuable contributions to the national conversation on intelligent efficiency, it’s important to step back and take a moment to define this somewhat nebulous concept. ACEEE has done a great job of helping energy efficiency stakeholders understand what this term means through several research reports, web outlets and two high-quality conferences on the subject. Their 2013 report, Intelligent Efficiency: Opportunities, Barriers, and Solutions, defines intelligent efficiency as: