MEEA Policy Insider - May 2018

MEEA's Policy Team is actively tracking policy developments within our 13-state footprint, and the Policy Insider summarizes the latest state policy activity and provides our newest resources to aid members in their outreach, education and advocacy initiatives.

Ready to get involved? There are advocacy opportunities in Illinois, Indiana and Michigan.

There has been major legislative action this month in Iowa and Minnesota.

In this issue:

Regulatory

The new four-year demand-side management plans for regulated utilities in Illinois went into effect on January 1, 2018. These plans will run through 2021 and represent the first four-year plans to be implemented under the Future Energy Jobs Act.

Work on the Illinois Commerce Commission’s utility of the future study, NextGrid, continues. Several of the work groups continue to meet and develop a work product. The full NextGrid Stakeholder Advisory Committee met on Monday, March 5 at MEEA. Information on NextGrid is available at https://nextgrid.illinois.gov/index.html.

The Future Energy Jobs Act required the development of stakeholder group to support the low income portfolio that was transitioning from the Illinois Department of Commerce and Economic Opportunity to the individual utilities. The first meeting of the Income Qualified EE Advisory Committee North was held on April 3. The Income Qualified EE Advisory Committee South meeting was held on April 17. Information on these groups is available on the IL SAG website.

MEEA Activities

MEEA was selected for the new technology deployment and grid integration working group and is also serving on the ICC’s NextGrid Stakeholder Advisory Committee. MEEA has submitted applications that are still under consideration for other working groups.

MEEA is a member of the both the North and South Income Qualified EE Advisory Committees.

How to Get Involved

The Stakeholder Advisory Group and the Income Qualified EE Advisory Committees are open to representatives from community based organizations and other stakeholders. 

You can rewatch the NextGrid event online and submit public comments (ICC.NextGrid@illinois.gov).

If you have any questions about Illinois or want to get involved, contact Leah Scull.

Regulatory

Integrated resource plan stakeholder processes are underway for Duke Energy Indiana, Indiana Michigan Power and NIPSCO. Meetings will continue through the spring and summer before the November/December filing dates. Updates from the commission on IRPs in Indiana will be posted to the IURC’s IRP page.

How to Get Involved

The utility IRP meetings are open to anyone who is interested in attending.

If you have any questions about Indiana or want to get involved, contact Greg Ehrendreich. 

Legislative

On April 27, the Iowa House passed Senate File 2311. This bill would:

  • Eliminate requirements that municipal utilities and regional electric cooperatives offer energy efficiency programs
  • Cap Alliant and MidAmerican electric energy efficiency programs at 2% of electric rate revenue
  • Cap gas efficiency programs at 1.5% of gas rate revenue
  • Cap Alliant and MidAmerican demand response programs separately at 2% of electric rate revenue
  • Establish an all customer opt-out if the utilities’ DSM plans are not cost-effective according to the rate impact measure test, which most utility energy efficiency programs do not pass.
     

The bill was also passed by the Senate on May 1 and has been sent to Governor Reynolds. She has three days to either veto or sign the bill. If no action is taken, the bill becomes law. 

Regulatory

MidAmerican Energy filed their proposed 2019- 2023 energy efficiency plan on November 1. Alliant Energy filed their proposed 2019- 2023 energy efficiency plan on February 1. Black Hills Energy filed their proposed 2019- 2023 energy efficiency plan on April 1.

How to Get Involved

If you have questions about Iowa or want to get more involved, contact Leah Scull.

Regulatory

In addition to ordering a scaling back of Kentucky Power’s DSM program spending from about $6 million to $2 million for 2018 in January (Case 2017-00097), the Kentucky Public Service Commission (KPSC) has opened additional dockets to investigate the cost-effectiveness of energy efficiency programs for

MEEA Activities

MEEA will continue to monitory these proceedings and other actions at the KPSC.

If you have questions about Kentucky or want to get more involved, contract Greg Ehrendreich

Regulatory

The Michigan Public Service Commission has announced that they will have a sub-group to their energy waste reduction (EWR) collaborative focused on low income programs. This comes as a direct result of conversations with MEEA and Energy Efficiency for All (EEFA) partners. The first meeting was held on April 6, 2018. The next three meetings will be held on May 18, June 14 and July 26.

The MPSC voted 3-0 to approve DTE’s Certificate of Necessity (CON) filing for a 1100 MW combined cycle gas plant.

MEEA Activities

MEEA is working with in-state EEFA partners and the MPSC to develop agendas for a recurring Low Income Energy Waste Reduction stakeholder collaborative meeting. At the April 6 meeting, Senior Policy Manager Nick Dreher assisted the MPSC with facilitation.

How to Get Involved

The EWR meetings (IRP and Low Income) are open to the public for anyone interested. 

Information about the recent IRP process can be found at www.michigan.gov/energylegislation.

For more information about Michigan or to get more involved, contact Nick Dreher.

Legislative

In March, both the Senate (SF 3245) and the House (HF 3688) introduced legislation that would implement a residential Property Assessed Clean Energy (PACE) program. This seeks to replace the residential PACE program that was repealed last year. This bill has until the end of session, which is May 21, to move to the governor’s office. There was another House PACE bill (HF 3996), however this one is not expected to move this session. The main difference between the two PACE bills revolved around the lien. For SF 3245/HF 3688, the lien is required to be subordinate, while the lien for HF 3996 is required to be superior.

On April 26, the different omnibus bills in the senate were combined into one large omnibus bill (SF 3870). Some highlights of this bill include:

  • Funding for the CIP tracking system
  • A stakeholder group to develop and maintain the tracking system
  • Some building energy code language that would add a burdensome legislative review process on administrative rules that increased the cost of construction by $1,000 or more per unit.
     

The House is expected to soon consolidate their different omnibus bills. Governor Dayton has stated that he will not hold a special session, so the bills must make it to his desk by the end of session. The conference committee is expected to start shortly, which will merge the House and Senate bills.

MEEA Activities

MEEA will continue to monitor these proceedings.

How to Get Involved 

For more information about Minnesota or to get more involved, contact Sophia Markowska.

Regulatory

On April 24, MO PSC staff held a Missouri Energy Efficiency Advisory Collaborative (MEEAC) meeting, wherein non-energy benefits, low-income housing EE and EM&V were discussed. MEEA staff were in attendance.

MEEA Activities

MEEA submitted comments on the draft charter of the statewide DSM collaborative and continues to track its development, including a low-income working group that will begin meeting next month.

MEEA staff submitted comments in response to the MO PSC’s questions issued in the emerging issues in utility regulation working case on distributed energy resources (EW-2017-0245).

On March 7, as part of MEEA’s ongoing Energy Efficiency for All work, MEEA staff attended a low income energy efficiency collaborative meeting in Jefferson City.

For more information on Missouri or if you want to get more involved, contact Nick Dreher.

Legislative

This month, senate leadership is expected to introduce their own version of HB 114, which freezes Ohio’s energy savings goal at 1% through 2025 and expands the eligibility to additional customers to opt out of paying the energy efficiency rider. At present, only those customers with an annual electric usage at 4.5GWh are eligible, but HB 114 expands that to mercantile customers (700 MWh annual usage), allowing aggregation by national accounts such as gas stations, convenience stores and other medium commercial entities. The provisions in the substitute bill are anticipated to be pared down RPS and EERS as well as shrinking the eligibility of a mercantile opt-out. HB 114 is currently still in the Senate and Energy Natural Resources Committee.

Regulatory

The Public Utilities Commission of Ohio (PUCO) completed Phase 3 of Power Forward on March 22, which focused on rate making and regulation. The next steps are unclear, but it is expected that a summary report will be released late 2018. To watch the proceedings, visit the Power Forward website.

MEEA Activities

MEEA has submitted written interested party testimony on the current version of HB 114.

How to Get Involved

Check the Senate Energy and Natural Resources Committee website for upcoming hearing dates and agenda items.

For more information about Ohio or if you want to get more involved, contact Leah Scull.

Regulatory

On March 20, the Wisconsin Public Service Commission opened Docket Number 5-FE-101 for the Quadrennial Planning Process III. The commission is required to oversee Wisconsin’s energy efficiency and renewable resource programs, known as Focus on Energy (Focus). The commission is obligated to evaluate and set goals for Focus programs and ensure that customers throughout the state have an equal opportunity to receive the benefit of the programs. The decisions from this Quadrennial Planning Process III will be in effect for the 2019-2022 period. Reply comments were due by April 13, 2018. The commission is expected to make decisions regarding the plan in May and make decisions on the program administrator in the fall.

MEEA Activities 

MEEA will continue to monitor these proceedings.

For more information on Wisconsin or if you want to get more involved, contact Sophia Markowksa.