HB 921 -- Energy-Efficiency and Demand-Response Programs

Sponsor:  Brown (73)

This bill requires gas and electrical corporations to file
energy-efficiency and demand-response programs with the Missouri
Public Service Commission which must review, approve, and
re-approve the programs.  To be approved, a program must, if
implemented, acquire all cost-effective, energy-efficiency and
demand-response resources available in the utility's service
territory; and new or updated programs must be filed at least
every three years.  A program must be implemented within six
months of the effective date of the tariff authorizing the
program.

Before approving any program, the commission must determine that
it is cost-effective using the total resource cost test; but
low-income programs do not need to pass that test.  The
commission must authorize the utility to recover the total costs
of energy-efficiency programs through rate increases.  The
commission may authorize the costs to be recovered as an ongoing
expense or may allow the utility to capitalize all or a portion
of the costs.  The commission must provide utilities an
opportunity to earn a profit on energy-efficiency programs.

The commission may provide an application process in which a
utility can apply to decouple revenue from sales.  The bill
specifies the requirements for the approval of an application.

A utility is required to submit an annual report about its
actions to comply with the provisions of the bill.  The report
must include documentation of expenditures, participation levels,
estimated energy savings, demand reductions, customer monetary
savings resulting from the programs, evaluation of the
cost-effectiveness of expenditures, a qualitative assessment of
program effectiveness, and any other information the commission
requires by rule.  A utility must also submit, at least every
three years, a comprehensive evaluation, measurement, and
verification report prepared by an independent program evaluator.
The bill specifies the requirements of the annual report and the
independent evaluation.

The commission may adopt inverted rate structures to encourage
energy conservation.

Missouri House of Representatives
95th General Assembly, 1st Regular Session
Last Updated November 17, 2009 at 9:25 am