The Arizona Corporation Commission voted 4-1 on October 14, 2020, to increase Arizona’s energy efficiency standard. The standard was first set in 2010 and has been part of the ACC’s ongoing efforts to modernize Arizona’s Energy Rules. The new standards would require utilities to implement energy efficiency measures by 2030 which are equivalent to 35% of their 2020 peak demand, up from 22%.
ACC Commissioner Lea Marquez Peterson, who supported the plan said:
“Innovations in our homes and on the grid, such as smart devices and ENERGY STAR-rated appliances, provide some of the most direct ways for Arizona’s families to save money and are constantly evolving. These energy-saving technologies give Arizona’s households new opportunities to save, including during the times of day when the cost per kilowatt-hour is highest for customers.”
Energy efficiency, which at its most basic level, is just using less energy to get the same job completed – is generally regarded as the cheapest way to avoid higher rates for energy by using existing generation more efficiently with less waste. Programs offered by utilities to meet the energy efficiency standard range from residential rebates for smart thermostats, energy efficient pool, lighting and home improvements to commercial programs dealing with demand response and incentives on efficient upgrades.
With benefits to residential, commercial and industrial users in the form of lower utility bills, energy efficiency measures are widely popular. TWW recently surveyed conservative voters in Arizona about energy efficiency polices and found deep support. The poll found that 85% of conservative voters in Arizona would tell a candidate for elected office to support policies that encourage energy efficiency.
The ACC will likely meet on October 29th to continue their discussion on modernizing other aspects of Arizona’s Energy Rules.