Energy Efficiency Program Passes House

House lawmakers Tuesday approved legislation creating a new statewide energy efficiency program. The bill comes after the legislature eliminated the previous program last year.

The bill requires utility companies to create energy efficiency plans at least every three years.  The companies submit the plans, which must include “reasonable” savings goals, to the Indiana Utility Regulatory Commission for approval.   Bedford Republican Rep. Eric Koch, the bill’s sponsor, says an independent group will ensure the utilities are meeting the self-imposed goals.

“This provides checks and balances and gives the commission, utilities, and stakeholders the information they need to assess the programs and the progress being made,” Koch said.

But Bloomington Democratic Rep. Matt Pierce says the bill gives utilities the ability to pass on the cost of the program to ratepayers.  And he says there’s almost no limit on the amount the utilities can recover.

“For this bill, the goal is no longer energy savings," Pierce said. "The goal is ensuring that the energy utilities remain whole, that they remain profitable.”

The House passed the bill 72 to 26, mostly along party lines, sending it back to the Senate.   Indianapolis Republican Sen. Jim Merritt, the bill’s author, says he plans to concur to changes made by the House.  The measure would then head to the governor.