Senate Committee Approves New Energy Efficiency Program

A Senate committee Thursday approved legislation creating a new energy efficiency program to replace the one lawmakers eliminated last year.

The state’s previous energy efficiency program set energy savings goals utility companies were expected to meet.  Legislation proposed by Indianapolis Republican Sen. Jim Merritt – and crafted by Gov. Mike Pence’s office – allows utility companies to set their own efficiency goals. 

The Indiana Utility Regulatory Commission would then approve the utilities’ plans. Critics of the proposed program say allowing utility companies to set their own goals will mean less energy efficiency than if the state created savings goals utilities would have to meet.  But IURC external affairs director Chetrice Mosley says energy producers need more flexibility.

“Due to uncertainties caused by changing technologies, economics and federal regulatory mandates, a one-size-fits-all model is no longer appropriate,” mosley said.

The IURC’s process would allow Hoosier ratepayers to weigh in before the agency approves the utilities’ plans.