MidAmerican Energy Company Updates Energy Efficiency Cost Recovery Factors

Strategic Insights -

Iowa Utilities Commission has issued a regulatory update concerning MidAmerican Energy Company's Electric Tariff No. 2 Substitute 15th Revised Sheet No. 435, effective immediately. The update revises the energy efficiency cost recovery (EECR) factors for various class categories, including residential, non-residential lighting, and total on-going costs. These revised factors will be used to allocate the annual portion of energy efficiency costs to be recovered from customers.

Key Takeaways:

  • The Iowa Utilities Commission has updated the energy efficiency cost recovery (EECR) factors for MidAmerican Energy Company's Electric Tariff No. 2 Substitute 15th Revised Sheet No. 435.
  • The revised EECR factors are applicable to all electric rates and are based on the unrecovered amount of energy efficiency expenditures, including carrying costs for ongoing programs.
  • The class costs are converted to a per kWh basis using sales forecasts for the recovery year.
  • The updated factors include:

+ Residential Non-Residential Lighting Total On-going MidAmerican Costs:

- Residential: $0.00127

- Non-Residential Lighting: $0.00126

- Total On-going: $0.00002

+ Energy Efficiency Charge:

- Residential: $0.00127

- Non-Residential Lighting: $0.00126

- Total: $0.00126

+ Demand Response Charge:

- Residential: $0.00035

- Non-Residential: $0.00018

- Total: $0.00018

  • Residential customers with annual usage exceeding 50,000 kWh will be charged the residential EECR factors.
  • An annual reconciliation will be filed to compare recovered energy efficiency costs to allowed costs and adjust the current EECR factors accordingly.

Statistics:

  • Energy efficiency costs recovery (EECR) factors:

+ Residential: $0.00127

+ Non-Residential Lighting: $0.00126

+ Total On-going: $0.00002

  • Demand response charge:

+ Residential: $0.00035

+ Non-Residential: $0.00018

Sources:

  • Iowa Utilities Commission
  • MidAmerican Energy Company Electric Tariff No. 2 Substitute 15th Revised Sheet No. 435
  • Filed with the Iowa Utilities Commission on June 16, 2025, TF-2025-0042