New York State Department of Public Service Approves Decreased Incentives for Commercial and Industrial Gas Energy Efficiency Program

Strategic Insights -

The New York State Department of Public Service has approved National Grid's request to decrease incentives for prescriptive space heating measures, heating controls, steam measures, insulation measures, and custom incentive levels within the company's Commercial and Industrial Gas Program. This decision aims to ensure the continuation of the program and reallocate funds to align with other New York State program administrators' gas offerings.

Key Takeaways:

  • National Grid will decrease incentives for prescriptive space heating measures, heating controls, steam measures, insulation measures, and custom incentive levels within the Commercial and Industrial Gas Program.
  • The incentive decrease is designed to ensure the continuation of the program and is aligned with the company's request to reallocate funds to this program.
  • An analysis performed by National Grid shows that the changes to these incentive levels will not result in a net reduction in aggregated energy savings and make efficient use of ratepayers' funds.
  • The revised incentive levels will be communicated to other utility program administrators operating within the same service territory and reflected in the next Implementation Plan notification to the Secretary.
  • National Grid has submitted notification of the revised incentive levels and will provide analysis to DPS Staff upon request.

Statistics:

  • 5 types of measures within the C&I gas portfolio will have decreased incentives: prescriptive space heating measures, heating controls, steam measures, insulation measures, and custom incentive level.
  • National Grid will reallocate funds from the Residential High-Efficiency Heating, Water Heating and Controls Energy Efficiency Program to the C&I Gas Program.

Sources:

  • National Grid's letter to Secretary Burgess (May 18, 2015)
  • Energy Efficiency Guidance Document, EE-05: Setting and Revising Customer Incentive Levels, issued by the New York State Department of Public Service on March 31, 2014. (Source: DPS)
  • Letter from National Grid to Secretary Burgess (May 18, 2015) requesting approval to reallocate budgets and savings targets from the Residential High-Efficiency Heating, Water Heating and Controls Energy Efficiency Program to the C&I Gas Program. (Source: National Grid)