Duke Energy’s
proposal overcharges and underperforms
Raleigh, NC -- Today, over one
dozen consumer, senior, justice, and environmental groups descended upon the
Utilities Commission to support a legal petition for an independently-run
energy efficiency program. The move
comes during the second round of hearings on Duke Energy’s controversial energy
efficiency proposal, Save-a-Watt, which began today.
“Working families need relief from sky-rocketing energy bills - real
ways to save energy and money,” said Shana Becker, Staff Attorney for the North
Carolina Public Interest Research Group, one of the groups supporting the
motion, and speaking at a press conference today. “NC SAVE$ can provide the leadership and
savings that utility-led programs, like Save-a-Watt, are lacking.”
The groups say that
NC SAVE$ would be an independent non-profit established by the Utilities
Commission. Historically, the Utilities
Commission has established non-profits to meet needs underserved by the utility
companies. Advanced Energy Corporation,
for example, was established to promote alternative energy generation methods,
and to maximize the energy currently produced. NC GreenPower subsequently was
established to give North Carolinians the option to purchase cleaner,
sustainable energy. NC SAVE$ would exist to save the most energy and money for consumers, a
service the utilities have failed to adequately provide according to the
groups.
“NC SAVE$ can save
ten times more energy than Duke’s plan – much faster and at a far lower cost
– while nullifying the need to risk 35
billion dollars on coal-fired and nuclear power plants,” said John Runkle, attorney for
NCWARN, who filed the motion for NC SAVE$ today. “Duke calls its plan
‘pioneering,’ but it lags behind at least two dozen proven energy-saving
programs.”
Other opponents of Duke Energy’s plan include the Attorney General,
Public Staff and the City of Durham. They presented evidence that Save-a-Watt overcharges and underperforms
compared to other energy efficiency programs. A Public Staff expert testified that Duke Energy would collect $18.23
for promoting an energy efficiency light bulb that retails for $1.65. The total efficiency achieved would be 0.23%
during the first years, whereas the average top performing utility programs
saved 1.00%, according to Public Staff.
“You
have heard about Robin Hood. Duke’s Save-a-Watt proposal is the ‘Hood
getting robbed,” said Reverend Melvin Whitley at the press conference. Rev.
Whitley is the Chairman of the Durham chapter of ACORN, the nation’s largest
grassroots community organization. “We need an independent energy efficiency
non-profit such as NC SAVE$ to protect the poor.”
Other states
already rely upon independently-run energy efficiency programs, like NC SAVE$. According
to a report released by Clean Water for North Carolina (CWFNC),
independently-run programs have been cost-effective and economically
stimulating, creating more jobs in more communities than utility-led
programs. The report details programs in
six states, including New York, Vermont, Oregon, Wisconsin, Maine and New
Jersey. The newest state to adopt an independent program is Delaware. Hope Taylor, Executive Director of CWFNC
said, “The problems inherent in utility administration of energy efficiency
have motivated the transition to a new, independent model.”
The Associate Director of AARP North Carolina, Bill Wilson also urged
the adoption of an independent energy efficiency program. “Cost-effective energy efficiency programs
are essential to helping AARP members and other seniors reduce skyrocketing
home energy bills. An independent
administrator such as proposed in NC SAVE$ delivers on that goal. Duke’s Save-A-Watt does not.”
The Save-a-Watt hearings
are expected to conclude this week. Duke
has approached some of the parties for settlement. The NC SAVE$ group lacks confidence in settlement.
“Duke Energy lost any credibility as an energy efficiency steward when it
proposed Save-a-Watt, not to mention when it simultaneously proposed building a
new power plant. It’s time to kick the fox out of the henhouse,” said NCPIRG’s Becker.
