Governor Receives Energy ReportPosted: Updated:
The Indiana Utility Regulatory Commission has given Governor Mike Pence its recommendations for better energy efficiency. The IURC says the state needs to add about 5,000 megawatts of power to meet future demand. October 10, 2014
INDIANAPOLIS, Ind. -- On Thursday, Governor Mike Pence received recommendations for a new legislative framework for energy efficiency in Indiana from the Indiana Utility Regulatory Commission (IURC).
“Managing the demand-side of our electricity industry through energy efficiency is an important part of our energy strategy. I speak often of the need for an ‘all of the above’ energy strategy, and I include energy efficiency in my definition of ‘all of the above,’” said Pence. “I thank the Indiana Utility Regulatory Commission for their careful deliberation and thoughtful consideration evidenced by the recommendations I received, and I look forward to working with the General Assembly to establish a renewed direction for energy efficiency in Indiana.”
The State Utility Forecasting Group’s 2013 Forecast estimates that Indiana will need to add 1,450 megawatts of generation resources in the near term and 3,600 megawatts in the longer term in order to meet forecasted demand. Energy efficiency not only can help to reduce that gap but it can play a critical role in ensuring public utilities can provide electricity to Hoosiers at the lowest possible cost and lower the demand for electricity, decreasing the need to build new generation facilities and avoiding the costs associated with those new facilities.
On March 27, 2014, Governor Pence sent a letter to the IURC asking them to complete a set of recommendations that can inform the development of a new legislative framework for energy efficiency in Indiana. Specifically, Governor Pence asked for recommendations that:
-Include appropriate energy efficiency goals for Indiana;
-Reflect an examination of the overall effectiveness of current energy efficiency programs in the state;
-Reflect any and all issues that may improve current energy efficiency programs;
-Reflect a thorough benefit-cost analysis of the cost impact to ratepayers of possible energy efficiency programs; and
-Allow for an opt-out whereby large electricity consumers can decide not to participate in an energy efficiency program.
Source: Office of Governor Mike Pence