Proceeding on the Motion of the Commission to Investigate Potential Electric Delivery Rate Disincentives Against the Promotion of Energy Efficiency, Renewable Technologies and Distributed Generation

2007 WL 1185703 (2007)

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Proceeding on the Motion of the Commission to Investigate Potential Electric Delivery Rate Disincentives Against the Promotion of Energy Efficiency, Renewable Technologies and Distributed Generation

New York Public Service Commission
2007 WL 1185703 (2007)

  • Written by Robert Cane, JD

Facts

The New York Public Service Commission (the commission) (plaintiff) instituted a proceeding to investigate potential disincentives that discouraged utilities from promoting energy efficiency, renewable resources, and distributed generation. The promotion of alternative-energy technologies was important to energy policy goals. A revenue-decoupling mechanism was a way to reduce the link between utility profit and volume of electricity sold. Such a mechanism reduced the disincentive against promoting energy conservation. The mechanism was to include a true-up (reconciliation) process in which the utilities could claim net lost revenue caused by energy-efficiency programs. The electric utilities who were parties to this proceeding suggested several different approaches to developing revenue-decoupling mechanisms. The utilities generally agreed that the design and implementation of a revenue-decoupling mechanism was best left to individual rate proceedings. The commission considered the issue.

Rule of Law

Issue

Holding and Reasoning ()

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