Iowa Admin. Code r. 199-35.9 - Energy efficiency and demand response cost recovery
Each utility shall be allowed to recover the authorized energy efficiency and demand response plan expenditures adjusted for any overcollections or undercollections calculated on an annual basis. The utility may propose to recover the portion of the costs of process-oriented industrial assessments related to energy efficiency.
(1)
Accounting/or costs.
Each utility shall maintain accounting plans and procedures to account for all
energy efficiency and demand response costs.
a. Each utility shall maintain a subaccount
system, work order system, or accounting system which identifies individual
costs by each program.
b. Each
utility shall maintain accurate employee, equipment, material, and other
records which identify all amounts related to each individual energy efficiency
or demand response program.
(2)
Automatic adjustment
mechanism. Each utility shall file by June 1 of each year energy
efficiency and demand response costs proposed to be recovered in rates for the
12-month recovery period beginning at the start of the first utility billing
month at least 30 days following board approval.
(3)
Energy efficiency cost recovery
(EECR) and demand response cost recovery (DRCR) factors. Each utility
shall calculate an EECR factor to recover the costs associated with the energy
efficiency plan, and each electric utility shall also calculate a DRCR factor
to recover costs associated with the demand response plan. The utility shall
calculate EECR/DRCR factors separately for each customer classification or
grouping previously approved by the board. A utility shall not use customer
classifications or allocations of indirect or other related costs, other than
those previously approved by the board, without filing for a modification of
the energy efficiency and demand response plan and receiving board approval.
Each utility may elect to file its first EECR and DRCR factors up to 120 days
after November 13, 2019.
a. EECR/DRCR factors
shall be calculated according to the following formula:
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b.
EECR/DRCR factor is the energy efficiency or demand response recovery amount
per unit of sales.
c. Authorized
recovery is the difference between the actual energy efficiency or demand
response expenditures by customer class for the previous calendar year and the
approved energy efficiency or demand response budget by customer class for the
previous calendar year plus the approved energy efficiency or demand response
budget by customer class for the current calendar year.
d. Overcollection or undercollection is the
actual amount recovered by customer class for the previous recovery period less
the amount authorized to be recovered by customer class for the previous
recovery period. This may also include adjustments ordered by the board in
prudence reviews.
e. Annual sales
units are the estimated sales for the 12-month recovery period for customers
who have not requested an exemption as allowed by rule
199-35.7 (476).
(4)
Filing
requirements. Each utility proposing to recover energy efficiency or
demand response costs through an automatic adjustment mechanism shall provide
the following information:
a. The filing shall
restate the derivation of each EECR/DRCR factor previously approved by the
board.
b. The filing shall include
new EECR/DRCR factors based on allocation methods and customer classifications
and groupings approved by the board in previous proceedings.
c. The filing shall include all worksheets
and detailed supporting data used to determine new EECR/DRCR factors.
Information already on file with the board may be incorporated by reference in
the filing.
d. The filing shall
include a reconciliation comparing the amounts actually collected by the
previous EECR/DRCR factors to the amounts expended. Overcollection or
undercollection shall be used to compute adjustment factors.
e. If the board has determined in a prudence
review that previously recovered energy efficiency or demand response costs
were imprudently incurred, adjustment factors shall include reductions for
these amounts.
(5)Tariff sheets. Upon
approval of the new EECR/DRCR factors, the utility shall file separate tariff
sheets for board approval to implement the EECR/DRCR factors in the utility's
rates.
(6)Customers'
bills.
a. Each electric and natural
gas utility shall include the EECR factor, the customer's usage, and the dollar
amount charge on the customer's bill. Customers who receive one bill for
electric and natural gas service shall have a separate line item on the bill
for the electric EECR and the natural gas EECR.
b. Each electric utility shall represent the
DRCR factor, the customer's usage, and the dollar amount charge on the
customer's bill.
Notes
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