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Oklahoma Corporation Commission approves rules to tighten up electric utility efficiency programs

The Oklahoma Corporation Commission voted Friday to approve rules changes that make reporting of energy efficiency savings more consistent across all electric utilities. The changes also better align incentives and performance.
by Paul Monies Published: February 20, 2014

Oklahoma Corporation Commissioners approved new rules Thursday that would make changes to energy efficiency programs run by electric utilities.

Commissioners voted 3-0 to adopt the rules, although Commissioner Dana Murphy said utilities could be more consistent in how they account for energy-efficiency savings and adopt more aggressive goals.

“I think there’s more to be done, but I do think it’s a good direction to be moving and I think that’s what I would tell all the utilities, along with all the stakeholders involved here. Your voices were heard here,” Murphy said before her vote for approval.

The commission’s public utility division drafted the rules and held several technical conferences with interested groups, including electric utilities, environmental and consumer groups. The commission heard proposed changes to the rules earlier this month, but delayed action to make additional changes suggested by commissioners on the efficiency programs.

Utilities design their own energy efficiency programs in accordance with commission rules. Because the programs result in fewer kilowatt hours being sold, utilities are allowed to recover some of the administrative costs. Utilities also get additional incentives for meeting specified energy-efficiency goals.

Commissioners Patrice Douglas and Bob Anthony expressed concern over when the rules for efficiency programs would go into effect. Commission staff suggested 2015, but utilities successfully argued to wait until 2016 so they wouldn’t have to make changes to programs already in effect.

In response to commissioners’ questions, Kathy Champion, a regulatory analyst with the public utility division, said utilities were inconsistent in how they account for their energy savings. Staff reviewed utility filings, looked at the levels of incentives and studied consumer education programs on the benefits of energy-efficiency programs.

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by Paul Monies
Energy Reporter
Paul Monies is an energy reporter for The Oklahoman. He has worked at newspapers in Texas and Missouri and most recently was a data journalist for USA Today in the Washington D.C. area. Monies also spent nine years as a business reporter and...
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