The issue
Top 3 End Uses for Energy Savings Potential
Source: EPRI
Utilities are committed to actively pursuing energy efficiency and demand management across their service territories. They are aggressively pursuing opportunities to increase the energy efficiency in their own operations, as well as partnering with customers to achieve higher levels of efficiency in their homes and businesses.
AEP position
Electricity Usage and Summer Peak Demand Forecast
Source: EIA
AEP understands the sincere interests of our stakeholders in wanting us to pursue energy efficiency programs more aggressively. AEP has established a goal to achieve a 1,000 MW reduction in demand by the end of 2012 and a related goal to reduce energy consumption by 2250 MW by the end of 2012. AEP’s current commitment is not the end goal, but part of a sustained commitment to energy efficiency actions that are viable and deemed to be of interest to state utility commissions and other stakeholders.
Additionally, through AEP’s gridSMART® initiative, we are deploying advanced technologies that will further improve the efficiency of the grid, and enable additional products and programs to help customers reduce their energy usage and manage their time-of-use.
AEP encourages achievement of energy and demand reductions through improvements in codes & standards, as well as utility-sponsored programs.
AEP considers energy efficiency and demand management as viable tools for meeting federal and state environmental, sustainability, and consumer energy reduction goals.
AEP believes that the cost-effectiveness of energy efficiency and demand management activities is crucial to their ultimate long-term success.
AEP’s Projected MW Achievement
Cumulative 2008-2012 (as of December 2009)
AEP’s Projected GWh Achievement
Cumulative 2008-2012 (as of December 2009)
AEP considers a supportive regulatory climate and timely recovery of investments (including program costs, net lost revenues, and appropriate incentives) to be a threshold requirement in enabling comprehensive implementation of energy efficiency and demand management programs.
AEP believes the primary responsibility for determining appropriate utility-sponsored programs rests with the individual utility and state government officials and their staffs, taking into consideration the interests of our customers.
