Energy Efficiency Procurement and Solicitations

Energy Efficiency Portfolios and Business Plan:

  • Rulemaking R.13-11-005 - The proceeding through which the CPUC funds and sets current energy efficiency portfolios, energy efficiency goals, and addresses various related policy goals. [November 14th, 2013]  
    • Proceeding A.22-02-005 – The proceeding detailing the Approval for the 2024-2031 Energy Efficiency Business Plan and the 2024-2027 Portfolio Plan; any decision made under this proceeding now falls under R.13-11-005. [February 15th, 2022] 
    • D.23-06-055: Approves the new budgets for the 2024-2027 energy efficiency portfolios and 2024-2031 business plans for nine portfolio administrators, creates RuralREN, adopts equity and market support segments, with ways to identify metrics and goals to be measured, for the energy efficiency portfolios, and promotes the market access approach. Includes modifications to the “hard-to-reach customers” definition provided in D.18-05-041 and “small business size” established in Resolution E-4939. [July 3rd, 2023]   
    • D.23-08-005: Adopts the total system benefit and energy savings goals for ratepayer-funded energy efficiency portfolios for 2024-2035. [August 16th, 2023]
    • D.18-05-041 – Provides a refined definition of “disadvantaged communities” and “hard-to-reach customers.” [June 5th, 2018]
    • Resolution E-4939 – Provides the definition and scope of a “small business” and customers to it. [October 11th, 2018]
  • Rulemaking R.06-04-010 - Order Instituting Rulemaking to examine the Commission's post-2005 energy efficiency policies, programs, evaluation, measurement, and verification, and related issues. [April 13th, 2006]  
    • D.10-04-029 – This decision, among other items, sets out the roles and relationships among the CPUC’s Energy Division, California’s investor-owned utilities (IOU), and stakeholders regarding Evaluation, Measurement and Verification (EM&V) of energy efficiency programs and directed that the review of completed IOU workpapers regarding ex-ante savings estimates are subject to Energy Division review and approval, as set forth in an Administrative Law Judge Ruling of November 18, 2009 in Application 08-07-021, et al. Each IOU shall cooperate with Energy Division to allow upfront consultation regarding such workpapers. [April 21st, 2010]  
    • D.11-07-030 - This decision adopts, among other items, an Energy Division custom project ex ante value review process (see Attachment B). [July 22nd, 2011]

Cost-Effectiveness:

  • Rulemaking R.22-11-013 – The proceeding that covers Distributed Energy Resource (DER) program cost-effectiveness issues, data access and use, and equipment performance standards. All of the latest updates and decisions related to the Avoided Cost Calculator (ACC) fall under this proceeding. [November 17th, 2022]  
    • D.19-05-019 – Adopts new cost-effectiveness analysis tests for DER programs. Utilizes the Total Resource Cost (TRC) test as the primary test of cost-effectiveness, while also considering the results of the Program Administrator Cost (PAC) and Ratepayer Impact Measure (RIM) cost-effectiveness tests. Lastly, begins testing the Societal Cost Test (SCT) to see if it will help meet California’s carbon reduction objectives. [May 21st, 2019]  
    • D.22-05-002 – Covers the need for continued updates of the Avoided Cost Calculator and the need to align the ACC with the Integrated Resource Planning proceeding. Thus, the ACC will rely upon an adopted Reference System Plan (RSP) or a Preferred System Plan (PSP). [May 6th, 2022] 

Clean Energy Financing Process:

  • Rulemaking R.20-08-022 – The proceeding to investigate and design clean energy financing options for electricity and natural gas customers. [August 27th, 2020]  
    • D.23-08-026 – Authorizes the expansion of on-bill financing programs administered by the IOUs to support clean energy technologies beyond energy efficiency. [August 18th, 2023]  

Energy Efficiency Processes and Systems:

  • D.21-05-031 – Addresses policy issues on the identification of energy efficiency potential and the setting of goals for program administrators to achieve. Adopts the Total System Benefit metric, segments energy efficiency program portfolios into resource acquisition, market support, and equity, and makes changes to the rolling portfolio framework and regulatory process. [May 26th, 2021]
    • Program Closure Checklist - As required by D.21-05-031 Ordering Paragraph 12, Energy Division created a checklist of steps required by portfolio administers and Energy Division staff to close an existing or launch a new energy efficiency program.
  • D.23-02-002 – Adopts improvements to the third-party solicitation process for the Commission’s energy efficiency portfolio. [February 3rd, 2023]  

Fuel Substitution and Natural Gas:

  • Rulemaking R.17-02-002 – Proceeding on the feasibility of minimizing or eliminating the use of Aliso Canyon Natural Gas Storage Facility while maintaining energy and electric reliability for the nearby region. [February 9th, 2017]
  • D.19-08-009 – Sets up the Fuel Substitution Test to address greenhouse gas emission goals and declares that fuel substitution will be reflected in the cost-effectiveness evaluation of a program administrator’s energy efficiency portfolio. [August 5th, 2019]
  • D.23-04-035 – Sets forth a new framework and criteria for the purpose of reducing ratepayer funded incentives for natural gas energy efficiency measures that have a Viable Electric Alternative (VEA). [April 14th, 2023]  

Deemed Ex Ante Measures and Measure Packages:

The log in site for Up-to-date information on the Deemed Ex Ante measures can be found at Home - CEDARS (sound-data.com).

Information on Deemed Measure Packages can be found at: DEER Resources - CEDARS (sound-data.com)

Under “Deemed Measure Plans”

  • All the most recent DEER Update Resolutions that show measure package parameter updates by year.
  • Measure package dispositions.
  • Guidance documents – clarify and interpret Decision and Resolution language.

Under “Tools”

  • How to incorporate approved building simulation software into measure packages.
  • Water heater calculator.

Under “DEER Database”

  • Archived past dispositions.

Custom Project Review (CPR):

CPUC D.09-09-047, D.11-07-030, and the CPR Guidance Page

  • Protect ratepayer funds by ensuring reliable savings estimates. 
  • Customer incentives and program implementer performance payments are based on the estimated efficiency savings.
  • Catch errors that may have escaped the program administrator’s (PA) internal engineering review process to improve the reliability of the efficiency savings estimates. Review items such as:
    • Program influence
    • Efficiency savings calculations methodology
    • Input parameters assumption
    • Savings verification measurement methodologies and data collection
  • Help Program Administrators improve their internal review process.
  • Ensure project compliance with CPUC policy and program rules.

Strategic Energy Management (SEM):

  • SEM was launched in 2018 as an engagement program targeting the industrial & agriculture market sectors (D.16-08-019)
    • Net-to-Gross Ratio of 1
    • Existing Conditions Baseline
    • 5-year Effective Useful Life (EUL)
  • SEM is a holistic, long-term customer engagement using a whole-facility program approach.
  • In SEM, regression models and existing conditions baselines are used to estimate savings from all program activities at the facility.
  • SEM includes capital projects, behavioral, retro-commissioning, and operational (BRO), and integrated demand side management measures.

SEM will be expanded to non-industrial non-residential sectors in the near future pending the completion of an expansion study as directed by D.23-02-002.