Cracking the Code: Ratemaking and Incentive Structures that Work for Utilities, While Boosting Investment in Energy Efficiency
In this presentation at the Keystone Energy Efficiency Alliance’s annual Energy Efficiency Conference, Janine Migden-Ostrander discusses options for regulators to encourage utility investment in energy efficiency resources. Because all regulation is incentive regulation, it is important to understand what incentives are created by any particular regulatory scheme and to design a scheme that best serves the desired objectives. Ms. Migden-Ostrander provides an overview of three different regulatory schemes intended to encourage or reward utility investment in efficiency, including performance based rate design, ratemaking structures to encourage energy efficiency, and other incentives for efficiency.