Selected International Experience with Utility Energy Efficiency Programs
The Forel Institute of the University of Geneva invited Rick Weston to share international experience with energy efficiency obligations (EEO)—the cornerstone of the European Energy Efficiency Directive. An energy efficiency obligation is a regulatory mechanism requiring obligated parties to meet quantitative energy saving targets. The targets must be met by delivering or procuring eligible energy savings produced by implementing approved end-use energy efficiency measures. With approximately 50 EEO schemes in a number of jurisdictions around the world, Australia, the U.S., and Canada have enjoyed particular success. The most successful EEOs contain common and replicable features, including savings targets, funding levels, the treatment of potential adverse impacts on regulated entities, as well as public, regulatory, and political commitments to efficiency.