COM/CXW/MEG/k47 DRAFT Item-1
12/11/2001
Decision
BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA
Order Instituting Rulemaking on the
Commission's Proposed Policies and Programs
Governing Low-Income Assistance Programs.
Rulemaking 01-08-027
(Filed August 23, 2001)
LOW INCOME ENERGY EFFICIENCY STANDARDIZATION PROJECT (PHASE 3), CALCULATIONS FOR BILL SAVINGS AND
REPORTING REQUIREMENTS MANUAL (PHASE 2),
INCLUDING COST-EFFECTIVENESS TESTING OF
LOW-INCOME PROGRAMS
TABLE OF CONTENTS
Title Page
INTERIM OPINION 1
I. Summary 2
II. Background and Issues 3
A. LIEE Standardization Project (Phase 3) 5
B. Reporting Requirements Manual (Phase 2) Including Cost-Effectiveness Testing of LIEE Programs 9
C. Standardized Method For Producing Data on LIEE Bill
Savings and Expenditures 10III. Reporting LIEE Bill Savings and Program Costs 11
IV. Phase 3 Standardization Issues 15
A. Eligibility of Customers on Business Rates 15
B. Eligibility Based on Heating Fuel 17
C. Limitations on Expenditures by Housing Type 24
D. Limits on Prior Participation in LIEE Program 28
E. Fractional Qualification in Multifamily/Mobile Homes 29
F. Limits on Minor Home Repairs and Furnace Repairs/Replacements 31
G. Frequency of Inspections 32
H. Eligibility of Renters For LIEE Equipment 35
I. Natural Gas Appliance Testing 38
J. Ceiling Insulation Levels 39
K. Inspector-Contractor Dispute Resolution 43
L. Lead-Safe Practices 45
M. Measure Pre-Approval 46
N. WIS Manual Copyright 47
O. Other Issues 48
P. Implementation of Adopted Changes 50
V. Cost-Effectiveness Testing 51
VI. Other RRM Phase 2 Issues 58
VII. Comments on Draft Decision 59
TABLE OF CONTENTS
(Continued)
Findings of Fact 59
Conclusions of Law 65
ORDER 67
Attachment 1 Acronym/Abbreviation
Attachment 2 Proposed Customer Bill Of Rights For California Alternate Rates For Energy (CARE) And Low Income Energy Efficiency (LIEE) Services
Attachment 3 Definitions of LIEE Program Cost Variables and Reporting Formats
Attachment 4 Standardization Team's Response to Miscellaneous Issues Relating to Chapter 7 of the Policy and Procedures Manual
Attachment 5 Non-Energy Benefits Quantified By The Reporting Requirements Manual Working Group
I. Summary1
The purpose of this decision is to continue our efforts to standardize the policies and procedures for implementing and reporting the results of low-income assistance programs, across utilities. Today's determinations apply to the low-income assistance programs implemented by Pacific Gas and Electric Company (PG&E), San Diego Gas & Electric Company (SDG&E), Southern California Edison Company (SCE) and Southern California Gas Company (SoCal), collectively referred to as "the utilities."
We adopt the utilities' proposed definitions and reporting format for bill savings and program costs associated with the low-income energy efficiency program, and present the results of the bill savings analysis to date. The utilities are directed to present regular updates of bill savings and program cost information with their annual reports on low-income programs, beginning with the May 1, 2002 annual report. As described in this decision, we also adopt standardized formats for reporting the participation of community-based organizations in the LIEE program and program installation costs per dwelling.
We address a number of unresolved policies and procedures regarding the implementation of low-income energy efficiency programs as part of our ongoing standardization efforts. These include: 1) eligibility of customers on business rates, 2) eligibility based on heating fuel, 3) limits on prior participation in the program, 4) qualification of multifamily units and mobile homes, 5) limitations on expenditures by housing type, including master-metered dwellings, 6) inspection frequencies, 6) ceiling insulation levels, and 7) inspector-contractor dispute resolution procedures, among others. Our determinations become effective 30 days from the date of this decision, or January 1, 2002, whichever is later.
In addition, we consider recommendations on how to evaluate the low-income energy efficiency program either overall or on the measure-specific level, taking into account both the cost-effectiveness of the services and the policy of reducing hardships facing low-income customers. We reject the use of a single metric for this purpose, as proposed by the Reporting Requirements Manual Working Group. We direct the utilities to incorporate the non-energy related benefits presented in this proceeding into the existing participant cost and utility cost tests, for further consideration. In particular, we direct the Reporting Requirements Manual Working Group and Standardization Project Team to explore how to consider each test in making final measure selections or in evaluating the overall effectiveness of low-income energy efficiency programs, with public input. A joint report of the Reporting Requirements Manual Working Group and Standardization Project Team with recommendations on this issue is due 120 days from the effective date of this decision.
1 Attachment 1 explains each acronym or other abbreviation that appears in this decision.
