The article below is by Houston Neal of Software Advice and is a great, well written summary of the proposed program.
Cash for Caulkers – The Definitive Guide To The Home Star Energy Retrofit Act of 2010
“Cash for Caulkers” is nearly here. Last month the House of Representatives passed H.R. 5019 – also known as the Home Star Energy Retrofit Act of 2010 or “Cash for Caulkers” – to kick-start construction, create jobs and cut back carbon emissions. While the bill still needs to clear the Senate, supporters predict it will pass this summer.
This is great news for homeowners and contractors alike. The bill provisions $6 billion for energy-efficient or “green” retrofits. It is expected to fund renovations for 3 million families, create 168,000 new jobs and save consumers $9.2 billion on energy bills over the next 10 years.
But in order to cash in on upcoming rebates, homeowners and contractors will need to do their homework. There are 13 types of retrofits eligible for funding. Each retrofit has unique eligibility requirements and set rebate amounts. You can read the full text here.
We made it really easy to wade through the legalese. Below is a table that breaks down the 13 retrofits of the bill, along with the requirements and rebate amount for each. In addition to the requirements we listed, each retrofit must comply with Building Performance Institute (BPI) standards or other procedures to be approved by the Secretary of Energy.
LANSING (AP) — Democrats who control the Michigan House want more electricity to come from renewable sources.
The proposal discussed Monday calls for 30 percent of the state’s power to come from sources such as wind and solar by 2025. It would build upon a state law adopted last year that requires 10 percent of the state’s power to come from renewable sources by 2015.
Democrats say expanding the standard would improve the market for alternative energy companies that Michigan is wooing to diversify its economy.
Utilities also would be required to help customers decrease electricity usage.
Republicans who run the Senate likely won’t even consider the proposal until Michigan resolves its budget problems for the fiscal year that starts in October.
***article by the Associated Press
Recovery Act funding to expand weatherization assistance programs, create jobs and weatherize more than 125,000 homes in Alabama, Idaho, Maine, Missouri, New Jersey, Oklahoma, Rhode Island, Texas, Vermont, Virginia, Washington, Wisconsin, and Wyoming. The entire article can be seen here http://www.energy.gov/news2009/7627.htm
It’s moving forward, slowly. Some of the key components of the act can be seen here http://www.globe-net.com/other_news/listing.cfm?type=2&newsID=4421
June 2, 2009
The Michigan Public Service Commission (MPSC) today approved a modified version of Michigan Consolidated Gas Company’s proposed energy optimization (EO) plan and surcharges, as required by Public Act 295 of 2008.
Under the approved, modified EO plan, the utility is authorized to implement its EO surcharge beginning June 3 and thereafter. The company originally requested a surcharge that would result in approximately $1.12 per month for the average residential natural gas customer using 100 hundred cubic feet (ccf). However, because the company has been directed to make changes to its proposed EO plan, the exact amount of the surcharge is unknown at this time, but it will be less than what the utility originally requested.
Today’s order excludes from the surcharge uncollectibles that the company sought to include. Uncollectibles associated with the EO plan will be addressed in Mich Con’s next general rate case.
In addition, the MPSC noted that Mich Con’s proposed financial incentive mechanism is not proportional with additional energy savings above the statutory targets. Therefore, the Commission is giving parties to this case 30 days to file new proposed financial incentive mechanisms.
The collaborative established in Case No. U-15805 et al. that includes the participation of all electric and natural gas providers subject to the MPSC’s jurisdiction under Public Act 295 will also evaluate Mich Con’s EO program. Energy efficiency experts, equipment installers, and other interested stakeholders have also been encouraged to participate in the collaborative.
The MPSC is an agency within the Department of Energy, Labor & Economic Growth.
June 2, 2009
The Michigan Public Service Commission (MPSC) today approved a modified version of The Detroit Edison Company’s proposed renewable energy plan (REP) and its energy optimization (EO) plan and surcharges, as required by Public Act 295 of 2008.
The REP proposed by Detroit Edison will substantially increase the amount of electricity provided to its customers from renewable sources. The EO plan will make energy optimization opportunities available to all Detroit Edison customers. The overall result will be a significant reduction in the amount of electricity generated and used in Michigan from fossil fuel sources.
Detroit Edison plans to develop 609 megawatts (MW) of renewable electric sources, including 565 MW from wind. In addition, it plans to purchase 686 MW of renewable resources. Detroit Edison also expects to save 6,633 gigawatt-hours of electricity over then EO plan’s lifetime.
In today’s order the MPSC said that the utility’s REP filing was incomplete because it failed to provide a reasonably detailed description of its Requests for Proposal (RFP) and bid evaluation process. Therefore, the MPSC directed the utility to consult with the MPSC staff and to file testimony and exhibits to correct the REP deficiency within 14 days.
In addition, the MPSC found:
· uncollectibles costs are not reasonable REP program costs; and
· tire fractionation does not qualify as a “renewable energy resource” under PA 295.
Under the approved, modified REP, the utility is authorized to implement its REP surcharge beginning Sept. 1 and thereafter. Residential customers will see a monthly REP surcharge of $3. The costs of the REP were found to be less than the cost of a new electric plant using fossil fuels.
Under the approved, modified EO plan, the utility is authorized to implement its EO surcharge beginning June 3 and thereafter. Every dollar spent on the EO plan will result in an average savings of $4.60. The company originally requested a surcharge that would result in approximately 64 cents per month for the average residential electric customer using 500 kilowatt-hours. However, because the company has been directed to make changes to its proposed EO plan, the exact amount of the surcharge is unknown at this time, but it will be less than what the utility requested.
Today’s order excludes from the EO surcharge uncollectibles that the company sought to include. Uncollectibles associated with the EO plan will be addressed in Detroit Edison’s next general rate case.
In addition, the MPSC noted that Detroit Edison’s proposed financial incentive mechanism is not proportional with additional energy savings above the statutory targets. Therefore, the Commission is giving parties to this case 30 days to file new proposed financial incentive mechanisms.
The collaborative established in Case No. U-15805 et al. that includes the participation of all electric and natural gas providers subject to the MPSC’s jurisdiction under Public Act 295 will also evaluate Detroit Edison’s EO program. Energy efficiency experts, equipment installers, and other interested stakeholders have also been encouraged to participate in the collaborative.
The MPSC is an agency within the Department of Energy, Labor & Economic Growth.
There have also been program approvals for other smaller utility companies in the State of Michigan as well, but this one effects the most people in the metro-Detroit area.
May 26, 2009 – MPSC Press Release
The Michigan Public Service Commission (MPSC) today approved a modified version of Consumers Energy Company’s proposed renewable energy plan (REP) and its energy optimization (EO) plan and surcharges, as required by Public Act 295 of 2008.
Under the approved, modified REP, the utility is authorized to implement its REP surcharge beginning Sept. 1. Residential customers will see a monthly $2.50 REP surcharge.
The utility is authorized to implement the EO surcharge for bills beginning June 1 and thereafter. The average residential electric customer using 500 kilowatt-hours will see a monthly EO surcharge of 71 cents. The average residential natural gas customer using 100 hundred cubic feet (ccf) will see a monthly EO surcharge of $1.72.
Today’s order also directs the director of the MPSC’s Electric Reliability Division to establish an energy optimization collaborative to provide EO program evaluation support and to make recommendations for improving EO plans for all providers. All electric and natural gas providers subject to the MPSC’s jurisdiction under Public Act 295 are directed to take part in the collaborative. In addition, energy efficiency experts, equipment installers, and other interested stakeholders are encouraged to participate in the collaborative.
The Commission also directed the MPSC staff to provide oversight and consultation during the request for proposal (RFP) design process to ensure that the RFP is competitive and fair to all.
In addition, the director of the MPSC’s Regulatory Affairs Division is directed to draft proposed rules to ensure verification of implementation and energy savings for self-directed customers, and the MPSC staff is directed to assure that the third-party contractor for the renewable energy and EO credit program verifies the implementation and energy savings of self-directed projects before issuing EO credits for these projects.
The MPSC is an agency within the Department of Energy, Labor & Economic Growth.
May 26, 2009 – MPSC Press Release Below
The Michigan Public Service Commission (MPSC) today formally adopted the rules governing interconnection and net metering standards. It also approved modified uniform forms to be used on an interim basis for Category 1 (20 kilowatts and under) interconnection and net metering standards.
“With net metering rules now formally in place, electric customers across the state can now add small, renewable energy electric generation projects onsite and get credited for the energy they produce in excess of their needs – at the full retail rate,” said MPSC Chairman Orjiakor Isiogu.
The MPSC on March 18 approved rules governing interconnection and net metering and submitted the rules to the Legislative Service Bureau and the State Office of Administrative Hearings and Rules (SOAHR) for their formal approvals, which were both granted on April 7. That same day, the rules were filed with the Joint Committee on Administrative Rules, which had 15 session days to object to the rules. JCAR did not take any action to prevent the rules from being transmitted to the Secretary of State.
In Case No. U-15919, the Commission approved a modified version of four uniform forms for Category 1 (20 kilowatts and under) interconnection and net metering projects for the electric utilities covered by this order. The four uniform forms are: the application for net metering; the application for interconnection; the interconnection and parallel operating agreement; and the alternative single combined application covering both net metering and interconnection.
Electric utilities covered by today’s order follow: Alpena Power Company, Edison Sault Electric Company, Indiana Michigan Power Company, Upper Peninsula Power Company, We Energies, Wisconsin Public Service Corporation and Northern States Power Company, a Wisconsin corporation and wholly-owned subsidiary of Xcel Energy, Inc., The Detroit Edison Company, Consumers Energy Company and the Michigan Electric Cooperative Association, on behalf of its member electric cooperatives serving retail electric customers Alger-Delta Cooperative, Cherryland Electric Cooperative, Cloverland Electric Cooperative, Great Lakes Energy Cooperative, HomeWorks Tri-County Electric Cooperative, Midwest Energy Cooperative, Ontonagon County Rural Electrification Association, Presque Isle Electric & Gas Coop and Thumb Electric Cooperative.
The net metering and interconnection rules are available on the SOAHR site:
http://www.state.mi.us/orr/emi/rules.asp?type=dept&id=LG&subId=2007%2D010+LG&subCat=Revision+Text (http://www.state.mi.us/orr/emi/rules.asp?type=dept&id=LG&subId=2007%2D010+LG&subCat=Revision+Text)
The MPSC is an agency within the Department of Energy, Labor & Economic Growth
Case Nos. U-15787 and U-15919
Check out the news release below. Your electric rates are going up!!!
MPSC Issues Summer 2009 Energy Appraisal May 01, 2009
May 1, 2009
The Michigan Public Service Commission (MPSC) today released the “Michigan Energy Appraisal: Summer 2009.” The appraisal, published since 1978, reviews the projected prices and availability of energy in Michigan over the summer months.
The demand for energy in Michigan is expected to continue its decline in 2009. These declines are due to the continuing reduction in the level of economic activity in the state and the nation. Should the economy begin to show resumed growth in the later part of 2009, energy demand may begin to pick up, which would serve to offset the degree of the declines shown in these forecasts. Given the anticipated demand levels, no supply issues are anticipated; petroleum and natural gas prices are expected to remain relatively stable. It should be noted that the uncertainty of the economy also translates into a higher level of uncertainty in these projections which are based on the future course of the state’s economy.
Electricity – The availability of electricity over the summer is assured given the anticipated decline in projected sales. Electricity prices could increase depending on two rate cases currently pending action by the Michigan Public Service Commission. Both Detroit Edison and Consumers Energy have requested significant increases in electricity prices. These increases average 8.3 percent across all customer classes, with the largest increase having been requested for the rates charged to residential customers.
Natural Gas – Lower natural gas prices, and lower demand, are also expected to ensure sufficient supply and lower heating costs for the coming winter compared to last year. Total annual natural gas sales in Michigan for 2009 are projected to be 767.1 billion cubic feet (Bcf), a decrease of 0.1 percent over 2008. This is based on normal weather for the remainder of the year. Despite the colder than normal weather during the first quarter of 2009, the lower level of economic activity has served as an offset, holding demand essentially flat.
Petroleum – Increases in surplus world oil production capacity can more than offset most anticipated supply problems, which means gasoline and other petroleum product prices should remain near current levels for the balance of the year. World oil demand is expected to decrease in 2009 by 1.35 million barrels per day (m/b/d) to a total of 85.8 m/b/d. This projection is from the Energy Information Administration’s April 2009 “Short-Term Energy Outlook.” Global oil prices fell precipitously in the last half of 2008, as recessionary effects caused oil demand to fall. The price of crude oil dropped from a high of $137 per barrel in July of 2008 to a low near $36 in December. Currently crude oil prices are approximately $50 per barrel.
Motor Gasoline – For 2009, gasoline consumption is projected to continue its decline, falling an additional 4.1 percent from 2008 levels, which would be the fifth consecutive year of declining demand. Total gasoline use in Michigan is projected to total 4.1 billion gallons for 2009. Gasoline use, based on the 2009 projection, will be down nearly 762 million gallons since 2004, the last year in which gasoline demand increased.
Distillate Fuel Oil – Michigan’s 2009 distillate sales are projected to continue to decline by an additional 7.7 percent to just over 1.1 billion gallons. Diesel fuel remains the prime component of distillate demand, with the majority being used by trucks on highways. The current economic slowdown is the primary cause for the continued decline in demand as fewer good are shipped by trucks and rail.
The American Recovery and Reinvestment Act of 2009 – This act contains several provisions that deal with the energy sector, including loans and investments in energy efficiency and renewable energy technology. Michigan has seen increased funding for the Low Income Weatherization Assistance Program, the State Energy Program, the Energy Efficiency and Conservation Grants program, and Smart Grid investments.
The Michigan Energy Appraisal is prepared every six months. The Energy Appraisal is available on the Commission’s Web site at: http://www.dleg.state.mi.us/mpsc/reports/energy (http://cis.state.mi.us/mpsc/reports/energy). The MPSC is an agency within the Department of Energy, Labor & Economic Growth.
MPSC Establishes Statewide Net Metering Program, Approves Revised Rules Mar 18, 2009
March 18, 2009
The Michigan Public Service Commission (MPSC) today established a statewide net metering program, required by Public Act 295 of 2008, also known as the Clean, Renewable and Efficient Energy Act. The Commission also approved electric interconnection and net metering rules.
Net metering occurs when customers with renewable energy generators produce electricity in excess of their needs, providing power back to the serving utility and receiving a credit for power they supply to the system. It is anticipated that most net metering customers will be using wind or solar generation equipment.
“The new statewide net metering program means residential and business customers can add small renewable energy electric generation projects onsite and get credited for the energy they produce in excess of their needs – at the full retail rate,” noted MPSC Chairman Orjiakor Isiogu. “As a result, my fellow Commissioners and I expect the number of net metering customers to skyrocket.”
The MPSC on March 3 held a public hearing to provide people with an opportunity to comment on the proposed rules that govern net metering an interconnection. Based on those comments, the MPSC made minor changes to clarify the meaning of the rules.
The approved rules:
· Classify interconnection projects into different categories to reflect the level of complexity of projects according to their size.
· Direct utilities to designate an initial point of contact for customer inquiries about interconnection and net metering, and alternative electric suppliers must designate a point of contact for inquiries about net metering; and direct applicants to designate a contact person who can respond to technical issues or questions from the utility.
· Add an alternative dispute resolution process to resolve conflicts that may arise.
· Provide for the appointment, if necessary, of one to three independent experts by the MPSC to review any technical, cost or timing issues, if a complaint is filed.
· Provide clear time limits for completion of reviews and studies, if necessary, that are based on the size and complexity of the project.
· Provide for re-application when an applicant for interconnection makes a material modification to an approved project.
· Require no additional insurance for the smallest projects (up to 150 kW) and do not require that the utility be named as an additional insured party. For larger systems, a minimum $1 million general liability policy would be obtained by the applicant.
· Provide for disconnection in certain circumstances.
· Provide that the applicant would be responsible for the costs of securing any easements or rights-of-way that might be required for interconnection.
· Provide that the size of net metering generators be limited to meet the applicant’s electric needs.
· Provide for the transfer of current net metering customers to the new net metering program within 30 days of the rules’ effective date.
· Establish net metering equipment requirements and grandfather existing equipment that is already properly interconnected.
· Provide for the measurement of monthly net usage with the customer’s existing meter, if it is capable of measuring the flow of energy in both directions for net metering customers with generators that are 20 kW or less.
· Establish billing and crediting procedures for net metering customers.
· Provide for the crediting at the full retail rate for true net metering customers.
· Provides for modified net metering for renewable generators up to 150 kW and methane digesters up to 550 kW.
· Provide for penalties for violations of rules.
The approved revised rules now go to the Legislative Service Bureau and the State Office of Administrative Hearings and Rules for certification as soon as possible. The Commission is seeking a waiver of the 15 days required to expire before certification by the Joint Commission on Administrative Rules. That waiver would allow the rules to take effect no later than April 4.
Once final approval is granted for the rules, Michigan electric utilities, including investor-owned, regulated cooperatives, and alternative electric suppliers, will offer their customers a net metering program.
The MPSC is an agency within the Department of Energy, Labor & Economic Growth.
Case Nos. U-15803 and U-15787
