Another Example

Of how energy audits, and saving energy, will not save anyone money.

You will not believe this one:

Missouri regulators have approved a ground-breaking plan for Kansas City Power & Light that will let it charge customers for some of the electricity sales lost because of conservation measures.

The program approved by the Missouri Public Service Commission will cover 300,000 KCP&L customers in the territory KCP&L took over when it bought Aquila Inc. The area includes suburbs such as Raytown and Lee’s Summit, and about 20,000 customers in southeast Kansas City.
KCP&L, which has dabbled in energy efficiency with pilot programs such as rebates for high-efficiency air conditioners, said the new program will be more extensive and have a more secure future.

The program is expected to roll out next year and cost $40 million over three years and provide about $150 million in electricity savings. The reduction in usage is expected to amount to what 1,200 homes would consume and eliminate the need for a small natural-gas-fueled power plant.

Kansas City Power & Light will be allowed for the first time to be compensated for lost electricity sales. That is a fundamental shift in how KCP&L has operated for more than a century, during which its main way to increase profits was by building new power plants and adding distribution lines. Utilities routinely are allowed to charge customers to cover the cost of such new infrastructure, plus a percentage so they would have some profit. But under that setup there’s no financial incentive for utilities to encourage conservation, and in fact they have a disincentive because conservation means selling less electricity, and not needing to add power plants.

Read more here: http://www.kansascity.com/2012/11/08/3907095/kcpl-gets-ok-to-charge-for-electricity.html#storylink=cpy

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Wow…

Is anybody surprised ?

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We conserve water around here for obvious reasons…then they raise water rates because we ain’t using enough. Consumers will not win this battle unless OMG more regulation. Can’t win for losing…

Just think how expensive it would be if we didn’t conserve and it became scarce.

In 1999-2000 oil was $9.50-10.00/bbl. Today it’s $87 (WTI) and $109 (BRENT). That’s beginning to happen with water.

http://www.cnbc.com/id/49211886/Analysis_Nation_s_Water_Costs_Rushing_Higher

http://www.ec.gc.ca/eau-water/23CA8A0D-C42C-482D-A320-220028A7B4B3/municipal-water-prices.gif

Just makes it easier for KCPL customers to meet (qualify for) thier 15% energy saving theashold (ROI) for $ 600.00 credit on their electric energy bill from KCPL…

They tried that here and it was rejected. The power companies talk efficiency measures because they can’t blame the real estate market. Your 20-30% energy reduction after retrofit is far less than the 100% reduction in the vacant homes in the area. Here the power company sells the excess power off to other states and that’s why we have seen reduction in costs. We went from 12 cents a KWH down to 10 cents a KHW.

It doesn’t matter what your area is doing… KCPL has been doing this program for several years here, minimum requirement for rebate (actually a credit on thier electric bill) has been a 15% energy usage reduction.