Policy Profile

Decoupling And Dsm Performance Incentives

Policy description:

Decoupling of utility revenue from sales removes a disincentive for utilities to invest in energy efficiency. Broadly, decoupling refers to a process by which a utility commission grants a utility a level of return on equity that is not dependent on volumetric sales. For more information on the components of the policy see the full policy brief.

Download Full Policy Brief View Policy Component Questions

  1. Does the state allow revenue decoupling or a lost revenue adjustment mechanism for natural gas utilities?
  2. Does the state allow revenue decoupling or a lost revenue adjustment mechanism for electric utilities?
  3. Does the state require revenue decoupling or an LRAM for electric utilities?
  4. Does the state provide some sort of EE performance incentive to utilities for achieving goals or a penalty for not achieving goals?
  5. Performance bonus for exceeding goals?