Powering Strong Communities
Energy Efficiency

What Makes for an Efficient Utility?

The American Council for an Energy Efficient Economy compiles a Utility Efficiency Scorecard that ranks the energy efficiency efforts and achievements of the largest electric utilities in the continental U.S. (based on retail sales). Four public power utilities – Los Angeles Department of Water and Power, Long Island Power Authority, Salt River Project, and CPS Energy – were included in the 2023 report. All ranked in the top 25.

ACEEE would give its highest score in certain measures to utilities that, at minimum:
-    Spend 9% of revenue on energy efficiency programs
-    Achieve 3% net annual savings of retail sales
-    Reduce 2% of annual peak demand

Other items that lead to high scores include:

Portion of utility revenue spent on energy efficiency 2.2% 11%+
Funding focused on programs for customers with low incomes   12% of efficiency funding
Offer financing solutions that help customers pay for upgrades    

Offer Programs

Offer programs across customer classes (residential, commercial, and industrial) Yellow star sticker
Have programs focused on improving efficiency among customers with low incomes or from historically underserved communities Yellow star sticker
Pilots and programs that explore emerging technology and transportation electrification Yellow star sticker

Measure Performance

Track and report out net electricity savings and peak demand reduction Yellow star sticker
Set and track goals to reduce energy burden across customers Yellow star sticker
Offer customers access to personal or building-wide energy use data Yellow star sticker
Set incremental energy saving targets Yellow star sticker

Plan Accordingly

Include energy efficiency in the resource planning process similarly to how supply-side resources are considered Yellow star sticker
Incorporate community feedback into program offerings Yellow star sticker


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