The Effect of Conservation Programmes on Electric Utility Earnings: Results of Two Case Studies

Publication Type

Journal Article

Date Published

06/1987

Abstract

This paper develops methods to measure the impact of conservation programs on electric utility earnings. The methods are applied to two case studies. Detroit Edison represents case where impacts are unfavorable. This utility has 'excess capacity' which is only made worse by conservation. Pacific Gas and Electric represents a case where conservation helps defer the need for new capacity. Even in this case, programs targeted at summer peak demand are more beneficial than those which save baseload energy. Conditions determining the earnings impact of conservation are complex, involving regulatory factors that are to individual utilities.

Journal

Energy Policy

Volume

June

Year of Publication

1987
249

Issue

3

Pagination

249-261