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Pacific Gas and Electric Company recognizes that the link between greenhouse gas emissions and the Earth's warming climate is convincing, the potential consequences are serious, and the need for action is urgent. Energy efficiency is among the most cost-effective options for reducing carbon dioxide (CO2) emissions and combating climate change. Thus, we continue to develop, implement, and advocate for strong energy efficiency programs and standards both within California and nationally.
Celebrating 30 Years of PG&E Energy Efficiency Programs
In 1976, we began offering energy efficiency and demand-management programs for our customers – we were one of the first utilities in the nation to do so. Over the past 30 years, PG&E’s energy efficiency programs have spent approximately $3.74 billion, achieved cumulative lifecycle savings of more than 118 million megawatt hours of electricity and 10,770 million therms of natural gas, and avoided the release of 125 million tons of CO2 into the atmosphere. Aggressive customer energy efficiency programs and the adoption of high efficiency codes and standards are a big reason that per capita energy usage in California has remained stable over the past 30 years, while the nation as a whole has increased its per capita usage by 50 percent.
Taking a Fresh Approach: Re-Focusing on the Customer
In January of 2006, PG&E launched a completely new customer-based integrated portfolio approach, mimicking a strategy successfully used by financial planners as they work to understand their clients’ individual financial goals, resources, needs, and limitations. Under the portfolio sales and delivery approach, PG&E packages integrated energy management solutions that are tailored to meet the specific needs of each customer segment. PG&E targeted more than 25 segments and sub-segments in 2006. Examples of customer segments served by PG&E in 2006 include Agriculture and Food Processing, High Tech, Small Business, Multifamily Properties, and Residential New Construction. This targeted approach, which includes energy efficiency and demand response programs, makes it easier for customers to take action, promotes a consistent energy efficiency message, and is replicable by other utilities.
PG&E's energy efficiency portfolio mix includes a diverse array of rebate programs, financial incentives, training and education, emerging technology projects, codes and standards for buildings and appliances, marketing and outreach, and program evaluation activities. These wide-ranging program offerings allow PG&E to reach customers in many ways – through traditional utility programs such as rebates on purchases of energy-efficient appliances, as well as through statewide and local government partnerships and third-party offerings that focus on providing specific energy efficiency services to targeted customers.
2006: Exceeding Our Energy Efficiency Targets
PG&E’s 2006-08 programs, as approved by the California Public Utilities Commission (CPUC), represent the most aggressive energy efficiency effort every undertaken by a U.S. utility. By using an integrated portfolio strategy, PG&E worked with our customers and partners to exceed the very aggressive 2006 energy savings targets agreed upon with the CPUC. In 2006, PG&E spent approximately $143 million and achieved savings of 142 megawatts, 777 gigawatt hours, and 10.69 million therms. We expect to reach the even higher goals that the CPUC has set for 2007 and 2008.
Other 2006 Energy Efficiency Highlights
In 2006, PG&E also supported a variety of initiatives to advance energy efficiency in California, nationally, and internationally including:
- Joining 15 other California electric and gas utilities, state policymakers, and other key stakeholders in support of the National Action Plan for Energy Efficiency, which, if implemented, could help avoid the greenhouse gas emissions equivalent to over 35 million vehicles.
- Contributing $500,000 in shareholder funding to a new Energy Efficiency Research Center at the University of California at Davis.
- Launching the SmartMeter™ program by installing the first of 10.3 million energy meters, which ultimately will give customers more options to manage their energy use and lower their bills.
- Providing technical advice and guidance to the China – U.S. Energy Efficiency Alliance, a collaborative effort with the Natural Resources Defense Council.
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