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has the capability of transforming markets like Bonneville. With 

 Bonneville's support, what was once high-tech energy efficiency has 

 become commonplace, and that's what transforming markets is all 

 about, getting users to install efficient measures on their own with- 

 out the need for special programs and incentives. 



Without Bonneville, we would not be building the most energy- 

 efficient manufactured homes in the Nation, nor do I think would 

 Washington and Oregon be instituting building energy codes 

 among the most, if not the most, energy-efficient in the Nation; 

 again, without Bonneville's Super Good Cents program. 



I don't believe we'd be prime to accept the technological leaps in 

 energy-efficient appliances, equipment and computers that we're 

 going to see as a result of Bonneville's coordination. Bonneville 

 shoidd focus on the successful role as a regional catalyst. That may 

 well mean turning to alternative service providers to design and 

 run street-level programs that fit end-use customer needs. 



As a catalyst, Bonneville should call on every opportunity to pool 

 efforts. Pooling resources stretches dollars. It increases program ef- 

 fectiveness and improves service to customers. In some cases, that 

 may mean piggybacking on State and utihty incentives. In other 

 cases, it may mean calling on others to run programs. 



Oregon is in a unique position to help Bonneville blend programs 

 and services. We have two very successful programs in the State, 

 a long-term low-interest loan program and the business energy tax 

 credit program. With those programs, we've helped save or produce 

 electricity worth the annual output of a small coal plant. 



We've successfully leveraged those programs with utihty and 

 other service provider programs, but we need to go further. Last 

 week, Bonneville and Emerald People's Utility, together with my 

 agency as a partner, signed off on Oregon's first conservation power 

 plant. It's a creative, comprehensive acquisition package. 



We're all very excited about it and we think that there are more 

 opportunities just like it in Oregon. The final element of the strat- 

 egy again takes on or returns to the marketing theme. It encour- 

 ages Bonneville to tailor programs and services not to meet the 

 needs of the customer utilities, per se, or alone, but to meet the 

 needs of ultimate end-use customers, the millions of households 

 and businesses who buy and use energy. 



These are the ultimate customers for conservation services. In 

 Oregon, for example, we're finding that business customers want a 

 full package of energy services geared to their industry and the 

 way they need to do business. Some want advice not just on saving 

 electricity, but saving all fuels. 



We believe there should be far more efforts to provide business 

 customers with comprehensive services that cut across fuel types. 

 That also means not just selling them efficiency, but in some in- 

 stances, persuading them to switch from electricity to natural gas. 



We support Bonneville's efforts to modify programs and ehminate 

 features that promote electric space and water heating. 



At the beginning of my testimony, I said that our overall ques- 

 tion was this. What is required to achieve all cost-effective con- 

 servation at the least cost? Let me just say again that the competi- 

 tiveness challenge is not Bonneville's alone, it's all of ours. 



