255 



In spite of the savings and efficiency gains resulting from fuel switching, Bonneville has 

 not pursued this opportunity. However, BPA's rate increase and their stated willingness 

 to look at tiered rates may result in future opportunities. 



In my opinion, Super Good Cents distorts the market place by providing incentives to 

 install electric heat. Super Good Cents incentives ought to be eliminated in areas where 

 gas is available. 



Regarding the Northwest Power Planning Council-- On the whole, I believe the Council 

 has done a good job of discharging its duties under the Act. They have been a guiding 

 light to progressive utilities and conservation advocates for more than a decade. We are 

 much better off with the Council than we would have been without them. 



However, the Council, in my opinion, has narrowly defined its responsibility for adopting, 

 implementing and enforcing model conservation standards. The states of Idaho and 

 Montana have not implemented MCS standards adopted by the Council many years ago. 



The Council, also, has not demonstrated an ability to convince Bonneville that more cost- 

 effective resources, especially conservation and renewables, could be developed if BPA 

 were willing to impose fewer restrictions on utility programs. 



BPA has made slow progress in carrying out the mandates of the Act. The fact that 

 Puget Power, a private utility with one-fourth of BPA's load, acquired as much 

 conservation as BPA last year, suggests the agency needs to increase its efforts. In 

 some areas, considerable progress has been made. Implementation of energy codes 

 is one of the bright spots. 



In conclusion, BPA's programs need improvement in the area of adhering to the priorities 

 of the Act by encouraging consen/ation, insisting utility customers accept an equitable 

 share of responsibility, and incorporating environmental criteria into its resource 

 acquisition program. 



Congressional Committee on Natural Resources BPA Task Force 

 Testimony by Bob Olsen July 12, 1993 Page 4 



