291 



(c) Is BPA on track to acquire the amount of energy efficiency the 

 Northwest Power Planning Council has targeted for acquisition by the year 

 2000? 



(d) Will near-term budget cuts prevent the region from achieving these 



goals? 



A 1 (a)&(b): Borine\nIleshoidd he commended for its leadership in laying a soM 

 foundation and framework for the development and acquisition of conservation 

 Bonneville has set an example for elecbic utilities across the countiy. We need only look 

 at what Bonneville has accomplished in the way of promoting conservation In the last 

 decade Bonneville has outspent some of the most aggressive utilities in the nation by two- 

 to -one. The fact that the agency has spent a total of $12 hUhon on conservation and has 

 acquired 330 aMW of conservation in the last decade is a stiong reminder of this 

 agency's ability to make a long-term commitment to a resource that is recogpized as the 

 region's resource of first choice. 



Bonneville has demonstiated its commitinent to full-scale comprehensive conservation 

 programs like the Hood River project This community-wide residential conservation 

 project involves a model program for measurement and verification of savings. With on- 

 going monitoring of energy savings, the customers who particpated in theprogram wHl 

 have the benefit of knowing the va/ue of conservation programs 



In an of its resource programs, conservation being no exception, Bonneville has made a 

 significant investment in public involvement and education Its commitment to "front- 

 ending' thet programs vwf/i a strong educational orientation wH} continue to pay off in 

 terms of providing a sustainable infrastructure toward delivery of services 



Bonneville should be commended forits success in the residential conservation area. The 

 residential conservation market is, undoubtedly, the most difficult to penetrate, because 

 the individual consumer's discount rate tends to be high In other words, 'paybacks" for 

 residential customers on conservation measures need to be very short in order to 

 incentify them to participate 



While BPA has concenti^ated a majority of its efforts in acquiring conservation in the 

 residen tial sector, we believe that the opportunity for the greatest savings exists in the 

 commercial, institutional, and industrial sectors. Our experience in other parts of the 

 country with utility programs that have targeted these sectors tells us that the long-term 

 economic benefits are tremendous and contribute grvatly to a stable economic 

 environment 



The opportunities in the commercial, institutional and industrial sectors for 

 comprehensive conservation pro-ams are much less encumbered There are fewer 

 numbers of customers to contact, greater savings available per facility, and lower 

 adminstrative costs In most cases, the decision criteria for participation is more clear 

 cut Theprogram delivery systems for the commercial, institutional and industrial 



