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A Long Term Commitment to Energy Efficiency

We have sought to be customers’ advocates through providing energy efficiency programs continuously since November 1978. This provides many benefits including helping residential and commercial customers reduce their energy bills, all the while reducing the need to build new generating facilities.

Customers ask why a company would pay customers to use less of its product.  The answer is several-fold.  Efficient customers make for a healthy economy; for example, by businesses being more competitive in their markets.  Energy efficiency is among the lowest new cost of power for us to acquire (while our average cost of energy production is 6 cents/kWh, it costs upwards of 10 cents/kWh to construct new power plants).  And there is an increased focus on “going green”; energy efficiency has very low emissions.

Some of the most noteworthy aspects of our energy efficiency programs include:

  • In 1995, Avista pioneered the Demand-Side Management (DSM) Tariff Rider which provides consistent funding for energy efficiency.  This was the first “System Benefits Charge” for energy efficiency in North America.  Currently the tariff rider provides nearly $30 million in annual funding of energy efficiency and market transformation programs.
  • In the past 30 years, Avista’s programs have resulted in the reduction of approximately 10 percent of retail loads, or 120 aMW.  This is the equivalent of avoiding two power plants the size of Avista’s Kettle Falls Generating Station.
  • Avista’s “” marketing campaign has won multiple awards for its approach to promoting energy efficiency to customers through the web, print and broadcast media, and other channels.
  • Over the years, Avista’s conservation programs have benefited by the involvement of various stakeholders and customer groups.  Avista has what is believed to be the longest ongoing energy efficiency advisory group in the country. Formed in October 1992 and currently known as the Advisory Group, this energy efficiency stakeholder group meets semi-annually and participates in several webinar/conference calls to provide input towards meeting customer needs.
  • In 2001, in response to the Western States Energy Crisis, the Company acquired three times its annual planned savings at twice the annual cost within a six month time period.  Since then, Avista continues with its legacy of innovation and commitment to lowest cost resources through its on-going energy efficiency program offerings.

DSM In-Depth | Key Planning Documents and Regulatory Requirements

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