Arkansas PublicPM: Service Commission APSC FILED Time: 7/30/2013 1:11:05 Recvd 7/30/2013 1:09:01 PM: Docket 07-078-TF-Doc. 177 Tariff ("TF") Docket Summary Cover Sheet Must be filed with each new TF docket filed at the Commission STYLE OF DOCKET: (Style may be changed by Secretary of Commission) IN THE MATTER OF THE APPLICATION FOR APPROVAL OF ARKANSAS WESTERN GAS COMPANY'S INITIAL ENERGY EFFICIENCY PROGRAM DOCKET DESIGNATOR: TF LAST RATE CASE DOCKET: Docket Number: Docket No. 07-078-TF Docket No. 12-003-U Does this change company name: Yes No RELATED DOCKETS: PETITIONER: SourceGas Arkansas Inc. 655 East Millsap Road, Suite 104 P.O. Box 13288 Fayetteville, Arkansas 72703 ATTORNEY(S;)NAME, ADDRESS,PHONE,FAX AND E-MAIL Lawrence E. Chisenhall, Jr. CHISENHALL, NESTRUD & JULIAN, P.A. 2840 Regions Center 400 West Capitol Avenue Little Rock, Arkansas 72201 Phone: (501) 372-5800 Fax: (501) 372-4941 Email: [email protected] Write a brief statement, limited to the space provided herein describing the case that you are filing. Please provide enough information to assure that the nature of your docket is clear. SourceGas Arkansas Inc. submits this Application to the Arkansas Public Service Commission for approval of its revised Energy Efficiency Plan effective for Program Years 2013 and 2014. Pursuant to Rule 2.03(b), of the Commission's Rules of Practice and Procedure, please provide name, address, phone, fax, e-mail of at least one person, but not more than two, to appear on the Service List for this docket Matthew A. Greene, Deputy General Counsel SourceGas Arkansas Inc. 655 Millsap Road, Suite 104 P.O. Box 13288 Fayetteville, Arkansas 72703 Phone: 479-582-7818 Fax: 479-582-7831 E-mail: [email protected] Lisa Pfitzinger, Manager, Energy Efficiency SourceGas Arkansas Inc, 655 Millsap Road, Suite 104 P.O. Box 13288 Fayetteville, Arkansas 72703 Phone: 479-582-7852 Fax: 479-582-7831 E-mail: [email protected] 1. Number of customers by class affected by this tariff change: 156,775 2. Company's current authorized retail revenue requirement: $59,205,989 APSC FILED Time: 7/30/2013 1:11:05 PM: Recvd 7/30/2013 1:09:01 PM: Docket 07-078-TF-Doc. 177 3. Estimated annual retail revenue impact if proposal is approved, both in dollars and as a percentage of current retail revenue requirement: None. No impact on retail revenues 4. Estimated monthly impact on an average residential customer in both dollars and percentage increase: Unknown at this time 5. Proposed effective date: September 1, 2013 Form completed by: Lisa Pfitzinger Date: July 29, 2013 Representing: SourceGas Arkansas Inc. APSC FILED Time: 7/30/2013 1:11:05 PM: Recvd 7/30/2013 1:09:01 PM: Docket 07-078-TF-Doc. 177 BEFORE THE ARKANSAS PUBLIC SERVICE COMMISSION IN THE MATTER OF THE APPLICATION FOR APPROVAL OF ARKANSAS WESTERN GAS COMPANY’S INITIAL ENERGY EFFICIENCY PROGRAM PLAN ) ) ) ) DOCKET NO. 07-078-TF APPLICATION FOR APPROVAL OF SOURCEGAS ARKANSAS INC.’S REVISED ENERGY EFFICIENCY PLAN SourceGas Arkansas Inc. (“SGA” or the “Company,” formerly Arkansas Western Gas Company) hereby submits this Application for Approval of its Revised Energy Efficiency Plan (the “Revised EE Plan” or the “Revised Plan”) pursuant to the Arkansas Energy Conservation Endorsement Act of 19771 and the Arkansas Public Service Commission’s (“APSC” or the “Commission”) Rules for Conservation and Energy Efficiency Programs (“Rules”). The Revised EE Plan makes changes to SGA’s Commission-approved, existing Energy Efficiency Plan for Program Years 2011 - 2013 (“Existing EE Plan”), filed on March 14, 2011 and approved on June 30, 2011 by Order No. 25 of this Docket.2 In support of its Application, SGA states as follows: 1. SGA respectfully requests that the Commission approve its Revised EE Plan for the period beginning September 1, 2013 (or upon APSC approval) and ending December 31, 2014 (the “Revised Plan Term”). The Revised Plan for which SGA seeks approval is described in detail in the testimony and exhibits of SGA 1 Ark. Code Ann. §§ 23-3-401 et seq. Arkansas Public Service Commission Docket No. 13-002-U Order No. 2 extended SGA’s Program Year 2013 Portfolio energy savings targets, budgets, and incentive structure through Program Year 2014. 2 3 APSC FILED Time: 7/30/2013 1:11:05 PM: Recvd 7/30/2013 1:09:01 PM: Docket 07-078-TF-Doc. 177 witness Lisa A. Pfitzinger. SGA’s Revised EE Plan consists of the following modifications to its Existing Energy Efficiency Plan: a. Residential Programs i. Home Energy Savings Program: Create a new program to drive building envelope improvements in residences within SGA’s service territory. ii. Heating Equipment Rebate Program: Adjust incentive budget to allow achievement of program goals. iii. Water Heating Program: Revise Water Conservation Kit Offering. iv. Opower Home Energy Reports Program: Request approval to discontinue this program effective December 31, 2013. b. Commercial/Industrial (“C/I”) Programs i. C/I Boiler Equipment Rebate Program: Eliminate this as a standalone program and combine it with the C/I Solutions Program for program years 2013 and 2014. ii. Commercial Cooking Equipment Rebate Program: Require equipment being incentivized to be tested by Energy Star ® or Food Service Technology Center and increase incentives offered on commercial kitchen equipment to cover more of the incremental cost. iii. C/I Solutions Program: Combine the C/I Boiler Equipment Rebate Program with the C/I Solutions Program for program years 2013 and 2014. 4 APSC FILED Time: 7/30/2013 1:11:05 PM: Recvd 7/30/2013 1:09:01 PM: Docket 07-078-TF-Doc. 177 c. Request for Extension of Budget Flexibility: i. SGA requests that the extension allowed to the Company to increase its approved portfolio budget by ten percent (10%) and the unilateral ability to shift up to ten percent (10%) of funds between programs, as approved by the APSC in Order No. 40 of this Docket on November 16, 2012 be continued through the remainder of Program Year 2013 and extended through Program Year 2014. Upon approval by the Commission, this budget flexibility would apply to the Revised EE Plan. 2. The Revised EE Plan continues to offer programs that serve all customer classes and are comprehensive in their scope. 3. Total energy savings for the Revised EE Plan are 130,399 Dekatherms in Program Year 2013 and 118,253 Dekatherms in Program Year 2014, for a total Plan Term savings of 248,652 Dekatherms. The Revised EE Plan as a whole is cost-effective. 4. The programs comprising the Revised EE Plan are designed to exceed the energy savings targets set by the Commission in its Order No. 17 in Docket No. 08-144-U. The energy savings target for gas utilities set by the Commission in that Order (as a percentage of 2010 gas sales) was 0.40% in Program Year 2013. APSC Docket No. 13-002-U Order No. 2 extended the Program Year 2013 goals through Program Year 2014. 5 APSC FILED Time: 7/30/2013 1:11:05 PM: Recvd 7/30/2013 1:09:01 PM: Docket 07-078-TF-Doc. 177 5. The total budget for SGA’s Revised EE Plan during the Plan Term is $5,777,375 for the 2013-2014 calendar years. The budget for all programs for each year during the Plan Term is as follows: a. 2013: $2,651,547 b. 2014: $3,120,828 6. The Company requests authorization to add or remove measures within a program, as more information becomes available, so long as the Company’s overall program portfolio remains cost effective. WHEREFORE, for the above stated reasons, SGA hereby respectfully requests that the Commission enter an expedited order approving: (1) SGA's request to implement the Revised EE Plan for the Plan Term; (2) the proposed Revised EE Plan budget; and (3) SGA's request for authorization to move monies from one program to another, to add or remove measures within a program, and to exceed the Revised EE Plan budget for each calendar year by ten percent (10%). Respectfully submitted, CHISENHALL, NESTRUD & JULIAN, P.A. 2840 Regions Center 400 West Capitol Avenue Little Rock, Arkansas 72201 Phone: (501) 372-5800 Fax: (501) 372-4941 By: Lawrence E. Chisenhall, Jr. Lawrence E. Chisenhall, Jr. (#74023) ATTORNEYS FOR SOURCEGAS ARKANSAS INC. 6 APSC FILED Time: 7/30/2013 1:11:05 PM: Recvd 7/30/2013 1:09:01 PM: Docket 07-078-TF-Doc. 177 CERTIFICATE OF SERVICE I, Lawrence E. Chisenhall, Jr. do hereby certify that I have served a copy of the foregoing instrument upon all parties of record via the PSC EFS system this xxth day of July, 2013. Lawrence E. Chisenhall, Jr. Lawrence E. Chisenhall, Jr. 7