North Carolina Administrative Code › Title 04 - COMMERCE › Chapter 11 - UTILITIES COMMISSION › Chapter 8 › Article 11 - RESOURCE PLANNING AND CERTIFICATION › Section 11 R08-68 - INCENTIVE PROGRAMS FOR ELECTRIC PUBLIC UTILITIES AND ELECTRIC MEMBERSHIP CORPORATIONS

Current through Register Vol. 39, No. 2, July 15, 2024
(a) Purpose. - The
				  purpose of this rule is to establish guidelines for the application of
				  G.S.
				  62-140(c) to electric public
				  utilities and electric membership corporations and
				  G.S.
				  62-133.9 to electric public utilities that
				  are consistent with the directives of those statutes and consistent with the
				  public policy of this State as set forth in
				  G.S.
				  62-2.
(b) Definitions.
(1) Unless listed below, the definitions of
				  all terms used in this rule shall be as set forth in Rule R8-67(a), or if not
				  defined therein, then as set forth in
				  G.S.
				  62-3,
				  G.S.
				  62-133.8(a) and
				  G.S.
				  62-133.9(a).
(2) "Consideration" means anything of
				  economic value paid, given, or offered to any person by an electric public
				  utility or electric membership corporation (regardless of the source of the
				  "consideration") including, but not limited to: payments to manufacturers,
				  builders, equipment dealers, contractors including HVAC contractors,
				  electricians, plumbers, engineers, architects, and/or homeowners or owners of
				  multiple housing units or commercial establishments; cash rebates or discounts
				  on equipment/appliance sales, leases, or service installation; equipment/
				  appliances sold below fair market value or below their cost to the electric
				  public utility or electric membership corporation; low interest loans, defined
				  as loans at an interest rate lower than that available to the person to whom
				  the proceeds of the loan are made available; studies on energy usage; model
				  homes; and payment of trade show or advertising costs. Excepted from the
				  definition of "consideration" are favors and promotional activities that are de
				  minimis and nominal in value and that are not directed at influencing fuel
				  choice decisions for specific applications or locations.
(3) "Costs" include, but are not limited to,
				  all capital costs (including cost of capital and depreciation expenses),
				  administrative costs, implementation costs, participation incentives, and
				  operating costs. "Costs" does not include utility incentives.
(4) "Electric public utility" means a person,
				  whether organized under the laws of this State or under the laws of any other
				  state or country, now or hereafter owning or operating in this State equipment
				  or facilities for producing, transporting, distributing, or furnishing electric
				  service to or for the public for consumption. For purposes of this rule,
				  "electric public utility" does not include electric membership
				  corporations.
(5) "Net lost
				  revenues" means the revenue losses, net of marginal costs avoided at the time
				  of the lost kilowatt-hour sale(s), or in the case of purchased power, in the
				  applicable billing period, incurred by the electric public utility as the
				  result of a new demand-side management or energy efficiency measure. Net lost
				  revenues shall also be net of any increases in revenues resulting from any
				  activity by the electric public utility that causes a customer to increase
				  demand or energy consumption, whether or not that activity has been approved
				  pursuant to this Rule R8-68.
(6)
				  "New demand-side management or energy efficiency measure" means a demand-side
				  management or energy efficiency measure that is adopted and implemented on or
				  after January 1, 2007, including subsequent changes and modifications to any
				  such measure. Cost recovery for "new demand-side management measures" and "new
				  energy efficiency measures" is subject to
				  G.S.
				  62-133.9.
(7) "Participation incentive" means any
				  consideration associated with a new demand-side management or energy efficiency
				  measure.
(8) "Program" or "measure"
				  means any electric public utility action or planned action that involves the
				  offering of consideration.
(9)
				  "Utility incentives" means incentives as described in
				  G.S.
				  62-133.9(d)(2)a-c.