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Clean Energy Ministerial 2 (CEM2)

6–7 April 2011, Abu Dhabi, UAE

Regulatory Strategies to Accelerate Utility-Scale Energy Efficiency
10:30 am–11:15 pm
6 April 2011

Overview

Given their access to capital, existing relationships with end-users, familiar brand names, and widespread service networks, regulated utilities are well-positioned to drive energy efficiency progress. But under conventional regulatory systems, utilities have incentives to sell more power not less.

While regulatory approaches vary considerably across geographies, there are nevertheless common challenges in all cases and regulators can learn useful lessons by comparing experiences with each other as they work to implement regulatory approaches that provide appropriate incentives for utilities to promote energy efficiency. Governments can also facilitate cooperation among utilities on designing effective utility-delivered energy efficiency programs.

Discussion Topics

  • What are some examples of successful regulatory frameworks that remove disincentives for utilities to promote energy efficiency?
  • How can CEM governments best cooperate with each other on regulatory design to encourage utility delivery of efficiency given wide variations in current regulatory approaches?
  • How can CEM governments encourage international cooperation on the design of effective utility efficiency programs?
  • How can the CEM maximize the value of relevant initiatives under the International Partnership for Energy Efficiency Cooperation (IPEEC) to advance to objectives above? For example, how can it leverage the activities of the forthcoming Global Cooperation on Utility Delivery of Energy Efficiency (GCUDEE) initiative or the appliance incentive program in the Super-Efficient Equipment and Appliance Deployment (SEAD) initiative?

Format

The session aims to bring a specific subject area into focus in an interactive setting. There are no speeches, but rather a moderated conversation in which all participants are encouraged to share their views. This will be a private discussion held under the Chatham House Rule.

Objective

The objective for the discussion is to identify a small number of specific recommendations for action, which will be communicated to the Ministers, as to how their governments can support utility-scale energy efficiency, particularly through cooperation in the CEM context.

Guidelines For All Participants

  • Follow the direction of the moderator in terms of session format, speaking order, and time management
  • Approach the topic informally and conversationally (no prepared presentations)
  • Keep comments concise (maximum of 1–2 minutes per intervention)

Session Structure And Flow

10:30–10:35 Opening Remarks from Moderator
Moderator welcomes co-chairs

10:35–11:05 Success Stories of Regulatory Frameworks that Remove Disincentives for Utilities to Promote Energy Efficiency
Open discussion with lead-off comments by:

  • Chris Huhne, Secretary of State, Department of Energy and Climate Change, United Kingdom
  • Marc Spitzer, Commissioner, Federal Energy Regulatory Commission

11:05–11:35 Opportunities for Collaboration among CEM Governments and with Regulators on Regulatory Design
Open discussion with lead-off comments by:

  • B. K. Chaturvedi, Member (Energy), Planning Commission, India [in the rank of Minister of State]
  • Lars Josefsson, President, EURELECTRIC; Former CEO, Vattenfall

11:35–12:10 Opportunities for Collaboration among CEM Governments and with Utilities on Demand-Side Management Program Design
Open discussion with lead-off comments by:

  • Gene Rodrigues, Director, Customer Energy Efficiency and Solar, Southern California Edison; Chair, Consortium for Energy Efficiency
  • Steven Chu, Secretary, Department of Energy, United States
  • Gerard Wolf, Senior Executive Vice President, International Development, EDF

12:10–12:15 Moderator summarizes main messages and thanks participants to close session

Moderator

Kateri Callahan, President, Alliance to Save Energy

Co-Chairs

B. K. Chaturvedi, Member (Energy), Planning Commission, India
Steven Chu, Secretary, Department of Energy, United States
Chris Huhne, Secretary of State, Department of Energy and Climate Change, United Kingdom
Lars Josefsson, President, EURELECTRIC; Former CEO, Vattenfall
Gene Rodrigues, Director, Customer Energy Efficiency and Solar, Southern California Edison; Chair, Consortium for Energy Efficiency
Marc Spitzer, Commissioner, Federal Energy Regulatory Commission
Gerard Wolf, Senior Executive Vice President, International Development, EDF

Participants

Hammda Ali Al Thani Al Falasi, Director of National Energy & Water Research Center, Abu Dhabi Water & Electricity Authority
Guido Bartels, General Manager, Global Energy & Utilities Industry, IBM; Chairman, Global Smart Grid Foundation
Alex Bettencourt, Managing Director, SmartGrid Canada
Nick Carter, Director General, Regulation and Supervision Bureau
Sheryl Carter, Co-Director, Energy Program, Natural Resources Defense Council
Amit Chatterjee, Founder and CEO, Hara
Anders Eldrup, CEO, DONG Energy
Daniel Kammen, Chief Technical Specialist for Renewable Energy and Energy Efficiency, The World Bank
Namhoon Kang, Director General for Energy Policy, Ministry of Knowledge Economy, Korea
Alex Katon, Head of Strategy – International Power, GDF Suez Energy Middle East & North Africa
Joan MacNaughton, Senior Vice-President, Power and Environmental Policies, Alstom Power
Jeremy Oppenheim, Director, McKinsey
Marianne Osterkorn, Director General, Renewable Energy and Energy Efficiency Partnership
Roland Risser, Program Manager, Building Technologies Program, Energy Efficiency & Renewable Energy, Department of Energy, United States
David Sandalow, Assistant Secretary, Office of Policy & International Affairs, Department of Energy, United States
Ashok Sethi, Vice President, The Tata Power Company Ltd.
David Struhs, Vice President of Sustainability Strategy, C3
Tulsi Tanti, Chairman and Managing Director, Suzlon
Rahul Tongia, Senior Systems Scientist, Carnegie Mellon University; Principal Research Scientist, Center for Study of Science, Technology, and Policy
Tracy Wolstencroft, Advisory Director, Goldman Sachs
Xie Ji, Deputy Director General, Department of Resource Conservation and Environmental Protection, National Development and Reform Commission, China
Daniel Yates, CEO and Founder, OPOWER
Nejib Zaafrani, Secretary General and CEO, Dubai Supreme Council of Energy