Utilities
A critical component of AOBA's advocacy effort is its work to contain utility costs for members. Over the years, AOBA's continued involvement in utility regulatory proceedings in DC, Maryland and Virginia has resulted in millions of dollars saved by its members and their tenants and residents. For more info, please contact: Frann Francis , Senior Vice President and General Counsel, ffrancis@aoba-metro.org, 202-296-3390 or Bruce Oliver (economist/expert on utility rates and energy market issues), Revilo Associates, Inc., boliver.rha@verizon.net, 703-569-6480.
Special Note:The District of Columbia approved regulations permitting sub-metering and energy allocation for non-residential rental properties. The rules allow a property owner, property management firm, or other multi-tenant non-residential property to bill tenants for individually measured electricity and natural gas usage. The regulations became effective on Nov. 11, 2011 and are based upon legislation sponsored by AOBA. Click here to review the new sub-metering and energy allocations regulations.
The following are quick links to more information available on this webpage:
- For VA Commercial Members: Important Info on Required Air Emission Standards
- Utilities Update
- Budgeting Assistance for VA Power Electric Rates for 2010 and 2011
- UPDATE: Pepco’s Energy Efficiency Program Funds in DC
- Pepco Funding for Energy Efficiency Projects in MD
- Dominion VA Power Funding for Energy Efficiency Projects in Virginia
- Latest Energy Market Update
- Utility Committee
Also, for more information about utility issues, a Glossary of Terms and energy market updates, visit the AOBA Alliance, Inc's website at www.aobaalliance.com
VA Department of Environmental Quality Air Permitting Permit and Regulatory Compliance
Members with Virginia properties are encouraged to review the June 20, 2011 presentation of Terry Darton of the VA Department of Environment Quality to AOBA members. The presentation addressed permit requirements and regulatory compliance with environmental quality air emission standards by commercial buildings in Virginia regarding the use of generators, boilers and water heaters.
Note that civil penalties can be as much as $32,000 per day for noncompliance. In addition, Mr. Darton estimates that perhaps 50% of all commercial property owners operate generators, boilers, and water heaters without the required environmental quality permits. The VA DEQ seeks to provide an opportunity for property owners to avoid enforcement issues, by providing compliance assistance regarding buildings under construction or where existing buildings are engaged in replacing equipment, by ensuring that proper permits or exemptions are granted
Utilities Update
Good News: WSSC Approves New Policy for “Unit Billing Count” for Mixed Use, Commercial and Residential Properties
Nearly two years since WSSC originally proposed changes to the unit billing count procedures for mixed use properties, the Commission unanimously approved a new Standard Operating Procedure (CUS 11-01) on June 15 to be used for Unit Count Billing. This procedure addresses billing for mixed use, commercial and residential properties currently served by one meter, and incorporates changes requested by AOBA.
Mixed-Use Buildings that contain high-flow commercial businesses, such as restaurants and laundry/dry cleaners, are required to separately meter these units in order to continue receiving the unit count discount. (Based on the Pipeline Design Manual Table 19c.) “Separately metered” is defined as a separate WSSC meter installed at the individual high-flow unit to measure that unit’s flow, or it refers to a WSSC “master” meter installed to register the flow to two or more high-flow units. Additionally, the procedure includes a waiver and an appeal process.
Buildings that contain no high-flow commercial units are grandfathered, thereby allowing the building to receive the unit count discount; however, any non-high-flow commercial units in the building would not be counted as residential units for billing purposes.
Separate metering of commercial and residential units will be required for all new construction. The effective date is Dec. 31,2011, to allow time for the installation of any needed equipment.
Utilities Updates (an "At Issue" email newsletter developed each month) are available to all current AOBA members. Click for Current issue. To view previous Utility Updates, please login. Questions? Email utaylor@aoba-metro.org.
For info about current water and sewer rates for DC, MD and VA, click here.
Budgeting Assistance for VA Power Electric Rates for 2010 and 2011
On March 11, 2010, the Virginia State Corporation Commission approved settlement of Virginia Power's request for an increase in rates. AOBA, the Virginia State Attorney General, and major manufacturers and users of electricity among other parties, reached settlement on a $726 million reduction in Virginia Power's rates. The settlement agreement included a number of rate adjustments and rate credits impacting the cost of Virginia Power's service for calendar years 2010 and 2011. In addition, Virginia Power has filed for further increases in a number of surcharges that will be applicable during calendar year 2011 which will also have a significant impact on AOBA members' operating budgets.
As a planning tool to assist AOBA's Virginia property owners in determining future energy expenditures, AOBA Economist Bruce Oliver has prepared spreadsheets that: (1) review Virginia Power's current and proposed surcharges for demand billed commercial customer accounts; and (2) provide estimates of calendar year 2011 percentage changes in surcharges. Under the terms of the approved settlement, Virginia Power's base rates will not change prior to Dec. 1, 2013. AOBA will update rate change data and analyses for Virginia Power when the Virginia State Corporation Commission approves final surcharge levels. If questions arise, or to request the spreadsheets, AOBA members may contact the AOBA office.
UPDATE: Pepco’s Energy Efficiency Program Funds in DC
As a result of the District of Columbia government’s budget constraints for Fiscal Year 2011, Pepco’s District of Columbia C&I Energy Savings Program will not be funded by the DC government in FY2011. Pepco received authorization for this incentive program under the Clean and Affordable Energy Act (D.C. Law 17-250) through FY2011. However, the decision to rescind the funding resulted in the early termination of Pepco’s District of Columbia C&I Energy Savings Program as of Sept. 30, 2010. Thus, Pepco cannot accept any new incentive applications under this program. Please note: this change does not impact Pepco’s Maryland customers. Questions? Please call 1-866-353-5798, or email PepcoEnergyEfficiency@LMBPS.com.
Note: On Oct. 1, 2010, the Washington Business Journal noted AOBA's opposition to Pepco’s proposed $6 million Energy Efficiency Surcharge for DC ratepayers. Read article
Pepco Funding for Energy Efficiency Projects in MD
PEPCO'S MARYLAND ENERGY EFFICIENCY PROGRAM UPDATES FOR 2011
Pepco has announced changes to their energy efficiency incentive programs for 2011 that are offered in their Maryland service territory. Use the links below to learn more about the enhancements, applications, guidelines and more:
- Bulk Appliance Rebate Incentive for Multi-Family Master Metered Properties.
- Pole Lighting for parking lots and walkways are now eligible through the Alternative Lighting Incentive.
- Energy Savings Study Incentives are available for buildings 25K square feet or greater and older than two years.
- Operations and Maintenance Training Incentive has new eligibility guidelines.
- Custom Short form Incentive Process for chillers and heat pumps.
- If you are interested in exploring other measures that are eligible for incentives, check out the Program Overview.
FAQ’s
When is the Pepco C&I Energy Savings Program ending?
The 2009-2011 EmPOWER Maryland programs are scheduled to end on December 31, 2011, however, a new portfolio of programs is being planned for implementation starting 2012 to 2014. At this time, it is not certain that the current programs will be extended, modified or replaced. Incentive funding for 2011 remains available.
What if my project will not be completed by December 31, 2011?
Pepco encourages customers and trade allies to continue submitting applications for pre approval and commitment under the current program guidelines. If a project will not be complete until 2012, the incentive will be contingent upon PSC approval of program continuation. This matter has been submitted to the Maryland PSC for guidance and decision.
When additional information becomes available or if a change in the programs is necessary, Pepco will communicate that information to all parties.” stated Pepco C&I Energy Savings Program Management.
Note: The maximum annual incentive per individual electric account is $250,000. The maximum annual incentive per multi-account customer is $500,000.
For more information, visit www.pepco.com/business, call 866-353-5798 or email PepcoEnergyEfficiency@LMBPS.com.
Dominion VA Power Funding for Energy Efficiency Projects in Virginia
Dominion Virginia Power’s energy efficiency programs rolled out on May 1, 2010. Over the next three years, Dominion will spend $15.4 million on the two commercial programs – lighting retrofits and HVAC – so members are encouraged to take advantage of these funds. These programs will expire on March 31, 2013. For more details, please visit: http://www.dom.com/dominion-virginia-power/customer-service/energy-conservation/ec-programs.jsp.
Latest Energy Market Update
Energy Markets in a Recovering Economy - March 2010
Utility Committee
For meeting handouts and presentions, click here.
