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Washington Electricity Deregulation

Avista Utilities provides incentives for hardwired improvements to the customer for making equipment upgrades. The incentive is based on the first-year energy savings, in kWh or therms.

The incentive level is based upon the simple payback of the measure prior to the application of an incentive, as calculated by the utility staff and based upon standardized measure costs. Simple payback is defined as the project's capital cost divided by the energy savings per year.

All incentives are capped at 50 percent of total project cost as determined by the utility based upon industry standards. The incentive level breakdown for electric and natural gas efficiency measures are:

Electric Efficiency:

  • Simple Payback period of 18 to 47 months earns 4 cents per kWh saved in the first year
  • Simple Payback period of 48 to 71 months earns 6 cents per kWh saved in the first year
  • Simple Payback period of 72 months or longer earns 8 cents per kWh saved in the first year
  • Good Energy offers commercial facilities the right solution to qualify for savings and utility incentives. Call us for more information. Toll free 866-955-2677.

Deregulation Milestones in Washington:

Oct/01: Puget Sound's Time of Use Rate Plan, which was to expire in October 2001, has been extended through May 31, 2002. The program, originally for about 300,000 residential customers, also is being expanded to include about 20,000 nonresidential customers. Under the plan, customers' rates vary with on-peak and off-peak hours. The program has resulted in a shift of about 5% of load from peak to off-peak hours, creating savings for both the utility and the customers.