Raised Bill No. 5438, introduced in the February Session, 2024, pertains to the funding and programs related to energy efficiency in the state. The bill, effective July 1, 2024, directs the chairperson of the Public Utilities Regulatory Authority to instruct gas and electric distribution companies to expand energy efficiency programs as identified in the most recent Conservation and Load Management Plan. This expansion is to be funded by appropriations made to the Department of Energy and Environmental Protection, which will transfer the funds to the companies for implementation. The companies are required to keep detailed records of the expenditures and make them available upon request. Importantly, these funds cannot be recovered by the companies through a conservation adjustment mechanism.

Additionally, the bill mandates the Commissioner of Energy and Environmental Protection to conduct a study on the performance and funding structure of energy efficiency and demand management programs. The study will include an analysis of fund usage, the impact on energy demand reduction, adequacy of current funding levels, cost-benefit analysis, and the possibility of management by entities other than electric distribution companies. The findings and recommendations of this study are to be reported to the joint standing committee of the General Assembly by January 1, 2025. The bill also appropriates $145 million to the Department of Energy and Environmental Protection for the fiscal year ending June 30, 2025, specifically for energy efficiency programs. The purpose of the bill is to allocate funds to energy efficiency programs and to evaluate the current structure and effectiveness of energy efficiency funding in the state. There are no deletions indicated in the bill text provided.