Measurement and Verification

(a)Each utility shall implement a measurement and verification (M & V) program to evaluate the actual performance of its DSM program. The utility shall present its M & V plan as a part of its DSM plan application, pursuant to rule 4753, and shall include the complete M & V evaluation results with its annual DSM report in those years when the M & V is conducted.#

(b)As a part of its M & V program, the utility shall, at a minimum, design a M & V plan to evaluate the effectiveness of the actual DSM measures and programs implemented by the utility. The M & V plan shall address: sampling bias; a data gathering process sufficient to yield statistically significant results; and generally accepted methods of data analysis. The M & V plan shall also include an evaluation of free ridership, spillover, and the net-to-gross ratio. The M & V evaluation shall be implemented at least once per the DSM plan period. Subsequent DSM plan applications shall reflect the results of all completed M & V evaluations.#

(c)The M & V evaluation shall, at a minimum, include the following:#

(I)an assessment of whether the DSM programs have been implemented as set forth in its Commission approved DSM plan;#

(II)a measurement of the actual energy savings for each DSM program, in dekatherms per dollar expended and in total dollars, and a comparison to the corresponding utility projections in the approved DSM plan;#

(III)to the extent feasible, an assessment of the period of time that each DSM measure actually remains in service, and a comparison to the corresponding utility projections in the approved DSM plan;#

(IV)a summary of the actual benefit/cost ratio for each DSM program within the approved DSM plan;#

(V)an assessment of the extent to which education and market transformation efforts are achieving the desired results; and#

(VI)recommendations for how the utility can improve the market penetration and cost effectiveness of individual DSM programs.#