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Low-Income Energy Advisory Board

Low-Income Energy Advisory Board. LEGISLATIVE INFORMATION FORUM Thursday, December 7, 2006 10:00 A.M. – Noon Legislative Office Building Room 1E Hartford, CT . AGENDA. Welcome and Introductions Board Overview Accomplishments CEAP Utility-MPP. AGENDA. Energy Issues 2006-2007

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Low-Income Energy Advisory Board

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  1. Low-Income Energy Advisory Board LEGISLATIVE INFORMATION FORUM Thursday, December 7, 2006 10:00 A.M. – Noon Legislative Office Building Room 1E Hartford, CT

  2. AGENDA • Welcome and Introductions • Board Overview • Accomplishments • CEAP • Utility-MPP

  3. AGENDA • Energy Issues 2006-2007 • Subcommittee Reports Funding Needs and Resources Conservation and Weatherization DPUC Participation Communication and Coordination • Questions and Answer Period

  4. PUBLIC ACT 05-204 • Establishes a Low-Income Energy Advisory Board to advise and assist OPM, DSS, and DPUC on energy related issues affecting low-income populations • Composed of OPM, DSS, COA, DPUC, OCC, Operation Fuel, 2-1-1 Info-Line, CLASP, AARP,CAFCA, CT Petroleum Dealers Association, Legal Assistance Resource Center, and electric and gas companies

  5. BOARD STRUCTURE • Board meets on the 2nd Wednesday of each month • Board sets direction based on the public act and relevant energy issues • Board establishes and provides guidance to subcommittees • Board reviews, modifies and approves all subcommittee work

  6. CEAP SUBCOMMITTEE ACCOMPLISHMENTS Early Intake • Households start applying for energy assistance on August 15, 2006. • Early intake will alleviate backlog of applications that occurs each year from November to January. • Community action agencies provide outreach activities such as mass mailings, advertisements, appearances on local access cable shows and press releases to inform households about early intake.

  7. EARLY INTAKE • Eligibility can be determined for deliverable fuel heated households prior to November 1st, first day for deliveries. • Utility heated households can have matching payment determined earlier for arrearage forgiveness program.

  8. EARLY INTAKE • Applications increased by over 100% from previous year for the same period. • Applications for 12,263 deliverable fuel heated households, 8,446 utility heated households and 314 rental assistance households processed through October 30, 2006. • Currently average waiting period for appointments is four weeks, unless emergency situation.

  9. OILPRE-BUY • Discussion with partners – Office of Policy and Management, Independent Connecticut Petroleum Association, Connecticut Association for Community Action, community action agencies, oil vendors and Department of Social Services. • Various options reviewed to determine best method to purchase oil to benefit customers without harming vendors. • Pre buying oil in the “off season” perceived to be ideal time to purchase oil.

  10. PRE-BUY PILOT PROGRAM • New Opportunities chosen to operate pre-buy pilot. • Virtual pre-buy conducted during 2005/2006 program. • Results indicate savings of $400,000 in addition to those realized in the fixed margin pricing program.

  11. 2006/2007 PRE-BUY PILOT • Criteria determined to select vendors for pre-buy pilot: • Last three years in program • Experience in pre-buy contracts • More than 50,000 gallons in deliveries to New Opportunities’ service territory • No complaints on file with Department of Consumer Protection

  12. PRE-BUY PILOT • $2.2 million available for pilot • 14 vendors met criteria • 13 vendors participating in pilot • 10 percent of cost of 75% of gallons used in 2005/2006 program provided as deposit • 25% to be paid monthly • Balance paid at end after reconciliation • Increased vendor participation in anticipation of expansion of pilot

  13. UTILITY SUBCOMMITTEE ACCOMPLISHMENTS • Utility Subcommittee Structure • Reviewed existing Matching Payment Programs • Recommendations • Consistent Payment Calculation Process • Memorandum of Understanding • Budget Worksheet

  14. ENERGY ISSUES 2006-2007 • Funding Strategies • Conservation and Weatherization • DPUC Participation • Communication and Coordination

  15. FUNDING NEEDS AND RESOURCES SUBCOMMITTEE • Conduct an analysis of the energy costs/energy benefit level • Identify need for additional benefits/programs • Identify potential sources of funding to provide support for low-income energy assistance programs

  16. CONSERVATION AND WEATHERIZATION SUBCOMMITTEE • Develop an inventory of conservation and weatherization programs/services • Identify the gaps in conservation and weatherization services • Research the effectiveness and feasibility of a holistic approach to services

  17. DPUC PARTICIPATION SUBCOMMITTEE • Identify methods LIEAB can participate in DPUC proceedings • Determine appropriate level of LIEAB participation and identify resources needed • Promote a uniform approach across utility companies

  18. DPUC PARTICIPATION SUBCOMMITTEE • Conduct a review of best practices in low-income programs for utility companies • Conduct a study of the potential benefits/costs of a separate rate structure for low-income populations • Identify resources needed by LIEAB to be an effective participant

  19. COMMUNICATION SUBCOMMITTEE • Develop an integrated communication infrastructure • Explore information sharing issues • Identify ways to promote more effective communication • Establish a common set of definitions and rules across utility companies

  20. LOW-INCOME ENERGY ADVISORY BOARD • Questions and Answers Contact Information Office of Policy and Management 450 Capitol Avenue Hartford, CT 06106

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