Case Study. How regulatory bodies affect thermostat programs.

Kansas City Power & Light operates in both Kansas and Missouri. How each of the states has regulated its thermostat DSM project shows the different regulatory models:

Kansas regulators are in the process of review:

  • modest program
  • regualtors are focused on a lengthy debate over how the program’s benefits are calculated
  • KCPL is trying to bring the Missouri regulatory structure that allows for the capitlization of both kW and kWh energy efficiency value

Missouri regulatory framework allows for:

  • the program is going swimmingly
  • offering hefty customer rebates
  • innovative regulatory model that allowed for the program to be rolled out under the Missouri Energy Efficiency Investment Act (MEEIA) which allowed the utility to recover its investment by accounting for multiple value streams beginning in 2014
  • Missouri’s structure “allows them to capitalize on both the kW — the capacity value delivered through the Nest thermostat — as well as the kWh energy efficiency value,”

Utility Dive | KCP&L thermostat program shows how regulatory design can make or break DSM