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EEU|History and Structure

Submitted by Ann.Bishop@ver… on
Current Structure for the EEU Program

In 2009, the Commission issued a November 24, 2009, Order changing the EEU program structure from a contract-based model to an Order of Appointment model. The Order of Appointment structure retains the essential functions of the previous EEU structure but changed the relationship of Efficiency Vermont with the Commission and other entities. Rather than being under a three-year contract with the Commission, Efficiency Vermont moved to a 12-year rolling Order of Appointment model that provides additional program stability. 

Under this new model, the Commission no longer has a contractual relationship with Efficiency Vermont, and Efficiency Vermont has increased responsibilities as well as additional oversight responsibilities that are accomplished through more transparent proceedings and additional periodic, public reviews. To ensure continued superior performance from all EEUs, the Order of Appointment model includes the evaluation and review processes that have been conducted since the EEU program's inception, as well as periodic benchmarking reviews and overall performance assessments that will be conducted in proceedings open to the public.

The Commission has recently amended the Order of Appointment structure such that there is no longer a third-party Fiscal Agent that provide the accounting function of managing the Energy Efficiency Utility Fund.  Now the three EEUs perform this function, with independent financial audits performed annually.  The DPS continues to be responsible for monitoring and evaluating EEU service offerings. However, under this structure, there is no need for the Contract Administrator position or the EEU Advisory Committee, and these no longer exist.

The Commission issues Orders of Appointment to EEUs and may renew or terminate an Order of Appointment based on the results of an assessment of an EEU's performance. At a minimum, the Commission conducts a comprehensive review of an EEU's performance every six years.