In 2022, the state’s clean energy standards will continue to make Jamestown Public Utilities Commission customers pay more.
On Monday, BPU Finance and Customer Account Manager Kelly Hawkins submitted the 2022 power sector budget draft to the board of directors at the monthly meeting. Hawkins said that BPU officials plan to pay the state $2.6 million next year for renewable energy credits (REC) and zero emission credits (ZEC).
When the clean energy standards were approved in 2016, state officials created two new mechanisms—RECs and ZECs—to achieve state energy goals.
Hawkins said that BPU officials have budgeted $2 million this year to pay for REC and ZEC. However, it is now expected that BPU will pay US$2.4 million for REC and ZEC by the end of this year. BPU pays REC and ZEC funds to the state by the customer in the fuel adjustment fee.
BPU general manager David Leathers said that the REC and ZEC fees paid by BPU to the country continue to grow. According to an article in The Post-Journal in March 2019, BPU expects to pay only US$1.6 million to REC and ZEC in 2019.
Leathers said that BPU officials asked state officials to allow the creation of a separate item in customer bills to show how much they paid for REC and ZEC each month. However, the state rejected a separate project request, and REC and ZEC are part of the fuel adjustment fee. In addition, the fact that water is not considered a renewable energy source in clean energy standards poses a challenge for BPU, Leathers said.
“This is nothing new, but it will continue to grow,” he said of the increase in REC and ZEC payments made by BPU to the state.
Hawkins also stated in her power budget report that BPU officials plan to request the State Public Service Commission to increase the rate by 1.9% in 2024. The last rate increase approved by the Public Service Commission occurred in 2016, when customer fees increased by 1.69%, increasing BPU revenue by more than $800,000 per year.
¯ The Board of Directors approved the wastewater sector budget for 2022, which includes a 3% rate increase. The board of directors also approved the budget of the water department and will not increase the rate next year.
¯ The board of directors also approved two clean energy tax rebate plans for 2022. The new 2022 tax rebate plan will focus on air source heat pumps and heat pump water heaters. Cold climate air source heat pumps can replace existing heating and cooling systems, or provide supplementary temperature control for the target area of ​​a home or business. Air source heat pumps consume much less energy than electric resistance, propane or oil heating systems, and distribute the heat evenly in your home. In the warmer months, the pump provides cooling by pulling heat out of your internal space. Air source heat pumps can be used to heat or cool single rooms and entire homes, and are especially suitable for buildings and homes without piping systems.
Consortium for Energy Efficiency (CEE) primary, secondary, and tertiary air source heat pumps and heat pump water heaters are eligible for the BPU program, and BPU serves primary and secondary customers as well. Before purchase and installation, it is recommended that customers contact BPU Energy Efficiency Coordinator Dan Reynolds at 661-1646 or dreynolds@jamstownbpu.com to confirm the valid qualifications of the project.
The air source heat pump rebate is calculated based on the refrigeration tonnage of the compressor unit. To calculate the tonnage, the BTU level of the unit must be divided by 12,000. Then multiply the rebate amount by this calculated “quantity”. BPU reserves the right to inspect all installations to verify the accuracy of the rebate application.
To receive the rebate, participating BPU power customers must submit the heat pump rebate application with the original purchase receipt and original energy guide label in person or by mail to: BPU Customer Service Department, PO Box 700, 92 Steele St., Jamestown. The rebate application for 2022 will be provided on the customer service office and the BPU website: jamestownbpu.com by clicking on the yellow “clean energy” section.
Upon verification, the owner will receive a check for the rebate amount. If the client’s account is in arrears, some or all of the rebate may be applied to the overdue account. The rebate limit for heat pumps is USD 5,000 per year per owner. Discounts are available for new products manufactured between January 1, 2022 and December 31, 2022.
BPU’s second clean energy tax rebate program in 2022 is a continuous tax rebate program for electric vehicle charging equipment.
The plan aims to encourage electric industrial and commercial customers such as hotels and office buildings to install electric vehicle charging equipment. The program is open to all BPU service level 2, 3, and 6 customers. According to the plan, customers have an annual limit of US$25,000 and can apply for discounts on up to four chargers within a year.
Interested customers should first consult a certified electrical contractor to verify whether the electrical service is capable of supporting the selected electric vehicle charger. After confirming the capacity, an on-site visit should be arranged with the BPU energy efficiency coordinator, who will assist in completing the pre-approval of the rebate.
Level 2 chargers can be networked or not, and must have CHAdeMO or J1772 connectors or both. Level 3 chargers must be networked and have CHAdeMO or SAE combo connectors or both.
The charger must be available to customers, employees, or the public of the enterprise, and it must operate for at least five years.
The rebate is only for equipment and is limited to the cost of the equipment. The customer is responsible for all costs associated with installing the charger, including but not limited to labor, materials, and any permits that may be applicable.
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