It is possible to increase people’s comfort, improve their homes, and put dollars back in their pockets, at no cost to the taxpayer.
That was the message that Tammy Agard of EEtility delivered to the attendees of Northern Plains’ Annual Meeting in November.
She also spoke to six Montana rural electric co-op General Managers and staff during a webinar on the day before the Annual Meeting.
Agard started EEtility three years ago to design and develop holistic, cost-effective, and sustainable residential, multi-family, and small commercial energy efficiency programs. The company works with rural electric cooperatives and municipally-owned utilities.
Tammy’s work is currently focused in Arkansas, where EEtility is working with six co-ops including Ouachita Electric Cooperative and Arkansas Valley Electric Cooperative.
EEtility is a certified B-corporation, a for-profit private enterprise that aims to achieve a mission beyond making money. The company works with co-ops or municipal utilities to demonstrate that electricity providers have an economic interest in reducing their members’ utility bills. Such a program can also improve homes and businesses, create local jobs, and generate local investment.
That program is called “tariffed on-bill financing” or “Pay As You Save” (PAYS) because a pricing structure or “tariff” is set, allowing the co-op to invest in energy-reduction measures in members’ homes and businesses.
The co-op customers repay this investment over time on their bills, using the energy savings generated. This is achieved by ensuring that the resident’s savings will be at least 20% greater than the cost of the improvements.
Tariffed on-bill financing is considered very inclusive, because any member-customer can participate, regardless of whether they are a renter or homeowner, and regardless of their credit score.
If a co-op member moves, the next resident would continue repaying because they are also reaping the cost savings.
Flathead Electric Co-op is the only cooperative in Montana that currently offers such a program–and theirs is not true on-bill financing, but rather a traditional loan program with on-bill repayment. In Flathead Electric’s program, members’ personal credit history is taken into account, and financing is tied to the individual.
Multiple of the Montana rural electric cooperatives that participated in the webinar with Tammy Agard expressed interest in pursuing Pay As You Save programs. The committees of Northern Plains’ members working with their co-ops in Fergus Electric and Park Electric service territories are both interested in advocating for their co-ops to adopt PAYS, and we intend to form a Beartooth Electric Co-op committee soon for the same purpose.
If you missed Agard’s presentation, you’re in luck! A recording of her webinar is available on the Northern Plains Resource Council channel on YouTube or by contacting Organizer Sydney Ausen at sydney@northernplains.org or (406) 248-1154.
– Alicia Pettys Reprinted from the Plains Truth