FirstEnergy turns in comprehensive plan

By Marc Kovac

COLUMBUS — FirstEnergy submitted its comprehensive energy- efficiency initiative to state regulators Tuesday, including revamped plans to distribute millions of energy-efficient light bulbs to customers.

The company filed the 174-page document just before the 5:30 p.m. deadline set by the Ohio Public Utilities Commission. The latter is expected to take it up in early 2010.

“The commission will take a look at it and they’ll put in on their agenda early next year,” said PUCO spokesman Matt Butler.

FirstEnergy also has asked PUCO to sign off on about $30 million in annual cost recovery to pay for the programs. It estimates that customers would see average increases in their monthly electric bills in 2010 of $1.42 to $1.57.

“Energy efficiency and demand reduction are cost-effective ways to address growing electricity usage,” John E. Paganie, vice president of customer service and energy efficiency at FirstEnergy, said in a statement. “And, our portfolio of programs has been designed to provide savings to customers that far outweigh the costs.”

The program outlined in Tuesday’s filing would enable customers to purchase compact fluorescent light bulbs from select retailers or pick up bulbs from social service agencies on request.

That’s a change from earlier plans to deliver bulbs to residential and small-business customers, then charge them for the costs involved.

Other parts of the program include:

UAn appliance turn-in program plus other discounts and incentives for customers who replace older refrigerators, freezers and air conditioners.

UA home-energy audit program, helping customers better insulate and seal homes and install more efficient appliances.

UA “direct load control thermostat” that would enable the company to raise customers’ thermostat temperatures during peak usage days in the summer.

“We’re hoping that there is enough variety that there will be something there for everyone and the customers will participate,” said FirstEnergy spokeswoman Ellen Raines. “It helps them save energy and money, and we’re hopefully making the process easier and less costly.

FirstEnergy estimated that the program would reduce energy usage by more than 1.3 million megawatt hours annually within the next three years. That’s the equivalent of the power used in about 140,000 homes, or about $720 million from customers’ energy bills, the company said.

FirstEnergy is required, under state law, to reduce energy usage. It’s also allowed, under state law, to recoup the costs of implementing energy-efficiency initiatives from customers.

As part of its efforts to meet the state requirement, FirstEnergy earlier this year purchased 3.5 million light bulbs and had planned to deliver them directly to residential and some small-business customers.

But the move caused an outcry when customers learned about the costs involved and prompted PUCO Chairman Alan Schriber to stop the distribution.