,,ii  #aah? ,,congress  #b;d ,session   
,s4 #dfae  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,june #bj1 #bjbd,ms4   
,smi? 7= h]self1 ,mr4 ,wel*1 ,mr4       
,book]1 ,mr4 ,lujn1 ,mrs4 ,%ahe51 & ,mr4
 ,van ,holl57 introduc$ ! foll[+ bill2  
:i* 0 read twice & ref]r$ to !          
,committee on ,en]gy & ,natural         
,res\rces  ,a ,,bill  ,to am5d title    
,,vi ( ! ,public ,utility ,regulatory   
,policies ,act ( #aigh to e/abli% a     
,f$]al en]gy effici5cy res\rce /&>d =   
electricity & natural gas suppli]s1 & = 
o!r purposes4  #a4 ,%ort title ,?is ,act
 may be cit$ z ! ,am]ican ,en]gy        
,effici5cy ,act ( #bjbd4  #b4 ,en]gy    
effici5cy res\rce /&>d = retail         
electricity & natural gas suppli]s  7a7 
,9 g5]al ,title ,,vi ( ! ,public        
,utility ,regulatory ,policies ,act (   
#aigh is am5d$ by add+ aft] section #fji
 7#g ,u4,s4,c4 #iah;c7 ! foll[+3  #faj4 
,f$]al en]gy effici5cy res\rce /&>d =   
retail electricity & natural gas        
suppli]s  7a7 ,def9itions ,9 ?is        

section3 7#a7 ,affiliate ,! t]m         
affiliate1 :5 us$ 9 relation to a p]son 
7includ+ an electric utility & a local  
di/ribution company71 means ano!r p]son 
t owns or controls1 is own$ or controll$
 by1 or is "u common own]%ip or control 
)1 t p]son1 z det]m9$ "u regulations    
promulgat$ by ! ,secret>y4  7#b7        
,,a%rae2 ,,ansi2 ,,iesna ,! t]ms        
,,a%rae1 ,,ansi1 & ,,iesna mean !       
,am]ican ,society ( ,heat+1 ,refrig]at+ 
& ,air-,condition+ ,eng9e]s1 ! ,am]ican 
,national ,/&>ds ,in/itute1 & !         
,illum9at+ ,eng9e]+ ,society ( ,nor?    
,am]ica1 respectively4  7#c7 ,base      
quantity  7,a7 ,9 g5]al ,! t]m base     
quantity1 ) respect to a retail         
electricity suppli] or retail natural   
gas suppli]1 means1 = ea* cal5d> ye> =  
:i* a p]=mance /&>d is e/abli%$ "u      
subsection 7c71 ! av]age annual quantity
 ( electricity or natural gas deliv]$ by
 ! retail electricity suppli] or retail 
natural gas suppli] to retail cu/om]s   
dur+ ! #c cal5d> ye>s imm$iately prec$+ 

! fir/ ye> t compliance is requir$ "u   
subsection 7c77#a74  7,b7 ,exclusion ,! 
t]m base quantity1 ) respect to a retail
 natural gas suppli]1 does n include    
natural gas deliv]$ = purposes (        
electricity g5]ation4  7#d7 ,,*p ,sav+s 
,! t]m ,,*p sav+s means-- 7,a7 ,,*p     
sy/em sav+s f a comb9$ heat & p[] sy/em 
t comm5ces op]ation aft] ! date (       
enactm5t ( ?is section2 &  7,b7 !       
increase 9 ,,*p sy/em sav+s f upgrad+ or
 replac+1 aft] ! date ( enactm5t ( ?is  
section1 a comb9$ heat & p[] sy/em t    
comm5c$ op]ation on or be=e ! date (    
enactm5t ( ?is section4  7#e7 ,,*p sy/em
 sav+s ,! t]m ,,*p sy/em sav+s means !  
electric output1 & ! electricity sav$   
due to ! me*anical output1 ( a comb9$   
heat & p[] sy/em1 adju/$ to reflect any 
increase 9 fuel consumption by t sy/em z
 comp>$ to ! fuel t w\ld h be5 requir$  
to produce an equival5t useful !rmal    
en]gy output 9 a sep>ate !rmal-only     
sy/em1 z det]m9$ 9 accordance )         
regulations promulgat$ by ! ,secret>y4  

7#f7 ,comb9$ heat & p[] sy/em ,! t]m    
comb9$ heat & p[] sy/em means a sy/em t 
uses ! same en]gy s\rce = ! g5]ation (  
electrical or me*anical p[] & !         
production ( /eam or ano!r =m ( useful  
!rmal en]gy1 if-- 7,a7 ! sy/em meets all
 applicable requirem5ts relat+ to       
effici5cy & o!r op]at+ *>act]i/ics t !  
,secret>y promulgates by regulation2 &  
7,b7 ! net quantity ( electricity sold  
:olesale by ! facility us+ ! sy/em does 
n exce$ #ej p]c5t ( ! total quantity (  
electricity g5]at$ annually by ! sy/em4 
7#g7 ,co/-effective ,! t]m co/-effective
 means1 ) respect to an en]gy effici5cy 
measure1 t ! measure a*ieves1 directly  
to ! en]gy consum] & to ! economy1 a net
 pres5t value ( economic b5efits ov] !  
life ( ! measure t is great] ?an ! net  
pres5t value ( ! co/ ( ! measure ov] !  
life ( ! measure1 us+ a societal        
b5efit-co/ te/ calculat$ us+ ! l[] (--  
7,a7 a utility weight$ av]age co/ (     
capital2 or  7,b7 a social disc\nt rate 
( #c p]c5t4  7#h7 ,cu/om] facility sav+s

 ,! t]m cu/om] facility sav+s means a   
r$uction 9 end-use electricity or       
natural gas consumption 7includ+ wa/e   
heat en]gy sav+s7 at a facility ( an    
end-use consum] ( electricity or natural
 gas s]v$ by a retail electricity       
suppli] or retail natural gas suppli]1 z
 comp>$ to-- 7,a7 9 ! case ( a new      
facility1 consumption at a ref]5ce      
facility ( av]age effici5cy2  7,b7 9 !  
case ( an exi/+ facility1 consumption at
 ! facility dur+ a base p]iod ( n less  
?an #a ye>2  7,c7 9 ! case ( new        
equipm5t t replaces exi/+ equipm5t at ! 
end ( ! useful life ( ! exi/+ equipm5t1 
consumption by new equipm5t ( av]age    
effici5cy ( ! same equipm5t type1 except
 t cu/om] sav+s "u ?is subp>agraph %all 
n be c\nt$ t[>d cu/om] sav+s "u         
subp>agraph 7,a7 or 7,b72 &  7,d7 9 !   
case ( new equipm5t t replaces exi/+    
equipm5t ) rema9+ useful life-- 7i7     
consumption by ! exi/+ equipm5t = !     
rema9+ useful life ( ! equipm5t2 &  7ii7
 !reaft]1 consumption by new equipm5t ( 

av]age effici5cy ( ! same equipm5t type4
  7#i7 ,electricity sav+s ,! t]m        
electricity sav+s means r$uctions 9     
electricity consumption or losses a*iev$
 ?r\gh measures implem5t$ aft] ! date ( 
enactm5t ( ?is section1 z det]m9$ 9     
accordance ) regulations promulgat$ by !
 ,secret>y1 t-- 7,a7 occur 9 ! s]vice   
t]ritory ( ! retail electricity suppli] 
claim+ or transf]r+ ! electricity sav+s2
 &  7,b7 are limit$ to-- 7i7 cu/om]     
facility sav+s ( electricity1 adju/$ to 
reflect any associat$ increase 9 fuel   
consumption at ! facility2  7ii7        
r$uctions 9 di/ribution sy/em losses (  
electricity a*iev$ by a retail          
electricity suppli]1 z comp>$ to losses 
attributable to new or replacem5t       
di/ribution sy/em equipm5t ( av]age     
effici5cy1 z def9$ 9 regulations        
promulgat$ by ! ,secret>y2  7iii7 ,,*p  
sav+s2  7iv7 ,/ate & local codes & /&>ds
 sav+s ( electricity2 &  7v7 fuel-swit*+
 en]gy sav+s t result 9 net sav+s (     
s\rce en]gy1 z def9$ 9 regulations      

promulgat$ by ! ,secret>y4  7#aj7       
,fuel-swit*+ en]gy sav+s  7,a7 ,9 g5]al 
,! t]m fuel-swit*+ en]gy sav+s means net
 en]gy sav+s1 calculat$ 9 accordance )  
subp>agraph 7,b71 f end-us] swit*es f #a
 en]gy s\rce to ano!r1 z det]m9$ 9      
accordance ) regulations promulgat$ by !
 ,secret>y4  7,b7 ,calculation ,=       
purposes ( calculat+ fuel-swit*+ net    
en]gy sav+s-- 7i7 electricity use %all  
be evaluat$ bas$ on ! av]age quantity ( 
fuel burn$ at a new p[] plant1 tak+ into
 acc\nt exi/+ & plann$ r5ewable en]gy   
g5]ators to provide ea* kil[att h\r (   
electricity2  7ii7 electricity & natural
 gas use %all include losses 9 !        
transmission & di/ribution sy/em2 &     
7iii7 fuel-swit*+ t is n co/-effective  
to ! end-us] %all n be c\nt$4  7#aa7    
,local di/ribution company ,! t]m local 
di/ribution company has ! mean+ giv5 !  
t]m 9 section #b ( ! ,natural ,gas      
,policy ,act ( #aigh 7#ae ,u4,s4,c4     
#ccja74  7#ab7 ,natural gas sav+s ,! t]m
 natural gas sav+s means r$uctions 9    

natural gas consumption1 leakage1 or    
op]ational losses f measures implem5t$  
aft] ! date ( enactm5t ( ?is section1 z 
det]m9$ 9 accordance ) regulations      
promulgat$ by ! ,secret>y1 t-- 7,a7     
occur 9 ! s]vice t]ritory ( ! retail    
natural gas suppli] claim+ or transf]r+ 
! natural gas sav+s2 &  7,b7 are limit$ 
to-- 7i7 cu/om] facility sav+s ( natural
 gas1 adju/$ to reflect any associat$   
increase 9 electricity consumption or   
consumption ( o!r fuels at ! facility2  
7ii7 r$uctions 9 leakage1 op]ational    
losses1 & consumption ( natural gas fuel
 to op]ate a gas di/ribution sy/em1     
a*iev$ by a retail natural gas suppli]1 
z comp>$ to simil> leakage1 losses1 &   
consumption dur+ a base p]iod ( n less  
?an #a ye>2  7iii7 ,/ate & local codes &
 /&>ds sav+s ( natural gas2 &  7iv7     
fuel-swit*+ en]gy sav+s t result 9 net  
sav+s ( s\rce en]gy1 z def9$ 9          
regulations promulgat$ by ! ,secret>y4  
7#ac7 ,p]=mance /&>d  7,a7 ,9 g5]al ,!  
t]m p]=mance /&>d means a /&>d e/abli%$ 

= a cal5d> ye> = cumulative electricity 
sav+s or cumulative natural gas sav+s t 
is express$ z a p]c5tage ( base         
quantity4  7,b7 ,cal5d> ye>s #bjbe ?r\gh
 #bjci ,= ea* ( cal5d> ye>s #bjbe ?r\gh 
#bjci1 ! t]m p]=mance /&>d means !      
p]c5tage label$ z cumulative electricity
 sav+s p]c5tage or cumulative natural   
gas sav+s p]c5tage1 z applicable1 9 !   
table 9 subsection 7c77#b7 = !          
applicable cal5d> ye>4  7#ad7 ,p[] pool 
7,a7 ,9 g5]al ,! t]m p[] pool means an  
association ( #b or m int]connect$      
electric sy/ems t h ent]$ into an       
agreem5t to coord9ate op]ations & plann+
 = improv$ reliability & effici5cies1 z 
det]m9$ by ! ,secret>y4  7,b7           
,inclusions ,! t]m p[] pool includes a  
,regional ,transmission ,organization 7z
 def9$ 9 section #c ( ! ,f$]al ,p[] ,act
 7#af ,u4,s4,c4 #gif77 & an ,indep5d5t  
,sy/em ,op]ator 7z def9$ 9 t section74  
7#ae7 ,report+ p]iod ,! t]m report+     
p]iod means-- 7,a7 cal5d> ye> #bjbe2 &  
7,b7 ea* successive #b-;cal5d>-ye> p]iod

 !reaft]4  7#af7 ,retail electricity    
suppli]  7,a7 ,9 g5]al ,! t]m retail    
electricity suppli] means1 = any giv5   
cal5d> ye>1 an electric utility t       
deliv]s n less ?an #b1jjj1jjj megawatt  
h\rs ( electric en]gy to electric       
consum]s = purposes o!r ?an resale dur+ 
! prec$+ cal5d> ye>4  7,b7 ,inclusions &
 limitations ,= purposes ( det]m9+ :e!r 
an electric utility qualifies z a retail
 electricity suppli] "u subp>agraph     
7,a7-- 7i7 deliv]ies by any affiliate ( 
an electric utility to electric consum]s
 = purposes o!r ?an resale %all be      
consid]$ to be deliv]ies by ! electric  
utility2 &  7ii7 deliv]ies by any       
electric utility to a lessee1 t5ant1 or 
affiliate ( ! electric utility %all n be
 consid]$ to be deliv]ies to electric   
consum]s4  7#ag7 ,retail natural gas    
suppli]  7,a7 ,9 g5]al ,! t]m retail    
natural gas suppli] means1 = any giv5   
cal5d> ye>1 a local di/ribution company 
t deliv]$ to natural gas consum]s m ?an 
#e1jjj1jjj1jjj cubic feet ( natural gas 

= purposes o!r ?an resale dur+ ! prec$+ 
cal5d> ye>4  7,b7 ,inclusions &         
limitations ,= purposes ( det]m9+ :e!r  
an entity qualifies z a retail natural  
gas suppli] "u subp>agraph 7,a7-- 7i7   
deliv]ies ( natural gas by any affiliate
 ( a local di/ribution company to       
consum]s = purposes o!r ?an resale %all 
be consid]$ to be deliv]ies by ! local  
di/ribution company2 &  7ii7 deliv]ies (
 natural gas to a lessee1 t5ant1 or     
affiliate ( a local di/ribution company 
%all n be consid]$ to be deliv]ies to   
natural gas consum]s4  7#ah7 ,/ate &    
local codes & /&>ds sav+s  7,a7 ,9 g5]al
 ,! t]m ,/ate & local codes & /&>ds     
sav+s means a r$uction1 due to !        
adoption & implem5tation1 aft] ! date ( 
enactm5t ( ?is section1 ( new or revis$ 
appliance & equipm5t effici5cy /&>ds or 
build+ en]gy codes1 9-- 7i7 end-use     
electricity consumption = a retail      
electricity suppli]2 or  7ii7 natural   
gas consumption 9 ! s]vice t]ritory ( a 
retail natural gas suppli]4  7,b7       

,basel9es ,9 calculat+ ,/ate & local    
codes & /&>ds sav+s "u subp>agraph      
7,a7-- 7i7 ! basel9e = calculat+ sav+s f
 a new or revis$ build+ code %all be ! m
 /r+5t (-- 7,i7 7aa7 ! #bjba            
,int]national ,en]gy ,cons]vation ,code 
= resid5tial build+s2 or  7bb7 !        
,,a%rae_/,,ansi_/,,iesna ,/&>d          
#ij4a-bjai = comm]cial build+s2 or      
7,,ii7 ! applicable ,/ate build+ code 9 
effect on ! date ( enactm5t ( ?is       
section2 &  7ii7 ! basel9e = calculat+  
sav+s f a new or revis$ appliance /&>d  
%all be ! e/imat$ av]age effici5cy ( new
 appliances 9 ! applicable #a or m      
categories dur+ ! #a-ye> p]iod prec$+ ! 
date on :i* ! new or revis$ /&>d is     
adopt$4  7#ai7 ,?ird-p>ty effici5cy     
provid] ,! t]m ?ird-p>ty effici5cy      
provid] means any retail]1 build+ own]1 
en]gy s]vice company1 f9ancial          
in/itution1 or o!r comm]cial1 indu/rial1
 or nonpr(it entity t is capable (      
provid+ electricity sav+s or natural gas
 sav+s 9 accordance ) any proc$ures1    

/&>ds1 & rules e/abli%$ by ! ,secret>y  
"u subsections 7b77#a77;,d7 & 7e74      
7#bj7 ,wa/e heat en]gy sav+s ,! t]m wa/e
 heat en]gy sav+s means a r$uction 9 !  
me*anical or !rmal en]gy us$ at a       
facility or ! electric output ( a       
facility1 adju/$ to reflect any         
associat$ increase 9 fuel consumption1 t
 results f a modification ( an          
indu/rial1 comm]cial1 or in/itutional   
sy/em t comm5c$ op]ation be=e ! date (  
enactm5t ( ?is section1 9 ord] to       
recapture electrical1 me*anical1 or     
!rmal en]gy t w\ld o!rwise be wa/$1 su* 
z ?r\gh exhau/ or dissipation to !      
environm5t1 & productively use t        
recaptur$ en]gy1 repres5t$ z a r$uction 
9 net electricity or natural gas        
consumption1 z det]m9$ 9 accordance )   
regulations promulgat$ by ! ,secret>y4  
7b7 ,e/abli%m5t ( program  7#a7         
,regulations ,n lat] ?an #a ye> aft] !  
date ( enactm5t ( ?is section1 !        
,secret>y %all1 by regulation1 e/abli% a
 program to implem5t & en=ce !          

requirem5ts ( ?is section1 includ+--    
7,a7 by e/abli%+ evaluation1 measurem5t1
 & v]ification proc$ures & /&>ds "u     
subsection 7e72  7,b7 by e/abli%+       
requirem5ts "u :i* retail electricity   
suppli]s & retail natural gas suppli]s  
%all-- 7i7 demon/rate1 docum5t1 & report
 ! compliance ( ! retail electricity    
suppli]s & retail natural gas suppli]s )
 ! p]=mance /&>ds "u subsection 7c72 &  
7ii7 e/imate ! impact ( ! /&>ds on      
curr5t & future electricity & natural   
gas use 9 ! s]vice t]ritories ( !       
suppli]s2  7,c7 by e/abli%+ requirem5ts 
gov]n+ applications =1 & implem5tation  
(1 delegat$ ,/ate adm9i/ration "u       
subsection 7g72 &  7,d7 by e/abli%+     
rules to gov]n transf]s ( electricity   
sav+s & natural gas sav+s-- 7i7 betwe5  
suppli]s & ?ird-p>ty effici5cy provid]s 
s]v+ ! same ,/ate2 &  7ii7 betwe5       
suppli]s & ?ird-p>ty effici5cy provid]s 
s]v+ diff]5t ,/ates4  7#b7 ,national    
,academy ( ,sci5ces /udy ,9 e/abli%+ &  
implem5t+ ! program "u ?is section1 !   

,secret>y %all take into consid]ation a 
report publi%$ "u subsection            
7e77#b77;,c74  7#c7 ,coord9ation ) ,/ate
 programs ,9 e/abli%+ & implem5t+ !     
program "u ?is section1 ! ,secret>y     
%all1 to ! maximum ext5t practicable1   
pres]ve ! integrity & incorporate be/   
practices ( exi/+ ,/ate en]gy effici5cy 
programs4  7#d7 ,sav+s programs =       
l[-income cu/om]s ,9 implem5t+ ?is      
section1 ! ,secret>y %all enc\rage      
retail electricity suppli]s & retail    
natural gas suppli]s to ensure t a      
portion ( ! cu/om] facility sav+s a*iev$
 = a cal5d> ye> %all result f programs t
 t>get h\seholds t are at or bel[ #bjj  
p]c5t ( ! pov]ty l9e 7z def9$ 9 section 
#fgc ( ! ,community ,s]vices ,block     
,grant ,act 7#db ,u4,s4,c4 #iijb774  7c7
 ,p]=mance /&>ds  7#a7 ,compliance      
obligation ,n lat] ?an ,may #a ( !      
cal5d> ye> imm$iately foll[+ ea* report+
 p]iod-- 7,a7 ea* retail electricity    
suppli] %all submit to ! ,secret>y a    
report1 9 accordance ) regulations      

promulgat$ by ! ,secret>y1 demon/rat+ t 
! retail electricity suppli] has a*iev$ 
cumulative consi/5t electricity sav+s   
7adju/$ to acc\nt = any attrition (     
sav+s measures implem5t$ 9 prior ye>s7 9
 ea* cal5d> ye> t are equal to !        
applicable p]c5tage ( ! base quantity ( 
! retail electricity suppli]2 &  7,b7   
ea* retail natural gas suppli] %all     
submit to ! ,secret>y a report1 9       
accordance ) regulations promulgat$ by !
 ,secret>y1 demon/rat+ t ! retail       
natural gas suppli] has a*iev$          
cumulative consi/5t natural gas sav+s   
7adju/$ to acc\nt = any attrition (     
sav+s measures implem5t$ 9 prior ye>s7 9
 ea* cal5d> ye> t are equal to !        
applicable p]c5tage ( ! base quantity ( 
! retail natural gas suppli]4  7#b7     
,/&>ds = #bjbe ?r\gh #bjci ,= ea* (     
cal5d> ye>s #bjbe ?r\gh #bjci1 !        
applicable p]c5tages are z foll[s3      
,cal5d> ,year,cumulative ,electricity   
,sav+s ,percentage,cumulative ,natural  
,gas ,sav+s ,p]c5tage#bjbe #a4jj        

#j4ejbjbf #b4jj #a4bebjbg #c4jj         
#b4jjbjbh #d4be #c4jjbjbi #e4ej         
#d4jjbjcj #g4jj #e4jjbjca #h4ej         
#f4jjbjcbaj4jj #g4jjbjccaa4ej           
#h4jjbjcdac4jj                          
#i4jjbjcead4geaj4jjbjcfaf4ejaa4jjbjcgah4
beab4jjbjchbj4jjac4jjbjcibb4jjad4jj     
7#c7 ,subsequ5t ye>s  7,a7 ,cal5d> ye>s 
#bjdj ?r\gh #bjdi ,n lat] ?an ,decemb]  
#ca1 #bjcd1 ! ,secret>y %all promulgate 
regulations e/abli%+ p]=mance /&>ds     
7express$ z applicable p]c5tages ( base 
quantity = bo? cumulative electricity   
sav+s & cumulative natural gas sav+s7 = 
ea* ( cal5d> ye>s #bjdj ?r\gh #bjdi4    
7,b7 ,requirem5ts ,! ,secret>y %all     
e/abli% /&>ds "u ?is p>agraph at levels 
reflect+ ! maximum a*ievable level (    
co/-effective en]gy effici5cy pot5tial1 
tak+ into acc\nt-- 7i7 co/-effective    
en]gy sav+s a*iev$ by lead+ retail      
electricity suppli]s & retail natural   
gas suppli]s2  7ii7 opportunities = new 
,/ate & local codes & /&>ds sav+s2      
7iii7 te*nology improvem5ts2 &  7iv7 o!r

 indicators ( co/-effective en]gy       
effici5cy pot5tial1 includ+ diff]5ces   
betwe5 ,/ates4  7,c7 ,m9imum p]c5tage ,9
 no case %all ! applicable p]c5tages =  
any cal5d> ye> aft] cal5d> ye> #bjci be 
less ?an ! applicable p]c5tages = cal5d>
 ye> #bjci4  7#d7 ,midc\rse review &    
adju/m5t ( p]=mance /&>ds  7,a7 ,9 g5]al
 ,n lat] ?an ,decemb] #ca1 #bjcc1 & at  
#aj-ye> int]vals !reaft]1 ! ,secret>y   
%all-- 7i7 review ! mo/ rec5t p]=mance  
/&>ds e/abli%$ "u p>agraph 7#b7 or 7#c71
 z applicable2 &  7ii7 increase !       
p]=mance /&>ds by regulation if !       
,secret>y det]m9es t additional         
co/-effective en]gy effici5cy pot5tial  
is a*ievable1 tak+ into acc\nt !        
requirem5t describ$ 9 p>agraph          
7#c77;,c74  7,b7 ,lead "t ,if !         
,secret>y revises p]=mance /&>ds "u ?is 
p>agraph1 ! applicable regulations %all 
provide adequate lead "t to ensure t    
compliance ) ! increas$ p]=mance /&>ds  
is feasible4  7#e7 ,delay ( submission =
 fir/ report+ p]iod  7,a7 ,9 g5]al      

,not)/&+ p>agraphs 7#a7 & 7#b71 = ! fir/
 report+ p]iod aft] ! date ( enactm5t ( 
?is section1 ! ,secret>y may accept a   
reque/ f a retail electricity suppli] or
 a retail natural gas suppli] to delay !
 requir$ submission ( docum5tation ( all
 or "p ( ! requir$ sav+s = up to #b     
ye>s4  7,b7 ,plan = compliance ,! reque/
 = delay "u subp>agraph 7,a7 %all       
include a plan = com+ into full         
compliance by ! end ( ! second report+  
p]iod aft] ! date ( enactm5t ( ?is      
section4  7#f7 ,apply+ unus$ sav+s to   
future ye>s ,if sav+s a*iev$ 9 a ye>    
exce$ ! p]=mance /&>ds specifi$ 9 ?is   
subsection1 any sav+s 9 excess ( !      
p]=mance /&>ds may be appli$ t[>d       
p]=mance /&>ds specifi$ = ! fir/ #c ye>s
 foll[+ ! ye> 9 :i* ! excess sav+s are  
a*iev$4  7d7 ,transf]s ( electricity    
sav+s & natural gas sav+s  7#a7         
,bilat]al contracts = sav+s transf]s    
,subject to ! limitations ( ?is         
subsection1 a retail electricity suppli]
 or retail natural gas suppli] may use  

electricity sav+s or natural gas sav+s  
pur*as$ pursuant to a bilat]al contract 
f ano!r retail electricity suppli] or   
retail natural gas suppli]1 a ,/ate1 or 
a ?ird-p>ty effici5cy provid] to meet ! 
applicable p]=mance /&>d "u subsection  
7c74  7#b7 ,requirem5ts ,electricity    
sav+s or natural gas sav+s pur*as$ & us$
 = compliance "u ?is subsection %all    
be-- 7,a7 measur$ & v]ifi$ 9 accordance 
) subsection 7e72  7,b7 report$ 9       
accordance ) subsection 7c72 &  7,c7    
a*iev$ )9 ! same p[] pool z is s]v$ by !
 applicable retail electricity suppli]  
or retail natural gas suppli]4  7#c7    
,regulatory approval ,no?+ 9 ?is        
subsection limits or affects ! au?ority 
( a ,/ate regulatory au?ority to require
 a retail electricity suppli] or retail 
natural gas suppli] t is regulat$ by !  
,/ate regulatory au?ority to obta9 !    
au?orization or approval ( ! ,/ate      
regulatory au?ority ( a contract =      
transf] ( electricity sav+s or natural  
gas sav+s "u ?is subsection4  7#d7      

,limitations ,to optimize ! a*ievem5t ( 
co/-effective en]gy effici5cy pot5tial1 
! ,secret>y may prescribe su*           
limitations z ! ,secret>y det]m9es      
appropriate ) respect to ! proportion ( 
! compliance obligation ( a retail      
electricity suppli] or retail natural   
gas suppli] "u ! applicable p]=mance    
/&>ds "u subsection 7c7 t may be met us+
 electricity sav+s or natural gas sav+s 
t are pur*as$ "u ?is subsection4  7e7   
,evaluation1 measurem5t1 & v]ification (
 sav+s  7#a7 ,regulations ,! regulations
 promulgat$ pursuant to subsection 7b7  
%all-- 7,a7 be bas$ on-- 7i7 ! ,uni=m   
,me?ods ,project ( ! ,dep>tm5t ( ,en]gy2
  7ii7 ! ,national ,/&>d ,practice      
,manual = ,assess+ ! ,co/-,effectiv5ess 
( ,en]gy ,effici5cy ,res\rces1 develop$ 
by ! ,national ,effici5cy ,scre5+       
,project2 &  7iii7 o!r be/ practices    
recogniz$ 9 ! en]gy effici5cy indu/ry2 &
  7,b7 include-- 7i7 proc$ures & /&>ds =
 evaluat+1 measur+1 & v]ify+ electricity
 sav+s & natural gas sav+s t c\nt t[>d !

 p]=mance /&>ds e/abli%$ "u subsection  
7c7 t-- 7,i7 specify ! types ( en]gy    
effici5cy & en]gy cons]vation measures t
 may be c\nt$2  7,,ii7 require t en]gy  
consumption e/imates = cu/om] facilities
 or portions ( facilities 9 ! applicable
 base & curr5t ye>s be adju/$1 z        
appropriate1 to acc\nt = *anges 9 wea!r1
 level ( production1 seasonal patt]ns1 &
 build+ area2  7,,iii7 = new cu/om]     
facilities1 e/abli% a /&>diz$ me?od =   
calculat+ av]age effici5cy t acc\nts =  
factors su* z wea!r1 level ( production1
 seasonal patt]ns1 & build+ area2       
7,,iv7 d n prev5t ov]all load gr[? due  
to b5eficial electrification2  7,v7     
acc\nt = ! useful life ( en]gy effici5cy
 & en]gy cons]vation measures2  7,,vi7  
all[ = sav+s f a program to be e/imat$  
bas$ on extrapolation f a repres5tative 
sample ( p>ticipat+ cu/om]s2  7,,vii7   
include proc$ures = calculat+ & docum5t+
 ,,*p sav+s1 fuel-swit*+ en]gy sav+s1 & 
wa/e heat en]gy sav+s2  7,,viii7 e/abli%
 me?ods = calculat+ ,/ate & local codes 

& /&>ds sav+s1 includ+ ! use ( v]ifi$   
compliance rates2  7,,ix7 include       
proc$ures = calculat+ & docum5t+-- 7aa7 
cu/om] facility sav+s & r$uctions 9     
di/ribution sy/em losses ( electricity &
 natural gas t are a*iev$ z a result (  
sm>t grid deploym5t1 z describ$ 9       
section #acja ( ! ,en]gy ,indep5d5ce &  
,security ,act ( #bjjg 7#db ,u4,s4,c4   
#agcha71 or ! sit+ ( new g5]ation       
capacity clos] to ! end-use cu/om]2 &   
7bb7 r$uctions 9 natural gas di/ribution
 sy/em losses attributable to pipel9e   
repair & replacem5t programs2  7,x7 c\nt
 only measures & sav+s t are additional 
to bus9ess-z-usual cu/om] pur*ase       
practices2  7,,xi7 ensure t ! retail    
electricity suppli] or retail natural   
gas suppli] claim+ ! electricity sav+s  
or natural gas sav+s1 includ+ ,/ate &   
local codes & /&>ds sav+s1 has play$ a  
significant role 9 a*iev+ ! sav+s       
7includ+ ?r\gh ! activities ( a         
designat$ ag5t ( ! suppli] or ?r\gh !   
pur*ase ( transf]r$ electricity sav+s or

 natural gas sav+s72  7,,xii7 avoid     
d\ble-c\nt+ ( sav+s us$ = compliance )  
?is section1 includ+ transf]r$ sav+s2   
7,,xiii7 include electricity sav+s or   
natural gas sav+s f programs adm9i/]$ by
 retail electricity suppli]s or retail  
natural gas suppli]s t are fund$ by     
,f$]al1 ,/ate1 or o!r s\rces1 unless !  
fund+ s\rce specifies o!rwise2  7,,xiv7 
cr$it l>ge cu/om] self-direct$          
electricity sav+s or natural gas sav+s  
to ! retail electricity suppli] or      
retail natural gas suppli] if ! l>ge    
cu/om] receives inc5tives or rate       
r$uctions f ! retail electricity suppli]
 or retail natural gas suppli] =        
self-direct$ en]gy effici5cy            
improvem5ts2  7,,xv7 include guidance1 z
 appropriate1 = additional alt]native   
approa*es to evaluate electricity sav+s 
& natural gas sav+s = l>ge comm]cial &  
indu/rial cu/om]s 9 en]gy-int5sive      
indu/ries t are subject to int]national 
competition2  7,,xvi7 include proc$ures 
= c\nt+ electricity sav+s & natural gas 

sav+s a*iev$ by sol> heat+ & cool+      
te*nologies1 sol> light pipe te*nology1 
geo!rmal heat pumps1 & o!r te*nologies  
utiliz+ r5ewable res\rces t d n produce 
electricity or gase\s fuel & r$uce      
on-site en]gy use2  7,,xvii7 include    
proc$ures = c\nt+ electricity sav+s &   
natural gas sav+s a*iev$ by wea!rization
 measures1 su* z in/all+ me*anical      
insulation1 repair+ or replac+ heat+ &  
cool+ sy/ems1 repair+ or replac+ w9d[s &
 doors1 p]=m+ air seal+1 & replac+      
lights & appliances ) m en]gy effici5t  
models2  7,,xviii7 include proc$ures =  
c\nt+ electricity sav+s & natural gas   
sav+s a*iev$ f increas$ utilization (   
me*anical insulation = new1 retr(it1 &  
ma9t5ance con/ruction = comm]cial1      
indu/rial1 public1 & nonpr(it build+s & 
facilities2  7,,xix7 9 any ,/ate 9 :i* !
 ,/ate regulatory au?ority has designat$
 #a or m entities to adm9i/] electric   
ratepay]-fund$ effici5cy programs       
approv$ by ! ,/ate regulatory au?ority1 
provide t electricity sav+s & natural   

gas sav+s a*iev$ ?r\gh ^? programs %all 
be di/ribut$ proportionally among retail
 electricity suppli]s & retail natural  
gas suppli]s2  7,,xx7 include guidance =
 retail electricity suppli]s & retail   
natural gas suppli]s to calculate &     
docum5t bus9ess-z-usual consumption     
projections2  7,,xxi7 include guidance =
 e/imat+ sav+s us+ in=mation f !        
database e/abli%$ "u p>agraph 7#c7 bas$ 
on simil> measures & programs 9 o!r     
sett+s ) appropriate adju/m5ts1 z       
necess>y2 &  7,,xxii7 incorporate       
advances 9 ! sci5ce ( policy evaluation1
 su* z ! use (-- 7aa7 r&omiz$ control   
trials2  7bb7 o!r exp]im5tal &          
quasi-exp]im5tal approa*es2 &  7cc7 l>ge
 data sets & ma*9e le>n+ te*niques2 &   
7ii7 proc$ures & /&>ds = ?ird-p>ty      
v]ification ( report$ electricity sav+s 
or natural gas sav+s4  7#b7 ,national   
,academy ( ,sci5ces /udy ,n lat] ?an    
#ahj days aft] ! date ( enactm5t ( ?is  
section1 ! ,secret>y %all seek to ent]  
into an agreem5t ) ! ,national ,academy 

( ,sci5ces1 "u :i* ! ,academy %all--    
7,a7 evaluate exi/+ /ate-(-!-art me?ods 
= evaluat+ en]gy effici5cy policies &   
measures2  7,b7 id5tify approa*es 9     
program evaluation lit]ature t may be   
br\ght into ! en]gy effici5cy doma91    
includ+-- 7i7 r&omiz$ control trials &  
o!r exp]im5tal or quasi-exp]im5tal      
approa*es2  7ii7 control ( conf\nd+     
factors2  7iii7 longitud9al /udies2     
7iv7 assessm5ts by neutral arbit]s2 &   
7v7 disclosure ( data = replication2 &  
7,c7 n lat] ?an #ah mon?s aft] ! date ( 
enactm5t ( ?is section1 publi% a report 
t includes-- 7i7 a description ( !      
evaluation "u subp>agraph 7,a72  7ii7 a 
description ( ! approa*es id5tifi$ "u   
subp>agraph 7,b72 &  7iii7              
recomm5dations = advanc+ & adopt+       
rigor\s /ate-(-!-art me?ods = evaluat+  
en]gy effici5cy policies & measures4    
7#c7 ,en]gy effici5cy program evaluation
 database  7,a7 ,9 g5]al ,! ,secret>y   
%all e/abli% & ma9ta9 a se>*able public 
database1 accessible on ! website ( !   

,dep>tm5t ( ,en]gy1 t conta9s a li/ (   
r&omiz$ control trials & o!r exp]im5tal 
or quasi-exp]im5tal evaluations ( en]gy 
effici5cy programs4  7,b7 ,requirem5ts  
,ea* trial or evaluation on ! li/       
describ$ 9 subp>agraph 7,a7 %all        
include1 at a m9imum-- 7i7 ! ,/ate 9 :i*
 ! trial or evaluation 0 conduct$2  7ii7
 ! type ( trial or evaluation conduct$2 
7iii7 ! type ( program evaluat$2  7iv7  
an ab/ract or summ>y ( ! program        
evaluat$2  7v7 a summ>y ( ! trial or    
evaluation me?odology2  7vi7 ! reveal$  
en]gy sav+s f ! trial or evaluation2 &  
7vii7 to ! ext5t practicable1 ! und]ly+ 
data us$ to conduct ! trial or          
evaluation4  7f7 ,en=cem5t & judicial   
review  7#a7 ,review ( retail suppli]   
reports  7,a7 ,9 g5]al ,! ,secret>y %all
 review ea* report submitt$ to !        
,secret>y by a retail electricity       
suppli] or retail natural gas suppli] "u
 subsection 7c7 to v]ify t ! applicable 
p]=mance /&>ds "u subsection 7c7 h be5  
met4  7,b7 ,exclusion ,9 det]m9+        

compliance ) ! applicable p]=mance /&>ds
 "u subsection 7c71 ! ,secret>y %all    
exclude report$ electricity sav+s or    
natural gas sav+s t are n adequately    
demon/rat$ & docum5t$1 9 accordance ) ! 
regulations promulgat$ "u subsections   
7b7 & 7c74  7#b7 ,p5alty = failure to   
docum5t adequate sav+s ,if a retail     
electricity suppli] or a retail natural 
gas suppli] fails to demon/rate         
compliance ) an applicable p]=mance /&>d
 "u subsection 7c71 or to pay to ! ,/ate
 an applicable alt]native compliance    
paym5t "u subsection 7g77#d71 !         
,secret>y %all assess aga9/ ! retail    
electricity suppli] or retail natural   
gas suppli] a civil p5alty = ea* failure
 9 an am\nt equal to1 z adju/$ =        
inflation 9 accordance ) su* regulations
 z ! ,secret>y may promulgate-- 7,a7    
#ajj p] megawatt h\r ( electricity sav+s
 or alt]native compliance paym5t t !    
retail electricity suppli] fail$ to     
a*ieve or make1 respectively2 or  7,b7  
#aj p] million ,btu ( natural gas sav+s 

or alt]native compliance paym5t t !     
retail natural gas suppli] fail$ to     
a*ieve or make1 respectively4  7#c7     
,(fsett+ /ate p5alties ,! ,secret>y %all
 r$uce ! am\nt ( any p5alty "u p>agraph 
7#b7 by ! am\nt paid by ! relevant      
retail electricity suppli] or retail    
natural gas suppli] to a ,/ate = failure
 to comply ) ! requirem5ts ( a ,/ate    
en]gy effici5cy res\rce /&>d dur+ ! same
 compliance p]iod4  7#d7 ,use ( paym5ts 
7,a7 ,def9ition ( cov]$ rate ,9 ?is     
p>agraph1 ! t]m cov]$ rate means !      
proportion t-- 7i7 ! am\nt ( p5alty     
paym5ts made by retail electricity      
suppli]s & retail natural gas suppli]s 9
 a ,/ate "u p>agraph 7#b72 be>s to  7ii7
 ! total am\nt ( p5alty paym5ts collect$
 by ! ,secret>y "u t p>agraph4  7,b7    
,use ( paym5ts ,p5alty paym5ts collect$ 
"u p>agraph 7#b7 by ! ,secret>y %all    
be-- 7i7 provid$ to ea* ,/ate at ! cov]$
 rate = ! ,/ate2 &  7ii7 us$ by ! ,/ate 
to implem5t co/-effective en]gy         
effici5cy programs t-- 7,i7 to ! maximum

 ext5t practicable1 a*ieve electricity  
sav+s & natural gas sav+s 9 ! ,/ate     
suffici5t to make up ! deficit associat$
 ) ! p5alty paym5ts2 &  7,,ii7 c be     
measur$ & v]ifi$ 9 accordance ) !       
applicable proc$ures & /&>ds e/abli%$ "u
 subsection 7e74  7#e7 ,en=cem5t        
proc$ures ,! ,secret>y %all assess a    
civil p5alty1 z provid$ "u p>agraph     
7#b71 9 accordance ) ! proc$ures        
describ$ 9 section #ccc7;d7 ( ! ,en]gy  
,policy & ,cons]vation ,act 7#db        
,u4,s4,c4 #fcjc7;d774  7#f7 ,judicial   
review  7,a7 ,9 g5]al ,any p]son        
adv]sely affect$ by a f9al action tak5  
by ! ,secret>y "u ?is section1 o!r ?an !
 assessm5t ( a civil p5alty1 may use !  
proc$ures = review describ$ 9 section   
#ccf7;b7 ( ! ,en]gy ,policy &           
,cons]vation ,act 7#db ,u4,s4,c4        
#fcjf7;b774  7,b7 ,ref]5ces ,= purposes 
( subp>agraph 7,a7-- 7i7 any ref]5ce 9  
section #ccf7;b7 ( ! ,en]gy ,policy &   
,cons]vation ,act 7#db ,u4,s4,c4        
#fcjf7;b77 to a rule %all be consid]$ to

 be a ref]5ce to a f9al action tak5 by !
 ,secret>y "u ?is section 7includ+ !    
promulgation ( a regulation1 if         
applicable71 o!r ?an ! assessm5t ( a    
civil p5alty2 &  7ii7 any ref]5ce 9 t   
section to ! date on :i* a rule is      
prescrib$ %all be consid]$ to be a      
ref]5ce to ! date on :i* ! applicable   
f9al action 0 tak54  7g7 ,/ate          
adm9i/ration  7#a7 ,9 g5]al ,on receipt 
( an application f ! ,gov]nor ( a ,/ate 
7includ+ ! ,mayor ( ! ,di/rict (        
,columbia71 ! ,secret>y may delegate to 
! ,/ate responsibility = adm9i/]+ ?is   
section )9 ! t]ritory ( ! ,/ate if !    
,secret>y det]m9es t ! ,/ate w implem5t 
an en]gy effici5cy program t meets or   
exce$s ! requirem5ts ( ?is section4     
7#b7 ,secret>ial det]m9ation ,n lat] ?an
 #ahj days aft] ! date on :i* a complete
 application describ$ 9 p>agraph 7#a7 is
 receiv$ by ! ,secret>y1 ! ,secret>y    
%all make a sub/antive det]m9ation      
approv+ or disapprov+ ! application1    
aft] public notice & comm5t4  7#c7      

,alt]native measurem5t & v]ification    
proc$ures & /&>ds ,z "p ( an application
 submitt$ "u p>agraph 7#a71 a ,/ate may 
reque/ to use alt]native measurem5t &   
v]ification proc$ures & /&>ds to !      
proc$ures & /&>ds describ$ 9 subsection 
7e71 if ! ,/ate demon/rates t !         
alt]native proc$ures & /&>ds provide a  
level ( accuracy ( measurem5t &         
v]ification t are at lea/ equival5t to !
 ,f$]al proc$ures & /&>ds "u t          
subsection4  7#d7 ,alt]native compliance
 paym5ts  7,a7 ,9 g5]al ,z "p ( an      
application submitt$ "u p>agraph 7#a71 a
 ,/ate may p]mit retail electricity     
suppli]s or retail natural gas suppli]s 
to pay to ! ,/ate1 by n lat] ?an ,may #a
 ( ! cal5d> ye> imm$iately foll[+ !     
applicable report+ p]iod1 an alt]native 
compliance paym5t 9 an am\nt equal to1 z
 adju/$ = inflation 9 accordance ) su*  
regulations z ! ,secret>y may           
promulgate1 n less ?an-- 7i7 #ej p]     
megawatt h\r ( electricity sav+s ne$$ to
 make up any deficit ) reg>d to a       

compliance obligation "u ! applicable   
p]=mance /&>d2 or  7ii7 #e p] million   
,btu ( natural gas sav+s ne$$ to make up
 any deficit ) reg>d to a compliance    
obligation "u ! applicable p]=mance     
/&>d4  7,b7 ,use ( paym5ts ,alt]native  
compliance paym5ts collect$ by a ,/ate  
"u subp>agraph 7,a7 %all be us$ by !    
,/ate to adm9i/] ! delegat$ au?ority ( !
 ,/ate "u ?is subsection & to implem5t  
co/-effective en]gy effici5cy programs  
t-- 7i7 to ! maximum ext5t practicable1 
a*ieve electricity sav+s & natural gas  
sav+s 9 ! ,/ate suffici5t to make up !  
deficit associat$ ) ! alt]native        
compliance paym5ts2 &  7ii7 c be measur$
 & v]ifi$ 9 accordance ) ! applicable   
proc$ures & /&>ds e/abli%$ "u subsection
 7e74  7#e7 ,review ( ,/ate adm9i/ration
  7,a7 ,p]iodic review ,e #b ye>s1 !    
,secret>y %all review ,/ate adm9i/ration
 ( ?is section = con=mance ) !          
requirem5ts ( ?is section 9             
approximately #a_/b ( ! ,/ates t h      
receiv$ approval "u ?is subsection to   

adm9i/] ?is section1 s t ea* ,/ate %all 
be review$ n less frequ5tly ?an once e  
#d ye>s4  7,b7 ,report ,to facilitate ! 
review "u subp>agraph 7,a71 ! ,secret>y 
may require ! ,/ate to submit a report  
demon/rat+ ! con=mance ( ! ,/ate ) !    
requirem5ts ( ?is section1 includ+-- 7i7
 reports submitt$ by retail electricity 
suppli]s & retail natural gas suppli]s  
to ! ,/ate demon/rat+ compliance )      
applicable requirem5ts2  7ii7 ! impact (
 applicable requirem5ts on project$     
electricity & natural gas dem& 9 !      
,/ate2  7iii7 an acc\nt+ ( ! use (      
alt]native compliance paym5ts by ! ,/ate
 & ! result+ electricity sav+s & natural
 gas sav+s a*iev$2 &  7iv7 any o!r      
in=mation t ! ,secret>y det]m9es        
appropriate4  7,c7 ,review on petition  
,not)/&+ subp>agraph 7,a71 on receipt ( 
a public petition conta9+ a cr$ible     
allegation ( a sub/antial defici5cy ( a 
,/ate en]gy effici5cy program au?oriz$  
"u ?is subsection1 ! ,secret>y %all     
promptly re-review ! ,/ate en]gy        

effici5cy program4  7,d7 ,defici5cies   
7i7 ,9 g5]al ,9 complet+ a review "u ?is
 p>agraph1 if ! ,secret>y f9ds          
defici5cies1 ! ,secret>y %all-- 7,i7    
notify ! ,/ate ( ! defici5cies2  7,,ii7 
direct ! ,/ate to correct ! defici5cies2
 &  7,,iii7 require ! ,/ate to report to
 ! ,secret>y on progress made by n lat] 
?an #ahj days aft] ! date on :i* ! ,/ate
 receives notice "u subclause 7,i74     
7ii7 ,sub/antial defici5cies ,if !      
defici5cies are sub/antial1 ! ,secret>y 
%all-- 7,i7 disall[ ! report$           
electricity sav+s or natural gas sav+s t
 ! ,secret>y det]m9es are n cr$ible due 
to defici5cies2  7,,ii7 re-review !     
,/ate n lat] ?an #b ye>s aft] ! date on 
:i* ! orig9al review 0 complet$2 &      
7,,iii7 if sub/antial defici5cies rema9 
uncorrect$ aft] ! review provid$ = "u   
subclause 7,,ii71 revoke ! au?ority ( ! 
,/ate to adm9i/] ?is section4  7#f7     
,calls = revision ( /ate applications ,z
 a condition ( ma9ta9+ ! delegat$       
au?ority to adm9i/] ?is section1 !      

,secret>y may require a ,/ate to submit 
a revis$ application "u p>agraph 7#a7 if
 ! ,secret>y has-- 7,a7 e/abli%$ new or 
revis$ p]=mance /&>ds "u subsection 7c72
  7,b7 promulgat$ new or sub/antially   
revis$ measurem5t & v]ification         
proc$ures & /&>ds "u subsection 7e72 or 
7,c7 o!rwise sub/antially revis$ !      
,f$]al program e/abli%$ "u ?is section4 
7#g7 ,co/ recov]y1 fix$ co/ recov]y1 &  
%>ehold] inc5tives ,! ,secret>y %all    
enc\rage ,/ate utility regulatory       
commissions to review ! rules &         
regulations ( ! ,commission to ensure t 
utilities "u ! jurisdiction ( !         
,commission may-- 7,a7 recov] ! direct  
co/s ( en]gy effici5cy programs2  7,b7  
7i7 fully recov] au?oriz$ fix$ co/s f   
cu/om]s1 includ+ recov]y ( rev5ue       
associat$ ) fix$ co/s t 0 lo/ due to    
annual sales t 7 l[] ?an =eca/$2 b  7ii7
 return to cu/om]s ! rev5ue associat$ ) 
fix$ co/s collect$ 9 excess ( ! au?oriz$
 am\nt "u clause 7i72 &  7,c7 e>n a     
p]=mance-bas$ inc5tive = %>ehold]s = !  

a*ievem5t ( en]gy effici5cy /&>ds4  7#h7
 ,evaluation1 measurem5t1 & v]ification 
inc5tives ,! ,secret>y %all enc\rage    
,/ates t h delegat$ au?ority to adm9i/] 
?is section to provide inc5tives to     
retail electricity suppli]s1 retail     
natural gas suppli]s1 & ?ird-p>ty       
effici5cy provid]s to use r&omiz$       
control trials & o!r exp]im5tal or      
quasi-exp]im5tal approa*es to evaluate  
en]gy effici5cy measures & programs )9 !
 ,/ate4  7h7 ,in=mation & reports ,9    
accordance ) section #ac ( ! ,f$]al     
,en]gy ,adm9i/ration ,act ( #aigd 7#ae  
,u4,s4,c4 #ggb71 ! ,secret>y may require
 any retail electricity suppli]1 retail 
natural gas suppli]1 ?ird-p>ty effici5cy
 provid]1 or any o!r entity t !         
,secret>y det]m9es appropriate1 to      
provide any in=mation ! ,secret>y       
det]m9es appropriate to c>ry out ?is    
section4  7i7 ,/ate law ,no?+ 9 ?is     
section dim9i%es or qualifies any       
au?ority ( a ,/ate or political         
subdivision ( a ,/ate to adopt or en=ce 

any law or regulation respect+          
electricity sav+s or natural gas sav+s1 
includ+ any law or regulation e/abli%+  
en]gy effici5cy requirem5ts t are m     
/r+5t ?an ^? "u ?is section1 except t no
 ,/ate law or regulation %all relieve   
any p]son ( any requirem5t o!rwise      
applicable "u ?is section4  4  7b7      
,con=m+ am5dm5t ,! table ( cont5ts 9    
section #a7;b7 ( ! ,public ,utility     
,regulatory ,policies ,act ( #aigh      
7,public ,law #ie-fag2 #ib ,/at4 #caah7 
is am5d$ by add+ at ! end ( ! items     
relat+ to title ,,vi ! foll[+3  ,sec4   
#fji4 ,rural & remote communities       
electrification grants4,sec4 #faj4      
,f$]al en]gy effici5cy res\rce /&>d =   
retail electricity & natural gas        
suppli]s4  4