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North Carolina Refuses to Join DSM and Discount Rates


November 15, 1994

While approving a special rate discount proposed by Carolina Power & Light Co. to retain a large industrial customer threatening to install new cogeneration facilities at its plant, the North Carolina Utilities Commission (UC) rejected a proposal to condition such discounts on a showing that the customer had already implemented all cost-effective demand-side management (DSM) programs. It said such a requirement would involve "micromanaging" the electric consumption of industrial customers in the states. Finding, however, that the energy efficiency of customers applying for such rates was a relevant concern, the UC requested the parties to an ongoing proceeding on guidelines for discount rates to comment on whether it should require the filing of a current conservation analysis with all discount proposals. Re Carolina Power & Light Co., Docket No. E-2, Sub 660 and E-100, Sub 73, Oct. 3, 1994 (N.C.U.C.).


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