• Cooperatives Financing Efficiency Upgrades through Opt-in Tariffs
  • August 19, 2016
  • Law Firm: Sutherland Asbill Brennan LLP - Washington Office
  • Smaller, rural cooperatives have been experimenting with a model that gets around a customer’s inability or unwillingness to take on debt or invest in energy efficiency upgrades through offering a voluntary on-bill tariff. Cooperatives have been able to lead this innovation because shareholder interests and customer interests are aligned. Put simply, the customer chooses the upgrades to be installed by a utility-paid contractor. The voluntary tariff allows the utility to recover this expense, while customer offsets the money for the tariff with energy savings, decreasing the utility’s load.