SECTION 165:45-23-8. Incentives

(a)   Each utility shall be eligible to receive an incentive for successful implementation of their Demand Portfolio if:

(1)   The Demand Portfolio achieves a minimum of 80% of the company's goal ratio (Verified savings divided by Projected savings);

(2)   and the Demand Portfolio achieves a total resource cost test benefit/cost ratio (TRC:B/CR) that is greater than one; and

(3)   No incentive shall be allowed for performance of the Demand Portfolio if the Utility fails to pass all of these threshold measures (OAC 165:45-23-8(a)(1) and (2)).

(b)   The Incentive will be calculated as follows:

(1)   A maximum incentive of 15 percent of Net Benefits will be paid for achievement of 100 percent (100%) or greater of the Utility's total annual Net Energy Source savings goal.

(A)   The goal ratio (Verified savings divided by the Projected savings) must be 80% or greater to receive an incentive.

(B)   Incentive for savings achieved between 80 and 100 percent of the savings goal will be determined by multiplying the goal ratio by the maximum incentive percentage.

(2)   The Demand Portfolio costs to be included for review of achievement of Demand Portfolio shall include all costs incurred for implementation of Demand Programs including all program costs, education or outreach program costs, Administrative costs, and EM&V costs.

(3)   Costs incurred for the implementation or reporting of the Demand Programs which are not directly incurred for a specific program are to be allocated to all Demand Programs and included as part of the Demand Program costs in determining Demand Portfolio cost effectiveness.

(c)   The Incentive will be capped at 15 percent of Demand Portfolio costs inclusive of program delivery costs, education, and/or marketing outreach costs, Administrative costs and EM&V costs.

[Source: Added at 31 Ok Reg 1074, eff 1-1-17]