2024 Program Update
Due to a variety of factors, including rising costs and less participation than in earlier years, the current two percent program administration fee is not fully recovering the Oregon Department of Energy's costs per statutory requirements. To bring the program back into statutory compliance, ODOE will raise the program fee to four percent on July 1, 2024.
What is the LECPPP?
Senate Bill 1149, adopted
in 1999, directed Oregon's two largest utilities, Portland General Electric and Pacific Power,
to collect a public purpose charge from
their customers to fund energy conservation and renewable projects in
the state. Large
electric consumer sites that used over 8,760,000 kWh in the prior year may be
eligible for the Large Electric Consumer Public Purpose Program, also known as
the Self-Direct Program. Approved sites may
self-direct the renewable portion of their public purpose charge and cost-effective
energy efficiency funded through rates, rather than pay the utility
directly.How it Works
The Oregon Department of Energy reviews applications and approves sites that meet eligibility criteria to become Self-Direct consumers. Certified sites can submit energy efficiency and renewable project applications to ODOE through the interactive
LECPPP website. ODOE staff review applications and pre-certify eligible energy efficiency or renewable project applications. Sites then spend their own funds to build pre-certified projects. Once the project is complete, they submit an application for credit to ODOE. ODOE reviews and approves the eligible project costs, which include a small fee paid to ODOE for program administration. Certified project costs add to the energy efficiency or renewable credit balance, and the credits do not expire.
Each month when a site has an energy efficiency or renewable credit balance, they can offset the monthly cost-effective energy efficiency amount included in rates and the renewable portion of the Public Purpose Charge, meaning they do not pay the utility that portion of the PPC. The available credit balance is reduced by the monthly energy efficiency and renewable offset amount. Funds spent on certified energy efficiency projects, Green Tags (also known as Renewable Energy Certificates), and distribution system-connected technologies projects increase the site credit balances while monthly offsets reduce them.