Bonneville And Northwest Energy Oversight Hearing Before the Subcommittee On W
Bonneville And Northwest Energy Oversight Hearing Before the Subcommittee On W
United States Congress House Committee On Resou
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I appreciate my fel- low panel members' commitment to those purposes, but I particu- larly appreciate the way the question focuses that commitment. Jack said a few times that they have invested $1. 5 billion in effi- ciency. The more interesting number is the cost that they avoided through that investment, which, depending on how you calculate it, is roughly half the cost of other resources that were available at the time to acquire enough power to serve the city of Seattle. So the more interes...ting statistic is how much he didn't spend. But I think the $1. 5 billion figure does point out the fact that en- ergy efficiency is not free. It's just cheaper than the alternatives. So developing an appropriate way to pay for it in a competitive market is among our principal challenges in the comprehensive re- view. I think broadly there are three sources that make some sense, and they are the three principal value-generating sources in the in- dustry: the distribution system, the transmission system, and the generation system.
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