Energy Incentive Programs, Louisiana

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Updated June 2015

Louisiana utilities collectively budgeted over $5 million for energy efficiency programs in 2014.

What public-purpose-funded energy efficiency programs are available in my state?

Louisiana has no public-purpose-funded energy efficiency programs; however, in 2013 the Louisiana Public Service Commission (LSPC) created a framework for voluntary energy efficiency programs. Investor-owned electric utilities began offering programs in November, 2014. Entergy New Orleans (which is regulated by the city) has offered programs since 2011.

What utility energy efficiency programs are available to me?

Entergy New Orleans' Energy Smart program provides financial incentives for small (demand less than 100 kW) and large (100 kW or greater) non-residential customers to install qualifying energy-efficient equipment such as lighting, air conditioning, heat pumps, electric chillers, motors, window film and other measures that reduce electricity use. Incentive levels are based on first-year savings; small customers earn $0.125 per kWh for all upgrades and large customers receive $0.10 per kWh for lighting upgrades and $0.12/ kWh for other measures. Funding is available on a first-come, first-served basis.

Cleco offers small businesses (peak demand less than 100 kW) an energy use analysis and the free, direct installation of faucet aerators, low-flow showerheads, and pre-rinse spray valves. There is also an incentive of $0.16/kWh of first-year savings for implementing other measures identified in the analysis. Commercial and industrial customers also start with an energy use analysis and receive a $0.10/kWh incentive for lighting measures, $.15/kWh for HVAC/non-lighting projects, and $0.08/kWh for custom projects.

Entergy Louisiana/Gulf States offers two programs applicable to federal customers:

  • The Small Business Energy Solutions program provides an incentive of $0.16/kWh of first-year savings for lighting, lighting controls, refrigeration, and HVAC measures for customers with a peak demand of less than 100 kW.

  • The Large Commercial & Industrial program is for customers with a peak demand greater than 100 kW and offers an incentive of $0.09/kWh of first-year savings for lighting measures, $0.15 for HVAC/non-lighting prescriptive measures, and $0.06 for custom projects. Maximum incentive amount per project is $25,000.

Southwestern Electric Power Company also offers two programs:

  • The Small Business Direct Install program offers a free, no-obligation facility assessment and the installation of low-flow faucet aerators, pre-rinse spray valves, vending economizers, and CFLs. Incentives for other projects vary depending on the equipment installed, building characteristics, energy use patterns, age of existing equipment, location, and other parameters specific to the project. Peak demand must be less than 100 kW to qualify for this program.

  • The Commercial and Industrial Energy Efficiency program offers incentives for customers with peak demand greater than 100 kW. This program also offers a free, no-obligation facility assessment with incentives available for lighting controls and upgrades to the following equipment: lighting, motors, HVAC, air compressor systems, and more.

What load management/demand response options are available to me?

Entergy offers various interruptible riders and the following two programs:

  • The Market Valued Energy Reduction (MVER) Service Rider provides credits to customers for providing load curtailments of at least 1 MW. The rider has two options. The Market Valued Call Option provides customers with both a monthly reservation payment, which they receive regardless of whether any curtailments are required, and a performance payment, based on actual load curtailments. In exchange, Entergy can make curtailment requests either the same day or one day in advance. Participants who do not curtail are assessed a penalty. The MVER Service offering is a bidding program in which customers can make day-ahead bids to the utility, indicating their curtailable load and price. Customers can make their bids via the internet.

  • The Experimental Energy Reduction (EER) Rider is open to customers that can curtail at least 150 kW. Entergy will notify participants, on a day-ahead basis, if they are accepting offers to curtail and at what price ($/kWh). Interested participants may respond, indicating the amount they are willing to curtail.

What distributed energy resource options are available to me?

The Database of State Incentives for Renewables and Efficiency (DSIRE) website provides information on programs that offer incentives for renewable distributed generation. Louisiana currently has no programs of this type open to federal customers.

Are there energy efficiency programs sponsored by the state government?

No state energy efficiency programs are currently available to federal customers. For information about future opportunities, contact the Louisiana Department of Natural Resources.

What additional opportunities are available to me?

Federal customers whose utilities have area-wide supply contracts through GSA (e.g., Atmos Energy, Cleco, Entergy, American Electric Power Service Corp. and CenterPoint Energy) may be able to take advantage of 3rd-party financed energy efficiency projects called utility energy services contracts (UESCs). Information is available in GSA's Energy Division Library. Federal facilities should contact their account executive to determine the level of each utility's participation.