Government of New Brunswick

Description and Background
The Province of New Brunswick will require electric utilities, in conjunction with Efficiency NB, to prepare a three year electricity efficiency plan. Energy efficiency results in lower energy costs and improved environmental performance. It means reduced reliance on imported energy and lower vulnerability to price fluctuations. Managing demand for electricity through customer efficiency improves the reliability of the electricity system by reducing large electrical load fluctuations. It also reduces maintenance costs and extends the useful life of the supply system components. Energy efficiency projects for residences and businesses are often locally-sourced, contributing to our economic activity and diverting spending dollars away from imported fuels.

Energy efficiency programs are common in North America, with well established standards of practice in determining economic levels of energy efficiency and demand side management (DSM) investment by utilities.

As part of a general energy efficiency approach, NB Power and municipal electric utilities will be required to prepare a three year Electricity Efficiency Plan, focused on electricity consumption. This will be done in cooperation with Efficiency NB where integrated resource planning (IRP) and other data and analysis are used in the planning process.

What is DSM?
Demand SideManagement (DSM) is used by energy utilities to help customers to reduce their energy consumption and to shift the timing of demand away frompeak periods. This helps reduce customer costs and allows utilities to delay or avoid the need to build newgeneration or procure newsupply. DSMmethods include education and awareness, incentive programs and innovative rate structures that help customers improve their efficiency and timing of energy use.
   

Key Objectives Served by this Action
Low and Stable Energy Prices
– Energy efficiency and utility demand side management are less costly than most supply options and must be encouraged.

Energy Security – Our reliance on imported energy and our vulnerability to price fluctuations will diminish with reduced consumption, therefore increasing our energy security.

Reliability of the Electricity System – Managing demand for electricity through customer efficiency improves the reliability of the electricity system by reducing large electrical load fluctuations and overload situations. It also helps to reduce maintenance costs and extend the useful life of the supply system components.

Environmental Responsibility – Reduced energy consumption has the effect of lower air emissions and other environmental impacts, therefore improving our environmental performance and reducing our carbon footprint.