Two midwest utility companies announced major commitments to energy efficiency this week.
American Electric Power Co. Inc. (NYSE: AEP) said it plans to reduce electricity demand 1,000 megawatts (MW) by 2012, and Interstate Power and Light Co. (NYSE: IPL-PB), a unit of Alliant Energy Corp (NYSE: LNT) said it will commit $400 million dollars over 5 years to efficiency programs.
American Electric Power Co said 15% of its 1,000-MW goal will come from improving internal efficiency, with customer programs accounting for 85% of the reductions.
The company outlined the plan in its second corporate sustainability report, that addressed issues such as climate change, environmental performance, public policy, reliability and growth.
The Columbus, Ohio-based utility met with more than 100 stakeholders, including federal regulators, environmental advocates, employees, investors and academics, to get input about the company and its practices.
Interstate Power and Light Co.’s $400 million pledge will go toward electric and natural gas energy efficiency programs , according to the 2009-2013 Energy Efficiency Plan it filed with the Iowa Utilities Board.
The plan includes cash rebate, energy audit and education programs as well as assistance and incentives for green building certification and installing renewable energy equipment.
"We are proud to present a long-term strategy that provides economic development opportunities and preserves our environment for future generations of Iowans," said Tom Aller, IPL president.
The utility expects a decision on its plan form the IUB during the fourth quarter.