Report: Missouri energy efficiency improving

But approach needs more work

An annual report shows Missouri climbing the rankings for energy efficiency in the U.S., though its authors and state advocates say more needs to be done.

The American Council for an Energy Efficiency Economy (ACEEE) 2022 State Scorecard on Energy Efficiency ranked Missouri No. 29, marking the first time Show-Me State has broken the top 30. The only surrounding states to rank higher were Illinois at No. 16 and Tennessee at 28.

The previous report, published in late 2020, ranked Missouri at No. 33.

The state's rank has climbed during the years, from No. 44 in 2012 to No. 38 five years later. While the reports continuously show marked improvements as far as the ranking is concerned, the state's scores on the group's rubric retain a failing grade.

The Show-Me State scored 10 points out of 50 for the year based on several metrics across policy areas and equity. The utility providers themselves scored three points out of 15, transportation policies earned 3.5 points out of 13 and building policies received 1.5 points out of a possible 12. Regulations on industry earned half a point, two below the maximum, and state-led initiatives scored 1.5 out of 4.5. Missouri's appliance standards could have scored up to three points, but received zero.

The state's equity metrics, classified by the report as efforts to incorporate equity into all other efficiency policy areas, earned 4.5 of 10 points.

The report pointed to Missouri's incentives for low-income housing near transit facilities, the wide swath of state-funded energy incentive programs and energy requirements for public buildings as advancements that have worked in its favor, but pushed for more stringent requirements for larger business customers and a larger focus on energy-efficient vehicles and buildings.

"Missouri's utilities achieved somewhat higher levels of efficiency relative to 2021 but continue to report below-average savings. Opportunities remain to further strengthen programs by setting binding savings targets through an energy efficiency resource standard and increasing participation among large customers, which are currently permitted to opt out of programs," the study reads. "While the state has a dedicated funding stream for equitable transportation electrification, further efficiency improvements in the transportation sector would help the state boost its score. Missouri can also strengthen building energy efficiency policies to increase its rank."

James Owen, executive director of clean energy and accessibility advocacy group Renew Missouri, pointed to the implementation of a 2009 law that brought energy efficiency into greater focus for the state. The Missouri Energy Efficiency Investment Act (MEEIA) allows investor-owned utility providers within the state to recoup lost earnings from energy efficiency programs, offsetting the loss from customer discounts to incentivize savings and a greater emphasis on efficient energy use.

MEEIA saved more than 2 million megawatt hours through Ameren Missouri's programs between 2013-17, saving customers millions of dollars, according to Owen.

"The Missouri Energy Efficiency Investment Act has revolutionized reducing energy demand over the past decade," Owen said in a statement.

Owen pointed to a bevy of grants for renewable school buses administered throughout the state, with $395,000 in federal funds awarded to Morgan County R-1 in October to go toward a zero- to low-emission bus and related infrastructure.

"This is not only a win for school districts and their bottom line but also for air quality and respiratory health," Owen said.

Energy efficiency has been a priority for utility providers across the state over the past few years. Ameren, the Jefferson City area's investor-owned energy provider, offers clean energy rebates for HVAC upgrades and energy-efficient products. Programs encourage energy savings during peak use times and multifamily investments in energy upgrades.

Three Rivers Electric Cooperative, which also covers much of the Mid-Missouri area, features a "Take Control and Save" webpage with energy-saving tips and net metering options that emphasize efficiency.

Owen said the state and utilities could further their emphasis on reducing power demand through efficiency initiatives.

View the full report and Missouri-specific data at https://www.aceee.org/state-policy/scorecard.

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