Buildings and Efficiency

Energy Efficiency Resource Standards (EERS)

An energy efficiency resource standard (EERS) establishes long-term energy savings that utilities must meet through customer-based efficiency programs. These programs can include demand-side measures, like incentivizing high-efficiency appliances and building retrofits, or improvements in the utility’s distribution network. Targets can be set through legislation or by directing the state’s utility commission to set energy efficiency targets, and are usually updated on a three, four, or five-year cycle. Depending on the state, EERS administrators and/or utilities must typically develop plans outlining how they will meet the required energy savings, which are subject to approval by the state’s utility commission.

EERSs are normally set as mandatory targets or voluntary goals, but they can also happen when energy efficiency is an eligible resource in a state’s renewable portfolio standard or by incentivizing utilities to meet their own goals. Targets can range anywhere from 0.5% annual energy savings up to 3% in some states. EERSs can apply to electric and gas utilities, with states setting different savings targets depending on the utility type. Electric EERSs usually have higher energy savings targets than gas EERSs, and they are more common across states.

States with Policy Enacted

In Progress

Partially Enacted

See States List

Key Resources

It's Time to Rethink Utilities' Energy Efficiency Programs

An analysis of state actions to align gas utility efficiency programs and policies with states' climate and decarbonization targets.
2025
Source:

Next Generation Energy Efficiency Resource Standards Update

A report that identifies "next generation elements" of energy efficiency resource standards, including mandatory emissions reduction targets or decarbonization goals, and electrification requirements.
2025
Source:

Reimagining Energy Efficiency Resource Standards

A report that examines how states consider energy efficiency in the context of four policy priorities: providing grid benefits, addressing load growth, reducing emissions, and promoting affordability. It provides examples of states that are pursuing these priorities, reviews the role of energy efficiency in them and identifies opportunities to further promote energy efficiency alongside the priorities.

Advancing Equity through Energy Efficiency Resource Standards

A summary of effective energy efficiency resource standards policies currently in effect as well as guidelines for advancing the frameworks they operate under.
2023
Source:

Model States

Illinois

Electric utilities are required to achieve increasing cumulative persisting annual savings 2018-2026, reaching 17.9% in 2026 for utilities serving >3,000,000 retail customers, and 13.6% in 2026 for utilities serving between 500,000 and 3,000,000 retail customers. Savings are relative to average consumption over 2014-2016.

Starting in 2027, utilities serving >3,000,000 retail customers must achieve 2% annual energy savings. Electric utilities serving between 500,000 and 3,000,000 retail customers must achieve annual energy savings equal to 1.4% in 2027, 1.7% in 2028, and 2% annually starting in 2029. Savings targets that start in 2027 are relative to average electricity sales from 2021-2023. Incremental annual energy savings may be reduced if a utility exceeds the requirement that 25% of total energy efficiency spending target low-income households.

Gas utilities are required to achieve annual energy savings of 1.5% each year, with specific low-income energy efficiency spending requirements.

Maryland

Electric utilities are required to achieve a greenhouse gas (GHG) emissions reduction equivalent of annual electricity savings of 2% in 2024, 2.24% in 2025 and 2026, and 2.5% for each year after that. Utilities must achieve annual energy savings for low-income residential units for the 2024-2026 EmPOWER cycle, starting at 0.53% in 2024 and increasing to 1.0% in 2026.

Gas utilities are not subject to an EERS.

2024
Establishing Policies

Minnesota

Investor-owned electric utilities are required to achieve annual savings equivalent to 1.75% of gross annual energy sales, and public electric utilities are required to achieve annual savings equivalent to 1.5% of gross annual energy sales.

Investor-owned and public gas utilities are required to achieve annual savings equivalent to 1.0% of gross annual energy sales.

2021
Establishing Policies

New Jersey

Electric utilities are required to achieve energy savings equivalent to 1.31% in 2024, 1.66% in 2025, 2% in 2026, and 2% in 2027.

Gas utilities are required to achieve energy savings equivalent to 0.61% in 2024, 0.68% in 2025, 0.75% in 2026, and 0.75% in 2027.

Energy Efficiency Resource Standards (EERS) By State

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Status State Sort descending Region Components Year Enacted
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Southeast
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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West
Enacted
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Electric utilities are required to achieve annual 1.3% energy savings for 2023-2025, and a 35% reduction in 2020 peak demand by 2030. In September 2025, the Arizona Corporation Commission voted to proceed with repealing Electric Energy Efficiency Mandate (EE Mandate). Rulemaking to repeal the EE Mandate is ongoing.

Gas utilities are not subject to an EERS.

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Southwest 2022
Enacted
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Electric utilities are required to achieve 1.2% energy savings for 2024-2026, relative to 2022 sales.

Gas utilities are required to achieve 0.5% energy savings for 2024-2026, relative to 2022 sales.

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Southeast 2023
Enacted
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Electric utilities are required to achieve savings targets ranging from 1737.3 gigawatt hours (GWh) to 8,482.8 GWh for 2024-2035, depending on the utility.

Gas utilities are required to achieve savings targets ranging from 17.1 million metric therms (MMTherms) to 189.3 MMTherms for 2024-2035, depending on the utility.

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West 2023
Enacted
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Electric utilities are required to reduce retail system peak demand by 5% by 2028 relative to 2018 levels, and achieve annual energy savings of 440 gigawatt hours (GWh) for 2024-2026.

Gas utilities are required to achieve annual energy savings of 814,000 dekatherms (Dth) in 2024, 860,000 Dth in 2025, and 903,000 Dth in 2026.

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West 2017
Enacted
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Electric utilities are required to achieve annual energy savings of 233 gigawatt hours (GWh) for 2025-2027, equivalent to 0.8% of electricity sales.

Gas utilities are required to achieve annual energy savings of 1,349 million cubic feet (MMcf) for 2025-2027, equivalent to 0.31% of natural gas sales.

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Northeast 2025
Enacted
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Electric and gas utilities are subject to voluntary energy savings targets, which are determined by the Delaware Energy Efficiency Advisory Council.

Establishing Policies
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Southeast 2014
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Southeast
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Southeast
Enacted
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Electric utilities are required to achieve a 4,300 gigawatt-hour (GWh) reduction in electricity use by 2030 and 6,000 GWh reduction by 2045.

The Public Utilities Commission is required to establish additional interim targets for electricity use reduction by 2035 and 2040.

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West 2025
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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West
Enacted
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Electric utilities are required to achieve increasing cumulative persisting annual savings 2018-2026, reaching 17.9% in 2026 for utilities serving >3,000,000 retail customers, and 13.6% in 2026 for utilities serving between 500,000 and 3,000,000 retail customers. Savings are relative to average consumption over 2014-2016.

Starting in 2027, utilities serving >3,000,000 retail customers must achieve 2% annual energy savings. Electric utilities serving between 500,000 and 3,000,000 retail customers must achieve annual energy savings equal to 1.4% in 2027, 1.7% in 2028, and 2% annually starting in 2029. Savings targets that start in 2027 are relative to average electricity sales from 2021-2023. Incremental annual energy savings may be reduced if a utility exceeds the requirement that 25% of total energy efficiency spending target low-income households.

Gas utilities are required to achieve annual energy savings of 1.5% each year, with specific low-income energy efficiency spending requirements.

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Midwest 2026
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Midwest
Enacted
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Electric and gas utilities are subject to utility-specific energy savings targets, as approved by the Iowa Utilities Board.

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Midwest 2022
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Midwest
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Southeast
Not Enacted
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Regulators repealed the state's EERS in April 2025.

Previously, electric and gas utilities were required to achieve energy savings as a percent of 2020-2024 average annual energy sales, with targets increasing annually from 2026-2029.

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Southeast
Enacted
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For the 2026-2028 Triennial Plan period, electric utilities are required to achieve annual savings of 148,000 MWh and a 45.6 MW reduction in summer peak demand associated with the electricity programs.

Gas utilities are required to achieve energy savings equivalent to 35,000 MMBtu.

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Northeast 2024
Enacted
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Electric utilities are required to achieve a greenhouse gas (GHG) emissions reduction equivalent of annual electricity savings of 2% in 2024, 2.24% in 2025 and 2026, and 2.5% for each year after that. Utilities must achieve annual energy savings for low-income residential units for the 2024-2026 EmPOWER cycle, starting at 0.53% in 2024 and increasing to 1.0% in 2026.

Gas utilities are not subject to an EERS.

Establishing Policies
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Southeast 2024
Enacted
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For 2025-2027, electric utilities will achieve an aggregate lifetime savings of 106,086,240 MMBtu, and 556,621 avoided metric tons GHGs by 2030.

For 2025-2027, gas utilities will achieve an aggregate lifetime savings of 81,260,382 MMBtu, and 465,280 avoided metric tons GHGs by 2030.

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Northeast 2025
Enacted
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Electric utilities are required to achieve annual energy savings equivalent to 1% of preceding year’s sales for electricity for 2017-2025, and 1.5% starting in 2026, with additional incentives for 2% savings or higher.

Gas utilities are required to achieve annual energy savings equivalent to 0.75% of preceding year’s sales for natural gas for 2017-2025, and 0.875% starting in 2026.

Establishing Policies
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Midwest 2023
Enacted
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Investor-owned electric utilities are required to achieve annual savings equivalent to 1.75% of gross annual energy sales, and public electric utilities are required to achieve annual savings equivalent to 1.5% of gross annual energy sales.

Investor-owned and public gas utilities are required to achieve annual savings equivalent to 1.0% of gross annual energy sales.

Establishing Policies
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Midwest 2021
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Southeast
Enacted
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Electric utilities are subject to a voluntary annual energy savings targets of 1.9%.

Gas utilities are not subject to an EERS.

Establishing Policies
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Midwest 2018
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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West
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Midwest
Enacted
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Electric utilities are required to achieve annual energy savings equivalent to 1.5% of retail electricity sales in 2016 for 2021-2025.

Gas utilities are not subject to an EERS.

Establishing Policies
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West 2017
Enacted
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Electric utilities are required to achieve energy savings equivalent to 2.84% of 2022 delivery sales for 2024-2026.

Gas utilities are required to achieve energy savings equivalent to 2.04% of 2022 delivery sales for 2024-2026.

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Northeast 2023
Enacted
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Electric utilities are required to achieve energy savings equivalent to 1.31% in 2024, 1.66% in 2025, 2% in 2026, and 2% in 2027.

Gas utilities are required to achieve energy savings equivalent to 0.61% in 2024, 0.68% in 2025, 0.75% in 2026, and 0.75% in 2027.

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Northeast 2023
Enacted
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Electric utilities are required to achieve energy savings equivalent to 5% of 2020 total retail electricity sales between 2021-2025. For 2026-2030, savings must be equal to 5% of total retail kilowatt-hour sales to customers in 2025.

Gas utilities are not subject to an EERS.

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Southwest 2025
Enacted
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Electric utilities are required to achieve energy savings equivalent to 3% of electricity sales by 2025. For 2026-2030, the combined utility targets are 271,332,653 lifetime MMBtu savings for electric utilities and146,808,691 lifetime MMBtu-e for gas

Gas utilities are required to achieve energy savings equivalent to 1.3% of natural gas sales by 2025. For 2026-2030, the combined utility targets are 146,808,691 lifetime MMBtu savings for gas utilities.

S.6599 set statewide energy savings goal of 185 trillion BTU below 2025.

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Northeast 2025
Enacted
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Public electric utilities in the state must obtain renewable energy power and energy efficiency savings of 12.5% of 2020 retail sales in 2021 and thereafter. 40% of this requirement can be met with energy efficiency measures annually.

Gas utilities are not subject to an EERS.

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Southeast 2007
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Midwest
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

Establishing Policies
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Midwest
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Southwest
Enacted
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Electric and gas utilities were subject to quantitative energy savings requirements between 2015 and 2019.

The 2020-2024 Strategic Plan replaced quantitative energy savings and generation goals with progress indicators across five focus areas that guide energy efficiency investments through an ongoing, iterative analysis of progress in these areas. The 2025-2030 plan focuses on these progress indicators.

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West 2025
Enacted
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Electric utilities are required to achieve a statewide energy savings target for 2021-2026 that is equivalent to 3.1% of 2009-2010 statewide energy sales. Energy savings targets vary by utility, ranging from 2.4% to 3.5% for 2021-2026. For 2026-2031, electric utilities must achieve a statewide energy savings target of 2.25%, with utility-specific targets ranging from 1.86% to 2.82%.

Gas utilities are not subject to an EERS.

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Northeast 2020
Enacted
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Electric utilities are required to achieve total energy savings equivalent to 1,397,644 lifetime megawatt-hours (MWh) in 2024, 1,401,610 lifetime MWh in 2025, and 1,413,953 lifetime MWh in 2026.

Gas utilities are required to achieve total energy savings equivalent to 7,058,839 lifetime million British thermal units (MMBtu) in 2024, 7,090,690 lifetime MMBtu in 2025, and 7,119,585 lifetime MMBtu in 2026.

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Northeast 2023
In-Progress
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HB 3309 permits the Public Service Commission to set energy efficiency targets for utilities.

Establishing Policies
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Southeast 2025
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Midwest
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Southeast
Enacted
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Electric utilities are required to achieve annual energy savings of 0.4% of peak demand.

Gas utilities are not subject to an EERS.

Establishing Policies
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Southwest 2011
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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West
Enacted
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Electric utilities are required to achieve energy savings equivalent to 204,000 megawatt hours (MWh) for 2024-2026.

Gas utilities are required to achieve energy savings equivalent to 381,300 million British thermal units (MMBtu) for 2024-2026.

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Northeast 2023
Enacted
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Phase 1 electric utilities are required to achieve 2% energy savings by 2025 and Phase 2 utilities are required to achieve 5% savings by 2025, relative to 2019 sales. The State Corporation Commission will establish efficiency savings targets for 2026–2028.

Gas utilities are not subject to an EERS.

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Southeast 2024
Enacted
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Electric and gas utilities are subject to utility-specific energy savings targets, as approved by the Washington Utilities and Transportation Commission.

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West 2019
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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Southeast
Enacted
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Electric utilities are required to achieve statewide energy savings equivalent to 31,676,270 gross life cycle megawatt-hours (MWh) for 2023-2026.

Gas utilities are required to achieve statewide energy savings equivalent to 776,085,000 gross life cycle therms for 2023-2026.

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Midwest 2022
Not Enacted
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Energy efficiency resource standards (EERS) establish targets and deadlines for utilities to reduce electricity demand through efficiency or "demand side" programs.

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West

The State Climate Policy Dashboard tracks only passed policies and does not include bills currently proposed in legislative sessions. The website is intended to illustrate the current status of policies for each state, as well as key resources and model states for each policy.

Much of the information contained in this database is derived from the public domain, with links to resources provided. The information provided is made available solely for general information purposes and does not constitute legal advice. Click here for full Terms of Use.

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