LPSC Votes To Kill Energy Efficiency Program

04.16.2025
Energy Efficiency
Utility Regulation
Louisiana Public Service Commission
Entergy Louisiana
Cleco
SWEPCO
Consumer Protection
Bills & Economics

In a shocking setback for Louisiana residents, the Louisiana Public Service Commission (LPSC) voted 3-2 today to dismantle the statewide energy efficiency program.

This decision will lead to higher energy bills for Louisiana families and businesses.

“We are infuriated by the Commission’s decision,” said Alaina DiLaura, LPSC Policy Coordinator for the Alliance for Affordable Energy. “The Commission just ended the only statewide program designed to help Louisianans save money on electricity bills and keep the lights on.”

The program the Commission scrapped today was built around a Third-Party Administrator (TPA)—a proven model to increase bill savings for residents, lower program costs, and ensure proper regulatory oversight. Today the Commission handed power back to the utilities— companies whose profits depend on selling more energy, not less. 

“This is a betrayal of the process and the people,” said Logan Burke, AAE’s Executive Director. “There is no justification for today’s reversal, and the consequences will be felt by Louisiana residents and businesses on every utility bill.”

Last year alone, Entergy turned off the lights for more than 150,000 households. And with fuel prices and infrastructure costs rising, energy costs are only getting worse. So why kill the one tool that gives people real options? With federal assistance programs like LIHEAP facing uncertainty, this program was one of the only safety nets available to struggling households. Today’s vote throws that lifeline away.

“Our homes leak money through the cracks in our doors and windows,” said Logan Burke, Executive Director of the Alliance for Affordable Energy. “It doesn’t matter how low your rate is if your house is wasting energy every minute of the day.”

Energy efficiency programs are one of the most cost-effective tools for lowering energy bills and reducing grid strain. The now-dismantled program would have standardized access to these benefits across utilities, with oversight by the Commission and protections to prevent utilities from collecting “ghost charges” on energy not used as a result of energy efficiency upgrades.

Commissioner Francis introduced the motion to end the program through a last-minute supplemental agenda, giving the public less than 48 hours’ notice. The meeting took place at a remote golf resort in Many, Louisiana, limiting public access and media coverage.

The rationale? Some claimed administrative costs were too high. But everything has administrative costs—including utility-run programs. “The truth is, the TPA model is more cost-effective than any previous approach and is projected to deliver 6x the energy savings at nearly half the cost per kilowatt hour,” said Burke. 

“A recent Legislative Audit recognized this program as a step in the right direction,” said DiLaura. “Yet the Commission is tossing it out before it can even get off the ground.”

The Alliance for Affordable Energy is calling on residents to contact their Commissioners and demand they reverse this harmful vote.

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About The Alliance for Affordable Energy
Since 1985, The Alliance for Affordable Energy has been working to ensure affordable, equitable, and environmentally responsible energy policy for ALL Louisiana energy consumers. As Louisiana’s only dedicated Watchdog we monitor, educate, and participate in state and city utility regulation to ensure the public’s best interests.

Contact
Emma Meyerkopf
Communication Manager, Alliance for Affordable Energy
504-229-4643
emma@all4energy.org
all4energy.org

Contact your Commissioners!

Demand they reverse this harmful vote!

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