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Utilities with multi state service territories- akm rahman
1. UTILITIES WITH MULTI-STATE SERVICE TERRITORIES
LIHEAP PERFORMANCE MEASURES -
A MODEL FOR SUCCESS
HHS REGIONAL GRANTEE TRAINING MEETING
TUESDAY, APRIL 8, 2014
NEW YORK, NY
Presenter: Akm M. Rahman
Senior Program Coordinator (LIHEAP - Massachusetts)
2. WHY UTILITY COMPANIES USE KEY
PERFORMANCE INDICATORS (KPI)?
TO MAINTAIN STAKEHOLDER ACCOUNTIBILITY
Return-On-Investment (investor-owned)
Profit Redistribution (MUNIS)
Profit Redistribution (co-ops)
Reliability Statistics
Power Restoration
Rate Case Settlements
Employee Satisfaction
SHARE HOLDERS
EMPLOYEES
CUSTOMERS
COMMUNITY
Source: ESRI White Paper, June 2007 Akm Rahman, akm.rahman@state.ma.us
3.
4. Case Study - National Grid (NGRID) Gas and
Electric
KEY INFORMATION
• Reported over $3.76B in net profit (60/40 between
UK & U.S.)
• Operates 9,000 miles of transmission lines in U.S.
• Serves 3.4M gas and 3.3M electric customers
• HQ in MA – serves NY, RI, and MA
• Serves over 160 and 130 cities and towns in MA
• Serves over 80 communities in RI
• Offers utility discounts and arrearage management
programs for low income customers
• Invests in Energy Efficiency and Renewable Energy
NGRID’s Mergers & Acquisitions
Mass.
Electric/
NSTARN.E
Power
Nantucket
Electric
Southern
Union
Company
Boston
GasKeySpan
Source: Wikipedia, Annual Report, NGRID provided information, and Moody’s. Akm Rahman, akm.rahman@state.ma.us
5. Who Can be the Partners?
• Federal and State LIHEAP Offices
• Local Agencies
• Trade Associations, e.g., AGA, EPSA, NAESCO
• Work Groups (National, Regional and Local)
• Multi-state Utility Companies (e.g., NGRID, NiSource, NU, First Energy)
• Public Utility Commissions (MA DPU, NY Public Service, PA Public Utility
Commission, etc.)
- F/S Offices: Sets goals to implement LIHEAP Performance Measures
- Local Agencies: Implement State Policies, review results, make decisions
- Work Groups: Develop business rules
- Utility Companies: Provide the data, review results, etc., receive feedback
- Public Utility Commissions: Can offer assistance, if needed
- Client: Provides Authorization, Waivers, etc.
Akm Rahman, akm.rahman@state.ma.us
6.
7.
8. NGRID & other Utility Company Provided Information >
Performance Measures > Evidence-based Decisions
Heating Costs Consumption
Disconnection
Notices
Service Interruptions LIHEAP Payment
Arrearage
Participating in
Arrearage
Management (AMP)
Completing
Arrearage
Management (AMP)
Households in
Arrearages
Non-LIHEAP
Payments
Energy Burden
Reduction
Average Restoration
Natural Gas and
Electric Companies
Average Prevention
Natural Gas and
Electric Companies
Client Behavior
Average Arrearages
HIGH CONSUMPTION BENEFIT/SEPARATE UTILITY BENEFIT/LEGISLATIVE REPORTING/ANNUAL REPORTING
Akm Rahman, akm.rahman@state.ma.us
9. Replicable Tools (Tangible)
• Standard data collection forms and formats
• Mandatory and optional Performance
Measures
• Software Commonality
• Software Incompatibility (new vs., legacy
systems)
• New IT technology
Akm Rahman, akm.rahman@state.ma.us
10. Replicable Tools (Intangible)
• Best practice states
• Regional approach
• Knowledge of mergers and acquisitions
• Networking support
• Project Management (PM) experience
• Involvement of Public Utility Commissions
• Involvement of Utility company executives
Akm Rahman, akm.rahman@state.ma.us
11. Lessons Learned (WD - 40 and Duct Tape analogy)
• Start NOW
• Show stakeholder benefits
• Develop business rules
• Form partnership with multi-state utilities
• Standardize the Tools
• Involve your State (going up to the highest
possible level)
• MA may need a demonstration grant to
validate/replicate its strategies in multi-state
territories
Akm Rahman, akm.rahman@state.ma.us
12. Sources and References
National Grid: https://www1.nationalgridus.com/CorporateHub
LIHEAP Performance Measures Website: https://liheappm.ncat.org/
MA LIHEAP Annual Report: http://www.mass.gov/hed/docs/dhcd/cd/liheap/fy-2012-liheap-annual-
report.pdf
MA Data Collection Form:
http://www.mass.gov/hed/docs/dhcd/cd/liheap/fy2013consumptiondatarequestformat.xls
LIHEAP Application: http://www.mass.gov/hed/docs/dhcd/cd/liheap/fy14liheap-standardizedapp.pdf
2013 NEAUC, LIHEAP Performance Measures: The Importance of Utility/Vendor Participation
http://www.neuac.org/3C_Boland_Edwards_Mueller_Rahman.pdf
http://www.esri.com/
Statista: http://www.statista.com
http://www.acf.hhs.gov/nhsia-definition
www.bestenergynews.com/solar/utility_co/utility_companies.php
Image credits Bing and Google
Akm Rahman, akm.rahman@state.ma.us
13. Questions & Answers
Contact Information
Akm M. Rahman
Senior Program Coordinator
Massachusetts Department of Housing & Community Development
100 Cambridge Street, Suite 300, Boston, MA 02114
(617) 573 – 1413 (phone)
akm.rahman@state.ma.us
www.mass.gov/dhcd