After extensive collaboration, American Electric Power (AEP), the Office of the Ohio Consumers' Counsel (OCC), Ohio Environmental Council, Sierra Club Ohio, Ohio Poverty Law Center and others have come to an agreement with the utility on programs that will expand the utility's energy efficiency portfolio through 2011. The programs developed by AEP will provide savings to customers that double what they will cost.

The residential, commercial and industrial programs will costs $161.9 million through 2011. Residential customers using 1,000 kilowatt-hours of electricity per month would see an increase of $2.24 per month in the Columbus Southern Power territory or $2.30 per month in the Ohio Power territory. AEP has asked to begin recovery of the costs in January. The reduction in electricity demand is expected to result from these programs and will help defer the need to add more costly power plants.

Efficiency programs have been implemented and new additional programs will begin to roll out in 2010 that include a portfolio of options the OCC helped to develop to maximize savings for residential consumers.

They are:

• Energy Efficient Products: Includes in-store or coupon incentives to purchase lighting fixtures, ceiling fans, LED holiday lights, certain appliances, heat pumps and electric water heaters. AEP also will continue its CFL markdown program that has already sold more than 1 million bulbs. These incentives will give consumers a variety of options to select products that are appropriate for them.
• Appliance Recycling Program: AEP will continue its refrigerator and freezer recycling program. Customers who participate will receive free pick-up of their inefficient appliance as well as receiving a $25 cash incentive.
• Existing Home Retrofit Program: A three-phase program that will include online and in-home walk-through energy audits and the national Home Performance with Energy Star program. A variety of incentives such as a low-cost energy conservation kit, CFLs, efficient showerheads and discounts for more expensive efficiency measures are some of the elements of this program.
• Low-Income Program: Weatherization services will be made available to low-income customers.
• New Residential Construction Program: Incentives will be given to home builders for constructing new homes according to Energy Star building standards.

"These programs are a result of an extensive collaborative process with the OCC and other stakeholders," Consumers' Counsel Janine Migden-Ostrander said. "Energy efficiency is the cheapest alternative to our growing demand for electricity and this portfolio of programs gives consumers a variety of options to save in the most cost-effective manner."

Additionally, AEP will file a residential renewable energy credit program this month that will pay residential customers who install, or already have installed, solar or wind energy on their properties. The programs also have the potential to create 3,500 jobs.